Florida Senate - 2018 CS for CS for SB 1292
By the Committees on Children, Families, and Elder Affairs; and
Banking and Insurance; and Senator Stargel
586-02908-18 20181292c2
1 A bill to be entitled
2 An act relating to the Department of Financial
3 Services; amending s. 17.64, F.S.; providing that
4 electronic images of warrants, vouchers, or checks in
5 the Division of Treasury are deemed to be original
6 records; revising the applicable medium, from film or
7 print to electronic, in provisions relating to copies
8 and reproductions of records and documents of the
9 division; amending s. 20.121, F.S.; renaming the
10 Bureau of Fire and Arson Investigations within the
11 Division of Investigative and Forensic Services as the
12 Bureau of Fire, Arson, and Explosives Investigations;
13 creating the Bureau of Insurance Fraud and the Bureau
14 of Workers’ Compensation Fraud within the division;
15 amending s. 39.6035, F.S.; requiring child transition
16 plans to address financial literacy by providing
17 specified information; amending s. 218.32, F.S.;
18 providing legislative intent relating to the creation
19 of the Florida Open Financial Statement System;
20 authorizing the Chief Financial Officer to consult
21 with certain stakeholders for input on the design and
22 implementation of the system; specifying requirements
23 and procedures for the Chief Financial Officer in
24 selecting and recruiting contractors for certain
25 purposes; requiring the Chief Financial Officer to
26 require completion of all work by a specified date;
27 providing that if the Chief Financial Officer deems
28 work products adequate, all local governmental
29 financial statements pertaining to fiscal years ending
30 on or after a specified date must meet certain
31 requirements; providing construction; providing an
32 appropriation; amending s. 284.40, F.S.; authorizing
33 the department to disclose certain personal
34 identifying information of injured or deceased
35 employees which is exempt from disclosure under the
36 Workers’ Compensation Law to department-contracted
37 vendors for certain purposes; amending s. 284.50,
38 F.S.; requiring safety coordinators of state
39 governmental departments to complete, within a certain
40 timeframe, safety coordinator training offered by the
41 department; requiring certain agencies to report
42 certain return-to-work information to the department;
43 requiring agencies to provide certain risk management
44 program information to the Division of Risk Management
45 for certain purposes; specifying requirements for
46 agencies in reviewing and responding to certain
47 information and communications provided by the
48 division; amending s. 409.1451, F.S.; conforming a
49 provision to changes made by the act; amending s.
50 414.411, F.S.; replacing the Department of Economic
51 Opportunity with the Department of Education in a list
52 of entities to which a public assistance recipient may
53 be required to provide written consent for certain
54 investigative inquiries and to which the department
55 must report investigation results; amending s.
56 497.168, F.S.; providing an exemption from specified
57 application fees for members and certain veterans of
58 the United States Armed Forces; amending s. 624.317,
59 F.S.; authorizing the department to conduct
60 investigations of any, rather than specified, agents
61 subject to its jurisdiction; amending s. 624.34, F.S.;
62 conforming a provision to changes made by the act;
63 amending s. 624.4073, F.S.; prohibiting certain
64 officers or directors of insolvent insurers from
65 having direct or indirect control over certain
66 selection or appointment of officers or directors,
67 except under certain circumstances; amending ss.
68 624.4094, 624.501, 624.509, and 625.071, F.S.;
69 conforming provisions to changes made by the act;
70 amending s. 626.112, F.S.; requiring a managing
71 general agent to hold a currently effective producer
72 license rather than a managing general agent license;
73 amending s. 626.171, F.S.; deleting applicability of
74 licensing provisions as to managing general agents;
75 making a technical change; amending s. 626.202, F.S.;
76 providing that certain applicants are not required to
77 resubmit fingerprints to the department under certain
78 circumstances; authorizing the department to require
79 these applicants to file fingerprints under certain
80 circumstances; providing an exemption from
81 fingerprinting requirements for members and certain
82 veterans of the United States Armed Forces; requiring
83 such members and veterans to provide certain
84 documentation of good standing or honorable discharge;
85 amending s. 626.207, F.S.; conforming a provision to
86 changes made by the act; amending s. 626.221, F.S.;
87 adding a designation that exempts applicants for
88 licensure as an all-lines adjuster from an examination
89 requirement; amending s. 626.451, F.S.; deleting a
90 requirement for law enforcement agencies and state
91 attorney’s offices to notify the department or the
92 Office of Insurance Regulation of certain felony
93 dispositions; deleting a requirement for the state
94 attorney to provide the department or office a
95 certified copy of an information or indictment against
96 a managing general agent; conforming a provision to
97 changes made by the act; amending s. 626.521, F.S.;
98 revising requirements for credit and character reports
99 secured and kept by insurers or employers appointing
100 certain insurance representatives; providing
101 applicability; amending s. 626.731, F.S.; deleting a
102 certain qualification for licensure as a general lines
103 agent; amending s. 626.7351, F.S.; revising a
104 qualification for licensure as a customer
105 representative; amending s. 626.744, F.S.; conforming
106 a provision to changes made by the act; amending s.
107 626.745, F.S.; revising conditions under which service
108 representatives and managing general agents may engage
109 in certain activities; amending ss. 626.7451 and
110 626.7455, F.S.; conforming provisions to changes made
111 by the act; amending s. 626.752, F.S.; revising a
112 requirement for the Brokering Agent’s Register
113 maintained by brokering agents; revising the limit on
114 certain personal lines risks an insurer may receive
115 from an agent within a specified timeframe before the
116 insurer must comply with certain reporting
117 requirements for that agent; amending s. 626.793,
118 F.S.; revising the limit on certain risks that certain
119 insurers may receive from a life agent within a
120 specified timeframe before the insurer must comply
121 with certain reporting requirements for that agent;
122 amending s. 626.837, F.S.; revising the limit on
123 certain risks that certain insurers may receive from a
124 health agent within a specified timeframe before the
125 insurer must comply with certain reporting
126 requirements for that agent; amending s. 626.8732,
127 F.S.; deleting a requirement for a licensed
128 nonresident public adjuster to submit a certain annual
129 affidavit to the department; amending s. 626.8734,
130 F.S.; deleting a requirement for a nonresident
131 independent adjuster to submit a certain annual
132 affidavit to the department; amending s. 626.88, F.S.;
133 conforming a provision to changes made by the act;
134 amending s. 626.927, F.S.; revising conditions under
135 which an individual may be licensed as a surplus lines
136 agent solely for the purpose of placing certain
137 coverages with surplus lines insurers; amending s.
138 626.930, F.S.; revising a requirement relating to the
139 location of a surplus lines agent’s surplus lines
140 business records; amending s. 626.9892, F.S.;
141 authorizing the department to pay up a specified
142 amount of rewards under the Anti-Fraud Reward Program
143 for information leading to the arrest and conviction
144 of persons guilty of arson; amending s. 633.302, F.S.;
145 revising the term duration of certain members of the
146 Florida Fire Safety Board; amending s. 633.304, F.S.;
147 revising circumstances under which an inactive fire
148 equipment dealer license is void; specifying the
149 timeframe when an inactive license must be
150 reactivated; specifying that permittees performing
151 certain work on fire equipment may be contracted
152 rather than employed; revising a requirement for a
153 certain proof-of-insurance form to be provided by the
154 insurer rather than the State Fire Marshal; amending
155 s. 633.314, F.S.; requiring that serial numbers be
156 permanently affixed, rather than permanently stamped,
157 on certain plates of fire extinguishers; amending s.
158 633.318, F.S.; revising a requirement for a certain
159 proof-of-insurance form to be provided by the insurer
160 rather than the State Fire Marshal; amending s.
161 633.408, F.S.; specifying firefighter certification
162 requirements for certain individuals employed in
163 administrative and command positions of a fire service
164 provider; specifying conditions for an individual to
165 retain a Special Certificate of Compliance; amending
166 s. 633.416, F.S.; authorizing fire service providers
167 to employ honorably discharged veterans who received
168 Florida-equivalent training; requiring the Division of
169 State Fire Marshal to verify the equivalency of such
170 training before the individual begins employment;
171 requiring such individual to obtain a Firefighter
172 Certificate of Compliance within a specified
173 timeframe; making a technical change; amending s.
174 633.444, F.S.; deleting a requirement for the Division
175 of State Fire Marshal to develop a staffing and
176 funding formula for the Florida State Fire College;
177 amending s. 648.27, F.S.; revising conditions under
178 which a managing general agent must also be licensed
179 as a bail bond agent; conforming a provision to
180 changes made by the act; amending s. 648.34, F.S.;
181 providing that certain individuals applying for bail
182 bond agent licensure are not required to resubmit
183 fingerprints to the department under certain
184 circumstances; authorizing the department to require
185 such individuals to file fingerprints under certain
186 circumstances; reenacting s. 626.8734(1)(b), F.S.,
187 relating to nonresident all-lines adjuster license
188 qualifications, to incorporate the amendment made to
189 s. 626.221, F.S., in a reference thereto; providing an
190 appropriation; providing an effective date.
191
192 Be It Enacted by the Legislature of the State of Florida:
193
194 Section 1. Section 17.64, Florida Statutes, is amended to
195 read:
196 17.64 Division of Treasury to make reproductions of certain
197 warrants, records, and documents.—
198 (1) Electronic images, photographs, microphotographs, or
199 reproductions on film of warrants, vouchers, or checks are shall
200 be deemed to be original records for all purposes; and any copy
201 or reproduction thereof made from such original film, duly
202 certified by the Division of Treasury as a true and correct copy
203 or reproduction made from such film, is shall be deemed to be a
204 transcript, exemplification, or certified copy of the original
205 warrant, voucher, or check such copy represents, and must shall
206 in all cases and in all courts and places be admitted and
207 received in evidence with the like force and effect as the
208 original thereof might be.
209 (2) The Division of Treasury may electronically photograph,
210 microphotograph, or reproduce on film, all records and documents
211 of the division, as the Chief Financial Officer, in his or her
212 discretion, selects; and the division may destroy any such
213 documents or records after they have been reproduced
214 electronically photographed and filed and after audit of the
215 division has been completed for the period embracing the dates
216 of such documents and records.
217 (3) Electronic copies Photographs or microphotographs in
218 the form of film or prints of any records made in compliance
219 with the provisions of this section shall have the same force
220 and effect as the originals thereof would have, and must shall
221 be treated as originals for the purpose of their admissibility
222 in evidence. Duly certified or authenticated reproductions of
223 such electronic images must photographs or microphotographs
224 shall be admitted in evidence equally with the original
225 electronic images photographs or microphotographs.
226 Section 2. Paragraph (e) of subsection (2) of section
227 20.121, Florida Statutes, is amended to read:
228 20.121 Department of Financial Services.—There is created a
229 Department of Financial Services.
230 (2) DIVISIONS.—The Department of Financial Services shall
231 consist of the following divisions and office:
232 (e) The Division of Investigative and Forensic Services,
233 which shall function as a criminal justice agency for purposes
234 of ss. 943.045-943.08. The division may conduct investigations
235 within or outside of this state as it deems necessary. If,
236 during an investigation, the division has reason to believe that
237 any criminal law of this state has or may have been violated, it
238 shall refer any records tending to show such violation to state
239 or federal law enforcement or prosecutorial agencies and shall
240 provide investigative assistance to those agencies as required.
241 The division shall include the following bureaus and office:
242 1. The Bureau of Forensic Services;
243 2. The Bureau of Fire, and Arson, and Explosives
244 Investigations; and
245 3. The Office of Fiscal Integrity, which shall have a
246 separate budget;.
247 4. The Bureau of Insurance Fraud; and
248 5. The Bureau of Workers’ Compensation Fraud.
249 Section 3. Subsection (1) of section 39.6035, Florida
250 Statutes, is amended to read:
251 39.6035 Transition plan.—
252 (1) During the 180-day period after a child reaches 17
253 years of age, the department and the community-based care
254 provider, in collaboration with the caregiver and any other
255 individual whom the child would like to include, shall assist
256 the child in developing a transition plan. The required
257 transition plan is in addition to standard case management
258 requirements. The transition plan must address specific options
259 for the child to use in obtaining services, including housing,
260 health insurance, education, financial literacy, a driver
261 license, and workforce support and employment services. The plan
262 must also consider establishing and maintaining naturally
263 occurring mentoring relationships and other personal support
264 services. The transition plan may be as detailed as the child
265 chooses. In developing the transition plan, the department and
266 the community-based provider shall:
267 (a) Provide the child with the documentation required
268 pursuant to s. 39.701(3); and
269 (b) Coordinate the transition plan with the independent
270 living provisions in the case plan and, for a child with
271 disabilities, the Individuals with Disabilities Education Act
272 transition plan; and.
273 (c) Provide information for the financial literacy
274 curriculum for youth offered by the Department of Financial
275 Services.
276 Section 4. Section 218.32, Florida Statutes, is amended to
277 read:
278 218.32 Annual financial reports; local governmental
279 entities; Florida Open Financial Statement System.—
280 (1)(a) Each local governmental entity that is determined to
281 be a reporting entity, as defined by generally accepted
282 accounting principles, and each independent special district as
283 defined in s. 189.012, shall submit to the department a copy of
284 its annual financial report for the previous fiscal year in a
285 format prescribed by the department. The annual financial report
286 must include a list of each local governmental entity included
287 in the report and each local governmental entity that failed to
288 provide financial information as required by paragraph (b). The
289 chair of the governing body and the chief financial officer of
290 each local governmental entity shall sign the annual financial
291 report submitted pursuant to this subsection attesting to the
292 accuracy of the information included in the report. The county
293 annual financial report must be a single document that covers
294 each county agency.
295 (b) Each component unit, as defined by generally accepted
296 accounting principles, of a local governmental entity shall
297 provide the local governmental entity, within a reasonable time
298 period as established by the local governmental entity, with
299 financial information necessary to comply with the reporting
300 requirements contained in this section.
301 (c) Each regional planning council created under s.
302 186.504, each local government finance commission, board, or
303 council, and each municipal power corporation created as a
304 separate legal or administrative entity by interlocal agreement
305 under s. 163.01(7) shall submit to the department a copy of its
306 audit report and an annual financial report for the previous
307 fiscal year in a format prescribed by the department.
308 (d) Each local governmental entity that is required to
309 provide for an audit under s. 218.39(1) must submit a copy of
310 the audit report and annual financial report to the department
311 within 45 days after the completion of the audit report but no
312 later than 9 months after the end of the fiscal year.
313 (e) Each local governmental entity that is not required to
314 provide for an audit under s. 218.39 must submit the annual
315 financial report to the department no later than 9 months after
316 the end of the fiscal year. The department shall consult with
317 the Auditor General in the development of the format of annual
318 financial reports submitted pursuant to this paragraph. The
319 format must include balance sheet information used by the
320 Auditor General pursuant to s. 11.45(7)(f). The department must
321 forward the financial information contained within the annual
322 financial reports to the Auditor General in electronic form.
323 This paragraph does not apply to housing authorities created
324 under chapter 421.
325 (f) If the department does not receive a completed annual
326 financial report from a local governmental entity within the
327 required period, it shall notify the Legislative Auditing
328 Committee and the Special District Accountability Program of the
329 Department of Economic Opportunity of the entity’s failure to
330 comply with the reporting requirements.
331 (g) Each local governmental entity’s website must provide a
332 link to the department’s website to view the entity’s annual
333 financial report submitted to the department pursuant to this
334 section. If the local governmental entity does not have an
335 official website, the county government’s website must provide
336 the required link for the local governmental entity.
337 (h) It is the intent of the Legislature to create the
338 Florida Open Financial Statement System, an interactive
339 repository for governmental financial statements.
340 1. The Chief Financial Officer may consult with
341 stakeholders, including the department, the Auditor General, a
342 representative of a municipality or county, a representative of
343 a special district, a municipal bond investor, and an
344 information technology professional employed in the private
345 sector, for input on the design and implementation of the
346 Florida Open Financial Statement System.
347 2. The Chief Financial Officer may choose contractors to
348 build one or more eXtensible Business Reporting Language (XBRL)
349 taxonomies suitable for state, county, municipal, and special
350 district financial filings and to create a software tool that
351 enables financial statement filers to easily create XBRL
352 documents consistent with the taxonomy or taxonomies. The Chief
353 Financial Officer shall recruit and select contractors through
354 an open request for proposals process pursuant to chapter 287.
355 3. The Chief Financial Officer shall require all work to be
356 completed no later than December 31, 2021.
357 4. If the Chief Financial Officer deems the work products
358 adequate, all local governmental financial statements pertaining
359 to fiscal years ending on or after September 1, 2022, must be
360 filed in XBRL format and must meet the validation requirements
361 of the relevant taxonomy.
362 5. A local government that commences filing in XBRL format
363 may not be required to make filings in Portable Document Format.
364 (2) The department shall annually by December 1 file a
365 verified report with the Governor, the Legislature, the Auditor
366 General, and the Special District Accountability Program of the
367 Department of Economic Opportunity showing the revenues, both
368 locally derived and derived from intergovernmental transfers,
369 and the expenditures of each local governmental entity, regional
370 planning council, local government finance commission, and
371 municipal power corporation that is required to submit an annual
372 financial report. The report must include, but is not limited
373 to:
374 (a) The total revenues and expenditures of each local
375 governmental entity that is a component unit included in the
376 annual financial report of the reporting entity.
377 (b) The amount of outstanding long-term debt by each local
378 governmental entity. For purposes of this paragraph, the term
379 “long-term debt” means any agreement or series of agreements to
380 pay money, which, at inception, contemplate terms of payment
381 exceeding 1 year in duration.
382 (3) The department shall notify the President of the Senate
383 and the Speaker of the House of Representatives of any
384 municipality that has not reported any financial activity for
385 the last 4 fiscal years. Such notice must be sufficient to
386 initiate dissolution procedures as described in s.
387 165.051(1)(a). Any special law authorizing the incorporation or
388 creation of the municipality must be included within the
389 notification.
390 Section 5. For the 2018-2019 fiscal year, the sum of
391 $500,000 is appropriated from the General Revenue Fund to the
392 Chief Financial Officer for the development of XBRL taxonomies
393 for state, county, municipal, and special district financial
394 filings.
395 Section 6. Section 284.40, Florida Statutes, is amended to
396 read:
397 284.40 Division of Risk Management; disclosure of certain
398 workers’ compensation-related information by the Department of
399 Financial Services.—
400 (1) It shall be the responsibility of the Division of Risk
401 Management of the Department of Financial Services to administer
402 this part and the provisions of s. 287.131.
403 (2) The claim files maintained by the Division of Risk
404 Management shall be confidential, shall be only for the usage by
405 the Department of Financial Services in fulfilling its duties
406 and responsibilities under this part, and shall be exempt from
407 the provisions of s. 119.07(1).
408 (3) Upon certification by the division director or his or
409 her designee to the custodian of any records maintained by the
410 Department of Children and Families, Department of Health,
411 Agency for Health Care Administration, or Department of Elderly
412 Affairs that such records are necessary to investigate a claim
413 against the Department of Children and Families, Department of
414 Health, Agency for Health Care Administration, or Department of
415 Elderly Affairs being handled by the Division of Risk
416 Management, the records shall be released to the division
417 subject to the provisions of subsection (2), any conflicting
418 provisions as to the confidentiality of such records
419 notwithstanding.
420 (4) Notwithstanding s. 440.1851, the Department of
421 Financial Services may disclose the personal identifying
422 information of an injured or deceased employee to a department
423 contracted vendor for the purpose of ascertaining a claimant’s
424 claims history to investigate the compensability of a claim or
425 to identify and prevent fraud.
426 Section 7. Section 284.50, Florida Statutes, is amended to
427 read:
428 284.50 Loss prevention program; safety coordinators;
429 Interagency Advisory Council on Loss Prevention; employee
430 recognition program; return-to-work programs; risk management
431 programs.—
432 (1) The head of each department of state government, except
433 the Legislature, shall designate a safety coordinator. Such
434 safety coordinator must be an employee of the department and
435 must hold a position which has responsibilities comparable to
436 those of an employee in the Senior Management System. The
437 Department of Financial Services shall provide appropriate
438 training to the safety coordinators to permit them to
439 effectively perform their duties within their respective
440 departments. Within 1 year after being appointed by his or her
441 department head, the safety coordinator shall complete safety
442 coordinator training offered by the Department of Financial
443 Services. Each safety coordinator shall, at the direction of his
444 or her department head:
445 (a) Develop and implement the loss prevention program, a
446 comprehensive departmental safety program which shall include a
447 statement of safety policy and responsibility.
448 (b) Provide for regular and periodic facility and equipment
449 inspections.
450 (c) Investigate job-related employee accidents of his or
451 her department.
452 (d) Establish a program to promote increased safety
453 awareness among employees.
454 (2) There shall be an Interagency Advisory Council on Loss
455 Prevention composed of the safety coordinators from each
456 department and representatives designated by the Division of
457 State Fire Marshal and the Division of Risk Management. The
458 chair of the council is shall be the Director of the Division of
459 Risk Management or his or her designee. The council shall meet
460 at least quarterly to discuss safety problems within state
461 government, to attempt to find solutions for these problems,
462 and, when possible, to assist in the implementation of the
463 solutions. If the safety coordinator of a department or office
464 is unable to attend a council meeting, an alternate, selected by
465 the department head or his or her designee, shall attend the
466 meeting to represent and provide input for that department or
467 office on the council. The council is further authorized to
468 provide for the recognition of employees, agents, and volunteers
469 who make exceptional contributions to the reduction and control
470 of employment-related accidents. The necessary expenses for the
471 administration of this program of recognition shall be
472 considered an authorized administrative expense payable from the
473 State Risk Management Trust Fund.
474 (3) The Department of Financial Services and all agencies
475 that are provided workers’ compensation insurance coverage by
476 the State Risk Management Trust Fund and employ more than 3,000
477 full-time employees shall establish and maintain return-to-work
478 programs for employees who are receiving workers’ compensation
479 benefits. The programs must shall have the primary goal of
480 enabling injured workers to remain at work or return to work to
481 perform job duties within the physical or mental functional
482 limitations and restrictions established by the workers’
483 treating physicians. If no limitation or restriction is
484 established in writing by a worker’s treating physician, the
485 worker is shall be deemed to be able to fully perform the same
486 work duties he or she performed before the injury. Agencies
487 employing more than 3,000 full-time employees shall report
488 return-to-work information to the Department of Financial
489 Services to support the Department of Financial Services’
490 mandatory reporting requirements on agency return-to-work
491 efforts under s. 284.42(1)(b).
492 (4) The Division of Risk Management shall evaluate each
493 agency’s risk management programs, including, but not limited
494 to, return-to-work, safety, and loss prevention programs, at
495 least once every 5 years. Reports, including, but not limited
496 to, any recommended corrective action, resulting from such
497 evaluations must shall be provided to the head of the agency
498 being evaluated, the Chief Financial Officer, and the director
499 of the Division of Risk Management. The agency head must provide
500 to the Division of Risk Management a response to all report
501 recommendations within 45 days and a plan to implement any
502 corrective action to be taken as part of the response. If the
503 agency disagrees with any final report recommendations,
504 including, but not limited to, any recommended corrective
505 action, or if the agency fails to implement any recommended
506 corrective action within a reasonable time, the division shall
507 submit the evaluation report to the legislative appropriations
508 committees. Each agency shall provide risk management program
509 information to the Division of Risk Management to support the
510 Division of Risk Management’s mandatory evaluation and reporting
511 requirements in this subsection.
512 (5) Each agency shall:
513 (a) Review information provided by the Division of Risk
514 Management on claims and losses;
515 (b) Identify any discrepancies between the Division of Risk
516 Management’s records and the agency’s records and report such
517 discrepancies to the Division of Risk Management in writing; and
518 (c) Review and respond to communications from the Division
519 of Risk Management identifying unsafe or inappropriate
520 conditions, policies, procedures, trends, equipment, or actions
521 or incidents that have led or may lead to accidents or claims
522 involving the state.
523 Section 8. Paragraph (b) of subsection (3) of section
524 409.1451, Florida Statutes, is amended to read:
525 409.1451 The Road-to-Independence Program.—
526 (3) AFTERCARE SERVICES.—
527 (b) Aftercare services include, but are not limited to, the
528 following:
529 1. Mentoring and tutoring.
530 2. Mental health services and substance abuse counseling.
531 3. Life skills classes, including credit management and
532 preventive health activities.
533 4. Parenting classes.
534 5. Job and career skills training.
535 6. Counselor consultations.
536 7. Temporary financial assistance for necessities,
537 including, but not limited to, education supplies,
538 transportation expenses, security deposits for rent and
539 utilities, furnishings, household goods, and other basic living
540 expenses.
541 8. Financial literacy skills training pursuant to s.
542 39.6035(1)(c).
543
544 The specific services to be provided under this paragraph shall
545 be determined by an assessment of the young adult and may be
546 provided by the community-based care provider or through
547 referrals in the community.
548 Section 9. Subsections (1) and (3) of section 414.411,
549 Florida Statutes, are amended to read:
550 414.411 Public assistance fraud.—
551 (1) The Department of Financial Services shall investigate
552 all public assistance provided to residents of the state or
553 provided to others by the state. In the course of such
554 investigation the department shall examine all records,
555 including electronic benefits transfer records and make inquiry
556 of all persons who may have knowledge as to any irregularity
557 incidental to the disbursement of public moneys, food
558 assistance, or other items or benefits authorizations to
559 recipients. All public assistance recipients, as a condition
560 precedent to qualification for public assistance under chapter
561 409, chapter 411, or this chapter, must first give in writing,
562 to the Agency for Health Care Administration, the Department of
563 Health, the Department of Education Economic Opportunity, and
564 the Department of Children and Families, as appropriate, and to
565 the Department of Financial Services, consent to make inquiry of
566 past or present employers and records, financial or otherwise.
567 (3) The results of such investigation shall be reported by
568 the Department of Financial Services to the appropriate
569 legislative committees, the Agency for Health Care
570 Administration, the Department of Health, the Department of
571 Education Economic Opportunity, and the Department of Children
572 and Families, and to such others as the department may
573 determine.
574 Section 10. Subsection (3) is added to section 497.168,
575 Florida Statutes, to read:
576 497.168 Members of Armed Forces in good standing with
577 administrative boards.—
578 (3) A member of the United States Armed Forces or a veteran
579 of the United States Armed Forces who was honorably discharged
580 within the 24-month period before the date of an initial
581 application for licensure is exempt from the initial application
582 filing fees under ss. 497.281(1), 497.368(1)(a), 497.369(1)(a),
583 497.369(5), 497.370(1), 497.371, 497.373(1)(a), 497.373(3),
584 497.374(1)(a), 497.374(5), and 497.375(1)(a).
585 Section 11. Subsection (1) of section 624.317, Florida
586 Statutes, is amended to read:
587 624.317 Investigation of agents, adjusters, administrators,
588 service companies, and others.—If it has reason to believe that
589 any person has violated or is violating any provision of this
590 code, or upon the written complaint signed by any interested
591 person indicating that any such violation may exist:
592 (1) The department shall conduct such investigation as it
593 deems necessary of the accounts, records, documents, and
594 transactions pertaining to or affecting the insurance affairs of
595 any general agent, surplus lines agent, adjuster, managing
596 general agent, insurance agent, insurance agency, customer
597 representative, service representative, or other person subject
598 to its jurisdiction, subject to the requirements of s. 626.601.
599 Section 12. Subsection (2) of section 624.34, Florida
600 Statutes, is amended to read:
601 624.34 Authority of Department of Law Enforcement to accept
602 fingerprints of, and exchange criminal history records with
603 respect to, certain persons.—
604 (2) The Department of Law Enforcement may accept
605 fingerprints of individuals who apply for a license as an agent,
606 customer representative, adjuster, service representative, or
607 navigator, or managing general agent or the fingerprints of the
608 majority owner, sole proprietor, partners, officers, and
609 directors of a corporation or other legal entity that applies
610 for licensure with the department or office under the Florida
611 Insurance Code.
612 Section 13. Section 624.4073, Florida Statutes, is amended
613 to read:
614 624.4073 Officers and directors of insolvent insurers.—Any
615 person who was an officer or director of an insurer doing
616 business in this state and who served in that capacity within
617 the 2-year period before prior to the date the insurer became
618 insolvent, for any insolvency that occurs on or after July 1,
619 2002, may not thereafter serve as an officer or director of an
620 insurer authorized in this state or have direct or indirect
621 control over the selection or appointment of an officer or
622 director through contract, trust, or by operation of law, unless
623 the officer or director demonstrates that his or her personal
624 actions or omissions were not a significant contributing cause
625 to the insolvency.
626 Section 14. Subsection (1) of section 624.4094, Florida
627 Statutes, is amended to read:
628 624.4094 Bail bond premiums.—
629 (1) The Legislature finds that a significant portion of
630 bail bond premiums is retained by the licensed bail bond agents
631 or appointed licensed managing general agents. For purposes of
632 reporting in financial statements required to be filed with the
633 office pursuant to s. 624.424, direct written premiums for bail
634 bonds by a domestic insurer in this state shall be reported net
635 of any amounts retained by licensed bail bond agents or
636 appointed licensed managing general agents. However, in no case
637 shall the direct written premiums for bail bonds be less than
638 6.5 percent of the total consideration received by the agent for
639 all bail bonds written by the agent. This subsection also
640 applies to any determination of compliance with s. 624.4095.
641 Section 15. Paragraph (e) of subsection (19) of section
642 624.501, Florida Statutes, is amended to read:
643 624.501 Filing, license, appointment, and miscellaneous
644 fees.—The department, commission, or office, as appropriate,
645 shall collect in advance, and persons so served shall pay to it
646 in advance, fees, licenses, and miscellaneous charges as
647 follows:
648 (19) Miscellaneous services:
649 (e) Insurer’s registration fee for agent exchanging
650 business more than four 24 times in a calendar year under s.
651 626.752, s. 626.793, or s. 626.837, registration fee per agent
652 per year..................................................$30.00
653 Section 16. Subsection (1) of section 624.509, Florida
654 Statutes, is amended to read:
655 624.509 Premium tax; rate and computation.—
656 (1) In addition to the license taxes provided for in this
657 chapter, each insurer shall also annually, and on or before
658 March 1 in each year, except as to wet marine and transportation
659 insurance taxed under s. 624.510, pay to the Department of
660 Revenue a tax on insurance premiums, premiums for title
661 insurance, or assessments, including membership fees and policy
662 fees and gross deposits received from subscribers to reciprocal
663 or interinsurance agreements, and on annuity premiums or
664 considerations, received during the preceding calendar year, the
665 amounts thereof to be determined as set forth in this section,
666 to wit:
667 (a) An amount equal to 1.75 percent of the gross amount of
668 such receipts on account of life and health insurance policies
669 covering persons resident in this state and on account of all
670 other types of policies and contracts, except annuity policies
671 or contracts taxable under paragraph (b) and bail bond policies
672 or contracts taxable under paragraph (c), covering property,
673 subjects, or risks located, resident, or to be performed in this
674 state, omitting premiums on reinsurance accepted, and less
675 return premiums or assessments, but without deductions:
676 1. For reinsurance ceded to other insurers;
677 2. For moneys paid upon surrender of policies or
678 certificates for cash surrender value;
679 3. For discounts or refunds for direct or prompt payment of
680 premiums or assessments; and
681 4. On account of dividends of any nature or amount paid and
682 credited or allowed to holders of insurance policies;
683 certificates; or surety, indemnity, reciprocal, or
684 interinsurance contracts or agreements;
685 (b) An amount equal to 1 percent of the gross receipts on
686 annuity policies or contracts paid by holders thereof in this
687 state; and
688 (c) An amount equal to 1.75 percent of the direct written
689 premiums for bail bonds, excluding any amounts retained by
690 licensed bail bond agents or appointed licensed managing general
691 agents.
692 Section 17. Section 625.071, Florida Statutes, is amended
693 to read:
694 625.071 Special reserve for bail and judicial bonds.—In
695 lieu of the unearned premium reserve required on surety bonds
696 under s. 625.051, the office may require any surety insurer or
697 limited surety insurer to set up and maintain a reserve on all
698 bail bonds or other single-premium bonds without definite
699 expiration date, furnished in judicial proceedings, equal to the
700 lesser of 35 percent of the bail premiums in force or $7 per
701 $1,000 of bail liability. Such reserve shall be reported as a
702 liability in financial statements required to be filed with the
703 office. Each insurer shall file a supplementary schedule showing
704 bail premiums in force and bail liability and the associated
705 special reserve for bail and judicial bonds with financial
706 statements required by s. 624.424. Bail premiums in force do not
707 include amounts retained by licensed bail bond agents or
708 appointed licensed managing general agents, but may not be less
709 than 6.5 percent of the total consideration received for all
710 bail bonds in force.
711 Section 18. Subsection (5) of section 626.112, Florida
712 Statutes, is amended to read:
713 626.112 License and appointment required; agents, customer
714 representatives, adjusters, insurance agencies, service
715 representatives, managing general agents.—
716 (5) A No person may not shall be, act as, or represent or
717 hold himself or herself out to be a managing general agent
718 unless he or she then holds a currently effective producer
719 license and a managing general agent license and appointment.
720 Section 19. Section 626.171, Florida Statutes, is amended
721 to read:
722 626.171 Application for license as an agent, customer
723 representative, adjuster, service representative, managing
724 general agent, or reinsurance intermediary.—
725 (1) The department may not issue a license as agent,
726 customer representative, adjuster, service representative,
727 managing general agent, or reinsurance intermediary to any
728 person except upon written application filed with the
729 department, meeting the qualifications for the license applied
730 for as determined by the department, and payment in advance of
731 all applicable fees. The application must be made under the oath
732 of the applicant and be signed by the applicant. An applicant
733 may permit a third party to complete, submit, and sign an
734 application on the applicant’s behalf, but is responsible for
735 ensuring that the information on the application is true and
736 correct and is accountable for any misstatements or
737 misrepresentations. The department shall accept the uniform
738 application for nonresident agent licensing. The department may
739 adopt revised versions of the uniform application by rule.
740 (2) In the application, the applicant shall set forth:
741 (a) His or her full name, age, social security number,
742 residence address, business address, mailing address, contact
743 telephone numbers, including a business telephone number, and e
744 mail address.
745 (b) A statement indicating the method the applicant used or
746 is using to meet any required prelicensing education, knowledge,
747 experience, or instructional requirements for the type of
748 license applied for.
749 (c) Whether he or she has been refused or has voluntarily
750 surrendered or has had suspended or revoked a license to solicit
751 insurance by the department or by the supervising officials of
752 any state.
753 (d) Whether any insurer or any managing general agent
754 claims the applicant is indebted under any agency contract or
755 otherwise and, if so, the name of the claimant, the nature of
756 the claim, and the applicant’s defense thereto, if any.
757 (e) Proof that the applicant meets the requirements for the
758 type of license for which he or she is applying.
759 (f) The applicant’s gender (male or female).
760 (g) The applicant’s native language.
761 (h) The highest level of education achieved by the
762 applicant.
763 (i) The applicant’s race or ethnicity (African American,
764 white, American Indian, Asian, Hispanic, or other).
765 (j) Such other or additional information as the department
766 may deem proper to enable it to determine the character,
767 experience, ability, and other qualifications of the applicant
768 to hold himself or herself out to the public as an insurance
769 representative.
770
771 However, the application must contain a statement that an
772 applicant is not required to disclose his or her race or
773 ethnicity, gender, or native language, that he or she will not
774 be penalized for not doing so, and that the department will use
775 this information exclusively for research and statistical
776 purposes and to improve the quality and fairness of the
777 examinations.
778 (3) Each application must shall be accompanied by payment
779 of any applicable fee.
780 (4) An applicant for a license as an agent, customer
781 representative, adjuster, service representative, managing
782 general agent, or reinsurance intermediary must submit a set of
783 the individual applicant’s fingerprints, or, if the applicant is
784 not an individual, a set of the fingerprints of the sole
785 proprietor, majority owner, partners, officers, and directors,
786 to the department and must pay the fingerprint processing fee
787 set forth in s. 624.501. Fingerprints must shall be used to
788 investigate the applicant’s qualifications pursuant to s.
789 626.201. The fingerprints must shall be taken by a law
790 enforcement agency, designated examination center, or other
791 department-approved entity. The department shall require all
792 designated examination centers to have fingerprinting equipment
793 and to take fingerprints from any applicant or prospective
794 applicant who pays the applicable fee. The department may not
795 approve an application for licensure as an agent, customer
796 service representative, adjuster, service representative,
797 managing general agent, or reinsurance intermediary if
798 fingerprints have not been submitted.
799 (5) The application for license filing fee prescribed in s.
800 624.501 is not subject to refund.
801 (6) Members of the United States Armed Forces and their
802 spouses, and veterans of the United States Armed Forces who have
803 retired within 24 months before application for licensure, are
804 exempt from the application filing fee prescribed in s. 624.501.
805 Qualified individuals must provide a copy of a military
806 identification card, military dependent identification card,
807 military service record, military personnel file, veteran
808 record, discharge paper, or separation document, or a separation
809 document that indicates such members of the United States Armed
810 Forces are currently in good standing or were honorably
811 discharged.
812 (7) Pursuant to the federal Personal Responsibility and
813 Work Opportunity Reconciliation Act of 1996, each party is
814 required to provide his or her social security number in
815 accordance with this section. Disclosure of social security
816 numbers obtained through this requirement must shall be limited
817 to the purpose of administration of the Title IV-D program for
818 child support enforcement.
819 Section 20. Section 626.202, Florida Statutes, is amended
820 to read:
821 626.202 Fingerprinting requirements.—
822 (1) The requirements for completion and submission of
823 fingerprints under this chapter are deemed to be met when an
824 individual currently licensed under this chapter seeks
825 additional licensure and has previously submitted fingerprints
826 to the department within the past 48 months. However, the
827 department may require the individual to file fingerprints if it
828 has reason to believe that an applicant or licensee has been
829 found guilty of, or pleaded guilty or nolo contendere to, a
830 felony or a crime related to the business of insurance in this
831 state or any other state or jurisdiction.
832 (2) The requirements for completion and submission of
833 fingerprints under this chapter are waived for members of the
834 United States Armed Forces and veterans of the United States
835 Armed Forces who were honorably discharged within the 24-month
836 period before the date of an application for licensure. A
837 qualified individual shall provide a copy of a military
838 identification card, military service record, military personnel
839 file, veteran record, Form DD-214, NGB Form 22, or separation
840 document that indicates such member or veteran of the United
841 States Armed Forces is currently in good standing or was
842 honorably discharged.
843 (3) If there is a change in ownership or control of any
844 entity licensed under this chapter, or if a new partner,
845 officer, or director is employed or appointed, a set of
846 fingerprints of the new owner, partner, officer, or director
847 must be filed with the department or office within 30 days after
848 the change. The acquisition of 10 percent or more of the voting
849 securities of a licensed entity is considered a change of
850 ownership or control. The fingerprints must be taken by a law
851 enforcement agency or other department-approved entity and be
852 accompanied by the fingerprint processing fee in s. 624.501.
853 Section 21. Subsection (9) of section 626.207, Florida
854 Statutes, is amended to read:
855 626.207 Disqualification of applicants and licensees;
856 penalties against licensees; rulemaking authority.—
857 (9) Section 112.011 does not apply to any applicants for
858 licensure under the Florida Insurance Code, including, but not
859 limited to, agents, agencies, adjusters, adjusting firms, or
860 customer representatives, or managing general agents.
861 Section 22. Paragraph (j) of subsection (2) of section
862 626.221, Florida Statutes, is amended to read:
863 626.221 Examination requirement; exemptions.—
864 (2) However, an examination is not necessary for any of the
865 following:
866 (j) An applicant for license as an all-lines adjuster who
867 has the designation of Accredited Claims Adjuster (ACA) from a
868 regionally accredited postsecondary institution in this state,
869 Associate in Claims (AIC) from the Insurance Institute of
870 America, Professional Claims Adjuster (PCA) from the
871 Professional Career Institute, Professional Property Insurance
872 Adjuster (PPIA) from the HurriClaim Training Academy, Certified
873 Adjuster (CA) from ALL LINES Training, Certified Claims Adjuster
874 (CCA) from AE21 Incorporated, Claims Adjuster Certified
875 Professional (CACP) from WebCE, Inc., or Universal Claims
876 Certification (UCC) from Claims and Litigation Management
877 Alliance (CLM) whose curriculum has been approved by the
878 department and which includes comprehensive analysis of basic
879 property and casualty lines of insurance and testing at least
880 equal to that of standard department testing for the all-lines
881 adjuster license. The department shall adopt rules establishing
882 standards for the approval of curriculum.
883 Section 23. Present subsections (6) and (7) of section
884 626.451, Florida Statutes, are redesignated as subsections (5)
885 and (6), respectively, and subsections (1) and (5) and present
886 subsection (6) of that section are amended, to read:
887 626.451 Appointment of agent or other representative.—
888 (1) Each appointing entity or person designated by the
889 department to administer the appointment process appointing an
890 agent, adjuster, service representative, customer
891 representative, or managing general agent in this state shall
892 file the appointment with the department or office and, at the
893 same time, pay the applicable appointment fee and taxes. Every
894 appointment is shall be subject to the prior issuance of the
895 appropriate agent’s, adjuster’s, service representative’s, or
896 customer representative’s, or managing general agent’s license.
897 (5) Any law enforcement agency or state attorney’s office
898 that is aware that an agent, adjuster, service representative,
899 customer representative, or managing general agent has pleaded
900 guilty or nolo contendere to or has been found guilty of a
901 felony shall notify the department or office of such fact.
902 (5)(6) Upon the filing of an information or indictment
903 against an agent, adjuster, service representative, or customer
904 representative, or managing general agent, the state attorney
905 shall immediately furnish the department or office a certified
906 copy of the information or indictment.
907 Section 24. Section 626.521, Florida Statutes, is amended
908 to read:
909 626.521 Character, Credit and character reports.—
910 (1) Before appointing As to each applicant who for the
911 first time in this state an is applying and qualifying for a
912 license as agent, adjuster, service representative, customer
913 representative, or managing general agent, the appointing
914 insurer or employer shall its manager or general agent in this
915 state, in the case of agents, or the appointing general lines
916 agent, in the case of customer representatives, or the employer,
917 in the case of service representatives and of adjusters who are
918 not to be self-employed, shall coincidentally with such
919 appointment or employment secure and thereafter keep on file a
920 full detailed credit and character report made by an established
921 and reputable independent reporting service, relative to the
922 individual so appointed or employed. This subsection does not
923 apply to licensees who self-appoint pursuant to s. 624.501.
924 (2) If requested by the department, the insurer, manager,
925 general agent, general lines agent, or employer, as the case may
926 be, must shall furnish to the department, on a form adopted and
927 furnished by the department, such information as it reasonably
928 requires relative to such individual and investigation.
929 (3) As to an applicant for an adjuster’s or reinsurance
930 intermediary’s license who is to be self-employed, the
931 department may secure, at the cost of the applicant, a full
932 detailed credit and character report made by an established and
933 reputable independent reporting service relative to the
934 applicant.
935 (4) Each person who for the first time in this state is
936 applying and qualifying for a license as a reinsurance
937 intermediary shall file with her or his application for license
938 a full, detailed credit and character report for the 5-year
939 period immediately prior to the date of application for license,
940 made by an established and reputable independent reporting
941 service, relative to the individual if a partnership or sole
942 proprietorship, or the officers if a corporation or other legal
943 entity.
944 (3)(5) Information contained in credit or character reports
945 furnished to or secured by the department under this section is
946 confidential and exempt from the provisions of s. 119.07(1).
947 Section 25. Paragraph (f) of subsection (1) of section
948 626.731, Florida Statutes, is amended to read:
949 626.731 Qualifications for general lines agent’s license.—
950 (1) The department shall not grant or issue a license as
951 general lines agent to any individual found by it to be
952 untrustworthy or incompetent or who does not meet each of the
953 following qualifications:
954 (f) The applicant is not a service representative, a
955 managing general agent in this state, or a special agent or
956 similar service representative of a health insurer which also
957 transacts property, casualty, or surety insurance; except that
958 the president, vice president, secretary, or treasurer,
959 including a member of the board of directors, of a corporate
960 insurer, if otherwise qualified under and meeting the
961 requirements of this part, may be licensed and appointed as a
962 local resident agent.
963 Section 26. Subsection (6) of section 626.7351, Florida
964 Statutes, is amended to read:
965 626.7351 Qualifications for customer representative’s
966 license.—The department shall not grant or issue a license as
967 customer representative to any individual found by it to be
968 untrustworthy or incompetent, or who does not meet each of the
969 following qualifications:
970 (6) Upon the issuance of the license applied for, the
971 applicant is not an agent or, a service representative, or a
972 managing general agent.
973 Section 27. Section 626.744, Florida Statutes, is amended
974 to read:
975 626.744 Service representatives, managing general agents;
976 application for license.—The application for a license as
977 service representative must or the application for a license as
978 managing general agent shall show the applicant’s name,
979 residence address, name of employer, position or title, type of
980 work to be performed by the applicant in this state, and any
981 additional information which the department may reasonably
982 require.
983 Section 28. Section 626.745, Florida Statutes, is amended
984 to read:
985 626.745 Service representatives, managing general agents;
986 managers; activities.—Individuals employed by insurers or their
987 managers, general agents, or representatives as service
988 representatives, and as managing general agents employed for the
989 purpose of or engaged in assisting agents in negotiating and
990 effecting contracts of insurance, shall engage in such
991 activities when, and only when licensed as or, accompanied by a
992 general lines an agent duly licensed and appointed as a resident
993 licensee and appointee under this code.
994 Section 29. Subsection (11) of section 626.7451, Florida
995 Statutes, is amended to read:
996 626.7451 Managing general agents; required contract
997 provisions.—No person acting in the capacity of a managing
998 general agent shall place business with an insurer unless there
999 is in force a written contract between the parties which sets
1000 forth the responsibility for a particular function, specifies
1001 the division of responsibilities, and contains the following
1002 minimum provisions:
1003 (11) An appointed A licensed managing general agent, when
1004 placing business with an insurer under this code, may charge a
1005 per-policy fee not to exceed $25. In no instance shall The
1006 aggregate of per-policy fees for a placement of business
1007 authorized under this section, when combined with any other per
1008 policy fee charged by the insurer, may not result in per-policy
1009 fees that which exceed the aggregate amount of $25. The per
1010 policy fee must shall be a component of the insurer’s rate
1011 filing and must shall be fully earned.
1012
1013 For the purposes of this section and ss. 626.7453 and 626.7454,
1014 the term “controlling person” or “controlling” has the meaning
1015 set forth in s. 625.012(5)(b)1., and the term “controlled
1016 person” or “controlled” has the meaning set forth in s.
1017 625.012(5)(b)2.
1018 Section 30. Subsection (1) of section 626.7455, Florida
1019 Statutes, is amended to read:
1020 626.7455 Managing general agent; responsibility of
1021 insurer.—
1022 (1) An insurer may not No insurer shall enter into an
1023 agreement with any person to manage the business written in this
1024 state by the general lines agents appointed by the insurer or
1025 appointed by the managing general agent on behalf of the insurer
1026 unless the person is properly licensed as an agent and appointed
1027 as a managing general agent in this state. An insurer is shall
1028 be responsible for the acts of its managing general agent when
1029 the agent acts within the scope of his or her authority.
1030 Section 31. Paragraph (e) of subsection (3) and subsection
1031 (5) of section 626.752, Florida Statutes, are amended to read:
1032 626.752 Exchange of business.—
1033 (3)
1034 (e) The brokering agent shall maintain an appropriate and
1035 permanent Brokering Agent’s Register, which must shall be a
1036 permanent record of bound journal in which chronologically
1037 numbered transactions that are entered no later than the day in
1038 which the brokering agent’s application bearing the same number
1039 is signed by the applicant. The numbers must shall reflect an
1040 annual aggregate through numerical sequence and be preceded by
1041 the last two digits of the current year. The initial entry must
1042 shall contain the number of the transaction, date, time, date of
1043 binder, date on which coverage commences, name and address of
1044 applicant, type of coverage desired, name of insurer binding the
1045 risk or to whom the application is to be submitted, and the
1046 amount of any premium collected therefor. By no later than the
1047 date following policy delivery, the policy number and coverage
1048 expiration date must shall be added to the register.
1049 (5) Within 15 days after the last day of each month, any
1050 insurer accepting business under this section shall report to
1051 the department the name, address, telephone number, and social
1052 security number of each agent from which the insurer received
1053 more than four 24 personal lines risks during the calendar year,
1054 except for risks being removed from the Citizens Property
1055 Insurance Corporation and placed with that insurer by a
1056 brokering agent. Once the insurer has reported pursuant to this
1057 subsection an agent’s name to the department, additional reports
1058 on the same agent shall not be required. However, the fee set
1059 forth in s. 624.501 must shall be paid for the agent by the
1060 insurer for each year until the insurer notifies the department
1061 that the insurer is no longer accepting business from the agent
1062 pursuant to this section. The insurer may require that the agent
1063 reimburse the insurer for the fee.
1064 Section 32. Subsection (4) of section 626.793, Florida
1065 Statutes, is amended to read:
1066 626.793 Excess or rejected business.—
1067 (4) Within 15 days after the last day of each month, any
1068 insurer accepting business under this section shall report to
1069 the department the name, address, telephone number, and social
1070 security number of each agent from which the insurer received
1071 more than four 24 risks during the calendar year. Once the
1072 insurer has reported an agent’s name to the department pursuant
1073 to this subsection, additional reports on the same agent shall
1074 not be required. However, the fee set forth in s. 624.501 must
1075 shall be paid for the agent by the insurer for each year until
1076 the insurer notifies the department that the insurer is no
1077 longer accepting business from the agent pursuant to this
1078 section. The insurer may require that the agent reimburse the
1079 insurer for the fee.
1080 Section 33. Subsection (5) of section 626.837, Florida
1081 Statutes, is amended to read:
1082 626.837 Excess or rejected business.—
1083 (5) Within 15 days after the last day of each month, any
1084 insurer accepting business under this section shall report to
1085 the department the name, address, telephone number, and social
1086 security number of each agent from which the insurer received
1087 more than four 24 risks during the calendar year. Once the
1088 insurer has reported pursuant to this subsection an agent’s name
1089 to the department, additional reports on the same agent shall
1090 not be required. However, the fee set forth in s. 624.501 must
1091 shall be paid for the agent by the insurer for each year until
1092 the insurer notifies the department that the insurer is no
1093 longer accepting business from the agent pursuant to this
1094 section. The insurer may require that the agent reimburse the
1095 insurer for the fee.
1096 Section 34. Subsection (5) of section 626.8732, Florida
1097 Statutes, is amended to read:
1098 626.8732 Nonresident public adjuster’s qualifications,
1099 bond.—
1100 (5) After licensure as a nonresident public adjuster, as a
1101 condition of doing business in this state, the licensee must
1102 annually on or before January 1, on a form prescribed by the
1103 department, submit an affidavit certifying that the licensee is
1104 familiar with and understands the insurance code and rules
1105 adopted thereunder and the provisions of the contracts
1106 negotiated or to be negotiated. Compliance with this filing
1107 requirement is a condition precedent to the issuance,
1108 continuation, reinstatement, or renewal of a nonresident public
1109 adjuster’s appointment.
1110 Section 35. Subsection (4) of section 626.8734, Florida
1111 Statutes, is amended to read:
1112 626.8734 Nonresident all-lines adjuster license
1113 qualifications.—
1114 (4) As a condition of doing business in this state as a
1115 nonresident independent adjuster, the appointee must submit an
1116 affidavit to the department certifying that the licensee is
1117 familiar with and understands the insurance laws and
1118 administrative rules of this state and the provisions of the
1119 contracts negotiated or to be negotiated. Compliance with this
1120 filing requirement is a condition precedent to the issuance,
1121 continuation, reinstatement, or renewal of a nonresident
1122 independent adjuster’s appointment.
1123 Section 36. Paragraph (h) of subsection (1) of section
1124 626.88, Florida Statutes, is amended to read:
1125 626.88 Definitions.—For the purposes of this part, the
1126 term:
1127 (1) “Administrator” is any person who directly or
1128 indirectly solicits or effects coverage of, collects charges or
1129 premiums from, or adjusts or settles claims on residents of this
1130 state in connection with authorized commercial self-insurance
1131 funds or with insured or self-insured programs which provide
1132 life or health insurance coverage or coverage of any other
1133 expenses described in s. 624.33(1) or any person who, through a
1134 health care risk contract as defined in s. 641.234 with an
1135 insurer or health maintenance organization, provides billing and
1136 collection services to health insurers and health maintenance
1137 organizations on behalf of health care providers, other than any
1138 of the following persons:
1139 (h) A person appointed licensed as a managing general agent
1140 in this state, whose activities are limited exclusively to the
1141 scope of activities conveyed under such appointment license.
1142
1143 A person who provides billing and collection services to health
1144 insurers and health maintenance organizations on behalf of
1145 health care providers shall comply with the provisions of ss.
1146 627.6131, 641.3155, and 641.51(4).
1147 Section 37. Subsection (2) of section 626.927, Florida
1148 Statutes, is amended to read:
1149 626.927 Licensing of surplus lines agent.—
1150 (2) Any individual, while licensed as and appointed as a
1151 managing general agent as defined in s. 626.015, or service
1152 representative as defined in s. 626.015, and who otherwise
1153 possesses all of the other qualifications of a general lines
1154 agent under this code, and who has a minimum of 1 year of year’s
1155 experience working for a licensed surplus lines agent or who has
1156 successfully completed 60 class hours in surplus and excess
1157 lines in a course approved by the department, may, upon taking
1158 and successfully passing a written examination as to surplus
1159 lines, as given by the department, be licensed as a surplus
1160 lines agent solely for the purpose of placing with surplus lines
1161 insurers property, marine, casualty, or surety coverages
1162 originated by general lines agents; except that no examination
1163 as for a general lines agent’s license shall be required of any
1164 managing general agent or service representative who held a
1165 Florida surplus lines agent’s license as of January 1, 1959.
1166 Section 38. Subsection (3) of section 626.930, Florida
1167 Statutes, is amended to read:
1168 626.930 Records of surplus lines agent.—
1169 (3) Each surplus lines agent shall maintain all surplus
1170 lines business records in his or her general lines agency
1171 office, if licensed as a general lines agent, or in his or her
1172 managing general agency office, if licensed as a managing
1173 general agent or the full-time salaried employee of such general
1174 agent.
1175 Section 39. Subsection (2) of section 626.9892, Florida
1176 Statutes, is amended to read:
1177 626.9892 Anti-Fraud Reward Program; reporting of insurance
1178 fraud.—
1179 (2) The department may pay rewards of up to $25,000 to
1180 persons providing information leading to the arrest and
1181 conviction of persons committing crimes investigated by the
1182 department arising from violations of s. 440.105, s. 624.15, s.
1183 626.9541, s. 626.989, s. 790.164, s. 790.165, s. 790.166, s.
1184 806.01, s. 806.031, s. 806.10, s. 806.111, s. 817.233, or s.
1185 817.234.
1186 Section 40. Subsection (3) of section 633.302, Florida
1187 Statutes, is amended to read:
1188 633.302 Florida Fire Safety Board; membership; duties;
1189 meetings; officers; quorum; compensation; seal.—
1190 (3) The State Fire Marshal’s term on the board, or that of
1191 her or his designee, must shall coincide with the State Fire
1192 Marshal’s term of office. Of the other six members of the board,
1193 one member shall be appointed for a term of 1 year, one member
1194 for a term of 2 years, two members for terms of 3 years, and two
1195 members for terms of 4 years. All other terms are 4 years and
1196 expire on June 30 of the last year of the term. When the term of
1197 a member expires, the State Fire Marshal shall appoint a member
1198 to fill the vacancy for a term of 4 years. The State Fire
1199 Marshal may remove any appointed member for cause. A vacancy in
1200 the membership of the board for any cause must shall be filled
1201 by appointment by the State Fire Marshal for the balance of the
1202 unexpired term.
1203 Section 41. Subsection (2), paragraph (a) of subsection
1204 (3), and paragraphs (b), (c), and (d) of subsection (4) of
1205 section 633.304, Florida Statutes, are amended to read:
1206 633.304 Fire suppression equipment; license to install or
1207 maintain.—
1208 (2) A person who holds a valid fire equipment dealer
1209 license may maintain such license in an inactive status during
1210 which time he or she may not engage in any work under the
1211 definition of the license held. An inactive status license is
1212 shall be void after 4 years or when the license is renewed,
1213 whichever comes first. However, an inactive status license must
1214 be reactivated before December 31 of each odd-numbered year. An
1215 inactive status license may not be reactivated unless the
1216 continuing education requirements of this chapter have been
1217 fulfilled.
1218 (3) Each individual actually performing the work of
1219 servicing, recharging, repairing, hydrotesting, installing,
1220 testing, or inspecting fire extinguishers or preengineered
1221 systems must possess a valid and subsisting permit issued by the
1222 division. Permittees are limited as to specific type of work
1223 performed to allow work no more extensive than the class of
1224 license held by the licensee under whom the permittee is
1225 working. Permits will be issued by the division as follows:
1226 (a) Portable permit: “Portable permittee” means a person
1227 who is limited to performing work no more extensive than the
1228 employing or contractually related licensee in the servicing,
1229 recharging, repairing, installing, or inspecting all types of
1230 portable fire extinguishers.
1231
1232 Any fire equipment permittee licensed pursuant to this
1233 subsection who does not want to engage in servicing, inspecting,
1234 recharging, repairing, hydrotesting, or installing halon
1235 equipment must file an affidavit on a form provided by the
1236 division so stating. Permits will be issued by the division to
1237 show the work authorized thereunder. It is unlawful, unlicensed
1238 activity for a person or firm to falsely hold himself or herself
1239 out to perform any service, inspection, recharge, repair,
1240 hydrotest, or installation except as specifically described in
1241 the permit.
1242 (4)
1243 (b) After initial licensure, each licensee or permittee
1244 must successfully complete a course or courses of continuing
1245 education for fire equipment technicians of at least 16 hours. A
1246 license or permit may not be renewed unless the licensee or
1247 permittee produces documentation of the completion of at least
1248 16 hours of continuing education for fire equipment technicians
1249 during the biennial licensure period. A person who is both a
1250 licensee and a permittee shall be required to complete 16 hours
1251 of continuing education during each renewal period. Each
1252 licensee shall ensure that all permittees in his or her
1253 employment or through a contractual agreement meet their
1254 continuing education requirements. The State Fire Marshal shall
1255 adopt rules describing the continuing education requirements and
1256 shall have the authority upon reasonable belief, to audit a fire
1257 equipment dealer to determine compliance with continuing
1258 education requirements.
1259 (c) The forms of such licenses and permits and applications
1260 therefor must shall be prescribed by the State Fire Marshal; in
1261 addition to such other information and data as that officer
1262 determines is appropriate and required for such forms, there
1263 must shall be included in such forms the following matters. Each
1264 such application must be in such form as to provide that the
1265 data and other information set forth therein shall be sworn to
1266 by the applicant or, if a corporation, by an officer thereof. An
1267 application for a permit must include the name of the licensee
1268 employing, or contractually related to, such permittee, and the
1269 permit issued in pursuance of such application must also set
1270 forth the name of such licensee. A permit is valid solely for
1271 use by the holder thereof in his or her employment by, or
1272 contractual relationship with, the licensee named in the permit.
1273 (d) A license of any class may not be issued or renewed by
1274 the division and a license of any class does not remain
1275 operative unless:
1276 1. The applicant has submitted to the State Fire Marshal
1277 evidence of registration as a Florida corporation or evidence of
1278 compliance with s. 865.09.
1279 2. The State Fire Marshal or his or her designee has by
1280 inspection determined that the applicant possesses the equipment
1281 required for the class of license sought. The State Fire Marshal
1282 shall give an applicant a reasonable opportunity to correct any
1283 deficiencies discovered by inspection. To obtain such
1284 inspection, an applicant with facilities located outside this
1285 state must:
1286 a. Provide a notarized statement from a professional
1287 engineer licensed by the applicant’s state of domicile
1288 certifying that the applicant possesses the equipment required
1289 for the class of license sought and that all such equipment is
1290 operable; or
1291 b. Allow the State Fire Marshal or her or his designee to
1292 inspect the facility. All costs associated with the State Fire
1293 Marshal’s inspection must shall be paid by the applicant. The
1294 State Fire Marshal, in accordance with s. 120.54, may adopt
1295 rules to establish standards for the calculation and
1296 establishment of the amount of costs associated with any
1297 inspection conducted by the State Fire Marshal under this
1298 section. Such rules must shall include procedures for invoicing
1299 and receiving funds in advance of the inspection.
1300 3. The applicant has submitted to the State Fire Marshal
1301 proof of insurance providing coverage for comprehensive general
1302 liability for bodily injury and property damage, products
1303 liability, completed operations, and contractual liability. The
1304 State Fire Marshal shall adopt rules providing for the amounts
1305 of such coverage, but such amounts may not be less than $300,000
1306 for Class A or Class D licenses, $200,000 for Class B licenses,
1307 and $100,000 for Class C licenses; and the total coverage for
1308 any class of license held in conjunction with a Class D license
1309 may not be less than $300,000. The State Fire Marshal may, at
1310 any time after the issuance of a license or its renewal, require
1311 upon demand, and in no event more than 30 days after notice of
1312 such demand, the licensee to provide proof of insurance, on the
1313 insurer’s a form provided by the State Fire Marshal, containing
1314 confirmation of insurance coverage as required by this chapter.
1315 Failure, for any length of time, to provide proof of insurance
1316 coverage as required must shall result in the immediate
1317 suspension of the license until proof of proper insurance is
1318 provided to the State Fire Marshal. An insurer that which
1319 provides such coverage shall notify the State Fire Marshal of
1320 any change in coverage or of any termination, cancellation, or
1321 nonrenewal of any coverage.
1322 4. The applicant applies to the State Fire Marshal,
1323 provides proof of experience, and successfully completes a
1324 prescribed training course offered by the State Fire College or
1325 an equivalent course approved by the State Fire Marshal. This
1326 subparagraph does not apply to any holder of or applicant for a
1327 permit under paragraph (g) or to a business organization or a
1328 governmental entity seeking initial licensure or renewal of an
1329 existing license solely for the purpose of inspecting,
1330 servicing, repairing, marking, recharging, and maintaining fire
1331 extinguishers used and located on the premises of and owned by
1332 such organization or entity.
1333 5. The applicant has a current retestor identification
1334 number that is appropriate for the license for which the
1335 applicant is applying and that is listed with the United States
1336 Department of Transportation.
1337 6. The applicant has passed, with a grade of at least 70
1338 percent, a written examination testing his or her knowledge of
1339 the rules and statutes governing the activities authorized by
1340 the license and demonstrating his or her knowledge and ability
1341 to perform those tasks in a competent, lawful, and safe manner.
1342 Such examination must shall be developed and administered by the
1343 State Fire Marshal, or his or her designee in accordance with
1344 policies and procedures of the State Fire Marshal. An applicant
1345 shall pay a nonrefundable examination fee of $50 for each
1346 examination or reexamination scheduled. A reexamination may not
1347 be scheduled sooner than 30 days after any administration of an
1348 examination to an applicant. An applicant may not be permitted
1349 to take an examination for any level of license more than a
1350 total of four times during 1 year, regardless of the number of
1351 applications submitted. As a prerequisite to licensure of the
1352 applicant, he or she:
1353 a. Must be at least 18 years of age.
1354 b. Must have 4 years of proven experience as a fire
1355 equipment permittee at a level equal to or greater than the
1356 level of license applied for or have a combination of education
1357 and experience determined to be equivalent thereto by the State
1358 Fire Marshal. Having held a permit at the appropriate level for
1359 the required period constitutes the required experience.
1360 c. Must not have been convicted of a felony or a crime
1361 punishable by imprisonment of 1 year or more under the law of
1362 the United States or of any state thereof or under the law of
1363 any other country. “Convicted” means a finding of guilt or the
1364 acceptance of a plea of guilty or nolo contendere in any federal
1365 or state court or a court in any other country, without regard
1366 to whether a judgment of conviction has been entered by the
1367 court having jurisdiction of the case. If an applicant has been
1368 convicted of any such felony, the applicant is shall be excluded
1369 from licensure for a period of 4 years after expiration of
1370 sentence or final release by the Florida Commission on Offender
1371 Review unless the applicant, before the expiration of the 4-year
1372 period, has received a full pardon or has had her or his civil
1373 rights restored.
1374
1375 This subparagraph does not apply to any holder of or applicant
1376 for a permit under paragraph (g) or to a business organization
1377 or a governmental entity seeking initial licensure or renewal of
1378 an existing license solely for the purpose of inspecting,
1379 servicing, repairing, marking, recharging, hydrotesting, and
1380 maintaining fire extinguishers used and located on the premises
1381 of and owned by such organization or entity.
1382 Section 42. Subsection (2) of section 633.314, Florida
1383 Statutes, is amended to read:
1384 633.314 Sale or use of certain types of fire extinguishers
1385 prohibited; penalty.—
1386 (2) It is unlawful for any person, directly or through an
1387 agent, to sell, offer for sale, or give in this state any make,
1388 type, or model of fire extinguisher, either new or used, unless
1389 such make, type, or model of extinguisher has first been tested
1390 and is currently approved or listed by Underwriters
1391 Laboratories, Inc., Factory Mutual Laboratories, Inc., or
1392 another testing laboratory recognized by the State Fire Marshal
1393 as nationally recognized in accordance with procedures adopted
1394 by rule, taking into account the laboratory’s facilities,
1395 procedures, use of nationally recognized standards, and any
1396 other criteria reasonably calculated to reach an informed
1397 determination, and unless such extinguisher carries an
1398 Underwriters Laboratories, Inc., or manufacturer’s serial
1399 number. Such serial number must shall be permanently affixed
1400 stamped on the manufacturer’s identification and instruction
1401 plate.
1402 Section 43. Subsection (7) of section 633.318, Florida
1403 Statutes, is amended to read:
1404 633.318 Certificate application and issuance; permit
1405 issuance; examination and investigation of applicant.—
1406 (7) The State Fire Marshal may, at any time subsequent to
1407 the issuance of the certificate or its renewal, require, upon
1408 demand and in no event more than 30 days after notice of the
1409 demand, the certificateholder to provide proof of insurance
1410 coverage on the insurer’s a form provided by the State Fire
1411 Marshal containing confirmation of insurance coverage as
1412 required by this chapter. Failure to provide proof of insurance
1413 coverage as required, for any length of time, shall result in
1414 the immediate suspension of the certificate until proof of
1415 insurance is provided to the State Fire Marshal.
1416 Section 44. Paragraph (b) of subsection (6) of section
1417 633.408, Florida Statutes, is amended, and paragraph (c) is
1418 added to that subsection, to read:
1419 633.408 Firefighter and volunteer firefighter training and
1420 certification.—
1421 (6)
1422 (b) A Special Certificate of Compliance only authorizes an
1423 individual to serve as an administrative and command head of a
1424 fire service provider.
1425 1. An individual employed as a fire chief, fire
1426 coordinator, fire director, or fire administrator must obtain a
1427 Special Certificate of Compliance within 1 year after beginning
1428 employment.
1429 2. Before beginning employment as a command officer or in a
1430 position directing incident outcomes, an individual must obtain
1431 a Certificate of Compliance or a Special Certificate of
1432 Compliance.
1433 (c) In order to retain a Special Certificate of Compliance,
1434 every 4 years an individual must:
1435 1. Be active as a firefighter;
1436 2. Maintain a current and valid Fire Service Instructor
1437 Certificate, instruct at least 40 hours during the 4-year
1438 period, and provide proof of such instruction to the division,
1439 which proof must be registered in an electronic database
1440 designated by the division; or
1441 3. Within 6 months before the 4-year period expires,
1442 successfully complete a Firefighter Retention Refresher Course
1443 consisting of a minimum of 40 hours of training as prescribed by
1444 rule.
1445 Section 45. Subsection (1) of section 633.416, Florida
1446 Statutes, is amended, present subsections (7) and (8) of that
1447 section are redesignated as subsections (8) and (9),
1448 respectively, and a new subsection (7) is added to that section,
1449 to read:
1450 633.416 Firefighter employment and volunteer firefighter
1451 service; saving clause.—
1452 (1) A fire service provider may not employ an individual
1453 to:
1454 (a) Extinguish fires for the protection of life or property
1455 or to supervise individuals who perform such services unless the
1456 individual holds a current and valid Firefighter Certificate of
1457 Compliance; or
1458 (b) Serve as the administrative and command head of a fire
1459 service provider for a period in excess of 1 year unless the
1460 individual holds a current and valid Firefighter Certificate of
1461 Compliance or Special Certificate of Compliance pursuant to s.
1462 633.408.
1463 (7) A fire service provider may employ veterans who were
1464 honorably discharged and who received Florida-equivalent
1465 training. The standard of equivalency of training must be
1466 verified by the division before such an individual’s employment
1467 begins. Such individual must obtain a Firefighter Certificate of
1468 Compliance within 24 months after employment.
1469 Section 46. Paragraph (e) of subsection (1) of section
1470 633.444, Florida Statutes, is amended to read:
1471 633.444 Division powers and duties; Florida State Fire
1472 College.—
1473 (1) The division, in performing its duties related to the
1474 Florida State Fire College, specified in this part, shall:
1475 (e) Develop a staffing and funding formula for the Florida
1476 State Fire College. The formula must include differential
1477 funding levels for various types of programs, must be based on
1478 the number of full-time equivalent students and information
1479 obtained from scheduled attendance counts taken the first day of
1480 each program, and must provide the basis for the legislative
1481 budget request. As used in this section, a full-time equivalent
1482 student is equal to a minimum of 900 hours in a technical
1483 certificate program and 400 hours in a degree-seeking program.
1484 The funding formula must be as prescribed pursuant to s.
1485 1011.62, must include procedures to document daily attendance,
1486 and must require that attendance records be retained for audit
1487 purposes.
1488 Section 47. Subsection (8) of section 648.27, Florida
1489 Statutes, is amended to read:
1490 648.27 Licenses and appointments; general.—
1491 (8) An application for a managing general agent’s license
1492 must be made by an insurer who proposes to employ or appoint an
1493 individual, partnership, association, or corporation as a
1494 managing general agent. Such application shall contain the
1495 information required by s. 626.744, and the applicant shall pay
1496 the same fee as a managing general agent licensed pursuant to
1497 that section. An individual who is appointed as a managing
1498 general agent to supervise or manage bail bond business written
1499 in this state must also be licensed as a bail bond agent. In the
1500 case of an entity, at least one owner, officer, or director at
1501 each office location must be licensed as a bail bond agent.
1502 Section 48. Present subsection (6) of section 648.34,
1503 Florida Statutes, is redesignated as subsection (7), and a new
1504 subsection (6) is added to that section, to read:
1505 648.34 Bail bond agents; qualifications.—
1506 (6) The requirements for completion and submission of
1507 fingerprints under this chapter are deemed to be met when an
1508 individual currently licensed under this chapter seeks
1509 additional licensure and has previously submitted fingerprints
1510 to the department in support of an application for licensure
1511 under this chapter within the past 48 months. However, the
1512 department may require the individual to file fingerprints if it
1513 has reason to believe that an applicant or licensee has been
1514 found guilty of, or pleaded guilty or nolo contendere to, a
1515 felony or a crime related to the business of insurance in this
1516 or any other state or jurisdiction.
1517 Section 49. For the purpose of incorporating the amendment
1518 made by this act to section 626.221, Florida Statutes, in a
1519 reference thereto, paragraph (b) of subsection (1) of section
1520 626.8734, Florida Statutes, is reenacted to read:
1521 626.8734 Nonresident all-lines adjuster license
1522 qualifications.—
1523 (1) The department shall issue a license to an applicant
1524 for a nonresident all-lines adjuster license upon determining
1525 that the applicant has paid the applicable license fees required
1526 under s. 624.501 and:
1527 (b) Has passed to the satisfaction of the department a
1528 written Florida all-lines adjuster examination of the scope
1529 prescribed in s. 626.241(6); however, the requirement for the
1530 examination does not apply to:
1531 1. An applicant who is licensed as an all-lines adjuster in
1532 his or her home state if that state has entered into a
1533 reciprocal agreement with the department;
1534 2. An applicant who is licensed as a nonresident all-lines
1535 adjuster in a state other than his or her home state and a
1536 reciprocal agreement with the appropriate official of the state
1537 of licensure has been entered into with the department; or
1538 3. An applicant who holds a certification set forth in s.
1539 626.221(2)(j).
1540 Section 50. For the 2018-2019 state fiscal year, the sum of
1541 $1,000,000 in nonrecurring funds from the Insurance Regulatory
1542 Trust Fund is appropriated to the Division of Funeral, Cemetery,
1543 and Consumer Services within the Department of Financial
1544 Services for information technology needs.
1545 Section 51. This act shall take effect July 1, 2018.