Florida Senate - 2008 CS for SB 482

By the Committee on Community Affairs; and Senators Garcia and Bullard

578-06015-08 2008482c1

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A bill to be entitled

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An act relating to affordable housing; amending s.

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420.503, F.S.; defining the term "moderate rehabilitation"

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for purposes of the Florida Housing Finance Corporation

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Act; amending s. 420.5087, F.S.; revising purposes for

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which State Apartment Incentive Loans may be used;

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amending s. 420.9071, F.S.; defining the terms "assisted

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housing," "assisted housing development," and

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"preservation"; revising the definition of "eligible

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housing," "local housing incentive strategies," and

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"recaptured funds" for purposes of the State Housing

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Initiatives Partnership Act; amending s. 420.9072, F.S.;

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revising provisions related to the administration of

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certain funds in the Local Government Housing Trust Fund;

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amending s. 420.9073, F.S.; revising requirements for

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distribution of funds in the Local Government Housing

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Trust Fund; specifying purposes for which such withheld

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funds may be used; clarifying purposes for which certain

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local governments may expend funds from the Local

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Government Housing Trust Fund; amending s. 420.9075, F.S.;

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requiring that local housing assistance plans address the

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special housing needs of persons with disabilities;

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authorizing the Florida Housing Finance Corporation to

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define "high-cost counties" by rule; authorizing high-cost

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counties or certain municipalities to assist persons

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meeting specific income requirements; revising

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requirements to be included in the local housing

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assistance plan; requiring counties and certain

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municipalities to include certain strategies in the local

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housing assistance plan; revising criteria that applies to

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awards made for the purpose of providing affordable

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housing; authorizing and limiting the percentage of funds

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from the local housing distribution that may be used for

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certain manufactured housing; extending the expiration

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date of an exemption from certain income requirements in

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specified areas; authorizing the use of certain funds for

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preconstruction activities; providing that certain costs

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are a program expense; authorizing counties and certain

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municipalities to award grant funds under certain

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conditions; providing for the repayment of funds by

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counties or certain municipalities; amending provisions

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related to the administration of certain funds in the

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Local Government Housing Trust Fund; amending s. 420.9076,

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F.S.; revising appointments to a local affordable housing

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advisory committee; deleting cross-references to conform

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to changes made by the act; deleting provisions related to

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the administration of certain funds by the Local

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Government Housing Trust Fund; amending s. 421.08, F.S.;

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limiting the authority of housing authorities in certain

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circumstances; amending s. 159.807, F.S.; deleting an

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exemption for the Florida Housing Finance Corporation from

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the applicability of certain uses of the state allocation

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pool; repealing s. 420.9078, F.S., relating to state

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administration of funds remaining in the Local Government

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Housing Trust Fund; amending ss. 212.08, 220.03, and

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220.183, F.S.; conforming cross-references to changes made

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by the act; amending s. 624.5105, F.S.; conforming cross-

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references to changes made by the act; providing an

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effective date.

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

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     Section 1.  Present subsections (25) through (41) of section

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420.503, Florida Statutes, are redesignated as subsections (26)

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through (42), respectively, and a new subsection (25) is added to

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that section, to read:

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     420.503  Definitions.--As used in this part, the term:

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     (25) "Moderate rehabilitation" means repair or restoration

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of a dwelling unit when the value of such repair or restoration

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is 40 percent or less of the value of the dwelling but not less

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than $10,000.

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     Section 2.  Paragraph (l) of subsection (6) of section

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420.5087, Florida Statutes, is amended to read:

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     420.5087  State Apartment Incentive Loan Program.--There is

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hereby created the State Apartment Incentive Loan Program for the

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purpose of providing first, second, or other subordinated

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mortgage loans or loan guarantees to sponsors, including for-

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profit, nonprofit, and public entities, to provide housing

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affordable to very-low-income persons.

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     (6)  On all state apartment incentive loans, except loans

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made to housing communities for the elderly to provide for

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lifesafety, building preservation, health, sanitation, or

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security-related repairs or improvements, the following

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provisions shall apply:

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     (l)  The proceeds of all loans shall be used for new

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construction, moderate rehabilitation, or substantial

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rehabilitation which creates or preserves affordable, safe, and

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sanitary housing units.

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     Section 3.  Section 420.9071, Florida Statutes, is amended

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to read:

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     420.9071  Definitions.--As used in ss. 420.907-420.9079, the

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term:

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     (1)  "Adjusted for family size" means adjusted in a manner

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that results in an income eligibility level that is lower for

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households having fewer than four people, or higher for

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households having more than four people, than the base income

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eligibility determined as provided in subsection (20) (19),

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subsection (21) (20), or subsection (30) (28), based upon a

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formula established by the United States Department of Housing

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and Urban Development.

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     (2)  "Affordable" means that monthly rents or monthly

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mortgage payments including taxes and insurance do not exceed 30

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percent of that amount which represents the percentage of the

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median annual gross income for the households as indicated in

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subsection (20) (19), subsection (21) (20), or subsection (30)

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(28). However, it is not the intent to limit an individual

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household's ability to devote more than 30 percent of its income

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for housing, and housing for which a household devotes more than

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30 percent of its income shall be deemed affordable if the first

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institutional mortgage lender is satisfied that the household can

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afford mortgage payments in excess of the 30 percent benchmark.

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     (3)  "Affordable housing advisory committee" means the

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committee appointed by the governing body of a county or eligible

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municipality for the purpose of recommending specific initiatives

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and incentives to encourage or facilitate affordable housing as

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provided in s. 420.9076.

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     (4)  "Annual gross income" means annual income as defined

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under the Section 8 housing assistance payments programs in 24

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C.F.R. part 5; annual income as reported under the census long

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form for the recent available decennial census; or adjusted gross

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income as defined for purposes of reporting under Internal

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Revenue Service Form 1040 for individual federal annual income

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tax purposes; or other method of verifying income as provided by

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rule of the corporation. Counties and eligible municipalities

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shall calculate income by annualizing verified sources of income

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for the household as the amount of income to be received in a

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household during the 12 months following the effective date of

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the determination.

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     (5) "Assisted housing" or "assisted housing development"

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means a rental housing development, including rental housing in a

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mixed-use development, which has received or currently receives

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funding from any federal or state housing program.

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     (6)(5) "Award" means a loan, grant, or subsidy funded

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wholly or partially by the local housing assistance trust fund.

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     (7)(6) "Community-based organization" means a nonprofit

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organization that has among its purposes the provision of

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affordable housing to persons who have special needs or have very

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low income, low income, or moderate income within a designated

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area, which may include a municipality, a county, or more than

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one municipality or county, and maintains, through a minimum of

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one-third representation on the organization's governing board,

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accountability to housing program beneficiaries and residents of

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the designated area. A community housing development organization

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established pursuant to 24 C.F.R. part 92.2 and a community

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development corporation created pursuant to chapter 290 are

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examples of community-based organizations.

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     (8)(7) "Corporation" means the Florida Housing Finance

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Corporation.

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     (9)(8) "Eligible housing" means any real and personal

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property located within the county or the eligible municipality

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which is designed and intended for the primary purpose of

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providing decent, safe, and sanitary residential units that are

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designed to meet the standards of the Florida Building Code or

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previous building codes adopted under chapter 553, or

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manufactured housing constructed after June 1994 and installed in

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accordance with the installation standards for mobile or

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manufactured homes contained in rules of the Department of

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Highway Safety and Motor Vehicles, for home ownership or rental

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for eligible persons as designated by each county or eligible

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municipality participating in the State Housing Initiatives

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Partnership Program.

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     (10)(9) "Eligible municipality" means a municipality that

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is eligible for federal community development block grant

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entitlement moneys as an entitlement community identified in 24

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C.F.R. s. 570, subpart D, Entitlement Grants, or a nonentitlement

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municipality that is receiving local housing distribution funds

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under an interlocal agreement that provides for possession and

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administrative control of funds to be transferred to the

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nonentitlement municipality. An eligible municipality that defers

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its participation in community development block grants does not

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affect its eligibility for participation in the State Housing

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Initiatives Partnership Program.

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     (11)(10) "Eligible person" or "eligible household" means

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one or more natural persons or a family determined by the county

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or eligible municipality to be of very low income, low income, or

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moderate income according to the income limits adjusted to family

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size published annually by the United States Department of

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Housing and Urban Development based upon the annual gross income

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of the household.

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     (12)(11) "Eligible sponsor" means a person or a private or

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public for-profit or not-for-profit entity that applies for an

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award under the local housing assistance plan for the purpose of

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providing eligible housing for eligible persons.

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     (13)(12) "Grant" means an award from the local housing

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assistance trust fund to an eligible sponsor or eligible person

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to partially assist in the construction, rehabilitation, or

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financing of eligible housing or to provide the cost of tenant or

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ownership qualifications without requirement for repayment as

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long as the condition of award is maintained.

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     (14)(13) "Loan" means an award from the local housing

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assistance trust fund to an eligible sponsor or eligible person

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to partially finance the acquisition, construction, or

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rehabilitation of eligible housing with requirement for repayment

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or provision for forgiveness of repayment if the condition of the

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award is maintained.

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     (15)(14) "Local housing assistance plan" means a concise

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description of the local housing assistance strategies and local

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housing incentive strategies adopted by local government

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resolution with an explanation of the way in which the program

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meets the requirements of ss. 420.907-420.9079 and corporation

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rule.

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     (16)(15) "Local housing assistance strategies" means the

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housing construction, rehabilitation, repair, or finance program

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implemented by a participating county or eligible municipality

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with the local housing distribution or other funds deposited into

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the local housing assistance trust fund.

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     (17)(16) "Local housing incentive strategies" means local

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regulatory reform or incentive programs to encourage or

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facilitate affordable housing production, which include at a

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minimum, assurance that permits as defined in s. 163.3164(7) and

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(8) for affordable housing projects are expedited to a greater

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degree than other projects; an ongoing process for review of

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local policies, ordinances, regulations, and plan provisions that

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increase the cost of housing prior to their adoption; and a

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schedule for implementing the incentive strategies. Local housing

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incentive strategies may also include other regulatory reforms,

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such as those enumerated in s. 420.9076 or those recommended by

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the affordable housing advisory committee in its triennial

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evaluation of the implementation of affordable housing

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incentives, and adopted by the local governing body.

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     (18)(17) "Local housing distributions" means the proceeds

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of the taxes collected under chapter 201 deposited into the Local

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Government Housing Trust Fund and distributed to counties and

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eligible municipalities participating in the State Housing

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Initiatives Partnership Program pursuant to s. 420.9073.

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     (19)(18) "Local housing partnership" means the

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implementation of the local housing assistance plan in a manner

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that involves the applicable county or eligible municipality,

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lending institutions, housing builders and developers, real

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estate professionals, advocates for low-income persons,

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community-based housing and service organizations, and providers

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of professional services relating to affordable housing. The term

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includes initiatives to provide support services for housing

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program beneficiaries such as training to prepare persons for the

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responsibility of homeownership, counseling of tenants, and the

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establishing of support services such as day care, health care,

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and transportation.

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     (20)(19) "Low-income person" or "low-income household"

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means one or more natural persons or a family that has a total

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annual gross household income that does not exceed 80 percent of

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the median annual income adjusted for family size for households

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within the metropolitan statistical area, the county, or the

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nonmetropolitan median for the state, whichever amount is

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greatest. With respect to rental units, the low-income

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household's annual income at the time of initial occupancy may

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not exceed 80 percent of the area's median income adjusted for

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family size. While occupying the rental unit, a low-income

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household's annual income may increase to an amount not to exceed

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140 percent of 80 percent of the area's median income adjusted

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for family size.

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     (21)(20) "Moderate-income person" or "moderate-income

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household" means one or more natural persons or a family that has

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a total annual gross household income that does not exceed 120

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percent of the median annual income adjusted for family size for

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households within the metropolitan statistical area, the county,

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or the nonmetropolitan median for the state, whichever is

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greatest. With respect to rental units, the moderate-income

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household's annual income at the time of initial occupancy may

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not exceed 120 percent of the area's median income adjusted for

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family size. While occupying the rental unit, a moderate-income

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household's annual income may increase to an amount not to exceed

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140 percent of 120 percent of the area's median income adjusted

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for family size.

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     (22)(21) "Personal property" means major appliances,

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including a freestanding refrigerator or stove, to be identified

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on the encumbering documents.

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     (23)(22) "Plan amendment" means the addition or deletion of

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a local housing assistance strategy or local housing incentive

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strategy. Plan amendments must at all times maintain consistency

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with program requirements and must be submitted to the

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corporation for review pursuant to s. 420.9072(3). Technical or

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clarifying revisions may not be considered plan amendments but

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must be transmitted to the corporation for purposes of

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notification.

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     (24) "Preservation" means efforts taken to keep rents in

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existing assisted housing or existing assisted housing

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developments affordable for extremely low, very-low, low, and

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moderate-income households while ensuring that such property

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stays in good physical and financial condition for an extended

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period.

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     (25)(23) "Population" means the latest official state

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estimate of population certified pursuant to s. 186.901 prior to

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the beginning of the state fiscal year.

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     (26)(24) "Program income" means the proceeds derived from

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interest earned on or investment of the local housing

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distribution and other funds deposited into the local housing

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assistance trust fund, proceeds from loan repayments, recycled

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funds, and all other income derived from use of funds deposited

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in the local housing assistance trust fund. It does not include

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recaptured funds as defined in subsection (27) (25).

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     (27)(25) "Recaptured funds" means funds that are recouped

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by a county or eligible municipality in accordance with the

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recapture provisions of its local housing assistance plan

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pursuant to s. 420.9075(5)(h) s. 420.9075(5)(g) from eligible

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persons or eligible sponsors where the funds were not used for

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assistance to an eligible household for an eligible activity, or

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where there is a who default on the terms of a grant award or

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loan award.

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     (28)(26) "Rent subsidies" means ongoing monthly rental

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assistance. The term does not include initial assistance to

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tenants, such as grants or loans for security and utility

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deposits.

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     (29)(27) "Sales price" or "value" means, in the case of

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acquisition of an existing or newly constructed unit, the amount

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on the executed sales contract. For eligible persons who are

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building a unit on land that they own, the sales price is

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determined by an appraisal performed by a state-certified

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appraiser. The appraisal must include the value of the land and

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the improvements using the after-construction value of the

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property and must be dated within 12 months of the date

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construction is to commence. The sales price of any unit must

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include the value of the land in order to qualify as eligible

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housing as defined in subsection (9) (8). In the case of

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rehabilitation or emergency repair of an existing unit that does

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not create additional living space, sales price or value means

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the value of the real property, as determined by an appraisal

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performed by a state-certified appraiser and dated within 12

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months of the date construction is to commence or the assessed

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value of the real property as determined by the county property

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appraiser. In the case of rehabilitation of an existing unit that

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includes the addition of new living space, sales price or value

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means the value of the real property, as determined by an

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appraisal performed by a state-certified appraiser and dated

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within 12 months of the date construction is to commence or the

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assessed value of the real property as determined by the county

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property appraiser, plus the cost of the improvements in either

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case.

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     (30)(28) "Very-low-income person" or "very-low-income

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household" means one or more natural persons or a family that has

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a total annual gross household income that does not exceed 50

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percent of the median annual income adjusted for family size for

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households within the metropolitan statistical area, the county,

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or the nonmetropolitan median for the state, whichever is

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greatest. With respect to rental units, the very-low-income

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household's annual income at the time of initial occupancy may

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not exceed 50 percent of the area's median income adjusted for

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family size. While occupying the rental unit, a very-low-income

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household's annual income may increase to an amount not to exceed

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140 percent of 50 percent of the area's median income adjusted

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for family size.

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     Section 4.  Subsection (6) of section 420.9072, Florida

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Statutes, is amended to read:

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     420.9072  State Housing Initiatives Partnership

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Program.--The State Housing Initiatives Partnership Program is

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created for the purpose of providing funds to counties and

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eligible municipalities as an incentive for the creation of local

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housing partnerships, to expand production of and preserve

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affordable housing, to further the housing element of the local

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government comprehensive plan specific to affordable housing, and

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to increase housing-related employment.

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     (6)  The moneys that otherwise would be distributed pursuant

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to s. 420.9073 to a local government that does not meet the

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program's requirements for receipts of such distributions shall

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remain in the Local Government Housing Trust Fund to be

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administered by the corporation pursuant to s. 420.9078.

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     Section 5.  Subsections (1), (2), and (3) of section

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420.9073, Florida Statutes, are amended, and subsections (5),

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(6), and (7) are added to that section, to read:

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     420.9073  Local housing distributions.--

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     (1) Subject to the availability of funds, distributions

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calculated in this subsection section shall be disbursed on a

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quarterly or more frequent monthly basis by the corporation

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beginning the first day of the month after program approval

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pursuant to s. 420.9072. Each county's share of the funds to be

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distributed from the portion of the funds in the Local Government

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Housing Trust Fund received pursuant to s. 201.15(9) shall be

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calculated by the corporation for each fiscal year as follows:

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     (a)  Each county other than a county that has implemented

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the provisions of chapter 83-220, Laws of Florida, as amended by

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chapters 84-270, 86-152, and 89-252, Laws of Florida, shall

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receive the guaranteed amount for each fiscal year.

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     (b)  Each county other than a county that has implemented

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the provisions of chapter 83-220, Laws of Florida, as amended by

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chapters 84-270, 86-152, and 89-252, Laws of Florida, may receive

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an additional share calculated as follows:

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     1.  Multiply each county's percentage of the total state

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population excluding the population of any county that has

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implemented the provisions of chapter 83-220, Laws of Florida, as

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amended by chapters 84-270, 86-152, and 89-252, Laws of Florida,

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by the total funds to be distributed.

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     2.  If the result in subparagraph 1. is less than the

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guaranteed amount as determined in subsection (3), that county's

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additional share shall be zero.

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     3.  For each county in which the result in subparagraph 1.

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is greater than the guaranteed amount as determined in subsection

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(3), the amount calculated in subparagraph 1. shall be reduced by

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the guaranteed amount. The result for each such county shall be

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expressed as a percentage of the amounts so determined for all

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counties. Each such county shall receive an additional share

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equal to such percentage multiplied by the total funds received

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by the Local Government Housing Trust Fund pursuant to s.

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201.15(9) reduced by the guaranteed amount paid to all counties.

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     (2) Subject to the availability of funds Effective July 1,

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1995, distributions calculated in this subsection section shall

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be disbursed on a quarterly or more frequent monthly basis by the

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corporation beginning the first day of the month after program

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approval pursuant to s. 420.9072. Each county's share of the

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funds to be distributed from the portion of the funds in the

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Local Government Housing Trust Fund received pursuant to s.

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201.15(10) shall be calculated by the corporation for each fiscal

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year as follows:

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     (a)  Each county shall receive the guaranteed amount for

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each fiscal year.

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     (b)  Each county may receive an additional share calculated

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as follows:

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     1.  Multiply each county's percentage of the total state

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population, by the total funds to be distributed.

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     2.  If the result in subparagraph 1. is less than the

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guaranteed amount as determined in subsection (3), that county's

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additional share shall be zero.

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     3.  For each county in which the result in subparagraph 1.

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is greater than the guaranteed amount, the amount calculated in

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subparagraph 1. shall be reduced by the guaranteed amount. The

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result for each such county shall be expressed as a percentage of

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the amounts so determined for all counties. Each such county

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shall receive an additional share equal to this percentage

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multiplied by the total funds received by the Local Government

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Housing Trust Fund pursuant to s. 201.15(10) as reduced by the

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guaranteed amount paid to all counties.

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     (3)  Calculation of guaranteed amounts:

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     (a)  The guaranteed amount under subsection (1) shall be

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calculated for each state fiscal year by multiplying $350,000 by

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a fraction, the numerator of which is the amount of funds

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distributed to the Local Government Housing Trust Fund pursuant

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to s. 201.15(9) and the denominator of which is the total amount

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of funds distributed to the Local Government Housing Trust Fund

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pursuant to s. 201.15 less the total amount withheld, but not

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more than $10 million as provided in subsections (5) and (6).

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     (b)  The guaranteed amount under subsection (2) shall be

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calculated for each state fiscal year by multiplying $350,000 by

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a fraction, the numerator of which is the amount of funds

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distributed to the Local Government Housing Trust Fund pursuant

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to s. 201.15(10) and the denominator of which is the total amount

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of funds distributed to the Local Government Housing Trust Fund

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pursuant to s. 201.15 less the total amount withheld, but not

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more than $10 million as provided in subsections (5) and (6).

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     (5) Notwithstanding subsections (1)-(4), the corporation

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may withhold up to $5 million of the total amount distributed

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each fiscal year from the Local Government Housing Trust Fund to

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provide additional funding to counties and eligible

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municipalities where a state of emergency has been declared by

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the Governor under chapter 252. Any portion of the withheld funds

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not distributed by the end of the fiscal year shall be

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distributed as provided in subsections (1) and (2).

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     (6) Notwithstanding subsections (1)-(4), the corporation

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may withhold up to $5 million of the total amount distributed

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each fiscal year from the Local Government Housing Trust Fund to

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provide funding to counties and eligible municipalities to

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purchase properties subject to a State Housing Initiatives

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Partnership Program lien and on which foreclosure proceedings

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have been instituted by a mortgagee. Each county and eligible

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municipality receiving funds under this subsection shall repay

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such funds to the corporation on or before the expenditure

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deadline for the fiscal year in which the funds were awarded.

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Amounts not repaid by the county or eligible municipality shall

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be withheld from the subsequent year's distribution under

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subsections (1) and (2). Any portion of such funds not

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distributed under this subsection by the end of the fiscal year

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shall be distributed as provided in subsections (1) and (2).

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     (7) A county receiving local housing distributions under

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this section or an eligible municipality receiving local housing

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distributions under an interlocal agreement shall expend those

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funds in accordance with the provisions of ss. 420.907-420.9079,

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rules of the corporation, and the county's local housing

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assistance plan.

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     Section 6.  Subsections (1), (3), (5), (7), and (8),

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paragraphs (a) and (h) of subsection (10), and paragraph (b) of

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subsection (13) of section 420.9075, Florida Statutes, are

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amended, and subsection (14) is added to that section, to read:

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     420.9075  Local housing assistance plans; partnerships.--

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     (1)(a)  Each county or eligible municipality participating

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in the State Housing Initiatives Partnership Program shall

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develop and implement a local housing assistance plan created to

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make affordable residential units available to persons of very

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low income, low income, or moderate income and to persons who

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have special housing needs, including, but not limited to,

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homeless people, the elderly, and migrant farmworkers, and

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persons with disabilities. High-cost counties as defined by rule

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of the corporation or eligible municipalities may include

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strategies to assist persons and households having annual incomes

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of not more than 140 percent of area median income. The plans are

482

intended to increase the availability of affordable residential

483

units by combining local resources and cost-saving measures into

484

a local housing partnership and using private and public funds to

485

reduce the cost of housing.

486

     (b)  Local housing assistance plans may allocate funds to:

487

     1.  Implement local housing assistance strategies for the

488

provision of affordable housing.

489

     2.  Supplement funds available to the corporation to provide

490

enhanced funding of state housing programs within the county or

491

the eligible municipality.

492

     3.  Provide the local matching share of federal affordable

493

housing grants or programs.

494

     4.  Fund emergency repairs, including, but not limited to,

495

repairs performed by existing service providers under

496

weatherization assistance programs under ss. 409.509-409.5093.

497

     5.  Further the housing element of the local government

498

comprehensive plan adopted pursuant to s. 163.3184, specific to

499

affordable housing.

500

     (3)(a)  Each local housing assistance plan shall include a

501

definition of essential service personnel for the county or

502

eligible municipality, including, but not limited to, teachers

503

and educators, other school district, community college, and

504

university employees, police and fire personnel, health care

505

personnel, skilled building trades personnel, and other job

506

categories.

507

     (b)  Each county and each eligible municipality is

508

encouraged to develop a strategy within its local housing

509

assistance plan that emphasizes the recruitment and retention of

510

essential service personnel. The local government is encouraged

511

to involve public and private sector employers. Compliance with

512

the eligibility criteria established under this strategy shall be

513

verified by the county or eligible municipality.

514

     (c)  Each county and each eligible municipality is

515

encouraged to develop a strategy within its local housing

516

assistance plan that addresses the needs of persons who are

517

deprived of affordable housing due to the closure of a mobile

518

home park or the conversion of affordable rental units to

519

condominiums.

520

     (d) Each county and each eligible municipality shall

521

describe initiatives in the local housing assistance plan to

522

encourage or require innovative design, green building

523

principles, storm-resistant construction, or other elements that

524

reduce long-term costs relating to maintenance, utilities, or

525

insurance.

526

     (e) Each county and each eligible municipality is

527

encouraged to develop a strategy within its local housing

528

assistance plan which provides program funds for the preservation

529

of assisted housing or assisted housing developments.

530

     (5)  The following criteria apply to awards made to eligible

531

sponsors or eligible persons for the purpose of providing

532

eligible housing:

533

     (a)  At least 65 percent of the funds made available in each

534

county and eligible municipality from the local housing

535

distribution must be reserved for home ownership for eligible

536

persons.

537

     (b)  At least 75 percent of the funds made available in each

538

county and eligible municipality from the local housing

539

distribution must be reserved for construction, rehabilitation,

540

or emergency repair of affordable, eligible housing.

541

     (c) Not more than 15 percent of the funds made available in

542

each county and eligible municipality from the local housing

543

distribution may be used for manufactured housing constructed

544

after June 1994 and installed in accordance with the installation

545

standards for mobile or manufactured homes contained in rules of

546

the Department of Highway Safety and Motor Vehicles.

547

     (d)(c) The sales price or value of new or existing eligible

548

housing may not exceed 90 percent of the average area purchase

549

price in the statistical area in which the eligible housing is

550

located. Such average area purchase price may be that calculated

551

for any 12-month period beginning not earlier than the fourth

552

calendar year prior to the year in which the award occurs or as

553

otherwise established by the United States Department of the

554

Treasury.

555

     (e)(d)1. All units constructed, rehabilitated, or otherwise

556

assisted with the funds provided from the local housing

557

assistance trust fund must be occupied by very-low-income

558

persons, low-income persons, and moderate-income persons except

559

as otherwise provided in this section.

560

     2.  At least 30 percent of the funds deposited into the

561

local housing assistance trust fund must be reserved for awards

562

to very-low-income persons or eligible sponsors who will serve

563

very-low-income persons and at least an additional 30 percent of

564

the funds deposited into the local housing assistance trust fund

565

must be reserved for awards to low-income persons or eligible

566

sponsors who will serve low-income persons. This subparagraph

567

does not apply to a county or an eligible municipality that

568

includes, or has included within the previous 5 years, an area of

569

critical state concern designated or ratified by the Legislature

570

for which the Legislature has declared its intent to provide

571

affordable housing. The exemption created by this act expires on

572

July 1, 2013 2008.

573

     (f)(e) Loans shall be provided for periods not exceeding 30

574

years, except for deferred payment loans or loans that extend

575

beyond 30 years which continue to serve eligible persons.

576

     (g)(f) Loans or grants for eligible rental housing

577

constructed, rehabilitated, or otherwise assisted from the local

578

housing assistance trust fund must be subject to recapture

579

requirements as provided by the county or eligible municipality

580

in its local housing assistance plan unless reserved for eligible

581

persons for 15 years or the term of the assistance, whichever

582

period is longer. Eligible sponsors that offer rental housing for

583

sale before 15 years or that have remaining mortgages funded

584

under this program must give a first right of refusal to eligible

585

nonprofit organizations for purchase at the current market value

586

for continued occupancy by eligible persons.

587

     (h)(g) Loans or grants for eligible owner-occupied housing

588

constructed, rehabilitated, or otherwise assisted from proceeds

589

provided from the local housing assistance trust fund shall be

590

subject to recapture requirements as provided by the county or

591

eligible municipality in its local housing assistance plan.

592

     (i)(h) The total amount of monthly mortgage payments or the

593

amount of monthly rent charged by the eligible sponsor or her or

594

his designee must be made affordable.

595

     (j)(i) The maximum sales price or value per unit and the

596

maximum award per unit for eligible housing benefiting from

597

awards made pursuant to this section must be established in the

598

local housing assistance plan.

599

     (k)(j) The benefit of assistance provided through the State

600

Housing Initiatives Partnership Program must accrue to eligible

601

persons occupying eligible housing. This provision shall not be

602

construed to prohibit use of the local housing distribution funds

603

for a mixed income rental development.

604

     (l)(k) Funds from the local housing distribution not used

605

to meet the criteria established in paragraph (a) or paragraph

606

(b) or not used for the administration of a local housing

607

assistance plan must be used for housing production and finance

608

activities, including, but not limited to, financing

609

preconstruction activities or the purchase of existing units,

610

providing rental housing, and providing home ownership training

611

to prospective home buyers and owners of homes assisted through

612

the local housing assistance plan.

613

     1. Notwithstanding the provisions of paragraphs (a) and

614

(b), program income as defined in s. 420.9071(26) s. 420.9071(24)

615

may also be used to fund activities described in this paragraph.

616

     2. Where preconstruction due diligence activities conducted

617

as part of a preservation strategy show that preservation of the

618

units is not feasible and will not result in the production of an

619

eligible unit, such costs shall be deemed a program expense

620

rather than an administrative expense if such program expenses do

621

not exceed 3 percent of the annual local housing distribution.

622

     (m) Each county and each eligible municipality may award

623

funds as a grant for construction, rehabilitation, or repair as

624

part of disaster recovery or emergency repairs or to remedy

625

accessibility or health and safety deficiencies. Any other grants

626

must be approved as part of the local housing assistance plan.

627

628

If both an award under the local housing assistance plan and

629

federal low-income housing tax credits are used to assist a

630

project and there is a conflict between the criteria prescribed

631

in this subsection and the requirements of s. 42 of the Internal

632

Revenue Code of 1986, as amended, the county or eligible

633

municipality may resolve the conflict by giving precedence to the

634

requirements of s. 42 of the Internal Revenue Code of 1986, as

635

amended, in lieu of following the criteria prescribed in this

636

subsection with the exception of paragraphs (a) and (d) of this

637

subsection.

638

     (7)  The moneys deposited in the local housing assistance

639

trust fund shall be used to administer and implement the local

640

housing assistance plan. The cost of administering the plan may

641

not exceed 5 percent of the local housing distribution moneys and

642

program income deposited into the trust fund. A county or an

643

eligible municipality may not exceed the 5-percent limitation on

644

administrative costs, unless its governing body finds, by

645

resolution, that 5 percent of the local housing distribution plus

646

5 percent of program income is insufficient to adequately pay the

647

necessary costs of administering the local housing assistance

648

plan. The cost of administering the program may not exceed 10

649

percent of the local housing distribution plus 10 5 percent of

650

program income deposited into the trust fund, except that small

651

counties, as defined in s. 120.52(17), and eligible

652

municipalities receiving a local housing distribution of up to

653

$350,000 may use up to 10 percent of program income for

654

administrative costs.

655

     (8)  Pursuant to s. 420.531, the corporation shall provide

656

training and technical assistance to local governments regarding

657

the creation of partnerships, the design of local housing

658

assistance strategies, the implementation of local housing

659

incentive strategies, and the provision of support services.

660

     (10)  Each county or eligible municipality shall submit to

661

the corporation by September 15 of each year a report of its

662

affordable housing programs and accomplishments through June 30

663

immediately preceding submittal of the report. The report shall

664

be certified as accurate and complete by the local government's

665

chief elected official or his or her designee. Transmittal of the

666

annual report by a county's or eligible municipality's chief

667

elected official, or his or her designee, certifies that the

668

local housing incentive strategies, or, if applicable, the local

669

housing incentive plan, have been implemented or are in the

670

process of being implemented pursuant to the adopted schedule for

671

implementation. The report must include, but is not limited to:

672

     (a)  The number of households served by income category,

673

age, family size, and race, and data regarding any special needs

674

populations such as farmworkers, homeless persons, persons with

675

disabilities, and the elderly. Counties shall report this

676

information separately for households served in the

677

unincorporated area and each municipality within the county.

678

     (h)  Such other data or affordable housing accomplishments

679

considered significant by the reporting county or eligible

680

municipality or by the corporation.

681

     (13)

682

     (b)  If, as a result of its review of the annual report, the

683

corporation determines that a county or eligible municipality has

684

failed to implement a local housing incentive strategy, or, if

685

applicable, a local housing incentive plan, it shall send a

686

notice of termination of the local government's share of the

687

local housing distribution by certified mail to the affected

688

county or eligible municipality.

689

     1.  The notice must specify a date of termination of the

690

funding if the affected county or eligible municipality does not

691

implement the plan or strategy and provide for a local response.

692

A county or eligible municipality shall respond to the

693

corporation within 30 days after receipt of the notice of

694

termination.

695

     2.  The corporation shall consider the local response that

696

extenuating circumstances precluded implementation and grant an

697

extension to the timeframe for implementation. Such an extension

698

shall be made in the form of an extension agreement that provides

699

a timeframe for implementation. The chief elected official of a

700

county or eligible municipality or his or her designee shall have

701

the authority to enter into the agreement on behalf of the local

702

government.

703

     3.  If the county or the eligible municipality has not

704

implemented the incentive strategy or entered into an extension

705

agreement by the termination date specified in the notice, the

706

local housing distribution share terminates, and any uncommitted

707

local housing distribution funds held by the affected county or

708

eligible municipality in its local housing assistance trust fund

709

shall be transferred to the Local Government Housing Trust Fund

710

to the credit of the corporation to administer pursuant to s.

711

420.9072 s. 420.9078.

712

     4.a.  If the affected local government fails to meet the

713

timeframes specified in the agreement, the corporation shall

714

terminate funds. The corporation shall send a notice of

715

termination of the local government's share of the local housing

716

distribution by certified mail to the affected local government.

717

The notice shall specify the termination date, and any

718

uncommitted funds held by the affected local government shall be

719

transferred to the Local Government Housing Trust Fund to the

720

credit of the corporation to administer pursuant to s. 420.9072

721

s. 420.9078.

722

     b.  If the corporation terminates funds to a county, but an

723

eligible municipality receiving a local housing distribution

724

pursuant to an interlocal agreement maintains compliance with

725

program requirements, the corporation shall thereafter distribute

726

directly to the participating eligible municipality its share

727

calculated in the manner provided in s. 420.9072.

728

     c.  Any county or eligible municipality whose local

729

distribution share has been terminated may subsequently elect to

730

receive directly its local distribution share by adopting the

731

ordinance, resolution, and local housing assistance plan in the

732

manner and according to the procedures provided in ss. 420.907-

733

420.9079.

734

     (14) If the corporation determines that a county or

735

eligible municipality has expended program funds for an

736

ineligible activity, the corporation shall require such funds to

737

be repaid to the Local Housing Assistance Trust Fund. Such

738

repayment may not be made with funds from the State Housing

739

Initiatives Partnership Program.

740

     Section 7.  Subsections (2), (5), and (6) and paragraph (a)

741

of subsection (7) of section 420.9076, Florida Statutes, are

742

amended to read:

743

     420.9076  Adoption of affordable housing incentive

744

strategies; committees.--

745

     (2)  The governing board of a county or municipality shall

746

appoint the members of the affordable housing advisory committee

747

by resolution. Pursuant to the terms of any interlocal agreement,

748

a county and municipality may create and jointly appoint an

749

advisory committee to prepare a joint plan. The ordinance adopted

750

pursuant to s. 420.9072 which creates the advisory committee or

751

the resolution appointing the advisory committee members must

752

provide for 11 committee members and their terms. The committee

753

must include:

754

     (a)  One citizen who is actively engaged in the residential

755

home building industry in connection with affordable housing.

756

     (b)  One citizen who is actively engaged in the banking or

757

mortgage banking industry in connection with affordable housing.

758

     (c)  One citizen who is a representative of those areas of

759

labor actively engaged in home building in connection with

760

affordable housing.

761

     (d)  One citizen who is actively engaged as an advocate for

762

low-income persons in connection with affordable housing.

763

     (e)  One citizen who is actively engaged as a for-profit

764

provider of affordable housing.

765

     (f)  One citizen who is actively engaged as a not-for-profit

766

provider of affordable housing.

767

     (g)  One citizen who is actively engaged as a real estate

768

professional in connection with affordable housing.

769

     (h)  One citizen who actively serves on the local planning

770

agency pursuant to s. 163.3174. If the local planning agency is

771

comprised of the county or municipality governing body, the

772

governing body may appoint a designee who is knowledgeable in the

773

local planning process.

774

     (i)  One citizen who resides within the jurisdiction of the

775

local governing body making the appointments.

776

     (j)  One citizen who represents employers within the

777

jurisdiction.

778

     (k)  One citizen who represents essential services

779

personnel, as defined in the local housing assistance plan.

780

781

If a county or eligible municipality whether due to its small

782

size, the presence of a conflict of interest by prospective

783

appointees, or other reasonable factor, is unable to appoint a

784

citizen actively engaged in these activities in connection with

785

affordable housing, a citizen engaged in the activity without

786

regard to affordable housing may be appointed. Local governments

787

that receive the minimum allocation under the State Housing

788

Initiatives Partnership Program may elect to appoint an

789

affordable housing advisory committee with fewer than 11

790

representatives if they are unable to find representatives who

791

meet the criteria of paragraphs (a)-(k).

792

     (5)  The approval by the advisory committee of its local

793

housing incentive strategies recommendations and its review of

794

local government implementation of previously recommended

795

strategies must be made by affirmative vote of a majority of the

796

membership of the advisory committee taken at a public hearing.

797

Notice of the time, date, and place of the public hearing of the

798

advisory committee to adopt its evaluation and final local

799

housing incentive strategies recommendations must be published in

800

a newspaper of general paid circulation in the county. The notice

801

must contain a short and concise summary of the evaluation and

802

local housing incentives strategies recommendations to be

803

considered by the advisory committee. The notice must state the

804

public place where a copy of the evaluation and tentative

805

advisory committee recommendations can be obtained by interested

806

persons. The final report, evaluation, and recommendations shall

807

be submitted to the corporation.

808

     (6)  Within 90 days after the date of receipt of the

809

evaluation and local housing incentive strategies recommendations

810

from the advisory committee, the governing body of the appointing

811

local government shall adopt an amendment to its local housing

812

assistance plan to incorporate the local housing incentive

813

strategies it will implement within its jurisdiction. The

814

amendment must include, at a minimum, the local housing incentive

815

strategies required under s. 420.9071(17) s. 420.9071(16). The

816

local government must consider the strategies specified in

817

paragraphs (4)(a)-(k) as recommended by the advisory committee.

818

     (7)  The governing board of the county or the eligible

819

municipality shall notify the corporation by certified mail of

820

its adoption of an amendment of its local housing assistance plan

821

to incorporate local housing incentive strategies. The notice

822

must include a copy of the approved amended plan.

823

     (a)  If the corporation fails to receive timely the approved

824

amended local housing assistance plan to incorporate local

825

housing incentive strategies, a notice of termination of its

826

share of the local housing distribution shall be sent by

827

certified mail by the corporation to the affected county or

828

eligible municipality. The notice of termination must specify a

829

date of termination of the funding if the affected county or

830

eligible municipality has not adopted an amended local housing

831

assistance plan to incorporate local housing incentive

832

strategies. If the county or the eligible municipality has not

833

adopted an amended local housing assistance plan to incorporate

834

local housing incentive strategies by the termination date

835

specified in the notice of termination, the local distribution

836

share terminates; and any uncommitted local distribution funds

837

held by the affected county or eligible municipality in its local

838

housing assistance trust fund shall be transferred to the Local

839

Government Housing Trust Fund to the credit of the corporation to

840

administer the local government housing program pursuant to s.

841

420.9072 s. 420.9078.

842

     Section 8.  Subsection (6) of section 421.08, Florida

843

Statutes, is amended to read:

844

     421.08  Powers of authority.--An authority shall constitute

845

a public body corporate and politic, exercising the public and

846

essential governmental functions set forth in this chapter, and

847

having all the powers necessary or convenient to carry out and

848

effectuate the purpose and provisions of this chapter, including

849

the following powers in addition to others herein granted:

850

     (6)  Within its area of operation: to investigate into

851

living, dwelling, and housing conditions and into the means and

852

methods of improving such conditions; to determine where slum

853

areas exist or where there is a shortage of decent, safe, and

854

sanitary dwelling accommodations for persons of low income; to

855

make studies and recommendations relating to the problem of

856

clearing, replanning, and reconstruction of slum areas and the

857

problem of providing dwelling accommodations for persons of low

858

income; to administer fair housing ordinances and other

859

ordinances as adopted by cities, counties, or other authorities

860

who wish to contract for administrative services and to cooperate

861

with the city, the county, the state or any political subdivision

862

thereof in action taken in connection with such problems; and to

863

engage in research, studies, and experimentation on the subject

864

of housing. However, the housing authority may not take action to

865

prohibit access to a housing project by a state or local elected

866

official or a candidate for state or local government office.

867

     Section 9.  Subsection (4) of section 159.807, Florida

868

Statutes, is amended to read:

869

     159.807  State allocation pool.--

870

     (4)(a) The state allocation pool shall also be used to

871

provide written confirmations for private activity bonds that are

872

to be issued by state agencies after June 1, which bonds,

873

notwithstanding any other provisions of this part, shall receive

874

priority in the use of the pool available at the time the notice

875

of intent to issue such bonds is filed with the division.

876

     (b) This subsection does not apply to the Florida Housing

877

Finance Corporation:

878

     1. Until its allocation pursuant to s. 159.804(3) has been

879

exhausted, is unavailable, or is inadequate to provide an

880

allocation pursuant to s. 159.804(3) and any carryforwards of

881

volume limitation from prior years for the same carryforward

882

purpose, as that term is defined in s. 146 of the Code, as the

883

bonds it intends to issue have been completely utilized or have

884

expired.

885

     2. Prior to July 1 of any year, when housing bonds for

886

which the Florida Housing Finance Corporation has made an

887

assignment of its allocation permitted by s. 159.804(3)(c) have

888

not been issued.

889

     Section 10. Section 420.9078, Florida Statutes, is repealed.

890

     Section 11.  Paragraph (p) of subsection (5) of section

891

212.08, Florida Statutes, is amended to read:

892

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

893

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

894

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

895

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

896

hereby specifically exempt from the tax imposed by this chapter.

897

     (5)  EXEMPTIONS; ACCOUNT OF USE.--

898

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

899

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

900

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

901

and who make donations to eligible sponsors are eligible for tax

902

credits against their state sales and use tax liabilities as

903

provided in this paragraph:

904

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

905

person's approved annual community contribution.

906

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

907

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

908

months preceding the date of application to the department for

909

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

910

credit is not fully used through such refund because of

911

insufficient tax payments during the applicable 12-month period,

912

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

913

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

914

against the total tax payments made for such year. Carryover

915

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

916

time limitation that would otherwise apply under s. 215.26.

917

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

918

tax credits for all approved community contributions made in any

919

one year.

920

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

921

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

922

Development.

923

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

924

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

925

624.5105 is $10.5 million annually for projects that provide

926

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

927

households as defined in s. 420.9071(20) and (30) s. 420.9071(19)

928

and (28) and $3.5 million annually for all other projects.

929

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

930

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

931

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

932

     2.  Eligibility requirements.--

933

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

934

following form:

935

     (I)  Cash or other liquid assets;

936

     (II)  Real property;

937

     (III)  Goods or inventory; or

938

     (IV)  Other physical resources as identified by the Office

939

of Tourism, Trade, and Economic Development.

940

     b.  All community contributions must be reserved exclusively

941

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

942

"project" means any activity undertaken by an eligible sponsor

943

which is designed to construct, improve, or substantially

944

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

945

low-income households as defined in s. 420.9071(20) and (30) s.

946

420.9071(19) and (28); designed to provide commercial,

947

industrial, or public resources and facilities; or designed to

948

improve entrepreneurial and job-development opportunities for

949

low-income persons. A project may be the investment necessary to

950

increase access to high-speed broadband capability in rural

951

communities with enterprise zones, including projects that result

952

in improvements to communications assets that are owned by a

953

business. A project may include the provision of museum

954

educational programs and materials that are directly related to

955

any project approved between January 1, 1996, and December 31,

956

1999, and located in an enterprise zone designated pursuant to s.

957

290.0065. This paragraph does not preclude projects that propose

958

to construct or rehabilitate housing for low-income or very-low-

959

income households on scattered sites. With respect to housing,

960

contributions may be used to pay the following eligible low-

961

income and very-low-income housing-related activities:

962

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

963

income or very-low-income housing projects;

964

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

965

as defined in s. 420.9071(20) and (30) s. 420.9071(19) and (28);

966

     (III)  Administrative costs, including housing counseling

967

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

968

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

969

projects; and

970

     (IV)  Removal of liens recorded against residential property

971

by municipal, county, or special district local governments when

972

satisfaction of the lien is a necessary precedent to the transfer

973

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

974

420.9071(20) and (30) s. 420.9071(19) and (28), for the purpose

975

of promoting home ownership. Contributions for lien removal must

976

be received from a nonrelated third party.

977

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

978

which includes:

979

     (I)  A community action program;

980

     (II)  A nonprofit community-based development organization

981

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

982

low-income households or increasing entrepreneurial and job-

983

development opportunities for low-income persons;

984

     (III)  A neighborhood housing services corporation;

985

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

986

     (V)  A community redevelopment agency created under s.

987

163.356;

988

     (VI)  The Florida Industrial Development Corporation;

989

     (VII)  A historic preservation district agency or

990

organization;

991

     (VIII)  A regional workforce board;

992

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

993

1009.983;

994

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

995

290.0056;

996

     (XI)  A community-based organization incorporated under

997

chapter 617 which is recognized as educational, charitable, or

998

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

999

and whose bylaws and articles of incorporation include affordable

1000

housing, economic development, or community development as the

1001

primary mission of the corporation;

1002

     (XII)  Units of local government;

1003

     (XIII)  Units of state government; or

1004

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

1005

and Economic Development designates by rule.

1006

1007

In no event may A contributing person may not have a financial

1008

interest in the eligible sponsor.

1009

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

1010

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

1011

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

1012

broadband capability for rural communities with enterprise zones

1013

but is physically located outside the designated rural zone

1014

boundaries. Any project designed to construct or rehabilitate

1015

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

1016

in s. 420.9071(20) and (30) s. 420.9071(19) and (28) is exempt

1017

from the area requirement of this sub-subparagraph.

1018

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

1019

fiscal year, eligible tax credit applications for projects that

1020

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

1021

income households as defined in s. 420.9071(20) and (30) s.

1022

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

1023

credits available for those projects, the Office of Tourism,

1024

Trade, and Economic Development shall grant tax credits for those

1025

applications and shall grant remaining tax credits on a first-

1026

come, first-served basis for any subsequent eligible applications

1027

received before the end of the state fiscal year. If, during the

1028

first 10 business days of the state fiscal year, eligible tax

1029

credit applications for projects that provide homeownership

1030

opportunities for low-income or very-low-income households as

1031

defined in s. 420.9071(20) and (30) s. 420.9071(19) and (28) are

1032

received for more than the annual tax credits available for those

1033

projects, the office shall grant the tax credits for those

1034

applications as follows:

1035

     (A)  If tax credit applications submitted for approved

1036

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

1037

the credits shall be granted in full if the tax credit

1038

applications are approved.

1039

     (B)  If tax credit applications submitted for approved

1040

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

1041

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

1042

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

1043

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

1044

approved tax credit application on a pro rata basis.

1045

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

1046

fiscal year, eligible tax credit applications for projects other

1047

than those that provide homeownership opportunities for low-

1048

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

1049

420.9071(20) and (30) s. 420.9071(19) and (28) are received for

1050

less than the annual tax credits available for those projects,

1051

the office shall grant tax credits for those applications and

1052

shall grant remaining tax credits on a first-come, first-served

1053

basis for any subsequent eligible applications received before

1054

the end of the state fiscal year. If, during the first 10

1055

business days of the state fiscal year, eligible tax credit

1056

applications for projects other than those that provide

1057

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

1058

households as defined in s. 420.9071(20) and (30) s. 420.9071(19)

1059

and (28) are received for more than the annual tax credits

1060

available for those projects, the office shall grant the tax

1061

credits for those applications on a pro rata basis.

1062

     3.  Application requirements.--

1063

     a.  Any eligible sponsor seeking to participate in this

1064

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

1065

and Economic Development which sets forth the name of the

1066

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

1067

project is located, together with such supporting information as

1068

is prescribed by rule. The proposal must also contain a

1069

resolution from the local governmental unit in which the project

1070

is located certifying that the project is consistent with local

1071

plans and regulations.

1072

     b.  Any person seeking to participate in this program must

1073

submit an application for tax credit to the office which sets

1074

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

1075

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

1076

shall verify the terms of the application and indicate its

1077

receipt of the contribution, which verification must be in

1078

writing and accompany the application for tax credit. The person

1079

must submit a separate tax credit application to the office for

1080

each individual contribution that it makes to each individual

1081

project.

1082

     c.  Any person who has received notification from the office

1083

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

1084

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

1085

prescribed for claiming refunds of sales and use taxes and be

1086

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

1087

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

1088

month period.

1089

     4.  Administration.--

1090

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

1091

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

1092

to administer this paragraph, including rules for the approval or

1093

disapproval of proposals by a person.

1094

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

1095

approved, the notification shall state the maximum credit

1096

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

1097

a copy of the decision to the Department of Revenue.

1098

     c.  The office shall periodically monitor all projects in a

1099

manner consistent with available resources to ensure that

1100

resources are used in accordance with this paragraph; however,

1101

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

1102

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

1103

Community Affairs and the statewide and regional housing and

1104

financial intermediaries, market the availability of the

1105

community contribution tax credit program to community-based

1106

organizations.

1107

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

1108

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

1109

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

1110

for such credit.

1111

     Section 12.  Paragraph (t) of subsection (1) of section

1112

220.03, Florida Statutes, is amended to read:

1113

     220.03  Definitions.--

1114

     (1)  SPECIFIC TERMS.--When used in this code, and when not

1115

otherwise distinctly expressed or manifestly incompatible with

1116

the intent thereof, the following terms shall have the following

1117

meanings:

1118

     (t)  "Project" means any activity undertaken by an eligible

1119

sponsor, as defined in s. 220.183(2)(c), which is designed to

1120

construct, improve, or substantially rehabilitate housing that is

1121

affordable to low-income or very-low-income households as defined

1122

in s. 420.9071(20) and (30) s. 420.9071(19) and (28); designed to

1123

provide commercial, industrial, or public resources and

1124

facilities; or designed to improve entrepreneurial and job-

1125

development opportunities for low-income persons. A project may

1126

be the investment necessary to increase access to high-speed

1127

broadband capability in rural communities with enterprise zones,

1128

including projects that result in improvements to communications

1129

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

1130

provision of museum educational programs and materials that are

1131

directly related to any project approved between January 1, 1996,

1132

and December 31, 1999, and located in an enterprise zone

1133

designated pursuant to s. 290.0065. This paragraph does not

1134

preclude projects that propose to construct or rehabilitate low-

1135

income or very-low-income housing on scattered sites. With

1136

respect to housing, contributions may be used to pay the

1137

following eligible project-related activities:

1138

     1.  Project development, impact, and management fees for

1139

low-income or very-low-income housing projects;

1140

     2.  Down payment and closing costs for eligible persons, as

1141

defined in s. 420.9071(20) and (30) s. 420.9071(19) and (28);

1142

     3.  Administrative costs, including housing counseling and

1143

marketing fees, not to exceed 10 percent of the community

1144

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

1145

projects; and

1146

     4.  Removal of liens recorded against residential property

1147

by municipal, county, or special-district local governments when

1148

satisfaction of the lien is a necessary precedent to the transfer

1149

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

1150

420.9071(20) and (30) s. 420.9071(19) and (28), for the purpose

1151

of promoting home ownership. Contributions for lien removal must

1152

be received from a nonrelated third party.

1153

1154

The provisions of this paragraph shall expire and be void on June

1155

30, 2015.

1156

     Section 13.  Paragraph (c) of subsection (1) and paragraphs

1157

(b) and (d) of subsection (2) of section 220.183, Florida

1158

Statutes, are amended to read:

1159

     220.183  Community contribution tax credit.--

1160

     (1)  AUTHORIZATION TO GRANT COMMUNITY CONTRIBUTION TAX

1161

CREDITS; LIMITATIONS ON INDIVIDUAL CREDITS AND PROGRAM

1162

SPENDING.--

1163

     (c)  The total amount of tax credit which may be granted for

1164

all programs approved under this section, s. 212.08(5)(p), and s.

1165

624.5105 is $10.5 million annually for projects that provide

1166

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

1167

households as defined in s. 420.9071(20) and (30) s. 420.9071(19)

1168

and (28) and $3.5 million annually for all other projects.

1169

     (2)  ELIGIBILITY REQUIREMENTS.--

1170

     (b)1.  All community contributions must be reserved

1171

exclusively for use in projects as defined in s. 220.03(1)(t).

1172

     2.  If, during the first 10 business days of the state

1173

fiscal year, eligible tax credit applications for projects that

1174

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

1175

income households as defined in s. 420.9071(20) and (30) s.

1176

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

1177

credits available for those projects, the Office of Tourism,

1178

Trade, and Economic Development shall grant tax credits for those

1179

applications and shall grant remaining tax credits on a first-

1180

come, first-served basis for any subsequent eligible applications

1181

received before the end of the state fiscal year. If, during the

1182

first 10 business days of the state fiscal year, eligible tax

1183

credit applications for projects that provide homeownership

1184

opportunities for low-income or very-low-income households as

1185

defined in s. 420.9071(20) and (30) s. 420.9071(19) and (28) are

1186

received for more than the annual tax credits available for those

1187

projects, the office shall grant the tax credits for those

1188

applications as follows:

1189

     a.  If tax credit applications submitted for approved

1190

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

1191

the credit shall be granted in full if the tax credit

1192

applications are approved.

1193

     b.  If tax credit applications submitted for approved

1194

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

1195

amount of tax credits granted under sub-subparagraph a. shall be

1196

subtracted from the amount of available tax credits, and the

1197

remaining credits shall be granted to each approved tax credit

1198

application on a pro rata basis.

1199

     3.  If, during the first 10 business days of the state

1200

fiscal year, eligible tax credit applications for projects other

1201

than those that provide homeownership opportunities for low-

1202

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

1203

420.9071(20) and (30) s. 420.9071(19) and (28) are received for

1204

less than the annual tax credits available for those projects,

1205

the office shall grant tax credits for those applications and

1206

shall grant remaining tax credits on a first-come, first-served

1207

basis for any subsequent eligible applications received before

1208

the end of the state fiscal year. If, during the first 10

1209

business days of the state fiscal year, eligible tax credit

1210

applications for projects other than those that provide

1211

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

1212

households as defined in s. 420.9071(20) and (30) s. 420.9071(19)

1213

and (28) are received for more than the annual tax credits

1214

available for those projects, the office shall grant the tax

1215

credits for those applications on a pro rata basis.

1216

     (d)  The project shall be located in an area designated as

1217

an enterprise zone or a Front Porch Florida Community pursuant to

1218

s. 20.18(6). Any project designed to construct or rehabilitate

1219

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

1220

in s. 420.9071(20) and (30) s. 420.9071(19) and (28) is exempt

1221

from the area requirement of this paragraph. This section does

1222

not preclude projects that propose to construct or rehabilitate

1223

housing for low-income or very-low-income households on scattered

1224

sites. Any project designed to provide increased access to high-

1225

speed broadband capabilities which includes coverage of a rural

1226

enterprise zone may locate the project's infrastructure in any

1227

area of a rural county.

1228

     Section 14.  Paragraph (c) of subsection (1) and paragraphs

1229

(d) and (e) of subsection (2) of section 624.5105, Florida

1230

Statutes, are amended to read:

1231

     624.5105  Community contribution tax credit; authorization;

1232

limitations; eligibility and application requirements;

1233

administration; definitions; expiration.--

1234

     (1)  AUTHORIZATION TO GRANT TAX CREDITS; LIMITATIONS.--

1235

     (c)  The total amount of tax credit which may be granted for

1236

all programs approved under this section and ss. 212.08(5)(p) and

1237

220.183 is $10.5 million annually for projects that provide

1238

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

1239

households as defined in s. 420.9071(20) and (30) s. 420.9071(19)

1240

and (28) and $3.5 million annually for all other projects.

1241

     (2)  ELIGIBILITY REQUIREMENTS.--

1242

     (d)  The project shall be located in an area designated as

1243

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

1244

20.18(6). Any project designed to construct or rehabilitate

1245

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

1246

in s. 420.9071(20) and (30) s. 420.9071(19) and (28) is exempt

1247

from the area requirement of this paragraph.

1248

     (e)1.  If, during the first 10 business days of the state

1249

fiscal year, eligible tax credit applications for projects that

1250

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

1251

income households as defined in s. 420.9071(20) and (30) s.

1252

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

1253

credits available for those projects, the Office of Tourism,

1254

Trade, and Economic Development shall grant tax credits for those

1255

applications and shall grant remaining tax credits on a first-

1256

come, first-served basis for any subsequent eligible applications

1257

received before the end of the state fiscal year. If, during the

1258

first 10 business days of the state fiscal year, eligible tax

1259

credit applications for projects that provide homeownership

1260

opportunities for low-income or very-low-income households as

1261

defined in s. 420.9071(20) and (30) s. 420.9071(19) and (28) are

1262

received for more than the annual tax credits available for those

1263

projects, the office shall grant the tax credits for those

1264

applications as follows:

1265

     a.  If tax credit applications submitted for approved

1266

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

1267

the credits shall be granted in full if the tax credit

1268

applications are approved.

1269

     b.  If tax credit applications submitted for approved

1270

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

1271

amount of tax credits granted under sub-subparagraph a. shall be

1272

subtracted from the amount of available tax credits, and the

1273

remaining credits shall be granted to each approved tax credit

1274

application on a pro rata basis.

1275

     2.  If, during the first 10 business days of the state

1276

fiscal year, eligible tax credit applications for projects other

1277

than those that provide homeownership opportunities for low-

1278

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

1279

420.9071(20) and (30) s. 420.9071(19) and (28) are received for

1280

less than the annual tax credits available for those projects,

1281

the office shall grant tax credits for those applications and

1282

shall grant remaining tax credits on a first-come, first-served

1283

basis for any subsequent eligible applications received before

1284

the end of the state fiscal year. If, during the first 10

1285

business days of the state fiscal year, eligible tax credit

1286

applications for projects other than those that provide

1287

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

1288

households as defined in s. 420.9071(20) and (30) s. 420.9071(19)

1289

and (28) are received for more than the annual tax credits

1290

available for those projects, the office shall grant the tax

1291

credits for those applications on a pro rata basis.

1292

     Section 15.  This act shall take effect July 1, 2008.

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