Senate Bill 2150

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    Florida Senate - 1998                                  SB 2150

    By Senator Campbell





    33-1041-98

  1                      A bill to be entitled

  2         An act relating to state financial assets;

  3         providing definitions; providing that a

  4         contract manager who, through culpable

  5         negligence, causes a loss of state financial

  6         assets of more than a specified amount commits

  7         the offense of culpable negligence causing

  8         public financial injury; providing penalties;

  9         requiring that certain contracts on behalf of

10         the state provide notice of the act; providing

11         that failure to provide such notice is not a

12         defense to prosecution under the act;

13         authorizing the state attorney or statewide

14         prosecutor to prosecute the offense of culpable

15         negligence causing public financial injury;

16         providing an effective date.

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18  Be It Enacted by the Legislature of the State of Florida:

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20         Section 1.  Culpable negligence causing public

21  financial injury.--

22         (1)  As used in this section, the term:

23         (a)  "Contract manager" means any person described in

24  section 1.01, Florida Statutes, who has been given the

25  custody, and awarded the privilege, of administering state

26  financial assets in a state trust fund pursuant to a contract.

27  The term includes a business and its owners, operators,

28  officers, directors, partners, or other individuals engaged in

29  the management activities of the business.

30         (b)  "Entrusted by the state" means that the state has

31  given custody of and disbursement authority over state

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    Florida Senate - 1998                                  SB 2150
    33-1041-98




  1  financial assets to the contract manager by means of a

  2  contract, without regard to whether a fiduciary relationship

  3  exists between the state and the contract manager.

  4         (c)  "State financial assets" means monetary funds

  5  intended for, existing in, or owned to any state trust fund,

  6  including any negotiable instrument or other monetary

  7  instrument drawn on or disbursed from a state trust fund.

  8         (2)  Any contract manager who, having been entrusted by

  9  the state with the care and custody of state financial assets

10  in a state trust fund, causes, or through inaction allows to

11  be caused, aggregate financial losses valued at $100,000 or

12  more of those state financial assets over a 12-month period

13  through culpable negligence, commits the offense of culpable

14  negligence causing public financial injury.

15         (a)  If the loss to state financial assets is valued at

16  $100,000 or more, but less than $250,000, the person commits a

17  felony of the third degree, punishable as provided in section

18  775.082, section 775.083, or section 775.084, Florida

19  Statutes.

20         (b)  If the loss to state financial assets is valued at

21  $250,000 or more, but less than $500,000, the person commits a

22  felony of the second degree, punishable as provided in section

23  775.082, section 775.083, or section 775.084, Florida

24  Statutes.

25         (c)  If the loss to state financial assets is valued at

26  $500,000 or more, the person commits a felony of the first

27  degree, punishable as provided in section 775.082, section

28  775.083, or section 775.084, Florida Statutes.

29         (3)  Any contract on behalf of the state which has a

30  contract value of $50,000 or more must include notice of the

31  provisions of subsection (2). Failure to provide such notice

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    Florida Senate - 1998                                  SB 2150
    33-1041-98




  1  is not a defense to the crime of culpable negligence causing

  2  public financial injury.

  3         (4)  A prosecution for a violation of this section may

  4  be brought on behalf of the state by any state attorney or by

  5  the statewide prosecutor.

  6         Section 2.  This act shall take effect July 1, 1998.

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  9                          SENATE SUMMARY

10    Provides that if a contract manager, through culpable
      negligence, causes a loss of state financial assets of
11    $100,000 or more, commits the offense of culpable
      negligence causing public financial injury. Provides
12    penalties based on the amount of the financial loss.
      Requires that state contracts include notice of the
13    offense. Authorizes the state attorney or statewide
      prosecutor to prosecute the offense.
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