Insurance Banking Subcommittee Meeting Packet

Summary

The meeting packet of the Insurance & Banking Subcommittee of the Florida House of Representatives Commerce Committee for Wednesday, December 11, 2019, in Sumner Hall (404 HOB), with Byron Donalds as chair. The notice and agenda list three bills: HB 437 Nurse Registries by Stone, HB 487 Fire Prevention and Control by Fetterhoff, and HB 7003 on payment instrument transaction information held by the Office of Financial Regulation. The packet contains the staff analysis of HB 437, which would include nurse registry services in the definition of attendant care under s. 440.13, F.S., the bill text with an effective date of July 1, 2020, and Amendment 1 by Rep. Stone. It closes with the staff analysis and text of HB 7003, which amends s. 560.312, F.S. to remove the scheduled repeal of a public records exemption, effective October 1, 2020.

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Insurance & Banking
Subcommittee

Wednesday, December 11, 2019
4:00 pm - 6:00 pm
Sumner Hall (404 HOB)

Jose Oliva Byron Donalds
Speaker Chair
Committee Meeting Notice
HOUSE OF REPRESENTATIVES

Insurance & Banking Subcommittee

Start Date and Time: Wednesday, December 11, 2019 04:00 pm
End Date and Time: Wednesday, December 11, 2019 06:00 pm
Location: Sumner Hall (404 HOB)

Duration: 2.00 hrs

Consideration of the following bill(s):

HB 437 Nurse Registries by Stone

HB 487 Fire Prevention and Control by Fetterhoff

HB 7003 OGSR/Payment Instrument Transaction Information/Office of Financial Regulation by Oversight,
Transparency & Public Management Subcommittee, Andrade

Pursuant to rule 7.11, the deadline for amendments to bills on the agenda by non-appointed members shall
be 6:00 p.m., Tuesday, December 10, 2019.

By Request of Chair Donalds, all Insurance & Banking Subcommittee members are asked to have
amendments to bills on the agenda submitted to staff by 6:00 p.m., Tuesday, December 10, 2019.

NOTICE FINALIZED on 12/04/2019 4:09PM by Harrell.Lindsey

12/04/2019 4:09:41PM Leagis ®

Page 1 of 1
The Florida House of Representatives
Commerce Committee

Insurance & Banking Subcommittee

Jose R. Oliva Byron Donalds
Speaker Chair

AGENDA
December 11, 2019
404 House Office Building
4:00 PM — 6:00 PM

I. Call to Order & Roll Call

ll. Consideration of the following bills:

A. HB 437 Nurse Registries by Stone
B. HB 487 Fire Prevention and Control by Fetterhoff

C. 7003 OGSR/Payment Instrument Transaction Information/Office of Financial
Regulation by Andrade

lll. Adjournment

303 House Office Building, 402 South Monroe Street, Tallahassee, Florida 32399-1300
(850) 717-4871 Fax: (850) 413-0419
HB 437
HOUSE OF REPRESENTATIVES STAFF ANALYSIS

BILL #: HB 437 Nurse Registries
SPONSOR(S): Stone
TIED BILLS: IDEN./SIM. BILLS: SB 880
REFERENCE ACTION ANALYST STAFF DIRECTOR or

BUDGET/POLICY CHIEF

1) Insurance & Banking Subcommittee Lloyd iF «* Cooper VW

2) Health Market Reform Subcommittee

3) Commerce Committee

SUMMARY ANALYSIS

Under the workers’ compensation law, injured workers are entitled to receive all medically necessary remedial
treatment, care, and attendance, including medications, medical supplies, durable medical equipment, and
prosthetics, for as long as the nature of the injury and process of recovery requires. There are serval types of
medical care provided to injured workers both inside and outside of medical facilities, including emergency,
interventional, palliative, rehabilitative, and attendant. “Attendant care” means care rendered by trained
professional attendants that is beyond the scope of household duties. Attendant care include a wide variety of
services from skilled nursing care to unskilled tasks, such as bathing, dressing, personal hygiene, and
administration of medications. Most attendant care is provided by licensed medical providers; however, family
members may provide and receive carrier payment for non-professional attendant care services, excluding
normal household duties.

A nurse registry is a business that procures, offers, promises, or attempts to procure health care related
contracts for registered nurses, licensed practical nurses, certified nursing assistants, home health aides,
homemakers and companions to provide services to patients in their homes and temporary staff to health care
facilities or other business entities. The providers referred by the nurse registry are hired as independent
contractors by the patient, health care facility, or another business entity. A workers’ compensation carrier may
use a nurse registry to place attendant care services to be rendered to an injured worker.

The bill defines services provided by a nurse registry as “attendant care” for the purposes of workers’
compensation. The administrative activity of a nurse registry in facilitating the placement of medical care is
added to the types of services that are within the definition of “attendant care.”

The bill has no fiscal impact on state or local government. It has an indeterminate fiscal impact on the private
sector.

The bill has an effective date of July 1, 2020.

This document does not reflect the intent or official position of the bill sponsor or House of Representatives.
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FULL ANALYSIS
|. SUBSTANTIVE ANALYSIS

A. EFFECT OF PROPOSED CHANGES:
Workers’ Compensation Attendant Care Benefits

Workers’ compensation provides medical benefits and, in cases where the injured worker is unable to
work or earn as much as he or she did before the injury, compensation for lost income (also referred to
as “wage replacement” or “indemnity” benefits) for compensable workplace injuries arising out of work
performed by an employee in the course and scope of employment.' Injured workers are entitled to
receive all medically necessary remedial treatment, care, and attendance, including medications,
medical supplies, durable medical equipment, and prosthetics, for as long as the nature of the injury
and process of recovery requires.? Medical services must be provided by a health care provider
authorized by the workers’ compensation insurance company prior to being provided (except for
emergency care).°

There are serval types of medical care provided to injured workers both inside and outside of medical
facilities, including emergency, interventional, palliative, rehabilitative, and attendant. “Attendant care”
means care rendered by trained professional attendants that is beyond the scope of household duties.*
Attendant care include a wide variety of services from skilled nursing care to unskilled tasks, such as
bathing, dressing, personal hygiene, and administration of medications. Most attendant care is provided
by licensed medical providers; however, family members may provide and receive carrier payment for
non-professional attendant care services, excluding normal household duties.°

Providing in-home attendant care can provide significant advantages to both the injured worker and the
carrier. The injured worker can be more comfortable than in an institution and realize better outcomes,
both physically and mentally. The carrier can achieve significant cost savings. Carrier's may use a
nurse registry or a home health agency to obtain professional and non-professional attendant care for
the injured worker.

Placement of Attendant Care Services Through Nurse Registries and Home Health Agencies

A nurse registry is a business that procures, offers, promises, or attempts to procure health care related
contracts for registered nurses, licensed practical nurses, certified nursing assistants, home health
aides, homemakers and companions to provide services to patients in their homes and temporary staff
to health care facilities or other business entities.© Nurse registries are governed by part II of chapter
408, F.S.,’ associated rules in Chapter 59A-35, F.A.C., and the nurse registry rules in Chapter 59A-18,
F.A.C. A nurse registry must be licensed by the Agency for Health Care Administration (AHCA),
pursuant to Part III of ch. 400, F.S., to offer contracts in Florida.®

The providers referred by the nurse registry are hired as independent contractors by the patient, health
care facility, or another business entity (e.g., a workers’ compensation carrier).? This is a key defining
feature of a nurse registry; it cannot have any employees except for the administrator, alternate

1§. 440.09(1), F.S.

2S. 440.13(2)(a), F.S.

3S. 440.13(3)(a), F.S.

4 §. 440.13(1)(b), F.S. Attendant care must be medically necessary and performed at the direction and control of an authorized treating
physician pursuant to a written prescription. S. 440.13(2)(b), F.S.

5 The valuation of family-member provided attendant care is limited in both duration and cost. S. 440.13(2)(b), F.S.

§ §. 400.642(21), F.S.

? S. 400.506(2), F.S. A nurse registry is also governed by the provisions in s. 400.506, F.S.

®& S$. 400.506(1), F.S.

9 Id.

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administrator, and office staff — all individuals who enter the home of patients to provide direct care
must be independent contractors.

Home health agencies (HHAs) are organizations that provide health and medical services and medical
supplies to an individual in the individual's home or place of residence.'° HHAs are governed by part II
of chapter 408, F.S.,"' associated rules in Chapter 59A-35, F.A.C., and Chapter 59A-8, F.A.C. Like a
nurse registry, an HHA must be licensed by AHCA, pursuant to Part Ill of ch. 400, F.S., to offer
contracts in Florida.‘

The key difference between HHAs and nurse registries is the nature of the employment relationship
with the health care professionals with whom they contract. Health care providers who contract with an
HHA are employees of that agency. In contrast, health care providers who contract with nurse registries
are independent contractors. Additionally, while a nurse registry and an HHA may provide services that
are privately paid for by insurance or other means to patients in their home or place of residence and
provide staff to health care facilities, schools, or other business entities, a nurse registry does not
qualify for Medicare reimbursements; an HHA qualifies for such reimbursement.

Effect of the Bill

The bill defines services provided by a nurse registry as “attendant care” for the purposes of workers’
compensation. Medical services provided by the independent contractors (i.e., medical providers) that
receive attendant care assignments through a nurse registry are already within the definition of
attendant care. The administrative activity of a nurse registry in facilitating the placement of medical
care is added to the types of services that are within the definition of “attendant care.”"°

SECTION DIRECTORY:

Section 1. Amends s. 440.13, F.S., relating to medical services and supplies; penalty for violations;
limitations..

Section 2. Provides an effective date of July 1, 2020.

li. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT

A. FISCAL IMPACT ON STATE GOVERNMENT:

1. Revenues:
None.

2. Expenditures:
None.

B. FISCAL IMPACT ON LOCAL GOVERNMENTS:

1. Revenues:
None.

10 § 400.462(12), (14), F.S.
11 S, 400.464(1), F.S. An HHA is also governed by the provisions in s. 400.464, F.S.

12 Id.

13 See Section III.C., Drafting Issues or Other Comments.
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2. Expenditures:
None.

C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:

Indeterminate. The bill reclassifies an administrative cost as a medical claim cost. Workers’
compensation insurers will need to reprogram their claim management systems and train personnel to
accommodate the change. The fiscal impact of this change has not been estimated.

D. FISCAL COMMENTS:

None.
Ill. COMMENTS
A. CONSTITUTIONAL ISSUES:

1. Applicability of Municipality/County Mandates Provision:

Not Applicable. This bill does not appear to require counties or municipalities to spend funds or take
action requiring the expenditures of funds; reduce the authority that counties or municipalities have
to raise revenues in the aggregate; or reduce the percentage of state tax shared with counties or
municipalities.

2. Other:
None.

B. RULE-MAKING AUTHORITY:
None provided by the bill.

C. DRAFTING ISSUES OR OTHER COMMENTS:

The bill revises the term “attendant care” to include services provided by a licensed nurse registry.
Currently, “attendant care” only includes professional and non-professional services rendered to an
injured worker by a care provider. In other words, “attendant care” is a medical benefit and the costs
associated with such services are allocated to medical claim costs for ratemaking purposes. By
contrast, a nurse registry provides an administrative service to the workers’ compensation carrier by
facilitating the placement of care providers for the purposes of providing “attendant care.” Such
administrative costs are allocated to loss adjustment expenses for ratemaking purposes. By including
the services of a nurse registry in the definition of “attendant care,” an administrative cost is turned into
a medical cost, which may affect workers’ compensation rate filings and ratemaking.

Staff has consulted with the bill sponsor about the intent of the bill. According to the sponsor, the intent
of the bill is to specifically authorize workers’ compensation carriers to use nurse registries to place
authorized compensable attendant care services, rather than reallocate a claim administration cost to a
medical cost. An amendment to conform the bill to the sponsor’s intent is anticipated.

{V. AMENDMENTS/ COMMITTEE SUBSTITUTE CHANGES

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FLORIDA HOUSE O F REPRESEN TAT IVE §

HB 437 2020

1 A bill to be entitled

2 An act relating to nurse registries; amending s.

3 440.13, F.S.; revising the definition of the term

4 "attendant care" to include services provided by

5 licensed nurse registries for workers' compensation

6 purposes; providing an effective date.

4

8} Be It Enacted by the Legislature of the State of Florida:

9
10 Section 1. Paragraph (b) of subsection (1) of section

11) 440.13, Florida Statutes, is amended to read:

12 440.13 Medical services and supplies; penalty for

13} violations; limitations.—

14 (1) DEFINITIONS.—As used in this section, the term:

15 (b) "Attendant care" means care rendered by trained

16} professional attendants which is beyond the scope of household

17} duties. The term includes services provided by a nurse registry

18} licensed pursuant to s. 400.506. Family members may provide

19} nonprofessional attendant care, but may not be compensated under
20| this chapter for care that falls within the scope of household
21) duties and other services normally and gratuitously provided by
22 family members. "Family member" means a spouse, father, mother,
23 brother, sister, child, grandchild, father-in-law, mother-in-

24 law, aunt, or uncle.

25 Section 2. This act shall take effect July 1, 2020.

Page 1 of 1

CODING: Words stricken are deletions; words underlined are additions.
hb0437-00
INSURANCE & BANKING SUBCOMMITTEE

HB 437 by Rep. Stone
Nurse Registries

AMENDMENT SUMMARY
December 11, 2019

Amendment 1 by Rep. Stone (Line 10): The amendment authorizes a workers’ compensation
insurer to use a licensed nurse registry to place authorized compensable attendant care
services for the benefit of an injured worker, rather than defining nurse registry services as
“attendant care.”
onan oO F&F W NY F

10
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16

COMMITTEE/SUBCOMMITTEE AMENDMENT

Bill No. HB 437 (2020)
Amendment No. 1

COMMITTEE/SUBCOMMITTEE ACTION

ADOPTED __ (Y/N)

ADOPTED AS AMENDED __ (Y/N)

ADOPTED W/O OBJECTION __ (Y/N)

FAILED TO ADOPT __ (Y/N)

WITHDRAWN __ (Y/N)

OTHER _

Committee/Subcommittee hearing bill: Insurance & Banking
Subcommittee

Representative Stone offered the following:

Amendment (with title amendment)

Remove lines 10-24 and insert:

Section 1. Paragraph (b) of subsection (2) of section
440.13, Florida Statutes, is amended to read:

440.13 Medical services and supplies; penalty for
violations; limitations.—

(2) MEDICAL TREATMENT; DUTY OF EMPLOYER TO FURNISH.—

(b)1. The employer shall provide appropriate professional
or nonprofessional attendant care performed only at the
direction and control of a physician when such care is medically
necessary. The physician shall prescribe such care in writing.

The employer or carrier shall not be responsible for such care

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Page 1 of 3

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COMMITTEE/SUBCOMMITTEE AMENDMENT

Bill No. HB 437 (2020)
Amendment No. 1

until the prescription for attendant care is received by the
employer and carrier, which shall specify the time periods for
such care, the level of care required, and the type of
assistance required. A prescription for attendant care shall not
prescribe such care retroactively. The value of nonprofessional
attendant care provided by a family member must be determined as
follows:

a.t- If the family member is not employed or if the family
member is employed and is providing attendant care services
during hours that he or she is not engaged in employment, the
per-hour value equals the federal minimum hourly wage.

b.2- If the family member is employed and elects to leave
that employment to provide attendant or custodial care, the per-
hour value of that care equals the per-hour value of the family
member's former employment, not to exceed the per-hour value of
such care available in the community at large. A family member
or a combination of family members providing nonprofessional
attendant care under this paragraph may not be compensated for
more than a total of 12 hours per day.

c.3+ If the family member remains employed while providing
attendant or custodial care, the per-hour value of that care
equals the per-hour value of the family member's employment, not
to exceed the per-hour value of such care available in the
community at large.

2. The employer or carrier may use a nurse registry

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54

COMMITTEE/SUBCOMMITTEE AMENDMENT

Bill No. HB 437 (2020)
Amendment No. 1

licensed pursuant to s. 400.506 for the placement of authorized

compensable attendant care services.

Failure of the carrier to timely comply with this subsection
shall be a violation of this chapter and the carrier shall be

subject to penalties as provided for in s. 440.525.

TITLE AMENDMENT
Remove lines 3-6 and insert:
440.13, F.S.; authorizing the use of licensed nurse registries
for the placement of attendant care provided for workers'

compensation purposes; providing an effective date.

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Page 3 of 3
HB 487
HOUSE OF REPRESENTATIVES STAFF ANALYSIS

BILL #: HB 487 ‘Fire Prevention and Control
SPONSOR(S): Fetterhoff
TIED BILLS: IDEN./SIM. BILLS: SB 1092
REFERENCE ACTION ANALYST STAFF DIRECTOR or

BUDGET/POLICY CHIEF

1) Insurance & Banking Subcommittee Salter "4 Cooper (YaC—

2) Government Operations & Technology
Appropriations Subcommittee

3) Commerce Committee

SUMMARY ANALYSIS

Cancer has become the second leading cause of death among firefighters. Firefighters have a higher risk of
diagnosis and death from cancer than the general U.S. population. Following certain procedures and using
specific equipment has been shown to provide enhanced protection for firefighters against frequent exposure
to cancer causing agents.

The Division of State Fire Marshal (DSFM), Office of the Director, is located within the Department of Financial
Services (DFS). The Division is comprised of the Bureau of Fire Prevention and the Bureau of Fire Standards
and Training.

The bill creates the Firefighter Cancer Decontamination Equipment Grant Program within DSFM to provide
financial assistance in an effort to help protect firefighters from acquiring cancer. Funds allocated through this
program can be used for equipment, supplies, and education training related to mitigating exposure to
hazardous fire contaminants. The program will award grants on a need-based basis and require grant
recipients to contribute a minimum of 25 percent nonstate funding. DSFM is given rulemaking authority to
adopt rules and procedures for the program.

The bill does not contain an appropriation to create the Firefighter Cancer Decontamination Equipment Grant
Program within DFS. The bill has no fiscal impact on local government revenue or expenditures.

The bill has an effective date of July 1, 2020.

This document does not reflect the intent or official position of the bill sponsor or House of Representatives.
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FULL ANALYSIS
Il. SUBSTANTIVE ANALYSIS

A. EFFECT OF PROPOSED CHANGES:
Present Situation

Cancer has become the second leading cause of death to firefighters.’ Cancer caused 61 percent of
career firefighter line of duty deaths between January 1, 2002 and December 31, 2016.2 Firefighters
have a 9 percent higher risk of being diagnosed with cancer and a 14 percent higher risk of dying from
cancer than the general U.S. population.®

Inhalation of dangerous chemicals is one of many cancer-causing risks associated with firefighting,
as well as skin absorption.* Newer homes are made with high levels of plastics and synthetics,
intensifying the carcinogenic atmosphere firefighters work in.S While performing firefighting activities,
body temperature usually increases 3-5 degrees.® With every 5 degree increase in skin temperature,
the skin’s absorption rate increases by 400%.’ The neck area is one of the most likely areas to
become contaminated with toxic chemicals, even with the protection of a hood.’ Firefighters who
have only a single hood experience heightened exposure to hazardous, cancer-causing chemicals,
since they cannot immediately decontaminate their hood after use.

In 2016, Florida law established the Firefighter Assistance Grant Program, to annually provide financial
assistance to volunteer and combination fire departments.° Grants offered through this program are
awarded based on the Florida Fire Service Needs Assessment Survey, which is to be conducted
annually by applicants.'° The goal of the Firefighter Assistance Grant Program is to improve firefighter
safety and enable fire departments to provide services to their communities.

In August, 2018, DFS distributed a grant of one million dollars to be dispersed to Florida fire
departments. Partial funds were allocated to decontamination kits, used to further prevention of
cancer. Over 4,200 kits have been distributed to 405 Florida fire departments, each containing a 5-
gallon bucket, detergents, scrub brushes, hoses, and spray bottles, all of which are used to effectively
clean gear following a fire.""

! Firefighter Cancer Alliance, Firefighter Cancer Alliance, 2018.

? Robert Daniels, NJOSH Science Blog, Centers for Disease and Control Prevention (May 2017), blogs.cdc.gov/niosh-science-
blog/2017/05/10/ff-cancer-facts/ (last visited Nov. 27, 2019).

3 National Institute for Occupational Safety and Health conducted a study on 30,000 firefighters located in three different metro areas,
focusing on understanding the potential link between firefighting and cancer.

4 Taking Action against Cancer in the Fire Service, Firefighter Cancer Support Network (Aug. 2013),
https://firefightercancersupport.org/wp-content/uploads/20 17/1 1/taking-action-against-cancer-in-the-fire-service-pdf.pdf (last visited
Nov. 25, 2019).

> Marilyn Meyer, Florida Doesn’t Have a Presumptive-Cancer Law, The Ledger (Oct. 2017),
https://www.theledger.com/news/20171021/florida-doesnt-have-presumptive-cancer-law (last visited Nov. 20, 2019) (quoting Jim
Davis, Program Coordinator at Polk State College Fire Science Technology Program).

° Firefighter Cancer Reduction and Decontamination Suggested Guideline, NJ Department of Community Affairs.

1 Taking Action Against Cancer in the Fire Service, Firefighter Cancer Support Network (Aug. 2013).

8 Kenneth Fent, et al, Evaluation of Dermal Exposure to Polycyclic Aromatic Hydrocarbons in Fire Fighters, U.S. Department of
Health and Human Services Centers for Disease Control and Prevention National Institute for Occupational Safety and Health, Dec.
2013. Report No. 2010-0156-3196.

°S. 633.135, F.S.

10 Td.

'! CFO and State Fire Marshal Jimmy Patronis Delivers Cancer-Fighting Kits to Orange County Fire Rescue, Press Release (Aug.

2018) https://www.myfloridacfo.com/sitePages/newsroom/pressRelease.aspx?id=5083 (last visited Nov. 20, 2019).
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Studies have been conducted to determine the best ways to help firefighters prevent cancer on and
off the job.’ These steps include immediate decontamination of equipment, wearing full personal
protective equipment throughout an entire incident, providing a second set of gear to each firefighter
within a department, and keeping contaminated equipment out of interior areas, especially following
exposure to combustion.'? When a firefighter enters an atmosphere with fire, smoke, or byproducts of
combustion, he or she comes into contact with a number of cancer-causing chemicals, including but
not limited to arsenic, benzene, cadmium, chlorophenols, carbon monoxide, formaldehyde, and vinyl
chloride.'* Proper education, use, and storage of equipment will lessen the extent of contact with
these hazardous post-fire contaminants. With only a single set of gear, a firefighter must wait until the
end of a shift to decontaminate his or her gear, potentially elongating exposure to cancer-causing
chemicals. Funds from this program will assist departments’ abilities to have the proper gear and
equipment offered to all firefighters.

The Federal Government has appropriated funds to assist the Centers for Disease Control and
Prevention in creating and maintaining a registry of firefighters, in an effort to track occupational
history and related incidences of cancer.'> Additionally, the National Fire Protection Association
requires firefighters to receive annual medical examinations, improving efforts to track the correlation
between work and health.'®

Effect of Proposed Changes

The bill creates the Firefighter Cancer Decontamination Equipment Grant Program, within DSFM, to
assist in protecting firefighters from exposure to hazardous post-fire contaminants.

The Program will award financial assistance to fire departments, including volunteer departments, on a
need-based basis. Grant applicants must include a minimum of 25 percent nonstate funding. Funds
awarded will assist fire departments in purchasing equipment like decontamination kits and additional
personal protective gear, used to reduce the risk of cancer. Fire departments can also allocate grant
funds to other equipment and educational training.

The DSFM is given rulemaking authority to adopt rules and procedures for the Program that require
grant recipients to:
e Report their activity to the DSFM for submission in the Fire and Emergency Incident
Information Reporting System created under s. 633.136, F.S.
e Comply with the Florida Firefighters Occupational Safety and Health Act, under ss. 633.502-
633.536, F.S.
e Comply with any other rule determined by the State Fire Marshal to effectively and efficiently
implement, administer, and manage the program.

The bill does not contain an appropriation to fund the program."”

!2 See generally, Chief Todd J. LeDuc, 6 Ways to Reduce Cancer in the Fire Service, International Fire Chiefs Association (Nov.
2019), https://www.iafc.org/iCHIEFS/iCHIEFS-article/6-ways-to-reduce-cancer-in-the-fire-service (last visited Nov. 25, 2019); Chief
James P. Seavey Sr., Lavender Ribbon Report: 11 Actions to Mitigate the Risk of Cancer, International Fire Chiefs Association (Aug.
2018), https://www.iafc.org/docs/default-source/1 vcos/vcoslavendarribbonreport.pdf?sfvrsn=13f88b0d_8 (last visited Nov. 25, 2019).
Grace LeMasters, et al, Cancer Risk Among Firefighters: A Review and Meta-Analysis of 32 Studies. J Occup. Environ. Med., 48,
1189-202 (2006).

'3 Lavender Ribbon Report: 11 Actions to Mitigate the Risk of Cancer, pg. 9.

'4 Jesse Roman, Facing Cancer, National Fire Protection Association Journal (May 2017), https://www.nfpa.org/News-and-
Research/Publications-and-media/NFPA-Journal/20 | 7/May-June-2017/Features/Facing-Cancer (last visited Nov. 25, 2019).

5 Firefighter Cancer Registry Act of 2018, H.R. 931, 115th Cong. (2018).

'6 NFPA 1582: Standard on Comprehensive Occupational Medical Program for Fire Departments, Chapter 7.

7 The Governor’s Budget Recommendation for Fiscal Year 2020-2021 includes $150,000 nonrecurring from General Revenue to

establish the program. See line item 2417.
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B. SECTION DIRECTORY:

Section 1: creates s. 633.137, F.S., relating to the Firefighter Cancer Decontamination Equipment
Grant Program.

Section 2: provides an effective date.
ll. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:

1. Revenues:
None.

2. Expenditures:

DFS’s Fiscal Year 2020-2021 Legislative Budget Request included a request of $150,000 to
establish the grant program.'® According to DFS, the program will not require staffing beyond
current resources. '°

B. FISCAL IMPACT ON LOCAL GOVERNMENTS:

1. Revenues:
None.

2. Expenditures:
None.

C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:

None.

D. FISCAL COMMENTS:
None.

Ill. COMMENTS
A. CONSTITUTIONAL ISSUES:

1. Applicability of Municipality/County Mandates Provision:

Not applicable. This bill does not appear to require counties or municipalities to spend funds or take
action requiring the expenditure of funds; reduce the authority that counties or municipalities have to
raise revenues in the aggregate; or reduce the percentage of state tax shared with counties or
municipalities.

2. Other:
None.

'8 Department of Financial Services, Agency Analysis of 2020 House Bill 487, p. 3 (Dec. 4, 2019).
‘9 Email from Meredith Stanfield, Director of Legislative and Cabinet Affairs, Department of Financial Services, RE: HB 487

Decontamination Grant Program Questions (Nov. 22, 2019).
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B. RULE-MAKING AUTHORITY:

DSFM is given rulemaking authority to adopt rules and procedures for the Firefighter Cancer
Decontamination Equipment Grant Program.

C. DRAFTING ISSUES OR OTHER COMMENTS:

None.
IV. AMENDMENTS/ COMMITTEE SUBSTITUTE CHANGES
None.
STORAGE NAME: h0487.IBS.DOCX PAGE: 5

DATE: 12/5/2019
FLORIODA H OU S E O F REP RES EN TATIVE §

HB 487 2020

1 A bill to be entitled

2 An act relating to fire prevention and control;

3 creating s. 633.137, F.S.; creating the Firefighter

4 Cancer Decontamination Equipment Grant Program for

5 certain purposes; requiring the Division of State Fire

6 Marshal to administer the program and annually award

7 grants to qualifying fire departments; requiring the

8 State Fire Marshal to adopt rules and procedures;

9 providing eligibility requirements; providing

10 requirements for grant recipients; providing an

11 effective date.

12

13) Be It Enacted by the Legislature of the State of Florida:

14

15 Section 1. Section 633.137, Florida Statutes, is created
16} to read:

17 633.137 Firefighter Cancer Decontamination Equipment Grant
18} Program.—

19 (1) The Firefighter Cancer Decontamination Equipment Grant
20| Program is created within the division to help protect the
21} health and safety of firefighters in this state. The program
22| shall provide financial assistance to help fire departments,
23| including volunteer fire departments, procure equipment,
24} supplies, and educational training designed to mitigate exposure
25} to hazardous, cancer-causing chemicals.

Page 1 of 2

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hb0487-00
FLORtIODA HOUSE O F REP RES EN TATIV E S$

HB 487 2020

26 (2) The division shall administer the program and annually

27 award grants to fire departments on a need-based basis. The

28| division shall distribute equipment and training in a manner

29} that leads to the greatest reduction in incidences of

30] firefighters being exposed to hazardous post-fire contaminants.

31 (3) The State Fire Marshal shall adopt rules and

32] procedures for the program, including for the approval of

33} applications and development of need-based criteria. This

34 criteria shall include, but is not limited to, the

35} decontamination equipment and supply needs of the fire

36} department, the financial needs of the fire department, and the

37} level of nonstate matching funds proposed in the application.

38] Grant applications must include a minimum of 25 percent nonstate

39} funding.
40 (4) Grant recipients must:
41 (a) Report their activity to the division for submission

42} in the Fire and Emergency Incident Information Reporting System

43 created under s. 633.136.

44 (b) Comply with the Florida Firefighters Occupational
45) Safety and Health Act, ss. 633.502-633.536.

46 (c) Comply with any other rule determined by the State

47| Fire Marshal to effectively and efficiently implement,

48} administer, and manage the program.

49 Section 2. This act shall take effect July 1, 2020.

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hb0487-00
HB 7003
HOUSE OF REPRESENTATIVES STAFF ANALYSIS

BILL #: HB 7003 PCB OTM 20-04 OGSR/Payment Instrument Transaction Information/Office of
Financial Regulation

SPONSOR(S): Oversight, Transparency & Public Management Subcommittee, Andrade

TIED BILLS: IDEN./SIM. BILLS:

REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF

Orig. Comm.: Oversight, Transparency & Public 12 Y,0N Harrington Smith
Management Subcommittee Leap

1) Insurance & Banking Subcommittee Hinshelwood?eooper WT

2) State Affairs Committee

SUMMARY ANALYSIS

The Office of Financial Regulation (OFR) licenses and regulates check cashers. Florida law imposes various
requirements on check cashiers, including that such licensees maintain records of certain payment instrument
transaction information. As a result of a law passed in 2013, check cashers must enter into OFR’s check
cashing database specified information related to each payment instrument that exceeds $1,000. A public
record exemption created in 2013 provides confidential and exempt status, with specified exceptions, for
payment instrument transaction information that is held by OFR within the check cashing database and that
identifies a licensee, payor, payee, or conductor.

The Open Government Sunset Review Act (Act) requires the Legislature to review each public record
exemption and each public meeting exemption five years after enactment. If the Legislature does not reenact
the exemption, it automatically repeals on October 2nd of the fifth year after enactment. In accordance with the
Act, the 2013 public record exemption for information in the check cashing database was set for repeal on
October 2, 2018.

In 2018, the Legislature amended the exemption to clarify that OFR may release payment instrument
transaction information in the aggregate, so long as the information released does not reveal information that
identifies a licensee, payor, payee, or conductor. The 2018 legislation also extended the repeal date of the
public record exemption, moving it from 2018 to 2020.

The bill saves from repeal the public record exemption, which will repeal on October 2, 2020, if this bill does
not become law.

The bill does not appear to have a fiscal impact on the state or local governments.

This document does not reflect the intent or official position of the bill sponsor or House of Representatives.
STORAGE NAME: h7003.IBS.DOCX
DATE: 11/26/2019
FULL ANALYSIS
|. SUBSTANTIVE ANALYSIS

A. EFFECT OF PROPOSED CHANGES:
Background

Open Government Sunset Review Act

The Open Government Sunset Review Act’ (Act) sets forth a legislative review process for newly
created or substantially amended public record or public meeting exemptions. It requires an automatic
repeal of the exemption on October 2nd of the fifth year after creation or substantial amendment,
unless the Legislature reenacts the exemption.”

The Act provides that a public record or public meeting exemption may be created or maintained onlly if
it serves an identifiable public purpose. In addition, it may be no broader than is necessary to meet one
of the following purposes:

e Allow the state or its political subdivisions to effectively and efficiently administer a
governmental program, which administration would be significantly impaired without the
exemption.

e Protect sensitive personal information that, if released, would be defamatory or would
jeopardize an individual’s safety; however, only the identity of an individual may be exempted
under this provision.

e Protect trade or business secrets.*

If, and only if, in reenacting an exemption that will repeal, the exemption is expanded (essentially
creating a new exemption), then a public necessity statement and a two-thirds vote for passage are
required.‘ If the exemption is reenacted with grammatical or stylistic changes that do not expand the
exemption, if the exemption is narrowed, or if an exception to the exemption is created® then a public
necessity statement and a two-thirds vote for passage are not required.

Office of Financial Requlation Check Cashing Regulations
The Office of Financial Regulation (OFR) licenses and regulates check cashers pursuant to chapter
560, F.S. Florida law imposes various requirements on check cashiers, including requiring the licensee
to maintain copies of each payment instrument cashed.° If the payment instrument exceeds $1,000, the
following additional information must be maintained:
e Customer files, as prescribed by rule,’ on all customers who cash corporate payment
instruments that exceed $1,000;
e Acopy of the personal identification that bears a photograph of the customer used as
identification and presented by the customer; and
e A thumbprint of the customer taken by the licensee when the payment instrument is presented
for negotiation or payment.®

In addition to the information that a licensee must maintain, the following information must be entered
into the check cashing database operated by OFR before entering into each check cashing transaction
for each payment instrument being cashed if the payment exceeds $1,000:

' Section 119.15, F.S.

2 Section 119.15(3), F.S.

3 Section 119.15(6)(b), F.S.

* Section 24(c), Art. I of the State Constitution.

5 An example of an exception to a public record exemption would be allowing another agency access to confidential and exempt
records.

® Section 560.310(1), F.S.

7 Rule 69V-560.704, F.A.C.

8 Section 560.3 10(2)(a)-(c), F.S.
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Transaction date;

Payor name as displayed on the payment instrument;

Payee name as displayed on the payment instrument;

Conductor® name, if different from the payee name;

Amount of the payment instrument;

Amount of currency provided;

Type of payment instrument, which may include personal, payroll, government, corporate, third-
party, or another type of instrument;

Amount of the fee charged for cashing of the payment instrument;

Branch or location where the payment instrument was accepted;

The type of identification and the identification number presented by the payee or conductor;
Payee’s workers’ compensation insurance policy number or exemption certificate number, if the
payee is a business; and

e Such additional information as required by rule.*°

OFR must ensure that the check cashing database provides an interface with the Secretary of State’s
database for purposes of verifying corporate registration and articles of incorporation and with the
Department of Financial Services’ (DFS) database for purposes of determining proof of coverage for
workers’ compensation."

Public Record Exemption under Review

In 2013, the Legislature created a public record exemption for payment instrument transaction
information (check cashing database information) held by OFR that identifies a licensee, payor, payee,
or conductor.'? OFR may enter into information-sharing agreements with DFS, law enforcement
agencies, and other governmental agencies in certain circumstances, and require those agencies to
maintain the confidentiality of the information, except as required by court order.

The 2013 public necessity statement for the exemption provided that use of the check cashing
database is necessary to deter money laundering through these entities and to prevent fraud, including
workers’ compensation fraud. In addition, it provided that:

[T]he public availability of payment instrument transaction information would reveal
sensitive, personal financial information about payees and conductors who use
check-cashing programs, including paycheck amounts, salaries, and business
activities, as well as information regarding the financial stability of these persons.
Such information is traditionally private and sensitive. Protecting the confidentiality
of information that would identify these payees and conductors would provide
adequate protection for these persons while still providing public oversight of the
program. The public release of payment instrument transaction information would
also identify licensees or payors and reveal private business transaction
information that is traditionally private and could be used by competitors to harm
other licensee or payors in the marketplace. If such information were publicly
available, competitors could determine the amount of business conducted by other
licensees or payors."*

° “Conductor” is defined as “a natural person who presents himself or herself to a [check casher] for purposes of cashing a payment
instrument.” S. 560.103(9), F.S. The term is used in the context of the cashing of a corporate payment instrument, which is a payment
instrument on which the payee is not a natural person (i.e., the payee is a corporate entity). S. 560.103(10), F.S. A check casher may
“accept[] or cash[] a corporate payment instrument from a conductor who is an authorized officer of the corporate payee named on the
instrument’s face.” S. 560.309(4), F.S.

10 Section 560.310(1)(d), F.S.

! Section 560.310(5), F.S.

2 Chapter 2013-155, L.O.F.; codified as s. 560.312, F.S.

3 Section 2, ch. 2013-155, L.O-F.
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DATE: 11/26/2019
During the 2017 interim, subcommittee staff met with staff from OFR and DFS as part of its review
under the Open Government Sunset Review Act. OFR and DFS recommended that the exemption be
reenacted noting that the exemption has allowed the agencies to properly regulate licensees and to
monitor and prevent fraud while preventing the disclosure of information that would identify the licensee
payor, payee, or conductor. In 2018, the Legislature amended the exemption to clarify that OFR may
release payment instrument transaction information in the aggregate, so long as the information
released does not reveal information that identifies a licensee, payor, payee, or conductor.’* The 2018
legislation also extended the repeal date of the public record exemption, moving it from 2018 to 2020.

During the 2019 interim, subcommittee staff discussed the exemption with OFR, and OFR reiterated
the importance of maintaining the exemption to protect licensees and the personal financial information
of consumers. According to OFR, disclosure of such information could expose such individuals to
significant risk for identity theft.

Pursuant to the Open Government Sunset Review Act, the exemption will repeal on October 2, 2020,
unless reenacted by the Legislature."®

Effect of the Bill

The bill removes the repeal date, thereby maintaining the public record exemption for payment
instrument transaction information held by OFR pursuant to s. 560.310, F.S., which identifies a
licensee, payor, payee, or conductor.

B. SECTION DIRECTORY:

Section 1 amends s. 560.312, F.S., to save from repeal the public record exemption for payment
instrument transaction information held by OFR that reveals a licensee, payor, payee, or conductor.

Section 2 provides an effective date of October 1, 2020.
ll. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:

1. Revenues:
None.

2. Expenditures:

None.
B. FISCAL IMPACT ON LOCAL GOVERNMENTS:

1. Revenues:
None.

2. Expenditures:
None.

C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:

None.

4 Chapter 2018-116, L.O.F.; codified as s. 560.312(4), F-S.

5 Section 560.3 12(3), F.S.
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DATE: 11/26/2019
D. FISCAL COMMENTS:
None.

itl. COMMENTS
A. CONSTITUTIONAL ISSUES:

1. Applicability of Municipality/County Mandates Provision:
Not applicable. This bill does not appear to affect county or municipal governments.

2. Other:
None.

B. RULE-MAKING AUTHORITY:

None. The bill does not authorize or require rulemaking.

C. DRAFTING ISSUES OR OTHER COMMENTS:

None.
IV. AMENDMENTS/ COMMITTEE SUBSTITUTE CHANGES
None.
STORAGE NAME: h7003.IBS.DOCX PAGE: 5

DATE: 11/26/2019
FLORtIODA HOUSE O F REP RES EN TATIVE §$

ony nD oO FF W NY F

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HB 7003 2020

A bill to be entitled
An act relating to a review under the Open Government
Sunset Review Act; amending s. 560.312, F.S., which
provides an exemption from public records requirements
for certain payment instrument transaction information
held by the Office of Financial Regulation; removing
the scheduled repeal of the exemption; providing an

effective date.

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

Section 1. Subsection (4) of section 560.312, Florida
Statutes, is amended to read:
560.312 Database of payment instrument transactions;

confidentiality.—

~ ; ; ~ ne :

en Ccteber2,—_2620,—_untiess—eviewedoandsaved _tfrom repeat
through reenaetmentpy the tbegistature

Section 2. This act shall take effect October 1, 2020.

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hb7003-00

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