| 1 | The Committee on Insurance recommends the following: |
| 2 |
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| 3 | Committee Substitute |
| 4 | Remove the entire bill and insert: |
| 5 | A bill to be entitled |
| 6 | An act relating to public records and meetings exemptions; |
| 7 | creating s. 624.465, F.S.; exempting from public records |
| 8 | and public meetings requirements certain records of the |
| 9 | Florida Self-Insurers Guaranty Association, Incorporated, |
| 10 | and meetings of the board of directors of the association; |
| 11 | providing for future legislative review and repeal; |
| 12 | providing findings of public necessity; providing an |
| 13 | effective date. |
| 14 |
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| 15 | Be It Enacted by the Legislature of the State of Florida: |
| 16 |
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| 17 | Section 1. Section 624.465, Florida Statutes, is created |
| 18 | to read: |
| 19 | 624.465 Public records and meetings exemptions.-- |
| 20 | (1) The following records of the Florida Self-Insurers |
| 21 | Guaranty Association, Incorporated, are confidential and exempt |
| 22 | from the provisions of s. 119.07(1) and s. 24(a), Art. I of the |
| 23 | State Constitution: |
| 24 | (a) Claims files, until termination of all litigation and |
| 25 | settlement of all claims arising out of the same incident, |
| 26 | although portions of the claims files may remain exempt, as |
| 27 | otherwise provided by law. Confidential and exempt claims file |
| 28 | records may be released to other governmental agencies upon |
| 29 | written request and demonstration of need; such records held by |
| 30 | the receiving agency remain confidential and exempt as provided |
| 31 | for herein. |
| 32 | (b) Minutes of closed meetings regarding a confidential |
| 33 | and exempt claims file until termination of all litigation and |
| 34 | settlement of all claims with regard to that claim, except that |
| 35 | information otherwise confidential or exempt by law will be |
| 36 | redacted. |
| 37 | (2) Portions of meetings of the board of directors of the |
| 38 | association or any subcommittee of the board are exempt from the |
| 39 | provisions of s. 286.011 and s. 24(b), Art. I of the State |
| 40 | Constitution wherein confidential and exempt claims files are |
| 41 | discussed. All portions of meetings which are closed to the |
| 42 | public shall be recorded and transcribed. The board shall record |
| 43 | the times of commencement and termination of the meeting, all |
| 44 | discussion and proceedings, the names of all persons present at |
| 45 | any time, and the names of all persons speaking. No portion of |
| 46 | any closed meeting shall be off the record. Subject to the |
| 47 | provisions hereof and s. 119.07(2)(a), the court reporter's |
| 48 | notes of any closed meeting shall be retained by the association |
| 49 | for a minimum of 5 years. A copy of the transcript, less any |
| 50 | confidential and exempt matters, of any closed meeting wherein |
| 51 | claims are discussed shall become public as to individual claims |
| 52 | after settlement of the claim and termination of all litigation. |
| 53 | Section 2. Section 624.465, Florida Statutes, is subject |
| 54 | to the Open Government Sunset Review Act of 1995 in accordance |
| 55 | with s. 119.15, Florida Statutes, and shall stand repealed on |
| 56 | October 2, 2009, unless reviewed and saved from repeal through |
| 57 | reenactment by the Legislature. |
| 58 | Section 3. (1) The Legislature finds that it is a public |
| 59 | necessity that claims files of the Florida Self-Insurers |
| 60 | Guaranty Association, Incorporated, be held confidential and |
| 61 | exempt from public disclosure and that portions of meetings of |
| 62 | the board of directors of the association, or meetings of any |
| 63 | subcommittee of the board, wherein these claims files are |
| 64 | reviewed and evaluated be closed. The Legislature finds that the |
| 65 | association was created to stand in the place of private |
| 66 | businesses that are self-insured for workers' compensation |
| 67 | claims if any of such businesses becomes insolvent. The |
| 68 | Legislature finds that the exemption of the open compensation |
| 69 | files of the association is necessary for the effective and |
| 70 | efficient administration of a government program created to |
| 71 | insure workers with claims against insolvent businesses which |
| 72 | can otherwise seek compensation from the funds collected by the |
| 73 | association from its member businesses. Claims files are created |
| 74 | by the association after a claim against one of its insolvent |
| 75 | members is made, contain detailed information about the claim, |
| 76 | medical information, and other personal information about the |
| 77 | claimant, and also contain information detailing the evaluation |
| 78 | of the legitimacy of the claim, the extent of incapacity and a |
| 79 | valuation of the award, if any, that should be made. When a |
| 80 | claim is contested, the work product of legal counsel may also |
| 81 | be included in the file in the form of direction to claims |
| 82 | professionals or other attorney-client privileged |
| 83 | communications. Allowing the claimant or claimant's lawyers |
| 84 | access to the files, which could be used for purposes of |
| 85 | negotiation, claim evaluation, and settlement considerations, |
| 86 | would weaken the legal position of the association and could |
| 87 | result in higher awards and settlements paid out by the guaranty |
| 88 | fund and ultimately the membership of the association. |
| 89 | Additionally, information in claims files that reasonably |
| 90 | encompass privileged attorney-client communications should be |
| 91 | held confidential and exempt because the release of such |
| 92 | information could jeopardize ongoing or pending litigation. The |
| 93 | Legislature further finds that the exempt records contain |
| 94 | confidential medical information of a personal, sensitive nature |
| 95 | about the claimant. |
| 96 | (2) The Legislature further finds that closing access to |
| 97 | meetings of the board of directors of the association or |
| 98 | meetings of a subcommittee of the board, wherein claims files |
| 99 | are reviewed and evaluated, is necessary for the effective and |
| 100 | efficient administration of the claims evaluation work of the |
| 101 | association. The directors of the fund act in a trustee capacity |
| 102 | and must take care that the assets of the fund are managed |
| 103 | wisely. Their efforts to meet as a collegial body to closely |
| 104 | review individual files in an open and frank setting that |
| 105 | includes staff are thwarted by the current requirement that such |
| 106 | meetings be noticed and open. Furthermore, discussion of |
| 107 | individual files in an open and public setting might reveal |
| 108 | private, sensitive medical information that is otherwise |
| 109 | confidential. |
| 110 | Section 4. This act shall take effect upon becoming a law. |