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Florida bill would increase limits on damages claims against local governments

FLORIDA RECORD

Thursday, February 20, 2025

Florida bill would increase limits on damages claims against local governments

Legislation
Webp fiona mcfarland fl assembly

Assemblywoman Fiona McFarland's bill would give local governments more flexibility to resolve negligence claims. | Florida House of Representatives

A Florida lawmaker has introduced legislation that would likely increase civil damages payouts by local government agencies such as cities and give those agencies more flexibility to settle claims without approval from the state Legislature.

Rep. Fiona McFarland (R-Sarasota) filed House Bill 301, a bill similar to unsuccessful legislation she filed in 2024, late last month. The measure would revise rules dealing with the doctrine of sovereign immunity, which allows public agencies to avoid settling expensive lawsuits without their expressed consent.

Specifically, HB 301 would increase statutory limits on claims against political subdivision from the current $200,000 per person to $1 million per person. For cases involving multiple claims, the limit would go up from $300,000 to $3 million.

Currently, the Legislature has an accumulation of claims bills to resolve such local government liability disputes, and McFarland has said she sees her bill as a way to resolve incidents in which Florida residents were wronged by actions of local agencies.

HB 301 would allow the state or local agencies to resolve such legal disputes by paying damages awards that exceed the new limits without the current requirement for the state Legislature to act – provided that the settlement is within the limits of the agency’s insurance coverage, according to the text of the bill.

Several lobbyists have registered with the Legislature to represent clients who support or oppose the new bill. The lobbyists represent groups such as the Florida Chamber of Commerce, Florida League of Cities and the Florida Justice Association (FJA), which represents trial lawyers.

The League of Cities last year opposed a similar bill proposed by McFarland. Neither the league nor the chamber responded to requests for comment about their positions on the new bill. The league’s 2025 Legislative Platform, however, signals concern about such legislative efforts.

“The Florida League of Cities supports preserving reasonable sovereign immunity liability caps for municipal governments to protect taxpayer funds and ensure delivery of public services,” the platform states.

McFarland’s current bill would reduce the statute of limitation on negligence claims against public entities from the current four years to two years. But for acts involving sexual battery for victims under the age of 16 at the time of the act, no time limitations would apply, according to the bill.

The effective date of the bill would be Oct. 1 of this year. But the bill provides an adjustment of the statutory claim limits to $1.1 million per person and $3.2 million for multiple judgments arising out of a single incident beginning on Oct. 1 of 2030. For incidents that occur prior to Oct. 1 of this year, the previous sovereign immunity rules would apply.

The FJA has come out in support of the McFarland bill.

“This Legislature has been consistent in supporting government accountability, and this legislation is consistent with that approach by allowing local governments the ability to make their own decisions about resolving cases when they cause harm,” FJA President Todd Michaels told the Florida Phoenix.

Other entities that expect to voice opinions about the bill include the cities of Hollywood and Key West and the South Broward Hospital District.

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