Bill Text: FL S1372 | 2015 | Regular Session | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Government Accountability
Spectrum: Slight Partisan Bill (? 3-1)
Status: (Failed) 2015-04-28 - Died in Messages [S1372 Detail]
Download: Florida-2015-S1372-Comm_Sub.html
Bill Title: Government Accountability
Spectrum: Slight Partisan Bill (? 3-1)
Status: (Failed) 2015-04-28 - Died in Messages [S1372 Detail]
Download: Florida-2015-S1372-Comm_Sub.html
Florida Senate - 2015 CS for CS for SB 1372
By the Committees on Community Affairs; and Ethics and
Elections; and Senator Gaetz
578-03181-15 20151372c2
1 A bill to be entitled
2 An act relating to government accountability; amending
3 s. 11.40, F.S.; specifying that the Governor, the
4 Commissioner of Education, or the designee of the
5 Governor or of the Commissioner of Education may
6 notify the Legislative Auditing Committee of an
7 entity’s failure to comply with certain auditing and
8 financial reporting requirements; amending s. 11.45,
9 F.S.; defining the terms “abuse,” “fraud,” and
10 “waste”; revising the definition of the term “local
11 governmental entity”; excluding water management
12 districts from certain audit requirements; removing a
13 cross-reference; authorizing the Auditor General to
14 conduct audits of tourist development councils and
15 county tourism promotion agencies; revising reporting
16 requirements applicable to the Auditor General;
17 amending s. 28.35, F.S.; revising reporting
18 requirements applicable to the Florida Clerks of Court
19 Operations Corporation; amending s. 43.16, F.S.;
20 revising the responsibilities of the Justice
21 Administrative Commission, each state attorney, each
22 public defender, a criminal conflict and civil
23 regional counsel, a capital collateral regional
24 counsel, and the Guardian Ad Litem Program, to include
25 the establishment and maintenance of certain internal
26 controls; amending s. 112.31455, F.S.; correcting a
27 cross-reference; revising provisions governing
28 collection methods for unpaid automatic fines for
29 failure to timely file disclosure of financial
30 interests to include school districts; creating s.
31 112.31456, F.S.; authorizing the Commission on Ethics
32 to seek wage garnishment of certain individuals to
33 satisfy unpaid fines; authorizing the commission to
34 refer unpaid fines to a collection agency;
35 establishing a statute of limitations with respect to
36 the collection of an unpaid fine; amending s.
37 112.3261, F.S.; revising terms to conform to changes
38 made by the act; expanding the types of governmental
39 entities that are subject to lobbyist registration
40 requirements; requiring a governmental entity to
41 create a lobbyist registration form; amending ss.
42 129.03, 129.06, 166.241, and 189.016, F.S.; requiring
43 counties, municipalities, and special districts to
44 maintain certain budget documents on the entities’
45 websites for a specified period; amending s. 215.425,
46 F.S.; defining the term “public funds”; requiring a
47 unit of government to investigate and take necessary
48 action to recover prohibited compensation; specifying
49 methods of recovery and liability for unintentional
50 and willful violations; providing a penalty;
51 specifying applicability of procedures regarding
52 suspension and removal of an officer who commits a
53 willful violation; establishing eligibility criteria
54 and amounts for rewards; specifying circumstances
55 under which an employee has a cause of action under
56 the Whistle-blower’s Act; establishing causes of
57 action if a unit of government fails to recover
58 prohibited compensation within a certain timeframe;
59 amending s. 215.86, F.S.; revising management systems
60 and controls to be employed by each state agency and
61 the judicial branch; amending s. 215.97, F.S.;
62 revising the definition of the term “audit threshold”;
63 amending s. 215.985, F.S.; revising the requirements
64 for a monthly financial statement provided by a water
65 management district; amending s. 218.32, F.S.;
66 revising the requirements of the annual financial
67 audit report of a local governmental entity;
68 authorizing the Department of Financial Services to
69 request additional information from a local
70 governmental entity; requiring a local governmental
71 entity to respond to such requests within a specified
72 timeframe; requiring the department to notify the
73 Legislative Auditing Committee of noncompliance;
74 amending s. 218.33, F.S.; requiring local governmental
75 entities to establish and maintain internal controls;
76 amending s. 218.39, F.S.; requiring an audited entity
77 to respond to audit recommendations under specified
78 circumstances; amending s. 218.391, F.S.; revising the
79 composition of an audit committee; prohibiting an
80 audit committee member from being an employee, chief
81 executive officer, or chief financial officer of the
82 respective governmental entity; requiring the chair of
83 an audit committee to sign and execute an affidavit
84 affirming compliance with auditor selection
85 procedures; prescribing procedures in the event of
86 noncompliance with auditor selection procedures;
87 amending s. 288.92, F.S.; prohibiting specified
88 officers and board members of Enterprise Florida,
89 Inc., from representing a person or entity for
90 compensation before Enterprise Florida, Inc., and
91 associated entities thereof, for a specified
92 timeframe; amending s. 288.9604, F.S.; prohibiting a
93 director of the board of directors of the Florida
94 Development Finance Corporation from representing a
95 person or entity for compensation before the
96 corporation for a specified timeframe; amending s.
97 373.536, F.S.; deleting obsolete language; requiring
98 water management districts to maintain certain budget
99 documents on the districts’ websites for a specified
100 period; amending s. 1002.33, F.S.; revising the
101 responsibilities of the governing board of a charter
102 school to include the establishment and maintenance of
103 internal controls; amending s. 1002.37, F.S.;
104 requiring completion of an annual financial audit of
105 the Florida Virtual School; specifying audit
106 requirements; requiring an audit report to be
107 submitted to the board of trustees of the Florida
108 Virtual School and the Auditor General; removing
109 obsolete provisions; amending s. 1010.01, F.S.;
110 requiring each school district, Florida College System
111 institution, and state university to establish and
112 maintain certain internal controls; amending s.
113 1010.30, F.S.; requiring a district school board,
114 Florida College System institution board of trustees,
115 or university board of trustees to respond to audit
116 recommendations under certain circumstances; amending
117 ss. 68.082, 68.083, 218.503, and 1002.455, F.S.;
118 conforming provisions and cross-references to changes
119 made by the act; declaring that the act fulfills an
120 important state interest; providing an effective date.
121
122 Be It Enacted by the Legislature of the State of Florida:
123
124 Section 1. Subsection (2) of section 11.40, Florida
125 Statutes, is amended to read:
126 11.40 Legislative Auditing Committee.—
127 (2) Following notification by the Auditor General, the
128 Department of Financial Services, or the Division of Bond
129 Finance of the State Board of Administration, the Governor or
130 his or her designee, or the Commissioner of Education or his or
131 her designee of the failure of a local governmental entity,
132 district school board, charter school, or charter technical
133 career center to comply with the applicable provisions within s.
134 11.45(5)-(7), s. 218.32(1), s. 218.38, or s. 218.503(3), the
135 Legislative Auditing Committee may schedule a hearing to
136 determine if the entity should be subject to further state
137 action. If the committee determines that the entity should be
138 subject to further state action, the committee shall:
139 (a) In the case of a local governmental entity or district
140 school board, direct the Department of Revenue and the
141 Department of Financial Services to withhold any funds not
142 pledged for bond debt service satisfaction which are payable to
143 such entity until the entity complies with the law. The
144 committee shall specify the date such action shall begin, and
145 the directive must be received by the Department of Revenue and
146 the Department of Financial Services 30 days before the date of
147 the distribution mandated by law. The Department of Revenue and
148 the Department of Financial Services may implement the
149 provisions of this paragraph.
150 (b) In the case of a special district created by:
151 1. A special act, notify the President of the Senate, the
152 Speaker of the House of Representatives, the standing committees
153 of the Senate and the House of Representatives charged with
154 special district oversight as determined by the presiding
155 officers of each respective chamber, the legislators who
156 represent a portion of the geographical jurisdiction of the
157 special district pursuant to s. 189.034(2), and the Department
158 of Economic Opportunity that the special district has failed to
159 comply with the law. Upon receipt of notification, the
160 Department of Economic Opportunity shall proceed pursuant to s.
161 189.062 or s. 189.067. If the special district remains in
162 noncompliance after the process set forth in s. 189.034(3), or
163 if a public hearing is not held, the Legislative Auditing
164 Committee may request the department to proceed pursuant to s.
165 189.067(3).
166 2. A local ordinance, notify the chair or equivalent of the
167 local general-purpose government pursuant to s. 189.035(2) and
168 the Department of Economic Opportunity that the special district
169 has failed to comply with the law. Upon receipt of notification,
170 the department shall proceed pursuant to s. 189.062 or s.
171 189.067. If the special district remains in noncompliance after
172 the process set forth in s. 189.034(3), or if a public hearing
173 is not held, the Legislative Auditing Committee may request the
174 department to proceed pursuant to s. 189.067(3).
175 3. Any manner other than a special act or local ordinance,
176 notify the Department of Economic Opportunity that the special
177 district has failed to comply with the law. Upon receipt of
178 notification, the department shall proceed pursuant to s.
179 189.062 or s. 189.067(3).
180 (c) In the case of a charter school or charter technical
181 career center, notify the appropriate sponsoring entity, which
182 may terminate the charter pursuant to ss. 1002.33 and 1002.34.
183 Section 2. Subsection (1), paragraph (j) of subsection (2),
184 paragraph (v) of subsection (3), and paragraph (i) of subsection
185 (7) of section 11.45, Florida Statutes, are amended, and
186 paragraph (y) is added to subsection (3) of that section, to
187 read:
188 11.45 Definitions; duties; authorities; reports; rules.—
189 (1) DEFINITIONS.—As used in ss. 11.40-11.51, the term:
190 (a) “Abuse” means behavior that is deficient or improper
191 when compared with behavior that a prudent person would consider
192 reasonable and necessary operational practice given the facts
193 and circumstances. The term includes the misuse of authority or
194 position for personal gain.
195 (b)(a) “Audit” means a financial audit, operational audit,
196 or performance audit.
197 (c)(b) “County agency” means a board of county
198 commissioners or other legislative and governing body of a
199 county, however styled, including that of a consolidated or
200 metropolitan government, a clerk of the circuit court, a
201 separate or ex officio clerk of the county court, a sheriff, a
202 property appraiser, a tax collector, a supervisor of elections,
203 or any other officer in whom any portion of the fiscal duties of
204 the above are under law separately placed.
205 (d)(c) “Financial audit” means an examination of financial
206 statements in order to express an opinion on the fairness with
207 which they are presented in conformity with generally accepted
208 accounting principles and an examination to determine whether
209 operations are properly conducted in accordance with legal and
210 regulatory requirements. Financial audits must be conducted in
211 accordance with auditing standards generally accepted in the
212 United States and government auditing standards as adopted by
213 the Board of Accountancy. When applicable, the scope of
214 financial audits shall encompass the additional activities
215 necessary to establish compliance with the Single Audit Act
216 Amendments of 1996, 31 U.S.C. ss. 7501-7507, and other
217 applicable federal law.
218 (e) “Fraud” means obtaining something of value through
219 willful misrepresentation, including, but not limited to, the
220 intentional misstatements or omissions of amounts or disclosures
221 in financial statements to deceive users of financial
222 statements, theft of an entity’s assets, bribery, or the use of
223 one’s position for personal enrichment through the deliberate
224 misuse or misapplication of an organization’s resources.
225 (f)(d) “Governmental entity” means a state agency, a county
226 agency, or any other entity, however styled, that independently
227 exercises any type of state or local governmental function.
228 (g)(e) “Local governmental entity” means a county agency,
229 municipality, tourist development council, county tourism
230 promotion agency, or special district as defined in s. 189.012.
231 The term, but does not include any housing authority established
232 under chapter 421.
233 (h)(f) “Management letter” means a statement of the
234 auditor’s comments and recommendations.
235 (i)(g) “Operational audit” means an audit whose purpose is
236 to evaluate management’s performance in establishing and
237 maintaining internal controls, including controls designed to
238 prevent and detect fraud, waste, and abuse, and in administering
239 assigned responsibilities in accordance with applicable laws,
240 administrative rules, contracts, grant agreements, and other
241 guidelines. Operational audits must be conducted in accordance
242 with government auditing standards. Such audits examine internal
243 controls that are designed and placed in operation to promote
244 and encourage the achievement of management’s control objectives
245 in the categories of compliance, economic and efficient
246 operations, reliability of financial records and reports, and
247 safeguarding of assets, and identify weaknesses in those
248 internal controls.
249 (j)(h) “Performance audit” means an examination of a
250 program, activity, or function of a governmental entity,
251 conducted in accordance with applicable government auditing
252 standards or auditing and evaluation standards of other
253 appropriate authoritative bodies. The term includes an
254 examination of issues related to:
255 1. Economy, efficiency, or effectiveness of the program.
256 2. Structure or design of the program to accomplish its
257 goals and objectives.
258 3. Adequacy of the program to meet the needs identified by
259 the Legislature or governing body.
260 4. Alternative methods of providing program services or
261 products.
262 5. Goals, objectives, and performance measures used by the
263 agency to monitor and report program accomplishments.
264 6. The accuracy or adequacy of public documents, reports,
265 or requests prepared under the program by state agencies.
266 7. Compliance of the program with appropriate policies,
267 rules, or laws.
268 8. Any other issues related to governmental entities as
269 directed by the Legislative Auditing Committee.
270 (k)(i) “Political subdivision” means a separate agency or
271 unit of local government created or established by law and
272 includes, but is not limited to, the following and the officers
273 thereof: authority, board, branch, bureau, city, commission,
274 consolidated government, county, department, district,
275 institution, metropolitan government, municipality, office,
276 officer, public corporation, town, or village.
277 (l)(j) “State agency” means a separate agency or unit of
278 state government created or established by law and includes, but
279 is not limited to, the following and the officers thereof:
280 authority, board, branch, bureau, commission, department,
281 division, institution, office, officer, or public corporation,
282 as the case may be, except any such agency or unit within the
283 legislative branch of state government other than the Florida
284 Public Service Commission.
285 (m) “Waste” means the act of using or expending resources
286 unreasonably, carelessly, extravagantly, or for no useful
287 purpose.
288 (2) DUTIES.—The Auditor General shall:
289 (j) Conduct audits of local governmental entities when
290 determined to be necessary by the Auditor General, when directed
291 by the Legislative Auditing Committee, or when otherwise
292 required by law. No later than 18 months after the release of
293 the audit report, the Auditor General shall perform such
294 appropriate followup procedures as he or she deems necessary to
295 determine the audited entity’s progress in addressing the
296 findings and recommendations contained within the Auditor
297 General’s previous report. The Auditor General shall notify each
298 member of the audited entity’s governing body and the
299 Legislative Auditing Committee of the results of his or her
300 determination. For purposes of this paragraph, local
301 governmental entities do not include water management districts.
302
303 The Auditor General shall perform his or her duties
304 independently but under the general policies established by the
305 Legislative Auditing Committee. This subsection does not limit
306 the Auditor General’s discretionary authority to conduct other
307 audits or engagements of governmental entities as authorized in
308 subsection (3).
309 (3) AUTHORITY FOR AUDITS AND OTHER ENGAGEMENTS.—The Auditor
310 General may, pursuant to his or her own authority, or at the
311 direction of the Legislative Auditing Committee, conduct audits
312 or other engagements as determined appropriate by the Auditor
313 General of:
314 (v) The Florida Virtual School pursuant to s. 1002.37.
315 (y) Tourist development councils and county tourism
316 promotion agencies.
317 (7) AUDITOR GENERAL REPORTING REQUIREMENTS.—
318 (i) The Auditor General shall annually transmit by July 15,
319 to the President of the Senate, the Speaker of the House of
320 Representatives, and the Department of Financial Services, a
321 list of all school districts, charter schools, charter technical
322 career centers, Florida College System institutions, state
323 universities, and local governmental entities water management
324 districts that have failed to comply with the transparency
325 requirements as identified in the audit reports reviewed
326 pursuant to paragraph (b) and those conducted pursuant to
327 subsection (2).
328 Section 3. Paragraph (d) of subsection (2) of section
329 28.35, Florida Statutes, is amended to read:
330 28.35 Florida Clerks of Court Operations Corporation.—
331 (2) The duties of the corporation shall include the
332 following:
333 (d) Developing and certifying a uniform system of workload
334 measures and applicable workload standards for court-related
335 functions as developed by the corporation and clerk workload
336 performance in meeting the workload performance standards. These
337 workload measures and workload performance standards shall be
338 designed to facilitate an objective determination of the
339 performance of each clerk in accordance with minimum standards
340 for fiscal management, operational efficiency, and effective
341 collection of fines, fees, service charges, and court costs. The
342 corporation shall develop the workload measures and workload
343 performance standards in consultation with the Legislature. When
344 the corporation finds a clerk has not met the workload
345 performance standards, the corporation shall identify the nature
346 of each deficiency and any corrective action recommended and
347 taken by the affected clerk of the court. For quarterly periods
348 ending on the last day of March, June, September, and December
349 of each year, the corporation shall notify the Legislature of
350 any clerk not meeting workload performance standards and provide
351 a copy of any corrective action plans. Such notifications shall
352 be submitted no later than 45 days after the end of the
353 preceding quarterly period. As used in this subsection, the
354 term:
355 1. “Workload measures” means the measurement of the
356 activities and frequency of the work required for the clerk to
357 adequately perform the court-related duties of the office as
358 defined by the membership of the Florida Clerks of Court
359 Operations Corporation.
360 2. “Workload performance standards” means the standards
361 developed to measure the timeliness and effectiveness of the
362 activities that are accomplished by the clerk in the performance
363 of the court-related duties of the office as defined by the
364 membership of the Florida Clerks of Court Operations
365 Corporation.
366 Section 4. Present subsections (6) and (7) of section
367 43.16, Florida Statutes, are redesignated as subsections (7) and
368 (8), respectively, and a new subsection (6) is added to that
369 section, to read:
370 43.16 Justice Administrative Commission; membership, powers
371 and duties.—
372 (6) The commission, each state attorney, each public
373 defender, the criminal conflict and civil regional counsel, the
374 capital collateral regional counsel, and the Guardian Ad Litem
375 Program shall establish and maintain internal controls designed
376 to:
377 (a) Prevent and detect fraud, waste, and abuse.
378 (b) Promote and encourage compliance with applicable laws,
379 rules, contracts, grant agreements, and best practices.
380 (c) Support economical and efficient operations.
381 (d) Ensure reliability of financial records and reports.
382 (e) Safeguard assets.
383 Section 5. Subsection (1) of section 112.31455, Florida
384 Statutes, is amended to read:
385 112.31455 Collection methods for unpaid automatic fines for
386 failure to timely file disclosure of financial interests.—
387 (1) Before referring any unpaid fine accrued pursuant to s.
388 112.3144(5) or s. 112.3145(7) s. 112.3145(6) to the Department
389 of Financial Services, the commission shall attempt to determine
390 whether the individual owing such a fine is a current public
391 officer or current public employee. If so, the commission may
392 notify the Chief Financial Officer or the governing body of the
393 appropriate county, municipality, school district, or special
394 district of the total amount of any fine owed to the commission
395 by such individual.
396 (a) After receipt and verification of the notice from the
397 commission, the Chief Financial Officer or the governing body of
398 the county, municipality, school district, or special district
399 shall begin withholding the lesser of 10 percent or the maximum
400 amount allowed under federal law from any salary-related
401 payment. The withheld payments shall be remitted to the
402 commission until the fine is satisfied.
403 (b) The Chief Financial Officer or the governing body of
404 the county, municipality, school district, or special district
405 may retain an amount of each withheld payment, as provided in s.
406 77.0305, to cover the administrative costs incurred under this
407 section.
408 Section 6. Section 112.31456, Florida Statutes, is created
409 to read:
410 112.31456 Garnishment of wages for unpaid automatic fines
411 for failure to timely file disclosure of financial interests.—
412 (1) Before referring any unpaid fine accrued pursuant to s.
413 112.3144(5) or s. 112.3145(7) to the Department of Financial
414 Services, the commission shall attempt to determine whether the
415 individual owing such a fine is a current public officer or
416 current public employee. If the commission determines that an
417 individual who is the subject of an unpaid fine accrued pursuant
418 to s. 112.3144(5) or s. 112.3145(7) is no longer a public
419 officer or public employee or if the commission cannot determine
420 whether the individual is a current public officer or current
421 public employee, the commission may, 6 months after the order
422 becomes final, seek garnishment of any wages to satisfy the
423 amount of the fine, or any unpaid portion thereof, pursuant to
424 chapter 77. Upon recording the order imposing the fine with the
425 clerk of the circuit court, the order shall be deemed a judgment
426 for purposes of garnishment pursuant to chapter 77.
427 (2) The commission may refer unpaid fines to the
428 appropriate collection agency, as directed by the Chief
429 Financial Officer, to use any collection methods provided by
430 law. Except as expressly limited by this section, any other
431 collection method authorized by law is allowed.
432 (3) Action may be taken to collect any unpaid fine imposed
433 by ss. 112.3144 and 112.3145 within 20 years after the date the
434 final order is rendered.
435 Section 7. Section 112.3261, Florida Statutes, is amended
436 to read:
437 112.3261 Lobbying before governmental entities water
438 management districts; registration and reporting.—
439 (1) As used in this section, the term:
440 (a) “Governmental entity” or “entity” “District” means a
441 water management district created in s. 373.069 and operating
442 under the authority of chapter 373, a hospital district, a
443 children’s services district, an expressway authority as the
444 term “authority” as defined in s. 348.0002, the term “port
445 authority” as defined in s. 315.02, or an independent special
446 district with annual revenues of more than $5 million which
447 exercises ad valorem taxing authority.
448 (b) “Lobbies” means seeking, on behalf of another person,
449 to influence a governmental entity district with respect to a
450 decision of the entity district in an area of policy or
451 procurement or an attempt to obtain the goodwill of an a
452 district official or employee of a governmental entity. The term
453 “lobbies” shall be interpreted and applied consistently with the
454 rules of the commission implementing s. 112.3215.
455 (c) “Lobbyist” has the same meaning as provided in s.
456 112.3215.
457 (d) “Principal” has the same meaning as provided in s.
458 112.3215.
459 (2) A person may not lobby a governmental entity district
460 until such person has registered as a lobbyist with that entity
461 district. Such registration shall be due upon initially being
462 retained to lobby and is renewable on a calendar-year basis
463 thereafter. Upon registration, the person shall provide a
464 statement signed by the principal or principal’s representative
465 stating that the registrant is authorized to represent the
466 principal. The principal shall also identify and designate its
467 main business on the statement authorizing that lobbyist
468 pursuant to a classification system approved by the governmental
469 entity district. Any changes to the information required by this
470 section must be disclosed within 15 days by filing a new
471 registration form. The registration form shall require each
472 lobbyist to disclose, under oath, the following:
473 (a) The lobbyist’s name and business address.
474 (b) The name and business address of each principal
475 represented.
476 (c) The existence of any direct or indirect business
477 association, partnership, or financial relationship with an
478 official any officer or employee of a governmental entity
479 district with which he or she lobbies or intends to lobby.
480 (d) A governmental entity shall create a lobbyist
481 registration form modeled after the In lieu of creating its own
482 lobbyist registration forms, a district may accept a completed
483 legislative branch or executive branch lobbyist registration
484 form, which must be returned to the governmental entity.
485 (3) A governmental entity district shall make lobbyist
486 registrations available to the public. If a governmental entity
487 district maintains a website, a database of currently registered
488 lobbyists and principals must be available on the entity’s
489 district’s website.
490 (4) A lobbyist shall promptly send a written statement to
491 the governmental entity district canceling the registration for
492 a principal upon termination of the lobbyist’s representation of
493 that principal. A governmental entity district may remove the
494 name of a lobbyist from the list of registered lobbyists if the
495 principal notifies the entity district that a person is no
496 longer authorized to represent that principal.
497 (5) A governmental entity district may establish an annual
498 lobbyist registration fee, not to exceed $40, for each principal
499 represented. The governmental entity district may use
500 registration fees only to administer this section.
501 (6) A governmental entity district shall be diligent to
502 ascertain whether persons required to register pursuant to this
503 section have complied. A governmental entity district may not
504 knowingly authorize a person who is not registered pursuant to
505 this section to lobby the entity district.
506 (7) Upon receipt of a sworn complaint alleging that a
507 lobbyist or principal has failed to register with a governmental
508 entity district or has knowingly submitted false information in
509 a report or registration required under this section, the
510 commission shall investigate a lobbyist or principal pursuant to
511 the procedures established under s. 112.324. The commission
512 shall provide the Governor with a report of its findings and
513 recommendations in any investigation conducted pursuant to this
514 subsection. The Governor is authorized to enforce the
515 commission’s findings and recommendations.
516 (8) A governmental entity Water management districts may
517 adopt rules to establish procedures to govern the registration
518 of lobbyists, including the adoption of forms and the
519 establishment of a lobbyist registration fee.
520 Section 8. Paragraph (c) of subsection (3) of section
521 129.03, Florida Statutes, is amended to read:
522 129.03 Preparation and adoption of budget.—
523 (3) The county budget officer, after tentatively
524 ascertaining the proposed fiscal policies of the board for the
525 next fiscal year, shall prepare and present to the board a
526 tentative budget for the next fiscal year for each of the funds
527 provided in this chapter, including all estimated receipts,
528 taxes to be levied, and balances expected to be brought forward
529 and all estimated expenditures, reserves, and balances to be
530 carried over at the end of the year.
531 (c) The board shall hold public hearings to adopt tentative
532 and final budgets pursuant to s. 200.065. The hearings shall be
533 primarily for the purpose of hearing requests and complaints
534 from the public regarding the budgets and the proposed tax
535 levies and for explaining the budget and any proposed or adopted
536 amendments. The tentative budget must be posted on the county’s
537 official website at least 2 days before the public hearing to
538 consider such budget and must remain on the website for at least
539 45 days. The final budget must be posted on the website within
540 30 days after adoption and must remain on the website for at
541 least 2 years. The tentative budgets, adopted tentative budgets,
542 and final budgets shall be filed in the office of the county
543 auditor as a public record. Sufficient reference in words and
544 figures to identify the particular transactions shall be made in
545 the minutes of the board to record its actions with reference to
546 the budgets.
547 Section 9. Paragraph (f) of subsection (2) of section
548 129.06, Florida Statutes, is amended to read:
549 129.06 Execution and amendment of budget.—
550 (2) The board at any time within a fiscal year may amend a
551 budget for that year, and may within the first 60 days of a
552 fiscal year amend the budget for the prior fiscal year, as
553 follows:
554 (f) Unless otherwise prohibited by law, if an amendment to
555 a budget is required for a purpose not specifically authorized
556 in paragraphs (a)-(e), the amendment may be authorized by
557 resolution or ordinance of the board of county commissioners
558 adopted following a public hearing.
559 1. The public hearing must be advertised at least 2 days,
560 but not more than 5 days, before the date of the hearing. The
561 advertisement must appear in a newspaper of paid general
562 circulation and must identify the name of the taxing authority,
563 the date, place, and time of the hearing, and the purpose of the
564 hearing. The advertisement must also identify each budgetary
565 fund to be amended, the source of the funds, the use of the
566 funds, and the total amount of each fund’s appropriations.
567 2. If the board amends the budget pursuant to this
568 paragraph, the adopted amendment must be posted on the county’s
569 official website within 5 days after adoption and must remain on
570 the website for at least 2 years.
571 Section 10. Subsections (3) and (5) of section 166.241,
572 Florida Statutes, are amended to read:
573 166.241 Fiscal years, budgets, and budget amendments.—
574 (3) The tentative budget must be posted on the
575 municipality’s official website at least 2 days before the
576 budget hearing, held pursuant to s. 200.065 or other law, to
577 consider such budget, and must remain on the website for at
578 least 45 days. The final adopted budget must be posted on the
579 municipality’s official website within 30 days after adoption
580 and must remain on the website for at least 2 years. If the
581 municipality does not operate an official website, the
582 municipality must, within a reasonable period of time as
583 established by the county or counties in which the municipality
584 is located, transmit the tentative budget and final budget to
585 the manager or administrator of such county or counties who
586 shall post the budgets on the county’s website.
587 (5) If the governing body of a municipality amends the
588 budget pursuant to paragraph (4)(c), the adopted amendment must
589 be posted on the official website of the municipality within 5
590 days after adoption and must remain on the website for at least
591 2 years. If the municipality does not operate an official
592 website, the municipality must, within a reasonable period of
593 time as established by the county or counties in which the
594 municipality is located, transmit the adopted amendment to the
595 manager or administrator of such county or counties who shall
596 post the adopted amendment on the county’s website.
597 Section 11. Subsections (4) and (7) of section 189.016,
598 Florida Statutes, are amended to read:
599 189.016 Reports; budgets; audits.—
600 (4) The tentative budget must be posted on the special
601 district’s official website at least 2 days before the budget
602 hearing, held pursuant to s. 200.065 or other law, to consider
603 such budget, and must remain on the website for at least 45
604 days. The final adopted budget must be posted on the special
605 district’s official website within 30 days after adoption and
606 must remain on the website for at least 2 years. If the special
607 district does not operate an official website, the special
608 district must, within a reasonable period of time as established
609 by the local general-purpose government or governments in which
610 the special district is located or the local governing authority
611 to which the district is dependent, transmit the tentative
612 budget or final budget to the manager or administrator of the
613 local general-purpose government or the local governing
614 authority. The manager or administrator shall post the tentative
615 budget or final budget on the website of the local general
616 purpose government or governing authority. This subsection and
617 subsection (3) do not apply to water management districts as
618 defined in s. 373.019.
619 (7) If the governing body of a special district amends the
620 budget pursuant to paragraph (6)(c), the adopted amendment must
621 be posted on the official website of the special district within
622 5 days after adoption and must remain on the website for at
623 least 2 years. If the special district does not operate an
624 official website, the special district must, within a reasonable
625 period of time as established by the local general-purpose
626 government or governments in which the special district is
627 located or the local governing authority to which the district
628 is dependent, transmit the adopted amendment to the manager or
629 administrator of the local general-purpose government or
630 governing authority. The manager or administrator shall post the
631 adopted amendment on the website of the local general-purpose
632 government or governing authority.
633 Section 12. Present subsections (1) through (5) of section
634 215.425, Florida Statutes, are redesignated as subsections (2)
635 through (6), respectively, present subsection (2) and paragraph
636 (a) of present subsection (4) of that section are amended, and a
637 new subsection (1) and subsections (7) through (12) are added to
638 that section, to read:
639 215.425 Extra compensation claims prohibited; bonuses;
640 severance pay.—
641 (1) As used in this section, the term “public funds” means
642 any taxes, tuition, grants, fines, fees, or other charges or any
643 other type of revenue collected by the state or any county,
644 municipality, special district, school district, Florida College
645 System institution, state university, or other separate unit of
646 government created pursuant to law, including any office,
647 department, agency, division, subdivision, political
648 subdivision, board, bureau, commission, authority, or
649 institution of such entities.
650 (3)(2) This section does not apply to:
651 (a) a bonus or severance pay that is paid from sources
652 other than public funds wholly from nontax revenues and
653 nonstate-appropriated funds, the payment and receipt of which
654 does not otherwise violate part III of chapter 112, and which is
655 paid to an officer, agent, employee, or contractor of a public
656 hospital that is operated by a county or a special district; or
657 (b) a clothing and maintenance allowance given to
658 plainclothes deputies pursuant to s. 30.49.
659 (5)(a)(4)(a) On or after July 1, 2011, A unit of government
660 that enters into a contract or employment agreement, or renewal
661 or renegotiation of an existing contract or employment
662 agreement, that contains a provision for severance pay with an
663 officer, agent, employee, or contractor must include the
664 following provisions in the contract:
665 1. A requirement that severance pay paid from public funds
666 provided may not exceed an amount greater than 20 weeks of
667 compensation.
668 2. A prohibition of provision of severance pay paid from
669 public funds when the officer, agent, employee, or contractor
670 has been fired for misconduct, as defined in s. 443.036(29), by
671 the unit of government.
672 (7) Upon discovery or notification that a unit of
673 government has provided prohibited compensation to any officer,
674 agent, employee, or contractor in violation of this section,
675 such unit of government shall investigate and take all necessary
676 action to recover the prohibited compensation.
677 (a) If the violation was unintentional, the unit of
678 government shall recover the prohibited compensation from the
679 individual receiving the prohibited compensation through normal
680 recovery methods for overpayments.
681 (b) If the violation was willful, the unit of government
682 shall recover the prohibited compensation from either the
683 individual receiving the prohibited compensation or the
684 individual or individuals responsible for approving the
685 prohibited compensation. Each individual determined to have
686 willfully violated this section is jointly and severally liable
687 for repayment of the prohibited compensation.
688 (8) A person who willfully violates this section commits a
689 misdemeanor of the first degree, punishable as provided in s.
690 775.082 or s. 775.083.
691 (9) An officer who exercises the powers and duties of a
692 state or county officer and willfully violates this section is
693 subject to the Governor’s power under s. 7(a), Art. IV of the
694 State Constitution. An officer who exercises powers and duties
695 other than those of a state or county officer and willfully
696 violates this section is subject to the suspension and removal
697 procedures under s. 112.51.
698 (10)(a) A person who reports a violation of this section is
699 eligible for a reward of at least $500, or the lesser of 10
700 percent of the funds recovered or $10,000 per incident of a
701 prohibited compensation payment recovered by the unit of
702 government, depending upon the extent to which the person
703 substantially contributed to the discovery, notification, and
704 recovery of such prohibited payment.
705 (b) In the event that the recovery of the prohibited
706 compensation is based primarily on disclosures of specific
707 information, other than information provided by such person,
708 relating to allegations or transactions in a criminal, civil, or
709 administrative hearing; in a legislative, administrative,
710 inspector general, or other government report; in an auditor
711 general report, hearing, audit, or investigation; or from the
712 news media, such person is not eligible for a reward, or for an
713 award of a portion of the proceeds or payment of attorney fees
714 and costs pursuant to s. 68.085.
715 (c) If it is determined that the person who reported a
716 violation of this section was involved in the authorization,
717 approval, or receipt of the prohibited compensation or is
718 convicted of criminal conduct arising from his or her role in
719 the authorization, approval, or receipt of the prohibited
720 compensation, such person is not eligible for a reward, or for
721 an award of a portion of the proceeds or payment of attorney
722 fees and costs pursuant to s. 68.085.
723 (11) An employee who is discharged, demoted, suspended,
724 threatened, harassed, or in any manner discriminated against in
725 the terms and conditions of employment by his or her employer
726 because of lawful acts done by the employee on behalf of the
727 employee or others in furtherance of an action under this
728 section, including investigation for initiation of, testimony
729 for, or assistance in an action filed or to be filed under this
730 section, has a cause of action under s. 112.3187.
731 (12) If the unit of government fails to recover prohibited
732 compensation for a willful violation of this section upon
733 discovery and notification of such prohibited payment within 90
734 days, a cause of action may be brought to:
735 (a) Recover state funds in accordance with ss. 68.082 and
736 68.083.
737 (b) Recover other funds by the Department of Legal Affairs
738 using the procedures set forth in ss. 68.082 and 68.083, except
739 that venue shall lie in the circuit court of the county in which
740 the unit of government is located.
741 (c) Recover other funds by a person using the procedures
742 set forth in ss. 68.082 and 68.083, except that venue shall lie
743 in the circuit court of the county in which the unit of
744 government is located.
745 Section 13. Section 215.86, Florida Statutes, is amended to
746 read:
747 215.86 Management systems and controls.—Each state agency
748 and the judicial branch as defined in s. 216.011 shall establish
749 and maintain management systems and internal controls designed
750 to:
751 (1) Prevent and detect fraud, waste, and abuse. that
752 (2) Promote and encourage compliance with applicable laws,
753 rules, contracts, grant agreements, and best practices.;
754 (3) Support economical and economic, efficient, and
755 effective operations.;
756 (4) Ensure reliability of financial records and reports.;
757 (5) Safeguard and safeguarding of assets. Accounting
758 systems and procedures shall be designed to fulfill the
759 requirements of generally accepted accounting principles.
760 Section 14. Paragraph (a) of subsection (2) of section
761 215.97, Florida Statutes, is amended to read:
762 215.97 Florida Single Audit Act.—
763 (2) Definitions; as used in this section, the term:
764 (a) “Audit threshold” means the threshold amount used to
765 determine when a state single audit or project-specific audit of
766 a nonstate entity shall be conducted in accordance with this
767 section. Each nonstate entity that expends a total amount of
768 state financial assistance equal to or in excess of $750,000
769 $500,000 in any fiscal year of such nonstate entity shall be
770 required to have a state single audit, or a project-specific
771 audit, for such fiscal year in accordance with the requirements
772 of this section. Periodically, Every 2 years the Auditor
773 General, after consulting with the Executive Office of the
774 Governor, the Department of Financial Services, and all state
775 awarding agencies, shall review the threshold amount for
776 requiring audits under this section and, if appropriate, may
777 recommend to the Legislature a statutory change to revise the
778 threshold amount in the annual report submitted pursuant to s.
779 11.45(7)(h) may adjust such threshold amount consistent with the
780 purposes of this section.
781 Section 15. Subsection (11) of section 215.985, Florida
782 Statutes, is amended to read:
783 215.985 Transparency in government spending.—
784 (11) Each water management district shall provide a monthly
785 financial statement in the form and manner prescribed by the
786 Department of Financial Services to the district’s its governing
787 board and make such monthly financial statement available for
788 public access on its website.
789 Section 16. Paragraph (d) of subsection (1) and subsection
790 (2) of section 218.32, Florida Statutes, are amended to read:
791 218.32 Annual financial reports; local governmental
792 entities.—
793 (1)
794 (d) Each local governmental entity that is required to
795 provide for an audit under s. 218.39(1) must submit a copy of
796 the audit report and annual financial report to the department
797 within 45 days after the completion of the audit report but no
798 later than 9 months after the end of the fiscal year. An
799 independent certified public accountant completing an audit of a
800 local governmental entity pursuant to s. 218.39 shall report, as
801 part of the audit, as to whether the entity’s annual financial
802 report is in agreement with the audited financial statements.
803 The accountant’s audit report must be supported by the same
804 level of detail as required for the annual financial report. If
805 the accountant’s audit report is not in agreement with the
806 annual financial report, the accountant shall specify and
807 explain the significant differences that exist between the
808 annual financial report and the audit report.
809 (2) The department shall annually by December 1 file a
810 verified report with the Governor, the Legislature, the Auditor
811 General, and the Special District Accountability Program of the
812 Department of Economic Opportunity showing the revenues, both
813 locally derived and derived from intergovernmental transfers,
814 and the expenditures of each local governmental entity, regional
815 planning council, local government finance commission, and
816 municipal power corporation that is required to submit an annual
817 financial report. In preparing the verified report, the
818 department may request additional information from the local
819 governmental entity. The information requested must be provided
820 to the department within 45 days of the request. If the local
821 governmental entity does not comply with the request, the
822 department shall notify the Legislative Auditing Committee,
823 which may take action pursuant to s. 11.40(2). The report must
824 include, but is not limited to:
825 (a) The total revenues and expenditures of each local
826 governmental entity that is a component unit included in the
827 annual financial report of the reporting entity.
828 (b) The amount of outstanding long-term debt by each local
829 governmental entity. For purposes of this paragraph, the term
830 “long-term debt” means any agreement or series of agreements to
831 pay money, which, at inception, contemplate terms of payment
832 exceeding 1 year in duration.
833 Section 17. Present subsection (3) of section 218.33,
834 Florida Statutes, is redesignated as subsection (4), and a new
835 subsection (3) is added to that section, to read:
836 218.33 Local governmental entities; establishment of
837 uniform fiscal years and accounting practices and procedures.—
838 (3) Each local governmental entity shall establish and
839 maintain internal controls designed to:
840 (a) Prevent and detect fraud, waste, and abuse.
841 (b) Promote and encourage compliance with applicable laws,
842 rules, contracts, grant agreements, and best practices.
843 (c) Support economical and efficient operations.
844 (d) Ensure reliability of financial records and reports.
845 (e) Safeguard assets.
846 Section 18. Present subsections (8) through (12) of section
847 218.39, Florida Statutes, are redesignated as subsections (9)
848 through (13), respectively, and a new subsection (8) is added to
849 that section, to read:
850 218.39 Annual financial audit reports.—
851 (8) If the audit report includes a recommendation that was
852 previously included in the preceding financial audit report, the
853 governing body of the audited entity, within 60 days after the
854 delivery of the audit report to the governing body and during a
855 regularly scheduled public meeting, shall indicate its intent
856 regarding corrective action, the corrective action to be taken,
857 and when the corrective action will occur. If the governing body
858 does not intend to take corrective action, it shall explain why
859 such action will not be taken at the regularly scheduled public
860 meeting.
861 Section 19. Subsection (2) of section 218.391, Florida
862 Statutes, is amended, and subsection (9) is added to that
863 section, to read:
864 218.391 Auditor selection procedures.—
865 (2) The governing body of a charter county, municipality,
866 special district, district school board, charter school, or
867 charter technical career center shall establish an audit
868 committee.
869 (a) For a county, the Each noncharter county shall
870 establish an audit committee that, at a minimum, shall consist
871 of each of the county officers elected pursuant to the county
872 charter or s. 1(d), Art. VIII of the State Constitution, or a
873 designee, and one member of the board of county commissioners or
874 its designee.
875 (b) For a municipality, special district, district school
876 board, charter school, or charter technical career center, the
877 audit committee shall consist of at least three members. One
878 member of the audit committee must be a member of the governing
879 body of an entity specified in this paragraph who shall also
880 serve as the chair of the committee.
881 (c) A member of the audit committee may not be an employee,
882 chief executive officer, or chief financial officer of the
883 county, municipality, special district, district school board,
884 charter school, or charter technical career center.
885 (d) The primary purpose of the audit committee is to assist
886 the governing body in selecting an auditor to conduct the annual
887 financial audit required in s. 218.39; however, the audit
888 committee may serve other audit oversight purposes as determined
889 by the entity’s governing body. The public may shall not be
890 excluded from the proceedings under this section.
891 (9) An audit report submitted pursuant to s. 218.39 must
892 include an affidavit executed by the chair of the audit
893 committee affirming that the committee complied with the
894 requirements of subsections (3)-(6) in selecting an auditor. If
895 the Auditor General determines that an entity failed to comply
896 with the requirements of subsections (3)-(6) in selecting an
897 auditor, the entity shall select a replacement auditor in
898 accordance with this section to conduct audits for subsequent
899 fiscal years if the original audit was performed under a
900 multiyear contract. If the replacement of an auditor would
901 preclude the entity from timely completing the annual financial
902 audit required by s. 218.39, the entity shall replace an auditor
903 in accordance with this section for the subsequent annual
904 financial audit. A multiyear contract between an entity or an
905 auditor may not prohibit or restrict an entity from complying
906 with this subsection.
907 Section 20. Paragraph (b) of subsection (2) of section
908 288.92, Florida Statutes, is amended to read:
909 288.92 Divisions of Enterprise Florida, Inc.—
910 (2)
911 (b)1. The following officers and board members are subject
912 to ss. 112.313(1)-(8), (10), (12), and (15); 112.3135; and
913 112.3143(2):
914 a. Officers and members of the board of directors of the
915 divisions of Enterprise Florida, Inc.
916 b. Officers and members of the board of directors of
917 subsidiaries of Enterprise Florida, Inc.
918 c. Officers and members of the board of directors of
919 corporations created to carry out the missions of Enterprise
920 Florida, Inc.
921 d. Officers and members of the board of directors of
922 corporations with which a division is required by law to
923 contract to carry out its missions.
924 2. The officers and board members specified in subparagraph
925 1. may not represent another person or entity for compensation
926 before Enterprise Florida, Inc., or a division, subsidiary, or
927 the board of directors of corporations created to carry out the
928 missions of Enterprise Florida, Inc., or with which a division
929 is required by law to contract to carry out its missions, for a
930 period of 2 years after retirement from or termination of
931 service to a division.
932 3.2. For purposes of applying ss. 112.313(1)-(8), (10),
933 (12), and (15); 112.3135; and 112.3143(2) to activities of the
934 officers and members of the board of directors specified in
935 subparagraph 1., those persons shall be considered public
936 officers or employees and the corporation shall be considered
937 their agency.
938 4.3. It is not a violation of s. 112.3143(2) or (4) for the
939 officers or members of the board of directors of the Florida
940 Tourism Industry Marketing Corporation to:
941 a. Vote on the 4-year marketing plan required under s.
942 288.923 or vote on any individual component of or amendment to
943 the plan.
944 b. Participate in the establishment or calculation of
945 payments related to the private match requirements of s.
946 288.904(3). The officer or member must file an annual disclosure
947 describing the nature of his or her interests or the interests
948 of his or her principals, including corporate parents and
949 subsidiaries of his or her principal, in the private match
950 requirements. This annual disclosure requirement satisfies the
951 disclosure requirement of s. 112.3143(4). This disclosure must
952 be placed either on the Florida Tourism Industry Marketing
953 Corporation’s website or included in the minutes of each meeting
954 of the Florida Tourism Industry Marketing Corporation’s board of
955 directors at which the private match requirements are discussed
956 or voted upon.
957 Section 21. Paragraph (a) of subsection (3) of section
958 288.9604, Florida Statutes, is amended to read:
959 288.9604 Creation of the authority.—
960 (3)(a)1. A director may not receive compensation for his or
961 her services, but is entitled to necessary expenses, including
962 travel expenses, incurred in the discharge of his or her duties.
963 Each director shall hold office until his or her successor has
964 been appointed.
965 2. Directors are subject to ss. 112.313(1)-(8), (10), (12),
966 and (15); 112.3135; and 112.3143(2). For purposes of applying
967 ss. 112.313(1)-(8), (10), (12), and (15); 112.3135; and
968 112.3143(2) to activities of directors, directors shall be
969 considered public officers and the corporation shall be
970 considered their agency.
971 3. A director of the board of directors of the corporation
972 may not represent another person or entity for compensation
973 before the corporation for a period of 2 years following his or
974 her service on the board of directors.
975 Section 22. Paragraph (e) of subsection (4), paragraph (d)
976 of subsection (5), and paragraph (d) of subsection (6) of
977 section 373.536, Florida Statutes, are amended to read:
978 373.536 District budget and hearing thereon.—
979 (4) BUDGET CONTROLS; FINANCIAL INFORMATION.—
980 (e) By September 1, 2012, Each district shall provide a
981 monthly financial statement in the form and manner prescribed by
982 the Department of Financial Services to the district’s governing
983 board and make such monthly financial statement available for
984 public access on its website.
985 (5) TENTATIVE BUDGET CONTENTS AND SUBMISSION; REVIEW AND
986 APPROVAL.—
987 (d) Each district shall, by August 1 of each year, submit
988 for review a tentative budget and a description of any
989 significant changes from the preliminary budget submitted to the
990 Legislature pursuant to s. 373.535 to the Governor, the
991 President of the Senate, the Speaker of the House of
992 Representatives, the chairs of all legislative committees and
993 subcommittees having substantive or fiscal jurisdiction over
994 water management districts, as determined by the President of
995 the Senate or the Speaker of the House of Representatives, as
996 applicable, the secretary of the department, and the governing
997 body of each county in which the district has jurisdiction or
998 derives any funds for the operations of the district. The
999 tentative budget must be posted on the district’s official
1000 website at least 2 days before budget hearings held pursuant to
1001 s. 200.065 or other law and must remain on the website for at
1002 least 45 days.
1003 (6) FINAL BUDGET; ANNUAL AUDIT; CAPITAL IMPROVEMENTS PLAN;
1004 WATER RESOURCE DEVELOPMENT WORK PROGRAM.—
1005 (d) The final adopted budget must be posted on the water
1006 management district’s official website within 30 days after
1007 adoption and must remain on the website for at least 2 years.
1008 Section 23. Paragraph (j) of subsection (9) of section
1009 1002.33, Florida Statutes, is amended to read:
1010 1002.33 Charter schools.—
1011 (9) CHARTER SCHOOL REQUIREMENTS.—
1012 (j) The governing body of the charter school shall be
1013 responsible for:
1014 1. Establishing and maintaining internal controls designed
1015 to:
1016 a. Prevent and detect fraud, waste, and abuse.
1017 b. Promote and encourage compliance with applicable laws,
1018 rules, contracts, grant agreements, and best practices.
1019 c. Support economical and efficient operations.
1020 d. Ensure reliability of financial records and reports.
1021 e. Safeguard assets.
1022 2.1. Ensuring that the charter school has retained the
1023 services of a certified public accountant or auditor for the
1024 annual financial audit, pursuant to s. 1002.345(2), who shall
1025 submit the report to the governing body.
1026 3.2. Reviewing and approving the audit report, including
1027 audit findings and recommendations for the financial recovery
1028 plan.
1029 4.a.3.a. Performing the duties in s. 1002.345, including
1030 monitoring a corrective action plan.
1031 b. Monitoring a financial recovery plan in order to ensure
1032 compliance.
1033 5.4. Participating in governance training approved by the
1034 department which must include government in the sunshine,
1035 conflicts of interest, ethics, and financial responsibility.
1036 Section 24. Present subsections (6) through (10) of section
1037 1002.37, Florida Statutes, are redesignated as subsections (7)
1038 through (11), respectively, a new subsection (6) is added to
1039 that section, and present subsections (6) and (11) of that
1040 section are amended, to read:
1041 1002.37 The Florida Virtual School.—
1042 (6) The Florida Virtual School shall have an annual
1043 financial audit of its accounts and records completed by an
1044 independent auditor who is a certified public accountant
1045 licensed under chapter 473. The independent auditor shall
1046 conduct the audit in accordance with rules adopted by the
1047 Auditor General pursuant to s. 11.45 and, upon completion of the
1048 audit, shall prepare an audit report in accordance with such
1049 rules. The audit report must include a written statement of the
1050 board of trustees describing corrective action to be taken in
1051 response to each of the independent auditor’s recommendations
1052 included in the audit report. The independent auditor shall
1053 submit the audit report to the board of trustees and the Auditor
1054 General no later than 9 months after the end of the preceding
1055 fiscal year.
1056 (7)(6) The board of trustees shall annually submit to the
1057 Governor, the Legislature, the Commissioner of Education, and
1058 the State Board of Education, the audit report prepared pursuant
1059 to subsection (6) and a complete and detailed report setting
1060 forth:
1061 (a) The operations and accomplishments of the Florida
1062 Virtual School within the state and those occurring outside the
1063 state as Florida Virtual School Global.
1064 (b) The marketing and operational plan for the Florida
1065 Virtual School and Florida Virtual School Global, including
1066 recommendations regarding methods for improving the delivery of
1067 education through the Internet and other distance learning
1068 technology.
1069 (c) The assets and liabilities of the Florida Virtual
1070 School and Florida Virtual School Global at the end of the
1071 fiscal year.
1072 (d) A copy of an annual financial audit of the accounts and
1073 records of the Florida Virtual School and Florida Virtual School
1074 Global, conducted by an independent certified public accountant
1075 and performed in accordance with rules adopted by the Auditor
1076 General.
1077 (e) Recommendations regarding the unit cost of providing
1078 services to students through the Florida Virtual School and
1079 Florida Virtual School Global. In order to most effectively
1080 develop public policy regarding any future funding of the
1081 Florida Virtual School, it is imperative that the cost of the
1082 program is accurately identified. The identified cost of the
1083 program must be based on reliable data.
1084 (e)(f) Recommendations regarding an accountability
1085 mechanism to assess the effectiveness of the services provided
1086 by the Florida Virtual School and Florida Virtual School Global.
1087 (11) The Auditor General shall conduct an operational audit
1088 of the Florida Virtual School, including Florida Virtual School
1089 Global. The scope of the audit shall include, but not be limited
1090 to, the administration of responsibilities relating to
1091 personnel; procurement and contracting; revenue production;
1092 school funds, including internal funds; student enrollment
1093 records; franchise agreements; information technology
1094 utilization, assets, and security; performance measures and
1095 standards; and accountability. The final report on the audit
1096 shall be submitted to the President of the Senate and the
1097 Speaker of the House of Representatives no later than January
1098 31, 2014.
1099 Section 25. Subsection (5) is added to section 1010.01,
1100 Florida Statutes, to read:
1101 1010.01 Uniform records and accounts.—
1102 (5) Each school district, Florida College System
1103 institution, and state university shall establish and maintain
1104 internal controls designed to:
1105 (a) Prevent and detect fraud, waste, and abuse.
1106 (b) Promote and encourage compliance with applicable laws,
1107 rules, contracts, grant agreements, and best practices.
1108 (c) Support economical and efficient operations.
1109 (d) Ensure reliability of financial records and reports.
1110 (e) Safeguard assets.
1111 Section 26. Subsection (2) of section 1010.30, Florida
1112 Statutes, is amended to read:
1113 1010.30 Audits required.—
1114 (2) If a school district, Florida College System
1115 institution, or university audit report includes a
1116 recommendation that was previously included in the preceding
1117 financial audit report, an audit contains a significant finding,
1118 the district school board, the Florida College System
1119 institution board of trustees, or the university board of
1120 trustees, within 60 days after the delivery of the audit report
1121 to the school district, Florida College System institution, or
1122 university and shall conduct an audit overview during a
1123 regularly scheduled public meeting, shall indicate its intent
1124 regarding corrective action, the corrective action to be taken,
1125 and when the corrective action will occur. If the district
1126 school board, Florida College System institution board of
1127 trustees, or university board of trustees does not intend to
1128 take corrective action, it shall explain why such action will
1129 not be taken at the regularly scheduled public meeting.
1130 Section 27. Subsection (2) of section 68.082, Florida
1131 Statutes, is amended to read:
1132 68.082 False claims against the state; definitions;
1133 liability.—
1134 (2) Any person who:
1135 (a) Knowingly presents or causes to be presented a false or
1136 fraudulent claim for payment or approval;
1137 (b) Knowingly authorizes, approves, or receives payment of
1138 prohibited compensation in violation of s. 215.425;
1139 (c)(b) Knowingly makes, uses, or causes to be made or used
1140 a false record or statement material to a false or fraudulent
1141 claim;
1142 (d)(c) Conspires to commit a violation of this subsection;
1143 (e)(d) Has possession, custody, or control of property or
1144 money used or to be used by the state and knowingly delivers or
1145 causes to be delivered less than all of that money or property;
1146 (f)(e) Is authorized to make or deliver a document
1147 certifying receipt of property used or to be used by the state
1148 and, intending to defraud the state, makes or delivers the
1149 receipt without knowing that the information on the receipt is
1150 true;
1151 (g)(f) Knowingly buys or receives, as a pledge of an
1152 obligation or a debt, public property from an officer or
1153 employee of the state who may not sell or pledge the property;
1154 or
1155 (h)(g) Knowingly makes, uses, or causes to be made or used
1156 a false record or statement material to an obligation to pay or
1157 transmit money or property to the state, or knowingly conceals
1158 or knowingly and improperly avoids or decreases an obligation to
1159 pay or transmit money or property to the state
1160
1161 is liable to the state for a civil penalty of not less than
1162 $5,500 and not more than $11,000 and for treble the amount of
1163 damages the state sustains because of the act of that person.
1164 Section 28. Subsection (1) of section 68.083, Florida
1165 Statutes, is amended to read:
1166 68.083 Civil actions for false claims.—
1167 (1) The department may diligently investigate a violation
1168 under s. 68.082. If the department finds that a person has
1169 violated or is violating s. 68.082, the department may bring a
1170 civil action under the Florida False Claims Act against the
1171 person. The Department of Financial Services may bring a civil
1172 action under this section if the action arises from an
1173 investigation by that department and the Department of Legal
1174 Affairs has not filed an action under this act. For a violation
1175 of s. 68.082 regarding prohibited compensation paid from state
1176 funds, the Department of Financial Services may bring a civil
1177 action under this section if the action arises from an
1178 investigation by that department concerning a violation of s.
1179 215.425 by the state and the Department of Legal Affairs has not
1180 filed an action under this act.
1181 Section 29. Subsection (3) of section 218.503, Florida
1182 Statutes, is amended to read:
1183 218.503 Determination of financial emergency.—
1184 (3) Upon notification that one or more of the conditions in
1185 subsection (1) have occurred or will occur if action is not
1186 taken to assist the local governmental entity or district school
1187 board, the Governor or his or her designee shall contact the
1188 local governmental entity or the Commissioner of Education or
1189 his or her designee shall contact the district school board to
1190 determine what actions have been taken by the local governmental
1191 entity or the district school board to resolve or prevent the
1192 condition. The information requested must be provided within 45
1193 days after the date of the request. If the local governmental
1194 entity or the district school board does not comply with the
1195 request, the Governor or his or her designee or the Commissioner
1196 of Education or his or her designee shall notify the members of
1197 the Legislative Auditing Committee, which who may take action
1198 pursuant to s. 11.40(2) s. 11.40. The Governor or the
1199 Commissioner of Education, as appropriate, shall determine
1200 whether the local governmental entity or the district school
1201 board needs state assistance to resolve or prevent the
1202 condition. If state assistance is needed, the local governmental
1203 entity or district school board is considered to be in a state
1204 of financial emergency. The Governor or the Commissioner of
1205 Education, as appropriate, has the authority to implement
1206 measures as set forth in ss. 218.50-218.504 to assist the local
1207 governmental entity or district school board in resolving the
1208 financial emergency. Such measures may include, but are not
1209 limited to:
1210 (a) Requiring approval of the local governmental entity’s
1211 budget by the Governor or approval of the district school
1212 board’s budget by the Commissioner of Education.
1213 (b) Authorizing a state loan to a local governmental entity
1214 and providing for repayment of same.
1215 (c) Prohibiting a local governmental entity or district
1216 school board from issuing bonds, notes, certificates of
1217 indebtedness, or any other form of debt until such time as it is
1218 no longer subject to this section.
1219 (d) Making such inspections and reviews of records,
1220 information, reports, and assets of the local governmental
1221 entity or district school board as are needed. The appropriate
1222 local officials shall cooperate in such inspections and reviews.
1223 (e) Consulting with officials and auditors of the local
1224 governmental entity or the district school board and the
1225 appropriate state officials regarding any steps necessary to
1226 bring the books of account, accounting systems, financial
1227 procedures, and reports into compliance with state requirements.
1228 (f) Providing technical assistance to the local
1229 governmental entity or the district school board.
1230 (g)1. Establishing a financial emergency board to oversee
1231 the activities of the local governmental entity or the district
1232 school board. If a financial emergency board is established for
1233 a local governmental entity, the Governor shall appoint board
1234 members and select a chair. If a financial emergency board is
1235 established for a district school board, the State Board of
1236 Education shall appoint board members and select a chair. The
1237 financial emergency board shall adopt such rules as are
1238 necessary for conducting board business. The board may:
1239 a. Make such reviews of records, reports, and assets of the
1240 local governmental entity or the district school board as are
1241 needed.
1242 b. Consult with officials and auditors of the local
1243 governmental entity or the district school board and the
1244 appropriate state officials regarding any steps necessary to
1245 bring the books of account, accounting systems, financial
1246 procedures, and reports of the local governmental entity or the
1247 district school board into compliance with state requirements.
1248 c. Review the operations, management, efficiency,
1249 productivity, and financing of functions and operations of the
1250 local governmental entity or the district school board.
1251 d. Consult with other governmental entities for the
1252 consolidation of all administrative direction and support
1253 services, including, but not limited to, services for asset
1254 sales, economic and community development, building inspections,
1255 parks and recreation, facilities management, engineering and
1256 construction, insurance coverage, risk management, planning and
1257 zoning, information systems, fleet management, and purchasing.
1258 2. The recommendations and reports made by the financial
1259 emergency board must be submitted to the Governor for local
1260 governmental entities or to the Commissioner of Education and
1261 the State Board of Education for district school boards for
1262 appropriate action.
1263 (h) Requiring and approving a plan, to be prepared by
1264 officials of the local governmental entity or the district
1265 school board in consultation with the appropriate state
1266 officials, prescribing actions that will cause the local
1267 governmental entity or district school board to no longer be
1268 subject to this section. The plan must include, but need not be
1269 limited to:
1270 1. Provision for payment in full of obligations outlined in
1271 subsection (1), designated as priority items, which are
1272 currently due or will come due.
1273 2. Establishment of priority budgeting or zero-based
1274 budgeting in order to eliminate items that are not affordable.
1275 3. The prohibition of a level of operations which can be
1276 sustained only with nonrecurring revenues.
1277 4. Provisions implementing the consolidation, sourcing, or
1278 discontinuance of all administrative direction and support
1279 services, including, but not limited to, services for asset
1280 sales, economic and community development, building inspections,
1281 parks and recreation, facilities management, engineering and
1282 construction, insurance coverage, risk management, planning and
1283 zoning, information systems, fleet management, and purchasing.
1284 Section 30. Subsection (2) of section 1002.455, Florida
1285 Statutes, is amended to read:
1286 1002.455 Student eligibility for K-12 virtual instruction.—
1287 (2) A student is eligible to participate in virtual
1288 instruction if:
1289 (a) The student spent the prior school year in attendance
1290 at a public school in the state and was enrolled and reported by
1291 the school district for funding during October and February for
1292 purposes of the Florida Education Finance Program surveys;
1293 (b) The student is a dependent child of a member of the
1294 United States Armed Forces who was transferred within the last
1295 12 months to this state from another state or from a foreign
1296 country pursuant to a permanent change of station order;
1297 (c) The student was enrolled during the prior school year
1298 in a virtual instruction program under s. 1002.45 or a full-time
1299 Florida Virtual School program under s. 1002.37(9)(a) s.
1300 1002.37(8)(a);
1301 (d) The student has a sibling who is currently enrolled in
1302 a virtual instruction program and the sibling was enrolled in
1303 that program at the end of the prior school year;
1304 (e) The student is eligible to enter kindergarten or first
1305 grade; or
1306 (f) The student is eligible to enter grades 2 through 5 and
1307 is enrolled full-time in a school district virtual instruction
1308 program, virtual charter school, or the Florida Virtual School.
1309 Section 31. The Legislature finds that a proper and
1310 legitimate state purpose is served when internal controls are
1311 established to prevent and detect fraud, waste, and abuse and to
1312 safeguard and account for government funds and property.
1313 Therefore, the Legislature determines and declares that this act
1314 fulfills an important state interest.
1315 Section 32. This act shall take effect October 1, 2015.
