Florida Senate - 2026                        COMMITTEE AMENDMENT
       Bill No. CS for SB 540
       
       
       
       
       
       
                                Ì704244ÇÎ704244                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  02/12/2026           .                                
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       The Appropriations Committee on Agriculture, Environment, and
       General Government (Martin) recommended the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete lines 96 - 971
    4  and insert:
    5         Section 1. Subsection (4) is added to section 415.106,
    6  Florida Statutes, to read:
    7         415.106 Cooperation by the department and criminal justice
    8  and other agencies.—
    9         (4) To the fullest extent possible, the department shall
   10  cooperate with and seek cooperation from the Office of Financial
   11  Regulation concerning protective investigations of suspected
   12  financial exploitation of specified adults, as defined in s.
   13  415.10341, which are reported to the central abuse hotline and
   14  which the department is responsible for conducting pursuant to
   15  s. 415.104.
   16         (a) In accordance with s. 415.107, the department must
   17  provide copies of all suspected financial exploitation reports
   18  received by the central abuse hotline pursuant to s. 415.1034
   19  from any financial institution as defined in s. 655.005(1),
   20  securities dealer as defined in s. 517.021(12), or investment
   21  adviser as defined in s. 517.021(20) to the Office of Financial
   22  Regulation within 15 days after receiving the report. The
   23  department may provide copies of any records generated as a
   24  result of such reports at the request of the Office of Financial
   25  Regulation within 15 days after such request.
   26         1. The Office of Financial Regulation may use the reports
   27  or records obtained as required or authorized in this subsection
   28  during an investigation or examination conducted pursuant to
   29  chapter 517 or chapter 655.
   30         2. Except as provided in this chapter and chapters 517 and
   31  655, all confidentiality provisions that apply to the department
   32  continue to apply to the records made available to the Office of
   33  Financial Regulation and its officials, employees, and agents
   34  under s. 415.107.
   35         (b)The department and the Office of Financial Regulation
   36  may enter into a memorandum of agreement that specifies how the
   37  Office of Financial Regulation, in the agency’s role as the
   38  regulator of financial institutions, may assist the department
   39  with effectively and efficiently conducting a protective
   40  investigation of any vulnerable adult abuse report received by
   41  the central abuse hotline, and that specifies how such
   42  assistance will be implemented.
   43         Section 2. Paragraph (m) is added to subsection (3) of
   44  section 415.107, Florida Statutes, to read:
   45         415.107 Confidentiality of reports and records.—
   46         (3) Access to all records, excluding the name of the
   47  reporter which shall be released only as provided in subsection
   48  (6), shall be granted only to the following persons, officials,
   49  and agencies:
   50         (m) Any appropriate officials, employees, or agents of the
   51  Office of Financial Regulation who are responsible for
   52  conducting investigations pursuant to chapters 517 and 655.
   53         Section 3. Section 494.00123, Florida Statutes, is created
   54  to read:
   55         494.00123Information security programs.—
   56         (1)DEFINITIONS.—As used in this section, the term:
   57         (a)“Customer” means a person who seeks to obtain or who
   58  obtains or has obtained a financial product or service from a
   59  licensee.
   60         (b)“Customer information” means any record containing
   61  nonpublic personal information about a customer of a financial
   62  transaction, whether on paper, electronic, or in other forms,
   63  which is handled or maintained by or on behalf of the licensee
   64  or its affiliates.
   65         (c)“Cybersecurity event” means an event resulting in
   66  unauthorized access to, or disruption or misuse of, an
   67  information system or customer information stored on such
   68  information system. The term does not include the unauthorized
   69  acquisition of encrypted customer information if the encryption
   70  process or key is not also acquired, released, or used without
   71  authorization. The term does not include an event with regard to
   72  which the licensee has determined that the customer information
   73  accessed by an unauthorized person has not been used or released
   74  and has been returned or destroyed.
   75         (d)“Encrypted” means the transformation of data into a
   76  form that results in a low probability of assigning meaning
   77  without the use of a protective process or key.
   78         (e)“Financial product or service” means any product or
   79  service offered by a licensee under this chapter.
   80         (f)“Information security program” means the
   81  administrative, technical, or physical safeguards used to
   82  access, collect, distribute, process, protect, store, use,
   83  transmit, dispose of, or otherwise handle customer information.
   84         (g)“Information system” means a discrete set of electronic
   85  information resources organized for the collection, processing,
   86  maintenance, use, sharing, dissemination, or disposition of
   87  electronic information, as well as any specialized system such
   88  as an industrial process control system, telephone switching and
   89  private branch exchange system, or environmental control system,
   90  which contain customer information or which are connected to a
   91  system that contains customer information.
   92         (h)1.“Nonpublic personal information” means:
   93         a.Personally identifiable financial information; and
   94         b.Any list, description, or other grouping of customers
   95  which is derived using any personally identifiable financial
   96  information that is not publicly available, such as account
   97  numbers, including any list of individuals’ names and street
   98  addresses which is derived, in whole or in part, using
   99  personally identifiable financial information that is not
  100  publicly available.
  101         2.The term does not include:
  102         a.Publicly available information, except as included on a
  103  list, description, or other grouping of customers described in
  104  sub-subparagraph 1.b.;
  105         b.Any list, description, or other grouping of consumers,
  106  or any publicly available information pertaining to such list,
  107  description, or other grouping of consumers, which is derived
  108  without using any personally identifiable financial information
  109  that is not publicly available; or
  110         c.Any list of individuals’ names and addresses which
  111  contains only publicly available information, is not derived, in
  112  whole or in part, using personally identifiable financial
  113  information that is not publicly available, and is not disclosed
  114  in a manner that indicates that any of the individuals on the
  115  list is a customer of a licensee.
  116         3.As used in this paragraph, the term:
  117         a.(I)“Personally identifiable financial information” means
  118  any information that:
  119         (A)A customer provides to a licensee to obtain a financial
  120  product or service, such as information that a customer provides
  121  to a licensee on an application to obtain a loan or other
  122  financial product or service;
  123         (B)A licensee receives about a consumer which is obtained
  124  during or as a result of any transaction involving a financial
  125  product or service between the licensee and the customer, such
  126  as information collected through an information-collecting
  127  device from a web server; or
  128         (C)A licensee otherwise obtains about a customer in
  129  connection with providing a financial product or service to the
  130  customer, such as the fact that an individual is or has been one
  131  of the licensee’s customers or has obtained a financial product
  132  or service from the licensee.
  133         (II)The term “personally identifiable financial
  134  information” does not include:
  135         (A)A list of names and addresses of customers of an entity
  136  that is not a financial institution; or
  137         (B)Information that does not identify a customer, such as
  138  blind data or aggregate information that does not contain
  139  personal identifiers such as account numbers, names, or
  140  addresses.
  141         b.(I)“Publicly available information” means any
  142  information that a licensee has a reasonable basis to believe is
  143  lawfully made available to the general public from:
  144         (A)Federal, state, or local government records, such as
  145  government real estate records or security interest filings;
  146         (B)Widely distributed media, such as information from a
  147  telephone records repository or directory, a television or radio
  148  program, a newspaper, a social media platform, or a website that
  149  is available to the general public on an unrestricted basis. A
  150  website is not restricted merely because an Internet service
  151  provider or a site operator requires a fee or a password, so
  152  long as access is available to the general public; or
  153         (C)Disclosures to the general public which are required to
  154  be made by federal, state, or local law.
  155         (II)As used in this sub-subparagraph, the term “reasonable
  156  basis to believe is lawfully made available to the general
  157  public” relating to any information means that the person has
  158  taken steps to determine:
  159         (A)That the information is of the type that is available
  160  to the general public, such as information included on the
  161  public record in the jurisdiction where the mortgage would be
  162  recorded; and
  163         (B)Whether an individual can direct that the information
  164  not be made available to the general public and, if so, the
  165  customer to whom the information relates has not done so, such
  166  as when a telephone number is listed in a telephone directory
  167  and the customer has informed the licensee that the telephone
  168  number is not unlisted.
  169         (i)“Third-party service provider” means a person, other
  170  than a licensee, which contracts with a licensee to maintain,
  171  process, or store nonpublic personal information, or is
  172  otherwise permitted access to nonpublic personal information
  173  through its provision of services to a licensee.
  174         (2)INFORMATION SECURITY PROGRAM.—
  175         (a)Each licensee shall develop, implement, and maintain a
  176  comprehensive written information security program that contains
  177  administrative, technical, and physical safeguards for the
  178  protection of the licensee’s information system and nonpublic
  179  personal information.
  180         (b)Each licensee shall ensure that the information
  181  security program meets all of the following criteria:
  182         1.Be commensurate with the following measures:
  183         a.Size and complexity of the licensee.
  184         b.Nature and scope of the licensee’s activities, including
  185  the licensee’s use of third-party service providers.
  186         c.Sensitivity of nonpublic personal information that is
  187  used by the licensee or that is in the licensee’s possession,
  188  custody, or control.
  189         2.Be designed to do all of the following:
  190         a.Protect the security and confidentiality of nonpublic
  191  personal information and the security of the licensee’s
  192  information system.
  193         b.Protect against threats or hazards to the security or
  194  integrity of nonpublic personal information and the licensee’s
  195  information system.
  196         c.Protect against unauthorized access to or the use of
  197  nonpublic personal information and minimize the likelihood of
  198  harm to any customer.
  199         3.Define and periodically reevaluate the retention
  200  schedule and the mechanism for the destruction of nonpublic
  201  personal information if retention is no longer necessary for the
  202  licensee’s business operations or is no longer required by
  203  applicable law.
  204         4.Regularly test and monitor systems and procedures for
  205  the detection of actual and attempted attacks on, or intrusions
  206  into, the licensee’s information system.
  207         5.Be monitored, evaluated, and adjusted, as necessary, to
  208  meet all of the following requirements:
  209         a.Determine whether the licensee’s information security
  210  program is consistent with relevant changes in technology.
  211         b.Confirm the licensee’s information security program
  212  accounts for the sensitivity of nonpublic personal information.
  213         c.Identify changes that may be necessary to the licensee’s
  214  information system.
  215         d.Mitigate any internal or external threats to nonpublic
  216  personal information.
  217         e.Amend the licensee’s information security program for
  218  any material changes to the licensee’s business arrangements,
  219  including, but not limited to, mergers and acquisitions,
  220  alliances and joint ventures, and outsourcing arrangements.
  221         (c)1.As part of a licensee’s information security program,
  222  the licensee shall establish a written incident response plan
  223  designed to promptly respond to, and recover from, a
  224  cybersecurity event that compromises:
  225         a.The confidentiality, integrity, or availability of
  226  nonpublic personal information in the licensee’s possession;
  227         b.The licensee’s information system; or
  228         c.The continuing functionality of any aspect of the
  229  licensee’s operations.
  230         2.The written incident response plan must address all of
  231  the following:
  232         a.The licensee’s internal process for responding to a
  233  cybersecurity event.
  234         b.The goals of the licensee’s incident response plan.
  235         c.The assignment of clear roles, responsibilities, and
  236  levels of decisionmaking authority for the licensee’s personnel
  237  that participate in the incident response plan.
  238         d.External communications, internal communications, and
  239  information sharing related to a cybersecurity event.
  240         e.The identification of remediation requirements for
  241  weaknesses identified in information systems and associated
  242  controls.
  243         f.The documentation and reporting regarding cybersecurity
  244  events and related incident response activities.
  245         g.The evaluation and revision of the incident response
  246  plan, as appropriate, following a cybersecurity event.
  247         h.The process by which notice must be given as required
  248  under subsection (3) and s. 501.171(3) and (4).
  249         (d)1.This section does not apply to a licensee that has
  250  fewer than:
  251         a.Twenty individuals on its workforce, including employees
  252  and independent contractors; or
  253         b.Five hundred customers during a calendar year.
  254         2.A licensee that no longer qualifies for exemption under
  255  subparagraph 1. has 180 calendar days to comply with this
  256  section after the date of the disqualification.
  257         (e)Each licensee shall maintain a copy of the information
  258  security program for a minimum of 5 years and shall make it
  259  available to the office upon request or as part of an
  260  examination.
  261         (3)NOTICE TO OFFICE OF SECURITY BREACH.—Each licensee
  262  shall provide notice to the office of any breach of security, as
  263  defined in s. 501.171, affecting 500 or more individuals in this
  264  state at a time and in the manner prescribed by commission rule.
  265         (4)CONSTRUCTION.—This section may not be construed to
  266  relieve a covered entity from complying with s. 501.171. To the
  267  extent a licensee is a covered entity, as defined in s.
  268  501.171(1), the licensee remains subject to s. 501.171.
  269         (5)RULES.—The commission shall adopt rules to administer
  270  this section, including rules that allow a licensee that is in
  271  compliance with the Federal Trade Commission’s Standards for
  272  Safeguarding Customer Information, 16 C.F.R. part 314, to be
  273  deemed in substantial compliance with subsection (2).
  274         Section 4. Paragraph (z) is added to subsection (1) of
  275  section 494.00255, Florida Statutes, to read:
  276         494.00255 Administrative penalties and fines; license
  277  violations.—
  278         (1) Each of the following acts constitutes a ground for
  279  which the disciplinary actions specified in subsection (2) may
  280  be taken against a person licensed or required to be licensed
  281  under part II or part III of this chapter:
  282         (z)Failure to comply with the notification requirements in
  283  s. 501.171(3) and (4).
  284         Section 5. Present subsections (28) through (36) of section
  285  517.021, Florida Statutes, are redesignated as subsections (29)
  286  through (37), respectively, a new subsection (28) is added to
  287  that section, and subsection (20) of that section is amended, to
  288  read:
  289         517.021 Definitions.—When used in this chapter, unless the
  290  context otherwise indicates, the following terms have the
  291  following respective meanings:
  292         (20)(a) “Investment adviser” means a person, other than an
  293  associated person of an investment adviser or a federal covered
  294  adviser, that receives compensation, directly or indirectly, and
  295  engages for all or part of the person’s time, directly or
  296  indirectly, or through publications or writings, in the business
  297  of advising others as to the value of securities or as to the
  298  advisability of investments in, purchasing of, or selling of
  299  securities.
  300         (b) The term does not include any of the following:
  301         1. A dealer or an associated person of a dealer whose
  302  performance of services in paragraph (a) is solely incidental to
  303  the conduct of the dealer’s or associated person’s business as a
  304  dealer and who does not receive special compensation for those
  305  services.
  306         2. A licensed practicing attorney or certified public
  307  accountant whose performance of such services is solely
  308  incidental to the practice of the attorney’s or accountant’s
  309  profession.
  310         3. A bank authorized to do business in this state.
  311         4. A bank holding company as defined in the Bank Holding
  312  Company Act of 1956, as amended, authorized to do business in
  313  this state.
  314         5. A trust company having trust powers, as defined in s.
  315  658.12, which it is authorized to exercise in this state, which
  316  trust company renders or performs investment advisory services
  317  in a fiduciary capacity incidental to the exercise of its trust
  318  powers.
  319         6. A person that renders investment advice exclusively to
  320  insurance or investment companies.
  321         7. A person:
  322         a.Without a place of business in this state if the person
  323  has had that, during the preceding 12 months, has fewer than six
  324  clients who are residents of this state.
  325         b.With a place of business in this state if the person has
  326  had, during the preceding 12 months, fewer than six clients who
  327  are residents of this state and no clients who are not residents
  328  of this state.
  329  
  330  As used in this subparagraph, the term “client” has the same
  331  meaning as provided in Securities and Exchange Commission Rule
  332  222-2 275.222-2, 17 C.F.R. s. 275.222-2, as amended.
  333         8. A federal covered adviser.
  334         9. The United States, a state, or any political subdivision
  335  of a state, or any agency, authority, or instrumentality of any
  336  such entity; a business entity that is wholly owned directly or
  337  indirectly by such a governmental entity; or any officer, agent,
  338  or employee of any such governmental or business entity who is
  339  acting within the scope of his or her official duties.
  340         10.A family office as defined in Securities and Exchange
  341  Commission Rule 202(a)(11)(G)-1(b) under the Investment Advisers
  342  Act of 1940, 17 C.F.R. s. 275.202(a)(11)(G)-1(b), as amended. In
  343  determining whether a person meets the definition of a family
  344  office under this subparagraph, the terms “affiliated family
  345  office,” “control,” “executive officer,” “family client,”
  346  “family entity,” “family member,” “former family member,” “key
  347  employee,” and “spousal equivalent” have the same meaning as in
  348  Securities and Exchange Commission Rule 202(a)(11)(G)-1(d) under
  349  the Investment Advisers Act of 1940, 17 C.F.R. s.
  350  275.202(a)(11)(G)-1(d), as amended.
  351         (28)“Place of business” of an investment adviser means an
  352  office at which the investment adviser regularly provides
  353  investment advisory services to, solicits, meets with, or
  354  otherwise communicates with clients; and any other location that
  355  is held out to the general public as a location at which the
  356  investment adviser provides investment advisory services to,
  357  solicits, meets with, or otherwise communicates with clients.
  358         Section 6. Paragraph (i) of subsection (9) of section
  359  517.061, Florida Statutes, is amended to read:
  360         517.061 Exempt transactions.—Except as otherwise provided
  361  in subsection (11), the exemptions provided herein from the
  362  registration requirements of s. 517.07 are self-executing and do
  363  not require any filing with the office before being claimed. Any
  364  person who claims entitlement to an exemption under this section
  365  bears the burden of proving such entitlement in any proceeding
  366  brought under this chapter. The registration provisions of s.
  367  517.07 do not apply to any of the following transactions;
  368  however, such transactions are subject to s. 517.301:
  369         (9) The offer or sale of securities to:
  370         (i) A family office as defined in Securities and Exchange
  371  Commission Rule 202(a)(11)(G)-1(b) 202(a)(11)(G)-1 under the
  372  Investment Advisers Act of 1940, 17 C.F.R. s. 275.202(a)(11)(G)
  373  1(b) s. 275.202(a)(11)(G)-1, as amended, provided that:
  374         1. The family office has assets under management in excess
  375  of $5 million;
  376         2. The family office is not formed for the specific purpose
  377  of acquiring the securities offered; and
  378         3. The prospective investment of the family office is
  379  directed by a person who has knowledge and experience in
  380  financial and business matters that the family office is capable
  381  of evaluating the merits and risks of the prospective
  382  investment.
  383  
  384  In determining whether a person meets the definition of a family
  385  office under this paragraph, the terms “affiliated family
  386  office,” “control,” “executive officer,” “family client,”
  387  “family entity,” “family member,” “former family member,” “key
  388  employee,” and “spousal equivalent” have the same meaning as in
  389  Securities and Exchange Commission Rule 202(a)(11)(G)-1(d) under
  390  the Investment Advisers Act of 1940, 17 C.F.R. s.
  391  275.202(a)(11)(G)-1(d), as amended.
  392         Section 7. Paragraph (a) of subsection (1) of section
  393  517.201, Florida Statutes, is amended, and paragraph (c) is
  394  added to that subsection, to read:
  395         517.201 Investigations; examinations; subpoenas; hearings;
  396  witnesses.—
  397         (1) The office:
  398         (a) May make investigations and examinations within or
  399  outside of this state as it deems necessary:
  400         1. To determine whether a person has violated or is about
  401  to violate any provision of this chapter or a rule or order
  402  hereunder; or
  403         2. To aid in the enforcement of this chapter; or
  404         3. In accordance with a memorandum of understanding
  405  pursuant to s. 415.106(4)(b), to aid the Department of Children
  406  and Families with any protective investigations the Department
  407  of Children and Families is required to conduct under s.
  408  415.104.
  409         (c) May consider or use as part of any investigation or
  410  examination pursuant to this section the information contained
  411  in any suspected financial exploitation report or any records
  412  generated as a result of such report which is obtained pursuant
  413  to s. 415.106(4).
  414         Section 8. Paragraphs (b) and (c) of subsection (3) and
  415  subsection (6) of section 517.34, Florida Statutes, are amended
  416  to read:
  417         517.34 Protection of specified adults.—
  418         (3) A dealer or investment adviser may delay a disbursement
  419  or transaction of funds or securities from an account of a
  420  specified adult or an account for which a specified adult is a
  421  beneficiary or beneficial owner if all of the following apply:
  422         (b) Not later than 3 business days after the date on which
  423  the delay was first placed, the dealer or investment adviser
  424  complies with all of the following conditions:
  425         1. Notifies in writing all parties authorized to transact
  426  business on the account and any trusted contact on the account,
  427  using the contact information provided for the account, with the
  428  exception of any party the dealer or investment adviser
  429  reasonably believes has engaged in, is engaging in, has
  430  attempted to engage in, or will attempt to engage in the
  431  suspected financial exploitation of the specified adult. The
  432  notice, which may be provided electronically, must provide the
  433  reason for the delay.
  434         2. Notifies the office of the delay electronically on a
  435  form prescribed by commission rule. The form must be consistent
  436  with the purposes of this section and must contain, but need not
  437  be limited to, the following information:
  438         a. The date on which the delay was first placed.
  439         b. The name, age, and address, or location, if different,
  440  of the specified adult.
  441         c. The business location of the dealer or investment
  442  adviser.
  443         d. The name, address, and telephone number and title of the
  444  employee who reported suspected financial exploitation of the
  445  specified adult.
  446         e. The facts and circumstances that caused the employee to
  447  report suspected financial exploitation.
  448         f. The names, addresses, and telephone numbers of the
  449  specified adult’s family members.
  450         g. The name, address, and telephone number of each person
  451  suspected of engaging in financial exploitation.
  452         h. The name, address, and telephone number of the caregiver
  453  of the specified adult, if different from the person or persons
  454  suspected of engaging in financial exploitation.
  455         i. A description of actions taken by the dealer or
  456  investment adviser, if any, such as notification to a criminal
  457  justice agency.
  458         j. Any other information available to the reporting person
  459  which may establish the cause of financial exploitation that
  460  occurred or is occurring.
  461         (c) Not later than 3 business days after the date on which
  462  the delay was first placed, the dealer or investment adviser
  463  Notifies the office of the delay electronically on a form
  464  prescribed by commission rule. The form must be consistent with
  465  the purposes of this section and may include only the following
  466  information:
  467         1. The date on which the notice is submitted to the office.
  468         2. The date on which the delay was first placed.
  469         3. The following information about the specified adult:
  470         a. Gender.
  471         b. Age.
  472         c. Zip code of residence address.
  473         4. The following information about the dealer or investment
  474  adviser who placed the delay:
  475         a. Name.
  476         b. Title.
  477         c. Firm name.
  478         d. Business address.
  479         5. A section with the following questions for which the
  480  only allowable responses are “Yes” or “No”:
  481         a. Is financial exploitation of a specified adult suspected
  482  in connection with a disbursement or transaction?
  483         b. Are funds currently at risk of being lost?
  484  
  485  The form must contain substantially the following statement in
  486  conspicuous type: “The office may take disciplinary action
  487  against any person making a knowing and willful
  488  misrepresentation on this form.”
  489         (6) A dealer, an investment adviser, or an associated
  490  person who in good faith and exercising reasonable care complies
  491  with this section is immune from any administrative or civil
  492  liability that might otherwise arise from such delay in a
  493  disbursement or transaction in accordance with this section.
  494  This subsection does not supersede or diminish any immunity
  495  granted under chapter 415, nor does it substitute for the duty
  496  to report to the central abuse hotline as required under s.
  497  415.1034.
  498         Section 9. Section 520.135, Florida Statutes, is created to
  499  read:
  500         520.135Surrendered or repossessed vehicles.—The rights and
  501  obligations of parties with respect to a surrendered or
  502  repossessed motor vehicle are exclusively governed by part VI of
  503  chapter 679.
  504         Section 10. Subsections (1) and (2) of section 560.114,
  505  Florida Statutes, are amended to read:
  506         560.114 Disciplinary actions; penalties.—
  507         (1) The following actions by a money services business, an
  508  authorized vendor, or a affiliated party that was affiliated at
  509  the time of commission of the actions constitute grounds for the
  510  issuance of a cease and desist order; the issuance of a removal
  511  order; the denial, suspension, or revocation of a license; or
  512  taking any other action within the authority of the office
  513  pursuant to this chapter:
  514         (a) Failure to comply with any provision of this chapter or
  515  related rule or order, or any written agreement entered into
  516  with the office.
  517         (b) Fraud, misrepresentation, deceit, or gross negligence
  518  in any transaction by a money services business, regardless of
  519  reliance thereon by, or damage to, a customer.
  520         (c) Fraudulent misrepresentation, circumvention, or
  521  concealment of any matter that must be stated or furnished to a
  522  customer pursuant to this chapter, regardless of reliance
  523  thereon by, or damage to, such customer.
  524         (d) False, deceptive, or misleading advertising.
  525         (e) Failure to maintain, preserve, keep available for
  526  examination, and produce all books, accounts, files, or other
  527  documents required by this chapter or related rules or orders,
  528  by 31 C.F.R. ss. 1010.306, 1010.311, 1010.312, 1010.340,
  529  1010.410, 1010.415, 1022.210, 1022.320, 1022.380, and 1022.410,
  530  or by an agreement entered into with the office.
  531         (f) Refusing to allow the examination or inspection of
  532  books, accounts, files, or other documents by the office
  533  pursuant to this chapter, or to comply with a subpoena issued by
  534  the office.
  535         (g) Failure to pay a judgment recovered in any court by a
  536  claimant in an action arising out of a money transmission
  537  transaction within 30 days after the judgment becomes final.
  538         (h) Engaging in an act prohibited under s. 560.111 or s.
  539  560.1115.
  540         (i) Insolvency.
  541         (j) Failure by a money services business to remove an
  542  affiliated party after the office has issued and served upon the
  543  money services business a final order setting forth a finding
  544  that the affiliated party has violated a provision of this
  545  chapter.
  546         (k) Making a material misstatement, misrepresentation, or
  547  omission in an application for licensure, any amendment to such
  548  application, or application for the appointment of an authorized
  549  vendor.
  550         (l) Committing any act that results in a license or its
  551  equivalent, to practice any profession or occupation being
  552  denied, suspended, revoked, or otherwise acted against by a
  553  licensing authority in any jurisdiction.
  554         (m) Being the subject of final agency action or its
  555  equivalent, issued by an appropriate regulator, for engaging in
  556  unlicensed activity as a money services business or deferred
  557  presentment provider in any jurisdiction.
  558         (n) Committing any act resulting in a license or its
  559  equivalent to practice any profession or occupation being
  560  denied, suspended, revoked, or otherwise acted against by a
  561  licensing authority in any jurisdiction for a violation of 18
  562  U.S.C. s. 1956, 18 U.S.C. s. 1957, 18 U.S.C. s. 1960, 31 U.S.C.
  563  s. 5324, or any other law or rule of another state or of the
  564  United States relating to a money services business, deferred
  565  presentment provider, or usury that may cause the denial,
  566  suspension, or revocation of a money services business or
  567  deferred presentment provider license or its equivalent in such
  568  jurisdiction.
  569         (o) Having been convicted of, or entered a plea of guilty
  570  or nolo contendere to, any felony or crime punishable by
  571  imprisonment of 1 year or more under the law of any state or the
  572  United States which involves fraud, moral turpitude, or
  573  dishonest dealing, regardless of adjudication.
  574         (p) Having been convicted of, or entered a plea of guilty
  575  or nolo contendere to, a crime under 18 U.S.C. s. 1956 or 31
  576  U.S.C. s. 5318, s. 5322, or s. 5324, regardless of adjudication.
  577         (q) Having been convicted of, or entered a plea of guilty
  578  or nolo contendere to, misappropriation, conversion, or unlawful
  579  withholding of moneys belonging to others, regardless of
  580  adjudication.
  581         (r)Having been convicted of, or entered a plea of guilty
  582  or nolo contendere to, a violation of 31 C.F.R. chapter X, part
  583  1022, regardless of adjudication.
  584         (s)(r) Failure to inform the office in writing within 30
  585  days after having pled guilty or nolo contendere to, or being
  586  convicted of, any felony or crime punishable by imprisonment of
  587  1 year or more under the law of any state or the United States,
  588  or any crime involving fraud, moral turpitude, or dishonest
  589  dealing.
  590         (t)(s) Aiding, assisting, procuring, advising, or abetting
  591  any person in violating a provision of this chapter or any order
  592  or rule of the office or commission.
  593         (u)(t) Failure to pay any fee, charge, or cost imposed or
  594  assessed under this chapter.
  595         (v)(u) Failing to pay a fine assessed by the office within
  596  30 days after the due date as stated in a final order.
  597         (w)(v) Failure to pay any judgment entered by any court
  598  within 30 days after the judgment becomes final.
  599         (x)(w) Engaging or advertising engagement in the business
  600  of a money services business or deferred presentment provider
  601  without a license, unless exempted from licensure.
  602         (y)(x) Payment to the office for a license or other fee,
  603  charge, cost, or fine with a check or electronic transmission of
  604  funds that is dishonored by the applicant’s or licensee’s
  605  financial institution.
  606         (z)(y) Violations of 31 C.F.R. ss. 1010.306, 1010.311,
  607  1010.312, 1010.340, 1010.410, 1010.415, 1022.210, 1022.320,
  608  1022.380, and 1022.410, and United States Treasury Interpretive
  609  Release 2004-1.
  610         (aa)(z) Any practice or conduct that creates the likelihood
  611  of a material loss, insolvency, or dissipation of assets of a
  612  money services business or otherwise materially prejudices the
  613  interests of its customers.
  614         (bb)(aa) Failure of a check casher to maintain a federally
  615  insured depository account as required by s. 560.309.
  616         (cc)(bb) Failure of a check casher to deposit into its own
  617  federally insured depository account any payment instrument
  618  cashed as required by s. 560.309.
  619         (dd)(cc) Violating any provision of the Military Lending
  620  Act, 10 U.S.C. s. 987, or the regulations adopted under that act
  621  in 32 C.F.R. part 232, in connection with a deferred presentment
  622  transaction conducted under part IV of this chapter.
  623         (ee)Failure to comply with the notification requirements
  624  in s. 501.171(3) and (4).
  625         (2) Pursuant to s. 120.60(6), The office shall issue an
  626  emergency suspension order suspending may summarily suspend the
  627  license of a money services business if the office finds that a
  628  licensee poses a danger deemed by the Legislature to be an
  629  immediate and, serious danger to the public health, safety, and
  630  welfare. A proceeding in which the office seeks the issuance of
  631  a final order for the summary suspension of a licensee shall be
  632  conducted by the commissioner of the office, or his or her
  633  designee, who shall issue such order.
  634         (a) An emergency suspension order under this subsection may
  635  be issued without prior notice and an opportunity to be heard.
  636  An emergency suspension order must:
  637         1. State the grounds on which the order is based;
  638         2. Advise the licensee against whom the order is directed
  639  that the order takes effect immediately and, to the extent
  640  applicable, requires the licensee to immediately cease and
  641  desist from the conduct or violation that is the subject of the
  642  order or to take the affirmative action stated in the order as
  643  necessary to correct a condition resulting from the conduct or
  644  violation or as otherwise appropriate;
  645         3. Be delivered by personal delivery or sent by certified
  646  mail, return receipt requested, to the licensee against whom the
  647  order is directed at the licensee’s last known address; and
  648         4. Include a notice that the licensee subject to the
  649  emergency suspension order may seek judicial review pursuant to
  650  s. 120.68.
  651         (b) An emergency suspension order is effective as soon as
  652  the licensee against whom the order is directed has actual or
  653  constructive knowledge of the issuance of the order.
  654         (c) The office shall institute timely proceedings under ss.
  655  120.569 and 120.57 after issuance of an emergency suspension
  656  order.
  657         (d) A licensee subject to an emergency suspension order may
  658  seek judicial review pursuant to s. 120.68.
  659         (e) The following acts are deemed by the Legislature to
  660  constitute an immediate and serious danger to the public health,
  661  safety, and welfare, and the office shall may immediately issue
  662  an emergency suspension order to suspend the license of a money
  663  services business if:
  664         1.(a) The money services business fails to provide to the
  665  office, upon written request, any of the records required by s.
  666  560.123, s. 560.1235, s. 560.211, or s. 560.310 or any rule
  667  adopted under those sections. The suspension may be rescinded if
  668  the licensee submits the requested records to the office.
  669         2.(b) The money services business fails to maintain a
  670  federally insured depository account as required by s.
  671  560.208(4) or s. 560.309.
  672         3.(c) A natural person required to be listed on the license
  673  application for a money services business pursuant to s.
  674  560.141(1)(a)3. is criminally charged with, or arrested for, a
  675  crime described in paragraph (1)(o), paragraph (1)(p), or
  676  paragraph(1)(q).
  677         Section 11. Section 560.1311, Florida Statutes, is created
  678  to read:
  679         560.1311Information security programs.—
  680         (1)DEFINITIONS.—As used in this section, the term:
  681         (a)“Customer” means a person who seeks to obtain or who
  682  obtains or has obtained a financial product or service from a
  683  licensee.
  684         (b)“Customer information” means any record containing
  685  nonpublic personal information about a customer of a financial
  686  transaction, whether on paper, electronic, or in other forms,
  687  which is handled or maintained by or on behalf of the licensee
  688  or its affiliates.
  689         (c)“Cybersecurity event” means an event resulting in
  690  unauthorized access to, or disruption or misuse of, an
  691  information system or customer information stored on such
  692  information system. The term does not include the unauthorized
  693  acquisition of encrypted customer information if the encryption
  694  process or key is not also acquired, released, or used without
  695  authorization. The term does not include an event with regard to
  696  which the licensee has determined that the customer information
  697  accessed by an unauthorized person has not been used or released
  698  and has been returned or destroyed.
  699         (d)“Encrypted” means the transformation of data into a
  700  form that results in a low probability of assigning meaning
  701  without the use of a protective process or key.
  702         (e)“Financial product or service” means any product or
  703  service offered by a licensee under this chapter.
  704         (f)“Information security program” means the
  705  administrative, technical, or physical safeguards used to
  706  access, collect, distribute, process, protect, store, use,
  707  transmit, dispose of, or otherwise handle customer information.
  708         (g)“Information system” means a discrete set of electronic
  709  information resources organized for the collection, processing,
  710  maintenance, use, sharing, dissemination, or disposition of
  711  electronic information, as well as any specialized system such
  712  as an industrial process control system, telephone switching and
  713  private branch exchange system, or environmental control system,
  714  which contain customer information or which are connected to a
  715  system that contains customer information.
  716         (h)“Licensee” means a person licensed under this chapter.
  717         (i)1.“Nonpublic personal information” means:
  718         a.Personally identifiable financial information; and
  719         b.Any list, description, or other grouping of customers
  720  which is derived using any personally identifiable financial
  721  information that is not publicly available, such as account
  722  numbers, including any list of individuals’ names and street
  723  addresses which is derived, in whole or in part, using
  724  personally identifiable financial information that is not
  725  publicly available.
  726         2.The term does not include:
  727         a.Publicly available information, except as included on a
  728  list, description, or other grouping of customers described in
  729  sub-subparagraph 1.b.;
  730         b.Any list, description, or other grouping of consumers,
  731  or any publicly available information pertaining to such list,
  732  description, or other grouping of consumers, which is derived
  733  without using any personally identifiable financial information
  734  that is not publicly available; or
  735         c.Any list of individuals’ names and addresses which
  736  contains only publicly available information, is not derived, in
  737  whole or in part, using personally identifiable financial
  738  information that is not publicly available, and is not disclosed
  739  in a manner that indicates that any of the individuals on the
  740  list is a customer of a licensee.
  741         3.As used in this paragraph, the term:
  742         a.(I)“Personally identifiable financial information” means
  743  any information that:
  744         (A)A customer provides to a licensee to obtain a financial
  745  product or service, such as information that a customer provides
  746  to a licensee on an application to obtain a loan or other
  747  financial product or service;
  748         (B)A licensee receives about a consumer which is obtained
  749  during or as a result of any transaction involving a financial
  750  product or service between the licensee and the customer, such
  751  as information collected through an information-collecting
  752  device from a web server; or
  753         (C)A licensee otherwise obtains about a customer in
  754  connection with providing a financial product or service to the
  755  customer, such as the fact that an individual is or has been one
  756  of the licensee’s customers or has obtained a financial product
  757  or service from the licensee.
  758         (II)The term “personally identifiable financial
  759  information” does not include:
  760         (A)A list of names and addresses of customers of an entity
  761  that is not a financial institution; or
  762         (B)Information that does not identify a customer, such as
  763  blind data or aggregate information that does not contain
  764  personal identifiers such as account numbers, names, or
  765  addresses.
  766         b.(I)“Publicly available information” means any
  767  information that a licensee has a reasonable basis to believe is
  768  lawfully made available to the general public from:
  769         (A)Federal, state, or local government records, such as
  770  government real estate records or security interest filings;
  771         (B)Widely distributed media, such as information from a
  772  telephone records repository or directory, a television or radio
  773  program, a newspaper, a social media platform, or a website that
  774  is available to the general public on an unrestricted basis. A
  775  website is not restricted merely because an Internet service
  776  provider or a site operator requires a fee or a password, so
  777  long as access is available to the general public; or
  778         (C)Disclosures to the general public which are required to
  779  be made by federal, state, or local law.
  780         (II)As used in this sub-subparagraph, the term “reasonable
  781  basis to believe is lawfully made available to the general
  782  public” relating to any information means that the person has
  783  taken steps to determine:
  784         (A)That the information is of the type that is available
  785  to the general public, such as information included on the
  786  public record in the jurisdiction where the mortgage would be
  787  recorded; and
  788         (B)Whether an individual can direct that the information
  789  not be made available to the general public and, if so, the
  790  customer to whom the information relates has not done so, such
  791  as when a telephone number is listed in a telephone directory
  792  and the customer has informed the licensee that the telephone
  793  number is not unlisted.
  794         (j)“Third-party service provider” means a person, other
  795  than a licensee, which contracts with a licensee to maintain,
  796  process, or store nonpublic personal information, or is
  797  otherwise permitted access to nonpublic personal information
  798  through its provision of services to a licensee.
  799         (2)INFORMATION SECURITY PROGRAM.—
  800         (a)Each licensee shall develop, implement, and maintain a
  801  comprehensive written information security program that contains
  802  administrative, technical, and physical safeguards for the
  803  protection of the licensee’s information system and nonpublic
  804  personal information.
  805         (b)Each licensee shall ensure that the information
  806  security program meets all of the following criteria:
  807         1.Be commensurate with the following measures:
  808         a.Size and complexity of the licensee.
  809         b.Nature and scope of the licensee’s activities, including
  810  the licensee’s use of third-party service providers.
  811         c.Sensitivity of nonpublic personal information that is
  812  used by the licensee or that is in the licensee’s possession,
  813  custody, or control.
  814         2.Be designed to do all of the following:
  815         a.Protect the security and confidentiality of nonpublic
  816  personal information and the security of the licensee’s
  817  information system.
  818         b.Protect against threats or hazards to the security or
  819  integrity of nonpublic personal information and the licensee’s
  820  information system.
  821         c.Protect against unauthorized access to or the use of
  822  nonpublic personal information and minimize the likelihood of
  823  harm to any customer.
  824         3.Define and periodically reevaluate the retention
  825  schedule and the mechanism for the destruction of nonpublic
  826  personal information if retention is no longer necessary for the
  827  licensee’s business operations or is no longer required by
  828  applicable law.
  829         4.Regularly test and monitor systems and procedures for
  830  the detection of actual and attempted attacks on, or intrusions
  831  into, the licensee’s information system.
  832         5.Be monitored, evaluated, and adjusted, as necessary, to
  833  meet all of the following requirements:
  834         a.Determine whether the licensee’s information security
  835  program is consistent with relevant changes in technology.
  836         b.Confirm the licensee’s information security program
  837  accounts for the sensitivity of nonpublic personal information.
  838         c.Identify changes that may be necessary to the licensee’s
  839  information system.
  840         d.Mitigate any internal or external threats to nonpublic
  841  personal information.
  842         e.Amend the licensee’s information security program for
  843  any material changes to the licensee’s business arrangements,
  844  including, but not limited to, mergers and acquisitions,
  845  alliances and joint ventures, and outsourcing arrangements.
  846         (c)1.As part of a licensee’s information security program,
  847  the licensee shall establish a written incident response plan
  848  designed to promptly respond to, and recover from, a
  849  cybersecurity event that compromises:
  850         a.The confidentiality, integrity, or availability of
  851  nonpublic personal information in the licensee’s possession;
  852         b.The licensee’s information system; or
  853         c.The continuing functionality of any aspect of the
  854  licensee’s operations.
  855         2.The written incident response plan must address all of
  856  the following:
  857         a.The licensee’s internal process for responding to a
  858  cybersecurity event.
  859         b.The goals of the licensee’s incident response plan.
  860         c.The assignment of clear roles, responsibilities, and
  861  levels of decisionmaking authority for the licensee’s personnel
  862  that participate in the incident response plan.
  863         d.External communications, internal communications, and
  864  information sharing related to a cybersecurity event.
  865         e.The identification of remediation requirements for
  866  weaknesses identified in information systems and associated
  867  controls.
  868         f.The documentation and reporting regarding cybersecurity
  869  events and related incident response activities.
  870         g.The evaluation and revision of the incident response
  871  plan, as appropriate, following a cybersecurity event.
  872         h.The process by which notice must be given as required
  873  under subsection (3) and s. 501.171(3) and (4).
  874         (d)1.This section does not apply to a licensee that has
  875  fewer than:
  876         a.Twenty individuals on its workforce, including employees
  877  and independent contractors; or
  878         b.Five hundred customers during a calendar year.
  879         2.A licensee that no longer qualifies for exemption under
  880  subparagraph 1. has 180 calendar days to comply with this
  881  section after the date of the disqualification.
  882         (e)Each licensee shall maintain a copy of the information
  883  security program for a minimum of 5 years and shall make it
  884  available to the office upon request or as part of an
  885  examination.
  886         (3)NOTICE TO OFFICE OF SECURITY BREACH.—Each licensee
  887  shall provide notice to the office of any breach of security, as
  888  defined in s. 501.171(1), affecting 500 or more individuals in
  889  this state at a time and in the manner prescribed by commission
  890  rule.
  891         (4)CONSTRUCTION.—This section may not be construed to
  892  relieve a covered entity from complying with s. 501.171. To the
  893  extent a licensee is a covered entity, as defined in s.
  894  501.171(1), the licensee remains subject to s. 501.171.
  895         (5)RULES.—The commission shall adopt rules to administer
  896  this section, including rules that allow a licensee that is in
  897  compliance with the Federal Trade Commission’s Standards for
  898  Safeguarding Customer Information, 16 C.F.R. part 314, to be
  899  deemed in compliance with subsection (2).
  900         Section 12. Subsection (10) of section 560.309, Florida
  901  Statutes, is amended to read:
  902         560.309 Conduct of business.—
  903         (10) If a check is returned to a licensee from a payor
  904  financial institution due to lack of funds, a closed account, or
  905  a stop-payment order, the licensee may seek collection pursuant
  906  to s. 68.065. In seeking collection, the licensee must comply
  907  with the prohibitions against harassment or abuse, false or
  908  misleading representations, and unfair practices in the Florida
  909  Consumer Collection Practices Act under part VI of chapter 559,
  910  including s. 559.77. The licensee must also comply with the Fair
  911  Debt Collections Practices Act, 15 U.S.C. ss. 1692d, 1692e, and
  912  1692f if the licensee uses a third-party debt collector or any
  913  name other than its own to collect such debts. A violation of
  914  this subsection is a deceptive and unfair trade practice and
  915  constitutes a violation of the Deceptive and Unfair Trade
  916  Practices Act under part II of chapter 501. In addition, a
  917  licensee must comply with the applicable provisions of the
  918  Consumer Collection Practices Act under part VI of chapter 559,
  919  including s. 559.77.
  920         Section 13. Subsection (3) of section 560.405, Florida
  921  Statutes, is amended to read:
  922         560.405 Deposit; redemption.—
  923         (3) Notwithstanding subsection (1), in lieu of presentment,
  924  a deferred presentment provider may allow the check to be
  925  redeemed at any time upon payment of the outstanding transaction
  926  balance and earned fees. Redemption in cash must be treated in
  927  the same manner as redemption through a debit card transaction.
  928  However, payment may not be made in the form of a personal check
  929  or through a credit card transaction. Upon redemption, the
  930  deferred presentment provider must return the drawer’s check and
  931  provide a signed, dated receipt showing that the drawer’s check
  932  has been redeemed.
  933         Section 14. Subsection (2) of section 560.406, Florida
  934  Statutes, is amended to read:
  935         560.406 Worthless checks.—
  936         (2) If a check is returned to a deferred presentment
  937  provider from a payor financial institution due to insufficient
  938  funds, a closed account, or a stop-payment order, the deferred
  939  presentment provider may pursue all legally available civil
  940  remedies to collect the check, including, but not limited to,
  941  the imposition of all charges imposed on the deferred
  942  presentment provider by the financial institution. In its
  943  collection practices, a deferred presentment provider must
  944  comply with the prohibitions against harassment or abuse, false
  945  or misleading representations, and unfair practices that are
  946  contained in the Florida Consumer Collection Practices Act under
  947  part VI of chapter 559, including s. 559.77. A deferred
  948  presentment provider must also comply with the Fair Debt
  949  Collections Practices Act, 15 U.S.C. ss. 1692d, 1692e, and 1692f
  950  if the deferred presentment provider uses a third-party debt
  951  collector or any name other than its own to collect such debts.
  952  A violation of this act is a deceptive and unfair trade practice
  953  and constitutes a violation of the Deceptive and Unfair Trade
  954  Practices Act under part II of chapter 501. In addition, a
  955  deferred presentment provider must comply with the applicable
  956  provisions of the Consumer Collection Practices Act under part
  957  VI of chapter 559, including s. 559.77.
  958         Section 15. Section 655.0171, Florida Statutes, is created
  959  to read:
  960         655.0171Requirements for customer data security and for
  961  notices of security breaches.—
  962         (1)DEFINITIONS.—As used in this section, the term:
  963         (a)“Breach of security” or “breach” means unauthorized
  964  access of data in electronic form containing personal
  965  information. Good faith access of personal information by an
  966  employee or agent of a financial institution does not constitute
  967  a breach of security, provided that the information is not used
  968  for a purpose unrelated to the business or subject to further
  969  unauthorized use. As used in this paragraph, the term “data in
  970  electronic form” means any data stored electronically or
  971  digitally on any computer system or other database and includes
  972  recordable tapes and other mass storage devices.
  973         (b)“Department” means the Department of Legal Affairs.
  974         (c)1.“Personal information” means:
  975         a.An individual’s first name, or first initial, and last
  976  name, in combination with any of the following data elements for
  977  that individual:
  978         (I)A social security number;
  979         (II)A driver license or identification card number,
  980  passport number, military identification number, or other
  981  similar number issued on a government document used to verify
  982  identity;
  983         (III)A financial account number or credit or debit card
  984  number, in combination with any required security code, access
  985  code, or password that is necessary to permit access to the
  986  individual’s financial account;
  987         (IV)The individual’s biometric data as defined in s.
  988  501.702; or
  989         (V)Any information regarding the individual’s geolocation;
  990  or
  991         b.A username or e-mail address, in combination with a
  992  password or security question and answer that would permit
  993  access to an online account.
  994         2.The term does not include information about an
  995  individual which has been made publicly available by a federal,
  996  state, or local governmental entity. The term also does not
  997  include information that is encrypted, secured, or modified by
  998  any other method or technology that removes elements that
  999  personally identify an individual or that otherwise renders the
 1000  information unusable.
 1001         (2)REQUIREMENTS FOR DATA SECURITY.—Each financial
 1002  institution shall take reasonable measures to protect and secure
 1003  data that are in electronic form and that contain personal
 1004  information.
 1005         (3)NOTICE TO OFFICE AND DEPARTMENT OF SECURITY BREACH.—
 1006         (a)1.Each financial institution shall provide notice to
 1007  the office of any breach of security affecting 500 or more
 1008  individuals in this state. Such notice must be provided to the
 1009  office as expeditiously as practicable, but no later than 30
 1010  days after the determination of the breach or the determination
 1011  of a reason to believe that a breach has occurred.
 1012         2.The written notice to the office must include the items
 1013  required under s. 501.171(3)(b).
 1014         3.A financial institution must provide the following
 1015  information to the office upon its request:
 1016         a.A police report, incident report, or computer forensics
 1017  report.
 1018         b.A copy of the policies in place regarding breaches.
 1019         c. Steps that have been taken to rectify the breach.
 1020         4.A financial institution may provide the office with
 1021  supplemental information regarding a breach at any time.
 1022         (b)Each financial institution shall provide notice to the
 1023  department of any breach of security affecting 500 or more
 1024  individuals in this state. Such notice must be provided to the
 1025  department in accordance with s. 501.171.
 1026         (4)NOTICE TO INDIVIDUALS OF SECURITY BREACH.—Each
 1027  financial institution shall give notice to each individual in
 1028  this state whose personal information was, or the financial
 1029  institution reasonably believes to have been, accessed as a
 1030  result of the breach in accordance with s. 501.171(4). The
 1031  notice must be provided no later than 30 days after the
 1032  determination of the breach or the determination of a reason to
 1033  believe that a breach has occurred. A financial institution may
 1034  receive 15 additional days to provide notice to individuals of a
 1035  security breach as required in this subsection if good cause for
 1036  delay is provided in writing to the office within 30 days after
 1037  determination of the breach or determination of the reason to
 1038  believe that a breach has occurred.
 1039         (5)NOTICE TO CREDIT REPORTING AGENCIES.—If a financial
 1040  institution discovers circumstances requiring notice pursuant to
 1041  this section of more than 1,000 individuals at a single time,
 1042  the financial institution shall also notify, without
 1043  unreasonable delay, all consumer reporting agencies that compile
 1044  and maintain files on consumers on a nationwide basis, as
 1045  defined in the Fair Credit Reporting Act, 15 U.S.C. s. 1681a(p),
 1046  of the timing, distribution, and content of the notices.
 1047         Section 16. Present subsections (3), (4), and (5) of
 1048  section 655.032, Florida Statutes, are redesignated as
 1049  subsections (4), (5), and (6), respectively, and a new
 1050  subsection (3) is added to that section, to read:
 1051         655.032 Investigations, subpoenas, hearings, and
 1052  witnesses.—
 1053         (3) The office may consider or use as part of any
 1054  investigation pursuant to this section the information contained
 1055  in any suspected financial exploitation report or any records
 1056  generated as a result of such report which is obtained pursuant
 1057  to s. 415.106(4).
 1058         Section 17. Present paragraphs (c) through (f) of
 1059  subsection (1) of section 655.045, Florida Statutes, are
 1060  redesignated as paragraphs (d) through (g), respectively, a new
 1061  paragraph (c) is added to that subsection, and present paragraph
 1062  (d) of that subsection is amended, to read:
 1063         655.045 Examinations, reports, and internal audits;
 1064  penalty.—
 1065         (1) The office shall conduct an examination of the
 1066  condition of each state financial institution at least every 18
 1067  months. The office may conduct more frequent examinations based
 1068  upon the risk profile of the financial institution, prior
 1069  examination results, or significant changes in the institution
 1070  or its operations. The office may use continuous, phase, or
 1071  other flexible scheduling examination methods for very large or
 1072  complex state financial institutions and financial institutions
 1073  owned or controlled by a multi-financial institution holding
 1074  company. The office shall consider examination guidelines from
 1075  federal regulatory agencies in order to facilitate, coordinate,
 1076  and standardize examination processes.
 1077         (c) The office may consider or use as part of any
 1078  examination conducted pursuant to this section the information
 1079  contained in any suspected financial exploitation report or any
 1080  records generated as a result of such report which is obtained
 1081  pursuant to s. 415.106(4).
 1082         (e)(d) As used in this section, the term “costs” means the
 1083  
 1084  ================= T I T L E  A M E N D M E N T ================
 1085  And the title is amended as follows:
 1086         Delete lines 3 - 72
 1087  and insert:
 1088         amending s. 415.106, F.S.; requiring the Department of
 1089         Children and Families to cooperate with and seek
 1090         cooperation from the Office of Financial Regulation
 1091         concerning certain protective investigations of
 1092         suspected financial exploitation of specified adults;
 1093         requiring the department to provide copies of certain
 1094         suspected financial exploitation reports to the office
 1095         within a certain timeframe; authorizing the department
 1096         to provide copies of certain records at the request of
 1097         the office within a specified timeframe; authorizing
 1098         the office to use such reports or records as required
 1099         or authorized in certain provisions; specifying that
 1100         certain confidentiality provisions that apply to the
 1101         department apply to the records of the office and its
 1102         employees and agents; authorizing the department and
 1103         the office to enter into a specified memorandum of
 1104         agreement; amending s. 415.107, F.S.; revising the
 1105         persons, officials, and agencies granted access to
 1106         certain records relating to vulnerable adults;
 1107         creating s. 494.00123, F.S.; defining terms; requiring
 1108         loan originators, mortgage brokers, and mortgage
 1109         lenders to develop, implement, and maintain
 1110         comprehensive written information security programs
 1111         for the protection of information systems and
 1112         nonpublic personal information; providing requirements
 1113         for such programs; requiring loan originators,
 1114         mortgage brokers, and mortgage lenders to establish
 1115         written incident response plans for specified
 1116         purposes; providing requirements for such plans;
 1117         providing applicability; providing compliance
 1118         requirements under specified circumstances; requiring
 1119         loan originators, mortgage brokers, and mortgage
 1120         lenders to maintain copies of information security
 1121         programs for a specified timeframe and to make them
 1122         available to the office under certain circumstances;
 1123         specifying requirements for notices of security
 1124         breaches; providing construction; requiring the
 1125         Financial Services Commission to adopt rules; amending
 1126         s. 494.00255, F.S.; providing additional acts that
 1127         constitute a ground for specified disciplinary actions
 1128         against loan originators and mortgage brokers;
 1129         amending s. 517.021, F.S.; revising the definition of
 1130         the term “investment adviser”; defining terms;
 1131         amending s. 517.061, F.S.; defining terms; amending s.
 1132         517.201, F.S.; authorizing the office to make
 1133         investigations and examinations to aid the Department
 1134         of Children and Families with certain protective
 1135         investigations; authorizing the office to consider or
 1136         use certain information as part of certain
 1137         investigations and examinations; amending s. 517.34,
 1138         F.S.; revising the information required to be
 1139         contained in the form by which a dealer or investment
 1140         advisor notifies the office of certain delayed
 1141         disbursements or transactions of funds or securities;
 1142         providing construction; creating s. 520.135, F.S.;
 1143         specifying that the rights and obligations of parties
 1144         with respect to a surrendered or repossessed motor
 1145         vehicle are exclusively governed by certain
 1146         provisions; amending s. 560.114, F.S.; specifying the
 1147         entities that are subject to certain disciplinary
 1148         actions and penalties; revising the list of actions by
 1149         money services businesses which constitute grounds for
 1150         certain disciplinary actions and penalties; specifying
 1151         requirements for emergency suspension orders that
 1152         suspend money services business licenses; providing
 1153         that an emergency suspension order is effective when
 1154         the licensee against whom the order is directed has
 1155         actual or constructive knowledge of the order;
 1156         requiring the office to institute timely proceedings
 1157         after issuance of an emergency suspension order;
 1158         authorizing a licensee subject to an emergency
 1159         suspension order to seek judicial review; requiring,
 1160         rather than authorizing, the office to suspend
 1161         licenses of money services businesses under certain
 1162         circumstances; creating s. 560.1311, F.S.; defining
 1163         terms; requiring money services businesses to develop,
 1164         implement, and maintain comprehensive written
 1165         information security programs for the protection of
 1166         information systems and nonpublic personal
 1167         information; specifying requirements for such
 1168         programs; requiring money services businesses to
 1169         establish written incident response plans for
 1170         specified purposes; specifying requirements for such
 1171         plans; providing applicability; specifying compliance
 1172         requirements under specified circumstances; requiring
 1173         money services businesses to maintain copies of
 1174         information security programs for a specified
 1175         timeframe and to make them available to the office
 1176         under certain circumstances; specifying requirements
 1177         for notices of security breaches; providing
 1178         construction; requiring the commission to adopt rules;
 1179         amending s. 560.309, F.S.; providing that licensees
 1180         must comply with the Fair Debt Collections Practices
 1181         Act only if the licensees meet certain criteria;
 1182         amending s. 560.405, F.S.; specifying that redemption
 1183         in cash must be treated in the same manner as
 1184         redemption through debt card transactions; prohibiting
 1185         redemption through a credit card transaction; amending
 1186         s. 560.406, F.S.; providing that licensees must comply
 1187         with the Fair Debt Collections Practices Act only if
 1188         the licensees meet certain criteria; creating s.
 1189         655.0171, F.S.; defining terms; requiring financial
 1190         institutions to take measures to protect and secure
 1191         certain data that contain personal information;
 1192         providing requirements for notices of security
 1193         breaches to the office, the Department of Legal
 1194         Affairs, certain individuals, and certain credit
 1195         reporting agencies; amending s. 655.032, F.S.;
 1196         authorizing the office to consider or use certain
 1197         information as part of certain investigations;
 1198         amending s. 655.045, F.S.; authorizing the office to
 1199         consider or use certain information as part of certain
 1200         investigations; revising the timeline for