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HB 1523 (Busatta) relating to utility services will be heard Wednesday, March 12, at 10:15 a.m. in the House Economic Infrastructure Subcommittee.
The bill:
- Imposes a 10% cap, if a utility provides extraterritorial services, on an amount that may be transferred from the utility to the municipality to fund general government functions, effective July 2026.
- Eliminates current law authority for a water or wastewater utility to impose an automatic 25% surcharge on services provided to extraterritorial customers, effective July 2026. The rates, fees, and charges for extraterritorial customers must either be the same as for customers inside the municipality, or the utility may fix rates, fees, and charges for extraterritorial customers that are just and equitable so long as they do not exceed what is paid by customers within the municipality by more than 25%.
The Florida League of Cities opposes HB 1523. We understand that many municipalities depend on current transfers and surcharges for ongoing and planned projects, and that one year will not give municipalities time to prepare for these reductions without impacting these projects and plans. We also understand that many municipalities depend on these revenues to pay down existing debt.
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