Florida Senate - 2012 COMMITTEE AMENDMENT Bill No. SB 1584 Barcode 306632 LEGISLATIVE ACTION Senate . House . . . . . ————————————————————————————————————————————————————————————————— ————————————————————————————————————————————————————————————————— The Committee on Governmental Oversight and Accountability (Dean) recommended the following: 1 Senate Amendment (with title amendment) 2 3 Delete lines 28 - 31 4 and insert: 5 (1) Payment instrument transaction information held by the 6 office pursuant to s. 560.311 which identifies a licensee, 7 payor, payee, or conductor is confidential and exempt from s. 8 119.07(1) and s. 24(a), Art. I of the State Constitution. 9 Delete lines 50 - 71 10 and insert: 11 Section 2. The Legislature finds that it is a public 12 necessity that payment instrument transaction information held 13 by the Office of Financial Regulation pursuant to s. 560.311, 14 Florida Statutes, which identifies a licensee, payor, payee, or 15 conductor be made confidential and exempt from s. 119.07(1), 16 Florida Statutes, and s. 24(a), Article I of the State 17 Constitution. 18 (1) Pursuant to s. 560.311, Florida Statutes, money 19 services businesses that cash a payment instrument exceeding 20 $1,000 must submit information about the transaction to the 21 Office of Financial Regulation in order to deter money 22 laundering through these entities and in response to the 23 findings of the Money Service Business Facilitated Workers’ 24 Compensation Fraud Work Group that these entities are being used 25 to facilitate financial crimes, including fraud relating to 26 workers’ compensation. The report issued by the group found that 27 this type of workers’ compensation fraud could be costing the 28 state upwards of $1 billion dollars annually in unreported 29 payroll taxes, unreported premium taxes, and higher costs to 30 insurance carriers who must process workers’ compensation claims 31 from uninsured workers. This type of fraud places tremendous 32 pressure on law-abiding businesses to absorb these costs. 33 (a) Submission of this information to the office is 34 intended to assist the office, the Department of Financial 35 Services, law enforcement agencies, and other governmental 36 agencies in detecting and deterring these financial crimes and 37 related fraudulent activities. 38 (b) The availability of this information to these agencies 39 will help to increase premium collection, lower costs to 40 insurance carriers, and alleviate premium avoidance, as well as 41 reduce the cost of administering these public programs. 42 (2) However, the public availability of payment instrument 43 transaction information would reveal sensitive, personal 44 financial information about payees and conductors who use check 45 cashing programs, including paycheck amounts, salaries, and 46 business activities, as well as information regarding the 47 financial stability of these persons. Such information is 48 traditionally private and sensitive. Protecting the 49 confidentiality of information that would identify these payees 50 and conductors would provide adequate protection for these 51 persons while still providing public oversight of the program. 52 (3) The public release of payment instrument transaction 53 information would also identify licensees or payors and reveal 54 private business transaction information that is traditionally 55 private and could be used by competitors to harm licensees or 56 payors in the marketplace. If such information were publicly 57 available, competitors could determine the amount of business 58 conducted by other licensees and payors. 59 (4) Therefore, the Legislature finds that information that 60 would identify the licensee, payor, payee, or conductor in 61 payment instrument transaction information be made confidential 62 and exempt from public records requirements. 63 64 ================= T I T L E A M E N D M E N T ================ 65 And the title is amended as follows: 66 Delete lines 4 - 8 67 and insert: 68 records requirements for payment instrument 69 transaction information held by the Office of 70 Financial Regulation; providing