Florida Senate - 2014              PROPOSED COMMITTEE SUBSTITUTE
       Bill No. SB 1084
       
       
       
       
       
                               Ì158504$Î158504                          
       
       576-04134-14                                                    
       Proposed Committee Substitute by the Committee on Appropriations
       (Appropriations Subcommittee on Health and Human Services)
    1                        A bill to be entitled                      
    2         An act relating to public assistance fraud; amending
    3         s. 414.39, F.S.; providing enhanced criminal penalties
    4         if the value of public assistance or identification
    5         wrongfully received, retained, misappropriated,
    6         sought, or used is of an aggregate value exceeding
    7         specified amounts; providing for a reward for a report
    8         of original information relating to a violation of the
    9         state’s public assistance fraud laws if the
   10         information and report meet specified requirements;
   11         amending s. 414.095, F.S.; limiting to a specified
   12         period the use of temporary cash assistance benefits
   13         out of state; requiring rulemaking; requiring that a
   14         parent or caretaker relative who has been disqualified
   15         due to fraud have a protective payee designated to
   16         receive temporary cash assistance benefits for
   17         eligible children; providing requirements for
   18         protective payees; providing appropriations and
   19         authorizing positions; providing an effective date.
   20          
   21  Be It Enacted by the Legislature of the State of Florida:
   22  
   23         Section 1. Subsections (1) through (5) of section 414.39,
   24  Florida Statutes, are amended, and subsection (11) is added to
   25  that section, to read:
   26         414.39 Fraud.—
   27         (1) Any person who knowingly:
   28         (a) Fails, by false statement, misrepresentation,
   29  impersonation, or other fraudulent means, to disclose a material
   30  fact used in making a determination as to such person’s
   31  qualification to receive public assistance under any state or
   32  federally funded assistance program;
   33         (b) Fails to disclose a change in circumstances in order to
   34  obtain or continue to receive any such public assistance to
   35  which he or she is not entitled or in an amount larger than that
   36  to which he or she is entitled; or
   37         (c) Aids and abets another person in the commission of any
   38  such act,
   39  
   40  commits is guilty of a crime and shall be punished as provided
   41  in subsection (5).
   42         (2) Any person who knowingly:
   43         (a) Uses, transfers, acquires, traffics, alters, forges, or
   44  possesses;, or
   45         (b) Attempts to use, transfer, acquire, traffic, alter,
   46  forge, or possess;, or
   47         (c) Aids and abets another person in the use, transfer,
   48  acquisition, traffic, alteration, forgery, or possession of,
   49  
   50  a food assistance identification card, an authorization,
   51  including, but not limited to, an electronic authorization, for
   52  the expenditure of food assistance benefits, a certificate of
   53  eligibility for medical services, or a Medicaid identification
   54  card in any manner not authorized by law commits a crime and
   55  shall be punished as provided in subsection (5).
   56         (3) Any person having duties in the administration of a
   57  state or federally funded public assistance program or in the
   58  distribution of public assistance, or authorizations or
   59  identifications to obtain public assistance, under a state or
   60  federally funded public assistance program and who:
   61         (a) Fraudulently misappropriates, attempts to
   62  misappropriate, or aids and abets in the misappropriation of,
   63  food assistance, an authorization for food assistance, a food
   64  assistance identification card, a certificate of eligibility for
   65  prescribed medicine, a Medicaid identification card, or public
   66  assistance from any other state or federally funded program with
   67  which he or she has been entrusted or of which he or she has
   68  gained possession by virtue of his or her position, or who
   69  knowingly fails to disclose any such fraudulent activity; or
   70         (b) Knowingly misappropriates, attempts to misappropriate,
   71  or aids or abets in the misappropriation of, funds given in
   72  exchange for food assistance program benefits or for any form of
   73  food assistance benefits authorization,
   74  
   75  commits is guilty of a crime and shall be punished as provided
   76  in subsection (5).
   77         (4) Any person who:
   78         (a) Knowingly files, attempts to file, or aids and abets in
   79  the filing of, a claim for services to a recipient of public
   80  assistance under any state or federally funded public assistance
   81  program for services that were not rendered; knowingly files a
   82  false claim or a claim for nonauthorized items or services under
   83  such a program; or knowingly bills the recipient of public
   84  assistance under such a program, or his or her family, for an
   85  amount in excess of that provided for by law or regulation;
   86         (b) Knowingly fails to credit the state or its agent for
   87  payments received from social security, insurance, or other
   88  sources; or
   89         (c) In any way knowingly receives, attempts to receive, or
   90  aids and abets in the receipt of, unauthorized payment or other
   91  unauthorized public assistance or authorization or
   92  identification to obtain public assistance as provided herein,
   93  
   94  commits is guilty of a crime and shall be punished as provided
   95  in subsection (5).
   96         (5)(a) If the value of the public assistance or
   97  identification wrongfully received, retained, misappropriated,
   98  sought, or used is less than an aggregate value of $200 in any
   99  12 consecutive months, such person commits a misdemeanor of the
  100  first degree, punishable as provided in s. 775.082 or s.
  101  775.083.
  102         (b) If the value of the public assistance or identification
  103  wrongfully received, retained, misappropriated, sought, or used
  104  is of an aggregate value of $200 or more, but less than $20,000
  105  in any 12 consecutive months, such person commits a felony of
  106  the third degree, punishable as provided in s. 775.082, s.
  107  775.083, or s. 775.084.
  108         (c) If the value of the public assistance or identification
  109  wrongfully received, retained, misappropriated, sought, or used
  110  is of an aggregate value of $20,000 or more, but less than
  111  $100,000 in any 12 consecutive months, such person commits a
  112  felony of the second degree, punishable as provided in s.
  113  775.082, s. 775.083, or s. 775.084.
  114         (d) If the value of the public assistance or identification
  115  wrongfully received, retained, misappropriated, sought, or used
  116  is of an aggregate value of $100,000 or more in any 12
  117  consecutive months, such person commits a felony of the first
  118  degree, punishable as provided in s. 775.082, s. 775.083, or s.
  119  775.084.
  120         (e)(c) As used in this subsection, the value of a food
  121  assistance authorization benefit is the cash or exchange value
  122  unlawfully obtained by the fraudulent act committed in violation
  123  of this section.
  124         (f)(d) As used in this section, “fraud” includes the
  125  introduction of fraudulent records into a computer system, the
  126  unauthorized use of computer facilities, the intentional or
  127  deliberate alteration or destruction of computerized information
  128  or files, and the stealing of financial instruments, data, and
  129  other assets.
  130         (11)(a) Subject to availability of funds, the department or
  131  the director of the Office of Public Benefits Integrity shall,
  132  unless the person declines the reward, pay a reward to a person
  133  who furnishes and reports original information relating to a
  134  violation of the state’s public assistance fraud laws if the
  135  information and report:
  136         1. Are made to the department, the Department of Financial
  137  Services, or the Department of Law Enforcement.
  138         2. Relate to criminal fraud upon public assistance program
  139  funds or a criminal violation of public assistance fraud laws by
  140  another person.
  141         3. Lead to the recovery of a fine, penalty, or forfeiture
  142  of property.
  143         (b) The reward may not exceed 10 percent of the amount
  144  recovered or $500,000, whichever is less, in a single case.
  145         (c) The reward shall be paid from the state share of the
  146  recovery in the Federal Grants Trust Fund from moneys collected
  147  pursuant to s. 414.41.
  148         (d) A person who receives a reward pursuant to this
  149  subsection is not eligible to receive funds pursuant to the
  150  Florida False Claims Act for Medicaid fraud for which the reward
  151  was received.
  152         Section 2. Paragraphs (k) and (l) are added to subsection
  153  (14) of section 414.095, Florida Statutes, to read:
  154         414.095 Determining eligibility for temporary cash
  155  assistance.—
  156         (14) PROHIBITIONS AND RESTRICTIONS.—
  157         (k) Use of temporary cash assistance benefits out of state
  158  is limited to 30 consecutive days. The temporary cash assistance
  159  benefits of a recipient using his or her benefits out-of-state
  160  for more than 30 days shall be terminated. The department shall
  161  adopt rules providing for the determination of temporary absence
  162  and a recipient’s intent to return to the state.
  163         (l) A parent or caretaker relative who has been
  164  disqualified due to fraud must have a protective payee
  165  designated to receive temporary cash assistance benefits for an
  166  eligible child. The requirements for designation of a protective
  167  payee shall be the same as the requirements for designation of a
  168  protective payee for work sanctions in s. 414.065(2)(b). An
  169  individual disqualified for fraud cannot be designated as a
  170  protective payee. In a two-parent household, if only one parent
  171  is disqualified, the other parent may be designated as the payee
  172  of the benefit.
  173         Section 3. For the 2014-2015 fiscal year, the sums of
  174  $171,604 in recurring funds and $4,736 in nonrecurring funds
  175  from the General Revenue Fund and $171,605 in recurring funds
  176  and $4,737 in nonrecurring funds from the Federal Grants Trust
  177  Fund are appropriated to the Department of Children and
  178  Families, and one full-time equivalent position with associated
  179  salary rate of 32,698 is authorized, for the purpose of
  180  implementing the cash rewards process provisions of this act.
  181         Section 4. For the 2014-2015 fiscal year, the sums of
  182  $214,135 in recurring funds and $17,785 in nonrecurring funds
  183  are appropriated from the Insurance Regulatory Trust Fund to the
  184  Department of Financial Services, and five full-time equivalent
  185  positions with associated salary rate of 114,040 are authorized,
  186  for the purpose of implementing the cash rewards process
  187  provisions of this act.
  188         Section 5. This act shall take effect October 1, 2014.