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



                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)

                            CHAMBER ACTION
              Senate                               House
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  4  ______________________________________________________________

  5                                           ORIGINAL STAMP BELOW

  6

  7

  8

  9

10  ______________________________________________________________

11  The Committee on Transportation & Economic Development

12  Appropriations offered the following:

13

14         Amendment (with title amendment) 

15  Remove everything after the enacting clause

16

17  and insert:

18         Section 1.  Section 288.707, Florida Statutes, is

19  amended to read:

20         288.707  Florida Black Business Investment Board,

21  Inc.--

22         (1)  The Legislature finds that the public interest of

23  Florida will be served by the creation and growth of black

24  business enterprises by:

25         (a)  Establishing a partnership between the public

26  sector and the private sector which seeks to leverage the

27  provision of state funds with funds and other resources from

28  private-sector businesses and other nonstate sources;

29         (b)(a)  Increasing opportunities for employment of

30  blacks, as well as the population in general;

31         (c)(b)  Providing role models and establishing business

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  networks for the benefit of future generations of aspiring

  2  black entrepreneurs;

  3         (d)(c)  Strengthening the economy of the state by

  4  increasing the number of qualified black business enterprises,

  5  which in turn will increase competition in the marketplace and

  6  improve the welfare of economically depressed neighborhoods;

  7  and

  8         (e)(d)  Taking measures to increase access of black

  9  businesses to both debt and equity capital.

10         (2)  For the purposes of ss. 288.707-288.714 ss. 9-21,

11  chapter 85-104, Laws of Florida:

12         (a)  "Black business enterprise" means any business

13  concern that which is organized to engage in commercial

14  transactions and that which is at least 51 percent owned by

15  one or more African-Americans black Americans as defined in s.

16  288.703 and whose management and daily operations are

17  controlled by such persons.

18         (b)  "Black business investment corporation" means a

19  subsidiary of a financial institution or a consortium of

20  financial institutions investing in, or lending to, black

21  business enterprises.

22         (c)  "Consortium" means two or more financial

23  institutions that which jointly negotiate and agree to provide

24  assistance to black business enterprises as provided in ss.

25  288.707-288.714 ss. 9-21, chapter 85-104, Laws of Florida.

26         (3)  There is hereby created a not-for-profit

27  corporation within the Office of Tourism, Trade, and Economic

28  Development a body politic and corporate to be known as the

29  Florida Black Business Investment Board, Inc., hereinafter

30  referred to as the "corporation" "board ." which shall be

31  registered, incorporated, organized, and operated in

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  compliance with chapter 617 and which is not a unit or entity

  2  of state government. The board is hereby constituted a public

  3  instrumentality, and the exercise by the board of the powers

  4  conferred by ss. 9-21, chapter 85-104, Laws of Florida, shall

  5  be deemed to be the performance of an essential governmental

  6  function.

  7         (a)  The board of the corporation shall consist of the

  8  following members:

  9         1.  Six seven members appointed by the Governor and

10  subject to confirmation by the Senate, who must six of whom

11  shall be experienced in investment finance and business

12  development, one of whom must be a member of a black business

13  investment corporation.

14         2.  One member from the private sector appointed by the

15  President of the Senate, who must be experienced in investment

16  finance and business development and who shall serve a term of

17  2 years.

18         3.  One member from the private sector appointed by the

19  Speaker of the House of Representatives, who must be

20  experienced in investment finance and business development and

21  who shall serve a term of 2 years.

22         4.  Three representatives of black business investment

23  corporations, who must be selected from among and by the

24  chairmen of the black business investment corporations. A

25  representative from a black business investment corporation

26  shall serve for a term of 2 years but is eligible for

27  reappointment on a rotating basis with other representatives

28  from black business investment corporations.

29         5.  The vice chairman of Enterprise Florida, Inc., or

30  his or her designee, who shall be an ex officio, nonvoting

31  member, and who shall provide information, advice, and

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  guidance designed to enhance the coordination of activities of

  2  Enterprise Florida, Inc., and the corporation.

  3         6.  The chair of the Florida Development Finance

  4  Corporation, created pursuant to s. 288.9604, who shall be an

  5  ex officio, nonvoting member of the board.

  6         (b)  Members appointed by the Governor shall serve

  7  terms of 4 years, except that in making the initial

  8  appointments, the Governor shall appoint two members to serve

  9  for terms one member to serve for a term of 1 year, two

10  members to serve for terms of 2 years, two members to serve

11  for terms of 3 years, and two members to serve for terms of 4

12  years.

13         (c)  Any person appointed to fill a vacancy on the

14  board shall be appointed in a like manner and shall serve for

15  only the unexpired term.  Any member shall be eligible for

16  reappointment.

17         (d)  The Governor shall appoint the chairperson who

18  shall be a member of the board.  The board shall annually

19  elect one of its members as vice chairperson and shall

20  designate a secretary-treasurer who need not be a member of

21  the board.  The secretary-treasurer shall keep a record of the

22  proceedings of the board and shall be the custodian of all

23  books, documents, and papers filed with the board, of the

24  minute books of the board, and of its official seal.  A

25  majority of the members of the board shall constitute a

26  quorum.

27         (e)  The board shall meet at least four times each

28  year, upon the call of the chairperson or the vice chairperson

29  or at the request of a majority of the membership. A majority

30  of the total number of all members fixed by paragraphs (a) and

31  (h) shall constitute a quorum. The board may take official

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  action by a majority vote of the members present at any

  2  meeting at which a quorum is present.

  3         (f)(e)  Members of the board shall serve without

  4  compensation, but members, the president of the board, and

  5  other board employees may be reimbursed for all reasonable,

  6  necessary, and actual expenses as determined by the board

  7  shall be reimbursed for per diem and travel expenses in

  8  accordance with s. 112.061.

  9         (g)(f)  Each member of the board who is not otherwise

10  required to file financial disclosure pursuant to s. 8, Art.

11  II of the State Constitution or s. 112.3144 shall file full

12  and public disclosure of financial interests pursuant to s.

13  112.3145 at the times and places and in the same manner

14  required of elected constitutional officers under s. 8, Art.

15  II of the State Constitution and any law implementing s. 8,

16  Art. II of the State Constitution.

17         (h)  Notwithstanding paragraph (a), the board may by

18  resolution appoint two at-large members to the board from the

19  private sector, each of whom may serve a 1-year term. At-large

20  members shall have the powers and duties of other members of

21  the board, except that they may not serve on an executive

22  committee. An at-large member is eligible for reappointment

23  but may not vote on his or her own reappointment.

24         Section 2.  Section 288.7075, Florida Statutes, is

25  created to read:

26         288.7075  Legislative findings and intent; assistance

27  to minority business enterprises.--The Legislature finds that

28  a public purpose is served by creating and providing state

29  financial support for the public-private partnership known as

30  the "Florida Black Business Investment Board, Inc.," as well

31  as by providing financial support for the black business

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  investment corporations, in order to address the

  2  business-development needs of black business enterprises. The

  3  Legislature further finds, however, that the

  4  business-development needs of black business enterprises are

  5  shared by other minority business enterprises defined under s.

  6  288.703. It is the intent of the Legislature, therefore, that

  7  the board and the black business investment corporations,

  8  notwithstanding any provisions in ss. 288.707-288.714 to the

  9  contrary, include minority business enterprises within the

10  scope of their duties, responsibilities, and activities and

11  report to the Governor and the Legislature on their progress

12  in assisting black business enterprises and minority business

13  enterprises.

14         Section 3.  Section 288.708, Florida Statutes, is

15  amended to read:

16         288.708  President Executive director; employees.--

17         (1)  The president executive director of the

18  corporation board, who may also be designated as

19  secretary-treasurer, shall be appointed by the board and shall

20  serve at the pleasure of the board. The board shall establish

21  and adjust the compensation of the president. The president

22  executive director shall be the chief administrative and

23  operational officer of the corporation board and shall direct

24  and supervise administrative affairs and the general

25  management of the corporation board. The board may delegate to

26  its president those powers and responsibilities it deems

27  appropriate, except for appointment of the president. The

28  president executive director:

29         (a)  May contract with or employ legal and technical

30  experts and such other employees, permanent and temporary, as

31  shall be authorized by the board;

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1         (b)  Shall attend meetings of the board; and

  2         (c)  Shall cause copies to be made of all minutes and

  3  other records and documents of the board and shall certify

  4  that such copies are true copies. All persons dealing with the

  5  corporation or board may rely upon such certification.

  6         (2)  The corporation and its officers and board members

  7  are responsible for the prudent use of all public and private

  8  funds and shall ensure that the use of such funds is in

  9  accordance with all applicable laws, bylaws, or contractual

10  requirements. An employee of the corporation may not receive

11  compensation for employment that exceeds the salary paid to

12  the Governor, unless the corporation and the employee have

13  executed a contract that prescribes specific and measurable

14  performance outcomes for the employee, the satisfaction of

15  which provides the basis for the award of incentive payments

16  that increase the employee's total compensation to a level

17  above the salary paid to the Governor. The executive director

18  and all employees of the board shall be exempt from the

19  provisions of part II of chapter 110, and the executive

20  director shall be subject to the provisions of part III of

21  chapter 110.

22         Section 4.  Section 288.709, Florida Statutes, is

23  amended to read:

24         288.709  Powers of the Florida Black Business

25  Investment Board, Inc.--The board shall have all the powers

26  necessary or convenient to carry out and effectuate the

27  purposes and provisions of ss. 288.707-288.714 ss. 9-21,

28  chapter 85-104, Laws of Florida, including, but not limited

29  to, the power to:

30         (1)  Adopt bylaws for the regulation of its affairs and

31  the conduct of its business and adopt policies rules pursuant

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  to ss. 120.536(1) and 120.54 to implement the provisions of

  2  law conferring duties upon it. However, any proposed bylaws or

  3  policies rules affecting the operation or administration or

  4  financial well-being of any of the black business investment

  5  corporations must first be approved by a majority of the black

  6  business investment corporations. Such bylaws shall provide

  7  that the corporation is subject to the requirements of s. 24,

  8  Art. I of the State Constitution and ch. 119 and s. 286.011.

  9         (2)  Adopt an official seal.

10         (3)  Sue and be sued in its own name.

11         (4)  Make and execute contracts and other instruments

12  necessary or convenient for the exercise of its power and

13  functions.

14         (5)  Acquire, hold, and dispose of personal property

15  for its corporate purposes.

16         (6)  Enter into agreements or other transactions with

17  any federal, state, or local agency.

18         (7)  Encourage financial institutions to participate in

19  consortia for the purpose of investing in black business

20  enterprises.

21         (8)  Ensure that funds available to the board for

22  purposes set forth in ss. 288.707-288.714 ss. 9-21, chapter

23  85-104, Laws of Florida, are disbursed on a statewide basis

24  and are not concentrated in one geographical area.

25         (9)  Acquire real property or any interest therein, by

26  purchase or foreclosure, where such acquisition is necessary

27  or appropriate to protect or secure any investment or loan in

28  which the board has an interest; to sell, transfer, and convey

29  any such property to a buyer without regard to the provisions

30  of chapters 253 and 270; and, in the event that such sale,

31  transfer, or conveyance cannot be effected with reasonable

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  promptness or at a reasonable price, to lease such property

  2  for occupancy by eligible persons.

  3         (9)(10)  Invest any funds held in reserves or sinking

  4  funds, or any funds not required for immediate disbursement,

  5  in such investments as may be authorized for trust funds under

  6  s. 215.47; however provided, such investments will be made on

  7  behalf of the board by the Office of State Treasurer or by

  8  another trustee appointed for that purpose.

  9         (10)(11)  Appear in its own behalf before boards,

10  commissions, departments, or other agencies of municipal,

11  county, state, or Federal Government.

12         (11)(12)  Procure insurance or require bond against any

13  loss in connection with its property in such amounts and from

14  such insurers as may be necessary or desirable.

15         (12)(13)  Receive and accept from any federal, state,

16  or local agency grants, loans, or advances for, or in aid of,

17  the purposes of ss. 288.707-288.714 ss. 9-21, chapter 85-104,

18  Laws of Florida, and to receive and accept contributions from

19  any source of either money, property, labor, or other things

20  of value, to be held, used, and applied for said purposes.

21         (13)(14)  Create, issue, and buy and sell stock,

22  evidences of indebtedness, and other capital participation

23  instruments; to hold such stock, evidences of indebtedness,

24  and capital participation instruments; and to underwrite the

25  creation of a capital market for these securities in a manner

26  designed to enhance development of capital ownership in the

27  target group.

28         (14)(15)  Provide and pay for such advisory services

29  and technical assistance as may be necessary or desirable to

30  carry out the purposes of this act.

31         (15)(16)  Engage in special programs to enhance the

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  development of black business enterprises as authorized by

  2  this act.

  3         (16)(17)  Promote black ownership of financial

  4  institutions in Florida.

  5         (17)(18)  Take, hold, and improve property, including

  6  real property.

  7         (18)(19)  Do any and all things necessary or convenient

  8  to carry out the purposes of, and exercise the powers given

  9  and granted in, ss. 288.707-288.714 ss. 9-21, chapter 85-104,

10  Laws of Florida, and exercise any other powers, rights, or

11  responsibilities of a corporation.

12         (19)  In addition to any indemnification available

13  under chapter 617, the corporation may indemnify, and purchase

14  and maintain insurance on behalf of directors, officers, and

15  employees of the corporation and its boards against any

16  personal liability or accountability by reason of actions

17  taken while acting within the scope of their authority.

18         (20)  Provide in its bylaws that upon the dissolution

19  of the corporation that all of its assets, after payment of

20  all legal debts and liabilities, revert to the State of

21  Florida.

22         Section 5.  Section 288.7091, Florida Statutes, is

23  amended to read:

24         288.7091  Duties of the Florida Black Business

25  Investment Board, Inc.--The Florida Black Business Investment

26  Board, Inc., shall:

27         (1)  Establish certification criteria for black

28  business investment corporations. Certification criteria shall

29  include administrative capacity, fiduciary controls, and, in

30  the case of existing black business investment corporations,

31  solvency and soundness of prior loan decisions;

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1         (2)  Ensure that any appropriations by the Legislature

  2  to the corporation on behalf of the black business investment

  3  corporations are provided to the corporations in the manner

  4  and amount prescribed by the Legislature;

  5         (3)  Work with Enterprise Florida, Inc., and local

  6  economic development organizations to promote the retention

  7  and expansion of existing black business enterprises and to

  8  promote the formation and recruitment of new black business

  9  enterprises;

10         (4)(2)  Develop a memorandum of understanding with

11  Enterprise Florida, Inc., that outlines a strategy for

12  collaboration with the programs, activities, and committees or

13  similar units and boards of Enterprise Florida, Inc., which

14  memorandum of understanding shall provide for Enterprise

15  Florida, Inc., to contract with the corporation, where

16  practicable, for the delivery of economic development services

17  relating to black business enterprises;

18         (5)(3)  Include in the criteria for loan decisions,

19  occupational forecasting results set forth in s. 216.136(9)

20  which target high growth jobs;

21         (6)(4)  Facilitate the formation of black business

22  investment corporations in communities that are not currently

23  served by such corporations and establish, in communities that

24  are not currently served by an existing black business

25  investment corporation, memoranda of understanding with local

26  financial institutions that will provide loan guarantees for

27  loans to black business enterprises;

28         (7)(5)  Develop memoranda of understanding with the

29  Departments of Labor and Employment Security, Education,

30  Transportation, Community Affairs and Management Services, as

31  well as with Workforce Florida, Inc., and the Florida Board of

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  Education State Board of Regents, detailing efforts of common

  2  interest and collaborations to expand black business

  3  development;

  4         (8)(6)  Intensify efforts to increase the number of

  5  franchises owned by black businesses and the number of the

  6  black business enterprises in construction and

  7  construction-related projects, with emphasis on construction

  8  projects financed by focusing on federal, state, or and local

  9  governments government financed construction projects; and

10         (9)(7)  Annually, prepare a report detailing the

11  performance of each black business investment corporation,

12  addressing the number of jobs created and/or retained, success

13  and failure rates among loan recipients, and the amount of

14  funds leveraged from other sources.

15         (10)  Annually, provide for an annual compliance and

16  financial audit of accounts and records by an independent

17  certified public accountant at the end of its most recent

18  fiscal year performed in accordance with rules adopted by the

19  Auditor General. Such audit shall be filed with the Governor,

20  Senate President, and Speaker of the House of Representatives.

21         Section 6.  Section 288.7092, Florida Statutes, is

22  created to read:

23         288.7092  Return on investment from activities of the

24  corporation.--

25         (1)  The public funds appropriated each year for the

26  operation of the corporation are invested in this

27  public-private partnership to enhance black business ownership

28  and investments in Florida. This policy shall be the

29  Legislature's priority consideration when reviewing the return

30  on investment for the corporation.

31         (2)  It is also the intent of the Legislature that the

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  corporation coordinate its operations with Enterprise Florida,

  2  Inc., and with local economic development organizations to

  3  maximize the state and local return on investment to create

  4  jobs for Floridians.

  5         (3)  It is further the intent of the Legislature to

  6  maximize private-sector support in operating the corporation

  7  as an endorsement of its value and as an enhancement of its

  8  efforts.

  9         (4)(a)  The state's operating investment in the

10  corporation is the budget contracted by the Office of Tourism,

11  Trade, and Economic Development to the corporation, less

12  funding that is directed by the Legislature to be

13  subcontracted to a specific recipient.

14         (b)  The board shall adopt for each upcoming fiscal

15  year an operating budget for the organization which specifies

16  the intended uses of the state's operating investment, other

17  sources of income, and a plan for securing private-sector

18  support to the corporation. Each fiscal year, private-sector

19  support to the corporation shall be as follows: no less than

20  50 percent of the state's investment by July 1, 2003; no less

21  than 60 percent of the state's investment by July 1, 2004; no

22  less than 70 percent of the state's investment by July 1,

23  2005; no less than 80 percent of the state's investment by

24  July 1, 2006; and no less than 100 percent of the state's

25  investment by July 1, 2007.

26         (5)  Private-sector support in operating the

27  corporation includes:

28         (a)  Cash given directly to the corporation for its

29  operating budget.

30         (b)  Cash jointly raised by the corporation and a local

31  economic development organization, a group of such

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  organizations, or a statewide business organization that

  2  supports collaborative projects.

  3         (c)  Cash generated by products or services of the

  4  corporation.

  5         (d)  In-kind contributions directly to the corporation,

  6  including private-sector equipment contributed as part of

  7  technical assistance; goods and services, including time

  8  donated by loan officers, advertising or marketing support,

  9  and items used to promote the corporation; business

10  expenditures; business services provided; business support;

11  and other business contributions that augment the operations,

12  program, activities, or assets of the corporation, including,

13  but not limited to, an individual's time and expertise,

14  sponsored publications, private-sector staff services, payment

15  for advertising placements, sponsorship of events, sponsored

16  or joint research, discounts on leases or purchases, mission

17  or program sponsorship, copayments, stock, warrants,

18  royalties, or other private resources dedicated to the

19  corporation, low-interest loans, participations, investment

20  income, and equity investments.

21         (6)  The corporation shall fully comply with the

22  performance measures, standards, and sanctions in its

23  contracts with the Office of Tourism, Trade, and Economic

24  Development. The office shall ensure, to the maximum extent

25  possible, that the contract performance measures are

26  consistent with performance measures that the office is

27  required to develop and track under performance-based program

28  budgeting.

29         (7)  As part of the annual report required under s.

30  288.714, the board of the corporation shall provide the

31  Legislature with information quantifying the public's return

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  on investment.

  2         (8)  The corporation, in consultation with the Office

  3  of Program Policy Analysis and Government Accountability,

  4  shall hire a private accounting firm or economic analysis firm

  5  to develop the methodology for establishing and reporting

  6  return on investment and in-kind contributions as described in

  7  this section. The Office of Program Policy Analysis and

  8  Government Accountability shall review and offer feedback on

  9  the methodology before it is implemented. The private

10  accounting firm or economic analysis firm shall certify

11  whether the applicable statements in the annual report comply

12  with this section.

13         Section 7.  Subsections (1) and (4) of section 288.711,

14  Florida Statutes, are amended to read:

15         288.711  Florida Investment Incentive Trust Fund.--

16         (1)  There is hereby created the Florida Investment

17  Incentive Trust Fund from which money may be drawn for

18  investments or loans, as authorized by this section, to

19  encourage the development of appropriate financial mechanisms

20  in the private sector to capitalize and assist in the

21  development of black business enterprises.  All income earned

22  by investments of the fund shall be deposited in the fund for

23  carrying out the purposes of ss. 288.707-288.714 ss. 9-21,

24  chapter 85-104, Laws of Florida.  Administrative costs of the

25  program shall be appropriated in a lump-sum appropriation from

26  the fund created herein and shall be provided in the General

27  Appropriations Act.

28         (4)  All loans and investments, and any income related

29  thereto, shall be used to carry out the public purpose of ss.

30  288.707-288.714 ss. 9-21, chapter 85-104, Laws of Florida,

31  which is to develop black business enterprises.  This is not

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  meant to preclude a reasonable profit for the participating

  2  black business investment corporation or for return of equity

  3  developed to the state and participating financial

  4  institutions upon any distribution of the assets or excess

  5  income of the investment corporation.

  6         Section 8.  Paragraph (b) of subsection (3) and

  7  paragraph (b) of subsection (4) of section 288.712, Florida

  8  Statutes, are amended to read:

  9         288.712  Florida guarantor funds.--

10         (3)

11         (b)  For purposes of this section, the corporation

12  board may utilize the Black Contractors Bond Trust Fund in the

13  State Treasury, consisting of moneys deposited or credited to

14  the Black Contractors Bond Trust Fund pursuant to

15  appropriation made by law; any grants, gifts, and

16  contributions received pursuant to ss. 288.707-288.714 ss.

17  9-21, chapter 85-104, Laws of Florida; all moneys recovered

18  following defaults; and any other moneys obtained by the board

19  for this purpose.  The fund shall be administered by the

20  corporation board in trust for the purposes of this section

21  and shall at no time be part of general public funds under the

22  following procedures:

23         1.  The corporation board is authorized to post or

24  pledge the assets of the Black Contractors Bond Trust Fund as

25  collateral in amounts necessary to secure the issuance of bid

26  bonds and construction contract bonds to black business

27  enterprises.  The board of the corporation shall establish a

28  premium to be charged to the black business enterprise for

29  which the assets have been so posted or pledged, pursuant to

30  generally accepted actuarial principles, and shall establish

31  such rules as may otherwise be necessary to carry out the

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  1  purposes of this section.

  2         2.  Any claims against the state arising from defaults

  3  shall be payable from the Black Contractors Bond Trust Fund.

  4         3.  Nothing in this subsection shall be construed to

  5  prohibit or restrict the corporation board from entering into

  6  a joint venture or other contractual agreement with a private

  7  insurer or to invest in a private entity to handle all or part

  8  of a black contractors bonding program, credit program, or

  9  both for black business enterprises.  Such investments or

10  joint venture shall be made under conditions required by law

11  and as the board may, from time to time, require and may take

12  any of the forms described in s. 288.711(2) and (3).  The

13  board is authorized and encouraged to contract with a

14  regulated surety company to conduct a surety bond program for

15  black business enterprises.  Moneys from the Black Contractors

16  Bond Trust Fund may be used for these purposes.

17         (4)

18         (b)  If the board of the corporation chooses to

19  establish a loan guaranty program, it shall use utilize the

20  Black Business Loan Guaranty Trust Fund in the State Treasury,

21  consisting of moneys deposited or credited to the Black

22  Business Loan Guaranty Trust Fund pursuant to appropriation

23  made by law; any grants, gifts, and contributions received

24  pursuant to ss. 288.707-288.714 ss. 9-21, chapter 85-104, Laws

25  of Florida; all moneys recovered following defaults; and any

26  other moneys obtained by the corporation board for this

27  purpose.  The Black Business Loan Guaranty Trust Fund shall be

28  administered by the corporation board in trust for the

29  purposes of this section and shall at no time be part of

30  general public funds under the following procedures:

31         1.  The corporation board shall utilize the Black

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  Business Loan Guaranty Program Administrative and Loss Reserve

  2  Fund in the State Treasury, consisting of all premiums charged

  3  and collected in accordance with this section and any income

  4  earned from the moneys in the account.  All expenses of the

  5  corporation board in carrying out the purposes of this

  6  subsection shall be paid from the Black Business Loan Guaranty

  7  Program Administrative and Loss Reserve Fund.  Any moneys to

  8  the credit of the Black Business Loan Guaranty Program

  9  Administrative and Loss Reserve Fund in excess of the amount

10  necessary to fund the corporation's board's activity shall be

11  held as a loss reserve to pay claims arising from defaults on

12  loans underwritten in accordance with this section.

13         2.  Any claims against the state arising from defaults

14  shall be payable initially from the Black Business Loan

15  Guaranty Program Administrative and Loss Reserve Fund and,

16  secondarily, from the Black Business Loan Guaranty Trust Fund.

17         3.  The corporation board as loan guarantor may

18  exercise all rights and powers of a company authorized by the

19  Department of Insurance to guarantee loans but shall not be

20  subject to any requirements of an insurance company under the

21  Florida Insurance Code, nor to any rules of the Department of

22  Insurance; however, the corporation board shall refer to the

23  insurance code and rules thereunder when designing and

24  administering such program.  The corporation board shall

25  follow sound actuarial principles when administering this

26  program. The corporation board shall establish a premium for

27  the loan guaranty and such rules as may be necessary to carry

28  out the purposes of this section.

29         4.  The corporation board may guarantee no more than 20

30  percent of the principal of a loan to a black business

31  enterprise.

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1         Section 9.  Section 288.714, Florida Statutes, is

  2  amended to read:

  3         288.714  Annual report.--By February 1 March 31 of each

  4  year the board of the corporation shall submit to the

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

  6  House of Representatives, and the director of the Office of

  7  Tourism, Trade, and Economic Development and the secretary of

  8  the Department of Labor and Employment Security a complete and

  9  detailed report setting forth:

10         (1)  Operations and accomplishments of the corporation

11  board;

12         (2)  The number of black business enterprises which

13  participated during the past year in programs established or

14  administered by the corporation board;

15         (3)  The number of black business enterprises receiving

16  assistance from the corporation board and the manner in which

17  the assistance was received;

18         (4)  The status of black business enterprises which

19  participated in programs established or administered by the

20  corporation board;

21         (5)  The total number of jobs represented by black

22  business enterprises participating in programs established or

23  administered by the corporation board;

24         (6)  Receipts and expenditures of the corporation board

25  during its most recent fiscal year in accordance with the

26  categories or classifications established by the corporation

27  board for its operating and capital accounts;

28         (7)  Assets and liabilities of the corporation board at

29  the end of its most recent fiscal year and the status of its

30  trust funds; and

31         (8)  A schedule of local bonds outstanding authorized

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                                                  Bill No. HB 1081

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  1  by the corporation board and capital participation instruments

  2  issued by the corporation board for the year and the total to

  3  date.

  4         Section 10.  Black Business Investment Board, Inc.,

  5  state employee leasing program.--

  6         (1)  The Department of Management Services shall

  7  establish a lease-agreement program under which an employee as

  8  of June 30, 2002, of the Black Business Investment Board,

  9  Inc., created under chapter 85-104, Laws of Florida, retains

10  his or her status as a state employee until a set date.

11         (2)  The Department of Management Services shall

12  establish the terms and conditions of the program and such

13  lease agreements.

14         (a)  Status as a state employee shall include the right

15  to participate in the Florida Retirement System.

16         (b)  Any employee who participates in a lease agreement

17  shall work under the direct supervision of the corporation.

18         (c)  Status as a state employee under a lease agreement

19  as provided in this section expires on June 30, 2004, unless

20  the employee voluntarily relinquishes his or her status as a

21  state employee before that date.

22         Section 11.  Subsection (5) of section 288.9015,

23  Florida Statutes, is amended to read:

24         288.9015  Enterprise Florida, Inc.; purpose; duties.--

25         (5)  Enterprise Florida, Inc., shall incorporate the

26  needs of small and minority businesses into the

27  economic-development, international-trade and

28  reverse-investment, and workforce-development responsibilities

29  assigned to the organization by this section. Where

30  practicable and consistent with the expertise of the Black

31  Business Investment Board, Inc., Enterprise Florida, Inc.,

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1  shall contract with the corporation for the delivery of

  2  services in fulfillment of the responsibilities of Enterprise

  3  Florida, Inc., relating to small and minority businesses.

  4         Section 12.  The Black Business Investment Board, Inc.,

  5  shall report to the Legislature by January 1, 2004, on what

  6  efforts were made to include all minorities within the scope

  7  of activities by the corporation and the black business

  8  investment corporations.

  9         Section 13.  If any other act passed during the 2002

10  Regular Session of the Legislature or any extension thereof

11  contains a provision that repeals sections 288.011 and

12  288.012, Florida Statutes, the Legislature intends that the

13  provision in the other act shall take precedence over sections

14  7 and 8 of this act.

15         Section 14.  This act shall take effect July 1, 2002.

16

17

18  ================ T I T L E   A M E N D M E N T ===============

19  And the title is amended as follows:

20  remove:  Everything before the enacting clause

21

22  and insert:

23         A bill to be entitled

24         An act relating to the Florida Black Business

25         Investment Board; amending s. 288.707, F.S.;

26         revising legislative findings regarding the

27         creation and growth of black business

28         enterprises; redefining the term "black

29         business enterprise"; providing that the board

30         shall be a not-for-profit corporation and not

31         an entity of state government; revising

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1         provisions relating to appointment and number

  2         of board members, compensation of board

  3         members, the president and employees, and

  4         financial disclosure by board members;

  5         providing for board meetings; authorizing the

  6         board to appoint at-large members; creating s.

  7         288.7075, F.S.; providing legislative findings

  8         that the needs of black business enterprises

  9         are shared by other minority business

10         enterprises; expressing the intent of the

11         Legislature that the Black Business Investment

12         Board, Inc., and the black business investment

13         corporations include minority business

14         enterprises within the scope of their duties,

15         responsibilities, and activities and report on

16         their progress in assisting such business

17         enterprises; amending s. 288.708, F.S.;

18         revising provisions relating to appointment of

19         the executive director; renaming the position

20         of "executive director" as "president";

21         providing for the appointment and compensation

22         of the president; providing for delegation of

23         powers and responsibilities to the president;

24         prescribing the corporation's responsibilities

25         regarding use of funds; providing requirements

26         regarding employees' compensation; amending s.

27         288.709, F.S.; replacing references to board

28         rulemaking with references to the adoption of

29         policies; eliminating provisions related to the

30         authority of the corporation to acquire and

31         sell property; amending s. 288.7091, F.S.;

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1         revising provisions relating to duties of the

  2         corporation regarding developing memoranda of

  3         understanding with certain entities and

  4         increasing the number of black business

  5         enterprises in construction projects; requiring

  6         the corporation to ensure that certain

  7         appropriations are distributed properly, to

  8         conduct certain economic development

  9         activities, and to facilitate creation of black

10         business investment corporations; creating s.

11         288.7092, F.S.; providing intent regarding

12         operation of the corporation and return on

13         investment; defining the state's operating

14         investment in the corporation; directing the

15         board to adopt an annual operating budget;

16         providing requirements regarding private-sector

17         support; providing requirements regarding

18         corporation compliance with performance

19         measures; providing for a report; requiring

20         that the corporation hire a private accounting

21         firm or economic analysis firm and providing

22         its duties; amending ss. 288.711 and 288.712,

23         F.S.; conforming provisions; amending s.

24         288.714, F.S.; revising the list of persons to

25         whom the corporation's annual report is

26         submitted; revising the due date for such

27         report; clarifying references to ss.

28         288.707-288.714, F.S.; establishing a program

29         to lease state employees to the Black Business

30         Investment Board, Inc.; prescribing duties of

31         the Department of Management Services related

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                                                   HOUSE AMENDMENT

                                                  Bill No. HB 1081

    Amendment No. 5 (for drafter's use only)





  1         to such leasing program; providing terms and

  2         conditions of such leasing program; amending s.

  3         288.9015, F.S.; revising duties of Enterprise

  4         Florida, Inc., relating to small and minority

  5         businesses; directing Enterprise Florida, Inc.,

  6         to contract with the Black Business Investment

  7         Board, Inc., under certain conditions;

  8         requiring the Black Business Investment Board,

  9         Inc., to complete a report on the inclusion of

10         all minorities in he activities of the

11         corporation and the black business investment

12         corporations; providing applicability to other

13         legislation; providing an effective date.

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