Dear Colleagues and Friends,

The 2025 Florida Legislative Session commenced on Tuesday, March 4, with over 1,800 pieces of legislation filed. During the 60-day session, many of these bills will be considered, potentially impacting your business or industry in various ways.

Each week, the Rotunda Report will provide a high level summary of what occurred during the prior week. A practicing attorney in the related industry will also provide a deeper analysis of a single piece of legislation in our Legislation Spotlight. In Week 1’s Legislative Spotlight, Stearns Weaver Miller attorneys Amelia Savage and Susan Stephens provide an in-depth analysis of SB 492 and HB 1175, which pertain to wetland mitigation bank credits.

Opening Day of Session

During the Opening Day of Session, Governor Ron DeSantis delivered his State of the State address. The Governor’s speech outlined his past successes, and continued priorities for the State of Florida, including lowering taxes, strengthening opportunities for businesses, and prioritizing education. The Governor also focused on Florida’s budget being a reason for the state’s success, which he previewed in his Fiscal Responsibility Budget earlier in the year.

Senate President Albritton delivered his Opening Day speech by highlighting his priorities, including focusing on rural communities, agriculture, and protecting Florida’s children. House Speaker Perez’s Opening Day speech highlighted his belief that the House of Representatives should be a member-driven process, which should lead to better ideas and policies for all Floridians.

A high-level preview of Session and overview of the Senate President and House Speaker’s priorities can be found here in our Pre-Session update.

Legislation Spotlight: Wetland Mitigation Bank Credits

SB 492 & HB 1175

Amelia Savage & Susan Stephens

Florida law requires that adverse impacts to wetlands and other surface waters in Florida be offset by appropriate mitigation. A common form of such mitigation is wetland mitigation bank credits. Mitigation Banks are lands where an environmental enhancement and preservation project is located. Mitigation Bankers own the lands and provide mitigation for unavoidable wetland impacts within a defined region, known as the mitigation service area. The currency sold by the Mitigation Banker is in the form of credits, each of which represents the wetland ecological value equivalent to the complete restoration of one acre of land.

Florida was a trailblazer in the wetland mitigation banking industry; however, certain areas of the state currently lack available credits to offset environmental impacts. In these areas, there is still demand, but no supply. SB 492 filed by Senator Stan McClain and companion HB 1175 filed by Representative Wyman Duggan seek to address wetland mitigation bank credit deserts in Florida.

These bills would alleviate the supply issues faced by developers seeking to permit additional projects in these wetland mitigation bank credit deserts. If the current language is enacted, it would increase the availability of credits in multiple ways.

• First, the bills would allow credits to be used outside of their mitigation service area into nearby areas with the use of a multiplier.
• Existing mitigation bank credits could be used outside of the existing mitigation service area and in an immediately adjacent watershed to the impacts by using a multiplier of 1.5.
• Existing mitigation bank credits could also be used to mitigate for out-of-kind mitigation. For example, an impact to herbaceous wetlands could be offset with forested credits by using a multiplier of 1.75.

• Second, the bills prescribe a credit release schedule for mitigation banks that the Florida Department of Environmental Protection and the Water Management Districts would be required to use.
• Instead of the current negotiation between the Mitigation Banker and the agencies regarding a credit release schedule, future mitigation banks would use the following credit release schedule:
• 30% for recording conservation easement and establishing financial assurances
• 30% for completion of initial construction activities
• 20% for meeting interim performance criteria
• 20% for meeting final success criteria
• This mandated schedule would result in larger credit releases earlier in the implementation of a mitigation bank, which will increase credit supply.

If enacted, the new law would take effect July 1, 2025.

Stearns Weaver Miller is actively monitoring all aspects of wetland mitigation banking, including the proposed legislation, possible impacts thereto, and ongoing rulemaking by the Florida Department of Environmental Protection.