73C-1.003. Program Implementation

In addition to the requirements set forth in section 288.7102, F.S., and this chapter, a Recipient must meet the performance conditions provided for in the agreement it enters into with the Department in order to remain qualified to receive funds under the Program. Any award of funds under the Program is conditioned upon their availability and upon a Certified Applicant’s execution of an agreement with the Department.

(1) Quarterly submission of a Conflict Statement.

(a) In addition to the requirements provided in section 288.714, F.S., all Recipients receiving funds under the Program shall provide the Department with a Conflict Statement quarterly. Upon the written request of a Recipient the Department may waive a conflict of interest if the following apply:

1. The nature of the conflict is fully disclosed;

2. The person or entity requesting the loan belongs to the group intended to be the beneficiaries of the loan program and the waiver will permit the person or entity to receive generally the same interests or benefits as are being made available or provided to the group as a whole; and,

3. The person who has the potential conflict of interest has withdrawn from all responsibility or participation in the loan decision-making process.

(b) Falsifying or misrepresenting information or the existence of a conflict within a Conflict Statement will be grounds for the immediate termination of the agreement by the Department and for the decertification of a Recipient. Any previously granted waivers by the Department of a conflict shall not exempt its disclosure in a Conflict Statement.

(2) Unobligated Program Funds shall be maintained by the Recipient in a separate interest bearing account subject to the terms and conditions of the agreement entered into with the Department to carry out the legislative intent and purposes of the Program.

(3) Quarterly Reports.

(a) In addition to the reporting requirements provided for in section 288.714, F.S., a Recipient’s quarterly report shall include a detailed summary of the Recipient’s performance duties imposed under the agreement it enters into with the Department.

(b) Based upon a Recipient’s quarterly report, the Department shall deny Direct Administrative Costs that do not advance the purpose of the Program as defined in section 288.7102(10), F.S. The Department’s denial shall be in writing and is subject to review under chapter 120, F.S.

(4) Technical Support and Technical Assistance.

(a) In the quarterly reports provided to the Department, and as further described in section 288.714, F.S., a Recipient shall describe the nature and amount of all Technical Support and Technical Assistance it has provided during that quarter to black business enterprises.

(b) Based upon a Recipient’s quarterly reporting of funds used as Technical Support and Technical Assistance, the Department shall deny funds so expended that do not advance the purpose of the Program as defined in section 288.7102(10), F.S. The Department’s denial shall be in writing and is subject to review under chapter 120, F.S.

(5) Financial Audits.

(a) The Department will evaluate all financial audits received pursuant to section 288.7102, F.S. in order to determine if an Instance of Material Noncompliance or a Material Weakness is revealed.

(b) If a financial audit received by the Department indicates or reveals an Instance of Material Noncompliance, a Material Weakness, or both, that cannot be cured within a reasonable time, the Department shall deny an application or terminate the agreement pursuant to its terms.

Rulemaking Authority 288.714, 288.7102(7) FS. Law Implemented 288.714, 288.7102 FS. History–New 9-1-08, Amended 10-10-10, Formerly 27M-3.003, Amended 6-25-14, 8-25-14.