McCollum’s Legislation Preventing Pay-To-Play Politics Heads To Governor For Signature
TALLAHASSEE, FL – Attorney General Bill McCollum today released the
following statement after the Transparency in Private Attorney Contracting
Act passed the Senate with bipartisan support and a final vote of 27-11:
“Pay-to-play scandals involving public officials have caused citizens to
lose trust in their government, and this bill will insulate the Attorney
General’s Office from inappropriate influence that is a concern with
contingency fee contracts.
“I applaud Senator Thrasher, Representative Eisnaugle and the Leadership
of the Florida Legislature for their efforts to pass this bill to promote
transparency and accountability.”
The bill, supported by the Attorney General as a top legislative priority,
will now head to the Governor for his signature.
“Floridians should have faith in their public officials, and I believe
this bill will champion accountability and shine light on contracts
between outside law firms and the state’s chief legal officer,” said
Senator John Thrasher, sponsor of Senate Bill 712.
House Bill 437 sponsored by Representative Eric Eisnaugle and Senate Bill
712 require common-sense provisions such as posting contracts and payments
online, keeping detailed time records for private attorneys’ hours, and
competitively selecting private attorneys. The bill will also require the
Attorney General, prior to entering a contingency fee contract with a
private attorney, to make a written determination that the representation
is both cost-effective and in the public’s best interest.
“This bill will keep contracts in the sunshine and will ensure that the
public dollars are spent in the best interest of Floridians,” said
Representative Eisnaugle.
To further protect the public’s interest, and potential recoveries in a
significant lawsuit, the Transparency in Private Attorney Contracting Act
imposes sensible limitations on the contingency fee percentages to be
applied to the damages award, and limits the maximum payout to $50 million
in contingency fees, excluding costs. The private legal services engaged
on a contingency basis must also be competitively procured, whenever
possible.
This January, as one of three statewide officials who oversee what is one
of the nation’s largest public pension system, Attorney General McCollum
also proposed a similar framework for master agreements with a group of
law firms selected to represent the State Board of Administration (SBA) in
potential securities litigation. His proposal received favorable votes
from the Governor and the CFO, ensuring that going forward, there will be
a $50 million cap on contingency fees paid to outside counsel and that
these contracts will be subject to public scrutiny.
The Attorney General’s Office has already implemented the bill’s
provisions as a policy, and passage of the legislation will codify the
policy, establishing best practices both now and in the future. House Bill
437 passed the House of Representatives last week with bipartisan support
by a 71-40 vote.
Contact: Sandi Copes
Phone: 850.245.0150
Sandi.Copes@myfloridalegal.com
