Florida Senate - 2019                                    SB 1000
       
       
        
       By Senator Hutson
       
       
       
       
       
       7-01349-19                                            20191000__
    1                        A bill to be entitled                      
    2         An act relating to communications services taxes;
    3         amending s. 202.12, F.S.; reducing the communications
    4         services tax rate levied on sales of communications
    5         services; amending s. 337.401, F.S.; revising the
    6         authority for municipalities and counties to impose
    7         permit fees on providers of communications services
    8         that use or occupy municipal or county roads or
    9         rights-of-way; deleting the procedures, requirements,
   10         and limitations with respect to such fees; conforming
   11         provisions to changes made by the act; providing
   12         applicability; providing an effective date.
   13          
   14  Be It Enacted by the Legislature of the State of Florida:
   15  
   16         Section 1. Paragraphs (a) and (b) of subsection (1) of
   17  section 202.12, Florida Statutes, are amended to read:
   18         202.12 Sales of communications services.—The Legislature
   19  finds that every person who engages in the business of selling
   20  communications services at retail in this state is exercising a
   21  taxable privilege. It is the intent of the Legislature that the
   22  tax imposed by chapter 203 be administered as provided in this
   23  chapter.
   24         (1) For the exercise of such privilege, a tax is levied on
   25  each taxable transaction and is due and payable as follows:
   26         (a) Except as otherwise provided in this subsection, at the
   27  rate of 3.92 4.92 percent applied to the sales price of the
   28  communications service that:
   29         1. Originates and terminates in this state, or
   30         2. Originates or terminates in this state and is charged to
   31  a service address in this state,
   32  
   33  when sold at retail, computed on each taxable sale for the
   34  purpose of remitting the tax due. The gross receipts tax imposed
   35  by chapter 203 shall be collected on the same taxable
   36  transactions and remitted with the tax imposed by this
   37  paragraph. If no tax is imposed by this paragraph due to the
   38  exemption provided under s. 202.125(1), the tax imposed by
   39  chapter 203 shall nevertheless be collected and remitted in the
   40  manner and at the time prescribed for tax collections and
   41  remittances under this chapter.
   42         (b) At the rate of 8.07 9.07 percent applied to the retail
   43  sales price of any direct-to-home satellite service received in
   44  this state. The proceeds of the tax imposed under this paragraph
   45  shall be accounted for and distributed in accordance with s.
   46  202.18(2). The gross receipts tax imposed by chapter 203 shall
   47  be collected on the same taxable transactions and remitted with
   48  the tax imposed by this paragraph.
   49         Section 2. Paragraphs (c), (d), (j), and (k) of subsection
   50  (3) and paragraphs (e) and (f) of subsection (6) of section
   51  337.401, Florida Statutes, are amended to read:
   52         337.401 Use of right-of-way for utilities subject to
   53  regulation; permit; fees.—
   54         (3)
   55         (c)1.A municipality or county that elected to impose
   56  permit fees on or before January 1, 2019, on providers of
   57  communications services pursuant to former paragraphs (c) or (j)
   58  of this subsection, Florida Statutes 2018, may continue to
   59  impose such fees. However, a municipality or county that did not
   60  impose permit fees as of January 1, 2019, may not impose such
   61  fees It is the intention of the state to treat all providers of
   62  communications services that use or occupy municipal or charter
   63  county roads or rights-of-way for the provision of
   64  communications services in a nondiscriminatory and competitively
   65  neutral manner with respect to the payment of permit fees.
   66  Certain providers of communications services have been granted
   67  by general law the authority to offset permit fees against
   68  franchise or other fees while other providers of communications
   69  services have not been granted this authority. In order to treat
   70  all providers of communications services in a nondiscriminatory
   71  and competitively neutral manner with respect to the payment of
   72  permit fees, each municipality and charter county shall make an
   73  election under either sub-subparagraph a. or sub-subparagraph b.
   74  and must inform the Department of Revenue of the election by
   75  certified mail by July 16, 2001. Such election shall take effect
   76  October 1, 2001.
   77         a.(I)The municipality or charter county may require and
   78  collect permit fees from any providers of communications
   79  services that use or occupy municipal or county roads or rights
   80  of-way. All fees permitted under this paragraph sub-subparagraph
   81  must be reasonable and commensurate with the direct and actual
   82  cost of the regulatory activity, including issuing and
   83  processing permits, plan reviews, physical inspection, and
   84  direct administrative costs; must be demonstrable; and must be
   85  equitable among users of the roads or rights-of-way. A fee
   86  permitted under this paragraph sub-subparagraph may not: be
   87  offset against the tax imposed under chapter 202; include the
   88  costs of roads or rights-of-way acquisition or roads or rights
   89  of-way rental; include any general administrative, management,
   90  or maintenance costs of the roads or rights-of-way; or be based
   91  on a percentage of the value or costs associated with the work
   92  to be performed on the roads or rights-of-way. In an action to
   93  recover amounts due for a fee not permitted under this paragraph
   94  sub-subparagraph, the prevailing party may recover court costs
   95  and attorney attorney’s fees at trial and on appeal. In addition
   96  to the limitations set forth in this section, a fee levied by a
   97  municipality or charter county under this paragraph sub
   98  subparagraph may not exceed $100. However, permit fees may not
   99  be imposed with respect to permits that may be required for
  100  service drop lines not required to be noticed under s.
  101  556.108(5)(a)2. or for any activity that does not require the
  102  physical disturbance of the roads or rights-of-way or does not
  103  impair access to or full use of the roads or rights-of-way.
  104         (II)To ensure competitive neutrality among providers of
  105  communications services, for any municipality or charter county
  106  that elects to exercise its authority to require and collect
  107  permit fees under this sub-subparagraph, the rate of the local
  108  communications services tax imposed by such jurisdiction, as
  109  computed under s. 202.20, shall automatically be reduced by a
  110  rate of 0.12 percent.
  111         b.Alternatively, the municipality or charter county may
  112  elect not to require and collect permit fees from any provider
  113  of communications services that uses or occupies municipal or
  114  charter county roads or rights-of-way for the provision of
  115  communications services; however, each municipality or charter
  116  county that elects to operate under this sub-subparagraph
  117  retains all authority to establish rules and regulations for
  118  providers of communications services to use or occupy roads or
  119  rights-of-way as provided in this section. If a municipality or
  120  charter county elects to operate under this sub-subparagraph,
  121  the total rate for the local communications services tax as
  122  computed under s. 202.20 for that municipality or charter county
  123  may be increased by ordinance or resolution by an amount not to
  124  exceed a rate of 0.12 percent. If a municipality or charter
  125  county elects to increase its rate effective October 1, 2001,
  126  the municipality or charter county shall inform the department
  127  of such increased rate by certified mail postmarked on or before
  128  July 16, 2001.
  129         c.A municipality or charter county that does not make an
  130  election as provided for in this subparagraph shall be presumed
  131  to have elected to operate under the provisions of sub
  132  subparagraph b.
  133         2.Each noncharter county shall make an election under
  134  either sub-subparagraph a. or sub-subparagraph b. and shall
  135  inform the Department of Revenue of the election by certified
  136  mail by July 16, 2001. Such election shall take effect October
  137  1, 2001.
  138         a.The noncharter county may elect to require and collect
  139  permit fees from any providers of communications services that
  140  use or occupy noncharter county roads or rights-of-way. All fees
  141  permitted under this sub-subparagraph must be reasonable and
  142  commensurate with the direct and actual cost of the regulatory
  143  activity, including issuing and processing permits, plan
  144  reviews, physical inspection, and direct administrative costs;
  145  must be demonstrable; and must be equitable among users of the
  146  roads or rights-of-way. A fee permitted under this sub
  147  subparagraph may not: be offset against the tax imposed under
  148  chapter 202; include the costs of roads or rights-of-way
  149  acquisition or roads or rights-of-way rental; include any
  150  general administrative, management, or maintenance costs of the
  151  roads or rights-of-way; or be based on a percentage of the value
  152  or costs associated with the work to be performed on the roads
  153  or rights-of-way. In an action to recover amounts due for a fee
  154  not permitted under this sub-subparagraph, the prevailing party
  155  may recover court costs and attorney’s fees at trial and on
  156  appeal. In addition to the limitations set forth in this
  157  section, a fee levied by a noncharter county under this sub
  158  subparagraph may not exceed $100. However, permit fees may not
  159  be imposed with respect to permits that may be required for
  160  service drop lines not required to be noticed under s.
  161  556.108(5)(a)2. or for any activity that does not require the
  162  physical disturbance of the roads or rights-of-way or does not
  163  impair access to or full use of the roads or rights-of-way.
  164         b.Alternatively, the noncharter county may elect not to
  165  require and collect permit fees from any provider of
  166  communications services that uses or occupies noncharter county
  167  roads or rights-of-way for the provision of communications
  168  services; however, each noncharter county that elects to operate
  169  under this sub-subparagraph shall retain all authority to
  170  establish rules and regulations for providers of communications
  171  services to use or occupy roads or rights-of-way as provided in
  172  this section. If a noncharter county elects to operate under
  173  this sub-subparagraph, the total rate for the local
  174  communications services tax as computed under s. 202.20 for that
  175  noncharter county may be increased by ordinance or resolution by
  176  an amount not to exceed a rate of 0.24 percent, to replace the
  177  revenue the noncharter county would otherwise have received from
  178  permit fees for providers of communications services. If a
  179  noncharter county elects to increase its rate effective October
  180  1, 2001, the noncharter county shall inform the department of
  181  such increased rate by certified mail postmarked on or before
  182  July 16, 2001.
  183         c.A noncharter county that does not make an election as
  184  provided for in this subparagraph shall be presumed to have
  185  elected to operate under the provisions of sub-subparagraph b.
  186         3.Except as provided in this paragraph, municipalities and
  187  counties retain all existing authority to require and collect
  188  permit fees from users or occupants of municipal or county roads
  189  or rights-of-way and to set appropriate permit fee amounts.
  190         (d) After January 1, 2001, In addition to any other notice
  191  requirements, a municipality must provide to the Secretary of
  192  State, at least 10 days before prior to consideration on first
  193  reading, notice of a proposed ordinance governing a
  194  telecommunications company placing or maintaining
  195  telecommunications facilities in its roads or rights-of-way.
  196  After January 1, 2001, In addition to any other notice
  197  requirements, a county must provide to the Secretary of State,
  198  at least 15 days before prior to consideration at a public
  199  hearing, notice of a proposed ordinance governing a
  200  telecommunications company placing or maintaining
  201  telecommunications facilities in its roads or rights-of-way. The
  202  notice required by this paragraph must be published by the
  203  Secretary of State on a designated Internet website. The failure
  204  of a municipality or county to provide such notice does not
  205  render the ordinance invalid.
  206         (j)Pursuant to this paragraph, any county or municipality
  207  may by ordinance change either its election made on or before
  208  July 16, 2001, under paragraph (c) or an election made under
  209  this paragraph.
  210         1.a.If a municipality or charter county changes its
  211  election under this paragraph in order to exercise its authority
  212  to require and collect permit fees in accordance with this
  213  subsection, the rate of the local communications services tax
  214  imposed by such jurisdiction pursuant to ss. 202.19 and 202.20
  215  shall automatically be reduced by the sum of 0.12 percent plus
  216  the percentage, if any, by which such rate was increased
  217  pursuant to sub-subparagraph (c)1.b.
  218         b.If a municipality or charter county changes its election
  219  under this paragraph in order to discontinue requiring and
  220  collecting permit fees, the rate of the local communications
  221  services tax imposed by such jurisdiction pursuant to ss. 202.19
  222  and 202.20 may be increased by ordinance or resolution by an
  223  amount not to exceed 0.24 percent.
  224         2.a.If a noncharter county changes its election under this
  225  paragraph in order to exercise its authority to require and
  226  collect permit fees in accordance with this subsection, the rate
  227  of the local communications services tax imposed by such
  228  jurisdiction pursuant to ss. 202.19 and 202.20 shall
  229  automatically be reduced by the percentage, if any, by which
  230  such rate was increased pursuant to sub-subparagraph (c)2.b.
  231         b.If a noncharter county changes its election under this
  232  paragraph in order to discontinue requiring and collecting
  233  permit fees, the rate of the local communications services tax
  234  imposed by such jurisdiction pursuant to ss. 202.19 and 202.20
  235  may be increased by ordinance or resolution by an amount not to
  236  exceed 0.24 percent.
  237         3.a.Any change of election pursuant to this paragraph and
  238  any tax rate change resulting from such change of election shall
  239  be subject to the notice requirements of s. 202.21; however, no
  240  such change of election shall become effective prior to January
  241  1, 2003.
  242         b.Any county or municipality changing its election under
  243  this paragraph in order to exercise its authority to require and
  244  collect permit fees shall, in addition to complying with the
  245  notice requirements under s. 202.21, provide to all dealers
  246  providing communications services in such jurisdiction written
  247  notice of such change of election by September 1 immediately
  248  preceding the January 1 on which such change of election becomes
  249  effective. For purposes of this sub-subparagraph, dealers
  250  providing communications services in such jurisdiction shall
  251  include every dealer reporting tax to such jurisdiction pursuant
  252  to s. 202.37 on the return required under s. 202.27 to be filed
  253  on or before the 20th day of May immediately preceding the
  254  January 1 on which such change of election becomes effective.
  255         (k)Notwithstanding the provisions of s. 202.19, when a
  256  local communications services tax rate is changed as a result of
  257  an election made or changed under this subsection, such rate
  258  shall not be rounded to tenths.
  259         (6)
  260         (e) This subsection does not alter any provision of this
  261  section or s. 202.24 relating to taxes, fees, or other charges
  262  or impositions by a municipality or county on a dealer of
  263  communications services or authorize that any charges be
  264  assessed on a dealer of communications services, except as
  265  specifically set forth herein. A municipality or county may not
  266  charge a pass-through provider any amounts other than the
  267  charges under this subsection as a condition to the placement or
  268  maintenance of a communications facility in the roads or rights
  269  of-way of a municipality or county by a pass-through provider,
  270  except that a municipality or county may impose permit fees on a
  271  pass-through provider consistent with paragraph (3)(c) if the
  272  municipality or county elects to exercise its authority to
  273  collect permit fees under paragraph (3)(c).
  274         (f) The charges under this subsection do not apply to
  275  communications facilities placed in a municipality’s or county’s
  276  rights-of-way before prior to the effective date of this
  277  subsection with permission from the municipality or county, if
  278  any was required, except to the extent the facilities of a pass
  279  through provider were subject to per linear foot or mile charges
  280  in effect as of October 1, 2001, in which case the municipality
  281  or county may only impose on a pass-through provider charges
  282  consistent with paragraph (b) or paragraph (c) for such
  283  facilities. Notwithstanding the foregoing, this subsection does
  284  not impair any written agreement between a pass-through provider
  285  and a municipality or county imposing per linear foot or mile
  286  charges for communications facilities placed in municipal or
  287  county roads or rights-of-way that is in effect prior to the
  288  effective date of this subsection. Upon the termination or
  289  expiration of any such written agreement, any charges imposed
  290  shall be consistent with this section paragraph (b) or paragraph
  291  (c). Notwithstanding the foregoing, until October 1, 2005, this
  292  subsection shall not affect a municipality or county continuing
  293  to impose charges in excess of the charges authorized in this
  294  subsection on facilities of a pass-through provider that is not
  295  a dealer of communications services in the state under chapter
  296  202, but only to the extent such charges were imposed by
  297  municipal or county ordinance or resolution adopted prior to
  298  February 1, 2002. Effective October 1, 2005, any charges imposed
  299  shall be consistent with paragraph (b) or paragraph (c).
  300         Section 3. The taxes imposed by s. 202.12, Florida
  301  Statutes, as amended by this act, on communications services
  302  shall be applied to communications services reflected on bills
  303  dated on or after October 1, 2020.
  304         Section 4. This act shall take effect July 1, 2019.