Select Committee on Triumph Gulf Coastricksblog.biz/wp-content/uploads/2017/02/Triumph... · Triumph Gulf Coast Inc., may submit supplemental spending plans. • Upon recommendation

Select Committee on Triumph Gulf Coast

Richard Corcoran Speaker

February 9, 2017 4:00 PM - 6:00 PM

404 HOB

Jay Trumbull Chair

Select Committee on Triumph Gulf Coast Section by Section Summary of Draft Bill

Section 1: Amends s. 288.8012, F.S., to revise definitions, deleting the definitions of "earnings", "recovery fund" and references to "recovery fund."

Section 2: Amends s. 288.8013, F.S., in the following manner: • Deletes the authority of Triumph Gulf Coast, Inc., to create and administer the

Recovery Fund. • Provides for seventy-five percent of all payments to the State of Florida pursuant

to the "Settlement Agreement Between the Gulf States and the BP Entities with Respect to Economic and Other Claims Arising from the Deepwater Horizon Incident," dated October 5, 2015, to be immediately transferred from the General Revenue Fund to the Triumph Gulf Coast Trust Fund (created in a separate bill) within the Department of Economic Opportunity.

• Requires Triumph Gulf Coast, Inc., to establish a trust account at a federally insured financial institution to hold funds released to it from the Triumph Gulf Coast Trust Fund and make deposits and payments. Requires that interest earned in the trust account be deposited monthly into the Triumph Gulf Coast Trust Fund.

• Limits administrative costs to amounts appropriated for this purpose. • Limits the annual salary for any single employee or contracted staff to no more

than $130,000, and limits associated benefits to not more than thirty-five percent of salary.

• Requires Triumph Gulf Coast, Inc., to submit an annual report no later than December 30 of each year to the Governor, the President of the Senate, the Speaker of the House of Representatives, and the chair and vice chair of the Legislative Budget Commission. The annual report must include a spending plan that separately lists and describes all submitted projects and programs and reasons for preliminary approval or denial. To address unforeseen circumstances, Triumph Gulf Coast Inc., may submit supplemental spending plans.

• Upon recommendation by the Governor, the Legislative Budget Commission is authorized to approve or reject the submitted projects and programs recommended in the spending plan or supplemental spending plan in their entirety, or approve or reject each individual project or program recommended in the spending plan or supplemental spending plan.

• Upon approval by the Legislative Budget Commission, funds from the Triumph Gulf Coast Trust Fund for specific projects and programs in the spending plan or supplemental spending plan approved by the Legislative Budget Commission shall be released to Triumph Gulf Coast, Inc.

• Triumph Gulf Coast, Inc., may transfer a portion of funds released for an approved project or program found to be in excess of that needed to complete the project or program to another approved project or program for which funds have been released in the same fiscal year where a deficiency is found to exist. The scope of a project or program may not be changed by any transfer of funds made pursuant to this subsection. A transfer of funds may not result in the initiation of a

project or program that has not been approved by the Legislative Budget Commission.

• The Department of Economic Opportunity is required to facilitate the processing of any budget amendments necessary for Legislative Budget Commission consideration.

Section 3: Amends s. 288.8014, F.S., to: • Make conforming changes to delete references to the Recovery Fund. • Extend from two years to six years after termination of appointment, the current

requirement that a member of the board of directors refrain from having any direct interest in any contract, franchise, privilege, project, program, or other benefit arising from an award by Triumph Gulf Coast, Inc.

• Authorize Triumph Gulf Coast, Inc., to develop and approve annual spending plans and supplemental spending plans.

• Revise the list of staff Triumph Gulf Coast, Inc., is required to retain to delete requirement to retain a financial advisor and an economic advisor. Leaves in place requirement to retain an independent certified public accountant and a legal advisor.

• Explicitly require, rather than directing Triumph Gulf Coast, Inc., to require, all employees of Triumph Gulf Coast, Inc., to comply with the code of ethics for public employees under part III of ch. 112, F.S.

• Extend from two years to six years after termination of appointment, the current requirement that retained staff refrain from having any direct interest in any contract, franchise, privilege, project, program, or other benefit arising from an award by Triumph Gulf Coast, Inc.

Section 4: Amends s. 288.8015, F.S., to delete reference to "earnings," since all interest earned will be deposited into the Triumph Gulf Coast Trust and subsequently appropriated to Triumph Gulf Coast, Inc.

Section 5: Amends s. 288.8017, F.S., to revise provisions governing awards Triumph Gulf Coast, Inc., is authorized to make. As revised, the legislation authorizes awards, subject to approval by the Legislative Budget Commission, for:

• Ad valorem tax rate reduction within disproportionately affected counties. • Local match requirements of s. 288.0655, F.S. (Rural Infrastructure Fund), for

projects in the disproportionately affected counties. • Public infrastructure projects that are shown to enhance economic recovery,

diversification, and enhancement of the disproportionately affected counties. • Grants to local governments in the disproportionately affected counties to

establish and maintain equipment and trained personnel for local action plans of response to respond to disasters, such as plans created for the Coastal Impacts Assistance Program.

• Grants to support programs that prepare students for future occupations and careers at K-20 institutions that have home campuses in the disproportionately affected counties.

The following currently authorized types of projects are deleted: • Ad valorem tax reduction within disproportionately affected counties. • Payment of impact fees imposed within disproportionately affected counties. • Administrative funding for economic development organizations located within

the disproportionately affected counties. • Local match requirements of ss. 288.0659, F.S., (Local Government Distressed

Area Matching Grant Program), 288.1045, F.S., (Qualified Defense Contractor and Space Flight Business Tax Refund Program), and 288.106 F.S.,(Tax Refund Program for Qualified Target Industry Businesses).

• Economic development projects in the disproportionately affected counties. • Grants to the tourism entity created under s. 288.1226, F.S., for the purpose of

advertising and promoting tourism, Fresh From Florida, or related content on behalf of one or all of the disproportionately affected counties.

Language directing priority to be given to projects meeting certain criteria is revised and criteria related to the types of projects deleted from the list of eligible projects are deleted.

Section 6: Repeals s. 377.43, F.S., which was passed during the 2011 Legislative Session and, for purposes of the eight disproportionately affected counties, was supplanted by the passage of the Gulf Coast Economic Corridor Act in 2013. The net effect is to repeal language that addresses the uses of the remaining 25 percent of funds received by the state from any governmental or private entity for damages caused by the Deepwater Horizon oil spill.

Section 7: Appropriates $299,000,000 in nonrecurring funds from the Triumph Gulf Coast Trust Fund under the qualified expenditure category to Triumph Gulf Coast, Inc., to fund awards for programs and projects included in the proposed spending plans submitted to the Governor, the President of the Senate, the Speaker of the House of Representatives, and the chair and vice chair of the Legislative Budget Commission.

Section 8: Appropriates $1,000,000 in nonrecurring funds from the Triumph Gulf Coast Trust Fund to Triumph Gulf Coast, Inc., to pay administrative costs.

Section 9. Provides that notwithstanding s. 216.301, F.S., and pursuant to s. 216.351, F .S., funds appropriated pursuant to this act may be expended through the 2018-2019 fiscal year.

Section 10: Provides that the amendments to s. 288.8014(4) in this act do not apply to any person unless the person was a member of the board of trustees of Triumph Gulf Coast, Inc., on or after July 1, 2017.

Section 11. Provides an effective date of upon becoming law.

FLORIDA H 0 U S E 0 F R E P R E S E N T A T I V E S

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BILL ORIGINAL

A bill to be entitled

An act relating to the GU'lf Coast Economic Corridor;

amending s. 288.8012, F.S.; repealing a definition;

amending s. 288.8013, F.S.; repealing the creation of

the Recovery Fund; providing for the transfer of

specified payments from the General Revenue Fund to

the Triumph Gulf Coast Trust Fund; revising provisions

related to the investment of funds; revising

provisions related to administrative costs; requiring

Triumph Gulf Coast, Inc., to submit an annual spending

plan to the Governor, the President of the Senate, the

Speaker of the House of Representatives, and the chair

and vice chair of the Legislative Budget Commission;

authorizing the submission of supplemental spending

plans; pursuant to the processes inch. 216, F.S., and

upon recommendation of the Governor, authorizing the

Legislative Budget Commission to approve or reject

projects and programs included in the submitted annual

spending plan or supplemental spending plan; upon

approval by the Legislative Budget Commission,

providing for the release of funds to Triumph Gulf

Coast, Inc.; authorizing Triumph Gulf Coast, Inc., to

transfer excess funds under specified circumstances;

directing the Department of Economic Opportunity to

facilitate the processing of necessary budget

Workshop Draft Page 1 of 18

CODING: Words stricken are deletions; words underlined are additions.

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amendmentsi amending s. 288.8014, F.S.i deleting

references to the Recovery Fundi deleting obsolete

languagei revising conflict of interest restrictions

imposed on board membersi authorizing Triumph Gulf

Coast, Inc., to develop and approve annual spending

plans and supplemental spending plansi revising the

list of staff Triumph Gulf Coast, Inc. is required to

retaini requiring all employees of Triumph Gulf Coast,

Inc., to comply with the code of ethics for public

employees under part III of ch. 112i revising conflict

of interest restrictions imposed on retained staffi

amending s. 288.8015, F.S.i making conforming changesi

amending s. 288.8017, F.S.i revising provisions

governing awards Triumph Gulf Coast, Inc. is

authorized to makei repealing s. 377.43, F.S.,

relating to the disbursement of funds received for

damages caused by the Deepwater Horizon oil spilli

providing appropriationsi providing an effective date.

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

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47 Section 1. Section 288.8012, Florida Statutes, is amended

48 to read:

49 288.8012 Definitions.-As used in ss. 288.80-288.8017, the

50 term:



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51 (1) "Awardee" means a person, organization, or local

52 government granted an award of funds as authorized in s.

53 288.8017 from the Recovery Fund for a project or program.

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54 (2) "Disproportionately affected county" means Bay County,

55 Escambia County, Franklin County, Gulf County, Okaloosa County,

56 Santa Rosa County, Walton County, or Wakulla County.

57 (3) "Earnings" means all the income generated by

58 investments and interest.

59 (4) "Recovery Fund" means a trust account established by

60 Triumph Gulf Coast, Inc., for the benefit of the

61 disproportionately affected counties.


63 to read:

64 288.8013 Triumph Gulf Coast, Inc.i Recovery Fund,

65 creationi fundingi investment.-

66 (1) There is created within the Department of Economic

67 Opportunity a nonprofit corporation, to be known as Triumph Gulf

68 Coast, Inc., which shall be registered, incorporated, organized,

69 and operated in compliance with chapter 617, and which is not a

70 unit or entity of state government. Triumph Gulf Coast, Inc.,

71 may receive, hold, invest, and administer the Recovery Fund in

72 support of this act. Triumph Gulf Coast, Inc., is a separate

73 budget entity and is not subject to control, supervision, or

74 direction by the Department of Economic Opportunity in any

75 manner, including, but not limited to, personnel, purchasing,



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76 transactions involving real or personal property, and budgetary

77 matters.

78 (2) Seventy-five percent of all payments to the State of

79 Florida pursuant to the "Settlement Agreement Between the Gulf

80 States and the BP Entities with Respect to Economic and Other

81 Claims Arising from the Deepwater Horizon Incident," dated

82 October 5, 2015, shall be immediately transferred from the

83 General Revenue Fund to the Triumph Gulf Coast Trust Fund within

84 the Department of Economic Opportunity. Triumph Gulf Coast,

85 Inc., must create and administer the Recovery Fund for the

86 benefit of the disproportionately affected counties. The

87 principal of the fund shall derive from 75 percent of all funds

88 recovered by the Attorney General for economic damage to the

89 state resulting from the Deepwater Horizon disaster, after

90 payment of reasonable and necessary attorney fees, costs, and

91 mepenses, including such attorney fees, costs, and mepenses

92 pursuant to s. 16. 0155.

93 (3) The Recovery Fund must be maintained as a long term

94 and stable source of revenue, which shall decline over a 30 year

95 period in equal amounts each year. Triumph Gulf Coast, Inc.,

96 shall establish a trust account at a federally insured financial

97 institution to hold funds released to it from the Triumph Gulf

98 Coast Trust Fund and make deposits and payments. Interest earned

99 in the trust account shall be deposited monthly into the Triumph

100 Gulf Coast Trust Fund. Barnings generated by investments and



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101 interest of the fund, plus the amount of principal available

102 each year, shall be available to make ar.vards pursuant to this

103 act and pay administrative costs. Earnings shall be accounted

104 for separately from principal funds set forth in subsection (2).

105 Administrative costs are limited to amounts appropriated for

106 this purpose 2.25 percent of the earnings in a calendar year.

107 Administrative costs include payment of investment fees, travel

108 and per diem expenses of board members, audits, salary or other

109 costs for employed or contracted staff, including required staff

110 under s. 288.8014(9), and other allowable costs. Under no

111 circumstance shall the annual salary for any single employee or

112 contracted staff exceed $130,000i associated benefits shall not

113 exceed thirty-five percent of salary. Any funds remaining in the

114 Recovery Fund after 30 years shall revert to the State Treasury.

115 (4) Triumph Gulf Coast, Inc., shall invest and reinvest

116 the principal of the Recovery Fund in accordance with s.

117 617.2104, in such a manner not to subject the funds to state or

118 federal taxes, and consistent 'vvith an investment policy

119 statement adopted by the corporation.

120 (a) The board of directors shall formulate an investment

121 policy governing the investment of the principal of the Recovery

122 Fund. The policy shall pertain to the types, kinds, or nature of

123 investment of any of the funds, and any limitations, conditions

124 or restrictions upon the methods, practices, or procedures for

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126 transactions, provided such policies shall not conflict with nor

127 be in derogation of any state constitutional provision or la'vJ.

128 The policy shall be formulated r,Jith the advice of the financial

129 advisor in consultation ·,Jith the State Board of Administration.

130 (b) Triumph Gulf Coast, Inc., must competitively procure

131 one or more money managers, under the advice of the financial

132 advisor in consultation ·,Jith the State Board of Administration,

133 to invest the principal of the Recovery Fund. The applicant

134 manager or managers may not include representatives from the

135 financial institution housing the trust account for the Recovery

136 Fund. The applicant manager or managers must present a plan to

13 7 invest the Recovery Fund to mmeimiZ'le earnings ··vhile prioritiEing

138 the preservation of Recovery Fund principal. Any agreement '•Jith

13 9 a money manager must be revimv'Cd by Triumph Gulf Coast, Inc. ,

140 for continuance at least every 5 years. Plans should include

141 investment in technology and grmJth businesses domiciled in, or

142 that '•Jill be domiciled in, this state or businesses ·,;hose

143 principal address is in this state.

144 (e) Costs and fees for investment services shall be

145 deducted from the earnings as administrative costs. Fees for

146 investment services shall be no greater than 150 basis points.

147 (d) Annually, Triumph Gulf Coast, Inc., shall cause an

148 audit to be conducted of the investment of the Recovery Fund by

149 the independent certified public accountant retained in s.

150 288.8014. The mcpense of such audit shall be paid from earnings



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BILL ORIGINAL YEAR

151 for administrative purposes.

152 (4)+5+ Triumph Gulf Coast, Inc., shall report no later

153 than on June 30 and December 30 each year to the Governor, the

154 President of the Senate, and the Speaker of the House of

155 Representatives, and the chair and vice chair of the Legislative

156 Budget Commission on the financial status of the Recovery Fund

157 and ito investments, the established priorities and7 the project

158 and program selection process. The annual report shall include

159 a proposed spending plan that separately lists and describes7

160 including a list of all submitted projects and programs and

161 reasons for preliminary approval or denial,n and the status of

162 all approved awards. For the purpose of addressing unforeseen

163 circumstances, Triumph Gulf Coast Inc., may submit supplemental

164 spending plans to the Governor, the President of the Senate, the

165 Speaker of the House of Representatives, and the chair and vice

166 chair of the Legislative Budget Commission.

167 (6) Pursuant to the processes described in chapter 216,

168 and upon recommendation by the Governor, the Legislative Budget

169 Commission is authorized to approve or reject the submitted

170 projects and programs recommended in the spending plan or

171 supplemental spending plan in their entirety, or approve or

172 reject each individual project or program recommended in the

173 spending plan or supplemental spending plan. Upon approval by

174 the Legislative Budget Commission, funds from the Triumph Gulf

175 Coast Trust Fund for specific projects and programs in the



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176 spending plan or supplemental spending plan approved by the

177 Legislative Budget Commission shall be released to Triumph Gulf

178 Coast, Inc. Triumph Gulf Coast, Inc., may transfer a portion of

179 funds released for an approved project or program found to be in

180 excess of that needed to complete the project or program to

181 another approved project or program for which funds have been

182 released in the same fiscal year where a deficiency is found to

183 exist. The scope of a project or program may not be changed by

184 any transfer of funds made pursuant to this subsection. A

185 transfer of funds may not result in the initiation of a project

186 or program that has not been approved by the Legislative Budget

187 Commission. From their existing resources, the Department of

188 Economic Opportunity shall facilitate the processing of any

189 budget amendments necessary for Legislative Budget Commission

190 consideration.

191 (7)+G} The Auditor General shall conduct an operational

192 audit of the Recovery Fund and Triumph Gulf Coast, Inc. ,

193 annually. Triumph Gulf Coast, Inc., shall provide to the Auditor

194 General any detail or supplemental data required.

195 Section 3. Subsections (3), (4), (7), and (9) of section

196 288.8014, Florida Statutes, are amended to read:

197 288.8014 Triumph Gulf Coast, Inc.; organization; board of

198 directors.-

199 ( 3) Notwithstanding s. 20. 052 ( 4) (c) , each initial

200 appointment to the board of directors by the Board of Trustees



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201 of the State Board of Administration shall serve for a term that

202 ends 4 years after the Legislature appropriates funds to Triumph

203 Gulf Coast Trust, Inc. the Recovery Fund. To achieve staggered

204 terms among the members of the board, each initial appointment

205 to the board of directors by the President of the Senate and the

206 Speaker of the House of Representatives shall serve for a term

207 that ends 5 years after the Legislature appropriates funds to

208 Triumph Gulf Coast Trust, Inc. the Recovery Fund. Thereafter,

209 each member of the board of directors shall serve for a term of

210 4 years. A member is not eligible for reappointment to the

211 board, except, however, any member appointed to fill a vacancy

212 for a term of 2 years or less may be reappointed for an

213 additional term of 4 years. The initial appointments to the

214 board must be made by November 15, 2013. Vacancies on the board

215 of directors shall be filled by the officer who originally

216 appointed the member. A vacancy that occurs before the scheduled

217 expiration of the term of the member shall be filled for the

218 remainder of the unexpired term.

219 (4) The Legislature determines that it is in the public

220 interest for the members of the board of directors to be subject

221 to the requirements of ss. 112.313, 112.3135, and 112.3143,

222 notwithstanding the fact that the board members are not public

223 officers or employees. For purposes of those sections, the board

224 members shall be considered to be public officers or employees.

225 In addition to the postemployment restrictions of s. 112.313(9),



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226 a person appointed to the board of directors must agree to

227 refrain from having any direct interest in any contract,

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228 franchise, privilege, project, program, or other benefit arising

229 from an award by Triumph Gulf Coast, Inc., during the term of

230 his or her appointment and for ~ ~ years after the termination

231 of such appointment. It is a misdemeanor of the first degree,

232 punishable as provided ins. 775.082 or s. 775.083, for a person

233 to accept appointment to the board of directors in violation of

234 this subsection or to accept a direct interest in any contract,

235 franchise, privilege, project, program, or other benefit granted

236 by Triumph Gulf Coast, Inc., to an awardee within~~ years

237 after the termination of his or her service on the board.

238 Further, each member of the board of directors who is not

239 otherwise required to file financial disclosure under s. 8, Art.

240 II of the State Constitution or s. 112.3144 shall file

241 disclosure of financial interests under s. 112.3145.

242 (7) The board of directors shall meet at least quarterly,

243 upon the call of the chairperson or at the request of a majority

244 of the membership, to revimJ the Recovery Fund, establish and

245 review priorities for economic recovery, diversification, and

246 enhancement of the tn disproportionately affected counties, and

247 develop and approve the annual spending plan and any

248 supplemental spending plan required under s. 288.8013 determine

249 use of the earnings available. A majority of the members of the

250 board of directors constitutes a quorum. Members may not vote by

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251 proxy.

252 (9) (a) Triumph Gulf Coast, Inc., is permitted to hire or

253 contract for all staff necessary to the proper execution of its

254 powers and duties to implement this act. The corporation is

255 required to retain:

256 1. An independent certified public accountant licensed in

257 this state pursuant to chapter 473 to inspect the records of and

258 to annually audit the expenditure of funds the earnings and

259 available principal disbursed by Triumph Gulf Coast, Inc.

260 2. An independent financial advisor to assist Triumph Gulf

261 Coast, Inc., in the development and implementation of a

262 strategic plan consistent with the requirements of this act.

263 3. An economic advisor who ·.:ill assist in the arymrd

264 process, including the development of priorities, allocation

265 decisions, and the application and process, will assist the

266 board in determining eligibility of a·.mrd applications and the

267 evaluation and scoring of applications, and will assist in the

268 development of arv:ard documentation.

269 2.~ A legal advisor with expertise in not-for-profit

270 investing and contracting and who is a member of The Florida Bar

271 to assist with contracting and carrying out the intent of this

272 act.

273 (b) All Triumph Gulf Coast, Inc., shall require all

274 employees of the corporation shall ~ comply with the code of

275 ethics for public employees under part III of chapter 112.



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276 Retained staff under paragraph (a) must agree to refrain from

277 having any direct interest in any contract, franchise,

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278 privilege, project, program, or other benefit arising from an

279 award by Triumph Gulf Coast, Inc., during the term of his or her

280 appointment and for 6 ~ years after the termination of such

281 appointment.

282 (c) Retained staff under paragraph (a) shall be available

283 to consult r,dth the board of directors and shall attend meetings

284 of the board of directors. These individuals shall not be

285 permitted to vote on any matter before the board.


287 to read:

288 288.8015 Board of directors; powers.-In addition to the

289 powers and duties prescribed in chapter 617 and the articles and

290 bylaws adopted in compliance with that chapter, the board of

291 directors may:

292 (1) Make and enter into contracts and other instruments

293 necessary or convenient for the exercise of its powers and

294 functions.

295 (2) Make expenditures including any necessary

296 administrative expenditure from earnings consistent with its

297 powers.

298 (3) Adopt, use, and alter a common corporate seal.

299 Notwithstanding any provision of chapter 617 to the contrary,

300 this seal is not required to contain the words "corporation not



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301 for profit."

302 (4) Adopt, amend, and repeal bylaws, not inconsistent with

303 the powers granted to it or the articles of incorporation, for

304 the administration of the activities of Triumph Gulf Coast,

305 Inc., and the exercise of its corporate powers.

306 (5) Use the state seal, notwithstanding the provisions of

307 s. 15.03, when appropriate, for standard corporate identity

308 applications. Use of the state seal is not intended to replace

309 use of a corporate seal as provided in this section.

310

311 Under no circumstances may the credit of the State of Florida be

312 pledged on behalf of Triumph Gulf Coast, Inc.


314 to read:

315 288.8017 Awards.-

316 (1) Subject to approval by the Legislative Budget

317 Commission, Triumph Gulf Coast, Inc., shall make awards from

318 available appropriations earnings and principal derived under s.

319 288.8013(2) to projects or programs that meet the priorities for

320 economic recovery, diversification, and enhancement of the

321 disproportionately affected counties, notwithstanding s. 377.43.

322 Awards may be provided for:

323 (a) Ad valorem tax rate reduction within

324 disproportionately affected counties;

325 (b) Payment of impact fees adopted pursuant to s.



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326 163.31801 and imposed ·.dthin disproportionately affected

327 counties,

328 (e) Administrative funding for economic development

329 organi~ations located within the disproportionately affected

330 counties,

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331 (b)+d+ Local match requirements of ss. 288.0655, 288.0659,

332 288.1045, and 288.106 for projects in the disproportionately

333 affected counties;

334 (e) Economic development projects in the

335 disproportionately affected counties,

336 (c)~ Public infrastructure projects that are shown to

337 enhance economic recovery, diversification, and enhancement of

338 development in the disproportionately affected counties;

339 (d)~ Grants to local governments in the

340 disproportionately affected counties to establish and maintain

341 equipment and trained personnel for local action plans of,

342 response to respond to disasters, such as plans created for the

343 Coastal Impacts Assistance Program; and

344 (e) -fh+- Grants to support programs of meeellenee that

345 prepare students for future occupations and careers at K-20

346 institutions that have home campuses in the disproportionately

347 affected counties. Eligible programs include those that increase

348 students' technology skills and knowledge; encourage industry

349 certifications; provide rigorous, alternative pathways for

350 students to meet high school graduation requirements; strengthen



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351 career readiness initiatives; fund high-demand programs of

352 emphasis at the bachelor's and master's level designated by the

353 Board of Governors; and, similar to or the same as talent

354 retention programs created by the Chancellor of the State

355 University System and the Commission of Education, encourage

356 students with interest or aptitude for science, technology,

357 engineering, mathematics, and medical disciplines to pursue

358 postsecondary education at a state university within the

359 disproportionately affected counties~; and

360 (i) Grants to the tourism entity created under s. 288.1226

361 for the purpose of advertising and promoting tourism, Fresh From

362 Florida, or related content on behalf of one or all of the


364 (2) Triumph Gulf Coast, Inc., shall establish an

365 application procedure for awards and a scoring process for the

366 selection of projects and programs that have the potential to

367 generate increased economic activity in the disproportionately

368 affected counties, giving priority to projects and programs

369 that:

370 (a) Generate maximum estimated economic benefits, based on

371 tools and models not generally employed by economic input-output

372 analyses, including cost-benefit, return-on-investment, or

373 dynamic scoring techniques to determine how the long-term

374 economic growth potential of the disproportionately affected

375 counties may be enhanced by the investment.

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376 (b) Increase household income in the disproportionately

377 affected counties above national average household income.

3 7 8 (c) Expand high grmvth industries or establish nm.· high

3 7 9 grmvth industries in the region.

380 1. Industries that are supported must have strong grmvth

381 potential in the disproportionately affected counties.

3 82 2. An industry's grm.·th potential is defined based on a

383 detailed review of the current industry trends nationally and

384 the necessary supporting asset base for that industry in the

385 disproportionately affected counties region.

386 (c)+S+ Leverage or further enhance key regional assets,

387 including educational institutions, research facilities, and

388 military bases.

389 (d)+e} Partner with local governments to provide funds,

390 infrastructure, land, or other assistance for the project.

391 (f) Have investment commitments from private equity or

392 private venture capital funds.

393 (g) Provide or encourage seed stage investments in start

394 up companies.

395 (h) Provide advice and technical assistance to companies

396 on restructuring existing management, operations, or production

397 to attract advantageous business opportunities.

398 (e)~ Benefit the environment in addition to the economy.

399 ill +:i+ Provide outcome measures for programs of mecellence

400 support, including terms of intent and metrics.



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401 J3l+*+ Partner with K-20 educational institutions or

402 school districts located within the disproportionately affected

403 counties.

404 (l) Partner with convention and visitor bureaus, tourist

405 development councils, or chambers of commerce located ·.vithin the


4 0 7 ( 3) Triumph Gulf Coast, Inc . , may make avvards as

408 applications are received or may establish application periods

409 for selection. N•vards may not be used to finance 100 percent of

410 any project or program. Triumph Gulf Coast, Inc., may require a

411 one-to-one private-sector match or higher for an award, if

412 applicable and deemed prudent by the board of directors. An

413 awardee may not receive all of the earnings or available funds

414 principal in any given year.

415 (4) A contract executed by Triumph Gulf Coast, Inc., with

416 an awardee must include provisions requiring a performance

417 report on the contracted activities, must account for the proper

418 use of funds provided under the contract, and must include

419 provisions for recovery of awards in the event the award was

420 based upon fraudulent information or the awardee is not meeting

421 the performance requirements of the award. Awardees must

422 regularly report to Triumph Gulf Coast, Inc., the status of the

423 project or program on a schedule determined by the corporation.

424

425

Section 6. Section 377.43, Florida Statutes, is repealed.

Section 7. Effective July 1, 2017, the sum of $299,000,000



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BILL ORIGINAL YEAR

426 in nonrecurring funds from the Triumph Gulf Coast Trust Fund is

427 appropriated under the qualified expenditure category to Triumph

428 Gulf Coast, Inc., to fund awards for programs and projects

429 included in the proposed spending plans submitted to the

430 Governor, the President of the Senate, the Speaker of the House

431 of Representatives, and the chair and vice chair of the

432 Legislative Budget Commission.

433 Section 8. The sum of $1,000,000 in nonrecurring funds

434 from the Triumph Gulf Coast Trust Fund is appropriated to

435 Triumph Gulf Coast Inc., to pay administrative costs.

436 Section 9. Notwithstanding s. 216.301, and pursuant to s.

437 216.351, funds appropriated pursuant to this act may be expended

438 through the 2018-2019 fiscal year.

439 Section 10. The revision to s. 288.8014(4), applies only to

440 persons who join the board of trustees of Triumph Gulf Coast,

441 Inc., on or after July 1, 2017.

442 Section 11. This act shall take effect upon becoming law.



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Select Committee on Triumph Gulf Coast Section by Section Summary of Draft Trust Fund Bill

Section 1: Creates s. 288.80125, F.S., to create the Triumph Gulf Coast Trust Fund within the Department of Economic Opportunity and provides:

• That the trust fund is established as a depository for funds held in General Revenue resulting from the "Settlement Agreement Between the Gulf Coast States and the BP Entities with Respect to Economic and Other Claims Arising from the Deepwater Horizon Incident," dated October 5, 2015.

• Funds deposited in the trust fund must be used in conformity with the requirements of s. 288.8017, F .S ..

• Pursuant to Florida constitutional requirements, the trust fund will terminate on July 1, 2021, unless re-created by the Legislature.

Section 2. Provides an effective date of upon becoming law, contingent on the passage of specified legislation and a three-fifths vote of the membership of each house of the Legislature.


BILL ORIGINAL

1 A bill to be entitled

2 An act relating to trust funds; creating the Triumph

3 Gulf Coast Trust Fund within the Department of

4 Economic Opportunity; providing for the purpose of the

5 trust fund and sources of funds; providing for future

6 review and termination or re-creation of the trust

7 fund; providing an effective date.

8

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

10

YEAR

11 Section 1. Section 288.80125, Florida Statutes, is created

12 to read:

13 288.80125 Triumph Gulf Coast Trust Fund.-

14 (1) The Triumph Gulf Coast Trust Fund is created within

15 the Department of Economic Opportunity. The trust fund is

16 established for use as a depository for funds transferred from

17 the General Revenue Fund from the "Settlement Agreement Between

18 the Gulf States and the BP Entities with Respect to Economic and

19 Other Claims Arising from the Deepwater Horizon Incident," dated

20 October 5, 2015 pursuant to s. 288.8013.

21 (2) Funds from the trust fund shall be used for the

22 purposes described ins. 288.8017.

23 (3) In accordance with s. 19(f) (2), Art. III of the State

24 Constitution, the Triumph Gulf Coast Trust Fund within the

25 Department of Economic Opportunity shall, unless terminated

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BILL ORIGINAL YEAR

26 sooner, be terminated on July 1, 2021.

27 Section 2. This act shall take effect upon becoming law if

28 PCB xx or similar legislation is adopted in the same legislative

29 session or an extension thereof and becomes law but this act

30 shall not take effect unless it is enacted by a three-fifths

31 vote of the membership of each house of the Legislature.

Page 2 of 2 workshop draft trust fund


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Documents

Select Committee on Triumph Gulf Coastricksblog.biz/wp-content/uploads/2017/02/Triumph... · Triumph Gulf Coast Inc., may submit supplemental spending plans. • Upon recommendation