Florida Senate - 2012                      CS for CS for SB 1150
       By the Committees on Budget Subcommittee on Finance and Tax; and
       Commerce and Tourism; and Senators Richter, Bennett, Lynn, and
       593-03183-12                                          20121150c2
    1                        A bill to be entitled                      
    2         An act relating to the New Markets Development
    3         Program; amending s. 288.9914, F.S.; revising limits
    4         on tax credits that may be claimed by qualified
    5         community development entities under the program;
    6         amending s. 288.9915, F.S.; revising restrictions on a
    7         qualified community development entity’s making of
    8         cash interest payments on certain long-term debt
    9         securities; providing an effective date.
   11  Be It Enacted by the Legislature of the State of Florida:
   13         Section 1. Paragraph (c) of subsection (3) of section
   14  288.9914, Florida Statutes, is amended to read:
   15         288.9914 Certification of qualified investments; investment
   16  issuance reporting.—
   17         (3) REVIEW.—
   18         (c) The department may not approve a cumulative amount of
   19  qualified investments that may result in the claim of more than
   20  $195 $97.5 million in tax credits during the existence of the
   21  program or more than $40 $20 million in tax credits in a single
   22  state fiscal year. However, the potential for a taxpayer to
   23  carry forward an unused tax credit may not be considered in
   24  calculating the annual limit.
   25         Section 2. Subsection (1) of section 288.9915, Florida
   26  Statutes, is amended to read:
   27         288.9915 Use of proceeds from qualified investments;
   28  recordkeeping.—
   29         (1) For the period from the issuance of the qualified
   30  investment to the 7th anniversary of such issuance, a qualified
   31  community development entity may not make cash interest payments
   32  on a long-term debt security that is a qualified investment, but
   33  not in excess of the entity’s cumulative operating income as of
   34  the date of the cash interest payment. For purposes of
   35  calculating operating income under this section, the interest
   36  expense on the security is disregarded for 6 years following the
   37  issuance of the security.
   38         Section 3. This act shall take effect July 1, 2012.