HCBA Lawyer Magazine Vol. 30, No. 2 | Page 34

rEcEnt aMEndMEnts to florida’s privatE providEr statutE Construction law Section Chairs:­Gregg­Hutt­-­Trenam­Law­and­Katherine­Heckert­-­Carlton­Fields subject to certain requirements, the statute allows an owner to use a qualified private provider for S ection 553.791, Florida Statutes, often referred to as Florida’s “Private Provider Statute,” provides a framework for owners and their authorized contractors to use private providers (in lieu of a local jurisdiction’s building department) for plan review and building inspection services. Since its enactment in 2002, the Statute has been amended six times, most recently in the 2019 regular legislative session. 1 Subject to certain requirements, the Statute allows an owner to use a qualified private provider for plan review and/or building inspection services. The most recent amendments offer guidance and clarification on critical components of the Statute, including mandated fee reductions and auditing of private provider services. The Statute has been amended in part to clarify and expand upon the nature, scope, and calculation of required fee reductions. Subsection 553.7912(b), first added in 2017, sets forth the Legislature’s explicit intent that owners “pay reduced fees” when using a private provider, and also requires a local jurisdiction to calculate its resulting cost savings when a private provider is used and reduce certain fees accordingly. Through the most recent amendment, § 553.791(2)(b) also prohibits a local jurisdiction 32 plan review and/or building inspection services. from charging a building inspection fee when a private provider is used for such services (except that a “reasonable administrative fee” may be charged). § 553.791(2)(b), Fla. Stat. (2019). As such, the amendments clarify how and to what extent fees must be reduced, and also provide additional guidance to jurisdictions for ensuring compliance with the calculation and fee reduction requirements. The Statute also allows local jurisdictions to audit the performance of private provider services, subject to certain limitations as expanded and clarified in the most recent amendment. Pursuant to § 553.791(18), a local jurisdiction may audit a private provider’s building inspection services, provided, however, that such audit may not delay work on a building already inspected, approved, and duly noticed by the private provider. As most recently amended, § 553.791(18) also imposes a general limit of no more than four audits per calendar year of any particular private provider. The reasoning behind this added limitation may be gleaned from the corresponding amendment to the definition of “audit” under § 553.791(1)(b), which was first added in 2007. Specifically, an audit entails “the process to confirm that the building code inspection services have been performed by the private provider… .” § 553.791(1)(b), Fla. Stat. (2019). Through the most recent amendment, § 553.791(1)(b) also clarifies that a “local building official may not replicate the plan review or inspection being performed by the private provider, unless expressly authorized by this section.” Id. As such, local jurisdictions are encouraged to avoid unnecessary or excessive auditing practices, including the improper duplication of private provider work. Ideally, these recent amendments will allow local jurisdictions to meaningfully analyze their existing private provider practices and policies, which will facilitate better compliance and encourage more uniformity in the Statute’s implementation. n Ch. 2019- 165, Laws of Fla. 1 Author: Kendra McCan Lyman – Hill Ward Henderson NOV - DEC 2019 | HCBA LAWYER