Florida Senate - 2011 COMMITTEE AMENDMENT Bill No. SB 994 Barcode 496966 LEGISLATIVE ACTION Senate . House Comm: RCS . 04/05/2011 . . . . ————————————————————————————————————————————————————————————————— ————————————————————————————————————————————————————————————————— The Committee on Commerce and Tourism (Gaetz) recommended the following: 1 Senate Substitute for Amendment (138788) (with title 2 amendment) 3 4 5 Delete everything after the enacting clause 6 and insert: 7 Section 1. Section 332.16, Florida Statutes, is created to 8 read: 9 332.16 Public-record exemptions.— 10 (1) DEFINITIONS.—As used in this section, the term: 11 (a) “Airport facilities” means airports, buildings, 12 structures, terminal buildings, parking garages and lots, 13 hangars, land, warehouses, shops, hotels, other aviation 14 facilities of any kind or nature, or any other facility of any 15 kind or nature related to or connected with a public airport and 16 other aviation facility that a public airport is authorized by 17 law to construct, acquire, own, lease, or operate, together with 18 all fixtures, equipment, and property, real or personal, 19 tangible or intangible, necessary, appurtenant, or incidental 20 thereto. 21 (b) “Governing body” means the board or body in which the 22 general legislative powers of a public airport is vested. 23 (c) “Proprietor” means a self-employed individual, 24 proprietorship, corporation, partnership, limited partnership, 25 firm, enterprise, franchise, association, trust, or business 26 entity, whether fictitiously named or not, authorized to do or 27 doing business in this state, including its respective 28 authorized officer, employee, agent, or successor in interest, 29 which controls or owns the proprietary confidential business 30 information provided to a public airport. 31 (d) “Proprietary confidential business information” means 32 information that is owned or controlled by the proprietor 33 requesting confidentiality under this section; that is intended 34 to be and is treated by the proprietor as private in that the 35 disclosure of the information would cause harm to the business 36 operations of the proprietor; that has not been disclosed unless 37 disclosed pursuant to a statutory provision, an order of a court 38 or administrative body, or a private agreement providing that 39 the information may be released to the public; and that is 40 information concerning: 41 1. Business plans. 42 2. Internal auditing controls and reports of internal 43 auditors. 44 3. Reports of external auditors for privately held 45 companies. 46 4. Client and customer lists. 47 5. Potentially patentable material. 48 6. Business transactions; however, business transactions do 49 not include those transactions between a proprietor and a public 50 airport. 51 7. Financial information of the proprietor. 52 (e) “Public airport” has the same meaning as provided in s. 53 330.27 and includes areas defined in s. 332.01(3). 54 (f) “Trade secrets” has the same meaning as in s. 688.002. 55 (2) PROPRIETARY CONFIDENTIAL BUSINESS INFORMATION. 56 Proprietary confidential business information held by a public 57 airport is confidential and exempt from s. 119.07(1) and s. 58 24(a), Art. I of the State Constitution, until such information 59 is otherwise publicly available or is no longer treated by the 60 proprietor as proprietary confidential business information. 61 (3) TRADE SECRETS.—Trade secrets held by a public airport 62 are confidential and exempt from s. 119.07(1) and s. 24(a), Art. 63 I of the State Constitution. 64 (4) SALE, USE, DEVELOPMENT, OR LEASE OF AIRPORT 65 FACILITIES.—Any proposal or counterproposal exchanged between a 66 public airport and a nongovernmental entity relating to the 67 sale, use, development, or lease of airport facilities is exempt 68 from s. 119.07(1) and s. 24(a), Art. I of the State 69 Constitution. However, any such proposal or counterproposal 70 shall cease to be exempt upon approval by the governing body of 71 a public airport. If no proposal or counterproposal is submitted 72 to the governing body for approval, such proposal or 73 counterproposal shall cease to be exempt 90 days after the 74 cessation of negotiations between the public airport and the 75 nongovernmental entity. 76 (5) LEGISLATIVE REVIEW.—This section is subject to the Open 77 Government Sunset Review Act in accordance with s. 119.15, and 78 shall stand repealed on October 2, 2016, unless reviewed and 79 saved from repeal through reenactment by the Legislature. 80 Section 2. (1) The Legislature finds that it is a public 81 necessity that trade secrets and proprietary confidential 82 business information, including business plans, internal 83 auditing controls and reports of internal auditors, reports of 84 external auditors for privately held companies, client and 85 customer lists, potentially patentable material, certain 86 business transactions, and financial information of the 87 proprietor be made confidential and exempt from s. 119.07(1), 88 Florida Statutes, and s. 24(a), Article I of the State 89 Constitution. Trade secrets and proprietary confidential 90 business information derive independent economic value, actual 91 or potential, from not being generally known to, and not being 92 readily ascertainable by, other persons who could obtain 93 economic value from its disclosure or use. An airport, in 94 performing its lawful duties and responsibilities, may need to 95 obtain from a proprietor trade secrets or proprietary 96 confidential business information. Without an exemption from 97 public-records requirements, trade secrets and proprietary 98 confidential business information held by an airport become a 99 public record and must be divulged upon request. Divulging the 100 trade secret or proprietary confidential business information 101 would destroy the value of that property to the proprietor, 102 causing a financial loss not only to the proprietor, but also to 103 the airport and to the state and local governments due to a loss 104 of tax revenue and employment opportunities for residents. 105 Release of that information would give business competitors an 106 unfair advantage and would injure the affected entity in the 107 marketplace. Thus, the Legislature finds that it is a public 108 necessity that trade secrets and proprietary confidential 109 business information held by a public airport be made 110 confidential and exempt from public-records requirements. 111 (2) The Legislature also finds that it is a public 112 necessity that any proposal or counterproposal exchanged between 113 a nongovernmental entity and any public airport listed in s. 114 330.27, Florida Statutes, which includes areas defined in s. 115 332.01(3), Florida Statutes, relating to the sale, use, or lease 116 of land or airport facilities, be made exempt from public 117 records requirements until approved by the governing body of the 118 airport. Proposals and counterproposals submitted to an airport 119 contain sensitive and confidential business and financial 120 information. Competing entities can gain access to such 121 proposals, and, in some instances, the affected nongovernmental 122 entity has abandoned its contractual efforts with the airport, 123 to the airport’s financial detriment. Confidential business and 124 financial records submitted to an airport for purposes of the 125 sale, use, or lease of land or of airport facilities contain 126 sensitive information, the release of which would give 127 competitors an unfair economic advantage. Finally, such 128 exemption is necessary in order for Florida airports to more 129 effectively and efficiently negotiate contracts for the sale, 130 use, or lease of airport facilities. 131 Section 3. This act shall take effect July 1, 2011. 132 133 ================= T I T L E A M E N D M E N T ================ 134 And the title is amended as follows: 135 Delete everything before the enacting clause 136 and insert: 137 A bill to be entitled 138 An act relating to public records; creating s. 332.16, 139 F.S.; providing definitions; providing an exemption 140 from public-records requirements for proprietary 141 confidential business information and trade secrets 142 held by a public airport and for any proposal or 143 counterproposal exchanged between a public airport and 144 a nongovernmental entity relating to the sale, use, 145 development, or lease of airport facilities; providing 146 for expiration of the exemptions; providing for future 147 legislative review and repeal of the exemptions under 148 the Open Government Sunset Review Act; providing a 149 finding of public necessity; providing an effective 150 date.