House Bill hb1139
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Florida House of Representatives - 2002 HB 1139
By Representative Harper
1 A bill to be entitled
2 An act relating to historically underutilized
3 business bondings; providing a short title;
4 providing definitions; prohibiting state
5 governmental agencies from requiring certain
6 bonding companies, agents, or brokers for
7 certain public construction contracts under
8 certain circumstances; requiring the Department
9 of Management Services to establish a program
10 to provide certain surety assistance services
11 to historically underutilized businesses;
12 authorizing the department to contract with
13 certain entities to implement the program;
14 providing an effective date.
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16 Be It Enacted by the Legislature of the State of Florida:
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18 Section 1. Short title.--This act may be cited as the
19 "State Historically Underutilized Businesses Bonding Act."
20 Section 2. Bonding for historically underutilized
21 businesses.--
22 (1) DEFINITIONS.--For purposes of this act:
23 (a) "Historically underutilized business" means a
24 small business that is a profit-making corporation, sole
25 proprietorship, partnership, or joint venture in which more
26 than 50 percent of the shares of stock or other equitable
27 securities are owned by one or more persons who are members of
28 the following groups:
29 1. Black American, including all persons having
30 origins of black racial groups of Africa.
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Florida House of Representatives - 2002 HB 1139
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1 2. Hispanic American, including all persons of
2 Mexican, Puerto Rican, Cuban, Central or South American, or
3 other Spanish or Portuguese culture or origin, regardless of
4 race.
5 3. Asian Pacific American, including persons whose
6 origins are from Japan, China, Taiwan, Korea, Vietnam, Laos,
7 Cambodia, the Philippines, Samoa, Guam, the U.S. Territories
8 of the Pacific, or the Northern Marianas, and Subcontinent
9 Asian Americans, which includes persons whose origins are from
10 India, Pakistan, Bangladesh, Sri Lanka, Bhutan, or Nepal.
11 4. Native American, including persons who are American
12 Indians, Eskimos, Aleuts, or Native Hawaiians.
13 5. Women, including women of any ethnicity.
14 (b) "Small business" means an entity that qualifies as
15 a small business pursuant to 13 C.F.R. s. 121.
16 (2) BONDING FOR HISTORICALLY UNDERUTILIZED
17 BUSINESSES.--
18 (a) A state governmental entity may not require a
19 contractor or subcontractor for any public building
20 construction contract or other public construction contract to
21 obtain a surety bond from any specific insurance or surety
22 company, agent, or broker. To the extent consistent with law,
23 the government entity may require a contractor or
24 subcontractor to meet any part or all of the bonding or
25 insurance requirements for the contract under a negotiated
26 arrangement.
27 (b) The Department of Management Services shall
28 establish a program to provide surety technical assistance
29 services for the benefit of historically underutilized
30 businesses. The department may contract with insurance
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Florida House of Representatives - 2002 HB 1139
766-124-02
1 companies, surety companies, agents, or brokers to implement
2 this program.
3 Section 3. This act shall take effect July 1, 2002,
4 and shall apply to all state construction contracts executed
5 on or after that date.
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8 HOUSE SUMMARY
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Prohibits state governmental entities from requiring a
10 contractor or subcontractor for public building
construction contracts or other public construction
11 contracts to obtain a surety bond from any specific
insurance or surety company, agent, or broker but
12 authorizes a government entity to require a contractor or
subcontractor to meet any part or all of the bonding or
13 insurance requirements for a public construction project
under a negotiated arrangement. Requires the Department
14 of Management Services to establish a program to provide
surety technical assistance services for the benefit of
15 historically underutilized businesses and authorizes the
department to contract with insurance companies, surety
16 companies, agents, or brokers to implement the program.
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