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HomeMy Public PortalAboutLTC 057-2015 - 2015 Florida Legislative Session - Week 3 ReportAAL HAS' OUR FLORI DA'$.n FARAD ISE OFFICE OF THE VILLAGE MANAGER NO. 057-2015 LETTER TO COUNCIL TO: Mayor Martin Packer and Members of the Village Council FROM: Jorge M. Gonzalez, Village Manager �� DATE: March 23, 2015 SUBJECT: 2015 Florida Legislative Session — Week 3 Report The purpose of this Letter to Council (LTC) is to transmit the 2015 Florida Legislative Session — Week 3 report for the week of March 16 — 20, 2015 provided by Ron L. Book. Please let me know if you need additional information. Roodid L Bonk, P 0. 18U1 0(i M PRI)IM1011111 bi0(191100 2015 Session Week 3 Report BUDGET — Late in the day on Friday, both the House and Senate released their overall budget bills. The Senate budget is approximately $80.4 billion, and the House budget totals just under $76.2 billion. The discrepancy in funding is twofold, and is within the health care arena. The Senate is intent on including funding within the budget to draw down $2.8 billion in federal aid which would allow the state to extend healthcare coverage to approximately 800,000 uninsured Floridians not eligible for the state's Medicaid program. The Senate has also put forth a bill that would bring additional federal funding to assist hospitals in paying for the indigent care provided. The House has not included these provisions or funding for these, in their budget. We will continue to keep you updated on issues as they move through the process. As bills continue to be heard, we will add to our weekly reports. At the end of each week, we will send a comprehensive report on the legislative session and issues affecting local governments. Included in this report, are the following topics: • Pension Reform • Gaming • Local Government Regulation— Various Issues • Amendment 1 and Environment • Red Light Cameras • Taxi, Limousines and Uber - Preemption of Local Governments • Film and Entertainment Incentives • Health Insurance Coverage for Emergency Services Should you have any questions regarding legislation or legislative action, please do not hesitate to call or email us. WATER PROJECTS AND BEACH RENOURISHMENT As the legislative process moves forward, we continue to work with both Representative Albritton, Chair of the House Natural Resources Appropriations Committee and the Senator Hays, Chairman of the Senate Appropriations Subcommittee on General Government. As the Legislature restructures the State Budget to focus Amendment 1 spending on the environment, water projects, beach renourishment will be front and center. We continue to advocate for funding for water and beach renourishment projects and will continue to update you as the budget process moves forward. On Friday of Week 3, both the House and Senate put forth their first round of budget numbers. Specific to local water projects, no list of projects has been released. The House has allocated $80,589,000 and at this point, the Senate has not listed an amount. Regarding beach renourishment funding, the House has allocated $40 million and the Senate, $25 million. Harbour Centre 118851 N.E. 29th Ave., Ste. 1010 1 Aventura, FL 33180 Phone: 305.935.1866 1 Fax: 305.935.9737 104 West Jefferson Street I Tallahassee, FL 32301 Phone: 850.224.34271 Fax 850.224.3361 PENSION REFORM FRS Pension Reform The news this week was that the House would not be taking up Florida Retirement System pension reform, due to the release of a study which shows the cost of requiring new state employees to move to a 401(k) system, to be much higher than anticipated. Municipal Pension Reform remains on the table for action this Session. A number of municipal pension reform bills are moving, and are included within this report. Retirement HB 1279 by Representative Adkins revises Chapters 175 and 185, F.S., which provide retirement system benefits for municipal firefighters and police officers. As you know, the Municipal Firefighters' Pension Trust Fund and Police Officers' Pension Trust Fund are administered by a local governing board of trustees that is created in participating cities and special fire control districts, and subject to the regulatory oversight of the Division of Retirement. The bill amends both chapters, revising the membership and responsibilities of the board of trustees as follows: • Provides that the board of trustees must consist of five members. Three members must be legal residents of the municipality or special fire control district and may not be members, retirees, beneficiaries, or payees of the pension plan. • Provides for a term limit of eight consecutive years. • For local law plans that provide benefits for both firefighters and police officers, it expands the board membership to nine members instead of five members. • Provides that five of the members must be appointed by the governing body of the municipality or special fire control district, two must be firefighters, and two must be police officers. • Provides additional duties for the board of trustees. o Requires the board of trustees to provide a detailed accounting report of its expenses for each fiscal year. The report must be submitted to the plan sponsor and the Department of Management Services, and must be made available to the members of the plan. o The board of trustees must operate under an administrative expense budget for each fiscal year, provide the budget to the plan sponsor, and make it available to plan members. The administrative expense budget must regulate the administrative expenses of the board of trustees. The budget, including any budget amendments, is not effective until approved by a majority vote of the plan sponsor. o Requires the board of trustees to establish qualifications for the plan administrator. The bill provides minimum qualifications that the board of trustees must consider when establishing qualifications for the position. • Provides that a plan that has an assets to liabilities ratio, utilizing the most recent actuarial report, of 75 percent or less, must, every three years, conduct an internal audit of the plan's management and accounting practices and investments. • In addition, the bill provides that the changes made in the act apply to a local law plan created by special act before May 27, 1939. HB 1279 passed the House Committee on Government Operations Subcommittee, 7 — 5. Publicly Funded Retirement Plans SB 242 by Senator Brandes, summarized in the week 2 report, was not heard this week. However, the companion bill was heard and is summarized below. Publicly Funded Retirement Plans HB 1309 by Representative Drake requires local government pension plans, when conducting the actuarial valuation of the plans, to use the mortality tables used in -2- either of the two most recently published actuarial valuation reports of the Florida Retirement System, including the projection scale for mortality improvement. It requires appropriate risk and collar adjustments to be made based on plan demographics. The bill requires the tables to be used for assumptions for preretirement and postretirement mortality. The bill also revises the mortality tables used in the actuarial disclosures in financial statements submitted to the Department of Management Services. HB 1309 passed the Government Operations Subcommittee, 7 — 3. Local Government Pension Reform: SB 172 by Senators Bradley and Ring, was summarized in our Week 1 and Week 2 Session Reports, however SB 172 was not heard this week. Local Government Pension Reform HB 341 by Representative Cummings — During week 2, the Government Operations Subcommittee adopted a strike -all amendment, which does the following: • Revises the definition of "base premium tax revenues" to mean the revenues received during the 2013 calendar year, rather than the 1997 calendar year. For a municipality or special fire control district that did not receive premium tax revenues during 2013, the base premium tax revenues are those revenues received during the second calendar year of participation. • Revises how insurance premium tax revenues must be used. It amends the default formula for the use of the insurance premium tax revenues if the parties cannot agree through mutual consent. Rather than four silos of revenue, the committee substitute provides for two silos. • Maintains a two percent minimum pension plan multiplier, rather than 2.75 percent. • Clarifies that only active members of the plan may participate and vote for purposes of mutual consent. HB 341 was not heard this week. GAMING Racing Animals SB 226 by Senator Latvala - CS/SB 226 modifies requirements regarding prohibited medication or drugging of racing animals (horses and greyhounds). Violations are no longer contingent upon a person administering or causing a prohibited substance to be administered; the mere presence of a prohibited substance in a racing animal is evidence of the violation. The fine for violations may be up to $10,000 or the race winnings (purse or sweepstakes amount), whichever is greater. Prosecutions must be started within 90 days of the race date. The bill sets forth the Division of Pari-Mutual Wagering responsibilities and duties regarding collecting and testing samples from animals. The bill requires the Division to adopt rules regarding the use and allowed levels of medications, drugs, and naturally occurring substances in racing animals, as listed by the Association of Racing Commissioners International (ARCI), requires the division to adopt rules that include a classification system for drugs and incorporates ARCI's Penalty Guidelines for drug violations and eliminates a limitation on the testing methodology that may be used to screen samples for prohibited substances. The fine for violations may be up to $10,000 or the race winnings (purse or sweepstakes amount), whichever is greater. The current provisions that allow the division to revoke or suspend the violator's license, require the full or partial return of the purse sweepstakes and race trophy, or impose any combination of the fine and other penalties, are not changed. CS/SB 266 partially addresses the division's concern with shortening the existing deadline to initiate prosecutions of violations from 2 years from the date of the race to only 60 days, and provides that initiation of prosecutions must be within 90 days after the violation. -3- SB 226 passed Appropriations committee 19 — 0 this week. The companion bill, HB 239 by Fitzenhagen has passed its committees and is ready for floor action. Gaming HB 1233 by Representative Young — This is an omnibus gaming bill that comprehensively addresses gaming in Florida. This bill is expected to be work shopped next week. The bill does the following: • Allows two destination resort licenses for Florida. The bill provides incentives for resort casinos to buy existing permits instead of obtaining new ones. Those casinos would also have to make a $2 billion capital investment and pay a minimum of $175 million in taxes per year, gain the support of local governments via referendum . 10 % of the resort casino's floor space would be dedicated to games. • Decouples greyhound racing and gambling. • Dog tracks would be required to report animal injuries • Creates a new Department of Gaming Control which would oversee all gambling related activities. This would replace and expand on the Division of Pari-Mutuel Wagering and would be funded through a new trust fund created by HB 1237 • Reduces existing pari-mutuel tax rate from 35 % to 25 % • Ends all tax credits for dog tracks and allows four tracks to operate in the state • Palm Beach and Lee counties could also operate slot machines at their dog tracks or at stand- alone facilities. (each county has passed a referendum for slot machines.) • Create a moratorium on new gambling permits. Greyhound Racing Injuries SB 2 by Senator Sobel - The "Victoria Q. Gaetz Racing Greyhound Protection Act;" requires injuries to racing greyhounds to be reported on a form adopted by the Division of Pari-mutuel Wagering in the Department of Business and Professional Regulation. SB 2 passed the Senate with a vote of 38-0, and is in messages to the House. The companion bill is HB 129 by Representative Moskowitz, it has not yet been heard. Contraband Forfeiture SB 440 by Senator Bean and HB 1131 by Representative Harrell, would require an arrest of an individual before seizure or forfeiture of property can occur, under the Florida Contraband Forfeiture Act. Neither bill has been heard. LOCAL GOVERNMENT REGULATION Disposable Plastic Bags HB 661 by Representative Richardson and co -sponsored by Representatives Geller, Jacobs, Rehwinkel Vasilinda, Rodriguez (J), Watson (C) would authorize local governments, with a population of fewer than 100,000, to establish pilot programs for regulation or ban of disposable plastic bags. A total preemption of local government regulation of plastic bag use was passed in the 2008 regular Session. This bill requires that a municipality (of fewer than 100,000) who establishes a pilot program, shall do the following: • By December 31, 2015, enact an ordinance for the regulation or ban of disposable plastic bags that begins January 1, 2016, and expires June 30, 2018. Such ordinance may not include any new taxes or fees on the use or distribution of disposable plastic bags. • Collect data pertaining to the impact of the ban. By April 1, 2018, submit a report on the impact of the ban to the governing body of the municipality at a public hearing that is open to comments from the public. Provide a copy of the report to the department. A municipality may continue to regulate or ban disposable plastic bags after June 30, 2018, if the municipality enacts an ordinance after April 1, 2018, indicating that the municipality will continue the regulation or ban of plastic bags, notwithstanding s. 403.7033. Neither HB 661 nor the Senate companion, SB 966 have been heard to date. Sober Homes Neither bill was heard this week. (SB 326 by Senator Clemens, HB 21 by Representative Hager) A proposed committee substitute was filed in the Senate this week, that once passed, will make the bills virtually identical. The Senate PCS would include additional requirements of the certified recovery residence administrator. This legislation does the following: • Defines a "certified recovery residence" as a recovery residence that holds a valid certificate of compliance and is actively managed by a certified recovery residence administrator, as opposed to the underlying bill in which either condition would suffice; • Includes "sexual offender/predator registry complaint policy" in the -list of documents that must be submitted with an application to become a certified recovery residence; • Removes the condition that a recovery residence seeking certification must submit a fee before being inspected by a credentialing entity; • Removes duplicative language relating to the requirement for a credentialing entity to establish certification requirements for administrators according to nationally recognized standards; • Requires all applications for recovery residence certification to include the name of the certified administrator who will actively manage the residence; • Requires the DCF to notify a credentialing entity of the eligibility of prospective officers of an applicant recovery residence, based on the results of background screening, as opposed to the underlying bill in which the DCF is required to notify a credentialing entity of the results of the background screening; • Requires a certified recovery residence to notify the credentialing entity within three business days of the removal of the residence's administrator for any reason, and the residence is given 30 days to retain a new certified administrator; • Requires the DCF to notify a credentialing entity of the eligibility of an individual seeking recovery residence administrator certification, based on the results of background screening, as opposed to the underlying bill in which the DCF is required to notify a credentialing entity of the results of the background screening; • Specifies that a certified administrator may not managed more than one recovery residence at a time; • Removes from the bill all provisions relating to recovery residences being qualified by a certified administrator to receive referrals from substance abuse recovery service providers; • Requires that any requests for exemptions to staff disqualifications or administrator ineligibility must be submitted by a recovery residence within 20 days of the denial; and • Allows service providers to refer patients to recovery residences only if the residence is certified and is actively managed by a certified administrator, as opposed to the underlying bill in which either condition would suffice. Communication Services Tax (CST) CS/CS/SB 110 by Senator Hukill reduces the state communications services tax (CST) rates by 3.6 percentage points. The standard state CST rate is reduced from 6.65 percent to 3.05 percent, and the tax rate on direct -to -home satellite services is reduced from 10.8 percent to 7.2 percent. -5- The bill holds local governments harmless. It changes the distribution percentages of CST revenue to ensure that local governments continue to receive the same amount of revenue as they receive under current law. The Revenue Estimating Conference has determined that the bill will reduce General Revenue receipts by $431.3 million in Fiscal Year 2015-2016, with a recurring decrease of $470.5 million. Local revenues will decrease by $200,000 in Fiscal Year 2015-2016, but will increase in later years. SB 110 passed the Finance and Tax committee, 7 — 0. Local Government Construction Preferences HB 113 by Representative Perry would prohibit local ordinances and regulations from restricting competition for award of construction services; requires state college, school district, or other political subdivision to make disclosures in competitive solicitation documents. HB 113 passed Appropriations Committee; 19 — 9. SB 778 by Senator Hays is the companion bill, has passed the Committee on Governmental Oversight and Accountability committee, 3 — 2. Local Government Services / Municipal Utility Services: HB 337 by Representative Mayfield would have adversely affected a municipality's ability to regulate services provided outside of the municipal boundaries. We have discussed this bill with the sponsor and the bill is going to be withdrawn from further consideration. It may be reintroduced as a local bill this year that would only affect the Indian River County area. Additionally, the Senate companion, SB 442 by Senator Altman was temporarily postponed and is not expected to be heard. Regional Planning Councils SB 484 by Senator Simpson (the House companion is HB 873 by Representative Mayfield) as originally filed would have eliminated the 11 Regional Planning Councils. Senator Simpson offered a strike -everything amendment that would reduce the RPCs from 11 to 10, eliminate duties that are duplicative and obsolete, authorizes the legislature to be responsible for a boundary review of the RPCs, and funds the RPCs with $2.5 million as has been allocated in past years. The bill passed the Committee on Community Affairs by a vote of 7 — 0. The House companion, HB 873 has not been heard. Enterprise Zones — The Florida Enterprise Zone (EZ) program set forth in statute, sunsets, or expires, in 2015. A strong majority of Senate and House Leadership feel that the EZ program needs to be wholly rewritten or allowed to sunset. At this time the outlook continues to be uncertain. Senate Enterprise Zone Discussion: This week, the Senate Finance and Tax committee had another workshop discussion on the Enterprise Zone program, to discuss EZ economic benefits. House Enterprise Zone Proposal — HB 7067 is the House economic development package that addresses the Enterprise Zone program. HB 7067 does not reauthorize the state Enterprise Zone (EZ) program, but allows for an optional and local only EZ type program without any state dollars. If a local government creates a new EZ, the bill exempts newly established or expanding businesses from paying local business taxes, impact fees, building permit fees and any local special assessments. Additionally, the bill would exempt these businesses from complying with local sign ordinances, tree ordinances and would prohibit local governments from issuing a citation or civil code ordinance violation within the newly established local zone, for 24 months. It prohibits local governments from imposing impact fees on small businesses of 12 or less employees and buildings less than 6000 square feet. The bill also extends permit expirations for two more years, issued by DEP or the Water Management District, and local development orders and building permits. Vacation Rentals / Public Lodging Establishments: HB 4009 by Representative Eagle would delete the term and definition of vacation rentals and transient apartments, from classification and regulation as public lodging establishments. This bill has not been heard to date, and there is no Senate companion filed. AMENDMENT 1 & ENVIRONMENT Amendment 1 Implementation: The series of bills filed by Senator Dean which begin to implement Amendment 1, have moved through their committees and are ready for floor action. These bills restructure the state's existing trust funds that are directed state dollars from the state documentary stamp tax, and they create a new trust fund where 33 percent of the revenue generated by the tax is to be diverted as per Amendment 1. These bills are SB 584, SB 586, SB 576, SB 578, SB 580 and SB 582. The companion bills in the House, sponsored by Representative Boyd, also restructure the state's trust funds in order to implement Amendment #1. These bills are moving through the committee process. They are HB 1291, HB 1293, and HB 1295. Affordable Housing/SB 586: This week, the bill was amended to adjust the percentage distributions for the State Housing Trust Fund so that trust fund and the Local Government Housing Trust Fund receive the same dollar amounts as they would have received under current law. Over the last several weeks, the housing industry and the Affordable Housing Coalition, worked with leadership to make this adjustment. This language that addresses the Trust Fund now more closely mirrors the House language. Water Policy — HB 7003 sponsored by Chairman Caldwell of the House State Affairs committee was heard in the House Appropriations committee during week 2. This same bill was work shopped this week in the Senate Committee on Environmental Preservation and Conservation, to give the Senate committee members an opportunity to hear from department experts on the issues within and surrounding this bill. For a full summary of HB 7003, please refer to the Week 2 Report. Chairman Caldwell , when presenting his bill, stated that the bill sets forth water policy that builds upon the existing foundation of science -based assessment, and establishment of Total Maximum Daily Loads, (TMDL), the Minimum Flows And Levels, (MFL), the Basin Management Action Plan, (BMAP) and the recovery and prevention strategies to protect and restore our first magnitude springs. The bill codifies the Central Florida Water Initiative, strengthens the water supply planning process, ensures timely implementation of strategies to meet the minimum flows and levels, modernizes the northern Everglades and estuaries protection program. HB 7003 passed the full House, 106 — 9, during week 2. As noted above, this House bill was work shopped in the Senate committee on Environmental Preservation and Conservation on 3/18/15. The committee heard from staff and various department experts on the bill. Environmental Resources — SB 918 by Senator Dean, which is the Senate companion bill, will be heard next week, 3/24/15 in the next committee meeting of the Environmental Preservation and Conservation committee. The two bills have yet to come together on funding as well as septic tank remediation. 7- RED LIGHT CAMERAS Red Light Cameras: HB 7071 was not heard this week. This bill addresses the red light camera program and would do the following: • Prohibits a traffic citation if the driver is making a right-hand turn • Requires that red light camera notices of violation be sent via certified mail, rather than first-class mail • Specifies that the portion of the red light camera fine retained by the local government must be used for a public safety purpose, which includes operation of a red light camera program • Requires local governments to include a summary of any private vendor contract for operation and administration of red light camera programs in the annual report submitted to DHSMV • Requires the Department of Transportation (FDOT) to submit an annual report that summarizes the crash statistics for intersections with a red light camera • Allows FDOT to inspect traffic control signals at intersections with a red light camera for compliance verification TAXI, LIMOUSINES AND UBER - PREEMPTION OF LOCAL GOVERNMENTS Taxi, Chauffeured Limousines and Uber Preemption of Local Governments: HB 817 by Representative Gaetz, was not heard this week. The bill does the following: • This bill creates a preemption to the state for regulation of transportation network companies. • Creates s. 316.680, F.S., called Transportation Network Companies, to establish definitions for these companies, drivers and the service. It defines the term trip, defines that a transportation network company or its driver is not a common carrier, meaning that these drivers do not provide taxi or for -hire service. • Requires that a person wishing to operate a transportation network company (TNC) obtain a state permit to do so, for an annual permit fee of $5,000. • Provides that if a TNC charges a fare, that it must disclose the fare calculation method on its website or within the digital network software application service. Before the passenger enters the driver's vehicle, the company would be required to provide the passenger with the applicable rates being charged and the option to receive an estimated fare. • Sets a process by which the driver and vehicle must provide identification on the company's software application service or website, complete with a picture of the driver and the license plate number of the motor vehicle before the passenger enters the driver's vehicle. • Requires the Department to set up a process by which the TNC must provide a receipt for the service, within "a reasonable amount of time". • Requires that beginning October 1, 2015, companies and transportation network company drivers must comply with automobile liability insurance requirements of the bill that set forth standards for when a driver is logged in but not providing service, when the driver is providing service, specifics on when the driver or the company is providing insurance, and that the company is required to provide insurance if the driver's insurance is not active or has lapsed. • Provides that a company must establish a zero tolerance policy for drug or alcohol use by the driver. • Establishes requirements for background and criminal checks for drivers. • Require that a motor vehicle used by a driver to provide transportation network company service meets the vehicle safety and emissions requirements for a private motor vehicle of the state in which the vehicle is registered. • Establishes prohibited conduct, a non discrimination policy for riders, and confidentiality of a riders' personal identification information. HB 817 passed the Transportation and Ports Subcommittee and Economic Affairs Committee, 9 — 3 during week 2. Senator Brandes' companion bill, SB 1326 was not heard this week Regulatory Minimum Prices: SB 990 by Senator Brandes creates the Florida Free Enterprise Act and states that the intent of the Legislature is that the ability of the public to freely bargain for lawful goods and services, not be restricted by governmental actions that establish regulatory minimum prices. This is defined as meaning any value, percentage of a value, or rate of compensation established by an ordinance, special act, rule, or other governmental action below which a lawful business or private individual is prohibited from charging for lawful goods or services. States that it is an unfair or deceptive regulatory act or practice, actionable under the Florida Deceptive and Unfair Trade Practices Act, for any state agency, county government, municipal governing body, other governmental entity, or special district, whether dependent or independent, as defined in s. 189.012, or any agency or subsidiary derived thereof, to: restrict the right of the public to freely bargain for lawful goods or services by establishing regulatory minimum prices for lawful goods or services; or create classifications within a type of service which would apply differently to individuals and businesses who compete or attempt to compete with each other to provide similar services. The bill provides two exemptions: for minimum wages established by a governmental entity, and any permit fee, license fee, application fee, or fee assessed in a regulatory fashion, such as an impact fee, authorized under law. Lastly, this bill sets forth a legal remedy for any person who is adversely affected by any regulatory action adopted or caused to be enforced that is in violation of this section may file suit against such state agency, county government, municipal governing body, other governmental entity, or special district, whether dependent or independent, as defined in s. 189.012, or any agency or subsidiary derived thereof, in any court of this state for declaratory or injunctive relief and for actual damages, as limited herein, caused by the regulatory action. A court shall award the prevailing plaintiff in any such suit: reasonable attorney fees and costs in accordance with the laws of this state, including a contingency fee multiplier, as authorized by law; and actual damages incurred, up to $1 million. Neither SB 990 nor its companion, HB 789, have been heard. FILM AND ENTERTAINMENT INCENTIVES Film Industry Incentives: SB 1046 by Senator Detert was not heard this week. (summarized in the week 2 report). The House companion bill was heard this week, HB 451 by Representative Miller, and proposes significant modifications to the current incentives and benefits the state offers for companies within the film and entertainment industry. The bill modifies the processes by which companies may receive tax credits and exemptions, and creates an additional incentive, the "Production Action Fund." Currently, the Office of Film and Entertainment ("office") is housed within the Department of Economic Opportunity ("department"). The bill changes the name of the office to the "Division of Film and Entertainment" and houses the Division within the Enterprise Florida, Inc. In addition, among other modifications, the bill proposes changes relating to the hiring of the Division's commissioner and the requirements of the Division's strategic plan; and repeals the Florida Film and Entertainment Advisory Council. The bill proposes many changes to the current Entertainment Industry Financial Incentive Program. Some of the proposed changes include the following: • Amends the application and certification process for tax credits to be prioritized based on the expected economic benefit of an applicant's production; • Creates two application cycles per fiscal year, which consist of an application deadline and review period; • Limits the certification of credits to up to 50 percent for the first application cycle of a fiscal year; • Limits the department's ability to certify tax credits for a fiscal year to no more than the allocated tax credits for that fiscal year; • Allocates $50 million of tax credits for Fiscal Year 2016-2017. The bill creates the "Production Action Fund," which allows certain production companies to apply for funds for a production or successive seasons of a production. The award may not exceed 30 percent of a project's qualified expenditures and may not fund the wages paid to non-residents. The department and the division must jointly review and evaluate applications to determine the eligibility of each project. The department makes a recommendation to the Governor, who then makes a final decision on the award, pending review by the Legislature. Some of the criteria the division and department must consider to determine whether a project is eligible for an award includes the following: • Proof of financing for the applied -for project • Expected contributions to the state's economy • The expenditures that will be made in the state and the amount of production time to take place in the state • The amount of capital investment to be made directly by the production company in this state • The amount of promotion of Florida that the production company will provide for the state • The number of state residents that will be employed and their wages. Qualified Production Company Sales and Use Tax Exemption - The bill modifies the application processes for a qualified production company under s. 288.1258, F.S., to receive a certificate of exemption for the sales and use tax exemptions under ss. 212.031, 212.06, and 212.08, F.S. The changes primarily relate to when and how a qualified production company may submit an application for such certificate. HB 451 passed the Economic Development and Tourism Subcommittee, 11 — 2. HEALTH INSURANCE COVERAGE FOR EMERGENCY SERVICES Health Insurance Coverage for Emergency Services: SB 516 by Senator Bean and cosponsored by Senator Garcia, would place restrictions on the reimbursement amount an EMS agency may receive for providing services. The bill prohibits a non -participating EMS provider from collecting an amount in excess of the amounts determined by insurance companies as is customary. EMS payments would be determined by either an insurance negotiated payment, an amount calculated under the methodology used by the insurer to determine the reimbursement amount to a nonparticipating provider for the service, reduced only by a coinsurance amount or copayment, or the amount that would have been paid under Medicare for services. SB 516 was not heard this week. Health Insurance Coverage for Emergency Services: This week, the Insurance and Banking Subcommittee adopted a strike -all amendment which revised the bill to: remove pre hospital transportation service providers; remove references to participating provider from the negotiated rate and cost -sharing provisions; to specify usual and customary reimbursement based on a community standard. HB 681 passed the Insurance and Banking Subcommittee, 10 — 3 May 1, 2015 — 60" and last day of the regular session (Article III, section 3(d), Constitution)