CS/CS/HB 7209

1	A bill to be entitled
2	An act relating to reorganization of the Public Service
3	Commission; amending s. 20.121, F.S.; establishing the
4	Office of Regulatory Staff within the Financial Services
5	Commission; requiring the executive director of the Office
6	of Regulatory Staff to meet specified requirements;
7	providing that the executive director's appointment is
8	subject to Senate confirmation; amending s. 112.324, F.S.;
9	revising provisions for disposition of ethics complaints
10	against the Public Counsel and employees of the Public
11	Counsel; amending s. 186.801, F.S.; directing the
12	commission to request assistance from the Office of
13	Regulatory Staff to make a preliminary study of certain
14	site plans submitted to the commission by electric
15	utilities; amending s. 350.001, F.S.; revising legislative
16	intent; amending s. 350.011, F.S.; prohibiting certain
17	acts by commissioners and commission staff; repealing s.
18	350.012, F.S., relating to the creation and organization
19	of the Committee on Public Counsel Oversight; amending s.
20	350.031, F.S.; revising requirements for nomination by the
21	Public Service Commission Nominating Council for
22	appointment to the commission; requiring at least one
23	commissioner to be a certified accountant practicing in
24	the state; creating s. 350.035, F.S.; prohibiting attempts
25	by certain persons to sway the judgment of commissioners;
26	providing for the Commission on Ethics to investigate
27	complaints of violations pursuant to specified procedures;
28	amending s. 350.04, F.S.; providing requirements for
29	nomination by the Public Service Commission Nominating
30	Council for appointment to the commission; requiring
31	commissioners to complete a course of study developed by
32	the executive director and general counsel of the Office
33	of Regulatory Staff; requiring commissioners to complete
34	continuing education; providing training requirements for
35	commissioners and commission employees; requiring
36	certifications of compliance to be provided to the
37	Legislature; amending s. 350.041, F.S.; revising
38	legislative intent; revising standards of conduct for
39	commissioners; revising provisions for investigation and
40	reports by the Commission on Ethics of alleged violations;
41	authorizing commission employees and the executive
42	director of the Office of Regulatory Staff to request
43	opinions from the Commission on Ethics; amending s.
44	350.042, F.S.; revising provisions for communications
45	concerning agency action proceedings and proceedings under
46	specified provisions; providing for application of such
47	provisions to commission employees; revising restrictions
48	on such communications by commissioners and commission
49	employees; defining the term "ex parte communication";
50	providing a civil penalty; amending s. 350.06, F.S.;
51	revising provisions for the offices of the commission,
52	payment of moneys, and employment of personnel; amending
53	s. 350.0605, F.S.; restricting employment of a former
54	executive director or former employee of the Office of
55	Regulatory Staff; amending s. 350.061, F.S.; providing for
56	appointment of the Public Counsel by, and service of the
57	Public Counsel at the pleasure of, the Attorney General;
58	amending ss. 350.0613 and 350.0614, F.S.; providing powers
59	and duties of the Attorney General regarding the Public
60	Counsel and his or her employees to conform provisions to
61	the transfer of the Public Counsel; transferring the
62	Office of Public Counsel from the legislative branch to
63	the Office of the Attorney General; creating s. 350.071,
64	F.S.; creating the Office of Regulatory Staff within the
65	Financial Services Commission; providing for the office to
66	be considered a party of record in all proceedings before
67	the Public Service Commission; requiring the commission to
68	notify the office of certain proceedings; providing
69	purpose of the office; defining the term "public
70	interest"; providing that the office is subject to certain
71	provisions governing ex parte communications; creating s.
72	350.072, F.S.; providing for an executive director and
73	employees of the office; providing duties and
74	responsibilities of the executive director; providing for
75	submission of a budget to the Financial Services
76	Commission; providing for the location, internal
77	administration, and operation of the office; creating s.
78	350.073, F.S.; providing for appointment, term,
79	qualifications, and salary of the executive director of
80	the office; providing for application of specified
81	provisions for standards of conduct; creating s. 350.074,
82	F.S.; providing duties of the office; authorizing the
83	office to intervene in certain proceedings; requiring the
84	office to provide an annual report to the Legislature;
85	directing the commission and the office to establish
86	procedures by which the office may elect not to
87	participate as a party in certain matters; transferring
88	from the commission all powers, duties, functions,
89	records, offices, personnel, property, pending issues, and
90	existing contracts, administrative authority,
91	administrative rules, and unexpended balances of funds not
92	related to the duties and responsibilities of the
93	commission to the office; creating s. 350.075, F.S.;
94	authorizing the office to access certain books and
95	records; amending s. 350.113, F.S.; revising authorized
96	uses of the Florida Public Service Regulatory Trust Fund;
97	amending s. 350.117, F.S.; authorizing the office to
98	require reports; requiring a copy of any report provided
99	to the commission to be provided to the office;
100	authorizing the commission to request that the office
101	perform management and operation audits of any regulated
102	company; repealing s. 350.121, F.S., relating to
103	commission inquiries and the confidentiality of business
104	material; creating s. 350.122, F.S.; requiring persons
105	testifying before the Public Service Commission to
106	disclose certain financial and fiduciary relationships;
107	providing that a determination by the commission that a
108	violation occurred constitutes agency action for which a
109	hearing may be sought; amending s. 364.016, F.S.;
110	authorizing the office to assess a telecommunications
111	company for certain travel costs; amending s. 364.02,
112	F.S.; defining the term "office" as used in provisions
113	relating to telecommunications companies; amending s.
114	364.15, F.S.; revising provisions authorizing the
115	commission to compel changes to a telecommunications
116	facility; amending s. 364.183, F.S.; providing that the
117	office shall have access to certain records of a
118	telecommunications company and may require a
119	telecommunications company to file records, reports, or
120	other data; specifying limitations on the authority of the
121	commission to access records; providing for the office to
122	maintain confidentiality; amending s. 364.185, F.S.;
123	providing powers of the office to investigate and inspect
124	telecommunications companies; removing such powers from
125	the commission; amending s. 364.335, F.S.; revising the
126	authority of the commission to institute a proceeding to
127	determine whether the grant of a certificate of need
128	concerning construction, operation, or control of a
129	telecommunications facility is in the public interest;
130	amending s. 364.3376, F.S.; providing for the office to
131	conduct certain investigations; amending s. 364.3381,
132	F.S.; revising the authority of the commission to
133	investigate allegations of certain anticompetitive
134	practices; amending s. 364.37, F.S.; revising the
135	authority of the commission to make such order and
136	prescribe such terms and conditions with respect to
137	controversies concerning territory to be served by a
138	telecommunications facility; amending s. 366.02, F.S.;
139	defining the term "office" as used in provisions relating
140	to public utilities; amending s. 366.05, F.S.; authorizing
141	the office to make certain purchases for examinations and
142	testing; providing that the office shall have access to
143	certain records and may require records, reports, or other
144	data; specifying limitations on the authority of the
145	commission to access records; authorizing the office to
146	assess a public utility for certain travel costs; amending
147	ss. 366.06, 366.07, 366.071, and 366.076, F.S.; removing
148	authority of the commission to initiate certain
149	proceedings or take certain actions upon its own motion;
150	amending s. 366.08, F.S.; providing powers of the office
151	to investigate public utilities; removing such powers from
152	the commission; amending s. 366.093, F.S.; providing
153	powers of the office to have access to records; specifying
154	limitations on the authority of the commission to access
155	records; providing for the office to maintain
156	confidentiality; amending s. 366.82, F.S.; revising the
157	authority of the commission to require modifications or
158	additions to a utility's plans and programs; amending s.
159	367.021, F.S.; defining the term "office" as used in
160	provisions relating to water and wastewater utilities;
161	amending s. 367.045, F.S.; requiring a water or wastewater
162	utility to provide notice to the office when it applies
163	for an initial or amended certificate of authorization;
164	providing for an objection and a request for a public
165	hearing by the office; requiring the commission to give
166	notice of certain actions upon petition of the office;
167	amending s. 367.081, F.S.; revising the authority of the
168	commission to fix rates of water and wastewater utilities
169	or implement changes of such rates; amending s. 367.0814,
170	F.S.; providing for a water or wastewater utility to
171	request and obtain assistance from the office for the
172	purpose of changing its rates and charges; revising the
173	authority of the commission to authorize interim rates;
174	directing the commission to request from the office any
175	information necessary to complete a status report;
176	amending ss. 367.0817, 367.082, 367.0822, and 367.083,
177	F.S.; revising authority of the commission to initiate
178	certain proceedings or take certain actions upon its own
179	motion; amending s. 367.101, F.S.; providing that the
180	commission shall, upon request, direct the office to
181	investigate agreements or proposals for charges and
182	conditions for service availability and report the
183	results; amending s. 367.121, F.S.; revising powers of the
184	commission; providing powers of the office; amending s.
185	367.122, F.S.; providing for the office to test meters;
186	amending s. 367.145, F.S.; revising provisions for use of
187	certain regulatory fees; amending s. 367.156, F.S.;
188	providing powers of the office to have access to records;
189	specifying limitations on the authority of the commission
190	to access records; providing for the office to maintain
191	confidentiality; amending s. 367.171, F.S.; revising
192	provisions for jurisdiction of certain cases involving a
193	utility that becomes subject to county regulation;
194	amending s. 368.05, F.S., relating to gas transmission and
195	distribution facilities; prohibiting the commission from
196	initiating proceedings under specified provisions on its
197	own motion; specifying limitations on the authority of the
198	commission to access records; amending s. 368.061, F.S.;
199	revising provisions for compromise of a civil penalty;
200	revising the authority of the commission to initiate
201	injunction proceedings; amending s. 368.103, F.S.;
202	defining the term "office" as used in the "Natural Gas
203	Transmission Pipeline Intrastate Regulatory Act";
204	amending ss. 368.106 and 368.107, F.S.; revising the
205	authority of the commission to initiate certain
206	proceedings or take certain actions concerning rates;
207	amending s. 368.108, F.S.; providing powers of the office
208	to have access to records; specifying limitations on the
209	authority of the commission to access records; providing
210	for the office to maintain confidentiality; amending s.
211	368.1085, F.S.; authorizing the office to assess a natural
212	gas transmission company for certain travel costs;
213	removing the authority of the commission to assess such
214	costs; amending s. 368.109, F.S.; revising provisions for
215	use of certain regulatory fees; amending ss. 403.519,
216	403.537, and 403.9422, F.S., relating to siting of
217	electrical transmission lines; revising authority of the
218	commission to initiate certain proceedings or take certain
219	actions upon its own motion; amending ss. 196.012,
220	199.183, 212.08, 288.0655, 290.007, 364.602, 489.103, and
221	624.105, F.S.; conforming cross-references; providing an
222	effective date.
223
224	Be It Enacted by the Legislature of the State of Florida:
225
226	Section 1.  Subsection (3) of section 20.121, Florida
227	Statutes, is amended to read:
228	20.121  Department of Financial Services.-There is created
229	a Department of Financial Services.
230	(3)  FINANCIAL SERVICES COMMISSION.-Effective January 7,
231	2003, there is created within the Department of Financial
232	Services the Financial Services Commission, composed of the
233	Governor, the Attorney General, the Chief Financial Officer, and
234	the Commissioner of Agriculture, which shall for purposes of
235	this section be referred to as the commission. Commission
236	members shall serve as agency head of the Financial Services
237	Commission. The commission shall be a separate budget entity and
238	shall be exempt from the provisions of s. 20.052. Commission
239	action shall be by majority vote consisting of at least three
240	affirmative votes. The commission shall not be subject to
241	control, supervision, or direction by the Department of
242	Financial Services in any manner, including purchasing,
243	transactions involving real or personal property, personnel, or
244	budgetary matters.
245	(a)  Structure.-The major structural unit of the commission
246	is the office. Each office shall be headed by a director. The
247	following offices are established:
248	1.  The Office of Insurance Regulation, which shall be
249	responsible for all activities concerning insurers and other
250	risk bearing entities, including licensing, rates, policy forms,
251	market conduct, claims, issuance of certificates of authority,
252	solvency, viatical settlements, premium financing, and
253	administrative supervision, as provided under the insurance code
254	or chapter 636. The head of the Office of Insurance Regulation
255	is the Director of the Office of Insurance Regulation, who may
256	also be known as the Commissioner of Insurance Regulation.
257	2.  The Office of Financial Regulation, which shall be
258	responsible for all activities of the Financial Services
259	Commission relating to the regulation of banks, credit unions,
260	other financial institutions, finance companies, and the
261	securities industry. The head of the office is the Director of
262	the Office of Financial Regulation, who may also be known as the
263	Commissioner of Financial Regulation. The Office of Financial
264	Regulation shall include a Bureau of Financial Investigations,
265	which shall function as a criminal justice agency for purposes
266	of ss. 943.045-943.08 and shall have a separate budget. The
267	bureau may conduct investigations within or outside this state
268	as the bureau deems necessary to aid in the enforcement of this
269	section. If, during an investigation, the office has reason to
270	believe that any criminal law of this state has or may have been
271	violated, the office shall refer any records tending to show
272	such violation to state or federal law enforcement or
273	prosecutorial agencies and shall provide investigative
274	assistance to those agencies as required.
275	3.  The Office of Regulatory Staff, which shall represent
276	the public interest with respect to matters within the
277	jurisdiction of the Public Service Commission. The Office of
278	Regulatory Staff shall be headed by an executive director and
279	shall be organized and function independently under the
280	provisions of chapter 350.
281	(b)  Organization.-The commission shall establish by rule
282	any additional organizational structure of the offices. It is
283	the intent of the Legislature to provide the commission with the
284	flexibility to organize the offices in any manner they determine
285	appropriate to promote both efficiency and accountability.
286	(c)  Powers.-Commission members shall serve as the agency
287	head for purposes of rulemaking under ss. 120.536-120.565 by the
288	commission and all subunits of the commission. Each director is
289	agency head for purposes of final agency action under chapter
290	120 for all areas within the regulatory authority delegated to
291	the director's office.
292	(d)  Appointment and qualifications of directors.-The
293	commission shall appoint or remove each director by a majority
294	vote consisting of at least three affirmative votes, with both
295	the Governor and the Chief Financial Officer on the prevailing
296	side. The minimum qualifications of the directors are as
297	follows:
298	1.  Prior to appointment as director, the director of the
299	Office of Insurance Regulation must have had, within the
300	previous 10 years, at least 5 years of responsible private
301	sector experience working full time in areas within the scope of
302	the subject matter jurisdiction of the Office of Insurance
303	Regulation or at least 5 years of experience as a senior
304	examiner or other senior employee of a state or federal agency
305	having regulatory responsibility over insurers or insurance
306	agencies.
307	2.  Prior to appointment as director, the director of the
308	Office of Financial Regulation must have had, within the
309	previous 10 years, at least 5 years of responsible private
310	sector experience working full time in areas within the subject
311	matter jurisdiction of the Office of Financial Regulation or at
312	least 5 years of experience as a senior examiner or other senior
313	employee of a state or federal agency having regulatory
314	responsibility over financial institutions, finance companies,
315	or securities companies.
316	3.  The executive director of the Office of Regulatory
317	Staff must meet the qualification requirements under s. 350.073.
318	Appointment of the executive director is subject to confirmation
319	by the Senate.
320	(e)  Administrative support.-The offices shall have a
321	sufficient number of attorneys, examiners, investigators, other
322	professional personnel to carry out their responsibilities and
323	administrative personnel as determined annually in the
324	appropriations process. The Department of Financial Services
325	shall provide administrative and information systems support to
326	the offices.
327	(f)  Records retention schedules.-The commission and the
328	offices may destroy general correspondence files and also any
329	other records that they deem no longer necessary to preserve in
330	accordance with retention schedules and destruction notices
331	established under rules of the Division of Library and
332	Information Services, records and information management
333	program, of the Department of State. Such schedules and notices
334	relating to financial records of the commission and offices
335	shall be subject to the approval of the Auditor General.
336	(g)  Records storage.-The commission and offices may
337	photograph, microphotograph, or reproduce on film such documents
338	and records as they may select, in such manner that each page
339	will be exposed in exact conformity with the original. After
340	reproduction and filing, original documents and records may be
341	destroyed in accordance with the provisions of paragraph (f).
342	Section 2.  Paragraphs (a) and (c) of subsection (8) of
343	section 112.324, Florida Statutes, are amended to read:
344	112.324  Procedures on complaints of violations; public
345	records and meeting exemptions.-
346	(8)  If, in cases pertaining to complaints other than
347	complaints against impeachable officers or members of the
348	Legislature, upon completion of a full and final investigation
349	by the commission, the commission finds that there has been a
350	violation of this part or of s. 8, Art. II of the State
351	Constitution, it shall be the duty of the commission to report
352	its findings and recommend appropriate action to the proper
353	disciplinary official or body as follows, and such official or
354	body shall have the power to invoke the penalty provisions of
355	this part, including the power to order the appropriate
356	elections official to remove a candidate from the ballot for a
357	violation of s. 112.3145 or s. 8(a) and (i), Art. II of the
358	State Constitution:
359	(a)  The President of the Senate and the Speaker of the
360	House of Representatives, jointly, in any case concerning the
361	Public Counsel, members of the Public Service Commission,
362	members of the Public Service Commission Nominating Council, the
363	Auditor General, the director of the Office of Program Policy
364	Analysis and Government Accountability, or members of the
365	Legislative Committee on Intergovernmental Relations.
366	(c)  The President of the Senate, in any case concerning an
367	employee of the Senate; the Speaker of the House of
368	Representatives, in any case concerning an employee of the House
369	of Representatives; or the President and the Speaker, jointly,
370	in any case concerning an employee of a committee of the
371	Legislature whose members are appointed solely by the President
372	and the Speaker or in any case concerning an employee of the
373	Public Counsel, Public Service Commission, Auditor General,
374	Office of Program Policy Analysis and Government Accountability,
375	or Legislative Committee on Intergovernmental Relations.
376	Section 3.  Subsection (2) of section 186.801, Florida
377	Statutes, is amended to read:
378	186.801  Ten-year site plans.-
379	(2)  Within 9 months after the receipt of the proposed
380	plan, the commission shall request assistance from the Office of
381	Regulatory Staff to make a preliminary study of such plan and
382	shall classify the plan it as "suitable" or "unsuitable." The
383	commission may suggest alternatives to the plan. All findings of
384	the commission shall be made available to the Department of
385	Environmental Protection for its consideration at any subsequent
386	electrical power plant site certification proceedings. It is
387	recognized that 10-year site plans submitted by an electric
388	utility are tentative information for planning purposes only and
389	may be amended at any time at the discretion of the utility upon
390	written notification to the commission. A complete application
391	for certification of an electrical power plant site under
392	chapter 403, when such site is not designated in the current 10-
393	year site plan of the applicant, shall constitute an amendment
394	to the 10-year site plan. In its preliminary study of each 10-
395	year site plan, the commission shall consider such plan as a
396	planning document and shall review:
397	(a)  The need, including the need as determined by the
398	commission, for electrical power in the area to be served.
399	(b)  The effect on fuel diversity within the state.
400	(c)  The anticipated environmental impact of each proposed
401	electrical power plant site.
402	(d)  Possible alternatives to the proposed plan.
403	(e)  The views of appropriate local, state, and federal
404	agencies, including the views of the appropriate water
405	management district as to the availability of water and its
406	recommendation as to the use by the proposed plant of salt water
407	or fresh water for cooling purposes.
408	(f)  The extent to which the plan is consistent with the
409	state comprehensive plan.
410	(g)  The plan with respect to the information of the state
411	on energy availability and consumption.
412	Section 4.  Section 350.001, Florida Statutes, is amended
413	to read:
414	350.001  Legislative intent.-
415	(1)  The Florida Public Service Commission has been and
416	shall continue to be an arm of the legislative branch of
417	government. In the exercise of its jurisdiction, the commission
418	shall neither establish nor implement any regulatory policy that
419	is contrary to, or is an expansion of, the authority granted to
420	it by the Legislature.
421	(2)  The Public Service Commission and its staff shall
422	perform their its duties independently, impartially,
423	professionally, honorably, and without undue influence from any
424	person.
425	(3)  It is the desire of the Legislature that the Governor
426	participate in the appointment process of commissioners to the
427	Public Service Commission. The Legislature accordingly delegates
428	to the Governor a limited authority with respect to the Public
429	Service Commission by authorizing him or her to participate in
430	the selection of members only in the manner prescribed by s.
431	350.031.
432	Section 5.  Section 350.011, Florida Statutes, is amended
433	to read:
434	350.011  Florida Public Service Commission; jurisdiction;
435	powers and duties.-
436	(1)  The state regulatory agency heretofore known as the
437	Florida Railroad and Public Utilities Commission or Florida
438	Public Utilities Commission shall be known and hereafter called
439	Florida Public Service Commission, and all rights, powers,
440	duties, responsibilities, jurisdiction, and judicial powers now
441	vested in said Railroad and Public Utilities Commission or said
442	Florida Public Utilities Commission and the commissioners
443	thereof are vested in the Florida Public Service Commission and
444	the commissioners thereof.
445	(2)  The commissioners of the Florida Public Service
446	Commission shall not supervise, direct, or control any person
447	whose services are employed by the Office of Regulatory Staff
448	created under ss. 20.121 and 350.071.
449	(3)  Notwithstanding any other provision of law, the
450	commission shall not inspect, audit, or examine any entity
451	subject to the jurisdiction of the commission pursuant to any
452	provision of law, as these functions are the sole responsibility
453	of the Office of Regulatory Staff.
454	(4)  The commission staff shall not appear as a party in
455	commission proceedings or offer testimony on issues before the
456	commission. The commission staff shall not conduct discovery,
457	either informally or pursuant to the Florida Rules of Civil
458	Procedure, in any proposed agency action proceeding or any
459	proceeding under s. 120.569 or s. 120.57 in which the
460	substantial interests of a party are determined by the
461	commission.
462	Section 6.  Section 350.012, Florida Statutes, is repealed.
463	Section 7.  Paragraphs (b) and (d) of subsection (1) and
464	subsection (5) of section 350.031, Florida Statutes, are amended
465	to read:
466	350.031  Florida Public Service Commission Nominating
467	Council.-
468	(1)
469	(b)  All terms shall be for 4 years except those members of
470	the House and Senate, who shall serve 2-year terms concurrent
471	with the 2-year elected terms of House members. All terms of the
472	members of the Public Service Commission Nominating Council
473	existing on June 30, 2008, shall terminate upon the effective
474	date of this act; however, such members may serve an additional
475	term if reappointed by the Speaker of the House of
476	Representatives or the President of the Senate. To establish
477	staggered terms, appointments of members shall be made for
478	initial terms to begin on July 1, 2008, with each appointing
479	officer to appoint three legislator members, one of whom shall
480	be a member of the minority party, to terms through the
481	remainder of the 2-year elected terms of House members; one
482	nonlegislator member to a 6-month term; one nonlegislator member
483	to an 18-month term; and one nonlegislator member to a 42-month
484	term. Thereafter, the terms of the nonlegislator members of the
485	Public Service Commission Nominating Council shall begin on
486	January 2 of the year the term commences and end 4 years later
487	on January 1.
488	(d)  Vacancies on the council shall be filled for the
489	unexpired portion of the term in the same manner as original
490	appointments to the council. A member may not be reappointed to
491	the council, except for a member of the House of Representatives
492	or the Senate who may be appointed to two 2-year terms, members
493	who are reappointed pursuant to paragraph (b), or a person who
494	is appointed to fill the remaining portion of an unexpired term.
495	(5)  A person may not be nominated to the Governor for
496	appointment to the Public Service Commission until the council
497	has determined that the person satisfies the qualifications set
498	forth in s. 350.04(2) is competent and knowledgeable in one or
499	more fields, which shall include, but not be limited to: public
500	affairs, law, economics, accounting, engineering, finance,
501	natural resource conservation, energy, or another field
502	substantially related to the duties and functions of the
503	commission. The commission shall fairly represent the above-
504	stated fields identified in s. 350.04(2); however, at least one
505	commissioner shall be an accountant certified under the Public
506	Accountancy Law in this state and practicing in this state.
507	Recommendations of the council shall be nonpartisan.
508	Section 8.  Section 350.035, Florida Statutes, is created
509	to read:
510	350.035  Prohibited influence on commissioners.-Neither the
511	Governor, the President of the Senate, the Speaker of the House
512	of Representatives, nor a member of the Public Service
513	Commission Nominating Council shall attempt to sway the
514	independent judgment of the commission by bringing pressure to
515	bear upon a commissioner or commission employee through that
516	person's role in the nomination, appointment, or confirmation of
517	commissioners. It is the duty of the Commission on Ethics to
518	receive and investigate sworn complaints of violations of this
519	section pursuant to ss. 112.322-112.3241.
520	Section 9.  Section 350.04, Florida Statutes, is amended to
521	read:
522	350.04  Qualifications of commissioners; training and
523	continuing education.-
524	(1)  A commissioner may not, at the time of appointment or
525	during his or her term of office:
526	(a)(1)  Have any financial interest, other than ownership
527	of shares in a mutual fund, in any business entity which, either
528	directly or indirectly, owns or controls any public utility
529	regulated by the commission, in any public utility regulated by
530	the commission, or in any business entity which, either directly
531	or indirectly, is an affiliate or subsidiary of any public
532	utility regulated by the commission.
533	(b)(2)  Be employed by or engaged in any business activity
534	with any business entity which, either directly or indirectly,
535	owns or controls any public utility regulated by the commission,
536	by any public utility regulated by the commission, or by any
537	business entity which, either directly or indirectly, is an
538	affiliate or subsidiary of any public utility regulated by the
539	commission.
540	(2)  Each person recommended for appointment to the Public
541	Service Commission by the Public Service Commission Nominating
542	Council must:
543	(a)  Have earned at least a baccalaureate degree from an
544	institution of higher learning accredited by a regional or
545	national accrediting body; and
546	(b)  Possess a minimum of 10 years of professional
547	experience, or a minimum of 6 years of professional experience
548	if the person has earned an advanced degree, in one or more of
549	the following:
550	1.  Energy or electric industry issues.
551	2.  Telecommunications issues.
552	3.  Water and sewer industry issues.
553	4.  Finance.
554	5.  Economics.
555	6.  Accounting.
556	7.  Engineering.
557	8.  Law.
558	(3)  Before voting on any matter before the Public Service
559	Commission, each person appointed to the commission after July
560	1, 2010, shall complete a comprehensive course of study,
561	developed by the executive director and general counsel of the
562	Office of Regulatory Staff in coordination with the National
563	Association of Regulatory Utility Commissioners Subcommittee on
564	Education and Research, that addresses the substantive matters
565	within the jurisdiction of the commission, administrative law
566	applicable to commission proceedings, and standards of conduct
567	applicable to commissioners. Thereafter, each commissioner must
568	annually complete no less than 10 hours of continuing
569	professional education directly related to substantive matters
570	within the jurisdiction of the commission.
571	(4)  No less than once every 12 months, each commissioner
572	and commission employee shall receive training, in a form
573	developed by the executive director and general counsel of the
574	Office of Regulatory Staff, that addresses the ethical standards
575	of conduct applicable to commissioners and their staff.
576	(5)  The chair of the Public Service Commission shall
577	certify the commission's compliance with these requirements, and
578	each commissioner shall certify his or her individual compliance
579	with the continuing professional education requirements provided
580	in subsection (3). Each certification of compliance shall be
581	provided to the President of the Senate and the Speaker of the
582	House of Representatives.
583	Section 10.  Section 350.041, Florida Statutes, is amended
584	to read:
585	350.041  Commissioners; standards of conduct.-
586	(1)  STATEMENT OF INTENT.-
587	(a)  Professional, impartial, and honorable commissioners
588	are indispensable to the effective performance of the
589	commission's duties. A commissioner shall maintain high
590	standards of conduct and shall personally observe those
591	standards so that the integrity and impartiality of the
592	commission may be preserved. The standards of conduct provided
593	in this section should be construed and applied to further that
594	objective.
595	(b)  In addition to the provisions of part III of chapter
596	112, which are applicable to public service commissioners by
597	virtue of their being public officers and full-time employees of
598	the legislative branch of government, the conduct of public
599	service commissioners shall be governed by the standards of
600	conduct provided in this section. Nothing shall prohibit the
601	standards of conduct from being more restrictive than part III
602	of chapter 112. Further, this section shall not be construed to
603	contravene the restrictions of part III of chapter 112. In the
604	event of a conflict between this section and part III of chapter
605	112, the more restrictive provision shall apply.
606	(2)  STANDARDS OF CONDUCT.-
607	(a)  A commissioner may not accept anything from any
608	business entity which, either directly or indirectly, owns or
609	controls any public utility regulated by the commission, from
610	any public utility regulated by the commission, or from any
611	business entity which, either directly or indirectly, is an
612	affiliate or subsidiary of any public utility regulated by the
613	commission. A commissioner may attend conferences and associated
614	meals and events that are generally available to all conference
615	participants without payment of any fees in addition to the
616	conference fee. Additionally, while attending a conference, a
617	commissioner may attend meetings, meals, or events that are not
618	sponsored, in whole or in part, by any representative of any
619	public utility regulated by the commission and that are limited
620	to commissioners only, committee members, or speakers if the
621	commissioner is a member of a committee of the association of
622	regulatory agencies that organized the conference or is a
623	speaker at the conference. It is not a violation of this
624	paragraph for a commissioner to attend a conference for which
625	conference participants who are employed by a utility regulated
626	by the commission have paid a higher conference registration fee
627	than the commissioner, or to attend a meal or event that is
628	generally available to all conference participants without
629	payment of any fees in addition to the conference fee and that
630	is sponsored, in whole or in part, by a utility regulated by the
631	commission. If, during the course of an investigation by the
632	Commission on Ethics into an alleged violation of this
633	paragraph, allegations are made as to the identity of the person
634	giving or providing the prohibited gift, that person must be
635	given notice and an opportunity to participate in the
636	investigation and relevant proceedings to present a defense. If
637	the Commission on Ethics determines that the person gave or
638	provided a prohibited gift, the person may not appear before the
639	commission or otherwise represent anyone before the commission
640	for a period of 2 years.
641	(b)  A commissioner may not accept any form of employment
642	with or engage in any business activity with any business entity
643	which, either directly or indirectly, owns or controls any
644	public utility regulated by the commission, any public utility
645	regulated by the commission, or any business entity which,
646	either directly or indirectly, is an affiliate or subsidiary of
647	any public utility regulated by the commission.
648	(c)  A commissioner may not have any financial interest,
649	other than shares in a mutual fund, in any public utility
650	regulated by the commission, in any business entity which,
651	either directly or indirectly, owns or controls any public
652	utility regulated by the commission, or in any business entity
653	which, either directly or indirectly, is an affiliate or
654	subsidiary of any public utility regulated by the commission. If
655	a commissioner acquires any financial interest prohibited by
656	this section during his or her term of office as a result of
657	events or actions beyond the commissioner's control, he or she
658	shall immediately sell such financial interest or place such
659	financial interest in a blind trust at a financial institution.
660	A commissioner may not attempt to influence, or exercise any
661	control over, decisions regarding the blind trust.
662	(d)  A commissioner may not accept anything from a party in
663	a proceeding currently pending before the commission. If, during
664	the course of an investigation by the Commission on Ethics into
665	an alleged violation of this paragraph, allegations are made as
666	to the identity of the person giving or providing the prohibited
667	gift, that person must be given notice and an opportunity to
668	participate in the investigation and relevant proceedings to
669	present a defense. If the Commission on Ethics determines that
670	the person gave or provided a prohibited gift, the person may
671	not appear before the commission or otherwise represent anyone
672	before the commission for a period of 2 years.
673	(e)  A commissioner may not serve as the representative of
674	any political party or on any executive committee or other
675	governing body of a political party; serve as an executive
676	officer or employee of any political party, committee,
677	organization, or association; receive remuneration for
678	activities on behalf of any candidate for public office; engage
679	on behalf of any candidate for public office in the solicitation
680	of votes or other activities on behalf of such candidacy; or
681	become a candidate for election to any public office without
682	first resigning from office.
683	(f)  A commissioner, during his or her term of office, may
684	not make any public comment regarding the merits of any
685	proceeding under ss. 120.569 and 120.57 currently pending before
686	the commission.
687	(g)  A commissioner may not conduct himself or herself in
688	an unprofessional manner at any time during the performance of
689	his or her official duties.
690	(h)  The chair shall require order and decorum in
691	proceedings before the commission. In the absence of the chair,
692	the commissioner presiding over a commission proceeding shall
693	require order and decorum in the proceeding.
694	(i)  A commissioner shall be patient, dignified, and
695	courteous to litigants, other commissioners, witnesses, lawyers,
696	commission staff, staff of the Office of Regulatory Staff, and
697	others with whom the commissioner deals in an official capacity.
698	(j)  A commissioner shall perform his or her official
699	duties without bias or prejudice. A commissioner may not, in the
700	performance of his or her official duties, by words or conduct
701	manifest bias or prejudice.
702	(k)  A commissioner may not, with respect to parties or
703	classes of parties, cases, controversies, or issues likely to
704	come before the commission, make pledges, promises, or
705	commitments that are inconsistent with the impartial performance
706	of the commissioner's official duties.
707	(l)  A commissioner may not be swayed by partisan
708	interests, public clamor, or fear of criticism.
709	(m)(h)  A commissioner must avoid impropriety in all of his
710	or her activities and must act at all times in a manner that
711	promotes public confidence in the integrity and impartiality of
712	the commission.
713	(n)(i)  A commissioner may not directly or indirectly,
714	through staff or other means, solicit anything of value from any
715	public utility regulated by the commission, or from any business
716	entity that, whether directly or indirectly, is an affiliate or
717	subsidiary of any public utility regulated by the commission, or
718	from any party appearing in a proceeding considered by the
719	commission in the last 2 years.
720	(3)  INVESTIGATIONS; REPORTS; ADVISORY OPINIONS.-
721	(a)  The Commission on Ethics shall accept and investigate
722	any alleged violations of this section pursuant to the
723	procedures contained in ss. 112.322-112.3241.
724	(b)  The Commission on Ethics shall provide the Governor
725	and the Florida Public Service Commission Nominating Council
726	with a report of its findings and recommendations with respect
727	to alleged violations by a public service commissioner. The
728	Governor is authorized to enforce these the findings and
729	recommendations of the Commission on Ethics, pursuant to part
730	III of chapter 112.
731	(c)  The Commission on Ethics shall provide the
732	disciplinary officials or bodies specified in part III of
733	chapter 112 with a report of its findings and recommendations
734	with respect to alleged violations of the specific provisions of
735	this section that, pursuant to s. 350.073, are applicable to the
736	executive director of the Office of Regulatory Staff.
737	(d)  A public service commissioner, a commission employee,
738	the executive director of the Office of Regulatory Staff, or a
739	member of the Florida Public Service Commission Nominating
740	Council may request an advisory opinion from the Commission on
741	Ethics, pursuant to s. 112.322(3)(a), regarding the standards of
742	conduct or prohibitions set forth in this section and ss.
743	350.031, 350.04, and 350.042.
744	Section 11.  Section 350.042, Florida Statutes, is amended
745	to read:
746	350.042  Ex parte communications.-
747	(1)  Each A commissioner and employee of the commission
748	shall should accord to every person who is a party to or is
749	registered with the commission as an interested person in a
750	proposed agency action proceeding, or who is a party to a
751	proceeding under s. 120.565, s. 120.569, or s. 120.57 legally
752	interested in a proceeding, or the person's lawyer, full right
753	to be heard according to law, and, except as authorized by law,
754	shall not neither initiate, solicit, or nor consider ex parte
755	communications concerning a pending proposed agency action the
756	merits, threat, or offer of reward in any proceeding or a
757	proceeding under s. 120.565, s. 120.569, or s. 120.57 other than
758	a proceeding under s. 120.54 or s. 120.565, workshops, or
759	internal affairs meetings. No individual shall discuss ex parte
760	with a commissioner the merits of any issue that he or she knows
761	will be filed with the commission within 180 90 days. The
762	provisions of this subsection shall not apply to commission
763	staff.
764	(a)  As used in this section, the term "ex parte
765	communication" means any communication that:
766	1.  If it is a written or printed communication or a
767	communication in electronic form, is not served on all parties
768	to a proceeding; or
769	2.  If it is an oral communication, is made without
770	adequate notice to the parties and without an opportunity for
771	the parties to be present and heard.
772	(b)  Where circumstances require, ex parte communications
773	concerning scheduling, administrative purposes, or emergencies
774	that do not deal with substantive matters or issues on the
775	merits are authorized, if:
776	1.  The commissioner or commission employee reasonably
777	believes that no party will gain a procedural or tactical
778	advantage as a result of the ex parte communication; and
779	2.  The commissioner or commission employee makes provision
780	promptly to notify all parties of the substance of the ex parte
781	communication and, where possible, allows an opportunity to
782	respond.
783	(2)  The provisions of this section shall not prohibit an
784	individual residential ratepayer from communicating with a
785	commissioner or commission employee, provided that the ratepayer
786	is representing only himself or herself, without compensation.
787	(3)  This section shall not apply to oral communications or
788	discussions in scheduled and noticed open public meetings of
789	educational programs or of a conference or other meeting of an
790	association of regulatory agencies.
791	(4)  If a commissioner or commission employee knowingly
792	receives an ex parte communication prohibited by this section
793	relative to a proceeding other than as set forth in subsection
794	(1), to which he or she is assigned, he or she must place on the
795	record of the proceeding copies of all written communications
796	received, all written responses to the communications, and a
797	memorandum stating the substance of all oral communications
798	received and all oral responses made, and shall give written
799	notice to all parties to the communication that such matters
800	have been placed on the record. Any party to the proceeding who
801	desires to respond to the an ex parte communication may do so.
802	The response must be received by the commission within 10 days
803	after receiving notice that the ex parte communication has been
804	placed on the record. The commissioner may, if he or she deems
805	it necessary to eliminate the effect of an ex parte
806	communication received by him or her, withdraw from the
807	proceeding, in which case the chair shall substitute another
808	commissioner for the proceeding.
809	(5)  Any individual who makes an ex parte communication
810	prohibited by this section shall submit to the commission a
811	written statement describing the nature of such communication,
812	to include the name of the person making the communication, the
813	name of each the commissioner or commission employee
814	commissioners receiving the communication, copies of all written
815	communications made, all written responses to such
816	communications, and a memorandum stating the substance of all
817	oral communications received and all oral responses made. The
818	commission shall place on the record of a proceeding all such
819	communications.
820	(6)  Any commissioner or commission employee who knowingly
821	fails to place on the record any ex parte communication
822	prohibited by this section such communications, in violation of
823	this the section, within 15 days after of the date of the such
824	communication is subject to removal or dismissal and may be
825	assessed a civil penalty not to exceed $5,000. Any individual
826	who knowingly fails to comply with subsection (5) may be
827	assessed a civil penalty not to exceed $5,000.
828	(7)(a)  It is shall be the duty of the Commission on Ethics
829	to receive and investigate sworn complaints of violations of
830	this section pursuant to the procedures contained in ss.
831	112.322-112.3241.
832	(b)  If the Commission on Ethics finds that there has been
833	a violation of this section by a public service commissioner or
834	commission employee, it shall provide the Governor and the
835	Florida Public Service Commission Nominating Council with a
836	report of its findings and recommendations. The Governor is
837	authorized to enforce the findings and recommendations of the
838	Commission on Ethics, pursuant to part III of chapter 112.
839	(c)  If a commissioner, commission employee, or other
840	individual fails or refuses to pay the Commission on Ethics any
841	civil penalties assessed pursuant to the provisions of this
842	section, the Commission on Ethics may bring an action in any
843	circuit court to enforce the such penalty.
844	(d)  If, during the course of an investigation by the
845	Commission on Ethics into an alleged violation of this section,
846	allegations are made as to the identity of the person who
847	participated in the ex parte communication, that person must be
848	given notice and an opportunity to participate in the
849	investigation and relevant proceedings to present a defense. If
850	the Commission on Ethics determines that the person participated
851	in the ex parte communication, the person may not appear before
852	the commission or otherwise represent anyone before the
853	commission for a period of 2 years.
854	Section 12.  Subsections (1), (2), and (3) of section
855	350.06, Florida Statutes, are amended to read:
856	350.06  Place of meeting; expenditures; employment of
857	personnel; records availability and fees.-
858	(1)  The offices of the commission said commissioners shall
859	be in the vicinity of Tallahassee, but the commissioners may
860	hold sessions anywhere in the state at their discretion.
861	(2)  All sums of money authorized to be paid on account of
862	the commission said commissioners shall be paid out of the State
863	Treasury only on the order of the Chief Financial Officer.
864	(3)  The commission commissioners may employ clerical,
865	technical, and professional personnel reasonably necessary for
866	the performance of its their duties, except for those
867	responsibilities and functions reserved to the Office of
868	Regulatory Staff, and may also employ one or more persons
869	capable of stenographic court reporting, to be known as the
870	official reporters of the commission.
871	Section 13.  Section 350.0605, Florida Statutes, is amended
872	to read:
873	350.0605  Former commissioners; executive directors; and
874	employees of the commission or Office of Regulatory Staff;
875	representation of clients before commission.-
876	(1)  Any former commissioner of the Public Service
877	Commission or former executive director of the Office of
878	Regulatory Staff is prohibited from appearing before the
879	commission representing any client or any industry regulated by
880	the Public Service Commission for a period of 2 years following
881	termination of service as a commissioner or executive director
882	on the commission.
883	(2)  Any former employee of the commission or the Office of
884	Regulatory Staff is prohibited from appearing before the
885	commission representing any client regulated by the Public
886	Service Commission on any matter which was pending at the time
887	of termination and in which such former employee had
888	participated.
889	(3)  For a period of 2 years following termination of
890	service as a commissioner or executive director on the
891	commission, a former commissioner of the Public Service
892	Commission or former executive director of the Office of
893	Regulatory Staff member may not accept employment by or
894	compensation from a business entity which, directly or
895	indirectly, owns or controls a public utility regulated by the
896	commission, from a public utility regulated by the commission,
897	from a business entity which, directly or indirectly, is an
898	affiliate or subsidiary of a public utility regulated by the
899	commission or is an actual business competitor of a local
900	exchange company or public utility regulated by the commission
901	and is otherwise exempt from regulation by the commission under
902	ss. 364.02(15)(14) and 366.02(1), or from a business entity or
903	trade association that has been a party to a commission
904	proceeding within the 2 years preceding the member's termination
905	of service on the commission. This subsection applies only to
906	members of the Florida Public Service Commission who are
907	appointed or reappointed after May 10, 1993.
908	Section 14.  Subsection (1) of section 350.061, Florida
909	Statutes, is amended to read:
910	350.061  Public Counsel; appointment; oath; restrictions on
911	Public Counsel and his or her employees.-
912	(1)  The Attorney General Committee on Public Counsel
913	Oversight shall appoint a Public Counsel by majority vote of the
914	members of the committee to represent the general public of
915	Florida before the Florida Public Service Commission. The Public
916	Counsel shall be an attorney admitted to practice before the
917	Florida Supreme Court and shall serve at the pleasure of the
918	Attorney General Committee on Public Counsel Oversight, subject
919	to biennial reconfirmation by the committee. The Public Counsel
920	shall perform his or her duties independently. Vacancies in the
921	office shall be filled in the same manner as the original
922	appointment.
923	Section 15.  Section 350.0613, Florida Statutes, is amended
924	to read:
925	350.0613  Public Counsel; employees; receipt of pleadings.-
926	The Attorney General committee may authorize the Public Counsel
927	to employ clerical and technical assistants whose
928	qualifications, duties, and responsibilities the Attorney
929	General committee shall from time to time prescribe. The
930	Attorney General committee may from time to time authorize
931	retention of the services of additional attorneys or experts to
932	the extent that the best interests of the people of the state
933	will be better served thereby, including the retention of expert
934	witnesses and other technical personnel for participation in
935	contested proceedings before the commission. The commission
936	shall furnish the Public Counsel with copies of the initial
937	pleadings in all proceedings before the commission, and if the
938	Public Counsel intervenes as a party in any proceeding he or she
939	shall be served with copies of all subsequent pleadings,
940	exhibits, and prepared testimony, if used. Upon filing notice of
941	intervention, the Public Counsel shall serve all interested
942	parties with copies of such notice and all of his or her
943	subsequent pleadings and exhibits.
944	Section 16.  Section 350.0614, Florida Statutes, is amended
945	to read:
946	350.0614  Public Counsel; compensation and expenses.-
947	(1)  The salaries and expenses of the Public Counsel and
948	his or her employees shall be allocated by the Attorney General
949	committee only from moneys appropriated to the Public Counsel by
950	the Legislature.
951	(2)  The Legislature declares and determines that the
952	Public Counsel is under the legislative branch of government
953	within the intention of the legislation as expressed in chapter
954	216, and no power shall be in the Executive Office of the
955	Governor or its successor to release or withhold funds
956	appropriated to it, but the same shall be available for
957	expenditure as provided by law and the rules or decisions of the
958	Committee on Public Counsel Oversight.
959	(3)  Neither the Executive Office of the Governor nor the
960	Department of Management Services or its successor shall have
961	power to determine the number, or fix the compensation, of the
962	employees of the Public Counsel or to exercise any manner of
963	control over them.
964	Section 17.  (1)  All powers, duties, functions, records,
965	offices, personnel, property, pending issues, and existing
966	contracts, administrative authority, administrative rules, and
967	unexpended balances of appropriations, allocations, and other
968	funds relating to the Office of Public Counsel pursuant to s.
969	350.061, Florida Statutes, are transferred by a type two
970	transfer, as defined in s. 20.06(2), Florida Statutes, from the
971	Legislature to the Office of the Attorney General. The Office of
972	Public Counsel shall be funded from the General Revenue Fund.
973	(2)  Notwithstanding ss. 216.292 and 216.351, Florida
974	Statutes, upon approval by the Legislative Budget Commission,
975	the Executive Office of the Governor shall transfer funds and
976	positions between the Legislature and the Office of the Attorney
977	General to implement this act.
978	Section 18.  Section 350.071, Florida Statutes, is created
979	to read:
980	350.071  Office of Regulatory Staff; creation; status;
981	purpose.-
982	(1)  The Office of Regulatory Staff is created as an office
983	within the Financial Services Commission. The office shall
984	perform its duties independently.
985	(2)  The office shall be considered a party of record in
986	all proceedings before the Public Service Commission. All
987	tariffs, initial pleadings, complaints, and notices of appeal
988	filed with the commission shall be served upon the office. The
989	commission shall notify the office of the initiation of any
990	rulemaking proceeding, workshop, or other proceeding that the
991	commission is authorized by law to initiate.
992	(3)  The office shall represent the public interest of this
993	state. As used in ss. 350.071-350.075, the term "public
994	interest" means a balancing of the following:
995	(a)  Concerns of the using and consuming public, regardless
996	of customer class, with respect to services provided by any
997	company subject to the jurisdiction of the commission pursuant
998	to any provision of law.
999	(b)  Preservation of the financial integrity of the state's
1000	regulated public utilities and continued investment in and
1001	maintenance of facilities in order to provide reliable utility
1002	services at fair, just, and reasonable rates.
1003	(c)  Promotion of fair competition in telecommunications
1004	markets.
1005	(4)  The Office of Regulatory Staff shall be subject to the
1006	same provisions governing ex parte communications that apply to
1007	any other party to a commission proceeding. Any recommendation
1008	of the Office of Regulatory Staff shall be provided to the
1009	commission in a form, forum, and manner as may lawfully be
1010	provided by any other party.
1011	Section 19.  Section 350.072, Florida Statutes, is created
1012	to read:
1013	350.072  Office of Regulatory Staff; organization,
1014	administration, and operations.-
1015	(1)  The Office of Regulatory Staff shall consist of the
1016	executive director and any clerical, technical, and professional
1017	personnel that the executive director deems to be reasonably
1018	necessary for the performance of the duties of the office. The
1019	executive director is authorized to employ expert witnesses and
1020	other professional expertise that the executive director deems
1021	to be reasonably necessary to assist the office in the
1022	performance of its duties.
1023	(2)  The executive director shall employ and set the
1024	compensation for all personnel of the Office of Regulatory Staff
1025	and shall be responsible for the supervision and direction of
1026	all such personnel.
1027	(3)  The executive director and employees of the Office of
1028	Regulatory Staff are not subject to the supervision, direction,
1029	or control of the commission, the chair of the commission, or
1030	any member or employee of the commission.
1031	(4)  The executive director is responsible for preparing
1032	the budget for the Office of Regulatory Staff and shall submit
1033	the budget to the Financial Services Commission.
1034	(5)  The Office of Regulatory Staff shall maintain offices
1035	in Leon County at a place convenient to the offices of the
1036	commission that will enable the Office of Regulatory Staff to
1037	efficiently perform its functions and duties.
1038	(6)  The Office of Regulatory Staff shall establish
1039	procedures governing its internal administration and operations.
1040	Section 20.  Section 350.073, Florida Statutes, is created
1041	to read:
1042	350.073  Office of Regulatory Staff; executive director.-
1043	(1)  The Financial Services Commission shall appoint or
1044	remove the executive director of the Office of Regulatory Staff
1045	in the manner set forth in s. 20.121(3)(d). Appointment of the
1046	executive director shall be subject to confirmation by the
1047	Senate. Until such time as the Senate confirms the appointment
1048	of the executive director, the appointee shall perform the
1049	functions of the office as provided by law.
1050	(2)(a)  The term of the executive director shall be 4
1051	years, and the initial term of office shall begin January 2,
1052	2011. The Financial Services Commission shall appoint the
1053	executive director no less than 60 days prior to the first day
1054	of the term to which he or she is appointed.
1055	(b)  In case of a vacancy in the office of executive
1056	director for any reason before expiration of the term of office,
1057	the Financial Services Commission shall appoint a new executive
1058	director in the same manner as the original appointment. The
1059	Financial Services Commission may appoint an interim executive
1060	director to serve until such time as a new executive director is
1061	appointed.
1062	(3)  A person may not be appointed as executive director
1063	until the Financial Services Commission determines that the
1064	person satisfies the criteria set forth in s. 350.04(1) and
1065	(2)(a) and possesses a minimum of 12 years of professional
1066	experience in one or more of the fields identified in s.
1067	350.04(2)(b).
1068	(4)  The salary of the executive director shall be set by
1069	the Financial Services Commission.
1070	(5)  The executive director shall take and subscribe to the
1071	oath of office required of state officers by the State
1072	Constitution.
1073	(6)  In addition to the provisions of part III of chapter
1074	112, applicable to the executive director by virtue of being a
1075	public officer, the executive director shall be subject to the
1076	standards of conduct applicable to commissioners pursuant to s.
1077	350.041(2)(a), (b), (c), (d), (e), (g), (l), and (n). In the
1078	event of a conflict between this section and part III of chapter
1079	112, the more restrictive provision shall apply.
1080	Section 21.  Section 350.074, Florida Statutes, is created
1081	to read:
1082	350.074  Office of Regulatory Staff; duties.-
1083	(1)  The Office of Regulatory Staff shall represent the
1084	public interest with respect to matters within the jurisdiction
1085	of the commission and, when considered necessary and in the
1086	public interest by the executive director, shall petition the
1087	commission to initiate proceedings on matters within its
1088	jurisdiction. The office shall have authority to:
1089	(a)  Review and investigate the rates charged or proposed
1090	to be charged, and the service furnished or proposed to be
1091	furnished, by any public utility or regulated company.
1092	(b)  Inspect, audit, and examine public utilities and
1093	regulated companies regarding matters within the jurisdiction of
1094	the commission.
1095	(c)  Represent the public interest in commission
1096	proceedings, hearings, rulemakings, and other regulatory
1097	matters.
1098	(d)  Investigate complaints made in connection with matters
1099	under the jurisdiction of the commission, including those
1100	complaints that are directed to the commission or commissioners.
1101	(e)  Assist customers in the informal resolution of
1102	complaints regarding the rates or service of public utilities
1103	and regulated companies or regarding any other matter within the
1104	jurisdiction of the commission.
1105	(f)  Make studies to the commission with respect to
1106	standards, regulations, practices, or service of any public
1107	utility or regulated company.
1108	(g)  Provide legal representation of the public interest
1109	before other state agencies, federal agencies, and state and
1110	federal courts in connection with matters under the jurisdiction
1111	of the commission, including proceedings that could affect the
1112	rates or service of any public utility or regulated company.
1113	(h)  Educate the public on matters within the jurisdiction
1114	of the commission which are of special interest to consumers.
1115	(2)  The commission may not require the Office of
1116	Regulatory Staff to sponsor witnesses or provide testimony in
1117	any proceeding, but it may request in writing or at any duly
1118	noticed public meeting that the office:
1119	(a)  Provide information and reports on any matter subject
1120	to the commission's jurisdiction and matters incidental to the
1121	jurisdiction of the commission;
1122	(b)  Assist in the preparation of any report that the
1123	commission is required by law to produce; or
1124	(c)  Conduct inspections, audits, or examinations of public
1125	utilities and regulated companies regarding matters within the
1126	jurisdiction of the commission.
1127	(3)  Decisions relating to whether, when, or how to
1128	petition to initiate proceedings before the commission or to
1129	participate or intervene in proceedings before other state
1130	agencies, federal agencies, or state or federal courts are in
1131	the sole discretion of the executive director, except for those
1132	matters that are specified by order of a court of competent
1133	jurisdiction.
1134	(4)  The Office of Regulatory Staff is considered to have
1135	an interest sufficient to maintain actions for judicial review
1136	of commission orders or decisions and may, as of right and in a
1137	manner prescribed by law, intervene or otherwise participate in
1138	any civil proceeding which involves the review or enforcement of
1139	commission action that the executive director determines may
1140	substantially affect the public interest.
1141	(5)  The Office of Regulatory Staff shall provide to the
1142	Legislature an annual report of its activities.
1143	(6)  The commission and the office shall establish mutually
1144	acceptable procedures by which the office may elect not to
1145	participate as a party in noncontroversial matters.
1146	Section 22.  (1)  The Public Service Commission may employ
1147	clerical, technical, and professional personnel reasonably
1148	necessary for the performance of its duties and
1149	responsibilities. The commission may also employ one or more
1150	persons capable of stenographic court reporting to be known as
1151	the official reporters of the commission.
1152	(2)  All powers, duties, functions, records, offices,
1153	personnel, property, pending issues, and existing contracts,
1154	administrative authority, administrative rules, and unexpended
1155	balances of appropriations, allocations, and other funds not
1156	related to the duties and responsibilities of the Public Service
1157	Commission shall be transferred by a type two transfer, as
1158	defined in s. 20.06(2), Florida Statutes, from the commission to
1159	the Office of Regulatory Staff, as created pursuant to s.
1160	350.071, Florida Statutes, to fulfill its duties and
1161	responsibilities in accordance with ss. 350.072, 350.073,
1162	350.074, and 350.075, Florida Statutes, and in accordance with
1163	any other provision of law.
1164	(3)  The Regulatory Trust Fund, FLAIR number 61-2-573, is
1165	transferred from the Public Service Commission to the Office of
1166	Regulatory Staff within the Financial Services Commission.
1167	(4)  Notwithstanding ss. 216.292 and 216.351, Florida
1168	Statutes, upon approval by the Legislative Budget Commission,
1169	the Executive Office of the Governor shall transfer funds and
1170	positions between the Public Service Commission and the Office
1171	of Regulatory Staff to implement this act.
1172	Section 23.  Section 350.075, Florida Statutes, is created
1173	to read:
1174	350.075  Office of Regulatory Staff; access to records.-The
1175	Office of Regulatory Staff may access or require the production
1176	of books, records, and information pursuant to ss. 364.183,
1177	366.093, 367.156, and 368.108 and may access or require the
1178	production of any other records as provided by law.
1179	Section 24.  Subsections (1), (2), and (6) of section
1180	350.113, Florida Statutes, are amended to read:
1181	350.113  Florida Public Service Regulatory Trust Fund;
1182	moneys to be deposited therein.-
1183	(1)  There is hereby created in the State Treasury a
1184	special fund to be designated as the "Florida Public Service
1185	Regulatory Trust Fund" which shall be used in the operation of
1186	the commission and the Office of Regulatory Staff in the
1187	performance of the various functions and duties required of them
1188	it by law.
1189	(2)  All fees, licenses, and other charges collected by the
1190	commission shall be deposited in the State Treasury to the
1191	credit of the Florida Public Service Regulatory Trust Fund to be
1192	used in the operation of the commission and the Office of
1193	Regulatory Staff as authorized by the Legislature; however,
1194	penalties and interest assessed and collected by the commission
1195	shall not be deposited in the trust fund but shall be deposited
1196	in the General Revenue Fund. The Florida Public Service
1197	Regulatory Trust Fund shall be subject to the service charge
1198	imposed pursuant to chapter 215.
1199	(6)  All moneys in the Florida Public Service Regulatory
1200	Trust Fund shall be for the use of the commission and the Office
1201	of Regulatory Staff in the performance of their its functions
1202	and duties as provided by law, subject to the fiscal and
1203	budgetary provisions of general law.
1204	Section 25.  Subsections (1) and (2) of section 350.117,
1205	Florida Statutes, are amended to read:
1206	350.117  Reports; audits.-
1207	(1)  The commission and the Office of Regulatory Staff may
1208	require such regular or emergency reports, including, but not
1209	limited to, financial reports, as the commission or the office
1210	deems necessary to fulfill its obligations under the law. A copy
1211	of any report provided to the commission must be provided to the
1212	Office of Regulatory Staff.
1213	(2)  The commission may request that the Office of
1214	Regulatory Staff perform management and operation audits of any
1215	regulated company. The commission may consider the results of
1216	such audits in establishing rates; however, the company shall
1217	not be denied due process as a result of the use of any such
1218	management or operation audit.
1219	Section 26.  Section 350.121, Florida Statutes, is
1220	repealed.
1221	Section 27.  Section 350.122, Florida Statutes, is created
1222	to read:
1223	350.122  Testimony; public disclosure of affiliation.-
1224	(1)  Each person offering testimony at a meeting, workshop,
1225	hearing, or other scheduled event of the commission shall
1226	disclose any financial or fiduciary relationship with any party
1227	to the proceedings at the time the testimony is provided to the
1228	commission.
1229	(2)  The determination by the commission that a person has
1230	knowingly violated this section constitutes agency action for
1231	which a hearing may be sought under chapter 120.
1232	Section 28.  Section 364.016, Florida Statutes, is amended
1233	to read:
1234	364.016  Travel costs.-The office commission has the
1235	authority to assess a telecommunications company for reasonable
1236	travel costs associated with reviewing the records of the
1237	telecommunications company and its affiliates when such records
1238	are kept out of state. The telecommunications company may bring
1239	the records back into the state for review.
1240	Section 29.  Subsections (11) through (16) of section
1241	364.02, Florida Statutes, are renumbered as subsections (12)
1242	through (17), respectively, and a new subsection (11) is added
1243	to that section to read:
1244	364.02  Definitions.-As used in this chapter, the term:
1245	(11)  "Office" means the Office of Regulatory Staff.
1246	Section 30.  Section 364.15, Florida Statutes, is amended
1247	to read:
1248	364.15  Compelling repairs, improvements, changes,
1249	additions, or extensions.-Whenever the commission finds, on its
1250	own motion or upon petition or complaint, that repairs or
1251	improvements to, or changes in, any telecommunications facility
1252	ought reasonably to be made, or that any additions or extensions
1253	should reasonably be made to any telecommunications facility, in
1254	order to promote the security or convenience of the public or
1255	employees or in order to secure adequate service or facilities
1256	for basic local telecommunications services consistent with the
1257	requirements set forth in this chapter, the commission shall
1258	make and serve an order directing that such repairs,
1259	improvements, changes, additions, or extensions be made in the
1260	manner to be specified in the order. This section authorizes the
1261	commission to impose only those requirements that it is
1262	otherwise authorized to impose under this chapter.
1263	Section 31.  Subsections (1) and (2) of section 364.183,
1264	Florida Statutes, are amended to read:
1265	364.183  Access to company records.-
1266	(1)  The commission and the office shall have access to all
1267	records of a telecommunications company that are reasonably
1268	necessary for the disposition of matters within the commission's
1269	jurisdiction. The commission and the office shall also have
1270	access to those records of a local exchange telecommunications
1271	company's affiliated companies, including its parent company,
1272	that are reasonably necessary for the disposition of any matter
1273	concerning an affiliated transaction or a claim of
1274	anticompetitive behavior including claims of cross-subsidization
1275	and predatory pricing. Both the commission and the office may
1276	require a telecommunications company to file records, reports or
1277	other data directly related to matters within the commission's
1278	jurisdiction in the form specified in the request by the
1279	commission and may require such company to retain such
1280	information for a designated period of time. Upon request of the
1281	company or other person, any records received by the commission
1282	or the office which are claimed by the company or other person
1283	to be proprietary confidential business information shall be
1284	kept confidential and shall be exempt from s. 119.07(1) and s.
1285	24(a), Art. I of the State Constitution. The authority of the
1286	commission to access records under this section is granted
1287	subject to the limitations set forth in s. 350.011(3) and (4).
1288	(2)  Discovery in any docket or proceeding before the
1289	commission shall be in the manner provided for in Rule 1.280 of
1290	the Florida Rules of Civil Procedure. Upon a showing by a
1291	company or other person and a finding by the commission that
1292	discovery will require the disclosure of proprietary
1293	confidential business information, the commission shall issue an
1294	appropriate protective order designating the manner for handling
1295	such information during the course of the proceeding and for
1296	protecting such information from disclosure outside the
1297	proceeding. Such proprietary confidential business information
1298	shall be exempt from s. 119.07(1). Any records provided pursuant
1299	to a discovery request for which proprietary confidential
1300	business information status is requested shall be treated by the
1301	commission, the Office of Regulatory Staff, and the Office of
1302	the Public Counsel, and any other party subject to the public
1303	records law as confidential and shall be exempt from s.
1304	119.07(1), pending a formal ruling on such request by the
1305	commission or the return of the records to the person providing
1306	the records. Any record which has been determined to be
1307	proprietary confidential business information and is not entered
1308	into the official record of the proceeding shall be returned to
1309	the person providing the record within 60 days after the final
1310	order, unless the final order is appealed. If the final order is
1311	appealed, any such record shall be returned within 30 days after
1312	the decision on appeal. The commission shall adopt the necessary
1313	rules to implement this subsection.
1314	Section 32.  Section 364.185, Florida Statutes, is amended
1315	to read:
1316	364.185  Investigations and inspections; power of office
1317	commission.-The office commission or its duly authorized
1318	representatives may during all reasonable hours enter upon any
1319	premises occupied by any telecommunications company and may set
1320	up and use thereon all necessary apparatus and appliances for
1321	the purpose of making investigations, inspections, examinations,
1322	and tests and exercising any power conferred by this chapter or
1323	chapter 350; however, the telecommunications company shall be
1324	notified of and be represented at the making of such
1325	investigations, inspections, examinations, and tests. The
1326	requirement to provide prior notification and representation
1327	shall not be applicable to the onsite field inspection of
1328	equipment used to provide telecommunications services to the
1329	transient public, including the facilities of call aggregators.
1330	Section 33.  Subsections (2) and (4) of section 364.335,
1331	Florida Statutes, are amended to read:
1332	364.335  Application for certificate.-
1333	(2)  If the commission grants the requested certificate,
1334	any person who would be substantially affected by the requested
1335	certification may, within 21 days after the granting of such
1336	certificate, file a written objection requesting a proceeding
1337	pursuant to ss. 120.569 and 120.57. The commission may, upon
1338	petition of the office on its own motion, institute a proceeding
1339	under ss. 120.569 and 120.57 to determine whether the grant of
1340	such certificate is in the public interest. The commission shall
1341	order such proceeding conducted in or near the territory applied
1342	for, if feasible. If any person requests a public hearing on the
1343	application, such hearing shall, if feasible, be held in or near
1344	the territory applied for, and the transcript of the public
1345	hearing and any material submitted at or prior to the hearing
1346	shall be considered part of the record of the application and
1347	any proceeding related to the application.
1348	(4)  Except as provided in s. 364.33, revocation,
1349	suspension, transfer, or amendment of a certificate shall be
1350	subject to the provisions of this section; except that, when the
1351	commission institutes a proceeding upon petition of the office
1352	initiates the action, the commission shall furnish notice to the
1353	appropriate local government and to the Public Counsel.
1354	Section 34.  Subsection (10) of section 364.3376, Florida
1355	Statutes, is amended to read:
1356	364.3376  Operator services.-
1357	(10)  The office commission shall conduct an effective
1358	program of random, no-notice compliance investigations of the
1359	operator services providers and call aggregators operating
1360	within the state. When the office commission finds a blocking
1361	violation, it shall notify the commission and provide
1362	information to assist the commission in determining determine
1363	whether the blocking is the responsibility of the call
1364	aggregator or the operator services provider. The commission and
1365	may fine the responsible party in accordance with s. 364.285.
1366	Upon the failure of the responsible party to correct a violation
1367	within a mandatory time limit established by the commission or
1368	upon a proven pattern of intentional blocking, the commission
1369	shall order the discontinuance of the call aggregator's
1370	telephone service or revoke the operator services provider's
1371	certificate, as applicable.
1372	Section 35.  Subsection (3) of section 364.3381, Florida
1373	Statutes, is amended to read:
1374	364.3381  Cross-subsidization.-
1375	(3)  The commission shall have continuing oversight
1376	jurisdiction over cross-subsidization, predatory pricing, or
1377	other similar anticompetitive behavior and may investigate, upon
1378	petition or complaint or on its own motion, allegations of such
1379	practices.
1380	Section 36.  Section 364.37, Florida Statutes, is amended
1381	to read:
1382	364.37  Controversy concerning territory to be served;
1383	powers of commission.-If any person in constructing or extending
1384	his or her telecommunications facility unreasonably interferes
1385	or is about to unreasonably interfere with any
1386	telecommunications facility or service of any other person, or
1387	if a controversy arises between any two or more persons with
1388	respect to the territory professed to be served by each, the
1389	commission, upon petition of the office or on its own initiative
1390	or on complaint of any person claiming to be adversely affected,
1391	may make such order and prescribe such terms and conditions with
1392	respect thereto as are just and reasonable.
1393	Section 37.  Subsection (4) is added to section 366.02,
1394	Florida Statutes, to read:
1395	366.02  Definitions.-As used in this chapter:
1396	(4)  "Office" means the Office of Regulatory Staff.
1397	Section 38.  Subsections (6), (9), and (11) of section
1398	366.05, Florida Statutes, are amended to read:
1399	366.05  Powers.-
1400	(6)  The commission or the office, if designated by the
1401	commission to conduct testing, may purchase materials,
1402	apparatus, and standard measuring instruments for such
1403	examination and tests.
1404	(9)  Both the commission and the office may require the
1405	filing of reports and other data by a public utility or its
1406	affiliated companies, including its parent company, regarding
1407	transactions, or allocations of common costs, among the utility
1408	and such affiliated companies. Both the commission and the
1409	office may also require such reports or other data necessary to
1410	ensure that a utility's ratepayers do not subsidize nonutility
1411	activities. The authority of the commission to access records
1412	under this subsection is granted subject to the limitations set
1413	forth in s. 350.011(3) and (4).
1414	(11)  The office may commission has the authority to assess
1415	a public utility for reasonable travel costs associated with
1416	reviewing the records of the public utility and its affiliates
1417	when such records are kept out of state. The public utility may
1418	bring the records back into the state for review.
1419	Section 39.  Subsections (2) and (3) of section 366.06,
1420	Florida Statutes, are amended to read:
1421	366.06  Rates; procedure for fixing and changing.-
1422	(2)  Whenever the commission finds, upon request made or
1423	upon its own motion, that the rates demanded, charged, or
1424	collected by any public utility for public utility service, or
1425	that the rules, regulations, or practices of any public utility
1426	affecting such rates, are unjust, unreasonable, unjustly
1427	discriminatory, or in violation of law; that such rates are
1428	insufficient to yield reasonable compensation for the services
1429	rendered; that such rates yield excessive compensation for
1430	services rendered; or that such service is inadequate or cannot
1431	be obtained, the commission shall order and hold a public
1432	hearing, giving notice to the public and to the public utility,
1433	and shall thereafter determine just and reasonable rates to be
1434	thereafter charged for such service and promulgate rules and
1435	regulations affecting equipment, facilities, and service to be
1436	thereafter installed, furnished, and used.
1437	(3)  Pending a final order by the commission in any rate
1438	proceeding under this section, the commission may withhold
1439	consent to the operation of all or any portion of the new rate
1440	schedules, delivering to the utility requesting such increase,
1441	within 60 days, a reason or written statement of good cause for
1442	withholding its consent. Such consent shall not be withheld for
1443	a period longer than 8 months from the date of filing the new
1444	schedules. The new rates or any portion not consented to shall
1445	go into effect under bond or corporate undertaking at the end of
1446	such period, but the commission shall, by order, require such
1447	public utility to keep accurate account in detail of all amounts
1448	received by reason of such increase, specifying by whom and in
1449	whose behalf such amounts were paid and, upon completion of
1450	hearing and final decision in such proceeding, shall by further
1451	order require such public utility to refund with interest at a
1452	fair rate, to be determined by the commission in such manner as
1453	it may direct, such portion of the increased rate or charge as
1454	by its decision shall be found not justified. Any portion of
1455	such refund not thus refunded to patrons or customers of the
1456	public utility shall be refunded or disposed of by the public
1457	utility as the commission may direct; however, no such funds
1458	shall accrue to the benefit of the public utility. The
1459	commission shall take final commission action in the docket and
1460	enter its final order within 12 months of the commencement date
1461	for final agency action. As used in this subsection, the
1462	"commencement date for final agency action" means the date upon
1463	which it has been determined by the commission or its designee
1464	that the utility has filed with the clerk the minimum filing
1465	requirements as established by rule of the commission. Within 30
1466	days after receipt of the application, rate request, or other
1467	written document for which the commencement date for final
1468	agency action is to be established, the commission or its
1469	designee shall either determine the commencement date for final
1470	agency action or issue a statement of deficiencies to the
1471	applicant, specifically listing why said applicant has failed to
1472	meet the minimum filing requirements. Such statement of
1473	deficiencies shall be binding upon the commission to the extent
1474	that, once the deficiencies in the statement are satisfied, the
1475	commencement date for final agency action shall be promptly
1476	established as provided herein. Thereafter, within 15 days after
1477	the applicant indicates to the commission that it believes that
1478	it has met the minimum filing requirements, the commission or
1479	its designee shall either determine the commencement date for
1480	final agency action or specifically enumerate in writing why the
1481	requirements have not been met, in which case this procedure
1482	shall be repeated until the commencement date for final agency
1483	action is established. When the commission initiates a
1484	proceeding upon a request made by a person other than the
1485	utility, the commencement date for final agency action shall be
1486	the date upon which the order initiating the proceeding is
1487	issued.
1488	Section 40.  Section 366.07, Florida Statutes, is amended
1489	to read:
1490	366.07  Rates; adjustment.-Whenever the commission, after
1491	public hearing either upon petition of the office its own motion
1492	or upon complaint, shall find the rates, rentals, charges or
1493	classifications, or any of them, proposed, demanded, observed,
1494	charged or collected by any public utility for any service, or
1495	in connection therewith, or the rules, regulations,
1496	measurements, practices or contracts, or any of them, relating
1497	thereto, are unjust, unreasonable, insufficient, excessive, or
1498	unjustly discriminatory or preferential, or in anywise in
1499	violation of law, or any service is inadequate or cannot be
1500	obtained, the commission shall determine and by order fix the
1501	fair and reasonable rates, rentals, charges or classifications,
1502	and reasonable rules, regulations, measurements, practices,
1503	contracts or service, to be imposed, observed, furnished or
1504	followed in the future.
1505	Section 41.  Subsections (1) and (3) of section 366.071,
1506	Florida Statutes, are amended to read:
1507	366.071  Interim rates; procedure.-
1508	(1)  The commission may, during any proceeding for a change
1509	of rates, upon its own motion, or upon petition from any party,
1510	or by a tariff filing of a public utility, authorize the
1511	collection of interim rates until the effective date of the
1512	final order. Such interim rates may be based upon a test period
1513	different from the test period used in the request for permanent
1514	rate relief. To establish a prima facie entitlement for interim
1515	relief, the commission, the petitioning party, or the public
1516	utility shall demonstrate that the public utility is earning
1517	outside the range of reasonableness on rate of return calculated
1518	in accordance with subsection (5).
1519	(3)  In granting such relief, the commission may, in an
1520	expedited hearing but within 60 days of the commencement of the
1521	proceeding, upon petition or upon its own motion, preclude the
1522	recovery of any extraordinary or imprudently incurred
1523	expenditures or, for good cause shown, increase the amount of
1524	the bond or corporate undertaking.
1525	Section 42.  Subsection (1) of section 366.076, Florida
1526	Statutes, is amended to read:
1527	366.076  Limited proceedings; rules on subsequent
1528	adjustments.-
1529	(1)  Upon petition or its own motion, the commission may
1530	conduct a limited proceeding to consider and act upon any matter
1531	within its jurisdiction, including any matter the resolution of
1532	which requires a public utility to adjust its rates to consist
1533	with the provisions of this chapter. The commission shall
1534	determine the issues to be considered during such a proceeding
1535	and may grant or deny any request to expand the scope of the
1536	proceeding to include other matters.
1537	Section 43.  Section 366.08, Florida Statutes, is amended
1538	to read:
1539	366.08  Investigations, inspections; power of office
1540	commission.-The office commission or its duly authorized
1541	representatives may during all reasonable hours enter upon any
1542	premises occupied by any public utility and may set up and use
1543	thereon all necessary apparatus and appliances for the purpose
1544	of making investigations, inspections, examinations and tests
1545	and exercising any power conferred by this chapter or chapter
1546	350; however provided, such public utility shall have the right
1547	to be notified of and be represented at the making of such
1548	investigations, inspections, examinations and tests.
1549	Section 44.  Subsections (1) and (2) of section 366.093,
1550	Florida Statutes, are amended to read:
1551	366.093  Public utility records; confidentiality.-
1552	(1)  The commission and the office shall continue to have
1553	reasonable access to all public utility records and records of
1554	the utility's affiliated companies, including its parent
1555	company, regarding transactions or cost allocations among the
1556	utility and such affiliated companies, and such records
1557	necessary to ensure that a utility's ratepayers do not subsidize
1558	nonutility activities. Upon request of the public utility or
1559	other person, any records received by the commission or the
1560	office which are shown and found by the commission to be
1561	proprietary confidential business information shall be kept
1562	confidential and shall be exempt from s. 119.07(1). The
1563	authority of the commission to access records under this section
1564	is granted subject to the limitations set forth in s. 350.011(3)
1565	and (4).
1566	(2)  Discovery in any docket or proceeding before the
1567	commission shall be in the manner provided for in Rule 1.280 of
1568	the Florida Rules of Civil Procedure. Information which affects
1569	a utility's rates or cost of service shall be considered
1570	relevant for purposes of discovery in any docket or proceeding
1571	where the utility's rates or cost of service are at issue. The
1572	commission shall determine whether information requested in
1573	discovery affects a utility's rates or cost of service. Upon a
1574	showing by a utility or other person and a finding by the
1575	commission that discovery will require the disclosure of
1576	proprietary confidential business information, the commission
1577	shall issue appropriate protective orders designating the manner
1578	for handling such information during the course of the
1579	proceeding and for protecting such information from disclosure
1580	outside the proceeding. Such proprietary confidential business
1581	information shall be exempt from s. 119.07(1). Any records
1582	provided pursuant to a discovery request for which proprietary
1583	confidential business information status is requested shall be
1584	treated by the commission, the Office of Regulatory Staff, and
1585	the office of the Public Counsel, and any other party subject to
1586	the public records law as confidential and shall be exempt from
1587	s. 119.07(1), pending a formal ruling on such request by the
1588	commission or the return of the records to the person providing
1589	the records. Any record which has been determined to be
1590	proprietary confidential business information and is not entered
1591	into the official record of the proceeding must be returned to
1592	the person providing the record within 60 days after the final
1593	order, unless the final order is appealed. If the final order is
1594	appealed, any such record must be returned within 30 days after
1595	the decision on appeal. The commission shall adopt the necessary
1596	rules to implement this provision.
1597	Section 45.  Subsections (6) and (7) of section 366.82,
1598	Florida Statutes, are amended to read:
1599	366.82  Definition; goals; plans; programs; annual reports;
1600	energy audits.-
1601	(6)  The commission may change the goals upon a showing of
1602	for reasonable cause. The time period to review the goals,
1603	however, shall not exceed 5 years. After the programs and plans
1604	to meet those goals are completed, the commission shall
1605	determine what further goals, programs, or plans are warranted
1606	and adopt them.
1607	(7)  Following adoption of goals pursuant to subsections
1608	(2) and (3), the commission shall require each utility to
1609	develop plans and programs to meet the overall goals within its
1610	service area. Upon petition, the commission may require
1611	modifications or additions to a utility's plans and programs at
1612	any time it is shown to be in the public interest consistent
1613	with this act. In approving plans and programs for cost
1614	recovery, the commission shall have the flexibility to modify or
1615	deny plans or programs that would have an undue impact on the
1616	costs passed on to customers. If any plan or program includes
1617	loans, collection of loans, or similar banking functions by a
1618	utility and the plan is approved by the commission, the utility
1619	shall perform such functions, notwithstanding any other
1620	provision of the law. However, no utility shall be required to
1621	loan its funds for the purpose of purchasing or otherwise
1622	acquiring conservation measures or devices, but nothing herein
1623	shall prohibit or impair the administration or implementation of
1624	a utility plan as submitted by a utility and approved by the
1625	commission under this subsection. If the commission disapproves
1626	a plan, it shall specify the reasons for disapproval, and the
1627	utility whose plan is disapproved shall resubmit its modified
1628	plan within 30 days. Prior approval by the commission shall be
1629	required to modify or discontinue a plan, or part thereof, which
1630	has been approved. If any utility has not implemented its
1631	programs and is not substantially in compliance with the
1632	provisions of its approved plan at any time, the commission
1633	shall adopt programs required for that utility to achieve the
1634	overall goals. Utility programs may include variations in rate
1635	design, load control, cogeneration, residential energy
1636	conservation subsidy, or any other measure within the
1637	jurisdiction of the commission which the commission finds likely
1638	to be effective; this provision shall not be construed to
1639	preclude these measures in any plan or program.
1640	Section 46.  Subsections (9) through (13) of section
1641	367.021, Florida Statutes, are renumbered as subsections (10)
1642	through (14), respectively, and a new subsection (9) is added to
1643	that section to read:
1644	367.021  Definitions.-As used in this chapter, the
1645	following words or terms shall have the meanings indicated:
1646	(9)  "Office" means the Office of Regulatory Staff.
1647	Section 47.  Paragraph (a) of subsection (1), paragraph (a)
1648	of subsection (2), and subsections (4) and (6) of section
1649	367.045, Florida Statutes, are amended to read:
1650	367.045  Certificate of authorization; application and
1651	amendment procedures.-
1652	(1)  When a utility applies for an initial certificate of
1653	authorization from the commission, it shall:
1654	(a)  Provide notice of the actual application filed by mail
1655	or personal delivery to the governing body of the county or city
1656	affected, to the Public Counsel, the office, to the commission,
1657	and to such other persons and in such other manner as may be
1658	prescribed by commission rule;
1659	(2)  A utility may not delete or extend its service outside
1660	the area described in its certificate of authorization until it
1661	has obtained an amended certificate of authorization from the
1662	commission. When a utility applies for an amended certificate of
1663	authorization from the commission, it shall:
1664	(a)  Provide notice of the actual application filed by mail
1665	or personal delivery to the governing body of the county or
1666	municipality affected, to the Public Counsel, the office, to the
1667	commission, and to such other persons and in such other manner
1668	as may be prescribed by commission rule;
1669	(4)  If, within 30 days after the last day that notice was
1670	mailed or published by the applicant, whichever is later, the
1671	commission receives from the Public Counsel, the office, a
1672	governmental authority, or a utility or consumer who would be
1673	substantially affected by the requested certification or
1674	amendment a written objection requesting a proceeding pursuant
1675	to ss. 120.569 and 120.57, the commission shall order such
1676	proceeding conducted in or near the area for which application
1677	is made, if feasible. Notwithstanding the ability to object on
1678	any other ground, a county or municipality has standing to
1679	object on the ground that the issuance or amendment of the
1680	certificate of authorization violates established local
1681	comprehensive plans developed pursuant to ss. 163.3161-163.3211.
1682	If a consumer, utility, or governmental authority or the office
1683	or Public Counsel requests a public hearing on the application,
1684	such hearing must, if feasible, be held in or near the area for
1685	which application is made; and the transcript of such hearing
1686	and any material submitted at or before the hearing must be
1687	considered as part of the record of the application and any
1688	proceeding related thereto.
1689	(6)  The revocation, suspension, transfer, or amendment of
1690	a certificate of authorization is subject to the provisions of
1691	this section. The commission shall give 30 days' notice before
1692	it initiates any such action upon petition of the office.
1693	Section 48.  Paragraph (a) of subsection (2) and paragraph
1694	(a) of subsection (4) of section 367.081, Florida Statutes, are
1695	amended to read:
1696	367.081  Rates; procedure for fixing and changing.-
1697	(2)(a)1.  The commission shall, either upon request or upon
1698	its own motion, fix rates which are just, reasonable,
1699	compensatory, and not unfairly discriminatory. In every such
1700	proceeding, the commission shall consider the value and quality
1701	of the service and the cost of providing the service, which
1702	shall include, but not be limited to, debt interest; the
1703	requirements of the utility for working capital; maintenance,
1704	depreciation, tax, and operating expenses incurred in the
1705	operation of all property used and useful in the public service;
1706	and a fair return on the investment of the utility in property
1707	used and useful in the public service. However, the commission
1708	shall not allow the inclusion of contributions-in-aid-of-
1709	construction in the rate base of any utility during a rate
1710	proceeding, nor shall the commission impute prospective future
1711	contributions-in-aid-of-construction against the utility's
1712	investment in property used and useful in the public service;
1713	and accumulated depreciation on such contributions-in-aid-of-
1714	construction shall not be used to reduce the rate base, nor
1715	shall depreciation on such contributed assets be considered a
1716	cost of providing utility service.
1717	2.  For purposes of such proceedings, the commission shall
1718	consider utility property, including land acquired or facilities
1719	constructed or to be constructed within a reasonable time in the
1720	future, not to exceed 24 months after the end of the historic
1721	base year used to set final rates unless a longer period is
1722	approved by the commission, to be used and useful in the public
1723	service, if:
1724	a.  Such property is needed to serve current customers;
1725	b.  Such property is needed to serve customers 5 years
1726	after the end of the test year used in the commission's final
1727	order on a rate request as provided in subsection (6) at a
1728	growth rate for equivalent residential connections not to exceed
1729	5 percent per year; or
1730	c.  Such property is needed to serve customers more than 5
1731	full years after the end of the test year used in the
1732	commission's final order on a rate request as provided in
1733	subsection (6) only to the extent that the utility presents
1734	clear and convincing evidence to justify such consideration.
1735
1736	Notwithstanding the provisions of this paragraph, the commission
1737	shall approve rates for service which allow a utility to recover
1738	from customers the full amount of environmental compliance
1739	costs. Such rates may not include charges for allowances for
1740	funds prudently invested or similar charges. For purposes of
1741	this requirement, the term "environmental compliance costs"
1742	includes all reasonable expenses and fair return on any prudent
1743	investment incurred by a utility in complying with the
1744	requirements or conditions contained in any permitting,
1745	enforcement, or similar decisions of the United States
1746	Environmental Protection Agency, the Department of Environmental
1747	Protection, a water management district, or any other
1748	governmental entity with similar regulatory jurisdiction.
1749	(4)(a)  On or before March 31 of each year, the commission
1750	by order shall establish a price increase or decrease index for
1751	major categories of operating costs incurred by utilities
1752	subject to its jurisdiction reflecting the percentage of
1753	increase or decrease in such costs from the most recent 12-month
1754	historical data available. The commission by rule shall
1755	establish the procedure to be used in determining such indices
1756	and a procedure by which a utility, without further action by
1757	the commission, or the commission upon petition of the office on
1758	its own motion, may implement an increase or decrease in its
1759	rates based upon the application of the indices to the amount of
1760	the major categories of operating costs incurred by the utility
1761	during the immediately preceding calendar year, except to the
1762	extent of any disallowances or adjustments for those expenses of
1763	that utility in its most recent rate proceeding before the
1764	commission. The rules shall provide that, upon a finding of good
1765	cause, including inadequate service, the commission may order a
1766	utility to refrain from implementing a rate increase hereunder
1767	unless implemented under a bond or corporate undertaking in the
1768	same manner as interim rates may be implemented under s.
1769	367.082. A utility may not use this procedure between the
1770	official filing date of the rate proceeding and 1 year
1771	thereafter, unless the case is completed or terminated at an
1772	earlier date. A utility may not use this procedure to increase
1773	any operating cost for which an adjustment has been or could be
1774	made under paragraph (b), or to increase its rates by
1775	application of a price index other than the most recent price
1776	index authorized by the commission at the time of filing.
1777	Section 49.  Subsections (1), (2), (4), (6), (8), and (10)
1778	of section 367.0814, Florida Statutes, are amended to read:
1779	367.0814  Office of Regulatory Staff assistance in changing
1780	rates and charges; interim rates.-
1781	(1)  The commission may establish rules by which a water or
1782	wastewater utility whose gross annual revenues are $250,000 or
1783	less may request and obtain staff assistance from the Office of
1784	Regulatory Staff for the purpose of changing its rates and
1785	charges. A utility may request such staff assistance by filing
1786	an application with the commission. The gross annual revenue
1787	level shall be adjusted on July 1, 2013, and every 5 years
1788	thereafter, based on the most recent cumulative 5 years of the
1789	price index established by the commission pursuant to s.
1790	367.081(4)(a).
1791	(2)  The official date of filing is established as 30 days
1792	after official acceptance by the office commission of the
1793	application. If a utility does not remit a fee, as provided by
1794	s. 367.145, within 30 days after acceptance, the commission may
1795	deny the application. The commission has 15 months after the
1796	official date of filing within which to issue a final order.
1797	(4)  The commission may, upon petition from the office or
1798	its own motion, or upon petition from the regulated utility,
1799	authorize the collection of interim rates until the effective
1800	date of the final order. Such interim rates may be based upon a
1801	test period different from the test period used in the request
1802	for permanent rate relief. To establish interim relief, there
1803	must be a demonstration that the operation and maintenance
1804	expenses exceed the revenues of the regulated utility, and
1805	interim rates shall not exceed the level necessary to cover
1806	operation and maintenance expenses as defined by the Uniform
1807	System of Accounts for Class C Water and Wastewater Utilities
1808	(1996) of the National Association of Regulatory Utility
1809	Commissioners.
1810	(6)  The utility, in requesting staff assistance from the
1811	office, shall agree to accept the final rates and charges
1812	approved by the commission unless the final rates and charges
1813	produce less revenue than the existing rates and charges.
1814	(8)  If a utility becomes exempt from commission regulation
1815	or jurisdiction during the pendency of a staff-assisted rate
1816	case conducted pursuant to this section, the request for rate
1817	relief is deemed to have been withdrawn. Interim rates, if
1818	previously approved, shall become final. Temporary rates, if
1819	previously approved, must be discontinued, and any money
1820	collected pursuant to the temporary rates, or the difference
1821	between temporary and interim rates, if previously approved,
1822	must be refunded to the customers of the utility with interest.
1823	(10)  The commission shall submit to the President of the
1824	Senate and the Speaker of the House of Representatives by
1825	January 1, 2013, and every 5 years thereafter, a report of the
1826	status of proceedings conducted under this section, including
1827	the number of utilities eligible to request staff assistance
1828	from the office, the number of proceedings conducted annually
1829	for the most recent 5-year period, the associated impact on
1830	commission and office resources, and any other information the
1831	commission deems appropriate. The commission shall request from
1832	the office any information necessary to complete this report.
1833	Section 50.  Subsection (6) of section 367.0817, Florida
1834	Statutes, is amended to read:
1835	367.0817  Reuse projects.-
1836	(6)  After the reuse project is placed in service, the
1837	commission, upon by petition or on its own motion, may initiate
1838	a proceeding to true-up the costs of the reuse project and the
1839	resulting rates.
1840	Section 51.  Subsections (1) and (3) of section 367.082,
1841	Florida Statutes, are amended to read:
1842	367.082  Interim rates; procedure.-
1843	(1)  The commission may, during any proceeding for a change
1844	of rates, upon its own motion, upon petition from any party, or
1845	by a tariff filing of a utility or a regulated company,
1846	authorize the collection of interim rates until the effective
1847	date of the final order. Such interim rates may be based upon a
1848	test period different from the test period used in the request
1849	for permanent rate relief. Upon application by a utility, the
1850	commission may use the projected test-year rate base when
1851	determining the interim rates or revenues subject to refund. To
1852	establish a prima facie entitlement for interim relief, the
1853	commission, the petitioning party, the utility, or the regulated
1854	company shall demonstrate that the utility or the regulated
1855	company is earning outside the range of reasonableness on rate
1856	of return calculated in accordance with subsection (5).
1857	(3)  In granting such relief, the commission may, in an
1858	expedited hearing but within 60 days of the commencement of the
1859	proceeding, upon petition or upon its own motion, preclude the
1860	recovery of any extraordinary or imprudently incurred
1861	expenditures or, for good cause shown, increase the amount of
1862	the bond, escrow, letter of credit, or corporate undertaking.
1863	Section 52.  Subsection (1) of section 367.0822, Florida
1864	Statutes, is amended to read:
1865	367.0822  Limited proceedings.-
1866	(1)  Upon petition or by its own motion, the commission may
1867	conduct limited proceedings to consider, and act upon, any
1868	matter within its jurisdiction, including any matter the
1869	resolution of which requires a utility to adjust its rates. The
1870	commission shall determine the issues to be considered during
1871	such a proceeding and may grant or deny any request to expand
1872	the scope of the proceeding to include other related matters.
1873	However, unless the issue of rate of return is specifically
1874	addressed in the limited proceeding, the commission shall not
1875	adjust rates if the effect of the adjustment would be to change
1876	the last authorized rate of return.
1877	Section 53.  Section 367.083, Florida Statutes, is amended
1878	to read:
1879	367.083  Determination of official date of filing.-Within
1880	30 days after receipt of an application, rate request, or other
1881	written document for which an official date of filing is to be
1882	established, the commission or its designee shall either
1883	determine the official date of filing or issue a statement of
1884	deficiencies to the applicant, specifically listing why said
1885	applicant has failed to meet the minimum filing requirements.
1886	Such statement of deficiencies shall be binding upon the
1887	commission to the extent that, once the deficiencies in the
1888	statement are satisfied, the official date of filing shall be
1889	promptly established as provided herein. Thereafter, within 20
1890	days after the applicant indicates to the commission that it
1891	believes that it has met the minimum filing requirements, the
1892	commission or its designee shall either determine the official
1893	date of filing or issue another statement of deficiencies,
1894	specifically listing why the requirements have not been met, in
1895	which case this procedure shall be repeated until the applicant
1896	meets the minimum filing requirements and the official date of
1897	filing is established. When the commission initiates a
1898	proceeding upon request made by a person other than the utility,
1899	the official date of filing shall be the date upon which the
1900	order initiating the proceeding is issued.
1901	Section 54.  Subsection (1) of section 367.101, Florida
1902	Statutes, is amended to read:
1903	367.101  Charges for service availability.-
1904	(1)  The commission shall set just and reasonable charges
1905	and conditions for service availability. The commission by rule
1906	may set standards for and levels of service-availability charges
1907	and service-availability conditions. Such charges and conditions
1908	shall be just and reasonable. The commission shall, upon request
1909	or upon its own motion, direct the office to investigate
1910	agreements or proposals for charges and conditions for service
1911	availability and report the results to the commission.
1912	Section 55.  Paragraphs (i) and (k) of subsection (1) and
1913	subsection (2) of section 367.121, Florida Statutes, are amended
1914	to read:
1915	367.121  Powers of commission and office.-
1916	(1)  In the exercise of its jurisdiction, the commission
1917	shall have power:
1918	(i)  To require the filing of reports and other data by a
1919	public utility or its affiliated companies, including its parent
1920	company, regarding transactions or allocations of common costs,
1921	among the utility and such affiliated companies. The commission
1922	may also require such reports or other data necessary to ensure
1923	that a utility's ratepayers do not subsidize nonutility
1924	activities. The authority of the commission to access records
1925	under this paragraph is granted subject to the limitations set
1926	forth in s. 350.011(3) and (4).
1927	(k)  To assess a utility for reasonable travel costs
1928	associated with reviewing the records of the utility and its
1929	affiliates when such records are kept out of state. The utility
1930	may bring the records back into the state for review.
1931	(2)(a)  The office commission or its duly authorized
1932	representatives may, during all reasonable hours, enter upon any
1933	premises occupied by any utility and set up and use thereon any
1934	necessary apparatus and appliance for the purpose of making
1935	investigations, inspections, examinations, and tests and
1936	exercising any power conferred by this chapter. Such utility
1937	shall have the right to be notified of and be represented at the
1938	making of such investigations, inspections, examinations, and
1939	tests.
1940	(b)  The office may assess a utility for reasonable travel
1941	costs associated with reviewing the records of the utility and
1942	its affiliates when such records are kept out of state. The
1943	utility may bring the records back into the state for review.
1944	Section 56.  Subsections (3) and (4) of section 367.122,
1945	Florida Statutes, are amended to read:
1946	367.122  Examination and testing of meters.-
1947	(3)  The commission shall establish reasonable fees to be
1948	paid for testing such meters on the request of the customers.
1949	Current utility customers or users may, at their discretion, pay
1950	the fee fixed by the commission at the time of the request or
1951	have the utility include the fee with their next regularly
1952	scheduled statement. However, the fee shall be paid by the
1953	utility and repaid to the customer or user if the meter is found
1954	defective or incorrect to the disadvantage of the customer or
1955	user in excess of the degree or amount of tolerance customarily
1956	allowed for such meters, or as may be provided for in rules and
1957	regulations of the commission. No fee may be charged for any
1958	such testing done by the commission or its representatives. The
1959	commission may designate the office to conduct testing on its
1960	behalf.
1961	(4)  The commission or the office, if designated by the
1962	commission to conduct testing, may purchase materials,
1963	apparatus, and standard measuring instruments for such
1964	examinations and tests.
1965	Section 57.  Subsection (3) of section 367.145, Florida
1966	Statutes, is amended to read:
1967	367.145  Regulatory assessment and application fees.-
1968	(3)  Fees collected by the commission pursuant to this
1969	section may only be used to cover the cost of the commission and
1970	the office in regulating water and wastewater systems. Fees
1971	collected by the commission pursuant to chapters 364 and 366 may
1972	not be used to pay the cost of regulating water and wastewater
1973	systems.
1974	Section 58.  Subsections (1) and (2) of section 367.156,
1975	Florida Statutes, are amended to read:
1976	367.156  Public utility records; confidentiality.-
1977	(1)  The commission and the office shall continue to have
1978	reasonable access to all utility records and records of
1979	affiliated companies, including its parent company, regarding
1980	transactions or cost allocations among the utility and such
1981	affiliated companies, and such records necessary to ensure that
1982	a utility's ratepayers do not subsidize nonutility activities.
1983	Upon request of the utility or any other person, any records
1984	received by the commission or the office which are shown and
1985	found by the commission to be proprietary confidential business
1986	information shall be kept confidential and shall be exempt from
1987	s. 119.07(1). The authority of the commission to access records
1988	under this section is granted subject to the limitations set
1989	forth in s. 350.011(3) and (4).
1990	(2)  Discovery in any docket or proceeding before the
1991	commission shall be in the manner provided for in Rule 1.280 of
1992	the Florida Rules of Civil Procedure. Information which affects
1993	a utility's rates or cost of service shall be considered
1994	relevant for purposes of discovery in any docket or proceeding
1995	where the utility's rates or cost of service are at issue. The
1996	commission shall determine whether information requested in
1997	discovery affects a utility's rates or cost of service. Upon
1998	showing by a utility or other person and a finding by the
1999	commission that discovery will require the disclosure of
2000	proprietary confidential business information, the commission
2001	shall issue appropriate protective orders designating the manner
2002	for handling such information during the course of the
2003	proceeding and for protecting such information from disclosure
2004	outside the proceeding. Such proprietary confidential business
2005	information shall be exempt from s. 119.07(1). Any records
2006	provided pursuant to a discovery request for which proprietary
2007	confidential business information status is requested shall be
2008	treated by the commission, the Office of Regulatory Staff, and
2009	the Office of the Public Counsel, and any other party subject to
2010	the public records act as confidential and shall be exempt from
2011	s. 119.07(1), pending a formal ruling on such request by the
2012	commission or the return of the records to the person providing
2013	the records. Any record which has been determined to be
2014	proprietary confidential business information and is not entered
2015	into the official record of the proceeding must be returned to
2016	the person providing the record within 60 days after the final
2017	order, unless the final order is appealed. If the final order is
2018	appealed, any such record must be returned within 30 days after
2019	the decision on appeal. The commission shall adopt the necessary
2020	rules to implement this provision.
2021	Section 59.  Subsection (5) of section 367.171, Florida
2022	Statutes, is amended to read:
2023	367.171  Effectiveness of this chapter.-
2024	(5)  When a utility becomes subject to regulation by a
2025	county, all cases in which the utility is a party then pending
2026	before the commission, or in any court by appeal from any order
2027	of the commission, shall remain within the jurisdiction of the
2028	commission or court until disposed of in accordance with the law
2029	in effect on the day such case was filed by any party with the
2030	commission or initiated by the commission upon the petition of
2031	any party, whether or not the parties or the subject of any such
2032	case relates to a utility in a county wherein this chapter no
2033	longer applies.
2034	Section 60.  Subsection (4) is added to section 368.05,
2035	Florida Statutes, to read:
2036	368.05  Commission jurisdiction; rules.-
2037	(4)  The commission may not, on its own motion, initiate
2038	any proceeding under this part. The authority of the commission
2039	to access records under this section is granted subject to the
2040	limitations set forth in s. 350.011(3) and (4).
2041	Section 61.  Subsections (2) and (3) of section 368.061,
2042	Florida Statutes, are amended to read:
2043	368.061  Penalty.-
2044	(2)  Any such civil penalty may be compromised by the
2045	commission commissioners. In determining the amount of such
2046	penalty or the amount agreed upon in compromise, the
2047	appropriateness of such penalty to the size of the business of
2048	the person charged, the gravity of the violation, and the good
2049	faith of the person charged in attempting to achieve compliance
2050	after notification of a violation shall be considered. Each
2051	penalty shall be a lien upon the real and personal property of
2052	said persons and enforceable by the commission as statutory
2053	liens under chapter 85, the proceeds of which shall be deposited
2054	in the general revenue fund of the state.
2055	(3)  The commission commissioners may, upon petition at
2056	their discretion, cause to be instituted in any court of
2057	competent jurisdiction in this state proceedings for injunction
2058	against any person subject to the provisions of this part to
2059	compel the observance of the provisions of this part or any
2060	rule, regulation, or requirement of the commission made
2061	thereunder.
2062	Section 62.  Subsections (5) and (6) of section 368.103,
2063	Florida Statutes, are renumbered as subsections (6) and (7),
2064	respectively, and a new subsection (5) is added to that section
2065	to read:
2066	368.103  Definitions.-As used in ss. 368.101-368.112, the
2067	term:
2068	(5)  "Office" means the Office of Regulatory Staff.
2069	Section 63.  Subsection (2) of section 368.106, Florida
2070	Statutes, is amended to read:
2071	368.106  Statement of intent to increase rates; major
2072	changes; hearing; suspension of rate schedules; determination of
2073	rate level.-
2074	(2)  Except when a rate is deemed just and reasonable
2075	pursuant to s. 368.105(3), if there is filed with the commission
2076	an initial rate, or a change or modification in any rate in
2077	effect, the commission shall, on complaint by any person whose
2078	substantial interests are affected by the rate, or may, upon
2079	petition by the office on its own motion, at any time before
2080	such rate would have taken effect, order a hearing pursuant to
2081	ss. 120.569 and 120.57 to determine whether the rate is just and
2082	reasonable.
2083	Section 64.  Section 368.107, Florida Statutes, is amended
2084	to read:
2085	368.107  Unreasonable or violative existing rates and
2086	services.-If the commission, after reasonable notice and
2087	hearing, upon petition by the office on its own motion or
2088	written complaint by any person who has a substantial interest,
2089	finds that any rate or service filed with the commission,
2090	including any rate filed pursuant to s. 368.105(3), whether or
2091	not being demanded, observed, charged, or collected by any
2092	natural gas transmission company for any service is unjust,
2093	unreasonable, or unduly discriminatory or preferential, or in
2094	any way in violation of any provision of law, the commission
2095	shall determine the just and reasonable rates, including maximum
2096	or minimum rates and services, to be thereafter observed and in
2097	force, and shall fix the same by order to be served on the
2098	natural gas transmission company. Those rates and services shall
2099	constitute the legal rates and services of the natural gas
2100	transmission company until changed as provided by ss. 368.101-
2101	368.112.
2102	Section 65.  Subsections (1) and (2) of section 368.108,
2103	Florida Statutes, are amended to read:
2104	368.108  Confidentiality; discovery.-
2105	(1)  The commission and the office shall continue to have
2106	reasonable access to all natural gas transmission company
2107	records and records of the natural gas transmission company's
2108	affiliated companies, including its parent company, regarding
2109	transactions or cost allocations among the natural gas
2110	transmission company and such affiliated companies, and such
2111	records necessary to ensure that a natural gas transmission
2112	company's ratepayers do not subsidize unregulated activities.
2113	Upon request of the natural gas transmission company or other
2114	person, any records received by the commission or the office
2115	which are shown and found by the commission to be proprietary
2116	confidential business information shall be confidential and
2117	exempt from s. 119.07(1). The authority of the commission to
2118	access records under this section is granted subject to the
2119	limitations set forth in s. 350.011(3) and (4).
2120	(2)  Discovery in any docket or proceeding before the
2121	commission shall be in the manner provided for in Rule 1.280 of
2122	the Florida Rules of Civil Procedure. Information which affects
2123	a natural gas transmission company's rates or cost of service
2124	shall be considered relevant for purposes of discovery in any
2125	docket or proceeding where the natural gas transmission
2126	company's rates or cost of service are at issue. The commission
2127	shall determine whether information requested in discovery
2128	affects a natural gas transmission company's rates or cost of
2129	service. Upon a showing by a natural gas transmission company or
2130	other person and a finding by the commission that discovery will
2131	require the disclosure of proprietary confidential business
2132	information, the commission shall issue appropriate protective
2133	orders designating the manner for handling such information
2134	during the course of the proceeding and for protecting such
2135	information from disclosure outside the proceeding. Such
2136	proprietary confidential business information shall be exempt
2137	from s. 119.07(1). Any records provided pursuant to a discovery
2138	request for which proprietary confidential business information
2139	status is requested shall be treated by the commission, the
2140	Office of Regulatory Staff, and the Office of the Public
2141	Counsel, and any other party subject to the public records law
2142	as confidential and shall be exempt from s. 119.07(1) pending a
2143	formal ruling on such request by the commission or the return of
2144	the records to the person providing the records. Any record
2145	which has been determined to be proprietary confidential
2146	business information and is not entered into the official record
2147	of the proceeding must be returned to the person providing the
2148	record within 60 days after the final order, unless the final
2149	order is appealed. If the final order is appealed, any such
2150	record must be returned within 30 days after the decision on
2151	appeal. The commission shall adopt the necessary rules to
2152	implement this provision.
2153	Section 66.  Section 368.1085, Florida Statutes, is amended
2154	to read:
2155	368.1085  Travel costs.-The office commission has the
2156	authority to assess a natural gas transmission company for
2157	reasonable travel costs associated with reviewing the records of
2158	the natural gas transmission company and its affiliates when
2159	such records are kept out of state. The natural gas transmission
2160	company may bring the records back into the state for review.
2161	Section 67.  Section 368.109, Florida Statutes, is amended
2162	to read:
2163	368.109  Regulatory assessment fees.-Each natural gas
2164	transmission company operating under ss. 368.101-368.112, for
2165	all or any part of the preceding 6-month period, shall pay to
2166	the commission, within 30 days following the end of each 6-month
2167	period, a fee that may not exceed 0.25 percent annually of its
2168	gross operating revenues derived from intrastate business
2169	excluding sales for resales to natural gas transmission
2170	companies, public utilities that supply gas, municipal gas
2171	utilities, and gas districts. The fee shall, to the extent
2172	practicable, be related to the cost of the commission and the
2173	office in regulating such natural gas transmission companies.
2174	Section 68.  Subsection (1) of section 403.519, Florida
2175	Statutes, is amended to read:
2176	403.519  Exclusive forum for determination of need.-
2177	(1)  On request by an applicant or upon petition by the
2178	Office of Regulatory Staff on its own motion, the commission
2179	shall begin a proceeding to determine the need for an electrical
2180	power plant subject to the Florida Electrical Power Plant Siting
2181	Act.
2182	Section 69.  Paragraph (a) of subsection (1) of section
2183	403.537, Florida Statutes, is amended to read:
2184	403.537  Determination of need for transmission line;
2185	powers and duties.-
2186	(1)(a)  Upon request by an applicant or upon petition by
2187	the Office of Regulatory Staff its own motion, the Florida
2188	Public Service Commission shall schedule a public hearing, after
2189	notice, to determine the need for a transmission line regulated
2190	by the Florida Electric Transmission Line Siting Act, ss.
2191	403.52-403.5365. The notice shall be published at least 21 days
2192	before the date set for the hearing and shall be published by
2193	the applicant in at least one-quarter page size notice in
2194	newspapers of general circulation, and by the commission in the
2195	manner specified in chapter 120, by giving notice to counties
2196	and regional planning councils in whose jurisdiction the
2197	transmission line could be placed, and by giving notice to any
2198	persons who have requested to be placed on the mailing list of
2199	the commission for this purpose. Within 21 days after receipt of
2200	a request for determination by an applicant, the commission
2201	shall set a date for the hearing. The hearing shall be held
2202	pursuant to s. 350.01 within 45 days after the filing of the
2203	request, and a decision shall be rendered within 60 days after
2204	such filing.
2205	Section 70.  Paragraph (a) of subsection (1) of section
2206	403.9422, Florida Statutes, is amended to read:
2207	403.9422  Determination of need for natural gas
2208	transmission pipeline; powers and duties.-
2209	(1)(a)  Upon request by an applicant or upon petition by
2210	the Office of Regulatory Staff its own motion, the commission
2211	shall schedule a public hearing, after notice, to determine the
2212	need for a natural gas transmission pipeline regulated by ss.
2213	403.9401-403.9425. Such notice shall be published at least 45
2214	days before the date set for the hearing and shall be published
2215	in at least one-quarter page size in newspapers of general
2216	circulation and in the Florida Administrative Weekly, by giving
2217	notice to counties and regional planning councils in whose
2218	jurisdiction the natural gas transmission pipeline could be
2219	placed, and by giving notice to any persons who have requested
2220	to be placed on the mailing list of the commission for this
2221	purpose. Within 21 days after receipt of a request for
2222	determination by an applicant, the commission shall set a date
2223	for the hearing. The hearing shall be held pursuant to s. 350.01
2224	within 75 days after the filing of the request, and a decision
2225	shall be rendered within 90 days after such filing.
2226	Section 71.  Subsection (6) of section 196.012, Florida
2227	Statutes, is amended to read:
2228	196.012  Definitions.-For the purpose of this chapter, the
2229	following terms are defined as follows, except where the context
2230	clearly indicates otherwise:
2231	(6)  Governmental, municipal, or public purpose or function
2232	shall be deemed to be served or performed when the lessee under
2233	any leasehold interest created in property of the United States,
2234	the state or any of its political subdivisions, or any
2235	municipality, agency, special district, authority, or other
2236	public body corporate of the state is demonstrated to perform a
2237	function or serve a governmental purpose which could properly be
2238	performed or served by an appropriate governmental unit or which
2239	is demonstrated to perform a function or serve a purpose which
2240	would otherwise be a valid subject for the allocation of public
2241	funds. For purposes of the preceding sentence, an activity
2242	undertaken by a lessee which is permitted under the terms of its
2243	lease of real property designated as an aviation area on an
2244	airport layout plan which has been approved by the Federal
2245	Aviation Administration and which real property is used for the
2246	administration, operation, business offices and activities
2247	related specifically thereto in connection with the conduct of
2248	an aircraft full service fixed base operation which provides
2249	goods and services to the general aviation public in the
2250	promotion of air commerce shall be deemed an activity which
2251	serves a governmental, municipal, or public purpose or function.
2252	Any activity undertaken by a lessee which is permitted under the
2253	terms of its lease of real property designated as a public
2254	airport as defined in s. 332.004(14) by municipalities,
2255	agencies, special districts, authorities, or other public bodies
2256	corporate and public bodies politic of the state, a spaceport as
2257	defined in s. 331.303, or which is located in a deepwater port
2258	identified in s. 403.021(9)(b) and owned by one of the foregoing
2259	governmental units, subject to a leasehold or other possessory
2260	interest of a nongovernmental lessee that is deemed to perform
2261	an aviation, airport, aerospace, maritime, or port purpose or
2262	operation shall be deemed an activity that serves a
2263	governmental, municipal, or public purpose. The use by a lessee,
2264	licensee, or management company of real property or a portion
2265	thereof as a convention center, visitor center, sports facility
2266	with permanent seating, concert hall, arena, stadium, park, or
2267	beach is deemed a use that serves a governmental, municipal, or
2268	public purpose or function when access to the property is open
2269	to the general public with or without a charge for admission. If
2270	property deeded to a municipality by the United States is
2271	subject to a requirement that the Federal Government, through a
2272	schedule established by the Secretary of the Interior, determine
2273	that the property is being maintained for public historic
2274	preservation, park, or recreational purposes and if those
2275	conditions are not met the property will revert back to the
2276	Federal Government, then such property shall be deemed to serve
2277	a municipal or public purpose. The term "governmental purpose"
2278	also includes a direct use of property on federal lands in
2279	connection with the Federal Government's Space Exploration
2280	Program or spaceport activities as defined in s. 212.02(22).
2281	Real property and tangible personal property owned by the
2282	Federal Government or Space Florida and used for defense and
2283	space exploration purposes or which is put to a use in support
2284	thereof shall be deemed to perform an essential national
2285	governmental purpose and shall be exempt. "Owned by the lessee"
2286	as used in this chapter does not include personal property,
2287	buildings, or other real property improvements used for the
2288	administration, operation, business offices and activities
2289	related specifically thereto in connection with the conduct of
2290	an aircraft full service fixed based operation which provides
2291	goods and services to the general aviation public in the
2292	promotion of air commerce provided that the real property is
2293	designated as an aviation area on an airport layout plan
2294	approved by the Federal Aviation Administration. For purposes of
2295	determination of "ownership," buildings and other real property
2296	improvements which will revert to the airport authority or other
2297	governmental unit upon expiration of the term of the lease shall
2298	be deemed "owned" by the governmental unit and not the lessee.
2299	Providing two-way telecommunications services to the public for
2300	hire by the use of a telecommunications facility, as defined in
2301	s. 364.02(16)(15), and for which a certificate is required under
2302	chapter 364 does not constitute an exempt use for purposes of s.
2303	196.199, unless the telecommunications services are provided by
2304	the operator of a public-use airport, as defined in s. 332.004,
2305	for the operator's provision of telecommunications services for
2306	the airport or its tenants, concessionaires, or licensees, or
2307	unless the telecommunications services are provided by a public
2308	hospital.
2309	Section 72.  Paragraph (b) of subsection (1) of section
2310	199.183, Florida Statutes, is amended to read:
2311	199.183  Taxpayers exempt from nonrecurring taxes.-
2312	(1)  Intangible personal property owned by this state or
2313	any of its political subdivisions or municipalities shall be
2314	exempt from taxation under this chapter. This exemption does not
2315	apply to:
2316	(b)  Property related to the provision of two-way
2317	telecommunications services to the public for hire by the use of
2318	a telecommunications facility, as defined in s. 364.02(16)(15),
2319	and for which a certificate is required under chapter 364, when
2320	the service is provided by any county, municipality, or other
2321	political subdivision of the state. Any immunity of any
2322	political subdivision of the state or other entity of local
2323	government from taxation of the property used to provide
2324	telecommunication services that is taxed as a result of this
2325	paragraph is hereby waived. However, intangible personal
2326	property related to the provision of telecommunications services
2327	provided by the operator of a public-use airport, as defined in
2328	s. 332.004, for the operator's provision of telecommunications
2329	services for the airport or its tenants, concessionaires, or
2330	licensees, and intangible personal property related to the
2331	provision of telecommunications services provided by a public
2332	hospital, are exempt from taxation under this chapter.
2333	Section 73.  Subsection (6) of section 212.08, Florida
2334	Statutes, is amended to read:
2335	212.08  Sales, rental, use, consumption, distribution, and
2336	storage tax; specified exemptions.-The sale at retail, the
2337	rental, the use, the consumption, the distribution, and the
2338	storage to be used or consumed in this state of the following
2339	are hereby specifically exempt from the tax imposed by this
2340	chapter.
2341	(6)  EXEMPTIONS; POLITICAL SUBDIVISIONS.-There are also
2342	exempt from the tax imposed by this chapter sales made to the
2343	United States Government, a state, or any county, municipality,
2344	or political subdivision of a state when payment is made
2345	directly to the dealer by the governmental entity. This
2346	exemption shall not inure to any transaction otherwise taxable
2347	under this chapter when payment is made by a government employee
2348	by any means, including, but not limited to, cash, check, or
2349	credit card when that employee is subsequently reimbursed by the
2350	governmental entity. This exemption does not include sales of
2351	tangible personal property made to contractors employed either
2352	directly or as agents of any such government or political
2353	subdivision thereof when such tangible personal property goes
2354	into or becomes a part of public works owned by such government
2355	or political subdivision. A determination whether a particular
2356	transaction is properly characterized as an exempt sale to a
2357	government entity or a taxable sale to a contractor shall be
2358	based on the substance of the transaction rather than the form
2359	in which the transaction is cast. The department shall adopt
2360	rules that give special consideration to factors that govern the
2361	status of the tangible personal property before its affixation
2362	to real property. In developing these rules, assumption of the
2363	risk of damage or loss is of paramount consideration in the
2364	determination. This exemption does not include sales, rental,
2365	use, consumption, or storage for use in any political
2366	subdivision or municipality in this state of machines and
2367	equipment and parts and accessories therefor used in the
2368	generation, transmission, or distribution of electrical energy
2369	by systems owned and operated by a political subdivision in this
2370	state for transmission or distribution expansion. Likewise
2371	exempt are charges for services rendered by radio and television
2372	stations, including line charges, talent fees, or license fees
2373	and charges for films, videotapes, and transcriptions used in
2374	producing radio or television broadcasts. The exemption provided
2375	in this subsection does not include sales, rental, use,
2376	consumption, or storage for use in any political subdivision or
2377	municipality in this state of machines and equipment and parts
2378	and accessories therefor used in providing two-way
2379	telecommunications services to the public for hire by the use of
2380	a telecommunications facility, as defined in s. 364.02(16)(15),
2381	and for which a certificate is required under chapter 364, which
2382	facility is owned and operated by any county, municipality, or
2383	other political subdivision of the state. Any immunity of any
2384	political subdivision of the state or other entity of local
2385	government from taxation of the property used to provide
2386	telecommunication services that is taxed as a result of this
2387	section is hereby waived. However, the exemption provided in
2388	this subsection includes transactions taxable under this chapter
2389	which are for use by the operator of a public-use airport, as
2390	defined in s. 332.004, in providing such telecommunications
2391	services for the airport or its tenants, concessionaires, or
2392	licensees, or which are for use by a public hospital for the
2393	provision of such telecommunications services.
2394	Section 74.  Paragraph (b) of subsection (2) of section
2395	288.0655, Florida Statutes, is amended to read:
2396	288.0655  Rural Infrastructure Fund.-
2397	(2)
2398	(b)  To facilitate access of rural communities and rural
2399	areas of critical economic concern as defined by the Rural
2400	Economic Development Initiative to infrastructure funding
2401	programs of the Federal Government, such as those offered by the
2402	United States Department of Agriculture and the United States
2403	Department of Commerce, and state programs, including those
2404	offered by Rural Economic Development Initiative agencies, and
2405	to facilitate local government or private infrastructure funding
2406	efforts, the office may award grants for up to 30 percent of the
2407	total infrastructure project cost. If an application for funding
2408	is for a catalyst site, as defined in s. 288.0656, the office
2409	may award grants for up to 40 percent of the total
2410	infrastructure project cost. Eligible projects must be related
2411	to specific job-creation or job-retention opportunities.
2412	Eligible projects may also include improving any inadequate
2413	infrastructure that has resulted in regulatory action that
2414	prohibits economic or community growth or reducing the costs to
2415	community users of proposed infrastructure improvements that
2416	exceed such costs in comparable communities. Eligible uses of
2417	funds shall include improvements to public infrastructure for
2418	industrial or commercial sites and upgrades to or development of
2419	public tourism infrastructure. Authorized infrastructure may
2420	include the following public or public-private partnership
2421	facilities: storm water systems; telecommunications facilities;
2422	broadband facilities; roads or other remedies to transportation
2423	impediments; nature-based tourism facilities; or other physical
2424	requirements necessary to facilitate tourism, trade, and
2425	economic development activities in the community. Authorized
2426	infrastructure may also include publicly or privately owned
2427	self-powered nature-based tourism facilities, publicly owned
2428	telecommunications facilities, and broadband facilities, and
2429	additions to the distribution facilities of the existing natural
2430	gas utility as defined in s. 366.04(3)(c), the existing electric
2431	utility as defined in s. 366.02, or the existing water or
2432	wastewater utility as defined in s. 367.021(13)(12), or any
2433	other existing water or wastewater facility, which owns a gas or
2434	electric distribution system or a water or wastewater system in
2435	this state where:
2436	1.  A contribution-in-aid of construction is required to
2437	serve public or public-private partnership facilities under the
2438	tariffs of any natural gas, electric, water, or wastewater
2439	utility as defined herein; and
2440	2.  Such utilities as defined herein are willing and able
2441	to provide such service.
2442	Section 75.  Subsection (8) of section 290.007, Florida
2443	Statutes, is amended to read:
2444	290.007  State incentives available in enterprise zones.-
2445	The following incentives are provided by the state to encourage
2446	the revitalization of enterprise zones:
2447	(8)  Notwithstanding any law to the contrary, the Public
2448	Service Commission may allow public utilities and
2449	telecommunications companies to grant discounts of up to 50
2450	percent on tariffed rates for services to small businesses
2451	located in an enterprise zone designated pursuant to s.
2452	290.0065. Such discounts may be granted for a period not to
2453	exceed 5 years. For purposes of this subsection, the term
2454	"public utility" has the same meaning as in s. 366.02(1) and the
2455	term "telecommunications company" has the same meaning as in s.
2456	364.02(15)(14).
2457	Section 76.  Subsection (4) of section 364.602, Florida
2458	Statutes, is amended to read:
2459	364.602  Definitions.-For purposes of this part:
2460	(4)  "Originating party" means any person, firm,
2461	corporation, or other entity, including a telecommunications
2462	company or a billing clearinghouse, that provides any
2463	telecommunications service or information service to a customer
2464	or bills a customer through a billing party, except the term
2465	"originating party" does not include any entity specifically
2466	exempted from the definition of "telecommunications company" as
2467	provided in s. 364.02(15)(14).
2468	Section 77.  Subsection (5) of section 489.103, Florida
2469	Statutes, is amended to read:
2470	489.103  Exemptions.-This part does not apply to:
2471	(5)  Public utilities, including special gas districts as
2472	defined in chapter 189, telecommunications companies as defined
2473	in s. 364.02(15)(14), and natural gas transmission companies as
2474	defined in s. 368.103(4), on construction, maintenance, and
2475	development work performed by their employees, which work,
2476	including, but not limited to, work on bridges, roads, streets,
2477	highways, or railroads, is incidental to their business. The
2478	board shall define, by rule, the term "incidental to their
2479	business" for purposes of this subsection.
2480	Section 78.  Section 624.105, Florida Statutes, is amended
2481	to read:
2482	624.105  Waiver of customer liability.-Any regulated
2483	company as defined in s. 350.111, any electric utility as
2484	defined in s. 366.02(2), any utility as defined in s.
2485	367.021(13)(12) or s. 367.022(2) and (7), and any provider of
2486	communications services as defined in s. 202.11(2) may charge
2487	for and include an optional waiver of liability provision in
2488	their customer contracts under which the entity agrees to waive
2489	all or a portion of the customer's liability for service from
2490	the entity for a defined period in the event of the customer's
2491	call to active military service, death, disability, involuntary
2492	unemployment, qualification for family leave, or similar
2493	qualifying event or condition. Such provisions may not be
2494	effective in the customer's contract with the entity unless
2495	affirmatively elected by the customer. No such provision shall
2496	constitute insurance so long as the provision is a contract
2497	between the entity and its customer.
2498	Section 79.  This act shall take effect October 1, 2010.

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