The Florida Senate

290.00689  Designation of enterprise zone pilot project area.--

(1)  The Office of Tourism, Trade, and Economic Development shall designate one pilot project area within one state enterprise zone. The Office of Tourism, Trade, and Economic Development shall select a pilot project area by July 1, 1999, which meets the following qualifications:

(a)  The area is contained within an enterprise zone that is composed of one contiguous area and is placed in the category delineated in s. 290.0065(3)(a)1.

(b)  The local government having jurisdiction over the enterprise zone grants economic development ad valorem tax exemptions in the enterprise zone pursuant to s. 196.1995, and electrical energy public service tax exemptions pursuant to s. 166.231(8).

(c)  The local government having jurisdiction over the enterprise zone has developed a plan for revitalizing the pilot project area or for revitalizing an area within the enterprise zone that contains the pilot project area, and has committed at least $5 million to redevelop an area including the pilot project area.

(d)  The pilot project area is contiguous and is limited to no more than 70 acres, or equivalent square miles, to avoid a dilution of additional state assistance and effectively concentrate these additional resources on revitalizing the acute area of economic distress.

(e)  The pilot project area contains a diverse cluster or grouping of facilities or space for a mix of retail, restaurant, or service related businesses necessary to an overall revitalization of surrounding neighborhoods through community involvement, investment, and enhancement of employment markets.

(2)(a)  Beginning December 1, 1999, no more than four businesses located within the pilot project area are eligible for a credit against any tax due for a taxable year under chapters 212 and 220.

(b)  The credit shall be computed as $5,000 times the number of full-time employees of the business and $2,500 times the number of part-time employees of the business. For purposes of this section, a person shall be deemed to be employed by such a business on a full-time basis if the person performs duties in connection with the operations of the business for an average of at least 36 hours per week each month, or on a part-time basis if the person is performing such duties for an average of at least 20 hours per week each month throughout the year. The person must be performing such duties at a business site located in the pilot project area.

(c)  The total amount of tax credits that may be granted under this section is $1 million annually. In the event the Office of Tourism, Trade, and Economic Development receives applications that total more than $1 million in any year, the director shall prorate the amount of tax credit each applicant is eligible to receive to ensure that all eligible applicants receive a tax credit.

(d)  In order to be eligible to apply to the Office of Tourism, Trade, and Economic Development for tax credits under this section a business must:

1.  Have entered into a contract with the developer of the diverse cluster or grouping of facilities or space located in the pilot project area, governing lease of commercial space in a facility.

2.  Have commenced operations in the facility after July 1, 1999, and before July 1, 2000.

3.  Be a business predominantly engaged in activities usually provided for consideration by firms classified under the Standard Industrial Classification Manual Industry Number 5311, Industry Number 5399, or Industry Number 7832.

(e)  All applications for the granting of the tax credits allowed under this section shall require the prior approval of the director of the Office of Tourism, Trade, and Economic Development. The director shall establish one submittal date each year for the receipt of applications for such tax credits.

(f)  Any business wishing to receive tax credits pursuant to this section must submit an application to the Office of Tourism, Trade, and Economic Development which sets forth the business name and address and the number of employees of the business.

(g)  The decision of the director shall be in writing, and, if approved, the application shall state the maximum credits allowable to the business. A copy of the decision shall be transmitted to the executive director of the Department of Revenue, who shall apply such credits to the tax liabilities of the business firm.

(h)  If any credit granted pursuant to this section is not fully used in any one year because of insufficient tax liability on the part of the business, the unused amount may be carried forward for a period not to exceed 5 years.

(3)  The Office of Tourism, Trade, and Economic Development is authorized to adopt all rules necessary to administer this section, including rules for the approval or disapproval of applications for tax incentives by businesses.

(4)  The Department of Revenue shall adopt any rules necessary to ensure the orderly implementation and administration of this section.

(5)  For purposes of this section, "business" and "taxable year" shall have the same meaning as in s. 220.03

(6)  Prior to the 2004 Regular Session of the Legislature, the Office of Program Policy Analysis and Government Accountability shall review and evaluate the effectiveness and viability of the pilot project area created under this section, using the research design prescribed pursuant to s. 290.015 The office shall specifically evaluate whether relief from certain taxes induced new investment and development in the area; increased the number of jobs created or retained in the area; induced the renovation, rehabilitation, restoration, improvement, or new construction of businesses or housing within the area; and contributed to the economic viability and profitability of business and commerce located within the area. The office shall submit a report of its findings and recommendations to the Speaker of the House of Representatives and the President of the Senate no later than January 15, 2004.

(7)  This section shall stand repealed on June 30, 2010, and any designation made pursuant to this section shall be revoked on that date.

History.--s. 104, ch. 99-251.