CS/HB 687

1
A bill to be entitled
2An act relating to service-disabled veteran business
3enterprises; creating the Florida Service-Disabled Veteran
4Business Enterprise Opportunity Act; providing legislative
5intent; providing definitions; providing a selection
6preference in state contracting for certified service-
7disabled veteran business enterprises; providing a
8certification procedure to be established by the
9Department of Management Services and the Department of
10Veterans' Affairs and reviewed biennially and updated as
11necessary; providing requirements for application for,
12renewal of, and revocation of certification; providing
13duties of the departments; providing for data reporting by
14the Florida Small Business Development Center; authorizing
15the departments to adopt rules; amending s. 288.705, F.S.;
16requiring the center to report the percentage of service-
17disabled veteran business enterprises using the statewide
18contracts register; providing an effective date.
19
20Be It Enacted by the Legislature of the State of Florida:
21
22     Section 1.  Florida Service-Disabled Veteran Business
23Enterprise Opportunity Act.--
24     (1)  SHORT TITLE.--This section may be cited as the
25"Florida Service-Disabled Veteran Business Enterprise
26Opportunity Act."
27     (2)  INTENT.--It is the intent of the Legislature to
28rectify the economic disadvantage of service-disabled veterans,
29who are statistically the least likely to be self-employed when
30compared to the veteran population as a whole and who have made
31extraordinary sacrifices on behalf of the nation, the state, and
32the public, by providing opportunities for service-disabled
33veteran business enterprises as set forth in this section.
34     (3)  DEFINITIONS.--For the purpose of this section, the
35term:
36     (a)  "Certified service-disabled veteran business
37enterprise" means a business that has been certified by the
38Department of Management Services to be a service-disabled
39veteran business enterprise as defined in paragraph (c).
40     (b)  "Service-disabled veteran" means a veteran who is a
41permanent Florida resident with a service-connected disability
42of 10 percent or greater as determined by the United States
43Department of Veterans Affairs or who has been terminated from
44military service by reason of disability by the United States
45Department of Defense.
46     (c)  "Service-disabled veteran business enterprise" means
47an independently owned and operated business that:
48     1.  Employs 200 or fewer permanent full-time employees;
49     2.  Together with its affiliates has a net worth of $5
50million or less or, if a sole proprietorship, has a net worth of
51$5 million or less including both personal and business
52investments;
53     3.  Is organized to engage in commercial transactions;
54     4.  Is domiciled in this state;
55     5.  Is at least 51 percent owned by one or more service-
56disabled veterans; and
57     6.  The management and daily business operations of which
58are controlled by one or more service-disabled veterans or, for
59a service-disabled veteran with a permanent and total
60disability, by the spouse or permanent caregiver of the veteran.
61     (4)  VENDOR PREFERENCE.--
62     (a)  A state agency, when considering two or more bids,
63proposals, or replies for the procurement of commodities or
64contractual services, at least one of which is from a certified
65service-disabled veteran business enterprise, that are equal
66with respect to all relevant considerations, including price,
67quality, and service, shall award such procurement or contract
68to the certified service-disabled veteran business enterprise.
69     (b)  Notwithstanding s. 287.057(12), Florida Statutes, if a
70service-disabled veteran business enterprise entitled to the
71vendor preference under this section and one or more businesses
72entitled to this preference or another vendor preference
73provided by law submit bids, proposals, or replies for
74procurement of commodities or contractual services that are
75equal with respect to all relevant considerations, including
76price, quality, and service, then the state agency shall award
77the procurement or contract to the business having the smallest
78net worth.
79     (c)  Political subdivisions of the state are encouraged to
80offer a similar consideration to businesses certified under this
81section.
82     (5)  CERTIFICATION PROCEDURE.--
83     (a)  The application for certification as a service-
84disabled veteran business enterprise must, at a minimum,
85include:
86     1.  The name of the business enterprise applying for
87certification and the name of the service-disabled veteran
88submitting the application on behalf of the business enterprise.
89     2.  The names of all owners of the business enterprise,
90including owners who are service-disabled veterans and owners
91who are not service-disabled veterans, and the percentage of
92ownership interest held by each owner.
93     3.  The name of all persons involved in both the management
94and daily operations of the business, including the spouse or
95permanent caregiver of a veteran with a permanent and total
96disability.
97     4.  The service-connected disability rating of all persons
98listed under subparagraphs 1., 2., and 3., as applicable, with
99supporting documentation from the United States Department of
100Veterans Affairs or the United States Department of Defense.
101     5.  The number of permanent full-time employees.
102     6.  The location of the business headquarters.
103     7.  The total net worth of the business enterprise and its
104affiliates. In the case of a sole proprietorship, the net worth
105includes personal and business investments.
106     (b)  To maintain certification, a service-disabled veteran
107business enterprise shall renew its certification biennially.
108     (c)  The provisions of chapter 120 relating to application,
109denial, and revocation procedures shall apply to certifications
110under this section.
111     (d)  A certified service-disabled veteran business
112enterprise must notify the Department of Management Services
113within 30 business days after any event that may significantly
114affect the certification of the business, including, but not
115limited to, a change in ownership or change in management and
116daily business operations.
117     (e)  The certification of a service-disabled veteran
118business enterprise shall be revoked for 12 months if the
119Department of Management Services determines that the business
120enterprise violated paragraph (d). An owner of a certified
121service-disabled veteran business enterprise whose certification
122is revoked is not permitted to reapply for certification under
123this section as an owner of any business enterprise during the
12412-month revocation period.
125     1.  During the 12-month revocation period, a service-
126disabled veteran business enterprise whose certification has
127been revoked may bid on state contracts but is not eligible for
128any preference available under this section.
129     2.  A service-disabled veteran business enterprise whose
130certification has been revoked may apply for certification at
131the conclusion of the 12-month revocation period by complying
132with requirements applicable to initial certifications.
133     (6)  DUTIES OF THE DEPARTMENT OF VETERANS' AFFAIRS.--The
134department shall:
135     (a)  Assist the Department of Management Services in
136establishing a certification procedure, which shall be reviewed
137biennially and updated as necessary.
138     (b)  Identify eligible service-disabled veteran business
139enterprises by any electronic means, including electronic mail
140or Internet website, or by any other reasonable means.
141     (c)  Encourage and assist eligible service-disabled veteran
142business enterprises to apply for certification under this
143section.
144     (d)  Provide information regarding services that are
145available from the Office of Veterans' Business Outreach of the
146Florida Small Business Development Center to service-disabled
147veteran business enterprises.
148     (7)  DUTIES OF THE DEPARTMENT OF MANAGEMENT SERVICES.--The
149department shall:
150     (a)  With assistance from the Department of Veterans'
151Affairs, establish a certification procedure, which shall be
152reviewed biennially and updated as necessary.
153     (b)  Grant, deny, or revoke the certification of a service-
154disabled veteran business enterprise under this section.
155     (c)  Maintain an electronic directory of certified service-
156disabled veteran business enterprises for use by the state,
157political subdivisions of the state, and the public.
158     (8)  REPORT.--The Small Business Development Center shall
159include in its report required by s. 288.705, Florida Statutes,
160the percentage of certified service-disabled veteran business
161enterprises using the statewide contracts register.
162     (9)  RULES.--The Department of Veterans' Affairs and the
163Department of Management Services, as appropriate, may adopt
164rules as necessary to administer this section.
165     Section 2.  Section 288.705, Florida Statutes, is amended
166to read:
167     288.705  Statewide contracts register.--All state agencies
168shall in a timely manner provide the Florida Small Business
169Development Center Procurement System with all formal
170solicitations for contractual services, supplies, and
171commodities. The Small Business Development Center shall
172coordinate with Minority Business Development Centers to compile
173and distribute this such information to Florida small and
174minority businesses requesting such service for the period of
175time necessary to familiarize the business with the market
176represented by state agencies. On or before February 1 of each
177year, the Small Business Development Center shall report to the
178Agency for Workforce Innovation Department of Labor and
179Employment Security on the use utilization of the statewide
180contracts register. The Such report shall include, but not be
181limited to, information relating to:
182     (1)  The total number of solicitations received from state
183agencies during the calendar year.
184     (2)  The number of solicitations received from each state
185agency during the calendar year.
186     (3)  The method of distributing solicitation information to
187those businesses requesting such service.
188     (4)  The total number of businesses using the service.
189     (5)  The percentage of businesses using the service which
190are owned and controlled by minorities.
191     (6)  The percentage of service-disabled veteran business
192enterprises using the service.
193     Section 3.  This act shall take effect November 11, 2008.


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