HB 1705 2003
1	A bill to be entitled
2	An act relating to commercial development and capital
3	improvements; amending s. 212.20, F.S.; providing for
4	distribution of a portion of revenues from the tax on
5	sales, use, and other transactions to a motorsports
6	entertainment complex; creating s. 288.1170, F.S.;
7	providing definitions; providing for certification of such
8	facility by the Office of Tourism, Trade, and Economic
9	Development of the Executive Office of the Governor;
10	providing requirements for certification; requiring
11	specified notice; providing for annual recertification;
12	providing for use of the funds distributed to a
13	motorsports entertainment complex; providing for audits by
14	the Department of Revenue; providing an effective date.
15
16	WHEREAS, it is the finding of the Legislature that Florida
17	has long been the preeminent site in the nation for motorsports
18	racing, and
19	WHEREAS, motorsports racing has been a major tourist
20	attraction in Florida for nearly 100 years, and
21	WHEREAS, motorsports entertainment is the fastest growing
22	sports industry in the United States, and
23	WHEREAS, as a result of the increased popularity of
24	motorsports racing, many new motorsports facilities are being
25	constructed in other states, and
26	WHEREAS, to continue to attract spectators to sanctioned
27	championship motorsports events, the owner or operator of a
28	motorsports entertainment complex must build additional
29	spectator seating and renovate existing facilities to improve
30	the amenities available to spectators, and
31	WHEREAS, attracting, retaining, and providing favorable
32	conditions for conducting sanctioned championship motorsports
33	events and the continued development of the motorsports
34	entertainment industry in Florida provides skilled-employment
35	opportunities for citizens of this state, and
36	WHEREAS, continued development and improvement of Florida's
37	motorsports entertainment industry is vital to Florida's tourism
38	industry and to state revenues, and
39	WHEREAS, the motorsports entertainment industry is a major
40	contributor to Florida's economic development because of the
41	technology and service businesses that provide goods and
42	services to the industry, and
43	WHEREAS, the provisions of this act are necessary to
44	protect and strengthen Florida's motorsports entertainment
45	industry, and the purposes to be achieved by this act are
46	predominately public purposes vital to the protection and
47	improvement of Florida's economy, NOW, THEREFORE,
48
49	Be It Enacted by the Legislature of the State of Florida:
50
51	Section 1. Paragraph (d) of subsection (6) of section
52	212.20, Florida Statutes, is amended to read:
53	212.20 Funds collected, disposition; additional powers of
54	department; operational expense; refund of taxes adjudicated
55	unconstitutionally collected.--
56	(6) Distribution of all proceeds under this chapter and s.
57	202.18(1)(b) and (2)(b) shall be as follows:
58	(d) The proceeds of all other taxes and fees imposed
59	pursuant to this chapter or remitted pursuant to s. 202.18(1)(b)
60	and (2)(b) shall be distributed as follows:
61	1. In any fiscal year, the greater of $500 million, minus
62	an amount equal to 4.6 percent of the proceeds of the taxes
63	collected pursuant to chapter 201, or 5 percent of all other
64	taxes and fees imposed pursuant to this chapter or remitted
65	pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in
66	monthly installments into the General Revenue Fund.
67	2. Two-tenths of one percent shall be transferred to the
68	Ecosystem Management and Restoration Trust Fund to be used for
69	water quality improvement and water restoration projects.
70	3. After the distribution under subparagraphs 1. and 2.,
71	9.653 percent of the amount remitted by a sales tax dealer
72	located within a participating county pursuant to s. 218.61
73	shall be transferred into the Local Government Half-cent Sales
74	Tax Clearing Trust Fund.
75	4. After the distribution under subparagraphs 1., 2., and
76	3., 0.065 percent shall be transferred to the Local Government
77	Half-cent Sales Tax Clearing Trust Fund and distributed pursuant
78	to s. 218.65.
79	5. For proceeds received after July 1, 2000, and after the
80	distributions under subparagraphs 1., 2., 3., and 4., 2.25
81	percent of the available proceeds pursuant to this paragraph
82	shall be transferred monthly to the Revenue Sharing Trust Fund
83	for Counties pursuant to s. 218.215.
84	6. For proceeds received after July 1, 2000, and after the
85	distributions under subparagraphs 1., 2., 3., and 4., 1.0715
86	percent of the available proceeds pursuant to this paragraph
87	shall be transferred monthly to the Revenue Sharing Trust Fund
88	for Municipalities pursuant to s. 218.215. If the total revenue
89	to be distributed pursuant to this subparagraph is at least as
90	great as the amount due from the Revenue Sharing Trust Fund for
91	Municipalities and the Municipal Financial Assistance Trust Fund
92	in state fiscal year 1999-2000, no municipality shall receive
93	less than the amount due from the Revenue Sharing Trust Fund for
94	Municipalities and the Municipal Financial Assistance Trust Fund
95	in state fiscal year 1999-2000. If the total proceeds to be
96	distributed are less than the amount received in combination
97	from the Revenue Sharing Trust Fund for Municipalities and the
98	Municipal Financial Assistance Trust Fund in state fiscal year
99	1999-2000, each municipality shall receive an amount
100	proportionate to the amount it was due in state fiscal year
101	1999-2000.
102	7. Of the remaining proceeds:
103	a. Beginning July 1, 2000, and in each fiscal year
104	thereafter, the sum of $29,915,500 shall be divided into as many
105	equal parts as there are counties in the state, and one part
106	shall be distributed to each county. The distribution among the
107	several counties shall begin each fiscal year on or before
108	January 5th and shall continue monthly for a total of 4 months.
109	If a local or special law required that any moneys accruing to a
110	county in fiscal year 1999-2000 under the then-existing
111	provisions of s. 550.135 be paid directly to the district school
112	board, special district, or a municipal government, such payment
113	shall continue until such time that the local or special law is
114	amended or repealed. The state covenants with holders of bonds
115	or other instruments of indebtedness issued by local
116	governments, special districts, or district school boards prior
117	to July 1, 2000, that it is not the intent of this subparagraph
118	to adversely affect the rights of those holders or relieve local
119	governments, special districts, or district school boards of the
120	duty to meet their obligations as a result of previous pledges
121	or assignments or trusts entered into which obligated funds
122	received from the distribution to county governments under then-
123	existing s. 550.135. This distribution specifically is in lieu
124	of funds distributed under s. 550.135 prior to July 1, 2000.
125	b. The department shall distribute $166,667 monthly
126	pursuant to s. 288.1162 to each applicant that has been
127	certified as a "facility for a new professional sports
128	franchise" or a "facility for a retained professional sports
129	franchise" pursuant to s. 288.1162. Up to $41,667 shall be
130	distributed monthly by the department to each applicant that has
131	been certified as a "facility for a retained spring training
132	franchise" pursuant to s. 288.1162; however, not more than
133	$208,335 may be distributed monthly in the aggregate to all
134	certified facilities for a retained spring training franchise.
135	Distributions shall begin 60 days following such certification
136	and shall continue for not more than 30 years. Nothing contained
137	in this paragraph shall be construed to allow an applicant
138	certified pursuant to s. 288.1162 to receive more in
139	distributions than actually expended by the applicant for the
140	public purposes provided for in s. 288.1162(6). However, a
141	certified applicant is entitled to receive distributions up to
142	the maximum amount allowable and undistributed under this
143	section for additional renovations and improvements to the
144	facility for the franchise without additional certification.
145	c. Beginning 30 days after notice by the Office of
146	Tourism, Trade, and Economic Development to the Department of
147	Revenue that an applicant has been certified as the professional
148	golf hall of fame pursuant to s. 288.1168 and is open to the
149	public, $166,667 shall be distributed monthly, for up to 300
150	months, to the applicant.
151	d. Beginning 30 days after notice by the Office of
152	Tourism, Trade, and Economic Development to the Department of
153	Revenue that the applicant has been certified as the
154	International Game Fish Association World Center facility
155	pursuant to s. 288.1169, and the facility is open to the public,
156	$83,333 shall be distributed monthly, for up to 168 months, to
157	the applicant. This distribution is subject to reduction
158	pursuant to s. 288.1169. A lump sum payment of $999,996 shall be
159	made, after certification and before July 1, 2000.
160	e. Beginning 30 days after notice by the Office of
161	Tourism, Trade, and Economic Development to the Department of
162	Revenue that the applicant has been certified as a motorsports
163	entertainment complex pursuant to s. 288.1170 and is open to the
164	public, an amount not to exceed $166,667 shall be distributed
165	monthly to the applicant. Distributions shall continue for 30
166	years.
167	8. All other proceeds shall remain with the General
168	Revenue Fund.
169	Section 2. Section 288.1170, Florida Statutes, is created
170	to read:
171	288.1170 Motorsports entertainment complex; definitions;
172	certification; duties.--
173	(1) As used in this section:
174	(a) "Applicant" means the owner of a motorsports
175	entertainment complex.
176	(b) "Motorsports entertainment complex" means a closed-
177	course racing facility, with ancillary grounds and facilities,
178	which:
179	1. Has not fewer than 70,000 permanent seats for race
180	patrons.
181	2. Has not fewer than 7 scheduled days of motorsports
182	events each calendar year.
183	3. Has paid admissions of more than 200,000 annually.
184	4. Serves food at the facility during sanctioned
185	motorsports races.
186	5. Engages in tourism promotion.
187	(c) "Motorsports event" means a motorsports race and its
188	ancillary activities, which have been sanctioned by a
189	sanctioning body.
190	(d) "Office" means the Office of Tourism, Trade, and
191	Economic Development of the Executive Office of the Governor.
192	(e) "Owner" means a unit of local government that owns a
193	motorsports entertainment complex or owns the land on which the
194	motorsports entertainment complex is located.
195	(f) "Sanctioning body" means the American Motorcycle
196	Association (AMA), Championship Auto Racing Teams (CART), Grand
197	American Road Racing Association (Grand Am), Indy Racing League
198	(IRL), National Association for Stock Car Auto Racing (NASCAR),
199	National Hot Rod Association (NHRA), Professional Sportscar
200	Racing (PSR), Sports Car Club of America (SCCA), United States
201	Auto Club (USAC), or any successor organization, or any other
202	nationally recognized governing body of motorsports that
203	establishes an annual schedule of motorsports events and grants
204	rights to conduct such events, has established and administers
205	rules and regulations governing all participants involved in
206	such events and all persons conducting such events, and requires
207	certain liability assurances, including insurance.
208	(g) "Unit of local government" has the meaning ascribed in
209	s. 218.369.
210	(2) The Office of Tourism, Trade, and Economic Development
211	shall serve as the state agency for screening applicants for
212	state funding pursuant to s. 212.20 and for certifying an
213	applicant as a motorsports entertainment complex. The office
214	shall develop and adopt rules for the receipt and processing of
215	applications for funding pursuant to s. 212.20. The office
216	shall make a determination regarding any application filed by an
217	applicant not later than 120 days after the application is
218	filed.
219	(3) Prior to certifying an applicant as a motorsports
220	entertainment complex, the office must determine that:
221	(a) A unit of local government holds title to the land on
222	which the motorsports entertainment complex is located or holds
223	title to the motorsports entertainment complex.
224	(b) Seven scheduled days of motorsports events were held
225	at the motorsports entertainment complex in the most recently
226	completed calendar year or seven scheduled days of motorsports
227	events are scheduled to be held at the motorsports entertainment
228	complex in the calendar year which begins after the submission
229	of the application. The applicant shall submit certifications
230	from the appropriate officials of the relevant sanctioning
231	bodies that such sanctioned motorsports events were or will be
232	held at the motorsports entertainment complex.
233	(c) The applicant has an independent analysis or study,
234	verified by the office, which demonstrates that the motorsports
235	entertainment complex will attract, or in the most recently
236	completed calendar year has attracted, paid attendance of more
237	than 200,000 annually.
238	(d) The applicant has an independent analysis or study,
239	verified by the office, which demonstrates that the amount of
240	the revenues generated by the taxes imposed under chapter 212
241	with respect to the use and operation of the motorsports
242	entertainment complex is consistent with the provisions of this
243	act.
244	(e) The municipality in which the motorsports
245	entertainment complex is located, or the county if the
246	motorsports entertainment complex is located in an
247	unincorporated area, has certified by resolution after a public
248	hearing that the application serves a public purpose.
249	(f) The motorsports entertainment complex is located in a
250	county defined in s. 125.011(1).
251	(4) Upon determining that an applicant meets the
252	requirements of subsection (3), the office shall notify the
253	applicant and the executive director of the Department of
254	Revenue of such certification by means of an official letter
255	granting certification. If the applicant fails to meet the
256	certification requirements of subsection (3), the office shall
257	notify the applicant not later than 10 days following such
258	determination.
259	(5) The office must recertify each year that the
260	motorsports entertainment complex continues to generate
261	sufficient sales tax revenues annually as required pursuant to
262	paragraph (3)(d).
263	(6) No motorsports entertainment complex which has been
264	previously certified under this section and has received funding
265	under such certification shall be eligible for any additional
266	certification.
267	(7) An applicant certified as a motorsports entertainment
268	complex may use funds provided pursuant to s. 212.20 only for
269	the following public purposes:
270	(a) Paying for the construction, reconstruction,
271	expansion, or renovation of a motorsports entertainment complex.
272	(b) Paying debt service reserve funds, arbitrage rebate
273	obligations, or other amounts payable with respect to bonds
274	issued for the construction, reconstruction, expansion, or
275	renovation of the motorsports entertainment complex or for the
276	reimbursement of such costs or the refinancing of bonds issued
277	for such purposes.
278	(c) Paying for construction, reconstruction, expansion, or
279	renovation of transportation or other infrastructure
280	improvements related to, necessary for, or appurtenant to the
281	motorsports entertainment complex, including, without
282	limitation, paying debt service reserve funds, arbitrage rebate
283	obligations, or other amounts payable with respect to bonds
284	issued for the construction, reconstruction, expansion, or
285	renovation of such transportation or other infrastructure
286	improvements, and for the reimbursement of such costs or the
287	refinancing of bonds issued for such purposes.
288	(d) Paying for programs of advertising and promotion of or
289	related to the motorsports entertainment complex or the
290	municipality in which the motorsports entertainment complex is
291	located, or the county if the motorsports entertainment complex
292	is located in an unincorporated area, provided such programs of
293	advertising and promotion are designed to increase paid
294	attendance at the motorsports entertainment complex or increase
295	tourism in or promote the economic development of the community
296	in which the motorsports entertainment complex is located.
297	(8) The Department of Revenue may audit, as provided in s.
298	213.34, to verify that the distributions pursuant to this
299	section have been expended as required in this section. Such
300	information is subject to the confidentiality requirements of
301	chapter 213. If the Department of Revenue determines that the
302	distributions pursuant to this section have not been expended as
303	required by this section, it may pursue recovery of such funds
304	pursuant to the laws and rules governing the assessment of
305	taxes.
306	Section 3. This act shall take effect July 1, 2003.