To amend Rule 61G7-10.002, F.A.C., to clarify the process and fee due when a controlling person leaves employment with one employee leasing company for another.

DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION
Board of Employee Leasing Companies

RULE NO: RULE TITLE
61G7-10.002: Reporting of Change of Status Required; Effect on Licensees; Change of Licensee Name
PURPOSE AND EFFECT: To amend Rule 61G7-10.002, F.A.C., to clarify the process and fee due when a controlling person leaves employment with one employee leasing company for another.
SUMMARY: The rule amendment would require a new owner or owners to show workers compensation coverage during the change of ownership and for the employees by providing a certificate of coverage from an insurance carrier that is admitted in the State of Florida.
SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS: No Statement of Estimated Regulatory Cost was prepared.
Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.
SPECIFIC AUTHORITY: 455.201(2), 468.522, 468.524(2), 468.525(3), 468.526, 468.530(3), 468.531, 455.201(2) FS.
LAW IMPLEMENTED: 468.524(2), 468.525(3), 468.526, 468.530(3), 468.531 FS.
IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN FAW.
THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Richard Morrison, Executive Director, Board of Employee Leasing Companies, 1940 North Monroe Street, Tallahassee, Florida 32399-0767

THE FULL TEXT OF THE PROPOSED RULE IS:

61G7-10.002 Reporting of Change of Status Required; Effect on Licensees; Change of Licensee Name.

(1) No change.

(2) Licensees experiencing a change in status listed below in the left column shall file or do what is listed in the corresponding right column as follows:

 

CHANGE IN STATUS	NEEDED ACTION BY COMPANY,
	GROUP, OR CONTROLLING PERSON
(a) through (c) No change.
(d) Sale or transfer of company stock which causes a change in controlling person(s) or other changes in the information contained in the original application	Controlling Person, effective 03-18-04 and DBPR EL 4511, entitled Application for Certificate of Approval for Change of Ownership, effective 03-18-04, where applicable. The above forms are incorporated by reference and available from the Board office or from the website at www.myflorida.com. http://www.myflorida.com/dbpr/pro/emplo/forms.html
(d)(e) Sale or transfer of company stock which causes a change in control	Change of Ownership application EL 4511, which causes a change in control and where applicable, controlling person license application for each new controlling person, DBPR EL 4510, and Historical Sketch form, DBPR EL 4512, where applicable. The above forms are incorporated by reference and available from the Board office at 1940 North Monroe Street, Tallahassee, Florida 32399-0750 or from the website at http://www.myflorida.com/dbpr/pro/emplo/forms.html. www.myflorida.com.
(e)(f) Sale or transfer of a majority of Florida business assets	Application for Certificate of Approval for Change of Ownership EL-4511, new company application if buyer not already licensed, and fee from buyer old license does not transfer but remains with seller; unless already licensed, new controlling person license application and fee for each new controlling person.
(f)(g) No change.
(g)(h) No change.
(h)(i) Controlling person resigns from Company A and is employed by Company B as controlling person	notification to Board from Company A and controlling person; notification to Board from Company B regarding new controlling person no new application or fee needed from controlling person license goes with controlling person; $5 transfer fee from controlling person.

 

(3) The notification required in subsection (1) shall be submitted to the executive director by any form of certified mail that provides the sender with delivery confirmation within 14 days of a change in a licensee’s status. Within 30 days of a change in its status, the licensee, or other entity resulting from such change or both, shall submit new applications, new financial or other information, and new or additional fees to the Board’s office as needed to comply with Part XI of Chapter 468, F.S., and the rules of this Board.

(4) through (5) No change.

(6) In the event of a change in status of controlling person pursuant to paragraph (2)(h) or (i), as outlined above, the controlling person and all employee leasing companies involved the company to which the controlling person has moved shall submit notifications to the Board of the acceptance of the controlling person’s transfer., along with a $25 fee for the change of company name on the individual’s license.

(7) No change.

(8) In the event of a change in ownership pursuant to paragraph (2)(d), (2)(e), or (2)(f) above, the new owner or owners must demonstrate that workers compensation coverage is in effect during the change of ownership and at all time subsequent thereto for the employees of the acquired entity by providing a certificate of coverage from an insurance carrier that is admitted in the State of Florida naming the new owner or owners as the insurer.

Rulemaking Specific Authority 455.201(2), 468.522, 468.524(2), 468.525(3), 468.526, 468.530(3), 468.531, 455.201(2) FS. Law Implemented 468.524(2), 468.525(3), 468.526, 468.530(3), 468.531 FS. History–New 1-27-93, Amended 5-20-93, Formerly 21EE-10.002, Amended 10-24-93, 8-17-94, 11-9-95, 5-21-96, 11-24-96, 3-18-97, 3-1-05, 10-23-05, 12-31-06,________.

NAME OF PERSON ORIGINATING PROPOSED RULE: Board of Employee Leasing Companies
NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Board of Employee Leasing Companies
DATE PROPOSED RULE APPROVED BY AGENCY HEAD: February 17, 2010
DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAW: May 15, 2009