Findings Of Fact On November 28, 1994, a hearing officer of the Seventeenth Judicial Circuit, Circuit Court for Broward County, Florida (Seventeenth Judicial Circuit) conducted an evidentiary hearing on a petition to determine child support filed against Thomas Boganski (Petitioner). By Report dated November 28, 1994, the hearing officer determined, among other things, that Petitioner was liable for a past public assistance obligation in the amount of $8,871, representing monies received by his children from October 1991 through November 1994 and that payments on the child support obligation would be payable through the court. By Order dated December 12, 1994, a circuit judge of the Seventeenth Judicial Circuit ratified and approved the hearing officer's Report; thereby, establishing a child support debt, payable through the court. On June 26, 1995, a hearing officer of the Seventeenth Judicial Circuit conducted an evidentiary hearing on a motion for contempt filed against Petitioner for nonpayment of the child support obligation. By Report dated June 26, 1995, the hearing officer determined, among other things, that Petitioner had a past public assistance obligation and arrears totaling $10,551 as of June 14, 1995. By Order dated July 14, 1995, a circuit judge of the Seventeenth Judicial Circuit ratified and approved the hearing officer's Report. On January 9, 1995, Petitioner presented to the Department of the Lottery (Respondent Lottery) a claim for payment of a lottery ticket which he had purchased. The lottery ticket had a prize value of $2,500. On June 9, 1995, the Department of Revenue (Respondent Revenue) certified to Respondent Lottery that, as of that date, Petitioner had a court- ordered past public assistance debt of $9,500. The $2,500 prize winnings was transmitted to the Department of Banking and Finance, Office of the Comptroller (Respondent Banking and Finance) by Respondent Lottery. Respondent Banking and Finance did not disburse the $2,500 to Petitioner but retained the entire amount. By letter dated May 9, 1995, Respondent Banking and Finance notified Petitioner that the $2,500 prize winnings had been transmitted to it by Respondent Lottery. Furthermore, Respondent Banking and Finance notified Petitioner that the entire $2,500 was going to be applied to his unpaid past public assistance obligation of $9,500.
Recommendation Based on the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that the Department of Banking and Finance, Office of the Comptroller enter a final order providing for payment to the Department of Revenue the lottery prize winnings of $2,500 claimed by Thomas Boganski. DONE AND ENTERED this 27th day of November, 1995, in Tallahassee, Leon County, Florida. ERROL H. POWELL Hearing Officer Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 27th day of November, 1995. APPENDIX Respondents' joint proposed findings of fact 1 - 6 have been adopted in substance in this recommended order. COPIES FURNISHED: Thomas Boganski 1519 North 57th Terrace Hollywood, Florida 33021 Stephen S. Godwin Assistant General Counsel Office of the Comptroller The Capitol, Suite 1302 Tallahassee, Florida 32399-0350 Chriss Walker, Esquire Child Support Enforcement Department of Revenue P.O. Box 8030 Tallahassee, Florida 32314-8030 Louisa Warren, Esquire Department of the Lottery 250 Marriott Drive Tallahassee, Florida 32399 The Honorable Robert F. Milligan Comptroller State of Florida The Capitol, Plaza Level Tallahassee, Florida 32399-0350
Findings Of Fact Mr. Clinton Williams won a prize of $3,839.50 on a $1.00 wager in the Lotto game for October 12, 1991. Based upon a letter to the Department of the Lottery from Chriss Walker, the Acting Assistant Secretary for Child Support Enforcement. The Office of the Comptroller found that Mr. Williams owed $3,250 as back due child support. That amount was deducted from his winnings and on November 8, 1991, a state warrant in the amount of $589.50 was delivered to Mr. Williams. The arrearage arose because an error had been made in the child support enforcement division of the State Attorney's Office in Miami. An income deduction order had been entered against Mr. Williams by the family division of the Circuit Court in Dade County Florida on September 27, 1990, but no money was ever deducted from Mr. Williams' pay. When the Department of Health and Rehabilitative Services checked Mr. Williams' record after he submitted the winning ticket, the error was discovered. As a result, in January 1992 the award was modified obligating Mr. Williams to continue to pay $252 per month in child support, and to pay an additional $100 per month to pay back child support due under the September 27, 1990 order. In addition, the order entered by the Circuit Court on January 13, 1992, provides, in paragraph 14: The lottery winnings that are currently being withheld in Tallahassee shall be released to the Petitioner [the child's mother] immediately. Based on the order of the Circuit Court, there is no doubt that Mr. Williams is indebted for back child support. No error occurred in the interception of his lottery winnings to satisfy his obligation for that past-due child support.
Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that the Petition for Formal Proceeding filed by Mr. Williams be dismissed. DONE AND ENTERED in Tallahassee, Leon County, Florida, this 7th day of May 1992. WILLIAM R. DORSEY, JR. Hearing Officer Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 7th day of May 1992. COPIES FURNISHED: Karrin R. Boehm-Alman, Esquire Law Offices of Maurice M. Diliberto 28 West Flagler Street Suite 600 Miami, FL 33130 Bridget L. Ryan, Esquire Office of the Comptroller Suite 1302, The Capitol Tallahassee, FL 32399-0350 Louisa H. Warren, Esquire Department of the Lottery 250 Marriot Drive Tallahassee, FL 32301 Chriss Walker, Esquire Department of Health and Rehabilitative Services 1323 Winewood Boulevard Building One, Room 407 Tallahassee, FL 32399-0700 Honorable Gerald Lewis, Comptroller Department of Banking and Finance The Capitol, Plaza Level Tallahassee, FL 32399-0350 William G. Reeves, General Counsel Department of Banking and Finance Room 1302, The Capitol Tallahassee, FL 32399-0350
Findings Of Fact Findings regarding the RFP and all Petitioners On September 3, 1991, the Department issued RFP 92-005-LOT-TEN-P by which it sought proposals for the provision of advertising and related services to the Florida Lottery. During the following two weeks, the Department received written questions from would-be vendors. On October 3, 1991, the Department circulated Addendum 3 to the RFP which included numerous changes to the RFP and which provided written answers to the questions which were submitted to the Department prior to September 17. The Department of the Lottery had issued an earlier RFP to obtain substantially the same advertising and related services. The earlier procurement effort ended in a rejection of all bids and the initiation of the instant procurement effort. The timetable set forth in the RFP indicated that on a date certain the Department would make determinations of non-responsiveness in accordance with Section 3.2 and post a Notice of Non-responsive Technical Proposals. Only after responsiveness had been determined would responsive technical proposals be presented to an evaluation committee for scoring in accordance with the criteria set forth in the RFP. (RFP Section 2.6) In addition, Section 6 of the RFP provides that the evaluation committee shall complete an evaluation of all responsive proposals. All Petitioners timely submitted a proposal in response to RFP #92-005- LOT/TEN/P. The issuing officer for RFP #92-005-LOT/TEN/P is Mr. Russ Rothman, CPPO, Office of Purchasing, Florida Lottery, 250 Marriott Drive, Tallahassee, Florida 32301. As issuing officer, Mr. Russ Rothman served as agent of the Florida Department of the Lottery with respect to RFP #92-005-LOT/TEN/P, even though Mr. Rothman's regular employment is with the Department of Highway Safety and Motor Vehicles. The person most directly responsible for preparing the RFP #92-005- LOT/TEN/P was Mr. Russ Rothman. The person most directly responsible for initially determining whether each proposal was responsive or non-responsive was Mr. Russ Rothman. Respondent deemed the proposals of each Petitioner to be non-responsive for the reasons set forth in a Notice Of Non-Responsive Technical Proposal And/Or Non-Responsible Respondent, which notice was posted on October 28, 1991. (Respondent's Exhibit 10) The specific reasons stated in that notice are as follows: Respondent Determination Lintas Non-responsive. Failed to submit a TV commercial storyboard required by Section 5.9.6,B.6. Failed to complete Disclosure Affidavit question 7.b. The Ad Team Non-responsive. Failed to submit TV commercial storyboard (5.9.6,B.6) and 3 product or package designs (5.9.5,3.f). Absence of certification re: lack of audited financial statements (5.9.3,F). Ogilvy & Mather Non-responsive. Failed to submit all resumes and/or selection criteria (5.9.5,2) and 30 second radio spot (5.9.6,B.3). Proposal bond late (3.26). Apparent non- compliance with 3.8, "Conflict of Interest and Disclosure." Failed to complete Disclosure Affidavit, question 7. Beber Silverstein Non-responsive. Failed to present complete financial statements as required by Section 5.9.3,F). Footnotes were not included in any of the three years' statements; disclaimer of opinion on 1989 Statements of Operations and Cash Flows; absence of certification for lack of audited statements (1990 & 1988). Section 2.2 of the subject RFP contains the following definition of the terms "Responsive Proposal" and "Responsible Respondent." Responsive Proposal - A timely submitted proposal which conforms in all material respects to the RFP and which contains, in the manner required by this RFP, all documentation, drawings, information, plans, materials, certifications, affirmations, and documentation of qualifications and other matters required by the RFP. Responsible Respondent - A firm judged by the Lottery to be fully capable of providing the services required, considering security, integrity and financial condition. Section 2.6 of the subject RFP contains the following regarding the timetable for the procurement: October 15, 1991: Separately sealed technical and price proposals must be received at the Lottery's Headquarters, Purchasing Office, 250 Marriott Drive, Tallahassee, Florida 32301, no later than 2:00 p.m. Proposals must be addressed to the Issuing Officer as specified in Section 2.3. All technical proposals will be opened by Lottery employees starting at or after 2:01 p.m. at the Lottery Headquarters. The public may attend the opening but may not review any proposals submitted. The names of respondents will be read aloud, and the names of firms submitting "no proposal" responses will be read. Section 3.1 of the subject RFP contains the following provisions regarding "Mandatory Requirements:" The Lottery has established certain mandatory requirements which must be included as part of any proposal. The use of the terms "shall," "must" or "will" (except to indicate simple futurity) in this RFP indicate a mandatory requirement or condition. The words "should" or "may" in this RFP indicate desirable attributes or conditions, but are permissive in nature. Deviation from, or omission of, such a desirable feature will not by itself cause rejection of a proposal. Section 3.2 of the subject RFP contains the following relevant provisions regarding "Non-Responsive Proposals:" Proposals which do not meet all material requirements of this RFP or which fail to provide all required information, documents, or materials will be rejected as non- responsive. Material requirements of the RFP are those set forth as mandatory, or without which an adequate analysis and comparison of proposals is impossible, or those which affect the competitiveness of proposals or the cost to the State. The Lottery reserves the right to determine which proposals meet the material requirements of the RFP. Respondents which in the Lottery's judgment, after the investigations required by Section 24.111, Florida Statutes, fail to demonstrate sufficient financial responsibility, security and integrity, shall be rejected as non-responsible. Section 3.5 of the subject RFP includes the following provisions regarding an opportunity to ask questions about the RFP: Questions concerning conditions and specifications of this RFP, and/or requests for changes to conditions and specifications must be in writing, addressed to the Issuing Officer, and received no later than 5:00 p.m. on September 17, 1991. The Lottery will prepare tentative responses to all questions and/or requests for changes, timely received, for discussion at a pre-proposal conference to be held at 2:00 p.m., September 24, 1991. Copies of questions and final answers, along with any changes to the RFP resulting from or following discussion at the pre-proposal conference, will be mailed to all firms who were furnished a copy of this RFP by the Lottery, in the form of a written addendum, as soon as reasonably practicable. Respondents submitting a proposal must submit by the proposal deadline written acknowledgment of any addendum. In response to a vendor inquiry as to the meaning of the term "minor irregularity," the Department responded in the last addendum to the RFP by citing and quoting Rule 13A-1.001(32), Florida Administrative Code, which reads: Minor Irregularity - A variation from the invitation to bid/request for proposal terms and conditions which does not affect the price of the bid/proposal, or give the bidder or offeror an advantage or benefit not enjoyed by other bidders or offerors, or does not adversely impact the interests of the agency. Sections 3.7 and 3.8 of the subject RFP contain the following provisions regarding required disclosures.: Vendor Information and Disclosure. Respondents must provide information and disclosures required by Section 24.111, Florida Statutes. Copies of the Lottery's Vendor Information Addendum and Disclosure Affidavit Forms to be completed are attached hereto as Attachments "A" and "B." These forms must be properly completed, executed and submitted with Respondent's technical proposal. Conflict of Interest and Disclosure. The award hereunder is subject to the provisions of Chapters 24 and 112, Florida Statutes. Respondents must disclose with their proposals whether any officer, director, employee or agent is also an officer or an employee of the Lottery, the State of Florida, or any of its agencies. All firms must disclose the name of any state officer or employee who owns, directly or indirectly, an interest of five percent (5%) or more in the Respondent's firm or any of its branches or affiliates. All Respondents must also disclose the name of any employee, agent, lobbyist, previous employee of the Lottery, or other person, who has received or will receive compensation of any kind, or who has registered or is required to register under Section 112.3215, Florida Statutes, in seeking to influence the actions of the Lottery in connection with this procurement. Section 3.26 of the subject RFP contains the following provisions regarding the required proposal bond: Each Respondent is required to accompany its technical proposal with a certified or cashier's check or bid bond in the amount of $125,000 or have on file with the Department of Lottery an annual bid bond of at least $125,000. The check or bid bond shall be payable to the Department of Lottery. This check/bond is to insure against withdrawal from competition subsequent to submitting of the proposal and to guarantee performance when the Contract is awarded. This check/bond will be returned to all unsuccessful Respondents immediately upon the execution of the Contract. Sections 5.1, 5.2, and 5.3 of the subject RFP include the following requirements regarding the preparation and submission of proposals: Proposal Labeling. Respondent's technical proposal MUST be in a separate sealed envelope or other container and MUST be identified as the Respondent's technical proposal. The face of the envelope or other container shall contain the following information: Request for Proposal for Advertising and Related Services 2:00 p.m. October 15, 1991 Technical Proposal Name of Respondent Each Respondent's price proposal MUST be in a separate sealed envelope and MUST be identified as the Respondent's price proposal. The face of the envelope shall contain the following information: Request for Proposal for Advertising and Related Services 2:00 p.m. October 15, 1991 Price Proposal Name of Respondent Copies of Proposals. Respondents shall deliver an ORIGINAL AND SIX COPIES OF THE TECHNICAL PROPOSAL AND ONE COPY OF THE PRICE PROPOSAL AND CREATIVE SAMPLES to the Lottery no later than the date and time in which all proposals must be timely submitted. Information and materials submitted in response to a previous RFP will not be considered in connection with this RFP #92-005-LOT/TEN/P. This is not intended to preclude a respondent from submitting information or materials previously submitted provided they conform to the requirements of this RFP. Proposal Submission. It is the Respondent's responsibility to ensure that its proposal is delivered by the proper time at the place of the proposal opening. Proposals which for any reason are not timely received will not be considered. Late proposals will be declared non- responsive, and will not be scored. Unsealed and/or unsigned proposals by telegram, telephone, or facsimile transmission or other means are not acceptable, and will be declared non-responsive, and will not be scored. A proposal may not be altered after opening. Section 5.9.3 of the subject RFP describes as follows the documentation which must be submitted to demonstrate vendor responsibility: The proposing firm must submit the following documentation to establish that it is a responsible respondent: Vendor Information Addendum (Attachment A) Disclosure Affidavit (Attachment B) Sworn Statement on Public Entity Crimes (Attachment C) Statement of Agreement to Abide by the Lottery's Code of Ethics, Rule 53ER88- 79(3), Florida Administrative Code (Attachment D) Proposal Bond required by Section 3.26, in the amount of $125,000. Certified financial statements in customary form for the last three (3) fiscal years if they are completed, including an auditor's report. Certified financial statements must be the result of an audit of the Respondent's records in accordance with generally accepted auditing standards by a certified public accountant (CPA). If certified financial statements including an auditor's report were not prepared for one or more of the last three fiscal years respondent shall certify that fact, and shall submit in lieu thereof review reports of financial statements prepared by a CPA for the same period of time. The Lottery will not accept, in lieu thereof, financial statements prepared in whole or in part by an accountant as a result of a compilation engagement. If the parent company of Respondent intends to financially guarantee Respondent's performance of contractual obligations, then Respondent may, to satisfy this requirement, submit such financial statements of the parent company in lieu of its own plus a binding letter from the parent company expressing its commitment to financially guarantee the Respondent. In such event, the parent company shall be required to sign the Contract as Guarantor and shall be held accountable for all terms and conditions of the Contract. The language in Section 5.9.3,F which conditions the use of review reports on the submission of a certificate that there are no audited financial statements was for the purpose of minimizing the possibility that a vendor who had received an adverse audited opinion might conceal the adverse opinion from the Department by obtaining and submitting a favorable review report which did not disclose the adverse opinion. Section 5.9.4 of the subject RFP addresses the subject of "Firm Qualifications." The opening sentence of Section 5.9.4 reads as follows: "At minimum, each Respondent must provide the following information which demonstrates the Respondent's ability to provide the services requested." Section 5.9.5 of the subject RFP includes the following provisions regarding personnel qualifications: Provide the following information: Address the firm's plans for staffing the Lottery account. Include position titles, numbers, duties and responsibilities, and names of incumbents proposed to work on the Lottery account. Include both agency and subcontractor personnel. Resumes not to exceed one page each in length of all agency and subcontractor personnel who would be compensated in accordance with section 5.11.1 of this RFP, with a statement identifying the percentage of time, calculated annually, of each person who will work on the Lottery account. If recruitment of personnel to fill a position will be required, indicate firm's criteria for selection including, as appropriate, education, experience, knowledge, skills and abilities, etc. Creative samples (one copy of each) previously produced for the Respondent with the participation of key members of the proposed Lottery creative team and equal to the quality of the products proposed in your marketing plan, to include: * * * f) Three examples of product design or package design. Section 5.9.6 of the subject RFP contains the following provisions requiring a "Plan of Service:" Each Respondent shall provide a written statement of the firm's understanding of the services requested herein as well as a detailed written plan outlining how the firm proposes to go about providing the services. It is the intent of the Lottery that the Plan of Service be based on the premise that all products and product attributes remain as they are now. The plan of service shall consist of the following information and materials: A proposed advertising approach for the Florida Lottery which addresses the following items: A two-year summary outline advertising plan. Respondents shall include recommendations for advertising and promotions, and shall provide a plan for progress reporting, and ongoing evaluation and monitoring. A proposed one-year timetable for advertising, showing development of creative, production, approval, placement and run-time. Plan, Script and Comprehensive artistic representations (comps) of the following: A detailed media plan for an eight (8) week Florida Lottery Instant Game which has a $1,250,000 budget; A name, ticket design and prize structure for the Instant Game; A 30-second radio spot for the Instant Game; A print ad for newspaper or magazine placement for the Instant Game; A point-of-sale example for the Instant Game; A television commercial storyboard. All exhibits must be permanently marked or labeled, with identification of the proposing firm, and the specific section(s) of the RFP to which they respond. The requirement for submission of a television commercial storyboard was elaborated upon by responses which the Department made to two distinct questions submitted by the firms, Bozell, Inc., and West & Company. West & Company asked if proposers were prohibited from submitting fully executed television commercials and the Department responded that proposers were prohibited from submitting fully executed television commercials in complying with the RFP requirement for a television commercial storyboard. Bozell submitted a much more elaborate question in two parts. First, Bozell asked if a proposer could submit a television commercial in a more finished form using an animatic form as an example of a more finished form. The Department respondent in the negative. Second, Bozell asked if a proposer could submit such other more finished forms of television commercials in addition to the storyboard. Again, the Department answered in the negative. In responding thusly, the Department clearly indicated that it desired only traditional two-dimensional storyboards and would not accept more finished forms of television commercial concepts such as animatics. Also, the Lottery indicated that it did not wish to receive television commercial concepts in any form other than the traditional two-dimensional storyboard. The term "television commercial storyboard " is not defined in the RFP, but no definition is really necessary because the term has a clearly understood meaning in the advertising industry. It means a two-dimensional illustration of an advertising concept, presented on stiff cardboard or some similar material, and containing art work (illustrations or still photographs) to demonstrate the visual concept, and containing written words to demonstrate the text and/or describe any special effects. Television commercial storyboards have been in common use since the first days of television advertising and continue to be in common use today. Much more recently, especially since the advent of video cameras, alternative ways of presenting advertising concepts have come into popular use. These newer alternatives include video presentations, one type of which is known in the trade as "animatics," and another type of which is referred to as "stealamatics" or "ripamatics." An "animatic" is, in essence, a series of artistic drawings which is recorded on video. The drawings are developed specifically for a given "animatic" and are presented on the video in a manner which conveys the scenes and sequences in a proposed commercial. An "animatic" typically looks very much like a rough moving cartoon. More often than not an animatic will also include a sound track with a rough version of the words or music for the proposed commercial. An "animatic" is a more finished product than a two-dimensional storyboard because it more nearly resembles the format of the final version of the proposed concept. A "stealamatic" or a "ripamatic" is a video recording typically constructed from a variety of existing film footage and voice and music recordings. The film and sound used in a "stealamatic" or "ripamatic" frequently belong to people other than those who are creating the video, hence the name. "Stealamatics" and "ripamatics" are, in essence, a collage of second- hand images and sounds created for other purposes which are roughly edited together to demonstrate the creative concept of a proposed commercial. The video footage and sound track of a typical "stealamatic" or "ripamatic" is not of television commercial air quality and is not a finished product that can be used for actual advertising. The typical "stealamatic" or "ripamatic" is, in essence, a rough draft of a television commercial designed to demonstrate the primary ingredients of an advertising concept. Although rough, the typical "stealamatic" or "ripamatic" is a more finished product than an "animatic" in the sense that it more closely resembles the finished product than does an "animatic." If the concept of a proposed commercial involves critical timing, special effects, humor, or emotion, a "stealamatic" video is the most effective way, and often the only practical way, to present such a concept. "Animatics" and "stealamatics/ripamatics" are now commonly used in the presentation of advertising concepts in lieu of the old-fashioned, but still often useful, two-dimensional storyboards; they are frequent substitutes for two-dimensional storyboards. But "animatics" and "stealamatics/ripamatics" have not become storyboards and the term "television commercial storyboard" still means a two-dimensional presentation on a board-like material. Section 6.1 of the subject RFP contains the following provisions with regard to the allocation of points during the evaluation of the technical proposals: Firm Qualifications. - (Maximum 31 points) Size and Resources - Maximum 5 points Advertising Experience - Maximum 16 points Example of a Complete Campaign - Maximum 10 points Personnel Qualifications. - (Maximum 18 points) Staffing (numbers, levels, roles) - Maximum 5 points Resumes - Maximum 5 points Creative Samples - Maximum 8 points 6.1.3. Plan of Service - (Maximum 16 points) Advertising Plan and Timetable - Maximum 8 points Plan, Script and Artistic - Maximum 8 points Representations 6.1.4. Certified Minority Business Enterprise Participation. - (Maximum 10 points) Authorized Expenses - Maximum 5 points (1 point for each 2/10 percent (.2%) of participation) Agency Compensation - Maximum 5 points (Respondent's price) (1 point for each 3 percent (3%) of participation) Section 5.9.3 of the subject RFP requires that the proposing firm must, among other things, submit a "Disclosure Affidavit." The Disclosure Affidavit is attached to the RFP and is designated as Attachment B. All proposing firms who were corporations were required to answer Question 7 on Attachment B. Question 7 on Attachment B reads as follows: 7. Please complete either 7a or 7b, whichever is appropriate. RESPONDENT is not a publicly traded corporation. The names and addresses of the shareholders of RESPONDENT are as follows: The above-named persons constitute all of the shareholders of RESPONDENT. RESPONDENT is a publicly traded corporation. The names and addresses of the shareholders of RESPONDENT which own 5% or more of the corporate stock are as follows: The above-named persons constitute all of the shareholders of RESPONDENT which own 5% or more of the corporate stock. Findings regarding the Ad Team of Florida, Inc. Paragraph 5.9.6,B,6 of the RFP (as amended by Addendum 3) requires the submission of a television commercial storyboard. The Ad Team attempted to comply with this provision by submitting a video cassette which contained two short video presentations illustrating proposed advertising concepts. One of these presentations, titled The Fortune Teller, is what is known in the advertising business as an "animatic;" a rough cartoon with some animation and a sound track. The other of these presentations, titled Stars and Stripes, is what is known in the advertising business as a "stealamatic" or "ripamatic." Neither of the presentations on the video cassette submitted by the Ad Team is a television commercial storyboard. Section 5.9.5,3,F requires that a bidder provide three examples of product design or package design that, (1) were previously produced by the bidder, and (2) that were produced with the participation of key members of the proposed Lottery creative team. At the time of submission of its proposal, the Ad Team did not have three examples of product or package design that had earlier been produced with the participation of key members of the proposed Lottery team. Therefore, the Ad Team could not and did not submit three examples of product design or package design that had previously been produced with the participation of key members of the Lottery team. The Ad Team's failure to submit three examples of package or product design did not change the pricing of the proposal submitted to the Department by the Ad Team. The Ad Team did not gain a competitive advantage by virtue of its failure to submit three examples of product or package design. The Ad Team submitted complete review reports of financial statements for the last three years. The Ad Team did not submit any document certifying that no audited financial statements had been prepared for the Ad Team for the past three fiscal years. The Ad Team did not gain a competitive advantage by virtue of its failure to submit the certification that it had no audited financial statements for the past three years. The failure to submit the subject certification leaves the Department with no basis in the proposal materials for having confidence that no adverse audited statements are being concealed, and to that extent diminishes the extent to which it is prudent for the Department to rely on the financial statements submitted. Findings regarding Beber Silverstein & Partners Advertising, Inc. The only issue regarding the proposal submitted by Beber Silverstein relates to its efforts to comply with the requirements of Section 5.9.3,F of the RFP. In response to the requirements of that section of the RFP, Beber Silverstein supplied financial statements for the years 1988, 1989, and 1990. However, the footnotes to all of these financial statements were inadvertently omitted from Beber Silverstein's proposal. The footnotes were prepared by Beber Silversmith's accountants at the time the financial statements were prepared and were in Beber Silverstein's possession. The footnotes were simply inadvertently omitted during the preparation of Beber Silverstein's proposal. The Department of the Lottery knew at the time it reviewed Beber Silverstein's proposal for responsiveness that the vendor possessed the footnotes to the financial statements. In fact, the Department had previously reviewed these footnotes in Beber Silverstein's response to the first Request for Proposal earlier during 1991 when Beber Silverstein's proposal in the earlier RFP was evaluated by the Department. Beber Silverstein could have supplied the Department with the subject footnotes immediately after the omission was brought to Beber Silverstein's attention. The omission of the footnotes did not affect the cost or price of Beber Silverstein's proposal. The footnotes to financial statements do not change the figures presented on the face of the financial statements, but the footnotes are an integral part of any financial statement. The vast majority of the information necessary to conduct a meaningful review of a company's financial responsibility is contained in the footnotes to the financial statements. It is not possible to determine a company's financial responsibility from a review of financial statements without footnotes. In direct response to a request from its bank, Beber Silverstein had its balance sheet audited for the year 1989. However, it did not request its accountants to audit the statements of operations and cash flows for the year 1989 since the bank did not request it. Beber Silverstein provided the Department with all financial statements (except the footnotes) that were available on the company for the year 1989. The accountants' opinion for the 1989 statements clearly acknowledges that they were not engaged to audit the statements of operations and cash flows and, accordingly, no accountants' opinion was expressed on them. However the accountants' opinion for the 1989 statements does not explain why they were not engaged to audit the statements of operations and cash flows. Even though the accountants' opinion for Beber Silverstein's 1989 financial statement does not contain any opinion regarding the statements of operations and cash flows, the level of analysis actually performed by the accountants on the 1989 statements of operations and cash flows met the minimum standards for a review report. This was clarified in a letter dated May 1, 1991, which was submitted in conjunction with Beber Silverstein's prior proposal, but which letter was not included as part of Beber Silverstein's current proposal.2/ Beber Silverstein failed to include in its proposal the certification required by Section 5.9.3,F of the RFP to the effect that it did not have any audited financial statements for 1988 or 1990. The omission of the certificate was inadvertent. The absence of the certificate did not affect the price of Beber Silverstein's bid. Beber Silverstein supplied the Department with all financial statements (except for inadvertently omitted footnotes) that it had available. Although Beber Silverstein failed to provide a certificate, Beber Silverstein, in fact, did not have any audited financial statements (other than the 1989 balance sheet which was submitted). Findings regarding Benito Advertising, Inc. Benito Advertising, Inc., d/b/a Fahlgren Martin Benito, was founded in Tampa in 1954. It has offices in Tampa, Fort Lauderdale, Orlando, and Jacksonville. It employs approximately 70 people and its 1991 billings will be approximately $45 million. Benito Advertising, Inc., was acquired in 1989 by the Interpublic Group of Companies. Interpublic is one of the largest publicly-held advertising agency holding companies in the world with billings of $13 billion a year. Benito was subsequently assigned to Lintas:Worldwide, an operating unit of Interpublic. Benito and Lintas:Worldwide are wholly-owned subsidiaries of Interpublic. Attachment B to the RFP elicits the disclosure of ownership information (officers, directors, major shareholders, etc.) from vendors as required by Section 24.111, Florida Statutes. Question 7 thereof requires a corporate respondent to provide the names and addresses of its shareholders if the corporation is not publicly traded. A publicly traded corporation is required to state the names and addresses of those shareholders which own five percent or more of the corporate stock. The form which comprises Attachment B was never promulgated as a rule although it is intended for general use by the Lottery. Benito submitted five separate Disclosure Affidavits - one for Benito itself, one for Lintas:Worldwide, one for Interpublic Group, one for its Hispanic minority contractor, and one for its other minority partner. Benito responded "not applicable" to question 7-A on its affidavit as well as on the affidavit for Lintas:Worldwide on the bases that neither are publicly traded corporations because both are wholly-owned subsidiaries of Interpublic. The balance of the information on the five affidavits concerning officers, directors, shareholders, etc., was provided and is correct. Information concerning Benito's corporate status is alluded to throughout its proposal. More importantly, the corporate relationships as between Benito, Lintas, and Interpublic are explicitly stated in the Interpublic Annual Report which is a mandatory supplement to the proposal. Joan Schoubert, the Department accounting manager responsible for reviewing the annual reports and other financial statements, noted these corporate relationships in conjunction with her review and included the following statement on her reviewing document: Benito Advertising, Inc., d/b/a Fahlgren Martin Benito is a wholly - owned subsidiary of Lintas:Worldwide. Lintas:Worldwide is one of three operating subsidiaries of Interpublic Group of Companies, Inc. (guarantor of Respondents performance- bindings letter present) In the review of other proposals submitted in response to the subject RFP, the Department has overlooked an omission of information in response to a specific question if that information was otherwise available elsewhere in the proposal. An example of this is shown by the following notations on the Department's checklist concerning another proposal: Transmittal letter did not list subcontractors but they are revealed elsewhere, minor irregularity. Billings by media shown in percentages but can be interpreted in connection with Number 8. Paragraph 5.9.6,B,6 of the RFP (as amended by Addendum 3) requires the submission of a television commercial storyboard. Benito attempted to comply with this provision by submitting a so-called "video storyboard" which was recorded on a video cassette. This was submitted along with the balance of the proposal. Benito clearly stated in the text of the proposal that its "storyboard" was in video form. Benito's so-called "video storyboard" was in a format also referred to in the advertising business as a "stealamatic" or "ripamatic." Benito chose to utilize a "stealamatic" to convey its concept which, in essence, is nature photography with human voices inputed to the animals. This is very difficult to express in a two-dimensional format in that the concept does not have an actor carrying a story line. Furthermore, Benito knew that it was not going to be able to present the concept in person and thus could not explain it to the people who were to evaluate it. Given the reliance of the Benito message on animals, another medium would not have been as effective. Findings regarding Ogilvy & Mather Advertising At the time it submitted its proposal, Ogilvy Group, Inc., d/b/a Ogilvy & Mather, failed to submit all resumes and/or selection criteria required in Section 5.9.5,2 of the RFP. Further, it failed to submit a 30-second radio spot as required by Section 5.9.6,B,3 of the RFP and it failed to submit with its proposal the appropriate proposal bond required by Section 3.26 of the RFP. It further failed to comply with Section 3.8 of the RFP by failing to disclose the name of any employee, agent, lobbyist, previous employee of the Lottery, or other person who has received compensation of any kind or who has registered under Section 112.3215, Florida Statutes, in seeking to influence the actions of the Lottery in connection with this procurement. Finally, Ogilvy Group, Inc., failed to complete question 7 of the Disclosure Affidavit required by Section 3.7 of the RFP. With regard to the failure of Ogilvy Group, Inc., to submit all resumes and/or selection criteria required by Section 5.9.5,2 of the RFP, its submission in this regard was missing 17 resumes and 6 descriptions of selection criteria. The 6 missing descriptions covered 13 positions. Three of the missing resumes were found to be located in other portions of the Ogilvy Group, Inc., proposal, but 14 resumes are nowhere to be found in the proposal. Without the information of the missing resumes and in the missing descriptions of selection criteria, it would be difficult, if not impossible, for the Department to perform an adequate analysis and comparison of the Ogilvy Group, Inc., proposal with other proposals. The Ogilvy Group, Inc., also failed to submit a 30-second radio spot. Instead it submitted two 60-second radio spots because of its belief that 30- second radio spots are not economically feasible. With regard to the late submission of Ogilvy Group's, Inc., proposal bond, its attorney and lobbyist, James J. Cooney, Esquire, delivered its bid package (which included the original and six copies of its technical proposal) to the offices of the Department of the Lottery sometime shortly after 1:00 p.m. on October 21, 1991. The original technical proposal and each copy of the technical proposal contained a photocopy of the Ogilvy Group, Inc., proposal bond, which was in the form of a certified check in the amount of $125,000.00. The original certified check was in Mr. Cooney's pocket. The Ogilvy Group, Inc., proposal materials (minus the original certified check, which remained in Mr. Cooney's pocket) were logged-in and officially received by the Department of the Lottery at 1:39 p.m. that afternoon. Mr. Cooney then physically accompanied the dolly on which the Ogilvy & Mather proposal materials had been placed, up the elevator and into the room designated for the bid opening. After Mr. Cooney had accompanied the proposal materials to the room where the bid opening was to occur, Mr. Cooney handed the $125,000.00 certified check to Russ Rothman. The delivery of the check to Mr. Rothman occurred shortly after 2:00 p.m., but shortly before any of the proposals were opened. The deadline for submitting bids was 2:00 p.m. Ogilvy Group, Inc., has retained the services of James J. Cooney, Esquire, as a registered lobbyist and attorney. Mr. Cooney is registered as a lobbyist for Ogilvy Group, Inc., pursuant to Section 112.3215, Florida Statutes. During the period between the issuance of the subject RFP and the submission of the subject proposals, Mr. Cooney on several occasions contacted functionaries of the Department of the Lottery, including the Issuing Officer, Mr. Rothman, in attempts to influence the Department's decision with respect to using previously submitted materials as part of the Ogilvy Group, Inc., proposal in the instant RFP. Such communications by Mr. Cooney were efforts to influence the actions of the Department of the Lottery in connection with the instant procurement. Officials of Ogilvy Group, Inc., were aware of Mr. Cooney's efforts in this regard. Ogilvy Group, Inc., is a corporation that does business under the fictitious name of Ogilvy & Mather. Ogilvy Group, Inc., was the proposing entity on its proposal. As proposing entity, it executed a Disclosure Affidavit (Attachment B to the RFP). Corporations submitting a Disclosure Affidavit were required to answer either Question 7a or 7b. The Ogilvy Group, Inc., did not provide any answer to either Question 7a or 7b. This was because the Chief Financial Officer of the Ogilvy Group, Inc., did not believe that Question 7a was applicable and did not believe that any answer to 7b was required because there was no one who owned five percent or more of the stock of WPP Group, plc, the parent company of which Ogilvy Group, Inc., is a wholly-owned subsidiary. Even though Ogilvy Group, Inc., failed to answer either Question 7a or 7b on the Disclosure Affidavit, information concerning its corporate status and its relationship to WPP Group, plc, is contained in other portions of its proposal. Joan Schoubert, the Department accounting manager responsible for reviewing the annual reports and other financial statements, was able to determine from the information in other portions of the proposal that Ogilvy Group, Inc., was a wholly-owned subsidiary of Ogilvy & Mather Worldwide, which was in turn a wholly-owned subsidiary of WPP Group, plc.
Recommendation For all of the foregoing reasons, it is RECOMMENDED that the Department of Lottery issue a final order in these consolidated cases concluding that, on the basis of the findings of fact and conclusions of law set forth above, all four of the proposals submitted by all four of the Petitioners are not responsive to RFP #92-005-LOT/TEN/P. DONE AND ORDERED in Tallahassee, Leon County, Florida, this 7th day of January 1992. MICHAEL M. PARRISH Hearing Officer Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 7th day of January 1992.
The Issue Whether the full amount of the lottery prize winnings (remaining after deduction of federal tax withholding) that Petitioner claimed (on behalf of herself and 13 other members of her "Lotto pool") should be used to offset the debt Petitioner owes the Department of Education, Office of Student Financial Assistance.
Findings Of Fact Based upon the evidence adduced at hearing, and the record as a whole, including the factual stipulations of the parties,2 the following findings of fact are made: Petitioner is in default on three student loans that OSFA, as guarantor, purchased (upon Petitioner's default) from the lender on December 27, 2001, and continues to hold. As of September 10, 2003, Petitioner owed OSFA $12,503.79 on these defaulted loans. In May of 2003, Petitioner participated in a "Lotto pool" with 13 other individuals. Pool members agreed to contribute equally to the purchase of Florida lottery tickets and to share equally in any winnings. Petitioner was assigned the task of purchasing the tickets on behalf of the pool. One of the tickets Petitioner purchased was a winner (having five of the six selected numbers). The amount of the prize, after making an appropriate deduction for federal income tax withholding, was $3,262.00. On behalf of the pool, Petitioner submitted the winning ticket, with her name on it, to the Florida Department of the Lottery to claim the prize. At the request of the Florida Department of the Lottery, she completed an Internal Revenue Service (IRS) Form 5754. On the form, among other things, she identified the others in the pool with whom she intended to share the proceeds of the prize. On May 27, 2003, Olga Roca, a Program Specialist with OSFA, sent the following letter to the Florida Department of the Lottery: I hereby certify that the above referenced person [Petitioner] has an outstanding defaulted student[] loan. Under terms of § 24.115, F.S, I am requesting that lottery prize money won by that person be transmitted to the Florida Department of Education to be credited toward that debt. The balance due including interest accrued as of 6/11/03 totals $12,389.88. By letter dated June 2, 2003, the Florida Department of the Lottery advised Petitioner that, "[p]ursuant to Section 24.115(4), Florida Statutes, [it had] disbursed [her] winnings according to [Ms. Roca's May 27, 2003, letter]." A month later, on July 2, 2003, OSFA sent Petitioner a letter informing her that it "plan[ned] to apply the total amount of [her] $3,262.00 prize to [her] unpaid claim."3 It is this proposed agency action which is the subject of the instant controversy.
Recommendation Based on the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that OSFA take the action proposed in its July 2, 2003, letter to Petitioner. DONE AND ENTERED this 13th day of October, 2003, in Tallahassee, Leon County, Florida. S STUART M. LERNER Administrative Law Judge Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-3060 (850) 488-9675 SUNCOM 278-9675 Fax Filing (850) 921-6847 www.doah.state.fl.us Filed with the Clerk of the Division of Administrative Hearings this 13th day of October, 2003.
Findings Of Fact On April 15, 1991, petitioner submitted a claim to the Department of the Lottery (Lottery) on a ticket he held for the Lotto drawing of April 13, 1991. Such ticket reflected that petitioner had correctly selected five of the six numbers drawn on that date, and rendered him eligible for a prize of $3,529.50. On May 10, 1991, the Department of Health and Rehabilitative Services (DHRS) certified to the Lottery that petitioner owed $10,374.81 in Title IV-D child support arrearage. Thereafter, by letter of May 15, 1991, the Lottery advised petitioner that DHRS had advised it of such outstanding debt and that, pursuant to Section 24.115(4), Florida Statutes, it had transmitted the prize amount to the Department of Banking and Finance (DBF). Petitioner was further advised that DBF would notify him shortly regarding the distribution of such funds. By letter of May 17, 1991, DBF notified petitioner that it was in receipt of his prize from the Lottery and that it intended to apply the entire $3,529.50 toward the unpaid claim owing for child support. Such letter likewise advised petitioner of his right to request a hearing to contest such action. By letter of June 3, 1991, petitioner acknowledged receipt of the DBF's letter of May 17, 1991, disputed that any such obligation was outstanding, and requested a formal hearing. At hearing, the proof demonstrated that on January 29, 1982, the Circuit Court of the Eleventh Judicial Circuit, Dade County, Florida, rendered an order approving a stipulation for payment of child support by petitioner for the support of his children. Such stipulation provided that petitioner would pay the sum of $200.00 per month toward an arrearage of $12,234.91, due as of December 20, 1981. The stipulation further provided that such payments would be made payable to the clerk of that court, which would deduct its fee, and forward the balance to DHRS for transmittal to the State of Ohio, the apparent residence of petitioner's former wife. DHRS, the agency designated by the Circuit Court to receive the child support payments deposited with the clerk of that court, and to transmit such sums to the State of Ohio, has certified that as of May 10, 1991, petitioner owed $10,374.81 in Title IV-D child support arrearage. On May 16, 1991, DHRS confirmed such arrearage with the Clerk of the Circuit Court, Dade County, Florida, and reconfirmed such arrearage on August 25, 1991. Petitioner, the party responsible to make such payments, offered no proof at hearing to controvert such certification.
Recommendation Based on the foregoing findings of fact and conclusions of law, it is recommended that the Department of Banking and Finance enter a final order dismissing the petitioner's request for formal hearing, and that it pay to the Department of Health and Rehabilitative Services petitioner's lottery prize of $3,529.50, in partial satisfaction of petitioner's debt for child support. RECOMMENDED in Tallahassee, Leon County, Florida, this 12th day of September 1991. WILLIAM J. KENDRICK Hearing Officer Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 12th day of September 1991. COPIES FURNISHED: Mr. George Luther 10900 S.W. 134th Terrace Miami, Florida 33176 Bridget L. Ryan Assistant General Counsel Office of the Comptroller Suite 1302, The Capitol Tallahassee, Florida 32399-0350 Chriss Walker, Esquire Department of Health and Rehabilitative Services 1317 Winewood Boulevard Tallahassee, Florida 32399-0700 Louisa Warren Department of the Lottery 250 Marriott Drive Tallahassee, Florida 32399 The Honorable Gerald Lewis Comptroller, State of Florida The Capitol, Plaza Level Tallahassee, Florida 32399-0350 William G. Reeves General Counsel Department of Banking and Finance The Capitol Plaza Level, Room 1302 Tallahassee, Florida 32399-0350
Findings Of Fact Leroy Wise, Jr.'s Mother purchased lottery ticket number 1888-3620-9444 (hereinafter referred to as the "Ticket") on approximately July 6, 1989. The Ticket was a Fantasy 5 ticket with four correct numbers. The Ticket winnings amounted to $805.00. Mr. Wise took his Mother to the Department of the Lottery's offices in Tallahassee, Florida on July 10, 1989. Mr. Wise's Mother did not have proper identification required by the Department of the Lottery to cash in the Ticket. Therefore, she allowed Mr. Wise to present the ticket for collection because Mr. Wise had proper identification. On July 10, 1989, Mr. Wise completed a Florida Lottery Winner Claim Form (hereinafter referred to as the "Form") and submitted the Form and the Ticket to the Lottery. On the back of the Ticket Mr. Wise listed his name and address on the spaces provided for the person claiming the prize and signed the Ticket. Mr. Wise listed his name, Social Security Number, address and phone number on the Form. Mr. Wise signed the Form as the "Claimant." In a letter dated July 10, 1989, the DHRS notified the Lottery that Mr. Wise owed $4,690.00 in Title IV-D child support arrearages as of July 10, 1989.
Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that a Final Order be issued providing for payment of the $805.00 prize attributable to the Ticket owed by Mr. Wise as child support arrearages as of the date of the Final Order to DHRS. DONE and ENTERED this 21st day of February, 1990, in Tallahassee, Florida. LARRY J. SARTIN Hearing Officer Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 21st day of February, 1990. APPENDIX The parties have submitted proposed findings of fact. It has been noted below which proposed findings of fact have been generally accepted and the paragraph number(s) in the Recommended Order where they have been accepted, if any. Those proposed findings of fact which have been rejected and the reason for their rejection have also been noted. The Petitioners' Proposed Findings of Fact Proposed Finding Paragraph Number in Recommended Order of Fact Number of Acceptance or Reason for Rejection 1 1-4 2 6. 3 Not supported by the weight of the evidence. The Petitioner's did not offer any evidence at the formal hearing concerning these proposed findings of fact. Mr. Wise's Proposed Findings of Fact Paragraph Number in Recommended Order Sentence in Letter of Acceptance or Reason for Rejection 1, 13-20 Not proposed findings of fact. 2-3 6. 4-6, 11-12 Not supported by the weight of the evidence. 7-10 Not relevant to this proceeding. Copies Furnished To: Jo Ann Levin Senior Attorney Office of Comptroller The Capitol, Suite 1302 Tallahassee, Florida 32399-0350 Louisa E. Hargrett Senior Attorney Department of the Lottery 250 Marriott Drive Tallahassee, Florida 32301 Chriss Walker Senior Attorney Department of Health and Rehabilitative Services 1317 Winewood Boulevard Tallahassee, Florida 32399-0700 Leroy Wise, Jr. 1526-A Patrick Avenue Tallahassee, Florida 32310 Honorable Gerald Lewis Comptroller, State of Florida The Capitol Tallahassee, Florida 32399-0350 William G. Reeves General Counsel Department of Banking and Finance The Capitol, Plaza Level Tallahassee, Florida 32399-0350
The Issue The issue for determination is whether the Department of Revenue should retain and apply the Petitioner’s $800.00 lottery prize to reduce an outstanding arrearage for child support.
Findings Of Fact Department of Revenue and Department of Lottery are the agencies of the State of Florida charged with the duty to enforce statutes which provide for the seizure of lottery prize winnings to satisfy past-due child support debt. On or about April 30, 2001, Johnson made a claim to a lottery prize in the amount of $800.00. The DOR notified the DOL that Johnson was indebted to the state for court-ordered child support through the court depository, in the amount of $10,626.79. Pursuant to Subsection 24.115(4), Florida Statutes, Petitioner’s entire lottery prize was transferred to DOR by DOL. Petitioner was given written notice on April 30, 2001, of the DOR’s intent to intercept his lottery prize and apply it to partially satisfy his unpaid child support debt. Pursuant to a Final Judgment of Paternity and Income Deduction dated September 13, 1989, Petitioner is subject to a lawful order requiring him to pay child support. Johnson has failed to discharge his child support obligations pursuant to that judgment, and as of December 8, 1995, Johnson's arrears were $10,626.79. DOR intends to apply the Petitioner’s lottery prize in the amount of $800.00 to partially satisfy his past-due child support debt.
Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that the Department of Revenue enter a final order retaining Johnson's $800.00 lottery prize to be applied to reduce the accrued arrearage on Johnson's child support obligation. DONE AND ENTERED this 11th day of January, 2002, in Tallahassee, Leon County, Florida. ___________________________________ FLORENCE SNYDER RIVAS Administrative Law Judge Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-3060 (850) 488-9675 SUNCOM 278-9675 Fax Filing (850) 921-6847 www.doah.state.fl.us Filed with the Clerk of the Division of Administrative Hearings this 11th day of January, 2002. COPIES FURNISHED: William Johnson 2815 Northwest 95th Street Miami, Florida 33147 Chriss Walker, Esquire Child Support Enforcement Department of Revenue Post Office Box 8030 Tallahassee, Florida 32314-8030 Louisa Warren, Esquire Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301 James Zingale, Executive Director Department of Revenue 104 Carlton Building Tallahassee, Florida 32399-0100 Bruce Hoffmann, General Counsel Department of Revenue 204 Carlton Building Tallahassee, Florida 32399-0100 David Griffin, Secretary Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301 Ken Hart, General Counsel Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301
The Issue The issue in this case concerns the application of Section 24.115(4), Florida Statutes, to a claim for payment filed by a person who owes a child support arrearage but who did not purchase the lottery ticket presented for payment.
Findings Of Fact Based on the testimony of the witnesses and the exhibits received in evidence at the hearing, I make the following relevant findings of fact. On November 2, 1992, Petitioner, Joseph Judah, Jr., the husband of Petitioner, Diana Judah, presented for payment at the DOL's office in St. Petersburg, a lotto ticket which had been purchased by his wife and which had a prize value of $4,989.50. Mr. Judah placed his name, address and signature on the back of the ticket and completed and signed the winner claim form. Additionally, he presented, as proof of identification, his driver's license and social security card. Pursuant to procedures set forth in Chapter 53-4, Florida Administrative Code, on November 3, 1992, DHRS certified to DOL that Mr. Judah owed $13,302.00 in child support arrearages as of that date. DOL transmitted the prize amount to the Office of the Comptroller and applied the entire amount of $4,989.50 to Mr. Judah's child support arrearages. Mr. Judah was notified that the lottery prize would be applied to his outstanding child support arrearages which prompted him to timely request an administrative hearing. It is undisputed that Mrs. Judah purchased a winning lotto ticket with her money and she is not personally responsible for the support of Mr. Judah's child from a prior marriage. At all times material hereto, DOL had in effect Rule No. 53ER87-43, Florida Administrative Code, entitled "Procedure for Awarding Prizes". That rule provides, in pertinent part, that: (6) Until such time as a name is imprinted or placed upon the back portion of the lottery ticket in the designated area, a lottery ticket shall be owned by the physical possessor of such ticket. When a name is placed on the rear of the ticket in the designated place, the person whose name appears in that area shall be the owner of the ticket and shall be entitled to any prize attributable thereto.
Recommendation Based on the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that: The Department of Banking and Finance, Office of the Comptroller, issue a Final Order in this case providing for payment to the Department of Health and Rehabilitative Services of the entire $4,989.50 prize money originally claimed by Petitioner, Joseph Judah, Jr. DONE AND ENTERED this 14th day of July, 1993, in Tallahassee, Florida. JAMES E. BRADWELL Hearing Officer Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 14th day of July, 1993. COPIES FURNISHED: Honorable Gerald Lewis Comptroller, State of Florida The Capitol, Plaza Level Tallahassee, FL 32399-0350 William G. Reeves, Esq. General Counsel Department of Banking and Finance The Capitol, Room 1302 Tallahassee, FL 32399-0350 Carrole R. Ward, Esquire 12029 Majestic Boulevard, Suite 7 Bayonet Point, Florida 34667 Karen M. Camechis, Esquire Assistant General Counsel Department of Banking and Finance Office of the Comptroller The Capitol, Suite 1302 Tallahassee, Florida 32399-0350 Chriss Walker, Esquire Department of Health and Rehabilitative Services 1317 Winewood Boulevard Building One, Room 407 Tallahassee, Florida 32399-0700 Louisa H. Warren, Esquire Department of Lottery Capitol Complex Tallahassee, Florida 32399-4011
The Issue Should Petitioner have $8,812.78 deducted from his lottery prize of $19,091.96 to meet his child support obligation? See Section 24.115(4), Florida Statutes (1996 Supp.).
Findings Of Fact In the case of Glenda Carey vs. James P. Carey, in the Circuit Court in and for Gadsden County, Florida, Case No. 91-24, related to the dissolution of their marriage, a final judgment was entered which obligated Petitioner to pay child support to his minor son. Over time Petitioner failed to faithfully meet the child support obligation. By April 23, 1997, the amount of arrearage for child support was $8,485.13. Petitioner had owed a similar amount on September 9, 1996. On September 9, 1996, Petitioner made a claim for a lottery prize with the Lottery in the amount of $19,091.96, which he had won through participation in a lottery game. Being mindful of the existence of the overdue child support payments that have been referred to, the Lottery transmitted $8,812.78 of that lottery prize of $19,091.96, to the DOR, Child Support Enforcement Section, and notified Petitioner of that decision by correspondence dated October 2, 1996. Petitioner contested that decision by requesting a formal hearing on October 18, 1996. The proper amount of child support for which Petitioner is obligated effective September 9, 1996, when he claimed his lottery prize and April 23, 1997, the concluding hearing date, was $8,485.13. Consequently, Petitioner is entitled to an additional $327.65 in prize money over and above the prize money already received.
Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law reached, it is RECOMMENDED: That a Final Order be entered which upholds payment of $8,485.13 in past due child support and remits to the Petitioner $327.65 in additional lottery prize winnings. DONE AND ENTERED this 20th day of May, 1997, at Tallahassee, Leon County, Florida. CHARLES C. ADAMS Administrative Law Judge Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-3060 (904) 488-9675 SUNCOM 278-9675 Fax Filing (904) 921-6847 Filed with the Clerk of the Division of Administrative Hearings this 20th day of May, 1997. COPIES FURNISHED: James P. Carey 2528 Centerville Road Tallahassee, Florida 32308 James P. Carey 720 Thomas Street Key West, Florida 33040 Chriss Walker, Esquire Department of Revenue Child Support Enforcement Post Office Box 8030 Tallahassee, Florida 32314-8030 Louisa Warren, Esquire Department of Lottery 250 Marriott Drive Tallahassee, Florida 32399 Linda Lettera, General Counsel Department of Revenue 204 Carlton Building Tallahassee, Florida 32399-0100 Larry Fuchs, Executive Director Department of Revenue 104 Carlton Building Tallahassee, Florida 32399-0100
The Issue Whether the Department of Revenue should retain and apply the Petitioner's lottery prize to reduce an outstanding arrearage for child support.
Findings Of Fact The Respondents, the Department of Revenue and the Department of Lottery, are agencies of the State of Florida charged with the responsibility of administering and securing lottery prize winnings to apply to child support arrearages. The Petitioner, Frank Agoglia, was one of a group who completed a claim to a lottery prize in the amount of $7,509.50. The claim was timely submitted to the Department of Lottery, and the Petitioner was eligible to receive his share of the lottery prize. Before taxes, the Petitioner's share of the winning prize was $600.00. The Department of Revenue, acting pursuant to law, notified the Department of Lottery that the Petitioner owes court ordered child support in an amount exceeding the claimed prize. As provided in Section 24.115(4), Florida Statutes, the Petitioner's entire share of the lottery prize was transmitted to the Department of Revenue. The Petitioner was timely notified of the transfer. It is the intention of the Department of Revenue to apply the Petitioner's share of the winning prize to the outstanding child support arrearage. By letter dated March 3, 2001, the Petitioner challenged the transfer of the winning share to be applied to the arrearage. The Petitioner has not disputed the paternity of the child nor the child support obligations imposed by a court of law. It is also undisputed that the amount of the arrearage exceeds the Petitioner's share of the lottery prize. The Petitioner presented no evidence to support his contention that the lottery prize winnings should not be applied to the child support arrearage.
Recommendation Based on the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that the Department of Revenue enter a final order retaining the Petitioner's lottery prize and to apply it to reduce the arrearage of child support owed by the Petitioner. DONE AND ENTERED this 23rd day of January, 2002, in Tallahassee, Leon County, Florida. ___________________________________ J. D. PARRISH Administrative Law Judge Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-3060 (850) 488-9675 SUNCOM 278-9675 Fax Filing (850) 921-6847 www.doah.state.fl.us Filed with the Clerk of the Division of Administrative Hearings this 23rd day of January, 2002. COPIES FURNISHED: Frank Agoglia 16460 Southwest 146th Court Miami, Florida 33177-1781 Chriss Walker, Esquire Department of Revenue Child Support Enforcement Post Office Box 8030 Tallahassee, Florida 32314-8030 Louisa Warren, Esquire Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301 Bruce Hoffmann, General Counsel Department of Revenue 204 Carlton Building Tallahassee, Florida 32399-0100 James Zingale, Executive Director Department of Revenue 104 Carlton Building Tallahassee, Florida 32399-0100 David Griffin, Secretary Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301 Ken Hart, General Counsel Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301
