Florida Administrative Code › 19 - STATE BOARD OF ADMINISTRATION › 19A - Division of Bond Finance › Chapter 19A-5 - MASTER EQUIPMENT FINANCING AGREEMENTS › Section 19A-5.002 - Definitions

Current through Reg. 50, No. 138; July 16, 2024
The following words or terms when used in this rule chapter
				  shall have the following meanings:
(1)
				"Certificate of Participation" means a financial instrument representing a
				right to share in payments made pursuant to a Master Equipment Financing
				Agreement.
(2) "Comptroller" means
				the Comptroller of the State of Florida.
(3) "Director" means the Director of the
				Division.
(4) "Division" means the
				Division of Bond Finance of the State Board of Administration.
(5) "Financing Professional" means one or
				more financial institutions, leasing companies or other participants necessary
				for the consolidated financing of deferred-payment purchases of
				equipment.
(6) "Financial Advisor"
				means a person or firm retained to advise the Division on financial matters
				relating to the issuance of certificates of participation or other activities
				of the Division, including, but not limited to, technical assistance in the
				design of financing arrangements and instruments; planning financial strategy
				for marketing, pricing and securing ratings; or representing the Division's
				interest in financial market dealings.
(7) "Finder" means a person or firm that
				enters into an understanding with an underwriter for any paid or promised
				compensation or valuable consideration to act as an intermediary, directly or
				indirectly, expressly or impliedly, between the Governing Board and such
				underwriter for the purpose of influencing any transaction in the purchase of
				certificates of participation in a Master Equipment Financing Agreement or
				other activity of the Division.
(8)
				"Governing Board" means the governing board of the Division composed of the
				Governor and Cabinet of the State of Florida.
(9) "Master Equipment Financing Agreement"
				means an agreement to be executed pursuant to Section
				 287.064, F.S., for the purpose
				of implementing a consolidated financing program for the acquisition of
				equipment by deferred-payment purchases made by or on behalf of the State of
				Florida or its agencies or by or on behalf of state community
				colleges.
(10) "Order Period"
				means, in a negotiated sale of certificates of participation, the period of
				time established by the underwriters and the Division during which orders are
				accepted from members of the underwriting group.
(11) "Purchaser" means the person or entity
				which directly purchases certificates of participation from an
				underwriter.
(12) "Takedown" means
				a component of the gross underwriting spread, similar to a commission, which
				represents the income derived by the underwriters from the sale of certificates
				of participation.
(13) "Tax
				Counsel" means an attorney or firm of attorneys retained to give a legal
				opinion that the state is authorized to enter into a Master Equipment Financing
				Agreement, that the state has met all legal requirements necessary to enter
				into a Master Equipment Financing Agreement, or that interest on the Master
				Equipment Financing Agreement will be excludable from gross income for federal
				income tax purposes and, where applicable, for state and local
				taxation.
(14) "Underwriter" means
				a person or firm that initially purchases a new issue of certificates of
				participation in connection with the award of a Master Equipment Financing
				Agreement.
Rulemaking Authority
					 287.064(8) FS.
					 Law Implemented 287.064
					 FS.
New 7-17-89, Formerly 13K-5.002, Amended
					 5-25-95.