Florida Senate - 2021 SB 2010
By Senator Diaz
36-01358-21 20212010__
1 A bill to be entitled
2 An act relating to foreign influence; creating s.
3 286.101, F.S.; providing definitions; requiring any
4 state agency or political subdivision to disclose
5 certain gifts or grants received from any foreign
6 source to the Department of Financial Services within
7 a specified timeframe; providing an exception;
8 requiring any entity that applies for a certain grant
9 or proposes a certain contract to disclose to a state
10 agency or political subdivision any current or prior
11 interest of, contract with, or grant or gift received
12 from a foreign country of concern under certain
13 circumstances; requiring such entity to provide a copy
14 of such disclosure to the department within a
15 specified timeframe before applying for any grant or
16 proposing any contract; requiring such entity to
17 revise its disclosure within a specified timeframe
18 under certain circumstances; requiring the Department
19 of Management Services to screen certain vendors
20 periodically; requiring certain notification on the
21 online procurement system; requiring the Department of
22 Financial Services to establish and maintain an
23 Internet website to publish the disclosures;
24 authorizing the department to establish an online
25 system for making such disclosures; authorizing the
26 Department of Management Services to coordinate with
27 the Department of Financial Services to establish such
28 online system; requiring the Department of Financial
29 Services to investigate allegations of certain
30 violations under certain circumstances; authorizing
31 the department or specified persons to request certain
32 records; providing for the assessment of fines and
33 penalties under certain circumstances; requiring the
34 department to include and maintain a list of
35 ineligible entities on a certain Internet website;
36 providing that information and records relating to a
37 gift or grant from a foreign source are not
38 confidential or exempt from public records
39 requirements; authorizing rulemaking; creating s.
40 288.860, F.S.; providing definitions; prohibiting
41 certain agencies and entities from participating in
42 agreements with or accepting grants received from
43 foreign countries of concern under certain
44 circumstances; prohibiting such agencies and entities
45 from accepting anything of value as a condition for
46 participation in certain programs or endeavors that
47 promote the language or culture of foreign countries
48 of concern; creating s. 1010.25, F.S.; providing
49 definitions; requiring institutions of higher
50 education to semiannually report to certain entities
51 regarding certain gifts they received directly or
52 indirectly from a foreign source; requiring such
53 institutions to provide certain information regarding
54 such gifts; requiring random inspections or audits of
55 gifts or gift agreements by certain inspectors
56 general; providing requirements for such inspections
57 or audits; requiring the Board of Governors or State
58 Board of Education, as applicable, to sanction
59 institutions that fail to report certain gifts within
60 a specified timeframe; providing for a civil penalty
61 for willful violations; requiring that the proceeds
62 from such penalty be deposited in a specified trust
63 fund; authorizing the Attorney General or Chief
64 Financial Officer to bring a civil action under
65 certain circumstances; providing for attorney fees and
66 costs; providing that information and records relating
67 to a gift from a foreign source are not confidential
68 or exempt from public records requirements;
69 authorizing the Board of Governors and State Board of
70 Education to adopt regulations and rules,
71 respectively; creating s. 1010.35, F.S.; requiring
72 certain state universities and other entities to
73 screen certain foreign applicants before employing
74 such applicants for research or research-related
75 support positions; requiring such applicants to
76 provide additional specified information as part of
77 the application process; requiring the president or
78 chief administrative officer of the state university
79 or entity to designate a research integrity office to
80 verify certain information contained in such
81 applications, search certain public databases, and
82 submit certain information to specified federal
83 agencies; prohibiting the employment of an applicant
84 who fails to make certain disclosures; providing an
85 exception; requiring certain records to be maintained
86 by the research integrity office; requiring such
87 office to report the identity of any applicant who was
88 rejected for employment to certain law enforcement
89 agencies; requiring certain inspectors general or the
90 Auditor General to perform an operational audit by a
91 specified date; creating s. 1010.36, F.S.; requiring
92 certain state universities and other entities to
93 establish an international travel approval and
94 monitoring program; providing requirements for such
95 program; providing requirements for preapproval and
96 screening for foreign travel and foreign employment
97 related activities engaged in by faculty, researchers,
98 and research department staff; requiring state
99 universities and entities to maintain certain records
100 relating to foreign travel and activities for at least
101 10 years; requiring a state university or entity to
102 provide a certain annual report to the Board of
103 Governors or the governing board of the applicable
104 entity and publish such report on its Internet
105 website; requiring the Auditor General to perform, by
106 a specified date, an audit of the institution to
107 ensure compliance as part of the institution’s next
108 scheduled operational audit; providing an effective
109 date.
110
111 Be It Enacted by the Legislature of the State of Florida:
112
113 Section 1. Section 286.101, Florida Statutes, is created to
114 read:
115 286.101 Foreign gifts and contracts.—
116 (1) As used in this section, the term:
117 (a) “Contract” means any agreement for the direct benefit
118 or use of any party to such agreement, including an agreement
119 for the sale of commodities or services.
120 (b) “Foreign country of concern” means the People’s
121 Republic of China, the Russian Federation, the Islamic Republic
122 of Iran, the Democratic People’s Republic of Korea, the Republic
123 of Cuba, the Venezuelan regime of Nicolas Maduro, or the Syrian
124 Arab Republic, including any agency of or any other entity under
125 significant control of such foreign country of concern.
126 (c) “Foreign government” means the government of any
127 country, nation, or group of nations, or any province or other
128 political subdivision of any country or nation, other than the
129 government of the United States or the government of a state or
130 political subdivision, including any agent of such foreign
131 government.
132 (d) “Foreign source” means any of the following:
133 1. A foreign government or an agency of a foreign
134 government.
135 2. A legal entity, governmental or otherwise, created
136 solely under the laws of a foreign state or states.
137 3. An individual who is not a citizen or a national of the
138 United States or a territory or protectorate of the United
139 States.
140 4. An agent, including a subsidiary or an affiliate of a
141 foreign legal entity, acting on behalf of a foreign source.
142 (e) “Gift” means any gift of money or property.
143 (f) “Grant” means a transfer of money for a specified
144 purpose, including a conditional gift.
145 (g) “Interest” in an entity means any direct or indirect
146 investment in or loan to the entity valued at 5 percent or more
147 of the entity’s net worth or any form of direct or indirect
148 control exerting similar or greater influence on the governance
149 of the entity.
150 (h) “State agency” means any agency or unit of state
151 government created or established by law.
152 (2) Any state agency or political subdivision that receives
153 any gift or grant with a value of $50,000 or more from any
154 foreign source shall disclose such gift or grant to the
155 Department of Financial Services within 30 days after receiving
156 such gift or grant. Disclosure is not required if such gift or
157 grant is disclosed under s. 1010.25.
158 (3)(a) Any entity, other than a state agency or political
159 subdivision, that applies to a state agency or political
160 subdivision for a grant or proposes a contract having a value of
161 $100,000 or more, except for a proposal to sell commodities or
162 services through the online procurement program established
163 pursuant to s. 287.057(22), shall disclose to the state agency
164 or political subdivision any current or prior interest of, any
165 contract with, or any grant or gift received from a foreign
166 country of concern if such interest, contract, or grant or gift
167 has a value of $50,000 or more and such interest existed at any
168 time or such contract or grant or gift was received or in force
169 at any time during the previous 5 years. Within 1 year before
170 applying for any grant or proposing any contract, such entity
171 must provide a copy of such disclosure to the Department of
172 Financial Services.
173 (b) From the time a disclosure is made under paragraph (a)
174 through the term of any awarded state grant or contract, the
175 entity must revise its disclosure within 30 days after entering
176 into a contract with or receiving a grant or gift from a foreign
177 country of concern or within 30 days after the acquisition of
178 any interest in the entity by a foreign country of concern.
179 (4) At least once every 5 years, the Department of
180 Management Services shall screen each vendor of commodities or
181 services participating in the online procurement system if such
182 vendor has the capacity to fill an order of $100,000 or more.
183 Screening must be conducted through federal agencies responsible
184 for identifying persons and organizations subject to trade
185 sanctions, embargoes, or other restrictions under federal law.
186 If a vendor is identified as being subject to any such
187 sanctions, embargoes, or other restrictions, the vendor must
188 make the disclosures required under subsection (3) until such
189 restriction expires. A notification regarding the applicability
190 of the disclosure requirement in subsection (3) to the vendor
191 must be included on the online procurement system when
192 applicable. The Department of Management Services must ensure
193 that the disclosures made by vendors using the online
194 procurement system are easily accessible by the system’s
195 participants.
196 (5) The Department of Financial Services must establish and
197 maintain an Internet website to publish the disclosures required
198 under this section. The Department of Financial Services may
199 establish an online system for making such disclosures. The
200 Department of Management Services may coordinate with the
201 Department of Financial Services to establish the online system.
202 (6)(a) Upon receiving a referral from an inspector general
203 or other compliance officer of a state agency or political
204 subdivision or any sworn complaint based upon substantive
205 information and reasonable belief, the Department of Financial
206 Services must investigate an allegation of a violation of this
207 section.
208 (b) The Department of Financial Services, an inspector
209 general, or any other agent or compliance officer authorized by
210 a state agency or political subdivision may request records
211 relevant to any reasonable suspicion of a violation of this
212 section. Such entity must provide the required records within 30
213 days after such request or at a later time agreed to by the
214 investigating state agency or political subdivision.
215 (7)(a) Failure to make a disclosure required under this
216 section or failure to provide records requested under paragraph
217 (6)(b) constitutes a civil violation punishable upon a final
218 order of the Department of Financial Services by an
219 administrative fine of $5,000 for a first violation or $10,000
220 for any subsequent violation.
221 (b) In addition to any fine assessed under paragraph (a), a
222 final order determining a third or subsequent violation by a
223 state agency or political subdivision must include a
224 determination of the identity of the officer responsible for
225 acceptance of the undisclosed grant or gift. Such order must
226 also include a referral by the Department of Financial Services
227 to the Governor or other officer authorized to suspend or remove
228 the officer responsible for acceptance of the undisclosed grant
229 or gift from public office. A copy of such referral must be
230 provided to the President of the Senate and the Speaker of the
231 House of Representatives for oversight of such suspension and
232 removal authority.
233 (c) In addition to any fine assessed under paragraph (a), a
234 final order determining a third or subsequent violation by an
235 entity other than a state agency or political subdivision shall
236 automatically disqualify the entity from eligibility for any
237 grant or contract funded by a state agency or any political
238 subdivision until such ineligibility is lifted by the
239 Administration Commission for good cause. The Department of
240 Financial Services shall include and maintain an active and
241 current list of such ineligible entities on the Internet website
242 maintained under subsection (5).
243 (8) Notwithstanding any other law to the contrary,
244 information and records relating to a gift or grant from a
245 foreign source are not confidential or exempt from s. 119.07(1)
246 and s. 24(a), Art. I of the State Constitution.
247 (9)(a) The Department of Management Services may adopt
248 rules necessary to carry out its responsibilities under this
249 section. The rules may identify the federal agencies to be
250 consulted under subsection (4) and the procedure for notifying a
251 vendor of the disclosure requirements under this section when
252 applicable. The Department of Management Services may also adopt
253 rules providing for the application of this section to the
254 online procurement system.
255 (b) The Department of Financial Services may adopt rules
256 necessary to carry out its responsibilities under this section.
257 (c) Any rules necessary to implement this section must be
258 published by December 1, 2021, unless the applicable department
259 head certifies in writing that a delay is necessary and the date
260 by which the proposed rules will be published. Such
261 certification must be published in the Florida Administrative
262 Register and a copy provided to the Joint Administrative
263 Procedures Committee.
264 Section 2. Section 288.860, Florida Statutes, is created to
265 read:
266 288.860 International cultural agreements.—
267 (1) As used in this section, the term:
268 (a) “Foreign country of concern” means the People’s
269 Republic of China, the Russian Federation, the Islamic Republic
270 of Iran, the Democratic People’s Republic of Korea, the Republic
271 of Cuba, the Venezuelan regime of Nicolas Maduro, or the Syrian
272 Arab Republic, including any agency of or any other entity under
273 significant control of such foreign country of concern.
274 (b) “Political subdivision” means any entity under the
275 control of or established for the benefit of a political
276 subdivision.
277 (c) “Public school” means any education institution under
278 the supervision of a school district.
279 (d) “State agency” means any agency or unit of state
280 government created or established by law.
281 (e) “State college” means any postsecondary education
282 institution under the supervision of the State Board of
283 Education, including any entity under the control of or
284 established for the benefit of a state college.
285 (f) “State university” means any state university under the
286 supervision of the Board of Governors, including any entity
287 under the control of or established for the benefit of a state
288 university.
289 (2) A state agency, political subdivision, public school,
290 state college, or state university authorized to expend state
291 appropriated funds or levy ad valorem taxes may not participate
292 in any agreement with or accept any grant from a foreign country
293 of concern, or any entity controlled by a foreign country of
294 concern, which establishes a program or other endeavor to
295 promote the language or culture of a foreign country of concern.
296 (3) A state agency, political subdivision, public school,
297 state college, or state university may not accept anything of
298 value conditioned upon participation in a program or other
299 endeavor to promote the language or culture of a foreign country
300 of concern.
301 Section 3. Section 1010.25, Florida Statutes, is created to
302 read:
303 1010.25 Foreign gift reporting.—
304 (1) As used in this section, the term:
305 (a) “Affiliate organization” means any entity under the
306 control of or established for the benefit of an organization
307 required to report under this section, including a direct
308 support organization.
309 (b) “Direct-support organization” has the same meaning as
310 provided in ss. 1004.28(1)(a), 1004.70(1)(a), and 1004.71(1)(a).
311 (c) “Foreign government” means the government of any
312 country, nation, or group of nations, or any province or other
313 political subdivision of any country or nation, other than the
314 government of the United States or the government of a state or
315 political subdivision, including any agent of such foreign
316 government.
317 (d) “Foreign source” means any of the following:
318 1. A foreign government or an agency of a foreign
319 government.
320 2. A legal entity, governmental or otherwise, created
321 solely under the laws of a foreign state or states.
322 3. An individual who is not a citizen or a national of the
323 United States or a territory or protectorate of the United
324 States.
325 4. An agent, including a subsidiary or an affiliate of a
326 foreign legal entity, acting on behalf of a foreign source.
327 (e) “Gift” means any contract, gift, grant, endowment,
328 award, or donation of money or property of any kind, or any
329 combination thereof, including a conditional or an unconditional
330 pledge of such contract, gift, grant, endowment, award, or
331 donation. For purposes of this paragraph, the term “pledge”
332 means a promise, an agreement, or an expressed intention to give
333 a gift.
334 (f) “Institution of higher education” means a state
335 university; an entity listed in subpart B of part II of chapter
336 1004 that has its own governing board; a Florida College System
337 institution; an independent nonprofit college or university that
338 is located in and chartered by the state and grants
339 baccalaureate or higher degrees; any other institution that has
340 a physical presence in the state and is required to report
341 foreign gifts or contracts pursuant to 20 U.S.C. s. 1011f; or an
342 affiliate organization of an institution of higher education.
343 (2) Each institution of higher education must semiannually
344 report, each January 31 and July 31, any gift received directly
345 or indirectly from a foreign source with a value of $50,000 or
346 more during the fiscal year. If a foreign source provides more
347 than one gift directly or indirectly to an institution of higher
348 education in a single fiscal year and the total value of those
349 gifts is $50,000 or more, all gifts received from that foreign
350 source must be reported. For purposes of this subsection, a gift
351 received from a foreign source through an intermediary shall be
352 considered an indirect gift to the institution of higher
353 education. A report required under this subsection must be made
354 to the following entities:
355 (a) The Board of Governors, if the recipient is a state
356 university, an entity listed in subpart B of part II of chapter
357 1004 that has its own governing board, or an affiliate
358 organization.
359 (b) The State Board of Education, if the recipient is any
360 other institution of higher education or an affiliate
361 organization.
362 (3) For each gift subject to the reporting requirement in
363 subsection (2), the institution of higher education must provide
364 the applicable entity all of the following information, unless
365 otherwise prohibited or deemed confidential under federal or
366 state law:
367 (a) The amount of the gift and the date it was received.
368 (b) The contract start and end date if the gift is a
369 contract.
370 (c) The name of the foreign source and, if not a foreign
371 government, the country of citizenship, if known, and the
372 principal residence or domicile of the foreign source.
373 (d)1. A copy of a gift agreement between the foreign source
374 and the institution of higher education, signed by the foreign
375 source and the chief administrative officer of the institution
376 of higher education, or their respective designees, which must
377 include a detailed description of the purpose for which the gift
378 will be used by the institution of higher education, the
379 identification of the persons for whom the gift is explicitly
380 intended to benefit, and any applicable conditions,
381 requirements, restrictions, or terms made a part of the gift
382 regarding the control of curricula, faculty, student admissions,
383 student fees, or contingencies placed upon the institution of
384 higher education to take a specific public position or to award
385 an honorary degree.
386 2. Beginning July 1, 2022, the Inspector General of the
387 Board of Governors or the Inspector General of the Department of
388 Education, as applicable, shall, within existing resources,
389 randomly inspect or audit at least 10 percent of the total
390 number of gifts or gift agreements received from institutions of
391 higher education pursuant to this paragraph during the previous
392 year. The inspection or audit shall examine the extent to which
393 the institution of higher education exercised due diligence with
394 respect to whether the gift was received from a foreign source,
395 as well as the institution of higher education’s compliance with
396 the requirements of this section.
397 3. Upon the request of the Governor, the President of the
398 Senate, or the Speaker of the House of Representatives, the
399 Inspector General of the Board of Governors or the Inspector
400 General of the Department of Education, as applicable, must
401 inspect or audit a gift or gift agreement.
402 (4) The Board of Governors or the State Board of Education,
403 as applicable, shall exercise the authority provided pursuant to
404 s. 1008.322 or s. 1008.32, respectively, to sanction an
405 institution of higher education that fails to report a
406 reportable gift within 60 days after the reporting deadlines
407 established in subsection (2).
408 (5)(a) An institution of higher education that knowingly,
409 willfully, or negligently fails to disclose the information
410 required by this section shall be subject to a civil penalty of
411 105 percent of the amount of the undisclosed gift, payable only
412 from nonstate funds of the institution of higher education or
413 the affiliate organization that received such gift. The
414 recovered funds must be deposited into the General Revenue Fund.
415 The Board of Governors and the State Board of Education, as
416 applicable, may administratively enforce this section and impose
417 the civil penalty as an administrative penalty.
418 (b) In the absence of enforcement by the Board of Governors
419 or the State Board of Education, as applicable, the Attorney
420 General or Chief Financial Officer may bring a civil action to
421 enforce this section. If such action is successful, the Attorney
422 General or Chief Financial Officer, as applicable, is entitled
423 to reasonable attorney fees and costs.
424 (6) Notwithstanding any other law to the contrary,
425 information and records relating to a gift from a foreign source
426 are not confidential or exempt from s. 119.07(1) and s. 24(a),
427 Art. I of the State Constitution.
428 (7) The Board of Governors may adopt regulations, and the
429 State Board of Education may adopt rules, to implement this
430 section.
431 Section 4. Section 1010.35, Florida Statutes, is created to
432 read:
433 1010.35 Screening foreign researchers.—
434 (1) Beginning July 1, 2021, each state university or entity
435 listed in subpart B of part II of chapter 1004 that receives
436 state appropriations or state tax revenue and has a research
437 budget of $10 million or more must screen applicants for
438 research or research-related support positions who are citizens
439 of a foreign country and who are not permanent residents of the
440 United States, including graduate and undergraduate students.
441 (2) In addition to satisfying all employment and enrollment
442 qualifications imposed by federal law, the Board of Governors or
443 the governing board of the applicable entity must require a
444 foreign applicant as described in subsection (1) to submit a
445 complete copy of his or her most recently submitted Nonimmigrant
446 Visa Application, DS-160; a complete resume and curriculum
447 vitae, including every institution of higher education attended;
448 all previous employment since the applicant’s 18th birthday; and
449 a list of all published material for which the applicant
450 received credit as an author, a researcher, or otherwise or to
451 which the applicant contributed significant research, writing,
452 or editorial support. For applicants who have been continually
453 employed or enrolled in a postsecondary education institution in
454 the United States for 20 years or more, the resume may, but need
455 not, include employment history before the most recent 20 years.
456 (3) The president or chief administrative officer of the
457 state university or applicable entity shall designate a research
458 integrity office to verify all attendance, employment,
459 publications, and contributions listed in the application
460 required in subsection (2). The research integrity office must
461 search public databases for research publications and
462 presentations and public conflict of interest records to
463 identify any research publication or presentation that may have
464 been omitted from the application. The research integrity office
465 must submit the applicant’s name and other identifying
466 information to the Federal Bureau of Investigation or any
467 federal agency willing to scrutinize such applicant for national
468 security or counterespionage purposes and search any public
469 listings of persons subject to sanctions or restrictions under
470 federal law.
471 (4) The requirements of this section must be completed
472 before employing an applicant described in subsection (1) in any
473 research or research-related support position and before
474 granting such applicant any access to research data or
475 activities or other sensitive data. An applicant may not be
476 employed in any research or research-related support position if
477 he or she fails to disclose a substantial educational,
478 employment, or research-related activity or publication or
479 presentation at the time of submitting the application required
480 in subsection (2), unless the department head, or his or
481 designee, certifies in writing the substance of the
482 nondisclosure and the reasons for disregarding such failure to
483 disclose. A copy of such certification must be kept in the
484 investigative file of the research integrity office and must be
485 submitted to the nearest Federal Bureau of Investigation field
486 office.
487 (5) The research integrity office must report to the
488 nearest Federal Bureau of Investigation field office, and to any
489 law enforcement agency designated by the Governor or the Board
490 of Governors and the governing board of the applicable entity
491 described in subsection (1), the identity of any applicant who
492 was rejected for employment based on the scrutiny required by
493 this section or other security-related screening.
494 (6) By July 1, 2025, the Inspector General of the Board of
495 Governors, the inspector general of an entity described in
496 subsection (1), or the Auditor General must perform an
497 operational audit regarding the implementation of this section.
498 Section 5. Section 1010.36, Florida Statutes, is created to
499 read:
500 1010.36 Foreign travel; research institutions.—
501 (1) By January 1, 2022, each state university or entity
502 listed in subpart B of part II of chapter 1004 that receives
503 state appropriations or state tax revenue and has a research
504 budget of $10 million or more must establish an international
505 travel approval and monitoring program. The program must require
506 preapproval and screening by a research integrity office
507 designated by the president or chief administrative officer of
508 the state university or entity for any foreign travel and
509 foreign employment-related activities engaged in by all faculty,
510 researchers, and research department staff. Such requirement is
511 in addition to any other travel approval process applicable to
512 the state university or entity.
513 (2)(a) Preapproval by the research integrity office must be
514 based on the applicant’s review and acknowledgement of guidance
515 published by the employing state university or entity which
516 relates to countries under sanctions or other restrictions of
517 the state or the United States government, including any federal
518 license requirement; customs rules; export controls;
519 restrictions on taking state university or entity property,
520 including intellectual property, abroad; restrictions on
521 presentations, teaching, and interactions with foreign
522 colleagues; and other subjects important to the research and
523 academic integrity of the state university or entity.
524 (b) Preapproval must be based on the binding commitment of
525 the individual traveler not to violate the state university’s or
526 entity’s limitations on travel and activities abroad and to obey
527 all applicable federal laws.
528 (3) The state university or entity must maintain records of
529 all applications for foreign travel and activities; expenses
530 incurred during such travel and activities, including for
531 travel, food, and lodging; and payments and honoraria received
532 during such travel and activities, including for travel, food,
533 and lodging. The state university or entity must also keep
534 records of all teaching, presentations, and other activities
535 related to the individual traveler’s professional, research, and
536 academic activities undertaken during foreign travel. Such
537 records must be retained for at least 10 years or any longer
538 period of time required by any other applicable state or federal
539 law.
540 (4) The state university or entity must provide an annual
541 report of foreign travel and activities listing individual
542 travelers, foreign locations visited, and foreign institutions
543 visited for presentations, teaching, or research to the Board of
544 Governors or the governing board of the applicable entity and
545 publish such report on its Internet website.
546 (5) Unless an operational audit has been previously
547 submitted by the institution’s inspector general or internal
548 auditor, by January 1, 2022, the Auditor General must perform an
549 audit of the institution to ensure compliance with this section
550 as part of the institution’s next scheduled operational audit.
551 Section 6. This act shall take effect July 1, 2021.