Florida Senate - 2008 COMMITTEE AMENDMENT

Bill No. SB 108

823198

CHAMBER ACTION

Senate

Comm: RS

1/8/2008

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House



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The Committee on Military Affairs and Domestic Security (Storms)

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recommended the following amendment:

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     Senate Amendment (with title amendment)

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     Delete everything after the enacting clause

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and insert:

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     Section 1. Florida Service-Disabled Veteran Business

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Enterprise Opportunity Act.--

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     (1) TITLE.--This section may be cited as the "Florida

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Service-Disabled Veteran Business Enterprise Opportunity Act."

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     (2) INTENT.--It is the intent of the Legislature to

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support service-disabled veterans who have made extraordinary

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sacrifices on behalf of the nation, the state, and the public by

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providing preference and opportunity for service-disabled

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veteran business enterprises to participate in the awarding of

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state contracts as provided in this section.

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     (3) STATE INTEREST.--The Federal Government has found that

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due to disabilities received in service to our country, service-

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disabled veterans are statistically the least likely to be self-

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employed when compared to the veteran population as a whole. It

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is in the state's interest to develop mechanisms that help our

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disabled residents be self-supporting and contribute to the

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economic and business health of this state. It is therefore

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determined to be a compelling state interest to provide business

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and employment opportunities that help rectify this disparity to

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our disabled veterans.

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     (4) DEFINITIONS.--For the purpose of this section, the

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term:

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     (a) "Certified service-disabled veteran business

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enterprise" means a business that has been certified by the

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state to be a service-disabled veteran business enterprise as

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defined paragraph (c).

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     (b) "Service-disabled veteran" means a veteran who has a

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service-connected disability of 10 percent or greater as

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determined by the United States Department of Veterans Affairs

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or who has been terminated from military service by reason of

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disability by the United States Department of Defense.

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     (c) "Service-disabled veteran business enterprise" means

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an independently owned and operated business that:

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     1. Employs 200 or fewer permanent full-time employees;

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     2. Together with its affiliates has a net worth of $5

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million or less and, if a sole proprietorship, the net worth

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includes both personal and business investments;

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     3. Is organized to engage in commercial transactions;

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     4. Is domiciled in this state;

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     5. Is at least 51 percent-owned by one or more service-

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disabled veterans; and

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     6. The management and daily business operations are

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controlled by one or more service-disabled veterans or, for a

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service-disabled veteran with a permanent and total disability,

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by the spouse or permanent caregiver of the veteran.

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     (5) BUSINESS PREFERENCE.--State agencies shall provide a

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preference, including the use of price preferences, weighted

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preference formulas, or other vendor-preference criteria

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established by the Department of Management Services by rule, to

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a certified service-disabled veteran business enterprise when

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considering two or more bids, proposals, or replies in order to

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increase the participation of service-disabled veteran business

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enterprises in state contracting process. State agencies shall

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report all bid protests by certified service-disabled veteran

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businesses annually to the Department of Veterans' Affairs.

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     (a) Notwithstanding s. 287.057(12), Florida Statutes, if a

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business that is entitled to the vendor preference under this

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section and one or more businesses entitled to this preference

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or another vendor preference are equal with respect to all

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relevant considerations, including, but not limited to,

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preference formula, price, quality, and service, the business

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having the smallest net worth or average annual income shall

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receive the award.

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     (b) Political subdivisions of the state are encouraged to

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offer a similar preference to businesses certified under this

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section.

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     (6) CERTIFICATION PROCEDURE.--At a minimum, the

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certification procedure must include the following requirements.

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     (a) The application for certification as a service-

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disabled veteran business enterprise must, at a minimum,

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include:

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     1. The name of the applicant, who must be the service-

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disabled veteran business owner, or one of the owners for a

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business that has more than one service-disabled veteran owner.

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     2. The name of all other owners of the business, including

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both service-related business owners and nonservice-related

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owners.

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     3, The name of all persons involved in the management and

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daily operations of the business, including the spouse or

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permanent caregiver of a veteran with a permanent and total

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disability.

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     4. The service-connected disability of all persons listed

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under subparagraphs 1., 2., and 3., as applicable, with

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supporting documentation from the United States Department of

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Veterans Affairs or United States Department of Defense.

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     5. The number of permanent full-time employees.

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     6. The location of the business headquarters.

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     7. The total net worth, including affiliates, and, in the

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case of a sole proprietor, the total net worth of any personal

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or business investments in the business.

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     (b) To maintain certification, a certified business must

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reapply and renew its certification biennially.

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     (c) The Department of Management Services shall render a

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determination on an application for certification and notify the

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applying business within 90 days.

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     (d) A certified service-disabled business enterprise must

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report within 30 days to the Department of Management Services

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any event that may significantly affect the certification of the

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business, including, but not limited to, a change in ownership

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or change in management and daily business operations.

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     (e) If a certified business is determined by the

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Department of Management Services to have violated paragraph

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(d), the business shall have its certification revoked and the

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business may not reapply for 12 months. No other service-

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disabled veteran named on the certification application who may

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be eligible to apply for certification for the business whose

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certification has been revoked or for any other business may

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apply for certification under this section during the 12-month

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revocation period.

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     2. During the 12-month revocation period, the business may

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continue to bid on state contracts but is not eligible for any

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preferences available under this section until it is

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recertified.

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     3. A business whose certification has been revoked may

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reapply for certification at the conclusion of the 12-month

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period in order to regain the preferences it may be due under

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this section.

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     (f) A business that has its certification denied or

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revoked may appeal to the Department of Management Services

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within 30 days after notification of the denial or revocation;

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the Department of Management Services has up to 90 days to

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review the circumstances that led to the denial or revocation

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and notify the appealing business of its determination. A

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business appealing under this paragraph does not waive its

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rights under chapter 120, Florida Statutes.

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     (7) DUTIES OF THE DEPARTMENT OF VETERANS' AFFAIRS.--The

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department shall:

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     (a) Assist the Department of Management Services in

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establishing a certification application procedure, which shall

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be reviewed and updated biennially.

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     (b) Subject to an appropriation, identify eligible

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service-disabled veteran business enterprises by any electronic

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means, including electronic mail or Internet website, or by any

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other reasonable means.

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     (c) Encourage and assist eligible service-disabled veteran

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business enterprises businesses to apply for certification under

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this section.

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     (d) Provide information regarding services available from

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the Office of Veterans' Business Outreach of the Florida Small

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Business Development Center to service-disabled veteran business

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enterprises.

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     (e) Subject to an appropriation, contract with a private

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entity to carry out any of the duties specified under this

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subsection.

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     (8) DUTIES OF THE DEPARTMENT OF MANAGEMENT SERVICES.--The

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department shall:

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     (a) With assistance from the Department of Veterans'

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Affairs, establish a certification application procedure, which

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shall be reviewed and updated biennially.

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     (b) Grant or reject certification by a business applying

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under this section.

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     (c) Maintain an electronic directory of certified service-

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disabled veteran business enterprises for use by the state,

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political subdivisions of the state, and the public.

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     (9) REPORT.--The Florida Small Business Development Center

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shall include in its report under s. 288.705, Florida Statutes,

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the percentage of businesses using the statewide contracts

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register which are certified service-disabled veteran business

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enterprises.

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     (10) RULES.--The Department of Veterans' Affairs and

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Department of Management Services may adopt rules as necessary

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to administer this section.

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     Section 2.  Subsection (6) is added to section 288.705,

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Florida Statutes, to read:

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     288.705  Statewide contracts register.--All state agencies

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shall in a timely manner provide the Florida Small Business

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Development Center Procurement System with all formal

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solicitations for contractual services, supplies, and

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commodities. The Small Business Development Center shall

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coordinate with Minority Business Development Centers to compile

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and distribute such information to Florida small and minority

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businesses requesting such service for the period of time

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necessary to familiarize the business with the market

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represented by state agencies. On or before February 1 of each

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year, the Small Business Development Center shall report to the

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Department of Labor and Employment Security on utilization of

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the statewide contracts register. Such report shall include, but

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not be limited to, information relating to:

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     (6) The percentage of service-disabled veteran business

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enterprises using the service.

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     Section 3.  Subsection (2) of section 288.7015, Florida

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Statutes, is amended to read:

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     288.7015  Appointment of rules ombudsman; duties.--The

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Governor shall appoint a rules ombudsman, as defined in s.

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288.703, in the Executive Office of the Governor, for

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considering the impact of agency rules on the state's citizens

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and businesses. In carrying out duties as provided by law, the

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ombudsman shall consult with Enterprise Florida, Inc., at which

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point the office may recommend to improve the regulatory

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environment of this state. The duties of the rules ombudsman are

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to:

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     (2)  Review state agency rules that adversely or

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disproportionately affect impact businesses, particularly those

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relating to small and minority businesses, and to service-

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disabled veteran business enterprises.

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     Section 4.  This act shall take effect November 11, 2008.

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================ T I T L E  A M E N D M E N T ================

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And the title is amended as follows:

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     Delete everything before the enacting clause

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and insert:

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A bill to be entitled

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An act relating to service-disabled veteran businesses;

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creating the Florida Service-Disabled Veteran Business

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Enterprise Opportunity Act; providing legislative intent;

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providing a statement of public purpose; providing

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definitions; providing a selection preference in state

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contracting for certified service-disabled veteran

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business; providing a certification procedure; providing

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for the revocation of certification; providing for the

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duties of the Department of Veterans' Affairs and the

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Department of Management Services; providing for data

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reporting; authorizing the Department of Management

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Services to adopt rules; amending s. 288.705, F.S.;

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requiring the Small Business Development Center to report

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the percentage of service-disabled veteran businesses

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using the statewide contracts registry; amending s.

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288.703, F.S.; requiring the state rules ombudsman to

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review state rules that adversely affect service-disabled

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veteran business; providing an effective date.

1/18/2008  5:15:00 PM     583-02812-08

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