Florida Senate - 2015                       CS for CS for SB 824
       
       
        
       By the Committees on Governmental Oversight and Accountability;
       and Community Affairs; and Senator Evers
       
       
       
       
       585-03186-15                                           2015824c2
    1                        A bill to be entitled                      
    2         An act relating to public-private partnerships;
    3         transferring, renumbering, and amending s. 287.05712,
    4         F.S.; revising definitions; deleting provisions
    5         creating the Public-Private Partnership Guidelines
    6         Task Force; requiring a private entity that submits an
    7         unsolicited proposal to pay an initial application fee
    8         and additional amounts if the fee does not cover
    9         certain costs; specifying payment methods; authorizing
   10         a responsible public entity to alter the statutory
   11         timeframe for accepting proposals for a qualifying
   12         project under certain circumstances; deleting a
   13         provision that requires approval of the local
   14         governing body before a school board enters into a
   15         comprehensive agreement; requiring a responsible
   16         public entity to include a design criteria package in
   17         a solicitation; specifying requirements for the design
   18         criteria package; revising the conditions necessary
   19         for a responsible public entity to approve a
   20         comprehensive agreement; deleting provisions relating
   21         to notice to affected local jurisdictions; providing
   22         that fees imposed by a private entity must be applied
   23         as set forth in the comprehensive agreement;
   24         restricting provisions in financing agreements that
   25         could result in a responsible public entity’s losing
   26         ownership of real or tangible personal property;
   27         deleting a provision that required a responsible
   28         public entity to comply with specific financial
   29         obligations; providing duties of the Department of
   30         Management Services; revising provisions relating to
   31         construction of the act; providing an effective date.
   32          
   33  Be It Enacted by the Legislature of the State of Florida:
   34  
   35         Section 1. Section 287.05712, Florida Statutes, is
   36  transferred, renumbered as section 255.065, Florida Statutes,
   37  and amended to read:
   38         255.065 287.05712 Public-private partnerships.—
   39         (1) DEFINITIONS.—As used in this section, the term:
   40         (a) “Affected local jurisdiction” means a county,
   41  municipality, or special district in which all or a portion of a
   42  qualifying project is located.
   43         (b) “Develop” means to plan, design, finance, lease,
   44  acquire, install, construct, or expand.
   45         (c) “Fees” means charges imposed by the private entity of a
   46  qualifying project for use of all or a portion of such
   47  qualifying project pursuant to a comprehensive agreement.
   48         (d) “Lease payment” means any form of payment, including a
   49  land lease, by a public entity to the private entity of a
   50  qualifying project for the use of the project.
   51         (e) “Material default” means a nonperformance of its duties
   52  by the private entity of a qualifying project which jeopardizes
   53  adequate service to the public from the project.
   54         (f) “Operate” means to finance, maintain, improve, equip,
   55  modify, or repair.
   56         (g) “Private entity” means any natural person, corporation,
   57  general partnership, limited liability company, limited
   58  partnership, joint venture, business trust, public benefit
   59  corporation, nonprofit entity, or other private business entity.
   60         (h) “Proposal” means a plan for a qualifying project with
   61  detail beyond a conceptual level for which terms such as fixing
   62  costs, payment schedules, financing, deliverables, and project
   63  schedule are defined.
   64         (i) “Qualifying project” means:
   65         1. A facility or project that serves a public purpose,
   66  including, but not limited to, any ferry or mass transit
   67  facility, vehicle parking facility, airport or seaport facility,
   68  rail facility or project, fuel supply facility, oil or gas
   69  pipeline, medical or nursing care facility, recreational
   70  facility, sporting or cultural facility, or educational facility
   71  or other building or facility that is used or will be used by a
   72  public educational institution, or any other public facility or
   73  infrastructure that is used or will be used by the public at
   74  large or in support of an accepted public purpose or activity;
   75         2. An improvement, including equipment, of a building that
   76  will be principally used by a public entity or the public at
   77  large or that supports a service delivery system in the public
   78  sector;
   79         3. A water, wastewater, or surface water management
   80  facility or other related infrastructure; or
   81         4. Notwithstanding any provision of this section, for
   82  projects that involve a facility owned or operated by the
   83  governing board of a county, district, or municipal hospital or
   84  health care system, or projects that involve a facility owned or
   85  operated by a municipal electric utility, only those projects
   86  that the governing board designates as qualifying projects
   87  pursuant to this section.
   88         (j) “Responsible public entity” means a county,
   89  municipality, school district, special district, Florida College
   90  System institution, or state university board, or any other
   91  political subdivision of the state; a public body corporate and
   92  politic; or a regional entity that serves a public purpose and
   93  is authorized to develop or operate a qualifying project.
   94         (k) “Revenues” means the income, earnings, user fees, lease
   95  payments, or other service payments relating to the development
   96  or operation of a qualifying project, including, but not limited
   97  to, money received as grants or otherwise from the Federal
   98  Government, a public entity, or an agency or instrumentality
   99  thereof in aid of the qualifying project.
  100         (l) “Service contract” means a contract between a
  101  responsible public entity and the private entity which defines
  102  the terms of the services to be provided with respect to a
  103  qualifying project.
  104         (2) LEGISLATIVE FINDINGS AND INTENT.—The Legislature finds
  105  that there is a public need for the construction or upgrade of
  106  facilities that are used predominantly for public purposes and
  107  that it is in the public’s interest to provide for the
  108  construction or upgrade of such facilities.
  109         (a) The Legislature also finds that:
  110         1. There is a public need for timely and cost-effective
  111  acquisition, design, construction, improvement, renovation,
  112  expansion, equipping, maintenance, operation, implementation, or
  113  installation of projects serving a public purpose, including
  114  educational facilities, transportation facilities, water or
  115  wastewater management facilities and infrastructure, technology
  116  infrastructure, roads, highways, bridges, and other public
  117  infrastructure and government facilities within the state which
  118  serve a public need and purpose, and that such public need may
  119  not be wholly satisfied by existing procurement methods.
  120         2. There are inadequate resources to develop new
  121  educational facilities, transportation facilities, water or
  122  wastewater management facilities and infrastructure, technology
  123  infrastructure, roads, highways, bridges, and other public
  124  infrastructure and government facilities for the benefit of
  125  residents of this state, and that a public-private partnership
  126  has demonstrated that it can meet the needs by improving the
  127  schedule for delivery, lowering the cost, and providing other
  128  benefits to the public.
  129         3. There may be state and federal tax incentives that
  130  promote partnerships between public and private entities to
  131  develop and operate qualifying projects.
  132         4. A procurement under this section serves the public
  133  purpose of this section if such procurement facilitates the
  134  timely development or operation of a qualifying project.
  135         (b) It is the intent of the Legislature to encourage
  136  investment in the state by private entities; to facilitate
  137  various bond financing mechanisms, private capital, and other
  138  funding sources for the development and operation of qualifying
  139  projects, including expansion and acceleration of such financing
  140  to meet the public need; and to provide the greatest possible
  141  flexibility to public and private entities contracting for the
  142  provision of public services.
  143         (3) PUBLIC-PRIVATE PARTNERSHIP GUIDELINES TASK FORCE.—
  144         (a) There is created the Partnership for Public Facilities
  145  and Infrastructure Act Guidelines Task Force for the purpose of
  146  recommending guidelines for the Legislature to consider for
  147  purposes of creating a uniform process for establishing public
  148  private partnerships, including the types of factors responsible
  149  public entities should review and consider when processing
  150  requests for public-private partnership projects pursuant to
  151  this section.
  152         (b) The task force shall be composed of seven members, as
  153  follows:
  154         1. The Secretary of Management Services or his or her
  155  designee, who shall serve as chair of the task force.
  156         2. Six members appointed by the Governor, as follows:
  157         a. One county government official.
  158         b. One municipal government official.
  159         c. One district school board member.
  160         d. Three representatives of the business community.
  161         (c) Task force members must be appointed by July 31, 2013.
  162  By August 31, 2013, the task force shall meet to establish
  163  procedures for the conduct of its business and to elect a vice
  164  chair. The task force shall meet at the call of the chair. A
  165  majority of the members of the task force constitutes a quorum,
  166  and a quorum is necessary for the purpose of voting on any
  167  action or recommendation of the task force. All meetings shall
  168  be held in Tallahassee, unless otherwise decided by the task
  169  force, and then no more than two such meetings may be held in
  170  other locations for the purpose of taking public testimony.
  171  Administrative and technical support shall be provided by the
  172  department. Task force members shall serve without compensation
  173  and are not entitled to reimbursement for per diem or travel
  174  expenses.
  175         (d) In reviewing public-private partnerships and developing
  176  recommendations, the task force must consider:
  177         1. Opportunities for competition through public notice and
  178  the availability of representatives of the responsible public
  179  entity to meet with private entities considering a proposal.
  180         2. Reasonable criteria for choosing among competing
  181  proposals.
  182         3. Suggested timelines for selecting proposals and
  183  negotiating an interim or comprehensive agreement.
  184         4. If an accelerated selection and review and documentation
  185  timelines should be considered for proposals involving a
  186  qualifying project that the responsible public entity deems a
  187  priority.
  188         5. Procedures for financial review and analysis which, at a
  189  minimum, include a cost-benefit analysis, an assessment of
  190  opportunity cost, and consideration of the results of all
  191  studies and analyses related to the proposed qualifying project.
  192         6. The adequacy of the information released when seeking
  193  competing proposals and providing for the enhancement of that
  194  information, if deemed necessary, to encourage competition.
  195         7. Current exemptions from public records and public
  196  meetings requirements, if any changes to those exemptions are
  197  necessary, or if any new exemptions should be created in order
  198  to maintain the confidentiality of financial and proprietary
  199  information received as part of an unsolicited proposal.
  200         8. Recommendations regarding the authority of the
  201  responsible public entity to engage the services of qualified
  202  professionals, which may include a Florida-registered
  203  professional or a certified public accountant, not otherwise
  204  employed by the responsible public entity, to provide an
  205  independent analysis regarding the specifics, advantages,
  206  disadvantages, and long-term and short-term costs of a request
  207  by a private entity for approval of a qualifying project, unless
  208  the governing body of the public entity determines that such
  209  analysis should be performed by employees of the public entity.
  210         (e) The task force must submit a final report of its
  211  recommendations to the Governor, the President of the Senate,
  212  and the Speaker of the House of Representatives by July 1, 2014.
  213         (f) The task force is terminated December 31, 2014. The
  214  establishment of guidelines pursuant to this section or the
  215  adoption of such guidelines by a responsible public entity is
  216  not required for such entity to request or receive proposals for
  217  a qualifying project or to enter into a comprehensive agreement
  218  for a qualifying project. A responsible public entity may adopt
  219  guidelines so long as such guidelines are not inconsistent with
  220  this section.
  221         (3)(4) PROCUREMENT PROCEDURES.—A responsible public entity
  222  may receive unsolicited proposals or may solicit proposals for
  223  qualifying projects and may thereafter enter into a
  224  comprehensive an agreement with a private entity, or a
  225  consortium of private entities, for the building, upgrading,
  226  operating, ownership, or financing of facilities.
  227         (a)1. The responsible public entity may establish a
  228  reasonable application fee for the submission of an unsolicited
  229  proposal under this section.
  230         2. A private entity that submits an unsolicited proposal to
  231  a responsible public entity must concurrently pay an initial
  232  application fee, as determined by the responsible public entity.
  233  Payment must be made by cash, cashier’s check, or other
  234  noncancelable instrument. Personal checks may not be accepted.
  235         3. If the initial application fee does not cover the
  236  responsible public entity’s costs to evaluate the unsolicited
  237  proposal, the responsible public entity must request in writing
  238  the additional amounts required. The private entity must pay the
  239  requested additional amounts within 30 days after receipt of the
  240  notice. The responsible public entity may stop its review of the
  241  unsolicited proposal if the private entity fails to pay the
  242  additional fee.
  243         4. If the responsible public entity does not evaluate the
  244  unsolicited proposal, the responsible public entity must return
  245  the application fee The fee must be sufficient to pay the costs
  246  of evaluating the proposal. The responsible public entity may
  247  engage the services of a private consultant to assist in the
  248  evaluation.
  249         (b) The responsible public entity may request a proposal
  250  from private entities for a qualifying public-private project
  251  or, if the responsible public entity receives an unsolicited
  252  proposal for a qualifying public-private project and the
  253  responsible public entity intends to enter into a comprehensive
  254  agreement for the project described in the such unsolicited
  255  proposal, the responsible public entity shall publish notice in
  256  the Florida Administrative Register and a newspaper of general
  257  circulation at least once a week for 2 weeks stating that the
  258  responsible public entity has received a proposal and will
  259  accept other proposals for the same project. The timeframe
  260  within which the responsible public entity may accept other
  261  proposals shall be determined by the responsible public entity
  262  on a project-by-project basis based upon the complexity of the
  263  qualifying project and the public benefit to be gained by
  264  allowing a longer or shorter period of time within which other
  265  proposals may be received; however, the timeframe for allowing
  266  other proposals must be at least 21 days, but no more than 120
  267  days, after the initial date of publication. If approved by a
  268  majority vote of the responsible public entity’s governing body,
  269  the responsible public entity may alter the timeframe for
  270  accepting proposals to more adequately suit the needs of the
  271  qualifying project. A copy of the notice must be mailed to each
  272  local government in the affected area.
  273         (c) If the responsible public entity solicits proposals
  274  under this section, the solicitation must include a design
  275  criteria package prepared by an architect, engineer, or
  276  landscape architect licensed in this state which is sufficient
  277  to allow private entities to prepare a bid or a response. The
  278  design criteria package must specify performance-based criteria
  279  for the project, including the legal description of the site,
  280  with survey information; interior space requirements; material
  281  quality standards; schematic layouts and conceptual design
  282  criteria for the project; cost or budget estimates; design and
  283  construction schedules; and site development and utility
  284  requirements A responsible public entity that is a school board
  285  may enter into a comprehensive agreement only with the approval
  286  of the local governing body.
  287         (d) Before approving a comprehensive agreement approval,
  288  the responsible public entity must determine that the proposed
  289  project:
  290         1. Is in the public’s best interest.
  291         2. Is for a facility that is owned by the responsible
  292  public entity or for a facility for which ownership will be
  293  conveyed to the responsible public entity.
  294         3. Has adequate safeguards in place to ensure that
  295  additional costs or service disruptions are not imposed on the
  296  public in the event of material default or cancellation of the
  297  comprehensive agreement by the responsible public entity.
  298         4. Has adequate safeguards in place to ensure that the
  299  responsible public entity or private entity has the opportunity
  300  to add capacity to the proposed project or other facilities
  301  serving similar predominantly public purposes.
  302         5. Will be owned by the responsible public entity upon
  303  completion, expiration, or termination of the comprehensive
  304  agreement and upon payment of the amounts financed.
  305         (e) Before signing a comprehensive agreement, the
  306  responsible public entity must consider a reasonable finance
  307  plan that is consistent with subsection (9) (11); the qualifying
  308  project cost; revenues by source; available financing; major
  309  assumptions; internal rate of return on private investments, if
  310  governmental funds are assumed in order to deliver a cost
  311  feasible project; and a total cash-flow analysis beginning with
  312  the implementation of the project and extending for the term of
  313  the comprehensive agreement.
  314         (f) In considering an unsolicited proposal, the responsible
  315  public entity may require from the private entity a technical
  316  study prepared by a nationally recognized expert with experience
  317  in preparing analysis for bond rating agencies. In evaluating
  318  the technical study, the responsible public entity may rely upon
  319  internal staff reports prepared by personnel familiar with the
  320  operation of similar facilities or the advice of external
  321  advisors or consultants who have relevant experience.
  322         (4)(5) PROJECT APPROVAL REQUIREMENTS.—An unsolicited
  323  proposal from a private entity for approval of a qualifying
  324  project must be accompanied by the following material and
  325  information, unless waived by the responsible public entity:
  326         (a) A description of the qualifying project, including the
  327  conceptual design of the facilities or a conceptual plan for the
  328  provision of services, and a schedule for the initiation and
  329  completion of the qualifying project.
  330         (b) A description of the method by which the private entity
  331  proposes to secure the necessary property interests that are
  332  required for the qualifying project.
  333         (c) A description of the private entity’s general plans for
  334  financing the qualifying project, including the sources of the
  335  private entity’s funds and the identity of any dedicated revenue
  336  source or proposed debt or equity investment on behalf of the
  337  private entity.
  338         (d) The name and address of a person who may be contacted
  339  for additional information concerning the proposal.
  340         (e) The proposed user fees, lease payments, or other
  341  service payments over the term of a comprehensive agreement, and
  342  the methodology for and circumstances that would allow changes
  343  to the user fees, lease payments, and other service payments
  344  over time.
  345         (f) Additional material or information that the responsible
  346  public entity reasonably requests.
  347  
  348  Any pricing or financial terms included in an unsolicited
  349  proposal must be specific as to when the pricing or terms
  350  expire.
  351         (5)(6) PROJECT QUALIFICATION AND PROCESS.—
  352         (a) The private entity, or the applicable party or parties
  353  of the private entity’s team, must meet the minimum standards
  354  contained in the responsible public entity’s guidelines for
  355  qualifying professional services and contracts for traditional
  356  procurement projects.
  357         (b) The responsible public entity must:
  358         1. Ensure that provision is made for the private entity’s
  359  performance and payment of subcontractors, including, but not
  360  limited to, surety bonds, letters of credit, parent company
  361  guarantees, and lender and equity partner guarantees. For the
  362  components of the qualifying project which involve construction
  363  performance and payment, bonds are required and are subject to
  364  the recordation, notice, suit limitation, and other requirements
  365  of s. 255.05.
  366         2. Ensure the most efficient pricing of the security
  367  package that provides for the performance and payment of
  368  subcontractors.
  369         3. Ensure that provision is made for the transfer of the
  370  private entity’s obligations if the comprehensive agreement
  371  addresses termination upon is terminated or a material default
  372  of the comprehensive agreement occurs.
  373         (c) After the public notification period has expired in the
  374  case of an unsolicited proposal, the responsible public entity
  375  shall rank the proposals received in order of preference. In
  376  ranking the proposals, the responsible public entity may
  377  consider factors that include, but are not limited to,
  378  professional qualifications, general business terms, innovative
  379  design techniques or cost-reduction terms, and finance plans.
  380  The responsible public entity may then begin negotiations for a
  381  comprehensive agreement with the highest-ranked firm. If the
  382  responsible public entity is not satisfied with the results of
  383  the negotiations, the responsible public entity may terminate
  384  negotiations with the proposer and negotiate with the second
  385  ranked or subsequent-ranked firms, in the order consistent with
  386  this procedure. If only one proposal is received, the
  387  responsible public entity may negotiate in good faith, and if
  388  the responsible public entity is not satisfied with the results
  389  of the negotiations, the responsible public entity may terminate
  390  negotiations with the proposer. Notwithstanding this paragraph,
  391  the responsible public entity may reject all proposals at any
  392  point in the process until a contract with the proposer is
  393  executed.
  394         (d) The responsible public entity shall perform an
  395  independent analysis of the proposed public-private partnership
  396  which demonstrates the cost-effectiveness and overall public
  397  benefit before the procurement process is initiated or before
  398  the contract is awarded.
  399         (e) The responsible public entity may approve the
  400  development or operation of an educational facility, a
  401  transportation facility, a water or wastewater management
  402  facility or related infrastructure, a technology infrastructure
  403  or other public infrastructure, or a government facility needed
  404  by the responsible public entity as a qualifying project, or the
  405  design or equipping of a qualifying project that is developed or
  406  operated, if:
  407         1. There is a public need for or benefit derived from a
  408  project of the type that the private entity proposes as the
  409  qualifying project.
  410         2. The estimated cost of the qualifying project is
  411  reasonable in relation to similar facilities.
  412         3. The private entity’s plans will result in the timely
  413  acquisition, design, construction, improvement, renovation,
  414  expansion, equipping, maintenance, or operation of the
  415  qualifying project.
  416         (f) The responsible public entity may charge a reasonable
  417  fee to cover the costs of processing, reviewing, and evaluating
  418  the request, including, but not limited to, reasonable attorney
  419  fees and fees for financial and technical advisors or
  420  consultants and for other necessary advisors or consultants.
  421         (g) Upon approval of a qualifying project, the responsible
  422  public entity shall establish a date for the commencement of
  423  activities related to the qualifying project. The responsible
  424  public entity may extend the commencement date.
  425         (h) Approval of a qualifying project by the responsible
  426  public entity is subject to entering into a comprehensive
  427  agreement with the private entity.
  428         (7) NOTICE TO AFFECTED LOCAL JURISDICTIONS.—
  429         (a) The responsible public entity must notify each affected
  430  local jurisdiction by furnishing a copy of the proposal to each
  431  affected local jurisdiction when considering a proposal for a
  432  qualifying project.
  433         (b) Each affected local jurisdiction that is not a
  434  responsible public entity for the respective qualifying project
  435  may, within 60 days after receiving the notice, submit in
  436  writing any comments to the responsible public entity and
  437  indicate whether the facility is incompatible with the local
  438  comprehensive plan, the local infrastructure development plan,
  439  the capital improvements budget, any development of regional
  440  impact processes or timelines, or other governmental spending
  441  plan. The responsible public entity shall consider the comments
  442  of the affected local jurisdiction before entering into a
  443  comprehensive agreement with a private entity. If an affected
  444  local jurisdiction fails to respond to the responsible public
  445  entity within the time provided in this paragraph, the
  446  nonresponse is deemed an acknowledgment by the affected local
  447  jurisdiction that the qualifying project is compatible with the
  448  local comprehensive plan, the local infrastructure development
  449  plan, the capital improvements budget, or other governmental
  450  spending plan.
  451         (6)(8) INTERIM AGREEMENT.—Before or in connection with the
  452  negotiation of a comprehensive agreement, the responsible public
  453  entity may enter into an interim agreement with the private
  454  entity proposing the development or operation of the qualifying
  455  project. An interim agreement does not obligate the responsible
  456  public entity to enter into a comprehensive agreement. The
  457  interim agreement is discretionary with the parties and is not
  458  required on a qualifying project for which the parties may
  459  proceed directly to a comprehensive agreement without the need
  460  for an interim agreement. An interim agreement must be limited
  461  to provisions that:
  462         (a) Authorize the private entity to commence activities for
  463  which it may be compensated related to the proposed qualifying
  464  project, including, but not limited to, project planning and
  465  development, design, environmental analysis and mitigation,
  466  survey, other activities concerning any part of the proposed
  467  qualifying project, and ascertaining the availability of
  468  financing for the proposed facility or facilities.
  469         (b) Establish the process and timing of the negotiation of
  470  the comprehensive agreement.
  471         (c) Contain such other provisions related to an aspect of
  472  the development or operation of a qualifying project that the
  473  responsible public entity and the private entity deem
  474  appropriate.
  475         (7)(9) COMPREHENSIVE AGREEMENT.—
  476         (a) Before developing or operating the qualifying project,
  477  the private entity must enter into a comprehensive agreement
  478  with the responsible public entity. The comprehensive agreement
  479  must provide for:
  480         1. Delivery of performance and payment bonds, letters of
  481  credit, or other security acceptable to the responsible public
  482  entity in connection with the development or operation of the
  483  qualifying project in the form and amount satisfactory to the
  484  responsible public entity. For the components of the qualifying
  485  project which involve construction, the form and amount of the
  486  bonds must comply with s. 255.05.
  487         2. Review of the design for the qualifying project by the
  488  responsible public entity and, if the design conforms to
  489  standards acceptable to the responsible public entity, the
  490  approval of the responsible public entity. This subparagraph
  491  does not require the private entity to complete the design of
  492  the qualifying project before the execution of the comprehensive
  493  agreement.
  494         3. Inspection of the qualifying project by the responsible
  495  public entity to ensure that the private entity’s activities are
  496  acceptable to the responsible public entity in accordance with
  497  the comprehensive agreement.
  498         4. Maintenance of a policy of public liability insurance, a
  499  copy of which must be filed with the responsible public entity
  500  and accompanied by proofs of coverage, or self-insurance, each
  501  in the form and amount satisfactory to the responsible public
  502  entity and reasonably sufficient to ensure coverage of tort
  503  liability to the public and employees and to enable the
  504  continued operation of the qualifying project.
  505         5. Monitoring by the responsible public entity of the
  506  maintenance practices to be performed by the private entity to
  507  ensure that the qualifying project is properly maintained.
  508         6. Periodic filing by the private entity of the appropriate
  509  financial statements that pertain to the qualifying project.
  510         7. Procedures that govern the rights and responsibilities
  511  of the responsible public entity and the private entity in the
  512  course of the construction and operation of the qualifying
  513  project and in the event of the termination of the comprehensive
  514  agreement or a material default by the private entity. The
  515  procedures must include conditions that govern the assumption of
  516  the duties and responsibilities of the private entity by an
  517  entity that funded, in whole or part, the qualifying project or
  518  by the responsible public entity, and must provide for the
  519  transfer or purchase of property or other interests of the
  520  private entity by the responsible public entity.
  521         8. Fees, lease payments, or service payments. In
  522  negotiating user fees, the fees must be the same for persons
  523  using the facility under like conditions and must not materially
  524  discourage use of the qualifying project. The execution of the
  525  comprehensive agreement or a subsequent amendment is conclusive
  526  evidence that the fees, lease payments, or service payments
  527  provided for in the comprehensive agreement comply with this
  528  section. Fees or lease payments established in the comprehensive
  529  agreement as a source of revenue may be in addition to, or in
  530  lieu of, service payments.
  531         9. Duties of the private entity, including the terms and
  532  conditions that the responsible public entity determines serve
  533  the public purpose of this section.
  534         (b) The comprehensive agreement may include:
  535         1. An agreement by the responsible public entity to make
  536  grants or loans to the private entity from amounts received from
  537  the federal, state, or local government or an agency or
  538  instrumentality thereof.
  539         2. A provision under which each entity agrees to provide
  540  notice of default and cure rights for the benefit of the other
  541  entity, including, but not limited to, a provision regarding
  542  unavoidable delays.
  543         3. A provision that terminates the authority and duties of
  544  the private entity under this section and dedicates the
  545  qualifying project to the responsible public entity or, if the
  546  qualifying project was initially dedicated by an affected local
  547  jurisdiction, to the affected local jurisdiction for public use.
  548         (8)(10) FEES.—A comprehensive An agreement entered into
  549  pursuant to this section may authorize the private entity to
  550  impose fees to members of the public for the use of the
  551  facility. The following provisions apply to the comprehensive
  552  agreement:
  553         (a) The responsible public entity may develop new
  554  facilities or increase capacity in existing facilities through a
  555  comprehensive agreement with a private entity agreements with
  556  public-private partnerships.
  557         (b) The comprehensive public-private partnership agreement
  558  must ensure that the facility is properly operated, maintained,
  559  or improved in accordance with standards set forth in the
  560  comprehensive agreement.
  561         (c) The responsible public entity may lease existing fee
  562  for-use facilities through a comprehensive public-private
  563  partnership agreement.
  564         (d) Any revenues must be authorized by and applied in the
  565  manner set forth in regulated by the responsible public entity
  566  pursuant to the comprehensive agreement.
  567         (e) A negotiated portion of revenues from fee-generating
  568  uses may must be returned to the responsible public entity over
  569  the life of the comprehensive agreement.
  570         (9)(11) FINANCING.—
  571         (a) A private entity may enter into a private-source
  572  financing agreement between financing sources and the private
  573  entity. A financing agreement and any liens on the property or
  574  facility must be paid in full at the applicable closing that
  575  transfers ownership or operation of the facility to the
  576  responsible public entity at the conclusion of the term of the
  577  comprehensive agreement.
  578         (b) The responsible public entity may lend funds to private
  579  entities that construct projects containing facilities that are
  580  approved under this section.
  581         (c) The responsible public entity may use innovative
  582  finance techniques associated with a public-private partnership
  583  under this section, including, but not limited to, federal loans
  584  as provided in Titles 23 and 49 C.F.R., commercial bank loans,
  585  and hedges against inflation from commercial banks or other
  586  private sources. In addition, the responsible public entity may
  587  provide its own capital or operating budget to support a
  588  qualifying project. The budget may be from any legally
  589  permissible funding sources of the responsible public entity,
  590  including the proceeds of debt issuances. A responsible public
  591  entity may use the model financing agreement provided in s.
  592  489.145(6) for its financing of a facility owned by a
  593  responsible public entity. A financing agreement may not require
  594  the responsible public entity to indemnify the financing source,
  595  subject the responsible public entity’s facility to liens in
  596  violation of s. 11.066(5), or secure financing of by the
  597  responsible public entity by a mortgage on, or security interest
  598  in, the real or tangible personal property of the responsible
  599  public entity in a manner that could result in the loss of the
  600  fee ownership of the property by the responsible public entity
  601  with a pledge of security interest, and any such provision is
  602  void.
  603         (d) A responsible public entity shall appropriate on a
  604  priority basis as required by the comprehensive agreement a
  605  contractual payment obligation, annual or otherwise, from the
  606  enterprise or other government fund from which the qualifying
  607  projects will be funded. This required payment obligation must
  608  be appropriated before other noncontractual obligations payable
  609  from the same enterprise or other government fund.
  610         (10)(12) POWERS AND DUTIES OF THE PRIVATE ENTITY.—
  611         (a) The private entity shall:
  612         1. Develop or operate the qualifying project in a manner
  613  that is acceptable to the responsible public entity in
  614  accordance with the provisions of the comprehensive agreement.
  615         2. Maintain, or provide by contract for the maintenance or
  616  improvement of, the qualifying project if required by the
  617  comprehensive agreement.
  618         3. Cooperate with the responsible public entity in making
  619  best efforts to establish interconnection between the qualifying
  620  project and any other facility or infrastructure as requested by
  621  the responsible public entity in accordance with the provisions
  622  of the comprehensive agreement.
  623         4. Comply with the comprehensive agreement and any lease or
  624  service contract.
  625         (b) Each private facility that is constructed pursuant to
  626  this section must comply with the requirements of federal,
  627  state, and local laws; state, regional, and local comprehensive
  628  plans; the responsible public entity’s rules, procedures, and
  629  standards for facilities; and such other conditions that the
  630  responsible public entity determines to be in the public’s best
  631  interest and that are included in the comprehensive agreement.
  632         (c) The responsible public entity may provide services to
  633  the private entity. An agreement for maintenance and other
  634  services entered into pursuant to this section must provide for
  635  full reimbursement for services rendered for qualifying
  636  projects.
  637         (d) A private entity of a qualifying project may provide
  638  additional services for the qualifying project to the public or
  639  to other private entities if the provision of additional
  640  services does not impair the private entity’s ability to meet
  641  its commitments to the responsible public entity pursuant to the
  642  comprehensive agreement.
  643         (11)(13) EXPIRATION OR TERMINATION OF AGREEMENTS.—Upon the
  644  expiration or termination of a comprehensive agreement, the
  645  responsible public entity may use revenues from the qualifying
  646  project to pay current operation and maintenance costs of the
  647  qualifying project. If the private entity materially defaults
  648  under the comprehensive agreement, the compensation that is
  649  otherwise due to the private entity is payable to satisfy all
  650  financial obligations to investors and lenders on the qualifying
  651  project in the same way that is provided in the comprehensive
  652  agreement or any other agreement involving the qualifying
  653  project, if the costs of operating and maintaining the
  654  qualifying project are paid in the normal course. Revenues in
  655  excess of the costs for operation and maintenance costs may be
  656  paid to the investors and lenders to satisfy payment obligations
  657  under their respective agreements. A responsible public entity
  658  may terminate with cause and without prejudice a comprehensive
  659  agreement and may exercise any other rights or remedies that may
  660  be available to it in accordance with the provisions of the
  661  comprehensive agreement. The full faith and credit of the
  662  responsible public entity may not be pledged to secure the
  663  financing of the private entity. The assumption of the
  664  development or operation of the qualifying project does not
  665  obligate the responsible public entity to pay any obligation of
  666  the private entity from sources other than revenues from the
  667  qualifying project unless stated otherwise in the comprehensive
  668  agreement.
  669         (12)(14) SOVEREIGN IMMUNITY.—This section does not waive
  670  the sovereign immunity of a responsible public entity, an
  671  affected local jurisdiction, or an officer or employee thereof
  672  with respect to participation in, or approval of, any part of a
  673  qualifying project or its operation, including, but not limited
  674  to, interconnection of the qualifying project with any other
  675  infrastructure or project. A county or municipality in which a
  676  qualifying project is located possesses sovereign immunity with
  677  respect to the project, including, but not limited to, its
  678  design, construction, and operation.
  679         (13) DEPARTMENT OF MANAGEMENT SERVICES.—
  680         (a) A responsible public entity may provide a copy of its
  681  comprehensive agreement to the Department of Management
  682  Services. A responsible public entity must redact any
  683  confidential or exempt information from the copy of the
  684  comprehensive agreement before providing it to the Department of
  685  Management Services.
  686         (b) The Department of Management Services may accept and
  687  maintain copies of comprehensive agreements received from
  688  responsible public entities for the purpose of sharing
  689  comprehensive agreements with other responsible public entities.
  690         (c) This subsection does not require a responsible public
  691  entity to provide a copy of its comprehensive agreement to the
  692  Department of Management Services.
  693         (14)(15) CONSTRUCTION.—
  694         (a) This section shall be liberally construed to effectuate
  695  the purposes of this section.
  696         (b) This section shall be construed as cumulative and
  697  supplemental to any other authority or power vested in or
  698  exercised by the governing body board of a county, municipality,
  699  special district, or municipal hospital or health care system
  700  including those contained in acts of the Legislature
  701  establishing such public hospital boards or s. 155.40.
  702         (c) This section does not affect any agreement or existing
  703  relationship with a supporting organization involving such
  704  governing body board or system in effect as of January 1, 2013.
  705         (d)(a) This section provides an alternative method and does
  706  not limit a county, municipality, special district, or other
  707  political subdivision of the state in the procurement or
  708  operation of a qualifying project acquisition, design, or
  709  construction of a public project pursuant to other statutory or
  710  constitutional authority.
  711         (e)(b) Except as otherwise provided in this section, this
  712  section does not amend existing laws by granting additional
  713  powers to, or further restricting, a local governmental entity
  714  from regulating and entering into cooperative arrangements with
  715  the private sector for the planning, construction, or operation
  716  of a facility.
  717         (f)(c) This section does not waive any requirement of s.
  718  287.055.
  719         Section 2. This act shall take effect July 1, 2015.