Florida Senate - 2015 CS for CS for CS for SB 1372
By the Committees on Rules; Community Affairs; and Ethics and
Elections; and Senator Gaetz
595-04437-15 20151372c3
1 A bill to be entitled
2 An act relating to government accountability; amending
3 s. 11.40, F.S.; specifying that the Governor, the
4 Commissioner of Education, or the designee of the
5 Governor or of the Commissioner of Education may
6 notify the Legislative Auditing Committee of an
7 entity’s failure to comply with certain auditing and
8 financial reporting requirements; amending s. 11.45,
9 F.S.; defining the terms “abuse,” “fraud,” and
10 “waste”; revising the definition of the term “local
11 governmental entity”; excluding water management
12 districts from certain audit requirements; removing a
13 cross-reference; authorizing the Auditor General to
14 conduct audits of tourist development councils and
15 county tourism promotion agencies; revising reporting
16 requirements applicable to the Auditor General;
17 amending s. 28.35, F.S.; revising reporting
18 requirements applicable to the Florida Clerks of Court
19 Operations Corporation; amending s. 43.16, F.S.;
20 revising the responsibilities of the Justice
21 Administrative Commission, each state attorney, each
22 public defender, a criminal conflict and civil
23 regional counsel, a capital collateral regional
24 counsel, and the Guardian Ad Litem Program, to include
25 the establishment and maintenance of certain internal
26 controls; amending s. 112.313, F.S.; specifying that
27 prohibitions on conflicting employment or contractual
28 relationships for public officers or employees of an
29 agency apply to contractual relationships held by
30 certain business entities; amending s. 112.31455,
31 F.S.; correcting a cross-reference; revising
32 provisions governing collection methods for unpaid
33 automatic fines for failure to timely file disclosure
34 of financial interests to include school districts;
35 amending s. 112.3261, F.S.; revising terms to conform
36 to changes made by the act; expanding the types of
37 governmental entities that are subject to lobbyist
38 registration requirements; requiring a governmental
39 entity to create a lobbyist registration form;
40 amending ss. 129.03, 129.06, 166.241, and 189.016,
41 F.S.; requiring counties, municipalities, and special
42 districts to maintain certain budget documents on the
43 entities’ websites for a specified period; amending s.
44 215.425, F.S.; defining the term “public funds”;
45 revising nonapplicability to the prohibition on extra
46 compensation claims; requiring certain contracts to
47 which a unit of government or state university is a
48 party during a specified period to contain certain
49 prohibitions on severance pay; requiring a unit of
50 government to investigate and take necessary action to
51 recover prohibited compensation; specifying methods of
52 recovery and liability for unintentional and willful
53 violations; providing a penalty; specifying
54 applicability of procedures regarding suspension and
55 removal of an officer who commits a willful violation;
56 establishing eligibility criteria and amounts for
57 rewards; specifying circumstances under which an
58 employee has a cause of action under the Whistle
59 blower’s Act; establishing causes of action if a unit
60 of government fails to recover prohibited compensation
61 within a certain timeframe; providing for
62 applicability; amending s. 215.86, F.S.; revising
63 management systems and controls to be employed by each
64 state agency and the judicial branch; amending s.
65 215.97, F.S.; revising the definition of the term
66 “audit threshold”; amending s. 215.985, F.S.; revising
67 the requirements for a monthly financial statement
68 provided by a water management district; amending s.
69 218.32, F.S.; revising the requirements of the annual
70 financial audit report of a local governmental entity;
71 authorizing the Department of Financial Services to
72 request additional information from a local
73 governmental entity; requiring a local governmental
74 entity to respond to such requests within a specified
75 timeframe; requiring the department to notify the
76 Legislative Auditing Committee of noncompliance;
77 amending s. 218.33, F.S.; requiring local governmental
78 entities to establish and maintain internal controls;
79 amending s. 218.39, F.S.; requiring an audited entity
80 to respond to audit recommendations under specified
81 circumstances; amending s. 218.391, F.S.; revising the
82 composition of an audit committee; prohibiting an
83 audit committee member from being an employee, chief
84 executive officer, or chief financial officer of the
85 respective governmental entity; requiring the chair of
86 an audit committee to sign and execute an affidavit
87 affirming compliance with auditor selection
88 procedures; prescribing procedures in the event of
89 noncompliance with auditor selection procedures;
90 amending s. 288.92, F.S.; prohibiting specified
91 officers and board members of Enterprise Florida,
92 Inc., from representing a person or entity for
93 compensation before Enterprise Florida, Inc., and
94 associated entities thereof, for a specified
95 timeframe; amending s. 288.9604, F.S.; prohibiting a
96 director of the board of directors of the Florida
97 Development Finance Corporation from representing a
98 person or entity for compensation before the
99 corporation for a specified timeframe; amending s.
100 373.536, F.S.; deleting obsolete language; requiring
101 water management districts to maintain certain budget
102 documents on the districts’ websites for a specified
103 period; amending s. 1002.33, F.S.; revising the
104 responsibilities of the governing board of a charter
105 school to include the establishment and maintenance of
106 internal controls; amending s. 1002.37, F.S.;
107 requiring completion of an annual financial audit of
108 the Florida Virtual School; specifying audit
109 requirements; requiring an audit report to be
110 submitted to the board of trustees of the Florida
111 Virtual School and the Auditor General; removing
112 obsolete provisions; amending s. 1010.01, F.S.;
113 requiring each school district, Florida College System
114 institution, and state university to establish and
115 maintain certain internal controls; amending s.
116 1010.30, F.S.; requiring a district school board,
117 Florida College System institution board of trustees,
118 or university board of trustees to respond to audit
119 recommendations under certain circumstances; amending
120 ss. 68.082, 68.083, 218.503, and 1002.455, F.S.;
121 conforming provisions and cross-references to changes
122 made by the act; declaring that the act fulfills an
123 important state interest; providing an effective date.
124
125 Be It Enacted by the Legislature of the State of Florida:
126
127 Section 1. Subsection (2) of section 11.40, Florida
128 Statutes, is amended to read:
129 11.40 Legislative Auditing Committee.—
130 (2) Following notification by the Auditor General, the
131 Department of Financial Services, or the Division of Bond
132 Finance of the State Board of Administration, the Governor or
133 his or her designee, or the Commissioner of Education or his or
134 her designee of the failure of a local governmental entity,
135 district school board, charter school, or charter technical
136 career center to comply with the applicable provisions within s.
137 11.45(5)-(7), s. 218.32(1), s. 218.38, or s. 218.503(3), the
138 Legislative Auditing Committee may schedule a hearing to
139 determine if the entity should be subject to further state
140 action. If the committee determines that the entity should be
141 subject to further state action, the committee shall:
142 (a) In the case of a local governmental entity or district
143 school board, direct the Department of Revenue and the
144 Department of Financial Services to withhold any funds not
145 pledged for bond debt service satisfaction which are payable to
146 such entity until the entity complies with the law. The
147 committee shall specify the date such action shall begin, and
148 the directive must be received by the Department of Revenue and
149 the Department of Financial Services 30 days before the date of
150 the distribution mandated by law. The Department of Revenue and
151 the Department of Financial Services may implement the
152 provisions of this paragraph.
153 (b) In the case of a special district created by:
154 1. A special act, notify the President of the Senate, the
155 Speaker of the House of Representatives, the standing committees
156 of the Senate and the House of Representatives charged with
157 special district oversight as determined by the presiding
158 officers of each respective chamber, the legislators who
159 represent a portion of the geographical jurisdiction of the
160 special district pursuant to s. 189.034(2), and the Department
161 of Economic Opportunity that the special district has failed to
162 comply with the law. Upon receipt of notification, the
163 Department of Economic Opportunity shall proceed pursuant to s.
164 189.062 or s. 189.067. If the special district remains in
165 noncompliance after the process set forth in s. 189.034(3), or
166 if a public hearing is not held, the Legislative Auditing
167 Committee may request the department to proceed pursuant to s.
168 189.067(3).
169 2. A local ordinance, notify the chair or equivalent of the
170 local general-purpose government pursuant to s. 189.035(2) and
171 the Department of Economic Opportunity that the special district
172 has failed to comply with the law. Upon receipt of notification,
173 the department shall proceed pursuant to s. 189.062 or s.
174 189.067. If the special district remains in noncompliance after
175 the process set forth in s. 189.034(3), or if a public hearing
176 is not held, the Legislative Auditing Committee may request the
177 department to proceed pursuant to s. 189.067(3).
178 3. Any manner other than a special act or local ordinance,
179 notify the Department of Economic Opportunity that the special
180 district has failed to comply with the law. Upon receipt of
181 notification, the department shall proceed pursuant to s.
182 189.062 or s. 189.067(3).
183 (c) In the case of a charter school or charter technical
184 career center, notify the appropriate sponsoring entity, which
185 may terminate the charter pursuant to ss. 1002.33 and 1002.34.
186 Section 2. Subsection (1), paragraph (j) of subsection (2),
187 paragraph (v) of subsection (3), and paragraph (i) of subsection
188 (7) of section 11.45, Florida Statutes, are amended, and
189 paragraph (y) is added to subsection (3) of that section, to
190 read:
191 11.45 Definitions; duties; authorities; reports; rules.—
192 (1) DEFINITIONS.—As used in ss. 11.40-11.51, the term:
193 (a) “Abuse” means behavior that is deficient or improper
194 when compared with behavior that a prudent person would consider
195 reasonable and necessary operational practice given the facts
196 and circumstances. The term includes the misuse of authority or
197 position for personal gain.
198 (b)(a) “Audit” means a financial audit, operational audit,
199 or performance audit.
200 (c)(b) “County agency” means a board of county
201 commissioners or other legislative and governing body of a
202 county, however styled, including that of a consolidated or
203 metropolitan government, a clerk of the circuit court, a
204 separate or ex officio clerk of the county court, a sheriff, a
205 property appraiser, a tax collector, a supervisor of elections,
206 or any other officer in whom any portion of the fiscal duties of
207 the above are under law separately placed.
208 (d)(c) “Financial audit” means an examination of financial
209 statements in order to express an opinion on the fairness with
210 which they are presented in conformity with generally accepted
211 accounting principles and an examination to determine whether
212 operations are properly conducted in accordance with legal and
213 regulatory requirements. Financial audits must be conducted in
214 accordance with auditing standards generally accepted in the
215 United States and government auditing standards as adopted by
216 the Board of Accountancy. When applicable, the scope of
217 financial audits shall encompass the additional activities
218 necessary to establish compliance with the Single Audit Act
219 Amendments of 1996, 31 U.S.C. ss. 7501-7507, and other
220 applicable federal law.
221 (e) “Fraud” means obtaining something of value through
222 willful misrepresentation, including, but not limited to, the
223 intentional misstatements or omissions of amounts or disclosures
224 in financial statements to deceive users of financial
225 statements, theft of an entity’s assets, bribery, or the use of
226 one’s position for personal enrichment through the deliberate
227 misuse or misapplication of an organization’s resources.
228 (f)(d) “Governmental entity” means a state agency, a county
229 agency, or any other entity, however styled, that independently
230 exercises any type of state or local governmental function.
231 (g)(e) “Local governmental entity” means a county agency,
232 municipality, tourist development council, county tourism
233 promotion agency, or special district as defined in s. 189.012.
234 The term, but does not include any housing authority established
235 under chapter 421.
236 (h)(f) “Management letter” means a statement of the
237 auditor’s comments and recommendations.
238 (i)(g) “Operational audit” means an audit whose purpose is
239 to evaluate management’s performance in establishing and
240 maintaining internal controls, including controls designed to
241 prevent and detect fraud, waste, and abuse, and in administering
242 assigned responsibilities in accordance with applicable laws,
243 administrative rules, contracts, grant agreements, and other
244 guidelines. Operational audits must be conducted in accordance
245 with government auditing standards. Such audits examine internal
246 controls that are designed and placed in operation to promote
247 and encourage the achievement of management’s control objectives
248 in the categories of compliance, economic and efficient
249 operations, reliability of financial records and reports, and
250 safeguarding of assets, and identify weaknesses in those
251 internal controls.
252 (j)(h) “Performance audit” means an examination of a
253 program, activity, or function of a governmental entity,
254 conducted in accordance with applicable government auditing
255 standards or auditing and evaluation standards of other
256 appropriate authoritative bodies. The term includes an
257 examination of issues related to:
258 1. Economy, efficiency, or effectiveness of the program.
259 2. Structure or design of the program to accomplish its
260 goals and objectives.
261 3. Adequacy of the program to meet the needs identified by
262 the Legislature or governing body.
263 4. Alternative methods of providing program services or
264 products.
265 5. Goals, objectives, and performance measures used by the
266 agency to monitor and report program accomplishments.
267 6. The accuracy or adequacy of public documents, reports,
268 or requests prepared under the program by state agencies.
269 7. Compliance of the program with appropriate policies,
270 rules, or laws.
271 8. Any other issues related to governmental entities as
272 directed by the Legislative Auditing Committee.
273 (k)(i) “Political subdivision” means a separate agency or
274 unit of local government created or established by law and
275 includes, but is not limited to, the following and the officers
276 thereof: authority, board, branch, bureau, city, commission,
277 consolidated government, county, department, district,
278 institution, metropolitan government, municipality, office,
279 officer, public corporation, town, or village.
280 (l)(j) “State agency” means a separate agency or unit of
281 state government created or established by law and includes, but
282 is not limited to, the following and the officers thereof:
283 authority, board, branch, bureau, commission, department,
284 division, institution, office, officer, or public corporation,
285 as the case may be, except any such agency or unit within the
286 legislative branch of state government other than the Florida
287 Public Service Commission.
288 (m) “Waste” means the act of using or expending resources
289 unreasonably, carelessly, extravagantly, or for no useful
290 purpose.
291 (2) DUTIES.—The Auditor General shall:
292 (j) Conduct audits of local governmental entities when
293 determined to be necessary by the Auditor General, when directed
294 by the Legislative Auditing Committee, or when otherwise
295 required by law. No later than 18 months after the release of
296 the audit report, the Auditor General shall perform such
297 appropriate followup procedures as he or she deems necessary to
298 determine the audited entity’s progress in addressing the
299 findings and recommendations contained within the Auditor
300 General’s previous report. The Auditor General shall notify each
301 member of the audited entity’s governing body and the
302 Legislative Auditing Committee of the results of his or her
303 determination. For purposes of this paragraph, local
304 governmental entities do not include water management districts.
305
306 The Auditor General shall perform his or her duties
307 independently but under the general policies established by the
308 Legislative Auditing Committee. This subsection does not limit
309 the Auditor General’s discretionary authority to conduct other
310 audits or engagements of governmental entities as authorized in
311 subsection (3).
312 (3) AUTHORITY FOR AUDITS AND OTHER ENGAGEMENTS.—The Auditor
313 General may, pursuant to his or her own authority, or at the
314 direction of the Legislative Auditing Committee, conduct audits
315 or other engagements as determined appropriate by the Auditor
316 General of:
317 (v) The Florida Virtual School pursuant to s. 1002.37.
318 (y) Tourist development councils and county tourism
319 promotion agencies.
320 (7) AUDITOR GENERAL REPORTING REQUIREMENTS.—
321 (i) The Auditor General shall annually transmit by July 15,
322 to the President of the Senate, the Speaker of the House of
323 Representatives, and the Department of Financial Services, a
324 list of all school districts, charter schools, charter technical
325 career centers, Florida College System institutions, state
326 universities, and local governmental entities water management
327 districts that have failed to comply with the transparency
328 requirements as identified in the audit reports reviewed
329 pursuant to paragraph (b) and those conducted pursuant to
330 subsection (2).
331 Section 3. Paragraph (d) of subsection (2) of section
332 28.35, Florida Statutes, is amended to read:
333 28.35 Florida Clerks of Court Operations Corporation.—
334 (2) The duties of the corporation shall include the
335 following:
336 (d) Developing and certifying a uniform system of workload
337 measures and applicable workload standards for court-related
338 functions as developed by the corporation and clerk workload
339 performance in meeting the workload performance standards. These
340 workload measures and workload performance standards shall be
341 designed to facilitate an objective determination of the
342 performance of each clerk in accordance with minimum standards
343 for fiscal management, operational efficiency, and effective
344 collection of fines, fees, service charges, and court costs. The
345 corporation shall develop the workload measures and workload
346 performance standards in consultation with the Legislature. When
347 the corporation finds a clerk has not met the workload
348 performance standards, the corporation shall identify the nature
349 of each deficiency and any corrective action recommended and
350 taken by the affected clerk of the court. For quarterly periods
351 ending on the last day of March, June, September, and December
352 of each year, the corporation shall notify the Legislature of
353 any clerk not meeting workload performance standards and provide
354 a copy of any corrective action plans. Such notifications shall
355 be submitted no later than 45 days after the end of the
356 preceding quarterly period. As used in this subsection, the
357 term:
358 1. “Workload measures” means the measurement of the
359 activities and frequency of the work required for the clerk to
360 adequately perform the court-related duties of the office as
361 defined by the membership of the Florida Clerks of Court
362 Operations Corporation.
363 2. “Workload performance standards” means the standards
364 developed to measure the timeliness and effectiveness of the
365 activities that are accomplished by the clerk in the performance
366 of the court-related duties of the office as defined by the
367 membership of the Florida Clerks of Court Operations
368 Corporation.
369 Section 4. Present subsections (6) and (7) of section
370 43.16, Florida Statutes, are redesignated as subsections (7) and
371 (8), respectively, and a new subsection (6) is added to that
372 section, to read:
373 43.16 Justice Administrative Commission; membership, powers
374 and duties.—
375 (6) The commission, each state attorney, each public
376 defender, the criminal conflict and civil regional counsel, the
377 capital collateral regional counsel, and the Guardian Ad Litem
378 Program shall establish and maintain internal controls designed
379 to:
380 (a) Prevent and detect fraud, waste, and abuse.
381 (b) Promote and encourage compliance with applicable laws,
382 rules, contracts, grant agreements, and best practices.
383 (c) Support economical and efficient operations.
384 (d) Ensure reliability of financial records and reports.
385 (e) Safeguard assets.
386 Section 5. Subsection (7) of section 112.313, Florida
387 Statutes, is amended to read:
388 112.313 Standards of conduct for public officers, employees
389 of agencies, and local government attorneys.—
390 (7) CONFLICTING EMPLOYMENT OR CONTRACTUAL RELATIONSHIP.—
391 (a) No public officer or employee of an agency shall have
392 or hold any employment or contractual relationship with any
393 business entity or any agency which is subject to the regulation
394 of, or is doing business with, an agency of which he or she is
395 an officer or employee, excluding those organizations and their
396 officers who, when acting in their official capacity, enter into
397 or negotiate a collective bargaining contract with the state or
398 any municipality, county, or other political subdivision of the
399 state; nor shall an officer or employee of an agency have or
400 hold any employment or contractual relationship that will create
401 a continuing or frequently recurring conflict between his or her
402 private interests and the performance of his or her public
403 duties or that would impede the full and faithful discharge of
404 his or her public duties. For purposes of this subsection, if a
405 public officer or employee of an agency holds a controlling
406 interest in a business entity or is an officer, director, or a
407 member who manages such an entity, contractual relationships
408 held by the business entity are deemed to be held by the public
409 officer or employee.
410 1. When the agency referred to is that certain kind of
411 special tax district created by general or special law and is
412 limited specifically to constructing, maintaining, managing, and
413 financing improvements in the land area over which the agency
414 has jurisdiction, or when the agency has been organized pursuant
415 to chapter 298, then employment with, or entering into a
416 contractual relationship with, such business entity by a public
417 officer or employee of such agency shall not be prohibited by
418 this subsection or be deemed a conflict per se. However, conduct
419 by such officer or employee that is prohibited by, or otherwise
420 frustrates the intent of, this section shall be deemed a
421 conflict of interest in violation of the standards of conduct
422 set forth by this section.
423 2. When the agency referred to is a legislative body and
424 the regulatory power over the business entity resides in another
425 agency, or when the regulatory power which the legislative body
426 exercises over the business entity or agency is strictly through
427 the enactment of laws or ordinances, then employment or a
428 contractual relationship with such business entity by a public
429 officer or employee of a legislative body shall not be
430 prohibited by this subsection or be deemed a conflict.
431 (b) This subsection shall not prohibit a public officer or
432 employee from practicing in a particular profession or
433 occupation when such practice by persons holding such public
434 office or employment is required or permitted by law or
435 ordinance.
436 Section 6. Subsection (1) of section 112.31455, Florida
437 Statutes, is amended to read:
438 112.31455 Collection methods for unpaid automatic fines for
439 failure to timely file disclosure of financial interests.—
440 (1) Before referring any unpaid fine accrued pursuant to s.
441 112.3144(5) or s. 112.3145(7) s. 112.3145(6) to the Department
442 of Financial Services, the commission shall attempt to determine
443 whether the individual owing such a fine is a current public
444 officer or current public employee. If so, the commission may
445 notify the Chief Financial Officer or the governing body of the
446 appropriate county, municipality, school district, or special
447 district of the total amount of any fine owed to the commission
448 by such individual.
449 (a) After receipt and verification of the notice from the
450 commission, the Chief Financial Officer or the governing body of
451 the county, municipality, school district, or special district
452 shall begin withholding the lesser of 10 percent or the maximum
453 amount allowed under federal law from any salary-related
454 payment. The withheld payments shall be remitted to the
455 commission until the fine is satisfied.
456 (b) The Chief Financial Officer or the governing body of
457 the county, municipality, school district, or special district
458 may retain an amount of each withheld payment, as provided in s.
459 77.0305, to cover the administrative costs incurred under this
460 section.
461 Section 7. Section 112.3261, Florida Statutes, is amended
462 to read:
463 112.3261 Lobbying before governmental entities water
464 management districts; registration and reporting.—
465 (1) As used in this section, the term:
466 (a) “Governmental entity” or “entity” “District” means a
467 water management district created in s. 373.069 and operating
468 under the authority of chapter 373, a hospital district, a
469 children’s services district, an expressway authority as the
470 term “authority” is defined in s. 348.0002, the term “port
471 authority” as defined in s. 315.02, a county or municipality
472 that has not adopted lobbyist registration and reporting
473 requirements, or an independent special district with annual
474 revenues of more than $5 million which exercises ad valorem
475 taxing authority.
476 (b) “Lobbies” means seeking, on behalf of another person,
477 to influence a governmental entity district with respect to a
478 decision of the entity district in an area of policy or
479 procurement or an attempt to obtain the goodwill of an a
480 district official or employee of a governmental entity. The term
481 “lobbies” shall be interpreted and applied consistently with the
482 rules of the commission implementing s. 112.3215.
483 (c) “Lobbyist” has the same meaning as provided in s.
484 112.3215.
485 (d) “Principal” has the same meaning as provided in s.
486 112.3215.
487 (2) A person may not lobby a governmental entity district
488 until such person has registered as a lobbyist with that entity
489 district. Such registration shall be due upon initially being
490 retained to lobby and is renewable on a calendar-year basis
491 thereafter. Upon registration, the person shall provide a
492 statement signed by the principal or principal’s representative
493 stating that the registrant is authorized to represent the
494 principal. The principal shall also identify and designate its
495 main business on the statement authorizing that lobbyist
496 pursuant to a classification system approved by the governmental
497 entity district. Any changes to the information required by this
498 section must be disclosed within 15 days by filing a new
499 registration form. The registration form shall require each
500 lobbyist to disclose, under oath, the following:
501 (a) The lobbyist’s name and business address.
502 (b) The name and business address of each principal
503 represented.
504 (c) The existence of any direct or indirect business
505 association, partnership, or financial relationship with an
506 official any officer or employee of a governmental entity
507 district with which he or she lobbies or intends to lobby.
508 (d) A governmental entity shall create a lobbyist
509 registration form modeled after the In lieu of creating its own
510 lobbyist registration forms, a district may accept a completed
511 legislative branch or executive branch lobbyist registration
512 form, which must be returned to the governmental entity.
513 (3) A governmental entity district shall make lobbyist
514 registrations available to the public. If a governmental entity
515 district maintains a website, a database of currently registered
516 lobbyists and principals must be available on the entity’s
517 district’s website.
518 (4) A lobbyist shall promptly send a written statement to
519 the governmental entity district canceling the registration for
520 a principal upon termination of the lobbyist’s representation of
521 that principal. A governmental entity district may remove the
522 name of a lobbyist from the list of registered lobbyists if the
523 principal notifies the entity district that a person is no
524 longer authorized to represent that principal.
525 (5) A governmental entity district may establish an annual
526 lobbyist registration fee, not to exceed $40, for each principal
527 represented. The governmental entity district may use
528 registration fees only to administer this section.
529 (6) A governmental entity district shall be diligent to
530 ascertain whether persons required to register pursuant to this
531 section have complied. A governmental entity district may not
532 knowingly authorize a person who is not registered pursuant to
533 this section to lobby the entity district.
534 (7) Upon receipt of a sworn complaint alleging that a
535 lobbyist or principal has failed to register with a governmental
536 entity district or has knowingly submitted false information in
537 a report or registration required under this section, the
538 commission shall investigate a lobbyist or principal pursuant to
539 the procedures established under s. 112.324. The commission
540 shall provide the Governor with a report of its findings and
541 recommendations in any investigation conducted pursuant to this
542 subsection. The Governor is authorized to enforce the
543 commission’s findings and recommendations.
544 (8) A governmental entity Water management districts may
545 adopt rules to establish procedures to govern the registration
546 of lobbyists, including the adoption of forms and the
547 establishment of a lobbyist registration fee.
548 Section 8. Paragraph (c) of subsection (3) of section
549 129.03, Florida Statutes, is amended to read:
550 129.03 Preparation and adoption of budget.—
551 (3) The county budget officer, after tentatively
552 ascertaining the proposed fiscal policies of the board for the
553 next fiscal year, shall prepare and present to the board a
554 tentative budget for the next fiscal year for each of the funds
555 provided in this chapter, including all estimated receipts,
556 taxes to be levied, and balances expected to be brought forward
557 and all estimated expenditures, reserves, and balances to be
558 carried over at the end of the year.
559 (c) The board shall hold public hearings to adopt tentative
560 and final budgets pursuant to s. 200.065. The hearings shall be
561 primarily for the purpose of hearing requests and complaints
562 from the public regarding the budgets and the proposed tax
563 levies and for explaining the budget and any proposed or adopted
564 amendments. The tentative budget must be posted on the county’s
565 official website at least 2 days before the public hearing to
566 consider such budget and must remain on the website for at least
567 45 days. The final budget must be posted on the website within
568 30 days after adoption and must remain on the website for at
569 least 2 years. The tentative budgets, adopted tentative budgets,
570 and final budgets shall be filed in the office of the county
571 auditor as a public record. Sufficient reference in words and
572 figures to identify the particular transactions shall be made in
573 the minutes of the board to record its actions with reference to
574 the budgets.
575 Section 9. Paragraph (f) of subsection (2) of section
576 129.06, Florida Statutes, is amended to read:
577 129.06 Execution and amendment of budget.—
578 (2) The board at any time within a fiscal year may amend a
579 budget for that year, and may within the first 60 days of a
580 fiscal year amend the budget for the prior fiscal year, as
581 follows:
582 (f) Unless otherwise prohibited by law, if an amendment to
583 a budget is required for a purpose not specifically authorized
584 in paragraphs (a)-(e), the amendment may be authorized by
585 resolution or ordinance of the board of county commissioners
586 adopted following a public hearing.
587 1. The public hearing must be advertised at least 2 days,
588 but not more than 5 days, before the date of the hearing. The
589 advertisement must appear in a newspaper of paid general
590 circulation and must identify the name of the taxing authority,
591 the date, place, and time of the hearing, and the purpose of the
592 hearing. The advertisement must also identify each budgetary
593 fund to be amended, the source of the funds, the use of the
594 funds, and the total amount of each fund’s appropriations.
595 2. If the board amends the budget pursuant to this
596 paragraph, the adopted amendment must be posted on the county’s
597 official website within 5 days after adoption and must remain on
598 the website for at least 2 years.
599 Section 10. Subsections (3) and (5) of section 166.241,
600 Florida Statutes, are amended to read:
601 166.241 Fiscal years, budgets, and budget amendments.—
602 (3) The tentative budget must be posted on the
603 municipality’s official website at least 2 days before the
604 budget hearing, held pursuant to s. 200.065 or other law, to
605 consider such budget, and must remain on the website for at
606 least 45 days. The final adopted budget must be posted on the
607 municipality’s official website within 30 days after adoption
608 and must remain on the website for at least 2 years. If the
609 municipality does not operate an official website, the
610 municipality must, within a reasonable period of time as
611 established by the county or counties in which the municipality
612 is located, transmit the tentative budget and final budget to
613 the manager or administrator of such county or counties who
614 shall post the budgets on the county’s website.
615 (5) If the governing body of a municipality amends the
616 budget pursuant to paragraph (4)(c), the adopted amendment must
617 be posted on the official website of the municipality within 5
618 days after adoption and must remain on the website for at least
619 2 years. If the municipality does not operate an official
620 website, the municipality must, within a reasonable period of
621 time as established by the county or counties in which the
622 municipality is located, transmit the adopted amendment to the
623 manager or administrator of such county or counties who shall
624 post the adopted amendment on the county’s website.
625 Section 11. Subsections (4) and (7) of section 189.016,
626 Florida Statutes, are amended to read:
627 189.016 Reports; budgets; audits.—
628 (4) The tentative budget must be posted on the special
629 district’s official website at least 2 days before the budget
630 hearing, held pursuant to s. 200.065 or other law, to consider
631 such budget, and must remain on the website for at least 45
632 days. The final adopted budget must be posted on the special
633 district’s official website within 30 days after adoption and
634 must remain on the website for at least 2 years. If the special
635 district does not operate an official website, the special
636 district must, within a reasonable period of time as established
637 by the local general-purpose government or governments in which
638 the special district is located or the local governing authority
639 to which the district is dependent, transmit the tentative
640 budget or final budget to the manager or administrator of the
641 local general-purpose government or the local governing
642 authority. The manager or administrator shall post the tentative
643 budget or final budget on the website of the local general
644 purpose government or governing authority. This subsection and
645 subsection (3) do not apply to water management districts as
646 defined in s. 373.019.
647 (7) If the governing body of a special district amends the
648 budget pursuant to paragraph (6)(c), the adopted amendment must
649 be posted on the official website of the special district within
650 5 days after adoption and must remain on the website for at
651 least 2 years. If the special district does not operate an
652 official website, the special district must, within a reasonable
653 period of time as established by the local general-purpose
654 government or governments in which the special district is
655 located or the local governing authority to which the district
656 is dependent, transmit the adopted amendment to the manager or
657 administrator of the local general-purpose government or
658 governing authority. The manager or administrator shall post the
659 adopted amendment on the website of the local general-purpose
660 government or governing authority.
661 Section 12. Present subsections (1) through (5) of section
662 215.425, Florida Statutes, are redesignated as subsections (2)
663 through (6), respectively, present subsection (2) and paragraph
664 (a) of present subsection (4) of that section are amended, and a
665 new subsection (1) and subsections (7) through (13) are added to
666 that section, to read:
667 215.425 Extra compensation claims prohibited; bonuses;
668 severance pay.—
669 (1) As used in this section, the term “public funds” means
670 any taxes, tuition, grants, fines, fees, or other charges or any
671 other type of revenue collected by the state or any county,
672 municipality, special district, school district, Florida College
673 System institution, state university, or other separate unit of
674 government created pursuant to law, including any office,
675 department, agency, division, subdivision, political
676 subdivision, board, bureau, or commission of such entities.
677 (3)(2) Notwithstanding subsection (2), if the payment and
678 receipt does not otherwise violate part III of chapter 112, the
679 following funds may be used to provide extra compensation:
680 (a) Revenues received by state universities through or from
681 faculty practice plans; health services support organizations;
682 hospitals with which state universities are affiliated; direct
683 support organizations; or federal, auxiliary, or private
684 sources, except for tuition;
685 (b) Revenues received by Florida College System
686 institutions through or from faculty practice plans; health
687 services support organizations; direct-support organizations; or
688 federal, auxiliary, or private sources, except for tuition;
689 (c) Revenues that are received by a hospital licensed under
690 chapter 395 which has entered into a Medicaid Provider Contract
691 and that:
692 1. Are not derived from the levy of an ad valorem tax;
693 2. Are not derived from patient services paid through the
694 Medicaid or Medicare program;
695 3. Are derived from patient services pursuant to contracts
696 with private insurers or private managed care entities; or
697 4. Are not appropriated by the Legislature or by any
698 county, municipality, special district, school district, Florida
699 College System institution, state university, or other separate
700 unit of government created pursuant to law, including any
701 office, department, agency, division, subdivision, political
702 subdivision, board, bureau, commission, authority, or
703 institution of such entities, except for revenues otherwise
704 authorized to be used pursuant to subparagraphs 2. and 3.
705 This section does not apply to:
706 (a) a bonus or severance pay that is paid wholly from
707 nontax revenues and nonstate-appropriated funds, the payment and
708 receipt of which does not otherwise violate part III of chapter
709 112, and which is paid to an officer, agent, employee, or
710 contractor of a public hospital that is operated by a county or
711 a special district; or
712 (d)(b) A clothing and maintenance allowance given to
713 plainclothes deputies pursuant to s. 30.49.
714 (e) Revenues or fees received by a seaport or airport from
715 sources other than through the levy of a tax, or funds
716 appropriated by any county or municipality or the Legislature.
717 (5)(a)(4)(a) On or after July 1, 2011, A unit of
718 government, on or after July 1, 2011, or a state university, on
719 or after July 1, 2012, that is a party to enters into a contract
720 or employment agreement, or renewal or renegotiation of an
721 existing contract or employment agreement, that contains a
722 provision for severance pay with an officer, agent, employee, or
723 contractor must include the following provisions in the
724 contract:
725 1. A requirement that severance pay paid from public funds
726 provided may not exceed an amount greater than 20 weeks of
727 compensation.
728 2. A prohibition of provision of severance pay paid from
729 public funds when the officer, agent, employee, or contractor
730 has been fired for misconduct, as defined in s. 443.036(29), by
731 the unit of government.
732 (7) Upon discovery or notification that a unit of
733 government has provided prohibited compensation to any officer,
734 agent, employee, or contractor in violation of this section,
735 such unit of government shall investigate and take all necessary
736 action to recover the prohibited compensation.
737 (a) If the violation was unintentional, the unit of
738 government shall recover the prohibited compensation from the
739 individual receiving the prohibited compensation through normal
740 recovery methods for overpayments.
741 (b) If the violation was willful, the unit of government
742 shall recover the prohibited compensation from either the
743 individual receiving the prohibited compensation or the
744 individual or individuals responsible for approving the
745 prohibited compensation. Each individual determined to have
746 willfully violated this section is jointly and severally liable
747 for repayment of the prohibited compensation.
748 (8) A person who willfully violates this section commits a
749 misdemeanor of the first degree, punishable as provided in s.
750 775.082 or s. 775.083.
751 (9) An officer who exercises the powers and duties of a
752 state or county officer and willfully violates this section is
753 subject to the Governor’s power under s. 7(a), Art. IV of the
754 State Constitution. An officer who exercises powers and duties
755 other than those of a state or county officer and willfully
756 violates this section is subject to the suspension and removal
757 procedures under s. 112.51.
758 (10)(a) A person who reports a violation of this section is
759 eligible for a reward of at least $500, or the lesser of 10
760 percent of the funds recovered or $10,000 per incident of a
761 prohibited compensation payment recovered by the unit of
762 government, depending upon the extent to which the person
763 substantially contributed to the discovery, notification, and
764 recovery of such prohibited payment.
765 (b) In the event that the recovery of the prohibited
766 compensation is based primarily on disclosures of specific
767 information, other than information provided by such person,
768 relating to allegations or transactions in a criminal, civil, or
769 administrative hearing; in a legislative, administrative,
770 inspector general, or other government report; in an auditor
771 general report, hearing, audit, or investigation; or from the
772 news media, such person is not eligible for a reward, or for an
773 award of a portion of the proceeds or payment of attorney fees
774 and costs pursuant to s. 68.085.
775 (c) If it is determined that the person who reported a
776 violation of this section was involved in the authorization,
777 approval, or receipt of the prohibited compensation or is
778 convicted of criminal conduct arising from his or her role in
779 the authorization, approval, or receipt of the prohibited
780 compensation, such person is not eligible for a reward, or for
781 an award of a portion of the proceeds or payment of attorney
782 fees and costs pursuant to s. 68.085.
783 (11) An employee who is discharged, demoted, suspended,
784 threatened, harassed, or in any manner discriminated against in
785 the terms and conditions of employment by his or her employer
786 because of lawful acts done by the employee on behalf of the
787 employee or others in furtherance of an action under this
788 section, including investigation for initiation of, testimony
789 for, or assistance in an action filed or to be filed under this
790 section, has a cause of action under s. 112.3187.
791 (12) If the unit of government fails to recover prohibited
792 compensation for a willful violation of this section upon
793 discovery and notification of such prohibited payment within 90
794 days, a cause of action may be brought to:
795 (a) Recover state funds in accordance with ss. 68.082 and
796 68.083.
797 (b) Recover other funds by the Department of Legal Affairs
798 using the procedures set forth in ss. 68.082 and 68.083, except
799 that venue shall lie in the circuit court of the county in which
800 the unit of government is located.
801 (c) Recover other funds by a person using the procedures
802 set forth in ss. 68.082 and 68.083, except that venue shall lie
803 in the circuit court of the county in which the unit of
804 government is located.
805 (13) Subsections (7)-(12) apply prospectively to contracts
806 or employment agreements, or the renewal or renegotiation of an
807 existing contract or employment agreement, effective on or after
808 July 1, 2015.
809 Section 13. Section 215.86, Florida Statutes, is amended to
810 read:
811 215.86 Management systems and controls.—Each state agency
812 and the judicial branch as defined in s. 216.011 shall establish
813 and maintain management systems and internal controls designed
814 to:
815 (1) Prevent and detect fraud, waste, and abuse. that
816 (2) Promote and encourage compliance with applicable laws,
817 rules, contracts, grant agreements, and best practices.;
818 (3) Support economical and economic, efficient, and
819 effective operations.;
820 (4) Ensure reliability of financial records and reports.;
821 (5) Safeguard and safeguarding of assets. Accounting
822 systems and procedures shall be designed to fulfill the
823 requirements of generally accepted accounting principles.
824 Section 14. Paragraph (a) of subsection (2) of section
825 215.97, Florida Statutes, is amended to read:
826 215.97 Florida Single Audit Act.—
827 (2) Definitions; as used in this section, the term:
828 (a) “Audit threshold” means the threshold amount used to
829 determine when a state single audit or project-specific audit of
830 a nonstate entity shall be conducted in accordance with this
831 section. Each nonstate entity that expends a total amount of
832 state financial assistance equal to or in excess of $750,000
833 $500,000 in any fiscal year of such nonstate entity shall be
834 required to have a state single audit, or a project-specific
835 audit, for such fiscal year in accordance with the requirements
836 of this section. Periodically, Every 2 years the Auditor
837 General, after consulting with the Executive Office of the
838 Governor, the Department of Financial Services, and all state
839 awarding agencies, shall review the threshold amount for
840 requiring audits under this section and, if appropriate, may
841 recommend to the Legislature a statutory change to revise the
842 threshold amount in the annual report submitted pursuant to s.
843 11.45(7)(h) may adjust such threshold amount consistent with the
844 purposes of this section.
845 Section 15. Subsection (11) of section 215.985, Florida
846 Statutes, is amended to read:
847 215.985 Transparency in government spending.—
848 (11) Each water management district shall provide a monthly
849 financial statement in the form and manner prescribed by the
850 Department of Financial Services to the district’s its governing
851 board and make such monthly financial statement available for
852 public access on its website.
853 Section 16. Paragraph (d) of subsection (1) and subsection
854 (2) of section 218.32, Florida Statutes, are amended to read:
855 218.32 Annual financial reports; local governmental
856 entities.—
857 (1)
858 (d) Each local governmental entity that is required to
859 provide for an audit under s. 218.39(1) must submit a copy of
860 the audit report and annual financial report to the department
861 within 45 days after the completion of the audit report but no
862 later than 9 months after the end of the fiscal year. An
863 independent certified public accountant completing an audit of a
864 local governmental entity pursuant to s. 218.39 shall report, as
865 part of the audit, as to whether the entity’s annual financial
866 report is in agreement with the audited financial statements.
867 The accountant’s audit report must be supported by the same
868 level of detail as required for the annual financial report. If
869 the accountant’s audit report is not in agreement with the
870 annual financial report, the accountant shall specify and
871 explain the significant differences that exist between the
872 annual financial report and the audit report.
873 (2) The department shall annually by December 1 file a
874 verified report with the Governor, the Legislature, the Auditor
875 General, and the Special District Accountability Program of the
876 Department of Economic Opportunity showing the revenues, both
877 locally derived and derived from intergovernmental transfers,
878 and the expenditures of each local governmental entity, regional
879 planning council, local government finance commission, and
880 municipal power corporation that is required to submit an annual
881 financial report. In preparing the verified report, the
882 department may request additional information from the local
883 governmental entity. The information requested must be provided
884 to the department within 45 days of the request. If the local
885 governmental entity does not comply with the request, the
886 department shall notify the Legislative Auditing Committee,
887 which may take action pursuant to s. 11.40(2). The report must
888 include, but is not limited to:
889 (a) The total revenues and expenditures of each local
890 governmental entity that is a component unit included in the
891 annual financial report of the reporting entity.
892 (b) The amount of outstanding long-term debt by each local
893 governmental entity. For purposes of this paragraph, the term
894 “long-term debt” means any agreement or series of agreements to
895 pay money, which, at inception, contemplate terms of payment
896 exceeding 1 year in duration.
897 Section 17. Present subsection (3) of section 218.33,
898 Florida Statutes, is redesignated as subsection (4), and a new
899 subsection (3) is added to that section, to read:
900 218.33 Local governmental entities; establishment of
901 uniform fiscal years and accounting practices and procedures.—
902 (3) Each local governmental entity shall establish and
903 maintain internal controls designed to:
904 (a) Prevent and detect fraud, waste, and abuse.
905 (b) Promote and encourage compliance with applicable laws,
906 rules, contracts, grant agreements, and best practices.
907 (c) Support economical and efficient operations.
908 (d) Ensure reliability of financial records and reports.
909 (e) Safeguard assets.
910 Section 18. Present subsections (8) through (12) of section
911 218.39, Florida Statutes, are redesignated as subsections (9)
912 through (13), respectively, and a new subsection (8) is added to
913 that section, to read:
914 218.39 Annual financial audit reports.—
915 (8) If the audit report includes a recommendation that was
916 previously included in the preceding financial audit report, the
917 governing body of the audited entity, within 60 days after the
918 delivery of the audit report to the governing body and during a
919 regularly scheduled public meeting, shall indicate its intent
920 regarding corrective action, the corrective action to be taken,
921 and when the corrective action will occur. If the governing body
922 does not intend to take corrective action, it shall explain why
923 such action will not be taken at the regularly scheduled public
924 meeting.
925 Section 19. Subsection (2) of section 218.391, Florida
926 Statutes, is amended, and subsection (9) is added to that
927 section, to read:
928 218.391 Auditor selection procedures.—
929 (2) The governing body of a charter county, municipality,
930 special district, district school board, charter school, or
931 charter technical career center shall establish an audit
932 committee.
933 (a) For a county, the Each noncharter county shall
934 establish an audit committee that, at a minimum, shall consist
935 of each of the county officers elected pursuant to the county
936 charter or s. 1(d), Art. VIII of the State Constitution, or a
937 designee, and one member of the board of county commissioners or
938 its designee.
939 (b) For a municipality, special district, district school
940 board, charter school, or charter technical career center, the
941 audit committee shall consist of at least three members. One
942 member of the audit committee must be a member of the governing
943 body of an entity specified in this paragraph who shall also
944 serve as the chair of the committee.
945 (c) A member of the audit committee may not be an employee,
946 chief executive officer, or chief financial officer of the
947 county, municipality, special district, district school board,
948 charter school, or charter technical career center.
949 (d) The primary purpose of the audit committee is to assist
950 the governing body in selecting an auditor to conduct the annual
951 financial audit required in s. 218.39; however, the audit
952 committee may serve other audit oversight purposes as determined
953 by the entity’s governing body. The public may shall not be
954 excluded from the proceedings under this section.
955 (9) An audit report submitted pursuant to s. 218.39 must
956 include an affidavit executed by the chair of the audit
957 committee affirming that the committee complied with the
958 requirements of subsections (3)-(6) in selecting an auditor. If
959 the Auditor General determines that an entity failed to comply
960 with the requirements of subsections (3)-(6) in selecting an
961 auditor, the entity shall select a replacement auditor in
962 accordance with this section to conduct audits for subsequent
963 fiscal years if the original audit was performed under a
964 multiyear contract. If the replacement of an auditor would
965 preclude the entity from timely completing the annual financial
966 audit required by s. 218.39, the entity shall replace an auditor
967 in accordance with this section for the subsequent annual
968 financial audit. A multiyear contract between an entity or an
969 auditor may not prohibit or restrict an entity from complying
970 with this subsection.
971 Section 20. Paragraph (b) of subsection (2) of section
972 288.92, Florida Statutes, is amended to read:
973 288.92 Divisions of Enterprise Florida, Inc.—
974 (2)
975 (b)1. The following officers and board members are subject
976 to ss. 112.313(1)-(8), (10), (12), and (15); 112.3135; and
977 112.3143(2):
978 a. Officers and members of the board of directors of the
979 divisions of Enterprise Florida, Inc.
980 b. Officers and members of the board of directors of
981 subsidiaries of Enterprise Florida, Inc.
982 c. Officers and members of the board of directors of
983 corporations created to carry out the missions of Enterprise
984 Florida, Inc.
985 d. Officers and members of the board of directors of
986 corporations with which a division is required by law to
987 contract to carry out its missions.
988 2. The officers and board members specified in subparagraph
989 1. may not represent another person or entity for compensation
990 before Enterprise Florida, Inc., or a division, subsidiary, or
991 the board of directors of corporations created to carry out the
992 missions of Enterprise Florida, Inc., or with which a division
993 is required by law to contract to carry out its missions, for a
994 period of 2 years after retirement from or termination of
995 service to a division.
996 3.2. For purposes of applying ss. 112.313(1)-(8), (10),
997 (12), and (15); 112.3135; and 112.3143(2) to activities of the
998 officers and members of the board of directors specified in
999 subparagraph 1., those persons shall be considered public
1000 officers or employees and the corporation shall be considered
1001 their agency.
1002 4.3. It is not a violation of s. 112.3143(2) or (4) for the
1003 officers or members of the board of directors of the Florida
1004 Tourism Industry Marketing Corporation to:
1005 a. Vote on the 4-year marketing plan required under s.
1006 288.923 or vote on any individual component of or amendment to
1007 the plan.
1008 b. Participate in the establishment or calculation of
1009 payments related to the private match requirements of s.
1010 288.904(3). The officer or member must file an annual disclosure
1011 describing the nature of his or her interests or the interests
1012 of his or her principals, including corporate parents and
1013 subsidiaries of his or her principal, in the private match
1014 requirements. This annual disclosure requirement satisfies the
1015 disclosure requirement of s. 112.3143(4). This disclosure must
1016 be placed either on the Florida Tourism Industry Marketing
1017 Corporation’s website or included in the minutes of each meeting
1018 of the Florida Tourism Industry Marketing Corporation’s board of
1019 directors at which the private match requirements are discussed
1020 or voted upon.
1021 Section 21. Paragraph (a) of subsection (3) of section
1022 288.9604, Florida Statutes, is amended to read:
1023 288.9604 Creation of the authority.—
1024 (3)(a)1. A director may not receive compensation for his or
1025 her services, but is entitled to necessary expenses, including
1026 travel expenses, incurred in the discharge of his or her duties.
1027 Each director shall hold office until his or her successor has
1028 been appointed.
1029 2. Directors are subject to ss. 112.313(1)-(8), (10), (12),
1030 and (15); 112.3135; and 112.3143(2). For purposes of applying
1031 ss. 112.313(1)-(8), (10), (12), and (15); 112.3135; and
1032 112.3143(2) to activities of directors, directors shall be
1033 considered public officers and the corporation shall be
1034 considered their agency.
1035 3. A director of the board of directors of the corporation
1036 may not represent another person or entity for compensation
1037 before the corporation for a period of 2 years following his or
1038 her service on the board of directors.
1039 Section 22. Paragraph (e) of subsection (4), paragraph (d)
1040 of subsection (5), and paragraph (d) of subsection (6) of
1041 section 373.536, Florida Statutes, are amended to read:
1042 373.536 District budget and hearing thereon.—
1043 (4) BUDGET CONTROLS; FINANCIAL INFORMATION.—
1044 (e) By September 1, 2012, Each district shall provide a
1045 monthly financial statement in the form and manner prescribed by
1046 the Department of Financial Services to the district’s governing
1047 board and make such monthly financial statement available for
1048 public access on its website.
1049 (5) TENTATIVE BUDGET CONTENTS AND SUBMISSION; REVIEW AND
1050 APPROVAL.—
1051 (d) Each district shall, by August 1 of each year, submit
1052 for review a tentative budget and a description of any
1053 significant changes from the preliminary budget submitted to the
1054 Legislature pursuant to s. 373.535 to the Governor, the
1055 President of the Senate, the Speaker of the House of
1056 Representatives, the chairs of all legislative committees and
1057 subcommittees having substantive or fiscal jurisdiction over
1058 water management districts, as determined by the President of
1059 the Senate or the Speaker of the House of Representatives, as
1060 applicable, the secretary of the department, and the governing
1061 body of each county in which the district has jurisdiction or
1062 derives any funds for the operations of the district. The
1063 tentative budget must be posted on the district’s official
1064 website at least 2 days before budget hearings held pursuant to
1065 s. 200.065 or other law and must remain on the website for at
1066 least 45 days.
1067 (6) FINAL BUDGET; ANNUAL AUDIT; CAPITAL IMPROVEMENTS PLAN;
1068 WATER RESOURCE DEVELOPMENT WORK PROGRAM.—
1069 (d) The final adopted budget must be posted on the water
1070 management district’s official website within 30 days after
1071 adoption and must remain on the website for at least 2 years.
1072 Section 23. Paragraph (j) of subsection (9) of section
1073 1002.33, Florida Statutes, is amended to read:
1074 1002.33 Charter schools.—
1075 (9) CHARTER SCHOOL REQUIREMENTS.—
1076 (j) The governing body of the charter school shall be
1077 responsible for:
1078 1. Establishing and maintaining internal controls designed
1079 to:
1080 a. Prevent and detect fraud, waste, and abuse.
1081 b. Promote and encourage compliance with applicable laws,
1082 rules, contracts, grant agreements, and best practices.
1083 c. Support economical and efficient operations.
1084 d. Ensure reliability of financial records and reports.
1085 e. Safeguard assets.
1086 2.1. Ensuring that the charter school has retained the
1087 services of a certified public accountant or auditor for the
1088 annual financial audit, pursuant to s. 1002.345(2), who shall
1089 submit the report to the governing body.
1090 3.2. Reviewing and approving the audit report, including
1091 audit findings and recommendations for the financial recovery
1092 plan.
1093 4.a.3.a. Performing the duties in s. 1002.345, including
1094 monitoring a corrective action plan.
1095 b. Monitoring a financial recovery plan in order to ensure
1096 compliance.
1097 5.4. Participating in governance training approved by the
1098 department which must include government in the sunshine,
1099 conflicts of interest, ethics, and financial responsibility.
1100 Section 24. Present subsections (6) through (10) of section
1101 1002.37, Florida Statutes, are redesignated as subsections (7)
1102 through (11), respectively, a new subsection (6) is added to
1103 that section, and present subsections (6) and (11) of that
1104 section are amended, to read:
1105 1002.37 The Florida Virtual School.—
1106 (6) The Florida Virtual School shall have an annual
1107 financial audit of its accounts and records completed by an
1108 independent auditor who is a certified public accountant
1109 licensed under chapter 473. The independent auditor shall
1110 conduct the audit in accordance with rules adopted by the
1111 Auditor General pursuant to s. 11.45 and, upon completion of the
1112 audit, shall prepare an audit report in accordance with such
1113 rules. The audit report must include a written statement of the
1114 board of trustees describing corrective action to be taken in
1115 response to each of the independent auditor’s recommendations
1116 included in the audit report. The independent auditor shall
1117 submit the audit report to the board of trustees and the Auditor
1118 General no later than 9 months after the end of the preceding
1119 fiscal year.
1120 (7)(6) The board of trustees shall annually submit to the
1121 Governor, the Legislature, the Commissioner of Education, and
1122 the State Board of Education, the audit report prepared pursuant
1123 to subsection (6) and a complete and detailed report setting
1124 forth:
1125 (a) The operations and accomplishments of the Florida
1126 Virtual School within the state and those occurring outside the
1127 state as Florida Virtual School Global.
1128 (b) The marketing and operational plan for the Florida
1129 Virtual School and Florida Virtual School Global, including
1130 recommendations regarding methods for improving the delivery of
1131 education through the Internet and other distance learning
1132 technology.
1133 (c) The assets and liabilities of the Florida Virtual
1134 School and Florida Virtual School Global at the end of the
1135 fiscal year.
1136 (d) A copy of an annual financial audit of the accounts and
1137 records of the Florida Virtual School and Florida Virtual School
1138 Global, conducted by an independent certified public accountant
1139 and performed in accordance with rules adopted by the Auditor
1140 General.
1141 (e) Recommendations regarding the unit cost of providing
1142 services to students through the Florida Virtual School and
1143 Florida Virtual School Global. In order to most effectively
1144 develop public policy regarding any future funding of the
1145 Florida Virtual School, it is imperative that the cost of the
1146 program is accurately identified. The identified cost of the
1147 program must be based on reliable data.
1148 (e)(f) Recommendations regarding an accountability
1149 mechanism to assess the effectiveness of the services provided
1150 by the Florida Virtual School and Florida Virtual School Global.
1151 (11) The Auditor General shall conduct an operational audit
1152 of the Florida Virtual School, including Florida Virtual School
1153 Global. The scope of the audit shall include, but not be limited
1154 to, the administration of responsibilities relating to
1155 personnel; procurement and contracting; revenue production;
1156 school funds, including internal funds; student enrollment
1157 records; franchise agreements; information technology
1158 utilization, assets, and security; performance measures and
1159 standards; and accountability. The final report on the audit
1160 shall be submitted to the President of the Senate and the
1161 Speaker of the House of Representatives no later than January
1162 31, 2014.
1163 Section 25. Subsection (5) is added to section 1010.01,
1164 Florida Statutes, to read:
1165 1010.01 Uniform records and accounts.—
1166 (5) Each school district, Florida College System
1167 institution, and state university shall establish and maintain
1168 internal controls designed to:
1169 (a) Prevent and detect fraud, waste, and abuse.
1170 (b) Promote and encourage compliance with applicable laws,
1171 rules, contracts, grant agreements, and best practices.
1172 (c) Support economical and efficient operations.
1173 (d) Ensure reliability of financial records and reports.
1174 (e) Safeguard assets.
1175 Section 26. Subsection (2) of section 1010.30, Florida
1176 Statutes, is amended to read:
1177 1010.30 Audits required.—
1178 (2) If a school district, Florida College System
1179 institution, or university audit report includes a
1180 recommendation that was previously included in the preceding
1181 financial audit report, an audit contains a significant finding,
1182 the district school board, the Florida College System
1183 institution board of trustees, or the university board of
1184 trustees, within 60 days after the delivery of the audit report
1185 to the school district, Florida College System institution, or
1186 university and shall conduct an audit overview during a
1187 regularly scheduled public meeting, shall indicate its intent
1188 regarding corrective action, the corrective action to be taken,
1189 and when the corrective action will occur. If the district
1190 school board, Florida College System institution board of
1191 trustees, or university board of trustees does not intend to
1192 take corrective action, it shall explain why such action will
1193 not be taken at the regularly scheduled public meeting.
1194 Section 27. Subsection (2) of section 68.082, Florida
1195 Statutes, is amended to read:
1196 68.082 False claims against the state; definitions;
1197 liability.—
1198 (2) Any person who:
1199 (a) Knowingly presents or causes to be presented a false or
1200 fraudulent claim for payment or approval;
1201 (b) Knowingly authorizes, approves, or receives payment of
1202 prohibited compensation in violation of s. 215.425;
1203 (c)(b) Knowingly makes, uses, or causes to be made or used
1204 a false record or statement material to a false or fraudulent
1205 claim;
1206 (d)(c) Conspires to commit a violation of this subsection;
1207 (e)(d) Has possession, custody, or control of property or
1208 money used or to be used by the state and knowingly delivers or
1209 causes to be delivered less than all of that money or property;
1210 (f)(e) Is authorized to make or deliver a document
1211 certifying receipt of property used or to be used by the state
1212 and, intending to defraud the state, makes or delivers the
1213 receipt without knowing that the information on the receipt is
1214 true;
1215 (g)(f) Knowingly buys or receives, as a pledge of an
1216 obligation or a debt, public property from an officer or
1217 employee of the state who may not sell or pledge the property;
1218 or
1219 (h)(g) Knowingly makes, uses, or causes to be made or used
1220 a false record or statement material to an obligation to pay or
1221 transmit money or property to the state, or knowingly conceals
1222 or knowingly and improperly avoids or decreases an obligation to
1223 pay or transmit money or property to the state
1224
1225 is liable to the state for a civil penalty of not less than
1226 $5,500 and not more than $11,000 and for treble the amount of
1227 damages the state sustains because of the act of that person.
1228 Section 28. Subsection (1) of section 68.083, Florida
1229 Statutes, is amended to read:
1230 68.083 Civil actions for false claims.—
1231 (1) The department may diligently investigate a violation
1232 under s. 68.082. If the department finds that a person has
1233 violated or is violating s. 68.082, the department may bring a
1234 civil action under the Florida False Claims Act against the
1235 person. The Department of Financial Services may bring a civil
1236 action under this section if the action arises from an
1237 investigation by that department and the Department of Legal
1238 Affairs has not filed an action under this act. For a violation
1239 of s. 68.082 regarding prohibited compensation paid from state
1240 funds, the Department of Financial Services may bring a civil
1241 action under this section if the action arises from an
1242 investigation by that department concerning a violation of s.
1243 215.425 by the state and the Department of Legal Affairs has not
1244 filed an action under this act.
1245 Section 29. Subsection (3) of section 218.503, Florida
1246 Statutes, is amended to read:
1247 218.503 Determination of financial emergency.—
1248 (3) Upon notification that one or more of the conditions in
1249 subsection (1) have occurred or will occur if action is not
1250 taken to assist the local governmental entity or district school
1251 board, the Governor or his or her designee shall contact the
1252 local governmental entity or the Commissioner of Education or
1253 his or her designee shall contact the district school board to
1254 determine what actions have been taken by the local governmental
1255 entity or the district school board to resolve or prevent the
1256 condition. The information requested must be provided within 45
1257 days after the date of the request. If the local governmental
1258 entity or the district school board does not comply with the
1259 request, the Governor or his or her designee or the Commissioner
1260 of Education or his or her designee shall notify the members of
1261 the Legislative Auditing Committee, which who may take action
1262 pursuant to s. 11.40(2) s. 11.40. The Governor or the
1263 Commissioner of Education, as appropriate, shall determine
1264 whether the local governmental entity or the district school
1265 board needs state assistance to resolve or prevent the
1266 condition. If state assistance is needed, the local governmental
1267 entity or district school board is considered to be in a state
1268 of financial emergency. The Governor or the Commissioner of
1269 Education, as appropriate, has the authority to implement
1270 measures as set forth in ss. 218.50-218.504 to assist the local
1271 governmental entity or district school board in resolving the
1272 financial emergency. Such measures may include, but are not
1273 limited to:
1274 (a) Requiring approval of the local governmental entity’s
1275 budget by the Governor or approval of the district school
1276 board’s budget by the Commissioner of Education.
1277 (b) Authorizing a state loan to a local governmental entity
1278 and providing for repayment of same.
1279 (c) Prohibiting a local governmental entity or district
1280 school board from issuing bonds, notes, certificates of
1281 indebtedness, or any other form of debt until such time as it is
1282 no longer subject to this section.
1283 (d) Making such inspections and reviews of records,
1284 information, reports, and assets of the local governmental
1285 entity or district school board as are needed. The appropriate
1286 local officials shall cooperate in such inspections and reviews.
1287 (e) Consulting with officials and auditors of the local
1288 governmental entity or the district school board and the
1289 appropriate state officials regarding any steps necessary to
1290 bring the books of account, accounting systems, financial
1291 procedures, and reports into compliance with state requirements.
1292 (f) Providing technical assistance to the local
1293 governmental entity or the district school board.
1294 (g)1. Establishing a financial emergency board to oversee
1295 the activities of the local governmental entity or the district
1296 school board. If a financial emergency board is established for
1297 a local governmental entity, the Governor shall appoint board
1298 members and select a chair. If a financial emergency board is
1299 established for a district school board, the State Board of
1300 Education shall appoint board members and select a chair. The
1301 financial emergency board shall adopt such rules as are
1302 necessary for conducting board business. The board may:
1303 a. Make such reviews of records, reports, and assets of the
1304 local governmental entity or the district school board as are
1305 needed.
1306 b. Consult with officials and auditors of the local
1307 governmental entity or the district school board and the
1308 appropriate state officials regarding any steps necessary to
1309 bring the books of account, accounting systems, financial
1310 procedures, and reports of the local governmental entity or the
1311 district school board into compliance with state requirements.
1312 c. Review the operations, management, efficiency,
1313 productivity, and financing of functions and operations of the
1314 local governmental entity or the district school board.
1315 d. Consult with other governmental entities for the
1316 consolidation of all administrative direction and support
1317 services, including, but not limited to, services for asset
1318 sales, economic and community development, building inspections,
1319 parks and recreation, facilities management, engineering and
1320 construction, insurance coverage, risk management, planning and
1321 zoning, information systems, fleet management, and purchasing.
1322 2. The recommendations and reports made by the financial
1323 emergency board must be submitted to the Governor for local
1324 governmental entities or to the Commissioner of Education and
1325 the State Board of Education for district school boards for
1326 appropriate action.
1327 (h) Requiring and approving a plan, to be prepared by
1328 officials of the local governmental entity or the district
1329 school board in consultation with the appropriate state
1330 officials, prescribing actions that will cause the local
1331 governmental entity or district school board to no longer be
1332 subject to this section. The plan must include, but need not be
1333 limited to:
1334 1. Provision for payment in full of obligations outlined in
1335 subsection (1), designated as priority items, which are
1336 currently due or will come due.
1337 2. Establishment of priority budgeting or zero-based
1338 budgeting in order to eliminate items that are not affordable.
1339 3. The prohibition of a level of operations which can be
1340 sustained only with nonrecurring revenues.
1341 4. Provisions implementing the consolidation, sourcing, or
1342 discontinuance of all administrative direction and support
1343 services, including, but not limited to, services for asset
1344 sales, economic and community development, building inspections,
1345 parks and recreation, facilities management, engineering and
1346 construction, insurance coverage, risk management, planning and
1347 zoning, information systems, fleet management, and purchasing.
1348 Section 30. Subsection (2) of section 1002.455, Florida
1349 Statutes, is amended to read:
1350 1002.455 Student eligibility for K-12 virtual instruction.—
1351 (2) A student is eligible to participate in virtual
1352 instruction if:
1353 (a) The student spent the prior school year in attendance
1354 at a public school in the state and was enrolled and reported by
1355 the school district for funding during October and February for
1356 purposes of the Florida Education Finance Program surveys;
1357 (b) The student is a dependent child of a member of the
1358 United States Armed Forces who was transferred within the last
1359 12 months to this state from another state or from a foreign
1360 country pursuant to a permanent change of station order;
1361 (c) The student was enrolled during the prior school year
1362 in a virtual instruction program under s. 1002.45 or a full-time
1363 Florida Virtual School program under s. 1002.37(9)(a) s.
1364 1002.37(8)(a);
1365 (d) The student has a sibling who is currently enrolled in
1366 a virtual instruction program and the sibling was enrolled in
1367 that program at the end of the prior school year;
1368 (e) The student is eligible to enter kindergarten or first
1369 grade; or
1370 (f) The student is eligible to enter grades 2 through 5 and
1371 is enrolled full-time in a school district virtual instruction
1372 program, virtual charter school, or the Florida Virtual School.
1373 Section 31. The Legislature finds that a proper and
1374 legitimate state purpose is served when internal controls are
1375 established to prevent and detect fraud, waste, and abuse and to
1376 safeguard and account for government funds and property.
1377 Therefore, the Legislature determines and declares that this act
1378 fulfills an important state interest.
1379 Section 32. This act shall take effect October 1, 2015.