Senate Bill 0810

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    Florida Senate - 1998                                   SB 810

    By Senator Silver





    38-630-98

  1                      A bill to be entitled

  2         An act relating to the International

  3         Motorsports Museum facility; amending s.

  4         212.20, F.S.; providing for distribution of a

  5         portion of revenues from the tax on sales, use,

  6         and other transactions to such facility;

  7         creating s. 288.11695, F.S.; providing for

  8         certification of such facility by the Office of

  9         Tourism, Trade, and Economic Development;

10         providing requirements for certification;

11         requiring the International Motorsports Museum

12         facility to contribute certain advertising;

13         terminating or abating funding under certain

14         circumstances; providing for use of the funds

15         distributed to the museum; providing for audits

16         by the Department of Revenue; providing for

17         periodic recertification; requiring applicants

18         for certification to contract with the

19         Department of Labor and Employment Security to

20         hire WAGES program participants; providing

21         contract requirements; requiring a report;

22         amending ss. 218.65, 288.1169, F.S.; conforming

23         cross-references; providing an effective date.

24

25         WHEREAS, Homestead and the South Dade area are

26  continuing to recover from the devastation of Hurricane Andrew

27  and are benefiting significantly both from the direct economic

28  impact generated by facilities such as the Metro-Dade

29  Homestead Motorsports Complex and the indirect economic impact

30  generated by the positive publicity resulting from the

31  numerous national and international broadcasts from and press

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  1  coverage generated by the Metro-Dade Homestead Motorsports

  2  Complex, and

  3         WHEREAS, more than 5 million international travelers

  4  visited the Greater Miami area in 1995, marking a 7 percent

  5  increase over 1994, while the first quarter of 1996 saw a 4.7

  6  percent increase in international visitors over the same

  7  period of 1995, and

  8         WHEREAS, an estimated 1 million international travelers

  9  visited the Florida Keys in 1995, and

10         WHEREAS, the City of Homestead has announced its

11  support for and participation in an international educational

12  automotive and racing history museum owned and operated by the

13  Grand Prix Foundation, Inc., a not-for-profit Florida

14  corporation headed by a board of directors made up of local

15  community leaders and national and international racing

16  officials, to be located at the state-of-the-art facility, and

17         WHEREAS, the International Motorsports Museum, to be

18  located in the Metro-Dade Homestead area, will benefit from

19  its strategic location midway between Greater Miami and the

20  Florida Keys and its easy access to both the Florida Turnpike

21  and U.S. 1, and

22         WHEREAS, the Grand Prix Foundation, Inc., will create a

23  stand-alone and exciting attraction that will be open

24  year-round and plans to work with tour operators to make the

25  international educational automotive and racing history museum

26  a family-oriented attraction for the millions of visitors from

27  North America and around the world who tour through South

28  Florida and the Florida Keys, and

29         WHEREAS, the additional tourism generated by the

30  International Motorsports Museum will have a positive impact

31  on the taxes and economy of the state, and

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  1         WHEREAS, the International Motorsports Museum project

  2  will build upon the economic development already being reaped

  3  from the creation of the Metro-Dade Homestead Motorsports

  4  Complex, and

  5         WHEREAS, according to the International Association of

  6  Sports Museums and Halls of Fame, an estimated 40 million

  7  people annually visit sports and entertainment-related museums

  8  world-wide, and

  9         WHEREAS, the International Motorsports Museum will

10  serve as a world centerpiece of exhibits to educate visitors

11  on the advanced technology involved in automobile racing, the

12  use of computers in racing and automobile design, vehicle

13  dynamics, and the rich world history of automobile racing, and

14         WHEREAS, a permanent exhibit at the International

15  Motorsports Museum is also envisioned, featuring the

16  devastating impact of Hurricane Andrew on the South Dade

17  community and the community's recovery from the hurricane, and

18         WHEREAS, the International Motorsports Museum will

19  further create economic development for the Homestead and

20  South Dade community, and

21         WHEREAS, attendance at auto races across North America

22  during 1995 increased nearly 4 percent over 1994 to almost 15

23  million, further contributing to motorsport's increasingly

24  growing worldwide population, and

25         WHEREAS, in addition to the United States, over 150

26  countries aired coverage of the 1996 season of IndyCar, the

27  body which sanctions the annual IndyCar Grand Prix of Miami,

28  including national stations in France, Germany, Italy, the

29  Netherlands, Russia, Sweden, the United Kingdom, Brazil,

30  Canada, Chile, the Dominican Republic, Mexico, Peru, South

31

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  1  Africa, Australia, China, Japan, New Zealand, and Singapore,

  2  and

  3         WHEREAS, the international museum will be featured in

  4  national and international broadcasts from the Metro-Dade

  5  Homestead Motorsports Complex and will be the subject of a

  6  variety of press coverages during the many events scheduled

  7  annually at the facility, and

  8         WHEREAS, IndyCar and the Sports Car Club of America

  9  have designated the planned museum as their Official

10  International Museum, subject to groundbreaking for the museum

11  taking place before May 1999, NOW, THEREFORE,

12

13  Be It Enacted by the Legislature of the State of Florida:

14

15         Section 1.  Paragraph (f) of subsection (6) of section

16  212.20, Florida Statutes, is amended to read:

17         212.20  Funds collected, disposition; additional powers

18  of department; operational expense; refund of taxes

19  adjudicated unconstitutionally collected.--

20         (6)  Distribution of all proceeds under this part shall

21  be as follows:

22         (f)  The proceeds of all other taxes and fees imposed

23  pursuant to this part shall be distributed as follows:

24         1.  In any fiscal year, the greater of $500 million,

25  minus an amount equal to 4.6 percent of the proceeds of the

26  taxes collected pursuant to chapter 201, or 5 percent of all

27  other taxes and fees imposed pursuant to this part shall be

28  deposited in monthly installments into the General Revenue

29  Fund.

30         2.  Two-tenths of one percent shall be transferred to

31  the Solid Waste Management Trust Fund.

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  1         3.  After the distribution under subparagraphs 1. and

  2  2., 9.653 percent of the amount remitted by a sales tax dealer

  3  located within a participating county pursuant to s. 218.61

  4  shall be transferred into the Local Government Half-cent Sales

  5  Tax Clearing Trust Fund.

  6         4.  After the distribution under subparagraphs 1., 2.,

  7  and 3., 0.054 percent shall be transferred to the Local

  8  Government Half-cent Sales Tax Clearing Trust Fund and

  9  distributed pursuant to s. 218.65.

10         5.  Of the remaining proceeds:

11         a.  Beginning July 1, 1992, $166,667 shall be

12  distributed monthly by the department to each applicant that

13  has been certified as a "facility for a new professional

14  sports franchise" or a "facility for a retained professional

15  sports franchise" pursuant to s. 288.1162 and $41,667 shall be

16  distributed monthly by the department to each applicant that

17  has been certified as a "new spring training franchise

18  facility" pursuant to s. 288.1162. Distributions shall begin

19  60 days following such certification and shall continue for 30

20  years. Nothing contained herein shall be construed to allow an

21  applicant certified pursuant to s. 288.1162 to receive more in

22  distributions than actually expended by the applicant for the

23  public purposes provided for in s. 288.1162(7). However, a

24  certified applicant shall receive distributions up to the

25  maximum amount allowable and undistributed under this section

26  for additional renovations and improvements to the facility

27  for the franchise without additional certification.

28         b.  Beginning 30 days after notice by the Office of

29  Tourism, Trade, and Economic Development to the Department of

30  Revenue that an applicant has been certified as the

31  professional golf hall of fame pursuant to s. 288.1168 and is

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  1  open to the public, the department shall distribute $166,667

  2  shall be distributed monthly, for up to 300 months, to the

  3  applicant.

  4         c.  Beginning 30 days after notice by the Office of

  5  Tourism, Trade, and Economic Development Department of

  6  Commerce to the Department of Revenue that the applicant has

  7  been certified as the International Game Fish Association

  8  World Center facility pursuant to s. 288.1169, and the

  9  facility is open to the public, the department shall

10  distribute $83,333 shall be distributed monthly, for up to 180

11  months, to the applicant.  This distribution is subject to

12  reduction pursuant to s. 288.1169.

13         d.  Beginning 30 days after notice by the Office of

14  Tourism, Trade, and Economic Development to the Department of

15  Revenue that the applicant has been certified as the

16  International Motorsports Museum facility pursuant to s.

17  288.11695, and the facility is open to the public, the

18  department shall distribute $83,333 monthly, for up to 180

19  months, to the applicant.  This distribution is subject to

20  reduction pursuant to s. 288.11695.

21         6.  All other proceeds shall remain with the General

22  Revenue Fund.

23         Section 2.  Section 288.11695, Florida Statutes, is

24  created to read:

25         288.11695  International Motorsports Museum facility;

26  duties of the Office of Tourism, Trade, and Economic

27  Development.--

28         (1)  The Office of Tourism, Trade, and Economic

29  Development shall serve as the state agency approving

30  applicants for funding pursuant to s. 212.20 and for

31  certifying the applicant as the International Motorsports

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  1  Museum facility. As used in this section, the term "facility"

  2  means the International Motorsports Museum, and the term

  3  "project" means the International Motorsports Museum and new

  4  colocated improvements by private sector concerns who have

  5  made cash or in-kind contributions to the facility of $1

  6  million or more.

  7         (2)  Before certifying this facility, the Office of

  8  Tourism, Trade, and Economic Development must determine that:

  9         (a)  The International Motorsports Museum, to be

10  headquartered in Homestead, Florida, has been awarded and

11  designated as the official museum of at least one nationally

12  recognized motorsport sanctioning body, including, but not

13  limited to, IndyCar or the Sports Car Club of America (SCCA),

14  and that one or more public or private sector concerns have

15  committed to donate to the International Motorsports Museum

16  Foundation land upon which the International Motorsports

17  Museum will operate. Such land must not be part of the

18  Metro-Dade Homestead Motorsports Complex.

19         (b)  The Grand Prix Foundation, Inc., is a

20  not-for-profit Florida corporation that has contracted to

21  construct and operate the facility.

22         (c)  The municipality in which the facility is located,

23  or the county if the facility is located in an unincorporated

24  area, has certified by resolution after a public hearing that

25  the facility serves a public purpose.

26         (d)  There are existing projections that the

27  International Motorsports Museum facility and the colocated

28  facilities of private sector concerns will attract an

29  attendance of more than 1 million annually.

30

31

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  1         (e)  There are existing projections that the project

  2  will attract annually more than 100,000 persons who are not

  3  residents of this state.

  4         (f)  The applicant has submitted an agreement to

  5  provide $500,000 annually in national and international media

  6  promotion of the facility, the Metro-Dade Homestead area, or

  7  the Motorsports Complex, or other similar attractions in the

  8  Metro-Dade Homestead area, which shall include event

  9  promotions and television broadcasts, during the period of

10  time that the facility receives funds pursuant to s. 212.20.

11  Failure on the part of the applicant to annually provide the

12  advertising as provided in this paragraph shall result in the

13  termination of the funding as provided in s. 212.20. The

14  applicant can discharge its obligation under this paragraph by

15  contracting with other persons, including private sector

16  concerns who participate in the project.

17         (g)  Documentation exists that demonstrates that the

18  applicant has provided, and is capable of providing, or has

19  financial or other commitments to provide, more than one-half

20  of the cost incurred or related to the improvements and the

21  development of the facility.

22         (h)  The application is signed by senior officials of

23  the Grand Prix Foundation, Inc., and is notarized according to

24  Florida law providing for penalties for falsification.

25         (3)  The applicant may use funds provided pursuant to

26  s. 212.20 for the purpose of paying for the construction,

27  reconstruction, renovation, promotion, or operation of the

28  facility, or to pay or pledge for payment of debt service on,

29  or to fund debt service reserve funds, arbitrage rebate

30  obligations, or other amounts payable with respect to, bonds

31  issued for the construction, reconstruction, or renovation of

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  1  the facility or for the reimbursement of such costs or by

  2  refinancing of bonds issued for such purposes.

  3         (4)  Upon determining that an applicant is or is not

  4  certifiable, the Office of Tourism, Trade, and Economic

  5  Development shall notify the applicant of its status by means

  6  of an official letter.  If the applicant is certifiable, the

  7  Office of Tourism, Trade, and Economic Development shall

  8  notify the executive director of the Department of Revenue and

  9  the applicant of such certification by means of an official

10  letter granting certification. The applicant shall have 5

11  years after the date of such certification to open the

12  facility to the public and notify the Office of Tourism,

13  Trade, and Economic Development of the opening. The Department

14  of Revenue shall not begin distributing funds until 30 days

15  following notice by the Office of Tourism, Trade, and Economic

16  Development that the facility is open to the public.

17         (5)  The Department of Revenue may audit as provided in

18  s. 213.34 to verify that the contributions pursuant to this

19  section have been expended as required by this section.

20         (6)  The Office of Tourism, Trade, and Economic

21  Development must recertify every 10 years that the facility is

22  open, that the International Motorsports Museum continues to

23  be designated by a sanctioning body.  If the facility is not

24  recertified during this 10-year review as meeting the minimum

25  projections, funding must be abated until certification

26  criteria are met.

27         (7)  The Office of Tourism, Trade, and Economic

28  Development shall, in addition to any other requirements of

29  this section, determine that an applicant that has been

30  certified under this section has entered into a contract with

31  the Department of Labor and Employment Security in which the

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  1  applicant agrees to register with the Work and Gain Economic

  2  Self-Sufficiency (WAGES) Program Business Registry established

  3  by the local WAGES coalition for the area in which the

  4  applicant is located.  The contract must further provide that

  5  the applicant shall hire WAGES Program participants to the

  6  maximum extent possible and must provide for appropriate

  7  monitoring and training of such employees.  The applicant

  8  shall agree to employ a specified number of WAGES participants

  9  in each year that the applicant receives a distribution under

10  s. 212.20.  The number of WAGES participants to be employed by

11  the applicant must be based upon the applicant's good-faith

12  efforts, workforce availability, and suitable jobs, and must

13  be in keeping with the applicant's minimum standards of

14  employment as provided in the contract with the department.

15  The applicant may renegotiate the contract and employ fewer

16  WAGES program participants if the applicant demonstrates to

17  the satisfaction of the department that, due to economic

18  condition or the nature of the applicant's business in a given

19  year, the requirement to hire the specified number of

20  employees is unattainable.  Each applicant subject to the

21  requirements of this subsection shall report to the Governor,

22  the President of the Senate, and the Speaker of the House of

23  Representatives by December 31 of each year in which the

24  applicant receives a distribution under s. 212.20 on the

25  extent to which the applicant's employees are WAGES

26  participants.

27         Section 3.  Subsections (5) and (6) of section 218.65,

28  FLorida Statutes, are amended to read:

29         218.65  Emergency distribution.--

30         (5)  At the beginning of each fiscal year, the

31  Department of Revenue shall calculate a base allocation for

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  1  each eligible county equal to the difference between the

  2  current per capita limitation times the county's population,

  3  minus prior year ordinary distributions to the county pursuant

  4  to ss. 212.20(6)(f)(g)3., 218.61, and 218.62.  If moneys

  5  deposited into the Local Government Half-cent Sales Tax

  6  Clearing Trust Fund pursuant to s. 212.20(6)(f)(g)4.,

  7  excluding moneys appropriated for supplemental distributions

  8  pursuant to subsection (7), for the current year are less than

  9  or equal to the sum of the base allocations, each eligible

10  county shall receive a share of the appropriated amount

11  proportional to its base allocation.  If the deposited amount

12  exceeds the sum of the base allocations, each county shall

13  receive its base allocation, and the excess appropriated

14  amount shall be distributed equally on a per capita basis

15  among the eligible counties.

16         (6)  There is hereby annually appropriated from the

17  Local Government Half-cent Sales Tax Clearing Trust Fund the

18  distribution provided in s. 212.20(6)(f)(g)4. to be used for

19  emergency and supplemental distributions pursuant to this

20  section.

21         Section 4.  Subsection (6) of section 288.1169, Florida

22  Statutes, is amended to read:

23         288.1169  International Game Fish Association World

24  Center facility; department duties.--

25         (6)  The Office of Tourism, Trade, and Economic

26  Development Department of Commerce must recertify every 10

27  years that the facility is open, that the International Game

28  Fish Association World Center continues to be the only

29  international administrative headquarters, fishing museum, and

30  Hall of Fame in the United States recognized by the

31  International Game Fish Association, and that the project is

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  1  meeting the minimum projections for attendance or sales tax

  2  revenues as required at the time of original certification.

  3  If the facility is not recertified during this 10-year review

  4  as meeting the minimum projections, then funding will be

  5  abated until certification criteria are met.  If the project

  6  fails to generate $1 million of annual revenues pursuant to

  7  paragraph (2)(e), the distribution of revenues pursuant to s.

  8  212.20(6)(f)(g)5.c. shall be reduced to an amount equal to

  9  $83,333 multiplied by a fraction, the numerator of which is

10  the actual revenues generated and the denominator of which is

11  $1 million.  Such reduction shall remain in effect until

12  revenues generated by the project in a 12-month period equal

13  or exceed $1 million.

14         Section 5.  This act shall take effect October 1, 1998.

15

16            *****************************************

17                          SENATE SUMMARY

18    Provides for distributing a portion of revenues from the
      tax on sales, use, and other transactions to the
19    International Motorsports Museum facility. Provides for
      the certification of the facility by the Office of
20    Tourism, Trade, and Economic Development. Provides
      requirements for certification. Requires the
21    International Motorsports Museum facility to contribute
      certain advertising. Terminates or abates funding in
22    specified circumstances. Provides for use of the funds
      distributed to the museum. Provides for audits by the
23    Department of Revenue. Provides for periodic
      recertification. Requires applicants for certification to
24    contract with the Department of Labor and Employment
      Security to hire WAGES program participants. Provides
25    contract requirements. Requires a report to the Governor
      and to legislative officials.
26

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28

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