Florida Senate - 2009 CONFERENCE COMMITTEE AMENDMENT
Bill No. CS for CS for SB 2694
Barcode 444982
LEGISLATIVE ACTION
Senate . House
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Floor: AD/CR .
05/08/2009 12:56 PM .
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The Conference Committee on CS for CS for SB 2694 recommended
the following:
1 Senate Conference Committee Amendment (with title
2 amendment)
3
4 Delete everything after the enacting clause
5 and insert:
6 Section 1. Section 216.311, Florida Statutes, is amended to
7 read:
8 216.311 Unauthorized contracts in excess of appropriations;
9 penalty.—
10 (1) An No agency or branch of state government may not
11 enter into any shall contract to spend, or enter into any
12 agreement:
13 (a) To spend, any moneys in excess of the amount
14 appropriated to such agency or branch unless specifically
15 authorized by law, and any contract or agreement in violation of
16 this chapter shall be null and void.
17 (b) That requires the state to pay liquidated damages or
18 early termination fees for a breach or early termination of a
19 contract or agreement by such agency or branch due to an act of
20 the Legislature which provides less than full funding for the
21 contract during the fiscal year.
22 (c) That requires the state to pay interest, other than
23 interest paid pursuant to s. 215.422, to another party because
24 the agency or branch has insufficient budget authority to pay
25 the underlying obligation of the contract or agreement in the
26 current year.
27 (d) That binds the state to make future-year payments to
28 offset payments not made in a prior year due to insufficient
29 budget authority, unless the Legislature expressly authorizes
30 the agency or branch to enter into such contract or agreement.
31 (e) To grant to any party the right or privilege to collect
32 and retain fees or other revenues from persons who are not a
33 party to the contract which would otherwise be payable to the
34 state and deposited into the State Treasury, unless the
35 Legislature expressly authorizes the agency or branch to enter
36 into such contract or agreement.
37 (2) Notwithstanding any law authorizing an agency to enter
38 into a lease, an agency may not enter into a lease or lease
39 purchase agreement for tangible personal property which requires
40 the state to pay more than $500,000 over the term of the lease
41 or agreement if the term of the lease or agreement exceeds 1
42 fiscal year unless such lease or agreement is expressly
43 authorized by the Legislature.
44 (3) Any contract or agreement in violation of this section
45 is null and void.
46 (4)(2) Any public officer or employee person who willfully
47 enters into a contract or other agreement in violation of this
48 section commits contracts to spend, or enters into an agreement
49 to spend, any money in excess of the amount appropriated to the
50 agency or branch for whom the contract or agreement is executed
51 is guilty of a misdemeanor of the first degree, punishable as
52 provided in s. 775.082 or s. 775.083.
53 (5) Notwithstanding subsection (1), the following agencies
54 may enter into the following contracts or agreements:
55 (a) In order to spend funds appropriated for the approved
56 5-year work program, the Department of Transportation may enter
57 into contracts and other agreements that require the state to
58 pay liquidated damages as a result of a breach of those
59 contracts or agreements.
60 (b) In order to administer the state group insurance
61 program as provided in s. 110.123, the Department of Management
62 Services may enter into contracts and other agreements that
63 permit health care providers, health maintenance organizations,
64 preferred provider organizations, and insurers to collect
65 premiums and copayments from participants in the group insurance
66 program.
67 (c) In order to administer the state Medicaid plan and the
68 Florida Healthy Kids program, the Agency for Health Care
69 Administration may enter into contracts and other agreements
70 that permit health care providers to collect premiums and
71 copayments from participants in the Medicaid plan and the
72 Healthy Kids program.
73 (6) Notwithstanding subsection (2), in order to administer
74 the real estate and other investment portfolios as provided in
75 s. 215.47, the State Board of Administration may enter into
76 contracts and such other agreements that are necessary to carry
77 out the investment duties of the board.
78 (7) For purposes of this section and ss. 216.312 and
79 216.313, the terms “contract” and “agreement” include the
80 initial contract or agreement, any amendment to the contract or
81 agreement, and any extension or renewal of the contract or
82 agreement.
83 Section 2. Section 216.312, Florida Statutes, is created to
84 read:
85 216.312 Reporting contract expenditures.—
86 (1) At least 30 days before an executive or judicial branch
87 public officer or employee enters into any contract or
88 agreement, or any series of contracts or agreements between the
89 same parties, on behalf of the state which requires payments by
90 the state in excess of $10 million in any fiscal or calendar
91 year, the officer or employee must notify the Governor, the
92 President of the Senate, and the Speaker of the House of
93 Representatives of the intent to enter into such contract or
94 agreement or series of contracts or agreements.
95 (2) At least 30 days before an executive or judicial branch
96 public officer or employee enters into any contract or agreement
97 on behalf of the state which requires minimal or no payments by
98 the state or authorizes the other party to make expenditures in
99 anticipation of revenues, the officer or employee must notify
100 the Governor, the President of the Senate, and the Speaker of
101 the House of Representatives of the intent to enter into such
102 contract or agreement.
103 (3) At least 30 days before an executive or judicial branch
104 public officer or employee enters into any contract or agreement
105 on behalf of the state which requires initial expenditures by
106 the other party and for which the other party will not receive
107 payment from the state within 180 days after the expenditure,
108 the officer or employee must notify the Governor, the President
109 of the Senate, and the Speaker of the House of Representatives
110 of the intent to enter into such contract or agreement.
111 (4) The execution of any contract or agreement described in
112 this section is an action or proposed action that is subject to
113 s. 216.177(2)(b).
114 Section 3. Section 287.0582, Florida Statutes, is
115 transferred and renumbered as section 216.313, Florida Statutes,
116 and amended to read:
117 216.313 287.0582 Contract appropriations Contracts which
118 require annual appropriation; contingency statement.—
119 (1) An executive or judicial branch public officer or
120 employee may not enter into any contract or agreement on behalf
121 of the state or judicial branch which binds the state or its
122 executive agencies or the judicial branch for the purchase of
123 services or tangible personal property unless the contract
124 identifies the specific appropriation of state funds from which
125 the state will make payment under the contract in the first year
126 of the contract, or unless the Legislature expressly authorizes
127 the agency or the judicial branch to enter into such contract
128 absent a specific appropriation of funds.
129 (2) An No executive or judicial branch public officer or
130 employee may not shall enter into any contract or agreement on
131 behalf of the state, which contract binds the state or its
132 executive agencies for the purchase of services or tangible
133 personal property for a period in excess of 1 fiscal year,
134 unless the following statements are statement is included in the
135 contract:
136 (a) “The State of Florida’s performance and obligation to
137 pay under this contract is contingent upon an annual
138 appropriation by the Legislature.”
139 (b) “This contract may be terminated by the state upon 30
140 days’ written notice if funding for this contract is
141 specifically eliminated pursuant to:
142 1. A deficit reduction plan implemented by the Governor or
143 the Chief Justice or by an act of the Legislature after
144 certification pursuant to section 216.221, Florida Statutes,
145 that a deficit will occur in the General Revenue Fund; or
146 2. A deficit reduction plan implemented by the Governor or
147 Chief Justice pursuant to section 216.221(10), Florida Statutes,
148 or by an act of the Legislature, after a determination by the
149 Chief Financial Officer that a deficit will occur with respect
150 to the appropriations from a specific trust fund in the current
151 fiscal year.”
152 (3) A contract or other agreement that exceeds:
153 (a) The CATEGORY TWO threshold amount provided in s.
154 287.017 must be signed by the agency head, executive director,
155 or chief judge, as appropriate, or a designated senior
156 management employee.
157 (b) A term of 12 months may not be executed by any
158 executive or judicial branch agency unless the agency head,
159 executive director, or chief judge, as appropriate, determines
160 that the contract is in compliance with the requirements of this
161 chapter and certifies such compliance in writing within the
162 contract or agreement.
163 (c) The CATEGORY FIVE threshold amount provided in s.
164 287.017 must require the written acceptance or rejection of
165 contract deliverables.
166 (4) Any contract or other agreement in violation of this
167 section is null and void.
168 (5) Any public officer or employee who willfully enters
169 into a contract or other agreement in violation of this section
170 commits a misdemeanor of the first degree, punishable as
171 provided in s. 775.082 or s. 775.083.
172 Section 4. Subsection (4) of section 287.063, Florida
173 Statutes, is amended to read:
174 287.063 Deferred-payment commodity contracts; preaudit
175 review.—
176 (4) Beginning July 1, 2009, an agency may not enter into a
177 lease or deferred payment purchase arrangement for the
178 acquisition of equipment that has a total cost greater than
179 $500,000 unless the Legislature has expressly authorized such
180 lease or deferred payment purchase arrangement in the General
181 Appropriations Act. For purposes of this section, deferred
182 payment commodity contracts for replacing the state accounting
183 and cash management systems may include equipment, accounting
184 software, and implementation and project management services.
185 Section 5. Subsection (9) of section 287.064, Florida
186 Statutes, is amended to read:
187 287.064 Consolidated financing of deferred-payment
188 purchases.—
189 (9) Beginning July 1, 2009, an agency may not enter into a
190 master equipment financing agreement that has a total cost
191 exceeding $500,000 unless the Legislature has expressly
192 authorized such agreement in the General Appropriations Act. For
193 purposes of this section, deferred-payment commodity contracts
194 for replacing the state accounting and cash management systems
195 may include equipment, accounting software, and implementation
196 and project management services.
197 Section 6. This act shall take effect July 1, 2009, and
198 applies to initial contracts and agreements, amendments to a
199 contract or agreement, and extensions or renewals of a contract
200 or agreement which are executed on or after that date.
201
202 ================= T I T L E A M E N D M E N T ================
203 And the title is amended as follows:
204 Delete everything before the enacting clause
205 and insert:
206 A bill to be entitled
207 An act relating to state financial matters; amending
208 s. 216.311, F.S.; prohibiting an agency or branch of
209 state government from contracting to pay, without
210 legislative authority, liquidated damages or early
211 termination fees resulting from the breach or early
212 termination of a contract or agreement, from
213 contracting to pay interest because of insufficient
214 budget authority to pay an obligation in the current
215 year, from obligating the state to make future
216 payments to cover unpaid payments, or from granting to
217 a party the right to collect fees or other revenues
218 from nonparties; providing that such contracts are
219 null and void; prohibiting an agency from entering
220 into certain lease or lease-purchase agreements unless
221 expressly authorized by the Legislature; providing
222 exceptions for certain agency contracts or agreements;
223 authorizing the State Board of Administration to enter
224 into contracts and other agreements that are necessary
225 to carry out the investment duties of the board;
226 defining the terms “contract” and “agreement”;
227 creating s. 216.312, F.S.; requiring the executive and
228 judicial branch to notify the Governor and the
229 Legislature before entering into contracts or
230 agreements in excess of a certain amount, which
231 authorize expenditures in anticipation of revenues, or
232 for which payment is delayed for a certain time after
233 expenditure; transferring, renumbering, and amending
234 s. 287.0582, F.S.; requiring a state contract to
235 identify the appropriation that funds the contract;
236 providing an exception; expanding the statement that
237 must be included in state contracts to include grounds
238 for terminating the contract based on budget deficits;
239 requiring the judicial branch to include the statement
240 in its contracts; providing an exception; requiring
241 the agency head, executive director, or chief judge,
242 as appropriate, or a designated senior management
243 employee to sign contracts that exceed a certain
244 amount; requiring the agency head, executive director,
245 or chief judge to review certain contracts and certify
246 compliance with ch. 216, F.S.; requiring contracts
247 exceeding a specified amount to require written
248 acceptance or rejection of contract deliverables;
249 providing that contracts in violation of these
250 provisions are null and void; providing penalties;
251 amending s. 287.063, F.S.; prohibiting certain lease
252 or deferred payment purchases by state agencies unless
253 expressly authorized by the Legislature in the
254 appropriations act; amending s. 287.064, F.S.;
255 prohibiting certain master equipment financing
256 agreements unless expressly authorized by the
257 Legislature in the appropriations act; providing for
258 application; providing an effective date.