Senate Bill 1560c2

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    Florida Senate - 1999                    CS for CS for SB 1560

    By the Committees on Fiscal Policy; Commerce and Economic
    Opportunities; and Senator Kirkpatrick




    309-2132-99

  1                      A bill to be entitled

  2         An act relating to economic development;

  3         providing a short title; providing intent;

  4         amending s. 163.3177, F.S.; providing

  5         requirements for the future land use element of

  6         a local government comprehensive plan with

  7         respect to rural areas; amending s. 186.502,

  8         F.S.; providing that a regional planning

  9         council shall have a duty to assist local

10         governments with economic development; amending

11         s. 186.504, F.S.; providing that the ex

12         officio, nonvoting membership of each regional

13         planning council shall include a representative

14         nominated by Enterprise Florida, Inc., and the

15         Office of Tourism, Trade, and Economic

16         Development; amending s. 186.505, F.S.;

17         authorizing the use of regional planning

18         council personnel, consultants, or technical or

19         professional assistants to help local

20         governments with economic development

21         activities; amending s. 212.098, F.S.;

22         authorizing the Office of Tourism, Trade, and

23         Economic Development to recommend to the

24         Legislature additions to or deletions from the

25         list of standard industrial classifications

26         used to determine an eligible business for

27         purposes of the Rural Job Tax Credit Program;

28         amending s. 288.018, F.S.; authorizing the

29         Office of Tourism, Trade, and Economic

30         Development to approve regional rural

31         development grants on an annual basis;

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  1         increasing the maximum amount of each grant

  2         award; increasing the total amount that may be

  3         expended annually for such grants; amending s.

  4         288.065, F.S.; prescribing conditions under

  5         which repayments of principal and interest

  6         under the Rural Community Development Revolving

  7         Loan Fund may be retained by a unit of local

  8         government; creating s. 288.0655, F.S.;

  9         creating the Rural Infrastructure Fund for

10         infrastructure projects in rural communities;

11         providing for an annual deposit in the Economic

12         Development Trust Fund in support of such

13         infrastructure fund; authorizing grants for

14         infrastructure projects and related studies;

15         requiring the development of guidelines;

16         providing that funds appropriated for such

17         infrastructure fund shall not be subject to

18         reversion; amending s. 320.20, F.S.; requiring

19         the deposit of a certain amount of motor

20         vehicle registration funds in the Economic

21         Development Trust Fund in support of the Rural

22         Infrastructure Fund; prescribing the manner in

23         which such funds may be used; prohibiting

24         diversion of such funds; amending s. 288.106,

25         F.S., relating to the tax refund program for

26         qualified target industry businesses; providing

27         a definition; authorizing the Office of

28         Tourism, Trade, and Economic Development to

29         reduce certain employment requirements for an

30         expanding business in a rural community or

31         enterprise zone under certain conditions;

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  1         creating the Rural Economic Development

  2         Initiative within the office and providing its

  3         duties and responsibilities; directing

  4         specified agencies to select a representative

  5         to work with the initiative; providing for the

  6         recommendation and designation of rural areas

  7         of critical economic concern; providing for the

  8         waiver of certain criteria and rules with

  9         respect to such areas; providing for the

10         commitment of certain services, resources,

11         benefits, and staffing with respect to such

12         areas; requiring execution of a memorandum of

13         agreement as a condition to designation as a

14         rural area of critical economic concern;

15         providing for an annual report; authorizing the

16         Office of Tourism, Trade, and Economic

17         Development to accept and administer moneys

18         appropriated for grants to assist rural

19         communities to develop and implement strategic

20         economic development plans; providing for

21         review of grant applications; authorizing the

22         Department of Community Affairs to establish a

23         grant program to assist rural counties in

24         financing studies regarding the establishment

25         of municipal service taxing or benefit units;

26         providing for rules; providing an

27         appropriation; amending s. 236.081, F.S.;

28         providing an exclusion under the computation of

29         school district required local effort for

30         certain nonpayment of property taxes in a rural

31         area of critical economic concern; creating s.

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  1         311.20, F.S.; creating the Northwest Florida

  2         Seaport Transportation and Economic Development

  3         Council; providing for the membership of the

  4         council; requiring the council to develop a

  5         strategic regional development plan;

  6         prescribing powers of the council; providing

  7         for staffing of the council; amending s.

  8         378.601, F.S.; exempting specified heavy mining

  9         operations from requirements for

10         development-of-regional-impact review under

11         certain circumstances; directing the Florida

12         Fish and Wildlife Conservation Commission to

13         provide assistance related to promotion and

14         development of nature-based recreation;

15         providing an appropriation; specifying a

16         minimum percentage of funds to be allocated to

17         economic development under the Florida Small

18         Cities Community Development Block Grant

19         Program; providing an effective date.

20

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

22

23         Section 1.  Short title.--This act may be cited as the

24  "Rural Economic Development Enhancement Act" or the "Backyard

25  Florida Act of 1999."

26         Section 2.  Legislative intent.--

27         (1)  The Legislature finds and declares that because of

28  climate, tourism, industrialization, technological advances,

29  federal and state government policies, transportation, and

30  migration, Florida's urban communities have grown rapidly over

31  the past 40 years. This growth and prosperity, however, have

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  1  not been shared by Florida's rural communities, although they

  2  are the stewards of the vast majority of the land and natural

  3  resources. Without this land and these resources, the state's

  4  growth and prosperity cannot continue. In short, successful

  5  rural communities are essential to the overall success of the

  6  state's economy.

  7         (2)  The Legislature further finds and declares that

  8  many rural areas of the state are experiencing not only a lack

  9  of growth, but severe and sustained economic distress. Median

10  household incomes are significantly less than the state's

11  median household income level. Job creation rates trail those

12  in more urbanized areas. In many cases, rural counties have

13  lost jobs, which handicaps local economies and drains wealth

14  from these communities. These and other factors, including

15  government policies, amplify and compound social, health, and

16  community problems, making job creation and economic

17  development even more difficult. Moreover, the Legislature

18  finds that traditional program and service delivery is often

19  hampered by the necessarily rigid structure of the programs

20  themselves and the lack of local resources.

21         (3)  It is the intent of the Legislature to provide for

22  the most efficient and effective delivery of programs of

23  assistance and support to rural communities, including the

24  use, where appropriate, of regulatory flexibility through

25  multiagency coordination and adequate funding. Therefore, the

26  Legislature determines and declares that the provisions of

27  this act fulfill an important state interest.

28         Section 3.  Paragraph (a) of subsection (6) of section

29  163.3177, Florida Statutes, 1998 Supplement, is amended to

30  read:

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  1         163.3177  Required and optional elements of

  2  comprehensive plan; studies and surveys.--

  3         (6)  In addition to the requirements of subsections

  4  (1)-(5), the comprehensive plan shall include the following

  5  elements:

  6         (a)  A future land use plan element designating

  7  proposed future general distribution, location, and extent of

  8  the uses of land for residential uses, commercial uses,

  9  industry, agriculture, recreation, conservation, education,

10  public buildings and grounds, other public facilities, and

11  other categories of the public and private uses of land.  The

12  future land use plan shall include standards to be followed in

13  the control and distribution of population densities and

14  building and structure intensities.  The proposed

15  distribution, location, and extent of the various categories

16  of land use shall be shown on a land use map or map series

17  which shall be supplemented by goals, policies, and measurable

18  objectives.  Each land use category shall be defined in terms

19  of the types of uses included and specific standards for the

20  density or intensity of use.  The future land use plan shall

21  be based upon surveys, studies, and data regarding the area,

22  including the amount of land required to accommodate

23  anticipated growth; the projected population of the area; the

24  character of undeveloped land; the availability of public

25  services; and the need for redevelopment, including the

26  renewal of blighted areas and the elimination of nonconforming

27  uses which are inconsistent with the character of the

28  community; and, in rural communities, the need for job

29  creation, capital investment, and economic development that

30  will strengthen and diversify the community's economy. The

31  future land use plan may designate areas for future planned

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  1  development use involving combinations of types of uses for

  2  which special regulations may be necessary to ensure

  3  development in accord with the principles and standards of the

  4  comprehensive plan and this act. In addition, for rural

  5  communities, the amount of land designated for future planned

  6  industrial use shall be based upon surveys and studies that

  7  reflect the need for job creation, capital investment, and the

  8  necessity to strengthen and diversify the local economies, and

  9  shall not be limited solely by the projected population of the

10  rural community. The future land use plan of a county may also

11  designate areas for possible future municipal incorporation.

12  The land use maps or map series shall generally identify and

13  depict historic district boundaries and shall designate

14  historically significant properties meriting protection.  The

15  future land use element must clearly identify the land use

16  categories in which public schools are an allowable use.  When

17  delineating the land use categories in which public schools

18  are an allowable use, a local government shall include in the

19  categories sufficient land proximate to residential

20  development to meet the projected needs for schools in

21  coordination with public school boards and may establish

22  differing criteria for schools of different type or size.

23  Each local government shall include lands contiguous to

24  existing school sites, to the maximum extent possible, within

25  the land use categories in which public schools are an

26  allowable use. All comprehensive plans must comply with this

27  paragraph no later than October 1, 1999, or the deadline for

28  the local government evaluation and appraisal report,

29  whichever occurs first. The failure by a local government to

30  comply with this requirement will result in the prohibition of

31  the local government's ability to amend the local

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  1  comprehensive plan as provided by s. 163.3187(6). An amendment

  2  proposed by a local government for purposes of identifying the

  3  land use categories in which public schools are an allowable

  4  use is exempt from the limitation on the frequency of plan

  5  amendments contained in s. 163.3187. The future land use

  6  element shall include criteria which encourage the location of

  7  schools proximate to urban residential areas to the extent

  8  possible and shall require that the local government seek to

  9  collocate public facilities, such as parks, libraries, and

10  community centers, with schools to the extent possible.

11         Section 4.  Subsection (5) is added to section 186.502,

12  Florida Statutes, to read:

13         186.502  Legislative findings; public purpose.--

14         (5)  The regional planning council shall have a duty to

15  assist local governments with activities designed to promote

16  and facilitate economic development in the geographic area

17  covered by the council.

18         Section 5.  Subsection (4) of section 186.504, Florida

19  Statutes, is amended to read:

20         186.504  Regional planning councils; creation;

21  membership.--

22         (4)  In addition to voting members appointed pursuant

23  to paragraph (2)(c), the Governor shall appoint the following

24  ex officio nonvoting members to each regional planning

25  council:

26         (a)  A representative of the Department of

27  Transportation.

28         (b)  A representative of the Department of

29  Environmental Protection.

30

31

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  1         (c)  A representative nominated by Enterprise Florida,

  2  Inc., and the Office of Tourism, Trade, and Economic

  3  Development of the Department of Commerce.

  4         (d)  A representative of the appropriate water

  5  management district or districts.

  6

  7  The Governor may also appoint ex officio nonvoting members

  8  representing appropriate metropolitan planning organizations

  9  and regional water supply authorities.

10         Section 6.  Subsection (25) is added to section

11  186.505, Florida Statutes, to read:

12         186.505  Regional planning councils; powers and

13  duties.--Any regional planning council created hereunder shall

14  have the following powers:

15         (25)  To use personnel, consultants, or technical or

16  professional assistants of the council to help local

17  governments within the geographic area covered by the council

18  conduct economic development activities.

19         Section 7.  Paragraph (a) of subsection (2) of section

20  212.098, Florida Statutes, 1998 Supplement, is amended to

21  read:

22         212.098  Rural Job Tax Credit Program.--

23         (2)  As used in this section, the term:

24         (a)  "Eligible business" means any sole proprietorship,

25  firm, partnership, or corporation that is located in a

26  qualified county and is predominantly engaged in, or is

27  headquarters for a business predominantly engaged in,

28  activities usually provided for consideration by firms

29  classified within the following standard industrial

30  classifications:  SIC 01 through SIC 09 (agriculture,

31  forestry, and fishing); SIC 20 through SIC 39 (manufacturing);

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  1  SIC 422 (public warehousing and storage); SIC 70 (hotels and

  2  other lodging places); SIC 7391 (research and development);

  3  SIC 7992 (public golf courses); and SIC 7996 (amusement

  4  parks). Excluded from eligible receipts are receipts from

  5  retail sales, except such receipts for hotels and other

  6  lodging places classified in SIC 70, public golf courses in

  7  SIC 7992, and amusement parks in SIC 7996. In addition, the

  8  Office of Tourism, Trade, and Economic Development may, as

  9  part of its final budget request submitted pursuant to s.

10  216.023, recommend additions to or deletions from the list of

11  standard industrial classifications used to determine an

12  eligible business, and the Legislature may implement such

13  recommendations. For purposes of this paragraph, the term

14  "predominantly" means that more than 50 percent of the

15  business's gross receipts from all sources is generated by

16  those activities usually provided for consideration by firms

17  in the specified standard industrial classification. The

18  determination of whether the business is located in a

19  qualified county and the tier ranking of that county must be

20  based on the date of application for the credit under this

21  section. Commonly owned and controlled entities are to be

22  considered a single business entity.

23         Section 8.  Subsections (1) and (3) of section 288.018,

24  Florida Statutes, are amended to read:

25         288.018  Regional Rural Development Grants Program.--

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

27  Development shall establish a matching grant program to

28  provide funding to regionally based economic development

29  organizations representing rural counties and communities for

30  the purpose of building the professional capacity of their

31  organizations. The Office of Tourism, Trade, and Economic

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  1  Development is authorized to approve, on an annual basis,

  2  grants to such regionally based economic development

  3  organizations. The maximum amount an organization may receive

  4  in any year will be $35,000, or $100,000 in a rural area of

  5  critical economic concern recommended by the Rural Economic

  6  Development Initiative and designated by the Governor, $20,000

  7  and must be matched each year by an equivalent amount of

  8  nonstate resources.

  9         (3)  The Office of Tourism, Trade, and Economic

10  Development may expend up to $600,000 $100,000 each fiscal

11  year from funds appropriated to the Rural Community

12  Development Revolving Loan Fund for the purposes outlined in

13  this section.

14         Section 9.  Subsection (2) of section 288.065, Florida

15  Statutes, is amended to read:

16         288.065  Rural Community Development Revolving Loan

17  Fund.--

18         (2)  The program shall provide for long-term loans,

19  loan guarantees, and loan loss reserves to units of local

20  governments within counties with populations less than 50,000,

21  or any county that has a population of 100,000 or less and is

22  contiguous to a county with a population less than 50,000, as

23  determined by the most recent official estimate pursuant to s.

24  186.901, residing in incorporated and unincorporated areas of

25  the county. Requests for loans shall be made by application to

26  the Office of Tourism, Trade, and Economic Development. Loans

27  shall be made pursuant to agreements specifying the terms and

28  conditions agreed to between the local government and the

29  Office of Tourism, Trade, and Economic Development. The loans

30  shall be the legal obligations of the local government. All

31  repayments of principal and interest shall be returned to the

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  1  loan fund and made available for loans to other applicants.

  2  However, in a rural area of critical economic concern

  3  designated by the Governor, and upon approval by the Office of

  4  Tourism, Trade, and Economic Development, repayments of

  5  principal and interest may be retained by a unit of local

  6  government if such repayments are dedicated and matched to

  7  fund regionally based economic development organizations

  8  representing the rural area of critical economic concern.

  9         Section 10.  Section 288.0655, Florida Statutes, is

10  created to read:

11         288.0655  Rural Infrastructure Fund.--

12         (1)  There is created within the Office of Tourism,

13  Trade, and Economic Development the Rural Infrastructure Fund

14  to facilitate the planning, preparing, and financing of

15  infrastructure projects in rural communities which will

16  encourage job creation, capital investment, and the

17  strengthening and diversification of rural economies by

18  promoting tourism, trade, and economic development.

19         (2)  On July 1, 1999, and annually thereafter, $8

20  million shall be deposited in the Economic Development Trust

21  Fund, as provided in s. 320.20(5), solely for the purpose of

22  funding the Rural Infrastructure Fund.

23         (3)(a)  Funds under this section shall be distributed

24  by the office through a grant program that maximizes the use

25  of federal, local, and private resources, including, but not

26  limited to, those available under the Small Cities Community

27  Development Block Grant Program.

28         (b)  To facilitate access of rural communities and

29  rural areas of critical economic concern as defined by the

30  Rural Economic Development Initiative to infrastructure

31  funding programs of the Federal Government, such as those

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  1  offered by the U.S. Department of Agriculture and the U.S.

  2  Department of Commerce, the office may award grants to

  3  applicants for such federal programs for up to 30 percent of

  4  the total infrastructure project cost. Eligible projects must

  5  be related to specific job-creating opportunities. Eligible

  6  uses of funds shall include improvements to public

  7  infrastructure for industrial or commercial sites and upgrades

  8  to or development of public tourism infrastructure. Authorized

  9  infrastructure may include the following public or

10  public-private partnership facilities: sewer and water

11  capacity facilities, including storm water systems; electrical

12  facilities; telecommunications facilities; natural gas

13  facilities; roads or other remedies to transportation

14  impediments; nature-based tourism facilities; or other

15  physical requirements necessary to facilitate tourism, trade,

16  and economic development activities in the community.

17         (c)  To facilitate timely response and induce the

18  location or expansion of specific job creating opportunities,

19  the office may award grants for infrastructure feasibility

20  studies, design and engineering activities, or other

21  infrastructure planning and preparation activities. Authorized

22  grants shall be up to $50,000 for an employment project with a

23  business committed to create at least 100 jobs, up to $150,000

24  for an employment project with a business committed to create

25  at least 300 jobs, and up to $300,000 for a project in a rural

26  area of critical economic concern. Grants awarded under this

27  paragraph may be used in conjunction with grants awarded under

28  paragraph (b), provided that the total amount of both grants

29  does not exceed 30 percent of the total project cost. In

30  evaluating applications under this paragraph, the office shall

31

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  1  consider the extent to which the application seeks to minimize

  2  administrative and consultant expenses.

  3         (d)  By September 1, 1999, the office shall pursue

  4  execution of a memorandum of agreement with the U.S.

  5  Department of Agriculture under which state funds available

  6  through the Rural Infrastructure Fund may be advanced, in

  7  excess of the prescribed state share, for a project that has

  8  received from the department a preliminary determination of

  9  eligibility for federal financial support. State funds in

10  excess of the prescribed state share which are advanced

11  pursuant to this paragraph and the memorandum of agreement

12  shall be reimbursed when funds are awarded under an

13  application for federal funding.

14         (e)  To enable local governments to access the

15  resources available pursuant to s. 403.973(16), the office may

16  award grants for surveys, feasibility studies, and other

17  activities related to the identification and preclearance

18  review of land which is suitable for preclearance review.

19  Authorized grants under this paragraph shall not exceed

20  $75,000 each, except in the case of a project in a rural area

21  of critical economic concern, in which case the grant shall

22  not exceed $300,000. Any funds awarded under this paragraph

23  must be matched at a level of 50 percent with local funds,

24  except that any funds awarded for a project in a rural area of

25  critical economic concern must be matched at a level of 33

26  percent with local funds. In evaluating applications under

27  this paragraph, the office shall consider the extent to which

28  the application seeks to minimize administrative and

29  consultant expenses.

30         (4)  The office, in consultation with Enterprise

31  Florida, Inc., VISIT Florida, the Department of Environmental

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  1  Protection, and the Florida Fish and Wildlife Conservation

  2  Commission, as appropriate, shall review applications and

  3  evaluate the economic benefit of the projects and their

  4  long-term viability. The office shall have final approval for

  5  any grant under this section and must make a grant decision

  6  within 30 days of receiving a completed application.

  7         (5)  By September 1, 1999, the office shall, in

  8  consultation with the organizations listed in subsection (4),

  9  and other organizations, develop guidelines and criteria

10  governing submission of applications for funding, review and

11  evaluation of such applications, and approval of funding under

12  this section. The office shall consider factors including, but

13  not limited to, the project's potential for enhanced job

14  creation or increased capital investment, the demonstration of

15  local public and private commitment, the location of the

16  project in an enterprise zone, the location of the project in

17  a community development corporation service area as defined in

18  s. 290.035(2), the location of the project in a county

19  designated under s. 212.097, the unemployment rate of the

20  surrounding area, and the poverty rate of the community.

21         (6)  Notwithstanding the provisions of s. 216.301,

22  funds appropriated for the purposes of this section shall not

23  be subject to reversion.

24         Section 11.  Present subsection (5) of section 320.20,

25  Florida Statutes, is redesignated as subsection (6) and a new

26  subsection (5) is added to that section to read:

27         320.20  Disposition of license tax moneys.--The revenue

28  derived from the registration of motor vehicles, including any

29  delinquent fees and excluding those revenues collected and

30  distributed under the provisions of s. 320.081, must be

31  distributed monthly, as collected, as follows:

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  1         (5)  Notwithstanding any other provision of law except

  2  subsections (1), (2), (3), and (4), on July 1, 1999, and

  3  annually thereafter, $8 million shall be deposited in the

  4  Economic Development Trust Fund under s. 288.095, solely for

  5  the purposes of funding the Rural Infrastructure Fund under s.

  6  288.0655. Such revenues may be assigned, pledged, or set aside

  7  as a trust for the payment of principal or interest on bonds,

  8  grant anticipation notes, variable rate demand obligations,

  9  including, but not limited to, tax exempt commercial paper and

10  derivative instruments, or any other form of indebtedness, or

11  used to purchase credit support to permit such borrowings,

12  issued by a governing body under s. 163.01(7)(d), or

13  appropriate local government having jurisdiction thereof, or

14  collectively by interlocal agreement among any applicable

15  government; however, such debt shall not constitute a general

16  obligation of the State of Florida. The state does hereby

17  covenant with holders of such revenue bonds or other

18  instruments of indebtedness issued hereunder that it will not

19  repeal or impair or amend in any manner that will materially

20  and adversely affect the rights of such holders so long as

21  bonds authorized by this subsection are outstanding. Any

22  revenues which are not pledged to the repayment of bonds as

23  authorized by this subsection may be utilized for purposes

24  authorized under the Rural Infrastructure Fund. The Office of

25  Tourism, Trade, and Economic Development shall approve

26  distribution of funds for rural infrastructure related to

27  tourism, trade, and economic development. The office and the

28  Department of Transportation are authorized to perform such

29  acts as are required to facilitate and implement the

30  provisions of this subsection. To better enable the counties

31  and the Office of Tourism, Trade, and Economic Development to

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  1  cooperate to their mutual advantage, the governing body of

  2  each government may exercise powers provided to municipalities

  3  or counties in s. 163.01(7)(d). The use of funds provided

  4  under this subsection is limited to eligible projects listed

  5  in s. 288.0655. Unexpended proceeds derived from a project

  6  completed with the use of program funds, beyond operating

  7  costs and debt service, shall be restricted to further capital

  8  improvements consistent with tourism, trade, and economic

  9  development infrastructure purposes and for no other purpose.

10  Use of such unexpended proceeds for purposes other than

11  tourism, trade, and economic development infrastructure is

12  prohibited. Any funds deposited in the Economic Development

13  Trust Fund for the purposes of the Rural Infrastructure Fund

14  under s. 288.0655 shall not be diverted to any other purpose.

15  Any such diversion shall trigger immediate repayment to the

16  Economic Development Trust Fund from the Working Capital Trust

17  Fund.

18         Section 12.  Paragraph (t) is added to subsection (2)

19  of section 288.106, Florida Statutes, 1998 Supplement, and

20  paragraph (b) of subsection (4) of that section is amended, to

21  read:

22         288.106  Tax refund program for qualified target

23  industry businesses.--

24         (2)  DEFINITIONS.--As used in this section:

25         (t)  "Rural community" means:

26         1.  A county with a population of 75,000 or less.

27         2.  A county with a population of 100,000 or less that

28  is contiguous to a county with a population of 75,000 or less.

29         3.  A municipality within a county described in

30  subparagraph 1. or subparagraph 2.

31

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  1  For purposes of this paragraph, population shall be determined

  2  in accordance with the most recent official estimate pursuant

  3  to s. 186.901.

  4         (4)  APPLICATION AND APPROVAL PROCESS.--

  5         (b)  To qualify for review by the office, the

  6  application of a target industry business must, at a minimum,

  7  establish the following to the satisfaction of the office:

  8         1.  The jobs proposed to be provided under the

  9  application, pursuant to subparagraph (a)4., must pay an

10  estimated annual average wage equaling at least 115 percent of

11  the average private sector wage in the area where the business

12  is to be located or the statewide private sector average wage.

13  The office may waive this average wage requirement at the

14  request of the local governing body recommending the project

15  and Enterprise Florida, Inc.  The wage requirement may only be

16  waived for a project located in a brownfield area designated

17  under s. 376.80 or in a rural city or county or in an

18  enterprise zone and only when the merits of the individual

19  project or the specific circumstances in the community in

20  relationship to the project warrant such action.  If the local

21  governing body and Enterprise Florida, Inc., make such a

22  recommendation, it must be transmitted in writing and the

23  specific justification for the waiver recommendation must be

24  explained.  If the director elects to waive the wage

25  requirement, the waiver must be stated in writing and the

26  reasons for granting the waiver must be explained.

27         2.  The target industry business's project must result

28  in the creation of at least 10 jobs at such project and, if an

29  expansion of an existing business, must result in a net

30  increase in employment of not less than 10 percent at such

31  business. However, at the request of the local governing body

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  1  recommending the project and Enterprise Florida, Inc., the

  2  office may approve an expansion of an existing business under

  3  this section in a rural community or an enterprise zone that

  4  results in a net increase in employment of less than 10

  5  percent if the merits of the individual project or the

  6  specific circumstances in the community in relation to the

  7  project warrant this action.  If the local governing body and

  8  Enterprise Florida, Inc., make such a recommendation, it must

  9  be transmitted in writing and the specific justification for

10  the request must be explained.  If the director elects to

11  accept such request, this decision must be stated in writing

12  and the reasons for granting the request must be explained.

13         3.  The business activity or product for the

14  applicant's project is within an industry or industries that

15  have been identified by the office to be high-value-added

16  industries that contribute to the area and to the economic

17  growth of the state and that produce a higher standard of

18  living for citizens of this state in the new global economy or

19  that can be shown to make an equivalent contribution to the

20  area and state's economic progress.  The director must approve

21  requests to waive the wage requirement for brownfield areas

22  designated under s. 376.80 unless it is demonstrated that such

23  action is not in the public interest.

24         Section 13.  Rural Economic Development Initiative.--

25         (1)  The Rural Economic Development Initiative, known

26  as "REDI," is created within the Office of Tourism, Trade, and

27  Economic Development, and the participation of state and

28  regional agencies in this initiative is authorized.

29         (2)  As used in this section, the term:

30         (a)  "Economic distress" means conditions affecting the

31  fiscal and economic viability of a rural community, including

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  1  such factors as low per capita income, low per capita taxable

  2  values, high unemployment, high underemployment, low weekly

  3  earned wages compared to the state average, low housing values

  4  compared to the state average, high percentages of the

  5  population receiving public assistance, high poverty levels

  6  compared to the state average, and a lack of year-round stable

  7  employment opportunities.

  8         (b)  "Rural community" means:

  9         1.  A county with a population of 75,000 or less.

10         2.  A county with a population of 100,000 or less that

11  is contiguous to a county with a population of 75,000 or less.

12         3.  A municipality within a county described in

13  subparagraph 1. or subparagraph 2.

14         4.  An unincorporated federal enterprise community or

15  an incorporated rural city with a population of 25,000 or less

16  and an employment base focused on traditional agricultural or

17  resource-based industries, located in a county not defined as

18  rural, which has at least three or more of the economic

19  distress factors identified in paragraph (2)(a) and verified

20  by the Office of Tourism, Trade, and Economic Development.

21

22  For purposes of this paragraph, population shall be determined

23  in accordance with the most recent official estimate pursuant

24  to section 186.901, Florida Statutes.

25         (3)  REDI shall be responsible for coordinating and

26  focusing the efforts and resources of state and regional

27  agencies on the problems which affect the fiscal, economic,

28  and community viability of Florida's economically distressed

29  rural communities, working with local governments,

30  community-based organizations, and private organizations that

31  have an interest in the growth and development of these

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  1  communities to find ways to balance environmental and growth

  2  management issues with local needs.

  3         (4)  REDI shall review and evaluate the impact of

  4  statutes and rules on rural communities and shall work to

  5  minimize any adverse impact.

  6         (5)  REDI shall facilitate better access to state

  7  resources by promoting direct access and referrals to

  8  appropriate state and regional agencies and statewide

  9  organizations. REDI may undertake outreach, capacity-building,

10  and other advocacy efforts to improve conditions in rural

11  communities. These activities may include sponsorship of

12  conferences and achievement awards.

13         (6)(a)  No later than August 1, 1999, the head of each

14  of the following agencies and organizations shall designate a

15  high-level staff person from within the agency or organization

16  to serve as the REDI representative for the agency or

17  organization:

18         1.  The Department of Community Affairs.

19         2.  The Department of Transportation.

20         3.  The Department of Environmental Protection.

21         4.  The Department of Agriculture and Consumer

22  Services.

23         5.  The Department of State.

24         6.  The Department of Health.

25         7.  The Department of Children and Family Services.

26         8.  The Department of Corrections.

27         9.  The Department of Labor and Employment Security.

28         10.  The Department of Education.

29         11.  The Fish and Wildlife Conservation Commission.

30         12.  Each water management district.

31         13.  Enterprise Florida, Inc.

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  1         14.  The Florida Commission on Tourism or VISIT

  2  Florida.

  3         15.  The Florida Regional Planning Council Association.

  4         16.  The Florida State Rural Development Council.

  5         17.  The Institute of Food and Agricultural Sciences

  6  (IFAS).

  7

  8  An alternate for each designee shall also be chosen, and the

  9  names of the designees and alternates shall be sent to the

10  director of the Office of Tourism, Trade, and Economic

11  Development.

12         (b)  Each REDI representative must have comprehensive

13  knowledge of his or her agency's functions, both regulatory

14  and service in nature, and of the state's economic goals,

15  policies, and programs. This person shall be the primary point

16  of contact for his or her agency with REDI on issues and

17  projects relating to economically distressed rural communities

18  and with regard to expediting project review, shall ensure a

19  prompt effective response to problems arising with regard to

20  rural issues, and shall work closely with the other REDI

21  representatives in the identification of opportunities for

22  preferential awards of program funds and allowances and waiver

23  of program requirements when necessary to encourage and

24  facilitate long-term private capital investment and job

25  creation.

26         (c)  The REDI representatives shall work with REDI in

27  the review and evaluation of statutes and rules for adverse

28  impact on rural communities and the development of alternative

29  proposals to mitigate that impact.

30         (d)  Each REDI representative shall be responsible for

31  ensuring that each district office or facility of his or her

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  1  agency is informed about the Rural Economic Development

  2  Initiative and for providing assistance throughout the agency

  3  in the implementation of REDI activities.

  4         (7)  REDI may recommend to the Governor up to three

  5  rural areas of critical economic concern. A rural area of

  6  critical economic concern must be a rural community, or a

  7  region composed of such, that has been adversely affected by

  8  an extraordinary economic event or a natural disaster or that

  9  presents a unique economic development opportunity of regional

10  impact that will create more than 1,000 jobs over a 5-year

11  period. The Governor may by executive order designate up to

12  three rural areas of critical economic concern which will

13  establish these areas as priority assignments for REDI as well

14  as to allow the Governor, acting through REDI, to:

15         (a)  Waive criteria, requirements, or similar

16  provisions of any economic development incentive. Such

17  incentives shall include, but not be limited to: the Qualified

18  Target Industry Tax Refund Program under section 288.106,

19  Florida Statutes, the Quick Response Training Program under

20  section 288.047, Florida Statutes, the WAGES Quick Response

21  Training Program under section 288.047(10), Florida Statutes,

22  transportation projects under section 288.063, Florida

23  Statutes, the brownfield redevelopment bonus refund under

24  section 288.107, Florida Statutes, and the rural job tax

25  credit program under sections 212.098 and 220.1895, Florida

26  Statutes.

27         (b)  Waive agency rules to empower the agency to commit

28  and coordinate their resources, staff, or assistance to these

29  rural communities, as well as to suspend procedural

30  requirements of law that do not compromise the public's

31  health, safety, or welfare.

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  1         (c)  Provide rapid response assistance, training

  2  services, and educational opportunities for employees; develop

  3  training programs; and pay tuition or training expenses for

  4  employees from resources coordinated by the Workforce

  5  Development Board.

  6         (d)  Commit the resources or benefits of the Rural

  7  Community Development Revolving Loan Fund under section

  8  288.065, Florida Statutes, the Regional Rural Grants Program

  9  under section 288.018, Florida Statutes, the rural job tax

10  credit program under sections 212.098 and 220.1895, Florida

11  Statutes, and the federal Community Development Block Grant

12  Program.

13         (e)  Direct the assignment of staffing and resources

14  from Enterprise Florida, Inc.

15

16  Designation as a rural area of critical economic concern under

17  this subsection shall be contingent upon the execution of a

18  memorandum of agreement among the Office of Tourism, Trade,

19  and Economic Development, the governing body of the county,

20  and the governing bodies of any municipalities to be included

21  within a rural area of critical economic concern. Such

22  agreement shall specify the terms and conditions of the

23  designation, including, but not limited to, the duties and

24  responsibilities of the county and any participating

25  municipalities to take actions designed to facilitate the

26  retention and expansion of existing businesses in the area, as

27  well as the recruitment of new businesses to the area.

28         (8)  REDI shall submit a report to the Governor, the

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

30  Representatives each year on or before February 1 on all REDI

31  activities. This report shall include a status report on all

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  1  projects currently being coordinated through REDI, the number

  2  of preferential awards and allowances made pursuant to this

  3  section, the dollar amount of such awards, and the names of

  4  the recipients. The report shall also include a description of

  5  all waivers of program requirements granted. The report shall

  6  also include information as to the economic impact of the

  7  projects coordinated by REDI.

  8         Section 14.  Florida rural economic development

  9  strategy grants.--

10         (1)  As used in this section, the term "rural

11  community" means:

12         (a)  A county with a population of 75,000 or less.

13         (b)  A county with a population of 100,000 or less that

14  is contiguous to a county with a population of 75,000 or less.

15         (c)  A municipality within a county described in

16  paragraph (a) or paragraph (b).

17

18  For purposes of this subsection, population shall be

19  determined in accordance with the most recent official

20  estimate pursuant to section 186.901, Florida Statutes.

21         (2)  The Office of Tourism, Trade, and Economic

22  Development may accept and administer moneys appropriated to

23  the office for providing grants to assist rural communities to

24  develop and implement strategic economic development plans.

25         (3)  A rural community, an economic development

26  organization in a rural area, or a regional organization

27  representing at least one rural community or such economic

28  development organizations may apply for such grants.

29         (4)  Enterprise Florida, Inc., and VISIT Florida, shall

30  establish criteria for reviewing grant applications. These

31  criteria shall include, but are not limited to, the degree of

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  1  participation and commitment by the local community and the

  2  application's consistency with local comprehensive plans or

  3  the application's proposal to ensure such consistency. The

  4  International Trade and Economic Development Board of

  5  Enterprise Florida, Inc., and VISIT Florida, shall review each

  6  application for a grant and shall submit annually to the

  7  office for approval a list of all applications that are

  8  recommended by the board and VISIT Florida, arranged in order

  9  of priority. The office may approve grants only to the extent

10  that funds are appropriated for such grants by the

11  Legislature.

12         Section 15.  Establishment of municipal service taxing

13  or benefit units; grants to rural counties.--

14         (1)  As used in this section, the term "rural county"

15  means a county with a population of 75,000 or fewer persons,

16  determined pursuant to section 186.901, Florida Statutes.

17         (2)  Subject to legislative appropriation, the

18  Department of Community Affairs shall establish a grant

19  program to assist any rural county in making a determination

20  whether to establish a municipal service taxing or benefit

21  unit as authorized by section 125.01, Florida Statutes.  Under

22  this program, any rural county that is considering the

23  establishment of a municipal service taxing or benefit unit

24  and that wishes to conduct a study to determine the necessity

25  for and advisability of establishing such a unit may apply to

26  the department for a grant to assist in financing the study.

27  If the application is approved by the department, the

28  department may award a grant to the county in an amount equal

29  to 75 percent of the cost of the study, if the county agrees

30  to finance 25 percent of the cost of the study itself.  A copy

31

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  1  of the study shall be submitted to the department within 30

  2  days after it is completed.

  3         (3)  The department shall establish an application form

  4  and application procedures and requirements by rule pursuant

  5  to chapter 120, Florida Statutes.

  6         Section 16.  There is appropriated from the General

  7  Revenue Fund to the Department of Community Affairs for Fiscal

  8  Year 1999-2000 the sum of $1 million to carry out the purposes

  9  of a grant program for rural county municipal service taxing

10  or benefit unit feasibility studies.

11         Section 17.  Paragraph (d) of subsection (4) of section

12  236.081, Florida Statutes, 1998 Supplement, is amended to

13  read:

14         236.081  Funds for operation of schools.--If the annual

15  allocation from the Florida Education Finance Program to each

16  district for operation of schools is not determined in the

17  annual appropriations act or the substantive bill implementing

18  the annual appropriations act, it shall be determined as

19  follows:

20         (4)  COMPUTATION OF DISTRICT REQUIRED LOCAL

21  EFFORT.--The Legislature shall prescribe the aggregate

22  required local effort for all school districts collectively as

23  an item in the General Appropriations Act for each fiscal

24  year. The amount that each district shall provide annually

25  toward the cost of the Florida Education Finance Program for

26  kindergarten through grade 12 programs shall be calculated as

27  follows:

28         (d)  Exclusions Exclusion.--

29         1.  In those instances in which:

30         a.1.  There is litigation either attacking the

31  authority of the property appraiser to include certain

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  1  property on the tax assessment roll as taxable property or

  2  contesting the assessed value of certain property on the tax

  3  assessment roll, and

  4         b.2.  The assessed value of the property in contest

  5  involves more than 6 percent of the total nonexempt assessment

  6  roll,

  7

  8  the assessed value of the property in contest shall be

  9  excluded from the taxable value for school purposes for

10  purposes of computing the district required local effort.

11         2.  In those instances in which there is a nonpayment

12  of property taxes in a community designated as a rural area of

13  critical economic concern that exceeds 6 percent of the total

14  nonexempt assessment roll, the assessed value of the property

15  that is the subject of the nonpayment shall be excluded from

16  the taxable value for school purposes for purposes of

17  computing the district required local effort.

18         Section 18.  Section 311.20, Florida Statutes, is

19  created to read:

20         311.20  Northwest Florida Seaport Transportation and

21  Economic Development Council.--

22         (1)  There is created the Northwest Florida Seaport

23  Transportation and Economic Development Council as a

24  corporation not for profit to be incorporated under the

25  provisions of chapter 617. The purpose of the council is to

26  enhance economic development in the northwest Florida region

27  by creating jobs and increasing cargo flow and port revenues

28  at the three ports located in the region and the regional

29  communities.

30         (2)(a)  The council shall consist of the following

31  members: the port director or designee of the port of Panama

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  1  City; the port director or designee of the port of Pensacola;

  2  the port director or designee of the port of Port St. Joe; the

  3  director or designee of the Office of Tourism, Trade, and

  4  Economic Development; and a representative from Enterprise

  5  Florida, Inc. In addition, the members of the council may

  6  appoint up to four ex officio nonvoting members to the

  7  council.

  8         (b)  Members of the council shall serve without

  9  compensation but are entitled to receive reimbursement for per

10  diem and travel expenses as provided in s. 112.061.

11         (3)  The council shall develop a comprehensive

12  strategic regional development plan that includes, but is not

13  limited to, the following:

14         (a)  A marketing strategy for development at the three

15  ports and their respective communities;

16         (b)  A review of multi-modal transportation

17  requirements for the region; and

18         (c)  An identification of specific transportation and

19  economic development projects that create jobs and increase

20  cargo flow and port revenues at the three ports and the

21  regional communities. Subject to specific appropriation by the

22  Legislature, the council may grant funds for the development

23  of such projects.

24         (4)  The council shall have all the powers necessary

25  and convenient to carry out and effectuate the purposes and

26  provisions of this section, including, but not limited to, the

27  power to:

28         (a)  Solicit, receive, hold, invest, and administer any

29  grant, payment, or gift of funds or property.

30         (b)  Purchase, receive, hold, lease, or otherwise

31  acquire, and to sell, convey, transfer, lease, or otherwise

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  1  dispose of, real property and personal property together with

  2  such rights and privileges as may be incidental and

  3  appurtenant thereto and the use thereof.

  4         (c)  Make and enter into contracts and other

  5  instruments with public or private sector entities for the

  6  purpose of exercising or performing its powers and functions.

  7         (5)  The council may appoint an executive director, and

  8  the executive director may employ such staff as may be

  9  authorized by the council. The compensation of the executive

10  director and staff shall be set by the council.

11         Section 19.  Subsection (5) of section 378.601, Florida

12  Statutes, is amended to read:

13         378.601  Heavy minerals.--

14         (5)  Any heavy mineral mining operation which annually

15  mines less than 500 acres and whose proposed consumption of

16  water is 3 million gallons per day or less shall not be

17  required to undergo development of regional impact review

18  pursuant to s. 380.06, provided permits and plan approvals

19  pursuant to either this section and part IV of chapter 373, or

20  s. 378.901, are issued.  This subsection applies only in the

21  following circumstances:

22         (a)  Mining is conducted in counties where the operator

23  has conducted heavy mineral mining activities prior to March

24  1, 1997; and

25         (b)  The operator of the heavy mineral mining operation

26  has executed a developer agreement pursuant to s. 380.032 or

27  has received a development order under s. 380.06(15) as of

28  March 1, 1997. Lands mined pursuant to this section need not

29  be the subject of the developer agreement or development

30  order.

31

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  1         Section 20.  The Florida Fish and Wildlife Conservation

  2  Commission is directed to assist the Florida Commission on

  3  Tourism; the Florida Tourism Industry Marketing Corporation,

  4  doing business as VISIT Florida; convention and visitor

  5  bureaus; tourist development councils; economic development

  6  organizations; and local governments through the provision of

  7  marketing advice, technical expertise, promotional support,

  8  and product development related to nature-based recreation and

  9  sustainable use of natural resources. In carrying out this

10  responsibility, the Florida Fish and Wildlife Conservation

11  Commission shall focus its efforts on fostering nature-based

12  recreation in rural communities and regions encompassing rural

13  communities. As used in this section, the term "nature-based

14  recreation" means leisure activities related to the state's

15  lands, waters, and fish and wildlife resources, including, but

16  not limited to, wildlife viewing, fishing, hiking, canoeing,

17  kayaking, camping, hunting, backpacking, and nature

18  photography. For the purposes of this section, there is

19  appropriated from the General Revenue Fund, for Fiscal Year

20  1999-2000, the sum of $277,143 to the Florida Fish and

21  Wildlife Conservation Commission.

22         Section 21.  Notwithstanding the provisions of section

23  290.044(4), Florida Statutes, regarding the distribution of

24  funds to categories under the Florida Small Cities Community

25  Development Block Grant Program, in no case shall the

26  percentage of funds for the economic development category be

27  less than 40 percent.

28         Section 22.  This act shall take effect July 1, 1999.

29

30

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  1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
  2                            CS/SB 1560

  3

  4  Changes "rural areas" to "rural communities" as related to a
    future land use plan; clarifies that in the determination on
  5  the amount of land designated for future planned industrial
    use shall be based upon surveys and studies regarding local
  6  economic conditions; and shall not be limited solely by the
    projected population of the rural community.
  7
    Deletes the $2 million appropriation for the Rural Community
  8  Development Revolving Loan Fund to avoid a duplicate
    appropriation.
  9
    Provides that a designation as a rural area of critical
10  economic concern is contingent upon  a Memorandum of Agreement
    between OTTED, the governing body of the county, and the
11  governing bodies of any municipalities to be included within a
    rural area of critical concern, with the agreement specifying
12  local steps to promote economic development.  Adds an
    unincorporated, federal enterprise community to the definition
13  of "rural community".

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29

30

31

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