Florida Senate - 2014 COMMITTEE AMENDMENT Bill No. SB 1320 Ì564280"Î564280 LEGISLATIVE ACTION Senate . House Comm: RCS . 03/25/2014 . . . . ————————————————————————————————————————————————————————————————— ————————————————————————————————————————————————————————————————— following: 1 Senate Amendment (with title amendment) 2 3 Delete everything after the enacting clause 4 and insert: 5 Section 1. Section 662.148, Florida Statutes, is created 6 and assigned to part IV of chapter 662, Florida Statutes, as 7 created by HB 1267, 2014 Regular Session, to read: 8 662.148 Public records exemption; records relating to 9 family trust companies, licensed family trust companies, and 10 foreign licensed family trust companies.— 11 (1) PUBLIC RECORDS EXEMPTION.—The following information 12 held by the office is confidential and exempt from s. 119.07(1) 13 and s. 24(a), Art. I of the State Constitution: 14 (a) Records relating to a registration, an application, or 15 an annual certification of a family trust company, licensed 16 family trust company, or foreign licensed family trust company. 17 (b) Records relating to an examination of a family trust 18 company, licensed family trust company, or foreign licensed 19 family trust company. 20 (c) Reports of examinations, operations, or conditions of a 21 family trust company, licensed family trust company, or foreign 22 licensed family trust company, including working papers. 23 (d) Any portion of a list of names of the shareholders or 24 members of a family trust company, licensed family trust 25 company, or foreign licensed family trust company. 26 (e) Information received by the office from a person from 27 another state or nation or the Federal Government which is 28 otherwise confidential or exempt pursuant to the laws of that 29 state or nation or pursuant to federal law. 30 (f) An emergency cease and desist order under s. 662.143 31 until the emergency order is made permanent unless the office 32 finds that such confidentiality will result in substantial risk 33 of financial loss to the public. 34 (2) DEFINITIONS.—As used in this section, the term: 35 (a) “Reports of examinations, operations, or conditions” 36 means records submitted to or prepared by the office as part of 37 the office’s duties performed pursuant to s. 655.012 or s. 38 655.045(1). 39 (b) “Working papers” means the records of the procedure 40 followed, the tests performed, the information obtained, and the 41 conclusions reached in an examination under s. 655.032 or s. 42 655.045. The term also includes books and records. 43 (3) AUTHORIZED RELEASE OF CONFIDENTIAL AND EXEMPT 44 INFORMATION.—Information made confidential and exempt under 45 subsection (1) may be disclosed by the office to: 46 (a) The authorized representative or representatives of the 47 family trust company, licensed family trust company, or foreign 48 licensed family trust company under examination. The authorized 49 representative or representatives shall be identified in a 50 resolution or by written consent of the board of directors, if 51 the trust company is a corporation, or of the managers, if the 52 trust company is a limited liability company. 53 (b) A fidelity insurance company, upon written consent of 54 the trust company’s board of directors, if a corporation, or its 55 managers, if a limited liability company. 56 (c) An independent auditor, upon written consent of the 57 trust company’s board of directors, if a corporation, or its 58 managers, if a limited liability company. 59 (d) A liquidator, receiver, or conservator for a family 60 trust company, licensed family trust company, or foreign 61 licensed family trust company in the event of the appointment of 62 the liquidator, receiver, or conservator. However, any portion 63 of the information which discloses the identity of a bondholder, 64 customer, family member, member, or stockholder must be redacted 65 by the office before the release of such portion to the 66 liquidator, receiver, or conservator. 67 (e) Any other state, federal, or foreign agency responsible 68 for the regulation or supervision of family trust companies, 69 licensed family trust companies, or foreign licensed family 70 trust companies. 71 (f) A law enforcement agency in the furtherance of the 72 agency’s official duties and responsibilities. 73 (4) PUBLICATION OF INFORMATION.—This section does not 74 prevent or restrict the publication of: 75 (a) A report required by federal law. 76 (b) The name of the family trust company, licensed family 77 trust company, or foreign licensed family trust company and the 78 name and address of the registered agent of that company. 79 (5) PENALTY.—A person who willfully discloses information 80 made confidential and exempt by this section commits a felony of 81 the third degree, punishable as provided in s. 775.082, s. 82 775.083, or s. 775.084. 83 (6) OPEN GOVERNMENT SUNSET REVIEW.—This section is subject 84 to the Open Government Sunset Review Act in accordance with s. 85 119.15 and shall stand repealed on October 2, 2019, unless 86 reviewed and saved from repeal through reenactment by the 87 Legislature. 88 Section 2. Subsections (1) through (4) of section 662.147, 89 Florida Statutes, as created by HB 1267, 2014 Regular Session, 90 are renumbered as subsections (3) through (6), respectively, and 91 new subsections (1) and (2) are added to that section, to read: 92 662.147 Records relating to the office examination; limited 93 restrictions on public access.— 94 (1) The public records exemptions contained in s. 662.148 95 do not prevent or restrict the office from: 96 (a) Furnishing records or information to any other state, 97 federal, or foreign agency responsible for the regulation or 98 supervision of family trust companies, licensed family trust 99 companies, or foreign licensed family trust companies. 100 (b) Reporting any suspected criminal activity, with 101 supporting documents and information, to appropriate law 102 enforcement and prosecutorial agencies. 103 (2) Confidential records and information furnished pursuant 104 to a legislative subpoena shall be kept confidential by the 105 legislative body or committee that received the records or 106 information, except in a case involving the investigation of 107 charges against a public official subject to impeachment or 108 removal, in which case disclosure of the information shall be 109 only to the extent necessary as determined by the legislative 110 body or committee. 111 Section 3. Paragraphs (d), (e), and (f) of subsection (1) 112 of section 662.146, Florida Statutes, as created by HB 1267, 113 2014 Regular Session, are redesignated as paragraphs (e), (f), 114 and (g), respectively, and a new paragraph (d) is added to that 115 subsection, to read: 116 662.146 Confidentiality of books and records.— 117 (1) The books and records of a family trust company, 118 licensed family trust company, and foreign licensed family trust 119 company are confidential and shall be made available for 120 inspection and examination only: 121 (d) As compelled by legislative subpoena as provided by 122 law, in which case s. 662.147 applies; 123 Section 4. The Legislature finds that it is a public 124 necessity that records held by the Office of Financial 125 Regulation which pertain to a family trust company, licensed 126 family trust company, or foreign licensed family trust company 127 relating to registration or certification; an examination; 128 reports of examinations, operations, or conditions, including 129 working papers; any portion of a list of the names of 130 shareholders or members; information received by the Office of 131 Financial Regulation from a person from another state or nation 132 or the Federal Government which is otherwise confidential or 133 exempt pursuant to the laws of that jurisdiction; or an 134 emergency cease and desist order be made confidential and exempt 135 from s. 119.07(1), Florida Statutes, and s. 24(a), Article I of 136 the State Constitution. This exemption is necessary because: 137 (1) No public interest is served by granting public access 138 to family trust company records, and no protection is afforded 139 to the public or the state by allowing public access to private 140 financial records. Additionally, a family trust company is 141 prohibited from serving or marketing its services to the general 142 public in any way; therefore, no public interests are involved. 143 (2) Families with a high net worth are frequently the 144 targets of criminal predators seeking access to their assets. It 145 is important that the exposure of such families to threats of 146 extortion, kidnapping, and other crimes not be increased. 147 Placing family business records and methodologies in the public 148 domain would increase the security risk that a family could 149 become the target of criminal activity. 150 (3) Family trust companies often provide a consolidated 151 structure for the ownership of an operating business owned by 152 multiple family members. Placing those private business 153 operations and methods in the public domain could jeopardize 154 their business assets, methodologies, and practices. 155 Section 5. This act shall take effect on the same date that 156 HB 1267 or similar legislation takes effect, if such legislation 157 is adopted in the same legislative session or an extension 158 thereof and becomes law. 159 160 ================= T I T L E A M E N D M E N T ================ 161 And the title is amended as follows: 162 Delete everything before the enacting clause 163 and insert: 164 A bill to be entitled 165 An act relating to public records; creating s. 166 662.148, F.S.; providing an exemption from public 167 records requirements for certain information held by 168 the Office of Financial Regulation relating to a 169 family trust company, licensed family trust company, 170 or foreign licensed family trust company; providing 171 definitions; providing for the authorized release of 172 certain information by the office; authorizing the 173 publication of certain information; providing a 174 penalty; providing for future legislative review and 175 repeal of the exemption; amending s. 662.147, F.S.; 176 providing for additional authorized release of certain 177 information by the office; providing for production of 178 certain confidential records pursuant to legislative 179 subpoenas; amending s. 662.146, F.S.; providing for 180 production of certain confidential records pursuant to 181 legislative subpoenas; providing a statement of public 182 necessity; providing a contingent effective date.