2016 Legislature                                   CS for SB 124
    2         An act relating to public-private partnerships;
    3         transferring, renumbering, and amending s. 287.05712,
    4         F.S.; revising definitions; deleting provisions
    5         creating the Public-Private Partnership Guidelines
    6         Task Force; requiring a private entity that submits an
    7         unsolicited proposal to pay an initial application fee
    8         and additional amounts if the fee does not cover
    9         certain costs; specifying payment methods; requiring a
   10         professional review and evaluation of design and
   11         construction to be completed for certain unsolicited
   12         proposals; specifying requirements; authorizing a
   13         responsible public entity to alter the statutory
   14         timeframe for accepting proposals for a qualifying
   15         project under certain circumstances; requiring a
   16         design criteria package to be submitted to a
   17         responsible public entity if such entity solicits
   18         specific proposals; deleting a provision that requires
   19         approval of the local governing body before a school
   20         board enters into a comprehensive agreement; revising
   21         the conditions necessary for a responsible public
   22         entity to approve a comprehensive agreement; deleting
   23         provisions relating to notice to affected local
   24         jurisdictions; providing that fees imposed by a
   25         private entity must be applied as set forth in the
   26         comprehensive agreement; authorizing a negotiated
   27         portion of revenues from fee-generating uses to be
   28         returned to the responsible public entity; restricting
   29         provisions in financing agreements that could result
   30         in a responsible public entity’s losing ownership of
   31         real or tangible personal property; deleting a
   32         provision that required a responsible public entity to
   33         comply with specific financial obligations; providing
   34         duties of the Department of Management Services
   35         relating to comprehensive agreements; revising
   36         provisions relating to construction of the act;
   37         providing an effective date.
   39  Be It Enacted by the Legislature of the State of Florida:
   41         Section 1. Section 287.05712, Florida Statutes, is
   42  transferred, renumbered as section 255.065, Florida Statutes,
   43  and amended to read:
   44         255.065 287.05712 Public-private partnerships.—
   45         (1) DEFINITIONS.—As used in this section, the term:
   46         (a) “Affected local jurisdiction” means a county,
   47  municipality, or special district in which all or a portion of a
   48  qualifying project is located.
   49         (b) “Develop” means to plan, design, finance, lease,
   50  acquire, install, construct, or expand.
   51         (c) “Fees” means charges imposed by the private entity of a
   52  qualifying project for use of all or a portion of such
   53  qualifying project pursuant to a comprehensive agreement.
   54         (d) “Lease payment” means any form of payment, including a
   55  land lease, by a public entity to the private entity of a
   56  qualifying project for the use of the project.
   57         (e) “Material default” means a nonperformance of its duties
   58  by the private entity of a qualifying project which jeopardizes
   59  adequate service to the public from the project.
   60         (f) “Operate” means to finance, maintain, improve, equip,
   61  modify, or repair.
   62         (g) “Private entity” means any natural person, corporation,
   63  general partnership, limited liability company, limited
   64  partnership, joint venture, business trust, public benefit
   65  corporation, nonprofit entity, or other private business entity.
   66         (h) “Proposal” means a plan for a qualifying project with
   67  detail beyond a conceptual level for which terms such as fixing
   68  costs, payment schedules, financing, deliverables, and project
   69  schedule are defined.
   70         (i) “Qualifying project” means:
   71         1. A facility or project that serves a public purpose,
   72  including, but not limited to, any ferry or mass transit
   73  facility, vehicle parking facility, airport or seaport facility,
   74  rail facility or project, fuel supply facility, oil or gas
   75  pipeline, medical or nursing care facility, recreational
   76  facility, sporting or cultural facility, or educational facility
   77  or other building or facility that is used or will be used by a
   78  public educational institution, or any other public facility or
   79  infrastructure that is used or will be used by the public at
   80  large or in support of an accepted public purpose or activity;
   81         2. An improvement, including equipment, of a building that
   82  will be principally used by a public entity or the public at
   83  large or that supports a service delivery system in the public
   84  sector;
   85         3. A water, wastewater, or surface water management
   86  facility or other related infrastructure; or
   87         4. Notwithstanding any provision of this section, for
   88  projects that involve a facility owned or operated by the
   89  governing board of a county, district, or municipal hospital or
   90  health care system, or projects that involve a facility owned or
   91  operated by a municipal electric utility, only those projects
   92  that the governing board designates as qualifying projects
   93  pursuant to this section.
   94         (j) “Responsible public entity” means a county,
   95  municipality, school district, special district, board, or any
   96  other political subdivision of the state; a public body
   97  corporate and politic; or a regional entity that serves a public
   98  purpose and is authorized to develop or operate a qualifying
   99  project.
  100         (k) “Revenues” means the income, earnings, user fees, lease
  101  payments, or other service payments relating to the development
  102  or operation of a qualifying project, including, but not limited
  103  to, money received as grants or otherwise from the Federal
  104  Government, a public entity, or an agency or instrumentality
  105  thereof in aid of the qualifying project.
  106         (l) “Service contract” means a contract between a
  107  responsible public entity and the private entity which defines
  108  the terms of the services to be provided with respect to a
  109  qualifying project.
  110         (2) LEGISLATIVE FINDINGS AND INTENT.—The Legislature finds
  111  that there is a public need for the construction or upgrade of
  112  facilities that are used predominantly for public purposes and
  113  that it is in the public’s interest to provide for the
  114  construction or upgrade of such facilities.
  115         (a) The Legislature also finds that:
  116         1. There is a public need for timely and cost-effective
  117  acquisition, design, construction, improvement, renovation,
  118  expansion, equipping, maintenance, operation, implementation, or
  119  installation of projects serving a public purpose, including
  120  educational facilities, transportation facilities, water or
  121  wastewater management facilities and infrastructure, technology
  122  infrastructure, roads, highways, bridges, and other public
  123  infrastructure and government facilities within the state which
  124  serve a public need and purpose, and that such public need may
  125  not be wholly satisfied by existing procurement methods.
  126         2. There are inadequate resources to develop new
  127  educational facilities, transportation facilities, water or
  128  wastewater management facilities and infrastructure, technology
  129  infrastructure, roads, highways, bridges, and other public
  130  infrastructure and government facilities for the benefit of
  131  residents of this state, and that a public-private partnership
  132  has demonstrated that it can meet the needs by improving the
  133  schedule for delivery, lowering the cost, and providing other
  134  benefits to the public.
  135         3. There may be state and federal tax incentives that
  136  promote partnerships between public and private entities to
  137  develop and operate qualifying projects.
  138         4. A procurement under this section serves the public
  139  purpose of this section if such procurement facilitates the
  140  timely development or operation of a qualifying project.
  141         (b) It is the intent of the Legislature to encourage
  142  investment in the state by private entities; to facilitate
  143  various bond financing mechanisms, private capital, and other
  144  funding sources for the development and operation of qualifying
  145  projects, including expansion and acceleration of such financing
  146  to meet the public need; and to provide the greatest possible
  147  flexibility to public and private entities contracting for the
  148  provision of public services.
  150         (a) There is created the Partnership for Public Facilities
  151  and Infrastructure Act Guidelines Task Force for the purpose of
  152  recommending guidelines for the Legislature to consider for
  153  purposes of creating a uniform process for establishing public
  154  private partnerships, including the types of factors responsible
  155  public entities should review and consider when processing
  156  requests for public-private partnership projects pursuant to
  157  this section.
  158         (b) The task force shall be composed of seven members, as
  159  follows:
  160         1. The Secretary of Management Services or his or her
  161  designee, who shall serve as chair of the task force.
  162         2. Six members appointed by the Governor, as follows:
  163         a. One county government official.
  164         b. One municipal government official.
  165         c. One district school board member.
  166         d. Three representatives of the business community.
  167         (c) Task force members must be appointed by July 31, 2013.
  168  By August 31, 2013, the task force shall meet to establish
  169  procedures for the conduct of its business and to elect a vice
  170  chair. The task force shall meet at the call of the chair. A
  171  majority of the members of the task force constitutes a quorum,
  172  and a quorum is necessary for the purpose of voting on any
  173  action or recommendation of the task force. All meetings shall
  174  be held in Tallahassee, unless otherwise decided by the task
  175  force, and then no more than two such meetings may be held in
  176  other locations for the purpose of taking public testimony.
  177  Administrative and technical support shall be provided by the
  178  department. Task force members shall serve without compensation
  179  and are not entitled to reimbursement for per diem or travel
  180  expenses.
  181         (d) In reviewing public-private partnerships and developing
  182  recommendations, the task force must consider:
  183         1. Opportunities for competition through public notice and
  184  the availability of representatives of the responsible public
  185  entity to meet with private entities considering a proposal.
  186         2. Reasonable criteria for choosing among competing
  187  proposals.
  188         3. Suggested timelines for selecting proposals and
  189  negotiating an interim or comprehensive agreement.
  190         4. If an accelerated selection and review and documentation
  191  timelines should be considered for proposals involving a
  192  qualifying project that the responsible public entity deems a
  193  priority.
  194         5. Procedures for financial review and analysis which, at a
  195  minimum, include a cost-benefit analysis, an assessment of
  196  opportunity cost, and consideration of the results of all
  197  studies and analyses related to the proposed qualifying project.
  198         6. The adequacy of the information released when seeking
  199  competing proposals and providing for the enhancement of that
  200  information, if deemed necessary, to encourage competition.
  201         7. Current exemptions from public records and public
  202  meetings requirements, if any changes to those exemptions are
  203  necessary, or if any new exemptions should be created in order
  204  to maintain the confidentiality of financial and proprietary
  205  information received as part of an unsolicited proposal.
  206         8. Recommendations regarding the authority of the
  207  responsible public entity to engage the services of qualified
  208  professionals, which may include a Florida-registered
  209  professional or a certified public accountant, not otherwise
  210  employed by the responsible public entity, to provide an
  211  independent analysis regarding the specifics, advantages,
  212  disadvantages, and long-term and short-term costs of a request
  213  by a private entity for approval of a qualifying project, unless
  214  the governing body of the public entity determines that such
  215  analysis should be performed by employees of the public entity.
  216         (e) The task force must submit a final report of its
  217  recommendations to the Governor, the President of the Senate,
  218  and the Speaker of the House of Representatives by July 1, 2014.
  219         (f) The task force is terminated December 31, 2014. The
  220  establishment of guidelines pursuant to this section or the
  221  adoption of such guidelines by a responsible public entity is
  222  not required for such entity to request or receive proposals for
  223  a qualifying project or to enter into a comprehensive agreement
  224  for a qualifying project. A responsible public entity may adopt
  225  guidelines so long as such guidelines are not inconsistent with
  226  this section.
  227         (3)(4) PROCUREMENT PROCEDURES.—A responsible public entity
  228  may receive unsolicited proposals or may solicit proposals for a
  229  qualifying project projects and may thereafter enter into a
  230  comprehensive an agreement with a private entity, or a
  231  consortium of private entities, for the building, upgrading,
  232  operating, ownership, or financing of facilities.
  233         (a)1. The responsible public entity may establish a
  234  reasonable application fee for the submission of an unsolicited
  235  proposal under this section.
  236         2. A private entity that submits an unsolicited proposal to
  237  a responsible public entity must concurrently pay an initial
  238  application fee, as determined by the responsible public entity.
  239  Payment must be made by cash, cashier’s check, or other
  240  noncancelable instrument. Personal checks may not be accepted.
  241         3. If the initial application fee does not cover the
  242  responsible public entity’s costs to evaluate the unsolicited
  243  proposal, the responsible public entity must request in writing
  244  the additional amounts required. The private entity must pay the
  245  requested additional amounts within 30 days after receipt of the
  246  notice. The responsible public entity may stop its review of the
  247  unsolicited proposal if the private entity fails to pay the
  248  additional amounts.
  249         4. If the responsible public entity does not evaluate the
  250  unsolicited proposal, the responsible public entity must return
  251  the application fee The fee must be sufficient to pay the costs
  252  of evaluating the proposal. The responsible public entity may
  253  engage the services of a private consultant to assist in the
  254  evaluation.
  255         5. If the responsible public entity chooses to evaluate an
  256  unsolicited proposal involving architecture, engineering or
  257  landscape architecture, it must ensure a professional review and
  258  evaluation of the design and construction proposed by the
  259  initial or subsequent proposers to assure material quality
  260  standards, interior space utilization, budget estimates, design
  261  and construction schedules and sustainable design and
  262  construction standards consistent with public projects. Such
  263  review shall be performed by an architect, a landscape architect
  264  or an engineer licensed in this state qualified to perform the
  265  review and such professional shall advise the responsible public
  266  entity through completion of the design and construction of the
  267  project.
  268         (b) The responsible public entity may request a proposal
  269  from private entities for a qualifying public-private project
  270  or, if the responsible public entity receives an unsolicited
  271  proposal for a qualifying public-private project and the
  272  responsible public entity intends to enter into a comprehensive
  273  agreement for the project described in the such unsolicited
  274  proposal, the responsible public entity shall publish notice in
  275  the Florida Administrative Register and a newspaper of general
  276  circulation at least once a week for 2 weeks stating that the
  277  responsible public entity has received a proposal and will
  278  accept other proposals for the same project. The timeframe
  279  within which the responsible public entity may accept other
  280  proposals shall be determined by the responsible public entity
  281  on a project-by-project basis based upon the complexity of the
  282  qualifying project and the public benefit to be gained by
  283  allowing a longer or shorter period of time within which other
  284  proposals may be received; however, the timeframe for allowing
  285  other proposals must be at least 21 days, but no more than 120
  286  days, after the initial date of publication. If approved by a
  287  majority vote of the responsible public entity’s governing body,
  288  the responsible public entity may alter the timeframe for
  289  accepting proposals to more adequately suit the needs of the
  290  qualifying project. A copy of the notice must be mailed to each
  291  local government in the affected area.
  292         (c) If the solicited qualifying project provided in
  293  paragraph (b) includes design work, the solicitation must
  294  include a design criteria package prepared by an architect, a
  295  landscape architect, or an engineer licensed in this state which
  296  is sufficient to allow private entities to prepare a bid or a
  297  response. The design criteria package must specify reasonably
  298  specific criteria for the qualifying project such as the legal
  299  description of the site, with survey information; interior space
  300  requirements; material quality standards; schematic layouts and
  301  conceptual design criteria for the qualifying project; cost or
  302  budget estimates; design and construction schedules; and site
  303  development and utility requirements. The licensed design
  304  professional who prepares the design criteria package shall be
  305  retained to serve the responsible public entity through
  306  completion of the design and construction of the project A
  307  responsible public entity that is a school board may enter into
  308  a comprehensive agreement only with the approval of the local
  309  governing body.
  310         (d) Before approving a comprehensive agreement approval,
  311  the responsible public entity must determine that the proposed
  312  project:
  313         1. Is in the public’s best interest.
  314         2. Is for a facility that is owned by the responsible
  315  public entity or for a facility for which ownership will be
  316  conveyed to the responsible public entity.
  317         3. Has adequate safeguards in place to ensure that
  318  additional costs or service disruptions are not imposed on the
  319  public in the event of material default or cancellation of the
  320  comprehensive agreement by the responsible public entity.
  321         4. Has adequate safeguards in place to ensure that the
  322  responsible public entity or private entity has the opportunity
  323  to add capacity to the proposed project or other facilities
  324  serving similar predominantly public purposes.
  325         5. Will be owned by the responsible public entity upon
  326  completion, expiration, or termination of the comprehensive
  327  agreement and upon payment of the amounts financed.
  328         (e) Before signing a comprehensive agreement, the
  329  responsible public entity must consider a reasonable finance
  330  plan that is consistent with subsection (9) (11); the qualifying
  331  project cost; revenues by source; available financing; major
  332  assumptions; internal rate of return on private investments, if
  333  governmental funds are assumed in order to deliver a cost-
  334  feasible project; and a total cash-flow analysis beginning with
  335  the implementation of the project and extending for the term of
  336  the comprehensive agreement.
  337         (f) In considering an unsolicited proposal, the responsible
  338  public entity may require from the private entity a technical
  339  study prepared by a nationally recognized expert with experience
  340  in preparing analysis for bond rating agencies. In evaluating
  341  the technical study, the responsible public entity may rely upon
  342  internal staff reports prepared by personnel familiar with the
  343  operation of similar facilities or the advice of external
  344  advisors or consultants who have relevant experience.
  345         (4)(5) PROJECT APPROVAL REQUIREMENTS.—An unsolicited
  346  proposal from a private entity for approval of a qualifying
  347  project must be accompanied by the following material and
  348  information, unless waived by the responsible public entity:
  349         (a) A description of the qualifying project, including the
  350  conceptual design of the facilities or a conceptual plan for the
  351  provision of services, and a schedule for the initiation and
  352  completion of the qualifying project.
  353         (b) A description of the method by which the private entity
  354  proposes to secure the necessary property interests that are
  355  required for the qualifying project.
  356         (c) A description of the private entity’s general plans for
  357  financing the qualifying project, including the sources of the
  358  private entity’s funds and the identity of any dedicated revenue
  359  source or proposed debt or equity investment on behalf of the
  360  private entity.
  361         (d) The name and address of a person who may be contacted
  362  for additional information concerning the proposal.
  363         (e) The proposed user fees, lease payments, or other
  364  service payments over the term of a comprehensive agreement, and
  365  the methodology for and circumstances that would allow changes
  366  to the user fees, lease payments, and other service payments
  367  over time.
  368         (f) Additional material or information that the responsible
  369  public entity reasonably requests.
  371  Any pricing or financial terms included in an unsolicited
  372  proposal must be specific as to when the pricing or terms
  373  expire.
  375         (a) The private entity, or the applicable party or parties
  376  of the private entity’s team, must meet the minimum standards
  377  contained in the responsible public entity’s guidelines for
  378  qualifying professional services and contracts for traditional
  379  procurement projects.
  380         (b) The responsible public entity must:
  381         1. Ensure that provision is made for the private entity’s
  382  performance and payment of subcontractors, including, but not
  383  limited to, surety bonds, letters of credit, parent company
  384  guarantees, and lender and equity partner guarantees. For the
  385  components of the qualifying project which involve construction
  386  performance and payment, bonds are required and are subject to
  387  the recordation, notice, suit limitation, and other requirements
  388  of s. 255.05.
  389         2. Ensure the most efficient pricing of the security
  390  package that provides for the performance and payment of
  391  subcontractors.
  392         3. Ensure that provision is made for the transfer of the
  393  private entity’s obligations if the comprehensive agreement
  394  addresses termination upon is terminated or a material default
  395  of the comprehensive agreement occurs.
  396         (c) After the public notification period has expired in the
  397  case of an unsolicited proposal, the responsible public entity
  398  shall rank the proposals received in order of preference. In
  399  ranking the proposals, the responsible public entity may
  400  consider factors that include, but are not limited to,
  401  professional qualifications, general business terms, innovative
  402  design techniques or cost-reduction terms, and finance plans.
  403  The responsible public entity may then begin negotiations for a
  404  comprehensive agreement with the highest-ranked firm. If the
  405  responsible public entity is not satisfied with the results of
  406  the negotiations, the responsible public entity may terminate
  407  negotiations with the proposer and negotiate with the second
  408  ranked or subsequent-ranked firms, in the order consistent with
  409  this procedure. If only one proposal is received, the
  410  responsible public entity may negotiate in good faith, and if
  411  the responsible public entity is not satisfied with the results
  412  of the negotiations, the responsible public entity may terminate
  413  negotiations with the proposer. Notwithstanding this paragraph,
  414  the responsible public entity may reject all proposals at any
  415  point in the process until a contract with the proposer is
  416  executed.
  417         (d) The responsible public entity shall perform an
  418  independent analysis of the proposed public-private partnership
  419  which demonstrates the cost-effectiveness and overall public
  420  benefit before the procurement process is initiated or before
  421  the contract is awarded.
  422         (e) The responsible public entity may approve the
  423  development or operation of an educational facility, a
  424  transportation facility, a water or wastewater management
  425  facility or related infrastructure, a technology infrastructure
  426  or other public infrastructure, or a government facility needed
  427  by the responsible public entity as a qualifying project, or the
  428  design or equipping of a qualifying project that is developed or
  429  operated, if:
  430         1. There is a public need for or benefit derived from a
  431  project of the type that the private entity proposes as the
  432  qualifying project.
  433         2. The estimated cost of the qualifying project is
  434  reasonable in relation to similar facilities.
  435         3. The private entity’s plans will result in the timely
  436  acquisition, design, construction, improvement, renovation,
  437  expansion, equipping, maintenance, or operation of the
  438  qualifying project.
  439         (f) The responsible public entity may charge a reasonable
  440  fee to cover the costs of processing, reviewing, and evaluating
  441  the request, including, but not limited to, reasonable attorney
  442  fees and fees for financial and technical advisors or
  443  consultants and for other necessary advisors or consultants.
  444         (g) Upon approval of a qualifying project, the responsible
  445  public entity shall establish a date for the commencement of
  446  activities related to the qualifying project. The responsible
  447  public entity may extend the commencement date.
  448         (h) Approval of a qualifying project by the responsible
  449  public entity is subject to entering into a comprehensive
  450  agreement with the private entity.
  452         (a) The responsible public entity must notify each affected
  453  local jurisdiction by furnishing a copy of the proposal to each
  454  affected local jurisdiction when considering a proposal for a
  455  qualifying project.
  456         (b) Each affected local jurisdiction that is not a
  457  responsible public entity for the respective qualifying project
  458  may, within 60 days after receiving the notice, submit in
  459  writing any comments to the responsible public entity and
  460  indicate whether the facility is incompatible with the local
  461  comprehensive plan, the local infrastructure development plan,
  462  the capital improvements budget, any development of regional
  463  impact processes or timelines, or other governmental spending
  464  plan. The responsible public entity shall consider the comments
  465  of the affected local jurisdiction before entering into a
  466  comprehensive agreement with a private entity. If an affected
  467  local jurisdiction fails to respond to the responsible public
  468  entity within the time provided in this paragraph, the
  469  nonresponse is deemed an acknowledgment by the affected local
  470  jurisdiction that the qualifying project is compatible with the
  471  local comprehensive plan, the local infrastructure development
  472  plan, the capital improvements budget, or other governmental
  473  spending plan.
  474         (6)(8) INTERIM AGREEMENT.—Before or in connection with the
  475  negotiation of a comprehensive agreement, the responsible public
  476  entity may enter into an interim agreement with the private
  477  entity proposing the development or operation of the qualifying
  478  project. An interim agreement does not obligate the responsible
  479  public entity to enter into a comprehensive agreement. The
  480  interim agreement is discretionary with the parties and is not
  481  required on a qualifying project for which the parties may
  482  proceed directly to a comprehensive agreement without the need
  483  for an interim agreement. An interim agreement must be limited
  484  to provisions that:
  485         (a) Authorize the private entity to commence activities for
  486  which it may be compensated related to the proposed qualifying
  487  project, including, but not limited to, project planning and
  488  development, design, environmental analysis and mitigation,
  489  survey, other activities concerning any part of the proposed
  490  qualifying project, and ascertaining the availability of
  491  financing for the proposed facility or facilities.
  492         (b) Establish the process and timing of the negotiation of
  493  the comprehensive agreement.
  494         (c) Contain such other provisions related to an aspect of
  495  the development or operation of a qualifying project that the
  496  responsible public entity and the private entity deem
  497  appropriate.
  498         (7)(9) COMPREHENSIVE AGREEMENT.—
  499         (a) Before developing or operating the qualifying project,
  500  the private entity must enter into a comprehensive agreement
  501  with the responsible public entity. The comprehensive agreement
  502  must provide for:
  503         1. Delivery of performance and payment bonds, letters of
  504  credit, or other security acceptable to the responsible public
  505  entity in connection with the development or operation of the
  506  qualifying project in the form and amount satisfactory to the
  507  responsible public entity. For the components of the qualifying
  508  project which involve construction, the form and amount of the
  509  bonds must comply with s. 255.05.
  510         2. Review of the design for the qualifying project by the
  511  responsible public entity and, if the design conforms to
  512  standards acceptable to the responsible public entity, the
  513  approval of the responsible public entity. This subparagraph
  514  does not require the private entity to complete the design of
  515  the qualifying project before the execution of the comprehensive
  516  agreement.
  517         3. Inspection of the qualifying project by the responsible
  518  public entity to ensure that the private entity’s activities are
  519  acceptable to the responsible public entity in accordance with
  520  the comprehensive agreement.
  521         4. Maintenance of a policy of public liability insurance, a
  522  copy of which must be filed with the responsible public entity
  523  and accompanied by proofs of coverage, or self-insurance, each
  524  in the form and amount satisfactory to the responsible public
  525  entity and reasonably sufficient to ensure coverage of tort
  526  liability to the public and employees and to enable the
  527  continued operation of the qualifying project.
  528         5. Monitoring by the responsible public entity of the
  529  maintenance practices to be performed by the private entity to
  530  ensure that the qualifying project is properly maintained.
  531         6. Periodic filing by the private entity of the appropriate
  532  financial statements that pertain to the qualifying project.
  533         7. Procedures that govern the rights and responsibilities
  534  of the responsible public entity and the private entity in the
  535  course of the construction and operation of the qualifying
  536  project and in the event of the termination of the comprehensive
  537  agreement or a material default by the private entity. The
  538  procedures must include conditions that govern the assumption of
  539  the duties and responsibilities of the private entity by an
  540  entity that funded, in whole or part, the qualifying project or
  541  by the responsible public entity, and must provide for the
  542  transfer or purchase of property or other interests of the
  543  private entity by the responsible public entity.
  544         8. Fees, lease payments, or service payments. In
  545  negotiating user fees, the fees must be the same for persons
  546  using the facility under like conditions and must not materially
  547  discourage use of the qualifying project. The execution of the
  548  comprehensive agreement or a subsequent amendment is conclusive
  549  evidence that the fees, lease payments, or service payments
  550  provided for in the comprehensive agreement comply with this
  551  section. Fees or lease payments established in the comprehensive
  552  agreement as a source of revenue may be in addition to, or in
  553  lieu of, service payments.
  554         9. Duties of the private entity, including the terms and
  555  conditions that the responsible public entity determines serve
  556  the public purpose of this section.
  557         (b) The comprehensive agreement may include:
  558         1. An agreement by the responsible public entity to make
  559  grants or loans to the private entity from amounts received from
  560  the federal, state, or local government or an agency or
  561  instrumentality thereof.
  562         2. A provision under which each entity agrees to provide
  563  notice of default and cure rights for the benefit of the other
  564  entity, including, but not limited to, a provision regarding
  565  unavoidable delays.
  566         3. A provision that terminates the authority and duties of
  567  the private entity under this section and dedicates the
  568  qualifying project to the responsible public entity or, if the
  569  qualifying project was initially dedicated by an affected local
  570  jurisdiction, to the affected local jurisdiction for public use.
  571         (8)(10) FEES.—A comprehensive An agreement entered into
  572  pursuant to this section may authorize the private entity to
  573  impose fees to members of the public for the use of the
  574  facility. The following provisions apply to the comprehensive
  575  agreement:
  576         (a) The responsible public entity may develop new
  577  facilities or increase capacity in existing facilities through a
  578  comprehensive agreement with a private entity agreements with
  579  public-private partnerships.
  580         (b) The comprehensive public-private partnership agreement
  581  must ensure that the facility is properly operated, maintained,
  582  or improved in accordance with standards set forth in the
  583  comprehensive agreement.
  584         (c) The responsible public entity may lease existing fee
  585  for-use facilities through a comprehensive public-private
  586  partnership agreement.
  587         (d) Any revenues must be authorized by and applied in the
  588  manner set forth in regulated by the responsible public entity
  589  pursuant to the comprehensive agreement.
  590         (e) A negotiated portion of revenues from fee-generating
  591  uses may must be returned to the responsible public entity over
  592  the life of the comprehensive agreement.
  593         (9)(11) FINANCING.—
  594         (a) A private entity may enter into a private-source
  595  financing agreement between financing sources and the private
  596  entity. A financing agreement and any liens on the property or
  597  facility must be paid in full at the applicable closing that
  598  transfers ownership or operation of the facility to the
  599  responsible public entity at the conclusion of the term of the
  600  comprehensive agreement.
  601         (b) The responsible public entity may lend funds to private
  602  entities that construct projects containing facilities that are
  603  approved under this section.
  604         (c) The responsible public entity may use innovative
  605  finance techniques associated with a public-private partnership
  606  under this section, including, but not limited to, federal loans
  607  as provided in Titles 23 and 49 C.F.R., commercial bank loans,
  608  and hedges against inflation from commercial banks or other
  609  private sources. In addition, the responsible public entity may
  610  provide its own capital or operating budget to support a
  611  qualifying project. The budget may be from any legally
  612  permissible funding sources of the responsible public entity,
  613  including the proceeds of debt issuances. A responsible public
  614  entity may use the model financing agreement provided in s.
  615  489.145(6) for its financing of a facility owned by a
  616  responsible public entity. A financing agreement may not require
  617  the responsible public entity to indemnify the financing source,
  618  subject the responsible public entity’s facility to liens in
  619  violation of s. 11.066(5), or secure financing of by the
  620  responsible public entity by a mortgage on, or security interest
  621  in, the real or tangible personal property of the responsible
  622  public entity in a manner that could result in the loss of the
  623  fee ownership of the property by the responsible public entity
  624  with a pledge of security interest, and any such provision is
  625  void.
  626         (d) A responsible public entity shall appropriate on a
  627  priority basis as required by the comprehensive agreement a
  628  contractual payment obligation, annual or otherwise, from the
  629  enterprise or other government fund from which the qualifying
  630  projects will be funded. This required payment obligation must
  631  be appropriated before other noncontractual obligations payable
  632  from the same enterprise or other government fund.
  634         (a) The private entity shall:
  635         1. Develop or operate the qualifying project in a manner
  636  that is acceptable to the responsible public entity in
  637  accordance with the provisions of the comprehensive agreement.
  638         2. Maintain, or provide by contract for the maintenance or
  639  improvement of, the qualifying project if required by the
  640  comprehensive agreement.
  641         3. Cooperate with the responsible public entity in making
  642  best efforts to establish interconnection between the qualifying
  643  project and any other facility or infrastructure as requested by
  644  the responsible public entity in accordance with the provisions
  645  of the comprehensive agreement.
  646         4. Comply with the comprehensive agreement and any lease or
  647  service contract.
  648         (b) Each private facility that is constructed pursuant to
  649  this section must comply with the requirements of federal,
  650  state, and local laws; state, regional, and local comprehensive
  651  plans; the responsible public entity’s rules, procedures, and
  652  standards for facilities; and such other conditions that the
  653  responsible public entity determines to be in the public’s best
  654  interest and that are included in the comprehensive agreement.
  655         (c) The responsible public entity may provide services to
  656  the private entity. An agreement for maintenance and other
  657  services entered into pursuant to this section must provide for
  658  full reimbursement for services rendered for qualifying
  659  projects.
  660         (d) A private entity of a qualifying project may provide
  661  additional services for the qualifying project to the public or
  662  to other private entities if the provision of additional
  663  services does not impair the private entity’s ability to meet
  664  its commitments to the responsible public entity pursuant to the
  665  comprehensive agreement.
  666         (11)(13) EXPIRATION OR TERMINATION OF AGREEMENTS.—Upon the
  667  expiration or termination of a comprehensive agreement, the
  668  responsible public entity may use revenues from the qualifying
  669  project to pay current operation and maintenance costs of the
  670  qualifying project. If the private entity materially defaults
  671  under the comprehensive agreement, the compensation that is
  672  otherwise due to the private entity is payable to satisfy all
  673  financial obligations to investors and lenders on the qualifying
  674  project in the same way that is provided in the comprehensive
  675  agreement or any other agreement involving the qualifying
  676  project, if the costs of operating and maintaining the
  677  qualifying project are paid in the normal course. Revenues in
  678  excess of the costs for operation and maintenance costs may be
  679  paid to the investors and lenders to satisfy payment obligations
  680  under their respective agreements. A responsible public entity
  681  may terminate with cause and without prejudice a comprehensive
  682  agreement and may exercise any other rights or remedies that may
  683  be available to it in accordance with the provisions of the
  684  comprehensive agreement. The full faith and credit of the
  685  responsible public entity may not be pledged to secure the
  686  financing of the private entity. The assumption of the
  687  development or operation of the qualifying project does not
  688  obligate the responsible public entity to pay any obligation of
  689  the private entity from sources other than revenues from the
  690  qualifying project unless stated otherwise in the comprehensive
  691  agreement.
  692         (12)(14) SOVEREIGN IMMUNITY.—This section does not waive
  693  the sovereign immunity of a responsible public entity, an
  694  affected local jurisdiction, or an officer or employee thereof
  695  with respect to participation in, or approval of, any part of a
  696  qualifying project or its operation, including, but not limited
  697  to, interconnection of the qualifying project with any other
  698  infrastructure or project. A county or municipality in which a
  699  qualifying project is located possesses sovereign immunity with
  700  respect to the project, including, but not limited to, its
  701  design, construction, and operation.
  703         (a) A responsible public entity may provide a copy of its
  704  comprehensive agreement to the Department of Management
  705  Services. A responsible public entity must redact any
  706  confidential or exempt information from the copy of the
  707  comprehensive agreement before providing it to the Department of
  708  Management Services.
  709         (b) The Department of Management Services may accept and
  710  maintain copies of comprehensive agreements received from
  711  responsible public entities for the purpose of sharing
  712  comprehensive agreements with other responsible public entities.
  713         (c) This subsection does not require a responsible public
  714  entity to provide a copy of its comprehensive agreement to the
  715  Department of Management Services.
  716         (14)(15) CONSTRUCTION.—
  717         (a) This section shall be liberally construed to effectuate
  718  the purposes of this section.
  719         (b) This section shall be construed as cumulative and
  720  supplemental to any other authority or power vested in or
  721  exercised by the governing body board of a county, municipality,
  722  special district, or municipal hospital or health care system
  723  including those contained in acts of the Legislature
  724  establishing such public hospital boards or s. 155.40.
  725         (c) This section does not affect any agreement or existing
  726  relationship with a supporting organization involving such
  727  governing body board or system in effect as of January 1, 2013.
  728         (d)(a) This section provides an alternative method and does
  729  not limit a county, municipality, special district, or other
  730  political subdivision of the state in the procurement or
  731  operation of a qualifying project acquisition, design, or
  732  construction of a public project pursuant to other statutory or
  733  constitutional authority.
  734         (e)(b) Except as otherwise provided in this section, this
  735  section does not amend existing laws by granting additional
  736  powers to, or further restricting, a local governmental entity
  737  from regulating and entering into cooperative arrangements with
  738  the private sector for the planning, construction, or operation
  739  of a facility.
  740         (f)(c) This section does not waive any requirement of s.
  741  287.055.
  742         Section 2. This act shall take effect July 1, 2016.