Florida Senate - 2014                             CS for SB 1216
       
       
        
       By the Committee on Commerce and Tourism; and Senator Latvala
       
       
       
       
       
       577-03114A-14                                         20141216c1
    1                        A bill to be entitled                      
    2         An act relating to professional sports facilities;
    3         amending s. 212.20, F.S.; revising the distribution of
    4         moneys to certified applicants for a
    5         facility used by a spring training franchise under s.
    6         288.11631, F.S.; authorizing a distribution for an
    7         applicant that has been approved by the Legislature
    8         and certified by the Department of Economic
    9         Opportunity under s. 288.11625, F.S.; providing a
   10         limitation; amending s. 218.64, F.S.; providing for
   11         municipalities and counties to expend an increased
   12         portion of local government half-cent sales tax
   13         revenues to reimburse the state as required by a
   14         contract; amending s. 288.0001, F.S.; providing for an
   15         evaluation; creating s. 288.11625, F.S.; requiring the
   16         Department of Economic Opportunity to screen
   17         applicants for state funding for sports development;
   18         defining terms; providing a purpose to provide funding
   19         for applicants for constructing, reconstructing,
   20         renovating, or improving a facility; providing an
   21         application and approval process; providing for an
   22         annual application period; providing for the
   23         department to submit recommendations to the
   24         Legislature by a certain date; requiring legislative
   25         approval for state funding; providing evaluation
   26         criteria for an applicant to receive state funding;
   27         providing for evaluation and ranking of applicants
   28         under certain criteria; requiring the department to
   29         determine the annual distribution amount an applicant
   30         may receive; requiring the applicant to provide an
   31         analysis by a certified public accountant to the
   32         department; requiring the Department of Revenue to
   33         distribute funds within a certain timeframe after
   34         notification by the department; requiring the
   35         department to develop a calculation to estimate
   36         certain taxes; limiting annual distributions to a
   37         specified amount; providing for a contract between the
   38         department and the applicant; limiting use of funds;
   39         requiring an applicant to submit information to the
   40         department annually; requiring a 5-year review;
   41         authorizing the Auditor General to conduct audits;
   42         providing for reimbursement of the state funding under
   43         certain circumstances; providing for discontinuation
   44         of distributions upon an applicant’s request;
   45         authorizing the department to adopt rules; amending s.
   46         288.11631, F.S.; revising the requirements for an
   47         applicant to be certified to receive state funding for
   48         a facility for a spring training franchise;
   49         authorizing a certified applicant to submit an
   50         amendment to its original certification for use of the
   51         facility by more than one spring training franchise;
   52         authorizing the department to adopt emergency rules;
   53         providing an effective date.
   54          
   55  Be It Enacted by the Legislature of the State of Florida:
   56  
   57         Section 1. Paragraph (d) of subsection (6) of section
   58  212.20, Florida Statutes, is amended to read:
   59         212.20 Funds collected, disposition; additional powers of
   60  department; operational expense; refund of taxes adjudicated
   61  unconstitutionally collected.—
   62         (6) Distribution of all proceeds under this chapter and s.
   63  202.18(1)(b) and (2)(b) shall be as follows:
   64         (d) The proceeds of all other taxes and fees imposed
   65  pursuant to this chapter or remitted pursuant to s. 202.18(1)(b)
   66  and (2)(b) shall be distributed as follows:
   67         1. In any fiscal year, the greater of $500 million, minus
   68  an amount equal to 4.6 percent of the proceeds of the taxes
   69  collected pursuant to chapter 201, or 5.2 percent of all other
   70  taxes and fees imposed pursuant to this chapter or remitted
   71  pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in
   72  monthly installments into the General Revenue Fund.
   73         2. After the distribution under subparagraph 1., 8.814
   74  percent of the amount remitted by a sales tax dealer located
   75  within a participating county pursuant to s. 218.61 shall be
   76  transferred into the Local Government Half-cent Sales Tax
   77  Clearing Trust Fund. Beginning July 1, 2003, the amount to be
   78  transferred shall be reduced by 0.1 percent, and the department
   79  shall distribute this amount to the Public Employees Relations
   80  Commission Trust Fund less $5,000 each month, which shall be
   81  added to the amount calculated in subparagraph 3. and
   82  distributed accordingly.
   83         3. After the distribution under subparagraphs 1. and 2.,
   84  0.095 percent shall be transferred to the Local Government Half
   85  cent Sales Tax Clearing Trust Fund and distributed pursuant to
   86  s. 218.65.
   87         4. After the distributions under subparagraphs 1., 2., and
   88  3., 2.0440 percent of the available proceeds shall be
   89  transferred monthly to the Revenue Sharing Trust Fund for
   90  Counties pursuant to s. 218.215.
   91         5. After the distributions under subparagraphs 1., 2., and
   92  3., 1.3409 percent of the available proceeds shall be
   93  transferred monthly to the Revenue Sharing Trust Fund for
   94  Municipalities pursuant to s. 218.215. If the total revenue to
   95  be distributed pursuant to this subparagraph is at least as
   96  great as the amount due from the Revenue Sharing Trust Fund for
   97  Municipalities and the former Municipal Financial Assistance
   98  Trust Fund in state fiscal year 1999-2000, no municipality shall
   99  receive less than the amount due from the Revenue Sharing Trust
  100  Fund for Municipalities and the former Municipal Financial
  101  Assistance Trust Fund in state fiscal year 1999-2000. If the
  102  total proceeds to be distributed are less than the amount
  103  received in combination from the Revenue Sharing Trust Fund for
  104  Municipalities and the former Municipal Financial Assistance
  105  Trust Fund in state fiscal year 1999-2000, each municipality
  106  shall receive an amount proportionate to the amount it was due
  107  in state fiscal year 1999-2000.
  108         6. Of the remaining proceeds:
  109         a. In each fiscal year, the sum of $29,915,500 shall be
  110  divided into as many equal parts as there are counties in the
  111  state, and one part shall be distributed to each county. The
  112  distribution among the several counties must begin each fiscal
  113  year on or before January 5th and continue monthly for a total
  114  of 4 months. If a local or special law required that any moneys
  115  accruing to a county in fiscal year 1999-2000 under the then
  116  existing provisions of s. 550.135 be paid directly to the
  117  district school board, special district, or a municipal
  118  government, such payment must continue until the local or
  119  special law is amended or repealed. The state covenants with
  120  holders of bonds or other instruments of indebtedness issued by
  121  local governments, special districts, or district school boards
  122  before July 1, 2000, that it is not the intent of this
  123  subparagraph to adversely affect the rights of those holders or
  124  relieve local governments, special districts, or district school
  125  boards of the duty to meet their obligations as a result of
  126  previous pledges or assignments or trusts entered into which
  127  obligated funds received from the distribution to county
  128  governments under then-existing s. 550.135. This distribution
  129  specifically is in lieu of funds distributed under s. 550.135
  130  before July 1, 2000.
  131         b. The department shall distribute $166,667 monthly
  132  pursuant to s. 288.1162 to each applicant certified as a
  133  facility for a new or retained professional sports franchise
  134  pursuant to s. 288.1162. Up to $41,667 shall be distributed
  135  monthly by the department to each certified applicant as defined
  136  in s. 288.11621 for a facility for a spring training franchise.
  137  However, not more than $416,670 may be distributed monthly in
  138  the aggregate to all certified applicants for facilities for
  139  spring training franchises. Distributions begin 60 days after
  140  such certification and continue for not more than 30 years,
  141  except as otherwise provided in s. 288.11621. A certified
  142  applicant identified in this sub-subparagraph may not receive
  143  more in distributions than expended by the applicant for the
  144  public purposes provided for in s. 288.1162(5) or s.
  145  288.11621(3).
  146         c. Beginning 30 days after notice by the Department of
  147  Economic Opportunity to the Department of Revenue that an
  148  applicant has been certified as the professional golf hall of
  149  fame pursuant to s. 288.1168 and is open to the public, $166,667
  150  shall be distributed monthly, for up to 300 months, to the
  151  applicant.
  152         d. Beginning 30 days after notice by the Department of
  153  Economic Opportunity to the Department of Revenue that the
  154  applicant has been certified as the International Game Fish
  155  Association World Center facility pursuant to s. 288.1169, and
  156  the facility is open to the public, $83,333 shall be distributed
  157  monthly, for up to 168 months, to the applicant. This
  158  distribution is subject to reduction pursuant to s. 288.1169. A
  159  lump sum payment of $999,996 shall be made, after certification
  160  and before July 1, 2000.
  161         e. The department shall distribute up to $83,333 $55,555
  162  monthly to each certified applicant as defined in s. 288.11631
  163  for a facility used by a single spring training franchise, or up
  164  to $166,667 $111,110 monthly to each certified applicant as
  165  defined in s. 288.11631 for a facility used by more than one
  166  spring training franchise. Monthly distributions begin 60 days
  167  after such certification or July 1, 2016, whichever is later,
  168  and continue for not more than 20 30 years to each certified
  169  applicant as defined in s. 288.11631 for a facility used by a
  170  single spring training franchise or not more than 25 years to
  171  each certified applicant as defined in s. 288.11631 for a
  172  facility used by more than one spring training franchise, except
  173  as otherwise provided in s. 288.11631. A certified applicant
  174  identified in this sub-subparagraph may not receive more in
  175  distributions than expended by the applicant for the public
  176  purposes provided in s. 288.11631(3).
  177         f. Beginning 45 days after notice by the Department of
  178  Economic Opportunity to the Department of Revenue that an
  179  applicant has been approved by the Legislature and certified by
  180  the Department of Economic Opportunity under s. 288.11625, the
  181  department shall distribute each month an amount equal to one
  182  twelfth of the annual distribution amount certified by the
  183  Department of Economic Opportunity for the applicant. The
  184  department may not distribute more than $13 million annually
  185  under this sub-subparagraph.
  186         7. All other proceeds must remain in the General Revenue
  187  Fund.
  188         Section 2. Subsections (2) and (3) of section 218.64,
  189  Florida Statutes, are amended to read:
  190         218.64 Local government half-cent sales tax; uses;
  191  limitations.—
  192         (2) Municipalities shall expend their portions of the local
  193  government half-cent sales tax only for municipality-wide
  194  programs, for reimbursing the state as required by a contract
  195  pursuant to s. 288.11625(7), or for municipality-wide property
  196  tax or municipal utility tax relief. All utility tax rate
  197  reductions afforded by participation in the local government
  198  half-cent sales tax shall be applied uniformly across all types
  199  of taxed utility services.
  200         (3) Subject to ordinances enacted by the majority of the
  201  members of the county governing authority and by the majority of
  202  the members of the governing authorities of municipalities
  203  representing at least 50 percent of the municipal population of
  204  such county, counties may use up to $3 $2 million annually of
  205  the local government half-cent sales tax allocated to that
  206  county for funding for any of the following purposes applicants:
  207         (a) Funding a certified applicant as a facility for a new
  208  or retained professional sports franchise under s. 288.1162 or a
  209  certified applicant as defined in s. 288.11621 for a facility
  210  for a spring training franchise. It is the Legislature’s intent
  211  that the provisions of s. 288.1162, including, but not limited
  212  to, the evaluation process by the Department of Economic
  213  Opportunity except for the limitation on the number of certified
  214  applicants or facilities as provided in that section and the
  215  restrictions set forth in s. 288.1162(8), shall apply to an
  216  applicant’s facility to be funded by local government as
  217  provided in this subsection.
  218         (b) Funding a certified applicant as a “motorsport
  219  entertainment complex,” as provided for in s. 288.1171. Funding
  220  for each franchise or motorsport complex shall begin 60 days
  221  after certification and shall continue for not more than 30
  222  years.
  223         (c) Reimbursing the state as required by a contract entered
  224  into under s. 288.11625(7).
  225         Section 3. Paragraph (d) is added to subsection (2) of
  226  section 288.0001, Florida Statutes, to read:
  227         288.0001 Economic Development Programs Evaluation.—The
  228  Office of Economic and Demographic Research and the Office of
  229  Program Policy Analysis and Government Accountability (OPPAGA)
  230  shall develop and present to the Governor, the President of the
  231  Senate, the Speaker of the House of Representatives, and the
  232  chairs of the legislative appropriations committees the Economic
  233  Development Programs Evaluation.
  234         (2) The Office of Economic and Demographic Research and
  235  OPPAGA shall provide a detailed analysis of economic development
  236  programs as provided in the following schedule:
  237         (d) Beginning January 1, 2018, and every 3 years
  238  thereafter, an analysis of the Sports Development Program
  239  established under s. 288.11625.
  240         Section 4. Section 288.11625, Florida Statutes, is created
  241  to read:
  242         288.11625 Sports development.—
  243         (1) ADMINISTRATION.—The department shall serve as the state
  244  agency responsible for screening applicants for state funding
  245  under s. 212.20(6)(d)6.f.
  246         (2) DEFINITIONS.—As used in this section, the term:
  247         (a) “Agreement” means a signed agreement between a unit of
  248  local government and a beneficiary.
  249         (b) “Applicant” means a unit of local government, as
  250  defined in s. 218.369, which is responsible for the
  251  construction, management, or operation of a facility; or an
  252  entity that is responsible for the construction, management, or
  253  operation of a facility if a unit of local government holds
  254  title to the underlying property on which the facility is
  255  located.
  256         (c) “Beneficiary” means a professional sports franchise of
  257  the National Football League, the National Hockey League, the
  258  National Basketball Association, the National League or American
  259  League of Major League Baseball, Major League Soccer, or the
  260  promoter of a signature event sanctioned by the National
  261  Association for Stock Car Auto Racing. A beneficiary may also be
  262  an applicant under this section.
  263         (d) “Facility” means a structure primarily used to host
  264  games or events held by a beneficiary and does not include any
  265  portion used to provide transient lodging.
  266         (e) “Project” means a proposed construction,
  267  reconstruction, renovation, or improvement of a facility or the
  268  proposed acquisition of land to construct a new facility and
  269  construction of improvements to state-owned land necessary for
  270  the efficient use of the facility.
  271         (f) “Signature event” means a professional sports event
  272  with significant export factor potential. For purposes of this
  273  paragraph, the term “export factor” means the attraction of
  274  economic activity or growth into the state which otherwise would
  275  not have occurred. Examples of signature events may include, but
  276  are not limited to:
  277         1. National Football League Super Bowls.
  278         2. Professional sports All-Star games.
  279         3. International sporting events and tournaments.
  280         4. Professional motorsports events.
  281         5. The establishment of a new professional sports franchise
  282  in this state.
  283         (g) “State sales taxes generated by sales at the facility”
  284  means state sales taxes imposed under chapter 212 generated by
  285  admissions to the facility or by sales made by vendors at the
  286  facility who are accessible only to persons attending events
  287  occurring at the facility.
  288         (3) PURPOSE.—The purpose of this section is to provide
  289  applicants state funding under s. 212.20(6)(d)6.f. for the
  290  public purpose of constructing, reconstructing, renovating, or
  291  improving a facility.
  292         (4) APPLICATION AND APPROVAL PROCESS.—
  293         (a) The department shall establish the procedures and
  294  application forms deemed necessary pursuant to the requirements
  295  of this section. The department may notify an applicant of any
  296  additional required or incomplete information necessary to
  297  evaluate an application.
  298         (b) The annual application period is from June 1 through
  299  November 1.
  300         (c) Within 60 days after receipt of a completed
  301  application, the department shall complete its evaluation of the
  302  application as provided under subsection (5) and notify the
  303  applicant in writing of the department’s decision to recommend
  304  approval of the applicant by the Legislature or to deny the
  305  application.
  306         (d) By each February 1, the department shall rank the
  307  applicants and provide to the Legislature the list of the
  308  recommended applicants in ranked order of projects most likely
  309  to positively impact the state based on criteria established
  310  under this section. The list must include the department’s
  311  evaluation of the applicant.
  312         (e) A recommended applicant’s request for funding must be
  313  approved by the Legislature by general law.
  314         1. An application by a unit of local government which is
  315  approved by the Legislature and subsequently certified by the
  316  department remains certified for the duration of the
  317  beneficiary’s agreement with the applicant or for 30 years,
  318  whichever is less, provided the certified applicant has an
  319  agreement with a beneficiary at the time of initial
  320  certification by the department.
  321         2. An application by a beneficiary or other applicant which
  322  is approved by the Legislature and subsequently certified by the
  323  department remains certified for the duration of the
  324  beneficiary’s agreement with the unit of local government that
  325  owns the underlying property or for 30 years, whichever is less,
  326  provided the certified applicant has an agreement with the unit
  327  of local government at the time of initial certification by the
  328  department.
  329         3. An applicant that is previously certified pursuant to
  330  this section does not need legislative approval each year to
  331  receive state funding.
  332         (f) An applicant that is recommended by the department but
  333  not approved by the Legislature may reapply and shall update any
  334  information in the original application as required by the
  335  department.
  336         (g) The department may recommend no more than one
  337  distribution under this section for any applicant, facility, or
  338  beneficiary at a time.
  339         (5) EVALUATION PROCESS.—
  340         (a) Before recommending an applicant to receive a state
  341  distribution under s. 212.20(6)(d)6.f., the department must
  342  verify that:
  343         1. The applicant or beneficiary is responsible for the
  344  construction, reconstruction, renovation, or improvement of a
  345  facility and obtained at least three bids for the project.
  346         2. If the applicant is not a unit of local government, a
  347  unit of local government holds title to the property on which
  348  the facility and project are located.
  349         3. If the applicant is a unit of local government in whose
  350  jurisdiction the facility will be located, the unit of local
  351  government has an exclusive intent agreement to negotiate in
  352  this state with the beneficiary.
  353         4. A unit of local government in whose jurisdiction the
  354  facility will be located supports the application for state
  355  funds. Such support must be verified by the adoption of a
  356  resolution, after a public hearing, that the project serves a
  357  public purpose.
  358         5. The applicant or beneficiary has not previously
  359  defaulted or failed to meet any statutory requirements of a
  360  previous state-administered sports-related program under s.
  361  288.1162, s. 288.11621, or s. 288.1168. Additionally, the
  362  applicant or beneficiary is not currently receiving state
  363  distributions under s. 212.20 or the facility that is the
  364  subject of the application is not the subject of a distribution
  365  under s. 212.20.
  366         6. The applicant or beneficiary has sufficiently
  367  demonstrated a commitment to employ residents of this state,
  368  contract with Florida-based firms, and purchase locally
  369  available building materials to the greatest extent possible.
  370         7. If the applicant is a unit of local government, the
  371  applicant has a certified copy of a signed agreement with a
  372  beneficiary for the use of the facility. If the applicant is a
  373  beneficiary, the beneficiary must enter into an agreement with
  374  the department. The applicant’s or beneficiary’s agreement must
  375  also require the following:
  376         a. The beneficiary must reimburse the state for state funds
  377  that have been distributed and will be distributed if the
  378  beneficiary relocates before the agreement expires.
  379         b. The beneficiary must pay for signage or advertising
  380  within the facility. The signage or advertising must be placed
  381  in a prominent location as close to the field of play or
  382  competition as is practicable, must be displayed consistent with
  383  signage or advertising in the same location and of like value,
  384  and must feature Florida advertising approved by the Florida
  385  Tourism Industry Marketing Corporation.
  386         8. The project will commence within 12 months after
  387  receiving state funds or did not commence more than 16 months
  388  before July 1, 2014.
  389         (b) The department shall competitively evaluate and rank
  390  applicants that timely submit applications for state funding
  391  based on their ability to positively impact the state using the
  392  following criteria:
  393         1. The proposed use of state funds.
  394         2. The length of time that a beneficiary has agreed to use
  395  the facility.
  396         3. The percentage of total project funds provided by the
  397  applicant and the percentage of total project funds provided by
  398  the beneficiary, with priority in the evaluation and ranking
  399  given to applications with 50 percent or more of total project
  400  funds provided by the applicant and beneficiary.
  401         4. The number and type of signature events the facility is
  402  likely to attract during the duration of the agreement with the
  403  beneficiary.
  404         5. The anticipated increase in average annual ticket sales
  405  and attendance at the facility due to the project.
  406         6. The potential to attract out-of-state visitors to the
  407  facility.
  408         7. The length of time a beneficiary has been in this state
  409  or partnered with the unit of local government. In order to
  410  encourage new franchises to locate in this state, an application
  411  for a new franchise shall be considered to have a significant
  412  positive impact on the state and shall be given priority in the
  413  evaluation and ranking by the department.
  414         8. The multiuse capabilities of the facility.
  415         9. The facility’s projected employment of residents of this
  416  state, contracts with Florida-based firms, and purchases of
  417  locally available building materials.
  418         10. The amount of private and local financial or in-kind
  419  contributions to the project.
  420         11. The amount of positive advertising or media coverage
  421  the facility generates.
  422         (6) DISTRIBUTION.—
  423         (a) The department shall determine the annual distribution
  424  amount an applicant may receive based on 80 percent of the
  425  average annual new incremental state sales taxes generated by
  426  sales at the facility as provided under subparagraph (b)2., up
  427  to $3 million.
  428         (b) At the time of initial evaluation and review by the
  429  department pursuant to subsection (5), the applicant must
  430  provide an analysis by an independent certified public
  431  accountant which demonstrates:
  432         1. The amount of state sales taxes generated by sales at
  433  the facility during the 12-month period immediately before the
  434  beginning of the application period. This amount is the
  435  baseline.
  436         2. The expected amount of average annual new incremental
  437  state sales taxes generated by sales at the facility above the
  438  baseline which will be generated as a result of the project.
  439         3. The expected amount of average annual new incremental
  440  state sales taxes generated by sales at the facility must be at
  441  least $500,000 above the baseline for the applicant to be
  442  eligible to receive a distribution under this section.
  443         (c) The independent analysis provided in paragraph (b)
  444  shall be verified by the department.
  445         (d) The Department of Revenue shall begin distributions
  446  within 45 days after notification of initial certification from
  447  the department.
  448         (e) The department shall consult with the Department of
  449  Revenue and the Office of Economic and Demographic Research to
  450  develop a standard calculation for estimating the average annual
  451  new incremental state sales taxes generated by sales at the
  452  facility.
  453         (f) In any 12-month period when total distributions for all
  454  certified applicants reach $13 million, the department may not
  455  certify new distributions for additional applicants.
  456         (7) CONTRACT.—An applicant approved by the Legislature and
  457  certified by the department must enter into a contract with the
  458  department which:
  459         (a) Specifies the terms of the state’s investment.
  460         (b) States the criteria that the certified applicant must
  461  meet in order to remain certified.
  462         (c) Requires the applicant to submit the independent
  463  analysis required under subsection (6) and an annual independent
  464  analysis.
  465         1. The applicant must agree to submit to the department,
  466  beginning 12 months after completion of a project or 12 months
  467  after the first four annual distributions, whichever is earlier,
  468  an annual analysis by an independent certified public accountant
  469  demonstrating the actual amount of new incremental state sales
  470  taxes generated by sales at the facility during the previous 12
  471  month period. The applicant shall certify to the department a
  472  comparison of the actual amount of state sales taxes generated
  473  by sales at the facility during the previous 12-month period to
  474  the baseline under subparagraph (6)(b)1.
  475         2. The applicant must submit the certification within 60
  476  days after the end of the previous 12-month period. The
  477  department shall verify the analysis.
  478         (d) Specifies information that the certified applicant must
  479  report to the department.
  480         (e) Requires the applicant to reimburse the state, after
  481  all distributions have been made, an amount equal to the
  482  difference between the actual new incremental state sales taxes
  483  generated by sales at the facility during the contract and the
  484  total amount of distributions made under s. 212.20(6)(d)6.f. If
  485  any reimbursement is due to the state, such reimbursement must
  486  be made within 90 days after the last distribution under the
  487  contract has been made. If the applicant is unable or unwilling
  488  to reimburse the state for such amount, the department may place
  489  a lien on the applicant’s facility.
  490         1. If the applicant is a municipality or county, it may
  491  reimburse the state from its half-cent sales tax allocation, as
  492  provided in s. 218.64(3).
  493         2. Reimbursements must be sent to the Department of Revenue
  494  for deposit into the General Revenue Fund.
  495         (f) Includes any provisions deemed prudent by the
  496  department.
  497         (8) USE OF FUNDS.—An applicant certified under this section
  498  may use state funds only for the following purposes:
  499         (a) Constructing, reconstructing, renovating, or improving
  500  a facility or reimbursing such costs.
  501         (b) Paying or pledging for the payment of debt service on
  502  bonds issued for the construction or renovation of such
  503  facility.
  504         (c) Funding debt service reserve funds, arbitrage rebate
  505  obligations, or other amounts payable with respect thereto on
  506  bonds issued for the construction or renovation of such
  507  facility.
  508         (d) Reimbursing the costs under paragraphs (b) and (c) or
  509  the refinancing of bonds issued for the construction or
  510  renovation of such facility.
  511         (9) REPORTS.—
  512         (a) On or before November 1 of each year, an applicant
  513  certified under this section and approved to receive state funds
  514  must submit to the department any information required by the
  515  department. The department shall summarize this information for
  516  inclusion in its annual report to the Legislature under
  517  paragraph (4)(d).
  518         (b) Every 5 years after an applicant receives its first
  519  monthly distribution, the department must verify that the
  520  applicant is meeting the program requirements. If the applicant
  521  fails to meet these requirements, the department shall notify
  522  the Governor and the Legislature in its next annual report under
  523  paragraph (4)(d) that the requirements are not being met and
  524  recommend future action. The department shall take into
  525  consideration extenuating circumstances that may have prevented
  526  the applicant from meeting the program requirements, such as
  527  force majeure events or a significant economic downturn.
  528         (10) AUDITS.—The Auditor General may conduct audits
  529  pursuant to s. 11.45 to verify the independent analysis required
  530  under paragraphs (6)(b) and (7)(c) and to verify that the
  531  distributions are expended as required. The Auditor General
  532  shall report the findings to the department. If the Auditor
  533  General determines that the distribution payments are not
  534  expended as required, the Auditor General must notify the
  535  Department of Revenue, which may pursue recovery of
  536  distributions under the laws and rules that govern the
  537  assessment of taxes.
  538         (11) REPAYMENT OF DISTRIBUTIONS.—An applicant that is
  539  certified under this section may be subject to repayment of
  540  distributions upon the occurrence of any of the following:
  541         (a) An applicant’s beneficiary has broken the terms of its
  542  agreement with the applicant and relocated from the facility.
  543  The beneficiary must reimburse the state for state funds that
  544  will be distributed if the beneficiary relocates before the
  545  agreement expires.
  546         (b) A determination by the department that an applicant has
  547  submitted information or made a representation that is
  548  determined to be false, misleading, deceptive, or otherwise
  549  untrue. The applicant must reimburse the state for state funds
  550  that will be distributed if such determination is made.
  551         (c)Repayment of distributions must be sent to the
  552  Department of Revenue for deposit into the General Revenue Fund.
  553         (12) HALTING OF PAYMENTS.—The applicant may request in
  554  writing at least 20 days before the next monthly distribution
  555  that the department halt future payments. The department shall
  556  immediately notify the Department of Revenue to halt future
  557  payments.
  558         (13) RULEMAKING.—The department may adopt rules to
  559  implement this section.
  560         Section 5. Paragraphs (a) and (c) of subsection (2) of
  561  section 288.11631, Florida Statutes, are amended, and paragraph
  562  (d) is added to that subsection, to read:
  563         288.11631 Retention of Major League Baseball spring
  564  training baseball franchises.—
  565         (2) CERTIFICATION PROCESS.—
  566         (a) Before certifying an applicant to receive state funding
  567  for a facility for a spring training franchise, the department
  568  must verify that:
  569         1. The applicant is responsible for the construction or
  570  renovation of the facility for a spring training franchise or
  571  holds title to the property on which the facility for a spring
  572  training franchise is located.
  573         2. The applicant has a certified copy of a signed agreement
  574  with a spring training franchise. The signed agreement with a
  575  spring training franchise for the use of a facility must, at a
  576  minimum, be equal to the length of the term of the bonds issued
  577  for the public purpose of constructing or renovating a facility
  578  for a spring training franchise. If no such bonds are issued for
  579  the public purpose of constructing or renovating a facility for
  580  a spring training franchise, the signed agreement with a spring
  581  training franchise for the use of a facility must be for at
  582  least 20 years. Any such agreement with a spring training
  583  franchise for the use of a facility cannot be signed more than 4
  584  years before the expiration of any existing agreement with a
  585  spring training franchise for the use of a facility. However,
  586  any such agreement may be signed at any time before the
  587  expiration of any existing agreement with a spring training
  588  franchise for use of a facility if the applicant has never
  589  received state funding for the facility as a spring training
  590  facility under this section or s. 288.11621 and the facility was
  591  constructed before January 1, 2000. The agreement must also
  592  require the franchise to reimburse the state for state funds
  593  expended by an applicant under this section if the franchise
  594  relocates before the agreement expires; however, if bonds were
  595  issued to construct or renovate a facility for a spring training
  596  franchise, the required reimbursement must be equal to the total
  597  amount of state distributions expected to be paid from the date
  598  the franchise breaks its agreement with the applicant through
  599  the final maturity of the bonds. The agreement may be contingent
  600  on an award of funds under this section and other conditions
  601  precedent.
  602         3. The applicant has made a financial commitment to provide
  603  50 percent or more of the funds required by an agreement for the
  604  construction or renovation of the facility for a spring training
  605  franchise. The commitment may be contingent upon an award of
  606  funds under this section and other conditions precedent.
  607         4. The applicant demonstrates that the facility for a
  608  spring training franchise will attract a paid attendance of at
  609  least 50,000 persons annually to the spring training games.
  610         5. The facility for a spring training franchise is located
  611  in a county that levies a tourist development tax under s.
  612  125.0104.
  613         (c) Each applicant certified on or after July 1, 2013,
  614  shall enter into an agreement with the department which:
  615         1. Specifies the amount of the state incentive funding to
  616  be distributed. The amount of state incentive funding per
  617  certified applicant may not exceed $20 million. However, if a
  618  certified applicant’s facility is used by more than one spring
  619  training franchise, the maximum amount may not exceed $50
  620  million, and the Department of Revenue shall make distributions
  621  to the applicant pursuant to s. 212.20(6)(d)6.e. for not more
  622  than 37 years and 6 months.
  623         2. States the criteria that the certified applicant must
  624  meet in order to remain certified. These criteria must include a
  625  provision stating that the spring training franchise must
  626  reimburse the state for any funds received if the franchise does
  627  not comply with the terms of the contract. If bonds were issued
  628  to construct or renovate a facility for a spring training
  629  franchise, the required reimbursement must be equal to the total
  630  amount of state distributions expected to be paid from the date
  631  the franchise violates the agreement with the applicant through
  632  the final maturity of the bonds.
  633         3. States that the certified applicant is subject to
  634  decertification if the certified applicant fails to comply with
  635  this section or the agreement.
  636         4. States that the department may recover state incentive
  637  funds if the certified applicant is decertified.
  638         5. Specifies the information that the certified applicant
  639  must report to the department.
  640         6. Includes any provision deemed prudent by the department.
  641         (d) If a certified applicant has been certified under this
  642  program for use of its facility by one spring training
  643  franchise, the certified applicant may apply to amend its
  644  certification for use of its facility by more than one spring
  645  training franchise. The certified applicant must submit an
  646  application to amend its original certification that meets the
  647  requirements of this section. The maximum amount of state
  648  incentive funding to be distributed may not exceed $50 million
  649  as provided in subparagraph (c)1. for a certified applicant with
  650  a facility used by more than one spring training franchise,
  651  including any distributions previously received by the certified
  652  applicant under its original certification under this section.
  653  Upon approval of an amended certification, the department shall
  654  notify the Department of Revenue as provided in this section.
  655         Section 6. (1) The executive director of the Department of
  656  Economic Opportunity is authorized, and all conditions are
  657  deemed met, to adopt emergency rules pursuant to ss. 120.536(1)
  658  and 120.54(4), Florida Statutes, for the purpose of implementing
  659  this act.
  660         (2) Notwithstanding any provision of law, such emergency
  661  rules shall remain in effect for 6 months after the date adopted
  662  and may be renewed during the pendency of procedures to adopt
  663  permanent rules addressing the subject of the emergency rules.
  664         (3) This section expires July 1, 2015.
  665         Section 7. This act shall take effect July 1, 2014.