Senate Bill sb2510

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    Florida Senate - 2004                                  SB 2510

    By Senator Lee





    10-1677A-04

  1                      A bill to be entitled

  2         An act relating to the investment of state

  3         trust funds; amending s. 17.61, F.S.; limiting

  4         the authority of state agencies to authorize

  5         the Chief Financial Officer to invest moneys in

  6         trust funds with interest earnings accruing to

  7         such funds; providing for interest earnings to

  8         be deposited into the General Revenue Fund;

  9         repealing ss. 211.31(3) and 633.445(3), F.S.,

10         and amending ss. 445.0325, 1011.94, and

11         1013.79, F.S., relating to the investment of

12         moneys in various state trust funds and the use

13         of accrued interest earnings; conforming

14         provisions to changes made by the act;

15         providing an effective date.

16  

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

18  

19         Section 1.  Subsection (3) of section 17.61, Florida

20  Statutes, is amended to read:

21         17.61  Chief Financial Officer; powers and duties in

22  the investment of certain funds.--

23         (3)(a)  Except As otherwise provided in this section

24  subsection, it is the duty of each state agency, and of the

25  judicial branch, now or hereafter charged with the

26  administration of the funds referred to in subsection (1), may

27  to make such moneys available for investment as fully as is

28  consistent with the cash requirements of the particular fund

29  and may to authorize investment of such moneys by the Chief

30  Financial Officer.

31  

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    Florida Senate - 2004                                  SB 2510
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 1         (b)  Monthly, and more often as circumstances require,

 2  such agency or judicial branch shall notify the Chief

 3  Financial Officer of the amount available for investment; and

 4  the moneys shall be invested by the Chief Financial Officer.

 5  Such notification shall include the name and number of the

 6  fund for which the investments are to be made and the life of

 7  the investment if the principal sum is to be required for

 8  meeting obligations. This subsection, however, shall not be

 9  construed to make available for investment any funds other

10  than those provided in this section referred to in subsection

11  (1).

12         (c)  Except as provided in this paragraph and Except

13  for moneys described in paragraph (d), an agency may the

14  following agencies shall not invest trust fund moneys as

15  provided in this section, but shall retain such moneys in

16  their respective trust funds for investment, with interest

17  appropriated to the General Revenue Fund, pursuant to s.

18  17.57.:

19         1.  The Agency for Health Care Administration, except

20  for the Tobacco Settlement Trust Fund.

21         2.  The Department of Children and Family Services,

22  except for:

23         a.  The Alcohol, Drug Abuse, and Mental Health Trust

24  Fund.

25         b.  The Community Resources Development Trust Fund.

26         c.  The Refugee Assistance Trust Fund.

27         d.  The Social Services Block Grant Trust Fund.

28         e.  The Tobacco Settlement Trust Fund.

29         f.  The Working Capital Trust Fund.

30         3.  The Department of Community Affairs, only for the

31  Operating Trust Fund.

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    Florida Senate - 2004                                  SB 2510
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 1         4.  The Department of Corrections.

 2         5.  The Department of Elderly Affairs, except for:

 3         a.  The Federal Grants Trust Fund.

 4         b.  The Tobacco Settlement Trust Fund.

 5         6.  The Department of Health, except for:

 6         a.  The Federal Grants Trust Fund.

 7         b.  The Grants and Donations Trust Fund.

 8         c.  The Maternal and Child Health Block Grant Trust

 9  Fund.

10         d.  The Tobacco Settlement Trust Fund.

11         7.  The Department of Highway Safety and Motor

12  Vehicles, only for:

13         a.  The DUI Programs Coordination Trust Fund.

14         b.  The Security Deposits Trust Fund.

15         8.  The Department of Juvenile Justice.

16         9.  The Department of Law Enforcement.

17         10.  The Department of Legal Affairs.

18         11.  The Department of State, only for:

19         a.  The Grants and Donations Trust Fund.

20         b.  The Records Management Trust Fund.

21         12.  The Executive Office of the Governor, only for:

22         a.  The Economic Development Transportation Trust Fund.

23         b.  The Economic Development Trust Fund.

24         13.  The Florida Public Service Commission, only for

25  the Florida Public Service Regulatory Trust Fund.

26         14.  The Justice Administrative Commission.

27         15.  The state courts system.

28         (d)  Moneys in any trust funds of an agency the

29  agencies in paragraph (c) may be invested pursuant to the

30  provisions of this section if:

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    Florida Senate - 2004                                  SB 2510
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 1         1.  Investment of such moneys and the retention of

 2  interest is required by federal programs or mandates;

 3         2.  Investment of such moneys and the retention of

 4  interest is required by bond covenants, indentures, or

 5  resolutions;

 6         3.  Such moneys are held by the state in a trustee

 7  capacity as an agent or fiduciary for individuals, private

 8  organizations, or other governmental units; or

 9         4.  The Executive Office of the Governor determines,

10  after consultation with the Legislature pursuant to the

11  procedures of s. 216.177, that federal matching funds or

12  contributions or private grants to any trust fund would be

13  lost to the state.

14         Section 2.  Subsection (3) of section 211.31, Florida

15  Statutes, is repealed.

16         Section 3.  Subsection (4) of section 445.0325, Florida

17  Statutes, is amended to read:

18         445.0325  Welfare Transition Trust Fund.--

19         (4)  All funds transferred to and retained in the trust

20  fund shall be invested pursuant to s. 17.61. Any interest

21  accruing to the trust fund shall be for the benefit of the

22  welfare transition program. Notwithstanding s. 216.301 and

23  pursuant to s. 216.351, any undisbursed balance remaining in

24  the trust fund and interest accruing to the trust fund not

25  distributed at the end of the fiscal year shall remain in the

26  trust fund and shall increase the total funds available to

27  implement the welfare transition program.

28         Section 4.  Subsection (3) of section 633.445, Florida

29  Statutes, is repealed.

30         Section 5.  Subsection (1) of section 1011.94, Florida

31  Statutes, is amended to read:

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    Florida Senate - 2004                                  SB 2510
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 1         1011.94  Trust Fund for University Major Gifts.--

 2         (1)  There is established a Trust Fund for University

 3  Major Gifts. The purpose of the trust fund is to enable each

 4  university and New College to provide donors with an incentive

 5  in the form of matching grants for donations for the

 6  establishment of permanent endowments and sales tax exemption

 7  matching funds received pursuant to s. 212.08(5)(j), which

 8  must be invested, with the proceeds of the investment used to

 9  support libraries and instruction and research programs, as

10  defined by the State Board of Education. All funds

11  appropriated for the challenge grants, new donors, major

12  gifts, sales tax exemption matching funds pursuant to s.

13  212.08(5)(j), or eminent scholars program must be deposited

14  into the trust fund and invested pursuant to s. 17.61 until

15  the State Board of Education allocates the funds to

16  universities to match private donations. Notwithstanding s.

17  216.301 and pursuant to s. 216.351, any undisbursed balance

18  remaining in the trust fund and interest income accruing to

19  the portion of the trust fund which is not matched and

20  distributed to universities must remain in the trust fund and

21  be used to increase the total funds available for challenge

22  grants. Funds deposited in the trust fund for the sales tax

23  exemption matching program authorized in s. 212.08(5)(j), and

24  interest earnings thereon, shall be maintained in a separate

25  account within the Trust Fund for University Major Gifts, and

26  may be used only to match qualified sales tax exemptions that

27  a certified business designates for use by state universities

28  and community colleges to support research and development

29  projects requested by the certified business. The State Board

30  of Education may authorize any university to encumber the

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    Florida Senate - 2004                                  SB 2510
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 1  state matching portion of a challenge grant from funds

 2  available under s. 1011.45.

 3         Section 6.  Subsection (3) of section 1013.79, Florida

 4  Statutes, is amended to read:

 5         1013.79  University Facility Enhancement Challenge

 6  Grant Program.--

 7         (3)  There is established the Alec P. Courtelis Capital

 8  Facilities Matching Trust Fund for the purpose of providing

 9  matching funds from private contributions for the development

10  of high priority instructional and research-related capital

11  facilities, including common areas connecting such facilities,

12  within a university. The Legislature shall appropriate funds

13  to be transferred to the trust fund. The Public Education

14  Capital Outlay and Debt Service Trust Fund, Capital

15  Improvement Trust Fund, Division of Sponsored Research Trust

16  Fund, and Contracts and Grants Trust Fund shall not be used as

17  the source of the state match for private contributions. All

18  appropriated funds deposited into the trust fund shall be

19  invested pursuant to the provisions of s. 17.61. Interest

20  income accruing to that portion of the trust fund shall

21  increase the total funds available for the challenge grant

22  program. Interest income accruing from the private donations

23  shall be returned to the participating foundation upon

24  completion of the project. The State Board of Education shall

25  administer the trust fund and all related construction

26  activities.

27         Section 7.  This act shall take effect July 1, 2005.

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    Florida Senate - 2004                                  SB 2510
    10-1677A-04




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 2                          SENATE SUMMARY

 3    Deletes provisions authorizing the investment of certain
      trust fund moneys so that the interest earned accrues to
 4    the fund. Provides certain exceptions. Requires that
      interest earnings be deposited into the General Revenue
 5    Fund. (See bill for details.)

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