Florida Senate - 2013 SB 714 By Senator Simmons 10-00765-13 2013714__ 1 A bill to be entitled 2 An act relating to public records; amending s. 3 119.0713, F.S.; providing an exemption from public 4 records requirements for specified proprietary 5 confidential business information provided by a 6 private or out-of-state entity to an electric utility 7 that is subject to ch. 119, F.S., in conjunction with 8 a due diligence review of an electric project or a 9 project to improve the delivery, cost, or 10 diversification of fuel or renewable energy resources; 11 providing for the return of such information to the 12 provider; providing for future review and repeal of 13 the exemption; providing a statement of public 14 necessity; providing an effective date. 15 16 Be It Enacted by the Legislature of the State of Florida: 17 18 Section 1. Subsection (4) is added to section 119.0713, 19 Florida Statutes, to read: 20 119.0713 Local government agency exemptions from inspection 21 or copying of public records.— 22 (4)(a) Proprietary confidential business information, as 23 defined in s. 366.093(3), provided by a private or out-of-state 24 entity to an electric utility that is subject to chapter 119 in 25 conjunction with a due diligence review of an electric project 26 as defined in s. 163.01(3)(d) or a project to improve the 27 delivery, cost, or diversification of fuel or renewable energy 28 resources is exempt from s. 119.07(1) and s. 24(a), Art. I of 29 the State Constitution. 30 (b) All proprietary confidential business information 31 described in paragraph (a) shall be returned to the custody of 32 the person or entity providing the information after the due 33 diligence review has been completed and the utility has decided 34 whether or not to participate in the project. 35 (c) Paragraph (a) is subject to the Open Government Sunset 36 Review Act in accordance with s. 119.15, and shall stand 37 repealed on October 2, 2018, unless reviewed and saved from 38 repeal through reenactment by the Legislature. 39 Section 2. (1) The Legislature finds that it is a public 40 necessity that proprietary confidential business information, as 41 defined in s. 366.093(3), Florida Statutes, provided by a 42 private or out-of-state entity to an electric utility that is 43 subject to chapter 119, Florida Statutes, in conjunction with a 44 due diligence review of an electric project as defined in s. 45 163.01(3)(d), Florida Statutes, or a project to improve the 46 delivery, cost, or diversification of fuel or renewable energy 47 resources be made confidential and exempt from public records 48 requirements. The disclosure of such proprietary confidential 49 business information, such as trade secrets, internal auditing 50 controls and reports, security measures, systems, or procedures, 51 or other information relating to competitive interests, could 52 injure the provider in the marketplace by giving its competitors 53 detailed insights into its financial status and strategic plans, 54 thereby putting the provider at a competitive disadvantage. 55 Without this exemption, providers might be unwilling to enter 56 into discussions with the utility regarding the feasibility of 57 future contracting. This could, in turn, limit opportunities the 58 utility might otherwise have for finding cost-effective or 59 strategic solutions for providing electric service or improving 60 the delivery, cost, or diversification of fuel or renewable 61 energy. This would put public providers of electric utility 62 services at a competitive disadvantage by limiting their ability 63 to optimize services to their customers and adversely affecting 64 the customers of those utilities by depriving them of 65 opportunities for rate reductions or other improvements in 66 services. 67 (2) Proprietary confidential business information derives 68 actual or potential independent economic value from not being 69 generally known to, and not being readily ascertainable by 70 proper means by, other persons who can derive economic value 71 from its disclosure or use. A utility, in performing the 72 appropriate due diligence review of electric projects or 73 projects to improve the delivery, cost, or diversification of 74 fuel or renewable energy sources, may need to obtain proprietary 75 confidential business information. Without an exemption from 76 public records requirements for this information, it becomes a 77 public record when received by a utility that is subject to 78 chapter 119, Florida Statutes, and must be disclosed upon 79 request. Disclosure of any propriety confidential business 80 information under the public records law would destroy the value 81 of that property and cause economic harm not only to the entity 82 or person providing the information, but to the ratepayers 83 through reduced competition for the provision of vital electric 84 utility services. 85 (3) In finding that the public records exemption created by 86 this act is a public necessity, the Legislature also finds that 87 the public and private harm in disclosing such proprietary 88 confidential business information significantly outweighs any 89 public benefit derived from disclosure of the information and 90 that the exemption created by this act will enhance the ability 91 of electric utilities to optimize their performance, thereby 92 benefiting the ratepayers. 93 Section 3. This act shall take effect July 1, 2013.