Florida Senate - 2015 SB 1372
By Senator Gaetz
1-00505B-15 20151372__
1 A bill to be entitled
2 An act relating to government accountability; amending
3 s. 11.40, F.S.; specifying that the Governor, the
4 Commissioner of Education, or the designee of the
5 Governor or of the Commissioner of Education may
6 notify the Legislative Auditing Committee of an
7 entity’s failure to comply with certain auditing and
8 financial reporting requirements; amending s. 11.45,
9 F.S.; defining the terms “abuse”, “fraud”, and
10 “waste”; revising the definition of “local
11 governmental entity”; excluding water management
12 districts from certain audit requirements; revising
13 reporting requirements applicable to the Auditor
14 General; amending s. 28.35, F.S.; revising reporting
15 requirements applicable to the Florida Clerks of Court
16 Operations Corporation; amending s. 43.16, F.S.;
17 revising the responsibilities of the Justice
18 Administrative Commission, each state attorney, each
19 public defender, a criminal conflict and civil
20 regional counsel, a capital collateral counsel, and
21 the Guardian Ad Litem Program, to include the
22 establishment and maintenance of certain internal
23 controls; amending s. 112.31455, F.S.; authorizing the
24 Chief Financial Officer or a governing body to
25 withhold an amount of a fine owed and related
26 administrative costs from public salary-related
27 payments of certain individuals; authorizing the Chief
28 Financial Officer or a governing body to reduce the
29 amount withheld if certain individuals demonstrate a
30 hardship; transferring a provision relating to the
31 garnishment of wages of specified individuals;
32 creating s. 112.31456, F.S.; authorizing the
33 Commission on Ethics to seek wage garnishment of
34 certain individuals to satisfy unpaid fines;
35 authorizing the commission to refer unpaid fines to a
36 collection agency; establishing a statute of
37 limitations with respect to the collection of an
38 unpaid fine; amending s. 112.3261, F.S.; revising
39 definitions to conform to changes made by the act;
40 expanding the types of governmental entities that are
41 subject to lobbyist registration requirements;
42 amending ss. 129.03, 129.06, 166.241, and 189.016,
43 F.S.; requiring counties, municipalities, and special
44 districts to maintain certain budget documents on the
45 entities’ websites for a specified period; amending s.
46 215.425, F.S.; requiring a unit of government to
47 investigate and take necessary action to recover
48 prohibited compensation; specifying methods of
49 recovery and liability for unintentional and willful
50 violations; providing a penalty; authorizing the
51 Governor to suspend officers under specified
52 circumstances; establishing eligibility criteria and
53 amounts for rewards; specifying circumstances under
54 which an employee has a cause of action under the
55 Whistle-blower’s Act; establishing causes of action if
56 a unit of government fails to recover prohibited
57 compensation within a certain timeframe; amending s.
58 215.86, F.S.; revising management systems and controls
59 to be employed by each state agency and the judicial
60 branch; amending s. 215.97, F.S.; revising the
61 definition of the term “audit threshold”; amending s.
62 215.985, F.S.; revising the requirements for a monthly
63 financial statement provided by a water management
64 district; amending s. 218.32, F.S.; revising the
65 requirements of the annual financial audit report of a
66 local governmental entity; authorizing the Department
67 of Financial Services to request additional
68 information from a local governmental entity;
69 requiring a local governmental entity to respond to
70 such requests within a specified timeframe; requiring
71 the department to notify the Legislative Auditing
72 Committee of noncompliance; amending s. 218.33, F.S.;
73 requiring local government entities to establish and
74 maintain internal controls; amending s. 218.39, F.S.;
75 requiring an audited entity to respond to audit
76 recommendations under specified circumstances;
77 amending s. 218.391, F.S.; revising the composition of
78 an audit committee; restricting the length of a
79 contract period; amending s. 288.92, F.S.; prohibiting
80 specified officers and board members of Enterprise
81 Florida, Inc., from representing a person or entity
82 for compensation before Enterprise Florida, Inc., for
83 a specified timeframe; amending s. 288.9604, F.S.;
84 prohibiting a director of the board of directors of
85 the Florida Development Finance Corporation from
86 representing a person or entity for compensation
87 before the corporation for a specified timeframe;
88 amending s. 373.536, F.S.; deleting obsolete language;
89 requiring water management districts to maintain
90 certain budget documents on the districts’ websites
91 for a specified period; amending s. 1002.33, F.S.;
92 revising the responsibilities of the governing board
93 of a charter school to include the establishment and
94 maintenance of internal controls; amending s. 1002.37,
95 F.S.; requiring completion of an annual financial
96 audit of the Florida Virtual School; specifying audit
97 requirements; requiring an audit report to be
98 submitted to the board of trustees of the Florida
99 Virtual School and the Auditor General; removing an
100 obsolete provision; amending s. 1010.01, F.S.;
101 requiring each school district, Florida College System
102 institution, and state university to establish and
103 maintain certain internal controls; amending s.
104 1010.30, F.S.; requiring a district school board,
105 Florida College System board of trustees, or
106 university board of trustees to respond to audit
107 recommendations under certain circumstances; amending
108 ss. 68.082, 68.083, and 218.503, F.S.; conforming
109 provisions and cross-references to changes made by the
110 act; declaring that the act fulfills an important
111 state interest; providing an effective date.
112
113 Be It Enacted by the Legislature of the State of Florida:
114
115 Section 1. Subsection (2) of section 11.40, Florida
116 Statutes, is amended to read:
117 11.40 Legislative Auditing Committee.—
118 (2) Following notification by the Auditor General, the
119 Department of Financial Services, or the Division of Bond
120 Finance of the State Board of Administration, the Governor or
121 his or her designee, or the Commissioner of Education or his or
122 her designee of the failure of a local governmental entity,
123 district school board, charter school, or charter technical
124 career center to comply with the applicable provisions within s.
125 11.45(5)-(7), s. 218.32(1), s. 218.38, or s. 218.503(3), the
126 Legislative Auditing Committee may schedule a hearing to
127 determine if the entity should be subject to further state
128 action. If the committee determines that the entity should be
129 subject to further state action, the committee shall:
130 (a) In the case of a local governmental entity or district
131 school board, direct the Department of Revenue and the
132 Department of Financial Services to withhold any funds not
133 pledged for bond debt service satisfaction which are payable to
134 such entity until the entity complies with the law. The
135 committee shall specify the date such action shall begin, and
136 the directive must be received by the Department of Revenue and
137 the Department of Financial Services 30 days before the date of
138 the distribution mandated by law. The Department of Revenue and
139 the Department of Financial Services may implement the
140 provisions of this paragraph.
141 (b) In the case of a special district created by:
142 1. A special act, notify the President of the Senate, the
143 Speaker of the House of Representatives, the standing committees
144 of the Senate and the House of Representatives charged with
145 special district oversight as determined by the presiding
146 officers of each respective chamber, the legislators who
147 represent a portion of the geographical jurisdiction of the
148 special district pursuant to s. 189.034(2), and the Department
149 of Economic Opportunity that the special district has failed to
150 comply with the law. Upon receipt of notification, the
151 Department of Economic Opportunity shall proceed pursuant to s.
152 189.062 or s. 189.067. If the special district remains in
153 noncompliance after the process set forth in s. 189.034(3), or
154 if a public hearing is not held, the Legislative Auditing
155 Committee may request the department to proceed pursuant to s.
156 189.067(3).
157 2. A local ordinance, notify the chair or equivalent of the
158 local general-purpose government pursuant to s. 189.035(2) and
159 the Department of Economic Opportunity that the special district
160 has failed to comply with the law. Upon receipt of notification,
161 the department shall proceed pursuant to s. 189.062 or s.
162 189.067. If the special district remains in noncompliance after
163 the process set forth in s. 189.034(3), or if a public hearing
164 is not held, the Legislative Auditing Committee may request the
165 department to proceed pursuant to s. 189.067(3).
166 3. Any manner other than a special act or local ordinance,
167 notify the Department of Economic Opportunity that the special
168 district has failed to comply with the law. Upon receipt of
169 notification, the department shall proceed pursuant to s.
170 189.062 or s. 189.067(3).
171 (c) In the case of a charter school or charter technical
172 career center, notify the appropriate sponsoring entity, which
173 may terminate the charter pursuant to ss. 1002.33 and 1002.34.
174 Section 2. Subsection (1), paragraph (j) of subsection (2),
175 and paragraph (i) of subsection (7) of section 11.45, Florida
176 Statutes, are amended to read:
177 11.45 Definitions; duties; authorities; reports; rules.—
178 (1) DEFINITIONS.—As used in ss. 11.40-11.51, the term:
179 (a) “Abuse” means behavior that is deficient or improper
180 when compared with behavior that a prudent person would consider
181 reasonable and necessary operational practice given the facts
182 and circumstances. The term includes the misuse of authority or
183 position for personal gain or for the benefit of another.
184 (b)(a) “Audit” means a financial audit, operational audit,
185 or performance audit.
186 (c)(b) “County agency” means a board of county
187 commissioners or other legislative and governing body of a
188 county, however styled, including that of a consolidated or
189 metropolitan government, a clerk of the circuit court, a
190 separate or ex officio clerk of the county court, a sheriff, a
191 property appraiser, a tax collector, a supervisor of elections,
192 or any other officer in whom any portion of the fiscal duties of
193 the above are under law separately placed.
194 (d)(c) “Financial audit” means an examination of financial
195 statements in order to express an opinion on the fairness with
196 which they are presented in conformity with generally accepted
197 accounting principles and an examination to determine whether
198 operations are properly conducted in accordance with legal and
199 regulatory requirements. Financial audits must be conducted in
200 accordance with auditing standards generally accepted in the
201 United States and government auditing standards as adopted by
202 the Board of Accountancy. When applicable, the scope of
203 financial audits shall encompass the additional activities
204 necessary to establish compliance with the Single Audit Act
205 Amendments of 1996, 31 U.S.C. ss. 7501-7507, and other
206 applicable federal law.
207 (e) “Fraud” means obtaining of something of value through
208 willful misrepresentation, including, but not limited to, the
209 intentional misstatements or omissions of amounts or disclosures
210 in financial statements to deceive users of financial
211 statements, theft of an entity’s assets, bribery, or the use of
212 one’s position for personal enrichment through the deliberate
213 misuse or misapplication of an organization’s resources.
214 (f)(d) “Governmental entity” means a state agency, a county
215 agency, or any other entity, however styled, that independently
216 exercises any type of state or local governmental function.
217 (g)(e) “Local governmental entity” means a county agency,
218 municipality, tourist development council, county tourism
219 promotion agency, or special district as defined in s. 189.012.
220 The term, but does not include any housing authority established
221 under chapter 421.
222 (h)(f) “Management letter” means a statement of the
223 auditor’s comments and recommendations.
224 (i)(g) “Operational audit” means an audit whose purpose is
225 to evaluate management’s performance in establishing and
226 maintaining internal controls, including controls designed to
227 prevent and detect fraud, waste, and abuse, and in administering
228 assigned responsibilities in accordance with applicable laws,
229 administrative rules, contracts, grant agreements, and other
230 guidelines. Operational audits must be conducted in accordance
231 with government auditing standards. Such audits examine internal
232 controls that are designed and placed in operation to promote
233 and encourage the achievement of management’s control objectives
234 in the categories of compliance, economic and efficient
235 operations, reliability of financial records and reports, and
236 safeguarding of assets, and identify weaknesses in those
237 internal controls.
238 (j)(h) “Performance audit” means an examination of a
239 program, activity, or function of a governmental entity,
240 conducted in accordance with applicable government auditing
241 standards or auditing and evaluation standards of other
242 appropriate authoritative bodies. The term includes an
243 examination of issues related to:
244 1. Economy, efficiency, or effectiveness of the program.
245 2. Structure or design of the program to accomplish its
246 goals and objectives.
247 3. Adequacy of the program to meet the needs identified by
248 the Legislature or governing body.
249 4. Alternative methods of providing program services or
250 products.
251 5. Goals, objectives, and performance measures used by the
252 agency to monitor and report program accomplishments.
253 6. The accuracy or adequacy of public documents, reports,
254 or requests prepared under the program by state agencies.
255 7. Compliance of the program with appropriate policies,
256 rules, or laws.
257 8. Any other issues related to governmental entities as
258 directed by the Legislative Auditing Committee.
259 (k)(i) “Political subdivision” means a separate agency or
260 unit of local government created or established by law and
261 includes, but is not limited to, the following and the officers
262 thereof: authority, board, branch, bureau, city, commission,
263 consolidated government, county, department, district,
264 institution, metropolitan government, municipality, office,
265 officer, public corporation, town, or village.
266 (l)(j) “State agency” means a separate agency or unit of
267 state government created or established by law and includes, but
268 is not limited to, the following and the officers thereof:
269 authority, board, branch, bureau, commission, department,
270 division, institution, office, officer, or public corporation,
271 as the case may be, except any such agency or unit within the
272 legislative branch of state government other than the Florida
273 Public Service Commission.
274 (m) “Waste” means the act of using or expending resources
275 unreasonably, carelessly, extravagantly, or for no useful
276 purpose.
277 (2) DUTIES.—The Auditor General shall:
278 (j) Conduct audits of local governmental entities when
279 determined to be necessary by the Auditor General, when directed
280 by the Legislative Auditing Committee, or when otherwise
281 required by law. No later than 18 months after the release of
282 the audit report, the Auditor General shall perform such
283 appropriate followup procedures as he or she deems necessary to
284 determine the audited entity’s progress in addressing the
285 findings and recommendations contained within the Auditor
286 General’s previous report. The Auditor General shall notify each
287 member of the audited entity’s governing body and the
288 Legislative Auditing Committee of the results of his or her
289 determination. For purposes of this paragraph, local
290 governmental entities do not include water management districts.
291
292 The Auditor General shall perform his or her duties
293 independently but under the general policies established by the
294 Legislative Auditing Committee. This subsection does not limit
295 the Auditor General’s discretionary authority to conduct other
296 audits or engagements of governmental entities as authorized in
297 subsection (3).
298 (7) AUDITOR GENERAL REPORTING REQUIREMENTS.—
299 (i) The Auditor General shall annually transmit by July 15,
300 to the President of the Senate, the Speaker of the House of
301 Representatives, and the Department of Financial Services, a
302 list of all school districts, charter schools, charter technical
303 career centers, Florida College System institutions, state
304 universities, and local governmental entities water management
305 districts that have failed to comply with the transparency
306 requirements as identified in the audit reports reviewed
307 pursuant to paragraph (b) and those conducted pursuant to
308 subsection (2).
309 Section 3. Paragraph (d) of subsection (2) of section
310 28.35, Florida Statutes, is amended to read:
311 28.35 Florida Clerks of Court Operations Corporation.—
312 (2) The duties of the corporation shall include the
313 following:
314 (d) Developing and certifying a uniform system of workload
315 measures and applicable workload standards for court-related
316 functions as developed by the corporation and clerk workload
317 performance in meeting the workload performance standards. These
318 workload measures and workload performance standards shall be
319 designed to facilitate an objective determination of the
320 performance of each clerk in accordance with minimum standards
321 for fiscal management, operational efficiency, and effective
322 collection of fines, fees, service charges, and court costs. The
323 corporation shall develop the workload measures and workload
324 performance standards in consultation with the Legislature. When
325 the corporation finds a clerk has not met the workload
326 performance standards, the corporation shall identify the nature
327 of each deficiency and any corrective action recommended and
328 taken by the affected clerk of the court. For quarterly periods
329 ending on the last day of March, June, September, and December
330 of each year, the corporation shall notify the Legislature of
331 any clerk not meeting workload performance standards and provide
332 a copy of any corrective action plans. Such notifications shall
333 be submitted no later than 45 days after the end of the
334 preceding quarterly period. As used in this subsection, the
335 term:
336 1. “Workload measures” means the measurement of the
337 activities and frequency of the work required for the clerk to
338 adequately perform the court-related duties of the office as
339 defined by the membership of the Florida Clerks of Court
340 Operations Corporation.
341 2. “Workload performance standards” means the standards
342 developed to measure the timeliness and effectiveness of the
343 activities that are accomplished by the clerk in the performance
344 of the court-related duties of the office as defined by the
345 membership of the Florida Clerks of Court Operations
346 Corporation.
347 Section 4. Present subsections (6) and (7) of section
348 43.16, Florida Statutes, are redesignated as subsections (7) and
349 (8), respectively, and a new subsection (6) is added to that
350 section, to read:
351 43.16 Justice Administrative Commission; membership, powers
352 and duties.—
353 (6) The commission, each state attorney, each public
354 defender, the criminal conflict and civil regional counsel, the
355 capital collateral regional counsel, and the Guardian Ad Litem
356 Program shall establish and maintain internal controls designed
357 to:
358 (a) Prevent and detect fraud, waste, and abuse.
359 (b) Promote and encourage compliance with applicable laws,
360 rules, contracts, grant agreements, and best practices.
361 (c) Support economic and efficient operations.
362 (d) Ensure reliability of records and reports.
363 (e) Safeguard assets.
364 Section 5. Section 112.31455, Florida Statutes, is amended
365 to read:
366 112.31455 Withholding of public salary-related payments
367 Collection methods for unpaid automatic fines for failure to
368 timely file disclosure of financial interests.—
369 (1) Before referring any unpaid fine accrued pursuant to s.
370 112.3144(5) or s. 112.3145(7) s. 112.3145(6) to the Department
371 of Financial Services, the commission shall attempt to determine
372 whether the individual owing such a fine is a current public
373 officer or current public employee. If so, the commission may
374 notify the Chief Financial Officer or the governing body of the
375 appropriate county, municipality, or special district of the
376 total amount of any fine owed to the commission by such
377 individual.
378 (a) After receipt and verification of the notice from the
379 commission, the Chief Financial Officer or the governing body of
380 the county, municipality, or special district shall withhold the
381 entire amount of any fine owed, and any administrative costs
382 incurred, from the individual’s next public salary-related
383 payment. If the fine exceeds the amount of the next public
384 salary-related payment, all public salary-related payments must
385 be withheld until the fine and administrative costs are paid in
386 full begin withholding the lesser of 10 percent or the maximum
387 amount allowed under federal law from any salary-related
388 payment. The Chief Financial Officer or the governing body of
389 the county, municipality, or special district may retain an
390 amount of each withheld payment, as provided in s. 77.0305, to
391 cover the administrative costs incurred under this section. The
392 withheld payments shall be remitted to the commission until the
393 fine is satisfied.
394 (b) The Chief Financial Officer or the governing body of
395 the county, municipality, or special district may retain an
396 amount of each withheld payment, as provided in s. 77.0305, to
397 cover the administrative costs incurred under this section.
398 (b) If a current public officer or current public employee
399 demonstrates to the Chief Financial Officer or the governing
400 body responsible for paying him or her that the public salary is
401 his or her primary source of income and that withholding the
402 full amount of any fine owed from a public salary-related
403 payment would present an undue hardship, the withheld amount may
404 be reduced but must be at least 10 percent of the public salary
405 related payment.
406 (2) If the commission determines that the individual who is
407 the subject of an unpaid fine accrued pursuant to s. 112.3144(5)
408 or s. 112.3145(6) is no longer a public officer or public
409 employee or if the commission is unable to determine whether the
410 individual is a current public officer or public employee, the
411 commission may, 6 months after the order becomes final, seek
412 garnishment of any wages to satisfy the amount of the fine, or
413 any unpaid portion thereof, pursuant to chapter 77. Upon
414 recording the order imposing the fine with the clerk of the
415 circuit court, the order shall be deemed a judgment for purposes
416 of garnishment pursuant to chapter 77.
417 (2)(3) The commission may refer unpaid fines to the
418 appropriate collection agency, as directed by the Chief
419 Financial Officer, to use utilize any collection methods
420 provided by law. Except as expressly limited by this section,
421 any other collection methods authorized by law are allowed.
422 (3)(4) Action may be taken to collect any unpaid fine
423 imposed by ss. 112.3144 and 112.3145 within 20 years after the
424 date the final order is rendered.
425 Section 6. Section 112.31456, Florida Statutes, is created
426 to read:
427 112.31456 Garnishment of wages for unpaid automatic fines
428 for failure to timely file disclosure of financial interests.—
429 (1) Before referring any unpaid fine accrued pursuant to s.
430 112.3144(5) or s. 112.3145(7) to the Department of Financial
431 Services, the commission shall attempt to determine whether the
432 individual owing such a fine is a current public officer or
433 current public employee. If the commission determines that an
434 individual who is the subject of an unpaid fine accrued pursuant
435 to s. 112.3144(5) or s. 112.3145(7) is no longer a public
436 officer or public employee or if the commission cannot determine
437 whether the individual is a current public officer or current
438 public employee, the commission may, 6 months after the order
439 becomes final, seek garnishment of any wages to satisfy the
440 amount of the fine, or any unpaid portion thereof, pursuant to
441 chapter 77. Upon recording the order imposing the fine with the
442 clerk of the circuit court, the order shall be deemed a judgment
443 for purposes of garnishment pursuant to chapter 77.
444 (2) The commission may refer unpaid fines to the
445 appropriate collection agency, as directed by the Chief
446 Financial Officer, to use any collection methods provided by
447 law. Except as expressly limited by this section, any other
448 collection method authorized by law is allowed.
449 (3) Action may be taken to collect any unpaid fine imposed
450 by ss. 112.3144 and 112.3145 within 20 years after the date the
451 final order is rendered.
452 Section 7. Section 112.3261, Florida Statutes, is amended
453 to read:
454 112.3261 Lobbying before governmental entities water
455 management districts; registration and reporting.—
456 (1) As used in this section, the term:
457 (a) “Governmental entity” or “entity” “District” means a
458 water management district created in s. 373.069 and operating
459 under the authority of chapter 373, a hospital district, a
460 children’s services district, an expressway authority as the
461 term “authority” is defined in s. 348.0002, a port authority as
462 the term is defined in s. 315.02, or an independent special
463 district with annual revenues of more than $5 million which
464 exercises ad valorem taxing authority.
465 (b) “Lobbies” means seeking, on behalf of another person,
466 to influence a governmental entity district with respect to a
467 decision of the entity district in an area of policy or
468 procurement or an attempt to obtain the goodwill of an a
469 district official or employee of a governmental entity. The term
470 “lobbies” shall be interpreted and applied consistently with the
471 rules of the commission implementing s. 112.3215.
472 (c) “Lobbyist” has the same meaning as provided in s.
473 112.3215.
474 (d) “Principal” has the same meaning as provided in s.
475 112.3215.
476 (2) A person may not lobby a governmental entity district
477 until such person has registered as a lobbyist with that entity
478 district. Such registration shall be due upon initially being
479 retained to lobby and is renewable on a calendar-year basis
480 thereafter. Upon registration, the person shall provide a
481 statement signed by the principal or principal’s representative
482 stating that the registrant is authorized to represent the
483 principal. The principal shall also identify and designate its
484 main business on the statement authorizing that lobbyist
485 pursuant to a classification system approved by the governmental
486 entity district. Any changes to the information required by this
487 section must be disclosed within 15 days by filing a new
488 registration form. The registration form shall require each
489 lobbyist to disclose, under oath, the following:
490 (a) The lobbyist’s name and business address.
491 (b) The name and business address of each principal
492 represented.
493 (c) The existence of any direct or indirect business
494 association, partnership, or financial relationship with an
495 official any officer or employee of a governmental entity
496 district with which he or she lobbies or intends to lobby.
497 (d) In lieu of creating its own lobbyist registration
498 forms, a governmental entity district may accept a completed
499 legislative branch or executive branch lobbyist registration
500 form.
501 (3) A governmental entity district shall make lobbyist
502 registrations available to the public. If a governmental entity
503 district maintains a website, a database of currently registered
504 lobbyists and principals must be available on the entity’s
505 district’s website.
506 (4) A lobbyist shall promptly send a written statement to
507 the governmental entity district canceling the registration for
508 a principal upon termination of the lobbyist’s representation of
509 that principal. A governmental entity district may remove the
510 name of a lobbyist from the list of registered lobbyists if the
511 principal notifies the entity district that a person is no
512 longer authorized to represent that principal.
513 (5) A governmental entity district may establish an annual
514 lobbyist registration fee, not to exceed $40, for each principal
515 represented. The governmental entity district may use
516 registration fees only to administer this section.
517 (6) A governmental entity district shall be diligent to
518 ascertain whether persons required to register pursuant to this
519 section have complied. A governmental entity district may not
520 knowingly authorize a person who is not registered pursuant to
521 this section to lobby the entity district.
522 (7) Upon receipt of a sworn complaint alleging that a
523 lobbyist or principal has failed to register with a governmental
524 entity district or has knowingly submitted false information in
525 a report or registration required under this section, the
526 commission shall investigate a lobbyist or principal pursuant to
527 the procedures established under s. 112.324. The commission
528 shall provide the Governor with a report of its findings and
529 recommendations in any investigation conducted pursuant to this
530 subsection. The Governor is authorized to enforce the
531 commission’s findings and recommendations.
532 (8) A governmental entity Water management districts may
533 adopt rules to establish procedures to govern the registration
534 of lobbyists, including the adoption of forms and the
535 establishment of a lobbyist registration fee.
536 Section 8. Paragraph (c) of subsection (3) of section
537 129.03, Florida Statutes, is amended to read:
538 129.03 Preparation and adoption of budget.—
539 (3) The county budget officer, after tentatively
540 ascertaining the proposed fiscal policies of the board for the
541 next fiscal year, shall prepare and present to the board a
542 tentative budget for the next fiscal year for each of the funds
543 provided in this chapter, including all estimated receipts,
544 taxes to be levied, and balances expected to be brought forward
545 and all estimated expenditures, reserves, and balances to be
546 carried over at the end of the year.
547 (c) The board shall hold public hearings to adopt tentative
548 and final budgets pursuant to s. 200.065. The hearings shall be
549 primarily for the purpose of hearing requests and complaints
550 from the public regarding the budgets and the proposed tax
551 levies and for explaining the budget and any proposed or adopted
552 amendments. The tentative budget must be posted on the county’s
553 official website at least 2 days before the public hearing to
554 consider such budget and must remain on the website for at least
555 45 days. The final budget must be posted on the website within
556 30 days after adoption and must remain on the website for at
557 least 2 years. The tentative budgets, adopted tentative budgets,
558 and final budgets shall be filed in the office of the county
559 auditor as a public record. Sufficient reference in words and
560 figures to identify the particular transactions shall be made in
561 the minutes of the board to record its actions with reference to
562 the budgets.
563 Section 9. Paragraph (f) of subsection (2) of section
564 129.06, Florida Statutes, is amended to read:
565 129.06 Execution and amendment of budget.—
566 (2) The board at any time within a fiscal year may amend a
567 budget for that year, and may within the first 60 days of a
568 fiscal year amend the budget for the prior fiscal year, as
569 follows:
570 (f) Unless otherwise prohibited by law, if an amendment to
571 a budget is required for a purpose not specifically authorized
572 in paragraphs (a)-(e), the amendment may be authorized by
573 resolution or ordinance of the board of county commissioners
574 adopted following a public hearing.
575 1. The public hearing must be advertised at least 2 days,
576 but not more than 5 days, before the date of the hearing. The
577 advertisement must appear in a newspaper of paid general
578 circulation and must identify the name of the taxing authority,
579 the date, place, and time of the hearing, and the purpose of the
580 hearing. The advertisement must also identify each budgetary
581 fund to be amended, the source of the funds, the use of the
582 funds, and the total amount of each fund’s appropriations.
583 2. If the board amends the budget pursuant to this
584 paragraph, the adopted amendment must be posted on the county’s
585 official website within 5 days after adoption and must remain on
586 the website for at least 2 years.
587 Section 10. Subsections (3) and (5) of section 166.241,
588 Florida Statutes, are amended to read:
589 166.241 Fiscal years, budgets, and budget amendments.—
590 (3) The tentative budget must be posted on the
591 municipality’s official website at least 2 days before the
592 budget hearing, held pursuant to s. 200.065 or other law, to
593 consider such budget, and must remain on the website for at
594 least 45 days. The final adopted budget must be posted on the
595 municipality’s official website within 30 days after adoption
596 and must remain on the website for at least 2 years. If the
597 municipality does not operate an official website, the
598 municipality must, within a reasonable period of time as
599 established by the county or counties in which the municipality
600 is located, transmit the tentative budget and final budget to
601 the manager or administrator of such county or counties who
602 shall post the budgets on the county’s website.
603 (5) If the governing body of a municipality amends the
604 budget pursuant to paragraph (4)(c), the adopted amendment must
605 be posted on the official website of the municipality within 5
606 days after adoption and must remain on the website for at least
607 2 years. If the municipality does not operate an official
608 website, the municipality must, within a reasonable period of
609 time as established by the county or counties in which the
610 municipality is located, transmit the adopted amendment to the
611 manager or administrator of such county or counties who shall
612 post the adopted amendment on the county’s website.
613 Section 11. Subsections (4) and (7) of section 189.016,
614 Florida Statutes, are amended to read:
615 189.016 Reports; budgets; audits.—
616 (4) The tentative budget must be posted on the special
617 district’s official website at least 2 days before the budget
618 hearing, held pursuant to s. 200.065 or other law, to consider
619 such budget, and must remain on the website for at least 45
620 days. The final adopted budget must be posted on the special
621 district’s official website within 30 days after adoption and
622 must remain on the website for at least 2 years. If the special
623 district does not operate an official website, the special
624 district must, within a reasonable period of time as established
625 by the local general-purpose government or governments in which
626 the special district is located or the local governing authority
627 to which the district is dependent, transmit the tentative
628 budget or final budget to the manager or administrator of the
629 local general-purpose government or the local governing
630 authority. The manager or administrator shall post the tentative
631 budget or final budget on the website of the local general
632 purpose government or governing authority. This subsection and
633 subsection (3) do not apply to water management districts as
634 defined in s. 373.019.
635 (7) If the governing body of a special district amends the
636 budget pursuant to paragraph (6)(c), the adopted amendment must
637 be posted on the official website of the special district within
638 5 days after adoption and must remain on the website for at
639 least 2 years. If the special district does not operate an
640 official website, the special district must, within a reasonable
641 period of time as established by the local general-purpose
642 government or governments in which the special district is
643 located or the local governing authority to which the district
644 is dependent, transmit the adopted amendment to the manager or
645 administrator of the local general-purpose government or
646 governing authority. The manager or administrator shall post the
647 adopted amendment on the website of the local general-purpose
648 government or governing authority.
649 Section 12. Subsections (6) through (10) are added to
650 section 215.425, Florida Statutes, to read:
651 215.425 Extra compensation claims prohibited; bonuses;
652 severance pay.—
653 (6) Upon discovery or notification that a unit of
654 government has provided prohibited compensation to any officer,
655 agent, employee, or contractor in violation of this section,
656 such unit of government shall investigate and take all necessary
657 action to recover the prohibited compensation.
658 (a) If the violation was unintentional, the unit of
659 government shall recover the prohibited compensation from the
660 individual receiving the prohibited compensation through normal
661 recovery methods for overpayments.
662 (b) If the violation was willful, the unit of government
663 shall recover the prohibited compensation from either the
664 individual receiving the prohibited compensation or the
665 individual or individuals responsible for approving the
666 prohibited compensation. Each individual determined to have
667 willfully violated this section is jointly and severally liable
668 for repayment of the prohibited compensation.
669 (7) A person who willfully violates this section commits a
670 misdemeanor of the first degree, punishable as provided in s.
671 775.082 or s. 775.083. The Governor may suspend an officer who
672 willfully violates this section.
673 (8)(a) A person who reports a violation of this section is
674 eligible for a reward of at least $500, or the lesser of 10
675 percent of the funds recovered or $10,000 per incident of a
676 prohibited compensation payment recovered by the unit of
677 government, depending upon the extent to which the person
678 substantially contributed to the discovery, notification, and
679 recovery of such prohibited payment.
680 (b) In the event that the recovery of the prohibited
681 compensation is based primarily on disclosures of specific
682 information, other than information provided by such person,
683 relating to allegations or transactions in a criminal, civil, or
684 administrative hearing; a legislative, administrative, inspector
685 general, or other government report; auditor general report,
686 hearing, audit, or investigation; or from the news media, such
687 person is not eligible for a reward, or for an award of a
688 portion of the proceeds or payment of attorney fees and costs
689 pursuant to s. 68.085.
690 (c) If it is determined that the person who reported a
691 violation of this section was involved in the authorization,
692 approval, or receipt of the prohibited compensation or is
693 convicted of criminal conduct arising from his or her role in
694 the authorization, approval, or receipt of the prohibited
695 compensation, such person is not eligible for a reward, or for
696 an award of a portion of the proceeds or payment of attorney
697 fees and costs pursuant to s. 68.085.
698 (9) An employee who is discharged, demoted, suspended,
699 threatened, harassed, or in any manner discriminated against in
700 the terms and conditions of employment by his or her employer
701 because of lawful acts done by the employee on behalf of the
702 employee or others in furtherance of an action under this
703 section, including investigation for initiation of, testimony
704 for, or assistance in an action filed or to be filed under this
705 section, has a cause of action under s. 112.3187.
706 (10) If the unit of government fails to recover prohibited
707 compensation for a willful violation of this section upon
708 discovery and notification of such prohibited payment within 90
709 days, a cause of action may be brought to:
710 (a) Recover state funds in accordance with ss. 68.082 and
711 68.083.
712 (b) Recover other funds by the Department of Legal Affairs
713 using the procedures set forth in ss. 68.082 and 68.083, except
714 that venue shall lie in the circuit court of the county in which
715 the unit of government is located.
716 (c) Recover other funds by a person using the procedures
717 set forth in ss. 68.082 and 68.083, except that venue shall lie
718 in the circuit court of the county in which the unit of
719 government is located.
720 Section 13. Section 215.86, Florida Statutes, is amended to
721 read:
722 215.86 Management systems and controls.—Each state agency
723 and the judicial branch as defined in s. 216.011 shall establish
724 and maintain management systems and internal controls designed
725 to:
726 (1) Prevent and detect fraud, waste, and abuse. that
727 (2) Promote and encourage compliance with applicable laws,
728 rules, contracts, grant agreements, and best practices.;
729 (3) Support economic, efficient, and effective operations.;
730 (4) Ensure reliability of records and reports.;
731 (5) Safeguard and safeguarding of assets. Accounting
732 systems and procedures shall be designed to fulfill the
733 requirements of generally accepted accounting principles.
734 Section 14. Paragraph (a) of subsection (2) of section
735 215.97, Florida Statutes, is amended to read:
736 215.97 Florida Single Audit Act.—
737 (2) Definitions; as used in this section, the term:
738 (a) “Audit threshold” means the threshold amount used to
739 determine when a state single audit or project-specific audit of
740 a nonstate entity shall be conducted in accordance with this
741 section. Each nonstate entity that expends a total amount of
742 state financial assistance equal to or in excess of $750,000
743 $500,000 in any fiscal year of such nonstate entity shall be
744 required to have a state single audit, or a project-specific
745 audit, for such fiscal year in accordance with the requirements
746 of this section. Periodically, Every 2 years the Auditor
747 General, after consulting with the Executive Office of the
748 Governor, the Department of Financial Services, and all state
749 awarding agencies, shall review the threshold amount for
750 requiring audits under this section and, if appropriate, may
751 recommend to the Legislature a statutory change to revise the
752 threshold amount in the annual report submitted pursuant to s.
753 11.45(7)(f) may adjust such threshold amount consistent with the
754 purposes of this section.
755 Section 15. Subsection (11) of section 215.985, Florida
756 Statutes, is amended to read:
757 215.985 Transparency in government spending.—
758 (11) Each water management district shall provide a monthly
759 financial statement in the form and manner prescribed by the
760 Department of Financial Services to the district’s its governing
761 board and make such monthly financial statement available for
762 public access on its website.
763 Section 16. Paragraph (d) of subsection (1) and subsection
764 (2) of section 218.32, Florida Statutes, are amended to read:
765 218.32 Annual financial reports; local governmental
766 entities.—
767 (1)
768 (d) Each local governmental entity that is required to
769 provide for an audit under s. 218.39(1) must submit a copy of
770 the audit report and annual financial report to the department
771 within 45 days after the completion of the audit report but no
772 later than 9 months after the end of the fiscal year. An
773 independent certified public accountant completing an audit of a
774 local governmental entity pursuant to s. 218.39 shall report, as
775 part of the audit, whether or not the entity’s annual financial
776 report is in agreement with the audit report, and, if the report
777 is not in agreement, shall specify the significant differences
778 that exist between the annual financial report and the audit
779 report.
780 (2) The department shall annually by December 1 file a
781 verified report with the Governor, the Legislature, the Auditor
782 General, and the Special District Accountability Program of the
783 Department of Economic Opportunity showing the revenues, both
784 locally derived and derived from intergovernmental transfers,
785 and the expenditures of each local governmental entity, regional
786 planning council, local government finance commission, and
787 municipal power corporation that is required to submit an annual
788 financial report. In preparing the verified report, the
789 department may request additional information from the local
790 governmental entity. The information requested must be provided
791 to the department within 45 days of the request. If the local
792 governmental entity does not comply with the request, the
793 department shall notify the Legislative Auditing Committee,
794 which may take action pursuant to s. 11.40(2). The report must
795 include, but is not limited to:
796 (a) The total revenues and expenditures of each local
797 governmental entity that is a component unit included in the
798 annual financial report of the reporting entity.
799 (b) The amount of outstanding long-term debt by each local
800 governmental entity. For purposes of this paragraph, the term
801 “long-term debt” means any agreement or series of agreements to
802 pay money, which, at inception, contemplate terms of payment
803 exceeding 1 year in duration.
804 Section 17. Present subsection (3) of section 218.33,
805 Florida Statutes, is redesignated as subsection (4), and a new
806 subsection (3) is added to that section, to read:
807 218.33 Local governmental entities; establishment of
808 uniform fiscal years and accounting practices and procedures.—
809 (3) Each local governmental entity shall establish and
810 maintain internal controls designed to:
811 (a) Prevent and detect fraud, waste, and abuse.
812 (b) Promote and encourage compliance with applicable laws,
813 rules, contracts, grant agreements, and best practices.
814 (c) Support economic and efficient operations.
815 (d) Ensure reliability of financial records and reports.
816 (e) Safeguard assets.
817 Section 18. Present subsections (8) through (12) of section
818 218.39, Florida Statutes, are redesignated as subsections (9)
819 through (13), respectively, and a new subsection (8) is added to
820 that section, to read:
821 218.39 Annual financial audit reports.—
822 (8) If the audit report includes a recommendation that was
823 previously included in the preceding financial audit report, the
824 governing body of the audited entity, within 60 days after the
825 delivery of the audit report to the governing body and during a
826 regularly scheduled public meeting, shall indicate its intent
827 regarding corrective action, the corrective action to be taken,
828 and when the corrective action will occur. If the governing body
829 does not intend to take corrective action, it shall explain why
830 such action will not be taken at the regularly scheduled public
831 meeting.
832 Section 19. Subsection (2) and paragraph (c) of subsection
833 (7) of section 218.391, Florida Statutes, are amended to read:
834 218.391 Auditor selection procedures.—
835 (2) The governing body of a charter county, municipality,
836 special district, district school board, charter school, or
837 charter technical career center shall establish an audit
838 committee. For a county, the Each noncharter county shall
839 establish an audit committee that, at a minimum, shall consist
840 of each of the county officers elected pursuant to the county
841 charter or s. 1(d), Art. VIII of the State Constitution, or a
842 designee, and one member of the board of county commissioners or
843 its designee. For a municipality or a special district, the
844 audit committee shall consist of at least three members, who
845 must be members of the governing body of the municipality or the
846 special district, respectively. For a county, municipality, or
847 special district, a member of the audit committee may not
848 exercise financial management responsibilities for the county,
849 municipality, or special district. The primary purpose of the
850 audit committee is to assist the governing body in selecting an
851 auditor to conduct the annual financial audit required in s.
852 218.39; however, the audit committee may serve other audit
853 oversight purposes as determined by the entity’s governing body.
854 The public may shall not be excluded from the proceedings under
855 this section.
856 (7) Every procurement of audit services shall be evidenced
857 by a written contract embodying all provisions and conditions of
858 the procurement of such services. For purposes of this section,
859 an engagement letter signed and executed by both parties shall
860 constitute a written contract. The written contract shall, at a
861 minimum, include the following:
862 (c) A provision specifying the contract period, including
863 renewals, and conditions under which the contract may be
864 terminated or renewed. The contract period, including renewals,
865 may not exceed 2 years.
866 Section 20. Paragraph (b) of subsection (2) of section
867 288.92, Florida Statutes, is amended to read:
868 288.92 Divisions of Enterprise Florida, Inc.—
869 (2)
870 (b)1. The following officers and board members are subject
871 to ss. 112.313(1)-(8), (10), (12), and (15); 112.3135; and
872 112.3143(2):
873 a. Officers and members of the board of directors of the
874 divisions of Enterprise Florida, Inc.
875 b. Officers and members of the board of directors of
876 subsidiaries of Enterprise Florida, Inc.
877 c. Officers and members of the board of directors of
878 corporations created to carry out the missions of Enterprise
879 Florida, Inc.
880 d. Officers and members of the board of directors of
881 corporations with which a division is required by law to
882 contract to carry out its missions.
883 2. The officers and members of the board of directors
884 specified in subparagraph 1. may not represent another person or
885 entity for compensation before Enterprise Florida, Inc., for a
886 period of 2 years after retirement from or termination of
887 service to a division.
888 3.2. For purposes of applying ss. 112.313(1)-(8), (10),
889 (12), and (15); 112.3135; and 112.3143(2) to activities of the
890 officers and members of the board of directors specified in
891 subparagraph 1., those persons shall be considered public
892 officers or employees and the corporation shall be considered
893 their agency.
894 4.3. It is not a violation of s. 112.3143(2) or (4) for the
895 officers or members of the board of directors of the Florida
896 Tourism Industry Marketing Corporation to:
897 a. Vote on the 4-year marketing plan required under s.
898 288.923 or vote on any individual component of or amendment to
899 the plan.
900 b. Participate in the establishment or calculation of
901 payments related to the private match requirements of s.
902 288.904(3). The officer or member must file an annual disclosure
903 describing the nature of his or her interests or the interests
904 of his or her principals, including corporate parents and
905 subsidiaries of his or her principal, in the private match
906 requirements. This annual disclosure requirement satisfies the
907 disclosure requirement of s. 112.3143(4). This disclosure must
908 be placed either on the Florida Tourism Industry Marketing
909 Corporation’s website or included in the minutes of each meeting
910 of the Florida Tourism Industry Marketing Corporation’s board of
911 directors at which the private match requirements are discussed
912 or voted upon.
913 Section 21. Paragraph (a) of subsection (3) of section
914 288.9604, Florida Statutes, is amended to read:
915 288.9604 Creation of the authority.—
916 (3)(a)1. A director may not receive compensation for his or
917 her services, but is entitled to necessary expenses, including
918 travel expenses, incurred in the discharge of his or her duties.
919 Each director shall hold office until his or her successor has
920 been appointed.
921 2. Directors are subject to ss. 112.313(1)-(8), (10), (12),
922 and (15); 112.3135; and 112.3143(2). For purposes of applying
923 ss. 112.313(1)-(8), (10), (12), and (15); 112.3135; and
924 112.3143(2) to activities of directors, directors shall be
925 considered public officers and the corporation shall be
926 considered their agency.
927 3. A director of the board of directors of the corporation
928 may not represent another person or entity for compensation
929 before the corporation for a period of 2 years following his or
930 her service on the board of directors.
931 Section 22. Paragraph (e) of subsection (4), paragraph (d)
932 of subsection (5), and paragraph (d) of subsection (6) of
933 section 373.536, Florida Statutes, are amended to read:
934 373.536 District budget and hearing thereon.—
935 (4) BUDGET CONTROLS; FINANCIAL INFORMATION.—
936 (e) By September 1, 2012, Each district shall provide a
937 monthly financial statement in the form and manner prescribed by
938 the Department of Financial Services to the district’s governing
939 board and make such monthly financial statement available for
940 public access on its website.
941 (5) TENTATIVE BUDGET CONTENTS AND SUBMISSION; REVIEW AND
942 APPROVAL.—
943 (d) Each district shall, by August 1 of each year, submit
944 for review a tentative budget and a description of any
945 significant changes from the preliminary budget submitted to the
946 Legislature pursuant to s. 373.535 to the Governor, the
947 President of the Senate, the Speaker of the House of
948 Representatives, the chairs of all legislative committees and
949 subcommittees having substantive or fiscal jurisdiction over
950 water management districts, as determined by the President of
951 the Senate or the Speaker of the House of Representatives, as
952 applicable, the secretary of the department, and the governing
953 body of each county in which the district has jurisdiction or
954 derives any funds for the operations of the district. The
955 tentative budget must be posted on the district’s official
956 website at least 2 days before budget hearings held pursuant to
957 s. 200.065 or other law and must remain on the website for at
958 least 45 days.
959 (6) FINAL BUDGET; ANNUAL AUDIT; CAPITAL IMPROVEMENTS PLAN;
960 WATER RESOURCE DEVELOPMENT WORK PROGRAM.—
961 (d) The final adopted budget must be posted on the water
962 management district’s official website within 30 days after
963 adoption and must remain on the website for at least 2 years.
964 Section 23. Paragraph (j) of subsection (9) of section
965 1002.33, Florida Statutes, is amended to read:
966 1002.33 Charter schools.—
967 (9) CHARTER SCHOOL REQUIREMENTS.—
968 (j) The governing body of the charter school shall be
969 responsible for:
970 1. Establishing and maintaining internal controls designed
971 to:
972 a. Prevent and detect fraud, waste, and abuse.
973 b. Promote and encourage compliance with applicable laws,
974 rules, contracts, grant agreements, and best practices.
975 c. Support economic and efficient operations.
976 d. Ensure reliability of financial records and reports.
977 e. Safeguard assets.
978 2.1. Ensuring that the charter school has retained the
979 services of a certified public accountant or auditor for the
980 annual financial audit, pursuant to s. 1002.345(2), who shall
981 submit the report to the governing body.
982 3.2. Reviewing and approving the audit report, including
983 audit findings and recommendations for the financial recovery
984 plan.
985 4.a.3.a. Performing the duties in s. 1002.345, including
986 monitoring a corrective action plan.
987 b. Monitoring a financial recovery plan in order to ensure
988 compliance.
989 5.4. Participating in governance training approved by the
990 department which must include government in the sunshine,
991 conflicts of interest, ethics, and financial responsibility.
992 Section 24. Present subsections (6) through (10) of section
993 1002.37, Florida Statutes, are redesignated as subsections (7)
994 through (11), respectively, a new subsection (6) is added to
995 that section, and present subsections (6) and (11) of that
996 section are amended, to read:
997 1002.37 The Florida Virtual School.—
998 (6) The Florida Virtual School shall have an annual
999 financial audit of its accounts and records completed by an
1000 independent auditor who is a certified public accountant
1001 licensed under chapter 473. The independent auditor shall
1002 conduct the audit in accordance with rules adopted by the
1003 Auditor General pursuant to s. 11.45 and, upon completion of the
1004 audit, shall prepare an audit report in accordance with such
1005 rules. The independent auditor shall submit the audit report to
1006 the board of trustees and the Auditor General no later than 9
1007 months after the end of the preceding fiscal year.
1008 (7)(6) The board of trustees shall annually submit to the
1009 Governor, the Legislature, the Commissioner of Education, and
1010 the State Board of Education a complete and detailed report
1011 setting forth:
1012 (a) The operations and accomplishments of the Florida
1013 Virtual School within the state and those occurring outside the
1014 state as Florida Virtual School Global.
1015 (b) The marketing and operational plan for the Florida
1016 Virtual School and Florida Virtual School Global, including
1017 recommendations regarding methods for improving the delivery of
1018 education through the Internet and other distance learning
1019 technology.
1020 (c) The assets and liabilities of the Florida Virtual
1021 School and Florida Virtual School Global at the end of the
1022 fiscal year.
1023 (d) A copy of the an annual financial audit report
1024 completed pursuant to subsection (6), and a written statement of
1025 the board of trustees describing corrective action to be taken
1026 in response to each of the independent auditor’s recommendations
1027 included in the audit report. of the accounts and records of the
1028 Florida Virtual School and Florida Virtual School Global,
1029 conducted by an independent certified public accountant and
1030 performed in accordance with rules adopted by the Auditor
1031 General.
1032 (e) Recommendations regarding the unit cost of providing
1033 services to students through the Florida Virtual School and
1034 Florida Virtual School Global. In order to most effectively
1035 develop public policy regarding any future funding of the
1036 Florida Virtual School, it is imperative that the cost of the
1037 program is accurately identified. The identified cost of the
1038 program must be based on reliable data.
1039 (f) Recommendations regarding an accountability mechanism
1040 to assess the effectiveness of the services provided by the
1041 Florida Virtual School and Florida Virtual School Global.
1042 (11) The Auditor General shall conduct an operational audit
1043 of the Florida Virtual School, including Florida Virtual School
1044 Global. The scope of the audit shall include, but not be limited
1045 to, the administration of responsibilities relating to
1046 personnel; procurement and contracting; revenue production;
1047 school funds, including internal funds; student enrollment
1048 records; franchise agreements; information technology
1049 utilization, assets, and security; performance measures and
1050 standards; and accountability. The final report on the audit
1051 shall be submitted to the President of the Senate and the
1052 Speaker of the House of Representatives no later than January
1053 31, 2014.
1054 Section 25. Subsection (5) is added to section 1010.01,
1055 Florida Statutes, to read:
1056 1010.01 Uniform records and accounts.—
1057 (5) Each school district, Florida College System
1058 institution, and state university shall establish and maintain
1059 internal controls designed to:
1060 (a) Prevent and detect fraud, waste, and abuse.
1061 (b) Promote and encourage compliance with applicable laws,
1062 rules, contracts, grant agreements, and best practices.
1063 (c) Support economic and efficient operations.
1064 (d) Ensure reliability of financial records and reports.
1065 (e) Safeguard assets.
1066 Section 26. Subsection (2) of section 1010.30, Florida
1067 Statutes, is amended to read:
1068 1010.30 Audits required.—
1069 (2) If a school district, Florida College System
1070 institution, or university audit report includes a
1071 recommendation that was previously included in the preceding
1072 financial audit report, an audit contains a significant finding,
1073 the district school board, the Florida College System
1074 institution board of trustees, or the university board of
1075 trustees, within 60 days after the delivery of the audit report
1076 to the school district, Florida College System institution, or
1077 university and shall conduct an audit overview during a
1078 regularly scheduled public meeting, shall indicate its intent
1079 regarding corrective action, the corrective action to be taken,
1080 and when the corrective action will occur. If the district
1081 school board, Florida College System institution board of
1082 trustees, or university board of trustees does not intend to
1083 take corrective action, it shall explain why such action will
1084 not be taken at the regularly scheduled public meeting.
1085 Section 27. Subsection (2) of section 68.082, Florida
1086 Statutes, is amended to read:
1087 68.082 False claims against the state; definitions;
1088 liability.—
1089 (2) Any person who:
1090 (a) Knowingly presents or causes to be presented a false or
1091 fraudulent claim for payment or approval;
1092 (b) Knowingly authorizes, approves, or receives payment of
1093 prohibited compensation in violation of s. 215.425;
1094 (c)(b) Knowingly makes, uses, or causes to be made or used
1095 a false record or statement material to a false or fraudulent
1096 claim;
1097 (d)(c) Conspires to commit a violation of this subsection;
1098 (e)(d) Has possession, custody, or control of property or
1099 money used or to be used by the state and knowingly delivers or
1100 causes to be delivered less than all of that money or property;
1101 (f)(e) Is authorized to make or deliver a document
1102 certifying receipt of property used or to be used by the state
1103 and, intending to defraud the state, makes or delivers the
1104 receipt without knowing that the information on the receipt is
1105 true;
1106 (g)(f) Knowingly buys or receives, as a pledge of an
1107 obligation or a debt, public property from an officer or
1108 employee of the state who may not sell or pledge the property;
1109 or
1110 (h)(g) Knowingly makes, uses, or causes to be made or used
1111 a false record or statement material to an obligation to pay or
1112 transmit money or property to the state, or knowingly conceals
1113 or knowingly and improperly avoids or decreases an obligation to
1114 pay or transmit money or property to the state
1115
1116 is liable to the state for a civil penalty of not less than
1117 $5,500 and not more than $11,000 and for treble the amount of
1118 damages the state sustains because of the act of that person.
1119 Section 28. Subsection (1) of section 68.083, Florida
1120 Statutes, is amended to read:
1121 68.083 Civil actions for false claims.—
1122 (1) The department may diligently investigate a violation
1123 under s. 68.082. If the department finds that a person has
1124 violated or is violating s. 68.082, the department may bring a
1125 civil action under the Florida False Claims Act against the
1126 person. The Department of Financial Services may bring a civil
1127 action under this section if the action arises from an
1128 investigation by that department and the Department of Legal
1129 Affairs has not filed an action under this act. For a violation
1130 of s. 68.082 regarding prohibited compensation paid from state
1131 funds, the Department of Financial Services may bring a civil
1132 action under this section if the action arises from an
1133 investigation by that department concerning a violation of s.
1134 215.425 by the state and the Department of Legal Affairs has not
1135 filed an action under this act.
1136 Section 29. Subsection (3) of section 218.503, Florida
1137 Statutes, is amended to read:
1138 218.503 Determination of financial emergency.—
1139 (3) Upon notification that one or more of the conditions in
1140 subsection (1) have occurred or will occur if action is not
1141 taken to assist the local governmental entity or district school
1142 board, the Governor or his or her designee shall contact the
1143 local governmental entity or the Commissioner of Education or
1144 his or her designee shall contact the district school board to
1145 determine what actions have been taken by the local governmental
1146 entity or the district school board to resolve or prevent the
1147 condition. The information requested must be provided within 45
1148 days after the date of the request. If the local governmental
1149 entity or the district school board does not comply with the
1150 request, the Governor or his or her designee or the Commissioner
1151 of Education or his or her designee shall notify the members of
1152 the Legislative Auditing Committee, which who may take action
1153 pursuant to s. 11.40(2) s. 11.40. The Governor or the
1154 Commissioner of Education, as appropriate, shall determine
1155 whether the local governmental entity or the district school
1156 board needs state assistance to resolve or prevent the
1157 condition. If state assistance is needed, the local governmental
1158 entity or district school board is considered to be in a state
1159 of financial emergency. The Governor or the Commissioner of
1160 Education, as appropriate, has the authority to implement
1161 measures as set forth in ss. 218.50-218.504 to assist the local
1162 governmental entity or district school board in resolving the
1163 financial emergency. Such measures may include, but are not
1164 limited to:
1165 (a) Requiring approval of the local governmental entity’s
1166 budget by the Governor or approval of the district school
1167 board’s budget by the Commissioner of Education.
1168 (b) Authorizing a state loan to a local governmental entity
1169 and providing for repayment of same.
1170 (c) Prohibiting a local governmental entity or district
1171 school board from issuing bonds, notes, certificates of
1172 indebtedness, or any other form of debt until such time as it is
1173 no longer subject to this section.
1174 (d) Making such inspections and reviews of records,
1175 information, reports, and assets of the local governmental
1176 entity or district school board as are needed. The appropriate
1177 local officials shall cooperate in such inspections and reviews.
1178 (e) Consulting with officials and auditors of the local
1179 governmental entity or the district school board and the
1180 appropriate state officials regarding any steps necessary to
1181 bring the books of account, accounting systems, financial
1182 procedures, and reports into compliance with state requirements.
1183 (f) Providing technical assistance to the local
1184 governmental entity or the district school board.
1185 (g)1. Establishing a financial emergency board to oversee
1186 the activities of the local governmental entity or the district
1187 school board. If a financial emergency board is established for
1188 a local governmental entity, the Governor shall appoint board
1189 members and select a chair. If a financial emergency board is
1190 established for a district school board, the State Board of
1191 Education shall appoint board members and select a chair. The
1192 financial emergency board shall adopt such rules as are
1193 necessary for conducting board business. The board may:
1194 a. Make such reviews of records, reports, and assets of the
1195 local governmental entity or the district school board as are
1196 needed.
1197 b. Consult with officials and auditors of the local
1198 governmental entity or the district school board and the
1199 appropriate state officials regarding any steps necessary to
1200 bring the books of account, accounting systems, financial
1201 procedures, and reports of the local governmental entity or the
1202 district school board into compliance with state requirements.
1203 c. Review the operations, management, efficiency,
1204 productivity, and financing of functions and operations of the
1205 local governmental entity or the district school board.
1206 d. Consult with other governmental entities for the
1207 consolidation of all administrative direction and support
1208 services, including, but not limited to, services for asset
1209 sales, economic and community development, building inspections,
1210 parks and recreation, facilities management, engineering and
1211 construction, insurance coverage, risk management, planning and
1212 zoning, information systems, fleet management, and purchasing.
1213 2. The recommendations and reports made by the financial
1214 emergency board must be submitted to the Governor for local
1215 governmental entities or to the Commissioner of Education and
1216 the State Board of Education for district school boards for
1217 appropriate action.
1218 (h) Requiring and approving a plan, to be prepared by
1219 officials of the local governmental entity or the district
1220 school board in consultation with the appropriate state
1221 officials, prescribing actions that will cause the local
1222 governmental entity or district school board to no longer be
1223 subject to this section. The plan must include, but need not be
1224 limited to:
1225 1. Provision for payment in full of obligations outlined in
1226 subsection (1), designated as priority items, which are
1227 currently due or will come due.
1228 2. Establishment of priority budgeting or zero-based
1229 budgeting in order to eliminate items that are not affordable.
1230 3. The prohibition of a level of operations which can be
1231 sustained only with nonrecurring revenues.
1232 4. Provisions implementing the consolidation, sourcing, or
1233 discontinuance of all administrative direction and support
1234 services, including, but not limited to, services for asset
1235 sales, economic and community development, building inspections,
1236 parks and recreation, facilities management, engineering and
1237 construction, insurance coverage, risk management, planning and
1238 zoning, information systems, fleet management, and purchasing.
1239 Section 30. The Legislature finds that a proper and
1240 legitimate state purpose is served when internal controls are
1241 established to prevent and detect fraud, waste, and abuse and to
1242 safeguard and account for government funds and property.
1243 Therefore, the Legislature determines and declares that this act
1244 fulfills an important state interest.
1245 Section 31. This act shall take effect July 1, 2015.