The revision of this rule chapter will permit DEO to remove unnecessary language already defined by statute and more efficiently administer the Black Business Loan Program while ensuring compliance with the statutory intent of Section 288.7102, ...

 

DEPARTMENT OF ECONOMIC OPPORTUNITY

Division of Community Development

RULE NOS.:RULE TITLES:

73C-1.001Definitions and Forms

73C-1.002Application Process

73C-1.003Program Implementation

PURPOSE AND EFFECT: The revision of this rule chapter will permit DEO to remove unnecessary language already defined by statute and more efficiently administer the Black Business Loan Program while ensuring compliance with the statutory intent of Section 288.7102, Florida Statutes.

SUMMARY: Definitions for subject matter referenced within Section 288.7102, F.S., but not specifically defined; program application process; removal of unnecessary language.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION:

The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: The agency has performed a review of the statutory requirements and has determined that its proposed Rules 73C-1.001, 1.002, and 1.003, have no adverse impact or regulatory costs which exceed any of the criteria established in Section 120.541(2)(a), Florida Statutes. The rules are therefore expected be able to take effect without the need of being ratified by the Legislature.

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.

RULEMAKING AUTHORITY: 288.7102(7) FS.

LAW IMPLEMENTED: 288.7094(2), 288.7102 FS.

IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN THE FAR.

Pursuant to the provisions of the Americans with Disabilities Act, any person requiring special accommodations to participate in this workshop/meeting is asked to advise the agency at least 14 days before the workshop/meeting by contacting: Stacy Bouie, Division of Community Development, Department of Economic Opportunity, 107 East Madison Street, MSC 160, Tallahassee, Florida 32399, [phone]. If you are hearing or speech impaired, please contact the agency using the Florida Relay Service, 1(800)955-8771 (TDD) or 1(800)955-8770 (Voice).

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Stacy Bouie, Division of Community Development, Department of Economic Opportunity, 107 East Madison Street, MSC 160, Tallahassee, Florida 32399, [phone]

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

73C-1.001 Definitions and Forms.

(1) through (13) No change.

(14) “Program Funds” or “State Funds” are all funds provided by the Department to a Recipient under the Program as well as all income and return of equity generated through the use of those funds. All such funds shall revert back to the Department, and all evidence of an obligation to repay Program Funds including, but not limited to, promissory notes, mortgages, stock certificates, judgments, and liens, shall be assigned to the Department should any of the following occur: expiration or termination of the agreement between the Department and a Recipient, decertification of a Recipient, denial of recertification of an Existing Recipient, or the Program is allowed to sunset or is repealed by the Florida Legislature.

(15) “Reasonable Profit(s)” means the direct administrative costs authorized by Section 288.7102(8)(c), F.S., and which advance the purpose of the Program as defined in Section 288.7102(10), F.S., as well as those moneys collected through origination, closing, and servicing fees, charged by a Recipient and which are consistent with the industry standards for non-governmental lending. Money acquired by a Recipient through the charging of late fees or generated through the use of a collection agency do not fall under this definition.

(16) through (18) No change.

Rulemaking Authority 288.7102(7) FS. Law Implemented 288.7094(2), 288.7102 FS. History–New 9-1-08, Amended 10-10-10, 6-5-14, Formerly 27M-3.001, Amended_________.

 

73C-1.002 Application Process.

(1) through (7) No change.

(8) A Certified Applicant shall submit a signed agreement to the Department within 45 days after its receipt of the agreement.  A Certified Applicant’s failure to timely do so will result in a denial of its application. An extension of the 45 day deadline for the return of the agreement may be granted by the Department if good cause is provided by the Certified Applicant.

(9) No change.

Rulemaking Authority 288.7102(7) FS. Law Implemented 288.7094(2), 288.7102 FS. History–New 9-1-08, Amended 10-10-10, 6-5-14, Formerly 27M-3.002, Amended_________.

 

73C-1.003 Program Implementation.

(1) through (4) No change.

(5) Financial Audits.

(a) through (b) No change.

(c) An Existing Recipient shall not employ the same independent certified public accountant or accounting firm for more than three consecutive years to prepare its annual financial audit. A Recipient’s failure to change its independent certified public accountant or accounting firm shall result in the Department denying the Existing Recipient’s Application for Recertification.

Rulemaking Authority 288.7102(7) FS. Law Implemented 288.7094(2), 288.7102 FS. History–New 9-1-08, Amended 10-10-10, 6-5-14, Formerly 27M-3.002, Amended_________.

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Stacy Bouie, Division of Community Development

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Jesse Panuccio

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: June 18, 2014

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: June 25, 2014