HB 7041

1	A bill to be entitled
2	An act relating to trust funds; terminating specified
3	trust funds within the Board of Governors of the State
4	University System; providing for the disposition of
5	balances in and revenues of such trust funds; prescribing
6	procedures for the termination of such trust funds;
7	amending s. 1011.94, F.S.; redesignating the Trust Fund
8	for University Major Gifts as the University Major Gifts
9	Program; providing for purpose of the program; providing
10	requirements of the State Board of Education with respect
11	to administration of the program and the allocation of
12	funds; providing requirements of university and New
13	College foundations; providing restrictions on the
14	expenditure of program funds; amending ss. 267.173,
15	1004.45, and 1009.74, F.S., to conform; modifying
16	specified trust funds within the Board of Governors of the
17	State University System; providing an effective date.
18
19	Be It Enacted by the Legislature of the State of Florida:
20
21	Section 1.  (1)  The following trust funds within the Board
22	of Governors of the State University System are terminated:
23	(a)  Contracts, Grants and Donations Trust Fund, FLAIR
24	number 49-2-153.
25	(b)  Engineering Industrial Experiment Station Trust Fund,
26	FLAIR number 49-2-186.
27	(c)  Experiment Station Federal Grant Trust Fund, FLAIR
28	number 49-2-207.
29	(d)  Experiment Station Incidental Trust Fund, FLAIR number
30	49-2-210.
31	(e)  Extension Service Federal Grant Trust Fund, FLAIR
32	number 49-2-216.
33	(f)  Extension Service Incidental Trust Fund, FLAIR number
34	49-2-219.
35	(g)  Auxiliary Trust Fund, FLAIR number 49-2-330.
36	(h)  University of Florida Health Sciences Center
37	Incidental Trust Fund, FLAIR number 49-2-381.
38	(i)  University of Florida Health Center Operations and
39	Maintenance Trust Fund, FLAIR number 49-2-424.
40	(j)  Division of Sponsored Research Trust Fund, FLAIR
41	number 49-2-655.
42	(k)  University of Florida Institute of Food and
43	Agricultural Sciences Relocation and Reconstruction Trust Fund,
44	FLAIR number 48-2-395.
45	(l)  University of Florida Institute of Food and
46	Agricultural Sciences Relocation and Construction Trust Fund,
47	FLAIR number 49-2-395.
48	(m)  Capital Improvement Fee Trust Fund, FLAIR number 49-2-
49	071.
50	(n)  University Concurrency Trust Fund, FLAIR number 49-2-
51	682.
52	(o)  Trust Fund for University Major Gifts, FLAIR number
53	49-2-483.
54	(p)  State University System Construction Trust Fund, FLAIR
55	number 49-2-137. All current cash balances remaining in, and all
56	revenues of, the fund shall be transferred to the Public
57	Education Capital Outlay and Debt Service Trust Fund, FLAIR
58	number 48-2-555.
59	(q)  Educational Enhancement Trust Fund, FLAIR number 49-2-
60	178.
61	(r)  Developmental Research School Trust Fund, FLAIR number
62	49-2-999.
63	(2)  Unless otherwise provided, all current balances
64	remaining in, and all revenues of, the trust funds terminated by
65	this act shall be transferred to the General Revenue Fund.
66	(3)  For each trust fund terminated by this act, the agency
67	that administers the trust fund shall pay any outstanding debts
68	and obligations of the terminated fund as soon as practicable,
69	and the Chief Financial Officer shall close out and remove the
70	terminated fund from the various state accounting systems using
71	generally accepted accounting principles concerning warrants
72	outstanding, assets, and liabilities.
73	Section 2.  Section 1011.94, Florida Statutes, is amended
74	to read:
75	1011.94  Trust Fund for University Major Gifts Program.--
76	(1)  There is established a Trust Fund for University Major
77	Gifts Program. The purpose of the program trust fund is to
78	enable each university and New College to provide donors with an
79	incentive in the form of matching grants for donations for the
80	establishment of permanent endowments and sales tax exemption
81	matching funds received pursuant to s. 212.08(5)(j), which must
82	be invested, with the proceeds of the investment used to support
83	libraries and instruction and research programs, as defined by
84	the State Board of Education. All funds appropriated for the
85	challenge grants, new donors, major gifts, sales tax exemption
86	matching funds pursuant to s. 212.08(5)(j), or eminent scholars
87	program may be deposited into the trust fund and invested
88	pursuant to s. 17.61 until the State Board of Education
89	allocates the funds to universities to match private donations.
90	Notwithstanding s. 216.301 and pursuant to s. 216.351, any
91	undisbursed balance remaining in the trust fund and interest
92	income accruing to the portion of the trust fund which is not
93	matched and distributed to universities must remain in the trust
94	fund and be used to increase the total funds available for
95	challenge grants. Funds deposited in the trust fund for the
96	sales tax exemption matching program authorized in s.
97	212.08(5)(j), and interest earnings thereon, shall be maintained
98	in a separate account within the Trust Fund for University Major
99	Gifts, and may be used only to match qualified sales tax
100	exemptions that a certified business designates for use by state
101	universities and community colleges to support research and
102	development projects requested by the certified business. The
103	State Board of Education may authorize any university to
104	encumber the state matching portion of a challenge grant from
105	funds available under s. 1011.45.
106	(2)  The State Board of Education shall specify the process
107	for submission, documentation, and approval of requests for
108	matching funds, accountability for endowments and proceeds of
109	endowments, allocations to universities, restrictions on the use
110	of the proceeds from endowments, and criteria used in
111	determining the value of donations.
112	(3)(a)  The State Board of Education shall allocate the
113	amount appropriated to the trust fund to each university and New
114	College based on the amount of the donation and the restrictions
115	applied to the donation.
116	(b)  Donations for a specific purpose must be matched in
117	the following manner:
118	1.  Each university that raises at least $100,000 but no
119	more than $599,999 from a private source must receive a matching
120	grant equal to 50 percent of the private contribution.
121	2.  Each university that raises a contribution of at least
122	$600,000 but no more than $1 million from a private source must
123	receive a matching grant equal to 70 percent of the private
124	contribution.
125	3.  Each university that raises a contribution in excess of
126	$1 million but no more than $1.5 million from a private source
127	must receive a matching grant equal to 75 percent of the private
128	contribution.
129	4.  Each university that raises a contribution in excess of
130	$1.5 million but no more than $2 million from a private source
131	must receive a matching grant equal to 80 percent of the private
132	contribution.
133	5.  Each university that raises a contribution in excess of
134	$2 million from a private source must receive a matching grant
135	equal to 100 percent of the private contribution.
136	(c)  The State Board of Education shall encumber state
137	matching funds for any pledged contributions, pro rata, based on
138	the requirements for state matching funds as specified for the
139	particular challenge grant and the amount of the private
140	donations actually received by the university for the respective
141	challenge grant.
142	(4)  Matching funds may be provided for contributions
143	encumbered or pledged under the Eminent Scholars Act prior to
144	July 1, 1994, and for donations or pledges of any amount equal
145	to or in excess of the prescribed minimums which are pledged for
146	the purpose of this section.
147	(5)(a)  Each university foundation and New College
148	Foundation shall establish a challenge grant account for each
149	challenge grant as a depository for private contributions and
150	state matching funds to be administered on behalf of the State
151	Board of Education, the university, or New College. State
152	matching funds must be transferred to a university foundation or
153	New College Foundation upon notification that the university or
154	New College has received and deposited the amount specified in
155	this section in a foundation challenge grant account.
156	(b)  The foundation serving a university and New College
157	Foundation each has the responsibility for the maintenance and
158	investment of its challenge grant account and for the
159	administration of the program on behalf of the university or New
160	College, pursuant to procedures specified by the State Board of
161	Education. Each foundation shall include in its annual report to
162	the State Board of Education information concerning collection
163	and investment of matching gifts and donations and investment of
164	the account.
165	(c)  A donation of at least $600,000 and associated state
166	matching funds may be used to designate an Eminent Scholar
167	Endowed Chair pursuant to procedures specified by the State
168	Board of Education.
169	(6)  The donations, state matching funds, or proceeds from
170	endowments established under this section may not be expended
171	for the construction, renovation, or maintenance of facilities
172	or for the support of intercollegiate athletics.
173	Section 3.  Subsection (8) of section 267.173, Florida
174	Statutes, is amended to read:
175	267.173  Historic preservation in West Florida; goals;
176	contracts for historic preservation; powers and duties.--
177	(8)  Notwithstanding any other provision of law, the
178	University of West Florida and its direct-support organization
179	are eligible to match state funds in the Trust Fund for
180	University Major Gifts Program established pursuant to s.
181	1011.94.
182	Section 4.  Paragraph (j) of subsection (2) of section
183	1004.45, Florida Statutes, is amended to read:
184	1004.45  Ringling Center for Cultural Arts.--
185	(2)
186	(j)  Notwithstanding any other provision of law, the John
187	and Mable Ringling Museum of Art direct-support organization is
188	eligible to match state funds in the Trust Fund for University
189	Major Gifts Program established pursuant to s. 1011.94 as
190	follows:
191	1.  For the first $1,353,750, matching shall be on the
192	basis of 75 cents in state matching for each dollar of private
193	funds.
194	2.  For additional funds, matching shall be provided on the
195	same basis as is authorized in s. 1011.94.
196	Section 5.  Subsections (1) and (2) of section 1009.74,
197	Florida Statutes, are amended to read:
198	1009.74  The Theodore R. and Vivian M. Johnson Scholarship
199	Program.--
200	(1)  There is established the Theodore R. and Vivian M.
201	Johnson Scholarship Program to be administered by the Department
202	of Education. The program shall provide scholarships to students
203	attending a state university. The program shall be funded by
204	contributions from the Theodore R. and Vivian M. Johnson
205	Scholarship Foundation and from state matching funds to be
206	allocated from the Trust Fund for University Major Gifts
207	Program.
208	(2)  The amount to be allocated to the program shall be on
209	the basis of a 50-percent match of funds from the Trust Fund for
210	University Major Gifts Program for each contribution received
211	from the Theodore R. and Vivian M. Johnson Scholarship
212	Foundation. The funds allocated to the program, including the
213	corpus and interest income, shall be expended for scholarships
214	to benefit disabled students attending a state university.
215	Section 6.  The following trust funds within the Board of
216	Governors of the State University System are modified:
217	(1)  Uniform Payroll Trust Fund, from FLAIR number 49-2-766
218	to 48-2-766.
219	(2)  Ancillary Facilities Construction Trust Fund, from
220	FLAIR number 49-2-026 to 48-2-026.
221	(3)  State University System Law Enforcement Trust Fund,
222	from FLAIR number 49-2-434 to 48-2-434.
223	(4)  Phosphate Research Trust Fund, from FLAIR number 49-2-
224	530 to 48-2-530.
225	(5)  State University System Replacement Trust Fund, from
226	FLAIR number 49-2-580 to 48-2-580.
227	(6)  Alec P. Courtelis Capital Facilities Matching Trust
228	Fund, from FLAIR number 49-2-070 to 48-2-070.
229	(7)  Education and General Student and Other Fees Trust
230	Fund, from FLAIR number 49-2-164 to 48-2-164.
231	(8)  Board of Regents Operations and Maintenance Trust
232	Fund, from FLAIR number 49-2-516 to 48-2-516.
233	(9)  Division of Universities Building Fee Trust Fund, from
234	FLAIR number 49-2-064 to 48-2-064.
235	Section 7.  This act shall take effect July 1, 2007.

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