HB 113

1	A bill to be entitled
2	An act relating to enterprise zone incentives to serve the
3	uninsured; amending s. 212.08, F.S.; providing for an
4	exemption by refund from the tax on sales, use, and other
5	transactions of certain medical equipment or supplies
6	purchased and used by certain health care facilities
7	located in enterprise zones; providing a limitation;
8	providing application requirements; providing procedures
9	and limitations for the refund; providing duties of a
10	local governing body or enterprise zone development
11	agency; providing duties of the Department of Revenue;
12	requiring the department to adopt rules; providing for
13	return of the refund under certain circumstances;
14	requiring the department to deduct a portion of refunds
15	from amounts to be transferred into a certain trust fund
16	and deposit such amount into the General Revenue Fund;
17	providing definitions; providing for expiration under
18	certain circumstances; amending s. 290.0056, F.S.;
19	expanding the list of entities from which appointments may
20	be made to an enterprise zone development agency's board
21	of commissioners; providing an additional requirement for
22	the membership of an enterprise zone development agency
23	board of commissioners under certain circumstances;
24	providing a limitation; providing an effective date.
25
26	Be It Enacted by the Legislature of the State of Florida:
27
28	Section 1.  Paragraph (q) is added to subsection (5) of
29	section 212.08, Florida Statutes, to read:
30	212.08  Sales, rental, use, consumption, distribution, and
31	storage tax; specified exemptions.--The sale at retail, the
32	rental, the use, the consumption, the distribution, and the
33	storage to be used or consumed in this state of the following
34	are hereby specifically exempt from the tax imposed by this
35	chapter.
36	(5)  EXEMPTIONS; ACCOUNT OF USE.--
37	(q)  Medical equipment and supplies used in an enterprise
38	zone.--
39	1.  Medical equipment and supplies purchased for use by
40	health care facilities that serve uninsured patients located in
41	an enterprise zone which are subsequently used in an enterprise
42	zone are exempt. This exemption inures to the health care
43	facility only through a refund of previously paid taxes. A
44	refund shall be authorized upon an affirmative showing by the
45	taxpayer to the satisfaction of the department that the
46	requirements of this paragraph have been met.
47	2.  To receive a refund, the health care facility must file
48	under oath with the governing body or enterprise zone
49	development agency having jurisdiction over the enterprise zone
50	in which the health care facility is located, as applicable, an
51	application which includes:
52	a.  The name and address of the health care facility
53	claiming the refund.
54	b.  The identifying number assigned pursuant to s. 290.0065
55	to the enterprise zone in which the health care facility is
56	located.
57	c.  A specific description of the medical equipment for
58	which a refund is sought, including the serial numbers or other
59	permanent identification numbers of the equipment.
60	d.  A specific description of the medical supplies for
61	which a refund is sought, including the serial or lot numbers or
62	other numbers identifying the purchased supplies.
63	e.  The sales invoice or other proof of purchase of the
64	medical equipment or supplies, showing the amount of sales tax
65	paid, the date of purchase, and the name and address of the
66	sales tax dealer from whom the medical equipment or supplies
67	were purchased.
68	f.  An affidavit declaring that at least 10 percent of the
69	cost incurred for care by the health care facility in the
70	previous taxable year was for uncompensated care and that the
71	health care facility did not receive supplemental Medicaid,
72	disproportionate share hospital, or low-income pool funding
73	pursuant to chapter 409.
74	g.  A statement defining the taxpayer's taxable year.
75	3.  Within 10 working days after receipt of an application,
76	the governing body or enterprise zone development agency shall
77	review the application to determine if the application contains
78	all the information required pursuant to subparagraph 2. and
79	meets the criteria set out in this paragraph. The governing body
80	or agency shall certify all applications that contain the
81	information required pursuant to subparagraph 2. and that meet
82	the criteria set out in this paragraph as eligible to receive a
83	refund. The certification shall be in writing and a copy of the
84	certification shall be transmitted to the executive director of
85	the Department of Revenue. The health care facility shall be
86	responsible for forwarding a certified application to the
87	department within the time specified in subparagraph 4.
88	4.  An application for a refund pursuant to this paragraph
89	must be submitted to the department within 6 months after the
90	close of the taxable year during which the eligible medical
91	equipment or supplies were purchased.
92	5.  The provisions of s. 212.095 do not apply to any refund
93	application made pursuant to this paragraph. This exemption
94	shall apply to the first $500,000 of taxable medical equipment
95	or supplies purchased by a health care facility and used in the
96	facility in any taxable year. A refund may not be granted under
97	this paragraph unless the amount to be refunded exceeds $100 in
98	sales tax paid on purchases made within a 60-day time period. A
99	refund may not be granted under this paragraph for medical
100	equipment or supplies eligible for exemption pursuant to
101	subsection (2) or eligible for a refund pursuant to paragraph
102	(h).
103	6.  The department shall adopt rules governing the manner
104	and form of refund applications and may establish guidelines as
105	to the requisites for an affirmative showing of qualification
106	for exemption under this paragraph.
107	7.  If the department determines that the medical equipment
108	or supplies are used outside an enterprise zone within 3 years
109	from the date of purchase, the amount of taxes refunded to the
110	health care facility purchasing such medical equipment or
111	supplies shall immediately be due and payable to the department
112	by the health care facility, together with the appropriate
113	interest and penalty, computed from the date of purchase, in the
114	manner provided by this chapter. Notwithstanding this
115	subparagraph, a health care facility may dispose of disposable
116	supplies according to law.
117	8.  The department shall deduct an amount equal to 10
118	percent of each refund granted under this paragraph from the
119	amount to be transferred into the Local Government Half-cent
120	Sales Tax Clearing Trust Fund pursuant to s. 212.20 for the
121	county area in which the medical equipment or supplies are
122	located and shall deposit that amount into the General Revenue
123	Fund.
124	9.  For purposes of this exemption, the term:
125	a.  "Medical equipment" means durable medical equipment
126	that can be used repeatedly and that serves a medical purpose in
127	the diagnosis, treatment, or care of an individual.
128	b.  "Medical supplies" means items that are consumable,
129	expendable, disposable or nondurable, and that serve a medical
130	purpose in the diagnosis, treatment, or care of an individual.
131	c.  "Health care facility" means a facility licensed
132	pursuant to chapter 395 or a county health department, a
133	children's medical services program, a federally qualified
134	health center, a federally funded migrant health center, a rural
135	clinic, or any other publicly funded community health program
136	and any other programs designated by the Department of Health as
137	a community health center that provide primary care services to
138	the uninsured.
139	10.  This paragraph expires on the date specified in s.
140	290.016 for the expiration of the Florida Enterprise Zone Act.
141	Section 2.  Subsection (2) and paragraph (a) of subsection
142	(9) of section 290.0056, Florida Statutes, are amended to read:
143	290.0056  Enterprise zone development agency.--
144	(2)  When the governing body creates an enterprise zone
145	development agency, that body shall appoint a board of
146	commissioners of the agency, which shall consist of not fewer
147	than 8 or more than 13 commissioners. The governing body may
148	appoint at least one representative from each of the following:
149	the local chamber of commerce; local financial or insurance
150	entities; local businesses and, where possible, businesses
151	operating within the nominated area; health care facilities
152	operating within the nominated area; the residents residing
153	within the nominated area; nonprofit community-based
154	organizations operating within the nominated area; the regional
155	workforce board; the local code enforcement agency; and the
156	local law enforcement agency. One of the commissioners on the
157	board may be employed in the health care field, provided such
158	requirement applies only when a position on the board becomes
159	vacant after July 1, 2008, and appointment of a new commissioner
160	is required to fill the vacancy or an additional member is to be
161	appointed after July 1, 2008. The terms of office of the
162	commissioners shall be for 4 years, except that, in making the
163	initial appointments, the governing body shall appoint two
164	members for terms of 3 years, two members for terms of 2 years,
165	and one member for a term of 1 year; the remaining initial
166	members shall serve for terms of 4 years. A vacancy occurring
167	during a term shall be filled for the unexpired term. The
168	importance of including individuals from the nominated area
169	shall be considered in making appointments. Further, the
170	importance of minority representation on the agency shall be
171	considered in making appointments so that the agency generally
172	reflects the gender and ethnic composition of the community as a
173	whole.
174	(9)  The following powers and responsibilities shall be
175	performed by the governing body creating the enterprise zone
176	development agency acting as the managing agent of the
177	enterprise zone development agency, or, contingent upon approval
178	by such governing body, such powers and responsibilities shall
179	be performed by the enterprise zone development agency:
180	(a)  To review, process, and certify applications for state
181	enterprise zone tax incentives pursuant to ss. 212.08(5)(g),
182	(h), (q), and (15); 212.096; 220.181; and 220.182.
183	Section 3.  This act shall take effect January 1, 2008.

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