Senate Bill sb1530c1

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    Florida Senate - 2006                           CS for SB 1530

    By the Committees on Governmental Oversight and Productivity;
    and Regulated Industries




    585-2178-06

  1                      A bill to be entitled

  2         An act relating to a review under the Open

  3         Government Sunset Review Act; amending s.

  4         569.215, F.S., relating to an exemption from

  5         the public-records law which is provided for

  6         certain business information concerning the

  7         tobacco-settlement agreement; defining the term

  8         "trade secrets" for purposes of the exemption;

  9         saving the exemption from repeal under the Open

10         Government Sunset Review Act; deleting

11         provisions that provide for repeal of the

12         exemption; providing an effective date.

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

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16         Section 1.  Section 569.215, Florida Statutes, is

17  amended to read:

18         569.215  Confidential records relating to tobacco

19  settlement agreement.--

20         (1)  Proprietary confidential business information

21  received by the Governor, the Attorney General, or outside

22  counsel representing the State of Florida in negotiations for

23  settlement payments pursuant to the settlement agreement, as

24  amended, in the case of State of Florida et al. v. American

25  Tobacco Company et al., No. 95-1466AH, in the Circuit Court of

26  the Fifteenth Judicial Circuit, in and for Palm Beach County,

27  or received by the Chief Financial Officer or the Auditor

28  General for any purpose relating to verifying settlement

29  payments made pursuant to the settlement agreement is

30  confidential and exempt from the provisions of s. 119.07(1)

31  and s. 24(a) of Art. I of the State Constitution. Any state or

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    Florida Senate - 2006                           CS for SB 1530
    585-2178-06




 1  federal agency that is authorized to have access to such

 2  documents by any provision of law shall be granted such access

 3  in furtherance of such agency's statutory duties,

 4  notwithstanding the provisions of this section. Proprietary

 5  confidential business information received under this section

 6  shall not retain its confidential and exempt status if that

 7  information is made public, including publicizing such

 8  information in a Securities and Exchange Commission filing, an

 9  annual financial statement, or other document or means. This

10  exemption is subject to the Open Government Sunset Review Act

11  of 1995 in accordance with s. 119.15, and shall stand repealed

12  on October 2, 2006, unless reviewed and saved from repeal

13  through reenactment by the Legislature.

14         (2)  As used in this section, the term "proprietary

15  confidential business information" means information,

16  regardless of form or characteristics, which is owned or

17  controlled by a tobacco company that is a signatory to the

18  settlement agreement, as amended, in the case of State of

19  Florida et al. v. American Tobacco Company et al., No.

20  95-1466AH, in the Circuit Court of the Fifteenth Judicial

21  Circuit, in and for Palm Beach County, is intended to be and

22  is treated by a tobacco company as private in that the

23  disclosure of the information would cause harm to the

24  company's business operations, and has not been disclosed

25  unless disclosed pursuant to a statutory provision, an order

26  of a court or administrative body, or private agreement that

27  provides that the information will not be released to the

28  public. The term includes, but is not limited to:

29         (a)  Trade secrets, as defined in s. 688.002.

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    Florida Senate - 2006                           CS for SB 1530
    585-2178-06




 1         (b)  Information in a Form 10-K that is confidential

 2  pursuant to an order of the Division of Corporation Finance of

 3  the Securities and Exchange Commission.

 4         (c)  Internal auditing control policies and procedures

 5  and reports of internal auditors.

 6         (d)  Financial operating and marketing information

 7  prepared in the ordinary course of business, the disclosure of

 8  which could impair the competitive business of the provider of

 9  information.

10         (e)  Financial statements, which consist of balance

11  sheets, statements of income and cash flows, and notes related

12  thereto, of any subsidiary that is part of a consolidated

13  group and engaged in the production or sale of tobacco

14  products.

15         (f)  Report letters from independent auditors relating

16  to domestic operating company income.

17         (g)  Analyses of specific items of revenue and expense

18  included in operating profit and extraordinary items. As used

19  in this paragraph, the term "extraordinary items" consists of

20  one-time tobacco litigation settlement costs and restructuring

21  charges.

22         (h)  Working papers, schedules, analyses, and

23  reconciliations prepared by company personnel for the purpose

24  of clarifying the disclosures of domestic tobacco revenues and

25  operating profit contained in financial statements or other

26  information related to the sale or production of tobacco

27  products.

28         Section 2.  This act shall take effect October 1, 2006.

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    Florida Senate - 2006                           CS for SB 1530
    585-2178-06




 1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
 2                         Senate Bill 1530

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 4  Changes the reference to trade secrets as defined in s.
    812.081, F.S., to the definition of trade secrets in s.
 5  688.002, F.S.

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