ENROLLED
       2023 Legislature                                          SB 2-B
       
       
       
       
       
       
                                                               20232Ber
    1  
    2         An act relating to emergency response; creating s.
    3         288.066, F.S.; creating the Local Government Emergency
    4         Bridge Loan Program within the Department of Economic
    5         Opportunity, subject to appropriation; providing the
    6         program’s purpose; specifying program eligibility
    7         requirements; authorizing the department to provide
    8         interest-free loans to eligible local governments
    9         through specified means; requiring the loan amount to
   10         be based on demonstrated need of the local government
   11         and disbursed in a lump sum; providing for the terms
   12         of the loan; authorizing the department to extend the
   13         term of the loan; specifying authorized and prohibited
   14         uses of any loan funds provided under the program;
   15         authorizing local governments to make loan payments at
   16         any time; requiring repayment in accordance with the
   17         terms of the loan; authorizing the department to
   18         approve loans through the end of the 2023-2024 fiscal
   19         year, subject to the availability of funds; requiring
   20         the department to coordinate with the Division of
   21         Emergency Management to determine if the loan program
   22         conflicts with applicable federal programs; requiring
   23         the department to transfer any loan payments, upon
   24         receipt, to the General Revenue Fund; authorizing the
   25         department to adopt rules; providing for expiration of
   26         the program; authorizing the department to adopt
   27         emergency rules; providing appropriations; providing
   28         an effective date.
   29          
   30  Be It Enacted by the Legislature of the State of Florida:
   31  
   32         Section 1. Section 288.066, Florida Statutes, is created to
   33  read:
   34         288.066 Local Government Emergency Bridge Loan Program.—
   35         (1) CREATION.—The Local Government Emergency Bridge Loan
   36  Program is created, subject to appropriation, within the
   37  department to provide financial assistance to local governments
   38  impacted by Hurricane Ian or Hurricane Nicole. The purpose of
   39  the loan program is to assist these local governments in
   40  maintaining operations by bridging the gap between the time that
   41  the declared disaster occurred and the time that additional
   42  funding sources or revenues are secured to provide them with
   43  financial assistance.
   44         (2) ELIGIBILITY.—To be eligible for a loan under the
   45  program, a local government must be a county or a municipality
   46  located in an area designated in the Federal Emergency
   47  Management Agency disaster declarations for Hurricane Ian or
   48  Hurricane Nicole. The local government must show that it may
   49  suffer or has suffered substantial loss of its tax or other
   50  revenues as a result of the hurricane and demonstrate a need for
   51  financial assistance to enable it to continue to perform its
   52  governmental operations.
   53         (3) LOAN TERMS.—
   54         (a) The department may provide interest-free loans to
   55  eligible local governments through a promissory note or other
   56  form of written agreement evidencing an obligation to repay the
   57  borrowed funds.
   58         (b) The amount of each loan must be based upon demonstrated
   59  need and must be disbursed to the local government in a lump
   60  sum.
   61         (c) The term of the loan is one year, unless otherwise
   62  extended by the department. The department may extend loan terms
   63  for up to 6 months based on the local government’s financial
   64  condition.
   65         (4) USE OF LOAN FUNDS.—A local government may use loan
   66  funds only to continue local governmental operations or to
   67  expand or modify such operations to meet disaster-related needs.
   68  The funds may not be used to finance or supplant funding for
   69  capital improvements or to repair or restore damaged public
   70  facilities or infrastructure.
   71         (5) LOAN REPAYMENT.—
   72         (a) The local government may make payments against the loan
   73  at any time without penalty. Early repayment is encouraged as
   74  other funding sources or revenues become available.
   75         (b) Loans become due and payable in accordance with the
   76  terms of the agreement.
   77         (6) ADMINISTRATION.—
   78         (a) The department may approve loans in the 2022-2023
   79  fiscal year or the 2023-2024 fiscal year up to the total amount
   80  appropriated.
   81         (b) The department must coordinate with the Division of
   82  Emergency Management to assess whether such loans would affect
   83  reimbursement under federal programs for disaster-related
   84  expenses.
   85         (c) Upon receipt of any loan payment from a local
   86  government, the department shall transfer the funds to the
   87  General Revenue Fund.
   88         (7) RULES.—The department may adopt rules to implement this
   89  section.
   90         (8) EXPIRATION.—This section expires June 30, 2027. Upon
   91  expiration, all unencumbered funds and loan repayments revert to
   92  the General Revenue Fund.
   93         Section 2. The Department of Economic Opportunity may, and
   94  all conditions are deemed to be met to, adopt emergency rules
   95  pursuant to s. 120.54(4), Florida Statutes, to administer s.
   96  288.066, Florida Statutes, as created by this act.
   97  Notwithstanding any other law, emergency rules adopted pursuant
   98  to this section are effective for 6 months after adoption and
   99  may be renewed during the pendency of procedures to adopt
  100  permanent rules addressing the subject of the emergency rules.
  101         Section 3. For the 2022-2023 fiscal year, the sum of $50
  102  million in nonrecurring funds is appropriated from the General
  103  Revenue Fund to the Department of Economic Opportunity to fund
  104  the Local Government Emergency Bridge Loan Program established
  105  by this act. Any unexpended balance of these funds as of June
  106  30, 2023, must revert and is appropriated for the 2023-2024
  107  fiscal year to the Department of Economic Opportunity for the
  108  same purpose.
  109         Section 4. The Chief Financial Officer shall immediately
  110  transfer the nonrecurring sum of $650 million from the General
  111  Revenue Fund to the Emergency Preparedness and Response Fund in
  112  the Executive Office of the Governor to be used for preparing
  113  for and responding to a declared state of emergency.
  114         Section 5. This act shall take effect upon becoming a law.