The Florida Senate

¹220.183  Community contribution tax credit.--

(1)  AUTHORIZATION TO GRANT COMMUNITY CONTRIBUTION TAX CREDITS; LIMITATIONS ON INDIVIDUAL CREDITS AND PROGRAM SPENDING.--

(a)  There shall be allowed a credit of 50 percent of a community contribution against any tax due for a taxable year under this chapter.

(b)  No business firm shall receive more than $200,000 in annual tax credits for all approved community contributions made in any one year.

(c)  The total amount of tax credit which may be granted for all programs approved under this section, s. 212.08(5)(q), and s. 624.5105 is $12 million annually.

(d)  All proposals for the granting of the tax credit shall require the prior approval of the Office of Tourism, Trade, and Economic Development.

(e)  If the 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 firm, the unused amount may be carried forward for a period not to exceed 5 years. The carryover credit may be used in a subsequent year when the tax imposed by this chapter for such year exceeds the credit for such year under this section after applying the other credits and unused credit carryovers in the order provided in s. 220.02(8).

(f)  A taxpayer who files a Florida consolidated return as a member of an affiliated group pursuant to s. 220.131(1) may be allowed the credit on a consolidated return basis.

(g)  A taxpayer who is eligible to receive the credit provided for in s. 624.5105 is not eligible to receive the credit provided by this section.

(2)  ELIGIBILITY REQUIREMENTS.--

(a)  All community contributions by a business firm shall be in the form specified in s. 220.03(1)(d).

(b)1.  All community contributions must be reserved exclusively for use in projects as defined in s. 220.03(1)(t).

2.  For the first 6 months of the fiscal year, the Office of Tourism, Trade, and Economic Development shall reserve 80 percent of the first $10 million in available annual tax credits, and 70 percent of any available annual tax credits in excess of $10 million, for donations made to eligible sponsors for projects that provide homeownership opportunities for low-income or very-low-income households as defined in s. 420.9071(19) and (28). If any reserved annual tax credits remain after the first 6 months of the fiscal year, the office may approve the balance of these available credits for donations made to eligible sponsors for projects other than those that provide homeownership opportunities for low-income or very-low-income households.

3.  For the first 6 months of the fiscal year, the office shall reserve 20 percent of the first $10 million in available annual tax credits, and 30 percent of any available annual tax credits in excess of $10 million, for donations made to eligible sponsors for projects other than those that provide homeownership opportunities for low-income or very-low-income households as defined in s. 420.9071(19) and (28). If any reserved annual tax credits remain after the first 6 months of the fiscal year, the office may approve the balance of these available credits for donations made to eligible sponsors for projects that provide homeownership opportunities for low-income or very-low-income households.

4.  If, during the first 10 business days of the state fiscal year, eligible tax credit applications are received for less than the available annual tax credits reserved under subparagraph 2., the office shall grant tax credits for those applications and shall grant remaining tax credits on a first-come, first-served basis for any subsequent eligible applications received before the end of the first 6 months of the state fiscal year. If, during the first 10 business days of the state fiscal year, eligible tax credit applications are received for more than the available annual tax credits reserved under subparagraph 2., the office shall grant the tax credits for such applications as follows:

a.  If tax credit applications submitted for approved projects of an eligible sponsor do not exceed $200,000 in total, the credit shall be granted in full if the tax credit applications are approved, subject to the provisions of subparagraph 2.

b.  If tax credit applications submitted for approved projects of an eligible sponsor exceed $200,000 in total, the amount of tax credits granted under sub-subparagraph a. shall be subtracted from the amount of available tax credits under subparagraph 2., and the remaining credits shall be granted to each approved tax credit application on a pro rata basis.

c.  If, after the first 6 months of the fiscal year, additional credits become available pursuant to subparagraph 3., the office shall grant the tax credits by first granting to those who received a pro rata reduction up to the full amount of their request and, if there are remaining credits, granting credits to those who applied on or after the 11th business day of the state fiscal year on a first-come, first-served basis.

5.  If, during the first 10 business days of the state fiscal year, eligible tax credit applications are received for less than the available annual tax credits reserved under subparagraph 3., the office shall grant tax credits for those applications and shall grant remaining tax credits on a first-come, first-served basis for any subsequent eligible applications received before the end of the first 6 months of the state fiscal year. If, during the first 10 business days of the state fiscal year, eligible tax credit applications are received for more than the available annual tax credits reserved under subparagraph 3., the office shall grant the tax credits for such applications on a pro rata basis. If, after the first 6 months of the fiscal year, additional credits become available under subparagraph 2., the office shall grant the tax credits by first granting to those who received a pro rata reduction up to the full amount of their request and, if there are remaining credits, granting credits to those who applied on or after the 11th business day of the state fiscal year on a first-come, first-served basis.

(c)  The project must be undertaken by an "eligible sponsor," defined here as:

1.  A community action program;

2.  A nonprofit community-based development organization whose mission is the provision of housing for low-income or very-low-income households or increasing entrepreneurial and job-development opportunities for low-income persons;

3.  A neighborhood housing services corporation;

4.  A local housing authority, created pursuant to chapter 421;

5.  A community redevelopment agency, created pursuant to s. 163.356;

6.  The Florida Industrial Development Corporation;

7.  An historic preservation district agency or organization;

8.  A regional workforce board;

9.  A direct-support organization as provided in s. 1009.983;

10.  An enterprise zone development agency created pursuant to s. 290.0056;

11.  A community-based organization incorporated under chapter 617 which is recognized as educational, charitable, or scientific pursuant to s. 501(c)(3) of the Internal Revenue Code and whose bylaws and articles of incorporation include affordable housing, economic development, or community development as the primary mission of the corporation;

12.  Units of local government;

13.  Units of state government; or

14.  Such other agency as the Office of Tourism, Trade, and Economic Development may, from time to time, designate by rule.

In no event shall a contributing business firm have a financial interest in the eligible sponsor.

(d)  The project shall be located in an area designated as an enterprise zone or a Front Porch Florida Community pursuant to s. 20.18(6). Any project designed to construct or rehabilitate housing for low-income or very-low-income households as defined in s. 420.9071(19) and (28) is exempt from the area requirement of this paragraph. This section does not preclude projects that propose to construct or rehabilitate housing for low-income or very-low-income households on scattered sites. Any project designed to provide increased access to high-speed broadband capabilities which includes coverage of a rural enterprise zone may locate the project's infrastructure in any area of a rural county.

(3)  APPLICATION REQUIREMENTS.--

(a)  Any eligible sponsor wishing to participate in this program must submit a proposal to the Office of Tourism, Trade, and Economic Development which sets forth the sponsor, the project, the area in which the project is located, and such supporting information as may be prescribed by rule. The proposal shall also contain a resolution from the local governmental unit in which it is located certifying that the project is consistent with local plans and regulations.

(b)  Any business wishing to participate in this program must submit an application for tax credit to the Office of Tourism, Trade, and Economic Development, which application sets forth the sponsor; the project; and the type, value, and purpose of the contribution. The sponsor shall verify the terms of the application and indicate its receipt of the contribution, which verification must be in writing and accompany the application for tax credit.

(c)  The business firm must submit a separate application for tax credit for each individual contribution that it makes to each individual project.

(4)  ADMINISTRATION.--

(a)  The Office of Tourism, Trade, and Economic Development has authority to adopt rules pursuant to ss. 120.536(1) and 120.54 to implement the provisions of this section, including rules for the approval or disapproval of proposals by business firms.

(b)  The decision of the Office of Tourism, Trade, and Economic Development shall be in writing, and, if approved, the notification must state the maximum credit allowable to the business firm. A copy of the decision shall be transmitted to the executive director of the Department of Revenue, who shall apply such credit to the tax liability of the business firm.

(c)  The Office of Tourism, Trade, and Economic Development shall periodically monitor all projects in a manner consistent with available resources to ensure that resources are utilized in accordance with this section; however, each project shall be reviewed no less often than once every 2 years.

(d)  The Department of Revenue has authority to adopt rules pursuant to ss. 120.536(1) and 120.54 to implement the provisions of this section.

(e)  The Office of Tourism, Trade, and Economic Development shall, in consultation with the Department of Community Affairs, the Florida Housing Finance Corporation, and the statewide and regional housing and financial intermediaries, market the availability of the community contribution tax credit program to community-based organizations.

(5)  EXPIRATION.--The provisions of this section, except paragraph (1)(e), shall expire and be void on June 30, 2015.

History.--ss. 2, 3, 4, 5, 6, 7, 8, 10, ch. 80-249; s. 24, ch. 81-167; s. 127, ch. 81-259; s. 6, ch. 82-119; s. 41, ch. 84-356; s. 19, ch. 88-201; s. 1, ch. 89-352; s. 56, ch. 89-356; s. 4, ch. 90-130; s. 123, ch. 91-112; s. 53, ch. 94-136; s. 22, ch. 96-320; s. 27, ch. 98-200; s. 1, ch. 98-219; s. 1, ch. 99-265; s. 26, ch. 2000-210; s. 8, ch. 2001-201; s. 925, ch. 2002-387; s. 9, ch. 2004-243; s. 3, ch. 2005-282.

¹Note.--Section 30(4), ch. 2005-287, provides that "[n]otwithstanding any other provision of law, for any business that has made a community contribution, as defined by s. 220.03(1)(d), Florida Statutes, on or before December 31, 2005, and has received an approval letter from the Office of Tourism, Trade, and Economic Development, the provisions of s. 220.183(1)(e), Florida Statutes, remain in effect, unaffected by other sections of this act, until such time as the business has received the maximum credit allowed pursuant to s. 220.183, Florida Statutes, as it existed on December 31, 2005."