1

A bill to be entitled

2

An act relating to economic development; creating s.

3

11.9006, F.S.; providing a short title; providing

4

definitions; creating the Small Business Regulatory

5

Advisory Council; providing for appointments, membership,

6

and meetings; providing an administrative location for the

7

council; providing powers and limitations of the council;

8

providing for coordinated review of agency rules by the

9

council, with agency sunset review; providing timelines

10

for review; providing for the council to issue a business-

11

friendly scorecard of agency rules; creating s. 11.9007,

12

F.S.; providing definitions; providing for selection of

13

small business advocate; providing for preferred

14

qualifications of the advocate; providing duties of the

15

advocate; providing for agency cooperation with the

16

advocate; providing for an annual report by the advocate

17

to the Governor and Legislature; amending s. 11.908, F.S.;

18

requiring report of the Small Business Regulatory Advisory

19

Council to be included in recommendations of Joint

20

Legislative Sunset Committee; amending s. 11.919, F.S.;

21

requiring agency assistance to the Small Business

22

Regulatory Advisory Council; authorizing the council to

23

inspect agency documents; amending s. 120.54, F.S.;

24

requiring state agencies to prepare statements of

25

estimated regulatory costs; requiring agency notification

26

to Small Business Regulatory Advisory Council relating to

27

proposed agency action affecting small businesses;

28

requiring the agency to adopt regulatory alternatives

29

offered by the council under certain circumstances;

30

providing for a rule-filing extension when regulatory

31

alternatives are offered by the council; providing for

32

outside review of regulatory alternatives not adopted by

33

the agency and for agency response; amending s. 120.74,

34

F.S.; requiring biennial rule review by each agency to

35

consider the impact of rules on small businesses;

36

requiring that the results be included in report to

37

Legislature; providing an effective date.

38

39

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

40

41

     Section 1.  Section 11.9006, Florida Statutes, is created to

42

read:

43

     11.9006 Small Business Regulatory Advisory Council.--

44

     (1) SHORT TITLE.--This section may be cited as the "Small

45

Business Regulatory Relief Act."

46

     (2) DEFINITIONS.--As used in this section:

47

     (a) "Agency" means an agency as defined in s. 120.52.

48

     (b) "Council" means the Small Business Regulatory Advisory

49

Council.

50

     (c) "Rule" means a rule as defined by s. 120.52.

51

     (d) "Small business" means a small business as defined in

52

s. 288.703.

53

     (3) CREATION OF SMALL BUSINESS REGULATORY ADVISORY COUNCIL;

54

MEMBERSHIP; POWERS AND DUTIES.--

55

     (a) The Small Business Regulatory Advisory Council is

56

created. The council shall consist of nine members who are

57

current or former small business owners, three appointed by the

58

Governor and three each appointed by the President of the Senate

59

and the Speaker of the House of Representatives. The initial

60

appointments to the council must be made within 60 days from the

61

effective date of this act. The members shall be from different

62

geographic regions of the state. Members shall serve 4-year

63

terms; however in order to establish staggered terms, for the

64

initial appointments, each appointing official shall appoint one

65

member to a 2-year term and two members to a 4-year term. A

66

member shall not serve more than three consecutive terms. Members

67

shall select the chairperson from among the members of the

68

council. The council shall meet quarterly or upon the call of the

69

chairperson. A majority of the members constitutes a quorum for

70

the conduct of business. Members of the council shall serve

71

without compensation. The appointing official may remove his or

72

her appointee without cause at any time. A member whose term has

73

expired shall continue to serve on the council until such time as

74

a replacement is appointed. Vacancies shall be filled for the

75

remainder of the term and by the original appointing official.

76

     (b) The council is established, assigned to, and

77

administratively housed within the Florida Small Business

78

Development Center Network, which shall provide staff support to

79

the council.

80

     (c) The council may:

81

     1. Provide agencies with recommendations regarding proposed

82

rules or programs that may adversely affect small business;

83

     2. Consider requests from small business owners to review

84

rules or programs adopted by an agency;

85

     3. Consider requests from small business owners to review

86

small business owners' private property rights related to rules

87

or programs adopted or implemented by an agency; and

88

     4. Review rules promulgated by an agency to determine

89

whether a rule places an unnecessary burden on small business and

90

make recommendations to the agency to mitigate the adverse

91

effects.

92

     (d) The council does not have authority to:

93

     1. Initiate or intervene in any administrative or judicial

94

proceeding; or

95

     2. Issue subpoenas.

96

     (e) The council shall prepare and submit a written annual

97

report to the Governor, the President of the Senate, and the

98

Speaker of the House of Representatives that describes the

99

activities and recommendations of the council.

100

     (4) PERIODIC REVIEW OF RULES.--

101

     (a) In coordination with the Sunset Review schedule provided

102

in s. 11.905, the council may review rules of agencies subject to

103

sunset review to determine whether the rules should be continued

104

without change or should be amended or repealed to reduce the

105

impact of the rules on small businesses, subject to the

106

requirement that the recommendations of the council must be

107

feasible and consistent with the stated objectives of the rules.

108

     (b) In reviewing agency rules to reduce the impact on small

109

businesses, the council, in coordination with the agency, shall

110

consider the following factors:

111

     1. Continued need for the rule;

112

     2. The nature of complaints or comments received from the

113

public concerning the rule;

114

     3. The complexity of the rule;

115

     4. The extent to which the rule overlaps, duplicates or

116

conflicts with other federal, state and local government rules;

117

and

118

     5. The length of time since the rule has been evaluated or

119

the degree to which technology, economic conditions or other

120

factors have changed in the topical area affected by the rule.

121

     (c) Within 6 months after the agency report is submitted to

122

the Joint Legislative Sunset Committee pursuant to s. 11.907, the

123

council shall provide a report to the Governor, the President of

124

the Senate, the Speaker of the House of Representatives, and the

125

Joint Legislative Sunset Committee that includes recommendations

126

and evaluations of agency rules and programs regarding regulatory

127

fairness for small businesses. A component of the report shall be

128

a rating system, developed by the council, entitled "Small

129

Business Friendliness and Development Scorecard."

130

     Section 2.  Section 11.9007, Florida Statutes, is created to

131

read:

132

     11.9007 SMALL BUSINESS ADVOCATE.--

133

     (1) DEFINITIONS.--

134

     (a) "Advocate" means the Florida Small Business Advocate

135

who is also the director of the Office of Small Business

136

Advocate.

137

     (b) "Director" means the director of the Office of Small

138

Business Advocate.

139

     (c) "Office" means the Office of Small Business Advocate.

140

     (2) The Office of Small Business Advocate is established,

141

assigned to, and administratively housed within the Florida Small

142

Business Development Center Network. The director shall be the

143

Florida Small Business Advocate.

144

     (3) DIRECTOR OF THE OFFICE OF SMALL BUSINESS ADVOCATE;

145

APPOINTMENT; DUTIES.--

146

     (a) The advocate shall be selected by the director of the

147

Florida Small Business Development Center Network, and shall be

148

an employee of or under contract with the Florida Small Business

149

Development Center Network. Preferred qualifications for the

150

advocate will include at least 5 years' experience in small

151

business, extensive knowledge of the issues and challenges of

152

importance to small business, and actual experience in small

153

business advocacy and assistance.

154

     (b) The duties and functions of the advocate include all of

155

the following:

156

     1. Act as staff for the Small Business Regulatory Advisory

157

Council.

158

     2. Serve as principal advocate in the state on behalf of

159

small businesses, including, but not limited to, advisory

160

participation in the consideration of all legislation and

161

administrative rules that affect small businesses, and advocacy

162

on state policy and programs related to small businesses on

163

disaster preparedness and recovery, including the provision

164

technical assistance.

165

     3. Represent the views and interests of small businesses

166

before agencies whose policies and activities may affect small

167

businesses. Among other activities, the advocate may encourage

168

standardized applications and information packages that would

169

include all the information needed by each agency that a business

170

has to deal with to prevent an applicant from having to fill out

171

duplicative information on forms from various agencies.

172

     4. Enlist the cooperation and assistance of public and

173

private agencies, businesses, and other organizations in

174

disseminating information about the programs and services

175

provided by all levels of government which are of benefit to

176

small businesses, and information on how small businesses can

177

participate in, or make use of, those programs and services.

178

     5. Issue a report every 2 years evaluating the efforts of

179

agencies that significantly regulate small businesses, assist

180

minority and other small business enterprises, and make

181

recommendations that may be appropriate to assist the development

182

and strengthening of minority and other small business

183

enterprises.

184

     6. Consult with experts and authorities in the fields of

185

small business investment, venture capital investment, and

186

commercial banking and other comparable finance institutions

187

involved in the financing of business, and with individuals who

188

have regulatory, legal, economic, or financial expertise,

189

including members of the academic community and individuals who

190

generally represent the public interest.

191

     7. Seek the assistance and cooperation of all agencies and

192

departments providing services to, or affecting, small business,

193

to ensure coordination of state efforts.

194

     8. Receive and respond to complaints from small businesses

195

concerning the actions of agencies and the operative effects of

196

state laws and rules adversely affecting those businesses. The

197

advocate shall establish an annual process for small businesses

198

to nominate agency rules or programs for reform. The advocate

199

shall publish those nominations online and update the status of

200

agency action on the proposed reforms twice yearly.

201

     9. Counsel small businesses on how to resolve questions and

202

problems concerning the relationship of small business to state

203

government.

204

     10. Maintain, publicize, and distribute an annual list of

205

any persons serving as small business ombudsmen throughout state

206

government.

207

     11. Coordinate a statewide conference on small business

208

with public and private organizations and entities impacting

209

small business in the state.

210

     12. Coordinate annual public meetings to share best

211

practices for small business disaster preparedness. The meetings

212

shall be held in consultation with regional and statewide small

213

business organizations and shall take place in different

214

locations throughout the state.

215

     (4) REPORTS AND DOCUMENTS FURNISHED TO SMALL BUSINESS

216

ADVOCATE; ANNUAL REPORTS.--

217

     (a) Each agency of the state shall furnish to the advocate

218

the reports, documents, and information that are public records

219

and that the director deems necessary to carry out his or her

220

functions under this chapter.

221

     (b) The advocate shall prepare and submit a written annual

222

report to the Governor, the President of the Senate, and the

223

Speaker of the House of Representatives which describes the

224

activities and recommendations of the office.

225

     Section 3.  Subsection (2) of section 11.908, Florida

226

Statutes, is amended to read:

227

     11.908  Committee duties.--No later than March 1 of the year

228

in which a state agency or its advisory committees are scheduled

229

to be reviewed, the committee shall and the joint committee may:

230

     (2) Consult with the Legislative Budget Commission, the

231

Small Business Regulatory Advisory Council, relevant substantive

232

and appropriations committees of the Senate and the House of

233

Representatives, the Governor's Office of Policy and Budgeting,

234

the Auditor General, and the Chief Financial Officer, or their

235

successors, relating to the review of the agency and its advisory

236

committees.

237

     Section 4.  Paragraph (a) of subsection (2) of section

238

11.911, Florida Statutes, is amended to read:

239

     11.911  Committee recommendations.--

240

     (2)  In its report on a state agency, the joint committee

241

shall:

242

     (a)  Make recommendations on the abolition, continuation, or

243

reorganization of each state agency and its advisory committees

244

and on the need for the performance of the functions of the

245

agency and its advisory committees. If the committee recommends

246

continuation or reorganization, the committee shall include in

247

its recommendations the report of the Small Business Regulatory

248

Advisory Council, as provided in s. 11.9006, regarding the rules

249

of each agency.

250

     Section 5.  Section 11.919, Florida Statutes, is amended to

251

read:

252

     11.919  Assistance of and access to state agencies.--

253

     (1) The committee and the Small Business Regulatory

254

Advisory Council may access or request information and request

255

the assistance of state agencies and officers. When assistance is

256

requested, a state agency or officer shall assist the committee

257

and the Small Business Regulatory Advisory Council.

258

     Section 6.  Paragraph (b) of subsection (3) of section

259

120.54, Florida Statutes, is amended to read:

260

     120.54  Rulemaking.--

261

     (3)  ADOPTION PROCEDURES.--

262

     (b)  Special matters to be considered in rule adoption.--

263

     1.  Statement of estimated regulatory costs.--Prior to the

264

adoption, amendment, or repeal of any rule other than an

265

emergency rule, an agency is encouraged to prepare a statement of

266

estimated regulatory costs of the proposed rule, as provided by

267

s. 120.541. However, an agency shall prepare a statement of

268

estimated regulatory costs of the proposed rule, as provided by

269

s. 120.541, if the proposed rule will have an impact on small

270

business.

271

     2.  Small businesses, small counties, and small cities.--

272

     a.  Each agency, before the adoption, amendment, or repeal

273

of a rule, shall consider the impact of the rule on small

274

businesses as defined by s. 288.703 and the impact of the rule on

275

small counties or small cities as defined by s. 120.52. Whenever

276

practicable, an agency shall tier its rules to reduce

277

disproportionate impacts on small businesses, small counties, or

278

small cities to avoid regulating small businesses, small

279

counties, or small cities that do not contribute significantly to

280

the problem the rule is designed to address. An agency may define

281

"small business" to include businesses employing more than 100

282

persons, may define "small county" to include those with

283

populations of more than 75,000, and may define "small city" to

284

include those with populations of more than 10,000, if it finds

285

that such a definition is necessary to adapt a rule to the needs

286

and problems of small businesses, small counties, or small

287

cities. The agency shall consider each of the following methods

288

for reducing the impact of the proposed rule on small businesses,

289

small counties, and small cities, or any combination of these

290

entities:

291

     (I)  Establishing less stringent compliance or reporting

292

requirements in the rule.

293

     (II)  Establishing less stringent schedules or deadlines in

294

the rule for compliance or reporting requirements.

295

     (III)  Consolidating or simplifying the rule's compliance or

296

reporting requirements.

297

     (IV)  Establishing performance standards or best-management

298

practices to replace design or operational standards in the rule.

299

     (V)  Exempting small businesses, small counties, or small

300

cities from any or all requirements of the rule.

301

     b.(I)  If the agency determines that the proposed action

302

will affect small businesses as defined by the agency as provided

303

in sub-subparagraph a., the agency shall send written notice of

304

the rule to the Small Business Regulatory Advisory Council at

305

least ombudsman of the Office of Tourism, Trade, and Economic

306

Development not less than 28 days prior to the intended action.

307

     (II)  Each agency shall adopt those regulatory alternatives

308

offered by the Small Business Regulatory Advisory Council

309

ombudsman and provided to the agency no later than 21 days after

310

the council's ombudsman's receipt of the written notice of the

311

rule which it finds are feasible and consistent with the stated

312

objectives of the proposed rule and which would reduce the impact

313

on small businesses. When regulatory alternatives are offered by

314

the council Small Business ombudsman, the 90-day period for

315

filing the rule in subparagraph (e)2. is extended for a period of

316

21 days.

317

     (III)  If an agency does not adopt all alternatives offered

318

pursuant to this sub-subparagraph, it shall, prior to rule

319

adoption or amendment and pursuant to subparagraph (d)1., file a

320

detailed written statement with the committee explaining the

321

reasons for failure to adopt such alternatives. Within 3 working

322

days of the filing of such notice, the agency shall send a copy

323

of such notice to the Small Business Regulatory Advisory Council

324

ombudsman. The council may make a request of the President of the

325

Senate and the Speaker of the House of Representatives that the

326

presiding officers direct the Office of Program Policy Analysis

327

and Government Accountability to determine whether the rejected

328

alternatives reduce the impact on small business while meeting

329

the stated objectives of the proposed rule. Within 60 days after

330

the date of the directive from the presiding officers, the Office

331

of Program Policy Analysis and Government Accountability shall

332

report to the Administrative Procedures Committee its findings as

333

to whether an alternative reduces the impact on small business

334

while meeting the stated objectives of the proposed rule. The

335

Office of Program Policy Analysis and Government Accountability

336

shall consider the proposed rule, the economic impact statement,

337

the written statement of the agency, the proposed alternatives,

338

and any comment submitted during the comment period on the

339

proposed rule. The Administrative Procedures Committee shall

340

report such findings to the agency and the agency shall respond

341

in writing to the Administrative Procedures Committee if the

342

Office of Program Policy Analysis and Government Accountability

343

found that the alternative reduced the impact on small business

344

while meeting the stated objectives of the proposed rule. If the

345

agency does not adopt the alternative, it must also provide a

346

detailed written statement to the Administrative Procedures

347

Committee as to why it will not adopt the alternative.

348

     Section 7.  Subsection (1) of section 120.74, Florida

349

Statutes, is amended to read:

350

     120.74  Agency review, revision, and report.--

351

     (1)  Each agency shall review and revise its rules as often

352

as necessary to ensure that its rules are correct and comply with

353

statutory requirements. Additionally, each agency shall perform a

354

formal review of its rules every 2 years. In the review, each

355

agency must:

356

     (a)  Identify and correct deficiencies in its rules;

357

     (b)  Clarify and simplify its rules;

358

     (c)  Delete obsolete or unnecessary rules;

359

     (d)  Delete rules that are redundant of statutes;

360

     (e)  Seek to improve efficiency, reduce paperwork, or

361

decrease costs to government and the private sector; and

362

     (f)  Contact agencies that have concurrent or overlapping

363

jurisdiction to determine whether their rules can be coordinated

364

to promote efficiency, reduce paperwork, or decrease costs to

365

government and the private sector; and.

366

     (g) Determine whether the rules should be continued without

367

change or should be amended or repealed to reduce the impact on

368

small business while meeting the stated objectives of the

369

proposed rule.

370

     (2)  Beginning October 1, 1997, and by October 1 of every

371

other year thereafter, the head of each agency shall file a

372

report with the President of the Senate, the Speaker of the House

373

of Representatives, and the committee, with a copy to each

374

appropriate standing committee of the Legislature, which

375

certifies that the agency has complied with the requirements of

376

this subsection. The report must specify any changes made to its

377

rules as a result of the review and, when appropriate, recommend

378

statutory changes that will promote efficiency, reduce paperwork,

379

or decrease costs to government and the private sector. The

380

report must specifically address the economic impact of the rules

381

on small business. The report must identify the types of cases or

382

disputes in which the agency is involved which should be

383

conducted under the summary hearing process described in s.

384

120.574.

385

     Section 8.  This act shall take effect July 1, 2008.