The Florida Senate

376.3075  Inland Protection Financing Corporation.--

(1)  There is hereby created a nonprofit public benefit corporation to be known as the "Inland Protection Financing Corporation" for the purpose of financing the rehabilitation of petroleum contamination sites pursuant to ss. 376.30-376.319 and the payment, purchase, and settlement of reimbursement obligations of the department pursuant to s. 376.3071(12), existing as of December 31, 1996. Such reimbursement obligations are referred to in this section as existing reimbursement obligations. The corporation shall terminate on July 1, 2011.

(2)  The corporation shall be governed by a board of directors consisting of the Governor or the Governor's designee, the Chief Financial Officer or the Chief Financial Officer's designee, the chair of the Florida Black Business Investment Board, and the secretary of the Department of Environmental Protection. The executive director of the State Board of Administration shall be the chief executive officer of the corporation and shall direct and supervise the administrative affairs of the corporation and shall control, direct, and supervise the operation of the corporation. The corporation shall also have such other officers as may be determined by the board of directors.

(3)  The corporation shall have all the powers of a corporate body under the laws of the state to the extent not inconsistent with or restricted by the provisions of this section, including, but not limited to, the power to:

(a)  Adopt, amend, and repeal bylaws not inconsistent with this section.

(b)  Sue and be sued.

(c)  Adopt and use a common seal.

(d)  Acquire, purchase, hold, lease, and convey such real and personal property as may be proper or expedient to carry out the purposes of the corporation and this section, and to sell, lease, or otherwise dispose of such property.

(e)  Elect or appoint and employ such officers, agents, and employees as the corporation deems advisable to operate and manage the affairs of the corporation, which officers, agents, and employees may be officers or employees of the department and the state agencies represented on the board of directors of the corporation.

(f)  Borrow money and issue notes, bonds, certificates of indebtedness, or other obligations or evidences of indebtedness necessary to pay the backlog or to reimburse moneys from the Inland Protection Trust Fund used pursuant to subsection (6).

(g)  Make and execute any and all contracts, trust agreements, and other instruments and agreements necessary or convenient to accomplish the purposes of the corporation and this section.

(h)  Select, retain, and employ professionals, contractors, or agents, which may include the Florida State Board of Administration's Division of Bond Finance, as shall be necessary or convenient to enable or assist the corporation in carrying out the purposes of the corporation and this section.

(i)  Do any act or thing necessary or convenient to carry out the purposes of the corporation and this section and the powers provided in this section.

(4)  The corporation is authorized to enter into one or more service contracts with the department pursuant to which the corporation shall provide services to the department in connection with financing the functions and activities provided for in ss. 376.30-376.319. The department may enter into one or more such service contracts with the corporation and to provide for payments under such contracts pursuant to s. 376.3071(4)(o), subject to annual appropriation by the Legislature. The proceeds from such service contracts may be used for the costs and expenses of administration of the corporation after payments as set forth in subsection (5). Each service contract shall have a term not to exceed 10 years and shall terminate no later than July 1, 2011. The aggregate amount payable from the Inland Protection Trust Fund under all such service contracts shall not exceed $65 million in any state fiscal year. Amounts annually appropriated and applied to make payments under such service contracts shall not include any funds derived from penalties or other payments received from any property owner or private party, including payments received from s. 376.3071(6)(b). In compliance with provisions of s. 287.0641 and other applicable provisions of law, the obligations of the department under such service contracts shall not constitute a general obligation of the state or a pledge of the faith and credit or taxing power of the state nor shall such obligations be construed in any manner as an obligation of the State Board of Administration or entities for which it invests funds, other than the department as provided in this section, but shall be payable solely from amounts available in the Inland Protection Trust Fund, subject to annual appropriation. In compliance with this subsection and s. 287.0582, the service contract shall expressly include the following statement: "The State of Florida's performance and obligation to pay under this contract is contingent upon an annual appropriation by the Legislature."

(5)  The corporation may issue and incur notes, bonds, certificates of indebtedness, or other obligations or evidences of indebtedness payable from and secured by amounts payable to the corporation by the department under a service contract entered into pursuant to subsection (4) for the purpose of paying, purchasing, or settling existing reimbursement obligations. The term of any such note, bond, certificate of indebtedness, or other obligation or evidence of indebtedness shall not have a financing term that exceeds 6 years, nor shall the total payments for principal and interest on any such note, bond, certificate of indebtedness, or other obligation or evidence of indebtedness exceed the original amount of approved reimbursement claims to be paid, purchased, or settled by the corporation by more than $50 million. The corporation may select its financing team and issue its obligations through competitive bidding or negotiated contracts, whichever is most cost-effective. Any such indebtedness of the corporation shall not constitute a debt or obligation of the state or a pledge of the faith and credit or taxing power of the state, but shall be payable from and secured by payments made by the department under the service contract pursuant to s. 376.3071(4)(o).

(6)  Upon the issuance of debt obligations by the corporation pursuant to subsection (5) for the payment, purchase, or settlement of existing reimbursement obligations, amounts on deposit in the Inland Protection Trust Fund shall not be available for the payment, purchase, or settlement of existing reimbursement obligations to the extent proceeds of such debt obligations are available for the payment of such existing reimbursement obligations. If, after the initial issuance of debt obligations pursuant to subsection (5), amounts on deposit in the Inland Protection Trust Fund are used to pay existing reimbursement obligations, the corporation shall reimburse the Inland Protection Trust Fund for such payments from available proceeds of debt obligations issued pursuant to subsection (5). Payment, purchase, or settlement by the corporation of existing reimbursement obligations otherwise payable pursuant to s. 376.3071(12) shall satisfy the obligation of the department to make such payments. Any such existing reimbursement obligations purchased by the corporation shall be satisfied and extinguished upon purchase by the corporation.

(7)  The corporation shall pay, purchase, or settle existing reimbursement obligations as determined by the department. The department shall implement the repayment priorities and method and amount of payments pursuant to s. 376.3071(12). However, any claims for reimbursement pursuant to s. 376.3071(12) that the corporation is unable to pay because of the limitations contained in subsection (5) shall be paid by the department from the receipts of the Inland Protection Trust Fund.

(8)  The fulfillment of the purposes of the corporation promotes the health, safety, and general welfare of the people of the state and serves as essential governmental functions and a paramount public purpose.

(9)  The corporation is exempt from taxation and assessments of any nature whatsoever upon its income and any property, assets, or revenues acquired, received, or used in the furtherance of the purposes provided in this chapter. The obligations of the corporation incurred pursuant to subsection (5) and the interest and income thereon and all security agreements, letters of credit, liquidity facilities, or other obligations or instruments arising out of, entered into in connection therewith, or given to secure payment thereof are exempt from all taxation, provided such exemption does not apply to any tax imposed by chapter 220 on the interest, income, or profits on debt obligations owned by corporations.

(10)  The corporation shall validate obligations to be incurred pursuant to subsection (5) and the validity and enforceability of any service contracts providing for payments pledged to the payment thereof by proceedings under chapter 75. The validation complaint shall be filed only in the Circuit Court for Leon County. The notice required to be published by s. 75.06 shall be published in Leon County and the complaint and order of the circuit court shall be served only on the State Attorney for the Second Judicial Circuit. Sections 75.04(2) and 75.06(2) shall not apply to a complaint for validation filed as authorized in this subsection. The validation of at least the first obligations incurred pursuant to subsection (5) shall be appealed to the Supreme Court, to be handled on an expedited basis.

(11)  The corporation shall not be deemed to be a special district for purposes of chapter 189 or a unit of local government for purposes of part III of chapter 218. The provisions of chapters 120 and 215, except the limitation on interest rates provided by s. 215.84 which applies to obligations of the corporation issued pursuant to this section, and part I of chapter 287, except ss. 287.0582 and 287.0641, shall not apply to this section, the corporation created hereby, the service contracts entered into pursuant to this section, or to debt obligations issued by the corporation as contemplated in this section.

(12)  In no event shall any of the benefits or earnings of the corporation inure to the benefit of any private person.

(13)  Upon dissolution of the corporation, title to all property owned by the corporation shall revert to the state.

(14)  The corporation may contract with the State Board of Administration to serve as trustee with respect to debt obligations issued by the corporation as contemplated by this section and to hold, administer, and invest proceeds of such debt obligations and other funds of the corporation and to perform other services required by the corporation. The State Board of Administration may perform such services and may contract with others to provide all or a part of such services and to recover its and such other costs and expenses thereof.

History.--s. 10, ch. 96-277; s. 394, ch. 2003-261.