HB 1695

CS

CHAMBER ACTION

2	The Committee on Insurance recommends the following:
3
4	Committee Substitute
5	Remove the entire bill and insert:
6	A bill to be entitled
7	An act relating to the Department of Financial Services;
8	transferring regulation of insurance adjusters from the
9	Office of Insurance Regulation to the Department of
10	Financial Services; amending s. 17.16, F.S.; providing for
11	the Chief Financial Officer to have an official seal for
12	certain purposes; amending s. 20.121, F.S.; providing for
13	the Chief Financial Officer to also be known as the
14	Treasurer; providing for the head of the Office of
15	Insurance Regulation to also be known as the Commissioner
16	of Insurance Regulation; providing for the head of the
17	Office of Financial Regulation to also be known as the
18	Commissioner of Financial Regulation; amending ss.
19	110.1227, 408.05, 501.212, 516.35, 624.313, 624.317,
20	624.501, 626.016, 626.112, 626.161, 626.171, 626.181,
21	626.191, 626.211, 626.221, 626.231, 626.241, 626.251,
22	626.261, 626.266, 626.271, 626.281, 626.2817, 626.291,
23	626.301, 626.371, 626.381, 626.431, 626.461, 626.471,
24	626.521, 626.541, 626.551, 626.611, 626.621, 626.631,
25	626.641, 626.661, 626.681, 626.691, 626.692, 626.8582,
26	626.8584, 626.859, 626.863, 626.865, 626.866, 626.867,
27	626.869, 626.8695, 626.8696, 626.8697, 626.8698, 626.870,
28	626.871, 626.872, 626.873, 626.8732, 626.8734, 626.8736,
29	626.8738, 626.874, 626.878, 627.7012, 626.9543, 626.989,
30	627.0628, 627.285, and 627.6699, F.S.; reallocating duties
31	and responsibilities of the department, the office, and
32	the Financial Services Commission to conform; reallocating
33	duties and responsibilities of the director of the office
34	and the Chief Financial Officer to conform; specifying
35	that the transfer does not affect the regulation of
36	adjusters in administrative or judicial proceedings;
37	providing for substitution of appropriate parties in
38	interest in such proceedings; preserving certain licenses,
39	forms, and actions; specifying application of rules of the
40	office regulating adjusters as rules of the department;
41	amending s. 215.31, F.S.; requiring state agencies and
42	other affiliated entities to deposit any settlement
43	proceeds resulting from a claim brought on behalf of the
44	state into the State Treasury; providing exceptions;
45	amending s. 215.95, F.S.; adding the Commissioner of
46	Agriculture to the Financial Management Information Board;
47	amending s. 215.96, F.S.; adding the Commissioner of
48	Agriculture to the Coordinating Council of the Financial
49	Management Information Board; delaying the repeal date for
50	provisions relating to the Enterprise Resource Planning
51	Integration Task Force; providing an effective date.
52
53	Be It Enacted by the Legislature of the State of Florida:
54
55	Section 1.  Section 17.16, Florida Statutes, is amended to
56	read:
57	17.16  Seal.--The seal of office of the Chief Financial
58	Officer shall have an official be the same as the seal by which
59	the proceedings of the office are authenticated heretofore used
60	for that purpose.
61	Section 2.  Subsection (1) and paragraph (a) of subsection
62	(3) of section 20.121, Florida Statutes, are amended to read:
63	20.121  Department of Financial Services.--There is created
64	a Department of Financial Services.
65	(1)  DEPARTMENT HEAD.--The head of the Department of
66	Financial Services is the Chief Financial Officer, who may also
67	be known as the Treasurer.
68	(3)  FINANCIAL SERVICES COMMISSION.--Effective January 7,
69	2003, there is created within the Department of Financial
70	Services the Financial Services Commission, composed of the
71	Governor, the Attorney General, the Chief Financial Officer, and
72	the Commissioner of Agriculture, which shall for purposes of
73	this section be referred to as the commission. Commission
74	members shall serve as agency head of the Financial Services
75	Commission. The commission shall be a separate budget entity and
76	shall be exempt from the provisions of s. 20.052. Commission
77	action shall be by majority vote consisting of at least three
78	affirmative votes. The commission shall not be subject to
79	control, supervision, or direction by the Department of
80	Financial Services in any manner, including purchasing,
81	transactions involving real or personal property, personnel, or
82	budgetary matters.
83	(a)  Structure.--The major structural unit of the
84	commission is the office. Each office shall be headed by a
85	director. The following offices are established:
86	1.  The Office of Insurance Regulation, which shall be
87	responsible for all activities concerning insurers and other
88	risk bearing entities, including licensing, rates, policy forms,
89	market conduct, claims, adjusters, issuance of certificates of
90	authority, solvency, viatical settlements, premium financing,
91	and administrative supervision, as provided under the insurance
92	code or chapter 636. The head of the Office of Insurance
93	Regulation is the Director of the Office of Insurance
94	Regulation, who may also be known as the Commissioner of
95	Insurance Regulation.
96	2.  The Office of Financial Regulation, which shall be
97	responsible for all activities of the Financial Services
98	Commission relating to the regulation of banks, credit unions,
99	other financial institutions, finance companies, and the
100	securities industry. The head of the office is the Director of
101	the Office of Financial Regulation, who may also be known as the
102	Commissioner of Financial Regulation. The Office of Financial
103	Regulation shall include a Bureau of Financial Investigations,
104	which shall function as a criminal justice agency for purposes
105	of ss. 943.045-943.08 and shall have a separate budget. The
106	bureau may conduct investigations within or outside this state
107	as the bureau deems necessary to aid in the enforcement of this
108	section. If, during an investigation, the office has reason to
109	believe that any criminal law of this state has or may have been
110	violated, the office shall refer any records tending to show
111	such violation to state or federal law enforcement or
112	prosecutorial agencies and shall provide investigative
113	assistance to those agencies as required.
114	Section 3.  Paragraph (b) of subsection (6) of section
115	110.1227, Florida Statutes, is amended to read:
116	110.1227  Florida Employee Long-Term-Care Plan Act.--
117	(6)  A Florida Employee Long-Term-Care Plan Board of
118	Directors is created, composed of nine members who shall serve
119	2-year terms, to be appointed after May 1, 1999, as follows:
120	(b)  The Director of the Office of Insurance Regulation
121	Chief Financial Officer shall appoint an actuary.
122	Section 4.  Paragraph (a) of subsection (8) of section
123	408.05, Florida Statutes, is amended to read:
124	408.05  State Center for Health Statistics.--
125	(8)  STATE COMPREHENSIVE HEALTH INFORMATION SYSTEM ADVISORY
126	COUNCIL.--
127	(a)  There is established in the agency the State
128	Comprehensive Health Information System Advisory Council to
129	assist the center in reviewing the comprehensive health
130	information system and to recommend improvements for such
131	system. The council shall consist of the following members:
132	1.  An employee of the Executive Office of the Governor, to
133	be appointed by the Governor.
134	2.  An employee of the Office of Insurance Regulation
135	Department of Financial Services, to be appointed by the
136	director of the office Chief Financial Officer.
137	3.  An employee of the Department of Education, to be
138	appointed by the Commissioner of Education.
139	4.  Ten persons, to be appointed by the Secretary of Health
140	Care Administration, representing other state and local
141	agencies, state universities, the Florida Association of
142	Business/Health Coalitions, local health councils, professional
143	health-care-related associations, consumers, and purchasers.
144	Section 5.  Subsection (4) of section 501.212, Florida
145	Statutes, is amended to read:
146	501.212  Application.--This part does not apply to:
147	(4)  Any person or activity regulated under laws
148	administered by:
149	(a)  The Department of Financial Services or the Office of
150	Insurance Regulation of the Financial Services Commission; or
151	(b)  Banks and savings and loan associations regulated by
152	the Office of Financial Regulation of the Financial Services
153	Commission; or
154	(c)  Banks or savings and loan associations regulated by
155	federal agencies; or
156	(d)  Any person or activity regulated under the laws
157	administered by the former Department of Insurance that are now
158	administered by the Department of Financial Services.
159	Section 6.  Subsection (1) of section 516.35, Florida
160	Statutes, is amended to read:
161	516.35  Credit insurance must comply with credit insurance
162	act.--
163	(1)  Tangible property offered as security may be
164	reasonably insured against loss for a reasonable term,
165	considering the circumstances of the loan. If such insurance is
166	sold at standard rates through a person duly licensed by the
167	Department Office of Insurance Regulation of the Financial
168	Services Commission and if the policy is payable to the borrower
169	or any member of her or his family, it shall not be deemed to be
170	a collateral sale, purchase, or agreement even though a
171	customary mortgagee clause is attached or the licensee is a
172	coassured.
173	Section 7.  Subsection (2) of section 624.313, Florida
174	Statutes, is amended to read:
175	624.313  Publications.--
176	(2)(a)  The department may prepare and have printed and
177	published in pamphlet or book form the following, as needed:
178	(a)1.  As needed, Questions and answers for the use of
179	persons applying for an examination for licensing as agents for
180	property, casualty, surety, health, and miscellaneous insurers.
181	(b)2.  As needed, Questions and answers for the use of
182	persons applying for an examination for licensing as agents for
183	life and health insurers.
184	(c)(b)  The office may prepare and have printed and
185	published in pamphlet or book form, As needed, Questions and
186	answers for the use of persons applying for an examination for
187	licensing as adjusters.
188	Section 8.  Section 624.317, Florida Statutes, is amended
189	to read:
190	624.317  Investigation of agents, adjusters,
191	administrators, service companies, and others.--If it has reason
192	to believe that any person has violated or is violating any
193	provision of this code, or upon the written complaint signed by
194	any interested person indicating that any such violation may
195	exist:
196	(1)  The department shall conduct such investigation as it
197	deems necessary of the accounts, records, documents, and
198	transactions pertaining to or affecting the insurance affairs of
199	any general agent, adjuster, surplus line agent, managing
200	general agent, insurance agent, customer representative, service
201	representative, or other person subject to its jurisdiction,
202	subject to the requirements of s. 626.601.
203	(2)  The office shall conduct such investigation as it
204	deems necessary of the accounts, records, documents, and
205	transactions pertaining to or affecting the insurance affairs of
206	any:
207	(a)  Adjuster, Administrator, service company, or other
208	person subject to its jurisdiction.
209	(b)  Person having a contract or power of attorney under
210	which she or he enjoys in fact the exclusive or dominant right
211	to manage or control an insurer.
212	(c)  Person engaged in or proposing to be engaged in the
213	promotion or formation of:
214	1.  A domestic insurer;
215	2.  An insurance holding corporation; or
216	3.  A corporation to finance a domestic insurer or in the
217	production of the domestic insurer's business.
218	Section 9.  Subsection (12) of section 624.501, Florida
219	Statutes, is amended to read:
220	624.501  Filing, license, appointment, and miscellaneous
221	fees.--The department, commission, or office, as appropriate,
222	shall collect in advance, and persons so served shall pay to it
223	in advance, fees, licenses, and miscellaneous charges as
224	follows:
225	(12)  Adjusters:
226	(a)  Adjuster's original appointment and biennial renewal
227	or continuation thereof, appointment fee..................$60.00
228	(b)  Nonresident adjuster's original appointment and
229	biennial renewal or continuation thereof, appointment
230	fee.......................................................$60.00
231	(c)  Emergency adjuster's license, appointment fee...$10.00
232	(d)  Fee to cover actual cost of credit report, when such
233	report must be secured by department office.
234	Section 10.  Subsections (1) and (2) of section 626.016,
235	Florida Statutes, are amended to read:
236	626.016  Powers and duties of department, commission, and
237	office.--
238	(1)  The powers and duties of the Chief Financial Officer
239	and the department specified in this part apply only with
240	respect to insurance agents, managing general agents, insurance
241	adjusters, reinsurance intermediaries, viatical settlement
242	brokers, customer representatives, service representatives, and
243	agencies.
244	(2)  The powers and duties of the commission and office
245	specified in this part apply only with respect to insurance
246	adjusters, service companies, administrators, and viatical
247	settlement providers and contracts.
248	Section 11.  Paragraph (a) of subsection (1) of section
249	626.112, Florida Statutes, is amended to read:
250	626.112  License and appointment required; agents, customer
251	representatives, adjusters, insurance agencies, service
252	representatives, managing general agents.--
253	(1)(a)  No person may be, act as, or advertise or hold
254	himself or herself out to be an insurance agent, insurance
255	adjuster, or customer representative unless he or she is
256	currently licensed by the department and appointed by an
257	appropriate appointing entity or person one or more insurers. No
258	person may be, act as, or advertise or hold himself or herself
259	out to be an insurance adjuster unless he or she is currently
260	licensed by the office and appointed by one or more insurers.
261
262	However, an employee leasing company licensed pursuant to
263	chapter 468 which is seeking to enter into a contract with an
264	employer that identifies products and services offered to
265	employees may deliver proposals for the purchase of employee
266	leasing services to prospective clients of the employee leasing
267	company setting forth the terms and conditions of doing
268	business; classify employees as permitted by s. 468.529; collect
269	information from prospective clients and other sources as
270	necessary to perform due diligence on the prospective client and
271	to prepare a proposal for services; provide and receive
272	enrollment forms, plans, and other documents; and discuss or
273	explain in general terms the conditions, limitations, options,
274	or exclusions of insurance benefit plans available to the client
275	or employees of the employee leasing company were the client to
276	contract with the employee leasing company. Any advertising
277	materials or other documents describing specific insurance
278	coverages must identify and be from a licensed insurer or its
279	licensed agent or a licensed and appointed agent employed by the
280	employee leasing company. The employee leasing company may not
281	advise or inform the prospective business client or individual
282	employees of specific coverage provisions, exclusions, or
283	limitations of particular plans. As to clients for which the
284	employee leasing company is providing services pursuant to s.
285	468.525(4), the employee leasing company may engage in
286	activities permitted by ss. 626.7315, 626.7845, and 626.8305,
287	subject to the restrictions specified in those sections. If a
288	prospective client requests more specific information concerning
289	the insurance provided by the employee leasing company, the
290	employee leasing company must refer the prospective business
291	client to the insurer or its licensed agent or to a licensed and
292	appointed agent employed by the employee leasing company.
293	Section 12.  Section 626.161, Florida Statutes, is amended
294	to read:
295	626.161  Licensing forms.--The department shall prescribe
296	and furnish all printed forms required in connection with the
297	application for issuance of and termination of all licenses and
298	appointments, except that, with respect to adjusters, the
299	commission shall prescribe and the office shall furnish such
300	forms.
301	Section 13.  Subsection (1), paragraph (f) of subsection
302	(2), and subsection (5) of section 626.171, Florida Statutes,
303	are amended to read:
304	626.171  Application for license.--
305	(1)  The department or office shall not issue a license as
306	agent, customer representative, adjuster, insurance agency,
307	service representative, managing general agent, or reinsurance
308	intermediary to any person except upon written application
309	therefor filed with it, qualification therefor, and payment in
310	advance of all applicable fees. Any such application shall be
311	made under the oath of the applicant and be signed by the
312	applicant. Beginning November 1, 2002, the department shall
313	accept the uniform application for nonresident agent licensing.
314	The department may adopt revised versions of the uniform
315	application by rule.
316	(2)  In the application, the applicant shall set forth:
317	(f)  Such other or additional information as the department
318	or office may deem proper to enable it to determine the
319	character, experience, ability, and other qualifications of the
320	applicant to hold himself or herself out to the public as an
321	insurance representative.
322	(5)  An application for a license as an agent, customer
323	representative, adjuster, insurance agency, service
324	representative, managing general agent, or reinsurance
325	intermediary must be accompanied by a set of the individual
326	applicant's fingerprints, or, if the applicant is not an
327	individual, by a set of the fingerprints of the sole proprietor,
328	majority owner, partners, officers, and directors, on a form
329	adopted by rule of the department or commission and accompanied
330	by the fingerprint processing fee set forth in s. 624.501.
331	Fingerprints shall be used to investigate the applicant's
332	qualifications pursuant to s. 626.201. The fingerprints shall be
333	taken by a law enforcement agency or other department-approved
334	entity.
335	Section 14.  Section 626.181, Florida Statutes, is amended
336	to read:
337	626.181  Number of applications for licensure
338	required.--After a license as agent, customer representative, or
339	After a license as agent, customer representative, or adjuster
340	has been issued to an individual, the same individual shall not
341	be required to take another examination for a similar license,
342	regardless, in the case of an agent, of the number of insurers
343	to be represented by him or her as agent, unless:
344	(1)  Specifically ordered by the department or office to
345	complete a new application for license; or
346	(2)  During any period of 48 months since the filing of the
347	original license application, such individual was not appointed
348	as an agent, customer representative, or adjuster, unless the
349	failure to be so appointed was due to military service, in which
350	event the period within which a new application is not required
351	may, in the discretion of the department or office, be extended
352	to 12 months following the date of discharge from military
353	service if the military service does not exceed 3 years, but in
354	no event to extend under this clause for a period of more than 6
355	years from the date of filing of the original application for
356	license.
357	Section 15.  Section 626.191, Florida Statutes, is amended
358	to read:
359	626.191  Repeated applications.--The failure of an
360	applicant to secure a license upon an application shall not
361	preclude him or her from applying again as many times as
362	desired, but the department or office shall not give
363	consideration to or accept any further application by the same
364	individual for a similar license dated or filed within 30 days
365	subsequent to the date the department or office denied the last
366	application, except as provided in s. 626.281.
367	Section 16.  Section 626.211, Florida Statutes, is amended
368	to read:
369	626.211  Approval, disapproval of application.--
370	(1)  If upon the basis of a completed application for
371	license and such further inquiry or investigation as the
372	department or office may make concerning an applicant the
373	department or office is satisfied that, subject to any
374	examination required to be taken and passed by the applicant for
375	a license, the applicant is qualified for the license applied
376	for and that all pertinent fees have been paid, it shall approve
377	the application. The department or office shall not deny, delay,
378	or withhold approval of an application due to the fact that it
379	has not received a criminal history report based on the
380	applicant's fingerprints.
381	(2)  Upon approval of an applicant for license as agent,
382	customer representative, or adjuster who is subject to written
383	examination, the department or office shall notify the applicant
384	when and where he or she may take the required examination.
385	(3)  Upon approval of an applicant for license who is not
386	subject to examination, the department or office shall promptly
387	issue the license.
388	(4)  If upon the basis of the completed application and
389	such further inquiry or investigation the department or office
390	deems the applicant to be lacking in any one or more of the
391	required qualifications for the license applied for, the
392	department or office shall disapprove the application and notify
393	the applicant, stating the grounds of disapproval.
394	Section 17.  Subsection (1) and paragraphs (a), (c), (d),
395	(f), (g), and (l) of subsection (2) of section 626.221, Florida
396	Statutes, are amended to read:
397	626.221  Examination requirement; exemptions.--
398	(1)  The department or office shall not issue any license
399	as agent, customer representative, or adjuster to any individual
400	who has not qualified for, taken, and passed to the satisfaction
401	of the department or office a written examination of the scope
402	prescribed in s. 626.241.
403	(2)  However, no such examination shall be necessary in any
404	of the following cases:
405	(a)  An applicant for renewal of appointment as an agent,
406	customer representative, or adjuster, unless the department or
407	office determines that an examination is necessary to establish
408	the competence or trustworthiness of such applicant.
409	(c)  In the discretion of the department or office, an
410	applicant for reinstatement of license or appointment as an
411	agent, customer representative, or adjuster whose license has
412	been suspended within 2 years prior to the date of application
413	or written request for reinstatement.
414	(d)  An applicant who, within 2 years prior to application
415	for license and appointment as an agent, customer
416	representative, or adjuster, was a full-time salaried employee
417	of the department or office and had continuously been such an
418	employee with responsible insurance duties for not less than 2
419	years and who had been a licensee within 2 years prior to
420	employment by the department or office with the same class of
421	license as that being applied for.
422	(f)  A person who has been licensed and appointed as a
423	public adjuster or independent adjuster, or licensed and
424	appointed either as an agent or company adjuster as to all
425	property, casualty, and surety insurances, may be licensed and
426	appointed as a company adjuster as to any of such insurances, or
427	as an independent adjuster or public adjuster, without
428	additional written examination if an application for appointment
429	is filed with the department office within 48 months following
430	the date of cancellation or expiration of the prior appointment.
431	(g)  A person who has been licensed as an adjuster for
432	motor vehicle, property and casualty, workers' compensation, and
433	health insurance may be licensed as such an adjuster without
434	additional written examination if his or her application for
435	appointment is filed with the department office within 48 months
436	after cancellation or expiration of the prior license.
437	(l)  An applicant for license as an adjuster who has the
438	designation of Accredited Claims Adjuster (ACA) from a
439	regionally accredited postsecondary institution in this state,
440	or the designation of Professional Claims Adjuster (PCA) from
441	the Professional Career Institute, whose curriculum has been
442	approved by the department office and whose curriculum includes
443	comprehensive analysis of basic property and casualty lines of
444	insurance and testing at least equal to that of standard
445	department office testing for the all-lines adjuster license.
446	The department commission shall adopt rules establishing
447	standards for the approval of curriculum.
448	Section 18.  Section 626.231, Florida Statutes, is amended
449	to read:
450	626.231  Eligibility for examination.--No person shall be
451	permitted to take an examination for license until his or her
452	application for the license has been approved and the required
453	fees have been received by the department or office or a person
454	designated by the department or office to administer the
455	examination.
456	Section 19.  Subsection (1) of section 626.241, Florida
457	Statutes, is amended to read:
458	626.241  Scope of examination.--
459	(1)  Each examination for a license as agent, customer
460	representative, or adjuster shall be of such scope as is deemed
461	by the department or office to be reasonably necessary to test
462	the applicant's ability and competence and knowledge of the
463	kinds of insurance and transactions to be handled under the
464	license applied for, of the duties and responsibilities of such
465	a licensee, and of the pertinent provisions of the laws of this
466	state.
467	Section 20.  Section 626.251, Florida Statutes, is amended
468	to read:
469	626.251  Time and place of examination; notice.--
470	(1)  The department or office or a person designated by the
471	department or office shall mail written notice of the time and
472	place of the examination to each applicant for license required
473	to take an examination who will be eligible to take the
474	examination as of the examination date. The notice shall be so
475	mailed, postage prepaid, and addressed to the applicant at his
476	or her address shown on the application for license or at such
477	other address as requested by the applicant in writing filed
478	with the department or office prior to the mailing of the
479	notice. Notice shall be deemed given when so mailed.
480	(2)  The examination shall be held in an adequate and
481	designated examination center in this state.
482	(3)  The department or office shall make an examination
483	available to the applicant, to be taken as soon as reasonably
484	possible after the applicant is eligible therefor. Any
485	examination required under this part shall be available in this
486	state at a designated examination center.
487	Section 21.  Section 626.261, Florida Statutes, is amended
488	to read:
489	626.261  Conduct of examination.--
490	(1)  The applicant for license shall appear in person and
491	personally take the examination for license at the time and
492	place specified by the department or office or by a person
493	designated by the department or office.
494	(2)  The examination shall be conducted by an employee of
495	the department or office or a person designated by the
496	department or office for that purpose.
497	(3)  The questions propounded shall be as prepared by the
498	department or office, or by a person designated by the
499	department or office for that purpose, consistent with the
500	applicable provisions of this code.
501	(4)  All examinations shall be given and graded in a fair
502	and impartial manner and without unfair discrimination in favor
503	of or against any particular applicant.
504	Section 22.  Section 626.266, Florida Statutes, is amended
505	to read:
506	626.266  Printing of examinations or related materials to
507	preserve examination security.--A contract let for the
508	development, administration, or grading of examinations or
509	related materials by the department or office pursuant to the
510	various agent, customer representative, or adjuster licensing
511	and examination provisions of this code may include the printing
512	or furnishing of these examinations or related materials in
513	order to preserve security. Any such contract shall be let as a
514	contract for a contractual service pursuant to s. 287.057.
515	Section 23.  Subsection (1) of section 626.271, Florida
516	Statutes, is amended to read:
517	626.271  Examination fee; determination, refund.--
518	(1)  Prior to being permitted to take an examination, each
519	applicant who is subject to examination shall pay to the
520	department or office or a person designated by the department or
521	office an examination fee. A separate and additional examination
522	fee shall be payable for each separate class of license applied
523	for, notwithstanding that all such examinations are taken on the
524	same date and at the same place.
525	Section 24.  Section 626.281, Florida Statutes, is amended
526	to read:
527	626.281  Reexamination.--
528	(1)  Any applicant for license who has either:
529	(a)  Taken an examination and failed to make a passing
530	grade, or
531	(b)  Failed to appear for the examination or to take or
532	complete the examination at the time and place specified in the
533	notice of the department or office,
534
535	may take additional examinations, after filing with the
536	department or office an application for reexamination together
537	with applicable fees. The failure of an applicant to pass an
538	examination or the failure to appear for the examination or to
539	take or complete the examination does not preclude the applicant
540	from taking subsequent examinations.
541	(2)  The department or office may require any individual
542	whose license as an agent, customer representative, or adjuster
543	has expired or has been suspended to pass an examination prior
544	to reinstating or relicensing the individual as to any class of
545	license. The examination fee shall be paid as to each
546	examination.
547	Section 25.  Section 626.2817, Florida Statutes, is amended
548	to read:
549	626.2817  Regulation of course providers, instructors,
550	school officials, and monitor groups involved in prelicensure
551	education for insurance agents and other licensees.--
552	(1)  Any course provider, instructor, school official, or
553	monitor group must be approved by and registered with the
554	department or office before offering prelicensure education
555	courses for insurance agents and other licensees.
556	(2)  The department or commission shall adopt rules
557	establishing standards for the approval, registration,
558	discipline, or removal from registration of course providers,
559	instructors, school officials, and monitor groups. The standards
560	must be designed to ensure that such persons have the knowledge,
561	competence, and integrity to fulfill the educational objectives
562	of the prelicensure requirements of this chapter and chapter 648
563	and to ensure assure that insurance agents and licensees are
564	competent to engage in the activities authorized under the
565	license.
566	(3)  The department or commission shall adopt rules to
567	establish a process for determining compliance with the
568	prelicensure requirements of this chapter and chapter 648. The
569	department or commission shall adopt rules prescribing the forms
570	necessary to administer the prelicensure requirements.
571	Section 26.  Section 626.291, Florida Statutes, is amended
572	to read:
573	626.291  Denial, issuance of license.--
574	(1)  Within 30 days after the applicant has completed any
575	examination required under s. 626.221, the department or office
576	or its designee shall provide a score report; and, if it finds
577	that the applicant has received a passing grade, the department
578	or office shall within such period notify the applicant and
579	issue and transmit the license to which such examination
580	related. If it finds that the applicant did not make a passing
581	grade on the examination for a particular license, the
582	department or office or its designee shall within this period
583	provide notice to the applicant to that effect and of its denial
584	of the license.
585	(2)  As to an applicant for a license for which no
586	examination is required, the department or office shall promptly
587	issue the license applied for as soon as it has approved the
588	application.
589	(3)  The department or office shall not deny, delay, or
590	withhold issuance of a license due to the fact that it has not
591	received a criminal history report based on the applicant's
592	fingerprints.
593	Section 27.  Section 626.301, Florida Statutes, is amended
594	to read:
595	626.301  Form and contents of licenses, in general.--Each
596	license issued by the department or office shall be in such form
597	as the department or commission may designate and contain the
598	licensee's name, lines of authority the licensee is authorized
599	to transact, the licensee's personal identification number, the
600	date of issuance, and any other information the department or
601	commission deems necessary to fully identify the licensee and
602	the authority being granted. The department or commission may by
603	rule require photographs of applicants as a part of the
604	licensing process.
605	Section 28.  Section 626.371, Florida Statutes, is amended
606	to read:
607	626.371  Payment of fees, taxes for appointment period
608	without appointment.--
609	(1)  All initial appointments shall be submitted to the
610	department on a monthly basis no later than 45 days after the
611	date of appointment and become effective on the date requested
612	on the appointment form.
613	(2)  If, upon application and qualification for an initial
614	or renewal appointment and such investigation as the department
615	or office may make, it appears to the department or office that
616	an individual who was formerly licensed or is currently licensed
617	but not properly appointed to represent an insurer or employer
618	and who has been actively engaged or is currently actively
619	engaged as such an appointee, but without being appointed as
620	required, the department or office may, if it finds that such
621	failure to be appointed was an inadvertent error on the part of
622	the insurer or employer so represented, nevertheless issue or
623	authorize the issuance of the appointment as applied for but
624	subject to the condition that, before the appointment is issued,
625	all fees and taxes which would have been due had the applicant
626	been so appointed during such current and prior periods, with
627	applicable fees pursuant to s. 624.501 for such current and
628	prior periods of appointment, shall be paid to the department or
629	office.
630	(3)(a)  Failure to notify the department within the
631	required time period shall result in the appointing entity being
632	assessed a delinquent fee of $250 per appointee. Delinquent fees
633	shall be paid by the appointing entity and may not be charged to
634	the appointee.
635	(b)  Failure to timely renew an appointment by an
636	appointing entity prior to the expiration date of the
637	appointment shall result in the appointing entity being assessed
638	late filing, continuation, and reinstatement fees as prescribed
639	in s. 624.501. Such fees must be paid by the appointing entity
640	and cannot be charged back to the appointee.
641	Section 29.  Subsections (2), (3), and (4) of section
642	626.381, Florida Statutes, are amended to read:
643	626.381  Renewal, continuation, reinstatement, or
644	termination of appointment.--
645	(2)  Each appointing entity shall file with the department
646	or office the lists, statements, and information as to
647	appointees whose appointments are being renewed or terminated,
648	accompanied by payment of the applicable renewal fees and taxes
649	as prescribed in s. 624.501, by a date set forth by the
650	department or office following the month during which the
651	appointments will expire.
652	(3)  Renewal of an appointment which is received by the
653	department or office or person designated by the department to
654	administer the appointment process prior to the expiration of an
655	appointment in the licensee's birth month or license issue date,
656	whichever applies, may be renewed by the department or office
657	without penalty and shall be effective as of the first day of
658	the month succeeding the month in which the appointment would
659	have expired.
660	(4)  Renewal of an appointment which is received by the
661	department or office or person designated by the department to
662	administer the appointment process after the renewal date may be
663	accepted and effectuated by the department or office in its
664	discretion if the appointment, late filing, continuation, and
665	reinstatement fee accompanies the renewal request pursuant to s.
666	624.501. Late filing fees shall be paid by the appointing entity
667	and may not be charged to the appointee.
668	Section 30.  Subsection (2) of section 626.431, Florida
669	Statutes, is amended to read:
670	626.431  Effect of expiration of license and appointment.--
671	(2)  When a licensee's last appointment for a particular
672	class of insurance has been terminated or not renewed, the
673	department or office must notify the licensee that his or her
674	eligibility for appointment as such an appointee will expire
675	unless he or she is appointed prior to expiration of the 48-
676	month period referred to in subsection (3).
677	Section 31.  Section 626.461, Florida Statutes, is amended
678	to read:
679	626.461  Continuation of appointment of agent or other
680	representative.--Subject to renewal or continuation by the
681	appointing entity, the appointment of the agent, adjuster,
682	service representative, customer representative, or managing
683	general agent shall continue in effect until the person's
684	license is revoked or otherwise terminated, unless written
685	notice of earlier termination of the appointment is filed with
686	the department or office or person designated by the department
687	to administer the appointment process by either the appointing
688	entity or the appointee.
689	Section 32.  Subsections (2), (3), (4), and (5) of section
690	626.471, Florida Statutes, are amended to read:
691	626.471  Termination of appointment.--
692	(2)  As soon as possible and at all events within 30 days
693	after terminating the appointment of an appointee, other than as
694	to an appointment terminated by the appointing entity's failure
695	to continue or renew it, the appointing entity shall file
696	written notice thereof with the department or office, together
697	with a statement that it has given the appointee notice thereof
698	as provided in subsection (1) and shall file with the department
699	or office the reasons and facts involved in such termination as
700	required under s. 626.511.
701	(3)  Upon termination of the appointment of an appointee,
702	whether by failure to renew or continue the appointment, the
703	appointing entity shall:
704	(a)  File with the department or office the information
705	required under s. 626.511.
706	(b)  Subject to the exceptions provided under subsection
707	(1), continue the outstanding contracts transacted by an agent
708	until the expiration date or anniversary date when the policy is
709	a continuous policy with no expiration date. This paragraph
710	shall not be construed to prohibit the cancellation of such
711	contracts when not otherwise prohibited by law.
712	(4)  An appointee may terminate the appointment at any time
713	by giving written or electronic notice thereof to the appointing
714	entity, department or office, or person designated by the
715	department to administer the appointment process. The department
716	shall immediately terminate the appointment and notify the
717	appointing entity of such termination. Such termination shall be
718	subject to the appointee's contract rights, if any.
719	(5)  Upon receiving notice of termination, the department
720	or office or person designated by the department to administer
721	the appointment process shall terminate the appointment.
722	Section 33.  Subsections (2), (3), and (5) of section
723	626.521, Florida Statutes, are amended to read:
724	626.521  Character, credit reports.--
725	(2)  If requested by the department or office, the insurer,
726	manager, general agent, general lines agent, or employer, as the
727	case may be, shall furnish to the department or office on a form
728	adopted by the department or commission and furnished by the
729	department or office, such information as it may reasonably
730	require relative to such individual and investigation.
731	(3)  As to an applicant for an adjuster's or reinsurance
732	intermediary's license who is to be self-employed, the
733	department or office may secure, at the cost of the applicant, a
734	full detailed credit and character report made by an established
735	and reputable independent reporting service relative to the
736	applicant.
737	(5)  Information contained in credit or character reports
738	furnished to or secured by the department or office under this
739	section is confidential and exempt from the provisions of s.
740	119.07(1).
741	Section 34.  Subsections (1) and (2) of section 626.541,
742	Florida Statutes, are amended to read:
743	626.541  Firm, corporate, and business names; officers;
744	associates; notice of changes.--
745	(1)  Any licensed agent or adjuster doing business under a
746	firm or corporate name or under any business name other than his
747	or her own individual name shall, within 30 days after the
748	initial transaction of insurance under such business name, file
749	with the department or office, on forms adopted by the
750	department or commission and furnished by the department or
751	office, a written statement of the firm, corporate, or business
752	name being so used, the address of any office or offices or
753	places of business making use of such name, and the name and
754	social security number of each officer and director of the
755	corporation and of each individual associated in such firm or
756	corporation as to the insurance transactions thereof or in the
757	use of such business name.
758	(2)  In the event of any change of such name, or of any of
759	the officers and directors, or of any of such addresses, or in
760	the personnel so associated, written notice of such change must
761	be filed with the department or office within 30 days by or on
762	behalf of those licensees terminating any such firm, corporate,
763	or business name or continuing to operate thereunder.
764	Section 35.  Section 626.551, Florida Statutes, is amended
765	to read:
766	626.551  Notice of change of address, name.--Every licensee
767	shall notify the department or office in writing within 60 days
768	after a change of name, residence address, principal business
769	street address, or mailing address. Any licensed agent who has
770	moved his or her residence from this state shall have his or her
771	license and all appointments immediately terminated by the
772	department or office. Failure to notify the department or office
773	within the required time period shall result in a fine not to
774	exceed $250 for the first offense and, for subsequent offenses,
775	a fine of not less than $500 or suspension or revocation of the
776	license pursuant to s. 626.611 or s. 626.621.
777	Section 36.  Section 626.611, Florida Statutes, is amended
778	to read:
779	626.611  Grounds for compulsory refusal, suspension, or
780	revocation of agent's, title agency's, adjuster's, customer
781	representative's, service representative's, or managing general
782	agent's license or appointment.--The department or office shall
783	deny an application for, suspend, revoke, or refuse to renew or
784	continue the license or appointment of any applicant, agent,
785	title agency, adjuster, customer representative, service
786	representative, or managing general agent, and it shall suspend
787	or revoke the eligibility to hold a license or appointment of
788	any such person, if it finds that as to the applicant, licensee,
789	or appointee any one or more of the following applicable grounds
790	exist:
791	(1)  Lack of one or more of the qualifications for the
792	license or appointment as specified in this code.
793	(2)  Material misstatement, misrepresentation, or fraud in
794	obtaining the license or appointment or in attempting to obtain
795	the license or appointment.
796	(3)  Failure to pass to the satisfaction of the department
797	or office any examination required under this code.
798	(4)  If the license or appointment is willfully used, or to
799	be used, to circumvent any of the requirements or prohibitions
800	of this code.
801	(5)  Willful misrepresentation of any insurance policy or
802	annuity contract or willful deception with regard to any such
803	policy or contract, done either in person or by any form of
804	dissemination of information or advertising.
805	(6)  If, as an adjuster, or agent licensed and appointed to
806	adjust claims under this code, he or she has materially
807	misrepresented to an insured or other interested party the terms
808	and coverage of an insurance contract with intent and for the
809	purpose of effecting settlement of claim for loss or damage or
810	benefit under such contract on less favorable terms than those
811	provided in and contemplated by the contract.
812	(7)  Demonstrated lack of fitness or trustworthiness to
813	engage in the business of insurance.
814	(8)  Demonstrated lack of reasonably adequate knowledge and
815	technical competence to engage in the transactions authorized by
816	the license or appointment.
817	(9)  Fraudulent or dishonest practices in the conduct of
818	business under the license or appointment.
819	(10)  Misappropriation, conversion, or unlawful withholding
820	of moneys belonging to insurers or insureds or beneficiaries or
821	to others and received in conduct of business under the license
822	or appointment.
823	(11)  Unlawfully rebating, attempting to unlawfully rebate,
824	or unlawfully dividing or offering to divide his or her
825	commission with another.
826	(12)  Having obtained or attempted to obtain, or having
827	used or using, a license or appointment as agent or customer
828	representative for the purpose of soliciting or handling
829	"controlled business" as defined in s. 626.730 with respect to
830	general lines agents, s. 626.784 with respect to life agents,
831	and s. 626.830 with respect to health agents.
832	(13)  Willful failure to comply with, or willful violation
833	of, any proper order or rule of the department, commission, or
834	office or willful violation of any provision of this code.
835	(14)  Having been found guilty of or having pleaded guilty
836	or nolo contendere to a felony or a crime punishable by
837	imprisonment of 1 year or more under the law of the United
838	States of America or of any state thereof or under the law of
839	any other country which involves moral turpitude, without regard
840	to whether a judgment of conviction has been entered by the
841	court having jurisdiction of such cases.
842	(15)  Fraudulent or dishonest practice in submitting or
843	aiding or abetting any person in the submission of an
844	application for workers' compensation coverage under chapter 440
845	containing false or misleading information as to employee
846	payroll or classification for the purpose of avoiding or
847	reducing the amount of premium due for such coverage.
848	(16)  Sale of an unregistered security that was required to
849	be registered, pursuant to chapter 517.
850	Section 37.  Section 626.621, Florida Statutes, is amended
851	to read:
852	626.621  Grounds for discretionary refusal, suspension, or
853	revocation of agent's, adjuster's, customer representative's,
854	service representative's, or managing general agent's license or
855	appointment.--The department or office may, in its discretion,
856	deny an application for, suspend, revoke, or refuse to renew or
857	continue the license or appointment of any applicant, agent,
858	adjuster, customer representative, service representative, or
859	managing general agent, and it may suspend or revoke the
860	eligibility to hold a license or appointment of any such person,
861	if it finds that as to the applicant, licensee, or appointee any
862	one or more of the following applicable grounds exist under
863	circumstances for which such denial, suspension, revocation, or
864	refusal is not mandatory under s. 626.611:
865	(1)  Any cause for which issuance of the license or
866	appointment could have been refused had it then existed and been
867	known to the department or office.
868	(2)  Violation of any provision of this code or of any
869	other law applicable to the business of insurance in the course
870	of dealing under the license or appointment.
871	(3)  Violation of any lawful order or rule of the
872	department, commission, or office.
873	(4)  Failure or refusal, upon demand, to pay over to any
874	insurer he or she represents or has represented any money coming
875	into his or her hands belonging to the insurer.
876	(5)  Violation of the provision against twisting, as
877	defined in s. 626.9541(1)(l).
878	(6)  In the conduct of business under the license or
879	appointment, engaging in unfair methods of competition or in
880	unfair or deceptive acts or practices, as prohibited under part
881	IX of this chapter, or having otherwise shown himself or herself
882	to be a source of injury or loss to the public or detrimental to
883	the public interest.
884	(7)  Willful overinsurance of any property or health
885	insurance risk.
886	(8)  Having been found guilty of or having pleaded guilty
887	or nolo contendere to a felony or a crime punishable by
888	imprisonment of 1 year or more under the law of the United
889	States of America or of any state thereof or under the law of
890	any other country, without regard to whether a judgment of
891	conviction has been entered by the court having jurisdiction of
892	such cases.
893	(9)  If a life agent, violation of the code of ethics.
894	(10)  Cheating on an examination required for licensure or
895	violating test center or examination procedures published
896	orally, in writing, or electronically at the test site by
897	authorized representatives of the examination program
898	administrator. Communication of test center and examination
899	procedures must be clearly established and documented.
900	(11)  Failure to inform the department or office in writing
901	within 30 days after pleading guilty or nolo contendere to, or
902	being convicted or found guilty of, any felony or a crime
903	punishable by imprisonment of 1 year or more under the law of
904	the United States or of any state thereof, or under the law of
905	any other country without regard to whether a judgment of
906	conviction has been entered by the court having jurisdiction of
907	the case.
908	(12)  Knowingly aiding, assisting, procuring, advising, or
909	abetting any person in the violation of or to violate a
910	provision of the insurance code or any order or rule of the
911	department, commission, or office.
912	Section 38.  Section 626.631, Florida Statutes, is amended
913	to read:
914	626.631  Procedure for refusal, suspension, or revocation
915	of license.--
916	(1)  If any licensee is convicted by a court of a violation
917	of this code or a felony, the licenses and appointments of such
918	person shall be immediately revoked by the department or office.
919	The licensee may subsequently request a hearing pursuant to ss.
920	120.569 and 120.57, and the department or office shall expedite
921	any such requested hearing. The sole issue at such hearing shall
922	be whether the revocation should be rescinded because such
923	person was not in fact convicted of a violation of this code or
924	a felony.
925	(2)  The papers, documents, reports, or evidence of the
926	department or office relative to a hearing for revocation or
927	suspension of a license or appointment pursuant to the
928	provisions of this chapter and chapter 120 are confidential and
929	exempt from the provisions of s. 119.07(1) until after the same
930	have been published at the hearing. However, such papers,
931	documents, reports, or items of evidence are subject to
932	discovery in a hearing for revocation or suspension of a license
933	or appointment.
934	Section 39.  Subsections (1) and (2) of section 626.641,
935	Florida Statutes, are amended to read:
936	626.641  Duration of suspension or revocation.--
937	(1)  The department or office shall, in its order
938	suspending a license or appointment or in its order suspending
939	the eligibility of a person to hold or apply for such license or
940	appointment, specify the period during which the suspension is
941	to be in effect; but such period shall not exceed 2 years. The
942	license, appointment, or eligibility shall remain suspended
943	during the period so specified, subject, however, to any
944	rescission or modification of the order by the department or
945	office, or modification or reversal thereof by the court, prior
946	to expiration of the suspension period. A license, appointment,
947	or eligibility which has been suspended shall not be reinstated
948	except upon request for such reinstatement; but the department
949	or office shall not grant such reinstatement if it finds that
950	the circumstance or circumstances for which the license,
951	appointment, or eligibility was suspended still exist or are
952	likely to recur.
953	(2)  No person or appointee under any license or
954	appointment revoked by the department or office, nor any person
955	whose eligibility to hold same has been revoked by the
956	department or office, shall have the right to apply for another
957	license or appointment under this code within 2 years from the
958	effective date of such revocation or, if judicial review of such
959	revocation is sought, within 2 years from the date of final
960	court order or decree affirming the revocation. The department
961	or office shall not, however, grant a new license or appointment
962	or reinstate eligibility to hold such license or appointment if
963	it finds that the circumstance or circumstances for which the
964	eligibility was revoked or for which the previous license or
965	appointment was revoked still exist or are likely to recur; if
966	an individual's license as agent or customer representative or
967	eligibility to hold same has been revoked upon the ground
968	specified in s. 626.611(12), the department or office shall
969	refuse to grant or issue any new license or appointment so
970	applied for.
971	Section 40.  Subsection (2) of section 626.661, Florida
972	Statutes, is amended to read:
973	626.661  Surrender of license.--
974	(2)  This section shall not be deemed to require the
975	surrender to the department or office of any license unless such
976	surrender has been requested by the department or office.
977	Section 41.  Subsections (1) and (3) of section 626.681,
978	Florida Statutes, are amended to read:
979	626.681  Administrative fine in lieu of or in addition to
980	suspension, revocation, or refusal of license, appointment, or
981	disapproval.--
982	(1)  Except as to insurance agencies, if the department or
983	office finds that one or more grounds exist for the suspension,
984	revocation, or refusal to issue, renew, or continue any license
985	or appointment issued under this chapter, or disapproval of a
986	continuing education course provider, instructor, school
987	official, or monitor groups, the department or office may, in
988	its discretion, in lieu of or in addition to such suspension or
989	revocation, or in lieu of such refusal, or disapproval, and
990	except on a second offense or when such suspension, revocation,
991	or refusal is mandatory, impose upon the licensee, appointee,
992	course provider, instructor, school official, or monitor group
993	an administrative penalty in an amount up to $500 or, if the
994	department or office has found willful misconduct or willful
995	violation on the part of the licensee, appointee, course
996	provider, instructor, school official, or monitor group up to
997	$3,500. The administrative penalty may, in the discretion of the
998	department or office, be augmented by an amount equal to any
999	commissions received by or accruing to the credit of the
1000	licensee or appointee in connection with any transaction as to
1001	which the grounds for suspension, revocation, or refusal
1002	related.
1003	(3)  The department or office may allow the licensee,
1004	appointee, or continuing education course provider, instructor,
1005	school official, or monitor group a reasonable period, not to
1006	exceed 30 days, within which to pay to the department or office
1007	the amount of the penalty so imposed. If the licensee,
1008	appointee, course provider, instructor, school official, or
1009	monitor group fails to pay the penalty in its entirety to the
1010	department or office within the period so allowed, the license,
1011	appointments, approval, or status of that person shall stand
1012	suspended or revoked or issuance, renewal, or continuation shall
1013	be refused, as the case may be, upon expiration of such period.
1014	Section 42.  Section 626.691, Florida Statutes, is amended
1015	to read:
1016	626.691  Probation.--
1017	(1)  If the department or office finds that one or more
1018	grounds exist for the suspension, revocation, or refusal to
1019	renew or continue any license or appointment issued under this
1020	part, the department or office may, in its discretion, except
1021	when an administrative fine is not permissible under s. 626.681
1022	or when such suspension, revocation, or refusal is mandatory, in
1023	lieu of or in addition to such suspension or revocation, or in
1024	lieu of such refusal, or in connection with any administrative
1025	monetary penalty imposed under s. 626.681, place the offending
1026	licensee or appointee on probation for a period, not to exceed 2
1027	years, as specified by the department or office in its order.
1028	(2)  As a condition to such probation or in connection
1029	therewith, the department or office may specify in its order
1030	reasonable terms and conditions to be fulfilled by the
1031	probationer during the probation period. If during the probation
1032	period the department or office has good cause to believe that
1033	the probationer has violated a term or condition, it shall
1034	suspend, revoke, or refuse to issue, renew, or continue the
1035	license or appointment of the probationer, as upon the original
1036	grounds referred to in subsection (1).
1037	Section 43.  Section 626.692, Florida Statutes, is amended
1038	to read:
1039	626.692  Restitution.--If any ground exists for the
1040	suspension, revocation, or refusal of a license or appointment,
1041	the department or office may, in addition to any other penalty
1042	authorized under this chapter, order the licensee to pay
1043	restitution to any person who has been deprived of money by the
1044	licensee's misappropriation, conversion, or unlawful withholding
1045	of moneys belonging to insurers, insureds, beneficiaries, or
1046	others. In no instance shall the amount of restitution required
1047	to be paid under this section exceed the amount of money
1048	misappropriated, converted, or unlawfully withheld. Nothing in
1049	this section limits or restricts a person's right to seek other
1050	remedies as provided for by law.
1051	Section 44.  Subsection (2) of section 626.8582, Florida
1052	Statutes, is amended to read:
1053	626.8582  "Nonresident public adjuster" defined.--A
1054	"nonresident public adjuster" is a person who:
1055	(2)  Is a currently licensed public adjuster in his or her
1056	state of residence for the type or kinds of insurance for which
1057	the licensee intends to adjust claims in this state or, if a
1058	resident of a state that does not license public adjusters, has
1059	passed the department's office's adjuster examination as
1060	prescribed in s. 626.8732(1)(b); and
1061	Section 45.  Subsection (2) of section 626.8584, Florida
1062	Statutes, is amended to read:
1063	626.8584  "Nonresident independent adjuster" defined.--A
1064	"nonresident independent adjuster" is a person who:
1065	(2)  Is a currently licensed independent adjuster in his or
1066	her state of residence for the type or kinds of insurance for
1067	which the licensee intends to adjust claims in this state or, if
1068	a resident of a state that does not license independent
1069	adjusters, has passed the department's office's adjuster
1070	examination as prescribed in s. 626.8734(1)(b); and
1071	Section 46.  Section 626.859, Florida Statutes, is amended
1072	to read:
1073	626.859  "Catastrophe" or "emergency" adjuster defined.--A
1074	"catastrophe" or "emergency" adjuster is a person who is not a
1075	licensed adjuster under this part, but who has been designated
1076	and certified to the department office by insurers as qualified
1077	to adjust claims, losses, or damages under policies or contracts
1078	of insurance issued by such insurer, and whom the department
1079	office may license, in the event of a catastrophe or emergency,
1080	for the purposes and under the conditions which the department
1081	office shall fix and for the period of the emergency as the
1082	department office shall determine, to adjust claims, losses, or
1083	damages under the policies of insurance issued by the insurers.
1084	Section 47.  Subsection (2) of section 626.863, Florida
1085	Statutes, is amended to read:
1086	626.863  Licensed independent adjusters required; insurers'
1087	responsibility.--
1088	(2)  Before referring any claim or loss, the insurer shall
1089	ascertain from the department office whether the proposed
1090	independent adjuster is currently licensed and appointed as
1091	such. Having once ascertained that a particular person is so
1092	licensed and appointed, the insurer may assume that he or she
1093	will continue to be so licensed and appointed until the insurer
1094	has knowledge, or receives information from the department
1095	office, to the contrary.
1096	Section 48.  Section 626.865, Florida Statutes, is amended
1097	to read:
1098	626.865  Public adjuster's qualifications, bond.--
1099	(1)  The department office shall issue a license to an
1100	applicant for a public adjuster's license upon determining that
1101	the applicant has paid the applicable fees specified in s.
1102	624.501 and possesses the following qualifications:
1103	(a)  Is a natural person at least 18 years of age.
1104	(b)  Is a United States citizen or legal alien who
1105	possesses work authorization from the United States Immigration
1106	and Naturalization Service and a bona fide resident of this
1107	state.
1108	(c)  Is trustworthy and has such business reputation as
1109	would reasonably assure that the applicant will conduct his or
1110	her business as insurance adjuster fairly and in good faith and
1111	without detriment to the public.
1112	(d)  Has had sufficient experience, training, or
1113	instruction concerning the adjusting of damages or losses under
1114	insurance contracts, other than life and annuity contracts, is
1115	sufficiently informed as to the terms and effects of the
1116	provisions of those types of insurance contracts, and possesses
1117	adequate knowledge of the laws of this state relating to such
1118	contracts as to enable and qualify him or her to engage in the
1119	business of insurance adjuster fairly and without injury to the
1120	public or any member thereof with whom the applicant may have
1121	business as a public adjuster.
1122	(e)  Has passed any required written examination.
1123	(2)  At the time of application for license as a public
1124	adjuster, the applicant shall file with the department office a
1125	bond executed and issued by a surety insurer authorized to
1126	transact such business in this state, in the amount of $50,000,
1127	conditioned for the faithful performance of his or her duties as
1128	a public adjuster under the license applied for. The bond shall
1129	be in favor of the department office and shall specifically
1130	authorize recovery by the department office of the damages
1131	sustained in case the licensee is guilty of fraud or unfair
1132	practices in connection with his or her business as public
1133	adjuster. The aggregate liability of the surety for all such
1134	damages shall in no event exceed the amount of the bond. Such
1135	bond shall not be terminated unless at least 30 days' written
1136	notice is given to the licensee and filed with the department
1137	office.
1138	Section 49.  Section 626.866, Florida Statutes, is amended
1139	to read:
1140	626.866  Independent adjuster's qualifications.--The
1141	department office shall issue a license to an applicant for an
1142	independent adjuster's license upon determining that the
1143	applicable license fee specified in s. 624.501 has been paid and
1144	that the applicant possesses the following qualifications:
1145	(1)  Is a natural person at least 18 years of age.
1146	(2)  Is a United States citizen or legal alien who
1147	possesses work authorization from the United States Immigration
1148	and Naturalization Service and a bona fide resident of this
1149	state.
1150	(3)  Is trustworthy and has such business reputation as
1151	would reasonably assure that the applicant will conduct his or
1152	her business as insurance adjuster fairly and in good faith and
1153	without detriment to the public.
1154	(4)  Has had sufficient experience, training, or
1155	instruction concerning the adjusting of damage or loss under
1156	insurance contracts, other than life and annuity contracts, is
1157	sufficiently informed as to the terms and the effects of the
1158	provisions of such types of contracts, and possesses adequate
1159	knowledge of the insurance laws of this state relating to such
1160	contracts as to enable and qualify him or her to engage in the
1161	business of insurance adjuster fairly and without injury to the
1162	public or any member thereof with whom he or she may have
1163	relations as an insurance adjuster and to adjust all claims in
1164	accordance with the policy or contract and the insurance laws of
1165	this state.
1166	(5)  Has passed any required written examination.
1167	Section 50.  Section 626.867, Florida Statutes, is amended
1168	to read:
1169	626.867  Company employee adjuster's qualifications.--The
1170	department office shall issue a license to an applicant for a
1171	company employee adjuster's license upon determining that the
1172	applicable license fee specified in s. 624.501 has been paid and
1173	that the applicant possesses the following qualifications:
1174	(1)  Is a natural person at least 18 years of age.
1175	(2)  Is a United States citizen or legal alien who
1176	possesses work authorization from the United States Immigration
1177	and Naturalization Service and a bona fide resident of this
1178	state.
1179	(3)  Is trustworthy and has such business reputation as
1180	would reasonably assure that the applicant will conduct his or
1181	her business as insurance adjuster fairly and in good faith and
1182	without detriment to the public.
1183	(4)  Has had sufficient experience, training, or
1184	instruction concerning the adjusting of damage or loss of risks
1185	described in his or her application, is sufficiently informed as
1186	to the terms and the effects of the provisions of insurance
1187	contracts covering such risks, and possesses adequate knowledge
1188	of the insurance laws of this state relating to such insurance
1189	contracts as to enable and qualify him or her to engage in such
1190	business as insurance adjuster fairly and without injury to the
1191	public or any member thereof with whom he or she may have
1192	relations as an insurance adjuster and to adjust all claims in
1193	accordance with the policy or contract and the insurance laws of
1194	this state.
1195	(5)  Has passed any required written examination.
1196	Section 51.  Paragraph (c) of subsection (4) of section
1197	626.869, Florida Statutes, is amended to read:
1198	626.869  License, adjusters.--
1199	(4)
1200	(c)  The department Financial Services Commission shall
1201	adopt rules necessary to implement and administer the continuing
1202	education requirements of this subsection.
1203	Section 52.  Subsections (1), (3), (5), (6), and (7) of
1204	section 626.8695, Florida Statutes, are amended to read:
1205	626.8695  Primary adjuster.--
1206	(1)  Each person operating an adjusting firm and each
1207	location of a multiple location adjusting firm must designate a
1208	primary adjuster for each such firm or location and must file
1209	with the department office the name of such primary adjuster and
1210	the address of the firm or location where he or she is the
1211	primary adjuster, on a form approved by the department
1212	commission. The designation of the primary adjuster may be
1213	changed at the option of the adjusting firm. Any such change is
1214	effective upon notification to the department office. Notice of
1215	change must be sent to the department office within 30 days
1216	after such change.
1217	(3)  The department office may suspend or revoke the
1218	license of the primary adjuster if the adjusting firm employs
1219	any person who has had a license denied or any person whose
1220	license is currently suspended or revoked. However, if a person
1221	has been denied a license for failure to pass a required
1222	examination, he or she may be employed to perform clerical or
1223	administrative functions for which licensure is not required.
1224	(5)  The department office may suspend or revoke the
1225	license of any adjuster who is employed by a person whose
1226	license is currently suspended or revoked.
1227	(6)  An adjusting firm location may not conduct the
1228	business of insurance unless a primary adjuster is designated.
1229	Failure of the person operating the adjusting firm to designate
1230	a primary adjuster for the firm, or for each location, as
1231	applicable, on a form prescribed by the department commission
1232	within 30 days after inception of the firm or change of primary
1233	adjuster designation, constitutes grounds for requiring the
1234	adjusting firm to obtain an adjusting firm license pursuant to
1235	s. 626.8696.
1236	(7)  Any adjusting firm may request, on a form prescribed
1237	by the department commission, verification from the department
1238	office of any person's current licensure status. If a request is
1239	mailed to the department office within 5 working days after the
1240	date an adjuster is hired, and the department office
1241	subsequently notifies the adjusting firm that an employee's
1242	license is currently suspended, revoked, or has been denied, the
1243	license of the primary adjuster shall not be revoked or
1244	suspended if the unlicensed person is immediately dismissed from
1245	employment as an adjuster with the firm.
1246	Section 53.  Paragraph (e) of subsection (1) and subsection
1247	(5) of section 626.8696, Florida Statutes, are amended to read:
1248	626.8696  Application for adjusting firm license.--
1249	(1)  The application for an adjusting firm license must
1250	include:
1251	(e)  Any additional information which the department
1252	commission may require.
1253	(5)  An adjusting firm required to be licensed pursuant to
1254	s. 626.8695 must remain so licensed for a period of 3 years from
1255	the date of licensure, unless the license is suspended or
1256	revoked. The department office may suspend or revoke the
1257	adjusting firm's authority to do business for activities
1258	occurring during the time the firm is licensed, regardless of
1259	whether the licensing period has terminated.
1260	Section 54.  Section 626.8697, Florida Statutes, is amended
1261	to read:
1262	626.8697  Grounds for refusal, suspension, or revocation of
1263	adjusting firm license.--
1264	(1)  The department office shall deny, suspend, revoke, or
1265	refuse to continue the license of any adjusting firm if it
1266	finds, as to any adjusting firm or as to any majority owner,
1267	partner, manager, director, officer, or other person who manages
1268	or controls the firm, that any of the following grounds exist:
1269	(a)  Lack by the firm of one or more of the qualifications
1270	for the license as specified in this code.
1271	(b)  Material misstatement, misrepresentation, or fraud in
1272	obtaining the license or in attempting to obtain the license.
1273	(2)  The department office may, in its discretion, deny,
1274	suspend, revoke, or refuse to continue the license of any
1275	adjusting firm if it finds that any of the following applicable
1276	grounds exist with respect to the firm or any owner, partner,
1277	manager, director, officer, or other person who is otherwise
1278	involved in the operation of the firm:
1279	(a)  Any cause for which issuance of the license could have
1280	been refused had it then existed and been known to the
1281	department office.
1282	(b)  Violation of any provision of this code or of any
1283	other law applicable to the business of insurance.
1284	(c)  Violation of any order or rule of the department,
1285	office, or commission.
1286	(d)  An owner, partner, manager, director, officer, or
1287	other person who manages or controls the firm having been found
1288	guilty of or having pleaded guilty or nolo contendere to a
1289	felony or a crime punishable by imprisonment of 1 year or more
1290	under the laws of the United States or of any state or under the
1291	laws of any other country, without regard to whether
1292	adjudication was made or withheld by the court.
1293	(e)  Failure to inform the department office in writing
1294	within 30 days after a pleading by an owner, partner, manager,
1295	director, officer, or other person managing or controlling the
1296	firm of guilty or nolo contendere to, or being convicted or
1297	found guilty of, any felony or a crime punishable by
1298	imprisonment of 1 year or more under the laws of the United
1299	States or of any state, or under the laws of any other country,
1300	without regard to whether adjudication was made or withheld by
1301	the court.
1302	(f)  Knowingly aiding, assisting, procuring, advising, or
1303	abetting any person in the violation of or to violate a
1304	provision of the insurance code or any order or rule of the
1305	department, office, or commission.
1306	(g)  Knowingly employing any individual in a managerial
1307	capacity or in a capacity dealing with the public who is under
1308	an order of revocation or suspension issued by the department
1309	office.
1310	(h)  Committing any of the following acts with such a
1311	frequency as to have made the operation of the adjusting firm
1312	hazardous to the insurance-buying public or other persons:
1313	1.  Misappropriation, conversion, or unlawful or
1314	unreasonable withholding of moneys belonging to insurers or
1315	insureds or beneficiaries or claimants or to others and received
1316	in the conduct of business under the license.
1317	2.  Misrepresentation or deception with regard to the
1318	business of insurance, dissemination of information, or
1319	advertising.
1320	3.  Demonstrated lack of fitness or trustworthiness to
1321	engage in the business of insurance adjusting arising out of
1322	activities related to insurance adjusting or the adjusting firm.
1323	(i)  Failure to appoint a primary adjuster.
1324	(3)  In lieu of discretionary refusal, suspension, or
1325	revocation of an adjusting firm's license, the department office
1326	may impose an administrative penalty of up to $1,000 for each
1327	violation or ground provided under this section, not to exceed
1328	an aggregate amount of $10,000 for all violations or grounds.
1329	(4)  If any adjusting firm, having been licensed,
1330	thereafter has such license revoked or suspended, the firm shall
1331	terminate all adjusting activities while the license is revoked
1332	or suspended.
1333	Section 55.  Section 626.8698, Florida Statutes, is amended
1334	to read:
1335	626.8698  Disciplinary guidelines for public
1336	adjusters.--The department office may deny, suspend, or revoke
1337	The department office may deny, suspend, or revoke the license
1338	of a public adjuster, and administer a fine not to exceed $5,000
1339	per act, for any of the following:
1340	(1)  Violating any provision of this chapter or a rule or
1341	order of the office or commission;
1342	(2)  Receiving payment or anything of value as a result of
1343	an unfair or deceptive practice;
1344	(3)  Receiving or accepting any fee, kickback, or other
1345	thing of value pursuant to any agreement or understanding, oral
1346	or otherwise; entering into a split-fee arrangement with another
1347	person who is not a public adjuster; or being otherwise paid or
1348	accepting payment for services that have not been performed;
1349	(4)  Violating s. 316.066 or s. 817.234;
1350	(5)  Soliciting or otherwise taking advantage of a person
1351	who is vulnerable, emotional, or otherwise upset as the result
1352	of a trauma, accident, or other similar occurrence; or
1353	(6)  Violating any ethical rule of the department
1354	commission.
1355	Section 56.  Section 626.870, Florida Statutes, is amended
1356	to read:
1357	626.870  Application for license.--
1358	(1)  Application for a license under this part shall be
1359	made as provided in s. 626.171 and related sections of this
1360	code.
1361	(2)  The department commission shall so prepare the form of
1362	the application as to elicit and require from the applicant the
1363	information necessary to enable the department office to
1364	determine whether the applicant possesses the qualifications
1365	prerequisite to issuance of the license to the applicant.
1366	(3)  The department commission may, in its discretion,
1367	require that the application be supplemented by the certificate
1368	or affidavit of such person or persons as it deems necessary for
1369	its determination of the applicant's residence, business
1370	reputation, and reputation for trustworthiness. The department
1371	commission shall prescribe and the department office may furnish
1372	the forms for such certificates and affidavits.
1373	Section 57.  Section 626.871, Florida Statutes, is amended
1374	to read:
1375	626.871  Reappointment after military service.--The
1376	department office may, without requiring a further written
1377	examination, issue an appointment as an adjuster to a formerly
1378	licensed and appointed adjuster of this state who held a current
1379	adjuster's appointment at the time of entering service in the
1380	Armed Forces of the United States, subject to the following
1381	conditions:
1382	(1)  The period of military service must not have been in
1383	excess of 3 years;
1384	(2)  The application for the appointment must be filed with
1385	the department office and the applicable fee paid, within 12
1386	months following the date of honorable discharge of the
1387	applicant from the military service; and
1388	(3)  The new appointment will be of the same type and class
1389	as that currently effective at the time the applicant entered
1390	military service; but, if such type and class of appointment is
1391	not being currently issued under this code, the new appointment
1392	shall be of that type and class or classes most closely
1393	resembling those of the former appointment.
1394	Section 58.  Subsections (1) and (5) of section 626.872,
1395	Florida Statutes, are amended to read:
1396	626.872  Temporary license.--
1397	(1)  The department office may, in its discretion, issue a
1398	temporary license as an independent adjuster or as a company
1399	employee adjuster, subject to the following conditions:
1400	(a)  The applicant must be an employee of an adjuster
1401	currently licensed by the department office, an employee of an
1402	authorized insurer, or an employee of an established adjusting
1403	firm or corporation which is supervised by a currently licensed
1404	independent adjuster.
1405	(b)  The application must be accompanied by a certificate
1406	of employment and a report as to the applicant's integrity and
1407	moral character on a form prescribed by the department
1408	commission and executed by the employer.
1409	(c)  The applicant must be a natural person of at least 18
1410	years of age, must be a bona fide resident of this state, must
1411	be trustworthy, and must have such business reputation as would
1412	reasonably assure that the applicant will conduct his or her
1413	business as an adjuster fairly and in good faith and without
1414	detriment to the public.
1415	(d)  The applicant's employer is responsible for the
1416	adjustment acts of any licensee under this section.
1417	(e)  The applicable license fee specified must be paid
1418	before issuance of the temporary license.
1419	(f)  The temporary license shall be effective for a period
1420	of 1 year, but subject to earlier termination at the request of
1421	the employer, or if the licensee fails to take an examination as
1422	an independent adjuster or company employee adjuster within 6
1423	months after issuance of the temporary license, or if suspended
1424	or revoked by the department office.
1425	(5)  The department office shall not issue a temporary
1426	license as an independent adjuster or as a company employee
1427	adjuster to any individual who has ever held such a license in
1428	this state.
1429	Section 59.  Subsection (1) of section 626.873, Florida
1430	Statutes, is amended to read:
1431	626.873  Nonresident company employee adjusters.--
1432	(1)  The department office shall, upon application
1433	therefor, issue a license to an applicant for a nonresident
1434	adjuster's license upon determining that the applicant has paid
1435	the applicable license fees required under s. 624.501 and:
1436	(a)  Is a currently licensed insurance adjuster in his or
1437	her home state, if such state requires a license.
1438	(b)  Is an employee of an insurer, or a wholly owned
1439	subsidiary of an insurer, admitted to do business in this state.
1440	(c)  Has filed a certificate or letter of authorization
1441	from the insurance department of his or her home state, if such
1442	state requires an adjuster to be licensed, stating that he or
1443	she holds a current license or authorization to adjust insurance
1444	losses. Such certificate or authorization must be signed by the
1445	insurance commissioner, or his or her deputy, of the adjuster's
1446	home state and must reflect whether or not the adjuster has ever
1447	had his or her license or authorization in the adjuster's home
1448	state suspended or revoked and, if such is the case, the reason
1449	for such action.
1450	Section 60.  Section 626.8732, Florida Statutes, is amended
1451	to read:
1452	626.8732  Nonresident public adjuster's qualifications,
1453	bond.--
1454	(1)  The department office shall, upon application
1455	therefor, issue a license to an applicant for a nonresident
1456	public adjuster's license upon determining that the applicant
1457	has paid the applicable license fees required under s. 624.501
1458	and:
1459	(a)  Is a natural person at least 18 years of age.
1460	(b)  Has passed to the satisfaction of the department
1461	office a written Florida public adjuster's examination of the
1462	scope prescribed in s. 626.241(6); however, the requirement for
1463	such an examination does not apply to any of the following:
1464	1.  An applicant who is licensed as a resident public
1465	adjuster in his or her state of residence, when that state
1466	requires the passing of a written examination in order to obtain
1467	the license and a reciprocal agreement with the appropriate
1468	official of that state has been entered into by the department
1469	office; or
1470	2.  An applicant who is licensed as a nonresident public
1471	adjuster in a state other than his or her state of residence
1472	when the state of licensure requires the passing of a written
1473	examination in order to obtain the license and a reciprocal
1474	agreement with the appropriate official of the state of
1475	licensure has been entered into by the department office.
1476	(c)  Is self-employed as a public adjuster or associated
1477	with or employed by a public adjusting firm or other public
1478	adjuster. Applicants licensed as nonresident public adjusters
1479	under this section must be appointed as such in accordance with
1480	the provisions of ss. 626.112 and 626.451. Appointment fees in
1481	the amount specified in s. 624.501 must be paid to the
1482	department office in advance. The appointment of a nonresident
1483	public adjuster shall continue in force until suspended,
1484	revoked, or otherwise terminated, but subject to biennial
1485	renewal or continuation by the licensee in accordance with
1486	procedures prescribed in s. 626.381 for licensees in general.
1487	(d)  Is trustworthy and has such business reputation as
1488	would reasonably assure that he or she will conduct his or her
1489	business as a nonresident public adjuster fairly and in good
1490	faith and without detriment to the public.
1491	(e)  Has had sufficient experience, training, or
1492	instruction concerning the adjusting of damages or losses under
1493	insurance contracts, other than life and annuity contracts; is
1494	sufficiently informed as to the terms and effects of the
1495	provisions of those types of insurance contracts; and possesses
1496	adequate knowledge of the laws of this state relating to such
1497	contracts as to enable and qualify him or her to engage in the
1498	business of insurance adjuster fairly and without injury to the
1499	public or any member thereof with whom he or she may have
1500	business as a public adjuster.
1501	(2)  The applicant shall furnish the following with his or
1502	her application:
1503	(a)  A complete set of his or her fingerprints. The
1504	applicant's fingerprints must be certified by an authorized law
1505	enforcement officer. The department office may not authorize an
1506	applicant to take the required examination or issue a
1507	nonresident public adjuster's license to the applicant until the
1508	department office has received a report from the Florida
1509	Department of Law Enforcement and the Federal Bureau of
1510	Investigation relative to the existence or nonexistence of a
1511	criminal history report based on the applicant's fingerprints.
1512	(b)  If currently licensed as a resident public adjuster in
1513	the applicant's state of residence, a certificate or letter of
1514	authorization from the licensing authority of the applicant's
1515	state of residence, stating that the applicant holds a current
1516	or comparable license to act as a public adjuster. The
1517	certificate or letter of authorization must be signed by the
1518	insurance commissioner or his or her deputy or the appropriate
1519	licensing official and must disclose whether the adjuster has
1520	ever had any license or eligibility to hold any license
1521	declined, denied, suspended, revoked, or placed on probation or
1522	whether an administrative fine or penalty has been levied
1523	against the adjuster and, if so, the reason for the action.
1524	(c)  If the applicant's state of residence does not require
1525	licensure as a public adjuster and the applicant has been
1526	licensed as a resident insurance adjuster, agent, broker, or
1527	other insurance representative in his or her state of residence
1528	or any other state within the past 3 years, a certificate or
1529	letter of authorization from the licensing authority stating
1530	that the applicant holds or has held a license to act as such an
1531	insurance adjuster, agent, or other insurance representative.
1532	The certificate or letter of authorization must be signed by the
1533	insurance commissioner or his or her deputy or the appropriate
1534	licensing official and must disclose whether or not the
1535	adjuster, agent, or other insurance representative has ever had
1536	any license or eligibility to hold any license declined, denied,
1537	suspended, revoked, or placed on probation or whether an
1538	administrative fine or penalty has been levied against the
1539	adjuster and, if so, the reason for the action.
1540	(3)  At the time of application for license as a
1541	nonresident public adjuster, the applicant shall file with the
1542	department office a bond executed and issued by a surety insurer
1543	authorized to transact surety business in this state, in the
1544	amount of $50,000, conditioned for the faithful performance of
1545	his or her duties as a nonresident public adjuster under the
1546	license applied for. The bond must be in favor of the department
1547	office and must specifically authorize recovery by the
1548	department office of the damages sustained if the licensee
1549	commits fraud or unfair practices in connection with his or her
1550	business as nonresident public adjuster. The aggregate liability
1551	of the surety for all the damages may not exceed the amount of
1552	the bond. The bond may not be terminated unless at least 30
1553	days' written notice is given to the licensee and filed with the
1554	department office.
1555	(4)  The usual and customary records pertaining to
1556	transactions under the license of a nonresident public adjuster
1557	must be retained for at least 3 years after completion of the
1558	adjustment and must be made available in this state to the
1559	department office upon request. The failure of a nonresident
1560	public adjuster to properly maintain records and make them
1561	available to the department office upon request constitutes
1562	grounds for the immediate suspension of the license issued under
1563	this section.
1564	(5)  After licensure as a nonresident public adjuster, as a
1565	condition of doing business in this state, the licensee must
1566	annually on or before January 1, on a form prescribed by the
1567	department commission, submit an affidavit certifying that the
1568	licensee is familiar with and understands the insurance code and
1569	rules adopted thereunder and the provisions of the contracts
1570	negotiated or to be negotiated. Compliance with this filing
1571	requirement is a condition precedent to the issuance,
1572	continuation, reinstatement, or renewal of a nonresident public
1573	adjuster's appointment.
1574	Section 61.  Subsections (1), (3), and (4) of section
1575	626.8734, Florida Statutes, are amended to read:
1576	626.8734  Nonresident independent adjuster's
1577	qualifications.--
1578	(1)  The department office shall, upon application
1579	therefor, issue a license to an applicant for a nonresident
1580	independent adjuster's license upon determining that the
1581	applicant has paid the applicable license fees required under s.
1582	624.501 and:
1583	(a)  Is a natural person at least 18 years of age.
1584	(b)  Has passed to the satisfaction of the department
1585	office a written Florida independent adjuster's examination of
1586	the scope prescribed in s. 626.241(6); however, the requirement
1587	for the examination does not apply to any of the following:
1588	1.  An applicant who is licensed as a resident independent
1589	adjuster in his or her state of residence when that state
1590	requires the passing of a written examination in order to obtain
1591	the license and a reciprocal agreement with the appropriate
1592	official of that state has been entered into by the department
1593	office; or
1594	2.  An applicant who is licensed as a nonresident
1595	independent adjuster in a state other than his or her state of
1596	residence when the state of licensure requires the passing of a
1597	written examination in order to obtain the license and a
1598	reciprocal agreement with the appropriate official of the state
1599	of licensure has been entered into by the department office.
1600	(c)  Is self-employed or associated with or employed by an
1601	independent adjusting firm or other independent adjuster.
1602	Applicants licensed as nonresident independent adjusters under
1603	this section must be appointed as such in accordance with the
1604	provisions of ss. 626.112 and 626.451. Appointment fees in the
1605	amount specified in s. 624.501 must be paid to the department
1606	office in advance. The appointment of a nonresident independent
1607	adjuster shall continue in force until suspended, revoked, or
1608	otherwise terminated, but subject to biennial renewal or
1609	continuation by the licensee in accordance with procedures
1610	prescribed in s. 626.381 for licensees in general.
1611	(d)  Is trustworthy and has such business reputation as
1612	would reasonably assure that he or she will conduct his or her
1613	business as a nonresident independent adjuster fairly and in
1614	good faith and without detriment to the public.
1615	(e)  Has had sufficient experience, training, or
1616	instruction concerning the adjusting of damages or losses under
1617	insurance contracts, other than life and annuity contracts; is
1618	sufficiently informed as to the terms and effects of the
1619	provisions of those types of insurance contracts; and possesses
1620	adequate knowledge of the laws of this state relating to such
1621	contracts as to enable and qualify him or her to engage in the
1622	business of insurance adjuster fairly and without injury to the
1623	public or any member thereof with whom he or she may have
1624	business as an independent adjuster.
1625	(3)  The usual and customary records pertaining to
1626	transactions under the license of a nonresident independent
1627	adjuster must be retained for at least 3 years after completion
1628	of the adjustment and must be made available in this state to
1629	the department office upon request. The failure of a nonresident
1630	independent adjuster to properly maintain records and make them
1631	available to the department office upon request constitutes
1632	grounds for the immediate suspension of the license issued under
1633	this section.
1634	(4)  After licensure as a nonresident independent adjuster,
1635	as a condition of doing business in this state, the licensee
1636	must annually on or before January 1, on a form prescribed by
1637	the department commission, submit an affidavit certifying that
1638	the licensee is familiar with and understands the insurance laws
1639	and administrative rules of this state and the provisions of the
1640	contracts negotiated or to be negotiated. Compliance with this
1641	filing requirement is a condition precedent to the issuance,
1642	continuation, reinstatement, or renewal of a nonresident
1643	independent adjuster's appointment.
1644	Section 62.  Subsection (4) of section 626.8736, Florida
1645	Statutes, is amended to read:
1646	626.8736  Nonresident independent or public adjusters;
1647	service of process.--
1648	(4)  Upon receiving the service, the Chief Financial
1649	Officer shall forthwith send one of the copies of the process,
1650	by registered mail with return receipt requested, to the
1651	defendant nonresident independent or public adjuster at his or
1652	her last address of record with the department office.
1653	Section 63.  Section 626.8738, Florida Statutes, is amended
1654	to read:
1655	626.8738  Penalty for violation.--In addition to any other
1656	remedy imposed pursuant to this code, any person who acts as a
1657	resident or nonresident public adjuster or holds himself or
1658	herself out to be a public adjuster to adjust claims in this
1659	state, without being licensed by the department office as a
1660	public adjuster and appointed as a public adjuster, commits a
1661	felony of the third degree, punishable as provided in s.
1662	775.082, s. 775.083, or s. 775.084. Each act in violation of
1663	this section constitutes a separate offense.
1664	Section 64.  Section 626.874, Florida Statutes, is amended
1665	to read:
1666	626.874  Catastrophe or emergency adjusters.--
1667	(1)  In the event of a catastrophe or emergency, the
1668	department office may issue a license, for the purposes and
1669	under the conditions which it shall fix and for the period of
1670	emergency as it shall determine, to persons who are residents or
1671	nonresidents of this state, who are at least 18 years of age,
1672	who are United States citizens or legal aliens who possess work
1673	authorization from the United States Immigration and
1674	Naturalization Service, and who are not licensed adjusters under
1675	this part but who have been designated and certified to it as
1676	qualified to act as adjusters by independent resident adjusters
1677	or by an authorized insurer or by a licensed general lines agent
1678	to adjust claims, losses, or damages under policies or contracts
1679	of insurance issued by such insurers. The fee for the license
1680	shall be as provided in s. 624.501(12)(c).
1681	(2)  If any person not a licensed adjuster who has been
1682	permitted to adjust such losses, claims, or damages under the
1683	conditions and circumstances set forth in subsection (1),
1684	engages in any of the misconduct described in or contemplated by
1685	ss. 626.611 and 626.621, the department office, without notice
1686	and hearing, shall be authorized to issue its order denying such
1687	person the privileges granted under this section; and thereafter
1688	it shall be unlawful for any such person to adjust any such
1689	losses, claims, or damages in this state.
1690	Section 65.  Section 626.878, Florida Statutes, is amended
1691	to read:
1692	626.878  Rules; code of ethics.--An adjuster shall
1693	subscribe to the code of ethics specified in the rules of the
1694	department commission. The rules shall implement the provisions
1695	of this part and specify the terms and conditions of contracts,
1696	including a right to cancel, and require practices necessary to
1697	ensure fair dealing, prohibit conflicts of interest, and ensure
1698	preservation of the rights of the claimant to participate in the
1699	adjustment of claims.
1700	Section 66.  Section 627.7012, Florida Statutes, is
1701	transferred and renumbered as section 626.879, Florida Statutes,
1702	and amended to read:
1703	626.879 627.7012  Pools of insurance adjusters.--The
1704	department commission may, by rule, establish a pool of
1705	qualified insurance adjusters. The rules must provide that, if a
1706	hurricane occurs or an emergency is declared, the department
1707	office may assign members of the pool to the affected area and
1708	that an insurer may request that a member of the pool adjust
1709	claims in the assigned area. The rules may not require that an
1710	insurer use those adjusters assigned by the department office.
1711	Section 67.  Subsection (3) of section 626.9543, Florida
1712	Statutes, is amended to read:
1713	626.9543  Holocaust victims.--
1714	(3)  DEFINITIONS.--For the purpose of this section:
1715	(a)  "Department" means the Department of Insurance.
1716	(a)(b)  "Holocaust victim" means any person who lost his or
1717	her life or property as a result of discriminatory laws,
1718	policies, or actions targeted against discrete groups of persons
1719	between 1920 and 1945, inclusive, in Nazi Germany, areas
1720	occupied by Nazi Germany, or countries allied with Nazi Germany.
1721	(b)(c)  "Insurance policy" means, but is not limited to,
1722	life insurance, property insurance, or education policies.
1723	(c)(d)  "Legal relationship" means any parent, subsidiary,
1724	or affiliated company with an insurer doing business in this
1725	state.
1726	(d)(e)  "Proceeds" means the face or other payout value of
1727	policies and annuities plus reasonable interest to date of
1728	payments without diminution for wartime or immediate postwar
1729	currency devaluation.
1730	Section 68.  Subsection (9) of section 626.989, Florida
1731	Statutes, is amended to read:
1732	626.989  Investigation by department or Division of
1733	Insurance Fraud; compliance; immunity; confidential information;
1734	reports to division; division investigator's power of arrest.--
1735	(9)  In recognition of the complementary roles of
1736	investigating instances of workers' compensation fraud and
1737	enforcing compliance with the workers' compensation coverage
1738	requirements under chapter 440, the Department of Financial
1739	Services shall prepare and submit a joint performance report to
1740	the President of the Senate and the Speaker of the House of
1741	Representatives by November 1, 2003, and then by January 1 of
1742	each year. The annual report must include, but need not be
1743	limited to:
1744	(a)  The total number of initial referrals received, cases
1745	opened, cases presented for prosecution, cases closed, and
1746	convictions resulting from cases presented for prosecution by
1747	the Bureau of Workers' Compensation Insurance Fraud by type of
1748	workers' compensation fraud and circuit.
1749	(b)  The number of referrals received from insurers and the
1750	Division of Workers' Compensation and the outcome of those
1751	referrals.
1752	(c)  The number of investigations undertaken by the bureau
1753	office which were not the result of a referral from an insurer
1754	or the Division of Workers' Compensation.
1755	(d)  The number of investigations that resulted in a
1756	referral to a regulatory agency and the disposition of those
1757	referrals.
1758	(e)  The number and reasons provided by local prosecutors
1759	or the statewide prosecutor for declining prosecution of a case
1760	presented by the bureau office by circuit.
1761	(f)  The total number of employees assigned to the bureau
1762	office and the Division of Workers' Compliance unit delineated
1763	by location of staff assigned and the number and location of
1764	employees assigned to the bureau office who were assigned to
1765	work other types of fraud cases.
1766	(g)  The average caseload and turnaround time by type of
1767	case for each investigator and division compliance employee.
1768	(h)  The training provided during the year to workers'
1769	compensation fraud investigators and the division's compliance
1770	employees.
1771	Section 69.  Paragraphs (b) and (c) of subsection (2) of
1772	section 627.0628, Florida Statutes, are amended to read:
1773	627.0628  Florida Commission on Hurricane Loss Projection
1774	Methodology.--
1775	(2)  COMMISSION CREATED.--
1776	(b)  The commission shall consist of the following 11
1777	members:
1778	1.  The insurance consumer advocate.
1779	2.  The senior employee of the State Board of
1780	Administration responsible for operations of the Florida
1781	Hurricane Catastrophe Fund.
1782	3.  The Executive Director of the Citizens Property
1783	Insurance Corporation.
1784	4.  The Director of the Division of Emergency Management of
1785	the Department of Community Affairs.
1786	5.  The actuary member of the Florida Hurricane Catastrophe
1787	Fund Advisory Council.
1788	6.  An employee of the office who is an actuary responsible
1789	for property insurance rate filings and who is appointed by the
1790	Director of the Office of Insurance Regulation.
1791	7.6.  Five Six members appointed by the Chief Financial
1792	Officer, as follows:
1793	a.  An employee of the office who is an actuary responsible
1794	for property insurance rate filings.
1795	a.b.  An actuary who is employed full time by a property
1796	and casualty insurer which was responsible for at least 1
1797	percent of the aggregate statewide direct written premium for
1798	homeowner's insurance in the calendar year preceding the
1799	member's appointment to the commission.
1800	b.c.  An expert in insurance finance who is a full time
1801	member of the faculty of the State University System and who has
1802	a background in actuarial science.
1803	c.d.  An expert in statistics who is a full time member of
1804	the faculty of the State University System and who has a
1805	background in insurance.
1806	d.e.  An expert in computer system design who is a full
1807	time member of the faculty of the State University System.
1808	e.f.  An expert in meteorology who is a full time member of
1809	the faculty of the State University System and who specializes
1810	in hurricanes.
1811	(c)  Members designated under subparagraphs (b)1.-5. shall
1812	serve on the commission as long as they maintain the respective
1813	offices designated in subparagraphs (b)1.-5. Members appointed
1814	by the Chief Financial Officer under subparagraph (b)7.6. shall
1815	serve on the commission until the end of the term of office of
1816	the Chief Financial Officer who appointed them, unless earlier
1817	removed by the Chief Financial Officer for cause. Vacancies on
1818	the commission shall be filled in the same manner as the
1819	original appointment.
1820	Section 70.  Section 627.285, Florida Statutes, is amended
1821	to read:
1822	627.285  Independent actuarial peer review of workers'
1823	compensation rating organization.--The office Financial Services
1824	Commission shall at least once every other year contract for an
1825	independent actuarial peer review and analysis of the ratemaking
1826	processes of any licensed rating organization that makes rate
1827	filings for workers' compensation insurance, and the rating
1828	organization shall fully cooperate in the peer review. The
1829	contract shall require submission of a final report to the
1830	commission, the President of the Senate, and the Speaker of the
1831	House of Representatives by February 1. The first report shall
1832	be submitted by February 1, 2004. The costs of the independent
1833	actuarial peer review shall be paid from the Workers'
1834	Compensation Administration Trust Fund.
1835	Section 71.  Paragraph (b) of subsection (11) of section
1836	627.6699, Florida Statutes, is amended to read:
1837	627.6699  Employee Health Care Access Act.--
1838	(11)  SMALL EMPLOYER HEALTH REINSURANCE PROGRAM.--
1839	(b)1.  The program shall operate subject to the supervision
1840	and control of the board.
1841	2.  Effective upon this act becoming a law, the board shall
1842	consist of the Director of the Office of Insurance Regulation
1843	Chief Financial Officer or his or her designee, who shall serve
1844	as the chairperson, and 13 additional members who are
1845	representatives of carriers and insurance agents and are
1846	appointed by the Director of the Office of Insurance Regulation
1847	Chief Financial Officer and serve as follows:
1848	a.  The Director of the Office of Insurance Regulation
1849	Chief Financial Officer shall include representatives of small
1850	employer carriers subject to assessment under this subsection.
1851	If two or more carriers elect to be risk-assuming carriers, the
1852	membership must include at least two representatives of risk-
1853	assuming carriers; if one carrier is risk-assuming, one member
1854	must be a representative of such carrier. At least one member
1855	must be a carrier who is subject to the assessments, but is not
1856	a small employer carrier. Subject to such restrictions, at least
1857	five members shall be selected from individuals recommended by
1858	small employer carriers pursuant to procedures provided by rule
1859	of the commission. Three members shall be selected from a list
1860	of health insurance carriers that issue individual health
1861	insurance policies. At least two of the three members selected
1862	must be reinsuring carriers. Two members shall be selected from
1863	a list of insurance agents who are actively engaged in the sale
1864	of health insurance.
1865	b.  A member appointed under this subparagraph shall serve
1866	a term of 4 years and shall continue in office until the
1867	member's successor takes office, except that, in order to
1868	provide for staggered terms, the Director of the Office of
1869	Insurance Regulation Chief Financial Officer shall designate two
1870	of the initial appointees under this subparagraph to serve terms
1871	of 2 years and shall designate three of the initial appointees
1872	under this subparagraph to serve terms of 3 years.
1873	3.  The Director of the Office of Insurance Regulation
1874	Chief Financial Officer may remove a member for cause.
1875	4.  Vacancies on the board shall be filled in the same
1876	manner as the original appointment for the unexpired portion of
1877	the term.
1878	5.  The Director of the Office of Insurance Regulation
1879	Chief Financial Officer may require an entity that recommends
1880	persons for appointment to submit additional lists of
1881	recommended appointees.
1882	Section 72.  The transfer of the regulation of adjusters
1883	from the Office of Insurance Regulation to the Department of
1884	Financial Services by this act shall not affect the regulation
1885	of adjusters in any administrative or judicial action of the
1886	Office of Insurance Regulation arising out of or involving the
1887	Office of Insurance Regulation prior to or pending on the
1888	effective date of this act, and the Department of Financial
1889	Services shall be substituted as a party in interest on any such
1890	pending action.
1891	Section 73.  Any license, form, or action that was approved
1892	or authorized by the Financial Services Commission or the Office
1893	of Insurance Regulation that was otherwise lawfully in use prior
1894	to the effective date of this act may continue to be used, or be
1895	effective as originally authorized or permitted, until the
1896	Department of Financial Services otherwise prescribes.
1897	Section 74.  Upon the effective date of this act, the rules
1898	or portions thereof of the Financial Services Commission that
1899	govern the regulation of insurance adjusters shall become rules
1900	or portions thereof of the Department of Financial Services as
1901	is appropriate to the corresponding regulatory or constitutional
1902	function and shall remain in effect until specifically amended
1903	or repealed in the manner provided by law.
1904	Section 75.  Section 215.31, Florida Statutes, is amended
1905	to read:
1906	215.31  State funds; deposit in State Treasury.--
1907	(1)  Revenue, including licenses, fees, imposts, or
1908	exactions collected or received under the authority of the laws
1909	of the state by each and every state official, office, employee,
1910	bureau, division, board, commission, institution, agency, or
1911	undertaking of the state or the judicial branch shall be
1912	promptly deposited in the State Treasury, and immediately
1913	credited to the appropriate fund as herein provided, properly
1914	accounted for by the Department of Financial Services as to
1915	source and no money shall be paid from the State Treasury except
1916	as appropriated and provided by the annual General
1917	Appropriations Act, or as otherwise provided by law.
1918	(2)  Every state official, office, employee, bureau,
1919	division, board, commission, institution, agency, or undertaking
1920	of the state or the judicial branch that enters into a
1921	settlement of a claim brought on behalf of the state against any
1922	person shall ensure that all funds received pursuant to the
1923	settlement are promptly deposited into the State Treasury;
1924	however, funds designated in the settlement for purposes of
1925	restitution to affected individuals shall be promptly
1926	transmitted to the intended beneficiaries thereof. No funds due
1927	and owing to the state under a settlement may be maintained
1928	outside the State Treasury unless otherwise specifically
1929	authorized by law.
1930	Section 76.  Subsection (1) of section 215.95, Florida
1931	Statutes, is amended to read:
1932	215.95  Financial Management Information Board.--
1933	(1)  There is created, as part of the Administration
1934	Commission, the Financial Management Information Board. The
1935	board shall be composed of the Governor, the Chief Financial
1936	Officer, the Commissioner of Agriculture, and the Attorney
1937	General. The Governor shall be chair of the board. The Governor
1938	or the Chief Financial Officer may call a meeting of the board
1939	at any time the need arises.
1940	Section 77.  Subsections (2) and (4) of section 215.96,
1941	Florida Statutes, are amended to read:
1942	215.96  Coordinating council and design and coordination
1943	staff.--
1944	(2)  The coordinating council shall consist of the Chief
1945	Financial Officer; the Commissioner of Agriculture; the
1946	secretary of the Department of Management Services; the Attorney
1947	General; and the Director of Planning and Budgeting, Executive
1948	Office of the Governor, or their designees. The Chief Financial
1949	Officer, or his or her designee, shall be chair of the
1950	coordinating council, and the design and coordination staff
1951	shall provide administrative and clerical support to the council
1952	and the board. The design and coordination staff shall maintain
1953	the minutes of each meeting and shall make such minutes
1954	available to any interested person. The Auditor General, the
1955	State Courts Administrator, an executive officer of the Florida
1956	Association of State Agency Administrative Services Directors,
1957	and an executive officer of the Florida Association of State
1958	Budget Officers, or their designees, shall serve without voting
1959	rights as ex officio members on the coordinating council. The
1960	chair may call meetings of the coordinating council as often as
1961	necessary to transact business; however, the coordinating
1962	council shall meet at least once a year. Action of the
1963	coordinating council shall be by motion, duly made, seconded and
1964	passed by a majority of the coordinating council voting in the
1965	affirmative for approval of items that are to be recommended for
1966	approval to the Financial Management Information Board.
1967	(4)  The Financial Management Information Board, through
1968	the coordinating council, shall provide the necessary planning,
1969	implementation, and integration policies, coordination
1970	procedures, and reporting processes to facilitate the successful
1971	and efficient integration of the central administrative and
1972	financial management information systems, including the Florida
1973	Accounting Information Resource system (FLAIR), Cash Management
1974	System (CMS), and FLAIR/CMS replacement project, the payroll
1975	system in the Department of Financial Services, the Legislative
1976	Appropriations System/Planning and Budgeting Subsystem
1977	(LAS/PBS), the State Purchasing System (SPURS) and MyFlorida
1978	Marketplace project, the Cooperative Personnel Employment
1979	Subsystem (COPES) and the PeopleFirst Outsourcing project, and
1980	the State Unified Tax system (SUNTAX).
1981	(a)  To fulfill this role, the coordinating council shall
1982	establish an Enterprise Resource Planning Integration Task
1983	Force, which shall consist of the coordinating council members
1984	plus the Chief Information Officer in the State Technology
1985	Office and the Executive Director or designee in the Department
1986	of Revenue, who shall serve with voting rights on the task
1987	force. The nonvoting ex officio members of the coordinating
1988	council shall be nonvoting members of the task force.
1989	(b)  The task force shall be established by August 1, 2003,
1990	and shall remain in existence until the integration goals have
1991	been achieved among the FLAIR/CMS Replacement project, SPURS and
1992	MyFlorida Marketplace project, COPES and PeopleFirst project,
1993	payroll system, LAS/PBS, and SUNTAX system, or until June 30,
1994	2005, whichever is later. The task force shall hold its initial
1995	meeting no later than September 1, 2003, and shall meet at the
1996	call of the chair or at least once every 60 days. In its initial
1997	meeting, task force members shall:
1998	1.  Adopt a task force charter that identifies major
1999	objectives, activities, milestones and deliverables, significant
2000	assumptions, and constraints on the task force functions and
2001	major stakeholder groups interested in the outcome of the task
2002	force.
2003	2.  Consider and adopt processes by which information will
2004	be collected and business process and technical integration
2005	issues will be raised for analysis and recommendation by the
2006	task force.
2007	3.  Elect a member to serve as vice chair. Any vacancy in
2008	the vice chair position shall be filled by similar election
2009	within 30 days after the date the vacancy is effective.
2010	(c)  The coordinating council shall provide administrative
2011	and technical support to the task force as is reasonably
2012	necessary for the task force to effectively and timely carry out
2013	its duties and responsibilities. The cost of providing such
2014	support may be paid from funds appropriated for the operation of
2015	the council or the FLAIR/CMS Replacement project. The task force
2016	also may contract for services to obtain specific expertise to
2017	analyze, facilitate, and formulate recommendations to address
2018	process and technical integration problems that need to be
2019	resolved.
2020	(d)  Using information and input from project teams and
2021	stakeholders responsible for the FLAIR/CMS Replacement project,
2022	SPURS and MyFlorida Marketplace project, COPES and PeopleFirst
2023	project, payroll system, LAS/PBS, and SUNTAX system, the
2024	responsibilities of the task force shall include, but not be
2025	limited to:
2026	1.  Identifying and documenting central administrative and
2027	financial management policies, procedures, and processes that
2028	need to be integrated and recommending steps for implementation.
2029	2.  Collecting information from the subsystem owners and
2030	project teams and developing and publishing a consolidated list
2031	of enterprise resource planning functional and technical
2032	integration requirements.
2033	3.  Publishing integration plans and timelines based on
2034	information collected from task force members.
2035	4.  Forming committees, workgroups, and teams as provided
2036	in subsection (3).
2037	5.  Developing recommendations for the Financial Management
2038	Information Board which clearly describe any business or
2039	technical problems that need to be addressed, the options for
2040	resolving the problem, and the recommended actions.
2041	6.  Developing and implementing plans for reporting status
2042	of integration efforts.
2043	(e)  The task force shall provide recommendations to the
2044	Financial Management Information Board for review and approval
2045	regarding the technical, procedural, policy, and process
2046	requirements and changes that are needed to successfully
2047	integrate, implement, and realize the benefits of the enterprise
2048	resource planning initiatives associated with the FLAIR/CMS
2049	Replacement project, SPURS and MyFlorida Marketplace project,
2050	COPES and PeopleFirst project, payroll system, LAS/PBS, and
2051	SUNTAX system. The first of these reports should be provided no
2052	later than October 3, 2003.
2053	(f)  The task force shall monitor, review, and evaluate the
2054	progress of the FLAIR/CMS Replacement project, SPURS and
2055	MyFlorida Marketplace project, COPES and PeopleFirst project,
2056	payroll system, LAS/PBS, and SUNTAX system, in implementing the
2057	process and technical integration requirements and changes
2058	approved by the Financial Management Information Board and in
2059	achieving the necessary integration among the central
2060	administrative and financial management information systems
2061	represented on the task force. The task force shall prepare and
2062	submit quarterly reports to the Executive Office of the
2063	Governor, the chairs of the Senate Appropriations Committee and
2064	the House Appropriations Committee, and the Financial Management
2065	Information Board. Each quarterly report shall identify and
2066	describe the technical, procedural, policy, and process
2067	requirements and changes proposed and adopted by the board and
2068	shall describe the status of the implementation of these
2069	integration efforts, identify any problems, issues, or risks
2070	that require executive-level action, and report actual costs
2071	related to the Enterprise Resource Planning Integration Task
2072	Force.
2073	(g)  By January 15, 2004, and annually thereafter, until it
2074	is disbanded, the Enterprise Resource Planning Integration Task
2075	Force shall report to the Financial Management Information
2076	Board, the Speaker of the House of Representatives, and the
2077	President of the Senate the results of the task force's
2078	monitoring, review, and evaluation of enterprise resource
2079	planning integration activities and requirements, and any
2080	recommendations for statutory changes to be considered by the
2081	Legislature.
2082	(h)  This subsection expires July 1, 2008 2004.
2083	Section 78.  This act shall take effect upon becoming a
2084	law.

CODING: Words stricken are deletions; words underlined are additions.