Senate Bill sb7092pb

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092

    FOR CONSIDERATION By the Committee on Commerce and Consumer
    Services




    577-838E-06

  1                      A bill to be entitled

  2         An act relating to economic development;

  3         amending s. 288.706, F.S.; removing certain

  4         institutions from participation in the Florida

  5         Minority Business Loan Mobilization Program;

  6         requiring the Department of Management Services

  7         to collaborate with the Florida Black Business

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

  9         providing legislative findings; revising the

10         duties of the Florida Black Business Investment

11         Board, Inc., a not-for-profit corporation;

12         providing that the corporation, its board, and

13         advisory committees are subject to

14         public-records and public-meetings

15         requirements; providing for the appointment of

16         a board of directors; providing for terms of

17         office; providing qualifications for

18         membership; providing for filling vacancies on

19         the board and for officers; providing for

20         meetings; requiring members of the board to

21         disclose financial interests; amending s.

22         288.708, F.S.; deleting certain requirements

23         for the corporation governing the use for

24         funds; requiring that the Department of

25         Management Services establish a lease agreement

26         under which the employees of the former Black

27         Business Investment Board, Inc., retain their

28         status as state employees until a specified

29         date; amending s. 288.709, F.S.; revising the

30         powers of the Florida Black Business Investment

31         Board, Inc.; amending s. 288.7091, F.S.;

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
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 1         revising the duties of the Florida Black

 2         Business Investment Board, Inc.; requiring that

 3         annual audits and reports be filed with the

 4         Governor, the Legislature, and the Auditor

 5         General; amending s. 288.7092, F.S.; providing

 6         requirements for the Florida Black Business

 7         Investment Board, Inc., with respect to its

 8         return on investments; providing for the Office

 9         of Tourism, Trade, and Economic Development to

10         disburse funds to the corporation; amending s.

11         288.71, F.S.; providing requirements for

12         entities seeking to provide loans or loan

13         guarantees to black business enterprises;

14         amending s. 288.714, F.S.; requiring that the

15         Florida Black Business Investment Board, Inc.,

16         submit quarterly reports to the Office of

17         Tourism, Trade, and Economic Development and

18         annual reports to the Governor, the

19         Legislature, and the office; specifying the

20         information that must be included in the

21         reports; requiring other recipients of funds to

22         report on the use of such funds; amending s.

23         288.9015, F.S.; revising the duties of

24         Enterprise Florida, Inc., with respect to

25         assistance for black businesses; repealing ss.

26         288.7095, 288.7101, 288.711, 288.712, and

27         288.713, F.S., relating to black business

28         investment corporations, the Black Business

29         Investment Board, Inc., the Florida Investment

30         Incentive Trust Fund, guarantor funds, and

31         capital participation instruments; requiring

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
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 1         that the Office of Program Policy Analysis and

 2         Government Accountability review the activities

 3         of the Florida Black Business Investment Board,

 4         Inc., and report to the Governor and the

 5         Legislature; requiring the Auditor General to

 6         conduct an audit of the Florida Black Business

 7         Investment Board, Inc.; providing

 8         appropriations; providing an effective date.

 9  

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

11  

12         Section 1.  Subsection (11) of section 288.706, Florida

13  Statutes, is amended, and subsection (12) is added to that

14  section, to read:

15         288.706  Florida Minority Business Loan Mobilization

16  Program.--

17         (11)  The Department of Management Services shall

18  maintain a listing of financial institutions willing to

19  participate in the Florida Minority Business Loan Mobilization

20  Program, which may include the Florida Black Business

21  Investment Board, Inc., and black business investment

22  corporations. This list of financial institutions shall not be

23  exclusive. A minority business enterprise vendor who has a

24  working relationship with a financial institution is

25  encouraged to request that the financial institution apply to

26  participate as a financial institution for the program.

27         (12)  The Department of Management Services shall

28  collaborate with the Florida Black Business Investment Board

29  pursuant to ss. 288.707 and 288.714 to assist in the

30  development and enhancement of black business enterprises.

31  

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
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 1         Section 2.  Section 288.707, Florida Statutes, is

 2  amended to read:

 3         (Substantial rewording of section. See

 4         s. 288.707, F.S., for present text.)

 5         288.707  Florida Black Business Investment Board, Inc.;

 6  creation; membership; organization; meetings; disclosure.--

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

 8  this state will be served by creation of a nonprofit,

 9  public-private entity whose primary mission is to assist in

10  the development and expansion of black business enterprises

11  by:

12         (a)  Increasing the availability of debt and equity

13  capital for black business enterprises through the leveraging

14  of state and private funds;

15         (b)  Providing a network of information resources for

16  black business enterprises and providing technical assistance

17  through this network; and

18         (c)  Creating partnerships between state and local

19  governments and private enterprise in order to aid in the

20  development and expansion of black business enterprises.

21         (2)  There is created a not-for-profit corporation, to

22  be known as the "Florida Black Business Investment Board,

23  Inc.," which shall be registered, incorporated, organized, and

24  operated in compliance with chapter 617, and which shall not

25  be a unit or entity of state government. The Legislature

26  determines, however that public policy dictates that the

27  corporation operate in an open and accessible manner

28  consistent with its public purpose. To this end, the

29  Legislature specifically declares that the corporation and its

30  board and advisory committees or similar groups created by the

31  corporation, including any subsidiaries, are subject to the

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
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 1  provisions of chapter 119, relating to public records, and

 2  those provisions of chapter 286 relating to public meetings

 3  and records.

 4         (3)  The corporation shall be governed by a board of

 5  directors, appointed as follows:

 6         (a)  Four members appointed by the Governor and subject

 7  to confirmation by the Senate, who shall be appointed to terms

 8  of 4 years, except that in making initial appointments, the

 9  Governor shall appoint two members to terms of 2 years and two

10  members to terms of 3 years;

11         (b)  Two members appointed by the President of the

12  Senate, who shall be appointed to terms of 2 years;

13         (c)  Two members appointed by the Speaker of the House

14  of Representatives, who shall be appointed to terms of 2

15  years;

16         (d)  The vice chair of Enterprise Florida, Inc., or his

17  or her designee, who shall be an ex officio, nonvoting member;

18         (e)  The chair of the Florida Development Finance

19  Corporation, who shall be an ex officio, nonvoting member; and

20         (f)  Two at-large members, appointed at the discretion

21  of the board from the private sector, who shall be appointed

22  to terms of 2 years. Each at-large member has the powers and

23  duties of other members of the board, except that such member

24  may not serve on an executive committee. An at-large member is

25  eligible for reappointment but may not vote on his or her own

26  reappointment.

27         (4)  Each member of the board must have experience in

28  business, banking, or economic development.

29         (5)  A member of the board may not have a financial

30  interest in any entity that contracts with or receives any

31  funds from the corporation.

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
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 1         (6)  Any person appointed to fill a vacancy on the

 2  board shall be appointed in a like manner for the unexpired

 3  portion of the term. Any member is eligible for reappointment.

 4         (7)  The Governor shall appoint the chairperson, who

 5  must be a member of the board and who shall serve at the

 6  pleasure of the Governor. The board shall annually elect one

 7  of its members as vice chairperson and shall designate a

 8  secretary-treasurer who need not be a member of the board. The

 9  secretary-treasurer shall keep a record of the proceedings of

10  the board and shall be the custodian of all books, documents,

11  and papers filed with the board; the minute books of the

12  board; and its official seal.

13         (8)  The board shall meet at least four times each year

14  upon the call of the chair or vice chair or at the request of

15  a majority of the membership. A majority of the total number

16  of members appointed under subsection (3) constitute a quorum.

17  The board may take official action by a majority vote of the

18  members present at any meeting at which a quorum is present.

19         (9)  Members of the board shall serve without

20  compensation, but the members, the president of the

21  corporation, and other board employees are entitled to

22  reimbursement for all reasonable, necessary, and actual

23  expenses as determined by the board.

24         (10)  Each member of the board who is not otherwise

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

26  II of the State Constitution or s. 112.3144 shall file a

27  disclosure of financial interests pursuant to s. 112.3145.

28         Section 3.  Subsection (2) of section 288.708, Florida

29  Statutes, is amended, and subsections (3) and (4) are added to

30  that section, to read:

31         288.708  President; employees.--

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
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 1         (2)  The corporation and its officers and board members

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

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

 4  accordance with all applicable laws, bylaws, or contractual

 5  requirements. An employee of the corporation may not receive

 6  compensation for employment that exceeds the salary paid to

 7  the Governor, unless the corporation and the employee have

 8  executed a contract that prescribes specific and measurable

 9  performance outcomes for the employee, the satisfaction of

10  which provides the basis for the award of incentive payments

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

12  above the salary paid to the Governor.

13         (3)  The Department of Management Services shall

14  establish a lease agreement under which an employee as of June

15  30, 2002, of the Black Business Investment Board, Inc.,

16  created under chapter 85-104, Laws of Florida, retains his or

17  her status as a state employee until June 30, 2007.

18         (4)  The Department of Management Services shall

19  establish the terms and conditions of the lease agreement,

20  which must include the following:

21         (a)  An employee's status as a state employee includes

22  the right to participate in the Florida Retirement System.

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

24  must work under the direct supervision of the corporation.

25         (c)  An employee's status as a state employee under a

26  lease agreement as provided in this section expires June 30,

27  2007, unless the employee voluntarily relinquishes his or her

28  status as a state employee before that date.

29         Section 4.  Section 288.709, Florida Statutes, is

30  amended to read:

31  

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
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 1         288.709  Powers of the Florida Black Business

 2  Investment Board, Inc.--The corporation board shall have all

 3  the powers necessary or convenient to carry out and effectuate

 4  the purposes and provisions of ss. 288.707-288.714, including,

 5  but not limited to, the power to:

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

 7  the conduct of its business and adopt policies to implement

 8  the provisions of law conferring duties upon it. Such bylaws

 9  shall provide that the corporation is subject to the

10  requirements of s. 24, Art. I of the State Constitution and

11  chapter 119 and s. 286.011.

12         (2)  Adopt an official seal.

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

14         (4)  Make and execute contracts and other instruments

15  necessary or convenient for the exercise of its power and

16  functions.

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

18  for its corporate purposes.

19         (6)  Enter into agreements or other transactions with

20  any federal, state, or local agency or a private entity.

21         (7)  Encourage financial institutions to participate in

22  consortia for the purpose of investing in black business

23  enterprises.

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

25  purposes set forth in ss. 288.707-288.714 are disbursed on a

26  statewide basis and are not concentrated in one geographical

27  area.

28         (7)(9)  Invest any funds held in reserves or sinking

29  funds, funds held in reserve for loan guarantees, or any funds

30  not required for immediate disbursement, in such investments

31  as may be authorized for trust funds under s. 215.47; however,

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
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 1  such investments will be made on behalf of the board by the

 2  Chief Financial Officer or by another trustee appointed for

 3  that purpose.

 4         (8)(10)  Appear in its own behalf before boards,

 5  commissions, departments, or other agencies of municipal,

 6  county, state, or Federal Government.

 7         (9)(11)  Procure insurance or require bond against any

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

 9  such insurers as may be necessary or desirable.

10         (10)(12)  Apply for, accept, and disburse from any

11  public or private source Receive and accept from any federal,

12  state, or local agency grants, loans, or advances for, or in

13  aid of, the purposes of ss. 288.707-288.714, and to receive

14  and accept contributions from any source of either money,

15  property, labor, or other things of value, to be held, used,

16  and applied for said purposes.

17         (11)(13)  Create, issue, and buy and sell stock,

18  evidences of indebtedness, and other capital participation

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

20  and capital participation instruments; and to underwrite the

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

22  designed to enhance development of capital ownership in the

23  target group.

24         (12)(14)  Provide and pay for such advisory services

25  and technical assistance as may be necessary or desirable to

26  carry out the purposes of this act.

27         (13)(15)  Engage in special programs to enhance the

28  development of black business enterprises as authorized by

29  this act.

30         (14)(16)  Promote black ownership of financial

31  institutions in Florida.

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 1         (15)(17)  Take, hold, and improve property, including

 2  real property.

 3         (16)(18)  Do any and all things necessary or convenient

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

 5  and granted in, ss. 288.707-288.714, and exercise any other

 6  powers, rights, or responsibilities of a corporation.

 7         (17)(19)  In addition to any indemnification available

 8  under chapter 617, indemnify, and purchase and maintain

 9  insurance on behalf of, directors, officers, and employees of

10  the corporation and its boards against any personal liability

11  or accountability by reason of actions taken while acting

12  within the scope of their authority.

13         (18)(20)  Provide in its bylaws that, upon the

14  dissolution of the corporation, all of its assets, after

15  payment of all legal debts and liabilities, revert to this

16  state.

17         Section 5.  Section 288.7091, Florida Statutes, is

18  amended to read:

19         (Substantial rewording of section. See

20         s. 288.7091, F.S., for present text.)

21         288.7091  Duties of the Florida Black Business

22  Investment Board, Inc.--The corporation shall:

23         (1)  Aid the development and expansion of black

24  business enterprises through partnerships with the private

25  sector which leverage state and nonstate private funds to

26  provide loan guarantees of up to 50 percent of the amount of a

27  loan or other financial services that may be authorized by the

28  General Appropriations Act for black business enterprises.

29         (2)  Ensure that all funds appropriated by the

30  Legislature for use by the corporation or by any recipient of

31  funds from the corporation are in the amount and disbursed and

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 1  used in the manner directed by the Legislature and are in

 2  compliance with ss. 288.707-288.714.

 3         (3)  Be responsible for the prudent use of all public

 4  and private funds and ensure that the use of such funds is in

 5  accordance with all applicable laws, bylaws, and contractual

 6  requirements.

 7         (4)  Develop an allocation policy to ensure that

 8  services provided by the corporation for the benefit of black

 9  business enterprises are disbursed equitably across the state.

10         (5)  Serve as the clearinghouse for information and

11  sources of technical assistance that will enhance the

12  development and expansion of black business enterprises and

13  facilitate the provision of technical assistance in

14  communities where such services are otherwise unavailable.

15         (6)  Market its services to black business enterprises.

16         (7)  Collaborate with Enterprise Florida, Inc., or its

17  affiliates, to develop and expand black business enterprises.

18         (8)  Collaborate with the Department of Transportation,

19  the Department of Management Services, including the Florida

20  Minority Business Loan Mobilization Program, the Office of

21  Urban Opportunity within the Department of Community Affairs,

22  Workforce Florida, Inc., other state agencies and partners,

23  the State University System, including the Institute of Urban

24  Policy and Commerce at Florida Agricultural and Mechanical

25  University, school boards, and local governments to create a

26  network of information and to seek out available resources to

27  enhance the development and expansion of black business

28  enterprises.

29         (9)  Develop strategies to increase investment in black

30  business enterprises by financial institutions.

31  

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 1         (10)  Provide a 5-year projection of the need for

 2  capital by black business enterprises. The corporation shall

 3  contract with an independent entity to prepare the projection

 4  once every 5 years.

 5         (11)  Annually provide for a financial audit as defined

 6  in s. 11.45 of its accounts and records by an independent

 7  certified public accountant. The audit must include an

 8  explanation of all investments made by the corporation and an

 9  explanation of administrative costs. The audit report shall be

10  submitted within 6 months after the end of the fiscal year to

11  the Governor, the President of the Senate, the Speaker of the

12  House of Representatives, and the Auditor General.

13         Section 6.  Section 288.7092, Florida Statutes, is

14  amended to read:

15         288.7092  Return on investment from activities of the

16  corporation.--

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

18  operation of the corporation are invested in this

19  public-private partnership to enhance black business ownership

20  and investments in Florida. This policy shall be the

21  Legislature's priority consideration when reviewing the return

22  on investment for the corporation.

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

24  corporation coordinate its operations with Enterprise Florida,

25  Inc., and with local economic development organizations to

26  maximize the state and local return on investment to create

27  jobs for Floridians.

28         (2)(3)  The corporation shall maximize nonstate support

29  for its operations It is further the intent of the Legislature

30  to maximize private sector support in operating the

31  

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
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 1  corporation as an endorsement of its value and as an

 2  enhancement of its efforts.

 3         (3)(4)(a)  The state's operating investment in the

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

 5  Trade, and Economic Development to the corporation, less

 6  funding that is directed by the Legislature to be

 7  subcontracted to a specific recipient.

 8         (4)  At the beginning of each fiscal year, and 6 months

 9  thereafter, the Office of Tourism, Trade, and Economic

10  Development and the corporation shall determine the amount of

11  nonoperating funds required to cover the obligations of the

12  corporation pursuant to s. 288.7091(1) for the upcoming

13  quarter.

14         (a)  The office shall disburse funds to the corporation

15  which are specifically appropriated by law for purposes of s.

16  288.7091(1) from the Economic Development Trust Fund in

17  amounts determined reasonably necessary to supplement funds

18  already in the possession of the corporation in order to carry

19  out the requirements of s. 288.7091(1) during the coming

20  quarter of the state fiscal year.

21         (b)  The corporation shall report to the office the

22  amount of nonoperating funds in excess of those needed to meet

23  the requirements of s. 288.7091(1) on the last day of each

24  6-month period. The corporation may use these excess funds to

25  implement the provisions of s. 288.7091 upon the approval of

26  the office. If the office does not approve the use of excess

27  funds, the corporation shall remit the funds to the office for

28  deposit in the Economic Development Trust Fund.

29         (c)  The corporation shall use any return on investment

30  of state funds for reasonable and necessary operating expenses

31  

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 1  or to fund additional activities authorized pursuant to s.

 2  288.7091.

 3         (d)(b)  The board shall adopt for each upcoming fiscal

 4  year an operating budget for the organization which specifies

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

 6  sources of income, and a plan for securing nonstate private

 7  sector support to the corporation. Each fiscal year, private

 8  sector support to the corporation shall be as follows: no less

 9  than 50 percent of the state's investment by July 1, 2003; no

10  less than 60 percent of the state's investment by July 1,

11  2004; no less than 70 percent of the state's investment by

12  July 1, 2005; no less than 80 percent of the state's

13  investment by July 1, 2006; and no less than 100 percent of

14  the state's investment by July 1, 2007.

15         (5)  Nonstate Private sector support in operating the

16  corporation includes:

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

18  operating budget.

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

20  economic development organization, a group of such

21  organizations, or a statewide business organization that

22  supports collaborative projects.

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

24  corporation.

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

26  including private sector equipment contributed as part of

27  technical assistance; goods and services, including time

28  donated by loan officers, advertising or marketing support,

29  and items used to promote the corporation; business

30  expenditures; business services provided; business support;

31  and other business contributions that augment the operations,

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

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

 3  sponsored publications, private sector staff services, payment

 4  for advertising placements, sponsorship of events, sponsored

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

 6  or program sponsorship, copayments, stock, warrants,

 7  royalties, or other private resources dedicated to the

 8  corporation, low-interest loans, participations, investment

 9  income, equity investments, and the economic impact of the

10  corporation's investments and job creation and retention.

11         (6)  The corporation shall fully comply with the

12  performance measures, standards, and sanctions in its

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

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

15  possible, that the contract performance measures are

16  consistent with performance measures that the office is

17  required to develop and track under performance-based program

18  budgeting.

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

20  288.714, the board of the corporation shall provide the

21  Legislature with information quantifying the public's return

22  on investment.

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

24  of Program Policy Analysis and Government Accountability,

25  shall hire a private accounting firm or economic analysis firm

26  to develop the methodology for establishing and reporting

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

28  this section. The Office of Program Policy Analysis and

29  Government Accountability shall review and offer feedback on

30  the methodology before it is implemented. The private

31  accounting firm or economic analysis firm shall certify

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 1  whether the applicable statements in the annual report comply

 2  with this section.

 3         Section 7.  Section 288.71, Florida Statutes, is

 4  amended to read:

 5         (Substantial rewording of section. See

 6         s. 288.71, F.S., for present text.)

 7         288.71  Conditions for corporate action.--

 8         (1)  The corporation may not approve a loan guarantee

 9  or other financial assistance to a black business enterprise

10  unless that enterprise demonstrates that:

11         (a)  The proposed loan guarantee or other financial

12  service is economically sound and will assist the black

13  business enterprise in entering the conventional lending

14  market, increasing opportunities for employment, and

15  strengthening the economy of the state; and

16         (b)  The black business enterprise seeking assistance

17  will be able to compete successfully in the private sector if

18  it obtains the requested financial assistance and has, or will

19  obtain, appropriate and credible technical or managerial

20  support through an organization approved by the corporation.

21         (2)  The corporation shall adopt policies ensuring a

22  uniform, open, and competitive application and approval

23  process for black business enterprises seeking financial

24  assistance under this part, including policies for evaluating

25  and approving providers of technical assistance for black

26  business enterprises.

27         (3)  The corporation shall adopt uniform underwriting

28  policies applicable to loan guarantees and direct loans, if

29  direct loans are authorized by the General Appropriations Act.

30         Section 8.  Section 288.714, Florida Statutes, is

31  amended to read:

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 1         (Substantial rewording of section. See

 2         s. 288.714, F.S., for present text.)

 3         288.714  Quarterly and annual reports.--

 4         (1)  The corporation shall provide to the Office of

 5  Tourism, Trade, and Economic Development a quarterly report

 6  within 15 days after the end of each calendar quarter which

 7  provides a detailed summary of its performance of the duties

 8  imposed by ss. 288.707-288.71, including, but not limited to:

 9         (a)  The dollar amount of all loan guarantees made to

10  black business enterprises, the percentages of the loans

11  guaranteed, and an identification of the types of businesses

12  served;

13         (b)  Information concerning loan performance;

14         (c)  The amount and nature of all other financial

15  assistance provided by the corporation to black business

16  enterprises;

17         (d)  The amount and nature of technical assistance

18  provided to black business enterprises;

19         (e)  A balance sheet for the corporation, including an

20  explanation of all investments and administrative and

21  operational expenses; and

22         (f)  A summary of all services provided to nonblack

23  business enterprises, including the dollar value and nature of

24  such services and a description of the type of business

25  served.

26         (2)  By May 1 of each year the corporation shall

27  provide to the Governor, the President of the Senate, and the

28  Speaker of the House of Representatives a detailed report of

29  its performance of the duties imposed by ss. 288.707-288.71

30  over the preceding 12 months which must include:

31  

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
    577-838E-06




 1         (a)  A cumulative summary of quarterly report data

 2  required by subsection (1);

 3         (b)  A description of the strategies implemented by the

 4  corporation to increase private investment in black business

 5  enterprises;

 6         (c)  A description of the corporation's collaborative

 7  efforts with the entities identified in s. 288.7091(6) and

 8  (7);

 9         (d)  The most recent 5-year projection of the need for

10  capital by black business enterprises;

11         (e)  A copy of all policies adopted by the corporation

12  pursuant to ss. 288.707-288.714;

13         (f)  Recommendations for legislative or other changes

14  to enhance the development and expansion of black business

15  enterprises in the state; and

16         (g)  A projection of the corporation's business

17  activities over the next 12 months.

18         (3)  A recipient of funds provided by specific

19  appropriation in the General Appropriations Act pursuant to

20  ss. 288.707-288.714, including funds appropriated before July

21  1, 2006, shall provide an annual report to the Office of

22  Tourism, Trade, and Economic Development by March 1 of each

23  year. The report must include:

24         (a)  The number of black business enterprises that

25  received financial assistance, including loans or loan

26  guarantees, funded in whole or part by the state;

27         (b)  The number of black business enterprises receiving

28  technical or other nonfinancial assistance from the recipient

29  or third parties;

30         (c)  The status of black business enterprises that have

31  received financial or other assistance from the recipient;

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
    577-838E-06




 1         (d)  The total number of jobs created or maintained by

 2  black business enterprises that received financial or other

 3  assistance from the recipient; and

 4         (e)  An operating statement for the recipient,

 5  including an explanation of the use of all state funds and any

 6  return on investment or interest earned on state funds, as

 7  well as an explanation of administrative costs.

 8         Section 9.  Subsection (4) of section 288.9015, Florida

 9  Statutes, is amended to read:

10         288.9015  Enterprise Florida, Inc.; purpose; duties.--

11         (4)  Enterprise Florida, Inc., shall incorporate the

12  needs of small and minority businesses into the

13  economic-development, international-trade and

14  reverse-investment, and workforce-development responsibilities

15  assigned to the organization by this section. Where

16  practicable and consistent with the expertise of the Black

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

18  shall collaborate contract with the Florida Black Business

19  Investment Board, Inc., or its affiliates, to create and

20  expand the corporation for the delivery of services in

21  fulfillment of the responsibilities of Enterprise Florida,

22  Inc., relating to small and minority businesses.

23         Section 10.  Sections 288.7095, 288.7101, 288.711,

24  288.712, and 288.713, Florida Statutes, are repealed.

25         Section 11.  The Office of Program Policy Analysis and

26  Government Accountability shall conduct a program review of

27  the activities of the Florida Black Business Investment Board,

28  Inc., 12 months after the date this act becomes law. The

29  review shall focus on whether the program has been properly

30  implemented and whether appropriate controls and

31  accountability measures are in place. The Office of Program

                                  19

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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7092
    577-838E-06




 1  Policy Analysis and Government Accountability shall report to

 2  the Governor, the President of the Senate, and the Speaker of

 3  the House of Representatives within 3 months after the

 4  conclusion of the review.

 5         Section 12.  The Auditor General shall conduct an audit

 6  of the investment activity of the Florida Black Business

 7  Investment Board, Inc., for the 2001-2002 fiscal year through

 8  the 2005-2006 fiscal year and report its findings to the

 9  Governor, the President of the Senate, and the Speaker of the

10  House of Representatives by January 1, 2007.

11         Section 13.  The sum of $451,210 is appropriated from

12  the General Revenue Fund to the Office of Tourism, Trade, and

13  Economic Development for the purpose of implementing the

14  operations of the Florida Black Business Investment Board,

15  Inc., during the 2006-2007 fiscal year. In addition, the sum

16  of $1.2 million is appropriated from the General Revenue Fund

17  to the Office of Tourism, Trade, and Economic Development

18  which shall be used by the Florida Black Business Investment

19  Board, Inc., to provide capitalization funds for black

20  business development for the 2006-2007 fiscal year.

21         Section 14.  This act shall take effect July 1, 2006.

22  

23            *****************************************

24                          SENATE SUMMARY

25    Revises the duties of the Florida Black Business
      Investment Board, Inc. Revises the membership of the
26    board and provides for meetings. Provides for the
      employees of the former Black Business Investment Board,
27    Inc., to retain their status as state employees until
      June 30, 2007. Requires the corporation to file certain
28    audits and reports. Requires the Office of Program Policy
      Analysis and Government Accountability and the Auditor
29    General to review the activities of the Florida Black
      Business Investment Board, Inc., and report to the
30    Governor and the Legislature. (See bill for details.)

31  

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