CODING: Words stricken are deletions; words underlined are additions.
HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
CHAMBER ACTION
Senate House
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5 ORIGINAL STAMP BELOW
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11 Representative(s) Sorensen offered the following:
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13 Amendment (with title amendment)
14 Remove everything after the enacting clause
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16 and insert:
17 Section 1. Paragraphs (a) and (b) of subsection (5) of
18 section 11.40, Florida Statutes, are amended to read:
19 11.40 Legislative Auditing Committee.--
20 (5) Following notification by the Auditor General, the
21 Department of Banking and Finance, or the Division of Bond
22 Finance of the State Board of Administration of the failure of
23 a local governmental entity, district school board, charter
24 school, or charter technical career center to comply with the
25 applicable provisions within s. 11.45(5)-(7), s. 218.32(1), or
26 s. 218.38, the Legislative Auditing Committee may schedule a
27 hearing. If a hearing is scheduled, the committee shall
28 determine if the entity should be subject to further state
29 action. If the committee determines that the entity should be
30 subject to further state action, the committee shall:
31 (a) In the case of a local governmental entity or
1
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Amendment No. ___ (for drafter's use only)
1 district school board, direct request the Department of
2 Revenue and the Department of Banking and Finance to withhold
3 any funds not pledged for bond debt service satisfaction which
4 are payable to such entity until the entity complies with the
5 law. The committee, in its request, shall specify the date
6 such action shall begin, and the request must be received by
7 the Department of Revenue and the Department of Banking and
8 Finance 30 days before the date of the distribution mandated
9 by law. The Department of Revenue and the Department of
10 Banking and Finance are authorized to implement the provisions
11 of this paragraph.
12 (b) In the case of a special district, notify the
13 Department of Community Affairs that the special district has
14 failed to comply with the law. Upon receipt of notification,
15 the Department of Community Affairs shall proceed pursuant to
16 the provisions specified in s. ss. 189.421 and 189.422.
17 Section 2. Subsection (5), paragraph (e) of subsection
18 (7), and subsection (8) of section 11.45, Florida Statutes,
19 are amended to read:
20 11.45 Definitions; duties; authorities; reports;
21 rules.--
22 (5) PETITION FOR AN AUDIT BY THE AUDITOR GENERAL.--The
23 Legislative Auditing Committee shall direct the Auditor
24 General to make an a financial audit of any municipality
25 whenever petitioned to do so by at least 20 percent of the
26 electors of that municipality. The supervisor of elections of
27 the county in which the municipality is located shall certify
28 whether or not the petition contains the signatures of at
29 least 20 percent of the electors of the municipality. After
30 the completion of the audit, the Auditor General shall
31 determine whether the municipality has the fiscal resources
2
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729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 necessary to pay the cost of the audit. The municipality shall
2 pay the cost of the audit within 90 days after the Auditor
3 General's determination that the municipality has the
4 available resources. If the municipality fails to pay the cost
5 of the audit, the Department of Revenue shall, upon
6 certification of the Auditor General, withhold from that
7 portion of the distribution pursuant to s. 212.20(6)(e)6.
8 which is distributable to such municipality, a sum sufficient
9 to pay the cost of the audit and shall deposit that sum into
10 the General Revenue Fund of the state.
11 (7) AUDITOR GENERAL REPORTING REQUIREMENTS.--
12 (e) The Auditor General shall notify the Governor or
13 the Commissioner of Education, as appropriate, and the
14 Legislative Auditing Committee of any audit report reviewed by
15 the Auditor General pursuant to paragraph (b) that which
16 contains a statement that a the local governmental entity or
17 district school board has met one or more of the conditions
18 specified is in a state of financial emergency as provided in
19 s. 218.503. If the Auditor General requests a clarification
20 regarding information included in an audit report to determine
21 whether a local governmental entity or district school board
22 has met one or more of the conditions specified in s. 218.503
23 is in a state of financial emergency, the requested
24 clarification must be provided within 45 days after the date
25 of the request. If the local governmental entity or district
26 school board does not comply with the Auditor General's
27 request, the Auditor General shall notify the Legislative
28 Auditing Committee. If, after obtaining the requested
29 clarification, the Auditor General determines that the local
30 governmental entity or district school board has met one or
31 more of the conditions specified in s. 218.503 is in a state
3
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Amendment No. ___ (for drafter's use only)
1 of financial emergency, he or she shall notify the Governor or
2 the Commissioner of Education and the Legislative Auditing
3 Committee.
4 (8) RULES OF THE AUDITOR GENERAL.--The Auditor
5 General, in consultation with the Board of Accountancy, shall
6 adopt rules for the form and conduct of all financial audits
7 performed by independent certified public accountants pursuant
8 to ss. 215.981, 218.39, 237.40, 240.299, and 240.331. The
9 rules for audits of local governmental entities and district
10 school boards must include, but are not limited to,
11 requirements for the reporting of information necessary to
12 carry out the purposes of the Local Governmental Entity and
13 District School Board Government Financial Emergencies Act as
14 stated in s. 218.501.
15 Section 3. Subsection (3) of section 75.05, Florida
16 Statutes, is amended to read:
17 75.05 Order and service.--
18 (3) In the case of independent special districts as
19 defined in s. 218.31(7), a copy of the complaint shall be
20 served on the Division of Bond Finance of the State Board of
21 Administration. Notwithstanding any other provision of law,
22 whether a general law or special act, validation of bonds to
23 be issued by a special district, other than a community
24 development district established pursuant to chapter 190, as
25 provided in s. 190.016(12), is not mandatory, but is at the
26 option of the issuer. However, the validation of bonds issued
27 by such community development districts shall not be required
28 on refunding issues.
29 Section 4. Subsection (5) of section 112.625, Florida
30 Statutes, is amended to read:
31 112.625 Definitions.--As used in this act:
4
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Amendment No. ___ (for drafter's use only)
1 (5) "Governmental entity" means the state, for the
2 Florida Retirement System, and the county, municipality, or
3 special district, or district school board which is the
4 employer of the member of a local retirement system or plan.
5 Section 5. Subsection (4) of section 112.63, Florida
6 Statutes, is amended to read:
7 112.63 Actuarial reports and statements of actuarial
8 impact; review.--
9 (4) Upon receipt, pursuant to subsection (2), of an
10 actuarial report, or upon receipt, pursuant to subsection (3),
11 of a statement of actuarial impact, the Department of
12 Management Services shall acknowledge such receipt, but shall
13 only review and comment on each retirement system's or plan's
14 actuarial valuations at least on a triennial basis. If the
15 department finds that the actuarial valuation is not complete,
16 accurate, or based on reasonable assumptions or otherwise
17 fails to satisfy the requirements of this part, the department
18 requires additional information necessary to complete its
19 review of the actuarial valuation of a system or plan or
20 information necessary to satisfy the duties of the department
21 pursuant to s. 112.665(1), or if the department does not
22 receive the actuarial report or statement of actuarial impact,
23 the department shall notify the administrator of the affected
24 retirement system or plan and the affected governmental entity
25 local government and request appropriate adjustment, the
26 additional information, or the required report or statement.
27 The notification shall inform the administrator of the
28 affected retirement system or plan and the affected
29 governmental entity of the consequences for failure to comply
30 with the requirements of this subsection. If, after a
31 reasonable period of time, a satisfactory adjustment is not
5
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Amendment No. ___ (for drafter's use only)
1 made or the report, statement, or additional information is
2 not provided, the department may notify the Department of
3 Revenue and the Department of Banking and Finance of such
4 noncompliance, in which case the Department of Revenue and the
5 Department of Banking and Finance shall withhold any funds not
6 pledged for bond debt service satisfaction that are payable to
7 the affected governmental entity until the adjustment is made
8 or the report, statement, or additional information is
9 provided to the department. The department shall specify the
10 date such action is to begin and notification by the
11 department must be received by the Department of Revenue, the
12 Department of Banking and Finance, and the affected
13 governmental entity 30 days before the date the action is to
14 begin.
15 (a) Within 21 days after receipt of the notice, the
16 affected governmental entity local government or the
17 department may petition for a hearing under the provisions of
18 ss. 120.569 and 120.57 with the Department of Management
19 Services. The Department of Revenue and the Department of
20 Banking and Finance shall not be parties to any such hearing
21 but may request to intervene if requested by the Department of
22 Management Services or if either the Department of Revenue or
23 the Department of Banking and Finance determines its interests
24 may be adversely affected by the hearing. If the
25 administrative law judge recommends in favor of the
26 department, the department shall perform an actuarial review,
27 or prepare the statement of actuarial impact, or collect the
28 requested information. The cost to the department of
29 performing such actuarial review, or preparing such statement,
30 or collecting the requested information shall be charged to
31 the affected governmental entity of which the employees are
6
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Amendment No. ___ (for drafter's use only)
1 covered by the retirement system or plan. If payment of such
2 costs is not received by the department within 60 days after
3 receipt by the affected governmental entity of the request for
4 payment, the department shall certify to the Department of
5 Revenue and the Department of Banking and Finance Comptroller
6 the amount due, and the Department of Revenue and the
7 Department of Banking and Finance Comptroller shall pay such
8 amount to the Department of Management Services from any funds
9 not pledged for bond debt service satisfaction that are
10 payable to the affected governmental entity of which the
11 employees are covered by the retirement system or plan. If the
12 administrative law judge recommends in favor of the affected
13 governmental entity local retirement system and the department
14 performs an actuarial review, prepares the statement of
15 actuarial impact, or collects the requested information, the
16 cost to the department of performing the actuarial review,
17 preparing the statement, or collecting the requested
18 information shall be paid by the Department of Management
19 Services.
20 (b) In the case of an affected special district, the
21 Department of Management Services shall also notify the
22 Department of Community Affairs. Upon receipt of
23 notification, the Department of Community Affairs shall
24 proceed pursuant to the provisions of s. 189.421 with regard
25 to the special district.
26 Section 6. Effective January 1, 2003, subsection (4)
27 of section 112.63, Florida Statutes, as amended by this act,
28 is amended to read:
29 112.63 Actuarial reports and statements of actuarial
30 impact; review.--
31 (4) Upon receipt, pursuant to subsection (2), of an
7
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1 actuarial report, or upon receipt, pursuant to subsection (3),
2 of a statement of actuarial impact, the Department of
3 Management Services shall acknowledge such receipt, but shall
4 only review and comment on each retirement system's or plan's
5 actuarial valuations at least on a triennial basis. If the
6 department finds that the actuarial valuation is not complete,
7 accurate, or based on reasonable assumptions or otherwise
8 fails to satisfy the requirements of this part, the department
9 requires additional information necessary to complete its
10 review of the actuarial valuation of a system or plan or
11 information necessary to satisfy the duties of the department
12 pursuant to s. 112.665(1), or the department does not receive
13 the actuarial report or statement of actuarial impact, the
14 department shall notify the administrator of the affected
15 retirement system or plan and the affected governmental entity
16 and request appropriate adjustment, the additional
17 information, or the required report or statement. The
18 notification shall inform the administrator of the affected
19 retirement system or plan and the affected governmental entity
20 of the consequences for failure to comply with the
21 requirements of this subsection. If, after a reasonable period
22 of time, a satisfactory adjustment is not made or the report,
23 statement, or additional information is not provided, the
24 department may notify the Department of Revenue and the Chief
25 Financial Officer Department of Banking and Finance of such
26 noncompliance, in which case the Department of Revenue and the
27 Chief Financial Officer Department of Banking and Finance
28 shall withhold any funds not pledged for bond debt service
29 satisfaction that are payable to the affected governmental
30 entity until the adjustment is made or the report, statement,
31 or additional information is provided to the department. The
8
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Amendment No. ___ (for drafter's use only)
1 department shall specify the date such action is to begin and
2 notification by the department must be received by the
3 Department of Revenue, the Chief Financial Officer Department
4 of Banking and Finance, and the affected governmental entity
5 30 days before the date the action is to begin.
6 (a) Within 21 days after receipt of the notice, the
7 affected governmental entity may petition for a hearing under
8 the provisions of ss. 120.569 and 120.57 with the Department
9 of Management Services. The Department of Revenue and the
10 Chief Financial Officer Department of Banking and Finance
11 shall not be parties to any such hearing but may request to
12 intervene if requested by the Department of Management
13 Services or if either the Department of Revenue or the Chief
14 Financial Officer Department of Banking and Finance determines
15 the respective its interests of either may be adversely
16 affected by the hearing. If the administrative law judge
17 recommends in favor of the department, the department shall
18 perform an actuarial review, prepare the statement of
19 actuarial impact, or collect the requested information. The
20 cost to the department of performing such actuarial review,
21 preparing such statement, or collecting the requested
22 information shall be charged to the affected governmental
23 entity of which the employees are covered by the retirement
24 system or plan. If payment of such costs is not received by
25 the department within 60 days after receipt by the affected
26 governmental entity of the request for payment, the department
27 shall certify to the Department of Revenue and the Chief
28 Financial Officer Department of Banking and Finance the amount
29 due, and the Department of Revenue and the Chief Financial
30 Officer Department of Banking and Finance shall pay such
31 amount to the Department of Management Services from any funds
9
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1 not pledged for bond debt service satisfaction that are
2 payable to the affected governmental entity of which the
3 employees are covered by the retirement system or plan. If the
4 administrative law judge recommends in favor of the affected
5 governmental entity and the department performs an actuarial
6 review, prepares the statement of actuarial impact, or
7 collects the requested information, the cost to the department
8 of performing the actuarial review, preparing the statement,
9 or collecting the requested information shall be paid by the
10 Department of Management Services.
11 (b) In the case of an affected special district, the
12 Department of Management Services shall also notify the
13 Department of Community Affairs. Upon receipt of notification,
14 the Department of Community Affairs shall proceed pursuant to
15 the provisions of s. 189.421 with regard to the special
16 district.
17 Section 7. Section 130.04, Florida Statutes, is
18 amended to read:
19 130.04 Sale Notice for bids and disposition of
20 bonds.--In case the issuing of bonds shall be authorized by
21 the result of such election, the county commissioners shall
22 sell the bonds in the manner provided in s. 218.385. cause
23 notice to be given by publication in a newspaper published in
24 the county, or in some newspaper published in the same
25 judicial circuit, if there be none published in the county,
26 that they will receive bids for the purchase of county bonds
27 at the clerk's office, on a date not less than 10 days nor
28 more than 60 days from the first publication of such notice.
29 The notice shall specify the amount of bonds offered for sale,
30 the rate of interest, and the time when principal and
31 installments of interest shall be due and payable. Any and
10
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Amendment No. ___ (for drafter's use only)
1 all bids shall be rejected if the commissioners shall deem it
2 to the best interest for the county so to do, and they may
3 cause a new notice to be given in like manner inviting other
4 bids for said bonds; provided, that when the rate of interest
5 on said bonds exceeds 5 percent per annum, said bonds shall
6 not be sold for less than 95 cents on the dollar, but when any
7 bonds have heretofore been provided for by election, and the
8 rate of interest is 5 percent per annum, or less, that in such
9 cases the county commissioners may accept less than 95 cents
10 upon the dollar, in the sale of said bonds, or for any portion
11 of said bonds not already sold; provided, however, no bonds
12 shall be sold for less than 90 cents on the dollar.
13 Section 8. Subsection (1) of section 132.02, Florida
14 Statutes, is amended to read:
15 132.02 Taxing units may refund obligations.--
16 (1) Each county, municipality, city, town, special
17 road and bridge district, special tax school district, or and
18 other taxing district districts in this state, herein
19 sometimes called a unit, may issue, pursuant to a resolution
20 or resolutions of the governing body thereof (meaning thereby
21 the board or body vested with the power of determining the
22 amount of tax levies required for taxing the taxable property
23 of such unit for the purpose of such unit) and either with or
24 without the approval of such bonds at an election, except as
25 may be required by the Constitution of the state, bonds of
26 such unit for the purpose of refunding any or all bonds,
27 coupons, or interest on any such bonds, or coupons or paving
28 certificates of indebtedness or interest on any such paving
29 certificates of indebtedness, now or hereafter outstanding, or
30 any other funded debt, all of which are herein referred to as
31 bonds, whether such unit created such indebtedness or has
11
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1 assumed, or may become liable therefor, and whether
2 indebtedness to be refunded has matured or to thereafter
3 become matured.
4 Section 9. Section 132.09, Florida Statutes, is
5 amended to read:
6 132.09 Sale of bonds Notice of sale; bids and award;
7 private sale.--When sold, the refunding bonds (except as
8 otherwise expressly provided) shall be sold in the manner
9 provided in s. 218.385. pursuant to the terms of a notice of
10 sale which shall be published at least twice. The first
11 publication to be not less than 7 days before the date fixed
12 for the sale and to be published in a newspaper published in
13 the unit, or if no newspaper is published in the unit, then in
14 a newspaper published in the county, or if no newspaper is
15 published in the county, then in a newspaper published in
16 Tallahassee, and in the discretion of the governing body of
17 the unit may be published in a financial newspaper in the City
18 of New York. Such notices shall state the time and place and
19 when and where sealed bids will be received, shall state the
20 amount of bonds, their dates, maturities, denominations and
21 interest rate or rates (which may be a maximum rate), interest
22 payment dates, an outline of the terms, if any, on which they
23 are redeemable or become payable before maturity, the amount
24 which must be deposited with the bid to secure its performance
25 if accepted, and such other pertinent information as the
26 governing body of the unit may determine. The notice of sale
27 may require the bidders to fix the interest rate or rates that
28 the bonds are to bear subject to the terms of the notice and
29 the maximum rate permitted by this chapter. The award of the
30 bonds shall be made by the governing body of the unit to the
31 bidder making the most advantageous bid which shall be
12
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Amendment No. ___ (for drafter's use only)
1 determined by the governing body in its absolute and
2 uncontrolled discretion. The right to reject all bids shall
3 be reserved to the governing body of the unit. If no bids are
4 received at such public sale, or if all bids are rejected, the
5 bonds may be sold without notice at private sale at any time
6 within one year thereafter, but such bonds shall not be sold
7 at private sale on terms less favorable to the unit than were
8 contained in the best bid at the prior public sale.
9 Section 10. Paragraph (a) of subsection (2) of section
10 163.05, Florida Statutes, is amended to read:
11 163.05 Small County Technical Assistance Program.--
12 (2) Recognizing the findings in subsection (1), the
13 Legislature declares that:
14 (a) The financial difficulties fiscal emergencies
15 confronting small counties require an investment that will
16 facilitate efforts to improve the productivity and efficiency
17 of small counties' structures and operating procedures.
18 Section 11. Subsection (2) of section 166.121, Florida
19 Statutes, is amended to read:
20 166.121 Issuance of bonds.--
21 (2) The governing body of a municipality shall
22 determine the terms and manner of sale and distribution or
23 other disposition of any and all bonds it may issue,
24 consistent with the provisions of s. 218.385, and shall have
25 any and all powers necessary or convenient to such
26 disposition.
27 Section 12. Section 166.241, Florida Statutes, is
28 amended to read:
29 166.241 Fiscal years, financial reports,
30 appropriations, and budgets, and budget amendments.--
31 (1) Each municipality shall report its finances
13
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1 annually as provided by general law.
2 (1)(2) Each municipality shall make provision for
3 establishing a fiscal year beginning October 1 of each year
4 and ending September 30 of the following year.
5 (2)(3) The governing body of each municipality shall
6 adopt a budget each fiscal year. The budget must be adopted by
7 ordinance unless otherwise specified in the respective
8 municipality's charter, except that municipalities required to
9 establish millage pursuant to chapter 200 shall adopt the
10 budget by resolution or ordinance in the manner specified in
11 s. 200.065(2). The amount available from taxation and other
12 sources, including amounts carried over from prior fiscal
13 years, must equal the total appropriations for expenditures
14 and reserves. The budget must regulate expenditures of the
15 municipality, and it is unlawful for any officer of a
16 municipal government to expend or contract for expenditures in
17 any fiscal year except in pursuance of budgeted
18 appropriations.
19 (3) The governing body of each municipality at any
20 time within a fiscal year or within up to 60 days following
21 the end of the fiscal year may amend a budget for that year as
22 follows:
23 (a) Appropriations for expenditures within a fund may
24 be decreased or increased by motion recorded in the minutes,
25 provided that the total of the appropriations of the fund is
26 not changed.
27 (b) The governing body may establish procedures by
28 which the designated budget officer may authorize certain
29 budget amendments within a department, provided that the total
30 of the appropriations of the department is not changed.
31 (c) If a budget amendment is required for a purpose
14
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1 not specifically authorized in paragraph (a) or paragraph (b),
2 the budget amendment must be adopted in the same manner as the
3 original budget unless otherwise specified in the charter of
4 the respective municipality.
5 Section 13. Section 189.4044, Florida Statutes, is
6 amended to read:
7 189.4044 Special procedures for inactive districts.--
8 (1) The department shall declare inactive any special
9 district in this state by documenting the following filing a
10 report with the Speaker of the House of Representatives and
11 the President of the Senate which shows that such special
12 district is no longer active. The inactive status of the
13 special district must be based upon a finding:
14 (a) That The special district meets one of the
15 following criteria:
16 1. The registered agent of the district, the chair of
17 the governing body of the district, or the governing body of
18 the appropriate local general-purpose government notifies the
19 department in writing that the district has taken no action
20 for 2 or more calendar years;
21 2. Following an inquiry from the department, the
22 registered agent of the district, the chair of the governing
23 body of the district, or the governing body of the appropriate
24 local general-purpose government notifies the department in
25 writing that the district has not had a governing board or a
26 sufficient number of governing board members to constitute a
27 quorum for 2 or more years or the registered agent of the
28 district, the chair of the governing body of the district, or
29 the governing body of the appropriate local general-purpose
30 government fails to respond to the department's inquiry within
31 21 days; or 18 or more months;
15
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1 3. The department determines, pursuant to s. 189.421,
2 that the district has failed to file or make a good faith
3 effort to file any of the reports listed in s. 189.419.; or
4 4. The district has failed, for 2 consecutive fiscal
5 years, to pay fees assessed by the Special District
6 Information Program pursuant to this chapter.
7 (b) The department, special district, or local
8 general-purpose government published That a notice of the
9 proposed declaration of inactive status has been published
10 once a week for 2 weeks in a newspaper of general circulation
11 in within the county or municipality in which wherein the
12 territory of the special district is located and sent a copy
13 of such notice by certified mail to the registered agent or
14 chair of the board, if any. Such notice shall include, stating
15 the name of said special district, the law under which it was
16 organized and operating, a general description of the
17 territory included in said special district, and a statement
18 stating that any objections must be filed pursuant to chapter
19 120 within 21 days after the publication date to the proposed
20 declaration or to any claims against the assets of said
21 special district shall be filed not later than 60 days
22 following the date of last publication with the department;
23 and
24 (c) Twenty-one That 60 days have elapsed from the last
25 publication date of the notice of proposed declaration of
26 inactive status and no administrative appeals were sustained
27 objections have been filed.
28 (2) If any special district is declared inactive
29 pursuant to this section, the property or assets of the
30 special district are subject to legal process for payment of
31 any debts of the district. After the payment of all the debts
16
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1 of said inactive special district, the remainder of its
2 property or assets shall escheat to the county or municipality
3 wherein located. If, however, it shall be necessary, in order
4 to pay any such debt, to levy any tax or taxes on the property
5 in the territory or limits of the inactive special district,
6 the same may be assessed and levied by order of the local
7 general-purpose government wherein the same is situated and
8 shall be assessed by the county property appraiser and
9 collected by the county tax collector.
10 (3) In the case of a district created by special act
11 of the Legislature, the department shall send a notice of
12 declaration of inactive status to notify the Speaker of the
13 House of Representatives and the President of the Senate. The
14 notice of declaration of inactive status shall reference of
15 each known special act creating or amending the charter of any
16 special district declared to be inactive under this section.
17 The declaration of inactive status shall be sufficient notice
18 as required by s. 10, Art. III of the State Constitution to
19 authorize the Legislature to repeal any special laws so
20 reported. In the case of a district created by one or more
21 local general-purpose governments, the department shall send a
22 notice of declaration of inactive status to the chair of the
23 governing body of each local general-purpose government that
24 created the district. In the case of a district created by
25 interlocal agreement, the department shall send a notice of
26 declaration of inactive status to the chair of the governing
27 body of each local general-purpose government that entered
28 into the interlocal agreement.
29 (4) The entity that created a special district
30 declared inactive under this section must dissolve the special
31 district be dissolved by repealing repeal of its enabling laws
17
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 or by other appropriate means.
2 Section 14. Subsection (1) of section 189.412, Florida
3 Statutes, is amended, and subsection (8) is added to said
4 section, to read:
5 189.412 Special District Information Program; duties
6 and responsibilities.--The Special District Information
7 Program of the Department of Community Affairs is created and
8 has the following special duties:
9 (1) The collection and maintenance of special district
10 noncompliance compliance status reports from the Department of
11 Management Services Auditor General, the Department of Banking
12 and Finance, the Division of Bond Finance of the State Board
13 of Administration, and the Auditor General the Department of
14 Management Services, the Department of Revenue, and the
15 Commission on Ethics for the reporting required in ss.
16 112.3144, 112.3145, 112.3148, 112.3149, 112.63, 200.068,
17 218.32, 218.34, 218.38, and 218.39, and 280.17 and chapter 121
18 and from state agencies administering programs that distribute
19 money to special districts. The noncompliance special district
20 compliance status reports must list those consist of a list of
21 special districts used in that state agency and a list of
22 which special districts that did not comply with the statutory
23 reporting requirements statutorily required by that agency.
24 (8) Providing assistance to local general-purpose
25 governments and certain state agencies in collecting
26 delinquent reports or information, helping special districts
27 comply with reporting requirements, declaring special
28 districts inactive when appropriate, and, when directed by the
29 Legislative Auditing Committee, initiating enforcement
30 provisions as provided in ss. 189.4044, 189.419, and 189.421.
31 Section 15. Subsections (1) and (2) of section
18
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 189.418, Florida Statutes, are amended, subsection (5) is
2 renumbered as subsection (6), present subsection (6) is
3 renumbered as subsection (7) and amended, and a new subsection
4 (5) is added to said section, to read:
5 189.418 Reports; budgets; audits.--
6 (1) When a new special district is created, the
7 district must forward to the department, within 30 days after
8 the adoption of the special act, rule, ordinance, resolution,
9 or other document that provides for the creation of the
10 district, a copy of the document and a written statement that
11 includes a reference to the status of the special district as
12 dependent or independent and the basis for such
13 classification. In addition to the document or documents that
14 create the district, the district must also submit a map of
15 the district, showing any municipal boundaries that cross the
16 district's boundaries, and any county lines if the district is
17 located in more than one county. The department must notify
18 the local government or other entity and the district within
19 30 days after receipt of the document or documents that create
20 the district as to whether the district has been determined to
21 be dependent or independent.
22 (2) Any amendment, modification, or update of the
23 document by which the district was created, including changes
24 in boundaries, must be filed with the department within 30
25 days after adoption. The department may initiate proceedings
26 against special districts as provided in s. ss. 189.421 and
27 189.422 for failure to file the information required by this
28 subsection.
29 (5) The governing body of each special district at any
30 time within a fiscal year or within up to 60 days following
31 the end of the fiscal year may amend a budget for that year.
19
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 The budget amendment must be adopted by resolution.
2 (7)(6) All reports or information required to be filed
3 with a local governing authority under ss. 189.415, 189.416,
4 and 189.417, 218.32, and 218.39 and this section shall:
5 (a) When the local governing authority is a county, be
6 filed with the clerk of the board of county commissioners.
7 (b) When the district is a multicounty district, be
8 filed with the clerk of the county commission in each county.
9 (c) When the local governing authority is a
10 municipality, be filed at the place designated by the
11 municipal governing body.
12 Section 16. Section 189.419, Florida Statutes, is
13 amended to read:
14 189.419 Effect of failure to file certain reports or
15 information.--
16 (1) If a special district fails to file the reports or
17 information required under s. 189.415, s. 189.416, or s.
18 189.417, s. 189.418, s. 218.32, or s. 218.39 and a description
19 of all new bonds as provided in s. 218.38(1) with the local
20 governing authority, the person authorized to receive and read
21 the reports or information shall notify the district's
22 registered agent and the appropriate local governing authority
23 or authorities. If requested by the district At any time, the
24 governing authority shall may grant an extension of time of up
25 to 30 days for filing the required reports or information,
26 except that an extension may not exceed 30 days.
27 (2) If at any time the local governing authority or
28 authorities or the board of county commissioners determines
29 that there has been an unjustified failure to file the reports
30 or information described in subsection (1), it may notify
31 petition the department and the department may proceed
20
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 pursuant to initiate proceedings against the special district
2 in the manner provided in s. 189.421.
3 (3) If a special district fails to file the reports or
4 information required under s. 112.63, s. 218.32, s. 218.38, or
5 s. 218.39 with the appropriate state agency, the agency shall
6 notify the department, and the department shall proceed
7 pursuant to s. 189.421 may initiate proceedings against the
8 special district in the manner provided in s. 189.421 or
9 assess fines of not more than $25, with an aggregate total not
10 to exceed $50, when formal inquiries do not resolve the
11 noncompliance.
12 Section 17. Section 189.421, Florida Statutes, is
13 amended to read:
14 (Substantial rewording of section. See
15 s. 189.421, F.S., for present text.)
16 189.421 Failure of district to disclose financial
17 reports.--
18 (1) When notified pursuant to s. 189.419, the
19 department shall attempt to assist a special district to
20 comply with its financial reporting requirements by sending a
21 certified letter to the special district, and a copy of the
22 letter to the chair of the governing body of the local
23 general-purpose government, which includes the following: a
24 description of the required report, including statutory
25 submission deadlines, a contact telephone number for technical
26 assistance to help the special district comply, a 60-day
27 extension of time for filing the required report with the
28 appropriate entity, the address where the report must be
29 filed, and an explanation of the penalties for noncompliance.
30 The department may grant an additional 30-day extension of
31 time if requested to do so in writing by the special district.
21
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 The department shall notify the appropriate entity of the new
2 extension of time. In the case of a special district that did
3 not timely file the reports or information required by s.
4 218.38, the department shall send a certified technical
5 assistance letter to the special district that summarizes the
6 requirements and encourages the special district to take steps
7 to prevent the noncompliance from reoccurring.
8 (2) Failure of a special district to comply with the
9 financial reporting requirements after the procedures of
10 subsection (1) are exhausted shall be deemed final action of
11 the special district. The financial reporting requirements
12 are hereby declared to be essential requirements of law.
13 Remedy for noncompliance shall be by writ of certiorari as set
14 forth in subsection (3).
15 (3) Pursuant to s. 11.40(5)(b), the Legislative
16 Auditing Committee shall notify the department of those
17 districts that failed to file the required report. Within 30
18 days after receiving this notice or within 30 days after the
19 extension date provided in subsection (1), whichever occurs
20 later, the department shall proceed as follows:
21 notwithstanding the provisions of chapter 120, the department
22 shall file a petition for writ of certiorari with the circuit
23 court. Venue for all actions pursuant to this subsection
24 shall be in Leon County. The court shall award the prevailing
25 party attorney's fees and costs in all cases filed pursuant to
26 this section unless affirmatively waived by all parties. A
27 writ of certiorari shall be issued unless a respondent
28 establishes that the notification of the Legislative Auditing
29 Committee was issued as a result of material error.
30 Proceedings under this subsection shall otherwise be governed
31 by the Rules of Appellate Procedure.
22
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 Section 18. Subsection (5) of section 189.428, Florida
2 Statutes, is amended to read:
3 189.428 Special districts; oversight review process.--
4 (5) Those conducting the oversight review process
5 shall, at a minimum, consider the listed criteria for
6 evaluating the special district, but may also consider any
7 additional factors relating to the district and its
8 performance. If any of the listed criteria does do not apply
9 to the special district being reviewed, it they need not be
10 considered. The criteria to be considered by the reviewer
11 include:
12 (a) The degree to which the service or services
13 offered by the special district are essential or contribute to
14 the well-being of the community.
15 (b) The extent of continuing need for the service or
16 services currently provided by the special district.
17 (c) The extent of municipal annexation or
18 incorporation activity occurring or likely to occur within the
19 boundaries of the special district and its impact on the
20 delivery of services by the special district.
21 (d) Whether there is a less costly alternative method
22 of delivering the service or services that would adequately
23 provide the district residents with the services provided by
24 the district.
25 (e) Whether transfer of the responsibility for
26 delivery of the service or services to an entity other than
27 the special district being reviewed could be accomplished
28 without jeopardizing the district's existing contracts, bonds,
29 or outstanding indebtedness.
30 (f) Whether the Auditor General has notified the
31 Legislative Auditing Committee that the special district's
23
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 audit report, reviewed pursuant to s. 11.45(7), indicates that
2 the district has met any of the conditions specified in s.
3 218.503(1) or that a deteriorating financial condition exists
4 that may cause a condition described in s. 218.503(1) to occur
5 if actions are not taken to address such condition.
6 (g) Whether the Auditor General has determined that
7 the special district is in a state of financial emergency as
8 provided in s. 218.503(1), and has notified the Governor and
9 the Legislative Auditing Committee.
10 (g)(h) Whether the district is inactive according to
11 the official list of special districts, and whether the
12 district is meeting and discharging its responsibilities as
13 required by its charter, as well as projected increases or
14 decreases in district activity.
15 (h)(i) Whether the special district has failed to
16 comply with any of the reporting requirements in this chapter,
17 including preparation of the public facilities report.
18 (i)(j) Whether the special district has designated a
19 registered office and agent as required by s. 189.416, and has
20 complied with all open public records and meeting
21 requirements.
22 Section 19. Paragraph (a) of subsection (1) of section
23 189.439, Florida Statutes, is amended to read:
24 189.439 Bonds.--
25 (1) AUTHORIZATION AND FORM OF BONDS.--
26 (a) The authority may issue and sell bonds for any
27 purpose for which the authority has the power to expend money,
28 including, without limitation, the power to obtain working
29 capital loans to finance the costs of any project and to
30 refund any bonds or other indebtedness at the time outstanding
31 at or before maturity. Bonds may be sold in the manner
24
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 provided in s. 218.385 and by public or negotiated sale after
2 advertisement, if any, as the board considers advisable.
3 Bonds may be authorized by resolution of the board.
4 Section 20. Section 215.981, Florida Statutes, is
5 amended to read:
6 215.981 Audits of state agency direct-support
7 organizations and citizen support organizations.--Each
8 direct-support organization and each citizen support
9 organization, created or authorized pursuant to law, and
10 created, approved, or administered by a state agency, other
11 than a university, district board of trustees of a community
12 college, or district school board, shall provide for an annual
13 financial audit of its accounts and records to be conducted by
14 an independent certified public accountant in accordance with
15 rules adopted by the Auditor General pursuant to s. 11.45(8)
16 and the state agency that created, approved, or administers
17 the direct-support organization or citizen support
18 organization, whenever the organization's expenditures and
19 expenses exceed $100,000. The audit report shall be submitted
20 within 9 months after the end of the fiscal year to the
21 Auditor General and to the state agency responsible for
22 creation, administration, or approval of the direct-support
23 organization or citizen support organization. Such state
24 agency, the Auditor General, and the Office of Program Policy
25 Analysis and Government Accountability shall have the
26 authority to require and receive from the organization or from
27 the independent auditor any records relative to the operation
28 of the organization.
29 Section 21. Subsection (3) of section 218.075, Florida
30 Statutes, is amended to read:
31 218.075 Reduction or waiver of permit processing
25
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 fees.--Notwithstanding any other provision of law, the
2 Department of Environmental Protection and the water
3 management districts shall reduce or waive permit processing
4 fees for counties with a population of 50,000 or less on April
5 1, 1994, until such counties exceed a population of 75,000 and
6 municipalities with a population of 25,000 or less, or any
7 county or municipality not included within a metropolitan
8 statistical area. Fee reductions or waivers shall be approved
9 on the basis of fiscal hardship or environmental need for a
10 particular project or activity. The governing body must
11 certify that the cost of the permit processing fee is a fiscal
12 hardship due to one of the following factors:
13 (3) Any condition specified in s. 218.503(1), that
14 results in the county or municipality being in determines a
15 state of financial emergency;
16
17 The permit applicant must be the governing body of a county or
18 municipality or a third party under contract with a county or
19 municipality and the project for which the fee reduction or
20 waiver is sought must serve a public purpose. If a permit
21 processing fee is reduced, the total fee shall not exceed
22 $100.
23 Section 22. Subsection (3) is added to section 218.32,
24 Florida Statutes, to read:
25 218.32 Annual financial reports; local governmental
26 entities.--
27 (3) The department shall notify the President of the
28 Senate and the Speaker of the House of Representatives of any
29 municipality that has not had financial activity for the last
30 4 fiscal years. Such notice shall be sufficient to initiate
31 dissolution procedures described in s. 165.051(1)(a). Any
26
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 special law authorizing the incorporation or creation of said
2 municipality shall be included within the notification.
3 Section 23. Subsection (3) of section 218.36, Florida
4 Statutes, is amended to read:
5 218.36 County officers; record and report of fees and
6 disposition of same.--
7 (3) The board of county commissioners may shall, on
8 the 32nd day following the close of the fiscal year, notify
9 the Governor of the failure of any county officer to comply
10 with the provisions of this section. Such notification shall
11 specify the name of the officer and the office held by him or
12 her at the time of such failure and shall subject said officer
13 to suspension from office at the Governor's discretion.
14 Section 24. Section 218.369, Florida Statutes, is
15 amended to read:
16 218.369 Definitions applicable to ss.
17 218.37-218.386.--As used in this section and in ss. 218.37,
18 218.38, 218.385, and 218.386, the term "unit of local
19 government," except where exception is made, means a county,
20 municipality, special district, district school board, local
21 agency, authority, or consolidated city-county government or
22 any other local governmental body or public body corporate and
23 politic authorized or created by general or special law and
24 granted the power to issue general obligation or revenue
25 bonds; and the words "general obligation or revenue bonds"
26 shall be interpreted to include within their scope general
27 obligation bonds, revenue bonds, special assessment bonds,
28 limited revenue bonds, special obligation bonds, debentures,
29 and other similar instruments, but not bond anticipation
30 notes.
31 Section 25. Part V of chapter 218, Florida Statutes,
27
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 entitled "Financial Emergencies" is renamed "Local
2 Governmental Entity and District School Board Financial
3 Emergencies."
4 Section 26. Section 218.50, Florida Statutes, is
5 amended to read:
6 218.50 Short title.--Sections 218.50-218.504 shall be
7 known as the "Local Governmental Entity and District School
8 Board Government Financial Emergencies Act."
9 Section 27. Section 218.501, Florida Statutes, is
10 amended to read:
11 218.501 Purposes.--The purposes of ss. 218.50-218.504
12 are:
13 (1) To promote preserve and protect the fiscal
14 responsibility solvency of local governmental entities and
15 district school boards.
16 (2) To assist local governmental entities and district
17 school boards in providing essential services without
18 interruption and in meeting their financial obligations.
19 (3) To assist local governmental entities and district
20 school boards through the improvement of local financial
21 management procedures.
22 Section 28. Section 218.502, Florida Statutes, is
23 amended to read:
24 218.502 Definition.--As used in ss. 218.50-218.504,
25 the term "local governmental entity" means a county,
26 municipality, or special district, or district school board.
27 Section 29. Section 218.503, Florida Statutes, as
28 amended by chapter 2001-354, Laws of Florida, is amended to
29 read:
30 218.503 Determination of financial emergency.--
31 (1) A Local governmental entities and district school
28
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 boards shall be subject to review and oversight by the
2 Governor or the Commissioner of Education entity is in a state
3 of financial emergency when any one of the following
4 conditions occurs:
5 (a) Failure within the same fiscal year in which due
6 to pay short-term loans from banks or failure to make bond
7 debt service or other long-term debt payments when due, as a
8 result of a lack of funds.
9 (b) Failure to pay uncontested claims from creditors
10 within 90 days after the claim is presented, as a result of a
11 lack of funds.
12 (c)(b) Failure to transfer at the appropriate time,
13 due to lack of funds:
14 1. Taxes withheld on the income of employees; or
15 2. Employer and employee contributions for:
16 a. Federal social security; or
17 b. Any pension, retirement, or benefit plan of an
18 employee.
19 (d)(c) Failure for one pay period to pay, due to lack
20 of funds:
21 1. Wages and salaries owed to employees; or
22 2. Retirement benefits owed to former employees.
23 (e)(d) An unreserved or total fund balance or retained
24 earnings deficit, or unrestricted or total net assets deficit,
25 as reported on the balance sheet or statement of net assets on
26 the general purpose or fund financial statements, for which
27 sufficient resources of the local governmental entity, as
28 reported on the balance sheet or statement of net assets on
29 the general purpose or fund financial statements, are not
30 available to cover the deficit for 2 successive years.
31 Resources available to cover reported deficits include net
29
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 assets that are not otherwise restricted by federal, state, or
2 local laws, bond covenants, contractual agreements, or other
3 legal constraints. Fixed or capital assets, the disposal of
4 which would impair the ability of a local governmental entity
5 to carry out its functions, are not considered resources
6 available to cover reported deficits.
7 (e) Noncompliance of the local government retirement
8 system with actuarial conditions provided by law.
9 (2) A local governmental entity shall notify the
10 Governor and the Legislative Auditing Committee, and a
11 district school board shall notify the Commissioner of
12 Education and the Legislative Auditing Committee, when one or
13 more of the conditions specified in subsection (1) have
14 occurred or will occur if action is not taken to assist the
15 local governmental entity or district school board. In
16 addition, any state agency must, within 30 days after a
17 determination that one or more of the conditions specified in
18 subsection (1) have occurred or will occur if action is not
19 taken to assist the local governmental entity or district
20 school board the identification of the financial emergency,
21 notify the Governor or the Commissioner of Education, as
22 appropriate, and the Legislative Auditing Committee when one
23 or more of the conditions specified in subsection (1) have
24 occurred or will occur if action is not taken to assist a
25 local governmental entity.
26 (3) Upon notification that one or more of the
27 conditions in subsection (1) exist, the Governor or his or her
28 designee shall contact the local governmental entity or the
29 Commissioner of Education or his or her designee shall contact
30 the district school board to determine what actions have been
31 taken by the local governmental entity or the district school
30
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 board to resolve the condition financial emergency. The
2 Governor or the Commissioner of Education, as appropriate,
3 shall determine whether the local governmental entity or the
4 district school board needs state assistance to resolve the
5 condition. If state assistance is needed, the local
6 governmental entity or district school board is considered to
7 be in a state of financial emergency. The Governor or the
8 Commissioner of Education, as appropriate, has the authority
9 to implement measures as set forth in ss. 218.50-218.504 to
10 assist the local governmental entity or district school board
11 in resolving resolve the financial emergency. Such measures
12 may include, but are not limited to:
13 (a) Requiring approval of the local governmental
14 entity's budget by the Governor or approval of the district
15 school board's budget by the Commissioner of Education.
16 (b) Authorizing a state loan to a the local
17 governmental entity and providing for repayment of same.
18 (c) Prohibiting a local governmental entity or
19 district school board from issuing bonds, notes, certificates
20 of indebtedness, or any other form of debt until such time as
21 it is no longer subject to this section.
22 (d) Making such inspections and reviews of records,
23 information, reports, and assets of the local governmental
24 entity or district school board. The appropriate local
25 officials shall cooperate in such, in which inspections and
26 reviews the appropriate local officials shall cooperate.
27 (e) Consulting with the officials and auditors of the
28 local governmental entity or the district school board and the
29 appropriate state officials agency regarding any steps
30 necessary to bring the books of account, accounting systems,
31 financial procedures, and reports into compliance with state
31
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 requirements.
2 (f) Providing technical assistance to the local
3 governmental entity or the district school board.
4 (g)1. Establishing a financial emergency emergencies
5 board to oversee the activities of the local governmental
6 entity or the district school board. If a financial emergency
7 The board, if is established for a local governmental entity,
8 shall be appointed by the Governor shall appoint board members
9 and select a chair. If a financial emergency board is
10 established for a district school board, the State Board of
11 Education shall appoint board members and select a chair. The
12 Governor shall select a chair and such other officers as are
13 necessary. The financial emergency board shall adopt such
14 rules as are necessary for conducting board business. The
15 board may:
16 a. Make such reviews of records, reports, and assets
17 of the local governmental entity or the district school board
18 as are needed.
19 b. Consult with the officials and auditors of the
20 local governmental entity or the district school board and the
21 appropriate state officials regarding any steps necessary to
22 bring the books of account, accounting systems, financial
23 procedures, and reports of the local governmental entity or
24 the district school board into compliance with state
25 requirements.
26 c. Review the operations, management, efficiency,
27 productivity, and financing of functions and operations of the
28 local governmental entity or district school board.
29 2. The recommendations and reports made by the
30 financial emergency board must be submitted to the Governor
31 for local governmental entities or to the Commissioner of
32
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 Education and the State Board of Education for district school
2 boards for appropriate action.
3 (h) Requiring and approving a plan, to be prepared by
4 officials of the appropriate state agency in conjunction with
5 the local governmental entity or the district school board in
6 consultation with the appropriate state officials, prescribing
7 actions that will cause the local governmental entity or
8 district school board to no longer be subject to this section.
9 The plan must include, but need not be limited to:
10 1. Provision for payment in full of obligations
11 outlined in subsection (1), designated as priority items, that
12 are currently all payments due or will to come due on debt
13 obligations, pension payments, and all payments and charges
14 imposed or mandated by federal or state law and for all
15 judgments and past due accounts, as priority items of
16 expenditures.
17 2. Establishment of a basis of priority budgeting or
18 zero-based budgeting in order, so as to eliminate low-priority
19 items that are not affordable.
20 3. The prohibition of a level of operations which can
21 be sustained only with nonrecurring revenues.
22 (4) A During the financial emergency period, the local
23 governmental entity or district school board may not seek
24 application of laws under the bankruptcy provisions of the
25 United States Constitution except with the prior approval of
26 the Governor for local governmental entities or the
27 Commissioner of Education for district school boards.
28 (5)(a) The governing authority of any municipality
29 having a resident population of 300,000 or more on or after
30 April 1, 1999, which has been declared in a state of financial
31 emergency pursuant to this section may impose a discretionary
33
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HOUSE AMENDMENT
729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 per-vehicle surcharge of up to 20 percent on the gross
2 revenues of the sale, lease, or rental of space at parking
3 facilities within the municipality which are open for use to
4 the general public.
5 (b) A municipal governing authority that imposes the
6 surcharge authorized by this subsection may use the proceeds
7 of such surcharge for the following purposes only:
8 1. No less than 60 percent and no more than 80 percent
9 of the surcharge proceeds shall be used by the governing
10 authority to reduce its ad valorem tax millage rate or to
11 reduce or eliminate non-ad valorem assessments.
12 2. A portion of the balance of the surcharge proceeds
13 shall be used by the governing authority to increase its
14 budget reserves; however, the governing authority shall not
15 reduce the amount it allocates for budget reserves from other
16 sources below the amount allocated for reserves in the fiscal
17 year prior to the year in which the surcharge is initially
18 imposed. When a 15-percent budget reserve is achieved, based
19 on the average gross revenue for the most recent 3 prior
20 fiscal years, the remaining proceeds from this subparagraph
21 shall be used for the payment of annual debt service related
22 to outstanding obligations backed or secured by a covenant to
23 budget and appropriate from non-ad valorem revenues.
24 (c) This subsection expires June 30, 2006.
25 Section 30. Section 218.504, Florida Statutes, is
26 amended to read:
27 218.504 Cessation of state action.--The Governor or
28 the Commissioner of Education, as appropriate, has the
29 authority to terminate all state actions pursuant to ss.
30 218.50-218.504. Cessation of state action must not occur
31 until the Governor or the Commissioner of Education, as
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1 appropriate, has determined that:
2 (1) The local governmental entity or district school
3 board:
4 (a) Has established and is operating an effective
5 financial accounting and reporting system.
6 (b) Has resolved corrected or eliminated the fiscal
7 emergency conditions outlined in s. 218.503(1).
8 (2) None of the No new fiscal emergency conditions
9 outlined in s. 218.593(1) exist.
10 Section 31. Section 236.43, Florida Statutes, is
11 amended to read:
12 236.43 Receiving bids and sale of bonds.--
13 (1) In case the issuance of bonds shall be authorized
14 at said election, or in case any bonds outstanding against the
15 district are being refunded, the school board shall sell the
16 bonds in the manner provided in s. 218.385. cause notice to be
17 given by publication in some newspaper published in the
18 district that said board will receive bids for the purchase of
19 the bonds at the office of the superintendent of said
20 district. The notice shall be published twice and the first
21 publication shall be given not less than 30 days prior to the
22 date set for receiving the bids. Said notice shall specify
23 the amount of the bonds offered for sale and shall state
24 whether the bids shall be sealed bids or whether the bonds are
25 to be sold at auction, shall give the schedule of maturities
26 of the proposed bonds and such other pertinent information as
27 may be prescribed by regulations of the state board. Bidders
28 may be invited to name the rate of interest which the bonds
29 are to bear or the school board may name rates of interest and
30 invite bids thereon. In addition to publication of notice of
31 the proposed sale as set forth above, the school board shall
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1 also notify in writing at least three recognized bond dealers
2 in the state and shall also at the same time notify the
3 Department of Education concerning the proposed sale,
4 enclosing a copy of the advertisement.
5 (2) All bonds and refunding bonds issued as provided
6 by law shall be sold to the highest and best bidder at such
7 public sale unless sold at a better price or yield basis
8 within 30 days after failure to receive an acceptable bid at a
9 duly advertised public sale; provided, that at no time shall
10 bonds or refunding bonds be sold or exchanged at less than par
11 value except as specifically authorized by the department; and
12 provided, further, that the school board shall have the right
13 to reject all bids and cause a new notice to be given in like
14 manner inviting other bids for such bonds, or to sell all or
15 any part of such bonds to the state board at a price and yield
16 basis which shall not be less advantageous to the school board
17 than that represented by the highest and best bid received.
18 In the marketing of said bonds the school board shall be
19 entitled to have such assistance as can be rendered by the
20 Governor, the State Treasurer, the Commissioner of Education,
21 or any other public state officer or agency. In determining
22 the highest and best bidder for bonds offered for sale by
23 competitive bid, the true net interest cost to the school
24 board as shown in standard bond tables shall govern,;
25 provided, that the determination of the school board as to the
26 highest and best bidder shall be final.
27 Section 32. Subsection (4) of section 237.40, Florida
28 Statutes, is amended to read:
29 237.40 Direct-support organization; use of property;
30 board of directors; audit.--
31 (4) ANNUAL AUDIT.--Each direct-support organization
36
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1 with more than $100,000 in expenditures and expenses shall
2 provide for an annual financial audit of its accounts and
3 records, to be conducted by an independent certified public
4 accountant in accordance with rules adopted by the Auditor
5 General pursuant to s. 11.45(8) and the Commissioner of
6 Education. The annual audit report shall be submitted within 9
7 months after the fiscal year's end to the district school
8 board and the Auditor General. The Commissioner of Education,
9 the Auditor General, and the Office of Program Policy Analysis
10 and Government Accountability have the authority to require
11 and receive from the organization or the district auditor any
12 records relative to the operation of the organization. The
13 identity of donors and all information identifying donors and
14 prospective donors are confidential and exempt from the
15 provisions of s. 119.07(1), and that anonymity shall be
16 maintained in the auditor's report. All other records and
17 information shall be considered public records for the
18 purposes of chapter 119.
19 Section 33. Subsection (5) of section 240.299, Florida
20 Statutes, is amended to read:
21 240.299 Direct-support organizations; use of property;
22 board of directors; activities; audit; facilities.--
23 (5) ANNUAL AUDIT.--Each direct-support organization
24 with more than $100,000 in expenditures and expenses shall
25 provide for an annual financial audit of its accounts and
26 records to be conducted by an independent certified public
27 accountant in accordance with rules adopted by the Auditor
28 General pursuant to s. 11.45(8) and by the Board of Regents.
29 The annual audit report shall be submitted, within 9 months
30 after the end of the fiscal year, to the Auditor General and
31 the Board of Regents for review. The Board of Regents, the
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1 Auditor General, and the Office of Program Policy Analysis and
2 Government Accountability shall have the authority to require
3 and receive from the organization or from its independent
4 auditor any records relative to the operation of the
5 organization. The identity of donors who desire to remain
6 anonymous shall be protected, and that anonymity shall be
7 maintained in the auditor's report. All records of the
8 organization other than the auditor's report, management
9 letter, and any supplemental data requested by the Board of
10 Regents, the Auditor General, and the Office of Program Policy
11 Analysis and Government Accountability shall be confidential
12 and exempt from the provisions of s. 119.07(1).
13 Section 34. Subsection (6) of section 240.331, Florida
14 Statutes, is amended to read:
15 240.331 Community college direct-support
16 organizations.--
17 (6) ANNUAL AUDIT.--Each direct-support organization
18 with more than $100,000 in expenditures and expenses shall
19 provide for an annual financial audit of its accounts and
20 records in accordance with rules adopted by the Auditor
21 General pursuant to s. 11.45(8). The annual audit report must
22 be submitted, within 9 months after the end of the fiscal
23 year, to the Auditor General, the State Board of Community
24 Colleges, and the board of trustees for review. The board of
25 trustees, the Auditor General, and the Office of Program
26 Policy Analysis and Government Accountability may require and
27 receive from the organization or from its independent auditor
28 any detail or supplemental data relative to the operation of
29 the organization. The identity of donors who desire to remain
30 anonymous shall be protected, and that anonymity shall be
31 maintained in the auditor's report. All records of the
38
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Amendment No. ___ (for drafter's use only)
1 organization, other than the auditor's report, any information
2 necessary for the auditor's report, any information related to
3 the expenditure of funds, and any supplemental data requested
4 by the board of trustees, the Auditor General, and the Office
5 of Program Policy Analysis and Government Accountability,
6 shall be confidential and exempt from the provisions of s.
7 119.07(1).
8 Section 35. Chapter 131, Florida Statutes, consisting
9 of sections 131.01, 131.02, 131.03, 131.04, 131.05, and
10 131.06, Florida Statutes, is repealed.
11 Section 36. Section 132.10, Florida Statutes, is
12 repealed.
13 Section 37. Section 165.052, Florida Statutes, is
14 repealed.
15 Section 38. Section 189.409, Florida Statutes, is
16 repealed.
17 Section 39. Section 189.422, Florida Statutes, is
18 repealed.
19 Section 40. Section 200.0684, Florida Statutes, is
20 repealed.
21 Section 41. Paragraph (h) of subsection (1) of section
22 218.37, Florida Statutes, is repealed.
23 Section 42. Except as otherwise provided herein, this
24 act shall take effect upon becoming a law.
25
26
27 ================ T I T L E A M E N D M E N T ===============
28 And the title is amended as follows:
29 remove: the entire title
30
31 and insert:
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729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 A bill to be entitled
2 An act relating to local government
3 accountability; amending s. 11.40, F.S.;
4 revising duties of the Legislative Auditing
5 Committee; amending s. 11.45, F.S.; revising
6 reporting requirements of the Auditor General;
7 amending s. 75.05, F.S.; deleting a requirement
8 for an independent special district to submit a
9 copy of a complaint to the Division of Bond
10 Finance of the State Board of Administration;
11 amending s. 112.625, F.S.; revising the
12 definition of "governmental entity" to include
13 counties and district school boards; amending
14 s. 112.63, F.S.; providing for additional
15 information to be provided to the Department of
16 Management Services in actuarial reports with
17 regard to retirement systems and plans and
18 providing procedures therefor; providing for
19 notification of the Department of Revenue and
20 the Department of Banking and Finance, or the
21 Chief Financial Officer on or after January 1,
22 2003, in cases of noncompliance and authorizing
23 the withholding of certain funds; requiring the
24 Department of Management Services to notify the
25 Department of Community Affairs in the case of
26 affected special districts; amending s. 130.04,
27 F.S.; revising provisions governing notice of
28 bids and disposition of bonds; amending s.
29 132.02, F.S.; revising provisions relating to
30 the authorization to issue refund bonds;
31 amending s. 132.09, F.S.; revising provisions
40
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Amendment No. ___ (for drafter's use only)
1 relating to the notice of sale, bids, and
2 awards and private sale of bonds; amending s.
3 163.05, F.S.; revising provisions governing the
4 Small County Technical Assistance Program;
5 amending s. 166.121, F.S.; revising provisions
6 governing the issuance of bonds by a
7 municipality; amending s. 166.241, F.S.;
8 providing a municipal budget amendment process
9 and requirements; amending s. 189.4044, F.S.;
10 revising special procedures for determination
11 of inactive special districts; amending s.
12 189.412, F.S.; revising duties of the Special
13 District Information Program of the Department
14 of Community Affairs; amending s. 189.418,
15 F.S.; revising reporting requirements of newly
16 created special districts; authorizing the
17 governing body of a special district to amend
18 its budget; amending s. 189.419, F.S.; revising
19 provisions relating to the failure of special
20 districts to file required reports; amending s.
21 189.421, F.S.; revising provisions governing
22 the failure of special districts to disclose
23 financial reports; providing for extension of
24 time for the filing of said reports; providing
25 remedies for noncompliance; providing for
26 attorney's fees and costs; amending s. 189.428,
27 F.S.; revising provisions governing the special
28 district oversight review process; amending s.
29 189.439, F.S.; revising provisions governing
30 the issuance of bonds by special districts;
31 amending s. 215.981, F.S.; exempting state
41
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Amendment No. ___ (for drafter's use only)
1 agency direct-support organizations and citizen
2 support organizations meeting specified expense
3 levels from audit requirements; amending s.
4 218.075, F.S.; revising provisions governing
5 the reduction or waiver of permit processing
6 fees for certain counties; amending s. 218.32,
7 F.S., relating to annual financial reports;
8 requiring the Department of Banking and Finance
9 to notify the Speaker of the House of
10 Representatives and the President of the Senate
11 of any municipality that has not had financial
12 activity for a specified period of time;
13 providing that such notice is sufficient to
14 initiate dissolution procedures; amending s.
15 218.36, F.S.; revising reporting requirements
16 for boards of county commissioners relating to
17 the failure of a county officer to comply with
18 the provisions of the section; amending s.
19 218.369, F.S.; revising the definition of "unit
20 of local government" to include district school
21 boards; renaming pt. V of ch. 218, F.S., as
22 "Local Governmental Entity and District School
23 Board Financial Emergencies"; amending s.
24 218.50, F.S.; renaming ss. 218.50-218.504,
25 F.S., as the "Local Governmental Entity and
26 District School Board Act"; amending s.
27 218.501, F.S.; revising the stated purposes of
28 pt. V of ch. 218, F.S.; amending s. 218.502,
29 F.S.; revising the definition of "local
30 governmental entity"; amending s. 218.503,
31 F.S.; revising provisions governing the
42
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729-146AX-22 Bill No. HB 1979
Amendment No. ___ (for drafter's use only)
1 determination of financial emergency for local
2 governments and district school boards;
3 amending s. 218.504, F.S.; revising provisions
4 relating to the authority of the Governor and
5 authorizing the Commissioner of Education to
6 terminate all state actions pursuant to ss.
7 218.50-218.504, F.S.; amending s. 236.43, F.S.;
8 revising provisions governing receipt of bids
9 and sale of bonds; amending ss. 237.40,
10 240.299, and 240.331, F.S.; exempting district
11 school board direct-support organizations and
12 citizen support organizations meeting specified
13 expense levels from audit requirements;
14 repealing ch. 131, F.S., consisting of ss.
15 131.01, 131.02, 131.03, 131.04, 131.05, and
16 131.06, F.S., relating to refunding bonds of
17 counties, municipalities, and special
18 districts; repealing s. 132.10, F.S., relating
19 to minimum sale price of bonds; repealing s.
20 165.052, F.S., relating to special dissolution
21 procedures for municipalities; repealing s.
22 189.409, F.S., relating to determination of
23 financial emergencies of special districts;
24 repealing s. 189.422, F.S., relating to actions
25 of the Department of Community Affairs and
26 special districts; repealing s. 200.0684, F.S.,
27 relating to an annual compliance report of the
28 Department of Community Affairs regarding
29 special districts; repealing s. 218.37(1)(h),
30 F.S., relating to the requirement that the
31 Division of Bond Finance use a served copy of
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Amendment No. ___ (for drafter's use only)
1 the complaint for bond validation to verify
2 compliance by special districts with the
3 requirements in s. 218.38, F.S.; providing
4 effective dates.
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