Florida Senate - 2013                          SENATOR AMENDMENT
       Bill No. CS/CS/HB 7127, 2nd Eng.
                                Barcode 899368                          
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                 Floor: WD/3R          .                                
             05/03/2013 03:31 PM       .                                

       Senator Brandes moved the following:
    1         Senate Amendment to Substitute Amendment (814240) (with
    2  title amendment)
    4         Between lines 249 and 250
    5  insert:
    6         Section 6. Paragraph (b) of subsection (3) and paragraph
    7  (g) of subsection (7) of section 163.01, Florida Statutes, are
    8  amended to read:
    9         163.01 Florida Interlocal Cooperation Act of 1969.—
   10         (3) As used in this section:
   11         (b) “Public agency” means a political subdivision, agency,
   12  or officer of this state or of any state of the United States,
   13  including, but not limited to, state government, county, city,
   14  school district, single and multipurpose special district,
   15  single and multipurpose public authority, metropolitan or
   16  consolidated government, a separate legal entity or
   17  administrative entity created under subsection (7), a public
   18  transit provider as defined in s. 341.031, an independently
   19  elected county officer, an any agency of the United States
   20  Government, a federally recognized Native American tribe, and
   21  any similar entity of any other state of the United States.
   22         (7)
   23         (g)1. Notwithstanding any other provisions of this section,
   24  any separate legal entity created under this section, the
   25  membership of which is limited to municipalities and counties of
   26  the state, and which may include a special district or a public
   27  agency of this state in addition to a municipality or county or
   28  both, may acquire, own, construct, improve, operate, and manage
   29  public facilities, or finance facilities on behalf of any
   30  person, relating to a governmental function or purpose,
   31  including, but not limited to, wastewater facilities, water or
   32  alternative water supply facilities, and water reuse facilities,
   33  which may serve populations within or outside of the members of
   34  the entity. Notwithstanding s. 367.171(7), any separate legal
   35  entity created under this paragraph is not subject to Public
   36  Service Commission jurisdiction. The separate legal entity may
   37  not provide utility services within the service area of an
   38  existing utility system unless it has received the consent of
   39  the utility.
   40         2. For purposes of this paragraph, the term:
   41         a. “Host government” means the governing body of the
   42  county, if the largest number of equivalent residential
   43  connections currently served by a system of the utility is
   44  located in the unincorporated area, or the governing body of a
   45  municipality, if the largest number of equivalent residential
   46  connections currently served by a system of the utility is
   47  located within that municipality’s boundaries.
   48         b. “Separate legal entity” means any entity created by
   49  interlocal agreement the membership of which is limited to two
   50  or more special districts, municipalities, or counties, or
   51  public agencies of the state, but which entity is legally
   52  separate and apart from any of its member governments.
   53         c. “System” means a water or wastewater facility or group
   54  of such facilities owned by one entity or affiliate entities.
   55         d. “Utility” means a water or wastewater utility and
   56  includes every person, separate legal entity, lessee, trustee,
   57  or receiver owning, operating, managing, or controlling a
   58  system, or proposing construction of a system, who is providing,
   59  or proposes to provide, water or wastewater service to the
   60  public for compensation.
   61         3. A separate legal entity that seeks to acquire any
   62  utility shall notify the host government in writing by certified
   63  mail about the contemplated acquisition not less than 30 days
   64  before any proposed transfer of ownership, use, or possession of
   65  any utility assets by such separate legal entity. The potential
   66  acquisition notice shall be provided to the legislative head of
   67  the governing body of the host government and to its chief
   68  administrative officer and shall provide the name and address of
   69  a contact person for the separate legal entity and information
   70  identified in s. 367.071(4)(a) concerning the contemplated
   71  acquisition.
   72         4.a. Within 30 days following receipt of the notice, the
   73  host government may adopt a resolution to become a member of the
   74  separate legal entity, adopt a resolution to approve the utility
   75  acquisition, or adopt a resolution to prohibit the utility
   76  acquisition by the separate legal entity if the host government
   77  determines that the proposed acquisition is not in the public
   78  interest. A resolution adopted by the host government which
   79  prohibits the acquisition may include conditions that would make
   80  the proposal acceptable to the host government.
   81         b. If a host government adopts a membership resolution, the
   82  separate legal entity shall accept the host government as a
   83  member on the same basis as its existing members before any
   84  transfer of ownership, use, or possession of the utility or the
   85  utility facilities. If a host government adopts a resolution to
   86  approve the utility acquisition, the separate legal entity may
   87  complete the acquisition. If a host government adopts a
   88  prohibition resolution, the separate legal entity may not
   89  acquire the utility within that host government’s territory
   90  without the specific consent of the host government by future
   91  resolution. If a host government does not adopt a prohibition
   92  resolution or an approval resolution, the separate legal entity
   93  may proceed to acquire the utility after the 30-day notice
   94  period without further notice.
   95         5. After the acquisition or construction of any utility
   96  systems by a separate legal entity created under this paragraph,
   97  revenues or any other income may not be transferred or paid to a
   98  member of a separate legal entity, or to any other special
   99  district, county, or municipality, or public agency of this
  100  state, from user fees or other charges or revenues generated
  101  from customers that are not physically located within the
  102  jurisdictional or service delivery boundaries of the member,
  103  special district, county, or municipality, or public agency
  104  receiving the transfer or payment. Any transfer or payment to a
  105  member, special district, or other local government, or public
  106  agency of this state must be solely from user fees or other
  107  charges or revenues generated from customers that are physically
  108  located within the jurisdictional or service delivery boundaries
  109  of the member, special district, or local government, or public
  110  agency receiving the transfer of payment.
  111         6. This section is an alternative provision otherwise
  112  provided by law as authorized in s. 4, Art. VIII of the State
  113  Constitution for any transfer of power as a result of an
  114  acquisition of a utility by a separate legal entity from a
  115  municipality, county, or special district, or public agency of
  116  this state.
  117         7. The entity may finance or refinance the acquisition,
  118  construction, expansion, and improvement of such facilities
  119  relating to a governmental function or purpose through the
  120  issuance of its bonds, notes, or other obligations under this
  121  section or as otherwise authorized by law. The entity has all
  122  the powers provided by the interlocal agreement under which it
  123  is created or which are necessary to finance, own, operate, or
  124  manage the public facility, including, without limitation, the
  125  power to establish rates, charges, and fees for products or
  126  services provided by it, the power to levy special assessments,
  127  the power to sell or finance all or a portion of such facility,
  128  and the power to contract with a public or private entity to
  129  manage and operate such facilities or to provide or receive
  130  facilities, services, or products. Except as may be limited by
  131  the interlocal agreement under which the entity is created, all
  132  of the privileges, benefits, powers, and terms of s. 125.01,
  133  relating to counties, and s. 166.021, relating to
  134  municipalities, are fully applicable to the entity. However,
  135  neither the entity nor any of its members on behalf of the
  136  entity may exercise the power of eminent domain over the
  137  facilities or property of any existing water or wastewater plant
  138  utility system, nor may the entity acquire title to any water or
  139  wastewater plant utility facilities, other facilities, or
  140  property which was acquired by the use of eminent domain after
  141  the effective date of this act. Bonds, notes, and other
  142  obligations issued by the entity are issued on behalf of the
  143  public agencies that are members of the entity.
  144         8. Any entity created under this section may also issue
  145  bond anticipation notes in connection with the authorization,
  146  issuance, and sale of bonds. The bonds may be issued as serial
  147  bonds or as term bonds or both. Any entity may issue capital
  148  appreciation bonds or variable rate bonds. Any bonds, notes, or
  149  other obligations must be authorized by resolution of the
  150  governing body of the entity and bear the date or dates; mature
  151  at the time or times, not exceeding 40 years from their
  152  respective dates; bear interest at the rate or rates; be payable
  153  at the time or times; be in the denomination; be in the form;
  154  carry the registration privileges; be executed in the manner; be
  155  payable from the sources and in the medium or payment and at the
  156  place; and be subject to the terms of redemption, including
  157  redemption prior to maturity, as the resolution may provide. If
  158  any officer whose signature, or a facsimile of whose signature,
  159  appears on any bonds, notes, or other obligations ceases to be
  160  an officer before the delivery of the bonds, notes, or other
  161  obligations, the signature or facsimile is valid and sufficient
  162  for all purposes as if he or she had remained in office until
  163  the delivery. The bonds, notes, or other obligations may be sold
  164  at public or private sale for such price as the governing body
  165  of the entity shall determine. Pending preparation of the
  166  definitive bonds, the entity may issue interim certificates,
  167  which shall be exchanged for the definitive bonds. The bonds may
  168  be secured by a form of credit enhancement, if any, as the
  169  entity deems appropriate. The bonds may be secured by an
  170  indenture of trust or trust agreement. In addition, the
  171  governing body of the legal entity may delegate, to an officer,
  172  official, or agent of the legal entity as the governing body of
  173  the legal entity may select, the power to determine the time;
  174  manner of sale, public or private; maturities; rate of interest,
  175  which may be fixed or may vary at the time and in accordance
  176  with a specified formula or method of determination; and other
  177  terms and conditions as may be deemed appropriate by the
  178  officer, official, or agent so designated by the governing body
  179  of the legal entity. However, the amount and maturity of the
  180  bonds, notes, or other obligations and the interest rate of the
  181  bonds, notes, or other obligations must be within the limits
  182  prescribed by the governing body of the legal entity and its
  183  resolution delegating to an officer, official, or agent the
  184  power to authorize the issuance and sale of the bonds, notes, or
  185  other obligations.
  186         9. Bonds, notes, or other obligations issued under this
  187  paragraph may be validated as provided in chapter 75. The
  188  complaint in any action to validate the bonds, notes, or other
  189  obligations must be filed only in the Circuit Court for Leon
  190  County. The notice required to be published by s. 75.06 must be
  191  published in Leon County and in each county that is a member of
  192  the entity issuing the bonds, notes, or other obligations, or in
  193  which a member of the entity is located, and the complaint and
  194  order of the circuit court must be served only on the State
  195  Attorney of the Second Judicial Circuit and on the state
  196  attorney of each circuit in each county that is a member of the
  197  entity issuing the bonds, notes, or other obligations or in
  198  which a member of the entity is located. Section 75.04(2) does
  199  not apply to a complaint for validation brought by the legal
  200  entity.
  201         10. The accomplishment of the authorized purposes of a
  202  legal entity created under this paragraph is in all respects for
  203  the benefit of the people of the state, for the increase of
  204  their commerce and prosperity, and for the improvement of their
  205  health and living conditions. Since the legal entity will
  206  perform essential governmental functions in accomplishing its
  207  purposes, the legal entity is not required to pay any taxes or
  208  assessments of any kind whatsoever upon any property acquired or
  209  used by it for such purposes or upon any revenues at any time
  210  received by it. The bonds, notes, and other obligations of an
  211  entity, their transfer, and the income therefrom, including any
  212  profits made on the sale thereof, are at all times free from
  213  taxation of any kind by the state or by any political
  214  subdivision or other agency or instrumentality thereof. The
  215  exemption granted in this subparagraph is not applicable to any
  216  tax imposed by chapter 220 on interest, income, or profits on
  217  debt obligations owned by corporations.
  219  ================= T I T L E  A M E N D M E N T ================
  220         And the title is amended as follows:
  221         Delete line 3177
  222  and insert:
  223         circumstances; amending s. 163.01, F.S.; modifying the
  224         definition of “public agency” to include a public
  225         transit provider; providing that a public agency of
  226         this state may have membership in a separate legal
  227         entity created under the Florida Interlocal
  228         Cooperation Act of 1969; amending s. 316.515, F.S.;
  229         providing