House Bill hb0345c1

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    Florida House of Representatives - 2001              CS/HB 345

        By the Committee on Local Government & Veterans Affairs
    and Representatives Johnson, Trovillion and Henriquez





  1                      A bill to be entitled

  2         An act relating to sports industry economic

  3         development projects; amending s. 212.20, F.S.;

  4         providing for the Department of Revenue to

  5         distribute sales tax reimbursements to

  6         certified sports industry economic development

  7         projects under certain circumstances; amending

  8         s. 213.053, F.S.; extending the current

  9         information sharing with the Office of Tourism,

10         Trade, and Economic Development to include the

11         sales tax reimbursement program for certified

12         sports industry economic development projects;

13         creating s. 288.113, F.S.; creating a tax

14         reimbursement program for certified sports

15         industry economic development projects;

16         providing legislative findings and

17         declarations; providing definitions; providing

18         eligibility criteria for amateur sports

19         businesses; prescribing the terms and amounts

20         of tax reimbursements; providing a

21         certification procedure, to be established and

22         administered by the Office of Tourism, Trade,

23         and Economic Development; providing for

24         periodic recertification; abating or reducing

25         funding in specified circumstances; providing a

26         maximum number of years for which an amateur

27         sports business may be certified; providing for

28         decertification; providing a penalty for

29         falsifying an application; providing for a tax

30         reimbursement agreement and prescribing terms

31         of the agreement; providing for annual claims

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  1         for reimbursement; providing duties of the

  2         Department of Revenue; providing for

  3         administration of the program; providing for

  4         recordkeeping and submission of an annual

  5         report to the Legislature; amending s.

  6         288.1229, F.S.; providing an additional purpose

  7         for which the Office of Tourism, Trade, and

  8         Economic Development may authorize a

  9         direct-support organization to assist the

10         office; providing for the creation of new jobs

11         in this state; providing an effective date.

12

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

14

15         Section 1.  If section 35 of chapter 2000-260, Laws of

16  Florida, is repealed by section 58 of said chapter, paragraph

17  (e) of subsection (6) of section 212.20, Florida Statutes, is

18  amended to read:

19         212.20  Funds collected, disposition; additional powers

20  of department; operational expense; refund of taxes

21  adjudicated unconstitutionally collected.--

22         (6)  Distribution of all proceeds under this chapter

23  shall be as follows:

24         (e)  The proceeds of all other taxes and fees imposed

25  pursuant to this chapter shall be distributed as follows:

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

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

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

29  other taxes and fees imposed pursuant to this chapter shall be

30  deposited in monthly installments into the General Revenue

31  Fund.

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

  2  the Solid Waste Management Trust Fund.

  3         3.  After the distribution under subparagraphs 1. and

  4  2., 9.653 percent of the amount remitted by a sales tax dealer

  5  located within a participating county pursuant to s. 218.61

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

  7  Tax Clearing Trust Fund.

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

  9  and 3., 0.065 percent shall be transferred to the Local

10  Government Half-cent Sales Tax Clearing Trust Fund and

11  distributed pursuant to s. 218.65.

12         5.  For proceeds received after July 1, 2000, and after

13  the distributions under subparagraphs 1., 2., 3., and 4., 2.25

14  percent of the available proceeds pursuant to this paragraph

15  shall be transferred monthly to the Revenue Sharing Trust Fund

16  for Counties pursuant to s. 218.215.

17         6.  For proceeds received after July 1, 2000, and after

18  the distributions under subparagraphs 1., 2., 3., and 4.,

19  1.0715 percent of the available proceeds pursuant to this

20  paragraph shall be transferred monthly to the Revenue Sharing

21  Trust Fund for Municipalities pursuant to s. 218.215. If the

22  total revenue to be distributed pursuant to this subparagraph

23  is at least as great as the amount due from the Revenue

24  Sharing Trust Fund for Municipalities and the Municipal

25  Financial Assistance Trust Fund in state fiscal year

26  1999-2000, no municipality shall receive less than the amount

27  due from the Revenue Sharing Trust Fund for Municipalities and

28  the Municipal Financial Assistance Trust Fund in state fiscal

29  year 1999-2000. If the total proceeds to be distributed are

30  less than the amount received in combination from the Revenue

31  Sharing Trust Fund for Municipalities and the Municipal

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  1  Financial Assistance Trust Fund in state fiscal year

  2  1999-2000, each municipality shall receive an amount

  3  proportionate to the amount it was due in state fiscal year

  4  1999-2000.

  5         7.  Of the remaining proceeds:

  6         a.  Beginning July 1, 2000, and in each fiscal year

  7  thereafter, the sum of $29,915,500 shall be divided into as

  8  many equal parts as there are counties in the state, and one

  9  part shall be distributed to each county.  The distribution

10  among the several counties shall begin each fiscal year on or

11  before January 5th and shall continue monthly for a total of 4

12  months.  If a local or special law required that any moneys

13  accruing to a county in fiscal year 1999-2000 under the

14  then-existing provisions of s. 550.135 be paid directly to the

15  district school board, special district, or a municipal

16  government, such payment shall continue until such time that

17  the local or special law is amended or repealed.  The state

18  covenants with holders of bonds or other instruments of

19  indebtedness issued by local governments, special districts,

20  or district school boards prior to July 1, 2000, that it is

21  not the intent of this subparagraph to adversely affect the

22  rights of those holders or relieve local governments, special

23  districts, or district school boards of the duty to meet their

24  obligations as a result of previous pledges or assignments or

25  trusts entered into which obligated funds received from the

26  distribution to county governments under then-existing s.

27  550.135.  This distribution specifically is in lieu of funds

28  distributed under s. 550.135 prior to July 1, 2000.

29         b.  The department shall distribute $166,667 monthly

30  pursuant to s. 288.1162 to each applicant that has been

31  certified as a "facility for a new professional sports

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

  2  franchise" pursuant to s. 288.1162. Up to $41,667 shall be

  3  distributed monthly by the department to each applicant that

  4  has been certified as a "facility for a retained spring

  5  training franchise" pursuant to s. 288.1162; however, not more

  6  than $208,335 may be distributed monthly in the aggregate to

  7  all certified facilities for a retained spring training

  8  franchise. Distributions shall begin 60 days following such

  9  certification and shall continue for not more than 30 years.

10  Nothing contained in this paragraph shall be construed to

11  allow an applicant certified pursuant to s. 288.1162 to

12  receive more in distributions than actually expended by the

13  applicant for the public purposes provided for in s.

14  288.1162(6). However, a certified applicant is entitled to

15  receive distributions up to the maximum amount allowable and

16  undistributed under this section for additional renovations

17  and improvements to the facility for the franchise without

18  additional certification.

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

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

21  Revenue that an applicant has been certified as the

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

23  open to the public, $166,667 shall be distributed monthly, for

24  up to 300 months, to the applicant.

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

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

27  Revenue that the applicant has been certified as the

28  International Game Fish Association World Center facility

29  pursuant to s. 288.1169, and the facility is open to the

30  public, $83,333 shall be distributed monthly, for up to 168

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

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  1  reduction pursuant to s. 288.1169.  A lump sum payment of

  2  $999,996 shall be made, after certification and before July 1,

  3  2000.

  4         e.  Beginning 12 months after notice by the Office of

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

  6  Revenue that an applicant has been certified as a certified

  7  sports industry economic development project pursuant to s.

  8  288.113, a monthly sales tax reimbursement payment in the

  9  amount set forth in the notice by the Office of Tourism,

10  Trade, and Economic Development shall be distributed to the

11  applicant until the certification expires or notice is

12  received by the department from the Office of Tourism, Trade,

13  and Economic Development of a change in the applicant's

14  certification status or in the certified monthly payment

15  amount.  The amount of the monthly sales tax reimbursement

16  distribution shall be adjusted beginning 30 days after notice

17  by the Office of Tourism, Trade, and Economic Development that

18  the applicant is to receive a reduced or increased sales tax

19  reimbursement payment.

20         8.  All other proceeds shall remain with the General

21  Revenue Fund.

22         Section 2.  If section 35 of chapter 2000-260, Laws of

23  Florida, is not repealed by section 58 of said chapter,

24  paragraph (e) of subsection (6) of section 212.20, Florida

25  Statutes, is amended to read:

26         212.20  Funds collected, disposition; additional powers

27  of department; operational expense; refund of taxes

28  adjudicated unconstitutionally collected.--

29         (6)  Distribution of all proceeds under this chapter

30  and s. 202.18(1)(b) and (2)(b) shall be as follows:

31

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  1         (e)  The proceeds of all other taxes and fees imposed

  2  pursuant to this chapter or remitted pursuant to s.

  3  202.18(1)(b) and (2)(b) shall be distributed as follows:

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

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

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

  7  other taxes and fees imposed pursuant to this chapter or

  8  remitted pursuant to s. 202.18(1)(b) and (2)(b) shall be

  9  deposited in monthly installments into the General Revenue

10  Fund.

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

12  the Solid Waste Management Trust Fund.

13         3.  After the distribution under subparagraphs 1. and

14  2., 9.653 percent of the amount remitted by a sales tax dealer

15  located within a participating county pursuant to s. 218.61

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

17  Tax Clearing Trust Fund.

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

19  and 3., 0.065 percent shall be transferred to the Local

20  Government Half-cent Sales Tax Clearing Trust Fund and

21  distributed pursuant to s. 218.65.

22         5.  For proceeds received after July 1, 2000, and after

23  the distributions under subparagraphs 1., 2., 3., and 4., 2.25

24  percent of the available proceeds pursuant to this paragraph

25  shall be transferred monthly to the Revenue Sharing Trust Fund

26  for Counties pursuant to s. 218.215.

27         6.  For proceeds received after July 1, 2000, and after

28  the distributions under subparagraphs 1., 2., 3., and 4.,

29  1.0715 percent of the available proceeds pursuant to this

30  paragraph shall be transferred monthly to the Revenue Sharing

31  Trust Fund for Municipalities pursuant to s. 218.215. If the

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  1  total revenue to be distributed pursuant to this subparagraph

  2  is at least as great as the amount due from the Revenue

  3  Sharing Trust Fund for Municipalities and the Municipal

  4  Financial Assistance Trust Fund in state fiscal year

  5  1999-2000, no municipality shall receive less than the amount

  6  due from the Revenue Sharing Trust Fund for Municipalities and

  7  the Municipal Financial Assistance Trust Fund in state fiscal

  8  year 1999-2000. If the total proceeds to be distributed are

  9  less than the amount received in combination from the Revenue

10  Sharing Trust Fund for Municipalities and the Municipal

11  Financial Assistance Trust Fund in state fiscal year

12  1999-2000, each municipality shall receive an amount

13  proportionate to the amount it was due in state fiscal year

14  1999-2000.

15         7.  Of the remaining proceeds:

16         a.  Beginning July 1, 2000, and in each fiscal year

17  thereafter, the sum of $29,915,500 shall be divided into as

18  many equal parts as there are counties in the state, and one

19  part shall be distributed to each county.  The distribution

20  among the several counties shall begin each fiscal year on or

21  before January 5th and shall continue monthly for a total of 4

22  months.  If a local or special law required that any moneys

23  accruing to a county in fiscal year 1999-2000 under the

24  then-existing provisions of s. 550.135 be paid directly to the

25  district school board, special district, or a municipal

26  government, such payment shall continue until such time that

27  the local or special law is amended or repealed.  The state

28  covenants with holders of bonds or other instruments of

29  indebtedness issued by local governments, special districts,

30  or district school boards prior to July 1, 2000, that it is

31  not the intent of this subparagraph to adversely affect the

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  1  rights of those holders or relieve local governments, special

  2  districts, or district school boards of the duty to meet their

  3  obligations as a result of previous pledges or assignments or

  4  trusts entered into which obligated funds received from the

  5  distribution to county governments under then-existing s.

  6  550.135.  This distribution specifically is in lieu of funds

  7  distributed under s. 550.135 prior to July 1, 2000.

  8         b.  The department shall distribute $166,667 monthly

  9  pursuant to s. 288.1162 to each applicant that has been

10  certified as a "facility for a new professional sports

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

12  franchise" pursuant to s. 288.1162. Up to $41,667 shall be

13  distributed monthly by the department to each applicant that

14  has been certified as a "facility for a retained spring

15  training franchise" pursuant to s. 288.1162; however, not more

16  than $208,335 may be distributed monthly in the aggregate to

17  all certified facilities for a retained spring training

18  franchise. Distributions shall begin 60 days following such

19  certification and shall continue for not more than 30 years.

20  Nothing contained in this paragraph shall be construed to

21  allow an applicant certified pursuant to s. 288.1162 to

22  receive more in distributions than actually expended by the

23  applicant for the public purposes provided for in s.

24  288.1162(6). However, a certified applicant is entitled to

25  receive distributions up to the maximum amount allowable and

26  undistributed under this section for additional renovations

27  and improvements to the facility for the franchise without

28  additional certification.

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

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

31  Revenue that an applicant has been certified as the

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

  2  open to the public, $166,667 shall be distributed monthly, for

  3  up to 300 months, to the applicant.

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

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

  6  Revenue that the applicant has been certified as the

  7  International Game Fish Association World Center facility

  8  pursuant to s. 288.1169, and the facility is open to the

  9  public, $83,333 shall be distributed monthly, for up to 168

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

11  reduction pursuant to s. 288.1169.  A lump sum payment of

12  $999,996 shall be made, after certification and before July 1,

13  2000.

14         e.  Beginning 12 months after notice by the Office of

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

16  Revenue that an applicant has been certified as a certified

17  sports industry economic development project pursuant to s.

18  288.113, a monthly sales tax reimbursement payment in the

19  amount set forth in the notice by the Office of Tourism,

20  Trade, and Economic Development shall be distributed to the

21  applicant until the certification expires or notice is

22  received by the department from the Office of Tourism, Trade,

23  and Economic Development of a change in the applicant's

24  certification status or in the certified monthly payment

25  amount.  The amount of the monthly sales tax reimbursement

26  distribution shall be adjusted beginning 30 days after notice

27  by the Office of Tourism, Trade, and Economic Development that

28  the applicant is to receive a reduced or increased sales tax

29  reimbursement payment.

30         8.  All other proceeds shall remain with the General

31  Revenue Fund.

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  1         Section 3.  Paragraph (k) of subsection (7) of section

  2  213.053, Florida Statutes, is amended to read:

  3         213.053  Confidentiality and information sharing.--

  4         (7)  Notwithstanding any other provision of this

  5  section, the department may provide:

  6         (k)  Payment information relative to chapters 199, 201,

  7  212, 220, and 221 to the Office of Tourism, Trade, and

  8  Economic Development in its administration of the tax refund

  9  program for qualified defense contractors authorized by s.

10  288.1045, and the tax refund program for qualified target

11  industry businesses authorized by s. 288.106, and the sales

12  tax reimbursement program for certified sports industry

13  economic development projects authorized by s. 288.113.

14         Section 4.  Section 288.113, Florida Statutes, is

15  created to read:

16         288.113  Tax reimbursement program for certified sports

17  industry economic development projects.--

18         (1)  LEGISLATIVE FINDINGS AND DECLARATIONS.--The

19  Legislature finds that attracting, retaining, and providing

20  favorable conditions for the growth of certified sports

21  industry economic development projects provides high-quality

22  employment opportunities for residents of the state, increases

23  tourism, and enhances the economic foundations of the state.

24  It is the policy of the state to encourage the growth of

25  high-value-added employment to the economic base by providing

26  a sales tax reimbursement to certified sports industry

27  economic development projects that create new employment

28  opportunities and generate new sales tax dollars by expanding

29  businesses within the state or by bringing new businesses to

30  the state.

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

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  1         (a)  "Certified sports industry economic development

  2  project" or "project" means any amateur sports business that

  3  develops, operates, attracts, and retains multiyear amateur

  4  sporting events that generate new sales taxes for the state,

  5  has submitted a properly completed application to the Office

  6  of Tourism, Trade, and Economic Development, and has

  7  subsequently been certified by that office as a certified

  8  sports industry economic development project.

  9         (b)  "Sales tax reimbursement" means the monthly amount

10  to be distributed through a reimbursement to a certified

11  sports industry economic development project pursuant to s.

12  212.20.  Such amount shall be determined by the Office of

13  Tourism, Trade, and Economic Development as provided in this

14  section.

15         (3)  AMATEUR SPORTS BUSINESS ELIGIBLE TO APPLY.--

16         (a)  Any amateur sports business that develops,

17  operates, attracts, and retains multiyear amateur sporting

18  events that generate new sales taxes for the state may submit

19  to the Office of Tourism, Trade, and Economic Development an

20  application for approval as a certified sports industry

21  economic development project for the purpose of receiving a

22  sales tax reimbursement on new sales taxes generated by

23  increased new business and tourism activity directly

24  attributable to the proposed amateur sports industry economic

25  development project.

26         (b)  The number of certified sports industry economic

27  development projects shall not exceed three until June 30,

28  2006, and thereafter only one new certified sports industry

29  economic development project may be certified by the Office of

30  Tourism, Trade, and Economic Development each year.

31

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  1         (4)  SALES TAX REIMBURSEMENT AND AUTHORIZED

  2  AMOUNT.--Pursuant to s. 212.20, each certified sports industry

  3  economic development project shall be eligible for a monthly

  4  distribution of its sales tax reimbursement in the amount

  5  determined by its sales tax reimbursement agreement with the

  6  Office of Tourism, Trade, and Economic Development.  The

  7  amount shall be based on new sales tax revenues generated

  8  under chapter 212 by increased new business and tourism

  9  activity directly attributable to the project as determined

10  using the sports economic impact model and, subject to other

11  restrictions, returns 50 percent of that amount to the

12  project.  The total amount of sales tax reimbursement for all

13  fiscal years estimated for each project shall not exceed 50

14  percent of the cost of the project as determined by the Office

15  of Tourism, Trade, and Economic Development in the

16  certification process set forth in subsection (6).  The

17  annualized amount of the monthly distribution shall be

18  calculated by the Office of Tourism, Trade, and Economic

19  Development and specified in the applicant's sales tax

20  reimbursement agreement.  Annual payment amounts shall be no

21  less than $500,000 and no more than $2 million, unless the

22  Office of Tourism, Trade, and Economic Development reduces

23  payments below $500,000 under its authority to decertify a

24  project as discussed in subsection (6).

25         (5)  AUTHORIZED USE OF SALES TAX REIMBURSEMENT

26  PAYMENTS.--After entering into a sales tax reimbursement

27  agreement under subsection (7), a certified sports industry

28  economic development project may receive a sales tax

29  reimbursement for:

30         (a)  Developing and implementing any component of the

31  project's sports events and activities;

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  1         (b)  Constructing, reconstructing, renovating,

  2  furnishing, equipping, or operating the project's facilities

  3  or events;

  4         (c)  Pledging payments or debt service on or funding

  5  debt service reserve funds, arbitrage rebate obligations, or

  6  other amounts payable with respect to bonds for the project's

  7  activities and facilities; or

  8         (d)  Paying the cost of relocating the project's

  9  corporate headquarters into the state.

10         (6)  CERTIFICATION, RECERTIFICATION, AND

11  DECERTIFICATION PROCEDURE.--

12         (a)  The Office of Tourism, Trade, and Economic

13  Development shall establish a certification process by which a

14  proposed amateur sports industry economic development project

15  may be approved by the office as a certified sports industry

16  economic development project that is eligible to receive

17  economic development incentives in the form of a sales tax

18  reimbursement of a percentage of new sales taxes that have

19  been generated and remitted to the state as a result of the

20  certified sports industry economic development project.

21         (b)  Before certifying an applicant under this

22  subsection, the Office of Tourism, Trade, and Economic

23  Development shall determine that the applicant has:

24         1.  Completed an independent analysis or study,

25  verified by the Office of Tourism, Trade, and Economic

26  Development, which demonstrates that the proposed amateur

27  sports industry economic development project will generate a

28  minimum of $1 million annually in new sales tax revenues over

29  a multiyear period.

30         2.  Received commitments for amateur sports activities

31  which demonstrate that the proposed amateur sports economic

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  1  development project will bring to this state on a multiyear

  2  basis new proposed amateur sports economic development project

  3  activities that will generate a minimum of $1 million in new

  4  sales tax revenues annually, as verified by the Office of

  5  Tourism, Trade, and Economic Development.

  6         3.  Demonstrated that the applicant has provided, is

  7  capable of providing, or has financial or other commitments to

  8  provide more than one-half of the costs incurred in or related

  9  to the development of the proposed amateur sports industry

10  economic development project.

11         (c)  An amateur sports business that has previously

12  been certified under this section and has received a sales tax

13  reimbursement under that certification is ineligible for

14  additional certification.

15         (d)  Upon determining that a proposed amateur sports

16  industry economic development project meets the established

17  criteria for approval as a certified sports industry economic

18  development project and qualifies for a sales tax

19  reimbursement, the Office of Tourism, Trade, and Economic

20  Development shall issue to the applicant a letter of

21  certification that stipulates the terms of the sales tax

22  reimbursement agreement and the penalties for failing to

23  comply with those terms.

24         (e)  The Office of Tourism, Trade, and Economic

25  Development shall deny the application of an amateur sports

26  business to be a certified sports industry economic

27  development project if the office determines that the proposed

28  project does not meet the established criteria for approval.

29         (f)  The Office of Tourism, Trade, and Economic

30  Development shall develop a standardized form for an amateur

31  sports business to complete in applying for certification as a

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  1  certified sports industry economic development project. The

  2  application shall include, but shall not be limited to,

  3  relevant information on employment and job creation, proposed

  4  budgets, contracts for multiyear events and projects, project

  5  financing, and other information requested by the office. The

  6  application may be distributed to applicants by the Office of

  7  Tourism, Trade, and Economic Development, and all completed

  8  applications shall be processed by the office.

  9         (g)  Initial certification for a sales tax

10  reimbursement under this section is valid for 120 months.

11  Subsequent to the initial certification period, the certified

12  sports industry economic development project is eligible for

13  two periods of recertification, each of which is valid for 60

14  months. A project shall request recertification 12 months

15  before the expiration of the certificate.

16         (h)  A certified sports industry economic development

17  project may request recertification after the initial

18  certification period to be requalified for certification as a

19  certified sports industry economic development project for a

20  period not to exceed 240 months.

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

22  Development shall recertify, before the end of the first

23  10-year period, that the certified sports industry economic

24  development project is operational and that the project is

25  meeting the minimum projections for sales tax revenues as

26  required at the time of original certification. If the project

27  is not recertified during this 10-year review period as

28  meeting the minimum projections, funding shall be adjusted

29  until certification criteria are met. If the project fails to

30  generate annual sales tax revenues pursuant to its sales tax

31  reimbursement agreement with the Office of Tourism, Trade, and

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  1  Economic Development, the amount of revenues distributed to

  2  the project under s. 212.20(6)(e)7.e. shall be reduced to the

  3  amount of the taxes collected times 50 percent. If, for 2

  4  consecutive years, the amount of tax revenues collected falls

  5  below a minimum of $1 million per year, the project may be

  6  decertified at the discretion of the Office of Tourism, Trade,

  7  and Economic Development. Such a reduction shall remain in

  8  effect until the sales tax revenues generated by the project

  9  in a 12-month period equal or exceed $1 million.

10         (j)  A project may be decertified if the Office of

11  Tourism, Trade, and Economic Development determines that the

12  amateur sports business can no longer maintain its economic

13  development activities in this state. If the project is no

14  longer in existence, or is no longer viable, as determined by

15  the project's sales tax reimbursement agreement with the

16  Office of Tourism, Trade, and Economic Development, or if the

17  project has the certificate for purposes other than those

18  authorized by this section and chapter 212, the Office of

19  Tourism, Trade, and Economic Development shall notify the

20  Department of Revenue to suspend payment for a period of 6

21  months until the project is either in compliance with the

22  sales tax reimbursement agreement or is determined to be in

23  default. In addition to other penalties imposed by law, any

24  person who knowingly and willfully falsifies an application

25  for purposes other than those authorized by this section

26  commits a felony of the third degree, punishable as provided

27  in s. 775.082, s. 775.083, or s. 775.084.

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

29  Development shall provide written notification to the

30  Department of Revenue of all certifications, recertifications,

31  and decertifications of projects and of the sales tax

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  1  reimbursement distribution amount each project is entitled to

  2  receive.

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

  4  Development shall develop rules for the receipt and processing

  5  of applications for funding pursuant to s. 212.20.

  6         (7)  SALES TAX REIMBURSEMENT AGREEMENT TERMS.--

  7         (a)  In order to qualify for sales tax reimbursement

  8  from the state, each certified sports industry economic

  9  development project shall enter into a written agreement with

10  the Office of Tourism, Trade, and Economic Development which

11  specifies, at a minimum:

12         1.  The total number of full-time-equivalent jobs

13  created in or transferred to this state as a direct result of

14  the project, the average wage paid for those jobs, the

15  criteria that will apply to measuring the achievement of these

16  terms during the effective period of the agreement, and a time

17  schedule or plan for when such jobs will be in place and

18  operative in the state.

19         2.  The maximum amount of new sales taxes estimated to

20  be generated as a result of the project, the maximum amount of

21  sales tax reimbursement that the project is eligible to

22  receive, and the maximum amount of sales tax reimbursement

23  that the project is requesting.

24         3.  The budgets, financing, projections, and cost

25  estimates for the sports activities and projects for which

26  reimbursement is sought.

27         (b)  Compliance with the terms and conditions of the

28  sales tax reimbursement agreement is a condition precedent for

29  receiving a sales tax reimbursement each year. The terms and

30  timeframe of the agreement shall be commensurate with the

31  duration of the certification period. Failure to comply with

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  1  the terms and conditions of the sales tax reimbursement

  2  agreement shall result in an immediate review by the Office of

  3  Tourism, Trade, and Economic Development of the activities of

  4  the project.

  5         (c)  The sales tax reimbursement shall not exceed 50

  6  percent of the total project costs, amortized over a period

  7  not to exceed 20 years.

  8         (d)  Sales tax reimbursement may be provided through

  9  direct payment or other means of payment to the certified

10  sports industry economic development project, as determined in

11  the sales tax reimbursement agreement with the approval of the

12  Department of Revenue.

13         (8)  ADMINISTRATION.--

14         (a)  The Office of Tourism, Trade, and Economic

15  Development may verify information provided in any claim for

16  sales tax reimbursement under this section, including

17  information regarding employment and wage levels or the

18  payment of taxes under chapter 212 to the appropriate agency,

19  including the Department of Revenue, the Agency for Workforce

20  Innovation, or the appropriate local government or authority.

21         (b)  To facilitate the process of monitoring and

22  auditing applications made under this program, the Office of

23  Tourism, Trade, and Economic Development may request

24  information necessary for determining a project's compliance

25  with this section from the Department of Revenue, the Agency

26  for Workforce Innovation, or any local government or

27  authority.  These governmental entities shall provide

28  assistance in the areas within their scope of

29  responsibilities.

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  1         (c)  The Department of Revenue may audit as provided in

  2  s. 213.34 to verify that the distributions pursuant to this

  3  section have been expended as required in this section.

  4         (9)  RELATIONSHIP OF SALES TAX REIMBURSEMENTS TO SPORTS

  5  INDUSTRY GROWTH; REPORT TO THE LEGISLATURE.--Beginning January

  6  1, 2003, the Office of Tourism, Trade, and Economic

  7  Development shall maintain records based on information

  8  provided on taxpayer applications for certified sports

  9  industry economic development projects that receive sales tax

10  reimbursements. These records shall include a statement of the

11  percentage of the overall new economic impact generated by

12  certified sports industry economic development projects and

13  the amount of funds annually reimbursed to such projects. In

14  addition, the Office of Tourism, Trade, and Economic

15  Development shall maintain data showing the annual growth in

16  Florida-based amateur sports industry businesses and the

17  number of persons employed and wages paid by such businesses.

18  The Office of Tourism, Trade, and Economic Development shall

19  report this information to the Legislature annually, no later

20  than December 1.

21         Section 5.  Subsection (1) of section 288.1229, Florida

22  Statutes, is amended to read:

23         288.1229  Promotion and development of sports-related

24  industries and amateur athletics; direct-support organization;

25  powers and duties.--

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

27  Development may authorize a direct-support organization to

28  assist the office in:

29         (a)  The promotion and development of the sports

30  industry and related industries for the purpose of improving

31  the economic presence of these industries in Florida.

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  1         (b)  The promotion of amateur athletic participation

  2  for the citizens of Florida and the promotion of Florida as a

  3  host for national and international amateur athletic

  4  competitions for the purpose of encouraging and increasing the

  5  direct and ancillary economic benefits of amateur athletic

  6  events and competitions.

  7         (c)  The attraction of amateur sports industry economic

  8  development projects to this state for the purposes set forth

  9  in paragraphs (a) and (b), as well as for the purposes of

10  increasing national and international media promotions and

11  attention, promoting the quality of life in the state, and

12  promoting tourism, which will have a positive effect on

13  expanding the tax base as well as creating new jobs in the

14  state.

15         Section 6.  This act shall take effect July 1, 2001.

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