Florida Cabinet Meeting: May 2008 Report

The Florida Cabinet (“Cabinet”) recently met in Tallahassee, Florida and discussed several insurance-related matters. The following is a brief summary of the discussions that took place and actions taken by the Cabinet on pertinent matters. To view a copy of the complete meeting agenda, click here.

State Board of Administration (“SBA”)

SBA Interim Executive Director General Bob Milligan, representing the Florida Hurricane Catastrophe Fund (“FHCF”), requested approval to file the following items:

• Emergency Rule 19ER08-1 (relating to the FHCF Reimbursement Contract) upon CS/CS/SB 2860 and 1196 becoming law.

CS/CS/SB 2860 and 1196, passed by the 2008 Florida Legislature and signed into law by Governor Charlie Crist, extended the $10 million optional FHCF coverage program for an additional year. The requested Emergency Rule would authorize an addendum to the Reimbursement Contract (Addendum 4) that would provide for this optional coverage.

• Notice of Proposed Rulemaking to amend Rule 19-8.010 (Reimbursement Contract) to incorporate the changes made by Emergency Rule 19ER08-1 upon its filing and effective date.

Both Requests for Approval were approved by the Cabinet with no objections.

General Milligan also requested approval of the following proposed SBA budgets for Fiscal Year 2008-2009:

• State Board of Administration
• Public Employee Optional Retirement Program
• Florida Hurricane Catastrophe Fund
• Division of Bond Finance
• Florida Prepaid College Board

These budgets represent no cost increase to any participant.

Governor Crist clarified that these SBA budgets have increased 19.95 percent from Fiscal Year 2007-2008.

The budgets were approved by the Cabinet with no objections.

Following a brief discussion on an ongoing investigation into the possibility that the SBA may file claims against broker-dealers regarding the sale of unregistered funds, the meeting was adjourned.

Should you have any questions or comments, please do not hesitate to contact Colodny, Fass, Talenfeld, Karlinsky, & Abate

 

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