Senate Bill sb0832c1

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    Florida Senate - 2001                            CS for SB 832

    By the Committee on Criminal Justice and Senators Mitchell,
    Lawson, Diaz de la Portilla and Wasserman Schultz




    307-1625-01

  1                      A bill to be entitled

  2         An act relating to the Correctional

  3         Privatization Commission; amending s. 957.03,

  4         F.S.; prohibiting the executive director, a

  5         member, or an employee of the commission from

  6         acting as a consultant for a criminal justice

  7         entity; providing penalties; providing for the

  8         commission and its staff to be under the

  9         control of the Department of Management

10         Services; amending ss. 957.07, 957.11, F.S;

11         providing for the Office of Program Policy

12         Analysis and Government Accountability rather

13         than the Auditor General to certify certain

14         cost savings and evaluate contracts and private

15         contractors that construct and operate prisons;

16         providing an effective date.

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18  Be It Enacted by the Legislature of the State of Florida:

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20         Section 1.  Paragraph (e) of subsection (3) and

21  subsection (6) of section 957.03, Florida Statutes, are

22  amended to read:

23         957.03  Correctional Privatization Commission.--

24         (3)  TERMS, ORGANIZATION, AND MEETINGS.--

25         (e)  The commission may employ an executive director

26  and such staff as is necessary, within the limits of

27  legislative appropriation.  The commission may retain such

28  consultants as it deems necessary to accomplish its mission.

29  Neither the executive director nor any consultant retained by

30  the commission may have been an employee or a contract vendor

31  of or a consultant to the department or the Department of

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    Florida Senate - 2001                            CS for SB 832
    307-1625-01




  1  Juvenile Justice, or an employee or a contract vendor of or a

  2  consultant to a bidder, for 2 years prior to employment with

  3  the commission and may not become an employee or a contract

  4  vendor of or a consultant to the department or the Department

  5  of Juvenile Justice, or an employee or a contract vendor of or

  6  a consultant to a bidder, for 2 years following termination of

  7  employment with the commission. The executive director, a

  8  commissioner, or an employee of the commission may not act as

  9  a consultant for any entity involved in the criminal justice

10  system while a member of or employed by the commission. Any

11  violation of this prohibition is punishable as provided in s.

12  112.317.

13         (6)  SUPPORT BY DEPARTMENT OF MANAGEMENT SERVICES.--The

14  commission shall be a separate budget entity, and the

15  executive director shall be its chief administrative officer.

16  The Department of Management Services shall provide

17  administrative support and service to the commission to the

18  extent requested by the executive director. The commission and

19  its staff are not subject to the control, supervision, and or

20  direction of by the Department of Management Services in any

21  manner, including, but not limited to, personnel, purchasing,

22  and budgetary matters, and except to the extent as provided in

23  chapters 110, 216, 255, 282, and 287 for agencies of the

24  executive branch. The executive director may designate a

25  maximum of two policymaking or managerial positions as being

26  exempt from the Career Service System. These two positions may

27  be provided for as members of the Senior Management Service.

28         Section 2.  Section 957.07, Florida Statutes, is

29  amended to read:

30         957.07  Cost-saving requirements.--The commission may

31  not enter into a contract or series of contracts unless the

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    Florida Senate - 2001                            CS for SB 832
    307-1625-01




  1  commission determines that the contract or series of contracts

  2  in total for the facility will result in a cost savings to the

  3  state of at least 7 percent over the public provision of a

  4  similar facility. Such cost savings as determined by the

  5  commission must be based upon the actual costs associated with

  6  the construction and operation of similar facilities or

  7  services as certified to the commission by the Office of

  8  Program Policy Analysis and Government Accountability Auditor

  9  General. In certifying the actual costs for the determination

10  of the cost savings required by this section, the Office of

11  Program Policy Analysis and Government Accountability Auditor

12  General shall calculate all of the cost components that

13  determine the inmate per diem in correctional facilities of a

14  substantially similar size, type, and location that are

15  operated by the department, including all administrative costs

16  associated with central administration. Services that are

17  provided to the department by other governmental agencies at

18  no direct cost to the department shall be assigned an

19  equivalent cost and included in the per diem. Reasonable

20  projections of payments of any kind to the state or any

21  political subdivision thereof for which the private entity

22  would be liable because of its status as private rather than a

23  public entity, including, but not limited to, corporate income

24  and sales tax payments, shall be included as cost savings in

25  all such determinations. In addition, the costs associated

26  with the appointment and activities of each contract monitor

27  shall be included in such determination. In counties where the

28  Department of Corrections pays its employees a competitive

29  area differential, the cost for the public provision of a

30  similar correctional facility may include the competitive area

31  differential paid by the department. The Office of Program

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    Florida Senate - 2001                            CS for SB 832
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  1  Policy Analysis and Government Accountability Auditor General

  2  shall provide a report detailing the state cost to design,

  3  finance, acquire, lease, construct, and operate a facility

  4  similar to the private correctional facility on a per diem

  5  basis. This report shall be provided to the commission in

  6  sufficient time that it may be included in the request for

  7  proposals.

  8         Section 3.  Section 957.11, Florida Statutes, is

  9  amended to read:

10         957.11  Evaluation of costs and benefits of

11  contracts.--The Office of Program Policy Analysis and

12  Government Accountability Auditor General shall develop and

13  implement an evaluation of the costs and benefits of each

14  contract entered into under this chapter. This evaluation must

15  include a comparison of the costs and benefits of constructing

16  and operating prisons by the state versus by private

17  contractors. The Office of Program Policy Analysis and

18  Government Accountability Auditor General shall also evaluate

19  the performance of the private contractor at the end of the

20  term of each management contract and make recommendations to

21  the Speaker of the House of Representatives and the President

22  of the Senate on whether to continue the contract.

23         Section 4.  This act shall take effect July 1, 2001.

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    Florida Senate - 2001                            CS for SB 832
    307-1625-01




  1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
  2                         Senate Bill 832

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  4  The CS/SB 832 would not abolish the Correctional Privatization
    Commission. The CS would:
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    1.    Prohibit the commission's members and staff from also
  6        working as paid consultants for businesses and other
          entities involved in the criminal justice industry and
  7        provide penalties for violations;

  8  2.    Require the Department of Management Services to oversee
          the operations of the commission, including but not
  9        limited to personnel, purchasing, and budget, in
          addition to the support services the Department of
10        Management Services now provides; and

11  3.    Empower the Office Program Policy Analysis and
          Governmental Accountability to review and evaluate the
12        performance of the commission and the vendors the
          commission contracts with, rather than assigning that
13        task to the Auditor General's Office.

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