Florida Senate - 2011                                    SB 2134
       
       
       
       By the Committee on Budget
       
       
       
       
       576-03490-11                                          20112134__
    1                        A bill to be entitled                      
    2         An act relating to the Citizens Property Insurance
    3         Corporation; repealing s. 627.351(6)(e) and (f), F.S.,
    4         relating to the procurement of goods and services by
    5         the corporation; creating s. 627.3514, F.S.; providing
    6         standards for procurements by Citizens Property
    7         Insurance Corporation; providing legislative intent;
    8         providing definitions; providing general purchasing
    9         rules for the procurement of goods or services by the
   10         Citizens Property Insurance Corporation; requiring the
   11         corporation’s legal department and purchasing
   12         department to jointly prepare a contract for the
   13         procurement of goods or services; requiring the legal
   14         department to review and approve a contract before it
   15         is executed; providing that certain procurements of
   16         goods or services are subject to competitive
   17         solicitation; providing that a public bid opening is
   18         not required except under certain circumstances;
   19         requiring a competitive solicitation to include a
   20         contract term; requiring the corporation’s purchasing
   21         department to coordinate and manage the competitive
   22         solicitation process; providing for the use of four
   23         methods for the competitive solicitation process;
   24         requiring the business unit to provide certain
   25         information in order for the purchasing department to
   26         initiate the competitive solicitation process;
   27         requiring the corporation to create a process for the
   28         evaluation of vendor proposals appropriate for the
   29         goods or services being procured and to coordinate the
   30         receipt and evaluation of responses to the competitive
   31         solicitation; requiring the corporation to give public
   32         notice of a competitive solicitation by electronically
   33         posting the competitive solicitation on its website
   34         and the state’s procurement website; prohibiting
   35         certain persons from communicating with any member of
   36         the board or employee of Citizens Property Insurance
   37         Corporation, or with any public official, officer, or
   38         employee of the executive or legislative branch of
   39         government, concerning any aspect of the solicitation;
   40         providing a procedure for breaking a tie between two
   41         vendors in the competitive solicitation process;
   42         requiring the redaction of certain confidential and
   43         exempt information in a vendor’s bid; requiring the
   44         corporation to post a copy of each contract executed
   45         on its website for certain contracts executed on or
   46         after a specified date; authorizing a respondent to a
   47         competitive solicitation to appeal the award of
   48         certain contracts of more than a specified amount by
   49         the corporation’s board; requiring the corporation’s
   50         board to hear an appeal at a publicly noticed meeting
   51         conducted according to appeal procedures established
   52         by the board; authorizing a respondent to a
   53         competitive solicitation to appeal the award of a
   54         contract having a value at or above a specified amount
   55         and less than a specified amount according to appeal
   56         procedures established by the board; providing that
   57         such appeals are not required to be heard by the
   58         board; authorizing certain exemptions from the
   59         competitive solicitation process; requiring the
   60         corporation’s purchasing policy to address procurement
   61         issues regarding conflicts of interest and to include
   62         procedures for protecting against any conflict of
   63         interest by Citizens’ board members and employees and
   64         other expert consultants who are acting as an
   65         evaluator in the purchasing process; requiring the
   66         corporation to strive to increase business with
   67         minority business enterprises; requiring the director
   68         of purchasing to certify a business as a minority
   69         business enterprise upon review and evaluation of
   70         evidence provided by the business; requiring the
   71         corporation to strive to increase business with
   72         Florida small business enterprises by providing
   73         education and outreach to Florida small business
   74         enterprises regarding business opportunities with the
   75         corporation; authorizing the corporation to use the
   76         status of a business as a Florida small business
   77         enterprise as a vendor-evaluation criterion in the
   78         procurement of goods or services; requiring the
   79         director of the corporation’s purchasing department to
   80         certify a business as a Florida small business
   81         enterprise upon review and evaluation of evidence
   82         provided by the entity; authorizing the corporation to
   83         use the status of a business as a Florida business
   84         enterprise as a vendor-evaluation criterion in the
   85         procurement of goods or services; requiring the
   86         corporation to verify the status of a Florida business
   87         enterprise; requiring the corporation’s board to
   88         annually review and adopt the purchasing policy for
   89         the corporation; requiring the corporation’s board to
   90         submit a copy of the purchasing policy to the Office
   91         of Insurance Regulation; requiring the Auditor General
   92         to have access to the corporation’s procurement
   93         documents and related materials; requiring the
   94         documents and materials held by the Auditor General to
   95         remain confidential; amending s. 838.014, F.S.;
   96         including a board member or an employee of the
   97         corporation within the definition of the term “public
   98         servant” as it relates to the crime of bribery and the
   99         misuse of public office; providing an effective date.
  100  
  101  Be It Enacted by the Legislature of the State of Florida:
  102  
  103         Section 1. Paragraphs (e) and (f) of subsection (6) of
  104  section 627.351, Florida Statutes, are repealed.
  105         Section 2. Section 627.3514, Florida Statutes, is created
  106  to read:
  107         627.3514Standards for procurement by Citizens Property
  108  Insurance Corporation.—
  109         (1) LEGISLATIVE INTENT.—It is the intent of the Legislature
  110  that Citizens Property Insurance Corporation, hereinafter
  111  “Citizens,” maintain a transparent, accountable, and competitive
  112  procurement process to ensure public confidence in the process
  113  by which goods and services are procured.
  114         (2) DEFINITIONS.—As used in this section, the term:
  115         (a) “Bid” means an offer submitted by a vendor in response
  116  to a competitive solicitation.
  117         (b) “Board” means the Citizens’ board of governors
  118  appointed pursuant to s. 627.351(6).
  119         (c) “Competitive solicitation” means an invitation to bid,
  120  a request for proposal, an invitation to negotiate, or a reverse
  121  auction.
  122         (d) “Competitive solicitation response” means a bid or
  123  proposal submitted by a vendor in response to a competitive
  124  solicitation.
  125         (e) “Contract” means a written agreement between Citizens
  126  and a vendor for the provision of goods or services.
  127         (f) “Contract manager” means the individual employed by
  128  Citizens who is responsible for overseeing performance of the
  129  contract terms and conditions, reviewing and validating all
  130  vendor invoices, tracking all expenditures and payments, and
  131  serving as a liaison with the vendor.
  132         (g) “Contract renewal” means an agreement to renew a
  133  contract.
  134         (h) “Florida business enterprise” means a business that has
  135  or maintains its primary corporate office or home office within
  136  this state.
  137         (i) “Florida small business enterprise” means a business
  138  that meets all of the following criteria:
  139         1. Has or maintains its primary corporate office or home
  140  office within this state;
  141         2. Is engaged in commercial transactions;
  142         3. Has annual gross sales or receipts of less than $6
  143  million averaged over the past 3 years of the business’s actual
  144  existence;
  145         4. Has a primary owner who owns 51 percent or more of the
  146  business or its common stock and who has a personal net worth
  147  less than $750,000, excluding primary personal residence and
  148  stock value of the Florida small business enterprise; and
  149         5. Maintains the required licenses and necessary industry
  150  expertise to perform.
  151  
  152  If the business is a wholly or partially owned subsidiary, the
  153  parent business must also meet the criteria of subparagraphs 1.
  154  5.
  155         (j) “Goods” mean all tangible or movable property or
  156  things, including software, which are purchased or leased. The
  157  term does not include investment securities, insurance, loans,
  158  credit, trust indentures, or financial service providers or
  159  underwriters provided for in s. 627.3513, whether or not
  160  evidenced by a physical certificate or contract.
  161         (k) “Informal bid” or “informal solicitation” means a
  162  written or oral quotation of cost which is documented and
  163  maintained by Citizens.
  164         (l) “Invitation to bid” means a written or electronically
  165  posted solicitation for competitive sealed bids.
  166         (m) “Invitation to negotiate” means a written or
  167  electronically posted solicitation for competitive sealed
  168  replies to select one or more vendors with which to commence
  169  negotiations for the procurement of commodities or contractual
  170  services.
  171         (n) “Minority business enterprise” means a business that
  172  meets all of the following criteria:
  173         1. Engages in commercial transactions.
  174         2. Is at least 51 percent owned by a minority person, as
  175  defined in s. 288.703, who is a citizen of the United States.
  176         3. Is managed and controlled by a minority person, as
  177  defined in s. 288.703, who is a citizen of the United States.
  178         (o) “Proposal” means the documents submitted by the vendor
  179  in response to a competitive solicitation to be used as the
  180  basis for entering into a contract.
  181         (p) “Request for proposal” means a written or
  182  electronically posted solicitation for competitive sealed
  183  proposals.
  184         (q) “Reverse auction” means an online auction process in
  185  which bidders simultaneously submit bids to a company without
  186  knowledge of the amount bid by other participants and, unlike a
  187  typical auction, prices decrease as the bidding process
  188  continues.
  189         (r) “Service” means the rendering by a vendor of time and
  190  effort other than the furnishing of specific goods. Services
  191  include, but are not limited to, insurance brokerage services,
  192  evaluations, consultations, maintenance, accounting, security,
  193  management systems, management consulting, educational training
  194  programs, research and development studies or reports, and
  195  professional, technical, and social services. Services do not
  196  include the services provided by insurance agents appointed by
  197  Citizens.
  198         (s) “Vendor” means a person or entity that has a contract
  199  with Citizens or that is under consideration for a contract,
  200  including, but not limited to, insurance companies, take-out
  201  companies, insurance agents, adjusting firms, consultants,
  202  independent adjusters, contractors, law firms, and other service
  203  providers. The term also includes any employee, agent, corporate
  204  officer, owner, or person acting on behalf of the vendor, or any
  205  parent or subsidiary corporation of the vendor.
  206         (3) GENERAL RULES.—
  207         (a) This section applies to the purchase of all goods or
  208  services by Citizens, except:
  209         1. Procurements of Citizens’ office space, which are
  210  governed by the provisions of chapter 255, except that the
  211  appeal process of subsection (6) applies; and
  212         2. Claims payments made directly to an insured, or to a
  213  vendor selected by an insured.
  214         (b) Purchases that equal or exceed $2,500, but that are
  215  less than $35,000, shall be made by receipt of written quotes,
  216  written record of telephone quotes, or informal bids, whenever
  217  practical. The procurement of goods or services valued at or
  218  over $35,000 shall be subject to competitive solicitation,
  219  except in situations in which the goods or services are provided
  220  by a sole source or are deemed an emergency purchase, the
  221  services are exempt from competitive solicitation requirements
  222  under s. 287.057(3)(f), the procurement of services is subject
  223  to s. 627.3513, or the procurement is a government contract as
  224  provided in paragraph (7)(e).
  225         (c) Purchases of goods or services that have an aggregate
  226  value of at least $10 million or a duration exceeding 8 years
  227  must be accompanied by a business case analysis before review
  228  and approval by the Citizens’ board.
  229         (d) Purchases of goods or services valued at or over
  230  $100,000 are subject to approval by the Citizens’ board.
  231         (e) Procurement of office space is subject to the
  232  provisions of chapter 255, including provisions governing the
  233  authority to hold title to real property. A public bid opening
  234  of all responding bids is required pursuant to chapter 255.
  235         (f) Procurements of goods or services may not be divided or
  236  allocated in order to circumvent the provisions of this section.
  237  The life of the contract, including renewals, must be included
  238  when determining the dollar amount for the procurement method.
  239         (g) In addition to any contractual renewal periods, a
  240  contract may be extended for a period not to exceed 6 months
  241  under the same terms and conditions set forth in the initial
  242  contract. There may be only one extension of a contract unless
  243  the failure to meet the criteria set forth in the contract for
  244  completion of the contract is due to events beyond the control
  245  of the vendor.
  246         (h) A contract in excess of $35,000 must have an employee
  247  from the business unit appointed as contract manager.
  248         (i) Citizens may:
  249         1. Amend an existing contract on terms and costs more
  250  beneficial to Citizens if the terms and costs of the contract
  251  are not extended or increased; or
  252         2. Renew a contract under the renewal terms provided by the
  253  contract.
  254         (j) Goods or services must not be received before the
  255  issuance of a purchase order or execution of a contract.
  256         (k) A Citizens’ board member, officer, or employee may not
  257  procure, purchase, or acquire any goods or services or make any
  258  contract in any manner that is not in compliance with this
  259  section.
  260         (4) CONTRACT REVIEW.—Citizens’ legal department and
  261  purchasing department must jointly prepare any contract for the
  262  procurement of goods or services. The legal department must
  263  review and approve a contract before it is executed.
  264         (5) COMPETITIVE SOLICITATION.—
  265         (a)1. The procurement of goods or services valued at or
  266  over $35,000 is subject to competitive solicitation, except in
  267  situations in which the goods or services are exempt from
  268  competitive solicitation requirements as specified in s.
  269  287.057(3)(f). A public bid opening is not required except as
  270  provided in paragraph (3)(e). A competitive solicitation must
  271  include a contract term.
  272         2. The Citizens’ purchasing department shall coordinate and
  273  manage the competitive solicitation process. The requirements of
  274  paragraphs (b) and (c) must be addressed in the development of a
  275  competitive solicitation.
  276         (b) The competitive solicitation process shall use one of
  277  the following methods: an invitation to bid, a request for
  278  proposal, an invitation to negotiate, or a reverse auction.
  279         1.a. An invitation to bid shall be used if Citizens has the
  280  ability to establish precise specifications defining the actual
  281  goods required or defining the scope of work for which a service
  282  is required.
  283         b. An invitation to bid must include a detailed description
  284  of the goods or services sought and a statement indicating
  285  whether Citizens contemplates renewal of the contract.
  286         c. A bid submitted in response to an invitation to bid
  287  which contemplates renewal of the contract must include the
  288  price for each year that the contract may be renewed. An
  289  evaluation-of-responsive bid is limited to the total cost for
  290  each year of the contract, including renewal years.
  291         2. A request for proposal shall be used if Citizens’
  292  requirements can be specifically defined.
  293         a. Before issuing a request for proposal, Citizens shall
  294  determine and specify in writing the reasons that procurement by
  295  invitation to bid is not practicable. A request for proposal
  296  must include a detailed statement describing the business unit
  297  requirements and needs for which goods or services are being
  298  sought, the relative importance of price and other evaluation
  299  criteria, and a statement indicating whether Citizens
  300  contemplates renewal of the contract.
  301         b. Criteria that must be used for an evaluation of a
  302  proposal include, but are not limited to:
  303         (I) Price, which must be specified in the proposal;
  304         (II) If Citizens contemplates renewal of the contract, the
  305  price for each year that the contract may be renewed;
  306         (III) Consideration of the total cost for each year of the
  307  contract, including renewal years; and
  308         (IV) How well the proposed goods or services meet Citizens’
  309  requirements.
  310         c. The contract shall be awarded by written notice to the
  311  vendor whose proposal is determined in writing to be the most
  312  advantageous to Citizens, taking into consideration the price
  313  and other criteria set forth in the request for proposal.
  314         3.a. An invitation to negotiate may be used if an
  315  invitation to bid or request for proposal is not practicable.
  316  Before issuing an invitation to negotiate, the executive
  317  director of Citizens must determine and specify in writing the
  318  reasons that procurement by invitation to bid or request for
  319  proposal is not applicable. The invitation to negotiate must
  320  describe the questions being explored, the facts being sought,
  321  the specific goals or problems that are the subject of the
  322  solicitation, and the criteria that shall be used to determine
  323  the acceptability of the reply and guide the selection of the
  324  vendor with which Citizens will negotiate.
  325         b. Citizens shall evaluate replies against the established
  326  evaluation criteria identified in the invitation-to-negotiate
  327  document. Citizens may select one or more vendors with which to
  328  commence negotiations. After negotiations are conducted,
  329  Citizens shall award the contract to the vendor determined to
  330  provide the best value to Citizens.
  331         4. In order for the purchasing department to initiate the
  332  competitive solicitation process, the following information must
  333  be provided by the business unit if practicable:
  334         a. Business and technical requirements and scope of work.
  335  This information must avoid use of brand names, unless used only
  336  as an indication of desired functionality or quality and the
  337  brand names are qualified with the phrase “or equivalent”;
  338         b. Performance criteria;
  339         c. Evaluation criteria;
  340         d. Specific deliverables;
  341         e. Service-level requirements; and
  342         f. Any information necessary to explain the business need
  343  or intended purpose.
  344         5. Citizens shall create a process for the evaluation of
  345  vendor proposals appropriate for the goods or services being
  346  procured and coordinate the receipt and evaluation of responses
  347  to the competitive solicitation. The process shall include the
  348  criteria to be evaluated and the method of evaluation and must
  349  include pricing as separately scored criteria. A competitive
  350  solicitation is subject to the requirements of chapter 286.
  351         6. Citizens shall give public notice of a competitive
  352  solicitation by electronically posting the competitive
  353  solicitation on its website and the state’s procurement website.
  354  Citizens shall post the notice at least 10 business days before
  355  the date set for receipt of bids, proposals, or replies unless
  356  Citizens determines in writing that a shorter period is
  357  necessary to avoid harming the interests of the state.
  358         7. A respondent to a solicitation under this section or any
  359  person acting on behalf of the respondent may not communicate
  360  with any member of the board, any employee of Citizens, or any
  361  public official, officer, or employee of the executive or
  362  legislative branch of government concerning any aspect of the
  363  solicitation, except a written or electronic communication to
  364  the procurement officer or such communication as provided for in
  365  the solicitation documents. The period of such prohibited
  366  communication begins when the solicitation is issued and ends 72
  367  hours after notice is given of a recommended award, a rejection
  368  of all proposals, or any other decision. A violation of this
  369  subparagraph may be grounds for rejecting a response.
  370         8. If a tie occurs in score or in price and if price is the
  371  only criterion during a competitive solicitation, Citizens shall
  372  determine the recommended vendor for the award based upon the
  373  following criteria, listed in order of priority:
  374         a. All goods and services of the vendor are manufactured or
  375  performed in the state.
  376         b. Certain foreign manufacturers of the vendor have
  377  employees in the state, as designated in s. 287.092.
  378         c. All goods and services of the vendor are manufactured or
  379  performed in the United States.
  380         d. The vendor is a Florida small business enterprise.
  381         e. The vendor has implemented a drug-free workplace program
  382  that meets the requirements of s. 287.087.
  383  
  384  If none of the criteria of this subparagraph resolves the tie,
  385  Citizens shall conduct a coin toss to determine the recommended
  386  vendor for award. Citizens shall notify the tied vendors of the
  387  tie and provide them with reasonable notice of the time and
  388  location of the coin toss, which they may attend.
  389         (c) If a vendor asserts that its bid contains information
  390  that is confidential and exempt from the public-records
  391  requirements of chapter 119, the vendor must submit with its bid
  392  response a version of all bid documents which redacts such
  393  information.
  394         (d) For contracts executed on or after January 1, 2012,
  395  Citizens shall post a copy of each contract executed, with
  396  necessary redactions, on its website for public access no later
  397  than 30 days after the date of execution.
  398         (6) APPEAL PROCESS.—
  399         (a) A respondent to a competitive solicitation may appeal
  400  the award of a contract by the board, including those contracts
  401  awarded under chapter 255, if the value of the contract is
  402  $100,000 or more. The appeal must be heard by the board at a
  403  publicly noticed meeting and conducted according to appeal
  404  procedures established by the board. Any further legal remedy
  405  shall be to the Circuit Court of Leon County, Florida.
  406         (b) A respondent to a competitive solicitation may appeal
  407  the award of a contract having a value at or above $35,000 and
  408  less than $100,000 according to appeal procedures established by
  409  the board. Such appeals are not required to be heard by the
  410  board. Any further legal remedy shall be to the Circuit Court of
  411  Leon County, Florida.
  412         (c) If the original award is overturned, the contract
  413  executed pursuant to the award shall be terminated.
  414         (7) EXEMPTIONS FROM COMPETITIVE SOLICITATION.—The following
  415  exemptions from competitive solicitation are authorized:
  416         (a)1. An emergency purchase is permitted only if the
  417  president of Citizens, in consultation with the chair or vice
  418  chair of the board, determines in writing that an immediate
  419  danger to the public health, safety, or welfare, or other
  420  immediate and substantial loss to Citizens or its policyholders
  421  requires emergency action, in which case Citizens may proceed
  422  with the procurement of goods or services necessitated by the
  423  immediate danger without receiving competitive bids or
  424  proposals. Citizens shall provide a report of any emergency
  425  purchase of goods or services to the board and the state’s Chief
  426  Financial Officer.
  427         2. In any emergency purchase of goods or services in excess
  428  of $35,000, each individual taking part in the development or
  429  selection of criteria for evaluation, the evaluation process, or
  430  the award process shall provide a completed and signed
  431  purchasing conflict-of-interest disclosure form by which each
  432  individual attests in writing that the individual does not have
  433  any conflict of interest in the entities evaluated or selected.
  434         (b)1. A sole source purchase is permitted only if the
  435  following steps have been completed:
  436         a. Citizens conducts an analysis of the marketplace for the
  437  goods or services; and
  438         b. Citizens determines in writing that the required goods
  439  or services are:
  440         (I) Available from only one supplier; or
  441         (II) Necessary or unique, for example, if the deliverable
  442  is copyrighted, patented, or proprietary, such as technology, or
  443  if there is an absence of competition or providers in the
  444  marketplace.
  445         2. If Citizens reasonably determines that goods or services
  446  qualify as a sole source purchase, it shall post on Citizens’
  447  website a description of the goods or services sought for at
  448  least 10 business days. If it is determined in writing by
  449  Citizens after reviewing any information received from
  450  prospective vendors that the goods or services qualify as a sole
  451  source purchase, Citizens shall notify each vendor and proceed
  452  with the purchase. A copy of the written determination shall be
  453  promptly furnished to the state’s Chief Financial Officer and
  454  the board. A sole source procurement must be discontinued and a
  455  competitive solicitation instituted when written information is
  456  timely received which demonstrates that the sole source process
  457  is not applicable.
  458         3. In any sole source purchase of goods or services in
  459  excess of $35,000, the individuals taking part in the
  460  development or selection of criteria for evaluation, the
  461  evaluation process, or the award process must provide a
  462  completed and signed purchasing conflict-of-interest disclosure
  463  form by which the individuals attest in writing that they do not
  464  have any conflict of interest in the entities evaluated or
  465  selected.
  466         (c) A purchase that is exempt from competitive solicitation
  467  as listed under s. 287.057(3)(f).
  468         (d) A contract with a financial service provider or
  469  underwriter of bonds which is subject to s. 627.3513.
  470         (e) A governmental contract if the contract was previously
  471  procured by a competitive solicitation process, and the contract
  472  is:
  473         1. An approved state term contract that complies with the
  474  requirements of ss. 287.056 and 287.057;
  475         2. Approved by the Department of Management Services;
  476         3. Procured by a state agency, political subdivision of the
  477  state, a state university or a Florida College System
  478  institution as defined in section 21 of chapter 2010-70, Laws of
  479  Florida; or
  480         4. An approved contract from the United States General
  481  Services Administration.
  482         (8) CONFLICT OF INTEREST.—Citizens’ purchasing policy must
  483  include procedures for protecting against any conflict of
  484  interest by Citizens’ board members, employees, and other expert
  485  consultants who are acting as evaluators in the purchasing
  486  process. Additionally, Citizens’ purchasing policy must address
  487  other procurement issues regarding conflicts of interest.
  488         (9) MINORITY BUSINESS ENTERPRISES.—
  489         (a) Citizens shall strive to increase business with
  490  minority business enterprises by providing education and
  491  outreach to minority businesses regarding business opportunities
  492  within Citizens, educating Citizens’ staff and vendors regarding
  493  opportunities for minority business enterprises, and tracking
  494  and monitoring purchases by minority business enterprises.
  495         (b) The director of Citizens’ purchasing department shall
  496  certify a business as a minority business enterprise upon review
  497  and evaluation of evidence provided by the business which
  498  demonstrates that it meets the definition of a minority business
  499  enterprise. Additionally, Citizens may accept minority business
  500  certifications from a federal, state, or other governmental
  501  agency or political subdivision.
  502         (10) FLORIDA SMALL BUSINESS ENTERPRISES.—
  503         (a) Citizens shall strive to increase business with Florida
  504  small business enterprises by providing education and outreach
  505  to Florida small business enterprises regarding business
  506  opportunities with Citizens, educating Citizens’ staff and
  507  vendors regarding opportunities for Florida small business
  508  enterprises, and tracking and monitoring purchases by Florida
  509  small business enterprises. Citizens may use a business’s status
  510  as a Florida small business enterprise as a vendor evaluation
  511  criterion in the procurement of goods or services if the use of
  512  such status may be beneficial for Citizens, its policyholders,
  513  or the state. A five-point preference may be awarded to vendors
  514  who meet the requirements for status as Florida small business
  515  enterprises for purposes of bid tabulation and comparison.
  516         (b) The director of Citizens’ purchasing department shall
  517  certify a business as a Florida small business enterprise upon
  518  review and evaluation of evidence provided by the entity which
  519  demonstrates that it meets the definition of a Florida small
  520  business enterprise. Additionally, Citizens may accept small
  521  business certifications from a federal, state, or other
  522  governmental agency or political subdivision.
  523         (11) FLORIDA BUSINESS ENTERPRISES.—
  524         (a) Citizens may use the Florida business enterprise status
  525  as a vendor-evaluation criterion in the procurement of goods or
  526  services if it determines that the use of a business based in
  527  this state may be beneficial for Citizens, its policyholders, or
  528  the state.
  529         (b) Citizens shall verify the status as a Florida business
  530  enterprise by a review of its corporate documentation.
  531         (12) ANNUAL REVIEW.—The Citizens’ board shall annually
  532  review and adopt the purchasing policy for the corporation to
  533  ensure compliance with this section. After adopting the
  534  purchasing policy, the board shall submit a copy of the policy
  535  to the Office of Insurance Regulation.
  536         (13) AUDITOR GENERAL REVIEW.—The Auditor General shall have
  537  access to any Citizens’ procurement documents and related
  538  materials. Such documents and materials held by the Auditor
  539  General must remain confidential as provided in s. 627.351(6) or
  540  other state law.
  541         Section 3. Subsection (6) of section 838.014, Florida
  542  Statutes, is amended to read:
  543         838.014 Definitions.—As used in this chapter, the term:
  544         (6) “Public servant” means:
  545         (a) Any officer or employee of a state, county, municipal,
  546  or special district agency or entity;
  547         (b) Any legislative or judicial officer or employee;
  548         (c) Any person, except a witness, who acts as a general or
  549  special magistrate, receiver, auditor, arbitrator, umpire,
  550  referee, consultant, or hearing officer while performing a
  551  governmental function; or
  552         (d) A candidate for election or appointment to any of the
  553  positions listed in this subsection, or an individual who has
  554  been elected to, but has yet to officially assume the
  555  responsibilities of, public office; or.
  556         (e) Any member of the board of governors or employee of
  557  Citizens Property Insurance Corporation.
  558         Section 4. This act shall take effect January 1, 2012.