9 i>-/07 · and deletes other exemptions. It establishes administrative temedies and strengthens...

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Transcript of 9 i>-/07 · and deletes other exemptions. It establishes administrative temedies and strengthens...

Page 1: 9 i>-/07 · and deletes other exemptions. It establishes administrative temedies and strengthens civil penalties available to the court in cas s of violation. The bill also requires

Florida Information Associates

Florida Legislature 9_i>-/07 Staff Analyses

1993 Sessions

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1993 Session Law Number

H 1499 GENERAL BILL/CS/1ST ENG by Agriculture & Consumer Services; Klein; Sindler; (CO-SPONSORS) McAndrewa; Lawaon; Posey; Stafford; Bainter; Greene; Constantine; Dawaon; Kerrigan; Feren; Hanson; Futch; Geller; Burke; Brown; Merchant; Arnall; Sanderson; Rush; Minton; Mishkin; Bloom; Mackenzie; Armesto-Garcia; Schultz; Hafner; Reddick; Bullard (Similar CS/CS/S 1186) Se])ers of Trave); clarifies submission of certain documents: provides additional requirements for recordkeeping; provides contract disclosure requirements: pro­vides provisions for refunds to consumers: allows Agriculture & Consumer Ser­vices Dept. to waive bond requirements under certain conditions; revises exemp· tion for persons who contract with Airlines Reporting Corp.; deletes other exemp· tions, etc. Amends 559.927: creates 205.1969. Appropriation: $65,911. Effective Date: 10/01/93. 02/02/93 HOUSE Filed 02/09/93 HOUSE Introduced, referred to Agriculture & Consumer Services:

02/12/93 HOUSE 02/15/93 HOUSE

02/17 /93 HOUSE

02/19/93 HOUSE

02/26/93 HOUSE

03/02/93 HOUSE 03/04/93 HOUSE

03/08/93 HOUSE

03/09/93 HOUSE 03/16/93 HOUSE 03/24/93 HOUSE

03/25/93 HOUSE

03/25/93 SENATE 03/29/93 SENATE

03/30/93 SENA TE

03/30/93 HOUSE 04/09/93 04/25/93

Appropriations -HJ 00116 Subreferred to Subcommittee on Consumer Services On Subcommittee al(enda-A!P'iculture & Consumer Ser­vices, 02/17/93, 1:30 pm. 16-HOB Subcommittee Recommendation: Favorable with 4 amend­ment(s); On Committee agenda-Aµiculture & Consumer Services, 02/19/93, 1:30 pm, 314-HOB Comm. Action: CS by Agriculture & Consumer Services -HJ 00309 �

CS read first time on 03/02/93 -HJ 00308; Pending review of CS under Rule 8.4 Now in Appropriations -HJ 00309 On Committee agenda-Appropriations, 03/08/93, 2:00 pm, Morris Hall Comm. Action:-Favorable with l amendment(s) by Appro· priations -HJ 00382 Placed on Calendar -HJ 00383 Placed on Special Order Calendar Read second time -HJ 00623; Amendment(s) adopted -HJ 00624 Read third time -HJ 00713; CS passed as amended; YEAS 113 NAYS O -HJ 00714 In Messages Received, referred to Professional Regulation; Internation­al Trade, Economic Development and Tourism; Finance, Taxation and Claims -SJ 00521 Withdrawn from Professional Regulation; International Trade, Economic Development and Tourism; Finance, Taxation and Claims: Substituted for CS/CS/SB 1186; CS passed: YEAS 36 NAYS O -SJ 00542, -SJ 00607 Ordered enrolled -HJ 00994 Signed by Officers and presented to Governor Became Law without Governor's Signature; Chapter No. 93-107

NOTES: Above bill history from Division of Legislative Information's FINAL LEGISLA­

TIVE BILL INFORMATION, 1993 SESSIONS. Staff Analyses for bills amended beyond

final committee action may not be in accordance with the enacted law. Journal page

numbers (HJ & SJ) refer to daily Journals and may not be the same as final bound

Journals.

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°13-/()7 STORAGE NAME: h1499slz.ag **AS PASSED BY THE LEGISLATURE** DATE: April 25, 1993 CHAPTER#: 93-107, Laws of Florida

HOUSE OF REPRESENTATIVES COMMITTEE ON

AGRICULTURE AND CONSUMER SERVICES FINAL BILL ANALYSIS & ECONOMIC IMPACT STATEMENT

BILL#: CS/HB 1499 RELATING TO: SPONSOR(S):

Sellers of travel Agriculture and Consumer Sindler and Others

Service Committee and Reps. Klein;

STATUTE(S) AFFECTED: Chapter 559, Florida Statutes COMPANION BILL(S): SB 1186 by Weinstein ORIGINATING COMMITTEE(S)/COMMITTEE(S) OF REFERENCE:

(1) AGRICULTURE AND CONSUMER SERVICES YEAS 14(2) APPROPRIATIONS YEAS 35 NAYS 0(3)(4)(5)

NAYS 0

*******************************************************************�*******

I. SUMMARY:

I The bill changes the regulation of the sale of vacation certi1f icatesby sellers of travel, requiring disclosures and providing con�itionsfor cancellation and refunds. The bill revises the exemption� fortravel agencies who contract with the Airline Reporting Corpotationand deletes other exemptions. It establishes administrative temediesand strengthens civil penalties available to the court in cas�s ofviolation.

The bill also requires local governments that issue occupatiopallicenses to check for licensure, registration, or exemption brforeissuing or renewing licenses for certain businesses.

The changes in this bill are expected to generate additional revenueto the General Inspection Trust Fund of approximately $125, 1415 and$166,860 for fiscal years 1993-94 and 1994-95, respectively.

I It

would require additional expenditures of $88,711 and $106,627 forfiscal years 1993-94 and 1994-95, respectively. (See FISCAL COMMENTSon page 7.)

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II. SUBSTANTIVE ANALYSIS:

A. PRESENT SITUATION:

Section 559.927, F.S., regulates sellers of travel. It requiressellers of travel to register annually with the Department ofAgriculture and Consumer Services (department) and pay aregistration fee not to exceed $300. It requires presentation ofregistration before issuance or renewal of local occupationallicense and requires publication of registration number inadvertisements. The department may deny registration undercertain circumstances. The department also may suspend or revokeregistration or pursue injunctive relief under certaincircumstances.

Certain sellers of travel and promoters must submit specifieddocuments to the department prior to the sale of any vacationcertificate, which must be accompanied by an annual submission feenot to exceed $100. These sellers of travel and promoters arealso required to keep certain business records for 3 years.

It is unlawful for a seller of travel to: 1) conduct businesswithout registration; 2) conduct business without an appropriatebond; 3) knowingly provide false information on a registrationapplication; 4) knowingly violate or fail to comply with pertinentdepartment rules; 5) knowingly sell or market more travelcertificates than disclosed to the department; 6) indicate apreferred method of payment in a telephone solicitation; and 7)knowingly sell or market admission tickets other than on behalf ofthe original seller of the tickets. These unlawful acts alsoconstitute deceptive and unfair trade practices.

Section 559.927 exempts several categories of travel-relatedoperations, including those who contract with the AirlineReporting Corporation (ARC), those who issue airline tickets onbehalf of certified flag or domestic carriers and those who have$1 million coverage in errors and omissions insurance. Personscovered by the first exemption may voluntarily participate in alimited registration program for a $100 fee; persons exempt underthe latter two exemptions must participate in the limitedregistration program.

The department, the Department of Legal Affairs, and the stateattorneys have enforcement authority for s. 559.927. They mayseek a variety of administrative and judicial relief, including acivil fine not to exceed $5,000 per violation and a criminalpenalty of first degree misdemeanor. Current law also providesguidelines for admissability of evidence which may conflict withthe standard evidence code in Chapter 90, F.s. This could createa problem because the evidence code is intended to provide uniformstandards for proceedings in all courts in the state. If thestandards of admissability of evidence are to be changed, thechange should be made in Chapter 90, rather than in other chaptersof the law, to preserve the uniformity of the standard evidence�ode.

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Department officials indicate that consumer complaints conherning sellers of travel have doubled since 1991. Many of these 1

complaints involve ARC-exempt and other exempt sellers of travel. For example, at the end of 1992 the department had 1,160 written consumer complaints outstanding against 18 ARC-exempt sellers of travel disputing more than $460,000. All of these sellers 1 of travel have been ARC-exempt for less than three years.

As of January 4, 1993, the department had received 205 wri�ten complaints involving more than $65,000 and 18 sellers of travel exempt under the $1 million errors and omissions insurance exemption. Errors and omissions liability insu=ance does not cover fraudulent acts and is not intended for consumer reimbursement.

The Department of Legal Affairs has promulgated rules in Chapter 2-22, F.A.c., pursuant to its authority under the Unfair andDeceptive Trade Practices Act to regulate the sale of "lodgingcertificates." (Section 559.927 was amended in Chapter 92-291,Laws of Florida, to change "lodging certificates" to "vacationcertificates," but the Department of Legal Affairs did not,amendits rule to reflect the change.) Chapter 2-22, F.A.C., imposesrequirements for submission of certain materials, retention ofcertain records, disclosures to prospective purchasers, andcancellation and refunds. The rules also enumerate prohibitedpractices that are unfair or deceptive acts.

B. EFFECT OF PROPOSED CHANGES:I

The bill changes three basic areas of the regulation:1) requirements for the sale of vacation certificates; 2)exemptions from the regulation; and 3) enforcement remedie

I.

also includes legislative intent to eliminate the potentia requirement for duplicate submissions from sellers of trav 1offer vacation or lodging certificates.

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who

1. REQUIREMENTS FOR VACATION CERTIFICATE SALES The bill adopts the requirements contained in Chapter 2122, F.A.c., for business file retention, contract disclosur•s, and additional unlawful actions. It adopts the provisions qf Chapter 2-22, F.A.C., for cancellation and refund; howe

ier, it

modifies the provision relating to the timing of consum r travel requests and refunds. It clarifies whom is to s bmit documents and retain files and the time frame for submi sion. It makes technical changes to be consistent with change� made in Chapter 92-291, Laws of Florida.

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2. EXEMPTIONS FROM REGULATION I

The bill deletes exemptions for flag or domestic carrieis under 14 CFR part 21 and persons with $1 million in professio

�al

liability insurance. It revises the ARC e. xemption, lim ting

the exemption to persons who have contracted with ARC f r three or more years under the same ownership and control. It requires persons exempt as ARC members to obtain a lett�r of exemption from the department for the purpose of obtain{ng or renewing their occupational licenses. It also gives th1

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department authority to waive the bond requirement for ARC members under certain circumstances and to require previously­exempt sellers of travel to register and post bond under certain circumstances.

3. ENFORCEMENT REMEDIESThe bill clarifies violations of s. 559.927 as deceptive andunfair trade practices and provides administrative remedies,including an administrative fine not to exceed $5,000, a ceaseand desist order, action on registration status, "probation," aletter of concern, and cancellation of exemption. The billrevises civil remedies, allowing a court to appoint a master orreceiver or to sequester assets. It also removes the languagerelating to the type of evidence that should be admissable inan enforcement proceeding under this section.

The bill also prohibits counties and municipalities fromissuing or renewing occupational licenses to sellers of travelwithout evidence of licensure, registration, or exemption fromthe department.

C. SECTION-BY-SECTION ANALYSIS:

Section 1. Clarifies the requirement and time frame forsubmission of documents to the department; changes "lodgingcertificates" to "vacation certificates"; clarifies, revises andadds requirements for business file retention; specifies requiredcontract disclosures; specifies provisions for cancellation andrefund; revises bond requirements; gives department authority towaive bond requirement under certain circumstances; makes 19additional categories of action violations of the law; clarifiesviolations as deceptive and unfair trade practice; revisesexemption for Airline Reporting Corporation (ARC) members; deletesexemptions for flag or domestic carriers under 14 CFR part 21 andpersons with $1 million in professional liability insurance;deletes language providing conditions for such exemptions; givesthe department authority to require exempt sellers of travel toregister and post bond under certain circumstances; requirespersons exempt as ARC members to obtain a letter of exemption fromthe department in order to obtain or renew an occupationallicense; provides alternative for obtaining occupational licenseif the department does not issue a letter of exemption; providesadministrative remedies; and revises civil remedies.

Section 2. Specifies legislative intent for eliminating duplicatesubmissions required from sellers of travel.

section 3. Prohibits counties and municipalities from issuing orrenewing certain occupational licenses without proof ofregistration or letter of exemption.

Section 4. Provides an appropriation.

section 5. Makes law effective October 1, 1993.

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Ill. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT:

A. FISCAL IMPACT ON STATE AGENCIES/STATE FUNDS:

1. Non-recurring Effects:

Department of Agriculture and Consumer Services

Expenditures: Expenses Operating Capital Outlay

Total non-recurring

2. Recurring Effects:

Revenue:

Registration Fees

_Expenditures: Salaries & benefits (2 F.T.E.) Expenses Data Processing Investigative/enforcement Court/litigation costs Allocated coats

Total Expenditures

J. Long Run Effects other Than Normal Growth:

None.

4. Tot1;L Revenuea ins;& l�engitures:

Rev1mue:General Inspection Trust Fund General Revenue Fund

Expenditures: General Inspection Trust Fund

1993-94

$5,526 5.500

$11,026

1993-94

$135,000

$39,510 7,036 4,321

675 810

25.333

$77,685

1993-94

$125,145 9,855

$88,711

19�4-95 I

I $18,0, 000

$5-4,260 9,663 5,935 I 900 1,080

3�.789

$10�,627

19i4-95 I

$166,860 1�,140

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$10,6,627

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B. FISCAL IMPACT ON LOCAL GOVERNMENTS AS A WHOLE:

1. Non-recurring Effects:

None.

2. Recurring Effects:

There will be a negligible increase in workload from checkingthe registration or exemption of sellers of travel applying foror renewing their occupational licenses.

3. Long Run Effects Other Than Normal Growth:

None.

C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:

1. Direct Private sector costs:

Approximately 600 sellers of travel who are currently exemptfrom regulation will have to register with the department andpay a $300 registration fee each year, producing an impact of$180,000 per year on the industry.

Those sellers of travel who offer vacation certificates alsowill be subject to requirements for submission of documents andrecords retention at an indeterminate cost.

2. Direct Private Sector Benefits:

Consumers will benefit to the extent that they will not bevictimized by fraudulent and unscrupulous sellers of travelbecause these operators will not be able to obtain anoccupational license to start a business without complying withthe law.

The travel industry in Florida will benefit to the extent thatconsumer confidence will be restored through the operation ofreputable sellers of travel.

3. Effects on competition, Private Enterprise and EmploymentMarkets:

Newly-established sellers of travel will have to pay an annualfee of $300. This is a financial burden that is not borne bybusinesses that have been affiliated with ARC for three or moreyears.

The sale of vacation certificates can be a very lucrativebusiness. Increasing the regulations on this business couldaffect the profitability of such businesses.

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IV.

D. FISCAL COMMENTS:

The effective date of the bill is October 1, 1993, providi g onlythree quarters of revenue and expenditures for FY 1993-94.

A computational error was discovered after the bill passed Theanticipated expenditures from the changes in the bill are xpectedto exceed the $65,911 appropriations amount in the bill byapproximately $22,800.

F THE F ION:

A. APPLICABILITY OF THE MANDATES PROVISION:

Although the provisions of the bill will require expenditu e offunds through local occupational license offices, the bill isexempt from mandate provisions because the fiscal impact iinsignificant.

B. REDUCTION OF REVENUE RAISING AUTHORITY:

None.

C. REDUCTION OF STATE TAX SHARED WITH COUNTIES AND MURICIPALI IES:

None.

v. COMMENTS:

Fifty (50) of the 67 counties require occupational licenses.Approximately 270 of 391 cities require occupational licenses Thepreventive effect of the occupational license check will notrealized in the counties and cities that do not require occup tionallicenses.

VI. AMENDMENTS OR COMMITTEE SUBSTITUTE CHANGES:

The Agriculture and Consumer Services Committee passed CS/HB 499 onFebruary 19, 1993. It addressed the following issues that we e notaddressed in the original bill:

• Restoring the exemption for persons who contract with thePassenger Network Service Corporation (which involvesinternational travel);

• Defining unresolved complaint as it pertains to the departauthority to revoke a seller of travel's exemption;

• Increasing from 30 to 60 days the advance notice that a comay be required to give a seller of travel before the cons�!shes to travel;

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• Providing an alternative for obtaining occupational license if thedepartment does not issue a letter of exemption; and

• Appropriating 3 F.T.E. positions and $135,000 from the GeneralInspection Trust Fund for FY 1993-94, contingent upon thecollection of fees to fully support the appropriation.

Representative Klein offered two amendments on Second Reading. Amendment #1 changed the appropriation to $65,911 and 2 F.T.E. positions. Amendment #2 increased from 20 to 30 days the time frame a seller of travel has to provide a refund after a consumer has cancelled arrangements and requested a refund. These amendments conformed the House bill with the Senate companion.

VII. SIGNATURES:

COMMITTEE ON AGRICULTURE AND CONSUMER SERVICES:Prepared by: Staff Director:

Coleen Mikesh, Ph.D. Rebecca R. Everhart

COMMITTEE ON.APPROPRIATIONS:

Prepared by: Staff Director:

Frank Morgan Peter J. Mitchell

FINAL ANALYSIS PREPARED BY COMMITTEE ON AGRICULTURE AND CONSUMER

SERVICES:

Prepared by: Staff Director:

r liH�,_ � (ft� Coleen Mikes�Ph.D. Rebecca R. Everhart

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REVISED: BILL NO. CS/CS/SB 11861

DATE: March 10, 1993 Page 1

-1

SENATE STAFF ANALYSIS AND ECONOMIC IMPACT STATEMENT

ANALYST

1. Mathues 2, Glenn,��

STAFF DIRECTOR

Masterton

REFERENCE ACTION

1, =PR ___ _ Cape ¢We,_ 2, IT Fav CS

3. -., . ' 3, "'F=T,------4. 4,

SUBJECT: BILL NO, AND SPONSOR:

Sellers of Travel

I, SUMMARY:

A, Present Situation: \,

CS/CS/SB 1186 by International Trade Committee, Professional Regulations Committeeand Senator Weinstein

Currently travel agents or "sellers of travel" are required topay a fee of up to $300 and register each year with the Department of Agriculture and Consumer Services (DACS) pursuantto s. 559,927, F.S. Registrants must provide certain basic identifying information.

Sellers of travel are defined as entities that offer for sale (at wholesale or retail) prearranged travel or tourist-related services for individuals or groups, through vacation or tour packages, or through lodging or travel certificates in exchangefor consideration. The term includes any business entity offering membership in a travel club or travel services for anadvance fee or payment, even if no travel contracts or certificates or vacation or tour packages are sold.

Once registered, a travel agency may not change its location,registered name, or designated agent unless the DACS is notified. Registration certificates are not transferable. Certain sellers of travel and promoters must submit copies ofdocuments prior to the sale of any vacation certificate alongwith an annual fee of $100, In addition, sellers of travel must post a bond of between $10,000 and $25,000. A letter ofcredit or certificate of deposit may be used in lieu of the bond.

The DACS is authorized to deny or revoke the registration of any seller of travel for cause, employ investigators to check into violations of this section, and make reasonable rules forcarrying out this section.

Section 559.927, F.S., provides prohibited acts, remedies, and civil and criminal penalties. This law is enforced by the DACSand the Department of Legal Affairs.

Certain types of businesses are exempt from the registration provisions of this section: a bona fide employee of a seller of travel; any direct common carrier of passengers or property regulated by the federal government or employees of the carrierwhen engaged solely in the carrier's transportation business; an intrastate common carrier selling only transportation or employees of the carrier when engaged solely in the carrier'stransportation business; certain hotels, motels, or other places of public accommodations or their employees; persons involved solely in the rental, leasing, or sale of residentialproperty; persons involved solely in the rental, leasing, or sale of transportation vehicles; persons who make travel arrangements for themselves, their employees or agents for distributors, franchisees, or dealers, entities which are

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financially related to the persons, or for the employees or agents of the distributor, franchisee, dealer, or financially related entity; persons who have contracted with flag or domestic carriers and who directly issue airline tickets on behalf of those carriers; persons with professional liability errors and omissions insurance of $1 million annually; approved developers of a time-share plan or an exchange company; and persons or entities engaged solely in offering diving services, including classes and sales or rentals of equipment, when engaged in making specified prearranged services.

The law also exempts persons directly issuing airline tickets who have contracted with the Airlines Reporting Corporation (ARC) or the Passenger Network Service Corporation. The law allows these entities to voluntarily register with the DACS by providing certain information and paying an annual fee not to exceed $100. Other exempt entities must register pursuant to s. 559.927(9), F.S.

Part II of chapter 501, F.S., is the Florida Deceptive and Unfair Trade Practices Act. The Florida law (or little FTC act) is modeled after the Federal Trade Commission Act. The act provides for private actions and damages in civil actions. Pursuant to this law, the Department of Legal Affairs has adopted rules related to lodging certificates (Chapter 2-22, F.A.C.). Section 559.927, F.S., was amended in 1992 by chapter 92-291, L.O.F., and changed the definition of "lodging"certificates to "vacation" certificates. The rule for theDepartment of Legal Affairs still reflects the term "lodging"certificate.

Chapter 607, F.S., relates to corporations and s. 607.1601, F.S., addresses corporate records. Chapter 90, F.S., is theFlorida Evidence Code.

B. Effect of Proposed Changes:

This committee substitute addresses certain industry abuses andtransfers certain existing regulations into statute to enablemore efficient enforcement.

The committee substitute amends s. 559.927, F.S., to clarifywho must submit documents and the timeframe for submission.The committee substitute changes the references from lodgingcertificates to vacation certificates. The committeesubstitute amends the recordkeeping requirements for sellers oftravel and promoters to specify additional documents that mustbe maintained. The committee substitute specifies requiredcontract disclosures. It is unlawful for a seller of travel ora promoter to fail to provide these disclosures in thecontract. The committee substitute specifies provisions forcancellation and refund.

The committee substitute authorizes the DACS to waive the bondrequirement if the seller of travel meets certain conditions: 5or more consecutive years of experience as a seller of travelin Florida; demonstrated financial responsibility in submittingcurrent audited financial statements; no record of a civil,criminal, or administrative action in the vacation or travelbusiness; and a satisfactory consumer complaint history withthe DACS. The waiver may be revoked based on violations of thelaw. The committee substitute adds grounds for disciplinaryaction, including various misrepresentations.

The committee substitute deletes the exemptions for flag ordomestic carriers and persons with $1 million in professionalliability insurance. The committee substitute amends theexemption for ARC, limiting the exemption to persons who havecontracted with ARC for three or more years under the sameownership and control. The committee substitute defines anunresolved consumer complaint and a conviction. The committee

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substitute requires persons exempt as ARC members or the Passenger Network Service Corporation to obtain a letter of exemption from the DACS in order to obtain or renew their occupational licenses after October 1, 1993. Sellers of travel must submit an affidavit to the DACS if a letter of exemption is not issued by the DACS in a timely manner. The affidavit can be used to obtain an occupational license in lieu of the letter of exemption. The committee substitute provides that the burden of proving an exemption in any criminal or civil proceeding is on the person claiming the exemption. The letter of exemption has no bearing on these proceedings.

The committee substitute authorizes the DACS to require registration and bonding of exempt entities based upon: a record of unresolved complaints, certain crimes, and failure to satisfy certain fines and penalties. The committee substitute defines a conviction to include a finding of guilt where adjudication is withheld. The committee substitute clarifies violations of s. 559.927, F.S., and provides administrative remedies, including an administrative fine not to exceed $5,000, a cease and desist order, action on registration status, probation, a letter of concern, and cancellation of an exemption. The committee substitute revises civil remedies. The committee substitute removes language related to the type of evidence that should be admissible in certain proceedings. The committee substitute provides that, upon motion of the enforcing authority in any action brought pursuant to the law, the court may make appropriate orders including appointment of a master or receiver.

Certain provisions of the law, as amended by the committee substitute, replace parts of Chapter 2-22, F.A.C., to eliminate the potential for duplicative submissions required from sellers of travel.

The committee substitute prohibits counties and municipalities from issuing or renewing an occupational license until the seller of travel exhibits a current registration or letter of exemption from the DACS. In contrast, current law requires persons applying for or renewing a local occupational license to exhibit an active registration certificate before the local occupational license may be issued or reissued.

II. ECONOMIC IMPACT AND FISCAL NOTE:

A. Public:

The precise number of counties and municipalities currentlyusing occupational license taxes as a revenue source isunknown.

Those entities previously exempt from registration will besubject to the registration and renewal fees. ARC members withthree or more years under the same ownership and control willbenefit from the narrowed exemption. Those members will havesome costs associated with letters of exemption. The DACSestimates that approximately 1000 sellers of travel who arecurrently exempt from regulation will have to register and paya $300 fee, for revenues of $300,000 annually.

Sellers of travel that have the bond requirement waived willbenefit.

The American Society of Travel Agents, AAA, and the Sellers ofTravel Association support the committee substitute.

B. Government:

The DACS indicated that the total expenditures associated withthe provisions of the committee substitute would be $289,970

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for FY 1993-94, $298,669 for FY 1994-95, and $307,629 for FY 1995-96.

III. MUNICIPALITY/COUNTY MANDATES RESTRICTIONS:

IV. COMMENTS:

V. AMENDMENTS:

None.