SB 5059, which would have imposed prejudgment interest on tort claims all the way up to the date of a plaintiff’s injury, failed
to pass out of the Senate Ways & Means Committee ahead of the February 24 fiscal committee cutoff deadline. A similar bill, HB 1649, also died in committee,
never receiving a hearing or committee vote.
SB 5059 is now dead for the remainder of session. The bill cannot be considered again until 2024 unless the Legislature takes extraordinary action to revive the bill this year, which we think is unlikely. We expect the bill’s proponents
will most likely renew the push for prejudgment interest next year. AWC will keep you up to date on any developments.
Cities joined public and private sector organizations from across the state to oppose the bill, which would have greatly increased liability exposure for cities, driven up settlement and litigation costs, and made liability insurance more expensive. AWC
thanks all the cities that contacted their legislators to oppose the bill. Your engagement was an important part of why the Senate rejected this damaging policy and is yet another example of how when cities speak, legislators listen.