House Bill 1535

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    Florida House of Representatives - 2000                HB 1535

        By Representative Albright






  1                      A bill to be entitled

  2         An act relating to taxation; creating the State

  3         Tax Reform Task Force; providing for the

  4         appointment and organization of the task force;

  5         specifying duties; providing for reports;

  6         providing for the expiration of the act;

  7         providing an appropriation; providing an

  8         effective date.

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

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12         Section 1.  The State Tax Reform Task Force;

13  membership; duties.--

14         (1)  The State Tax Reform Task Force is created to

15  examine the state's tax structure and make recommendations to

16  the Governor and the Legislature on how the state's tax

17  structure can be improved to ensure a stable revenue base that

18  is adequate to fund the needs of the state. The Senate Fiscal

19  Resource Committee and the House Finance and Tax Committee

20  shall provide administrative staff for the task force. The

21  task force shall consist of the following members, who must be

22  appointed by July 1, 2000:

23         (a)  Five members to be appointed by the Governor.

24         (b)  Five members to be appointed by the President of

25  the Senate.

26         (c)  Five members to be appointed by the Speaker of the

27  House of Representatives.

28         (d)  The Executive Director of the  Department of

29  Revenue or his or her designee.

30         (2)  Each appointed member of the task force shall

31  serve at the pleasure of the appointing official. A vacancy on

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    Florida House of Representatives - 2000                HB 1535

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  1  the task force shall be filled in the same manner as the

  2  original appointment.

  3         (3)  The task force shall elect a chair from among its

  4  members.

  5         (4)  The task force shall hold its organizational

  6  meeting by August 1, 2000, and thereafter shall meet as

  7  necessary at the call of the chair at the time and place

  8  designated by the chair. A quorum is necessary for the purpose

  9  of conducting official business of the task force. The task

10  force shall use accepted rules of procedure to conduct its

11  meetings and shall keep a complete record of each meeting.

12         (5)  Members of the task force shall serve without

13  compensation but are entitled to reimbursement for per diem

14  and travel expenses incurred in the performance of their

15  duties as provided in section 112.061, Florida Statutes.

16         (6)  The task force shall examine the state's tax

17  structure to evaluate whether it is adequate for supporting

18  the continuing needs of the state. The task force shall

19  consider the following in its evaluation:

20         (a)  Standard principles of sound tax policy:

21         1.  Effectiveness.--Is the revenue raised by the system

22  stable and adequate to fund needed services or is it highly

23  sensitive to economic fluctuations in the short run? Does the

24  tax structure produce revenue that grows as the state's

25  economy grows; thereby enabling the public sector to grow

26  commensurately with the private sector?

27         2.  Efficiency.--Is Florida's tax structure easily and

28  economically administered? Is compliance with tax provisions,

29  by businesses and by consumers, simple and inexpensive? Does

30  the tax system unnecessarily distort decisionmaking by

31  consumers or business? To what degree can the tax burden be

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    Florida House of Representatives - 2000                HB 1535

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  1  exported to tourists, the federal government, or out-of-state

  2  businesses? How does the state's tax structure interact with

  3  Federal or local tax structures?

  4         3.  Equity.--Is Florida's tax structure proportional or

  5  progressive in its incidence among income groups? Are

  6  individuals with similar incomes taxed uniformly? Are

  7  Florida's taxes based on ability to pay?

  8         (b)  How other states treat the same or similar tax

  9  issues.

10         (c)  Whether the base of the tax system is as broad as

11  possible, so that tax rates and burdens are as low as

12  possible.

13         (d)  Whether tax exemptions are consistent with state

14  tax policy and the economic impact of each exemption.

15         (7)  In addition, the task force shall provide an

16  analysis of alternative tax sources.

17         (8)  By February 1, 2001, the task force shall submit

18  an interim report and, by February 1, 2002, shall submit a

19  final report to the Governor, the President of the Senate, and

20  the Speaker of the House of Representatives.

21         (9)  This section expires June 30, 2002.

22         Section 2.  The sum of $100,000 is appropriated from

23  the General Revenue Fund to the Office of Legislative Services

24  for the purpose of paying administrative expenses and funding

25  contracts necessary to carry out the provisions of this act.

26         Section 3.  This act shall take effect upon becoming a

27  law.

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    Florida House of Representatives - 2000                HB 1535

    66-231-00






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  2                          SENATE SUMMARY

  3    Creates the State Tax Reform Task Force. Provides for the
      appointment and organization of the task force. Specifies
  4    duties of the task force. Requires reports. Provides for
      the expiration of the act. Provides an Appropriation.
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