Senate Bill sb2506

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    Florida Senate - 2005                                  SB 2506

    By Senator Alexander





    17-1550-05

  1                      A bill to be entitled

  2         An act relating to transportation funding;

  3         amending s. 206.606, F.S.; eliminating the

  4         deduction of service charges and administrative

  5         costs from the proceeds of the fuel sales taxes

  6         on motor fuel and diesel fuel deposited in the

  7         Fuel Tax Collection Trust Fund; amending s.

  8         206.608, F.S.; eliminating the deduction of

  9         service charges and administrative costs from

10         the proceeds of the State Comprehensive

11         Enhanced Transportation System Tax on motor

12         fuel and diesel fuel deposited in the Fuel Tax

13         Collection Trust Fund; providing for use of the

14         revenues derived from elimination of such costs

15         and service charges; amending ss. 215.20,

16         215.22, F.S.; providing that the 7-percent

17         service charge for the cost of general

18         government and the additional 0.3-percent

19         service charge shall not be deducted from the

20         Fuel Tax Collection Trust Fund, the Local

21         Alternative Fuel User Fee Clearing Trust Fund,

22         the Local Option Fuel Tax Trust Fund, the State

23         Alternative Fuel User Fee Clearing Trust Fund,

24         and taxes on motor fuels other than gasoline

25         levied under s. 206.87(1)(a), F.S.; amending

26         ss. 206.875, 206.879, 206.9845, 206.9945,

27         212.0501, F.S., to conform; amending s.

28         320.072, F.S.; providing that a portion of the

29         revenues from the additional fee on certain

30         motor vehicle registration transactions shall

31         be used to fund the County Incentive Grant

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 1         Program rather than deposited in the General

 2         Revenue Fund in certain fiscal years; amending

 3         ss. 206.41, 336.021, 336.025, F.S.; providing

 4         that the rates of the ninth-cent fuel tax on

 5         motor fuel and the local option fuel tax on

 6         motor fuel, if approved by counties through

 7         referendum or adoption of a local ordinance,

 8         may be adjusted annually based on the Consumer

 9         Price Index; providing for notification of tax

10         rates by the Department of Revenue; eliminating

11         the deduction of administrative costs from the

12         proceeds of the local option fuel taxes on

13         motor fuel and diesel fuel; expanding the uses

14         of proceeds from local option fuel taxes on

15         motor fuel and diesel fuel; including governing

16         bodies of certain municipalities as authorized

17         users of certain proceeds; repealing s.

18         215.211(3), F.S., which provides for future

19         reduction and elimination of the 7-percent

20         service charge deducted from proceeds of the

21         local option fuel tax distributed under s.

22         336.025, F.S.; exempting funds generated by the

23         act from certain provisions requiring 15

24         percent of transportation funds be earmarked

25         for public transportation; providing an

26         effective date.

27  

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

29  

30         Section 1.  Subsection (1) of section 206.606, Florida

31  Statutes, is amended to read:

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    Florida Senate - 2005                                  SB 2506
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 1         206.606  Distribution of certain proceeds.--

 2         (1)  Moneys collected pursuant to ss. 206.41(1)(g) and

 3  206.87(1)(e) shall be deposited in the Fuel Tax Collection

 4  Trust Fund. Such moneys, after deducting the service charges

 5  imposed by s. 215.20, the refunds granted pursuant to s.

 6  206.41, and the administrative costs incurred by the

 7  department in collecting, administering, enforcing, and

 8  distributing the tax, which administrative costs may not

 9  exceed 2 percent of collections, shall be distributed monthly

10  to the State Transportation Trust Fund, except that:

11         (a)  $6.30 million shall be transferred to the

12  Department of Environmental Protection in each fiscal year and

13  deposited in the Invasive Plant Control Trust Fund to be used

14  for aquatic plant management, including nonchemical control of

15  aquatic weeds, research into nonchemical controls, and

16  enforcement activities.  Beginning in fiscal year 1993-1994,

17  the department shall allocate at least $1 million of such

18  funds to the eradication of melaleuca.

19         (b)  $2.5 million shall be transferred to the State

20  Game Trust Fund in the Fish and Wildlife Conservation

21  Commission in each fiscal year and used for recreational

22  boating activities, and freshwater fisheries management and

23  research.  The transfers must be made in equal monthly amounts

24  beginning on July 1 of each fiscal year. The commission shall

25  annually determine where unmet needs exist for boating-related

26  activities, and may fund such activities in counties where,

27  due to the number of vessel registrations, sufficient

28  financial resources are unavailable.

29         1.  A minimum of $1.25 million shall be used to fund

30  local projects to provide recreational channel marking, public

31  launching facilities, aquatic plant control, and other local

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 1  boating related activities. In funding the projects, the

 2  commission shall give priority consideration as follows:

 3         a.  Unmet needs in counties with populations of 100,000

 4  or less.

 5         b.  Unmet needs in coastal counties with a high level

 6  of boating related activities from individuals residing in

 7  other counties.

 8         2.  The remaining $1.25 million may be used for

 9  recreational boating activities and freshwater fisheries

10  management and research.

11         3.  The commission is authorized to adopt rules

12  pursuant to ss. 120.536(1) and 120.54 to implement a Florida

13  Boating Improvement Program similar to the program

14  administered by the Department of Environmental Protection and

15  established in rules 62D-5.031 - 62D-5.036, Florida

16  Administrative Code, to determine projects eligible for

17  funding under this subsection.

18  

19  On February 1 of each year, the commission shall file an

20  annual report with the President of the Senate and the Speaker

21  of the House of Representatives outlining the status of its

22  Florida Boating Improvement Program, including the projects

23  funded, and a list of counties whose needs are unmet due to

24  insufficient financial resources from vessel registration

25  fees.

26         (c)  0.65 percent of moneys collected pursuant to s.

27  206.41(1)(g) shall be transferred to the Agricultural

28  Emergency Eradication Trust Fund.

29         (d)  A portion of the moneys attributable to the sale

30  of motor and diesel fuel at marinas shall be transferred from

31  the Fuel Tax Collection Trust Fund to the Marine Resources

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 1  Conservation Trust Fund in the Fish and Wildlife Conservation

 2  Commission as follows:

 3         1.  $2.5 million in fiscal year 2003-2004;

 4         2.  $5.0 million in fiscal year 2004-2005;

 5         3.  $8.5 million in fiscal year 2005-2006;

 6         4.  $10.9 million in fiscal year 2006-2007; and

 7         5.  $13.4 million in fiscal year 2007-2008 and each

 8  fiscal year thereafter.

 9         Section 2.  Section 206.608, Florida Statutes, is

10  amended to read:

11         206.608  State Comprehensive Enhanced Transportation

12  System Tax; deposit of proceeds; distribution.--Moneys

13  received pursuant to ss. 206.41(1)(f) and 206.87(1)(d) shall

14  be deposited in the Fuel Tax Collection Trust Fund, and, after

15  deducting the service charge imposed in chapter 215 and

16  administrative costs incurred by the department in collecting,

17  administering, enforcing, and distributing the tax, which

18  administrative costs may not exceed 2 percent of collections,

19  shall be distributed as follows:

20         (1)  0.65 percent of the proceeds of the tax levied

21  pursuant to s. 206.41(1)(f) shall be transferred to the

22  Agricultural Emergency Eradication Trust Fund.

23         (2)  The remaining proceeds of the tax levied pursuant

24  to s. 206.41(1)(f) and all of the proceeds from the tax

25  imposed by s. 206.87(1)(d) shall be transferred into the State

26  Transportation Trust Fund, and may be used only for projects

27  in the adopted work program in the district in which the tax

28  proceeds are collected and, to the maximum extent feasible,

29  such moneys shall be programmed for use in the county where

30  collected. However, no revenue from the taxes imposed pursuant

31  to ss. 206.41(1)(f) and 206.87(1)(d) in a county shall be

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 1  expended unless the projects funded with such revenues have

 2  been included in the work program adopted pursuant to s.

 3  339.135.

 4         Section 3.  Use of revenue derived from elimination of

 5  deduction of administrative costs on certain taxes.--Beginning

 6  July 1, 2005, the increased revenues derived from the

 7  elimination of the deduction of administrative costs from the

 8  proceeds of the fuel sales taxes on motor fuel and diesel fuel

 9  under section 206.606, Florida Statutes, the State

10  Comprehensive Enhanced Transportation System Tax under section

11  206.608, Florida Statutes, and the local option fuel taxes on

12  motor fuel and diesel fuel under section 336.025, Florida

13  Statutes, shall be deposited in the State Transportation Trust

14  Fund and used to fund the County Incentive Grant Program, with

15  50 percent of the funds collected to be spent in the county of

16  origin.

17         Section 4.  Paragraph (p) of subsection (4) of section

18  215.20, Florida Statutes, is amended to read:

19         215.20  Certain income and certain trust funds to

20  contribute to the General Revenue Fund.--

21         (4)  The income of a revenue nature deposited in the

22  following described trust funds, by whatever name designated,

23  is that from which the appropriations authorized by subsection

24  (3) shall be made:

25         (p)  Within the Department of Revenue:

26         1.  The Additional Court Cost Clearing Trust Fund.

27         2.  The Administrative Trust Fund.

28         3.  The Apalachicola Bay Oyster Surcharge Clearing

29  Trust Fund.

30         4.  The Certification Program Trust Fund.

31         5.  The Fuel Tax Collection Trust Fund.

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 1         5.6.  The Land Reclamation Trust Fund.

 2         7.  The Local Alternative Fuel User Fee Clearing Trust

 3  Fund.

 4         8.  The Local Option Fuel Tax Trust Fund.

 5         6.9.  The Motor Vehicle Rental Surcharge Clearing Trust

 6  Fund.

 7         7.10.  The Motor Vehicle Warranty Trust Fund.

 8         8.11.  The Oil and Gas Tax Trust Fund.

 9         9.12.  The Secondhand Dealer and Secondary Metals

10  Recycler Clearing Trust Fund.

11         10.13.  The Severance Tax Solid Mineral Trust Fund.

12         14.  The State Alternative Fuel User Fee Clearing Trust

13  Fund.

14         15.  All taxes levied on motor fuels other than

15  gasoline levied pursuant to the provisions of s. 206.87(1)(a).

16  

17  The enumeration of the foregoing moneys or trust funds shall

18  not prohibit the applicability thereto of s. 215.24 should the

19  Governor determine that for the reasons mentioned in s. 215.24

20  the money or trust funds should be exempt herefrom, as it is

21  the purpose of this law to exempt income from its force and

22  effect when, by the operation of this law, federal matching

23  funds or contributions or private grants to any trust fund

24  would be lost to the state.

25         Section 5.  Paragraphs (v), (w), (x), (y), and (z) are

26  added to subsection (1) of section 215.22, Florida Statutes,

27  to read:

28         215.22  Certain income and certain trust funds

29  exempt.--

30  

31  

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 1         (1)  The following income of a revenue nature or the

 2  following trust funds shall be exempt from the appropriation

 3  required by s. 215.20(1):

 4         (v)  The Fuel Tax Collection Trust Fund created by s.

 5  206.875.

 6         (w)  All taxes levied on motor fuels other than

 7  gasoline pursuant to s. 206.87(1)(a).

 8         (x)  The State Alternative Fuel User Fee Clearing Trust

 9  Fund established pursuant to s. 206.879(1).

10         (y)  The Local Alternative Fuel User Fee Clearing Trust

11  Fund established pursuant to s. 206.879(2).

12         (z)  The Local Option Fuel Tax Trust Fund created

13  pursuant to s. 336.025.

14         Section 6.  Use of revenues derived from elimination of

15  deduction of service charges.--Beginning July 1, 2005, the

16  increased revenues derived from the elimination of the

17  deduction of the service charges imposed under section

18  215.20(1) and (3), Florida Statutes, from the Fuel Tax

19  Collection Trust Fund, all taxes on motor fuels other than

20  gasoline levied under section 206.87(1)(a) and part IV of

21  chapter 206, Florida Statutes, the State Alternative Fuel User

22  Fee Clearing Trust Fund, the Local Alternative Fuel User Fee

23  Clearing Trust Fund, and the Local Option Fuel Tax Trust Fund

24  shall be deposited in the State Transportation Trust Fund and

25  used to fund the County Incentive Grant Program, except that

26  the increased revenues derived from the elimination of the

27  deduction of the service charge imposed under section

28  215.20(1), Florida Statutes, from the proceeds of any tax

29  levied by a county under section 336.025(1)(b), Florida

30  Statutes, shall be returned directly to the county levying

31  such tax.

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 1         Section 7.  Subsection (1) of section 206.875, Florida

 2  Statutes, is amended to read:

 3         206.875  Allocation of tax.--

 4         (1)  All moneys derived from the taxes imposed by this

 5  part shall be paid into the State Treasury by the department

 6  for deposit in the Fuel Tax Collection Trust Fund, from which

 7  the following transfers shall be made: After withholding

 8  $10,000 from the proceeds of 4 cents of such tax, to be used

 9  as a revolving cash balance, all other moneys shall be

10  transferred in the same manner and for the same purpose as

11  provided by law for allocation of the taxes levied in part I,

12  including deduction of the service charges provided for in s.

13  215.20 and the administrative costs incurred by the department

14  in collecting, administering, enforcing, and distributing the

15  tax, which administrative costs may not exceed 2 percent of

16  collections.

17         Section 8.  Section 206.879, Florida Statutes, is

18  amended to read:

19         206.879  State and local alternative fuel user fee

20  clearing trust funds; distribution.--

21         (1)  Notwithstanding the provisions of s. 206.875, the

22  revenues from the state alternative fuel fees imposed by s.

23  206.877 shall be deposited into the State Alternative Fuel

24  User Fee Clearing Trust Fund, which is hereby created. After

25  deducting the service charges provided in s. 215.20, The

26  proceeds in this trust fund shall be distributed as follows:

27  one-fifth of the proceeds in calendar year 1991, one-third of

28  the proceeds in calendar year 1992, three-sevenths of the

29  proceeds in calendar year 1993, and one-half of the proceeds

30  in each calendar year thereafter shall be transferred to the

31  State Transportation Trust Fund; the remainder shall be

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 1  distributed as follows:  50 percent shall be transferred to

 2  the State Board of Administration for distribution according

 3  to the provisions of s. 16, Art. IX of the State Constitution

 4  of 1885, as amended; 25 percent shall be transferred to the

 5  Revenue Sharing Trust Fund for Municipalities; and the

 6  remaining 25 percent shall be distributed using the formula

 7  contained in s. 206.60(1).

 8         (2)  Notwithstanding the provisions of s. 206.875, the

 9  revenues from the local alternative fuel fees imposed in lieu

10  of s. 206.87(1)(b) or (c) shall be deposited into the Local

11  Alternative Fuel User Fee Clearing Trust Fund, which is hereby

12  created. After deducting the service charges provided in s.

13  215.20, The proceeds in this trust fund shall be returned

14  monthly to the appropriate county.

15         Section 9.  Section 206.9845, Florida Statutes, is

16  amended to read:

17         206.9845  Distribution of proceeds.--Moneys collected

18  pursuant to this part shall be deposited in the Fuel Tax

19  Collection Trust Fund. Such moneys, after deducting the

20  service charges imposed by s. 215.20, the refunds granted

21  pursuant to s. 206.9855, and the administrative costs incurred

22  by the department in collecting, administering, enforcing, and

23  distributing the tax, which administrative costs may not

24  exceed 2 percent of collections, shall be distributed monthly

25  to the State Transportation Trust Fund.

26         Section 10.  Subsection (1) of section 206.9945,

27  Florida Statutes, is amended to read:

28         206.9945  Funds collected; disposition; department

29  authority.--

30         (1)  The department shall deposit all funds received

31  and collected by it under this part into the Fuel Tax

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 1  Collection Trust Fund to be transferred, less the costs of

 2  administration and less the service charges to be deducted

 3  pursuant to s. 215.20, as follows:

 4         (a)  Moneys collected pursuant to s. 206.9935(1) shall

 5  be transferred to the Florida Coastal Protection Trust Fund as

 6  provided in s. 376.11;

 7         (b)  Moneys collected pursuant to s. 206.9935(2) shall

 8  be transferred to the Water Quality Assurance Trust Fund as

 9  provided in s.  376.307; and

10         (c)  Moneys collected pursuant to s. 206.9935(3), less

11  any refunds granted under s. 206.9942, shall be transferred to

12  the Inland Protection Trust Fund as provided in s. 376.3071.

13         Section 11.  Subsection (6) of section 212.0501,

14  Florida Statutes, is amended to read:

15         212.0501  Tax on diesel fuel for business purposes;

16  purchase, storage, and use.--

17         (6)  All taxes required to be paid on fuel used in

18  self-propelled off-road equipment shall be deposited in the

19  Fuel Tax Collection Trust Fund, to be distributed, after

20  deduction of the general revenue service charge pursuant to s.

21  215.20, to the State Transportation Trust Fund.  The

22  department shall, each month, make a transfer, from general

23  revenue collections, equal to such use tax reported on

24  dealers' sales and use tax returns.

25         Section 12.  Subsection (4) of section 320.072, Florida

26  Statutes, is amended to read:

27         320.072  Additional fee imposed on certain motor

28  vehicle registration transactions.--

29         (4)  A tax collector or other duly authorized agent of

30  the department shall promptly remit all moneys collected

31  pursuant to this section, less any refunds granted pursuant to

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 1  subsection (3), to the department to be deposited into the

 2  State Transportation Trust Fund. Thirty percent of such moneys

 3  shall be used to fund the County Incentive Grant Program

 4  provided for under s. 339.2817, of which half must be

 5  allocated to the county of origin.

 6         Section 13.  Paragraphs (d), (e), and (f) of subsection

 7  (1) of section 206.41, Florida Statutes, are amended to read:

 8         206.41  State taxes imposed on motor fuel.--

 9         (1)  The following taxes are imposed on motor fuel

10  under the circumstances described in subsection (6):

11         (d)1.  An additional tax of 1 cent per net gallon may

12  be imposed by each county on motor fuel, which shall be

13  designated as the "ninth-cent fuel tax."  This tax shall be

14  levied and used as provided in s. 336.021.

15         2.  Beginning January 1, 2006, and on January 1 of each

16  year thereafter, counties may, by referendum or by a super

17  majority vote of the county commission, provide that the tax

18  rate set forth in subparagraph 1. be adjusted by the

19  percentage change in the average of the Consumer Price Index

20  issued by the United States Department of Labor for the most

21  recent 12-month period ending September 30 and rounded to the

22  nearest tenth of a cent, as determined by the Department of

23  Revenue. However, the tax rate may not be less than 1 cent a

24  gallon.

25         3.  All impositions and rate changes of the tax shall

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

27  following year.

28         4.  A certified copy of the referendum placed on the

29  ballot by the board of county commissioners or of the

30  ordinance that authorizes the indexing of the tax authorized

31  by this section must be furnished by the county to the

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 1  Department of Revenue within 10 days after the approval of the

 2  referendum or the adoption of the ordinance indexing the tax.

 3         5.  The department shall notify each terminal supplier,

 4  position holder, wholesaler, and importer of the tax rate

 5  applicable under this paragraph for the 12-month period

 6  beginning January 1.

 7         (e)1.  An additional tax of between 1 cent and 11 cents

 8  per net gallon may be imposed on motor fuel by each county,

 9  which shall be designated as the "local option fuel tax."

10  This tax shall be levied and used as provided in s. 336.025.

11         2.  Beginning January 1, 2006, and on January 1 of each

12  year thereafter, counties may, by referendum or by a super

13  majority vote of the county commission, provide that the tax

14  rate set forth in s. 336.025(1)(a) and (b) be adjusted by the

15  percentage change in the average of the Consumer Price Index

16  issued by the United States Department of Labor for the most

17  recent 12-month period ending September 30 and rounded to the

18  nearest tenth of a cent, as determined by the Department of

19  Revenue. However, the tax rate may not be less than the rate

20  per gallon levied pursuant to subparagraph 1.

21         3.  All impositions and rate changes of the tax shall

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

23  following year.

24         4.  A certified copy of the referendum placed on the

25  ballot by the board of county commissioners or of the

26  ordinance that authorizes the indexing of the tax authorized

27  by this section must be furnished by the county to the

28  Department of Revenue within 10 days after the approval of the

29  referendum or the adoption of the ordinance indexing the tax.

30         5.  The department shall notify each terminal supplier,

31  position holder, wholesaler, and importer of the tax rate

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 1  applicable under this paragraph for the 12-month period

 2  beginning January 1.

 3         (f)1.  An additional tax designated as the State

 4  Comprehensive Enhanced Transportation System Tax is imposed on

 5  each net gallon of motor fuel in each county.  This tax shall

 6  be levied and used as provided in s. 206.608.

 7         2.  The rate of the tax in each county shall be equal

 8  to two-thirds of the lesser of the sum of the taxes imposed on

 9  motor fuel pursuant to paragraphs (d) and (e) in such county

10  after the adjustments made pursuant to subparagraphs (d)2. and

11  (e)2. or 6 cents, rounded to the nearest tenth of a cent.

12         3.  Beginning January 1, 1992, and on January 1 of each

13  year thereafter, the tax rate provided in subparagraph 2.

14  shall be adjusted by the percentage change in the average of

15  the Consumer Price Index issued by the United States

16  Department of Labor for the most recent 12-month period ending

17  September 30, compared to the base year average, which is the

18  average for the 12-month period ending September 30, 1990, and

19  rounded to the nearest tenth of a cent.

20         4.  The department shall notify each terminal supplier,

21  position holder, wholesaler, and importer of the tax rate

22  applicable under this paragraph for the 12-month period

23  beginning January 1.

24         Section 14.  Paragraph (a) of subsection (1) of section

25  336.021, Florida Statutes, is amended to read:

26         336.021  County transportation system; levy of

27  ninth-cent fuel tax on motor fuel and diesel fuel.--

28         (1)(a)1.  Any county in the state, by extraordinary

29  vote of the membership of its governing body or subject to a

30  referendum, may levy the tax imposed by ss. 206.41(1)(d) and

31  206.87(1)(b).

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 1         2.  The rate of the ninth-cent fuel tax on motor fuel

 2  shall be adjusted each January 1 as provided in s.

 3  206.41(1)(d)2. The rate of any such tax being levied on that

 4  date shall be automatically adjusted. Any referendum or

 5  ordinance levying such a tax which was adopted on or after

 6  July 1, 2005, must specify that the rate of the tax is subject

 7  to adjustment as provided in s. 206.41(1)(d)2.

 8         3.  County and municipal governments may use the moneys

 9  received under this paragraph only for transportation

10  expenditures as defined in s. 336.025(7).

11         Section 15.  Paragraphs (a) and (b) of subsection (1),

12  paragraph (a) of subsection (2), and subsections (7) and (8)

13  of section 336.025, Florida Statutes, are amended to read:

14         336.025  County transportation system; levy of local

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

16         (1)(a)  In addition to other taxes allowed by law,

17  there may be levied as provided in ss. 206.41(1)(e) and

18  206.87(1)(c) a 1-cent, 2-cent, 3-cent, 4-cent, 5-cent, or

19  6-cent local option fuel tax upon every gallon of motor fuel

20  and diesel fuel sold in a county and taxed under the

21  provisions of part I or part II of chapter 206. The rates of

22  the local option fuel tax on motor fuel authorized by this

23  paragraph shall be adjusted each January 1 as provided in s.

24  206.41(1)(e)2. The rate of any such tax being levied on that

25  date shall be automatically adjusted. Any referendum or

26  ordinance levying such a tax which was adopted on or after

27  July 1, 2005, must specify that the rate of tax is subject to

28  adjustment as provided in s. 206.41(1)(e)2.

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

30  be levied before July 1 to be effective January 1 of the

31  following year for a period not to exceed 30 years, and the

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 1  applicable method of distribution shall be established

 2  pursuant to subsection (3) or subsection (4).  However, levies

 3  of the tax which were in effect on July 1, 2002, and which

 4  expire on August 31 of any year may be reimposed at the

 5  current authorized rate effective September 1 of the year of

 6  expiration.  Upon expiration, the tax may be relevied provided

 7  that a redetermination of the method of distribution is made

 8  as provided in this section.

 9         2.  County and municipal governments shall utilize

10  moneys received pursuant to this paragraph only for

11  transportation expenditures.

12         3.  Any tax levied pursuant to this paragraph may be

13  extended on a majority vote of the governing body of the

14  county. A redetermination of the method of distribution shall

15  be established pursuant to subsection (3) or subsection (4),

16  if, after July 1, 1986, the tax is extended or the tax rate

17  changed, for the period of extension or for the additional

18  tax.

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

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

21  3-cent, 4-cent, or 5-cent local option fuel tax upon every

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

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

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

25  membership of the governing body of the county or by

26  referendum. The rate of the local option fuel tax on motor

27  fuel authorized by this paragraph shall be adjusted each

28  January 1 as provided in s. 206.41(1)(e)2. The rate of any

29  such tax being levied on that date shall be automatically

30  adjusted. Any referendum or ordinance levying such a tax which

31  was adopted on or after July 1, 2005, must specify that the

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    Florida Senate - 2005                                  SB 2506
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 1  rate of tax is subject to adjustment as provided in s.

 2  206.41(1)(e)2.

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

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

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

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

 7  year may be reimposed at the current authorized rate effective

 8  September 1 of the year of expiration.

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

10  by interlocal agreement with one or more municipalities

11  located therein, representing a majority of the population of

12  the incorporated area within the county, a distribution

13  formula for dividing the entire proceeds of the tax among

14  county government and all eligible municipalities within the

15  county. If no interlocal agreement is adopted before the

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

17  pursuant to the provisions of subsection (4). If no interlocal

18  agreement exists, a new interlocal agreement may be

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

20  subparagraph. However, any interlocal agreement agreed to

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

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

23  no circumstances materially or adversely affect the rights of

24  holders of outstanding bonds which are backed by taxes

25  authorized by this paragraph, and the amounts distributed to

26  the county government and each municipality shall not be

27  reduced below the amount necessary for the payment of

28  principal and interest and reserves for principal and interest

29  as required under the covenants of any bond resolution

30  outstanding on the date of establishment of the new interlocal

31  agreement.

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 1         3.  County and municipal governments shall use moneys

 2  received pursuant to this paragraph for transportation

 3  expenditures needed to meet the requirements of the capital

 4  improvements element of an adopted comprehensive plan or for

 5  expenditures needed to meet immediate local transportation

 6  problems and for other transportation-related expenditures

 7  that are critical for building comprehensive roadway networks

 8  by local governments. For purposes of this paragraph,

 9  expenditures for the construction of new roads, the

10  reconstruction or resurfacing of existing paved roads, or the

11  paving of existing graded roads shall be deemed to increase

12  capacity and such projects shall be included in the capital

13  improvements element of an adopted comprehensive plan.

14  Expenditures for purposes of this paragraph shall not include

15  routine maintenance of roads.

16         (2)(a)  The tax levied pursuant to paragraph (1)(a)

17  shall be collected and remitted in the same manner provided by

18  ss. 206.41(1)(e) and 206.87(1)(c). The tax levied pursuant to

19  paragraph (1)(b) shall be collected and remitted in the same

20  manner provided by s. 206.41(1)(e). The taxes remitted

21  pursuant to this section shall be transferred to the Local

22  Option Fuel Tax Trust Fund, which fund is created for

23  distribution to the county and eligible municipal governments

24  within the county in which the tax was collected and which

25  fund is subject to the service charge imposed in chapter 215.

26  The tax shall be distributed monthly by the department in the

27  same manner provided by s. 336.021(1)(c) and (d). The

28  department shall deduct the administrative costs incurred by

29  it in collecting, administering, enforcing, and distributing

30  back to the counties the tax, which administrative costs may

31  not exceed 2 percent of collections authorized by this

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 1  section. The total administrative costs shall be prorated

 2  among those counties levying the tax according to the

 3  following formula, which shall be revised on July 1 of each

 4  year:  Two-thirds of the amount deducted shall be based on the

 5  county's proportional share of the number of dealers who are

 6  registered for purposes of chapter 212 on June 30 of the

 7  preceding state fiscal year, and one-third of the amount

 8  deducted shall be based on the county's share of the total

 9  amount of the tax collected during the preceding state fiscal

10  year. The department has the authority to prescribe and

11  publish all forms upon which reports shall be made to it and

12  other forms and records deemed to be necessary for proper

13  administration and collection of the taxes levied by any

14  county and shall adopt promulgate such rules as may be

15  necessary for the enforcement of this section, which rules

16  shall have the full force and effect of law.  The provisions

17  of ss. 206.026, 206.027, 206.028, 206.051, 206.052, 206.054,

18  206.055, 206.06, 206.07, 206.075, 206.08, 206.09, 206.095,

19  206.10, 206.11, 206.12, 206.13, 206.14, 206.15, 206.16,

20  206.17, 206.175, 206.18, 206.199, 206.20, 206.204, 206.205,

21  206.21, 206.215, 206.22, 206.24, 206.27, 206.28, 206.41,

22  206.416, 206.44, 206.45, 206.48, 206.49, 206.56, 206.59,

23  206.626, 206.87, 206.872, 206.873, 206.8735, 206.874,

24  206.8741, 206.94, and 206.945 shall, as far as practicable, be

25  applicable to the levy and collection of taxes imposed

26  pursuant to this section as if fully set out in this section.

27         (7)  For the purposes of this section, the term

28  "transportation expenditures" means expenditures by the local

29  government from local or state shared revenue sources,

30  excluding expenditures of bond proceeds, for the following

31  programs:

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 1         (a)  Public transportation operations and maintenance.

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

 3  and structures used primarily for the storage and maintenance

 4  of such equipment.

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

 6         (d)  Street lighting.

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

 8  and pavement markings.

 9         (f)  Bridge maintenance and operation.

10         (g)  Debt service and current expenditures for

11  transportation capital projects in the foregoing program

12  areas, including construction or reconstruction of roads and

13  sidewalks.

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

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

16  50,000 or fewer less on April 1, 1992, or the governing body

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

18  of the tax levied pursuant to paragraph (1)(a) in any fiscal

19  year to fund infrastructure projects, if such projects are

20  consistent with the local government's approved comprehensive

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

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

23  land planning agency. In addition, no more than an amount

24  equal to the proceeds from 4 cents per gallon of the tax

25  imposed pursuant to paragraph (1)(a) may be used by such

26  county for the express and limited purpose of paying for a

27  court-ordered refund of special assessments. Except as

28  provided in subsection (7), such funds shall not be used for

29  the operational expenses of any infrastructure. Such funds may

30  be used for infrastructure projects under this subsection only

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

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

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

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

 4  proposed use of the funds and has adopted a resolution

 5  certifying that the local government has met all of the

 6  transportation needs identified in its approved comprehensive

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

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

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

10  bonded indebtedness for a period exceeding 10 years, except

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

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

13  special assessments, the proceeds may be pledged for bonded

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

15  subsection, the term "infrastructure" has the same meaning as

16  provided in s. 212.055.

17         Section 16.  Subsection (3) of section 215.211, Florida

18  Statutes, is repealed.

19         Section 17.  Notwithstanding any other law to the

20  contrary, the requirements of sections 206.46(3) and

21  206.606(2), Florida Statutes, do not apply to any funding

22  contained in this act.

23         Section 18.  This act shall take effect July 1, 2005.

24  

25            *****************************************

26                          SENATE SUMMARY

27    Eliminates the deduction of service charges from sales of
      motor fuels and diesel fuel. Provides for the use and
28    distribution of the funds made available thereby.
      Authorizes certain counties to index the tax on motor
29    fuel and diesel fuel.

30  

31  

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