* * * * * AGENDA * * * * * ELECTIONS * * New Chairperson will now facilitate the meeting.* * REVIEW and APPROVAL OF MINUTES (Handout A) Chair
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1 DIVISION OF HOTELS AND RESTAURANTS ADVISORY COUNCIL MEETING Wednesday, January 25, :00 a.m. 11:00 a.m. Department of Business and Professional Regulation Capital Commerce Center Secretary s Conference Room 2601 Blair Stone Road, Tallahassee, FL Conference Call #: 1(888) , Conference Code: # MEMBERS: Gregg Nicklaus, Sirata Beach Resort; George E. Glover, Council Chair, BayStar Hotel Group; Christina Johnson, On 3 Public Relations; Scott Justice, Walt Disney World; Rebecca Kelly, Street Chefs; Trey Goldman, Council Vice Chair, Florida Association of Realtors; Dr. Donald Farr, Dedman School of Hospitality, Florida State University; Josh Gold, Florida Apartment Association; Carol B. Dover, Florida Restaurant & Lodging Association; Paul Hayes, Florida Vacation Rental Managers Association. * * * * * AGENDA * * * * * I. CALL TO ORDER A. Opening Remarks Scott Justice, Council Chair B. Roll Call Suzanne Keele, DBPR C. Introduction of Guests Scott Justice, Council Chair II. III. IV. ELECTIONS * * New Chairperson will now facilitate the meeting.* * REVIEW and APPROVAL OF MINUTES (Handout A) Chair DIVISION UPDATE A. Financial Report (Handout B) Larry Hurley, Chief of Finance & Accounting B. Division Report Rick Akin, Director Inspection Staff Retention Proposal C School-to-Career Grant Update Cathy Tucker, Chief of Sanitation & Safety Inspections D. Rules and Legislative Update Cindy Ross, DBPR (Handout C) V. INDUSTRY UPDATE A. Florida Apartment Association B. Florida Association of Realtors C. Florida Restaurant & Lodging Association D. Florida Vacation Rental Managers Association VI. VII. VIII. OLD BUSINESS A. NEW BUSINESS Other issues open discussion Schedule next meeting/conference call ADJOURN
2 Handout A MINUTES Florida Department of Business and Professional Regulation 1940 North Monroe Street Tallahassee, FL CALL TO ORDER The meeting was called to order by George Glover, Chair, at 9:02 a.m. ROLL CALL The roll was taken by Ms. Suzanne Keele, H&R staff, with the following members present: Gregg Nicklaus George Glover Dr. Jane Boyd Ohlin Rebecca Kelly Paul Hayes Scott Justice Christina Johnson Geoff Luebkemann (in attendance for Carol Dover) OTHER ATTENDEES: Diann Worzalla, Division Director Rick Akin, Division Deputy Director Steve von Bodungen, Chief, BSSI Cindy Ross, Division Rules Coordinator Michelle Haynes, Deputy Chief, BSSI Suzanne Keele, Division HR Liaison Chris Carson, Chief, Field Services Marc Drexler, OGC Eric Thiele, Finance and Accounting Paula Crosby, Finance and Accounting Susan McKinley, FRLA Prior to continuing with the agenda, Geoff Luebkemann asked to present Director Worzalla with a Proclamation from the Florida Hotel and Restaurant Advisory Council and for the Proclamation to be included in the minutes: PROCLAMATION Upon the occasion of the retirement of Diann Worzalla, Director, Division of Hotels and Restaurants, Department of Business and Professional Regulation, the Florida Hotel and Restaurant Advisory Council declares that: WHEREAS, Diann has dedicated 35 years of her life to a career in public health for the benefit of millions of residents of and many, many more millions of visitors to the Great State of Florida; and WHEREAS, Diann has been a tireless advocate and force of nature in an unwavering quest for continual improvement and operational effectiveness and efficiencies during more than 20 years with the Division of Hotels and Restaurants and its predecessor organizations; and WHEREAS, during that tenure, Diann cultivated and influenced a profound and exemplary culture of public service evidenced by 101 Davis Productivity Awards and over $63 million in cost savings or avoidance amassed by the Division of Hotels and Restaurants; and WHEREAS, Diann was an early adopter of and pioneering leader in embracing third-part, objective evaluation of the program s effectiveness, evidenced by enculturating the USFDA Voluntary National Retail Food Regulatory Program Standards, achieving 5 of the 9 Standards, and building a national reputation for leadership in program quality for the Division of Hotels and Restaurants; and WHEREAS, Diann consistently managed the Division of Hotels and Restaurants toward the pinnacle of food safety program quality, evidenced by international recognition for the Division as recipient of Page 1 of 4
3 the peer-conferred 2014 Elliott O. Grosvenor Award for outstanding improvement, innovation or sustained high performance within a food safety program; and WHEREAS, Diann has unreservedly served as food safety ambassador, strong and talented manager, extraordinarily committed public servant, and steadfast leader and supporter of the Division of Hotels and Restaurants team; NOW, THEREFORE BE IT RESOLVED, that the Florida Hotel and Restaurant Advisory Council, on behalf of the Florida Hospitality Industry and its millions of grateful patrons, does hereby proclaim its deep and abiding appreciation for the legacy of excellence and professional achievement created by Diann Worzalla in her long and distinguished career, and wishes her abundant good health and happiness in her ventures to come. ELECTIONS Chairman George Glover opened the floor for chair and co-chair nominations to the council. Motion: Motion: Second: Geoff Luebkemann nominated Scott Justice as chair. Geoff Luebkemann nominated Rebecca Kelly as vice-chair. Gregg Nicklaus seconded the motion and the motion passed unanimously. Scott Justice retained the floor as chair and proceeded with the agenda. APPROVAL OF MINUTES Chairman Justice opened the floor for review and approval of the January 26, 2015, meeting minutes. Motion: Second: Paul Hayes made a motion for the minutes to be approved as submitted. Rebecca Kelly seconded the motion and the motion passed unanimously. DIVISION UPDATE Paula Crosby and Eric Thiele Finance and Accounting Mr. Eric Thiele provided the council with the statement of revenue for the last fiscal year broken down by division program areas. Revenue expenditures are running about the same from year to year and revenue increased about $1 million dollars. Ms. Crosby reviewed expenses by category, noting the trust fund looks good; one transfer had been made to Visit Florida and no transfer was made to general revenue. Diann Worzalla, Division Director Director Worzalla reviewed for the council a slide show presentation of the inspector incentive retention plan. The Director highlighted the fact that the division is currently experiencing a 25.3 percent annual vacancy rate over the past four years. The incentive retention plan is in the Governor s budget for this year and the director asked for the council s continued support as it moves through the legislative process. In support of the division s inspector retention proposal, Gregg Nicklaus proposed the council make a motion. Motion: Second: Gregg Nicklaus made a motion for the advisory council to support the employee incentive retention plan. George Glover seconded the motion and the motion passed unanimously. Page 2 of 4
4 Rick Akin, Deputy Director Deputy Director Akin provided the council with an update on the Hospitality Education program School to Career Grant. Per Florida Administrative Code, 39 applications were sent to industry partners, universities, and colleges with a hospitality education program. All applications have to be returned to the division by March 1. Mr. Akin requested four volunteer members from the council to serve on the evaluation team. Council members agreeing to volunteer were George Glover, Scott Justice, Paul Hayes, and Rebecca Kelly. Mr. Akin advised the team that applications will be scanned and submitted to them by March 31, per rule. The evaluation process should be completed by the team and back to the division by mid-april so that the recommendation can be submitted to the Secretary by May 1. The award will be granted July 1 and run through June Cindy Ross, Legislative Rules Coordinator Ms. Ross reported the division has four rules in active stages of development. The division is currently working on amendments to adopt current forms to conform to the 2009 Food Code, remove from definitions terms that are no longer relevant, revise the balcony inspection renewal schedule, and adopt a new evaluation form. Steven von Bodungen, Chief, BSSI Mr. von Bodungen gave a brief overview of the risk based inspection frequency the division began using July 1, The frequency provides four levels of inspection frequency based on fundamental risks: Risk level one is the most basic with one inspection a year Risk level two is the most common with complex food process - two inspections a year Risk level three, three inspections is for operators with a repeat compliance history in additional to establishments serving a highly susceptible population Risk level four, four inspections a year is for food operations with a confirmed food borne illness outbreak within the past year. The frequency has resulted in an increase in callback inspections (re-inspections). This was anticipated and the division is focusing efforts on places that need it. As a result Mr. von Bodungen traveled to each district initiating a culture change, i.e., giving the operator every opportunity possible to achieve corrective action on site in order to avoid administrative action. Subsequently, the division has seen a 42% increase in violations corrected on site and a 19% decrease in the number of administrative cases from last year. The risk-based frequency is allowing the department to focus regulatory efforts on what matters the most, establishments that need more attention in order to achieve compliance while reducing the burden for operators with a positive compliance history. INDUSTRY UPDATE Josh Gold Florida Apartment Association Not in attendance Trey Goldman - Florida Association of Realtors Not in attendance. Geoff Luebkemann Florida Restaurant and Lodging Association FRLA continues to deepen in strength of leadership and gain in professional staff with FRLA now including a staff of nearly 70. Mr. Luebkemann heads the education and training unit and as such would like to remain involved in the uptick of foodborne illness complaints Director Worzalla mentioned earlier and see how they can help control that. Page 3 of 4
5 The recent Florida Tourism Day event held at the Civic Center had over 600 participants at the kickoff breakfast. Mr. Luebkemann was pleased the division was able to include the district leadership at the event where Secretary Lawson recognized her contributions to the division and the state. FRLA has been involved with the Hospitality Education Program and the School to Career grant program since its inception and the challenge remains keeping students that are educated and trained for the hospitality industry to stay in Florida to work as opposed to moving out of state. Subsequently, professional workforce development is one of the top priorities and core goals for FRLA moving into Paul Hayes Florida Vacation Rental Managers Association The Florida Vacation Rental Managers Association merged with the Central Florida Vacation Rental Managers Organization at the beginning of the year so they doubled their membership with the merge. In addition, they have initiated a new chapter structure with three chapters in development around the state right now. The focus for the association legislatively this year is to work on past legislative actions involving the association and the bill that also affects the division involving vacation rentals. OLD BUSINESS None. NEW BUSINESS None. NEXT MEETING Mr. Akin indicated that the council will continue to be apprised with s throughout the year and suggested polling the council after the legislative session to see if there would be a need to meet prior to the statutorily required meeting in January ADJOURNMENT Having no other business, the meeting was adjourned at 10:28 a.m. Page 4 of 4
6 Handout B STATE OF FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION HOTELS AND RESTAURANTS OPERATING ACCOUNT ACTUAL REVENUES AND EXPENSES AND CHANGES IN ACCOUNT BALANCE FISCAL YEARS ENDING JUNE 30, THROUGH JUNE 30, 2016 JUNE 30 JUNE 30 JUNE 30 JUNE 30 JUNE 30 JUNE REVENUE Fees and Charges $ 7,770,156 $ 7,691,230 $ 7,667,628 $ 8,053,615 $ 8,353,026 $ 7,819,618 Licenses 19,443,494 20,112,218 19,940,954 20,393,182 21,048,322 21,465,198 Fines 2,354,964 1,355, ,322 1,489,616 1,612,949 1,362,524 Investment Earnings 292, , ,438 81, , ,271 Refund Revenue 8,099 10,314 39, ,616 18,415 48,068 Transfers In (AB&T Catering Licenses) 300, , , , , ,160 Miscellaneous Revenues 603,338 (5,427) 536, , , ,696 Total Revenue 30,772,121 29,736,881 29,629,186 31,009,587 32,184,833 32,141,535 EXPENSE Division Office Division Administrative Office 18,008,812 18,350,342 18,614,885 19,991,382 20,069,988 20,112,379 Service Charge to General Revenue 2,487,561 2,391,940 2,279,643 2,391,432 2,499,903 2,491,145 Refunds 102, ,851 1,069, , , ,134 Service Operations - - Central Intake 707, , , , , ,517 Call Center 275, , , , , ,746 Bank Charges 88,433 94,093 98, ,949 Department Administrative Costs - - Administration 1,519,374 1,405,903 1,445,369 1,469,087 1,675,400 1,487,029 Information Technology 1,977,273 1,934,280 1,876,728 1,745,058 1,746,498 1,715,063 General Counsel/Legal 338, , , , , ,413 Total Expense 25,417,501 25,575,901 26,523,494 27,244,869 27,957,611 27,893,375 Excess (Deficiency) of Revenues Over (Under) Expenses 5,354,620 4,160,980 3,105,692 3,764,718 4,227,222 4,248,160 TRANSFERS Transfer Excess Cash To General Revenue 5,000,000 8,400,000 5,000,000 Transfer to Visit Florida 700,000 2,000, , ,000 2,000,000 Total Transfers 5,700,000 8,400,000 7,000, , ,000 2,000,000 Actual CHANGE IN ACCOUNT BALANCE (345,380) (4,239,020) (3,894,308) 3,264,718 3,727,222 2,248,160 ACCOUNT BALANCE, Beginning of Period 15,220,348 14,874,968 10,635,948 6,741,641 10,006,359 13,733,581 ACCOUNT BALANCE, End of Period $ 14,874,968 $ 10,635,948 $ 6,741,641 $ 10,006,359 $ 13,733,581 $ 15,981,740
7 Handout C Updated: 1/20/2017 Food and Lodging Rule Adoption Status 1 Active Rule Promulgations Rule # Description Current Action Next Step FAR Publications HRAC Notice TBD 61C C Implement remedial education component of Change all entries which just read 3 rd offense to read 3 rd and any subsequent offense. Eliminate the fee for plan review. Workshop(s) Draft language/step 1 Step 3 Step 1 Filed for adoption on 1/20/17, effective 2/9/17 Hearing if requested Workshop: 7/22/11 Wkshop: 7/27/11 OFARR: 10/31/16 Step 1: OFARR: 11/28/16 Step 2: OFARR: 1/20/17 Step 1: 11/8/16 Step 2: 12/6/16 KEY: Step 1 Notice of Proposed Rule Development NOC Notice of Change SERC Statement of Estimated Regulatory Cost Step 2 Notice of Proposed Rule WD Notice of Withdrawal FAR Florida Administrative Register Step 3 File for Adoption Draft Draft Language Provided HRAC Hotels and Restaurants Advisory Council OFARR Office of Fiscal Accountability and Regulatory Reform
8 Handout C Updated: 1/20/2017 Food and Lodging Rule Adoption Status Adopted Within Previous Twelve Months 2 Rule Summary of Changes Date Effective 61C Adopt current forms and conform to the Food Code. February 24, C Remove from definitions terms that are no longer relevant. March 6, C Revise Balcony Inspection Certificate and renewal date. March 6, C Adopt new Hospitality Training Program evaluation form April 25, C Implement July 11, C Implement July 11, C Make CEPs a risk level 1 December 28, 2016 KEY: Step 1 Notice of Proposed Rule Development NOC Notice of Change SERC Statement of Estimated Regulatory Cost Step 2 Notice of Proposed Rule WD Notice of Withdrawal FAR Florida Administrative Register Step 3 File for Adoption Draft Draft Language Provided HRAC Hotels and Restaurants Advisory Council OFARR Office of Fiscal Accountability and Regulatory Reform
* * * * * AGENDA * * * * * ELECTIONS * * New Chairperson will now facilitate the meeting.* * REVIEW and APPROVAL OF MINUTES (Handout A) Chair
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More information* * * * * AGENDA * * * * *
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