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The Committee on Community Affairs (Crist) recommended the

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following amendment:

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     Senate Amendment (with title amendment)

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     On page 1, between lines 10-11

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insert:

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     Section 1.  Paragraph (p) of subsection (5) of section

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212.08, Florida Statutes, is amended to read:

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     212.08  Sales, rental, use, consumption, distribution, and

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storage tax; specified exemptions.--The sale at retail, the

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rental, the use, the consumption, the distribution, and the

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storage to be used or consumed in this state of the following are

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hereby specifically exempt from the tax imposed by this chapter.

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     (5)  EXEMPTIONS; ACCOUNT OF USE.--

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     (p)  Community contribution tax credit for donations.--

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     1.  Authorization.--Persons who are registered with the

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department under s. 212.18 to collect or remit sales or use tax

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and who make donations to eligible sponsors are eligible for tax

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credits against their state sales and use tax liabilities as

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provided in this paragraph:

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     a.  The credit shall be computed as 50 percent of the

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person's approved annual community contribution.

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     b.  The credit shall be granted as a refund against state

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sales and use taxes reported on returns and remitted in the 12

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months preceding the date of application to the department for

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the credit as required in sub-subparagraph 3.c. If the annual

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credit is not fully used through such refund because of

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insufficient tax payments during the applicable 12-month period,

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the unused amount may be included in an application for a refund

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made pursuant to sub-subparagraph 3.c. in subsequent years

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against the total tax payments made for such year. Carryover

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credits may be applied for a 3-year period without regard to any

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time limitation that would otherwise apply under s. 215.26.

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     c.  A person may not receive more than $200,000 in annual

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tax credits for all approved community contributions made in any

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one year.

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     d.  All proposals for the granting of the tax credit require

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the prior approval of the Office of Tourism, Trade, and Economic

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Development.

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     e.  The total amount of tax credits which may be granted for

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all programs approved under this paragraph, s. 220.183, and s.

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624.5105 is $10.5 million annually for projects that provide

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homeownership opportunities for low-income or very-low-income

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households as defined in s. 420.9071(19) and (28) and $3.5

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million annually for all other projects.

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     f.  A person who is eligible to receive the credit provided

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for in this paragraph, s. 220.183, or s. 624.5105 may receive the

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credit only under the one section of the person's choice.

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     2.  Eligibility requirements.--

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     a.  A community contribution by a person must be in the

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following form:

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     (I)  Cash or other liquid assets;

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     (II)  Real property;

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     (III)  Goods or inventory; or

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     (IV)  Other physical resources as identified by the Office

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of Tourism, Trade, and Economic Development.

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     b.  All community contributions must be reserved exclusively

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for use in a project. As used in this sub-subparagraph, the term

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"project" means any activity undertaken by an eligible sponsor

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which is designed to construct, improve, or substantially

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rehabilitate housing that is affordable to low-income or very-

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low-income households as defined in s. 420.9071(19) and (28);

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designed to provide commercial, industrial, or public resources

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and facilities; or designed to improve entrepreneurial and job-

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development opportunities for low-income persons. A project may

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be the investment necessary to increase access to high-speed

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broadband capability in rural communities with enterprise zones,

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including projects that result in improvements to communications

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assets that are owned by a business. A project may include the

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provision of museum or public broadcasting educational programs

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and materials that are directly related to any project approved

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between January 1, 1996, and December 31, 2006 1999, and located

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in an enterprise zone designated pursuant to s. 290.0065. This

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paragraph does not preclude projects that propose to construct or

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rehabilitate housing for low-income or very-low-income households

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on scattered sites. With respect to housing, contributions may be

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used to pay the following eligible low-income and very-low-income

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housing-related activities:

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     (I)  Project development impact and management fees for low-

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income or very-low-income housing projects;

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     (II)  Down payment and closing costs for eligible persons,

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as defined in s. 420.9071(19) and (28);

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     (III)  Administrative costs, including housing counseling

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and marketing fees, not to exceed 10 percent of the community

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contribution, directly related to low-income or very-low-income

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projects; and

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     (IV)  Removal of liens recorded against residential property

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by municipal, county, or special district local governments when

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satisfaction of the lien is a necessary precedent to the transfer

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of the property to an eligible person, as defined in s.

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420.9071(19) and (28), for the purpose of promoting home

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ownership. Contributions for lien removal must be received from a

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nonrelated third party.

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     c.  The project must be undertaken by an "eligible sponsor,"

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which includes:

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     (I)  A community action program;

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     (II)  A nonprofit community-based development organization

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whose mission is the provision of housing for low-income or very-

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low-income households or increasing entrepreneurial and job-

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development opportunities for low-income persons;

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     (III)  A neighborhood housing services corporation;

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     (IV)  A local housing authority created under chapter 421;

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     (V)  A community redevelopment agency created under s.

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163.356;

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     (VI)  The Florida Industrial Development Corporation;

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     (VII)  A historic preservation district agency or

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organization;

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     (VIII)  A regional workforce board;

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     (IX)  A direct-support organization as provided in s.

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1009.983;

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     (X)  An enterprise zone development agency created under s.

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290.0056;

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     (XI)  A community-based organization incorporated under

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chapter 617 which is recognized as educational, charitable, or

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scientific pursuant to s. 501(c)(3) of the Internal Revenue Code

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and whose bylaws and articles of incorporation include affordable

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housing, economic development, or community development as the

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primary mission of the corporation;

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     (XII)  Units of local government;

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     (XIII)  Units of state government; or

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     (XIV)  Any other agency that the Office of Tourism, Trade,

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and Economic Development designates by rule.

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In no event may a contributing person have a financial interest

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in the eligible sponsor.

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     d.  The project must be located in an area designated an

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enterprise zone or a Front Porch Florida Community pursuant to s.

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20.18(6), unless the project increases access to high-speed

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broadband capability for rural communities with enterprise zones

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but is physically located outside the designated rural zone

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boundaries. Any project designed to construct or rehabilitate

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housing for low-income or very-low-income households as defined

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in s. 420.9071(19) and (28) is exempt from the area requirement

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of this sub-subparagraph.

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     e.(I)  If, during the first 10 business days of the state

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fiscal year, eligible tax credit applications for projects that

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provide homeownership opportunities for low-income or very-low-

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income households as defined in s. 420.9071(19) and (28) are

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received for less than the annual tax credits available for those

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projects, the Office of Tourism, Trade, and Economic Development

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shall grant tax credits for those applications and shall grant

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remaining tax credits on a first-come, first-served basis for any

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subsequent eligible applications received before the end of the

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state fiscal year. If, during the first 10 business days of the

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state fiscal year, eligible tax credit applications for projects

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that provide homeownership opportunities for low-income or very-

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low-income households as defined in s. 420.9071(19) and (28) are

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received for more than the annual tax credits available for those

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projects, the office shall grant the tax credits for those

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applications as follows:

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     (A)  If tax credit applications submitted for approved

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projects of an eligible sponsor do not exceed $200,000 in total,

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the credits shall be granted in full if the tax credit

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applications are approved.

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     (B)  If tax credit applications submitted for approved

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projects of an eligible sponsor exceed $200,000 in total, the

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amount of tax credits granted pursuant to sub-sub-sub-

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subparagraph (A) shall be subtracted from the amount of available

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tax credits, and the remaining credits shall be granted to each

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approved tax credit application on a pro rata basis.

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     (II)  If, during the first 10 business days of the state

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fiscal year, eligible tax credit applications for projects other

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than those that provide homeownership opportunities for low-

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income or very-low-income households as defined in s.

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420.9071(19) and (28) are received for less than the annual tax

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credits available for those projects, the office shall grant tax

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credits for those applications and shall grant remaining tax

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credits on a first-come, first-served basis for any subsequent

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eligible applications received before the end of the state fiscal

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year. If, during the first 10 business days of the state fiscal

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year, eligible tax credit applications for projects other than

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those that provide homeownership opportunities for low-income or

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very-low-income households as defined in s. 420.9071(19) and (28)

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are received for more than the annual tax credits available for

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those projects, the office shall grant the tax credits for those

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applications on a pro rata basis.

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     3.  Application requirements.--

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     a.  Any eligible sponsor seeking to participate in this

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program must submit a proposal to the Office of Tourism, Trade,

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and Economic Development which sets forth the name of the

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sponsor, a description of the project, and the area in which the

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project is located, together with such supporting information as

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is prescribed by rule. The proposal must also contain a

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resolution from the local governmental unit in which the project

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is located certifying that the project is consistent with local

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plans and regulations.

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     b.  Any person seeking to participate in this program must

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submit an application for tax credit to the office which sets

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forth the name of the sponsor, a description of the project, and

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the type, value, and purpose of the contribution. The sponsor

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shall verify the terms of the application and indicate its

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receipt of the contribution, which verification must be in

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writing and accompany the application for tax credit. The person

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must submit a separate tax credit application to the office for

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each individual contribution that it makes to each individual

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project.

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     c.  Any person who has received notification from the office

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that a tax credit has been approved must apply to the department

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to receive the refund. Application must be made on the form

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prescribed for claiming refunds of sales and use taxes and be

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accompanied by a copy of the notification. A person may submit

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only one application for refund to the department within any 12-

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month period.

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     4.  Administration.--

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     a.  The Office of Tourism, Trade, and Economic Development

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may adopt rules pursuant to ss. 120.536(1) and 120.54 necessary

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to administer this paragraph, including rules for the approval or

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disapproval of proposals by a person.

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     b.  The decision of the office must be in writing, and, if

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approved, the notification shall state the maximum credit

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allowable to the person. Upon approval, the office shall transmit

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a copy of the decision to the Department of Revenue.

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     c.  The office shall periodically monitor all projects in a

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manner consistent with available resources to ensure that

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resources are used in accordance with this paragraph; however,

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each project must be reviewed at least once every 2 years.

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     d.  The office shall, in consultation with the Department of

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Community Affairs and the statewide and regional housing and

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financial intermediaries, market the availability of the

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community contribution tax credit program to community-based

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organizations.

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     5.  Expiration.--This paragraph expires June 30, 2015;

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however, any accrued credit carryover that is unused on that date

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may be used until the expiration of the 3-year carryover period

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for such credit.

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================ T I T L E  A M E N D M E N T ================

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And the title is amended as follows:

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     Delete line(s) 2-3

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and insert:

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An act relating to the community contribution tax credit;

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amending s. 212.08, F.S.; revising a definition of the

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term "project" to expand the types of projects eligible

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for the credit to include certain public broadcasting

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educational programs and materials; amending s. 220.03,

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F.S.; revising a

3/31/2008  6:07:00 PM     CA.CA.06199