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T H E C A B I N E T S T A T E O F F L O R I D A Representing: STATE BOARD OF ADMINISTRATION DIVISION OF BOND FINANCE FLORIDA DEPARTMENT OF LAW ENFORCEMENT DEPARTMENT OF HIGHWAY SAFETY AND MOTOR VEHICLES DEPARTMENT OF REVENUE STATE BOARD OF EDUCATION BOARD OF TRUSTEES OF THE INTERNAL IMPROVEMENT TRUST FUND The above agencies came to be heard before THE FLORIDA CABINET, Honorable Governor Bush presiding, in the Cabinet Meeting Room, LL-03, The Capitol, Tallahassee, Florida, on Thursday, November 16, 2000, commencing at approximately 9:10 a.m. Reported by: LAURIE L. GILBERT Registered Professional Reporter Certified Court Reporter Certified Realtime Reporter Registered Merit Reporter Notary Public in and for the State of Florida at Large ACCURATE STENOTYPE REPORTERS, INC. 100 SALEM COURT TALLAHASSEE, FLORIDA 32301 850/878-2221 2 APPEARANCES: Representing the Florida Cabinet: JEB BUSH Governor BOB CRAWFORD Commissioner of Agriculture BOB MILLIGAN Comptroller KATHERINE HARRIS Secretary of State BOB BUTTERWORTH Attorney General BILL NELSON Treasurer TOM GALLAGHER Commissioner of Education * * * ACCURATE STENOTYPE REPORTERS, INC. 3 November 16, 2000 I N D E X ITEM ACTION PAGE STATE BOARD OF ADMINISTRATION: (Presented by Tom Herndon, Executive Director) 1 Approved 5 2 Approved 5 3 For Information Only 5 4 Status Report 8 DIVISION OF BOND FINANCE: (Presented by J. Ben Watkins, III, Director) 1 Approved 18 2 Approved 18 3 Deferred 19 DEPARTMENT OF LAW ENFORCEMENT: (Presented by James T. Moore, Executive Director) 1 Approved 20 2 Approved 21 3 Approved 34 DEPARTMENT OF HIGHWAY SAFETY AND MOTOR VEHICLES: (Presented by Fred O. Dickinson, III, Executive Director) 1 Approved 37 2 Approved 37 3 Approved 47 DEPARTMENT OF REVENUE: (Presented by James A. Zingale, Ph.D., Executive Director) 1 Approved 52 2 Status Report 52 ACCURATE STENOTYPE REPORTERS, INC. 4 November 16, 2000 I N D E X (Continued) ITEM ACTION PAGE STATE BOARD OF EDUCATION: (Presented by Wayne V. Pierson, Deputy Commissioner) 1 Approved 62 2 Approved 62 BOARD OF TRUSTEES OF THE INTERNAL IMPROVEMENT TRUST FUND: (Presented by David B. Struhs, Secretary) 1 Approved 65 Second Substitute 2 Approved 67 3 Approved 68 Second Substitute 4 Approved 101 Substitute Additional 5 Approved 106 CERTIFICATE OF REPORTER 108 * * * ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 5 November 16, 2000 1 P R O C E E D I N G S 2 (The agenda items commenced at 9:20 a.m.) 3 GOVERNOR BUSH: Tom Herndon, State Board of 4 Administration. 5 MR. HERNDON: Good morning, Governor, 6 members. 7 Item Number 1 on the agenda is approval of 8 the minutes of the meeting held October 24th, 9 2000. 10 TREASURER NELSON: I move the minutes. 11 COMPTROLLER MILLIGAN: Second. 12 GOVERNOR BUSH: Moved and seconded. 13 Without objection, it's approved. 14 MR. HERNDON: Item Number 2 is approval of 15 a fiscal sufficiency not exceeding thirty-two 16 million two hundred thousand dollar State of 17 Florida, Board of Regents, University of 18 Central Florida Housing Revenue Bond, series to 19 be determined. 20 COMPTROLLER MILLIGAN: Move Item 2. 21 TREASURER NELSON: I second it. 22 GOVERNOR BUSH: Moved and seconded. 23 Without objection, it's approved. 24 MR. HERNDON: Item Number 3 is provided for 25 your information, Governor, and members of ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 6 November 16, 2000 1 the -- of the Board. 2 It is what we're characterizing as the 3 product design, if you will, for the actively 4 managed funds that were identified earlier in 5 the Investment Policy Statement. We provided 6 you with a lot of detail from our consulting 7 firm, Callan and Associates. 8 But basically what we wanted to just simply 9 describe was the thought process behind how we 10 might select investment providers for some of 11 these institutional products, what the 12 line-up -- physical line-up might look like. 13 In this respect, it's very analogous to the 14 kind of selection line-up that we go through on 15 the DB side of things. When we have a large 16 cap growth manager, for example, that provides 17 services to the pension fund, we might have two 18 or three, depending on the capacity 19 requirements, depending on liquidity 20 requirements, depending on manager risk, style 21 risk, and so on, and so forth. 22 Now, we have taken this information from 23 Callan, scrubbed it down ourselves, run it 24 through our internal working committees that 25 are made up of representatives from your ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 7 November 16, 2000 1 offices, and from the County associations, 2 School Board Association, and so forth. 3 And we will also be sharing this 4 information in a formal setting with the 5 Investment Advisory Council, and the PEORP 6 Advisory Council on the 29th of this month when 7 they meet for a joint meeting. 8 Thus far, there's certainly been no 9 disagreement with this line-up. But I wanted 10 you to have an opportunity to see it formally, 11 and also to make it clear that this is a work 12 in progress. 13 We may find when we get to the point of 14 actually getting enrollment reality in front of 15 us, that we don't need some of the managers 16 that we propose to hire for some of the 17 investment products. 18 It's at this point largely speculative, 19 based on the forecasts of how much money will 20 be spun off for some of these products. 21 And as you know, all that we have to rely 22 on are various actuarial estimates at this 23 point. So we've indicated in the line-up that 24 we have that while we might identify, 25 for example, two small cap growth managers, we ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 8 November 16, 2000 1 may find when we start to see the actual 2 enrollment statistics, that we only need to 3 have one of those under contract. But we'll 4 have two of them ready and preselected and 5 ready to go. 6 So that's the thought process behind this 7 product design architecture. 8 Item Number 4 -- I mean, if there are any 9 questions, I'm certainly happy to answer 10 them -- 11 GOVERNOR BUSH: Any questions? 12 COMPTROLLER MILLIGAN: No. 13 MR. HERNDON: -- but -- 14 Item Number 4 is our fourth in a series of 15 implementation status reports on the 16 defined contribution program. 17 And, Governor, and members, with your 18 permission, I thought I might spend a minute 19 and talk about this. There has been a lot of 20 activity. Overall, our progress has been very 21 good. We've moved along essentially on all 22 fronts. 23 And I thought it might be worthwhile to 24 just touch on a couple of those that don't 25 quite come through when you read the dry -- the ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 9 November 16, 2000 1 dry facts. 2 And this is not in any particular order. 3 But working from the standpoint of asset 4 transition, how we move the money from the 5 DB plan to the DC plan, we had our first rule 6 hearing on proposed rules on asset transition 7 this week. We had some good suggestions. 8 We have a draft of the RFI for a transition 9 broker that's currently being circulated in the 10 staff for review. Hope to have that out in the 11 course of the next couple of weeks. 12 We'll obviously take that in front of the 13 Advisory Council, and so forth, also on the 14 29th. 15 We should get the additional actuarial 16 estimates from Mercer and from 17 Milliman & Roberts this week. So we'll have 18 three different actuarial estimates of the 19 likely amounts of money that we're 20 transferring. 21 Those really formed the cornerstone of an 22 awful lot of the later work that we're doing in 23 terms of the number of managers that we hire; 24 the kind of transition planning that we do; the 25 education program that we design, its scope, ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 10 November 16, 2000 1 its scale, and so forth. 2 So all of that information is coming 3 together. And we're on track to have that 4 transition broker in place shortly after the 5 first of the year. 6 The first product that actually hit the 7 street was an RFI for a third party 8 administrator for a record keeper. We had over 9 100-page RFI that was released. It was all out 10 on the web. 11 That product I think was by-in-large well 12 received by the industry. We had slightly over 13 100 questions that were sent back to us to 14 answer. We answered all of those questions. 15 And at that point, two protests were filed to 16 that RFI, and the solicitation process has 17 halted per the statute. 18 Now, the vendors out there who were in the 19 process of preparing their response to that RFI 20 are free to continue to do whatever they wish 21 to do in the way of preparation. 22 But actually submitting their bids, or our 23 evaluating their bids, or anything like that, 24 is -- is halted until this particular DOAH 25 hearing is resolved. ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 11 November 16, 2000 1 We will go before DOAH next week with some 2 responses to the protests, ask for expedited 3 hearings. 4 I might add, by -- by the way, too, that we 5 met with both of the protesting parties before 6 they filed their protests -- or before their 7 protests were -- were official, to see if there 8 was any way that we could mitigate their 9 concerns. They -- did not prove to be 10 possible. 11 But we are also planning on scheduling some 12 additional meetings the first part of next week 13 before we filed our responses to see if we can 14 mitigate some of their concerns. 15 So -- 16 Yes, sir. 17 GOVERNOR BUSH: I'm a little confused about 18 the protests for -- I would have thought that 19 the protest would have been on the next 20 Request for Proposal, or -- 21 MR. HERNDON: Right. 22 GOVERNOR BUSH: -- Request for Information, 23 not this one. 24 Why -- why -- if -- if these entities that 25 are protesting are not going to bid on the ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 12 November 16, 2000 1 third party administrator work, why are they 2 protesting it? 3 MR. HERNDON: I'm a little reluctant to put 4 myself in their shoes. But if you'll accept 5 for the moment that this is -- 6 GOVERNOR BUSH: Speculate. 7 MR. HERNDON: -- a little speculative on my 8 part, my impression is that they believe that 9 the RFI, as currently drafted, precludes them 10 from bidding as they might like for subsequent 11 work, since it is, in their view, not 12 consistent with their bundled strategy. 13 And that's -- I think -- 14 GOVERNOR BUSH: But the law's pretty clear, 15 isn't it, that there's a third party 16 administrator, and then there are the 17 investment options. 18 MR. HERNDON: That's certainly our 19 position, Governor. And we've tried to 20 maintain that position pretty consistently 21 throughout, that the law says there shall be 22 one third party record keeper, that you cannot 23 be a record keeper and be an investment 24 provider, that you cannot be an investment 25 provider and be an educator. ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 13 November 16, 2000 1 I mean, we think it's pretty clear. 2 But perhaps there's a way that -- that the 3 courts can -- 4 GOVERNOR BUSH: Are you -- is the RFI 5 defining the third party administrator in such 6 broad terms that -- is that the possibility 7 where -- is that the -- where there could be a 8 disagreement? 9 MR. HERNDON: Well, we -- we've tried to 10 indicate that -- that there are some 11 administrative functions that we would 12 anticipate that the bundled provider needs to 13 perform, and -- and has to perform, but it 14 wouldn't be the full panoply of services that a 15 central record keeper would perform. 16 I'm not sure that that's satisfactory. At 17 least my impression is from their point of 18 view, it's not. 19 So that's where we are. 20 GOVERNOR BUSH: Senator, any questions? 21 COMPTROLLER MILLIGAN: Just a quick 22 question, Governor, on -- on impact on the 23 program, Tom. 24 MR. HERNDON: Right now we're okay because 25 we had not anticipated receiving back the ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 14 November 16, 2000 1 responses to the RFI until the 21st of this 2 month. We've still got that period of time 3 that the vendors can continue to prepare their 4 responses. 5 If the judicial process drags on 6 indefinitely, then clearly our ability to meet 7 our deadlines and provide the kind of 8 infrastructure that you have to have is 9 compromised. 10 What we've told the vendor community is, 11 this Court process does build in some delays. 12 It inures to your benefit in the sense that it 13 gives you more time to actually prepare your 14 response. 15 So once the Court answers these questions, 16 we will call for those responses immediately; 17 basically, you won't get 30 more days, or 18 60 more days. 19 Whether or not that adds a month or -- or 20 two, I -- I don't know. At this point, I -- 21 COMPTROLLER MILLIGAN: So it's too early to 22 tell. But it could have a significant impact 23 on the dates that have been set by the 24 Legislature. 25 MR. HERNDON: It certainly could. ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 15 November 16, 2000 1 COMPTROLLER MILLIGAN: Yeah. 2 MR. HERNDON: And -- and that's a distinct 3 possibility that we're very mindful of. 4 COMPTROLLER MILLIGAN: Okay. 5 MR. HERNDON: And part of the reason, I 6 might add, why we're trying to move forward on 7 as many other fronts as we can concurrently. 8 And on that point, let me just say, on 9 the -- on the education program, we've 10 successfully completed our search for a media 11 consultant, hired a firm out of New York. 12 We have an education RFI that was -- the 13 responses were due back on Tuesday afternoon. 14 We got a very good set of responses, over 15 21 firms responded. Some of the biggest 16 national and international media firms in the 17 country have responded. We feel very pleased 18 with that -- with that work. 19 Product design you saw this morning. We'll 20 be taking the selection -- proposed selection 21 and evaluation criteria for the investment 22 managers to the Advisory Council on the 29th; 23 and then later on, to you in December. That's 24 moving forward very satisfactorily. 25 The final point, of course, is the ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 16 November 16, 2000 1 Investment Policy Statement which, I think, 2 Governor, as -- as you were kind of pointing 3 out, is kind of the -- the origin of an awful 4 lot of what is now taking place. 5 The deadline for protests is the 27th of 6 this month. We anticipate a protest. We've 7 been told that it will be protested. We'll see 8 if that, in fact, occurs. 9 We would hope, and -- and certainly 10 anticipate that any protests on that, and on 11 the third party administrator, are essentially 12 the same. I mean, they're making the same 13 arguments. And perhaps they can be 14 consolidated -- 15 GOVERNOR BUSH: But these -- 16 MR. HERNDON: -- and expedited. 17 GOVERNOR BUSH: -- will it be seen by the 18 same judge? 19 MR. HERNDON: That I -- I -- I don't know, 20 Governor. I -- I don't know that that's 21 necessarily the way DOAH would work. 22 But we, I think, are interested in trying 23 to have these pleadings consolidated, because 24 I think they go to the same set of issues. 25 So -- ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF ADMINISTRATION 17 November 16, 2000 1 GOVERNOR BUSH: Any other questions? 2 MR. HERNDON: Thank you. 3 GOVERNOR BUSH: Thank you, Tom. 4 (The State Board of Administration Agenda 5 was concluded.) 6 * * * 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ACCURATE STENOTYPE REPORTERS, INC. DIVISION OF BOND FINANCE 18 November 16, 2000 1 GOVERNOR BUSH: Division of Bond Finance. 2 MR. WATKINS: Item Number 1 is approval of 3 the minutes of the October 24th meeting. 4 COMMISSIONER GALLAGHER: Motion on minutes. 5 ATTORNEY GENERAL BUTTERWORTH: Second. 6 GOVERNOR BUSH: Moved and seconded. 7 Without objection, it's approved. 8 MR. WATKINS: Item Number 2 is approval of 9 a resolution authorizing the competitive sale 10 of up to 32.2 million dollars of Board of 11 Regents Revenue Bonds for construction of a 12 dormitory for University of Central Florida. 13 COMMISSIONER GALLAGHER: Motion. 14 ATTORNEY GENERAL BUTTERWORTH: Second. 15 GOVERNOR BUSH: Moved and seconded. 16 Without objection, it's approved. 17 COMMISSIONER GALLAGHER: Move to -- 18 MR. WATKINS: I'd like to -- 19 COMMISSIONER GALLAGHER: -- defer Item 3. 20 MR. WATKINS: Excuse me? 21 COMMISSIONER GALLAGHER: I'd move to defer 22 Item 3. 23 ATTORNEY GENERAL BUTTERWORTH: Second. 24 GOVERNOR BUSH: That's what you wanted -- 25 MR. WATKINS: Yes. ACCURATE STENOTYPE REPORTERS, INC. DIVISION OF BOND FINANCE 19 November 16, 2000 1 GOVERNOR BUSH: -- isn't it? 2 MR. WATKINS: I'd like a deferral of 3 Item 3. 4 GOVERNOR BUSH: Motion to defer and second. 5 Without objection, it's approved. 6 MR. WATKINS: Very good. 7 Thank you. 8 GOVERNOR BUSH: Thank you. 9 (The Division of Bond Finance Agenda was 10 concluded.) 11 * * * 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 20 November 16, 2000 1 GOVERNOR BUSH: Florida Department of Law 2 Enforcement. 3 Commissioner. 4 COMMISSIONER GALLAGHER: Motion on -- 5 MR. MOORE: Good morning, Governor -- 6 COMMISSIONER GALLAGHER: -- minutes. 7 MR. MOORE: -- Cabinet. 8 COMMISSIONER GALLAGHER: Motion on minutes. 9 ATTORNEY GENERAL BUTTERWORTH: Second on 10 the minutes. 11 GOVERNOR BUSH: Moved and seconded. 12 Without objection, it's approved. 13 Treasurer Gallagher's in a hurry. 14 MR. MOORE: I gathered as much. 15 COMMISSIONER GALLAGHER: Board of Regents 16 meeting down in Miami. Big stuff going on. 17 I've got to get to it. 18 MR. MOORE: Governor, Item 2 is the 19 quarterly report for the Department for the 20 year of -- first quarter of July 1 fiscal year. 21 COMMISSIONER GALLAGHER: Motion. 22 SECRETARY HARRIS: Second. 23 COMMISSIONER CRAWFORD: Second. 24 MR. MOORE: Could I -- 25 GOVERNOR BUSH: Moved and seconded. ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 21 November 16, 2000 1 MR. MOORE: -- could I mention a -- a 2 program there, Governor, that I'm real proud 3 of? 4 GOVERNOR BUSH: Can I -- can we -- can we 5 move and second it? 6 Without objection, it's approved. 7 Yes, you can. 8 MR. MOORE: Thank you, sir. 9 This past quarter, we launched something 10 called Operation THUGS, taking hoodlums who use 11 guns seriously here in Florida, targeting some 12 254 -- 13 GOVERNOR BUSH: Do you remember what the 14 acronym stands for? 15 MR. MOORE: Taking Hoodlums Who Use Guns 16 Seriously. 17 GOVERNOR BUSH: Thank you. 18 MR. MOORE: Very seriously. 19 GOVERNOR BUSH: That's one of my favorites. 20 COMMISSIONER CRAWFORD: That one's okay? 21 COMMISSIONER GALLAGHER: I thought you 22 didn't like them. 23 GOVERNOR BUSH: THUGS. 24 MR. MOORE: We identified 251 violent 25 felony fugitives who had between them over ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 22 November 16, 2000 1 5,000 arrests. They had outstanding warrants 2 for a violent felony offense in Florida. 3 And the other commonality they had, they'd 4 all used a firearm during the commission of 5 their crime. 6 To date, we've captured 56 of those thugs, 7 and they're now back in jail where they belong. 8 We used technology to do that. We went on the 9 Internet and -- and put the pictures of those 10 thugs in every city that -- where the warrant 11 had been issued. 12 And we went a step further and offered 13 $1,000 reward to the public if they'd help us 14 find those individuals and -- and get them 15 arrested. 16 Success there is -- it's continuing to 17 improve, and we're staying focused on that 18 target. The 54 we captured had over 19 1500 arrests between them. 20 Now, that's more arrests than 19 of our 21 counties had individually in the calendar year 22 1999. So it was, indeed, a -- a crime wave 23 there, those -- those 54. 24 Programs like that, Governor, and members 25 of the Cabinet, is why I think we're seeing ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 23 November 16, 2000 1 this 20 percent reduction in gun related 2 violence in Florida that we saw the first full 3 year of 10-20-Life here since it was passed. 4 So I'm encouraged by that. 5 And following your direction, we're going 6 to continue targeting on these individuals in 7 the state of Florida. 8 GOVERNOR BUSH: Treasurer Gallagher. 9 COMMISSIONER GALLAGHER: What -- how -- how 10 much money did we pay out to pick these guys 11 up? Did -- did -- 12 MR. MOORE: Well, so far, we're -- we've 13 paid under $10,000 to pick these up. But I'm 14 encouraging the public, and we're continuing to 15 encourage the public, not to take enforcement 16 action on their own, but if they've -- 17 COMMISSIONER GALLAGHER: Well -- 18 MR. MOORE: -- got information on these -- 19 these hoodlums, let us know, and we'll go after 20 them. 21 Governor, yesterday as well, you hosted 22 the first ever State of Technology Conference 23 here in the state of Florida, and we talked as 24 a state about the things that we're doing in 25 technology that is helping us do a better job ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 24 November 16, 2000 1 deliver our services to our citizens. 2 And there are several applications here in 3 the state of Florida that I'm particularly 4 proud of in the area of public safety. One 5 that you helped champion the cause on last year 6 was to add burglary as a predicate crime for 7 adding samples to our DNA database. 8 And during this past quarter, we picked up 9 and -- and solved a rate for -- for a crime 10 using the first sample of that burglary into 11 the database. So we're having success in that 12 already. 13 We've add-- as you'll see from that 14 quarterly report, we've added 2400 additional 15 samples. And by the end of this calendar year, 16 we will add another 24,000 burglary convictions 17 to that database, giving us in excess of 18 70,000 entries into that database now, and 19 solving crimes across our state in ways that we 20 all hoped that it would. 21 Finally, you and General Milligan 22 co-hosted, along with us, a -- a partnership -- 23 public/private partnership back at the end of 24 September where we brought together some 25 80 corporate individuals of businesses across ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 25 November 16, 2000 1 the state of Florida to work with all of our 2 regulatory agencies here in Florida, consistent 3 with our strike force against fraudulent 4 enterprises, looking for ways that we could 5 forge coalitions and work corporately to keep 6 fraudsters from victimizing our citizens. 7 At that time, we promised the participants, 8 some -- again, some 80 corporate individuals, 9 that we would give them by yesterday, access 10 via myflorida.com to our strikeforce against 11 fraudulent enterprises database, a database of 12 some 200,000 plus entries of people that have 13 either been complained against, or convicted of 14 fraud offenses here in the state of Florida. 15 Well, yesterday, I promised, we turned that 16 database on, again through myflorida.com to all 17 of those corporate sponsors, and -- and 18 petitioners, and they're now using that data to 19 help us make sure that we keep people from 20 victimizing our citizens here in this state. 21 GOVERNOR BUSH: Excuse me, Commissioner. 22 Could I just -- could you move just a 23 little bit? That's the Mayor of Jacksonville, 24 and he probably is interested in the -- 25 Thank you. ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 26 November 16, 2000 1 If y'all could just recognize, there are 2 people here that are actually interested in the 3 agenda, we'd be grateful. 4 Mayor, how are you doing? Good to see you 5 now. 6 MR. MOORE: Good. 7 GOVERNOR BUSH: Please. 8 MR. MOORE: Governor, our charge now is to 9 continue populating that database amongst the 10 20 agencies, investigative and regulatory, in 11 the state of Florida to make sure that the left 12 hand knows what the right's doing in terms of 13 individuals who are victimizing our citizens. 14 We're making much progress there, and I'm 15 proud of the fact that that -- that database is 16 now available to our corporate partners. And I 17 thank you and the Comptroller for helping 18 sponsor that partnership. 19 COMPTROLLER MILLIGAN: If I might, 20 Governor -- 21 GOVERNOR BUSH: Yes. 22 COMPTROLLER MILLIGAN: -- the -- one of the 23 challenges has been to really get all of the 24 agencies to participate in providing 25 appropriate data into that fight fraud ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 27 November 16, 2000 1 database. 2 And since we have all the agencies head -- 3 heads here, I would encourage you all to work 4 with your folks, and -- and get that done. It 5 is an extraordinarily valuable service. We are 6 expanding it into the private domain. 7 Early in January we anticipate that any 8 citizen in Florida will be able to access the 9 database, and we are working with the private 10 sector, and will be working with the 11 Legislature to see what the private sector can 12 put into this database in terms of information 13 that they have. 14 And so it's a great opportunity to get 15 information out to -- to needy communities, 16 citizens, and so forth. But we need to get our 17 own act in order, and I encourage you all to -- 18 to be participants. 19 COMMISSIONER GALLAGHER: Is there -- 20 I have a question. 21 Is there a -- a safeguard or some filter 22 that -- 23 COMPTROLLER MILLIGAN: Yes. 24 COMMISSIONER GALLAGHER: -- would stop 25 somebody from, you know, not liking somebody ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 28 November 16, 2000 1 and popping their name in there? 2 COMPTROLLER MILLIGAN: Absolutely. 3 To say it is fail-safe, with today's 4 ability of some people to hack into systems, 5 I -- I wouldn't go that far. But every 6 security measure that we can take, has been 7 taken. 8 And, Tim, you might want to amplify on 9 that. 10 MR. MOORE: That's correct. The only entry 11 that can be made into that database is from one 12 of the agencies, one of the regulatory 13 agencies, or one of the investigative agencies. 14 And all this data are representative of 15 closed cases; not active, ongoing cases. That 16 was a condition for the business partners to 17 participate. 18 So I'm, like the -- like the Comptroller, 19 comfortable with the fact that we have the 20 safeguards on the front end to pre-- prevent 21 what you're talking about. 22 COMMISSIONER GALLAGHER: You're including 23 closed cases that there was no prosecution on? 24 MR. MOORE: Closed cases if there were 25 prosecutions, or if there were no prosecutions. ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 29 November 16, 2000 1 That's public record in the state of Florida -- 2 COMMISSIONER GALLAGHER: Okay. 3 MR. MOORE: -- and we -- 4 COMMISSIONER GALLAGHER: So it's 5 basically -- you're exposing -- 6 MR. MOORE: -- we just -- 7 COMMISSIONER GALLAGHER: -- the total 8 public -- 9 MR. MOORE: -- we put it together. 10 COMMISSIONER GALLAGHER: -- record. 11 MR. MOORE: Exactly. Exactly. 12 COMMISSIONER GALLAGHER: But I heard 13 somebody say that the corporate can put data 14 in. What -- where would they -- 15 MR. MOORE: Well, we're not there yet. 16 We're encouraging them to do that, and to work 17 with us in terms of sharing data with us in the 18 future of complaints that they've had against 19 individuals that are victimizing their 20 companies. 21 A lot of those complaints would be the same 22 as those that we have received in the state of 23 Florida, either in a regulatory agency, or an 24 investigative agency -- 25 COMMISSIONER GALLAGHER: Right. ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 30 November 16, 2000 1 MR. MOORE: -- and pursued. But we're not 2 there just yet. 3 COMMISSIONER GALLAGHER: But -- but how 4 would -- how would they have one that -- that 5 our investigative agencies wouldn't know about? 6 MR. MOORE: Well, all of those -- those 7 corporations, as you know, particularly the big 8 ones, have huge investigative arms and elements 9 that we work jointly with day in and day out. 10 The majority of the complaints that they 11 would receive would be in the investigative 12 agencies, or in the regulatory agencies. 13 But there's those from time to time that 14 aren't. We're encouraging this -- this full 15 exchange of information -- 16 COMMISSIONER GALLAGHER: But when they gave 17 it to -- they'd give it to one of our 18 investigative agencies that would look at it, 19 and put it on or not put it on, depending on 20 its -- 21 MR. MOORE: That's correct. That's 22 correct. 23 COMPTROLLER MILLIGAN: There -- there are 24 some questions of liability that we have to 25 sort out, Tom. And that's part of what is ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 31 November 16, 2000 1 being looked at at this point in time. 2 But identity thefts, and those types of 3 things, are information that the -- the private 4 sector may be willing to put into the database. 5 So we'll see where it goes. 6 GOVERNOR BUSH: General? 7 ATTORNEY GENERAL BUTTERWORTH: Governor, 8 thank you. 9 Tim, can this be expanded, or is it already 10 there, to where we find that since there's so 11 many elderly people here in the state of 12 Florida, and so many -- so many elderly people 13 are scammed by telemarketers, as well as some 14 of the mail scams. 15 And many times, because their jurisdictions 16 are so small -- I mean, so far as a city or -- 17 if they cross city lines, a lot of times, 18 law enforcement in one agency may not be 19 communicating directly with the other agency, 20 except maybe at monthly meetings or weekly 21 meetings. Can this be expanded to, if -- if, 22 in fact, there appears to be a certain type of 23 scam occurring in a community where -- where 24 law enforcement can at least put that 25 particular type of scam on the Internet so -- ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 32 November 16, 2000 1 where other officers can then look and see if 2 they're having the same type of thing. 3 Because many times we find that, well, only 4 one person complained in our community, but 5 somebody might have complained in -- in a 6 neighborhood community. 7 MR. MOORE: Exactly. 8 Ultimately where we want to be is -- the 9 state of Florida, consistent with the direction 10 you gave us as the -- as our governing body 11 several months ago, is we'll have a common 12 complaint, receipt, and referral database in 13 the state of Florida. 14 Now, Commissioner Crawford handles 15 thousands of those a year now. We want to 16 build on that good -- on that good operation, 17 and have a common complaint and referral 18 center. 19 When those complaints start coming in then, 20 and if there's gypsy roofers, or -- or -- or 21 road paver scammers that are -- that are 22 starting to work in Escambia County, then 23 intelligence is real and immediate, and we can 24 start alerting people by regions, and 25 ultimately statewide that, hey, be on the ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 33 November 16, 2000 1 lookout for these kind of scams. 2 We can do that based on the suggestions 3 that you have there. 4 Now, local law enforcement and local 5 prosecutors are participants in this as well. 6 ATTORNEY GENERAL BUTTERWORTH: They -- 7 MR. MOORE: They have been at the table 8 with us. 9 ATTORNEY GENERAL BUTTERWORTH: 10 Commissioner, since we have the worldwide media 11 here, we can send a signal out that 12 telemarketers that are calling in to the state 13 of Florida, your days are numbered. Okay? 14 MR. MOORE: We have some good -- we have 15 some good tough laws, and some good people that 16 are out there protecting Floridians. So -- 17 GOVERNOR BUSH: I'm sure it'll -- 18 MR. MOORE: -- don't come down here -- 19 GOVERNOR BUSH: -- make the -- 20 MR. MOORE: -- to do your business. 21 GOVERNOR BUSH: -- national news tonight. 22 ATTORNEY GENERAL BUTTERWORTH: It'll be the 23 top story in the news -- 24 COMMISSIONER GALLAGHER: It'll be the 25 number one story. You got it. ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 34 November 16, 2000 1 GOVERNOR BUSH: Maybe second. 2 MR. MOORE: Governor -- Item 3, Governor, 3 is final approval recommended for a rule we 4 initiated back earlier this year, consistent 5 with the Cabinet's rulemaking authority, to 6 adopt the specific legislative direction we 7 were given last session to lower the firearms 8 purchase fee from $8 back to the $5 fee that 9 was originally put in place when the program 10 was implemented. 11 We have published and -- notice of this 12 rule and rulemaking, as required by your 13 guidelines and the state of Florida guidelines. 14 We've had no input or concerns regarding 15 this rule, and I'd recommend final approval to 16 you. 17 ATTORNEY GENERAL BUTTERWORTH: Motion. 18 COMPTROLLER MILLIGAN: Second. 19 TREASURER NELSON: Second. 20 GOVERNOR BUSH: Moved and seconded. 21 Any discussion? 22 Moved and seconded. 23 Without objection, it's approved. 24 MR. MOORE: Thank you. 25 GOVERNOR BUSH: Thank you, Commissioner. ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 35 November 16, 2000 1 TREASURER NELSON: Governor -- 2 GOVERNOR BUSH: Yes. 3 TREASURER NELSON: -- may I make a -- a 4 comment to Tim before you leave? 5 I -- I don't know if you're going to be 6 here in our last Cabinet meeting. But I just 7 want to tell you what a delight it has been in 8 the professional relationship that we've had in 9 our two law enforcement operations, Division of 10 Insurance Fraud, and also the arson 11 investigators in the State Fire Marshal's 12 Office. 13 And working with you has been a -- a truly 14 professional delight, and it has also been a 15 great help. And -- and thank you for the 16 compliments. 17 Most people do not know that it was one of 18 our investigators in the arson investigation 19 that broke open that Florida A&M bomber case. 20 And you were very kind to call me to thank us 21 for that. 22 And we appreciate the relationship. 23 MR. MOORE: Thank you, Senator, and so do 24 we. 25 Thank you much. ACCURATE STENOTYPE REPORTERS, INC. FLORIDA DEPARTMENT OF LAW ENFORCEMENT 36 November 16, 2000 1 TREASURER NELSON: Thanks. 2 MR. MOORE: And good luck to you, sir. 3 TREASURER NELSON: Thanks. 4 GOVERNOR BUSH: You going somewhere? 5 ATTORNEY GENERAL BUTTERWORTH: You're not 6 coming to next week's Cabinet meeting? 7 GOVERNOR BUSH: You're -- are you leaving 8 before or something? What's -- 9 TREASURER NELSON: No. 10 GOVERNOR BUSH: We're going to organize a 11 good good-bye. Don't worry. 12 TREASURER NELSON: Do we have -- how many 13 more Cabinet meetings do we have before the end 14 of the year? 15 GOVERNOR BUSH: Well, we have one in 16 Melbourne. 17 TREASURER NELSON: Very good. 18 COMMISSIONER GALLAGHER: Gets to go home. 19 GOVERNOR BUSH: So we'll do that. 20 TREASURER NELSON: Very good. 21 (The Florida Department of Law Enforcement 22 Agenda was concluded.) 23 * * * 24 25 ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 37 November 16, 2000 1 GOVERNOR BUSH: Department of 2 Highway Safety. 3 COMMISSIONER GALLAGHER: Motion on the 4 minutes. 5 ATTORNEY GENERAL BUTTERWORTH: Second. 6 GOVERNOR BUSH: Moved and seconded. 7 Without objection, it's approved. 8 Item 2. 9 MR. DICKINSON: Item 2, Governor, is 10 approval of our quarterly report ending 11 September 2000. 12 COMMISSIONER GALLAGHER: Motion. 13 ATTORNEY GENERAL BUTTERWORTH: Second. 14 COMMISSIONER CRAWFORD: Second. 15 GOVERNOR BUSH: Moved and seconded. 16 Without objection, it's approved. 17 MR. DICKINSON: Item 3 is the submission of 18 our Department legislative package for 2001. 19 I would like to point out a couple items. 20 I know it's pretty noncontroversial from what 21 I've heard. 22 So -- no, I'm just -- 23 GOVERNOR BUSH: You can't match controversy 24 right now. So go ahead. 25 COMMISSIONER CRAWFORD: Go ahead, give it a ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 38 November 16, 2000 1 try. 2 GOVERNOR BUSH: Just -- I dare you to 3 become controversial today. 4 COMMISSIONER GALLAGHER: It -- 5 ATTORNEY GENERAL BUTTERWORTH: Please 6 become controversial. 7 COMMISSIONER GALLAGHER: This is the time 8 to do it, because nobody would recognize it. 9 MR. DICKINSON: We have a couple of items 10 that are to be withdrawn from the package. 11 One is a law enforcement item that I talked 12 with the Comptroller about. And we'll be 13 working on that in the future with -- with a 14 number of you. 15 The other item is an item that we -- 16 currently we suspend your driving privilege and 17 your tags -- or actually only suspend what you 18 have floated us a check for. 19 If you give us a bad check, we'll go in 20 there and get your driver's license or suspend 21 it. We were seeking to expand that. 22 We're going to go back and narrow it down 23 to just what you've given the check for. So 24 that also has been withdrawn. 25 There is an item in here, and I think, ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 39 November 16, 2000 1 Governor, you and the General will be 2 interested in this, that goes to our problem 3 on -- when we have fatalities or serious 4 injuries. 5 We have authorized medical personnel to 6 provide us with the blood when they take it 7 from someone involved in one of those crashes. 8 Hopefully will help us in some of those 9 horrible situations. But that's also included 10 here. 11 As well as a proposal to do some fund 12 shifting that would -- we would absorb all the 13 costs for our Internet fees, and any other fees 14 that you might want to go through us for 15 renewals. 16 Don't know how that'll fly upstairs, but -- 17 in the Legislature, but we're going to make a 18 stab at it. 19 And as you are all aware, we have the -- 20 the flat rate fee included in here. What we're 21 striving to do is to condense or consolidate 22 about 97 class codes that we currently operate 23 under, down to a more manageable number. 24 And what we've done in this package is 25 brought it down to one. You pay a flat $43 fee ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 40 November 16, 2000 1 for every plate in Florida. I understand -- 2 and we understood this on the front end -- this 3 was going to be open for some consternation. 4 About 70 percent of the Floridians would pay a 5 lower fee in this. The -- the remaining 6 30 percent would pay a little more. And the -- 7 the -- that 30 percent would be the lower 8 category weight class of vehicle. 9 So the -- the reason I'm pointing this out 10 to you is that we know this is the start of the 11 process. We have some fallbacks, quite 12 frankly, to fall back three to five categories. 13 Still much better -- much improved over the 14 current 97. 15 And I understand they're -- we'll -- we'll 16 be working this process. 17 GOVERNOR BUSH: Tom? 18 COMMISSIONER GALLAGHER: On this -- this 19 blood sample deal -- 20 MR. DICKINSON: Yes, sir. Uh-hum. 21 COMMISSIONER GALLAGHER: -- this -- I just 22 want to be clear on this. 23 This is, if, in fact, during the normal 24 medical attention given to a person that is 25 hospitalized, blood samples are taken, you can ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 41 November 16, 2000 1 have some of that. 2 This is not an authorization for your 3 Department or your personnel to go request and 4 get a blood sample. 5 Am I correct or am I incorrect? 6 MR. DICKINSON: Yes and yes. 7 You -- currently we can request -- if we 8 have probable cause, we can request the medical 9 personnel to take that blood. 10 This says just what you said on the front 11 end of that, if in the crash, we don't ask for 12 it, but the medical personnel happens to take 13 the blood, then it can be turned over to 14 law enforcement and used. 15 COMMISSIONER GALLAGHER: Okay. 16 MR. DICKINSON: Does that answer what -- 17 COMMISSIONER GALLAGHER: That does. 18 GOVERNOR BUSH: This is a result of y'all's 19 work after the fatality in Broward County, 20 right? 21 MR. DICKINSON: Absolutely. 22 Actually, Governor, we have been interested 23 in this for several years. I think four to 24 five years ago it was also proposed, and there 25 was some constitutionality, some ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 42 November 16, 2000 1 fourth amendment problems that we encountered. 2 This is our stab at getting around -- 3 around that -- the unconstitutional problem. 4 COMMISSIONER GALLAGHER: Motion on the 5 legislative package, as amended. 6 ATTORNEY GENERAL BUTTERWORTH: Second. 7 COMMISSIONER CRAWFORD: Second. 8 TREASURER NELSON: Well -- 9 GOVERNOR BUSH: Moved and seconded. 10 TREASURER NELSON: Well, let me get some 11 clarification. 12 What -- what does, as amended -- does that 13 include your recommendation for this $43 fee? 14 MR. DICKINSON: It includes the 15 recommendation that we put that in our 16 legislative package. I -- I wanted y'all to 17 understand that we are -- we're not pushing for 18 that particular proposal per se. 19 What I want to do is put it on the table, 20 and let's debate it, which I -- I see happening 21 here, the start of it. I guarantee you, the 22 Legislature's going to take a more active -- or 23 as an active role in this thing. 24 The tax collectors are joining with us on 25 this. ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 43 November 16, 2000 1 And what we'd like to do is put it out 2 there, and -- you know how the process will 3 take it from there. 4 But, yes, sir, it is in our legislative 5 package. 6 COMMISSIONER GALLAGHER: I -- I looked at 7 it as it's -- it's there to go to the 8 Legislature for discussion, as opposed to, this 9 is what we're recommending. 10 TREASURER NELSON: Well, I'm opposed to it. 11 And either -- I can either vote against the 12 proposal, or I can amend. 13 Simply, I don't think that 50 -- well, you 14 said 70 percent of the people that would be 15 paying less than $43 ought to suddenly have 16 that jacked up. 17 The old fee was based on a -- a weight 18 category. And if we are in a time of concern 19 of energy conservation, what we ought to be 20 doing is encouraging lighter vehicles and more 21 efficient vehicles. 22 And to suddenly jack up their license tag 23 fee, whereas under the present schedule, the 24 lower weight vehicles pay less, to jack that up 25 and ask them to pay more in order to -- just to ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 44 November 16, 2000 1 have a statewide average doesn't seem to me to 2 be good public policy. 3 So, Governor, how would you like us to 4 proceed? 5 Would you like me to offer an amendment, or 6 just to take an up or down vote? 7 GOVERNOR BUSH: I think probably for safety 8 purposes, since we're nearing the completion of 9 an election year, this is the kind of thing 10 that you see on TV ads. 11 You may want to have it -- I don't know 12 how -- I mean, there -- there's a way to do 13 this where you can allow the debate to occur 14 without it being officially part of your 15 legislative package, isn't there, Fred? 16 MR. DICKINSON: Yes, sir. 17 COMMISSIONER GALLAGHER: Why don't -- why 18 don't -- 19 MR. DICKINSON: May I offer something? 20 COMMISSIONER GALLAGHER: Why don't we -- 21 GOVERNOR BUSH: Yeah. 22 COMMISSIONER GALLAGHER: -- just remove 23 that from our -- our recommendations as -- 24 GOVERNOR BUSH: It's a sad time. But it's 25 actually the case, that you could see a really ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 45 November 16, 2000 1 stupid TV ad which stifles the ability to have 2 some kind of debate about something that 3 might -- might actually make a lot of sense. 4 It might be an efficiency measure. 5 One thing I want to make clear though, 6 did -- did the -- did Senator Nelson get it 7 backwards, or -- or was it 70 percent will see 8 a reduction, and 30 percent will see an 9 increase, or -- 10 MR. DICKINSON: That's correct. 11 GOVERNOR BUSH: -- the other way around? 12 MR. DICKINSON: No, sir. Seventy percent 13 will see a reduction. 14 GOVERNOR BUSH: Because on -- our -- our 15 statistics here said 40 to 50 percent. So it 16 was about even. 17 TREASURER NELSON: All right. Let me -- 18 see if this is correct, Fred. 19 MR. DICKINSON: Yes, sir. 20 TREASURER NELSON: Fifty percent of the 21 people now pay $37 or less; is that correct? 22 COMMISSIONER CRAWFORD: You can't figure it 23 out. 24 MR. DICKINSON: I think it's 25 thirty-seven fifty. But -- okay. ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 46 November 16, 2000 1 TREASURER NELSON: Thirty-seven fifty or 2 less. 3 Fifty percent of the people now. 4 MR. DICKINSON: Yes, sir. 5 TREASURER NELSON: Okay. 6 MR. DICKINSON: No. 7 TREASURER NELSON: Therefore, if you jacked 8 it up to $43, we know that that 50 percent is 9 going to be paying more. 10 MR. DICKINSON: I'm going to -- I'm going 11 to backtrack for one second. I think it's -- 12 I think the figures are 30 percent are in the 13 low weight category, and they would pay -- 14 COMMISSIONER GALLAGHER: Well, the -- the 15 figure you gave said 14.88 percent are in the 16 lowest weight category, $29 category. 17 MR. DICKINSON: I'm going up to -- 18 COMMISSIONER GALLAGHER: 19 Thirty-seven percent are in the -- 20 MR. DICKINSON: The lowest two categories? 21 COMMISSIONER CRAWFORD: But it tends to 22 stay the same, I guess. 23 COMMISSIONER GALLAGHER: The lowest two, 24 you add the 14 and the 37 together, don't you? 25 COMPTROLLER MILLIGAN: Governor, we could ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 47 November 16, 2000 1 spend a lot of time on this -- 2 COMMISSIONER GALLAGHER: Why don't we just 3 pull this out of there? 4 COMPTROLLER MILLIGAN: I -- I recommend 5 that we -- 6 GOVERNOR BUSH: Yank it. 7 COMPTROLLER MILLIGAN: -- amend the -- the 8 project right now to exclude that as part of 9 the package, and -- 10 TREASURER NELSON: Then I will second that. 11 GOVERNOR BUSH: Thank you, Senator. 12 There's a motion and a second to approve 13 the package as amended. 14 Without objection, it's approved. 15 ATTORNEY GENERAL BUTTERWORTH: Simple 16 solution to a difficult problem. 17 Just get rid of it. 18 COMMISSIONER GALLAGHER: Move it on to 19 somebody else. 20 GOVERNOR BUSH: Hmm. 21 ATTORNEY GENERAL BUTTERWORTH: That's the 22 way you deal with it. 23 COMMISSIONER GALLAGHER: You've been going 24 for difficult solutions to simple problems. 25 ATTORNEY GENERAL BUTTERWORTH: That's ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 48 November 16, 2000 1 right. 2 If I can just ask Fred one question. 3 Fred, I understand that you're going to be 4 changing your -- your accident reports the 5 first of the year in order to reflect crashes 6 that -- that might have been caused while -- 7 while the driver is distracted, such as reading 8 the Wall Street Journal, or watching TV? 9 Because -- because literally -- I mean, 10 cars are now -- literally offices now. So -- 11 MR. DICKINSON: Yes, sir. 12 That crash report is being amended to take 13 into account distractions that may occur. 14 And we've also, under your suggestion, 15 asked our Troopers -- with all the other things 16 that are going on right now, asked our Troopers 17 to be a little more alert to tires, maybe some 18 mechanical defects that may occur. 19 And we had that happen, as a matter of 20 fact, over in Escambia County a couple of 21 months ago, where a young newlywed couple was 22 involved in a crash, and their seat belts 23 actually failed. 24 The first report was that they were not 25 belted. The family got back to us, we went ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 49 November 16, 2000 1 back and did some investigations, and actually 2 we saw the burns on the -- on the hinges. 3 The seat belts actually didn't lock up when 4 they were supposed to. Both were ejected. And 5 the young bride of 6 hours was unfortunately 6 killed. 7 But, yes, we're -- not only we're putting 8 it on the crash report, but we're -- we're 9 trying to train our guys and gals on the 10 Highway Patrol, and -- and have a little higher 11 awareness level. 12 ATTORNEY GENERAL BUTTERWORTH: What's good 13 about this is that the troopers are the 14 frontline defense against certain type of 15 defects that might be involved in -- whether it 16 be tires or whether it be automobiles. 17 When you see a pattern going -- I 18 understand you're going to make that available 19 to -- to national agencies and such like that. 20 Because you are the front line to protect 21 all of us against possible defects. 22 MR. DICKINSON: We're just following in -- 23 in the training we got 15 years ago, General, 24 when -- 25 ATTORNEY GENERAL BUTTERWORTH: Thank you. ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 50 November 16, 2000 1 That's -- 2 MR. DICKINSON: -- you were the head. 3 ATTORNEY GENERAL BUTTERWORTH: You had such 4 a -- you had such an enlightened Director back 5 then as -- 6 MR. DICKINSON: We do have -- we did have, 7 incidentally, on this case in Escambia or -- 8 or -- or Walt-- Santa Rosa, we did have NHTSA 9 and Ford Motor. It was unfortunately a 10 Ford Motor Company car. 11 But both of them came down to inspect 12 the -- the situation, and -- 13 GOVERNOR BUSH: I bet they did. 14 MR. DICKINSON: -- I'm sure the -- the 15 trial lawyers will take it from there. 16 ATTORNEY GENERAL BUTTERWORTH: Probably 17 have 14 trial lawyers. I mean -- 18 COMMISSIONER GALLAGHER: Don't go there. 19 COMMISSIONER CRAWFORD: They're all tied 20 up. 21 GOVERNOR BUSH: Thank you. 22 MR. DICKINSON: I think we need to approve 23 the -- 24 GOVERNOR BUSH: We did. 25 COMMISSIONER GALLAGHER: We did. ACCURATE STENOTYPE REPORTERS, INC. HIGHWAY SAFETY AND MOTOR VEHICLES 51 November 16, 2000 1 MR. DICKINSON: Oh, we did? 2 COMMISSIONER GALLAGHER: As amended. 3 GOVERNOR BUSH: As amended. 4 MR. DICKINSON: Thank you, sir. 5 COMMISSIONER GALLAGHER: With the auto tags 6 out. 7 MR. DICKINSON: Yes. 8 (The Department of Highway Safety and Motor 9 Vehicles Agenda was concluded.) 10 * * * 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ACCURATE STENOTYPE REPORTERS, INC. DEPARTMENT OF REVENUE 52 November 16, 2000 1 GOVERNOR BUSH: Department of Revenue. 2 COMMISSIONER GALLAGHER: Motion on the 3 minutes. 4 COMMISSIONER CRAWFORD: Second. 5 GOVERNOR BUSH: Moved and seconded. 6 Without objection, it's approved. 7 Dr. Zingale, how are you doing? 8 DR. ZINGALE: Doing great. 9 Very brief status report today. Very 10 brief. 11 This is the -- this is the three-month 12 reporting in on our property tax study. 13 (Commissioner Crawford exited the room.) 14 DR. ZINGALE: We've got a tracking document 15 in place. It has identified 43 actionable 16 items. Five of those items have been fully 17 implemented. Two of those items, the policy 18 has been implemented, and needs budget to fully 19 implement across all strata. 20 Two, the policy has been implemented, and 21 it's in a phased-in schedule. Three are behind 22 schedule. One, delaying a month; two, part of 23 our search for best practices across the 24 country is experiencing some delays in getting 25 those results in, and 31 are on schedule. ACCURATE STENOTYPE REPORTERS, INC. DEPARTMENT OF REVENUE 53 November 16, 2000 1 The tracking report has gotten a wide 2 distribution. We gave it out to both property 3 appraisers association at their annual meeting 4 yesterday. 5 We have continued to work quite extensively 6 with the Auditor General and their staff, 7 particularly Dr. Whorton, the consultant. 8 Are there any questions? 9 GOVERNOR BUSH: How was your meeting with 10 the property appraisers on -- 11 DR. ZINGALE: Yesterday? 12 Had a nice teflon vest on, got up there and 13 said, our job was to follow the law, identify 14 what's right, and be fair. And we are going to 15 do that. 16 And if at the end of this cycle that caused 17 some counties not to be in compliance, then 18 we'd be turning rolls down. Our goal was to 19 try to help them all become in compliance. 20 It was an interesting meeting. 21 COMMISSIONER GALLAGHER: How does one get 22 over 100 percent -- 23 (Commissioner Crawford entered the room.) 24 COMMISSIONER GALLAGHER: -- of valuation on 25 a piece of property when, in fact, we know that ACCURATE STENOTYPE REPORTERS, INC. DEPARTMENT OF REVENUE 54 November 16, 2000 1 that person would not sell the property for 2 that valuation? 3 MR. ZINGALE: Complex question. You're 4 talking the whole rolls, not on an individual 5 parcel of property. If an individual parcel 6 felt that they were over, they could go in 7 front of the Value Adjustment Board and get it 8 down. 9 It primarily -- 10 COMMISSIONER GALLAGHER: But if -- if you 11 have no individual property above 100 percent, 12 how can you come up with the math that gives 13 you the whole roll being above 100 percent? 14 DR. ZINGALE: It -- it comes from two 15 different assessments of what that value is. 16 Okay? 17 One, from a property appraiser to be doing 18 a mass appraisal job. 19 Two, us doing where those over 100s are 20 coming in using that econometric approach we 21 talked about where the entire roll is valued. 22 And it's basically a disagreement between the 23 Department of Revenue's methodology and the 24 property appraiser's methodology in terms of 25 what was the economic activity over the prior ACCURATE STENOTYPE REPORTERS, INC. DEPARTMENT OF REVENUE 55 November 16, 2000 1 year. 2 If we forecast that growth in the overall 3 roll to be in excess of what the property 4 appraiser put it on, we can come in with ratios 5 over 100. 6 If you think about it though, that's coming 7 with those counties that we are viewing as 8 fairly close to 100. You've got a county whose 9 appraiser brought it in at fairly close to 100. 10 Our econometric forecast shows that slightly in 11 excess, and you can get a ratio over 100. 12 COMMISSIONER GALLAGHER: But aren't you 13 forcing assessors to undervalue properties 14 because of your econometrics? 15 DR. ZINGALE: It's a question of who's 16 right, not a question of whether we're forcing 17 them to do one thing or another. 18 COMMISSIONER GALLAGHER: Well, if I'm -- if 19 I'm an assessor, I'm going to -- I'm going to 20 lean toward keeping them lower than the law 21 says in order not to be reported as over 22 100 percent. 23 DR. ZINGALE: That is certainly a 24 consequence of that finding. It is why in this 25 action plan that you see here, we've engaged a ACCURATE STENOTYPE REPORTERS, INC. DEPARTMENT OF REVENUE 56 November 16, 2000 1 national econometrician, Dr. Keith Ilnfeldt 2 from FSU. He is the -- that emeritus scholar 3 we talked about specifically to work with our 4 econometric methodology to determine whether 5 it's sound. 6 It's not something that I would argue as 7 perfect last time around. There's a lot of 8 time and effort going into it this year. 9 If a roll comes in over 100, and it can, 10 that would cause what you said to take place. 11 COMMISSIONER GALLAGHER: So -- but -- 12 here -- here's the problem. You have an 13 elected assessor that's doing their job 14 correctly, and probably closer than some guys 15 that may not be doing it as correctly. 16 DR. ZINGALE: Uh-hum. 17 COMMISSIONER GALLAGHER: And -- so when 18 they -- their reward for this is they get 19 hammered from our Department of Revenue saying 20 they overassessed. 21 DR. ZINGALE: The nature of that analysis 22 says they did overassess. We did sit down with 23 them individually and explain how we arrived at 24 that. 25 I would argue at this point in time that it ACCURATE STENOTYPE REPORTERS, INC. DEPARTMENT OF REVENUE 57 November 16, 2000 1 isn't a solid conclusion whether they were 2 doing a better job than that analysis said. 3 COMMISSIONER GALLAGHER: But -- but if none 4 of the properties in that county are over 5 100 percent of the value that they can sell it 6 for, which is what they technically should be 7 assessing it at, how can you say that they 8 overassessed? 9 DR. ZINGALE: The adjustment of value would 10 have to take into consideration that first and 11 eighth criteria, and that 15 percent adjustment 12 down. 13 You can end up with rolls that come in that 14 way. You can end up with parcels that, based 15 on economic conditions, we believe the value 16 increased. The homeowner may not believe the 17 value increased, or the commercial property may 18 not believe the value increased. We believe 19 the value increased, and the property appraiser 20 didn't believe it increased as much. 21 Based on that, we don't bias the analysis 22 when it comes out at 101, and we say it's at 23 101. 24 And we'll continue to do that, if that's 25 what the analysis shows. ACCURATE STENOTYPE REPORTERS, INC. DEPARTMENT OF REVENUE 58 November 16, 2000 1 COMMISSIONER GALLAGHER: But what you just 2 said is that you didn't believe -- that nobody 3 believed it increased that much, including the 4 tax assessor. That would keep it below 100, 5 not above. 6 DR. ZINGALE: You've got parcels that could 7 have sold right side-by-side with -- that were 8 higher; you could have parcels that were sold 9 in similar market areas in other areas that 10 were higher. 11 You get very few that would be sitting down 12 there saying they would sell their property for 13 what that -- that assessed value was. 14 But that -- 15 COMMISSIONER GALLAGHER: Right. 16 DR. ZINGALE: -- that is the process today. 17 I've committed in this plan to look at it 18 at a very detailed level. 19 We are engaging people that have national 20 reputations in looking at it. That is the 21 methodology -- we have been assessing values 22 like that over 100 for many years. And if it's 23 wrong, we're going to fix it this year. 24 COMMISSIONER GALLAGHER: Well, I -- I'm -- 25 I'm glad to hear you're looking into it, ACCURATE STENOTYPE REPORTERS, INC. DEPARTMENT OF REVENUE 59 November 16, 2000 1 because they -- I think you're punishing those 2 assessors that do the best job at having it 3 close to a -- a real value, and -- 4 DR. ZINGALE: Absolutely. 5 COMMISSIONER GALLAGHER: -- rewarding those 6 that don't. And I don't know that that's what 7 we ought to be doing in this state. 8 DR. ZINGALE: I understand. 9 COMMISSIONER GALLAGHER: Especially if we 10 have to deal with that in education, it's a -- 11 it's a major influence on the local required 12 effort. 13 DR. ZINGALE: Absolutely. 14 And -- and you will see -- because I'm sure 15 it'll get a lot more attention when we bring 16 our legislative concepts next month -- 17 COMMISSIONER GALLAGHER: Oh, I'm sure it 18 will. 19 DR. ZINGALE: -- and we've got one that 20 deals with that link into the FEFP. 21 And it is a concern I personally have in 22 terms of how those ratios are used in setting 23 millage. Very difficult undertaking, one in 24 which statistics may not be the right way to go 25 about doing that. ACCURATE STENOTYPE REPORTERS, INC. DEPARTMENT OF REVENUE 60 November 16, 2000 1 GOVERNOR BUSH: Dr. Zingale, I would urge 2 the Butterworth principle here, which is, if 3 you make changes, make them simple, make them 4 commonsensical. This is a very complex -- 5 I mean, this is really complex stuff. 6 COMMISSIONER GALLAGHER: It's -- it's real 7 hard to explain -- 8 GOVERNOR BUSH: And there's so many -- 9 COMMISSIONER GALLAGHER: -- to somebody -- 10 GOVERNOR BUSH: -- unintended 11 consequences -- 12 COMMISSIONER GALLAGHER: Right. 13 GOVERNOR BUSH: -- that you can't explain. 14 I mean, I -- I -- I think you answered 15 Commissioner Gallagher's questions. But it -- 16 a normal person listening to that would say, 17 well, that doesn't make any sense. 18 And so you're -- you're -- what you're 19 saying, I'm sure, is completely accurate, and 20 it's within the law and all that. But if we're 21 going to make some changes, I would urge, not 22 overengineering it, but simplifying it. 23 DR. ZINGALE: Well, we're bringing in some 24 legislative concepts that directly address the 25 over 100 issue this time around. ACCURATE STENOTYPE REPORTERS, INC. DEPARTMENT OF REVENUE 61 November 16, 2000 1 COMMISSIONER GALLAGHER: It's got to be -- 2 DR. ZINGALE: And -- 3 COMMISSIONER GALLAGHER: -- addressed. 4 It's just -- 5 DR. ZINGALE: -- it is -- we've gotten some 6 favorable response back from legislative staff 7 that it's been a long time since that's been 8 looked at. 9 Certainly the capping issue we brought in 10 front of you earlier kind of revealed it for 11 the first time. It's been going on for a lot 12 longer than just this last year. 13 Statistics can be used very effectively to 14 do some things; setting millage sometimes, 15 that's not the best way to do it. 16 COMMISSIONER GALLAGHER: That's a problem. 17 DR. ZINGALE: Thank you. 18 GOVERNOR BUSH: Thank you. 19 (The Department of Revenue Agenda was 20 concluded.) 21 * * * 22 23 24 25 ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF EDUCATION 62 November 16, 2000 1 GOVERNOR BUSH: State Board of Education. 2 COMMISSIONER GALLAGHER: Let me move the 3 minutes from September 26th and October 2nd. 4 COMMISSIONER CRAWFORD: Second. 5 GOVERNOR BUSH: Moved and seconded. 6 Without objection, it's approved. 7 MR. PIERSON: Item 2 is a reappointment and 8 appointments to the State Board of Community 9 Colleges: 10 Randall W. Hannah, reappointed; 11 Randolph Berridge; and Dr. George Thomas, 12 appointed, terms ending September 30th, 2005. 13 COMMISSIONER GALLAGHER: Motion. 14 COMMISSIONER CRAWFORD: Second. 15 GOVERNOR BUSH: Moved and seconded. 16 Without objection, it's approved. 17 Thank you, Wayne. 18 GOVERNOR BUSH: Board of Trustees. 19 MR. PIERSON: We've got a -- 20 GOVERNOR BUSH: Oh, I'm sorry. 21 MR. PIERSON: We have a correction. 22 GOVERNOR BUSH: October 10th? 23 ATTORNEY GENERAL BUTTERWORTH: 24 October 10th, not the 2nd. 25 MR. PIERSON: Yes. ACCURATE STENOTYPE REPORTERS, INC. STATE BOARD OF EDUCATION 63 November 16, 2000 1 COMMISSIONER GALLAGHER: Change to 2 October 10th. 3 GOVERNOR BUSH: -- Gallagher -- 4 (The State Board of Education Agenda was 5 concluded.) 6 * * * 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 64 November 16, 2000 1 GOVERNOR BUSH: Motion on the minutes for 2 the Board of Trustees, September 26th. 3 ATTORNEY GENERAL BUTTERWORTH: No. 4 COMMISSIONER CRAWFORD: Second. 5 ATTORNEY GENERAL BUTTERWORTH: 6 October 24th. 7 COMMISSIONER GALLAGHER: September 26th 8 meeting. 9 ATTORNEY GENERAL BUTTERWORTH: This is 10 Board of Trustees? 11 GOVERNOR BUSH: Yeah. 12 MR. STRUHS: Yeah. It's -- 13 ATTORNEY GENERAL BUTTERWORTH: Mine says -- 14 MR. STRUHS: -- the 26th. 15 ATTORNEY GENERAL BUTTERWORTH: -- 16 October 24th. 17 MR. STRUHS: It's the 26th. 18 GOVERNOR BUSH: There's a motion -- 19 COMMISSIONER GALLAGHER: My motion's on the 20 26th. If you want to change it, have at it. 21 ATTORNEY GENERAL BUTTERWORTH: Well -- 22 well, I'm going to fire a Cabinet Aide then, 23 because my -- 24 GOVERNOR BUSH: No. 25 ATTORNEY GENERAL BUTTERWORTH: -- mine says ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 65 November 16, 2000 1 October 24th. So I don't -- 2 GOVERNOR BUSH: Any volunteers? 3 No. 4 COMMISSIONER CRAWFORD: How about we just 5 move both of them? 6 ATTORNEY GENERAL BUTTERWORTH: We're going 7 to miss, you, Kent, till -- 8 GOVERNOR BUSH: There's a motion and a 9 second. 10 Without objection, it's approved. 11 MR. STRUHS: Sorry. 12 ATTORNEY GENERAL BUTTERWORTH: I think Kent 13 should abstain -- 14 MR. STRUHS: Sorry, Kent. 15 ATTORNEY GENERAL BUTTERWORTH: -- from that 16 vote. 17 MR. STRUHS: Item Number 2 is an item that 18 has been before you before. It's known as the 19 Hawkins Avenue Corporation, or the Wood-Hopkins 20 contracting lease. It's actually been before 21 you a number of times. 22 And I'd like to report, if I could, that 23 there have been some substantial changes and 24 improvements I believe to the project that are 25 responsive to some of the questions that you as ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 66 November 16, 2000 1 a Cabinet raised in earlier discussions. 2 For starters, the channel that's being 3 proposed has been moved an additional 75 feet 4 from the homeowners' property. You may recall 5 the industrial development is on the north 6 side, the homeowners are on the south side. 7 That proposal was originally to have a 8 channel that began dredging only 25 feet out 9 from their backyards. That has now been pulled 10 back an additional 75 feet, so you've got 11 100 foot setback. 12 In addition to that, we have been working 13 to create a partnership with the homeowners. 14 You may remember them, Mrs. Kratz and Hodges 15 and Khan. 16 Working with them -- 17 GOVERNOR BUSH: Are they here today? 18 MR. STRUHS: They -- they actually were 19 here, but chose to leave because they were so 20 comfortable and confident with the -- 21 GOVERNOR BUSH: Oh, darn it. I wanted 22 to -- 23 MR. STRUHS: -- resolution -- 24 GOVERNOR BUSH: -- say hello. 25 MR. STRUHS: -- achieved. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 67 November 16, 2000 1 We thought it was good news that they left, 2 because it actually meant that we were on the 3 same page, and they felt confident that we 4 could resolve their issues. 5 What we're looking at, Governor, and 6 Cabinet, is the existence of a 1986 survey of 7 that shoreline in an effort in which the 8 Department and the land -- land owners, and 9 possibly with some assistance from the 10 Port Authority, will actually restore their 11 shoreline back to its historic measure. 12 And that provides them the protection that 13 they need, and allows the development project 14 to go forward. And we will have good 15 neighbors. 16 So with that as background, we're 17 recommending approval of this item, subject to 18 those conditions and a payment of $57,799.55. 19 GOVERNOR BUSH: Is there a motion? 20 COMMISSIONER GALLAGHER: Motion. 21 COMMISSIONER CRAWFORD: Second. 22 ATTORNEY GENERAL BUTTERWORTH: Motion. 23 GOVERNOR BUSH: Moved and seconded. 24 Without objection, it's approved. 25 General Milligan, this is living proof that ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 68 November 16, 2000 1 the process does work, that public meetings can 2 make a difference, that people -- people's 3 voices can be heard, and they can shape policy. 4 COMPTROLLER MILLIGAN: That's right. 5 MR. STRUHS: A good example of that. 6 GOVERNOR BUSH: Best one I've seen so far. 7 COMMISSIONER GALLAGHER: At least there is 8 one so far. 9 GOVERNOR BUSH: Yeah. It was a good one. 10 COMMISSIONER GALLAGHER: That's good to 11 know. 12 MR. STRUHS: Item -- Item Number 3, we're 13 recommending approval of that item. 14 ATTORNEY GENERAL BUTTERWORTH: Motion. 15 COMMISSIONER GALLAGHER: Second. 16 GOVERNOR BUSH: Moved and seconded. 17 Without objection, it's approved. 18 MR. STRUHS: Item Number 4 is -- is very 19 exciting, and I know you're all familiar with 20 it. It's the Cedar Swamp acquisition. 21 This is, as you probably all know, a 22 remnant of an ancient and unique dune and swale 23 system that is just a few minutes from downtown 24 Jacksonville. 25 And what we've seen here is local political ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 69 November 16, 2000 1 leadership build some broad-based work in the 2 local community to make it a priority to 3 conserve this open space; preserve it for some 4 threatened plants and animals; preserve it as 5 an opportunity for recreation, like canoeing 6 and hiking and biking. 7 And in -- perhaps most interestingly, a 8 recognition by the local government that this 9 is good, smart growth management that is 10 actually cheaper in the long run for the 11 community to conserve and preserve this land 12 for those uses, rather than having to extend 13 infrastructure out there for additional 14 development. 15 And it's a great privilege for me to be 16 able to introduce Mayor John Delaney, who made 17 the trip here this morning to describe this 18 program in a bit more detail. 19 GOVERNOR BUSH: Welcome, Mayor. 20 MR. DELANEY: Governor. 21 Thank you, Mr. Secretary. 22 Good to be before you again, and I 23 appreciate this opportunity. We'd like to 24 start, first by saying that I drove over very, 25 very early from Jacksonville this morning. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 70 November 16, 2000 1 And my wife told me, Governor, to pass on 2 to you, and to Secretary Harris that her 3 prayers and thoughts are with you. 4 She rolled over and went back to sleep. 5 I'm sure she would have mentioned the other 6 five Cabinet members in the same breath. 7 And I'll pass -- 8 ATTORNEY GENERAL BUTTERWORTH: Can you wake 9 her up, and -- 10 GOVERNOR BUSH: -- testimony. 11 COMMISSIONER CRAWFORD: Yeah. 12 COMMISSIONER GALLAGHER: Crawford needs 13 some, too, over there. 14 COMMISSIONER CRAWFORD: Thank you. 15 ATTORNEY GENERAL BUTTERWORTH: Butterworth 16 does, too. I mean -- 17 COMMISSIONER GALLAGHER: Yeah. You're out 18 there pretty far. 19 MR. DELANEY: As the Secretary pointed out, 20 and I would like to also thank the -- the DEP 21 and the Secretary and his staff for tremendous 22 cooperation. We're very, very proud of the 23 working relationship. 24 Approximately two years ago, we began what 25 we called the preservation project in ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 71 November 16, 2000 1 Jacksonville, which is to preserve portions of 2 land and try to push growth and development 3 where we want it, and not -- go ahead and buy 4 it from willing sellers in areas where we 5 prefer not to have it. 6 We have a partnership with The Trust for 7 Public Land, and also the Nature Conservancy, a 8 citizens oversight committee, and the 9 City Council that evaluates these. 10 We've essentially divided the county into 11 five categories. This particular parcel is in 12 the one that we describe as the, quote, high 13 growth corridor. It's basically the center of 14 the urban activity, the urban growth in our 15 particular community. 16 And this particular piece is under a very 17 high degree of -- a threat of eminent 18 development. In fact, there are permits 19 pending right now before our City Council in 20 the event that we are not able to purchase this 21 land for about a quarter of that land. 22 It has again been reviewed by a local 23 citizens committee, by the City Council or the 24 County Commission in northeast Florida, by the 25 Water Management District, and, of course, the ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 72 November 16, 2000 1 CARL staff and the DEP. 2 I personally took a look at the appraisal 3 and the values that came on. 4 As to values, again, a similar review of 5 the assessments or the appraisals. There's 6 been four appraisals done, one by the seller 7 himself for estate tax purposes, two by the 8 Water Management District as required by law. 9 All of them are in the same basic range. 10 And the price is approximately 93 percent of 11 that particular value. 12 We have in the packet that we've dropped 13 off showing some comparables. They are again 14 substantially above the price that we are 15 paying here, especially as it relates to 16 potential commercial development. 17 This tract of land -- 18 I know, Governor, you're familiar with it. 19 It's on J. Turner Butler Boulevard as you head 20 from the -- essentially the downtown towards 21 the beach. 22 The southern portion of this property has 23 already been purchased by the Water Management 24 District south of Pablo Creek on the map. This 25 is, in effect, what we now call Phase I. We're ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 73 November 16, 2000 1 pursuing lands north of J. Turner Butler also 2 owned or controlled by this particular 3 individual. 4 The Governor appointed me to -- to act as 5 Chairman of the Florida Forever Advisory 6 Council, and -- and a series of things we've 7 discovered in going on that. 8 Our first report is pending. I think 9 it's -- the draft is on the Secretary's desk, 10 and we should approve it within the next few 11 weeks. That series of issues have come up. 12 One is public access, two is an 13 encouragement by the -- the Legislature and the 14 administration to use more creative instruments 15 in buying and obtaining lands such as less than 16 fee. 17 And, third, a shift to a more urban focus. 18 What we do find with a shift to an urban focus 19 is there is no cheap land in front of a 20 bulldozer, and that's what we have in this 21 particular parcel. 22 We think it's going to be a substantial -- 23 substantial improvement for our community. As 24 with all the properties I've come -- come 25 before you in, we're putting in a substantial ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 74 November 16, 2000 1 local commitment. 2 About one-sixth of the price is from the 3 City or County, another sixth from the 4 Water Management District, and the remaining 5 from the CARL program. 6 And I think it'd be a positive addition to 7 the State lands. 8 Thank you, Governor. 9 COMMISSIONER GALLAGHER: I don't know 10 whether this is the right time or not. 11 But -- and I guess your newspaper -- no. 12 I guess -- yeah, Times Union. Your newspaper 13 probably said it right. They said this stinks, 14 but we ought to do it anyway. 15 I -- I have a -- I don't mind buying it, 16 and I don't mind having a life estate in it. 17 And I can live with those two. 18 But I think that the way the life estate 19 ought to work is that we purchase this land, 20 and we hold it in joint title with a right of 21 survivorship. And that means that as the 22 couple -- the Hodgeses -- the one dies, the 23 wife and the State own it; when the other dies, 24 then it reverts to the State. 25 And that way we don't have to worry about ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 75 November 16, 2000 1 whether somebody sends us a death notice and -- 2 30 years from now, and it ends up, you know, 3 getting filed in -- in some file cabinet. 4 And -- and we don't -- we don't end up with the 5 property somehow. 6 And I -- so I have a real problem with the 7 title -- 8 MR. DELANEY: Yeah. Commissioner, I 9 understand. 10 First, that was a columnist in the 11 newspaper, not the newspaper. And he does-- 12 GOVERNOR BUSH: Which columnist? 13 MR. DELANEY: -- he doesn't like you, me, 14 the Governor, or any of you up there. 15 GOVERNOR BUSH: Which one is it? 16 MR. DELANEY: So that's -- that's 17 Ron Littlepage. 18 GOVERNOR BUSH: Oh. 19 MR. DELANEY: And -- 20 COMMISSIONER GALLAGHER: He didn't sign it. 21 MR. DELANEY: Yeah. 22 COMMISSIONER GALLAGHER: It looks like it 23 was an editorial. So I didn't see a -- 24 MR. DELANEY: No -- 25 COMMISSIONER GALLAGHER: -- I didn't see a ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 76 November 16, 2000 1 byline here. 2 GOVERNOR BUSH: Case closed. 3 MR. DELANEY: It's -- but that's just more 4 anecdotal than anything else. 5 But again, the -- 6 GOVERNOR BUSH: He likes you, Mayor. 7 MR. DELANEY: -- the conclusion is -- the 8 conclusion is, this is something we've got to 9 buy. 10 I know you've had a concern with making 11 sure that upon the -- the -- again, the 12 termination of the life estates, that we're 13 going to find it. 14 First, I will say this: When this guy 15 dies, everybody's going to know it. It's -- 16 it's not going to sneak up on us. 17 This particular parcel of land is in the 18 heart of a very urbanized area. 19 As -- in conjunction with the Aides, the 20 Cabinet Aides, we have made some changes to the 21 contract that upon -- again, upon the deaths, 22 the personal representatives of the estate then 23 triggers the process and is required by law to 24 turn it over. 25 But clearly we're going to know. It is a ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 77 November 16, 2000 1 beautiful piece of property that we're going to 2 want to get. And I think the concerns have 3 been addressed with the modifications to the 4 contract. 5 COMMISSIONER GALLAGHER: Well, I -- I 6 just -- 7 MR. DELANEY: And the last concern, 8 Commissioner, is I think if you go into the 9 joint title or ownership, as it stands, the 10 owner has to pay property taxes. And I think 11 if we do the joint ownership, we -- we have an 12 impact on that. We just as soon them keep 13 paying. 14 COMMISSIONER GALLAGHER: But -- but just 15 think about this: What we're doing is we're 16 paying a -- a person about 92 percent of the 17 appraised value, we probably'll get the 18 property 30 years from now. 19 Do you know how much the taxes are each 20 year? 21 MR. DELANEY: It's a modest amount because 22 it's green belted. Yeah. 23 COMMISSIONER GALLAGHER: And -- well, any 24 amount -- 25 MR. DELANEY: I don't off the -- ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 78 November 16, 2000 1 COMMISSIONER GALLAGHER: -- well, what -- 2 what -- how much -- 3 MR. DELANEY: -- top of my head. 4 COMMISSIONER GALLAGHER: -- is it? 5 MR. DELANEY: I don't off the top of my 6 head. 7 MR. STRUHS: It -- I'm sorry. 8 MR. DELANEY: That's fine. 9 MR. STRUHS: I don't know the figure. We 10 can obviously find it out for you. But it's -- 11 COMMISSIONER GALLAGHER: Well, you know -- 12 MR. STRUHS: -- it's tax -- 13 COMMISSIONER GALLAGHER: -- thirty years -- 14 I mean, he'd never -- 15 MR. STRUHS: -- it's tax exempt. 16 COMMISSIONER GALLAGHER: -- he no longer 17 pays taxes. And he has -- I mean, not only 18 does he get 93 percent of the value in cash, he 19 gets full use of the property, and ownership of 20 the property, but doesn't pay any taxes. 21 MR. STRUHS: No. He will be paying taxes 22 as long as he's alive. 23 COMMISSIONER GALLAGHER: Oh, because he 24 still owns it. 25 MR. STRUHS: Right. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 79 November 16, 2000 1 COMMISSIONER GALLAGHER: Okay. 2 GOVERNOR BUSH: Plus the use is -- this is 3 a pretty unique concept, because -- I think 4 this deals more with the -- the -- less with 5 the law and more with the emotions of the -- 6 just the kind of the intangible aspects of the 7 seller, Commissioner, in that this is 8 incredibly restrictive -- he doesn't have free 9 access. And you may want to talk about that. 10 MR. DELANEY: Yeah. He -- he basically -- 11 he can't develop it, can't change it -- 12 COMMISSIONER GALLAGHER: I would hope not. 13 MR. DELANEY: -- he can't do anything with 14 it. And -- 15 GOVERNOR BUSH: He can't ride a horse on 16 it. 17 MR. DELANEY: -- and, again, what you have 18 with any of the land purchases, Commissioner, 19 sort of -- a couple of objectives. 20 First will be to prevent the development. 21 Secondarily is to allow the public's 22 access. We think we accomplished both -- both 23 of those -- the second obviously is a little 24 later in time. 25 And in the end, what we come back to is ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 80 November 16, 2000 1 this, that's what was the condition of him 2 selling it. And we believe then we preserve a 3 substantial hunk of this land. It has a 4 great -- it's both water recharge and water -- 5 really some water purification qualities in 6 terms of the drainage in that basin. 7 COMMISSIONER GALLAGHER: Mayor, I have no 8 problem with us purchasing it, or the reasons 9 for purchase. I think those are all wonderful, 10 I'm all in favor of it. 11 MR. DELANEY: Yeah. 12 COMMISSIONER GALLAGHER: But I am -- I am 13 really concerned about this kind of a precedent 14 set for purchasing land. This is a -- this -- 15 I mean, everybody that's got a piece of land, 16 say I'll take that little deal. 17 MR. DELANEY: Well, they don't pass it on 18 to their kids. And, frankly, the State's done 19 that for quite some time. You're doing it in 20 the Everglades, that -- that much of the land 21 is purchased, and it's remained in agricultural 22 use without public access without, in effect -- 23 the public has, in effect, a conservation 24 easement over that. 25 And, again, what you've got is you've got a ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 81 November 16, 2000 1 temporary window. You've got a temporary 2 window we can't get to it. 3 And I guess I have to report to you this 4 way. You know, I've -- been personally 5 involved with this. This is as good as we 6 could get. 7 He wants to stay there and live on it. He 8 loves the property. And -- and he doesn't want 9 anybody else in there while he and his wife are 10 living there. 11 COMMISSIONER GALLAGHER: Well, and that's 12 why I think it ought to be in joint ownership 13 with the State, because we're not going to go 14 in there -- we've got the easements there and 15 everything else. And that way we know exactly 16 what happens when everybody does. 17 I look at it like this: Thirty years ago 18 we made this deal, everybody sitting in DEP is 19 different. Everybody in the Mayor's office and 20 the -- and the Council is different, everybody 21 up here is different. And somebody drops in 22 the -- in the mail, you know, a death 23 certificate and saying, you know, in -- and 24 they'd sit there and open it, and say, oh, gee, 25 somebody died. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 82 November 16, 2000 1 And where did -- why'd they send that to 2 us? 3 MR. STRUHS: Commissioner, that -- that's 4 a -- that's a legitimate concern, and it's one 5 that we shared. And that's one of the reasons 6 we went back and made it structured so that 7 they're not sending us a death notice, they're 8 actually sending us the title. 9 COMMISSIONER GALLAGHER: Well -- 10 MR. STRUHS: That it's -- it is a 11 self-executing option so that upon -- 12 COMMISSIONER GALLAGHER: And -- 13 MR. STRUHS: -- the death of the -- 14 COMMISSIONER GALLAGHER: -- and when they 15 don't, what happens? 16 MR. STRUHS: Well, how is that different 17 than if they don't send the death warrant? 18 I mean, the warrant -- 19 COMMISSIONER GALLAGHER: That's the -- 20 MR. STRUHS: -- but the -- 21 COMMISSIONER GALLAGHER: -- problem with 22 both of them. That -- the problem is -- 23 MR. STRUHS: -- certificate -- 24 COMMISSIONER GALLAGHER: -- that when they 25 both die, the property reverts to the State, ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 83 November 16, 2000 1 without anything happening. 2 MR. STRUHS: But -- but we -- we wrote it 3 in a way where it's automatically executing. I 4 mean, they will -- it will automatically 5 execute. 6 The conservation easement is -- the -- the 7 conservation easement is on record in 8 Duval County so that anybody who wanted to 9 touch the land in the future would be cognizant 10 of the fact that that existed, and that upon 11 the time of death, the title automatically 12 transfers to -- to the state of Florida. 13 GOVERNOR BUSH: Commissioner Crawford -- 14 COMMISSIONER GALLAGHER: Somebody still has 15 to send the title in, right? 16 GOVERNOR BUSH: Commissioner Crawford? 17 COMMISSIONER CRAWFORD: Yeah. 18 Treasurer Gall-- I just want to correct one 19 thing. 20 Actually you said we wouldn't all be here. 21 But I think you're going to be here at that 22 time. So -- 23 So -- 24 COMMISSIONER GALLAGHER: Yeah. But I -- 25 I'll probably be Commissioner -- ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 84 November 16, 2000 1 COMMISSIONER CRAWFORD: You can have -- 2 COMMISSIONER GALLAGHER: -- of Agriculture 3 by then. 4 That'll be the only thing left. I can't 5 be -- 6 COMMISSIONER CRAWFORD: Good luck. 7 GOVERNOR BUSH: I had to interrupt. That 8 was appropriate. 9 COMMISSIONER GALLAGHER: Did he whisper 10 that to you? 11 GOVERNOR BUSH: Yeah, he did. 12 COMMISSIONER CRAWFORD: I wasn't going to 13 say it. 14 GOVERNOR BUSH: I wanted the whole world to 15 share that. 16 Yes, General. 17 ATTORNEY GENERAL BUTTERWORTH: I can't -- I 18 can't top that, Governor. 19 Is there any reason, Mayor, why we cannot 20 do what the -- what the Commissioner wants? 21 I mean, I don't -- I don't see why the -- the 22 landowner would not object to the -- the joint 23 title. I mean, he wants the money, he wants to 24 be able to stay there -- 25 MR. DELANEY: You don't know him. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 85 November 16, 2000 1 The -- I believe what we've done, as -- as 2 the Secretary's explained, it is 3 self-executing. The transfer happens. 4 We're allowed on the property to inspect 5 it, to make sure it hasn't been used or abused; 6 we've got scientists, et cetera, that are able 7 to go in and make sure that the property is 8 properly maintained. 9 It is right up adjacent to Water Management 10 District properties. We're trying to buy the 11 properties north of there also to make a 12 contiguous corridor. 13 For those of you that are familiar with 14 Jacksonville, it -- it basically is a notch in 15 the middle of a -- in the northern end of the 16 Dee Dot Ranch that's owned by the Davis family. 17 I think the concerns that were expressed by 18 the Cabinet Aides, we've restructured it in a 19 way that it happens automatically. 20 ATTORNEY GENERAL BUTTERWORTH: Mayor, 21 what -- you also filed this with the Clerk's 22 office so it -- 23 MR. DELANEY: Yes. 24 ATTORNEY GENERAL BUTTERWORTH: -- it will 25 be a cloud on a title then so no one could sell ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 86 November 16, 2000 1 the property. 2 MR. DELANEY: It is in the deeds, correct. 3 COMMISSIONER GALLAGHER: Well, what -- 4 what are in the dee-- so -- is there going to 5 be a new deed issued when this transaction 6 takes place? 7 MR. DELANEY: Yeah. 8 MR. STRUHS: Yeah. 9 What I would like to do is if we -- if we 10 want to get to this level of detail, we 11 actually have the individual here who 12 negotiated it, and could speak to those 13 specific issues. 14 His name is Mr. Greg Chelius. 15 If he wanted to come forward and -- and 16 respond. 17 One of the things I -- while he's coming up 18 here, let me add what I think is an important 19 observation. 20 And that is, we don't know when these 21 individuals will -- will eventually pass away. 22 One of the things that we did in structuring it 23 this way is, number one, make it 24 self-executing. 25 But on the other hand, we wanted to make ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 87 November 16, 2000 1 sure that the Board of Trustees had one last 2 look at it before they actually accepted the 3 title. 4 The title will be automatically sent to the 5 State. But, again, if it's 30 years from now, 6 things may change. Perhaps a future Cabinet, 7 Board of Trustees, would not want to accept the 8 title -- 9 COMMISSIONER GALLAGHER: And we get our 10 money back? 11 MR. STRUHS: -- and at that point the -- 12 the point is, 30 years from now, none of us can 13 forecast the future. I think you always want 14 to keep some -- some options open. And I think 15 that's what we've done here. 16 COMMISSIONER GALLAGHER: Well, I'm worried 17 that that little option might be -- might be 18 construed to be something else down the road. 19 COMMISSIONER CRAWFORD: Governor -- 20 Governor -- 21 GOVERNOR BUSH: Yes. 22 COMMISSIONER CRAWFORD: -- I'd -- I'd 23 just -- I'd like to say, I agree with 24 everything that 25 Treasurer/Commissioner Gallagher said -- ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 88 November 16, 2000 1 Agriculture Commissioner Gallagher -- 2 COMMISSIONER GALLAGHER: Yeah. 3 COMMISSIONER CRAWFORD: -- Chief Financial 4 Officer Gallagher. 5 But -- and I -- I think if -- I think 6 the -- the points are -- obviously are very 7 well taken. But I -- it's my understanding 8 that we've -- we've probably gone as far as we 9 possibly can go with this owner, and there's 10 not any other -- you know, anything else we can 11 do. And under the circumstances, it's still 12 good. And we need to do -- make the best of it 13 we can. 14 And so I'd move the item. 15 COMMISSIONER GALLAGHER: Well, let me just 16 hear this -- what this deal is. 17 MR. CHELIUS: If I may address, 18 President Gallagher -- 19 COMMISSIONER GALLAGHER: I guess I'm 20 willing to serve, you know. 21 MR. CHELIUS: Actually -- 22 COMMISSIONER CRAWFORD: Compromise. 23 MR. CHELIUS: -- actually what -- the 24 question here that we're discussing is a very, 25 very good one. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 89 November 16, 2000 1 And if I may, I'll just give you a little 2 bit of background, because initially when we 3 worked on this, a life estate is exactly what 4 we wanted. 5 The landowner is unique. As the Mayor 6 said, his father acquired about eighteen to 7 twenty thousand acres in this area back in the 8 '50s. And this is -- this 3,000 acres that the 9 Water Management District has now acquired a 10 conservation easement on 1200 acres. This 11 1487 acres is the last remaining parcel of 12 where he actually lives. 13 He is eccentric. He's also a recluse. 14 When the Water Management District acquired 15 the 1232 acres, they never met the man 16 personally. I have. 17 And when I discussed a life estate with 18 him, in his opinion, he did not want to be a 19 tenant on his own land. 20 And I told him -- I said, what we're doing 21 here is exactly what a life estate is. If we 22 can buy the fee for a dollar, upon your death, 23 it's a life estate. 24 He said, I don't care. You can buy 25 99.9 percent of what I own, but I want to ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 90 November 16, 2000 1 retain the fee so that when I live here, I'm 2 not a tenant on my own land. 3 And that was the reason. 4 I don't believe he would do a joint 5 ownership. And what we did to make it as 6 automatic as possible is that upon his death, 7 the personal representative of the estate shall 8 tender a statutory warranty deed to the State. 9 And the receipt of that deed will also have to 10 be a return receipt as requested. 11 Now, you're right, a personal 12 representative may not send that. But I think 13 we have to have some faith and trust. There is 14 an annual review of the conservation easement 15 by the Water Management District. There's a 16 review of the property. 17 The Water Management District has two 18 other -- or the adjoining site, the 1234 acres 19 that they manage on a regular basis, I think 20 the City will want public access. 21 So there's a whole host of things that when 22 they do pass away, I believe enough people will 23 know when the deed's delivered, that someone 24 will say, we need to record this, and the State 25 will own the property. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 91 November 16, 2000 1 COMMISSIONER GALLAGHER: How about -- how 2 about in their -- in their wills? I mean, is 3 there anything in there that's saying that this 4 property goes to the State, because it's 5 already been paid for? 6 MR. CHELIUS: Actually in their will right 7 now, if the fee -- if the deed was not recorded 8 in their will right now, the property would be 9 deeded to the Nature Conservancy, according to 10 their will. As it's -- as it is today. 11 COMMISSIONER GALLAGHER: And that's been 12 there a while? 13 MR. CHELIUS: Pardon me? 14 COMMISSIONER GALLAGHER: That's been there 15 a while? 16 MR. CHELIUS: I believe so, yeah. 17 That's what their -- their attorney told me 18 about three days ago. Because we kept trying 19 as much as we could to button this up as tight 20 as possible so that it would be as automatic, 21 without actually being a joint tenant with the 22 property, because he just won't do that. 23 COMMISSIONER GALLAGHER: Let me ask you 24 this: Is it possible to have a -- a warranty 25 deed signed and held in escrow until -- till ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 92 November 16, 2000 1 their death? 2 That way we know it's there and it's done? 3 MR. CHELIUS: That's another possibility. 4 COMMISSIONER GALLAGHER: I mean, I -- I -- 5 I am very concerned about this kind of a 6 precedent. 7 MR. CHELIUS: I -- I agree. 8 COMMISSIONER GALLAGHER: You see, once we 9 do it, I'm telling you, if I own prop-- this is 10 what I'd do. 11 MR. CHELIUS: Yeah. 12 COMMISSIONER GALLAGHER: I -- 13 MR. CHELIUS: We said the same thing to -- 14 you know, 25 years from now, I won't be here, 15 and -- 16 COMMISSIONER GALLAGHER: Exactly. 17 MR. CHELIUS: -- you know, people won't be 18 there -- 19 COMMISSIONER GALLAGHER: I'll be the only 20 one here. 21 MR. CHELIUS: -- everyone remember. 22 But we feel with the District owning the 23 property to the south, with the property being 24 managed, the management plan, that the City 25 will review, the State will review, he is a ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 93 November 16, 2000 1 substantial individual. We just felt there was 2 enough that even 25, 30 years from now, enough 3 people would know, particularly when the deed 4 is delivered. 5 If you'd like, that's something -- 6 COMMISSIONER GALLAGHER: I think we need to 7 add -- 8 MR. CHELIUS: -- we could probably -- 9 COMMISSIONER GALLAGHER: I think we need to 10 add: A warranty deed held in escrow so -- and 11 a -- a copy of it filed with the -- with the -- 12 in the City -- or in the County -- in the 13 records so that it's clear that upon his death, 14 that warranty deed clicks in. 15 And then we don't have to worry about 16 somebody -- 17 MR. CHELIUS: Uh-hum. 18 COMMISSIONER GALLAGHER: -- forgetting to 19 send something in, and then some big fight to 20 go get that -- that fee simple. 21 MR. CHELIUS: Yeah. 22 MR. DELANEY: Well, it's automatic. 23 MR. CHELIUS: That's another possibility. 24 GOVERNOR BUSH: Well -- 25 MR. CHELIUS: It is automatic right now. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 94 November 16, 2000 1 You just have to rely on the personal 2 representative -- 3 COMMISSIONER GALLAGHER: But, you see, the 4 other way it'll be automatic, you don't have to 5 rely on anybody. 6 MR. CHELIUS: Yeah. 7 MR. DELANEY: All we have to do -- we're 8 going to know when this guy dies. And the 9 District is going to want this land, we want 10 the land, we want to get in there. 11 It is automatic. I mean, it's automatic. 12 If it isn't, you go to Court, and it then is 13 automatic. We have purchased this property. 14 And -- in short, this is a good deal. It's 15 also the best deal we could get. And it's on 16 property that needs to be taken out of 17 development. 18 SECRETARY HARRIS: Governor -- 19 COMMISSIONER GALLAGHER: Well, I believe 20 that we need to have a warranty -- 21 MR. DELANEY: And I'll -- 22 COMMISSIONER GALLAGHER: -- deed also -- 23 MR. DELANEY: -- I'll say this also, 24 Commissioner, that -- that what I think the 25 Advisory Council that's looking at the Florida ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 95 November 16, 2000 1 For Act (sic) monies is going to recommend that 2 more instruments like this get looked at 3 because it saves money, and it may allow us to 4 purchase land that otherwise would be 5 unpurchaseable by the State. 6 COMMISSIONER GALLAGHER: Well, they -- 7 MR. DELANEY: As they operate towards the 8 State's goal. 9 COMMISSIONER GALLAGHER: -- then that 10 carries me to even want that warranty deed 11 signed even more, because we're setting a 12 precedent here that I think that ought to be 13 included and put in escrow. It will save 14 anybody from having to do anything. And -- 15 GOVERNOR BUSH: Is that a -- is that a 16 viable option, given -- 17 MR. DELANEY: I don't know. I think we've, 18 in effect, got the same thing. 19 I mean, in effect, that's when -- 20 COMMISSIONER GALLAGHER: Well, that's 21 good -- 22 MR. DELANEY: -- when we get the title, and 23 we deliver the check, that's really what -- 24 COMMISSIONER GALLAGHER: Then -- 25 MR. DELANEY: -- happens -- ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 96 November 16, 2000 1 COMMISSIONER GALLAGHER: -- tell him -- 2 MR. DELANEY: -- we've got a binding 3 contract. 4 COMMISSIONER GALLAGHER: Tell him that's 5 the same thing, and get it signed, and put it 6 in escrow, and we're all -- I'm going to be 7 happy. 8 I'm going to make a motion that they do 9 that. 10 GOVERNOR BUSH: I -- I -- I would be 11 cautious about adding conditions in this 12 particular case, knowing a little bit about 13 the -- about the owner. 14 Just to give everybody a little bit of 15 history on this. This is a -- Mayor Delaney 16 and I are close friends. 17 And -- and he got very angry at me a -- 18 earlier in the spring, because I vetoed a line 19 item appropriation to purchase this, and 20 suggested that there was a process to go 21 through, which the City and the 22 Water Management District and the 23 Department of Environmental Protection had -- 24 did, and now it's -- it's a beautiful property, 25 and it is worthy of a CARL designation. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 97 November 16, 2000 1 And so we actually saved a little bit of 2 money going through that process. The State 3 I believe was at 25 million -- 4 MR. DELANEY: Yeah. 5 GOVERNOR BUSH: -- in the line item? 6 And so he's my friend again, and I'm going 7 to make sure that we're supportive of this -- 8 MR. DELANEY: We always were. 9 GOVERNOR BUSH: -- and we think it's the 10 right thing -- 11 I know we were. 12 But I think this is the right thing to do. 13 And, you know, when you're buying property, you 14 don't -- it's not always setting a precedent 15 when you have a willing buyer, but an unus-- a 16 willing seller, but an unusual one. 17 I mean, this gentleman is -- 18 ATTORNEY GENERAL BUTTERWORTH: You're on 19 national TV, Governor. 20 GOVERNOR BUSH: He's a fine gentleman. But 21 he's just different. 22 And -- and I think every circumstance is a 23 little bit different, and I think it's 24 appropriate for our team to be able to have 25 some flexibility to do different kinds of ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 98 November 16, 2000 1 things to save money and to be able to purchase 2 properties otherwise we couldn't have 3 purchased. 4 SECRETARY HARRIS: Governor -- 5 GOVERNOR BUSH: Yeah. 6 SECRETARY HARRIS: -- if I may. 7 I -- I certainly understand the mentality 8 of someone who wants to own the land. I think 9 you see that in a lot of the old Florida 10 crackers, and that makes sense. 11 But, Mayor, if I may, I -- in the 12 discussion, it was said that in his will, he's 13 leaving it to the Nature Conservancy. 14 Is there a reason why we're purchasing it 15 when it would be -- would have the same 16 conservation aspects? Or can you explain the 17 difference? 18 MR. CHELIUS: Well, again, what we're 19 acquiring is a conservation easement that's 20 99.9 percent of all the rights of the property. 21 His will was made out a couple of years ago 22 before this transaction even came up. And in 23 the will, had he passed on, he was leaving the 24 property to the Nature Conservancy. 25 SECRETARY HARRIS: Right. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 99 November 16, 2000 1 MR. CHELIUS: He may change that. I -- I 2 really don't think that's as much an issue here 3 as what we're buying today is 99.9 percent of 4 the rights to the property, with a fairly good 5 assurance that upon his death, the deed will be 6 delivered to the State of Florida, and the 7 State will then own 100 percent of the rights 8 to the property. 9 SECRETARY HARRIS: Well, the -- the issue 10 is, and I just wanted to clarify, if he was 11 going to leave it to the Nature Conservancy, I 12 wasn't really -- if that's what he's going to 13 do in his will, I didn't understand why we were 14 actually purchasing it. 15 MR. CHELIUS: Yeah. 16 MR. DELANEY: He's -- 17 COMMISSIONER GALLAGHER: Because you've got 18 to change that -- both. 19 MR. DELANEY: -- changed on that. 20 He has before the City Council now -- 21 trying to get applications for the permit to 22 develop roughly a quarter of this land. 23 I think Greg was trying to illustrate a 24 point there, that there is -- there are ways 25 through the will to turn the property over. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 100 November 16, 2000 1 He's interested in the money. 2 MR. CHELIUS: Right -- yeah. Right now 3 he's devel-- he would develop the property -- 4 had he died -- if he died tomorrow and his wife 5 died tomorrow, then, in fact, the property 6 would go to the Nature Conservancy. 7 MR. STRUHS: Or -- or he could change his 8 will tomorrow as well. 9 MR. CHELIUS: Or he could change his will 10 tomorrow, right. 11 COMMISSIONER GALLAGHER: Well, I really -- 12 I really feel strongly that we don't -- he 13 doesn't need to deed it over, and it would be 14 in escrow, and he'd get -- and it would 15 automatically come over upon both their deaths. 16 GOVERNOR BUSH: Well, you -- you want to 17 make a motion so that we can move on? 18 COMMISSIONER GALLAGHER: And kill it if you 19 want. I made the motion. 20 GOVERNOR BUSH: Is there a second? 21 COMMISSIONER CRAWFORD: Secon-- 22 What was the -- I'm sorry -- 23 COMMISSIONER GALLAGHER: You don't want to 24 second it. 25 COMMISSIONER CRAWFORD: Okay. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 101 November 16, 2000 1 GOVERNOR BUSH: Well, you might want to. 2 COMMISSIONER GALLAGHER: Not from your 3 earlier -- not from your earlier concerns. 4 GOVERNOR BUSH: -- the escrow of the -- 5 COMMISSIONER CRAWFORD: No. 6 GOVERNOR BUSH: -- warranty? 7 No second. 8 Very good. 9 There's a -- any other discussion? 10 There's a motion and a second on the 11 purchase of this property. 12 All -- everybody that says in favor of it, 13 say yes. 14 THE CABINET: Yes. 15 GOVERNOR BUSH: All opposed? 16 Treasurer? 17 COMMISSIONER GALLAGHER: Yes. 18 MR. DELANEY: Thank you, Governor. 19 GOVERNOR BUSH: Thank you very much. 20 MR. CHELIUS: Thank you. 21 ATTORNEY GENERAL BUTTERWORTH: Governor -- 22 GOVERNOR BUSH: That was an enthusiastic 23 yes by Commissioner/Treasurer Gallagher. 24 ATTORNEY GENERAL BUTTERWORTH: Governor, 25 our first city for a Capital of a Day was -- ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 102 November 16, 2000 1 was Jacksonville. 2 GOVERNOR BUSH: It was. 3 ATTORNEY GENERAL BUTTERWORTH: And that 4 was -- that was a wonderful -- 5 GOVERNOR BUSH: Mayor, don't leave yet. 6 I think someone -- 7 ATTORNEY GENERAL BUTTERWORTH: -- it was a 8 wonderful experience, Mayor, when we did the -- 9 our first, in the history of the state, going 10 outside of Tallahassee for the Capital for a 11 Day. You hosted us wonderfully, and it was an 12 excellent -- excellent thing. 13 I would hope you invite us back again. 14 I think some event is occurring in your city in 15 the near future? 16 MR. DELANEY: SuperBowl? 17 ATTORNEY GENERAL BUTTERWORTH: Yeah. Oh, 18 that's right. 19 And -- and perhaps, Governor, maybe we 20 can -- we can adjourn a Cabinet meeting on the 21 50 yard line before the -- not -- not to be 22 there for any special reason. But I think it 23 might be just, you know -- 24 GOVERNOR BUSH: It's above the gift limit. 25 I can't go. Maybe you can. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 103 November 16, 2000 1 ATTORNEY GENERAL BUTTERWORTH: I can't. 2 It's above my limit, too. 3 But if we have a Cabinet meeting, that 4 might -- 5 COMMISSIONER GALLAGHER: But somebody'll 6 sell you tickets, if you want to buy one, I'm 7 sure. 8 GOVERNOR BUSH: I know. But they cost, 9 like, 400 bucks. 10 ATTORNEY GENERAL BUTTERWORTH: It's about 11 600 now, Governor. 12 GOVERNOR BUSH: Six hundred. 13 Well, we can stay in a cruise ship, too. 14 It'll be -- 15 MR. DELANEY: That would be great. 16 Although -- 17 GOVERNOR BUSH: Congratulations. 18 MR. DELANEY: -- like most everybody here, 19 with the exception of Commissioner Gallagher, 20 we'll all be out of office by the time the 21 SuperBowl's in. 22 We may not get the same invitation. 23 COMMISSIONER GALLAGHER: I'm staying till I 24 get -- 25 MR. DELANEY: But you're always welcome -- ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 104 November 16, 2000 1 COMMISSIONER GALLAGHER: -- that deed. I'm 2 not leaving till the deed comes. 3 MR. DELANEY: Governor, you're always 4 welcome in Jacksonville. 5 Thank you. 6 GOVERNOR BUSH: Thank you. 7 MR. STRUHS: Our fifth and final item is 8 the Mount Royal Village Archaeological site. 9 This is an emergency acquisition. Actually 10 it's not an acquisition. It's simply getting 11 your acquiescence to begin the process of 12 acquiring the land. 13 Under the -- 14 GOVERNOR BUSH: It's not -- it's not less 15 than fee simple, I hope. 16 MR. STRUHS: No. This -- if it -- if it is 17 pursued, and it is executed, it would be a -- 18 it would be a fee simple acquisition. 19 Under the Preservation 2000 program, there 20 is money set aside for emergency archeological 21 acquisitions. And this is an acknowledgment, 22 if you approve it, by -- by you that the 23 Division of Historical Resources and Division 24 of State Lands have complied with 25 Section 253.027 of the Florida Statutes. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 105 November 16, 2000 1 COMMISSIONER GALLAGHER: Motion. 2 ATTORNEY GENERAL BUTTERWORTH: Second. 3 GOVERNOR BUSH: There's a second. 4 SECRETARY HARRIS: I just want -- 5 GOVERNOR BUSH: Moved and seconded. 6 Wit-- 7 Yes. 8 SECRETARY HARRIS: Governor, I just wanted 9 to say a couple of things about this piece of 10 property. 11 We're going -- I hope we're going to move 12 forward in this process to acquire it. But it 13 really does have some interesting history. One 14 of the famous Flemish engravers from the 1500s 15 actually first began in copying some famous 16 paintings by LeMoyne and doing this, the 17 engravings of the Timucuan Indians. It's about 18 a 4,000 year old site. 19 And if you look at your aerials, you can 20 actually see a causeway, which is the only one 21 of its kind from north of Kissimmee from the 22 temple mount all the way out is very strategic. 23 You can see on to -- to Hog Island and 24 Drayton Island. 25 And so I'm looking forward to -- to the ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 106 November 16, 2000 1 opportunity and -- to examine this acquisition. 2 Also, Bartram, who's probably the foremost 3 naturalist in -- in the 19th century that 4 published Bartram's Travels, talks about it 5 exhaustively in his book. 6 And for any of you -- I just thought it was 7 cool. 8 See? You can see the -- the temple mount 9 and the causeway -- an actual causeway that 10 it -- that was going on whenever he was -- he 11 was there examining it. 12 So I brought some of those engravings 13 and -- and -- because this is simply more 14 than -- it started as an Indian village, and 15 then a mission, and then a plantation. So it 16 has a very colorful and rich history for 17 Florida's past. And I think it's important for 18 a CARL acquisition. 19 GOVERNOR BUSH: Very good. 20 Moved and seconded. 21 Without objection, it's approved. 22 MR. STRUHS: Thank you. 23 GOVERNOR BUSH: Thank you, 24 Secretary Struhs. 25 Thank you all very much. ACCURATE STENOTYPE REPORTERS, INC. TRUSTEES/INTERNAL IMPROVEMENT TRUST FUND 107 November 16, 2000 1 COMMISSIONER CRAWFORD: All right. 2 (The Board of Trustees of the Internal 3 Improvement Trust Fund Agenda was concluded.) 4 * * * 5 (The Cabinet meeting was concluded at 6 10:38 a.m.) 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ACCURATE STENOTYPE REPORTERS, INC. 108 November 16, 2000 1 CERTIFICATE OF REPORTER 2 3 4 5 STATE OF FLORIDA: 6 COUNTY OF LEON: 7 I, LAURIE L. GILBERT, do hereby certify that 8 the foregoing proceedings were taken before me at the 9 time and place therein designated; that my shorthand 10 notes were thereafter translated; and the foregoing 11 pages numbered 1 through 107 are a true and correct 12 record of the aforesaid proceedings. 13 I FURTHER CERTIFY that I am not a relative, 14 employee, attorney or counsel of any of the parties, 15 nor relative or employee of such attorney or counsel, 16 or financially interested in the foregoing action. 17 DATED THIS 1ST day of DECEMBER, 2000. 18 19 20 21 22 LAURIE L. GILBERT, RPR, CCR, CRR, RMR 23 100 Salem Court Tallahassee, Florida 32301 24 850/878-2221 25 ACCURATE STENOTYPE REPORTERS, INC. |