HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #: CS/HB 9 Protecting Consumers Against Pandemic-related Fraud
SPONSOR(S): Judiciary Committee, Pandemics & Public Emergencies Committee, Zika and others
TIED BILLS: IDEN./SIM. BILLS:
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Pandemics & Public Emergencies Committee 16 Y, 0 N Landry Hall
2) Criminal Justice & Public Safety Subcommittee 17 Y, 0 N Frost Hall
3) Judiciary Committee 19 Y, 0 N, As CS Frost Kramer
SUMMARY ANALYSIS
A pandemic is an outbreak of disease over multiple parts of the world. Coronaviruses are a family of viruses
that cause mild to fatal upper-respiratory tract illnesses. In 2019, a new strain of coronavirus emerged in China,
and the disease caused by the virus, COVID-19, was declared a pandemic in March 2020. As
countermeasures were implemented worldwide to stop the spread of COVID-19, the high demand for personal
protective equipment (PPE) and COVID-19 vaccines led to scammers fraudulently advertising or selling
counterfeit, substandard, or nonexistent PPE, vaccines, and other pandemic-related items.
PPE refers to protective clothing, helmets, gloves, face shields, goggles, facemasks, respirators, or other
equipment designed to protect a person from injury or the spread of infection or illness. According to the
Department of Homeland Security, more than 19,000 new websites selling PPE emerged as COVID-19 began
to spread in the U.S., resulting in numerous reports of individuals and Internet sites taking orders, accepting
payment, and failing to deliver products.
After the Food and Drug Administration approved two COVID-19 vaccines for emergency use in December
2020, the high demand for and limited availability of vaccines created an opportunity for scammers seeking to
profit from desperate consumers. In Florida, Internet pages posing as the Pasco, Pinellas, and Martin County
Health Departments charged money for fake vaccination appointments and scammers attempting to obtain
credit card information intercepted calls made to the Lee County COVID-19 vaccine registration hotline.
While some vaccine or PPE scams may be criminalized under current law, other scams may not qualify as a
crime and stopping the fraudulent activity may be difficult.
CS/HB 9 prohibits a person from knowingly and willfully making a materially false or misleading statement or
disseminating false or misleading information via marketing or advertising materials, on a website, social media
platform, or other media, or by telephone, text message, mail, or e-mail:
Relating to the characteristics, authenticity, effectiveness, or availability of PPE with the intent to obtain
or receive any money or other valuable consideration; or
Regarding the availability of, or access to, a vaccine for COVID-19 or any other pandemic disease for
the purpose of obtaining personal identification information or money or other valuable consideration.
A first offense of either crime is a third degree felony ranked at a level 7 on the offense severity ranking chart,
while a second or subsequent offense is a second degree felony ranked at a level 8. The rankings provided by
the bill subject an offender to a state prison sentence for any violation.
The bill authorizes Florida's Attorney General to seek an injunction to shut down websites or other media
platforms disseminating false information about a vaccine for COVID-19 or any other pandemic disease or
offering for sale or advertising PPE, when done with fraudulent intent.
The Criminal Justice Impact Conference reviewed a previous version of the bill and determined it may have a
positive indeterminate impact on prison beds.
The bill is effective upon becoming a law.
This document does not reflect the intent or official position of the bill sponsor or House of Representatives .
STORAGE NAME: h0009d.JDC
DATE: 3/1/2021
FULL ANALYSIS
I. SUBSTANTIVE ANALYSIS
A. EFFECT OF PROPOSED CHANGES:
Background
COVID-19
A pandemic is an outbreak of disease over multiple parts of the world. The most severe pandemic in
recent history occurred in 1918 when a strain of the H1N1 influenza virus (H1N1) killed approximately
50 million people worldwide. Prior to 2019, the most recent pandemic occurred in 2009 when a new
strain of H1N1 caused the “swine flu,” killing between 151,700 and 575,400 people worldwide during
the first year it circulated.1
Coronaviruses are a family of viruses that can cause upper-respiratory tract illnesses. In the past, small
outbreaks of coronaviruses have occurred in the United States (U.S.), including an outbreak of the
SARS coronavirus in November 2002, and the MERS coronavirus in September 2012. Most recently, in
December 2019, an outbreak of a new strain of coronavirus, called Severe Acute Respiratory
Syndrome Coronavirus 2, emerged in China.2 The disease caused by this strain of the coronavirus,
coronavirus disease 2019 (COVID-19), quickly spread worldwide. COVID-19 causes a wide range of
symptoms including fever, cough, difficulty breathing, fatigue, loss of taste or smell, sore throat, and
congestion or runny nose. Adults aged 65 years or older and people with preexisting underlying
medical conditions, such as lung disease or diabetes, are at higher risk of developing more serious
COVID-19 complications.3
The U.S. reported its first known case of COVID-19 in January 2020,4 and its first known death in
February 2020.5 In March 2020, Florida reported both the state's first known COVID-19 case and death.
On March 11, 2020, the World Health Organization declared COVID–19 a pandemic.6
In response to the COVID-19 pandemic, the Federal Government initiated “Operation Warp Speed” ,
launching a partnership among the Department of Health and Human Services, the Centers for Disease
Control and Prevention (CDC), the National Institutes of Health, the Biomedical Advanced Research
and Development Authority, and the Department of Defense, and began to strategize how to accelerate
the development, manufacture, and distribution of COVID-19 countermeasures, including vaccines,
therapeutics, and diagnostics.7
The CDC issued social distancing guidelines and instructions for wearing face coverings.8 In an effort to
limit the spread of COVID-19, Florida's Governor DeSantis issued a series of executive orders9
declaring a public health emergency, shutting down non-essential businesses and schools, and
1 Centers for Disease Control and Prevention, Past Pandemics, (Aug. 10, 2018) https://www.cdc.gov/flu/pandemic-resources/2009-
h1n1-pandemic.html (last visited Mar. 1, 2021).
2 National Institute of Allergy and Infectious Diseases, Coronaviruses, https://www.niaid.nih.gov/diseases-conditions/coronaviruses (last
visited Mar. 1, 2021).
3 Centers for Disease Control and Prevention, Symptoms of Coronavirus, https://www.cdc.gov/coronavirus/2019-ncov/symptoms-
testing/symptoms.html (last visited Mar. 1, 2021).
4 Michelle L. Holshue, M.P.H., First case of 2019 novel coronavirus in the United States, The New England Journal of Medicine (Mar. 5,
2020), https://www.nejm.org/doi/full/10.1056/NEJMoa2001191 (last visited Mar. 1, 2021).
5 Centers for Disease Control and Prevention, Washington state reports first COVID–19 death,
https://www.cdc.gov/media/releases/2020/s0229-COVID-19-first-death.html (last visited Mar. 1, 2021).
6 World Health Organization, WHO Director-General’s opening remarks at the media briefing on COVID–19,
https://www.who.int/director-general/speeches/detail/who-director-general-s-opening-remarks-at-the-media-briefing-on-covid-19---11-
march-2020 (last visited Mar. 1, 2021).
7 U.S. Department of Health & Human Services, Fact Sheet: Explaining Operation Warp Speed,
https://www.hhs.gov/coronavirus/explaining-operation-warp-speed/index.html (last visited Mar. 1, 2021).
8 Centers for Disease Control and Prevention, COVID-19, Social Distancing, https://www.cdc.gov/coronavirus/2019-ncov/prevent-
getting-sick/social-distancing.html (last visited Mar. 1, 2021).
9 Florida Governor Ron DeSantis, 2020 Executive Orders, https://www.flgov.com/2020-executive-orders/ (last visited Mar. 1, 2021).
STORAGE NAME: h0009d.JDC PAGE: 2
DATE: 3/1/2021
encouraging citizens to stay at home.10 Florida also listed PPE, sanitizing and disinfecting supplies, and
COVID-19 test kits as essential commodities.11
Personal Protective Equipment
Personal protective equipment (PPE) refers to protective clothing, helmets, gloves, face shields,
goggles, facemasks, respirators, or other equipment designed to protect a person from injury or the
spread of infection or illness. PPE is commonly used in health care settings to act as a barrier between
infectious materials such as viral and bacterial contaminants and a person’s skin, mouth, nose, or eyes,
to block transmission of contaminants from blood, bodily fluids, or respiratory secretions. PPE is also
used to protect patients who are at high risk for contracting infections brought in by visitors and
healthcare workers.12
The COVID-19 pandemic increased the need for PPE for healthcare workers, patients, and the general
public, resulting in PPE shortages nationwide. Some healthcare facilities were unable to access
appropriate PPE, forcing them to identify alternative means to protect healthcare workers and provide
adequate patient care.13
As suppliers rushed to produce PPE, federal authorities quickly identified attempts by individuals and
organizations to fraudulently secure contracts for the delivery of PPE to private and public entities. In
the last year, the Federal Bureau of Investigation, Department of Justice, and other law enforcement
agencies pursued numerous cases of PPE fraud, including attempts to fraudulently secure large
government or private procurement contracts with no intention of ever delivering the PPE or even
having access to PPE.14 According to the Department of Homeland Security, more than 19,000 new
websites selling PPE emerged as COVID-19 began to spread in the U.S., resulting in numerous reports
of sites taking orders, accepting payment, and failing to deliver products.15 In April 2020, a Georgia man
was arrested after making a series of fraudulent misrepresentations to secure $750 million from the
Department of Veterans Affairs for 125 million facemasks and other PPE, knowing he was unable to
fulfill the orders.16 In January 2021, a Philadelphia man was arrested after fraudulently claiming to be a
PPE provider and entering into agreements for over $700 million to provide PPE to the City of New
York.17
Florida’s Attorney General (AG) has issued more than 30 consumer alerts warning Floridians about
emerging COVID-19 related scams, including one in May 2020, urging Floridians to be on the lookout
for fraudulent websites purporting to sell PPE.18 As of December 2020, the Better Business Bureau had
received 96 complaints in Florida related to COVID-19.19
COVID-19 Vaccine
10 Fla. Exec. Order No. 20-51 (Mar. 1, 2020).
11 Attorney General Ashley Moody, COVID-19 Resources to Stay Informed, http://www.myfloridalegal.com/covid19 (last visited Mar. 1,
2021).
12 U.S. Food and Drug Administration, Personal Protective Equipment for Infection Control, (Feb. 10, 2021)
https://www.fda.gov/medical-devices/general-hospital-devices-and-supplies/personal-protective-equipment-infection-control (last visited
Mar. 1, 2021).
13 COCA Now, Strategies for Optimizing PPE Supplies During Shortages, https://emergency.cdc.gov/newsletters/coca/010521.htm (last
visited Mar. 1, 2021).
14 JDSUPRA, With Latest COVID-19 Surge, Federal Officials Will Be Prepared to Combat PPE Fraud, (Dec. 28, 2020)
https://www.jdsupra.com/legalnews/with-latest-covid-19-surge-federal-33450/ (last visited Mar. 1, 2021).
15 Office of Attorney General Ashley Moody, Consumer Alert: New Websites Selling PPE Take Money, Don’t Deliver Gear, (May 14,
2020) http://www.myfloridalegal.com/newsrel.nsf/newsreleases/DD06CDD09BE8587B85258568004EC790 (last visited Mar. 1, 2021).
16 Johnny Diaz and Aimee Ortiz, Man Charged in Scheme to Sell 125 Million Nonexistent Masks, The New York Times, (Apr. 11, 2020)
https://www.nytimes.com/2020/04/11/us/coronavirus-face-mask-fraud-christopher-parris.html (last visited Mar. 1, 2021).
17 The U.S. Attorney’s Office, District of New Jersey, Philadelphia Man Arrested for COVID-19 PPE Fraud, (Jan. 20, 2021)
https://www.justice.gov/usao-nj/pr/philadelphia-man-arrested-covid-19-ppe-fraud (last visited Mar. 1, 2021).
18 Supra n. 15.
19 Merris Badcock, COVID-19 Vaccine Scams at Center of New Crime-Fighting Effort, (Dec. 7, 2020)
https://www.clickorlando.com/news/local/2020/12/08/covid-19-vaccine-scams-at-center-of-new-crime-fighting-effort/ (last visited Mar. 1,
2021).
STORAGE NAME: h0009d.JDC PAGE: 3
DATE: 3/1/2021
In December 2020, the Food and Drug Administration granted Pfizer/BioNTech’s and Moderna’s
COVID-19 vaccines Emergency Use Authorization.20 Later that month, Governor DeSantis issued an
executive order prioritizing vaccine recipients and authorizing vaccines to be administered only to
priority populations, including:
Long term care facility residents and staff;
Persons 65 years of age or older;
Health care personnel with direct patient contact; or
Any person a hospital provider deems to be extremely vulnerable to COVID-19.21
Florida’s strategy for administering the COVID-19 vaccine is continuously evolving. The Governor
frequently announces updates as the state receives additional vaccine shipments and private and local
distribution partnerships are established. Counties are authorized to implement local processes for
administering the vaccine to people over the age of 65. Several counties have opted to use Eventbrite,
a digital event management and ticketing website, which allows residents to register online for vaccine
appointments.22
Emerging scams have prompted Federal, state, and local authorities to issue warnings to the public to
avoid fraudulent activity specifically related to the COVID-19 vaccine. The Federal Trade Commission
published guidance on how to identify and avoid COVID-19 vaccine scams, warning consumers not to:
Pay to put their name on a list to get the vaccine;
Pay to gain early access to the vaccine; or
Provide their social security number, bank account, or credit card number to get the vaccine.23
In January 2021, scammers created fake Eventbrite accounts posing as the Pasco, Pinellas, and Martin
County Health Departments offering to take payment in exchange for COVID-19 vaccination
appointments,24 and scammers attempting to obtain credit card information in return for a vaccine
appointment intercepted calls made to the Lee County COVID-19 vaccine registration hotline.25 Another
scam involves Medicare fraudsters offering in-home vaccines for seniors and requiring Medicare card
information to schedule the appointment. In response to these scams, the AG warned Florida
consumers to avoid COVID-19 vaccine scams involving vaccine appointment calls, misleading
webpages charging for vaccine appointments, and supposed in-home vaccinations through Medicare.26
20 U.S. Food and Drug Administration, Pfizer-BioNTech COVID-19 Vaccine, https://www.fda.gov/emergency-preparedness-and-
response/coronavirus-disease-2019-covid-19/pfizer-biontech-covid-19-vaccine (last visited Mar. 1, 2021). Emergency use authorization
is a mechanism for facilitating the availability and use of medical countermeasures, such as vaccines, during public health
emergencies. See U.S. Food and Drug Administration, Emergency Use Authorization for Vaccines Explained,
https://www.fda.gov/vaccines-blood-biologics/vaccines/emergency-use-authorization-vaccines-explained (last visited Mar. 1, 2021).
21 Fla. Exec. Order No. 20-315 (Dec. 23, 2020).
22 Siladitya Ray, Florida Seniors Duped Into Paying For Covid Vaccination Appointments On Eventbrite, Forbes (Jan. 5, 2021),
https://www.forbes.com/sites/siladityaray/2021/01/05/florida-seniors-duped-into-paying-for-covid-vaccination-appointments-on-
eventbrite/?sh=4ae21e2a4933 (last visited Mar. 1, 2021).
23 Federal Trade Commission, FTC Issues Consumer Tips for Avoiding COVID-19 Vaccine Scams, https://www.ftc.gov/news-
events/press-releases/2020/12/ftc-issues-consumer-tips-avoiding-covid-19-vaccine-scams (last visited Mar. 1, 2021).
24 Supra note 22. Renay Rouse, DOH-Martin-Use Caution Booking Online Appointments: news release (Jan. 20, 2021),
http://martin.floridahealth.gov/newsroom/2021/01/covid19pr.html (last visited Mar. 1, 2021).
25 David Dorsey, Scammers intercept unknown number of Lee County COVID-19 vaccine hotline calls, News-Press (Jan. 6, 2021),
https://www.news-press.com/story/news/2021/01/06/scammers-intercept-unknown-number-lee-county-covid-19-vaccine-hotline-
calls/6561370002/ (last visited Mar. 1, 2021).
26 Attorney General Ashley Moody, As Vaccines Outpace COVID-19 Infections, Be Wary of Vaccine-Related Scams, (Feb. 15, 2021)
http://www.myfloridalegal.com/newsrel.nsf/newsreleases/9DD25D025124078C8525867D0058C270 (last visited Mar. 1, 2021).
STORAGE NAME: h0009d.JDC PAGE: 4
DATE: 3/1/202