Senate Bill sb2216

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    Florida Senate - 2005                                  SB 2216

    By Senator Saunders





    37-1127-05

  1                      A bill to be entitled

  2         An act relating to tax refund programs for

  3         qualified target industry businesses and

  4         qualified defense contractors; amending s.

  5         288.095, F.S., relating to payment of claims

  6         for certain tax refunds; revising a reporting

  7         requirement; amending s. 288.1045, F.S.;

  8         redefining the term "jobs"; clarifying that

  9         state communications services taxes may be

10         refunded; revising requirements for an

11         application for certification; permitting a

12         qualified applicant to seek an

13         economic-stimulus exemption due to the effects

14         of a named hurricane or tropical storm;

15         extending the period of the exemption; revising

16         the exemption application deadline; providing

17         for retroactivity; clarifying the cap on tax

18         refunds; providing for a waiver of the

19         requirement for local financial support, in

20         certain circumstances and for a limited time;

21         revising the expiration date; amending s.

22         288.106, F.S.; clarifying that state

23         communications services taxes may be refunded;

24         revising an application requirement; permitting

25         a business to seek an economic-stimulus

26         exemption due to the effects of a named

27         hurricane or tropical storm; extending the

28         period of the exemption; revising the exemption

29         application deadline; providing for

30         retroactivity; providing for a waiver of the

31         requirement for local financial support, in

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    Florida Senate - 2005                                  SB 2216
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 1         certain circumstances and for a limited time;

 2         revising the expiration date; requiring the

 3         Office of Tourism, Trade, and Economic

 4         Development to attempt to amend existing tax

 5         refund agreements; providing an effective date.

 6  

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

 8  

 9         Section 1.  Paragraphs (b) and (c) of subsection (3) of

10  section 288.095, Florida Statutes, are amended to read:

11         288.095  Economic Development Trust Fund.--

12         (3)

13         (b)  The total amount of tax refund claims approved for

14  payment by the Office of Tourism, Trade, and Economic

15  Development based on actual project performance may not exceed

16  the amount appropriated to the Economic Development Incentives

17  Account for such purposes for the fiscal year. Claims for tax

18  refunds under ss. 288.1045 and 288.106 shall be paid in the

19  order the claims are approved by the Office of Tourism, Trade,

20  and Economic Development. If In the event the Legislature does

21  not appropriate an amount sufficient to satisfy the estimates

22  by the office for tax refunds under ss. 288.1045 and 288.106

23  in a fiscal year, the Office of Tourism, Trade, and Economic

24  Development shall pay the tax refunds from the appropriation

25  for the following, not later than July 15 of such year,

26  determine the proportion of each refund claim which shall be

27  paid by dividing the amount appropriated for tax refunds for

28  the fiscal year by the estimated total of refund claims for

29  the fiscal year. By March 1 of each year, the Office of

30  Tourism, Trade, and Economic Development shall notify the

31  legislative appropriations committees of the Senate and House

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    Florida Senate - 2005                                  SB 2216
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 1  of Representatives of any anticipated shortfall in the amount

 2  of funds needed to satisfy claims for tax refunds from the

 3  appropriation for the current fiscal year. The amount of each

 4  claim for a tax refund shall be multiplied by the resulting

 5  quotient. If, after the payment of all such refund claims,

 6  funds remain in the Economic Development Incentives Account

 7  for tax refunds, the office shall recalculate the proportion

 8  for each refund claim and adjust the amount of each claim

 9  accordingly.

10         (c)  By December 31 of each year, Enterprise Florida,

11  Inc., shall submit a complete and detailed report to the

12  Governor, the President of the Senate, the Speaker of the

13  House of Representatives, and the director of the Office of

14  Tourism, Trade, and Economic Development of all applications

15  received, recommendations made to the Office of Tourism,

16  Trade, and Economic Development, final decisions issued, tax

17  refund agreements executed, and tax refunds paid or other

18  payments made under all programs funded out of the Economic

19  Development Incentives Account, including analyses of benefits

20  and costs, types of projects supported, and employment and

21  investment created. Enterprise Florida, Inc., shall also

22  include a separate analysis of the impact of such tax refunds

23  on state enterprise zones designated pursuant to s. 290.0065,

24  rural communities, brownfield areas, and distressed urban

25  communities. The report must also discuss the efforts made by

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

27  amend tax refund agreements to require tax refund claims to be

28  submitted by January 31 for the net new full-time equivalent

29  Florida jobs as of December 31 of the preceding calendar year.

30  The report must also list the name and amount of the tax

31  refund for each business that has received a tax refund under

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 1  s. 288.1045 or s. 288.106 during the preceding fiscal year.

 2  The report must discuss whether the authority and moneys

 3  appropriated by the Legislature to the Economic Development

 4  Incentives Account were managed and expended in a prudent,

 5  fiducially sound manner. The Office of Tourism, Trade, and

 6  Economic Development shall assist Enterprise Florida, Inc., in

 7  the collection of data related to business performance and

 8  incentive payments.

 9         Section 2.  Paragraph (g) of subsection (1), paragraph

10  (f) of subsection (2), paragraphs (b), (c), and (d) of

11  subsection (3), paragraph (b) of subsection (4), and paragraph

12  (e) of subsection (5) of section 288.1045, Florida Statutes,

13  are amended, present subsection (7) of that section is

14  redesignated as subsection (8) and amended, and a new

15  subsection (7) is added to that section, to read:

16         288.1045  Qualified defense contractor tax refund

17  program.--

18         (1)  DEFINITIONS.--As used in this section:

19         (g)  "Jobs" means full-time equivalent positions,

20  consistent with the use of such terms by the Agency for

21  Workforce Innovation for the purpose of unemployment

22  compensation tax, created or retained as a direct result of

23  resulting directly from a project in this state. This number

24  does not include temporary construction jobs involved with the

25  construction of facilities for the project.

26         (2)  GRANTING OF A TAX REFUND; ELIGIBLE AMOUNTS.--

27         (f)  After entering into a tax refund agreement

28  pursuant to subsection (4), a qualified applicant may receive

29  refunds from the Economic Development Trust Fund for the

30  following taxes due and paid by the qualified applicant

31  

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 1  beginning with the applicant's first taxable year that begins

 2  after entering into the agreement:

 3         1.  Taxes on sales, use, and other transactions paid

 4  pursuant to chapter 212.

 5         2.  State communications services taxes administered

 6  under chapter 202. This subparagraph does not apply to the

 7  gross receipts tax imposed under chapter 203 and administered

 8  under chapter 202 or the local communications services tax

 9  authorized under s. 202.19.

10         3.2.  Corporate income taxes paid pursuant to chapter

11  220.

12         4.3.  Intangible personal property taxes paid pursuant

13  to chapter 199.

14         5.4.  Emergency excise taxes paid pursuant to chapter

15  221.

16         6.5.  Excise taxes paid on documents pursuant to

17  chapter 201.

18         7.6.  Ad valorem taxes paid, as defined in s.

19  220.03(1)(a) on June 1, 1996.

20  

21  However, a qualified applicant may not receive a tax refund

22  pursuant to this section for any amount of credit, refund, or

23  exemption granted such contractor for any of such taxes. If a

24  refund for such taxes is provided by the office, which taxes

25  are subsequently adjusted by the application of any credit,

26  refund, or exemption granted to the qualified applicant other

27  than that provided in this section, the qualified applicant

28  shall reimburse the Economic Development Trust Fund for the

29  amount of such credit, refund, or exemption. A qualified

30  applicant must notify and tender payment to the office within

31  20 days after receiving a credit, refund, or exemption, other

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 1  than that provided in this section. The addition of

 2  communications services taxes administered under chapter 202

 3  is remedial in nature and retroactive to October 1, 2001. The

 4  office may make supplemental tax refund payments to allow for

 5  tax refunds for communications services taxes paid by an

 6  eligible qualified defense contractor after October 1, 2001.

 7         (3)  APPLICATION PROCESS; REQUIREMENTS; AGENCY

 8  DETERMINATION.--

 9         (b)  Applications for certification based on the

10  consolidation of a Department of Defense contract or a new

11  Department of Defense contract must be submitted to the office

12  as prescribed by the office and must include, but are not

13  limited to, the following information:

14         1.  The applicant's federal employer identification

15  number, the applicant's Florida sales tax registration number,

16  and a notarized signature of an officer of the applicant.

17         2.  The permanent location of the manufacturing,

18  assembling, fabricating, research, development, or design

19  facility in this state at which the project is or is to be

20  located.

21         3.  The Department of Defense contract numbers of the

22  contract to be consolidated, the new Department of Defense

23  contract number, or the "RFP" number of a proposed Department

24  of Defense contract.

25         4.  The date the contract was executed or is expected

26  to be executed, and the date the contract is due to expire or

27  is expected to expire.

28         5.  The commencement date for project operations under

29  the contract in this state.

30  

31  

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 1         6.  The number of net new full-time equivalent Florida

 2  jobs included in the project as of December 31 of each year

 3  and the average wage of such jobs.

 4         7.  The number of full-time equivalent Florida jobs to

 5  be retained by the project.

 6         8.7.  The total number of full-time equivalent

 7  employees employed by the applicant in this state.

 8         9.8.  The percentage of the applicant's gross receipts

 9  derived from Department of Defense contracts during the 5

10  taxable years immediately preceding the date the application

11  is submitted.

12         9.  The amount of:

13         a.  Taxes on sales, use, and other transactions paid

14  pursuant to chapter 212;

15         b.  Corporate income taxes paid pursuant to chapter

16  220;

17         c.  Intangible personal property taxes paid pursuant to

18  chapter 199;

19         d.  Emergency excise taxes paid pursuant to chapter

20  221;

21         e.  Excise taxes paid on documents pursuant to chapter

22  201; and

23         f.  Ad valorem taxes paid

24  

25  during the 5 fiscal years immediately preceding the date of

26  the application, and the projected amounts of such taxes to be

27  due in the 3 fiscal years immediately following the date of

28  the application.

29         10.  The estimated amount of tax refunds to be claimed

30  for each fiscal year.

31  

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 1         11.  A brief statement concerning the applicant's need

 2  for tax refunds, and the proposed uses of such refunds by the

 3  applicant.

 4         12.  A resolution adopted by the county commissioners

 5  of the county in which the project will be located, which

 6  recommends the applicant be approved as a qualified applicant,

 7  and which indicates that the necessary commitments of local

 8  financial support for the applicant exist. Prior to the

 9  adoption of the resolution, the county commission may review

10  the proposed public or private sources of such support and

11  determine whether the proposed sources of local financial

12  support can be provided or, for any applicant whose project is

13  located in a county designated by the Rural Economic

14  Development Initiative, a resolution adopted by the county

15  commissioners of such county requesting that the applicant's

16  project be exempt from the local financial support

17  requirement.

18         13.  Any additional information requested by the

19  office.

20         (c)  Applications for certification based on the

21  conversion of defense production jobs to nondefense production

22  jobs must be submitted to the office as prescribed by the

23  office and must include, but are not limited to, the following

24  information:

25         1.  The applicant's federal employer identification

26  number, the applicant's Florida sales tax registration number,

27  and a notarized signature of an officer of the applicant.

28         2.  The permanent location of the manufacturing,

29  assembling, fabricating, research, development, or design

30  facility in this state at which the project is or is to be

31  located.

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 1         3.  The Department of Defense contract numbers of the

 2  contract under which the defense production jobs will be

 3  converted to nondefense production jobs.

 4         4.  The date the contract was executed, and the date

 5  the contract is due to expire or is expected to expire, or was

 6  canceled.

 7         5.  The commencement date for the nondefense production

 8  operations in this state.

 9         6.  The number of net new full-time equivalent Florida

10  jobs included in the nondefense production project as of

11  December 31 of each year and the average wage of such jobs.

12         7.  The number of full-time equivalent Florida jobs to

13  be retained by the project.

14         8.7.  The total number of full-time equivalent

15  employees employed by the applicant in this state.

16         9.8.  The percentage of the applicant's gross receipts

17  derived from Department of Defense contracts during the 5

18  taxable years immediately preceding the date the application

19  is submitted.

20         9.  The amount of:

21         a.  Taxes on sales, use, and other transactions paid

22  pursuant to chapter 212;

23         b.  Corporate income taxes paid pursuant to chapter

24  220;

25         c.  Intangible personal property taxes paid pursuant to

26  chapter 199;

27         d.  Emergency excise taxes paid pursuant to chapter

28  221;

29         e.  Excise taxes paid on documents pursuant to chapter

30  201; and

31         f.  Ad valorem taxes paid

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 1  

 2  during the 5 fiscal years immediately preceding the date of

 3  the application, and the projected amounts of such taxes to be

 4  due in the 3 fiscal years immediately following the date of

 5  the application.

 6         10.  The estimated amount of tax refunds to be claimed

 7  for each fiscal year.

 8         11.  A brief statement concerning the applicant's need

 9  for tax refunds, and the proposed uses of such refunds by the

10  applicant.

11         12.  A resolution adopted by the county commissioners

12  of the county in which the project will be located, which

13  recommends the applicant be approved as a qualified applicant,

14  and which indicates that the necessary commitments of local

15  financial support for the applicant exist. Prior to the

16  adoption of the resolution, the county commission may review

17  the proposed public or private sources of such support and

18  determine whether the proposed sources of local financial

19  support can be provided or, for any applicant whose project is

20  located in a county designated by the Rural Economic

21  Development Initiative, a resolution adopted by the county

22  commissioners of such county requesting that the applicant's

23  project be exempt from the local financial support

24  requirement.

25         13.  Any additional information requested by the

26  office.

27         (d)  Applications for certification based on a contract

28  for reuse of a defense-related facility must be submitted to

29  the office as prescribed by the office and must include, but

30  are not limited to, the following information:

31  

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 1         1.  The applicant's Florida sales tax registration

 2  number and a notarized signature of an officer of the

 3  applicant.

 4         2.  The permanent location of the manufacturing,

 5  assembling, fabricating, research, development, or design

 6  facility in this state at which the project is or is to be

 7  located.

 8         3.  The business entity holding a valid Department of

 9  Defense contract or branch of the Armed Forces of the United

10  States that previously occupied the facility, and the date

11  such entity last occupied the facility.

12         4.  A copy of the contract to reuse the facility, or

13  such alternative proof as may be prescribed by the office that

14  the applicant is seeking to contract for the reuse of such

15  facility.

16         5.  The date the contract to reuse the facility was

17  executed or is expected to be executed, and the date the

18  contract is due to expire or is expected to expire.

19         6.  The commencement date for project operations under

20  the contract in this state.

21         7.  The number of net new full-time equivalent Florida

22  jobs included in the project as of December 31 of each year

23  and the average wage of such jobs.

24         8.  The number of full-time equivalent Florida jobs to

25  be retained by the project.

26         9.8.  The total number of full-time equivalent

27  employees employed by the applicant in this state.

28         9.  The amount of:

29         a.  Taxes on sales, use, and other transactions paid

30  pursuant to chapter 212.

31  

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 1         b.  Corporate income taxes paid pursuant to chapter

 2  220.

 3         c.  Intangible personal property taxes paid pursuant to

 4  chapter 199.

 5         d.  Emergency excise taxes paid pursuant to chapter

 6  221.

 7         e.  Excise taxes paid on documents pursuant to chapter

 8  201.

 9         f.  Ad valorem taxes paid during the 5 fiscal years

10  immediately preceding the date of the application, and the

11  projected amounts of such taxes to be due in the 3 fiscal

12  years immediately following the date of the application.

13         10.  The estimated amount of tax refunds to be claimed

14  for each fiscal year.

15         11.  A brief statement concerning the applicant's need

16  for tax refunds, and the proposed uses of such refunds by the

17  applicant.

18         12.  A resolution adopted by the county commissioners

19  of the county in which the project will be located, which

20  recommends the applicant be approved as a qualified applicant,

21  and which indicates that the necessary commitments of local

22  financial support for the applicant exist. Prior to the

23  adoption of the resolution, the county commission may review

24  the proposed public or private sources of such support and

25  determine whether the proposed sources of local financial

26  support can be provided or, for any applicant whose project is

27  located in a county designated by the Rural Economic

28  Development Initiative, a resolution adopted by the county

29  commissioners of such county requesting that the applicant's

30  project be exempt from the local financial support

31  requirement.

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 1         13.  Any additional information requested by the

 2  office.

 3         (4)  QUALIFIED DEFENSE CONTRACTOR TAX REFUND

 4  AGREEMENT.--

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

 6  agreement is a condition precedent for receipt of tax refunds

 7  each year. The failure to comply with the terms and conditions

 8  of the agreement shall result in the loss of eligibility for

 9  receipt of all tax refunds previously authorized pursuant to

10  this section, and the revocation of the certification as a

11  qualified applicant by the director, unless the qualified

12  applicant is eligible to receive and elects to accept a

13  prorated refund under paragraph (5)(g) or the office grants

14  the qualified applicant an economic-stimulus exemption.

15         1.  A qualified applicant may submit, in writing, a

16  request to the office for an economic-stimulus exemption. The

17  request must provide quantitative evidence demonstrating how

18  negative economic conditions in the qualified applicant's

19  industry, the effects of a named hurricane or tropical storm,

20  or specific acts of terrorism affecting the qualified

21  applicant, have prevented the qualified applicant from

22  complying with the terms and conditions of its tax refund

23  agreement.

24         2.  Upon receipt of a request under subparagraph 1.,

25  the director shall have 45 days to notify the requesting

26  qualified applicant, in writing, if its exemption has been

27  granted or denied. In determining if an exemption should be

28  granted, the director shall consider the extent to which

29  negative economic conditions in the requesting qualified

30  applicant's industry, the effects of a named hurricane or

31  tropical storm, or specific acts of terrorism affecting the

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 1  qualified applicant, have prevented the qualified applicant

 2  from complying with the terms and conditions of its tax refund

 3  agreement.

 4         3.  As a condition for receiving a prorated refund

 5  under paragraph (5)(g) or an economic-stimulus exemption under

 6  this paragraph, a qualified applicant must agree to

 7  renegotiate its tax refund agreement with the office to, at a

 8  minimum, ensure that the terms of the agreement comply with

 9  current law and office procedures governing application for

10  and award of tax refunds. Upon approving the award of a

11  prorated refund or granting an economic-stimulus exemption,

12  the office shall renegotiate the tax refund agreement with the

13  qualified applicant as required by this subparagraph. When

14  amending the agreement of a qualified applicant receiving an

15  economic-stimulus exemption, the office may extend the

16  duration of the agreement for a period not to exceed 2 years 1

17  year.

18         4.  A qualified applicant may submit a request for an

19  economic-stimulus exemption to the office in lieu of any tax

20  refund claim scheduled to be submitted after January 1, 2005

21  2001, but before July 1, 2006 2003.

22         5.  A qualified applicant that receives an

23  economic-stimulus exemption may not receive a tax refund for

24  the period covered by the exemption.

25         (5)  ANNUAL CLAIM FOR REFUND FROM A QUALIFIED DEFENSE

26  CONTRACTOR.--

27         (e)  The total amount of tax refunds approved by the

28  director under this section in any fiscal year may not exceed

29  the amount authorized under s. 288.095(3) appropriated to the

30  Economic Development Trust Fund for such purposes for the

31  fiscal year. If the Legislature does not appropriate an amount

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 1  sufficient to satisfy projections by the office for tax

 2  refunds in a fiscal year, the director shall, not later than

 3  July 15 of such year, determine the proportion of each refund

 4  claim which shall be paid by dividing the amount appropriated

 5  for tax refunds for the fiscal year by the projected total

 6  amount of refund claims for the fiscal year. The amount of

 7  each claim for a tax refund shall be multiplied by the

 8  resulting quotient. If, after the payment of all such refund

 9  claims, funds remain in the Economic Development Trust Fund

10  for tax refunds, the director shall recalculate the proportion

11  for each refund claim and adjust the amount of each claim

12  accordingly.

13         (7)  Notwithstanding paragraphs (4)(a) and (5)(c), the

14  office may approve a waiver of the local financial support

15  requirement for a business located in any of the following

16  counties in which businesses received emergency loans

17  administered by the office in response to the named hurricanes

18  of 2004: Bay, Brevard, Charlotte, DeSoto, Escambia, Flagler,

19  Glades, Hardee, Hendry, Highlands, Indian River, Lake, Lee,

20  Martin, Okaloosa, Okeechobee, Orange, Osceola, Palm Beach,

21  Polk, Putnam, Santa Rosa, Seminole, St. Lucie, Volusia, and

22  Walton. If the office grants a waiver of the local financial

23  support requirement, the state shall pay 100 percent of the

24  refund due to an eligible business. The waiver applies to tax

25  refund applications made for fiscal years 2004-2005,

26  2005-2006, and 2006-2007.

27         (8)(7)  EXPIRATION.--An applicant may not be certified

28  as qualified under this section after June 30, 2010 2005. A

29  tax refund agreement existing on that date shall continue in

30  effect in accordance with its terms.

31  

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 1         Section 3.  Paragraph (c) of subsection (2) and

 2  paragraph (b) of subsection (4) of section 288.106, Florida

 3  Statutes, are amended, present subsection (7) of that section

 4  is redesignated as subsection (8) and amended, and a new

 5  subsection (7) is added to that section, to read:

 6         288.106  Tax refund program for qualified target

 7  industry businesses.--

 8         (2)  TAX REFUND; ELIGIBLE AMOUNTS.--

 9         (c)  After entering into a tax refund agreement under

10  subsection (4), a qualified target industry business may:

11         1.  Receive refunds from the account for the following

12  taxes due and paid by that business beginning with the first

13  taxable year of the business which begins after entering into

14  the agreement:

15         a.  Corporate income taxes under chapter 220.

16         b.  Insurance premium tax under s. 624.509.

17         2.  Receive refunds from the account for the following

18  taxes due and paid by that business after entering into the

19  agreement:

20         a.  Taxes on sales, use, and other transactions under

21  chapter 212.

22         b.  State communications services taxes administered

23  under chapter 202. This sub-subparagraph does not apply to the

24  gross receipts tax imposed under chapter 203 and administered

25  under chapter 202 or the local communications services tax

26  authorized under s. 202.19.

27         c.b.  Intangible personal property taxes under chapter

28  199.

29         d.c.  Emergency excise taxes under chapter 221.

30         e.d.  Excise taxes on documents under chapter 201.

31  

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 1         f.e.  Ad valorem taxes paid, as defined in s.

 2  220.03(1).

 3  

 4  The addition of communications services taxes administered

 5  under chapter 202 is remedial in nature and retroactive to

 6  October 1, 2001. The office may make supplemental tax refund

 7  payments to allow for tax refunds for communications services

 8  taxes paid by an eligible qualified target industry business

 9  after October 1, 2001.

10         (4)  TAX REFUND AGREEMENT.--

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

12  agreement is a condition precedent for the receipt of a tax

13  refund each year. The failure to comply with the terms and

14  conditions of the tax refund agreement results in the loss of

15  eligibility for receipt of all tax refunds previously

16  authorized under this section and the revocation by the

17  director of the certification of the business entity as a

18  qualified target industry business, unless the business is

19  eligible to receive and elects to accept a prorated refund

20  under paragraph (5)(d) or the office grants the business an

21  economic-stimulus exemption.

22         1.  A qualified target industry business may submit, in

23  writing, a request to the office for an economic-stimulus

24  exemption. The request must provide quantitative evidence

25  demonstrating how negative economic conditions in the

26  business's industry, the effects of a named hurricane or

27  tropical storm, or specific acts of terrorism affecting the

28  qualified target industry business, have prevented the

29  business from complying with the terms and conditions of its

30  tax refund agreement.

31  

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 1         2.  Upon receipt of a request under subparagraph 1.,

 2  the director shall have 45 days to notify the requesting

 3  business, in writing, if its exemption has been granted or

 4  denied. In determining if an exemption should be granted, the

 5  director shall consider the extent to which negative economic

 6  conditions in the requesting business's industry, the effects

 7  of a named hurricane or tropical storm, or specific acts of

 8  terrorism affecting the qualified target industry business,

 9  have prevented the business from complying with the terms and

10  conditions of its tax refund agreement.

11         3.  As a condition for receiving a prorated refund

12  under paragraph (5)(d) or an economic-stimulus exemption under

13  this paragraph, a qualified target industry business must

14  agree to renegotiate its tax refund agreement with the office

15  to, at a minimum, ensure that the terms of the agreement

16  comply with current law and office procedures governing

17  application for and award of tax refunds. Upon approving the

18  award of a prorated refund or granting an economic-stimulus

19  exemption, the office shall renegotiate the tax refund

20  agreement with the business as required by this subparagraph.

21  When amending the agreement of a business receiving an

22  economic-stimulus exemption, the office may extend the

23  duration of the agreement for a period not to exceed 2 years 1

24  year.

25         4.  A qualified target industry business may submit a

26  request for an economic-stimulus exemption to the office in

27  lieu of any tax refund claim scheduled to be submitted after

28  January 1, 2005 2001, but before July 1, 2006 June 30, 2004.

29         5.  A qualified target industry business that receives

30  an economic-stimulus exemption may not receive a tax refund

31  for the period covered by the exemption.

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    Florida Senate - 2005                                  SB 2216
    37-1127-05




 1         (7)  Notwithstanding paragraphs (4)(a) and (5)(c), the

 2  office may approve a waiver of the local financial support

 3  requirement for a business located in any of the following

 4  counties in which businesses received emergency loans

 5  administered by the office in response to the named hurricanes

 6  of 2004: Bay, Brevard, Charlotte, DeSoto, Escambia, Flagler,

 7  Glades, Hardee, Hendry, Highlands, Indian River, Lake, Lee,

 8  Martin, Okaloosa, Okeechobee, Orange, Osceola, Palm Beach,

 9  Polk, Putnam, Santa Rosa, Seminole, St. Lucie, Volusia, and

10  Walton. If the office grants a waiver of the local financial

11  support requirement, the state shall pay 100 percent of the

12  refund due to an eligible business. The waiver applies to tax

13  refund applications made for fiscal years 2004-2005,

14  2005-2006, and 2006-2007.

15         (8)(7)  An applicant may not be certified as qualified

16  under this section after June 30, 2010. A tax refund agreement

17  existing on that date shall continue in effect in accordance

18  with its terms. EXPIRATION.--This section expires June 30,

19  2005.

20         Section 4.  The Office of Tourism, Trade, and Economic

21  Development shall attempt to amend existing tax refund

22  agreements created under section 288.106, Florida Statutes, to

23  require tax refund claims to be submitted by January 31 for

24  the net new full-time equivalent Florida jobs as of December

25  31 of the preceding calendar year.

26         Section 5.  This act shall take effect upon becoming a

27  law.

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    Florida Senate - 2005                                  SB 2216
    37-1127-05




 1            *****************************************

 2                          SENATE SUMMARY

 3    Allows refunds of state communications services taxes
      paid by qualified target industry businesses and
 4    qualified defense contractors in specified circumstances.
      Redefines the term "jobs." Revises requirements for an
 5    application for certification. Permits a qualified
      applicant to seek an economic-stimulus exemption due to
 6    the effects of a named hurricane or tropical storm.
      Extends the period of the exemption. Revises the
 7    exemption application deadline. Provides for
      retroactivity. Clarifies the cap on tax refunds. Provides
 8    for a waiver of the requirement for local financial
      support, in certain circumstances and for a limited time.
 9    Requires the Office of Tourism, Trade, and Economic
      Development to attempt to amend existing tax refund
10    agreements.

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