1 | The Economic Development, Trade & Banking Committee recommends |
2 | the following: |
3 |
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4 | Council/Committee Substitute |
5 | Remove the entire bill and insert: |
6 | A bill to be entitled |
7 | An act relating to economic development incentives; |
8 | amending s. 212.20, F.S.; providing for distribution of a |
9 | portion of revenues from the tax on sales, use, and other |
10 | transactions to specified units of local government owning |
11 | eligible convention centers; providing limitations; |
12 | requiring the Department of Revenue to prescribe certain |
13 | forms; specifying uses of certain distributions; providing |
14 | for future repeal; creating s. 288.1171, F.S.; providing |
15 | for certification of units of local government owning |
16 | eligible convention centers by the Office of Tourism, |
17 | Trade, and Economic Development; requiring the office to |
18 | adopt specified rules; providing a definition; providing |
19 | requirements for certification; providing for use of |
20 | proceeds distributed to units of local government under |
21 | the act; providing for audits by the Department of |
22 | Revenue; providing for revocation of certification; |
23 | providing for future repeal; providing an effective date. |
24 |
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25 | Be It Enacted by the Legislature of the State of Florida: |
26 |
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27 | Section 1. Paragraph (d) of subsection (6) of section |
28 | 212.20, Florida Statutes, is amended to read: |
29 | 212.20 Funds collected, disposition; additional powers of |
30 | department; operational expense; refund of taxes adjudicated |
31 | unconstitutionally collected.-- |
32 | (6) Distribution of all proceeds under this chapter and s. |
33 | 202.18(1)(b) and (2)(b) shall be as follows: |
34 | (d) The proceeds of all other taxes and fees imposed |
35 | pursuant to this chapter or remitted pursuant to s. 202.18(1)(b) |
36 | and (2)(b) shall be distributed as follows: |
37 | 1. In any fiscal year, the greater of $500 million, minus |
38 | an amount equal to 4.6 percent of the proceeds of the taxes |
39 | collected pursuant to chapter 201, or 5 percent of all other |
40 | taxes and fees imposed pursuant to this chapter or remitted |
41 | pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in |
42 | monthly installments into the General Revenue Fund. |
43 | 2. Two-tenths of one percent shall be transferred to the |
44 | Ecosystem Management and Restoration Trust Fund to be used for |
45 | water quality improvement and water restoration projects. |
46 | 3. After the distribution under subparagraphs 1. and 2., |
47 | 8.814 percent of the amount remitted by a sales tax dealer |
48 | located within a participating county pursuant to s. 218.61 |
49 | shall be transferred into the Local Government Half-cent Sales |
50 | Tax Clearing Trust Fund. Beginning July 1, 2003, the amount to |
51 | be transferred pursuant to this subparagraph to the Local |
52 | Government Half-cent Sales Tax Clearing Trust Fund shall be |
53 | reduced by 0.1 percent, and the department shall distribute this |
54 | amount to the Public Employees Relations Commission Trust Fund |
55 | less $5,000 each month, which shall be added to the amount |
56 | calculated in subparagraph 4. and distributed accordingly. |
57 | 4. After the distribution under subparagraphs 1., 2., and |
58 | 3., 0.095 percent shall be transferred to the Local Government |
59 | Half-cent Sales Tax Clearing Trust Fund and distributed pursuant |
60 | to s. 218.65. |
61 | 5. After the distributions under subparagraphs 1., 2., 3., |
62 | and 4., 2.0440 percent of the available proceeds pursuant to |
63 | this paragraph shall be transferred monthly to the Revenue |
64 | Sharing Trust Fund for Counties pursuant to s. 218.215. |
65 | 6. After the distributions under subparagraphs 1., 2., 3., |
66 | and 4., 1.3409 percent of the available proceeds pursuant to |
67 | this paragraph shall be transferred monthly to the Revenue |
68 | Sharing Trust Fund for Municipalities pursuant to s. 218.215. If |
69 | the total revenue to be distributed pursuant to this |
70 | subparagraph is at least as great as the amount due from the |
71 | Revenue Sharing Trust Fund for Municipalities and the former |
72 | Municipal Financial Assistance Trust Fund in state fiscal year |
73 | 1999-2000, no municipality shall receive less than the amount |
74 | due from the Revenue Sharing Trust Fund for Municipalities and |
75 | the former Municipal Financial Assistance Trust Fund in state |
76 | fiscal year 1999-2000. If the total proceeds to be distributed |
77 | are less than the amount received in combination from the |
78 | Revenue Sharing Trust Fund for Municipalities and the former |
79 | Municipal Financial Assistance Trust Fund in state fiscal year |
80 | 1999-2000, each municipality shall receive an amount |
81 | proportionate to the amount it was due in state fiscal year |
82 | 1999-2000. |
83 | 7. Of the remaining proceeds: |
84 | a. In each fiscal year, the sum of $29,915,500 shall be |
85 | divided into as many equal parts as there are counties in the |
86 | state, and one part shall be distributed to each county. The |
87 | distribution among the several counties shall begin each fiscal |
88 | year on or before January 5th and shall continue monthly for a |
89 | total of 4 months. If a local or special law required that any |
90 | moneys accruing to a county in fiscal year 1999-2000 under the |
91 | then-existing provisions of s. 550.135 be paid directly to the |
92 | district school board, special district, or a municipal |
93 | government, such payment shall continue until such time that the |
94 | local or special law is amended or repealed. The state covenants |
95 | with holders of bonds or other instruments of indebtedness |
96 | issued by local governments, special districts, or district |
97 | school boards prior to July 1, 2000, that it is not the intent |
98 | of this subparagraph to adversely affect the rights of those |
99 | holders or relieve local governments, special districts, or |
100 | district school boards of the duty to meet their obligations as |
101 | a result of previous pledges or assignments or trusts entered |
102 | into which obligated funds received from the distribution to |
103 | county governments under then-existing s. 550.135. This |
104 | distribution specifically is in lieu of funds distributed under |
105 | s. 550.135 prior to July 1, 2000. |
106 | b. The department shall distribute $166,667 monthly |
107 | pursuant to s. 288.1162 to each applicant that has been |
108 | certified as a "facility for a new professional sports |
109 | franchise" or a "facility for a retained professional sports |
110 | franchise" pursuant to s. 288.1162. Up to $41,667 shall be |
111 | distributed monthly by the department to each applicant that has |
112 | been certified as a "facility for a retained spring training |
113 | franchise" pursuant to s. 288.1162; however, not more than |
114 | $208,335 may be distributed monthly in the aggregate to all |
115 | certified facilities for a retained spring training franchise. |
116 | Distributions shall begin 60 days following such certification |
117 | and shall continue for not more than 30 years. Nothing contained |
118 | in this paragraph shall be construed to allow an applicant |
119 | certified pursuant to s. 288.1162 to receive more in |
120 | distributions than actually expended by the applicant for the |
121 | public purposes provided for in s. 288.1162(6). However, a |
122 | certified applicant is entitled to receive distributions up to |
123 | the maximum amount allowable and undistributed under this |
124 | section for additional renovations and improvements to the |
125 | facility for the franchise without additional certification. |
126 | c. Beginning 30 days after notice by the Office of |
127 | Tourism, Trade, and Economic Development to the Department of |
128 | Revenue that an applicant has been certified as the professional |
129 | golf hall of fame pursuant to s. 288.1168 and is open to the |
130 | public, $166,667 shall be distributed monthly, for up to 300 |
131 | months, to the applicant. |
132 | d. Beginning 30 days after notice by the Office of |
133 | Tourism, Trade, and Economic Development to the Department of |
134 | Revenue that the applicant has been certified as the |
135 | International Game Fish Association World Center facility |
136 | pursuant to s. 288.1169, and the facility is open to the public, |
137 | $83,333 shall be distributed monthly, for up to 168 months, to |
138 | the applicant. This distribution is subject to reduction |
139 | pursuant to s. 288.1169. A lump sum payment of $999,996 shall be |
140 | made, after certification and before July 1, 2000. |
141 | e. The department shall distribute monthly to units of |
142 | local government that have been certified as owning eligible |
143 | convention centers pursuant to s. 288.1171 an amount equal to 50 |
144 | percent of the proceeds, as defined in paragraph (5)(a), |
145 | received and collected in the previous month by the department |
146 | under the provisions of this chapter which are generated by such |
147 | eligible convention centers and remitted on the sales and use |
148 | tax returns of eligible convention centers. Proceeds, for this |
149 | sub-subparagraph, are limited to all applicable sales taxes |
150 | collected by an eligible convention center for standard services |
151 | provided by center staff to users of the center, which include |
152 | the following: parking, admission, and ticket sales, food |
153 | services, utilities services, space rentals, equipment rentals, |
154 | security services, decorating services, business services, |
155 | advertising services, communications services, exhibit supply |
156 | sales and rentals, locksmith services, and sales of gifts and |
157 | sundries. The total distribution to each unit of local |
158 | government shall not exceed $1 million per state fiscal year. |
159 | However, total distributions to all units of local government |
160 | shall not exceed $5 million per state fiscal year, and such |
161 | distribution shall be limited exclusively to the taxes collected |
162 | and remitted under the provisions of this chapter. If |
163 | collections and remittances of eligible convention centers |
164 | exceed the $5 million maximum amount authorized for |
165 | distribution, the department shall distribute proceeds to each |
166 | eligible unit of local government using an apportionment factor, |
167 | the numerator of which is the amount remitted by an eligible |
168 | convention center and the denominator is the total amount |
169 | remitted by all eligible convention centers. The apportionment |
170 | factor for each eligible convention center shall be applied to |
171 | the $5 million maximum amount authorized for distribution to |
172 | determine the amount that shall be distributed to each local |
173 | government unit. The department shall prescribe forms required |
174 | to be filed with the department by eligible convention centers. |
175 | Distributions shall begin 60 days following notification of |
176 | certification by the Office of Tourism, Trade, and Economic |
177 | Development pursuant to s. 288.1171. Distributions shall be used |
178 | solely to encourage and provide economic development for the |
179 | attraction, recruitment, and retention of corporate headquarters |
180 | and of high-technology, manufacturing, research and development, |
181 | entertainment, and tourism industries as designated by the unit |
182 | of local government by resolution of its governing body, and to |
183 | assist the eligible convention centers to attract more business |
184 | and expand their offerings, including developing their own |
185 | events and shows. This sub-subparagraph is repealed effective |
186 | June 30, 2008. |
187 | 8. All other proceeds shall remain with the General |
188 | Revenue Fund. |
189 | Section 2. Section 288.1171, Florida Statutes, is created |
190 | to read: |
191 | 288.1171 Convention centers owned by units of local |
192 | government; certification as owning eligible convention centers; |
193 | duties.-- |
194 | (1) The Office of Tourism, Trade, and Economic Development |
195 | shall serve as the state agency for screening applicants for |
196 | state funding pursuant to s. 212.20(6)(d)7.e. and for certifying |
197 | an applicant as owning an eligible convention center. |
198 | (2) The Office of Tourism, Trade, and Economic Development |
199 | shall adopt rules pursuant to ss. 120.536(1) and 120.54 for the |
200 | receipt and processing of applications for funding pursuant to |
201 | s. 212.20(6)(d)7.e. |
202 | (3) As used in this section, the term "eligible convention |
203 | center" means a publicly owned facility having exhibition space |
204 | in excess of 60,000 square feet, the primary function of which |
205 | is to host meetings, conventions, or trade shows. |
206 | (4) Prior to certifying an applicant as owning an eligible |
207 | convention center, the Office of Tourism, Trade, and Economic |
208 | Development must determine that: |
209 | (a) The unit of local government, as defined in s. |
210 | 218.369, owns an eligible convention center. |
211 | (b) The convention center contains more than 60,000 square |
212 | feet of exhibit space. |
213 | (c) The unit of local government in which the convention |
214 | center is located has certified by resolution after a public |
215 | hearing that the application serves a public purpose pursuant to |
216 | subsection (7). |
217 | (d) The convention center is located in a county that is |
218 | levying a tourist development tax pursuant to s. 125.0104. |
219 | (5) Upon certification of an applicant, the Office of |
220 | Tourism, Trade, and Economic Development shall notify the |
221 | executive director of the Department of Revenue of such |
222 | certification by means of an official letter granting |
223 | certification. The Department of Revenue shall not begin |
224 | distributing proceeds until 60 days following notice by the |
225 | Office of Tourism, Trade, and Economic Development that a unit |
226 | of local government has been certified as owning an eligible |
227 | convention center. |
228 | (6) No applicant previously certified under any provision |
229 | of this section who has received proceeds under such |
230 | certification shall be eligible for an additional certification. |
231 | (7) A unit of local government certified as owning an |
232 | eligible convention center may use proceeds provided pursuant to |
233 | s. 212.20(6)(d)7.e. solely to encourage and provide economic |
234 | development for the attraction, recruitment, and retention of |
235 | corporate headquarters and of high-technology, manufacturing, |
236 | research and development, entertainment, and tourism industries |
237 | as designated by the unit of local government by resolution of |
238 | its governing body, and to assist the eligible convention |
239 | centers to attract more business and expand their offerings, |
240 | including developing their own events and shows. |
241 | (8) The Department of Revenue may audit as provided in s. |
242 | 213.34 to verify that the distributions pursuant to this section |
243 | have been expended as required in this section. Such information |
244 | is subject to the confidentiality requirements of chapter 213. |
245 | If the Department of Revenue determines that the distributions |
246 | have not been expended as required by this section, it may |
247 | pursue recovery of such proceeds pursuant to the laws and rules |
248 | governing the assessment of taxes. |
249 | (9) Failure to use the proceeds as provided in this |
250 | section shall be grounds for revoking certification. |
251 | (10) This section is repealed June 30, 2008. |
252 | Section 3. This act shall take effect July 1, 2005. |