Senate Bill sb0164

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    Florida Senate - 2001                                   SB 164

    By Senator Geller





    29-111-01

  1                      A bill to be entitled

  2         An act relating to governmental reorganization;

  3         creating the Department of Banking and

  4         Insurance; repealing ss. 20.12, 20.13, F.S.;

  5         abolishing the Department of Banking and

  6         Finance and the Department of Insurance;

  7         amending ss. 17.011, 17.02, 17.03, 17.031,

  8         17.04, 17.0401, 17.041, 17.0415, 17.05, 17.06,

  9         17.075, 17.076, 17.08, 17.09, 17.10, 17.11,

10         17.12, 17.13, 17.14, 17.16, 17.17, 17.20,

11         17.21, 17.22, 17.25, 17.26, 17.27, 17.28,

12         17.29, 17.30, 17.32, 17.325, 17.41, 17.43,

13         F.S.; providing conforming changes;

14         transferring, renumbering, and amending ss.

15         18.01, 18.02, 18.021, 18.06, 18.07, 18.091,

16         18.10, 18.101, 18.103, 18.104, 18.125, 18.15,

17         18.17, 18.20, 18.23, 18.24, F.S.; providing

18         conforming changes; transferring the duties,

19         powers, functions, records, personnel,

20         property, unexpended balances of

21         appropriations, and other funds of the

22         Department of Insurance and the Department of

23         Banking and Finance to the Department of

24         Banking and Insurance; transferring the duties,

25         powers, functions, records, personnel,

26         property, unexpended appropriations, and other

27         funds of the Division of State Fire Marshal of

28         the Department of Insurance to the Department

29         of Agriculture and Consumer Services; repealing

30         s. 18.03, F.S., relating to residence and

31         office of the Treasurer; repealing s. 18.05,

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  1         F.S., relating to annual report to Governor;

  2         repealing s. 18.08, F.S., relating to warrants

  3         turned over to the Comptroller; repealing s.

  4         18.09, F.S., relating to annual report to the

  5         Legislature; repealing s. 18.22, F.S., relating

  6         to rulemaking authority of the Department of

  7         Banking and Finance; providing an effective

  8         date.

  9

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

11

12         Section 1.  Department of Banking and Insurance.--There

13  is created a Department of Banking and Insurance.

14         (1)  The head of the Department of Banking and

15  Insurance is the Chief Financial Officer.

16         (2)  The following divisions of the Department of

17  Banking and Insurance are established:

18         (a)  Division of Insurer Services.

19         (b)  Division of Insurance Consumer Services.

20         (c)  Division of Agents and Agencies Services.

21         (d)  Division of Rehabilitation and Liquidation.

22         (e)  Division of Risk Management.

23         (f)  Division of Financial Investigation.

24         (g)  Division of Insurance Fraud.

25         (h)  Division of Administration.

26         (i)  Division of Treasury.

27         (j)  Division of Legal Services.

28         (3)(a)  The department shall have an assistant chief

29  financial officer.

30         (b)  The Division of Insurer Services shall have at

31  least two deputy directors.  All other divisions shall have a

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  1  director and may have an assistant director.  The department

  2  may change the name of any division, by rule, if the name

  3  indicates the responsibilities of the division.

  4         (4)  The Division of Insurance Fraud shall enforce the

  5  provisions of section 626.989, Florida Statutes.  The division

  6  shall establish a Bureau of Workers' Compensation Insurance

  7  Fraud for the sole purpose of enforcing the provisions of

  8  chapter 440, Florida Statutes, which, if violated, would

  9  result in the commission of fraudulent insurance acts.

10         (5)  A Bureau of Financial and Support Services is

11  created within the Division of Administration.

12         (6)(a)  The Division of Treasury, in addition to other

13  matters that may be assigned to or located within the

14  division, shall administer the Government Employees Deferred

15  Compensation Plan established under section 112.215, Florida

16  Statutes, for state employees.

17         (b)  To carry out the purposes of paragraph (a), a

18  Section of Government Employee Deferred Compensation is

19  created within the Division of Treasury.

20         (7)  There is created as a subunit within the

21  department the Office of Financial Investigation. The office

22  shall:

23         (a)  Function as a criminal justice agency within the

24  meaning of section 943.045(10)(d), Florida Statutes; and

25         (b)  Have a separate budget.

26         Section 2.  Section 17.011, Florida Statutes, is

27  amended to read:

28         17.011  Chief Financial Officer Assistant

29  comptroller.--The Chief Financial Officer Comptroller of the

30  state may appoint an assistant Chief Financial Officer

31

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  1  comptroller to hold office at during the pleasure of the Chief

  2  Financial Officer Comptroller.

  3         Section 3.  Section 17.02, Florida Statutes, is amended

  4  to read:

  5         17.02  Place of residence and office.--The Chief

  6  Financial Officer Comptroller shall reside at the seat of

  7  government of this state, and shall hold office in a room in

  8  the Capitol.

  9         Section 4.  Section 17.03, Florida Statutes, is amended

10  to read:

11         17.03  Duty to audit claims against the state.--

12         (1)  The Chief Financial Officer Comptroller of this

13  state, using generally accepted auditing procedures for

14  testing or sampling, shall examine, audit, and settle all

15  accounts, claims, and demands, whatsoever, against the state,

16  arising under any law or resolution of the Legislature, and

17  shall issue a warrant to the Treasurer directing the Treasurer

18  to pay out of the State Treasury such amount as is shall be

19  allowed by law the Comptroller thereon.

20         (2)  The Chief Financial Officer Comptroller may

21  establish dollar thresholds applicable to each invoice amount

22  and other criteria for testing or sampling invoices on a

23  preaudit and postaudit basis.  The Chief Financial Officer

24  Comptroller may revise such thresholds and other criteria for

25  an agency or the unit of any agency as he or she deems

26  appropriate.

27         (3)  The Chief Financial Officer Comptroller may adopt

28  and disseminate to the agencies procedural and documentation

29  standards for payment requests and may provide training and

30  technical assistance to the agencies for these standards.

31

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  1         (4)  The Chief Financial Officer Comptroller shall have

  2  the legal duty of delivering all state warrants and shall be

  3  charged with the official responsibility of the protection and

  4  security of the state warrants while in his or her custody.

  5  The Chief Financial Officer Comptroller may delegate this

  6  authority to other state agencies or officers.

  7         Section 5.  Section 17.031, Florida Statutes, is

  8  amended to read:

  9         17.031  Security of Chief Financial Officer's

10  Comptroller's office.--The Chief Financial Officer Comptroller

11  is authorized to engage the full-time services of two law

12  enforcement officers, with power of arrest, to prevent all

13  acts of a criminal nature directed at the property in the

14  custody or control of the Chief Financial Officer Comptroller.

15  While so assigned, these said officers shall be under the

16  direction and supervision of the Chief Financial Officer

17  Comptroller, and their salaries and expenses shall be paid

18  from the general fund of the office of Chief Financial Officer

19  Comptroller.

20         Section 6.  Section 17.04, Florida Statutes, is amended

21  to read:

22         17.04  To audit and adjust accounts of officers and

23  those indebted to the state.--The Department of Banking and

24  Insurance Finance of this state, using generally accepted

25  auditing procedures for testing or sampling, shall examine,

26  audit, adjust, and settle the accounts of all the officers of

27  this state, and any other person in anywise entrusted with, or

28  who may have received any property, funds, or moneys of this

29  state, or who may be in anywise indebted or accountable to

30  this state for any property, funds, or moneys, and require

31  such officer or persons to render full accounts thereof, and

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  1  to yield up such property or funds according to law, or pay

  2  such moneys into the treasury of this state, or to such

  3  officer or agent of the state as are may be appointed to

  4  receive the same, and on failure so to do, to cause to be

  5  instituted and prosecuted proceedings, criminal or civil, at

  6  law or in equity, against such persons, according to law.  The

  7  Division of Financial Investigations may conduct

  8  investigations within or outside of this state as it deems

  9  necessary to aid in the enforcement of this section.  If

10  during an investigation the division has reason to believe

11  that any criminal statute of this state has or may have been

12  violated, the division shall refer any records tending to show

13  such violation to state or federal law enforcement or

14  prosecutorial agencies and shall provide investigative

15  assistance to those agencies as required.

16         Section 7.  Section 17.0401, Florida Statutes, is

17  amended to read:

18         17.0401  Confidentiality of information relating to

19  financial investigations.--Except as otherwise provided by

20  this section, information relative to an investigation

21  conducted by the Division of Financial Investigations pursuant

22  to s. 17.04, including any consumer complaint, is confidential

23  and exempt from the provisions of s. 119.07(1) and s. 24(a),

24  Art. I of the State Constitution until the investigation is

25  completed or ceases to be active.  Any information relating to

26  an investigation conducted by the division pursuant to s.

27  17.04 shall remain confidential and exempt from the provisions

28  of s. 119.07(1) and s. 24(a), Art. I of the State Constitution

29  after the division's investigation is completed or ceases to

30  be active if the division submits the information to any law

31  enforcement or prosecutorial agency for further investigation.

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  1  Such information shall remain confidential and exempt from the

  2  provisions of s. 119.07(1) and s. 24(a), Art. I of the State

  3  Constitution until that agency's investigation is completed or

  4  ceases to be active.  For purposes of this section, an

  5  investigation shall be considered "active" so long as the

  6  division or any law enforcement or prosecutorial agency is

  7  proceeding with reasonable dispatch and has a reasonable good

  8  faith belief that the investigation may lead to the filing of

  9  an administrative, civil, or criminal proceeding.  This

10  section shall not be construed to prohibit disclosure of

11  information that which is required by law to be filed with the

12  Department of Banking and Insurance Finance and which, but for

13  the investigation, would otherwise be subject to public

14  disclosure. Nothing in this section shall be construed to

15  prohibit the division from providing information to any law

16  enforcement or prosecutorial agency.  Any law enforcement or

17  prosecutorial agency receiving confidential information from

18  the division in connection with its official duties shall

19  maintain the confidentiality of the information as provided

20  for in this section.

21         Section 8.  Section 17.041, Florida Statutes, is

22  amended to read:

23         17.041  County and district accounts and claims.--

24         (1)  It shall be the duty of the Department of Banking

25  and Insurance Finance of this state to adjust and settle, or

26  cause to be adjusted and settled, all accounts and claims

27  heretofore or hereafter reported to it by the Auditor General,

28  the appropriate county or district official, or any person

29  against all county and district officers and employees, and

30  against all other persons entrusted with, or who may have

31  received, any property, funds, or moneys of a county or

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  1  district or who may be in anywise indebted to or accountable

  2  to a county or district for any property, funds, moneys, or

  3  other thing of value, and to require such officer, employee,

  4  or person to render full accounts thereof and to yield up such

  5  property, funds, moneys, or other thing of value according to

  6  law to the officer or authority entitled by law to receive the

  7  same.

  8         (2)  On the failure of such officer, employee, or

  9  person to adjust and settle such account, or to yield up such

10  property, funds, moneys, or other thing of value, the

11  department shall direct the attorney for the board of county

12  commissioners, the district school board, or the district, as

13  the case may be, entitled to such account, property, funds,

14  moneys, or other thing of value to represent such county or

15  district in enforcing settlement, payment, or delivery of such

16  account, property, funds, moneys, or other thing of value. The

17  department may enforce such settlement, payment, or delivery

18  pursuant to s. 17.20.

19         (3)  If Should the attorney for the county or district

20  is aforesaid be disqualified or unable to act, and no other

21  attorney is be furnished by the county or district, or if

22  should the department otherwise considers deem it advisable,

23  such account or claim may be certified to the Department of

24  Legal Affairs by the department, to be prosecuted by the

25  Department of Legal Affairs at county or district expense, as

26  the case may be, including necessary per diem and travel

27  expense in accordance with  s. 112.061, as now or hereafter

28  amended.  Such expenses, when approved by the department,

29  shall be paid forthwith by such county or district.

30         (4)  If Should it appears appear to the department that

31  any criminal statute of this state has or may have been

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  1  violated by such defaulting officer, employee, or person, such

  2  information, evidence, documents, and other things tending to

  3  show such a violation, whether in the hands of the Chief

  4  Financial Officer Comptroller, the Auditor General, the

  5  county, or the district, shall be forthwith turned over to the

  6  proper state attorney for inspection, study, and such action

  7  as is may be deemed proper, or the same may be brought to the

  8  attention of the proper grand jury.

  9         (5)  No such account or claim, after it has been

10  certified to the department, may be settled for less than the

11  amount due according to law without the written consent of the

12  department, and any attempt to make settlement in violation of

13  this subsection is shall be deemed null and void.  A county or

14  district board seeking desiring to make such a settlement

15  shall incorporate the proposed settlement into a resolution,

16  stating that the proposed settlement is contingent upon the

17  Chief Financial Officer's Comptroller's approval, and shall

18  submit two copies of the resolution to the department.  The

19  department shall return one copy with the Chief Financial

20  Officer's Comptroller's action endorsed thereon.

21         (6)  No settlement of account of any such officer,

22  employee, or person, with the county or district, or any of

23  their officers or agents, made in an amount or manner other

24  than as authorized by law or for other than a lawful county or

25  district purpose, is shall be binding upon such county or

26  district unless and until approved by the department, or

27  unless more than 4 years shall have elapsed from the date of

28  such settlement.

29         (7)  Nothing in this section shall supersede the

30  continuing duty of the proper county and district officers to

31  require any officer, employee, or person to render full

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  1  accounts of and to yield up according to law to the officer or

  2  authority entitled by law to receive the same, any property,

  3  funds, moneys, or other thing of value as to which such

  4  officer, employee, or person is in anywise indebted to or

  5  accountable to such county or district.  The provisions of

  6  this section provide for collections and recoveries that which

  7  the proper county or district officers have failed to make,

  8  and for correction of settlements made in an amount or manner

  9  other than as authorized by law.

10         Section 9.  Section 17.0415, Florida Statutes, is

11  amended to read:

12         17.0415  Transfer and assignment of claims.--In order

13  to facilitate their collection from third parties, the Chief

14  Financial Officer Comptroller may authorize the assignment of

15  claims among the state, its agencies, and its subdivisions,

16  whether arising from criminal, civil, or other judgments in

17  state or federal court. The state, its agencies, and its

18  subdivisions, may assign claims under such terms as are

19  mutually acceptable to the Chief Financial Officer Comptroller

20  and the assignee and assignor.  The assigned claim may be

21  enforced as a setoff to any claim against the state, its

22  agencies, or its subdivisions, by garnishment or in the same

23  manner as a judgment in a civil action.  Claims against the

24  state, its agencies, and its subdivisions resulting from the

25  condemnation of property protected by the provisions of s. 4,

26  Art. X of the State Constitution are not subject to setoff

27  pursuant to this section.

28         Section 10.  Section 17.05, Florida Statutes, is

29  amended to read:

30         17.05  Subpoenas; sworn statements; enforcement

31  proceedings.--

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  1         (1)  The Chief Financial Officer Comptroller may demand

  2  and require full answers on oath from any and every person

  3  that is, party or privy to any account, claim, or demand

  4  against or by the state which, such as it is may be the Chief

  5  Financial Officer's Comptroller's official duty to examine

  6  into, and the Chief Financial Officer which answers the

  7  Comptroller may require these answers to be in writing and to

  8  be sworn to before the Chief Financial Officer Comptroller or

  9  the department or before any judicial officer or clerk of any

10  court of the state so as to enable the Chief Financial Officer

11  Comptroller to determine the justice or legality of such

12  account, claim, or demand.

13         (2)  In exercising authority under this chapter, the

14  Chief Financial Officer Comptroller or his or her designee

15  may:

16         (a)  Issue subpoenas, administer oaths, and examine

17  witnesses.

18         (b)  Require or permit a person to file a statement in

19  writing, under oath or otherwise as the Chief Financial

20  Officer Comptroller or his or her designee requires, as to all

21  the facts and circumstances concerning the matter to be

22  audited, examined, or investigated.

23         (3)  Subpoenas shall be issued by the Chief Financial

24  Officer Comptroller or his or her designee under seal

25  commanding such witnesses to appear before the Chief Financial

26  Officer Comptroller or the Chief Financial Officer's

27  Comptroller's representative or the department at a specified

28  time and place and to bring books, records, and documents as

29  specified or to submit books, records, and documents for

30  inspection.  Such subpoenas may be served by an authorized

31

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  1  representative of the Chief Financial Officer Comptroller or

  2  the department.

  3         (4)  In the event of noncompliance with a subpoena

  4  issued pursuant to this section, the Chief Financial Officer

  5  Comptroller or the department may petition the circuit court

  6  of the county in which the person subpoenaed resides or has

  7  his or her principal place of business for an order requiring

  8  the subpoenaed person to appear and testify and to produce

  9  books, records, and documents as specified in the subpoena.

10  The court may grant legal, equitable, or injunctive relief,

11  including, but not limited to, issuance of a writ of ne exeat

12  or the restraint by injunction or appointment of a receiver of

13  any transfer, pledge, assignment, or other disposition of such

14  person's assets or any concealment, alteration, destruction,

15  or other disposition of subpoenaed books, records, or

16  documents, as the court deems appropriate, until such person

17  has fully complied with such subpoena and the Chief Financial

18  Officer Comptroller or the department has completed the audit,

19  examination, or investigation.  The Chief Financial Officer

20  Comptroller or the department is entitled to the summary

21  procedure provided in s. 51.011, and the court shall advance

22  the cause on its calendar.  Costs incurred by the Chief

23  Financial Officer Comptroller or the department to obtain an

24  order granting, in whole or in part, such petition for

25  enforcement of a subpoena shall be charged against the

26  subpoenaed person, and failure to comply with such order shall

27  be a contempt of court.

28         Section 11.  Section 17.06, Florida Statutes, is

29  amended to read:

30         17.06  Disallowed items and accounts.--The Chief

31  Financial Officer Comptroller shall erase from any original

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  1  account all items disallowed by him or her; and when the Chief

  2  Financial Officer Comptroller shall reject the whole of any

  3  account he or she shall write across the face of it the word

  4  "disallowed," and the date, and file the same in the Chief

  5  Financial Officer's Comptroller's office or deliver it to the

  6  claimant.

  7         Section 12.  Section 17.075, Florida Statutes, is

  8  amended to read:

  9         17.075  Form of state warrants and other payment

10  orders; rules.--

11         (1)  The Department of Banking and Insurance Finance is

12  authorized to establish the form or forms of state warrants

13  that which are to be drawn by it and of other orders for

14  payment or disbursement of moneys out of the State Treasury

15  and to change the form thereof from time to time as the

16  department may consider necessary or appropriate.  Such orders

17  for payment may be in any form, but, regardless of form, each

18  order shall be subject to the accounting and recordkeeping

19  requirements applicable to state warrants.

20         (2)  The department shall adopt rules establishing

21  accounting and recordkeeping procedures for all payments made

22  by electronic transfer of funds or by any other means.  Such

23  procedures shall be consistent with the statutory requirements

24  applicable to payments by state warrant.

25         Section 13.  Section 17.076, Florida Statutes, is

26  amended to read:

27         17.076  Direct deposit of funds.--

28         (1)  As used in this section:

29         (a)  "Beneficiary" means any person who is drawing

30  salary or retirement benefits from the state or who is the

31  recipient of any lawful payment from state funds.

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  1         (b)  "Department" means the Department of Banking and

  2  Insurance Finance.

  3         (2)  The department shall establish a program for the

  4  direct deposit of funds to the account of the beneficiary of

  5  such a payment or disbursement in any financial institution

  6  equipped for electronic fund transfers, which institution is

  7  designated in writing by such beneficiary and has lawful

  8  authority to accept such deposits. Direct deposit of funds

  9  shall be by any electronic or other transfer medium approved

10  by the department for such purpose.

11         (3)  The department may contract with an authorized

12  financial institution for the services necessary to operate

13  the program.  In order to implement the provisions of this

14  section, the Chief Financial Officer Comptroller is authorized

15  to deposit with that financial institution the funds payable

16  to the beneficiaries, in lump sum, by Chief Financial

17  Officer's Comptroller's warrant to make the authorized direct

18  deposits.

19         (4)  The written authorization of a beneficiary shall

20  be filed with the department or its designee. Such

21  authorization shall remain in effect until withdrawn in

22  writing by the beneficiary or dishonored by the designated

23  financial institution.

24         (5)  All direct deposit records made prior to October

25  1, 1986, are exempt from the provisions of s. 119.07(1).  With

26  respect to direct deposit records made on or after October 1,

27  1986, the names of the authorized financial institutions and

28  the account numbers of the beneficiaries are confidential and

29  exempt from the provisions of s. 119.07(1).

30

31

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  1         (6)  The department shall implement local option direct

  2  deposit of funds for local governmental entities by January 1,

  3  1996.

  4         (7)  To cover the department's actual costs for

  5  processing the direct deposit of funds other than salary or

  6  retirement benefits, the department may charge the beneficiary

  7  of the direct deposit a reasonable fee. The department may

  8  collect the fee by direct receipt from the beneficiary or by

  9  subtracting the amount of the fee from the funds due the

10  beneficiary.  Such fees collected by the department shall be

11  deposited into the Department of Banking and Finance

12  Administrative Trust Fund.

13         (8)  Effective July 1, 2000, All new recipients of

14  retirement benefits from this state shall be paid by direct

15  deposit of funds. A retiree may request from the department an

16  exemption from the provisions of this subsection when such

17  retiree can demonstrate a hardship. The department may pay

18  retirement benefits by state warrant when deemed

19  administratively necessary.

20         Section 14.  Section 17.08, Florida Statutes, is

21  amended to read:

22         17.08  Accounts, etc., on which warrants drawn, to be

23  filed.--All accounts, vouchers, and evidence, upon which

24  warrants have heretofore been, or shall hereafter be, drawn

25  upon the treasury by the Chief Financial Officer Comptroller

26  shall be filed and deposited in the office of the Chief

27  Financial Officer Comptroller or the office of the Chief

28  Financial Officer's Comptroller's designee, in accordance with

29  requirements established by law the Secretary of State.

30         Section 15.  Section 17.09, Florida Statutes, is

31  amended to read:

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  1         17.09  Application for warrants for salaries.--All

  2  public officers who are entitled to salaries in this state,

  3  shall make their application for warrants in writing, stating

  4  for what terms and the amount they claim, which written

  5  application shall be filed by the Chief Financial Officer

  6  Comptroller as vouchers for the warrants issued thereupon.

  7         Section 16.  Section 17.10, Florida Statutes, is

  8  amended to read:

  9         17.10  Record of warrants issued.--The Chief Financial

10  Officer Comptroller shall cause to be entered in the warrant

11  register a record of the warrants issued during the previous

12  month, and shall make such entry in the record so required to

13  be kept as shall show the number of each warrant issued, in

14  whose favor drawn, and the date it was issued.

15         Section 17.  Section 17.11, Florida Statutes, is

16  amended to read:

17         17.11  To report disbursements made.--

18         (1)  The Chief Financial Officer Comptroller shall make

19  in all his or her future annual reports an exhibit stated from

20  the record of disbursements made during the fiscal year, and

21  the several heads of expenditures under which such

22  disbursements were made.

23         (2)  The Chief Financial Officer Comptroller shall also

24  cause to have reported from the Florida Accounting Information

25  Resource Subsystem no less than quarterly the disbursements

26  that which agencies have made to small businesses, as defined

27  in the Florida Small and Minority Business Assistance Act of

28  1985; to certified minority business enterprises in the

29  aggregate; and to certified minority business enterprises

30  broken down into categories of minority persons, as well as

31  gender and nationality subgroups. This information shall be

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  1  made available to the agencies, the Minority Business Advocacy

  2  and Assistance Office, the Governor, the President of the

  3  Senate, and the Speaker of the House of Representatives. Each

  4  agency shall be responsible for the accuracy of information

  5  entered into the Florida Accounting Information Resource

  6  Subsystem for use in this reporting.

  7         Section 18.  Section 17.12, Florida Statutes, is

  8  amended to read:

  9         17.12  Authorized to issue warrants to tax collector or

10  sheriff for payment.--Whenever it appears shall appear to the

11  satisfaction of the Chief Financial Officer Comptroller of

12  this state from examination of the books of his or her office

13  that the tax collector or the sheriff for any county in this

14  state has paid into the State Treasury, through mistake or

15  otherwise, a larger or greater sum than is actually due from

16  the tax said collector or sheriff, then the Chief Financial

17  Officer Comptroller may issue a warrant to the tax said

18  collector or sheriff for the sum so found to be overpaid.

19         Section 19.  Section 17.13, Florida Statutes, is

20  amended to read:

21         17.13  To duplicate warrants lost or destroyed.--

22         (1)  The Chief Financial Officer Comptroller is

23  required to duplicate any Comptroller's warrants that may have

24  been lost or destroyed, or may hereafter be lost or destroyed,

25  upon the owner thereof or the owner's agent or attorney

26  presenting the Chief Financial Officer Comptroller the

27  statement, under oath, reciting the number, date, and amount

28  of any warrant or the best and most definite description in

29  his or her knowledge and the circumstances of its loss; if the

30  Chief Financial Officer Comptroller deems it necessary, the

31  owner or the owner's agent or attorney shall file in the

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  1  office of the Chief Financial Officer Comptroller a surety

  2  bond, or a bond with securities, to be approved by one of the

  3  judges of the circuit court or one of the justices of the

  4  Supreme Court, in a penalty of not less than twice the amount

  5  of any warrants so duplicated, conditioned to indemnify the

  6  state and any innocent holders thereof from any damages that

  7  may accrue from such duplication.

  8         (2)  The Chief Financial Officer Comptroller is

  9  required to duplicate any Chief Financial Officer's

10  Comptroller's warrant that may have been lost or destroyed, if

11  it was or may hereafter be lost or destroyed, when sent to any

12  payee via any state agency and was when such warrant is lost

13  or destroyed prior to being received by the payee and if

14  provided the director of the state agency to whom the warrant

15  was sent presents to the Chief Financial Officer Comptroller a

16  statement, under oath, reciting the number, date, and amount

17  of the warrant lost or destroyed, the circumstances

18  surrounding the loss or destruction of such warrant, and any

19  additional information that the Chief Financial Officer

20  requests Comptroller shall request in regard to such warrant.

21         (3)  Any duplicate Chief Financial Officer's

22  Comptroller's warrant issued in pursuance of this section is

23  the above provisions shall be of the same validity as the

24  original was before its loss.

25         Section 20.  Section 17.14, Florida Statutes, is

26  amended to read:

27         17.14  To prescribe forms.--The Department of Banking

28  and Insurance Finance may prescribe the forms of all papers,

29  vouchers, reports and returns and the manner of keeping the

30  accounts and papers to be used by the officers of this state

31  or other persons having accounts, claims, or demands against

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  1  the state or entrusted with the collection of any of the

  2  revenue thereof or any demand due the same, which form shall

  3  be pursued by such officer or other persons.

  4         Section 21.  Section 17.16, Florida Statutes, is

  5  amended to read:

  6         17.16  Seal.--The seal of office of the Chief Financial

  7  Officer Comptroller of the state shall be the same as the seal

  8  heretofore used by the Comptroller for that purpose.

  9         Section 22.  Section 17.17, Florida Statutes, is

10  amended to read:

11         17.17  Examination by Governor and report.--The office

12  of Chief Financial Officer Comptroller of the state, and the

13  books, files, documents, records, and papers shall always be

14  subject to the examination of the Governor of this state, or

15  any person the Governor authorizes may authorize to examine

16  the same; and on the first day of January of each and every

17  year, or oftener if called for by the Governor, the Chief

18  Financial Officer Comptroller shall make a full report of all

19  his or her official acts and proceedings for the last fiscal

20  year to the Governor, to be laid before the Legislature with

21  the Governor's message, and shall make such further report as

22  the constitution requires may require.

23         Section 23.  Section 17.20, Florida Statutes, is

24  amended to read:

25         17.20  Assignment of claims for collection.--

26         (1)  The Department of Banking and Insurance Finance

27  shall charge the state attorneys with the collection of all

28  claims that are placed in their hands for collection of money

29  or property for the state or any county or special district,

30  or that it otherwise requires them to collect.  The charges

31  are evidence of indebtedness of a state attorney against whom

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  1  any charge is made for the full amount of the claim, until the

  2  charges have been collected and paid into the treasury of the

  3  state or of the county or special district or the legal

  4  remedies of the state have been exhausted, or until the state

  5  attorney demonstrates to the department that the failure to

  6  collect the charges is not due to negligence and the

  7  department has made a proper entry of satisfaction of the

  8  charge against the state attorney.

  9         (2)  The department may assign the collection of any

10  claim to a collection agent who is registered and in good

11  standing pursuant to chapter 559, if the department determines

12  the assignation to be cost-effective.  The department may pay

13  an agent from any amount collected under the claim a fee that

14  the department and the agent have agreed upon; may authorize

15  the agent to deduct the fee from the amount collected; may

16  require the appropriate state agency, county, or special

17  district to pay the agent the fee from any amount collected by

18  the agent on its behalf; or may authorize the agent to add the

19  fee to the amount to be collected.

20         (3)  Notwithstanding any other provision of law, in any

21  contract providing for the location or collection of unclaimed

22  property, the department may authorize the contractor to

23  deduct its fees and expenses for services provided under the

24  contract from the unclaimed property that the contractor has

25  recovered or collected under the contract. The department

26  shall annually report to the Governor, the President of the

27  Senate, and the Speaker of the House of Representatives the

28  total amount collected or recovered by each contractor during

29  the previous fiscal year and the total fees and expenses

30  deducted by each contractor.

31

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  1         Section 24.  Section 17.21, Florida Statutes, is

  2  amended to read:

  3         17.21  Not to allow any claim of state attorney against

  4  state until report made.--The Chief Financial Officer

  5  Comptroller shall not audit or allow any claim that which any

  6  state attorney may have against the state for services who

  7  fails shall fail to make any report that which by law the

  8  state attorney is required to make to the Chief Financial

  9  Officer Comptroller of claims of the state which it is his or

10  her duty to collect.

11         Section 25.  Section 17.22, Florida Statutes, is

12  amended to read:

13         17.22  Notice to Department of Legal Affairs.--Whenever

14  the Department of Banking and Insurance Finance forwards any

15  bond or account or claim for suit to any state attorney, it

16  shall advise the Department of Legal Affairs of the fact,

17  giving it the amount of the claim and other necessary

18  particulars for its full information upon the subject.

19         Section 26.  Section 17.25, Florida Statutes, is

20  amended to read:

21         17.25  May certify copies.--The Chief Financial Officer

22  Comptroller of this state may certify, under his or her seal

23  of office, copies of any record, paper, or document, by law

24  placed in the Chief Financial Officer's Comptroller's custody,

25  keeping, and care; and such certified copy shall have the same

26  force and effect as evidence as the original would have.

27         Section 27.  Section 17.26, Florida Statutes, is

28  amended to read:

29         17.26  Cancellation of state warrants not presented

30  within 1 year; 3-year limitation on payment of warrants not

31  presented for payment.--

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  1         (1)  If any state warrant issued by the Chief Financial

  2  Officer Comptroller against any fund in the State Treasury is

  3  not presented for payment within 1 year after the last day of

  4  the month in which it was originally issued, the Chief

  5  Financial Officer Comptroller may cancel the warrant and

  6  credit the amount of the warrant to the fund upon which it is

  7  drawn.  If the warrant so canceled was issued against a fund

  8  that is no longer operative, the amount of the warrant shall

  9  be credited to the General Revenue Fund.  The Chief Financial

10  Officer Treasurer shall not honor any state warrant after it

11  has been canceled.

12         (2)  Except as provided in paragraph (3)(a), the funds

13  represented by a warrant canceled under subsection (1) are

14  presumed abandoned by the payee or person entitled to the

15  warrant and shall be reported and remitted as unclaimed

16  property under s. 717.117, except that written notice to the

17  apparent owner of the unclaimed property is not required

18  before filing of the report. An action may not be commenced

19  thereafter for recovery of funds represented by the warrant,

20  except as provided by chapter 717. This subsection applies to

21  all warrants issued on or after July 1, 1992.

22         (3)  When a warrant canceled under subsection (1)

23  represents funds that are in whole or in part derived from

24  federal contributions and disposition of the funds under

25  chapter 717 would cause a loss of the federal contributions,

26  the Governor shall certify to the Chief Financial Officer

27  Comptroller that funds represented by such warrants are for

28  that reason exempt from treatment as unclaimed property.

29         (a)  Obligations represented by warrants issued before

30  July 1, 1995, so certified are unenforceable after 3 years

31  from the last day of the month in which the warrant was

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  1  originally issued. When a payee or person entitled to a

  2  warrant subject to this subsection requests payment, the Chief

  3  Financial Officer Comptroller may, within 3 years from the

  4  last day of the month in which the warrant was originally

  5  issued, upon investigation, issue a new warrant, to be paid

  6  out of the proper fund in the State Treasury, provided the

  7  payee or other person executes under oath the statement

  8  required by s. 17.13 or surrenders the canceled warrant.

  9  There is appropriated a sufficient amount for the payment of

10  any new warrant issued to replace a canceled warrant charged

11  against an expired appropriation or charged against a fund

12  that is no longer operative. An action may not be commenced

13  thereafter on the obligation.

14         (b)  Obligations represented by warrants issued on or

15  after July 1, 1995, so certified are unenforceable after 1

16  year from the last day of the month in which the warrant was

17  originally issued.  An action may not be commenced thereafter

18  on the obligation unless authorized by the federal program

19  from which the original warrant was funded and unless payment

20  of the obligation is authorized to be made from the current

21  federal funding.  When a payee or person entitled to a warrant

22  subject to this paragraph requests payment, and payment from

23  current federal funding is authorized by the federal program

24  from which the original warrant was funded, the Chief

25  Financial Officer Comptroller may, upon investigation, issue a

26  new warrant to be paid out of the proper fund in the State

27  Treasury, provided the payee or other person executes under

28  oath the statement required by s. 17.13 or surrenders the

29  canceled warrant.

30         (4)  If a valid obligation of the state is due, owing,

31  and unpaid and it becomes unenforceable for any reason because

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  1  of the provisions and limitations contained in this section,

  2  the person entitled to payment on the obligation may present a

  3  claim for relief to the Legislature, provided the claim is

  4  made within the time limitations presently provided by law.

  5         (5)  This section does not extend any applicable

  6  statute of limitations or revive any barred claim with respect

  7  to any state obligation outstanding and unpaid on July 1,

  8  1995.

  9         Section 28.  Section 17.27, Florida Statutes, is

10  amended to read:

11         17.27  Microfilming and destroying records and

12  correspondence.--

13         (1)  The Department of Banking and Insurance Finance

14  may destroy general correspondence files and also any other

15  records that which the department considers need may deem no

16  longer be preserved necessary to preserve in accordance with

17  retention schedules and destruction notices established under

18  rules of the Division of Library and Information Services,

19  records and information management program, of the Department

20  of State. Such schedules and notices relating to financial

21  records of the department shall be subject to the approval of

22  the Auditor General.

23         (2)  The Department of Banking and Insurance Finance

24  may photograph, microphotograph, or reproduce on film any of

25  its such documents and records as it may select, in such

26  manner that each page will be exposed in exact conformity with

27  the original.

28         (3)  The Department of Banking and Insurance Finance

29  may destroy any of such said documents after they have been

30  photographed and filed in accordance with the provisions of

31  subsection (1).

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  1         (4)  Photographs or microphotographs in the form of

  2  film or prints of any records made in compliance with the

  3  provisions of this section shall have the same force and

  4  effect as the originals thereof would have, and shall be

  5  treated as originals for the purpose of their admissibility in

  6  evidence.  Duly certified or authenticated reproductions of

  7  such photographs or microphotographs shall be admitted in

  8  evidence equally with the original photographs or

  9  microphotographs.

10         Section 29.  Section 17.28, Florida Statutes, is

11  amended to read:

12         17.28  Chief Financial Officer Comptroller may

13  authorize biweekly salary payments.--The Chief Financial

14  Officer Comptroller is authorized and may permit biweekly

15  salary payments to personnel upon written request by a

16  specific state agency.  The Chief Financial Officer

17  Comptroller shall adopt promulgate reasonable rules and

18  regulations to carry out the intent of this section.

19         Section 30.  Section 17.29, Florida Statutes, is

20  amended to read:

21         17.29  Authority to prescribe rules.--The Chief

22  Financial Officer Comptroller has authority to adopt rules

23  pursuant to ss. 120.54 and 120.536(1) to implement duties

24  assigned by statute or the State Constitution. Such rules may

25  include, but are not limited to, the following:

26         (1)  Procedures or policies relating to the processing

27  of payments from salaries, other personal services, or any

28  other applicable appropriation.

29         (2)  Procedures for processing interagency and

30  intraagency payments which do not require the issuance of a

31  state warrant.

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  1         Section 31.  Section 17.30, Florida Statutes, is

  2  amended to read:

  3         17.30  Dissemination of information.--The Chief

  4  Financial Officer Comptroller may disseminate, in any form or

  5  manner he or she considers appropriate, information regarding

  6  the Chief Financial Officer's Comptroller's official duties.

  7         Section 32.  Section 17.32, Florida Statutes, is

  8  amended to read:

  9         17.32  Annual report of trust funds; duties of Chief

10  Financial Officer Comptroller.--

11         (1)  On February 1 of each year, the Chief Financial

12  Officer Comptroller shall present to the President of the

13  Senate and the Speaker of the House of Representatives a

14  report listing all trust funds as defined in s. 215.32.  The

15  report shall contain the following data elements for each fund

16  for the preceding fiscal year:

17         (a)  The fund code.

18         (b)  The title.

19         (c)  The fund type according to generally accepted

20  accounting principles.

21         (d)  The statutory authority.

22         (e)  The beginning cash balance.

23         (f)  Direct revenues.

24         (g)  Nonoperating revenues.

25         (h)  Operating disbursements.

26         (i)  Nonoperating disbursements.

27         (j)  The ending cash balance.

28         (k)  The department and budget entity in which the fund

29  is located.

30         (2)  The report shall separately list all funds that

31  received no revenues other than interest earnings or transfers

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  1  from the General Revenue Fund or from other trust funds during

  2  the preceding fiscal year.

  3         (3)  The report shall separately list all funds that

  4  had unencumbered balances in excess of $2 million in each of

  5  the 2 preceding fiscal years.

  6         Section 33.  Section 17.325, Florida Statutes, is

  7  amended to read:

  8         17.325  Governmental efficiency hotline; duties of

  9  Chief Financial Officer Comptroller.--

10         (1)  By September 1, 1992, The Chief Financial Officer

11  Comptroller shall establish and operate a statewide toll-free

12  telephone hotline to receive information or suggestions from

13  the public citizens of this state on how to improve the

14  operation of government, increase governmental efficiency, and

15  eliminate waste in government.  The Chief Financial Officer

16  Comptroller shall report each month to the Appropriations

17  Committee of the House of Representatives and of the Senate

18  the information or suggestions received through the hotline

19  and the evaluations and determinations made by the affected

20  agency, as provided in subsection (3), with respect to such

21  information or suggestions.

22         (2)  The Chief Financial Officer Comptroller shall

23  operate the hotline 24 hours a day. The Chief Financial

24  Officer Comptroller shall advertise the availability of the

25  hotline in newspapers of general circulation in this state and

26  shall provide for the posting of notices in conspicuous places

27  in state agency offices, city halls, county courthouses, and

28  places in which there is exposure to significant numbers of

29  the general public, including, but not limited to, local

30  convenience stores, shopping malls, shopping centers, gasoline

31  stations, or restaurants.  The Chief Financial Officer

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  1  Comptroller shall use the slogan "Tell us where we can 'Get

  2  Lean'" for the hotline and in advertisements for the hotline.

  3         (3)  Each telephone call on the hotline shall be

  4  received by the office of the Chief Financial Officer

  5  Comptroller, and the office of the Chief Financial Officer

  6  Comptroller shall conduct an evaluation to determine whether

  7  if it is appropriate for the telephone call to be processed as

  8  a "Get Lean" telephone call. If it is determined that the

  9  telephone call should be processed as a "Get Lean" telephone

10  call, a record of each suggestion or item of information

11  received shall be entered into a log kept by the Chief

12  Financial Officer Comptroller.  A caller on the hotline may

13  remain anonymous, and, if the caller provides his or her name,

14  the name shall be confidential.  If a caller discloses that he

15  or she is a state employee, the Chief Financial Officer

16  Comptroller, in addition to maintaining a record as required

17  by this section, may refer any information or suggestion from

18  the caller to an existing state awards program administered by

19  the affected agency.  The affected agency shall conduct a

20  preliminary evaluation of the efficacy of any suggestion or

21  item of information received through the hotline and shall

22  provide the Chief Financial Officer Comptroller with a

23  preliminary determination of the amount of revenues the state

24  might save by implementing the suggestion or making use of the

25  information.

26         (4)  Any person who provides any information through

27  the hotline is shall be immune from liability for any use of

28  such information and is shall not be subject to any

29  retaliation by any employee of the state for providing such

30  information or making such suggestion.

31

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  1         (5)  The Chief Financial Officer may Comptroller shall

  2  adopt any rule necessary to implement the establishment,

  3  operation, and advertisement of the hotline.

  4         Section 34.  Section 17.41, Florida Statutes, is

  5  amended to read:

  6         17.41  Department of Banking and Insurance Finance

  7  Tobacco Settlement Clearing Trust Fund.--

  8         (1)  The Department of Banking and Insurance Finance

  9  Tobacco Settlement Clearing Trust Fund is created within that

10  department.

11         (2)  Funds to be credited to the trust fund shall

12  consist of all annual payments received by the state from

13  settlement of State of Florida v. American Tobacco Co., No.

14  95-1466AH (Fla. 15th Cir. Ct. 1996). All moneys received from

15  the settlement shall be deposited into the trust fund and are

16  exempt from the service charges imposed under s. 215.20.

17         (3)  The State Board of Administration shall invest and

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

19  215.44-215.53. Costs and fees of the State Board of

20  Administration for providing such investment services shall be

21  deducted from the earnings accruing to the trust fund.

22         (4)  The department shall disburse funds, by

23  nonoperating transfer, from the clearing trust fund to the

24  tobacco settlement trust funds of the various agencies in

25  amounts equal to the annual appropriations made from those

26  trust funds in the General Appropriations Act.

27         (5)  Pursuant to the provisions of s. 19(f)(3), Art.

28  III of the State Constitution, the trust fund is exempt from

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

30  State Constitution.

31

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  1         Section 35.  Section 17.43, Florida Statutes, as

  2  amended by section 2 of chapter 99-84, Laws of Florida, is

  3  amended to read:

  4         17.43  Chief Financial Officer's Comptroller's Federal

  5  Equitable Sharing Trust Fund.--

  6         (1)  The Chief Financial Officer's Comptroller's

  7  Federal Equitable Sharing Trust Fund is created within the

  8  Department of Banking and Insurance Finance. The department

  9  may deposit into the trust fund receipts and revenues received

10  as a result of federal criminal, administrative, or civil

11  forfeiture proceedings and receipts and revenues received from

12  federal asset-sharing programs. The trust fund is exempt from

13  the service charges imposed by s. 215.20.

14         (2)  Notwithstanding the provisions of s. 216.301 and

15  pursuant to s. 216.351, any balance in the trust fund at the

16  end of any fiscal year shall remain in the trust fund at the

17  end of the year and shall be available for carrying out the

18  purposes of the trust fund.

19         Section 36.  Section 18.01, Florida Statutes, is

20  transferred, renumbered as section 17.44, Florida Statutes,

21  and amended to read:

22         17.44 18.01  Oath and certificate of Chief Financial

23  Officer Treasurer.--The Chief Financial Officer Treasurer

24  shall, within 10 days before he or she enters upon the duties

25  of office, take and subscribe an oath or affirmation

26  faithfully to discharge the duties of office, which oath or

27  affirmation must be deposited with the custodian of state

28  records Department of State. The Chief Financial Officer

29  Treasurer shall also file with the custodian of state records

30  Department of State a certificate from the retiring Chief

31  Financial Officer Comptroller attesting that the retiring

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  1  Chief Financial Officer Treasurer has turned over vouchers for

  2  all payments made as required by law, and that the Chief

  3  Financial Officer's Treasurer's account has been truly

  4  credited with the same, and that he or she has filed receipts

  5  from his or her successor for all vouchers paid since the end

  6  of last quarter, and for balance of cash, and for all bonds

  7  and other securities held by the Chief Financial Officer

  8  Treasurer as such, and a certificate from each board of which

  9  he or she is made by law ex officio treasurer, that he or she

10  has satisfactorily accounted to such board as its treasurer.

11         Section 37.  Section 18.02, Florida Statutes, is

12  transferred, renumbered as section 17.45, Florida Statutes,

13  and amended to read:

14         17.45 18.02  Moneys paid on warrants.--The Chief

15  Financial Officer Treasurer shall pay all warrants drawn on

16  the treasury drawn by the Comptroller and other orders by the

17  Comptroller for the disbursement of state funds by electronic

18  means or by means of a magnetic tape or any other transfer

19  medium.  No moneys shall be paid out of the treasury except on

20  such warrants or other orders of the Chief Financial Officer

21  Comptroller.

22         Section 38.  Section 18.021, Florida Statutes, is

23  transferred, renumbered as section 17.46, Florida Statutes,

24  and amended to read:

25         17.47 18.021  Chief Financial Officer Treasurer to

26  operate personal check-cashing service.--

27         (1)  The Chief Financial Officer Treasurer is

28  authorized to operate a personal check-cashing service or a

29  remote financial service unit at the capitol for the benefit

30  of state employees or other responsible persons who properly

31  identify themselves.

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  1         (2)  If a personal check is dishonored or a state

  2  warrant is forged and the Chief Financial Officer Treasurer

  3  has made diligent but unsuccessful effort to collect and has

  4  forwarded the returned check for prosecution by the

  5  appropriate state attorney, then he or she may include such

  6  amount in his or her budget request to be considered during

  7  the next legislative session.

  8         Section 39.  Section 18.06, Florida Statutes, is

  9  transferred, renumbered as section 17.47, Florida Statutes,

10  and amended to read:

11         17.47 18.06  Examination by and monthly statements to

12  the Governor.--The office of the Treasurer of this state, and

13  the books, files, documents, records, and papers thereof,

14  shall always be subject to the examination of the Governor of

15  the state, or any person he or she may authorize to examine

16  same. The Chief Financial Officer Treasurer shall exhibit to

17  the Governor monthly a trial balance sheet from his or her

18  books and a statement of all the credits, moneys, or effects

19  on hand on the day for which the said trial balance sheet is

20  made, and the said statement accompanying the said trial

21  balance sheet shall particularly describe the exact character

22  of funds, credits, and securities, and shall state in detail

23  the amount that which he or she may have representing cash,

24  including any not yet entered upon the books of his or her

25  office, and shall certify and sign the statement such

26  statement shall be certified and signed by the Treasurer

27  officially.

28         Section 40.  Section 18.07, Florida Statutes, is

29  transferred, renumbered as section 17.48, F.S. and amended to

30  read:

31

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  1         17.48 18.07  Chief Financial Officer Treasurer to keep

  2  record of warrants and of state funds and securities.--The

  3  Chief Financial Officer Treasurer shall keep a record of the

  4  warrants or other orders that of the Comptroller which the

  5  Chief Financial Officer Treasurer pays and shall account for

  6  all state funds and securities.

  7         Section 41.  Section 18.091, Florida Statutes, is

  8  transferred, renumbered as section 17.49, Florida Statutes,

  9  and amended to read:

10         17.49 18.091  Legislative sessions; additional

11  employees.--

12         (1)  Whenever Hereafter during any period of time the

13  Legislature is of Florida may be in actual session, the Chief

14  Financial Officer Treasurer is empowered to employ additional

15  persons to assist in performing the services required of the

16  Chief Financial Officer Treasurer in connection with s.

17  18.021(1). The salary salaries to be paid to such an employee

18  employees of the Chief Financial Officer Treasurer shall not

19  exceed be in excess of the highest salary paid by the House of

20  Representatives or the state Senate for secretarial services;

21  and the salaries for such said employees shall begin with the

22  convening of the Legislature in session and shall continue for

23  not more than 7 days after the close of the legislative

24  session; however, provided, that recesses of the Legislature

25  not in excess of 3 days shall be considered as time during

26  which the Legislature is actually in session.

27         (2)  In addition to the regular annual appropriations

28  for the Chief Financial Officer Treasurer, there is hereby

29  appropriated for use of the Chief Financial Officer Treasurer

30  from the General Revenue Fund, from time to time as necessary,

31

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  1  sufficient sums to pay the salaries of the above-described

  2  employees of the Chief Financial Officer Treasurer.

  3         Section 42.  Section 18.10, Florida Statutes, is

  4  transferred, renumbered as section 17.50, Florida Statutes,

  5  and amended to read:

  6         17.50 18.10  Deposits and investments of state money.--

  7         (1)  The Chief Financial Officer Treasurer, or other

  8  parties with the permission of the Chief Financial Officer

  9  Treasurer, shall deposit the money of the state or any money

10  in the State Treasury in such qualified public depositories of

11  the state as will offer satisfactory collateral security for

12  such deposits, pursuant to chapter 280. It is the duty of the

13  Chief Financial Officer Treasurer, consistent with the cash

14  requirements of the state, to keep such money fully invested

15  or deposited as provided by law herein in order that the state

16  may realize maximum earnings and benefits.

17         (2)  The Chief Financial Officer Treasurer shall make

18  funds available to meet the disbursement needs of the state.

19  Funds that which are not needed for this purpose shall be

20  placed in qualified public depositories that will pay rates

21  established by the Chief Financial Officer Treasurer at levels

22  not less than the prevailing rate for United States Treasury

23  securities with a corresponding maturity. If In the event

24  money is available for interest-bearing time deposits or

25  savings accounts as provided herein and qualified public

26  depositories are unwilling to accept such money and pay

27  thereon the rates required established above, then such money

28  that which qualified public depositories are unwilling to

29  accept shall be invested in:

30         (a)  Direct United States Treasury obligations.

31         (b)  Obligations of the Federal Farm Credit Banks.

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  1         (c)  Obligations of the Federal Home Loan Bank and its

  2  district banks.

  3         (d)  Obligations of the Federal Home Loan Mortgage

  4  Corporation, including participation certificates.

  5         (e)  Obligations guaranteed by the Government National

  6  Mortgage Association.

  7         (f)  Obligations of the Federal National Mortgage

  8  Association.

  9         (g)  Commercial paper of prime quality of the highest

10  letter and numerical rating as provided for by at least one

11  nationally recognized rating service.

12         (h)  Time drafts or bills of exchange drawn on and

13  accepted by a commercial bank, otherwise known as "bankers

14  acceptances," which are accepted by a member bank of the

15  Federal Reserve System having total deposits of not less than

16  $400 million or which are accepted by a commercial bank which

17  is not a member of the Federal Reserve System with deposits of

18  not less than $400 million and which is licensed by a state

19  government or the Federal Government, and whose senior debt

20  issues are rated in one of the two highest rating categories

21  by a nationally recognized rating service and which are held

22  in custody by a domestic bank which is a member of the Federal

23  Reserve System.

24         (i)  Corporate obligations or corporate master notes of

25  any corporation within the United States, if the long-term

26  obligations of such corporation are rated by at least two

27  nationally recognized rating services in any one of the four

28  highest classifications. However, if such obligations are

29  rated by only one nationally recognized rating service, then

30  the obligations must shall be rated in any one of the two

31  highest classifications.

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  1         (j)  Obligations of the Student Loan Marketing

  2  Association.

  3         (k)  Obligations of the Resolution Funding Corporation.

  4         (l)  Asset-backed or mortgage-backed securities of the

  5  highest credit quality.

  6         (m)  Any obligations not previously listed which are

  7  guaranteed as to principal and interest by the full faith and

  8  credit of the United States Government or are obligations of

  9  United States agencies or instrumentalities which are rated in

10  the highest category by a nationally recognized rating

11  service.

12         (n)  Commingled no-load investment funds or no-load

13  mutual funds in which all securities held by the funds are

14  authorized in this subsection.

15         (o)  Money market mutual funds as defined and regulated

16  by the Securities and Exchange Commission.

17         (p)  Obligations of state and local governments rated

18  in any of the four highest classifications by at least two

19  nationally recognized rating services. However, if such

20  obligations are rated by only one nationally recognized rating

21  service, then the obligations shall be rated in any one of the

22  two highest classifications.

23         (q)  Derivatives of investment instruments authorized

24  in paragraphs (a) through (m).

25         (r)  Covered put and call options on investment

26  instruments authorized in this subsection for the purpose of

27  hedging transactions by investment managers to mitigate risk

28  or to facilitate portfolio management.

29         (s)  Negotiable certificates of deposit issued by

30  financial institutions whose long-term debt is rated in one of

31  the three highest categories by at least two nationally

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  1  recognized rating services, the investment in which shall not

  2  be prohibited by any provision of chapter 280.

  3         (t)  Foreign bonds denominated in United States dollars

  4  and registered with the Securities and Exchange Commission for

  5  sale in the United States, if the long-term obligations of

  6  such issuers are rated by at least two nationally recognized

  7  rating services in any one of the four highest

  8  classifications. However, if such obligations are rated by

  9  only one nationally recognized rating service, the obligations

10  must shall be rated in any one of the two highest

11  classifications.

12         (u)  Convertible debt obligations of any corporation

13  domiciled within the United States, if the convertible debt

14  issue is rated by at least two nationally recognized rating

15  services in any one of the four highest classifications.

16  However, if such obligations are rated by only one nationally

17  recognized rating service, then the obligations must shall be

18  rated in any one of the two highest classifications.

19         (v)  Securities not otherwise described in this

20  subsection. However, not more than 3 percent of the funds

21  under the control of the Treasurer shall be invested in

22  securities described in this paragraph.

23

24  These investments may be in varying maturities and may be in

25  book-entry form. Investments made pursuant to this subsection

26  may be under repurchase agreement. The Chief Financial Officer

27  Treasurer is authorized to hire registered investment advisers

28  and other consultants to assist in investment management and

29  to pay fees directly from investment earnings. Investment

30  securities, proprietary investment services related to

31  contracts, performance evaluation services, investment-related

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  1  equipment or software used directly to assist investment

  2  trading or investment accounting operations including bond

  3  calculators, telerates, Bloombergs, special program

  4  calculators, intercom systems, and software used in

  5  accounting, communications, and trading, and advisory and

  6  consulting contracts made under this section are exempt from

  7  the provisions of chapter 287.

  8         (3)  If In the event the financial institutions in the

  9  state do not make sufficient loan funds available for a

10  residential conservation program pursuant to any plan approved

11  by the Florida Public Service Commission under the Florida

12  Energy Efficiency and Conservation Act, the board may

13  authorize the investment of state funds, except retirement

14  trust funds, in such a loan program at rates not less than

15  prevailing United States Treasury bill rates. However, prior

16  to investment of such funds, the Florida Public Service

17  Commission shall develop a plan that is which must be approved

18  by the Legislature before implementation.

19         (4)  All earnings on any investments made pursuant to

20  this section shall be credited to the General Revenue Fund,

21  except that earnings attributable to moneys made available

22  pursuant to s. 17.54(3) s. 18.125(3) shall be credited pro

23  rata to the funds from which such moneys were made available.

24         (5)  The fact that a municipal officer or a state

25  officer, including an officer of any municipal or state

26  agency, board, bureau, commission, institution, or department,

27  is a stockholder or an officer or director of a bank or

28  savings and loan association does will not bar such bank or

29  savings and loan association from being a depository of funds

30  coming under the jurisdiction of any such municipal officer or

31  state officer if it appears shall appear in the records of the

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  1  municipal or state office that the governing body of such

  2  municipality or state agency has investigated and determined

  3  that such municipal or state officer is not favoring such

  4  banks or savings and loan associations over other qualified

  5  banks or savings and loan associations.

  6         (6)  The Chief Financial Officer Treasurer is

  7  designated the cash management officer for the state and is

  8  charged with the coordination and supervision of procedures

  9  providing for the efficient handling of financial assets under

10  the control of the State Treasury and each of the various

11  state agencies, and of the judicial branch, as defined in s.

12  216.011.  This responsibility includes shall include the

13  supervision and approval of all banking relationships.

14  Pursuant to this responsibility, the Chief Financial Officer

15  Treasurer is authorized to obtain information from financial

16  institutions regarding depository accounts maintained by any

17  agency or institution of the State of Florida.

18         Section 43.  Section 18.101, Florida Statutes, is

19  transferred, renumbered as section 17.51, Florida Statutes,

20  and amended to read:

21         17.51 18.101  Deposits of public money outside the

22  State Treasury; revolving funds.--

23         (1)  All moneys collected by state agencies, boards,

24  bureaus, commissions, institutions, and departments shall,

25  except as otherwise provided by law, be deposited in the State

26  Treasury. However, when the volume and complexity of

27  collections so justify, the Chief Financial Officer Treasurer

28  may give written approval for such moneys to be deposited in

29  clearing accounts outside the State Treasury in qualified

30  public depositories pursuant to chapter 280.  Such deposits

31  shall only be made only in depositories designated by the

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  1  Chief Financial Officer Treasurer.  No money may be maintained

  2  in such clearing accounts for a period longer than approved by

  3  the Chief Financial Officer Treasurer or 40 days, whichever is

  4  shorter, prior to its being transmitted to the Chief Financial

  5  Officer Treasurer or to an account designated by him or her,

  6  distributed to a statutorily authorized account outside the

  7  State Treasury, refunded, or transmitted to the Department of

  8  Revenue. All depositories so designated shall pledge

  9  sufficient collateral to constitute be security for such funds

10  as provided in chapter 280.

11         (2)  Revolving funds authorized by the Chief Financial

12  Officer Comptroller for all state agencies, boards, bureaus,

13  commissions, institutions, and departments may be deposited by

14  such agencies, boards, bureaus, commissions, institutions, and

15  departments in qualified public depositories designated by the

16  Chief Financial Officer Treasurer for such revolving fund

17  deposits; and the depositories in which such deposits are made

18  must shall pledge collateral security as provided in chapter

19  280.

20         (3)  Notwithstanding the foregoing provisions, clearing

21  and revolving accounts may be established outside the state

22  when necessary to facilitate the authorized operations of any

23  agency, board, bureau, commission, institution, or department.

24  Any of such account accounts established in the United States

25  is shall be subject to the collateral security requirements of

26  chapter 280.  Accounts established outside the United States

27  may be exempted from the requirements of chapter 280 as

28  provided in chapter 280; but before any unsecured account is

29  established, the agency requesting or maintaining the account

30  must shall recommend a financial institution to the Chief

31  Financial Officer Treasurer for designation to hold the

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  1  account and must shall submit evidence of the financial

  2  condition, size, reputation, and relative prominence of the

  3  institution from which the Chief Financial Officer Treasurer

  4  can reasonably conclude that the institution is financially

  5  sound before designating it to hold the account.

  6         (4)  Each department must shall furnish a statement to

  7  the Chief Financial Officer Treasurer, on or before the 20th

  8  of the month following the end of each calendar quarter,

  9  listing each clearing account and revolving fund within that

10  department's jurisdiction.  Such statement shall report, as of

11  the last day of the calendar quarter, the cash balance in each

12  revolving fund and that portion of the cash balance in each

13  clearing account that will eventually be deposited to the

14  State Treasury as provided by law.  The Chief Financial

15  Officer Treasurer shall show the sum total of state funds in

16  clearing accounts and revolving funds, as most recently

17  reported to the Chief Financial Officer Treasurer by various

18  departments, in his or her monthly statement to the Governor,

19  pursuant to s. 18.06.

20         Section 44.  Section 18.103, Florida Statutes, is

21  transferred, renumbered as section 17.52, Florida Statutes,

22  and amended to read:

23         17.52 18.103  Safekeeping services of Chief Financial

24  Officer Treasurer.--

25         (1)  The Chief Financial Officer Treasurer may accept

26  for safekeeping purposes, deposits of cash, securities, and

27  other documents or articles of value from any state agency as

28  defined in s. 216.011, or any county, municipality city, or

29  political subdivision thereof, or other public authority.

30         (2)  The Chief Financial Officer Treasurer may, in his

31  or her discretion, establish a fee for processing, servicing,

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  1  and safekeeping deposits and other documents or articles of

  2  value held in the Chief Financial Officer's Treasurer's vaults

  3  as requested by the various entities or as provided for by

  4  law.  Such fee shall be equivalent to the fee charged by

  5  financial institutions for processing, servicing, and

  6  safekeeping the same types of deposits and other documents or

  7  articles of value.

  8         (3)  The Chief Financial Officer Treasurer shall

  9  collect in advance, and persons so served shall pay to the

10  Chief Financial Officer Treasurer in advance, the

11  miscellaneous charges as follows:

12         (a)  For copies of documents or records on file with

13  the Treasurer, per page..................................$.50.

14         (b)  For each certificate of the Chief Financial

15  Officer Treasurer, certified or under the Chief Financial

16  Officer's Treasurer's seal, authenticating any document or

17  other instrument........................................$5.00.

18         (4)  All fees collected for the services described in

19  this section shall be deposited in the Chief Financial

20  Officer's Treasurer's Administrative and Investment Trust

21  Fund.

22         Section 45.  Section 18.104, Florida Statutes, is

23  transferred, renumbered as section 17.53, Florida Statutes,

24  and amended to read:

25         17.53 18.104  Treasury Cash Deposit Trust Fund.--

26         (1)  There is hereby created in the State Treasury the

27  Treasury Cash Deposit Trust Fund.  Cash deposits made pursuant

28  to s. 17.52 s. 18.103 shall be deposited into this fund.

29         (2)  Interest earned on cash deposited into this fund

30  shall be prorated and paid to the depositing entities.

31

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  1         Section 46.  Section 18.125, Florida Statutes, is

  2  transferred, renumbered as section 17.54, Florida Statutes,

  3  and amended to read:

  4         17.54 18.125  Chief Financial Officer Treasurer; powers

  5  and duties in the investment of certain funds.--

  6         (1)  The Chief Financial Officer Treasurer, acting with

  7  the approval of a majority of the State Board of

  8  Administration, shall invest all general revenue funds and all

  9  the trust funds and all agency funds of each state agency, and

10  of the judicial branch, as defined in s. 216.011, and may,

11  upon request, invest funds of any statutorily created board,

12  association, or entity, except for the funds required to be

13  invested pursuant to ss. 215.44-215.53, by the procedure and

14  in the authorized securities prescribed in s. 17.50 s. 18.10;

15  for this purpose, the Chief Financial Officer Treasurer shall

16  be authorized to open and maintain one or more demand and

17  safekeeping accounts in any bank or savings association for

18  the investment and reinvestment and the purchase, sale, and

19  exchange of funds and securities in the accounts.  Funds in

20  such accounts used solely for investments and reinvestments

21  shall be considered investment funds and not funds on deposit,

22  and such funds shall be exempt from the provisions of chapter

23  280.  In addition, the securities or investments purchased or

24  held under the provisions of this section and s. 17.50 s.

25  18.10 may be loaned to securities dealers and banks and may be

26  registered by the Chief Financial Officer Treasurer in the

27  name of a third-party nominee in order to facilitate such

28  loans, provided the loan is collateralized by cash or United

29  States government securities having a market value of at least

30  100 percent of the market value of the securities loaned. The

31  Chief Financial Officer Treasurer shall keep a separate

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  1  account, designated by name and number, of each fund.

  2  Individual transactions and totals of all investments, or the

  3  share belonging to each fund, shall be recorded in the

  4  accounts.

  5         (2)  By and with the consent and approval of any

  6  constitutional board, the judicial branch, or agency now

  7  having the constitutional power to make investments and in

  8  accordance with this section, the Chief Financial Officer

  9  Treasurer shall have the power to make purchases, sales,

10  exchanges, investments, and reinvestments for and on behalf of

11  any such board.

12         (3)(a)  It is the duty of each state agency, and of the

13  judicial branch, now or hereafter charged with the

14  administration of the funds referred to in subsection (1) to

15  make such moneys available for investment as fully as is

16  consistent with the cash requirements of the particular fund

17  and to authorize investment of such moneys by the Chief

18  Financial Officer Treasurer.

19         (b)  Monthly, and more often as circumstances require,

20  such agency or judicial branch shall notify the Chief

21  Financial Officer Treasurer of the amount available for

22  investment; and the moneys shall be invested by the Chief

23  Financial Officer Treasurer.  Such notification shall include

24  the name and number of the fund for which the investments are

25  to be made and the life of the investment if the principal sum

26  is to be required for meeting obligations.  This subsection,

27  however, shall not be construed to make available for

28  investment any funds other than those referred to in

29  subsection (1).

30

31

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  1         (4)(a)  There is hereby created in the State Treasury

  2  the Chief Financial Officer's Treasurer's Administrative and

  3  Investment Trust Fund.

  4         (b)  The Chief Financial Officer Treasurer shall make

  5  an annual assessment of 0.12 percent against the average daily

  6  balance of those moneys made available pursuant to this

  7  section and 0.2 percent against the average daily balance of

  8  those funds requiring investment in a separate account. The

  9  proceeds of this assessment shall be deposited in the Chief

10  Financial Officer's Treasurer's Administrative and Investment

11  Trust Fund.

12         (c)  The moneys so received and deposited in the fund

13  shall be used by the Chief Financial Officer Treasurer to

14  defray the expense of his or her office in the discharge of

15  the administrative and investment powers and duties prescribed

16  by this section and this chapter, including the maintaining of

17  an office and necessary supplies therefor, essential equipment

18  and other materials, salaries and expenses of required

19  personnel, and all other legitimate expenses relating to the

20  administrative and investment powers and duties imposed upon

21  and charged to the Chief Financial Officer Treasurer under

22  this section and this chapter. The unencumbered balance in the

23  trust fund at the close of each quarter may shall not exceed

24  $750,000. Any funds in excess of this amount shall be

25  transferred unallocated to the General Revenue Fund. However,

26  fees received from deferred compensation participants pursuant

27  to s. 112.215 shall not be transferred to the General Revenue

28  Fund and shall be used to operate the deferred compensation

29  program.

30         (5)  The transfer of the powers, duties, and

31  responsibilities of existing state agencies and of the

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  1  judicial branch made by this section to the Chief Financial

  2  Officer includes Treasurer shall include only the particular

  3  powers, duties, and responsibilities hereby transferred, and

  4  all other existing powers are shall in no way be affected by

  5  this section.

  6         Section 47.  Section 18.15, Florida Statutes, is

  7  transferred, renumbered as section 17.55, Florida Statutes,

  8  and amended to read:

  9         17.55 18.15  Interest on state moneys deposited; when

10  paid.--Interest on state moneys deposited in qualified public

11  depositories under s. 17.50 is s. 18.10 shall be payable to

12  the Chief Financial Officer Treasurer quarterly or

13  semiannually.

14         Section 48.  Section 18.17, Florida Statutes, is

15  transferred, renumbered as section 17.56, Florida Statutes,

16  and amended to read:

17         17.56 18.17  Chief Financial Officer Treasurer not to

18  issue evidences of indebtedness.--It is not lawful for the

19  Chief Financial Officer Treasurer of this state to issue any

20  treasury certificates, or any other evidences of indebtedness,

21  for any purpose whatever, and the Chief Financial Officer

22  Treasurer is prohibited from issuing the same.

23         Section 49.  Section 18.20, Florida Statutes, is

24  transferred, renumbered as section 18.57, Florida Statutes,

25  and amended to read:

26         17.57 18.20  Chief Financial Officer Treasurer to make

27  reproductions of certain warrants, records, and documents.--

28         (1)  All vouchers or checks heretofore or hereafter

29  drawn by appropriate court officials of the several counties

30  of the state against money deposited with the Chief Financial

31  Officer Treasurer under the provisions of s. 43.17, and paid

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  1  by the Chief Financial Officer Treasurer, may be photographed,

  2  microphotographed, or reproduced on film by the Chief

  3  Financial Officer Treasurer.  Such photographic film must

  4  shall be durable material, and the device used to so reproduce

  5  such warrants, vouchers, or checks must shall be one that

  6  which accurately reproduces the originals thereof in all

  7  detail.; and Such photographs, microphotographs, or

  8  reproductions on film must shall be placed in conveniently

  9  accessible and identified files and must shall be preserved by

10  the Chief Financial Officer Treasurer as a part of the

11  permanent records of his or her office.  When any such

12  warrants, vouchers, or checks have been so photographed,

13  microphotographed, or reproduced on film, and the photographs,

14  microphotographs, or reproductions on film thereof have been

15  placed in files as a part of the permanent records of the

16  office of the Chief Financial Officer Treasurer as aforesaid,

17  he or she the Treasurer is authorized to return such warrants,

18  vouchers, or checks to the offices of the respective county

19  officials who drew them, the same and such warrants, vouchers,

20  or checks shall be retained and preserved in the such offices

21  to which they have been returned as a part of the permanent

22  records of those such offices.

23         (2)  Such photographs, microphotographs, or

24  reproductions on film of said warrants, vouchers, or checks

25  shall be deemed to be original records for all purposes; and

26  any copy or reproduction thereof made from the such original

27  film, duly certified by the Chief Financial Officer Treasurer

28  as a true and correct copy or reproduction made from such

29  film, shall be considered deemed to be a transcript,

30  exemplification, or certified copy of the original warrant,

31  voucher, or check such copy represents, and shall in all cases

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  1  and in all courts and places be admitted and received in

  2  evidence with the same like force and effect as the original

  3  thereof might be.

  4         (3)  The Chief Financial Officer Treasurer is also

  5  hereby authorized to photograph, microphotograph, or reproduce

  6  on film, all records and documents of his or her said office,

  7  as the Chief Financial Officer Treasurer may, in his or her

  8  discretion, select; and the said Chief Financial Officer

  9  Treasurer is hereby authorized to destroy any of the said

10  documents or records after they have been photographed and

11  filed and after audit of the Chief Financial Officer's

12  Treasurer's office has been completed for the period embracing

13  the dates of the said documents and records.

14         (4)  Photographs or microphotographs in the form of

15  film or prints of any records made in compliance with the

16  provisions of this section shall have the same force and

17  effect as the originals thereof would have, and shall be

18  treated as originals for the purpose of their admissibility in

19  evidence. Duly certified or authenticated reproductions of

20  such photographs or microphotographs shall be admitted in

21  evidence equally with the original photographs or

22  microphotographs.

23         Section 50.  Section 18.23, Florida Statutes, is

24  transferred, renumbered as section 17.58, Florida Statutes,

25  and amended to read:

26         17.58 18.23  Chief Financial Officer Treasurer to

27  prescribe forms.--The Chief Financial Officer Treasurer may

28  prescribe the forms, and the manner of keeping such forms the

29  same, for all receipts, credit advices, abstracts, reports,

30  and other papers furnished the Chief Financial Officer

31  Treasurer by the officers of this state or other persons or

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    Florida Senate - 2001                                   SB 164
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  1  entities as a result of their having, or depositing, state

  2  moneys.

  3         Section 51.  Section 18.24, Florida Statutes, is

  4  transferred, renumbered as section 17.59, Florida Statutes,

  5  and amended to read:

  6         17.59 18.24  Securities in book-entry form.--Any

  7  security that which:

  8         (1)(a)  Is eligible to be held in book-entry form on

  9  the books of the Federal Reserve Book-Entry System; or

10         (b)  Is eligible for deposit in a depository trust

11  clearing system established to hold and transfer securities by

12  computerized book-entry systems; and that which

13         (2)(a)  Is held in the name of the State Chief

14  Financial Officer Treasurer or in the name of the State

15  Insurance Commissioner; or

16         (b)  Is pledged to the State Chief Financial Officer,

17  Treasurer or to the State Insurance Commissioner;

18

19  under any state law for any purpose whatsoever, may be held in

20  book-entry form on the books of the Federal Reserve Book-Entry

21  System or on deposit in a depository trust clearing system.

22         Section 52.  The powers, duties, functions, records,

23  personnel, property, unexpended balances of appropriations,

24  and other funds of the Department of Banking and Finance, and

25  the powers, duties, functions, records, personnel, property,

26  unexpended balances of appropriations, and other funds of the

27  Department of Insurance, except for the powers, duties,

28  functions, records, personnel, property, unexpended balances

29  of appropriations, and other funds of the Division of the

30  State Fire Marshal, are transferred by a type two transfer, as

31

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    Florida Senate - 2001                                   SB 164
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  1  defined in section 20.06, Florida Statutes, to the Department

  2  of Banking and Insurance.

  3         Section 53.  The powers, duties, functions, records,

  4  personnel, property, unexpended balances of appropriations,

  5  and other funds of the Division of the State Fire Marshal of

  6  the Department of Insurance are transferred by a type two

  7  transfer, as defined in section 20.06, Florida Statutes, to

  8  the Department of Agriculture and Consumer Services.

  9         Section 54.  Sections 18.03, 18.05, 18.08, 18.09,

10  18.22, 20.12, and 20.13, Florida Statutes, are repealed.

11         Section 55.  This act shall take effect January 7,

12  2003.

13

14            *****************************************

15                          SENATE SUMMARY

16    Creates the Department of Banking and Insurance and
      transfers to it the powers, duties, functions, property,
17    personnel, records, unexpended balances of
      appropriations, and other funds of the Department of
18    Insurance and of the Department of Banking and Finance,
      with the exception that the powers, duties, functions,
19    property, personnel, records, unexpended balances of
      appropriations, and other funds of the Division of the
20    State Fire Marshal are transferred to the Department of
      Agriculture and Consumer Services. Abolishes the
21    Department of Insurance and the Department of Banking and
      Finance.
22

23

24

25

26

27

28

29

30

31

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