Florida Senate - 2009                        COMMITTEE AMENDMENT
       Bill No. CS for SB 1950
       
       
       
       
       
       
                                Barcode 385014                          
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  04/17/2009           .                                
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       The Policy and Steering Committee on Ways and Means (Justice)
       recommended the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3  
    4         Between lines 602 and 603
    5  insert:
    6         Section 2. Section 215.5586, Florida Statutes, as amended
    7  by section 1 of chapter 2009-10, Laws of Florida, is amended to
    8  read:
    9         215.5586 My Safe Florida Home Program.—There is established
   10  within the Department of Financial Services the My Safe Florida
   11  Home Program. The department shall provide fiscal
   12  accountability, contract management, and strategic leadership
   13  for the program, consistent with this section. This section does
   14  not create an entitlement for property owners or obligate the
   15  state in any way to fund the inspection or retrofitting of
   16  residential property in this state. Implementation of this
   17  program is subject to annual legislative appropriations. It is
   18  the intent of the Legislature that the My Safe Florida Home
   19  Program provide trained and certified inspectors to perform
   20  inspections for owners of for at least 400,000 site-built,
   21  single-family, residential properties and provide grants to
   22  eligible at least 35,000 applicants as funding allows before
   23  June 30, 2009. The program shall develop and implement a
   24  comprehensive and coordinated approach for hurricane damage
   25  mitigation that may shall include the following:
   26         (1) HURRICANE MITIGATION INSPECTIONS.
   27         (a) Certified inspectors to provide free home-retrofit
   28  inspections of site-built, single-family, residential property
   29  may shall be offered throughout the state to determine what
   30  mitigation measures are needed, what insurance premium discounts
   31  may be available, and what improvements to existing residential
   32  properties are needed to reduce the property’s vulnerability to
   33  hurricane damage. The Department of Financial Services shall
   34  contract with wind certification entities to provide free
   35  hurricane mitigation inspections. The inspections provided to
   36  homeowners, at a minimum, must include:
   37         1. A home inspection and report that summarizes the results
   38  and identifies recommended improvements a homeowner may take to
   39  mitigate hurricane damage.
   40         2. A range of cost estimates regarding the recommended
   41  mitigation improvements.
   42         3. Insurer-specific information regarding premium discounts
   43  correlated to the current mitigation features and the
   44  recommended mitigation improvements identified by the
   45  inspection.
   46         4. A hurricane resistance rating scale specifying the
   47  home’s current as well as projected wind resistance
   48  capabilities. As soon as practical, the rating scale must be the
   49  uniform home grading scale adopted by the Financial Services
   50  Commission pursuant to s. 215.55865.
   51         (b) To qualify for selection by the department as a wind
   52  certification entity to provide hurricane mitigation
   53  inspections, the entity shall, at a minimum, meet the following
   54  requirements:
   55         1. Use hurricane mitigation inspectors who:
   56         a. Are certified as a building inspector under s. 468.607;
   57         b. Are licensed as a general or residential contractor
   58  under s. 489.111;
   59         c. Are licensed as a professional engineer under s. 471.015
   60  and who have passed the appropriate equivalency test of the
   61  Building Code Training Program as required by s. 553.841;
   62         d. Are licensed as a professional architect under s.
   63  481.213; or
   64         e. Have at least 2 years of experience in residential
   65  construction or residential building inspection and have
   66  received specialized training in hurricane mitigation
   67  procedures. Such training may be provided by a class offered
   68  online or in person.
   69         2. Use hurricane mitigation inspectors who also:
   70         a. Have undergone drug testing and level 2 background
   71  checks pursuant to s. 435.04. The department may conduct
   72  criminal record checks of inspectors used by wind certification
   73  entities. Inspectors must submit a set of the fingerprints to
   74  the department for state and national criminal history checks
   75  and must pay the fingerprint processing fee set forth in s.
   76  624.501. The fingerprints shall be sent by the department to the
   77  Department of Law Enforcement and forwarded to the Federal
   78  Bureau of Investigation for processing. The results shall be
   79  returned to the department for screening. The fingerprints shall
   80  be taken by a law enforcement agency, designated examination
   81  center, or other department-approved entity; and
   82         b. Have been certified, in a manner satisfactory to the
   83  department, to conduct the inspections.
   84         3. Provide a quality assurance program including a
   85  reinspection component.
   86         (c) The department shall implement a quality assurance
   87  program that includes a statistically valid number of
   88  reinspections.
   89         (d) An application for an inspection must contain a signed
   90  or electronically verified statement made under penalty of
   91  perjury that the applicant has submitted only a single
   92  application for that home.
   93         (e) The owner of a site-built, single-family, residential
   94  property may apply for and receive an inspection without also
   95  applying for a grant pursuant to subsection (2) and without
   96  meeting the requirements of paragraph (2)(a).
   97         (2) MITIGATION GRANTS.—Financial grants shall be used to
   98  encourage single-family, site-built, owner-occupied, residential
   99  property owners to retrofit their properties to make them less
  100  vulnerable to hurricane damage.
  101         (a) For a homeowner to be eligible for a grant, the
  102  following criteria for persons who have obtained a completed
  103  inspection after May 1, 2007, a residential property must be
  104  met:
  105         1. The homeowner must have been granted a homestead
  106  exemption on the home under chapter 196.
  107         2. The home must be a dwelling with an insured value of
  108  $300,000 or less. Homeowners who are low-income persons, as
  109  defined in s. 420.0004(10), are exempt from this requirement.
  110         3. The home must have undergone an acceptable hurricane
  111  mitigation inspection after May 1, 2007.
  112         4. The home must be located in the “wind-borne debris
  113  region” as that term is defined in s. 1609.2, International
  114  Building Code (2006), or as subsequently amended.
  115         5. Be a home for which The building permit application for
  116  initial construction of the home must have been was made before
  117  March 1, 2002.
  118  
  119  An application for a grant must contain a signed or
  120  electronically verified statement made under penalty of perjury
  121  that the applicant has submitted only a single application and
  122  must have attached documents demonstrating the applicant meets
  123  the requirements of this paragraph.
  124         (b) All grants must be matched on a dollar-for-dollar basis
  125  up to for a total of $10,000 for the actual cost of the
  126  mitigation project with the state’s contribution not to exceed
  127  $5,000.
  128         (c) The program shall create a process in which contractors
  129  agree to participate and homeowners select from a list of
  130  participating contractors. All mitigation must be based upon the
  131  securing of all required local permits and inspections and must
  132  be performed by properly licensed contractors. Mitigation
  133  projects are subject to random reinspection of up to at least 5
  134  percent of all projects. Hurricane mitigation inspectors
  135  qualifying for the program may also participate as mitigation
  136  contractors as long as the inspectors meet the department’s
  137  qualifications and certification requirements for mitigation
  138  contractors.
  139         (d) Matching fund grants shall also be made available to
  140  local governments and nonprofit entities for projects that will
  141  reduce hurricane damage to single-family, site-built, owner
  142  occupied, residential property. The department shall liberally
  143  construe those requirements in favor of availing the state of
  144  the opportunity to leverage funding for the My Safe Florida Home
  145  Program with other sources of funding.
  146         (e) When recommended by a hurricane mitigation inspection,
  147  grants may be used for the following improvements only:
  148         1. Opening protection.
  149         2. Exterior doors, including garage doors.
  150         3. Brace gable ends.
  151         4.Reinforcing roof-to-wall connections.
  152         5.Improving the strength of roof-deck attachments.
  153         6.Upgrading roof covering from code to code plus.
  154         7.Secondary water barrier for roof.
  155  
  156  The department may require that improvements be made to all
  157  openings, including exterior doors and garage doors, as a
  158  condition of reimbursing a homeowner approved for a grant. The
  159  department may adopt, by rule, the maximum grant allowances for
  160  any improvement allowable under this paragraph.
  161         (f) Grants may be used on a previously inspected existing
  162  structure or on a rebuild. A rebuild is defined as a site-built,
  163  single-family dwelling under construction to replace a home that
  164  was destroyed or significantly damaged by a hurricane and deemed
  165  unlivable by a regulatory authority. The homeowner must be a
  166  low-income homeowner as defined in paragraph (g), must have had
  167  a homestead exemption for that home prior to the hurricane, and
  168  must be intending to rebuild the home as that homeowner’s
  169  homestead.
  170         (g) Low-income homeowners, as defined in s. 420.0004(10),
  171  who otherwise meet the requirements of paragraphs (a), (c), (e),
  172  and (f) are eligible for a grant of up to $5,000 and are not
  173  required to provide a matching amount to receive the grant.
  174  Additionally, for low-income homeowners, grant funding may be
  175  used for repair to existing structures leading to any of the
  176  mitigation improvements provided in paragraph (e), limited to 20
  177  percent of the grant value. The program may accept a
  178  certification directly from a low-income homeowner that the
  179  homeowner meets the requirements of s. 420.0004(10) if the
  180  homeowner provides such certification in a signed or
  181  electronically verified statement made under penalty of perjury.
  182         (h) The department shall establish objective, reasonable
  183  criteria for prioritizing grant applications, consistent with
  184  the requirements of this section.
  185         (i) The department shall develop a process that ensures the
  186  most efficient means to collect and verify grant applications to
  187  determine eligibility and may direct hurricane mitigation
  188  inspectors to collect and verify grant application information
  189  or use the Internet or other electronic means to collect
  190  information and determine eligibility.
  191         (3) EDUCATION AND CONSUMER AWARENESS.—The department may
  192  undertake a statewide multimedia public outreach and advertising
  193  campaign to inform consumers of the availability and benefits of
  194  hurricane inspections and of the safety and financial benefits
  195  of residential hurricane damage mitigation. The department may
  196  seek out and use local, state, federal, and private funds to
  197  support the campaign.
  198         (4) ADVISORY COUNCIL.—There is created an advisory council
  199  to provide advice and assistance to the department regarding
  200  administration of the program. The advisory council shall
  201  consist of:
  202         (a) A representative of lending institutions, selected by
  203  the Financial Services Commission from a list of at least three
  204  persons recommended by the Florida Bankers Association.
  205         (b) A representative of residential property insurers,
  206  selected by the Financial Services Commission from a list of at
  207  least three persons recommended by the Florida Insurance
  208  Council.
  209         (c) A representative of home builders, selected by the
  210  Financial Services Commission from a list of at least three
  211  persons recommended by the Florida Home Builders Association.
  212         (d) A faculty member of a state university, selected by the
  213  Financial Services Commission, who is an expert in hurricane
  214  resistant construction methodologies and materials.
  215         (e) Two members of the House of Representatives, selected
  216  by the Speaker of the House of Representatives.
  217         (f) Two members of the Senate, selected by the President of
  218  the Senate.
  219         (g) The Chief Executive Officer of the Federal Alliance for
  220  Safe Homes, Inc., or his or her designee.
  221         (h) The senior officer of the Florida Hurricane Catastrophe
  222  Fund.
  223         (i) The executive director of Citizens Property Insurance
  224  Corporation.
  225         (j) The director of the Florida Division of Emergency
  226  Management of the Department of Community Affairs.
  227  
  228  Members appointed under paragraphs (a)-(d) shall serve at the
  229  pleasure of the Financial Services Commission. Members appointed
  230  under paragraphs (e) and (f) shall serve at the pleasure of the
  231  appointing officer. All other members shall serve as voting ex
  232  officio members. Members of the advisory council shall serve
  233  without compensation but may receive reimbursement as provided
  234  in s. 112.061 for per diem and travel expenses incurred in the
  235  performance of their official duties.
  236         (5) FUNDING.—The department may seek out and leverage
  237  local, state, federal, or private funds to enhance the financial
  238  resources of the program.
  239         (6) RULES.—The Department of Financial Services shall adopt
  240  rules pursuant to ss. 120.536(1) and 120.54 to govern the
  241  program; implement the provisions of this section; including
  242  rules governing hurricane mitigation inspections and grants,
  243  mitigation contractors, and training of inspectors and
  244  contractors; and carry out the duties of the department under
  245  this section.
  246         (7) HURRICANE MITIGATION INSPECTOR LIST.—The department
  247  shall develop and maintain as a public record a current list of
  248  hurricane mitigation inspectors authorized to conduct hurricane
  249  mitigation inspections pursuant to this section.
  250         (8)NO-INTEREST LOANS.—The department shall implement a no
  251  interest loan program by October 1, 2008, contingent upon the
  252  selection of a qualified vendor and execution of a contract
  253  acceptable to the department and the vendor. The department
  254  shall enter into partnerships with the private sector to provide
  255  loans to owners of site-built, single-family, residential
  256  property to pay for mitigation measures listed in subsection
  257  (2). A loan eligible for interest payments pursuant to this
  258  subsection may be for a term of up to 3 years and cover up to
  259  $5,000 in mitigation measures. The department shall pay the
  260  creditor the market rate of interest using funds appropriated
  261  for the My Safe Florida Home Program. In no case shall the
  262  department pay more than the interest rate set by s. 687.03. To
  263  be eligible for a loan, a loan applicant must first obtain a
  264  home inspection and report that specifies what improvements are
  265  needed to reduce the property’s vulnerability to windstorm
  266  damage pursuant to this section and meet loan underwriting
  267  requirements set by the lender. The department may adopt rules
  268  pursuant to ss. 120.536(1) and 120.54 to implement this
  269  subsection which may include eligibility criteria.
  270         (8)(9) PUBLIC OUTREACH FOR CONTRACTORS AND REAL ESTATE
  271  BROKERS AND SALES ASSOCIATES.—The program shall develop
  272  brochures for distribution to general contractors, roofing
  273  contractors, and real estate brokers and sales associates
  274  licensed under part I of chapter 475 explaining the benefits to
  275  homeowners of residential hurricane damage mitigation. The
  276  program shall encourage contractors to distribute the brochures
  277  to homeowners at the first meeting with a homeowner who is
  278  considering contracting for home or roof repairs or contracting
  279  for the construction of a new home. The program shall encourage
  280  real estate brokers and sales associates licensed under part I
  281  of chapter 475 to distribute the brochures to clients prior to
  282  the purchase of a home. The brochures may be made available
  283  electronically.
  284         (9)(10) CONTRACT MANAGEMENT.—The department may contract
  285  with third parties for grants management, inspection services,
  286  contractor services for low-income homeowners, information
  287  technology, educational outreach, and auditing services. Such
  288  contracts shall be considered direct costs of the program and
  289  shall not be subject to administrative cost limits, but
  290  contracts valued at $1 million $500,000 or more shall be subject
  291  to review and approval by the Legislative Budget Commission. The
  292  department shall contract with providers that have a
  293  demonstrated record of successful business operations in areas
  294  directly related to the services to be provided and shall ensure
  295  the highest accountability for use of state funds, consistent
  296  with this section.
  297         (10)(11) INTENT.—It is the intent of the Legislature that
  298  grants made to residential property owners under this section
  299  shall be considered disaster-relief assistance within the
  300  meaning of s. 139 of the Internal Revenue Code of 1986, as
  301  amended.
  302         (11)(12) REPORTS.—The department shall make an annual
  303  report on the activities of the program that shall account for
  304  the use of state funds and indicate the number of inspections
  305  requested, the number of inspections performed, the number of
  306  grant applications received, and the number and value of grants
  307  approved. The report shall be delivered to the President of the
  308  Senate and the Speaker of the House of Representatives by
  309  February 1 of each year.
  310  
  311  ================= T I T L E  A M E N D M E N T ================
  312         And the title is amended as follows:
  313         Delete line 33
  314  and insert:
  315  of the Hurricane Catastrophe Fund; amending s. 215.5586, F.S.;
  316  revising legislative intent; revising criteria for hurricane
  317  mitigation inspections; revising criteria for eligibility for a
  318  mitigation grant; expanding the list of improvements for which
  319  grants may be used; correcting a reference to the Florida
  320  Division of Emergency Management; deleting provisions relating
  321  to no-interest loans; requiring that contracts valued at or
  322  greater than a specified amount be subject to review and
  323  approval of the Legislative Budget Commission; amending s.