Bill Text: FL S0780 | 2018 | Regular Session | Introduced
Bill Title: Prohibition Against Contracting with Scrutinized Companies
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2018-02-28 - Laid on Table, refer to HB 545 [S0780 Detail]
Download: Florida-2018-S0780-Introduced.html
Florida Senate - 2018 SB 780 By Senator Brandes 24-00797-18 2018780__ 1 A bill to be entitled 2 An act relating to the prohibition against contracting 3 with scrutinized companies; amending s. 287.135, F.S.; 4 prohibiting a company that is on the Scrutinized 5 Companies that Boycott Israel List or that is engaged 6 in a boycott of Israel from bidding on, submitting a 7 proposal for, or entering into or renewing a contract 8 with an agency or local governmental entity for goods 9 or services of any amount; providing exceptions; 10 requiring such contracts entered into or renewed on or 11 after July 1, 2018, to include a provision authorizing 12 termination of the contract under specified 13 circumstances; requiring a company to provide a 14 specified certification before submitting a bid or 15 proposal for or entering into or renewing such 16 contracts; providing for preemption of agency or local 17 governmental entity ordinances and rules involving 18 such contracts; conforming provisions to changes made 19 by the act; providing an effective date. 20 21 Be It Enacted by the Legislature of the State of Florida: 22 23 Section 1. Section 287.135, Florida Statutes, is amended to 24 read: 25 287.135 Prohibition against contracting with scrutinized 26 companies.— 27 (1) In addition to the terms defined in ss. 287.012 and 28 215.473, as used in this section, the term: 29 (a) “Awarding body” means, for purposes of state contracts, 30 an agency or the department, and for purposes of local 31 contracts, the governing body of the local governmental entity. 32 (b) “Boycott of Israel” has the same meaning as defined in 33 s. 215.4725. 34 (c) “Business operations” means, for purposes specifically 35 related to Cuba or Syria, engaging in commerce in any form in 36 Cuba or Syria, including, but not limited to, acquiring, 37 developing, maintaining, owning, selling, possessing, leasing, 38 or operating equipment, facilities, personnel, products, 39 services, personal property, real property, military equipment, 40 or any other apparatus of business or commerce. 41 (d) “Local governmental entity” means a county, 42 municipality, special district, or other political subdivision 43 of the state. 44 (2) A company is ineligible to, and may not, bid on, submit 45 a proposal for, or enter into or renew a contract with an agency 46 or local governmental entity for goods or services of$1 million47or more if at the time of bidding or submitting a proposal for a48new contract or renewal of an existing contract, the company: 49 (a) Any amount if, at the time of bidding on, submitting a 50 proposal for, or entering into or renewing such contract, the 51 company is on the Scrutinized Companies that Boycott Israel 52 List, created pursuant to s. 215.4725, or is engaged in a 53 boycott of Israel; or 54 (b) One million dollars or more if, at the time of bidding 55 on, submitting a proposal for, or entering into or renewing such 56 contract, the company: 57 1. Is on the Scrutinized Companies with Activities in Sudan 58 List or the Scrutinized Companies with Activities in the Iran 59 Petroleum Energy Sector List, created pursuant to s. 215.473; or 60 2.(c)Is engaged in business operations in Cuba or Syria. 61 (3)(a) Any contract with an agency or local governmental 62 entity for goods or services of $1 million or more entered into 63 or renewed on or after: 64 1.(a)July 1, 2011, through June 30, 2012, must contain a 65 provision that allows for the termination of such contract at 66 the option of the awarding body if the company is found to have 67 submitted a false certification as provided under subsection (5) 68 or been placed on the Scrutinized Companies with Activities in 69 Sudan List or the Scrutinized Companies with Activities in the 70 Iran Petroleum Energy Sector List. 71 2.(b)July 1, 2012, through September 30, 2016, must 72 contain a provision that allows for the termination of such 73 contract at the option of the awarding body if the company is 74 found to have submitted a false certification as provided under 75 subsection (5), been placed on the Scrutinized Companies with 76 Activities in Sudan List or the Scrutinized Companies with 77 Activities in the Iran Petroleum Energy Sector List, or been 78 engaged in business operations in Cuba or Syria. 79 3.(c)October 1, 2016, through June 30, 2018, must contain 80 a provision that allows for the termination of such contract at 81 the option of the awarding body if the company: 82 a.1.Is found to have submitted a false certification as 83 provided under subsection (5); 84 b.2.Has been placed on the Scrutinized Companies that 85 Boycott Israel List, or is engaged in a boycott of Israel; 86 c.3.Has been placed on the Scrutinized Companies with 87 Activities in Sudan List or the Scrutinized Companies with 88 Activities in the Iran Petroleum Energy Sector List; or 89 d.4.Has been engaged in business operations in Cuba or 90 Syria. 91 4. July 1, 2018, must contain a provision that allows for 92 the termination of such contract at the option of the awarding 93 body if the company is found to have submitted a false 94 certification as provided under subsection (5), been placed on 95 the Scrutinized Companies with Activities in Sudan List or the 96 Scrutinized Companies with Activities in the Iran Petroleum 97 Energy Sector List, or been engaged in business operations in 98 Cuba or Syria. 99 (b) Any contract with an agency or local governmental 100 entity for goods or services of any amount entered into or 101 renewed on or after July 1, 2018, must contain a provision that 102 allows for the termination of such contract at the option of the 103 awarding body if the company is found to have been placed on the 104 Scrutinized Companies that Boycott Israel List or is engaged in 105 a boycott of Israel. 106 (4) Notwithstanding subsection (2) or subsection (3), an 107 agency or local governmental entity, on a case-by-case basis, 108 may permit a company onthe Scrutinized Companies that Boycott109Israel List,the Scrutinized Companies with Activities in Sudan 110 List or the Scrutinized Companies with Activities in the Iran 111 Petroleum Energy Sector List, or a company engaged inwith112 business operations in Cuba or Syria, to be eligible for, bid 113 on, submit a proposal for, or enter into or renew a contract for 114 goods or services of $1 million or more, or may permit a company 115 on the Scrutinized Companies that Boycott Israel List to be 116 eligible for, bid on, submit a proposal for, or enter into or 117 renew a contract for goods or services of any amount, under the 118 conditions set forth in paragraph (a) or the conditions set 119 forth in paragraph (b): 120 (a)1. With respect to a company on the Scrutinized 121 Companies with Activities in Sudan List or the Scrutinized 122 Companies with Activities in the Iran Petroleum Energy Sector 123 List, all of the following occur: 124 a. The scrutinized business operations were made before 125 July 1, 2011. 126 b. The scrutinized business operations have not been 127 expanded or renewed after July 1, 2011. 128 c. The agency or local governmental entity determines that 129 it is in the best interest of the state or local community to 130 contract with the company. 131 d. The company has adopted, has publicized, and is 132 implementing a formal plan to cease scrutinized business 133 operations and to refrain from engaging in any new scrutinized 134 business operations. 135 2. With respect to a company engaged in business operations 136 in Cuba or Syria, all of the following occur: 137 a. The business operations were made before July 1, 2012. 138 b. The business operations have not been expanded or 139 renewed after July 1, 2012. 140 c. The agency or local governmental entity determines that 141 it is in the best interest of the state or local community to 142 contract with the company. 143 d. The company has adopted, has publicized, and is 144 implementing a formal plan to cease business operations and to 145 refrain from engaging in any new business operations. 146 3. With respect to a company on the Scrutinized Companies 147 that Boycott Israel List, all of the following occur: 148 a. The boycott of Israel was initiated before October 1, 149 2016. 150 b. The company certifies in writing that it has ceased its 151 boycott of Israel. 152 c. The agency or local governmental entity determines that 153 it is in the best interest of the state or local community to 154 contract with the company. 155 d. The company has adopted, has publicized, and is 156 implementing a formal plan to cease scrutinized business 157 operations and to refrain from engaging in any new scrutinized 158 business operations. 159 (b) One of the following occurs: 160 1. The local governmental entity makes a public finding 161 that, absent such an exemption, the local governmental entity 162 would be unable to obtain the goods or services for which the 163 contract is offered. 164 2. For a contract with an executive agency, the Governor 165 makes a public finding that, absent such an exemption, the 166 agency would be unable to obtain the goods or services for which 167 the contract is offered. 168 3. For a contract with an office of a state constitutional 169 officer other than the Governor, the state constitutional 170 officer makes a public finding that, absent such an exemption, 171 the office would be unable to obtain the goods or services for 172 which the contract is offered. 173 (5) At the time a company submits a bid or proposal for a 174 contract or before the company enters into or renews a contract 175 with an agency or local governmental entity for goods or 176 services of $1 million or more, the company must certify that 177 the company is notparticipating in a boycott of Israel,on the 178 Scrutinized Companies with Activities in Sudan List or the 179 Scrutinized Companies with Activities in the Iran Petroleum 180 Energy Sector List and, orthat it does not have business 181 operations in Cuba or Syria. At the time a company submits a bid 182 or proposal for a contract or before the company enters into or 183 renews a contract with an agency or local governmental entity 184 for goods or services of any amount, the company must certify 185 that the company is not participating in a boycott of Israel. 186 (a) If, after the agency or the local governmental entity 187 determines, using credible information available to the public, 188 that the company has submitted a false certification, the agency 189 or local governmental entity shall provide the company with 190 written notice of its determination. The company shall have 90 191 days following receipt of the notice to respond in writing and 192 to demonstrate that the determination of false certification was 193 made in error. If the company does not make such demonstration 194 within 90 days after receipt of the notice, the agency or the 195 local governmental entity shall bring a civil action against the 196 company. If a civil action is brought and the court determines 197 that the company submitted a false certification, the company 198 shall pay the penalty described in subparagraph 1. and all 199 reasonable attorney fees and costs, including any costs for 200 investigations that led to the finding of false certification. 201 1. A civil penalty equal to the greater of $2 million or 202 twice the amount of the contract for which the false 203 certification was submitted shall be imposed. 204 2. The company is ineligible to bid on any contract with an 205 agency or local governmental entity for 3 years after the date 206 the agency or local governmental entity determined that the 207 company submitted a false certification. 208 (b) A civil action to collect the penalties described in 209 paragraph (a) must commence within 3 years after the date the 210 false certification is submitted. 211 (6) Only the agency or local governmental entity that is a 212 party to the contract may cause a civil action to be brought 213 under this section. This section does not create or authorize a 214 private right of action or enforcement of the penalties provided 215 in this section. An unsuccessful bidder, or any other person 216 other than the agency or local governmental entity, may not 217 protest the award of a contract or contract renewal on the basis 218 of a false certification. 219 (7) This section preempts any ordinance or rule of any 220 agency or local governmental entity involving public contracts 221 for goods or services of: 222 (a) One million dollarsOf $1 millionor more with a 223 company engaged in scrutinized business operations. 224 (b) Any amount with a company that has been placed on the 225 Scrutinized Companies that Boycott Israel List or is engaged in 226 a boycott of Israel. 227 (8) The contracting prohibitions in this section applicable 228 to companies on the Scrutinized Companies with Activities in 229 Sudan List or the Scrutinized Companies with Activities in the 230 Iran Petroleum Energy Sector List or to companies engaged in 231 business operations in Cuba or Syria become inoperative on the 232 date that federal law ceases to authorize the states to adopt 233 and enforce such contracting prohibitions. 234 Section 2. This act shall take effect July 1, 2018.