Florida Senate - 2013                              CS for SB 714
       
       
       
       By the Committee on Communications, Energy, and Public
       Utilities; and Senator Simmons
       
       
       
       579-01973-13                                           2013714c1
    1                        A bill to be entitled                      
    2         An act relating to public records; amending s.
    3         119.0713, F.S.; providing an exemption from public
    4         records requirements for specified proprietary
    5         confidential business information held by an electric
    6         utility that is subject to ch. 119, F.S., in
    7         conjunction with a due diligence review of an electric
    8         project or a project to improve the delivery, cost, or
    9         diversification of fuel or renewable energy resources;
   10         providing for the retention of such information for a
   11         specified time; providing for future review and repeal
   12         of the exemption; providing a statement of public
   13         necessity; providing an effective date.
   14  
   15  Be It Enacted by the Legislature of the State of Florida:
   16  
   17         Section 1. Subsection (4) is added to section 119.0713,
   18  Florida Statutes, to read:
   19         119.0713 Local government agency exemptions from inspection
   20  or copying of public records.—
   21         (4)(a) Proprietary confidential business information means
   22  information, regardless of form or characteristics, which is
   23  held by an electric utility that is subject to chapter 119, is
   24  intended to be and is treated by the entity that provided the
   25  information to the electric utility as private in that the
   26  disclosure of the information would cause harm to the providing
   27  entity or its business operations, and has not been disclosed
   28  unless disclosed pursuant to a statutory provision, an order of
   29  a court or administrative body, or private agreement that
   30  provides that the information will not be released to the
   31  public. Proprietary confidential business information includes,
   32  but is not limited to:
   33         1. Trade secrets.
   34         2. Internal auditing controls and reports of internal
   35  auditors.
   36         3. Security measures, systems, or procedures.
   37         4. Information concerning bids or other contractual data,
   38  the disclosure of which would impair the efforts of the electric
   39  utility to contract for goods or services on favorable terms.
   40         5. Information relating to competitive interests, the
   41  disclosure of which would impair the competitive business of the
   42  provider of the information.
   43         (b) Proprietary confidential business information held by
   44  an electric utility that is subject to chapter 119 in
   45  conjunction with a due diligence review of an electric project
   46  as defined in s. 163.01(3)(d) or a project to improve the
   47  delivery, cost, or diversification of fuel or renewable energy
   48  resources is confidential and exempt from s. 119.07(1) and s.
   49  24(a), Art. I of the State Constitution.
   50         (c) All proprietary confidential business information
   51  described in paragraph (b) shall be retained for one year after
   52  the due diligence review has been completed and the electric
   53  utility has decided whether or not to participate in the
   54  project.
   55         (d) This subsection is subject to the Open Government
   56  Sunset Review Act in accordance with s. 119.15, and shall stand
   57  repealed on October 2, 2018, unless reviewed and saved from
   58  repeal through reenactment by the Legislature.
   59         Section 2. (1) The Legislature finds that it is a public
   60  necessity that proprietary confidential business information
   61  held by an electric utility that is subject to chapter 119,
   62  Florida Statutes, in conjunction with a due diligence review of
   63  an electric project as defined in s. 163.01(3)(d), Florida
   64  Statutes, or a project to improve the delivery, cost, or
   65  diversification of fuel or renewable energy resources be made
   66  confidential and exempt from public records requirements. The
   67  disclosure of such proprietary confidential business
   68  information, such as trade secrets, internal auditing controls
   69  and reports, security measures, systems, or procedures, or other
   70  information relating to competitive interests, could injure the
   71  provider in the marketplace by giving its competitors detailed
   72  insights into its financial status and strategic plans, thereby
   73  putting the provider at a competitive disadvantage. Without this
   74  exemption, providers might be unwilling to enter into
   75  discussions with the utility regarding the feasibility of future
   76  contracting. This could, in turn, limit opportunities the
   77  utility might otherwise have for finding cost-effective or
   78  strategic solutions for providing electric service or improving
   79  the delivery, cost, or diversification of fuel or renewable
   80  energy. This would put public providers of electric utility
   81  services at a competitive disadvantage by limiting their ability
   82  to optimize services to their customers and adversely affecting
   83  the customers of those utilities by depriving them of
   84  opportunities for rate reductions or other improvements in
   85  services.
   86         (2) Proprietary confidential business information derives
   87  actual or potential independent economic value from not being
   88  generally known to, and not being readily ascertainable by
   89  proper means by, other persons who can derive economic value
   90  from its disclosure or use. A utility, in performing the
   91  appropriate due diligence review of electric projects or
   92  projects to improve the delivery, cost, or diversification of
   93  fuel or renewable energy sources, may need to obtain proprietary
   94  confidential business information. Without an exemption from
   95  public records requirements for this information, it becomes a
   96  public record when received by an electric utility and must be
   97  disclosed upon request. Disclosure of any proprietary
   98  confidential business information under the public records law
   99  would destroy the value of that property and cause economic harm
  100  not only to the entity or person providing the information, but
  101  to the ratepayers through reduced competition for the provision
  102  of vital electric utility services.
  103         (3) In finding that the public records exemption created by
  104  this act is a public necessity, the Legislature also finds that
  105  the public and private harm in disclosing such proprietary
  106  confidential business information significantly outweighs any
  107  public benefit derived from disclosure of the information and
  108  that the exemption created by this act will enhance the ability
  109  of electric utilities to optimize their performance, thereby
  110  benefiting the ratepayers.
  111         Section 3. This act shall take effect July 1, 2013.