HB 341

1
A bill to be entitled
2An act relating to the H. Lee Moffitt Cancer Center and
3Research Institute; amending s. 1004.43, F.S.; revising
4provisions relating to the establishment of the institute
5and specifying primary responsibilities of the institute;
6conforming provisions relating to the agreement by the
7Board of Governors and the not-for-profit corporation for
8the use of facilities on the campus of the University of
9South Florida; specifying that the not-for-profit
10corporation and its not-for-profit subsidiaries shall
11conclusively act as instrumentalities of the state for
12purposes of sovereign immunity; authorizing the use of
13land, facilities, and personnel for teaching and research
14programs conducted by state universities; revising
15provisions relating to the control and sharing of certain
16income; providing a definition; providing an effective
17date.
18
19Be It Enacted by the Legislature of the State of Florida:
20
21     Section 1.  Section 1004.43, Florida Statutes, is amended
22to read:
23     1004.43  H. Lee Moffitt Cancer Center and Research
24Institute.--There is established the H. Lee Moffitt Cancer
25Center and Research Institute, a statewide resource for basic
26and clinical research and multidisciplinary approaches to
27patient care at the University of South Florida.
28     (1)  The Board of Governors State Board of Education shall
29enter into an agreement for the utilization of the facilities on
30the campus of the University of South Florida to be known as the
31H. Lee Moffitt Cancer Center and Research Institute, including
32all furnishings, equipment, and other chattels used in the
33operation of such said facilities, with a Florida not-for-profit
34corporation organized solely for the purpose of governing and
35operating the H. Lee Moffitt Cancer Center and Research
36Institute. This not-for-profit corporation, acting as an
37instrumentality of the State of Florida, shall govern and
38operate the H. Lee Moffitt Cancer Center and Research Institute
39in accordance with the terms of the agreement between the Board
40of Governors and the not-for-profit corporation. The not-for-
41profit corporation may, with the prior approval of the Board of
42Governors, create either for-profit or not-for-profit corporate
43subsidiaries, or both, to fulfill its mission. The not-for-
44profit corporation and any approved not-for-profit subsidiary
45shall be conclusively deemed corporations primarily acting as
46instrumentalities of the state, pursuant to s. 768.28(2), for
47purposes of sovereign immunity. For-profit subsidiaries of the
48not-for-profit corporation may not compete with for-profit
49health care providers in the delivery of radiation therapy
50services to patients. The not-for-profit corporation and its
51subsidiaries are authorized to receive, hold, invest, and
52administer property and any moneys received from private, local,
53state, and federal sources, as well as technical and
54professional income generated or derived from practice
55activities of the institute, for the benefit of the institute
56and the fulfillment of its mission. The affairs of the
57corporation shall be managed by a board of directors who shall
58serve without compensation. The President of the University of
59South Florida and the chair of the Board of Governors, or his or
60her designee, shall be directors of the not-for-profit
61corporation, together with 5 representatives of the state
62universities and no more than 14 nor fewer than 10 directors who
63are not medical doctors or state employees. Each director shall
64have only one vote, shall serve a term of 3 years, and may be
65reelected to the board. Other than the President of the
66University of South Florida and the chair of the Board of
67Governors, directors shall be elected by a majority vote of the
68board. The chair of the board of directors shall be selected by
69majority vote of the directors.
70     (2)  The Board of Governors shall provide in the agreement
71with the not-for-profit corporation for the following:
72     (a)  Approval of the articles of incorporation of the not-
73for-profit corporation by the Board of Governors.
74     (b)  Approval of the articles of incorporation of any not-
75for-profit corporate subsidiary created by the not-for-profit
76corporation.
77     (c)  Utilization of lands, facilities, and personnel by the
78not-for-profit corporation and its subsidiaries for research,
79education, treatment, prevention, and the early detection of
80cancer and for mutually approved teaching and research programs
81conducted by the state universities University of South Florida
82or other accredited medical schools or research institutes.
83     (d)  Preparation of an annual financial audit of the not-
84for-profit corporation's accounts and records and the accounts
85and records of any subsidiaries to be conducted by an
86independent certified public accountant. The annual audit report
87shall include a management letter, as defined in s. 11.45, and
88shall be submitted to the Auditor General and the Board of
89Governors. The Board of Governors, the Auditor General, and the
90Office of Program Policy Analysis and Government Accountability
91shall have the authority to require and receive from the not-
92for-profit corporation and any subsidiaries or from their
93independent auditor any detail or supplemental data relative to
94the operation of the not-for-profit corporation or subsidiary.
95     (e)  Provision by the not-for-profit corporation and its
96subsidiaries of equal employment opportunities to all persons
97regardless of race, color, religion, sex, age, or national
98origin.
99     (3)  The Board of Governors is authorized to secure
100comprehensive general liability protection, including
101professional liability protection, for the not-for-profit
102corporation and its subsidiaries pursuant to s. 1004.24. The
103not-for-profit corporation and its subsidiaries shall be exempt
104from any participation in any property insurance trust fund
105established by law, including any property insurance trust fund
106established pursuant to chapter 284, so long as the not-for-
107profit corporation and its subsidiaries maintain property
108insurance protection with comparable or greater coverage limits.
109     (4)  In the event that the agreement between the not-for-
110profit corporation and the Board of Governors is terminated for
111any reason, the Board of Governors shall resume governance and
112operation of such facilities.
113     (5)  The institute shall be administered by a chief
114executive officer who shall serve at the pleasure of the board
115of directors of the not-for-profit corporation and who shall
116have the following powers and duties subject to the approval of
117the board of directors:
118     (a)  The chief executive officer shall establish programs
119which fulfill the mission of the institute in research,
120education, treatment, prevention, and the early detection of
121cancer; however, the chief executive officer shall not establish
122academic programs for which academic credit is awarded and which
123terminate in the conference of a degree without prior approval
124of the Board of Governors.
125     (b)  The chief executive officer shall have control over
126the budget and the dollars appropriated or donated to the
127institute from private, local, state, and federal sources, as
128well as technical and professional income generated or derived
129from practice activities of the not-for-profit corporation and
130its subsidiaries institute. However, professional income
131generated by state university faculty from practice activities
132at the institute shall be shared between the institute and the
133university as determined by the chief executive officer and the
134appropriate university dean or vice president. Professional
135income generated by institute members from practice activities
136may be shared between the not-for-profit corporation and its
137subsidiaries as determined by the chief executive officer. As
138used in this paragraph, the term "institute member" means an
139individual employed or appointed by the not-for-profit
140corporation or a subsidiary as a clinical or scientific faculty
141member.
142     (c)  The chief executive officer shall appoint members to
143carry out the research, patient care, and educational activities
144of the institute and determine compensation, benefits, and terms
145of service. Members of the institute shall be eligible to hold
146concurrent appointments at affiliated academic institutions.
147State university faculty shall be eligible to hold concurrent
148appointments at the institute.
149     (d)  The chief executive officer shall have control over
150the use and assignment of space and equipment within the
151facilities.
152     (e)  The chief executive officer shall have the power to
153create the administrative structure necessary to carry out the
154mission of the institute.
155     (f)  The chief executive officer shall have a reporting
156relationship to the Board of Governors or its designee.
157     (g)  The chief executive officer shall provide a copy of
158the institute's annual report to the Governor and Cabinet, the
159President of the Senate, the Speaker of the House of
160Representatives, and the chair of the Board of Governors.
161     (6)  The board of directors of the not-for-profit
162corporation shall create a council of scientific advisers to the
163chief executive officer comprised of leading researchers,
164physicians, and scientists. This council shall review programs
165and recommend research priorities and initiatives so as to
166maximize the state's investment in the institute. The council
167shall be appointed by the board of directors of the not-for-
168profit corporation. Each member of the council shall be
169appointed to serve a 2-year term and may be reappointed to the
170council.
171     (7)  In carrying out the provisions of this section, the
172not-for-profit corporation and its subsidiaries are not
173"agencies" within the meaning of s. 20.03(11).
174     (8)(a)  Records of the not-for-profit corporation and of
175its subsidiaries are public records unless made confidential or
176exempt by law.
177     (b)  Proprietary confidential business information is
178confidential and exempt from the provisions of s. 119.07(1) and
179s. 24(a), Art. I of the State Constitution. However, the Auditor
180General, the Office of Program Policy Analysis and Government
181Accountability, and the Board of Governors, pursuant to their
182oversight and auditing functions, must be given access to all
183proprietary confidential business information upon request and
184without subpoena and must maintain the confidentiality of
185information so received. As used in this paragraph, the term
186"proprietary confidential business information" means
187information, regardless of its form or characteristics, which is
188owned or controlled by the not-for-profit corporation or its
189subsidiaries; is intended to be and is treated by the not-for-
190profit corporation or its subsidiaries as private and the
191disclosure of which would harm the business operations of the
192not-for-profit corporation or its subsidiaries; has not been
193intentionally disclosed by the corporation or its subsidiaries
194unless pursuant to law, an order of a court or administrative
195body, a legislative proceeding pursuant to s. 5, Art. III of the
196State Constitution, or a private agreement that provides that
197the information may be released to the public; and which is
198information concerning:
199     1.  Internal auditing controls and reports of internal
200auditors;
201     2.  Matters reasonably encompassed in privileged attorney-
202client communications;
203     3.  Contracts for managed-care arrangements, including
204preferred provider organization contracts, health maintenance
205organization contracts, and exclusive provider organization
206contracts, and any documents directly relating to the
207negotiation, performance, and implementation of any such
208contracts for managed-care arrangements;
209     4.  Bids or other contractual data, banking records, and
210credit agreements the disclosure of which would impair the
211efforts of the not-for-profit corporation or its subsidiaries to
212contract for goods or services on favorable terms;
213     5.  Information relating to private contractual data, the
214disclosure of which would impair the competitive interest of the
215provider of the information;
216     6.  Corporate officer and employee personnel information;
217     7.  Information relating to the proceedings and records of
218credentialing panels and committees and of the governing board
219of the not-for-profit corporation or its subsidiaries relating
220to credentialing;
221     8.  Minutes of meetings of the governing board of the not-
222for-profit corporation and its subsidiaries, except minutes of
223meetings open to the public pursuant to subsection (9);
224     9.  Information that reveals plans for marketing services
225that the corporation or its subsidiaries reasonably expect to be
226provided by competitors;
227     10.  Trade secrets as defined in s. 688.002, including:
228     a.  Information relating to methods of manufacture or
229production, potential trade secrets, potentially patentable
230materials, or proprietary information received, generated,
231ascertained, or discovered during the course of research
232conducted by the not-for-profit corporation or its subsidiaries;
233and
234     b.  Reimbursement methodologies or rates;
235     11.  The identity of donors or prospective donors of
236property who wish to remain anonymous or any information
237identifying such donors or prospective donors. The anonymity of
238these donors or prospective donors must be maintained in the
239auditor's report; or
240     12.  Any information received by the not-for-profit
241corporation or its subsidiaries from an agency in this or
242another state or nation or the Federal Government which is
243otherwise exempt or confidential pursuant to the laws of this or
244another state or nation or pursuant to federal law.
245
246As used in this paragraph, the term "managed care" means systems
247or techniques generally used by third-party payors or their
248agents to affect access to and control payment for health care
249services. Managed-care techniques most often include one or more
250of the following: prior, concurrent, and retrospective review of
251the medical necessity and appropriateness of services or site of
252services; contracts with selected health care providers;
253financial incentives or disincentives related to the use of
254specific providers, services, or service sites; controlled
255access to and coordination of services by a case manager; and
256payor efforts to identify treatment alternatives and modify
257benefit restrictions for high-cost patient care.
258     (c)  Subparagraphs 10. and 12. of paragraph (b) are subject
259to the Open Government Sunset Review Act in accordance with s.
260119.15 and shall stand repealed on October 2, 2010, unless
261reviewed and saved from repeal through reenactment by the
262Legislature.
263     (9)  Meetings of the governing board of the not-for-profit
264corporation and meetings of the subsidiaries of the not-for-
265profit corporation at which the expenditure of dollars
266appropriated to the not-for-profit corporation by the state are
267discussed or reported must remain open to the public in
268accordance with s. 286.011 and s. 24(b), Art. I of the State
269Constitution, unless made confidential or exempt by law. Other
270meetings of the governing board of the not-for-profit
271corporation and of the subsidiaries of the not-for-profit
272corporation are exempt from s. 286.011 and s. 24(b), Art. I of
273the State Constitution.
274     (10)  In addition to the continuing appropriation to the
275institute provided in s. 210.20(2), any appropriation to the
276institute provided in a general appropriations act shall be paid
277directly to the board of directors of the not-for-profit
278corporation by warrant drawn by the Chief Financial Officer from
279the State Treasury.
280     Section 2.  This act shall take effect July 1, 2010.


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