Senate Bill 0260e2

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    CS for SB 260                                 Second Engrossed



  1                      A bill to be entitled

  2         An act relating to economic development;

  3         creating s. 163.055, F.S.; creating the Local

  4         Government Financial Technical Assistance

  5         Program; providing legislative findings and

  6         declaration; requiring the Comptroller to enter

  7         into certain contracts; providing for review of

  8         contract proposals; providing for fiscal

  9         oversight by the Comptroller; providing for an

10         annual performance review; providing for a

11         report; amending s. 163.01, F.S.; allowing

12         local government self-insurance reserves to be

13         used to guarantee local government obligations

14         under certain circumstances; creating s.

15         414.224, F.S.; creating the Retention Enhancing

16         Communities Initiative; providing for the

17         identification of communities; requiring

18         solicitation of proposals; providing for the

19         selection of RECI participants by the WAGES

20         Program State Board of Directors; providing for

21         the appointment of liaisons; authorizing the

22         Governor to address barriers to implementation

23         of RECI proposals; providing for the

24         redirection of certain funds; providing for

25         RECI elements; requiring the Governor to

26         designate a coordinator; establishing a center

27         for community excellence; providing

28         appropriations for RECI elements; providing

29         restrictions of funds; providing for monitoring

30         and reporting; amending s. 250.10, F.S.;

31         requiring the Adjutant General to administer a


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    CS for SB 260                                 Second Engrossed



  1         life-preparation program and job-readiness

  2         services; providing an extended period for

  3         certain businesses to claim enterprise-zone tax

  4         incentives; authorizing amendments to the

  5         boundaries of an enterprise zone in a community

  6         with a brownfield pilot project; providing for

  7         individual development accounts in RECI

  8         communities; providing purposes; providing

  9         definitions; requiring the Department of

10         Revenue to amend the Temporary Assistance for

11         Needy Families State Plan to provide for use of

12         funds for individual development accounts;

13         specifying criteria and requirements for

14         contributions to such accounts; specifying

15         purposes for use of such accounts; providing

16         for procedures for withdrawals from such

17         accounts; specifying certain organizations to

18         act as fiduciary organizations for certain

19         purposes; providing for penalties for

20         withdrawal of moneys for certain purposes;

21         providing for resolution of certain disputes;

22         providing for transfer of ownership of such

23         accounts under certain circumstances; providing

24         for establishment of such accounts by certain

25         financial institutions under certain

26         circumstances; providing requirements;

27         providing that account funds and matching funds

28         do not affect certain program eligibility;

29         authorizing municipalities to designate

30         satellite enterprise zones; amending s.

31         218.503, F.S.; authorizing certain


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    CS for SB 260                                 Second Engrossed



  1         municipalities to impose a discretionary

  2         per-vehicle surcharge on the gross revenues of

  3         the sale, lease, or rental of space at parking

  4         facilities within the municipality that are

  5         open for use to the public; providing for use

  6         of surcharge proceeds; providing an effective

  7         date.

  8

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

10

11         Section 1.  Effective upon this act becoming a law,

12  section 163.055, Florida Statutes, is created to read:

13         163.055  Local Government Financial Technical

14  Assistance Program.--

15         (1)  Among municipalities and special districts, the

16  Legislature finds that:

17         (a)  Florida is a state comprised of 400 municipalities

18  and almost 1,000 special districts statewide.

19         (b)  Of the 400 municipalities in the state, over 200

20  have a population under 5,000.

21         (c)  State and federal mandates will continue to place

22  additional funding demands on all municipalities and special

23  districts.

24         (d)  State government lacks the specific technical

25  expertise or resources to effectively perform ongoing

26  educational support and financial emergency detection or

27  assistance.

28         (2)  Recognizing the findings in subsection (1), the

29  Legislature declares that:

30         (a)  The fiscal challenges confronting various

31  municipalities and special districts require an investment


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    CS for SB 260                                 Second Engrossed



  1  that will facilitate efforts to improve the productivity and

  2  efficiency of their financial structures and operating

  3  procedures.

  4         (b)  Current and additional revenue enhancements

  5  authorized by the Legislature should be managed and

  6  administered using appropriate management practices and

  7  expertise.

  8         (3)  The purpose of this section is to provide

  9  technical assistance to municipalities and special districts

10  to enable them to implement workable solutions to financially

11  related problems.

12         (4)  The Comptroller shall enter into contracts with

13  program providers who shall:

14         (a)  Be a public agency or private, nonprofit

15  corporation, association, or entity.

16         (b)  Use existing resources, services, and information

17  that are available from state or local agencies, universities,

18  or the private sector.

19         (c)  Seek and accept funding from any public or private

20  source.

21         (d)  Annually submit information to assist the

22  Legislative Committee on Intergovernmental Relations in

23  preparing a performance review that will include a analysis of

24  the effectiveness of the program.

25         (e)  Assist municipalities and independent special

26  districts in developing alternative revenue sources.

27         (f)  Provide for an annual independent financial audit

28  of the program, if the program receives funding.

29         (g)  Provide assistance to municipalities and special

30  districts in the areas of financial management, accounting,

31  investing, budgeting, and debt issuance.


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    CS for SB 260                                 Second Engrossed



  1         (h)  Develop a needs assessment to determine where

  2  assistance should be targeted, and to establish a priority

  3  system to deliver assistance to those jurisdictions most in

  4  need through the most economical means available.

  5         (i)  Provide financial emergency assistance upon

  6  direction from the Office of the Governor pursuant to s.

  7  218.503.

  8         (5)(a)  The Comptroller shall issue a request for

  9  proposals to provide assistance to municipalities and special

10  districts.  At the request of the Comptroller, the Legislative

11  Committee on Intergovernmental Relations shall assist in the

12  preparation of the request for proposals.

13         (b)  The Comptroller shall review each contract

14  proposal submitted.

15         (c)  The Legislative Committee on Intergovernmental

16  Relations shall review each contract proposal and submit to

17  the Comptroller, in writing, advisory comments and

18  recommendations, citing with specificity the reasons for its

19  recommendations.

20         (d)  The Comptroller and the Legislative Committee on

21  Intergovernmental Relations shall consider the following

22  factors in reviewing contract proposals:

23         1.  The demonstrated capacity of the provider to

24  conduct needs assessments and implement the program as

25  proposed.

26         2.  The number of municipalities and special districts

27  to be served under the proposal.

28         3.  The cost of the program as specified in a proposed

29  budget.

30         4.  The short-term and long-term benefits of the

31  assistance to municipalities and special districts.


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    CS for SB 260                                 Second Engrossed



  1         5.  The form and extent to which existing resources,

  2  services, and information that are available from state and

  3  local agencies, universities, and the private sector will be

  4  used by the provider under the contract.

  5         (6)  A decision of the Comptroller to award a contract

  6  under this section is final and shall be in writing with a

  7  copy provided to the Legislative Committee on

  8  Intergovernmental Relations.

  9         (7)  The Comptroller may enter into contracts and

10  agreements with other state and local agencies and with any

11  person, association, corporation, or entity other than the

12  program providers, for the purpose of administering this

13  section.

14         (8)  The Comptroller shall provide fiscal oversight to

15  ensure that funds expended for the program are used in

16  accordance with the contracts entered into pursuant to

17  subsection (4).

18         (9)  The Legislative Committee on Intergovernmental

19  Relations shall annually conduct a performance review of the

20  program.  The findings of the review shall be presented in a

21  report submitted to the Governor, the President of the Senate,

22  the Speaker of the House of Representatives, and the

23  Comptroller by January 15 of each year.

24         Section 2.  Effective upon this act becoming a law,

25  paragraph (d) of subsection (7) of section 163.01, Florida

26  Statutes, is amended to read:

27         163.01  Florida Interlocal Cooperation Act of 1969.--

28         (7)(d)  Notwithstanding the provisions of paragraph

29  (c), any separate legal entity created pursuant to this

30  section and controlled by the municipalities or counties of

31  this state or by one or more municipality and one or more


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    CS for SB 260                                 Second Engrossed



  1  county of this state, the membership of which consists or is

  2  to consist of municipalities only, counties only, or one or

  3  more municipality and one or more county, may, for the purpose

  4  of financing or refinancing any capital projects, exercise all

  5  powers in connection with the authorization, issuance, and

  6  sale of bonds. Notwithstanding any limitations provided in

  7  this section, all of the privileges, benefits, powers, and

  8  terms of part I of chapter 125, part II of chapter 166, and

  9  part I of chapter 159 shall be fully applicable to such

10  entity.  Bonds issued by such entity shall be deemed issued on

11  behalf of the counties or municipalities which enter into loan

12  agreements with such entity as provided in this paragraph.

13  Any loan agreement executed pursuant to a program of such

14  entity shall be governed by the provisions of part I of

15  chapter 159 or, in the case of counties, part I of chapter

16  125, or in the case of municipalities and charter counties,

17  part II of chapter 166. Proceeds of bonds issued by such

18  entity may be loaned to counties or municipalities of this

19  state or a combination of municipalities and counties, whether

20  or not such counties or municipalities are also members of the

21  entity issuing the bonds.  The issuance of bonds by such

22  entity to fund a loan program to make loans to municipalities

23  or counties or a combination of municipalities and counties

24  with one another for capital projects to be identified

25  subsequent to the issuance of the bonds to fund such loan

26  programs is deemed to be a paramount public purpose.  Any

27  entity so created may also issue bond anticipation notes, as

28  provided by s. 215.431, in connection with the authorization,

29  issuance, and sale of such bonds.  In addition, the governing

30  body of such legal entity may also authorize bonds to be

31  issued and sold from time to time and may delegate, to such


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    CS for SB 260                                 Second Engrossed



  1  officer, official, or agent of such legal entity as the

  2  governing body of such legal entity may select, the power to

  3  determine the time; manner of sale, public or private;

  4  maturities; rate or rates of interest, which may be fixed or

  5  may vary at such time or times and in accordance with a

  6  specified formula or method of determination; and other terms

  7  and conditions as may be deemed appropriate by the officer,

  8  official, or agent so designated by the governing body of such

  9  legal entity.  However, the amounts and maturities of such

10  bonds and the interest rate or rates of such bonds shall be

11  within the limits prescribed by the governing body of such

12  legal entity and its resolution delegating to such officer,

13  official, or agent the power to authorize the issuance and

14  sale of such bonds.  A local government self-insurance fund

15  established under this section may financially guarantee bonds

16  or bond anticipation notes issued or loans made under this

17  subsection.  Bonds issued pursuant to this paragraph may be

18  validated as provided in chapter 75.  The complaint in any

19  action to validate such bonds shall be filed only in the

20  Circuit Court for Leon County.  The notice required to be

21  published by s. 75.06 shall be published only in Leon County,

22  and the complaint and order of the circuit court shall be

23  served only on the State Attorney of the Second Judicial

24  Circuit and on the state attorney of each circuit in each

25  county where the public agencies which were initially a party

26  to the agreement are located. Notice of such proceedings shall

27  be published in the manner and the time required by s. 75.06

28  in Leon County and in each county where the public agencies

29  which were initially a party to the agreement are located.

30  Obligations of any county or municipality pursuant to a loan

31


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    CS for SB 260                                 Second Engrossed



  1  agreement as described in this paragraph may be validated as

  2  provided in chapter 75.

  3         Section 3.  Effective upon this act becoming a law,

  4  section 414.224, Florida Statutes, is created to read:

  5         414.224  Retention Enhancing Communities Initiative.--

  6         (1)  LEGISLATIVE INTENT.--The Legislature finds that

  7  Florida has numerous distressed urban cores with high

  8  proportions of residents who are former and current WAGES

  9  Program participants. The Legislature further finds that the

10  existence of strong neighborhoods and communities is crucial

11  to reduce recidivism among former WAGES Program participants,

12  and to create new jobs and promote job retention for current

13  WAGES Program participants. Therefore, it is the intent of the

14  Legislature to create a program designed to develop these

15  communities with the help of, and for the benefit of, current

16  and former WAGES Program participants.

17         (2)  CREATION.-- The Retention Enhancing Communities

18  Initiative (RECI) is created to leverage federal, state, and

19  local resources for community redevelopment initiatives that

20  promote job retention among WAGES Program participants.

21  Selected communities will identify and compete for projects

22  coordinated around the six community-enhancing elements of

23  community safety, community builders, community businesses,

24  community schools, community partnerships, and community

25  redevelopment.

26         (3) SELECTION OF RECI COMMUNITIES.--

27         (a) By July 1, 1999, the WAGES Program State Board of

28  Directors, in consultation with local WAGES coalitions, will

29  identify 14 communities in the state's seven largest counties.

30  These communities must be compact, congruent, and contiguous

31  census tracts that have the highest concentrations of


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    CS for SB 260                                 Second Engrossed



  1  residents who are current or former WAGES Program

  2  participants. To the maximum extent possible, these

  3  communities should coincide with federal empowerment zones,

  4  enterprise zones established under chapter 290, Neighborhood

  5  Improvement Districts established under chapter 163, community

  6  redevelopment areas established under chapter 163, and Urban

  7  High Crime Areas established under chapter 212. By August 1,

  8  1999, the WAGES Program State Board of Directors must contract

  9  with an independent entity to certify that these 14

10  communities comply with the requirements of this section.

11         (b)  By July 10, 1999, the WAGES Program State Board of

12  Directors shall solicit proposals from the communities

13  identified in paragraph (a) for participation in RECI. The

14  Governor shall appoint a liaison from a state agency to assist

15  with each proposal and their implementation. These liaisons

16  shall have the full assistance of the Executive Office of the

17  Governor, the agencies of state government, and their

18  employees. If a state employee is not able to assist a liaison

19  because of state law or regulation, the liaison shall notify

20  the Governor, the Office of Urban Opportunity, and the Office

21  of Program Policy Analysis and Government Accountability

22  concerning the impasse and prepare proposals to resolve them.

23  Upon a written request of a liaison, the Governor may by

24  executive order or emergency rule address regulatory or

25  procedural impasses to enable prompt implementation of a

26  community's proposal. Any federal TANF funding appropriated by

27  the state to benefit WAGES participants, to assist needy

28  families, or to promote job placement and employment retention

29  of WAGES participants that is in excess of revenues necessary

30  to fulfill the appropriated purpose may, upon a written

31  request of a liaison, be redirected, notwithstanding any other


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    CS for SB 260                                 Second Engrossed



  1  statute, with the approval of the Office of Urban Opportunity,

  2  the WAGES Program State Board of Directors, and the Governor,

  3  to support an approved project in a RECI community. Proposals

  4  should be general in nature, be no more than 20 pages long,

  5  and include:

  6         1. A brief plan describing how the community will

  7  coordinate and incorporate the six RECI elements into the

  8  community's redevelopment strategy;

  9         2. Specific evidence of community support from

10  community-based organizations and local government for

11  participation in RECI;

12         3. For each RECI element, identification and commitment

13  of local resources from community-based organizations, local

14  government, and others, to be leveraged by federal and state

15  resources;

16         4.  Identification of the specific entity or person

17  responsible for coordinating the community's participation in

18  RECI; and

19         5.  Identification of local administrative entities.

20         (c) Based on proposal evaluation criteria developed by

21  the WAGES Program State Board of Directors, the board shall,

22  by October 1, 1999, select up to nine communities to

23  participate in RECI, and notify each community of such

24  selection. All RECI projects must be fully operational by

25  January 1, 2000, and must be completed by December 31, 2001.

26         (4) RECI ELEMENTS.--Once a community is selected as a

27  RECI participant, the community may compete for awards in each

28  RECI element. Awards will be granted by the WAGES Program

29  State Board of Directors and will be based on a project plan

30  that must be consistent with the community's proposal

31  describing the coordination and incorporation of the RECI


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    CS for SB 260                                 Second Engrossed



  1  elements. The WAGES Program State Board of Directors shall

  2  develop guidelines and criteria for the application and award

  3  of the funds. Criteria must provide additional weight for

  4  criteria relating to community involvement, business

  5  involvement, and local contributions. Unless otherwise

  6  provided for, the board or its designated agents shall

  7  administer the award of funds for each RECI element and must

  8  provide assurances that projects are completed pursuant to

  9  project plans. RECI elements include the following:

10         (a) WAGES Community Safety.--Funds may be awarded for

11  projects that increase the safety and reduce crime in RECI

12  communities. Funds may be used to train and employ WAGES

13  Program participants in public safety jobs; establish security

14  businesses and services; train residents in safety practices

15  and organize safety networks; improve lighting, alarms, and

16  law enforcement equipment; improve the safety of homes,

17  buildings, and streets; and provide community police. Local

18  law enforcement agencies must be a contributing partner in

19  safety projects. The Department of Community Affairs and the

20  Florida Department of Law Enforcement shall assign a

21  representative of their departments to assist these

22  communities with public safety issues and, notwithstanding any

23  other provision in law, may award public safety grants to

24  these communities.

25         (b) WAGES Community Builders.--Funds may be awarded for

26  small community clean-up and enhancement projects that quickly

27  create visible improvements and for planning and

28  implementation of larger neighborhood revitalization and

29  economic development initiatives.

30         1. Funds for the WAGES Community Builders element may

31  be awarded for small community clean-up and enhancement


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    CS for SB 260                                 Second Engrossed



  1  projects. Projects must include WAGES Program participants,

  2  must last less than 3 weeks, and must be endorsed by the local

  3  unit of government. Funding may not exceed $5,000 per project

  4  without a waiver from the WAGES Program State Board of

  5  Directors. The board shall enlist the Department of State's

  6  Main Street program, Keep Florida Beautiful, Inc., and, when

  7  approved by the Governor, the Florida National Guard, to

  8  advise and assist with these projects and to redirect

  9  resources to these communities.

10         2. Funds for the WAGES Community Builders element may

11  be awarded for the planning and implementation of large

12  neighborhood revitalization or economic development

13  initiatives. Funding for planning projects may not exceed

14  $200,000, and may not, in total, exceed 20 percent of the

15  funds available for this element. Funding for implementation

16  projects may not in total exceed 20 percent of the funds

17  available for this element and must primarily leverage

18  federal, state, local, private, or foundation resources other

19  than those provided for in this section. Planning and

20  implementation projects shall employ WAGES Program

21  participants from the RECI community to the greatest extent

22  possible.

23         (c) WAGES Community Businesses.--Funds may be awarded

24  for small business-development projects, including

25  national-franchise attraction efforts, microloans, guaranteed

26  commercial loans, technical assistance, self-employment, and

27  business incubators at educational institutions. At least 95

28  percent of funds awarded for these projects must be for the

29  benefit of WAGES Program participants in RECI communities. The

30  WAGES Program State Board of Directors shall work with the

31  Comptroller to target the linked-deposit program under s.


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    CS for SB 260                                 Second Engrossed



  1  290.0075 into these communities, and the Comptroller shall, to

  2  the greatest extent he or she deems practical, implement that

  3  program in RECI communities. Using funds appropriated for this

  4  element, the WAGES Program State Board of Directors, or its

  5  designated agent, shall establish a $10-million loan-loss

  6  reserve to encourage and guarantee commercial loans made under

  7  this element, and shall develop a tax-free bond fund to

  8  provide and expand the secondary loan market for commercial

  9  loans made in RECI communities. The WAGES Program State Board

10  of Directors, or its designated agent, shall approach and

11  propose joint ventures with national franchisers committing to

12  train individuals for and partially underwrite new franchise

13  ventures in RECI communities.

14         (d) WAGES Community Schools.--Funds may be awarded for

15  WAGES Community School projects that upgrade schools through

16  construction, repair, or renovation, or which provide training

17  and employment to WAGES Program participants to assist with

18  transportation, school services, and security. Schools

19  accepting this assistance must offer before, after, and summer

20  school programs for students who are WAGES Program

21  participants.

22         (e) WAGES Community Partnerships.--Funds may be awarded

23  for WAGES Community Partnership projects to make payments of

24  tax credits to businesses that contribute to projects in RECI

25  communities which are eligible under the community

26  contribution tax credit program under ss. 220.183 and

27  624.5105. Business contributions must benefit WAGES Program

28  participants in these communities. Funds may equal 30 percent

29  of the business's contribution and may apply to contributions

30  of any size if adequate funds are available in this RECI

31  element. The Office of Tourism, Trade, and Economic


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    CS for SB 260                                 Second Engrossed



  1  Development and the Department of Revenue shall assist the

  2  WAGES Program State Board of Directors in administering such

  3  tax credits. Projects may also match, up to a

  4  dollar-for-dollar level, any foundation awards to RECI

  5  communities which will improve job retention and reduce public

  6  assistance dependency as determined by the WAGES Program State

  7  Board of Directors.

  8         (f) WAGES Community Redevelopment.--Funds may be

  9  awarded for WAGES Community Redevelopment projects to

10  facilitate the planning, preparing, marketing, and financing

11  of residential, mixed-use, and commercial development

12  projects, as well as residential and business infrastructure

13  redevelopment projects in RECI communities. Projects that

14  would mainly result in gentrification of the community, that

15  would not employ a preponderance of WAGES Program

16  participants, and that predominately create residences or

17  business sites that are beyond the anticipated income level of

18  working WAGES Program participants are not eligible.

19         1. The Office of Tourism, Trade, and Economic

20  Development shall be the administrator of projects under this

21  paragraph and shall develop criteria for the award of the

22  funds. Funds available under this element must be leveraged

23  with federal, state, and local resources, including, but not

24  limited to, those available through the local unit of

25  government under the Community Development Block Grant,

26  section 108 loan guarantee program, and through state agencies

27  including the Department of Community Affairs, the Department

28  of Environmental Protection, and the Florida Housing Finance

29  Corporation.

30         2. A redevelopment finance review team including the

31  WAGES Program State Board of Directors, the Office of Tourism,


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    CS for SB 260                                 Second Engrossed



  1  Trade, and Economic Development, Enterprise Florida, Inc., the

  2  appropriate local WAGES coalition, the appropriate local unit

  3  of government, the Department of Community Affairs, the

  4  Department of Environmental Protection, and the Florida

  5  Housing Finance Corporation shall review all project plans and

  6  coordinate available resources, matching expenditures to

  7  eligible and available revenues that may be invested in the

  8  project. The team shall seek federal funding assistance in

  9  these projects and may identify and recommend projects for

10  award under the WAGES Targeted Employment and WAGES

11  transportation projects established by law. The team shall

12  recommend appropriate projects to the State Board of

13  Administration for public investment. Their collaborative

14  project package shall constitute a recommended public

15  financing commitment that shall serve to induce private

16  developers to finance the remaining costs of the project.

17  Notwithstanding the provisions of s. 216.301, funds

18  appropriated for the purpose of this paragraph shall not be

19  subject to reversion.

20         3. The Office of Tourism, Trade, and Economic

21  Development, based upon the recommendation from the team, may

22  award project funds to RECI communities for up to 30 percent

23  of the total project cost. In awarding funds, the office shall

24  consider factors including, but not limited to, the project's

25  direct employment of WAGES Program participants in planning,

26  development, or construction; eventual direct employment of

27  WAGES Program participants; residences or businesses to be

28  owned by WAGES Program participants; impact on retention in

29  employment of WAGES Program participants; impact on lowering

30  recidivism and dependency on public assistance programs;

31


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    CS for SB 260                                 Second Engrossed



  1  demonstrated local public and private commitment; and the

  2  potential to enhance and upgrade the community.

  3         4. To facilitate timely response and induce the

  4  development of site opportunities where a community-based or

  5  private-sector partner exists, the Office of Tourism, Trade,

  6  and Economic Development may award funds for infrastructure

  7  feasibility studies, design and engineering activities,

  8  project development and packaging, or other infrastructure

  9  planning and preparation activities. Such funds may not exceed

10  $300,000 per project, and may not exceed 5 percent of the

11  total funding available under this paragraph.

12         5. The Office of Tourism, Trade, and Economic

13  Development shall pursue execution of a memorandum of

14  agreement with the Department of Housing and Urban Development

15  and other federal or state partners under which state funds

16  available through this element may be advanced, in excess of

17  the prescribed state share, for a project that has received

18  from the department or partner a preliminary determination of

19  eligibility for financial support. State funds in excess of

20  the prescribed state share which are advanced pursuant to this

21  paragraph and a memorandum of agreement shall be reimbursed

22  when funds are awarded under an application for other

23  financing.

24         6. To facilitate development of prospective sites, the

25  Office of Tourism, Trade, and Economic Development may award

26  funds for surveys, feasibility studies, project development,

27  packaging, marketing, and other activities related to the

28  identification, marketing, and preparation of sites of up to

29  $150,000. Such funds shall require a match from local sources

30  of 33 percent and the total grants awarded under this

31


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    CS for SB 260                                 Second Engrossed



  1  subparagraph shall not exceed 5 percent of the total funding

  2  available under this paragraph.

  3         (5) The Governor shall name by July 15, 1999, a

  4  coordinator in the Office of Urban Opportunity with the

  5  authority, established by executive order, to work with the

  6  WAGES Program State Board of Directors to direct agency

  7  assistance, solve problems, and commit resources to RECI

  8  communities.

  9         (6) By August 15, 1999, working with the Workforce

10  Development Board, the WAGES Program State Board of Directors

11  shall establish a center for community excellence, affiliated

12  with an educational institution or group of educational

13  institutions, which will provide research, consulting,

14  technical assistance, capacity building, training, and program

15  assistance services to RECI communities.

16         (7) FUNDING.--

17         (a)  To implement the provisions of this act, the

18  Department of Children and Family Services is authorized to

19  spend up to $50 million from Temporary Assistance for Needy

20  Families (TANF) Block Grant funds pursuant to criteria adopted

21  by the WAGES Program State Board of Directors.

22         (b) Any expenditure from the Temporary Assistance for

23  Needy Families block grant shall be expended in accordance

24  with the requirements and limitations of Title IV of the

25  Social Security Act, as amended, or any other applicable

26  federal requirement or limitation in law. Prior to any

27  expenditure of such funds, the WAGES Program State Board of

28  Directors and the Secretary of Children and Family Services,

29  or his or her designee, shall certify that controls are in

30  place to ensure that such funds are expended and reported in

31  accordance with the requirements and limitations of federal


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    CS for SB 260                                 Second Engrossed



  1  law. It shall be the responsibility of any entity to which

  2  funds are awarded to obtain the required certification prior

  3  to any expenditure of funds.

  4         (c) Unexpended proceeds derived from a project

  5  completed with the use of program funds, beyond the operating

  6  costs and debt service, shall be restricted to further

  7  expenditures within the element. Use of such unexpended

  8  proceeds for purposes other than those authorized by this act

  9  is prohibited.

10         (d) No more than 5 percent of the funds available under

11  this section may be used by the board or its designated agents

12  to administer and monitor the awards.

13         (e) Funds authorized under this section must augment

14  the existing efforts or resources of local communities rather

15  than offset or supplant them.

16         (8) The Governor shall notify the President of the

17  United States and the Florida Congressional Delegation of any

18  delays by the federal government affecting the prompt

19  implementation of this section, and enlist their assistance in

20  resolution of such delays. By budget amendment, the Governor

21  shall identify and transfer funds to continue this initiative

22  on schedule, notwithstanding federal delays. With the

23  assistance of the Secretary of Children and Family Services

24  and the Attorney General, the Governor shall then explore

25  administrative and judicial options to gain reimbursement.

26         (9) MONITORING AND REPORTING.--

27         (a) The independent entity selected by the WAGES

28  Program State Board of Directors to certify compliance by the

29  14 communities identified under paragraph (2)(a) shall also

30  identify four other similar communities to serve as a control

31  group for RECI. The entity must measure performance trends in


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    CS for SB 260                                 Second Engrossed



  1  the control group communities, the communities that applied

  2  for RECI designation but were not selected, and the

  3  communities selected to participate in RECI. The four control

  4  communities shall be known only to the entity until the

  5  completion of the initiative. The entity shall develop,

  6  working with the Office of Program Policy Analysis and

  7  Government Accountability and the WAGES Program State Board of

  8  Directors, criteria by October 1, 1999, to measure the impact

  9  of the initiative. Such criteria must include the total

10  revenues generated and invested in RECI communities, and the

11  amount of revenue saved from the retention of WAGES Program

12  participants.

13         (b) In addition to a comprehensive final report due

14  February 15, 2002, the WAGES Program State Board of Directors

15  must report to the Governor and Legislature every 6 months

16  beginning January 1, 2000, on the progress of RECI. Reports

17  must include tangible impacts of the initiative. The final

18  report shall include recommendations relating to the potential

19  development of a RECI program for communities in mid-sized

20  counties. The report must additionally recognize the three

21  most successful RECI communities and designate these

22  communities Florida's "come-back communities."

23         Section 4.  Paragraph (m) is added to subsection (2) of

24  section 250.10, Florida Statutes, 1998 Supplement, to read:

25         250.10  Appointment and duties of the Adjutant

26  General.--

27         (2)  The Adjutant General of the state shall be the

28  Chief of the Department of Military Affairs. He or she shall:

29         (m)  Subject to annual appropriations, administer youth

30  About Face programs and adult Forward March programs at sites

31  to be selected by the Adjutant General.


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    CS for SB 260                                 Second Engrossed



  1         1.  About Face shall establish a summer and a

  2  year-round afterschool life-preparation program for

  3  economically disadvantaged and at-risk youths from 13 through

  4  17 years of age. Both programs must provide schoolwork

  5  assistance, focusing on the skills needed to pass the high

  6  school competency test, and also focus on functional life

  7  skills, including teaching students to work effectively in

  8  groups; providing basic instruction in computer skills;

  9  teaching basic problem solving, decision making, and reasoning

10  skills; teaching how the business world and free enterprise

11  work through computer simulations; and teaching home finance

12  and budgeting and other daily living skills. In the

13  afterschool program, students must train in academic study

14  skills and the basic skills that businesses require for

15  employment consideration.

16         2.  The Adjutant General shall provide job-readiness

17  services in the Forward March program for WAGES program

18  participants who are directed to Forward March by local WAGES

19  coalitions. The Forward March program shall provide training

20  on topics that directly relate to the skills required for

21  real-world success. The program shall emphasize functional

22  life skills, computer literacy, interpersonal relationships,

23  critical-thinking skills, business skills, preemployment and

24  work maturity skills, job-search skills, exploring careers

25  activities, how to be a successful and effective employee, and

26  some job-specific skills. The program also shall provide

27  extensive opportunities for participants to practice generic

28  job skills in a supervised work setting. Upon completion of

29  the program, Forward March shall return participants to the

30  local WAGES coalition for placement in a job-placement pool.

31


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    CS for SB 260                                 Second Engrossed



  1         Section 5.  Notwithstanding the time limitations

  2  contained in chapters 212 and 220, Florida Statutes, relating

  3  to enterprise-zone tax incentives, a business that was

  4  purchased in February 1992 within an area of Tampa that

  5  received a designation as an enterprise zone under section

  6  290.0065, Florida Statutes, effective July 1, 1995, and that

  7  was eligible to receive enterprise-zone tax incentives from

  8  July 1, 1995, to July 1, 1998, must submit an application for

  9  the tax incentives by December 1, 1999. All other requirements

10  of the enterprise zone program apply to such a business.

11         Section 6.  Notwithstanding any provision of law to the

12  contrary, the governing body of a municipality or a county

13  containing a U.S. Environmental Protection Agency brownfield

14  pilot project that was designated as of May 1, 1997, may apply

15  to the Office of Tourism, Trade, and Economic Development

16  before December 31, 1999, to amend the boundaries of an

17  enterprise zone designated in a municipality or a county

18  containing such brownfield pilot project. The office shall

19  approve the application to amend the boundaries of the

20  enterprise zone if the added area does not increase the

21  overall size of the expanded zone more than its original size

22  or 20 square miles, whichever is larger.

23         Section 7.  Before December 31, 1999, any municipality

24  an area of which has previously received designation as an

25  Enterprise Zone in the population category described in

26  section 290.0065(3)(a)3., Florida Statutes, may create a

27  satellite enterprise zone not exceeding 1.5 square miles in

28  area outside of and, notwithstanding anything contained in

29  section 290.0055(4), Florida Statutes, or any other law, in

30  addition to the previously designated enterprise zone

31  boundaries. The Office of Tourism, Trade, and Economic


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    CS for SB 260                                 Second Engrossed



  1  Development shall amend the boundaries of the areas previously

  2  designated by any such municipality as enterprise zones upon

  3  receipt of a resolution adopted by the municipality describing

  4  the satellite enterprise zone areas, as long as the additional

  5  areas are consistent with the categories, criteria, and

  6  limitations imposed by section 290.0055, Florida Statutes.

  7  However, the requirements imposed by section 290.0055(4)(d),

  8  Florida Statutes, do not apply to such satellite enterprise

  9  zone areas.

10         Section 8.  (1)  The purpose of this section is to

11  provide for the establishment of individual development

12  accounts (IDAs) in communities targeted by the Retention

13  Enhancing Communities Initiative (RECI) designed to provide

14  families with limited means in these communities an

15  opportunity to accumulate assets, to facilitate and mobilize

16  savings, to promote education, homeownership, and

17  microenterprise development, and to stabilize families and

18  build communities.  This section implements the provisions of

19  s. 404(h) of the Social Security Act, as amended, 42 U.S.C. s.

20  604(h), related to individual development accounts.  Nothing

21  in this section is intended to conflict with the provisions of

22  federal law.

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

24         (a)  "Individual development account" means an account

25  exclusively for the purpose of paying the qualified expenses

26  of an eligible individual or family in RECI communities.  The

27  account is a trust created or organized in this state and

28  funded through periodic contributions by the establishing

29  individual and matched by or through a qualified entity for a

30  qualified purpose.

31         (b)  "Qualified entity" means:


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    CS for SB 260                                 Second Engrossed



  1         1.  A not-for-profit organization described in s.

  2  501(c)(3) of the Internal Revenue Code of 1986, as amended,

  3  and exempt from taxation under s. 501(a) of such code; or

  4         2.  A state or local government agency acting in

  5  cooperation with an organization described in subparagraph 1.

  6  For purposes of this section, a local WAGES coalition shall be

  7  considered a government agency.

  8         (c)  "Financial institution" means an organization

  9  authorized to do business under state or federal laws relating

10  to financial institutions, and includes a bank, trust company,

11  savings bank, building and loan association, savings and loan

12  company or association, and credit union.

13         (d)  "Eligible educational institution" means:

14         1.  An institution described in s. 481(a)(1) or s.

15  1201(a) of the Higher Education Act of 1965, 20 U.S.C. s.

16  1088(a)(1) or s. 1141(a), as such sections are in effect on

17  the date of the enactment of the Personal Responsibility and

18  Work Opportunity Reconciliation Act of 1996, Pub. L. No.

19  104-193.

20         2.  An area vocational education school, as defined in

21  s. 521(4)(C) or (D) of the Carl D. Perkins Vocational and

22  Applied Technology Education Act, 20 U.S.C. s. 2471(4), in

23  this state, as such sections are in effect on the date of the

24  enactment of the Personal Responsibility and Work Opportunity

25  Reconciliation Act of 1996, Pub. L. No. 104-193.

26         (e)  "Postsecondary educational expenses" means:

27         1.  Tuition and fees required for the enrollment or

28  attendance of a student at an eligible educational

29  institution.

30         2.  Fees, books, supplies, and equipment required for

31  courses of instruction at an eligible educational institution.


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    CS for SB 260                                 Second Engrossed



  1         (f)  "Qualified acquisition costs" means the costs of

  2  acquiring, constructing, or reconstructing a residence. The

  3  term includes any usual or reasonable settlement, financing,

  4  or other closing costs in a RECI community.

  5         (g)  "Qualified business" means any business that does

  6  not contravene any law or public policy in a RECI community.

  7         (h)  "Qualified business capitalization expenses" means

  8  qualified expenditures for the capitalization of a qualified

  9  business pursuant to a qualified plan.

10         (i)  "Qualified expenditures" means expenditures

11  included in a qualified plan, including capital, plant,

12  equipment, working capital, and inventory expenses.

13         (j)1.  "Qualified first-time homebuyer" means a

14  taxpayer and, if married, the taxpayer's spouse, who has no

15  present ownership interest in a principal residence during the

16  3-year period ending on the date of acquisition of the

17  principal residence.

18         2.  "Date of acquisition" means the date on which a

19  binding contract to acquire, construct, or reconstruct the

20  principal residence is entered into.

21         (k)  "Qualified plan" means a business plan or a plan

22  to use a business asset purchased, which:

23         1.  Is approved by a financial institution, a

24  microenterprise development organization, or a nonprofit loan

25  fund having demonstrated fiduciary integrity.

26         2.  Includes a description of services or goods to be

27  sold, a marketing plan, and projected financial statements.

28         3.  May require the eligible individual to obtain the

29  assistance of an experienced entrepreneurial advisor.

30         (l)  "Qualified principal residence" means a principal

31  residence, in a RECI community within the meaning of s. 1034


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    CS for SB 260                                 Second Engrossed



  1  of the Internal Revenue Code of 1986, as amended, the

  2  qualified acquisition costs of which do not exceed 100 percent

  3  of the average area purchase price applicable to such

  4  residence, determined in accordance with s. 143(e)(2) and (3)

  5  of such code.

  6         (3)  The Department of Children and Families shall

  7  amend the Temporary Assistance for Needy Families State Plan

  8  which was submitted in accordance with s. 402 of the Social

  9  Security Act, as amended, 42 U.S.C. s. 602, to provide for the

10  use of funds for individual development accounts in accordance

11  with the provisions of this section.

12         (4)(a)  Any family in a RECI community subject to time

13  limits and fully complying with work requirements of the WAGES

14  Program that enters into an agreement with an approved

15  fiduciary organization is eligible for participation in an

16  individual development account.

17         (b)  Contributions to the individual development

18  account by an individual may be derived only from earned

19  income, as defined in s. 911(d)(2) of the Internal Revenue

20  Code of 1986, as amended.

21         (c)  The individual or family shall enter into an

22  individual development account agreement with a certified

23  fiduciary organization or community-based organization.

24         (d)  Eligible participants may receive matching funds

25  for contributions to the individual development account,

26  pursuant to the WAGES State Plan and the plan of the local

27  WAGES coalition. When not restricted to the contrary, matching

28  funds may be paid from state and federal funds under the

29  control of the local WAGES coalition, from local agencies, or

30  from private donations.

31


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    CS for SB 260                                 Second Engrossed



  1         (e)  Eligible participants may receive bonus payments

  2  for program compliance, to the extent provided in the WAGES

  3  State Plan and the plan of the local WAGES coalition.  Such

  4  bonus payments may provide for a matching proportion higher

  5  than matching funds described in paragraph (d).

  6         (5)  Individual development accounts may be available

  7  once the family no longer receives cash assistance for any of

  8  the following uses:

  9         (a)  Postsecondary educational expenses paid from an

10  individual development account directly to an eligible

11  educational institution;

12         (b)  Qualified acquisition costs with respect to a

13  qualified principal residence in a RECI community for a

14  qualified first-time homebuyer, if paid from an individual

15  development account directly to the persons to whom the

16  amounts are due; or

17         (c)  Amounts paid from an individual development

18  account directly to a business capitalization account which is

19  established in a federally insured financial institution and

20  is restricted to use solely for qualified business

21  capitalization in a RECI community.

22         (6)  The WAGES Program State Board of Directors shall

23  establish such policies and procedures as may be necessary to

24  ensure that funds held in an individual development account

25  are not withdrawn except for one or more of the qualified

26  purposes described in this section.

27         (7)  Fiduciary organizations shall be the local WAGES

28  coalition or other organizations designated by the local WAGES

29  coalition to serve as an intermediary between individual

30  account holders and financial institutions holding accounts.

31  Responsibilities of such fiduciary organizations may include


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    CS for SB 260                                 Second Engrossed



  1  marketing participation, soliciting matching contributions,

  2  counseling program participants, and conducting verification

  3  and compliance activities.

  4         (8)  The WAGES Program State Board of Directors shall

  5  establish penalties and procedures for enforcing compliance

  6  with such penalties for the withdrawal of moneys from

  7  individual development accounts under false pretenses or for

  8  the use of such moneys for other than approved purposes.  The

  9  fiduciary organization shall make arrangements with the

10  financial institution to impose any penalties or loss of

11  matching funds as specified by the WAGES Program State Board

12  of Directors on moneys withdrawn.  The WAGES Program State

13  Board of Directors may, at its discretion, specify conditions

14  under which an account shall be closed.

15         (9)  The fiduciary organization shall establish a

16  grievance committee and a procedure to hear, review, and

17  decide in writing any grievance made by a holder of an

18  individual development account who disputes a decision of the

19  operating organization that a withdrawal is subject to

20  penalty.

21         (10)  In the event of an account holder's death, the

22  account may be transferred to the ownership of a contingent

23  beneficiary. An account holder shall name contingent

24  beneficiaries at the time the account is established and may

25  change such beneficiaries at any time.

26         (11)  Financial institutions approved by the WAGES

27  Program State Board of Directors shall be permitted to

28  establish individual development accounts pursuant to this

29  section. The financial institution shall certify to the local

30  WAGES coalition on forms prescribed by the WAGES Program State

31  Board of Directors and accompanied by any documentation


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    CS for SB 260                                 Second Engrossed



  1  required by the WAGES Program State Board of Directors that

  2  such accounts have been established pursuant to all provisions

  3  of this act and that deposits have been made on behalf of the

  4  account holder. A financial institution establishing an

  5  individual development account shall:

  6         (a)  Keep the account in the name of the account

  7  holder.

  8         (b)  Subject to the indicated conditions, permit

  9  deposits to be made into the account:

10         1.  By the account holder; or

11         2.  By means of contributions made on behalf of the

12  account holder. Such deposits may include moneys to match the

13  account holder's deposits.

14         (c)  Require the account to earn the market rate of

15  interest.

16         (d)  Permit the account holder to withdraw moneys from

17  the account for any of the permissible uses pursuant to

18  procedures adopted by the WAGES Program State Board of

19  Directors.

20         (12)  In accordance with s. 404(h)(4) of the Social

21  Security Act, as amended, 42 U.S.C. s. 604(h)(4), and

22  notwithstanding any other provision of law, other than the

23  Internal Revenue Code of 1986, as amended, funds in an

24  individual development account, including interest accruing in

25  such account, shall be disregarded in determining eligibility

26  for any federal or state program. Matching contributions paid

27  directly into such account and contributions by an individual

28  from earnings shall similarly be disregarded in determining

29  eligibility for any state or federal program.

30         Section 9.  Subsection (5) is added to section 218.503,

31  Florida Statutes, to read:


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    CS for SB 260                                 Second Engrossed



  1         218.503  Determination of financial emergency.--

  2         (5)(a)  The governing authority of any municipality

  3  with a resident population of 300,000 or more on April 1,

  4  1999, and which has been declared in a state of financial

  5  emergency pursuant to this section within the previous 2

  6  fiscal years may impose a discretionary per-vehicle surcharge

  7  of up to 20 percent on the gross revenues of the sale, lease,

  8  or rental of space at parking facilities within the

  9  municipality that are open for use to the general public.

10         (b)  A municipal governing authority that imposes the

11  surcharge authorized by this subsection may use the proceeds

12  of such surcharge for the following purposes only:

13         1.  No less than 60 percent and no more than 80 percent

14  of the surcharge proceeds shall be used by the governing

15  authority to reduce its ad valorem tax millage rate or to

16  reduce or eliminate non-ad valorem assessments.

17         2.  A portion of the balance of the surcharge proceeds

18  shall be used by the governing authority to increase its

19  budget reserves; however, the governing authority shall not

20  reduce the amount it allocates for budget reserves from other

21  sources below the amount allocated for reserves in the fiscal

22  year prior to the year in which the surcharge is initially

23  imposed. When a 15 percent budget reserve is achieved, based

24  on the average gross revenue for the most recent 3 prior

25  fiscal years, the remaining proceeds from this subparagraph

26  shall be used for the payment of annual debt service related

27  to outstanding obligations backed or secured by a covenant to

28  budget and appropriate from non-ad valorem revenues.

29         (c)  This subsection is repealed on June 30, 2006.

30         Section 10.  Except as otherwise provided in this act,

31  this act shall take effect July 1, 1999.


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