Florida Senate - 2023                                     SB 598
       
       
        
       By Senator Martin
       
       
       
       
       
       33-00423-23                                            2023598__
    1                        A bill to be entitled                      
    2         An act relating to higher educational facilities
    3         financing; amending s. 243.51, F.S.; modifying
    4         legislative findings and declarations regarding the
    5         Higher Education Facilities Financing Act; amending s.
    6         243.52, F.S.; revising the definition of the term
    7         “institution of higher education”; amending s. 243.53,
    8         F.S.; specifying when the term for a new appointee to
    9         the Higher Educational Facilities Financing Authority
   10         begins; defining the term “communications media
   11         technology”; revising a requirement for when action
   12         may be taken by the authority; authorizing the
   13         authority to conduct meetings and workshops by means
   14         of communications media technology; providing notice
   15         requirements for meetings and workshops; amending s.
   16         243.54, F.S.; authorizing the authority to contract
   17         with an entity to assist with administrative matters;
   18         amending s. 243.58, F.S.; prohibiting the authority
   19         from entering into a financing agreement with a
   20         participating institution for a project if at the time
   21         the agreement is executed certain conditions exist;
   22         amending s. 243.73, F.S.; revising the timeframe
   23         within which the authority is required to submit a
   24         report to the Governor and the Legislature; providing
   25         an effective date.
   26          
   27  Be It Enacted by the Legislature of the State of Florida:
   28  
   29         Section 1. Section 243.51, Florida Statutes, is amended to
   30  read:
   31         243.51 Findings and declarations.—It is the purpose of ss.
   32  243.50-243.77 to provide a measure of assistance and an
   33  alternative method for enabling private institutions of higher
   34  education in of this state to provide the facilities and
   35  structures that they need and to enable those institutions to
   36  coordinate their budgetary needs with the timing of receipt of
   37  tuition revenues. The necessity of the public interest of the
   38  provisions hereinafter enacted is hereby declared as a matter of
   39  legislative determination.
   40         Section 2. Subsection (6) of section 243.52, Florida
   41  Statutes, is amended to read:
   42         243.52 Definitions.—As used in ss. 243.50-243.77, the term:
   43         (6) “Institution of higher education” means an educational
   44  institution that by virtue of law or charter is an accredited,
   45  nonprofit educational institution empowered to provide a program
   46  of education beyond the high school level independent nonprofit
   47  college or university which is located in and chartered by the
   48  state; which is accredited by the Commission on Colleges of the
   49  Southern Association of Colleges and Schools; which grants
   50  baccalaureate degrees; and that which is not a state university
   51  or Florida College System institution.
   52         Section 3. Subsections (2) and (5) of section 243.53,
   53  Florida Statutes, are amended to read:
   54         243.53 Creation of Higher Educational Facilities Financing
   55  Authority.—
   56         (2) The authority shall consist of five members to be
   57  appointed by the Governor, subject to confirmation by the
   58  Senate. One member shall be a trustee, director, officer, or
   59  employee of an institution of higher education. Of the members
   60  first appointed, one shall serve for 1 year, one for 2 years,
   61  one for 3 years, one for 4 years, and one for 5 years, and in
   62  each case until his or her successor is appointed and has
   63  qualified. Thereafter, the Governor shall appoint for terms of 5
   64  years each a member or members to succeed those whose terms
   65  expire, beginning on the later of the dates on which the current
   66  term expires or the date of appointment by the Governor. The
   67  Governor shall fill any vacancy for an unexpired term. A member
   68  of the authority is eligible for reappointment. Any member of
   69  the authority may be removed by the Governor for misfeasance,
   70  malfeasance, or willful neglect of duty. Each member of the
   71  authority before entering upon his or her duties shall take and
   72  subscribe to the oath or affirmation required by the State
   73  Constitution. A record of each oath must be filed in the office
   74  of the Department of State and with the authority.
   75         (5)(a)As used in this subsection, the term “communications
   76  media technology” means telephone conference, video conference,
   77  or other communications technology by which all persons
   78  attending a public meeting or workshop may audibly communicate.
   79         (b) A majority of the members of the authority constitutes
   80  a quorum, and the affirmative vote of a majority of the members
   81  participating in the present at a meeting of the authority is
   82  necessary for any action taken by the authority. A vacancy in
   83  the membership of the authority does not impair the right of a
   84  quorum to exercise all the rights and perform all the duties of
   85  the authority. Any action taken by the authority under ss.
   86  243.50-243.77 may be authorized by resolution at any regular or
   87  special meeting, and each resolution takes shall take effect
   88  immediately and does need not need to be published or posted.
   89  The authority may conduct public meetings and workshops by means
   90  of communications media technology. The notice for any such
   91  public meeting or workshop must state that the meeting or
   92  workshop will be conducted through the use of communications
   93  media technology, must specify how persons interested in
   94  attending may do so, and must provide a location where
   95  communications media technology facilities are available. The
   96  participation by an officer, a board member, or any other
   97  representative of a member public agency in a meeting or
   98  workshop conducted through communications media technology
   99  constitutes that individual’s presence at such meeting or
  100  workshop.
  101         Section 4. Subsection (16) of section 243.54, Florida
  102  Statutes, is amended to read:
  103         243.54 Powers of the authority.—The purpose of the
  104  authority is to assist institutions of higher education in
  105  constructing, financing, and refinancing projects throughout the
  106  state and, for this purpose, the authority may:
  107         (16) Contract with an entity as its agent to assist the
  108  authority with administrative matters and in screening
  109  applications of institutions of higher education for loans under
  110  ss. 243.50-243.77 and receive any recommendations the entity may
  111  make.
  112         Section 5. Subsection (2) of section 243.58, Florida
  113  Statutes, is amended to read:
  114         243.58 Criteria and requirements.—In undertaking any
  115  project under ss. 243.50-243.77, the authority shall be guided
  116  by and shall observe the following criteria and requirements:
  117         (2) A financing agreement for a project may not be entered
  118  into with a participating institution that is not, at the time
  119  such agreement is executed, financially responsible and fully
  120  capable of and willing to fulfill its obligations under the
  121  financing agreement, including the obligations to make payments
  122  in the amounts and at the times required; to operate, repair,
  123  and maintain at its own expense the project owned or leased; and
  124  to serve the purposes of ss. 243.50-243.77 and any other
  125  responsibilities that may be imposed under the financing
  126  agreement. In determining the financial responsibility of the
  127  participating institution, consideration will must be given to
  128  the party’s ratio of current assets to current liabilities; net
  129  worth; endowments; pledges; earning trends; coverage of all
  130  fixed charges; the nature of the project involved; its inherent
  131  stability; any guarantee of the obligations by some other
  132  financially responsible corporation, firm, or person; means by
  133  which the bonds are to be marketed to the public; and other
  134  factors determinative of the capability of the participating
  135  institution, financially and otherwise, to fulfill its
  136  obligations consistently with the purposes of ss. 243.50-243.77.
  137         Section 6. Subsection (1) of section 243.73, Florida
  138  Statutes, is amended to read:
  139         243.73 Reports; audits.—
  140         (1) The authority shall submit to the Governor and the
  141  presiding officers of each house of the Legislature, within 6 2
  142  months after the end of its fiscal year, a complete and detailed
  143  report setting forth:
  144         (a) Its operations and accomplishments.
  145         (b) Its receipts and expenditures during its fiscal year in
  146  accordance with the categories or classifications established by
  147  the authority for its operating and capital outlay purposes.
  148         (c) Its assets and liabilities at the end of its fiscal
  149  year and the status of reserve, special, or other funds.
  150         (d) A schedule of its bonds outstanding at the end of its
  151  fiscal year, together with a statement of the principal amounts
  152  of bonds issued and redeemed during the fiscal year.
  153         (e) Any other information the authority deems appropriate.
  154         Section 7. This act shall take effect July 1, 2023.