Florida Senate - 2009 SB 1344
By Senator Bennett
21-01748-09 20091344__
1 A bill to be entitled
2 An act relating to the My Safe Florida Home Program;
3 amending s. 215.5586, F.S.; authorizing condominium
4 unit owners to apply for program grants to retrofit
5 their properties to make them less vulnerable to
6 hurricane damage; providing funding; providing
7 additional legislative intent; providing an effective
8 date.
9
10 Be It Enacted by the Legislature of the State of Florida:
11
12 Section 1. Section 215.5586, Florida Statutes, as amended
13 by chapter 2009-10, Laws of Florida, is amended to read:
14 215.5586 My Safe Florida Home Program.—There is established
15 within the Department of Financial Services the My Safe Florida
16 Home Program. The department shall provide fiscal
17 accountability, contract management, and strategic leadership
18 for the program, consistent with this section. This section does
19 not create an entitlement for property owners or obligate the
20 state in any way to fund the inspection or retrofitting of
21 residential property in this state. Implementation of this
22 program is subject to annual legislative appropriations. It is
23 the intent of the Legislature that the My Safe Florida Home
24 Program provide inspections for at least 400,000 site-built,
25 single-family, residential properties and provide grants to at
26 least 35,000 applicants before June 30, 2009. It is the intent
27 of the Legislature that the My Safe Florida Home Program provide
28 grants for as many condominium unit applicants as funding will
29 allow before June 30, 2011. The program shall develop and
30 implement a comprehensive and coordinated approach for hurricane
31 damage mitigation that shall include the following:
32 (1) HURRICANE MITIGATION INSPECTIONS.—
33 (a) Free home-retrofit inspections of site-built, single
34 family, residential property shall be offered throughout the
35 state to determine what mitigation measures are needed, what
36 insurance premium discounts may be available, and what
37 improvements to existing residential properties are needed to
38 reduce the property's vulnerability to hurricane damage. The
39 Department of Financial Services shall contract with wind
40 certification entities to provide free hurricane mitigation
41 inspections. The inspections provided to homeowners, at a
42 minimum, must include:
43 1. A home inspection and report that summarizes the results
44 and identifies recommended improvements a homeowner may take to
45 mitigate hurricane damage.
46 2. A range of cost estimates regarding the recommended
47 mitigation improvements.
48 3. Insurer-specific information regarding premium discounts
49 correlated to the current mitigation features and the
50 recommended mitigation improvements identified by the
51 inspection.
52 4. A hurricane resistance rating scale specifying the
53 home's current as well as projected wind resistance
54 capabilities. As soon as practical, the rating scale must be the
55 uniform home grading scale adopted by the Financial Services
56 Commission pursuant to s. 215.55865.
57 (b) To qualify for selection by the department as a wind
58 certification entity to provide hurricane mitigation
59 inspections, the entity shall, at a minimum, meet the following
60 requirements:
61 1. Use hurricane mitigation inspectors who:
62 a. Are certified as a building inspector under s. 468.607;
63 b. Are licensed as a general or residential contractor
64 under s. 489.111;
65 c. Are licensed as a professional engineer under s. 471.015
66 and who have passed the appropriate equivalency test of the
67 Building Code Training Program as required by s. 553.841;
68 d. Are licensed as a professional architect under s.
69 481.213; or
70 e. Have at least 2 years of experience in residential
71 construction or residential building inspection and have
72 received specialized training in hurricane mitigation
73 procedures. Such training may be provided by a class offered
74 online or in person.
75 2. Use hurricane mitigation inspectors who also:
76 a. Have undergone drug testing and level 2 background
77 checks pursuant to s. 435.04. The department may conduct
78 criminal record checks of inspectors used by wind certification
79 entities. Inspectors must submit a set of the fingerprints to
80 the department for state and national criminal history checks
81 and must pay the fingerprint processing fee set forth in s.
82 624.501. The fingerprints shall be sent by the department to the
83 Department of Law Enforcement and forwarded to the Federal
84 Bureau of Investigation for processing. The results shall be
85 returned to the department for screening. The fingerprints shall
86 be taken by a law enforcement agency, designated examination
87 center, or other department-approved entity; and
88 b. Have been certified, in a manner satisfactory to the
89 department, to conduct the inspections.
90 3. Provide a quality assurance program including a
91 reinspection component.
92 (c) The department shall implement a quality assurance
93 program that includes a statistically valid number of
94 reinspections.
95 (d) An application for an inspection must contain a signed
96 or electronically verified statement made under penalty of
97 perjury that the applicant has submitted only a single
98 application for that home.
99 (e) The owner of a site-built, single-family, residential
100 property may apply for and receive an inspection without also
101 applying for a grant pursuant to subsection (2) and without
102 meeting the requirements of paragraph (2)(a).
103 (2) MITIGATION GRANTS.—Financial grants shall be used to
104 encourage single-family, site-built, owner-occupied, residential
105 property owners, and condominium unit owners as defined in s.
106 718.103(28), to retrofit their properties to make them less
107 vulnerable to hurricane damage.
108 (a) To be eligible for a grant for persons who have
109 obtained a completed inspection after May 1, 2007, a residential
110 property or condominium unit as defined in s. 718.103(27) must:
111 1. Have been granted a homestead exemption under chapter
112 196.
113 2. Be a dwelling with an insured value of $300,000 or less.
114 Homeowners who are low-income persons, as defined in s.
115 420.0004(10), are exempt from this requirement.
116 3. Have undergone an acceptable hurricane mitigation
117 inspection.
118 4. Be located in the “wind-borne debris region” as that
119 term is defined in s. 1609.2, International Building Code
120 (2006).
121 5. Be a home for which the building permit application for
122 initial construction was made before March 1, 2002.
123 An application for a grant must contain a signed or
124 electronically verified statement made under penalty of perjury
125 that the applicant has submitted only a single application and
126 must have attached documents demonstrating the applicant meets
127 the requirements of this paragraph.
128 (b) All grants must be matched on a dollar-for-dollar basis
129 for a total of $10,000 for the actual cost of the mitigation
130 project with the state's contribution not to exceed $5,000.
131 (c) The program shall create a process in which contractors
132 agree to participate and homeowners select from a list of
133 participating contractors. All mitigation must be based upon the
134 securing of all required local permits and inspections and must
135 be performed by properly licensed contractors. Mitigation
136 projects are subject to random reinspection of up to at least 5
137 percent of all projects. Hurricane mitigation inspectors
138 qualifying for the program may also participate as mitigation
139 contractors as long as the inspectors meet the department's
140 qualifications and certification requirements for mitigation
141 contractors.
142 (d) Matching fund grants shall also be made available to
143 local governments and nonprofit entities for projects that will
144 reduce hurricane damage to single-family, site-built, owner
145 occupied, residential property and to condominium units meeting
146 the criteria described in paragraph (a). The department shall
147 liberally construe those requirements in favor of availing the
148 state of the opportunity to leverage funding for the My Safe
149 Florida Home Program with other sources of funding.
150 (e) When recommended by a hurricane mitigation inspection,
151 grants may be used for the following improvements only:
152 1. Opening protection.
153 2. Exterior doors, including garage doors.
154 3. Brace gable ends.
155 The department may require that improvements be made to all
156 openings, including exterior doors and garage doors, as a
157 condition of reimbursing a homeowner approved for a grant.
158 (f) Grants may be used on a previously inspected existing
159 structure or on a rebuild. A rebuild is defined as a site-built,
160 single-family dwelling under construction to replace a home that
161 was destroyed or significantly damaged by a hurricane and deemed
162 unlivable by a regulatory authority. The homeowner must be a
163 low-income homeowner as defined in paragraph (g), must have had
164 a homestead exemption for that home prior to the hurricane, and
165 must be intending to rebuild the home as that homeowner's
166 homestead.
167 (g) Low-income homeowners, as defined in s. 420.0004(10),
168 who otherwise meet the requirements of paragraphs (a), (c), (e),
169 and (f) are eligible for a grant of up to $5,000 and are not
170 required to provide a matching amount to receive the grant.
171 Additionally, for low-income homeowners, grant funding may be
172 used for repair to existing structures leading to any of the
173 mitigation improvements provided in paragraph (e), limited to 20
174 percent of the grant value. The program may accept a
175 certification directly from a low-income homeowner that the
176 homeowner meets the requirements of s. 420.0004(10) if the
177 homeowner provides such certification in a signed or
178 electronically verified statement made under penalty of perjury.
179 (h) The department shall establish objective, reasonable
180 criteria for prioritizing grant applications, consistent with
181 the requirements of this section.
182 (i) The department shall develop a process that ensures the
183 most efficient means to collect and verify grant applications to
184 determine eligibility and may direct hurricane mitigation
185 inspectors to collect and verify grant application information
186 or use the Internet or other electronic means to collect
187 information and determine eligibility.
188 (3) EDUCATION AND CONSUMER AWARENESS.—The department may
189 undertake a statewide multimedia public outreach and advertising
190 campaign to inform consumers of the availability and benefits of
191 hurricane inspections and of the safety and financial benefits
192 of residential hurricane damage mitigation. The department may
193 seek out and use local, state, federal, and private funds to
194 support the campaign.
195 (4) ADVISORY COUNCIL.—There is created an advisory council
196 to provide advice and assistance to the department regarding
197 administration of the program. The advisory council shall
198 consist of:
199 (a) A representative of lending institutions, selected by
200 the Financial Services Commission from a list of at least three
201 persons recommended by the Florida Bankers Association.
202 (b) A representative of residential property insurers,
203 selected by the Financial Services Commission from a list of at
204 least three persons recommended by the Florida Insurance
205 Council.
206 (c) A representative of home builders, selected by the
207 Financial Services Commission from a list of at least three
208 persons recommended by the Florida Home Builders Association.
209 (d) A faculty member of a state university, selected by the
210 Financial Services Commission, who is an expert in hurricane
211 resistant construction methodologies and materials.
212 (e) Two members of the House of Representatives, selected
213 by the Speaker of the House of Representatives.
214 (f) Two members of the Senate, selected by the President of
215 the Senate.
216 (g) The Chief Executive Officer of the Federal Alliance for
217 Safe Homes, Inc., or his or her designee.
218 (h) The senior officer of the Florida Hurricane Catastrophe
219 Fund.
220 (i) The executive director of Citizens Property Insurance
221 Corporation.
222 (j) The director of the Division of Emergency Management of
223 the Department of Community Affairs.
224 Members appointed under paragraphs (a)-(d) shall serve at the
225 pleasure of the Financial Services Commission. Members appointed
226 under paragraphs (e) and (f) shall serve at the pleasure of the
227 appointing officer. All other members shall serve voting ex
228 officio. Members of the advisory council shall serve without
229 compensation but may receive reimbursement as provided in s.
230 112.061 for per diem and travel expenses incurred in the
231 performance of their official duties.
232 (5) FUNDING.—
233 (a) The department may seek out and leverage local, state,
234 federal, or private funds to enhance the financial resources of
235 the program.
236 (b) Funding, not to exceed $10 million annually, shall be
237 provided from the Division of Florida Condominiums, Timeshares,
238 and Mobile Homes Trust Fund for grants for the retrofitting of
239 condominium units meeting the criteria described in paragraph
240 (2)(a).
241 (6) RULES.—The Department of Financial Services shall adopt
242 rules pursuant to ss. 120.536(1) and 120.54 to govern the
243 program; implement the provisions of this section; including
244 rules governing hurricane mitigation inspections, mitigation
245 contractors, and training of inspectors and contractors; and
246 carry out the duties of the department under this section.
247 (7) HURRICANE MITIGATION INSPECTOR LIST.—The department
248 shall develop and maintain as a public record a current list of
249 hurricane mitigation inspectors authorized to conduct hurricane
250 mitigation inspections pursuant to this section.
251 (8) NO-INTEREST LOANS.—The department shall implement a no
252 interest loan program by October 1, 2008, contingent upon the
253 selection of a qualified vendor and execution of a contract
254 acceptable to the department and the vendor. The department
255 shall enter into partnerships with the private sector to provide
256 loans to owners of site-built, single-family, residential
257 property to pay for mitigation measures listed in subsection
258 (2). A loan eligible for interest payments pursuant to this
259 subsection may be for a term of up to 3 years and cover up to
260 $5,000 in mitigation measures. The department shall pay the
261 creditor the market rate of interest using funds appropriated
262 for the My Safe Florida Home Program. In no case shall the
263 department pay more than the interest rate set by s. 687.03. To
264 be eligible for a loan, a loan applicant must first obtain a
265 home inspection and report that specifies what improvements are
266 needed to reduce the property's vulnerability to windstorm
267 damage pursuant to this section and meet loan underwriting
268 requirements set by the lender. The department may adopt rules
269 pursuant to ss. 120.536(1) and 120.54 to implement this
270 subsection which may include eligibility criteria.
271 (9) PUBLIC OUTREACH FOR CONTRACTORS AND REAL ESTATE BROKERS
272 AND SALES ASSOCIATES.—The program shall develop brochures for
273 distribution to general contractors, roofing contractors, and
274 real estate brokers and sales associates licensed under part I
275 of chapter 475 explaining the benefits to homeowners of
276 residential hurricane damage mitigation. The program shall
277 encourage contractors to distribute the brochures to homeowners
278 at the first meeting with a homeowner who is considering
279 contracting for home or roof repairs or contracting for the
280 construction of a new home. The program shall encourage real
281 estate brokers and sales associates licensed under part I of
282 chapter 475 to distribute the brochures to clients prior to the
283 purchase of a home. The brochures may be made available
284 electronically.
285 (10) CONTRACT MANAGEMENT.—The department may contract with
286 third parties for grants management, inspection services,
287 contractor services for low-income homeowners, information
288 technology, educational outreach, and auditing services. Such
289 contracts shall be considered direct costs of the program and
290 shall not be subject to administrative cost limits, but
291 contracts valued at $500,000 or more shall be subject to review
292 and approval by the Legislative Budget Commission. The
293 department shall contract with providers that have a
294 demonstrated record of successful business operations in areas
295 directly related to the services to be provided and shall ensure
296 the highest accountability for use of state funds, consistent
297 with this section.
298 (11) INTENT.—It is the intent of the Legislature that
299 grants made to residential property and condominium unit owners
300 under this section shall be considered disaster-relief
301 assistance within the meaning of s. 139 of the Internal Revenue
302 Code of 1986, as amended.
303 (12) REPORTS.—The department shall make an annual report on
304 the activities of the program that shall account for the use of
305 state funds and indicate the number of inspections requested,
306 the number of inspections performed, the number of grant
307 applications received, and the number and value of grants
308 approved. The report shall be delivered to the President of the
309 Senate and the Speaker of the House of Representatives by
310 February 1 of each year.
311 Section 2. This act shall take effect July 1, 2009.