House Bill hb0345e1

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                                    CS/HB 345, First Engrossed/ntc



  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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                                    CS/HB 345, First Engrossed/ntc



  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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                                    CS/HB 345, First Engrossed/ntc



  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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                                    CS/HB 345, First Engrossed/ntc



  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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                                    CS/HB 345, First Engrossed/ntc



  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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                                    CS/HB 345, First Engrossed/ntc



  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 30 days 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, and has generated new sales tax revenues that have

  9  been remitted to the state during the prior twelve months, a

10  monthly sales tax reimbursement payment in the amount set

11  forth in the notice by the Office of Tourism, Trade and

12  Economic Development, based on actual sales tax generated over

13  a 12-month period, shall be distributed to the applicant until

14  the certification expires or notice is received by the

15  department from the Office of Tourism, Trade, and Economic

16  Development of a change in the applicant's certification

17  status or in the certified monthly payment amount.  The amount

18  of the monthly sales tax reimbursement distribution shall be

19  adjusted beginning 30 days after notice by the Office of

20  Tourism, Trade, and Economic Development that the applicant is

21  to receive a reduced or increased sales tax reimbursement

22  payment.

23         8.  All other proceeds shall remain with the General

24  Revenue Fund.

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

26  Florida, is not repealed by section 58 of said chapter,

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

28  Statutes, is amended to read:

29         212.20  Funds collected, disposition; additional powers

30  of department; operational expense; refund of taxes

31  adjudicated unconstitutionally collected.--


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                                    CS/HB 345, First Engrossed/ntc



  1         (6)  Distribution of all proceeds under this chapter

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

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

  4  pursuant to this chapter or remitted pursuant to s.

  5  202.18(1)(b) and (2)(b) shall be distributed as follows:

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

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

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

  9  other taxes and fees imposed pursuant to this chapter or

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

11  deposited in monthly installments into the General Revenue

12  Fund.

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

14  the Solid Waste Management Trust Fund.

15         3.  After the distribution under subparagraphs 1. and

16  2., 9.653 percent of the amount remitted by a sales tax dealer

17  located within a participating county pursuant to s. 218.61

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

19  Tax Clearing Trust Fund.

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

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

22  Government Half-cent Sales Tax Clearing Trust Fund and

23  distributed pursuant to s. 218.65.

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

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

26  percent of the available proceeds pursuant to this paragraph

27  shall be transferred monthly to the Revenue Sharing Trust Fund

28  for Counties pursuant to s. 218.215.

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

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

31  1.0715 percent of the available proceeds pursuant to this


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                                    CS/HB 345, First Engrossed/ntc



  1  paragraph shall be transferred monthly to the Revenue Sharing

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

  3  total revenue to be distributed pursuant to this subparagraph

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

  5  Sharing Trust Fund for Municipalities and the Municipal

  6  Financial Assistance Trust Fund in state fiscal year

  7  1999-2000, no municipality shall receive less than the amount

  8  due from the Revenue Sharing Trust Fund for Municipalities and

  9  the Municipal Financial Assistance Trust Fund in state fiscal

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

11  less than the amount received in combination from the Revenue

12  Sharing Trust Fund for Municipalities and the Municipal

13  Financial Assistance Trust Fund in state fiscal year

14  1999-2000, each municipality shall receive an amount

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

16  1999-2000.

17         7.  Of the remaining proceeds:

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

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

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

21  part shall be distributed to each county.  The distribution

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

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

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

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

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

27  district school board, special district, or a municipal

28  government, such payment shall continue until such time that

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

30  covenants with holders of bonds or other instruments of

31  indebtedness issued by local governments, special districts,


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                                    CS/HB 345, First Engrossed/ntc



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

  2  not the intent of this subparagraph to adversely affect the

  3  rights of those holders or relieve local governments, special

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

  5  obligations as a result of previous pledges or assignments or

  6  trusts entered into which obligated funds received from the

  7  distribution to county governments under then-existing s.

  8  550.135.  This distribution specifically is in lieu of funds

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

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

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

12  certified as a "facility for a new professional sports

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

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

15  distributed monthly by the department to each applicant that

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

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

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

19  all certified facilities for a retained spring training

20  franchise. Distributions shall begin 60 days following such

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

22  Nothing contained in this paragraph shall be construed to

23  allow an applicant certified pursuant to s. 288.1162 to

24  receive more in distributions than actually expended by the

25  applicant for the public purposes provided for in s.

26  288.1162(6). However, a certified applicant is entitled to

27  receive distributions up to the maximum amount allowable and

28  undistributed under this section for additional renovations

29  and improvements to the facility for the franchise without

30  additional certification.

31


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                                    CS/HB 345, First Engrossed/ntc



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

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

  3  Revenue that an applicant has been certified as the

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

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

  6  up to 300 months, to the applicant.

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

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

  9  Revenue that the applicant has been certified as the

10  International Game Fish Association World Center facility

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

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

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

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

15  $999,996 shall be made, after certification and before July 1,

16  2000.

17         e.  Beginning 30 days after notice by the Office of

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

19  Revenue that an applicant has been certified as a certified

20  sports industry economic development project pursuant to s.

21  288.113, and has generated new sales tax revenues that have

22  been remitted to the state during the prior twelve months, a

23  monthly sales tax reimbursement payment in the amount set

24  forth in the notice by the Office of Tourism, Trade and

25  Economic Development, based on actual sales tax generated over

26  a 12-month period, shall be distributed to the applicant until

27  the certification expires or notice is received by the

28  department from the Office of Tourism, Trade, and Economic

29  Development of a change in the applicant's certification

30  status or in the certified monthly payment amount.  The amount

31  of the monthly sales tax reimbursement distribution shall be


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                                    CS/HB 345, First Engrossed/ntc



  1  adjusted beginning 30 days after notice by the Office of

  2  Tourism, Trade, and Economic Development that the applicant is

  3  to receive a reduced or increased sales tax reimbursement

  4  payment.

  5         8.  All other proceeds shall remain with the General

  6  Revenue Fund.

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

  8  213.053, Florida Statutes, is amended to read:

  9         213.053  Confidentiality and information sharing.--

10         (7)  Notwithstanding any other provision of this

11  section, the department may provide:

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

13  212, 220, and 221 to the Office of Tourism, Trade, and

14  Economic Development in its administration of the tax refund

15  program for qualified defense contractors authorized by s.

16  288.1045, and the tax refund program for qualified target

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

18  tax reimbursement program for certified sports industry

19  economic development projects authorized by s. 288.113.

20         Section 4.  Section 288.113, Florida Statutes, is

21  created to read:

22         288.113  Tax reimbursement program for certified sports

23  industry economic development projects.--

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

25  Legislature finds that attracting, retaining, and providing

26  favorable conditions for the growth of certified sports

27  industry economic development projects provides high-quality

28  employment opportunities for residents of the state, increases

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

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

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


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                                    CS/HB 345, First Engrossed/ntc



  1  a sales tax reimbursement to certified sports industry

  2  economic development projects that create new employment

  3  opportunities and generate new sales tax dollars by expanding

  4  businesses within the state or by bringing new businesses to

  5  the state.

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

  7         (a)  "Certified sports industry economic development

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

  9  develops, operates, attracts, and retains multiyear amateur

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

11  has submitted a properly completed application to the Office

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

13  subsequently been certified by that office as a certified

14  sports industry economic development project.

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

16  to be distributed through a reimbursement to a certified

17  sports industry economic development project pursuant to s.

18  212.20.  Such amount shall be determined by the Office of

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

20  section.

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

22         (a)  Any amateur sports business that develops,

23  operates, attracts, and retains multiyear amateur sporting

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

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

26  application for approval as a certified sports industry

27  economic development project for the purpose of receiving a

28  sales tax reimbursement on new sales taxes generated by

29  increased new business and tourism activity directly

30  attributable to the proposed amateur sports industry economic

31  development project.


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                                    CS/HB 345, First Engrossed/ntc



  1         (b)  The number of certified sports industry economic

  2  development projects shall not exceed three until June 30,

  3  2006, and thereafter only one new certified sports industry

  4  economic development project may be certified by the Office of

  5  Tourism, Trade, and Economic Development each year.

  6         (4)  SALES TAX REIMBURSEMENT AND AUTHORIZED

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

  8  economic development project shall be eligible for a monthly

  9  distribution of its sales tax reimbursement in the amount

10  determined by its sales tax reimbursement agreement with the

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

12  amount shall be based on new sales tax revenues generated

13  under chapter 212 by increased new business and tourism

14  activity directly attributable to the project as determined

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

16  restrictions, returns 50 percent of that amount to the

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

18  fiscal years estimated for each project shall not exceed 50

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

20  of Tourism, Trade, and Economic Development in the

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

22  annualized amount of the monthly distribution shall be

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

24  Development and specified in the applicant's sales tax

25  reimbursement agreement.  Annual payment amounts shall be no

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

27  Office of Tourism, Trade, and Economic Development reduces

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

29  project as discussed in subsection (6).

30         (5)  AUTHORIZED USE OF SALES TAX REIMBURSEMENT

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


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                                    CS/HB 345, First Engrossed/ntc



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

  2  economic development project may receive a sales tax

  3  reimbursement for:

  4         (a)  Developing and implementing any component of the

  5  project's sports events and activities;

  6         (b)  Constructing, reconstructing, renovating,

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

  8  or events;

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

10  debt service reserve funds, arbitrage rebate obligations, or

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

12  activities and facilities; or

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

14  corporate headquarters into the state.

15         (6)  CERTIFICATION, RECERTIFICATION, AND

16  DECERTIFICATION PROCEDURE.--

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

18  Development shall establish a certification process by which a

19  proposed amateur sports industry economic development project

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

21  economic development project that is eligible to receive

22  economic development incentives in the form of a sales tax

23  reimbursement of a percentage of new sales taxes that have

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

25  certified sports industry economic development project.

26         (b)  Before certifying an applicant under this

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

28  Development shall determine that the applicant has:

29         1.  Completed an independent analysis or study,

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

31  Development, which demonstrates that the proposed amateur


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                                    CS/HB 345, First Engrossed/ntc



  1  sports industry economic development project will generate a

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

  3  a multiyear period.

  4         2.  Received commitments for amateur sports activities

  5  which demonstrate that the proposed amateur sports economic

  6  development project will bring to this state on a multiyear

  7  basis new proposed amateur sports economic development project

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

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

10  Tourism, Trade, and Economic Development.

11         3.  Demonstrated that the applicant has provided, is

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

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

14  to the development of the proposed amateur sports industry

15  economic development project.

16         (c)  An amateur sports business that has previously

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

18  reimbursement under that certification is ineligible for

19  additional certification.

20         (d)  Upon determining that a proposed amateur sports

21  industry economic development project meets the established

22  criteria for approval as a certified sports industry economic

23  development project and qualifies for a sales tax

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

25  Development shall issue to the applicant a letter of

26  certification that stipulates the terms of the sales tax

27  reimbursement agreement and the penalties for failing to

28  comply with those terms.

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

30  Development shall deny the application of an amateur sports

31  business to be a certified sports industry economic


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                                    CS/HB 345, First Engrossed/ntc



  1  development project if the office determines that the proposed

  2  project does not meet the established criteria for approval.

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

  4  Development shall develop a standardized form for an amateur

  5  sports business to complete in applying for certification as a

  6  certified sports industry economic development project. The

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

  8  relevant information on employment and job creation, proposed

  9  budgets, contracts for multiyear events and projects, project

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

11  application may be distributed to applicants by the Office of

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

13  applications shall be processed by the office.

14         (g)  Initial certification for a sales tax

15  reimbursement under this section is valid for 120 months.

16  Subsequent to the initial certification period, the certified

17  sports industry economic development project is eligible for

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

19  months. A project shall request recertification 12 months

20  before the expiration of the certificate.

21         (h)  A certified sports industry economic development

22  project may request recertification after the initial

23  certification period to be requalified for certification as a

24  certified sports industry economic development project for a

25  period not to exceed 240 months.

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

27  Development shall recertify, before the end of the first

28  10-year period, that the certified sports industry economic

29  development project is operational and that the project is

30  meeting the minimum projections for sales tax revenues as

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


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                                    CS/HB 345, First Engrossed/ntc



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

  2  meeting the minimum projections, funding shall be adjusted

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

  4  generate annual sales tax revenues pursuant to its sales tax

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

  6  Economic Development, the amount of revenues distributed to

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

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

  9  consecutive years, the amount of tax revenues collected falls

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

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

12  and Economic Development. Such a reduction shall remain in

13  effect until the sales tax revenues generated by the project

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

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

16  Tourism, Trade, and Economic Development determines that the

17  amateur sports business can no longer maintain its economic

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

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

20  the project's sales tax reimbursement agreement with the

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

22  project has the certificate for purposes other than those

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

24  Tourism, Trade, and Economic Development shall notify the

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

26  months until the project is either in compliance with the

27  sales tax reimbursement agreement or is determined to be in

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

29  person who knowingly and willfully falsifies an application

30  for purposes other than those authorized by this section

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                                    CS/HB 345, First Engrossed/ntc



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

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

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

  4  Development shall provide written notification to the

  5  Department of Revenue of all certifications, recertifications,

  6  and decertifications of projects and of the sales tax

  7  reimbursement distribution amount each project is entitled to

  8  receive.

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

10  Development shall develop rules for the receipt and processing

11  of applications for funding pursuant to s. 212.20.

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

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

14  from the state, each certified sports industry economic

15  development project shall enter into a written agreement with

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

17  specifies, at a minimum:

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

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

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

21  criteria that will apply to measuring the achievement of these

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

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

24  operative in the state.

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

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

27  sales tax reimbursement that the project is eligible to

28  receive, and the maximum amount of sales tax reimbursement

29  that the project is requesting.

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                                    CS/HB 345, First Engrossed/ntc



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

  2  estimates for the sports activities and projects for which

  3  reimbursement is sought.

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

  5  sales tax reimbursement agreement is a condition precedent for

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

  7  timeframe of the agreement shall be commensurate with the

  8  duration of the certification period. Failure to comply with

  9  the terms and conditions of the sales tax reimbursement

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

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

12  the project.

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

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

15  not to exceed 20 years.

16         (d)  Sales tax reimbursement may be provided through

17  direct payment or other means of payment to the certified

18  sports industry economic development project, as determined in

19  the sales tax reimbursement agreement with the approval of the

20  Department of Revenue.

21         (8)  ADMINISTRATION.--

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

23  Development may verify information provided in any claim for

24  sales tax reimbursement under this section, including

25  information regarding employment and wage levels or the

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

27  including the Department of Revenue, the Agency for Workforce

28  Innovation, or the appropriate local government or authority.

29         (b)  To facilitate the process of monitoring and

30  auditing applications made under this program, the Office of

31  Tourism, Trade, and Economic Development may request


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                                    CS/HB 345, First Engrossed/ntc



  1  information necessary for determining a project's compliance

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

  3  for Workforce Innovation, or any local government or

  4  authority.  These governmental entities shall provide

  5  assistance in the areas within their scope of

  6  responsibilities.

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

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

  9  section have been expended as required in this section.

10         (9)  RELATIONSHIP OF SALES TAX REIMBURSEMENTS TO SPORTS

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

12  1, 2003, the Office of Tourism, Trade, and Economic

13  Development shall maintain records based on information

14  provided on taxpayer applications for certified sports

15  industry economic development projects that receive sales tax

16  reimbursements. These records shall include a statement of the

17  percentage of the overall new economic impact generated by

18  certified sports industry economic development projects and

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

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

21  Development shall maintain data showing the annual growth in

22  Florida-based amateur sports industry businesses and the

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

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

25  report this information to the Legislature annually, no later

26  than December 1.

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

28  Statutes, is amended to read:

29         288.1229  Promotion and development of sports-related

30  industries and amateur athletics; direct-support organization;

31  powers and duties.--


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                                    CS/HB 345, First Engrossed/ntc



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

  2  Development may authorize a direct-support organization to

  3  assist the office in:

  4         (a)  The promotion and development of the sports

  5  industry and related industries for the purpose of improving

  6  the economic presence of these industries in Florida.

  7         (b)  The promotion of amateur athletic participation

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

  9  host for national and international amateur athletic

10  competitions for the purpose of encouraging and increasing the

11  direct and ancillary economic benefits of amateur athletic

12  events and competitions.

13         (c)  The attraction of amateur sports industry economic

14  development projects to this state for the purposes set forth

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

16  increasing national and international media promotions and

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

18  promoting tourism, which will have a positive effect on

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

20  state.

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

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