Florida Senate - 2022                              CS for SB 578
       By the Committee on Banking and Insurance; and Senator Hooper
       597-01969-22                                           2022578c1
    1                        A bill to be entitled                      
    2         An act relating to hurricane impact programs; amending
    3         s. 215.555, F.S.; providing an annual appropriation
    4         from the Florida Hurricane Catastrophe Fund to fund
    5         specified research; specifying requirements and
    6         exceptions; amending s. 215.559, F.S.; revising the
    7         use of certain funds from the Florida Hurricane
    8         Catastrophe Fund to also include construction of
    9         certain facilities; revising the title of a certain
   10         annual report; deleting construction relating to
   11         Citizens Property Insurance Corporation coverage
   12         rates; delaying the future repeal of the Hurricane
   13         Loss Mitigation Program; providing an effective date.
   15  Be It Enacted by the Legislature of the State of Florida:
   17         Section 1. Paragraph (g) is added to subsection (7) of
   18  section 215.555, Florida Statutes, to read:
   19         215.555 Florida Hurricane Catastrophe Fund.—
   21         (g) Each fiscal year, the Legislature shall appropriate
   22  from the investment income of the Florida Hurricane Catastrophe
   23  Fund $2 million based upon the most recent fiscal year-end
   24  audited financial statements to the University of South Florida
   25  School of Risk Management and Insurance for the purpose of
   26  providing research into the property insurance market of this
   27  state. The school shall use publicly available data to analyze
   28  trends regarding, and to develop recommended policies and best
   29  practices for reducing, property insurance rates, Citizens
   30  Property Insurance Corporation policyholder counts, and property
   31  insurance litigation frequency. The school shall also analyze to
   32  what extent hurricane losses and rebuilding costs influence
   33  these trends. Moneys shall first be available for appropriation
   34  under this paragraph in fiscal year 2022-2023. The investment
   35  income may not be available for appropriation under this
   36  paragraph if the State Board of Administration finds that an
   37  appropriation of investment income from the fund would
   38  jeopardize the actuarial soundness of the fund.
   39         Section 2. Paragraph (b) of subsection (1), paragraph (b)
   40  of subsection (2), and subsection (7) of section 215.559,
   41  Florida Statutes, are amended to read:
   42         215.559 Hurricane Loss Mitigation Program.—A Hurricane Loss
   43  Mitigation Program is established in the Division of Emergency
   44  Management.
   45         (1) The Legislature shall annually appropriate $10 million
   46  of the moneys authorized for appropriation under s.
   47  215.555(7)(c) from the Florida Hurricane Catastrophe Fund to the
   48  division for the purposes set forth in this section. Of the
   49  amount:
   50         (b) Three million dollars in funds shall be used to
   51  construct or retrofit existing facilities used as public
   52  hurricane shelters. Each year the division shall prioritize the
   53  use of these funds for projects included in the annual report of
   54  the Shelter Development Retrofit Report prepared in accordance
   55  with s. 252.385(3). The division must give funding priority to
   56  projects in regional planning council regions that have shelter
   57  deficits and to projects that maximize the use of state funds.
   58         (2)
   59         (b)1. The Manufactured Housing and Mobile Home Mitigation
   60  and Enhancement Program is established. The program shall
   61  require the mitigation of damage to or the enhancement of homes
   62  for the areas of concern raised by the Department of Highway
   63  Safety and Motor Vehicles in the 2004-2005 Hurricane Reports on
   64  the effects of the 2004 and 2005 hurricanes on manufactured and
   65  mobile homes in this state. The mitigation or enhancement must
   66  include, but need not be limited to, problems associated with
   67  weakened trusses, studs, and other structural components caused
   68  by wood rot or termite damage; site-built additions; or tie-down
   69  systems and may also address any other issues deemed appropriate
   70  by Tallahassee Community College, the Federation of Manufactured
   71  Home Owners of Florida, Inc., the Florida Manufactured Housing
   72  Association, and the Department of Highway Safety and Motor
   73  Vehicles. The program shall include an education and outreach
   74  component to ensure that owners of manufactured and mobile homes
   75  are aware of the benefits of participation.
   76         2. The program shall be a grant program that ensures that
   77  entire manufactured home communities and mobile home parks may
   78  be improved wherever practicable. The moneys appropriated for
   79  this program shall be distributed directly to Tallahassee
   80  Community College for the uses set forth under this subsection.
   81         3. Upon evidence of completion of the program, the Citizens
   82  Property Insurance Corporation shall grant, on a pro rata basis,
   83  actuarially reasonable discounts, credits, or other rate
   84  differentials or appropriate reductions in deductibles for the
   85  properties of owners of manufactured homes or mobile homes on
   86  which fixtures or construction techniques that have been
   87  demonstrated to reduce the amount of loss in a windstorm have
   88  been installed or implemented. The discount on the premium must
   89  be applied to subsequent renewal premium amounts. Premiums of
   90  the Citizens Property Insurance Corporation must reflect the
   91  location of the home and the fact that the home has been
   92  installed in compliance with building codes adopted after
   93  Hurricane Andrew. Rates resulting from the completion of the
   94  Manufactured Housing and Mobile Home Mitigation and Enhancement
   95  Program are not considered competitive rates for the purposes of
   96  s. 627.351(6)(d)1. and 2.
   97         4. On or before January 1 of each year, Tallahassee
   98  Community College shall provide a report of activities under
   99  this subsection to the Governor, the President of the Senate,
  100  and the Speaker of the House of Representatives. The report must
  101  set forth the number of homes that have taken advantage of the
  102  program, the types of enhancements and improvements made to the
  103  manufactured or mobile homes and attachments to such homes, and
  104  whether there has been an increase in availability of insurance
  105  products to owners of manufactured or mobile homes.
  107  Tallahassee Community College shall develop the programs set
  108  forth in this subsection in consultation with the Federation of
  109  Manufactured Home Owners of Florida, Inc., the Florida
  110  Manufactured Housing Association, and the Department of Highway
  111  Safety and Motor Vehicles. The moneys appropriated for the
  112  programs set forth in this subsection shall be distributed
  113  directly to Tallahassee Community College to be used as set
  114  forth in this subsection.
  115         (7) This section is repealed June 30, 2032 2022.
  116         Section 3. This act shall take effect upon becoming a law.