HB 183

1
A bill to be entitled
2An act relating to motorsports entertainment complexes;
3amending s. 212.20, F.S.; providing for distribution of a
4portion of revenues from the tax on sales, use, and other
5transactions to a certified motorsports entertainment
6complex; providing a limit on such distributions; creating
7s. 288.1170, F.S.; providing definitions; providing for
8certification of motorsports entertainment complexes by
9the Office of Tourism, Trade, and Economic Development of
10the Executive Office of the Governor; providing
11requirements for certification; requiring specified
12notice; providing for annual recertification; providing
13for use of the funds distributed to a motorsports
14entertainment complex; authorizing audits by the
15Department of Revenue; providing an effective date.
16
17     WHEREAS, the Legislature finds that Florida has long been
18the preeminent site in the nation for motorsports racing, and
19     WHEREAS, motorsports racing has been a major tourist
20attraction in Florida for nearly 100 years, and
21     WHEREAS, motorsports entertainment is the fastest growing
22sports industry in the United States, and
23     WHEREAS, as a result of the increased popularity of
24motorsports racing, many new motorsports facilities are being
25constructed in other states, and
26     WHEREAS, to continue to attract spectators to sanctioned
27championship motorsports events, the owner or operator of a
28motorsports entertainment complex must build additional
29spectator seating and renovate existing facilities to improve
30the amenities available to spectators, and
31     WHEREAS, attracting, retaining, and providing favorable
32conditions for conducting sanctioned championship motorsports
33events and the continued development of the motorsports
34entertainment industry in Florida provides skilled-employment
35opportunities for citizens of this state, and
36     WHEREAS, continued development and improvement of Florida's
37motorsports entertainment industry is vital to Florida's tourism
38industry and to state revenues, and
39     WHEREAS, the motorsports entertainment industry is a major
40contributor to Florida's economic development because of the
41technology and service businesses that provide goods and
42services to the industry, and
43     WHEREAS, the provisions of this act are necessary to
44protect and strengthen Florida's motorsports entertainment
45industry, and the purposes to be achieved by this act are
46predominately public purposes vital to the protection and
47improvement of Florida's economy, NOW, THEREFORE,
48
49Be It Enacted by the Legislature of the State of Florida:
50
51     Section 1.  Paragraph (d) of subsection (6) of section
52212.20, Florida Statutes, is amended to read:
53     212.20  Funds collected, disposition; additional powers of
54department; operational expense; refund of taxes adjudicated
55unconstitutionally collected.--
56     (6)  Distribution of all proceeds under this chapter and s.
57202.18(1)(b) and (2)(b) shall be as follows:
58     (d)  The proceeds of all other taxes and fees imposed
59pursuant to this chapter or remitted pursuant to s. 202.18(1)(b)
60and (2)(b) shall be distributed as follows:
61     1.  In any fiscal year, the greater of $500 million, minus
62an amount equal to 4.6 percent of the proceeds of the taxes
63collected pursuant to chapter 201, or 5 percent of all other
64taxes and fees imposed pursuant to this chapter or remitted
65pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in
66monthly installments into the General Revenue Fund.
67     2.  Two-tenths of one percent shall be transferred to the
68Ecosystem Management and Restoration Trust Fund to be used for
69water quality improvement and water restoration projects.
70     3.  After the distribution under subparagraphs 1. and 2.,
718.814 percent of the amount remitted by a sales tax dealer
72located within a participating county pursuant to s. 218.61
73shall be transferred into the Local Government Half-cent Sales
74Tax Clearing Trust Fund. Beginning July 1, 2003, the amount to
75be transferred pursuant to this subparagraph to the Local
76Government Half-cent Sales Tax Clearing Trust Fund shall be
77reduced by 0.1 percent, and the department shall distribute this
78amount to the Public Employees Relations Commission Trust Fund
79less $5,000 each month, which shall be added to the amount
80calculated in subparagraph 4. and distributed accordingly.
81     4.  After the distribution under subparagraphs 1., 2., and
823., 0.095 percent shall be transferred to the Local Government
83Half-cent Sales Tax Clearing Trust Fund and distributed pursuant
84to s. 218.65.
85     5.  After the distributions under subparagraphs 1., 2., 3.,
86and 4., 2.0440 percent of the available proceeds pursuant to
87this paragraph shall be transferred monthly to the Revenue
88Sharing Trust Fund for Counties pursuant to s. 218.215.
89     6.  After the distributions under subparagraphs 1., 2., 3.,
90and 4., 1.3409 percent of the available proceeds pursuant to
91this paragraph shall be transferred monthly to the Revenue
92Sharing Trust Fund for Municipalities pursuant to s. 218.215. If
93the total revenue to be distributed pursuant to this
94subparagraph is at least as great as the amount due from the
95Revenue Sharing Trust Fund for Municipalities and the former
96Municipal Financial Assistance Trust Fund in state fiscal year
971999-2000, no municipality shall receive less than the amount
98due from the Revenue Sharing Trust Fund for Municipalities and
99the former Municipal Financial Assistance Trust Fund in state
100fiscal year 1999-2000. If the total proceeds to be distributed
101are less than the amount received in combination from the
102Revenue Sharing Trust Fund for Municipalities and the former
103Municipal Financial Assistance Trust Fund in state fiscal year
1041999-2000, each municipality shall receive an amount
105proportionate to the amount it was due in state fiscal year
1061999-2000.
107     7.  Of the remaining proceeds:
108     a.  In each fiscal year, the sum of $29,915,500 shall be
109divided into as many equal parts as there are counties in the
110state, and one part shall be distributed to each county. The
111distribution among the several counties shall begin each fiscal
112year on or before January 5th and shall continue monthly for a
113total of 4 months. If a local or special law required that any
114moneys accruing to a county in fiscal year 1999-2000 under the
115then-existing provisions of s. 550.135 be paid directly to the
116district school board, special district, or a municipal
117government, such payment shall continue until such time that the
118local or special law is amended or repealed. The state covenants
119with holders of bonds or other instruments of indebtedness
120issued by local governments, special districts, or district
121school boards prior to July 1, 2000, that it is not the intent
122of this subparagraph to adversely affect the rights of those
123holders or relieve local governments, special districts, or
124district school boards of the duty to meet their obligations as
125a result of previous pledges or assignments or trusts entered
126into which obligated funds received from the distribution to
127county governments under then-existing s. 550.135. This
128distribution specifically is in lieu of funds distributed under
129s. 550.135 prior to July 1, 2000.
130     b.  The department shall distribute $166,667 monthly
131pursuant to s. 288.1162 to each applicant that has been
132certified as a "facility for a new professional sports
133franchise" or a "facility for a retained professional sports
134franchise" pursuant to s. 288.1162. Up to $41,667 shall be
135distributed monthly by the department to each applicant that has
136been certified as a "facility for a retained spring training
137franchise" pursuant to s. 288.1162; however, not more than
138$208,335 may be distributed monthly in the aggregate to all
139certified facilities for a retained spring training franchise.
140Distributions shall begin 60 days following such certification
141and shall continue for not more than 30 years. Nothing contained
142in this paragraph shall be construed to allow an applicant
143certified pursuant to s. 288.1162 to receive more in
144distributions than actually expended by the applicant for the
145public purposes provided for in s. 288.1162(6). However, a
146certified applicant is entitled to receive distributions up to
147the maximum amount allowable and undistributed under this
148section for additional renovations and improvements to the
149facility for the franchise without additional certification.
150     c.  Beginning 30 days after notice by the Office of
151Tourism, Trade, and Economic Development to the Department of
152Revenue that an applicant has been certified as the professional
153golf hall of fame pursuant to s. 288.1168 and is open to the
154public, $166,667 shall be distributed monthly, for up to 300
155months, to the applicant.
156     d.  Beginning 30 days after notice by the Office of
157Tourism, Trade, and Economic Development to the Department of
158Revenue that the applicant has been certified as the
159International Game Fish Association World Center facility
160pursuant to s. 288.1169, and the facility is open to the public,
161$83,333 shall be distributed monthly, for up to 168 months, to
162the applicant. This distribution is subject to reduction
163pursuant to s. 288.1169. A lump sum payment of $999,996 shall be
164made, after certification and before July 1, 2000.
165     e.  Beginning 30 days after notice by the Office of
166Tourism, Trade, and Economic Development to the Department of
167Revenue that an applicant has been certified as a motorsports
168entertainment complex pursuant to s. 288.1170 and is open to the
169public, an amount not to exceed $166,667 shall be distributed
170monthly to the applicant. However, each fiscal year's total
171distribution made pursuant to this sub-subparagraph shall not
172exceed the difference between the state sales taxes collected
173and remitted pursuant to this chapter by the facility in the
174previous calendar year and state sales taxes collected and
175remitted pursuant to this chapter by the facility in calendar
176year 2000. Distributions shall continue for 30 years.
177     8.  All other proceeds shall remain with the General
178Revenue Fund.
179     Section 2.  Section 288.1170, Florida Statutes, is created
180to read:
181     288.1170  Motorsports entertainment complex; definitions;
182certification; duties.--
183     (1)  As used in this section:
184     (a)  "Applicant" means the owner of a motorsports
185entertainment complex.
186     (b)  "Motorsports entertainment complex" means a closed-
187course racing facility, with ancillary grounds and facilities,
188which:
189     1.  Has not fewer than 65,000 permanent seats for race
190patrons.
191     2.  Has not fewer than 7 scheduled days of motorsports
192events each calendar year.
193     3.  Has paid admissions of at least 125,000 annually.
194     4.  Serves food at the facility during sanctioned
195motorsports races.
196     5.  Engages in tourism promotion.
197     (c)  "Motorsports event" means a motorsports race and its
198ancillary activities which have been sanctioned by a sanctioning
199body.
200     (d)  "Office" means the Office of Tourism, Trade, and
201Economic Development of the Executive Office of the Governor.
202     (e)  "Owner" means a unit of local government that owns a
203motorsports entertainment complex or owns the land on which the
204motorsports entertainment complex is located.
205     (f)  "Sanctioning body" means the American Motorcyclist
206Association (AMA), Championship Auto Racing Teams (CART), Grand
207American Road Racing Association (Grand-Am), Indy Racing League
208(IRL), National Association for Stock Car Auto Racing (NASCAR),
209National Hot Rod Association (NHRA), Professional Sports Car
210Racing (PSCR), Sports Car Club of America (SCCA), United States
211Auto Club (USAC), or any successor organization, or any other
212nationally recognized governing body of motorsports that
213establishes an annual schedule of motorsports events and grants
214rights to conduct such events, has established and administers
215rules and regulations governing all participants involved in
216such events and all persons conducting such events, and requires
217certain liability assurances, including insurance.
218     (g)  "Unit of local government" has the same meaning as
219provided in s. 218.369.
220     (2)  The office shall serve as the state agency for
221screening applicants for state funding pursuant to s. 212.20 and
222for certifying an applicant as a motorsports entertainment
223complex. The office shall develop and adopt rules for the
224receipt and processing of applications for funding pursuant to
225s. 212.20. The office shall make a determination regarding any
226application filed by an applicant not later than 120 days after
227the application is filed.
228     (3)  Prior to certifying an applicant as a motorsports
229entertainment complex, the office must determine that:
230     (a)  A unit of local government holds title to the land on
231which the motorsports entertainment complex is located or holds
232title to the motorsports entertainment complex.
233     (b)  Seven scheduled days of motorsports events were held
234at the motorsports entertainment complex in the most recently
235completed calendar year or 7 scheduled days of motorsports
236events are scheduled to be held at the motorsports entertainment
237complex in the calendar year that begins after the submission of
238the application. The applicant shall submit certifications from
239the appropriate officials of the relevant sanctioning bodies
240that such sanctioned motorsports events were or will be held at
241the motorsports entertainment complex.
242     (c)  The applicant can provide a certification by a
243nationally recognized, independent certified public accounting
244firm that the motorsports entertainment complex will attract, or
245in the most recently completed calendar year has attracted, paid
246attendance of at least 125,000 annually.
247     (d)  The applicant can provide a certification by a
248nationally recognized, independent certified public accounting
249firm that the amount of the revenues generated by the taxes
250imposed under chapter 212 with respect to the use and operation
251of the motorsports entertainment complex will equal or exceed $1
252million annually.
253     (e)  The municipality in which the motorsports
254entertainment complex is located, or the county if the
255motorsports entertainment complex is located in an
256unincorporated area, has certified by resolution after a public
257hearing that the application serves a public purpose.
258     (f)  The motorsports entertainment complex is located in a
259county defined in s. 125.011(1).
260     (4)  Upon determining that an applicant meets the
261requirements of subsection (3), the office shall certify the
262applicant as a motorsports entertainment complex and shall
263notify the applicant and the executive director of the
264Department of Revenue of such certification by means of an
265official letter granting certification. If the applicant fails
266to meet the certification requirements of subsection (3), the
267office shall notify the applicant not later than 10 days
268following such determination.
269     (5)  The office must recertify a previously certified
270motorsports entertainment complex each year that the complex
271continues to generate sufficient sales tax revenues annually as
272required pursuant to paragraph (3)(d).
273     (6)  No motorsports entertainment complex that has been
274previously certified under this section and has received funding
275under such certification shall be eligible for any additional
276certification.
277     (7)  An applicant certified as a motorsports entertainment
278complex may use funds provided pursuant to s. 212.20 only for
279the following public purposes:
280     (a)  Paying for the construction, reconstruction,
281expansion, or renovation of a motorsports entertainment complex.
282     (b)  Paying debt service reserve funds, arbitrage rebate
283obligations, or other amounts payable with respect to bonds
284issued for the construction, reconstruction, expansion, or
285renovation of the motorsports entertainment complex or for the
286reimbursement of such costs or the refinancing of bonds issued
287for such purposes.
288     (c)  Paying for construction, reconstruction, expansion, or
289renovation of transportation or other infrastructure
290improvements related to, necessary for, or appurtenant to the
291motorsports entertainment complex, including, without
292limitation, paying debt service reserve funds, arbitrage rebate
293obligations, or other amounts payable with respect to bonds
294issued for the construction, reconstruction, expansion, or
295renovation of such transportation or other infrastructure
296improvements, and for the reimbursement of such costs or the
297refinancing of bonds issued for such purposes.
298     (d)  Paying for programs of advertising and promotion of or
299related to the motorsports entertainment complex or the
300municipality in which the motorsports entertainment complex is
301located, or the county if the motorsports entertainment complex
302is located in an unincorporated area, provided such programs of
303advertising and promotion are designed to increase paid
304attendance at the motorsports entertainment complex or increase
305tourism in or promote the economic development of the community
306in which the motorsports entertainment complex is located.
307     (8)  The Department of Revenue may audit, as provided in s.
308213.34, to verify that the distributions pursuant to this
309section have been expended as required in this section. All
310other provisions of chapter 213 shall apply to such audits. If
311the Department of Revenue determines that the distributions
312pursuant to this section have not been expended as required by
313this section, the department may pursue recovery of such funds
314pursuant to the laws and rules governing the assessment of
315taxes.
316     Section 3.  This act shall take effect July 1, 2006.


CODING: Words stricken are deletions; words underlined are additions.