Florida Senate - 2015                              CS for SB 568
       
       
        
       By the Committee on Banking and Insurance; and Senator Richter
       
       
       
       
       
       597-01933-15                                           2015568c1
    1                        A bill to be entitled                      
    2         An act relating to family trust companies; amending s.
    3         662.102, F.S.; revising the purposes of the Family
    4         Trust Company Act; providing legislative findings;
    5         amending s. 662.111, F.S.; redefining the term
    6         “officer”; creating s. 662.113, F.S.; specifying the
    7         applicability of other chapters of the financial
    8         institutions codes to family trust companies;
    9         providing that the section does not limit the
   10         authority of the Office of Financial Regulation to
   11         investigate any entity to ensure that it is not in
   12         violation of ch. 662, F.S., or applicable provisions
   13         of the financial institutions codes; amending s.
   14         662.120, F.S.; revising the ancestry requirements for
   15         designated relatives of a licensed family trust
   16         company; amending s. 662.1215, F.S.; revising the
   17         requirements for investigations of license applicants
   18         by the Office of Financial Regulation; amending s.
   19         662.122, F.S.; revising the requirements for
   20         registration of a family trust company and a foreign
   21         licensed family trust company; amending s. 662.1225,
   22         F.S.; requiring a foreign licensed family trust
   23         company to be in compliance with the family trust laws
   24         and regulations in its jurisdiction; specifying the
   25         date upon which family trust companies must be
   26         registered or licensed or, if not registered or
   27         licensed, cease doing business in this state; amending
   28         s. 662.123, F.S.; revising the types of amendments to
   29         organizational documents which must have prior
   30         approval by the office; amending s. 662.128, F.S.;
   31         extending the deadline for the filing of, and revising
   32         the requirements for, specified license and
   33         registration renewal applications; amending s.
   34         662.132, F.S.; revising the authority of specified
   35         family trust companies while acting as fiduciaries to
   36         purchase certain bonds and securities; revising the
   37         prohibition against the purchase of certain bonds or
   38         securities by specified family trust companies;
   39         amending s. 662.141, F.S.; revising the purposes for
   40         which the office may examine or investigate a family
   41         trust company that is not licensed and a foreign
   42         licensed family trust company; deleting the
   43         requirement that the office examine a family trust
   44         company that is not licensed and a foreign licensed
   45         family trust company; providing that the office may
   46         rely upon specified documentation that identifies the
   47         qualifications of beneficiaries as permissible
   48         recipients of family trust company services; deleting
   49         a provision that authorizes the office to accept an
   50         audit by a certified public accountant in lieu of an
   51         examination by the office; authorizing the Financial
   52         Services Commission to adopt rules establishing
   53         specified requirements for family trust companies;
   54         amending s. 662.142, F.S.; deleting a provision that
   55         authorizes the office to immediately revoke the
   56         license of a licensed family trust company under
   57         certain circumstances; revising the circumstances
   58         under which the office may enter an order revoking the
   59         license of a licensed family trust company; amending
   60         s. 662.143, F.S.; revising the acts that may result in
   61         the entry of a cease and desist order against
   62         specified family trust companies and affiliated
   63         parties; amending s. 662.144, F.S.; authorizing a
   64         family trust company to have its terminated
   65         registration or revoked license reinstated under
   66         certain circumstances; revising the timeframe for a
   67         family trust company to wind up its affairs under
   68         certain circumstances; requiring the deposit of
   69         certain fees and fines in the Financial Institutions’
   70         Regulatory Trust Fund; amending s. 662.145, F.S.;
   71         revising the office’s authority to suspend a family
   72         trust company-affiliated party who is charged with a
   73         specified felony or to restrict or prohibit the
   74         participation of such party in certain financial
   75         institutions; s. 662.150, F.S.; making a technical
   76         change; amending s. 662.151, F.S.; conforming a
   77         provision to changes made by the act; providing an
   78         effective date.
   79          
   80  Be It Enacted by the Legislature of the State of Florida:
   81  
   82         Section 1. Section 662.102, Florida Statutes, is amended to
   83  read:
   84         662.102 Purposes; findings Purpose.—The purposes purpose of
   85  the Family Trust Company Act are is to establish requirements
   86  for licensing family trust companies, to regulate provide
   87  regulation of those persons who provide fiduciary services to
   88  family members of no more than two families and their related
   89  interests as a family trust company, and to establish the degree
   90  of regulatory oversight required of the Office of Financial
   91  Regulation over such companies. The Unlike trust companies
   92  formed under chapter 658, there is no public interest to be
   93  served by this chapter is to ensure outside of ensuring that
   94  fiduciary activities performed by a family trust company are
   95  restricted to family members and their related interests and as
   96  otherwise provided for in this chapter. Therefore, the
   97  Legislature finds that:
   98         (1) A family trust company is companies are not a financial
   99  institution institutions within the meaning of the financial
  100  institutions codes., and Licensure of such a company these
  101  companies pursuant to chapters 658 and 660 is should not be
  102  required as it would not promote the purposes of the codes
  103  specified as set forth in s. 655.001.
  104         (2) A family trust company may elect to be a licensed
  105  family trust company under this chapter if the company desires
  106  to be subject to the regulatory oversight of the office, as
  107  provided in this chapter, notwithstanding that the company
  108  restricts its services to family members.
  109         (3)With respect to: Consequently, the office
  110         (a) A licensed of Financial Regulation is not responsible
  111  for regulating family trust company, the office is responsible
  112  for regulating, supervising, and examining the company as
  113  provided under this chapter.
  114         (b) A family trust company that does not elect to be
  115  licensed and a foreign licensed family trust company, companies
  116  to ensure their safety and soundness, and the responsibility of
  117  the office’s role office is limited to ensuring that fiduciary
  118  services provided by the company such companies are restricted
  119  to family members and authorized related interests and not to
  120  the general public. The office is not responsible for examining
  121  a family trust company or a foreign licensed family trust
  122  company regarding the safety or soundness of its operations.
  123         Section 2. Subsection (19) of section 662.111, Florida
  124  Statutes, is amended to read:
  125         662.111 Definitions.—As used in this chapter, the term:
  126         (19) “Officer” of a family trust company means an
  127  individual, regardless of whether the individual has an official
  128  title or receives a salary or other compensation, who may
  129  participate in the major policymaking functions of a family
  130  trust company, other than as a director. The term does not
  131  include an individual who may have an official title and
  132  exercise discretion in the performance of duties and functions,
  133  but who does not participate in determining the major policies
  134  of the family trust company and whose decisions are limited by
  135  policy standards established by other officers, regardless of
  136  whether the policy standards have been adopted by the board of
  137  directors. The chair of the board of directors, the president,
  138  the chief officer, the chief financial officer, the senior trust
  139  officer, and all executive vice presidents of a family trust
  140  company, and all managers if organized as a limited liability
  141  company, are presumed to be executive officers unless such
  142  officer is excluded, by resolution of the board of directors or
  143  members or by the bylaws or operating agreement of the family
  144  trust company, other than in the capacity of a director, from
  145  participating in major policymaking functions of the family
  146  trust company, and such excluded officer does not actually
  147  participate therein.
  148         Section 3. Section 662.113, Florida Statutes, is created to
  149  read:
  150         662.113 Applicability of other chapters of the financial
  151  institutions codes.—If a family trust company, licensed family
  152  trust company, or foreign licensed family trust company limits
  153  its activities to the activities authorized under this chapter,
  154  the provisions of other chapters of the financial institutions
  155  codes do not apply to the trust company unless otherwise
  156  expressly provided in this chapter. This section does not limit
  157  the office’s authority to investigate any entity to ensure that
  158  it is not in violation of this chapter or applicable provisions
  159  of the financial institutions codes.
  160         Section 4. Subsection (2) of section 662.120, Florida
  161  Statutes, is amended to read:
  162         662.120 Maximum number of designated relatives.—
  163         (2) A licensed family trust company may not have up to more
  164  than two designated relatives., and The designated relatives may
  165  not have a common ancestor within three five generations.
  166         Section 5. Paragraph (e) is added to subsection (2) of
  167  section 662.1215, Florida Statutes, to read:
  168         662.1215 Investigation of license applicants.—
  169         (2) Upon filing an application for a license to operate as
  170  a licensed family trust company, the office shall conduct an
  171  investigation to confirm:
  172         (e) That the management structure of the proposed company
  173  complies with s. 662.125.
  174         Section 6. Paragraph (b) of subsection (1) and paragraphs
  175  (a) and (c) of subsection (2) of section 662.122, Florida
  176  Statutes, are amended to read:
  177         662.122 Registration of a family trust company or a foreign
  178  licensed family trust company.—
  179         (1) A family trust company that is not applying under s.
  180  662.121 to become a licensed family trust company must register
  181  with the office before beginning operations in this state. The
  182  registration application must:
  183         (b) State that the family trust company is a family trust
  184  company as defined under this chapter and that its operations
  185  will comply with ss. 662.1225, 662.123(1), 662.124, 662.125,
  186  662.127, 662.131, and 662.134.
  187         (2) A foreign licensed family trust company must register
  188  with the office before beginning operations in this state.
  189         (a) The registration application must state that its
  190  operations will comply with ss. 662.1225, 662.125, 662.127,
  191  662.131, and 662.134 and that it is currently in compliance with
  192  the family trust company laws and regulations of its principal
  193  jurisdiction.
  194         (c) The registration must include a certified copy of a
  195  certificate of good standing, or an equivalent document,
  196  authenticated by the official having custody of records in the
  197  jurisdiction where the foreign licensed family trust company is
  198  organized, along with satisfactory proof, as determined by the
  199  office, that the company is organized in a manner similar to a
  200  family trust company as defined under this chapter and is in
  201  compliance with the family trust company laws and regulations of
  202  its principal jurisdiction.
  203         Section 7. Subsection (2) of section 662.1225, Florida
  204  Statutes, is amended, and subsection (3) is added to that
  205  section, to read:
  206         662.1225 Requirements for a family trust company, licensed
  207  family trust company, and foreign licensed family trust
  208  company.—
  209         (2) In order to operate in this state, a foreign licensed
  210  family trust company must be in good standing in its principal
  211  jurisdiction, must be in compliance with the family trust
  212  company laws and regulations of its principal jurisdiction, and
  213  must maintain:
  214         (a) An office physically located in this state where
  215  original or true copies of all records and accounts of the
  216  foreign licensed family trust company pertaining to its
  217  operations in this state may be accessed and made readily
  218  available for examination by the office in accordance with this
  219  chapter.
  220         (b) A registered agent who has an office in this state at
  221  the street address of the registered agent.
  222         (c) All applicable state and local business licenses,
  223  charters, and permits.
  224         (d) A deposit account with a state-chartered or national
  225  financial institution that has a principal or branch office in
  226  this state.
  227         (3) A company in operation as of October 1, 2015, which
  228  meets the definition of a family trust company, must, on or
  229  before December 30, 2015, apply for licensure as a licensed
  230  family trust company, register as a family trust company or
  231  foreign licensed family trust company, or cease doing business
  232  in this state.
  233         Section 8. Subsection (2) of section 662.123, Florida
  234  Statutes, is amended to read:
  235         662.123 Organizational documents; use of term “family
  236  trust” in name.—
  237         (2) A proposed amendment to the articles of incorporation,
  238  articles of organization, certificate of formation, or
  239  certificate of organization, bylaws, or articles of organization
  240  of a limited liability company, family trust company, or
  241  licensed family trust company must be submitted to the office
  242  for review at least 30 days before it is filed or effective. An
  243  amendment is not considered filed or effective if the office
  244  issues a notice of disapproval with respect to the proposed
  245  amendment.
  246         Section 9. Subsections (1) through (4) of section 662.128,
  247  Florida Statutes, are amended to read:
  248         662.128 Annual renewal.—
  249         (1) Within 45 30 days after the end of each calendar year,
  250  a family trust company companies, licensed family trust company
  251  companies, or and foreign licensed family trust company
  252  companies shall file its their annual renewal application with
  253  the office.
  254         (2) The license renewal application filed by a licensed
  255  family trust company must include a verified statement by an
  256  authorized representative of the trust company that:
  257         (a) The licensed family trust company operated in full
  258  compliance with this chapter, chapter 896, or similar state or
  259  federal law, or any related rule or regulation. The application
  260  must include proof acceptable to the office that the company is
  261  a family trust company as defined under this chapter.
  262         (b) Describes any material changes to its operations,
  263  principal place of business, directors, officers, managers,
  264  members acting in a managerial capacity, and designated
  265  relatives since the end of the preceding calendar year.
  266         (3) The registration renewal application filed by a family
  267  trust company must include:
  268         (a) A verified statement by an authorized representative
  269  officer of the trust company that it is a family trust company
  270  as defined under this chapter and that its operations are in
  271  compliance with ss. 662.1225, 662.123(1), 662.124, 662.125,
  272  662.127, 662.131, and 662.134,; chapter 896,; or similar state
  273  or federal law, or any related rule or regulation.
  274         (b), and include The name of the company’s its designated
  275  relative or relatives, if applicable, and the street address for
  276  its principal place of business.
  277         (4) The registration renewal application filed by a foreign
  278  licensed family trust company must include a verified statement
  279  by an authorized representative of the trust company that its
  280  operations are in compliance with ss. 662.1225, 662.125,
  281  662.131, and 662.134 and in compliance with the family trust
  282  company laws and regulations of its principal jurisdiction. It
  283  must also provide:
  284         (a) The current telephone number and street address of the
  285  physical location of its principal place of business in its
  286  principal jurisdiction.
  287         (b) The current telephone number and street address of the
  288  physical location in this state of its principal place of
  289  operations where its books and records pertaining to its
  290  operations in this state are maintained.
  291         (c) The current telephone number and address of the
  292  physical location of any other offices located in this state.
  293         (d) The name and current street address in this state of
  294  its registered agent.
  295         (e) Documentation satisfactory to the office that the
  296  foreign licensed family trust company is in compliance with the
  297  family trust company laws and regulations of its principal
  298  jurisdiction.
  299         Section 10. Subsections (4) and (7) of section 662.132,
  300  Florida Statutes, are amended to read:
  301         662.132 Investments.—
  302         (4) Notwithstanding any other law, a family trust company
  303  or licensed family trust company may, while acting as a
  304  fiduciary, purchase directly from underwriters or broker-dealers
  305  distributors or in the secondary market:
  306         (a) Bonds or other securities underwritten or brokered
  307  distributed by:
  308         1. The family trust company or licensed family trust
  309  company;
  310         2. A family affiliate; or
  311         3. A syndicate, including the family trust company,
  312  licensed family trust company, or family affiliate.
  313         (b) Securities of an investment company, including a mutual
  314  fund, closed-end fund, or unit investment trust, as defined
  315  under the federal Investment Company Act of 1940, for which the
  316  family trust company or licensed family trust company acts as an
  317  advisor, custodian, distributor, manager, registrar, shareholder
  318  servicing agent, sponsor, or transfer agent.
  319         (7) Notwithstanding subsections (1)-(6), a family trust
  320  company or licensed family trust company may not, while acting
  321  as a fiduciary, purchase a bond or security issued by the
  322  company or its parent, or a subsidiary company an affiliate
  323  thereof or its parent, unless:
  324         (a) The family trust company or licensed family trust
  325  company is expressly authorized to do so by:
  326         1. The terms of the instrument creating the trust;
  327         2. A court order;
  328         3. The written consent of the settlor of the trust for
  329  which the family trust company or licensed family trust company
  330  is serving as trustee; or
  331         4. The written consent of every adult qualified beneficiary
  332  of the trust who, at the time of such purchase, is entitled to
  333  receive income under the trust or who would be entitled to
  334  receive a distribution of principal if the trust were
  335  terminated; and
  336         (b) The purchase of the security is at a fair price and
  337  complies with:
  338         1. The prudent investor rule in s. 518.11, or other prudent
  339  investor or similar rule under other applicable law, unless such
  340  compliance is waived in accordance with s. 518.11 or other
  341  applicable law.
  342         2. The terms of the instrument, judgment, decree, or order
  343  establishing the fiduciary relationship.
  344         Section 11. Section 662.141, Florida Statutes, is amended
  345  to read:
  346         662.141 Examination, investigations, and fees.—The office
  347  may conduct an examination or investigation of a family trust
  348  company, licensed family trust company, or foreign licensed
  349  family trust company at any time it deems necessary to determine
  350  whether the a family trust company, licensed family trust
  351  company, foreign licensed family trust company, or licensed
  352  family trust company-affiliated party thereof person has
  353  violated or is about to violate any provision of this chapter,
  354  or rules adopted by the commission pursuant to this chapter, or
  355  any applicable provision of the financial institution codes, or
  356  any rule rules adopted by the commission pursuant to this
  357  chapter or the such codes. The office may conduct an examination
  358  or investigation of a family trust company or foreign licensed
  359  family trust company at any time it deems necessary to determine
  360  whether the family trust company or foreign licensed family
  361  trust company has engaged in any act prohibited under s. 662.131
  362  or s. 662.134 and, if a family trust company or a foreign
  363  licensed family trust company has engaged in such act, to
  364  determine whether any applicable provision of the financial
  365  institution codes has been violated.
  366         (1) The office may rely upon a certificate of trust, trust
  367  summary, or written statement from the trust company which
  368  identifies the qualified beneficiaries of any trust or estate
  369  for which a family trust company, licensed family trust company,
  370  or foreign licensed family trust company serves as a fiduciary
  371  and the qualifications of such beneficiaries as permissible
  372  recipients of company services.
  373         (2) The office shall conduct an examination of a licensed
  374  family trust company, family trust company, and foreign licensed
  375  family trust company at least once every 36 18 months.
  376         (2) In lieu of an examination by the office, the office may
  377  accept an audit of a family trust company, licensed family trust
  378  company, or foreign licensed family trust company by a certified
  379  public accountant licensed to practice in this state who is
  380  independent of the company, or other person or entity acceptable
  381  to the office. If the office accepts an audit pursuant to this
  382  subsection, the office shall conduct the next required
  383  examination.
  384         (3) The office shall examine the books and records of a
  385  family trust company or licensed family trust company as
  386  necessary to determine whether it is a family trust company or
  387  licensed family trust company as defined in this chapter, and is
  388  operating in compliance with this chapter ss. 662.1225, 662.125,
  389  662.126, 662.131, and 662.134, as applicable. The office may
  390  rely upon a certificate of trust, trust summary, or written
  391  statement from the trust company identifying the qualified
  392  beneficiaries of any trust or estate for which the family trust
  393  company serves as a fiduciary and the qualification of the
  394  qualified beneficiaries as permissible recipients of company
  395  services. The commission may establish by rule the records to be
  396  maintained or requirements necessary to demonstrate conformity
  397  with this chapter as a family trust company or licensed family
  398  trust company.
  399         (3)(4) The office shall examine the books and records of a
  400  foreign licensed family trust company as necessary to determine
  401  if it is a foreign licensed trust company as defined in this
  402  chapter and is in compliance with ss. 662.1225, 662.125,
  403  662.130(2), 662.131, and 662.134. In connection with an
  404  examination of the books and records of the company, the office
  405  may rely upon the most recent examination report or review or
  406  certification letters or similar documentation issued by the
  407  regulatory agency to which the foreign licensed family trust
  408  company is subject to supervision. The commission may establish
  409  by rule the records to be maintained or requirements necessary
  410  to demonstrate conformity with this chapter as a foreign
  411  licensed family trust company. The office’s examination of the
  412  books and records of a foreign licensed family trust company is,
  413  to the extent practicable, limited to books and records of the
  414  operations in this state.
  415         (4)(5) For each examination of the books and records of a
  416  family trust company, licensed family trust company, or foreign
  417  licensed family trust company as authorized under this chapter,
  418  the trust company shall pay a fee for the costs of the
  419  examination by the office. As used in this section, the term
  420  “costs” means the salary and travel expenses of field staff
  421  which are directly attributable to the examination of the trust
  422  company and the travel expenses of any supervisory and or
  423  support staff required as a result of examination findings. The
  424  mailing of payment for costs incurred must be postmarked within
  425  30 days after the receipt of a notice stating that the such
  426  costs are due. The office may levy a late payment of up to $100
  427  per day or part thereof that a payment is overdue, unless waived
  428  for good cause. However, if the late payment of costs is
  429  intentional, the office may levy an administrative fine of up to
  430  $1,000 per day for each day the payment is overdue.
  431         (5)(6) All fees collected under this section must be
  432  deposited into the Financial Institutions’ Regulatory Trust Fund
  433  pursuant to s. 655.049 for the purpose of administering this
  434  chapter.
  435         (6) The commission may establish by rule the records to be
  436  maintained or requirements necessary to demonstrate conformity
  437  with this chapter as a family trust company, licensed family
  438  trust company, or foreign licensed family trust company.
  439         Section 12. Section 662.142, Florida Statutes, is amended
  440  to read:
  441         662.142 Revocation of license.—
  442         (1) Any of the following acts constitute or conduct
  443  constitutes grounds for the revocation by the office of the
  444  license of a licensed family trust company:
  445         (a) The company is not a family trust company as defined in
  446  this chapter.;
  447         (b) A violation of s. 662.1225, s. 662.123(1)(a), s.
  448  662.125(2), s. 662.126, s. 662.127, s. 662.128, s. 662.130, s.
  449  662.131, s. 662.134, or s. 662.144.;
  450         (c) A violation of chapter 896, relating to financial
  451  transactions offenses, or a any similar state or federal law or
  452  any related rule or regulation.;
  453         (d) A violation of any rule of the commission.;
  454         (e) A violation of any order of the office.;
  455         (f) A breach of any written agreement with the office.;
  456         (g) A prohibited act or practice under s. 662.131.;
  457         (h) A failure to provide information or documents to the
  458  office upon written request.; or
  459         (i) An act of commission or omission which that is
  460  judicially determined by a court of competent jurisdiction to be
  461  a breach of trust or of fiduciary duty pursuant to a court of
  462  competent jurisdiction.
  463         (2) If the office finds Upon a finding that a licensed
  464  family trust company has committed any of the acts specified set
  465  forth in subsection (1) paragraphs (1)(a)-(h), the office may
  466  enter an order suspending the company’s license and provide
  467  notice of its intention to revoke the license and of the
  468  opportunity for a hearing pursuant to ss. 120.569 and 120.57.
  469         (3) If a hearing is not timely requested pursuant to ss.
  470  120.569 and 120.57 or if a hearing is held and it has been
  471  determined that the licensed family trust company has committed
  472  any of the acts specified in subsection (1) there has been a
  473  commission or omission under paragraph (1)(i), the office may
  474  immediately enter an order revoking the company’s license. A The
  475  licensed family trust company has shall have 90 days to wind up
  476  its affairs after license revocation. If after 90 days the
  477  company is still in operation, the office may seek an order from
  478  the circuit court for the annulment or dissolution of the
  479  company.
  480         Section 13. Subsection (1) of section 662.143, Florida
  481  Statutes, is amended to read:
  482         662.143 Cease and desist authority.—
  483         (1) The office may issue and serve upon a family trust
  484  company, licensed family trust company, or foreign licensed
  485  family trust company, or upon a family trust company-affiliated
  486  party, a complaint stating charges if the office has reason to
  487  believe that such company, family trust company-affiliated
  488  party, or individual named therein is engaging in or has engaged
  489  in any of the following acts conduct that:
  490         (a) Indicates that The company is not a family trust
  491  company or foreign licensed family trust company as defined in
  492  this chapter.;
  493         (b) Is A violation of s. 662.1225, s. 662.123(1)(a), s.
  494  662.125(2), s. 662.126, s. 662.127, s. 662.128, s. 662.130, or
  495  s. 662.134.;
  496         (c) Is A violation of any rule of the commission.;
  497         (d) Is A violation of any order of the office.;
  498         (e) Is A breach of any written agreement with the office.;
  499         (f) Is A prohibited act or practice pursuant to s.
  500  662.131.;
  501         (g) Is A willful failure to provide information or
  502  documents to the office upon written request.;
  503         (h) Is An act of commission or omission that is judicially
  504  determined by or a court of competent jurisdiction practice that
  505  the office has reason to be believe is a breach of trust or of
  506  fiduciary duty.; or
  507         (i) Is A violation of chapter 896 or similar state or
  508  federal law or any related rule or regulation.
  509         Section 14. Section 662.144, Florida Statutes, is amended
  510  to read:
  511         662.144 Failure to submit required report; fines.—If a
  512  family trust company, licensed family trust company, or foreign
  513  licensed family trust company fails to submit within the
  514  prescribed period its annual renewal or any other report
  515  required by this chapter or any rule, the office may impose a
  516  fine of up to $100 for each day that the annual renewal or
  517  report is overdue. Failure to provide the annual renewal within
  518  60 days after the end of the calendar year shall automatically
  519  result in termination of the registration of a family trust
  520  company or foreign licensed family trust company or revocation
  521  of the license of a licensed family trust company. A family
  522  trust company may have its registration or license automatically
  523  reinstated by submitting to the office, on or before August 31
  524  of the calendar year in which the renewal application is due,
  525  the company’s annual renewal application and fee required under
  526  s. 662.128, a $500 late fee, and the amount of any fine imposed
  527  by the office under this section. A family The trust company
  528  that fails to renew or reinstate its registration or license
  529  must shall thereafter have 90 days to wind up its affairs on or
  530  before November 30 of the calendar year in which such failure
  531  occurs. Fees and fines collected under this section shall be
  532  deposited into the Financial Institutions’ Regulatory Trust Fund
  533  pursuant to s. 655.049 for the purpose of administering this
  534  chapter.
  535         Section 15. Paragraph (a) of subsection (6) of section
  536  662.145, Florida Statutes, is amended to read:
  537         662.145 Grounds for removal.—
  538         (6) The chief executive officer, or the person holding the
  539  equivalent office, of a family trust company or licensed family
  540  trust company shall promptly notify the office if he or she has
  541  actual knowledge that a family trust company-affiliated party is
  542  charged with a felony in a state or federal court.
  543         (a) If a family trust company-affiliated party is charged
  544  with a felony in a state or federal court, or is charged with an
  545  offense in a court the courts of a foreign country with which
  546  the United States maintains diplomatic relations which involves
  547  a violation of law relating to fraud, currency transaction
  548  reporting, money laundering, theft, or moral turpitude and the
  549  charge is equivalent to a felony charge under state or federal
  550  law, the office may enter an emergency order suspending the
  551  family trust company-affiliated party or restricting or
  552  prohibiting participation by such company-affiliated party in
  553  the affairs of that particular family trust company or licensed
  554  family trust company or any state financial institution,
  555  subsidiary, or service corporation, upon service of the order
  556  upon the company and the family trust company-affiliated party
  557  so charged.
  558         Section 16. Paragraph (b) of subsection (1) of section
  559  662.150, Florida Statutes, is amended to read:
  560         662.150 Domestication of a foreign family trust company.—
  561         (1) A foreign family trust company lawfully organized and
  562  currently in good standing with the state regulatory agency in
  563  the jurisdiction where it is organized may become domesticated
  564  in this state by:
  565         (b) Filing an application for a license to begin operations
  566  as a licensed family trust company in accordance with s.
  567  662.121, which must first be approved by the office, or by
  568  filing the prescribed form with the office to register as a
  569  family trust company to begin operations in accordance with s.
  570  662.122.
  571         Section 17. Subsection (3) of section 662.151, Florida
  572  Statutes, is amended to read:
  573         662.151 Registration of a foreign licensed family trust
  574  company to operate in this state.—A foreign licensed family
  575  trust company lawfully organized and currently in good standing
  576  with the state regulatory agency in the jurisdiction under the
  577  law of which it is organized may qualify to begin operations in
  578  this state by:
  579         (3) A company in operation as of the effective date of this
  580  act that meets the definition of a family trust company shall
  581  have 90 days from the effective date of this act to apply for
  582  licensure as a licensed family trust company, register as a
  583  family trust company or foreign licensed family trust company,
  584  or cease doing business in this state.
  585         Section 18. This act shall take effect October 1, 2015.