HB 7185CS

CHAMBER ACTION



1The State Administration Council recommends the following:
2
3     Council/Committee Substitute
4     Remove the entire bill and insert:
5
6
A bill to be entitled
7An act relating to procurement of contractual services by
8a state agency; amending s. 287.057, F.S.; prohibiting a
9state agency from renewing or amending a contract for
10outsourcing under certain conditions; requiring certain
11qualifications for persons chosen to conduct negotiations
12during specified procurements; requiring the Department of
13Management Services to adopt rules governing those
14qualifications; requiring that a specified statement be
15included in procurements of commodities and services which
16prohibits contact between respondents and specified
17employees of the executive and legislative branches;
18creating s. 287.0571, F.S.; creating the Florida Efficient
19Government Act; providing legislative intent; providing
20that procurements of specified commodities and services
21are not subject to the act; creating s. 287.05721, F.S.;
22providing definitions; creating s. 287.0573, F.S.;
23creating the Council on Efficient Government within the
24Department of Management Services; providing the purpose
25and membership of the council; providing duties and
26responsibilities of the council; requiring the council to
27review and issue advisory reports on certain state agency
28procurements; requiring the department to employ adequate
29number of staff; requiring the council to be headed by an
30executive director appointed by the Secretary of
31Management Services; requiring state agencies to submit
32materials required by the council; creating s. 287.0574,
33F.S.; providing requirements for certain business cases to
34outsource by a state agency; requiring a state agency to
35develop a business case that describes and analyzes a
36contractual services procurement under consideration;
37providing that the business case is not subject to
38challenge or protest under the Administrative Procedure
39Act; providing required components of a business case;
40providing contract requirements for a proposed
41outsourcing; amending s. 287.058, F.S.; providing that a
42contract may not prohibit a contractor from lobbying the
43executive or legislative branches concerning specified
44contract issues, within specified time lines; creating s.
45287.074, F.S.; requiring that only public officers or
46employees shall perform certain functions; prohibiting a
47contractor from participating in the procurement of
48contractual services by a state agency; repealing s.
4914.203, F.S., which creates the State Council on
50Competitive Government and provides duties and authority
51of the council; providing appropriations; providing that
52certain state agencies are subject to the act; amending s.
53119.071, F.S.; removing a cross-reference; clarifying the
54meaning of "commercial activity" to conform to the removal
55of the reference; providing an effective date.
56
57Be It Enacted by the Legislature of the State of Florida:
58
59     Section 1.  Paragraph (a) of subsection (14) and paragraph
60(b) of subsection (17) of section 287.057, Florida Statutes, are
61amended, and subsection (26) is added to that section, to read:
62     287.057  Procurement of commodities or contractual
63services.--
64     (14)(a)  Contracts for commodities or contractual services
65may be renewed for a period that may not exceed 3 years or the
66term of the original contract, whichever period is longer.
67Renewal of a contract for commodities or contractual services
68shall be in writing and shall be subject to the same terms and
69conditions set forth in the initial contract. If the commodity
70or contractual service is purchased as a result of the
71solicitation of bids, proposals, or replies, the price of the
72commodity or contractual service to be renewed shall be
73specified in the bid, proposal, or reply. A renewal contract may
74not include any compensation for costs associated with the
75renewal. Renewals shall be contingent upon satisfactory
76performance evaluations by the agency and subject to the
77availability of funds. Exceptional purchase contracts pursuant
78to paragraphs (5)(a) and (c) may not be renewed. With the
79exception of subsection (13), if a contract amendment results in
80a longer contract term or increased payments, a state agency may
81not renew or amend a contract for the outsourcing of a service
82or activity that has an original term value exceeding the sum of
83$10 million before submitting a written report concerning
84contract performance to the Governor, the President of the
85Senate, and the Speaker of the House of Representatives at least
8690 days before execution of the renewal or amendment.
87     (17)  For a contract in excess of the threshold amount
88provided in s. 287.017 for CATEGORY FOUR, the agency head shall
89appoint:
90     (b)  At least three persons to conduct negotiations during
91a competitive sealed reply procurement who collectively have
92experience and knowledge in negotiating contracts, contract
93procurement, and the program areas and service requirements for
94which commodities or contractual services are sought. When the
95value of a contract is in excess of $1 million in any fiscal
96year, at least one of the persons conducting negotiations must
97be certified as a contract negotiator based upon rules adopted
98by the Department of Management Services in order to ensure that
99certified contract negotiators are knowledgeable about effective
100negotiation strategies, capable of successfully implementing
101those strategies, and involved appropriately in the procurement
102process. At a minimum, the rules must address the qualifications
103required for certification, the method of certification, and the
104procedure for involving the certified negotiator. If the value
105of a contract is in excess of $10 million in any fiscal year, at
106least one of the persons conducting negotiations must be a
107Project Management Professional, as certified by the Project
108Management Institute.
109     (26)  Each solicitation for the procurement of commodities
110or contractual services shall include the following provision:
111"Respondents to this solicitation or persons acting on their
112behalf may not contact, between the release of the solicitation
113and the end of the 72-hour period following the agency's posting
114of the notice of intended award, excluding Saturdays, Sundays,
115and state holidays, any employee or officer of the executive or
116legislative branch concerning any aspect of this solicitation,
117except in writing to the procurement officer or as provided in
118the solicitation documents. Violation of this provision may be
119grounds for rejecting a response."
120     Section 2.  Section 287.0571, Florida Statutes, is created
121to read:
122     287.0571  Applicability of ss. 287.0571-287.0574.--
123     (1)  Sections 287.0571-287.0574 may be cited as the
124"Florida Efficient Government Act."
125     (2)  It is the intent of the Legislature that each state
126agency focus on its core mission and deliver services
127effectively and efficiently by leveraging resources and
128contracting with private-sector vendors whenever vendors can
129more effectively and efficiently provide services and reduce the
130cost of government.
131     (3)  It is further the intent of the Legislature that
132business cases to outsource be evaluated for feasibility, cost-
133effectiveness, and efficiency before a state agency proceeds
134with any outsourcing of services.
135     (4)  Sections 287.0571-287.0574 do not apply to:
136     (a)  A procurement of commodities and contractual services
137listed in s. 287.057(5)(e), (f), and (g) and (22).
138     (b)  A procurement of contractual services subject to s.
139287.055.
140     (c)  A contract in support of the planning, development,
141implementation, operation, or maintenance of the road, bridge,
142and public transportation construction program of the Department
143of Transportation.
144     (d)  A procurement of commodities or contractual services
145which does not constitute an outsourcing of services or
146activities.
147     Section 3.  Section 287.05721, Florida Statutes, is created
148to read:
149     287.05721  Definitions.--As used in ss. 287.0571-287.0574,
150the term:
151     (1)  "Council" means the Council on Efficient Government.
152     (2)  "Outsource" means the process of contracting with a
153vendor to provide a service as defined in s. 216.011(1)(f), in
154whole or in part, or an activity as defined in s.
155216.011(1)(rr), while a state agency retains the responsibility
156and accountability for the service or activity and there is a
157transfer of management responsibility for the delivery of
158resources and the performance of those resources.
159     Section 4.  Section 287.0573, Florida Statutes, is created
160to read:
161     287.0573  Council on Efficient Government; membership;
162duties.--
163     (1)  There is created a Council on Efficient Government
164within the Department of Management Services to review,
165evaluate, and issue advisory reports on business cases submitted
166to the council as specified in this section.
167     (2)  The council shall consist of seven members appointed
168by the Governor pursuant to s. 20.052:
169     (a)  The secretary of the Department of Management
170Services, who shall serve as chair.
171     (b)  A Cabinet member other than the Governor, or his or
172her senior management or executive staff designee.
173     (c)  Two heads of executive branch agencies.
174     (d)  Three members from the private sector who are subject
175to confirmation by the Senate and who, collectively, have
176experience with procurement, successfully increasing operational
177efficiency, and implementing complex projects in the private-
178sector business environment. A private-sector member of the
179council may not at any time during his or her appointment to the
180council be registered to lobby the executive or legislative
181branch.
182     (3)  Within 45 days after the effective date of this
183section, the Governor shall appoint two private-sector members
184and one state agency head for terms of 1 year and one private-
185sector member and one agency head for terms of 2 years.
186Thereafter, each member shall be appointed for a term of 2
187years. The private-sector members shall serve without
188compensation, but are entitled to reimbursement for per diem and
189travel expenses pursuant to s. 112.061.
190     (4)  A member of the council may not participate in a
191council review of a business case to outsource if his or her
192state agency is conducting the proposed outsourcing or, in the
193case of a private-sector member, if he or she has a business
194relationship with an entity that is involved or could
195potentially be involved in the proposed outsourcing.
196     (5)  A member of the council, except the Cabinet member,
197may not delegate his or her membership to a designee.
198     (6)  A quorum shall consist of at least four members,
199including at least two private-sector members.
200     (7)  Any vacancy on the council shall be filled in the same
201manner as the original appointment, and any member appointed to
202fill a vacancy occurring for a reason other than the expiration
203of a term shall serve only for the unexpired term of the
204member's predecessor.
205     (8)  The council shall:
206     (a)  Employ a standard process for reviewing business cases
207to outsource.
208     (b)  Review and evaluate business cases to outsource as
209requested by the Governor or the state agency head whose agency
210is proposing to outsource or as required by ss. 287.0571-
211287.0574 or by law.
212     (c)  No later than 30 days before a state agency's issuance
213of a solicitation of $10 million or more, provide to the agency
214conducting the procurement, the Governor, the President of the
215Senate, and the Speaker of the House of Representatives an
216advisory report for each business case reviewed and evaluated by
217the council. The report must contain all versions of the
218business case, an evaluation of the business case, any relevant
219recommendations, and sufficient information to assist the state
220agency proposing to outsource in determining whether the
221business case to outsource should be included with the
222legislative budget request.
223     (d)  Recommend and implement standard processes for state
224agency and council review and evaluate state agency business
225cases to outsource, including templates for use by state
226agencies in submitting business cases to the council.
227     (e)  Develop standards and best-practice procedures for use
228by state agencies in evaluating business cases to outsource.
229     (f)  Recommend standards, processes, and guidelines for use
230by state agencies in developing business cases to outsource.
231     (g)  Incorporate any lessons learned from outsourcing
232services and activities into council standards, procedures, and
233guidelines, as appropriate, and identify and disseminate to
234agencies information regarding best practices in outsourcing
235efforts.
236     (h)  Develop, in consultation with the Agency for Workforce
237Innovation, guidelines for assisting state employees whose jobs
238are eliminated as a result of outsourcing.
239     (9)  The council shall identify and report yearly to the
240Legislature on:
241     (a)  Innovative methods of delivering government services
242which would improve the efficiency, effectiveness, or
243competition in the delivery of government services, including,
244but not limited to, enterprise-wide proposals.
245     (b)  Outsourcing efforts of each state agency which shall
246include, but not be limited to, the number of outsourcing
247business cases and solicitations, the number and dollar value of
248outsourcing contracts, an explanation of agency progress on
249achieving the cost-benefit analysis schedule as required by s.
250287.0574(4)(h), descriptions of performance results, as
251applicable, any contract violations or project slippages, and
252the status of extensions, renewals, and amendments of
253outsourcing contracts.
254     (10)  The department shall employ an adequate number of
255staff who collectively possess significant expertise and
256experience as required to carry out the responsibilities of this
257act.
258     (11)  The secretary of the Department of Management
259Services shall appoint an executive director.
260     (12)  Each state agency shall submit to the council all
261information, documents, or other materials required by the
262council or this chapter.
263     Section 5.  Section 287.0574, Florida Statutes, is created
264to read:
265     287.0574  Business cases to outsource; review and analysis;
266requirements.--
267     (1)  A business case to outsource having a projected cost
268exceeding $10 million in any fiscal year shall require:
269     (a)  An initial business case analysis conducted by the
270state agency and submitted to the council, the Governor, the
271President of the Senate, and the Speaker of the House of
272Representatives at least 60 days before a solicitation is
273issued. The council shall evaluate the business case analysis
274and submit an advisory report to the state agency, the Governor,
275the President of the Senate, and the Speaker of the House of
276Representatives when the advisory report is completed, but at
277least 30 days before the agency issues the solicitation.
278     (b)  A final business case analysis conducted by the state
279agency and submitted after the conclusion of any negotiations,
280at least 30 days before execution of a contract, to the council,
281the Governor, the President of the Senate, and the Speaker of
282the House of Representatives.
283     (2)  A proposal to outsource having a projected cost that
284ranges from $1 million to $10 million in any fiscal year shall
285require:
286     (a)  An initial business case analysis conducted by the
287state agency and submission of the business case at least 30
288days before issuing a solicitation to the council, the Governor,
289the President of the Senate, and the Speaker of the House of
290Representatives.
291     (b)  A final business case analysis conducted by the state
292agency and submitted after the conclusion of any negotiations,
293at least 30 days before execution of a contract, to the council,
294the Governor, the President of the Senate, and the Speaker of
295the House of Representatives.
296     (3)  A business case to outsource having a projected cost
297that is less than $1 million in any fiscal year shall require a
298final business case analysis conducted by the state agency after
299the conclusion of any negotiations and provided at least 30 days
300before execution of a contract to the council. The council shall
301provide such business cases in its annual report to the
302Legislature.
303     (4)  For any proposed outsourcing, the state agency shall
304develop a business case that justifies the proposal to
305outsource. In order to reduce any administrative burden, the
306council may allow a state agency to submit the business case in
307the form required by the budget instructions issued pursuant to
308s. 216.023(4)(a)11., augmented with additional information if
309necessary, to ensure that the requirements of this section are
310met. The business case is not subject to challenge or protest
311pursuant to chapter 120. The business case must include, but
312need not be limited to:
313     (a)  A detailed description of the service or activity for
314which the outsourcing is proposed.
315     (b)  A description and analysis of the state agency's
316current performance, based on existing performance metrics if
317the state agency is currently performing the service or
318activity.
319     (c)  The goals desired to be achieved through the proposed
320outsourcing and the rationale for such goals.
321     (d)  A citation to the existing or proposed legal authority
322for outsourcing the service or activity.
323     (e)  A description of available options for achieving the
324goals. If state employees are currently performing the service
325or activity, at least one option involving maintaining state
326provision of the service or activity shall be included.
327     (f)  An analysis of the advantages and disadvantages of
328each option, including, at a minimum, potential performance
329improvements and risks.
330     (g)  A description of the current market for the
331contractual services that are under consideration for
332outsourcing.
333     (h)  A cost-benefit analysis documenting the direct and
334indirect specific baseline costs, savings, and qualitative and
335quantitative benefits involved in or resulting from the
336implementation of the recommended option or options. Such
337analysis must specify the schedule that, at a minimum, must be
338adhered to in order to achieve the estimated savings. All
339elements of cost must be clearly identified in the cost-benefit
340analysis, described in the business case, and supported by
341applicable records and reports. The state agency head shall
342attest that, based on the data and information underlying the
343business case, to the best of his or her knowledge, all
344projected costs, savings, and benefits are valid and achievable.
345As used in this section, the term "cost" means the reasonable,
346relevant, and verifiable cost, which may include, but is not
347limited to, elements such as personnel, materials and supplies,
348services, equipment, capital depreciation, rent, maintenance and
349repairs, utilities, insurance, personnel travel, overhead, and
350interim and final payments. The appropriate elements shall
351depend on the nature of the specific initiative. As used in this
352section, the term "savings" means the difference between the
353direct and indirect actual annual baseline costs compared to the
354projected annual cost for the contracted functions or
355responsibilities in any succeeding state fiscal year during the
356term of the contract.
357     (i)  A description of differences among current state
358agency policies and processes and, as appropriate, a discussion
359of options for or a plan to standardize, consolidate, or revise
360current policies and processes, if any, to reduce the
361customization of any proposed solution that would otherwise be
362required.
363     (j)  A description of the specific performance standards
364that must, at a minimum, be met to ensure adequate performance.
365     (k)  The projected timeframe for key events from the
366beginning of the procurement process through the expiration of a
367contract.
368     (l)  A plan to ensure compliance with the public records
369law.
370     (m)  A specific and feasible contingency plan addressing
371contractor nonperformance and a description of the tasks
372involved in and costs required for its implementation.
373     (n)  A state agency's transition plan for addressing
374changes in the number of agency personnel, affected business
375processes, employee transition issues, and communication with
376affected stakeholders, such as agency clients and the public.
377The transition plan must contain a reemployment and retraining
378assistance plan for employees who are not retained by the state
379agency or employed by the contractor.
380     (o)  A plan for ensuring access by persons with
381disabilities in compliance with applicable state and federal
382law.
383     (p)  A description of legislative and budgetary actions
384necessary to accomplish the proposed outsourcing.
385     (5)  In addition to the contract requirements provided in
386s. 287.058, each contract for a proposed outsourcing, pursuant
387to s. 287.0574, must include, but need not be limited to, the
388following contractual provisions:
389     (a)  A scope-of-work provision that clearly specifies each
390service or deliverable to be provided, including a description
391of each deliverable or activity that is quantifiable,
392measurable, and verifiable. This provision must include a clause
393that states that if a particular service or deliverable is
394inadvertently omitted or not clearly specified but determined to
395be operationally necessary and verified to have been performed
396by the agency within the 12 months before the execution of the
397contract, such service or deliverable will be provided by the
398contractor through the identified contract amendment process.
399     (b)  A service-level agreement provision describing all
400services to be provided under the terms of the agreement, the
401state agency's service requirements and performance objectives,
402specific responsibilities of the state agency and the
403contractor, and the process for amending any portion of the
404service-level agreement. Each service-level agreement must
405contain an exclusivity clause that allows the state agency to
406retain the right to perform the service or activity, directly or
407with another contractor, if service levels are not being
408achieved.
409     (c)  A provision that identifies all associated costs,
410specific payment terms, and payment schedules, including
411provisions governing incentives and financial disincentives and
412criteria governing payment.
413     (d)  A provision that identifies a clear and specific
414transition plan that will be implemented in order to complete
415all required activities needed to transfer the service or
416activity from the state agency to the contractor and operate the
417service or activity successfully.
418     (e)  A performance standards provision that identifies all
419required performance standards, which must include, at a
420minimum:
421     1.  Detailed and measurable acceptance criteria for each
422deliverable and service to be provided to the state agency under
423the terms of the contract which document the required
424performance level.
425     2.  A method for monitoring and reporting progress in
426achieving specified performance standards and levels.
427     3.  The sanctions or disincentives that shall be imposed
428for nonperformance by the contractor or state agency.
429     (f)  A provision that requires the contractor and its
430subcontractors to maintain adequate accounting records that
431comply with all applicable federal and state laws and generally
432accepted accounting principles.
433     (g)  A provision that authorizes the state agency to have
434access to and to audit all records related to the contract and
435subcontracts, or any responsibilities or functions under the
436contract or subcontracts, for purposes of legislative oversight.
437     (h)  A requirement for audits by a service organization in
438accordance with professional auditing standards, if appropriate.
439     (i)  A provision that requires the contractor to interview
440and consider for employment with the contractor each displaced
441state employee who is interested in such employment.
442     (j)  A contingency plan provision that describes the
443mechanism for continuing the operation of the service or
444activity, including transferring the service or activity back to
445the state agency or successor contractor if the contractor fails
446to perform and comply with the performance standards and levels
447of the contract and the contract is terminated.
448     (k)  A provision that requires the contractor and its
449subcontractors to comply with public records laws, specifically
450to:
451     1.  Keep and maintain the public records that ordinarily
452and necessarily would be required by the state agency in order
453to perform the service or activity.
454     2.  Provide the public with access to such public records
455on the same terms and conditions under which the state agency
456would provide the records and at a cost that does not exceed
457that provided in chapter 119 or as otherwise provided by law.
458     3.  Ensure that records that are exempt or confidential and
459exempt are not disclosed except as authorized by law.
460     4.  Meet all requirements for retaining records and
461transfer to the state agency, at no cost, all public records in
462possession of the contractor upon termination of the contract
463and destroy any duplicate public records that are exempt or
464confidential and exempt. All records stored electronically must
465be provided to the state agency in a format that is compatible
466with the information technology systems of the state agency.
467     (l)  A provision that addresses ownership of intellectual
468property.  This paragraph does not provide the specific
469authority needed by an agency to obtain a copyright or
470trademark.
471     (m)  If applicable, a provision that allows the agency to
472purchase from the contractor, at its depreciated value, assets
473used by the contractor in the performance of the contract. If
474assets have not depreciated, the agency shall retain the right
475to negotiate to purchase at an agreed-upon cost.
476     Section 6.  Subsection (6) is added to section 287.058,
477Florida Statutes, to read:
478     287.058  Contract document.--
479     (6)  A contract may not prohibit a contractor from lobbying
480the executive or legislative branch concerning the scope of
481services, performance, term, or compensation regarding any
482contract to which the contractor and a state agency are parties,
483after contract execution and during the contract term. The
484provisions of this subsection are supplemental to the provisions
485of ss. 11.062 and 216.347 and any other law prohibiting the use
486of state funds for lobbying purposes.
487     Section 7.  Section 287.074, Florida Statutes, is created
488to read:
489     287.074  Prohibited actions by contractor personnel.--
490     (1)  Only a public officer or a public employee upon whom
491the public officer has delegated authority shall, consistent
492with law, take actions, including, but not limited to:
493     (a)  Selecting state employees;
494     (b)  Approving position descriptions, performance
495standards, or salary adjustments for state employees; and
496     (c)  Hiring, promoting, disciplining, demoting, and
497dismissing a state employee.
498     (2)  Only a public officer shall, consistent with law,
499commission and appoint state officers.
500     Section 8.  A contractor, as defined in chapter 287,
501Florida Statutes, or its employees, agents, or subcontractors,
502may not knowingly participate, through decision, approval,
503disapproval, or preparation of any part of a purchase request,
504investigation, or audit, in the procurement of commodities or
505contractual services by a state agency from an entity in which
506the contractor, or its employees, agents, or subcontractors, has
507a material interest.
508     Section 9.  Section 14.203, Florida Statutes, is repealed.
509     Section 10.  For the 2006-2007 fiscal year, the sum of
510$750,000 in recurring funds from the General Revenue Fund in a
511qualified expenditure category is appropriated and eight full-
512time equivalent positions are authorized to the Department of
513Management Services to carry out the activities of the Council
514on Efficient Government as provided in this act.
515     Section 11.  The Department of Management Services may
516implement a program to train state agency employees who are
517involved in managing outsourcings as Project Management
518Professionals, as certified by the Project Management Institute.
519For the 2006-2007 fiscal year, the sum of $250,000 in recurring
520funds from the General Revenue Fund in a qualified expenditure
521category is appropriated to the Department of Management
522Services to implement this program. The Department of Management
523Services, in consultation with agencies subject to this act,
524shall identify personnel to participate in this training based
525on requested need and shall ensure that each agency requesting
526training is represented. The Department of Management Services
527may remit payment for this training on behalf of all
528participating personnel.
529     Section 12.  Notwithstanding any law to the contrary, a
530state agency under the individual control of the Attorney
531General, the Chief Financial Officer, or the Commissioner of
532Agriculture is subject to this act.
533     Section 13.  Paragraph (a) of subsection (5) of section
534119.071, Florida Statutes, is amended to read:
535     119.071  General exemptions from inspection or copying of
536public records.--
537     (5)  OTHER PERSONAL INFORMATION.--
538     (a)1.  The Legislature acknowledges that the social
539security number was never intended to be used for business
540purposes but was intended to be used solely for the
541administration of the federal Social Security System. The
542Legislature is further aware that over time this unique numeric
543identifier has been used extensively for identity verification
544purposes and other legitimate consensual purposes. The
545Legislature is also cognizant of the fact that the social
546security number can be used as a tool to perpetuate fraud
547against a person and to acquire sensitive personal, financial,
548medical, and familial information, the release of which could
549cause great financial or personal harm to an individual. The
550Legislature intends to monitor the commercial use of social
551security numbers held by state agencies in order to maintain a
552balanced public policy.
553     2.  An agency shall not collect an individual's social
554security number unless authorized by law to do so or unless the
555collection of the social security number is otherwise imperative
556for the performance of that agency's duties and responsibilities
557as prescribed by law. Social security numbers collected by an
558agency must be relevant to the purpose for which collected and
559shall not be collected until and unless the need for social
560security numbers has been clearly documented. An agency that
561collects social security numbers shall also segregate that
562number on a separate page from the rest of the record, or as
563otherwise appropriate, in order that the social security number
564be more easily redacted, if required, pursuant to a public
565records request. An agency collecting a person's social security
566number shall, upon that person's request, at the time of or
567prior to the actual collection of the social security number by
568that agency, provide that person with a statement of the purpose
569or purposes for which the social security number is being
570collected and used. Social security numbers collected by an
571agency shall not be used by that agency for any purpose other
572than the purpose stated. Social security numbers collected by an
573agency prior to May 13, 2002, shall be reviewed for compliance
574with this subparagraph. If the collection of a social security
575number prior to May 13, 2002, is found to be unwarranted, the
576agency shall immediately discontinue the collection of social
577security numbers for that purpose.
578     3.  Effective October 1, 2002, all social security numbers
579held by an agency are confidential and exempt from s. 119.07(1)
580and s. 24(a), Art. I of the State Constitution. This exemption
581applies to all social security numbers held by an agency before,
582on, or after the effective date of this exemption.
583     4.  Social security numbers may be disclosed to another
584governmental entity or its agents, employees, or contractors if
585disclosure is necessary for the receiving entity to perform its
586duties and responsibilities. The receiving governmental entity
587and its agents, employees, and contractors shall maintain the
588confidential and exempt status of such numbers.
589     5.  An agency shall not deny a commercial entity engaged in
590the performance of a commercial activity, which, for purposes of
591this paragraph, means an activity that provides a product or
592service that is available from a private source, as defined in
593s. 14.203 or its agents, employees, or contractors access to
594social security numbers, provided the social security numbers
595will be used only in the normal course of business for
596legitimate business purposes, and provided the commercial entity
597makes a written request for social security numbers, verified as
598provided in s. 92.525, legibly signed by an authorized officer,
599employee, or agent of the commercial entity. The verified
600written request must contain the commercial entity's name,
601business mailing and location addresses, business telephone
602number, and a statement of the specific purposes for which it
603needs the social security numbers and how the social security
604numbers will be used in the normal course of business for
605legitimate business purposes. The aggregate of these requests
606shall serve as the basis for the agency report required in
607subparagraph 8. An agency may request any other information
608reasonably necessary to verify the identity of the entity
609requesting the social security numbers and the specific purposes
610for which such numbers will be used; however, an agency has no
611duty to inquire beyond the information contained in the verified
612written request. A legitimate business purpose includes
613verification of the accuracy of personal information received by
614a commercial entity in the normal course of its business; use in
615a civil, criminal, or administrative proceeding; use for
616insurance purposes; use in law enforcement and investigation of
617crimes; use in identifying and preventing fraud; use in
618matching, verifying, or retrieving information; and use in
619research activities. A legitimate business purpose does not
620include the display or bulk sale of social security numbers to
621the general public or the distribution of such numbers to any
622customer that is not identifiable by the distributor.
623     6.  Any person who makes a false representation in order to
624obtain a social security number pursuant to this paragraph, or
625any person who willfully and knowingly violates this paragraph,
626commits a felony of the third degree, punishable as provided in
627s. 775.082 or s. 775.083. Any public officer who violates this
628paragraph is guilty of a noncriminal infraction, punishable by a
629fine not exceeding $500. A commercial entity that provides
630access to public records containing social security numbers in
631accordance with this paragraph is not subject to the penalty
632provisions of this subparagraph.
633     7.a.  On or after October 1, 2002, a person preparing or
634filing a document to be recorded in the official records by the
635county recorder as provided for in chapter 28 may not include
636any person's social security number in that document, unless
637otherwise expressly required by law. If a social security number
638is or has been included in a document presented to the county
639recorder for recording in the official records of the county
640before, on, or after October 1, 2002, it may be made available
641as part of the official record available for public inspection
642and copying.
643     b.  Any person, or his or her attorney or legal guardian,
644has the right to request that a county recorder remove, from an
645image or copy of an official record placed on a county
646recorder's publicly available Internet website or a publicly
647available Internet website used by a county recorder to display
648public records or otherwise made electronically available to the
649general public by such recorder, his or her social security
650number contained in that official record. Such request must be
651made in writing, legibly signed by the requester and delivered
652by mail, facsimile, or electronic transmission, or delivered in
653person, to the county recorder. The request must specify the
654identification page number that contains the social security
655number to be redacted. The county recorder has no duty to
656inquire beyond the written request to verify the identity of a
657person requesting redaction. A fee shall not be charged for the
658redaction of a social security number pursuant to such request.
659     c.  A county recorder shall immediately and conspicuously
660post signs throughout his or her offices for public viewing and
661shall immediately and conspicuously post, on any Internet
662website or remote electronic site made available by the county
663recorder and used for the ordering or display of official
664records or images or copies of official records, a notice
665stating, in substantially similar form, the following:
666     (I)  On or after October 1, 2002, any person preparing or
667filing a document for recordation in the official records may
668not include a social security number in such document, unless
669required by law.
670     (II)  Any person has a right to request a county recorder
671to remove, from an image or copy of an official record placed on
672a county recorder's publicly available Internet website or on a
673publicly available Internet website used by a county recorder to
674display public records or otherwise made electronically
675available to the general public, any social security number
676contained in an official record. Such request must be made in
677writing and delivered by mail, facsimile, or electronic
678transmission, or delivered in person, to the county recorder.
679The request must specify the identification page number that
680contains the social security number to be redacted. No fee will
681be charged for the redaction of a social security number
682pursuant to such a request.
683     d.  Until January 1, 2007, if a social security number,
684made confidential and exempt pursuant to this paragraph, or a
685complete bank account, debit, charge, or credit card number made
686exempt pursuant to paragraph (b) is or has been included in a
687court file, such number may be included as part of the court
688record available for public inspection and copying unless
689redaction is requested by the holder of such number, or by the
690holder's attorney or legal guardian, in a signed, legibly
691written request specifying the case name, case number, document
692heading, and page number. The request must be delivered by mail,
693facsimile, electronic transmission, or in person to the clerk of
694the circuit court. The clerk of the circuit court does not have
695a duty to inquire beyond the written request to verify the
696identity of a person requesting redaction. A fee may not be
697charged for the redaction of a social security number or a bank
698account, debit, charge, or credit card number pursuant to such
699request.
700     e.  Any person who prepares or files a document to be
701recorded in the official records by the county recorder as
702provided in chapter 28 may not include a person's social
703security number or complete bank account, debit, charge, or
704credit card number in that document unless otherwise expressly
705required by law. Until January 1, 2007, if a social security
706number or a complete bank account, debit, charge, or credit card
707number is or has been included in a document presented to the
708county recorder for recording in the official records of the
709county, such number may be made available as part of the
710official record available for public inspection and copying. Any
711person, or his or her attorney or legal guardian, may request
712that a county recorder remove from an image or copy of an
713official record placed on a county recorder's publicly available
714Internet website, or a publicly available Internet website used
715by a county recorder to display public records outside the
716office or otherwise made electronically available outside the
717county recorder's office to the general public, his or her
718social security number or complete account, debit, charge, or
719credit card number contained in that official record. Such
720request must be legibly written, signed by the requester, and
721delivered by mail, facsimile, electronic transmission, or in
722person to the county recorder. The request must specify the
723identification page number of the document that contains the
724number to be redacted. The county recorder does not have a duty
725to inquire beyond the written request to verify the identity of
726a person requesting redaction. A fee may not be charged for
727redacting such numbers.
728     f.  Subparagraphs 2. and 3. do not apply to the clerks of
729the court or the county recorder with respect to circuit court
730records and official records.
731     g.  On January 1, 2007, and thereafter, the clerk of the
732circuit court and the county recorder must keep complete bank
733account, debit, charge, and credit card numbers exempt as
734provided for in paragraph (b), and must keep social security
735numbers confidential and exempt as provided for in subparagraph
7363., without any person having to request redaction.
737     8.  Beginning January 31, 2004, and each January 31
738thereafter, every agency must file a report with the Secretary
739of State, the President of the Senate, and the Speaker of the
740House of Representatives listing the identity of all commercial
741entities that have requested social security numbers during the
742preceding calendar year and the specific purpose or purposes
743stated by each commercial entity regarding its need for social
744security numbers. If no disclosure requests were made, the
745agency shall so indicate.
746     9.  Any affected person may petition the circuit court for
747an order directing compliance with this paragraph.
748     10.  This paragraph does not supersede any other applicable
749public records exemptions existing prior to May 13, 2002, or
750created thereafter.
751     11.  This paragraph is subject to the Open Government
752Sunset Review Act in accordance with s. 119.15 and shall stand
753repealed October 2, 2007, unless reviewed and saved from repeal
754through reenactment by the Legislature.
755     Section 14.  This act shall take effect upon becoming a
756law.


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