Florida Senate - 2009                        COMMITTEE AMENDMENT
       Bill No. SB 1310
       
       
       
       
       
       
                                Barcode 846896                          
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  03/26/2009           .                                
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       The Committee on Education Pre-K - 12 (Storms) recommended the
       following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete everything after the enacting clause
    4  and insert:
    5         Section 1. Subsection (2) of section 220.186, Florida
    6  Statutes, is amended to read:
    7         220.186 Credit for Florida alternative minimum tax.—
    8         (2) The credit pursuant to this section shall be the amount
    9  of the excess, if any, of the tax paid based upon taxable income
   10  determined pursuant to s. 220.13(2)(k) over the amount of tax
   11  which would have been due based upon taxable income without
   12  application of s. 220.13(2)(k), before application of this
   13  credit without application of any credit under s. 220.187.
   14         Section 2. Subsections (2) and (3), paragraph (b) of
   15  subsection (5), paragraphs (b) and (i) of subsection (6), and
   16  paragraphs (a), (b), (l), and (n) of subsection (9) of section
   17  220.187, Florida Statutes, are amended, paragraph (e) is added
   18  to subsection (5) of that section, paragraph (o) is added to
   19  subsection (9) of that section, subsections (10) through (14) of
   20  that section are renumbered as subsections (11) through (15),
   21  respectively, and a new subsection (10) is added to that
   22  section, to read:
   23         220.187 Credits for contributions to nonprofit scholarship
   24  funding organizations.—
   25         (2) DEFINITIONS.—As used in this section, the term:
   26         (a) “Department” means the Department of Revenue.
   27         (b) “Direct certification list” means the certified list of
   28  children who qualify for the Food Stamp Program, the Temporary
   29  Assistance to Needy Families Program, or the Food Distribution
   30  Program on Indian Reservations provided to the Department of
   31  Education by the Department of Children and Family Services.
   32         (c)(b) “Eligible contribution” means a monetary
   33  contribution from a taxpayer, subject to the restrictions
   34  provided in this section, to an eligible nonprofit scholarship
   35  funding organization. The taxpayer making the contribution may
   36  not designate a specific child as the beneficiary of the
   37  contribution.
   38         (d)(c) “Eligible nonprofit scholarship-funding
   39  organization” means a charitable organization that:
   40         1. Is exempt from federal income tax pursuant to s.
   41  501(c)(3) of the Internal Revenue Code;
   42         2. Is a Florida entity formed under chapter 607, chapter
   43  608, or chapter 617 and whose principal office is located in the
   44  state; and
   45         3. Complies with the provisions of subsection (6).
   46         (e)(d) “Eligible private school” means a private school, as
   47  defined in s. 1002.01(2), located in Florida which offers an
   48  education to students in any grades K-12 and that meets the
   49  requirements in subsection (8).
   50         (f)(e) “Owner or operator” includes:
   51         1. An owner, president, officer, or director of an eligible
   52  nonprofit scholarship-funding organization or a person with
   53  equivalent decisionmaking authority over an eligible nonprofit
   54  scholarship-funding organization.
   55         2. An owner, operator, superintendent, or principal of an
   56  eligible private school or a person with equivalent
   57  decisionmaking authority over an eligible private school.
   58         (3) PROGRAM; SCHOLARSHIP ELIGIBILITY.—The Florida Corporate
   59  Income Tax Credit Scholarship Program is established. A student
   60  is eligible for a Florida corporate income tax credit
   61  scholarship under this section or s. 624.51055 if the student
   62  qualifies for free or reduced-price school lunches under the
   63  National School Lunch Act or is on the direct certification list
   64  and:
   65         (a) Was counted as a full-time equivalent student during
   66  the previous state fiscal year for purposes of state per-student
   67  funding;
   68         (b) Received a scholarship from an eligible nonprofit
   69  scholarship-funding organization or from the State of Florida
   70  during the previous school year;
   71         (c) Is eligible to enter kindergarten or first grade; or
   72         (d) Is currently placed, or during the previous state
   73  fiscal year was placed, in foster care as defined in s. 39.01.
   74  
   75         Contingent upon available funds, a student may continue in
   76  the scholarship program as long as the student’s household
   77  income level does not exceed 200 percent of the federal poverty
   78  level. A sibling of a student who is continuing in the program
   79  and resides in the same household as the student shall also be
   80  eligible as a first-time corporate income tax credit scholarship
   81  recipient as long as the student’s and sibling’s household
   82  income level does not exceed 200 percent of the federal poverty
   83  level. Household income for purposes of a student who is
   84  currently in foster care as defined in s. 39.01 shall consist
   85  only of the income that may be considered in determining whether
   86  he or she qualifies for free or reduced-price school lunches
   87  under the National School Lunch Act.
   88         (5) AUTHORIZATION TO GRANT SCHOLARSHIP FUNDING TAX CREDITS;
   89  LIMITATIONS ON INDIVIDUAL AND TOTAL CREDITS.—
   90         (b) For each state fiscal year, the total amount of tax
   91  credits and carryforward of tax credits which may be granted
   92  each state fiscal year under this section and s. 624.51055 is:
   93         1. Through June 30, 2008, $88 million.
   94         2. Beginning July 1, 2008, and thereafter, $118 million.
   95         (e) A taxpayer who is eligible to receive the credit
   96  provided for in s. 624.51055 is not eligible to receive the
   97  credit provided by this section.
   98         (6) OBLIGATIONS OF ELIGIBLE NONPROFIT SCHOLARSHIP-FUNDING
   99  ORGANIZATIONS.—An eligible nonprofit scholarship-funding
  100  organization:
  101         (b) Must comply with the following background check
  102  requirements:
  103         1. All owners and operators as defined in subparagraph
  104  (2)(f)(e)1. are, upon employment or engagement to provide
  105  services, subject to level 2 background screening as provided
  106  under chapter 435. The fingerprints for the background screening
  107  must be electronically submitted to the Department of Law
  108  Enforcement and can be taken by an authorized law enforcement
  109  agency or by an employee of the eligible nonprofit scholarship
  110  funding organization or a private company who is trained to take
  111  fingerprints. However, the complete set of fingerprints of an
  112  owner or operator may not be taken by the owner or operator. The
  113  results of the state and national criminal history check shall
  114  be provided to the Department of Education for screening under
  115  chapter 435. The cost of the background screening may be borne
  116  by the eligible nonprofit scholarship-funding organization or
  117  the owner or operator.
  118         2. Every 5 years following employment or engagement to
  119  provide services or association with an eligible nonprofit
  120  scholarship-funding organization, each owner or operator must
  121  meet level 2 screening standards as described in s. 435.04, at
  122  which time the nonprofit scholarship-funding organization shall
  123  request the Department of Law Enforcement to forward the
  124  fingerprints to the Federal Bureau of Investigation for level 2
  125  screening. If the fingerprints of an owner or operator are not
  126  retained by the Department of Law Enforcement under subparagraph
  127  3., the owner or operator must electronically file a complete
  128  set of fingerprints with the Department of Law Enforcement. Upon
  129  submission of fingerprints for this purpose, the eligible
  130  nonprofit scholarship-funding organization shall request that
  131  the Department of Law Enforcement forward the fingerprints to
  132  the Federal Bureau of Investigation for level 2 screening, and
  133  the fingerprints shall be retained by the Department of Law
  134  Enforcement under subparagraph 3.
  135         3. Beginning July 1, 2007, all fingerprints submitted to
  136  the Department of Law Enforcement as required by this paragraph
  137  must be retained by the Department of Law Enforcement in a
  138  manner approved by rule and entered in the statewide automated
  139  fingerprint identification system authorized by s. 943.05(2)(b).
  140  The fingerprints must thereafter be available for all purposes
  141  and uses authorized for arrest fingerprint cards entered in the
  142  statewide automated fingerprint identification system pursuant
  143  to s. 943.051.
  144         4. Beginning July 1, 2007, the Department of Law
  145  Enforcement shall search all arrest fingerprint cards received
  146  under s. 943.051 against the fingerprints retained in the
  147  statewide automated fingerprint identification system under
  148  subparagraph 3. Any arrest record that is identified with an
  149  owner’s or operator’s fingerprints must be reported to the
  150  Department of Education. The Department of Education shall
  151  participate in this search process by paying an annual fee to
  152  the Department of Law Enforcement and by informing the
  153  Department of Law Enforcement of any change in the employment,
  154  engagement, or association status of the owners or operators
  155  whose fingerprints are retained under subparagraph 3. The
  156  Department of Law Enforcement shall adopt a rule setting the
  157  amount of the annual fee to be imposed upon the Department of
  158  Education for performing these services and establishing the
  159  procedures for the retention of owner and operator fingerprints
  160  and the dissemination of search results. The fee may be borne by
  161  the owner or operator of the nonprofit scholarship-funding
  162  organization.
  163         5. A nonprofit scholarship-funding organization whose owner
  164  or operator fails the level 2 background screening shall not be
  165  eligible to provide scholarships under this section.
  166         6. A nonprofit scholarship-funding organization whose owner
  167  or operator in the last 7 years has filed for personal
  168  bankruptcy or corporate bankruptcy in a corporation of which he
  169  or she owned more than 20 percent shall not be eligible to
  170  provide scholarships under this section.
  171         (i)1. May use up to 3 percent of eligible contributions
  172  received during the state fiscal year in which such
  173  contributions are collected for administrative expenses if the
  174  organization has operated under this section for at least 3
  175  state fiscal years and did not have any negative financial
  176  findings in its most recent audit under paragraph (l). Such
  177  administrative expenses must be reasonable and necessary for the
  178  organization’s management and distribution of eligible
  179  contributions under this section. No more than one-third of the
  180  funds authorized for administrative expenses under this
  181  subparagraph may be used for expenses related to the recruitment
  182  of contributions from corporate taxpayers.
  183         2. Must expend for annual or partial-year scholarships an
  184  amount equal to or greater than 75 percent of the net eligible
  185  contributions remaining after administrative expenses during the
  186  state fiscal year in which such contributions are collected. No
  187  more than 25 percent of such net eligible contributions may be
  188  carried forward to the following state fiscal year. Any amounts
  189  carried forward shall be expended for annual or partial-year
  190  scholarships in the following state fiscal year. Net eligible
  191  contributions remaining on June 30 of each year that are in
  192  excess of the 25 percent that may be carried forward shall be
  193  returned to the State Treasury for deposit in the General
  194  Revenue Fund.
  195         3. Must, before granting a scholarship for an academic
  196  year, document each scholarship student’s eligibility for that
  197  academic year. A scholarship-funding organization may not grant
  198  multiyear scholarships in one approval process.
  199  
  200         Any and all information and documentation provided to the
  201  Department of Education and the Auditor General relating to the
  202  identity of a taxpayer that provides an eligible contribution
  203  under this section shall remain confidential at all times in
  204  accordance with s. 213.053.
  205         (9) DEPARTMENT OF EDUCATION OBLIGATIONS.—The Department of
  206  Education shall:
  207         (a) Annually submit to the department, by March 15, a list
  208  of eligible nonprofit scholarship-funding organizations that
  209  meet the requirements of paragraph (2)(d)(c).
  210         (b) Annually verify the eligibility of nonprofit
  211  scholarship-funding organizations that meet the requirements of
  212  paragraph (2)(d)(c).
  213         (l) Notify an eligible nonprofit scholarship-funding
  214  organization of any of the organization’s identified students
  215  who are receiving corporate income tax credit scholarships from
  216  other eligible nonprofit scholarship-funding organizations.
  217         (n)1. Conduct random site visits to private schools
  218  participating in the Florida Corporate Tax Credit Scholarship
  219  Program. The purpose of the site visits is solely to verify the
  220  information reported by the schools concerning the enrollment
  221  and attendance of students, the credentials of teachers,
  222  background screening of teachers, and teachers’ fingerprinting
  223  results. The Department of Education may not make more than
  224  seven random site visits each year and may not make more than
  225  one random site visit each year to the same private school.
  226         2. Annually, by December 15, report to the Governor, the
  227  President of the Senate, and the Speaker of the House of
  228  Representatives the Department of Education’s actions with
  229  respect to implementing accountability in the scholarship
  230  program under this section and s. 1002.421, any substantiated
  231  allegations or violations of law or rule by an eligible private
  232  school under this program concerning the enrollment and
  233  attendance of students, the credentials of teachers, background
  234  screening of teachers, and teachers’ fingerprinting results and
  235  the corrective action taken by the Department of Education.
  236         (o) Provide a process to match the direct certification
  237  list with the scholarship application data submitted by any
  238  nonprofit scholarship-funding organization eligible to receive
  239  the 3-percent administrative allowance under paragraph (6)(i).
  240         (10) SCHOOL DISTRICT OBLIGATIONS; PARENTAL OPTIONS.—Upon
  241  the request of any eligible nonprofit scholarship-funding
  242  organization, a school district shall inform all households
  243  within the district receiving free or reduced-priced meals under
  244  the National School Lunch Act of their eligibility to apply for
  245  a tax credit scholarship. The form of such notice shall be
  246  provided by the eligible nonprofit scholarship-funding
  247  organization and the district shall include the provided form,
  248  if requested by the organization, in any normal correspondence
  249  with eligible households. If an eligible nonprofit scholarship
  250  funding organization requests a special communication to be
  251  issued to households within the district receiving free or
  252  reduced-price meals under the National School Lunch Act, the
  253  organization shall reimburse the district for the cost of
  254  postage. Such notice is limited to once a year.
  255         Section 3. Section 624.51055, Florida Statutes, is created
  256  to read:
  257         624.51055 Credit for contributions to eligible nonprofit
  258  scholarship-funding organizations.—
  259         (1) There is allowed a credit of 100 percent of an eligible
  260  contribution made to an eligible nonprofit scholarship-funding
  261  organization as provided in s. 220.187 against any net tax due
  262  for a taxable year under s. 624.509(1). However, such a credit
  263  may not exceed 75 percent of the net tax due under s. 624.509(1)
  264  after deducting from such tax due the taxes paid by the insurer
  265  under ss. 175.101 and 185.08 and any assessments pursuant to s.
  266  440.51. An insurer claiming a credit against premium tax
  267  liability under this section shall not be required to pay any
  268  additional retaliatory tax levied pursuant to s. 624.5091 as a
  269  result of claiming such credit. Section 624.5091 does not limit
  270  such credit in any manner.
  271         (2) The provisions of s. 220.187 apply to the credit
  272  authorized by this section.
  273         Section 4. Paragraph (b) of subsection (6) of section
  274  1002.20, Florida Statutes, is amended to read:
  275         1002.20 K-12 student and parent rights.—Parents of public
  276  school students must receive accurate and timely information
  277  regarding their child’s academic progress and must be informed
  278  of ways they can help their child to succeed in school. K-12
  279  students and their parents are afforded numerous statutory
  280  rights including, but not limited to, the following:
  281         (6) EDUCATIONAL CHOICE.—
  282         (b) Private school choices.—Parents of public school
  283  students may seek private school choice options under certain
  284  programs.
  285         1. Under the Opportunity Scholarship Program, the parent of
  286  a student in a failing public school may request and receive an
  287  opportunity scholarship for the student to attend a private
  288  school in accordance with the provisions of s. 1002.38.
  289         2. Under the McKay Scholarships for Students with
  290  Disabilities Program, the parent of a public school student with
  291  a disability who is dissatisfied with the student’s progress may
  292  request and receive a McKay Scholarship for the student to
  293  attend a private school in accordance with the provisions of s.
  294  1002.39.
  295         3. Under the Florida corporate income Tax Credit
  296  Scholarship Program, the parent of a student who qualifies for
  297  free or reduced-price school lunch may seek a scholarship from
  298  an eligible nonprofit scholarship-funding organization in
  299  accordance with the provisions of s. 220.187.
  300         Section 5. Paragraph (e) of subsection (2) of section
  301  1002.23, Florida Statutes, is amended to read:
  302         1002.23 Family and School Partnership for Student
  303  Achievement Act.—
  304         (2) To facilitate meaningful parent and family involvement,
  305  the Department of Education shall develop guidelines for a
  306  parent guide to successful student achievement which describes
  307  what parents need to know about their child’s educational
  308  progress and how they can help their child to succeed in school.
  309  The guidelines shall include, but need not be limited to:
  310         (e) Educational choices, as provided for in s. 1002.20(6),
  311  and Florida corporate income tax credit scholarships, as
  312  provided for in s. 220.187;
  313         Section 6. Paragraph (b) of subsection (3) of section
  314  1002.39, Florida Statutes, is amended to read:
  315         1002.39 The John M. McKay Scholarships for Students with
  316  Disabilities Program.—There is established a program that is
  317  separate and distinct from the Opportunity Scholarship Program
  318  and is named the John M. McKay Scholarships for Students with
  319  Disabilities Program.
  320         (3) JOHN M. MCKAY SCHOLARSHIP PROHIBITIONS.—A student is
  321  not eligible for a John M. McKay Scholarship while he or she is:
  322         (b) Receiving a Florida corporate income tax credit
  323  scholarship under s. 220.187;
  324         Section 7. Subsection (1) of section 1002.421, Florida
  325  Statutes, is amended to read:
  326         1002.421 Accountability of private schools participating in
  327  state school choice scholarship programs.—
  328         (1) A Florida private school participating in the Florida
  329  Corporate Income Tax Credit Scholarship Program established
  330  pursuant to s. 220.187 or an educational scholarship program
  331  established pursuant to this chapter must comply with all
  332  requirements of this section in addition to private school
  333  requirements outlined in s. 1002.42, specific requirements
  334  identified within respective scholarship program laws, and other
  335  provisions of Florida law that apply to private schools.
  336         Section 8. If any provision of this act or the application
  337  thereof to any person or circumstance is held invalid, the
  338  invalidity shall not affect other provisions or applications of
  339  the act which can be given effect without the invalid provision
  340  or application, and to this end the provisions of this act are
  341  declared severable.
  342         Section 9. This act shall take effect July 1, 2009.
  343  
  344  
  345  ================= T I T L E  A M E N D M E N T ================
  346         And the title is amended as follows:
  347         Delete everything before the enacting clause
  348  and insert:
  349                        A bill to be entitled                      
  350         An act relating to tax credits for contributions to
  351         nonprofit scholarship-funding organizations; amending
  352         s. 220.186, F.S.; providing that the credit authorized
  353         under the Florida Tax Credit Scholarship Program does
  354         not apply to the credit for the Florida alternative
  355         minimum tax; amending s. 220.187, F.S.; defining the
  356         term “direct certification list”; expanding the
  357         Corporate Income Tax Credit Scholarship Program to
  358         include insurance premium tax credits; revising
  359         credits for contributions to nonprofit scholarship
  360         funding organizations; providing that a taxpayer
  361         eligible to receive a credit against the insurance
  362         premium tax is not eligible to receive a credit
  363         against the corporate income tax; imposing an
  364         additional requirement on the Department of Education;
  365         specifying school district tax credit scholarship
  366         notification requirements and limitations; conforming
  367         cross-references; creating s. 624.51055, F.S.;
  368         providing for credits against the insurance premium
  369         tax for contributions to certain eligible nonprofit
  370         scholarship-funding organizations; providing
  371         application; amending ss. 1002.20, 1002.23, 1002.39,
  372         and 1002.421, F.S.; providing conforming revisions;
  373         providing severability; providing an effective date.