CODING: Words stricken are deletions; words underlined are additions.
HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
CHAMBER ACTION
Senate House
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5 ORIGINAL STAMP BELOW
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10
11 Representative(s) Bradley offered the following:
12
13 Amendment (with title amendment)
14 On page 6, line 8,
15
16 insert:
17 Section 1. Section 290.0301, Florida Statutes, is
18 amended to read:
19 290.0301 Short title.--Sections 290.0311 through
20 290.0395 shall be known and may be cited as the "Invest in
21 Neighborhood Vitality and Economies Act Community Development
22 Corporation Support and Assistance Program Act." This section
23 shall stand repealed on June 30, 2007 1998.
24 Section 2. Subsections (5), (10), and (11) of section
25 290.0311, Florida Statutes, are amended to read:
26 290.0311 Legislative findings.--The Legislature finds
27 that:
28 (5) This deterioration contributes to the decline of
29 neighborhoods in both rural and urban and surrounding areas,
30 causes a reduction of the value of property comprising the tax
31 base of local communities, and eventually requires the
1
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 expenditure of disproportionate amounts of public funds for
2 health, social services, and police protection to prevent the
3 development of slums and the social and economic disruption
4 found in slum communities.
5 (10) A viable means of eliminating or reducing these
6 deteriorating economic conditions and encouraging local
7 resident participation and support is to provide support
8 assistance and resource investment to community-based
9 community development organizations corporations. The
10 Legislature also finds that community-based development
11 organizations can contribute to the creation of jobs in
12 response to federal welfare reform and state WAGES legislation
13 and economic development activities related to urban and rural
14 economic initiatives.
15 (11) This section shall stand repealed on June 30,
16 2007 1998.
17 Section 3. Section 290.032, Florida Statutes, is
18 amended to read:
19 (Substantial rewording of section. See
20 s. 290.032, F.S., for present text.)
21 290.032 Policy and purpose.--It is the policy of this
22 state to improve the quality of neighborhoods as environments
23 in which children and families live, by supporting and
24 fostering positive change in a broad range of domains to
25 achieve comprehensive improvements in conditions throughout
26 the neighborhood over time. Such community or neighborhood
27 redevelopment shall be based on the following principles:
28 (1) Bottom-up, community-focused approach.
29 (2) Enables and supports the effort of the
30 neighborhoods to make improvements.
31 (3) Requires a holistic focus on the neighborhood to
2
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 address all needs in coordinated fashion, including:
2 (a) Need for community-based leadership.
3 (b) Empower neighborhood governance of the process.
4 (c) Human service delivery.
5 (d) Public infrastructure.
6 (e) Housing and safety.
7 (f) Economic development.
8 (4) Mandates neighborhood collaboration of all
9 partners.
10 (5) Empowers residents to make decisions on
11 improvements.
12 (6) Builds consensus for a shared vision for the
13 future of the neighborhood.
14 (7) Sets definitive performance goals to achieve
15 specific outcomes for the neighborhood.
16
17 The purpose of this act is to assist community-based
18 development organizations in undertaking projects, in concert
19 with state and local government and private enterprise,
20 designed to create and maintain a sound industrial base, to
21 revitalize the health of established commercial areas, to
22 promote and retain employment opportunities, to preserve and
23 rehabilitate existing residential neighborhoods, and to
24 provide safe, decent, affordable housing for residents of
25 these areas. The Legislature, therefore, declares that the
26 development, redevelopment, preservation, restoration, and
27 revitalization of such communities and all the purposes of
28 this act are public purposes for which public moneys may be
29 used. This section shall stand repealed on June 30, 2007.
30 Section 4. Section 290.033, Florida Statutes, is
31 amended to read:
3
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 (Substantial rewording of section. See
2 s. 290.033, F.S., for present text.)
3 290.033 Definitions.--As used in this act, the term:
4 (1) "Department" means the Department of Community
5 Affairs.
6 (2) "Community-based development organization" means a
7 community-based nonprofit organization, which may also be
8 known as a "CBDO," that is committed to or engaged in
9 developing or managing real estate or business enterprises in
10 economically distressed neighborhoods. To qualify, an agency
11 must be community based in that the majority of the board is
12 elected by a mix of stakeholders consisting of area residents,
13 area business and property owners, and persons employed in the
14 service area and demonstrate an ability to undertake
15 affordable housing, business assistance, or commercial
16 developments.
17 (3) "Fund" means the Operating Trust Fund.
18 (4) "Neighborhood comprehensive revitalization plan"
19 means a long-term holistic, integrated, and collaborative
20 strategic plan for the improvement of a defined service area
21 or neighborhood that was prepared by and approved by a
22 collaborative partnership of residents, community-based
23 organizations, local government representatives, churches,
24 schools, businesses, and other community stakeholders that
25 sets forth the shared vision for the service area and
26 identifies specific, measurable outcomes. This comprehensive,
27 holistic plan shall address the wide array of interrelated
28 needs including, but not limited to, human services, jobs and
29 economic development, housing, safety, public infrastructure,
30 health care, education, community organization, neighborhood
31 governance, and social organizations. The plan must describe
4
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 an organization's mission; include strategies to maintain
2 community involvement; demonstrate innovation, efficiency, and
3 accountability to the benefit of the service area
4 stakeholders; and identify sources of anticipated revenue.
5 (5) "Project" means a public and private activity or
6 series of activities, designed to be carried out in a
7 specific, definable location, that achieve objectives which
8 are consistent with the agency's neighborhood comprehensive
9 revitalization plan and the provisions and intent of this act.
10 (6) "Secretary" means the Secretary of Community
11 Affairs.
12 (7) "Service area" or "target area" means the entire
13 area in which a community-based development organization
14 operates and in which community development grant and loan
15 funds are to be spent.
16 (8) "Permanent job" means a full-time position, the
17 duration of which exceeds 12 months and which consists of an
18 average of at least 30 hours per week of employment.
19 (9) "Temporary job" means a full-time or part-time
20 position, the duration of which exceeds 45 days, which
21 consists of an average of at least 15 hours per week of
22 employment, and which is not a permanent job.
23 (10) This section shall stand repealed on June 30,
24 2007.
25 Section 5. Section 290.035, Florida Statutes, is
26 amended to read:
27 290.035 Eligibility for assistance.--Community-based
28 community development organizations corporations meeting the
29 following requirements shall be eligible for assistance:
30 (1) The community-based community development
31 organization corporation must be a nonprofit corporation under
5
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 state law or a local development company established under
2 state law and certified to be eligible to participate in the
3 Small Business Administration Loan Program under s. 502 of the
4 Small Business Investment Act of 1958, as amended, and must
5 meet the following further requirements:
6 (a) Its membership must be open to all service area
7 residents 18 years of age or older.
8 (b) A majority of its board members must be elected by
9 those members of the corporation who are stakeholders
10 comprised of a mix of service area residents, area business
11 and property owners, and area employees.
12 (c) Elections must be held annually for at least a
13 third of the elected board members so that elected members
14 serve terms of no more than 3 years.
15 (d) Elections must be adequately publicized within the
16 service area, and ample opportunity must be provided for full
17 participation.
18 (e) At least one of the board members shall be
19 appointed by the Governor.
20 (2) The community-based community development
21 organization corporation shall maintain a service area in
22 which economic development projects are located which meets
23 one or more of the following criteria:
24 (a) The area has been designated pursuant to s.
25 163.355 as a slum area or a blighted area as defined in s.
26 163.340(7) or (8) or is located completely within the
27 boundaries of a slum or blighted area.
28 (b) The area is a community development block grant
29 program area in which community development block grant funds
30 are currently being spent or have been spent during the last 3
31 years as certified by the local government in which the
6
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 service area is located.
2 (c) The area is a neighborhood housing service
3 district.
4 (d) The area is contained within a state an enterprise
5 zone designated on or after July 1, 1995, in accordance with
6 pursuant to s. 290.0065.
7 (e) The area is contained in federal empowerment zones
8 and enterprise communities.
9 (3) This section shall stand repealed on June 30, 2007
10 1998.
11 Section 6. Section 290.036, Florida Statutes, is
12 amended to read:
13 (Substantial rewording of section. See
14 s. 290.036, F.S., for present text.)
15 290.036 Community-based development organization
16 support program; administrative grants and procedures.--
17 (1) The department is authorized to award core and
18 project administrative grants and project implementation
19 loans. Administrative grants shall be used for staff salaries
20 and administrative expenses for eligible community-based
21 development organizations selected through a competitive
22 three-tiered process. The department shall develop a set of
23 criteria for three-tiered funding that shall ensure equitable
24 geographic distribution of the funding throughout the state.
25 This three-tiered plan shall include emerging, intermediate,
26 and mature community-based development organizations
27 recognizing the varying needs of the three tiers. Funding
28 shall be provided for core administrative grants for all
29 levels of community-based development organizations. Priority
30 shall be given to those organizations that demonstrate
31 community-based high performance. Project administrative
7
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 grants tied to project implementation loans shall be available
2 to all levels of community-based development organizations
3 depending upon their capacity. Extensive training and
4 technical assistance shall be available to all community-based
5 development organizations. Persons, equipment, supplies, and
6 other resources funded in whole or in part by grant funds
7 shall then be utilized to further the purposes of this act.
8 Eligible activities include, but are not limited to:
9 (a) Preparing grant and loan applications, proposals,
10 fundraising letters, and other documents essential to securing
11 additional administrative or project funds to further the
12 purposes of this act.
13 (b) Monitoring and administrating grants and loans,
14 providing technical assistance to businesses, and any other
15 administrative tasks essential to maintaining funding
16 eligibility or meeting contractual obligations.
17 (c) Developing local programs to encourage the
18 participation of financial institutions, insurance companies,
19 attorneys, architects, engineers, planners, law enforcement
20 officers, developers, and other professional firms and
21 individuals providing services beneficial to redevelopment
22 efforts.
23 (d) Providing management, technical, accounting, and
24 financial assistance and information to businesses and
25 entrepreneurs interested in locating, expanding, or operating
26 in the service area.
27 (e) Coordinating with state, federal, and local
28 governments and other nonprofit organizations to ensure that
29 activities meet local plans and ordinances and to avoid
30 duplication of tasks.
31 (f) Preparing plans or performing research to identify
8
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 critical needs within the service area and developing
2 approaches to address those needs.
3 (g) Assisting service area residents in identifying
4 and determining eligibility for state, federal, and local
5 housing programs including rehabilitation, weatherization,
6 homeownership, rental assistance, or public housing programs.
7 (h) Developing, owning, and managing housing designed
8 for very-low-income persons, low-income persons, or WAGES
9 recipients; or developing, owning, and managing industrial
10 parks providing jobs to very-low-income persons, low-income
11 persons, or WAGES recipients.
12 (i) Preparing the neighborhood comprehensive
13 revitalization plan with baseline data, outcome measures, and
14 estimates of service area impact as a result of job-generating
15 or revenue-generating businesses, or enterprise assistance, or
16 units of commercial, industrial, or affordable housing
17 developments.
18 (2) A community-based development organization
19 applying for an administrative grant pursuant to this section
20 must submit a proposal to the department which includes:
21 (a) A map and narrative description of the service
22 areas for the community-based development organization.
23 (b) A copy of the documents creating the
24 community-based development organization.
25 (c) A listing of the membership of the board,
26 including individual terms of office.
27 (d) An annual plan that describes the expenditure of
28 the funds, including goals, objectives, and expected results,
29 and which has a clear relationship to the agency's
30 neighborhood comprehensive revitalization strategy.
31 (e) Other supporting information which may be required
9
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 by the department.
2 (3) The amount of any core administrative grant to an
3 emerging community-based development organization in any 1
4 year shall be no more than $50,000. The amount of any core
5 administrative grant to an intermediate community-based
6 development organization shall be no more than $45,000. The
7 amount of core administrative grant to a mature
8 community-based development organization shall be no more than
9 $40,000. The department may fund as many community-based
10 development organizations each year as is permitted based on
11 the level of funds provided for in the General Appropriations
12 Act.
13 (4) The amount of any project administrative grant to
14 any community-based development organization shall be no more
15 than $15,000 for every $100,000 of project implementation
16 loans.
17 (5) A community-based development organization that
18 receives funding hereunder shall submit to the department an
19 annual year-end audit performed by an independent certified
20 public accountant.
21 (6) In evaluating proposals pursuant to this section,
22 the department shall develop and consider scoring criteria
23 including, but not limited to, the following:
24 (a) The relative degree of distress of the service
25 areas of the community-based development organization.
26 (b) The demonstrable capacity of the community-based
27 development organization to improve the economic health of the
28 service area and carry out the activities contained in the
29 long-term revitalization plan.
30 (c) The degree to which the community-based
31 development organization would provide assistance to
10
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 very-low-income persons, low-income persons, and particularly
2 WAGES recipients.
3 (d) The service area of the community-based
4 development organization which is located in whole or in part
5 within a state enterprise zone designated pursuant to s.
6 290.0065, a federal empowerment zone, or an enterprise
7 community.
8 (e) The extent to which the proposal would further the
9 policy and purposes of this act.
10 (7) The department is authorized to award project
11 administrative grants from the fund to community-based
12 development organizations for staff salaries, administrative
13 expenses, and the added cost of technical assistance directly
14 related to job-generating and revenue-generating enterprises,
15 including business, commercial, or affordable housing
16 developments. Eligible organizations shall apply for
17 competitive funding under the three categories of: business
18 assistance, commercial, and affordable housing development.
19 The allocations of funds to these three categories will be
20 made by the department subject to funding availability and
21 trends in the amount of qualified proposals submitted under
22 each category. Community-based development organizations
23 receiving funds under this section shall be subject to all
24 applicable requirements of ss. 290.034(1), 290.035, 290.037,
25 290.038, and 290.039, as determined by the department.
26 (8) The department shall award funding hereunder based
27 upon a three-tiered approach which recognizes the differing
28 capacities of new and emerging, intermediate, and mature
29 community-based development organizations. No community-based
30 development organization may apply for funding in more than
31 one tier in any 1 fiscal year.
11
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 (a) Tier I, for new and emerging community-based
2 development organizations, shall offer, on a competitive
3 basis, a minimum of five core administrative grants of up to
4 $50,000, annually. Once tier I community-based development
5 organizations have achieved a minimum level of capacity, they
6 shall be eligible to apply for, on a competitive funding
7 basis, a project implementation loan of no more than $100,000
8 and an accompanying project administrative grant of up to
9 $15,000. Tier I community-based development organizations
10 shall also receive extensive training and technical assistance
11 designed to enhance the organization's capacity and thereby
12 enable it to undertake more complex development projects.
13 (b) Tier II, for intermediate level community-based
14 development organizations, shall be eligible to apply on a
15 competitive basis for core administrative grants of up to
16 $45,000, annually, and shall be eligible to apply for, on a
17 competitive basis, project implementation loans of up to
18 $300,000, annually, per community-based development
19 organization and an accompanying project administrative grant
20 of up to $45,000. Tier II community-based development
21 organizations shall also receive training and technical
22 assistance services hereunder.
23 (c) Tier III, for mature level community-based
24 development organizations, shall be eligible to apply, on a
25 competitive basis, for core administrative grants of up to
26 $40,000, annually. Such community-based development
27 organizations shall be eligible to apply for, on a competitive
28 basis, project implementation loans of up to $400,000,
29 annually, per community-based development organization and an
30 accompanying project administrative grant of up to $60,000.
31 Tier III community-based development organizations shall also
12
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 receive training and technical assistance services hereunder.
2 (d) No development project funded hereunder shall
3 exceed $200,000, annually, per community-based development
4 organization. A community-based development organization can
5 apply for project implementation loans in up to three
6 categories of business development, affordable housing, and
7 commercial development, within the dollar limitations
8 contained herein. Project implementation grants shall be based
9 on up to $15,000 in grant funds for every $100,000 awarded in
10 loan funds.
11 (9) A community-based development organization
12 applying for project administrative grants pursuant to this
13 section must submit a proposal to the department which
14 includes:
15 (a) A map and narrative description of the target
16 areas for the community-based development organization.
17 (b) A copy of the documents creating the
18 community-based development organization.
19 (c) A listing of the membership of the board,
20 including individual terms of office.
21 (d) A copy of the community-based development
22 organization's neighborhood comprehensive revitalization plan.
23 (e) A description of the location, financing plan, and
24 potential impact of the business enterprise or residential,
25 commercial, or industrial development which shows a clear
26 relationship to the organization's neighborhood comprehensive
27 revitalization plan and demonstrates how the proposed
28 expenditures are directly related to the project.
29 (10) In evaluating proposals pursuant to this section,
30 the department shall develop and consider scoring criteria,
31 including, but not limited to, the following:
13
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 (a) The reasonableness of project goals and production
2 schedules.
3 (b) Prior experience and performance of the applicant
4 in the production of similar housing, commercial, or business
5 developments.
6 (c) The extent of financial leveraging with private
7 and public funding.
8 (d) The demonstrable capacity of the community-based
9 development organization to improve the economic health of the
10 target area as seen by the reasonableness of its comprehensive
11 neighborhood revitalization plan and the impact of the
12 proposed project.
13 (e) The degree to which the project will benefit
14 very-low-income persons, low-income persons, and particularly
15 WAGES recipients.
16 (f) The location of the target area of the
17 community-based development organization, in whole or in part,
18 in a state enterprise zone designated on or after July 1,
19 1995, in accordance with s. 290.0065 or a federal empowerment
20 zone or enterprise community.
21 (g) The extent to which the proposal would further the
22 policy and purposes of this act.
23 (11) This section shall stand repealed on June 30,
24 2007.
25 Section 7. Section 290.0365, Florida Statutes, is
26 amended to read:
27 (Substantial rewording of section. See
28 s. 290.0365, F.S., for present text.)
29 290.0365 Community-based development training and
30 technical assistance program.--
31 (1) LEGISLATIVE FINDINGS.--In addition to the
14
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 legislative findings set forth in s. 290.0311, the Legislature
2 finds and declares that:
3 (a) Significant declines in resources make it
4 difficult for community-based development organizations to
5 generate sufficient revenues from business enterprises or real
6 estate ventures in low-income neighborhoods to fund the
7 predevelopment costs, technical assistance, and other
8 administrative expenses needed to foster new developments.
9 (b) The financing and planning of large-scale
10 developments is becoming increasingly complex and
11 community-based development organizations, even those with
12 considerable experience, often lack the expertise to structure
13 project financing, partnerships, and joint ventures to
14 accelerate and expand development activities in distressed
15 communities.
16 (c) Local governments and private lenders are
17 demonstrating a willingness to provide risk capital and
18 project financing, but they are seldom able to provide
19 technical support and training to the staff of community-based
20 development organizations.
21 (2) PURPOSE.--The purpose of this section is to
22 provide community-based development organizations with the
23 necessary training and technical support to plan, implement,
24 and manage job-generating and revenue-generating developments
25 in distressed neighborhoods. This will strengthen the
26 organizational capacity of community-based development
27 organizations, assist local governments to enhance and expand
28 revitalization efforts, and contribute to expanding the base
29 of commerce, business, and affordable housing that will
30 benefit persons who are very-low-income, low-income, or WAGES
31 recipients.
15
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 (3) TRAINING AND TECHNICAL ASSISTANCE PROGRAM.--The
2 Department of Community Affairs shall be responsible for
3 securing the necessary expertise, which may include
4 subcontracts with nonprofit organizations, to provide training
5 and technical support to the staff and board of
6 community-based development organizations, as appropriate, and
7 to persons forming such organizations, which are formed for
8 the purpose of redeveloping commercial and residential areas
9 and revitalizing businesses within distressed neighborhoods
10 for the benefit of very-low-income residents, low-income
11 residents, and WAGES recipients.
12 (a) The training component of the program shall assist
13 organizations receiving administrative grants through a
14 developmental curriculum to build board and staff capacities
15 to implement or manage affordable housing, commercial, or
16 business enterprises. Training will include, but not be
17 limited to, resource development, project management, real
18 estate financing, business or venture plan development,
19 strategic planning for community economic development, and
20 community leadership and participation.
21 (b) The technical assistance provider shall conduct
22 onsite assessments, involving the board and staff, to prepare
23 a technical assistance plan for new and emerging
24 organizations. The scope and nature of the training will
25 compliment the annual performance objectives of the
26 organizations from the development of a neighborhood
27 comprehensive revitalization plan.
28 (c) Technical support shall be provided to
29 community-based development organizations receiving project
30 administrative grants, as appropriate, in methods of financing
31 and structuring housing, business, or commercial development
16
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 projects. This will be in the form of one-on-one technical
2 assistance secured by either the department or by the
3 community-based development organization.
4 (d) The department shall coordinate the technical
5 assistance and training in support of affordable housing
6 development with programs funded under s. 420.606.
7 (e) The department may permit other community-based
8 development organizations to participate in the training based
9 on the availability of classes, funding, and the priority of
10 need.
11 (4) REPEAL.--This section shall stand repealed on June
12 30, 2007.
13 Section 8. Section 290.037, Florida Statutes, is
14 amended to read:
15 (Substantial rewording of section. See
16 s. 290.037, F.S., for present text.)
17 290.037 Community development project implementation
18 loan program.--
19 (1) The department is authorized to make loans, within
20 the limits of specific appropriations, to eligible applicants
21 for the following purposes:
22 (a) Financial assistance to a new or existing business
23 venture located within a community-based development
24 organization service area;
25 (b) New construction or substantial rehabilitation of
26 housing to be utilized by very-low-income and low-income
27 families and individuals, and WAGES recipients; and
28 (c) Commercial developments located within the
29 community-based development organization's service area.
30 (2) A community-based development organization
31 applying for a loan pursuant to this section must submit the
17
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 information required by s. 290.036(2).
2 (3) In no case shall loans to one community-based
3 development organization exceed 40 percent of the total annual
4 appropriation for loans during any given year or $400,000,
5 whichever is less.
6 (4) A community-based development organization that
7 receives a loan shall submit to the department an annual audit
8 performed by an independent certified public accountant;
9 however, this subsection shall not be construed to require the
10 submittal of more than one audit by an individual
11 community-based development organization submitting pursuant
12 to s. 290.036.
13 (5) In evaluating proposals pursuant to this section,
14 the department shall consider:
15 (a) The economic feasibility of the project and the
16 capacity of the venture to repay the loan.
17 (b) The relative degree of distress of the target
18 area.
19 (c) The ratio of private and nonstate public money
20 committed to a project to the amount of state money to be
21 committed.
22 (d) The demonstrated inability of the borrower to
23 secure funding from conventional sources at the terms offered
24 by the community-based development organization.
25 (e) The number of temporary and permanent jobs
26 generated by the project.
27 (f) The overall net positive impact of the project
28 long term on local economic and social conditions.
29 (g) The degree to which the project directly benefits
30 or provides assistance to very-low-income individuals,
31 low-income individuals, or job-displaced individuals or WAGES
18
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 recipients.
2 (h) The demonstrable capacity of the community-based
3 development organization and technical assistance providers to
4 see that the project is successfully carried out and managed.
5 (6) Loans permitted under this section for affordable
6 housing may be used for the purpose of providing first,
7 second, or other subordinated mortgage loans or loan
8 guarantees in the construction of single-family homeownership
9 or multifamily rental units affordable to very-low-income
10 persons and low-income persons and WAGES recipients in the
11 target area.
12 (7) All loans to a community-based development
13 organization shall be at interest rates not to exceed 3
14 percent and shall be repaid within 15 years or on a basis
15 approved by the department, except as provided in subsection
16 (8).
17 (8) Upon the termination of any project as a result of
18 the sale or failure of the business, all recoverable state
19 funds shall be returned to the department for deposit into the
20 Operating Trust Fund. When losses are incurred, the
21 community-based development organization shall make a diligent
22 and good-faith effort to recover the full indebtedness from
23 the business venture, including foreclosure of security and
24 recovery from guarantors. Upon completion of all such efforts
25 to the satisfaction of the department, the department shall
26 write off the unpaid balance of the loan.
27 (9) This section shall stand repealed on June 30,
28 2007.
29 Section 9. Paragraph (f) of subsection (2) and
30 subsection (3) of section 290.038, Florida Statutes, are
31 amended to read:
19
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 290.038 Authority and duties of the department.--
2 (2) The department may:
3 (f) Assist in training employees of community-based
4 community development organizations corporations to help
5 achieve and increase their capacity to administer programs
6 pursuant to this act and provide technical assistance and
7 advice to community-based community development organizations
8 corporations involved with these programs.
9 (3) The department shall be the state agency
10 responsible for implementation of the urban redevelopment
11 efforts, and shall:
12 (a) Provide grants and loans authorized under the
13 INVEST initiative.
14 (b) Provide grants to community-based development
15 organizations to support the development of the neighborhood
16 collaboration and its community redevelopment plan.
17 (c) Provide a clearinghouse function to assist in
18 identifying resources available to implement community
19 redevelopment strategies.
20 (d) Provide staff coordinator to designated Rebuilding
21 Urban Neighborhoods initiatives.
22 (e) Provide for technical assistance to neighborhoods
23 from any agency of the state, the state university system, and
24 other private providers in areas including identification of
25 stakeholders, consensus building, meeting facilitation,
26 conflict resolution, group decisionmaking, community planning
27 processes, outcome measurement, and capacity building for
28 organizations.
29 (4)(3) This section shall stand repealed on June 30,
30 2007 1998.
31 Section 10. Section 290.039, Florida Statutes, is
20
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 amended to read:
2 (Substantial rewording of section. See
3 s. 290.039, F.S., for present text.)
4 290.039 Reporting requirements.--
5 (1) Community-based development organizations which
6 receive funds under INVEST shall provide the following
7 information to the department annually:
8 (a) A listing of business firms and individuals
9 assisted by the community-based development organization
10 during the reporting period.
11 (b) A listing of the type, source, purpose, and amount
12 of each individual grant, loan, or donation received by the
13 community-based development organization during the reporting
14 period.
15 (c) The number of paid and voluntary positions within
16 the community-based development organization.
17 (d) A listing of the salaries and administrative
18 expenses of the community-based development organization.
19 (e) An identification and explanation of changes to
20 the target area boundaries.
21 (f) The amount of assets and liabilities and the fund
22 balance for the community-based development organization at
23 the beginning and end of the reporting period.
24 (g) The number and description of projects attempted,
25 the number and description of projects completed, and a
26 written explanation of the reasons that caused projects not to
27 be completed.
28 (h) The impact on target area residents and its
29 relationship to expected outcomes listed in the agency's
30 comprehensive neighborhood revitalization plan, as a result of
31 receiving INVEST funding.
21
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 (2) Community-based development organizations which
2 receive project administrative grants shall provide the
3 following general information to the department annually:
4 (a) A listing of salaries and administrative expenses
5 of the community-based development organization on approved
6 projects that receive project administrative grant funding.
7 (b) An identification and explanation of changes to
8 the target area boundaries.
9 (c) The impact of the completed project on target area
10 residents and its relationship to expected outcomes listed in
11 the agency's comprehensive neighborhood revitalization plan.
12 (3) Community-based development organizations which
13 receive project administrative grants, or a combination of
14 core administrative and project and grant funds, shall provide
15 the following information on applicable projects to the
16 department annually:
17 (a) The number of housing units rehabilitated or
18 constructed by the community-based development organization
19 within the service area during the reporting period.
20 (b) The number and amount of loans made to businesses
21 or individual entrepreneurs in the target area during the
22 reporting period.
23 (c) The number of outstanding loans made to businesses
24 or individuals in the service area by the community-based
25 development organization, the balance of the loans, and the
26 payment history of the borrowers during the reporting period.
27 (d) The number of jobs, both permanent and temporary,
28 received by individuals who were directly assisted by the
29 community-based development organization through assistance to
30 the business such as a loan or other credit assistance.
31 (e) An identification and explanation of changes to
22
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 the service area boundaries.
2 (f) The impact of the completed project on target area
3 residents and its relationship to expected outcomes listed in
4 the agency's comprehensive neighborhood revitalization plan.
5 (g) Such other information as the department may
6 require.
7 (4) The department shall submit an annual report to
8 the Speaker of the House of Representatives and the President
9 of the Senate which contains the cumulative data submitted by
10 the individual community-based development organizations
11 pursuant to subsection (1). The report shall be submitted by
12 January 1 of each year.
13 (5) This section shall stand repealed on June 30,
14 2007.
15 Section 11. Section 290.0395, Florida Statutes, is
16 amended to read:
17 (Substantial rewording of section. See
18 s. 290.0395, F.S., for present text.)
19 290.0395 Program performance review and evaluation.--
20 (1) Each community-based development organization
21 which receives funding under the Invest in Neighborhood
22 Vitality and Economies Program shall be subject to an annual
23 performance review by the department. At a minimum, the review
24 shall determine whether contract objectives are being or have
25 been met in a timely and efficient manner, expected project
26 outcomes are being or have been realized, and the impact of
27 completed projects produced the results desired by the
28 community-based development organization as stated in its
29 comprehensive neighborhood revitalization plan and other
30 supporting documentation for receipt of the grants or loans.
31 (2) Prior to the 2007 Regular Session of the
23
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 Legislature, the Office of Program Policy Analysis and
2 Government Accountability shall perform an evaluation of ss.
3 290.0301-290.039, using the reporting data specified in s.
4 290.039 and any other data identified by the department and
5 the Office of Program Policy Analysis and Government
6 Accountability as crucial to the evaluation of this program.
7 The report shall critique the Invest in Neighborhood Vitality
8 and Economies Program and shall include an analysis of the
9 improvements in the service area as a result of the holistic
10 and collaborative efforts of the organizations and partners
11 within the service area.
12 (3) A report of the findings and recommendations of
13 the Office of Program Policy Analysis and Government
14 Accountability shall be submitted to the President of the
15 Senate and the Speaker of the House of Representatives prior
16 to the 2007 Regular Session.
17 (4) This section shall stand repealed on June 30,
18 2007.
19 Section 12. Section 290.055, Florida Statutes, is
20 created to read:
21 290.055 Rebuilding Urban Neighborhoods Initiative.--
22 (1) SHORT TITLE.--This section shall be known and may
23 be cited as the "Rebuilding Urban Neighborhoods Initiative."
24 (2) PURPOSE.--The Department of Community Affairs
25 shall carry out, in accordance with this section, a training
26 and technical assistance program to rebuild urban
27 neighborhoods through coordinated urban community
28 redevelopment, utilizing effective state and local government
29 and neighborhood partnerships that will leverage resources
30 needed to improve living conditions for children and families.
31 (3) PROGRAM.--The department will provide planning
24
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 grants and technical assistance to communities seeking to
2 revitalize distressed areas using the principles of holistic
3 and collaborative planning and service delivery. A community
4 based organization (CBO) will be eligible to receive
5 assistance from the department upon certification by the
6 department that identified readiness criteria are in place.
7 (4) ROLES.--
8 (a) The Department of Community Affairs.--The
9 department will provide:
10 1. Administration and oversight of the planning grant
11 program.
12 2. Technical assistance through existing programs of
13 the department in the areas of planning, affordable housing,
14 public safety, social services, energy conservation,
15 infrastructure, and building collaborative, holistic
16 initiatives.
17 3. A clearinghouse to disseminate information
18 resulting from the research and successful outreach activities
19 of numerous initiatives as well as information on available
20 state and federal resources to carry out redevelopment
21 initiatives.
22 4. Coordination of the delivery of technical
23 assistance and other resources from other state entities to
24 develop and implement comprehensive neighborhood
25 revitalization plans. These other state entities will include
26 the Florida Housing Finance Corporation for affordable housing
27 programs, Enterprise Florida, Inc., and the Office of Tourism,
28 Trade, and Economic Development for business development and
29 job creation programs.
30 (b) The State University System.--The State University
31 System, through a coordinating entity whose mission is to
25
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 provide outreach to local governments and distressed
2 communities in redevelopment initiatives, is empowered to
3 provide expert technical assistance and facilitation services
4 to these initiatives.
5 (c) Community based organizations.--Community based
6 organizations will perform the principal leadership function
7 at the local level, being responsible for organizing a
8 collaborative approach to community involvement and a holistic
9 neighborhood improvement strategy to guide immediate and
10 long-term improvements.
11 (5) READINESS CRITERIA.--In order to be selected by
12 the department to receive state funding support, an initiative
13 must have the following elements:
14 (a) A well defined, small neighborhood having
15 conditions of blight and distress.
16 (b) A lead community-based development organization
17 with the capacity to guide and sustain a collaborative,
18 long-term initiative.
19 (c) Evidence of a collaborative team.
20 (d) Demonstrated local government commitment.
21 (e) Commitment to a planning/implementation model
22 having documented baseline data, multiple elements (holistic
23 and comprehensive), measurable outcomes, and an evaluation
24 component.
25 (6) REPORTS.--The department shall submit an annual
26 report to the Committees on Community Affairs in the House of
27 Representatives and the Senate. The report shall contain a
28 summary of activities carried out under this section during
29 the preceding fiscal year, and findings and conclusions drawn
30 from such activities.
31 Section 13. Section 290.034, Florida Statutes, is
26
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 repealed.
2 Section 14. Section 189.427, Florida Statutes, is
3 amended to read:
4 189.427 Fee schedule; Operating Trust Fund.--The
5 Department of Community Affairs, by rule, shall establish a
6 schedule of fees to pay one-half of the costs incurred by the
7 department in administering this act, except that the fee may
8 not exceed $175 per district per year. The fees collected
9 under this section shall be deposited in the Operating Trust
10 Fund established under s. 290.034, which shall be administered
11 by the Department of Community Affairs. Any fee rule must
12 consider factors such as the dependent and independent status
13 of the district and district revenues for the most recent
14 fiscal year as reported to the Department of Banking and
15 Finance. The department may assess fines of not more than $25,
16 with an aggregate total not to exceed $50, as penalties
17 against special districts that fail to remit required fees to
18 the department. It is the intent of the Legislature that
19 general revenue funds will be made available to the department
20 to pay one-half of the cost of administering this act.
21 Section 15. Subsection (7) of section 252.82, Florida
22 Statutes, is amended to read:
23 252.82 Definitions.--As used in this part:
24 (7) "Trust fund" means the Operating Trust Fund
25 established in s. 290.034.
26 Section 16. Subsection (1) of section 943.25, Florida
27 Statutes, is amended to read:
28 943.25 Criminal justice trust funds; source of funds;
29 use of funds.--
30 (1) The Department of Community Affairs may approve,
31 for disbursement from the Operating Trust Fund established
27
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 pursuant to s. 290.034, those appropriated sums necessary and
2 required by the state for grant matching, implementing,
3 administering, evaluating, and qualifying for such federal
4 funds. Disbursements from the trust fund for the purpose of
5 supplanting state general revenue funds may not be made
6 without specific legislative appropriation.
7 Section 17. Section 420.0007, Florida Statutes, is
8 created to read:
9 420.0007 Exemption from property taxation for
10 charitable non-profit low income housing
11 properties.--Properties owned entirely by nonprofit
12 corporations which are defined as charitable organizations
13 under s. 501(c)(3) of the Internal Revenue Code and comply
14 with the Internal Revenue Procedure 96-32 and which provide
15 housing to low-income and very-low-income persons, as defined
16 in s. 420.0004, shall be considered charitable and exempt from
17 ad valorem taxation under chapter 196, to the extent
18 authorized under s. 196.192.
19 Section 18. Subsection (11) is added to section
20 290.0065, Florida Statutes, to read:
21 290.0065 State designation of enterprise zones.--
22 (11) Before December 31, 1998, the governing body of a
23 county in which an enterprise zone designated pursuant to
24 paragraph (5)(b) is located may apply to the Office of
25 Tourism, Trade, and Economic Development to amend the
26 boundaries of the enterprise zone for the purpose of replacing
27 areas not suitable for development. The Office of Tourism,
28 Trade, and Economic Development shall approve the application
29 if it does not increase the overall size of the enterprise
30 zone.
31
28
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 ================ T I T L E A M E N D M E N T ===============
2 And the title is amended as follows:
3 On page 1, line 2, after the semicolon
4
5 insert:
6 amending s. 290.0301, F.S.; changing the title
7 of the "Community Development Corporation
8 Support and Assistance Program Act" to the
9 "Invest in Neighborhood Vitality and Economies
10 Act"; advancing the date of the repeal of the
11 act to June 30, 2007; amending s. 290.0311,
12 F.S.; revising language with respect to
13 legislative findings; providing reference to
14 community-based development organizations;
15 amending s. 290.032, F.S.; revising language
16 with respect to policy and purpose; amending s.
17 290.033, F.S.; providing definitions; amending
18 s. 290.035, F.S.; revising language with
19 respect to eligibility for assistance; amending
20 s. 290.036, F.S.; providing for the
21 community-based development organization
22 support program; providing for core and project
23 administrative grants and procedures; amending
24 s. 290.0365, F.S.; providing for a
25 community-based development training and
26 technical assistance program; amending s.
27 290.037, F.S.; providing for a community
28 development project implementation loan
29 program; amending s. 290.038, F.S.; revising
30 language with respect to the authority and
31 duties of the Department of Community Affairs;
29
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HOUSE AMENDMENT
hbd-06 Bill No. CS for CS for SB 2524, 2nd Eng.
Amendment No. (for drafter's use only)
1 amending s. 290.039, F.S.; revising language
2 with respect to reporting requirements;
3 amending s. 290.0395, F.S.; providing for
4 program performance review and evaluation;
5 creating s. 290.055, F.S.; creating the
6 Rebuilding Urban Neighborhoods Initiative;
7 repealing s. 290.034, F.S., relating to funding
8 and use of the Operating Trust Fund; amending
9 ss. 189.427, 252.82, and 943.25 to conform to
10 this act; creating s. 420.0007, F.S.;
11 providing an exemption from property taxation
12 for charitable non-profit low income housing
13 properties; amending s. 290.0065, F.S.;
14 providing for amendment of the boundaries of an
15 enterprise zone designated pursuant to s.
16 290.0065(5)(b), F.S., upon application by the
17 county to the Office of Tourism, Trade, and
18 Economic Development;
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