Senate Bill 1646c1

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



    Florida Senate - 2000                           CS for SB 1646

    By the Committee on Natural Resources and Senator Laurent





    312-1753-00

  1                      A bill to be entitled

  2         An act relating to water pollution control;

  3         amending s. 403.1835, F.S.; providing for a

  4         method of financing water pollution control

  5         projects eligible under specified federal law;

  6         authorizing loans and grants; providing for the

  7         use of the Wastewater Treatment and Stormwater

  8         Management Revolving Loan Trust Fund; requiring

  9         the Department of Environmental Protection to

10         adopt a priority system by rule; providing

11         criteria for such rule; granting rulemaking

12         authority to the Department of Environmental

13         Protection; creating s. 403.1837, F.S.;

14         creating the Florida Water Pollution Control

15         Financing Corporation; providing for its

16         membership and powers; requiring the Department

17         of Environmental Protection to obtain

18         legislative spending authority prior to seeking

19         assistance from the corporation for funding for

20         water pollution control projects and

21         activities; authorizing the issuance of bonds

22         and other obligations; authorizing the sale of

23         loans issued under s. 403.1835, F.S.; providing

24         for tax exemptions; requiring the corporation

25         to evaluate all financial and market conditions

26         necessary and prudent for the purpose of making

27         sound, financially responsible, and

28         cost-effective decisions to secure additional

29         funding for water pollution control projects;

30         authorizing the corporation to contract with

31         the State Board of Administration for services;

                                  1

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1         repealing s. 403.1836, F.S., relating to the

  2         Wastewater Treatment and Stormwater Management

  3         Revolving Loan Trust Fund; providing an

  4         effective date.

  5

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

  7

  8         Section 1.  Section 403.1835, Florida Statutes, is

  9  amended to read:

10         403.1835  Water pollution control financial assistance

11  Sewage treatment facilities revolving loan program.--

12         (1)  The purpose of this section is to assist in

13  implementing the legislative declaration of public policy as

14  contained in s. 403.021 by establishing a self-perpetuating

15  loan program to accelerate the implementation of water

16  pollution control projects construction of sewage treatment

17  facilities by local governmental agencies and to assist local

18  governmental agencies. Projects and activities that may be

19  funded are those eligible under s. 603 of the Federal Water

20  Pollution Control Act (Clean Water Act), Pub. L. No. 92-500,

21  as amended; including, but not limited to, planning, design,

22  construction, and implementation of wastewater management

23  systems, stormwater management systems, nonpoint source

24  pollution management systems, and estuary conservation and

25  management.

26         (2)  For the purposes of this section, the term:

27         (a)  "Local governmental agencies" means local

28  governmental agencies as defined in s. 403.1822(3).

29         (b)  "Sewage treatment facilities" means all facilities

30  necessary, including land, for the collection, treatment, or

31  disposal of domestic wastewater.

                                  2

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1         (b)(c)  "Bonds" means state bonds, certificates, or

  2  other obligations of indebtedness issued by the Florida Water

  3  Pollution Control Financing Corporation under Division of Bond

  4  Finance of the State Board of Administration pursuant to this

  5  section and s.403.1837 the State Bond Act.

  6         (c)  "Corporation" means the Florida Water Pollution

  7  Control Financing Corporation.

  8         (3)  The department is authorized to make loans and

  9  grants to local governmental agencies to assist them in

10  planning, designing, and constructing sewage treatment

11  facilities and stormwater management systems. The department

12  may administer the resulting portfolio of loans, including the

13  authority to sell or pledge the loans, or any portion of the

14  loans, with the approval of the Governor, the Treasurer, and

15  the Comptroller, acting as the State Board of Administration,

16  to ensure compliance with subsection (1).

17         (a)  The department may is authorized to make grants

18  and loans, to provide loan guarantees, to purchase loan

19  insurance, and to refinance local debt through the issue of

20  new loans for projects approved by the department. This

21  financial assistance must be administered in accordance with

22  this section and applicable federal authorities. The

23  department may administer the resulting portfolio of loans,

24  including funds secured through the activities of the Florida

25  Water Pollution Control Financing Corporation under s.

26  403.1837, to fulfill the purposes of this section.

27         (a)  The department may make loans to local government

28  agencies, which agencies may pledge any revenue available to

29  them to repay any funds borrowed.

30         (b)  The department may make loans, grants, and

31  deposits to other entities eligible to participate in the

                                  3

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  financial assistance programs authorized under the Federal

  2  Water Pollution Control Act, or as a result of other federal

  3  action, which entities may pledge any revenue available to

  4  them to repay any funds borrowed.

  5         (c)  The department shall administer financial

  6  assistance so that at least 15 percent of the funding made

  7  available each year under this section is reserved for use by

  8  small communities during the year it is reserved. Local

  9  governmental agencies are authorized to borrow funds made

10  available pursuant to this section and may pledge any revenue

11  available to them to repay any funds borrowed.  The department

12  shall administer loans to local governmental agencies so that

13  at least 15 percent of each annual allocation for loans is

14  reserved for small communities.

15         (d)(b)  The department may make grants to financially

16  disadvantaged small communities, as defined in s. 403.1838,

17  using funds made available from grant allocations on loans

18  authorized under subsection (4). The grants must be

19  administered in accordance with s. 403.1838.

20         (c)  The department may make grants to local government

21  agencies as authorized under the Federal Water Pollution

22  Control Act, or as a result of other federal action. The

23  grants must be administered in accordance with this section

24  and applicable federal requirements.

25         (4)  The term of loans made pursuant to this section

26  shall not exceed 30 years. The department may assess grant

27  allocations on the loans made under this section for the

28  purpose of making grants to financially disadvantaged small

29  communities. The combined rate of interest and grant

30  allocations on loans shall be no greater than the interest

31  rate paid on the last bonds sold pursuant to s. 14, Art. VII

                                  4

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  of the State Constitution. The grant allocations on a loan

  2  shall be equal to or less than the interest rate on the loan.

  3         (5)(a)  The department has authority to adopt rules

  4  pursuant to ss. 120.536(1) and 120.54 to implement the

  5  provisions of this section, including rules to administer the

  6  state revolving fund authorized pursuant to the Federal Water

  7  Pollution Control Act, as amended.

  8         (b)  The department shall prepare an annual report

  9  detailing the amount of grants, amount loaned, interest

10  earned, grant allocations, and loans outstanding at the end of

11  each fiscal year.

12         (6)  Prior to approval of financial assistance, the

13  applicant a construction loan, the local government shall:

14         (a)  Submit evidence of credit worthiness, loan

15  security, and a loan Provide a repayment schedule in support

16  of a request for a loan.

17         (b)  Submit plans and specifications and evidence of

18  permittability in support of a request for funding of

19  construction or other activities requiring a permit from the

20  department for sewage treatment facilities and stormwater

21  management systems.

22         (c)  Provide assurance that records will be kept using

23  generally accepted government accounting principles standards

24  and that the department, the Auditor General, or their agents

25  will have access to all records pertaining to the financial

26  assistance provided loan.

27         (d)  Provide assurance that the subject facilities,

28  systems, or activities facility will be properly operated and

29  maintained.

30         (e)  Identify the revenues to be pledged and document

31  their sufficiency for loan repayment and pledged revenue

                                  5

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  coverage in support of a request for a loan Document that the

  2  revenues generated will be sufficient to ensure that the

  3  facilities will be self-supporting.

  4         (f)  Provide assurance that annual financial

  5  information audit reports, and a separate project audit

  6  prepared by an independent certified public accountant upon

  7  project completion, will be provided as required by submitted

  8  to the department.

  9         (g)  Provide assurance that a project audit prepared by

10  an independent certified public accountant upon project

11  completion will be submitted to the department in support of a

12  request for a grant.

13         (h)(g)  Submit project planning documentation

14  demonstrating a cost comparison of alternative methods

15  cost-effectiveness, environmental soundness, public

16  participation, and financial feasibility for any proposed

17  project or activity the implementability of the proposed

18  sewage treatment facilities and stormwater management systems.

19         (7)  Eligible projects must be given priority according

20  to the extent each project is intended to remove, mitigate, or

21  prevent adverse effects on surface or ground water quality and

22  public health. The relative costs of achieving environmental

23  and public health benefits must be taken into consideration

24  during the department's assignment of project priorities. The

25  department shall adopt a priority system by rule. In

26  developing the priority system, the department shall give

27  priority to projects that:

28         (a)  Eliminate public health hazards;

29         (b)  Enable compliance with laws requiring the

30  elimination of discharges to specific water bodies;

31

                                  6

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1         (c)  Assist in the implementation of total maximum

  2  daily loads adopted under s. 403.067;

  3         (d)  Enable compliance with other pollution control

  4  requirements, including but not limited to toxics control,

  5  wastewater residuals management, and reduction of nutrients

  6  and bacteria;

  7         (e)  Assist in the implementation of surface water

  8  improvement and management plans approved under s. 373.456 and

  9  pollutant load reduction goals developed under state water

10  policy;

11         (f)  Promote reclaimed water reuse;

12         (g)  Eliminate failing onsite sewage treatment and

13  disposal systems or those that are causing environmental

14  damage; or

15         (h)  Reduce pollutants to and otherwise promote the

16  restoration of Florida's surface and ground waters. However,

17  preference must be given to eligible projects that protect the

18  public health or are required by law to eliminate sewage

19  treatment facility discharges into specific bodies of water.

20         (8)(a)  If a local governmental agency becomes

21  delinquent on its loan, the department shall so certify to the

22  Comptroller who shall forward the amount delinquent to the

23  department from any unobligated funds due to the local

24  governmental agency under any revenue-sharing or tax-sharing

25  fund established by the state, except as otherwise provided by

26  the State Constitution. Certification of delinquency shall not

27  limit the department from pursuing other remedies available

28  for default on a loan. The department may impose a penalty for

29  delinquent loan payments in an the amount not to exceed an

30  interest rate of 18 6 percent per annum on of the amount due

31  in addition to charging the cost to handle and process the

                                  7

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  debt. Penalty interest shall accrue on any amount due and

  2  payable beginning on the 30th day following the date upon

  3  which payment is due.

  4         (b)  If a loan recipient, other than a local government

  5  agency, defaults under the terms of a loan, the department may

  6  pursue any remedy available to it at law or in equity. The

  7  department may impose a penalty in an amount not to exceed an

  8  interest rate of 18 percent per annum on any amount due in

  9  addition to charging the cost to handle and process the debt.

10  Penalty interest accrues on any amount due and payable

11  beginning on the 30th day following the date upon which the

12  amount is due.

13         (9)  Funds for the loans and grants authorized under

14  this section must be managed as follows:

15         (a)  A nonlapsing trust fund with revolving loan

16  provisions to be known as the "Wastewater Treatment and

17  Stormwater Management Revolving Loan Trust Fund" is

18  established in the State Treasury to be used as a revolving

19  fund by the department to carry out the purpose of this

20  section. Any funds therein which are not needed on an

21  immediate basis for grants or loans may be invested pursuant

22  to s. 215.49. The cost of administering the program shall be

23  paid from federal funds, from reasonable service fees that may

24  be imposed upon loans, and from proceeds from the sale of

25  loans or the issuance of bonds as permitted by federal law so

26  as to enhance program perpetuity.  Grants awarded by the

27  Federal Government, state matching funds, and investment

28  earnings thereon shall be deposited into the trust fund.

29  Proceeds from the sale of loans or issuance of bonds must be

30  deposited into the trust fund. All moneys available in the

31  trust fund, including investment earnings, are hereby

                                  8

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  designated to carry out the purpose of this section. The

  2  principal and interest payments of all loans held by the trust

  3  fund shall be deposited into this trust fund.

  4         1.  The department may obligate moneys available in the

  5  Wastewater Treatment and Stormwater Management Revolving Loan

  6  Trust Fund for payment of amounts payable under any service

  7  contract entered into by the department under s. 403.1837,

  8  subject to annual appropriation by the Legislature. Amounts on

  9  deposit in the trust fund in each fiscal year shall first be

10  applied or allocated for the payment of amounts payable by the

11  department under this subparagraph and appropriated each year

12  by the Legislature before making or providing for other

13  disbursement from the trust fund.

14         2.  The State Board of Administration shall invest and

15  reinvest moneys in the trust fund in accordance with ss.

16  215.44-215.53. Costs and fees of the State Board of

17  Administration for providing those investment services shall

18  be deducted from the earnings accruing to the trust fund.

19         3.  Under the provisions of s. 19(f)(3), Art. III of

20  the State Constitution, the Wastewater Treatment and

21  Stormwater Management Revolving Loan Trust Fund is exempt from

22  the termination provisions of s. 19(f)(2), Art. III of the

23  State Constitution.

24         (b)  Revenues from the loan grant allocations

25  authorized under subsection (4), federal appropriations, state

26  matching funds for grants authorized by federal statute or

27  other federal action, and service fees, and all earnings

28  thereon, shall be deposited into the department's Grants and

29  Donations Trust Fund. Service fees and all earnings thereon

30  must be used solely for program administration. The loan grant

31  allocation revenues and earnings thereon must be used solely

                                  9

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  for the purpose of making grants to financially disadvantaged

  2  small communities. Federal appropriations and state matching

  3  funds for grants authorized by federal statute or other

  4  federal action, and earnings thereon, must be used solely for

  5  the purposes authorized. All deposits into the department's

  6  Grants and Donations Trust Fund under this section, and

  7  earnings thereon, must be accounted for separately from all

  8  other moneys deposited into the fund.

  9         (10)  The department may adopt rules regarding program

10  administration; project eligibilities and priorities,

11  including the development and management of project priority

12  lists; financial assistance application requirements

13  associated with planning, design, construction, and

14  implementation activities, including environmental and

15  engineering requirements; financial assistance agreement

16  conditions; disbursement and repayment provisions; auditing

17  provisions; program exceptions; the procedural relationship

18  between the department and the Florida Water Pollution Control

19  Financing Corporation under s. 403.1837; and other provisions

20  consistent with the purposes of this section. Because the

21  Legislature has experienced revenue shortfalls in recent years

22  and has been unable to provide enough funds to fully match

23  available federal funds to help capitalize the Wastewater

24  Treatment and Stormwater Management Revolving Loan Trust Fund,

25  it is necessary for innovative approaches to be considered to

26  help capitalize the revolving loan fund. The department shall

27  evaluate potential innovative approaches that can generate

28  funds to match available federal funds. The department may

29  adopt approaches that will help ensure the continuing

30  viability of the Wastewater Treatment and Stormwater

31  Management Revolving Loan Trust Fund. The department shall

                                  10

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  consider, among other possible alternatives, the option of

  2  implementing by rule a program to allow local governments to

  3  offer funds voluntarily to the state for use as a match to

  4  available federal funds to capitalize the Wastewater Treatment

  5  and Stormwater Management Revolving Loan Trust Fund.

  6         Section 2.  Section 403.1837, Florida Statutes, is

  7  created to read:

  8         403.1837  Florida Water Pollution Control Financing

  9  Corporation.--

10         (1)  The Florida Water Pollution Control Financing

11  Corporation is created as a nonprofit public-benefit

12  corporation for the purpose of financing the costs of water

13  pollution control projects and activities described in s.

14  403.1835. The projects and activities described in that

15  section are found to constitute a public governmental purpose,

16  be necessary for the health, safety, and welfare of all

17  residents, and include legislatively approved fixed capital

18  outlay projects. The fulfillment of the purposes of the

19  corporation promotes the health, safety, and welfare of the

20  people of the state and serves essential governmental

21  functions and a paramount public purpose. The corporation

22  shall terminate upon fulfillment of the purposes of this

23  section.

24         (2)  The corporation shall be governed by a board of

25  directors consisting of the Governor's Budget Director, the

26  Comptroller or the Comptroller's designee, the Treasurer or

27  the Treasurer's designee, and the Secretary of Environmental

28  Protection or the secretary's designee, until January 7, 2003,

29  at which time the board shall include the Chief Financial

30  Officer or the Chief Financial Officer's designee in place of

31  the Treasurer and Comptroller. The executive director of the

                                  11

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  State Board of Administration shall be the chief executive

  2  officer of the corporation and shall direct and supervise the

  3  administrative affairs of the corporation and shall control,

  4  direct, and supervise operation of the corporation. The

  5  corporation shall have such other officers as may be

  6  determined by the board of directors.

  7         (3)  Prior to seeking assistance from the corporation

  8  for funding water pollution control projects and activities

  9  described in s. 403.1835, the Department of Environmental

10  Protection must obtain legislative authorization for spending

11  authority in the General Appropriations Act for the funds

12  anticipated to be raised by the corporation. Such prior

13  legislative authorization in the annual General Appropriations

14  Act must be obtained for each subsequent request for

15  assistance from the corporation where new or additional funds

16  will be generated and expended.

17         (4)  The corporation shall have all the powers of a

18  corporate body under the laws of the state to the extent not

19  inconsistent with or restricted by this section, including but

20  not limited to the power to:

21         (a)  Adopt, amend, and repeal bylaws not inconsistent

22  with this section.

23         (b)  Sue and be sued.

24         (c)  Adopt and use a common seal.

25         (d)  Acquire, purchase, hold, lease, and convey any

26  real and personal property as may be proper or expedient to

27  carry out the purposes of the corporation and this section,

28  and to sell, lease, or otherwise dispose of that property.

29         (e)  Elect or appoint and employ such officers, agents,

30  and employees as the corporation considers advisable to

31  operate and manage the affairs of the corporation, which

                                  12

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  officers, agents, and employees may be officers or employees

  2  of the department and the state agencies represented on the

  3  board of directors of the corporation.

  4         (f)  Borrow money and issue notes, bonds, certificates

  5  of indebtedness, or other obligations or evidences of

  6  indebtedness described in s. 403.1835.

  7         (g)  Sell all or any portion of the loans issued under

  8  s. 403.1835 to accomplish the purposes of this section and s.

  9  403.1835.

10         (h)  Make and execute any contracts, trust agreements,

11  and other instruments and agreements necessary or convenient

12  to accomplish the purposes of the corporation and this

13  section.

14         (i)  Select, retain, and employ professionals,

15  contractors, or agents, which may include the Division of Bond

16  Finance of the State Board of Administration, as is necessary

17  or convenient to enable or assist the corporation in carrying

18  out its purposes and this section.

19         (j)  Do any act or thing necessary or convenient to

20  carry out the purposes of the corporation and this section.

21         (5)  The corporation shall evaluate all financial and

22  market conditions necessary and prudent for the purpose of

23  making sound, financially responsible, and cost-effective

24  decisions in order to secure additional funds to fulfill the

25  purposes of this section and s. 403.1835.

26         (6)  The corporation may enter into one or more service

27  contracts with the department under which the corporation

28  shall provide services to the department in connection with

29  financing the functions, projects, and activities provided for

30  in s. 403.1835. The department may enter into one or more

31  service contracts with the corporation and provide for

                                  13

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  payments under those contracts pursuant to s. 403.1835(9),

  2  subject to annual appropriation by the Legislature. The

  3  proceeds from the service contracts may be used for the costs

  4  and expenses of administration of the corporation after

  5  payments as set forth in subsection (7). In compliance with s.

  6  287.0641 and other applicable provisions of law, the

  7  obligations of the department under the service contracts does

  8  not constitute a general obligation of the state or a pledge

  9  of the faith and credit or taxing power of the state, nor may

10  the obligations be construed in any manner as an obligation of

11  the State Board of Administration or entities for which it

12  invests funds, or the department except as provided in this

13  section as payable solely from amounts available under any

14  service contract between the corporation and the department,

15  subject to appropriation. In compliance with this subsection

16  and s. 287.0582, service contracts must expressly include the

17  following statement:  "The State of Florida's performance and

18  obligation to pay under this contract is contingent upon an

19  annual appropriation by the Legislature."

20         (7)  The corporation may issue and incur notes, bonds,

21  certificates of indebtedness, or other obligations or

22  evidences of indebtedness payable from and secured by amounts

23  payable to the corporation by the department under a service

24  contract entered into under subsection (6) for the purpose of

25  appropriating funds for projects and activities provided for

26  in subsection (1). The corporation may select a financing team

27  and issue obligations through competitive bidding or

28  negotiated contracts, whichever is most cost-effective. Any

29  such indebtedness of the corporation does not constitute a

30  debt or obligation of the state or a pledge of the faith and

31  credit or taxing power of the state, but is payable from and

                                  14

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  secured by payments made by the department under the service

  2  contract under subsection (6).

  3         (8)  The corporation is exempt from taxation and

  4  assessments of any nature whatsoever upon its income and any

  5  property, assets, or revenues acquired, received, or used in

  6  the furtherance of the purposes provided in ss. 403.1835 and

  7  403.1838. The obligations of the corporation incurred under

  8  subsection (7) and the interest and income on the obligations

  9  and all security agreements, letters of credit, liquidity

10  facilities, or other obligations or instruments arising out

11  of, entered into in connection with, or given to secure

12  payment of the obligations are exempt from all taxation,

13  however, the exemption does not apply to any tax imposed by

14  chapter 220 on the interest, income, or profits on debt

15  obligations owned by corporations.

16         (9)  The corporation shall validate any bonds issued

17  under this section, except refunding bonds which may be

18  validated at the option of the corporation, by proceedings

19  under chapter 75. The validation complaint must be filed only

20  in the Circuit Court for Leon County. The notice required

21  under s. 75.06 must be published in Leon County and the

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

23  on the State Attorney for the Second Judicial Circuit.

24  Sections 75.04(2) and 75.06(2) do not apply to a validation

25  complaint filed as authorized in this subsection. The

26  validation of the first bonds issued under this section may be

27  appealed to the Supreme Court and the appeal shall be handled

28  on an expedited basis.

29         (10)  The corporation and the department shall not take

30  any action that will materially and adversely affect the

31

                                  15

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1  rights of holders of any obligations issued under this section

  2  as long as the obligations are outstanding.

  3         (11)  The corporation is not a special district for

  4  purposes of chapter 189 or a unit of local government for

  5  purposes of part III of chapter 218. The provisions of

  6  chapters 120 and 215, except the limitation on interest rates

  7  provided by s. 215.84, which applies to obligations of the

  8  corporation issued under this section, and part I of chapter

  9  287, except ss. 287.0582 and 287.0641, do not apply to this

10  section, the corporation created in this section, the service

11  contracts entered into under this section, or debt obligations

12  issued by the corporation as provided in this section.

13         (12)  The benefits or earnings of the corporation may

14  not inure to the benefit of any private person, except persons

15  receiving grants and loans under s. 403.1835.

16         (13)  Upon dissolution of the corporation, title to all

17  property owned by the corporation reverts to the department.

18         (14)  The corporation may contract with the State Board

19  of Administration to serve as trustee with respect to debt

20  obligations issued by the corporation as provided by this

21  section and to hold, administer, and invest proceeds of those

22  debt obligations and other funds of the corporation and to

23  perform other services required by the corporation. The State

24  Board of Administration may perform these services and may

25  contract with others to provide all or a part of those

26  services and to recover the costs and expenses of providing

27  those services.

28         (15)  The Auditor General may conduct a financial audit

29  of the accounts and records of the corporation.

30         Section 3.  Section 403.1836, Florida Statutes, is

31  repealed.

                                  16

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






    Florida Senate - 2000                           CS for SB 1646
    312-1753-00




  1         Section 4.  This act shall take effect upon becoming a

  2  law.

  3

  4          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
  5                         Senate Bill 1646

  6

  7  The committee substitute provides that the Department of
    Environmental Protection may administer the portfolio of
  8  loans, including funds secured through the activities of the
    Florida Water Pollution Control Financing Corporation.
  9
    The department shall adopt a priority system for eligible
10  projects by rule. Provides guidance to the department for
    determining the projects' priority for funding.
11
    Authorizes the department to adopt rules regarding program
12  administration; project eligibilities and priorities,
    including the development and management of project priority
13  lists; financial assistance application requirements
    associated with planning, design, construction, and
14  implementation activities; financial assistance agreement
    conditions; disbursement and repayment provisions; auditing
15  provisions; program exceptions; and the procedural
    relationship between the department and the Florida Pollution
16  Control Financing Corporation.

17  Prior to seeking assistance for funding water pollution
    control projects, the department must obtain legislative
18  authorization for spending authority in the General
    Approriations Act for the funds anticipated to be raised by
19  the corporation. Prior legislative authorization is required
    for each subsequent request for assistance from the
20  corporation where new or additional funds will be generated
    and expended.
21
    The corporation is authorized to sell all or any portion of
22  the loans issued under s. 403.1835, F.S.

23  The corporation is required to evaluate all financial and
    market conditions necessary and prudent for the purpose of
24  making sound, financially responsible, and cost-effective
    decisions in order to secure additional funds to fulfill the
25  purposes of ss. 403.1837 and 403.1835, F.S.

26

27

28

29

30

31

                                  17