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March 14 Update

Legislative Session 2010

The last two weeks have seen the advancement of several legislative priorities for the Pensacola Chamber of Commerce.

The major item passed the first day of the Legislative Session was the Unemployment Compensation Tax legislation. This new legislation delays for a two year period the extraordinary rate hikes imposed on January 1 for all Florida employers. Representative Murzin, as chair of the House Economic Development Policy Council introduced HB 7033 on the House floor. Both the Florida House and Senate unanimously approved the legislation with Governor Crist approving it later in the day. This will delay the start of the proposed tax increases until 2012. It provides the opportunity for businesses to prepare for the inevitable increases.

We also saw the advancement of two economic development bills which include HB 607. This bill creates the research and development tax credit program to encourage corporate research and development activity and attract high-wage, professional research jobs to Florida. This bill was approved by the House Economic Development Policy Council (Chair, Representative Murzin). Also approval was given for HB 983 which creates the Florida Research Commercialization Matching Grant Program to assist small businesses who qualify for phase II Small Business Innovation Research (SBIR) and Small Business Technology Transfer Program (STTR) Federal Grants. These legislative items now head to their next committee stops.

An additional Legislative items working its way through the legislative process is the “Slip and Fall” legislation (Premise Liability, HB 689). The current system places an unfair burden of proof on the property owner and the proposed legislation seeks to impose greater protections for business. If a person slips and falls on a foreign substance in a business establishment, the injured person must prove that the establishment had “constructive” knowledge of the condition and should have taken action. This bill is now headed to the House floor.

In the Florida Senate side, the proposed Constitutional Amendment on Class Size Amendment (SJR 2) was approved by the Senate Ways and Means Policy Committee (Member, Senator Don Gaetz). It will ultimately provide flexibility to principals while ensuring average class size maintains a sound environment for learning. This legislation will not repeal the Class Size Amendment; however, it will give districts flexibility in meeting its requirements.

Finally, regarding property insurance, the Senate passed SB 2044 out of the Senate Banking and Insurance Committee. This bill will allow insurance companies to hold back 50% of a claim, insuring that homeowners provide proof that claim payments are made for their intended purpose. This bill also allows insurance companies to raise rates up to 10 percent to account for inflation and other factors without having to receive the State’s approval.

For any questions or more information, staff contact is Natalie Prim, nprim@pensacolachamber.com.