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HomeMy WebLinkAbout2024 11 18 Regular 501 - Resolution 2024-35 and Interlocal Agreement: FRED C-PACE Program in Winter SpringsREGULAR AGENDA ITEM 501 CITY COMMISSION AGENDA | NOVEMBER 18, 2024 REGULAR MEETING TITLE Approval of Resolution 2024-35 and Interlocal Agreement; Authorizing The Florida Resiliency and Energy District (FRED) Commercial Assessed Clean Energy (C-PACE) Program in the City of Winter Springs SUMMARY On August 14, 2023, the City Commission approved a Development Agreement and Site Acceptance plans proposed by MTH Development for a 140-unit Independent Living Facility (ILF). Sitework is currently underway in preparation for vertical construction. MTH Development and Program Administrator, Florida Development Finance Corp.(FDFC), approached City staff regarding the use of the C-PACE Program as a financing tool for the Living Life ILF development. The Commercial Property Assessed Clean Energy (C-PACE) program helps business owners remove high upfront costs and provide low-interest financing to help modernize, mitigate potential wind damage, and improve the energy and water efficiency of their property. The program uses an approved third-party administrator, in this case FDFC, that provides funding through a special assessment done on the project property. As a result, the loan stays with the property and allows the assessment to transfer when the building is sold. Payments for the assessment are made through annual property taxes. This assessment can be amortized over a period of 5-20 years to allow for cost-saving results from the improvements to be used to pay back the amount owed. C-PACE financing can be used to add or upgrade any of the following: 138 Lighting Heating or cooling systems Insulation, motors or water pumps Solar panels Storm/hurricane hardening Wind hazard mitigation Water efficiency such as low-flow and other water-efficiency devices The program administrator will help the developer determine qualifying energy improvements for the project. They will also arrange 100% financing that can be repaid for up to 20 years with an assessment added to the property tax bill that will offset assessment payments each year. A program administrator may only offer a program for financing to commercial property within the jurisdiction of a municipality where the municipality has authorized by ordinance or resolution the financing program. The City must also establish a process, or approve a process established by a program administrator, to register contractors for participation in a program authorized by the City. FUNDING SOURCE N/A RECOMMENDATION The recommendation is that the City Commission Authorize the Mayor to execute Resolution 2024-35 and Interlocal Agreement with The Florida Resiliency and Energy District (FRED) which will allow eligible projects, approved by the Winter Springs City Commission, to participate in the Commercial Assessed Clean Energy (C-PACE) Program. 139 Presented by Robert Harvey WWW.FDFCBONDS.COM140 Introduction Florida Development Finance Corporation Florida Statutes Section 288, Part X Support Economic Development Provide Access to Capital 141 Private Activity Bonds Benefits nongovernmental persons, such as private businesses, charitable organizations or individuals Commercial Property Assessed Clean Energy (C-PACE) Benefits commercial property owners in eligible areas Capital Options 142 Private Capital Insurance Funds, Family Funds and Institutional Lenders Qualified Improvements Waste System, Resiliency, Energy Conservation, Renewable Energy and Water Conservation Tax Bill Repayment Voluntary Assessment Non-Ad Valorem C-PACE OVERVIEW 143 Program Administrator Florida Development Finance Corporation (FDFC) PACE District Florida Resiliency and Energy District (FRED) Tax Collector and Property Appraiser Private Capital Provider FDFC Program Structure 144 Improv. InstalledClosingDue DiligenceFDFC/FRED Capital Provider Commercial Project Financing Process 145 DistributionAssessment PaymentTax BillFDFC DataRecorded Lien FRED Resolution Levy and Collection Process 146 HISTORY OF PACE 2008 State Legislature Compelling State Interest 2010 PACE Act FS 163.08 2012 PACE Districts Statute Amended Initial Districts Created 2013 Assessments Initial Assessments Levied $369M+ Invested in Florida PACE Projects 2024 PACE Act Amend. Separate R-PACE & C-PACE Regulations New Requirements Added Improvements 147 FDFC C-PACE PROGRAM HISTORY 2014 - 2015 Program Development •Established PACE Program •Bond Validation •Circuit Court issued a Final Judgement •Florida Supreme Court affirmed the Final Judgement 2017 Special District •Established FRED 2018 Assessments •Bank of New York Mellon •Initial Assessments Levied 2020 Program Transition •Commercial PACE •Closed Projects: 43 •Project Amt: $287M+ 148 FDFC Program Footprint 149 FUNDED PROJECTS $7.5M to complete a purchase and rehab of an existing building for a human milk- based nutrition company in the City of Port St. Lucie. $2.7M for new construction cancer prevention clinic and a future cancer research laboratory and small-scale cancer drug manufacturing facility in St. John’s County. $28M for recapitalization of the Arlo Wynwood Hotel in Miami’s Downtown Art’s District. $18M for a retrofit of a global, diversified protein company in the City of Live Oak. $9.7M for the recapitalization of a new wave of water park located in Osceola County. 150 Property Owner Benefits 100% Financing Transferable Off-Balance Sheet Not subject to Acceleration Delayed Payments Decreases Operating Costs 151 Project Financing Example 152 Local Government BenefitsNo Cost Turn-Key Program Improves Existing Building Stock Increases Property Tax Revenue Stimulates Local Job Creation Promotes Economic Development Decrease Energy and Water Consumption 153 Florida Statute 163.02 Authorize by Ordinance or Resolution Interlocal Agreement Authorization Requirement 154 THANK YOU! Ryan Bartkus Senior Director Phone: 407-276-4223 rbartkus@fdfcbonds.com 155 This instrument was prepared by or under the supervision of (and after recording should be returned to): Ryan Bartkus Florida Resiliency and Energy District c/o Florida Development Finance Corporation 156 Tuskawilla Road, Suite 2340 Winter Springs, Florida 32708 (SPACE reserved for Clerk of Court) LIMITED PURPOSE PARTY MEMBERSHIP AGREEMENT BETWEEN THE FLORIDA RESILIENCY AND ENERGY DISTRICT AND CITY OF WINTER SPRINGS This Limited Purpose Party Membership Agreement (the “Agreement”) is entered into this ___ day of ___________________, 2024 by and between the FLORIDA RESILIENCY AND ENERGY DISTRICT (“FRED”), a public body corporate and politic created as a separate legal entity pursuant to Section 163.01(7), Florida Statutes, and the City of Winter Springs (“CITY”) (collectively, the “Parties”) for the purpose of providing a Commercial Property Assessed Clean Energy (“CPACE”) program within the legal boundaries of the City of Winter Springs. WI TN ES SE TH WHEREAS, pursuant to the Florida PACE Act, codified in Section 163.08 through Section 163.087, Florida Statutes (the “PACE Act”), property owners may voluntarily finance improvements related to waste systems, resiliency, energy efficiency and conservation, renewable energy and water conservation efficiency improvements (“Qualifying Improvements”) with the assistance of local governments, through the execution of financing agreements and the related imposition of voluntary, non-ad valorem special assessments; and WHEREAS, an Interlocal Agreement, dated September 6, 2016, as amended and supplemented from time to time (the “Interlocal Agreement”) was initially entered into between the Town of Lake Clarke Shores and the City of Fernandina Beach (each a “Founding Member”) and subsequent parties thereto (the “Public Agencies”) and, in the limited capacity described therein, the Florida Development Finance Corporation (“FDFC” and together with the Public Agencies, the “Parties”), for the purpose of facilitating the financing of Qualifying Improvements for properties located within FRED's aggregate legal boundaries via the levy and collection of voluntary non-ad valorem special assessments on improved property; and WHEREAS, the City of Winter Springs finds that the financing of Qualifying Improvements through the FRED CPACE Program provides a special benefit to participating real property within its legal boundaries; and 156 WHEREAS, the Parties to this Agreement desire to supplement the Interlocal Agreement to include the City of Winter Springs as a Limited Member, as such term is defined in the Interlocal Agreement, on the date last signed below. NOW, THEREFORE, in consideration of the above recitals, terms and conditions, promises and covenants hereinafter set forth, the Parties agree as follows: SECTION 1. DEFINITIONS. Any capitalized terms used in this Agreement, but not otherwise defined herein, shall have the meaning specified for such term in the Interlocal Agreement. SECTION 2. PURPOSE. The purpose of this Agreement is to facilitate the financing of Qualifying Improvements to commercial properties through a CPACE program, in accordance with the PACE Act and provide an efficient process for real property owners within the legal boundaries of the City of Winter Springs to access the CPACE program and authorize FRED to administer the CPACE program within such legal boundaries. SECTION 3. RIGHTS OF PARTIES. FRED, together with its member Parties and the City of Winter Springs, with the intent to be bound thereto, hereby agree that the City of Winter Springs shall become a Party to the Interlocal Agreement together with only those rights and obligations of Parties to the Interlocal Agreement as are necessary to fulfill the purposes described in this Agreement, including access to financing and processing of non-ad valorem special assessments by FRED, within the legal boundaries of the City of Winter Springs, as more specifically described below, and in accordance with federal, state, and local laws, rules, regulations, ordinances, and all operational program standards of the City of Winter Springs. In the event of any conflict between the Interlocal Agreement and this Agreement, this Agreement shall control the rights and obligations of the Parties. SECTION 4. INCORPORATION OF RECITALS AND LEVY OF SPECIAL ASSESSMENTS. The Parties hereby acknowledge and agree with each recital to this Agreement and incorporate such findings herein as their own. The non-ad valorem special assessments arising from a property owner's voluntary participation in the CPACE program shall be levied by FRED on properties within the legal boundaries of the City of Winter Springs and the receipt and distribution of any non-ad valorem special assessments imposed by FRED are purely ministerial acts. FRED shall be solely responsible for all matters associated with origination, funding, financing, collection and administration of each of the FRED’s authorized non-ad valorem assessments. FRED’s responsibilities include: (1) FRED defending, indemnifying and holding harmless the City and its officers, attorneys and employees as 157 provided in the Interlocal Agreement and this Agreement; (2) FRED responding to any complaints or inquiries by participants, tax certificate holders, lenders or others relating to the Program’s special assessments, the FDFC Pace Program’s financing agreements, the Program’s qualifying improvements, or any other aspect of the FDFC Pace Program; (3) FRED ensuring and being responsible for compliance with all laws, rules, and regulations in the imposition and collection of any special assessments levied upon property owned by participating property owners who have entered into a financing agreement. SECTION 5. QUALIFYING IMPROVEMENTS. FRED may provide access to financing for Qualifying Improvements to real property within the legal boundaries of the City of Winter Springs, in accordance with the PACE Act and the terms of the Interlocal Agreement. SECTION 6. FINANCING AGREEMENT. Before extending any financing or subjecting any participating real property within the legal boundaries of the City of Winter Springs to the non-ad valorem special assessment authorized therein, FRED and FDFC, through their designees, shall, on a non-exclusive basis pursuant to the PACE Act and this Agreement, enter into a financing agreement (the “Financing Agreement”) with property owner(s) within the legal boundaries of the City of Winter Springs who qualify for financing through FRED. The Financing Agreement shall include a thorough explanation of the PACE financing process and specify at what point in the process the special assessment will be added to the real property's owner's property tax bills and shall contain any other terms and conditions as may be required by the PACE Act. The Parties hereto acknowledge and agree that the City of Winter Springs shall have no obligations under any such Financing Agreements. SECTION 7. BOUNDARIES OF THE PACE PROGRAM. For the limited purposes of administering the CPACE program and imposing non-ad valorem special assessments as described in this Agreement, the legal boundaries of FRED shall include the legal boundaries of the City of Winter Springs, which legal boundaries may be limited, expanded to reflect annexation, or more specifically designated from time to time by the City of Winter Springs by providing written notice to FRED. Upon execution of this Agreement and written request thereafter, the City of Winter Springs agrees to provide FRED the current legal description of the legal boundaries (if available) of the City of Winter Springs. SECTION 8. ELIGIBLE PROPERTIES. Within the legal boundaries of the City of Winter Springs, commercial real property may be eligible for participation in the CPACE program within the limits otherwise prescribed in the PACE Act. SECTION 9. SURVIVAL OF SPECIAL ASSESSMENTS. During the term of this Agreement, FRED may levy voluntary non-ad valorem special assessments on participating properties within the legal boundaries of City of Winter Springs to help secure 158 the financing of costs of Qualifying Improvements constructed or acquired on such properties based on the finding of special benefit by the City of Winter Springs. Those properties receiving financing for Qualifying Improvements shall be assessed by FRED until such time as the financing for such Qualified Improvement is repaid in full, in accordance with the PACE Act and other applicable law. Notwithstanding termination of this Agreement or notice of a change in the legal boundaries of the City of Winter Springs as provided for herein, those properties that have received financing for Qualifying Improvements shall continue to be a part of FRED, until such time that all outstanding debt has been satisfied. SECTION 10. TERM. This Agreement shall remain in full force and effect from the date of its execution by both Parties. Any Party may terminate this Agreement for convenience upon thirty (30) days' prior written notice (“Termination Notice”) in accordance with the terms of the Interlocal Agreement. Beginning on the date FRED receives a Termination Notice from the City of Winter Springs (“Termination Date”), FRED shall not approve any new applications affecting property within the legal boundaries of the City of Winter Springs referenced in the Termination Notice. Notwithstanding termination of this Agreement, however, property owners whose applications were received prior to the Termination Date, and who received funding through the CPACE program, shall continue to be a part of FRED, for the sole purpose of FRED imposing assessments for the repayment of such property's outstanding debt, until such time that all outstanding debt has been satisfied. SECTION 11. CONSENT. This Agreement, together with Resolution 2024-35 by the governing board of the City of Winter Springs approving this Agreement, shall be considered the Parties' continued consent to authorize FRED to administer the CPACE program within the legal boundaries of the City of Winter Springs, required by the PACE Act. SECTION 12. COORDINATOR. The City of Winter Springs City Manager's Office within the City of Winter Springs shall serve as the City’s primary point of contact and coordinator. The City of Winter Springs will advise FRED of any changes to the City’s own primary contact and coordinator within 30 days of such changes. SECTION 13. LIMITED OBLIGATIONS. Neither FRED nor FDFC is authorized to issue bonds, or any other form of debt, on behalf of the City of Winter Springs without a separate interlocal agreement or other authority provided by State law. To the extent that FRED or FDFC issues CPACE-related bonds under its own authority in connection with this Agreement, the security for such bonds may be secured by non-ad valorem special assessments imposed by FRED on participating properties within the legal boundaries of the City of Winter Springs. The issuance of such bonds shall not directly or indirectly or contingently obligate the City of Winter Springs to levy or to pledge any form of taxation whatever, or to levy ad valorem taxes on any property within their territorial limits to pay the bonds, and the bonds shall not constitute a lien upon any property owned by the City of Winter Springs. For any such bonds, the bond disclosure document, if any, 159 shall include references to the fact that the City of Winter Springs is not an obligated party, and also adequately disclose material attendant risks with CPACE programs. SECTION 14. LIABILITY, INDEMNIFICATION AND SOVEREIGN IMMUNITY. (A) The City of Winter Springs and FRED are and shall be subject to Sections 768.28 and 163.01(9)(c), Florida Statutes, and any other provisions of Florida law governing sovereign immunity. Pursuant to Section 163.01(5)(0), Florida Statutes, and this covenant of the parties hereto, the local governments who are either or both the founders or members of FRED shall not be held jointly liable for the torts of the officers or employees of the FRED, or any other tort attributable to FRED, and that FRED alone shall be liable for any torts attributable to it or for torts of its officers, employees or agents, and then only to the extent of the waiver of sovereign immunity or limitation of liability as specified in Section 768.28, Florida Statutes. The City of Winter Springs and FRED acknowledge and agree that, to the extent allowed by law, FRED shall have all of the applicable privileges and immunities from liability and exemptions from laws, ordinances, rules and common law which apply to the municipalities and counties of the State. The City of Winter Springs is completely independent of FRED. To the extent provided by law, FRED shall defend, indemnify and hold harmless the City, its officers, employees, attorneys, and agents, from and against any and all demands, claims, losses, suits, liabilities, causes of action, judgment or damages, arising out of, related to, or in any way connected with FRED’s, and/or any of FRED’s designees or agents, performance or non-performance of any provision of this Agreement or the CPACE Program arising from contracts between FRED and/or any of FRED’s designees and agents and any third parties made pursuant to this Agreement. In addition, the foregoing obligation shall expressly include all demands, claims, losses, suits, liabilities, causes of action, judgment or damages, arising out of or based on a challenge to whether the voluntary non-ad valorem assessment constitute a lien of equal dignity to taxes, or greater priority than other recorded instruments, as authorized by the PACE enabling act under Florida law. Also, FRED agrees to indemnify and hold harmless the City from and against collection risk related to the bonds issued for CPACE assessments within the City. Further, the Parties understand that the City and its employees, officers and attorneys shall also receive the full benefit of any indemnification of the members under the Interlocal Agreement, and that such provisions shall fully apply to the City as if specifically set forth herein. Nothing in this Agreement is intended to inure to the benefit of any third-party for the purpose of allowing any claim, which would otherwise be barred under the doctrine of sovereign immunity or by operation of law. (B) Neither the City of Winter Springs, nor the local governments who are either or both the founders or members of the Agency, nor any subsequently joining or participating local government as members of FRED shall in any manner be obligated to pay any debts, obligations or liabilities arising as a result of any actions of FRED, the governing board of FRED or any other agents, employees, officers or officials of FRED, 160 except to the extent otherwise mutually and expressly agreed upon, and neither FRED, the governing board of FRED or any other agents, employees, officers or officials of FRED have any authority or power to otherwise obligate either the City of Winter Springs, the local governments who are either or both the founders or members of FRED, nor any subsequently subscribing or participating local government in the business of FRED in any manner. (C) All of the privileges and immunities from liability and exemptions from laws, ordinances and rules which apply to the activity of officials, officers, agents or employees of the parties shall apply to the officials, officers, agents or employees thereof when performing their respective functions and duties under the provisions of this Agreement. SECTION 15. AGREEMENTS WITH TAX COLLECTOR AND PROPERTY APPRAISER. This Agreement shall be subject to the express condition precedent that FRED enter into separate agreement(s) with the tax collector and the property appraiser (if requested) having jurisdiction over the legal boundaries of the City of Winter Springs, which shall provide for the collection of any non-ad valorem special assessments imposed by FRED within the legal boundaries of the City of Winter Springs. If required by the tax collector and property appraiser, the City agrees to enter into those agreements as a third-party to facilitate the collection of the non-ad valorem special assessments imposed by FRED. FRED shall be solely responsible for professionally coordinating all interface with the tax collector and property appraiser. FRED shall take all action necessary for the lawful levy of the special assessments against all lands and properties specifically benefitted by the acquisition, construction and financing of qualifying improvements. The City shall not incur or ever be requested to authorize or take steps to authorize any obligations secured by special assessments associated with qualifying improvements imposed by FRED. SECTION 16. AGENTS OF FRED. FRED shall ensure that its agents, administrators, subcontractors, successors and assigns are, at all times, in compliance with the terms of this Agreement and applicable City, state and federal laws. SECTION 17. NOTICES. Any notices to be given hereunder shall be in writing and shall be deemed to have been given if sent by hand delivery, recognized overnight courier (such as Federal Express), or by written certified U.S. mail, with return receipt requested, or by electronic mail, addressed to the Party for whom it is intended, at the place specified. For the present, the Parties designate the following as the respective places for notice purposes: 161 If to FRED: The Florida Resiliency and Energy District c/o Florida Development Finance Corporation 156 Tuskawilla Road, Suite 2340 Winter Springs, FL 32708 info@fdfcbonds.com and Issuer's Counsel with Nelson Mullins Riley & Scarborough LLP Joseph Stanton, Esq. Nelson Mullins Riley & Scarborough LLP 390 North Orange Avenue, Suite 1400 Orlando, FL 32801-4961 407.839.4200 (t) jstanton@nelsonmullins.com If to City of Winter Springs: City of Winter Springs Attn: City Manager 1126 E State Road 434 Winter Springs, FL 32708 With a Copy to: Anthony A. Garganese, Esq. Garganese, Weiss, D’Agresta & Salzman, P.A. 111 N Orange Avenue, Suite 2000 Orlando, FL 32801 SECTION 18. AMENDMENTS. No modification, amendment or alteration in the terms or conditions contained herein shall be effective unless contained in a written document prepared with the same or similar formality as this agreement and executed by the City of Winter Springs and FRED or other delegated authority authorized to execute same on their behalf. SECTION 19. JOINT EFFORT. The preparation of this Agreement has been a joint effort of the Parties hereto and the resulting document shall not, solely as a matter of judicial construction, be construed more severely against one of the Parties than the other. 162 SECTION 20. ASSIGNMENT. The respective obligations of the Parties set forth in this Agreement shall not be assigned, in whole or in part, without the written consent of the other Party hereto. SECTION 21. THIRD PARTY BENEFICIARIES. None of the Parties intend to directly or substantially benefit a third party by this Agreement. Therefore, the Parties acknowledge that there are no third-party beneficiaries to this Agreement and that no third party shall be entitled to assert a right or claim against either of them based upon this Agreement; provided, however, that counsel to the Parties may rely on this Agreement for purposes of providing any legal opinions required by the issuance of debt to finance the Qualifying Improvements. SECTION 22. RECORDS. The Parties shall each maintain their own respective records and documents associated with this Agreement in accordance with the requirements for records retention set forth in Chapter 119, Florida Statutes. SECTION 23. RECORDING. This Limited Purpose Party Membership Agreement shall be filed by FRED with the Clerk of the Circuit Court in the Public Records of Seminole County and recorded in the public records of Seminole County, as an amendment to the lnterlocal Agreement, in accordance with Section 163.01(11), Florida Statutes. SECTION 24. SEVERABILITY. In the event a portion of this Agreement is found to be unenforceable by a court of competent jurisdiction, that part shall be deemed severed from this Agreement and the remaining provisions of this Agreement shall remain in full force and effect. SECTION 25. EFFECTIVE DATE. This Agreement shall become effective upon the execution by both Parties hereto and recordation in accordance with Section 23 herein.. SECTION 26. LAW, JURISDICTION, AND VENUE. This Agreement shall be interpreted and construed in accordance with and governed by the laws of the state of Florida. The Parties agree that the exclusive venue for any lawsuit arising from, related to, or in connection with this Agreement shall be in the state courts of the Eighteenth Judicial Circuit in and for Seminole County, Florida, the United States District Court for the Middle District of Florida, Orlando Division, or United States Bankruptcy Court for the Middle District of Florida, as appropriate. SECTION 27. SOVEREIGN IMMUNITY. No provision of this Agreement, the Interlocal Agreement, or any other legal instrument between the Parties to implement the FDFC PACE Program, shall be construed or deemed a waiver or avoidance of any common law or statutory right to sovereign immunity or of any other defenses, privileges and immunities enjoyed by the City or FRED and their respective elected and appointed officers, employees and agents under any applicable law. Nothing in this 163 Agreement is intended to inure to the benefit of any third party for the purpose of allowing any claim which would otherwise be barred under the doctrine of sovereign immunity or by operation of law. This Paragraph shall survive termination. SECTION 28. COVENANT NOT TO IMPOSE ANY FINANCIAL OBLIGATIONS ON THE CITY. FRED covenants and agrees for itself and its members (voting and nonvoting), directors, officers, employees, contractors, and agents that FRED shall not have any right or power to impose or otherwise monetarily obligate the City to pay any assessment, charge, fee, penalty, dues, or any other compensation or funds arising out of or in any way concerning the City’s participation in the membership, the Interlocal Agreement and this Agreement. Not under any circumstances whatsoever shall the City be liable for or obligated to pay, secure or perform any debts, liabilities, conditions or obligations arising out of any financing agreement or instrument, special assessment, lien, mortgage agreed to by any property owner or its representative under the FDFC PACE Program. Furthermore, the City shall not be responsible or obligated for paying any debts, obligations or liabilities arising out of or resulting from any acts or omissions of FRED or its members, directors, officers, employees, contractors and agents. SECTION 29. REPORTING TO THE CITY. On an annual basis, or upon request of the City in writing, FRED shall provide the City with a written report reporting on the implementation of the FDFC PACE Program within the jurisdictional limits of the City. The report will include a summary of the properties serviced, the Qualifying Improvements made, the amount paid for the Qualifying Improvements, and such other information reasonably requested by the City. In addition, upon request by the City, FRED shall provide the City with a copy of its annual audit required by Florida law. [SIGNATURE PAGES FOLLOW] 164 IN WITNESS WHEREOF, this Agreement has been executed by and on behalf of the City by its [_____], its seal affixed hereto, as attested by its Clerk as of the _______day of ______________________, 2024. [CITY][COUNTY] By: __________________________ [Name][Title] APPROVED AS TO FORM: By: __________________________ [_____], Attorney ATTEST: By: __________________________ [_____], Clerk 165 [SIGNATURE PAGE TO LIMITED PURPOSE PARTY MEMBERSHIP AGREEMENT] WITNESS: FLORIDA RESILIENCY AND ENERGY DISTRICT _________________________ Signature By: ______________________________ __________________________ Print Name Address: 156 Tuskawilla Road, Suite 2340 Winter Springs, Florida 32708 WITNESS: __________________________ Signature ___________________________ Print Name Address: 156 Tuskawilla Road, Suite 2340 Winter Springs, Florida 32708 STATE of FLORIDA COUNTY OF ______________ The foregoing instrument was acknowledged before me by means of [ ] physical presence or [ ] online notarization, this ___ day of ___________, 2024, by _____________________________________, _______________ of the Florida Resiliency and Energy District, who is personally known to me/has produced _________________ as identification. ___________________________________ Printed/Typed Name: _________________ Notary Public – State of Florida Commission Number: 166 RESOLUTION NO. 2024-35 A RESOLUTION OF THE CITY OF WINTER SPRINGS, FLORIDA, AUTHORIZING A COMMERCIAL PROPERTY ASSESSED CLEAN ENERGY (C-PACE) PROGRAM WITHIN THE CORPORATE LIMITS OF THE CITY; APPROVING AN AGREEMENT WITH THE FLORIDA RESILIENCY AND ENERGY DISTRICT; UTILIZING VOLUNTARY NON-AD VALOREM ASSESSMENTS TO FINANCE QUALIFING IMPROVEMENTS; AUTHORIZING THE CITY MANAGER OR DESIGNEE TO EXECUTE SAID AGREEMENT; AND PROVIDING FOR IMPLEMENTING ADMINISTRATIVE ACTIONS, SCRIVENER’S ERRORS, CONFLICTS, SEVERABILITY, AND EFFECTIVE DATE. WHEREAS, pursuant to the Florida PACE Act, codified in Section 163.08 through Section 163.087, Florida Statutes (the “PACE Act”), commercial property owners may voluntarily finance improvements to real property related to waste systems, resiliency, flood and water damage mitigation, energy conservation and efficiency, renewable energy and water conservation efficiency improvements (“Qualifying Improvements”) and repay such financing through voluntary special assessments, sometimes referred to as non-ad valorem assessments ("Special Assessments"); and WHEREAS, the Florida Resiliency and Energy District (“District”) is a separate legal entity and unit of local government within the State of Florida which was established by interlocal agreement for the express purpose of providing a platform to facilitate the financing of Qualifying Improvements throughout Florida; and WHEREAS, the upfront costs of Qualifying Improvements impede installation and existing financing options may be insufficient for commercial property owners to access cost- effective financing for Qualifying Improvements due to requirements associated with traditional debt or equity financing options; and WHEREAS, the District has created a financing, levy and collection process to implement its C-PACE program to assist commercial property owners who desire to improve their real property with Qualifying Improvements; and WHEREAS, pursuant to the PACE Act, the District may only offer its C-PACE program for commercial properties located within the jurisdiction of the City if the City has authorized the District to do so; and WHEREAS, the City Commission deems it to be in the best interest of its residents to authorize the District’s C-PACE program and to facilitate the financing of Qualifying Improvements to commercial properties located within the City. 167 Resolution No. 2024-35 City of Winter Springs Page 2 of 3 NOW, THEREFORE, BE IT RESOLVED BY THE TOWN/VILLAGE/CITY COUNCIL/COMMISSION, AS FOLLOWS: SECTION 1. LEGISLATIVE FINDINGS AND INTENT. The City Commission hereby adopts and incorporates into this Resolution the City staff report and agenda memorandum relating to this Resolution. The forgoing recitals are incorporated in this Resolution as if fully set forth herein and are approved and adopted. The City Commission has complied with all requirements and procedures of Florida law in processing and noticing this Resolution. SECTION 2. PERMITTING OF PACE PROGRAM. The City Commission hereby authorizes the District to offer its C-PACE program in accordance with the PACE Act, to eligible commercial property owners within the boundaries of the City. SECTION 3. APPROVAL OF AGREEMENTS; AUTHORIZATION TO EXECUTE. The City Commission approves the Agreement attached hereto and incorporated herein as Exhibit “A” and authorizes the Mayor to execute the Agreement. SECTION 4. IMPLEMENTING ADMINISTRATIVE ACTIONS. The City Manager is hereby authorized and directed to take such actions as he may deem necessary and appropriate in order to implement the provisions of this Resolution. The City Manager may, as deemed appropriate, necessary and convenient, delegate the powers of implementation as herein set forth to such employees as deemed effectual and prudent. SECTION 5. SCRIVENER’S ERRORS. Typographical errors and other matters of a similar nature that do not affect the intent of this Resolution, as determined by the City Clerk and City Attorney, may be corrected. SECTION 6. CONFLICTS. All Resolutions or parts of Resolutions in conflict with any of the provisions of this Resolution are hereby repealed. SECTION 7. SEVERABILITY. If any Section or portion of a Section of this Resolution proves to be invalid, unlawful, or unconstitutional, it shall not be held to invalidate or impair the validity, force, or effect of any other Section or part of this Resolution. SECTION 8. EFFECTIVE DATE. This Resolution shall become effective immediately upon its passage and adoption. ADOPTED by the City Commission of the City of Winter Springs, Florida, in a regular meeting assembled on this __ day of ____________, 2024. 168 Resolution No. 2024-35 City of Winter Springs Page 3 of 3 _________________________________________ Kevin McCann, Mayor ATTEST: __________________________________ Christian Gowan, City Clerk Approved as to legal form and sufficiency for the City of Winter Springs only: __________________________________ Anthony A. Garganese, City Attorney 169 CHAPTER 2024-273 Committee Substitute for Committee Substitute for Senate Bill No.770 An act relating to improvements to real property;amending s.163.08,F.S.; deleting provisions relating to legislative findings and intent;defining terms and revising definitions;creating s.163.081,F.S.;authorizing a program administrator to offer a program for financing qualifying improvements for residential property when authorized by a county or municipality;requiring an authorized program administrator that admin- isters an authorized program to meet certain requirements;authorizing a county or municipality to enter into an interlocal agreement to implement a program;authorizing a county or municipality to deauthorize a program administrator through certain measures;allowing a recorded financing agreement at the time of deauthorization to continue,with an exception; authorizing a program administrator to contract with third-party admin- istrators to implement the program;authorizing a program administrator to levy non-ad valorem assessments for a certain purpose;providing for compensation for tax collectors for actual costs incurred to collect non-ad valorem assessments;authorizing a program administrator to incur debt for the purpose of providing financing for qualifying improvements; authorizing the owner of record of the residential property to apply to the program administrator to finance a qualifying improvement;requiring the program administrator to make certain findings before entering into a financing agreement;requiring the program administrator to ascertain certain financial information from the property owner before entering into a financing agreement;requiring certain documentation before the financing agreement is approved and recorded;requiring an advisement and notification for certain qualifying improvements;requiring certain financing agreement and contract provisions for change orders under certain circumstances;prohibiting a financing agreement from being entered into under certain circumstances;requiring the program admin- istrator to provide certain information before a financing agreement may be executed;requiring an oral,recorded telephone call with the residential property owner to confirm findings and disclosures before the approval of a financing agreement;requiring the residential property owner to provide written notice to the holder or loan servicer of his or her intent to enter into a financing agreement as well as other financial information;requiring that proof of such notice be provided to the program administrator; providing that a certain acceleration provision in an agreement between the residential property owner and mortgagor or lienholder is unenforce- able;providing that the lienholder or loan servicer retains certain authority;authorizing a residential property owner,under certain circumstances and within a certain timeframe,to cancel a financing agreement without financial penalty;requiring recording of the financing agreement in a specified timeframe;creating the seller’s disclosure statements for properties offered for sale which have assessments on 1 CODING:Words stricken are deletions;words underlined are additions.170 them for qualifying improvements;requiring the program administrator to confirm that certain conditions are met before disbursing final funds to a qualifying improvement contractor for qualifying improvements on residential property;requiring a program administrator to confirm that the applicable work service has been completed or the final permit for the qualifying improvement has been closed and evidence of substantial completion of construction or improvement has been issued;creating s. 163.082,F.S.;authorizing a program administrator to offer a program for financing qualifying improvements for commercial property when author- ized by a county or municipality;requiring an authorized program administrator that administers an authorized program to meet certain requirements;authorizing a county or municipality to enter into an interlocal agreement to implement a program;authorizing a county or municipality to deauthorize a program administrator through certain measures;authorizing a recorded financing agreement at the time of deauthorization to continue,with an exception;authorizing a program administrator to contract with third-party administrators to implement the program;authorizing a program administrator to levy non-ad valorem assessments for a certain purpose;providing for compensation for tax collectors for actual costs incurred to collect non-ad valorem assessments; authorizing a program administrator to incur debt for the purpose of providing financing for qualifying improvements;authorizing the owner of record of the commercial property to apply to the program administrator to finance a qualifying improvement;requiring the program administrator to receive the written consent of current holders or loan servicers of certain mortgages encumbering or secured by commercial property;requiring a program administrator offering a program for financing qualifying improvements to commercial property to certain underwriting criteria; requiring the program administrator to make certain findings before entering into a financing agreement;requiring the program administrator to ascertain certain financial information from the property owner before entering into a financing agreement;requiring the program administrator to document and retain certain findings;requiring certain financing agreement and contract provisions for change orders under certain circumstances;prohibiting a financing agreement from being entered into under certain circumstances;requiring the program administrator to provide certain information before a financing agreement may be executed;requiring any financing agreement executed pursuant to this section be submitted for recording in the public records of the county where the commercial property is located in a specified timeframe; requiring that the recorded agreement provide constructive notice that the non-ad valorem assessment levied on the property is a lien of equal dignity;providing that a lien with a certain acceleration provision is unenforceable;creating the seller’s disclosure statements for properties offered for sale which have assessments on them for qualifying improve- ments;requiring the program administrator to confirm that certain conditions are met before disbursing final funds to a qualifying improve- ment contractor for qualifying improvements on commercial property; providing construction;creating s.163.083,F.S.;requiring a county or Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 2 CODING:Words stricken are deletions;words underlined are additions.171 municipality to establish or approve a process for the registration of a qualifying improvement contractor to install qualifying improvements; requiring certain conditions for a qualifying improvement contractor to participate in a program;prohibiting a third-party administrator from registering as a qualifying improvement contractor;requiring the pro- gram administrator to monitor qualifying improvement contractors, enforce certain penalties for a finding of violation,and post certain information online;creating s.163.084,F.S.;authorizing the program administrator to contract with entities to administer an authorized program;providing certain requirements for a third-party administrator; prohibiting a program administrator from acting as a third-party administrator under certain circumstances;providing an exception; requiring the program administrator to include in its contract with the third-party administrator the right to perform annual reviews of the administrator;authorizing the program administrator to take certain actions if the program administrator finds that the third-party adminis- trator has committed a violation of its contract;authorizing a program administrator to terminate an agreement with a third-party adminis- trator under certain circumstances;providing for the continuation of certain financing agreements after the termination or suspension of the third-party administrator,with an exception;creating s.163.085,F.S.; requiring that,in communicating with the property owner,the program administrator,qualifying improvement contractor,or third-party admin- istrator comply with certain requirements;prohibiting the program administrator or third-party administrator from disclosing certain finan- cing information to a qualifying improvement contractor;prohibiting a qualifying improvement contractor from making certain advertisements or solicitations;providing exceptions;prohibiting a program adminis- trator or third-party administrator from providing certain payments,fees, or kickbacks to a qualifying improvement contractor;prohibiting a program administrator or third-party administrator from reimbursing a qualifying improvement contractor for certain expenses;prohibiting a qualifying improvement contractor from providing different prices for a qualifying improvement;requiring a contract between a property owner and a qualifying improvement contractor to include certain provisions; prohibiting a program administrator,qualifying improvement contractor, or third-party administrator from providing any cash payment or any- thing of material value to a property owner which is explicitly conditioned on a financing agreement;providing exceptions;creating s.163.086,F.S.; prohibiting a recorded financing agreement from being removed from attachment to a property under certain circumstances;providing for the unenforceability of a financing agreement under certain circumstances; providing provisions for when a qualifying improvement contractor initiates work on an unenforceable contract;providing that a qualifying improvement contractor may retrieve chattel or fixtures delivered pursuant to an unenforceable contract if certain conditions are met; providing that an unenforceable contract will remain unenforceable under certain circumstances;creating s.163.087,F.S.;requiring a program administrator authorized to administer a program for financing a Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 3 CODING:Words stricken are deletions;words underlined are additions.172 qualifying improvement to post on its website an annual report;specifying requirements for the report;requiring the Auditor General to conduct an operational audit of each program administrator;requiring the Auditor General to adopt certain rules requiring certain reporting from the program administrator;requiring program administrators and,if applic- able,third-party administrators to post the report on its website; providing that a contract,agreement,authorization,or interlocal agree- ment entered into before a certain date may continue without additional action by the county or municipality;requiring that the program administrator comply with the act and that any related contracts, agreements,authorizations,or interlocal agreements be amended to comply with the act;providing an effective date. Be It Enacted by the Legislature of the State of Florida: Section 1.Section 163.08,Florida Statutes,is amended to read: (Substantial rewording of section.See s.163.08,F.S.,for present text.) 163.08 Definitions.—As used in ss.163.081-163.087,the term: (1)“Commercial property”means real property other than residential property.The term includes,but is not limited to,a property zoned multifamily residential which is composed of five or more dwelling units; and real property used for commercial,industrial,or agricultural purposes. (2)“Program administrator”means a county,a municipality,a depen- dent special district as defined in s.189.012,or a separate legal entity created pursuant to s.163.01(7)which directly operates a program for financing qualifying improvements and is authorized pursuant to s.163.081 or s.163.082. (3)“Property owner”means the owner or owners of record of real property.The term includes real property held in trust for the benefit of one or more individuals,in which case the individual or individuals may be considered as the property owner or owners,provided that the trustee provides written consent.The term does not include persons renting,using, living,or otherwise occupying real property. (4)“Qualifying improvement”means the following permanent improve- ments located on real property within the jurisdiction of an authorized financing program: (a)For improvements on residential property: 1.Repairing,replacing,or improving a central sewerage system, converting an onsite sewage treatment and disposal system to a central sewerage system,or,if no central sewerage system is available,removing, Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 4 CODING:Words stricken are deletions;words underlined are additions.173 repairing,replacing,or improving an onsite sewage treatment and disposal system to an advanced system or technology. 2.Repairing,replacing,or improving a roof,including improvements that strengthen the roof deck attachment;create a secondary water barrier to prevent water intrusion;install wind-resistant shingles or gable-end bracing;or reinforce roof-to-wall connections. 3.Providing flood and water damage mitigation and resiliency improve- ments,prioritizing repairs,replacement,or improvements that qualify for reductions in flood insurance premiums,including raising a structure above the base flood elevation to reduce flood damage;constructing a flood diversion apparatus,drainage gate,or seawall improvement,including seawall repairs and seawall replacements;purchasing flood-damage-resis- tant building materials;or making electrical,mechanical,plumbing,or other system improvements that reduce flood damage. 4.Replacing windows or doors,including garage doors,with energy- efficient,impact-resistant,wind-resistant,or hurricane windows or doors or installing storm shutters. 5.Installing energy-efficient heating,cooling,or ventilation systems. 6.Replacing or installing insulation. 7.Replacing or installing energy-efficient water heaters. 8.Installing and affixing a permanent generator. 9.Providing a renewable energy improvement,including the installation of any system in which the electrical,mechanical,or thermal energy is produced from a method that uses solar,geothermal,bioenergy,wind,or hydrogen. (b)For installing or constructing improvements on commercial property: 1.Waste system improvements,which consists of repairing,replacing, improving,or constructing a central sewerage system,converting an onsite sewage treatment and disposal system to a central sewerage system,or,if no central sewerage system is available,removing,repairing,replacing,or improving an onsite sewage treatment and disposal system to an advanced system or technology. 2.Making resiliency improvements,which includes but is not limited to: a.Repairing,replacing,improving,or constructing a roof,including improvements that strengthen the roof deck attachment; b.Creating a secondary water barrier to prevent water intrusion; c.Installing wind-resistant shingles or gable-end bracing; Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 5 CODING:Words stricken are deletions;words underlined are additions.174 d.Reinforcing roof-to-wall connections;or e.Providing flood and water damage mitigation and resiliency improve- ments,prioritizing repairs,replacement,or improvements that qualify for reductions in flood insurance premiums,including raising a structure above the base flood elevation to reduce flood damage;creating or improving stormwater and flood resiliency,including flood diversion apparatus, drainage gates,or shoreline improvements;purchasing flood-damage- resistant building materials;or making any other improvements necessary to achieve a sustainable building rating or compliance with a national model resiliency standard and any improvements to a structure to achieve wind or flood insurance rate reductions,including building elevation. 3.Energy conservation and efficiency improvements,which are mea- sures to reduce consumption through efficient use or conservation of electricity,natural gas,propane,or other forms of energy,including but not limited to,air sealing;installation of insulation;installation of energy- efficient heating,cooling,or ventilation systems;building modification to increase the use of daylight;window replacement;windows;energy controls or energy recovery systems;installation of electric vehicle charging equip- ment;installation of efficient lighting equipment;or any other improve- ments necessary to achieve a sustainable building rating or compliance with a national model green building code. 4.Renewable energy improvements,including the installation of any system in which the electrical,mechanical,or thermal energy is produced from a method that uses solar,geothermal,bioenergy,wind,or hydrogen. 5.Water conservation efficiency improvements,which are measures to reduce consumption through efficient use or conservation of water. (5)“Qualifying improvement contractor”means a licensed or registered contractor who has been registered to participate by a program adminis- trator pursuant to s.163.083 to install or otherwise perform work to make qualifying improvements on residential property financed pursuant to a program authorized under s.163.081. (6)“Residential property”means real property zoned as residential or multifamily residential and composed of four or fewer dwelling units. (7)“Third-party administrator”means an entity under contract with a program administrator pursuant to s.163.084. Section 2.Section 163.081,Florida Statutes,is created to read: 163.081 Financing qualifying improvements to residential property.— (1)RESIDENTIAL PROPERTY PROGRAM AUTHORIZATION.— (a)A program administrator may only offer a program for financing qualifying improvements to residential property within the jurisdiction of a Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 6 CODING:Words stricken are deletions;words underlined are additions.175 county or municipality if the county or municipality has authorized by ordinance or resolution the program administrator to administer the program for financing qualifying improvements to residential property. The authorized program must,at a minimum,meet the requirements of this section. (b)Pursuant to this section or as otherwise provided by law or pursuant to a county’s or municipality’s home rule power,a county or municipality may enter into an interlocal agreement providing for a partnership between one or more counties or municipalities for the purpose of facilitating a program to finance qualifying improvements to residential property located within the jurisdiction of the counties or municipalities that are party to the agreement. (c)A county or municipality may deauthorize a program administrator through repeal of the ordinance or resolution adopted pursuant to paragraph (a)or other action.Any recorded financing agreements at the time of deauthorization shall continue,except any financing agreement for which the provisions of s.163.086 apply. (d)An authorized program administrator may contract with one or more third-party administrators to implement the program as provided in s. 163.084. (e)An authorized program administrator may levy non-ad valorem assessments to facilitate repayment of financing qualifying improvements. Costs incurred by the program administrator for such purpose may be collected as a non-ad valorem assessment.A non-ad valorem assessment shall be collected pursuant to s.197.3632 and,notwithstanding s. 197.3632(8)(a),shall not be subject to discount for early payment.However, the notice and adoption requirements of s.197.3632(4)do not apply if this section is used and complied with,and the intent resolution,publication of notice,and mailed notices to the property appraiser,tax collector,and Department of Revenue required by s.197.3632(3)(a)may be provided on or before August 15 of each year in conjunction with any non-ad valorem assessment authorized by this section,if the property appraiser,tax collector,and program administrator agree.The program administrator shall only compensate the tax collector for the actual cost of collecting non-ad valorem assessments,not to exceed 2 percent of the amount collected and remitted. (f)A program administrator may incur debt for the purpose of providing financing for qualifying improvements,which debt is payable from revenues received from the improved property or any other available revenue source authorized by law. (2)APPLICATION.—The owner of record of the residential property within the jurisdiction of an authorized program may apply to the authorized program administrator to finance a qualifying improvement. Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 7 CODING:Words stricken are deletions;words underlined are additions.176 The program administrator may only enter into a financing agreement with the property owner. (3)FINANCING AGREEMENTS.— (a)Before entering into a financing agreement,the program adminis- trator must make each of the following findings based on a review of public records derived from a commercially accepted source and the property owner’s statements,records,and credit reports: 1.There are sufficient resources to complete the project. 2.The total amount of any non-ad valorem assessment for a residential property under this section does not exceed 20 percent of the just value of the property as determined by the property appraiser.The total amount may exceed this limitation upon written consent of the holders or loan servicers of any mortgage encumbering or otherwise secured by the residential property. 3.The financing agreement does not utilize a negative amortization schedule,a balloon payment,or prepayment fees or fines other than nominal administrative costs.Capitalized interest included in the original balance of the assessment financing agreement does not constitute negative amortiza- tion. 4.All property taxes and any other assessments,including non-ad valorem assessments,levied on the same bill as the property taxes are current and have not been delinquent for the preceding 3 years,or the property owner’s period of ownership,whichever is less. 5.There are no outstanding fines or fees related to zoning or code enforcement violations issued by a county or municipality,unless the qualifying improvement will remedy the zoning or code violation. 6.There are no involuntary liens,including,but not limited to, construction liens on the residential property. 7.No notices of default or other evidence of property-based debt delinquency have been recorded and not released during the preceding 3 years or the property owner’s period of ownership,whichever is less. 8.The property owner is current on all mortgage debt on the residential property. 9.The property owner has not been subject to a bankruptcy proceeding within the last 5 years unless it was discharged or dismissed more than 2 years before the date on which the property owner applied for financing. 10.The residential property is not subject to an existing home equity conversion mortgage or reverse mortgage product. Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 8 CODING:Words stricken are deletions;words underlined are additions.177 11.The term of the financing agreement does not exceed the weighted average useful life of the qualified improvements to which the greatest portion of funds disbursed under the assessment contract is attributable,not to exceed 20 years.The program administrator shall determine the useful life of a qualifying improvement using established standards,including certification criteria from government agencies or nationally recognized standards and testing organizations. 12.The total estimated annual payment amount for all financing agreements entered into under this section on the residential property does not exceed 10 percent of the property owner’s annual household income. Income must be confirmed using reasonable evidence and not solely by a property owner’s statement. 13.If the qualifying improvement is for the conversion of an onsite sewage treatment and disposal system to a central sewerage system,the property owner has utilized all available local government funding for such conversions and is unable to obtain financing for the improvement on more favorable terms through a local government program designed to support such conversions. (b)Before entering into a financing agreement,the program adminis- trator must determine if there are any current financing agreements on the residential property and if the property owner has obtained or sought to obtain additional qualifying improvements on the same property which have not yet been recorded.The existence of a prior qualifying improvement non- ad valorem assessment or a prior financing agreement is not evidence that the financing agreement under consideration is affordable or meets other program requirements. (c)Findings satisfying paragraphs (a)and (b)must be documented, including supporting evidence relied upon,and provided to the property owner prior to a financing agreement being approved and recorded.The program administrator must retain the documentation for the duration of the financing agreement. (d)If the qualifying improvement is estimated to cost $10,000 or more, before entering into a financing agreement the program administrator must advise the property owner in writing that the best practice is to obtain estimates from more than one unaffiliated,registered qualifying improve- ment contractor for the qualifying improvement and notify the property owner in writing of the advertising and solicitation requirements of s. 163.085. (e)A property owner and the program administrator may agree to include in the financing agreement provisions for allowing change orders necessary to complete the qualifying improvement.Any financing agree- ment or contract for qualifying improvements which includes such provi- sions must meet the requirements of this paragraph.If a proposed change order on a qualifying improvement will increase the original cost of the Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 9 CODING:Words stricken are deletions;words underlined are additions.178 qualifying improvement by 20 percent or more or will expand the scope of the qualifying improvement by more than 20 percent,before the change order may be executed which would result in an increase in the amount financed through the program administrator for the qualifying improvement,the program administrator must notify the property owner,provide an updated written disclosure form as described in subsection (4)to the property owner, and obtain written approval of the change from the property owner. (f)A financing agreement may not be entered into if the total cost of the qualifying improvement,including program fees and interest,is less than $2,500. (g)A financing agreement may not be entered into for qualifying improvements in buildings or facilities under new construction or construc- tion for which a certificate of occupancy or similar evidence of substantial completion of new construction or improvement has not been issued. (4)DISCLOSURES.— (a)In addition to the requirements imposed in subsection (3),a financing agreement may not be executed unless the program administrator first provides,including via electronic means,a written financing estimate and disclosure to the property owner which includes all of the following,each of which must be individually acknowledged in writing by the property owner: 1.The estimated total amount to be financed,including the total and itemized cost of the qualifying improvement,program fees,and capitalized interest; 2.The estimated annual non-ad valorem assessment; 3.The term of the financing agreement and the schedule for the non-ad valorem assessments; 4.The interest charged and estimated annual percentage rate; 5.A description of the qualifying improvement; 6.The total estimated annual costs that will be required to be paid under the assessment contract,including program fees; 7.The total estimated average monthly equivalent amount of funds that would need to be saved in order to pay the annual costs of the non-ad valorem assessment,including program fees; 8.The estimated due date of the first payment that includes the non-ad valorem assessment; 9.A disclosure that the financing agreement may be canceled within 3 business days after signing the financing agreement without any financial penalty for doing so; Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 10 CODING:Words stricken are deletions;words underlined are additions.179 10.A disclosure that the property owner may repay any remaining amount owed,at any time,without penalty or imposition of additional prepayment fees or fines other than nominal administrative costs; 11.A disclosure that if the property owner sells or refinances the residential property,the property owner may be required by a mortgage lender to pay off the full amount owed under each financing agreement under this section; 12.A disclosure that the assessment will be collected along with the property owner’s property taxes,and will result in a lien on the property from the date the financing agreement is recorded; 13.A disclosure that potential utility or insurance savings are not guaranteed,and will not reduce the assessment amount;and 14.A disclosure that failure to pay the assessment may result in penalties,fees,including attorney fees,court costs,and the issuance of a tax certificate that could result in the property owner losing the property and a judgment against the property owner,and may affect the property owner’s credit rating. (b)Prior to the financing agreement being approved,the program administrator must conduct an oral,recorded telephone call with the property owner during which the program administrator must confirm each finding or disclosure required in subsection (3)and this section. (5)NOTICE TO LIENHOLDERS AND SERVICERS.—At least 5 busi- ness days before entering into a financing agreement,the property owner must provide to the holders or loan servicers of any existing mortgages encumbering or otherwise secured by the residential property a written notice of the owner’s intent to enter into a financing agreement together with the maximum amount to be financed,including the amount of any fees and interest,and the maximum annual assessment necessary to repay the total. A verified copy or other proof of such notice must be provided to the program administrator.A provision in any agreement between a mortgagor or other lienholder and a property owner,or otherwise now or hereafter binding upon a property owner,which allows for acceleration of payment of the mortgage, note,or lien or other unilateral modification solely as a result of entering into a financing agreement as provided for in this section is unenforceable.This subsection does not limit the authority of the holder or loan servicer to increase the required monthly escrow by an amount necessary to pay the annual assessment. (6)CANCELLATION.—A property owner may cancel a financing agreement on a form established by the program administrator within 3 business days after signing the financing agreement without any financial penalty for doing so. Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 11 CODING:Words stricken are deletions;words underlined are additions.180 (7)RECORDING.—Any financing agreement executed pursuant to this section,or a summary memorandum of such agreement,shall be submitted for recording in the public records of the county within which the residential property is located by the program administrator within 10 business days after execution of the agreement and the 3-day cancellation period.The recorded agreement must provide constructive notice that the non-ad valorem assessment to be levied on the property constitutes a lien of equal dignity to county taxes and assessments from the date of recordation. A notice of lien for the full amount of the financing may be recorded in the public records of the county where the property is located.Such lien is not enforceable in a manner that results in the acceleration of the remaining nondelinquent unpaid balance under the assessment financing agreement. (8)SALE OF RESIDENTIAL PROPERTY.—At or before the time a seller executes a contract for the sale of any residential property for which a non-ad valorem assessment has been levied under this section and has an unpaid balance due,the seller shall give the prospective purchaser a written disclosure statement in the following form,which must be set forth in the contract or in a separate writing: QUALIFYING IMPROVEMENTS.—The property being purchased is subject to an assessment on the property pursuant to s.163.081,Florida Statutes.The assessment is for a qualifying improvement to the property and is not based on the value of the property.You are encouraged to contact the property appraiser’s office to learn more about this and other assessments that may be provided by law. (9)DISBURSEMENTS.—Before disbursing final funds to a qualifying improvement contractor for a qualifying improvement on residential property,the program administrator shall confirm that the applicable work or service has been completed or,as applicable,that the final permit for the qualifying improvement has been closed with all permit requirements satisfied or a certificate of occupancy or similar evidence of substantial completion of construction or improvement has been issued. (10)CONSTRUCTION.—This section is additional and supplemental to county and municipal home rule authority and not in derogation of such authority or a limitation upon such authority. Section 3.Section 163.082,Florida Statutes,is created to read: 163.082 Financing qualifying improvements to commercial property.— (1)COMMERCIAL PROPERTY PROGRAM AUTHORIZATION.— (a)A program administrator may only offer a program for financing qualifying improvements to commercial property within the jurisdiction of a county or municipality if the county or municipality has authorized by ordinance or resolution the program administrator to administer the program for financing qualifying improvements to commercial property. Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 12 CODING:Words stricken are deletions;words underlined are additions.181 The authorized program must,at a minimum,meet the requirements of this section. (b)Pursuant to this section or as otherwise provided by law or pursuant to a county’s or municipality’s home rule power,a county or municipality may enter into an interlocal agreement providing for a partnership between one or more counties or municipalities for the purpose of facilitating a program for financing qualifying improvements to commercial property located within the jurisdiction of the counties or municipalities that are party to the agreement. (c)A county or municipality may deauthorize a program administrator through repeal of the ordinance or resolution adopted pursuant to paragraph (a)or other action.Any recorded financing agreements at the time of deauthorization shall continue,except any financing agreement for which the provisions of s.163.086 apply. (d)A program administrator may contract with one or more third-party administrators to implement the program as provided in s.163.084. (e)An authorized program administrator may levy non-ad valorem assessments to facilitate repayment of financing or refinancing qualifying improvements.Costs incurred by the program administrator for such purpose may be collected as a non-ad valorem assessment.A non-ad valorem assessment shall be collected pursuant to s.197.3632 and,notwithstanding s.197.3632(8)(a),is not subject to discount for early payment.However,the notice and adoption requirements of s.197.3632(4)do not apply if this section is used and complied with,and the intent resolution,publication of notice,and mailed notices to the property appraiser,tax collector,and Department of Revenue required by s.197.3632(3)(a)may be provided on or before August 15 of each year in conjunction with any non-ad valorem assessment authorized by this section,if the property appraiser,tax collector,and program administrator agree.The program administrator shall only compensate the tax collector for the actual cost of collecting non-ad valorem assessments,not to exceed 2 percent of the amount collected and remitted. (f)A program administrator may incur debt for the purpose of providing financing for qualifying improvements,which debt is payable from revenues received from the improved property or any other available revenue source authorized by law. (2)APPLICATION.—The owner of record of the commercial property within the jurisdiction of the authorized program may apply to the program administrator to finance a qualifying improvement and enter into a financing agreement with the program administrator to make such improvement.The program administrator may only enter into a financing agreement with a property owner. Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 13 CODING:Words stricken are deletions;words underlined are additions.182 (3)CONSENT OF LIENHOLDERS AND SERVICERS.—The program administrator must receive the written consent of the current holders or loan servicers of any mortgage that encumbers or is otherwise secured by the commercial property or that will otherwise be secured by the property before a financing agreement may be executed. (4)FINANCING AGREEMENTS.— (a)A program administrator offering a program for financing qualifying improvements to commercial property must maintain underwriting criteria sufficient to determine the financial feasibility of entering into a financing agreement.To enter into a financing agreement,the program administrator must,at a minimum,make each of the following findings based on a review of public records derived from a commercially accepted source and the statements,records,and credit reports of the commercial property owner: 1.There are sufficient resources to complete the project. 2.All property taxes and any other assessments,including non-ad valorem assessments,levied on the same bill as the property taxes are current. 3.There are no involuntary liens greater than $5,000,including,but not limited to,construction liens on the commercial property. 4.No notices of default or other evidence of property-based debt delinquency have been recorded and not been released during the preceding 3 years or the property owner’s period of ownership,whichever is less. 5.The property owner is current on all mortgage debt on the commercial property. 6.The term of the financing agreement does not exceed the weighted average useful life of the qualified improvements to which the greatest portion of funds disbursed under the assessment contract is attributable,not to exceed 30 years.The program administrator shall determine the useful life of a qualifying improvement using established standards,including certification criteria from government agencies or nationally recognized standards and testing organizations. 7.The property owner is not currently the subject of a bankruptcy proceeding. (b)Before entering into a financing agreement,the program adminis- trator shall determine if there are any current financing agreements on the commercial property and whether the property owner has obtained or sought to obtain additional qualifying improvements on the same property which have not yet been recorded.The existence of a prior qualifying improvement non-ad valorem assessment or a prior financing agreement is not evidence that the financing agreement under consideration is affordable or meets other program requirements. Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 14 CODING:Words stricken are deletions;words underlined are additions.183 (c)The program administrator shall document and retain findings satisfying paragraphs (a)and (b),including supporting evidence relied upon,which were made prior to the financing agreement being approved and recorded,for the duration of the financing agreement. (d)A property owner and the program administrator may agree to include in the financing agreement provisions for allowing change orders necessary to complete the qualifying improvement.Any financing agree- ment or contract for qualifying improvements which includes such provi- sions must meet the requirements of this paragraph.If a proposed change order on a qualifying improvement will increase the original cost of the qualifying improvement by 20 percent or more or will expand the scope of the qualifying improvement by 20 percent or more,before the change order may be executed which would result in an increase in the amount financed through the program administrator for the qualifying improvement,the program administrator must notify the property owner,provide an updated written disclosure form as described in subsection (5)to the property owner, and obtain written approval of the change from the property owner. (e)A financing agreement may not be entered into if the total cost of the qualifying improvement,including program fees and interest,is less than $2,500. (5)DISCLOSURES.—In addition to the requirements imposed in sub- section (4),a financing agreement may not be executed unless the program administrator provides,whether on a separate document or included with other disclosures or forms,a financing estimate and disclosure to the property owner which includes all of the following: (a)The estimated total amount to be financed,including the total and itemized cost of the qualifying improvement,program fees,and capitalized interest; (b)The estimated annual non-ad valorem assessment; (c)The term of the financing agreement and the schedule for the non-ad valorem assessments; (d)The interest charged and estimated annual percentage rate; (e)A description of the qualifying improvement; (f)The total estimated annual costs that will be required to be paid under the assessment contract,including program fees; (g)The estimated due date of the first payment that includes the non-ad valorem assessment;and (h)A disclosure of any prepayment penalties,fees,or fines as set forth in the financing agreement. Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 15 CODING:Words stricken are deletions;words underlined are additions.184 (6)RECORDING.—Any financing agreement executed pursuant to this section or a summary memorandum of such agreement must be submitted for recording in the public records of the county within which the commercial property is located by the program administrator within 10 business days after execution of the agreement.The recorded agreement must provide constructive notice that the non-ad valorem assessment to be levied on the property constitutes a lien of equal dignity to county taxes and assessments from the date of recordation.A notice of lien for the full amount of the financing may be recorded in the public records of the county where the property is located.Such lien is not enforceable in a manner that results in the acceleration of the remaining nondelinquent unpaid balance under the assessment financing agreement. (7)SALE OF COMMERCIAL PROPERTY.—At or before the time a seller executes a contract for the sale of any commercial property for which a non-ad valorem assessment has been levied under this section and has an unpaid balance due,the seller shall give the prospective purchaser a written disclosure statement in the following form,which must be set forth in the contract or in a separate writing: QUALIFYING IMPROVEMENTS.—The property being purchased is subject to an assessment on the property pursuant to s.163.082,Florida Statutes.The assessment is for a qualifying improvement to the property and is not based on the value of the property.You are encouraged to contact the property appraiser’s office to learn more about this and other assessments that may be provided for by law. (8)COMPLETION CERTIFICATE.—Upon disbursement of all finan- cing and completion of installation of qualifying improvements financed,the program administrator shall retain a certificate that the qualifying improvements have been installed and are in good working order. (9)CONSTRUCTION.—This section is additional and supplemental to county and municipal home rule authority and not in derogation of such authority or a limitation upon such authority. Section 4.Section 163.083,Florida Statutes,is created to read: 163.083 Qualifying improvement contractors.— (1)A county or municipality shall establish a process,or approve a process established by a program administrator,to register contractors for participation in a program authorized by a county or municipality pursuant to s.163.081.A qualifying improvement contractor may only perform such work that the contractor is appropriately licensed,registered,and permitted to conduct.At the time of application to participate and during participation in the program,contractors must: (a)Hold all necessary licenses or registrations for the work to be performed which are in good standing.Good standing includes no Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 16 CODING:Words stricken are deletions;words underlined are additions.185 outstanding complaints with the state or local government which issues such licenses or registrations. (b)Comply with all applicable federal,state,and local laws and regulations,including obtaining and maintaining any other permits, licenses,or registrations required for engaging in business in the jurisdiction in which it operates and maintaining all state-required bond and insurance coverage. (c)File with the program administrator a written statement in a form approved by the county or municipality that the contractor will comply with applicable laws and rules and qualifying improvement program policies and procedures,including those on advertising and marketing. (2)A third-party administrator or a program administrator,either directly or through an affiliate,may not be registered as a qualifying improvement contractor. (3)A program administrator shall establish and maintain: (a)A process to monitor qualifying improvement contractors for perfor- mance and compliance with requirements of the program and must conduct regular reviews of qualifying improvement contractors to confirm that each qualifying improvement contractor is in good standing. (b)Procedures for notice and imposition of penalties upon a finding of violation,which may consist of placement of the qualifying improvement contractor in a probationary status that places conditions for continued participation,suspension,or termination from participation in the program. (c)An easily accessible page on its website that provides information on the status of registered qualifying improvement contractors,including any imposed penalties,and the names of any qualifying improvement contrac- tors currently on probationary status or that are suspended or terminated from participation in the program. Section 5.Section 163.084,Florida Statutes,is created to read: 163.084 Third-party administrator for financing qualifying improve- ments programs.— (1)(a)A program administrator may contract with one or more third- party administrators to administer a program authorized by a county or municipality pursuant to s.163.081 or s.163.082 on behalf of and at the discretion of the program administrator. (b)The third-party administrator must be independent of the program administrator and have no conflicts of interest between managers or owners of the third-party administrator and program administrator managers, owners,officials,or employees with oversight over the contract.A program administrator,either directly or through an affiliate,may not act as a third- Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 17 CODING:Words stricken are deletions;words underlined are additions.186 party administrator for itself or for another program administrator. However,this paragraph does not apply to a third-party administrator created by an entity authorized in law pursuant to s.288.9604. (c)The contract must provide for the entity to administer the program according to the requirements of s.163.081 or s.163.082 and the ordinance or resolution adopted by the county or municipality authorizing the program.However,only the program administrator may levy or administer non-ad valorem assessments. (2)A program administrator may not contract with a third-party administrator that,within the last 3 years,has been: (a)Prohibited,after notice and a hearing,from serving as a third-party administrator for another program administrator for program or contract violations in this state;or (b)Found by a court of competent jurisdiction to have substantially violated state or federal laws related to the administration of ss.163.081- 163.086 or a similar program in another jurisdiction. (3)The program administrator must include in any contract with the third-party administrator the right to perform annual reviews of the administrator to confirm compliance with ss.163.081-163.086,the ordi- nance or resolution adopted by the county or municipality,and the contract with the program administrator.If the program administrator finds that the third-party administrator has committed a violation of ss.163.081-163.086, the adopted ordinance or resolution,or the contract with the program administrator,the program administrator shall provide the third-party administrator with notice of the violation and may,as set forth in the adopted ordinance or resolution or the contract with the third-party administrator: (a)Place the third-party administrator in a probationary status that places conditions for continued operations. (b)Impose any fines or sanctions. (c)Suspend the activity of the third-party administrator for a period of time. (d)Terminate the agreement with the third-party administrator. (4)A program administrator may terminate the agreement with a third- party administrator,as set forth by the county or municipality in its adopted ordinance or resolution or the contract with the third-party administrator,if the program administrator makes a finding that: (a)The third-party administrator has violated the contract with the program administrator.The contract may set forth substantial violations that may result in contract termination and other violations that may Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 18 CODING:Words stricken are deletions;words underlined are additions.187 provide for a period of time for correction before the contract may be terminated. (b)The third-party administrator,or an officer,a director,a manager or a managing member,or a control person of the third-party administrator, has been found by a court of competent jurisdiction to have violated state or federal laws related to the administration of a program authorized of the provisions of ss.163.081-163.086 or a similar program in another jurisdic- tion within the last 5 years. (c)Any officer,director,manager or managing member,or control person of the third-party administrator has been convicted of,or has entered a plea of guilty or nolo contendere to,regardless of whether adjudication has been withheld,a crime related to administration of a program authorized of the provisions of ss.163.081-163.086 or a similar program in another jurisdic- tion within the last 10 years. (d)An annual performance review reveals a substantial violation or a pattern of violations by the third-party administrator. (5)Any recorded financing agreements at the time of termination or suspension by the program administrator shall continue,except any financing agreement for which the provisions of s.163.086 apply. Section 6.Section 163.085,Florida Statutes,is created to read: 163.085 Advertisement and solicitation for financing qualifying im- provements programs under s.163.081 or s.163.082.— (1)When communicating with a property owner,a program adminis- trator,qualifying improvement contractor,or third-party administrator may not: (a)Suggest or imply: 1.That a non-ad valorem assessment authorized under s.163.081 or s. 163.082 is a government assistance program; 2.That qualifying improvements are free or provided at no cost,or that the financing related to a non-ad valorem assessment authorized under s. 163.081 or s.163.082 is free or provided at no cost;or 3.That the financing of a qualifying improvement using the program authorized pursuant to s.163.081 or s.163.082 does not require repayment of the financial obligation. (b)Make any representation as to the tax deductibility of a non-ad valorem assessment.A program administrator,qualifying improvement contractor,or third-party administrator may encourage a property owner to seek the advice of a tax professional regarding tax matters related to assessments. Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 19 CODING:Words stricken are deletions;words underlined are additions.188 (2)A program administrator or third-party administrator may not provide to a qualifying improvement contractor any information that discloses the amount of financing for which a property owner is eligible for qualifying improvements or the amount of equity in a residential property or commercial property. (3)A qualifying improvement contractor may not advertise the avail- ability of financing agreements for,or solicit program participation on behalf of,the program administrator unless the contractor is registered by the program administrator to participate in the program and is in good standing with the program administrator. (4)A program administrator or third-party administrator may not provide any payment,fee,or kickback to a qualifying improvement contractor for referring property owners to the program administrator or third-party administrator.However,a program administrator or third-party administrator may provide information to a qualifying improvement contractor to facilitate the installation of a qualifying improvement for a property owner. (5)A program administrator or third-party administrator may not reimburse a qualifying improvement contractor for its expenses in advertis- ing and marketing campaigns and materials. (6)A qualifying improvement contractor may not provide a different price for a qualifying improvement financed under s.163.081 than the price that the qualifying improvement contractor would otherwise provide if the qualifying improvement was not being financed through a financing agreement.Any contract between a property owner and a qualifying improvement contractor must clearly state all pricing and cost provisions, including any process for change orders which meet the requirements of s. 163.081(3)(d). (7)A program administrator,qualifying improvement contractor,or third-party administrator may not provide any direct cash payment or other thing of material value to a property owner which is explicitly conditioned upon the property owner entering into a financing agreement.However,a program administrator or third-party administrator may offer programs or promotions on a nondiscriminatory basis that provide reduced fees or interest rates if the reduced fees or interest rates are reflected in the financing agreements and are not provided to the property owner as cash consideration. Section 7.Section 163.086,Florida Statutes,is created to read: 163.086 Unenforceable financing agreements for qualifying improve- ments programs under s.163.081 or s.163.082;attachment;fraud.— Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 20 CODING:Words stricken are deletions;words underlined are additions.189 (1)A recorded financing agreement may not be removed from attach- ment to a residential property or commercial property if the property owner fraudulently obtained funding pursuant to s.163.081 or s.163.082. (2)A financing agreement may not be enforced,and a recorded financing agreement may be removed from attachment to a residential property or commercial property and deemed null and void,if: (a)The property owner applied for,accepted,and canceled a financing agreement within the 3-business-day period pursuant to s.163.081(6).A qualifying improvement contractor may not begin work under a canceled contract. (b)A person other than the property owner obtained the recorded financing agreement.The court may enter an order which holds that person or persons personally liable for the debt. (c)The program administrator,third-party administrator,or qualifying improvement contractor approved or obtained funding through fraudulent means and in violation of ss.163.081-163.085,or this section for qualifying improvements on the residential property or commercial property. (3)If a qualifying improvement contractor has initiated work on residential property or commercial property under a contract deemed unenforceable under this section,the qualifying improvement contractor: (a)May not receive compensation for that work under the financing agreement. (b)Must restore the residential property or commercial property to its original condition at no cost to the property owner. (c)Must immediately return any funds,property,and other considera- tion given by the property owner.If the property owner provided any property and the qualifying improvement contractor does not or cannot return it,the qualifying improvement contractor must immediately return the fair market value of the property or its value as designated in the contract,whichever is greater. (4)If the qualifying improvement contractor has delivered chattel or fixtures to residential property or commercial property pursuant to a contract deemed unenforceable under this section,the qualifying improve- ment contractor has 90 days after the date on which the contract was executed to retrieve the chattel or fixtures,provided that: (a)The qualifying improvement contractor has fulfilled the require- ments of paragraphs (3)(a)and (b). (b)The chattel and fixtures can be removed at the qualifying improve- ment contractor’s expense without damaging the residential property or commercial property. Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 21 CODING:Words stricken are deletions;words underlined are additions.190 (5)If a qualifying improvement contractor fails to comply with this section,the property owner may retain any chattel or fixtures provided pursuant to a contract deemed unenforceable under this section. (6)A contract that is otherwise unenforceable under this section remains enforceable if the property owner waives his or her right to cancel the contract or cancels the financing agreement pursuant to s.163.081(6)but allows the qualifying improvement contractor to proceed with the installa- tion of the qualifying improvement. Section 8.Section 163.087,Florida Statutes,is created to read: 163.087 Reporting for financing qualifying improvements programs under s.163.081 or s.163.082.— (1)Each program administrator that is authorized to administer a program for financing qualifying improvements to residential property or commercial property under s.163.081 or s.163.082 shall post on its website an annual report within 45 days after the end of its fiscal year containing the following information from the previous year for each program authorized under s.163.081 or s.163.082: (a)The number and types of qualifying improvements funded. (b)The aggregate,average,and median dollar amounts of annual non-ad valorem assessments and the total number of non-ad valorem assessments collected pursuant to financing agreements for qualifying improvements. (c)The total number of defaulted non-ad valorem assessments,including the total defaulted amount,the number and dates of missed payments,and the total number of parcels in default and the length of time in default. (d)A summary of all reported complaints received by the program administrator related to the program,including the names of the third-party administrator,if applicable,and qualifying improvement contractors and the resolution of each complaint. (2)The Auditor General must conduct an operational audit of each program administrator authorized under s.163.081 or s.163.082,including any third-party administrators,for compliance with the provisions of ss. 163.08-163.086 and any adopted ordinance at least once every 3 years.The Auditor General may stagger evaluations;however,every program must be evaluated at least once by September 1,2028.The Auditor General shall adopt rules pursuant to s.218.39 requiring each program administrator to report whether it offers a program authorized pursuant to s.163.081 or s. 163.082,and other pertinent information.Each program administrator and, if applicable,third-party administrator,must post the most recent report on its website. Section 9.A current contract,agreement,authorization,or interlocal agreement between a county or municipality and a program administrator Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 22 CODING:Words stricken are deletions;words underlined are additions.191 entered into before July 1,2024,shall continue without additional action by the county or municipality.However,the program administrator must comply with this act,and any contract,agreement,authorization,or interlocal agreement must be amended to comply with this act. Section 10.This act shall take effect July 1,2024. Approved by the Governor June 28,2024. Filed in Office Secretary of State June 28,2024. Ch.2024-273 LAWS OF FLORIDA Ch.2024-273 23 CODING:Words stricken are deletions;words underlined are additions.192