Senate Bill sb0332c1

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    Florida Senate - 2003                            CS for SB 332

    By the Committee on Finance and Taxation; and Senator Saunders





    314-2530-03

  1                      A bill to be entitled

  2         An act relating to local option fuel taxes on

  3         motor fuel and diesel fuel; amending ss. 206.60

  4         and 206.605, F.S.; including bicycle paths and

  5         pedestrian pathways within authorized uses of

  6         proceeds of county and municipal taxes on motor

  7         fuel; amending s. 336.025, F.S.; expanding the

  8         uses of proceeds from local option fuel taxes

  9         on motor fuel and diesel fuel; authorizing

10         certain municipalities to expend local option

11         fuel taxes; providing an effective date.

12  

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

14  

15         Section 1.  Paragraph (b) of subsection (1) and

16  subsection (4) of section 206.60, Florida Statutes, are

17  amended to read:

18         206.60  County tax on motor fuel.--

19         (1)  The proceeds of the county fuel tax imposed

20  pursuant to s. 206.41(1)(b) are appropriated for public

21  transportation purposes in the manner following:

22         (b)1.  The Department of Revenue shall, from month to

23  month, distribute the amount allocated to each of the several

24  counties under paragraph (a) to the board of county

25  commissioners of the county, who shall use such funds solely

26  for the acquisition of rights-of-way; the construction,

27  reconstruction, operation, maintenance, and repair of

28  transportation facilities, roads, and bridges, bicycle paths,

29  and pedestrian pathways therein; or the reduction of bonded

30  indebtedness of such county or of special road and bridge

31  districts within such county, incurred for road and bridge or

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    Florida Senate - 2003                            CS for SB 332
    314-2530-03




 1  other transportation purposes. In the event the powers and

 2  duties relating to transportation facilities, roads, and

 3  bridges, bicycle paths, and pedestrian pathways usually

 4  exercised and performed by boards of county commissioners are

 5  exercised and performed by some other or separate county

 6  board, such board shall receive the proceeds, exercise the

 7  powers, and perform the duties designated in this section to

 8  be done by the boards of county commissioners.

 9         2.  The board of county commissioners of each county,

10  or any separate board or local agency exercising the powers

11  and performing the duties relating to transportation

12  facilities, roads, and bridges, bicycle paths, and pedestrian

13  pathways usually exercised and performed by the boards of

14  county commissioners, shall be assigned the full

15  responsibility for the maintenance of transportation

16  facilities in the county and of roads in the county road

17  system.

18         3.  Nothing in this paragraph as amended by chapter

19  71-212, Laws of Florida, shall be construed to permit the

20  expenditure of public funds in such manner or for such

21  projects as would violate the State Constitution or the trust

22  indenture of any bond issue or which would cause the state to

23  lose any federal aid funds for highway or transportation

24  purposes; and the provisions of this paragraph shall be

25  applied in a manner to avoid such result.

26         (4)  It is hereby expressly recognized and declared by

27  the Legislature that all public roads, and bridges, bicycle

28  paths, and pedestrian pathways being constructed or built or

29  which will be hereafter constructed or built, including the

30  acquisition of rights-of-way as incident thereto, either by

31  the Department of Transportation or the several counties of

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    Florida Senate - 2003                            CS for SB 332
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 1  the state, were, are, and will be constructed and built as

 2  general public projects and undertakings and that the cost of

 3  the construction and building thereof, including the

 4  acquisition of rights-of-way as incident thereto, was, is, and

 5  will be legitimate, proper state expense incurred for a

 6  general public and state purpose.  And it is expressly

 7  recognized and declared that the construction, reconstruction,

 8  maintenance, and acquisition of rights-of-way of all secondary

 9  roads are essential to the welfare of the state and that such

10  roads when constructed, reconstructed, or maintained, or such

11  rights-of-way when acquired, are and will be for a general

12  public and state purpose.  And the Legislature has found and

13  hereby declares that for the proper and efficient construction

14  and maintenance of public highways designated state roads, it

15  is in the best interest of the state to further integrate the

16  activities of the Department of Transportation and the several

17  boards of county commissioners as provided in subsection (1)

18  in order that both state and local highway needs may be

19  adequately provided for.

20         Section 2.  Subsection (2) of section 206.605, Florida

21  Statutes, is amended to read:

22         206.605  Municipal tax on motor fuel.--

23         (2)  Funds available under this section shall be used

24  only for purchase of transportation facilities and road and

25  street rights-of-way;, construction, reconstruction, and

26  maintenance of roads, and streets, bicycle paths, and

27  pedestrian pathways; for the adjustment of city-owned

28  utilities as required by road and street construction;, and

29  the construction, reconstruction, transportation-related

30  public safety activities, maintenance, and operation of

31  transportation facilities. Municipalities are authorized to

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    Florida Senate - 2003                            CS for SB 332
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 1  expend the funds received under this section in conjunction

 2  with other cities or counties or state or federal government

 3  in joint projects.

 4         Section 3.  Paragraph (b) of subsection (1) and

 5  subsections (7) and (8) of section 336.025, Florida Statutes,

 6  are amended to read:

 7         336.025  County transportation system; levy of local

 8  option fuel tax on motor fuel and diesel fuel.--

 9         (1)

10         (b)  In addition to other taxes allowed by law, there

11  may be levied as provided in s. 206.41(1)(e) a 1-cent, 2-cent,

12  3-cent, 4-cent, or 5-cent local option fuel tax upon every

13  gallon of motor fuel sold in a county and taxed under the

14  provisions of part I of chapter 206.  The tax shall be levied

15  by an ordinance adopted by a majority plus one vote of the

16  membership of the governing body of the county or by

17  referendum.

18         1.  All impositions and rate changes of the tax shall

19  be levied before July 1, to be effective January 1 of the

20  following year. However, levies of the tax which were in

21  effect on July 1, 2002, and which expire on August 31 of any

22  year may be reimposed at the current authorized rate effective

23  September 1 of the year of expiration.

24         2.  The county may, prior to levy of the tax, establish

25  by interlocal agreement with one or more municipalities

26  located therein, representing a majority of the population of

27  the incorporated area within the county, a distribution

28  formula for dividing the entire proceeds of the tax among

29  county government and all eligible municipalities within the

30  county. If no interlocal agreement is adopted before the

31  effective date of the tax, tax revenues shall be distributed

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    Florida Senate - 2003                            CS for SB 332
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 1  pursuant to the provisions of subsection (4).  If no

 2  interlocal agreement exists, a new interlocal agreement may be

 3  established prior to June 1 of any year pursuant to this

 4  subparagraph. However, any interlocal agreement agreed to

 5  under this subparagraph after the initial levy of the tax or

 6  change in the tax rate authorized in this section shall under

 7  no circumstances materially or adversely affect the rights of

 8  holders of outstanding bonds which are backed by taxes

 9  authorized by this paragraph, and the amounts distributed to

10  the county government and each municipality shall not be

11  reduced below the amount necessary for the payment of

12  principal and interest and reserves for principal and interest

13  as required under the covenants of any bond resolution

14  outstanding on the date of establishment of the new interlocal

15  agreement.

16         3.  County and municipal governments shall use utilize

17  moneys received pursuant to this paragraph only for

18  transportation expenditures needed to meet the requirements of

19  the capital improvements element of an adopted comprehensive

20  plan or for expenditures needed to meet immediate local

21  transportation problems and for other transportation-related

22  expenditures that are critical for building comprehensive

23  roadway networks by local governments. For purposes of this

24  paragraph, expenditures for the construction of new roads, the

25  reconstruction or resurfacing of existing paved roads, or the

26  paving of existing graded roads shall be deemed to increase

27  capacity and such projects shall be included in the capital

28  improvements element of an adopted comprehensive plan.

29  Expenditures for purposes of this paragraph shall not include

30  routine maintenance of roads.

31  

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    Florida Senate - 2003                            CS for SB 332
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 1         (7)  For the purposes of this section, "transportation

 2  expenditures" means expenditures by the local government from

 3  local or state shared revenue sources, excluding expenditures

 4  of bond proceeds, for the following programs:

 5         (a)  Public transportation operations and maintenance.

 6         (b)  Roadway and right-of-way maintenance and equipment

 7  and structures used primarily for the storage and maintenance

 8  of such equipment.

 9         (c)  Roadway and right-of-way drainage.

10         (d)  Street lighting.

11         (e)  Traffic signs, traffic engineering, signalization,

12  and pavement markings.

13         (f)  Bridge maintenance and operation.

14         (g)  Debt service and current expenditures for

15  transportation capital projects in the foregoing program

16  areas, including construction or reconstruction of roads and

17  sidewalks.

18         (8)  In addition to the uses specified in subsection

19  (7), the governing body of a county with a population of

20  50,000 or less on April 1, 1992, or the governing body of a

21  municipality within such a county, may use the proceeds of the

22  tax levied pursuant to paragraph (1)(a) in any fiscal year to

23  fund infrastructure projects, if such projects are consistent

24  with the local government's approved comprehensive plan or, if

25  the approval or denial of the plan has not become final,

26  consistent with the plan last submitted to the state land

27  planning agency. In addition, no more than an amount equal to

28  the proceeds from 4 cents per gallon of the tax imposed

29  pursuant to paragraph (1)(a) may be used by such county for

30  the express and limited purpose of paying for a court-ordered

31  refund of special assessments. Except as provided in

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    Florida Senate - 2003                            CS for SB 332
    314-2530-03




 1  subsection (7), such funds shall not be used for the

 2  operational expenses of any infrastructure.  Such funds may be

 3  used for infrastructure projects under this subsection only

 4  after the local government, prior to the fiscal year in which

 5  the funds are proposed to be used, or if pledged for bonded

 6  indebtedness, prior to the fiscal year in which the bonds will

 7  be issued, has held a duly noticed public hearing on the

 8  proposed use of the funds and has adopted a resolution

 9  certifying that the local government has met all of the

10  transportation needs identified in its approved comprehensive

11  plan or, if the approval or denial of the plan has not become

12  final, consistent with the plan last submitted to the state

13  land planning agency.  The proceeds shall not be pledged for

14  bonded indebtedness for a period exceeding 10 years, except

15  that, for the express and limited purpose of using such

16  proceeds in any fiscal year to pay a court-ordered refund of

17  special assessments, the proceeds may be pledged for bonded

18  indebtedness not exceeding 15 years.  For the purposes of this

19  subsection, "infrastructure" has the same meaning as provided

20  in s. 212.055.

21         Section 4.  This act shall take effect July 1, 2003.

22  

23          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
24                         Senate Bill 332

25                                 

26  The bill expands the authorized uses of the "1-cent county
    fuel tax" and the "1-cent municipal fuel tax" revenues to
27  include the construction, operation, maintenance, and repair
    of bicycle paths and pedestrian pathways.
28  
    In addition, the bill authorizes a municipality in a county
29  with a population of 50,000 or less to use the proceeds from
    the first 6 cents of the 11 cents local option gas tax for
30  infrastructure projects, provided such projects are consistent
    with the local government's comprehensive plan.
31  

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