Bill Text: FL S0928 | 2013 | Regular Session | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Community Development
Spectrum: Slight Partisan Bill (? 2-1)
Status: (Introduced - Dead) 2013-04-25 - Laid on Table, companion bill(s) passed, see CS/CS/HB 437 (Ch. 2013-83), SB 1830 (Ch. 2013-72) [S0928 Detail]
Download: Florida-2013-S0928-Comm_Sub.html
Bill Title: Community Development
Spectrum: Slight Partisan Bill (? 2-1)
Status: (Introduced - Dead) 2013-04-25 - Laid on Table, companion bill(s) passed, see CS/CS/HB 437 (Ch. 2013-83), SB 1830 (Ch. 2013-72) [S0928 Detail]
Download: Florida-2013-S0928-Comm_Sub.html
Florida Senate - 2013 CS for SB 928 By the Committee on Community Affairs; and Senator Simpson 578-02397A-13 2013928c1 1 A bill to be entitled 2 An act relating to community development; amending s. 3 159.603, F.S.; modifying the definition of “qualifying 4 housing development”; amending s. 159.608, F.S.; 5 revising the power of a housing finance authority to 6 make loans directly to eligible persons; amending s. 7 196.1978, F.S.; deleting an ad valorem tax exemption 8 for property owned by certain Florida-based limited 9 partnerships and used for affordable housing for 10 certain income-qualified persons; amending s. 212.08, 11 F.S.; revising criteria for community contribution tax 12 credit for donations; amending ss. 220.183 and 13 624.5105, F.S.; extending the expiration date 14 applicable to the granting of community contribution 15 tax credits against the sales and use tax, corporate 16 income tax, and insurance premium tax for 17 contributions to eligible sponsors of community 18 projects approved by the Department of Economic 19 Opportunity; amending s. 420.507, F.S.; revising the 20 powers of the Florida Housing Finance Corporation; 21 specifying how the corporation will allocate certain 22 funds; amending s. 420.5087, F.S.; revising provisions 23 relating to state apartment incentive loans to provide 24 for a competitive evaluation and selection process 25 with respect to loan applications; amending s. 26 420.511, F.S.; providing that the corporation’s 27 strategic business plan must be consistent with a 28 long-range program plan relating to affordable 29 housing; deleting a requirement that the corporation 30 compile certain data; revising provisions relating to 31 the corporation’s development of its long-range plan; 32 revising the required contents and information to be 33 included in the corporation’s annual report; requiring 34 the corporation to submit separate audited financial 35 statements that include specified information and 36 incorporate certain reports; requiring the Auditor 37 General to conduct an operational audit of the 38 corporation and provide a written report to the 39 Legislature; amending ss. 420.0003, 420.0006, 420.504, 40 and 420.506, F.S.; conforming provisions to changes 41 made by this act; repealing s. 420.5091, F.S., 42 relating to the HOPE program; providing for 43 retroactive application; providing an effective date. 44 45 Be It Enacted by the Legislature of the State of Florida: 46 47 Section 1. Subsection (6) of section 159.603, Florida 48 Statutes, is amended to read: 49 159.603 Definitions.—As used in this part, the following 50 words and terms have the following meanings unless the context 51 indicates another or different meaning or intent. 52 (6) “Qualifying housing development” means any work or 53 improvement located or to be located in thisthestate, 54 including real property, buildings, and any other real and 55 personal property, designed or intended for the primary purpose 56 of providing decent, safe, and sanitary residential housing for 57 four or more families, at least 60 percent of whom are eligible 58 persons, whether new construction, the acquisition of existing 59 residential housing, or the remodeling, improvement, 60 rehabilitation, or reconstruction of existing housing, together 61 with such related nonhousing facilities as the authority 62 determines to be necessary, convenient, or desirable. 63 (a) The term includes a housing development that meets the 64 definition of a “qualified low-income housing project” under s. 65 42(g) of the Internal Revenue Code, regardless of whether such 66 development meets the 60 percent eligible persons requirement 67 under this subsection. 68 (b) The exception provided under paragraph (a) applies to 69 all housing developments meeting the federal definition for 70 “qualified low-income housing project” as well as all 71 developments that previously qualified under the state 72 definition for “qualifying housing development.” Housing finance 73 authorities may enter into regulatory agreement amendments as 74 necessary to accommodate housing developments that qualify under 75 paragraph (a). 76 Section 2. Subsection (8) of section 159.608, Florida 77 Statutes, is amended to read: 78 159.608 Powers of housing finance authorities.—A housing 79 finance authority shall constitute a public body corporate and 80 politic, exercising the public and essential governmental 81 functions set forth in this act, and shall exercise its power to 82 borrow only for the purpose as provided herein: 83 (8) To make loans directly to eligible personsor families84 who otherwise cannot borrow from conventional lending sources 85and whose annual income does not exceed 80 percent of the median86income based on a family of up to four persons for the county in87which they seek to purchase a residence. The housing finance88authority may adjust the annual income requirements for families89of greater than four persons. Such loans must be secured by 90eitherfirst mortgages or subordinated mortgages and must be 91 used to purchase, construct, rehabilitate, or refinance single 92 family residences that have purchase prices that do not exceed 93 the purchase price limits of; however, the purchase price of any94residence financed through such a loan may not exceed 90 percent95of the median sales price for single-family homes inthe county 96 where the borrower’s residence is to be located, as mandated by 97 federal law for tax-exempt single-family bond programs. 98 Section 3. Section 196.1978, Florida Statutes, is amended 99 to read: 100 196.1978 Affordable housing property exemption.—Property 101 used to provide affordable housing toservingeligible persons 102 as defined underbys. 159.603(7)and natural persons or 103 families meeting the extremely-low-income, very-low-income, low 104 income, or moderate-income limits specified in s. 420.0004, 105 whichpropertyis owned entirely by a nonprofit entity that is a 106 corporation not for profit, qualified as charitable under s. 107 501(c)(3) of the Internal Revenue Code and in compliance with 108 Rev. Proc. 96-32, 1996-1 C.B. 717, isor a Florida-based limited109partnership, the sole general partner of which is a corporation110not for profit which is qualified as charitable under s.111501(c)(3) of the Internal Revenue Code and which complies with112Rev. Proc. 96-32, 1996-1 C.B. 717, shall beconsidered property 113 owned by an exempt entity and used for a charitable purpose, and 114 those portions of the affordable housing property thatwhich115 provide housing to natural persons or families classified as 116 extremely low income, very low income, low income, or moderate 117 income under s. 420.0004 areshall beexempt from ad valorem 118 taxation to the extent authorized underins. 196.196. All 119 property identified in this section mustshallcomply with the 120 criteria provided under s. 196.195 for determiningdetermination121ofexempt status andtobe applied by property appraisers on an 122 annual basisas defined in s.196.195. The Legislature intends 123 that any property owned by a limited liability companyor124limited partnershipwhich is disregarded as an entity for 125 federal income tax purposes pursuant to Treasury Regulation 126 301.7701-3(b)(1)(ii)shallbe treated as owned by its sole 127 memberor sole general partner. 128 Section 4. Paragraph (p) of subsection (5) of section 129 212.08, Florida Statutes, is amended to read: 130 212.08 Sales, rental, use, consumption, distribution, and 131 storage tax; specified exemptions.—The sale at retail, the 132 rental, the use, the consumption, the distribution, and the 133 storage to be used or consumed in this state of the following 134 are hereby specifically exempt from the tax imposed by this 135 chapter. 136 (5) EXEMPTIONS; ACCOUNT OF USE.— 137 (p) Community contribution tax credit for donations.— 138 1. Authorization.—Persons who are registered with the 139 department under s. 212.18 to collect or remit sales or use tax 140 and who make donations to eligible sponsors are eligible for tax 141 credits against their state sales and use tax liabilities as 142 provided in this paragraph: 143 a. The credit shall be computed as 50 percent of the 144 person’s approved annual community contribution. 145 b. The credit shall be granted as a refund against state 146 sales and use taxes reported on returns and remitted in the 12 147 months preceding the date of application to the department for 148 the credit as required in sub-subparagraph 3.c. If the annual 149 credit is not fully used through such refund because of 150 insufficient tax payments during the applicable 12-month period, 151 the unused amount may be included in an application for a refund 152 made pursuant to sub-subparagraph 3.c. in subsequent years 153 against the total tax payments made for such year. Carryover 154 credits may be applied for a 3-year period without regard to any 155 time limitation that would otherwise apply under s. 215.26. 156 c. A person may not receive more than $200,000 in annual 157 tax credits for all approved community contributions made in any 158 one year. 159 d. All proposals for the granting of the tax credit require 160 the prior approval of the Department of Economic Opportunity. 161 e. The total amount of tax credits which may be granted for 162 all programs approved under this paragraph, s. 220.183, and s. 163 624.5105 is $10.5 million annually for projects that provide 164 homeownership opportunities for low-income or very-low-income 165 households as those terms are defined in s. 420.9071(19) and166(28)and $3.5 million annually for all other projects. 167 f. A person who is eligible to receive the credit provided 168forin this paragraph, s. 220.183, or s. 624.5105 may receive 169 the credit only under the one section pursuant toofthe 170 person’s choice. 171 2. Eligibility requirements.— 172 a. A community contribution by a person must be in the 173 following form: 174 (I) Cash or other liquid assets; 175 (II) Real property; 176 (III) Goods or inventory; or 177 (IV) Other physical resourcesasidentified by the 178 Department of Economic Opportunity. 179 b. All community contributions must be reserved exclusively 180 for use in a project. As used in this sub-subparagraph, the term 181 “project” meansanyactivity undertaken by an eligible sponsor 182 which is designed to construct, improve, or substantially 183 rehabilitate housing that is affordable to low-income or very 184 low-income households as those terms are defined in s. 185 420.9071(19) and (28); designed to provide commercial, 186 industrial, or public resources and facilities; or designed to 187 improve entrepreneurial and job-development opportunities for 188 low-income persons. A project may be the investment necessary to 189 increase access to high-speed broadband capability in rural 190 communities with enterprise zones, including projects that 191 result in improvements to communications assets that are owned 192 by a business. A project may include the provision of museum 193 educational programs and materials that are directly related to 194 aanyproject approved between January 1, 1996, and December 31, 195 1999, and located in an enterprise zone designated pursuant to 196 s. 290.0065. This paragraph does not preclude projects that 197 propose to construct or rehabilitate housing for low-income or 198 very-low-income households on scattered sites. With respect to 199 housing, contributions may be used to pay the following eligible 200 low-income and very-low-income housing-related activities: 201 (I) Project development impact and management fees for low 202 income or very-low-income housing projects; 203 (II) Down payment and closing costs for low-income persons 204 and very-low-incomeeligiblepersons, as those terms are defined 205 in s. 420.9071(19) and (28); 206 (III) Administrative costs, including housing counseling 207 and marketing fees, not to exceed 10 percent of the community 208 contribution, directly related to low-income or very-low-income 209 projects; and 210 (IV) Removal of liens recorded against residential property 211 by municipal, county, or special district local governments if 212whensatisfaction of the lien is a necessary precedent to the 213 transfer of the property to a low-income person or very-low- 214 incomean eligibleperson, as those terms are defined in s. 215 420.9071(19) and (28), for the purpose of promoting home 216 ownership. Contributions for lien removal must be received from 217 a nonrelated third party. 218 c. The project must be undertaken by an “eligible sponsor,” 219 which includes: 220 (I) A community action program; 221 (II) A nonprofit community-based development organization 222 whose mission is the provision of housing for low-income or 223 very-low-income households or increasing entrepreneurial and 224 job-development opportunities for low-income persons; 225 (III) A neighborhood housing services corporation; 226 (IV) A local housing authority created under chapter 421; 227 (V) A community redevelopment agency created under s. 228 163.356; 229 (VI) A historic preservation district agency or 230 organization; 231 (VII) A regional workforce board; 232 (VIII) A direct-support organization as provided in s. 233 1009.983; 234 (IX) An enterprise zone development agency created under s. 235 290.0056; 236 (X) A community-based organization incorporated under 237 chapter 617 which is recognized as educational, charitable, or 238 scientific pursuant to s. 501(c)(3) of the Internal Revenue Code 239 and whose bylaws and articles of incorporation include 240 affordable housing, economic development, or community 241 development as the primary mission of the corporation; 242 (XI) Units of local government; 243 (XII) Units of state government; or 244 (XIII) Any other agency that the Department of Economic 245 Opportunity designates by rule. 246 247In no event mayA contributing person may not have a financial 248 interest in the eligible sponsor. 249 d. The project must be located in an area designated an 250 enterprise zone or a Front Porch Florida Community, unless the 251 project increases access to high-speed broadband capability for 252 rural communities that havewithenterprise zones but is 253 physically located outside the designated rural zone boundaries. 254 Any project designed to construct or rehabilitate housing for 255 low-income or very-low-income households as those terms are 256 defined in s. 420.9071(19) and (28)is exempt from the area 257 requirement of this sub-subparagraph. 258 e.(I) If, during the first 10 business days of the state 259 fiscal year, eligible tax credit applications for projects that 260 provide homeownership opportunities for low-income households or 261 very-low-income households as those terms are defined in s. 262 420.9071(19) and (28)are received for less than the annual tax 263 credits available for those projects, the Department of Economic 264 Opportunity shall grant tax credits for those applications and 265shallgrant remaining tax credits on a first-come, first-served 266 basis foranysubsequent eligible applications received before 267 the end of the state fiscal year. If, during the first 10 268 business days of the state fiscal year, eligible tax credit 269 applications for projects that provide homeownership 270 opportunities for low-income or very-low-income householdsas271defined in s.420.9071(19) and (28)are received for more than 272 the annual tax credits available for those projects, the 273 Department of Economic Opportunity shall grant the tax credits 274 for those applications as follows: 275 (A) If tax credit applications submitted for approved 276 projects of an eligible sponsor do not exceed $200,000 in total, 277 the credits shall be granted in full if the tax credit 278 applications are approved. 279 (B) If tax credit applications submitted for approved 280 projects of an eligible sponsor exceed $200,000 in total, the 281 amount of tax credits granted pursuant to sub-sub-sub 282 subparagraph (A) shall be subtracted from the amount of 283 available tax credits, and the remaining credits shall be 284 granted to each approved tax credit application on a pro rata 285 basis. 286 (II) If, during the first 10 business days of the state 287 fiscal year, eligible tax credit applications for projects other 288 than those that provide homeownership opportunities for low 289 income households or very-low-income households as those terms 290 are defined in s. 420.9071(19) and (28)are received for less 291 than the annual tax credits available for those projects, the 292 Department of Economic Opportunity shall grant tax credits for 293 those applications andshallgrant remaining tax credits on a 294 first-come, first-served basis foranysubsequent eligible 295 applications received before the end of the state fiscal year. 296 If, during the first 10 business days of the state fiscal year, 297 eligible tax credit applications for projects other than those 298 that provide homeownership opportunities for low-income or very 299 low-income householdsas defined in s.420.9071(19) and (28)are 300 received for more than the annual tax credits available for 301 those projects, the Department of Economic Opportunity shall 302 grant the tax credits for those applications on a pro rata 303 basis. 304 3. Application requirements.— 305 a. Any eligible sponsor seeking to participate in this 306 program must submit a proposal to the Department of Economic 307 Opportunity which sets forth the name of the sponsor, a 308 description of the project, and the area in which the project is 309 located, together with such supporting information as is 310 prescribed by rule. The proposal must also contain a resolution 311 from the local governmental unit in which the project is located 312 certifying that the project is consistent with local plans and 313 regulations. 314 b. Any person seeking to participate in this program must 315 submit an application for tax credit to the Department of 316 Economic Opportunity which sets forth the name of the sponsor, a 317 description of the project, and the type, value, and purpose of 318 the contribution. The sponsor shall verify, in writing, the 319 terms of the application and indicate its receipt of the 320 contribution, whichverificationmustbe in writing and321 accompany the application for tax credit. The person must submit 322 a separate tax credit application to the departmentof Economic323Opportunityfor each individual contribution that it makes to 324 each individual project. 325 c. Any person who has received notification from the 326 Department of Economic Opportunity that a tax credit has been 327 approved must apply to the department to receive the refund. 328 Application must be made on the form prescribed for claiming 329 refunds of sales and use taxes and be accompanied by a copy of 330 the notification. A person may submit only one application for 331 refund to the department within aany12-month period. 332 4. Administration.— 333 a. The Department of Economic Opportunity may adopt rules 334pursuant to ss.120.536(1) and120.54necessary to administer 335 this paragraph, including rules for the approval or disapproval 336 of proposals by a person. 337 b. The decision of the Department of Economic Opportunity 338 must be in writing, and, if approved, the notification shall 339 state the maximum credit allowable to the person. Upon approval, 340 the departmentof Economic Opportunityshall transmit a copy of 341 the decision to the Department of Revenue. 342 c. The Department of Economic Opportunity shall 343 periodically monitor all projects in a manner consistent with 344 available resources to ensure that resources are used in 345 accordance with this paragraph; however, each project must be 346 reviewed at least once every 2 years. 347 d. The Department of Economic Opportunity shall, in 348 consultation with the statewide and regional housing and 349 financial intermediaries, market the availability of the 350 community contribution tax credit program to community-based 351 organizations. 352 5. Expiration.—This paragraph expires June 30, 20252015; 353 however, any accrued credit carryover that is unused on that 354 date may be used until the expiration of the 3-year carryover 355 period for such credit. 356 Section 5. Subsection (5) of section 220.183, Florida 357 Statutes, is amended to read: 358 220.183 Community contribution tax credit.— 359 (5) EXPIRATION.—The provisions of this section, except 360 paragraph (1)(e),shallexpire and arebevoid on June 30, 2025 3612015. 362 Section 6. Subsection (6) of section 624.5105, Florida 363 Statutes, is amended to read: 364 624.5105 Community contribution tax credit; authorization; 365 limitations; eligibility and application requirements; 366 administration; definitions; expiration.— 367 (6) EXPIRATION.—The provisions of this section, except 368 paragraph (1)(e),shallexpire and arebevoid on June 30, 2025 3692015. 370 Section 7. Paragraph (h) of subsection (22) and subsection 371 (48) of section 420.507, Florida Statutes, are amended to read: 372 420.507 Powers of the corporation.—The corporation shall 373 have all the powers necessary or convenient to carry out and 374 effectuate the purposes and provisions of this part, including 375 the following powers, which are in addition to all other powers 376 granted by other provisions of this part: 377 (22) To develop and administer the State Apartment 378 Incentive Loan Program. In developing and administering that 379 program, the corporation may: 380 (h) Establish, by rule, the procedure forevaluating,381scoring, andcompetitively evaluating and selectingrankingall 382 applications for funding based on the criteria set forth in s. 383 420.5087(6)(c),;determining actual loan amounts,;making and 384 servicing loans,;and exercising the powers authorized in this 385 subsection. 386 (48) To awarduse up to 10 percent ofits annual allocation 387 of low-income housing tax credits, nontaxable revenue bonds, and 388 State Apartment Incentive Loan Program funds appropriated by the 389 Legislature and available to allocate by request for proposals 390 or other competitive solicitation. The corporation shall reserve 391 up to 5 percent of each allocationfundingfor high-priority 392 affordable housing projects, such as housing to support economic 393 development and job-creation initiatives, housing for veterans 394 and their families, and other special needs populations in 395 communities throughout the state as determined by the 396 corporation on an annual basis. The corporation shall reserve an 397 additional 5 percent of each allocation for affordable housing 398 projects that target persons who have a disabling condition as 399 defined in s. 420.0004 and their families. These allocations 400 must prioritize projects or initiatives piloting or 401 demonstrating cost effective, best practices that meet the 402 housing needs and preferences of such persons. Any tax credits 403 or funds not allocated because of a lack of eligible projects 404 targeting persons who have a disabling condition shall be 405 distributed by the corporation for high-priority housing 406 projects. 407 Section 8. Paragraphs (c) and (f) of subsection (6) of 408 section 420.5087, Florida Statutes, are amended to read: 409 420.5087 State Apartment Incentive Loan Program.—There is 410 hereby created the State Apartment Incentive Loan Program for 411 the purpose of providing first, second, or other subordinated 412 mortgage loans or loan guarantees to sponsors, including for 413 profit, nonprofit, and public entities, to provide housing 414 affordable to very-low-income persons. 415 (6) On all state apartment incentive loans, except loans 416 made to housing communities for the elderly to provide for 417 lifesafety, building preservation, health, sanitation, or 418 security-related repairs or improvements, the following 419 provisions shall apply: 420 (c) The corporation shall provide by rule for the 421 establishment of a review committeecomposed of the department422and corporation staff and shall establish by rule a scoring423systemfor the competitive evaluation and selectioncompetitive424rankingof applications submitted in this program, including, 425 but not limited to, the following criteria: 426 1. Tenant income and demographic targeting objectives of 427 the corporation. 428 2. Targeting objectives of the corporation which will 429 ensure an equitable distribution of loans between rural and 430 urban areas. 431 3. Sponsor’s agreement to reserve the units for persons or 432 families who have incomes below 50 percent of the state or local 433 median income, whichever is higher, for a time period that 434 exceedsto exceedthe minimum required by federal law or the 435provisions ofthis part. 436 4. Sponsor’s agreement to reserve more than: 437 a. Twenty percent of the units in the project for persons 438 or families who have incomes that do not exceed 50 percent of 439 the state or local median income, whichever is higher; or 440 b. Forty percent of the units in the project for persons or 441 families who have incomes that do not exceed 60 percent of the 442 state or local median income, whichever is higher, without 443 requiring a greater amount of the loans as provided in this 444 section. 445 5. Provision for tenant counseling. 446 6. Sponsor’s agreement to accept rental assistance 447 certificates or vouchers as payment for rent. 448 7. Projects requiring the least amount of a state apartment 449 incentive loan compared to overall project cost, except that the 450 share of the loan attributable to units serving extremely-low 451 income persons mustshallbe excluded from this requirement. 452 8. Local government contributions and local government 453 comprehensive planning and activities that promote affordable 454 housing. 455 9. Project feasibility. 456 10. Economic viability of the project. 457 11. Commitment of first mortgage financing. 458 12. Sponsor’s prior experience. 459 13. Sponsor’s ability to proceed with construction. 460 14. Projects that directly implement or assist welfare-to 461 work transitioning. 462 15. Projects that reserve units for extremely-low-income 463 persons. 464 16. Projects that include green building principles, storm 465 resistant construction, or other elements that reduce long-term 466 costs relating to maintenance, utilities, or insurance. 467 17. Job-creation rate of the developer and general 468 contractor, as provided in s. 420.507(47). 469 (f) The review committee established by corporation rule 470 pursuant to this subsection shall make recommendations to the 471 board of directors of the corporation regarding program 472 participation under the State Apartment Incentive Loan Program. 473 The corporation board shall make the finalranking and the474 decisions regarding which applicants shall become program 475 participants based on the scores received in the competitive 476 processranking, further review of applications, and the 477 recommendations of the review committee. The corporation board 478 shall approve or reject applications for loans and shall 479 determine the tentative loan amount available to each applicant 480 selected for participation in the program. The actual loan 481 amount shall be determined pursuant to rule adopted pursuant to 482 s. 420.507(22)(h). 483 Section 9. Section 420.511, Florida Statutes, is amended to 484 read: 485 420.511 Strategic business plan; long-range program 486strategicplan; annual report; audited financial statements.— 487 (1) The corporation shall develop a strategic business plan 488 for the provision of affordable housing for the state. The plan 489 must be consistentshall not be inconsistentwith the long-range 490 programstrategicplan prepared pursuant to subsection (2) and 491 shall contain performance measures and specific performance 492 targets for the following: 493 (a) The ability of low-income and moderate-income 494 Floridians to access housing that is decent and affordable. 495 (b) The continued availability and affordability of housing 496 financed by the corporation to target populations. 497 (c) The availability of affordable financing programs, 498 including equity and debt products, and programs that reduce 499 gaps in conventional financing in order,to increase individual 500 access to housing and stimulate private production of affordable 501 housing. 502 (d) The establishment and maintenance of efficiencies in 503 the delivery of affordable housing. 504 (e) Such other measures as directed by the corporation’s 505 board of directors. 506 507The corporation shall also compile data on the stimulus of508economic activity created by the affordable housing finance509programs administered by the corporation.510 (2) The corporation, in coordinationequal partnershipwith 511 the department, shalldevelopannually develop a long-range 512 programstrategicplan for the provision of affordable housing 513 in this state asFlorida aspart of the department’s agency514strategic planrequired pursuant to chapter 186. In part, the 515 plan mustshallinclude provisions that maximize the abilities 516 of the corporationand the departmentto implement the state 517 housing strategy established under s. 420.0003, to respond to 518 federal housing initiatives, and to develop programs in a manner 519 that is more responsive to the needs of public and private 520 partners. The plan shall be developed on a schedule consistent 521 with that established by s. 186.021. For purposes of this 522 sectionact, the executive director or his or her designee shall 523 serve as the corporation’s representative to achieve a 524 coordinated and integrated planning relationship with the 525 department. 526 (3)(a)The corporation shall submit to the Governor and the 527 presiding officers of each house of the Legislature, within 62528 months after the end of its fiscal year, a complete and detailed 529 report setting forth the corporation’s state and federal program 530 accomplishments using the most recent available data. The report 531 must include, but is not limited to: 532 (a) The following tenant characteristics in the existing 533 rental units financed through corporation-administered programs: 534 1. The number of households served, delineated by income, 535 race, ethnicity, and age of the head of household. 536 2. The number of households served in large, medium, and 537 small counties as defined by s. 420.5087 and the extent to which 538 geographic distribution has been achieved in accordance with s. 539 420.5087. 540 3. The number of farmworker and commercial-fishing worker 541 households served. 542 4. The number of homeless households served. 543 5. The number of special needs households served. 544 6. By county, the average rent charged based on unit size. 545 (b) The number of rental units to which resources have been 546 allocated in the last fiscal year, including income and 547 demographic restrictions. 548 (c) The estimated average cost of producing units under 549 each rental or homeownership unit financed under each program in 550 the last fiscal year. 551 (d) By county, the average sales price of homeownership 552 units financed in the last fiscal year. 553 (e) The number of households served by homeownership 554 programs in the last fiscal year, including the income, race, 555 ethnicity, and age of the homeowner of each household. 556 (f) The percentage of homeownership loans that are in 557 foreclosure. 558 (g) The percentage of properties in the corporation’s 559 rental portfolio which have an occupancy rate below 90 percent. 560 (h) The amount of economic stimulus created by the 561 affordable housing finance programs administered by the 562 corporation for the most recent year available. 563 (i) For the State Apartment Incentive Loan Program (SAIL), 564 a comprehensive list of all closed loans outstanding at the end 565 of the most recent fiscal year, including, but not limited to, 566 development name, city, county, developer, set-aside type, set 567 aside percentage, affordability term, total number of units, 568 number of set-aside units, lien position, original loan amount, 569 loan maturity date, loan balance at close of year, status of 570 loan, rate of interest, and interest paid. 571 (j) For the Florida Affordable Housing Guarantee Program, a 572 list of all guaranteed loans through the close of the most 573 recent fiscal year, including, but not limited to, development 574 name, city, county, developer, total number of units, issuer of 575 the bonds, loan maturity date, participation in the United 576 States Department of Housing and Urban Development Risk-Sharing 577 Program, original guarantee amount, guarantee amount at the 578 close of the fiscal year, status of guaranteed loans, and total 579 outstanding Florida Housing Finance Corporation Affordable 580 Housing Guarantee Program revenue bonds at the close of the most 581 recent fiscal year. 582 (k) Any other information the corporation deems 583 appropriate. 5841. Its operations and accomplishments;5852. Its receipts and expenditures during its fiscal year in586accordance with the categories or classifications established by587the corporation for its operating and capital outlay purposes;5883. Its assets and liabilities at the end of its fiscal year589and the status of reserve, special, or other funds;5904. A schedule of its bonds outstanding at the end of its591fiscal year, together with a statement of the principal amounts592of bonds issued and redeemed during the fiscal year; and5935. Information relating to the corporation’s activities in594implementing the provisions of ss.420.5087,420.5088, and595420.5095.596(b) The report shall include, but not be limited to:5971. The number of people served, delineated by income, age,598family size, and racial characteristics.5992. The number of units produced under each program.6003. The average cost of producing units under each program.6014. The average sales price of single-family units financed602under s.420.5088.6035. The average amount of rent charged based on unit size on604units financed under s.420.5087.6056. The number of persons in rural communities served under606each program.6077. The number of farmworkers served under each program.6088. The number of homeless persons served under each609program.6109. The number of elderly persons served under each program.61110. The extent to which geographic distribution has been612achieved in accordance with the provisions of s.420.5087.61311. The success of the Community Workforce Housing614Innovation Pilot Program in meeting the housing needs of615eligible areas.61612. Any other information the corporation deems617appropriate.618 (4) Within 6 months after the end of its fiscal year, the 619 corporation shall submit audited financial statements prepared 620 in accordance with generally accepted accounting principles 621 which include all assets, liabilities, revenues, and expenses of 622 the corporation, and a list of all bonds outstanding at the end 623 of its fiscal year.with the annual report required by this624section, a copy of an annual financial audit of its accounts and625records and an annual complianceThe audit must beof its626programsconducted by an independent certified public 627 accountant, performed in accordance with generally accepted 628 auditing standards and government auditing standards, and 629 incorporate all reports, including compliance reports, as 630 required by such auditing standards. 631 (5) The Auditor General shall conduct an operational audit 632 of the accounts and records of the corporation and provide a 633 written report on the audit to the President of the Senate and 634 the Speaker of the House of Representatives by December 1, 2016. 635 Both the corporation’s business plan and annual report must 636shallrecognize the different fiscal periods under which the 637 corporation, the state, the Federal Government, and local 638 governments operate. 639 Section 10. Paragraph (b) of subsection (4) of section 640 420.0003, Florida Statutes, is amended to read: 641 420.0003 State housing strategy.— 642 (4) IMPLEMENTATION.—The Department of Economic Opportunity 643 and the Florida Housing Finance Corporation in carrying out the 644 strategy articulated herein shall have the following duties: 645 (b) The long-range programagency strategicplan of the 646 Department of Economic Opportunity mustshallinclude specific 647 goals, objectives, and strategies that implement the housing 648 policies in this sectionand shall include the strategic plan649for housing production prepared by the corporation pursuant to650s.420.511. 651 Section 11. Section 420.0006, Florida Statutes, is amended 652 to read: 653 420.0006 Authority to contract with corporation; contract 654 requirements; nonperformance.—The executive director of the 655 department shall contract, notwithstanding part I of chapter 656 287, with the Florida Housing Finance Corporation on a multiyear 657 basis to stimulate, provide, and foster affordable housing in 658 the state. The contract must incorporate the performance 659 measures required by s. 420.511 andmustbe consistent withthe660provisions ofthe corporation’s strategic business plan prepared 661 in accordance with s. 420.511. The contract must provide that 662 if, in the eventthe corporation fails to comply withany of the663 a performance measuremeasuresrequired by s. 420.511, the 664 executive director shall notify the Governor andshallrefer the 665 nonperformance to the department’s inspector general for review 666 and determination as to whether such failure is due to forces 667 beyond the corporation’s control or whether such failure is due 668 to inadequate management of the corporation’s resources. 669 Advances shall continue to be made pursuant to s. 420.0005 670 during the pendency of the reviewby the department’s inspector671general. If such failure is due to outside forces, it mayshall672 not be deemed a violation of the contract. If such failure is 673 due to inadequate management, the department’s inspector general 674 shall provide recommendations regarding solutions. The Governor 675 mayis authorized toresolveanydifferences of opinion with 676 respect to performance under the contract and may request that 677 advances continue in the event of a failure under the contract 678 due to inadequate management. The Chief Financial Officer shall 679 approve the request absent a finding by the Chief Financial 680 Officer that continuing such advances would adversely impact the 681 state; however,in any eventthe Chief Financial Officer shall 682 provide advances sufficient to meet the debt service 683 requirements of the corporation and sufficient to fund contracts 684 committing funds from the State Housing Trust Fund ifso long as685 such contracts are in accordance with the laws of this state. 686 Section 12. Subsection (1) of section 420.504, Florida 687 Statutes, is amended to read: 688 420.504 Public corporation; creation, membership, terms, 689 expenses.— 690 (1)There is created within the Department of Economic691OpportunityA public corporation and a public body corporate and 692 politic, to be known as the “Florida Housing Finance 693 Corporation,” is created within the Department of Economic 694 Opportunity.“Florida Housing Finance Corporation.”It is 695 declared to be the intent of and constitutional construction by 696 the Legislature that the Florida Housing Finance Corporation 697 constitutes an entrepreneurial public corporation organized to 698 provide and promote the public welfare by administering the 699 governmental function of financing or refinancing housing and 700 related facilities in this stateFloridaand that the 701 corporation is not a department of the executive branch of state 702 government within the scope and meaning of s. 6, Art. IV of the 703 State Constitution, but is functionally related to the 704 Department of Economic Opportunity in which it is placed. The 705 executive function of state government to be performed by the 706 executive director of the Department of Economic Opportunity in 707 the conduct of the business of the Florida Housing Finance 708 Corporation must be performed pursuant to a contract to monitor 709 and set performance standards for the implementation of the 710 business plan for the provision of housing approved for the 711 corporation as provided in s. 420.0006. This contract mustshall712 includetheperformance standards for the provision of 713 affordable housing in this stateFloridaestablished in the 714 strategic business plan described in s. 420.511. 715 Section 13. Subsection (1) of section 420.506, Florida 716 Statutes, is amended to read: 717 420.506 Executive director; agents and employees; inspector 718 general.— 719 (1) The appointment and removal of an executive director 720 shall be by the executive director of the Department of Economic 721 Opportunity, with the advice and consent of the corporation’s 722 board of directors. The executive director shall employ legal 723 and technical experts and such other agents and employees, 724 permanent and temporary, as the corporation may require, and 725 shall communicate with and provide information to the 726 Legislature with respect to the corporation’s activities.The727board is authorized,Notwithstandingthe provisions ofs. 728 216.262, the board maytodevelop and implement rules regarding 729 the employment of employees of the corporation and service 730 providers, including legal counsel. The boardof directors of731the corporationis entitled to establish travel procedures and 732 guidelines for employees of the corporation, subject to s. 733 112.061(6) and (7). The executive director’s office and the 734 corporation’s files and records must be located in Leon County. 735 Section 14. Section 420.5091, Florida Statutes, is 736 repealed. 737 Section 15. This act shall take effect upon becoming a law 738 and shall first apply to the 2013 ad valorem tax rolls.