Bill Text: FL S7092 | 2012 | Regular Session | Introduced
Bill Title: Water Management Districts
Spectrum: Committee Bill
Status: (N/A - Dead) 2012-02-16 - Submit as committee bill by Budget (SB 1986) [S7092 Detail]
Download: Florida-2012-S7092-Introduced.html
Florida Senate - 2012 (PROPOSED COMMITTEE BILL) SPB 7092 FOR CONSIDERATION By the Committee on Budget 576-03177A-12 20127092__ 1 A bill to be entitled 2 An act relating to water management districts; 3 amending s. 373.503, F.S.; revising the maximum 4 millage rates that may be levied by each water 5 management district for district and basin purposes; 6 specifying the district and basin purposes; specifying 7 the maximum millage rate levied for district and basin 8 purposes used to fund the core areas of water supply 9 and water resource development projects, water 10 quality, flood protection and floodplain management, 11 and natural systems; directing the Legislature to 12 annually review each water management district’s 13 preliminary budget and set a maximum millage rate for 14 certain purposes; specifying the use of the revenues; 15 revising the review process for budgets of the water 16 management districts; prohibiting a district from 17 including in its budget or expending funds from any 18 source for certain programs and activities during the 19 next fiscal year under certain circumstances; removing 20 a provision requiring that the maximum property tax 21 revenue for water management districts revert to the 22 amount authorized for the prior year if the 23 Legislature does not set the amount; removing the 24 maximum revenues for the 2011-2012 fiscal year; 25 creating s. 373.535, F.S.; providing for the process, 26 manner, and timing by which water management districts 27 must submit a preliminary budget request to the 28 Legislature and the Governor; requiring the Executive 29 Office of the Governor and the appropriations 30 committees of the Legislature to jointly develop 31 preliminary budget instructions from which each water 32 management district shall prepare the budget requests; 33 providing criteria for the budget instructions; 34 prescribing information that the preliminary budget 35 must contain; requiring the Executive Office of the 36 Governor to analyze each preliminary budget as to the 37 adequacy of fiscal resources and certain expenditures; 38 requiring the Executive Office of the Governor to 39 provide to the Legislature by a certain time each 40 water management district’s preliminary budget, 41 together with the adequacy analysis; requiring that 42 the Legislature annually review and approve, limit, or 43 disapprove specified portions of the preliminary 44 budget for each water management district; requiring 45 that the Legislature, in appropriating funds for water 46 management districts, authorize a level of expenditure 47 for each approved program and activity; prohibiting a 48 water management district from expending any funds on 49 a program or activity not authorized by the 50 Legislature; authorizing the Legislature to review and 51 take action on other provisions of the preliminary 52 budget of each water management district; providing 53 that if the Legislature does not take action under 54 certain circumstances, provisions of the preliminary 55 budget are deemed approved; providing criteria; 56 requiring that the first funding obligation of a water 57 management district is payment of debt service for 58 bonds and certificates of participation, if 59 applicable; requiring a water management district to 60 receive prior approval from the Legislature before 61 incurring additional bonded indebtedness; providing 62 that the preliminary budget reviewed by the 63 Legislature is the basis for developing the tentative 64 budget of each water management district; limiting the 65 authority of a district to fund proposed expenditures 66 reviewed by the Legislature to the amount authorized 67 by the Legislature, the Governor, or the Legislative 68 Budget Commission; amending s. 373.536, F.S.; 69 requiring that budget amendments greater than a 70 certain amount be reviewed and approved by the 71 Executive Office of the Governor and that the 72 Executive Office of the Governor notify the 73 Legislative Budget Commission of the approval; 74 requiring that a water management district provide a 75 description of the budget control mechanisms to the 76 Executive Office of the Governor for approval; 77 providing that, upon providing notice to the 78 Legislative Budget Commission and subject to prior 79 review and approval by the Executive Office of the 80 Governor, a water management district may amend 81 unanticipated funds into its final budget; requiring 82 the Executive Office of the Governor and the 83 Legislative Budget Commission to be notified if the 84 governing board of a water management district expends 85 available funds for a disaster or emergency; requiring 86 that a water management district provide a monthly 87 financial statement to its governing board and make 88 such monthly financial statement available for public 89 access on its website; removing obsolete provisions 90 relating to review and approval by the Executive 91 Office of the Governor and the Legislative Budget 92 Commission of the tentative budget of a water 93 management district; providing for the approval or 94 disapproval of the tentative budget by the Executive 95 Office of the Governor; providing criteria for the 96 Legislative Budget Commission to use in disapproving 97 the tentative budget of a water management district; 98 prohibiting a water management district from acting on 99 a rejected provision without the approval of the 100 Executive Office of the Governor or the Legislative 101 Budget Commission; providing for the Chief Financial 102 Officer to withhold state funds from a district that 103 fails to obtain prior approval; requiring that the 104 tentative budget be based on certain criteria; 105 requiring the Executive Office of the Governor to 106 consult with the Legislature to develop a standard 107 format for the tentative budget; revising the 108 information required for the tentative budget; 109 revising the information required for the 5-year water 110 resource development work program; providing an 111 effective date. 112 113 Be It Enacted by the Legislature of the State of Florida: 114 115 Section 1. Subsections (3) and (4) of section 373.503, 116 Florida Statutes, are amended to read: 117 373.503 Manner of taxation.— 118 (3) The districts may levy ad valorem taxes on property 119 within the district solely for the purposes of this chapter and 120 of chapter 25270, 1949, Laws of Florida, as amended, and chapter 121 61-691, Laws of Florida, as amended. If appropriate, taxes 122 levied by each governing board may be separated by the governing 123 board into a millage necessary for the purposes of the district 124 and a millage necessary for financing basin functions specified 125 in s. 373.0695. 126 (a) Notwithstanding any other general or special law, and 127 subject to subsection (4), the maximum total millage rate for 128 district and basin purposes which may be used solely for the 129 purposes of funding the core water management district mission 130 areas of water supply, including alternative water supply and 131 the water resource development projects, water quality, flood 132 protection and floodplain management, and natural systems, shall 133 be: 134 1. Northwest Florida Water Management District: 0.040.05135 mill. 136 2. Suwannee River Water Management District: 0.800.75137 mill. 138 3. St. Johns River Water Management District: 0.800.6139 mill. 140 4. Southwest Florida Water Management District: 0.801.0141 mill. 142 5. South Florida Water Management District: 0.80 mill. 143 (b) As provided in s. 373.535 and subject to the limits 144 established by s. 9(b), Art. VII of the State Constitution, the 145 Legislature shall annually review the preliminary budget of each 146 water management district and shall separately set, in addition 147 to the rate set in paragraph (a), a maximum millage rate or 148 maximum revenue limit for each district which may be used to 149 fund regulation, outreach, management, and administration 150 programs and activities. 151 (c) The maximum authorized millage rates or revenue limits 152 separately established in paragraphs (a) and (b) shall be used 153 to fund only the core mission areas and programs and activities 154 specified those paragraphs. If the Legislature fails to set a 155 revenue limit or the maximum amount of millage that may be 156 levied for the programs and activities specified in paragraph 157 (b), a district may not include in its budget or expend funds 158 from any source for those programs and activities during the 159 next fiscal year. 160 (d)(b)The apportionment in the South Florida Water 161 Management District shall be a maximum of 40 percent for 162 district purposes and a maximum of 60 percent for basin 163 purposes, respectively. 164 (e)(c)Within the Southwest Florida Water Management 165 District, the maximum millage assessed for district purposes may 166 not exceed 50 percent of the total authorized millage if there 167 are one or more basins in the district, and the maximum millage 168 assessed for basin purposes may not exceed 50 percent of the 169 total authorized millage. 170 (4)(a)To ensure that taxes authorized by this chapter 171 continue to be in proportion to the benefits derived by the 172 parcels of real estate within the districts, the Legislature 173 shall annually review the preliminary budget for each district 174 for the next fiscal year as provided in s. 373.535and the175authorized millage rate for each district. Based upon this 176 review, the Legislature shall set the authorized maximum millage 177 rate or the maximum amount of revenue to be raised by each 178 district in the next fiscal year from the taxes levied.Except179as provided in paragraph (b), if the annual maximum amount of180property tax revenue is not set by the Legislature on or before181July 1 of each year, the maximum property tax revenue that may182be raised reverts to the amount authorized in the prior year.183(b) For the 2011-2012 fiscal year, the total ad valorem184taxes levied may not exceed $3,946,969 for the Northwest Florida185Water Management District, $5,412,674 for the Suwannee River186Water Management District, $85,335,619 for the St. Johns Water187Management District, $107,766,957 for the Southwest Florida188Water Management District, and $284,901,967 for the South189Florida Water Management District.190 Section 2. Section 373.535, Florida Statutes, is created to 191 read: 192 373.535 Preliminary district budget; development, 193 legislative review, and authority granted.— 194 (1) PRELIMINARY BUDGET DEVELOPMENT.— 195 (a) In preparation for the legislative budget review, each 196 water management district shall submit a preliminary budget 197 request to the Legislature and to the Governor in the form and 198 manner prescribed in the budget instructions and at such time as 199 specified by the Executive Office of the Governor based on the 200 district’s independent judgment of its needs. However, a water 201 management district may not submit its complete preliminary 202 budget request later than December 15 unless an alternative date 203 is agreed to be in the best interest of the state by the 204 Governor and the chairs of the legislative appropriations 205 committees. 206 (b) The Executive Office of the Governor and the 207 appropriations committees of the Legislature shall jointly 208 develop preliminary budget instructions for preparing the 209 exhibits and schedules that make up the budget from which each 210 district shall prepare their budget request. The preliminary 211 budget instructions must be transmitted to each district by 212 October 1 of each year, unless an alternative date is agreed to 213 be in the best interest of the state by the Governor and the 214 chairs of the legislative appropriations committees. 215 (c) The preliminary budget request must contain for each 216 program: 217 1. A section that clearly identifies and provides 218 justification for each proposed expenditure listed in s. 219 373.536(5)(d)4.d.-f. and that identifies the source of funds for 220 each expenditure. 221 2. A section that provides, by core mission area of 222 responsibility, justification for proposed expenditures and that 223 identifies the source of funds needed for activities related to 224 water supply, including alternative water supply and water 225 resource development projects identified in the district’s 226 regional water supply plans, water quality, flood protection and 227 floodplain management, and natural systems. 228 3. A section that reviews the adopted budget allocations by 229 program area and the performance metrics for the prior year. 230 (d) The Executive Office of the Governor shall analyze each 231 preliminary budget to determine the adequacy of fiscal resources 232 available to the district and the adequacy of proposed district 233 expenditures related to the core mission areas of responsibility 234 for water supply, including alternative water supply and water 235 resource development projects identified in the district’s 236 regional water supply plans, water quality, flood protection and 237 floodplain management, and natural systems. This analysis shall 238 be based on the particular needs within each water management 239 district in the core mission areas of responsibility. The water 240 supply analysis must specifically include a determination of the 241 adequacy of each district’s fiscal resources provided in the 242 district’s preliminary budget to meet appropriate progress 243 toward meeting the districtwide 20-year projected water supply 244 demands, including funding for alternative water supply 245 development and conservation projects. 246 (e) The Executive Office of the Governor shall provide the 247 preliminary budget for each water management district together 248 with the adequacy analysis specified in paragraph (d) to the 249 Legislature not later than 30 days before the start of each 250 legislative session. 251 (2) PRELIMINARY BUDGET; LEGISLATIVE REVIEW AND APPROVAL.— 252 (a)1. The Legislature must annually review and approve, 253 limit, or disapprove each portion of the preliminary budget for 254 each water management district for those items in s. 255 373.536(5)(d)4.d.-f. specific to regulation, outreach, 256 management, and administration programs and activities. 257 2. After the annual review, the Legislature shall 258 appropriate for each district funds for the proposed 259 expenditures, set a maximum amount of revenue that may be raised 260 to fund the programs and activities for those items in s. 261 373.536(5)(d)4.d.-f., or set the maximum millage rate that may 262 be levied to fund these programs and activities. The 263 appropriation, revenue limit, or millage rate authorized by the 264 Legislature for the programs and activities reviewed under this 265 paragraph may not exceed 20 percent of a district’s total 266 preliminary budget. 267 3. If the Legislature does not appropriate funds, set the 268 maximum amount of revenue, or set the maximum millage rate 269 pursuant to subparagraph 2., the water management district may 270 not include in its budget or expend funds from any source for 271 such programs and activities during the ensuing fiscal year. 272 (b) The Legislature may also review and take action on any 273 other aspect of the preliminary budget for each water management 274 district. If the Legislature does not take any action pursuant 275 to this paragraph, those portions of the preliminary budget of 276 the water management district are deemed approved. 277 (c) If applicable, the preliminary budget for each water 278 management district must specify that the district’s first 279 obligation for payment is the debt service on bonds and 280 certificates of participation. In addition, a water management 281 district must receive approval from the Legislature before it 282 may incur additional bond indebtedness. 283 (3) PRELIMINARY BUDGET; AUTHORITY GRANTED.— 284 (a) Each water management district shall use the 285 preliminary budget as reviewed, and as may be amended, by the 286 Legislature pursuant to this section and s. 373.503 as the basis 287 for developing the tentative budget for the next fiscal year as 288 provided in s. 373.536(5). 289 (b) The Legislature’s action pursuant to subsection (2), 290 the approval pursuant to paragraph (2)(b), or the action by the 291 Governor or Legislative Budget Commission pursuant to the 292 provisions of s. 373.536(4) and (5) constitutes the only 293 authority for a district to fund proposed expenditures for the 294 next fiscal year. A district may not include in its tentative 295 budget or expend any funds from any source for its programs and 296 activities during the next fiscal year without such 297 authorization. 298 Section 3. Subsections (4), (5), and (6) of section 299 373.536, Florida Statutes, are amended to read: 300 373.536 District budget and hearing thereon.— 301 (4) BUDGET CONTROLS; FINANCIAL INFORMATION.— 302 (a) The final adopted budget for the district iswill303thereupon bethe operating and fiscal guide for the district for 304 the ensuing year; however, transfers of funds may be made within 305 the budget by action of the governing board at a public meeting 306 of the governing board. Budget amendments greater than $1 307 million must be reviewed and approved by the Executive Office of 308 the Governor. The Executive Office of the Governor shall provide 309 to the Legislative Budget Commission notice of such approval. 310 (b) The district shall control its budget, at a minimum, by 311 funds and shall provide to the Executive Office of the Governor 312 for approval a description of its budget control mechanisms. 313 (c) IfShouldthe district receivesreceiveunanticipated 314 funds after the adoption of the final budget, the final budget 315 may be amended, following review and approval by the Executive 316 Office of the Governor, by including such funds, ifso long as317 notice of intention to amend is provided to the Legislative 318 Budget Commission and is published in the Notice of the 319 governing board meeting at which the amendment will be 320 considered, pursuant to s. 120.525. The notice shall set forth a 321 summary of the proposed amendment. 322 (d)However,In the event of a disaster or of an emergency 323 arising to prevent or avert the same, the governing board is 324shallnotbelimited by the budget but may expendshall have325authority to apply suchfundsas may beavailable for the 326 disaster or emergencythereforor as may be procured for such 327 purpose. In such an event, the governing board shall notify the 328 Executive Office of the Governor and the Legislative Budget 329 Commission as soon as practical, but no later than 30 days after 330 the governing board’s action. 331 (e)(d)By September 1, 20122011, each water management 332 district shall provide a monthly financial statement in the form 333 and manner prescribed by the Department of Financial Services to 334 the district’sitsgoverning board and make such monthly 335 financial statement available for public access on its website. 336 (5) TENTATIVE BUDGET CONTENTS AND SUBMISSION; REVIEW AND 337 APPROVAL.— 338 (a) The Executive Office of the Governor may approve orand339the Legislative Budget Commission areauthorized todisapprove, 340 in whole or in part, the budget of each water management 341 district.The Executive Office of the Governor shall analyze342each budget as to the adequacy of fiscal resources available to343the district and the adequacy of district expenditures related344to water supply, including water resource development projects345identified in the district’s regional water supply plans; water346quality; flood protection and floodplain management; and natural347systems. This analysis shall be based on the particular needs348within each water management district in those four areas of349responsibility and shall be provided to the Legislative Budget350Commission.351 (b) The Executive Office of the Governor, the Legislative 352 Budget Commission, and the water management districts shall 353 develop a process to facilitate review and communication 354 regarding water management district tentative budgets, as 355 necessary. If the Legislative Budget Commission determines that 356 the tentative budget of a water management district has been 357 significantly modified from a preliminary budget reviewed by the 358 Legislature pursuant to s. 373.535, the Legislative Budget 359 Commission may review, and may disapprove, any part of the 360 tentative budget of the water management district. Unless 361 otherwise authorized by the Legislature in the preliminary 362 budget review conducted pursuant to s. 373.535, the Legislative 363 Budget Commission must approve any water management district 364 budget proposal that includes any of the following: 365 1. Except for land exchanges, any single purchase of land 366 in excess of $10 million. 367 2. Any cumulative purchase of land during a single fiscal 368 year in excess of $50 million. 369 3. Any issuance of debt on or after July 1, 2012. 370 4. Program expenditures as described in sub-subparagraphs 371 (d)4.d.-f. in excess of 20 percent of a district’s total annual 372 budget. 373 374 Written disapproval of any provision in the tentative budget 375 must be received by the district at least 5 business days before 376prior tothe final district budget adoption hearing conducted 377 under s. 200.065(2)(d). If written disapproval of any portion of 378 the budget is not received at least 5 business days beforeprior379tothe final budget adoption hearing, the governing board may 380 proceed with final adoption. Any provision rejected by the 381 Executive Office of the Governor or the Legislative Budget 382 Commission mayshallnot be included in a district’s final 383 budget and may not be acted upon through any other means without 384 prior approval of the entity rejecting the provision. Upon 385 written request of the Governor or the Legislative Budget 386 Commission, the Chief Financial Officer shall withhold state 387 funds from a water management district that fails to comply with 388 these requirements. 389 (c) Each water management district shall, by August 1 of 390 each year, submit for review a tentative budget to the Governor, 391 the President of the Senate, the Speaker of the House of 392 Representatives, the Legislative Budget Commission, the 393 secretary of the department, and the governing body of each 394 county in which the district has jurisdiction or derives any 395 funds for the operations of the district. The tentative budget 396 must be posted on the water management district’s official 397 website at least 2 days before budget hearings held pursuant to 398 s. 200.065 or other law. 399 (d) The tentative budget must be based on the preliminary 400 budget as reviewed, and as may be amended, by the Legislature 401 pursuant to ss. 373.503 and 373.535 and must set forth the 402 proposed expenditures of the district, to which may be added an 403 amount to be held as reserve. The tentative budget must include, 404 but is not limited to, the following information for the 405 preceding fiscal year and the current fiscal year, and the 406 proposed amounts for the upcoming fiscal year, in a standard 407 format prescribed by the Executive Office of the Governor, in 408 consultation with the Legislature: 409 1. The estimated amount of funds remaining at the beginning 410 of the fiscal year which have been obligated for the payment of 411 outstanding commitments not yet completed. 412 2. The estimated amount of unobligated funds or net cash 413 balance on hand at the beginning of the fiscal year, an 414 accounting of the source, balance, and projected future use of 415 the unobligated funds, and the estimated amount of funds to be 416 raised by district taxes or received from other sources to meet 417 the requirements of the district. 418 3. The millage rates and the percentage increase above the 419 rolled-back rate, together with a summary of the reasons the 420 increase is required, and the percentage increase in taxable 421 value resulting from new construction within the district. 422 4. The salaries and benefits, expenses, operating capital 423 outlay, number of authorized positions, and other personal 424 services for the following program areas of the district: 425 a. Water resource planning and monitoring; 426 b. Land acquisition, restoration, and public works; 427 c. Operation and maintenance of works and lands; 428 d. Regulation; 429 e. Outreach for which the information provided must contain 430 a full description and accounting of expenditures for water 431 resources education; public information and public relations, 432 including public service announcements and advertising in any 433 media; and lobbying activities related to local, regional, state 434 and federal governmental affairs, whether incurred by district 435 staff or through contractual services; and 436 f. Management and administration. 437 438 In addition to the program areas reported by all water 439 management districts, the South Florida Water Management 440 District shall include in its budget document separate sections 441 on all costs associated with the Everglades Construction Project 442 and the Comprehensive Everglades Restoration Plan. 443 5. The total estimated amount in the district budget for 444 each area of responsibility listed in subparagraph 4. and for 445 water resource, water supply, and alternative water supply 446 development projects identified in the district’s regional water 447 supply plans. 448 6. A description of each new, expanded, reduced, or 449 eliminated program. 450 7. The funding sources, including, but not limited to, ad 451 valorem taxes, Surface Water Improvement and Management Program 452 funds, other state funds, federal funds, and user fees and 453 permit fees for each program area. 454 (e) The Executive Office of the Governor shall annually, on 455 or before December 15, file with the Legislature a report that 456 summarizes its review of the water management districts’ 457 tentative budgets and displays the adopted budget allocations by 458 program area. The report must identifythedistricts that are 459 not in compliance with the reporting requirements of this 460 section. State funds shall be withheld from a water management 461 district that fails to comply with these reporting requirements. 462 (6) FINAL BUDGET; ANNUAL AUDIT; CAPITAL IMPROVEMENTS PLAN; 463 WATER RESOURCE DEVELOPMENT WORK PROGRAM.— 464 (a) Each district must, by the date specified for each 465 item, furnish copies of the following documents to the Governor, 466 the President of the Senate, the Speaker of the House of 467 Representatives, the chairs of all legislative committees and 468 subcommittees having substantive or fiscal jurisdiction over the 469 districts, as determined by the President of the Senate or the 470 Speaker of the House of Representatives as applicable, the 471 secretary of the department, and the governing board of each 472 county in which the district has jurisdiction or derives any 473 funds for the operations of the district: 474 1. The adopted budget, to be furnished within 10 days after 475 its adoption. 476 2. A financial audit of its accounts and records, to be 477 furnished within 10 days after its acceptance by the governing 478 board. The audit must be conducted in accordance with the 479 provisions of s. 11.45 and the rules adopted thereunder. In 480 addition to the entities named above, the district must provide 481 a copy of the audit to the Auditor General within 10 days after 482 its acceptance by the governing board. 483 3. A 5-year capital improvements plan, to be included in 484 the consolidated annual report required by s. 373.036(7). The 485 plan must include expected sources of revenue for planned 486 improvements and must be prepared in a manner comparable to the 487 fixed capital outlay format set forth in s. 216.043. 488 4. A 5-year water resource development work program to be 489 furnished within 30 days after the adoption of the final budget. 490 The program must describe the district’s implementation strategy 491 and funding plan for the water resource, water supply, and 492 alternative water supply development componentscomponentof 493 each approved regional water supply plan developed or revised 494 under s. 373.709. The work program must address all the elements 495 of the water resource, water supply, and alternative water 496 supply development componentscomponentin the district’s 497 approved regional water supply plans and must identifywhich498 projects in the work program which will provide water;,explain 499 how each water resource, water supply, and alternative water 500 supply development project will produce additional water 501 available for consumptive uses;,estimate the quantity of water 502 to be produced by each project;,and provide an assessment of 503 the contribution of the district’s regional water supply plans 504 in providing sufficient water needed to timely meet the water 505 supply needs of existing and future reasonable-beneficial uses 506 for a 1-in-10-year drought event. 507 (b) Within 30 days after its submittal, the department 508 shall review the proposed work program and submit its findings, 509 questions, and comments to the district. The review must include 510 a written evaluation of the program’s consistency with the 511 furtherance of the district’s approved regional water supply 512 plans, and the adequacy of proposed expenditures. As part of the 513 review, the department shall give interested parties the 514 opportunity to provide written comments on each district’s 515 proposed work program. Within 45 days after receipt of the 516 department’s evaluation, the governing board shall state in 517 writing to the department which of the changes recommended in 518 the evaluation it will incorporate into its work program 519 submitted as part of the March 1 consolidated annual report 520 required by s. 373.036(7) or specify the reasons for not 521 incorporating the changes. The department shall include the 522 district’s responses in a final evaluation report and shall 523 submit a copy of the report to the Governor, the President of 524 the Senate, and the Speaker of the House of Representatives. 525 (c)(b)If any entity listed in paragraph (a) provides 526 written comments to the district regarding any document 527 furnished under this subsection, the district must respond to 528 the comments in writing and furnish copies of the comments and 529 written responses to the other entities. 530 (d)(c)The final adopted budget must be posted on the water 531 management district’s official website within 30 days after 532 adoption. 533 Section 4. This act shall take effect July 1, 2012.