Senate Bill 2426c2

CODING: Words stricken are deletions; words underlined are additions.



    Florida Senate - 1999                    CS for CS for SB 2426

    By the Committees on Fiscal Policy; Governmental Oversight and
    Productivity; and Senator Rossin




    309-2136-99

  1                      A bill to be entitled

  2         An act relating to legislative oversight of

  3         governmental programs; amending ss. 11.42,

  4         11.45, F.S.; defining the term "operational

  5         audit"; revising the duties of the Auditor

  6         General; requiring district school boards to

  7         conduct certain financial audits; transferring

  8         the Division of Public Assistance Fraud from

  9         the Auditor General to the Department of Law

10         Enforcement; transferring, renumbering, and

11         amending s. 11.50, F.S.; conforming provisions

12         to the transfer of the Division of Public

13         Assistance Fraud; amending ss. 402.3015,

14         414.33, 414.34, 414.39, 414.40, 951.28, F.S.;

15         conforming provisions to the transfer of the

16         Division of Public Assistance Fraud; amending

17         ss. 373.589, 195.096, 232.44, 946.516, 283.31,

18         F.S.; revising the duties of the Auditor

19         General; providing for audits by independent

20         certified public accountants; amending s.

21         944.719, F.S.; transferring duties from the

22         Auditor General to the Office of Program Policy

23         Analysis and Government Accountability;

24         amending ss. 11.511, 11.513, F.S.; revising the

25         duties of the Office of Program Policy Analysis

26         and Government Accountability; amending ss.

27         112.3187, 112.3188, 112.31895, F.S.;

28         eliminating the Public Counsel's

29         responsibilities associated with the

30         Whistle-blower's Act; transferring such

31         responsibilities to the Florida Commission on

                                  1

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1         Human Relations; amending s. 985.401, F.S.;

  2         providing for the composition of the Juvenile

  3         Justice Accountability Board; reassigning the

  4         board from the Joint Legislative Auditing

  5         Committee to the Department of Juvenile

  6         Justice; amending s. 218.502, F.S.; redefining

  7         the term "local governmental entity"; repealing

  8         s. 284.50(4), F.S., which provides for the

  9         Auditor General to audit state agency

10         loss-prevention programs; repealing s.

11         475.045(1)(f), F.S., which provides for the

12         Auditor General to audit the financial

13         transactions of the Florida Real Estate

14         Commission Education and Research Foundation;

15         repealing s. 985.07, F.S., which provides for

16         the Auditor General to examine some

17         information-sharing efforts; amending s.

18         760.06, F.S.; authorizing the Florida

19         Commission on Human Relations to receive and

20         coordinate whistle-blowers' complaints;

21         providing an effective date.

22

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

24

25         Section 1.  Subsections (3), (6), (8), and (9) of

26  section 11.42, Florida Statutes, are amended to read:

27         11.42  The Auditor General.--

28         (3)(a)  To carry out her or his duties the Auditor

29  General shall make all spending decisions within the annual

30  operating budget approved by the President of the Senate and

31  the Speaker of the House of Representatives. The Auditor

                                  2

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  General shall employ qualified persons necessary for the

  2  efficient operation of the Auditor General's office and shall

  3  fix their duties and compensation and, with the approval of

  4  the Legislative Auditing Committee, shall adopt and administer

  5  a uniform personnel, job classification, and pay plan for such

  6  employees.

  7         (b)1.  No person shall be employed as a financial

  8  auditor who does not possess the qualifications to take the

  9  examination for a certificate as certified public accountant

10  under the laws of this state, and no person shall be employed

11  or retained as legal adviser, on either a full-time or a

12  part-time basis, who is not a member of The Florida Bar.

13         2.  Notwithstanding the provisions of subparagraph 1.,

14  employees in the positions associated with the Florida

15  Education Finance Program full-time enrollment verification

16  function that is assigned to the Auditor General pursuant to

17  s. 229.565(2) may continue to meet the job qualifications that

18  existed prior to such transfer for a period of 3 years after

19  such transfer. Thereafter, they shall meet the requirements of

20  subparagraph 1. This subparagraph is repealed on July 1, 1998.

21         (6)(a)  The headquarters of the Auditor General shall

22  be at the state capital, but to facilitate auditing and to

23  eliminate unnecessary traveling the Auditor General may

24  establish divisions and assign auditors to each division and

25  determine their duties and the areas of the state to be served

26  by the respective divisions. The Auditor General shall be

27  provided with adequate quarters to carry out the position's

28  functions in the state capital and in other areas of the

29  state.

30         (b)  All payrolls and vouchers prepared by the Auditor

31  General for the operations of the Auditor General's her or his

                                  3

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  office shall be submitted directly to the Comptroller and, if

  2  found to be correct, state warrants shall be issued therefor.

  3         (c)  The Auditor General shall transmit to the

  4  President of the Senate and the Speaker of the House of

  5  Representatives by January 1 of each year a list of statutory

  6  and fiscal changes recommended by audit reports. The

  7  recommendations should be presented in two categories: one

  8  addressing substantive law and policy issues and the other

  9  addressing budget issues. The Auditor General may also

10  transmit recommendations at other times of the year when the

11  information would be timely and useful for the Legislature.

12         (8)  When authorized to audit the administrative

13  services functions of any state agency, the Auditor General

14  shall include, as a part of that review, a statement regarding

15  agency compliance with the minority business enterprise

16  procurement goals set forth in s. 287.0945.

17         (8)(9)  No officer or full-time employee of the office

18  of Auditor General shall actively engage in any other business

19  or profession; serve as the representative of any political

20  party or on any executive committee or other governing body

21  thereof; serve as an executive, officer, or employee of any

22  political party committee, organization, or association; or be

23  engaged on behalf of any candidate for public office in the

24  solicitation of votes or other activities in behalf of such

25  candidacy. Neither the Auditor General nor any employee of the

26  Auditor General shall become a candidate for election to

27  public office unless she or he shall first resign from office

28  or employment.

29         Section 2.  Subsections (1) and (3) and paragraph (f)

30  of subsection (7) of section 11.45, Florida Statutes, are

31  amended to read:

                                  4

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1         11.45  Definitions; duties; audits; reports.--

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

  3         (a)  "County agency," for the exclusive purposes of

  4  this section, means a board of county commissioners or other

  5  legislative and governing body of a county, however styled,

  6  including that of a consolidated or metropolitan government, a

  7  clerk of the circuit court, a separate or ex officio clerk of

  8  the county court, a sheriff, a property appraiser, a tax

  9  collector, a supervisor of elections, or any other officer in

10  whom any portion of the fiscal duties of the above are under

11  law separately placed. Each county agency is a local

12  governmental entity for purposes of subparagraph (3)(a)4.

13         (b)  "Financial audit" means an examination of

14  financial statements in order to express an opinion on the

15  fairness with which they present financial position, results

16  of operations, and changes in financial position in conformity

17  with generally accepted accounting principles and an

18  examination to determine whether operations are properly

19  conducted in accordance with legal and regulatory

20  requirements. Financial audits must be conducted in accordance

21  with generally accepted auditing standards and governmental

22  auditing standards as adopted by the Board of Accountancy.

23         (c)  "Governmental entity" means a state agency, a

24  county agency, or any other entity, however styled, that

25  independently exercises any type of state or local

26  governmental function.

27         (d)  "Local governmental entity" means a county agency,

28  municipality, or special district as defined in s. 189.403,

29  but does not include any housing authority established under

30  chapter 421.

31

                                  5

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1         (e)  "Management letter" means a statement of the

  2  auditor's comments and recommendations.

  3         (f)  "Operational audit" means a financial-related

  4  audit whose purpose is to evaluate management's performance in

  5  administering assigned responsibilities in accordance with

  6  applicable laws, administrative rules, and other guidelines

  7  and to determine the extent to which the internal control, as

  8  designed and placed in operation, promotes and encourages the

  9  achievement of management's control objectives in the

10  categories of compliance, economic and efficient operations,

11  reliability of financial records and reports, and safeguarding

12  of assets.

13         (g)(f)  "Performance audit" means an examination of a

14  program, activity, or function of a governmental entity,

15  conducted in accordance with applicable government auditing

16  standards or auditing and evaluation standards of other

17  appropriate authoritative bodies. The term includes an

18  examination of issues related to:

19         1.  Economy, efficiency, or effectiveness of the

20  program.

21         2.  Structure or design of the program to accomplish

22  its goals and objectives.

23         3.  Adequacy of the program to meet the needs

24  identified by the Legislature or governing body.

25         4.  Alternative methods of providing program services

26  or products.

27         5.  Goals, objectives, and performance measures used by

28  the agency to monitor and report program accomplishments.

29         6.  The accuracy or adequacy of public documents,

30  reports, or requests prepared under the program by state

31  agencies.

                                  6

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1         7.  Compliance of the program with appropriate

  2  policies, rules, or laws.

  3         8.  Any other issues related to governmental entities

  4  as directed by the Legislative Auditing Committee.

  5         (h)(g)  "Political subdivision" means a separate agency

  6  or unit of local government created or established by law and

  7  includes, but is not limited to, the following and the

  8  officers thereof:  authority, board, branch, bureau, city,

  9  commission, consolidated government, county, department,

10  district, institution, metropolitan government, municipality,

11  office, officer, public corporation, town, or village.

12         (i)(h)  "State agency" means a separate agency or unit

13  of state government created or established by law and

14  includes, but is not limited to, the following and the

15  officers thereof: authority, board, branch, bureau,

16  commission, department, division, institution, office,

17  officer, or public corporation, as the case may be, except any

18  such agency or unit other than the Florida Public Service

19  Commission within the legislative branch of state government.

20         (3)(a)1.  The Auditor General, in consultation with the

21  Department of Education, shall develop a compliance supplement

22  for the shall annually make financial audits of the accounts

23  and records of all state agencies, as defined in this section,

24  of all district school boards in counties with populations of

25  fewer than 125,000, according to the most recent federal

26  decennial statewide census, and of all district boards of

27  trustees of community colleges. The Auditor General shall, at

28  least every other year, make operational audits of the

29  accounts and records of all state agencies, as defined in this

30  section. The Auditor General shall, at least once every 3

31  years, make financial audits of the accounts and records of

                                  7

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  all district school boards in counties with populations of

  2  125,000 or more. For each of the 2 years that the Auditor

  3  General does not make the financial audit, each district

  4  school board shall contract for an independent certified

  5  public accountant to perform a financial audit as defined in

  6  paragraph (1)(b). This section does not limit the Auditor

  7  General's discretionary authority to conduct performance

  8  audits of these governmental entities as authorized in

  9  subparagraph 3. 2. A district school board may select an

10  independent certified public accountant auditor to perform a

11  financial audit as defined in paragraph (1)(b) notwithstanding

12  the notification provisions of this section. In addition, a

13  district school board may employ an internal auditor to

14  perform ongoing financial verification of the financial

15  records of a school district, who must report directly to the

16  district school board or its designee. The Auditor General

17  shall, at a minimum, provide to the successor independent

18  certified public accountant of a district school board the

19  prior year's working papers, including documentation of

20  planning, internal control, audit results, and other matters

21  of continuing accounting and auditing significance, such as

22  the working paper analysis of balance sheet accounts and those

23  relating to contingencies.

24         2.  Each charter school established under s. 228.056

25  shall have an annual financial audit of its accounts and

26  records completed within 12 months after the end of its fiscal

27  year by an independent certified public accountant retained by

28  it and paid from its funds. The independent certified public

29  accountant who is selected to perform an annual financial

30  audit of the charter school shall provide a copy of the audit

31  report to the district school board, the Department of

                                  8

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  Education, and the Auditor General. A management letter must

  2  be prepared and included as a part of each financial audit

  3  report. The Auditor General may, pursuant to his or her own

  4  authority or at the direction of the Joint Legislative

  5  Auditing Committee, conduct an audit of a charter school.

  6         3.2.  The Auditor General may at any time make

  7  financial audits and performance audits of the accounts and

  8  records of all governmental entities created pursuant to law.

  9  The audits referred to in this subparagraph must be made

10  whenever determined by the Auditor General, whenever directed

11  by the Legislative Auditing Committee, or whenever otherwise

12  required by law or concurrent resolution.  A district school

13  board, expressway authority, or bridge authority may require

14  that the annual financial audit of its accounts and records be

15  completed within 12 months after the end of its fiscal year.

16  If the Auditor General is unable to meet that requirement, the

17  Auditor General shall notify the school board, the expressway

18  authority, or the bridge authority pursuant to subparagraph 5.

19  4.

20         4.3.  The Office of Program Policy Analysis and

21  Government Accountability within the Office of the Auditor

22  General shall maintain a schedule of performance audits of

23  state programs. In conducting a performance audit of a state

24  program, the Office of Program Policy Analysis and Government

25  Accountability, when appropriate, shall identify and comment

26  upon alternatives for accomplishing the goals of the program

27  being audited.  Such alternatives may include funding

28  techniques and, if appropriate, must describe how other states

29  or governmental units accomplish similar goals.

30         5.4.  If by July 1 in any fiscal year a district school

31  board or local governmental entity has not been notified that

                                  9

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  a financial audit for that fiscal year will be performed by

  2  the Auditor General pursuant to subparagraph 3. 2., each

  3  municipality with either revenues or expenditures of more than

  4  $100,000, each special district with either revenues or

  5  expenditures of more than $50,000, and each county agency

  6  shall, and each district school board may, require that an

  7  annual financial audit of its accounts and records be

  8  completed, within 12 months after the end of its respective

  9  fiscal year, by an independent certified public accountant

10  retained by it and paid from its public funds.  An independent

11  certified public accountant who is selected to perform an

12  annual financial audit of a school district must report

13  directly to the district school board or its designee. A

14  management letter must be prepared and included as a part of

15  each financial audit report. Each local government finance

16  commission, board, or council, and each municipal power

17  corporation, created as a separate legal or administrative

18  entity by interlocal agreement under s. 163.01(7), shall

19  provide the Auditor General, within 12 months after the end of

20  its fiscal year, with an annual financial audit report of its

21  accounts and records and a written statement or explanation or

22  rebuttal concerning the auditor's comments, including

23  corrective action to be taken. The county audit shall be one

24  document that includes a separate audit of each county agency.

25  The county audit must include an audit of the deposits into

26  and expenditures from the Public Records Modernization Trust

27  Fund. The Auditor General shall tabulate the results of the

28  audits of the Public Records Modernization Trust Fund and

29  report a summary of the audits to the Legislature annually.

30         6.5.  The governing body of a municipality, or a

31  special district, or charter school must establish an auditor

                                  10

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  selection committee and competitive auditor selection

  2  procedures. The governing board may elect to use its own

  3  competitive auditor selection procedures or the procedures

  4  outlined in subparagraph 7. 6.

  5         7.6.  The governing body of a noncharter county or

  6  district school board that retains elects to use a certified

  7  public accountant must establish an auditor selection

  8  committee and select other than the Auditor General is

  9  responsible for selecting an independent certified public

10  accountant to audit the county agencies of the county or

11  district school board according to the following procedure:

12         a.  For each noncharter county, the an auditor

13  selection committee must consist be established, consisting of

14  the county officers elected pursuant to s. 1(d), Art. VIII of

15  the State Constitution, and one member of the board of county

16  commissioners or its designee.

17         b.  The committee shall publicly announce, in a uniform

18  and consistent manner, each occasion when auditing services

19  are required to be purchased. Public notice must include a

20  general description of the audit and must indicate how

21  interested certified public accountants can apply for

22  consideration.

23         c.  The committee shall encourage firms engaged in the

24  lawful practice of public accounting who desire to provide

25  professional services to submit annually a statement of

26  qualifications and performance data.

27         d.  Any certified public accountant desiring to provide

28  auditing services must first be qualified pursuant to law. The

29  committee shall make a finding that the firm or individual to

30  be employed is fully qualified to render the required

31  services. Among the factors to be considered in making this

                                  11

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  finding are the capabilities, adequacy of personnel, past

  2  record, and experience of the firm or individual.

  3         e.  The committee shall adopt procedures for the

  4  evaluation of professional services, including, but not

  5  limited to, capabilities, adequacy of personnel, past record,

  6  experience, results of recent external quality control

  7  reviews, and such other factors as may be determined by the

  8  committee to be applicable to its particular requirements.

  9         f.  The public must not be excluded from the

10  proceedings under this subparagraph.

11         g.  The committee shall evaluate current statements of

12  qualifications and performance data on file with the

13  committee, together with those that may be submitted by other

14  firms regarding the proposed audit, and shall conduct

15  discussions with, and may require public presentations by, no

16  fewer than three firms regarding their qualifications,

17  approach to the audit, and ability to furnish the required

18  services.

19         h.  The committee shall select no fewer than three

20  firms deemed to be the most highly qualified to perform the

21  required services after considering such factors as the

22  ability of professional personnel; past performance;

23  willingness to meet time requirements; location; recent,

24  current, and projected workloads of the firms; and the volume

25  of work previously awarded to the firm by the agency, with the

26  object of effecting an equitable distribution of contracts

27  among qualified firms, provided such distribution does not

28  violate the principle of selection of the most highly

29  qualified firms.  If fewer than three firms desire to perform

30  the services, the committee shall recommend such firms as it

31  determines to be qualified.

                                  12

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1         i.  If the governing board receives more than one

  2  proposal for the same engagement, the board may rank, in order

  3  of preference, the firms to perform the engagement.  The firm

  4  ranked first may then negotiate a contract with the board

  5  giving, among other things, a basis of its fee for that

  6  engagement.  If the board is unable to negotiate a

  7  satisfactory contract with that firm, negotiations with that

  8  firm shall be formally terminated, and the board shall then

  9  undertake negotiations with the second-ranked firm. Failing

10  accord with the second-ranked firm, negotiations shall then be

11  terminated with that firm and undertaken with the third-ranked

12  firm. Negotiations with the other ranked firms shall be

13  undertaken in the same manner.  The board, in negotiating with

14  firms, may reopen formal negotiations with any one of the

15  three top-ranked firms, but it may not negotiate with more

16  than one firm at a time. The board shall also negotiate on the

17  scope and quality of services. In making such determination,

18  the board shall conduct a detailed analysis of the cost of the

19  professional services required in addition to considering

20  their scope and complexity. For contracts over $50,000, the

21  board shall require the firm receiving the award to execute a

22  truth-in-negotiation certificate stating that the rates of

23  compensation and other factual unit costs supporting the

24  compensation are accurate, complete, and current at the time

25  of contracting. Such certificate shall also contain a

26  description and disclosure of any understanding that places a

27  limit on current or future years' audit contract fees,

28  including any arrangements under which fixed limits on fees

29  will not be subject to reconsideration if unexpected

30  accounting or auditing issues are encountered. Such

31  certificate shall also contain a description of any services

                                  13

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  rendered by the certified public accountant or firm of

  2  certified public accountants at rates or terms that are not

  3  customary.  Any auditing service contract under which such a

  4  certificate is required must contain a provision that the

  5  original contract price and any additions thereto shall be

  6  adjusted to exclude any significant sums by which the board

  7  determines the contract price was increased due to inaccurate

  8  or incomplete factual unit costs.  All such contract

  9  adjustments shall be made within 1 year following the end of

10  the contract.

11         j.  If the board is unable to negotiate a satisfactory

12  contract with any of the selected firms, the committee shall

13  select additional firms, and the board shall continue

14  negotiations in accordance with this subsection until an

15  agreement is reached.

16         8.7.  At the conclusion of the audit field work, the

17  independent certified public accountant shall discuss with the

18  head of each local governmental entity or the chair's designee

19  or with the chair of the district school board or the chair's

20  designee, or with the chair of the board of the charter school

21  or the chair's designee, as appropriate, all of the auditor's

22  comments that will be included in the audit report.  If the

23  officer is not available to discuss the auditor's comments,

24  their discussion is presumed when the comments are delivered

25  in writing to his or her office. The auditor shall notify each

26  member of the governing body of a local governmental entity

27  for which deteriorating financial conditions exist which may

28  cause a condition described in s. 218.503(1) to occur if

29  actions are not taken to address such conditions.

30         9.8.  The officer's written statement of explanation or

31  rebuttal concerning the auditor's comments, including

                                  14

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  corrective action to be taken, must be filed with the

  2  governing body of the local governmental entity, or district

  3  school board, or charter school within 30 days after the

  4  delivery of the financial audit report.

  5         10.9.  The Auditor General, in consultation with the

  6  Board of Accountancy, shall adopt rules for the form and

  7  conduct of all financial audits subject to this section and

  8  conducted by independent certified public accountants local

  9  governmental entity audits. The Department of Education, in

10  consultation with the Auditor General, shall develop a

11  compliance supplement for the financial audit of a district

12  school board conducted by an independent certified public

13  accountant. The rules for audits of local governmental

14  entities and district school boards must include, but are not

15  limited to, requirements for the reporting of information

16  necessary to carry out the purposes of the Local Government

17  Financial Emergencies Act as stated in s. 218.501.

18         11.10.  Any local governmental entity or district

19  school board financial audit report required under

20  subparagraph 5. 4. or charter school financial audit report

21  required under subparagraph 2. and the officer's written

22  statement of explanation or rebuttal concerning the auditor's

23  comments, including corrective action to be taken, must be

24  submitted to the Auditor General within 45 days after delivery

25  of the audit report to the local governmental entity, or

26  district school board, or charter school, but no later than 12

27  months after the end of the fiscal year. If the Auditor

28  General does not receive the financial audit report within the

29  prescribed period, he or she must notify the Legislative

30  Auditing Committee that the governmental entity or charter

31  school has not complied with this subparagraph. Following

                                  15

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  notification of failure to submit the required audit report or

  2  items required by rule adopted by the Auditor General, a

  3  hearing must be scheduled by rule of the committee. After the

  4  hearing, the committee shall determine which local

  5  governmental entities or charter schools will be subjected to

  6  further state action.  If it finds that one or more local

  7  governmental entities or charter schools should be subjected

  8  to further state action, the committee shall:

  9         a.  In the case of a local governmental entity,

10  district school board, or charter school, request the

11  Department of Revenue and the Department of Banking and

12  Finance to withhold any funds payable to such governmental

13  entity or charter school until the required financial audit is

14  received by the Auditor General.

15         b.  In the case of a special district, notify the

16  Department of Community Affairs that the special district has

17  failed to provide the required audits.  Upon receipt of

18  notification, the Department of Community Affairs shall

19  proceed pursuant to ss. 189.421 and 189.422.

20         12.11.a.  The Auditor General, in consultation with the

21  Board of Accountancy, shall review all audit reports submitted

22  by local governmental entities pursuant to subparagraph 11. 9.

23  The Auditor General shall request any significant items that

24  were omitted in violation of a rule adopted by the Auditor

25  General. The items must be provided within 45 days after the

26  date of the request. If the Auditor General does not receive

27  the requested items, he or she shall notify the Joint

28  Legislative Auditing Committee.

29         b.  The Auditor General shall notify the Governor and

30  the Joint Legislative Auditing Committee of any audit report

31  reviewed by the Auditor General which contains a statement

                                  16

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  that the local governmental entity or district school board is

  2  in a state of financial emergency as provided in s. 218.503.

  3  If the Auditor General, in reviewing any audit report,

  4  identifies additional information which indicates that the

  5  local governmental entity or district school board may be in a

  6  state of financial emergency as provided in s. 218.503, the

  7  Auditor General shall request appropriate clarification from

  8  the local governmental entity or district school board.  The

  9  requested clarification must be provided within 45 days after

10  the date of the request.  If the Auditor General does not

11  receive the requested clarification, he or she shall notify

12  the Joint Legislative Auditing Committee.  If, after obtaining

13  the requested clarification, the Auditor General determines

14  that the local governmental entity or district school board is

15  in a state of financial emergency as provided in s. 218.503,

16  he or she shall notify the Governor and the Joint Legislative

17  Auditing Committee.

18         c.  The Auditor General shall annually compile and

19  transmit to the President of the Senate, the Speaker of the

20  House of Representatives, and the Joint Legislative Auditing

21  Committee a summary of significant findings and financial

22  trends identified in audits of local governmental entities,

23  district school boards, and charter schools performed by the

24  independent certified public accountants.

25         13.12.  In conducting a performance audit of any

26  agency, the Auditor General shall use the Agency Strategic

27  Plan of the agency in evaluating the performance of the

28  agency.

29         (b)  The Legislative Auditing Committee may authorize

30  and direct the Auditor General to make a financial audit of

31  any municipality or independent agency or authority of any

                                  17

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  municipality within the state, and the committee shall direct

  2  the Auditor General to make a financial audit of any

  3  municipality such audit whenever petitioned to do so by at

  4  least 20 percent of the electors of that any municipality.

  5  The supervisor of elections of the county in which the

  6  municipality is located shall certify whether or not the

  7  petition contains the signatures of at least 20 percent of the

  8  electors of the municipality. After the completion of the

  9  audit, the Auditor General shall determine whether the

10  municipality has the fiscal resources necessary to pay the

11  cost of the audit. The municipality shall pay the cost of the

12  audit within 90 days after the Auditor General's determination

13  that the municipality has the available resources. If The

14  expenses of such audit shall be paid by the municipality and,

15  in the event the municipality fails to pay the cost of the

16  audit, the Department of Revenue shall, upon certification of

17  the Auditor General, withhold from that portion of the

18  municipal financial assistance trust fund for municipalities

19  which is derived from the cigarette tax imposed under chapter

20  210, and which is distributable to such municipality, a sum

21  sufficient to pay the cost of the audit and shall deposit that

22  sum into the General Revenue Fund of the state.

23         (c)  The Auditor General shall at least every 2 years

24  make a performance audit of the local government financial

25  reporting system, which, for the purpose of this chapter,

26  means the reporting provisions of this subsection and

27  subsection (4); s. 27.3455(1) and (2); part VII of chapter

28  112; s. 163.05; s. 166.241; chapter 189; parts III and V of

29  chapter 218; and s. 925.037(5). The performance audit shall

30  analyze each component of the reporting system separately and

31  analyze the reporting system as a whole. The purpose of such

                                  18

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  an audit is to determine the accuracy, efficiency, and

  2  effectiveness of the reporting system in achieving its goals

  3  and objectives and to make recommendations to the local

  4  governments, the Governor, and the Legislature as to how the

  5  reporting system can be improved and how program costs can be

  6  reduced. Such goals and objectives must include, but need not

  7  be limited to, the timely, accurate, uniform, and

  8  cost-effective accumulation of financial and other information

  9  that can be used by the members of the Legislature and other

10  appropriate officials in order to:

11         1.  Compare and contrast revenue sources and

12  expenditures of local governmental entities;

13         2.  Assess the fiscal impact of the formation,

14  dissolution, and activity of special districts;

15         3.  Evaluate the fiscal impact of state mandates on

16  local governmental entities;

17         4.  Assess financial or economic conditions of local

18  governmental entities; and

19         5.  Improve communication and coordination among state

20  agencies and local governmental entities.

21         (d)  Whenever a local governmental entity requests the

22  Auditor General to conduct an audit of all or part of its

23  operations and the Auditor General conducts the audit under

24  his or her own authority or at the direction of the

25  Legislative Auditing Committee conducts the audit, the

26  expenses of the audit shall be paid for by the local

27  governmental entity. The Auditor General shall estimate the

28  cost of the audit. Fifty percent of the cost estimate shall be

29  paid by the local governmental entity before the initiation of

30  the audit and deposited into the General Revenue Fund of the

31  state. After the completion of the audit, the Auditor General

                                  19

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  shall forward the actual cost of the audit to the local

  2  governmental entity. The local governmental entity shall remit

  3  the remainder of the cost of the audit to the Auditor General

  4  for deposit into the General Revenue Fund of the state. If the

  5  local governmental entity fails to pay the cost of the audit,

  6  the Auditor General shall notify the Legislative Auditing

  7  Committee. Following the notification, the committee may

  8  schedule a hearing. After the hearing, the committee shall

  9  determine which local governmental entities should be subject

10  to further state action. If the committee finds that one or

11  more local governmental entities should be subject to further

12  state action, the committee shall:

13         1.  In the case of a local governmental entity, request

14  the Department of Revenue and the Department of Banking and

15  Finance to withhold any funds payable to the governmental

16  entity until the required payment is received by the Auditor

17  General.

18         2.  In the case of a special district, notify the

19  Department of Community Affairs that the special district has

20  failed to pay for the cost of the audit. Upon receipt of

21  notification, the Department of Community Affairs shall

22  proceed pursuant to the provisions specified in ss. 189.421

23  and 189.422.

24         (7)

25         (f)  No later than 18 months after the release of a

26  performance audit report, the agencies which are the subject

27  of that report shall provide data and other information that

28  describes with specificity what the agencies have done to

29  respond to the recommendations contained in the report.  The

30  Auditor General or the Office of Program Policy Analysis and

31  Government Accountability may verify the data and information

                                  20

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  provided by the agencies.  If the data and information

  2  provided by the agencies are deemed sufficient and accurate,

  3  the Auditor General or the Office of Program Policy Analysis

  4  and Government Accountability shall report to the Joint

  5  Legislative Auditing Committee and to the legislative standing

  6  committees concerned with the subject areas of the audit.  The

  7  report shall include a summary of the agencies' responses, the

  8  evaluation of those responses, and any recommendations deemed

  9  to be appropriate. The follow-up report required by this

10  paragraph may be waived by joint action of the President of

11  the Senate and the Speaker of the House of Representatives

12  upon the recommendation of the Director of the Office of

13  Program Policy Analysis and Government Accountability.

14         Section 3.  All statutory powers, duties, and functions

15  related to investigating public assistance fraud are

16  transferred from the Auditor General to the Department of Law

17  Enforcement by a type one transfer, as defined in section

18  20.06, Florida Statutes, effective October 1, 1999.

19         Section 4.  Section 11.50, Florida Statutes, is

20  transferred, renumbered as section 943.401, Florida Statutes,

21  and amended to read:

22         943.401 11.50  Division of Public Assistance Fraud.--

23         (1)(a)  The Department of Law Enforcement Auditor

24  General shall investigate, on his or her own initiative or

25  when required by the Legislative Auditing Committee, public

26  assistance made under the provisions of chapter 409 or chapter

27  414. In the course of such investigation the Department of Law

28  Enforcement Auditor General shall examine all records,

29  including electronic benefits transfer records and make

30  inquiry of all persons who may have knowledge as to any

31  irregularity incidental to the disbursement of public moneys,

                                  21

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  food stamps, or other items or benefits authorizations to

  2  recipients.

  3         (b)  All public assistance recipients, as a condition

  4  precedent to qualification for assistance under the provisions

  5  of chapter 409 or chapter 414, shall first give in writing, to

  6  the Agency for Health Care Administration, or the Department

  7  of Health, and the Department of Children and Family

  8  Rehabilitative Services, as appropriate, and to the Department

  9  of Law Enforcement Division of Public Assistance Fraud,

10  consent to make inquiry of past or present employers and

11  records, financial or otherwise.

12         (2)  In the conduct of such investigation the

13  Department of Law Enforcement Auditor General may employ

14  persons having such qualifications as are useful in the

15  performance of this duty, and those individuals shall be

16  assigned to the Division of Public Assistance Fraud which is

17  hereby created within the office of the Auditor General.

18         (3)  The results of such investigation shall be

19  reported by the Department of Law Enforcement Auditor General

20  to the appropriate legislative committees Auditing Committee,

21  the Agency for Health Care Administration, the Department of

22  Health, and the Department of Children and Family

23  Rehabilitative Services, and to such others as the Department

24  of Law Enforcement Legislative Auditing Committee or the

25  Auditor General may determine.

26         (4)  The Department of Health and the Department of

27  Children and Family Rehabilitative Services shall report to

28  the Department of Law Enforcement Auditor General the final

29  disposition of all cases wherein action has been taken

30  pursuant to s. 414.39, based upon information furnished by the

31

                                  22

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  Department of Law Enforcement Division of Public Assistance

  2  Fraud.

  3         (5)  All lawful fees and expenses of officers and

  4  witnesses, expenses incident to taking testimony and

  5  transcripts of testimony and proceedings are requested by the

  6  Legislative Auditing Committee or the Auditor General shall be

  7  a proper charge to the Department of Law Enforcement

  8  appropriation of the Auditor General. All payments for these

  9  purposes shall be on vouchers approved by the Auditor General.

10         (6)  The provisions of this section shall be liberally

11  construed in order to carry out effectively the purposes of

12  this section in the interest of protecting public moneys and

13  other public property.

14         Section 5.  Paragraph (b) of subsection (6) of section

15  402.3015, Florida Statutes, is amended to read:

16         402.3015  Subsidized child care program; purpose; fees;

17  contracts.--

18         (6)

19         (b)  Child care services, unless directly operated by a

20  community child care coordinating agency, shall be provided

21  under a service agreement or by voucher, which ensures, to the

22  maximum extent possible, parental choice through flexibility

23  in child care arrangements and payment arrangements. When

24  used, a voucher must bear the name of the beneficiary and the

25  child care provider and, when redeemed, must bear the

26  signature of both the beneficiary and an authorized

27  representative of the child care provider. If it is determined

28  that a child care provider has provided any cash to the

29  beneficiary in return for receiving the voucher, the license

30  for each child care facility operated by the provider shall be

31  immediately revoked and any facility operated by the provider

                                  23

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  is ineligible for relicensure for 3 years. Whether or not the

  2  provider is licensed, the department shall refer the matter to

  3  the Department of Law Enforcement Division of Public

  4  Assistance Fraud of the Office of the Auditor General for

  5  investigation.

  6         Section 6.  Subsection (2) of section 414.33, Florida

  7  Statutes, is amended to read:

  8         414.33  Violations of food stamp program.--

  9         (2)  In addition, the department shall establish

10  procedures for referring to the Department of Law Enforcement

11  Division of Public Assistance Fraud within the Office of the

12  Auditor General any case that involves a suspected violation

13  of federal or state law or rules governing the administration

14  of the food stamp program.

15         Section 7.  Section 414.34, Florida Statutes, is

16  amended to read:

17         414.34  Annual report concerning administrative

18  complaints and disciplinary actions involving food stamp

19  program violations.--The department shall prepare and submit a

20  report to the President of the Senate, the Speaker of the

21  House of Representatives, the chairs of the appropriate

22  legislative Health and Rehabilitative Services committees, and

23  the Department of Law Enforcement Division of Public

24  Assistance Fraud by January 1 of each year.  In addition to

25  any other information the Legislature may require, the report

26  must include statistics and relevant information detailing:

27         (1)  The number of complaints received and

28  investigated.

29         (2)  The number of findings of probable cause made.

30         (3)  The number of findings of no probable cause made.

31         (4)  The number of administrative complaints filed.

                                  24

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1         (5)  The disposition of all administrative complaints.

  2         (6)  The number of criminal complaints brought under s.

  3  414.39, and their disposition.

  4         (7)  The status of the development and implementation

  5  of rules governing the electronic benefits transfer program,

  6  including any recommendations for statutory changes.

  7         Section 8.  Subsection (9) of section 414.39, Florida

  8  Statutes, is amended to read:

  9         414.39  Fraud.--

10         (9)  All records relating to investigations of public

11  assistance fraud in the custody of the department and the

12  Agency for Health Care Administration are available for

13  examination by the Department of Law Enforcement Division of

14  Public Assistance Fraud of the office of the Auditor General

15  pursuant to s. 11.50 and are admissible into evidence in

16  proceedings brought under this section as business records

17  within the meaning of s. 90.803(6).

18         Section 9.  Section 414.40, Florida Statutes, is

19  amended to read:

20         414.40  Stop Inmate Fraud Program established;

21  guidelines.--

22         (1)  There is created within the Department of Law

23  Enforcement Division of Public Assistance Fraud of the Office

24  of the Auditor General a Stop Inmate Fraud Program.

25         (2)  The Department of Law Enforcement division is

26  directed to implement the Stop Inmate Fraud Program in

27  accordance with the following guidelines:

28         (a)  The program shall establish procedures for sharing

29  public records not exempt from the public records law among

30  social services agencies regarding the identities of persons

31  incarcerated in state correctional institutions, as defined in

                                  25

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  s. 944.02(6), or in county, municipal, or regional jails or

  2  other detention facilities of local governments under chapter

  3  950 or chapter 951 who are wrongfully receiving public

  4  assistance benefits or entitlement benefits.

  5         (b)  Pursuant to these procedures, the program shall

  6  have access to records containing correctional information not

  7  exempt from the public records law on incarcerated persons

  8  which have been generated as criminal justice information.  As

  9  used in this paragraph, the term "record" is defined as

10  provided in s. 943.045(7), and the term "criminal justice

11  information" is defined as provided in s. 943.045(3).

12         (c)  Database searches shall be conducted of the inmate

13  population at each correctional institution or other detention

14  facility.  A correctional institution or a detention facility

15  shall provide the Stop Inmate Fraud Program with the

16  information necessary to identify persons wrongfully receiving

17  benefits in the medium requested by the Stop Inmate Fraud

18  Program if the correctional institution or detention facility

19  maintains the information in that medium.

20         (d)  Data obtained from correctional institutions or

21  other detention facilities shall be compared with the client

22  files of the Department of Children and Family Services, the

23  Department of Labor and Employment Security, and other state

24  or local agencies as needed to identify persons wrongfully

25  obtaining benefits.  Data comparisons shall be accomplished

26  during periods of low information demand by agency personnel

27  to minimize inconvenience to the agency.

28         (e)  Results of data comparisons shall be furnished to

29  the appropriate office for use in the county in which the data

30  originated.  The program may provide reports of the data it

31  obtains to appropriate state, federal, and local government

                                  26

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  agencies or governmental entities, including, but not limited

  2  to:

  3         1.  The Child Support Enforcement Program of the

  4  Department of Revenue, so that the data may be used as locator

  5  information on persons being sought for purposes of child

  6  support.

  7         2.  The Social Security Administration, so that the

  8  data may be used to reduce federal entitlement fraud within

  9  the state.

10         (f)  Reports by the program to another agency or entity

11  shall be generated bimonthly, or as otherwise directed, and

12  shall be designed to accommodate that agency's or entity's

13  particular needs for data.

14         (g)  Only those persons with active cases, or with

15  cases that were active during the incarceration period, shall

16  be reported, in order that the funding agency or entity, upon

17  verification of the data, may take whatever action is deemed

18  appropriate.

19         (h)  For purposes of program review and analysis, each

20  agency or entity receiving data from the program shall submit

21  reports to the program which indicate the results of how the

22  data was used.

23         Section 10.  Section 951.28, Florida Statutes, is

24  amended to read:

25         951.28  Transmitting prisoner information to reduce

26  public assistance fraud.--Upon consultation with the

27  Department of Law Enforcement Division of Public Assistance

28  Fraud of the Office of the Auditor General and the Social

29  Security Administration, the county sheriff or chief

30  correctional officer or his or her designee shall establish

31  and implement a process to submit to the Social Security

                                  27

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  Administration, directly or indirectly, sufficient and

  2  necessary information to identify incarcerated persons who are

  3  wrongfully receiving entitlement benefits and payments.

  4         Section 11.  Section 373.589, Florida Statutes, is

  5  amended to read:

  6         373.589  Water management district audit by Auditor

  7  General.--Each water management district shall have an annual

  8  financial audit of its accounts and records as provided in s.

  9  11.45. A copy of the audit shall be filed with the Governor,

10  the Department of Environmental Protection, the Auditor

11  General, the governing board of the district, and the clerks

12  of the circuit courts of each county within or partly within

13  the district. At the direction of the Governor, audit of the

14  district's accounts may be made from time to time by the

15  Auditor General, and such audit shall be within the authority

16  of said Auditor General, to make. Copy of such audit shall be

17  furnished the Governor and the governing board of the

18  district, and a copy shall be filed with the clerks of the

19  circuit courts of each county within or partly within said

20  district. The expense of said audit shall be paid by the

21  district upon a statement thereof rendered to the district by

22  the Auditor General.  Payment of the amount thereof shall be

23  made to the State Department of Banking and Finance to be

24  entered in and to reimburse the account of the Auditor General

25  so as not to reduce the legislative appropriation for said

26  Auditor General.

27         Section 12.  Subsection (7) of section 195.096, Florida

28  Statutes, is amended to read:

29         195.096  Review of assessment rolls.--

30         (7)  The Auditor General shall have the responsibility

31  to perform performance audits of the administration of ad

                                  28

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  valorem tax laws by the department pursuant to the general

  2  authority granted in chapter 11.  Such performance audits

  3  shall be conducted triennially biennially following completion

  4  of reviews pursuant to this section.  The performance audit

  5  conducted pursuant to this subsection shall be formally

  6  submitted to the Legislature no later than April 1, on a

  7  triennial biennial basis, reporting on the activities of the

  8  ad valorem tax program of the Department of Revenue related to

  9  the ad valorem tax rolls. The Auditor General shall include,

10  for at least four counties so reviewed, findings as to the

11  accuracy of assessment procedures, projections, and

12  computations made by the division, utilizing the same

13  generally accepted appraisal standards and procedures to which

14  the division and the property appraisers are required to

15  adhere. However, the report shall not include any findings or

16  statistics related to any ad valorem tax roll which is in

17  litigation between the state and county officials at the time

18  the report is to be issued.

19         Section 13.  Subsection (1) of section 232.44, Florida

20  Statutes, is amended to read:

21         232.44  Audit of records of nonprofit corporations and

22  associations handling interscholastic activities.--

23         (1)  Each The Auditor General shall, at least every 6

24  months, audit the books and records of any nonprofit

25  association or corporation that which operates for the purpose

26  of supervising and controlling interscholastic activities of

27  the public high schools in the state and whose membership is

28  composed of duly certified representatives of public high

29  schools in the state, and whose rules and regulations are

30  established by members thereof, shall have an annual financial

31  audit of its accounts and records by an independent certified

                                  29

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  public accountant retained by it and paid from its funds. The

  2  accountant shall furnish a copy of the audit report to the

  3  Auditor General for review.

  4         Section 14.  Section 946.516, Florida Statutes, is

  5  amended to read:

  6         946.516  Report to Governor, and Legislature, and

  7  Auditor General by the corporation; Department of Corrections

  8  report; annual financial audit report to Governor and

  9  Legislature by Auditor General.--

10         (1)  The corporation shall submit to the Governor and

11  the Legislature, on or before January 1 of each year, a report

12  on the status of the correctional work programs, including,

13  but not limited to, the proposed use of the profits from such

14  programs, a breakdown of the amount of noninmate labor used,

15  work subcontracted to other vendors, use of consultants,

16  finished goods purchased for resale, and the number of inmates

17  working in the correctional work programs at the time of such

18  report.  In addition, the corporation shall submit to the

19  department, the Governor, and the Legislature, and the Auditor

20  General an annual independently audited financial audit report

21  statement and such other information as may be requested by

22  the Legislature, together with recommendations relating to

23  provisions for reasonable tax incentives to private

24  enterprises which employ inmates, parolees, or former inmates

25  who have participated in correctional work programs.

26         (2)  The department shall include, as a portion of its

27  annual report, a report on postrelease job placement and the

28  rate of subsequent contact with the correctional system for

29  those inmates who have participated in the correctional work

30  programs operated by the corporation and by the department.

31

                                  30

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1         (3)  The corporation shall have an annual financial

  2  audit of its accounts and records by an independent certified

  3  public accountant retained by it and paid from its funds. The

  4  Auditor General or the director of the Office of Program

  5  Policy Analysis and Government Accountability may, pursuant to

  6  his or her own authority or at the direction of the Joint

  7  Legislative Auditing Committee, conduct an audit of the

  8  corporation.  The Auditor General shall biennially conduct a

  9  financial and performance audit of the corporation, which

10  shall be conducted in conjunction with an independent audit

11  conducted by the auditors of the corporation. The Auditor

12  General shall conduct additional audits upon the request of

13  the Joint Legislative Auditing Committee.

14         (4)  The corporation shall be governed by the generally

15  accepted accounting principles as established by the Financial

16  Accounting Standards Board (FASB) in order to carry out the

17  intent of s. 946.502(2) and (5).

18         Section 15.  Section 283.31, Florida Statutes, is

19  amended to read:

20         283.31  Records of executive agency publications.--Each

21  agency shall maintain a record of any publication the printing

22  of which costs in excess of the threshold amount provided in

23  s. 287.017 for CATEGORY THREE, at least part of which is paid

24  for by state funds appropriated by the Legislature. Such

25  record shall also contain the following:  written

26  justification of the need for such publication, purpose of

27  such publication, legislative or administrative authority,

28  sources of funding, frequency and number of issues, and

29  reasons for deciding to have the publication printed in-house,

30  by another agency or the Legislature, or purchased on bid.  In

31  addition, such record shall contain the comparative costs of

                                  31

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  alternative printing methods when such costs were a factor in

  2  deciding upon a method. The record of the corporation

  3  operating the correctional industry printing program

  4  Compliance with the provisions of this section shall be

  5  included within the scope of audits performed by the Auditor

  6  General on each agency, and such audits shall be performed not

  7  less than once every 3 years.  The Auditor General shall also

  8  conduct a financial-related and performance audit of the

  9  corporation operating the correctional industry program.  Such

10  audit shall be conducted once every 3 years, and the first

11  audit shall be for the period July 1, 1988, through June 30,

12  1990, to be completed prior to the 1991 regular legislative

13  session.  Such audit shall include a review of the printing

14  that the corporation has done for state agencies.  This review

15  shall include the cost of materials used, the cost of labor,

16  the cost of overhead, the amount of profit made by the

17  corporation for such printing, and whether the state agencies

18  that contract with the corporation for printing are prudently

19  determining the price paid for such printing. Such audits

20  shall be completed no later than the first day of the regular

21  legislative session.

22         Section 16.  Subsection (5) of section 944.719, Florida

23  Statutes, is amended to read:

24         944.719  Adoption of rules, monitoring, and

25  reporting.--

26         (5)  The Office of Program Policy Analysis and

27  Government Accountability Auditor General shall conduct a

28  performance audit, including a review of the annual financial

29  audit of the private entity and shall deliver a report to the

30  Legislature by February April 1 of the third first year

31

                                  32

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  following any contract awarded by the department for the

  2  operation of a correctional facility by a private vendor.

  3         (a)  The report shall determine the reasonableness of

  4  the cost analysis procedures used by the department for

  5  comparing services provided under the contract and for

  6  comparing the quality of the services provided under the

  7  contract with the costs and quality of similar services

  8  provided by the department.

  9         (b)  In preparing the report, the office Auditor

10  General shall consider, in addition to other factors he or she

11  determines are significant:

12         1.  The extent to which the private vendor and the

13  department have complied with the terms of the contract and

14  ss. 944.710-944.719.

15         2.  The wages and benefits that are provided to the

16  staff of the private correctional facility as compared to

17  wages and benefits provided to employees of the department

18  performing comparable tasks.

19         Section 17.  Paragraph (a) of subsection (3) and

20  subsection (6) of section 11.511, Florida Statutes, are

21  amended and subsection (7) is added to that section, to read:

22         11.511  Director of the Office of Program Policy

23  Analysis and Government Accountability; appointment;

24  employment of staff; powers and duties.--

25         (3)(a)  Within available funds, The director shall make

26  all spending decisions under the annual operating budget

27  approved by the President of the Senate and the Speaker of the

28  House of Representatives. The director shall employ and set

29  the compensation of such professional, technical, legal, and

30  clerical staff as may be necessary to perform all the

31  requirements of this section and s. 11.513, in accordance with

                                  33

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  the policies and procedures of the Legislative Auditing

  2  Committee, and may remove these personnel. The staff must be

  3  chosen to provide a broad background of experience and

  4  expertise and, to the maximum extent possible, to represent a

  5  range of disciplines that includes law, engineering, public

  6  administration, environmental science, policy science,

  7  economics, sociology, and philosophy.

  8         (6)  The director, with the consent of the Legislative

  9  Auditing Committee, may enter into contracts on behalf of the

10  Office of Program Policy Analysis and Government

11  Accountability. However, the director may enter into contracts

12  that have been approved in the annual operating budget without

13  the consent of the committee.

14         (7)  The director, with the consent of the President of

15  the Senate and the Speaker of the House of Representatives,

16  may modify the work schedule of the office in order to

17  concentrate its efforts on agency programs that are determined

18  to have high oversight priority. The modification may include

19  reduction or elimination of recurring performance audits

20  existing in law on July 1, 1999, but which do not appear to be

21  of critical interest to the Legislature. The director may at

22  any time conduct a performance review of a governmental entity

23  created by law.

24         Section 18.  Subsection (4) of section 11.513, Florida

25  Statutes, is amended, and subsection (8) is added to that

26  section, to read:

27         11.513  Program evaluation and justification review.--

28         (4)  No later than December July 1 of the second year

29  following the year in which an agency begins operating under a

30  performance-based program budget, the Office of Program Policy

31  Analysis and Government Accountability shall submit a report

                                  34

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  of evaluation and justification review findings and

  2  recommendations to the President of the Senate, the Speaker of

  3  the House of Representatives, the chairpersons of the

  4  appropriate substantive committees, the chairpersons of the

  5  appropriations committees, the Legislative Auditing Committee,

  6  the Governor, the head of each state agency that was the

  7  subject of the evaluation and justification review, and the

  8  head of any state agency that is substantially affected by the

  9  findings and recommendations.

10         (8)  If recommended by the director of the Office of

11  Program Policy Analysis and Government Accountability, the

12  President of the Senate and the Speaker of the House of

13  Representatives may jointly direct that any program evaluation

14  and justification review requirement existing on July 1, 1999,

15  be postponed to allow the Office of Program Policy Analysis

16  and Government Accountability to conduct a review of another

17  program considered more urgent.

18         Section 19.  Subsections (6) and (7), paragraph (a) of

19  subsection (8), and paragraph (f) of subsection (9) of section

20  112.3187, Florida Statutes, are amended to read:

21         112.3187  Adverse action against employee for

22  disclosing information of specified nature prohibited;

23  employee remedy and relief.--

24         (6)  TO WHOM INFORMATION DISCLOSED.--The information

25  disclosed under this section must be disclosed to any agency

26  or federal government entity having the authority to

27  investigate, police, manage, or otherwise remedy the violation

28  or act, including, but not limited to, the Office of the Chief

29  Inspector General, an agency inspector general or the employee

30  designated as agency inspector general under s. 112.3189(1) or

31  inspectors general under s. 20.055, the Florida Commission on

                                  35

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  Human Relations Office of the Public Counsel, and the

  2  whistle-blower's hotline created under s. 112.3189. However,

  3  for disclosures concerning a local governmental entity,

  4  including any regional, county, or municipal entity, special

  5  district, community college district, or school district or

  6  any political subdivision of any of the foregoing, the

  7  information must be disclosed to a chief executive officer as

  8  defined in s. 447.203(9) or other appropriate local official.

  9         (7)  EMPLOYEES AND PERSONS PROTECTED.--This section

10  protects employees and persons who disclose information on

11  their own initiative in a written and signed complaint; who

12  are requested to participate in an investigation, hearing, or

13  other inquiry conducted by any agency or federal government

14  entity; who refuse to participate in any adverse action

15  prohibited by this section; or who initiate a complaint

16  through the whistle-blower's hotline; or employees who file

17  any written complaint to their supervisory officials or

18  employees who submit a complaint to the Chief Inspector

19  General in the Executive Office of the Governor, to the

20  employee designated as agency inspector general under s.

21  112.3189(1), or to the Florida Commission on Human Relations

22  Office of the Public Counsel.  The provisions of this section

23  may not be used by a person while he or she is under the care,

24  custody, or control of the state correctional system or, after

25  release from the care, custody, or control of the state

26  correctional system, with respect to circumstances that

27  occurred during any period of incarceration.  No remedy or

28  other protection under ss. 112.3187-112.31895 applies to any

29  person who has committed or intentionally participated in

30  committing the violation or suspected violation for which

31  protection under ss. 112.3187-112.31895 is being sought.

                                  36

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1         (8)  REMEDIES.--

  2         (a)  Any employee of or applicant for employment with

  3  any state agency, as the term "state agency" is defined in s.

  4  216.011, who is discharged, disciplined, or subjected to other

  5  adverse personnel action, or denied employment, because he or

  6  she engaged in an activity protected by this section may file

  7  a complaint, which complaint must be made in accordance with

  8  s. 112.31895.  Upon receipt of notice from the Florida

  9  Commission on Human Relations Public Counsel of termination of

10  the investigation, the complainant may elect to pursue the

11  administrative remedy available under s. 112.31895 or bring a

12  civil action within 180 days after receipt of the notice.

13         (9)  RELIEF.--In any action brought under this section,

14  the relief must include the following:

15         (f)  Temporary reinstatement to the employee's former

16  position or to an equivalent position, pending the final

17  outcome on the complaint, if an employee complains of being

18  discharged in retaliation for a protected disclosure and if a

19  court of competent jurisdiction or the Florida Commission on

20  Human Relations Public Counsel, as applicable under s.

21  112.31895, determines that the disclosure was not made in bad

22  faith or for a wrongful purpose or occurred after an agency's

23  initiation of a personnel action against the employee which

24  includes documentation of the employee's violation of a

25  disciplinary standard or performance deficiency. This

26  paragraph does not apply to an employee of a municipality.

27         Section 20.  Paragraph (a) of subsection (2) of section

28  112.3188, Florida Statutes, is amended to read:

29         112.3188  Confidentiality of information given to the

30  Chief Inspector General, internal auditors, inspectors

31

                                  37

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  general, local chief executive officers, or other appropriate

  2  local officials.--

  3         (2)(a)  Except as specifically authorized by s.

  4  112.3189, all information received by the Chief Inspector

  5  General or an agency inspector general or information produced

  6  or derived from fact-finding or other investigations conducted

  7  by the Florida Commission on Human Relations Department of

  8  Legal Affairs, the Office of the Public Counsel, or the

  9  Department of Law Enforcement is confidential and exempt from

10  s. 119.07(1) if the information is being received or derived

11  from allegations as set forth in paragraph (1)(a) or paragraph

12  (1)(b), and an investigation is active.

13         Section 21.  Section 112.31895, Florida Statutes, is

14  amended to read:

15         112.31895  Investigative procedures in response to

16  prohibited personnel actions.--

17         (1)(a)  If a disclosure under s. 112.3187 includes or

18  results in alleged retaliation by an employer, the employee or

19  former employee of, or applicant for employment with, a state

20  agency, as defined in s. 216.011, that is so affected may file

21  a complaint alleging a prohibited personnel action, which

22  complaint must be made by filing a written complaint with the

23  Office of the Chief Inspector General in the Executive Office

24  of the Governor, the Department of Legal Affairs, or the

25  Florida Commission on Human Relations Office of the Public

26  Counsel, no later than 60 days after the prohibited personnel

27  action.

28         (b)  Within three working days after receiving a

29  complaint under this section, the office or officer receiving

30  the complaint shall acknowledge receipt of the complaint and

31  provide copies of the complaint and any other preliminary

                                  38

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  information available concerning the disclosure of information

  2  under s. 112.3187 to each of the other parties named in

  3  paragraph (a), which parties shall each acknowledge receipt of

  4  such copies to the complainant.

  5         (2)  FACT FINDING.--The Florida Commission on Human

  6  Relations Department of Legal Affairs shall:

  7         (a)  Receive any allegation of a personnel action

  8  prohibited by s. 112.3187, including a proposed or potential

  9  action, and conduct informal fact finding regarding any

10  allegation under this section, to the extent necessary to

11  determine whether there are reasonable grounds to believe that

12  a prohibited personnel action under s. 112.3187 has occurred,

13  is occurring, or is to be taken.

14         (b)  Notify the complainant, within 15 days after

15  receiving a complaint, that the complaint has been received by

16  the department.

17         (c)  Within 90 days after receiving the complaint,

18  provide the Public Counsel, the agency head, and the

19  complainant with a fact-finding report that may include

20  recommendations to the parties or proposed resolution of the

21  complaint.  The fact-finding report shall be presumed

22  admissible in any subsequent or related administrative or

23  judicial review.

24         (3)  CORRECTIVE ACTION AND TERMINATION OF

25  INVESTIGATION.--

26         (a)  The Florida Commission on Human Relations Public

27  Counsel established by s. 350.061, in accordance with this act

28  and for the sole purpose of this act, is empowered to:

29         1.  Receive and investigate complaints from employees

30  alleging retaliation by state agencies, as the term "state

31  agency" is defined in s. 216.011.

                                  39

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1         2.  Protect employees and applicants for employment

  2  with such agencies from prohibited personnel practices under

  3  s. 112.3187.

  4         3.  Petition for stays and petition for corrective

  5  actions, including, but not limited to, temporary

  6  reinstatement.

  7         4.  Recommend disciplinary proceedings pursuant to

  8  investigation and appropriate agency rules and procedures.

  9         5.  Coordinate with the Chief Inspector General in the

10  Executive Office of the Governor and the Florida Commission on

11  Human Relations Department of Legal Affairs to receive,

12  review, and forward to appropriate agencies, legislative

13  entities, or the Department of Law Enforcement disclosures of

14  a violation of any law, rule, or regulation, or disclosures of

15  gross mismanagement, malfeasance, misfeasance, nonfeasance,

16  neglect of duty, or gross waste of public funds.

17         6.  Review rules pertaining to personnel matters issued

18  or proposed by the Department of Management Services, the

19  Public Employees Relations Commission, and other agencies,

20  and, if the Florida Commission on Human Relations Public

21  Counsel finds that any rule or proposed rule, on its face or

22  as implemented, requires the commission of a prohibited

23  personnel practice, provide a written comment to the

24  appropriate agency.

25         7.  Investigate, request assistance from other

26  governmental entities, and, if appropriate, bring actions

27  concerning, allegations of retaliation by state agencies under

28  subparagraph 1.

29         8.  Administer oaths, examine witnesses, take

30  statements, issue subpoenas, order the taking of depositions,

31  order responses to written interrogatories, and make

                                  40

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  appropriate motions to limit discovery, pursuant to

  2  investigations under subparagraph 1.

  3         9.  Intervene or otherwise participate, as a matter of

  4  right, in any appeal or other proceeding arising under this

  5  section before the Public Employees Relations Commission or

  6  any other appropriate agency, except that the Florida

  7  Commission on Human Relations Public Counsel must comply with

  8  the rules of the commission or other agency and may not seek

  9  corrective action or intervene in an appeal or other

10  proceeding without the consent of the person protected under

11  ss. 112.3187-112.31895.

12         10.  Conduct an investigation, in the absence of an

13  allegation, to determine whether reasonable grounds exist to

14  believe that a prohibited action or a pattern of prohibited

15  action has occurred, is occurring, or is to be taken.

16         (b)  Within 15 days after receiving a complaint that a

17  person has been discharged from employment allegedly for

18  disclosing protected information under s. 112.3187, the

19  Florida Commission on Human Relations Public Counsel shall

20  review the information and determine whether temporary

21  reinstatement is appropriate under s. 112.3187(9)(f). If the

22  Florida Commission on Human Relations Public Counsel so

23  determines, it he or she shall apply for an expedited order

24  from the appropriate agency or circuit court for the immediate

25  reinstatement of the employee who has been discharged

26  subsequent to the disclosure made under s. 112.3187, pending

27  the issuance of the final order on the complaint.

28         (c)  The Florida Commission on Human Relations Public

29  Counsel shall notify a complainant of the status of the

30  investigation and any action taken by the Public Counsel at

31

                                  41

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  such times as the commission Public Counsel considers

  2  appropriate.

  3         (d)  The Public Counsel shall review the fact-finding

  4  reports submitted by the Department of Legal Affairs and may

  5  rely upon the findings and recommendations of those reports.

  6         (d)(e)  If the Florida Commission on Human Relations

  7  Public Counsel is unable to conciliate a complaint within 60

  8  days after receipt of the fact-finding report, the Florida

  9  Commission on Human Relations Public Counsel shall terminate

10  the investigation.  Upon termination of any investigation, the

11  Florida Commission on Human Relations Public Counsel shall

12  notify the complainant and the agency head of the termination

13  of the investigation, providing a summary of relevant facts

14  found during the investigation and the reasons for terminating

15  the investigation.  A written statement under this paragraph

16  is presumed admissible as evidence in any judicial or

17  administrative proceeding but is not admissible without the

18  consent of the complainant.

19         (e)(f)1.  The Florida Commission on Human Relations

20  Public Counsel may request an agency or circuit court to order

21  a stay, on such terms as the court requires, of any personnel

22  action for 45 days if the Florida Commission on Human

23  Relations Public Counsel determines that reasonable grounds

24  exist to believe that a prohibited personnel action has

25  occurred, is occurring, or is to be taken.  The Florida

26  Commission on Human Relations Public Counsel may request that

27  such stay be extended for appropriate periods of time.

28         2.  If, in connection with any investigation, the

29  Florida Commission on Human Relations Public Counsel

30  determines that reasonable grounds exist to believe that a

31  prohibited action has occurred, is occurring, or is to be

                                  42

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  taken which requires corrective action, the Florida Commission

  2  on Human Relations Public Counsel shall report the

  3  determination together with any findings or recommendations to

  4  the agency head and may report that determination and those

  5  findings and recommendations to the Governor and the

  6  Comptroller. The Florida Commission on Human Relations Public

  7  Counsel may include in the report recommendations for

  8  corrective action to be taken.

  9         3.  If, after 20 days, the agency does not implement

10  the recommended action, the Florida Commission on Human

11  Relations Public Counsel shall terminate the investigation and

12  notify the complainant of the right to appeal under subsection

13  (4), or may petition the agency for corrective action under

14  this subsection.

15         4.  If the Florida Commission on Human Relations Public

16  Counsel finds, in consultation with the Department of Legal

17  Affairs or the individual subject to the prohibited action,

18  that the agency has implemented the corrective action, the

19  commission Public Counsel shall file such finding with the

20  agency head, together with any written comments that the

21  individual provides, and terminate the investigation.

22         (f)(g)  If the Florida Commission on Human Relations

23  Public Counsel finds that there are no reasonable grounds to

24  believe that a prohibited personnel action has occurred, is

25  occurring, or is to be taken, the commission he or she shall

26  terminate the investigation.

27         (g)(h)1.  If, in connection with any investigation

28  under this section, it is determined that reasonable grounds

29  exist to believe that a criminal violation has occurred which

30  has not been previously reported, the Florida Commission on

31  Human Relations Public Counsel shall report this determination

                                  43

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  to the Department of Law Enforcement and to the state attorney

  2  having jurisdiction over the matter.

  3         2.  If an alleged criminal violation has been reported,

  4  the Florida Commission on Human Relations Public Counsel shall

  5  confer with the Department of Law Enforcement and the state

  6  attorney before proceeding with the investigation of the

  7  prohibited personnel action and may defer the investigation

  8  pending completion of the criminal investigation and

  9  proceedings.  The Florida Commission on Human Relations Public

10  Counsel shall inform the complainant of the decision to defer

11  the investigation and, if appropriate, of the confidentiality

12  of the investigation.

13         (h)(i)  If, in connection with any investigation under

14  this section, the Florida Commission on Human Relations Public

15  Counsel determines that reasonable grounds exist to believe

16  that a violation of a law, rule, or regulation has occurred,

17  other than a criminal violation or a prohibited action under

18  this section, the commission Public Counsel may report such

19  violation to the head of the agency involved.  Within 30 days

20  after the agency receives the report, the agency head shall

21  provide to the commission Public Counsel a certification that

22  states that the head of the agency has personally reviewed the

23  report and indicates what action has been or is to be taken

24  and when the action will be completed.

25         (i)(j)  During any investigation under this section,

26  disciplinary action may not be taken against any employee of a

27  state agency, as the term "state agency" is defined in s.

28  216.011, for reporting an alleged prohibited personnel action

29  that is under investigation, or for reporting any related

30  activity, or against any employee for participating in an

31

                                  44

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  investigation without notifying the Florida Commission on

  2  Human Relations Public Counsel.

  3         (j)(k)  The Florida Commission on Human Relations

  4  Public Counsel may also petition for an award of reasonable

  5  attorney's fees and expenses from a state agency, as the term

  6  "state agency" is defined in s. 216.011, pursuant to s.

  7  112.3187(9).

  8         (4)  RIGHT TO APPEAL.--

  9         (a)  Not more than 60 days after receipt of a notice of

10  termination of the investigation from the Florida Commission

11  on Human Relations Public Counsel, the complainant may file,

12  with the Public Employees Relations Commission, a complaint

13  against the employer-agency regarding the alleged prohibited

14  personnel action.  The Public Employees Relations Commission

15  shall have jurisdiction over such complaints under ss.

16  112.3187 and 447.503(4) and (5).

17         (b)  Judicial review of any final order of the

18  commission shall be as provided in s. 120.68.

19         Section 22.  Section 985.401, Florida Statutes, 1998

20  Supplement, is amended to read:

21         985.401  Juvenile Justice Accountability Board.--

22         (1)  The Juvenile Justice Accountability Board shall be

23  composed of seven nine members appointed by the Governor.

24  Members of the board shall have direct experience and a strong

25  interest in juvenile justice issues. The authority to appoint

26  the board is allocated as follows:

27         (a)  Three members appointed by the Governor.

28         (b)  Three members appointed by the President of the

29  Senate.

30         (c)  Three members appointed by the Speaker of the

31  House of Representatives.

                                  45

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1         (2)(a)  A full term shall be 3 years, and the term for

  2  each seat on the board commences on October 1 and expires on

  3  September 30, without regard to the date of appointment.  Each

  4  appointing authority shall appoint a member to fill one of the

  5  three vacancies that occurs with the expiration of terms on

  6  September 30 of each year. A member is not eligible for

  7  appointment to more than two full, consecutive terms. A

  8  vacancy on the board shall be filled within 60 days after the

  9  date on which the vacancy occurs.  The Governor appointing

10  authority that made the original appointment shall make the

11  appointment to fill a vacancy that occurs for any reason other

12  than the expiration of a term, and the appointment shall be

13  for the remainder of the unexpired term. For the purpose of

14  implementing the provisions of this paragraph, vacancies that

15  occur before October 1, 1999, shall not be filled until

16  October 1, 1999, and the Governor shall make only one

17  appointment to fill the vacancies that result from expiration

18  of terms on September 30, 1999.

19         (b)  The composition of the board must be broadly

20  reflective of the public and must include minorities and

21  women. The term "minorities" as used in this paragraph means a

22  member of a socially or economically disadvantaged group and

23  includes African Americans, Hispanics, and American Indians.

24         (c)(b)  The board shall annually select a chairperson

25  from among its members.

26         (d)(c)  The board shall meet at least once each

27  quarter. A member may not authorize a designee to attend a

28  meeting of the board in place of the member. A member who

29  fails to attend two consecutive regularly scheduled meetings

30  of the board, unless the member is excused by the chairperson,

31

                                  46

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  shall be deemed to have abandoned the position, and the

  2  position shall be declared vacant by the board.

  3         (3)(a)  The board members shall serve without

  4  compensation, but are entitled to reimbursement for per diem

  5  and travel expenses pursuant to s. 112.061.

  6         (b)  The board shall appoint an executive director and

  7  other personnel who are exempt from part II of chapter 110,

  8  relating to the Career Service System.

  9         (b)(c)  Effective July 1, 1999, the board and its staff

10  are is assigned, for the purpose of general oversight, to the

11  Department of Juvenile Justice Joint Legislative Auditing

12  Committee. The board shall develop a budget pursuant to

13  procedures established by the Joint Legislative Auditing

14  Committee. For the purpose of implementing this paragraph, all

15  of the duties and functions, records, personnel, property, and

16  unexpended balances of appropriations, allocations, or other

17  funds of the board are transferred to the Department of

18  Juvenile Justice. The transfer of segregated funds shall be

19  made in such a manner that the relation between program and

20  revenue source, as provided in law, is maintained.

21         (d)  The composition of the board shall be broadly

22  reflective of the public and shall include minorities and

23  women. The term "minorities" as used in this paragraph means a

24  member of a socially or economically disadvantaged group that

25  includes African Americans, Hispanics, and American Indians.

26  Members of the board shall have direct experience and a strong

27  interest in juvenile justice issues.

28         (4)(a)  The board shall establish and operate a

29  comprehensive system to annually measure and report program

30  outcomes and effectiveness for each program operated by the

31  Department of Juvenile Justice or operated by a provider under

                                  47

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  contract with the department. The system shall include a

  2  standard methodology for interpreting the board's outcome

  3  evaluation reports, using, where appropriate, the

  4  performance-based program budgeting measures approved by the

  5  Legislature. The methodology must include:

  6         1.  Common terminology and operational definitions for

  7  measuring the performance of system administration, program

  8  administration, program outputs, and client outcomes.

  9         2.  Program outputs for each group of programs within

10  each level of the juvenile justice continuum and specific

11  program outputs for each program or program type.

12         3.  Specification of desired client outcomes and

13  methods by which to measure client outcomes for each program

14  operated by the department or by a provider under contract

15  with the department.

16         4.  Recommended annual minimum thresholds of

17  satisfactory performance for client outcomes and program

18  outputs.

19

20  For the purposes of this section, the term "program" or

21  "program type" means an individual state-operated or

22  contracted facility, site, or service delivered to at-risk or

23  delinquent youth as prescribed in a contract, program

24  description, or program services manual; and the term "program

25  group" means a collection of programs or program types with

26  sufficient similarity of function, services, and clientele to

27  permit appropriate comparisons among programs within the

28  program group.

29         (b)  In developing the standard methodology, the board

30  shall consult with the department, the Office Division of

31  Economic and Demographic Research, contract service providers,

                                  48

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  and other interested parties. It is the intent of the

  2  Legislature that this effort result in consensus

  3  recommendations, and, to the greatest extent possible,

  4  integrate the goals and legislatively approved measures of

  5  performance-based program budgeting provided in chapter

  6  94-249, Laws of Florida, the quality assurance program

  7  provided in s. 985.412, and the cost-effectiveness model

  8  provided in s. 985.404(11). The board shall notify the Office

  9  of Program Policy Analysis and Government Accountability of

10  any meetings to develop the methodology.

11         (c)  The board shall annually submit its outcome

12  evaluation report to the Secretary of the Department of

13  Juvenile Justice, the Governor, and the Legislature by

14  February 15, which must describe:

15         1.  The methodology for interpreting outcome

16  evaluations, including common terminology and operational

17  definitions.

18         2.  The recommended minimum thresholds of satisfactory

19  performance for client outcomes and program outputs applicable

20  to the year for which the data are reported.

21         3.  The actual client outcomes and program outputs

22  achieved by each program operated by the department or by a

23  provider under contract with the department, compared with the

24  recommended minimum thresholds of satisfactory performance for

25  client outcomes and program outputs for the year under review.

26  The report shall group programs or program types with

27  similarity of function and services and make appropriate

28  comparisons between programs within the program group.

29         (d)  The board shall use its evaluation research to

30  make advisory recommendations to the Legislature, the

31

                                  49

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  Governor, and the department concerning the effectiveness and

  2  future funding priorities of juvenile justice programs.

  3         (e)  The board shall annually review and revise the

  4  methodology as necessary to ensure the continuing improvement

  5  and validity of the evaluation process.

  6         (5)  The board shall:

  7         (a)  Review and recommend programmatic and fiscal

  8  policies governing the operation of programs, services, and

  9  facilities for which the Department of Juvenile Justice is

10  responsible.

11         (b)  Monitor the development and implementation of

12  long-range juvenile justice policies, including prevention,

13  early intervention, diversion, adjudication, and commitment.

14         (c)  Monitor all activities of the executive and

15  judicial branch and their effectiveness in implementing

16  policies pursuant to this chapter.

17         (d)  Advise the President of the Senate, the Speaker of

18  the House of Representatives, the Governor, and the department

19  on matters relating to this chapter.

20         (e)  In coordination with the Department of Juvenile

21  Justice, serve as a clearinghouse to provide information and

22  assistance to the district juvenile justice boards and county

23  juvenile justice councils.

24         (f)  Hold public hearings and inform the public of

25  activities of the board and of the Department of Juvenile

26  Justice, as appropriate.

27         (g)  Monitor the delivery and use of services,

28  programs, or facilities operated, funded, regulated, or

29  licensed by the Department of Juvenile Justice for juvenile

30  offenders or alleged juvenile offenders, and for prevention,

31  diversion, or early intervention of delinquency, and to

                                  50

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  develop programs to educate the citizenry about such services,

  2  programs, and facilities and about the need and procedure for

  3  siting new facilities.

  4         (h)  Contract for consultants as necessary and

  5  appropriate. The board may apply for and receive grants for

  6  the purposes of conducting research and evaluation activities.

  7         (h)(i)  Conduct such other activities as the board may

  8  determine are necessary and appropriate to monitor the

  9  effectiveness of the delivery of juvenile justice programs and

10  services under this chapter.

11         (i)(j)  The board shall Submit an annual report to the

12  President of the Senate, the Speaker of the House of

13  Representatives, the Governor, and the secretary of the

14  department not later than February 15 of each calendar year,

15  summarizing the activities and reports of the board for the

16  preceding year, and any recommendations of the board for the

17  following year.

18         (6)  Each state agency shall provide assistance when

19  requested by the board.  The board shall have access to all

20  records, files, and reports that are material to its duties

21  and that are in the custody of a school board, a law

22  enforcement agency, a state attorney, a public defender, the

23  court, the Department of Children and Family Services, and the

24  department.

25         (7)  Unless reenacted by the Legislature, this section

26  expires June 30, 2001.

27         Section 23.  Section 218.502, Florida Statutes, is

28  amended to read:

29         218.502  Definition.--As used in ss. 218.50-218.504,

30  the term "local governmental entity" means a county,

31  municipality, or special district, or district school board.

                                  51

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1         Section 24.  Subsection (4) of section 284.50,

  2  paragraph (f) of subsection (1) of section 475.045, and

  3  section 985.07, Florida Statutes, are repealed.

  4         Section 25.  Subsection (13) is added to section

  5  760.06, Florida Statutes, to read:

  6         760.06  Powers of the commission.--Within the

  7  limitations provided by law, the commission shall have the

  8  following powers:

  9         (13)  To receive complaints and coordinate all

10  activities as required by the Whistle-blower's Act pursuant to

11  ss. 112.3187-112.31895.

12         Section 26.  This act shall take effect July 1, 1999.

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29

30

31

                                  52

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
  2                            CS/SB 2426

  3

  4  Retains annual audit by the Auditor General of school
    districts in counties with a population of less than 125,000.
  5  Requires Auditor General to audit school districts in counties
    with population of 125,000 or more at least once every 3
  6  years. Directs school districts to contract with private
    independent CPA for annual financial audit in intervening
  7  years. Requires the Auditor General to provide records and
    work papers to the independent CPA who succeeds his staff in
  8  auditing a given school district school.  Conforms language
    relating to district school boards establishing an auditor
  9  selection committee for an independent CPA with the new
    mandatory provisions in the bill.
10
    Requires Auditor General to make operational audits of all
11  state agencies at least every other year, rather than
    annually. Maintains the Auditor General's authority to audit
12  any state agency when he or she deems necessary or at the
    direction of the Joint Legislative Management Committee.
13
    Requires the Auditor General to consult with the Department of
14  Education to develop a compliance supplement for annual
    financial audits of school districts. Clarifies that the
15  independent CPA that performs the financial audit of a charter
    school is to provide a copy of the audit report to the
16  district school board, Department of Education, and Auditor
    General.  Provides that the Auditor General may conduct an
17  audit of a charter school.

18  Applies existing procedures taken by the Auditor General when
    he or she does not receive copies of local government entities
19  audits to audits of district school boards and charter schools
    to conform with the changes in the bill.
20
    Requires the Auditor General to provide a summary report to
21  the Legislature on audits of local governmental entities,
    district school boards and charter schools.
22
    Subjects district school boards and charter schools to actions
23  currently applicable to local governmental entities that fail
    to pay the Auditor General an appropriate share of cost for a
24  requested audit.

25  Makes the transfer of the public assistance fraud function
    from the Auditor General to the Florida Department of Law
26  Enforcement by a type "one" transfer.

27  Clarifies that the report of independent audits of high school
    interscholastic entities are to be provided to Auditor
28  General.

29  Clarifies that presiding officers may direct that the
    requirement for a program evaluation and justification review
30  be postponed.

31  Transfers the functions performed by the Office of the Public
    Counsel relating to the Whistle-Blowers Protection Act to the
                                  53

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                    CS for CS for SB 2426
    309-2136-99




  1  Commission on Human Relations.

  2

  3

  4

  5

  6

  7

  8

  9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29

30

31

                                  54