CS/CS/HB 1075 full text · Session Watch

1 A bill to be entitled

2 An act relating to utilities; amending s. 180.19,

3 F.S.; requiring municipalities that operate utility

4 services to allow other municipalities and property

5 owners outside its municipal boundaries to connect

6 with and use the utility services under specified

7 conditions; prohibiting municipalities that operate

8 utility services from denying requests by property

9 owners outside its municipal boundaries to connect

10 with or use the utility services based on specified

11 criteria; providing an exception; requiring

12 municipalities to make certain determinations within a

13 specified timeframe; providing for appeal of such

14 determinations; providing for the award of attorney

15 fees and court costs; providing that municipalities

16 are not liable for such fees and costs under certain

17 conditions; requiring municipalities that operate

18 water and wastewater utility services to negotiate

19 interlocal agreements with counties under specified

20 conditions; providing minimum requirements for such

21 agreements; establishing a deadline for executing such

22 agreements; providing construction; creating s.

23 166.0487, F.S.; defining the terms "wastewater utility

24 infrastructure" and "wastewater utility upgrade

25 project"; prohibiting municipalities from applying

26 certain comprehensive plan amendments or land use

27 regulations to wastewater utility upgrade projects

28 under specified conditions; providing applicability;

29 amending s. 425.09, F.S.; authorizing notices for

30 rural electrical cooperative board of trustees

31 meetings to be delivered by e-mail; revising notice

32 requirements for meetings during which elections will

33 occur; requiring the board of trustees, beginning on a

34 specified date, to annually prepare a list of

35 cooperative members and to make the list available for

36 certain inspection; revising quorum requirements;

37 authorizing electronic voting; amending s. 425.10,

38 F.S.; requiring the bylaws of rural electrical

39 cooperatives to include specified provisions relating

40 to the nomination of members for election to the board

41 of trustees; requiring the appointment of election

42 inspectors; providing duties of election inspectors;

43 creating s. 425.30, F.S.; authorizing rural electric

44 cooperatives to conduct elections and membership votes

45 through electronic voting under certain conditions;

46 requiring members voting electronically to be counted

47 for quorum purposes; prohibiting substantive votes

48 when a quorum is based on the number of members voting

49 electronically; requiring electronic voting to be

50 authorized by a resolution of the board of trustees;

51 providing requirements for such resolutions; providing

52 for members to consent to and opt out of electronic

53 voting; providing applicability; providing for

54 cooperative members to petition the board of trustees

55 to adopt electronic voting; providing an effective

56 date.

58 Be It Enacted by the Legislature of the State of Florida:

60 Section 1. Section 180.19, Florida Statutes, is amended to

61 read:

62 180.19 Use by other municipalities and by individuals

63 outside corporate limits.—

64 (1)(a) A municipality that operates utility services ~~which~~

65 ~~constructs any works as are~~ authorized under by this chapter

66 shall allow ~~a, may permit any other~~ municipality or property

67 owner ~~and the owners or association of owners of lots or lands~~

68 outside of its municipal boundaries ~~corporate limits or within~~

69 ~~the limits of any other municipality,~~ to connect with or use the

70 utility services if:

71 1. The utility system has sufficient treatment,

72 transmission, and distribution capacity to serve the requested

73 connection without materially impairing service to existing

74 utility customers;

75 2. The property is not within the service area of another

76 water or wastewater utility, as applicable;

77 3. The property is within 1 mile of a main line of the

78 utility system, measured by the closest property boundary line

79 from the main line; and

80 4. The requesting municipality or property owner agrees to

81 pay all applicable rates, fees, and charges authorized under s.

82 180.191.

83 (b) If the conditions in paragraph (a) are not met,

84 connection with or use of the utility services are ~~utilities~~

85 ~~mentioned in this chapter~~ upon such terms and conditions as may

86 be agreed between the ~~such~~ municipalities or the municipality

87 and the property owner, ~~and the owners or association of owners~~

88 ~~of such outside lots or lands.~~

89 (c) A municipality that operates utility services may not

90 deny a request for connection with or use of utility services by

91 a property owner outside of its municipal boundaries on the sole

92 basis that the property owner refuses to assent or otherwise

93 consent to the property being annexed by the municipality,

94 unless, as of July 1, 2026, the property is subject to an

95 annexation agreement or developer agreement or is located in an

96 area subject to a joint planning agreement between the

97 municipality and the applicable county under s. 163.3171.

98 (2)(a) A municipality that operates utility services must

99 make a written capacity determination within 30 days after

100 receipt of a completed application for connection from a

101 municipality or property owner under subsection (1). The

102 determination must be based on generally accepted engineering

103 standards and current system data. A denial of connection with

104 or use of utility services due to a lack of capacity must

105 include specific engineering findings identifying the deficient

106 components of the system.

107 (b) A requesting municipality or property owner denied

108 connection with or use of utility services may appeal the

109 capacity determination to the circuit court in the county in

110 which the municipality or property is located. The court must

111 review the determination de novo.

112 (c) If the court finds that the municipality refused to

113 allow the connection in violation of this subsection, the court

114 must order the connection and award the prevailing party

115 reasonable attorney fees and court costs to be paid by the

116 municipality operating the utility services.

117 (d) The municipality operating the utility services is not

118 liable for attorney fees or court costs under paragraph (c) if

119 the municipality demonstrates by clear and convincing evidence

120 that the denial was based on a good faith, reasonable

121 engineering determination of insufficient capacity.

122 (3)(2) Any private company or corporation organized to

123 accomplish the purposes of ~~set forth in~~ this chapter that, ~~which~~

124 has been granted a privilege or franchise by a municipality to

125 operate utility services, may allow a municipality or property

126 owner ~~permit the owners or association of owners of lots or~~

127 ~~lands~~ outside of the boundaries of the granting ~~said~~

128 municipality ~~granting said privilege or franchise, or other~~

129 ~~municipality,~~ to connect with and use the utility services

130 ~~operated by the said private company or corporation~~ upon such

131 terms as may be agreed between the ~~said~~ private company or

132 corporation and the ~~owners or association of owners of said lots~~

133 ~~or lands or the said~~ municipality or property owner.

134 (4)(a) A municipality that operates water or wastewater

135 utility services outside of its municipal boundaries must enter

136 into an interlocal agreement under s. 163.01 with the county in

137 which the municipality provides such services if all of the

138 following conditions are met:

139 1. The county has designated an area located outside such

140 municipal boundaries but within the county as an economic

141 development zone.

142 2. The economic development zone is located entirely or

143 partially within the municipal utility's service area.

144 3. The economic development zone is geographically

145 surrounded by unincorporated area of the county, except that a

146 portion of the boundary of such zone may abut the municipal

147 boundary of the municipality.

148 (b) The interlocal agreement must address the provision of

149 water and wastewater services to the entire economic development

150 zone to ensure, to the maximum extent practicable, the provision

151 of safe, efficient, and sufficient services to meet current and

152 forecasted needs of the economic development zone. The agreement

153 must, at a minimum:

154 1. Define service and maintenance responsibilities for

155 facilities and infrastructure required to provide such services,

156 including all necessary supporting infrastructure.

157 2. Establish and define responsibilities for capacity

158 planning, infrastructure expansion, and cost allocation for the

159 investments needed to provide such services.

160 3. Provide timelines and permitting procedures to ensure

161 the timely and reliable delivery of such services.

162 4. Include procedures for amending the agreement and for

163 dispute resolution to prevent unreasonable delay in the

164 provision of such services.

165 (c) The interlocal agreement must be executed by July 1,

166 2027, or within 12 months after the designation of the economic

167 development zone, whichever occurs later.

168 (d) An extension of utility services made pursuant to an

169 interlocal agreement under this subsection is not subject to any

170 other provision of this section related to the establishment of

171 a new agreement for the extension of services.

172 (5) This section does not prohibit a municipality from

173 imposing reasonable impact fees, connection fees, or

174 infrastructure contributions necessary to fund system expansion

175 required for a new connection.

176 Section 2. Section 166.0487, Florida Statutes, is created

177 to read:

178 166.0487 Limitation on municipal regulation of wastewater

179 utility infrastructure on property owned by another political

180 subdivision.-

181 (1) As used in this section:

182 (a) "Wastewater utility infrastructure" includes

183 wastewater treatment plants, lift stations, vacuum stations,

184 pump stations, and appurtenances.

185 (b) "Wastewater utility upgrade project" means a project

186 to improve the operation or efficiency or expand the capacity of

187 existing wastewater utility infrastructure in a manner intended,

188 in whole or in part, to prevent or reduce pollution.

189 (2) A municipality may not apply a comprehensive plan

190 amendment or a land use regulation, including, but not limited

191 to, a land development regulation, setback requirement, lot size

192 requirement, or use restriction, to a wastewater utility upgrade

193 project proposed by another political subdivision that owns the

194 property on which the infrastructure is located if all of the

195 following conditions are met:

196 (a) The existing wastewater utility infrastructure is

197 located within the municipal boundaries of the municipality

198 applying the land use regulation.

199 (b) The land use regulation is more burdensome or

200 restrictive than the regulations that applied at the time the

201 infrastructure was originally installed and would prevent,

202 hinder, obstruct, or increase the cost of the proposed

203 wastewater utility upgrade project.

204 (c) The wastewater utility infrastructure is owned or

205 operated by:

206 1. The political subdivision that owns the property;

207 2. A private firm operating under a wastewater facility

208 privatization contract as provided in part III of chapter 153;

209 or

210 3. A private company operating under a franchise granted

211 by a municipality as provided in chapter 180.

212 (3) The prohibition under subsection (2) does not apply to

213 any property that:

214 (a) Does not have any wastewater utility infrastructure

215 installed at the time the land use regulation is adopted by the

216 municipality.

217 (b) Would be acquired or developed for wastewater utility

218 purposes by another political subdivision as part of the

219 proposed wastewater utility upgrade project.

220 Section 3. Subsections (6), (7), and (8) of section

221 425.09, Florida Statutes, are renumbered as subsections (7),

222 (8), and (9), respectively, subsection (5) and present

223 subsection (6) are amended, and a new subsection (6) is added to

224 that section, to read:

225 425.09 Members.—

226 (5) Except as hereinafter otherwise provided, written or

227 printed notice stating the time and place of each meeting of

228 members, and in the case of a special meeting the purpose or

229 purposes for which the meeting is called, must ~~shall~~ be given to

230 each member, ~~either~~ personally, or by mail, or by e-mail, not

231 less than 10 days or ~~nor~~ more than 45 days before the date of

232 the meeting. For any meeting at which an election of trustees or

233 successors to trustees will be held, the notice must be provided

234 not less than 30 days or more than 45 days before the date of

235 the meeting and must state the name or names of those nominated

236 and certified for the election as provided in this chapter.

237 (6) By January 1, 2027, and annually thereafter, the board

238 of trustees shall prepare an updated, alphabetical list of the

239 names of all members and, if applicable, the voting district

240 established under s. 425.11 in which each member receives

241 service. The board of trustees shall make the list available

242 upon request of any member of the cooperative. At each meeting

243 of members, any member or the member's proxy is entitled to

244 inspect the list at any time during the meeting or any

245 adjournment.

246 (7)(6) Effective January 1, 2027, 5 ~~One~~ percent of all

247 members, present in person, constitutes ~~shall constitute~~ a

248 quorum for the transaction of business at all meetings of the

249 members, except that a quorum shall be 10 percent of all members

250 present in person at any meeting at which an election of

251 trustees or successors to trustees will be held. ~~unless~~ The

252 bylaws may prescribe the presence of a greater percentage of the

253 members for a quorum. Notwithstanding the requirement that

254 members be present in person in order to be counted in

255 determining a quorum, the bylaws may permit voting by limited

256 proxy, or by mail, or electronically through an Internet-based

257 online voting system and members so voting shall be counted as

258 present in person for determination of a quorum. A majority of a

259 quorum is required to approve any motion or matter before a

260 meeting of the members. Members voting by mail, or limited

261 proxy, or electronically through an Internet-based online voting

262 system may ~~shall~~ not be counted on any matter raised at a

263 meeting that ~~which~~ was not specifically listed and identified on

264 the mail ballot, or proxy, or Internet-based online voting

265 system. If less than a quorum is present at any meeting, a

266 majority of those present in person may adjourn the meeting from

267 time to time without further notice.

268 Section 4. Subsections (4), (5), and (6) of subsection (1)

269 of section 425.10, Florida Statutes, are renumbered as

270 subsections (5), (6), and (7), respectively, subsection (1) is

271 amended, and a new subsection (4) is added to that section, to

272 read:

273 425.10 Board of trustees.—

274 (1) The business and affairs of a cooperative shall be

275 managed by a board of not less than five trustees, each of whom

276 shall be a member of the cooperative or of another cooperative

277 which shall be a member thereof. The bylaws shall prescribe the

278 number of trustees, their qualifications, other than those

279 provided for in this chapter, the manner of holding meetings of

280 the board of trustees and of the election of successors to

281 trustees who shall resign, die, or otherwise be incapable of

282 acting. The bylaws must prescribe a process by which members may

283 nominate one or more individuals for election as a trustee or a

284 successor to a trustee, a process by which the board of trustees

285 may certify that a nominee meets the qualifications for a

286 trustee or a successor to a trustee as set forth in the bylaws

287 and this chapter, and a process by which a nominee who is not

288 certified by the board of trustees may challenge the

289 noncertification decision. The bylaws may also provide for the

290 removal of trustees from office and for the election of their

291 successors. Without approval of the members, trustees shall not

292 receive any salaries for their services as trustees and, except

293 in emergencies, shall not be employed by the cooperative in any

294 capacity involving compensation. The bylaws may, however,

295 provide that a fixed fee and expenses of attendance, if any, may

296 be allowed to each trustee for attendance at each meeting of the

297 board of trustees and that such may be allowed for the

298 performance of other cooperative business, provided it has prior

299 approval of the board of trustees.

300 (4)(a) For each meeting of members at which an

301 election for trustees or successors to trustees is to be

302 conducted, a cooperative must appoint one or more

303 inspectors to carry out the duties under paragraph (b).

304 Each inspector must faithfully execute the duties under

305 paragraph (b) with strict impartiality and according to the

306 best of his or her ability. An inspector may be an officer

307 or employee of the cooperative.

308 (b) An inspector must:

309 1. Determine the number of votes represented at the

310 meeting, whether in person, electronically, or by proxy.

311 2. Determine the validity of mail-in ballots and

312 proxy appointments and ballots.

313 3. Count the votes.

314 4. Make a written report of the results.

315 Section 5. Section 425.31, Florida Statutes, is created to

316 read:

317 425.31 Electronic voting.—

318 (1) A cooperative may conduct elections and other

319 membership votes through an Internet-based online voting system

320 if a member consents, electronically or in writing, to online

321 voting and if all of the following requirements are met:

322 (a) The cooperative provides each member with:

323 1. A method to authenticate the member's identity to the

324 online voting system.

325 2. A method to confirm, at least 14 days before the voting

326 deadline, that the member's electronic device can successfully

327 communicate with the online voting system.

328 3. A method that is consistent with the election and

329 voting procedures provided in the cooperative's bylaws.

330 (b) The cooperative uses an online voting system that is:

331 1. Able to authenticate the member's identity.

332 2. Able to authenticate the validity of each electronic

333 vote to ensure that the vote is not altered in transit.

334 3. Able to transmit a receipt from the online voting

335 system to each member who casts an electronic vote.

336 4. Able to permanently separate any authentication or

337 identifying information from the electronic election ballot,

338 rendering it impossible to tie an election ballot to a specific

339 member. This subparagraph only applies if the cooperative's

340 bylaws provide for secret ballots for the election of trustees.

341 5. Able to store and keep electronic ballots accessible

342 for recount, inspection, and review purposes.

343 (2) A member voting electronically pursuant to this

344 section must be counted as being in attendance at the meeting

345 for purposes of determining a quorum. A substantive vote of the

346 members may not be taken on any issue other than the issues

347 specifically identified in the electronic vote when a quorum is

348 established based on members voting electronically pursuant to

349 this section.

350 (3) This section applies to a cooperative that provides

351 for and authorizes an online voting system pursuant to this

352 section by a resolution of the board of trustees. The resolution

353 must provide that members receive notice of the opportunity to

354 vote through an online voting system; establish reasonable

355 procedures and deadlines for members to consent, electronically

356 or in writing to online voting; and establish reasonable

357 procedures and deadlines for members to opt out of online voting

358 after giving consent. Written notice of a meeting at which the

359 resolution regarding online voting will be considered must be

360 given to each member in accordance with the notice requirements

361 for member meetings under s. 425.09.

362 (4) A member's consent to online voting is valid until the

363 member opts out of online voting pursuant to the procedures

364 established by the board of trustees under subsection (3).

365 (5) This section may apply to any matter that requires a

366 vote of the members.

367 (6) If at least 25 percent of the members of a cooperative

368 petition the board of trustees to adopt a resolution for

369 electronic voting for the next scheduled election, the board of

370 trustees must hold a meeting within 21 days after receipt of the

371 petition to adopt such resolution. The board of trustees must

372 receive the petition within 180 days after the date of the last

373 scheduled annual meeting.

374 Section 6. This act shall take effect July 1, 2026.