CS/HB 7123

1	A bill to be entitled
2	An act relating to government accountability and
3	efficiency; amending s. 112.061, F.S.; revising certain
4	per diem and travel requirements and limitations;
5	requiring agencies and public agencies to develop certain
6	uniform implementing policies; providing for application
7	to certain water management districts, authorities, and
8	other entities; amending s. 129.01, F.S.; providing
9	limitations on unreserved undesignated fund balances;
10	amending s. 129.02, F.S.; providing definitions; providing
11	additional requirements for budgets; requiring a proposed
12	budget summary; providing summary requirements; deleting
13	requirements for county fine and forfeiture fund budgets;
14	amending s. 129.021, F.S.; expanding application of
15	certain requirements for county officer budgets; amending
16	s. 129.03, F.S.; extending a time period for county budget
17	officers to prepare and present a tentative budget;
18	providing additional requirements for filing comprehensive
19	annual financial reports with clerks of circuit court and
20	county residents; providing requirements for posting
21	reports on websites; amending s. 166.241, F.S.; providing
22	definitions; providing additional requirements for filing
23	budgets by municipalities; providing budget disclosure
24	requirements; requiring a proposed budget summary;
25	providing summary requirements; providing additional
26	requirements for posting comprehensive annual financial
27	reports at certain public offices, online, and with
28	municipal residents; providing limitations on unreserved
29	undesignated fund balances; amending s. 189.418, F.S.;
30	providing definitions; providing additional requirements
31	for filing budgets by special districts; providing budget
32	disclosure requirements; requiring a proposed budget
33	summary; providing summary requirements; providing
34	additional requirements for posting comprehensive annual
35	financial reports at certain public offices, online, and
36	with special district residents; providing limitations on
37	unreserved undesignated fund balances; amending s.
38	373.536, F.S.; providing additional requirements for
39	filing comprehensive annual financial reports of water
40	management districts with clerks of circuit court, water
41	management residents, and online; providing limitations on
42	unreserved undesignated fund balances; amending ss.
43	189.429 and 191.015, F.S.; correcting cross-references;
44	defining the terms "contract," "corporation,"
45	"expenditure," "individual," and "reporting entity" for
46	purposes of state government contract reporting; providing
47	that contractual rights of state employees and retirees
48	who are members of the Florida Retirement System are not
49	considered contracts; directing the Executive Office of
50	the Governor to develop and maintain a port linking to the
51	reporting entity contract expenditures report maintained
52	by the Department of Financial Services; directing the
53	department to develop and maintain a contract information
54	report containing specified information; directing that
55	the report be maintained by the department in a searchable
56	website; directing that access to the website be provided
57	at no charge to a user who has Internet access; directing
58	each reporting entity to record information relating to
59	contracts between the reporting entity and a corporation
60	or an individual; providing exceptions; directing each
61	reporting entity to record payment information on
62	specified contracts in the Florida Accounting and
63	Information Resources contract subsystem; requiring that
64	electronic copies of contracts be provided in certain
65	circumstances; providing that portions of public records
66	that are confidential and exempt from inspection and
67	copying shall be redacted prior to posting; providing
68	applicability; providing an effective date.
69
70	Be It Enacted by the Legislature of the State of Florida:
71
72	Section 1.  Paragraph (a) of subsection (6), paragraph (e)
73	of subsection (7), and paragraph (c) of subsection (14) of
74	section 112.061, Florida Statutes, are amended to read:
75	112.061  Per diem and travel expenses of public officers,
76	employees, and authorized persons.--
77	(6)  RATES OF PER DIEM AND SUBSISTENCE ALLOWANCE.--For
78	purposes of reimbursement rates and methods of calculation, per
79	diem and subsistence allowances are provided as follows:
80	(a)  All travelers shall be allowed for subsistence when
81	traveling to a convention or conference or when traveling within
82	or outside the state in order to conduct bona fide state
83	business, which convention, conference, or business serves a
84	direct and lawful public purpose with relation to the public
85	agency served by the person attending such meeting or conducting
86	such business, either of the following for each day of such
87	travel at the option of the traveler:
88	1.  Eighty dollars per diem; or
89	2.  If actual expenses exceed $80, the amounts permitted in
90	paragraph (b) for subsistence, plus actual expenses for lodging
91	at a single-occupancy rate to be substantiated by paid bills
92	therefor. Actual expenses for lodging shall not exceed $200 per
93	night excluding taxes unless approved in writing by the agency
94	head or designee when lodging is not reasonably available for
95	less than the maximum rate.
96
97	When lodging or meals are provided at a state institution, the
98	traveler shall be reimbursed only for the actual expenses of
99	such lodging or meals, not to exceed the maximum provided for in
100	this subsection.
101	(7)  TRANSPORTATION.--
102	(e)  Transportation by charter or rental vehicle chartered
103	vehicles when traveling on official business may be authorized
104	by the agency head when necessary or where it is to the
105	advantage of the agency, provided the cost of such
106	transportation does not exceed the cost of transportation by
107	privately owned vehicle pursuant to paragraph (d).
108	Transportation by charter or rental vehicle is preferred in lieu
109	of a privately owned vehicle when the use of a rental vehicle is
110	calculated to cost less than the estimated amount required to
111	reimburse the traveler for transportation by his or her
112	privately owned vehicle. At the option of the traveler, the use
113	of his or her private vehicle may be authorized, but
114	reimbursement shall be limited to the amount of whichever means
115	of vehicle transportation is less after taking into account
116	reasonable and practical considerations, including, but not
117	limited to, any extenuating circumstances making the use of a
118	rental vehicle impractical or unfeasible. In calculating whether
119	the cost of using a rental vehicle is less than reimbursement
120	for using a privately owned vehicle, all costs necessarily
121	incurred in connection with the use of a rental car, including,
122	but not limited to, parking fees, and additional travel time,
123	that would be avoided through the use of the traveler's
124	privately owned vehicle shall be taken into consideration. Each
125	agency or public agency shall develop policies to uniformly
126	implement this paragraph.
127	(14)  APPLICABILITY TO COUNTIES, COUNTY OFFICERS, DISTRICT
128	SCHOOL BOARDS, SPECIAL DISTRICTS, AND METROPOLITAN PLANNING
129	ORGANIZATIONS.--
130	(c)  Except as otherwise provided in this subsection,
131	counties, county constitutional officers and entities governed
132	by those officers, district school boards, special districts,
133	and metropolitan planning organizations, other than those
134	subject to s. 166.021(10), remain subject to the requirements of
135	this section. Notwithstanding subparagraph (a)4., water
136	management districts created under s. 373.069, the Florida
137	Inland Navigation District, the Northwest Florida Regional
138	Housing Authority, the Northwest Florida Transportation Corridor
139	Authority, the Sarasota-Manatee Airport Authority, Space
140	Florida, and the Tampa Bay Area Regional Transportation
141	Authority are subject to the requirements of this section.
142	Section 2.  Paragraph (f) is added to subsection (2) of
143	section 129.01, Florida Statutes, to read:
144	129.01  Budget system established.--There is hereby
145	established a budget system for the control of the finances of
146	the boards of county commissioners of the several counties of
147	the state, as follows:
148	(2)  Each budget shall conform to the following general
149	directions and requirements:
150	(f)  The unreserved undesignated fund balance, as defined
151	in s. 129.02(1), generated during an individual fiscal year
152	shall not exceed 20 percent of operating revenues or 90 days of
153	regular general fund operating expenditures, whichever is
154	greater, necessary to secure and maintain credit ratings, meet
155	seasonal shortfalls in cash flow, and reduce susceptibility to
156	emergency or unanticipated expenditures or to address revenue
157	shortfalls. Any remaining unreserved undesignated fund balance
158	generated during an individual fiscal year shall not be used to
159	increase recurring expenditures within the budget, but shall be
160	carried forward to the next fiscal year in furtherance of the
161	fund.
162	Section 3.  Section 129.02, Florida Statutes, is amended to
163	read:
164	129.02  Requisites of budgets.--
165	(1)  As used in this section, the term:
166	(a)  "Fund" means a fiscal and accounting entity with a
167	self-balancing set of accounts that are recorded and segregated
168	to account for specific activities or to attain certain
169	objectives in accordance with applicable laws, special
170	regulations, restrictions, or limitations, in accordance with
171	generally accepted accounting principles.
172	(b)  "Object of expenditure" means the classification of
173	fund data by character of expenditure. The term "object of
174	expenditure" includes, but is not limited to, operating
175	expenditures or expenses, personal services, debt service,
176	capital outlay, grants, and transfers, in accordance with
177	generally accepted accounting principles.
178	(c)  "Spending entity," as designated by the county
179	commission, means any office, unit, department, board,
180	commission, county officer, or dependent special district which
181	is responsible for any particular expenditures.
182	(d)  "Unreserved undesignated fund balance" means any fund
183	balance remaining after accounting for all reserved and
184	designated general fund balances.
185	(2)  Each budget shall conform to the following specific
186	directions and requirements:
187	(a)  Budgets that do not meet the Distinguished Budget
188	Presentation Award criteria established by the Government
189	Finance Officers Association shall, by fund and by spending
190	entity within each fund for the fiscal year, set forth the
191	following:
192	1.  All proposed budget expenditures summarized by the
193	object of expenditure to be undertaken or executed by any
194	spending entity during the fiscal year.
195	2.  Anticipated revenues for the fiscal year.
196	3.  Estimated beginning and ending fund balances.
197	4.  The corresponding actual figures for the prior year,
198	current year budget or estimated current year actual, and
199	proposed budget for the next fiscal year consistent with the
200	basis of accounting used to prepare the budget.
201	5.  Explanatory schedules or statements noting material
202	changes in proposed expenditures by spending entity.
203	(b)1.(1)  General fund budget shall contain an estimate of
204	receipts by source, including any taxes now or hereafter
205	authorized by law to be levied for any countywide purpose,
206	except those countywide purposes provided for in the budgets
207	enumerated below, any tax millage limitation to the contrary
208	notwithstanding, and including any balance brought forward as
209	provided herein; and an itemized estimate of expenditures that
210	will need to be incurred to carry on all functions and
211	activities of the county government now or hereafter authorized
212	by law, except those functions and activities provided for in
213	the budgets enumerated below, and of unpaid vouchers of the
214	general fund; also of the reserve for contingencies and of the
215	balances, as hereinbefore provided, which should be carried
216	forward at the end of the year.
217	2.  A county shall prepare a written summary, not to exceed
218	4 pages, describing the important features of the proposed
219	budget. The summary shall include an overview of the county, a
220	description of the previous fiscal year's performance, a review
221	of the current fiscal year's revenues and expenditures, and an
222	economic outlook and future challenges or objectives
223	description. The summary must include a statement of the
224	budgetary basis of accounting used and a description of the
225	services to be delivered during the fiscal year. The county
226	shall make the summary available to county residents by filing
227	the summary with the clerk of the circuit court and posting the
228	summary prominently online if the county has a website.
229	(c)(2)  The County Transportation Trust Fund budget shall
230	contain an estimate of receipts by source and balances as
231	provided herein, and an itemized estimate of expenditures that
232	need to be incurred to carry on all work on roads and bridges in
233	the county except that provided for in the capital outlay
234	reserve fund budget and in district budgets pursuant to this
235	chapter, and of unpaid vouchers of the County Transportation
236	Trust Fund; also of the reserve for contingencies and the
237	balance, as hereinbefore provided, which should be carried
238	forward at the end of the year.
239	(3)  The budget for the county fine and forfeiture fund
240	shall contain an estimate of receipts by source and balances as
241	provided herein, and an itemized estimate of expenditures that
242	need to be incurred to carry on all criminal prosecution, and
243	all other law enforcement functions and activities of the county
244	now or hereafter authorized by law, and of indebtedness of the
245	county fine and forfeiture fund; also of the reserve for
246	contingencies and the balance, as hereinbefore provided, which
247	should be carried forward at the end of the year.
248	(d)1.(4)(a)  Capital outlay reserve fund budget shall
249	contain an estimate of receipts by source, including any taxes
250	authorized by law to be levied for that purpose, and including
251	any balance brought forward as provided for herein; and an
252	itemized estimate of expenditures for capital purposes to give
253	effect to general improvement programs. It shall be a plan for
254	the expenditure of funds for capital purposes, showing as income
255	the revenues, special assessments, borrowings, receipts from
256	sale of capital assets, free surpluses, and down payment
257	appropriation to be applied to the cost of a capital project or
258	projects, expenses of issuance of obligations, engineering,
259	supervision, contracts, and any other related expenditures. It
260	may contain also an estimate for the reserves as hereinbefore
261	provided and for a reserve for future construction and
262	improvements. No expenditures or obligations shall be incurred
263	for capital purposes except as appropriated in this budget,
264	except for the preliminary expense of plans, specifications and
265	estimates.
266	2.(b)  Under the provision herein set forth, a separate
267	capital budget may be adopted for each special district included
268	within the county budget, or a consolidated capital budget may
269	be adopted providing for the consolidation of capital projects
270	of the county and of the special districts included within the
271	county budget into one budget, treating borrowed funds and other
272	receipts as special revenue earmarked for capital projects as
273	separately itemized appropriation for each district special
274	project or county project, as the case may be.
275	3.(c)  Any funds in the capital budget not required to meet
276	the current construction cost of any project may be invested in
277	any securities of the Federal Government or in securities of any
278	county of the state pledging the full faith and credit of such
279	county or pledging such county's share of the gas tax provided
280	for in s. 16 of Art. IX of the Constitution of 1885 as adopted
281	by the 1968 revised constitution or in s. 9, Art. XII of said
282	revision.
283	(e)(5)  A bond interest and sinking fund budget shall be
284	made for each county and for each special district included
285	within the county budget having bonds outstanding. The budget
286	shall contain an estimate of receipts by source, including any
287	taxes authorized by law to be levied for that purpose, and
288	including any balances brought forward as provided herein; and
289	an itemized estimate of expenditures and reserves as follows:
290	The bond interest and principal maturities in the year for which
291	the budget is made shall be determined and estimates for
292	expenses connected with the payments of such bonds and coupons,
293	commissions of the tax collector, and of the property appraiser,
294	and expenses of refunding operations, if any are contemplated,
295	shall be appropriated. A sufficient "cash balance to be carried
296	over" may be reserved as set forth hereinbefore. The sinking
297	fund requirements provided for in the said reserve may be
298	carried over either in cash or in securities of the Federal
299	Government and of the local governments in Florida, or both.
300	(f)(6)  For each special district included within the
301	county budget, the operating fund budget shall contain an
302	estimate of receipts by source and balances as provided herein,
303	and an itemized estimate of expenditures that will need to be
304	incurred to carry on all functions and activities of the special
305	district as now or hereafter provided by law and of the
306	indebtedness of the special district; also of the reserves for
307	contingencies and the balances, as hereinbefore provided, which
308	should be carried forward at the end of the year.
309	Section 4.  Section 129.021, Florida Statutes, is amended
310	to read:
311	129.021  County officer budget
312	information.--Notwithstanding other provisions of law, the
313	budgets of all county officers, as submitted to the board of
314	county commissioners, shall be in sufficient detail and contain
315	such information as the board of county commissioners may
316	require in furtherance of their powers and responsibilities
317	provided in ss. 125.01(1)(q) and (r) and (6), and 129.01(2)(b),
318	and 129.02(1) and (2).
319	Section 5.  Subsection (3) of section 129.03, Florida
320	Statutes, is amended to read:
321	129.03  Preparation and adoption of budget.--
322	(3)  No later than 21 15 days after certification of value
323	by the property appraiser pursuant to s. 200.065(1), the county
324	budget officer, after tentatively ascertaining the proposed
325	fiscal policies of the board for the ensuing fiscal year, shall
326	prepare and present to the board a tentative budget for the
327	ensuing fiscal year for each of the funds provided in this
328	chapter, including all estimated receipts, taxes to be levied,
329	and balances expected to be brought forward and all estimated
330	expenditures, reserves, and balances to be carried over at the
331	end of the year.
332	(a)  The board of county commissioners shall receive and
333	examine the tentative budget for each fund and, subject to the
334	notice and hearing requirements of s. 200.065, shall require
335	such changes to be made as it shall deem necessary; provided the
336	budget shall remain in balance. The county budget officer's
337	estimates of receipts other than taxes, and of balances to be
338	brought forward, shall not be revised except by a resolution of
339	the board, duly passed and spread on the minutes of the board.
340	However, the board may allocate to any of the funds of the
341	county any anticipated receipts, other than taxes levied for a
342	particular fund, except receipts designated or received to be
343	expended for a particular purpose.
344	(b)1.  Until the effective date of subparagraph 2., upon
345	receipt of the tentative budgets and completion of any revisions
346	made by the board, the board shall prepare a statement
347	summarizing all of the adopted tentative budgets. This summary
348	statement shall show, for each budget and the total of all
349	budgets, the proposed tax millages, the balances, the reserves,
350	and the total of each major classification of receipts and
351	expenditures, classified according to the classification of
352	accounts prescribed by the appropriate state agency. The county
353	shall make the summary statement available to county residents
354	by filing the statement with the clerk of the circuit court and
355	posting the statement prominently online if the county has a
356	website. The board shall cause this summary statement to be
357	advertised one time in a newspaper of general circulation
358	published in the county, or by posting with the clerk of the
359	circuit court at the courthouse door if there is no such
360	newspaper, and the advertisement shall appear adjacent to the
361	advertisement required pursuant to s. 200.065.
362	2.  Beginning with fiscal year 2018-2019, counties that
363	have received a Certificate of Achievement for Excellence in
364	Financial Reporting from the Government Finance Officers
365	Association shall make the Comprehensive Annual Financial Report
366	available to county residents by filing the report with the
367	clerk of the circuit court and posting the report prominently
368	online if the county has a website. Counties that have not
369	received a Certificate of Achievement for Excellence in
370	Financial Reporting shall continue to comply with the
371	requirements of subparagraph 1.
372	(c)  The board shall hold public hearings to adopt
373	tentative and final budgets pursuant to s. 200.065. The hearings
374	shall be primarily for the purpose of hearing requests and
375	complaints from the public regarding the budgets and the
376	proposed tax levies and for explaining the budget and proposed
377	or adopted amendments thereto, if any. The tentative budgets,
378	adopted tentative budgets, and final budgets shall be filed in
379	the office of the clerk of the circuit court county auditor as a
380	public record. For counties that have websites, the tentative
381	budgets and final budgets, as approved by the county commission,
382	shall be made available online when filed with the clerk of the
383	circuit court and shall remain online until the final budget is
384	adopted for the next fiscal year. Sufficient reference in words
385	and figures to identify the particular transactions shall be
386	made in the minutes of the board to record its actions with
387	reference to the budgets.
388	Section 6.  Section 166.241, Florida Statutes, is amended
389	to read:
390	166.241  Fiscal years, appropriations, budgets, and budget
391	amendments.--
392	(1)  As used in this section, the term:
393	(a)  "Fund" means a fiscal and accounting entity with a
394	self-balancing set of accounts that are recorded and segregated
395	to account for specific activities or to attain certain
396	objectives in accordance with applicable laws, special
397	regulations, restrictions, or limitations, in accordance with
398	generally accepted accounting principles.
399	(b)  "Object of expenditure" means the classification of
400	fund data by character of expenditure. The term "object of
401	expenditure" includes, but is not limited to, operating
402	expenditures or expenses, personal services, debt service,
403	capital outlay, grants, and transfers, in accordance with
404	generally accepted accounting principles.
405	(c)  "Spending entity," as designated by the municipality,
406	means any office, unit, department, board, commission, or
407	dependent special district which is responsible for any
408	particular expenditures.
409	(d)  "Unreserved undesignated fund balance" means any fund
410	balance remaining after accounting for all reserved and
411	designated general fund balances.
412	(2)(1)  Each municipality shall make provision for
413	establishing a fiscal year beginning October 1 of each year and
414	ending September 30 of the following year.
415	(3)(2)  The governing body of each municipality shall adopt
416	a budget each fiscal year. The budget shall must be adopted by
417	ordinance or resolution unless otherwise specified in the
418	respective municipality's charter. The amount available from
419	taxation and other sources, including amounts carried over from
420	prior fiscal years, must equal the total appropriations for
421	expenditures and reserves. The budget shall must regulate
422	expenditures of the municipality, and it is unlawful for any
423	officer of a municipal government to expend or contract for
424	expenditures in any fiscal year except in pursuance of budgeted
425	appropriations. The tentative budgets and final budgets,
426	approved by the governing body, shall be filed at a designated
427	public office within the boundaries of the municipality as a
428	public record. For municipalities that have websites, the
429	tentative budgets and final budgets, approved by the governing
430	body, shall be made available online when filed with the
431	designated public office and remain online until the final
432	budget is adopted for the next fiscal year.
433	(4)  Budgets that do not meet the Distinguished Budget
434	Presentation Award criteria established by the Government
435	Finance Officers Association and that exceed $1 million shall,
436	by fund and by spending entity within each fund for the fiscal
437	year, set forth the following:
438	(a)  All proposed budget expenditures summarized by the
439	object of expenditure to be undertaken or executed by any
440	spending entity during the fiscal year.
441	(b)  Anticipated revenues for the fiscal year.
442	(c)  Estimated beginning and ending fund balances.
443	(d)  The corresponding actual figures for the prior year,
444	current year budget or estimated current year actual, and
445	proposed budget for the next fiscal year consistent with the
446	basis of accounting used to prepare the budget.
447	(e)  Explanatory schedules or statements noting material
448	changes in proposed expenditures by spending entity.
449	(5)  A municipality shall prepare a written summary, not to
450	exceed 4 pages, describing the important features of the
451	proposed budget. The summary shall include an overview of the
452	municipality, a description of the previous fiscal year's
453	performance, a review of the current fiscal year's revenues and
454	expenditures, and an economic outlook and future challenges or
455	objectives description. The summary must include a statement of
456	the budgetary basis of accounting used and a description of the
457	services to be delivered during the fiscal year. The
458	municipality shall make the summary available to municipal
459	residents by posting the summary at a designated public office
460	within the boundaries of the municipality and posting the
461	summary prominently online if the municipality has a website.
462	(6)(a)  Municipalities that have received a Certificate of
463	Achievement for Excellence in Financial Reporting from the
464	Government Finance Officers Association shall make the
465	Comprehensive Annual Financial Report available to municipal
466	residents by posting the report at a designated public office
467	within the boundaries of the municipality and posting the report
468	prominently online if the municipality has a website.
469	(b)  Municipalities the budgets of which exceed $1 million
470	and that have not received a Certificate of Achievement for
471	Excellence in Financial Reporting from the Government Finance
472	Officers Association shall, upon receipt of the tentative
473	budgets of each spending entity and completion of any revisions
474	made by the municipality, prepare a statement summarizing all of
475	the adopted tentative budgets. This summary statement shall show
476	for each budget the total of all budgets, the proposed tax
477	millages, the balances, the reserves, and the total of each
478	major classification of receipts and expenditures, classified
479	according to the classification of accounts prescribed by the
480	appropriate state agency, and a brief explanation of any
481	material increase or decrease by spending entity. The
482	municipality shall make the summary statement available to
483	municipal residents by posting the statement at a designated
484	public office within the boundaries of the municipality and
485	posting the statement prominently online if the municipality has
486	a website.
487	(7)  The unreserved undesignated fund balance generated
488	during an individual fiscal year shall not exceed 20 percent of
489	operating revenues or 90 days of regular general fund operating
490	expenditures, whichever is greater, necessary to secure and
491	maintain credit ratings, meet seasonal shortfalls in cash flow,
492	and reduce susceptibility to emergency or unanticipated
493	expenditures or to address revenue shortfalls. Any remaining
494	unreserved undesignated fund balance generated during an
495	individual fiscal year shall not be used to increase recurring
496	expenditures within the budget, but shall be carried forward to
497	the next fiscal year in furtherance of the fund.
498	(8)(3)  The governing body of each municipality at any time
499	within a fiscal year or within up to 60 days following the end
500	of the fiscal year may amend a budget for that year as follows:
501	(a)  Appropriations for expenditures within a fund may be
502	decreased or increased by motion recorded in the minutes,
503	provided that the total of the appropriations of the fund is not
504	changed.
505	(b)  The governing body may establish procedures by which
506	the designated budget officer may authorize certain budget
507	amendments within a department, provided that the total of the
508	appropriations of the department is not changed.
509	(c)  If a budget amendment is required for a purpose not
510	specifically authorized in paragraph (a) or paragraph (b), the
511	budget amendment must be adopted in the same manner as the
512	original budget unless otherwise specified in the charter of the
513	respective municipality.
514	Section 7.  Section 189.418, Florida Statutes, is amended
515	to read:
516	189.418  Reports; budgets; audits.--
517	(1)  As used in this section, the term:
518	(a)  "Fund" means a fiscal and accounting entity with a
519	self-balancing set of accounts that are recorded and segregated
520	to account for specific activities or to attain certain
521	objectives in accordance with applicable laws, special
522	regulations, restrictions, or limitations, in accordance with
523	generally accepted accounting principles.
524	(b)  "Object of expenditure" means the classification of
525	fund data by character of expenditure. The term "object of
526	expenditure" includes, but is not limited to, operating
527	expenditures or expenses, personal services, debt service,
528	capital outlay, grants, and transfers, in accordance with
529	generally accepted accounting principles.
530	(c)  "Spending entity," as designated by the special
531	district, means any office, unit, department, board, commission,
532	or institution which is responsible for any particular
533	expenditures.
534	(d)  "Unreserved undesignated fund balance" means any fund
535	balance remaining after accounting for all reserved and
536	designated general fund balances.
537	(2)(1)  When a new special district is created, the
538	district must forward to the department, within 30 days after
539	the adoption of the special act, rule, ordinance, resolution, or
540	other document that provides for the creation of the district, a
541	copy of the document and a written statement that includes a
542	reference to the status of the special district as dependent or
543	independent and the basis for such classification. In addition
544	to the document or documents that create the district, the
545	district must also submit a map of the district, showing any
546	municipal boundaries that cross the district's boundaries, and
547	any county lines if the district is located in more than one
548	county. The department must notify the local government or other
549	entity and the district within 30 days after receipt of the
550	document or documents that create the district as to whether the
551	district has been determined to be dependent or independent.
552	(3)(2)  Any amendment, modification, or update of the
553	document by which the district was created, including changes in
554	boundaries, must be filed with the department within 30 days
555	after adoption. The department may initiate proceedings against
556	special districts as provided in s. 189.421 for failure to file
557	the information required by this subsection.
558	(4)(3)  The governing body of each special district shall
559	adopt a budget by resolution each fiscal year. The total amount
560	available from taxation and other sources, including amounts
561	carried over from prior fiscal years, must equal the total of
562	appropriations for expenditures and reserves. The adopted budget
563	must regulate expenditures of the special district, and it is
564	unlawful for any officer of a special district to expend or
565	contract for expenditures in any fiscal year except in pursuance
566	of budgeted appropriations. Budgets that exceed $250,000 in
567	revenues and that do not meet the Distinguished Budget
568	Presentation Award criteria established by the Government
569	Finance Officers Association shall, by fund and by spending
570	entity within each fund for the fiscal year, set forth the
571	following:
572	(a)  All proposed budget expenditures summarized by the
573	object of expenditure to be undertaken or executed by any
574	spending entity during the fiscal year.
575	(b)  Anticipated revenues for the fiscal year.
576	(c)  Estimated beginning and ending fund balances.
577	(d)  The corresponding actual figures for the prior year,
578	current year budget or estimated current year actual, and
579	proposed budget for the next fiscal year consistent with the
580	basis of accounting used to prepare the budget.
581	(e)  Explanatory schedules or statements noting material
582	changes in proposed expenditures by spending entity.
583	(5)  Special districts the budgets of which exceed
584	$250,000 in revenues shall prepare a written summary, not
585	to exceed 4 pages, describing the important features of the
586	proposed budget. The summary shall include an overview of
587	the special district, a description of the previous fiscal
588	year's performance, a review of the current fiscal year's
589	revenues and expenditures, and an economic outlook and
590	future challenges or objectives description. The summary
591	must include a statement of the budgetary basis of
592	accounting used and a description of the services to be
593	delivered during the fiscal year. The special district
594	shall make the summary available to district residents by
595	posting the summary at a designated public office within
596	the boundaries of the district, or, if a public office is
597	not available within the boundaries, by posting with a
598	public office close to the boundaries of the special
599	district. For special districts websites, the district
600	shall post the summary prominently online.
601	(6)  For budgets that exceed $250,000 in revenues,
602	tentative budgets and final budgets, approved by the governing
603	body, shall be filed as a public record at a designated public
604	office within the boundaries of the special district, or, if a
605	public office is not available within the boundaries, shall be
606	filed with a public office close to the boundaries of the
607	special district. For special districts that have websites,
608	tentative budgets and final budgets, approved by the governing
609	body, shall be made available online when filed with the
610	designated public office and remain online until the final
611	budget is adopted for the next fiscal year.
612	(7)(a)  Special districts that have received a Certificate
613	of Achievement for Excellence in Financial Reporting from the
614	Government Finance Officers Association shall make the
615	Comprehensive Annual Financial Report available to district
616	residents by posting the report at a designated public office
617	within the boundaries of the special district, or, if a public
618	office is not available within the boundaries, shall file the
619	report with a public office close to the boundaries of the
620	special district and post the report prominently online if the
621	district has a website.
622	(b)  Special districts the budgets of which exceed $250,000
623	in revenues and that have not received a Certificate of
624	Achievement for Excellence in Financial Reporting from the
625	Government Finance Officers Association shall, upon receipt of
626	the tentative budgets of each spending entity and completion of
627	any revisions made by the special district, prepare a statement
628	summarizing all of the adopted tentative budgets. This summary
629	statement shall show for each budget the total of all budgets,
630	the proposed tax millages, the balances, the reserves, and the
631	total of each major classification of receipts and expenditures,
632	classified according to the classification of accounts
633	prescribed by the appropriate state agency, and a brief
634	explanation of any material increase or decrease by spending
635	entity. The special district shall make the summary statement
636	available to district residents by posting at a designated
637	public office within the boundaries of the special district, or,
638	if a public office is not available within the boundaries, the
639	statement shall be filed with a public office close to the
640	boundaries of the special district and post the statement
641	prominently online if the district has a website.
642	(8)  The unreserved undesignated fund balance generated
643	during an individual fiscal year shall not exceed 20 percent of
644	operating revenues or 90 days of regular general fund operating
645	expenditures, whichever is greater, necessary to secure and
646	maintain credit ratings, meet seasonal shortfalls in cash flow,
647	and reduce susceptibility to emergency or unanticipated
648	expenditures or to address revenue shortfalls. Any remaining
649	unreserved undesignated fund generated during an individual
650	fiscal year balance shall not be used to increase recurring
651	expenditures within the budget, but shall be carried forward to
652	the next fiscal year in furtherance of the fund.
653	(9)(4)  The proposed budget of a dependent special district
654	shall be presented in accordance with generally accepted
655	accounting principles, contained within the general budget of
656	the local governing authority, and be clearly stated as the
657	budget of the dependent district. However, with the concurrence
658	of the local governing authority, a dependent district may be
659	budgeted separately.
660	(10)(5)  The governing body of each special district at any
661	time within a fiscal year or within up to 60 days following the
662	end of the fiscal year may amend a budget for that year. The
663	budget amendment must be adopted by resolution.
664	(11)(6)  A local governing authority may, in its
665	discretion, review the budget or tax levy of any special
666	district located solely within its boundaries.
667	(12)(7)  All reports or information required to be filed
668	with a local governing authority under ss. 189.415, 189.416, and
669	189.417 and this section shall:
670	(a)  When the local governing authority is a county, be
671	filed with the clerk of the board of county commissioners.
672	(b)  When the district is a multicounty district, be filed
673	with the clerk of the county commission in each county.
674	(c)  When the local governing authority is a municipality,
675	be filed at the place designated by the municipal governing
676	body.
677	Section 8.  Paragraphs (d) and (e) of subsection (3),
678	paragraph (c) of subsection (4), and paragraph (a) of subsection
679	(6) of section 373.536, Florida Statutes, are amended to read:
680	373.536  District budget and hearing thereon.--
681	(3)  BUDGET HEARINGS AND WORKSHOPS; NOTICE.--
682	(d)  As provided in s. 200.065(2)(d), the board shall
683	publish one or more notices of its intention to adopt a final
684	budget for the district for the ensuing fiscal year. The notice
685	shall appear adjacent to an advertisement that sets forth the
686	tentative budget in a format meeting the budget summary
687	requirements of s. 129.03(3)(b). The district shall not include
688	expenditures of federal special revenues and state special
689	revenues when preparing the statement required by s.
690	200.065(3)(l). The notice and advertisement shall be published
691	in one or more newspapers having a combined general paid
692	circulation in each county in which the district lies and the
693	advertisement shall be posted online if the district has a
694	website. Districts may include explanatory phrases and examples
695	in budget advertisements published under s. 200.065 to clarify
696	or illustrate the effect that the district budget may have on ad
697	valorem taxes.
698	(e)  In lieu of the advertisement setting forth the
699	tentative budget in a format meeting the budget summary
700	requirements of s. 129.03(3)(b), water management districts that
701	have received a Certificate of Achievement for Excellence in
702	Financial Reporting from the Government Finance Officers
703	Association shall cause the resulting Comprehensive Annual
704	Financial Report to be made available to district residents by
705	filing the report with the clerk of the circuit court of each
706	county within or partly within the district and by posting the
707	report prominently online if the district has a website. The
708	district shall also cause the website address of the report to
709	be advertised in one or more newspapers having a combined
710	general paid circulation in each county in which the district
711	lies, and the advertisement shall appear adjacent the
712	advertisement required pursuant to s. 200.065.
713	(f)(e)  The hearing for adoption of a final budget and
714	millage rate shall be by and before the governing board of the
715	district as provided in s. 200.065 and may be continued from day
716	to day until terminated by the board.
717	(4)  BUDGET CONTROLS.--
718	(c)  If Should the district receives receive unanticipated
719	funds after the adoption of the final budget, those funds shall
720	be treated as unreserved undesignated funds. Unanticipated
721	undesignated funds do not include federal revenues, state
722	special revenues, matching funds, or local government or utility
723	project funds. The unreserved undesignated fund balance, as
724	defined in s. 129.02(1), generated during an individual fiscal
725	year shall not exceed 20 percent of operating revenues or 90
726	days of regular general fund operating expenditures, whichever
727	is greater, necessary to secure and maintain credit ratings,
728	meet seasonal shortfalls in cash flow, and reduce susceptibility
729	to emergency or unanticipated expenditures or to address revenue
730	shortfalls. Any remaining unreserved undesignated fund balance
731	generated during an individual fiscal year shall not be used to
732	increase recurring expenditures within the budget, but shall be
733	carried forward to the next fiscal year in furtherance of the
734	fund. The final budget, except for unreserved undesignated
735	funds, may be amended by including unanticipated such funds, so
736	long as notice of intention to amend is published in the notice
737	of the governing board meeting at which the amendment will be
738	considered, pursuant to s. 120.525. The notice shall set forth a
739	summary of the proposed amendment. However, in the event of a
740	disaster or of an emergency arising to prevent or avert the
741	same, the governing board shall not be limited by the budget but
742	shall have authority to apply such funds as may be available
743	therefor or as may be procured for such purpose.
744	(6)  FINAL BUDGET; ANNUAL AUDIT; CAPITAL IMPROVEMENTS PLAN;
745	WATER RESOURCE DEVELOPMENT WORK PROGRAM.--
746	(a)  Each district must, by the date specified for each
747	item, furnish copies of the following documents to the Governor,
748	the President of the Senate, the Speaker of the House of
749	Representatives, the chairs of all legislative committees and
750	subcommittees having substantive or fiscal jurisdiction over the
751	districts, as determined by the President of the Senate or the
752	Speaker of the House of Representatives as applicable, the
753	secretary of the department, and the governing board of each
754	county in which the district has jurisdiction or derives any
755	funds for the operations of the district:
756	1.  The adopted budget, to be furnished within 10 days
757	after its adoption.
758	2.  A financial audit of its accounts and records, to be
759	furnished within 10 days after its acceptance by the governing
760	board. The audit must be conducted in accordance with the
761	provisions of s. 11.45 and the rules adopted thereunder. In
762	addition to the entities named above, the district must provide
763	a copy of the audit to the Auditor General within 10 days after
764	its acceptance by the governing board.
765	3.  A 5-year capital improvements plan, to be included in
766	the consolidated annual report required by s. 373.036(7). The
767	plan must include expected sources of revenue for planned
768	improvements and must be prepared in a manner comparable to the
769	fixed capital outlay format set forth in s. 216.043.
770	4.  A 5-year water resource development work program to be
771	furnished within 30 days after the adoption of the final budget.
772	The program must describe the district's implementation strategy
773	for the water resource development component of each approved
774	regional water supply plan developed or revised under s.
775	373.0361. The work program must address all the elements of the
776	water resource development component in the district's approved
777	regional water supply plans and must identify which projects in
778	the work program will provide water, explain how each water
779	resource development project will produce additional water
780	available for consumptive uses, estimate the quantity of water
781	to be produced by each project, and provide an assessment of the
782	contribution of the district's regional water supply plans in
783	providing sufficient water to meet the water supply needs of
784	existing and future reasonable-beneficial uses for a 1-in-10-
785	year drought event. Within 30 days after its submittal, the
786	department shall review the proposed work program and submit its
787	findings, questions, and comments to the district. The review
788	must include a written evaluation of the program's consistency
789	with the furtherance of the district's approved regional water
790	supply plans, and the adequacy of proposed expenditures. As part
791	of the review, the department shall give interested parties the
792	opportunity to provide written comments on each district's
793	proposed work program. Within 45 days after receipt of the
794	department's evaluation, the governing board shall state in
795	writing to the department which changes recommended in the
796	evaluation it will incorporate into its work program submitted
797	as part of the March 1 consolidated annual report required by s.
798	373.036(7) or specify the reasons for not incorporating the
799	changes. The department shall include the district's responses
800	in a final evaluation report and shall submit a copy of the
801	report to the Governor, the President of the Senate, and the
802	Speaker of the House of Representatives.
803	5.  The Comprehensive Annual Financial Report of water
804	management districts that have received a Certificate of
805	Achievement for Excellence in Financial Reporting from the
806	Government Finance Officers Association.
807	Section 9.  Subsection (1) of section 189.429, Florida
808	Statutes, is amended to read:
809	189.429  Codification.--
810	(1)  Each district, by December 1, 2004, shall submit to
811	the Legislature a draft codified charter, at its expense, so
812	that its special acts may be codified into a single act for
813	reenactment by the Legislature, if there is more than one
814	special act for the district. The Legislature may adopt a
815	schedule for individual district codification. Any codified act
816	relating to a district, which act is submitted to the
817	Legislature for reenactment, shall provide for the repeal of all
818	prior special acts of the Legislature relating to the district.
819	The codified act shall be filed with the department pursuant to
820	s. 189.418(3) 189.418(2).
821	Section 10.  Section 191.015, Florida Statutes, is amended
822	to read:
823	191.015  Codification.--Each fire control district existing
824	on the effective date of this section, by December 1, 2004,
825	shall submit to the Legislature a draft codified charter, at its
826	expense, so that its special acts may be codified into a single
827	act for reenactment by the Legislature, if there is more than
828	one special act for the district. The Legislature may adopt a
829	schedule for individual district codification. Any codified act
830	relating to a district, which act is submitted to the
831	Legislature for reenactment, shall provide for the repeal of all
832	prior special acts of the Legislature relating to the district.
833	The codified act shall be filed with the Department of Community
834	Affairs pursuant to s. 189.418(3) 189.418(2).
835	Section 11.  State government transparency; contracts.--
836	(1)  As used in this section, the term:
837	(a)  "Contract" means any legally binding agreement
838	executed by a reporting entity and a corporation or an
839	individual for the purchase of commodities or contractual
840	services which requires the expenditure of $25,000 or more. The
841	term excludes the contractual rights of state employees and
842	retirees who are members of the Florida Retirement System.
843	(b)  "Corporation" means all corporations registered to do
844	business in this state, whether for profit or not for profit;
845	foreign corporations qualified to do business in this state or
846	actually doing business in this state, whether for profit or not
847	for profit; limited liability companies under chapter 608,
848	Florida Statutes; partnerships under chapter 620, Florida
849	Statutes; a sole proprietorship as defined in s. 440.02, Florida
850	Statutes; or any other legal business entity, whether for profit
851	or not for profit.
852	(c)  "Expenditure" means a payment that a reporting entity
853	makes to a corporation or an individual under a contract.
854	(d)  "Individual" means a person, but excludes an employee
855	of a reporting entity or an employee of the Federal Government
856	while acting in the capacity as employee.
857	(e)  "Reporting entity" means any state officer,
858	department, board, commission, division, bureau, or council and
859	any other unit of organization, however designated, of the
860	executive branch of state government, and any water management
861	district, university or college board of trustees, and any state
862	university or college.
863	(2)  The Executive Office of the Governor is directed to
864	develop and maintain a portal linking to the reporting entity
865	contract expenditures report maintained by the Department of
866	Financial Services and required under this section.
867	(3)(a)  The Department of Financial Services is directed to
868	develop and maintain a contract expenditures report that
869	provides the following information:
870	1.  The name of the reporting entity that is a party to a
871	contract;
872	2.  The name of each corporation or individual who is a
873	party to a contract and whether the corporation is a minority
874	business enterprise as defined in s. 288.703, Florida Statutes;
875	3.  The date, amount, and purpose of the contract; and
876	4.  Each expenditure made under the contract.
877	(b)  The contract expenditures report must be maintained by
878	the department in a searchable website containing a navigation
879	bar that allows an individual having Internet access to search
880	for expenditure reports by governmental function, reporting
881	entity, or appropriation category.
882	(4)(a)  Each reporting entity, excluding water management
883	districts, university and college boards of trustees, and the
884	state universities and colleges, shall record each contract
885	executed between the reporting entity and a corporation or an
886	individual and each payment made under the contract along with
887	the contract number in the department's Florida Accounting and
888	Information Resources contract subsystem as provided in s.
889	215.94(2), Florida Statutes.
890	(b)  To the extent possible, each reporting entity shall
891	provide a link to an electronic copy of the contract. The
892	portion of a public record which is confidential or exempt from
893	inspection and copying shall be redacted prior to posting.
894	Section 12.  This act shall take effect upon becoming a law
895	and shall apply to the 2008-2009 fiscal year and each fiscal
896	year thereafter.

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