House Bill hb1577

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    Florida House of Representatives - 2001                HB 1577

        By Representative Machek






  1                      A bill to be entitled

  2         An act relating to water management district

  3         fiscal matters; amending s. 373.536, F.S.;

  4         revising notice and hearing provisions relating

  5         to the adoption of a final budget for the water

  6         management districts; specifying to whom a copy

  7         of the water management districts' tentative

  8         budget must be sent for review; specifying the

  9         contents of the tentative budget; requiring the

10         Executive Office of the Governor to file with

11         the Legislature a report summarizing its review

12         of the water management districts' tentative

13         budgets and displaying the adopted budget

14         allocations by program area; requiring the

15         water management districts to submit certain

16         budget documents to specified officials;

17         amending s. 373.079, F.S.; deleting a

18         requirement that the water management districts

19         submit a 5-year capital improvement plan and

20         fiscal report to the Governor, the President of

21         the Senate, the Speaker of the House of

22         Representatives, and the Secretary of

23         Environmental Protection; repealing s. 373.507,

24         F.S., relating to postaudits and budgets of

25         water management districts and basins;

26         repealing s. 373.589, F.S., relating to audits

27         of water management districts; providing an

28         effective date.

29

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

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  1         Section 1.  Section 373.536, Florida Statutes, is

  2  amended to read:

  3         373.536  District budget and hearing thereon.--

  4         (1)  FISCAL YEAR.--The fiscal year of districts created

  5  under the provisions of this chapter shall extend from October

  6  1 of one year through September 30 of the following year.

  7         (2)  BUDGET SUBMITTAL.--The budget officer of the

  8  district shall, on or before July 15 of each year, submit for

  9  consideration by the governing board of the district a

10  tentative budget for the district covering its proposed

11  operations operation and funding requirements for the ensuing

12  fiscal year.

13         (3)  BUDGET HEARINGS AND WORKSHOPS; NOTICE.--

14         (a)  Unless alternative notice requirements are

15  otherwise provided by law, notice of all budget hearings

16  conducted by the governing board or district staff must be

17  published in a newspaper of general paid circulation in each

18  county in which the district lies not less than 5 days nor

19  more than 15 days before the hearing.

20         (b)  Budget workshops conducted for the public and not

21  governed by s. 200.065 must be advertised in a newspaper of

22  general paid circulation in the community or area in which the

23  workshop will occur not less than 5 days nor more than 15 days

24  before the workshop.

25         (c)  The tentative budget shall be adopted in

26  accordance with the provisions of s. 200.065; however, if the

27  mailing of the notice of proposed property taxes is delayed

28  beyond September 3 in any county in which the district lies,

29  the district shall advertise its intention to adopt a

30  tentative budget and millage rate, pursuant to s.

31  200.065(3)(g), in a newspaper of general paid circulation in

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  1  that county. The budget shall set forth, classified by object

  2  and purpose, and by fund if so designated, the proposed

  3  expenditures of the district for bonds or other debt, for

  4  construction, for acquisition of land, for operation and

  5  maintenance of the district works, for the conduct of the

  6  affairs of the district generally, and for other purposes, to

  7  which may be added an amount to be held as a reserve. District

  8  administrative and operating expenses must be identified in

  9  the budget and allocated among district programs.

10         (2)  The budget shall also show the estimated amount

11  which will appear at the beginning of the fiscal year as

12  obligated upon commitments made but uncompleted.  There shall

13  be shown the estimated unobligated or net balance which will

14  be on hand at the beginning of the fiscal year, and the

15  estimated amount to be raised by district taxes and from other

16  sources for meeting the requirements of the district.

17         (d)(3)  As provided in s. 200.065(2)(d), the board

18  shall publish one or more notices of its intention to finally

19  adopt a final budget for the district for the ensuing fiscal

20  year. The notice shall appear adjacent to an advertisement

21  that sets which shall set forth the tentative budget in a

22  format meeting the budget summary requirements of s.

23  129.03(3)(b) in full. The district shall not include

24  expenditures of federal special revenues and state special

25  revenues when preparing the statement required by s.

26  200.065(3)(l). The notice and advertisement shall be published

27  in one or more newspapers having a combined general paid

28  circulation in each county the counties having land in which

29  the district lies. Districts may include explanatory phrases

30  and examples in budget advertisements published under s.

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  1  200.065 to clarify or illustrate the effect that the district

  2  budget may have on ad valorem taxes.

  3         (e)(4)  The hearing for adoption of to finally adopt a

  4  final budget and millage rate shall be by and before the

  5  governing board of the district as provided in s. 200.065 and

  6  may be continued from day to day until terminated by the

  7  board.

  8         (4)  BUDGET CONTROLS.--

  9         (a)  The final adopted budget for the district will

10  thereupon be the operating and fiscal guide for the district

11  for the ensuing year; however, transfers of funds may be made

12  within the budget by action of the governing board at a public

13  meeting of the governing board.

14         (b)  The district shall control its budget, at a

15  minimum, by funds and shall provide to the Executive Office of

16  the Governor a description of its budget control mechanisms.

17         (c)  Should the district receive unanticipated funds

18  after the adoption of the final budget, the final budget may

19  be amended by including such funds, so long as notice of

20  intention to amend is published in the notice of the governing

21  board meeting at which the amendment will be considered,

22  pursuant to s. 120.525 one time in one or more newspapers

23  qualified to accept legal advertisements having a combined

24  general circulation in the counties in the district. The

25  notice shall set forth a summary of the proposed amendment and

26  shall be published at least 10 days prior to the public

27  meeting of the board at which the proposed amendment is to be

28  considered. However, in the event of a disaster or of an

29  emergency arising to prevent or avert the same, the governing

30  board shall not be limited by the budget but shall have

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  1  authority to apply such funds as may be available therefor or

  2  as may be procured for such purpose.

  3         (5)  TENTATIVE BUDGET CONTENTS AND SUBMISSION; REVIEW

  4  AND APPROVAL.--

  5         (a)  The Executive Office of the Governor is authorized

  6  to approve or disapprove, in whole or in part, the budget of

  7  each water management district and shall analyze each budget

  8  as to the adequacy of fiscal resources available to the

  9  district and the adequacy of district expenditures related to

10  water supply, including water resource development projects

11  identified in the district's regional water supply plans;

12  water quality; flood protection and floodplain management; and

13  natural systems.  This analysis shall be based on the

14  particular needs within each water management district in

15  those four areas of responsibility.

16         (b)  The Executive Office of the Governor and the water

17  management districts shall develop a process to facilitate

18  review and communication regarding water management district

19  budgets, as necessary.  Written disapproval of any provision

20  in the tentative budget must be received by the district at

21  least 5 business days prior to the final district budget

22  adoption hearing conducted under s. 200.065(2)(d).  If written

23  disapproval of any portion of the budget is not received at

24  least 5 business days prior to the final budget adoption

25  hearing, the governing board may proceed with final adoption.

26  Any provision rejected by the Governor shall not be included

27  in a district's final budget.

28         (c)  Each water management district shall, by August 1

29  of each year, submit for review a tentative budget to the

30  Governor, the President of the Senate, the Speaker of the

31  House of Representatives, the chairs of all legislative

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  1  committees and subcommittees with substantive or fiscal

  2  jurisdiction over water management districts, as determined by

  3  the President of the Senate or Speaker of the House of

  4  Representatives as applicable, the secretary of the

  5  department, and the governing body of each county in which the

  6  district has jurisdiction  or derives any funds for the

  7  operations of the district.

  8         (d)  The tentative budget must set forth the proposed

  9  expenditures of the district, to which may be added an amount

10  to be held as reserve. The tentative budget must include, but

11  is not limited to, the following information for the preceding

12  fiscal year and the current fiscal year, and the proposed

13  amounts for the upcoming fiscal year, in a standard format

14  prescribed by the Executive Office of the Governor which is

15  generally consistent with the format prescribed by legislative

16  budget instructions for state agencies and the format

17  requirements of s. 216.031:

18         1.  The estimated amount of funds remaining at the

19  beginning of the fiscal year which have been obligated for the

20  payment of outstanding commitments not yet completed.

21         2.  The estimated amount of unobligated funds or net

22  cash balance on hand at the beginning of the fiscal year, and

23  the estimated amount of funds to be raised by district taxes

24  or received from other sources to meet the requirements of the

25  district.

26         3.  The millage rates and the percentage increase above

27  the rolled-back rate, together with a summary of the reasons

28  the increase is required, and the percentage increase in

29  taxable value resulting from new construction within the

30  district.;

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  1         4.2.  The salaries salary and benefits, expenses,

  2  operating capital outlay, number of authorized positions, and

  3  other personal services for the following program areas of the

  4  district, including a separate section for lobbying,

  5  intergovernmental relations, and advertising:

  6         a.  Water resource planning and monitoring;

  7         b.  Land acquisition, restoration, and public works;

  8         c.  Operation and maintenance of works and lands;

  9         d.  Regulation;

10         e.  Outreach for which the information provided must

11  contain a full description and accounting of expenditures for

12  water resources education; public information and public

13  relations, including public service announcements and

14  advertising in any media; and lobbying activities related to

15  local, regional, state and federal governmental affairs,

16  whether incurred by district staff or through contractual

17  services; and

18         f.  Management and administration.

19         a.  District management and administration;

20         b.  Implementation through outreach activities;

21         c.  Implementation through regulation;

22         d.  Implementation through acquisition, restoration,

23  and public works;

24         e.  Implementation through operations and maintenance

25  of lands and works;

26         f.  Water resources planning and monitoring; and

27         g.  A full description and accounting of expenditures

28  for lobbying activities relating to local, regional, state,

29  and federal governmental affairs, whether incurred by district

30  staff or through contractual services and all expenditures for

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  1  public relations, including all expenditures for public

  2  service announcements and advertising in any media.

  3

  4  In addition to the program areas reported by all water

  5  management districts, the South Florida Water Management

  6  District shall include in its budget document a separate

  7  sections section on all costs associated with the Everglades

  8  Construction Project and the Comprehensive Everglades

  9  Restoration Project.

10         5.3.  The total estimated amount in the district budget

11  for each area of responsibility listed in subparagraph 4.

12  paragraph (a) and for water resource development projects

13  identified in the district's regional water supply plans.

14         4.  A 5-year capital improvements plan.

15         6.5.  A description of each new, expanded, reduced, or

16  eliminated program.

17         6.  A proposed 5-year water resource development work

18  program, that describes the district's implementation strategy

19  for the water resource development component of each approved

20  regional water supply plan developed or revised pursuant to s.

21  373.0361.  The work program shall address all the elements of

22  the water resource development component in the district's

23  approved regional water supply plans.  The office of the

24  Governor, with the assistance of the department, shall review

25  the proposed work program.  The review shall include a written

26  evaluation of its consistency with and furtherance of the

27  district's approved regional water supply plans, and adequacy

28  of proposed expenditures. As part of the review, the Executive

29  Office of the Governor and the department shall afford to all

30  interested parties the opportunity to provide written comments

31  on each district's proposed work program. At least 7 days

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  1  prior to the adoption of its final budget, the governing board

  2  shall state in writing to the Executive Office of the Governor

  3  which changes recommended in the evaluation it will

  4  incorporate into its work program, or specify the reasons for

  5  not incorporating the changes.  The office of the Governor

  6  shall include the district's responses in the written

  7  evaluation and shall submit a copy of the evaluation to the

  8  Legislature; and

  9         7.  The funding sources, including, but not limited to,

10  ad valorem taxes, Surface Water Improvement and Management

11  Program funds, other state funds, federal funds, and user fees

12  and permit fees for each program area.

13         (e)(d)  By September 5 of the year in which the budget

14  is submitted, the House and Senate appropriations chairs may

15  transmit to each district comments and objections to the

16  proposed budgets.  Each district governing board shall include

17  a response to such comments and objections in the record of

18  the governing board meeting where final adoption of the budget

19  takes place, and the record of this meeting shall be

20  transmitted to the Executive Office of the Governor, the

21  department, and the chairs of the House and Senate

22  appropriations committees.

23         (f)(e)  The Executive Office of the Governor shall

24  annually, on or before December 15, file with the Legislature

25  a report that summarizes its review the expenditures of the

26  water management districts' tentative budgets and displays the

27  adopted budget allocations districts by program area. The

28  report must identify and identifies the districts that are not

29  in compliance with the reporting requirements of this section.

30  State funds shall be withheld from a water management district

31  that fails to comply with these reporting requirements.

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  1         (6)  FINAL BUDGET; ANNUAL AUDIT; CAPITAL IMPROVEMENTS

  2  PLAN; WATER RESOURCE DEVELOPMENT WORK PROGRAM.--

  3         (a)  Each district must, by the date specified for each

  4  item, furnish copies of the following documents to the

  5  Governor, the President of the Senate, the Speaker of the

  6  House of Representatives, the chairs of all legislative

  7  committees and subcommittees having substantive or fiscal

  8  jurisdiction over the districts, as determined by the

  9  President or Speaker as applicable, the secretary of the

10  department, and the governing board of each county in which

11  the district has jurisdiction or derives any funds for the

12  operations of the district;

13         1.  The adopted budget, to be furnished within 10 days

14  after its adoption.

15         2.  A financial audit of its accounts and records, to

16  be furnished within 10 days after its acceptance by the

17  governing board. The audit must be conducted in accordance

18  with the provisions of s. 11.45 and the rules adopted

19  thereunder. In addition to the entities named above, the

20  district must provide a copy of the audit to the Auditor

21  General within 10 days after its acceptance by the governing

22  board.

23         3.  A 5-year capital improvements plan, to be furnished

24  within 45 days after the adoption of the final budget. The

25  plan must include expected sources of revenue for planned

26  improvements and must be prepared in a manner comparable to

27  the fixed capital outlay format set forth in s. 216.043.

28         4.  A 5-year water resource development work program to

29  be furnished within 45 days after the adoption of the final

30  budget. The program must describe the district's

31  implementation strategy for the water resource development

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  1  component of each approved regional water supply plan

  2  developed or revised under s. 373.0361. The work program must

  3  address all the elements of the water resource development

  4  component in the district's approved regional water supply

  5  plans. Within 45 days after its submittal, the department

  6  shall review the proposed work program and submit its

  7  findings, questions, and comments to the district. The review

  8  must include a written evaluation of the program's consistency

  9  with the furtherance of the district's approved regional water

10  supply plans, and the adequacy of proposed expenditures. As

11  part of the review, the department shall give interested

12  parties the opportunity to provide written comments on each

13  district's proposed work program. Within 60 days after receipt

14  of the department's evaluation, the governing board shall

15  state in writing to the department which changes recommended

16  in the evaluation it will incorporate into its work program or

17  specify the reasons for not incorporating the changes. The

18  department shall include the district's responses in a final

19  evaluation report and shall submit a copy of the report to the

20  Governor, the President of the Senate, and the Speaker of the

21  House of Representatives.

22         (b)  If any entity listed in paragraph (a) provides

23  written comments to the district regarding any document

24  furnished under this subsection, the district must respond to

25  the comments in writing and furnish copies of the comments and

26  written responses to the other entities.

27         Section 2.  Paragraph (b) of subsection (4) of section

28  373.079, Florida Statutes, is amended to read:

29         373.079  Members of governing board; oath of office;

30  staff.--

31         (4)

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  1         (b)1.  The governing board of each water management

  2  district shall employ an inspector general, who shall report

  3  directly to the board. However, the governing boards of the

  4  Suwannee River Water Management District and the Northwest

  5  Florida Water Management District may jointly employ an

  6  inspector general, or provide for inspector general services

  7  by interagency agreement with a state agency or water

  8  management district inspector general.

  9         2.  An inspector general must have the qualifications

10  prescribed and perform the applicable duties of state agency

11  inspectors general as provided in s. 20.055.

12         3.  Within 45 days of the adoption of the final budget,

13  the governing board shall submit a 5-year capital improvement

14  plan and fiscal report for the district to the Governor, the

15  President of the Senate, the Speaker of the House of

16  Representatives, and the Secretary of Environmental

17  Protection. The capital improvement plan must include expected

18  sources of revenue for planned improvements and shall be

19  prepared in a manner comparable to the fixed capital outlay

20  format set forth in s. 216.043. The fiscal report shall cover

21  the preceding fiscal year and shall include a summary

22  statement of the financial operations of the district.

23         Section 3.  Sections 373.507 and 373.589, Florida

24  Statutes, are repealed.

25         Section 4.  This act shall take effect July 1, 2001.

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27            *****************************************

28                          SENATE SUMMARY

29    Revises budgeting, auditing, capital improvement
      planning, and fiscal reporting requirements for water
30    management districts.

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