Florida Senate - 2014                                    SB 1480
       
       
        
       By Senator Benacquisto
       
       
       
       
       
       30-01521A-14                                          20141480__
    1                        A bill to be entitled                      
    2         An act relating to microfinance; creating Part XIV of
    3         ch. 288, F.S., consisting of ss. 288.993-288.9937,
    4         relating to microfinance programs; creating s.
    5         288.993, F.S.; providing a short title; creating s.
    6         288.9931, F.S.; providing legislative findings and
    7         intent; creating s. 288.9932, F.S.; defining terms;
    8         creating s. 288.9933, F.S.; authorizing the Department
    9         of Economic Opportunity to adopt rules to implement
   10         this part; creating s. 288.9934, F.S.; establishing
   11         the Microfinance Loan Program; providing a purpose;
   12         defining the term “lender”; requiring the Department
   13         of Economic Opportunity to contract with at least one
   14         entity to administer the program; requiring the lender
   15         to contract with the department to receive an award of
   16         funds; providing other terms and conditions to
   17         receiving funds; specifying fees authorized to be
   18         charged by the department and the lender; requiring
   19         the lender to remit the microloan principal collected
   20         from all microloans made with funds awarded to the
   21         lender; providing for contract termination; providing
   22         for auditing and reporting; requiring applicants for
   23         funds from the Microfinance Loan Program to meet
   24         certain qualifications; requiring the department to be
   25         guided by the 5-year statewide strategic plan and to
   26         advertise and promote the loan program; requiring the
   27         department to perform a study on methods and best
   28         practices to increase the availability of and access
   29         to credit in this state; prohibiting the pledging of
   30         the credit of the state; authorizing the department to
   31         adopt rules; creating s. 288.9935, F.S.; establishing
   32         the Microfinance Guarantee Program; defining the term
   33         “lender”; requiring the department to contract with
   34         Enterprise Florida, Inc., to administer the program;
   35         prohibiting Enterprise Florida, Inc., from
   36         guaranteeing certain loans; requiring borrowers to
   37         meet certain conditions before receiving a loan
   38         guarantee; requiring Enterprise Florida, Inc., to
   39         submit an annual report to the department; prohibiting
   40         the pledging of the credit of the state or Enterprise
   41         Florida, Inc.; creating s. 288.9936, F.S.; requiring
   42         the department to report annually on the Microfinance
   43         Loan Program; requiring the Office of Program Policy
   44         Analysis and Government Accountability to report on
   45         the effectiveness of the State Small Business Credit
   46         Initiative; creating s. 288.9937, F.S.; requiring the
   47         Office of Program Policy Analysis and Government
   48         Accountability to evaluate and report on the
   49         Microfinance Loan Program and the Microfinance
   50         Guarantee Program by a specified date; authorizing the
   51         executive director of the Department of Economic
   52         Opportunity to adopt emergency rules; providing an
   53         effective date.
   54          
   55  Be It Enacted by the Legislature of the State of Florida:
   56  
   57         Section 1. Part XIV of ch. 288, Florida Statutes,
   58  consisting of ss. 288.993-288.9937, is created and entitled
   59  Microfinance Programs.”
   60         Section 2. Section 288.993, Florida Statutes, is created to
   61  read:
   62         288.993 Short title.—This part may be cited as the “Florida
   63  Microfinance Act.”
   64         Section 3. Section 288.9931, Florida Statutes, is created
   65  to read:
   66         288.9931 Legislative findings and intent.—The Legislature
   67  finds that the ability of entrepreneurs and small businesses to
   68  access capital is vital to the overall health and growth of this
   69  state’s economy; however, access to capital is limited by the
   70  lack of available credit for entrepreneurs and small businesses
   71  in this state. The Legislature further finds that entrepreneurs
   72  and small businesses could be assisted through the creation of a
   73  program that will provide an avenue for entrepreneurs and small
   74  businesses in this state to access credit. Additionally, the
   75  Legislature finds that business management training, business
   76  development training, and technical assistance are necessary to
   77  ensure that entrepreneurs and small businesses that receive
   78  credit develop the skills necessary to grow and achieve long
   79  term financial stability. The Legislature intends to expand job
   80  opportunities for this state’s workforce by expanding access to
   81  credit to entrepreneurs and small businesses. Furthermore, the
   82  Legislature intends to avoid duplicating existing programs and
   83  to coordinate, assist, augment, and improve access to those
   84  programs for entrepreneurs and small businesses in this state.
   85         Section 4. Section 288.9932, Florida Statutes, is created
   86  to read:
   87         288.9932 Definitions.—As used in this part, the term:
   88         (1) “Applicant” means an entrepreneur or small business
   89  requesting the assistance of a lender for services through the
   90  microloan program.
   91         (2) “Domiciled in this state” means authorized to do
   92  business in this state and located in this state.
   93         (3) “Entrepreneur” means an individual residing in this
   94  state who desires to assume the risk of organizing, managing,
   95  and operating a small business in this state.
   96         (4) “Network” means the Florida Small Business Development
   97  Center Network.
   98         (5) “Small business” means a business, regardless of
   99  corporate structure, domiciled in this state which employs 25 or
  100  fewer people and generated average annual gross revenues of $1.5
  101  million or less per year for the preceding 2 years. For the
  102  purposes of this part, the identity of a small business is not
  103  affected by name changes or changes in personnel.
  104         Section 5. Section 288.9933, Florida Statutes, is created
  105  to read:
  106         288.9933 Rulemaking authority.—The department may adopt
  107  rules to implement this part.
  108         Section 6. Section 288.9934, Florida Statutes, is created
  109  to read:
  110         288.9934Microfinance Loan Program.—
  111         (1) PURPOSE.—The Microfinance Loan Program is established
  112  in the department to make short-term, fixed-rate microloans in
  113  conjunction with business management training, business
  114  development training, and technical assistance to entrepreneurs
  115  and newly established or growing small businesses for start-up
  116  costs, working capital, and the acquisition of materials,
  117  supplies, furniture, fixtures, and equipment. Participation in
  118  the loan program is intended to enable entrepreneurs and small
  119  businesses to access private financing upon completing the loan
  120  program.
  121         (2) DEFINITION.—As used in this section, the term “lender”
  122  means an entity that enters into a contract with the department
  123  pursuant to this section to administer the loan program.
  124         (3) REQUEST FOR PROPOSAL.—
  125         (a) By December 1, 2014, the department shall contract with
  126  at least one but not more than three entities to administer the
  127  loan program for a term of 3 years. The department shall award
  128  the contract in accordance with the request for proposal
  129  requirements in s. 287.057 to an entity that:
  130         1. Is a corporation registered in this state;
  131         2. Does not offer checking accounts or savings accounts;
  132         3. Demonstrates that its board of directors and managers
  133  are experienced in microlending and small business finance and
  134  development;
  135         4. Demonstrates that it has the technical skills and
  136  sufficient resources and expertise to:
  137         a. Analyze and evaluate applications by entrepreneurs and
  138  small businesses applying for microloans;
  139         b. Underwrite and service microloans provided pursuant to
  140  this part; and
  141         c. Coordinate the provision of such business management
  142  training, business development training, and technical
  143  assistance as required by this part.
  144         5. Demonstrates that it has established viable, existing
  145  partnerships with public and private, nonstate funding sources,
  146  economic development agencies, and workforce development and job
  147  referral networks; and
  148         6. Demonstrates that it has a plan that includes proposed
  149  microlending activities under the loan program, including, but
  150  not limited to, the types of entrepreneurs and businesses to be
  151  assisted and the size and range of loans the lender intends to
  152  make.
  153         (b) To ensure that prospective lenders meet the
  154  requirements of subparagraphs (a)2.-6., the request for proposal
  155  must require submission of the following information:
  156         1. A description of the types of entrepreneurs and small
  157  businesses the lender has assisted in the past, and the average
  158  size and terms of loans made in the past to such entities;
  159         2. A description of the experience of members of the board
  160  of directors and managers in the areas of microlending and small
  161  business finance and development;
  162         3. A description of the lender’s underwriting and credit
  163  policies and procedures, credit decisionmaking process,
  164  monitoring policies and procedures, and collection practices,
  165  and samples of any currently used loan documentation;
  166         4. A description of the nonstate funding sources that will
  167  be used by the lender in conjunction with the awarded funds to
  168  make microloans pursuant to this section;
  169         5. The lender’s three most recent financial audits or, if
  170  no prior audits have been completed, the lender’s three most
  171  recent unaudited financial statements; and
  172         6. A conflict of interest statement from the lender’s
  173  governing board certifying that no board member, employee,
  174  agent, or other person connected to or affiliated with the
  175  lender is receiving or will receive any type of compensation or
  176  remuneration from an entrepreneur or small business that has
  177  received or will receive funds from the loan program. The
  178  department may waive this requirement for good cause shown.
  179         (4) CONTRACT AND AWARD OF FUNDS.—
  180         (a) The selected lender must enter into a contract with the
  181  department for a term of 3 years to receive loan program funds.
  182  The amount of state funds used in any microloan made pursuant to
  183  this part may not exceed 50 percent of the total microloan
  184  amount. The department shall establish financial performance
  185  measures and objectives for the loan program and for the lender
  186  in order to maximize state funds.
  187         (b) Funds awarded may be used only to provide direct
  188  microloans to entrepreneurs and small businesses according to
  189  the limitations, terms, and conditions provided in this part.
  190  Except as provided in subsection (5), funds awarded may not be
  191  used to pay administrative costs, underwriting costs, servicing
  192  costs, or any other costs associated with providing microloans,
  193  business management training, business development training, or
  194  technical assistance.
  195         (c) The lender shall reserve 10 percent of the total award
  196  amount from the department to provide microloans pursuant to
  197  this part to entrepreneurs and small businesses that employ no
  198  more than five people and generate annual gross revenues
  199  averaging no more than $250,000 per year for the last 2 years.
  200         (d)1. If the loan program is appropriated funding in a
  201  fiscal year, the department shall distribute such funds to the
  202  lender within 30 days of the execution of the contract by the
  203  department and the lender.
  204         2. The total amount of funding allocated to the lender in a
  205  fiscal year may not exceed the amount appropriated for the loan
  206  program in the same fiscal year. If the funds appropriated to
  207  the loan program in a fiscal year exceed the amount of funds
  208  awarded to the lender, such excess funds shall revert to the
  209  General Revenue Fund.
  210         (e) Within 30 days of executing its contract with the
  211  department, the lender must enter into a memorandum of
  212  understanding with the network:
  213         1. For the provision of business management training,
  214  business development training, and technical assistance to
  215  entrepreneurs and small businesses that receive microloans under
  216  this part; and
  217         2. To promote the program to underserved entrepreneurs and
  218  small businesses.
  219         (f) By September 1, 2014, the department shall review
  220  industry best practices and determine the minimum business
  221  management training, business development training, and
  222  technical assistance that must be provided by the network to
  223  achieve the goals of this part.
  224         (g) The lender must meet the requirements of this section,
  225  the terms of its contract with the department, and any other
  226  applicable state or federal laws to be eligible to receive funds
  227  in any fiscal year. The contract with the lender must specify
  228  any sanctions for the lender’s failure to comply with the
  229  contract or this part.
  230         (5) FEES.—
  231         (a) Except as provided in this section, the department may
  232  not charge fees or interest or require collateral from the
  233  lender. The department may charge a fee or interest of no
  234  greater than 80 percent of the Federal Funds Rate as of the date
  235  specified in the contract for funds awarded under the loan
  236  program. The department shall require as collateral an
  237  assignment of the notes receivable of the microloans made by the
  238  lender under the loan program.
  239         (b) The lender is entitled to retain a one-time
  240  administrative servicing fee of 1 percent of the total award
  241  amount to offset the administrative costs of underwriting and
  242  servicing microloans made pursuant to this part. This fee may
  243  not be charged to or paid by microloan borrowers participating
  244  in the loan program. Except as provided in subsection (7)(c),
  245  the lender may not be required to return this fee to the
  246  department. The lender may not charge fees or costs except as
  247  authorized in this paragraph.
  248         (6) REPAYMENT OF AWARD FUNDS.—
  249         (a) After collecting interest and any fees or costs
  250  permitted under this part in satisfaction of all microloans made
  251  pursuant to this part, the lender shall remit to the department
  252  the microloan principal collected from all microloans made with
  253  funds awarded under this part. Repayment of microloan principal
  254  to the department may be deferred by the department for a period
  255  not to exceed 6 months; however, the lender may not provide a
  256  microloan under this part after the contract with the department
  257  expires.
  258         (b) If for any reason the lender is unable to make
  259  repayments to the department in accordance with the contract,
  260  the department may accelerate maturity of the awarded funds and
  261  demand repayment in full. In this event, or if a lender violates
  262  this part or the terms of its contract, the lender shall
  263  surrender to the department possession of all collateral
  264  required pursuant to subsection (5). Any loss or deficiency
  265  greater than the value of the collateral may be recovered by the
  266  department from the lender.
  267         (c) In the event of a default as specified in the contract,
  268  termination of the contract, or violation of this section, the
  269  state may, in addition to any other remedy provided by law,
  270  bring suit to enforce its interest.
  271         (d) A microloan borrower’s default does not relieve the
  272  lender of its obligation to repay an award to the department.
  273         (7) CONTRACT TERMINATION.—
  274         (a) The lender’s contract with the department may be
  275  terminated by the department, and the lender required to
  276  immediately return all state funds, including any fees it would
  277  otherwise be entitled to retain pursuant to subsection (5) for
  278  that fiscal year, upon a finding by the department that:
  279         1. The lender has, within the previous 5 years,
  280  participated in a state-funded economic development program in
  281  this or any other state and was found to have failed to comply
  282  with the requirements of that program;
  283         2. The lender is currently in material noncompliance with
  284  any statute, rule, or program administered by the department;
  285         3. The lender or any member of its board of directors,
  286  officers, partners, managers, or shareholders has pled no
  287  contest or been found guilty, regardless of whether adjudication
  288  was withheld, of any felony or any misdemeanor involving fraud,
  289  misrepresentation, or dishonesty;
  290         4. The lender failed to meet or agree to the terms of the
  291  contract with the department or failed to meet this part; or
  292         5. The department finds that the lender provided fraudulent
  293  or misleading information to the department.
  294         (b) The lender’s contract with the department may be
  295  terminated by the department at any time for any reason upon 30
  296  days’ notice by the department. In such a circumstance, the
  297  lender shall return all awarded funds to the department within
  298  60 days of the termination. However, the lender may retain any
  299  fees it has collected pursuant to subsection (5).
  300         (c) The lender’s contract with the department may be
  301  terminated by the lender at any time for any reason upon 30
  302  days’ notice by the lender. In such a circumstance, the lender
  303  shall return all awarded funds to the department, including any
  304  fees it has retained or would otherwise be entitled to retain
  305  pursuant to subsection (5), within 30 days of the termination.
  306         (8) AUDITS AND REPORTING.—
  307         (a) The lender shall annually submit to the department a
  308  financial audit performed by an independent certified public
  309  accountant and an operational performance audit for the most
  310  recently completed fiscal year. Both audits must indicate
  311  whether any material weakness or instances of material
  312  noncompliance are indicated in the audit.
  313         (b) The lender shall submit quarterly reports to the
  314  department as required by s. 288.9935(3).
  315         (c) The lender shall make its books and records related to
  316  the loan program available to the department or its designee for
  317  inspection upon reasonable notice.
  318         (9) ELIGIBILITY AND APPLICATION.—
  319         (a) To be eligible for a microloan, an applicant must, at a
  320  minimum, be an entrepreneur or small business located in this
  321  state.
  322         (b) Microloans may not be made if the direct or indirect
  323  purpose or result of granting the microloan would be to:
  324         1. Pay off any creditors of the applicant, including the
  325  refund of a debt owed to a small business investment company
  326  organized pursuant to 15 U.S.C. s. 681;
  327         2. Provide funds, directly or indirectly, for payment,
  328  distribution, or as a microloan to owners, partners, or
  329  shareholders of the applicant’s business, except as ordinary
  330  compensation for services rendered;
  331         3. Finance the acquisition, construction, improvement, or
  332  operation of real property which is, or will be, held primarily
  333  for sale or investment;
  334         4. Pay for lobbying activities; or
  335         5. Replenish funds used for any of the purposes specified
  336  in subparagraphs 1.-4.
  337         (c) A microloan applicant shall submit a written
  338  application in the format prescribed by the lender and shall pay
  339  an application fee not to exceed $50 to the lender.
  340         (d) The following minimum terms apply to a microloan made
  341  by the lender:
  342         1.The amount of a microloan may not exceed $50,000;
  343         2. A borrower may not receive more than $75,000 per year in
  344  total microloans;
  345         3. A borrower may not receive more than two microloans per
  346  year and may not receive more than five microloans in any 3-year
  347  period;
  348         4. The proceeds of the microloan may be used only for
  349  startup costs, working capital, and the acquisition of
  350  materials, supplies, furniture, fixtures, and equipment;
  351         5. The period of any microloan may not exceed 1 year;
  352         6. The interest rate may not exceed the prime rate
  353  published in the Wall Street Journal as of the date specified in
  354  the microloan, plus 1000 basis points;
  355         7. All microloans must be personally guaranteed;
  356         8. The borrower must participate in business management
  357  training, business development training, and technical
  358  assistance as determined by the lender in the microloan
  359  agreement;
  360         9. The borrower shall provide such information as required
  361  by the lender, including monthly job creation and financial
  362  data, in the manner prescribed by the lender; and
  363         10. The lender may collect fees for late payments which are
  364  consistent with standard business lending practices and may
  365  recover costs and fees incurred for any collection efforts
  366  necessitated by a borrower’s default.
  367         (e) The department may not review microloans made by the
  368  lender pursuant to this part prior to approval by the lender.
  369         (10) STATEWIDE STRATEGIC PLAN.—In implementing this
  370  section, the department shall be guided by the 5-year statewide
  371  strategic plan adopted pursuant to s. 20.60(5). The department
  372  shall promote and advertise the loan program by, among other
  373  things, cooperating with government, nonprofit, and private
  374  industry to organize, host, or participate in seminars and other
  375  forums for entrepreneurs and small businesses.
  376         (11) STUDY.—By December 31, 2014, the department shall
  377  commence or commission a study to identify methods and best
  378  practices that will increase access to credit to entrepreneurs
  379  and small businesses in this state. The study must also explore
  380  the ability of, and limitations on, Florida nonprofit
  381  organizations and private financial institutions to expand
  382  access to credit to entrepreneurs and small businesses in this
  383  state.
  384         (12) CREDIT OF THE STATE.—With the exception of funds
  385  appropriated to the loan program by the Legislature, the credit
  386  of the state may not be pledged. The state is not liable or
  387  obligated in any way for claims on the loan program or against
  388  the lender or the department.
  389         Section 7. Section 288.9935, Florida Statutes, is created
  390  to read:
  391         288.9935Microfinance Guarantee Program.—
  392         (1) The Microfinance Guarantee Program is established in
  393  the department. The purpose of the program is to stimulate
  394  access to credit for entrepreneurs and small businesses in this
  395  state by providing targeted guarantees to loans made to such
  396  entrepreneurs and small businesses. Funds appropriated to the
  397  program must be reinvested and maintained as a long-term and
  398  stable source of funding for the program.
  399         (2) As used in this section, the term “lender” means a
  400  financial institution as defined in s. 655.005.
  401         (3) The department must enter into a contract with
  402  Enterprise Florida, Inc., to administer the Microfinance
  403  Guarantee Program. In administering the program, Enterprise
  404  Florida, Inc., must, at a minimum:
  405         (a) Establish lender and borrower eligibility requirements
  406  in addition to those provided in this section;
  407         (b) Determine a reasonable leverage ratio of loan amounts
  408  guaranteed to state funds; however, the leverage ratio may not
  409  exceed 3 to 1;
  410         (c) Establish reasonable fees and interest;
  411         (d) Promote the program to financial institutions that
  412  provide loans to entrepreneurs and small businesses in order to
  413  maximize the number of lenders throughout the state which
  414  participate in the program;
  415         (e) Enter into a memorandum of understanding with the
  416  network to promote the program to underserved entrepreneurs and
  417  small businesses;
  418         (f) Establish limits on the total amount of loan guarantees
  419  a single lender can receive;
  420         (g) Establish an average loan guarantee amount for loans
  421  guaranteed under this section;
  422         (h) Establish a risk-sharing strategy to be employed in the
  423  event of a loan failure; and
  424         (i) Establish financial performance measures and objectives
  425  for the program in order to maximize state funds.
  426         (4) Enterprise Florida, Inc., is limited to providing loan
  427  guarantees for loans with total loan amounts of at least $50,000
  428  and not more than $250,000. A loan guarantee may not exceed 50
  429  percent of the total loan amount.
  430         (5) Enterprise Florida, Inc., may not guarantee a loan if
  431  the direct or indirect purpose or result of the loan would be
  432  to:
  433         (a) Pay off any creditors of the applicant, including the
  434  refund of a debt owed to a small business investment company
  435  organized pursuant to 15 U.S.C. s. 681;
  436         (b) Provide funds, directly or indirectly, for payment,
  437  distribution, or as a loan to owners, partners, or shareholders
  438  of the applicant’s business, except as ordinary compensation for
  439  services rendered;
  440         (c) Finance the acquisition, construction, improvement, or
  441  operation of real property which is, or will be, held primarily
  442  for sale or investment;
  443         (d) Pay for lobbying activities; or
  444         (e) Replenish funds used for any of the purposes specified
  445  in paragraphs (a) through (d).
  446         (6) To be eligible to receive a loan guarantee under the
  447  Microfinance Guarantee Program, a borrower must, at a minimum:
  448         (a) Be an entrepreneur or small business located in this
  449  state;
  450         (b) Employ 25 or fewer people;
  451         (c) Generate average annual gross revenues of $1.5 million
  452  or less per year for the last 2 years; and
  453         (d) Meet any additional requirements established by
  454  Enterprise Florida, Inc.
  455         (7) By October 1 of each year, Enterprise Florida, Inc.,
  456  shall submit a complete and detailed annual report to the
  457  department for inclusion in the department’s report required
  458  under s. 288.9935. The report must, at a minimum, provide:
  459         (a) A comprehensive description of the program, including
  460  an evaluation of its application and guarantee activities,
  461  recommendations for change, and identification of any other
  462  state programs that overlap with the program;
  463         (b) An assessment of the current availability of and access
  464  to credit for entrepreneurs and small businesses in this state;
  465         (c) A summary of the financial and employment results of
  466  the entrepreneurs and small businesses receiving loan
  467  guarantees, including the number of full-time equivalent jobs
  468  created as a result of the guaranteed loans and the amount of
  469  wages paid to employees in the newly created jobs;
  470         (d) Industry data about the borrowers, including the six
  471  digit North American Industry Classification System (NAICS)
  472  code;
  473         (e) The name and location of lenders that receive loan
  474  guarantees;
  475         (f) The amount of state funds received by Enterprise
  476  Florida, Inc.;
  477         (g) The number of loan guarantee applications received;
  478         (h) The number, duration, location, and amount of
  479  guarantees made;
  480         (i) The number and amount of guaranteed loans outstanding,
  481  if any;
  482         (j) The number and amount of guaranteed loans with payments
  483  overdue, if any;
  484         (k) The number and amount of guaranteed loans in default,
  485  if any;
  486         (l) The repayment history of the guaranteed loans made; and
  487         (m) An evaluation of the program’s ability to meet the
  488  financial performance measures and objectives specified in
  489  subsection (3).
  490         (8) The credit of the state or Enterprise Florida, Inc.,
  491  may not be pledged except for funds appropriated by law to the
  492  Microfinance Guarantee Program. The state is not liable or
  493  obligated in any way for claims on the program or against
  494  Enterprise Florida, Inc., or the department.
  495         Section 8. Section 288.9936, Florida Statutes, is created
  496  to read:
  497         288.9936Annual report of the Microfinance Loan Program.—
  498         (1)The department shall include in the report required by
  499  s. 20.60(10) a complete and detailed annual report on the
  500  Microfinance Loan Program. The report must include:
  501         (a) A comprehensive description of the program, including
  502  an evaluation of its application and funding activities,
  503  recommendations for change, and identification of any other
  504  state programs that overlap with the program;
  505         (b) The financial institutions and the public and private
  506  organizations and individuals participating in the program;
  507         (c) An assessment of the current availability of and access
  508  to credit for entrepreneurs and small businesses in this state;
  509         (d) A summary of the financial and employment results of
  510  the entities receiving microloans;
  511         (e) The number of full-time equivalent jobs created as a
  512  result of the guaranteed loans and the amount of wages paid to
  513  employees in the newly created jobs;
  514         (f) The number and location of prospective lenders that
  515  responded to the department request for proposals;
  516         (g) The amount of funds awarded to the lender;
  517         (h) The number of microloan applications received by the
  518  lender;
  519         (i) The number, duration, and location of microloans made
  520  by the lender;
  521         (j) The number and amount of microloans outstanding, if
  522  any;
  523         (k) The number and amount of microloans with payments
  524  overdue, if any;
  525         (l) The number and amount of microloans in default, if any;
  526         (m) The repayment history of the microloans made;
  527         (n) The repayment history and performance of funding
  528  awards;
  529         (o) An evaluation of the program’s ability to meet the
  530  financial performance measures and objectives specified in s.
  531  288.9934; and
  532         (p) A description and evaluation of the technical
  533  assistance and business management and development training
  534  provided by the network pursuant to its memorandum of
  535  understanding with the lender.
  536         (2) The department shall submit the report provided to the
  537  department from Enterprise Florida, Inc., pursuant to
  538  288.9935(7) for inclusion in the department’s annual report
  539  required under s. 20.60(10).
  540         (3) The department shall require at least quarterly reports
  541  from the lender. The lender’s report must include, at a minimum,
  542  information required by the department as specified in
  543  subsection (1). The report must also include the number of
  544  microloan applications received, the number of microloans made,
  545  the amount and interest rate of each microloan made, the amount
  546  of technical assistance or business development and management
  547  training provided, the number of full-time equivalent jobs
  548  created as a result of the microloans, the amount of wages paid
  549  to employees in the newly created jobs, the six-digit North
  550  American Industry Classification System (NAICS) code associated
  551  with the borrower’s business, and the borrower’s locations.
  552         (4) The Office of Program Policy Analysis and Government
  553  Accountability shall conduct a study to evaluate the
  554  effectiveness and return on investment of the State Small
  555  Business Credit Initiative operated in this state pursuant to 12
  556  U.S.C. ss. 5701 et seq. The office shall submit a report to the
  557  President of the Senate and the Speaker of the House of
  558  Representatives by January 1, 2015.
  559         Section 9. Section 288.9937, Florida Statutes, is created
  560  to read:
  561         288.9937Evaluation of programs.—The Office of Program
  562  Policy Analysis and Government Accountability shall analyze,
  563  evaluate, and determine the economic benefits, as defined in s.
  564  288.005, of the first 3 years of the Microfinance Loan Program
  565  and the Microfinance Guarantee Program. The analysis must also
  566  evaluate the number of jobs created, the increase or decrease in
  567  personal income, and the impact on state gross domestic product
  568  from the direct, indirect, and induced effects of the state’s
  569  investment. The analysis must also identify any inefficiencies
  570  in the programs and provide recommendations for changes to the
  571  programs. The office shall submit a report to the President of
  572  the Senate and the Speaker of the House of Representatives by
  573  January 1, 2018. This section expires January 31, 2018.
  574         Section 10. (1) The executive director of the Department of
  575  Economic Opportunity is authorized, and all conditions are
  576  deemed to be met, to adopt emergency rules pursuant to ss.
  577  120.536(1) and 120.54(4), Florida Statutes, for the purpose of
  578  implementing this act.
  579         (2) Notwithstanding any other provision of law, the
  580  emergency rules adopted pursuant to subsection (1) remain in
  581  effect for 6 months after adoption and may be renewed during the
  582  pendency of procedures to adopt permanent rules addressing the
  583  subject of the emergency rules.
  584         (3) This section shall expire October 1, 2015.
  585         Section 11. This act shall take effect July 1, 2014.