HB 5203 full text · Session Watch

1 A bill to be entitled

2 An act relating to government administration; amending

3 s. 11.26, F.S.; revising the employees required to

4 have permission of the presiding officers of both

5 houses before accepting certain employment; amending

6 s. 11.40, F.S.; revising duties of the Legislative

7 Auditing Committee, the Department of Revenue, and the

8 Department of Financial Services relating to the

9 failure of certain entities to comply with specified

10 auditing and financial reporting requirements;

11 revising procedures that the Department of Revenue and

12 the Department of Financial Services may take upon

13 receipt of certain advice; removing Legislative

14 Auditing Committee procedures for conducting audits;

15 creating s. 11.405, F.S.; creating the Florida

16 Accountability Office within the Legislature for

17 specified purposes; providing for the administration

18 of such office in a specified manner; providing that

19 the office shall consist of certain units; providing

20 leadership selection and terms of office for certain

21 such units; providing responsibilities and

22 organization of certain units; providing requirements

23 for actions between and among such units; providing

24 the office location; requiring the Legislature to

25 provide certain administrative support; providing

26 requirements for spending decisions and budgeting;

27 requiring the office to employ persons for a specified

28 purpose; requiring the office to make certain

29 employment-related decisions with the approval of

30 specified persons; prohibiting certain officers and

31 employees of the office from certain activities

32 relating to political parties and candidates;

33 requiring certain parties to resign before becoming a

34 candidate for election; creating s. 11.406, F.S.;

35 defining the terms "appropriations project" and

36 "investigation"; providing procedures for submitting

37 complaints; providing procedures to be taken by the

38 Public Integrity Division upon receipt of a complaint;

39 authorizing the division to inspect and investigate

40 certain items and locations; authorizing the division

41 to agree to retain the confidentiality of such

42 information; authorizing specified entities to issue

43 subpoenas in a certain manner; providing procedures

44 for the enforcement of such subpoenas; requiring the

45 division to receive certain reports; requiring the

46 Auditor General and the division to randomly select

47 and review, investigate, or audit certain projects and

48 entities beginning in a specified fiscal year;

49 providing requirements for such reviews,

50 investigations, and audits; requiring the Auditor

51 General to make certain determinations about

52 recommended audits; requiring such determinations be

53 reported to the Joint Legislative Auditing Committee;

54 creating s. 11.407, F.S.; requiring the General

55 Accountability Division of the office to conduct

56 certain operational and compliance audits beginning on

57 a specified date; authorizing the division to assist

58 other units of the office in conducting certain audits

59 and investigations; amending s. 11.42, F.S.; revising

60 a requirement that the Auditor General possess certain

61 requirements; requiring a deputy director of auditing

62 who possesses certain qualifications be appointed in

63 certain circumstances; requiring the Auditor General

64 to consult with certain entities for a specified

65 purpose; requiring the Auditor General to adopt

66 certain rules; revising rulemaking authority of the

67 Auditor General; amending s. 11.45, F.S.; defining the

68 term "compliance audit"; revising the definition of

69 the term "operational audit"; providing that duties of

70 the office are independent of an audited entity;

71 revising the entities authorized to direct the office

72 to conduct an audit or engagement; revising the

73 frequency with which audits and engagements may be

74 conducted; specifying that certain provisions apply to

75 examinations and investigations; authorizing a

76 designated representative of the office to discuss an

77 audit, examination, or investigation with certain

78 officials; providing an alternate deadline for

79 responses to findings; revising the circumstances

80 under which the Legislative Auditing Committee is

81 notified of the failure of certain school boards and

82 institutions to take corrective action; amending ss.

83 11.47 and 11.51, F.S.; conforming provisions to

84 changes made by the act; amending s. 14.32, F.S.;

85 revising the entities with whom the Chief Inspector

86 General is required to report and cooperate; amending

87 s. 112.3187, F.S.; revising legislative intent;

88 revising the types of disclosures that receive certain

89 protections; amending s. 112.3188, F.S.; providing

90 that the office is included in certain confidentiality

91 provisions; revising the types of disclosures that

92 receive certain protections; revising the reports that

93 receive certain confidential protection to include

94 reports of certain suspected acts; revising the

95 entities authorized to receive certain confidential

96 information; amending s. 112.3189, F.S.; including the

97 office in the list of entities required to conduct

98 certain investigations in a specified manner;

99 providing that specified persons may determine that an

100 investigation is not required; requiring certain

101 information from the whistle-blower's hotline be

102 communicated to the office at least once per month;

103 requiring such information be maintained in a certain

104 manner; amending s. 112.31901, F.S.; authorizing the

105 office to review certain records; amending s.

106 112.3215, F.S.; revising how certain documents and

107 information may be accessed for audits and

108 examinations; amending s. 112.324, F.S.; authorizing

109 additional entities to refer matters to the Commission

110 on Ethics; amending s. 216.011, F.S.; revising the

111 definition of the term "fixed capital outlay";

112 amending s. 216.023, F.S.; revising the frequency with

113 which a state agency must submit its legislative

114 budget request; repealing s. 216.052, F.S., relating

115 to community budget requests and appropriations;

116 amending s. 216.137, F.S.; requiring certain

117 workpapers be posted on a public website a certain

118 time before a meeting or session; amending s. 216.177,

119 F.S.; revising the circumstances under which a

120 specified notification regarding spending authority

121 may be made; amending s. 216.192, F.S.; providing that

122 the approval of annual release plans is a budget

123 action; amending s. 261.222, F.S.; revising conditions

124 under which money may be provided for a state

125 emergency; amending s. 216.262, F.S.; requiring the

126 use of the most recent removing the expiration of a

127 certain procedure; amending s. 216.292, F.S.;

128 authorizing specified appropriations to be transferred

129 between certain entities under certain circumstances;

130 authorizing the Executive Office of the Governor to

131 transfer certain funds for a specified purpose;

132 providing that certain transfers and adjustments are

133 subject to specified procedures; removing the

134 expiration of a certain review of transfers; removing

135 a requirement that the Legislature authorize certain

136 transfers; amending ss. 409.8134 and 409.902, F.S.;

137 authorizing specified entities to submit budget

138 amendments in a certain manner; amending ss. 20.055

139 and 760.06, F.S.; requiring each state agency to

140 review and report certain rules to the Joint

141 Legislative Auditing Committee; requiring the Auditor

142 General, the Joint Legislative Auditing Committee, and

143 the Office of Program Policy Analysis and Government

144 Accountability to jointly review certain audit

145 requirements and deliver a report to certain entities

146 by a specified date; requiring the report to contain

147 certain information; authorizing the President of the

148 Senate and the Speaker of the House of Representatives

149 to provide certain personnel and support for a

150 specified purpose; authorizing the Administrative

151 Procedures Committee and the Division of Law Revision

152 to provide certain assistance for a specified purpose;

153 providing effective dates.

155 Be It Enacted by the Legislature of the State of Florida:

157 Section 1. Subsection (3) of section 11.26, Florida

158 Statutes, is amended to read:

159 11.26 Legislative employees; employment restrictions.—No

160 employee of the Legislature shall:

161 (3) No full-time legislative employee shall be otherwise

162 employed, except with the written permission of the presiding

163 officer of the house by which he or she is employed. Employees

164 of joint committees, joint offices, or the Florida

165 Accountability Office must have the permission of the presiding

166 officers of both houses.

167 Section 2. Paragraphs (a) and (b) of subsection (2) of

168 section 11.40, Florida Statutes, are amended to read:

169 11.40 Legislative Auditing Committee.—

170 (2) Following notification by the Auditor General, the

171 Department of Financial Services, the Division of Bond Finance

172 of the State Board of Administration, the Governor or his or her

173 designee, or the Commissioner of Education or his or her

174 designee of the failure of a local governmental entity, district

175 school board, charter school, or charter technical career center

176 to comply with the applicable provisions within s. 11.45(5)-(7),

177 s. 218.32(1), s. 218.38, or s. 218.503(3), the Legislative

178 Auditing Committee may schedule a hearing to determine if the

179 entity should be subject to further state action. If the

180 committee determines that the entity should be subject to

181 further state action, the committee shall:

182 (a) In the case of a local governmental entity or district

183 school board, advise ~~direct~~ the Department of Revenue and the

184 Department of Financial Services to withhold any funds not

185 pledged for bond debt service satisfaction which are payable to

186 such entity until the entity complies with the law. Upon receipt

187 of ~~the committee shall specify the date that~~ such advice, ~~action~~

188 ~~must begin, and the directive must be received by~~ the Department

189 of Revenue and the Department of Financial Services shall have

190 the authority to withhold such funds until the entity complies

191 with the law. Beginning 30 days after receiving such advice,

192 each department must either withhold all such funds or report

193 the reasons for not doing so to the committee ~~before the date of~~

194 ~~the distribution mandated by law. The Department of Revenue and~~

195 ~~the Department of Financial Services may implement this~~

196 ~~paragraph.~~

197 (b) In the case of a special district created by:

198 1. A special act, notify the President of the Senate, the

199 Speaker of the House of Representatives, the standing committees

200 of the Senate and the House of Representatives charged with

201 special district oversight as determined by the presiding

202 officers of each respective chamber, the legislators who

203 represent a portion of the geographical jurisdiction of the

204 special district, and the Department of Commerce that the

205 special district has failed to comply with the law. Upon receipt

206 of notification, the Department of Commerce shall proceed

207 pursuant to s. 189.062 or s. 189.067. If the special district

208 remains in noncompliance after the process set forth in s.

209 189.0651, or if a public hearing is not held, the Legislative

210 Auditing Committee may notify ~~request~~ the department, which

211 shall to proceed pursuant to s. 189.067(3).

212 2. A local ordinance, notify the chair or equivalent of

213 the local general-purpose government pursuant to s. 189.0652 and

214 the Department of Commerce that the special district has failed

215 to comply with the law. Upon receipt of notification, the

216 department shall proceed pursuant to s. 189.062 or s. 189.067.

217 If the special district remains in noncompliance after the

218 process set forth in s. 189.0652, or if a public hearing is not

219 held, the Legislative Auditing Committee may notify ~~request~~ the

220 department, which shall to proceed pursuant to s. 189.067(3).

221 3. Any manner other than a special act or local ordinance,

222 notify the Department of Commerce that the special district has

223 failed to comply with the law. Upon receipt of notification, the

224 department shall proceed pursuant to s. 189.062 or s.

225 189.067(3).

226 Section 3. Effective November 18, 2027, subsection (3) of

227 section 11.40, Florida Statutes, is amended to read:

228 11.40 Legislative Auditing Committee.—

229 ~~(3)(a) As used in this subsection, "independent contract~~

230 ~~auditor" means a state-licensed certified public accountant or~~

231 ~~firm with which a state-licensed certified public accountant is~~

232 ~~currently employed or associated who is actively engaged in the~~

233 ~~accounting profession.~~

234 ~~(b) Audits specified in this subsection cover the~~

235 ~~quarterly compensation reports for the previous calendar year~~

236 ~~for a random sample of 3 percent of all legislative branch~~

237 ~~lobbying firms and a random sample of 3 percent of all executive~~

238 ~~branch lobbying firms calculated using as the total number of~~

239 ~~such lobbying firms those filing a compensation report for the~~

240 ~~preceding calendar year. The committee shall provide for a~~

241 ~~system of random selection of the lobbying firms to be audited.~~

242 ~~(c) The committee shall create and maintain a list of not~~

243 ~~less than 10 independent contract auditors approved to conduct~~

244 ~~the required audits. Each lobbying firm selected for audit in~~

245 ~~the random audit process may designate one of the independent~~

246 ~~contract auditors from the committee's approved list. Upon~~

247 ~~failure for any reason of a lobbying firm selected in the random~~

248 ~~selection process to designate an independent contract auditor~~

249 ~~from the committee's list within 30 calendar days after being~~

250 ~~notified by the committee of its selection, the committee shall~~

251 ~~assign one of the available independent contract auditors from~~

252 ~~the approved list to perform the required audit. No independent~~

253 ~~contract auditor, whether designated by the lobbying firm or by~~

254 ~~the committee, may perform the audit of a lobbying firm where~~

255 ~~the auditor and lobbying firm have ever had a direct personal~~

256 ~~relationship or any professional accounting, auditing, tax~~

257 ~~advisory, or tax preparing relationship with each other. The~~

258 ~~committee shall obtain a written, sworn certification subject to~~

259 ~~s. 837.06, both from the randomly selected lobbying firm and~~

260 ~~from the proposed independent contract auditor, that no such~~

261 ~~relationship has ever existed.~~

262 ~~(d) Each independent contract auditor shall be engaged by~~

263 ~~and compensated solely by the state for the work performed in~~

264 ~~accomplishing an audit under this subsection.~~

265 ~~(e) Any violations of law, deficiencies, or material~~

266 ~~misstatements discovered and noted in an audit report shall be~~

267 ~~clearly identified in the audit report and be determined under~~

268 ~~the rules of either house of the Legislature or under the joint~~

269 ~~rules, as applicable.~~

270 ~~(f) If any lobbying firm fails to give full, frank, and~~

271 ~~prompt cooperation and access to books, records, and associated~~

272 ~~backup documents as requested in writing by the auditor, that~~

273 ~~failure shall be clearly noted by the independent contract~~

274 ~~auditor in the report of audit.~~

275 ~~(g) The committee shall establish procedures for the~~

276 ~~selection of independent contract auditors desiring to enter~~

277 ~~into audit contracts pursuant to this subsection. Such~~

278 ~~procedures shall include, but not be limited to, a rating system~~

279 ~~that takes into account pertinent information, including the~~

280 ~~independent contract auditor's fee proposals for participating~~

281 ~~in the process. All contracts under this subsection between an~~

282 ~~independent contract auditor and the Speaker of the House of~~

283 ~~Representatives and the President of the Senate shall be~~

284 ~~terminable by either party at any time upon written notice to~~

285 ~~the other, and such contracts may contain such other terms and~~

286 ~~conditions as the Speaker of the House of Representatives and~~

287 ~~the President of the Senate deem appropriate under the~~

288 ~~circumstances.~~

289 ~~(h) The committee shall adopt guidelines that govern~~

290 ~~random audits and field investigations conducted pursuant to~~

291 ~~this subsection. The guidelines shall ensure that similarly~~

292 ~~situated compensation reports are audited in a uniform manner.~~

293 ~~The guidelines shall also be formulated to encourage compliance~~

294 ~~and detect violations of the legislative and executive lobbying~~

295 ~~compensation reporting requirements in ss. 11.045 and 112.3215~~

296 ~~and to ensure that each audit is conducted with maximum~~

297 ~~efficiency in a cost-effective manner. In adopting the~~

298 ~~guidelines, the committee shall consider relevant guidelines and~~

299 ~~standards of the American Institute of Certified Public~~

300 ~~Accountants to the extent that such guidelines and standards are~~

301 ~~applicable and consistent with the purposes set forth in this~~

302 ~~subsection.~~

303 ~~(i) All audit reports of legislative lobbying firms shall,~~

304 ~~upon completion by an independent contract auditor, be delivered~~

305 ~~to the President of the Senate and the Speaker of the House of~~

306 ~~Representatives for their respective review and handling. All~~

307 ~~audit reports of executive branch lobbyists, upon completion by~~

308 ~~an independent contract auditor, shall be delivered by the~~

309 ~~auditor to the Commission on Ethics.~~

310 Section 4. Section 11.405, Florida Statutes, is created to

311 read:

312 11.405 The Florida Accountability Office.—

313 (1) There is created within the Legislature the Florida

314 Accountability Office to conduct audits, reviews, examinations,

315 investigations, evaluations, and assessments; to make

316 recommendations regarding the operations, performance, and

317 fiscal management of governmental entities of this state; and to

318 report findings to the Legislature and public agencies regarding

319 fiscal transparency, quality, effectiveness, efficiency, and

320 possible improvements to the programs, operations, and

321 performance of such governmental entities. The office shall be

322 administered as directed by the Legislature or by agreement of

323 the presiding officers of the Legislature.

324 (2) The office shall consist of the following units:

325 (a) The Division of the Auditor General, headed by the

326 Auditor General, the auditor required by s. 2, Art. III of the

327 State Constitution, appointed by both houses of the Legislature

328 acting concurrently, unless otherwise provided by joint rule of

329 the Legislature. The Auditor General's term shall end on

330 November 30 after the first general election following

331 appointment. If a vacancy occurs while the Legislature is not in

332 session, the President of the Senate and the Speaker of the

333 House of Representatives may appoint a temporary successor by

334 agreement. The Auditor General shall serve at the pleasure of

335 the Legislature. The Division of the Auditor General shall be

336 primarily responsible for financial audits required or

337 authorized by law. The Auditor General shall be primarily

338 responsible for audits authorized by s. 11.45(3)(a), (c), (g),

339 (i), (m), (r), and (v).

340 (b) The General Accountability Division, headed by the

341 General Accountability Officer appointed as provided by joint

342 rule of the Legislature or the agreement of the presiding

343 officers of the Legislature, unless otherwise organized as

344 provided by joint rule of the Legislature or the agreement of

345 the presiding officers of the Legislature. The General

346 Accountability Division shall be primarily responsible for

347 operational audits and compliance audits required or authorized

348 by law. The General Accountability Division shall be primarily

349 responsible for audits authorized by s. 11.45(3), except s.

350 11.45(3)(a), (c), (g), (i), (m), (r), and (v).

351 (c) The Office of Program Policy Analysis and Government

352 Accountability organized as provided by joint rule of the

353 Legislature or the agreement of the presiding officers of the

354 Legislature. The Office of Program Policy Analysis and

355 Government Accountability shall be primarily responsible for

356 performance audits required or authorized by law.

357 (d) The Public Integrity Division organized as provided by

358 joint rule of the Legislature or the agreement of the presiding

359 officers of the Legislature.

360 (3) The units shall cooperate and assist one another, as

361 resources allow, in order to make the most efficient use of the

362 resources of the Florida Accountability Office. A unit may not

363 conduct an audit or investigation that may interfere or disrupt

364 the audit or investigation conducted by another unit, but

365 cooperative audits and investigations may be conducted. A unit

366 shall assist, as requested by another unit, when its expertise

367 may be effectively utilized.

368 (4) Any unit may conduct any audit or investigation

369 authorized by s. 11.45, except a financial audit expressly

370 assigned to the Division of the Auditor General.

371 (5) When an audit or investigation is required or

372 authorized by general law, the unit conducting such audit or

373 investigation shall consult with the President of the Senate and

374 the Speaker of the House of Representatives for guidance

375 regarding the objectives and scope of such audit or

376 investigation.

377 (6)(a) The headquarters of the Florida Accountability

378 Office shall be at the state capital, but to facilitate auditing

379 and to eliminate unnecessary traveling, the Legislature may

380 establish field offices located outside the state capital.

381 (b) The Legislature shall provide sufficient

382 administrative support to assist the Florida Accountability

383 Office in all spending decisions within the annual operating

384 budget approved by the President of the Senate and the Speaker

385 of the House of Representatives. The Florida Accountability

386 Office shall employ qualified persons necessary for the

387 efficient operation of the various units. The duties and

388 compensation of such employees and a uniform personnel, job

389 classification, and pay plan for such employees shall be

390 established with the approval of the President of the Senate and

391 the Speaker of the House of Representatives, or their joint

392 designees in the units of the Florida Accountability Office.

393 (7) An officer or a salaried employee of the Florida

394 Accountability Office may not serve as the representative of any

395 political party or on any executive committee or other governing

396 body thereof; serve as an executive, officer, or employee of any

397 political party committee, organization, or association; or be

398 engaged on behalf of any candidate for public office in the

399 solicitation of votes or other activities on behalf of such

400 candidacy. The Auditor General or any employee of the Florida

401 Accountability Office may not become a candidate for election to

402 public office unless she or he first resigns from office or

403 employment.

404 Section 5. Section 11.406, Florida Statutes, is created to read:

406 11.406 Public Integrity Division investigations.—

407 (1) As used in this section, the term:

408 (a) "Appropriations project" means a specific

409 appropriation or proviso defined as an appropriations project by

410 legislative rule in the year in which it was enacted.

411 (b) "Investigation" means an audit, a review, or any other

412 examination or inquiry into the factual basis of any complaint

413 investigated pursuant to subsection (2).

414 (2) The Public Integrity Division of the Florida

415 Accountability Office may receive and investigate a complaint

416 alleging fraud, waste, abuse, mismanagement, or misconduct in

417 connection with the expenditure of public funds.

418 (3) A complaint may be submitted to the Florida

419 Accountability Office by:

420 (a) The President of the Senate.

421 (b) The Speaker of the House of Representatives.

422 (c) The chair of an appropriations committee of the Senate

423 or the House of Representatives.

424 (d) Any unit of the Florida Accountability Office.

425 (e) Any inspector general.

426 (f) A whistle-blower reporting under s. 112.3187.

427 (4)(a) Upon receipt of a complaint, the Public Integrity

428 Division shall determine whether the complaint is supported by

429 sufficient information indicating a reasonable probability of

430 fraud, waste, abuse, mismanagement, or misconduct. If the Public

431 Integrity Division determines that the complaint is not

432 supported by sufficient information, the Public Integrity

433 Division shall notify the complainant in writing and the

434 complaint shall be closed.

435 (b) If the complaint is supported by sufficient

436 information and the Public Integrity Division determines that an

437 investigation into the matter has already been initiated by

438 another agency with investigative jurisdiction, the Public

439 Integrity Division may close the complaint, in which case the

440 Public Integrity Division must notify the complainant without

441 disclosing any confidential or exempt information relating to

442 such investigation.

443 (c) If the complaint is supported by sufficient

444 information and an investigation into the matter has not already

445 been initiated as described in paragraph (b), the Public

446 Integrity Division shall, within available resources and after

447 consultation with the other units of the Florida Accountability

448 Office, conduct an investigation and issue a report of the

449 investigative findings to the complainant and the President of

450 the Senate and the Speaker of the House of Representatives. The

451 Public Integrity Division may refer the matter to another unit

452 of the Florida Accountability Office, any appropriate law

453 enforcement agency, the Commission on Ethics, the Chief

454 Financial Officer, the Office of the Chief Inspector General, or

455 the applicable agency inspector general.

456 (5)(a) The Public Integrity Division may, when pertinent

457 to an investigation of a complaint, inspect and investigate the

458 books, records, papers, documents, data, operation, and physical

459 location of any public agency in this state, including any

460 confidential information; the public records of any entity that

461 has received direct appropriations or a direct payment of fees

462 or taxes collected by this state; and the records of any entity

463 that has contracted with this state whose records are subject to

464 public access pursuant to s. 287.058(1)(c). The Public Integrity

465 Division may agree to retain the confidentiality of confidential

466 information pursuant to s. 11.0431(2)(a).

467 (b) Upon request of the Public Integrity Division, the

468 Legislative Auditing Committee or any other committee of the

469 Legislature may issue subpoenas and subpoenas duces tecum, as

470 provided in s. 11.143, to compel testimony or the production of

471 evidence when deemed necessary to an investigation authorized by

472 this section. Consistent with s. 11.143, such subpoenas and

473 subpoenas duces tecum may be issued as provided by applicable

474 legislative rules or, in the absence of applicable legislative

475 rules, by the chair of the Legislative Auditing Committee with

476 the approval of the Legislative Auditing Committee and the

477 President of the Senate and the Speaker of the House of

478 Representatives, or with the approval of the President of the

479 Senate or the Speaker of the House of Representatives if such

480 officer alone designated the Legislative Auditing Committee.

481 (c) If the Legislature is not in session when a witness

482 fails or refuses to comply with a lawful subpoena or subpoena

483 duces tecum issued pursuant to this subsection, the subpoena or

484 subpoena duces tecum may be enforced as provided in s. 11.143,

485 and the Public Integrity Division, on behalf of the committee

486 issuing the subpoena or subpoena duces tecum, may file a

487 complaint before any circuit court of this state to enforce the

488 subpoena or subpoena duces tecum. Upon the filing of such

489 complaint, the court shall take jurisdiction of the witness and

490 the subject matter of the complaint and shall direct the witness

491 to respond to all lawful questions and to produce all lawfully

492 demanded documentary evidence in the possession of the witness.

493 The failure of a witness to comply with such order constitutes a

494 direct and criminal contempt of court and the court shall punish

495 the witness accordingly.

496 (d) When the Legislature is in session, upon request of

497 the Public Integrity Division directed to the committee issuing

498 the subpoena or subpoena duces tecum, either house of the

499 Legislature may seek compliance with the subpoena or subpoena

500 duces tecum in accordance with the State Constitution, general

501 law, the joint rules of the Legislature, or the rules of the

502 house of the Legislature whose committee issued the subpoena or

503 subpoena duces tecum.

504 (6) The Public Integrity Division shall receive copies of

505 all reports required by ss. 14.32, 17.325, and 20.055.

506 (7)(a) Beginning with the 2027-2028 fiscal year, the

507 Auditor General and the Public Integrity Division, within

508 available resources, shall randomly select and review

509 appropriations projects appropriated in the prior fiscal year

510 and, if appropriate, investigate and recommend an audit of such

511 projects. The review, investigation, or audit may be delayed on

512 a selected project until a subsequent year if the timeline of

513 the project warrants such delay. Each review, investigation, or

514 audit must include, but is not limited to, an evaluation of the

515 appropriations project recipient's efficient and effective

516 administration of the project. When an audit is recommended by

517 the Public Integrity Division under this subsection, the Auditor

518 General shall determine whether the audit is appropriate. All

519 such determinations shall be reported to the Joint Legislative

520 Auditing Committee.

521 (b) Beginning with the 2027-2028 fiscal year, the Auditor

522 General and the Public Integrity Division, within available

523 resources, may select and review, investigate, or audit the

524 financial activities of any political subdivision, special

525 district, public authority, public hospital, state or local

526 council or commission, unit of local government, or public

527 education entity in this state, as well as any authority,

528 council, commission, direct-support organization, institution,

529 foundation, or similar entity created by law or ordinance to

530 pursue a public purpose, entitled by law or ordinance to any

531 distribution of tax or fee revenues, or organized for the sole

532 purpose of supporting one of the public entities listed in this

533 paragraph.

534 Section 6. Section 11.407, Florida Statutes, is created to

535 read:

536 11.407 General Accountability Division audits.—

537 Beginning on January 1, 2027, the General Accountability

538 Division of the Florida Accountability Office shall conduct all

539 operational audits and compliance audits required by law,

540 including those previously assigned to the Auditor General or

541 the Office of Program Policy Analysis and Government

542 Accountability. The division may assist other units of the

543 Florida Accountability Office in conducting any audit or

544 investigation and conduct other audits authorized by law after

545 consultation with other units of the Florida Accountability

546 Office or as requested by the President of the Senate or the

547 Speaker of the House of Representatives.

548 Section 7. Section 11.42, Florida Statutes, is amended to

549 read:

550 11.42 The Auditor General.—

551 ~~(1) The Auditor General appointed in this section is the~~

552 ~~auditor that is required by s. 2, Art. III of the State~~

553 ~~Constitution.~~

554 (1)(2) ~~The Auditor General shall be appointed to office to~~

555 ~~serve at the pleasure of the Legislature, by a majority vote of~~

556 ~~the members of the Legislative Auditing Committee, subject to~~

557 ~~confirmation by both houses of the Legislature.~~ At the time of

558 her or his appointment, the Auditor General shall have been

559 certified under the Public Accountancy Law in this state for a

560 period of at least 10 years and shall have had not less than 10

561 years' experience in an accounting or auditing related field.

562 ~~Vacancies in the office shall be filled in the same manner as~~

563 ~~the original appointment.~~

564 ~~(3)(a) To carry out her or his duties the Auditor General~~

565 ~~shall make all spending decisions within the annual operating~~

566 ~~budget approved by the President of the Senate and the Speaker~~

567 ~~of the House of Representatives. The Auditor General shall~~

568 ~~employ qualified persons necessary for the efficient operation~~

569 ~~of the Auditor General's office and shall fix their duties and~~

570 ~~compensation and, with the approval of the President of the~~

571 ~~Senate and the Speaker of the House of Representatives, shall~~

572 ~~adopt and administer a uniform personnel, job classification,~~

573 ~~and pay plan for such employees.~~

574 (2)(b) No person shall be employed as a financial auditor

575 who does not possess the qualifications to take the examination

576 for a certificate as certified public accountant under the laws

577 of this state, and no person shall be employed or retained as

578 legal adviser, on either a full-time or a part-time basis, who

579 is not a member of The Florida Bar.

580 (3)(4) The Auditor General, before entering upon the

581 duties of the office, shall take and subscribe the oath of

582 office required of state officers by the State Constitution.

583 ~~(5) The appointment of the Auditor General may be~~

584 ~~terminated at any time by a majority vote of both houses of the~~

585 ~~Legislature.~~

586 ~~(6)(a) The headquarters of the Auditor General shall be at~~

587 ~~the state capital, but to facilitate auditing and to eliminate~~

588 ~~unnecessary traveling the Auditor General may establish field~~

589 ~~offices located outside the state capital. The Auditor General~~

590 ~~shall be provided with adequate quarters to carry out the~~

591 ~~position's functions in the state capital and in other areas of~~

592 ~~the state.~~

593 ~~(b) All payrolls and vouchers for the operations of the~~

594 ~~Auditor General's office shall be submitted to the Chief~~

595 ~~Financial Officer and, if found to be correct, payments shall be~~

596 ~~issued therefor.~~

597 (4)(7) The Auditor General, in consultation with the units

598 of the Florida Accountability Office, may make and enforce

599 reasonable rules and regulations necessary to facilitate audits

600 which the Florida Accountability Office ~~she or he~~ is authorized

601 to perform. The Auditor General shall consult with other units

602 of the Florida Accountability Office and incorporate into such

603 rules the suggestions of each unit that may lead to more timely

604 and effective audits, examinations, and investigations.

605 ~~(8) No officer or salaried employee of the Office of the~~

606 ~~Auditor General shall serve as the representative of any~~

607 ~~political party or on any executive committee or other governing~~

608 ~~body thereof; serve as an executive, officer, or employee of any~~

609 ~~political party committee, organization, or association; or be~~

610 ~~engaged on behalf of any candidate for public office in the~~

611 ~~solicitation of votes or other activities in behalf of such~~

612 ~~candidacy. Neither the Auditor General nor any employee of the~~

613 ~~Auditor General may become a candidate for election to public~~

614 ~~office unless she or he first resigns from office or employment.~~

615 ~~No officer or salaried employee of the Auditor General shall~~

616 ~~actively engage in any other business or profession or be~~

617 ~~otherwise employed without the prior written permission of the~~

618 ~~Auditor General.~~

619 ~~(9) Sections 11.25(1) and 11.26 shall not apply to the~~

620 ~~Auditor General.~~

621 Section 8. Section 11.45, Florida Statutes, is amended to

622 read:

623 11.45 Definitions; duties; authorities; reports; rules.—

624 (1) DEFINITIONS.—As used in ss. 11.40-11.51, the term:

625 (a) "Abuse" means behavior that is deficient or improper

626 when compared with behavior that a prudent person would consider

627 a reasonable and necessary operational practice given the facts

628 and circumstances. The term includes the misuse of authority or

629 position for personal gain.

630 (b) "Audit" means a financial audit, operational audit, or

631 performance audit.

632 (c) "Compliance audit" means an operational audit or a

633 performance audit directed at the systems and processes,

634 governance, legal compliance, regulations, and contracts of an

635 agency, a program, or an activity, as well as any other

636 objectives specified by the entity requesting or directing the

637 examination.

638 (d)(c) "County agency" means a board of county

639 commissioners or other legislative and governing body of a

640 county, however styled, including that of a consolidated or

641 metropolitan government, a clerk of the circuit court, a

642 separate or ex officio clerk of the county court, a sheriff, a

643 property appraiser, a tax collector, a supervisor of elections,

644 or any other officer in whom any portion of the fiscal duties of

645 a body or officer expressly stated in this paragraph are

646 separately placed by law.

647 (e)(d) "Financial audit" means an examination of financial

648 statements in order to express an opinion on the fairness with

649 which they are presented in conformity with generally accepted

650 accounting principles and an examination to determine whether

651 operations are properly conducted in accordance with legal and

652 regulatory requirements. Financial audits must be conducted in

653 accordance with auditing standards generally accepted in the

654 United States and government auditing standards. When

655 applicable, the scope of financial audits must encompass the

656 additional activities necessary to establish compliance with the

657 Single Audit Act Amendments of 1996, 31 U.S.C. ss. 7501-7507,

658 and other applicable federal law.

659 (f)(e) "Fraud" means obtaining something of value through

660 willful misrepresentation, including, but not limited to,

661 intentional misstatements or intentional omissions of amounts or

662 disclosures in financial statements to deceive users of

663 financial statements, theft of an entity's assets, bribery, or

664 the use of one's position for personal enrichment through the

665 deliberate misuse or misapplication of an organization's

666 resources.

667 (g)(f) "Governmental entity" means a state agency, a

668 county agency, or any other entity, however styled, that

669 independently exercises any type of state or local governmental

670 function.

671 (h)(g) "Local governmental entity" means a county agency,

672 municipality, tourist development council, county tourism

673 promotion agency, or special district as defined in s. 189.012.

674 The term does not include any housing authority established

675 under chapter 421.

676 (i)(h) "Management letter" means a statement of the

677 auditor's comments and recommendations.

678 (j)(i) "Operational audit" means an audit whose purpose is

679 to evaluate management's performance in establishing and

680 maintaining internal controls, including controls designed to

681 prevent and detect fraud, waste, and abuse, and in administering

682 assigned responsibilities in accordance with applicable laws,

683 administrative rules, contracts, grant agreements, and other

684 guidelines. Operational audits must be conducted in accordance

685 with government auditing standards or include a written

686 explanation for any departures from such standards in the audit

687 report. Such audits examine internal controls that are designed

688 and placed in operation to promote and encourage the achievement

689 of management's control objectives in the categories of

690 compliance, economic and efficient operations, reliability of

691 financial records and reports, and safeguarding of assets, and

692 identify weaknesses in those internal controls.

693 (k)(j) "Performance audit" means an examination of a

694 program, activity, or function of a governmental entity,

695 conducted in accordance with applicable government auditing

696 standards or auditing and evaluation standards of other

697 appropriate authoritative bodies. The term includes an

698 examination of issues related to:

699 1. Economy, efficiency, or effectiveness of the program.

700 2. Structure or design of the program to accomplish its

701 goals and objectives.

702 3. Adequacy of the program to meet the needs identified by

703 the Legislature or governing body.

704 4. Alternative methods of providing program services or

705 products.

706 5. Goals, objectives, and performance measures used by the

707 agency to monitor and report program accomplishments.

708 6. The accuracy or adequacy of public documents, reports,

709 or requests prepared under the program by state agencies.

710 7. Compliance of the program with appropriate policies,

711 rules, or laws.

712 8. Any other issues related to governmental entities as

713 directed by the Legislative Auditing Committee.

714 (l)(k) "Political subdivision" means a separate agency or

715 unit of local government created or established by law and

716 includes, but is not limited to, the following and the officers

717 thereof: authority, board, branch, bureau, city, commission,

718 consolidated government, county, department, district,

719 institution, metropolitan government, municipality, office,

720 officer, public corporation, town, or village.

721 (m)(l) "State agency" means a separate agency or unit of

722 state government created or established by law and includes, but

723 is not limited to, the following and the officers thereof:

724 authority, board, branch, bureau, commission, department,

725 division, institution, office, officer, or public corporation,

726 as the case may be, except any such agency or unit within the

727 legislative branch of state government other than the Florida

728 Public Service Commission.

729 (n)(m) "Waste" means the act of using or expending

730 resources unreasonably, carelessly, extravagantly, or for no

731 useful purpose.

732 (2) DUTIES.—The Florida Accountability Office ~~Auditor~~

733 ~~General~~ shall:

734 (a) Conduct audits of records and perform related duties

735 as prescribed by law, concurrent resolution of the Legislature,

736 or as directed by the Legislative Auditing Committee.

737 (b) Annually conduct a financial audit of state

738 government.

739 (c) Annually conduct financial audits of all state

740 universities and Florida College System institutions and verify

741 the accuracy of the amounts certified by each state university

742 and Florida College System institution chief financial officer

743 pursuant to ss. 1011.45 and 1011.84.

744 (d) Annually conduct financial audits of the accounts and

745 records of all district school boards in counties with

746 populations of less than 150,000, according to the most recent

747 federal decennial statewide census; and the Florida School for

748 the Deaf and the Blind.

749 (e) Once every 3 years, conduct financial audits of the

750 accounts and records of all district school boards in counties

751 that have populations of 150,000 or more, according to the most

752 recent federal decennial statewide census.

753 (f) At least every 3 years, conduct operational audits of

754 the accounts and records of state agencies, state universities,

755 state colleges, district school boards, the Florida Clerks of

756 Court Operations Corporation, water management districts, and

757 the Florida School for the Deaf and the Blind.

758 (g) At least every 3 years, conduct a performance audit of

759 the local government financial reporting system, which, for the

760 purpose of this chapter, means any statutory provision related

761 to local government financial reporting. The purpose of such an

762 audit is to determine the accuracy, efficiency, and

763 effectiveness of the reporting system in achieving its goals and

764 to make recommendations to the local governments, the Governor,

765 and the Legislature as to how the reporting system can be

766 improved and how program costs can be reduced. The Office of

767 Program Policy Analysis and Government Accountability ~~Auditor~~

768 ~~General~~ shall determine the scope of the audits. The local

769 government financial reporting system should provide for the

770 timely, accurate, uniform, and cost-effective accumulation of

771 financial and other information that can be used by the members

772 of the Legislature and other appropriate officials to accomplish

773 the following goals:

774 1. Enhance citizen participation in local government;

775 2. Improve the financial condition of local governments;

776 3. Provide essential government services in an efficient

777 and effective manner; and

778 4. Improve decisionmaking on the part of the Legislature,

779 state agencies, and local government officials on matters

780 relating to local government.

781 (h) At least every 3 years, conduct a performance audit of

782 the Department of Revenue's administration of the ad valorem tax

783 laws as described in s. 195.096. The audit report shall report

784 on the activities of the ad valorem tax program of the

785 Department of Revenue related to the ad valorem tax rolls. The

786 Office of Program Policy Analysis and Government Accountability

787 ~~Auditor General~~ shall include, for at least four counties

788 reviewed, findings as to the accuracy of assessment procedures,

789 projections, and computations made by the department, using the

790 same generally accepted appraisal standards and procedures to

791 which the department and the property appraisers are required to

792 adhere. However, the report may not include any findings or

793 statistics related to any ad valorem tax roll that is in

794 litigation between the state and county officials at the time

795 the report is issued.

796 (i) Once every 3 years, review a sample of internal audit

797 reports at each state agency, as defined in s. 20.055(1), to

798 determine compliance with current Standards for the Professional

799 Practice of Internal Auditing or, if appropriate, government

800 auditing standards.

801 (j) Conduct audits of local governmental entities when

802 determined to be necessary by any unit of the Florida

803 Accountability Office ~~the Auditor General,~~ when directed by the

804 Legislative Auditing Committee, or when otherwise required by

805 law. No later than 18 months after the release of the audit

806 report, the applicable unit ~~Auditor General~~ shall perform such

807 appropriate followup procedures as he or she deems necessary to

808 determine the audited entity's progress in addressing the

809 findings and recommendations contained within the ~~Auditor~~

810 ~~General's~~ previous report. The applicable unit ~~Auditor General~~

811 shall notify each member of the audited entity's governing body

812 and the Legislative Auditing Committee of the results of its ~~his~~

813 ~~or her~~ determination. For purposes of this paragraph, local

814 governmental entities do not include water management districts.

815 (k) Contact each district school board, as defined in s.

816 1003.01(7), with the findings and recommendations contained

817 within the ~~Auditor General's~~ previous operational audit report.

818 The district school board shall provide the Florida

819 Accountability Office ~~Auditor General~~ with evidence of the

820 initiation of corrective action within 45 days after the date it

821 is requested by the Florida Accountability Office ~~Auditor~~

822 ~~General~~ and evidence of completion of corrective action within

823 180 days after the date it is requested by the Florida

824 Accountability Office ~~Auditor General.~~ If the district school

825 board fails to provide such evidence ~~comply with the Auditor~~

826 ~~General's request~~ or is unable to take corrective action within

827 the required timeframe, the Florida Accountability Office

828 ~~Auditor General~~ shall notify the Legislative Auditing Committee.

829 (l) At least once every 3 years, conduct operational

830 audits of the accounts and records of eligible nonprofit

831 scholarship-funding organizations receiving eligible

832 contributions under s. 1002.395, including any contracts for

833 services with related entities, to determine compliance with the

834 provisions of that section. Such audits shall include, but not

835 be limited to, a determination of the eligible nonprofit

836 scholarship-funding organization's compliance with s.

837 1002.395(6)(l). The Florida Accountability Office ~~Auditor~~

838 ~~General~~ shall provide its report on the results of the audits to

839 the Governor, the President of the Senate, the Speaker of the

840 House of Representatives, the Chief Financial Officer, and the

841 Legislative Auditing Committee, within 30 days after of

842 completion of the audit.

843 (m) At least once every 7 years, conduct an operational

844 and financial audit of each large-hub commercial service

845 airport. Each operational audit shall include, at a minimum, an

846 assessment of compliance with s. 332.0075, including compliance

847 with chapter 287, and compliance with the public records and

848 public meetings laws of this state. For purposes of this

849 paragraph, the term "large-hub commercial service airport" means

850 a publicly owned airport that has at least 1 percent of the

851 annual passenger boardings in the United States as reported by

852 the Federal Aviation Administration.

853 (n) At least once every 3 years, conduct an operational

854 audit of the Florida Birth-Related Neurological Injury

855 Compensation Association. Each operational audit shall include,

856 at a minimum, an assessment of compliance with ss. 766.303-

857 766.315 and compliance with the public records and public

858 meetings laws of this state. The first operational audit must be

859 completed by August 15, 2021.

861 Each unit of the Florida Accountability Office ~~Auditor General~~

862 shall perform its ~~his or her~~ duties independently from an

863 audited entity, exercising objective and impartial judgment, ~~but~~

864 under the general policies established by the Legislative

865 Auditing Committee or the Legislature. This subsection does not

866 limit the Florida Accountability Office's ~~Auditor General's~~

867 discretionary authority to conduct other audits or engagements

868 of governmental entities as authorized in subsection (3).

869 (3) AUTHORITY FOR AUDITS AND OTHER ENGAGEMENTS.—Any unit

870 of the Florida Accountability Office ~~Auditor General~~ may,

871 pursuant to its ~~his or her~~ own discretion ~~authority,~~ or at the

872 direction of the Legislative Auditing Committee, the President

873 of the Senate, or the Speaker of the House of Representatives,

874 conduct audits or other engagements as determined appropriate by

875 the unit ~~Auditor General~~ of:

876 (a) The accounts and records of any governmental entity

877 created or established by law.

878 (b) The information technology programs, activities,

879 functions, or systems of any governmental entity created or

880 established by law.

881 (c) The accounts and records of any charter school created

882 or established by law.

883 (d) The accounts and records of any direct-support

884 organization or citizen support organization created or

885 established by law. The Florida Accountability Office ~~Auditor~~

886 ~~General~~ is authorized to require and receive any records from

887 the direct-support organization or citizen support organization,

888 or from its independent auditor.

889 (e) The public records associated with any appropriation

890 made by the Legislature to a nongovernmental agency,

891 corporation, or person. All records of a nongovernmental agency,

892 corporation, or person with respect to the receipt and

893 expenditure of such an appropriation shall be public records and

894 shall be treated in the same manner as other public records are

895 under general law.

896 (f) State financial assistance provided to any nonstate

897 entity as defined by s. 215.97.

898 (g) The Tobacco Settlement Financing Corporation created

899 pursuant to s. 215.56005.

900 (h) Any purchases of federal surplus lands for use as

901 sites for correctional facilities as described in s. 253.037.

902 (i) The Florida Development Finance Corporation or the

903 capital development board or the programs or entities created by

904 the board. The audit or report may not reveal the identity of

905 any person who has anonymously made a donation to the board

906 pursuant to this paragraph. The identity of a donor or

907 prospective donor to the board who desires to remain anonymous

908 and all information identifying such donor or prospective donor

909 are confidential and exempt from ~~the provisions of~~ s. 119.07(1)

910 and s. 24(a), Art. I of the State Constitution. Such anonymity

911 shall be maintained in the auditor's report.

912 (j) The records pertaining to the use of funds from

913 voluntary contributions on a motor vehicle registration

914 application or on a driver license application authorized

915 pursuant to ss. 320.023 and 322.081.

916 (k) The records pertaining to the use of funds from the

917 sale of specialty license plates described in chapter 320.

918 (l) The acquisitions and divestitures related to the

919 Florida Communities Trust Program created pursuant to chapter

920 380.

921 (m) The Florida Water Pollution Control Financing

922 Corporation created pursuant to s. 403.1837.

923 (n) The school readiness program, including the early

924 learning coalitions under part VI of chapter 1002.

925 (o) CareerSource Florida, Inc., the state board as defined

926 in s. 445.002, or the programs or entities created by the state

927 board under s. 445.004.

928 (p) The corporation defined in s. 455.32 that is under

929 contract with the Department of Business and Professional

930 Regulation to provide administrative, investigative,

931 examination, licensing, and prosecutorial support services in

932 accordance with ~~the provisions of~~ s. 455.32 and the practice act

933 of the relevant profession.

934 (q) The Florida Engineers Management Corporation created

935 pursuant to chapter 471.

936 (r) The books and records of any permitholder that

937 conducts race meetings or jai alai exhibitions under chapter

938 550.

939 (s) The corporation defined in part II of chapter 946,

940 known as the Prison Rehabilitative Industries and Diversified

941 Enterprises, Inc., or PRIDE Enterprises.

942 (t) The Florida Virtual School.

943 (u) Virtual education providers receiving state funds or

944 funds from local ad valorem taxes.

945 (v) The accounts and records of a nonprofit scholarship-

946 funding organization participating in a state sponsored

947 scholarship program authorized by chapter 1002.

948 (w) The Florida Tourism Industry Marketing Corporation.

949 (x) Tourist development councils and county tourism

950 promotion agencies.

951 (4) SCHEDULING AND STAFFING OF AUDITS.—

952 (a) Each financial audit required or authorized by this

953 section, when practicable, shall be made and completed within

954 not more than 9 months following the end of each audited fiscal

955 year of the state agency or political subdivision, or at such

956 lesser time which may be provided by law or concurrent

957 resolution or directed by the Legislative Auditing Committee.

958 When the Florida Accountability Office ~~Auditor General~~

959 determines that conducting any audit or engagement otherwise

960 required by law would not be possible due to workload or would

961 not be an efficient or effective use of its ~~his or her~~ resources

962 based on an assessment of risk, then, in its ~~his or her~~

963 discretion, the Florida Accountability Office ~~Auditor General~~

964 may temporarily or indefinitely postpone such audits or other

965 engagements for such period or any portion thereof, unless

966 otherwise directed by the committee.

967 (b) The Florida Accountability Office ~~Auditor General~~ may,

968 when ~~in his or her judgment it is~~ necessary, designate and

969 direct any auditor employed by the Florida Accountability Office

970 ~~Auditor General~~ to audit any accounts or records within the

971 authority of the Florida Accountability Office ~~Auditor General~~

972 to audit. The auditor shall report his or her findings for

973 review by the Florida Accountability Office ~~Auditor General,~~

974 which ~~who~~ shall prepare the audit report.

975 (c) The audit report when final shall be a public record.

976 The audit workpapers and notes are not a public record; however,

977 those workpapers necessary to support the computations in the

978 final audit report may be made available by a majority vote of

979 the Legislative Auditing Committee after a public hearing

980 showing proper cause. The audit workpapers and notes shall be

981 retained by the Florida Accountability Office ~~Auditor General~~

982 until no longer useful in its ~~his or her~~ proper functions, after

983 which time they may be destroyed.

984 (d) At the conclusion of the audit, examination, or

985 investigation, the Florida Accountability Office ~~Auditor General~~

986 or the designated representative of the Florida Accountability

987 Office ~~Auditor General's designated representative~~ shall discuss

988 the audit, examination, or investigation with the official whose

989 office is subject to audit and submit to that official a list of

990 the Florida Accountability Office's ~~Auditor General's~~ findings

991 which may be included in the audit report. If the official is

992 not available for receipt of the list of audit findings, then

993 delivery is presumed to be made when it is delivered to his or

994 her office. The official shall submit to the Florida

995 Accountability Office ~~Auditor General~~ or the designated

996 representative, within 30 days after the receipt of the list of

997 findings, or within 15 days if specified in writing with the

998 delivery of the findings, his or her written statement of

999 explanation or rebuttal concerning all of the findings,

1000 including corrective action to be taken to preclude a recurrence

1001 of all findings.

1002 (e) The Florida Accountability Office ~~Auditor General~~

1003 shall provide the successor independent certified public

1004 accountant of a district school board with access to the prior

1005 year's working papers in accordance with the Statements on

1006 Auditing Standards, including documentation of planning,

1007 internal control, audit results, and other matters of continuing

1008 accounting and auditing significance, such as the working paper

1009 analysis of balance sheet accounts and those relating to

1010 contingencies.

1011 (5) PETITION FOR AN AUDIT BY THE FLORIDA ACCOUNTABILITY

1012 OFFICE ~~AUDITOR GENERAL.—~~

1013 (a) The Legislative Auditing Committee shall direct the

1014 Florida Accountability Office ~~Auditor General~~ to make an audit

1015 of any municipality whenever petitioned to do so by at least 20

1016 percent of the registered electors in the last general election

1017 of that municipality pursuant to this subsection. The supervisor

1018 of elections of the county in which the municipality is located

1019 shall certify whether or not the petition contains the

1020 signatures of at least 20 percent of the registered electors of

1021 the municipality. After the completion of the audit, the Florida

1022 Accountability Office ~~Auditor General~~ shall determine whether

1023 the municipality has the fiscal resources necessary to pay the

1024 cost of the audit. The municipality shall pay the cost of the

1025 audit within 90 days after the Florida Accountability Office's

1026 ~~Auditor General's~~ determination that the municipality has the

1027 available resources. If the municipality fails to pay the cost

1028 of the audit, the Department of Revenue shall, upon

1029 certification of the Florida Accountability Office ~~Auditor~~

1030 ~~General,~~ withhold from that portion of the distribution pursuant

1031 to s. 212.20(6)(d)5. which is distributable to such

1032 municipality, a sum sufficient to pay the cost of the audit and

1033 shall deposit that sum into the General Revenue Fund of the

1034 state.

1035 (b) At least one registered elector in the most recent

1036 general election must file a letter of intent with the municipal

1037 clerk before ~~prior to~~ any petition of the electors of that

1038 municipality for the purpose of an audit. Each petition must be

1039 submitted to the supervisor of elections and contain, at a

1040 minimum:

1041 1. The elector's printed name;

1042 2. The signature of the elector;

1043 3. The elector's residence address;

1044 4. The elector's date of birth; and

1045 5. The date signed.

1047 All petitions must be submitted for verification within 1

1048 calendar year after the audit petition origination by the

1049 municipal electors.

1050 (6) REQUEST BY A LOCAL GOVERNMENTAL ENTITY FOR AN AUDIT BY

1051 THE FLORIDA ACCOUNTABILITY OFFICE ~~AUDITOR~~ GENERAL.—Whenever a

1052 local governmental entity requests the Florida Accountability

1053 Office ~~Auditor General~~ to conduct an audit of all or part of its

1054 operations and the Florida Accountability Office ~~Auditor General~~

1055 conducts the audit under its ~~his or her~~ own authority or at the

1056 direction of the Legislative Auditing Committee, the expenses of

1057 the audit shall be paid by the local governmental entity. The

1058 Florida Accountability Office ~~Auditor General~~ shall estimate the

1059 cost of the audit. Fifty percent of the cost estimate shall be

1060 paid by the local governmental entity before the initiation of

1061 the audit and deposited into the General Revenue Fund of the

1062 state. After the completion of the audit, the Florida

1063 Accountability Office ~~Auditor General~~ shall notify the local

1064 governmental entity of the actual cost of the audit. The local

1065 governmental entity shall remit the remainder of the cost of the

1066 audit to the Florida Accountability Office ~~Auditor General~~ for

1067 deposit into the General Revenue Fund of this ~~the~~ state. If the

1068 local governmental entity fails to comply with paying the

1069 remaining cost of the audit, the Florida Accountability Office

1070 ~~Auditor General~~ shall notify the Legislative Auditing Committee.

1071 (7) FLORIDA ACCOUNTABILITY OFFICE ~~AUDITOR GENERAL~~

1072 REPORTING REQUIREMENTS.—

1073 (a) The Auditor General shall notify the Legislative

1074 Auditing Committee of any local governmental entity, district

1075 school board, charter school, or charter technical career center

1076 that does not comply with the reporting requirements of s.

1077 218.39.

1078 (b) The Florida Accountability Office ~~Auditor General,~~ in

1079 consultation with the Board of Accountancy, shall review all

1080 audit reports submitted pursuant to s. 218.39. The Auditor

1081 General shall request any significant items that were omitted in

1082 violation of a rule adopted by the Auditor General. The items

1083 must be provided within 45 days after the date of the request.

1084 If the governmental entity does not comply with the Auditor

1085 General's request, the Auditor General shall notify the

1086 Legislative Auditing Committee.

1087 (c) The Auditor General shall provide annually a list of

1088 those special districts which are not in compliance with s.

1089 218.39 to the Special District Accountability Program of the

1090 Department of Commerce.

1091 (d) During the Florida Accountability Office's ~~Auditor~~

1092 ~~General's~~ review of audit reports, it ~~he or she~~ shall contact

1093 those units of local government, as defined in s. 218.403, that

1094 are not in compliance with s. 218.415 and request evidence of

1095 corrective action. The unit of local government shall provide

1096 the Florida Accountability Office ~~Auditor General~~ with evidence

1097 of corrective action within 45 days after the date it is

1098 requested by the Florida Accountability Office ~~Auditor General.~~

1099 If the unit of local government fails to comply with the Florida

1100 Accountability Office's ~~Auditor General's~~ request, the Florida

1101 Accountability Office ~~Auditor General~~ shall notify the

1102 Legislative Auditing Committee.

1103 (e) The Florida Accountability Office ~~Auditor General~~

1104 shall notify the Governor or the Commissioner of Education, as

1105 appropriate, and the Legislative Auditing Committee of any audit

1106 report reviewed by the office ~~Auditor General~~ pursuant to

1107 paragraph (b) which contains a statement that a local

1108 governmental entity, charter school, charter technical career

1109 center, or district school board has met one or more of the

1110 conditions specified in s. 218.503. If the Auditor General

1111 requests a clarification regarding information included in an

1112 audit report to determine whether a local governmental entity,

1113 charter school, charter technical career center, or district

1114 school board has met one or more of the conditions specified in

1115 s. 218.503, the requested clarification must be provided within

1116 45 days after the date of the request. If the local governmental

1117 entity, charter school, charter technical career center, or

1118 district school board does not comply with the Florida

1119 Accountability Office's ~~Auditor General's~~ request, the office

1120 ~~Auditor General~~ shall notify the Legislative Auditing Committee.

1121 If, after obtaining the requested clarification, the Florida

1122 Accountability Office ~~Auditor General~~ determines that the local

1123 governmental entity, charter school, charter technical career

1124 center, or district school board has met one or more of the

1125 conditions specified in s. 218.503, the office ~~he or she~~ shall

1126 notify the Governor or the Commissioner of Education, as

1127 appropriate, and the Legislative Auditing Committee.

1128 (f) The Florida Accountability Office ~~Auditor General~~

1129 shall annually compile and transmit to the President of the

1130 Senate, the Speaker of the House of Representatives, and the

1131 Legislative Auditing Committee a summary of significant findings

1132 and financial trends identified in audit reports reviewed in

1133 paragraph (b) or otherwise identified by the Florida

1134 Accountability Office's ~~Auditor General's~~ review of such audit

1135 reports and financial information, and identified in audits of

1136 district school boards conducted by the office ~~Auditor General.~~

1137 The Florida Accountability Office ~~Auditor General~~ shall include

1138 financial information provided pursuant to s. 218.32(1)(e) for

1139 entities with fiscal years ending on or after June 30, 2003,

1140 within the office's ~~his or her~~ reports submitted pursuant to

1141 this paragraph.

1142 (g) If the Florida Accountability Office ~~Auditor General~~

1143 discovers significant errors, improper practices, or other

1144 significant discrepancies in connection with its ~~his or her~~

1145 audits of a state agency or state officer, the Florida

1146 Accountability Office ~~Auditor General~~ shall notify the President

1147 of the Senate, the Speaker of the House of Representatives, and

1148 the Legislative Auditing Committee. The President of the Senate

1149 and the Speaker of the House of Representatives shall promptly

1150 forward a copy of the notification to the chairs of the

1151 respective legislative committees, which in the judgment of the

1152 President of the Senate and the Speaker of the House of

1153 Representatives are substantially concerned with the functions

1154 of the state agency or state officer involved. Thereafter, and

1155 in no event later than the 10th day of the next succeeding

1156 legislative session, the person in charge of the state agency

1157 involved, or the state officer involved, as the case may be,

1158 shall explain in writing to the President of the Senate, the

1159 Speaker of the House of Representatives, and to the Legislative

1160 Auditing Committee the reasons or justifications for such

1161 errors, improper practices, or other significant discrepancies

1162 and the corrective measures, if any, taken by the agency.

1163 (h) The Florida Accountability Office ~~Auditor General~~

1164 shall annually compile and transmit to the President of the

1165 Senate, the Speaker of the House of Representatives, and the

1166 Legislative Auditing Committee by December 1 of each year a

1167 report that includes a projected 2-year work plan identifying

1168 the audit and other accountability activities to be undertaken

1169 and a list of statutory and fiscal changes recommended by the

1170 Florida Accountability Office ~~Auditor General.~~ The Florida

1171 Accountability Office ~~Auditor General~~ may also transmit

1172 recommendations at other times of the year when the information

1173 would be timely and useful for the Legislature.

1174 (i) The Florida Accountability Office ~~Auditor General~~

1175 shall annually transmit by July 15, to the President of the

1176 Senate, the Speaker of the House of Representatives, and the

1177 Department of Financial Services, a list of all school

1178 districts, charter schools, charter technical career centers,

1179 Florida College System institutions, state universities, and

1180 local governmental entities that have failed to comply with the

1181 transparency requirements as identified in the audit reports

1182 reviewed pursuant to paragraph (b) and those conducted pursuant

1183 to subsection (2).

1184 (j) The Florida Accountability Office ~~Auditor General~~

1185 shall notify the Legislative Auditing Committee of any financial

1186 or operational audit report prepared pursuant to this section

1187 which indicates that a district school board, state university,

1188 or Florida College System institution has failed to take full

1189 corrective action in response to a recommendation that was

1190 included in the two preceding financial reports or any preceding

1191 operational audit report ~~reports.~~

1192 1. The committee may direct the district school board or

1193 the governing body of the state university or Florida College

1194 System institution to provide a written statement to the

1195 committee explaining why full corrective action has not been

1196 taken or, if the governing body intends to take full corrective

1197 action, describing the corrective action to be taken and when it

1198 will occur.

1199 2. If the committee determines that the written statement

1200 is not sufficient, the committee may require the chair of the

1201 district school board or the chair of the governing body of the

1202 state university or Florida College System institution, or the

1203 chair's designee, to appear before the committee.

1204 3. If the committee determines that the district school

1205 board, state university, or Florida College System institution

1206 has failed to take full corrective action for which there is no

1207 justifiable reason or has failed to comply with committee

1208 requests made pursuant to this section, the committee shall

1209 refer the matter to the State Board of Education or the Board of

1210 Governors, as appropriate, to proceed in accordance with s.

1211 1008.32 or s. 1008.322, respectively.

1212 (8) RULES OF THE AUDITOR GENERAL.—The Auditor General, in

1213 consultation with the Board of Accountancy, shall adopt rules

1214 for the form and conduct of all financial audits performed by

1215 independent certified public accountants pursuant to ss.

1216 215.981, 218.39, 1001.453, 1002.395, 1004.28, and 1004.70. The

1217 rules for audits of local governmental entities, charter

1218 schools, charter technical career centers, and district school

1219 boards must include, but are not limited to, requirements for

1220 the reporting of information necessary to carry out the purposes

1221 of the Local Governmental Entity, Charter School, Charter

1222 Technical Career Center, and District School Board Financial

1223 Emergencies Act as stated in s. 218.501.

1224 (9) TECHNICAL ADVICE PROVIDED BY THE AUDITOR GENERAL.—The

1225 Auditor General may provide technical advice to:

1226 (a) The Department of Education in the development of a

1227 compliance supplement for the financial audit of a district

1228 school board conducted by an independent certified public

1229 accountant.

1230 (b) Governmental entities on their financial and

1231 accounting systems, procedures, and related matters.

1232 (c) Governmental entities on promoting the building of

1233 competent and efficient accounting and internal audit

1234 organizations in their offices.

1235 Section 9. Section 11.47, Florida Statutes, is amended to

1236 read:

1237 11.47 Penalties; failure to make a proper audit or

1238 examination; making a false report; failure to produce documents

1239 or information.—

1240 (1) All officers whose respective offices the Florida

1241 Accountability Office ~~Auditor General or the Office of Program~~

1242 ~~Policy Analysis and Government Accountability~~ is authorized to

1243 audit or examine shall enter into their public records

1244 sufficient information for proper audit or examination, and

1245 shall make the same available to the Florida Accountability

1246 Office ~~Auditor General~~ or the Office of Program Policy Analysis

1247 and Government Accountability on demand.

1248 (2) The willful failure or refusal of the Auditor General,

1249 ~~director of the Office of Program Policy Analysis and Government~~

1250 ~~Accountability,~~ or any staff employed by the Florida

1251 Accountability Office ~~Auditor General or the Office of Program~~

1252 ~~Policy Analysis and Government Accountability~~ to make a proper

1253 audit or examination in line with its ~~his or her~~ duty, the

1254 willful making of a false report as to any audit or examination,

1255 or the willful failure or refusal to report a shortage or

1256 misappropriation of funds or property shall be cause for removal

1257 from such office or employment, and the Auditor General, ~~the~~

1258 ~~director of the Office of Program Policy Analysis and Government~~

1259 ~~Accountability,~~ or a staff member commits ~~shall be guilty of~~ a

1260 misdemeanor of the first degree, punishable as provided in s.

1261 775.082 or s. 775.083.

1262 (3) Any person who willfully fails or refuses to provide

1263 access to an employee, officer, or agent of an entity subject to

1264 an audit or to furnish or produce any book, record, paper,

1265 document, data, or sufficient information necessary to a proper

1266 audit or examination which the Florida Accountability Office,

1267 Auditor General, or the Office of Program Policy Analysis and

1268 Government Accountability is by law authorized to perform

1269 commits a misdemeanor of the first degree, punishable as

1270 provided in s. 775.082 or s. 775.083.

1271 (4) Any officer who willfully fails or refuses to furnish

1272 or produce any book, record, paper, document, data, or

1273 sufficient information necessary to a proper audit or

1274 examination which the Florida Accountability Office, Auditor

1275 General, or the Office of Program Policy Analysis and Government

1276 Accountability is by law authorized to perform, shall be subject

1277 to removal from office.

1278 Section 10. Subsections (1) and (2) of section 11.51,

1279 Florida Statutes, are amended to read:

1280 11.51 Office of Program Policy Analysis and Government

1281 Accountability.—

1282 ~~(1) The Office of Program Policy Analysis and Government~~

1283 ~~Accountability is authorized to examine all entities and records~~

1284 ~~listed in s. 11.45(3).~~

1285 ~~(2) At the conclusion of an examination, the designated~~

1286 ~~representative of the Office of Program Policy Analysis and~~

1287 ~~Government Accountability shall discuss the examination with the~~

1288 ~~official whose office is examined and submit to that official~~

1289 ~~the Office of Program Policy Analysis and Government~~

1290 ~~Accountability's preliminary findings. If the official is not~~

1291 ~~available for receipt of the preliminary findings, clearly~~

1292 ~~designated as such, delivery thereof is presumed to be made when~~

1293 ~~it is delivered to his or her office. Whenever necessary, the~~

1294 ~~Office of Program Policy Analysis and Government Accountability~~

1295 ~~may request the official to submit his or her written statement~~

1296 ~~of explanation or rebuttal within 15 days after the receipt of~~

1297 ~~the findings. If the response time is not requested to be within~~

1298 ~~15 days, the official shall submit his or her response within 30~~

1299 ~~days after receipt of the preliminary findings.~~

1300 Section 11. Paragraph (g) of subsection (2) of section

1301 14.32, Florida Statutes, is amended to read:

1302 14.32 Office of Chief Inspector General.—

1303 (2) The Chief Inspector General shall:

1304 (g) Report expeditiously to and cooperate fully with the

1305 Department of Law Enforcement, the Chief Financial Officer, the

1306 Department of Legal Affairs, and any ~~other~~ law enforcement

1307 agency believed to have jurisdiction ~~agencies~~ when there are

1308 recognizable grounds to believe that there has been a violation

1309 of criminal law or that a civil action should be initiated.

1310 Section 12. Subsections (1), (2), (5), (6), and (7) of

1311 section 112.3187, Florida Statutes, are amended to read:

1312 112.3187 Adverse action against employee for disclosing

1313 information of specified nature prohibited; employee remedy and

1314 relief.—

1315 (1) SHORT TITLE.—Sections 112.3187-112.31901 ~~112.3187-~~

1316 ~~112.31895~~ may be cited as the "Whistle-blower's Act."

1317 (2) LEGISLATIVE INTENT.—It is the intent of the

1318 Legislature to prevent agencies or independent contractors from

1319 taking retaliatory action against an employee who reports to an

1320 appropriate agency violations of law on the part of a public

1321 employer or independent contractor ~~that create a substantial and~~

1322 ~~specific danger to the public's health, safety, or welfare.~~ It

1323 is further the intent of the Legislature to prevent agencies or

1324 independent contractors from taking retaliatory action against

1325 any person who discloses information to an appropriate agency

1326 alleging improper use of governmental office, ~~gross~~ waste of

1327 funds, or any other abuse or ~~gross~~ neglect of duty on the part

1328 of an agency, public officer, or employee.

1329 (5) NATURE OF INFORMATION DISCLOSED.—The information

1330 disclosed under this section must include:

1331 (a) Any violation or suspected violation of any federal,

1332 state, or local law, rule, or regulation committed by an

1333 employee or agent of an agency or independent contractor ~~which~~

1334 ~~creates and presents a substantial and specific danger to the~~

1335 ~~public's health, safety, or welfare.~~

1336 (b) Any act or suspected act of ~~gross~~ mismanagement,

1337 malfeasance, misfeasance, ~~gross~~ waste of public funds, suspected

1338 or actual Medicaid fraud or abuse, or ~~gross~~ neglect of duty

1339 committed by an employee or agent of an agency or independent

1340 contractor.

1341 (6) TO WHOM INFORMATION DISCLOSED.—The information

1342 disclosed under this section must be disclosed to any agency or

1343 federal government entity having the authority to investigate,

1344 police, manage, or otherwise remedy the violation or act,

1345 including, but not limited to, the Florida Accountability

1346 Office, the Office of the Chief Inspector General, an agency

1347 inspector general or the employee designated as agency inspector

1348 general under s. 112.3189(1) or inspectors general under s.

1349 20.055, the Florida Commission on Human Relations, and the

1350 whistle-blower's hotline created under s. 112.3189. However, for

1351 disclosures concerning a local governmental entity, including

1352 any regional, county, or municipal entity, special district,

1353 community college district, or school district or any political

1354 subdivision of any of the foregoing, the information must be

1355 disclosed to a chief executive officer as defined in s.

1356 447.203(9) or other appropriate local official.

1357 (7) EMPLOYEES AND PERSONS PROTECTED.—This section protects

1358 employees and persons who disclose information on their own

1359 initiative in a written and signed complaint; who are requested

1360 to participate in an investigation, hearing, or other inquiry

1361 conducted by the Florida Accountability Office or any agency or

1362 federal government entity; who refuse to participate in any

1363 adverse action prohibited by this section; or who initiate a

1364 complaint through the whistle-blower's hotline, or the hotline

1365 of the Medicaid Fraud Control Unit of the Department of Legal

1366 Affairs, or any communication to the Florida Accountability

1367 Office; or employees who file any written complaint to their

1368 supervisory officials or employees who submit a complaint to the

1369 Florida Accountability Office, the Chief Inspector General in

1370 the Executive Office of the Governor, to the employee designated

1371 as agency inspector general under s. 112.3189(1), or to the

1372 Florida Commission on Human Relations. ~~The provisions of~~ This

1373 section may not be used by a person while he or she is under the

1374 care, custody, or control of the state correctional system or,

1375 after release from the care, custody, or control of the state

1376 correctional system, with respect to circumstances that occurred

1377 during any period of incarceration. No remedy or other

1378 protection under ss. 112.3187-112.31895 applies to any person

1379 who has committed or intentionally participated in committing

1380 the violation or suspected violation for which protection under

1381 ss. 112.3187-112.31895 is being sought.

1382 Section 13. Section 112.3188, Florida Statutes, is amended

1383 to read:

1384 112.3188 Confidentiality of information given to the

1385 Florida Accountability Office, the Chief Inspector General,

1386 internal auditors, inspectors general, local chief executive

1387 officers, or other appropriate local officials.—

1388 (1) The name or identity of any individual who discloses

1389 in good faith to the Florida Accountability Office, the Chief

1390 Inspector General or an agency inspector general, a local chief

1391 executive officer, or other appropriate local official

1392 information that alleges that an employee or agent of an agency

1393 or independent contractor:

1394 (a) Has violated or is suspected of having violated any

1395 federal, state, or local law, rule, or regulation, ~~thereby~~

1396 ~~creating and presenting a substantial and specific danger to the~~

1397 ~~public's health, safety, or welfare;~~ or

1398 (b) Has committed or is suspected of having committed an

1399 act of ~~gross~~ mismanagement, malfeasance, misfeasance, ~~gross~~

1400 waste of public funds, or ~~gross~~ neglect of duty

1402 may not be disclosed to anyone other than a member of the

1403 Florida Accountability Office, Chief Inspector General

1404 ~~General's,~~ agency inspector general ~~general's,~~ internal auditor

1405 ~~auditor's,~~ local chief executive officer ~~officer's,~~ or other

1406 appropriate local officer ~~official's staff~~ without the written

1407 consent of the individual, unless the Florida Accountability

1408 Office, Chief Inspector General, internal auditor, agency

1409 inspector general, local chief executive officer, or other

1410 appropriate local official determines that: the disclosure of

1411 the individual's identity is necessary to prevent a substantial

1412 and specific danger to the public's health, safety, or welfare

1413 or to prevent the imminent commission of a crime; or the

1414 disclosure is unavoidable and absolutely necessary during the

1415 course of the audit, evaluation, or investigation.

1416 (2)(a) Except as specifically authorized by s. 112.3189,

1417 all information received by the Florida Accountability Office,

1418 the Chief Inspector General, or an agency inspector general or

1419 information produced or derived from fact-finding or other

1420 investigations conducted by the Florida Commission on Human

1421 Relations or the Department of Law Enforcement is confidential

1422 and exempt from s. 119.07(1) if the information is being

1423 received or derived from allegations as set forth in paragraph

1424 (1)(a) or paragraph (1)(b), and an investigation is active.

1425 (b) All information received by a local chief executive

1426 officer or appropriate local official or information produced or

1427 derived from fact-finding or investigations conducted pursuant

1428 to the administrative procedure established by ordinance by a

1429 local government as authorized by s. 112.3187(8)(b) is

1430 confidential and exempt from s. 119.07(1) and s. 24(a), Art. I

1431 of the State Constitution, if the information is being received

1432 or derived from allegations as set forth in paragraph (1)(a) or

1433 paragraph (1)(b) and an investigation is active.

1434 (c) Information deemed confidential under this section may

1435 be disclosed by the Florida Accountability Office, ~~the~~ Chief

1436 Inspector General, agency inspector general, local chief

1437 executive officer, or other appropriate local officer ~~official~~

1438 receiving the information if the recipient determines that the

1439 disclosure of the information is absolutely necessary to prevent

1440 a substantial and specific danger to the public's health,

1441 safety, or welfare or to prevent the imminent commission of a

1442 crime. Information disclosed under this subsection may be

1443 disclosed only to persons who are in a position to prevent the

1444 danger to the public's health, safety, or welfare or to prevent

1445 the imminent commission of a crime based on the disclosed

1446 information.

1447 1. An investigation is active under this section if:

1448 a. It is an ongoing investigation or inquiry or collection

1449 of information and evidence and is continuing with a reasonable,

1450 good faith anticipation of resolution in the foreseeable future;

1451 or

1452 b. All or a portion of the matters under investigation or

1453 inquiry are active criminal intelligence information or active

1454 criminal investigative information as defined in s. 119.011.

1455 2. Notwithstanding sub-subparagraph 1.a., an investigation

1456 ceases to be active when:

1457 a. The written report required under s. 112.3189(9) has

1458 been sent by the Chief Inspector General to the recipients named

1459 in s. 112.3189(9);

1460 b. It is determined that an investigation is not necessary

1461 under s. 112.3189(5); or

1462 c. A final decision has been rendered by the local

1463 government or by the Division of Administrative Hearings

1464 pursuant to s. 112.3187(8)(b).

1465 3. Notwithstanding paragraphs (a), (b), and this

1466 paragraph, information or records received or produced under

1467 this section which are otherwise confidential under law or

1468 exempt from disclosure under chapter 119 retain their

1469 confidentiality or exemption.

1470 4. Any person who willfully and knowingly discloses

1471 information or records made confidential under this subsection

1472 commits a misdemeanor of the first degree, punishable as

1473 provided in s. 775.082 or s. 775.083.

1474 Section 14. Subsections (1) through (4), paragraph (b) of

1475 subsection (5), and paragraph (c) of subsection (9) of section

1476 112.3189, Florida Statutes, are amended to read:

1477 112.3189 Investigative procedures upon receipt of whistle-

1478 blower information from certain state employees.—

1479 (1) This section only applies to the disclosure of

1480 information as described in s. 112.3187(5) by an employee or

1481 former employee of, or an applicant for employment with, a state

1482 agency, as the term "state agency" is defined in s. 216.011, to

1483 the Florida Accountability Office, of the Chief Inspector

1484 General of the Executive Office of the Governor, or to the

1485 agency inspector general. If an agency does not have an

1486 inspector general, the head of the state agency, as defined in

1487 s. 216.011, shall designate an employee to receive information

1488 described in s. 112.3187(5). For purposes of this section and s.

1489 112.3188 only, the employee designated by the head of the state

1490 agency shall be deemed an agency inspector general.

1491 (2) To facilitate the receipt of information described in

1492 subsection (1), the Chief Inspector General shall maintain an

1493 in-state toll-free whistle-blower's hotline and shall circulate

1494 among the various state agencies an advisory for all employees

1495 which indicates the existence of the toll-free number and its

1496 purpose and provides an address to which written whistle-blower

1497 information may be forwarded. At least once per month, an

1498 accurate summary of information received via the hotline shall

1499 be communicated to the Florida Accountability Office and

1500 maintained pursuant to s. 11.0431.

1501 (3) When a person alleges information described in s.

1502 112.3187(5), the Florida Accountability Office, the Chief

1503 Inspector General, or the agency inspector general actually

1504 receiving such information shall within 20 days after of

1505 receiving such information determine:

1506 (a) Whether the information disclosed is the type of

1507 information described in s. 112.3187(5).

1508 (b) Whether the source of the information is a person who

1509 is an employee or former employee of, or an applicant for

1510 employment with, a state agency, as defined in s. 216.011.

1511 (c) Whether the information actually disclosed

1512 demonstrates reasonable cause to suspect that an employee or

1513 agent of an agency or independent contractor has violated any

1514 federal, state, or local law, rule, or regulation, thereby

1515 creating and presenting a substantial and specific danger to the

1516 public's health, safety, or welfare, or has committed an act of

1517 gross mismanagement, malfeasance, misfeasance, gross waste of

1518 public funds, or gross neglect of duty.

1519 (4) If the Florida Accountability Office, the Chief

1520 Inspector General, or the agency inspector general under

1521 subsection (3) determines that the information disclosed is not

1522 the type of information described in s. 112.3187(5), or that the

1523 source of the information is not a person who is an employee or

1524 former employee of, or an applicant for employment with, a state

1525 agency, as defined in s. 216.011, or that the information

1526 disclosed does not demonstrate reasonable cause to suspect that

1527 an employee or agent of an agency or independent contractor has

1528 violated any federal, state, or local law, rule, or regulation,

1529 thereby creating and presenting a substantial and specific

1530 danger to the public's health, safety, or welfare, or has

1531 committed an act of ~~gross~~ mismanagement, malfeasance,

1532 misfeasance, ~~gross~~ waste of public funds, or ~~gross~~ neglect of

1533 duty, the Florida Accountability Office, the Chief Inspector

1534 General, or the agency inspector general shall notify the

1535 complainant of such fact and copy and return, upon request of

1536 the complainant, any documents and other materials that were

1537 provided by the complainant.

1538 (5)

1539 (b) If the Chief Inspector General or agency inspector

1540 general determines under paragraph (a) that an investigation is

1541 not required or not necessary, the Chief Inspector General or

1542 agency inspector general making such determination shall:

1543 1. Copy and return, upon request of the complainant, any

1544 documents and other materials provided by the individual who

1545 made the disclosure.

1546 2. Inform in writing the head of the state agency for the

1547 agency inspector general making the determination that the

1548 investigation is not necessary and the individual who made the

1549 disclosure of the specific reasons why an investigation is not

1550 necessary and why the disclosure will not be further acted on

1551 under this section.

1552 (9)

1553 (c) The Chief Inspector General shall transmit any final

1554 report under this section, any comments provided by the

1555 complainant, and any appropriate comments or recommendations by

1556 the Chief Inspector General to the Governor, the Legislative

1557 Auditing Committee, the Florida Accountability Office, the

1558 investigating agency, and the Chief Financial Officer.

1559 Section 15. Subsection (4) is added to section 112.31901,

1560 Florida Statutes, to read:

1561 112.31901 Investigatory records.—

1562 (4) This section shall not prevent the Florida

1563 Accountability Office from reviewing any records of any

1564 investigation under this section. Section 16. Paragraph (e) of subsection (5) of section

1566 112.3215, Florida Statutes, is amended to read:

1567 112.3215 Lobbying before the executive branch or the

1568 Constitution Revision Commission; registration and reporting;

1569 investigation by commission.—

1570 (5)

1571 (e) Each lobbying firm and each principal shall preserve

1572 for a period of 4 years all accounts, bills, receipts, computer

1573 records, books, papers, and other documents and records

1574 necessary to substantiate compensation. Any documents and

1575 records retained pursuant to this section may be reviewed

1576 ~~subpoenaed~~ for purposes of an audit or examination directed by

1577 the Legislative Auditing Committee ~~pursuant to s. 11.40, and~~

1578 ~~such subpoena may be enforced in circuit court.~~

1579 Section 17. Paragraph (b) of subsection (1) of section 112.324, Florida Statutes, is amended to read:

1581 112.324 Procedures on complaints of violations and

1582 referrals; public records and meeting exemptions.—

1583 (1) The commission shall investigate an alleged violation

1584 of this part or other alleged breach of the public trust within

1585 the jurisdiction of the commission as provided in s. 8(f), Art.

1586 II of the State Constitution:

1587 (b) Upon receipt of a written referral of a possible

1588 violation of this part or other possible breach of the public

1589 trust from the Governor, the Department of Law Enforcement, a

1590 state attorney, an inspector general, the Florida Accountability

1591 Office, or a United States Attorney.

1593 Within 5 days after receipt of a complaint or referral by the

1594 commission, a copy must be transmitted to the alleged violator.

1595 Section 18. Paragraph (r) of subsection (1) of section

1596 216.011, Florida Statutes, is amended to read:

1597 216.011 Definitions.—

1598 (1) For the purpose of fiscal affairs of the state,

1599 appropriations acts, legislative budgets, and approved budgets,

1600 each of the following terms has the meaning indicated:

1601 (r) "Fixed capital outlay" means the appropriation

1602 category used to fund real property (land, buildings, including

1603 appurtenances, fixtures and fixed equipment, structures, etc.),

1604 including additions, replacements, major repairs, and

1605 renovations to real property which materially extend its useful

1606 life or materially improve or change its functional use and may

1607 include ~~including~~ furniture and equipment necessary to furnish

1608 and operate a new or improved facility, and any other purpose

1609 designated as a fixed capital outlay by the Legislature, when

1610 appropriated by the Legislature in the fixed capital outlay

1611 appropriation category. Minor repairs and maintenance which do

1612 not materially extend the useful life or materially improve or

1613 change the functional use of a facility may be appropriated in

1614 an expense, contracted services, or special appropriation

1615 category.

1616 Section 19. Subsections (1) and (2) of section 216.023,

1617 Florida Statutes, are amended to read:

1618 216.023 Legislative budget requests to be furnished to

1619 Legislature by agencies.—

1620 (1) The head of each state agency, except as provided in

1621 subsection (2), shall submit a final legislative budget request

1622 to the Legislature and to the Governor, as chief budget officer

1623 of the state, in the form and manner prescribed in the budget

1624 instructions and at such time as specified by the Executive

1625 Office of the Governor, based on the agency's independent

1626 judgment of its needs. However, a state agency must ~~may not~~

1627 submit its complete legislative budget request, including all

1628 supporting forms and schedules required by this chapter, no

1629 later than September 15 of each odd-numbered year and no later

1630 than October 15 of each even-numbered year unless an alternative

1631 date is agreed to be in the best interest of the state by the

1632 Governor and the chairs of the legislative appropriations

1633 committees.

1634 (2) The judicial branch and the Division of Administrative

1635 Hearings shall submit their complete legislative budget requests

1636 directly to the Legislature with a copy to the Governor, as

1637 chief budget officer of the state, in the form and manner as

1638 prescribed in the budget instructions. However, the complete

1639 legislative budget requests, including all supporting forms and

1640 schedules required by this chapter, shall be submitted no later

1641 than September 15 of each odd-numbered year and no later than

1642 October 15 of each even-numbered year unless an alternative date

1643 is agreed to be in the best interest of the state by the

1644 Governor and the chairs of the legislative appropriations

1645 committees.

1646 Section 20. Section 216.052, Florida Statutes, is

1647 repealed.

1648 Section 21. Subsection (3) of section 216.137, Florida

1649 Statutes, is amended to read:

1650 216.137 Sessions of consensus estimating conferences;

1651 workpapers.—

1652 (3) WORKPAPERS.—The Office of Economic and Demographic

1653 Research ~~principal who is responsible for presiding over the~~

1654 ~~session of a consensus estimating conference, or his or her~~

1655 ~~designee,~~ is responsible for preparing and distributing the

1656 necessary workpapers before ~~prior to~~ the meetings of the

1657 conference. Unless exempt from s. 119.07(1), such workpapers

1658 must be posted on a publicly available Internet website no later

1659 than 5 p.m. of the 2nd business day, as defined in s. 61.046,

1660 before a scheduled session or meeting of a consensus estimating

1661 conference unless the session is a special impact session of the

1662 conference as provided in paragraph (1)(d), in which they must

1663 be posted no later than one hour before the scheduled impact

1664 session. Any principal may cancel a meeting of the conference if

1665 such workpapers have not been distributed prior to the meeting.

1666 The workpapers shall include comparisons between alternative

1667 information when such comparisons are warranted.

1668 Section 22. Paragraph (b) of subsection (2) of section

1669 216.177, Florida Statutes, is amended to read:

1670 216.177 Appropriations acts, statement of intent,

1671 violation, notice, review and objection procedures.—

1672 (2)

1673 (b) If the chair or the ~~and~~ vice chair of the Legislative

1674 Budget Commission or the President of the Senate or ~~and~~ the

1675 Speaker of the House of Representatives timely advises ~~advise,~~

1676 in writing, the Executive Office of the Governor or the Chief

1677 Justice of the Supreme Court that an action or a proposed

1678 action, including any expenditure of funds resulting from the

1679 settlement of litigation involving a state agency or officer,

1680 regardless of whether subject to the notice and review

1681 requirements of this chapter ~~or not,~~ exceeds the delegated

1682 authority of the Executive Office of the Governor for the

1683 executive branch or the Chief Justice for the judicial branch,

1684 respectively, or is contrary to legislative policy and intent,

1685 the Governor or the Chief Justice of the Supreme Court shall

1686 void such action and instruct the affected state agency or

1687 entity of the judicial branch to change immediately its spending

1688 action or spending proposal until the Legislative Budget

1689 Commission or the Legislature addresses the issue. The written

1690 documentation shall indicate the specific reasons that an action

1691 or proposed action exceeds the delegated authority or is

1692 contrary to legislative policy and intent.

1693 Section 23. Subsection (6) of section 216.192, Florida

1694 Statutes, is amended to read:

1695 216.192 Release of appropriations; revision of budgets.—

1696 (6) All budget actions, including the approval of annual

1697 release plans, taken pursuant to ~~the provisions of~~ this section

1698 are subject to the notice and review procedures set forth in s.

1699 216.177.

1700 Section 24. Paragraph (b) of subsection (1) of section

1701 216.222, Florida Statutes, is amended to read:

1702 216.222 Budget Stabilization Fund; criteria for

1703 withdrawing moneys.—

1704 (1) Moneys in the Budget Stabilization Fund may be

1705 transferred to the General Revenue Fund for:

1706 (b) Providing funding for an emergency as defined in s.

1707 252.34. The emergency must have been ~~declared by the Governor~~

1708 ~~pursuant to s. 252.36 or~~ declared by law. Such a transfer must

1709 be made pursuant to ~~s. 252.37, subject to the conditions in that~~

1710 ~~section, or pursuant to~~ an appropriation by law.

1711 Section 25. Subsection (4) of section 216.262, Florida

1712 Statutes, is amended to read:

1713 216.262 Authorized positions.—

1714 (4) Notwithstanding the provisions of this chapter

1715 relating to increasing the number of authorized positions, ~~and~~

1716 ~~for the 2025-2026 fiscal year only,~~ if the actual inmate

1717 population of the Department of Corrections in the current

1718 fiscal year exceeds the inmate population projections of the

1719 most recently adopted forecast published by the ~~February 21,~~

1720 ~~2025,~~ Criminal Justice Estimating Conference for the current

1721 fiscal year by 1 percent for 2 consecutive months or 2 percent

1722 for any month, the Executive Office of the Governor, with the

1723 approval of the Legislative Budget Commission, shall immediately

1724 notify the Criminal Justice Estimating Conference, which shall

1725 convene as soon as possible to revise the estimates. The

1726 Department of Corrections may then submit a budget amendment

1727 requesting the establishment of positions in excess of the

1728 number authorized by the Legislature and additional

1729 appropriations from unallocated general revenue sufficient to

1730 provide for essential staff, fixed capital improvements, and

1731 other resources to provide classification, security, food

1732 services, health services, and other variable expenses within

1733 the institutions to accommodate the estimated increase in the

1734 inmate population. All actions taken pursuant to this subsection

1735 are subject to review and approval by the Legislative Budget

1736 Commission. ~~This subsection expires July 1, 2026.~~

1737 Section 26. Paragraph (b) of subsection (1) of section

1738 216.292, Florida Statutes, is redesignated as paragraph (c),

1739 paragraph (a) of subsection (1), paragraph (a) of subsection (2), and paragraph (d) of subsection (4) are amended, and a new

1741 paragraph (b) is added to subsection (1) of that section, to

1742 read:

1743 216.292 Appropriations nontransferable; exceptions.—

1744 (1)(a) Funds provided in the General Appropriations Act or

1745 as otherwise expressly provided by law shall be expended only

1746 for the purpose for which appropriated, except that such moneys

1747 may be transferred as provided in this section when it is

1748 determined to be in the best interest of the state.

1749 Appropriations for fixed capital outlay may not be expended for

1750 any other purpose. Appropriations may not be transferred between

1751 state agencies, or between a state agency and the judicial

1752 branch, unless specifically authorized in the General

1753 Appropriations Act or otherwise expressly provided by law.

1754 (b) The Executive Office of the Governor may transfer

1755 funds within and between state agencies for the sole purpose of

1756 implementing statewide distributions for Risk Management

1757 Insurance, Human Resource Services, Department of Administrative

1758 Hearings, and Data Processing Services. Transfers and

1759 adjustments are subject to the notice, review, and objection

1760 procedures of s. 216.177.

1761 (2) The following transfers are authorized to be made by

1762 the head of each department or the Chief Justice of the Supreme

1763 Court whenever it is deemed necessary by reason of changed

1764 conditions:

1765 (a) The transfer of appropriations funded from identical

1766 funding sources, except appropriations for fixed capital outlay,

1767 and the transfer of amounts included within the total original

1768 approved budget and plans of releases of appropriations as

1769 furnished pursuant to ss. 216.181 and 216.192, as follows:

1770 1. Between categories of appropriations within a budget

1771 entity, if no category of appropriation is increased or

1772 decreased by more than 5 percent of the original approved budget

1773 or $250,000, whichever is greater, by all action taken under

1774 this subsection.

1775 2. Between budget entities within identical categories of

1776 appropriations, if no category of appropriation is increased or

1777 decreased by more than 5 percent of the original approved budget

1778 or $250,000, whichever is greater, by all action taken under

1779 this subsection.

1780 3. Any agency exceeding salary rate established pursuant

1781 to s. 216.181(8) on June 30th of any fiscal year shall not be

1782 authorized to make transfers pursuant to subparagraphs 1. and 2.

1783 in the subsequent fiscal year.

1784 4. Notice of proposed transfers under subparagraphs 1. and

1785 2. shall be provided to the Executive Office of the Governor and

1786 the chairs of the legislative appropriations committees at least

1787 3 days before ~~prior to~~ agency implementation in order to provide

1788 an opportunity for review. The review shall be limited to

1789 ensuring that the transfer is in compliance with the

1790 requirements of this paragraph.

1791 5. ~~For the 2025-2026 fiscal year,~~ The review shall ensure

1792 that transfers proposed pursuant to this paragraph comply with

1793 this chapter, maximize the use of available and appropriate

1794 trust funds, and are not contrary to legislative policy and

1795 intent. ~~This subparagraph expires July 1, 2026.~~

1796 (4) The following transfers are authorized with the

1797 approval of the Legislative Budget Commission. Unless waived by

1798 the chair and vice chair of the commission, notice of such

1799 transfers must be provided 14 days before the commission

1800 meeting:

1801 (d) The transfers necessary to accomplish the purposes of

1802 reorganization within state agencies or the judicial branch

1803 ~~authorized by the Legislature when the necessary adjustments of~~

1804 ~~appropriations and positions have not been provided in the~~

1805 ~~General Appropriations Act.~~

1806 Section 27. Subsection (5) is added to section 409.8134,

1807 Florida Statutes, to read:

1808 409.8134 Program expenditure ceiling; enrollment; budget

1809 amendments.—

1810 (5) Notwithstanding ss. 216.181 and 216.292, the agency

1811 and the department may each submit a budget amendment, subject

1812 to the notice, review, and objection procedures of s. 216.177,

1813 to realign funding within the Florida Kidcare program

1814 appropriation categories, or to increase budget authority in the

1815 Children's Medical Services network category, to address

1816 projected surpluses and deficits within the program or to

1817 maximize the use of state trust funds. A single budget amendment

1818 may be submitted by the agency and the department in the last

1819 quarter of the fiscal year.

1820 Section 28. Subsection (9) is added to section 409.902,

1821 Florida Statutes, to read:

1822 409.902 Designated single state agency; payment

1823 requirements; program title; release of medical records; budget

1824 amendments.—

1825 (9) Notwithstanding ss. 216.181 and 216.292, the agency

1826 may submit a budget amendment, subject to the notice, review,

1827 and objection procedures of s. 216.177, to realign funding

1828 within the Medicaid program appropriation categories to address

1829 projected surpluses and deficits within the program and to

1830 maximize the use of state trust funds. A single budget amendment

1831 may be submitted by the agency in the last quarter of the fiscal

1832 year.

1833 Section 29. Paragraph (a) of subsection (7) of section

1834 20.055, Florida Statutes, is amended to read:

1835 20.055 Agency inspectors general.—

1836 (7) In carrying out the investigative duties and

1837 responsibilities specified in this section, each inspector

1838 general shall initiate, conduct, supervise, and coordinate

1839 investigations designed to detect, deter, prevent, and eradicate

1840 fraud, waste, mismanagement, misconduct, and other abuses in

1841 state government. For these purposes, each inspector general

1842 shall:

1843 (a) Receive complaints and coordinate all activities of

1844 the agency as required by the Whistle-blower's Act pursuant to

1845 ss. 112.3187-112.31901 ~~ss. 112.3187-112.31895.~~

1846 Section 30. Subsection (13) of section 760.06, Florida

1847 Statutes, is amended to read:

1848 760.06 Powers of the commission.—Within the limitations

1849 provided by law, the commission shall have the following powers:

1850 (13) To receive complaints and coordinate all activities

1851 as required by the Whistle-blower's Act pursuant to ss.

1852 112.3187-112.31901 ~~ss. 112.3187-112.31895.~~

1853 Section 31. (1)(a) Each state agency must review the

1854 agency's rules imposing audit requirements on public or private

1855 entities and, on or before October 1, 2026, report any such rule

1856 that is not specified in statute to the Joint Legislative

1857 Auditing Committee.

1858 (b) The Auditor General, the Joint Legislative Auditing

1859 Committee, and the Office of Program Policy Analysis and

1860 Government Accountability must jointly review all statutory

1861 audit requirements imposed on public or private entities.

1862 (2)(a) By October 1, 2027, the Auditor General, the Joint

1863 Legislative Auditing Committee, and the Office of Program Policy

1864 Analysis and Government Accountability shall deliver a report to

1865 the President of the Senate, the Speaker of the House of

1866 Representatives, and the Chief Inspector General that contains

1867 the following information for each requirement identified in

1868 subsection (1):

1869 1. The citation for the requirement.

1870 2. A recommendation as to the characterization of the

1871 requirement as a financial audit, an operational audit, a

1872 performance audit, or an examination.

1873 3. An estimate of the average annual personnel and

1874 administrative costs of administering or overseeing the

1875 requirement.

1876 4. A recommendation as to which unit of the Florida

1877 Accountability Office should administer the requirement.

1878 5. Suggestions for any necessary revisions to the

1879 requirement, the definitions in s. 11.45, Florida Statutes, and

1880 related statutes to provide clarity and to better conform the

1881 wording of such provisions to the principles and language of the

1882 Government Accountability Office's Government Auditing

1883 Standards, 2024 edition, or any other pertinent auditing or

1884 investigation standards.

1885 (b) The President of the Senate and Speaker of the House

1886 of Representatives may provide additional legislative personnel

1887 and support as necessary to carry out this subsection.

1888 (3) The Administrative Procedures Committee and the

1889 Division of Law Revision shall provide any assistance necessary

1890 to carry out this section.

1891 Section 32. Except as otherwise expressly provided in this

1892 act, this act shall take effect July 1, 2026.