Florida Senate - 2025                                    SB 1498
       
       
        
       By Senator Ingoglia
       
       
       
       
       
       11-00196D-25                                          20251498__
    1                        A bill to be entitled                      
    2         An act relating to services to noncitizens; amending
    3         s. 125.0167, F.S.; authorizing a county to require
    4         proof that certain borrowers are lawfully present in
    5         the United States; creating s. 420.0007, F.S.;
    6         defining the terms “down payment assistance” and
    7         “silent second mortgage”; prohibiting state and local
    8         governmental entities and private corporations from
    9         providing down payment assistance to a person who is
   10         not lawfully in the United States; requiring immediate
   11         repayment of downpayment assistance and the initiation
   12         of foreclosure proceedings in certain circumstances;
   13         prohibiting certain persons from receiving down
   14         payment assistance in the future; amending ss.
   15         420.5088 and 420.5096, F.S.; restricting eligibility
   16         for the Florida Homeownership Assistance Program and
   17         the Florida Hometown Hero Program, respectively, to
   18         persons who are lawfully present in the United States;
   19         amending s. 448.09, F.S.; revising penalties,
   20         including suspension of certain licenses and the
   21         imposition of fines, for violating provisions related
   22         to employing unauthorized aliens; requiring that such
   23         fines be deposited into a specified trust fund;
   24         conforming provisions to changes made by the act;
   25         providing increased penalties, including suspension
   26         and revocation of certain licenses and the imposition
   27         of fines, for violating provisions related to
   28         employing unauthorized aliens where specified injury
   29         or death occurs; requiring that such fines be
   30         deposited into a specified trust fund; providing that
   31         persons injured or the next of kin of persons killed
   32         have a cause of action against employers found to be
   33         in violation of a specified provision; amending s.
   34         448.095, F.S.; requiring that all private employers,
   35         rather than only those employing a specified number or
   36         more of employees, use the E-Verify system to verify a
   37         new employee’s employment eligibility; amending s.
   38         560.208, F.S.; prohibiting money services business’
   39         licensees from initiating foreign remittance transfers
   40         unless they have verified that the sender is not an
   41         unauthorized alien; defining the term “foreign
   42         remittance transfer”; requiring the Financial Services
   43         Commission to adopt rules; requiring licensees to
   44         submit certain forms to the Office of Financial
   45         Regulation within a specified timeframe; requiring
   46         licensees to pay specified penalties for any foreign
   47         remittance transferred in violation of specified
   48         provisions; requiring quarterly penalty remittances;
   49         requiring licensees to submit certain forms and
   50         penalties to the office within a specified timeframe;
   51         requiring the office to deposit such penalties into a
   52         certain fund; amending s. 560.211, F.S.; requiring
   53         that licensees make, keep, and preserve for 5 years
   54         records of certain documentation and penalties paid;
   55         creating s. 560.2115, F.S.; authorizing the office to
   56         request, and requiring licensees to provide, records
   57         of certain documentation; authorizing the filing of
   58         complaints; providing criminal penalties for knowingly
   59         filing false or frivolous complaints; imposing
   60         requirements on the office upon receipt of a valid
   61         complaint substantiated by evidence of a violation;
   62         requiring the office to conduct random quarterly
   63         audits of licensees to ensure compliance with
   64         specified provisions; specifying that failure to
   65         comply with certain provisions constitutes grounds for
   66         the suspension of all licenses issued by the office;
   67         prohibiting the office from auditing a licensee more
   68         than a specified number of times within a specified
   69         timeframe; providing an exception; authorizing the
   70         office to adopt emergency rules; providing for
   71         severability; providing an effective date.
   72          
   73  Be It Enacted by the Legislature of the State of Florida:
   74  
   75         Section 1. Paragraph (c) of subsection (5) of section
   76  125.0167, Florida Statutes, is amended to read:
   77         125.0167 Discretionary surtax on documents; adoption;
   78  application of revenue.—
   79         (5)
   80         (c) A county may not impose any requirement as a condition
   81  to receiving any financial assistance on a borrower other than
   82  requiring proof that the borrower is lawfully present in the
   83  United States and that the borrower’s income does not exceed 140
   84  percent of the area median income. In addition to the income
   85  eligibility requirement, borrowers may only be subject to loan
   86  qualifications of lenders licensed to provide mortgage financing
   87  as to the amount of the loan. A county may not create
   88  requirements that restrict participation by eligible borrowers.
   89         Section 2. Section 420.0007, Florida Statutes, is created
   90  to read:
   91         420.0007 Down payment assistance for noncitizens
   92  prohibited.—
   93         (1) For purposes of this section, the term:
   94         (a) “Down payment assistance” includes, but is not limited
   95  to, grants to assist in the purchase of residential property
   96  which take the form of loans or silent second mortgages.
   97         (b) “Silent second mortgage” means a second mortgage used
   98  to secure down payment funds for a residential property which is
   99  not disclosed to the original mortgage lender before closing
  100  occurs.
  101         (2) State and local governmental entities and private
  102  corporations, including, but not limited to, nonprofit
  103  organizations incorporated under chapter 617, may not provide
  104  any form of down payment assistance to a person who is not
  105  lawfully present in the United States.
  106         (3) If a person who is not lawfully present in the United
  107  States is discovered to have received down payment assistance
  108  from a state or local governmental entity or a private
  109  corporation, the person must immediately repay the down payment
  110  assistance. The governmental entity or private corporation shall
  111  initiate foreclosure proceedings as appropriate against such
  112  person if he or she does not make such repayment.
  113         (4) A person who is discovered to have received down
  114  payment assistance in violation of this section is prohibited
  115  from receiving down payment assistance in the future, regardless
  116  of whether his or her presence in the United States becomes
  117  lawful.
  118         Section 3. Section 420.5088, Florida Statutes, is amended
  119  to read:
  120         420.5088 Florida Homeownership Assistance Program.—There is
  121  created The Florida Homeownership Assistance Program is created
  122  for the purpose of assisting low-income and moderate-income
  123  persons who are lawfully present in the United States in
  124  purchasing a home as their primary residence by reducing the
  125  cost of the home with below-market construction financing, by
  126  reducing the amount of down payment and closing costs paid by
  127  the borrower to a maximum of 5 percent of the purchase price, or
  128  by reducing the monthly payment to an affordable amount for the
  129  borrower purchaser. Loans must shall be made available at an
  130  interest rate that does not exceed 3 percent. The balance of any
  131  loan is due at closing if the property is sold, refinanced,
  132  rented, or transferred, unless otherwise approved by the
  133  corporation.
  134         (1) For loans made available pursuant to s.
  135  420.507(23)(a)1. or 2.:
  136         (a) The corporation may underwrite and make those mortgage
  137  loans through the program to such persons or families who have
  138  incomes that do not exceed 120 percent of the state or local
  139  median income, whichever is greater, adjusted for family size.
  140         (b) Loans must shall be made available for the term of the
  141  first mortgage.
  142         (c) Loans may not exceed the lesser of 35 percent of the
  143  purchase price of the home or the amount necessary to enable the
  144  borrower purchaser to meet credit underwriting criteria.
  145         (2) For loans made pursuant to s. 420.507(23)(a)3.:
  146         (a) Availability is limited to nonprofit sponsors or
  147  developers who are selected for program participation pursuant
  148  to this subsection.
  149         (b) Preference must be given to community-based
  150  organizations as defined in s. 420.503.
  151         (c) Priority must be given to projects that have received
  152  state assistance in funding project predevelopment costs.
  153         (d) The benefits of making such loans must shall be
  154  contractually provided to the persons or families purchasing
  155  homes financed under this subsection.
  156         (e) At least 30 percent of the units in a project financed
  157  pursuant to this subsection must be sold to persons or families
  158  who have incomes that do not exceed 80 percent of the state or
  159  local median income, whichever amount is greater, adjusted for
  160  family size; and at least another 30 percent of the units in a
  161  project financed pursuant to this subsection must be sold to
  162  persons or families who have incomes that do not exceed 65
  163  percent of the state or local median income, whichever amount is
  164  greater, adjusted for family size.
  165         (f) The maximum loan amount may not exceed 33 percent of
  166  the total project cost.
  167         (g) A person who purchases a home in a project financed
  168  under this subsection is eligible for a loan authorized by s.
  169  420.507(23)(a)1. or 2. in an aggregate amount not exceeding the
  170  construction loan made pursuant to this subsection. The home
  171  purchaser must meet all the requirements for loan recipients
  172  established pursuant to the applicable loan program.
  173         (h) The corporation shall provide, by rule, for the
  174  establishment of a review committee composed of corporation
  175  staff and shall establish, by rule, a scoring system for
  176  evaluating and ranking applications submitted for construction
  177  loans under this subsection, including, but not limited to, the
  178  following criteria:
  179         1. The affordability of the housing proposed to be built.
  180         2. The direct benefits of the assistance to the persons who
  181  will reside in the proposed housing.
  182         3. The demonstrated capacity of the applicant to carry out
  183  the proposal, including the experience of the development team.
  184         4. The economic feasibility of the proposal.
  185         5. The extent to which the applicant demonstrates potential
  186  cost savings by combining the benefits of different governmental
  187  programs and private initiatives, including the local government
  188  contributions and local government comprehensive planning and
  189  activities that promote affordable housing.
  190         6. The use of the least amount of program loan funds
  191  compared to overall project cost.
  192         7. The provision of homeownership counseling.
  193         8. The applicant’s agreement to exceed the requirements of
  194  paragraph (e).
  195         9. The commitment of first mortgage financing for the
  196  balance of the construction loan and for the permanent loans to
  197  the purchasers of the housing.
  198         10. The applicant’s ability to proceed with construction.
  199         11. The targeting objectives of the corporation which will
  200  ensure an equitable distribution of loans between rural and
  201  urban areas.
  202         12. The extent to which the proposal will further the
  203  purposes of this program.
  204         (i) The corporation may reject any and all applications.
  205         (j) The review committee established by corporation rule
  206  pursuant to this subsection shall make recommendations to the
  207  corporation board regarding program participation under this
  208  subsection. The corporation board shall make the final ranking
  209  for participation based on the scores received in the ranking,
  210  further review of the applications, and the recommendations of
  211  the review committee. The corporation board shall approve or
  212  reject applicants for loans and shall determine the tentative
  213  loan amount available to each program participant. The final
  214  loan amount shall be determined pursuant to rule adopted under
  215  s. 420.507(23)(h).
  216         (3) The corporation shall publish a notice of fund
  217  availability in a publication of general circulation throughout
  218  this the state at least 60 days before prior to the anticipated
  219  availability of funds.
  220         (4) There is authorized to be established by the
  221  corporation with a qualified public depository meeting the
  222  requirements of chapter 280 the Florida Homeownership Assistance
  223  Fund to be administered by the corporation according to the
  224  provisions of this program. Any amounts held in the Florida
  225  Homeownership Assistance Trust Fund for such purposes as of
  226  January 1, 1998, must be transferred to the corporation for
  227  deposit in the Florida Homeownership Assistance Fund, whereupon
  228  the Florida Homeownership Assistance Trust Fund must be closed.
  229  There shall be deposited in the fund moneys from the State
  230  Housing Trust Fund created by s. 420.0005, or moneys received
  231  from any other source, for the purpose of this program and all
  232  proceeds derived from the use of such moneys. In addition, all
  233  unencumbered funds, loan repayments, proceeds from the sale of
  234  any property, and any other proceeds that would otherwise accrue
  235  pursuant to the activities of the programs described in this
  236  section shall be transferred to this fund. In addition, all loan
  237  repayments, proceeds from the sale of any property, and any
  238  other proceeds that would otherwise accrue pursuant to the
  239  activities conducted under the provisions of the Florida
  240  Homeownership Assistance Program shall be deposited in the fund
  241  and may shall not be reverted revert to the General Revenue
  242  Fund. Expenditures from the Florida Homeownership Assistance
  243  Fund are shall not be required to be included in the
  244  corporation’s budget request or made be subject to appropriation
  245  by the Legislature.
  246         (5) No more than one-fifth of the funds available in the
  247  Florida Homeownership Assistance Fund may be made available to
  248  provide loan loss insurance reserve funds to facilitate
  249  homeownership for eligible persons.
  250         Section 4. Subsections (2) and (3) of section 420.5096,
  251  Florida Statutes, are amended to read:
  252         420.5096 Florida Hometown Hero Program.—
  253         (2) The Florida Hometown Hero Program is created to assist
  254  Florida’s hometown workforce in attaining homeownership by
  255  providing financial assistance to residents to purchase a home
  256  as their primary residence. Under the program, a borrower who is
  257  lawfully present in the United States may apply to the
  258  corporation for a loan to reduce the amount of the down payment
  259  and closing costs paid by the borrower by a minimum of $10,000
  260  and up to 5 percent of the first mortgage loan, not exceeding
  261  $35,000. Loans must be made available at a zero percent interest
  262  rate and must be made available for the term of the first
  263  mortgage. The balance of any loan is due at closing if the
  264  property is sold, refinanced, rented, or transferred, unless
  265  otherwise approved by the corporation.
  266         (3) For loans made available pursuant to s.
  267  420.507(23)(a)1. or 2., the corporation may underwrite and make
  268  those mortgage loans through the program to persons or families
  269  who are lawfully present in the United States and who have
  270  household incomes that do not exceed 150 percent of the state
  271  median income or local median income, whichever is greater. A
  272  borrower must be seeking to purchase a home as a primary
  273  residence; must be a first-time homebuyer and a Florida
  274  resident; and must be employed full-time by a Florida-based
  275  employer. The borrower must provide documentation of full-time
  276  employment or full-time status for self-employed individuals.
  277  The requirement to be a first-time homebuyer does not apply to a
  278  borrower who is an active duty servicemember of a branch of the
  279  armed forces or the Florida National Guard, as defined in s.
  280  250.01, or a veteran.
  281         Section 5. Present subsection (5) of section 448.09,
  282  Florida Statutes, is redesignated as subsection (8), a new
  283  subsection (5) and subsections (6) and (7) are added to that
  284  section, and present subsections (3) and (4) of that section are
  285  amended, to read:
  286         448.09 Unauthorized aliens; employment prohibited.—
  287         (3) For an employer that knowingly violates this section,
  288  the department shall suspend all licenses issued by a licensing
  289  agency pursuant to chapter 120 for 1 year and impose a fine not
  290  to exceed $10,000. Fines must be deposited in the Crimes
  291  Compensation Trust Fund For a violation of this section, the
  292  department shall place the employer on probation for a 1-year
  293  period and require that the employer report quarterly to the
  294  department to demonstrate compliance with the requirements of
  295  subsection (1) and s. 448.095.
  296         (4) For an employer that knowingly violates this section a
  297  second time, the department shall suspend or revoke all licenses
  298  issued by a licensing agency pursuant to chapter 120 for 5 years
  299  and impose a fine not to exceed $100,000. Fines must be
  300  deposited in the Crimes Compensation Trust Fund Any violation of
  301  this section which takes place within 24 months after a previous
  302  violation constitutes grounds for the suspension or revocation
  303  of all licenses issued by a licensing agency subject to chapter
  304  120. The department shall take the following actions for a
  305  violation involving:
  306         (a) One to ten unauthorized aliens, suspension of all
  307  applicable licenses held by a private employer for up to 30 days
  308  by the respective agencies that issued them.
  309         (b) Eleven to fifty unauthorized aliens, suspension of all
  310  applicable licenses held by a private employer for up to 60 days
  311  by the respective agencies that issued them.
  312         (c) More than fifty unauthorized aliens, revocation of all
  313  applicable licenses held by a private employer by the respective
  314  agencies that issued them.
  315         (5) For an employer that knowingly violates this section a
  316  third time, the department shall permanently revoke all licenses
  317  issued by a licensing agency pursuant to chapter 120, both for
  318  the employer personally and for the business generally, and
  319  impose a fine not to exceed $250,000. Fines must be deposited in
  320  the Crimes Compensation Trust Fund.
  321         (6) For an employer that knowingly violates this section,
  322  and an unauthorized alien employee’s actions result in injuries
  323  to another person, the department shall suspend or revoke all
  324  licenses issued by a licensing agency pursuant to chapter 120
  325  for 5 years and impose a fine not to exceed $100,000. Fines must
  326  be deposited in the Crimes Compensation Trust Fund.
  327         (7) For an employer that knowingly violates this section,
  328  and an unauthorized alien employee’s actions result in the death
  329  of another person, the department shall permanently revoke all
  330  licenses issued by a licensing agency pursuant to chapter 120
  331  and impose a fine not to exceed $500,000. Fines must be
  332  deposited in the Crimes Compensation Trust Fund.
  333         (8) A person injured or the next of kin of a person killed
  334  may bring a cause of action for damages against an employer
  335  found to be in violation in subsection (6) or subsection (7).
  336         Section 6. Paragraph (b) of subsection (2) of section
  337  448.095, Florida Statutes, is amended to read:
  338         448.095 Employment eligibility.—
  339         (2) EMPLOYMENT VERIFICATION.—
  340         (b)1. A public agency shall use the E-Verify system to
  341  verify a new employee’s employment eligibility as required under
  342  paragraph (a).
  343         2. Beginning on July 1, 2025 2023, all a private employers
  344  employer with 25 or more employees shall use the E-Verify system
  345  to verify a new employee’s employment eligibility as required
  346  under paragraph (a).
  347         3. Each employer required to use the E-Verify system under
  348  this paragraph must certify on its first return each calendar
  349  year to the tax service provider that it is in compliance with
  350  this section when making contributions to or reimbursing the
  351  state’s unemployment compensation or reemployment assistance
  352  system. An employer that voluntarily uses the E-Verify system
  353  may also make such a certification on its first return each
  354  calendar year in order to document such use.
  355         Section 7. Subsection (7) is added to section 560.208,
  356  Florida Statutes, to read:
  357         560.208 Conduct of business.—In addition to the
  358  requirements specified in s. 560.1401, a licensee under this
  359  part:
  360         (7)(a) May not initiate a foreign remittance transfer
  361  unless the licensee has verified that the sender is not an
  362  unauthorized alien as defined in s. 908.111. As used in this
  363  subsection, the term “foreign remittance transfer” means a
  364  remittance transfer as defined in the Electronic Fund Transfer
  365  Act, 15 U.S.C. s. 1693o-1, as amended, the recipient of which is
  366  located in any country other than the United States. The
  367  commission shall adopt rules relating to acceptable forms of
  368  documentation that a licensee shall use to verify that the
  369  sender of a foreign remittance transfer is not an unauthorized
  370  alien as defined in s. 908.111. The licensee shall provide
  371  confirmation of verification on such forms as the commission may
  372  prescribe for this purpose. All required forms must be submitted
  373  to the office not later than the 15th day of the month following
  374  the close of each calendar quarter.
  375         (b) Shall pay a penalty equal to 25 percent of the United
  376  States dollar amount transferred, excluding any fees or charges
  377  imposed by the licensee, for any foreign remittance transfer
  378  initiated in violation of paragraph (a). The licensee shall
  379  remit penalties owed under this paragraph quarterly to the
  380  office in addition to any such forms as the office may prescribe
  381  for such purpose. All required penalties and forms must be
  382  submitted to the office not later than the 15th day of the month
  383  following the close of each calendar quarter. Notwithstanding
  384  ss. 252.3711 and 560.144, the office shall deposit penalties
  385  collected pursuant to this paragraph in the Emergency
  386  Preparedness and Response Fund under s. 252.3711.
  387  Notwithstanding any other provision of this chapter, failure to
  388  comply with paragraph (a) does not subject a licensee to any
  389  penalty other than the penalty imposed by this paragraph.
  390         Section 8. Present paragraphs (i) and (j) of subsection (1)
  391  of section 560.211, Florida Statutes, are redesignated as
  392  paragraphs (j) and (k), and a new paragraph (i) is added to that
  393  subsection, to read:
  394         560.211 Required records.—
  395         (1) In addition to the record retention requirements under
  396  s. 560.1105, each licensee under this part must make, keep, and
  397  preserve the following books, accounts, records, and documents
  398  for 5 years:
  399         (i) Records of:
  400         1. The documentation used to verify that the sender of a
  401  foreign remittance transfer is not an unauthorized alien as
  402  defined in s. 908.111.
  403         2. Penalties paid pursuant to s. 560.208(7)(b), including
  404  the date and amount of each foreign remittance transfer and the
  405  name, date of birth, and address of each sender.
  406         Section 9. Section 560.2115, Florida Statutes, is created
  407  to read:
  408         560.2115 Required records audit.—
  409         (1) For the purpose of enforcement of this section, the
  410  office may at any time request, and the licensee must provide,
  411  records of documentation used to verify that the sender of a
  412  foreign remittance transfer is not an unauthorized alien as
  413  defined in s. 908.111.
  414         (2) A person who has a good faith belief that a licensee is
  415  failing to comply with s. 560.208(7)(a) may file a complaint
  416  with the office.
  417         (3) A person who knowingly files a false or frivolous
  418  complaint under subsection (2), including any complaint that
  419  violates federal law, commits a misdemeanor of the second
  420  degree, punishable as provided in s. 775.082 or s. 775.083.
  421         (4) Upon receipt of a valid complaint substantiated by
  422  evidence of a violation of s. 560.208(7)(a), the office shall
  423  notify the licensee of the complaint and direct the licensee to
  424  pay a penalty pursuant to s. 560.208(7)(b).
  425         (5) In addition to the requirements under subsection (1),
  426  beginning July 1, 2026, the office shall conduct random
  427  quarterly audits of licensees to ensure compliance with s.
  428  560.208(7)(a). During an audit, a licensee shall produce records
  429  of the documentation used to verify that each sender of a
  430  foreign remittance transfer is not an unauthorized alien. A
  431  licensee that fails to comply with s. 560.208(7)(a) is subject
  432  to the penalty pursuant to s. 560.208(7)(b).
  433         (6) Failure to comply with subsection (5) constitutes
  434  grounds for the suspension of all licenses held by the licensee
  435  which were issued by the office.
  436         (7) The office may not audit a licensee more than once
  437  every 2 years unless an audit within the last 6 months found the
  438  licensee out of compliance with s. 560.208(7)(a).
  439         Section 10. The Office of Financial Regulation, on behalf
  440  of the Financial Services Commission, is authorized, and all
  441  conditions are deemed met, to adopt emergency rules pursuant to
  442  s. 120.54(4), Florida Statutes, to implement the provisions of
  443  this section. Notwithstanding any other provision of law,
  444  emergency rules adopted pursuant to this section are effective
  445  for 6 months after adoption and may be renewed during the
  446  pendency of procedures to adopt permanent rules addressing the
  447  subject of the emergency rules.
  448         Section 11. If any provision of this act or its application
  449  to any person or circumstance is held invalid, the invalidity
  450  does not affect other provisions or applications of this act
  451  which can be given effect without the invalid provisions or
  452  application, and to this end the provisions of this act are
  453  severable.
  454         Section 12. This act shall take effect July 1, 2025.