The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Appropriations
BILL: CS/CS/CS/SB 266
INTRODUCER: Appropriations Committee; Appropriations Committee on Transportation, Tourism, and
Economic Development; Transportation Committee; and Senators Hooper and Gruters
SUBJECT: Transportation
DATE: February 26, 2024 REVISED:
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. Johnson Vickers TR Fav/CS
2. Nortelus Jerrett ATD Fav/CS
3. Nortelus Sadberry AP Fav/CS
Please see Section IX. for Additional Information:
COMMITTEE SUBSTITUTE - Substantial Changes
I. Summary:
CS/CS/CS/SB 266 contains various provisions relating to transportation. Specifically, the bill:
 Prohibits the Florida Department of Transportation (FDOT), with specified exceptions, from
annually committing more than 20 percent of the revenues derived from state motor fuel
taxes and motor vehicle license-related fees to public transit projects.
 Increases from five to eight the number of Basic Driver Improvement courses an individual
may take during a lifetime.
 Requires the DHSMV to annually review changes made to major traffic laws and to require
course content for certain driving courses to be modified accordingly.
 Amends provisions relating to the FDOT’s authority regarding public-private partnerships to:
o Replace the term “public-private partnership agreement” with the term “comprehensive
agreement.”
o Require an “independent,” instead of an “investment grade,” traffic and revenue study
prepared by a traffic and revenue expert.
o Revise the timeframe, based on the project’s complexity, during which the FDOT will
accept other proposals for the same project as it received an unsolicited public-private
partnership proposal.
o Authorize the FDOT to enter into an interim agreement with a private entity proposing
the development or operation of a qualifying project.
o Limit the FDOT secretary’s power, upon written findings that a comprehensive
agreement requires a term in excess of 50 years, to authorize a term of up to 75 years to
projects partially or completely funded from project user fees.
BILL: CS/CS/CS/SB 266 Page 2
o Requires the FDOT to notify the Division of Bond Finance prior to entering into interim
or comprehensive agreements.
o Conforms other statutory provisions referencing to public-private partnership agreements.
 Clarifies that a local governmental entity may not deem reclaimed asphalt pavement as solid
waste.
 Authorizes FDOT to allow the issuance of multiple contract performance and payment bonds
for phased design-build contracts.
 Provides that a claimant must institute an action against a contractor or surety within 365
days after the performance of the labor or completion of delivery of the materials or supplies.
 Revises a presumption of sole proximate cause on the part of a driver of a vehicle involved in
a crash within a construction zone to exclude low-THC cannabis.
 Defines terms and expands contractor limits of liability for personal injury, property damage,
or death arising from specified performance of work on a transportation facility or from
specified acts or omissions of a third party.
 Revises the application of immunity when the proximate cause of the injury, damage, or
death is a latent condition, defect, error, or omission created by the contractor and in the
contract documents, or when the proximate cause was the contractor’s failure to perform,
update, or comply with the maintenance of traffic control plans, instead of with the traffic
safety plan. Provides that such provision does not amend workers compensation law or
preclude liability due to a contractor’s negligence.
 Removes current law providing that in any civil action against the FDOT or its agents,
consultants, engineers, or contractors for work performed, if the FDOT and others specified
are immune from liability or are not parties to the litigation, they may not be named on the
verdict form or be found to be at fault or responsible for the personal injury, property
damage, or death.
 Provides requirements for an interlocal agreement regarding a fire station located on
Alligator Alley.
 Codifies the FDOT’s existing local agency program into Florida law and provides statutory
requirements for the program.
The bill has a potential negative fiscal impact on state and local governmental entities. See
Section V., Fiscal Impact Statement.
The bill takes effect July 1, 2024.
II. Present Situation:
For ease of organization and readability, the present situation is discussed below with the effect
of proposed changes.
BILL: CS/CS/CS/SB 266 Page 3
III. Effect of Proposed Changes:
Public Transit Funding from the State Transportation Trust Fund (Section 1)
Present Situation
State Transportation Trust Fund
Section 206.46(1), F.S., creates the State Transportation Trust Fund (STTF) within the Florida
Department of Transportation (FDOT). The FDOT, as provided by law, must use all moneys in
the STTF for transportation purposes.
Florida law identifies specific funding from moneys in the STTF for certain transportation
systems and projects, as well as specific funding programs aimed at transportation projects in
rural communities. Section 206.46(3), F.S., requires that the FDOT commit annually a minimum
of 15 percent of all state revenues deposited into the STTF annually for public transportation
projects.1
State Fuel Taxes
Under Florida law, the sale of motor fuel, diesel fuel, and aviation fuel is subject to state taxes.
State taxes on fuel include the Highway Fuel Sales Tax, the Off-Highway Fuel Sales Tax, the
State Comprehensive Enhanced Transportation System (SCETS) Tax, the Constitutional Fuel
Tax, County Fuel Tax, Municipal Fuel Tax, and the Aviation Fuel Tax. Florida law annually
indexes the Highway Fuel Sales Tax and the SCETS Tax to the consumer price index.2 Revenues
deposited into the STTF include the Highway Fuel Sales Tax on both motor fuel and diesel fuel,
the SCETS Tax on both on motor fuel and diesel fuel, and the Aviation Fuel Tax on aviation
fuel.3
Motor Vehicle License-Related Fees
The STTF also receives specified revenues from motor-vehicle license fees administered by the
Department of Highway Safety and Motor Vehicles. Motor vehicle license-related fees deposited
into the STTF include motor vehicle-title related fees,4 the initial motor vehicle registration fee,5
an additional surcharge on certain commercial vehicles,6 a license tax surcharge,7 and various
dispositions of proceeds from motor vehicle license taxes.8
1
Florida Department of Transportation (FDOT), Agency Analysis of 2024 Senate Bill 266, p.2. January 3, 2024. (On file
with Senate Committee on Transportation)
2
Florida Department of Transportation (FDOT), Florida Transportation Tax Sources: A Primer 2023, p 3.
https://fdotewp1.dot.state.fl.us/FMSupportApps/Documents/pra/Primer.pdf (last visited January 3, 2024).
3
Id. at 20.
4
See s. 319.32(5), F.S.
5
See s. 320.072(4), F.S. That statute allocates 3.4 percent of the proceeds from the initial motor vehicle registration fee to the
New Starts Transit Program.
6
See s. 320.0801(2), F.S.
7
See s. 320.0804, F.S.
8
See s. 320.20, F.S.
BILL: CS/CS/CS/SB 266 Page 4
Effect of Proposed Changes
The bill creates s. 206.46(6), F.S., prohibiting the FDOT from annually committing to public
transit9 projects in accordance with ch. 341, F.S., more than 20 percent of the revenues derived
from state fuel taxes and motor vehicle license-related fees deposited into the STTF. The bill
provides the following exceptions:
 A public transit project that uses revenues derived from state fuel taxes and motor vehicle-
license related fees to match funds made available by the federal government.
 A public transit project included in the transportation improvement program10 and approved
by a supermajority vote of the board of county commissioners or the governing board of a
consolidated county where the project is located.
 A bus rapid transit or rail project that would result in maintaining or enhancing the level of
service if the State Highway System along the project’s corridor o, provided state funds do
not exceed 50 percent of the nonfederal share of the costs and the percentage of the local
share.
Driver Improvement Course Election (Sections 3 and 14)
Present Situation
Under Florida law, if a person who does not hold a commercial driver license or commercial
learner’s permit is cited while driving a noncommercial motor vehicle for a noncriminal moving
violation, he or she may, in lieu of a court appearance, elect to attend a Department of Highway
Safety and Motor Vehicles (DHSMV)-approved basic driver improvement course. This election
may only be made once every 12 months and a total of five times within a person’s lifetime.11
Effect of Proposed Changes
The bill increases from five to eight the number of basic driver improvement course elections
that a person has in his or her lifetime.
Additionally, the bill conforms a cross-reference to reflect this increase in s. 627.06501, F.S,
relating to insurance discounts for persons completing a driver improvement course.
Course Content for New Driver Education Courses and Driver Improvement Courses
(Sections 4 and 5)
Present Situation
Under Florida law, each applicant for a driver license who is not already licensed in another
jurisdiction must complete a traffic law and substance abuse education course (TLSAE course),
unless the applicant has satisfactorily completed a Department of Education driver education
9
Section 341.031(6), F.S., defines the term “public transit” to mean the transporting of people by conveyances, or systems of
conveyances, traveling on land or water, local or regional in nature, and available for use by the public. Public transit systems
may be either governmentally owned or privately owned. Public transit specifically includes those forms of transportation
commonly known as “paratransit.”
10
Metropolitan planning organizations develop transportation improvement programs pursuant to s. 339.135(8), F.S.
11
Section 318.14(9), F.S.
BILL: CS/CS/CS/SB 266 Page 5
course.12 The DHSMV approves TLSAE courses, and course materials must be designed to
promote safety, education, and driver awareness.13 Approved TLSAE courses must be updated at
the DHSMV’s request, and a course provider’s failure to do so within 90 days after such request
results in the suspension of the course’s approval until such time that the updates are submitted
to and approved by the DHSMV.14
The DHSMV must approve and regulate various driver improvement courses.15
In determining whether to approve these courses, the DHSMV must consider course content
designed to promote safety, driver awareness, crash avoidance techniques, and other factors or
criteria to improve driver performance from a safety viewpoint, including promoting
motorcyclist, bicyclist, and pedestrian safety and risk factors resulting from driver attitude and
irresponsible driver behaviors, such as speeding, running red lights and stop signs, and using
electronic devices while driving.16 The DHSMV must set and modify course content
requirements to keep current with laws and safety information.17 The DHSMV may require that
approved driver improvement courses listed above be updated, and failure to do so will result in
the suspension of the course approval until the course is updated and approved by the DHSMV.18
Effect of Proposed Changes
The bill requires the DHSMV to annually review changes made to major traffic laws of this
state, including the Move Over Law.19 The DHSMV must require that course content for the
TLSAE course and the basic and advanced driver improvement courses be modified in
accordance with changes relevant to the courses.
Public-Private Partnerships (Sections 2, 6, and 13)
Present Situation
Public-private partnerships (P3s) are contractual agreements between a public agency and a
private entity that allow for greater private participation in the delivery of projects. For
transportation projects, this participation typically involves the private sector taking on additional
project risks such as design, construction, finance, long-term operation, and traffic revenue.20
Section 334.30, F.S., authorizes the FDOT to enter into P3 agreements for the building,
operation, ownership or financing of transportation facilities. The FDOT’s P3 transportation
12
Section 322.095(1), F.S.
13
Section 322.095(2), F.S.
14
Section 322.095(7), F.S.
15
Department of Highway Safety and Motor Vehicles, Driver Improvement Schools, https://www.flhsmv.gov/driver-licenses-
id-cards/education-courses/driver-improvement-
schools/#:~:text=All%20first%2Dtime%20drivers%20must,having%20to%20take%20the%20TLSAE (last visited February
22, 2024).
16
Section 318.1451(2)(a), F.S.
17
Section 318.1451(6)(d), F.S.
18
Section 318.1451(6)(b), F.S.
19
Section 316.126(1)(b), F.S.
20
U.S. Department of Transportation, Public Private-Partnerships (P3), Overview,
https://www.transportation.gov/buildamerica/p3 (last visited January 4, 2024).
BILL: CS/CS/CS/SB 266 Page 6
facilities include the I-4 Ultimate in Orange and Seminole Counties and the PortMiami tunnel in
Miami-Dade County.21
Under s. 334.30, F.S., the FDOT may receive or solicit proposals and, with legislative approval
evidenced by the project’s approval in the FDOT
’s work program, enter into P3 agreements with private entities, or consortia thereof, for the
building, operation, ownership, or financing of transportation facilities. The FDOT, by rule, must
establish an application fee for submitting an unsolicited P3 proposal, which must be sufficient
to pay the FDOT’s costs to evaluate the proposals.22 Before approving a P3, the FDOT must
determine that the proposed project:
 Is in the public’s best interest;
 Would not require state funds to be used unless the project is on the State Highway System;
 Would have adequate safeguards in place to ensure that no additional costs or service
disruptions would be realized in the event of default or cancellation of the agreement;
 Would have adequate safeguards in place to ensure that the FDOT or the private entity has
the opportunity to add capacity to the proposed project and other transportation facilities
serving similar origins and destinations; and
 Would be owned by the FDOT upon completion or termination of the agreement.
The FDOT must ensure that all reasonable costs to the state, related to transportation facilities
that are not part of the State Highway System, are borne by the private entity. The FDOT must
also ensure that all reasonable costs to the state and substantially affected local governments and
utilities, related to the private transportation facility, are borne by the private entity for privately
owned transportation facilities. For projects on the State Highway System, the FDOT may use
state resources to participate in funding and financing the project as provided for under its
enabling legislation.23
P3 agreements may authorize the private entity to impose tolls or fares on the transportation
facility. Various conditions apply to P3s imposing tolls or fares, including that the P3 agreement
must provide that a negotiated portion of revenues from tolls or fares are returned to the FDOT
over the life of the agreement. Additionally, the private entity must provide an investment grade
traffic and revenue study prepared by an internationally recognized traffic and revenue expert
that is accepted by the national bond rating agencies. The private entity must also provide a
finance plan identifying the project cost, revenues by source, financi