Senate Bill 1334e1

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  1                      A bill to be entitled

  2         An act relating to information technology;

  3         requiring facilitation of a Network Access

  4         Point by the State Technology Office; requiring

  5         Enterprise Florida, Inc., to create and

  6         implement a marketing and image campaign;

  7         requiring development and maintenance of a

  8         website for information and technology industry

  9         marketing and workforce recruitment; requiring

10         a study group to explore the use of state

11         employee pension funds for venture capital

12         support; providing that certain limitations

13         expressed in development orders do not preclude

14         the approval of a Network Access Point (NAP),

15         if the NAP satisfies specified conditions;

16         amending s. 212.08, F.S.; providing a sales tax

17         exemption on certain equipment used to deploy

18         broadband technologies associated with a

19         Network Access Point; requiring a study by the

20         Legislature to identify obstacles related to

21         the affordable access to consumers by Internet

22         service providers; requiring a plan for the

23         establishment of information technology

24         incubators in the state; prescribing incubator

25         components; providing an appropriation;

26         authorizing the State Technology Office to

27         adopt rules; providing an effective date.

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29         WHEREAS, to maintain economic competitiveness, it is

30  incumbent upon the state to create an entity that can

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  1  represent, promote, and enhance the information technology

  2  industry in Florida, and

  3         WHEREAS, the information technology industry is growing

  4  rapidly and provides high-wage, high-skill jobs, and

  5         WHEREAS, Florida can capitalize on its geographic

  6  location and human-resource assets to develop an information

  7  technology sector, and

  8         WHEREAS, Florida can be recognized as a global leader

  9  in the information technology industry, particularly in Latin

10  America, and

11         WHEREAS, it is in the interest of the Legislature and

12  the State of Florida to encourage and promote new information

13  technology businesses and to ensure that those businesses have

14  available to them technical, management, and business

15  counseling to provide the highest probability of success, NOW,

16  THEREFORE,

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

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20         Section 1.  Short title.--Sections 1 through 6 of this

21  act may be cited as the "itflorida.com Act of 2000."

22         Section 2.  The State Technology Office shall

23  facilitate the development of a Network Access Point (NAP) in

24  Florida as needed.

25         Section 3.  Creation and implementation of a marketing

26  and image campaign.--

27         (1)  Enterprise Florida, Inc., in collaboration with

28  the private sector, shall create a marketing campaign to help

29  attract, retain, and develop information technology businesses

30  in Florida. The campaign must be coordinated with any existing

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  1  Florida economic development promotion efforts and must be

  2  jointly funded from private and public resources.

  3         (2)  The message of the campaign must be to increase

  4  national and international awareness of Florida as a state

  5  ideally suited for the successful advancement of the

  6  information technology business sector. Marketing strategies

  7  must include development of promotional materials, Internet

  8  and print advertising, public relations and media placement,

  9  trade show attendance at information technology events, and

10  appropriate follow-up activities. Efforts to promote Florida

11  as a high-tech business leader must include identification and

12  coordination of existing business technology resources,

13  partnerships with economic development organizations and

14  private sector businesses, continued retention and growth of

15  Florida-based businesses that produce high-tech products or

16  use high-tech skills for manufacturing, and recruitment of new

17  business in such area.

18         Section 4.  Development of an Internet-based system for

19  information technology industry promotion and workforce

20  recruitment.--

21         (1)  The Department of Labor and Employment Security

22  shall facilitate efforts to ensure the development and

23  maintenance of a website that promotes and markets the

24  information technology industry in this state. The website

25  must be designed to inform the public concerning the scope of

26  the information technology industry in the state and must also

27  be designed to address the workforce needs of the industry.

28  The website must include, through links or actual content,

29  information concerning information technology businesses in

30  this state, including links to these businesses; information

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  1  concerning employment available at these businesses; and means

  2  by which a jobseeker may post a resume on the website.

  3         (2)  The Department of Labor and Employment Security

  4  shall coordinate with the State Technology Office, the

  5  Department of Management Services, the Department of Labor and

  6  Employment Security, and the Workforce Development Board of

  7  Enterprise Florida, Inc., to ensure links, where feasible and

  8  appropriate, to existing job-information websites maintained

  9  by the state and its agencies and to ensure that information

10  technology positions offered by the state and its agencies are

11  posted on the information technology website.

12         Section 5.  Enterprise Florida shall establish a study

13  group to explore the feasibility of using state-employee

14  pension funds to support venture-capital funds that are either

15  domiciled in Florida or regularly invest in technology

16  companies that are headquartered in this state. If the study

17  group determines that this concept is feasible, the group

18  shall prepare a working proposal governing the use of such

19  funds, including any recommendations for action by the

20  Legislature. Enterprise Florida shall submit a report on the

21  findings of the study group and the working proposal, if

22  prepared, to the Governor, the President of the Senate, and

23  the Speaker of the House of Representatives by October 1,

24  2000.

25         Section 6.  A limitation on development within a

26  development order issued under chapter 380 does not preclude

27  the granting of any local government development approval or

28  development permit for a Network Access Point (NAP), a

29  carrier-neutral public-private Internet traffic exchange

30  point, if:

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  1         (a)  The NAP is proposed within a community

  2  redevelopment area established pursuant to the Community

  3  Redevelopment Act of 1969;

  4         (b)  The proposed NAP is consistent with the applicable

  5  local government comprehensive plan; and

  6         (c)  The NAP is permissible under the local government

  7  land development regulations.

  8         Section 7.  Paragraph (n) is added to subsection (5) of

  9  section 212.08, Florida Statutes, to read:

10         212.08  Sales, rental, use, consumption, distribution,

11  and storage tax; specified exemptions.--The sale at retail,

12  the rental, the use, the consumption, the distribution, and

13  the storage to be used or consumed in this state of the

14  following are hereby specifically exempt from the tax imposed

15  by this chapter.

16         (5)  EXEMPTIONS; ACCOUNT OF USE.--

17         (n)  Equipment used to deploy broadband technologies.--

18         1.  Beginning July 1, 2000, equipment purchased by a

19  communications service provider which is necessary for use in

20  the deployment of broadband technologies in the state as part

21  of the direct participation by the communications service

22  provider in the Network Access Point (NAP), or

23  carrier-neutral, public-private Internet traffic exchange

24  point, in this state shall be exempt from the tax imposed by

25  this chapter. This exemption inures to the communications

26  service provider only through a refund of previously paid

27  taxes. A refund shall be authorized upon an affirmative

28  showing by the taxpayer to the satisfaction of the department

29  that the requirements of this paragraph have been met.

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  1         2.  To be entitled to a refund, an eligible

  2  communications service provider must file under oath with the

  3  department an application that includes:

  4         a.  The name and address of the communications service

  5  provider claiming to be entitled to the refund.

  6         b.  A specific description of the property for which

  7  the exemption is sought, including its serial number or other

  8  permanent identification number.

  9         c.  The location of the property.

10         d.  The sales invoice or other proof of purchase of the

11  property, showing the amount of sales tax paid, the date of

12  purchase, and the name and address of the sales tax dealer

13  from whom the property was purchased.

14         3.  An application for a refund pursuant to this

15  paragraph must be submitted to the department within 6 months

16  after the eligible property is purchased.

17         4.  The provisions of s. 212.095 do not apply to any

18  refund application made pursuant to this paragraph. The

19  department shall adopt rules governing the manner and form of

20  refund applications and may establish guidelines as to the

21  requisites for an affirmative showing of qualification for

22  exemption under this paragraph.

23         5.  For the purposes of this paragraph, the term:

24         a.  "Broadband technology" means packetized technology

25  that has the capability of supporting transmission speeds of

26  at least 1.544 megabits per second in both directions.

27         b.  "Communications service provider" means a company

28  that supports or provides individuals and other companies with

29  access to the Internet and other related services.

30         c.  "Equipment" includes Asynchronous Transfer Mode

31  switches, Digital Subscriber Line Access Multiplexers,


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  1  routers, servers, multiplexers, fiber optic connector

  2  equipment, database equipment, and other network equipment

  3  used to provide broadband technology and information services.

  4         6.  The provisions of this paragraph expire June 30,

  5  2005.

  6         Section 8.  By October 1, 2000, the Legislature,

  7  through its appropriate committee structure, and using the

  8  resources of the Governor's Chief Technology Officer and the

  9  Information Service Technology Task Force, shall perform a

10  study that identifies obstacles related to the ability of

11  Internet service providers to have affordable access to

12  consumers, including, when appropriate, the identification of

13  solutions that potentially eliminate such obstacles.

14         Section 9.  Establishment of information technology

15  business incubators.--

16         (1)  To foster the growth of the information technology

17  industry in this state, Enterprise Florida shall review the

18  state's existing business incubators to determine whether they

19  are meeting the needs of the industry.  If Enterprise Florida

20  finds that additional incubators are needed to fill an unmet

21  need, it must develop a plan to establish information

22  technology business incubators in this state. The plan may

23  include recommendations for consideration by the Legislature

24  which promote the location of private information technology

25  business incubators in the state, or it may include

26  recommendations to establish or promote information technology

27  business incubators associated with public or private

28  universities or colleges in this state. If the plan recommends

29  the establishment of an incubator that would be associated

30  with a university or college, the plan must provide for the

31  financial self-sufficiency of the incubator within 2 years.


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  1  The review and the plan, if developed, must be presented to

  2  the Governor, the President of the Senate, and the Speaker of

  3  the House of Representatives by December 1, 2000.

  4         (2)  For the purposes of this section, an information

  5  technology business incubator is a facility that allows new

  6  businesses engaged in information technology to increase their

  7  probability of success through sharing needed equipment,

  8  services, and facilities, including substantially all of the

  9  following:

10         (a)  Reception and meeting areas.

11         (b)  Secretarial services.

12         (c)  Accounting and bookkeeping services.

13         (d)  Research libraries.

14         (e)  Onsite financial, management, legal, and technical

15  counseling.

16         (f)  Flexible lease arrangements for flexible space.

17         (g)  Computer and word-processing facilities.

18         (h)  Office furniture rentals.

19         (i)  Management and entrepreneurial training programs.

20         Section 10.  The sum of $700,000 from non-recurring

21  General Revenue is appropriated for fiscal year 2000-2001 to

22  the State Technology Office to carry out the requirements of

23  this act. Of this appropriation, the Governor shall reserve

24  $100,000 to implement plans developed under this act. The

25  remaining $600,000 is to be used to reimburse eligible

26  companies for sales tax payments made on equipment

27  specifically associated with creation of a network access

28  point. The State Technology Office is authorized to adopt

29  rules to implement the sales tax refund provisions of this

30  act.

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  1         Section 11.  This act shall take effect upon becoming a

  2  law.

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