THE FLORIDA
SENATE
Tallahassee, Florida 32399-1100

COMMITTEES:

Appropriations Subcommittee on
Health and Humans Services, Chair
Banking and Insurance Chair
Appropriations, Vice Chair
Judiciary
Rules
Joint Legislative Budget Commission

SENATOR ANITERE FLORES
President Pro Tempore

39th District

February 24, 2017
Mr. William Spivey
Executive Director

Florida Development Finance Corporation
800 North Magnolia Avenue, Suite 1100
Orlando, FL 32803

Dear Mr. Spivey:

As the Chair of the Senate Banking and Insurance Committee, it is my responsibility to ensure
that there is due diligence around financial matters that impact the people of the State of Florida.
It has come to my attention that the Florida Development Finance Corporation (FDFC) acted as a
bond issuer in the approval of a new $600 million Private Activity Bond (PAB) application for
the All Aboard Florida (AAF) passenger rail project.
As you are aware, AAF submitted this new $600 million application to the United States
Department of Transportation (DOT) on September 30, 2016, 45 days after U.S. District Court
Judge Christopher Cooper issued a ruling adverse to AAF and the DOT in a federal lawsuit
challenging AAF's original $1.75 billion PAB application.
Of note, on November 28,2016, almost two months after the new application was submitted, and

in advance of a final ruling by Judge Cooper, the AAF and the DOT filed motions announcing
the withdrawal of the $1.75 billion allocation that was intended to fund both phases of the AAF
project.

I have a few questions that will help me better understand the role of the FDFC in reviewing this
new $600 million application:
1. As the bond issuer to this new $600 million application, did the FDFC take the position
that AAF can simply rely upon previous FDFC actions taken with respect to the AAF
bonding process?
2. Is it the position of the FDFC that the August 5, 2015 Resolution pertaining the $ 1.75
billion allocation can be transferred to the new $600 million PAB application without any
additional consideration by the FDFC board?

 As noted above, I am seeking to better understand what the FDFC believes its role is in AAF's
new PAB application. Based on DOT's recent approval of this $600 million allocation, I am
concerned that the FDFC has informally agreed that it can simply transfer its previous actions
and approvals to the new application, without any further consideration of the economic and
social impacts of the project it would help fund.
I greatly appreciate you taking the time to address my questions, as I strive to better understand
these important issues that affect the people of the State of Florida.
Thank you in advance for your response.

Sincerely,

Senator Anitere Flores

REPLY TO:
10691 North Kendall Drive, Suite 309, Miami, Florida 33176 (305) 270-6550
404 Senate Office Building, 404 South Monroe Street, Tallahassee, Florida 32399-1100 (850) 487-5039
Senate's Website: www.flsenate.gov

JOE NEGRON

ANITERE FLORES

President of the Senate

President Pro Tempore