House Bill hb2009

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    Florida House of Representatives - 2002                HB 2009

        By the Fiscal Responsibility Council and Representatives
    Byrd and Lynn





  1                      A bill to be entitled

  2         An act relating to Alzheimer's disease

  3         research; establishing the Florida Alzheimer's

  4         Center and Research Institute at the University

  5         of South Florida; requiring the State Board of

  6         Education to enter into an agreement with a

  7         not-for-profit corporation for the governance

  8         and operation of the institute; providing that

  9         the corporation shall act as an instrumentality

10         of the state; authorizing the creation of

11         subsidiaries by the corporation; providing

12         powers of the corporation; providing for a

13         board of directors of the corporation and the

14         appointment and terms of its membership;

15         authorizing the State Board of Education to

16         secure and provide liability protection;

17         providing for an annual audit and report;

18         providing for assumption of certain

19         responsibilities of the corporation by the

20         State Board of Education under certain

21         circumstances; providing for administration of

22         the institute; providing for dispersal and use

23         of income; providing for reporting of

24         activities; requiring the appointment of a

25         council of scientific advisers; providing

26         responsibilities and terms of the council;

27         providing that the corporation and its

28         subsidiaries are not agencies within the

29         meaning of s. 20.03(11), F.S.; providing

30         appropriations; providing an effective date.

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    Florida House of Representatives - 2002                HB 2009

    187-979A-02






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

  2

  3         Section 1.  Florida Alzheimer's Center and Research

  4  Institute.--

  5         (1)  There is established the Florida Alzheimer's

  6  Center and Research Institute at the University of South

  7  Florida.

  8         (2)(a)  The State Board of Education shall enter into

  9  an agreement for the utilization of the facilities on the

10  campus of the University of South Florida to be known as the

11  Florida Alzheimer's Center and Research Institute, including

12  all furnishings, equipment, and other chattels used in the

13  operation of said facilities, with a Florida not-for-profit

14  corporation organized solely for the purpose of governing and

15  operating the Florida Alzheimer's Center and Research

16  Institute.  This not-for-profit corporation, acting as an

17  instrumentality of the state, shall govern and operate the

18  Florida Alzheimer's Center and Research Institute in

19  accordance with the terms of the agreement between the State

20  Board of Education and the not-for-profit corporation.  The

21  not-for-profit corporation may, with the prior approval of the

22  State Board of Education, create not-for-profit corporate

23  subsidiaries to fulfill its mission.  The not-for-profit

24  corporation and its subsidiaries are authorized to receive,

25  hold, invest, and administer property and any moneys received

26  from private, local, state, and federal sources, as well as

27  technical and professional income generated or derived from

28  practice activities of the institute, for the benefit of the

29  institute and the fulfillment of its mission.

30         (b)1.  The affairs of the not-for-profit corporation

31  shall be managed by a board of directors who shall serve

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    Florida House of Representatives - 2002                HB 2009

    187-979A-02






  1  without compensation.  The board of directors shall consist of

  2  the President of the University of South Florida and the chair

  3  of the State Board of Education, or their designees, five

  4  representatives of the state universities, and no fewer than

  5  nine nor more than 14 representatives of the public who are

  6  neither medical doctors nor state employees.  Each director

  7  who is a representative of a state university or of the public

  8  shall serve a term of 3 years.  The chair of the board of

  9  directors shall be selected by a majority vote of the

10  directors.  Each director shall have only one vote.

11         2.  The initial board of directors shall consist of the

12  President of the University of South Florida and the chair of

13  the State Board of Education, or their designees; the five

14  university representatives, of whom one shall be appointed by

15  the Governor, two by the President of the Senate, and two by

16  the Speaker of the House of Representatives; and nine public

17  representatives, of whom three shall be appointed by the

18  Governor, three by the President of the Senate, and three by

19  the Speaker of the House of Representatives.  Upon the

20  expiration of the terms of the initial appointed directors,

21  all directors subject to 3-year terms of office under this

22  paragraph shall be elected by a majority vote of the directors

23  and the board may be expanded to include additional public

24  representative directors up to the maximum number allowed.

25  Any vacancy in office shall be filled for the remainder of the

26  term by majority vote of the directors.  Any director may be

27  reelected.

28         (3)  The State Board of Education shall provide in the

29  agreement with the not-for-profit corporation for the

30  following:

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    Florida House of Representatives - 2002                HB 2009

    187-979A-02






  1         (a)  Approval by the State Board of Education of the

  2  articles of incorporation of the not-for-profit corporation.

  3         (b)  Approval by the State Board of Education of the

  4  articles of incorporation of any not-for-profit corporate

  5  subsidiary created by the not-for-profit corporation.

  6         (c)  Utilization of hospital facilities and personnel

  7  by the not-for-profit corporation and its subsidiaries for

  8  mutually approved teaching and research programs conducted by

  9  the University of South Florida or other accredited medical

10  schools or research institutes.

11         (d)  Preparation of an annual postaudit of the

12  not-for-profit corporation's financial accounts and the

13  financial accounts of any subsidiaries to be conducted by an

14  independent certified public accountant.  The annual audit

15  report shall include management letters and shall be submitted

16  to the Auditor General and the State Board of Education for

17  review.  The State Board of Education, the Auditor General,

18  and the Office of Program Policy Analysis and Government

19  Accountability shall have the authority to require and receive

20  from the not-for-profit corporation and any subsidiaries or

21  from their independent auditor any detail or supplemental data

22  relative to the operation of the not-for-profit corporation or

23  subsidiary.

24         (e)  Provision by the not-for-profit corporation and

25  its subsidiaries of equal employment opportunities to all

26  persons regardless of race, color, religion, sex, age, or

27  national origin.

28         (4)  The State Board of Education is authorized to

29  secure comprehensive general liability protection, including

30  professional liability protection, for the not-for-profit

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    Florida House of Representatives - 2002                HB 2009

    187-979A-02






  1  corporation and its subsidiaries, pursuant to s. 240.213,

  2  Florida Statutes.

  3         (5)  In the event that the agreement between the

  4  not-for-profit corporation and the State Board of Education is

  5  terminated for any reason, the State Board of Education shall

  6  assume governance and operation of the facilities.

  7         (6)  The institute shall be administered by a chief

  8  executive officer who shall be appointed by and serve at the

  9  pleasure of the board of directors of the not-for-profit

10  corporation and who shall have the following powers and

11  duties, subject to the approval of the board of directors:

12         (a)  The chief executive officer shall establish

13  programs that fulfill the mission of the institute in

14  research, education, treatment, prevention, and early

15  detection of Alzheimer's disease; however, the chief executive

16  officer may not establish academic programs for which academic

17  credit is awarded and which terminate in the conferring of a

18  degree, without prior approval of the State Board of

19  Education.

20         (b)  The chief executive officer shall have control

21  over the budget and the dollars appropriated or donated to the

22  institute from private, local, state, and federal sources, as

23  well as technical and professional income generated or derived

24  from practice activities of the institute.  However,

25  professional income generated by university faculty from

26  practice activities at the institute shall be shared between

27  the institute and the university as determined by the chief

28  executive officer and the appropriate university dean or vice

29  president.

30         (c)  The chief executive officer shall appoint members

31  to carry out the research, patient care, and educational

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    Florida House of Representatives - 2002                HB 2009

    187-979A-02






  1  activities of the institute and determine compensation,

  2  benefits, and terms of service.  Members of the institute

  3  shall be eligible to hold concurrent appointments at

  4  affiliated academic institutions.  University faculty shall be

  5  eligible to hold concurrent appointments at the institute.

  6         (d)  The chief executive officer shall have control

  7  over the use and assignment of space and equipment within the

  8  facilities.

  9         (e)  The chief executive officer shall have the power

10  to create the administrative structure necessary to carry out

11  the mission of the institute.

12         (f)  The chief executive officer shall have a reporting

13  relationship to the Commissioner of Education.

14         (g)  The chief executive officer shall provide a copy

15  of the institute's annual report to the Governor and Cabinet,

16  the President of the Senate, the Speaker of the House of

17  Representatives, and the chair of the State Board of

18  Education.

19         (7)  The board of directors of the not-for-profit

20  corporation shall create a council of scientific advisers to

21  the chief executive officer comprised of leading researchers,

22  physicians, and scientists.  The council shall review programs

23  and recommend research priorities and initiatives to maximize

24  the state's investment in the institute.  The members of the

25  council shall be appointed by the board of directors of the

26  not-for-profit corporation, except for five members appointed

27  by the State Board of Education.  Each member of the council

28  shall be appointed to serve a 2-year term and may be

29  reappointed to the council.

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    Florida House of Representatives - 2002                HB 2009

    187-979A-02






  1         (8)  In carrying out the provisions of this section,

  2  the not-for-profit corporation and its subsidiaries are not

  3  agencies within the meaning of s. 20.03(11), Florida Statutes.

  4         Section 2.  The sum of $20 million is appropriated for

  5  fiscal year 2002-2003 from the Public Education Capital Outlay

  6  and Debt Service Trust Fund to the University of South Florida

  7  for partial construction of a $40 million research facility at

  8  the university for the Florida Alzheimer's Center and Research

  9  Institute.

10         Section 3.  The sum of $20 million is appropriated for

11  fiscal year 2002-2003 from the General Revenue Fund to the

12  University of South Florida for the operations of the Florida

13  Alzheimer's Center and Research Institute.  From this amount

14  $15 million shall be used by the institute to contract with

15  the following entities, at $5 million each, to support the

16  purposes of this act:  the Mayo Clinic in Jacksonville,

17  Florida; the University of Florida; and the University of

18  Miami.

19         Section 4.  This act shall take effect July 1, 2002.

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21            *****************************************

22                          HOUSE SUMMARY

23
      Provides for the establishment of the Florida Alzheimer's
24    Center and Research Institute at the University of South
      Florida, to be governed and operated by a not-for-profit
25    corporation.  See bill for details.

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