HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #: CS/HB 653 Municipal Annexation and Contraction
SPONSOR(S): Local Administration, Federal Affairs & Special Districts Subcommittee, Canady
TIED BILLS: IDEN./SIM. BILLS: SB 718
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Local Administration, Federal Affairs & Special 16 Y, 0 N, As CS Roy Darden
Districts Subcommittee
2) Ethics, Elections & Open Government
Subcommittee
3) State Affairs Committee
SUMMARY ANALYSIS
A municipality may propose to annex any area of contiguous, compact, unincorporated territory by ordinance
or may be petitioned for annexation by owner(s) of “contiguous... and reasonably compact” real property. An
area may only be annexed by ordinance if the annexation is approved by the majority of electors within the
affected area voting in a referendum, while an area may be annexed by petition only upon unanimous consent
of the landowners.
A municipality may initiate the contraction of its boundaries by proposing an ordinance or upon receipt of a
petition signed by fifteen percent of the qualified voters in the area to be excluded. The petition must be filed
with the clerk of the municipal governing body. Upon receipt of the petition, the municipality must undertake a
study of the feasibility of the proposal and either initiate the proceedings or reject the petition, stating the facts
upon which the rejection is based, within six months.
The bill requires a municipality to conduct a feasibility study before conducting an annexation or contraction.
The bill removes a requirement that the owners of more than fifty percent of the parcels of land in the area
proposed to be annexed consent to the annexation when an area does not have any registered electors. The
bill removes the requirement that a municipality provide specific findings when rejecting a contraction petition.
The bill also revises municipal contraction procedures to require that if more than 70 percent of the acreage to
be contacted is owned by entities that are not registered electors, the area may not be contracted unless the
owners of a majority of the acreage in the area consent to the contraction. The consent must be obtained by
the parties proposing the contraction before the referendum.
This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives .
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 FULL ANALYSIS
I. SUBSTANTIVE ANALYSIS
A. EFFECT OF PROPOSED CHANGES:
Present Situation
Municipal Annexation
A municipality may propose to annex any area of contiguous, compact, unincorporated territory by
ordinance or may be petitioned for annexation by owner(s) of “contiguous... and reasonably compact”
real property.1 An area is considered “contiguous” if a substantial part of its boundary is coterminous
with a part of the boundary of the municipality.2 An area is compact if it is concentrated in a single area
and does not create enclaves, pockets, or finger areas.3 All lands to be annexed must be in the same
county as the annexing municipality.4
The governing body of a municipality may only propose annexation of an area that is contiguous,
reasonably compact, and is either:5
 Developed for “urban purposes,” which is defined as having a resident population or at least two
persons per acre, having a resident population of at least one person per acre if the area is
subdivided into lots where at least 60 percent of the total number of lots are 1 acre or less in
size, or at least 60 percent of the total number of lots meet one of the preceding definitions and
at least 60 percent of the total acreage not used for non-residential “urban purposes” is
subdivided into lots of 5 acres or less;
 Lies between the municipal boundary and an area developed for “urban purposes”; or
 Adjacent, on at least 60 percent of its external boundary, to any combination of the municipal
boundary and areas developed for “urban purposes.”
A municipality may begin the annexation process by adopting a non-emergency ordinance.6 The
municipality is required to hold two advertised public meetings before the adoption of the ordinance,
one held on a weekday at least seven days after the publication of the first advertisement and one held
on a weekday at least five days after the publication of the second advertisement. At least 10 days prior
to the first public meeting, the governing body of the municipality must provide written notice to all
residents and property owners in the area proposed for annexation.7 The notice must contain the
annexation proposal, the time and location of the public meeting, and locations where the proposed
ordinance may be inspected by the public.
Before adopting an annexation ordinance, a municipality is required to prepare a report that contains:8
 Plans to provide urban services to the area to be annexed;
 A map or maps of the municipality and adjacent territory showing the present and proposed
municipal boundaries, the present major trunk water mains and sewer interceptors and outfalls,
the proposed extensions of such mains and outfalls, and the general land use pattern in the
area to be annexed;
 A statement certifying the area meets the annexation criteria specified in s. 171.043, F.S.; and
 A statement setting forth the plans of the municipality for extending to the area to be annexed
each major municipal service performed within the municipality at the time of annexation.
1 Ss. 171.0413(1) and 171.044(1), F.S.
2 S. 171.031(11), F.S. An area may be contiguous to a municipality even if it is separated by a county-owned public park, a right-of-way,
a body of water, or other minor geographic division, as long as those areas do not prevent the annexing municipality an d the area being
annexed from being a “unified whole with respect to municipal services.”
3 S. 171.031(12), F.S.
4 S. 171.045, F.S.
5 S. 171.043, F.S.
6 S. 171.0413(1), F.S. A non-emergency ordinance is adopted using standing procedures specified by s. 166.041, F.S.
7 S. 171.042(3), F.S.
8 S. 171.042(1), F.S.
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 The governing body of the municipality must file a copy of the report with the governing body of the
county within 15 days of the commencement of annexation procedures. 9 Failure to submit the report to
the county in a timely manner may invalidate the annexation.
The municipality must submit the adopted annexation ordinance to a referendum in the area to be
annexed.10 The municipality may also choose to submit the ordinance to the voters of the municipality
for approval. If more than 70 percent of the area to be annexed is not owned by registered voters, the
municipality must obtain the consent of landowners owning at least 50 percent of area to be annexed
before conducting the referendum.11 The referendum may be conducted during the next regularly
scheduled election or at a special election.12 The referendum must not be held until at least 30 days
after the adoption of the ordinance and must be advertised in a newspaper of general circulation in the
area to be annexed.13 If the referendum is approved by the voters, the annexation occurs on the
effective date provided by the ordinance.14 If the voters reject annexation, the municipality may not
propose annexation of the same area in the two years following the referendum.
If the area to be annexed has no registered electors, the area may be annexed without a referendum if
the municipality obtains the consent of landowners representing both 50 percent of acreage and 50
percent of the parcels in the area be annexed.15
Alternatively, the owner(s) of real property in a contiguous, reasonably compact, and unincorporated
area of the county may petition a municipality for annexation.16 The municipality must determine that all
land owners in the area to be annexed have signed the petition and publish notice of the annexation
before passing an ordinance annexing the area. A copy of the ordinance, including a map and a metes-
and-bounds legal description of the area, must be filed with the clerk of the circuit court, the chief
administrative officer of the county, and the Department of State within seven days after adopting the
annexation ordinance. An area may not be annexed using this process if the annexation would result in
the creation of an enclave.17
Municipal Contraction
A municipality may initiate the contraction of its boundaries by ordinance 18 or by a petition signed by of
fifteen percent of the qualified voters in the area to be excluded. 19 The petition must be filed with the
clerk of the municipal governing body. Upon receipt of a petition, the municipality must undertake a
study of the feasibility of the proposal and either initiate the proceedings or reject the petition, stating
the facts upon which the rejection is based, within six months. 20
Once the contraction proposal is initiated, the governing body must publish notice of the proposed
contraction ordinance at least once a week for two consecutive weeks in a newspaper of general
circulation in the municipality.21 This notice must:
 Include a description of the area to be excluded;
 Show the area fails to meet the general criteria for annexation;
 Set the time and place for the municipal governing body meeting at which the proposed
ordinance will be considered; and
 Advise that all affected persons may be heard.
9
S. 171.042(2), F.S.
10 S. 171.0413(2), F.S.
11 S. 171.0413(5), F.S.
12 S. 171.0413(2)(a), F.S.
13 S. 171.0413(2)(a)-(b), F.S.
14 S. 171.0413(2)(e), F.S.
15 S 171.0413(6), F.S.
16 S. 171.044, F.S.
17 S. 171.044(5), F.S.
18 S. 171.051(1), F.S.
19 S. 171.051(2), F.S.
20 Id.
21 S. 171.051(3), F.S.
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 Voter approval of the contraction is required if the municipal governing body calls for a referendum
election on the question in the area proposed for exclusion or residents of that area submit a petition at
the public meeting signed by at least 15 percent of the area’s qualified voters. The date for the
referendum is determined by the method used to call for the referendum.22 The municipal governing
body is required to publish notice of the referendum election at least once a week for two consecutive
weeks in a newspaper of general circulation in the municipality or in the area proposed to be
excluded.23 If a majority of electors voting in the referendum opposes contraction, the municipality is
prohibited from proposing the exclusion of the area in a contraction ordinance for a period of least two
years.24
An area removed from a municipality must fail to meet the criteria for annexation.25 Under these criteria,
an area to be annexed must be contiguous to the annexing municipality, must be reasonably compact,
and must not be located within the boundaries of another municipality. 26 For annexation, an area must
also meet one of the following criteria:
 The area is developed for urban purposes;27
 The area links the municipality with areas developed for urban purposes; 28 or
 At least 60 percent of the boundary of the area is adjacent to the municipal boundary and lands
developed for urban purposes.29
The results of the contraction must not separate any portion of the municipality from the rest of the
municipality.30 The contracting ordinance must provide for apportionment of any prior existing debt and
property.31 The county and the municipal governing body must reach an agreement determining which
debt or property will be transferred to the county, the fair value of the debt or property, and the manner
of transfer and financing.32 An area that has been contracted is no longer subject to municipal laws,
ordinances, or regulations and becomes subject to any laws, ordinances, or regulations of the county
as of the effective date of the contraction.33
Effect of Proposed Changes
This bill requires a municipality to conduct a feasibility study before conducting an annexation or
contraction. The bill defines a feasibility study as an analysis conducted by qualified staff or consultants
of the economic, market, technical, financial, and management feasibility of the proposed annexation or
contraction.
The bill removes the requirement that the owners of more than fifty percent of the parcels of land in the
area proposed to be annexed consent to the annexation when the area does not have any registered
electors.
The bill removes the requirement that a municipality provide specific findings when rejecting a
contraction petition, instead providing the determination is a legislative decision.
22 S. 171.051(6), F.S. If a referendum is required due to the filing of a petition signed by at least 15 percent of the area’s qualified
voters, the referendum must occur at the next regularly scheduled election. If the referendum is called at the discretion of the municipal
governing body, a special election is called no sooner than 30 days after the verification of the petition or the passage of the resolution
or ordinance calling for a referendum.
23 S. 171.051(7), F.S.
24 S. 171.051(10), F.S.
25
S. 171.052(1), F.S.
26 S. 171.043(1), F.S.
27 S. 171.043(2), F.S. An area is considered “developed for urban purposes” if it has a population density of 2 persons per acre, a
population density of 1 person per ace and at least 60 percent of the total lots and tracts in the area are less than or equa l to 1 acre in
size, or 60 percent of the total lots and tracts in the area would otherwise be considered used for urban purposes and at least 60
percent of the total acreage of the area, excluding areas used for nonresidential urban purposes, is lots and tracts less tha n or equal to
5 acres in size.
28 S. 171.043(3)(a), F.S.
29 S. 171.043(3)(b), F.S.
30 S. 171.052(1), F.S.
31 S. 171.052(2), F.S.
32 S. 171.061(2), F.S.
33 S. 171.062(3), F.S.
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 The bill revises municipal contraction, to require that if more than seventy percent of the acres of land
in an area proposed to be contracted is owned by entities that are not registered electors, the area may
not be contracted unless the owners of more than fifty percent of acreage in the area consents to the
contraction. The consent must be obtained by the parties proposing the contraction before the
referendum. This provision mirrors requires in current law for municipal annexation.
B. SECTION DIRECTORY:
Section 1: Amends s. 171.031, F.S., to define feasibility study.
Section 2: Amends s. 171.0413, F.S., concerning municipal annexation procedures.
Section 3: Amends s. 171.042, F.S. concerning prerequisites to the municipal annexation process.
Section 4: Amends s. 171.051, F.S., concerning municipal contraction procedures.
II. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:
1. Revenues:
None.
2. Expenditures:
None.
B. FISCAL IMPACT ON LOCAL GOVERNMENTS:
1. Revenues:
None.
2. Expenditures:
None.
C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:
None.
D. FISCAL COMMENTS:
None.
III. COMMENTS
A. CONSTITUTIONAL ISSUES:
1. Applicability of Municipality/County Mandates Provision:
Not Applicable. This bill does not appear to require counties or municipalities to spend funds or take
action requiring the expenditures of funds; reduce the authority that counties or municipalities have
to raise revenues in the aggregate; or reduce the percentage of state tax shared with counties or
municipalities.
2. Other:
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 None.
B. RULE-MAKING AUTHORITY:
The bill neither authorizes nor requires rulemaking by executive branch agencies.
C. DRAFTING ISSUES OR OTHER COMMENTS:
None.
IV. AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES
On March 10, 2023, the Local Administration, Federal Affairs & Special Districts Subcommittee adopted an
amendment and reported the bill favorably as a committee substitute. The amendment restores a provision of
current law that allows for the annexation of land without any registered electors, but removes requires that
such annexation be approved by the owners of more than 50 percent of the parcels to be annexed in addition
to approval by the owners of more than 50 percent of the acreage.
This analysis is drafted to the committee substitute as passed by t