Bill Text: FL S1542 | 2019 | Regular Session | Introduced


Bill Title: Government Integrity

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2019-05-03 - Died in Governmental Oversight and Accountability [S1542 Detail]

Download: Florida-2019-S1542-Introduced.html
       Florida Senate - 2019                                    SB 1542
       
       
        
       By Senator Hutson
       
       
       
       
       
       7-01432-19                                            20191542__
    1                        A bill to be entitled                      
    2         An act relating to government integrity; creating s.
    3         11.421, F.S.; creating the Florida Accountability
    4         Office under the Auditor General; providing
    5         definitions; providing duties and powers of the
    6         Florida Accountability Officer and the Auditor
    7         General; prescribing procedures for the filing and
    8         disposition of complaints, investigations, and the
    9         issuance of subpoenas; amending s. 11.45, F.S.;
   10         providing and revising Auditor General reporting
   11         requirements; amending s. 11.47, F.S.; requiring
   12         certain officers to provide the Auditor General and
   13         the Office of Program Policy Analysis and Government
   14         Accountability with access to individuals who have
   15         sufficient information for proper audit or
   16         examination; providing responsibilities of chief
   17         administrative officers; providing criminal penalties
   18         for unreasonably delaying an audit; amending s. 14.32,
   19         F.S.; providing definitions; providing investigative
   20         duties of the Chief Inspector General and agency
   21         inspectors general; requiring such inspectors general
   22         to provide a report to the Chief Financial Officer
   23         within a specified timeframe in certain circumstances;
   24         providing liability for certain officials,
   25         contractors, and persons in certain circumstances;
   26         amending s. 17.04, F.S.; authorizing the Chief
   27         Financial Officer to commence an investigation based
   28         on certain complaints or referrals; authorizing state
   29         agency employees and state contractors to report
   30         certain information to the Chief Financial Officer;
   31         amending s. 17.325, F.S.; requiring certain records to
   32         be sent to the Florida Accountability Officer within a
   33         specified timeframe; amending s. 20.055, F.S.;
   34         requiring agency inspectors general to make certain
   35         determinations and reports; amending s. 110.1245,
   36         F.S.; providing requirements for awards given to
   37         employees who report under the Whistle-blower’s Act;
   38         authorizing expenditures for such awards; amending s.
   39         112.3187, F.S.; revising the term “gross
   40         mismanagement” to “mismanagement”; conforming
   41         provisions to changes made by the act; creating s.
   42         286.31, F.S.; requiring specified documentation for
   43         certain legal fee claims; providing an exception;
   44         amending s. 287.057, F.S.; revising provisions
   45         relating to contractual services and commodities that
   46         are not subject to competitive-solicitation
   47         requirements; requiring certain state contracts to
   48         include a good faith estimate of gross profit;
   49         requiring a determination of reasonableness; providing
   50         definitions; prohibiting certain state employees from
   51         participating in the negotiation or award of state
   52         contracts; creating s. 288.00001, F.S.; prohibiting
   53         tax incentives from being awarded or paid to a state
   54         contractor or subcontractor; amending s. 1001.20,
   55         F.S.; requiring the Office of Inspector General of the
   56         Department of Education to conduct investigations
   57         relating to mismanagement, fraud, or abuse against a
   58         Florida College System institution; amending s.
   59         1001.65, F.S.; providing responsibilities of Florida
   60         College System institution presidents; amending ss.
   61         112.3188, 112.3189, and 112.31895, F.S.; conforming
   62         provisions to changes made by the act; authorizing the
   63         Office of the Auditor General to use carryforward
   64         funds to fund the Florida Accountability Office;
   65         providing an effective date.
   66          
   67  Be It Enacted by the Legislature of the State of Florida:
   68  
   69         Section 1. Section 11.421, Florida Statutes, is created to
   70  read:
   71         11.421Florida Accountability Office.—
   72         (1)There is created under the Auditor General the Florida
   73  Accountability Office for the purpose of ensuring accountability
   74  and integrity in state and local government and facilitating the
   75  elimination of fraud, waste, abuse, mismanagement, and
   76  misconduct in government.
   77         (2)The Florida Accountability Officer shall be a
   78  legislative employee and be appointed by and serve at the
   79  pleasure of the Auditor General. The Florida Accountability
   80  Officer shall oversee the efficient operation of the office and
   81  report to and be under the general supervision of the Auditor
   82  General.
   83         (3)The Auditor General shall employ qualified individuals
   84  for the office pursuant to s. 11.42.
   85         (4)As used in this section, the term:
   86         (a)“Abuse” means behavior that is deficient or improper
   87  when compared with behavior that a prudent person would consider
   88  a reasonable and necessary operational practice given the facts
   89  and circumstances. The term includes the misuse of authority or
   90  position for personal gain.
   91         (b)“Appropriations project” means a specific appropriation
   92  or proviso that provides funding for a specified entity that is
   93  a local government, private entity, or privately operated
   94  program. The term does not include an appropriation or proviso:
   95         1.Specifically authorized by statute;
   96         2.That is part of a statewide distribution to local
   97  governments;
   98         3.Recommended by a commission, council, or other similar
   99  entity created in statute to make annual funding
  100  recommendations, provided that such appropriation does not
  101  exceed the amount of funding recommended by the commission,
  102  council, or other similar entity;
  103         4.For a specific transportation facility that is part of
  104  the Department of Transportation’s 5-year work program submitted
  105  pursuant to s. 339.135;
  106         5.For an education fixed capital outlay project that is
  107  submitted pursuant to s. 1013.60 or s. 1013.64; or
  108         6.For a specified program, research initiative, institute,
  109  center, or similar entity at a specific state college or state
  110  university recommended by the State Board of Education or by the
  111  Board of Governors in its legislative budget request.
  112         (c)“Fraud” means obtaining something of value through
  113  willful misrepresentation, including, but not limited to, the
  114  intentional misstatements or intentional omissions of amounts or
  115  disclosures in financial statements to deceive users of
  116  financial statements, theft of an organization’s assets,
  117  bribery, or the use of one’s position for personal enrichment
  118  through the deliberate misuse or misapplication of an
  119  organization’s resources.
  120         (d)“Misconduct” means conduct that, though not illegal, is
  121  inappropriate for a person in his or her specified position.
  122         (e)“Mismanagement” has the same meaning as in s. 112.3187.
  123         (f)“Office” means the Florida Accountability Office.
  124         (g)“Waste” means the act of using or expending resources
  125  unreasonably, carelessly, extravagantly, or for no useful
  126  purpose.
  127         (5)The Florida Accountability Officer may receive and
  128  investigate a complaint alleging fraud, waste, abuse,
  129  mismanagement, or misconduct in connection with the expenditure
  130  of public funds.
  131         (6)A complaint may be submitted to the office by any of
  132  the following persons:
  133         (a)The President of the Senate.
  134         (b)The Speaker of the House of Representatives.
  135         (c)The chair of an appropriations committee of the Senate
  136  or of the House of Representatives.
  137         (d)The Auditor General.
  138         (7)(a)Upon receipt of a complaint, the Florida
  139  Accountability Officer shall determine whether the complaint is
  140  supported by sufficient information indicating a reasonable
  141  probability of fraud, waste, abuse, mismanagement, or
  142  misconduct. If the Florida Accountability Officer determines
  143  that the complaint is not supported by sufficient information
  144  indicating a reasonable probability of fraud, waste, abuse,
  145  mismanagement, or misconduct, the Florida Accountability Officer
  146  shall notify the complainant in writing and the complaint shall
  147  be closed.
  148         (b)If the complaint is supported by sufficient information
  149  indicating a reasonable probability of fraud, waste, abuse,
  150  mismanagement, or misconduct, the Florida Accountability Officer
  151  shall determine whether an investigation into the matter has
  152  already been initiated by a law enforcement agency, the
  153  Commission on Ethics, the Chief Financial Officer, the Office of
  154  Chief Inspector General, or the applicable agency inspector
  155  general. If such an investigation has been initiated, the
  156  Florida Accountability Officer shall notify the complainant in
  157  writing and the complaint may be closed.
  158         (c)If the complaint is supported by sufficient information
  159  indicating a reasonable probability of fraud, waste, abuse,
  160  mismanagement, or misconduct, and an investigation into the
  161  matter has not already been initiated by a law enforcement
  162  agency, the Commission on Ethics, the Chief Financial Officer,
  163  the Office of Chief Inspector General, or the applicable agency
  164  inspector general, the Florida Accountability Officer shall,
  165  within available resources, conduct an investigation and issue a
  166  report of the investigative findings to the complainant, the
  167  President of the Senate, and the Speaker of the House of
  168  Representatives. The Florida Accountability Officer may refer
  169  the matter to the Auditor General, the appropriate law
  170  enforcement agency, the Commission on Ethics, the Chief
  171  Financial Officer, the Office of the Chief Inspector General, or
  172  the applicable agency inspector general. The Auditor General may
  173  provide staff and other resources to assist the Florida
  174  Accountability Officer.
  175         (8)(a)The Florida Accountability Officer, or his or her
  176  designee, may investigate the books, records, papers, documents,
  177  data, operation, and physical location of any public agency in
  178  this state, including any confidential information, and the
  179  public records of any entity that has received public funds.
  180         (b)Upon the request of the Florida Accountability Officer,
  181  the Legislative Auditing Committee or any other committee of the
  182  Legislature may issue subpoenas and subpoenas duces tecum, as
  183  provided in s. 11.143, to compel testimony or the production of
  184  evidence when deemed necessary to an investigation authorized by
  185  this section. Consistent with s. 11.143, such subpoenas and
  186  subpoenas duces tecum may be issued as provided by applicable
  187  legislative rules, or, in the absence of applicable legislative
  188  rules, by the chair of the Legislative Auditing Committee with
  189  the approval of the Legislative Auditing Committee and the
  190  President of the Senate and the Speaker of the House of
  191  Representatives, or with the approval of the President of the
  192  Senate or the Speaker of the House of Representatives if such
  193  officer alone designated the Legislative Auditing Committee
  194  under s. 1.01(17).
  195         (c)If a witness fails to or refuses to comply with a
  196  lawful subpoena or subpoena duces tecum issued pursuant to this
  197  subsection at a time when the Legislature is not in session, the
  198  Florida Accountability Officer may file a complaint before any
  199  circuit court of the state to enforce the subpoena or subpoena
  200  duces tecum. On the filing of such complaint, the court shall
  201  take jurisdiction of the witness and the subject matter of the
  202  complaint and shall direct the witness to respond to all lawful
  203  questions and to produce all documentary evidence in the
  204  possession of the witness which is lawfully demanded. The
  205  failure of a witness to comply with such order constitutes a
  206  direct and criminal contempt of court, and the court shall
  207  punish the witness accordingly.
  208         (d)When the Legislature is in session, upon the request of
  209  the Florida Accountability Officer to the committee issuing the
  210  subpoena or subpoena duces tecum, either house of the
  211  Legislature may seek compliance with the subpoena or subpoena
  212  duces tecum in accordance with the State Constitution, general
  213  law, the joint rules of the Legislature, or the rules of the
  214  house of the Legislature issuing the subpoena.
  215         (9)The Florida Accountability Officer shall receive copies
  216  of all reports required by ss. 14.32, 17.325, and 20.055.
  217         (10)(a)Beginning with the 2020-2021 fiscal year, the
  218  Auditor General and the Florida Accountability Officer, within
  219  available resources, shall randomly select and review
  220  appropriations projects appropriated in the prior fiscal year
  221  and, if appropriate, investigate and recommend an audit of such
  222  projects. The review, investigation, or audit may be delayed on
  223  a selected project until a subsequent year if the timeline of
  224  the project warrants such a delay. Each investigation or audit
  225  must include, but is not limited to, evaluating whether the
  226  recipient of the appropriations project administered the project
  227  in an efficient and effective manner. When an audit is
  228  recommended by the Florida Accountability Officer under this
  229  subsection, the Auditor General shall determine whether the
  230  audit is appropriate.
  231         (b)Beginning with the 2020-2021 fiscal year, the Auditor
  232  General and the Florida Accountability Officer, within available
  233  resources, shall select and review, audit, or investigate the
  234  financial activities of political subdivisions, special
  235  districts, public authorities, public hospitals, state and local
  236  councils or commissions, units of local government, or public
  237  educational entities in this state, as well as any authorities,
  238  councils, commissions, direct-support organizations,
  239  institutions, foundations, or similar entities created by law or
  240  ordinance to pursue a public purpose, entitled by law or
  241  ordinance to any distribution of tax or fee revenues, or
  242  organized for the sole purpose of supporting one of the public
  243  entities listed in this paragraph.
  244         Section 2. Paragraph (f) of subsection (2) and paragraph
  245  (j) of subsection (7) of section 11.45, Florida Statutes, are
  246  amended to read:
  247         11.45 Definitions; duties; authorities; reports; rules.—
  248         (2) DUTIES.—The Auditor General shall:
  249         (f) At least every 3 years, conduct operational audits of
  250  the accounts and records of state agencies, state universities,
  251  state colleges, district school boards, the Florida Clerks of
  252  Court Operations Corporation, water management districts, and
  253  the Florida School for the Deaf and the Blind. At the conclusion
  254  of each 3-year cycle, the Auditor General shall publish a report
  255  consolidating common operational audit findings for all state
  256  agencies, all state universities, all state colleges, and all
  257  district school boards.
  258  
  259  The Auditor General shall perform his or her duties
  260  independently but under the general policies established by the
  261  Legislative Auditing Committee. This subsection does not limit
  262  the Auditor General’s discretionary authority to conduct other
  263  audits or engagements of governmental entities as authorized in
  264  subsection (3).
  265         (7) AUDITOR GENERAL REPORTING REQUIREMENTS.—
  266         (j) The Auditor General shall notify the Legislative
  267  Auditing Committee of any financial or operational audit report
  268  prepared pursuant to this section which indicates that a
  269  district school board, state university, or Florida College
  270  System institution has failed to take full corrective action in
  271  response to a recommendation that was included in the two
  272  preceding financial or operational audit reports or a preceding
  273  operational audit report.
  274         1. The committee may direct the district school board or
  275  the governing body of the state university or Florida College
  276  System institution to provide a written statement to the
  277  committee explaining why full corrective action has not been
  278  taken or, if the governing body intends to take full corrective
  279  action, describing the corrective action to be taken and when it
  280  will occur.
  281         2. If the committee determines that the written statement
  282  is not sufficient, the committee may require the chair of the
  283  district school board or the chair of the governing body of the
  284  state university or Florida College System institution, or the
  285  chair’s designee, to appear before the committee.
  286         3. If the committee determines that the district school
  287  board, state university, or Florida College System institution
  288  has failed to take full corrective action for which there is no
  289  justifiable reason or has failed to comply with committee
  290  requests made pursuant to this section, the committee shall
  291  refer the matter to the State Board of Education or the Board of
  292  Governors, as appropriate, to proceed in accordance with s.
  293  1008.32 or s. 1008.322, respectively.
  294         Section 3. Subsections (1), (3), and (4) of section 11.47,
  295  Florida Statutes, are amended to read:
  296         11.47 Penalties; failure to make a proper audit or
  297  examination; making a false report; failure to produce documents
  298  or information.—
  299         (1)(a) All officers whose respective offices the Auditor
  300  General or the Office of Program Policy Analysis and Government
  301  Accountability is authorized to audit or examine shall enter
  302  into their public records sufficient information for proper
  303  audit or examination, and shall make the same available to the
  304  Auditor General or the Office of Program Policy Analysis and
  305  Government Accountability on demand. All such officers shall
  306  also make all reasonable efforts to provide the Auditor General
  307  or the Office of Program Policy Analysis and Government
  308  Accountability with access to individuals who have sufficient
  309  information for proper audit or examination.
  310         (b)The chief administrative officer whose office the
  311  Auditor General or the Office of Program Policy Analysis and
  312  Government Accountability is authorized to audit or examine, or
  313  such officer’s designee, is responsible for the office’s
  314  cooperation with the audit or examination and is subject to
  315  subsections (3) and (4). Before the commencement of the audit or
  316  examination, the Auditor General or the Office of Program Policy
  317  Analysis and Government Accountability shall inquire of such
  318  officer to determine whether he or she intends to delegate the
  319  responsibility. If the officer intends to delegate the
  320  responsibility, the officer must report the designee’s name and
  321  position to the Auditor General or the Office of Program Policy
  322  Analysis and Government Accountability upon request.
  323         (3) Any person who willfully fails, unreasonably delays, or
  324  refuses to furnish or produce any book, record, paper, document,
  325  data, or sufficient information necessary to a proper audit or
  326  examination which the Auditor General or the Office of Program
  327  Policy Analysis and Government Accountability is by law
  328  authorized to perform shall be guilty of a misdemeanor of the
  329  first degree, punishable as provided in s. 775.082 or s.
  330  775.083.
  331         (4) Any officer who willfully fails, unreasonably delays,
  332  or refuses to furnish or produce any book, record, paper,
  333  document, data, or sufficient information necessary to a proper
  334  audit or examination which the Auditor General or the Office of
  335  Program Policy Analysis and Government Accountability is by law
  336  authorized to perform, shall be subject to removal from office.
  337         Section 4. Present subsections (1) through (5) of section
  338  14.32, Florida Statutes, are renumbered as subsections (2)
  339  through (6), respectively, and new subsection (1) and subsection
  340  (7) are added to that section, to read:
  341         14.32 Office of Chief Inspector General.—
  342         (1)As used in this section, the term:
  343         (a)“Abuse” means behavior that is deficient or improper
  344  when compared with behavior that a prudent person would consider
  345  a reasonable and necessary operational practice given the facts
  346  and circumstances. The term includes the misuse of authority or
  347  position for personal gain.
  348         (b)“Fraud” means obtaining something of value through
  349  willful misrepresentation, including, but not limited to, the
  350  intentional misstatements or intentional omissions of amounts or
  351  disclosures in financial statements to deceive users of
  352  financial statements, theft of an organization’s assets,
  353  bribery, or the use of one’s position for personal enrichment
  354  through the deliberate misuse or misapplication of an
  355  organization’s resources.
  356         (c)“Independent contractor” has the same meaning as in s.
  357  112.3187(3).
  358         (d)“Misconduct” means conduct that, though not illegal, is
  359  inappropriate for a person in his or her specified position.
  360         (e)“Mismanagement” has the same meaning as in s.
  361  112.3187(3).
  362         (f)“Waste” means the act of using or expending resources
  363  unreasonably, carelessly, extravagantly, or for no useful
  364  purpose.
  365         (7)(a)Within 6 months after the initiation of an
  366  investigation of fraud, waste, abuse, mismanagement, or
  367  misconduct in government, the Chief Inspector General or an
  368  agency inspector general must determine whether there is
  369  reasonable probability that fraud, waste, abuse, mismanagement,
  370  or misconduct in government has occurred. If there has not been
  371  a determination of such reasonable probability and the
  372  investigation continues, a new determination must be made every
  373  3 months until the investigation is closed or such reasonable
  374  probability is found to exist.
  375         (b)If the Chief Inspector General or an agency inspector
  376  general determines that there is reasonable probability that a
  377  public official, an independent contractor, or an agency has
  378  committed fraud, waste, abuse, mismanagement, or misconduct in
  379  government, the inspector general shall report such findings to
  380  the Florida Accountability Officer and to the Commission on
  381  Ethics, the Office of Fiscal Integrity within the Chief
  382  Financial Officer’s office, or other law enforcement agency, if
  383  the commission, the Office of Fiscal Integrity, or the law
  384  enforcement agency has jurisdiction over the subject matter.
  385         (c)If the findings of an investigation conducted pursuant
  386  to this subsection conclude that a public official, an
  387  independent contractor, or an agency has committed fraud, waste,
  388  abuse, mismanagement, or misconduct in government, the Chief
  389  Inspector General or agency inspector general shall report such
  390  findings to the Chief Financial Officer within 30 days after the
  391  investigation is closed. Such public official, independent
  392  contractor, or person responsible within the agency is
  393  personally liable for repayment of the funds that were diverted
  394  or lost as a result of the fraud, waste, abuse, mismanagement,
  395  or misconduct in government. If the person liable fails to repay
  396  such funds voluntarily and the state does not agree to a
  397  settlement, the Chief Financial Officer shall bring a civil
  398  action to recover the funds within 60 days after receipt of such
  399  findings.
  400         Section 5. Section 17.04, Florida Statutes, is amended to
  401  read:
  402         17.04 To audit and adjust accounts of officers and those
  403  indebted to the state.—The Chief Financial Officer, using
  404  generally accepted auditing procedures for testing or sampling,
  405  shall examine, audit, adjust, and settle the accounts of all the
  406  officers of this state, and any other person in anywise
  407  entrusted with, or who may have received any property, funds, or
  408  moneys of this state, or who may be in anywise indebted or
  409  accountable to this state for any property, funds, or moneys,
  410  and require such officer or persons to render full accounts
  411  thereof, and to yield up such property or funds according to
  412  law, or pay such moneys into the treasury of this state, or to
  413  such officer or agent of the state as may be appointed to
  414  receive the same, and on failure so to do, to cause to be
  415  instituted and prosecuted proceedings, criminal or civil, at law
  416  or in equity, against such persons, according to law. The Chief
  417  Financial Officer may conduct investigations within or outside
  418  of this state as it deems necessary to aid in the enforcement of
  419  this section. The Chief Financial Officer may commence an
  420  investigation pursuant to this section based on a complaint or
  421  referral from any source. An employee of a state agency or a
  422  state contractor having knowledge of suspected misuse of state
  423  funds may report such information to the Chief Financial
  424  Officer. If during an investigation the Chief Financial Officer
  425  has reason to believe that any criminal statute of this state
  426  has or may have been violated, the Chief Financial Officer shall
  427  refer any records tending to show such violation to state or
  428  federal law enforcement or prosecutorial agencies and shall
  429  provide investigative assistance to those agencies as required.
  430         Section 6. Present subsections (4) and (5) of section
  431  17.325, Florida Statutes, are renumbered as subsections (5) and
  432  (6), respectively, and a new subsection (4) is added to that
  433  section, to read:
  434         17.325 Governmental efficiency hotline; duties of Chief
  435  Financial Officer.—
  436         (4)A copy of each suggestion or item of information
  437  received through the hotline which is logged pursuant to this
  438  section must be reported to the Florida Accountability Officer
  439  by the 15th of the month following receipt of the suggestion or
  440  item of information.
  441         Section 7. Paragraph (g) is added to subsection (7) of
  442  section 20.055, Florida Statutes, to read:
  443         20.055 Agency inspectors general.—
  444         (7) In carrying out the investigative duties and
  445  responsibilities specified in this section, each inspector
  446  general shall initiate, conduct, supervise, and coordinate
  447  investigations designed to detect, deter, prevent, and eradicate
  448  fraud, waste, mismanagement, misconduct, and other abuses in
  449  state government. For these purposes, each inspector general
  450  shall:
  451         (g)Make determinations and reports as required by s.
  452  14.32(7).
  453         Section 8. Paragraphs (a) and (b) of subsection (1) and
  454  subsection (2) of section 110.1245, Florida Statutes, are
  455  amended, and subsection (6) is added to that section, to read:
  456         110.1245 Savings sharing program; bonus payments; other
  457  awards.—
  458         (1)(a) The Department of Management Services shall adopt
  459  rules that prescribe procedures and promote a savings sharing
  460  program for an individual or group of employees who propose
  461  procedures or ideas that are adopted and that result in
  462  eliminating or reducing state expenditures, including employees
  463  reporting under the Whistle-blower’s Act, if such proposals are
  464  placed in effect and may be implemented under current statutory
  465  authority.
  466         (b) Each agency head shall recommend employees individually
  467  or by group to be awarded an amount of money, which amount shall
  468  be directly related to the cost savings realized. Each proposed
  469  award and amount of money must be approved by the Legislative
  470  Budget Commission, except an award issued under subsection (6).
  471         (2) In June of each year, bonuses shall be paid to
  472  employees from funds authorized by the Legislature in an
  473  appropriation specifically for bonuses. For purposes of this
  474  subsection, awards issued under subsection (6) are not
  475  considered bonuses. Each agency shall develop a plan for
  476  awarding lump-sum bonuses, which plan shall be submitted no
  477  later than September 15 of each year and approved by the Office
  478  of Policy and Budget in the Executive Office of the Governor.
  479  Such plan shall include, at a minimum, but is not limited to:
  480         (a) A statement that bonuses are subject to specific
  481  appropriation by the Legislature.
  482         (b) Eligibility criteria as follows:
  483         1. The employee must have been employed before prior to
  484  July 1 of that fiscal year and have been continuously employed
  485  through the date of distribution.
  486         2. The employee must not have been on leave without pay
  487  consecutively for more than 6 months during the fiscal year.
  488         3. The employee must have had no sustained disciplinary
  489  action during the period beginning July 1 through the date the
  490  bonus checks are distributed. Disciplinary actions include
  491  written reprimands, suspensions, dismissals, and involuntary or
  492  voluntary demotions that were associated with a disciplinary
  493  action.
  494         4. The employee must have demonstrated a commitment to the
  495  agency mission by reducing the burden on those served,
  496  continually improving the way business is conducted, producing
  497  results in the form of increased outputs, and working to improve
  498  processes.
  499         5. The employee must have demonstrated initiative in work
  500  and have exceeded normal job expectations.
  501         6. The employee must have modeled the way for others by
  502  displaying agency values of fairness, cooperation, respect,
  503  commitment, honesty, excellence, and teamwork.
  504         (c) A periodic evaluation process of the employee’s
  505  performance.
  506         (d) A process for peer input that is fair, respectful of
  507  employees, and affects the outcome of the bonus distribution.
  508         (e) A division of the agency by work unit for purposes of
  509  peer input and bonus distribution.
  510         (f) A limitation on bonus distributions equal to 35 percent
  511  of the agency’s total authorized positions. This requirement may
  512  be waived by the Office of Policy and Budget in the Executive
  513  Office of the Governor upon a showing of exceptional
  514  circumstances.
  515         (6)Each agency inspector general shall report employees
  516  whose reports under the Whistle-blower’s Act resulted in savings
  517  or recovery of public funds in excess of $1,000 to the agency
  518  head. Whistle-blower awards shall be awarded by each agency, and
  519  each agency head is authorized to incur expenditures to provide
  520  such awards. The award shall be paid from the specific
  521  appropriation or trust fund from which the savings or recovery
  522  resulted. The agency inspector general to whom the whistle
  523  blower report was made or referred shall certify the identity of
  524  the employee and, along with the agency head or his or her
  525  designee, the savings or recovery resulting from the
  526  investigation. If more than one employee makes a relevant
  527  report, the award shall be shared in proportion to each
  528  employee’s contribution to the investigation as certified by the
  529  agency inspector general. Whistle-blower awards shall be made in
  530  the following amounts:
  531         (a)A career service employee shall receive 10 percent of
  532  the savings or recovery certified, but not less than $500 and
  533  not more than a total of $50,000 for whistle-blower reports in
  534  any 1 year. If the employee had any fault for the misspending or
  535  attempted misspending of public funds identified in the
  536  investigation that resulted in the savings or recovery, the
  537  award may be denied at the discretion of the agency head. If the
  538  award is not denied by the agency head, the award may not exceed
  539  $500. The agency inspector general shall certify any fault on
  540  the part of the employee.
  541         (b)A Senior Management Service employee or an employee in
  542  a select exempt position shall receive 5 percent of the savings
  543  or recovery certified, but not more than a total of $1,000 for
  544  whistle-blower reports in any 1 year. An employee may not
  545  receive an award under this paragraph if he or she had any fault
  546  for the misspending or attempted misspending of public funds
  547  identified in the investigation that resulted in the savings or
  548  recovery. The agency inspector general shall certify any fault
  549  on the part of the employee.
  550         Section 9. Subsection (2), paragraph (e) of subsection (3),
  551  and paragraph (b) of subsection (5) of section 112.3187, Florida
  552  Statutes, are amended to read:
  553         112.3187 Adverse action against employee for disclosing
  554  information of specified nature prohibited; employee remedy and
  555  relief.—
  556         (2) LEGISLATIVE INTENT.—It is the intent of the Legislature
  557  to prevent agencies or independent contractors from taking
  558  retaliatory action against an employee who reports to an
  559  appropriate agency violations of law on the part of a public
  560  employer or independent contractor that create a substantial and
  561  specific danger to the public’s health, safety, or welfare. It
  562  is further the intent of the Legislature to prevent agencies or
  563  independent contractors from taking retaliatory action against
  564  any person who discloses information to an appropriate agency
  565  alleging improper use of governmental office, gross waste of
  566  funds, or any other abuse or gross neglect of duty on the part
  567  of an agency, public officer, or employee.
  568         (3) DEFINITIONS.—As used in this act, unless otherwise
  569  specified, the following words or terms shall have the meanings
  570  indicated:
  571         (e) “Gross Mismanagement” means a continuous pattern of
  572  managerial abuses, wrongful or arbitrary and capricious actions,
  573  or fraudulent or criminal conduct which may have a substantial
  574  adverse economic impact.
  575         (5) NATURE OF INFORMATION DISCLOSED.—The information
  576  disclosed under this section must include:
  577         (b) Any act or suspected act of gross mismanagement,
  578  malfeasance, misfeasance, gross waste of public funds, suspected
  579  or actual Medicaid fraud or abuse, or gross neglect of duty
  580  committed by an employee or agent of an agency or independent
  581  contractor.
  582         Section 10. Section 286.31, Florida Statutes, is created to
  583  read:
  584         286.31Use of state or local funds to pay legal fees.
  585  Notwithstanding any other provision of law, a claim for legal
  586  fees under any provision of law to be compensated, credited, or
  587  approved, in whole or in part, by any state or local agency
  588  shall be documented with reasonable particularity of the
  589  services provided, including, for each date services were
  590  rendered, an itemization of each task performed and the time
  591  expended on each task. If such compensation is pursuant to a
  592  retainer agreement for contractual legal services provided to a
  593  state or local agency and compensation is due before the end of
  594  the contract period invoiced, the documentation required by this
  595  section may be satisfied by documenting the contractual services
  596  rendered in the immediately preceding contract period, provided
  597  the agreement and related invoices are public records accessible
  598  to the general public. If a contractor refuses in writing to
  599  provide such documentation without an amendment to the contract,
  600  this section does not apply to compensation under the contract
  601  until July 1, 2020.
  602         Section 11. Paragraph (e) of subsection (3) and subsection
  603  (9) of section 287.057, Florida Statutes, are amended, and
  604  subsections (24) and (25) are added to that section, to read:
  605         287.057 Procurement of commodities or contractual
  606  services.—
  607         (3) If the purchase price of commodities or contractual
  608  services exceeds the threshold amount provided in s. 287.017 for
  609  CATEGORY TWO, purchase of commodities or contractual services
  610  may not be made without receiving competitive sealed bids,
  611  competitive sealed proposals, or competitive sealed replies
  612  unless:
  613         (e) The following contractual services and commodities are
  614  not subject to the competitive-solicitation requirements of this
  615  section:
  616         1. Artistic services. As used in this subsection, the term
  617  “artistic services” does not include advertising or typesetting.
  618  As used in this subparagraph, the term “advertising” means the
  619  making of a representation in any form in connection with a
  620  trade, business, craft, or profession in order to promote the
  621  supply of commodities or services by the person promoting the
  622  commodities or contractual services.
  623         2. Academic program reviews if the fee for such services
  624  does not exceed $50,000.
  625         3. Lectures by individuals.
  626         4. Legal services, including attorney, paralegal, expert
  627  witness, appraisal, or mediator services.
  628         5. Health services involving examination, diagnosis,
  629  treatment, prevention, medical consultation, or administration.
  630  The term also includes, but is not limited to, substance abuse
  631  and mental health services involving examination, diagnosis,
  632  treatment, prevention, or medical consultation if such services
  633  are offered to eligible individuals participating in a specific
  634  program that qualifies multiple providers and uses a standard
  635  payment methodology. Reimbursement of administrative costs for
  636  providers of services purchased in this manner are also exempt.
  637  For purposes of this subparagraph, the term “providers” means
  638  health professionals and health facilities, or organizations
  639  that deliver or arrange for the delivery of health services.
  640         6. Services provided to persons with mental or physical
  641  disabilities by not-for-profit corporations that have obtained
  642  exemptions under s. 501(c)(3) of the United States Internal
  643  Revenue Code or when such services are governed by Office of
  644  Management and Budget Circular A-122. However, in acquiring such
  645  services, the agency shall consider the ability of the vendor,
  646  past performance, willingness to meet time requirements, and
  647  price.
  648         7. Medicaid services delivered to an eligible Medicaid
  649  recipient unless the agency is directed otherwise in law.
  650         8. Family placement services.
  651         9. Prevention services related to mental health, including
  652  drug abuse prevention programs, child abuse prevention programs,
  653  and shelters for runaways, operated by not-for-profit
  654  corporations. However, in acquiring such services, the agency
  655  shall consider the ability of the vendor, past performance,
  656  willingness to meet time requirements, and price.
  657         10. Training and education services provided to injured
  658  employees pursuant to s. 440.491(6).
  659         11. Contracts entered into pursuant to s. 337.11.
  660         12. Services or commodities provided by governmental
  661  entities.
  662         13. Statewide Public service announcement programs that
  663  provided by a Florida statewide nonprofit corporation under s.
  664  501(c)(6) of the Internal Revenue Code which have a guaranteed
  665  documented match of at least $3 to $1.
  666         (9) An agency shall not divide the solicitation of
  667  commodities or contractual services so as to avoid the
  668  requirements of subsections (1)-(3) or subsection (24).
  669         (24)(a)For any contract in excess of $50,000 which is
  670  awarded through an invitation to negotiate or awarded without
  671  competitive solicitation under paragraph (3)(c), paragraph
  672  (3)(e), or subsection (10), the proposal, offer, or response of
  673  the contractor must include a good faith estimate of gross
  674  profit for each year and renewal year of the proposed contract.
  675  If, in determining the good faith estimate of gross profit, the
  676  contractor includes the cost of products or services expected to
  677  be provided by a participant closely associated with the
  678  contractor, the contractor must also identify such participant,
  679  describe the association, and provide a good faith estimate of
  680  gross profit for such participant for each year and renewal year
  681  of the proposed contract, which must be attested to by an
  682  authorized representative of the participant. The agency must,
  683  before awarding the contract, make a written determination that
  684  the estimated gross profit is not excessive and specify the
  685  reasons for such determination. Notwithstanding any provision of
  686  the contract, a contractor is liable to the agency for three
  687  times the amount or value of any misrepresentation of estimated
  688  gross profit as liquidated damages for such misrepresentation.
  689         (b)For purposes of this subsection, the term:
  690         1.“Closely associated with the contractor” means the
  691  contractor, a principal of the contractor, or a family member or
  692  business associate of a principal of the contractor is a
  693  principal of the participant. As used in this subparagraph, the
  694  term “principal” means a person who owns at least 5 percent
  695  interest in the business or entity or who is a manager of the
  696  business or entity. As used in this subparagraph, the term
  697  “business associate” means a person or an entity with whom a
  698  principal of the contractor has substantial investment,
  699  employment, or partnership interests.
  700         2.“Good faith estimate of gross profit” means a good faith
  701  estimate of the total receipts expected under the contract less
  702  the cost of providing contracted commodities and services under
  703  the contract and excluding overhead costs. As used in this
  704  subparagraph, the term “overhead costs” means all costs that are
  705  not directly related to contract performance, including, but not
  706  limited to, marketing and administrative expenses.
  707         3.“Participant” means a person or an entity with whom the
  708  contractor expects to subcontract for services or commodities in
  709  carrying out a contract with an agency.
  710         (25)Notwithstanding any other provision of law, a state
  711  employee who is registered to lobby the Legislature, other than
  712  an agency head, may not participate in the negotiation or award
  713  of any contract required or expressly funded under a specific
  714  legislative appropriation or proviso in an appropriation act.
  715         Section 12. Section 288.00001, Florida Statutes, is created
  716  to read:
  717         288.00001Use of state or local incentive funds to pay for
  718  services.—Notwithstanding any other provision of law, a tax
  719  incentive may not be awarded or paid to a state contractor or
  720  any subcontractor for services provided or expenditures incurred
  721  pursuant to a state contract.
  722         Section 13. Paragraph (e) of subsection (4) of section
  723  1001.20, Florida Statutes, as amended by section 4 of chapter
  724  2018-5, Laws of Florida, is amended to read:
  725         1001.20 Department under direction of state board.—
  726         (4) The Department of Education shall establish the
  727  following offices within the Office of the Commissioner of
  728  Education which shall coordinate their activities with all other
  729  divisions and offices:
  730         (e) Office of Inspector General.—Organized using existing
  731  resources and funds and responsible for promoting
  732  accountability, efficiency, and effectiveness and detecting
  733  fraud and abuse within school districts, the Florida School for
  734  the Deaf and the Blind, and Florida College System institutions
  735  in Florida. If the Commissioner of Education determines that a
  736  district school board, the Board of Trustees for the Florida
  737  School for the Deaf and the Blind, or a Florida College System
  738  institution board of trustees is unwilling or unable to address
  739  substantiated allegations made by any person relating to waste,
  740  fraud, or financial mismanagement within the school district,
  741  the Florida School for the Deaf and the Blind, or the Florida
  742  College System institution, the office shall conduct,
  743  coordinate, or request investigations into such substantiated
  744  allegations. The office shall investigate allegations or reports
  745  of possible mismanagement, fraud, or abuse against a district
  746  school board or Florida College System institution made by any
  747  member of the Cabinet,; the presiding officer of either house of
  748  the Legislature,; a chair of a substantive or appropriations
  749  legislative committee with jurisdiction,; or a member of the
  750  board for which an investigation is sought. The office shall
  751  have access to all information and personnel necessary to
  752  perform its duties and shall have all of its current powers,
  753  duties, and responsibilities authorized in s. 20.055.
  754         Section 14. Subsection (25) is added to section 1001.65,
  755  Florida Statutes, to read:
  756         1001.65 Florida College System institution presidents;
  757  powers and duties.—The president is the chief executive officer
  758  of the Florida College System institution, shall be corporate
  759  secretary of the Florida College System institution board of
  760  trustees, and is responsible for the operation and
  761  administration of the Florida College System institution. Each
  762  Florida College System institution president shall:
  763         (25)Have ultimate responsibility for the Florida College
  764  System institution’s cooperation with an audit conducted
  765  pursuant to s. 11.45 and be subject to s. 11.47.
  766         Section 15. Subsection (1) of section 112.3188, Florida
  767  Statutes, is amended to read:
  768         112.3188 Confidentiality of information given to the Chief
  769  Inspector General, internal auditors, inspectors general, local
  770  chief executive officers, or other appropriate local officials.—
  771         (1) The name or identity of any individual who discloses in
  772  good faith to the Chief Inspector General or an agency inspector
  773  general, a local chief executive officer, or other appropriate
  774  local official information that alleges that an employee or
  775  agent of an agency or independent contractor:
  776         (a) Has violated or is suspected of having violated any
  777  federal, state, or local law, rule, or regulation, thereby
  778  creating and presenting a substantial and specific danger to the
  779  public’s health, safety, or welfare; or
  780         (b) Has committed an act of gross mismanagement,
  781  malfeasance, misfeasance, gross waste of public funds, or gross
  782  neglect of duty
  783  
  784  may not be disclosed to anyone other than a member of the Chief
  785  Inspector General’s, agency inspector general’s, internal
  786  auditor’s, local chief executive officer’s, or other appropriate
  787  local official’s staff without the written consent of the
  788  individual, unless the Chief Inspector General, internal
  789  auditor, agency inspector general, local chief executive
  790  officer, or other appropriate local official determines that:
  791  the disclosure of the individual’s identity is necessary to
  792  prevent a substantial and specific danger to the public’s
  793  health, safety, or welfare or to prevent the imminent commission
  794  of a crime; or the disclosure is unavoidable and absolutely
  795  necessary during the course of the audit, evaluation, or
  796  investigation.
  797         Section 16. Subsections (3) and (4) and paragraph (a) of
  798  subsection (5) of section 112.3189, Florida Statutes, are
  799  amended to read:
  800         112.3189 Investigative procedures upon receipt of whistle
  801  blower information from certain state employees.—
  802         (3) When a person alleges information described in s.
  803  112.3187(5), the Chief Inspector General or agency inspector
  804  general actually receiving such information shall within 20 days
  805  after of receiving such information determine:
  806         (a) Whether the information disclosed is the type of
  807  information described in s. 112.3187(5).
  808         (b) Whether the source of the information is a person who
  809  is an employee or former employee of, or an applicant for
  810  employment with, a state agency, as defined in s. 216.011.
  811         (c) Whether the information actually disclosed demonstrates
  812  reasonable cause to suspect that an employee or agent of an
  813  agency or independent contractor has violated any federal,
  814  state, or local law, rule, or regulation, thereby creating and
  815  presenting a substantial and specific danger to the public’s
  816  health, safety, or welfare, or has committed an act of gross
  817  mismanagement, malfeasance, misfeasance, gross waste of public
  818  funds, or gross neglect of duty.
  819         (4) If the Chief Inspector General or agency inspector
  820  general under subsection (3) determines that the information
  821  disclosed is not the type of information described in s.
  822  112.3187(5), or that the source of the information is not a
  823  person who is an employee or former employee of, or an applicant
  824  for employment with, a state agency, as defined in s. 216.011,
  825  or that the information disclosed does not demonstrate
  826  reasonable cause to suspect that an employee or agent of an
  827  agency or independent contractor has violated any federal,
  828  state, or local law, rule, or regulation, thereby creating and
  829  presenting a substantial and specific danger to the public’s
  830  health, safety, or welfare, or has committed an act of gross
  831  mismanagement, malfeasance, misfeasance, gross waste of public
  832  funds, or gross neglect of duty, the Chief Inspector General or
  833  agency inspector general shall notify the complainant of such
  834  fact and copy and return, upon request of the complainant, any
  835  documents and other materials that were provided by the
  836  complainant.
  837         (5)(a) If the Chief Inspector General or agency inspector
  838  general under subsection (3) determines that the information
  839  disclosed is the type of information described in s.
  840  112.3187(5), that the source of the information is from a person
  841  who is an employee or former employee of, or an applicant for
  842  employment with, a state agency, as defined in s. 216.011, and
  843  that the information disclosed demonstrates reasonable cause to
  844  suspect that an employee or agent of an agency or independent
  845  contractor has violated any federal, state, or local law, rule,
  846  or regulation, thereby creating a substantial and specific
  847  danger to the public’s health, safety, or welfare, or has
  848  committed an act of gross mismanagement, malfeasance,
  849  misfeasance, gross waste of public funds, or gross neglect of
  850  duty, the Chief Inspector General or agency inspector general
  851  making such determination shall then conduct an investigation,
  852  unless the Chief Inspector General or the agency inspector
  853  general determines, within 30 days after receiving the
  854  allegations from the complainant, that such investigation is
  855  unnecessary. For purposes of this subsection, the Chief
  856  Inspector General or the agency inspector general shall consider
  857  the following factors, but is not limited to only the following
  858  factors, when deciding whether the investigation is not
  859  necessary:
  860         1. The gravity of the disclosed information compared to the
  861  time and expense of an investigation.
  862         2. The potential for an investigation to yield
  863  recommendations that will make state government more efficient
  864  and effective.
  865         3. The benefit to state government to have a final report
  866  on the disclosed information.
  867         4. Whether the alleged whistle-blower information primarily
  868  concerns personnel practices that may be investigated under
  869  chapter 110.
  870         5. Whether another agency may be conducting an
  871  investigation and whether any investigation under this section
  872  could be duplicative.
  873         6. The time that has elapsed between the alleged event and
  874  the disclosure of the information.
  875         Section 17. Paragraph (a) of subsection (3) of section
  876  112.31895, Florida Statutes, is amended to read:
  877         112.31895 Investigative procedures in response to
  878  prohibited personnel actions.—
  879         (3) CORRECTIVE ACTION AND TERMINATION OF INVESTIGATION.—
  880         (a) The Florida Commission on Human Relations, in
  881  accordance with this act and for the sole purpose of this act,
  882  is empowered to:
  883         1. Receive and investigate complaints from employees
  884  alleging retaliation by state agencies, as the term “state
  885  agency” is defined in s. 216.011.
  886         2. Protect employees and applicants for employment with
  887  such agencies from prohibited personnel practices under s.
  888  112.3187.
  889         3. Petition for stays and petition for corrective actions,
  890  including, but not limited to, temporary reinstatement.
  891         4. Recommend disciplinary proceedings pursuant to
  892  investigation and appropriate agency rules and procedures.
  893         5. Coordinate with the Chief Inspector General in the
  894  Executive Office of the Governor and the Florida Commission on
  895  Human Relations to receive, review, and forward to appropriate
  896  agencies, legislative entities, or the Department of Law
  897  Enforcement disclosures of a violation of any law, rule, or
  898  regulation, or disclosures of gross mismanagement, malfeasance,
  899  misfeasance, nonfeasance, neglect of duty, or gross waste of
  900  public funds.
  901         6. Review rules pertaining to personnel matters issued or
  902  proposed by the Department of Management Services, the Public
  903  Employees Relations Commission, and other agencies, and, if the
  904  Florida Commission on Human Relations finds that any rule or
  905  proposed rule, on its face or as implemented, requires the
  906  commission of a prohibited personnel practice, provide a written
  907  comment to the appropriate agency.
  908         7. Investigate, request assistance from other governmental
  909  entities, and, if appropriate, bring actions concerning,
  910  allegations of retaliation by state agencies under subparagraph
  911  1.
  912         8. Administer oaths, examine witnesses, take statements,
  913  issue subpoenas, order the taking of depositions, order
  914  responses to written interrogatories, and make appropriate
  915  motions to limit discovery, pursuant to investigations under
  916  subparagraph 1.
  917         9. Intervene or otherwise participate, as a matter of
  918  right, in any appeal or other proceeding arising under this
  919  section before the Public Employees Relations Commission or any
  920  other appropriate agency, except that the Florida Commission on
  921  Human Relations must comply with the rules of the commission or
  922  other agency and may not seek corrective action or intervene in
  923  an appeal or other proceeding without the consent of the person
  924  protected under ss. 112.3187-112.31895.
  925         10. Conduct an investigation, in the absence of an
  926  allegation, to determine whether reasonable grounds exist to
  927  believe that a prohibited action or a pattern of prohibited
  928  action has occurred, is occurring, or is to be taken.
  929         Section 18. The Office of the Auditor General is authorized
  930  to use carryforward funds to fund the establishment and
  931  operations of the Florida Accountability Office as created by
  932  this act.
  933         Section 19. This act shall take effect July 1, 2019.

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