Senate Bill 1466c1

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    Florida Senate - 2000                           CS for SB 1466

    By the Committee on Fiscal Policy





    309-1984-00

  1                      A bill to be entitled

  2         An act relating to the state budgetary process;

  3         revising procedures used in submitting and

  4         reviewing requests for state funds; amending s.

  5         216.011,F.S.; revising, deleting, and adding

  6         definitions; creating s. 216.013, F.S.;

  7         requiring agencies to submit long-range program

  8         plans; amending s. 216.015, F.S.; revising

  9         legislative findings; amending s. 216.0152,

10         F.S.; changing the date for publishing a

11         certain report; amending s. 216.0158, F.S.;

12         revising procedures for determination of

13         facility needs; amending s. 216.016, F.S.;

14         requiring additional information in the

15         Governor's recommended budget; amending s.

16         216.023, F.S.; prescribing procedures for

17         submitting agency budget requests to the

18         Legislature; amending s. 216.031, F.S.;

19         revising procedures relating to legislative

20         budget requests; amending s. 216.044, F.S.;

21         revising procedures relating to budget

22         evaluation by the Department of Management

23         Services; amending s. 216.0446, F.S.; revising

24         procedures relating to review of information

25         resources management needs; amending s.

26         216.052, F.S.; providing procedure for

27         submitting community budget requests; amending

28         s. 216.081, F.S.; revising the schedule for

29         submission of data relating to the judicial and

30         legislative branches; amending s. 216.131,

31         F.S.; revising procedures relating to public

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    Florida Senate - 2000                           CS for SB 1466
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  1         hearings; amending s. 216.133, F.S.; revising,

  2         deleting, and adding definitions; amending s.

  3         216.134, F.S.; revising procedures to be used

  4         by estimating conferences; amending s. 216.136,

  5         F.S.; revising duties of the Economic

  6         Estimating Conference; abolishing the

  7         Transportation Estimating Conference; creating

  8         the Self-Insurance Estimating Conference and

  9         the Florida Retirement System Actuarial

10         Assumption Conference; amending s. 216.141,

11         F.S.; revising provisions relating to the

12         planning and budgeting system; amending s.

13         216.151, F.S.; revising duties of the Executive

14         Office of the Governor; amending s. 216.162,

15         F.S.; revising procedures relating to

16         furnishing legislators with copies of the

17         Governor's recommended budget; amending s.

18         216.163, F.S.; revising provisions relating to

19         form and content of the Governor's recommended

20         budget; amending s. 216.177, F.S.; revising

21         provisions relating to appropriation act

22         statements of intent and to required notices of

23         budgetary action; amending s. 216.178, F.S.;

24         requiring additional notice before the vote on

25         an appropriations act; revising duties of the

26         Governor with respect to statements of costs of

27         state debts and obligations; amending s.

28         216.179, F.S.; prohibiting reinstatement by a

29         state agency of vetoed appropriations

30         administratively; amending s. 216.181, F.S.;

31         revising procedures relating to approved

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    Florida Senate - 2000                           CS for SB 1466
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  1         budgets for operations and fixed capital

  2         outlay; revising restrictions on increases on

  3         salary rate; prescribing procedures with

  4         respect to nonoperating budgets; deleting

  5         obsolete provisions; creating s. 216.1825,

  6         F.S.; requiring zero-based budgeting reviews;

  7         providing for use of zero-based budgeting

  8         principles; amending s. 216.183, F.S.; revising

  9         provisions relating to development of charts of

10         accounts; amending s. 216.192, F.S.; revising

11         procedures relating to release of

12         appropriations; amending s. 216.195, F.S.;

13         defining the term "impoundment" for purposes of

14         impoundment of funds; amending s. 216.212,

15         F.S.; revising duties of the Executive Office

16         of the Governor and the Office of the

17         Comptroller with respect to budgets for federal

18         funds; creating s. 216.216, F.S.; prescribing

19         procedures to be used with respect to funds

20         subject to a court settlement negotiated by the

21         state; amending s. 212.221, F.S.; revising

22         procedures to be used in the event of budget

23         deficits; amending s. 216.251, F.S.; revising

24         procedures relating to salary appropriations

25         for certain employees; amending s. 216.262,

26         F.S.; revising provisions relating to increases

27         in authorized positions; defining the term

28         "perquisites" for purposes of limiting the

29         furnishing thereof; amending s. 216.271, F.S.;

30         defining the term "revolving fund"; amending s.

31         216.292, F.S.; revising provisions relating to

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    Florida Senate - 2000                           CS for SB 1466
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  1         limits on and procedures for transfers of

  2         appropriations; amending s. 216.321, F.S.;

  3         conforming terminology to changes made by the

  4         act; amending s. 11.45, F.S.; prescribing

  5         duties of the Auditor General with respect to

  6         direct-support and citizen support

  7         organizations; creating s. 11.90, F.S.;

  8         creating the Legislative Budget Commission;

  9         amending s. 120.65, F.S.; deleting 21-day time

10         limitation on action by the Executive Office of

11         the Governor; amending s. 121.031, F.S.;

12         deleting provisions relating to the Florida

13         Retirement System Actuarial Assumption

14         Conference; amending s. 186.002, F.S.; changing

15         "state agency strategic" plan to "long-range

16         program" plan; amending s. 186.003, F.S.;

17         redefining the term "state agency"; amending s.

18         186.021, F.S.; requiring each state agency to

19         develop a long-range program plan annually;

20         amending s. 186.022, F.S.; requiring submission

21         of information resource strategic plans;

22         amending s. 186.901, F.S.; revising provisions

23         relating to production of population estimates;

24         amending s. 215.18, F.S.; providing authority

25         for the Governor to approve transfers between

26         funds to avoid deficits; amending s. 215.22,

27         F.S.; exempting Tobacco Settlement Trust Funds

28         from service charge to general revenue;

29         amending s. 215.32, F.S.; authorizing the

30         Governor to combine trust funds under certain

31         conditions; amending ss. 240.209, 240.20941,

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  1         240.279, 288.7091, 320.20, 337.023, 339.135,

  2         376.15, 392.69, F.S., to conform terminology

  3         and references to changes made by the act;

  4         transferring, renumbering, and amending s.

  5         216.3491, F.S.; providing for the Florida

  6         Single Audit Act; renumbering s. 216.331, F.S.,

  7         relating to disbursement of state moneys;

  8         renumbering s. 216.3505, F.S., relating to

  9         refinancing of bonds; repealing s. 216.001,

10         F.S., relating to definitions; repealing s.

11         216.0154, F.S., relating to assessment of

12         trends and conditions affecting need for

13         capital facilities; repealing s. 216.0162,

14         F.S., relating to monitoring and evaluation of

15         capital facilities planning and budgeting;

16         repealing s. 216.0166, F.S., relating to

17         submission of performance-based budget

18         requests, programs, and performance measures;

19         repealing s. 216.0172, F.S., relating to the

20         schedule for submission of performance-based

21         program budgets; repealing s. 216.0235, F.S.,

22         relating to furnishing of performance-based

23         legislative program budget requests; repealing

24         s. 216.0315, F.S., relating to budgets of state

25         agencies that have international programs;

26         repealing s. 216.091, F.S., relating to

27         statements by the Comptroller; repealing s.

28         216.111, F.S., relating to financial statements

29         and schedules and other reports; repealing s.

30         216.281, F.S., relating to construction of

31         terms; repealing s. 216.286, F.S., relating to

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    Florida Senate - 2000                           CS for SB 1466
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  1         release of funds under the Florida Employment

  2         Opportunity Act; providing applicability;

  3         providing an effective date.

  4

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

  6

  7         Section 1.  Section 216.011, Florida Statutes, is

  8  amended to read:

  9         216.011  Definitions.--

10         (1)  For the purpose of fiscal affairs of the state,

11  appropriations acts, agency legislative budgets, and approved

12  budgets, each of the following terms has the meaning

13  indicated:

14         (a)  "Annual salary rate" means the monetary

15  compensation authorized salary estimated to be paid or

16  actually paid a position or positions on an annualized basis.

17  The term does not include moneys authorized for benefits

18  associated with the position. In calculating salary rate, a

19  vacant position shall be calculated at the minimum of the pay

20  grade for that position.

21         (b)  "Appropriation" means a legal authorization to

22  make expenditures for specific purposes within the amounts

23  authorized in the appropriations act.

24         (c)  "Appropriations act" means the authorization of

25  the Legislature, based upon agency legislative budgets or

26  based upon legislative findings of the necessity for an

27  authorization when no agency legislative budget is filed, for

28  the expenditure of amounts of money by an agency, the judicial

29  branch, and the legislative branch for stated purposes in the

30  performance of the functions it is authorized by law to

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    Florida Senate - 2000                           CS for SB 1466
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  1  perform. The categories contained in the appropriations act

  2  include, but are not limited to:

  3         1.  Data processing services.

  4         2.  Expense.

  5         3.  Fixed capital outlay.

  6         4.  Food products.

  7         5.  Grants and aids.

  8         6.  Grants and aids to local governments and nonstate

  9  entities-fixed capital outlay.

10         7.  Lump sum.

11         8.  Other personal services.

12         9.  Operating capital outlay.

13         10.  Salaries and benefits.

14         11.  Special categories.

15         (d)  "Authorized position" means a position included in

16  an approved budget.  In counting the number of authorized

17  positions, part-time positions shall be converted to full-time

18  equivalents.

19         (e)  "Service" "Budget entity" means a unit or function

20  at the lowest level to which funds are specifically

21  appropriated in the appropriations act.

22         (f)  "Consultation" means to deliberate and seek advice

23  in an open and forthright manner with the full committee, a

24  subcommittee thereof, the chair, or the staff as deemed

25  appropriate by the chair of the respective appropriations

26  committee.

27         (g)  "Continuing appropriation" means an appropriation

28  automatically renewed without further legislative action,

29  period after period, until altered or revoked by the

30  Legislature.

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    Florida Senate - 2000                           CS for SB 1466
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  1         (h)  "Data processing services" means the category used

  2  to fund electronic data processing services provided by or to

  3  state agencies or the judicial branch, which services include,

  4  but are not limited to, systems design, software development,

  5  or time-sharing by other governmental units or budget

  6  entities.

  7         (i)  "Disbursement" means the payment of an

  8  expenditure.

  9         (j)  "Disincentive" means a sanction as described in s.

10  216.163.

11         (k)  "Established position" means an authorized

12  position which has been classified in accordance with a

13  classification and pay plan as provided by law.

14         (l)  "Expenditure" means the creation or incurring of a

15  legal obligation to disburse money.

16         (m)  "Expense" means the category used to fund the

17  usual, ordinary, and incidental expenditures by an agency or

18  the judicial branch, including, but not limited to, such items

19  as contractual services, commodities, and supplies of a

20  consumable nature, current obligations, and fixed charges, and

21  excluding expenditures classified as operating capital outlay.

22  Payments to other funds or local, state, or federal agencies

23  may be are included in this category budget classification of

24  expenditures.

25         (n)  "Fiscal year of the state" means a period of time

26  beginning July 1 and ending on the following June 30, both

27  dates inclusive.

28         (o)  "Fixed capital outlay" means the category used to

29  fund real property (land, buildings, including appurtenances,

30  fixtures and fixed equipment, structures, etc.), including

31  additions, replacements, major repairs, and renovations to

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    Florida Senate - 2000                           CS for SB 1466
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  1  real property which materially extend its useful life or

  2  materially improve or change its functional use and including

  3  furniture and equipment necessary to furnish and operate a new

  4  or improved facility, when appropriated by the Legislature in

  5  the fixed capital outlay appropriation category.

  6         (p)  "Full-time position" means a position authorized

  7  for the entire normally established work period, daily,

  8  weekly, monthly, or annually.

  9         (q)  "Grants and aids" means the category used to fund

10  contributions to units of governments or nonstate entities

11  nonprofit organizations to be used for one or more specified

12  purposes or, activities, or facilities.  Funds appropriated to

13  units of government and nonprofit entities under this category

14  may be advanced.

15         (r)  "Incentive" means a mechanism, as described in s.

16  216.163, for recognizing the achievement of performance

17  standards or for motivating performance that exceeds

18  performance standards.

19         (s)  "Independent judgment" means an evaluation of

20  actual needs made separately and apart from the agency

21  legislative budget request of any other agency or of the

22  judicial branch, or any assessments by the Governor.  Such

23  evaluation shall not be limited by revenue estimates of the

24  Revenue Estimating Conference.

25         (t)  "Judicial branch" means all officers, employees,

26  and offices of the Supreme Court, district courts of appeal,

27  circuit courts, county courts, and the Judicial Qualifications

28  Commission.

29         (u)  "Legislative branch" means the various officers,

30  committees, and other units of the legislative branch of state

31  government.

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  1         (v)  "Agency Legislative budget request" means a

  2  request to the Legislature, filed pursuant to s. 216.023, or

  3  supplemental detailed requests filed with the Legislature, for

  4  the amounts of money such agency or branch believes will be

  5  needed in the performance of the functions that it is

  6  authorized, or which it is requesting authorization by law, to

  7  perform.

  8         (w)  "Lump-sum appropriation" means the category used

  9  to fund funds appropriated to accomplish a specific activity

10  or project which must be transferred to one or more

11  appropriation categories for expenditure.

12         (x)  "Operating capital outlay" means the category used

13  to fund equipment, fixtures, and other tangible personal

14  property of a nonconsumable and nonexpendable nature, the

15  value or cost of which is $1,000 or more and the normal

16  expected life of which is 1 year or more, and hardback-covered

17  bound books that are circulated to students or the general

18  public, the value or cost of which is $25 or more, and

19  hardback-covered bound books, the value or cost of which is

20  $250 or more.

21         (y)  "Original approved budget" means the approved plan

22  of operation of an agency or of the judicial branch consistent

23  with the General Appropriations Act or special appropriations

24  acts.

25         (z)  "Other personal services" means the category used

26  to fund the compensation for services rendered by a person who

27  is not a regular or full-time employee filling an established

28  position.  This definition includes, but is not limited to,

29  services of temporary employees, student or graduate

30  assistants, persons on fellowships, part-time academic

31  employees, board members, and consultants and other services

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  1  specifically budgeted by each agency, or by the judicial

  2  branch, in this category.

  3         1.  In distinguishing between payments to be made from

  4  salaries and benefits appropriations and

  5  other-personal-services appropriations:,

  6         1.  Those persons filling established positions shall

  7  be paid from salaries and benefits appropriations and those

  8  persons performing services for a state agency or for the

  9  judicial branch, but who are not filling established

10  positions, shall be paid from other-personal-services

11  appropriations.

12         2.  It is further intended that Those persons paid from

13  salaries and benefits appropriations shall be state officers

14  or employees and shall be eligible for membership in a state

15  retirement system and those paid from other-personal-services

16  appropriations shall not be eligible for such membership.

17         (aa)  "Part-time position" means a position authorized

18  for less than the entire normally established work period,

19  daily, weekly, monthly, or annually.

20         (aa)(bb)  "Pay plan" means a document which formally

21  describes the philosophy, methods, procedures, and salary

22  schedule for compensating employees for work performed.

23         (cc)  "Perquisites" means those things, or the use

24  thereof, or services of a kind which confer on the officers or

25  employees receiving same some benefit that is in the nature of

26  additional compensation, or which reduces to some extent the

27  normal personal expenses of the officer or employee receiving

28  the same, and shall include, but not be limited to, such

29  things as quarters, subsistence, utilities, laundry services,

30  medical service, use of state-owned vehicles for other than

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  1  state purposes, servants paid by the state, and other similar

  2  things.

  3         (bb)(dd)  "Position" means the work, consisting of

  4  duties and responsibilities, assigned to be performed by an

  5  officer or employee.

  6         (cc)(ee)  "Position number" means the identification

  7  number assigned to an established position.

  8         (dd)(ff)  "Program component" means an aggregation of

  9  generally related services objectives which, because of their

10  special character, related workload, and interrelated output,

11  can logically be considered an entity for purposes of

12  organization, management, accounting, reporting, and

13  budgeting.

14         (ee)(gg)  "Proviso" means language that qualifies or

15  restricts a specific appropriation and which can be logically

16  and directly related to the specific appropriation.

17         (ff)(hh)  "Reclassification" means changing an

18  established position in one class in a series to the next

19  higher or lower class in the same series or to a class in a

20  different series which is the result of a natural change in

21  the duties and responsibilities of the position.

22         (ii)  "Revolving fund" means a cash fund maintained

23  within or outside of the State Treasury and established from

24  an appropriation, to be used by an agency or the judicial

25  branch in making authorized expenditures.

26         (gg)(jj)  "Salary" means the cash compensation for

27  services rendered for a specific period of time.

28         (hh)(kk)  "Salary schedule" means an official document

29  which contains a complete list of classes and their assigned

30  salary ranges.

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  1         (ii)(ll)  "Special category" means the category used to

  2  fund amounts appropriated for a specific need or

  3  classification of expenditures.

  4         (jj)(mm)  "State agency" or "agency" means any

  5  official, officer, commission, board, authority, council,

  6  committee, or department of the executive branch of state

  7  government.  For purposes of this chapter and chapter 215,

  8  "state agency" or "agency" includes, but is not limited to,

  9  state attorneys, public defenders, the Capital Collateral

10  Regional Counsels Representative, and the Justice

11  Administrative Commission, the Florida Housing Finance

12  Corporation, and the Public Service Commission.

13         (nn)  "State revenue sharing" means statutory or

14  constitutional distributions to local units of government.

15         (kk)(oo)  "Title of position," or "class of positions"

16  means the official name assigned to a position or class of

17  positions.

18         (ll)(pp)  "Grants and Aids to Local Governments and

19  Nonstate Entities-Fixed Nonprofit Organizations-Fixed Capital

20  Outlay" means the that appropriation category used to fund

21  which includes:

22         1.  Grants to local units of governments or nonstate

23  entities and nonprofit organizations for the acquisition of

24  real property (land, buildings, including appurtenances,

25  fixtures and fixed equipment, structures, etc.); additions,

26  replacements, major repairs, and renovations to real property

27  which materially extend its useful life or materially improve

28  or change its functional use; and operating capital outlay

29  necessary to furnish and operate a new or improved facility;

30  and

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  1         2.  Grants to local units of government for their

  2  respective infrastructure and growth management needs related

  3  to local government comprehensive plans.

  4

  5  Funds appropriated to local units of government and nonprofit

  6  organizations under this category may be advanced in part or

  7  in whole.

  8         (mm)(qq)  "Baseline data" means indicators of a state

  9  agency's current performance level, pursuant to guidelines

10  established by the Executive Office of the Governor, in

11  consultation with legislative appropriations and appropriate

12  substantive committees.

13         (nn)(rr)  "Outcome" means an indicator of the actual

14  impact or public benefit of a program.

15         (oo)(ss)  "Output" means the actual service or product

16  delivered by a state agency.

17         (pp)(tt)  "Performance-based program budget" means a

18  budget that incorporates approved programs and performance

19  measures.

20         (qq)(uu)  "Performance measure" means a quantitative or

21  qualitative indicator used to assess state agency performance.

22         (rr)(vv)  "Program" means a set of activities

23  undertaken in accordance with a plan of action organized to

24  realize identifiable goals and objectives based on legislative

25  authorization.

26         (ss)(ww)  "Standard" means the level of performance of

27  an outcome or output.

28         (tt)  "Food products" means the category used to fund

29  food consumed and purchased in state-run facilities that

30  provide housing to individuals.

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  1         (uu)  "Salaries and benefits" means the category used

  2  to fund the monetary or cash-equivalent compensation for work

  3  performed by state employees for a specific period of time.

  4  Benefits shall be as provided by law.

  5         (vv)  "Agency budget instructions" means the annual set

  6  of instructions developed to assist agencies in submitting

  7  budget requests to the Legislature and to generate information

  8  necessary for budgetary decisionmaking. Such instructions may

  9  include program-based performance budget instructions.

10         (xx)  "Performance-based program appropriation" means

11  funds appropriated for a specific set of activities or

12  classification of expenditure within an approved

13  performance-based program.

14         (yy)  "Performance ledger" means the official

15  compilation of information about state agency

16  performance-based programs and measures, including approved

17  programs, approved outputs and outcomes, baseline data,

18  approved standards for each performance measure and any

19  approved adjustments thereto, as well as actual agency

20  performance for each measure.

21         (2)  For purposes of this chapter, the term:

22         (a)  "Approved operating budget" or "approved budget"

23  means the plan of operations consisting of the original

24  approved operating budget and statement of intent.

25         (b)  "Commission" means the Legislative Budget

26  Administration Commission created in s. 11.90 composed of the

27  Governor and Cabinet.

28         (c)  "Emergency situation" means a set of conditions

29  that were unforeseen at the time the General Appropriations

30  Act was adopted and that are essential to correct in order to

31  continue the operation of government, or a set of conditions

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  1  that were not considered in the General Appropriations Act and

  2  that constitute an imminent threat to public health, safety,

  3  or welfare. This definition shall not apply to the emergency

  4  provisions of chapter 252.

  5         (d)  "Impoundment" means the omission of any

  6  appropriation or part of an appropriation in the approved

  7  operating plan prepared pursuant to the provisions of s.

  8  216.181 or in the schedule of releases prepared pursuant to

  9  the provisions of s. 216.192 or the failure of any state

10  agency or the judicial branch to spend an appropriation for

11  the stated purposes authorized in the approved operating

12  budget.

13         Section 2.  Section 216.013, Florida Statutes, is

14  created to read:

15         216.013  Long-range program plan.--

16         (1)  State agencies shall develop long-range program

17  plans to achieve state goals using an interagency planning

18  process that includes the development of integrated agency

19  program service outcomes.  The plan shall cover a period of 5

20  fiscal years and shall become effective July 1 each year.

21  Long-range program plans shall provide the framework for the

22  development of agency budget requests and shall:

23         (a)  Identify agency programs and address how agency

24  programs will be used to implement state policy and achieve

25  state goals and program component objectives;

26         (b)  Identify and describe agency services and how they

27  will be used to achieve designated outcomes;

28         (c)  Identify activities and associated demand, output,

29  and total costs and unit costs for each activity;

30         (d)  Provide information regarding performance

31  measurement, which includes, but is not limited to, how data

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  1  is collected, the methodology used to measure a performance

  2  indicator, the validity and reliability of a measure, the

  3  appropriateness of a measure, and whether the agency inspector

  4  general has assessed the reliability and validity of agency

  5  performance measures, pursuant to s. 20.055(2);

  6         (e)  Identify and justify facility and fixed capital

  7  outlay projects and their associated costs; and

  8         (f)  Identify and justify information technology

  9  infrastructure and applications and their associated costs for

10  information technology projects or initiatives.

11         (2)  All agency programs, services, and activities and

12  their costs shall be carefully evaluated and justified by the

13  agency.  The justification must clearly demonstrate the needs

14  of agency customers and clients and why the agency is

15  proposing programs, services, and activities and their

16  associated costs to address the needs based on state

17  priorities, the agency mission, and legislative authorization.

18  Further, the justification must show how agency programs,

19  services, and activities are integrated and contribute to the

20  overall achievement of state goals.  Facilities, fixed capital

21  outlay and information technology infrastructure, and

22  applications shall be evaluated pursuant to ss. 216.0158,

23  216.043, and 216.0446, respectively.

24         (3)  Long-range program plans shall be submitted to the

25  Executive Office of the Governor by August 1 each year in a

26  form and manner prescribed in written instructions prepared by

27  the Executive Office of the Governor in consultation with

28  legislative appropriations committees.

29         (4)  The Executive Office of the Governor shall review

30  the long-range program plans to ensure that they are

31  consistent with the state's goals and objectives and other

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  1  requirements as specified in the written instructions and that

  2  they provide the framework and context for the agency's budget

  3  request. In its review, the Executive Office of the Governor

  4  shall consider the findings of the Technology Review Workgroup

  5  as to the consistency of the information technology portion of

  6  long-range program plans with the State Annual Report on

  7  Information Resources Management and statewide policies

  8  recommended by the State Technology Council and the state's

  9  plan for facility needs pursuant to s. 216.0158. Based on the

10  results of the review, the Executive Office of the Governor

11  may require an agency to revise the plan.

12         (5)  Agencies shall incorporate all revisions required

13  by the Governor within 14 working days.

14         (6)  Any differences between state agencies regarding

15  the programs, policies, or long-range program plans of such

16  agencies shall be mediated by the Executive Office of the

17  Governor.

18         (7)  Each agency shall transmit copies of its

19  long-range program plan and all written comments on its plan

20  to the President of the Senate and the Speaker of the House of

21  Representatives not later than 60 days prior to the next

22  regular session of the Legislature.

23         (8)  Long-range program plans developed pursuant to

24  this chapter are not rules and therefore are not subject to

25  the provisions of chapter 120.

26         (9)  Agencies shall make appropriate adjustments to

27  their long-range program plans to be consistent with the

28  appropriations and performance measures in the General

29  Appropriations Act. Agencies have until June 15 to make

30  adjustments to their plans and submit the adjusted plans to

31  the Executive Office of the Governor for review.

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  1         Section 3.  Subsections (2) and (4) of section 216.015,

  2  Florida Statutes, are amended to read:

  3         216.015  Capital facilities planning and budgeting

  4  process.--

  5         (2)  The Legislature finds that:

  6         (a)  The condition of the state's infrastructure,

  7  including its roads, water and sewer facilities, state office

  8  buildings, bridges, ports, airports, canals, prisons,

  9  educational facilities, park and recreational facilities, and

10  other capital assets, are in need of repair, expansion, and

11  replacement at a time when the fiscal resources of the state

12  are increasingly being strained by the competing demands for

13  state services and capital improvements.

14         (b)  The high degree of coordination among the various

15  branches of state government, local government, and public

16  benefit corporations which is necessary to maximize the

17  potential public benefits to be derived from the limited

18  financial resources which will be dedicated to public capital

19  improvements within this state in the future is lacking.

20         (c)  There is a need to establish a comprehensive

21  capital facilities planning and budgeting process that which

22  is fully integrated with the state financial planning and debt

23  management activities and that which incorporates the

24  long-range plans of all state agencies and the judicial branch

25  and major public benefit corporations to ensure that projects

26  with the greatest potential for improving the prosperity and

27  well-being of the people of the state receive their proper

28  allocation of limited resources.

29         (d)  There is currently no mechanism in place for

30  managing the debt structure of the state by matching the

31  capital facility needs of the state with the amounts and

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  1  sources of funds which could be made available to meet those

  2  needs.

  3

  4  It is, therefore, the intent of the Legislature in enacting

  5  this legislation that a comprehensive capital facilities

  6  planning and budgeting process be established and maintained

  7  to enable the state to better meet the demands for new and

  8  properly maintained infrastructure in a fiscally responsible

  9  manner.

10         (4)  In order to carry out this act, the Executive

11  Office of the Governor is designated as the agency responsible

12  for the coordination, development, and direction, monitoring,

13  and evaluation of the comprehensive capital facilities

14  planning and budgeting process, including the plans revised

15  pursuant to that process. The Executive Office of the Governor

16  shall publish an annual report of the progress being made by

17  the state toward meeting the state goals and objectives of the

18  plans.

19         Section 4.  Subsection (3) of section 216.0152, Florida

20  Statutes, is amended to read:

21         216.0152  Inventory of state-owned facilities or

22  state-occupied facilities.--

23         (3)  The Department of Management Services shall, every

24  3 years, publish a complete report detailing this inventory

25  and shall publish an annual update of the report.  The

26  department shall furnish the updated report to the Executive

27  Office of the Governor and the Legislature no later than

28  September 15 1 of each year.

29         Section 5.  Subsections (2), (4), and (5) of section

30  216.0158, Florida Statutes, are amended to read:

31         216.0158  Assessment of facility needs.--

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  1         (2)  On or before September 15 1 of each year, each

  2  state agency, as defined in s. 216.011, shall submit to the

  3  Executive Office of the Governor, and each district court of

  4  appeal and the Marshal of the Supreme Court shall submit to

  5  the Chief Justice of the Supreme Court, in a manner prescribed

  6  by the agency legislative budget instructions, a short-term

  7  plan for facility needs covering the next 5-year period.  The

  8  short-term plan shall list the agency's or judicial branch's

  9  facility needs in order of priority and shall include

10  preventive maintenance strategies, expected replacement of

11  existing facilities, expected improvements or additions to

12  facilities on a specific project-by-project basis, estimated

13  cost, and other information as prescribed by the agency

14  legislative budget instructions.  At the same time, when

15  directed in the legislative budget instructions as provided in

16  s. 216.023(3), each agency shall submit to the Executive

17  Office of the Governor, and each district court of appeal and

18  the Marshal of the Supreme Court shall submit to the Chief

19  Justice of the Supreme Court, who shall submit copies to the

20  legislative appropriations committees, in a format prescribed

21  by the instructions, a long-term plan for the 5 years

22  following the period of the short-term plan.  The long-term

23  plan shall outline forecasted agency facility needs.  The

24  Chief Justice shall certify the final approved plan for the

25  judicial branch to the Executive Office of the Governor which

26  shall include the plan, without modification, in the state

27  comprehensive plan.

28         (4)  Each of The first year 2 years of the plan

29  referred to in subsection (2) shall comport with the

30  requirements of s. 216.043.

31

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  1         (5)  Each plan for years 2 3 through 5 shall provide

  2  the following information:

  3         (a)  A full explanation of the basis for each project,

  4  including a description of the function which requires the

  5  facility; an explanation of the inability of existing

  6  facilities to meet such requirements; historical background;

  7  alternatives; and anticipated changes in both initial and

  8  continuing operating costs.

  9         (b)  An application of standards and criteria to

10  establish the scope of each project.

11         (c)  An application of cost factors to all elements of

12  each project to establish an estimate of funding requirements.

13         (d)  A request for a legislative appropriation to

14  provide such funding in the appropriate fiscal year, including

15  the need for advance funding of programming and design

16  activities.

17         Section 6.  Paragraph (a) of subsection (2) of section

18  216.016, Florida Statutes, is amended to read:

19         216.016  Evaluation of plans; determination of

20  financing method.--

21         (2)(a)  The Executive Office of the Governor shall

22  develop a finance plan for meeting the state's infrastructure

23  and fixed capital outlay needs, which shall be incorporated

24  into the Governor's recommended budget submitted to the

25  Legislature pursuant to s. 216.162.

26         Section 7.  Section 216.023, Florida Statutes, is

27  amended to read:

28         216.023  Agency Legislative budget requests to be

29  furnished to Legislature by agencies.--

30         (1)  The head of each state agency shall submit an

31  agency a final legislative budget request to the Legislature

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  1  and to the Governor, as chief budget officer of the state, in

  2  the form and manner prescribed in the budget instructions and

  3  at such time as specified by the Executive Office of the

  4  Governor, based on the agency's independent judgment of its

  5  needs.  However, no state agency shall submit its complete

  6  agency final legislative budget request, including all

  7  supporting forms and schedules required by this chapter, later

  8  than September 15 1 of each year.

  9         (2)  The judicial branch and the Division of

10  Administrative Hearings shall submit their complete agency

11  final legislative budget requests directly to the Legislature

12  with a copy to the Governor, as chief budget officer of the

13  state, in the form and manner as prescribed in the budget

14  instructions.  However, the complete agency final legislative

15  budget requests, including all supporting forms and schedules

16  required by this chapter, shall be submitted no later than

17  September 15 1 of each year.

18         (3)  The Executive Office of the Governor and the

19  appropriations committees of the Legislature shall jointly

20  develop agency legislative budget instructions for preparing

21  the exhibits and schedules that make up the agency budget from

22  which each agency and the judicial branch, pursuant to ss.

23  216.031 and 216.043, shall prepare their legislative budget

24  request.  The budget instructions shall be consistent with s.

25  216.141 and shall be transmitted to each agency and to the

26  judicial branch no later than June 15 of each year.  In the

27  event that agreement cannot be reached between the Executive

28  Office of the Governor and the appropriations committees of

29  the Legislature regarding agency legislative budget

30  instructions, the issue shall be resolved by the Governor, the

31

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  1  President of the Senate, and the Speaker of the House of

  2  Representatives.

  3         (4)  The agency budget request must contain for each

  4  program:

  5         (a)  The constitutional or statutory authority for a

  6  program, a brief purpose statement, and approved program

  7  components.

  8         (b)  Information on expenditures for 3 fiscal years

  9  (actual prior-year expenditures, current-year estimated

10  expenditures, and agency budget requested expenditures for the

11  next fiscal year) by appropriation category.

12         (c)  Details on trust funds and fees.

13         (d)  The total number of positions (authorized, fixed,

14  or requested).

15         (e)  An issue narrative describing and justifying

16  changes in amounts and positions requested for current and

17  proposed programs for the next fiscal year.

18         (f)  Information resource requests.

19         (g)  Legislatively approved output and outcome

20  performance measures and any proposed revisions to measures.

21         (h)  Proposed performance standards for each

22  performance measure and justification for the standards and

23  the sources of data to be used for measurement.

24         (i)  Prior-year performance data on approved

25  performance measures and an explanation of deviation from

26  expected performance. Performance data must be assessed for

27  reliability in accordance with s. 20.055.

28         (j)  Unit costs for approved output measures pursuant

29  to s. 186.022.

30         (k)  Proposed performance incentives and disincentives.

31

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  1         (5)  Agencies must maintain a comprehensive performance

  2  accountability system and provide a list of performance

  3  measures maintained by the agency which are in addition to the

  4  measures approved by the Legislature.

  5         (6)  Annually, no later than 45 days after the General

  6  Appropriations Act becomes law, state agencies shall submit to

  7  the Executive Office of the Governor adjustments to their

  8  performance standards based on the amounts appropriated for

  9  each program by the Legislature. When such an adjustment is

10  made, all performance standards, including any adjustments

11  made, shall be reviewed and revised as necessary by the

12  Executive Office of the Governor and, upon approval, submitted

13  to the Legislature pursuant to the review and approval process

14  provided in s. 216.177. The Senate Committee on Fiscal Policy

15  and the House of Representatives Fiscal Responsibility Council

16  shall advise Senate substantive committees and House of

17  Representatives substantive committees, respectively, of all

18  adjustments made to performance standards or measures. The

19  Executive Office of the Governor shall maintain both the

20  official record of adjustments to the performance standards as

21  part of the agency's approved operating budget and the

22  official performance ledger. As used in this section,

23  "performance ledger" means the official compilation of

24  information about state agency performance-based programs and

25  measures, including approved programs, approved outputs and

26  outcomes, baseline data, approved standards for each

27  performance measure and any approved adjustments thereto, as

28  well as actual agency performance for each measure.

29         (4)  Each agency and the judicial branch shall submit

30  for review a preliminary legislative budget request to the

31  Executive Office of the Governor, in the form and manner

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  1  prescribed in ss. 216.031 and 216.043, in accordance with the

  2  legislative budget instructions, and at such time as may be

  3  prescribed by the Executive Office of the Governor.

  4         (7)(5)  The Executive Office of the Governor shall

  5  review the agency preliminary legislative budget request for

  6  technical compliance with the budget format provided for in

  7  the budget instructions. The Executive Office of the Governor

  8  shall notify the agency or the judicial branch of any

  9  adjustment required.  The agency or judicial branch shall make

10  the appropriate corrections as requested in preparing its

11  final legislative budget request.  If the appropriate

12  technical corrections are not made as requested in the final

13  legislative budget requests, the Executive Office of the

14  Governor shall may adjust the budget request to incorporate

15  the appropriate technical corrections in the format of the

16  request.

17         (8)(6)  At any time after the Governor and the Chief

18  Justice submit their recommended agency budgets to the

19  Legislature, the head of the agency or judicial branch may

20  amend his or her request by transmitting to the Governor and

21  the Legislature an amended request in the form and manner

22  prescribed in the legislative budget instructions.

23         (9)  The budget request from each agency and from the

24  judicial branch shall be reviewed by the Legislature. The

25  review may allow for the opportunity to have information or

26  testimony by the agency, the judicial branch, the Auditor

27  General, the Office of Program Policy Analysis and Government

28  Accountability, the Governor's Office of Planning and

29  Budgeting, and the public regarding the proper level of

30  funding for the agency in order to carry out its mission.

31

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  1         (10)  In order to ensure an integrated state planning

  2  and budgeting process, the agency long-range plan should be

  3  reviewed by the Legislature.

  4         (7)(a)  The provisions of subsections (1) and (2) to

  5  the contrary notwithstanding, each agency subject to the

  6  provisions of this section shall submit its legislative budget

  7  request no later than September 1 of the year in which the

  8  agency is required to submit its point-by-point response

  9  pursuant to s. 216.0165(1)(d).

10         (b)  Each agency and branch subject to the provisions

11  of this section and s. 216.0165 shall provide as part of its

12  budget request a point-by-point response to all funding

13  recommendations prepared and submitted by the Director of the

14  Office of Program Policy Analysis and Government

15  Accountability pursuant to s. 11.513.  If the recommendations

16  of the director contain recommendations that specifically

17  apply to an agency or branch other than the agency or branch

18  that is the subject of the evaluation and review, the agency

19  that is not the subject of the evaluation and review shall

20  provide as part of its budget request a point-by-point

21  response to any funding recommendations which apply to such

22  agency or branch.  The point-by-point response to the

23  director's recommended funding levels shall be displayed

24  numerically as major issues in the agency's legislative budget

25  request.  Each point-by-point response to the director's

26  funding recommendations shall be specifically cross-referenced

27  to the agency's responses to the director's recommendations

28  required in s. 216.0165(1)(d).

29         (c)  The budget instructions required pursuant to

30  subsection (3) shall include requirements that agency or

31  judicial branch responses, major issue summaries contained in

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  1  the Governor's recommended budget, and the Letter of Intent

  2  issued with the General Appropriations Act set the

  3  point-by-point responses apart as major issues in the

  4  following manner:

  5         1.  The director's recommendations for reduced funding

  6  shall be separately identified as the director's

  7  recommendations and treated as nonrecurring expenditures.

  8         2.  Agency requests to restore the director's

  9  recommendations for reduced funding shall be separately

10  identified as agency requests to restore the director's

11  recommendations and treated as improved programs.

12         3.  The director's recommendations for increased

13  funding shall be separately identified as the director's

14  recommendations and treated as major issues for continuation

15  of current programs.

16         4.  All other agency requests that would provide

17  funding levels above the director's recommendations shall be

18  separately identified as agency requests for funding above the

19  director's recommendations and treated as new or improved

20  programs.

21         (d)  By March 1 of the year following the submittal of

22  an agency's budget request in accordance with the operation of

23  this subsection and the evaluation and review of the agency

24  pursuant to ss. 11.513 and 216.0165, the appropriate

25  substantive committees of the Senate and the House of

26  Representatives shall review the report of the consultant and

27  the recommendations of the director submitted pursuant to s.

28  11.513 and the responses to the director's recommendations by

29  the agencies that are the subject of the report and

30  recommendations, and shall make recommendations for

31  continuation, modification, or repeal of any of the agencies'

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  1  programs that are affected by the consultant's report or the

  2  recommendations of the director.  In developing their

  3  recommendations, such committees also shall consider the

  4  recommendations and responses made in the agencies'

  5  legislative budget requests as required by this subsection and

  6  in the Governor's recommended budget.

  7         Section 8.  Section 216.031, Florida Statutes, is

  8  amended to read:

  9         216.031  Target budget request Budgets for operational

10  expenditures.--A legislative budget request, reflecting the

11  independent judgment of the head of the state agency, and of

12  the Chief Justice of the Supreme Court, with respect to the

13  needs of the agency and the judicial branch for operational

14  expenditures during the next fiscal year, shall be submitted

15  by each head of a state agency and by the Chief Justice of the

16  Supreme Court and shall contain the following:

17         (1)  For each budget entity, a summary exhibit showing,

18  for each appropriation category, for each fund, 1 prior year's

19  appropriations for general revenue, 1 prior year's actual

20  expenditures and 1 current year's estimated expenditures, and

21  the requested expenditures for the next fiscal year.  The

22  total number of positions for the budget entity shall be shown

23  for each fiscal year of data for which positions are

24  authorized, fixed, or requested.  However, the agency budget

25  request for the State University System shall be expressed in

26  terms of the amounts for the various programs as prescribed in

27  s. 240.271 and in terms of the specified appropriation

28  categories, including the special units' budgets, prescribed

29  in the prior appropriations act.

30         (2)  For each program component within the budget

31  entity, an exhibit showing, for each appropriation category,

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  1  the summary explanation of expenditures for each detail issue

  2  describing the amounts and positions for the next fiscal year

  3  for continuation of current programs, for improved programs,

  4  and for new programs, with a summary showing totals by fund

  5  for the next fiscal year.

  6         (3)  For each trust fund within the budget entity, a

  7  schedule showing the trust funds available, providing the

  8  source of receipts, detail of nonoperating disbursements,

  9  operating expenditures, fixed capital outlay, and unencumbered

10  cash balances, for 1 prior year's actual, the current year's

11  estimated, and the request for the next fiscal year.  In

12  addition, for each trust fund established in connection with

13  legislative action authorizing the collection of a fee or

14  other charge to support a governmental service or activity

15  being performed by the agency involved, there shall be

16  submitted a schedule showing the full cost of such service or

17  activity, the total fees or charges collected to fund such

18  costs, and the amount of excess collections or any deficit.

19  The sources and amounts of any funds used to cover a deficit

20  shall also be shown.  The service or activity being performed

21  shall be reviewed by the appropriations committees in the

22  Senate and House of Representatives for the express purpose of

23  making adjustments in fees or other charges in order to make

24  such activities as nearly self-supporting as possible.

25         (4)  For each budget entity, a schedule showing detail

26  of positions, providing for each class of positions within

27  discrete organizational activities, by the collective

28  bargaining unit and program component for the next fiscal

29  year, the number of full-time equivalent positions, the

30  estimated rate of salary, the amounts requested for new

31  positions, and the number of new positions requested.

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  1         (5)  Detailed information for the next fiscal year

  2  necessary for the Legislature and the Governor to evaluate:

  3         (a)  The effectiveness of current programs, including

  4  justification for those programs.

  5         (b)  The justification for increasing costs to continue

  6  the operations of current programs.

  7         (c)  The justification for proposed improvements in

  8  existing programs.

  9         (d)  The justification for proposed new programs.

10         (e)  The projected cost of the requested program for

11  the following fiscal year.

12         (f)  The needs of the agency or of the judicial branch

13  for operational expenditures, by order of priority.

14         (6)  Additional information providing a detailed

15  description of the request of the agency and the corresponding

16  calculations needed to support the request.

17         (7)  Workload and other performance indicators, as

18  prescribed by the legislative budget instructions.

19         (8)  An information resources management schedule

20  showing the agency's or judicial branch's total budget request

21  for information resources management.  The schedule shall be

22  in the format provided for in the legislative budget

23  instructions.  The budget request for information resources

24  management shall identify, if applicable, which parts of the

25  request are in response to any information resources

26  management issues included in the legislative budget

27  instructions. This subsection is applicable only to those

28  state agencies which are under the purview of ss.

29  282.303-282.313 and to the judicial branch.

30         (9)  A report separately listing the sources of

31  receipts into each trust fund and the amounts of such

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  1  receipts. In addition, the report shall identify the

  2  administrative and program costs expended from the trust fund,

  3  including salaries, other personal services, operating capital

  4  outlay, fixed capital outlay, other expenses, contractual

  5  services, and transfers to other trust funds.

  6         (10)  For those agencies or the judicial branch

  7  operating programs under a performance-based program budget,

  8  an evaluation of the agency's progress in meeting the

  9  performance standards for programs approved pursuant to s.

10  216.0166. Such evaluation shall be developed as prescribed by

11  the budget instructions, and shall include any responses by

12  the agency or the Chief Justice to the findings of the Office

13  of Program Policy Analysis and Government Accountability

14  pursuant to s. 11.513.

15         (11)  For performance-based program budgets, the

16  baseline data, outcome measures, output measures, and

17  standards for program measures, including justification for

18  those programs in the format required by the legislative

19  budget instructions.

20         (12)  A prioritized listing of planned expenditures for

21  review and possible reduction in the event of revenue

22  shortfalls, as provided for in s. 216.221. Such list shall be

23  in the format provided in the planning and budgeting

24  instructions.

25

26  Either chair of a legislative appropriations committee, or the

27  Executive Office of the Governor for state agencies, may

28  require the agency or the Chief Justice to address major

29  issues separate from those outlined in s. 216.023, this

30  section, and s. 216.043 for inclusion in the requests of the

31  agency or of the judicial branch.  The issues shall be

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  1  submitted to the agency no later than July 30 of each year and

  2  shall be displayed in its requests as provided in the budget

  3  instructions.  The Executive Office of the Governor may

  4  request an agency, or the chair of the appropriations

  5  committees of the Senate or House of Representatives may

  6  request any agency or the judicial branch, to submit no later

  7  than September 30 15 of each year a budget plan with respect

  8  to targets established by the Governor or either chair. The

  9  target budget shall require each entity to establish an order

10  of priorities for its budget issues and may include requests

11  for multiple options for the budget issues.  The target budget

12  may also require each entity to submit a program budget or a

13  performance-based budget in the format prescribed by the

14  Executive Office of the Governor or either chair; provided,

15  however, the target budget format shall be compatible with the

16  planning and budgeting system requirements set out in s.

17  216.141.  Such a request shall not influence the agencies' or

18  judicial branch's independent judgment in making agency

19  legislative budget requests, as required by law.

20         Section 9.  Section 216.044, Florida Statutes, is

21  amended to read:

22         216.044  Budget evaluation by Department of Management

23  Services.--

24         (1)  Any state agency or judicial branch entity

25  requesting a fixed capital outlay project to be managed by the

26  Department of Management Services shall consult with that

27  department during the budget-development process. The

28  Department of Management Services shall provide

29  recommendations regarding construction requirements, cost of

30  the project, and project alternatives to be incorporated in

31

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  1  the agency's or entity's proposed fixed capital outlay budget

  2  request and narrative justification.

  3         (2)(1)  Concurrently with the submission of the fixed

  4  capital outlay agency legislative budget request to the

  5  Executive Office of the Governor or to the Chief Justice of

  6  the Supreme Court, the agency or judicial branch shall submit

  7  a copy of the agency legislative budget request to the

  8  Department of Management Services for evaluation.

  9         (3)(2)  The Department of Management Services shall

10  advise the Executive Office of the Governor, the Chief

11  Justice, and the Legislature regarding alternatives to the

12  proposed fixed capital outlay project and make recommendations

13  relating to the construction requirements and cost of the

14  project.  These recommendations shall be provided to the

15  Legislature and Executive Office of the Governor at a time

16  specified by the Governor, but not less than 90 days prior to

17  the regular session of the Legislature. When evaluating

18  alternatives, the Department of Management Services shall

19  include information as to whether it would be more

20  cost-efficient to lease private property or facilities, to

21  construct facilities on property presently owned by the state,

22  or to acquire property on which to construct the facilities.

23  In determining the cost to the state of constructing

24  facilities on property presently owned by the state or the

25  cost of acquiring property on which to construct facilities,

26  the Department of Management Services shall include the costs

27  which would be incurred by a private person in acquiring the

28  property and constructing the facilities, including, but not

29  limited to, taxes and return on investment.

30         (3)  The Department of Management Services shall

31  provide assistance to any state agency, the judicial branch,

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  1  and the Executive Office of the Governor in fulfilling the

  2  requirements of s. 216.0442 as developed pursuant to ss.

  3  216.031 and 216.043.

  4         Section 10.  Section 216.0446, Florida Statutes, is

  5  amended to read:

  6         216.0446  Review of information resources management

  7  needs.--

  8         (1)  The Legislative Budget Commission shall Executive

  9  Office of the Governor may contract with the Legislature to

10  provide a mechanism for review of and recommendations with

11  respect to the portion of agencies' strategic plans which

12  pertains to information resources management needs and with

13  respect to agencies' legislative budget requests for

14  information resources management.  This mechanism shall be

15  referred to as the Technology Review Workgroup, which shall be

16  headed by a senior-level manager.

17         (2)  In addition to its primary duty specified in

18  subsection (1), the Technology Review Workgroup shall have

19  powers and duties that include, but are not limited to, the

20  following:

21         (a)  To evaluate the information resource management

22  needs identified in the agency strategic plans for consistency

23  with the State Annual Report on Information Resources

24  Management and statewide policies recommended by the State

25  Technology Council, and make recommendations to the Executive

26  Office of the Governor, pursuant to s. 186.022(3).

27         (b)  To review and make recommendations to the

28  Executive Office of the Governor and the chairs of the

29  legislative fiscal committees on proposed budget amendments

30  and agency transfers associated with notices of proposed

31  action for budget items with respect to information resources

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  1  management initiatives or projects that involve more than one

  2  agency, that have an outcome that impacts another agency, or

  3  that exceed $500,000 in total cost over a 1-year period.

  4         (c)  To make recommendations to the Executive Office of

  5  the Governor on guidelines and best practices for information

  6  resources management based on information received from the

  7  State Technology Council.

  8         Section 11.  Section 216.052, Florida Statutes, is

  9  amended to read:

10         216.052  Community Legislative budget requests;

11  appropriations; grants.--

12         (1)  The budget request from each agency and from the

13  judicial branch shall be reviewed by the Legislature.  The

14  review may allow for the opportunity to have information or

15  testimony by the agency, the judicial branch, the Auditor

16  General's Office, the Governor's Office of Planning and

17  Budgeting, and the public regarding the proper level of

18  funding for the agency in order to carry out its mission.

19         (2)  In order to ensure an integrated state planning

20  and budgeting process, the strategic plan should be reviewed

21  by the Legislature.

22         (1)(3)  Members of the Legislature may submit requests

23  to appropriate state funds to a state, local, county, or

24  regional governmental entity government, private organization,

25  or nonprofit organization requesting a state appropriation for

26  a program, service, or capital outlay initiative that is local

27  or regional in scope, is intended to meet a documented need,

28  addresses a statewide interest, is intended to produce

29  measureable results, and has tangible community support. has

30  not been formally recommended under procedures established by

31  law or that has been formally recommended under such

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  1  procedures but has not been recommended by an agency or by the

  2  judicial branch, or that promotes only a local or regional

  3  interest, may be allowed the opportunity to provide

  4  information or testimony to the appropriate subcommittee of

  5  each appropriations committee.  Each such request must include

  6  a fiscal note that shows the estimated cost of operations and

  7  capital outlay for the project.  The fiscal note shall

  8  indicate the percentage of the projected costs of operations

  9  and capital outlay that is to be provided through state funds.

10         (2)(4)  Each appropriation to a local government, a

11  private organization, or a nonprofit organization made

12  pursuant to a community budget request for a program, service,

13  or capital outlay initiative that promotes a solely local or

14  regional interest shall require that the community's support

15  be tangibly demonstrated by evidence that the program or

16  service will expects to operate in a financially sound manner.

17  Any other appropriation to a local government, a private

18  organization, or a nonprofit organization made pursuant to

19  this section a request as provided in subsection (3) should

20  generally require local matching funds. The match must be

21  based on the size and scope of the project and the applicant's

22  ability to provide the match.  In addition, the granting of

23  state funds shall be used to encourage the establishment of

24  community-based partnerships between the public sector and the

25  private sector.

26         (3)  Each community budget request submitted pursuant

27  to this section must receive a hearing before a body of duly

28  elected public officials before being submitted to the Senate

29  or the House of Representatives for consideration.

30         (4)  Community budget requests shall be submitted in

31  the form and manner prescribed jointly by the President of the

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  1  Senate and the Speaker of the House of Representatives. If the

  2  President of the Senate and the Speaker of the House of

  3  Representatives do not agree on a form and manner of

  4  submission to be used by both houses, each may prescribe a

  5  form and manner of submission to be used in his or her house.

  6         (5)  Community budget requests shall be submitted to

  7  the Governor and either to the Chairman of the Senate Budget

  8  Committee or to the Chairman of the House Fiscal

  9  Responsibility Council in accordance with the schedule

10  established jointly by the President of the Senate and the

11  Speaker of the House of Representatives. If the President of

12  the Senate and the Speaker of the House of Representatives do

13  not agree on a schedule to be used by both houses, each may

14  prescribe a schedule to be used in his or her house.

15         (6)  The Governor shall address each community budget

16  request submitted pursuant to this section in his budget

17  recommendations to the Legislature. In addressing each

18  request, the Governor shall provide such documentation as is

19  necessary to determine:

20         (a)  The amount of funding being recommended for the

21  request;

22         (b)  The budget entity and program component in which

23  funding for the request appears; and

24         (c)  When no funding is being recommended, the

25  justification for failing to fund the request and the manner

26  in which the Governor intends to address the need to which the

27  request was directed.

28         (7)(5)  The retention of interest earned on state funds

29  or the amount of interest income earned shall be applied

30  against the state entity's obligation to pay the appropriated

31  contracted amount.

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  1         (8)(6)  Whenever possible, a loan must be made in lieu

  2  of a grant to a local government, a private organization, or a

  3  nonprofit organization.  It is the intent of the Legislature

  4  that a revolving loan program shall be established so that the

  5  loan amount plus interest is paid back by the recipient to the

  6  state.

  7         (9)(7)  Any private or nonprofit organization that is

  8  to receive funds through a community budget request requesting

  9  funding shall, at the time of application for such funds,

10  provide information regarding its organization, including a

11  copy of its current budget, and a list of its board of

12  directors, and a copy of its most recent annual audit report

13  prepared by an independent certified public accountant

14  licensed in this state, including management letters or other

15  documents associated with the audit report.

16         (8)  In addition to any other provision of law granting

17  access to records and accounts, the Auditor General may,

18  pursuant to his or her own authority hereby granted in this

19  subsection or at the direction of the Legislative Auditing

20  Committee, conduct audits of any direct-support organization

21  or citizen support organization authorized by law.

22  Independent audits of direct-support organizations and citizen

23  support organizations conducted by certified public

24  accountants shall be performed in accordance with rules

25  promulgated by the Auditor General.

26         Section 12.  Subsection (1) of section 216.081, Florida

27  Statutes, is amended to read:

28         216.081  Data on legislative and judicial branch

29  expenses.--

30         (1)  On or before September 1 in each year, In

31  sufficient time to be included in the Governor's recommended

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  1  budget, estimates of the financial needs of the legislative

  2  branch and the judicial branch during the ensuing fiscal year

  3  shall be furnished to the Governor pursuant to chapter 11.

  4         Section 13.  Section 216.131, Florida Statutes, is

  5  amended to read:

  6         216.131  Public hearings on agency legislative

  7  budgets.--The Governor and the Chief Justice of the Supreme

  8  Court shall each provide for at least one public hearing prior

  9  to submission of budget recommendations to the Legislature on

10  issues contained in agency legislative budget requests or in

11  the judicial branch budget request and issues that which may

12  be included in budget recommendations to the Legislature,

13  which hearing shall be held at such time as the Governor or

14  the Chief Justice may fix. The Governor may require the

15  attendance or participation, or both, at his or her hearings

16  of the heads or responsible representatives of all state

17  agencies supported by any form of taxation or licenses, fees,

18  imposts, or exactions. The Governor and the Chief Justice may

19  provide these hearings simultaneously via electronic format,

20  such as teleconference, Internet, etc., provided that a means

21  for active participation and questions by the audience is

22  accommodated.

23         Section 14.  Section 216.133, Florida Statutes, is

24  amended to read:

25         216.133  Definitions; ss. 216.133-216.137.--As used in

26  ss. 216.133-216.137:

27         (1)  "Consensus estimating conference" includes the

28  Economic Estimating Conference, the Demographic Estimating

29  Conference, the Revenue Estimating Conference, the Education

30  Estimating Conference, the Criminal Justice Estimating

31  Conference, the Juvenile Justice Estimating Conference, and

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  1  the Social Services Estimating Conference, and the

  2  Transportation Estimating Conference.

  3         (2)  "Official information" means the data, forecasts,

  4  estimates, analyses, studies, and other information which the

  5  principals of a consensus estimating conference unanimously

  6  adopt for purposes of the state planning and budgeting system.

  7         (3)  "Consensus" means the unanimous consent of all of

  8  the principals of a consensus estimating conference.

  9         (3)  "State planning and budgeting system" refers to

10  the processes and functions prescribed in chapter 186 and this

11  chapter and ss. 215.32, 215.93, 215.94, and 944.096.

12         Section 15.  Section 216.134, Florida Statutes, is

13  amended to read:

14         216.134  Consensus estimating conferences; general

15  provisions.--

16         (1)  Each consensus estimating conference shall develop

17  such official information within its area of responsibility as

18  the conference determines, by consensus, is needed for

19  purposes of the state planning and budgeting system.  Unless

20  otherwise provided by law or decided by unanimous agreement of

21  the principals of the conference, all official information

22  developed by the conference shall be based on the assumption

23  that current law and current administrative practices will

24  remain in effect throughout the period for which the official

25  information is to be used.  The official information developed

26  by each consensus estimating conference shall include

27  forecasts for a period of at least 10 years, unless the

28  principals of the conference unanimously agree otherwise.

29         (2)  Whenever an estimating conference is convened, an

30  official estimate does not exist until a new consensus is

31  reached.

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  1         (3)(2)  The official information developed by the

  2  Economic Estimating Conference and the official information

  3  developed by the Demographic Estimating Conference shall be

  4  used by all other consensus estimating conferences in

  5  developing their official information.

  6         (4)(3)  The membership of each consensus estimating

  7  conference consists of principals and participants.

  8         (a)  A person designated by law as a principal may

  9  preside over conference sessions, convene conference sessions,

10  request information, specify topics to be included on the

11  conference agenda, agree or withhold agreement on whether

12  information is to be official information of the conference,

13  release official information of the conference, interpret

14  official information of the conference, and monitor errors in

15  official information of the conference.

16         (b)  A participant is any person who is invited to

17  participate in the consensus estimating conference by a

18  principal. A participant shall, at the request of any

19  principal before or during any session of the conference,

20  develop alternative forecasts, collect and supply data,

21  perform analyses, or provide other information needed by the

22  conference. The conference shall consider information provided

23  by participants in developing its official information.

24         (5)(4)  All sessions and meetings of a consensus

25  estimating conference shall be open to the public as provided

26  in chapter 286.

27         Section 16.  Section 216.136, Florida Statutes, is

28  amended to read:

29         216.136  Consensus estimating conferences; duties and

30  principals.--

31         (1)  ECONOMIC ESTIMATING CONFERENCE.--

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  1         (a)  Duties.--

  2         1.  The Economic Estimating Conference shall develop

  3  such official information with respect to the national and

  4  state economies as the conference determines is needed for the

  5  state planning and budgeting system. The basic, long-term

  6  forecasts which are a part of its official information shall

  7  be trend forecasts. However, the conference may include cycle

  8  forecasts as a part of its official information if the subject

  9  matter of the forecast warrants a cycle forecast and if such

10  forecast is developed in a special impact session of the

11  conference.

12         2.  Prior to the submission of the Governor's budget

13  recommendations to the Legislature pursuant to s. 216.162, and

14  again prior to each Regular Session of the Legislature, the

15  Economic Estimating Conference shall evaluate and project the

16  financial condition of the employee group health

17  self-insurance plan.  This analysis shall also consider any

18  financial impact of the state's use of health maintenance

19  organizations on the funding of the self-insurance plan.  The

20  conference shall indicate whether the current plan premium

21  rates are sufficient to fund projected plan claims and other

22  expenses during the fiscal year.

23         (b)  Principals.--The Executive Office of the Governor,

24  the coordinator of the Office of Economic and Demographic

25  Research, and professional staff of the Senate and House of

26  Representatives who have forecasting expertise, or their

27  designees, are the principals of the Economic Estimating

28  Conference.  The responsibility of presiding over sessions of

29  the conference shall be rotated among the principals.

30         (2)  DEMOGRAPHIC ESTIMATING CONFERENCE.--

31

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  1         (a)  Duties.--The Demographic Estimating Conference

  2  shall develop such official information with respect to the

  3  population of the nation and state by age, race, and sex as

  4  the conference determines is needed for the state planning and

  5  budgeting system.  The conference shall use the official

  6  population estimates provided under s. 186.901 in developing

  7  its official information.

  8         (b)  Principals.--The Executive Office of the Governor,

  9  the coordinator of the Office of Economic and Demographic

10  Research, and professional staff of the Senate and House of

11  Representatives who have forecasting expertise, or their

12  designees, are the principals of the Demographic Estimating

13  Conference.  The responsibility of presiding over sessions of

14  the conference shall be rotated among the principals.

15         (3)  REVENUE ESTIMATING CONFERENCE.--

16         (a)  Duties.--The Revenue Estimating Conference shall

17  develop such official information with respect to anticipated

18  state and local government revenues as the conference

19  determines is needed for the state planning and budgeting

20  system.  Any principal may request the conference to review

21  and estimate revenues for any trust fund.

22         (b)  Principals.--The Executive Office of the Governor,

23  the coordinator of the Office of Economic and Demographic

24  Research, and professional staff of the Senate and House of

25  Representatives who have forecasting expertise, or their

26  designees, are the principals of the Revenue Estimating

27  Conference.  The responsibility of presiding over sessions of

28  the conference shall be rotated among the principals.

29         (4)  EDUCATION ESTIMATING CONFERENCE.--

30         (a)  Duties.--The Education Estimating Conference shall

31  develop such official information relating to the state public

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  1  educational system, including forecasts of student

  2  enrollments, the number of students qualified for state

  3  financial aid programs and the appropriation required to fund

  4  the full award amounts for each program, fixed capital outlay

  5  needs, and Florida Education Finance Program formula needs, as

  6  the conference determines is needed for the state planning and

  7  budgeting system.  The conference's initial projections of

  8  enrollments in public schools shall be forwarded by the

  9  conference to each school district no later than 2 months

10  prior to the start of the regular session of the Legislature.

11  Each school district may, in writing, request adjustments to

12  the initial projections.  Any adjustment request shall be

13  submitted to the conference no later than 1 month prior to the

14  start of the regular session of the Legislature and shall be

15  considered by the principals of the conference.  A school

16  district may amend its adjustment request, in writing, during

17  the first 3 weeks of the legislative session, and such amended

18  adjustment request shall be considered by the principals of

19  the conference.  For any adjustment so requested, the district

20  shall indicate and explain, using definitions adopted by the

21  conference, the components of anticipated enrollment changes

22  that correspond to continuation of current programs with

23  workload changes; program improvement; program reduction or

24  elimination; initiation of new programs; and any other

25  information that may be needed by the Legislature.  For public

26  schools, the conference shall submit its full-time equivalent

27  student consensus estimate to the Legislature no later than 1

28  month after the start of the regular session of the

29  Legislature. No conference estimate may be changed without the

30  agreement of the full conference.

31

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  1         (b)  Adjustments.--No later than 2 months prior to the

  2  start of the regular session of the Legislature, the

  3  conference shall forward to each eligible postsecondary

  4  education institution its initial projections of the number of

  5  students qualified for state financial aid programs and the

  6  appropriation required to fund those students at the full

  7  award amount. Each postsecondary education institution may

  8  request, in writing, adjustments to the initial projection.

  9  Any adjustment request must be submitted to the conference no

10  later than 1 month prior to the start of the regular session

11  of the Legislature and shall be considered by the principals

12  of the conference. For any adjustment so requested, the

13  postsecondary education institution shall indicate and

14  explain, using definitions adopted by the conference, the

15  components of anticipated changes that correspond to

16  continuation of current programs with enrollment changes,

17  program reduction or elimination, initiation of new programs,

18  award amount increases or decreases, and any other information

19  that is considered by the conference. The conference shall

20  submit its consensus estimate to the Legislature no later than

21  1 month after the start of the regular session of the

22  Legislature. No conference estimate may be changed without the

23  agreement of the full conference.

24         (c)  Principals.--The Associate Deputy Commissioner for

25  Educational Management, the Executive Office of the Governor,

26  the coordinator of the Office of Economic and Demographic

27  Research, and professional staff of the Senate and House of

28  Representatives who have forecasting expertise, or their

29  designees, are the principals of the Education Estimating

30  Conference. The Associate Deputy Commissioner for Educational

31

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  1  Management or his or her designee shall preside over sessions

  2  of the conference.

  3         (5)  CRIMINAL JUSTICE ESTIMATING CONFERENCE.--

  4         (a)  Duties.--The Criminal Justice Estimating

  5  Conference shall develop such official information relating to

  6  the criminal justice system, including forecasts of prison

  7  admissions by offense categories specified in Rule 3.701,

  8  Florida Rules of Criminal Procedure, as the conference

  9  determines is needed for the state planning and budgeting

10  system.

11         (b)  Principals.--The Executive Office of the Governor,

12  the coordinator of the Office of Economic and Demographic

13  Research, and professional staff, who have forecasting

14  expertise, from the Senate, the House of Representatives, and

15  the Supreme Court, or their designees, are the principals of

16  the Criminal Justice Estimating Conference.  The principal

17  representing the Executive Office of the Governor shall

18  preside over sessions of the conference.

19         (6)  SOCIAL SERVICES ESTIMATING CONFERENCE.--

20         (a)  Duties.--

21         1.  The Social Services Estimating Conference shall

22  develop such official information relating to the social

23  services system of the state, including forecasts of social

24  services caseloads, as the conference determines is needed for

25  the state planning and budgeting system.  Such official

26  information shall include, but not be limited to, subsidized

27  child care caseloads mandated by the Family Support Act of

28  1988.

29         2.  In addition, the Social Services Estimating

30  Conference shall develop estimates and forecasts of the

31  unduplicated count of children eligible for subsidized child

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  1  care as defined in s. 402.3015(1).  These estimates and

  2  forecasts shall not include children enrolled in the

  3  prekindergarten early intervention program established in s.

  4  230.2305.

  5         3.  The Department of Children and Family Services and

  6  the Department of Education shall provide information on

  7  caseloads and waiting lists for the subsidized child care and

  8  prekindergarten early intervention programs requested by the

  9  Social Services Estimating Conference or individual conference

10  principals, in a timely manner.

11         (b)  Principals.--The Executive Office of the Governor,

12  the coordinator of the Office of Economic and Demographic

13  Research, and professional staff, who have forecasting

14  expertise, from the Department of Children and Family

15  Services, the Senate, and the House of Representatives, or

16  their designees, are the principals of the Social Services

17  Estimating Conference.  The principal representing the

18  Executive Office of the Governor shall preside over sessions

19  of the conference.

20         (7)  TRANSPORTATION ESTIMATING CONFERENCE.--

21         (a)  Duties.--The Transportation Estimating Conference

22  shall develop such official budget information relating to

23  transportation planning and budgeting as is determined by the

24  conference principals to be needed for the state planning and

25  budgeting system.  This information shall include estimates of

26  transportation cost indices and other budget-related

27  estimates. This conference shall not address estimates of

28  transportation revenues.

29         (b)  Principals.--The Executive Office of the Governor,

30  the coordinator of the Office of Economic and Demographic

31  Research, and professional staff with budgeting expertise from

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  1  the Department of Transportation, the Senate, and the House of

  2  Representatives are the principals of the Transportation

  3  Estimating Conference. The principal representing the

  4  Executive Office of the Governor shall preside over sessions

  5  of the conference.

  6         (7)(8)  CHILD WELFARE SYSTEM ESTIMATING CONFERENCE.--

  7         (a)  Duties.--The Child Welfare System Estimating

  8  Conference shall develop such official information relating to

  9  the child welfare system of the state, including forecasts of

10  child welfare caseloads, as the conference determines is

11  needed for the state planning and budgeting system. Such

12  official information may include, but is not limited to:

13         1.  Estimates and projections of the number of initial

14  and additional reports of child abuse, abandonment, or neglect

15  made to the central abuse hotline maintained by the Department

16  of Children and Family Services as established in s.

17  39.201(4). Projections may take into account other factors

18  that may influence the number of future reports to the abuse

19  hotline.

20         2.  Estimates and projections of the number of children

21  who are alleged to be victims of child abuse, abandonment, or

22  neglect and are in need of emergency shelter, foster care,

23  residential group care, adoptive services, or other

24  appropriate care.

25

26  In addition, the conference shall develop other official

27  information relating to the child welfare system of the state

28  which the conference determines is needed for the state

29  planning and budgeting system.  The Department of Children and

30  Family Services shall provide information on the child welfare

31  system requested by the Child Welfare System Estimating

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  1  Conference, or individual conference principals, in a timely

  2  manner.

  3         (b)  Principals.--The Executive Office of the Governor,

  4  the coordinator of the Office of Economic and Demographic

  5  Research, and professional staff who have forecasting

  6  expertise from the Department of Children and Family Services,

  7  the Senate, and the House of Representatives, or their

  8  designees, are the principals of the Child Welfare System

  9  Estimating Conference. The principal representing the

10  Executive Office of the Governor shall preside over sessions

11  of the conference.

12         (8)(9)  JUVENILE JUSTICE ESTIMATING CONFERENCE.--

13         (a)  Duties.--The Juvenile Justice Estimating

14  Conference shall develop such official information relating to

15  the juvenile justice system of the state as is determined by

16  the conference principals to be needed for the state planning

17  and budgeting system.  This information shall include, but is

18  not limited to:  estimates of juvenile delinquency caseloads

19  and workloads; estimates for secure, nonsecure, and home

20  juvenile detention placements; estimates of workloads in the

21  juvenile sections in the offices of the state attorneys and

22  public defenders; estimates of mental health and substance

23  abuse treatment relating to juveniles; and such other

24  information as is determined by the conference principals to

25  be needed for the state planning and budgeting system.

26         (b)  Principals.--The Executive Office of the Governor,

27  the Office of Economic and Demographic Research, and

28  professional staff who have forecasting expertise from the

29  Department of Juvenile Justice, the Department of Children and

30  Family Services Alcohol, Drug Abuse, and Mental Health Program

31  Office, the Department of Law Enforcement, the Senate

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  1  Appropriations Committee staff, the House of Representatives

  2  Appropriations Committee staff, or their designees, are the

  3  principals of the Juvenile Justice Estimating Conference. The

  4  responsibility of presiding over sessions of the conference

  5  shall be rotated among the principals. To facilitate policy

  6  and legislative recommendations, the conference may call upon

  7  professional staff of the Juvenile Justice Accountability

  8  Board and appropriate legislative staff.

  9         (9)(10)  OCCUPATIONAL FORECASTING CONFERENCE.--

10         (a)  Duties.--The Occupational Forecasting Conference

11  shall develop such official information on the workforce

12  development system planning process as it relates to the

13  personnel needs of current, new, and emerging industries as

14  the conference determines is needed by the state planning and

15  budgeting system.  Such information must include at least:

16  short-term and long-term forecasts of employment demand for

17  high-skills/high-wage jobs by occupation and industry;

18  relative wage forecasts among those occupations; and estimates

19  of the supply of trained and qualified individuals available

20  for employment in those occupations.

21         (b)  Principals.--The Commissioner of Education, the

22  Executive Office of the Governor, the director of the Office

23  of Tourism, Trade, and Economic Development, the Secretary of

24  Labor, and the coordinator of the Office of Economic and

25  Demographic Research, or their designees, are the principals

26  of the Occupational Forecasting Conference.  The Commissioner

27  of Education, or the commissioner's designee, shall preside

28  over the sessions of the conference.

29         (10)(11)  SCHOOL READINESS PROGRAM ESTIMATING

30  CONFERENCE.--

31         (a)  Duties.--

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  1         1.  The School Readiness Program Estimating Conference

  2  shall develop such estimates and forecasts of the number of

  3  individuals eligible for school readiness programs in

  4  accordance with the standards of eligibility established by

  5  state or federal statute or administrative rule as the

  6  conference determines are needed to support the state

  7  planning, budgeting, and appropriations processes.

  8         2.  In addition, the School Readiness Program

  9  Estimating Conference shall estimate the unduplicated count of

10  children who are eligible for services under the school

11  readiness program.

12         3.  The Florida Partnership for School Readiness shall

13  provide information on needs and waiting lists for school

14  readiness program services requested by the School Readiness

15  Program Estimating Conference or individual conference

16  principals in a timely manner.

17         (b)  Principals.--The Executive Office of the Governor,

18  the Director of Economic and Demographic Research, and

19  professional staff who have forecasting expertise from the

20  Florida Partnership for School Readiness, the Department of

21  Children and Family Services, the Department of Education, the

22  Senate, and the House of Representatives, or their designees,

23  are the principals of the School Readiness Program Estimating

24  Conference. The principal representing the Executive Office of

25  the Governor shall preside over sessions of the conference.

26         (11)  SELF-INSURANCE ESTIMATING CONFERENCE.--

27         (a)  Duties.--The Self-Insurance Estimating Conference

28  shall develop such official information on self-insurance

29  related issues as the conference determines is needed by the

30  state planning and budgeting system.

31

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  1         (b)  Principals.--The Executive Office of the Governor,

  2  the coordinator of the Office of Economic and Demographic

  3  Research, and staff directors of the committees of the Senate

  4  and the House of Representatives which have primary

  5  responsibility for legislation dealing with taxation, or their

  6  designees, are the principals of the Self-Insurance Estimating

  7  Conference. The responsibility of presiding over sessions of

  8  the conference shall be rotated among the principals.

  9         (12)  FLORIDA RETIREMENT SYSTEM ACTUARIAL ASSUMPTION

10  CONFERENCE.--

11         (a)  Duties.--The Florida Retirement System Actuarial

12  Assumption Conference shall develop official information with

13  respect to the economic and noneconomic assumptions and

14  funding methods of the Florida Retirement System necessary to

15  perform the system actuarial study undertaken pursuant to s.

16  121.031(3). Such information shall include:  an analysis of

17  the actuarial assumptions and actuarial methods used in the

18  study and a determination of whether changes to the

19  assumptions or methods need to be made due to experience

20  changes or revised future forecasts.

21         (b)  Principals.--The Executive Office of the Governor,

22  the coordinator of the Office of Economic and Demographic

23  Research, and professional staff of the Senate and House of

24  Representatives who have forecasting expertise, or their

25  designees, are the principals of the Florida Retirement System

26  Actuarial Assumption Conference. The Executive Office of the

27  Governor shall have the responsibility of presiding over the

28  sessions of the conference. The State Board of Administration

29  and the Division of Retirement shall be participants in the

30  conference.

31

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  1         Section 17.  Subsection (1) of section 216.141, Florida

  2  Statutes, is amended to read:

  3         216.141  Budget system procedures; planning and

  4  programming by state agencies.--

  5         (1)  The Executive Office of the Governor, in

  6  consultation with the appropriations committees of the Senate

  7  and House of Representatives, and by utilizing the Florida

  8  Financial Management Information System management data and

  9  the Comptroller's chart of accounts, shall prescribe a

10  planning and budgeting system, pursuant to s. 215.94(1), to

11  provide for continuous planning and programming and for

12  effective management practices for the efficient operations of

13  all state agencies and the judicial branch. However, the

14  planning and budgeting system shall be limited to the

15  processing of information related to ss. 216.023, 216.0235,

16  216.031, 216.043, 216.121, 216.181, 216.182, and 216.192 and

17  those applications relating to part I of chapter 23 and part I

18  of chapter 252 which are funded by the Legislature.  The

19  Legislature Executive Office of the Governor may contract with

20  the Executive Office of the Governor Legislature to develop

21  the planning and budgeting system and to provide services to

22  the Legislature for the support and use of the legislative

23  appropriations system.  The contract shall include the

24  policies and procedures for combining the legislative

25  appropriations system with the planning and budgeting

26  information system established pursuant to s. 215.94(1).  At a

27  minimum, the contract shall require the use of common data

28  codes.  The combined legislative appropriations and planning

29  and budgeting information subsystem shall support the

30  legislative appropriations and legislative oversight functions

31  without data code conversion or modification.

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  1         Section 18.  Subsections (1) and (2) of section

  2  216.151, Florida Statutes, are amended to read:

  3         216.151  Duties of the Executive Office of the

  4  Governor.--It shall be the duty of the Executive Office of the

  5  Governor to:

  6         (1)  Make a detailed study, as necessary, of each of

  7  the several state agencies, with a view toward ascertaining

  8  and determining the needs thereof; whether changes should be

  9  made in existing organizations, their activities and methods

10  of operation; what appropriation should be made therefor;

11  whether the operations and activities of different agencies or

12  within the same agencies should be combined, consolidated, or

13  integrated or should be regrouped and rearranged, all to the

14  end of securing greater economy without sacrificing efficiency

15  in the operations of such agencies. In order to accomplish

16  this type of study, the Executive Office of the Governor may

17  request any or all agencies to submit a budget plan with

18  respect to targets established by the Governor.  Such a

19  request shall not influence the agencies' independent

20  judgments in making agency legislative budget requests, as

21  required by law.

22         (2)  Prepare an analysis of the agency legislative

23  budget requests submitted by state agencies and the judicial

24  branch covering their respective operational and fixed capital

25  outlay requirements.

26         Section 19.  Subsection (1) of section 216.162, Florida

27  Statutes, is amended to read:

28         216.162  Governor's recommended budget to be furnished

29  Legislature; copies to members.--

30         (1)  At least 45 days before the scheduled annual

31  legislative session in each odd-numbered year, the Governor

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  1  shall furnish each senator and representative a copy of his or

  2  her recommended balanced budget for the state, based on the

  3  Governor's own conclusions and judgment; provided, however,

  4  that in his or her first year in office a new Governor may

  5  request, subject to approval of the President of the Senate

  6  and the Speaker of the House of Representatives, that his or

  7  her recommended balanced budget be submitted at a later time

  8  prior to the Governor's first regular legislative session.

  9         Section 20.  Section 216.163, Florida Statutes, is

10  amended to read:

11         216.163  Governor's recommended budget; form and

12  content; declaration of collective bargaining impasses.--

13         (1)  The Governor's recommended budget shall be

14  referenced to the agency legislative budget requests

15  prescribed in ss. 216.023 216.031 and 216.043 and shall be

16  consistent with the format of the current fiscal year General

17  Appropriations Act or shall be distinctly separated into four

18  sections.  If separated into four sections, Section One of the

19  budget shall be entitled "Operations"; Section Two shall be

20  entitled "Revenue Sharing, Distributions and Transfers";

21  Section Three shall be entitled "Fixed Capital Outlay"; and

22  Section Four shall be entitled "Debt Service."

23         (2)  The Governor's recommended budget shall also

24  include:

25         (a)  The Governor's recommendations for operating each

26  state agency, and those of the Chief Justice of the Supreme

27  Court for operating the judicial branch, for the next fiscal

28  year.  These recommendations shall be displayed by

29  appropriation category within each budget entity, with detail

30  by program component within each budget entity, and shall also

31  include the agency legislative budget request of the

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  1  corresponding agency and community budget requests related to

  2  each agency.

  3         (b)1.  The Governor's recommendations and those of the

  4  Chief Justice for fixed capital outlay appropriations for the

  5  next fiscal year. These recommendations shall be displayed by

  6  budget entity and shall also include the agency legislative

  7  budget request of the corresponding agency.

  8         2.  For each specific fixed capital outlay project or

  9  group of projects or operating capital outlay requests

10  recommended to be funded from a proposed state debt or

11  obligation, he or she shall make available pursuant to s.

12  216.164(1)(a) the documents set forth in s. 216.0442(2).

13         (c)  The evaluation of the fixed capital outlay request

14  of each agency and the judicial branch and alternatives to the

15  proposed projects as made by the Department of Management

16  Services pursuant to s. 216.044.

17         (d)  A summary statement of the amount of

18  appropriations requested by each state agency and as

19  recommended by the Governor and by the judicial branch.

20         (e)  A distinct listing of all nonrecurring

21  appropriations recommended by the Governor or the Chief

22  Justice.

23         (f)  A listing of the general policies used to

24  calculate the amounts required for salaries, other personal

25  services, expenses, operating capital outlay, electronic data

26  processing, and food products recommended by the Governor or

27  the Chief Justice.

28         (g)  Explanations and justification, expressed in terms

29  of program-effectiveness measures, program-efficiency

30  measures, workload, productivity adjustments, staffing

31  standards, and any other criteria needed to evaluate the

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  1  delivery of governmental services and to explain the

  2  Governor's recommendations or the Chief Justice's

  3  recommendations, and such other supporting schedules and

  4  exhibits as may be determined by the Governor or the Chief

  5  Justice.

  6         (h)  With respect to the Department of Transportation,

  7  a reconciliation of the Governor's recommendations for the

  8  funding of the agency budget and tentative work program with

  9  the budget and tentative work program submitted by the

10  department pursuant to s. 339.135 by project, by project

11  phase, by department district, and by appropriation category.

12         (f)(i)  The Governor's recommendations for critical

13  information resource management projects which should be

14  subject to special monitoring under s. 282.322. These

15  recommendations shall include proviso language which specifies

16  whether funds are specifically provided to contract for

17  project monitoring, or whether the Auditor General will

18  conduct such project monitoring. When funds are recommended

19  for contracting with a project monitor, such funds may equal 1

20  percent to 5 percent of the project's estimated total costs.

21  These funds shall be specifically appropriated and

22  nonrecurring.

23         (g)(j)  Any additional information which the Governor

24  or Chief Justice feels is needed to justify his or her

25  recommendations.

26         (3)  The Governor shall provide to the Legislature a

27  performance-based program budget for approved programs

28  according to the schedule provided in s. 216.0172. Information

29  submitted to the Legislature shall be provided in a fashion

30  that will allow comparison of the requested information with

31  the agency request and legislative appropriation by the

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  1  automated legislative appropriation planning and budgeting

  2  system.

  3         (4)  The Executive Office of the Governor shall review

  4  the evaluation report required by s. 216.031(10) and the

  5  findings of the Office of Program Policy Analysis and

  6  Government Accountability, to the extent they are available,

  7  request any reports or additional analyses as necessary, and

  8  submit a recommendation, which may include a recommendation

  9  regarding incentives or disincentives for agency performance.

10  Incentives or disincentives may apply to all or part of a

11  state agency.

12         (a)  Incentives may include, but are not limited to:

13         1.  Additional flexibility in budget management, such

14  as, but not limited to, the use of lump sums or, special

15  categories, or performance-based program appropriation;

16  consolidation of budget entities or program components;

17  consolidation of appropriation categories; and increased

18  agency transfer authority between appropriation categories or

19  budget entities.

20         2.  Additional flexibility in salary rate and position

21  management.

22         3.  Retention of up to 50 percent of all unencumbered

23  balances of appropriations as of June 30, or undisbursed

24  balances as of December 31, excluding special categories and

25  grants and aids, which may be used for nonrecurring purposes

26  including, but not limited to, lump-sum bonuses, employee

27  training, or productivity enhancements, including technology

28  and other improvements.

29         4.  Additional funds to be used for, but not limited

30  to, lump-sum bonuses, employee training, or productivity

31  enhancements, including technology and other improvements.

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  1         5.  Additional funds provided pursuant to law to be

  2  released to an agency quarterly or incrementally contingent

  3  upon the accomplishment of units of output or outcome

  4  specified in the General Appropriations Act.

  5         (b)  Disincentives may include, but are not limited to:

  6         1.  Mandatory quarterly reports to the Executive Office

  7  of the Governor and the Legislature on the agency's progress

  8  in meeting performance standards.

  9         2.  Mandatory quarterly appearances before the

10  Legislature, the Governor, or the Governor and Cabinet to

11  report on the agency's progress in meeting performance

12  standards.

13         3.  Elimination or restructuring of the program, which

14  may include, but not be limited to, transfer of the program or

15  outsourcing all or a portion of the program.

16         4.  Reduction of total positions for a program.

17         5.  Restriction on or reduction of the spending

18  authority provided in s. 216.292(2) and (4).

19         6.  Reduction of managerial salaries.

20         (5)  At the same time that the Governor furnishes each

21  senator and representative with a copy of his or her

22  recommended balanced budget under s. 216.162(1), the Executive

23  Office of the Governor shall electronically transmit to the

24  legislative appropriations committees the Governor's

25  recommended budget, the Exhibit B, Major Issues, and D-3a's.

26         (6)  At the time the Governor is required to furnish

27  copies of his or her recommended budget to each senator and

28  representative under s. 216.162(1), the Governor shall declare

29  an impasse in all collective bargaining negotiations for which

30  he or she is deemed to be the public employer and for which a

31  collective bargaining agreement has not been executed.  Within

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  1  14 days thereafter, the Governor shall furnish the legislative

  2  appropriations committees with documentation relating to the

  3  last offer he or she made during such collective bargaining

  4  negotiations or recommended to a mediator or special master

  5  appointed to resolve the impasse.

  6         Section 21.  Subsections (1) and (2) of section

  7  216.177, Florida Statutes, are amended to read:

  8         216.177  Appropriations acts, statement of intent,

  9  violation, notice, review and objection procedures.--

10         (1)  When an appropriations act is delivered to the

11  Governor after the Legislature has adjourned sine die, as soon

12  as practicable, but no later than the 10th day before the end

13  of the period allowed by law for veto consideration in any

14  year in which an appropriation is made, the chairs of the

15  legislative appropriations committees shall jointly transmit:

16         (a)  A statement of intent, including performance and

17  workload measures as appropriate;

18         (a)(b)  The official list of General Revenue Fund

19  appropriations determined in consultation with the Executive

20  Office of the Governor to be nonrecurring; and

21         (b)(c)  The documents set forth in s. 216.0442(2)(a)

22  and (c),

23

24  to the Executive Office of the Governor, the Comptroller, the

25  Auditor General, the Chief Justice of the Supreme Court, and

26  each state agency.  The statement of intent constitutes a

27  manifestation of how the Legislature, in its considered

28  opinion as a representative of the people, thinks

29  appropriations should be spent.  The statement of intent is

30  not a law and may not allocate or appropriate any funds, or

31  amend or correct any provision, in the General Appropriations

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  1  Act, but the statement of intent may provide additional

  2  explanation to the Executive Office of the Governor, the

  3  judicial branch, the Administration Commission, and each

  4  affected state agency relative to the purpose, objectives,

  5  spending philosophy, and restrictions associated with any

  6  specific appropriation.  The statement of intent shall compare

  7  the request of the agency or of the judicial branch or the

  8  recommendation of the Governor to the funds appropriated for

  9  the purpose of establishing intent in the development of the

10  approved operating budget.  A request for additional

11  explanation and direction regarding the legislative intent of

12  the General Appropriations Act during the fiscal year may be

13  made only by and through the Executive Office of the Governor

14  for state agencies, and by and through the Chief Justice of

15  the Supreme Court for the judicial branch, as is deemed

16  necessary.  However, the Comptroller may also request further

17  clarification of legislative intent pursuant to the

18  Comptroller's responsibilities related to his or her preaudit

19  function of expenditures.

20         (2)(a)  Whenever notice of action to be taken by the

21  Executive Office of the Governor or, the Chief Justice of the

22  Supreme Court, or the commission is required by this chapter,

23  such notice shall be given to the chair of the Legislative

24  Budget Commission chairs of the legislative appropriations

25  committees in writing, and shall be delivered to both such

26  chairs at least 14 consecutive days prior to the action

27  referred to, unless a shorter period is approved in writing by

28  the chair both such chairs. If the action is solely for the

29  release of funds appropriated by the Legislature, the notice

30  shall be delivered at least 3 days before the effective date

31  of the action. Action shall not be taken on any budget item

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  1  for which this chapter requires notice to the Legislative

  2  Budget Commission appropriations committees without such

  3  notice having been provided, even though there may be good

  4  cause for considering such item.

  5         (b)  If the chair of the Legislative Budget Commission

  6  chairs of the legislative appropriations committees or the

  7  President of the Senate and the Speaker of the House of

  8  Representatives timely advise, in writing, the Executive

  9  Office of the Governor or, the Chief Justice of the Supreme

10  Court, or the Administration Commission that an action or a

11  proposed action subject to the notice and review requirements

12  of this chapter exceeds the delegated authority of the

13  Executive Office of the Governor for the executive branch or,

14  the Chief Justice for the judicial branch, or the

15  Administration Commission, respectively, or is contrary to

16  legislative policy and intent, the Governor or, the Chief

17  Justice of the Supreme Court, or the Administration Commission

18  shall void such action and instruct the affected state agency

19  or entity of the judicial branch to change immediately its

20  spending action or spending proposal until the Legislature

21  addresses the issue.  The written documentation shall indicate

22  the specific reasons that an action or proposed action exceeds

23  the delegated authority or is contrary to legislative policy

24  and intent.

25         (c)  The House of Representatives and the Senate shall

26  provide by rule that any member of the House of

27  Representatives or Senate may request, in writing, of either

28  the President of the Senate or the Speaker of the House of

29  Representatives or the chair of the respective Legislative

30  Budget Commission appropriations committee to initiate the

31  procedures of paragraph (b).

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  1         Section 22.  Section 216.178, Florida Statutes, is

  2  amended to read:

  3         216.178  General Appropriations Act; format; procedure;

  4  cost statement for new debt or obligation.--

  5         (1)  Any information contained in a conference

  6  committee report on a general or supplemental appropriations

  7  bill, on any other bill adopted by the same conference

  8  committee to implement a general or supplemental

  9  appropriations bill and effective for the same period as such

10  appropriations bill, or on a revenue bill during any regular

11  or special legislative session must be made available to the

12  members of the Legislature and to the public at least 72 48

13  hours before the report may be voted on by the Senate or the

14  House of Representatives.

15         (2)  Effective June 30, 1993, The Office of Planning

16  and Budgeting shall develop a final budget report that

17  reflects the net appropriations for each budget item.  The

18  report shall reflect actual expenditures for each of the 2

19  preceding fiscal years and the estimated expenditures for the

20  current fiscal year.  In addition, the report must contain the

21  actual revenues and cash balances for the preceding 2 fiscal

22  years and the estimated revenues and cash balances for the

23  current fiscal year.  The report may also contain expenditure

24  data, program objectives, and program measures for each state

25  agency program. The report must be produced by October 15 each

26  year.  A copy of the report must be made available to each

27  member of the Legislature, to the head of each state agency,

28  to the Auditor General, and to the public.

29         (3)  The Governor shall submit to the Secretary of

30  State, along with the signed General Appropriations Act, a

31  statement which sets forth the estimated cost of each new

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  1  proposed state debt or obligation contained in the act.  Each

  2  statement shall be written in substantially the following

  3  form:

  4

  5         The General Appropriations Act for fiscal year

  6  ...(insert years)... authorizes the issuance of $ ...(insert

  7  principal)... of debt or obligation at a forecasted interest

  8  rate of ...(insert rate of interest)....  The total interest

  9  paid over the life of this debt or obligation will be $

10  ...(insert sum of interest payments).... Additionally, it is

11  estimated that the 5-year operational costs associated with

12  those capital outlay projects to be funded by the incurrence

13  of this debt or obligation will be $ ...(insert costs)....

14         Section 23.  Section 216.179, Florida Statutes, is

15  amended to read:

16         216.179  Reinstatement of vetoed appropriations by

17  administrative means prohibited.--After the Governor has

18  vetoed a specific appropriation for an agency or the judicial

19  branch, neither the Governor, the Administration Commission,

20  nor the Chief Justice of the Supreme Court, nor a state

21  agency, in their various statutory and constitutional roles,

22  may authorize expenditures for or implementation in any manner

23  of the programs that were authorized by the vetoed

24  appropriation.

25         Section 24.  Section 216.181, Florida Statutes, is

26  amended to read:

27         216.181  Approved budgets for operations and fixed

28  capital outlay.--

29         (1)  The General Appropriations Act and any other acts

30  containing appropriations shall be considered the original

31  approved operating budgets for operational and fixed capital

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  1  expenditures. Amendments to the approved operating budgets for

  2  operational and fixed capital outlay expenditures from state

  3  agencies may be requested only through the Executive Office of

  4  the Governor and approved by the Governor or Administration

  5  Commission as provided in this chapter. Amendments from the

  6  judicial branch may be requested only through, and approved

  7  by, the Chief Justice of the Supreme Court.  This includes

  8  amendments which are necessary to implement the provisions of

  9  s. 216.212 or s. 216.221.

10         (2)  Amendments to the original approved operating

11  budgets for operational and fixed capital outlay expenditures

12  must comply with the following guidelines in order to be

13  approved by the Governor or Administration Commission as

14  provided in this chapter for the executive branch and the

15  Chief Justice for the judicial branch:

16         (a)  The amendment must be consistent with legislative

17  policy and intent.

18         (b)  The amendment may not initiate or commence a new

19  program, except as authorized by this chapter, or eliminate an

20  existing program.

21         (c)  Except as authorized in s. 216.292 or other

22  provisions of this chapter, the amendment may not provide

23  funding or increased funding for items which were funded by

24  the Legislature in an amount less than that requested by the

25  agency or Governor in the legislative budget request or which

26  were vetoed by the Governor.

27         (d)  For amendments that involve trust funds, there

28  must be adequate and appropriate revenues available in the

29  trust fund and the amendment must be consistent with the laws

30  authorizing such trust funds and the laws relating to the use

31  of the trust funds. However, a trust fund shall not be

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  1  increased in excess of the original approved budget, except as

  2  provided in subsection (11).

  3         (e)  The amendment shall not conflict with any

  4  provision of law.

  5         (f)  The amendment must not provide funding for any

  6  issue which was requested by the agency or branch in their

  7  agency legislative budget request and not funded in the

  8  General Appropriations Act.

  9         (g)  The amendment must include a written description

10  of the purpose of the proposed change, an indication of why

11  interim budget action is necessary, and the intended recipient

12  of any funds for contracted services.

13         (h)  The amendment must not provide general salary

14  increases which the Legislature has not authorized in the

15  General Appropriations Act or other laws.

16         (3)  All amendments to original approved operating

17  budgets, regardless of funding source, are subject to the

18  notice and review procedures set forth in s. 216.177.

19         (4)  To the extent possible, individual members of the

20  Senate and the House of Representatives should be advised of

21  budget amendments requested by the executive branch.

22         (5)(4)  An All amendments to the original approved

23  operating budgets, regardless of funding source, are subject

24  to the notice and review procedures set forth in s. 216.177

25  and must be approved by the Governor and Administration

26  Commission as provided in this chapter for the executive

27  branch and the Chief Justice for the judicial branch if the

28  amendment is for an information resources management project

29  or initiative that involves more than one agency, has an

30  outcome that impacts another agency, or exceeds $500,000 in

31  total cost over a 1-year period, except for those projects

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  1  that are a continuation of hardware or software maintenance or

  2  software licensing agreements, or that are for desktop

  3  replacement that is similar to the technology currently in use

  4  must be reviewed by the Technology Review Workgroup pursuant

  5  to s. 216.0466 and approved by the Executive Office of the

  6  Governor for the executive branch or by the Chief Justice for

  7  the judicial branch, and shall be subject to the notice and

  8  review procedures set forth in s. 216.177.

  9         (6)(5)(a)  The Executive Office of the Governor or the

10  Chief Justice of the Supreme Court may require the submission

11  of a detailed plan from the agency or entity of the judicial

12  branch affected, consistent with the General Appropriations

13  Act, special appropriations acts, and the statement of intent

14  before transferring and releasing the balance of a lump-sum

15  appropriation. The provisions of this paragraph are subject to

16  the notice and review procedures set forth in s. 216.177.

17         (b)  The Executive Office of the Governor may amend,

18  without approval of the Legislative Budget Administration

19  Commission, state agency budgets to reflect the transferred

20  funds based on the approved plans for lump-sum appropriations.

21

22  The Executive Office of the Governor shall transmit to each

23  state agency and the Comptroller, and the Chief Justice shall

24  transmit to each judicial branch component and the

25  Comptroller, any approved amendments to the approved operating

26  budgets.

27         (7)(6)  The Executive Office of the Governor may, for

28  the purpose of improved contract administration, authorize the

29  consolidation of two or more fixed capital outlay

30  appropriations for an agency, and the Chief Justice of the

31  Supreme Court for the judicial branch, except for projects

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  1  authorized under chapter 235, provided the original scope and

  2  purpose of each project are not changed.

  3         (7)  The original approved annual salary rate for the

  4  Division of Administrative Hearings shall be as set forth in

  5  the General Appropriations Act.  This rate may be adjusted by

  6  the Executive Office of the Governor subject to the provisions

  7  of s. 120.65(2).

  8         (8)  As part of the approved operating budget, the

  9  Executive Office of the Governor shall furnish to each state

10  agency, and the Chief Justice of the Supreme Court shall

11  furnish to the entity of the judicial branch, an approved

12  annual salary rate for each budget entity containing a salary

13  appropriation. This rate shall be based upon the actual salary

14  rate and shall be consistent with the General Appropriations

15  Act or special appropriations acts.  The annual salary rate

16  shall be:

17         (a)  Calculated based on the actual salary rate in

18  effect on June 30, and the salary policy and the number of

19  authorized positions as specified in the General

20  Appropriations Act and special appropriations acts, or as

21  provided pursuant to s. 216.177.

22         (b)  Controlled by department or agency; except for the

23  Department of Education, which shall be controlled by division

24  budget entity.

25         (c)  Assigned to the number of authorized positions,

26  which may not be transferred between budget entities unless

27  the associated positions are also transferred pursuant to s.

28  216.262(1)(c).

29         (9)(a)  The calculation for the annual salary rate for

30  vacant and newly authorized positions shall be at no more than

31

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  1  the midpoint of the range of the pay grade for the position or

  2  as provided in the General Appropriations Act.

  3         (b)  No agency or the judicial branch may exceed its

  4  maximum approved annual salary rate for the fiscal year.

  5  However, at any time during the fiscal year, an agency or

  6  entity of the judicial branch may exceed its approved rate for

  7  all budget entities by no more than 5 percent, provided that,

  8  by June 30 of every fiscal year, the agency or entity of the

  9  judicial branch has reduced its salary rate so that the salary

10  rate for each budget entity is within the approved rate limit

11  for that budget entity.

12         (10)(a)  The Executive Office of the Governor and the

13  Chief Justice of the Supreme Court may increase or decrease

14  the approved salary rate for positions for the purpose of

15  implementing the General Appropriations Act, special

16  appropriations acts, and actions pursuant to s. 216.262 other

17  adjustments if they are deemed to be necessary and in the best

18  interest of the state and consistent with legislative intent

19  and policy.  The provisions of this paragraph are subject to

20  the notice and review procedures set forth in s. 216.177.

21         (b)  Lump-sum salary bonuses may be provided only if

22  specifically appropriated.

23         (11)  The Executive Office of the Governor may approve

24  transfers of appropriations in the General Appropriations Act

25  within any state trust fund of an agency, and the Chief

26  Justice of the Supreme Court may approve such transfers for

27  the judicial branch.  The Governor and the Chief Justice of

28  the Supreme Court may establish nonoperating budgets if deemed

29  necessary and in the best interest of the state and consistent

30  with legislative intent and policy.  The Executive Office of

31  the Governor and the Chief Justice of the Supreme Court may

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  1  approve changes in the amounts appropriated from state trust

  2  funds in excess of those in the approved operating budget only

  3  pursuant to the federal funds provisions of s. 216.212, when

  4  grants and donations are received after April 1, or when

  5  deemed necessary due to a set of conditions that were

  6  unforeseen at the time the General Appropriations Act was

  7  adopted and that are essential to correct in order to continue

  8  the operation of government. The provisions of this subsection

  9  are subject to the notice, review, and objection procedures

10  set forth in s. 216.177.

11         (12)  There is appropriated nonoperating budget for

12  refunds, payments to the U.S. Treasury, payments of the

13  service charge to the General Revenue Fund, and transfers of

14  funds specifically required by law. Such authorized budget,

15  together with related releases, shall be transmitted by the

16  state agency or by the judicial branch to the Comptroller for

17  entry in the Comptroller's records in the manner and format

18  prescribed by the Executive Office of the Governor in

19  consultation with the Comptroller. A copy of such authorized

20  budgets shall be furnished to the Executive Office of the

21  Governor or the Chief Justice, the chairs of the legislative

22  committees responsible for developing the general

23  appropriations acts, and the Auditor General. The Governor may

24  withhold approval of nonoperating investment authority for

25  certain trust funds when deemed in the best interest of the

26  state. The Governor for the executive branch, and the Chief

27  Justice for the judicial branch, may establish nonoperating

28  budgets for transfers, purchase of investments, special

29  expenses, distributions, and any other nonoperating budget

30  categories they deem necessary and in the best interest of the

31  state and consistent with legislative intent and policy. The

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  1  provisions of this subsection are subject to the notice,

  2  review, and objection procedures set forth in s. 216.177. For

  3  purposes of this section, the term "nonoperating budgets"

  4  means nonoperating disbursement authority for purchase of

  5  investments, refunds, payments to the U.S. Treasury, transfers

  6  of funds specifically required by law, distributions of assets

  7  held by the state in a trustee capacity as an agent of

  8  fiduciary, special expenses, and other nonoperating budget

  9  categories as determined necessary by the Executive Office of

10  the Governor, not otherwise appropriated in the General

11  Appropriations Act.

12         (13)(12)  Each state agency and the judicial branch

13  shall develop the internal management procedures and budgets

14  necessary to assure compliance with the approved operating

15  budget.

16         (14)(13)  The Executive Office of the Governor and the

17  Chief Justice of the Supreme Court shall certify the amounts

18  approved for operations and fixed capital outlay, together

19  with any relevant supplementary materials or information, to

20  the Comptroller; and such certification shall be the

21  Comptroller's guide with reference to the expenditures of each

22  state agency pursuant to s. 216.192.

23         (15)(14)  The provisions of this section do not apply

24  to the budgets for the legislative branch.

25         (16)(15)(a)  Funds provided in any specific

26  appropriation in the General Appropriations Act may be

27  advanced if the General Appropriations Act specifically so

28  provides.

29         (b)  Any agency, or the judicial branch, that has been

30  authorized by the General Appropriations Act or expressly

31  authorized by other law to make advances for program startup

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  1  or advances for contracted services, in total or periodically,

  2  shall limit such disbursements to other governmental entities

  3  and not-for-profit corporations.  The amount which may be

  4  advanced shall not exceed the expected cash needs of the

  5  contractor or recipient within the initial 3 months.

  6  Thereafter, disbursements shall only be made on a

  7  reimbursement basis.  Any agreement that provides for

  8  advancements may contain a clause that permits the contractor

  9  or recipient to temporarily invest the proceeds, provided that

10  any interest income shall either be returned to the agency or

11  be applied against the agency's obligation to pay the contract

12  amount.  This paragraph does not constitute lawful authority

13  to make any advance payment not otherwise authorized by laws

14  relating to a particular agency or general laws relating to

15  the expenditure or disbursement of public funds.  The

16  Comptroller may, after consultation with the legislative

17  appropriations committees, advance funds beyond a 3-month

18  requirement waive the requirements of this paragraph which

19  apply to advances if it is determined to be consistent with

20  the intent of the approved operating budget.

21         (c)  For the 1999-2000 fiscal year only, funds

22  appropriated to the Department of Children and Family Services

23  in Specific Appropriations 292 through 425 and the Department

24  of Health in Specific Appropriations 445 through 540 of the

25  1999-2000 General Appropriations Act may be advanced, unless

26  specifically prohibited in such General Appropriations Act,

27  for those contracted services that were approved for

28  advancement by the Comptroller in fiscal year 1993-1994,

29  including those services contracted on a fixed-price or unit

30  cost basis.  This paragraph is repealed on July 1, 2000.

31

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  1         (16)  Notwithstanding any provision of this section to

  2  the contrary and for the 1999-2000 fiscal year only, the

  3  Department of Children and Family Services is authorized to

  4  use operating funds budgeted for Developmental Services

  5  Institutions for fixed capital outlay expenditures as needed

  6  to bring any currently unlicensed beds up to Federal

  7  Intermediate Care Facility for the Developmentally Disabled

  8  licensure standards. This subsection is repealed on July 1,

  9  2000.

10         (17)  Notwithstanding any other provision of this

11  section to the contrary, and for the 1999-2000 fiscal year

12  only, the Florida Department of Law Enforcement may transfer

13  up to 20 positions and associated budget between budget

14  entities, provided the same funding source is used throughout

15  each transfer. The department may also transfer up to 10

16  percent of the initial approved salary rate between budget

17  entities, provided the same funding source is used throughout

18  each transfer. The department must provide notice to the

19  Executive Office of the Governor, the chair of the Senate

20  Budget Committee, and the chair of the House Committee on

21  Criminal Justice Appropriations for all transfers of positions

22  or salary rate. This subsection is repealed on July 1, 2000.

23         (18)  Notwithstanding any other provision of this

24  chapter to the contrary, the Florida Department of

25  Transportation, in order to facilitate the transfer of

26  personnel to the new turnpike headquarters location in Orange

27  County, may transfer salary rate to the turnpike budget entity

28  from other departmental budget entities. The department must

29  provide documentation of all transfers to the Executive Office

30  of the Governor, the Chairman of the Senate Budget Committee,

31  and the Chairman of the House of Representatives Committee on

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  1  Transportation and Economic Development Appropriations. This

  2  subsection expires July 1, 2000.

  3         Section 25.  Section 216.1825, Florida Statutes, is

  4  created to read:

  5         216.1825  Zero-based budgeting.--

  6         (1)  Beginning July 1, 2000, and continuing thereafter,

  7  the Legislative Budget Commission shall apply zero-based

  8  budgeting principles in reviewing the budget of each state

  9  agency at least once every 8 years.

10         (2)  No later than July 1 of each year, the commission

11  shall issue instructions to the agencies whose budgets are to

12  be reviewed prior to the next legislative session. Dates of

13  submission for information required by the commission will be

14  included in the instructions.

15         (3)  The commission shall provide its reports of

16  zero-based budgeting reviews to the President of the Senate

17  and the Speaker of the House of Representatives on or before

18  December 31.

19         (4)  For fiscal year 2001-2002, budgets of the

20  Department of Revenue and the Department of Law Enforcement

21  shall be the subject of zero-based budgeting review by the

22  commission. The commission shall, by February 1, 2001, provide

23  to the President of the Senate and the Speaker of the House of

24  Representatives, a schedule for completing zero-based

25  budgeting reviews of all remaining state agencies prior to

26  December 31, 2008.

27         (5)  In addition to its permanent staff, the commission

28  is authorized to request assistance from the staff of any

29  joint standing committee of the Legislature and from the staff

30  of any standing committee of the Senate or the House of

31

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  1  Representatives if required to perform the zero-based

  2  budgeting reviews required by this section.

  3         Section 26.  Section 216.183, Florida Statutes, is

  4  amended to read:

  5         216.183  Entities using performance-based program

  6  budgets; chart of accounts.--State agencies and the judicial

  7  branch for which a performance-based program budget has been

  8  appropriated shall utilize the chart of accounts used by the

  9  Florida Accounting Information Resource Subsystem in the

10  manner described in s. 215.93(3). The chart of accounts for

11  state agencies and the judicial branch for which a

12  performance-based program budget has been appropriated shall

13  be developed and amended, if necessary, in consultation with

14  the Department of Banking and Finance, and the Executive

15  Office of the Governor, and the chairs of the Legislative

16  Budget Commission.

17         Section 27.  Subsection (1) of section 216.192, Florida

18  Statutes, is amended to read:

19         216.192  Release of appropriations; revision of

20  budgets.--

21         (1)  Unless otherwise provided in the General

22  Appropriations Act, on July 1 of each fiscal year, up to 25 20

23  percent of the original approved operating budget of each

24  agency and of the judicial branch may shall be released until

25  such time as annual plans for quarterly releases for all

26  appropriations have been developed, approved, and furnished to

27  the Comptroller by the Executive Office of the Governor for

28  state agencies and by the Chief Justice of the Supreme Court

29  for the judicial branch.  The plans, including appropriate

30  plans of releases for fixed capital outlay projects that

31  correspond with each project schedule, shall attempt to

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  1  maximize the use of trust funds and shall be transmitted to

  2  the Comptroller by August 1 of each fiscal year. Such releases

  3  shall at no time exceed the total appropriations available to

  4  a state agency or to the judicial branch, or the approved

  5  budget for such agency or the judicial branch if less. The

  6  Comptroller shall enter such releases in his or her records in

  7  accordance with the release plans prescribed by the Executive

  8  Office of the Governor and the Chief Justice, unless otherwise

  9  amended as provided by law.  The Executive Office of the

10  Governor and the Chief Justice shall transmit a copy of the

11  approved annual releases to the head of the state agency, the

12  chair of the Legislative Budget Commission chairs of the

13  legislative appropriations committees, and the Auditor

14  General. The Comptroller shall authorize all expenditures to

15  be made from the appropriations on the basis of such releases

16  and in accordance with the approved budget, and not otherwise.

17  Expenditures shall be authorized only in accordance with

18  legislative authorizations. Nothing herein precludes periodic

19  reexamination and revision by the Executive Office of the

20  Governor or by the Chief Justice of the annual plans for

21  release of appropriations and the notifications of the parties

22  of all such revisions.

23         Section 28.  Section 216.195, Florida Statutes, is

24  amended to read:

25         216.195  Impoundment of funds; restricted.--The

26  Executive Office of the Governor, the Chief Justice of the

27  Supreme Court, any member of the Cabinet, the Administration

28  Commission, or any state agency shall not impound any

29  appropriation except as necessary to avoid or eliminate a

30  deficit pursuant to the provisions of s. 216.221.  As used in

31  this section, the term "impoundment" means the omission of any

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  1  appropriation or part of an appropriation in the approved

  2  operating plan prepared pursuant to s. 216.181 or in the

  3  schedule of releases prepared pursuant to s. 216.192 or the

  4  failure of any state agency or the judicial branch to spend an

  5  appropriation for the stated purposes authorized in the

  6  approved operating budget. The provisions of this section are

  7  subject to the notice and review procedures of s. 216.177.

  8  The Governor or either house of the Legislature may seek

  9  judicial review of any action or proposed action which

10  violates the provisions of this section.

11         Section 29.  Section 216.212, Florida Statutes, is

12  amended to read:

13         216.212  Budgets for federal funds; restrictions on

14  expenditure of federal funds.--

15         (1)  The Executive Office of the Governor, the office

16  of the Comptroller, and the office of the Treasurer shall

17  develop and implement procedures for accelerating the drawdown

18  of, and minimizing the payment of interest on, federal funds.

19  The Executive Office of the Governor shall establish a

20  clearinghouse for federal programs and activities.  The

21  clearinghouse shall develop the capacity to respond to federal

22  grant opportunities and to coordinate the use of federal funds

23  in the state.

24         (a)  Every state agency, when making a request or

25  preparing a budget to be submitted to the Federal Government

26  for funds, equipment, material, or services, shall submit such

27  request or budget to the Executive Office of the Governor for

28  review approval before submitting it to the proper federal

29  authority. However, the Executive Office of the Governor may

30  specifically authorize any agency to submit specific types of

31  grant proposals directly to the Federal Government.

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  1         (b)  Every office or court of the judicial branch, when

  2  making a request or preparing a budget to be submitted to the

  3  Federal Government for funds, equipment, material, or

  4  services, shall submit such request or budget to the Chief

  5  Justice of the Supreme Court for approval before submitting it

  6  to the proper federal authority.  However, the Chief Justice

  7  may specifically authorize any court to submit specific types

  8  of grant proposals directly to the Federal Government.

  9         (2)  When such federal authority has approved the

10  request or budget, the state agency or the judicial branch

11  shall submit to the Executive Office of the Governor such

12  documentation showing approval as that office prescribes.

13  Beginning July 1, 1993, The Executive Office of the Governor

14  must acknowledge each approved request or budget by entering

15  that approval into an Automated Grant Management System

16  developed in consultation with the chairs of the House of

17  Representatives and Senate appropriations committees.

18         (3)  Federal money appropriated by Congress or received

19  from court settlements to be used for state purposes, whether

20  by itself or in conjunction with moneys appropriated by the

21  Legislature, may not be expended unless appropriated by the

22  Legislature.  However, the Executive Office of the Governor or

23  the Chief Justice of the Supreme Court may, after consultation

24  with the legislative appropriations committees, approve the

25  receipt and expenditure of funds from federal sources by state

26  agencies or by the judicial branch.  Any federal programs

27  requiring state matching funds which funds were eliminated, or

28  were requested and were not approved, by the Legislature may

29  not be implemented during the interim.  However, federal and

30  other fund sources for the State University System which do

31

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  1  not carry a continuing commitment on future appropriations are

  2  hereby appropriated for the purpose received.

  3         (4)  The Office of the Comptroller and the Executive

  4  Office of the Governor, in consultation with the Office of the

  5  Treasurer and the Office of the Auditor General, shall develop

  6  and maintain a means to ensure the compatibility of the

  7  Florida Accounting Information Resource Subsystem and the

  8  Federal Aid Tracking System.  Any successive systems serving

  9  identical or similar functions shall preserve such

10  compatibility.

11         Section 30.  Section 216.216, Florida Statutes, is

12  created to read:

13         216.216  Court settlement funds negotiated by the

14  state.--In any court settlement in which a state agency or

15  officer or any other counsel representing the interests of the

16  state negotiates settlement amounts to be expended on any

17  state operational or fixed capital issue in the judicial

18  branch or the executive branch, such funds may not be expended

19  unless appropriated by the Legislature to the appropriate

20  agency responsible for the operational or fixed capital issue.

21  When a state agency or officer settles an action in which the

22  state will receive moneys, the funds shall be placed in the

23  General Revenue Fund or in the trust fund that is associated

24  with the agency's or officer's authority to pursue the legal

25  action. The provisions of this section are subject to the

26  notice and review procedures set forth in s. 216.177.

27         Section 31.  Subsections (2) and (6) of section

28  216.221, Florida Statutes, are amended to read:

29         216.221  Appropriations as maximum appropriations;

30  adjustment of budgets to avoid or eliminate deficits.--

31

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  1         (2)  The Legislature may shall annually provide

  2  direction in the General Appropriations Act regarding use of

  3  the Budget Stabilization Fund and Working Capital Fund to

  4  offset General Revenue Fund deficits.

  5         (6)  If the Revenue Estimating Conference projects a

  6  deficit in the General Revenue Fund in excess of 1.5 percent

  7  of the moneys appropriated from the General Revenue Fund $300

  8  million during a fiscal year or when the cumulative total of a

  9  series of projected deficits in the General Revenue Fund

10  exceeds 1.5 percent of the moneys appropriated from the

11  General Revenue Fund $300 million, the deficit shall be

12  resolved by the Legislature.

13         Section 32.  Paragraph (a) of subsection (2) of section

14  216.251, Florida Statutes, is amended to read:

15         216.251  Salary appropriations; limitations.--

16         (2)(a)  The salary for each position not specifically

17  indicated in the appropriations acts shall be as provided in

18  one of the following subparagraphs:

19         1.  Within the classification and pay plans provided

20  for in chapter 110.

21         2.  Within the classification and pay plans established

22  by the Board of Trustees for the Florida School for the Deaf

23  and the Blind of the Department of Education and approved by

24  the State Board of Education for academic and academic

25  administrative personnel.

26         3.  Within the classification and pay plan approved and

27  administered by the Board of Regents for those positions in

28  the State University System.

29         4.  Within the classification and pay plan approved by

30  the President of the Senate and the Speaker of the House of

31

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  1  Representatives, or by the Legislative Auditing Committee, as

  2  the case may be, for employees of the Legislature.

  3         5.  Within the approved classification and pay plan for

  4  the judicial branch.

  5         6.  The salary of all positions not specifically

  6  included in this subsection shall be set by the commission or

  7  by the Chief Justice for the judicial branch.

  8         Section 33.  Paragraphs (a), (b), and (f) of subsection

  9  (1) of section 216.262, Florida Statutes, are amended to read:

10         216.262  Authorized positions.--

11         (1)(a)  Unless otherwise expressly provided by law, the

12  total number of authorized positions may not exceed the total

13  provided in the appropriations acts.  In the event any state

14  agency or entity of the judicial branch finds that the number

15  of positions so provided is not sufficient to administer its

16  authorized programs, it may file an application with the

17  Executive Office of the Governor or the Chief Justice; and, if

18  the office or Chief Justice certifies that there are no

19  authorized positions available for addition, deletion, or

20  transfer within the agency as provided in paragraph (c) and

21  recommends an increase in the number of positions, the

22  Governor commission or the Chief Justice may, after a public

23  hearing, authorize an increase in the number of positions for

24  the following reasons only:

25         1.  To implement or provide for continuing federal

26  grants or changes in grants not previously anticipated;

27         2.  To meet emergencies pursuant to s. 252.36;

28         3.  To satisfy new federal regulations or changes

29  therein;

30

31

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  1         4.  To take advantage of opportunities to reduce

  2  operating expenditures or to increase the revenues of the

  3  state or local government; and

  4         5.  To authorize positions which were not fixed by the

  5  Legislature through error in drafting the appropriations acts.

  6

  7  The provisions of this paragraph are subject to the notice and

  8  review procedures set forth in s. 216.177.  A copy of the

  9  application, the certification, and the final authorization

10  shall be filed with the Legislative Budget Commission

11  appropriations committees and with the Auditor General.

12         (b)  The Governor Administration Commission and the

13  Chief Justice may, after a public hearing, delete supervisory

14  or managerial positions within a department and establish

15  direct service delivery positions in excess of the number of

16  supervisory or managerial positions deleted.  The salary rate

17  for all positions authorized under this paragraph may not

18  exceed the salary rate for all positions deleted under this

19  paragraph. Positions affected by changes made under this

20  paragraph may be funded only from identical funding sources.

21         (f)  Perquisites may not be furnished by a state agency

22  or by the judicial branch unless approved by the Department of

23  Management Services, or otherwise delegated to the agency

24  head, or by the Chief Justice, respectively, during each

25  fiscal year. Whenever a state agency or the judicial branch is

26  to furnish perquisites, the Department of Management Services

27  or the agency head to which the approval has been delegated or

28  the Chief Justice, respectively, must approve the kind and

29  monetary value of such perquisites before they may be

30  furnished. Perquisites may be furnished only when in the best

31  interest of the state due to the exceptional or unique

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  1  requirements of the position. The value of a perquisite may

  2  not be used to compute an employee's base rate of pay or

  3  regular rate of pay unless required by the Fair Labor

  4  Standards Act. Permissible perquisites include, but are not

  5  limited to, moving expenses, clothing, use of vehicles and

  6  other transportation, domestic services, groundskeeping

  7  services, telephone services, medical services, housing,

  8  utilities, and meals. The Department of Management Services

  9  may adopt uniform rules applicable to the executive branch

10  agencies to implement its responsibilities under this

11  paragraph, which rules may specify additional perquisites,

12  establish additional criteria for each kind of perquisite,

13  provide the procedure to be used by executive agencies in

14  applying for approvals, and establish the required

15  justification. As used in this section, the term "perquisites"

16  means those things, or the use thereof, or services of a kind

17  that confer on the officers or employees receiving them some

18  benefit that is in the nature of additional compensation, or

19  that reduce to some extent the normal personal expenses of the

20  officer or employee receiving them. The term includes, but is

21  not limited to, such things as quarters, subsistence,

22  utilities, laundry services, medical service, use of

23  state-owned vehicles for other than state purposes, and

24  servants paid by the state.

25         Section 34.  Subsection (1) of section 216.271, Florida

26  Statutes, is amended to read:

27         216.271  Revolving funds.--

28         (1)  No revolving fund may be established or increased

29  in amount pursuant to s. 18.101(2), unless approved by the

30  Comptroller.  The purpose and uses of a revolving fund may not

31  be changed without the prior approval of the Comptroller. As

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  1  used in this section, the term "revolving fund" means a cash

  2  fund maintained within or outside the State Treasury and

  3  established from an appropriation, to be used by an agency or

  4  the judicial branch in making authorized expenditures.

  5         Section 35.  Section 216.292, Florida Statutes, is

  6  amended to read:

  7         216.292  Appropriations nontransferable; exceptions.--

  8         (1)(a)  Funds provided in the General Appropriations

  9  Act or as otherwise expressly provided by law shall be

10  expended only for the purpose for which appropriated, except

11  that if deemed necessary such moneys may be transferred as

12  provided in subsections (3) and, (4), and (5) when it is

13  determined to be in the best interest of the state.

14  Appropriations for fixed capital outlay may not be expended

15  for any other purpose, and appropriations may not be

16  transferred between state agencies, or between a state agency

17  and the judicial branch, unless specifically authorized by

18  law.

19         (b)  For the 1998-1999 fiscal year only, The Department

20  of Children and Family Services and the Agency for Health Care

21  Administration may transfer general revenue funds as necessary

22  to comply with any provision of the General Appropriations Act

23  that requires or specifically authorizes the transfer of

24  general revenue funds between these two agencies. This

25  paragraph is repealed on July 1, 1999.

26         (2)  A lump sum appropriated for a performance-based

27  program must be distributed by the Governor for state agencies

28  or the Chief Justice for the judicial branch into the

29  traditional expenditure categories in accordance with s.

30  216.181(6)(b) s. 216.181(5)(b).  At any time during the year,

31  the agency head or Chief Justice may transfer funds between

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  1  those categories with no limit on the amount of the transfer.

  2  Authorized revisions of the original approved operating

  3  budget, together with related changes, if any, must be

  4  transmitted by the state agency or by the judicial branch to

  5  the Executive Office of the Governor or the Chief Justice, the

  6  chair of the Legislative Budget Commission chairs of the

  7  legislative appropriations committees, the Office of Program

  8  Policy Analysis and Government Accountability, and the Auditor

  9  General. Such authorized revisions shall be consistent with

10  the intent of the approved operating budget, shall be

11  consistent with legislative policy and intent, and shall not

12  conflict with specific spending policies specified in the

13  General Appropriations Act. The Executive Office of the

14  Governor shall forward a copy of the revisions within 7

15  working days to the Comptroller for entry in his or her

16  records in the manner and format prescribed by the Executive

17  Office of the Governor in consultation with the Comptroller.

18  Such authorized revisions shall be consistent with the intent

19  of the approved operating budget, shall be consistent with

20  legislative policy and intent, and shall not conflict with

21  specific spending policies specified in the General

22  Appropriations Act. Additionally, subsection (3) shall not

23  apply to programs operating under performance-based program

24  budgeting where a lump sum was appropriated.

25         (3)  The head of each department or the Chief Justice

26  of the Supreme Court, whenever it is deemed necessary by

27  reason of changed conditions, may transfer appropriations

28  funded from identical funding sources, except appropriations

29  for fixed capital outlay, and transfer the amounts included

30  within the total original approved budget and releases as

31  furnished pursuant to ss. 216.181 and 216.192, as follows:

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  1         (a)  Between categories of appropriations within a

  2  budget entity, if no category of appropriation is increased or

  3  decreased by more than 5 percent of the original approved

  4  budget or $150,000 $25,000, whichever is greater, by all

  5  action taken under this subsection.

  6         (b)  Additionally, between budget entities within

  7  identical categories of appropriations, if no category of

  8  appropriation is increased or decreased by more than 5 percent

  9  of the original approved budget or $150,000 $25,000, whichever

10  is greater, by all action taken under this subsection.

11         (c)  Such authorized revisions must be consistent with

12  the intent of the approved operating budget, must be

13  consistent with legislative policy and intent, and must not

14  conflict with specific spending policies specified in the

15  General Appropriations Act.

16

17  Such authorized revisions, together with related changes, if

18  any, in the plan for release of appropriations, shall be

19  transmitted by the state agency or by the judicial branch to

20  the Comptroller for entry in the Comptroller's records in the

21  manner and format prescribed by the Executive Office of the

22  Governor in consultation with the Comptroller.  A copy of such

23  revision shall be furnished to the Executive Office of the

24  Governor or the Chief Justice, the chair of the Legislative

25  Budget Commission chairs of the legislative committees, and

26  the Auditor General.

27         (4)(a)  The head of each department or the Chief

28  Justice of the Supreme Court may transfer funds within

29  programs identified in the General Appropriations Act from

30  identical funding sources between the following appropriation

31  categories without limitation so long as such a transfer does

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  1  not result in an increase to the total recurring general

  2  revenue or trust fund cost of the agency or entity of the

  3  judicial branch in the subsequent fiscal year:  other personal

  4  services, expenses, operating capital outlay,

  5  performance-based program budgeting lump sums, acquisition of

  6  motor vehicles, data processing services, operating and

  7  maintenance of patrol vehicles, overtime payments, salary

  8  incentive payments, compensation to retired judges, law

  9  libraries, and juror and witness payments. Such transfers must

10  be consistent with legislative policy and intent and must not

11  adversely affect achievement of approved performance outcomes

12  or outputs in any program.  Notice of proposed transfers under

13  this authority shall be provided to the Executive Office of

14  the Governor and the chairs of the legislative appropriations

15  committees at least 5 working days prior to their

16  implementation.

17         (b)  The head of each department or the Chief Justice

18  of the Supreme Court may transfer funds from identical funding

19  sources between salaries and benefits appropriation categories

20  within programs identified in the General Appropriations Act.

21  Such transfers must be consistent with legislative policy and

22  intent and must not adversely affect achievement of approved

23  performance outcomes or outputs in any program. Notice of

24  proposed transfers under this authority shall be provided to

25  the Executive Office of the Governor and the chairs of the

26  legislative appropriations committees at least 5 working days

27  prior to their implementation.

28         (4)  The head of each department or the Chief Justice

29  of the Supreme Court, whenever it is deemed necessary by

30  reason of changed conditions, may transfer funds, positions,

31  and salary rate within and between program budget entities

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  1  with performance-based program appropriations as defined in s.

  2  216.011(1)(xx). Such transfers may include appropriations from

  3  any operating category, except appropriations for fixed

  4  capital outlay. However, the total program funds, positions,

  5  and salary rate shall not be increased or decreased by more

  6  than 5 percent by all action taken under this section.

  7  Authorized revisions of the original approved operating

  8  budget, together with related changes, if any, must be

  9  transmitted by the state agency or by the judicial branch to

10  the Executive Office of the Governor or the Chief Justice, the

11  chairs of the legislative appropriations committees, the

12  Office of Program Policy Analysis and Government

13  Accountability, and the Auditor General. Such authorized

14  revisions shall be consistent with legislative policy and

15  intent and shall not conflict with specific spending policies

16  specified in the General Appropriations Act. The Executive

17  Office of the Governor shall forward a copy of the revisions

18  within 7 working days to the Comptroller for entry in his or

19  her records in the manner and format prescribed by the

20  Executive Office of the Governor in consultation with the

21  Comptroller.

22         (5)(a)  Transfers of appropriations for operations from

23  the General Revenue Fund in excess of those provided in

24  subsections (3) and (4) but within a state agency or within

25  the judicial branch may be authorized by the commission for

26  the executive branch and the Chief Justice for the judicial

27  branch, pursuant to the request of the agency filed with the

28  Executive Office of the Governor, or pursuant to the request

29  of an entity of the judicial branch filed with the Chief

30  Justice of the Supreme Court, if deemed necessary and in the

31  best interest of the state and consistent with legislative

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  1  policy and intent.  The provisions of this paragraph are

  2  subject to the notice, review, and objection procedures set

  3  forth in s. 216.177.

  4         (b)  When an appropriation for a named fixed capital

  5  outlay project is found to be in excess of that needed to

  6  complete that project, at the request of the Executive Office

  7  of the Governor for state agencies or the Chief Justice of the

  8  Supreme Court for the judicial branch the excess may be

  9  transferred, with the approval of the commission or the Chief

10  Justice, to another project for which there has been an

11  appropriation in the same fiscal year from the same fund and

12  within the same department where a deficiency is found to

13  exist.  Further, a fixed capital outlay project may not be

14  initiated without a specific legislative appropriation, nor

15  may the scope of a fixed capital outlay project be changed by

16  the transfer of funds.  The provisions of this paragraph are

17  subject to the notice, review, and objection procedures set

18  forth in s. 216.177.

19         (c)  Federal funds for fixed capital outlay projects

20  for the Department of Military Affairs which do not carry a

21  continuing commitment on future appropriations by the

22  Legislature may be approved by the Executive Office of the

23  Governor for the purpose received. The provisions of this

24  paragraph are subject to the notice, review, and objection

25  procedures set forth in s. 216.177.

26         (6)  Upon request of a department to, and approval by,

27  the Comptroller, funds appropriated may be transferred to

28  accounts established for disbursement purposes upon release of

29  such appropriation.  Such transfer may only be made to the

30  same appropriation category and the same funding source from

31  which the funds are transferred.

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  1         (7)  Any transfers from the Working Capital Fund to the

  2  General Revenue Fund may be approved provided such transfers

  3  were identified or contemplated by the Legislature in the

  4  original approved budget.

  5         (8)(a)  Should any state agency or the judicial branch

  6  become more than 90 days delinquent on reimbursements due to

  7  the Unemployment Compensation Trust Fund, the Department of

  8  Labor and Employment Security shall certify to the Comptroller

  9  the amount due; and the Comptroller shall transfer the amount

10  due to the Unemployment Compensation Trust Fund from any funds

11  of the agency available. (b)  Should any state agency or the

12  judicial branch become more than 90 days delinquent in paying

13  the Division of Risk Management of the Department of Insurance

14  for insurance coverage, the Department of Insurance may

15  certify to the Comptroller the amount due; and the Comptroller

16  shall transfer the amount due to the Division of Risk

17  Management from any funds of the agency or the judicial branch

18  available.

19         (9)  Moneys appropriated in the General Appropriations

20  Act for the purpose of paying for services provided by the

21  state communications system in the Department of Management

22  Services shall be paid by the user agencies, or the judicial

23  branch, within 45 days after the billing date.  Billed amounts

24  not paid by the user agencies, or by the judicial branch,

25  shall be transferred by the Comptroller from the user agencies

26  to the Communications Working Capital Trust Fund.

27         (10)  The Comptroller shall report all such transfers

28  and the reasons for such transfers to the legislative

29  appropriations committees and the Executive Office of the

30  Governor.

31

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  1         (11)  Where any reorganization has been authorized by

  2  the Legislature and the necessary adjustments of

  3  appropriations and positions have not been provided in the

  4  General Appropriations Act, the Legislative Budget

  5  Administration Commission may approve, consistent with

  6  legislative policy and intent, the necessary transfers to

  7  accomplish the purposes of such reorganization within state

  8  agencies.  The Chief Justice of the Supreme Court may approve

  9  such transfers for the judicial branch.

10         Section 36.  Section 216.321, Florida Statutes, is

11  amended to read:

12         216.321  Construction of chapter 216 as unauthorized

13  expenditures and disbursements.--Nothing contained in any

14  agency legislative budget or operating budget shall be

15  construed to be an administrative or legislative construction

16  affirming the existence then of the lawful authority to make

17  an expenditure or disbursement for any purpose not otherwise

18  authorized by laws of the particular agency, judicial branch,

19  or legislative branch and the general laws relating to the

20  expenditure or disbursement of public funds.

21         Section 37.  Subsection (11) is added to section 11.45,

22  Florida Statutes, to read:

23         11.45  Definitions; duties; audits; reports.--

24         (11)  In addition to any other provision of law

25  granting access to records and accounts, the Auditor General

26  may, pursuant to his or her own authority granted in this

27  subsection or at the direction of the Legislative Auditing

28  Committee, conduct audits of any direct-support organization

29  or citizen-support organization authorized by law. Independent

30  audits of direct-support organizations and citizen-support

31  organizations conducted by certified public accountants shall

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  1  be performed in accordance with rules adopted by the Auditor

  2  General.

  3         Section 38.  Section 11.90, Florida Statutes, is

  4  created to read:

  5         11.90  Legislative Budgeting Commission.--

  6         (1)  There is created a standing joint committee of the

  7  Legislature designated the Legislative Budgeting Commission,

  8  composed of 14 members as follows:  7 members of the Senate

  9  appointed by the President of the Senate, to include the

10  Chairman of the Senate Budget Committee or its successor, and

11  7 members of the House of Representatives appointed by the

12  Speaker of the House of Representatives, to include the

13  Chairman of the Fiscal Responsibility Council or its

14  successor. The terms of members shall be for 2 years and shall

15  run from the organization of one Legislature to the

16  organization of the next Legislature. Vacancies occurring

17  during the interim period shall be filled in the same manner

18  as the original appointment.  The members of the committee

19  shall elect a chair and vice chair. During the 2-year term, a

20  member of each house shall serve as chair for 1 year.

21         (2)  The Legislative Budget Commission shall be

22  governed by joint rules of the Senate and the House of

23  Representatives which shall remain in effect until repealed or

24  amended by concurrent resolution.

25         (3)  The commission shall meet at least quarterly and

26  more frequently at the direction of the presiding officers or

27  upon call of the chairman. A quorum shall consist of a

28  majority of members from each house, plus one additional

29  member from either house.

30         (4)  The commission may conduct its meetings through

31  teleconferences or other similar means.

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  1         Section 39.  Subsection (2) of section 120.65, Florida

  2  Statutes, is amended to read:

  3         120.65  Administrative law judges.--

  4         (2)  The director has the right to appeal actions by

  5  the Executive Office of the Governor that affect amendments to

  6  the division's approved operating budget or any personnel

  7  actions pursuant to chapter 216 to the Administration

  8  Commission, which shall decide such issue by majority vote.

  9  The appropriations committees may advise the Administration

10  Commission on the issue. If the President of the Senate and

11  the Speaker of the House of Representatives object in writing

12  to the effects of the appeal, the appeal may be affirmed by

13  the affirmative vote of two-thirds of the commission members

14  present. The failure of the Executive Office of the Governor

15  to act on a request for action by the director within 21 days

16  after receiving a written request constitutes approval of the

17  request.

18         Section 40.  Subsection (3) of section 121.031, Florida

19  Statutes, is amended to read:

20         121.031  Administration of system; appropriation;

21  oaths; actuarial studies; public records.--

22         (3)  The administrator shall cause an actuarial study

23  of the system to be made at least once every 2 years and shall

24  report the results of such study to the Legislature by

25  February 1 prior to the next legislative session.

26         (a)  The study shall, at a minimum, conform to the

27  requirements of s. 112.63, with the following exceptions and

28  additions:

29         (a)1.  The valuation of plan assets shall be based on a

30  5-year averaging methodology such as that specified in the

31  United States Department of Treasury Regulations, 26 C.F.R. s.

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  1  1.412(c)(2)-1, or a similar accepted approach designed to

  2  attenuate fluctuations in asset values.

  3         (b)2.  The study shall include a narrative explaining

  4  the changes in the covered group over the period between

  5  actuarial valuations and the impact of those changes on

  6  actuarial results.

  7         (c)3.  When substantial changes in actuarial

  8  assumptions have been made, the study shall reflect the

  9  results of an actuarial assumption as of the current date

10  based on the assumptions utilized in the prior actuarial

11  report.

12         (d)4.  The study shall include an analysis of the

13  changes in actuarial valuation results by the factors

14  generating those changes.  Such analysis shall reconcile the

15  current actuarial valuation results with those results from

16  the prior valuation.

17         (e)5.  The study shall include measures of funding

18  status and funding progress designed to facilitate the

19  assessment of trends over several actuarial valuations with

20  respect to the overall solvency of the system. Such measures

21  shall be adopted by the division and shall be used

22  consistently in all actuarial valuations performed on the

23  system.

24         (b)  The Florida Retirement System Actuarial Assumption

25  Conference which is hereby created shall by consensus develop

26  official information with respect to the economic and

27  noneconomic assumptions and funding methods of the Florida

28  Retirement System necessary to perform the study. Such

29  information shall include: an analysis of the actuarial

30  assumptions and actuarial methods and a determination of

31  whether changes to the assumptions or methods need to be made

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  1  due to experience changes or revised future forecasts. The

  2  members of the conference shall include the Executive Office

  3  of the Governor, the coordinator of the Office of Economic and

  4  Demographic Research, and professional staff of the Senate and

  5  House of Representatives who have forecasting expertise, or

  6  their designees.  The Executive Office of the Governor shall

  7  have the responsibility of presiding over the sessions of the

  8  conference.  The State Board of Administration and the

  9  Division of Retirement shall be participants, as defined in s.

10  216.134, in the conference.

11         Section 41.  Subsection (2) of section 186.002, Florida

12  Statutes, is amended to read:

13         186.002  Findings and intent.--

14         (2)  It is the intent of the Legislature that:

15         (a)  The state planning process provide direction for

16  the delivery of governmental services, a means for defining

17  and achieving the specific goals and objectives of the state,

18  and a method for evaluating the accomplishment of those goals

19  and objectives.

20         (b)  The state comprehensive plan shall provide basic

21  policy direction to all levels of government regarding the

22  orderly social, economic, and physical growth of the state.

23         (c)  Long-range program State agency strategic plans

24  shall be effectively coordinated to ensure the establishment

25  of appropriate agency priorities and facilitate the orderly,

26  positive management of agency activities consistent with the

27  public interest.  It is also intended that the implementation

28  of state and regional plans enhance the quality of life of the

29  citizens of the state.

30         (d)  The state planning process shall be informed and

31  guided by the experience of public officials at all levels of

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  1  government.  In preparing any plans or proposed revisions or

  2  amendments required by this chapter, the Governor shall

  3  consider the experience of and information provided by local

  4  governments in their evaluation and appraisal reports pursuant

  5  to s. 163.3191.

  6         (e)  All agencies and levels of government involved in

  7  the integrated planning process shall provide sufficient

  8  opportunities for meaningful public participation in the

  9  preparation, implementation, evaluation, and revision of all

10  plans and programs.

11         Section 42.  Section 186.003, Florida Statutes, is

12  amended to read:

13         186.003  Definitions.--As used in ss. 186.001-186.031

14  and 186.801-186.901, the term:

15         (1)  "Executive Office of the Governor" means the

16  Office of Planning and Budgeting of the Executive Office of

17  the Governor.

18         (2)  "Goal" means the long-term end toward which

19  programs and activities are ultimately directed.

20         (3)  "Objective" means a specific, measurable,

21  intermediate end that is achievable and marks progress toward

22  a goal.

23         (4)  "Policy" means the way in which programs and

24  activities are conducted to achieve an identified goal.

25         (5)  "Regional planning agency" means the regional

26  planning council created pursuant to ss. 186.501-186.515 to

27  exercise responsibilities under ss. 186.001-186.031 and

28  186.801-186.901 in a particular region of the state.

29         (6)  "State agency" or "agency" means any official,

30  officer, commission, board, authority, council, committee, or

31  department of the executive branch of state government. For

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  1  purposes of this chapter, "state agency" or "agency" includes

  2  state attorneys, public defenders, the Capital Collateral

  3  Regional Counsels, the Justice Administrative Commission, and

  4  the Public Service Commission. each executive department, the

  5  Fish and Wildlife Conservation Commission, the Parole

  6  Commission, and the Department of Military Affairs.

  7         (7)  "State agency strategic plan" means the statement

  8  of priority directions that an agency will take to carry out

  9  its mission within the context of the state comprehensive plan

10  and within the context of any other statutory mandates and

11  authorizations given to the agency, pursuant to ss.

12  186.021-186.022.

13         (7)(8)  "State comprehensive plan" means the state

14  planning document required in s. 19, Art. III of the State

15  Constitution and published as ss. 187.101 and 187.201.

16         Section 43.  Section 186.021, Florida Statutes, is

17  amended to read:

18         186.021  Long-range program State agency strategic

19  plans.--Pursuant to s. 216.013, each state agency shall

20  develop a long-range program plan on an annual basis. The plan

21  shall provide the framework and context for designing and

22  interpreting the agency budget request. The plan will be

23  developed through careful examination and justification of

24  programs, services, and activities and their associated costs.

25  It shall be used by the agency to implement the state's goals

26  and objectives. Indicators shall be developed to measure

27  service and activity performance.

28         (1)  A state agency strategic plan shall be a statement

29  of the priority directions an agency will take to carry out

30  its mission within the context of the state comprehensive plan

31  and any other statutory mandates and authorizations given to

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  1  the agency. Each state agency strategic plan must identify

  2  infrastructure needs, capital improvement needs, and

  3  information resources management projects or initiatives that

  4  involve more than one agency, that have an outcome that

  5  impacts another agency, or that exceed $500,000 in total cost

  6  over a 1-year period, except for those projects that are a

  7  continuation of hardware or software maintenance or software

  8  licensing agreements, or that are for desktop replacement that

  9  is similar to the technology currently in use. Each agency

10  strategic plan shall specify those objectives against which

11  will be judged the agency's achievement of its goals and the

12  goals of the state comprehensive plan. The state agency

13  strategic plan shall be consistent with and shall further the

14  goals of the state comprehensive plan.

15         (2)  A state agency strategic plan shall be developed

16  with a 5-year outlook and shall provide the strategic

17  framework within which an agency's legislative budget request

18  is developed.  An agency's budget shall be designed to further

19  the agency's strategic plan.

20         (3)  All amendments, revisions, or updates to a state

21  agency strategic plan shall be prepared in the same manner as

22  the original and shall be prepared as needed because of

23  changes in the state comprehensive plan or changes in the

24  statutory authority and responsibility of the agency.

25         (4)  The Department of Environmental Protection, with

26  regard to the plan required by s. 373.036, and the state land

27  planning agency, with regard to the plan defined in s.

28  380.031(17), shall prepare revisions to such plans no later

29  than 6 months after the adoption of revisions to the growth

30  management portion of the state comprehensive plan or by June

31  1 of each even-numbered year, whichever is later.

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  1         (5)  Notwithstanding the provisions of this section and

  2  ss. 186.009 and 186.022, the short-range component of the

  3  Florida Transportation Plan and annual performance report

  4  developed pursuant to s. 339.155 shall serve as the state

  5  agency strategic plan and annual performance report for the

  6  Department of Transportation.

  7         Section 44.  Section 186.022, Florida Statutes, is

  8  amended to read:

  9         186.022  Information resource State agency strategic

10  plans; preparation, form, and review.--

11         (1)  Beginning in 1992, 3 months prior to the annual

12  submission of its final agency legislative budget request

13  pursuant to s. 216.023(1), each state agency shall prepare and

14  submit its agency strategic plan to the Executive Office of

15  the Governor. Prior to the submission of its agency strategic

16  plan to the Governor, each agency shall hold public workshops

17  on the proposed agency strategic plan, and shall allow at

18  least a 21-day period for public comment.  At a minimum,

19  adequate public notice must be assured by publication of

20  notice of the hearing and comment period in the Florida

21  Administrative Weekly.  Public participation must be further

22  encouraged through procedures and instructions.

23         (2)  Each agency strategic plan must be in a form and

24  manner prescribed in written instructions prepared by the

25  Executive Office of the Governor after consultation with the

26  President of the Senate and the Speaker of the House of

27  Representatives.  Each agency strategic plan must identify the

28  specific legislative authority necessary to implement the

29  provisions of the plan.  An agency may only implement those

30  portions of its strategic plan that are consistent with

31  existing statutory or constitutional authority and for which

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  1  funding, if needed, is available consistent with the

  2  provisions of chapter 216.  An agency's budget request

  3  prescribed in s. 216.023(1) shall identify the financial

  4  resources necessary to further the provisions of the agency's

  5  strategic plan. Performance measures, as defined in s. 216.011

  6  and proposed by the agency pursuant to s. 216.0166(1), must be

  7  consistent with the objectives in the draft agency strategic

  8  plan and shall represent 1-year implementation efforts

  9  necessary to meet the 5-year agency strategic plan objectives.

10  State agency strategic plans shall be amended by the agency,

11  as necessary, to ensure consistency with the legislative

12  actions prior to the effective date of the agency strategic

13  plan.

14         (3)  The Executive Office of the Governor shall review

15  the state agency strategic plans to ensure that they are

16  consistent with the state comprehensive plan and other

17  requirements as specified in the written instructions. In its

18  review, the Executive Office of the Governor shall consider

19  all comments received in formulating required revisions. This

20  shall include:

21         (a)  The findings of the Technology Review Workgroup as

22  to the consistency of the information resources management

23  portion of agency strategic plans with the State Annual Report

24  on Information Resources Management and statewide policies

25  recommended by the State Technology Council; and 

26         (b)  The findings and recommendations of the Criminal

27  and Juvenile Justice Information Systems Council's review with

28  respect to public safety system strategic information

29  resources management issues.

30

31

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  1  Within 60 days, reviewed plans shall be returned to the

  2  agency, together with any required revisions. However, any

  3  required revisions relating to information resources

  4  management needs identified in the agency strategic plans are

  5  subject to the notice and review procedures set forth in s.

  6  216.177 and must be approved by the Administration Commission

  7  for the executive branch and the Chief Justice for the

  8  judicial branch.

  9         (4)  The state agency shall, within 30 days of the

10  return of its state agency strategic plan, incorporate all

11  revisions required by the Governor, or shall petition the

12  Administration Commission to resolve any disputes regarding

13  the consistency of the state agency strategic plan or the

14  revisions recommended by the Governor with the state

15  comprehensive plan or the written instructions.  The

16  Administration Commission shall resolve any disputes within 60

17  days of the petition.

18         (5)  Any differences between state agencies regarding

19  the programs, policies, or strategic plans of such agencies

20  shall be mediated by the Executive Office of the Governor.

21         (6)  Each agency shall transmit copies of its strategic

22  plan and all written comments on its plan to the President of

23  the Senate and the Speaker of the House of Representatives not

24  later than 30 days prior to the next regular session of the

25  Legislature.

26         (7)  Agency strategic plans developed pursuant to this

27  chapter are not rules and therefore are not subject to the

28  provisions of chapter 120.

29         (8)  Each agency shall submit by September 1 of each

30  year an annual performance report to the Executive Office of

31  the Governor, with copies to the President of the Senate, the

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  1  Speaker of the House of Representatives, the Auditor General,

  2  and the Office of Program Policy Analysis and Government

  3  Accountability. The purpose of this report is to evaluate the

  4  attainment of the agency objectives in the agency strategic

  5  plan and the performance measures approved by the Legislature

  6  pursuant to s. 216.0166(3) and established in the General

  7  Appropriations Act or implementing legislation for the General

  8  Appropriations Act for the previous fiscal year. In addition,

  9  each state agency must include a one-page summary of all

10  moneys that were expended or encumbered by the agency, or for

11  which the agency was otherwise responsible, during the

12  preceding fiscal year and an estimate of such moneys projected

13  by the agency for the current fiscal year. All such

14  expenditures and estimates of such expenditures must be

15  divided by program and expressed in line items by unit costs

16  for each output measure approved pursuant to s. 216.0166(3)

17  for those agencies and programs operating under

18  performance-based program budgeting and for major services and

19  products for those agencies and programs operating under

20  traditional line-item budgeting. Unit cost totals must equal

21  the total amount of moneys that were expended or projected to

22  be expended by each agency and must include expenditures or

23  projected expenditures of state funds by subordinate

24  governmental entities and contractors, as applicable. Moneys

25  that agencies receive but are not responsible for, such as

26  reversions or pass-throughs to entities over which the agency

27  has no authority or responsibility, shall be shown in separate

28  line items and expressed in total amounts only. At the regular

29  session immediately following the submission of the agency

30  performance report, the Legislature shall reduce in the

31  General Appropriations Act for the ensuing fiscal year, by an

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  1  amount equal to at least 10 percent of the allocation for the

  2  fiscal year preceding the current fiscal year, the funding of

  3  each state agency that fails to submit the report required by

  4  this subsection. All reports must be submitted in the form and

  5  manner prescribed by the instructions prepared pursuant to

  6  subsection (2) and s. 216.0235(3).

  7         (9)  By June March 1 of each year, the Geographic

  8  Information Board, the Financial Management Information Board,

  9  the Criminal and Juvenile Justice Information Systems Council,

10  and the Health Information Systems Council shall each develop

11  and submit an information resource a strategic plan to the

12  Executive Office of the Governor in a form and manner

13  prescribed in written instructions prepared by the Executive

14  Office of the Governor in consultation with the legislative

15  appropriation committees. The Executive Office of the Governor

16  shall review the strategic plan and may provide comments

17  within 30 days. In its review, the Executive Office of the

18  Governor shall consider all comments and findings of the

19  Technology Review Workgroup as to whether the plan is

20  consistent with the State Annual Report on Information

21  Resources Management and statewide policies recommended by the

22  State Technology Council. If revisions are required, boards

23  and councils have 30 days to incorporate those revisions and

24  return the plan to the Executive Office of the Governor.

25  following the general statutory requirements that are

26  applicable to agencies pursuant to s. 186.021(1), (2), and

27  (3).  The strategic plan shall be subject to the requirements,

28  and the review and approval processes, set forth in

29  subsections (2) through (8), with the following exceptions:

30         (a)  The Executive Office of the Governor, after

31  consultation with the President of the Senate and the Speaker

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  1  of the House of Representatives, may prescribe a specific

  2  format and content for the strategic plans of coordinating

  3  boards and councils.

  4         (b)  The time periods for review and return of any

  5  required strategic plan revisions, incorporation of such

  6  revisions by the boards or councils, and resolution of

  7  disputes shall be established by the Executive Office of the

  8  Governor, after consultation with the President of the Senate

  9  and the Speaker of the House of Representatives.

10         Section 45.  Subsection (1) of section 186.901, Florida

11  Statutes, is amended to read:

12         186.901  Population census determination.--

13         (1)  The Office of Economic and Demographic Research

14  shall annually provide to the Executive Office of the

15  Governor, either through its own resources or by contract,

16  shall produce population estimates of local governmental units

17  as of April 1 of each year, utilizing accepted statistical

18  practices. The population of local governments provided by the

19  Office of Economic and Demographic Research, as determined by

20  the Executive Office of the Governor, shall apply to any

21  revenue-sharing formula with local governments under the

22  provisions of ss. 218.20-218.26, part II of chapter 218. The

23  Office of Economic and Demographic Research shall additionally

24  provide the Executive Office of the Governor population

25  estimates for municipal annexations or consolidations

26  occurring during the period April 1 through February 28, and

27  the Executive Office of the Governor shall determine the

28  population count of the annexed areas as of April 1 and

29  include these estimates such in its certification to the

30  Department of Revenue for the annual revenue-sharing

31  calculation.

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  1         Section 46.  Section 215.18, Florida Statutes, is

  2  amended to read:

  3         215.18  Transfers between funds; limitation.--Whenever

  4  there exists in any fund provided for by s. 215.32 a

  5  deficiency which would render such fund insufficient to meet

  6  its just requirements, and there shall exist in the other

  7  funds in the State Treasury moneys which are for the time

  8  being or otherwise in excess of the amounts necessary to meet

  9  the just requirements of such last-mentioned funds, the

10  Administration Commission, with the concurrence of the

11  Governor, may order a temporary transfer of moneys from one

12  fund to another in order to meet temporary deficiencies in a

13  particular fund without resorting to the necessity of

14  borrowing money and paying interest thereon. The fund from

15  which any money is temporarily transferred shall be repaid the

16  amount transferred from it not later than the end of the

17  fiscal year in which such transfer is made, the date of

18  repayment to be specified in the order of the Governor

19  Administration Commission.

20         Section 47.  Subsection (1) of section 215.22, Florida

21  Statutes, is amended to read:

22         215.22  Certain income and certain trust funds

23  exempt.--

24         (1)  The following income of a revenue nature or the

25  following trust funds shall be exempt from the deduction

26  required by s. 215.20(1):

27         (a)  Student financial aid or prepaid tuition receipts.

28         (b)  Trust funds administered by the Department of the

29  Lottery.

30         (c)  Departmental administrative assessments for

31  administrative divisions.

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  1         (d)  Funds charged by a state agency for services

  2  provided to another state agency, by a state agency for

  3  services provided to the judicial branch, or by the judicial

  4  branch for services provided to a state agency.

  5         (e)  State, agency, or political subdivision

  6  investments by the Treasurer.

  7         (f)  Retirement or employee benefit funds.

  8         (g)  Self-insurance programs administered by the

  9  Treasurer.

10         (h)  Funds held for the payment of citrus canker

11  eradication and compensation.

12         (i)  Medicaid, Medicare, or third-party receipts for

13  client custodial care.

14         (j)  Bond proceeds or revenues dedicated for bond

15  repayment, except for the Documentary Stamp Clearing Trust

16  Fund administered by the Department of Revenue.

17         (k)  Trust funds administered by the Department of

18  Education.

19         (l)  Trust funds administered by the Department of

20  Transportation.

21         (m)  Trust funds administered by the Department of

22  Agriculture and Consumer Services.

23         (n)  The Motor Vehicle License Clearing Trust Fund.

24         (o)  The Solid Waste Management Trust Fund.

25         (p)  The Coconut Grove Playhouse Trust Fund.

26         (q)  The Communications Working Capital Trust Fund of

27  the Department of Management Services.

28         (r)  The Camp Blanding Management Trust Fund.

29         (s)  The Indigent Criminal Defense Trust Fund.

30

31

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  1         (t)  That portion of the Highway Safety Operating Trust

  2  Fund funded by the motorcycle safety education fee collected

  3  pursuant to s. 320.08(1)(d).

  4         (u)  The Save the Manatee Trust Fund.

  5         (v)  Tobacco Settlement Trust Funds administered by any

  6  agency.

  7         Section 48.  Paragraph (b) of subsection (2) of section

  8  215.32, Florida Statutes, is amended to read:

  9         215.32  State funds; segregation.--

10         (2)  The source and use of each of these funds shall be

11  as follows:

12         (b)1.  The trust funds shall consist of moneys received

13  by the state which under law or under trust agreement are

14  segregated for a purpose authorized by law.  The state agency

15  or branch of state government receiving or collecting such

16  moneys shall be responsible for their proper expenditure as

17  provided by law.  Upon the request of the state agency or

18  branch of state government responsible for the administration

19  of the trust fund, the Comptroller may establish accounts

20  within the trust fund at a level considered necessary for

21  proper accountability. Once an account is established within a

22  trust fund, the Comptroller may authorize payment from that

23  account only upon determining that there is sufficient cash

24  and releases at the level of the account.

25         2.  In order to maintain a minimum number of trust

26  funds in the State Treasury, each state agency or the judicial

27  branch may consolidate, if permitted under the terms and

28  conditions of their receipt, the trust funds administered by

29  it; provided, however, the agency or judicial branch employs

30  effectively a uniform system of accounts sufficient to

31  preserve the integrity of such trust funds; and provided,

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  1  further, that consolidation of trust funds is approved by the

  2  Governor Administration Commission or the Chief Justice.

  3         3.  All such moneys are hereby appropriated to be

  4  expended in accordance with the law or trust agreement under

  5  which they were received, subject always to the provisions of

  6  chapter 216 relating to the appropriation of funds and to the

  7  applicable laws relating to the deposit or expenditure of

  8  moneys in the State Treasury.

  9         4.a.  Notwithstanding any provision of law restricting

10  the use of trust funds to specific purposes, unappropriated

11  cash balances from selected trust funds may be authorized by

12  the Legislature for transfer to the Budget Stabilization Fund

13  and Working Capital Fund in the General Appropriations Act.

14         b.  This subparagraph does not apply to trust funds

15  required by federal programs or mandates; trust funds

16  established for bond covenants, indentures, or resolutions

17  whose revenues are legally pledged by the state or public body

18  to meet debt service or other financial requirements of any

19  debt obligations of the state or any public body; the State

20  Transportation Trust Fund; the trust fund containing the net

21  annual proceeds from the Florida Education Lotteries; the

22  Florida Retirement Trust Fund; trust funds under the

23  management of the Board of Regents, where such trust funds are

24  for auxiliary enterprises, self-insurance, and contracts,

25  grants, and donations, as those terms are defined by general

26  law; trust funds that serve as clearing funds or accounts for

27  the Comptroller or state agencies; trust funds that account

28  for assets held by the state in a trustee capacity as an agent

29  or fiduciary for individuals, private organizations, or other

30  governmental units; and other trust funds authorized by the

31  State Constitution.

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  1         Section 49.  Paragraph (f) of subsection (3) of section

  2  240.209, Florida Statutes, is amended to read:

  3         240.209  Board of Regents; powers and duties.--

  4         (3)  The board shall:

  5         (f)  Establish and maintain systemwide personnel

  6  programs for all State University System employees, including

  7  a systemwide personnel classification and pay plan,

  8  notwithstanding provisions of law that grant authority to the

  9  Department of Management Services over such programs for state

10  employees.  The board shall consult with the legislative

11  appropriations committees regarding any major policy changes

12  related to classification and pay which are in conflict with

13  those policies in effect for career service employees with

14  similar job classifications and responsibilities. The board

15  may adopt rules delegating its authority to the Chancellor or

16  the universities. The board shall submit, in a manner

17  prescribed by law, any reports concerning State University

18  System personnel programs as shall be required of the

19  Department of Management Services for other state employees.

20  The Department of Management Services shall retain authority

21  over State University System employees for programs

22  established in ss. 110.116, 110.123, 110.1232, 110.1234,

23  110.1235, and 110.1238 and in chapters 121, 122, and 238.  The

24  board shall adopt only those rules necessary to provide for a

25  coordinated, efficient systemwide program and shall delegate

26  to the universities all authority necessary for implementation

27  of the program consistent with these coordinating rules so

28  adopted and applicable collective bargaining agreements.

29  Notwithstanding the provisions of s. 216.181(7), The salary

30  rate controls for positions in budgets under the Board of

31

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  1  Regents shall separately delineate the general faculty and all

  2  other categories.

  3         Section 50.  Section 240.20941, Florida Statutes, is

  4  amended to read:

  5         240.20941  Vacant faculty positions.--Notwithstanding

  6  the provisions of s. 216.181(8) and (9) s. 216.181(7), (8),

  7  and (9), and pursuant to the provisions of s. 216.351, actions

  8  to reduce positions, rate, or salaries and benefits, excluding

  9  salary lapse calculations, taken by the Legislature or, by the

10  Executive Office of the Governor, or by the Administration

11  Commission which relate specifically to vacant positions, and

12  which are applied on a uniform basis to all state employee

13  positions, may affect the positions within the faculty pay

14  plan approved and administered by the Board of Regents only to

15  the extent that they do so by express reference to this

16  section.

17         Section 51.  Subsection (1) of section 240.279, Florida

18  Statutes, is amended to read:

19         240.279  Working capital trust funds established.--

20         (1)  The Board of Regents, with the approval of the

21  Legislative Budget Administration Commission, is hereby

22  authorized to establish in the State Treasury a working

23  capital trust fund for each of the individual institutions in

24  the university system for the purpose of providing central

25  financing and cost controls for certain general services

26  necessary to the operation of all departments of the

27  respective universities, including the auxiliary enterprises.

28         Section 52.  Section 288.7091, Florida Statutes, is

29  amended to read:

30

31

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  1         288.7091  Duties of the Florida Black Business

  2  Investment Board.--The Florida Black Business Investment Board

  3  shall:

  4         (1)  Establish certification criteria for black

  5  business investment corporations. Certification criteria shall

  6  include administrative capacity, fiduciary controls, and, in

  7  the case of existing black business investment corporations,

  8  solvency and soundness of prior loan decisions;

  9         (2)  Develop a memorandum of understanding with

10  Enterprise Florida, Inc., that outlines a strategy for

11  collaboration with the programs and boards of Enterprise

12  Florida, Inc.;

13         (3)  Include in the criteria for loan decisions,

14  occupational forecasting results set forth in s. 216.136(9) s.

15  216.136(10) which target high growth jobs;

16         (4)  Establish, in communities that are not currently

17  served by an existing black business investment corporation,

18  memoranda of understanding with local financial institutions

19  that will provide loan guarantees for loans to black business

20  enterprises;

21         (5)  Develop memoranda of understanding with the

22  Departments of Labor and Employment Security, Education,

23  Transportation, and Management Services, as well as the State

24  Board of Regents, detailing efforts of common interest and

25  collaborations to expand black business development;

26         (6)  Intensify efforts to increase the number of the

27  black business enterprises in construction and

28  construction-related projects, focusing on federal, state, and

29  local government financed construction projects; and

30         (7)  Annually, prepare a report detailing the

31  performance of each black business investment corporation,

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  1  addressing the number of jobs created and/or retained, success

  2  and failure rates among loan recipients, and the amount of

  3  funds leveraged from other sources.

  4         Section 53.  Paragraph (b) of subsection (5) of section

  5  320.20, Florida Statutes, is amended to read:

  6         320.20  Disposition of license tax moneys.--The revenue

  7  derived from the registration of motor vehicles, including any

  8  delinquent fees and excluding those revenues collected and

  9  distributed under the provisions of s. 320.081, must be

10  distributed monthly, as collected, as follows:

11         (5)

12         (b)  The State Comptroller each month shall deposit in

13  the State Transportation Trust Fund an amount, drawn from

14  other funds in the State Treasury which are not immediately

15  needed or are otherwise in excess of the amount necessary to

16  meet the requirements of the State Treasury, which when added

17  to such remaining revenues each month will equal one-twelfth

18  of the amount of the anticipated annual revenues to be

19  deposited in the State Transportation Trust Fund under

20  paragraph (a) as estimated by the most recent revenue

21  estimating conference held pursuant to s. 216.136(3).  The

22  transfers required hereunder may be suspended by action of the

23  Legislative Budget Administration Commission in the event of a

24  significant shortfall of state revenues.

25         Section 54.  Section 337.023, Florida Statutes, is

26  amended to read:

27         337.023  Sale of building; acceptance of replacement

28  building.--Notwithstanding the provisions of s. 216.292(4)(b)

29  s. 216.292(5)(b), if the department sells a building, the

30  department may accept the construction of a replacement

31  building, in response to a request for proposals, totally or

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  1  partially in lieu of cash, and may do so without a specific

  2  legislative appropriation.  Such action is subject to the

  3  approval of the Executive Office of the Governor, and is

  4  subject to the notice, review, and objection procedures under

  5  s. 216.177.  The replacement building shall be consistent with

  6  the current and projected needs of the department as agreed

  7  upon by the department and the Department of Management

  8  Services.

  9         Section 55.  Paragraph (a) of subsection (2) of section

10  339.135, Florida Statutes, is amended to read:

11         339.135  Work program; legislative budget request;

12  definitions; preparation, adoption, execution, and

13  amendment.--

14         (2)  SUBMISSION OF LEGISLATIVE BUDGET REQUEST AND

15  REQUEST FOR LIST OF ADDITIONAL TRANSPORTATION PROJECTS.--

16         (a)  The department shall file the legislative budget

17  request in the manner required by chapter 216, setting forth

18  the department's proposed revenues and expenditures for

19  operational and fixed capital outlay needs to accomplish the

20  objectives of the department in the ensuing fiscal year.  The

21  right-of-way, construction, preliminary engineering,

22  maintenance, and all grants and aids programs of the

23  department shall be set forth only in program totals.  The

24  legislative budget request must include a balanced 36-month

25  forecast of cash and expenditures and a 5-year finance plan.

26  The legislative budget request shall be amended to conform to

27  the tentative work program. The department may amend its

28  legislative budget request and the tentative work program

29  based on the most recent revenue estimate by the

30  Transportation estimating conference estimate of revenues and

31  the most recent federal aid apportionments.

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  1         Section 56.  Subsection (3) of section 392.69, Florida

  2  Statutes, is amended to read:

  3         392.69  Appropriation, sinking, and maintenance trust

  4  funds; additional powers of the department.--

  5         (3)  In the execution of its public health program

  6  functions, notwithstanding s. 216.292(4)(b) s. 216.292(5)(b),

  7  the department is hereby authorized to use any sums of money

  8  which it may heretofore have saved or which it may hereafter

  9  save from its regular operating appropriation, or use any sums

10  of money acquired by gift or grant, or any sums of money it

11  may acquire by the issuance of revenue certificates of the

12  hospital to match or supplement any state or federal funds, or

13  any moneys received by said department by gift or otherwise,

14  for the construction or maintenance of additional facilities

15  or improvement to existing facilities, as the department deems

16  necessary.

17         Section 57.  Section 216.3491, Florida Statutes, is

18  transferred, renumbered as section 215.97, Florida Statutes,

19  and amended to read:

20         215.97 216.3491  Florida Single Audit Act.--

21         (1)  The purposes of the section are to:

22         (a)  Establish uniform state audit requirements for

23  state financial assistance provided by state agencies to

24  nonstate entities to carry out state projects.

25         (b)  Promote sound financial management, including

26  effective internal controls, with respect to state financial

27  assistance administered by nonstate entities.

28         (c)  Promote audit economy and efficiency by relying to

29  the extent possible on already required audits of federal

30  financial assistance provided to nonstate entities.

31

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  1         (d)  Provide for identification of state financial

  2  assistance transactions in the appropriations act, state

  3  accounting records, and recipient organization records.

  4         (e)  Promote improved coordination and cooperation

  5  within and between affected state agencies providing making

  6  state financial assistance awards and nonstate entities

  7  receiving state assistance awards.

  8         (f)  Ensure, to the maximum extent possible, that state

  9  agencies monitor, use, and followup on audits of state

10  financial assistance provided to nonstate entities.

11         (2)  Definitions; as used in this section, the term:

12         (a)  "Audit threshold" means the amount to use in

13  determining when a state single audit of a nonstate entity

14  shall be conducted in accordance with this section. Each

15  nonstate entity that expends a total amount of state financial

16  assistance awards equal to or in excess of $300,000 in any

17  fiscal year of such nonstate entity shall be required to have

18  a state single audit for such fiscal year in accordance with

19  the requirements of this section. Every 2 years the Auditor

20  General, after consulting with the Executive Office of the

21  Governor, the Comptroller, and all state agencies that provide

22  state financial assistance to nonstate entities, shall review

23  the amount for requiring audits under this section and may

24  adjust such dollar amount consistent with the purpose of this

25  section.

26         (b)  "Auditing standards" means the auditing standards

27  as stated in the rules of the Auditor General as applicable to

28  for-profit organizations, nonprofit organizations, or local

29  governmental entities.

30         (c)  "Catalog of State Financial Assistance" means a

31  comprehensive listing of all major state projects and other

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  1  state projects. The Catalog of State Financial Assistance

  2  shall be issued by the Executive Office of the Governor after

  3  conferring with the Comptroller and all state agencies that

  4  provide state financial assistance to nonstate entities. The

  5  Catalog of State Financial Assistance shall include for each

  6  listed state project: the responsible state agency; standard

  7  state project number identifier; official title; legal

  8  authorization; and description of the state project, including

  9  objectives, restrictions, application and awarding procedures,

10  and other relevant information determined necessary.

11         (d)  "Financial reporting package" means the nonstate

12  entities' financial statements, Schedule of State Financial

13  Assistance, auditor's reports, management letter, auditee's

14  written responses or corrective action plan, correspondence on

15  followup of prior years' corrective actions taken, and such

16  other information determined by the Auditor General to be

17  necessary and consistent with the purposes of this section.

18         (e)  "Federal financial assistance" means financial

19  assistance from federal sources passed through the state and

20  provided to nonstate entities to carry out a federal program.

21  "Federal financial assistance" includes all types of federal

22  assistance as defined in applicable United States Office of

23  Management and Budget circulars.

24         (f)  "For-profit organization" means any organization

25  or sole proprietor individual that received a state award but

26  is not a local governmental entity or a nonprofit

27  organization.

28         (g)  "Independent auditor" means an external state or

29  local government auditor or a certified public accountant who

30  meets the independence standards.

31

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  1         (h)  "Internal control over state projects" means a

  2  process, effected by an entity's management and other

  3  personnel, designed to provide reasonable assurance regarding

  4  the achievement of objectives in the following categories:

  5         1.  Effectiveness and efficiency of operations.

  6         2.  Reliability of financial operations.

  7         3.  Compliance with applicable laws and regulations.

  8         (i)  "Local governmental entity" means a county agency,

  9  municipality, or special district or any other entity (other

10  than a district school board or community college), however

11  styled, which independently exercises any type of governmental

12  function.

13         (j)  "Major state project" means any state project

14  meeting the criteria as stated in the rules of the Executive

15  Office of the Governor. Such criteria shall be established

16  after consultation with the Comptroller and appropriate state

17  agencies that provide make state financial assistance awards

18  and shall consider the amount of state project expenditures or

19  expenses or inherent risks. Each major state project shall be

20  audited in accordance with the requirements of this section.

21         (k)  "Nonprofit organization" means any corporation,

22  trust, association, cooperative, or other organization that:

23         1.  Is operated primarily for scientific, educational

24  service, charitable, or similar purpose in the public

25  interest;

26         2.  Is not organized primarily for profit;

27         3.  Uses net proceeds to maintain, improve, or expand

28  the operations of the organization; and

29         4.  Has no part of its income or profit distributable

30  to its members, directors, or officers.

31

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  1         (l)  "Nonstate entity" means a local governmental

  2  entity, nonprofit organization, or for-profit organization

  3  that receives a state resources award.

  4         (m)  "Recipient" means a nonstate entity that receives

  5  a state financial assistance award directly from a state

  6  awarding agency.

  7         (n)  "Schedule of State Financial Assistance" means a

  8  document prepared in accordance with the rules of the

  9  Comptroller and included in each financial reporting package

10  required by this section.

11         (o)  "State award" means state financial assistance

12  provided to a nonstate entity to carry out a state project.

13         (o)(p)  "State awarding agency" means the state agency

14  that provided state financial assistance to the nonstate

15  entity for purposes of carrying out a state project.

16         (p)(q)  "State financial assistance" means financial

17  assistance from state resources, not including federal

18  financial assistance and state matching, provided to nonstate

19  entities to carry out a state project. "State financial

20  assistance" includes all types of state assistance as stated

21  in the rules of the Executive Office of the Governor

22  established in consultation with the Comptroller and

23  appropriate state agencies that provide state financial

24  assistance make state awards. It includes state financial

25  assistance provided awards made directly by state awarding

26  agencies or indirectly by recipients of state awards or

27  subrecipients. It does not include procurement contracts,

28  under state awards, used to buy goods or services from

29  vendors. Audits of such procurement contracts with vendors are

30  outside of the scope of this section. Also, audits of

31  contracts to operate state-government-owned and

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  1  contractor-operated facilities are excluded from the audit

  2  requirements of this section.

  3         (q)(r)  "State matching" means state resources awards

  4  provided to nonstate entities to be used to meet federal

  5  financial participation matching requirements of federal

  6  programs.

  7         (r)(s)  "State project" means all state financial

  8  assistance awards to a nonstate entity assigned a single state

  9  project number identifier in the Catalog of State Financial

10  Assistance.

11         (s)(t)  "State Projects Compliance Supplement" means a

12  document issued by the Executive Office of the Governor, in

13  consultation with the Comptroller and all state agencies that

14  provide state financial assistance make state awards. The

15  State Projects Compliance Supplement shall identify each major

16  state project and other state projects, the significant

17  compliance requirements, eligibility requirements, matching

18  requirements, suggested audit procedures, and other relevant

19  information determined necessary.

20         (t)(u)  "State project-specific audit" means an audit

21  of a nonstate entity's financial statement of one state

22  project in accordance with the requirements of this section.

23         (u)(v)  "State single audit" means an audit of a

24  nonstate entity's financial statements and state financial

25  assistance awards. Such audits shall be conducted in

26  accordance with the auditing standards as stated in the rules

27  of the Auditor General.

28         (v)(w)  "Subrecipient" means a nonstate entity that

29  receives a state financial assistance award through another

30  nonstate entity, but does not include an individual who

31  receives state financial assistance through such state awards.

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  1         (w)(x)  "Vendor" means a dealer, distributor, merchant,

  2  or other seller providing goods or services that are required

  3  for the conduct of a state project. These goods or services

  4  may be for an organization's own use or for the use of

  5  beneficiaries of the state project.

  6         (3)  The Executive Office of the Governor shall:

  7         (a)  Upon conferring with the Comptroller and all state

  8  awarding agencies that make state awards, adopt rules

  9  necessary to provide appropriate guidance to state awarding

10  agencies, recipients and subrecipients, and independent

11  auditors of state financial assistance relating to the

12  requirements of this section, including:

13         1.  The types or classes of financial assistance

14  considered to be state financial assistance which would be

15  subject to the requirements of this section. This would

16  include guidance to assist in identifying when the state

17  agency or recipient has contracted with a vendor rather than

18  with a recipient or subrecipient.

19         2.  The criteria for identifying a major state project.

20         3.  The criteria for selecting state projects for

21  audits based on inherent risk.

22         (b)  Be responsible for coordinating the initial

23  preparation and subsequent revisions of the Catalog of State

24  Financial Assistance after consultation with the Comptroller

25  and all state awarding agencies that award state financial

26  assistance to nonstate entities.

27         (c)  Be responsible for coordinating the initial

28  preparation and subsequent revisions of the State Projects

29  Compliance Supplement, after consultation with the Comptroller

30  and all state awarding agencies that award state financial

31  assistance to nonstate entities.

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  1         (4)  The Comptroller shall:

  2         (a)  Make enhancements to the state's accounting system

  3  to provide for the:

  4         1.  Recording of state financial assistance and federal

  5  financial assistance appropriations and expenditures as

  6  separate categories within the state awarding agencies'

  7  operating funds.

  8         2.  Recording of state project number identifiers, as

  9  provided in the Catalog of State Financial Assistance, for

10  state financial assistance awards.

11         3.  Establishment and recording of an identification

12  code for each financial transaction, including state agencies'

13  disbursements awards of state financial assistance and federal

14  financial assistance, as to the corresponding type or

15  organization that is party to the transaction (e.g., other

16  governmental agencies, nonprofit organizations, and for-profit

17  organizations).

18         (b)  Upon conferring with the Executive Office of the

19  Governor and all state awarding agencies that make state

20  awards, adopt rules necessary to provide appropriate guidance

21  to state awarding agencies, recipients and subrecipients, and

22  independent auditors of state financial assistance relating to

23  the format for the Schedule of State Financial Assistance.

24         (c)  Perform any inspections, reviews, investigations,

25  or audits of state financial assistance considered necessary

26  in carrying out the Comptroller's legal responsibilities for

27  state financial assistance or to comply with the requirements

28  of this section.

29         (5)  Each state awarding agency that makes state awards

30  shall:

31

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  1         (a)  Provide for each state award to a recipient

  2  information needed by the recipient to comply with the

  3  requirements of this section, including:

  4         1.  The audit and accountability requirements for state

  5  projects as stated in this section and applicable rules of the

  6  Executive Office of the Governor, rules of the Comptroller,

  7  and rules of the Auditor General.

  8         2.  Information from the Catalog of State Financial

  9  Assistance, including the standard state project number

10  identifier; official title; legal authorization; and

11  description of the state project including objectives,

12  restrictions, and other relevant information determined

13  necessary.

14         3.  Information from the State Projects Compliance

15  Supplement, including the significant compliance requirements,

16  eligibility requirements, matching requirements, suggested

17  audit procedures, and other relevant information determined

18  necessary.

19         (b)  Require the recipient, as a condition of receiving

20  state financial assistance, to allow the state awarding

21  agency, the Comptroller, and the Auditor General access to the

22  recipient's records and the recipient's independent auditor's

23  working papers as necessary for complying with the

24  requirements of this section.

25         (c)  Notify the recipient that this section does not

26  limit the authority of the state awarding agency to conduct or

27  arrange for the conduct of additional audits or evaluations of

28  state financial assistance or limit the authority of any state

29  agency inspector general, the Auditor General, or any other

30  state official.

31

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  1         (d)  Be provided one copy of each financial reporting

  2  package prepared in accordance with the requirement of this

  3  section.

  4         (e)  Review the recipient financial reporting package,

  5  including the management letters and corrective action plans,

  6  to the extent necessary to determine whether timely and

  7  appropriate corrective action has been taken with respect to

  8  audit findings and recommendations pertaining to state

  9  financial assistance provided awards made by the state agency.

10         (6)  As a condition of receiving state financial

11  assistance, each recipient that provides state financial

12  assistance to a subrecipient shall:

13         (a)  Provide for each state award to a subrecipient

14  information needed by the subrecipient to comply with the

15  requirements of this section, including:

16         1.  Identification of the state awarding agency.

17         2.  The audit and accountability requirements for state

18  projects as stated in this section and applicable rules of the

19  Executive Office of the Governor, rules of the Comptroller,

20  and rules of the Auditor General.

21         3.  Information from the Catalog of State Financial

22  Assistance, including the standard state project number

23  identifier; official title; legal authorization; and

24  description of the state project, including objectives,

25  restrictions, and other relevant information.

26         4.  Information from the State Projects Compliance

27  Supplement including the significant compliance requirements,

28  eligibility requirements, matching requirements, and suggested

29  audit procedures, and other relevant information determined

30  necessary.

31

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  1         (b)  Review the subrecipient audit reports, including

  2  the management letters, to the extent necessary to determine

  3  whether timely and appropriate corrective action has been

  4  taken with respect to audit findings and recommendations

  5  pertaining to state financial assistance provided awards made

  6  by the state agency.

  7         (c)  Perform such other procedures as specified in

  8  terms and conditions of the written agreement with the state

  9  awarding agency including any required monitoring of the

10  subrecipient's use of state financial assistance through

11  onsite visits, limited scope audits, or other specified

12  procedures.

13         (d)  Require subrecipients, as a condition of receiving

14  state financial assistance, to permit the independent auditor

15  of the recipient, the state awarding agency, the Comptroller,

16  and the Auditor General access to the subrecipient's records

17  and the subrecipient's independent auditor's working papers as

18  necessary to comply with the requirements of this section.

19         (7)  Each recipient or subrecipient of state financial

20  assistance shall comply obtain an audit that complies with the

21  following:

22         (a)  Each nonstate entity that receives state financial

23  assistance awards and meets audit threshold requirements, in

24  any fiscal year of the nonstate entity, as stated in the rules

25  of the Auditor General, shall have a state single audit

26  conducted for such fiscal year in accordance with the

27  requirements of this act and with additional requirements

28  established in rules of the Executive Office of the Governor,

29  rules of the Comptroller, and rules of the Auditor General. If

30  only one state project is involved in a nonstate entity's

31  fiscal year, the nonstate entity may elect to have require

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  1  only a state project-specific compliance audit of the state

  2  project for that fiscal year.

  3         (b)  Each nonstate entity that receives state financial

  4  assistance awards and does not meet the threshold

  5  requirements, in any fiscal year of the nonstate entity, as

  6  stated in this law or the rules of the Auditor General is

  7  exempt for such fiscal year from the state single audit

  8  requirements of this section. However, such nonstate entity

  9  must meet terms and conditions specified in the written

10  agreement with the state awarding agency.

11         (c)  Regardless of the amount of the state financial

12  assistance award, the provisions of this section do not exempt

13  a nonstate entity from compliance with provisions of law

14  relating to maintaining records concerning state financial

15  assistance awards to such nonstate entity or allowing access

16  and examination of those records by the state awarding agency,

17  the Comptroller, or the Auditor General.

18         (d)  Audits conducted pursuant to this section shall be

19  performed annually.

20         (e)  Audits conducted pursuant to this section shall be

21  conducted by independent auditors in accordance with auditing

22  standards as stated in rules of the Auditor General.

23         (f)  Upon completion of the audit as required by this

24  section, a copy of the recipient's financial reporting package

25  shall be filed with the state awarding agency and the Auditor

26  General. Upon completion of the audit as required by this

27  section, a copy of the subrecipient's financial reporting

28  package shall be filed with the recipient that provided the

29  state financial assistance. The financial reporting package

30  shall be filed in accordance with the rules of the Auditor

31  General.

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  1         (g)  All financial reporting packages prepared pursuant

  2  to the requirements of this section shall be available for

  3  public inspection.

  4         (h)  If an audit conducted pursuant to this section

  5  discloses any significant audit findings relating to state

  6  financial assistance, including material noncompliance with

  7  individual major state project compliance requirements or

  8  reportable conditions in internal controls of the nonstate

  9  entity, the nonstate entity shall submit as part of the audit

10  package to the state awarding agency a plan for corrective

11  action to eliminate such audit findings or a statement

12  describing the reasons that corrective action is not

13  necessary.

14         (i)  An audit conducted in accordance with this section

15  is in addition to any audit of federal awards required by the

16  federal Single Audit Act and other federal laws and

17  regulations. To the extent that such federally required audits

18  provide the state awarding agency with information it requires

19  to carry out its responsibilities under state law or other

20  guidance, a state agency shall rely upon and use that

21  information.

22         (j)  Unless prohibited by law, the cost of audits

23  pursuant to this section are allowable charges to state

24  projects. However, any charges to state projects should be

25  limited to those incremental costs incurred as a result of the

26  audit requirements of this section in relation to other audit

27  requirements. The nonstate entity should allocate such

28  incremental costs to all state projects for which it expended

29  state financial assistance.

30         (k)  Audit costs may not be charged to state projects

31  when audits required by this section have not been made or

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  1  have been made but not in accordance with this section. If a

  2  nonstate entity fails to have an audit conducted consistent

  3  with this section, state awarding agencies may take

  4  appropriate corrective action to enforce compliance.

  5         (l)(j)  This section does not prohibit the state

  6  awarding agency from including terms and conditions in the

  7  written agreement which require additional assurances that

  8  state financial assistance meets awards meet the applicable

  9  requirements of laws, regulations, and other compliance rules.

10         (m)(k)  A state awarding agency that provides state

11  financial assistance awards to nonstate entities and conducts

12  or arranges for audits of state financial assistance awards

13  that are in addition to the audits conducted under this act

14  shall, consistent with other applicable law, arrange for

15  funding the full cost of such additional audits.

16         (8)  The independent auditor when conducting a state

17  single audit of recipients or subrecipients shall:

18         (a)  Determine whether the nonstate entity's financial

19  statements are presented fairly in all material respects in

20  conformity with generally accepted accounting principles.

21         (b)  Determine whether state financial assistance

22  awards shown on the Schedule of State Financial Assistance is

23  are presented fairly in all material respects in relation to

24  the nonstate entity's financial statements taken as a whole.

25         (c)  With respect to internal controls pertaining to

26  each major state project:

27         1.  Obtain an understanding of internal controls;

28         2.  Assess control risk;

29         3.  Perform tests of controls unless the controls are

30  deemed to be ineffective; and

31

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  1         4.  Determine whether the nonstate entity has internal

  2  controls in place to provide reasonable assurance of

  3  compliance with the provisions of laws, regulations, and other

  4  rules pertaining to state financial assistance awards that

  5  have a material effect on each major state project.

  6         (d)  Determine whether each major state project

  7  complied with the provisions of laws, rules, and guidelines as

  8  identified in the State Projects Compliance Supplement, or

  9  otherwise identified by the state awarding agency, which have

10  a material effect on each major state project. When major

11  state projects are less than 50 percent of the nonstate

12  entity's total expenditures for all state financial assistance

13  awards, the auditor shall select and test additional state

14  projects as major state projects as necessary to achieve audit

15  coverage of at least 50 percent of the expenditures for all

16  state financial assistance provided awards to the nonstate

17  entity. Additional state projects needed to meet the

18  50-percent requirement may be selected on an inherent risk

19  basis as stated in the rules of the Executive Office of the

20  Governor.

21         (e)  Report on the results of any audit conducted

22  pursuant to this section in accordance with the rules of the

23  Executive Office of the Governor, rules of the Comptroller,

24  and rules of the Auditor General. Audit reports shall include

25  summaries of the auditor's results regarding the nonstate

26  entity's financial statements; Schedule of State Financial

27  Assistance; internal controls; and compliance with laws,

28  rules, and guidelines other compliance guidance.

29         (f)  Issue a management letter as prescribed in the

30  rules of the Auditor General.

31

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  1         (g)  Upon notification by the nonstate entity, make

  2  available the working papers relating to the audit conducted

  3  pursuant to the requirements of this section to the state

  4  awarding agency, the Comptroller, or the Auditor General for

  5  review or copying.

  6         (9)  The independent auditor, when conducting a state

  7  project-specific audit of recipients or subrecipients, shall:

  8         (a)  Determine whether the nonstate entity's financial

  9  statements of the state project are presented fairly in all

10  material respects in conformity with stated accounting

11  policies.

12         (b)  Obtain an understanding of internal control and

13  perform tests of internal control over the state project

14  consistent with the requirements of a major state project.

15         (c)  Determine whether or not the auditee has complied

16  with applicable provisions of laws, rules, and guidelines as

17  identified in the State Projects Compliance Supplement, or

18  otherwise identified by the state awarding agency, which could

19  have a direct and material effect on the state project.

20         (d)  Report on the results of a state project-specific

21  audit consistent with the requirements of the state single

22  audit and issue a management letter as prescribed in the rules

23  of the Auditor General.

24         (e)  Upon notification by the nonstate entity, make

25  available the working papers relating to the audit conducted

26  pursuant to the requirements of this section to the state

27  awarding agency, the Comptroller, or the Auditor General for

28  review or copying.

29         (10)(9)  The Auditor General shall:

30         (a)  Have the authority to audit state financial

31  assistance provided to any nonstate entity when determined

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  1  necessary by the Auditor General or when directed by the

  2  Legislative Auditing Committee.

  3         (b)  Adopt rules that state the auditing standards that

  4  independent auditors are to follow for audits of nonstate

  5  entities required by this section.

  6         (c)  Adopt rules that describe the contents and the

  7  filing deadlines for the financial reporting package.

  8         (d)  Provide technical advice upon request of the

  9  Comptroller, Executive Office of the Governor, and state

10  agencies relating to financial reporting and audit

11  responsibilities contained in this section.

12         (e)  Be provided one copy of each financial reporting

13  package prepared in accordance with the requirements of this

14  section.

15         (f)  Perform ongoing reviews of a sample of financial

16  reporting packages filed pursuant to the requirements of this

17  section to determine compliance with the reporting

18  requirements of this section and applicable rules of the

19  Executive Office of the Governor, rules of the Comptroller,

20  and rules of the Auditor General.

21         Section 58.  Section 216.331, Florida Statutes, is

22  transferred and renumbered as section 215.965, Florida

23  Statutes.

24         Section 59.  Section 216.3505, Florida Statutes, is

25  transferred and renumbered as section 215.966, Florida

26  Statutes.

27         Section 60.  Sections 216.001, 216.0154, 216.0162,

28  216.0166, 216.0172, 216.0235, 216.0315, 216.091, 216.111,

29  216.281, and 216.286, Florida Statutes, are repealed.

30

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  1         Section 61.  This act shall take effect July 1, 2000,

  2  and shall apply to preparation of the state budget beginning

  3  with fiscal year 2001-2002.

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  1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
  2                         Senate Bill 1466

  3

  4  Creates the Legislative Budget Commission in s. 11.90, F.S.,
    as a standing joint committee of the Legislature, and replaces
  5  the Administration Commission with a Legislative Budget
    Commission for purposes of budget implementation.
  6
    Replaces the "budget entity" with "service," and "Program
  7  Component" with "Program" to reflect the new budget format.

  8  Creates s. 216.013, F.S., to define "long-range program plan"
    and provide requirements for agency plans.
  9
    Requires state agencies to submit adjustments to performance
10  standards to reflect final appropriation amounts.

11  Restores the requirement for the Governor and Chief Justice
    hold at least one public hearing prior to submission of their
12  budgets to the legislature.

13  Eliminates references to the statement of intent.

14  Clarifies that salary rate will be controlled at the
    department level except in the Department of Education where
15  it will be controlled at the division level.

16  Creates s. 216.182, F.S., that requires the Legislative Budget
    Commission to implement zero-base budgeting reviews on an
17  8-year cycle for all state agencies.

18  Provides budget flexibility and transfer authority for state
    agencies and the judiciary at the program level and links this
19  flexibility to achievement of performance expectations.

20  Transfers and renumbers as s. 11.45(11), F.S., authority for
    Auditor General to audit direct-support organizations.
21
    Amends s. 120.65, F.S., to delete the 21-day time limitation
22  on action by the Executive Office of the Governor on requests
    for budget action by the Division of Administrative Hearings.
23
    Amends s. 186.002(2), F.S., to conform planning terminology by
24  changing from "State agency strategic" plans to "Long-range
    program" plans.
25
    Amends s. 186.003, F.S., to replace the definition of "state
26  agency strategic" plan with "long-range program" plan and
    clarifies the definition of "state Agency."
27
    Amends s. 186.021, F.S., to  conform planning terminology by
28  changing from "State agency strategic" plans to "Long-range
    program" plans and clearly link long-range program plans to
29  development of agency budget requests; deletes obsolete
    language.
30
    Amends s. 186.022, F.S., to replace references and
31  requirements for state agency strategic plans with
    requirements for information resource strategic plans to be
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  1  submitted by designated boards and commissions.

  2  Exempts Tobacco Settlement Trust Funds from the service charge
    to general revenue.
  3
    Transfers, renumbers, and amends s. 216.3491, F.S., related to
  4  the Single Audit Act.

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