Florida Senate - 2016                       CS for CS for SB 992
       
       
        
       By the Committees on Appropriations; and Banking and Insurance;
       and Senator Brandes
       
       576-03788-16                                           2016992c2
    1                        A bill to be entitled                      
    2         An act relating to the Department of Financial
    3         Services; amending s. 48.151, F.S.; authorizing the
    4         Department of Financial Services to create an
    5         Internet-based transmission system to accept service
    6         of process; amending s. 110.1315, F.S.; removing a
    7         requirement that the Executive Office of the Governor
    8         review and approve a certain alternative retirement
    9         income security program provided by the department;
   10         amending s. 112.215, F.S.; authorizing the Chief
   11         Financial Officer, with the approval of the State
   12         Board of Administration, to include specified
   13         employees other than state employees in a deferred
   14         compensation plan; conforming a provision to a change
   15         made by the act; amending s. 137.09, F.S.; removing a
   16         requirement that the department approve certain bonds
   17         of county officers; amending s. 215.97, F.S.; revising
   18         and providing definitions; increasing the amount of a
   19         certain audit threshold; exempting specified higher
   20         education entities from certain audit requirements;
   21         revising the requirements for state-funded contracts
   22         or agreements between a state awarding agency and a
   23         higher education entity; providing an exception;
   24         providing applicability; conforming provisions to
   25         changes made by the act; amending s. 322.142, F.S.;
   26         authorizing the Department of Highway Safety and Motor
   27         Vehicles to provide certain driver license images to
   28         the Department of Financial Services for the purpose
   29         of investigating allegations of violations of the
   30         insurance code; amending s. 374.983, F.S.; naming the
   31         Board of Commissioners of the Florida Inland
   32         Navigation District, rather than the Chief Financial
   33         Officer, as the entity that receives and approves
   34         certain surety bonds of commissioners; amending s.
   35         509.211, F.S.; revising certain standards for carbon
   36         monoxide detector devices in specified spaces or rooms
   37         of public lodging establishments; revising an
   38         exception to such standards; providing an alternative
   39         method of installing such devices; amending s.
   40         624.307, F.S.; conforming provisions to changes made
   41         by the act; specifying requirements for the Chief
   42         Financial Officer in providing notice of electronic
   43         transmission of process documents; amending s.
   44         624.423, F.S.; authorizing service of process by
   45         specified means; reenacting and amending s. 624.502,
   46         F.S.; specifying fees to be paid by the requestor to
   47         the department or Office of Insurance Regulation for
   48         certain service of process on authorized and
   49         unauthorized insurers; amending s. 626.854, F.S.;
   50         revising applicability of the definition of the term
   51         “public adjuster”; amending s. 626.907, F.S.;
   52         requiring a service of process fee for certain service
   53         of process made by the Chief Financial Officer;
   54         specifying the determination of a defendant’s last
   55         known principal place of business; amending s.
   56         626.921, F.S.; revising membership requirements of the
   57         Florida Surplus Lines Service Office board of
   58         governors; amending s. 626.931, F.S.; limiting a
   59         requirement for the quarterly filing of a certain
   60         affidavit with the Florida Surplus Lines Service
   61         Office to specified surplus lines agents; amending s.
   62         626.9892, F.S.; providing that the department, rather
   63         than the Division of Insurance Fraud, investigates
   64         certain crimes; adding violations of specified
   65         statutes to the Anti-Fraud Reward Program; amending s.
   66         627.7074, F.S.; providing an additional ground for
   67         disqualifying a neutral evaluator for disputed
   68         sinkhole insurance claims; creating s. 633.107, F.S.;
   69         authorizing the department to grant exemptions from
   70         disqualification for licensure or certification by the
   71         Division of State Fire Marshal under certain
   72         circumstances; specifying the information an applicant
   73         must provide; providing the manner in which the
   74         department must render its decision to grant or deny
   75         an exemption; providing procedures for an applicant to
   76         contest the decision; providing an exception from
   77         certain requirements; authorizing the division to
   78         adopt rules; creating s. 633.135, F.S.; establishing
   79         the Firefighter Assistance Program for certain
   80         purposes; requiring the division to administer the
   81         program and annually award grants to qualifying fire
   82         departments; defining the term “combination fire
   83         department”; requiring the division to prioritize the
   84         annual award of grants to specified fire departments;
   85         providing eligibility requirements; requiring the
   86         State Fire Marshal to adopt rules and procedures;
   87         providing program requirements; amending s. 633.208,
   88         F.S.; revising applicability of the Life Safety Code
   89         to exclude one-family and two-family dwellings, rather
   90         than only such dwellings that are newly constructed;
   91         amending s. 633.216, F.S.; conforming a cross
   92         reference; amending s. 633.408, F.S.; revising
   93         firefighter and volunteer firefighter certification
   94         requirements; specifying the duration of certain
   95         firefighter certifications; amending s. 633.412, F.S.;
   96         deleting a requirement that the division suspend or
   97         revoke all issued certificates if an individual’s
   98         certificate is suspended or revoked; amending s.
   99         633.414, F.S.; conforming provisions to changes made
  100         by the act; revising alternative requirements for
  101         renewing specified certifications; providing grounds
  102         for denial of, or disciplinary action against,
  103         certifications for a firefighter or volunteer
  104         firefighter; amending s. 633.426, F.S.; revising a
  105         definition; providing a date after which an individual
  106         is subject to revocation of certification under
  107         specified circumstances; amending s. 717.138, F.S.;
  108         providing applicability for the department’s
  109         rulemaking authority; providing an appropriation;
  110         providing an effective date.
  111          
  112  Be It Enacted by the Legislature of the State of Florida:
  113  
  114         Section 1. Subsection (3) of section 48.151, Florida
  115  Statutes, is amended to read:
  116         48.151 Service on statutory agents for certain persons.—
  117         (3) The Chief Financial Officer or his or her assistant or
  118  deputy or another person in charge of the office is the agent
  119  for service of process on all insurers applying for authority to
  120  transact insurance in this state, all licensed nonresident
  121  insurance agents, all nonresident disability insurance agents
  122  licensed pursuant to s. 626.835, any unauthorized insurer under
  123  s. 626.906 or s. 626.937, domestic reciprocal insurers,
  124  fraternal benefit societies under chapter 632, warranty
  125  associations under chapter 634, prepaid limited health service
  126  organizations under chapter 636, and persons required to file
  127  statements under s. 628.461. As an alternative to service of
  128  process made by mail or personal service on the Chief Financial
  129  Officer, on his or her assistant or deputy, or on another person
  130  in charge of the office, the Department of Financial Services
  131  may create an Internet-based transmission system to accept
  132  service of process by electronic transmission of documents.
  133         Section 2. Subsection (1) of section 110.1315, Florida
  134  Statutes, is amended to read:
  135         110.1315 Alternative retirement benefits; other-personal
  136  services employees.—
  137         (1) Upon review and approval by the Executive Office of the
  138  Governor, The Department of Financial Services shall provide an
  139  alternative retirement income security program for eligible
  140  temporary and seasonal employees of the state who are
  141  compensated from appropriations for other personal services. The
  142  Department of Financial Services may contract with a private
  143  vendor or vendors to administer the program under a defined
  144  contribution plan under ss. 401(a) and 403(b) or s. 457 of the
  145  Internal Revenue Code, and the program must provide retirement
  146  benefits as required under s. 3121(b)(7)(F) of the Internal
  147  Revenue Code. The Department of Financial Services may develop a
  148  request for proposals and solicit qualified vendors to compete
  149  for the award of the contract. A vendor shall be selected on the
  150  basis of the plan that best serves the interest of the
  151  participating employees and the state. The proposal must comply
  152  with all necessary federal and state laws and rules.
  153         Section 3. Paragraph (a) of subsection (4) and subsection
  154  (12) of section 112.215, Florida Statutes, are amended to read:
  155         112.215 Government employees; deferred compensation
  156  program.—
  157         (4)(a) The Chief Financial Officer, with the approval of
  158  the State Board of Administration, shall establish such plan or
  159  plans of deferred compensation for state employees and may
  160  include persons employed by a state university as defined in s.
  161  1000.21, a special district as defined in s. 189.012, or a water
  162  management district as defined in s. 189.012, including all such
  163  investment vehicles or products incident thereto, as may be
  164  available through, or offered by, qualified companies or
  165  persons, and may approve one or more such plans for
  166  implementation by and on behalf of the state and its agencies
  167  and employees.
  168         (12) The Chief Financial Officer may adopt any rule
  169  necessary to administer and implement this act with respect to
  170  deferred compensation plans for state employees and persons
  171  employed by a state university as defined in s. 1000.21, a
  172  special district as defined in s. 189.012, or a water management
  173  district as defined in s. 189.012.
  174         Section 4. Section 137.09, Florida Statutes, is amended to
  175  read:
  176         137.09 Justification and approval of bonds.—Each surety
  177  upon every bond of any county officer shall make affidavit that
  178  he or she is a resident of the county for which the officer is
  179  to be commissioned, and that he or she has sufficient visible
  180  property therein unencumbered and not exempt from sale under
  181  legal process to make good his or her bond. Every such bond
  182  shall be approved by the board of county commissioners and by
  183  the Department of Financial Services when the board is they and
  184  it are satisfied in its their judgment that the bond same is
  185  legal, sufficient, and proper to be approved.
  186         Section 5. Present paragraphs (h) through (y) of subsection
  187  (2) of section 215.97, Florida Statutes, are redesignated as
  188  paragraphs (i) through (z), respectively, a new paragraph (h) is
  189  added to that subsection, paragraph (a) and present paragraphs
  190  (m) and (v) of that subsection and paragraph (o) of subsection
  191  (8) are amended, present subsections (9), (10), and (11) of that
  192  section are renumbered as subsections (10), (11), and (12),
  193  respectively, and a new subsection (9) is added to that section,
  194  to read:
  195         215.97 Florida Single Audit Act.—
  196         (2) Definitions; As used in this section, the term:
  197         (a) “Audit threshold” means the threshold amount used to
  198  determine when a state single audit or project-specific audit of
  199  a nonstate entity shall be conducted in accordance with this
  200  section. Each nonstate entity that expends a total amount of
  201  state financial assistance equal to or in excess of $750,000
  202  $500,000 in any fiscal year of such nonstate entity shall be
  203  required to have a state single audit, or a project-specific
  204  audit, for such fiscal year in accordance with the requirements
  205  of this section. Every 2 years the Auditor General, after
  206  consulting with the Executive Office of the Governor, the
  207  Department of Financial Services, and all state awarding
  208  agencies, shall review the threshold amount for requiring audits
  209  under this section and may adjust such threshold amount
  210  consistent with the purposes of this section.
  211         (h) “Higher education entity” means a Florida College
  212  System institution or a state university, as those terms are
  213  defined in s. 1000.21.
  214         (n)(m) “Nonstate entity” means a local governmental entity,
  215  higher education entity, nonprofit organization, or for-profit
  216  organization that receives state financial assistance.
  217         (w)(v) “State project-specific audit” means an audit of one
  218  state project performed in accordance with the requirements of
  219  subsection (11) (10).
  220         (8) Each recipient or subrecipient of state financial
  221  assistance shall comply with the following:
  222         (o) A higher education entity is exempt from the
  223  requirements of paragraph (2)(a) and this subsection A contract
  224  involving the State University System or the Florida College
  225  System funded by state financial assistance may be in the form
  226  of:
  227         1.A fixed-price contract that entitles the provider to
  228  receive full compensation for the fixed contract amount upon
  229  completion of all contract deliverables;
  230         2.A fixed-rate-per-unit contract that entitles the
  231  provider to receive compensation for each contract deliverable
  232  provided;
  233         3.A cost-reimbursable contract that entitles the provider
  234  to receive compensation for actual allowable costs incurred in
  235  performing contract deliverables; or
  236         4. A combination of the contract forms described in
  237  subparagraphs 1., 2., and 3.
  238         (9) This subsection applies to any contract or agreement
  239  between a state awarding agency and a higher education entity
  240  that is funded by state financial assistance.
  241         (a) The contract or agreement must comply with ss.
  242  215.971(1) and 216.3475 and must be in the form of one or a
  243  combination of the following:
  244         1. A fixed-price contract that entitles the provider to
  245  receive compensation for the fixed contract amount upon
  246  completion of all contract deliverables.
  247         2. A fixed-rate-per-unit contract that entitles the
  248  provider to receive compensation for each contract deliverable
  249  provided.
  250         3. A cost-reimbursable contract that entitles the provider
  251  to receive compensation for actual allowable costs incurred in
  252  performing contract deliverables.
  253         (b) If a higher education entity has extremely limited or
  254  no required activities related to the administration of a state
  255  project and acts only as a conduit of state financial
  256  assistance, none of the requirements of this section apply to
  257  the conduit higher education entity. However, the subrecipient
  258  that is provided state financial assistance by the conduit
  259  higher education entity is subject to the requirements of this
  260  subsection and subsection (8).
  261         (c) Regardless of the amount of the state financial
  262  assistance, this subsection does not exempt a higher education
  263  entity from compliance with provisions of law that relate to
  264  maintaining records concerning state financial assistance to the
  265  higher education entity or that allow access and examination of
  266  those records by the state awarding agency, the higher education
  267  entity, the Department of Financial Services, or the Auditor
  268  General.
  269         (d) This subsection does not prohibit the state awarding
  270  agency from including terms and conditions in the contract or
  271  agreement which require additional assurances that the state
  272  financial assistance meets the applicable requirements of laws,
  273  regulations, and other compliance rules.
  274         Section 6. Subsection (4) of section 322.142, Florida
  275  Statutes, is amended to read:
  276         322.142 Color photographic or digital imaged licenses.—
  277         (4) The department may maintain a film negative or print
  278  file. The department shall maintain a record of the digital
  279  image and signature of the licensees, together with other data
  280  required by the department for identification and retrieval.
  281  Reproductions from the file or digital record are exempt from
  282  the provisions of s. 119.07(1) and may be made and issued only:
  283         (a) For departmental administrative purposes;
  284         (b) For the issuance of duplicate licenses;
  285         (c) In response to law enforcement agency requests;
  286         (d) To the Department of Business and Professional
  287  Regulation and the Department of Health pursuant to an
  288  interagency agreement for the purpose of accessing digital
  289  images for reproduction of licenses issued by the Department of
  290  Business and Professional Regulation or the Department of
  291  Health;
  292         (e) To the Department of State pursuant to an interagency
  293  agreement to facilitate determinations of eligibility of voter
  294  registration applicants and registered voters in accordance with
  295  ss. 98.045 and 98.075;
  296         (f) To the Department of Revenue pursuant to an interagency
  297  agreement for use in establishing paternity and establishing,
  298  modifying, or enforcing support obligations in Title IV-D cases;
  299         (g) To the Department of Children and Families pursuant to
  300  an interagency agreement to conduct protective investigations
  301  under part III of chapter 39 and chapter 415;
  302         (h) To the Department of Children and Families pursuant to
  303  an interagency agreement specifying the number of employees in
  304  each of that department’s regions to be granted access to the
  305  records for use as verification of identity to expedite the
  306  determination of eligibility for public assistance and for use
  307  in public assistance fraud investigations;
  308         (i) To the Agency for Health Care Administration pursuant
  309  to an interagency agreement for the purpose of authorized
  310  agencies verifying photographs in the Care Provider Background
  311  Screening Clearinghouse authorized under s. 435.12;
  312         (j) To the Department of Financial Services pursuant to an
  313  interagency agreement to facilitate the location of owners of
  314  unclaimed property, the validation of unclaimed property claims,
  315  and the identification of fraudulent or false claims, and the
  316  investigation of allegations of violations of the insurance code
  317  by licensees and unlicensed persons;
  318         (k) To district medical examiners pursuant to an
  319  interagency agreement for the purpose of identifying a deceased
  320  individual, determining cause of death, and notifying next of
  321  kin of any investigations, including autopsies and other
  322  laboratory examinations, authorized in s. 406.11; or
  323         (l) To the following persons for the purpose of identifying
  324  a person as part of the official work of a court:
  325         1. A justice or judge of this state;
  326         2. An employee of the state courts system who works in a
  327  position that is designated in writing for access by the Chief
  328  Justice of the Supreme Court or a chief judge of a district or
  329  circuit court, or by his or her designee; or
  330         3. A government employee who performs functions on behalf
  331  of the state courts system in a position that is designated in
  332  writing for access by the Chief Justice or a chief judge, or by
  333  his or her designee.
  334         Section 7. Subsection (2) of section 374.983, Florida
  335  Statutes, is amended to read:
  336         374.983 Governing body.—
  337         (2) The present board of commissioners of the district
  338  shall continue to hold office until their respective terms shall
  339  expire. Thereafter the members of the board shall continue to be
  340  appointed by the Governor for a term of 4 years and until their
  341  successors shall be duly appointed. Specifically, commencing on
  342  January 10, 1997, the Governor shall appoint the commissioners
  343  from Broward, Indian River, Martin, St. Johns, and Volusia
  344  Counties and on January 10, 1999, the Governor shall appoint the
  345  commissioners from Brevard, Miami-Dade, Duval, Flagler, Palm
  346  Beach, and St. Lucie Counties. The Governor shall appoint the
  347  commissioner from Nassau County for an initial term that
  348  coincides with the period remaining in the current terms of the
  349  commissioners from Broward, Indian River, Martin, St. Johns, and
  350  Volusia Counties. Thereafter, the commissioner from Nassau
  351  County shall be appointed to a 4-year term. Each new appointee
  352  must be confirmed by the Senate. Whenever a vacancy occurs among
  353  the commissioners, the person appointed to fill such vacancy
  354  shall hold office for the unexpired portion of the term of the
  355  commissioner whose place he or she is selected to fill. Each
  356  commissioner under this act before he or she assumes office
  357  shall be required to give a good and sufficient surety bond in
  358  the sum of $10,000 payable to the Governor and his or her
  359  successors in office, conditioned upon the faithful performance
  360  of the duties of his or her office, such bond to be approved by
  361  and filed with the board of commissioners of the district Chief
  362  Financial Officer. Any and all premiums upon such surety bonds
  363  shall be paid by the board of commissioners of such district as
  364  a necessary expense of the district.
  365         Section 8. Subsection (4) of section 509.211, Florida
  366  Statutes, is amended to read:
  367         509.211 Safety regulations.—
  368         (4) Every enclosed space or room that contains a boiler
  369  regulated under chapter 554 which is fired by the direct
  370  application of energy from the combustion of fuels and that is
  371  located in any portion of a public lodging establishment that
  372  also contains sleeping rooms shall be equipped with one or more
  373  carbon monoxide detector sensor devices that are listed as
  374  complying with ANSI/UL 2075, Standard for Gas and Vapor
  375  Detectors and Sensors, by a Nationally Recognized Testing
  376  Laboratory accredited by the Occupational Safety and Health
  377  Administration bear the label of a nationally recognized testing
  378  laboratory and have been tested and listed as complying with the
  379  most recent Underwriters Laboratories, Inc., Standard 2034, or
  380  its equivalent, unless it is determined that carbon monoxide
  381  hazards have otherwise been adequately mitigated as determined
  382  by the local fire official or his designee the Division of State
  383  Fire Marshal of the Department of Financial Services. Such
  384  devices shall be integrated with the public lodging
  385  establishment’s fire detection system. Any such installation or
  386  determination shall be made in accordance with rules adopted by
  387  the Division of State Fire Marshal. In lieu of connecting the
  388  carbon monoxide detector to the fire detection system, the
  389  detector may be connected to a control unit until listed as
  390  complying with UL 2017 or a combination system in accordance
  391  with NFPA 720. Either the control unit or the combination system
  392  shall be connected to the boiler safety circuit and wired so
  393  that the boiler is prevented from operating when carbon monoxide
  394  is detected until it is reset manually.
  395         Section 9. Subsection (9) of section 624.307, Florida
  396  Statutes, is amended to read:
  397         624.307 General powers; duties.—
  398         (9) Upon receiving service of legal process issued in any
  399  civil action or proceeding in this state against any regulated
  400  person or any unauthorized insurer under s. 626.906 or s.
  401  626.937 which is required to appoint the Chief Financial Officer
  402  as its attorney to receive service of all legal process, the
  403  Chief Financial Officer, as attorney, may, in lieu of sending
  404  the process by registered or certified mail, send the process or
  405  make it available by any other verifiable means, including, but
  406  not limited to, making the documents available by electronic
  407  transmission from a secure website established by the department
  408  to the person last designated by the regulated person or the
  409  unauthorized insurer to receive the process. When process
  410  documents are made available electronically, the Chief Financial
  411  Officer shall send a notice of receipt of service of process to
  412  the person last designated by the regulated person or
  413  unauthorized insurer to receive legal process. The notice must
  414  state the date and manner in which the copy of the process was
  415  made available to the regulated person or unauthorized insurer
  416  being served and contain the uniform resource locator (URL) for
  417  a hyperlink to access files and information on the department’s
  418  website to obtain a copy of the process.
  419         Section 10. Section 624.423, Florida Statutes, is amended
  420  to read:
  421         624.423 Serving process.—
  422         (1) Service of process upon the Chief Financial Officer as
  423  process agent of the insurer (under ss. s. 624.422 and 626.937)
  424  shall be made by serving a copy of the process upon the Chief
  425  Financial Officer or upon her or his assistant, deputy, or other
  426  person in charge of her or his office. Service may also be made
  427  by mail or electronically as provided in s. 48.151. Upon
  428  receiving such service, the Chief Financial Officer shall retain
  429  a record copy and promptly forward one copy of the process by
  430  registered or certified mail or by other verifiable means, as
  431  provided under s. 624.307(9), to the person last designated by
  432  the insurer to receive the same, as provided under s.
  433  624.422(2). For purposes of this section, records may be
  434  retained as paper or electronic copies.
  435         (2) If Where process is served upon the Chief Financial
  436  Officer as an insurer’s process agent, the insurer is shall not
  437  be required to answer or plead except within 20 days after the
  438  date upon which the Chief Financial Officer sends or makes
  439  available by other verifiable means mailed a copy of the process
  440  served upon her or him as required by subsection (1).
  441         (3) Process served upon the Chief Financial Officer and
  442  sent or made available in accordance with this section and s.
  443  624.307(9) copy thereof forwarded as in this section provided
  444  shall for all purposes constitute valid and binding service
  445  thereof upon the insurer.
  446         Section 11. Notwithstanding the expiration date in section
  447  41 of chapter 2015-222, Laws of Florida, section 624.502,
  448  Florida Statutes, as amended by chapter 2013-41, Laws of
  449  Florida, is reenacted and amended to read:
  450         624.502 Service of process fee.—In all instances as
  451  provided in any section of the insurance code and s. 48.151(3)
  452  in which service of process is authorized to be made upon the
  453  Chief Financial Officer or the director of the office, the party
  454  requesting service plaintiff shall pay to the department or
  455  office a fee of $15 for such service of process on an authorized
  456  insurer or on an unauthorized insurer, which fee shall be
  457  deposited into the Administrative Trust Fund.
  458         Section 12. Present paragraph (b) of subsection (2) of
  459  section 626.854, Florida Statutes, is redesignated as paragraph
  460  (c), and a new paragraph (b) is added to that subsection, to
  461  read:
  462         626.854 “Public adjuster” defined; prohibitions.—The
  463  Legislature finds that it is necessary for the protection of the
  464  public to regulate public insurance adjusters and to prevent the
  465  unauthorized practice of law.
  466         (2) This definition does not apply to:
  467         (b) A licensed health insurance agent who assists an
  468  insured with coverage questions, medical procedure coding
  469  issues, balance billing issues, understanding the claims filing
  470  process, or filing a claim, as such assistance relates to
  471  coverage under a health insurance policy.
  472         Section 13. Subsection (1) of section 626.907, Florida
  473  Statutes, is amended to read:
  474         626.907 Service of process; judgment by default.—
  475         (1) Service of process upon an insurer or person
  476  representing or aiding such insurer pursuant to s. 626.906 shall
  477  be made by delivering to and leaving with the Chief Financial
  478  Officer, his or her assistant or deputy, or another person in
  479  charge of the or some person in apparent charge of his or her
  480  office two copies thereof and the service of process fee as
  481  required in s. 624.502. The Chief Financial Officer shall
  482  forthwith mail by registered mail, commercial carrier, or any
  483  verifiable means, one of the copies of such process to the
  484  defendant at the defendant’s last known principal place of
  485  business as provided by the party submitting the documents and
  486  shall keep a record of all process so served upon him or her.
  487  The service of process is sufficient, provided notice of such
  488  service and a copy of the process are sent within 10 days
  489  thereafter by registered mail by plaintiff or plaintiff’s
  490  attorney to the defendant at the defendant’s last known
  491  principal place of business, and the defendant’s receipt, or
  492  receipt issued by the post office with which the letter is
  493  registered, showing the name of the sender of the letter and the
  494  name and address of the person to whom the letter is addressed,
  495  and the affidavit of the plaintiff or plaintiff’s attorney
  496  showing a compliance herewith are filed with the clerk of the
  497  court in which the action is pending on or before the date the
  498  defendant is required to appear, or within such further time as
  499  the court may allow.
  500         Section 14. Paragraph (a) of subsection (4) of section
  501  626.921, Florida Statutes, is amended to read:
  502         626.921 Florida Surplus Lines Service Office.—
  503         (4) The association shall operate under the supervision of
  504  a board of governors consisting of:
  505         (a) Five individuals nominated by the Florida Surplus Lines
  506  Association and appointed by the department from the regular
  507  membership of the Florida Surplus Lines Association.
  508  
  509  Each board member shall be appointed to serve beginning on the
  510  date designated by the plan of operation and shall serve at the
  511  pleasure of the department for a 3-year term, such term
  512  initially to be staggered by the plan of operation so that three
  513  appointments expire in 1 year, three appointments expire in 2
  514  years, and three appointments expire in 3 years. Members may be
  515  reappointed for subsequent terms. The board of governors shall
  516  elect such officers as may be provided in the plan of operation.
  517         Section 15. Subsection (1) of section 626.931, Florida
  518  Statutes, is amended to read:
  519         626.931 Agent affidavit and insurer reporting
  520  requirements.—
  521         (1) Each surplus lines agent that has transacted business
  522  during a calendar quarter shall on or before the 45th day after
  523  the end of the following each calendar quarter file with the
  524  Florida Surplus Lines Service Office an affidavit, on forms as
  525  prescribed and furnished by the Florida Surplus Lines Service
  526  Office, stating that all surplus lines insurance transacted by
  527  him or her during such calendar quarter has been submitted to
  528  the Florida Surplus Lines Service Office as required.
  529         Section 16. Subsection (2) of section 626.9892, Florida
  530  Statutes, is amended to read:
  531         626.9892 Anti-Fraud Reward Program; reporting of insurance
  532  fraud.—
  533         (2) The department may pay rewards of up to $25,000 to
  534  persons providing information leading to the arrest and
  535  conviction of persons committing crimes investigated by the
  536  department Division of Insurance Fraud arising from violations
  537  of s. 440.105, s. 624.15, s. 626.9541, s. 626.989, s. 790.164,
  538  s. 790.165, s. 790.166, s. 806.031, s. 806.10, s. 806.111, s.
  539  817.233, or s. 817.234.
  540         Section 17. Paragraph (a) of subsection (7) of section
  541  627.7074, Florida Statutes, is amended to read:
  542         627.7074 Alternative procedure for resolution of disputed
  543  sinkhole insurance claims.—
  544         (7) Upon receipt of a request for neutral evaluation, the
  545  department shall provide the parties a list of certified neutral
  546  evaluators. The department shall allow the parties to submit
  547  requests to disqualify evaluators on the list for cause.
  548         (a) The department shall disqualify neutral evaluators for
  549  cause based only on any of the following grounds:
  550         1. A familial relationship within the third degree exists
  551  between the neutral evaluator and either party or a
  552  representative of either party.
  553         2. The proposed neutral evaluator has, in a professional
  554  capacity, previously represented either party or a
  555  representative of either party in the same or a substantially
  556  related matter.
  557         3. The proposed neutral evaluator has, in a professional
  558  capacity, represented another person in the same or a
  559  substantially related matter and that person’s interests are
  560  materially adverse to the interests of the parties. The term
  561  “substantially related matter” means participation by the
  562  neutral evaluator on the same claim, property, or adjacent
  563  property.
  564         4. The proposed neutral evaluator has, within the preceding
  565  5 years, worked as an employer or employee of any party to the
  566  case.
  567         5. The proposed neutral evaluator has, within the preceding
  568  5 years, worked for any entity that performed any sinkhole loss
  569  testing, review, or analysis for the property.
  570         Section 18. Section 633.107, Florida Statutes, is created
  571  to read:
  572         633.107 Exemption from disqualification from licensure or
  573  certification.—
  574         (1) The department may grant an exemption from
  575  disqualification to any person disqualified from licensure or
  576  certification by the Division of State Fire Marshal under this
  577  chapter because of a criminal record or dishonorable discharge
  578  from the United States Armed Forces if the applicant has paid in
  579  full any fee, fine, fund, lien, civil judgment, restitution,
  580  cost of prosecution, or trust contribution imposed by the court
  581  as part of the judgment and sentence for any disqualifying
  582  offense and:
  583         (a) At least 5 years have elapsed since the applicant
  584  completed or has been lawfully released from confinement,
  585  supervision, or nonmonetary condition imposed by the court for a
  586  disqualifying offense; or
  587         (b) At least 5 years have elapsed since the applicant was
  588  dishonorably discharged from the United States Armed Forces.
  589         (2) For the department to grant an exemption, the applicant
  590  must clearly and convincingly demonstrate that he or she would
  591  not pose a risk to persons or property if permitted to be
  592  licensed or certified under this chapter, evidence of which must
  593  include, but need not be limited to, facts and circumstances
  594  surrounding the disqualifying offense, the time that has elapsed
  595  since the offense, the nature of the offense and harm caused to
  596  the victim, the applicant’s history before and after the
  597  offense, and any other evidence or circumstances indicating that
  598  the applicant will not present a danger if permitted to be
  599  licensed or certified.
  600         (3) The department has discretion whether to grant or deny
  601  an exemption. The department shall provide its decision in
  602  writing which, if the exemption is denied, must state with
  603  particularity the reasons for denial. The department’s decision
  604  is subject to proceedings under chapter 120, except that a
  605  formal proceeding under s. 120.57(1) is available only if there
  606  are disputed issues of material fact that the department relied
  607  upon in reaching its decision.
  608         (4) An applicant may request an exemption, notwithstanding
  609  the time limitations of paragraphs (1)(a) and (b), if by
  610  executive clemency his or her civil rights are restored, or he
  611  or she receives a pardon, from the disqualifying offense. The
  612  fact that the applicant receives executive clemency does not
  613  alleviate his or her obligation to comply with subsection (2) or
  614  in itself require the department to award the exemption.
  615         (5) The division may adopt rules to administer this
  616  section.
  617         Section 19. Section 633.135, Florida Statutes, is created
  618  to read:
  619         633.135 Firefighter Assistance Grant Program.—
  620         (1) The Firefighter Assistance Grant Program is created
  621  within the division to improve the emergency response capability
  622  of volunteer fire departments and combination fire departments.
  623  The program shall provide financial assistance to improve
  624  firefighter safety and enable such fire departments to provide
  625  firefighting, emergency medical, and rescue services to their
  626  communities. For purposes of this section, the term “combination
  627  fire department” means a fire department composed of a
  628  combination of career and volunteer firefighters.
  629         (2) The division shall administer the program and annually
  630  award grants to volunteer fire departments and combination fire
  631  departments using the annual Florida Fire Service Needs
  632  Assessment Survey. The purpose of the grants is to assist such
  633  fire departments in providing volunteer firefighter training and
  634  procuring necessary firefighter personal protective equipment,
  635  self-contained breathing apparatus equipment, and fire engine
  636  pumper apparatus equipment. However, the division shall
  637  prioritize the annual award of grants to such combination fire
  638  departments and volunteer fire departments demonstrating need as
  639  a result of participating in the annual Florida Fire Service
  640  Needs Assessment Survey.
  641         (3) The State Fire Marshal shall adopt rules and procedures
  642  for the program that require grant recipients to:
  643         (a) Report their activity to the division for submission in
  644  the Fire and Emergency Incident Information Reporting System
  645  created pursuant to s. 633.136;
  646         (b) Annually complete and submit the Florida Fire Service
  647  Needs Assessment Survey to the division;
  648         (c) Comply with the Florida Firefighters Occupational
  649  Safety and Health Act, ss. 633.502-633.536;
  650         (d) Comply with any other rule determined by the State Fire
  651  Marshal to effectively and efficiently implement, administer,
  652  and manage the program; and
  653         (e) Meet the definition of the term “fire service provider”
  654  in s. 633.102.
  655         (4) Funds shall be used to:
  656         (a) Provide firefighter training to individuals to obtain a
  657  Volunteer Firefighter Certificate of Completion pursuant to s.
  658  633.408. Training must be provided at no cost to the fire
  659  department or student by a division-approved instructor and must
  660  be documented in the division’s electronic database.
  661         (b) Purchase firefighter personal protective equipment,
  662  including structural firefighting protective ensembles and
  663  individual ensemble elements such as garments, helmets, gloves,
  664  and footwear, that complies with NFPA No. 1851, “Standard on
  665  Selection, Care, and Maintenance of Protective Ensembles for
  666  Structural Fire Fighting and Proximity Fire Fighting,” by the
  667  National Fire Protection Association.
  668         (c) Purchase self-contained breathing apparatus equipment
  669  that complies with NFPA No. 1852, “Standard on Selection, Care,
  670  and Maintenance of Open-Circuit Self-Contained Breathing
  671  Apparatus.”
  672         (d) Purchase fire engine pumper apparatus equipment. Funds
  673  provided under this paragraph may be used to purchase the
  674  equipment or subsidize a federal grant from the Federal
  675  Emergency Management Agency to purchase the equipment.
  676         Section 20. Subsection (8) of section 633.208, Florida
  677  Statutes, is amended to read:
  678         633.208 Minimum firesafety standards.—
  679         (8) The provisions of the Life Safety Code, as contained in
  680  the Florida Fire Prevention Code, do not apply to newly
  681  constructed one-family and two-family dwellings. However, fire
  682  sprinkler protection may be permitted by local government in
  683  lieu of other fire protection-related development requirements
  684  for such structures. While local governments may adopt fire
  685  sprinkler requirements for one- and two-family dwellings under
  686  this subsection, it is the intent of the Legislature that the
  687  economic consequences of the fire sprinkler mandate on home
  688  owners be studied before the enactment of such a requirement.
  689  After the effective date of this act, any local government that
  690  desires to adopt a fire sprinkler requirement on one- or two
  691  family dwellings must prepare an economic cost and benefit
  692  report that analyzes the application of fire sprinklers to one-
  693  or two-family dwellings or any proposed residential subdivision.
  694  The report must consider the tradeoffs and specific cost savings
  695  and benefits of fire sprinklers for future owners of property.
  696  The report must include an assessment of the cost savings from
  697  any reduced or eliminated impact fees if applicable, the
  698  reduction in special fire district tax, insurance fees, and
  699  other taxes or fees imposed, and the waiver of certain
  700  infrastructure requirements including the reduction of roadway
  701  widths, the reduction of water line sizes, increased fire
  702  hydrant spacing, increased dead-end roadway length, and a
  703  reduction in cul-de-sac sizes relative to the costs from fire
  704  sprinkling. A failure to prepare an economic report shall result
  705  in the invalidation of the fire sprinkler requirement to any
  706  one- or two-family dwelling or any proposed subdivision. In
  707  addition, a local jurisdiction or utility may not charge any
  708  additional fee, above what is charged to a non-fire sprinklered
  709  dwelling, on the basis that a one- or two-family dwelling unit
  710  is protected by a fire sprinkler system.
  711         Section 21. Subsection (2) of section 633.216, Florida
  712  Statutes, is amended to read:
  713         633.216 Inspection of buildings and equipment; orders;
  714  firesafety inspection training requirements; certification;
  715  disciplinary action.—The State Fire Marshal and her or his
  716  agents or persons authorized to enforce laws and rules of the
  717  State Fire Marshal shall, at any reasonable hour, when the State
  718  Fire Marshal has reasonable cause to believe that a violation of
  719  this chapter or s. 509.215, or a rule adopted thereunder, or a
  720  minimum firesafety code adopted by the State Fire Marshal or a
  721  local authority, may exist, inspect any and all buildings and
  722  structures which are subject to the requirements of this chapter
  723  or s. 509.215 and rules adopted thereunder. The authority to
  724  inspect shall extend to all equipment, vehicles, and chemicals
  725  which are located on or within the premises of any such building
  726  or structure.
  727         (2) Except as provided in s. 633.312(2), every firesafety
  728  inspection conducted pursuant to state or local firesafety
  729  requirements shall be by a person certified as having met the
  730  inspection training requirements set by the State Fire Marshal.
  731  Such person shall meet the requirements of s. 633.412(1)-(4) s.
  732  633.412(1)(a)-(d), and:
  733         (a) Have satisfactorily completed the firesafety inspector
  734  certification examination as prescribed by division rule; and
  735         (b)1. Have satisfactorily completed, as determined by
  736  division rule, a firesafety inspector training program of at
  737  least 200 hours established by the department and administered
  738  by education or training providers approved by the department
  739  for the purpose of providing basic certification training for
  740  firesafety inspectors; or
  741         2. Have received training in another state which is
  742  determined by the division to be at least equivalent to that
  743  required by the department for approved firesafety inspector
  744  education and training programs in this state.
  745         Section 22. Paragraph (b) of subsection (4) and subsection
  746  (8) of section 633.408, Florida Statutes, are amended, and
  747  subsection (9) is added to that section, to read:
  748         633.408 Firefighter and volunteer firefighter training and
  749  certification.—
  750         (4) The division shall issue a firefighter certificate of
  751  compliance to an individual who does all of the following:
  752         (b) Passes the Minimum Standards Course examination within
  753  12 months after completing the required courses.
  754         (8)(a) Pursuant to s. 590.02(1)(e), the division shall
  755  establish a structural fire training program of not less than
  756  206 hours. The division shall issue to a person satisfactorily
  757  complying with this training program and who has successfully
  758  passed an examination as prescribed by the division and who has
  759  met the requirements of s. 590.02(1)(e), a Forestry Certificate
  760  of Compliance.
  761         (b) An individual who holds a current and valid Forestry
  762  Certificate of Compliance is entitled to the same rights,
  763  privileges, and benefits provided for by law as a firefighter.
  764         (9) A Firefighter Certificate of Compliance or a Volunteer
  765  Firefighter Certificate of Completion issued under this section
  766  expires 4 years after the date of issuance unless renewed as
  767  provided in s. 633.414.
  768         Section 23. Section 633.412, Florida Statutes, is amended
  769  to read:
  770         633.412 Firefighters; qualifications for certification.—
  771         (1) A person applying for certification as a firefighter
  772  must:
  773         (1)(a) Be a high school graduate or the equivalent, as the
  774  term may be determined by the division, and at least 18 years of
  775  age.
  776         (2)(b) Not have been convicted of a misdemeanor relating to
  777  the certification or to perjury or false statements, or a felony
  778  or a crime punishable by imprisonment of 1 year or more under
  779  the law of the United States or of any state thereof or under
  780  the law of any other country, or dishonorably discharged from
  781  any of the Armed Forces of the United States. “Convicted” means
  782  a finding of guilt or the acceptance of a plea of guilty or nolo
  783  contendere, in any federal or state court or a court in any
  784  other country, without regard to whether a judgment of
  785  conviction has been entered by the court having jurisdiction of
  786  the case.
  787         (3)(c) Submit a set of fingerprints to the division with a
  788  current processing fee. The fingerprints will be forwarded to
  789  the Department of Law Enforcement for state processing and
  790  forwarded by the Department of Law Enforcement to the Federal
  791  Bureau of Investigation for national processing.
  792         (4)(d) Have a good moral character as determined by
  793  investigation under procedure established by the division.
  794         (5)(e) Be in good physical condition as determined by a
  795  medical examination given by a physician, surgeon, or physician
  796  assistant licensed to practice in the state pursuant to chapter
  797  458; an osteopathic physician, surgeon, or physician assistant
  798  licensed to practice in the state pursuant to chapter 459; or an
  799  advanced registered nurse practitioner licensed to practice in
  800  the state pursuant to chapter 464. Such examination may include,
  801  but need not be limited to, the National Fire Protection
  802  Association Standard 1582. A medical examination evidencing good
  803  physical condition shall be submitted to the division, on a form
  804  as provided by rule, before an individual is eligible for
  805  admission into a course under s. 633.408.
  806         (6)(f) Be a nonuser of tobacco or tobacco products for at
  807  least 1 year immediately preceding application, as evidenced by
  808  the sworn affidavit of the applicant.
  809         (2) If the division suspends or revokes an individual’s
  810  certificate, the division must suspend or revoke all other
  811  certificates issued to the individual by the division pursuant
  812  to this part.
  813         Section 24. Section 633.414, Florida Statutes, is amended
  814  to read:
  815         633.414 Retention of firefighter, volunteer firefighter,
  816  and fire investigator certifications certification.—
  817         (1) In order for a firefighter to retain her or his
  818  Firefighter Certificate of Compliance, every 4 years he or she
  819  must meet the requirements for renewal provided in this chapter
  820  and by rule, which must include at least one of the following:
  821         (a) Be active as a firefighter.;
  822         (b) Maintain a current and valid fire service instructor
  823  certificate, instruct at least 40 hours during the 4-year
  824  period, and provide proof of such instruction to the division,
  825  which proof must be registered in an electronic database
  826  designated by the division.;
  827         (c) Within 6 months before the 4-year period expires,
  828  successfully complete a Firefighter Retention Refresher Course
  829  consisting of a minimum of 40 hours of training to be prescribed
  830  by rule.; or
  831         (d) Within 6 months before the 4-year period expires,
  832  successfully retake and pass the Minimum Standards Course
  833  examination pursuant to s. 633.408.
  834         (2) In order for a volunteer firefighter to retain her or
  835  his Volunteer Firefighter Certificate of Completion, every 4
  836  years he or she must:
  837         (a) Be active as a volunteer firefighter; or
  838         (b) Successfully complete a refresher course consisting of
  839  a minimum of 40 hours of training to be prescribed by rule.
  840         (3) Subsection (1) does not apply to state-certified
  841  firefighters who are certified and employed full-time, as
  842  determined by the fire service provider, as firesafety
  843  inspectors or fire investigators, regardless of their her or his
  844  employment status as firefighters or volunteer firefighters a
  845  firefighter.
  846         (4) For the purposes of this section, the term “active”
  847  means being employed as a firefighter or providing service as a
  848  volunteer firefighter for a cumulative period of 6 months within
  849  a 4-year period.
  850         (5) The 4-year period begins upon issuance of the
  851  certificate or separation from employment:
  852         (a) If the individual is certified on or after July 1,
  853  2013, on the date the certificate is issued or upon termination
  854  of employment or service with a fire department.
  855         (b) If the individual is certified before July 1, 2013, on
  856  July 1, 2014, or upon termination of employment or service
  857  thereafter.
  858         (6) A certificate for a firefighter or volunteer
  859  firefighter expires if he or she fails to meet the requirements
  860  of this section.
  861         (7) The State Fire Marshal may deny, refuse to renew,
  862  suspend, or revoke the certificate of a firefighter or volunteer
  863  firefighter if the State Fire Marshal finds that any of the
  864  following grounds exists:
  865         (a) Any cause for which issuance of a certificate could
  866  have been denied if it had then existed and had been known to
  867  the division.
  868         (b) A violation of any provision of this chapter or any
  869  rule or order of the State Fire Marshal.
  870         (c) Falsification of a record relating to any certificate
  871  issued by the division.
  872         Section 25. Subsections (1) and (2) of section 633.426,
  873  Florida Statutes, are amended to read:
  874         633.426 Disciplinary action; standards for revocation of
  875  certification.—
  876         (1) For purposes of this section, the term:
  877         (a) “Certificate” means any of the certificates issued
  878  under s. 633.406.
  879         (b) “Certification” or “certified” means the act of holding
  880  a certificate that is current and valid and that meets the
  881  requirements for renewal of certification pursuant to this
  882  chapter and the rules adopted under this chapter certificate.
  883         (c) “Convicted” means a finding of guilt, or the acceptance
  884  of a plea of guilty or nolo contendere, in any federal or state
  885  court or a court in any other country, without regard to whether
  886  a judgment of conviction has been entered by the court having
  887  jurisdiction of the case.
  888         (2) Effective July 1, 2013, an individual who holds a
  889  certificate is subject to revocation for any of the following An
  890  individual is ineligible to apply for certification if the
  891  individual has, at any time, been:
  892         (a) Conviction Convicted of a misdemeanor relating to the
  893  certification or to perjury or false statements.
  894         (b) Conviction Convicted of a felony or a crime punishable
  895  by imprisonment of 1 year or more under the law of the United
  896  States or of any state thereof, or under the law of any other
  897  country.
  898         (c) Dishonorable discharge Dishonorably discharged from any
  899  of the Armed Forces of the United States.
  900         Section 26. Section 717.138, Florida Statutes, is amended
  901  to read:
  902         717.138 Rulemaking authority.—The department shall
  903  administer and provide for the enforcement of this chapter. The
  904  department has authority to adopt rules pursuant to ss.
  905  120.536(1) and 120.54 to implement the provisions of this
  906  chapter. The department may adopt rules to allow for electronic
  907  filing of fees, forms, and reports required by this chapter. The
  908  authority to adopt rules pursuant to this chapter applies to all
  909  unclaimed property reported and remitted to the Chief Financial
  910  Officer, including, but not limited to, property reported and
  911  remitted pursuant to ss. 43.19, 45.032, 732.107, 733.816, and
  912  744.534.
  913         Section 27. For the 2016-2017 fiscal year, the sum of
  914  $500,000 in recurring funds from the Insurance Regulatory Trust
  915  Fund is appropriated to the Department of Financial Services,
  916  and one full-time equivalent position with associated salary
  917  rate of 50,000 is authorized, for the purpose of implementing
  918  this act.
  919         Section 28. This act shall take effect July 1, 2016.