CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 1 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S A bill to be entitled 1 An act relating to education; amending s. 212.055, 2 F.S.; conforming provisions to changes made by the 3 act; amending s. 1001.706, F.S.; requiring the Board 4 of Governors to develop regulations for university 5 boards of trustees relating to contracting for the 6 construction of new facilities or for work on existing 7 facilities; providing requirements for certain 8 contracts executed, extended, or amended on or before 9 a specified date; creating s. 1004.3841, F.S.; 10 creating the Institute for Risk Management and 11 Insurance Education within the College of Business at 12 the University of Central Florida; requiring the 13 institute to be located in a specified county; 14 providing goals of the institute; amending s. 1009.26, 15 F.S.; providing that certain fee waivers apply to 16 Florida College System institutions in addition to 17 state universities; authorizing a state university or 18 Florida College System institution to waive the out -19 of-state fee for a student who is an intercollegiate 20 athlete receiving an athletic scholarship; amending s. 21 1011.45, F.S.; revising the list of authorized 22 expenditures that may be included in a carry forward 23 spending plan for state universities; amending s. 24 1012.886, F.S.; revising a limitation on compensation 25 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 2 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S for Florida College System institution administra tive 26 employees; amending s. 1012.976, F.S.; revising and 27 providing definitions; revising a limitation on 28 compensation for state university employees; amending 29 s. 1012.978, F.S.; requiring university boards of 30 trustees to submit an annual report to the Boar d of 31 Governors when awarding bonuses; requiring the board 32 to develop a regulation; amending s. 1013.45, F.S.; 33 revising applicability of certain educational 34 facilities contracting and construction techniques; 35 amending s. 1013.62, F.S.; deleting obsolete lan guage; 36 making technical changes; revising the calculation 37 methodologies for the distribution of specified funds 38 to eligible charter schools; providing school district 39 requirements for the distribution of capital outlay 40 funds to eligible charter schools; amending s. 41 1013.64, F.S.; deleting cost and size limitations 42 applicable to certain minor facilities; amending s. 43 1013.841, F.S.; revising the list of authorized 44 expenditures that may be included in a carry forward 45 spending plan for Florida College System in stitutions; 46 providing an effective date. 47 48 Be It Enacted by the Legislature of the State of Florida: 49 50 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 3 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S Section 1. Paragraph (b) of subsection (6) of section 51 212.055, Florida Statutes, is amended to read: 52 212.055 Discretionary sales surtaxes; legisl ative intent; 53 authorization and use of proceeds. —It is the legislative intent 54 that any authorization for imposition of a discretionary sales 55 surtax shall be published in the Florida Statutes as a 56 subsection of this section, irrespective of the duration of the 57 levy. Each enactment shall specify the types of counties 58 authorized to levy; the rate or rates which may be imposed; the 59 maximum length of time the surtax may be imposed, if any; the 60 procedure which must be followed to secure voter approval, if 61 required; the purpose for which the proceeds may be expended; 62 and such other requirements as the Legislature may provide. 63 Taxable transactions and administrative procedures shall be as 64 provided in s. 212.054. 65 (6) SCHOOL CAPITAL OUTLAY SURTAX. — 66 (b) The resolution must include a statement that provides 67 a brief and general description of the school capital outlay 68 projects to be funded by the surtax. The resolution must include 69 a statement that the revenues collected must be shared with 70 eligible charter schools ba sed on their proportionate share of 71 the total school district capital outlay full-time equivalent 72 enrollment as adopted by the education estimating conference 73 established in s. 216.136 enrollment. The statement must conform 74 to the requirements of s. 101.16 1 and shall be placed on the 75 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 4 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S ballot by the governing body of the county. The following 76 question shall be placed on the ballot: 77 78 ....FOR THE ....CENTS TAX 79 ....AGAINST THE ....CENTS TAX 80 Section 2. Paragraph (a) of subsection (7) of section 81 1001.706, Florida Statutes, is amended to read: 82 1001.706 Powers and duties of the Board of Governors. — 83 (7) POWERS AND DUTIES RELATING TO PROPERTY. — 84 (a) The Board of Governors shall develop guidelines for 85 university boards of trustees relating to the acquisition of 86 real and personal property and the sale and disposal thereof and 87 the approval and execution of contracts for the purchase, sale, 88 lease, license, or acquisition of commodities, goods, equipment, 89 contractual services, leases of real and person al property, and 90 construction. The acquisition may include purchase by 91 installment or lease -purchase. Such contracts may provide for 92 payment of interest on the unpaid portion of the purchase price. 93 Title to all real property acquired before prior to January 7, 94 2003, and to all real property acquired with funds appropriated 95 by the Legislature shall be vested in the Board of Trustees of 96 the Internal Improvement Trust Fund and shall be transferred and 97 conveyed by it. 98 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 5 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S 1. No later than October 1, 2023, the Bo ard of Governors 99 shall develop regulations for university boards of trustees 100 relating to the procedures for contracting for professional 101 services as defined in s. 287.055(2)(a) and for the construction 102 of new facilities or for the remodeling, renovation, o r 103 maintenance of or additions or repairs to existing facilities. 104 The regulations must include, but are not limited to, 105 competitive bids, design -build, and selection of a construction 106 management entity. Contracts executed, extended, or amended on 107 or before September 30, 2023, must comply with the requirements 108 of s. 287.055. 109 2. Notwithstanding any other provisions of this 110 subsection, each board of trustees shall comply with the 111 provisions of s. 287.055 for the procurement of professional 112 services as defined therein. any acquisition pursuant to this 113 paragraph is subject to the provisions of s. 1010.62. 114 Section 3. Section 1004.3841, Florida Statutes, is created 115 to read: 116 1004.3841 The Institute for Risk Management and Insurance 117 Education.—The Institute for Risk Management and Insurance 118 Education is established within the College of Business at the 119 University of Central Florida. Since insurance and risk 120 management is a major industry in the state, with a 121 concentration of such industry in Volusia County, th e institute 122 shall be located in Volusia County. Like many other industries 123 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 6 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S in the state, the insurance and risk management industry is 124 being revolutionized by, among other things, the integration of 125 technology, predictive analytics, and data science, and i s 126 becoming more complex given its exposure to transformative 127 trends in the economy and environment. The purpose of the 128 institute is to respond to the ever -evolving insurance and risk 129 management industry and the present and emerging needs of the 130 state and its residents. The goals of the institute are to: 131 (1) Pursue technological innovations that advance risk 132 valuation models and operational efficiencies in the insurance 133 industry. 134 (2) Drive the development of workforce competencies in 135 data analytics, syst em-level thinking, technology integration, 136 entrepreneurship, and actuarial science. 137 (3) Leverage the University of Central Florida's world 138 class assets in data science, artificial intelligence, computer 139 science, engineering, finance, economics, and sales . 140 (4) Take advantage of the University of Central Florida's 141 robust portfolio of academic program offerings and draw on 142 faculty and industry experts in diverse fields, including 143 actuarial science, computer science, economics, engineering, 144 environmental science, finance, forensics, law, management, 145 marketing, and psychology. 146 (5) Develop and offer risk management and insurance 147 education, including education that recognizes risks in areas 148 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 7 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S such as the environment, pandemic disease, and digital security. 149 (6) Offer programs, workshops, case studies, and applied 150 research studies that integrate technology and artificial 151 intelligence with soft skills while preparing students and 152 professionals for the technology -enabled insurance industry of 153 the future. 154 Section 4. Subsections (2) and (4) of section 1009.26, 155 Florida Statutes, are amended, and subsection (21) is added to 156 that section, to read: 157 1009.26 Fee waivers. — 158 (2) A state university or Florida College System 159 institution may waive any or all application, tuition, or and 160 related fees for persons who supervise student interns for a 161 state university or Florida College System institution . 162 (4) A state university or Florida College System 163 institution may waive any or all application, tuition, or and 164 related fees for persons 60 years of age or older who are 165 residents of this state and who attend classes for credit. No 166 Academic credit may not shall be awarded for attendance in 167 classes for which fees are waived under this subsection. This 168 privilege may be granted only on a space -available basis, if 169 such classes are not filled as of the close of registration. A 170 university or Florida College System ins titution may limit or 171 deny the privilege for courses that which are in programs for 172 which the Board of Governors or State Board of Education, 173 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 8 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S respectively, has established selective admissions criteria. 174 Persons paying full fees and state employees taking c ourses on a 175 space-available basis shall have priority over those persons 176 whose fees are waived in all cases where classroom spaces are 177 limited. 178 (21) A state university or Florida College System 179 institution may waive the out -of-state fee for a student who is 180 an intercollegiate athlete receiving an athletic scholarship. 181 Section 5. Subsection (3) of section 1011.45, Florida 182 Statutes, is amended to read: 183 1011.45 End of year balance of funds. —Unexpended amounts 184 in any fund in a university current year op erating budget shall 185 be carried forward and included as the balance forward for that 186 fund in the approved operating budget for the following year. 187 (3) A university's carry forward spending plan must shall 188 include the estimated cost per planned expenditur e and a 189 timeline for completion of the expenditure. Authorized 190 expenditures in a carry forward spending plan may include: 191 (a) Commitment of funds to a public education capital 192 outlay project for which an appropriation has previously been 193 provided that requires additional funds for completion and which 194 is included in the list required by s. 1001.706(12)(d); 195 (b) Completion of a renovation, repair, or maintenance 196 project that is consistent with the provisions of s. 1013.64(1) 197 or, up to $5 million per proje ct and replacement of a minor 198 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 9 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S facility that does not exceed 10,000 gross square feet in size 199 up to $2 million; 200 (c) Completion of a remodeling or infrastructure project, 201 including a project for a developmental research school, up to 202 $10 million per projec t, if such project is survey recommended 203 pursuant to s. 1013.31; 204 (d) Completion of a repair or replacement project 205 necessary due to damage caused by a natural disaster for 206 buildings included in the inventory required pursuant to s. 207 1013.31; 208 (e) Operating expenditures that support the university's 209 university mission and that are nonrecurring ; 210 (f) Any purpose specified by the board or in the General 211 Appropriations Act, including the requirements in s. 212 1001.706(12)(c) or similar requirements pursuant to Board of 213 Governors regulations ; and 214 (g) A commitment of funds to a contingency reserve for 215 expenses incurred as a result of a state of emergency declared 216 by the Governor pursuant to s. 252.36 . 217 Section 6. Subsection (2) of section 1012.886, Florida 218 Statutes, is amended to read: 219 1012.886 Remuneration of Florida College System 220 institution administrative employees; limitations. — 221 (2) LIMITATION ON COMPENSATION. —Notwithstanding any other 222 law, resolution, or rule to the contrary, a Florida College 223 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 10 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S System institution administrative employee may not receive more 224 than $250,000 $200,000 in remuneration annually from 225 appropriated state funds. Only compensation, as such term is 226 defined in s. 121.021(22), provided to a Florida College System 227 institution administ rative employee may be used in calculating 228 benefits under chapter 121. 229 Section 7. Section 1012.976, Florida Statutes, is amended 230 to read: 231 1012.976 Remuneration of state university employees; 232 limitations.— 233 (1) DEFINITIONS.—As used in this section, t he term: 234 (a) "Appropriated state funds" means funds appropriated 235 from the General Revenue Fund or funds appropriated from state 236 trust funds. 237 (b) "Cash-equivalent compensation" means any benefit that 238 may be assigned an equivalent cash value. 239 (b) "Public funds" means funds appropriated from the 240 General Revenue Fund, funds appropriated from state trust funds, 241 or tuition and fees. 242 (c) "Remuneration" means salary, bonuses, and cash -243 equivalent compensation paid to a state university employee by 244 his or her employer for work performed, excluding health 245 insurance benefits and retirement benefits. 246 (2) LIMITATION ON COMPENSATION. —Notwithstanding any other 247 law, resolution, or rule to the contrary, a state university 248 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 11 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S employee may not receive more than $250,000 $200,000 in 249 remuneration annually from public appropriated state funds. Only 250 compensation, as such term is defined in s. 121.021(22), 251 provided to a state university employee may be used in 252 calculating benefits under chapter 121. 253 (3) EXCEPTIONS.—This section does not prohibit any party 254 from providing cash or cash-equivalent compensation from funds 255 that are not public appropriated state funds to a state 256 university employee in excess of the limit in subsection (2). If 257 a party is unable or unwilling to fulfill an obligation to 258 provide cash or cash -equivalent compensation to a state 259 university employee as permitted under this subsection, public 260 appropriated state funds may not be used to fulfill such 261 obligation. This section does not a pply to university teaching 262 faculty in instructional programs classified as Computer 263 Information Sciences and Support Services; Engineering; 264 Engineering Technologies and Engineering -Related Fields; Florida 265 Mental Health Institute; Health Professions and Re lated 266 Programs; Homeland Security, Law Enforcement, Firefighting, and 267 Related Fields; Mathematics; Nursing; or Physical Sciences; or 268 to medical school faculty or staff . 269 Section 8. Section 1012.978, Florida Statutes, is amended 270 to read: 271 1012.978 Bonuses for state university system employees. —272 Notwithstanding s. 215.425(3), a university board of trustees 273 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 12 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S may implement a bonus scheme based on awards for work 274 performance or employee recruitment and retention. The board of 275 trustees must submit an annual report to the Board of Governors 276 when awarding bonuses the bonus scheme, including the evaluation 277 criteria by which a bonus will be awarded . The Board of 278 Governors shall develop a regulation to ensure consistency in 279 the implementation of this section must approve any bonus scheme 280 created under this section before its implementation . 281 Section 9. Section 1013.45, Florida Statutes, is amended 282 to read: 283 1013.45 Educational facilities contracting and 284 construction techniques for school districts and Florida Coll ege 285 System institutions.— 286 (1) District school boards and boards of trustees of 287 Florida College System institutions may employ procedures to 288 contract for construction of new facilities, or for additions, 289 remodeling, renovation, maintenance, or repairs to existing 290 facilities, which that will include, but are not be limited to: 291 (a) Competitive bids . 292 (b) Design-build pursuant to s. 287.055. 293 (c) Selecting a construction management entity, pursuant 294 to s. 255.103 or the process provided by s. 287.055, that would 295 be responsible for all scheduling and coordination in both 296 design and construction phases and is generally responsible for 297 the successful, timely, and economical completion of the 298 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 13 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S construction project. The construction management entity must 299 consist of or contract with licensed or registered professionals 300 for the specific fields or areas of construction to be 301 performed, as required by la w. At the option of the board, the 302 construction management entity, after having been selected, may 303 be required to offer a guaranteed maximum price or a guaranteed 304 completion date; in which case, the construction management 305 entity must secure an appropriate surety bond pursuant to s. 306 255.05 and must hold construction subcontracts. The criteria for 307 selecting a construction management entity may shall not 308 unfairly penalize an entity that has relevant experience in the 309 delivery of construction projects of simil ar size and complexity 310 by methods of delivery other than construction management. 311 (d) Selecting a program management entity, pursuant to s. 312 255.103 or the process provided by s. 287.055, that would act as 313 the agent of the board and would be responsible f or schedule 314 control, cost control, and coordination in providing or 315 procuring planning, design, and construction services. The 316 program management entity must consist of or contract with 317 licensed or registered professionals for the specific areas of 318 design or construction to be performed as required by law. The 319 program management entity may retain necessary design 320 professionals selected under the process provided in s. 287.055. 321 At the option of the board, the program management entity, after 322 having been selected, may be required to offer a guaranteed 323 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 14 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S maximum price or a guaranteed completion date, in which case the 324 program management entity must secure an appropriate surety bond 325 pursuant to s. 255.05 and must hold design and construction 326 subcontracts. The crit eria for selecting a program management 327 entity may shall not unfairly penalize an entity that has 328 relevant experience in the delivery of construction programs of 329 similar size and complexity by methods of delivery other than 330 program management. 331 (e) Day-labor contracts not exceeding $280,000 for 332 construction, renovation, remodeling, or maintenance of existing 333 facilities. This amount shall be adjusted annually based upon 334 changes in the Consumer Price Index. 335 (2) For the purposes of this section, "day -labor contract" 336 means a project constructed using persons employed directly by a 337 board or by contracted labor. 338 (3) Contractors, design -build firms, contract management 339 entities, program management entities, or any other person under 340 contract to construct facil ities or major additions to 341 facilities may use any construction techniques allowed by 342 contract and not prohibited by law, including, but not limited 343 to, those techniques known as fast -track construction 344 scheduling, use of components, and systems building p rocess. 345 (4) Except as otherwise provided in this section and s. 346 481.229, the services of a registered architect must be used for 347 the development of plans for the erection, enlargement, or 348 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 15 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S alteration of any educational facility. The services of a 349 registered architect are not required for a minor renovation 350 project for which the construction cost is less than $50,000 or 351 for the placement or hookup of relocatable educational 352 facilities that conform to with standards adopted under s. 353 1013.37. However, boards must provide compliance with building 354 code requirements and ensure that these structures are 355 adequately anchored for wind resistance as required by law. A 356 district school board shall reuse existing construction 357 documents or design criteria packages if such reuse is feasible 358 and practical. If a school district's 5 -year educational 359 facilities work plan includes the construction of two or more 360 new schools for students in the same grade group and program, 361 such as elementary, middle, or high school, the district school 362 board must shall require that prototype design and construction 363 be used for the construction of these schools. Notwithstanding 364 s. 287.055, a board may purchase the architectural services for 365 the design of educational or ancillary facilities under a n 366 existing contract agreement for professional services held by a 367 district school board in the State of Florida, provided that the 368 purchase is to the economic advantage of the purchasing board, 369 the services conform to the standards prescribed by rules of t he 370 State Board of Education, and such reuse is not without notice 371 to, and permission from, the architect of record whose plans or 372 design criteria are being reused. Plans must shall be reviewed 373 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 16 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S for compliance with the State Requirements for Educational 374 Facilities. Rules adopted under this section must establish 375 uniform prequalification, selection, bidding, and negotiation 376 procedures applicable to construction management contracts and 377 the design-build process. This section does not supersede any 378 small, woman-owned, or minority-owned business enterprise 379 preference program adopted by a board. Except as otherwise 380 provided in this section, the negotiation procedures applicable 381 to construction management contracts and the design -build 382 process must conform to the requirem ents of s. 287.055. A board 383 may not modify any rules regarding construction management 384 contracts or the design -build process. 385 Section 10. Subsections (1), (2), and (3) of section 386 1013.62, Florida Statutes, are amended to read: 387 1013.62 Charter schools capital outlay funding. — 388 (1) For the 2022-2023 fiscal year, charter school capital 389 outlay funding shall consist of state funds appropriated in the 390 2022-2023 General Appropriations Act. Beginning in fiscal year 391 2023-2024, Charter school capital outlay fu nding shall consist 392 of state funds when such funds are appropriated in the General 393 Appropriations Act and revenue resulting from the discretionary 394 millage authorized in s. 1011.71(2) if the amount of state funds 395 appropriated for charter school capital outl ay in any fiscal 396 year is less than the average charter school capital outlay 397 funds per unweighted full -time equivalent student for the 2018 -398 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 17 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S 2019 fiscal year, multiplied by the estimated number of charter 399 school students for the applicable fiscal year, and adjusted by 400 changes in the Consumer Price Index issued by the United States 401 Department of Labor from the previous fiscal year. Nothing in 402 this subsection prohibits a school district from distributing to 403 charter schools funds resulting from the discretionar y millage 404 authorized in s. 1011.71(2) . 405 (a) To be eligible to receive capital outlay funds, a 406 charter school must: 407 1.a. Have been in operation for 2 or more years; 408 b. Be governed by a governing board established in the 409 state for 2 or more years which operates both charter schools 410 and conversion charter schools within the state; 411 c. Be an expanded feeder chain of a charter school within 412 the same school district that is currently receiving charter 413 school capital outlay funds; 414 d. Have been accredited b y a regional accrediting 415 association as defined by State Board of Education rule; 416 e. Serve students in facilities that are provided by a 417 business partner for a charter school -in-the-workplace pursuant 418 to s. 1002.33(15)(b); or 419 f. Be operated by a hope o perator pursuant to s. 1002.333. 420 2. Have an annual audit that does not reveal any of the 421 financial emergency conditions provided in s. 218.503(1) for the 422 most recent fiscal year for which such audit results are 423 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 18 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S available. 424 3. Have satisfactory student a chievement based on state 425 accountability standards applicable to the charter school. 426 4. Have received final approval from its sponsor pursuant 427 to s. 1002.33 for operation during that fiscal year. 428 5. Serve students in facilities that are not provided by 429 the charter school's sponsor. 430 (b) A charter school is not eligible to receive capital 431 outlay funds if it was created by the conversion of a public 432 school and operates in facilities provided by the charter 433 school's sponsor for a nominal fee, or at no cha rge, or if it is 434 directly or indirectly operated by the school district. 435 (2) The department shall use the following calculation 436 methodology to allocate state funds appropriated in the General 437 Appropriations Act to eligible charter schools: 438 (a) Eligible charter schools shall be grouped into 439 categories based on their student populations according to the 440 following criteria: 441 1. Seventy-five percent or greater who are eligible for 442 free or reduced-price school meals under the National School 443 Lunch Program or, for schools operating programs under the 444 Community Eligibility Provision of the Healthy, Hunger -Free Kids 445 Act of 2010, an equivalent percentage of the student population 446 eligible for free and reduced -price meals as determined by 447 applying the multiplier authorized under the National School 448 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 19 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S Lunch Act, 42 U.S.C. s. 1759a(a)(1)(F)(vii), to the number of 449 students reported for direct certification. 450 2. Twenty-five percent or greater with disabilities as 451 defined in state board rule and consistent with the requ irements 452 of the Individuals with Disabilities Education Act. 453 (b) If an eligible charter school does not meet the 454 criteria for either category under paragraph (a), its FTE shall 455 be provided as the base amount of funding and shall be assigned 456 a weight of 1.0. An eligible charter school that meets the 457 criteria under subparagraph (a)1. or subparagraph (a)2. shall be 458 provided an additional 25 percent above the base funding amount, 459 and the total FTE shall be multiplied by a weight of 1.25. An 460 eligible charter school that meets the criteria under both 461 subparagraphs (a)1. and (a)2. shall be provided an additional 50 462 percent above the base funding amount, and the FTE for that 463 school shall be multiplied by a weight of 1.5. 464 (a)(c) Divide the state appropriation fo r charter school 465 capital outlay shall be divided by the total weighted FTE for 466 all eligible charter schools to determine the base charter 467 school per weighted FTE allocation amount. The base charter 468 school per weighted FTE allocation amount shall be multipl ied by 469 the weighted FTE of each charter school to determine each 470 charter school's capital outlay allocation. 471 (b)(d) The department shall calculate the eligible charter 472 school funding allocations. Funds shall be allocated using full -473 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 20 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S time equivalent member ship from the second and third enrollment 474 surveys and free and reduced -price school lunch data . The 475 department shall recalculate the allocations periodically based 476 on the receipt of revised information, on a schedule established 477 by the Commissioner of Educ ation. 478 (c)(e) The department shall distribute capital outlay 479 funds monthly, beginning in the first quarter of the fiscal 480 year, based on one-twelfth of the amount the department 481 reasonably expects the charter school to receive during that 482 fiscal year. The commissioner shall adjust subsequent 483 distributions as necessary to reflect each charter school's 484 recalculated allocation. 485 (3) If the school board levies the discretionary millage 486 authorized in s. 1011.71(2), and the state funds appropriated 487 for charter school capital outlay in any fiscal year are less 488 than the average charter school capital outlay funds per 489 unweighted full-time equivalent student for the 2018 -2019 fiscal 490 year, multiplied by the estimated number of charter school 491 students for the applicab le fiscal year, and adjusted by changes 492 in the Consumer Price Index issued by the United States 493 Department of Labor from the previous fiscal year, the 494 department shall use the following calculation methodology to 495 determine the amount of revenue that a scho ol district must 496 distribute to each eligible charter school: 497 (a) Reduce the total discretionary millage revenue by the 498 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 21 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S school district's annual debt service obligation incurred as of 499 March 1, 2017, which has not been subsequently retired, and any 500 amount of participation requirement pursuant to s. 501 1013.64(2)(a)8. that is being satisfied by revenues raised by 502 the discretionary millage. 503 (b) Divide the school district's adjusted discretionary 504 millage revenue by the district's total capital outlay full -time 505 equivalent membership and the total number of unweighted full-506 time equivalent students of each eligible charter school to 507 determine a capital outlay allocation per full -time equivalent 508 student. 509 (c) Multiply the capital outlay allocation per full -time 510 equivalent student by the total number of full -time equivalent 511 students of each eligible charter school to determine the 512 capital outlay allocation for each charter school. 513 (d) If applicable, reduce the capital outlay allocation 514 identified in paragraph (c) b y the total amount of state funds 515 allocated to each eligible charter school in subsection (2) to 516 determine the maximum calculated capital outlay allocation. The 517 amount of funds a school district must distribute to charter 518 schools shall be as follows: 519 1. For fiscal year 2023 -2024, the amount is 20 percent of 520 the amount calculated under this paragraph. 521 2. For fiscal year 2024 -2025, the amount is 40 percent of 522 the amount calculated under this paragraph. 523 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 22 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S 3. For fiscal year 2025 -2026, the amount is 60 perc ent of 524 the amount calculated under this paragraph. 525 4. For fiscal year 2026 -2027, the amount is 80 percent of 526 the amount calculated under this paragraph. 527 5. For fiscal year 2027 -2028, and each fiscal year 528 thereafter, the amount is 100 percent of the amo unt calculated 529 under this paragraph. 530 (e) School districts shall distribute capital outlay funds 531 to eligible charter schools no later than February 1 of each 532 year, as required by this subsection, based on the amount of 533 funds received by the district schoo l board. School districts 534 shall distribute any remaining capital outlay funds, as required 535 by this subsection, upon the receipt of such funds until the 536 total amount calculated pursuant to this subsection is 537 distributed. 538 539 By October 1 of each year, each sch ool district shall certify to 540 the department the amount of debt service and participation 541 requirement that complies with the requirement of paragraph (a) 542 and can be reduced from the total discretionary millage revenue. 543 The Auditor General shall verify comp liance with the 544 requirements of paragraph (a) and s. 1011.71(2)(e) during 545 scheduled operational audits of school districts. 546 Section 11. Paragraph (h) of subsection (1) of section 547 1013.64, Florida Statutes, is amended to read: 548 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 23 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S 1013.64 Funds for compre hensive educational plant needs; 549 construction cost maximums for school district capital 550 projects.—Allocations from the Public Education Capital Outlay 551 and Debt Service Trust Fund to the various boards for capital 552 outlay projects shall be determined as foll ows: 553 (1) 554 (h) University boards of trustees may utilize funds 555 appropriated pursuant to this section for replacement of minor 556 facilities provided that such projects do not exceed $1 million 557 in cost or 10,000 gross square feet in size . Minor facilities 558 may not be replaced from funds provided pursuant to this section 559 unless the board determines that the cost of repair or 560 renovation is greater than or equal to the cost of replacement. 561 Section 12. Subsection (4) of section 1013.841, Florida 562 Statutes, is amended to read: 563 1013.841 End of year balance of Florida College System 564 institution funds.— 565 (4) A Florida College System institution identified in 566 paragraph (3)(b) must include in its carry forward spending plan 567 the estimated cost per planned expenditure and a timeline for 568 completion of the expenditure. Authorized expenditures in a 569 carry forward spending plan may include: 570 (a) Commitment of funds to a public education capital 571 outlay project for which an appropriation was previously 572 provided, which requir es additional funds for completion, and 573 CS/HB 1259 2023 CODING: Words stricken are deletions; words underlined are additions. hb1259-01-c1 Page 24 of 24 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S which is included in the list required by s. 1001.03(18)(d); 574 (b) Completion of a renovation, repair, or maintenance 575 project that is consistent with the provisions of s. 1013.64(1) 576 or replacement of a minor facility , up to $5 million per 577 project; 578 (c) Completion of a remodeling or infrastructure project, 579 up to $10 million per project, if such project is survey 580 recommended pursuant to s. 1013.31; 581 (d) Completion of a repair or replacement project 582 necessary due to damage caused by a natural disaster for 583 buildings included in the inventory required pursuant to s. 584 1013.31; 585 (e) Operating expenditures that support the Florida 586 College System institution's mission which are nonrecurring ; 587 (f) Any purpose approved by the state board or specified 588 in the General Appropriations Act; and 589 (g) A commitment of funds to a contingency reserve for 590 expenses incurred as a result of a state of emergency declared 591 by the Governor pursuant to s. 252.36. 592 Section 13. This act shal l take effect July 1, 2023. 593