Florida Senate - 2008 CS for SB 1978

By the Committee on Transportation; and Senator Baker

596-04818-08 20081978c1

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A bill to be entitled

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An act relating to the Department of Transportation;

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amending s. 337.185, F.S.; providing for maintenance

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contracts to be included in the types of claims settled by

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the State Arbitration Board; amending s. 337.403, F.S.;

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providing for the department or a local governmental

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entity to pay the costs of removing or relocating a

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utility that is interfering with the use of a road or rail

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corridor; amending s. 338.01, F.S.; requiring that newly

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installed electronic toll collection systems be

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interoperable with the department's electronic toll

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collection system; amending s. 338.165, F.S.; providing

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that provisions requiring the continuation of tolls

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following the discharge of bond indebtedness does not

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apply to high-occupancy toll lanes or express lanes;

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creating s. 338.166, F.S.; authorizing the department to

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request that bonds be issued which are secured by toll

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revenues from high-occupancy toll or express lanes in a

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specified location; providing for the department to

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continue to collect tolls after discharge of indebtedness;

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authorizing the use of excess toll revenues for

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improvements to the State Highway System; authorizing the

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implementation of variable rate tolls on high-occupancy

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toll lanes or express lanes; amending s. 338.2216, F.S.;

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directing the turnpike enterprise to develop new

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technologies and processes for the collection of tolls and

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usage fees; amending s. 338.231, F.S.; eliminating

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reference to uniform toll rates on the Florida Turnpike

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System; authorizing the department to fix by rule and

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collect the amounts needed to cover toll collection costs;

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amending s. 479.01, F.S.; redefining the term "automatic

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changeable facing" as used in provisions governing outdoor

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advertising; amending s. 479.07, F.S.; revising the

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locations within which signs require permitting; providing

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requirements for the placement of permit tags; requiring

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the department to establish by rule a service fee and

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specifications for replacement tags; amending s. 479.08,

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F.S.; deleting a provision allowing a sign permittee to

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correct false information that was knowingly provided to

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the department; requiring the department to include

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certain information in the notice of violation; amending

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s. 479.11, F.S.; revising the description of prohibited

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signs; amending s. 479.261, F.S.; revising requirements

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for the logo sign program of the interstate highway

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system; deleting provisions providing for permits to be

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awarded to the highest bidders; requiring the department

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to implement a rotation-based logo program; increasing the

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permit fee for businesses that participate in the program;

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providing an effective date.

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Be It Enacted by the Legislature of the State of Florida:

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     Section 1.  Subsections (1), (2), and (7) of section

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337.185, Florida Statutes, are amended to read:

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     337.185  State Arbitration Board.--

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     (1)  To facilitate the prompt settlement of claims for

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additional compensation arising out of construction and

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maintenance contracts between the department and the various

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contractors with whom it transacts business, the Legislature does

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hereby establish the State Arbitration Board, referred to in this

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section as the "board." For the purpose of this section, "claim"

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means shall mean the aggregate of all outstanding claims by a

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party arising out of a construction or maintenance contract.

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Every contractual claim in an amount up to $250,000 per contract

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or, at the claimant's option, up to $500,000 per contract or,

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upon agreement of the parties, up to $1 million per contract

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which that cannot be resolved by negotiation between the

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department and the contractor shall be arbitrated by the board

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after acceptance of the project by the department. As an

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exception, either party to the dispute may request that the claim

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be submitted to binding private arbitration. A court of law may

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not consider the settlement of such a claim until the process

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established by this section has been exhausted.

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     (2)  The board shall be composed of three members. One

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member shall be appointed by the head of the department, and one

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member shall be elected by those construction or maintenance

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companies who are under contract with the department. The third

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member shall be chosen by agreement of the other two members.

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Whenever the third member has a conflict of interest regarding

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affiliation with one of the parties, the other two members shall

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select an alternate member for that hearing. The head of the

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department may select an alternative or substitute to serve as

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the department member for any hearing or term. Each member shall

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serve a 2-year term. The board shall elect a chair, each term,

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who shall be the administrator of the board and custodian of its

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records.

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     (7)  The members of the board may receive compensation for

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the performance of their duties hereunder, from administrative

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fees received by the board, except that no employee of the

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department may receive compensation from the board. The

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compensation amount shall be determined by the board, but shall

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not exceed $125 per hour, up to a maximum of $1,000 per day for

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each member authorized to receive compensation. Nothing in This

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section does not shall prevent the member elected by construction

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or maintenance companies from being an employee of an association

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affiliated with the industry, even if the sole responsibility of

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that member is service on the board. Travel expenses for the

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industry member may be paid by an industry association, if

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necessary. The board may allocate funds annually for clerical and

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other administrative services.

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     Section 2.  Subsection (1) of section 337.403, Florida

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Statutes, is amended to read:

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     337.403  Relocation of utility; expenses.--

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     (1)  Any utility heretofore or hereafter placed upon, under,

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over, or along any public road or publicly owned rail corridor

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which that is found by the authority to be unreasonably

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interfering in any way with the convenient, safe, or continuous

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use, or the maintenance, improvement, extension, or expansion, of

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such public road or publicly owned rail corridor shall, upon 30

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days' written notice to the utility or its agent by the

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authority, be removed or relocated by such utility at its own

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expense except as provided in paragraphs (a), (b), and (c), and

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(d).

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     (a)  If the relocation of utility facilities, as referred to

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in s. 111 of the Federal-Aid Highway Act of 1956, Pub. L. No. 627

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of the 84th Congress, is necessitated by the construction of a

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project on the federal-aid interstate system, including

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extensions thereof within urban areas, and the cost of such

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project is eligible and approved for reimbursement by the Federal

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Government to the extent of 90 percent or more under the Federal

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Aid Highway Act, or any amendment thereof, then in that event the

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utility owning or operating such facilities shall relocate such

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facilities upon order of the department, and the state shall pay

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the entire expense properly attributable to such relocation after

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deducting therefrom any increase in the value of the new facility

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and any salvage value derived from the old facility.

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     (b)  When a joint agreement between the department and the

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utility is executed for utility improvement, relocation, or

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removal work to be accomplished as part of a contract for

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construction of a transportation facility, the department may

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participate in those utility improvement, relocation, or removal

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costs that exceed the department's official estimate of the cost

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of such work by more than 10 percent. The amount of such

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participation shall be limited to the difference between the

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official estimate of all the work in the joint agreement plus 10

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percent and the amount awarded for this work in the construction

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contract for such work. The department may not participate in any

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utility improvement, relocation, or removal costs that occur as a

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result of changes or additions during the course of the contract.

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     (c)  When an agreement between the department and utility is

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executed for utility improvement, relocation, or removal work to

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be accomplished in advance of a contract for construction of a

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transportation facility, the department may participate in the

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cost of clearing and grubbing necessary to perform such work.

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     (d) If the utility facility being removed or relocated was

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initially installed exclusively to serve the authority, its

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tenants, or both the authority and its tenants, the authority

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shall bear the costs of removal or relocation of that utility

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facility. However, the authority shall not be responsible for

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bearing the cost of removal or relocation of any subsequent

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additions to the utility facility for the purpose of serving

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others.

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     Section 3.  Subsection (6) is added to section 338.01,

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Florida Statutes, to read:

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     338.01  Authority to establish and regulate limited access

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facilities.--

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     (6) Notwithstanding any other provision of law, all new

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limited access facilities and existing transportation facilities

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on which new or replacement electronic toll collection systems

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are installed shall be interoperable with the department's

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electronic toll collection system.

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     Section 4.  Present subsections (7) and (8) of section

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338.165, Florida Statutes, are redesignated as subsections (8)

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and (9), respectively, and a new subsection (7) is added to that

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section, to read:

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     338.165  Continuation of tolls.--

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     (7) This section does not apply to high-occupancy toll

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lanes or express lanes.

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     Section 5.  Section 338.166, Florida Statutes, is created to

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read:

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     338.166 High-occupancy toll lanes or express lanes.--

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     (1) Under s. 11, Art. VII of the State Constitution, the

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department may request the Division of Bond Finance to issue

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bonds secured by toll revenues collected on high-occupancy toll

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lanes or express lanes located on Interstate 95 in Miami-Dade and

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Broward Counties.

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     (2) The department may continue to collect the toll on the

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high-occupancy toll lanes or express lanes after the discharge of

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any bond indebtedness related to such project. All tolls so

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collected shall first be used to pay the annual cost of the

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operation, maintenance, and improvement of the high-occupancy

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toll lanes or express lanes project.

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     (3) Any remaining toll revenue from the high-occupancy toll

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lanes or express lanes shall be used by the department for the

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construction, maintenance, or improvement of any road on the

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State Highway System.

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     (4) The department is authorized to implement variable rate

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tolls on high-occupancy toll lanes or express lanes.

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     (5) Except for high-occupancy toll lanes or express lanes,

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tolls may not be charged for use of an interstate highway where

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tolls were not charged as of July 1, 1997.

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     (6) This section does not apply to the turnpike system as

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defined under the Florida Turnpike Enterprise Law.

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     Section 6.  Paragraph (d) is added to subsection (1) of

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section 338.2216, Florida Statutes, to read:

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     338.2216  Florida Turnpike Enterprise; powers and

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authority.--

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     (1)

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     (d) The turnpike enterprise is directed to pursue and

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implement new technologies and processes in its operations and in

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the collection of tolls and other amounts associated with road

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and infrastructure use. This shall include, without limitation,

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video billing and variable pricing.

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     Section 7.  Section 338.231, Florida Statutes, is amended to

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read:

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     338.231  Turnpike tolls, fixing; pledge of tolls and other

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revenues.--The department shall at all times fix, adjust, charge,

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and collect such tolls for the use of the turnpike system as are

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required in order to provide a fund sufficient with other

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revenues of the turnpike system to pay the cost of maintaining,

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improving, repairing, and operating such turnpike system; to pay

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the principal of and interest on all bonds issued to finance or

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refinance any portion of the turnpike system as the same become

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due and payable; and to create reserves for all such purposes.

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     (1) In the process of effectuating toll rate increases over

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the period 1988 through 1992, the department shall, to the

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maximum extent feasible, equalize the toll structure, within each

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vehicle classification, so that the per mile toll rate will be

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approximately the same throughout the turnpike system. New

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turnpike projects may have toll rates higher than the uniform

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system rate where such higher toll rates are necessary to qualify

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the project in accordance with the financial criteria in the

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turnpike law. Such higher rates may be reduced to the uniform

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system rate when the project is generating sufficient revenues to

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pay the full amount of debt service and operating and maintenance

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costs at the uniform system rate. If, after 15 years of opening

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to traffic, the annual revenue of a turnpike project does not

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meet or exceed the annual debt service requirements and operating

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and maintenance costs attributable to such project, the

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department shall, to the maximum extent feasible, establish a

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toll rate for the project which is higher than the uniform system

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rate as necessary to meet such annual debt service requirements

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and operating and maintenance costs. The department may, to the

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extent feasible, establish a temporary toll rate at less than the

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uniform system rate for the purpose of building patronage for the

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ultimate benefit of the turnpike system. In no case shall the

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temporary rate be established for more than 1 year. The

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requirements of this subsection shall not apply when the

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application of such requirements would violate any covenant

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established in a resolution or trust indenture relating to the

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issuance of turnpike bonds.

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     (1)(2) Notwithstanding any other provision of law, the

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department may defer the scheduled July 1, 1993, toll rate

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increase on the Homestead Extension of the Florida Turnpike until

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July 1, 1995. The department may also advance funds to the

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Turnpike General Reserve Trust Fund to replace estimated lost

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revenues resulting from this deferral. The amount advanced must

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be repaid within 12 years from the date of advance; however, the

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repayment is subordinate to all other debt financing of the

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turnpike system outstanding at the time repayment is due.

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     (2)(3) The department shall publish a proposed change in

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the toll rate for the use of an existing toll facility, in the

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manner provided for in s. 120.54, which will provide for public

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notice and the opportunity for a public hearing before the

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adoption of the proposed rate change. When the department is

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evaluating a proposed turnpike toll project under s. 338.223 and

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has determined that there is a high probability that the project

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will pass the test of economic feasibility predicated on proposed

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toll rates, the toll rate that is proposed to be charged after

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the project is constructed must be adopted during the planning

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and project development phase of the project, in the manner

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provided for in s. 120.54, including public notice and the

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opportunity for a public hearing. For such a new project, the

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toll rate becomes effective upon the opening of the project to

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traffic.

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     (3)(a)(4) For the period July 1, 1998, through June 30,

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2017, the department shall, to the maximum extent feasible,

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program sufficient funds in the tentative work program such that

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the percentage of turnpike toll and bond financed commitments in

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Dade County, Broward County, and Palm Beach County as compared to

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total turnpike toll and bond financed commitments shall be at

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least 90 percent of the share of net toll collections

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attributable to users of the turnpike system in Dade County,

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Broward County, and Palm Beach County as compared to total net

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toll collections attributable to users of the turnpike system.

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The requirements of this subsection do not apply when the

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application of such requirements would violate any covenant

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established in a resolution or trust indenture relating to the

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issuance of turnpike bonds. The department may establish at any

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time for economic considerations lower temporary toll rates for a

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new or existing toll facility for a period not to exceed 1 year,

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after which period the toll rates adopted under s. 120.54 shall

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become effective.

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     (b) The department shall also fix, adjust, charge, and

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collect such amounts needed to cover the costs of administering

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the different toll collection and payment methods and types of

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accounts being offered and used in the manner provided for in s.

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120.54, which provides for public notice and the opportunity for

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a public hearing before adoption. Such amounts may stand alone,

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be incorporated into a toll rate structure, or be a combination

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thereof.

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     (4)(5) When bonds are outstanding which have been issued to

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finance or refinance any turnpike project, the tolls and all

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other revenues derived from the turnpike system and pledged to

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such bonds shall be set aside as may be provided in the

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resolution authorizing the issuance of such bonds or the trust

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agreement securing the same. The tolls or other revenues or other

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moneys so pledged and thereafter received by the department are

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immediately subject to the lien of such pledge without any

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physical delivery thereof or further act. The lien of any such

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pledge is valid and binding as against all parties having claims

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of any kind in tort or contract or otherwise against the

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department irrespective of whether such parties have notice

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thereof. Neither the resolution nor any trust agreement by which

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a pledge is created need be filed or recorded except in the

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records of the department.

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     (5)(6) In each fiscal year while any of the bonds of the

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Broward County Expressway Authority series 1984 and series 1986-A

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remain outstanding, the department is authorized to pledge

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revenues from the turnpike system to the payment of principal and

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interest of such series of bonds and the operation and

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maintenance expenses of the Sawgrass Expressway, to the extent

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gross toll revenues of the Sawgrass Expressway are insufficient

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to make such payments. The terms of an agreement relative to the

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pledge of turnpike system revenue will be negotiated with the

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parties of the 1984 and 1986 Broward County Expressway Authority

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lease-purchase agreements, and subject to the covenants of those

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agreements. The agreement shall establish that the Sawgrass

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Expressway shall be subject to the planning, management, and

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operating control of the department limited only by the terms of

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the lease-purchase agreements. The department shall provide for

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the payment of operation and maintenance expenses of the Sawgrass

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Expressway until such agreement is in effect. This pledge of

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turnpike system revenues shall be subordinate to the debt service

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requirements of any future issue of turnpike bonds, the payment

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of turnpike system operation and maintenance expenses, and

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subject to provisions of any subsequent resolution or trust

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indenture relating to the issuance of such turnpike bonds.

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     (6)(7) The use and disposition of revenues pledged to bonds

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are subject to the provisions of ss. 338.22-338.241 and such

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regulations as the resolution authorizing the issuance of such

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bonds or such trust agreement may provide.

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     Section 8.  Subsection (1) of section 479.01, Florida

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Statutes, is amended to read:

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     479.01  Definitions.--As used in this chapter, the term:

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     (1) "Automatic changeable facing" means a facing that which

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through a mechanical system is capable of delivering two or more

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advertising messages through an automated or remotely controlled

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process and shall not rotate so rapidly as to cause distraction

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to a motorist.

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     Section 9.  Subsections (1) and (5) of section 479.07,

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Florida Statutes, are amended to read:

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     479.07  Sign permits.--

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     (1)  Except as provided in ss. 479.105(1)(e) and 479.16, a

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person may not erect, operate, use, or maintain, or cause to be

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erected, operated, used, or maintained, any sign on the State

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Highway System outside an urban incorporated area, as defined in

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s. 334.03(32), or on any portion of the interstate or federal-aid

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primary highway system without first obtaining a permit for the

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sign from the department and paying the annual fee as provided in

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this section. For purposes of this section, "on any portion of

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the State Highway System, interstate, or federal-aid primary

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system" shall mean a sign located within the controlled area

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which is visible from any portion of the main-traveled way of

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such system.

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     (5)(a)  For each permit issued, the department shall furnish

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to the applicant a serially numbered permanent metal permit tag.

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The permittee is responsible for maintaining a valid permit tag

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on each permitted sign facing at all times. The tag shall be

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securely attached to the sign apron at the end nearest the

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highway facing or, if there is no facing, on the pole nearest the

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highway; and it shall be attached in such a manner as to be

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plainly visible from the main-traveled way. For signs holding

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valid permits on July 1, 2008, the tag posting requirement is

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effective July 1, 2010. The permit will become void unless the

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permit tag is properly and permanently displayed at the permitted

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site within 30 days after the date of permit issuance. If the

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permittee fails to erect a completed sign on the permitted site

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within 270 days after the date on which the permit was issued,

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the permit will be void, and the department may not issue a new

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permit to that permittee for the same location for 270 days after

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the date on which the permit became void.

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     (b)  If a permit tag is lost, stolen, or destroyed, the

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permittee to whom the tag was issued may must apply to the

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department for a replacement tag. The department shall establish

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by rule a service fee for replacement tags in an amount that will

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recover the actual cost of providing the replacement tag. Upon

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receipt of the application accompanied by the a service fee of

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$3, the department shall issue a replacement permit tag.

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Alternatively, the permittee may provide its own replacement tag

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pursuant to department specifications which the department shall

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establish by rule at the time it establishes the service fee for

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replacement tags.

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     Section 10.  Section 479.08, Florida Statutes, is amended to

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read:

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     479.08  Denial or revocation of permit.--The department has

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the authority to deny or revoke any permit requested or granted

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under this chapter in any case in which it determines that the

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application for the permit contains knowingly false or misleading

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information. The department has the authority to revoke any

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permit granted under this chapter in any case where or that the

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permittee has violated any of the provisions of this chapter,

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unless such permittee, within 30 days after the receipt of notice

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by the department, corrects such false or misleading information

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and complies with the provisions of this chapter. For the purpose

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of this subsection, the notice of violation issued by the

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department shall describe in detail the alleged violation and the

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corrective action required to cure the violation. Any person

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aggrieved by any action of the department in denying or revoking

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a permit under this chapter may, within 30 days after receipt of

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the notice, apply to the department for an administrative hearing

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pursuant to chapter 120. If a timely request for hearing has been

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filed and the department issues a final order revoking a permit,

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such revocation shall be effective 30 days after the date of

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rendition. Except for department action pursuant to s.

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479.107(1), the filing of a timely and proper notice of appeal

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shall operate to stay the revocation until the department's

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action is upheld.

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     Section 11.  Subsection (2) of section 479.11, Florida

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Statutes, is amended to read:

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     479.11  Specified signs prohibited.--No sign shall be

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erected, used, operated, or maintained:

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     (2)  Beyond 660 feet of the nearest edge of the right-of-way

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of any portion of the interstate highway system or the federal-

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aid primary highway system outside an urban area, the advertising

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message or informative contents of which sign is visible from the

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main traveled way erected for the purpose of its message being

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read from the main-traveled way of such system, except as

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provided in ss. 479.111(1) and 479.16.

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     Section 12.  Subsections (1), (3), (4), and (5) of section

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479.261, Florida Statutes, are amended to read:

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     479.261  Logo sign program.--

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     (1)  The department shall establish a logo sign program for

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the rights-of-way of the interstate highway system to provide

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information to motorists about available gas, food, lodging, and

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camping, attractions, and other services, as approved by the

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Federal Highway Administration, at interchanges, through the use

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of business logos, and may include additional interchanges under

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the program. A logo sign for nearby attractions may be added to

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this program if allowed by federal rules.

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     (a)  An attraction as used in this chapter is defined as an

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establishment, site, facility, or landmark that which is open a

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minimum of 5 days a week for 52 weeks a year; that which charges

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an admission for entry; which has as its principal focus family-

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oriented entertainment, cultural, educational, recreational,

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scientific, or historical activities; and that which is publicly

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recognized as a bona fide tourist attraction. However, the

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permits for businesses seeking to participate in the attractions

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logo sign program shall be awarded by the department annually to

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the highest bidders, notwithstanding the limitation on fees in

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subsection (5), which are qualified for available space at each

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qualified location, but the fees therefor may not be less than

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the fees established for logo participants in other logo

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categories.

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     (b)  The department shall incorporate the use of RV-friendly

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markers on specific information logo signs for establishments

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that cater to the needs of persons driving recreational vehicles.

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Establishments that qualify for participation in the specific

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information logo program and that also qualify as "RV-friendly"

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may request the RV-friendly marker on their specific information

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logo sign. An RV-friendly marker must consist of a design

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approved by the Federal Highway Administration. The department

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shall adopt rules in accordance with chapter 120 to administer

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this paragraph, including rules setting forth the minimum

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requirements that establishments must meet in order to qualify as

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RV-friendly. These requirements shall include large parking

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spaces, entrances, and exits that can easily accommodate

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recreational vehicles and facilities having appropriate overhead

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clearances, if applicable.

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     (c) The department may implement a 3-year rotation-based

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logo program providing for the removal and addition of

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participating businesses in the program.

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     (3)  Logo signs may be installed upon the issuance of an

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annual permit by the department or its agent and payment of a an

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application and permit fee to the department or its agent.

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     (4)  The department may contract pursuant to s. 287.057 for

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the provision of services related to the logo sign program,

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including recruitment and qualification of businesses, review of

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applications, permit issuance, and fabrication, installation, and

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maintenance of logo signs. The department may reject all

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proposals and seek another request for proposals or otherwise

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perform the work. If the department contracts for the provision

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of services for the logo sign program, the contract must require,

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unless the business owner declines, that businesses that

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previously entered into agreements with the department to

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privately fund logo sign construction and installation be

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reimbursed by the contractor for the cost of the signs which has

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not been recovered through a previously agreed upon waiver of

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fees. The contract also may allow the contractor to retain a

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portion of the annual fees as compensation for its services.

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     (5)  Permit fees for businesses that participate in the

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program must be established in an amount sufficient to offset the

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total cost to the department for the program, including contract

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costs. The department shall provide the services in the most

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efficient and cost-effective manner through department staff or

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by contracting for some or all of the services. Such annual

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permit fee shall not exceed $3,000 $1,250.

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     Section 13.  This act shall take effect July 1, 2008.

CODING: Words stricken are deletions; words underlined are additions.