HB 0381CS

CHAMBER ACTION



1The Economic Development, Trade & Banking Committee recommends
2the following:
3
4     Council/Committee Substitute
5     Remove the entire bill and insert:
6
A bill to be entitled
7An act relating to financial entities and transactions;
8amending s. 494.0011, F.S.; authorizing the Financial
9Services Commission to require electronic submission of
10forms, documents, or fees; providing for accommodating a
11technological or financial hardship; authorizing the
12commission to adopt rules relating to obtaining such an
13accommodation; providing a requirement for granting or
14denying a license; amending s. 494.0016, F.S.; authorizing
15the commission to prescribe requirements for destroying
16books, accounts, records, and documents; authorizing the
17commission to recognize alternative statutes of limitation
18for such destruction; providing for procedures; amending
19s. 494.0029, F.S.; specifying criteria for receipt of
20certain applications; specifying that certain permits are
21not transferable or assignable; amending s. 494.00295,
22F.S.; revising provisions to specify continuing education
23for certain professions; amending s. 494.003, F.S.;
24clarifying application of an exemption from application of
25specified mortgage broker licensure requirements to
26certain entities; amending s. 494.0031, F.S.; requiring
27licensure of mortgage brokerage businesses; specifying
28criteria for receipt of applications; authorizing the
29commission or the Office of Financial Regulation to
30require specified information from certain applicants;
31revising certain fingerprinting requirements; authorizing
32the commission to prescribe fees and procedures for
33processing fingerprints; authorizing the office to
34contract for fingerprinting services; specifying that
35certain licenses are not transferable or assignable;
36amending s. 494.0033, F.S.; clarifying requirements for
37mortgage broker licensure; authorizing the commission to
38waive certain examination requirements under specified
39circumstances; authorizing the commission to prescribe
40additional testing fees; revising fingerprinting
41requirements; authorizing the commission to prescribe fees
42and procedures for processing fingerprints; authorizing
43the office to contract for certain fingerprinting
44services; specifying criteria for receipt of applications;
45deleting provisions relating to cancellation and
46reinstatement of licenses; amending s. 494.0034, F.S.;
47clarifying the commission's authorization to prescribe
48license renewal forms; amending s. 494.0036, F.S.;
49clarifying provisions relating to issuance of licenses to
50mortgage brokerage business branch offices; specifying
51criteria for receipt of certain applications; amending s.
52494.004, F.S.; conforming cross references; amending s.
53494.0041, F.S.; specifying an additional ground for
54disciplinary action; amending s. 494.006, F.S.; clarifying
55the application of an exemption from mortgage lender
56licensure requirements to certain entities; amending s.
57494.0061, F.S.; requiring licensure of mortgage lenders;
58specifying criteria for receipt of applications; revising
59fingerprinting requirements; authorizing the commission to
60prescribe fees and procedures for processing fingerprints;
61authorizing the office to contract for certain
62fingerprinting services; deleting certain provisions
63relating to cancellation and reinstatement of licenses;
64authorizing the commission to waive specified examination
65requirements under certain circumstances; authorizing the
66commission to prescribe additional testing fees; amending
67s. 494.0062, F.S.; requiring licensure of correspondent
68mortgage lenders; specifying criteria for receipt of
69applications; authorizing the office to require applicants
70to provide certain information; revising fingerprinting
71requirements; authorizing the commission to prescribe fees
72and procedures for processing fingerprints; authorizing
73the office to contract for certain fingerprinting
74services; deleting certain provisions relating to
75cancellation and reinstatement of licenses; authorizing
76the commission to waive specified examination requirements
77under certain circumstances; authorizing the commission to
78prescribe additional testing fees; requiring notice of a
79change in principal representatives; providing educational
80requirements for principal representatives; amending s.
81494.0064, F.S.; clarifying a reference to professional
82continuing education for certain licensees; amending s.
83494.0065, F.S.; specifying criteria for receipt of
84applications; specifying education and testing
85requirements for certain principal representatives and for
86certain applications or transfer applications; authorizing
87the commission to waive specified examination requirements
88under certain circumstances; authorizing the commission to
89prescribe additional testing fees; increasing a license
90transfer fee; revising fingerprinting requirements;
91authorizing the commission to prescribe fees and
92procedures for processing fingerprints; authorizing the
93office to contract for certain fingerprinting services;
94requiring mortgage lenders to designate a principal
95representative; providing criteria and requirements;
96requiring notice of a change in principal representatives;
97amending s. 494.0066, F.S.; clarifying licensure
98requirements for branch offices; amending s. 494.0067,
99F.S.; clarifying reference to professional continuing
100education requirements; amending s. 494.0072, F.S.;
101providing an additional ground for disciplinary action;
102amending s. 494.00721, F.S.; correcting cross-references;
103amending s. 501.137, F.S.; imposing attorney's fees and
104costs on lenders under certain circumstances; amending s.
105516.03, F.S.; specifying criteria for receipt of certain
106applications; providing that specified fees are
107nonrefundable; authorizing the commission to require
108electronic submission of forms, documents, or fees;
109providing for accommodating a technological or financial
110hardship; authorizing the commission to make rules
111relating to obtaining such an accommodation; amending s.
112516.031, F.S.; increasing a reimbursement charge for
113certain investigation costs; amending s. 516.05, F.S.;
114deleting provisions relating to fees for licenses that
115have been denied; amending s. 516.07, F.S.; providing an
116additional ground for disciplinary action; amending s.
117516.12, F.S.; authorizing the commission to prescribe
118minimum information that must be shown in a licensee's
119books, accounts, records, and documents; authorizing the
120commission to prescribe requirements for destroying books,
121accounts, records, and documents; authorizing the
122commission to recognize alternative statutes of limitation
123for such destruction; providing for procedures; amending
124s. 517.061, F.S.; revising provisions related to exempt
125transactions; amending ss. 517.051 and 517.081, F.S.;
126revising standards for accounting principles to be used in
127preparing certain financial statements; amending s.
128517.12, F.S.; revising provisions for taking and
129submitting fingerprints of dealers, associated persons,
130and similarly situated persons; revising provisions
131relating to expiration and renewal of registration of such
132persons; providing an exemption from registration
133requirements for a Canadian dealer and an associated
134person who represents a Canadian dealer, under certain
135conditions; providing for notice filing by a Canadian
136dealer under certain conditions; authorizing the Office of
137Financial Regulation of the Financial Services Commission
138to issue a permit to evidence the effectiveness of a
139notice filing for a Canadian dealer; providing for the
140renewal of a notice filing by a Canadian dealer; providing
141for reinstatement of a notice filing; providing
142obligations for a Canadian dealer who has given notice of
143filing; providing obligations for an associated person
144representing a Canadian dealer who has given notice of
145filing; providing for the termination of a notice of
146filing; providing for the collection of fees; amending s.
147517.131, F.S.; revising conditions under which recovery
148can be made from the Securities Guaranty Fund; amending s.
149517.141, F.S.; prescribing circumstances under which a
150claimant must reimburse the fund; providing for
151rulemaking; amending s. 517.161, F.S.; providing an
152additional ground for revocation, restriction, or
153suspension of a registration; amending ss. 520.03, 520.32,
154520.52, and 520.63, F.S.; specifying criteria for receipt
155of certain applications; providing that certain fees are
156nonrefundable; amending s. 520.994, F.S.; authorizing the
157commission to require electronic submission of forms,
158documents, or fees; providing for accommodating a
159technological or financial hardship; providing for
160rulemaking; amending s. 520.995, F.S.; providing an
161additional ground for disciplinary action; amending ss.
162520.997 and 537.009, F.S.; authorizing the commission to
163prescribe certain minimum information that must be shown
164in a licensee's books, accounts, records, and documents;
165authorizing the commission to prescribe requirements for
166destroying books, accounts, records, and documents;
167authorizing the commission to recognize alternative
168statutes of limitation for such destruction; providing for
169procedures; amending ss. 560.105 and 560.118, F.S.;
170authorizing the commission to require electronic
171submission of forms, documents, or fees; providing for
172accommodating a technological or financial hardship;
173amending s. 560.114, F.S.; providing an additional ground
174for disciplinary action; amending s. 560.121, F.S.;
175authorizing the commission to prescribe certain minimum
176information that must be shown in a licensee's books,
177accounts, records, and documents; authorizing the
178commission to prescribe requirements for destroying books,
179accounts, records, and documents; authorizing the
180commission to recognize alternative statutes of limitation
181for such destruction; providing for procedures; decreasing
182the required time period for the office to retain certain
183reports, records, applications, and related information;
184amending s. 560.126, F.S.; requiring notice of changes in
185information contained in a registration application;
186amending s. 560.205, F.S.; revising fingerprinting
187requirements; authorizing the commission to prescribe fees
188and procedures for processing fingerprints; authorizing
189the office to contract for certain fingerprinting
190services; authorizing the commission to establish
191procedures for depositing fees and filing documents
192electronically; deleting a requirement that an applicant
193provide a list of certain vendors; requiring the reporting
194of certain changes of registration by written amendment;
195amending s. 560.207, F.S.; authorizing the commission to
196establish procedures for depositing fees and filing
197documents electronically; revising procedures for renewing
198a registration; providing that specified fees are
199nonrefundable; providing conditions to the reinstatement
200of a registration; amending s. 560.210, F.S.; revising
201permissible investment requirements for certain
202registrants; specifying in general that accounting
203principles are those generally accepted in the United
204States; amending ss. 560.211 and 560.310, F.S.; requiring
205notice to the office of the location of certain amended
206records; amending ss. 560.305 and 560.308, F.S.; revising
207procedures for renewing a registration; providing that
208specified fees are nonrefundable; providing conditions to
209the reinstatement of a registration; authorizing the
210commission to establish procedures for depositing fees and
211filing documents electronically; amending s. 560.306,
212F.S.; revising certain fingerprinting requirements;
213authorizing the commission to prescribe fees and
214procedures for processing fingerprints; authorizing the
215office to contract for certain fingerprinting services;
216requiring the reporting of certain changes of registration
217by written amendment; specifying commission authority by
218rules; amending s. 560.403, F.S.; revising requirements
219for giving notice of intent in connection with the renewal
220of registration; providing that specified fees are
221nonrefundable; providing conditions to the reinstatement
222of a notice of intent; amending s. 655.935, F.S.;
223authorizing the search of a safe-deposit box co-leased by
224a decedent; providing limitations; amending s. 655.936,
225F.S.; providing for the delivery of a safe-deposit box to
226a court-appointed personal representative; amending s.
227655.937, F.S.; revising provisions for access to safe-
228deposit boxes; amending s. 733.6065, F.S.; revising
229provisions related to the initial opening of a safe-
230deposit box leased or co-leased by a decedent; providing
231an effective date.
232
233Be It Enacted by the Legislature of the State of Florida:
234
235     Section 1.  Subsection (2) of section 494.0011, Florida
236Statutes, is amended, and subsection (6) is added to said
237section, to read:
238     494.0011  Powers and duties of the commission and office.--
239     (2)  The commission may has authority to adopt rules
240pursuant to ss. 120.536(1) and 120.54 to implement ss. 494.001-
241494.0077. The commission may adopt rules that require to allow
242electronic submission of any forms, documents, or fees required
243by this act if such rules reasonably accommodate technological
244or financial hardship. The commission may prescribe by rule
245requirements and procedures for obtaining an exemption due to a
246technological or financial hardship. The commission may also
247adopt rules to accept certification of compliance with
248requirements of this act in lieu of requiring submission of
249documents.
250     (6)  The granting or denial of a license must be in
251accordance with s. 120.60.
252     Section 2.  Subsection (4) of section 494.0016, Florida
253Statutes, is amended to read:
254     494.0016  Books, accounts, and records; maintenance;
255examinations by the office.--
256     (4)  The commission may prescribe by rule the minimum
257information to be shown in the books, accounts, records, and
258documents of licensees so that such records will enable the
259office to determine the licensee's compliance with ss. 494.001-
260494.0077. In addition, the commission may prescribe by rule the
261requirements for destruction of books, accounts, records, and
262documents retained by the licensee after completion of the time
263period indicated in subsection (3). Notwithstanding the 3-year
264retention period provided in subsection (3), if the office
265identifies a statute of limitations in a federal law or rule or
266another law or rule of this state which statute of limitations
267is reasonably related by subject matter to the administration of
268this chapter, the commission may identify that statute of
269limitations by rule and may prohibit the destruction of records
270required to be maintained by this chapter for a period of time,
271established by rule, which is reasonably related to such statute
272of limitations. The commission shall prescribe by rule those
273documents or records that are to be preserved under the
274identified statute of limitations.
275     Section 3.  Subsections (1) and (2) of section 494.0029,
276Florida Statutes, are amended to read:
277     494.0029  Mortgage business schools.--
278     (1)(a)  Each person, school, or institution, except
279accredited colleges, universities, community colleges, and
280career centers in this state, which offers or conducts mortgage
281business training as a condition precedent to licensure as a
282mortgage broker, mortgage or lender, or a correspondent mortgage
283lender shall obtain a permit from the office and abide by the
284regulations imposed upon such person, school, or institution by
285this chapter and rules adopted pursuant to this chapter. The
286commission shall, by rule, recertify the permits annually with
287initial and renewal permit fees that do not exceed $500 plus the
288cost of accreditation.
289     (b)  An application is considered received for purposes of
290s. 120.60 upon receipt of a completed application form as
291prescribed by commission rule, a nonrefundable application fee
292of $500, and any other fee prescribed by law.
293     (c)  A permit issued under this section is not transferable
294or assignable.
295     (2)  All such schools shall maintain curriculum and
296training materials necessary to determine the school's
297compliance with this chapter and rules adopted under pursuant to
298this chapter.  Any school that offers or conducts mortgage
299business training shall at all times maintain an operation of
300training, materials, and curriculum which is open to review by
301the office to determine compliance and competency as a mortgage
302business school. All documents prescribed by commission rule
303must be submitted with the initial application or
304recertification.
305     Section 4.  Section 494.00295, Florida Statutes, is amended
306to read:
307     494.00295  Professional continuing education.--
308     (1)  Each mortgage broker, mortgage lender, and
309correspondent mortgage lender must certify to the office at the
310time of renewal that during the 2 years prior to an application
311for license renewal, all mortgage brokers, and the principal
312representative, and loan originators, and associates of a
313mortgage lender or correspondent mortgage lender have
314successfully completed at least 14 hours of professional
315continuing education programs covering primary and subordinate
316mortgage financing transactions and the provisions of this
317chapter. Licensees shall maintain records documenting compliance
318with this subsection for a period of 4 years.
319     (2)  Professional continuing education programs must
320contribute directly to the professional competency of the
321participants, may only be offered by permitted mortgage business
322schools or entities specifically exempted from permitting as
323mortgage business schools, and may include electronically
324transmitted or distance education courses.
325     (3)  The commission shall adopt rules necessary to
326administer this section, including rules governing qualifying
327hours for professional continuing education programs and
328standards for electronically transmitted or distance education
329courses, including course completion requirements.
330     Section 5.  Paragraphs (b) and (c) of subsection (1) and
331paragraph (e) of subsection (2) of section 494.003, Florida
332Statutes, are amended to read:
333     494.003  Exemptions.--
334     (1)  None of the following persons is subject to the
335requirements of ss. 494.003-494.0043:
336     (b)  A state or federal chartered bank, bank holding
337company, trust company, savings and loan association, savings
338bank, or credit union, bank holding company regulated under the
339laws of any state or the United States, or consumer finance
340company licensed pursuant to chapter 516.
341     (c)  A wholly owned bank holding company subsidiary formed
342and regulated under the laws of any state or the United States
343or a wholly owned savings and loan association holding company
344subsidiary that is approved or certified by the Department of
345Housing and Urban Development, the Veterans Administration, the
346Government National Mortgage Association, the Federal National
347Mortgage Association, or the Federal Home Loan Mortgage
348Corporation.
349     (2)  None of the following persons is required to be
350licensed under ss. 494.003-494.0043:
351     (e)  A wholly owned subsidiary of a state or federal
352chartered bank or savings and loan association the sole activity
353of which is to distribute the lending programs of such state or
354federal chartered bank or savings and loan association to
355persons who arrange loans for, or make loans to, borrowers.
356     Section 6.  Section 494.0031, Florida Statutes, is amended
357to read:
358     494.0031  Licensure as a mortgage brokerage business.--
359     (1)  Each person who acts as a mortgage brokerage business
360must be licensed under this section unless otherwise exempt from
361licensure.
362     (2)(1)  The commission or office may require each applicant
363for a mortgage brokerage business license to provide any
364information reasonably necessary to determine the applicant's
365eligibility for licensure. The office shall issue a mortgage
366brokerage business license to each person who:
367     (a)  Has submitted a completed application form and a
368nonrefundable application fee of $425.; and
369     (b)  Has a qualified principal broker pursuant to s.
370494.0035.
371
372An application is considered received for purposes of s. 120.60
373upon receipt of a completed application form as prescribed by
374commission rule, a nonrefundable application fee of $425, and
375any other fee prescribed by law.
376     (3)(2)  The commission may require by rule that each
377officer, director, and ultimate equitable owner of a 10-percent
378or greater interest in the mortgage brokerage business submit a
379complete set of fingerprints. A fingerprint card submitted to
380the office must be taken by an authorized law enforcement agency
381if the fingerprint card is submitted to the office in paper
382form. In addition to the fees prescribed in s. 215.405, the
383commission may prescribe by rule an additional fee, not to
384exceed $30, for processing the fingerprints. The commission may
385prescribe by rule procedures for submitting fingerprints and
386fees by electronic means to the office or to a third party
387approved by the office. In order to implement the submission and
388processing of fingerprints as specified by rule under this
389section, the office may contract with a third party or another
390state agency that provides fingerprinting services officer.
391     (4)(3)  Notwithstanding the provisions of subsection (2)
392(1), it is a ground for denial of licensure if the applicant;
393designated principal mortgage broker; any officer, director,
394partner, or joint venturer of the applicant; any natural person
395owning a 10-percent or greater interest in the mortgage
396brokerage business; or any natural person who is the ultimate
397equitable owner of a 10-percent or greater interest in the
398mortgage brokerage business has committed any violation
399specified in ss. 494.001-494.0077 or has pending against him or
400her in any jurisdiction any criminal prosecution or
401administrative enforcement action that, in any jurisdiction,
402which involves fraud, dishonest dealing, or any other act of
403moral turpitude.
404     (5)(4)  A mortgage brokerage business or branch office
405license may be canceled if it was issued through mistake or
406inadvertence of the office. A notice of cancellation must be
407issued by the office within 90 days after the issuance of the
408license. A notice of cancellation is shall be effective upon
409receipt. The notice of cancellation must shall provide the
410applicant with notification of the right to request a hearing
411within 21 days after the applicant's receipt of the notice of
412cancellation. A license must shall be reinstated if the
413applicant can demonstrate that the requirements for obtaining
414the license under pursuant to this chapter have been satisfied.
415     (6)(5)  A license issued under this part is not
416transferable or assignable. If an initial mortgage brokerage
417business or branch office license has been issued but the check
418upon which the license is based is returned due to insufficient
419funds, the license shall be deemed canceled. A license deemed
420canceled pursuant to this subsection shall be reinstated if the
421office receives a certified check for the appropriate amount
422within 30 days after the date the check was returned due to
423insufficient funds.
424     Section 7.  Subsections (1), (2), and (7) of section
425494.0033, Florida Statutes, are amended to read:
426     494.0033  Mortgage broker's license.--
427     (1)  Each natural person who acts as a mortgage broker for
428a mortgage brokerage business or acts as an associate for a
429mortgage lender or correspondent mortgage lender must be
430licensed under pursuant to this section. To act as a mortgage
431broker, an individual must be an associate of a mortgage
432brokerage business, mortgage lender, or correspondent mortgage
433lender. A mortgage broker is prohibited from being an associate
434of more than one mortgage brokerage business, mortgage lender,
435or correspondent mortgage lender.
436     (2)  Each initial application for a mortgage broker's
437license must be in the form prescribed by rule of the
438commission. The commission may require each applicant to provide
439any information reasonably necessary to make a determination of
440the applicant's eligibility for licensure. The office shall
441issue an initial license to any natural person who:
442     (a)  Is at least 18 years of age.;
443     (b)  Has passed a written test adopted and administered by
444the office, or has passed an electronic test adopted and
445administered by the office or a third party approved by the
446office, which is designed to determine competency in primary and
447subordinate mortgage financing transactions as well as to test
448knowledge of ss. 494.001-494.0077 and the rules adopted pursuant
449thereto. The commission may prescribe by rule an additional fee
450not to exceed $100 for the electronic version of the mortgage
451broker test. The commission may waive by rule the examination
452requirement for any individual who has passed a comparable test
453offered by a national group of state mortgage regulators or a
454federal governmental agency which test covers primary and
455subordinate mortgage financing transactions.;
456     (c)  Has submitted a completed application and a
457nonrefundable application fee of $200. An application is
458considered received for purposes of s. 120.60 upon receipt of a
459completed application form as prescribed by commission rule, a
460nonrefundable application fee of $200, and any other fee
461prescribed by law. The commission may set by rule an additional
462fee for a retake of the examination; and
463     (d)  Has filed a complete set of fingerprints, taken by an
464authorized law enforcement officer, for submission by the office
465to the Department of Law Enforcement or the Federal Bureau of
466Investigation for processing. A fingerprint card submitted to
467the office must be taken by an authorized law enforcement agency
468if the fingerprint card is submitted to the office in paper
469form. In addition to the fees prescribed in s. 215.405, the
470commission may prescribe by rule additional fees, not to exceed
471$30, for processing the fingerprints. The commission may
472prescribe by rule procedures for submitting fingerprints and
473fees by electronic means to the office or to a third party
474approved by the office. In order to implement the submission and
475processing of fingerprints as specified by rule under this
476section, the office may contract with a third party or another
477state agency that provides fingerprinting services.
478     (7)  If an initial mortgage broker license has been issued
479but the check upon which the license is based is returned due to
480insufficient funds, the license shall be deemed canceled. A
481license deemed canceled pursuant to this subsection shall be
482reinstated if the office receives a certified check for the
483appropriate amount within 30 days after the date the check was
484returned due to insufficient funds.
485     Section 8.  Subsection (2) of section 494.0034, Florida
486Statutes, is amended to read:
487     494.0034  Renewal of mortgage broker's license.--
488     (2)  The commission shall adopt rules establishing a
489procedure for the biennial renewal of mortgage broker's
490licenses. The commission may prescribe the form of the renewal
491application and may require an update of information since the
492licensee's last renewal.
493     Section 9.  Subsection (2) of section 494.0036, Florida
494Statutes, is amended to read:
495     494.0036  Mortgage brokerage business branch offices.--
496     (2)  The office shall issue a mortgage brokerage business
497branch office license to a mortgage brokerage business licensee
498after the office determines that the licensee has submitted upon
499receipt of a completed branch office application in a form as
500prescribed by commission rule and payment of an initial
501nonrefundable branch office license fee of $225. Branch office
502licenses must be renewed in conjunction with the renewal of the
503mortgage brokerage business license. The branch office license
504shall be issued in the name of the mortgage brokerage business
505that maintains the branch office. An application is considered
506received for purposes of s. 120.60 upon receipt of a completed
507application form as prescribed by commission rule, a
508nonrefundable application fee of $225, and any other fee
509prescribed by law.
510     Section 10.  Subsections (1), (2), and (4) of section
511494.004, Florida Statutes, are amended to read:
512     494.004  Requirements of licensees.--
513     (1)  Each licensee under ss. 494.003-494.0043 shall report,
514in writing, any conviction of, or plea of nolo contendere to,
515regardless of adjudication, any crime or administrative
516violation that involves fraud, dishonest dealing, or any other
517act of moral turpitude, in any jurisdiction, by the licensee or
518any natural person named in s. 494.0031(4)(3), not later than 30
519days after the date of conviction, entry of a plea of nolo
520contendere, or final administrative action.
521     (2)  Each licensee under ss. 494.003-494.0043 shall report,
522in a form prescribed by rule of the commission, any conviction
523of, or plea of nolo contendere to, regardless of whether
524adjudication is withheld, any felony committed by the licensee
525or any natural person named in s. 494.0031(4)(3), not later than
52630 days after the date of conviction or the date the plea of
527nolo contendere is entered.
528     (4)  Each licensee under ss. 494.003-494.0043 shall report
529any change in the form of business organization or any change of
530a person named, pursuant to s. 494.0031(4)(3), to the office in
531writing not later than 30 days after the change is effective.
532     Section 11.  Paragraph (s) is added to subsection (2) of
533section 494.0041, Florida Statutes, to read:
534     494.0041  Administrative penalties and fines; license
535violations.--
536     (2)  Each of the following acts constitutes a ground for
537which the disciplinary actions specified in subsection (1) may
538be taken:
539     (s)  Payment to the office for a license or permit with a
540check or electronic transmission of funds which is dishonored by
541the applicant's or licensee's financial institutions.
542     Section 12.  Paragraphs (a) and (c) of subsection (1) and
543paragraph (a) of subsection (2) of section 494.006, Florida
544Statutes, are amended to read:
545     494.006  Exemptions.--
546     (1)  None of the following persons are subject to the
547requirements of ss. 494.006-494.0077 in order to act as a
548mortgage lender or correspondent mortgage lender:
549     (a)  A state or federal chartered bank, a bank holding
550company, trust company, a savings and loan association, a
551savings bank, or credit union, a bank holding company regulated
552under the laws of any state or the United States, or an
553insurance company if the insurance company is duly licensed in
554this state.
555     (c)  A wholly owned bank holding company subsidiary formed
556and regulated under the laws of any state or the United States
557or a wholly owned savings and loan association holding company
558subsidiary that is approved or certified by the Department of
559Housing and Urban Development, the Veterans Administration, the
560Government National Mortgage Association, the Federal National
561Mortgage Association, or the Federal Home Loan Mortgage
562Corporation.
563     (2)(a)  A natural person employed by a mortgage lender or
564correspondent mortgage lender licensed under ss. 494.001-
565494.0077 is exempt from the licensure requirements of ss.
566494.001-494.0077 when acting within the scope of employment with
567the licensee.
568     Section 13.  Section 494.0061, Florida Statutes, is amended
569to read:
570     494.0061  Mortgage lender's license requirements.--
571     (1)  Each person who acts as a mortgage lender must be
572licensed under this section unless otherwise exempt from
573licensure.
574     (2)(1)  The commission or office may require each applicant
575for a mortgage lender license to provide any information
576reasonably necessary to make a determination of the applicant's
577eligibility for licensure. The office shall issue an initial
578mortgage lender license to any person that submits:
579     (a)  A completed application form.;
580     (b)  A nonrefundable application fee of $575.;
581     (c)  Audited financial statements, which documents disclose
582that the applicant has a bona fide and verifiable net worth,
583pursuant to United States generally accepted accounting
584principles, of at least $250,000, which must be continuously
585maintained as a condition of licensure.;
586     (d)  A surety bond in the amount of $10,000, payable to the
587state and conditioned upon compliance with ss. 494.001-494.0077,
588which inures to the office and which must be continuously
589maintained thereafter in full force.;
590     (e)  Documentation that the applicant is duly incorporated,
591registered, or otherwise formed as a general partnership,
592limited partnership, limited liability company, or other lawful
593entity under the laws of this state or another state of the
594United States.; and
595     (f)  For applications submitted after October 1, 2001,
596Proof that the applicant's principal representative has
597completed 24 hours of classroom instruction in primary and
598subordinate financing transactions and in the provisions of this
599chapter and rules adopted under this chapter. This requirement
600is satisfied if the principal representative has continuously
601served in the capacity of a principal representative for a
602licensed entity under this chapter for at least 1 year and has
603not had a lapse in designation as a principal representative of
604more than 2 years prior to the date of the submission of the
605application or amendment in the case of a change in the
606principal representative. This requirement is also satisfied if
607the principal representative currently has an active mortgage
608broker license in this state.
609
610An application is considered received for purposes of s. 120.60
611upon receipt of a completed application form as prescribed by
612commission rule, a nonrefundable application fee of $575, and
613any other fee prescribed by law.
614     (3)(2)  Notwithstanding the provisions of subsection
615(2)(1), it is a ground for denial of licensure if the applicant,
616any principal officer, or director, partner, or joint venturer
617of the applicant, or any natural person owning a 10-percent or
618greater interest in the applicant, or any natural person who is
619the ultimate equitable owner of a 10-percent or greater interest
620in the applicant has committed any violation specified in s.
621494.0072, or has pending against her or him any criminal
622prosecution or administrative enforcement action, in any
623jurisdiction, which involves fraud, dishonest dealing, or any
624act of moral turpitude.
625     (4)(3)  Each initial application for a mortgage lender's
626license must be in a form prescribed by the commission. The
627commission or office may require each applicant to provide any
628information reasonably necessary to make a determination of the
629applicant's eligibility for licensure. The commission or office
630may require that each officer, director, and ultimate equitable
631owner of a 10-percent or greater interest in the applicant
632submit a complete set of fingerprints. A fingerprint card
633submitted to the office must be taken by an authorized law
634enforcement agency if the fingerprint card is submitted to the
635office in paper form. In addition to the fees prescribed in s.
636215.405, the commission may prescribe by rule an additional fee,
637not to exceed $30, for processing the fingerprints. The
638commission may prescribe by rule procedures for submitting
639fingerprints and fees by electronic means to the office or to a
640third party approved by the office. In order to implement the
641submission and processing of fingerprints as specified by rule
642under this section, the office may contract with a third party
643or another state agency that provides fingerprinting services
644officer.
645     (5)(4)  A person required to be licensed under ss. 494.006-
646494.0077, or an agent or employee thereof, is deemed to have
647consented to the venue of courts of competent jurisdiction in
648this state regarding any matter within the authority of ss.
649494.001-494.0077 regardless of where an act or violation was
650committed.
651     (6)(5)  A license issued in accordance with ss. 494.006-
652494.0077 is not transferable or assignable.
653     (7)(6)  A mortgage lender or branch office license may be
654canceled if it was issued through mistake or inadvertence of the
655office. A notice of cancellation must be issued by the office
656within 90 days after the issuance of the license. A notice of
657cancellation shall be effective upon receipt. The notice of
658cancellation shall provide the applicant with notification of
659the right to request a hearing within 21 days after the
660applicant's receipt of the notice of cancellation. A license
661shall be reinstated if the applicant can demonstrate that the
662requirements for obtaining the license under pursuant to this
663chapter have been satisfied.
664     (7)  If an initial mortgage lender or branch office license
665has been issued but the check upon which the license is based is
666returned due to insufficient funds, the license shall be deemed
667canceled. A license deemed canceled pursuant to this subsection
668shall be reinstated if the office receives a certified check for
669the appropriate amount within 30 days after the date the check
670was returned due to insufficient funds.
671     (8)  Each lender, regardless of the number of branches it
672operates, shall designate a principal representative who
673exercises control of the licensee's business and shall maintain
674a form prescribed by the commission designating the principal
675representative. If the form is not accurately maintained, the
676business is considered to be operated by each officer, director,
677or equitable owner of a 10-percent or greater interest in the
678business.
679     (9)  After October 1, 2001, An applicant's principal
680representative must pass a written test prescribed by the
681commission and administered by the office, or must pass an
682electronic test prescribed by the commission and administered by
683the office or a third party approved by the office, which covers
684primary and subordinate mortgage financing transactions and the
685provisions of this chapter and rules adopted under this chapter.
686The commission may set by rule a fee not to exceed $100 for the
687electronic version of the mortgage broker test. The commission
688may waive by rule the examination requirement for any individual
689who has passed a comparable test offered by a national group of
690state mortgage regulators or a federal governmental agency which
691test covers primary and subordinate mortgage financing
692transactions. This requirement is satisfied if the principal
693representative has continuously served in the capacity of a
694principal representative for a licensed entity under this
695chapter for at least 1 year and has not had a lapse in
696designation as a principal representative of more than 2 years
697prior to the date of the submission of the application or
698amendment in the case of a change in the principal
699representative. This requirement is also satisfied if the
700principal representative currently has an active mortgage broker
701license in this state.
702     (10)  A lender shall notify the office of any change in the
703designation of its principal representative within 30 days. A
704new principal representative shall satisfy the name and address
705of any new principal representative and shall document that the
706person has completed the educational and testing requirements of
707this section within 90 days after being designated as upon the
708designation of a new principal representative. This requirement
709is satisfied if the principal representative has continuously
710served in the capacity of a principal representative for a
711licensed entity under this chapter for at least 1 year and has
712not had a lapse in designation as a principal representative of
713more than 2 years prior to the date of the submission of the
714application or amendment in the case of a change in the
715principal representative. This requirement is also satisfied if
716the principal representative currently has an active mortgage
717broker license in this state.
718     Section 14.  Section 494.0062, Florida Statutes, is amended
719to read:
720     494.0062  Correspondent mortgage lender's license
721requirements.--
722     (1)  Each person who acts as a correspondent mortgage
723lender must be licensed under this section unless otherwise
724exempt from licensure.
725     (2)(1)  The office may require each applicant to provide
726any information reasonably necessary to determine the
727applicant's eligibility for licensure. The office shall issue an
728initial correspondent mortgage lender license to any person who
729submits:
730     (a)  A completed application form.;
731     (b)  A nonrefundable application fee of $500.;
732     (c)  Audited financial statements that, which document that
733the applicant application has a bona fide and verifiable net
734worth, pursuant to United States generally accepted accounting
735principles, of $25,000 or more, and which must be continuously
736maintained as a condition of licensure.;
737     (d)  A surety bond in the amount of $10,000, payable to the
738State of Florida and conditioned upon compliance with ss.
739494.001-494.0077, which inures to the office and which must be
740continuously maintained, thereafter, in full force.;
741     (e)  Documentation that the applicant is duly incorporated,
742registered, or otherwise formed as a general partnership,
743limited partnership, limited liability company, or other lawful
744entity under the laws of this state or another state of the
745United States.; and
746     (f)  For applications filed after October 1, 2001, Proof
747that the applicant's principal representative has completed 24
748hours of classroom instruction in primary and subordinate
749financing transactions and in the provisions of this chapter and
750rules enacted under this chapter. This requirement is satisfied
751if the principal representative has continuously served in the
752capacity of a principal representative for a licensed entity
753under this chapter for at least 1 year and has not had a lapse
754in designation as a principal representative of more than 2
755years prior to the date of the submission of the application or
756amendment in the case of a change in the principal
757representative. This requirement is also satisfied if the
758principal representative currently has an active mortgage broker
759license in this state.
760
761An application is considered received for purposes of s. 120.60
762upon receipt of a completed application form as prescribed by
763commission rule, a nonrefundable application fee of $500, and
764any other fee prescribed by law.
765     (3)(2)  Notwithstanding the provisions of subsection
766(2)(1), it is a ground for denial of licensure if the applicant,
767any principal officer or director of the applicant, or any
768natural person who is the ultimate equitable owner of a 10-
769percent or greater interest in the applicant has committed any
770violation specified in s. 494.0072, or has pending against her
771or him any criminal prosecution or administrative enforcement
772action, in any jurisdiction, which involves fraud, dishonest
773dealing, or any act of moral turpitude.
774     (4)(3)  Each initial application for a correspondent
775mortgage lender's license must be in a form prescribed by the
776commission. The commission or office may require each applicant
777to provide any information reasonably necessary to make a
778determination of the applicant's eligibility for licensure. The
779commission or office may require by rule that each officer,
780director, and ultimate equitable owner of a 10-percent or
781greater interest submit a complete set of fingerprints. A
782fingerprint card submitted to the office must be taken by an
783authorized law enforcement agency if the fingerprint card is
784submitted to the office in paper form. In addition to the fees
785prescribed in s. 215.405, the commission may prescribe by rule
786an additional fee, not to exceed $30, for processing the
787fingerprints. The commission may prescribe by rule procedures
788for submitting fingerprints and fees by electronic means to the
789office or to a third party approved by the office. In order to
790implement the submission and processing of fingerprints as
791specified by rule under this section, the office may contract
792with a third party or another state agency that provides
793fingerprinting services officer.
794     (5)(4)  Each license is valid for the remainder of the
795biennium in which the license is issued.
796     (6)(5)  A person licensed as a correspondent mortgage
797lender may make mortgage loans, but may not service a mortgage
798loan for more than 4 months after the date the mortgage loan was
799made or acquired by the correspondent mortgage lender.
800     (7)(6)  A licensee under ss. 494.006-494.0077, or an agent
801or employee thereof, is deemed to have consented to the venue of
802courts of competent jurisdiction in this state regarding any
803matter within the authority of ss. 494.001-494.0077 regardless
804of where an act or violation was committed.
805     (8)(7)  A correspondent mortgage lender is subject to the
806same requirements and restrictions as a licensed mortgage lender
807unless otherwise provided in this section.
808     (9)(8)  A license issued under this section is not
809transferable or assignable.
810     (10)(9)  A correspondent mortgage lender or branch office
811license may be canceled if it was issued through mistake or
812inadvertence of the office. A notice of cancellation must be
813issued by the office within 90 days after the issuance of the
814license. A notice of cancellation shall be effective upon
815receipt. The notice of cancellation shall provide the applicant
816with notification of the right to request a hearing within 21
817days after the applicant's receipt of the notice of
818cancellation. A license shall be reinstated if the applicant can
819demonstrate that the requirements for obtaining the license
820pursuant to this chapter have been satisfied.
821     (10)  If an initial correspondent mortgage lender or branch
822office license has been issued but the check upon which the
823license is based is returned due to insufficient funds, the
824license shall be deemed canceled. A license deemed canceled
825pursuant to this subsection shall be reinstated if the office
826receives a certified check for the appropriate amount within 30
827days after the date the check was returned due to insufficient
828funds.
829     (11)  Each correspondent lender shall designate a principal
830representative who exercises control over the business and shall
831maintain a form prescribed by the commission designating the
832principal representative. If the form is not accurately
833maintained, the business is considered to be operated by each
834officer, director, or equitable owner of a 10-percent or greater
835interest in the business.
836     (12)  After October 1, 2001, An applicant's principal
837representative must pass a written test prescribed by the
838commission and administered by the office or a third party
839approved by the office which test covers primary and subordinate
840mortgage financing transactions and the provisions of this
841chapter and rules adopted under this chapter. The commission may
842waive by rule the examination requirement for any individual who
843has passed a comparable test offered by a national group of
844state mortgage regulators or a federal governmental agency which
845test covers primary and subordinate mortgage financing
846transactions. The commission may set by rule a fee not to exceed
847$100 for taking the examination. This requirement is satisfied
848if the principal representative has continuously served in the
849capacity of a principal representative for a licensed entity
850under this chapter for at least 1 year and has not had a lapse
851in designation as a principal representative of more than 2
852years prior to the date of the submission of the application or
853amendment in the case of a change in the principal
854representative. This requirement is also satisfied if the
855principal representative currently has an active mortgage broker
856license in this state.
857     (13)  A correspondent lender shall notify the office of any
858change in the designation of its principal representative within
85930 days. A new principal representative shall satisfy the name
860and address of any new principal representative and shall
861document that such person has completed the educational and
862testing requirements of this section within 90 days after being
863designated as upon the lender's designation of a new principal
864representative. This requirement is satisfied if the principal
865representative has continuously served in the capacity of a
866principal representative for a licensed entity under this
867chapter for at least 1 year and has not had a lapse in
868designation as a principal representative of more than 2 years
869prior to the date of the submission of the application or
870amendment in the case of a change in the principal
871representative. This requirement is also satisfied if the
872principal representative currently has an active mortgage broker
873license in this state.
874     Section 15.  Paragraph (b) of subsection (1) of section
875494.0064, Florida Statutes, is amended to read:
876     494.0064  Renewal of mortgage lender's license; branch
877office license renewal.--
878     (1)
879     (b)  A licensee shall also submit, as part of the renewal
880form, certification that during the preceding 2 years the
881licensee's principal representative and, loan originators, and
882associates have completed the professional continuing education
883requirements of s. 494.00295.
884     Section 16.  Section 494.0065, Florida Statutes, is amended
885to read:
886     494.0065  Saving clause.--
887     (1)(a)  Any person in good standing who holds an active
888registration pursuant to former s. 494.039 or license pursuant
889to former s. 521.205, or any person who acted solely as a
890mortgage servicer on September 30, 1991, is eligible to apply to
891the office for a mortgage lender's license and is eligible for
892licensure if the applicant:
893     1.  For at least 12 months during the period of October 1,
8941989, through September 30, 1991, has engaged in the business of
895either acting as a seller or assignor of mortgage loans or as a
896servicer of mortgage loans, or both;
897     2.  Has documented a minimum net worth of $25,000 in
898audited financial statements; and
899     3.  Has applied for licensure pursuant to this section by
900January 1, 1992, and paid an application fee of $100.
901     (b)  A licensee pursuant to paragraph (a) may operate a
902wholly owned subsidiary or affiliate for the purpose of
903servicing accounts if the subsidiary or affiliate is operational
904as of September 30, 1991. Such subsidiary or affiliate is not
905required to obtain a separate license, but is subject to all the
906requirements of a licensee under ss. 494.006-494.0077.
907     (2)  A licensee issued a license pursuant to subsection (1)
908may renew its mortgage lending license if it documents a minimum
909net worth of $25,000, according to United States generally
910accepted accounting principles, which must be continuously
911maintained as a condition to licensure. The office shall require
912an audited financial statement which documents such net worth.
913     (3)  The commission may prescribe by rule forms and
914procedures for application for licensure, and amendment and
915withdrawal of application for licensure, or transfer, including
916any existing branch offices, in accordance with subsections (4)
917and (5), and for renewal of licensure of licensees under this
918section. An application is considered received for purposes of
919s. 120.60 upon receipt of a completed application form as
920prescribed by commission rule, a nonrefundable application fee
921of $575, and any other fee prescribed by law.
922     (4)(a)  Notwithstanding ss. 494.0061(6)(5) and 494.0067(3),
923the ultimate equitable owner, as of the effective date of this
924act, of a mortgage lender licensed under this section may
925transfer, one time, at least 50 percent of the ownership,
926control, or power to vote any class of equity securities of such
927mortgage lender, except as provided in paragraph (b). For
928purposes of this subsection, satisfaction of the amount of the
929ownership transferred may be met in multiple transactions or in
930a single transaction.
931     (b)  A person who is an ultimate equitable owner on the
932effective date of this act may transfer, at any time, at least
93350 percent of the ownership, control, or power to vote any class
934of equity securities of such person to the person's spouse or
935child, and any such transferee may transfer, at any time, such
936ownership, control, or power to vote to a spouse or child of
937such transferee, in perpetuity.
938     (c)  For any transfer application filed on or after October
9391, 2005:
940     1.  An applicant must provide proof that the applicant's
941principal representative has completed 24 hours of instruction
942in primary and subordinate financing transactions and in the
943provisions of this chapter and rules adopted under this chapter.
944This requirement is satisfied if the principal representative
945has continuously served in the capacity of a principal
946representative for a licensed entity under this chapter for at
947least 1 year and has not had a lapse in designation as a
948principal representative of more than 2 years prior to the date
949of the submission of the application or amendment in the case of
950a change in the principal representative. This requirement is
951also satisfied if the principal representative currently has an
952active mortgage broker license in this state.
953     2.  An applicant's principal representative must pass a
954written test prescribed by the commission and administered by
955the office, or must pass an electronic test prescribed by the
956commission and administered by the office or a third party
957approved by the office which test covers primary and subordinate
958mortgage financing transactions and the provisions of this
959chapter and rules adopted under this chapter. The commission may
960set by rule a fee not to exceed $100 for the electronic version
961of the mortgage broker test. The commission may waive by rule
962the examination requirement for any individual who has passed a
963comparable test offered by a national group of state mortgage
964regulators or a federal governmental agency which test covers
965primary and subordinate mortgage financing transactions. This
966requirement is satisfied if the principal representative has
967continuously served in the capacity of a principal
968representative for a licensed entity under this chapter for at
969least 1 year and has not had a lapse in designation as a
970principal representative of more than 2 years prior to the date
971of the submission of the application or amendment in the case of
972a change in the principal representative. This requirement is
973also satisfied if the principal representative currently has an
974active mortgage broker license in this state.
975     (5)  The commission or office may require each applicant
976for any transfer to provide any information reasonably necessary
977to make a determination of the applicant's eligibility for
978licensure. The office shall issue the transfer of licensure to
979any person who submits the following documentation at least 90
980days prior to the anticipated transfer:
981     (a)  A completed application form.
982     (b)  A nonrefundable fee set by rule of the commission in
983the amount of $575 $500.
984     (c)  Audited financial statements that substantiate that
985the applicant has a bona fide and verifiable net worth,
986according to United States generally accepted accounting
987principles, of at least $25,000, which must be continuously
988maintained as a condition of licensure.
989     (d)  Documentation that the applicant is incorporated,
990registered, or otherwise formed as a general partnership,
991limited partnership, limited liability company, or other lawful
992entity under the laws of this state or another state of the
993United States.
994
995An application is considered received for purposes of s. 120.60
996upon receipt of a completed application form as prescribed by
997commission rule, a nonrefundable application fee of $575, and
998any other fee prescribed by law. The commission or office may
999require by rule that each officer, director, and ultimate
1000equitable owner of a 10-percent or greater interest in the
1001applicant submit a complete set of fingerprints. A fingerprint
1002card submitted to the office must be taken by an authorized law
1003enforcement agency if the fingerprint card is submitted to the
1004office in paper form. In addition to the fees prescribed in s.
1005215.405, the commission may prescribe by rule an additional fee,
1006not to exceed $30, for processing the fingerprints. The
1007commission may prescribe by rule procedures for submitting
1008fingerprints and fees by electronic means to the office or to a
1009third party approved by the office. In order to implement the
1010submission and processing of fingerprints as specified by rule
1011under this section, the office may contract with a third party
1012or another state agency that provides fingerprinting services
1013officer.
1014     (6)  Notwithstanding subsection (5), a transfer under
1015subsection (4) may be denied if the applicant, any principal
1016officer or director of the applicant, or any natural person
1017owning a 10-percent or greater interest in the applicant has
1018committed any violation specified in s. 494.0072, or has entered
1019a plea of nolo contendere, regardless of adjudication, or has an
1020action pending against the applicant in any criminal prosecution
1021or administrative enforcement action, in any jurisdiction, which
1022involves fraud, dishonest dealing, or any act of moral
1023turpitude.
1024     (7)  A license issued in accordance with this section is
1025not transferable or assignable except as provided in subsection
1026(4).
1027     (8)  Each person applying for a transfer of any branch
1028office pursuant to subsection (4) must comply with the
1029requirements of s. 494.0066.
1030     (9)  Each mortgage lender shall designate a principal
1031representative who exercises control over the business and shall
1032keep current the designation on a form prescribed by commission
1033rule designating the principal representative. If the
1034information on the form is not kept current, the business is
1035considered to be operated by each officer, director, or
1036equitable owner of a 10-percent or greater interest in the
1037business.
1038     (10)  A lender shall notify the office of any change in the
1039designation of its principal representative within 30 days. A
1040new principal representative shall satisfy the educational and
1041testing requirements of this section within 90 days after being
1042designated as new principal representative. This requirement is
1043satisfied if the principal representative has continuously
1044served in the capacity of a principal representative for a
1045licensed entity under this chapter for at least 1 year and has
1046not had a lapse in designation as a principal representative of
1047more than 2 years prior to the date of the submission of the
1048application or amendment in the case of a change in the
1049principal representative. This requirement is also satisfied if
1050the principal representative currently has an active mortgage
1051broker license in this state.
1052     Section 17.  Subsection (2) of section 494.0066, Florida
1053Statutes, is amended to read:
1054     494.0066  Branch offices.--
1055     (2)  The office shall issue a branch office license to a
1056licensee licensed under s. 494.0065(1) or a transfer licensee
1057after the office determines that the licensee has submitted upon
1058receipt of a completed branch office application form as
1059prescribed by rule by the commission and an initial
1060nonrefundable branch office license fee of $325. The branch
1061office application must include the name and license number of
1062the licensee under ss. 494.006-494.0077, the name of the
1063licensee's employee in charge of the branch office, and the
1064address of the branch office. The branch office license shall be
1065issued in the name of the licensee under ss. 494.006-494.0077
1066and must be renewed in conjunction with the license renewal.
1067     Section 18.  Paragraph (a) of subsection (10) of section
1068494.0067, Florida Statutes, is amended to read:
1069     494.0067  Requirements of licensees under ss. 494.006-
1070494.0077.--
1071     (10)(a)  Each licensee shall require the principal
1072representative and all loan originators or associates who
1073perform services for the licensee to complete 14 hours of
1074professional continuing education during each biennial license
1075period. The education shall cover primary and subordinate
1076mortgage financing transactions and the provisions of this
1077chapter and the rules adopted under this chapter.
1078     Section 19.  Paragraph (s) is added to subsection (2) of
1079section 494.0072, Florida Statutes, to read:
1080     494.0072  Administrative penalties and fines; license
1081violations.--
1082     (2)  Each of the following acts constitutes a ground for
1083which the disciplinary actions specified in subsection (1) may
1084be taken:
1085     (s)  Payment to the office for a license or permit with a
1086check or electronic transmission of funds which is dishonored by
1087the applicant's or licensee's financial institution.
1088     Section 20.  Subsection (2) of section 494.00721, Florida
1089Statutes, is amended to read:
1090     494.00721  Net worth.--
1091     (2)  If a mortgage lender or correspondent mortgage lender
1092fails to satisfy the net worth requirements, the mortgage lender
1093or correspondent mortgage lender shall immediately cease taking
1094any new mortgage loan applications. Thereafter, the mortgage
1095lender or correspondent mortgage lender shall have up to 60 days
1096within which to satisfy the net worth requirements. If the
1097licensee makes the office aware, prior to an examination, that
1098the licensee no longer meets the net worth requirements, the
1099mortgage lender or correspondent mortgage lender shall have 120
1100days within which to satisfy the net worth requirements. A
1101mortgage lender or correspondent mortgage lender shall not
1102resume acting as a mortgage lender or correspondent mortgage
1103lender without written authorization from the office, which
1104authorization shall be granted if the mortgage lender or
1105correspondent mortgage lender provides the office with
1106documentation which satisfies the requirements of s.
1107494.0061(2)(1)(c), s. 494.0062(2)(1)(c), or s. 494.0065(2),
1108whichever is applicable.
1109     Section 21.  Paragraph (c) of subsection (3) of section
1110501.137, Florida Statutes, is amended to read:
1111     501.137  Mortgage lenders; tax and insurance payments from
1112escrow accounts; duties.--
1113     (3)
1114     (c)  If the lender violates paragraph (a) and the premium
1115payment is more than 90 days overdue or if the insurer refuses
1116to reinstate the insurance policy, the lender shall pay the
1117difference between the cost of the previous insurance policy and
1118a new, comparable insurance policy for a period of 2 years. If
1119the lender refuses, the lender shall be liable for the
1120reasonable attorney's fees and costs of the property owner for a
1121violation of this section.
1122     Section 22.  Section 516.03, Florida Statutes, is amended
1123to read:
1124     516.03  Application for license; fees; etc.--
1125     (1)  APPLICATION.--Application for a license to make loans
1126under this chapter shall be in the form prescribed by rule of
1127the commission, and shall contain the name, residence and
1128business addresses of the applicant and, if the applicant is a
1129copartnership or association, of every member thereof and, if a
1130corporation, of each officer and director thereof, also the
1131county and municipality with the street and number or
1132approximate location where the business is to be conducted, and
1133such further relevant information as the commission or office
1134may require. At the time of making such application the
1135applicant shall pay to the office a nonrefundable biennial
1136license fee of $625. Applications, except for applications to
1137renew or reactivate a license, must also be accompanied by a
1138nonrefundable an investigation fee of $200. An application is
1139considered received for purposes of s. 120.60 upon receipt of a
1140completed application form as prescribed by commission rule, a
1141nonrefundable application fee of $625, and any other fee
1142prescribed by law. The commission may adopt rules to require
1143allow electronic submission of any form, document, or fee
1144required by this act if such rules reasonably accommodate
1145technological or financial hardship. The commission may
1146prescribe by rule requirements and procedures for obtaining an
1147exemption due to a technological or financial hardship.
1148     (2)  FEES.--Fees herein provided for shall be collected by
1149the office and shall be turned into the State Treasury to the
1150credit of the regulatory trust fund under the office. The office
1151shall have full power to employ such examiners or clerks to
1152assist the office as may from time to time be deemed necessary
1153and fix their compensation. The commission may adopt rules to
1154require allow electronic submission of any fee required by this
1155section if such rules reasonably accommodate technological or
1156financial hardship. The commission may prescribe by rule
1157requirements and procedures for obtaining an exemption due to a
1158technological or financial hardship.
1159     Section 23.  Paragraph (a) of subsection (3) of section
1160516.031, Florida Statutes, is amended to read:
1161     516.031  Finance charge; maximum rates.--
1162     (3)  OTHER CHARGES.--
1163     (a)  In addition to the interest, delinquency, and
1164insurance charges herein provided for, no further or other
1165charges or amount whatsoever for any examination, service,
1166commission, or other thing or otherwise shall be directly or
1167indirectly charged, contracted for, or received as a condition
1168to the grant of a loan, except:
1169     1.  An amount not to exceed $25 $10 to reimburse a portion
1170of the costs for investigating the character and credit of the
1171person applying for the loan;
1172     2.  An annual fee of $25 on the anniversary date of each
1173line-of-credit account;
1174     3.  Charges paid for brokerage fee on a loan or line of
1175credit of more than $10,000, title insurance, and the appraisal
1176of real property offered as security when paid to a third party
1177and supported by an actual expenditure;
1178     4.  Intangible personal property tax on the loan note or
1179obligation when secured by a lien on real property;
1180     5.  The documentary excise tax and lawful fees, if any,
1181actually and necessarily paid out by the licensee to any public
1182officer for filing, recording, or releasing in any public office
1183any instrument securing the loan, which fees may be collected
1184when the loan is made or at any time thereafter;
1185     6.  The premium payable for any insurance in lieu of
1186perfecting any security interest otherwise required by the
1187licensee in connection with the loan, if the premium does not
1188exceed the fees which would otherwise be payable, which premium
1189may be collected when the loan is made or at any time
1190thereafter;
1191     7.  Actual and reasonable attorney's fees and court costs
1192as determined by the court in which suit is filed;
1193     8.  Actual and commercially reasonable expenses of
1194repossession, storing, repairing and placing in condition for
1195sale, and selling of any property pledged as security; or
1196     9.  A delinquency charge not to exceed $10 for each payment
1197in default for a period of not less than 10 days, if the charge
1198is agreed upon, in writing, between the parties before imposing
1199the charge.
1200
1201Any charges, including interest, in excess of the combined total
1202of all charges authorized and permitted by this chapter
1203constitute a violation of chapter 687 governing interest and
1204usury, and the penalties of that chapter apply. In the event of
1205a bona fide error, the licensee shall refund or credit the
1206borrower with the amount of the overcharge immediately but
1207within 20 days from the discovery of such error.
1208     Section 24.  Subsection (1) of section 516.05, Florida
1209Statutes, is amended to read:
1210     516.05  License.--
1211     (1)  Upon the filing of an application for a license and
1212payment of all applicable fees, the office shall, unless the
1213application is to renew or reactivate an existing license, make
1214an investigation of the facts concerning the applicant's
1215proposed activities. If the office determines that a license
1216should be granted, it shall issue the license for a period not
1217to exceed 2 years. Biennial licensure periods and procedures for
1218renewal of licenses shall be established by the rule of the
1219commission. If the office determines that grounds exist under
1220this chapter for denial of an application other than an
1221application to renew a license, it shall deny such application,
1222return to the applicant the sum paid as a license fee, and
1223retain the investigation fee.
1224     Section 25.  Paragraph (p) is added to subsection (1) of
1225section 516.07, Florida Statutes, to read:
1226     516.07  Grounds for denial of license or for disciplinary
1227action.--
1228     (1)  The following acts are violations of this chapter and
1229constitute grounds for denial of an application for a license to
1230make consumer finance loans and grounds for any of the
1231disciplinary actions specified in subsection (2):
1232     (p)  Payment to the office for a license or permit with a
1233check or electronic transmission of funds which is dishonored by
1234the applicant's or licensee's financial institution.
1235     Section 26.  Subsection (3) is added to section 516.12,
1236Florida Statutes, to read:
1237     516.12  Records to be kept by licensee.--
1238     (3)  The commission may prescribe by rule the minimum
1239information to be shown in the books, accounts, records, and
1240documents of licensees for purposes of enabling the office to
1241determine the licensee's compliance with ss. 516.001-516.36. In
1242addition, the commission may prescribe by rule the requirements
1243for destruction of books, accounts, records, and documents
1244retained by the licensee after completion of the time period
1245specified in subsection (1). Notwithstanding the 2-year
1246retention period specified in subsection (1), if the office
1247identifies a statute of limitations in another civil or criminal
1248state or federal law or rule which statute of limitations is
1249reasonably related by subject matter to the administration of
1250this chapter, the commission may identify that statute of
1251limitations by rule and may prohibit the destruction of records
1252required to be maintained by this chapter for a period of time,
1253established by rule, which is reasonably related to such statute
1254of limitations. The commission shall prescribe by rule those
1255documents or records that are to be preserved under the
1256identified statute of limitations.
1257     Section 27.  Subsection (9) of section 517.051, Florida
1258Statutes, is amended to read:
1259     517.051  Exempt securities.--The exemptions provided herein
1260from the registration requirements of s. 517.07 are
1261self-executing and do not require any filing with the office
1262prior to claiming such exemption. Any person who claims
1263entitlement to any of these exemptions bears the burden of
1264proving such entitlement in any proceeding brought under this
1265chapter. The registration provisions of s. 517.07 do not apply
1266to any of the following securities:
1267     (9)  A security issued by a corporation organized and
1268operated exclusively for religious, educational, benevolent,
1269fraternal, charitable, or reformatory purposes and not for
1270pecuniary profit, no part of the net earnings of which
1271corporation inures to the benefit of any private stockholder or
1272individual, or any security of a fund that is excluded from the
1273definition of an investment company under s. 3(c)(10)(B) of the
1274Investment Company Act of 1940; provided that no person shall
1275directly or indirectly offer or sell securities under this
1276subsection except by an offering circular containing full and
1277fair disclosure, as prescribed by the rules of the commission,
1278of all material information, including, but not limited to, a
1279description of the securities offered and terms of the offering,
1280a description of the nature of the issuer's business, a
1281statement of the purpose of the offering and the intended
1282application by the issuer of the proceeds thereof, and financial
1283statements of the issuer prepared in conformance with United
1284States generally accepted accounting principles. Section 6(c) of
1285the Philanthropy Protection Act of 1995, Pub. L. No. 104-62,
1286shall not preempt any provision of this chapter.
1287     Section 28.  Subsection (18) of section 517.061, Florida
1288Statutes, is amended to read:
1289     517.061  Exempt transactions.--The exemption for each
1290transaction listed below is self-executing and does not require
1291any filing with the office prior to claiming such exemption.  
1292Any person who claims entitlement to any of the exemptions bears
1293the burden of proving such entitlement in any proceeding brought
1294under this chapter.  The registration provisions of s. 517.07 do
1295not apply to any of the following transactions; however, such
1296transactions are subject to the provisions of ss. 517.301,
1297517.311, and 517.312:
1298     (18)  The offer or sale of any security effected by or
1299through a person in compliance with registered pursuant to s.
1300517.12(17).
1301     Section 29.  Paragraph (g) of subsection (3) of section
1302517.081, Florida Statutes, is amended to read:
1303     517.081  Registration procedure.--
1304     (3)  The office may require the applicant to submit to the
1305office the following information concerning the issuer and such
1306other relevant information as the office may in its judgment
1307deem necessary to enable it to ascertain whether such securities
1308shall be registered pursuant to the provisions of this section:
1309     (g)1.  A specimen copy of the security and a copy of any
1310circular, prospectus, advertisement, or other description of
1311such securities.
1312     2.  The commission shall adopt a form for a simplified
1313offering circular to be used solely by corporations to register,
1314under this section, securities of the corporation that are sold
1315in offerings in which the aggregate offering price in any
1316consecutive 12-month period does not exceed the amount provided
1317in s. 3(b) of the Securities Act of 1933.  The following issuers
1318shall not be eligible to submit a simplified offering circular
1319adopted pursuant to this subparagraph:
1320     a.  An issuer seeking to register securities for resale by
1321persons other than the issuer.
1322     b.  An issuer who is subject to any of the
1323disqualifications described in 17 C.F.R. s. 230.262, adopted
1324pursuant to the Securities Act of 1933, or who has been or is
1325engaged or is about to engage in an activity that would be
1326grounds for denial, revocation, or suspension under s. 517.111.
1327For purposes of this subparagraph, an issuer includes an
1328issuer's director, officer, shareholder who owns at least 10
1329percent of the shares of the issuer, promoter, or selling agent
1330of the securities to be offered or any officer, director, or
1331partner of such selling agent.
1332     c.  An issuer who is a development-stage company that
1333either has no specific business plan or purpose or has indicated
1334that its business plan is to merge with an unidentified company
1335or companies.
1336     d.  An issuer of offerings in which the specific business
1337or properties cannot be described.
1338     e.  Any issuer the office determines is ineligible if the
1339form would not provide full and fair disclosure of material
1340information for the type of offering to be registered by the
1341issuer.
1342     f.  Any corporation which has failed to provide the office
1343the reports required for a previous offering registered pursuant
1344to this subparagraph.
1345
1346As a condition precedent to qualifying for use of the simplified
1347offering circular, a corporation shall agree to provide the
1348office with an annual financial report containing a balance
1349sheet as of the end of the issuer's fiscal year and a statement
1350of income for such year, prepared in accordance with United
1351States generally accepted accounting principles and accompanied
1352by an independent accountant's report. If the issuer has more
1353than 100 security holders at the end of a fiscal year, the
1354financial statements must be audited. Annual financial reports
1355must be filed with the office within 90 days after the close of
1356the issuer's fiscal year for each of the first 5 years following
1357the effective date of the registration.
1358     Section 30.  Subsections (7), (10), (11), (15), and (17) of
1359section 517.12, Florida Statutes, are amended to read:
1360     517.12  Registration of dealers, associated persons,
1361investment advisers, and branch offices.--
1362     (7)  The application shall also contain such information as
1363the commission or office may require about the applicant; any
1364partner, officer, or director of the applicant or any person
1365having a similar status or performing similar functions; any
1366person directly or indirectly controlling the applicant; or any
1367employee of a dealer or of an investment adviser rendering
1368investment advisory services.  Each applicant shall file a
1369complete set of fingerprints. A fingerprint card submitted to
1370the office must be taken by an authorized law enforcement agency
1371if the fingerprint card is submitted to the office in paper
1372form. In addition to the fees prescribed in s. 215.405, the
1373commission may prescribe by rule an additional fee, not to
1374exceed $30, for processing the fingerprints. The commission may
1375prescribe by rule procedures for submitting fingerprints and
1376fees by electronic means to the office or to a third party
1377approved by the office. In order to implement the submission and
1378processing of fingerprints as specified by rule under this
1379section, the office may contract with a third party or another
1380state agency that provides fingerprint services officer. Such
1381fingerprints shall be submitted to the Department of Law
1382Enforcement or the Federal Bureau of Investigation for state and
1383federal processing.  The commission may waive, by rule, the
1384requirement that applicants must file a set of fingerprints or
1385the requirement that such fingerprints must be processed by the
1386Department of Law Enforcement or the Federal Bureau of
1387Investigation.  The commission or office may require information
1388about any such applicant or person concerning such matters as:
1389     (a)  His or her full name, and any other names by which he
1390or she may have been known, and his or her age, photograph,
1391qualifications, and educational and business history.
1392     (b)  Any injunction or administrative order by a state or
1393federal agency, national securities exchange, or national
1394securities association involving a security or any aspect of the
1395securities business and any injunction or administrative order
1396by a state or federal agency regulating banking, insurance,
1397finance, or small loan companies, real estate, mortgage brokers,
1398or other related or similar industries, which injunctions or
1399administrative orders relate to such person.
1400     (c)  His or her conviction of, or plea of nolo contendere
1401to, a criminal offense or his or her commission of any acts
1402which would be grounds for refusal of an application under s.
1403517.161.
1404     (d)  The names and addresses of other persons of whom the
1405office may inquire as to his or her character, reputation, and
1406financial responsibility.
1407     (10)  An applicant for registration shall pay an assessment
1408fee of $200, in the case of a dealer or investment adviser, or
1409$40, in the case of an associated person.  The assessment fee of
1410an associated person shall be reduced to $30, but only after the
1411office determines, by final order, that sufficient funds have
1412been allocated to the Securities Guaranty Fund pursuant to s.
1413517.1203 to satisfy all valid claims filed in accordance with s.
1414517.1203(2) and after all amounts payable under any service
1415contract entered into by the office pursuant to s. 517.1204, and
1416all notes, bonds, certificates of indebtedness, other
1417obligations, or evidences of indebtedness secured by such notes,
1418bonds, certificates of indebtedness, or other obligations, have
1419been paid or provision has been made for the payment of such
1420amounts, notes, bonds, certificates of indebtedness, other
1421obligations, or evidences of indebtedness.  An associated person
1422may not having current fingerprint cards filed with the National
1423Association of Securities Dealers or a national securities
1424exchange registered with the Securities and Exchange Commission
1425shall be assessed an additional fee to cover the cost for said
1426fingerprint cards to be processed by the office.  Such fee shall
1427be determined by rule of the commission.  Each dealer and each
1428investment adviser shall pay an assessment fee of $100 for each
1429office in this state, except its designated principal office.
1430Such fees become the revenue of the state, except for those
1431assessments provided for under s. 517.131(1) until such time as
1432the Securities Guaranty Fund satisfies the statutory limits, and
1433are not returnable in the event that registration is withdrawn
1434or not granted.
1435     (11)  If the office finds that the applicant is of good
1436repute and character and has complied with the provisions of
1437this chapter and the rules made pursuant hereto, it shall
1438register the applicant.  The registration of each dealer,
1439investment adviser, and associated person expires will expire on
1440December 31, of the year the registration became effective
1441unless the registrant has renewed his or her registration on or
1442before that date. and The registration of each branch office
1443expires will expire on March 31 or, once the National
1444Association of Securities Dealers develops the capacity to
1445process branch office registration through the Central
1446Registration Depository, December 31 of the year in which it
1447became effective unless the registrant has renewed its
1448registration on or before that date. The commission may
1449establish by rule the initial year in which branch renewals
1450shall be processed through the Central Registration Depository
1451of the National Association of Securities Dealers. The
1452commission may establish by rule procedures for renewing branch
1453registrations through the Central Registration Depository.
1454Registration may be renewed by furnishing such information as
1455the commission may require, together with payment of the fee
1456required in subsection (10) for dealers, investment advisers,
1457associated persons, or branch offices and the payment of any
1458amount lawfully due and owing to the office pursuant to any
1459order of the office or pursuant to any agreement with the
1460office.  Any dealer, investment adviser, or associated person
1461registrant who has not renewed a registration by the time the
1462current registration expires may request reinstatement of such
1463registration by filing with the office, on or before January 31
1464of the year following the year of expiration, such information
1465as may be required by the commission, together with payment of
1466the fee required in subsection (10) for dealers, investment
1467advisers, or associated persons and a late fee equal to the
1468amount of such fee.  Any reinstatement of registration granted
1469by the office during the month of January shall be deemed
1470effective retroactive to January 1 of that year.
1471     (15)  In lieu of filing with the office the applications
1472specified in subsection (6), the fees required by subsection
1473(10), and the termination notices required by subsection (12),
1474the commission may by rule establish procedures for the deposit
1475of such fees and documents with the Central Registration
1476Depository or the Investment Advisor Registration Depository of
1477the National Association of Securities Dealers, Inc., as
1478developed under contract with the North American Securities
1479Administrators Association, Inc.; provided, however, that such
1480procedures shall provide the office with the information and
1481data as required by this section.
1482     (17)(a)  A dealer that is located in Canada, does not have
1483an and has no office or other physical presence in this state,
1484and has made a notice filing in accordance with this subsection
1485is exempt from the registration requirements of this section and
1486may, provided the dealer is registered in accordance with this
1487section, effect transactions in securities with or for, or
1488induce or attempt to induce the purchase or sale of any security
1489by:
1490     1.  A person from Canada who is present temporarily resides
1491in this state and with whom the Canadian dealer had a bona fide
1492dealer-client relationship before the person entered the United
1493States; or
1494     2.  A person from Canada who is present in a resident of
1495this state, and whose transactions are in a self-directed tax-
1496advantaged tax advantage retirement plan in Canada of which the
1497person is the holder or contributor.
1498     (b)  A notice filing under this subsection must consist of
1499documents that the commission by rule requires to be filed,
1500together with a consent to service of process and a filing fee
1501of $200. The commission may establish by rule procedures for the
1502deposit of fees and the filing of documents to be made by
1503electronic means, if such procedures provide the office with the
1504information and data required by this section.
1505     (c)  A Canadian dealer may make a notice filing under this
1506subsection if such dealer provides to the office:
1507     1.  A notice filing in the form that the commission by rule
1508requires.
1509     2.  A consent to service of process.
1510     3.  Evidence that the Canadian dealer is registered as a
1511dealer in the jurisdiction in which its main office is located.
1512     4.  Evidence that the Canadian dealer is a member of a
1513self-regulatory organization or stock exchange in Canada.
1514     (d)  The office may issue a permit to evidence the
1515effectiveness of a notice filing for a Canadian dealer.
1516     (e)  A notice filing is effective upon receipt. A notice
1517filing expires on December 31 of the year in which the filing
1518becomes effective unless the Canadian dealer has renewed the
1519filing on or before that date. A Canadian dealer may annually
1520renew a notice filing by furnishing to the office such
1521information as the office requires together with a renewal fee
1522of $200 and the payment of any amount due and owing the office
1523pursuant to any agreement with the office. Any Canadian dealer
1524who has not renewed a notice filing by the time a current notice
1525filing expires may request reinstatement of such notice filing
1526by filing with the office, on or before January 31 of the year
1527following the year the notice filing expires, such information
1528as the commission requires, by rule, together with the payment
1529of $200 and a late fee of $200. Any reinstatement of a notice
1530filing granted by the office during the month of January is
1531effective retroactively to January 1 of that year.
1532     (f)  An associated person who represents a Canadian dealer
1533who has made a notice filing under this subsection is exempt
1534from the registration requirements of this section and may
1535effect transactions in securities in this state as permitted for
1536a dealer under paragraph (a) if such person is registered in the
1537jurisdiction from which he or she is effecting transactions into
1538this state.
1539     (g)  A Canadian dealer who has made a notice of filing
1540under this subsection shall:
1541     1.  Maintain its provincial or territorial registration and
1542its membership in a self-regulatory organization or stock
1543exchange in good standing.
1544     2.  Provide the office upon request with its books and
1545records relating to its business in this state as a dealer.
1546     3.  Provide the office upon request notice of each civil,
1547criminal, or administrative action initiated against the dealer.
1548     4.  Disclose to its clients in this state that the dealer
1549and its associated persons are not subject to the full
1550regulatory requirements under this chapter.
1551     5.  Correct any inaccurate information within 30 days after
1552the information contained in the notice of filing becomes
1553inaccurate for any reason.
1554     (h)  An associated person representing a Canadian dealer
1555who has made a notice of filing under this subsection shall:
1556     1.  Maintain provincial or territorial registration in good
1557standing.
1558     2.  Provide the office upon request with notice of each
1559civil, criminal, or administrative action initiated against such
1560person.
1561     (i)  A notice filing may be terminated by filing notice of
1562such termination with the office. Unless another date is
1563specified by the Canadian dealer, such notice is effective upon
1564its receipt by the office.
1565     (j)  All fees collected under this subsection become the
1566revenue of the state, except for those assessments provided for
1567under s. 517.131(1), until the Securities Guaranty Fund has
1568satisfied the statutory limits, and these fees are not
1569returnable if a notice filing is withdrawn.
1570     (b)  An associated person who represents a Canadian dealer
1571registered under this section may, provided the agent is
1572registered in accordance with this section, effect transactions
1573in securities in this state as permitted for a dealer, under
1574subsection (a).
1575     (c)  A Canadian dealer may register under this section
1576provided that such dealer:
1577     1.  Files an application in the form required by the
1578jurisdiction in which the dealer has a head office.
1579     2.  Files a consent to service of process.
1580     3.  Is registered as a dealer in good standing in the
1581jurisdiction from which it is effecting transactions into this
1582state and files evidence of such registration with the office.
1583     4.  Is a member of a self-regulatory organization or stock
1584exchange in Canada.
1585     (d)  An associated person who represents a Canadian dealer
1586registered under this section in effecting transactions in
1587securities in this state may register under this section
1588provided that such person:
1589     1.  Files an application in the form required by the
1590jurisdiction in which the dealer has its head office.
1591     2.  Is registered in good standing in the jurisdiction from
1592which he or she is effecting transactions into this state and
1593files evidence of such registration with the office.
1594     (e)  If the office finds that the applicant is of good
1595repute and character and has complied with the provisions of
1596this chapter, the office shall register the applicant.
1597     (f)  A Canadian dealer registered under this section shall:
1598     1.  Maintain its provincial or territorial registration and
1599its membership in a self-regulatory organization or stock
1600exchange in good standing.
1601     2.  Provide the office upon request with its books and
1602records relating to its business in this state as a dealer.
1603     3.  Provide the office notice of each civil, criminal, or
1604administrative action initiated against the dealer.
1605     4.  Disclose to its clients in this state that the dealer
1606and its agents are not subject to the full regulatory
1607requirements under this chapter.
1608     5.  Correct any inaccurate information within 30 days, if
1609the information contained in the application form becomes
1610inaccurate for any reason before or after the dealer becomes
1611registered.
1612     (g)  An associated person of a Canadian dealer registered
1613under this section shall:
1614     1.  Maintain provincial or territorial registration in good
1615standing.
1616     2.  Provide the office with notice of each civil, criminal,
1617or administrative action initiated against such person.
1618     3.  Through the dealer, correct any inaccurate information
1619within 30 days, if the information contained in the application
1620form becomes inaccurate for any reason before or after the
1621associated person becomes registered.
1622     (h)  Renewal applications for Canadian dealers and
1623associated persons under this section must be filed before
1624December 31 each year.  Every applicant for registration or
1625renewal registration under this section shall pay the fee for
1626dealers and associated persons under this chapter.
1627     Section 31.  Paragraphs (b) and (e) of subsection (3) of
1628section 517.131, Florida Statutes, are amended, and subsection
1629(5) is added to said section, to read:
1630     517.131  Securities Guaranty Fund.--
1631     (3)  Any person is eligible to seek recovery from the
1632Securities Guaranty Fund if:
1633     (b)  Such person has made all reasonable searches and
1634inquiries to ascertain whether the judgment debtor possesses
1635real or personal property or other assets subject to being sold
1636or applied in satisfaction of the judgment, and by her or his
1637search the person has discovered no property or assets; or she
1638or he has discovered property and assets and has taken all
1639necessary action and proceedings for the application thereof to
1640the judgment, but the amount thereby realized was insufficient
1641to satisfy the judgment.  To verify compliance with such
1642condition, the office may require such person to have a writ of
1643execution be issued upon such judgment, and may further require
1644a showing that no personal or real property of the judgment
1645debtor liable to be levied upon in complete satisfaction of the
1646judgment can be found, or may require an affidavit from the
1647claimant setting forth the reasonable searches and inquiries
1648undertaken and the result.
1649     (e)  The office waives compliance with the requirements of
1650paragraph (a) or paragraph (b). The office may waive such
1651compliance if the dealer, investment adviser, or associated
1652person which is the subject of the claim filed with the office
1653is the subject of any proceeding in which a receiver has been
1654appointed by a court of competent jurisdiction. If the office
1655waives such compliance, the office may, upon petition by the
1656claimant, the debtor, or the court-appointed trustee, examiner,
1657or receiver, distribute funds from the Securities Guaranty Fund
1658up to the amount allowed under s. 517.141. Any waiver granted
1659pursuant to this section shall be considered a judgment for
1660purposes of complying with the requirements of this section and
1661of s. 517.141.
1662     (5)  The commission may by rule specify the procedures for
1663complying with subsections (2), (3), and (4), including rules
1664for the form of submission and guidelines for the sufficiency
1665and content of submissions of notices and claims.
1666     Section 32.  Subsections (2) and (5) of section 517.141,
1667Florida Statutes, are amended, and subsection (11) is added to
1668said section, to read:
1669     517.141  Payment from the fund.--
1670     (2)  Regardless of the number of claims or claimants
1671involved, payments for claims shall be limited in the aggregate
1672to $100,000 against any one dealer, investment adviser, or
1673associated person. If the total claims exceed the aggregate
1674limit of $100,000, the office shall prorate the payment based
1675upon the ratio that the person's claim bears to the total claims
1676filed.
1677     (5)  If the final judgment that which gave rise to the
1678claim is overturned in any appeal or in any collateral
1679proceeding, the claimant shall reimburse the fund all amounts
1680paid from the fund to the claimant on the claim. If the claimant
1681satisfies the judgment referred to in s. 517.131(3)(a), the
1682claimant shall reimburse the fund all amounts paid from the fund
1683to the claimant on the claim. Such reimbursement shall be paid
1684to the office within 60 days after the final resolution of the
1685appellate or collateral proceedings or the satisfaction of
1686judgment, with the 60-day period commencing on the date the
1687final order or decision is entered in such proceedings.
1688     (11)  The commission may by rule specify the procedures for
1689complying with this section, including rules for the form of
1690submission and guidelines for the sufficiency and content of
1691submissions of notices and claims.
1692     Section 33.  Subsection (1) of section 517.161, Florida
1693Statutes, is amended to read:
1694     517.161  Revocation, denial, or suspension of registration
1695of dealer, investment adviser, associated person, or branch
1696office.--
1697     (1)  Registration under s. 517.12 may be denied or any
1698registration granted may be revoked, restricted, or suspended by
1699the office if the office determines that such applicant or
1700registrant:
1701     (a)  Has violated any provision of this chapter or any rule
1702or order made under this chapter;
1703     (b)  Has made a material false statement in the application
1704for registration;
1705     (c)  Has been guilty of a fraudulent act in connection with
1706rendering investment advice or in connection with any sale of
1707securities, has been or is engaged or is about to engage in
1708making fictitious or pretended sales or purchases of any such
1709securities or in any practice involving the rendering of
1710investment advice or the sale of securities which is fraudulent
1711or in violation of the law;
1712     (d)  Has made a misrepresentation or false statement to, or
1713concealed any essential or material fact from, any person in the
1714rendering of investment advice or the sale of a security to such
1715person;
1716     (e)  Has failed to account to persons interested for all
1717money and property received;
1718     (f)  Has not delivered, after a reasonable time, to persons
1719entitled thereto securities held or agreed to be delivered by
1720the dealer, broker, or investment adviser, as and when paid for,
1721and due to be delivered;
1722     (g)  Is rendering investment advice or selling or offering
1723for sale securities through any associated person not registered
1724in compliance with the provisions of this chapter;
1725     (h)  Has demonstrated unworthiness to transact the business
1726of dealer, investment adviser, or associated person;
1727     (i)  Has exercised management or policy control over or
1728owned 10 percent or more of the securities of any dealer or
1729investment adviser that has been declared bankrupt, or had a
1730trustee appointed under the Securities Investor Protection Act;
1731or is, in the case of a dealer or investment adviser, insolvent;
1732     (j)  Has been convicted of, or has entered a plea of guilty
1733or nolo contendere to, a crime against the laws of this state or
1734any other state or of the United States or of any other country
1735or government which relates to registration as a dealer,
1736investment adviser, issuer of securities, associated person, or
1737branch office; which relates to the application for such
1738registration; or which involves moral turpitude or fraudulent or
1739dishonest dealing;
1740     (k)  Has had a final judgment entered against her or him in
1741a civil action upon grounds of fraud, embezzlement,
1742misrepresentation, or deceit;
1743     (l)  Is of bad business repute; or
1744     (m)  Has been the subject of any decision, finding,
1745injunction, suspension, prohibition, revocation, denial,
1746judgment, or administrative order by any court of competent
1747jurisdiction, administrative law judge, or by any state or
1748federal agency, national securities, commodities, or option
1749exchange, or national securities, commodities, or option
1750association, involving a violation of any federal or state
1751securities or commodities law or any rule or regulation
1752promulgated thereunder, or any rule or regulation of any
1753national securities, commodities, or options exchange or
1754national securities, commodities, or options association, or has
1755been the subject of any injunction or adverse administrative
1756order by a state or federal agency regulating banking,
1757insurance, finance or small loan companies, real estate,
1758mortgage brokers, or other related or similar industries.  For
1759purposes of this subsection, the office may not deny
1760registration to any applicant who has been continuously
1761registered with the office for 5 years from the entry of such
1762decision, finding, injunction, suspension, prohibition,
1763revocation, denial, judgment, or administrative order provided
1764such decision, finding, injunction, suspension, prohibition,
1765revocation, denial, judgment, or administrative order has been
1766timely reported to the office pursuant to the commission's
1767rules; or.
1768     (n)  Made payment to the office for a license or permit
1769with a check or electronic transmission of funds which is
1770dishonored by the applicant's or registrant's financial
1771institution.
1772     Section 34.  Subsections (2) and (3) of section 520.03,
1773Florida Statutes, are amended to read:
1774     520.03  Licenses.--
1775     (2)  An application for a license under this part must be
1776submitted to the office in such form as the commission may
1777prescribe by rule. If the office determines that an application
1778should be granted, it shall issue the license for a period not
1779to exceed 2 years. A nonrefundable application fee of $175 shall
1780accompany an initial application for the principal place of
1781business and each application for a branch location of a retail
1782installment seller who is required to be licensed under this
1783chapter. An application is considered received for purposes of
1784s. 120.60 upon receipt of a completed application form as
1785prescribed by commission rule, a nonrefundable application fee
1786of $175, and any other fee prescribed by law.
1787     (3)  The nonrefundable renewal fee for a motor vehicle
1788retail installment seller license shall be $175. The commission
1789shall establish by rule biennial licensure periods and
1790procedures for renewal of licenses. A license that is not
1791renewed by the end of the biennium established by the commission
1792shall revert from active to inactive status. An inactive license
1793may be reactivated within 6 months after becoming inactive upon
1794filing a completed reactivation form, payment of the
1795nonrefundable renewal fee, and payment of a nonrefundable
1796reactivation fee equal to the renewal fee. A license that is not
1797reactivated within 6 months after becoming inactive
1798automatically expires.
1799     Section 35.  Subsections (2) and (3) of section 520.32,
1800Florida Statutes, are amended to read:
1801     520.32  Licenses.--
1802     (2)  An application for a license under this part must be
1803submitted to the office in such form as the commission may
1804prescribe by rule. If the office determines that an application
1805should be granted, it shall issue the license for a period not
1806to exceed 2 years. A nonrefundable application fee of $175 shall
1807accompany an initial application for the principal place of
1808business and each application for a branch location of a retail
1809installment seller. An application is considered received for
1810purposes of s. 120.60 upon receipt of a completed application
1811form as prescribed by commission rule, a nonrefundable
1812application fee of $175, and any other fee prescribed by law.
1813     (3)  The nonrefundable renewal fee for a retail seller
1814license shall be $175. Biennial licensure periods and procedures
1815for renewal of licenses may also be established by the
1816commission by rule.  A license that is not renewed at the end of
1817the biennium established by the commission shall revert from
1818active to inactive status.  An inactive license may be
1819reactivated within 6 months after becoming inactive upon filing
1820a completed reactivation form, payment of the nonrefundable
1821renewal fee, and payment of a reactivation fee equal to the
1822nonrefundable renewal fee.  A license that is not reactivated
1823within 6 months after becoming inactive automatically expires.
1824     Section 36.  Subsections (2) and (3) of section 520.52,
1825Florida Statutes, are amended to read:
1826     520.52  Licensees.--
1827     (2)  An application for a license under this part must be
1828submitted to the office in such form as the commission may
1829prescribe by rule. If the office determines that an application
1830should be granted, it shall issue the license for a period not
1831to exceed 2 years. A nonrefundable application fee of $175 shall
1832accompany an initial application for the principal place of
1833business and each branch location of a sales finance company. An
1834application is considered received for purposes of s. 120.60
1835upon receipt of a completed application form as prescribed by
1836commission rule, a nonrefundable application fee of $175, and
1837any other fee prescribed by law.
1838     (3)  The nonrefundable renewal fee for a sales finance
1839company license shall be $175. Biennial licensure periods and
1840procedures for renewal of licenses may also be established by
1841the commission by rule. A license that is not renewed at the end
1842of the biennium established by the commission shall revert from
1843active to inactive status. An inactive license may be
1844reactivated within 6 months after becoming inactive upon filing
1845a completed reactivation form, payment of the nonrefundable
1846renewal fee, and payment of a reactivation fee equal to the
1847nonrefundable renewal fee. A license that is not reactivated
1848within 6 months after becoming inactive automatically expires.
1849     Section 37.  Subsections (2) and (3) of section 520.63,
1850Florida Statutes, are amended to read:
1851     520.63  Licensees.--
1852     (2)  An application for a license under this part must be
1853submitted to the office in such form as the commission may
1854prescribe by rule. If the office determines that an application
1855should be granted, it shall issue the license for a period not
1856to exceed 2 years. A nonrefundable application fee of $175 shall
1857accompany an initial application for the principal place of
1858business and each application for a branch location of a home
1859improvement finance seller. An application is considered
1860received for purposes of s. 120.60 upon receipt of a completed
1861application form as prescribed by commission rule, a
1862nonrefundable application fee of $175, and any other fee
1863prescribed by law.
1864     (3)  The nonrefundable renewal fee for a home improvement
1865finance license shall be $175. Biennial licensure periods and
1866procedures for renewal of licenses may also be established by
1867the commission by rule. A license that is not renewed at the end
1868of the biennium established by the commission shall
1869automatically revert from active to inactive status. An inactive
1870license may be reactivated within 6 months after becoming
1871inactive upon filing a completed reactivation form, payment of
1872the nonrefundable renewal fee, and payment of a nonrefundable
1873reactivation fee equal to the renewal fee. A license that is not
1874reactivated within 6 months after becoming inactive
1875automatically expires.
1876     Section 38.  Subsection (5) of section 520.994, Florida
1877Statutes, is amended to read:
1878     520.994  Powers of office.--
1879     (5)  The office shall administer and enforce this chapter.
1880The commission has authority to adopt rules pursuant to ss.
1881120.536(1) and 120.54 to implement the provisions of this
1882chapter. The commission may adopt rules to require allow
1883electronic submission of any form, document, or fee required by
1884this chapter if such rules reasonably accommodate technological
1885or financial hardship. The commission may prescribe by rule
1886requirements and procedures for obtaining an exemption due to a
1887technological or financial hardship.
1888     Section 39.  Paragraph (k) is added to subsection (1) of
1889section 520.995, Florida Statutes, to read:
1890     520.995  Grounds for disciplinary action.--
1891     (1)  The following acts are violations of this chapter and
1892constitute grounds for the disciplinary actions specified in
1893subsection (2):
1894     (k)  Payment to the office for a license or permit with a
1895check or electronic transmission of funds which is dishonored by
1896the applicant's or licensee's financial institution.
1897     Section 40.  Subsection (4) of section 520.997, Florida
1898Statutes, is amended to read:
1899     520.997  Books, accounts, and records.--
1900     (4)  The commission may prescribe by rule the minimum
1901information to be shown in the books, accounts, documents, and
1902records of licensees so that such records will enable the office
1903to determine compliance with the provisions of this chapter. In
1904addition, the commission may prescribe by rule the requirements
1905for destruction of books, accounts, records, and documents
1906retained by the licensee after completion of the time period
1907specified in subsection (3). Notwithstanding the 2-year
1908retention period specified in subsection (3), if the office
1909identifies a statute of limitations in another civil or criminal
1910law or federal law or rule which statute of limitations is
1911reasonably related by subject matter to the administration of
1912this chapter, the commission may identify that statute of
1913limitations by rule and may prohibit the destruction of records
1914required to be maintained by this chapter for a period of time,
1915established by rule, which is reasonably related to such statute
1916of limitations. The commission shall prescribe by rule those
1917documents or records that are to be preserved under the
1918identified statute of limitations.
1919     Section 41.  Subsection (5) of section 537.009, Florida
1920Statutes, is amended to read:
1921     537.009  Recordkeeping; reporting; safekeeping of
1922property.--
1923     (5)  The commission may prescribe by rule the books,
1924accounts, documents, and records, and the minimum information to
1925be shown in the books, accounts, documents, and records, of
1926licensees so that such records will enable the office to
1927determine compliance with the provisions of this act. In
1928addition, the commission may prescribe by rule the requirements
1929for destruction of books, accounts, records, and documents
1930retained by the licensee after completion of the time period
1931specified in subsection (3). Notwithstanding the 2-year
1932retention period specified in subsection (3), if the office
1933identifies a statute of limitations in another civil or criminal
1934law or federal law or rule which statute of limitations is
1935reasonably related by subject matter to the administration of
1936this chapter, the commission may identify that statute of
1937limitations by rule and may prohibit the destruction of records
1938required to be maintained by this chapter for a period of time,
1939established by rule, which is reasonably related to such statute
1940of limitations. The commission shall prescribe by rule those
1941documents or records that are to be preserved under the
1942identified statute of limitations.
1943     Section 42.  Subsection (3) is added to section 560.105,
1944Florida Statutes, to read:
1945     560.105  Supervisory powers; rulemaking.--
1946     (3)  The commission may adopt rules that require electronic
1947submission of any forms, documents, or fees required by this act
1948if such rules reasonably accommodate technological or financial
1949hardship. The commission may prescribe by rule requirements and
1950procedures for obtaining an exemption due to a technological or
1951financial hardship.
1952     Section 43.  Paragraph (y) is added to subsection (1) of
1953section 560.114, Florida Statutes, to read:
1954     560.114  Disciplinary actions.--
1955     (1)  The following actions by a money transmitter or money
1956transmitter-affiliated party are violations of the code and
1957constitute grounds for the issuance of a cease and desist order,
1958the issuance of a removal order, the denial of a registration
1959application or the suspension or revocation of any registration
1960previously issued pursuant to the code, or the taking of any
1961other action within the authority of the office pursuant to the
1962code:
1963     (y)  Payment to the office for a license or permit with a
1964check or electronic transmission of funds which is dishonored by
1965the applicant's or licensee's financial institution.
1966     Section 44.  Paragraph (b) of subsection (2) of section
1967560.118, Florida Statutes, is amended to read:
1968     560.118  Examinations, reports, and internal audits;
1969penalty.--
1970     (2)
1971     (b)  The commission may, by rule, require each money
1972transmitter or authorized vendor to submit quarterly reports to
1973the office. The commission may adopt rules that require
1974electronic submission of any forms, documents, or fees required
1975by this act if such rules reasonably accommodate technological
1976or financial hardship. The commission may prescribe by rule
1977requirements and procedures for obtaining an exemption due to a
1978technological or financial hardship. The commission may require
1979that each report contain a declaration by an officer, or any
1980other responsible person authorized to make such declaration,
1981that the report is true and correct to the best of her or his
1982knowledge and belief. Such report must include such information
1983as the commission by rule requires for that type of money
1984transmitter.
1985     Section 45.  Subsection (2) of section 560.121, Florida
1986Statutes, is amended to read:
1987     560.121  Records; limited restrictions upon public
1988access.--
1989     (2)  The commission may prescribe by rule the minimum
1990information that must be shown in the books, accounts, records,
1991and documents of licensees for purposes of enabling the office
1992to determine the licensee's compliance with ss. 560.101-560.408.
1993In addition, the commission may prescribe by rule the
1994requirements for destruction of books, accounts, records, and
1995documents retained by the licensee after completion of the time
1996period specified in this subsection. Notwithstanding the 3-year
1997retention period specified in this subsection, if the office
1998identifies a statute of limitations in another civil or criminal
1999law or federal law or rule which statute of limitations is
2000reasonably related by subject matter to the administration of
2001this chapter, the commission may identify that statute of
2002limitations by rule and may prohibit the destruction of records
2003required to be maintained by this chapter for a period of time,
2004established by rule, which is reasonably related to such statute
2005of limitations. The commission shall prescribe by rule those
2006documents or records that are to be preserved under the
2007identified statute of limitations. Examination reports,
2008investigatory records, applications, and related information
2009compiled by the office, or photographic copies thereof, shall be
2010retained by the office for a period of at least 3 years
2011following the date that the examination or investigation ceases
2012to be active. Application records, and related information
2013compiled by the office, or photographic copies thereof, shall be
2014retained by the office for a period of at least 2 years
2015following the date that the registration ceases to be active.
2016     Section 46.  Section 560.126, Florida Statutes, is amended
2017to read:
2018     560.126  Significant events; notice required.--
2019     (1)  Unless exempted by the office, every money transmitter
2020must provide the office with a written notice within 30 15 days
2021after the occurrence or knowledge of, whichever period of time
2022is greater, any of the following events:
2023     (a)(1)  The filing of a petition under the United States
2024Bankruptcy Code for bankruptcy or reorganization by the money
2025transmitter.
2026     (b)(2)  The commencement of any registration suspension or
2027revocation proceeding, either administrative or judicial, or the
2028denial of any original registration request or a registration
2029renewal, by any state, the District of Columbia, any United
2030States territory, or any foreign country, in which the money
2031transmitter operates or plans to operate or has registered to
2032operate.
2033     (c)(3)  A felony indictment relating to the money
2034transmission business involving the money transmitter or a money
2035transmitter-affiliated party of the money transmitter.
2036     (d)(4)  The felony conviction, guilty plea, or plea of nolo
2037contendere, if the court adjudicates the nolo contendere pleader
2038guilty, or the adjudication of guilt of a money transmitter or
2039money transmitter-affiliated party.
2040     (e)(5)  The interruption of any corporate surety bond
2041required by the code.
2042     (f)(6)  Any suspected criminal act, as defined by the
2043commission by rule, perpetrated in this state against a money
2044transmitter or authorized vendor.
2045
2046However, a person does not incur liability no liability shall be
2047incurred by any person as a result of making a good-faith good
2048faith effort to fulfill this disclosure requirement.
2049     (2)  If the information contained in any registration
2050application or any amendment thereto has changed, the registrant
2051shall, within 30 days after the change occurs, file an amendment
2052correcting the information on forms prescribed by the
2053commission.
2054     Section 47.  Section 560.205, Florida Statutes, is amended
2055to read:
2056     560.205  Qualifications of applicant for registration;
2057contents.--
2058     (1)  To qualify for registration under this part, an
2059applicant must demonstrate to the office such character and
2060general fitness as to command the confidence of the public and
2061warrant the belief that the registered business will be operated
2062lawfully and fairly. The office may investigate each applicant
2063to ascertain whether the qualifications and requirements
2064prescribed by this part have been met. The office's
2065investigation may include a criminal background investigation of
2066all controlling shareholders, principals, officers, directors,
2067members, and responsible persons of a funds transmitter and a
2068payment instrument seller and all persons designated by a funds
2069transmitter or payment instrument seller as an authorized
2070vendor. Each controlling shareholder, principal, officer,
2071director, member, and responsible person of a funds transmitter
2072or payment instrument seller, unless the applicant is a publicly
2073traded corporation as defined by the commission by rule, a
2074subsidiary thereof, or a subsidiary of a bank or bank holding
2075company organized and regulated under the laws of any state or
2076the United States, shall file a complete set of fingerprints. A
2077fingerprint card submitted to the office must be taken by an
2078authorized law enforcement agency if the fingerprint card is
2079submitted to the office in paper form. In addition to the fees
2080prescribed in s. 215.405, the commission may prescribe by rule
2081an additional fee, not to exceed $30, for processing the
2082fingerprints. The commission may prescribe by rule procedures
2083for submitting fingerprints and fees by electronic means to the
2084office or to a third party approved by the office. In order to
2085implement the submission and processing of fingerprints as
2086specified by rule under this section, the office may contract
2087with a third party or another state agency that provides
2088fingerprinting services officer. Such fingerprints must be
2089submitted to the Department of Law Enforcement or the Federal
2090Bureau of Investigation for state and federal processing. The
2091commission may waive by rule the requirement that applicants
2092file a set of fingerprints or the requirement that such
2093fingerprints be processed by the Department of Law Enforcement
2094or the Federal Bureau of Investigation.
2095     (2)  Each application for registration must be submitted
2096under oath to the office on such forms as the commission
2097prescribes by rule and must be accompanied by a nonrefundable
2098application fee. The commission may establish by rule procedures
2099for depositing fees and filing documents by electronic means.
2100Such fee may not exceed $500 for each payment instrument seller
2101or funds transmitter and $50 for each authorized vendor or
2102location operating within this state. The application must
2103contain forms shall set forth such information as the commission
2104reasonably requires by rule, including, but not limited to:
2105     (a)  The name and address of the applicant, including any
2106fictitious or trade names used by the applicant in the conduct
2107of its business.
2108     (b)  The history of the applicant's material litigation,
2109criminal convictions, pleas of nolo contendere, and cases of
2110adjudication withheld.
2111     (c)  A description of the activities conducted by the
2112applicant, the applicant's history of operations, and the
2113business activities in which the applicant seeks to engage in
2114this state.
2115     (d)  A list identifying the applicant's proposed authorized
2116vendors in this state, including the location or locations in
2117this state at which the applicant and its authorized vendors
2118propose to conduct registered activities.
2119     (d)(e)  A sample authorized vendor contract, if applicable.
2120     (e)(f)  A sample form of payment instrument, if applicable.
2121     (f)(g)  The name and address of the clearing financial
2122institution or financial institutions through which the
2123applicant's payment instruments will be drawn or through which
2124such payment instruments will be payable.
2125     (g)(h)  Documents revealing that the net worth and bonding
2126requirements specified in s. 560.209 have been or will be
2127fulfilled.
2128     (3)  Each application for registration by an applicant that
2129is a corporation shall contain also set forth such information
2130as the commission reasonably requires by rule, including, but
2131not limited to:
2132     (a)  The date of the applicant's incorporation and state of
2133incorporation.
2134     (b)  A certificate of good standing from the state or
2135country in which the applicant was incorporated.
2136     (c)  A description of the corporate structure of the
2137applicant, including the identity of any parent or subsidiary of
2138the applicant, and the disclosure of whether any parent or
2139subsidiary is publicly traded on any stock exchange.
2140     (d)  The name, business and residence addresses, and
2141employment history for the past 5 years for each executive
2142officer, each director, each controlling shareholder, and the
2143responsible person who will be in charge of all the applicant's
2144business activities in this state.
2145     (e)  The history of material litigation and criminal
2146convictions, pleas of nolo contendere, and cases of adjudication
2147withheld for each executive officer, each director, each
2148controlling shareholder, and the responsible person who will be
2149in charge of the applicant's registered activities.
2150     (f)  Copies of the applicant's audited financial statements
2151for the current year and, if available, for the immediately
2152preceding 2-year period. In cases where the applicant is a
2153wholly owned subsidiary of another corporation, the parent's
2154consolidated audited financial statements may be submitted to
2155satisfy this requirement. An applicant who is not required to
2156file audited financial statements may satisfy this requirement
2157by filing unaudited financial statements verified under penalty
2158of perjury, as provided by the commission by rule.
2159     (g)  An applicant who is not required to file audited
2160financial statements may file copies of the applicant's
2161unconsolidated, unaudited financial statements for the current
2162year and, if available, for the immediately preceding 2-year
2163period.
2164     (h)  If the applicant is a publicly traded company, copies
2165of all filings made by the applicant with the United States
2166Securities and Exchange Commission, or with a similar regulator
2167in a country other than the United States, within the year
2168preceding the date of filing of the application.
2169     (4)  Each application for registration submitted to the
2170office by an applicant that is not a corporation shall contain
2171also set forth such information as the commission reasonably
2172requires by rule, including, but not limited to:
2173     (a)  Evidence that the applicant is registered to do
2174business in this state.
2175     (b)  The name, business and residence addresses, personal
2176financial statement, and employment history for the past 5 years
2177for each individual having a controlling ownership interest in
2178the applicant, and each responsible person who will be in charge
2179of the applicant's registered activities.
2180     (c)  The history of material litigation and criminal
2181convictions, pleas of nolo contendere, and cases of adjudication
2182withheld for each individual having a controlling ownership
2183interest in the applicant and each responsible person who will
2184be in charge of the applicant's registered activities.
2185     (d)  Copies of the applicant's audited financial statements
2186for the current year, and, if available, for the preceding 2
2187years. An applicant who is not required to file audited
2188financial statements may satisfy this requirement by filing
2189unaudited financial statements verified under penalty of
2190perjury, as provided by the commission by rule.
2191     (5)  Each applicant shall designate and maintain an agent
2192in this state for service of process.
2193     (6)  Changes in registration occasioned by changes in
2194personnel of a partnership or in the principals, members,
2195partners, officers, directors, controlling shareholders, or
2196responsible persons of a money transmitter or by changes of any
2197material fact or method of doing business shall be reported by
2198written amendment in such form and at such time as the
2199commission specifies by rule.
2200     Section 48.  Section 560.207, Florida Statutes, is amended
2201to read:
2202     560.207  Renewal of registration; registration fee.--
2203     (1)  Registration may be renewed for a 24-month period or
2204the remainder of any such period without proration following the
2205date of its expiration by furnishing such information as the
2206commission requires by rule, together with the payment of the
2207fees required under subsections (2), (3), and (4), upon the
2208filing with the office of an application and other statements
2209and documents as may reasonably be required of registrants by
2210the commission. The commission may establish by rule procedures
2211for depositing fees and filing documents by electronic means.
2212However, the registrant must remain qualified for such
2213registration under the provisions of this part.
2214     (2)  Each application for renewal of All registration must
2215renewal applications shall be accompanied by a nonrefundable
2216renewal fee not to exceed $1,000. A registration expires on
2217April 30 of the year in which the existing registration expires,
2218unless the registrant has renewed his or her registration on or
2219before that date. All renewal applications must be filed on or
2220after January 1 of the year in which the existing registration
2221expires, but before the expiration date of April 30. If the
2222renewal application is filed prior to the expiration date of an
2223existing registration, no late fee shall be paid in connection
2224with such renewal application. If the renewal application is
2225filed within 60 calendar days after the expiration date of an
2226existing registration, then, in addition to the $1,000 renewal
2227fee, the renewal application shall be accompanied by a
2228nonrefundable late fee of $500. If the registrant has not filed
2229a renewal application within 60 calendar days after the
2230expiration date of an existing registration, a new application
2231shall be filed with the office pursuant to s. 560.205.
2232     (3)  In addition to the renewal fee required under
2233subsection (2), each registrant must pay Every registration
2234renewal application shall also include a 2-year nonrefundable
2235registration renewal fee of $50 for each authorized vendor or
2236location operating within this state or, at the option of the
2237registrant, a total 2-year nonrefundable renewal fee of $20,000
2238may be paid to renew the registration of all such locations
2239currently registered at the time of renewal.
2240     (4)  A registration may be reinstated only if the renewal
2241fee and a nonrefundable late fee of $500 are filed within 60
2242calendar days after the expiration of the existing registration.
2243The office must grant a reinstatement of registration for which
2244application is filed during the 60 calendar days, and the
2245reinstatement is effective upon receipt of the required fees and
2246any information that the commission requires by rule.  If the
2247registrant has not filed application for reinstatement of the
2248registration within the 60 calendar days after the expiration of
2249an existing registration, the registration expires, and a new
2250application must be filed with the office pursuant to s.
2251560.205.
2252     Section 49.  Subsection (1) of section 560.210, Florida
2253Statutes, is amended to read:
2254     560.210  Permissible investments.--
2255     (1)  A registrant shall at all times possess permissible
2256investments with an aggregate market value calculated in
2257accordance with United States generally accepted accounting
2258principles of not less than the aggregate face amount of all
2259outstanding funds transmissions transmitted and outstanding
2260payment instruments issued or sold by the registrant or an
2261authorized vendor in the United States.
2262     Section 50.  Subsection (2) of section 560.211, Florida
2263Statutes, is amended to read:
2264     560.211  Records.--
2265     (2)  The records required to be maintained by the code may
2266be maintained by the registrant at any location, provided that
2267the registrant notifies the office in writing of the location of
2268the records in its application or otherwise by amendment as
2269prescribed by commission rule. The registrant shall make such
2270records available to the office for examination and
2271investigation in this state, as permitted by the code, within 7
2272days after receipt of a written request.
2273     Section 51.  Section 560.305, Florida Statutes, is amended
2274to read:
2275     560.305  Application.--Each application for registration
2276must shall be in writing and under oath to the office, in such
2277form as the commission prescribes. The commission may establish
2278by rule procedures for depositing fees and filing documents by
2279electronic means. The application must contain such information
2280as the commission requires by rule, including, but not limited
2281to shall include the following:
2282     (1)  The legal name and residence and business addresses of
2283the applicant if the applicant is a natural person, or, if the
2284applicant is a partnership, association, or corporation, the
2285name of every partner, officer, or director thereof.
2286     (2)  The location of the principal office of the applicant.
2287     (3)  The complete address of any other locations at which
2288the applicant proposes to engage in such activities since the
2289provisions of registration apply to each and every operating
2290location of a registrant.
2291     (4)  Such other information as the commission or office
2292reasonably requires with respect to the applicant or any money
2293transmitter-affiliated party of the applicant; however, the
2294commission or office may not require more information than is
2295specified in part II.
2296     Section 52.  Subsections (1) and (4) of section 560.306,
2297Florida Statutes, are amended, and subsection (6) is added to
2298said section, to read:
2299     560.306  Standards.--
2300     (1)  In order to qualify for registration under this part,
2301an applicant must demonstrate to the office that he or she has
2302such character and general fitness as will command the
2303confidence of the public and warrant the belief that the
2304registered business will be operated lawfully and fairly. The
2305office may investigate each applicant to ascertain whether the
2306qualifications and requirements prescribed by this part have
2307been met. The office's investigation may include a criminal
2308background investigation of all controlling shareholders,
2309principals, officers, directors, members, and responsible
2310persons of a check casher and a foreign currency exchanger and
2311all persons designated by a foreign currency exchanger or check
2312casher as an authorized vendor. Each controlling shareholder,
2313principal, officer, director, member, and responsible person of
2314a check casher or foreign currency exchanger, unless the
2315applicant is a publicly traded corporation as defined by the
2316commission by rule, a subsidiary thereof, or a subsidiary of a
2317bank or bank holding company organized and regulated under the
2318laws of any state or the United States, shall file a complete
2319set of fingerprints. A fingerprint card submitted to the office
2320must be taken by an authorized law enforcement agency if the
2321fingerprint card is submitted to the office in paper form. In
2322addition to the fees prescribed in s. 215.405, the commission
2323may prescribe by rule an additional fee, not to exceed $30, for
2324processing the fingerprints. The commission may prescribe by
2325rule procedures for submitting fingerprints and fees by
2326electronic means to the office or to a third party approved by
2327the office. In order to implement the submission and processing
2328of fingerprints as specified by rule under this section, the
2329office may contract with a third party or another state agency
2330that provides fingerprinting services officer. Such fingerprints
2331must be submitted to the Department of Law Enforcement or the
2332Federal Bureau of Investigation for state and federal
2333processing. The commission may waive by rule the requirement
2334that applicants file a set of fingerprints or the requirement
2335that such fingerprints be processed by the Department of Law
2336Enforcement or the Federal Bureau of Investigation.
2337     (4)  Each registration application and renewal application
2338must specify the location at which the applicant proposes to
2339establish its principal place of business and any other
2340location, including authorized vendors operating in this state.
2341The registrant shall notify the office of any changes to any
2342such locations. Any registrant may satisfy this requirement by
2343providing the office with a list of such locations, including
2344all authorized vendors operating in this state, not less than
2345annually. A registrant may not transact business as a check
2346casher or a foreign currency exchanger except pursuant to the
2347name under which it is registered.
2348     (6)  Changes in registration occasioned by changes in
2349personnel of a partnership or in the principals, members,
2350partners, officers, directors, controlling shareholders, or
2351responsible persons of a money transmitter or by changes of any
2352material fact or method of doing business shall be reported by
2353written amendment in such form and at such time as the
2354commission specifies by rule.
2355     Section 53.  Section 560.308, Florida Statutes, is amended
2356to read:
2357     560.308  Registration terms; renewal; renewal fees.--
2358     (1)  Registration may be renewed for a 24-month period or
2359the remainder of any such period without proration following the
2360date of its expiration, by furnishing such information as the
2361commission requires by rule, together with the payment of the
2362fees required under subsections (2), (3), and (4). The
2363commission may establish by rule procedures for depositing fees
2364and filing documents by electronic means. Registration pursuant
2365to this part shall remain effective through the remainder of the
2366second calendar year following its date of issuance unless
2367during such calendar year the registration is surrendered,
2368suspended, or revoked.
2369     (2)  Each application for renewal of registration must be
2370accompanied by The office shall renew registration upon receipt
2371of a completed renewal form and payment of a nonrefundable
2372renewal fee not to exceed $500. The registration expires on
2373December 31 of the year in which the existing registration
2374expires, unless the registrant has renewed his or her
2375registration on or before that date. The completed renewal form
2376and payment of the renewal fee shall occur on or after June 1 of
2377the year in which the existing registration expires.
2378     (3)  In addition to the renewal fee required by subsection
2379(2), each registrant must pay a 2-year nonrefundable
2380registration renewal fee of $50 for each authorized vendor or
2381location operating within this state or, at the option of the
2382registrant, a total 2-year nonrefundable renewal fee of $20,000
2383may be paid to renew the registration of all such locations
2384currently registered at the time of renewal.
2385     (4)  Registration that is not renewed on or before the
2386expiration date of the registration period automatically
2387expires. A renewal application and fee, and a nonrefundable late
2388fee of $250, must be filed within 60 calendar days after the
2389expiration of an existing registration in order for the
2390registration to be reinstated. The office must grant a
2391reinstatement of registration for which application is filed
2392during the 60 calendar days, and the reinstatement is effective
2393upon receipt of the required fees and any information that the
2394commission requires by rule. If the registrant has not filed an
2395a renewal application for reinstatement within 60 calendar days
2396after the expiration date of an existing registration, the
2397registration expires and a new application must be filed with
2398the office pursuant to s. 560.307.
2399     Section 54.  Subsection (2) of section 560.310, Florida
2400Statutes, is amended to read:
2401     560.310  Records of check cashers and foreign currency
2402exchangers.--
2403     (2)  The records required to be maintained by the code may
2404be maintained by the registrant at any location, provided that
2405the registrant notifies the office, in writing, of the location
2406of the records in its application or otherwise by amendment as
2407prescribed by commission rule. The registrant shall make such
2408records available to the office for examination and
2409investigation in this state, as permitted by the code, within 7
2410days after receipt of a written request.
2411     Section 55.  Subsections (2) and (4) of section 560.403,
2412Florida Statutes, are amended to read:
2413     560.403  Requirements of registration; declaration of
2414intent.--
2415     (2)  A registrant under this part shall renew his or her
2416intent to engage in the business of deferred presentment
2417transactions or to act as a deferred presentment provider upon
2418renewing his or her registration under part II or part III and
2419shall do so by indicating his or her intent on the renewal form
2420and by submitting a nonrefundable deferred presentment provider
2421renewal fee of $1,000, in addition to any fees required for
2422renewal of registration under part II or part III.
2423     (4)  The notice of intent of a registrant under this part
2424who fails to timely renew his or her intent to engage in the
2425business of deferred presentment transactions or to act as a
2426deferred presentment provider on or before the expiration date
2427of the registration period automatically expires. A renewal
2428declaration of intent and fee, and a nonrefundable late fee of
2429$500, must be filed within 60 calendar days after the expiration
2430of an existing registration in order for the declaration of
2431intent to be reinstated. The office must grant a reinstatement
2432of a notice of intent for which application is filed during the
243360 calendar days, and the reinstatement is effective upon
2434receipt of the required fees and any information that the
2435commission requires by rule. If the registrant has not filed a
2436reinstatement of a renewal declaration of intent within 60
2437calendar days after the expiration date of an existing
2438registration, the notice of intent expires and a new declaration
2439of intent must be filed with the office.
2440     Section 56.  Section 655.935, Florida Statutes, is amended
2441to read:
2442     655.935  Search procedure on death of lessee.--If
2443satisfactory proof of the death of the lessee is presented, a
2444lessor shall permit the person named in a court order for the
2445purpose, or if no order has been served upon the lessor, the
2446spouse, a parent, an adult descendant, or a person named as a
2447personal representative in a copy of a purported will produced
2448by such person, to open and examine the contents of a safe-
2449deposit box leased or co-leased by a decedent, or any documents
2450delivered by a decedent for safekeeping, in the presence of an
2451officer of the lessor; and the lessor, if so requested by such
2452person, shall deliver:
2453     (1)  Any writing purporting to be a will of the decedent,
2454to the court having probate jurisdiction in the county in which
2455the financial institution is located;
2456     (2)  Any writing purporting to be a deed to a burial plot
2457or to give burial instructions, to the person making the request
2458for a search; and
2459     (3)  Any document purporting to be an insurance policy on
2460the life of the decedent, to the beneficiary named therein.
2461
2462No other contents may be removed pursuant to this section and
2463access granted pursuant to this section shall not be considered
2464the initial opening of the safe-deposit box pursuant to s.
2465733.6065 by a personal representative appointed by a court in
2466this state.
2467     Section 57.  Section 655.936, Florida Statutes, is amended
2468to read:
2469     655.936  Delivery of safe-deposit box contents or property
2470held in safekeeping to personal representative.--
2471     (1)  Subject to the provisions of subsection (3), the
2472lessor shall immediately deliver to a resident personal
2473representative appointed by a court in this state, upon
2474presentation of a certified copy of his or her letters of
2475authority, all property deposited with it by the decedent for
2476safekeeping, and shall grant the resident personal
2477representative access to any safe-deposit box in the decedent's
2478name and permit him or her to remove from such box any part or
2479all of the contents thereof.
2480     (2)  If a foreign personal representative of a deceased
2481lessee has been appointed by a court of any other state, a
2482lessor may, at its discretion, after 3 months from the issuance
2483to such foreign personal representative of his or her letters of
2484authority, deliver to such foreign personal representative all
2485properties deposited with it for safekeeping and the contents of
2486any safe-deposit box in the name of the decedent if at such time
2487the lessor has not received written notice of the appointment of
2488a personal representative in this state, and such delivery is a
2489valid discharge of the lessor for all property or contents so
2490delivered. A Such foreign personal representative appointed by a
2491court of any other state shall furnish the lessor with an
2492affidavit setting forth facts showing the domicile of the
2493deceased lessee to be other than this state and stating that
2494there are no unpaid creditors of the deceased lessee in this
2495state, together with a certified copy of his or her letters of
2496authority. A lessor making delivery pursuant to this subsection
2497shall maintain in its files a receipt executed by such foreign
2498personal representative which itemizes in detail all property so
2499delivered.
2500     (3)  Notwithstanding the provisions of subsection (1),
2501after the death of a lessee of a safe-deposit box, the lessor
2502shall permit the initial opening of the safe-deposit box and the
2503removal of the contents of the safe-deposit box in accordance
2504with s. 733.6065.
2505     (4)  A lessor is not liable for damages or penalty by
2506reason of any delivery made pursuant to this section.
2507     Section 58.  Section 655.937, Florida Statutes, is amended
2508to read:
2509     655.937  Access to safe-deposit boxes leased in two or more
2510names.--
2511     (1)  Unless When specifically provided in the lease or
2512rental agreement to the contrary, when covering a safe-deposit
2513box is heretofore or hereafter rented or leased in the names of
2514two or more lessees, that access to the safe-deposit box will be
2515granted to either lessee, or to either or the survivor, access
2516to the safe-deposit box shall be granted to:
2517     (a)  Either or any of such lessees, regardless of whether
2518or not the other lessee or lessees or any of them are living or
2519competent.; or
2520     (b)  Subject to s. 655.933, those persons named in s.
2521655.933.
2522     (c)  Subject to s. 655.935, those persons named in s.
2523655.935.
2524     (d)(b)  Subject to s. 733.6065, the personal representative
2525of the estate of either or any of such lessees who is deceased,
2526or the guardian of the property of either or any of such lessees
2527who is incapacitated.
2528     (2)  In all cases described in subsection (1),; and, in
2529either such case, the provisions of s. 655.933 apply, and the
2530signature on the safe-deposit entry or access record (or the
2531receipt or acquittance, in the case of property or documents
2532otherwise held for safekeeping) is a valid and sufficient
2533release and discharge to the lessor for granting access to such
2534safe-deposit box or for the delivery of such property or
2535documents otherwise held for safekeeping.
2536     (3)(2)  A lessor may not be held liable for damages or
2537penalty by reason of any access granted or delivery made
2538pursuant to this section.
2539     (4)  The right of access by a co-lessee is separate from
2540the rights and responsibilities of other persons who may be
2541granted access to a safe-deposit box after the death or
2542incapacity of another co-lessee and such right of access is not
2543subject to the provisions of s. 655.935 or s. 733.6065 or other
2544requirements imposed upon personal representatives, guardians,
2545or other fiduciaries.
2546     (5)  After the death of a co-lessee, the surviving co-
2547lessee or any other person who is granted access to the safe-
2548deposit box pursuant to this section may make a written
2549inventory of the box which shall be conducted by the person
2550making the request in the presence of one other person as
2551specified in this subsection. Each person present shall verify
2552the contents of the box by signing a copy of the inventory under
2553penalty of perjury.
2554     (a)  If the person making the written inventory is the
2555surviving co-lessee, the other person may be any other person
2556granted access pursuant to this section, an employee of the
2557institution where the box is located, or an attorney licensed in
2558this state.
2559     (b)  If the person making the written inventory is not a
2560surviving co-lessee, the other person may be a surviving co-
2561lessee, an employee of the institution where the box is located,
2562or an attorney licensed in this state.
2563     Section 59.  Section 733.6065, Florida Statutes, is amended
2564to read:
2565     733.6065  Opening safe-deposit box.--
2566     (1)  Subject to the provisions of s. 655.936(2), the
2567initial opening of a the decedent's safe-deposit box leased or
2568co-leased by the decedent shall be conducted in the presence of
2569any two of the following persons: an employee of the institution
2570where the box is located, the personal representative, or the
2571personal representative's attorney of record. Each person who is
2572present must verify the contents of the box by signing a copy of
2573the inventory under penalties of perjury. The personal
2574representative shall file the safe-deposit box inventory,
2575together with a copy of the box entry record from a date which
2576is 6 months prior to the date of death to the date of inventory,
2577with the court within 10 days after the box is opened. Unless
2578otherwise ordered by the court, this inventory and the attached
2579box entry record is subject to inspection only by persons
2580entitled to inspect an inventory under s. 733.604(1). The
2581personal representative may remove the contents of the box.
2582     (2)  The right to open and examine the contents of a safe-
2583deposit box leased by a decedent, or any documents delivered by
2584a decedent for safekeeping, and to receive items as provided for
2585in s. 655.935 are separate from in addition to the rights
2586provided for in subsection (1).
2587     Section 60.  This act shall take effect October 1, 2005.


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