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          1
 
          2                  T H E   C A B I N E T
 
          3             S T A T E   O F   F L O R I D A
 
          4
                                 Representing:
          5
                        COMMISSION ON MINORITY ECONOMIC
          6                 AND BUSINESS DEVELOPMENT
                         STATE BOARD OF ADMINISTRATION
          7                 DIVISION OF BOND FINANCE
                        INFORMATION RESOURCE COMMISSION
          8                  DEPARTMENT OF REVENUE
                            STATE BOARD OF EDUCATION
          9                ADMINISTRATION COMMISSION
                             FLORIDA LAND AND WATER
         10                  ADJUDICATORY COMMISSION
                             TRUSTEES OF THE INTERNAL
         11                   IMPROVEMENT TRUST FUND
 
         12
                       The above agencies came to be heard before
         13   THE FLORIDA CABINET, Honorable Governor Chiles
              presiding, in the Cabinet Meeting Room, LL-03,
         14   The Capitol, Tallahassee, Florida, on Tuesday,
              October 24, 1995, commencing at approximately
         15   9:40 a.m.
 
         16
 
         17
 
         18                       Reported by:
 
         19                    LAURIE L. GILBERT
                        Registered Professional Reporter
         20                 Certified Court Reporter
                            Notary Public in and for
         21              the State of Florida at Large
 
         22
 
         23            ACCURATE STENOTYPE REPORTERS, INC.
                                100 SALEM COURT
         24                TALLAHASSEE, FLORIDA 32301
                                  904/878-2221
         25                      1-800/934-9090

                                                              2
 
          1   APPEARANCES:
 
          2            Representing the Florida Cabinet:
 
          3            LAWTON CHILES
                       Governor
          4
                       BOB CRAWFORD
          5            Commissioner of Agriculture
 
          6            BOB MILLIGAN
                       Comptroller
          7
                       SANDRA B. MORTHAM
          8            Secretary of State
 
          9            BOB BUTTERWORTH
                       Attorney General
         10
                       BILL NELSON
         11            Treasurer
 
         12            FRANK T. BROGAN
                       Commissioner of Education
         13
                                      *
         14
 
         15
 
         16
 
         17
 
         18
 
         19
 
         20
 
         21
 
         22
 
         23
 
         24
 
         25
                        ACCURATE STENOTYPE REPORTERS, INC.
 

 
                                 October 24, 1995
                                                              3
 
          1                        I N D E X
 
          2   ITEM                  ACTION                PAGE
 
          3   COMMISSION ON MINORITY
              ECONOMIC AND BUSINESS
          4   DEVELOPMENT:
              (Presented by Tereasa P. Stewart,
          5       Interim Executive Administrator)
 
          6    1                  Deferred                 10
               2                  Approved                 10
          7    3                  Approved                 11
               4                  Approved                 11
          8    5                  Approved                 12
               6                  Deferred                 13
          9
              STATE BOARD OF ADMINISTRATION:
         10   (Presented by Ash Williams, Jr.,
                  Executive Director)
         11
               1                  Approved                 14
         12    2                  Approved                 14
               3                  Approved                 14
         13    4                  Approved                 15
               5                  Approved                 15
         14
              DIVISION OF BOND FINANCE:
         15   (Presented by J. Ben Watkins, III,
                  Director)
         16
               1                  Approved                 16
         17    2                  Approved                 16
 
         18   INFORMATION RESOURCE COMMISSION:
              (Presented by John Douglas,
         19       Interim Executive Director)
 
         20    1                  Approved                 17
               2                  Approved                 17
         21
              DEPARTMENT OF REVENUE:
         22   (Presented by L.H. Fuchs,
                  Executive Director)
         23
               1                  Approved                 19
         24    2                  Approved                 19
               3                  Approved                 19
         25
                        ACCURATE STENOTYPE REPORTERS, INC.
 

 
                                 October 24, 1995
                                                              4
 
          1                        I N D E X
                                  (Continued)
          2
              ITEM                  ACTION                PAGE
          3
              STATE BOARD OF EDUCATION:
          4   (Presented by Robert L. Bedford,
                  Deputy Commissioner)
          5
               1                  Approved                 21
          6    2                  Approved                 21
               3                  Approved                 47
          7    4                  Approved                 47
               5                  Deferred                 49
          8    6                  Deferred                 49
               7                  Deferred                 49
          9    8                  Deferred                 49
               9                  Deferred                 49
         10   10                  Deferred                 49
              11                  Deferred                 49
         11   12                  Deferred                 49
              13                  Deferred                 49
         12   14                  Deferred                 49
              15                  Approved                 49
         13   16                  Approved                 51
              17                  Approved                 51
         14   18                  Approved                 51
              19                  Approved                 52
         15   20                  Approved                 52
              21                  Approved                 52
         16   22                  Approved                 53
 
         17   ADMINISTRATION COMMISSION:
              (Presented by Robert B. Bradley, Ph.D.,
         18       Secretary)
 
         19    1                  Approved                 54
               2 A.               Approved                 54
         20    2 B.               Approved                 54
               3                  Approved                 55
         21    4                  Approved                 55
               5                  Approved                 55
         22    6                  Approved                 56
 
         23
 
         24
 
         25
                        ACCURATE STENOTYPE REPORTERS, INC.
 

 
                                 October 24, 1995
                                                              5
 
          1                        I N D E X
                                  (Continued)
          2
              ITEM                  ACTION                PAGE
          3
              FLORIDA LAND AND WATER ADJUDICATORY COMMISSION:
          4   (Presented by Robert B. Bradley, Ph.D.,
                  Secretary)
          5
               1                  Approved                 57
          6    2                  Approved                111
 
          7   BOARD OF TRUSTEES,
              INTERNAL IMPROVEMENT
          8   TRUST FUND:
              (Presented by Virginia B. Wetherell,
          9       Secretary)
 
         10    1                  Approved                112
               2                  Approved                112
         11   Substitute 3        Deferred                112
              Substitute 4        Deferred                113
         12    5                  Approved                113
               6                  Approved                113
         13    7                  Approved                113
               8                  Approved                114
         14   Substitute 9        Withdrawn               114
              10                  Approved                114
         15   11                  Approved                114
              12                  Approved                115
         16
                       CERTIFICATE OF REPORTER            116
         17
                                      *
         18
 
         19
 
         20
 
         21
 
         22
 
         23
 
         24
 
         25
                        ACCURATE STENOTYPE REPORTERS, INC.
 

               COMMISSION ON MINORITY ECONOMIC BUSINESS DEVELOPMENT
                                 October 24, 1995
                                                              6
 
          1                  P R O C E E D I N G S
 
10:10     2            (The agenda items commenced at 10:12 a.m.)
 
10:10     3            GOVERNOR CHILES:  Now we'll go to the
 
10:10     4       Commission on Minority Economic and Business
 
10:10     5       Development.
 
10:10     6            MS. STEWART:  Good morning.
 
10:10     7            The first item is final agency action on an
 
10:10     8       administrative hearing in the case of Air X
 
10:10     9       Service Corporation of the denial of application
 
10:10    10       for certification as a Minority Business
 
10:10    11       Enterprise.
 
10:10    12            Governor Chiles, before action is taken
 
10:10    13       today, there is a representative here from the
 
10:10    14       Air X Service Corporation who would like to
 
10:10    15       speak, and her name is Ms. Olga Fernandez.  She
 
10:10    16       is representing Air X.
 
10:11    17            GOVERNOR CHILES:  Okay.
 
10:11    18            MS. FERNANDEZ:  Good morning.
 
10:11    19            My name is Olga Fernandez, and I'm here on
 
10:11    20       behalf of the applicant to urge you to reject
 
10:11    21       the final order dismissing this case.
 
10:11    22            Air X Service Corporation is an
 
10:11    23       air conditioning service company in business
 
10:11    24       since 1992.  In 1993, they applied for their
 
10:11    25       certification as an MBE with the State.  They're
                        ACCURATE STENOTYPE REPORTERS, INC.
 

               COMMISSION ON MINORITY ECONOMIC BUSINESS DEVELOPMENT
                                 October 24, 1995
                                                              7
 
10:11     1       certified by Dade County, by West Palm Beach
 
10:11     2       County, and by Broward County.
 
10:11     3            Their certification was initially denied
 
10:11     4       because the State felt it didn't have enough
 
10:11     5       evidence that the two minority Hispanic brothers
 
10:11     6       had enough control and supervision of the
 
10:11     7       business.  Later, through depositions and
 
10:11     8       discovery, these facts were determined.
 
10:11     9            And then at the last minute, right before
 
10:11    10       the final administrative hearing, the State
 
10:11    11       raised a new issue, and that was a new statute,
 
10:11    12       a statute that requires owners to be licensed,
 
10:11    13       to have their own license, in a particular
 
10:11    14       business.
 
10:11    15            And our argument is, and our position in
 
10:12    16       which we've cited two cases that hold that way
 
10:12    17       is, that this new statute does not apply
 
10:12    18       retroactively to the time that the application
 
10:12    19       was filed by Air X Service Corporation.
 
10:12    20            And we urge you to please reject this final
 
10:12    21       order.  Based on those grounds, it would be
 
10:12    22       unfair and illogical to do so.
 
10:12    23            An example of that would be if somebody,
 
10:12    24       for example, filed suit today, and two years
 
10:12    25       later there was a new law, and that new law --
                        ACCURATE STENOTYPE REPORTERS, INC.
 

               COMMISSION ON MINORITY ECONOMIC BUSINESS DEVELOPMENT
                                 October 24, 1995
                                                              8
 
10:12     1       the new -- imposing new obligations, would be
 
10:12     2       made to apply to this lawsuit.  And then
 
10:12     3       two years later down the line while the lawsuit
 
10:12     4       is still in -- in progress, a new law would come
 
10:12     5       in, and that would just create lots of chaos, it
 
10:12     6       doesn't make any sense.
 
10:12     7            Please, we ask you to allow this case to go
 
10:12     8       to a final administrative hearing, and to reject
 
10:12     9       this order of dismissal.
 
10:13    10            Thank you.
 
10:13    11            MS. STEWART:  She's trying to win.
 
         12            GOVERNOR CHILES:  That's a pretty good
 
         13       trick.
 
         14            ATTORNEY GENERAL BUTTERWORTH:  I move the
 
10:13    15       staff recommendation, Governor.
 
10:13    16            GOVERNOR CHILES:  Staff recommendation has
 
10:13    17       been moved.
 
10:13    18            Is there a second?
 
10:13    19            COMMISSIONER CRAWFORD:  Could we hear a
 
10:13    20       little bit about the other side?
 
10:13    21            MS. STEWART:  Sir?
 
10:13    22            COMMISSIONER CRAWFORD:  Could we hear the
 
10:13    23       other side, I mean, a little more --
 
10:13    24            GOVERNOR CHILES:  Could we --
 
         25            COMMISSIONER CRAWFORD:  -- a little
                        ACCURATE STENOTYPE REPORTERS, INC.
 

               COMMISSION ON MINORITY ECONOMIC BUSINESS DEVELOPMENT
                                 October 24, 1995
                                                              9
 
          1       rebuttal?
 
10:13     2            GOVERNOR CHILES:  -- hear a little bit more
 
10:13     3       about why -- the staff recommendation.
 
10:13     4            MS. STEWART:  Yes, sir.
 
10:13     5            The hearing officer concluded that there
 
10:13     6       were not enough disputed facts for this case to
 
10:13     7       go forth.  Also, the issue of licenses is
 
10:14     8       addressed in Florida Statute.
 
10:14     9            Even though the application was pending at
 
10:14    10       the time the statute became law, it was
 
10:14    11       determined that the law applied to this
 
10:14    12       license.  So, therefore, a formal hearing was
 
10:14    13       not given to Air Service -- Air X Service
 
10:14    14       Corporation.
 
10:14    15            The -- I believe the staff have seen the
 
10:14    16       recommended final order that the hearing officer
 
10:14    17       gave us on this issue.  So we do not feel that
 
10:14    18       there are enough disputed facts for this to go
 
10:14    19       forward.
 
10:14    20            ATTORNEY GENERAL BUTTERWORTH:  So the issue
 
10:14    21       is not just on the licensing then, it's more
 
10:14    22       than that.
 
10:14    23            MS. STEWART:  It's -- it's licensing.
 
10:14    24       It's -- they're in the air conditioning
 
10:14    25       service.  They have no license, and they have no
                        ACCURATE STENOTYPE REPORTERS, INC.
 

               COMMISSION ON MINORITY ECONOMIC BUSINESS DEVELOPMENT
                                 October 24, 1995
                                                              10
 
10:14     1       federal certification from EPA to perform this
 
10:14     2       service.
 
10:14     3            ATTORNEY GENERAL BUTTERWORTH:  But as soon
 
10:14     4       as they get that, they can -- they can then
 
10:14     5       apply again.
 
10:15     6            MS. STEWART:  Yes, sir.
 
10:15     7            GOVERNOR CHILES:  We have a motion.
 
10:15     8            SECRETARY MORTHAM:  Governor, I'd suggest
 
10:15     9       we defer this issue.
 
10:15    10            GOVERNOR CHILES:  Substitute to defer.
 
10:15    11            Is there a second to that?
 
10:15    12            COMPTROLLER MILLIGAN:  Second.
 
10:15    13            GOVERNOR CHILES:  Second.
 
10:15    14            Without objection, it's deferred.
 
10:15    15            MS. STEWART:  Our second action -- our
 
10:15    16       second item is final agency action on
 
10:15    17       administrative hearing in the case of Florida
 
10:15    18       Moving System, Inc., on denial of application
 
10:15    19       for certification as a Minority Business
 
10:15    20       Enterprise.
 
10:15    21            SECRETARY MORTHAM:  Move approval.
 
10:15    22            ATTORNEY GENERAL BUTTERWORTH:  Second.
 
10:15    23            GOVERNOR CHILES:  Moved and seconded.
 
10:15    24            Without objection, it's approved.
 
10:15    25            MS. STEWART:  Item 3, final agency action
                        ACCURATE STENOTYPE REPORTERS, INC.
 

               COMMISSION ON MINORITY ECONOMIC BUSINESS DEVELOPMENT
                                 October 24, 1995
                                                              11
 
10:15     1       on an administrative hearing in the case of
 
10:15     2       General Contractors and Construction Management,
 
10:15     3       Inc., of the denial of application for
 
10:15     4       certification as a Minority Business Enterprise.
 
10:15     5            ATTORNEY GENERAL BUTTERWORTH:  Motion.
 
10:16     6            SECRETARY MORTHAM:  Second.
 
10:16     7            GOVERNOR CHILES:  Is there a motion and
 
10:16     8       second?
 
10:16     9            ATTORNEY GENERAL BUTTERWORTH:  Yes.
 
         10            SECRETARY MORTHAM:  Yes.
 
10:16    11            GOVERNOR CHILES:  Without objection, it's
 
10:16    12       approved.
 
10:16    13            MS. STEWART:  Item 4, final agency action
 
10:16    14       on an administrative hearing in the case of
 
10:16    15       Larsen Communication and Professional Services,
 
10:16    16       Inc., of the denial of application for
 
10:16    17       certification as a Minority Business Enterprise.
 
10:16    18            COMMISSIONER BROGAN:  Move approval.
 
10:16    19            SECRETARY MORTHAM:  Second.
 
10:16    20            COMPTROLLER MILLIGAN:  Second.
 
10:16    21            GOVERNOR CHILES:  Moved and seconded.
 
10:16    22            Without objection, it's approved.
 
10:16    23            MS. STEWART:  Final agency action on an
 
10:16    24       admin--
 
10:16    25            Item 5, final agency action on an
                        ACCURATE STENOTYPE REPORTERS, INC.
 

               COMMISSION ON MINORITY ECONOMIC BUSINESS DEVELOPMENT
                                 October 24, 1995
                                                              12
 
10:16     1       administrative hearing in the case of
 
10:16     2       Met Construction, Inc., of the denial of
 
10:16     3       application for certification as a Minority
 
10:16     4       Business Enterprise.
 
10:16     5            TREASURER NELSON:  Move it.
 
10:16     6            ATTORNEY GENERAL BUTTERWORTH:  Second.
 
10:16     7            GOVERNOR CHILES:  Moved and seconded.
 
10:16     8            Without objection, it's approved.
 
10:16     9            MS. STEWART:  Item 6, final agency action
 
10:16    10       on an administrative hearing in the case of
 
10:16    11       T-B Services Group, Inc., of the denial of
 
10:16    12       application for certification as a Minority
 
10:16    13       Business Enterprise.
 
10:16    14            SECRETARY MORTHAM:  Governor --
 
10:17    15            GOVERNOR CHILES:  Yes.
 
10:17    16            SECRETARY MORTHAM:  -- question.
 
10:17    17            Is this particular item very similar to the
 
10:17    18       item number 1?
 
10:17    19            MS. STEWART:  Yes --
 
10:17    20            SECRETARY MORTHAM:  Is it not predicated on
 
10:17    21       the exact same issue?
 
10:17    22            MS. STEWART:  Yes, it is, it's license.
 
10:17    23            SECRETARY MORTHAM:  Governor, I'd like to
 
10:17    24       move deferral of item 6, too.
 
10:17    25            COMPTROLLER MILLIGAN:  And I second.
                        ACCURATE STENOTYPE REPORTERS, INC.
 

               COMMISSION ON MINORITY ECONOMIC BUSINESS DEVELOPMENT
                                 October 24, 1995
                                                              13
 
10:17     1            GOVERNOR CHILES:  Moved and seconded to
 
10:17     2       defer.  Is there --
 
10:17     3            Without objection, deferred.
 
          4            ATTORNEY GENERAL BUTTERWORTH:  That was the
 
          5       last item.
 
10:17     6            GOVERNOR CHILES:  Oh, that was the last
 
10:17     7       item?  All right.
 
          8            (The Commission on Minority Economic and
 
          9       Business Development Agenda was concluded.)
 
         10                             *
 
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                        ACCURATE STENOTYPE REPORTERS, INC.
 

                          STATE BOARD OF ADMINISTRATION
                                 October 24, 1995
                                                              14
 
10:17     1            GOVERNOR CHILES:  State Board of
 
10:17     2       Administration.
 
10:17     3            COMPTROLLER MILLIGAN:  I move the minutes.
 
10:18     4            TREASURER NELSON:  Second.
 
10:18     5            GOVERNOR CHILES:  Moved and seconded on the
 
10:18     6       minutes.
 
10:18     7            Without objection, they're approved.
 
10:18     8            MR. WILLIAMS:  Item 2 is a fiscal
 
10:18     9       sufficiency for the Florida Housing Finance
 
         10       Agency.
 
10:18    11            (Secretary Mortham exited the room.)
 
10:18    12            TREASURER NELSON:  Move it.
 
10:18    13            COMPTROLLER MILLIGAN:  Second.
 
10:18    14            GOVERNOR CHILES:  Moved and seconded.
 
10:18    15            Without objection, it's approved.
 
10:18    16            MR. WILLIAMS:  Item 3 is the fiscal
 
10:18    17       sufficiency for the Florida Housing Finance
 
10:18    18       Agency.
 
10:18    19            TREASURER NELSON:  Move it.
 
10:18    20            COMPTROLLER MILLIGAN:  And second.
 
10:18    21            GOVERNOR CHILES:  Moved and seconded.
 
10:18    22            Without objection, it's approved.
 
10:18    23            MR. WILLIAMS:  Item 4 is a fiscal
 
10:18    24       sufficiency for the Florida Housing Finance
 
10:18    25       Agency.
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                          STATE BOARD OF ADMINISTRATION
                                 October 24, 1995
                                                              15
 
10:18     1            TREASURER NELSON:  Move it.
 
10:18     2            COMPTROLLER MILLIGAN:  Second.
 
10:18     3            GOVERNOR CHILES:  Moved and seconded.
 
10:18     4            Without objection, it's approved.
 
10:18     5            Bond Finance.
 
10:18     6            TREASURER NELSON:  One more.
 
          7            GOVERNOR CHILES:  Oh.  Go ahead.
 
10:18     8            MR. WILLIAMS:  Item 5, reports from the
 
10:18     9       Executive Director, the Investment Performance
 
10:18    10       and Fund Balance Analysis for the month of
 
10:18    11       September '95.
 
10:18    12            TREASURER NELSON:  Move it.
 
10:18    13            COMPTROLLER MILLIGAN:  And second.
 
10:18    14            GOVERNOR CHILES:  Moved and seconded.
 
10:18    15            Without objection, that's approved.
 
10:18    16            MR. WILLIAMS:  Thank you.
 
         17            (The State Board of Administration Agenda
 
         18       was concluded.)
 
         19                             *
 
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                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             DIVISION OF BOND FINANCE
                                 October 24, 1995
                                                              16
 
10:18     1            GOVERNOR CHILES:  Bond Finance.
 
10:18     2            MR. WATKINS:  Two items for your
 
10:18     3       consideration this morning.
 
10:18     4            Item 1 is approval of the minutes from the
 
10:18     5       October 12 --
 
10:18     6            ATTORNEY GENERAL BUTTERWORTH:  So move.
 
10:18     7            GOVERNOR CHILES:  It's moved and seconded.
 
10:18     8            Without objection, the minutes are
 
          9       approved.
 
10:19    10            MR. WATKINS:  Item number 2 is a resolution
 
10:19    11       authorizing the negotiated sale of Multifamily
 
10:19    12       Housing Revenue Bonds for the projects specified
 
10:19    13       in items A through C for and on behalf of the
 
10:19    14       Florida Housing Finance Agency at their request.
 
10:19    15            ATTORNEY GENERAL BUTTERWORTH:  Motion.
 
10:19    16            COMPTROLLER MILLIGAN:  Second.
 
10:19    17            GOVERNOR CHILES:  Moved and seconded.
 
10:19    18            Without objection, it's approved.
 
         19            (The Division of Bond Finance Agenda was
 
         20       concluded.)
 
         21                             *
 
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                        ACCURATE STENOTYPE REPORTERS, INC.
 

                         INFORMATION RESOURCE COMMISSION
                                 October 24, 1995
                                                              17
 
10:19     1            GOVERNOR CHILES:  Information Resource
 
10:19     2       Commission.
 
          3            (Secretary Mortham entered the room.)
 
10:19     4            MR. DOUGLAS:  Good morning, Governor,
 
10:19     5       members of the Cabinet.  Two items this morning.
 
10:19     6            Item number 1 is approval of the minutes of
 
10:19     7       the meeting on September 28th, 1995.
 
10:19     8            COMMISSIONER BROGAN:  So move.
 
10:19     9            ATTORNEY GENERAL BUTTERWORTH:  Second.
 
10:19    10            GOVERNOR CHILES:  Moved and seconded.
 
10:19    11            Without objection, it's approved.
 
         12            MR. DOUGLAS:  Item number 2 is the approval
 
10:19    13       of award of a contract to Coopers and Lybrand
 
10:19    14       for $499,900 to acquire project monitoring
 
10:19    15       services pursuant to Section 282.322,
 
10:19    16       Florida Statutes, for monitoring designated
 
10:19    17       projects identified in the General
 
10:19    18       Appropriations Act.
 
10:19    19            SECRETARY MORTHAM:  Move approval.
 
10:19    20            ATTORNEY GENERAL BUTTERWORTH:  Second.
 
10:19    21            COMMISSIONER CRAWFORD:  Second.
 
10:19    22            GOVERNOR CHILES:  Moved and seconded.
 
10:19    23            Without objection, it's approved.
 
10:19    24            MR. DOUGLAS:  Thank you, Governor.
 
         25
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                         INFORMATION RESOURCE COMMISSION
                                 October 24, 1995
                                                              18
 
          1            (The Information Resource Commission Agenda
 
          2       was concluded.)
 
          3                             *
 
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                        ACCURATE STENOTYPE REPORTERS, INC.
 

                              DEPARTMENT OF REVENUE
                                 October 24, 1995
                                                              19
 
10:20     1            GOVERNOR CHILES:  Department of Revenue.
 
10:20     2            MR. FUCHS:  Good morning.
 
10:20     3            GOVERNOR CHILES:  Good morning.
 
10:20     4            MR. FUCHS:  Item 1 is request for approval
 
10:20     5       of minutes of the September 28th meeting.
 
10:20     6            SECRETARY MORTHAM:  Move approval.
 
10:20     7            COMMISSIONER BROGAN:  Second.
 
10:20     8            GOVERNOR CHILES:  Moved and seconded.
 
10:20     9            Without objection, minutes are approved.
 
10:20    10            MR. FUCHS:  Item 2 is a request for
 
10:20    11       approval to amend our rule on the Minority
 
10:20    12       Business Enterprise Procurement Program.
 
10:20    13            ATTORNEY GENERAL BUTTERWORTH:  Motion.
 
10:20    14            SECRETARY MORTHAM:  Second.
 
10:20    15            GOVERNOR CHILES:  Moved and seconded.
 
10:20    16            Without objection, it's approved.
 
10:20    17            MR. FUCHS:  Item 3 is a request for
 
10:20    18       authority to enter into contracts between the
 
10:20    19       Department of Revenue and eight certified public
 
10:20    20       accountant firms for tax compliance audits.
 
10:20    21            COMPTROLLER MILLIGAN:  So move.
 
10:20    22            SECRETARY MORTHAM:  Second.
 
10:20    23            GOVERNOR CHILES:  Moved and seconded.
 
10:20    24            Without objection, it's approved.
 
10:20    25            MR. FUCHS:  Thank you.
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                              DEPARTMENT OF REVENUE
                                 October 24, 1995
                                                              20
 
          1            (The Department of Revenue Agenda was
 
          2       concluded.)
 
          3                             *
 
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              21
 
10:20     1            GOVERNOR CHILES:  State Board of Education.
 
10:20     2            MR. BEDFORD:  Good morning,
 
10:20     3       Governor Chiles, members of the State Board of
 
10:20     4       Education.
 
10:20     5            Item 1, minutes of the meeting held
 
10:20     6       September 14th, 1995.
 
10:20     7            COMMISSIONER BROGAN:  Move approval.
 
10:20     8            SECRETARY MORTHAM:  Second.
 
10:20     9            THE COURT:  Moved and seconded.
 
10:21    10            Without objection, it's approved.
 
10:21    11            MR. BEDFORD:  Item 2, minutes of the
 
10:21    12       meeting held on August 22nd, 1995.  This is an
 
10:21    13       item deferred from the October 12th Cabinet
 
10:21    14       meeting.
 
10:21    15            COMMISSIONER BROGAN:  Move approval.
 
10:21    16            SECRETARY MORTHAM:  Second.
 
10:21    17            GOVERNOR CHILES:  Moved and seconded.
 
10:21    18            Without objection, it's approved.
 
         19            MR. BEDFORD:  Item 3 is the annual report
 
10:21    20       of the Florida Education and Employment Council
 
10:21    21       for Women and Girls.  We have with us coming
 
10:21    22       forward at this time, Colonel Ron Joe.  And he
 
10:21    23       will make a presentation for your information.
 
10:21    24            Colonel Joe, welcome.
 
10:21    25            COLONEL JOE:  Good morning, Governor,
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              22
 
10:21     1       members of the Board.
 
10:21     2            It's a pleasure to be here.  I'm Colonel
 
10:21     3       Ron Joe.  I'm assigned to the only -- to the
 
10:21     4       Defense Equal Opportunity Management Institute.
 
10:21     5       It's located at Patrick Air Force Base.  We
 
10:21     6       train equal opportunity advisors for the
 
10:21     7       Department of Defense.
 
10:21     8            It's a pleasure to be on this Board at the
 
10:21     9       appointment of Commissioner Brogan.  I have with
 
10:21    10       me Dr. Steve Sorg, who is a member of the Board,
 
10:21    11       will come up to --
 
10:21    12            Steve, stand up so we can see you, please.
 
10:22    13            And Dr. Carol Darling, who is the Executive
 
10:22    14       Director for the Board.
 
10:22    15            We'd like to do three things this morning:
 
10:22    16       First of all, give you a brief history of
 
10:22    17       the Board, the Council, and then talk to you
 
10:22    18       about the 1995 annual report.  And then make a
 
10:22    19       petition to the Board about the future of the
 
10:22    20       Council.
 
10:22    21            We'd like to thank Commissioner Brogan, for
 
10:22    22       the Commission for giving us the life, for the
 
10:22    23       financing, for the support.  We came to
 
10:22    24       Commissioner Brogan with this report just two to
 
10:22    25       three weeks ago.  And gave an initial report to
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              23
 
10:22     1       him, and asked for his support to be here today
 
10:22     2       to present this report to the Cabinet.
 
10:22     3            I would now like to turn the podium over
 
10:22     4       to Dr. Steve Sorg, who will give you a review
 
10:23     5       and the history of the Council.
 
10:23     6            DR. SORG:  Good morning.
 
10:23     7            GOVERNOR CHILES:  Good morning.
 
10:23     8            DR. SORG:  I will make the history brief,
 
10:23     9       because I think the most important part of this
 
10:23    10       is the presentation of our sixth annual report.
 
10:23    11            The Council -- the Florida Education
 
10:23    12       Employment Council for Women and Girls was
 
10:23    13       formulated in 1989 by Commissioner of Education,
 
10:23    14       Betty Castor.
 
10:23    15            It has had the purpose of advising the
 
10:23    16       Commissioner of Education, through the Division
 
10:23    17       of Vocational Education, on matters related to
 
10:23    18       the equity in the education or employment of
 
10:23    19       women and girls, and training them for
 
10:23    20       employment.
 
10:23    21            All members have been appointed by the
 
10:23    22       Commissioner of Education.  And the group is a
 
10:23    23       very diverse group in regards to race, gender,
 
10:23    24       ethnicity.  It also represents a wide range of
 
10:23    25       groups representing Florida business, industry,
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              24
 
10:23     1       trade associations, public agencies, education,
 
10:23     2       advisory committees, and educational
 
10:23     3       institutions.
 
10:24     4            One of the purposes that the council has
 
10:24     5       served is to provide for the conduct of
 
          6       statewide needs assessments as prescribed by the
 
10:24     7       Carl Perkins Act or the State Equity
 
10:24     8       Administrator.
 
10:24     9            Now, we meet three to four times a year.
 
10:24    10       Two of those meetings have been public meetings
 
10:24    11       held around the state, soliciting information
 
10:24    12       from lay citizens, advocacy groups, and others
 
10:24    13       related to education and employment
 
10:24    14       opportunities for women and girls.
 
10:24    15            One of the things that we have done is to
 
10:24    16       produce an annual report each year, and this
 
10:24    17       year the sixth annual report is the topic of
 
10:24    18       interest.
 
10:24    19            We have done numerous things in the past.
 
10:24    20       The annual reports have been presented here on
 
10:24    21       several occasions, and the Commissioner has all
 
10:24    22       of those.
 
10:24    23            Last year, the grants that we hold at the
 
10:24    24       University of Central Florida to administer this
 
10:24    25       council conducted statewide educational needs
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              25
 
10:24     1       assessments for victims of domestic violence,
 
10:24     2       and it won a Governor's award last year for
 
10:25     3       prevention of domestic violence, and we were
 
10:25     4       pleased to receive that.
 
10:25     5            This report is kind of an extension of
 
10:25     6       that, and we at this time would like to present
 
10:25     7       to you the sixth annual report.
 
10:25     8            Thank you.
 
10:25     9            COLONEL JOE:  Governor, members of the
 
10:25    10       Cabinet, I would hope that you have a copy of
 
10:25    11       this report at your desk.  If possible, I'd like
 
10:25    12       to go through it with you as a means of
 
10:25    13       presenting it.
 
10:25    14            On page 2 of that report, which is the
 
10:25    15       contents, we have set the report up and looked
 
10:25    16       at the issues of teen pregnancy in the state of
 
10:25    17       Florida.  We feel that it is an issue that is of
 
10:25    18       importance to the citizens of this Florida --
 
10:25    19       for the state of Florida for a number of
 
10:25    20       reasons.
 
10:25    21            But as you can see from looking at the
 
10:25    22       contents, we looked at the issues related to
 
10:25    23       teenage pregnancy.  We then looked at programs
 
10:25    24       for the prevention of teenage pregnancy.  We
 
10:25    25       looked at programs for parents and parenting as
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              26
 
10:26     1       pertained to teenage pregnancy.
 
10:26     2            We then looked at legal issues pertaining
 
10:26     3       to this problem, and then there are a number of
 
10:26     4       appendices beginning with the recommendations
 
10:26     5       from the report in which there are 26
 
10:26     6       recommendations.
 
10:26     7            We constructed the report so that there are
 
10:26     8       recommendations at the end of each chapter.  So,
 
10:26     9       for example, teenage pregnancy and parenthood,
 
10:26    10       the issues, there are then recommendations at
 
10:26    11       the end of the issues portion as well.
 
10:26    12            The report will not allow me to obviously
 
10:26    13       do it -- every issue in detail.  So what I will
 
10:26    14       try to do is highlight and discuss with you some
 
10:26    15       pertinent points as I go through it.
 
10:26    16            The objective of the report was threefold:
 
10:26    17       We first of all wanted to compile and synthesize
 
10:26    18       information on teenage pregnancy.  There was a
 
10:26    19       lot of information out there, but we thought
 
10:26    20       that we could do a service for the state by
 
10:26    21       doing that.
 
10:27    22            Secondly, we wanted to educate and inform
 
10:27    23       Florida's policymakers and its citizens of the
 
10:27    24       financial and the societal cost that teenage
 
10:27    25       pregnancy has for our state, our nation, for the
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              27
 
10:27     1       teenage mother, for the parents where both
 
10:27     2       parents are involved, and for our state.
 
10:27     3            And then finally, we wanted to provide some
 
10:27     4       recommendations that we would hope that you
 
10:27     5       would agree to act on for us, and, therefore,
 
10:27     6       make a real difference in our state on the issue
 
10:27     7       of teen pregnancy.
 
10:27     8            This first slide provides you some
 
10:27     9       information, if you will.  Seventeen thousand
 
10:27    10       live births in the state of Florida in 1994.
 
10:27    11       You can see there where Florida ranks.  We
 
10:27    12       believe that the consequences of early
 
10:27    13       childbearing is devastating for teen mothers.
 
10:28    14            Some of the young girls that we ran into as
 
10:28    15       members of this committee as we visited
 
10:28    16       throughout your state, and our own individual
 
10:28    17       areas, to talk to young girls who were -- who
 
10:28    18       were pregnant and who were mothers, was
 
10:28    19       absolutely devastating to see ten year old,
 
10:28    20       twelve year old, fourteen year old girls who are
 
10:28    21       themselves kids and children, who are now
 
10:28    22       saddled with children to try and raise.
 
10:28    23            I'd like to ask you to turn to page 8 and
 
10:28    24       page 9 of your report.  And look at the second
 
10:28    25       column on page 8 where it says the cost of
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              28
 
10:28     1       teenage pregnancy and parenthood, and the
 
10:28     2       economic costs.
 
10:28     3            Children who have babies early do not
 
10:28     4       complete education, do not work themselves
 
10:28     5       through to a job, immediately have less income
 
10:28     6       for life than those who are able to delay
 
10:29     7       childbearing to later on.
 
10:29     8            It gives you the figures there on the
 
10:29     9       median income of a female headed household under
 
10:29    10       twenty-five years of age.  And it says that it's
 
10:29    11       $4,243 in 1989.
 
10:29    12            We feel that -- the reports say that we
 
10:29    13       spend 1.1 billion dollars on the children that
 
10:29    14       were born to teen parents in 1992 by the time
 
10:29    15       they have reached the age of twenty-five.
 
10:29    16            Now, in 1992, there were 17,158 children
 
10:29    17       born to teen parents; roughly 17,000 in '93; and
 
10:30    18       17,000 in '94.  If you just add those
 
10:30    19       three years up alone, we're talking about
 
10:30    20       51,965 children born to teen parents.  At an
 
10:30    21       average cost of, if you will, 1.1 billion
 
10:30    22       dollars by the time that we can get them to
 
10:30    23       adulthood and off of dependency for state
 
10:30    24       programs, the economic costs alone say that we
 
10:30    25       ought to do what we can to try and provide for a
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              29
 
10:30     1       prevention, if you will, of teen pregnancy in
 
10:30     2       our state.
 
10:30     3            The recommendations -- one other point.
 
10:30     4       I'm sorry.  Would you turn to page 14.  And then
 
10:30     5       we'll move to recommendations.
 
10:30     6            Page 14 says that there is a significant
 
10:30     7       correlation -- that's on the right-hand side at
 
10:30     8       the bottom of the page, and it's in bold
 
10:30     9       letters.
 
10:30    10            There is a significant correlation between
 
10:30    11       child and sexual abuse and teenage pregnancy.
 
10:30    12       And one report indicates that 66 percent of the
 
10:31    13       young women surveyed who became pregnant were
 
10:31    14       sexually abused.  And so there is a tremendous
 
10:31    15       linkage to this issue and to this problem, and
 
10:31    16       deserves a look.  And if there's anything we can
 
10:31    17       do in the state of Florida, we'd like to do
 
10:31    18       that.
 
10:31    19            And now the recommendations that go along
 
10:31    20       with the teen pregnancy and parenthood issues.
 
10:31    21            I will let you read them.  If you have
 
10:31    22       questions -- just comment on one.  And that is
 
10:31    23       that we would like to recommend the appointment
 
10:31    24       of a council, a statewide council, to look at
 
10:31    25       the initiatives -- to look at initiatives, to
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              30
 
10:31     1       see how as a state we could pull together,
 
10:31     2       community, schools, and otherwise to see if
 
10:31     3       there's something that we can do about -- about
 
10:31     4       this problem.
 
10:31     5            The next portion of the report talks about
 
10:31     6       programs for the prevention of teenage
 
10:31     7       pregnancy.  We think that prevention is a real
 
10:32     8       crux of this problem.  If we can prevent this
 
10:32     9       problem, then, of course, we can -- we can do
 
10:32    10       well to stop the cost in terms of dollars; the
 
10:32    11       societal cost; the cost to the parents; and,
 
10:32    12       of course, the cost to the children.
 
10:32    13            I'd like to direct your attention to
 
10:32    14       page 19, if you will.  At the top of the page
 
10:32    15       there, it says that there are several decision
 
10:32    16       points at which preventive programs can enter to
 
10:32    17       make a difference.  These decision points
 
10:32    18       represent where young teens first make the
 
10:32    19       decision to engage in sexual activity, and then
 
10:32    20       the decision to get -- engage in unprotected
 
10:32    21       sexual activity, and then make the choice to
 
10:32    22       keep the baby.
 
10:32    23            And what preventive programs can do is to
 
10:32    24       try and convince, first of all, young teens to
 
10:32    25       abstain from sex, to not have sex-- sexual
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              31
 
10:32     1       intercourse.  But then to go on and admit that
 
10:33     2       once they do become sexually active, once they
 
10:33     3       are the parents of children as teens, then we
 
10:33     4       should do what we can do to prevent second
 
10:33     5       pregnancies, because these persons become, in
 
10:33     6       many instances, wards of the state, they go on
 
10:33     7       to the welfare cycle, and it's -- and it's
 
10:33     8       necessary to break that cycle.
 
10:33     9            Good programs for prevention of teen
 
10:33    10       pregnancy involve parents, they involve peer
 
10:33    11       educators, they divide -- they involve
 
10:33    12       developing and improving the self-esteem of the
 
10:33    13       persons that -- these young teenagers who are
 
10:33    14       involved.
 
10:33    15            We think that schools should be involved,
 
10:33    16       we don't think that schools have all of the
 
10:33    17       answers to these situations, and, of course,
 
10:33    18       situations where schools and communities and
 
10:33    19       parents are involved we think are most
 
10:33    20       productive.
 
10:33    21            The recommendations reference this program
 
10:34    22       for the prevention of teen pregnancy are shown
 
10:34    23       here.
 
10:34    24            Next we'd like to look at some goals for
 
10:34    25       programs of pregnant and parenting teens.
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              32
 
10:34     1            Once these young teens have children, it is
 
10:34     2       so important for us as a state to provide
 
10:34     3       programs for them that will allow them to get
 
10:34     4       through school so that they can get a high wage
 
10:34     5       job and can be productive and not spend the rest
 
10:34     6       of their lives in a welfare cycle, and as wards
 
10:34     7       of the states -- of the state.
 
10:34     8            The risks, as you can see here, are just
 
10:35     9       absolutely horrible.  What happens to teenage
 
10:35    10       parents is that they don't go to school, they
 
10:35    11       finish -- they don't finish school, they fail at
 
10:35    12       school, they don't get employed, they risk
 
10:35    13       poverty.  One of the quickest signs or one of
 
10:35    14       the clear indicators of teenage pregnancy is
 
10:35    15       situations where -- where there is poverty.
 
10:35    16            One of the stories that -- that I ran into
 
10:35    17       as we walked around and looked at this is a
 
10:35    18       young man in my county who has reported as
 
10:35    19       somewhere in the neighborhood of nineteen
 
10:35    20       children fathered in our vicinity.
 
10:35    21            I met a young lady who fathered four of his
 
10:35    22       children who related to me that she knew the
 
10:35    23       mother of three of his other children.  And I
 
10:35    24       say, why should I pay taxes so that someone
 
10:35    25       who's about thirty something can have children
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              33
 
10:36     1       with a fourteen year old child; and as a state,
 
10:36     2       we have done nothing to him, and we've done
 
10:36     3       nothing to stop that process from occurring?
 
10:36     4       We -- we need to do something to break that
 
10:36     5       cycle.
 
10:36     6            I talked to a young lady who was pregnant,
 
10:36     7       and she was the first one that I ran into,
 
10:36     8       because most times you say young girls have
 
10:36     9       children by accident, or -- or they don't have
 
10:36    10       the facts.
 
10:36    11            But here was a young girl who had a child
 
10:36    12       because she wanted to.  And her reason for
 
10:36    13       having this child was because her sisters and
 
10:36    14       her cousins had children, and she wanted to have
 
10:36    15       one like them.
 
10:36    16            And, oh, by the way, yes, the mother was a
 
10:36    17       teenage parent, too; and, yes, they were all on
 
10:36    18       welfare, and that cycle was continuing.
 
10:36    19            And as a state, I think, that what we do is
 
10:36    20       look as hard as we can, yet how do we break this
 
10:37    21       cycle, and how do we provide programs and do the
 
10:37    22       kind of things that we need to do here, and then
 
10:37    23       get them hopefully in vocational programs; or if
 
10:37    24       it's possible to maintain the tracks in the
 
10:37    25       traditional track of school, get them in
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              34
 
10:37     1       education so that they can move on and not be
 
10:37     2       wards of the state.
 
10:37     3            Here are recommendations -- referenced
 
10:37     4       programs for parenting -- pregnant and parenting
 
10:37     5       teenagers.
 
10:37     6            I'd now like to move to legal issues.
 
10:37     7       This -- this is sort of a soapbox the Council
 
10:37     8       had -- very hard to try to keep me off of.  I'd
 
10:38     9       like to invite your attention to page -- I said
 
10:38    10       33.  And I think I have that on the wrong page.
 
10:38    11            I'm sorry, page 36, please.  Page 36.
 
10:38    12            I have a hard time understanding -- and I'm
 
10:38    13       an Army officer and I'm armor and tank corps and
 
10:38    14       all that, and I'm still active duty, and been to
 
10:38    15       Vietnam, and 29 years and -- citizen of Florida,
 
         16       Florida A&M University graduate, and
 
10:38    17       Florida State, and all that stuff.
 
10:38    18            And I have problems understanding why we
 
10:38    19       ought to have thirty-nine year old men,
 
10:38    20       twenty-nine year old men, forty year old men
 
10:38    21       having sex with eight, ten, eleven year old
 
10:38    22       girls, and nothing happening to them.
 
10:38    23            I think that it's something that our state
 
10:38    24       ought to act on, because it just, in my opinion,
 
10:38    25       doesn't make sense that we should continue to
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              35
 
10:38     1       let that occur in our state and in our society.
 
10:39     2            On page 36, it says that any person who has
 
10:39     3       unlawful carnal intercourse with any unmarried
 
          4       person of previous chaste character, who at the
 
10:39     5       time of same intercourse is under the age of
 
10:39     6       eighteen.
 
10:39     7            I invite your attention to the words of
 
          8       previous chaste condition.  What in the world
 
10:39     9       does that have to do with an old person, a
 
10:39    10       person who is majority, a person who is
 
10:39    11       twenty-nine, who's thirty, who's forty, having
 
10:39    12       sex with a ten year old, eleven year old
 
10:39    13       individual.
 
10:39    14            The stories are -- are there, it is still
 
10:39    15       happening in our state.  The age of people who
 
10:39    16       are having sex with many of the young girls in
 
10:39    17       our state by far exceed the age of the girls
 
10:39    18       that are impregnated.
 
10:40    19            Most of the pregnant -- most of the young
 
10:40    20       girls in our state who are pregnant or get
 
10:40    21       pregnant are not pregnant by their peers.  It is
 
10:40    22       not by other high school age or other teenage
 
10:40    23       persons who are of their age.
 
10:40    24            This is the recommendation that we have to
 
10:40    25       you reference the legal issues.  We would ask
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              36
 
10:40     1       you to please take a look at this statute, to
 
10:40     2       look at more forcefully prosecuting statutory
 
10:40     3       rape issues, and see what we can do to turn
 
10:40     4       around this issue of teenage pregnancy in our
 
10:40     5       state.
 
10:40     6            And finally, there is a number of
 
10:40     7       appendices that are in the report.  We would
 
10:40     8       invite you to please look at it, have members of
 
10:40     9       your staff to look at it.  And we feel that this
 
10:40    10       report can make a difference in the state of
 
10:41    11       Florida if it's looked at, and if we work on
 
10:41    12       some of the recommendations in those areas where
 
10:41    13       you're able to make a difference.
 
10:41    14            The final point that I said I would cover
 
10:41    15       with you today was one of asking for your
 
10:41    16       continuance of the council that I'm on.  I am
 
10:41    17       appointed to this council, as are the other
 
10:41    18       members, by Commissioner Brogan.  The very title
 
10:41    19       of the council says for the Education of Women
 
10:41    20       and Girls.
 
10:41    21            We're moving to a block grant environment.
 
10:41    22       We feel that we should move to an environment
 
10:41    23       where we are interested not only in women and
 
10:41    24       girls, but for all of the citizens of the state
 
10:41    25       of Florida where we're interested in gender and
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              37
 
10:41     1       equity issues for the whole state of Florida.
 
10:41     2       And with the end of Perkins, we beseech you to
 
10:41     3       appoint a council like this, even if it's a new
 
10:41     4       council, doesn't have to be this council.
 
10:42     5            This council is well constituted, it is
 
10:42     6       across the state in terms of its representation,
 
10:42     7       it is across a number of business and interests
 
10:42     8       in its representation, it has ethnic background
 
10:42     9       across the entirety of our state.
 
10:42    10            But we believe that you should have and
 
10:42    11       need a council like this to come to you and
 
10:42    12       bring advice, to visit the state and hear people
 
10:42    13       throughout the state of Florida on the equity
 
10:42    14       and fairness issues that approach you as a
 
         15       state.
 
10:42    16            How it would be funded, we're presently
 
10:42    17       funded out of the Commission of Education.  We
 
10:42    18       would hope that we could continue there.  But in
 
10:42    19       whatever way or means you decided to fund a
 
10:42    20       council that would be able to speak to the
 
10:42    21       equity and gender issues of this state, we would
 
10:42    22       encourage you to do so.
 
10:42    23            Subject to your questions, that completes
 
10:42    24       my presentation.
 
10:42    25            COMMISSIONER BROGAN:  Governor --
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              38
 
10:42     1            GOVERNOR CHILES:  Thank you, sir.
 
10:42     2            COMMISSIONER BROGAN:  -- on behalf of the
 
10:42     3       State Board of Education, I would just like to
 
10:43     4       thank Colonel Joe, and all the members of the
 
10:43     5       Commission for working so hard; and as you can
 
10:43     6       see, working so diligently on a variety of
 
10:43     7       important issues.
 
10:43     8            It is I think somewhat redundant to say
 
10:43     9       that we are all aware of the financial burden
 
10:43    10       that comes about for all of us when -- when
 
10:43    11       teenagers are engaged in these kinds of
 
10:43    12       activities.  We also recognize even more so the
 
10:43    13       burden that it places on the individuals trying
 
10:43    14       to seek the American dream, and lead the
 
10:43    15       American dream, when they start so early on with
 
10:43    16       the challenges that they face in these
 
10:43    17       situations.
 
10:43    18            And we know it's a pressure that in many
 
10:43    19       ways has been relegated to schools, in my humble
 
10:43    20       opinion, because many of our communities are not
 
10:43    21       addressing the problem the way they should and
 
10:43    22       turning to our schools for all of the answers to
 
10:43    23       some of society's greatest problems in the
 
10:43    24       limited time and the limited -- with the limited
 
10:43    25       resources that we have available.
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              39
 
10:43     1            Most importantly to me -- because,
 
10:44     2       of course, I've written many reports such as
 
10:44     3       this -- but I think within this report, there's
 
10:44     4       some very, very important information that's
 
10:44     5       alluded to by Colonel Joe, and that I was
 
10:44     6       fascinated with, and yet very, very upset
 
10:44     7       about.
 
10:44     8            And if you did, as I did, read through the
 
10:44     9       document, you see such bulletins on page 17
 
10:44    10       where it says -- and I'm reiterating some of
 
10:44    11       what Colonel Joe said -- men older than
 
10:44    12       high school age account for 77 percent of all
 
10:44    13       births among girls of high school age sixteen to
 
10:44    14       eighteen.  That's a staggering thought.
 
10:44    15            Because we get so stereotypically minded
 
10:44    16       and think that the vast majority of teenage
 
10:44    17       births are as a result of teenagers having
 
10:44    18       premarital sex, and then you see a statistic
 
10:44    19       like that which points out something so glaring,
 
10:44    20       that older men are involved in these kinds of
 
10:44    21       illegal --
 
10:44    22            And I really appreciate your pointing that
 
10:44    23       out.
 
10:44    24            -- patently illegal activities.  And more
 
10:45    25       often than not, without any sort of intervention
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              40
 
10:45     1       from -- from the system.
 
10:45     2            You also see a bullet there that says
 
10:45     3       two-thirds of the teenagers who give birth
 
10:45     4       provided no information about the father on the
 
10:45     5       birth certificate.
 
10:45     6            COLONEL JOE:  That's right.
 
10:45     7            COMMISSIONER BROGAN:  And I would suggest
 
10:45     8       that's a national trend that we're seeing.
 
10:45     9       I think what it does is create -- it's a very
 
10:45    10       sad classification within -- within the male
 
10:45    11       ranks that suggest that it's easy to be involved
 
10:45    12       in conception, it's another thing to actually
 
10:45    13       father a child.
 
10:45    14            And in my opinion -- and I'm sure that of
 
10:45    15       the members of the State Board -- father means
 
10:45    16       far more than just being --
 
10:45    17            COLONEL JOE:  That's correct.
 
10:45    18            COMMISSIONER BROGAN:  -- being involved in
 
10:45    19       the actual conception of that child.
 
10:45    20            And so I think it's a sad commentary when
 
10:45    21       we see so many of our youngsters involved in
 
10:45    22       these activities with older men, number one, who
 
10:45    23       in my opinion are just absolutely engaged in a
 
10:45    24       willful criminal act by taking advantage of a
 
10:45    25       vulnerable young person.
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              41
 
10:45     1            And I also believe that as we continue to
 
10:46     2       look at our entire system of welfare and -- and
 
10:46     3       how we're trying to help many of these teenagers
 
10:46     4       in this situation, we don't ever forget the fact
 
10:46     5       that two people have to be involved in
 
10:46     6       conception, and that I think we have been giving
 
10:46     7       a free ride to too many young men, and men who
 
10:46     8       are older over the years to become involved in
 
10:46     9       conception with absolutely no responsibility to
 
10:46    10       the actual fathering of those children.
 
10:46    11            Nationwide, the percentages of unwed
 
10:46    12       mothers are growing dramatically and
 
10:46    13       shockingly.  And I think a part of that is the
 
10:46    14       fact that men, whether they're young or old
 
10:46    15       enough to know better, are not forced to take
 
10:46    16       the responsibility for anything other than the
 
10:46    17       conception of these children, and I think it
 
10:46    18       makes a sad commentary about where our society
 
10:46    19       is headed.
 
10:46    20            And we really want to thank Colonel Joe and
 
10:47    21       the members of the Commission.  They come forth
 
10:47    22       annually with a number of statistical pieces
 
10:47    23       that have to do with girls and women.  This year
 
10:47    24       I think their report is important for many of
 
10:47    25       us.
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              42
 
10:47     1            And I think again, and I'll wrap up by
 
10:47     2       saying, we've got to constantly remind everyone
 
10:47     3       that the education of youngsters transcends the
 
10:47     4       classroom and the school campus.  It is a family
 
10:47     5       and a community activity as well.
 
10:47     6            And personal and individual responsibility
 
10:47     7       is something that I think is ignored too much as
 
10:47     8       we approach the 21st Century.  But it's even
 
10:47     9       becoming more important as we approach the
 
10:47    10       21st Century.  And it's something that we have
 
10:47    11       to return to, and that is suggesting that people
 
10:47    12       who break the rules have consequences that
 
10:47    13       should and must be paid, to send a clear message
 
10:47    14       to everyone that we simply cannot continue to
 
10:47    15       tolerate acts such as this in the future.
 
10:47    16            So, Colonel Joe, on behalf of all of us,
 
10:47    17       thank you again very much.  It's I think an
 
10:47    18       important piece, and we appreciate the
 
10:47    19       Commission as well.
 
10:48    20            Thank you, Governor.
 
10:48    21            GOVERNOR CHILES:  Thank you, Colonel.
 
10:48    22            COLONEL JOE:  Yes.
 
10:48    23            TREASURER NELSON:  Just one quick question.
 
10:48    24            Colonel --
 
10:48    25            MR. BEDFORD:  Colonel.
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              43
 
10:48     1            TREASURER NELSON:  -- does the intriguing,
 
10:48     2       yet shocking revelation of what Frank just
 
10:48     3       mentioned, three-quarters are -- of the fathers
 
10:48     4       are not high school --
 
10:48     5            COLONEL JOE:  Yes, sir.
 
10:48     6            TREASURER NELSON:  -- does that change in
 
10:48     7       any way the public receptivity to sexual
 
10:48     8       education in the schools?
 
10:48     9            COLONEL JOE:  I don't think it would change
 
10:48    10       the public receptivity.  It -- it's a community
 
10:48    11       issue, as you well know.  And so there are some
 
10:48    12       communities where it would be from one end of
 
10:48    13       the spectrum to the other.
 
10:48    14            Where it would go all the way from
 
10:48    15       involving the school, talking about the sexual
 
10:48    16       education, inviting -- providing contraceptives,
 
10:48    17       if necessary, to those communities where you
 
10:49    18       absolutely wouldn't talk about contraceptives at
 
10:49    19       all, but then would talk about the sexual
 
10:49    20       education piece in the classroom.
 
10:49    21            So I think that in those programs where we
 
10:49    22       found our research is that education about
 
10:49    23       sexuality, education about unsafe sex, which is
 
10:49    24       also a really -- these sexually transmitted
 
10:49    25       diseases -- and I didn't have time to go through
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              44
 
10:49     1       all that -- is also a real threat to our society
 
10:49     2       and to our state.  So we also have to try to
 
10:49     3       educate these teens on how to have safe sexual
 
10:49     4       activities, if they're going to have them, is
 
10:49     5       something that we really need to do.
 
10:49     6            I guess the frightening thing for me, and
 
10:49     7       what I -- what we wanted to relay is that here
 
10:49     8       is a good -- there's a large majority of this
 
10:49     9       activity that is going -- that is ongoing, and
 
10:49    10       it's illegal.
 
10:49    11            I mean, if we could stop the 77 percent of
 
10:49    12       older men and send this clear signal to them
 
10:49    13       that this is illegal, unwanted, and that we will
 
10:49    14       not tolerate this kind of behavior, we could
 
10:50    15       begin to see a decrease in the -- in the kind of
 
10:50    16       statistics and numbers that we have here.
 
10:50    17            COMMISSIONER BROGAN:  Governor, could I --
 
10:50    18            GOVERNOR CHILES:  Yes.
 
10:50    19            COMMISSIONER BROGAN:  -- could I address
 
10:50    20       that for just a minute, because it's an
 
10:50    21       important question.
 
10:50    22            I think that this information, because the
 
10:50    23       issue of -- of sexuality and sexual education,
 
10:50    24       of course, is going to be one that will be
 
10:50    25       debated well beyond all of us.
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              45
 
10:50     1            But I think appropriate information is
 
10:50     2       important for students.  You know, it's
 
10:50     3       interesting how we will talk to kindergarten
 
10:50     4       students in programs such as Stranger Danger,
 
          5       where we tell them to beware --
 
10:50     6            (Commissioner Crawford exited the room.)
 
10:50     7            COMMISSIONER BROGAN:  -- of those who would
 
10:50     8       actually do them harm out there in the adult
 
10:50     9       population.
 
10:50    10            But as youngsters start to get a little
 
10:50    11       older -- and I still consider seventeen year
 
10:50    12       olds as youngsters -- we start to take a
 
10:50    13       different approach to things like that.  And in
 
10:50    14       my opinion, those who would prey on the
 
10:50    15       vulnerability of a child of sixteen, seventeen,
 
10:50    16       or less --
 
10:50    17            COLONEL JOE:  We've got ten year olds,
 
10:50    18       eight year olds, eleven year olds.  It's just --
 
10:50    19            COMMISSIONER BROGAN:  -- are just as
 
10:50    20       dangerous to those youngsters as a potential
 
10:51    21       child molester in a park is to a five or six
 
10:51    22       year old, for different reasons, but with
 
10:51    23       shockingly the same kind of atrocities being
 
10:51    24       perpetrated out there.
 
10:51    25            I would think that a group that probably
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              46
 
10:51     1       should be aware of information such as this are
 
10:51     2       the students themselves, that they do need to be
 
10:51     3       wary of those who would prey on them, even if
 
10:51     4       they are seventeen, because it's possible to be
 
10:51     5       preyed upon by an older individual, that you've
 
10:51     6       got to be aware.
 
10:51     7            And a statistic such as that, which is so
 
10:51     8       frightening and so alarming I think would be
 
10:51     9       equally frightening and alarming to young people
 
10:51    10       to know, because they have the same
 
10:51    11       stereotypical --
 
10:51    12            (Commissioner Crawford entered the room.)
 
10:51    13            COMMISSIONER BROGAN:  -- view of teen
 
10:51    14       pregnancy that most teen pregnancy occurs with
 
10:51    15       other teenagers, to hear that they are
 
10:51    16       absolutely in peril when it comes to dealing
 
10:51    17       with older -- older adults who are actually
 
10:51    18       violating the law when they're engaged in these
 
10:51    19       activities.
 
10:51    20            COLONEL JOE:  And the education piece is so
 
10:51    21       important, again, because you have to remember
 
10:52    22       that some of this is family abuse.  It's some --
 
10:52    23       some of this occurs where young girls are in
 
10:52    24       families, and family members involved in sexual
 
10:52    25       abuse within the family.  And they need to be
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              47
 
10:52     1       taught self-esteem and coping techniques for how
 
10:52     2       to deal with that as well.
 
10:52     3            GOVERNOR CHILES:  Thank you, sir.
 
10:52     4            Did we adopt the --
 
10:52     5            ATTORNEY GENERAL BUTTERWORTH:  Is there a
 
10:52     6       motion to approve?
 
10:52     7            COMMISSIONER BROGAN:  I'll move to accept
 
10:52     8       the --
 
10:52     9            GOVERNOR CHILES:  Moved and second to
 
10:52    10       receive the report.
 
10:52    11            As many as favor, signify by saying aye.
 
10:52    12            Opposed, no.
 
10:52    13            Subject -- item 4.
 
10:52    14            MR. BEDFORD:  Item 4 is a repeal of 6A,
 
10:52    15       dash, 10.018, Time Shortened Educational
 
10:52    16       Programs.
 
10:52    17            COMMISSIONER BROGAN:  Move approval.
 
10:52    18            SECRETARY MORTHAM:  Second.
 
10:52    19            GOVERNOR CHILES:  Moved and seconded.
 
10:52    20            Without objection, it's approved.
 
10:52    21            MR. BEDFORD:  Items 5 through, and
 
10:52    22       including 14, we request deferral.
 
10:52    23            COMMISSIONER BROGAN:  Governor, I would
 
10:52    24       request that deferral.  And also to make
 
10:52    25       mention, lest you think this is becoming too
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              48
 
10:52     1       redundant, we are having some difficulty
 
10:53     2       reaching agreement with the Joint Administrative
 
10:53     3       Procedures Committee on some of these rules.
 
10:53     4            I recognize that these are dotted line
 
10:53     5       rules on my organizational chart and don't fall
 
10:53     6       directly beneath my purview.  But nevertheless,
 
10:53     7       I'm responsible for bringing them to you.
 
10:53     8            And we're trying to work these through with
 
10:53     9       the Joint Administrative Procedures Committee to
 
10:53    10       their satisfaction, as well as the satisfaction
 
10:53    11       of the group asking to promulgate the rule
 
10:53    12       changes.
 
10:53    13            So as soon as we arrive at that conclusion,
 
10:53    14       we will bring them forward.  I'm -- I'm a bit
 
10:53    15       concerned on this issue philosophically,
 
10:53    16       however.
 
10:53    17            I know, as you -- all the other agency
 
10:53    18       heads and the members of the Cabinet, I'm going
 
10:53    19       to be coming forward with volumes of rules for
 
10:53    20       repeal and amendment, et cetera, based on all of
 
10:53    21       our philosophies.  And we're trying to work
 
10:53    22       through some philosophical issues which abs--
 
10:53    23       hopefully we'll be able to do that soon and
 
10:53    24       bring these rules forward.
 
10:53    25            So we would like to defer this issue today.
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              49
 
10:53     1            GOVERNOR CHILES:  Motion to defer.
 
10:53     2            Is there a second?
 
10:54     3            SECRETARY MORTHAM:  Second.
 
10:54     4            GOVERNOR CHILES:  Second.
 
10:54     5            Without objection, it's deferred.
 
10:54     6            MR. BEDFORD:  Item 15, appointment to the
 
10:54     7       Education Practices Commission by
 
10:54     8       Commissioner Brogan.
 
10:54     9            Appointee:  Robert G. Walker as
 
10:54    10       Superintendent, September 30th, 1999; appointee,
 
10:54    11       Ronald S. Wright, Administrator, September 30th,
 
10:54    12       1999; appointee, Robert E. Burton, former
 
10:54    13       school board member, September 30th, 1999;
 
10:54    14       Jordon J. Corbett, former school board member,
 
10:54    15       September 30th, 1998; Patricia Schmoyer,
 
10:54    16       teacher, September 30th, 1999; and
 
10:54    17       Margaret A. Wolfe, teacher, September 30th,
 
10:54    18       1999.
 
10:54    19            COMMISSIONER BROGAN:  Move approval,
 
10:54    20       Governor.
 
10:54    21            SECRETARY MORTHAM:  Second.
 
10:54    22            GOVERNOR CHILES:  Moved and seconded.
 
10:54    23            Without objection, approved.
 
10:54    24            MR. BEDFORD:  Item 16, appointments to the
 
10:54    25       Education Standards Commission by
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              50
 
10:54     1       Commissioner Brogan.
 
10:54     2            Appointee:  Bobbie D' Alessandro,
 
10:54     3       Superintendent, September 30th, 1996;
 
10:54     4       Eloise Lisch, school board member,
 
10:55     5       September 30th, 1998; Barbara Sharpe,
 
10:55     6       school board member, September 30th, 1996;
 
10:55     7       William L. Proctor representing higher
 
10:55     8       education, September 30th, 1998; Kathy Johnson,
 
10:55     9       higher education, September 30th, 1998;
 
10:55    10       Diane Farmer, teacher, September 30th, 1998;
 
10:55    11       Mattie Rodriquez-Walling, teacher,
 
10:55    12       September 30th, 1998; James W. Pippen, teacher,
 
10:55    13       September 30th, 1998.
 
10:55    14            We wish to withdraw the name of
 
10:55    15       Patricia Carson, teacher.  She has been promoted
 
10:55    16       to an administrator and can no longer serve in
 
10:55    17       that position as a teacher.
 
10:55    18            Reappointee would be Rebecca McBride,
 
10:55    19       principal; and Mary Lopez, teacher, with terms
 
10:55    20       September 30th, 1998.
 
10:55    21            COMMISSIONER BROGAN:  Governor, I'd move
 
10:55    22       approval with special notation that we will
 
10:55    23       withdraw Patricia Carson, and come back with --
 
10:55    24       with a name as soon as we have one available to
 
10:56    25       the members of the State Board of Education.
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              51
 
10:56     1            SECRETARY MORTHAM:  Second.
 
10:56     2            GOVERNOR CHILES:  Moved and seconded.
 
10:56     3            Without objection, it's approved.
 
10:56     4            MR. BEDFORD:  Item 17,
 
10:56     5       State University System Information Technology
 
10:56     6       Resource Procurement Advisory Council report for
 
10:56     7       the fiscal year 1994-95.
 
10:56     8            You have in your backup packet the three
 
10:56     9       actions taken by that council, and it is a
 
10:56    10       four-information item.
 
10:56    11            COMMISSIONER BROGAN:  Do we need a motion
 
10:56    12       on for information, Governor?
 
         13            GOVERNOR CHILES:  Yeah, I think we do need
 
10:56    14       a motion.
 
10:56    15            COMMISSIONER BROGAN:  I move we approve.
 
10:56    16            COMMISSIONER CRAWFORD:  Second.
 
10:56    17            GOVERNOR CHILES:  Moved and seconded.
 
10:56    18            Without objection, it's approved.
 
10:56    19            MR. BEDFORD:  Item 18 is to repeal/revise
 
10:56    20       rules of Chapter 6C-6, Students.  This would be
 
10:56    21       State University System rules.
 
10:56    22            COMMISSIONER BROGAN:  Move approval.
 
10:56    23            SECRETARY MORTHAM:  Move approval.
 
10:56    24            GOVERNOR CHILES:  Moved and seconded.
 
10:56    25            Without objection, it's approved.
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              52
 
10:56     1            MR. BEDFORD:  Item 19, to repeal rules in
 
10:56     2       chapter 6C-8, Educational Delivery.
 
10:56     3            COMMISSIONER BROGAN:  Move approval.
 
10:56     4            SECRETARY MORTHAM:  Second.
 
10:56     5            GOVERNOR CHILES:  Moved and seconded.
 
10:57     6            Without objection, it's approved.
 
10:57     7            MR. BEDFORD:  Item 20, to repeal or revise
 
10:57     8       rules in Chapter 6C, dash, 10, Miscellaneous
 
10:57     9       Provisions.
 
10:57    10            COMMISSIONER BROGAN:  Move approval.
 
10:57    11            SECRETARY MORTHAM:  Second.
 
10:57    12            GOVERNOR CHILES:  Moved and seconded.
 
10:57    13            Without objection, it's approved.
 
10:57    14            MR. BEDFORD:  Item 21, revise Rule 6C,
 
10:57    15       dash, 10.001, Self Insurance Programs.
 
10:57    16            COMMISSIONER BROGAN:  Move approval.
 
10:57    17            SECRETARY MORTHAM:  Second.
 
10:57    18            GOVERNOR CHILES:  Moved and seconded.
 
10:57    19            Without objection, it's approved.
 
10:57    20            MR. BEDFORD:  Item 22, to revise Rule
 
10:57    21       6C-10, dash, 013, Certification of Residency for
 
10:57    22       Appropriated Program.
 
10:57    23            COMMISSIONER BROGAN:  Move approval.
 
10:57    24            SECRETARY MORTHAM:  Second.
 
10:57    25            GOVERNOR CHILES:  Moved and --
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                             STATE BOARD OF EDUCATION
                                 October 24, 1995
                                                              53
 
10:57     1            SECRETARY MORTHAM:  Second.
 
10:57     2            GOVERNOR CHILES:  -- seconded.
 
10:57     3            Without objection, it's approved.
 
10:57     4            MR. BEDFORD:  Thank you.
 
          5            (The State Board of Education Agenda was
 
          6       concluded.)
 
          7                             *
 
          8
 
          9
 
         10
 
         11
 
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         13
 
         14
 
         15
 
         16
 
         17
 
         18
 
         19
 
         20
 
         21
 
         22
 
         23
 
         24
 
         25
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                            ADMINISTRATION COMMISSION
                                 October 24, 1995
                                                              54
 
10:57     1            GOVERNOR CHILES:
 
10:57     2       Administrative Commission.
 
10:57     3            DR. BRADLEY:  Item number 1, recommend
 
10:57     4       approval of the minutes of the meeting held
 
10:57     5       October 12th, 1995.
 
10:57     6            COMMISSIONER BROGAN:  So move, Governor.
 
10:57     7            SECRETARY MORTHAM:  Second.
 
10:57     8            GOVERNOR CHILES:  Moved and seconded.
 
10:57     9            Without objection, minutes are approved.
 
10:57    10            DR. BRADLEY:  Item 2 A., recommend the
 
10:57    11       transfer of general revenue appropriations from
 
10:58    12       administered funds to the Department of Banking
 
10:58    13       and Finance.
 
10:58    14            COMMISSIONER BROGAN:  Move approval.
 
10:58    15            ATTORNEY GENERAL BUTTERWORTH:  Second.
 
10:58    16            GOVERNOR CHILES:  Moved and seconded.
 
10:58    17            Without objection, it's approved.
 
10:58    18            DR. BRADLEY:  Item 2 B., recommend the
 
10:58    19       transfer of general revenue appropriations in
 
10:58    20       the Department of Banking and Finance.
 
10:58    21            COMMISSIONER BROGAN:  Move approval.
 
10:58    22            SECRETARY MORTHAM:  Second.
 
10:58    23            ATTORNEY GENERAL BUTTERWORTH:  Second.
 
10:58    24            GOVERNOR CHILES:  Moved and seconded.
 
10:58    25            Without objection, it's approved.
                        ACCURATE STENOTYPE REPORTERS, INC.
 

                            ADMINISTRATION COMMISSION
                                 October 24, 1995
                                                              55
 
10:58     1            DR. BRADLEY:  Item number 3, recommend the
 
10:58     2       establishment of position in excess of the
 
10:58     3       number fixed by the Legislature in the
 
10:58     4       Department of Environmental Protection.
 
10:58     5            SECRETARY MORTHAM:  Move approval.
 
10:58     6            COMMISSIONER BROGAN:  Second.
 
10:58     7            COMPTROLLER MILLIGAN:  Second.
 
10:58     8            GOVERNOR CHILES:  Moved and seconded.
 
10:58     9            Without objection, it's approved.
 
10:58    10            DR. BRADLEY:  Item number 4, recommend the
 
10:58    11       transfer of general revenue appropriations in
 
10:58    12       the Department of Health and Rehabilitative
 
10:58    13       Services.
 
10:58    14            SECRETARY MORTHAM:  Move approval.
 
10:58    15            COMMISSIONER BROGAN:  Second.
 
10:58    16            GOVERNOR CHILES:  Moved and seconded.
 
10:58    17            Without objection, it's approved.
 
10:58    18            DR. BRADLEY:  Item number 5, recommend the
 
10:58    19       transfer of general revenue appropriations in
 
10:58    20       the Florida Department of Law Enforcement.
 
10:58    21            COMMISSIONER BROGAN:  Move approval.
 
10:58    22            SECRETARY MORTHAM:  Second.
 
10:58    23            GOVERNOR CHILES:  Moved and seconded.
 
10:58    24            Without objection, it's approved.
 
10:58    25            DR. BRADLEY:  Item number 6, recommend the
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10:58     1       transfer of fixed capital outlay appropriations.
 
10:58     2            COMMISSIONER BROGAN:  Move approval.
 
10:59     3            ATTORNEY GENERAL BUTTERWORTH:  Second.
 
10:59     4            GOVERNOR CHILES:  Moved and seconded.
 
10:59     5            ATTORNEY GENERAL BUTTERWORTH:  Second.
 
10:59     6            GOVERNOR CHILES:  Moved and seconded.
 
10:59     7            Without objection, it's approved.
 
          8            (The Administration Commission Agenda was
 
          9       concluded.)
 
         10                             *
 
         11
 
         12
 
         13
 
         14
 
         15
 
         16
 
         17
 
         18
 
         19
 
         20
 
         21
 
         22
 
         23
 
         24
 
         25
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10:59     1            GOVERNOR CHILES:  FLAWAC.
 
10:59     2            DR. BRADLEY:  Item number 1, request
 
10:59     3       approval of the minutes of September 14th, 1995,
 
10:59     4       Commission meeting.
 
10:59     5            COMMISSIONER BROGAN:  So move.
 
10:59     6            ATTORNEY GENERAL BUTTERWORTH:  Second.
 
10:59     7            GOVERNOR CHILES:  Moved and seconded.
 
10:59     8            Without objection, it's approved.
 
10:59     9            DR. BRADLEY:  Item number 2 is a request --
 
10:59    10       the authorization to enter a draft final order.
 
10:59    11       We have a number of individuals here to speak on
 
10:59    12       this issue.
 
10:59    13            David Theriaque from Edgewater Beach Owners
 
10:59    14       Association; Marti Chumbler, KMP, Ltd.;
 
         15       David Jordan from DCA; and also available to
 
         16       speak if you have any questions is George Miller
 
         17       from Walton County --
 
         18            GOVERNOR CHILES:  Do you have some kind of
 
         19       time frame?
 
         20            DR. BRADLEY:  Five minutes?
 
         21            The first person would be David Theriaque
 
         22       from the Edgewater Beach Owners Association.
 
         23            MR. THERIAQUE:  Good morning.
 
         24            My name is David Theriaque, I represent the
 
         25       Association.
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          1            Before I turn to our arguments regarding
 
          2       the recommended order, I'd like to briefly
 
          3       address our motion to abate, which we filed
 
          4       along with our exceptions to the recommended
 
          5       order.
 
          6            The basis for our rec-- our motion to abate
 
          7       is that the order before you and the 1993
 
          8       resolution, which is the crux of that
 
          9       recommended order from the hearing officer is no
 
         10       longer the project.
 
         11            In 1995, Walton County approved another
 
         12       resolution which superseded the 1993 resolution,
 
         13       which forms a basis of the case that's before
 
         14       you.
 
         15            In the 1993 resolution, the -- excuse me --
 
         16       the 1995 resolution, Walton County changed the
 
         17       configuration, at the request of KPM, and
 
         18       changed it from the 19 town homes and the
 
         19       282 units to a 24-story condominium unit.
 
         20            And there's a case pending before DOAH at
 
         21       this point challenging the '95 resolution.
 
         22       Well, after the '95 resolution was adopted, KPM,
 
         23       one of the defendants in this case, sold the
 
         24       property to Paul Freeman of the Grand Dunes.  So
 
         25       the defendant that's before you in the '93 case
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          1       no longer even owns the property.
 
          2            And Mr. Freeman has subsequently filed
 
          3       another notice of proposed change to change the
 
          4       project again.  That was just filed the
 
          5       beginning of October.
 
          6            So essentially you're hearing a case today
 
          7       that nobody has any intention to build, and one
 
          8       of the defendants is no longer even involved in
 
          9       the case any more.
 
         10            You will hear argument that it's crucial
 
         11       that you resolve this case because one of the
 
         12       issues is whether or not you can resolve --
 
         13       whether you can revive a development order that
 
         14       has expired.
 
         15            However, the issues that you will not be
 
         16       able to resolve in the other cases which will
 
         17       continue on are standing questions, are
 
         18       questions about what happens after a development
 
         19       order is revived, whether or not it has to
 
         20       comply with the current Comprehensive Plan and
 
         21       the current regulations.
 
         22            And we would contend that those are issues
 
         23       that should be addressed at the same time as the
 
         24       issue of whether or not the development order
 
         25       could be revived.  And we would request that you
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          1       abate the 1993 proceeding until the 1995 case is
 
          2       resolved.
 
          3            As a further point, the 1995 case, which
 
          4       was scheduled for hearing in November, has been
 
          5       abated as well to allow the new owner to
 
          6       submit -- which they have another notice of
 
          7       proposed change for a different project.
 
          8            So that hearing officer is staying that
 
          9       case so we can get whatever the final project is
 
         10       going to be for the remainder of the Edgewater
 
         11       DRI.  Now, at this point, we simply don't know.
 
         12            Turning to our objections -- or exceptions
 
         13       to the recommended order.  I'll be very brief
 
         14       with this.
 
         15            On the merits, we contend quite simply that
 
         16       when a development order has an expiration date
 
         17       and the time passes, that it's dead.
 
         18       Section 380.06 provides the requirement that all
 
         19       development orders contain a termination date.
 
         20       There is no language in the statute whatsoever
 
         21       that states, well, it's only sort of dead, that
 
         22       you can take it back from the grave and breathe
 
         23       life into it six months, a year, two years,
 
         24       five years down the road.
 
         25            At the time that Walton County adopted this
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          1       resolution, section 380.06 did not have a
 
          2       termination requirement.  The County was ahead
 
          3       of itself, and actually required that a
 
          4       termination date be included in the resolution.
 
          5            The Florida Legislature in 1985,
 
          6       recognizing that we have these development
 
          7       orders that have no termination dates pending
 
          8       throughout the entire state, some have referred
 
          9       to them as dinosaurs, because they're vested
 
         10       from the current comprehensive plan.  They can
 
         11       build out without having to comply with current
 
         12       regs.  The Florida Legislature in 1985 amended
 
         13       380.06 to require a termination date so that at
 
         14       some point in time these things die.
 
         15            Regarding the standing, the hearing officer
 
         16       held that we did not have standing.  The
 
         17       association failed to quantify the impacts that
 
         18       would take place to its retention pond.
 
         19            I respectfully submit that that's an
 
         20       impossible burden.  The storm water retention
 
         21       plan submitted by KPM is not the final plan.
 
         22       And, indeed, the evidence was undisputed at the
 
         23       hearing that the groundwater model necessary to
 
         24       determine how their retention system was going
 
         25       to function was never performed.
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          1            In essence, the hearing officer would have
 
          2       us performing functions that the -- KPM itself
 
          3       had never performed.  And we are -- the
 
          4       Association was held to a burden of trying to
 
          5       prove something that it could never prove.
 
          6            The second basis for our standing is that
 
          7       it's also undisputed among DCA, among
 
          8       Walton County, by my clients, that my clients,
 
          9       which turn -- this is the half that was
 
         10       constructed, the half that's on my right.  This
 
         11       is the half that was never constructed.
 
         12            All parties agree that if my clients were
 
         13       to do any change to what's been constructed,
 
         14       that they still have to comply with the
 
         15       notification of proposed change requirements in
 
         16       the DRI statute, that they are still bound by
 
         17       those regulations.  And yet we are told --
 
         18            My 5 minutes are up?
 
         19            I'm told my 5 minutes are up.  If I can
 
         20       have one more minute, sir.
 
         21            Thank you.
 
         22            That was a quick 5 minutes.
 
         23            And yet we are --
 
         24            COMMISSIONER BROGAN:  Time flies when
 
         25       you're having fun, right?
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          1            MR. THERIAQUE:  And yet we are told that
 
          2       while we are bound by the regulations of the DRI
 
          3       statute, that we don't have standing, we don't
 
          4       have any of the -- the attributes of qualifying
 
          5       for being bound.
 
          6            And lastly, the public policy that's at
 
          7       issue here, this is a case of first impression.
 
          8       There is no case law.  This is an opportunity
 
          9       for you all to establish a state policy on
 
         10       issues of this nature.
 
         11            If Hurricane Opal has taught us anything,
 
         12       it should have taught us that low density
 
         13       development is what should occur on our
 
         14       beaches.  If this development order is revived,
 
         15       it revives 19 town homes and 282 condo units.
 
         16       If this development order is terminated, it
 
         17       allows for approximately 84 condo units.
 
         18            I would submit that for the state public
 
         19       policy, the Governor and Cabinet should take a
 
         20       position that we promote, wherever possible, the
 
         21       lowest density development on the beaches.
 
         22            Thank you.
 
         23            GOVERNOR CHILES:  Thank you.
 
         24            COMMISSIONER BROGAN:  Can I ask a question
 
         25       before he leaves the podium, Governor?
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          1            GOVERNOR CHILES:  Yes, sir.
 
          2            COMMISSIONER BROGAN:  How many units in
 
          3       Edgewater?
 
          4            MR. THERIAQUE:  One hundred and
 
          5       seventy-five.
 
          6            COMMISSIONER BROGAN:  Significantly --
 
          7            GOVERNOR CHILES:  How many units would have
 
          8       been there if the other side of the horseshoe
 
          9       had been completed?
 
         10            MS. CHUMBLER:  Three hundred and one.
 
         11            MR. THERIAQUE:  Three hundred and one.  If
 
         12       the other side had been completed, sir.
 
         13            GOVERNOR CHILES:  Total of 175 --
 
         14            MR. THERIAQUE:  And 301.
 
         15            GOVERNOR CHILES:  And 301.
 
         16            MR. THERIAQUE:  Yes, sir.
 
         17            MS. CHUMBLER:  Right.  For
 
         18       four seventy-six.
 
         19            MR. THERIAQUE:  For a total -- and that was
 
         20       back in 1982 when it was approved prior to the
 
         21       new comp plan.
 
         22            Thank you.
 
         23            DR. BRADLEY:  The next speaker is
 
         24       Marti Chumbler of KMP.
 
         25            MS. CHUMBLER:  Governor, members of the
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          1       Cabinet, I'm Marti Chumbler with the Carlton,
 
          2       Fields law firm here representing KPM, the
 
          3       developer.
 
          4            If I could, I'd like to respond to a couple
 
          5       of the things that Mr. Theriaque mentioned to
 
          6       you.
 
          7            First, he mentioned that the present owner
 
          8       of the property, my client's property, is no
 
          9       longer KPM.  That's not quite right.  KPM is
 
         10       still a part owner of this property due in large
 
         11       part to the cost of litigation.  This litigation
 
         12       has been going on since '93.
 
         13            KPM found it necessary to bring in a new
 
         14       partner to help finance the project.  And as a
 
         15       result of that, we now have a second partner who
 
         16       is now part owner of the property.  But KPM is
 
         17       still here, KPM is still present, and is still
 
         18       part owner of the property.
 
         19            Mr. Theriaque also spoke to you about the
 
         20       need for a motion to grant his motion to abate.
 
         21       I would suggest to you that that would not be
 
         22       appropriate.
 
         23            There have been a number of changes in this
 
         24       project through the years, beginning first with
 
         25       the project in '82 that would have had a total
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          1       of 476 units.
 
          2            In '93, my client came in and asked for a
 
          3       downsizing of their phases -- remaining phases
 
          4       of the project.  It would have been 301 units
 
          5       under the original plan.
 
          6            In the proposal that's -- or the resolution
 
          7       that's before you today, they would have
 
          8       downsized that to 286 units.
 
          9            Their -- their plan in '93, what you
 
         10       actually have before you today, would have
 
         11       consisted of 19 town homes on the beach side of
 
         12       the property here, with subsequent phases of
 
         13       high-rise condos back from the beach toward the
 
         14       rear of the property.
 
         15            And it -- before my client could come to
 
         16       the -- could build those subsequent phases, they
 
         17       would have had to go back to the county for
 
         18       additional approval.
 
         19            Unfortunately there -- even though this
 
         20       body originally dismissed the appeal challenging
 
         21       that '93 resolution, the District Court of
 
         22       Appeal reversed, there was a long delay because
 
         23       of that intervening period of two years, we're
 
         24       now back before you on a resolution that was
 
         25       first granted in 1993.
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          1            And the real estate market simply changed.
 
          2       The change that occurred between '93 -- the '93
 
          3       resolution and the '95 resolution simply
 
          4       reflects my clients looking at the real estate
 
          5       market in the area and realizing that what was
 
          6       marketable in '93 was no longer marketable in
 
          7       '95.
 
          8            And so they went to the County in '95 and
 
          9       asked for an amendment.  Now, that amendment is
 
         10       not final.  There was a resolution passed by the
 
         11       County, and -- in January of '95 -- excuse me --
 
         12       April of '95.  But the Edgewater Beach
 
         13       Condominium Association has challenged that in
 
         14       three separate forums, two court cases that are
 
         15       still pending, and one FLAWAC appeal that's
 
         16       still pending.
 
         17            So we don't have a '95 order yet.  We don't
 
         18       know if we'll ever have a '95 order.
 
         19            The second reason the project has changed,
 
         20       and I think that's most reflected in the
 
         21       amendment that now is pending before the County,
 
         22       has been an attempt by my client to negotiate
 
         23       with -- with Edgewater to try to downsize the
 
         24       project and make the project one that's more
 
         25       palletable to Edgewater.
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          1            The '95 order that's been approved by the
 
          2       County would have had 281 units in the
 
          3       subsequent phases.  The amendment that's now
 
          4       pending before the County would downsize that to
 
          5       178 units.
 
          6            So what we keep doing is going back to
 
          7       Edgewater, trying to come up with a project that
 
          8       would be more acceptable to them.  And yet still
 
          9       be a marketable project.
 
         10            Having this property means nothing to my
 
         11       client if they can't sell it, and if they can't
 
         12       find people who are willing to purchase units on
 
         13       this property.
 
         14            He also mentioned to you Opal and the need
 
         15       to have low density development on this
 
         16       property.  George Ralph Miller, the County
 
         17       Attorney is here, and he I think can tell you
 
         18       from firsthand inspection of the area that the
 
         19       projects that were harmed in this area were not
 
         20       the high density condominiums.  They did very
 
         21       well.  The new construction condominiums out
 
         22       there withstood Opal very well.  It was the low
 
         23       density, older construction that was harmed on
 
         24       these beachfronts.
 
         25            Now, to get you to what are the real merits
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          1       of this case, the hearing officer found that the
 
          2       Department of Community Affairs' long-standing
 
          3       policy that a local government can decide
 
          4       whether it wants to revive a development order
 
          5       is an appropriate policy.
 
          6            Mr. Jordan from the Department of Community
 
          7       Affairs is going to come and tell you why those
 
          8       are -- that is a good policy, and it's one that
 
          9       should be continued.
 
         10            What I want to tell you is what it means to
 
         11       my client if you make a decision contrary to
 
         12       that recommendation.
 
         13            My client went to the County in '92, right
 
         14       after they took possession of this property; and
 
         15       said, we've got a development order that's about
 
         16       to expire, what do we do?
 
         17            They were told, simply come to the
 
         18       Commission and ask for it to be extended.  They
 
         19       did that to the County Commission.
 
         20            Everything that my client has done since
 
         21       they took possession of this property has been
 
         22       at the express direction of either the county or
 
         23       the Department of Community Affairs.
 
         24            If my client had chosen to ignore
 
         25       directions they had gotten from governmental
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          1       entities, those who supposedly knew what they
 
          2       were doing, we could have had a project built.
 
          3            And instead, we decided to follow the
 
          4       rules.  And following the rules, we now find
 
          5       ourselves before you today saying, we don't
 
          6       really care whether you revive the development
 
          7       order or not, but if you decide not to, put us
 
          8       back where we were in 1992, let us follow those
 
          9       rules, and build a project.
 
         10            Thank you.
 
         11            Any questions before I --
 
         12            TREASURER NELSON:  Yes.
 
         13            GOVERNOR CHILES:  Yes, sir.
 
         14            TREASURER NELSON:  The existing building
 
         15       that's shown in that graphic right there --
 
         16            MS. CHUMBLER:  Yes, sir.
 
         17            TREASURER NELSON:  -- how far is the most
 
         18       seaward portion of that building from the
 
         19       existing Gulf?
 
         20            MS. CHUMBLER:  I don't know the footage.
 
         21       But I can tell you that when this original
 
         22       project was built, it was to be built right out
 
         23       to the then existing Coastal Construction Line.
 
         24            Since that time, the Coastal Construction
 
         25       Line has been backed up.  The existing building
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          1       extends beyond that Coastal Construction Line,
 
          2       as would have the subsequent phases.
 
          3            Now, each of the -- the amendments that my
 
          4       client has sought to make this have been behind
 
          5       the new Coastal Construction Line.
 
          6            TREASURER NELSON:  All right.  But --
 
          7            MS. CHUMBLER:  I can't give you exact
 
          8       footage or --
 
          9            TREASURER NELSON:  But the question is, and
 
         10       it sparked my curiosity, because I've flown over
 
         11       that building twice in the days right after the
 
         12       hurricane, and I'd like to know how close is the
 
         13       end of that building to the water.
 
         14            MS. CHUMBLER:  Mr. --
 
         15            TREASURER NELSON:  From my perch in the
 
         16       helicopter, it looked very close.
 
         17            MS. CHUMBLER:  Mr. Miller may be able to
 
         18       address that.  I don't have --
 
         19            TREASURER NELSON:  Do we have an answer?
 
         20            MR. MILLER:  No, sir, I don't know.  I
 
         21       would say 200 feet or more.
 
         22            (Governor Chiles exited the room.)
 
         23            TREASURER NELSON:  That's not what I saw.
 
         24            MR. MILLER:  It's quite a distance after
 
         25       Opal, I assure you.  The shoreline has been
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          1       extended, the depth of it.
 
          2            TREASURER NELSON:  Counselor, where is the
 
          3       Coastal Control Line now?
 
          4            MS. CHUMBLER:  The Coastal Construction --
 
          5       I confess, I have not been there since the
 
          6       storm.
 
          7            There was a line of dunes here, and the
 
          8       Coastal Construction Line was immediately behind
 
          9       the pre-storm dune line.
 
         10            TREASURER NELSON:  All right.  Show me on
 
         11       the existing building where the --
 
         12            MS. CHUMBLER:  Well --
 
         13            TREASURER NELSON:  -- Coastal Line would
 
         14       be.
 
         15            MS. CHUMBLER:  Commissioner Nelson, perhaps
 
         16       the easiest -- I don't know if you have a copy
 
         17       of the diagram that we handed out to the aides,
 
         18       I'd be glad to provide you with a copy -- on --
 
         19       in fact, I'll let everyone have a copy if they'd
 
         20       like.
 
         21            What I'm handing you is several diagrams of
 
         22       some of the various permutations this project
 
         23       has gone through.
 
         24            If you turn to page 2 of that, you'll see a
 
         25       dashed line there that indicates what the
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          1       original Coastal Construction Line was.
 
          2            And then if you look at the fourth page,
 
          3       you'll see two dashed lines across the
 
          4       property.  The first that's -- the dashes are
 
          5       slightly at greater distance from each other is
 
          6       the original line.  The second is the present
 
          7       Coastal Construction Line.
 
          8            Does that help you?
 
          9            TREASURER NELSON:  Yeah.  It sure does.
 
         10       That answers my question.
 
         11            MS. CHUMBLER:  Okay.
 
         12            SECRETARY MORTHAM:  Any other questions?
 
         13            COMMISSIONER BROGAN:  Before I ask, we
 
         14       still have another speaker, or speakers?
 
         15            I'll wait.
 
         16            DR. BRADLEY:  The third speaker is
 
         17       David Jordan of DCA.
 
         18            (Governor Chiles entered the room.)
 
         19            MR. JORDAN:  Good morning.  The Department
 
         20       intervened in this case, because this is the
 
         21       first time that the issue of how to deal with an
 
         22       expired DRI and the revived DRI has been
 
         23       presented to a hearing officer and to this
 
         24       Commission.
 
         25            The Department has dealt with this issue
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          1       with many expired DRI development orders over
 
          2       the years, involving many different kinds and
 
          3       sizes of DRIs, ranging from a relatively small
 
          4       shopping mall that was almost completed when the
 
          5       development order expired, all the way up to a
 
          6       very large DRI covering many acres with
 
          7       development scattered all across the landscape
 
          8       covered by the DRI development order.
 
          9            And we were trying to ask -- we asked the
 
         10       hearing officer to approve our policy as being
 
         11       something that made sense not only in its regard
 
         12       to this DRI, but in regards to having -- as it
 
         13       would be applied to DRIs in general throughout
 
         14       the years.
 
         15            The hearing officer did accept our policy,
 
         16       and we think it makes sense, especially in light
 
         17       of the very detailed provisions of the statute
 
         18       regarding how to amend a DRI development order
 
         19       and how to abandon a DRI development order, both
 
         20       of which tell you to take into account the
 
         21       impacts of the change in approving either the
 
         22       abandonment or the amendment.
 
         23            The Department would ask the Commission to
 
         24       approve your propos-- your staff's proposed
 
         25       final order, which adopt