Florida Senate - 2012 CS for SB 412
By the Committee on Governmental Oversight and Accountability;
and Senators Bennett and Storms
585-02799-12 2012412c1
1 A bill to be entitled
2 An act relating to an assessment on the sale of
3 masonry units; creating the “Concrete Masonry Products
4 Research, Education, and Promotion Act”; providing
5 definitions; creating the Florida Concrete Masonry
6 Council, Inc., as a nonprofit corporation; authorizing
7 the council to levy an assessment on the sale of
8 masonry units by a manufacturer, under certain
9 circumstances; specifying the powers and duties of the
10 council; prohibiting the council from participating or
11 intervening in any political campaign; prohibiting the
12 council from using any receipt to benefit its
13 directors, officers, or other private persons;
14 prohibiting the council from engaging in certain
15 activities or exercising certain powers; providing for
16 the appointment of the governing board of the council;
17 providing that board members serve without
18 compensation; entitling members to receive
19 reimbursement for per diem and travel expenses;
20 authorizing the council to submit a referendum to
21 manufacturers of masonry units for authorization to
22 levy an assessment on the sale of concrete masonry
23 units; providing for the administrative powers and
24 duties of the council; authorizing the council to
25 accept grants, donations, contributions, or gifts
26 under certain circumstances; authorizing the council
27 to make payments to other organizations under certain
28 circumstances; requiring that a manufacturer of
29 concrete masonry products collect the assessment from
30 a purchaser at the time of sale of a concrete masonry
31 unit; authorizing the council to initiate legal action
32 against a manufacturer that fails to remit the
33 assessment; providing a procedure for manufacturers to
34 petition for a referendum to continue the assessment;
35 requiring the council to adopt bylaws; providing an
36 effective date.
37
38 WHEREAS, the Legislature intends to promote the growth of
39 the concrete masonry industry in this state; to assure the
40 public that a superior, sustainable construction material is
41 produced by a skilled and educated workforce; to provide for the
42 general economic welfare of the state and of the producers,
43 contractors, and end-use consumers of masonry products; and to
44 provide the masonry industry of this state with the authority to
45 establish a self-financed, self-governed program to help
46 develop, maintain, and expand the state, national, and foreign
47 markets for masonry products and services that are mined,
48 manufactured, produced, or processed in this state, NOW,
49 THEREFORE,
50
51 Be It Enacted by the Legislature of the State of Florida:
52
53 Section 1. Concrete Masonry Products Research, Education,
54 and Promotion Act.—
55 (1) SHORT TITLE.—This section may be cited as the “Concrete
56 Masonry Products Research, Education, and Promotion Act.”
57 (2) DEFINITIONS.—As used in this section, the term:
58 (a) “Commission” means the Florida Building Commission.
59 (b) “Concrete masonry products” refers to a broad class of
60 products, including, but not limited to, concrete masonry units
61 and hardscape products such as concrete pavers and segmental
62 retaining wall units that are manufactured on a block machine
63 using dry-cast concrete.
64 (c) “Concrete masonry unit” means a concrete masonry
65 product that is a man-made masonry unit having a nominal width
66 of 3 inches or greater and manufactured by a block machine using
67 dry-cast concrete. The term includes, but is not limited to,
68 gray block, architectural block, concrete brick, concrete
69 masonry units to be post-tensioned, concrete masonry units to be
70 surface-bonded, sound wall block, and fence block. The term does
71 not include concrete veneer units having a width of less than 3
72 inches, segmental retaining wall units, concrete pavers, clay
73 brick, clay masonry units, precast panels, cast stone, adhered
74 manufactured stone masonry veneer, calcium silicate units,
75 lintels and sills, articulating concrete or revetment block,
76 autoclave-aerated concrete, and dimension stone.
77 (d) “Council” means the Florida Concrete Masonry Council,
78 Inc.
79 (e) “Machine cavity” means the open space in the mold of a
80 block machine capable of forming a single masonry unit that has
81 nominal plan dimensions of 8 inches by 16 inches.
82 (f) “Manufacturer” means a person engaged in the business
83 of manufacturing concrete masonry units.
84 (g) “Masonry unit” means a noncombustible building product
85 intended to be laid by hand or to be joined using mortar, grout,
86 surface bonding, post-tensioning, or some combination of these
87 methods.
88 (3) FLORIDA CONCRETE MASONRY COUNCIL, INC.; CREATION;
89 PURPOSES.—
90 (a) There is created the Florida Concrete Masonry Council,
91 Inc., a nonprofit corporation organized under the laws of this
92 state and operating as a direct-support organization of the
93 commission.
94 (b) The council may levy an assessment of 1 cent per
95 concrete masonry unit that is produced and sold by a
96 manufacturer in the state if the imposition of the assessment is
97 approved by referendum pursuant to subsection (5). The proceeds
98 of the assessment shall be used to fund the activities of the
99 council. With respect to the administration of the assessment,
100 the council shall:
101 1. Develop, implement, and monitor a collection system for
102 the assessment which must be administered by an independent
103 third party.
104 2. Conduct referenda under subsections (5) and (11).
105 (c) The council shall:
106 1. Plan, implement, and conduct programs of education,
107 promotion, research, and consumer information and industry
108 information which are designed to strengthen the market position
109 of the concrete masonry industry in this state and in the
110 nation, to maintain and expand domestic and foreign markets, and
111 to expand the uses for concrete masonry products.
112 2. Use the proceeds of the assessment for the purpose of
113 funding research, education, promotion, and consumer and
114 industry information of concrete masonry products in this state
115 and in the nation.
116 3. Coordinate research, education, promotion, industry, and
117 consumer information programs with national programs or programs
118 of other states.
119 4. Develop new uses and markets for concrete masonry
120 products.
121 5. Develop and improve educational access to individuals
122 seeking employment in the field of concrete masonry.
123 6. Develop methods of improving the quality of concrete
124 masonry products for the purpose of windstorm protection.
125 7. Develop methods of improving the energy efficiency
126 attributes of concrete masonry products.
127 8. Inform and educate the public concerning the
128 sustainability and economic benefits of concrete masonry
129 products.
130 9. Serve as a liaison within the concrete masonry and other
131 construction industries of the state and elsewhere in matters
132 that would increase efficiencies that ultimately benefit both
133 the consumer and the concrete masonry industry.
134 10. Buy, sell, mortgage, rent, or improve, in any manner
135 that the council considers expedient, real property or personal
136 property, or both.
137 11. Publish and distribute such papers or periodicals as
138 the board of directors considers necessary to encourage and
139 accomplish the purposes of the council.
140 12. Do all other acts necessary or expedient for the
141 administration of the affairs and attainment of the purposes of
142 the council.
143 13. Approve an annual plan, budget, and audit for the
144 council.
145 (d)1. The council may not participate or intervene in any
146 political campaign on behalf of or in opposition to any
147 candidate for public office or on behalf of or in opposition to
148 any state or local ballot initiative. This restriction includes,
149 but is not limited to, a prohibition against publishing or
150 distributing any statement.
151 2. The net receipts of the council may not in any part
152 inure to the benefit of or be distributable to its directors,
153 its officers, or other private persons, except that the council
154 may pay reasonable compensation for services rendered by staff
155 employees and may make payments and distributions in furtherance
156 of the purposes of this section.
157 3. Notwithstanding any other provision of law, the council
158 may not carry on any other activity not permitted to be carried
159 on by a corporation:
160 a. That is exempt from federal income tax under s.
161 501(c)(3) of the Internal Revenue Code; or
162 b. To which charitable contributions are deductible under
163 s. 170(c)(2) of the Internal Revenue Code.
164 4. Notwithstanding any other statement of the purposes and
165 responsibilities of the council, the council may not engage in
166 any activity or exercise any power that is not in furtherance of
167 its specific and primary purposes.
168 (4) GOVERNING BOARD.—
169 (a) The Florida Concrete Masonry Council, Inc., shall be
170 governed by a board of directors composed of 15 members as
171 follows:
172 1. Nine members representing concrete masonry
173 manufacturers. Of these board members, at least five must be a
174 representative of a manufacturer that is a member of the Masonry
175 Association of Florida. These members must be representatives of
176 concrete masonry manufacturers of various sizes. A manufacturer
177 may not be represented by more than one member of the board.
178 2. One member representing the Florida Building Commission.
179 3. One member representing the Florida Homebuilders
180 Association.
181 4. One member having expertise in apprenticeship or
182 vocational training.
183 5. Two members who are masonry contractors and who are
184 members of the Masonry Association of Florida.
185 6. One member who is not a masonry contractor or
186 manufacturer or an employee of a masonry contractor or
187 manufacturer, but who is otherwise a stakeholder in the masonry
188 industry.
189 (b) The initial board of directors shall be appointed by
190 the chair of the commission based on recommendations from the
191 Masonry Association of Florida. Five of the initial board
192 members shall be appointed to a 1-year term. Five shall be
193 appointed for a 2-year term. The remaining board members shall
194 be appointed for a 3-year term. Thereafter, each member shall be
195 appointed to serve a 3-year term and may be reappointed to serve
196 an additional consecutive term. After the initial appointments
197 are made, each subsequent vacancy must be filled in accordance
198 with the bylaws of the council. A member may not serve more than
199 two consecutive terms. A member representing a manufacturer or a
200 contractor must be employed by a manufacturer or contractor
201 engaging in the trade or manufacture of concrete masonry
202 products for at least 5 years immediately preceding the first
203 day of his or her service on the board. All members of the board
204 shall serve without compensation. However, the board members are
205 entitled to reimbursement for per diem and travel expenses
206 incurred in carrying out the intents and purposes of this
207 section in accordance with s. 112.061, Florida Statutes.
208 (c) The council shall elect from its members a chair, vice
209 chair, and a secretary-treasurer to a 2-year term. The chair of
210 the board must be a concrete masonry manufacturer.
211 (d) The council shall provide for its officers through its
212 bylaws, including the ability to set forth offices and
213 responsibilities and form committees necessary for the
214 administration of this section.
215 (e) If a member of the board is absent for two consecutive,
216 officially called meetings, the board of directors may declare
217 that position vacant.
218 (f) The council shall provide through its bylaws a
219 mechanism for selecting board members which will require the
220 council to solicit candidates from throughout the concrete
221 masonry industry. The mechanism must ensure a fair and equitable
222 representation on the board of manufacturers of various sizes
223 and manufacturers from regions throughout the state.
224 (5) REFERENDUM ON ASSESSMENTS.—All concrete masonry
225 manufacturers in this state may vote in a referendum to
226 determine whether the council may levy an assessment of 1 cent
227 per concrete masonry unit. The referendum shall pose the
228 question: “Do you approve of authorizing the Florida Concrete
229 Masonry Council, Inc., to levy an assessment, pursuant to
230 Florida law, of $0.01 per concrete masonry unit sold by a
231 manufacturer in this state, to be used for the education of
232 concrete masonry workers, research, and the promotion of
233 concrete masonry products?” The ballot provided to each
234 manufacturer must be accompanied with a copy of this section.
235 The duration of an authorization to levy the assessment may not
236 exceed 5 years following the date of the approval of the levy
237 unless reauthorized pursuant to subsection (11).
238 (a) A referendum held under this section must be conducted
239 by the Bureau of Economic and Business Research at the
240 University of Florida by secret ballot in a manner prescribed by
241 the council and approved by the commission. The council may
242 solicit and accept contributions to fund costs incurred for the
243 referendum.
244 (b) Notice of a referendum to be held under this section
245 must be given by certified mail to each manufacturer at least 30
246 days before the referendum is held.
247 (c) Each manufacturer is entitled to at least one vote plus
248 one vote for every 10 machine cavities that are owned by the
249 manufacturer and located in this state 90 days before the date
250 of the referendum. However, a manufacturer may not have more
251 than four votes. Proof of identification of the manufacturing of
252 concrete masonry products and of the number of machine cavities
253 must be presented before voting.
254 (d) A simple majority vote shall determine any issue that
255 requires a referendum under this section.
256 (6) ADMINISTRATIVE POWERS AND DUTIES OF THE COUNCIL.—
257 (a) The council shall:
258 1. Receive and disburse funds, as prescribed elsewhere in
259 this section, to be used in administering and implementing this
260 section.
261 2. Maintain a permanent record of its business proceedings.
262 3. Maintain a permanent, detailed record of its financial
263 dealings.
264 4. Prepare, for review by the concrete masonry industry in
265 this state, periodic reports and an annual report for each
266 fiscal year of its activities, and file the annual report with
267 the commission.
268 5. Prepare, for review by the concrete masonry industry in
269 this state, periodic reports and an annual accounting for each
270 fiscal year of all receipts and expenditures, and retain a
271 certified public accountant for this purpose.
272 6. Appoint a licensed banking institution to serve as the
273 depository for program funds and handle disbursements of those
274 funds.
275 7. Maintain frequent communication with public officers at
276 the state and national levels, including the commission.
277 8. Maintain an office in this state.
278 (b) The council may:
279 1. Conduct or contract for scientific research with any
280 accredited university, college, or similar institution, and
281 enter into other contracts or agreements that will aid in
282 carrying out the purposes of this section, including contracts
283 for the purchase or acquisition of facilities or equipment
284 necessary to carry out the purposes of this section.
285 2. Disseminate reliable information benefiting the consumer
286 and the concrete masonry industry.
287 3. Provide to governmental bodies, on request, information
288 relating to subjects of concern to the concrete masonry
289 industry, and act jointly or in cooperation with the state or
290 Federal Government, and agencies thereof, in the development or
291 administration of programs that the council considers to be
292 consistent with the objectives of this section.
293 4. Sue and be sued as a council without individual
294 liability of the members for acts of the council when acting
295 within the scope of the powers of this section and in the manner
296 prescribed by the laws of this state.
297 5. Borrow from licensed lending institutions money in
298 amounts that are not cumulatively greater than 50 percent of the
299 council’s anticipated annual income.
300 6. Maintain a financial reserve for emergency use, the
301 total of which must not exceed 50 percent of the council’s
302 anticipated annual income.
303 7. Appoint advisory groups composed of representatives from
304 organizations, institutions, governments, or businesses related
305 to or interested in the welfare of the concrete masonry industry
306 and the end-use consumer.
307 8. Employ subordinate officers and employees of the
308 council, prescribe their duties, and fix their compensation and
309 terms of employment.
310 9. Cooperate with any local, state, regional, or nationwide
311 organization or agency engaged in work or activities consistent
312 with the objectives of the program.
313 10. Cause any duly authorized agent or representative to
314 enter upon the premises of any market agency, market agent,
315 collection agency, or manufacturer and examine or cause to be
316 examined by the authorized agent only books, papers, and records
317 that deal with the payment of the assessment provided for in
318 this section or with the enforcement of this section.
319 11. Do all other things necessary to further the intent of
320 this section which are not prohibited by law.
321 (7) ACCEPTANCE OF GRANTS AND GIFTS.—The council may accept
322 grants, donations, contributions, or gifts from any source if
323 the use of such resources is not restricted in any manner that
324 the council considers to be inconsistent with the objectives of
325 this section.
326 (8) PAYMENTS TO ORGANIZATIONS.—
327 (a) The council may make payments to other organizations
328 for work or services performed which are consistent with the
329 objectives of the program.
330 (b) Before making payments described in this subsection,
331 the council must secure a written agreement that the
332 organization receiving payment will:
333 1. Furnish at least annually, or more frequently on request
334 of the council, written or printed reports of program activities
335 and reports of financial data that are relative to the council’s
336 funding of such activities; and
337 2. Agree to have appropriate representatives attend
338 business meetings of the council as reasonably requested by the
339 chair of the council.
340 (c) The council may require adequate proof of security
341 bonding on the payments to any individual, business, or other
342 organization.
343 (9) COLLECTION OF MONEYS AT TIME OF SALE.—
344 (a) Each manufacturer shall assess from the purchaser, at
345 the time of sale by the manufacturer, the assessment levied by
346 the council. The amount of the assessment must be separately
347 stated on all receipts, invoices, or other evidence of sale as
348 the “Florida Building Sustainability Fee.”
349 (b) The manufacturer shall collect all such moneys and
350 forward them quarterly to the council, and the council shall
351 provide appropriate business forms for the convenience of the
352 collecting agent in executing this duty.
353 (c) The council shall maintain within its financial records
354 a separate accounting of all moneys received under this
355 subsection. The council shall provide for an annual financial
356 audit of its accounts and records to be conducted by an
357 independent certified public accountant pursuant to rules
358 adopted by the Auditor General under s. 11.45, Florida Statutes.
359 (d) The assessment is due and payable upon the sale of
360 concrete masonry units that are produced in this state,
361 regardless of the location of the purchaser. The assessment
362 constitutes a personal debt of the manufacturer of concrete
363 masonry units who collects the assessment or who otherwise owes
364 the assessment. If a manufacturer fails to remit any properly
365 due assessment, the council may bring a civil action against the
366 manufacturer in the circuit court of any county for the
367 collection thereof, and may add a penalty in the amount of 10
368 percent of the assessment owed, the cost of enforcing the
369 collection of the assessment, court costs, and reasonable
370 attorney’s fees. The action shall be tried and judgment rendered
371 as in any other cause of action for debts due and payable. All
372 assessments, penalties, and enforcement costs are due and
373 payable to the council.
374 (10) VOTE ON CONTINUING THE ASSESSMENT.—Upon the delivery
375 by certified mail to the council of petitions that represent at
376 least 25 percent of the votes allocated under subsection (5) and
377 that ask, “Shall the assessment authorized by the Concrete
378 Masonry Products Research, Education, and Promotion Act
379 continue?” the council shall, within 90 days after the receipt
380 of the petitions, conduct a referendum to determine whether a
381 majority of the votes cast in the referendum support the
382 continuation of the Concrete Masonry Products Research,
383 Education, and Promotion Act. All signatures must be collected
384 within a 12-month period. A referendum held under this
385 subsection may not be held more than one time in a 3-year
386 period. Before each referendum, votes shall be reallocated using
387 the method described in subsection (5).
388 (11) BYLAWS.—The council shall, by September 30, 2012,
389 adopt bylaws to carry out the intents and purposes of this
390 section. These bylaws may be amended upon 30-days’ notice to
391 board members at any regular or special meeting called for this
392 purpose. The bylaws must conform to the requirements of this
393 section but may also address any matter not in conflict with the
394 general laws of this state.
395 Section 2. This act shall take effect July 1, 2012.