Bill Amendment: FL S0084 | 2013 | Regular Session
NOTE: For additional amemendments please see the Bill Drafting List
Bill Title: Public-private Partnerships
Status: 2013-05-02 - Laid on Table, companion bill(s) passed, see CS/CS/HB 85 (Ch. 2013-223) [S0084 Detail]
Download: Florida-2013-S0084-Senate_Floor_Amendment_Delete_All_815352.html
Bill Title: Public-private Partnerships
Status: 2013-05-02 - Laid on Table, companion bill(s) passed, see CS/CS/HB 85 (Ch. 2013-223) [S0084 Detail]
Download: Florida-2013-S0084-Senate_Floor_Amendment_Delete_All_815352.html
Florida Senate - 2013 SENATOR AMENDMENT Bill No. CS for CS for CS for SB 84 Barcode 815352 LEGISLATIVE ACTION Senate . House . . . Floor: WD/2R . 05/01/2013 09:39 AM . ————————————————————————————————————————————————————————————————— ————————————————————————————————————————————————————————————————— Senator Diaz de la Portilla moved the following: 1 Senate Amendment (with title amendment) 2 3 Delete everything after the enacting clause 4 and insert: 5 Section 1. Section 255.60, Florida Statutes, is amended to 6 read: 7 255.60 Special contracts with charitable not-for-profit 8 youth organizations.—The state, or the governing body of any 9 political subdivision of the state, or a public-private 10 partnership is authorized, but not required, to contract for 11 public service work with a not-for-profit organizationsuch as12highway and park maintenance, notwithstanding competitive sealed 13 bid procedures required under this chapter, or chapter 287, or 14 any municipal or county charter, upon compliance with this 15 section. 16 (1) The contractor or supplier must meet the following 17 conditions: 18 (a) The contractor or supplier must be a not-for-profit 19 corporation incorporated under chapter 617 and in good standing. 20 (b) The contractor or supplier must hold exempt status 21 under s. 501(a) of the Internal Revenue Code, as an organization 22 described in s. 501(c)(3) of the Internal Revenue Code. 23 (c) For youth organizations, the corporate charter of the 24 contractor or supplier must state that the corporation is 25 organized as a charitable youth organization exclusively for at 26 risk youths enrolled in a work-study program. 27 (d) Administrative salaries and benefits for any such 28 corporation shall not exceed 15 percent of gross revenues. Field 29 supervisors shall not be considered administrative overhead. 30 (2) The contract, if approved by authorized agency 31 personnel of the state, or the governing body of a political 32 subdivision, or the public-private partnership, as appropriate, 33 must provide at a minimum that: 34 (a) For youth organizations, labor shall be performed 35 exclusively by at-risk youth and their direct supervisors; and 36 shall not be subject to subcontracting. 37 (b) For the preservation, maintenance, and improvement of 38 park land, the property must be at least 20 acres with 39 contiguous public facilities that are capable of seating at 40 least 5,000 people in a permanent structure. 41 (c) For public education buildings, the building must be at 42 least 90,000 square feet. 43 (d)(b)Payment must be production-based. 44 (e)(c)The contract will terminate should the contractor or 45 supplier no longer qualify under subsection (1). 46 (f)(d)The supplier or contractor has instituted a drug 47 free workplace program substantially in compliance with the 48 provisions of s. 287.087. 49 (g)(e)The contractor or supplier agrees to be subject to 50 review and audit at the discretion of the Auditor General in 51 order to ensure that the contractor or supplier has complied 52 with this section. 53 (3) ANocontract under this section may not exceed the 54 annual sum of $250,000. 55 (4) Should a court find that a contract purporting to have 56 been entered into pursuant to this section does not so qualify, 57 the court may order that the contract be terminated on 58 reasonable notice to the parties. The court shall not require 59 disgorgement of any moneys earned for goods or services actually 60 delivered or supplied. 61 (5) Nothing in this section shall excuse any person from 62 compliance with ss. 287.132-287.134. 63 Section 2. Section 287.05712, Florida Statutes, is created 64 to read: 65 287.05712 Public-private partnerships.— 66 (1) DEFINITIONS.—As used in this section, the term: 67 (a) “Affected local jurisdiction” means a county, 68 municipality, or special district in which all or a portion of a 69 qualifying project is located. 70 (b) “Develop” means to plan, design, finance, lease, 71 acquire, install, construct, or expand. 72 (c) “Fees” means charges imposed by the private entity of a 73 qualifying project for use of all or a portion of such 74 qualifying project pursuant to a comprehensive agreement. 75 (d) “Lease payment” means any form of payment, including a 76 land lease, by a public entity to the private entity of a 77 qualifying project for the use of the project. 78 (e) “Material default” means a nonperformance of its duties 79 by the private entity of a qualifying project which jeopardizes 80 adequate service to the public from the project. 81 (f) “Operate” means to finance, maintain, improve, equip, 82 modify, or repair. 83 (g) “Private entity” means any natural person, corporation, 84 general partnership, limited liability company, limited 85 partnership, joint venture, business trust, public-benefit 86 corporation, nonprofit entity, or other private business entity. 87 (h) “Proposal” means a plan for a qualifying project with 88 detail beyond a conceptual level for which terms such as fixing 89 costs, payment schedules, financing, deliverables, and project 90 schedule are defined. 91 (i) “Qualifying project” means: 92 1. A facility or project that serves a public purpose, 93 including, but not limited to, any ferry or mass transit 94 facility, vehicle parking facility, airport or seaport facility, 95 rail facility or project, fuel supply facility, oil or gas 96 pipeline, medical or nursing care facility, recreational 97 facility, sporting or cultural facility, or educational facility 98 or other building or facility that is used or will be used by a 99 public educational institution, or any other public facility or 100 infrastructure that is used or will be used by the public at 101 large or in support of an accepted public purpose or activity; 102 2. An improvement, including equipment, of a building that 103 will be principally used by a public entity or the public at 104 large or that supports a service delivery system in the public 105 sector; 106 3. A water, wastewater, or surface water management 107 facility or other related infrastructure; or 108 4. Notwithstanding any provision of this section, for 109 projects that involve a facility owned or operated by the 110 governing board of a county, district, or municipal hospital or 111 health care system, or projects that involve a facility owned or 112 operated by a municipal electric utility, only those projects 113 that the governing board designates as qualifying projects 114 pursuant to this section. 115 (j) “Responsible public entity” means a county, 116 municipality, school board, or any other political subdivision 117 of the state; a public body corporate and politic; or a regional 118 entity that serves a public purpose and is authorized to develop 119 or operate a qualifying project. 120 (k) “Revenues” means the income, earnings, user fees, lease 121 payments, or other service payments relating to the development 122 or operation of a qualifying project, including, but not limited 123 to, money received as grants or otherwise from the Federal 124 Government, a public entity, or an agency or instrumentality 125 thereof in aid of the qualifying project. 126 (l) “Service contract” means a contract between a public 127 entity and the private entity which defines the terms of the 128 services to be provided with respect to a qualifying project. 129 (2) LEGISLATIVE FINDINGS AND INTENT.—The Legislature finds 130 that there is a public need for the construction or upgrade of 131 facilities that are used predominantly for public purposes and 132 that it is in the public’s interest to provide for the 133 construction or upgrade of such facilities. 134 (a) The Legislature also finds that: 135 1. There is a public need for timely and cost-effective 136 acquisition, design, construction, improvement, renovation, 137 expansion, equipping, maintenance, operation, implementation, or 138 installation of projects serving a public purpose, including 139 educational facilities, transportation facilities, water or 140 wastewater management facilities and infrastructure, technology 141 infrastructure, roads, highways, bridges, and other public 142 infrastructure and government facilities within the state which 143 serve a public need and purpose, and that such public need may 144 not be wholly satisfied by existing procurement methods. 145 2. There are inadequate resources to develop new 146 educational facilities, transportation facilities, water or 147 wastewater management facilities and infrastructure, technology 148 infrastructure, roads, highways, bridges, and other public 149 infrastructure and government facilities for the benefit of 150 residents of this state, and that a public-private partnership 151 has demonstrated that it can meet the needs by improving the 152 schedule for delivery, lowering the cost, and providing other 153 benefits to the public. 154 3. There may be state and federal tax incentives that 155 promote partnerships between public and private entities to 156 develop and operate qualifying projects. 157 4. A procurement under this section serves the public 158 purpose of this section if such procurement facilitates the 159 timely development or operation of a qualifying project. 160 (b) It is the intent of the Legislature to encourage 161 investment in the state by private entities; to facilitate 162 various bond financing mechanisms, private capital, and other 163 funding sources for the development and operation of qualifying 164 projects, including expansion and acceleration of such financing 165 to meet the public need; and to provide the greatest possible 166 flexibility to public and private entities contracting for the 167 provision of public services. 168 (3) PUBLIC-PRIVATE PARTNERSHIP GUIDELINES TASK FORCE.- 169 (a) There is created the Partnership for Public Facilities 170 and Infrastructure Act Guidelines Task Force for the purpose of 171 recommending guidelines for the Legislature to consider for 172 purposes of creating a uniform process for establishing public 173 private partnerships, including the types of factors responsible 174 public entities should review and consider when processing 175 requests for public-private partnership projects pursuant to 176 this section. 177 (b) The task force shall be composed of seven members, as 178 follows: 179 1. The Secretary of Management Services or his or her 180 designee, who shall serve as chair of the task force. 181 2. Six members appointed by the Governor, as follows: 182 a. One county government official. 183 b. One municipal government official. 184 c. One district school board member. 185 d. Three representatives of the business community. 186 (c) Task force members must be appointed by July 31, 2013. 187 By August 31, 2013, the task force shall meet to establish 188 procedures for the conduct of its business and to elect a vice 189 chair. The task force shall meet at the call of the chair. A 190 majority of the members of the task force constitutes a quorum, 191 and a quorum is necessary for the purpose of voting on any 192 action or recommendation of the task force. All meetings shall 193 be held in Tallahassee, unless otherwise decided by the task 194 force, and then no more than two such meetings may be held in 195 other locations for the purpose of taking public testimony. 196 Administrative and technical support shall be provided by the 197 department. Task force members shall serve without compensation 198 and are not entitled to reimbursement for per diem or travel 199 expenses. 200 (d) In reviewing public-private partnerships and developing 201 recommendations, the task force must consider: 202 1. Opportunities for competition through public notice and 203 the availability of representatives of the responsible public 204 entity to meet with private entities considering a proposal. 205 2. Reasonable criteria for choosing among competing 206 proposals. 207 3. Suggested timelines for selecting proposals and 208 negotiating an interim or comprehensive agreement. 209 4. If an accelerated selection and review and documentation 210 timelines should be considered for proposals involving a 211 qualifying project that the responsible public entity deems a 212 priority. 213 5. Procedures for financial review and analysis which, at a 214 minimum, include a cost-benefit analysis, an assessment of 215 opportunity cost, and consideration of the results of all 216 studies and analyses related to the proposed qualifying project. 217 6. The adequacy of the information released when seeking 218 competing proposals and providing for the enhancement of that 219 information, if deemed necessary, to encourage competition. 220 7. Current exemptions from public records and public 221 meetings requirements, if any changes to those exemptions are 222 necessary, or if any new exemptions should be created in order 223 to maintain the confidentiality of financial and proprietary 224 information received as part of an unsolicited proposal. 225 8. Recommendations regarding the authority of the 226 responsible public entity to engage the services of qualified 227 professionals, which may include a Florida-registered 228 professional or a certified public accountant, not otherwise 229 employed by the responsible public entity, to provide an 230 independent analysis regarding the specifics, advantages, 231 disadvantages, and long-term and short-term costs of a request 232 by a private entity for approval of a qualifying project, unless 233 the governing body of the public entity determines that such 234 analysis should be performed by employees of the public entity. 235 (e) The task force must submit a final report of its 236 recommendations to the Governor, the President of the Senate, 237 and the Speaker of the House of Representatives by July 1, 2014. 238 (f) The task force is terminated December 31, 2014. The 239 establishment of guidelines pursuant to this section or the 240 adoption of such guidelines by a responsible public entity is 241 not required for such entity to request or receive proposals for 242 a qualifying project or to enter into a comprehensive agreement 243 for a qualifying project. A responsible public entity may adopt 244 guidelines so long as such guidelines are not inconsistent with 245 this section. 246 (4) PROCUREMENT PROCEDURES.—A responsible public entity may 247 receive unsolicited proposals or may solicit proposals for 248 qualifying projects and may thereafter enter into an agreement 249 with a private entity, or a consortium of private entities, for 250 the building, upgrading, operating, ownership, or financing of 251 facilities. 252 (a) The responsible public entity may establish a 253 reasonable application fee for the submission of an unsolicited 254 proposal under this section. The fee must be sufficient to pay 255 the costs of evaluating the proposal. The responsible public 256 entity may engage the services of a private consultant to assist 257 in the evaluation. 258 (b) The responsible public entity may request a proposal 259 from private entities for a public-private project or, if the 260 public entity receives an unsolicited proposal for a public 261 private project and the public entity intends to enter into a 262 comprehensive agreement for the project described in such 263 unsolicited proposal, the public entity shall publish notice in 264 the Florida Administrative Register and a newspaper of general 265 circulation at least once a week for 2 weeks stating that the 266 public entity has received a proposal and will accept other 267 proposals for the same project. The timeframe within which the 268 public entity may accept other proposals shall be determined by 269 the public entity on a project-by-project basis based upon the 270 complexity of the project and the public benefit to be gained by 271 allowing a longer or shorter period of time within which other 272 proposals may be received; however, the timeframe for allowing 273 other proposals must be at least 21 days, but no more than 120 274 days, after the initial date of publication. A copy of the 275 notice must be mailed to each local government in the affected 276 area. 277 (c) A responsible public entity that is a school board may 278 enter into a comprehensive agreement only with the approval of 279 the local governing body. 280 (d) Before approval, the responsible public entity must 281 determine that the proposed project: 282 1. Is in the public’s best interest. 283 2. Is for a facility that is owned by the responsible 284 public entity or for a facility for which ownership will be 285 conveyed to the responsible public entity. 286 3. Has adequate safeguards in place to ensure that 287 additional costs or service disruptions are not imposed on the 288 public in the event of material default or cancellation of the 289 agreement by the responsible public entity. 290 4. Has adequate safeguards in place to ensure that the 291 responsible public entity or private entity has the opportunity 292 to add capacity to the proposed project or other facilities 293 serving similar predominantly public purposes. 294 5. Will be owned by the responsible public entity upon 295 completion or termination of the agreement and upon payment of 296 the amounts financed. 297 (e) Before signing a comprehensive agreement, the 298 responsible public entity must consider a reasonable finance 299 plan that is consistent with subsection (11); the project cost; 300 revenues by source; available financing; major assumptions; 301 internal rate of return on private investments, if governmental 302 funds are assumed in order to deliver a cost-feasible project; 303 and a total cash-flow analysis beginning with the implementation 304 of the project and extending for the term of the agreement. 305 (f) In considering an unsolicited proposal, the responsible 306 public entity may require from the private entity a technical 307 study prepared by a nationally recognized expert with experience 308 in preparing analysis for bond rating agencies. In evaluating 309 the technical study, the responsible public entity may rely upon 310 internal staff reports prepared by personnel familiar with the 311 operation of similar facilities or the advice of external 312 advisors or consultants who have relevant experience. 313 (5) PROJECT APPROVAL REQUIREMENTS.—An unsolicited proposal 314 from a private entity for approval of a qualifying project must 315 be accompanied by the following material and information, unless 316 waived by the responsible public entity: 317 (a) A description of the qualifying project, including the 318 conceptual design of the facilities or a conceptual plan for the 319 provision of services, and a schedule for the initiation and 320 completion of the qualifying project. 321 (b) A description of the method by which the private entity 322 proposes to secure the necessary property interests that are 323 required for the qualifying project. 324 (c) A description of the private entity’s general plans for 325 financing the qualifying project, including the sources of the 326 private entity’s funds and the identity of any dedicated revenue 327 source or proposed debt or equity investment on behalf of the 328 private entity. 329 (d) The name and address of a person who may be contacted 330 for additional information concerning the proposal. 331 (e) The proposed user fees, lease payments, or other 332 service payments over the term of a comprehensive agreement, and 333 the methodology for and circumstances that would allow changes 334 to the user fees, lease payments, and other service payments 335 over time. 336 (f) Additional material or information that the responsible 337 public entity reasonably requests. 338 (6) PROJECT QUALIFICATION AND PROCESS.— 339 (a) The private entity must meet the minimum standards 340 contained in the responsible public entity’s guidelines for 341 qualifying professional services and contracts for traditional 342 procurement projects. 343 (b) The responsible public entity must: 344 1. Ensure that provision is made for the private entity’s 345 performance and payment of subcontractors, including, but not 346 limited to, surety bonds, letters of credit, parent company 347 guarantees, and lender and equity partner guarantees. For the 348 components of the qualifying project which involve construction 349 performance and payment, bonds are required and are subject to 350 the recordation, notice, suit limitation, and other requirements 351 of s. 255.05. 352 2. Ensure the most efficient pricing of the security 353 package that provides for the performance and payment of 354 subcontractors. 355 3. Ensure that provision is made for the transfer of the 356 private entity’s obligations if the comprehensive agreement is 357 terminated or a material default occurs. 358 (c) After the public notification period has expired in the 359 case of an unsolicited proposal, the responsible public entity 360 shall rank the proposals received in order of preference. In 361 ranking the proposals, the responsible public entity may 362 consider factors that include, but are not limited to, 363 professional qualifications, general business terms, innovative 364 design techniques or cost-reduction terms, and finance plans. 365 The responsible public entity may then begin negotiations for a 366 comprehensive agreement with the highest-ranked firm. If the 367 responsible public entity is not satisfied with the results of 368 the negotiations, the responsible public entity may terminate 369 negotiations with the proposer and negotiate with the second 370 ranked or subsequent-ranked firms, in the order consistent with 371 this procedure. If only one proposal is received, the 372 responsible public entity may negotiate in good faith, and if 373 the public entity is not satisfied with the results of the 374 negotiations, the public entity may terminate negotiations with 375 the proposer. Notwithstanding this paragraph, the responsible 376 public entity may reject all proposals at any point in the 377 process until a contract with the proposer is executed. 378 (d) The responsible public entity shall perform an 379 independent analysis of the proposed public-private partnership 380 which demonstrates the cost-effectiveness and overall public 381 benefit before the procurement process is initiated or before 382 the contract is awarded. 383 (e) The responsible public entity may approve the 384 development or operation of an educational facility, a 385 transportation facility, a water or wastewater management 386 facility or related infrastructure, a technology infrastructure 387 or other public infrastructure, or a government facility needed 388 by the responsible public entity as a qualifying project, or the 389 design or equipping of a qualifying project that is developed or 390 operated, if: 391 1. There is a public need for or benefit derived from a 392 project of the type that the private entity proposes as the 393 qualifying project. 394 2. The estimated cost of the qualifying project is 395 reasonable in relation to similar facilities. 396 3. The private entity’s plans will result in the timely 397 acquisition, design, construction, improvement, renovation, 398 expansion, equipping, maintenance, or operation of the 399 qualifying project. 400 (f) The responsible public entity may charge a reasonable 401 fee to cover the costs of processing, reviewing, and evaluating 402 the request, including, but not limited to, reasonable attorney 403 fees and fees for financial and technical advisors or 404 consultants and for other necessary advisors or consultants. 405 (g) Upon approval of a qualifying project, the responsible 406 public entity shall establish a date for the commencement of 407 activities related to the qualifying project. The responsible 408 public entity may extend the commencement date. 409 (h) Approval of a qualifying project by the responsible 410 public entity is subject to entering into a comprehensive 411 agreement with the private entity. 412 (7) NOTICE TO AFFECTED LOCAL JURISDICTIONS.— 413 (a) The responsible public entity must notify each affected 414 local jurisdiction by furnishing a copy of the proposal to each 415 affected local jurisdiction when considering a proposal for a 416 qualifying project. 417 (b) Each affected local jurisdiction that is not a 418 responsible public entity for the respective qualifying project 419 may, within 60 days after receiving the notice, submit in 420 writing any comments to the responsible public entity and 421 indicate whether the facility is incompatible with the local 422 comprehensive plan, the local infrastructure development plan, 423 the capital improvements budget, any development of regional 424 impact processes or timelines, or other governmental spending 425 plan. The responsible public entity shall consider the comments 426 of the affected local jurisdiction before entering into a 427 comprehensive agreement with a private entity. If an affected 428 local jurisdiction fails to respond to the responsible public 429 entity within the time provided in this paragraph, the 430 nonresponse is deemed an acknowledgement by the affected local 431 jurisdiction that the qualifying project is compatible with the 432 local comprehensive plan, the local infrastructure development 433 plan, the capital improvements budget, or other governmental 434 spending plan. 435 (8) INTERIM AGREEMENT.—Before or in connection with the 436 negotiation of a comprehensive agreement, the public entity may 437 enter into an interim agreement with the private entity 438 proposing the development or operation of the qualifying 439 project. An interim agreement does not obligate the responsible 440 public entity to enter into a comprehensive agreement. The 441 interim agreement is discretionary with the parties and is not 442 required on a qualifying project for which the parties may 443 proceed directly to a comprehensive agreement without the need 444 for an interim agreement. An interim agreement must be limited 445 to provisions that: 446 (a) Authorize the private entity to commence activities for 447 which it may be compensated related to the proposed qualifying 448 project, including, but not limited to, project planning and 449 development, design, environmental analysis and mitigation, 450 survey, other activities concerning any part of the proposed 451 qualifying project, and ascertaining the availability of 452 financing for the proposed facility or facilities. 453 (b) Establish the process and timing of the negotiation of 454 the comprehensive agreement. 455 (c) Contain such other provisions related to an aspect of 456 the development or operation of a qualifying project that the 457 responsible public entity and the private entity deem 458 appropriate. 459 (9) COMPREHENSIVE AGREEMENT.— 460 (a) Before developing or operating the qualifying project, 461 the private entity must enter into a comprehensive agreement 462 with the responsible public entity. The comprehensive agreement 463 must provide for: 464 1. Delivery of performance and payment bonds, letters of 465 credit, or other security acceptable to the responsible public 466 entity in connection with the development or operation of the 467 qualifying project in the form and amount satisfactory to the 468 responsible public entity. For the components of the qualifying 469 project which involve construction, the form and amount of the 470 bonds must comply with s. 255.05. 471 2. Review of the design for the qualifying project by the 472 responsible public entity and, if the design conforms to 473 standards acceptable to the responsible public entity, the 474 approval of the responsible public entity. This subparagraph 475 does not require the private entity to complete the design of 476 the qualifying project before the execution of the comprehensive 477 agreement. 478 3. Inspection of the qualifying project by the responsible 479 public entity to ensure that the private entity’s activities are 480 acceptable to the public entity in accordance with the 481 comprehensive agreement. 482 4. Maintenance of a policy of public liability insurance, a 483 copy of which must be filed with the responsible public entity 484 and accompanied by proofs of coverage, or self-insurance, each 485 in the form and amount satisfactory to the responsible public 486 entity and reasonably sufficient to ensure coverage of tort 487 liability to the public and employees and to enable the 488 continued operation of the qualifying project. 489 5. Monitoring by the responsible public entity of the 490 maintenance practices to be performed by the private entity to 491 ensure that the qualifying project is properly maintained. 492 6. Periodic filing by the private entity of the appropriate 493 financial statements that pertain to the qualifying project. 494 7. Procedures that govern the rights and responsibilities 495 of the responsible public entity and the private entity in the 496 course of the construction and operation of the qualifying 497 project and in the event of the termination of the comprehensive 498 agreement or a material default by the private entity. The 499 procedures must include conditions that govern the assumption of 500 the duties and responsibilities of the private entity by an 501 entity that funded, in whole or part, the qualifying project or 502 by the responsible public entity, and must provide for the 503 transfer or purchase of property or other interests of the 504 private entity by the responsible public entity. 505 8. Fees, lease payments, or service payments. In 506 negotiating user fees, the fees must be the same for persons 507 using the facility under like conditions and must not materially 508 discourage use of the qualifying project. The execution of the 509 comprehensive agreement or a subsequent amendment is conclusive 510 evidence that the fees, lease payments, or service payments 511 provided for in the comprehensive agreement comply with this 512 section. Fees or lease payments established in the comprehensive 513 agreement as a source of revenue may be in addition to, or in 514 lieu of, service payments. 515 9. Duties of the private entity, including the terms and 516 conditions that the responsible public entity determines serve 517 the public purpose of this section. 518 (b) The comprehensive agreement may include: 519 1. An agreement by the responsible public entity to make 520 grants or loans to the private entity from amounts received from 521 the federal, state, or local government or an agency or 522 instrumentality thereof. 523 2. A provision under which each entity agrees to provide 524 notice of default and cure rights for the benefit of the other 525 entity, including, but not limited to, a provision regarding 526 unavoidable delays. 527 3. A provision that terminates the authority and duties of 528 the private entity under this section and dedicates the 529 qualifying project to the responsible public entity or, if the 530 qualifying project was initially dedicated by an affected local 531 jurisdiction, to the affected local jurisdiction for public use. 532 (10) FEES.—An agreement entered into pursuant to this 533 section may authorize the private entity to impose fees to 534 members of the public for the use of the facility. The following 535 provisions apply to the agreement: 536 (a) The responsible public entity may develop new 537 facilities or increase capacity in existing facilities through 538 agreements with public-private partnerships. 539 (b) The public-private partnership agreement must ensure 540 that the facility is properly operated, maintained, or improved 541 in accordance with standards set forth in the comprehensive 542 agreement. 543 (c) The responsible public entity may lease existing fee 544 for-use facilities through a public-private partnership 545 agreement. 546 (d) Any revenues must be regulated by the responsible 547 public entity pursuant to the comprehensive agreement. 548 (e) A negotiated portion of revenues from fee-generating 549 uses must be returned to the public entity over the life of the 550 agreement. 551 (11) FINANCING.— 552 (a) A private entity may enter into a private-source 553 financing agreement between financing sources and the private 554 entity. A financing agreement and any liens on the property or 555 facility must be paid in full at the applicable closing that 556 transfers ownership or operation of the facility to the 557 responsible public entity at the conclusion of the term of the 558 comprehensive agreement. 559 (b) The responsible public entity may lend funds to private 560 entities that construct projects containing facilities that are 561 approved under this section. 562 (c) The responsible public entity may use innovative 563 finance techniques associated with a public-private partnership 564 under this section, including, but not limited to, federal loans 565 as provided in Titles 23 and 49 C.F.R., commercial bank loans, 566 and hedges against inflation from commercial banks or other 567 private sources. In addition, the responsible public entity may 568 provide its own capital or operating budget to support a 569 qualifying project. The budget may be from any legally 570 permissible funding sources of the responsible public entity, 571 including the proceeds of debt issuances. A responsible public 572 entity may use the model financing agreement provided in s. 573 489.145(6) for its financing of a facility owned by a 574 responsible public entity. A financing agreement may not require 575 the responsible public entity to indemnify the financing source, 576 subject the responsible public entity’s facility to liens in 577 violation of s. 11.066(5), or secure financing by the 578 responsible public entity with a pledge of security interest, 579 and any such provision is void. 580 (d) A responsible public entity shall appropriate on a 581 priority basis as required by the comprehensive agreement a 582 contractual payment obligation, annual or otherwise, from the 583 enterprise or other government fund from which the qualifying 584 projects will be funded. This required payment obligation must 585 be appropriated before other noncontractual obligations payable 586 from the same enterprise or other government fund. 587 (12) POWERS AND DUTIES OF THE PRIVATE ENTITY.— 588 (a) The private entity shall: 589 1. Develop or operate the qualifying project in a manner 590 that is acceptable to the responsible public entity in 591 accordance with the provisions of the comprehensive agreement. 592 2. Maintain, or provide by contract for the maintenance or 593 improvement of, the qualifying project if required by the 594 comprehensive agreement. 595 3. Cooperate with the responsible public entity in making 596 best efforts to establish interconnection between the qualifying 597 project and any other facility or infrastructure as requested by 598 the responsible public entity in accordance with the provisions 599 of the comprehensive agreement. 600 4. Comply with the comprehensive agreement and any lease or 601 service contract. 602 (b) Each private facility that is constructed pursuant to 603 this section must comply with the requirements of federal, 604 state, and local laws; state, regional, and local comprehensive 605 plans; the responsible public entity’s rules, procedures, and 606 standards for facilities; and such other conditions that the 607 responsible public entity determines to be in the public’s best 608 interest and that are included in the comprehensive agreement. 609 (c) The responsible public entity may provide services to 610 the private entity. An agreement for maintenance and other 611 services entered into pursuant to this section must provide for 612 full reimbursement for services rendered for qualifying 613 projects. 614 (d) A private entity of a qualifying project may provide 615 additional services for the qualifying project to the public or 616 to other private entities if the provision of additional 617 services does not impair the private entity’s ability to meet 618 its commitments to the responsible public entity pursuant to the 619 comprehensive agreement. 620 (13) EXPIRATION OR TERMINATION OF AGREEMENTS.—Upon the 621 expiration or termination of a comprehensive agreement, the 622 responsible public entity may use revenues from the qualifying 623 project to pay current operation and maintenance costs of the 624 qualifying project. If the private entity materially defaults 625 under the comprehensive agreement, the compensation that is 626 otherwise due to the private entity is payable to satisfy all 627 financial obligations to investors and lenders on the qualifying 628 project in the same way that is provided in the comprehensive 629 agreement or any other agreement involving the qualifying 630 project, if the costs of operating and maintaining the 631 qualifying project are paid in the normal course. Revenues in 632 excess of the costs for operation and maintenance costs may be 633 paid to the investors and lenders to satisfy payment obligations 634 under their respective agreements. A responsible public entity 635 may terminate with cause and without prejudice a comprehensive 636 agreement and may exercise any other rights or remedies that may 637 be available to it in accordance with the provisions of the 638 comprehensive agreement. The full faith and credit of the 639 responsible public entity may not be pledged to secure the 640 financing of the private entity. The assumption of the 641 development or operation of the qualifying project does not 642 obligate the responsible public entity to pay any obligation of 643 the private entity from sources other than revenues from the 644 qualifying project unless stated otherwise in the comprehensive 645 agreement. 646 (14) SOVEREIGN IMMUNITY.—This section does not waive the 647 sovereign immunity of a responsible public entity, an affected 648 local jurisdiction, or an officer or employee thereof with 649 respect to participation in, or approval of, any part of a 650 qualifying project or its operation, including, but not limited 651 to, interconnection of the qualifying project with any other 652 infrastructure or project. A county or municipality in which a 653 qualifying project is located possesses sovereign immunity with 654 respect to the project, including, but not limited to, its 655 design, construction, and operation. 656 (15) CONSTRUCTION.—This section shall be liberally 657 construed to effectuate the purposes of this section. This 658 section shall be construed as cumulative and supplemental to any 659 other authority or power vested in or exercised by the governing 660 board of a county, district, or municipal hospital or health 661 care system including those contained in acts of the Legislature 662 establishing such public hospital boards or s. 155.40. This 663 section does not affect any agreement or existing relationship 664 with a supporting organization involving such governing board or 665 system in effect as of January 1, 2013. 666 (a) This section does not limit a political subdivision of 667 the state in the acquisition, design, or construction of a 668 public project pursuant to other statutory authority. 669 (b) Except as otherwise provided in this section, this 670 section does not amend existing laws by granting additional 671 powers to, or further restricting, a local governmental entity 672 from regulating and entering into cooperative arrangements with 673 the private sector for the planning, construction, or operation 674 of a facility. 675 (c) This section does not waive any requirement of s. 676 287.055. 677 Section 3. Section 336.71, Florida Statutes, is created to 678 read: 679 336.71 Public-private cooperation in construction of county 680 roads.- 681 (1) If a county receives a proposal, solicited or 682 unsolicited, from a private entity seeking to construct, extend, 683 or improve a county road or portion thereof, the county may 684 enter into an agreement with the private entity for completion 685 of the road construction project, which agreement may provide 686 for payment to the private entity, from public funds, if the 687 county conducts a noticed public hearing and finds that the 688 proposed county road construction project: 689 (a) Is in the best interest of the public. 690 (b) Would only use county funds for portions of the project 691 that will be part of the county road system. 692 (c) Would have adequate safeguards to ensure that 693 additional costs or unreasonable service disruptions are not 694 realized by the traveling public and citizens of the state. 695 (d) Upon completion, would be a part of the county road 696 system owned by the county. 697 (e) Would result in a financial benefit to the public by 698 completing the subject project at a cost to the public 699 significantly lower than if the project were constructed by the 700 county using the normal procurement process. 701 (2) The notice for the public hearing provided for in 702 subsection (1) must be published at least 14 days before the 703 date of the public meeting at which the governing board takes 704 final action. The notice must identify the project, the 705 estimated cost of the project, and specify that the purpose for 706 the public meeting is to consider whether it is in the public’s 707 best interest to accept the proposal and enter into an agreement 708 pursuant thereto. The determination of cost savings pursuant to 709 paragraph (1)(e) must be supported by a professional engineer’s 710 cost estimate made available to the public at least 14 days 711 before the public meeting and placed in the record for that 712 meeting. 713 (3) If the process in subsection (1) is followed, the 714 project and agreement are exempt from s. 255.20 pursuant to s. 715 255.20(1)(c)11. 716 (4) Except as otherwise expressly provided in this section, 717 this section does not affect existing law by granting additional 718 powers to or imposing further restrictions on local government 719 entities. 720 Section 4. Paragraph (d) of subsection (2) of section 721 348.754, Florida Statutes, is amended to read: 722 348.754 Purposes and powers.— 723 (2) The authority is hereby granted, and shall have and may 724 exercise all powers necessary, appurtenant, convenient or 725 incidental to the carrying out of the aforesaid purposes, 726 including, but without being limited to, the following rights 727 and powers: 728 (d) To enter into and make leases for terms not exceeding 729 9940years, as either lessee or lessor, in order to carry out 730 the right to lease as set forth in this part. 731 Section 5. This act shall take effect July 1, 2013. 732 733 ================= T I T L E A M E N D M E N T ================ 734 And the title is amended as follows: 735 Delete everything before the enacting clause 736 and insert: 737 A bill to be entitled 738 An act relating to public-private partnerships; 739 amending s. 255.60, F.S.; authorizing certain public 740 entities to contract for public service works with 741 not-for-profit organizations; revising eligibility and 742 contract requirements for not-for-profit organizations 743 contracting with certain public entities; creating s. 744 287.05712, F.S.; providing definitions; providing 745 legislative findings and intent relating to the 746 construction or improvement by private entities of 747 facilities used predominantly for a public purpose; 748 creating a task force to establish specified 749 guidelines; providing procurement procedures; 750 providing requirements for project approval; providing 751 project qualifications and process; providing for 752 notice to affected local jurisdictions; providing for 753 interim and comprehensive agreements between a public 754 and a private entity; providing for use fees; 755 providing for financing sources for certain projects 756 by a private entity; providing powers and duties of 757 private entities; providing for expiration or 758 termination of agreements; providing for the 759 applicability of sovereign immunity for public 760 entities with respect to qualified projects; providing 761 for construction of the act; creating s. 336.71, F.S.; 762 authorizing counties to enter into public-private 763 partnership agreements to construct, extend, or 764 improve county roads; providing requirements and 765 limitations for such agreements; providing procurement 766 procedures; requiring a fee for certain proposals; 767 amending s. 348.754, F.S.; revising the limit on terms 768 for leases that the Orlando-Orange County Expressway 769 Authority may enter; providing an effective date.