The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Fiscal Policy
BILL: CS/CS/CS/SB 1664
INTRODUCER: Fiscal Policy Committee; Appropriations Committee on Transportation, Tourism, and
Economic Development Committee; Commerce and Tourism Committee; and Senator
Hooper
SUBJECT: Economic Programs
DATE: April 26, 2023 REVISED:
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. Renner McKay CM Fav/CS
2. Nortelus Jerrett ATD Fav/CS
3. Renner Yeatman FP Fav/CS
Please see Section IX. for Additional Information:
COMMITTEE SUBSTITUTE - Substantial Changes
I. Summary:
CS/CS/CS/SB 1664 eliminates Enterprise Florida, Inc. (EFI), and provides that all duties,
functions, records, existing contracts, administrative authority, and unexpended balances of
appropriations and allocations relating to the programs in EFI are transferred by a type two
transfer to the Department of Commerce, which the bill creates by the renaming of the
Department of Economic Opportunity (DEO). Duties related to international trade and
development are transferred to a new direct-support organization under the department. The
transition must be complete by December 1, 2023. The bill appropriates $5 million to the new
international trade direct support organization; $5 million and 20 FTE to DEO; and $2 million to
EFI to implement the transition.
The bill repeals the following obsolete or expired economic development incentive programs:
Entertainment Industry Tax Credit; Corporate income tax credits for spaceflight projects;
Qualified defense contractor and space flight business tax refund program; Tax refund for
qualified target industry businesses; Economic Gardening Business Loan Pilot Program;
Economic Gardening Technical Assistance Pilot Program; Quick Action Closing Fund;
Innovation Incentive Program; Florida Small Business Technology Growth Program; New
Markets Tax Credit; Microfinance Loan Program; Quick Action Closing Fund; Golf Hall of
Fame; and International Game Fish Association World Center facility. Existing contracts
authorized under programs remain in force; new certifications or agreements may not be made.
BILL: CS/CS/CS/SB 1664 Page 2
The bill also renames the Division of Strategic Business Development as the Division of
Economic Development, and eliminates the Film Advisory Council. The bill requires the Florida
Sports Foundation (recreated in the bill) and VISIT Florida to contract with the department as
direct-support organizations of the department.
The bill also makes numerous conforming and technical changes.
Except as otherwise provided in the bill, it has an effective date of July 1, 2023.
II. Present Situation:
Department of Economic Opportunity
The Department of Economic Opportunity (DEO) is tasked with assisting the Governor in
working with the Legislature, state agencies, business leaders, and economic development
professionals to formulate and implement coherent and consistent policies and strategies
designed to promote economic opportunities for all Floridians.1 The DEO must also ensure that
the state’s goals and policies relating to economic development, workforce development,
community planning and development, and affordable housing are fully integrated with
appropriate implementation strategies.2
To achieve these goals, the Legislature established seven divisions and offices within the DEO:
 Strategic Business Development
 Community Development
 Workforce Services
 Finance and Administration
 Division of Information Technology
 Office of the Secretary
 Office of Economic Accountability and Transparency3
The seven divisions and offices help fulfill the DEO’s statutorily mandated responsibilities,
which include:
 Facilitating the direct involvement of the Governor and the Lieutenant Governor in economic
development and workforce development projects designed to create, expand, and retain
businesses in Florida, to recruit business from around the world, and to facilitate other job-
creating efforts.
 Recruiting new businesses to this state and promote the expansion of existing businesses by
expediting permitting and location decisions, worker placement and training, and incentive
awards.
 Promoting viable, sustainable communities by providing technical assistance and guidance
on growth and development issues, grants, and other assistance to local communities.
1
Section 20.60(4), F.S.
2
OPPAGA, Program Summary: Department of Economic Opportunity, available at
https://oppaga.fl.gov/ProgramSummary/ProgramDetail?programNumber=6101 (last visited March 24, 2023).
3
Section 20.60(3), F.S.
BILL: CS/CS/CS/SB 1664 Page 3
 Ensuring that the state’s goals and policies relating to economic development, workforce
development, community planning and development, and affordable housing are fully
integrated with appropriate implementation strategies.
 Managing the activities of public-private partnerships and state agencies in order to avoid
duplication and promote coordinated and consistent implementation of programs in areas
including, but not limited to, tourism; international trade and investment; business
recruitment, creation, retention, and expansion; minority and small business development;
rural community development; and the development and promotion of professional and
amateur sporting events.
 Coordinating with state agencies on the processing of state development approvals or permits
to minimize the duplication of information provided by the applicant and the time before
approval or disapproval.4
The Secretary may create offices within the Office of the Secretary and within the divisions to
promote efficient and effective operation of the DEO.5
Enterprise Florida, Inc.
Enterprise Florida, Inc., (EFI) is a nonprofit corporation established by the Legislature to serve
as the state’s main economic development organization.6 EFI is required to enter into a
performance-based contract with DEO, which includes annual measurements of the performance
of EFI.7 The corporation is responsible for:
 Marketing the state as a pro-business location for new investment and as a tourist destination;
 Advancing international and domestic trade opportunities;
 Providing support to small and minority-owned businesses;
 Assisting, promoting, and enhancing economic opportunities in the state's rural and urban
communities;
 Advocating for Florida's military bases and administering defense grants; and
 Promotion and development of professional, amateur, recreational sports, and physical
fitness opportunities.8
EFI has the following duties:
 Responsibly and prudently manage all public and private funds received, and ensure that the
use of such funds is in accordance with all applicable laws, bylaws, or contractual
requirements;
 Administer certain entities and programs;
 Prepare an annual report;
4
Section 20.60(4), F.S.
5
Section 20.60(3)(b), F.S.
6
Section 288.901, F.S. Chapter 92-277, Laws of Fla., created EFI, while ch. 96-320, Laws of Fla, established EFI as a
public-private partnership.
7
Section 20.60(11), F.S., requires DEO to “establish annual performance standards for Enterprise Florida, Inc., CareerSource
Florida, Inc., the Florida Tourism Industry Marketing Corporation, and Space Florida and report annually on how these
performance measures are being met.”
8
Office of Program Policy Analysis and Governmental Accountability, Enterprise Florida, Inc., available at
https://oppaga.fl.gov/ProgramSummary/BackPageDetail?programNumber=6112&backPageNumber=03 (last visited April
24, 2023).
BILL: CS/CS/CS/SB 1664 Page 4
 Prepare, in conjunction with DEO, an annual incentives report;
 Assist DEO with the development of an annual and a long-range strategic business blueprint
for economic development;
 In coordination with CareerSource Florida, Inc., identify education and training programs
that will ensure that Florida businesses have access to a skilled and competent workforce
necessary to compete successfully in the domestic and global marketplace;
 Submit all proposed contracts with a cost in excess of a specified amount in accordance with
the notice and review procedures required in statute;
 Not create or establish any other entity unless authorized by law; and
 Comply with per diem and travel expense provisions.9
At a minimum, EFI is required to have divisions related to:
 International Trade and Business Development;
 Business Retention and Recruitment;
 Tourism Marketing;
 Minority Business Development; and
 Sports Industry Development.10
EFI is governed by a board of directors, of which the Governor serves as chairperson. The board
of directors biennially elects one of its members as vice chairperson.11 Including the Governor or
his or her designee, the board of directors of EFI is comprised of twenty members: seven from
the public sector and twelve from the private sector.12 The eight members of the board from the
public sector include the following: the Governor or the Governor’s designee; the Commissioner
of Education or his or her designee; the Chief Financial Officer or his or her designee; the
Attorney General or his or her designee; the Commissioner of Agriculture or his or her designee;
the chairperson of the board of directors for CareerSource Florida, Inc.; the Secretary of State or
his or her designee; and the Secretary of Economic Opportunity or his or her designee. 13
Of the twelve members from the private sector, the Governor appoints six14 and the President of
the Senate and Speaker of the Florida House of Representatives each appoint three. Such
members are appointed to four year terms and must include at least one director for each of the
following areas of expertise:15 international business; tourism marketing; the space or aerospace
industry; managing or financing a minority-owned business; manufacturing; finance and
accounting; and sports marketing. In addition, the President of the Senate must appoint a
member of the Senate and the Speaker of the House must appoint a member of the House of
Representatives, both of which serve as ex officio members.16 The board must meet at least four
times each year, upon the call of the chairperson, at the request of the vice chairperson, or at the
9
Section 299.903, F.S.
10
Section 288.92(1), F.S.
11
Section 288.901(4), F.S.
12
Section 288.901(5), F.S.
13
Id.
14
Members appointed by the Governor are subject to Senate confirmation. Section 288.901(5)(a), F.S.
15
Section 288.901(5)(b), F.S.
16
Section 288.901(7), F.S.
BILL: CS/CS/CS/SB 1664 Page 5
request of a majority of the membership. A majority of the total number of current voting
members constitutes a quorum.17
Florida law directs the board of directors to “integrate its efforts in business recruitment and
expansion, job creation, marketing the state for tourism and sports, and promoting economic
opportunities for minority-owned businesses and promoting economic opportunities for rural and
distressed urban communities with those of the department, to create an aggressive, agile, and
collaborative effort to reinvigorate the state’s economy.”18 To that end, Florida law authorizes
the Board to:
 Secure funding for its programs and activities from federal, state, local, and private sources
and from fees charged for services and published materials;
 Solicit, receive, hold, invest, and administer any grant, payment, or gift of funds or property
and make expenditures;
 Make and enter into contracts and other instruments necessary or convenient with its powers
and functions;
 Elect or appoint officers, employees, and agents as required for its activities and for its
divisions;
 Carry forward any unexpended state appropriations into succeeding fiscal years;
 Create and dissolve advisory councils, working groups, task forces, or other similar
organizations, as necessary to carry out its mission;
 Establish an executive committee consisting of the chairperson or a designee, the vice
chairperson, and as many additional members of the board of directors as the board deems
appropriate (with a minimum of five members);
 Sue and be sued, and appear and defend all actions and proceedings;
 Adopt, use, and alter a common corporate seal for EFI and its divisions;
 Adopt, amend, and repeal bylaws;
 Acquire, enjoy, use, and dispose of patents, copyrights, and trademarks and any licenses,
royalties, and other rights or interests;
 Use the state seal when appropriate for standard corporate identity applications; and
 Procure insurance or require bond against any loss in connection with the property of EFI.19
As a public-private partnership, EFI is expected to obtain private sector support to help pay for
its operational costs. The Legislature provides an annual appropriation to EFI for its operations.
According to state law, the agency’s legislative appropriations must be matched with private
sector support equal to at least 100 persent of state operational funding.20 Under state law,
private sector support includes:
 Cash given directly to EFI for its operations, including contributions from at-large members
of the board of directors;
 Cash donations from organizations assisted by EFI’s divisions;
 Cash jointly raised by EFI, private local economic development organizations, a group of
such organizations, or a statewide private business organization that supports collaborative
projects;
17
Section 288.901(8), F.S.
18
Section 288.9015(1), F.S.
19
Section 288.9015(2), F.S.
20
Section 288.904(2)(a), F.S.
BILL: CS/CS/CS/SB 1664 Page 6
 Cash generated by fees charged for products or services of EFI and its divisions by
sponsorship of events, missions, programs, and publications; and
 Copayments, stock, warrants, royalties, or other private resources dedicated to EFI or its
divisions.21
In 2016, the Office of Program Policy Analysis and Government Accountability (OPPAGA)
published a report indicating that EFI’s state funding has always exceeded private sector
funding.22 Based on EFI’s audited financial statements for Fiscal Year 2021-22, EFI received:
$1,865,000 in private investment contributions; $1,405,918 in event revenue; and $1,153,795 in
other income.23 EFI’s total state appropriation for Fiscal Year 2021-22 was $14,400,000.24
International Offices Program
Section 288.012, F.S., establishes the International Offices Program to promote foreign direct
investment. Current law authorizes DEO to contract with EFI to carry out the program. 25 EFI
maintains 18 international offices locations in 15 different countries.26
EFI utilizes the international offices to: identify potential opportunities for investment in Florida;
promote Florida for foreign direct investment; facilitate partnerships with local suppliers and
distributors; and provide market specific information to Florida businesses.27 A recent study by
OPPAGA indicates that during the review period, EFI’s international offices reported generating
$333.8 million in foreign direct investment from 121 projects.28
Florida Sports Foundation
EFI is responsible for assisting and marketing professional and amateur sports teams and
sporting events in Florida and is required to create a division to carry out such responsibility. 29
The Florida Sports Foundation, Inc. (FSF) is a 501(c)(3) non-profit corporation, serving as the
official sports promotion and development organization for the State of Florida. It is charged
with the promotion and development of professional, amateur, and recreational sports, physical
fi