House Bill 0073

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    Florida House of Representatives - 1999                  HB 73

        By Representatives Merchant, Feeney, Warner, Villalobos,
    Barreiro, Cantens, Andrews, Bitner, Wallace, K. Smith and
    Minton




  1                      A bill to be entitled

  2         An act relating to the Department of Labor and

  3         Employment Security; amending s. 20.171, F.S.;

  4         providing that the department shall operate its

  5         programs in a decentralized fashion; providing

  6         for the appointment of three assistant

  7         secretaries; providing for the powers and

  8         duties of such secretaries; providing for the

  9         creation of field offices; revising divisions

10         within the department; amending s. 110.205,

11         F.S.; providing that certain employees of the

12         department shall be in the Senior Management

13         Service; providing that certain actions

14         contemplated by the act shall be done within

15         the available resources of the department;

16         amending ss. 393.11, 400.805, 410.0245,

17         410.604, 413.034, 413.445, 442.003, 442.014,

18         442.20, 553.512, 627.0915, 627.212, and

19         627.311, F.S., to conform; repealing s.

20         442.023, F.S., to conform; providing an

21         effective date.

22

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

24

25         Section 1.  Section 20.171, Florida Statutes, 1998

26  Supplement, is amended to read:

27         20.171  Department of Labor and Employment

28  Security.--There is created a Department of Labor and

29  Employment Security. The department shall operate its programs

30  in a decentralized fashion.

31

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  1         (1)  The head of the Department of Labor and Employment

  2  Security is the Secretary of Labor and Employment Security.

  3  The secretary shall be appointed by the Governor subject to

  4  confirmation by the Senate.  The secretary shall serve at the

  5  pleasure of the Governor.

  6         (2)  There shall be three assistant secretaries who

  7  shall be appointed by and serve at the pleasure of the

  8  Secretary of Labor and Employment Security. The assistant

  9  secretaries shall be titled Assistant Secretary for Finance

10  and Administration, Assistant Secretary for Programs, and

11  Assistant Secretary for Field Operations. The Secretary of

12  Labor and Employment Security may assign any assistant

13  secretary the responsibility of supervising, coordinating, and

14  formulating policy for any division, office, or field office.

15  The following special offices are established within the

16  department to be headed by managers, each of whom shall be

17  appointed by and serve at the pleasure of the Secretary of

18  Labor and Employment Security:  the Office of General Counsel,

19  the Office of Inspector General, and the Office of the

20  Executive Staff Director. There shall be five field offices

21  involved in the administration and management of the

22  department's programs for workers' compensation, jobs and

23  benefits, and unemployment compensation. The five field

24  offices shall be headed by managers, each of whom shall be

25  appointed by and serve at the pleasure of the Secretary of

26  Labor and Employment Security. The managers of all divisions

27  and offices specifically named in this section and the

28  directors of the five field offices are exempt from part II of

29  chapter 110 and are included in the Senior Management Service

30  in accordance with s. 110.205(2)(l). No other assistant

31  secretaries or senior management positions at or above the

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  1  division level, except those established in chapter 110, may

  2  be created without specific legislative authority.

  3         (a)  The Assistant Secretary for Finance and

  4  Administration is responsible for developing, monitoring, and

  5  enforcing policy and managing major technical programs.

  6         1.  The responsibilities and duties of the Assistant

  7  Secretary for Finance and Administration include, but are not

  8  limited to, the following functional areas:

  9         a.  Financial planning and management.

10         b.  Information systems.

11         c.  Accounting systems.

12         d.  Administrative functions.

13         2.  The following offices are established and shall be

14  headed by managers:

15         a.  The Office of Administration.

16         b.  The Office of Comptroller.

17         c.  The Office of Management and Budget.

18         d.  The Office of Civil Rights.

19         e.  The Office of Information Systems.

20         (b)  The Assistant Secretary for Finance and

21  Administration must possess a broad knowledge of the

22  administrative, financial, and technical aspects of a complete

23  cost-accounting system, budget preparation and management, and

24  management information systems. The Assistant Secretary for

25  Finance and Administration must be a proven, effective manager

26  with specialized skills in financial planning and management.

27  The Assistant Secretary for Finance and Administration shall

28  ensure that financial information is processed in a timely,

29  accurate, and complete manner. The responsibilities of the

30  office of the Assistant Secretary of Finance and

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  1  Administration shall include, but are not limited to,

  2  implementing the following by December 1, 1999:

  3         1.  The preparation of detailed documentation of the

  4  internal controls, including general and application controls,

  5  the department relies on for accurate and complete financial

  6  information.

  7         2.  The monthly reconciliation of the department's

  8  accounting, planning and budgeting, cash forecasting, and

  9  grants-in-aid program.

10         3.  The development of a long-range information systems

11  plan for the department which addresses the computing and

12  informational requirements of the five field and special

13  offices. Financial, personnel, and technical resources must

14  all be identified and quantified, as appropriate.

15         (c)  Within the central office there is created an

16  Office of Management and Budget. The head of the Office of

17  Management and Budget is responsible to the Assistant

18  Secretary for Finance and Administration and is exempt from

19  part II of chapter 110. The functions of the Office of

20  Management and Budget include, but are not limited to:

21         1.  Financial planning.

22         2.  Preparation of the department budget.

23         3.  Coordination of related policies and procedures.

24         4.  The development of uniform implementation and

25  monitoring procedures for all activities performed at the

26  field office level involving the budget and agency programs.

27         (d)1.  The Secretary of Labor and Employment Security

28  shall appoint a comptroller who shall be responsible to the

29  Assistant Secretary for Finance and Administration. This

30  position is exempt from part II of chapter 110.

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  1         2.  The comptroller is the chief financial officer of

  2  the department and shall be a proven, effective administrator

  3  who by a combination of education and experience clearly

  4  possesses a broad knowledge of the administrative, financial,

  5  and technical aspects of a complex cost-accounting system. The

  6  comptroller must also have a working knowledge of generally

  7  accepted accounting principles. At a minimum, the comptroller

  8  shall hold an active license to practice public accounting in

  9  Florida pursuant to chapter 473 or an active license to

10  practice public accounting in another state. In addition to

11  the requirements of the Florida Fiscal Accounting Management

12  Information System Act, the comptroller is responsible for the

13  development, maintenance, and modification of an accounting

14  system which will in a timely manner accurately reflect the

15  revenues and expenditures of the department and which shall

16  include a cost-accounting system to properly identify,

17  segregate, allocate, and report department costs. The

18  comptroller shall supervise and direct preparation of a

19  detailed 36-month forecast of cash and expenditures and shall

20  be responsible for managing and determining cash requirements.

21  The comptroller shall review all comparative cost studies

22  which examine the cost-effectiveness and feasibility of

23  contracting for services and operations performed by the

24  department. The review shall state that the study was prepared

25  in accordance with generally accepted cost-accounting

26  standards applied in a consistent manner using valid and

27  accurate cost data.

28         3.  The comptroller must give bond in the amount of

29  $100,000, payable to the Governor and his or her successors in

30  office, to be approved by the Department of Banking and

31  Finance and conditioned upon the faithful performance of his

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  1  or her duties. The premiums of such bond shall be paid from

  2  the funds for the maintenance of the department.

  3         4.  The department shall, by rule or internal

  4  management memoranda as required by chapter 120, provide for

  5  the maintenance by the comptroller of financial records and

  6  accounts of the department as will afford a full and complete

  7  check against the improper payment of bills and provide a

  8  system for the prompt payment of the just obligations of the

  9  department, which records must at all times disclose:

10         a.  The several appropriations available for the use of

11  the department.

12         b.  The specific amounts of each such appropriation

13  budgeted by the department for each improvement or purpose.

14         c.  The apportionment or division of all such

15  appropriations among the several counties and field offices,

16  when such apportionment or division is made.

17         d.  The amount or portion of each such apportionment

18  against contractual and other obligations of the department.

19         e.  The amount expended and the amount still to be

20  expended in connection with each contractual and other

21  obligations of the department.

22         f.  The expense and operating costs of the various

23  activities of the department.

24         g.  The receipts accruing to the department and the

25  distribution thereof.

26         h.  The assets, investments, and liabilities of the

27  department.

28         i.  The cash requirements of the department of a

29  36-month period.

30         5.  The comptroller shall maintain a separate account

31  for each fund administered by the department.

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  1         6.  The comptroller shall perform such other related

  2  duties as may be designated by the department.

  3         (e)  The Assistant Secretary for Programs is

  4  responsible for developing, monitoring, and enforcing policy

  5  and managing major technical programs. The responsibilities

  6  and duties of the Assistant Secretary for Programs include,

  7  but are not limited to, the following functional areas:

  8         1.a.  Workers' compensation management and policy.

  9         b.  Jobs and benefits management and policy.

10         c.  Unemployment compensation management and policy.

11         d.  Blind services management and policy.

12         2.  The following divisions are established and shall

13  be headed by managers, each of whom shall be appointed by and

14  serve at the pleasure of the Secretary of Labor and Employment

15  Security:

16         a.  Division of Jobs and Benefits.

17         b.  Division of Unemployment Compensation.

18         c.  Division of Workers' Compensation.

19         d.  Division of Blind Services.

20         (f)  The Assistant Secretary for Programs must possess

21  a broad knowledge of the administrative, financial, and

22  technical aspects of the divisions within the department.

23         (g)  The Assistant Secretary for Field Operations is

24  responsible for developing, monitoring, and enforcing policy

25  and managing major technical programs. The responsibilities

26  and duties of the Assistant Secretary for Field Operations

27  include, but are not limited to, the following functional

28  areas:

29         1.a.  Oversight of the five field offices.

30         b.  Workers' compensation policy implementation.

31         c.  Jobs and benefits policy implementation.

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  1         d.  Unemployment compensation policy implementation.

  2         2.  The following field offices are established and

  3  shall be headed by managers:

  4         a.  Field Office I--Panama City, which shall serve the

  5  following counties: Escambia, Santa Rosa, Okaloosa, Walton,

  6  Holmes, Washington, Bay, Jefferson, Calhoun, Gulf, Liberty,

  7  Franklin, Wakulla, Leon, Gadsden, and Jefferson.

  8         b.  Field Office II--Lake City, which shall serve the

  9  following counties: Madison, Taylor, Dixie, Lafayette,

10  Suwannee, Hamilton, Columbia, Baker, Union, Bradford, Clay,

11  St. Johns, Duval, Nassau, Alachua, Putnam, Marion, Levy,

12  Gilchrist, and Flagler.

13         c.  Field Office III--Orlando, which shall serve the

14  following counties: Volusia, Lake, Seminole, Orange, Sumter,

15  Brevard, Osceola, Indian River, Highlands, St. Lucie,

16  Okeechobee, and Martin.

17         d.  Field Office IV--Tampa, which shall serve the

18  following counties:  Citrus, Hernando, Pasco, Pinellas,

19  Hillsborough, Polk, Hardee, Manatee, Sarasota, DeSoto,

20  Charlotte, and Lee.

21         e.  Field Office V--Miami, which shall serve the

22  following counties: Palm Beach, Glades, Hendry, Collier,

23  Broward, Monroe, and Dade.

24         (h)  The Assistant Secretary for Field Operations must

25  possess a broad knowledge of the administrative, financial,

26  and technical aspects of the divisions within the department.

27         (2)  The following divisions, and bureaus within the

28  divisions, of the Department of Labor and Employment Security

29  are established:

30         (a)  Division of Jobs and Benefits.

31         (b)  Division of Unemployment Compensation.

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  1         (c)  Division of Administrative Services.

  2         (d)  Division of Workers' Compensation.

  3         (e)  Division of Vocational Rehabilitation.

  4         (f)  Division of Safety.

  5         (g)  Division of Blind Services.

  6         (3)  The following commissions are established within

  7  the Department of Labor and Employment Security:

  8         (a)  Public Employees Relations Commission.

  9         (b)  Unemployment Appeals Commission.

10         (4)(a)  There is created within the Department of Labor

11  and Employment Security an Unemployment Appeals Commission,

12  hereinafter referred to as the "commission."  The commission

13  shall consist of a chair and two other members to be appointed

14  by the Governor, subject to confirmation by the Senate.  Not

15  more than one appointee shall be a person who, on account of

16  previous vocation, employment, or affiliation, shall be

17  classified as a representative of employers; and not more than

18  one such appointee shall be a person who, on account of

19  previous vocation, employment, or affiliation, shall be

20  classified as a representative of employees.

21         1.  The chair shall devote his or her entire time to

22  commission duties and shall be responsible for the

23  administrative functions of the commission.

24         2.  The chair shall have the authority to appoint a

25  general counsel and such other personnel as may be necessary

26  to carry out the duties and responsibilities of the

27  commission.

28         3.  The chair shall have the qualifications required by

29  law for a judge of the circuit court and shall not engage in

30  any other business vocation or employment. Notwithstanding any

31  other provisions of existing law, the chair shall be paid a

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  1  salary equal to that paid under state law to a judge of the

  2  circuit court.

  3         4.  The remaining members shall be paid a stipend of

  4  $100 for each day they are engaged in the work of the

  5  commission.  The chair and other members shall also be

  6  reimbursed for travel expenses, as provided in s. 112.061.

  7         5.  The total salary and travel expenses of each member

  8  of the commission shall be paid from the Employment Security

  9  Administration Trust Fund.

10         (b)  Members shall serve for terms of 4 years each,

11  except that, beginning July 1, 1977, the chair shall be

12  appointed for a term of 4 years, one member for 3 years, and

13  one member for 2 years. A vacancy for the unexpired term of a

14  member shall be filled in the same manner as provided in this

15  subsection for an original appointment.  The presence of two

16  members shall constitute a quorum for any called meeting of

17  the commission.

18         (c)  The commission is vested with all authority,

19  powers, duties, and responsibilities relating to unemployment

20  compensation appeal proceedings under chapter 443.

21         (d)  The property, personnel, and appropriations

22  relating to the specified authority, powers, duties, and

23  responsibilities of the commission shall be provided to the

24  commission by the Department of Labor and Employment Security.

25         (e)  The commission shall not be subject to control,

26  supervision, or direction by the Department of Labor and

27  Employment Security in the performance of its powers and

28  duties under chapter 443.

29         (f)  The commission shall make such expenditures,

30  including expenditures for personal services and rent at the

31  seat of government and elsewhere; for law books, books of

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  1  reference, periodicals, furniture, equipment, and supplies;

  2  and for printing and binding as may be necessary in exercising

  3  its authority and powers and carrying out its duties and

  4  responsibilities.  All such expenditures of the commission

  5  shall be allowed and paid as provided in s. 443.211 upon the

  6  presentation of itemized vouchers therefor, approved by the

  7  chair.

  8         (g)  The commission may charge, in its discretion, for

  9  publications, subscriptions, and copies of records and

10  documents. Such fees shall be deposited in the Employment

11  Security Administration Trust Fund.

12         (h)  The commission shall maintain and keep open during

13  reasonable business hours an office, which shall be provided

14  in the Capitol or some other suitable building in the City of

15  Tallahassee, for the transaction of its business, at which

16  office its official records and papers shall be kept.  The

17  offices shall be furnished and equipped by the commission.

18  The commission may hold sessions and conduct hearings at any

19  place within the state.

20         (i)  The commission shall prepare and submit a budget

21  covering the necessary administrative cost of the commission.

22         (j)  The commission shall have a seal for

23  authentication of its orders, awards, and proceedings, upon

24  which shall be inscribed the words "State of

25  Florida-Unemployment Appeals Commission-Seal"; and it shall be

26  judicially noticed.

27         (k)  The commission has authority to adopt rules

28  pursuant to ss. 120.536(1) and 120.54 to implement provisions

29  of law conferring duties upon it.

30         (l)  Orders of the commission relating to unemployment

31  compensation under chapter 443 shall be subject to review only

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  1  by notice of appeal to the district courts of appeal in the

  2  manner provided in s. 443.151(4)(e).

  3         Section 2.  Paragraph (l) of subsection (2) of section

  4  110.205, Florida Statutes, is amended to read:

  5         110.205  Career service; exemptions.--

  6         (2)  EXEMPT POSITIONS.--The exempt positions which are

  7  not covered by this part include the following, provided that

  8  no position, except for positions established for a limited

  9  period of time pursuant to paragraph (h), shall be exempted if

10  the position reports to a position in the career service:

11         (l)  All assistant division director, deputy division

12  director, and bureau chief positions in any department, and

13  those positions determined by the department to have

14  managerial responsibilities comparable to such positions,

15  which positions include, but are not limited to, positions in

16  the Department of Health and Rehabilitative Services and the

17  Department of Corrections that are assigned primary duties of

18  serving as the superintendent of an institution: positions in

19  the Department of Transportation that are assigned primary

20  duties of serving as regional toll managers and managers of

21  offices as defined in s. 20.23(3)(d)3. and (4)(d); positions

22  in the Department of Environmental Protection that are

23  assigned the duty of an Environmental Administrator or program

24  administrator; those positions described in s. 20.171 as

25  included in the Senior Management Service; and positions in

26  the Department of Health and Rehabilitative Services that are

27  assigned the duty of an Environmental Administrator. Unless

28  otherwise fixed by law, the department shall set the salary

29  and benefits of these positions in accordance with the rules

30  established for the Selected Exempt Service.

31

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  1         Section 3.  All actions required by this act shall be

  2  accomplished within available appropriations of the Department

  3  of Labor and Employment Security.

  4         Section 4.  Subsection (1) of section 393.11, Florida

  5  Statutes, 1998 Supplement, is amended to read:

  6         393.11  Involuntary admission to residential

  7  services.--

  8         (1)  JURISDICTION.--When a person is mentally retarded

  9  and requires involuntary admission to residential services

10  provided by the developmental services program of the

11  Department of Children and Family Health and Rehabilitative

12  Services, the circuit court of the county in which the person

13  resides shall have jurisdiction to conduct a hearing and enter

14  an order involuntarily admitting the person in order that the

15  person may receive the care, treatment, habilitation, and

16  rehabilitation which the person needs.  For the purpose of

17  identifying mental retardation, diagnostic capability shall be

18  established in every program function of the department in the

19  districts, including, but not limited to, programs provided by

20  children and families; delinquency services; alcohol, drug

21  abuse, and mental health; and economic services, and by the

22  Division of Vocational Rehabilitation of the Department of

23  Labor and Employment Security. Except as otherwise specified,

24  the proceedings under this section shall be governed by the

25  Florida Rules of Civil Procedure.

26         Section 5.  Section 400.805, Florida Statutes, 1998

27  Supplement, is amended to read:

28         400.805  Transitional living facilities.--

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

30         (a)  "Agency" means the Agency for Health Care

31  Administration.

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  1         (b)  "Division" means the Division of Vocational

  2  Rehabilitation of the Department of Labor and Employment

  3  Security.

  4         (b)(c)  "Transitional living facility" means a site

  5  where specialized health care services are provided,

  6  including, but not limited to, rehabilitative services,

  7  community reentry training, aids for independent living, and

  8  counseling to spinal-cord-injured persons and head-injured

  9  persons.  This term does not include a hospital licensed under

10  chapter 395 or any federally operated hospital or facility.

11         (2)(a)  A person must obtain a license from the agency

12  to operate a transitional living facility.  A license issued

13  under this section is valid for 1 year.

14         (b)  The application for a license must be made on a

15  form provided by the agency.  A nonrefundable license fee of

16  $2,000 and a fee of up to $39.25 per bed must be submitted

17  with the license application.

18         (c)  The agency may not issue a license to an applicant

19  until the agency receives notice from the Department of Labor

20  and Employment Security division as provided in paragraph

21  (5)(b).

22         (3)  Each applicant for licensure must comply with the

23  following requirements:

24         (a)  Upon receipt of a completed, signed, and dated

25  application, the agency shall require background screening, in

26  accordance with the level 2 standards for screening set forth

27  in chapter 435, of the managing employee, or other similarly

28  titled individual who is responsible for the daily operation

29  of the facility, and of the financial officer, or other

30  similarly titled individual who is responsible for the

31  financial operation of the facility, including billings for

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  1  client care and services. The applicant must comply with the

  2  procedures for level 2 background screening as set forth in

  3  chapter 435.

  4         (b)  The agency may require background screening of any

  5  other individual who is an applicant if the agency has

  6  probable cause to believe that he or she has been convicted of

  7  a crime or has committed any other offense prohibited under

  8  the level 2 standards for screening set forth in chapter 435.

  9         (c)  Proof of compliance with the level 2 background

10  screening requirements of chapter 435 which has been submitted

11  within the previous 5 years in compliance with any other

12  health care or assisted living licensure requirements of this

13  state is acceptable in fulfillment of the requirements of

14  paragraph (a).

15         (d)  A provisional license may be granted to an

16  applicant when each individual required by this section to

17  undergo background screening has met the standards for the

18  abuse registry background check and the Department of Law

19  Enforcement background check, but the agency has not yet

20  received background screening results from the Federal Bureau

21  of Investigation, or a request for a disqualification

22  exemption has been submitted to the agency as set forth in

23  chapter 435, but a response has not yet been issued. A

24  standard license may be granted to the applicant upon the

25  agency's receipt of a report of the results of the Federal

26  Bureau of Investigation background screening for each

27  individual required by this section to undergo background

28  screening which confirms that all standards have been met, or

29  upon the granting of a disqualification exemption by the

30  agency as set forth in chapter 435. Any other person who is

31  required to undergo level 2 background screening may serve in

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  1  his or her capacity pending the agency's receipt of the report

  2  from the Federal Bureau of Investigation. However, the person

  3  may not continue to serve if the report indicates any

  4  violation of background screening standards and a

  5  disqualification exemption has not been requested of and

  6  granted by the agency as set forth in chapter 435.

  7         (e)  Each applicant must submit to the agency, with its

  8  application, a description and explanation of any exclusions,

  9  permanent suspensions, or terminations of the applicant from

10  the Medicare or Medicaid programs. Proof of compliance with

11  the requirements for disclosure of ownership and control

12  interests under the Medicaid or Medicare programs may be

13  accepted in lieu of this submission.

14         (f)  Each applicant must submit to the agency a

15  description and explanation of any conviction of an offense

16  prohibited under the level 2 standards of chapter 435 by a

17  member of the board of directors of the applicant, its

18  officers, or any individual owning 5 percent or more of the

19  applicant. This requirement does not apply to a director of a

20  not-for-profit corporation or organization if the director

21  serves solely in a voluntary capacity for the corporation or

22  organization, does not regularly take part in the day-to-day

23  operational decisions of the corporation or organization,

24  receives no remuneration for his or her services on the

25  corporation or organization's board of directors, and has no

26  financial interest and has no family members with a financial

27  interest in the corporation or organization, provided that the

28  director and the not-for-profit corporation or organization

29  include in the application a statement affirming that the

30  director's relationship to the corporation satisfies the

31  requirements of this paragraph.

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  1         (g)  A license may not be granted to an applicant if

  2  the applicant or managing employee has been found guilty of,

  3  regardless of adjudication, or has entered a plea of nolo

  4  contendere or guilty to, any offense prohibited under the

  5  level 2 standards for screening set forth in chapter 435,

  6  unless an exemption from disqualification has been granted by

  7  the agency as set forth in chapter 435.

  8         (h)  The agency may deny or revoke licensure if the

  9  applicant:

10         1.  Has falsely represented a material fact in the

11  application required by paragraph (e) or paragraph (f), or has

12  omitted any material fact from the application required by

13  paragraph (e) or paragraph (f); or

14         2.  Has had prior action taken against the applicant

15  under the Medicaid or Medicare program as set forth in

16  paragraph (e).

17         (i)  An application for license renewal must contain

18  the information required under paragraphs (e) and (f).

19         (4)  An application for renewal of license must be

20  submitted 90 days before the expiration of the license.  Upon

21  renewal of licensure, each applicant must submit to the

22  agency, under penalty of perjury, an affidavit as set forth in

23  paragraph (3)(d).

24         (5)  A change of ownership or control of a transitional

25  living facility must be reported to the agency in writing at

26  least 60 days before the change is scheduled to take effect.

27         (6)(a)  The agency shall adopt rules in consultation

28  with the Department of Labor and Employment Security division

29  governing the physical plant of transitional living facilities

30  and the fiscal management of transitional living facilities.

31

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  1         (b)  The Department of Labor and Employment Security

  2  division shall adopt rules in consultation with the agency

  3  governing the services provided to clients of transitional

  4  living facilities. The Department of Labor and Employment

  5  Security division shall enforce all requirements for providing

  6  services to the facility's clients.  The Department of Labor

  7  and Employment Security division must notify the agency when

  8  it determines that an applicant for licensure meets the

  9  service requirements adopted by the division.

10         (c)  The agency and the Department of Labor and

11  Employment Security division shall enforce requirements under

12  this section, as such requirements relate to them

13  respectively, and their respective adopted rules.

14         (7)(a)  It is unlawful for any person to establish,

15  conduct, manage, or operate a transitional living facility

16  without obtaining a license from the agency.

17         (b)  It is unlawful for any person to offer or

18  advertise to the public, in any medium whatever, services or

19  care defined in paragraph (1)(c) without obtaining a license

20  from the agency.

21         (c)  It is unlawful for a holder of a license issued

22  under this section to advertise or represent to the public

23  that it holds a license for a type of facility other than the

24  facility for which its license is issued.

25         Section 6.  Paragraph (a) of subsection (1) of section

26  410.0245, Florida Statutes, is amended to read:

27         410.0245  Study of service needs; report; multiyear

28  plan.--

29         (1)(a)  The Aging and Adult Services Program Office of

30  the Department of Children and Family Health and

31  Rehabilitative Services shall contract for a study of the

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  1  service needs of the 18-to-59-year-old disabled adult

  2  population served or waiting to be served by the community

  3  care for disabled adults program.  The Division of Vocational

  4  Rehabilitation of the Department of Labor and Employment

  5  Security and other appropriate state agencies shall provide

  6  information to the Department of Children and Family Health

  7  and Rehabilitative Services when requested for the purposes of

  8  this study.

  9         Section 7.  Subsection (2) of section 410.604, Florida

10  Statutes, is amended to read:

11         410.604  Community care for disabled adults program;

12  powers and duties of the department.--

13         (2)  Any person who meets the definition of a disabled

14  adult pursuant to s. 410.603(2) is eligible to receive the

15  services of the community care for disabled adults program.

16  However, the community care for disabled adults program shall

17  operate within the funds appropriated by the Legislature.

18  Priority shall be given to disabled adults who are not

19  eligible for comparable services in programs of or funded by

20  the department or the Division of Vocational Rehabilitation of

21  the Department of Labor and Employment Security; who are

22  determined to be at risk of institutionalization; and whose

23  income is at or below the existing institutional care program

24  eligibility standard.

25         Section 8.  Subsection (1) of section 413.034, Florida

26  Statutes, is amended to read:

27         413.034  Commission established; membership.--

28         (1)  There is created within the Department of

29  Management Services the Commission for Purchase from the Blind

30  or Other Severely Handicapped, to be composed of the secretary

31  of the Department of Management Services,; the director of the

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  1  Division of Vocational Rehabilitation of the Department of

  2  Labor and Employment Security, who shall be an ex officio

  3  member with voting rights; the director of the Division of

  4  Blind Services of the Department of Labor and Employment

  5  Security,; and four members to be appointed by the Governor,

  6  which four members shall be an executive director of a

  7  nonprofit agency for the blind, an executive director of a

  8  nonprofit agency for other severely handicapped persons, a

  9  representative of private enterprise, and a representative of

10  other political subdivisions. All appointed members shall

11  serve for terms of 4 years.  Appointed commission members

12  shall serve subject to confirmation by the Senate.

13         Section 9.  Subsection (1) of section 413.445, Florida

14  Statutes, is amended to read:

15         413.445  Recovery of third-party payments for

16  vocational rehabilitation and related services.--

17         (1)  As used in this section, "vocational

18  rehabilitation and related services" means any services which

19  are provided or paid for by the Division of Vocational

20  Rehabilitation of the Department of Labor and Employment

21  Security.

22         Section 10.  Section 442.003, Florida Statutes, is

23  amended to read:

24         442.003  Legislative intent.--It is the intent of the

25  Legislature to enhance occupational safety and health in this

26  state through the implementation and maintenance of policies,

27  procedures, practices, rules, and standards that reduce the

28  incidence of employee accidents, occupational diseases, and

29  fatalities compensable under chapter 440. The Legislature

30  further intends that the Division of Safety of the Department

31  of Labor and Employment Security develop a means by which it

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  1  can identify individual employers with a high frequency or

  2  severity of work-related injuries; conduct safety inspections

  3  of those employers; and assist those employers in the

  4  development and implementation of employee safety and health

  5  programs. In addition, it is the intent of the Legislature

  6  that the Division of Safety of the Department of Labor and

  7  Employment Security administer the provisions of this chapter;

  8  provide assistance to employers, employees, and insurance

  9  carriers; and enforce the policies, rules, and standards set

10  forth in this chapter.

11         Section 11.  Section 442.014, Florida Statutes, is

12  amended to read:

13         442.014  Division cooperation with Federal Government

14  exemption from Division of Safety requirements.--

15         (1)  The division shall cooperate with the Federal

16  Government so that duplicate inspections will be avoided yet

17  assure safe places of employment for the citizens of this

18  state.

19         (2)  Except as provided in this section, a private

20  sector employer is not subject to the requirements of the

21  Division of Safety if:

22         (a)  The employer is subject to the federal regulations

23  in 29 C.F.R. ss. 1910 and 1926; and

24         (b)  The employer has adopted and implemented a written

25  safety program that conforms to the requirements of 29 C.F.R.

26  ss. 1910 and 1926; and

27         (c)  An employer with 20 or more full-time employees

28  shall include provisions for a safety committee in the safety

29  program. The safety committee must include employee

30  representation and must meet at least once each calendar

31  quarter. The employer must make adequate records of each

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  1  meeting and maintain the records subject to inspections under

  2  subsection (3). The safety committee shall, if appropriate,

  3  make recommendations regarding improvements to the safety

  4  program and corrections of hazards affecting workplace safety;

  5  and

  6         (d)  The employer provides the Division of Safety with

  7  a written statement that certifies compliance with this

  8  subsection.

  9         (3)  The Division of Safety may enter at any reasonable

10  time any place of employment for the purposes of verifying the

11  accuracy of the written certification. If the Division of

12  Safety determines that the employer has not complied with the

13  requirements of subsection (2), the employer shall be subject

14  to the rules of the Division of Safety until the employer

15  complies with subsection (2) and recertifies that fact to the

16  Division of Safety.

17         (4)  This section shall not restrict the Division of

18  Safety from performing any duties pursuant to a written

19  contract between the Division of Safety and the Federal

20  Occupational Safety and Health Administration (OSHA).

21         Section 12.  Section 442.023, Florida Statutes, is

22  repealed.

23         Section 13.  Section 442.20, Florida Statutes, 1998

24  Supplement, is amended to read:

25         442.20  Workplace safety.--

26         (1)  The Division of Safety within the Department of

27  Labor and Employment Security shall assist in making the

28  workplace a safer place to work and decreasing the frequency

29  and severity of on-the-job injuries.

30         (2)  The department Division of Safety shall have the

31  authority to adopt rules for the purpose of assuring safe

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  1  working conditions for all workers by authorizing the

  2  enforcement of effective standards, assisting and encouraging

  3  employers to maintain safe working conditions, and by

  4  providing for education and training in the field of safety.

  5         (3)  The provisions of chapter 440 which pertain to

  6  workplace safety shall be applicable to the department

  7  Division of Safety.

  8         (4)  The administrative rules of the Department of

  9  Labor and Employment Security pertaining to the function of

10  the Bureau of Industrial Safety and Health which are in effect

11  immediately before July 1, 1990, continue in effect as rules

12  of the Division of Safety until specifically amended by the

13  Department of Labor and Employment Security.

14         Section 14.  Subsection (1) of section 553.512, Florida

15  Statutes, is amended to read:

16         553.512  Modifications and waivers; advisory council.--

17         (1)  The Florida Board of Building Codes and Standards

18  shall provide by regulation criteria for granting individual

19  modifications of, or exceptions from, the literal requirements

20  of this part upon a determination of unnecessary,

21  unreasonable, or extreme hardship, provided such waivers shall

22  not violate federal accessibility laws and regulations and

23  shall be reviewed by the Handicapped Accessibility Advisory

24  Council consisting of the following seven members, who shall

25  be knowledgeable in the area of handicapped accessibility.

26  The Secretary of Community Affairs shall appoint the

27  following: a representative from the Advocacy Center for

28  Persons with Disabilities, Inc.; a representative from the

29  Division of Blind Services; a representative from the Division

30  of Vocational Rehabilitation; a representative from a

31  statewide organization representing the physically

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  1  handicapped; a representative from the hearing impaired; a

  2  representative from the President, Florida Council of

  3  Handicapped Organizations; and a representative of the

  4  Paralyzed Veterans of America.  The terms for the first three

  5  council members appointed subsequent to October 1, 1991, shall

  6  be for 4 years, the terms for the next two council members

  7  appointed shall be for 3 years, and the terms for the next two

  8  members shall be for 2 years. Thereafter, all council member

  9  appointments shall be for terms of 4 years.  No council member

10  shall serve more than two 4-year terms subsequent to October

11  1, 1991.  Any member of the council may be replaced by the

12  secretary upon three unexcused absences.  Upon application

13  made in the form provided, an individual waiver or

14  modification may be granted by the board so long as such

15  modification or waiver is not in conflict with more stringent

16  standards provided in another chapter.

17         Section 15.  Section 627.0915, Florida Statutes, 1998

18  Supplement, is amended to read:

19         627.0915  Rate filings; workers' compensation,

20  drug-free workplace, and safe employers.--The Department of

21  Insurance shall approve rating plans for workers' compensation

22  insurance that give specific identifiable consideration in the

23  setting of rates to employers that either implement a

24  drug-free workplace program pursuant to rules adopted by the

25  Division of Workers' Compensation of the Department of Labor

26  and Employment Security or implement a safety program approved

27  by the Division of Safety pursuant to rules adopted by the

28  Division of Safety of the Department of Labor and Employment

29  Security or implement both a drug-free workplace program and a

30  safety program. The Department of Labor and Employment

31  Security Division of Safety may by rule require that the

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  1  client of a help supply services company comply with the

  2  essential requirements of a workplace safety program as a

  3  condition for receiving a premium credit. The plans must take

  4  effect January 1, 1994, must be actuarially sound, and must

  5  state the savings anticipated to result from such drug-testing

  6  and safety programs.

  7         Section 16.  Section 627.212, Florida Statutes, is

  8  amended to read:

  9         627.212  Workplace safety program surcharge.--The

10  department shall approve a rating plan for workers'

11  compensation coverage insurance that provides for carriers

12  voluntarily to impose a surcharge of no more than 10 percent

13  on the premium of a policyholder or fund member if that

14  policyholder or fund member has been identified by the

15  Division of Safety of the Department of Labor and Employment

16  Security as having been required to implement a safety program

17  and having failed to establish or maintain, either in whole or

18  in part, a safety program. The division shall adopt rules

19  prescribing the criteria for the employee safety programs.

20         Section 17.  Paragraph (b) of subsection (4) of section

21  627.311, Florida Statutes, 1998 Supplement, is amended to

22  read:

23         627.311  Joint underwriters and joint reinsurers.--

24         (4)

25         (b)  The operation of the plan is subject to the

26  supervision of a 13-member board of governors. The board of

27  governors shall be comprised of:

28         1.  Five of the 20 domestic insurers, as defined in s.

29  624.06(1), having the largest voluntary direct premiums

30  written in this state for workers' compensation and employer's

31

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  1  liability insurance, which shall be elected by those 20

  2  domestic insurers;

  3         2.  Five of the 20 foreign insurers as defined in s.

  4  624.06(2) having the largest voluntary direct premiums written

  5  in this state for workers' compensation and employer's

  6  liability insurance, which shall be elected by those 20

  7  foreign insurers;

  8         3.  One person, who shall serve as the chair, appointed

  9  by the Insurance Commissioner;

10         4.  One person appointed by the largest property and

11  casualty insurance agents' association in this state; and

12         5.  The consumer advocate appointed under s. 627.0613

13  or the consumer advocate's designee.

14

15  Each board member shall serve 4-year terms and may serve

16  consecutive terms. No board member shall be an insurer which

17  provides service to the plan or which has an affiliate which

18  provides services to the plan or which is serviced by a

19  service company or third-party administrator which provides

20  services to the plan or which has an affiliate which provides

21  services to the plan. The minutes, audits, and procedures of

22  the board of governors are subject to chapter 119.

23         (c)  The operation of the plan shall be governed by a

24  plan of operation that is prepared at the direction of the

25  board of governors. The plan of operation may be changed at

26  any time by the board of governors or upon request of the

27  department. The plan of operation and all changes thereto are

28  subject to the approval of the department. The plan of

29  operation shall:

30

31

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  1         1.  Authorize the board to engage in the activities

  2  necessary to implement this subsection, including, but not

  3  limited to, borrowing money.

  4         2.  Develop criteria for eligibility for coverage by

  5  the plan, including, but not limited to, documented rejection

  6  by at least two insurers which reasonably assures that

  7  insureds covered under the plan are unable to acquire coverage

  8  in the voluntary market. Any insured may voluntarily elect to

  9  accept coverage from an insurer for a premium equal to or

10  greater than the plan premium if the insurer writing the

11  coverage adheres to the provisions of s. 627.171.

12         3.  Require notice from the agent to the insured at the

13  time of the application for coverage that the application is

14  for coverage with the plan and that coverage may be available

15  through an insurer, group self-insurers' fund, commercial

16  self-insurance fund, or assessable mutual insurer through

17  another agent at a lower cost.

18         4.  Establish programs to encourage insurers to provide

19  coverage to applicants of the plan in the voluntary market and

20  to insureds of the plan, including, but not limited to:

21         a.  Establishing procedures for an insurer to use in

22  notifying the plan of the insurer's desire to provide coverage

23  to applicants to the plan or existing insureds of the plan and

24  in describing the types of risks in which the insurer is

25  interested. The description of the desired risks must be on a

26  form developed by the plan.

27         b.  Developing forms and procedures that provide an

28  insurer with the information necessary to determine whether

29  the insurer wants to write particular applicants to the plan

30  or insureds of the plan.

31

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  1         c.  Developing procedures for notice to the plan and

  2  the applicant to the plan or insured of the plan that an

  3  insurer will insure the applicant or the insured of the plan,

  4  and notice of the cost of the coverage offered; and developing

  5  procedures for the selection of an insuring entity by the

  6  applicant or insured of the plan.

  7         d.  Provide for a market-assistance plan to assist in

  8  the placement of employers. All applications for coverage in

  9  the plan received 45 days before the effective date for

10  coverage shall be processed through the market-assistance

11  plan. A market-assistance plan specifically designed to serve

12  the needs of small good policyholders as defined by the board

13  must be finalized by January 1, 1994.

14         5.  Provide for policy and claims services to the

15  insureds of the plan of the nature and quality provided for

16  insureds in the voluntary market.

17         6.  Provide for the review of applications for coverage

18  with the plan for reasonableness and accuracy, using any

19  available historic information regarding the insured.

20         7.  Provide for procedures for auditing insureds of the

21  plan which are based on reasonable business judgment and are

22  designed to maximize the likelihood that the plan will collect

23  the appropriate premiums.

24         8.  Authorize the plan to terminate the coverage of and

25  refuse future coverage for any insured that submits a

26  fraudulent application to the plan or provides fraudulent or

27  grossly erroneous records to the plan or to any service

28  provider of the plan in conjunction with the activities of the

29  plan.

30         9.  Establish service standards for agents who submit

31  business to the plan.

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  1         10.  Establish criteria and procedures to prohibit any

  2  agent who does not adhere to the established service standards

  3  from placing business with the plan or receiving, directly or

  4  indirectly, any commissions for business placed with the plan.

  5         11.  Provide for the establishment of reasonable safety

  6  programs for all insureds in the plan. At the direction of the

  7  board, the Division of Safety shall provide inspection to

  8  insureds and applicants for coverage in the plan identified as

  9  high-risk insureds by the board or its designee.

10         12.  Authorize the plan to terminate the coverage of

11  and refuse future coverage to any insured who fails to pay

12  premiums or surcharges when due; who, at the time of

13  application, is delinquent in payments of workers'

14  compensation or employer's liability insurance premiums or

15  surcharges owed to an insurer, group self-insurers' fund,

16  commercial self-insurance fund, or assessable mutual insurer

17  licensed to write such coverage in this state; or who refuses

18  to substantially comply with any safety programs recommended

19  by the plan.

20         13.  Authorize the board of governors to provide the

21  services required by the plan through staff employed by the

22  plan, through reasonably compensated service providers who

23  contract with the plan to provide services as specified by the

24  board of governors, or through a combination of employees and

25  service providers.

26         14.  Provide for service standards for service

27  providers, methods of determining adherence to those service

28  standards, incentives and disincentives for service, and

29  procedures for terminating contracts for service providers

30  that fail to adhere to service standards.

31

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  1         15.  Provide procedures for selecting service providers

  2  and standards for qualification as a service provider that

  3  reasonably assure that any service provider selected will

  4  continue to operate as an ongoing concern and is capable of

  5  providing the specified services in the manner required.

  6         16.  Provide for reasonable accounting and

  7  data-reporting practices.

  8         17.  Provide for annual review of costs associated with

  9  the administration and servicing of the policies issued by the

10  plan to determine alternatives by which costs can be reduced.

11         18.  Authorize the acquisition of such excess insurance

12  or reinsurance as is consistent with the purposes of the plan.

13         19.  Provide for an annual report to the department on

14  a date specified by the department and containing such

15  information as the department reasonably requires.

16         20.  Establish multiple rating plans for various

17  classifications of risk which reflect risk of loss, hazard

18  grade, actual losses, size of premium, and compliance with

19  loss control. At least one of such plans must be a

20  preferred-rating plan to accommodate small-premium

21  policyholders with good experience as defined in

22  sub-subparagraph 22.a.

23         21.  Establish agent commission schedules.

24         22.  Establish three subplans as follows:

25         a.  Subplan "A" must include those insureds whose

26  annual premium does not exceed $2,500 and who have neither

27  incurred any lost-time claims nor incurred medical-only claims

28  exceeding 50 percent of their premium for the immediate 2

29  years.

30         b.  Subplan "B" must include insureds that are

31  employers identified by the board of governors as high-risk

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  1  employers due solely to the nature of the operations being

  2  performed by those insureds and for whom no market exists in

  3  the voluntary market, and whose experience modifications are

  4  less than 1.00.

  5         c.  Subplan "C" must include all other insureds within

  6  the plan.

  7         Section 18.  This act shall take effect July 1, 1999.

  8

  9            *****************************************

10                          HOUSE SUMMARY

11
      Reorganizes the Department of Labor and Employment
12    Security as a decentralized agency.  Creates the
      positions of Assistant Secretary for Finance and
13    Administration, Assistant Secretary for Programs, and
      Assistant Secretary for Field Operations.  Establishes
14    requirements and responsibilities for each assistant and
      specifically requires that the individual appointed to
15    the role of Assistant Secretary for Finance and
      Administration have a complete understanding of modern
16    financial management practices.  Establishes the
      following offices with responsibilities under the
17    Assistant Secretary for Finance and Administration:
      Office of Comptroller, Office of Management and Budget,
18    and Office of Administration. Establishes the comptroller
      as the department's chief financial officer with specific
19    financial management requirements and provides specific
      qualifications of the individual appointed.  Establishes
20    five geographically based field offices to be under the
      direction of the Assistant Secretary for Field
21    Operations.  Establishes divisions within the central
      office to be under the direction of the Assistant
22    Secretary for Programs.  Provides that all actions
      required by the act are to be made within existing agency
23    resources.  See bill for details.

24

25

26

27

28

29

30

31

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