1 | A bill to be entitled |
2 | An act relating to motorsports entertainment complexes; |
3 | amending s. 212.20, F.S.; providing for distribution of a |
4 | portion of revenues from the tax on sales, use, and other |
5 | transactions to a certified motorsports entertainment |
6 | complex; providing a limit on such distributions; creating |
7 | s. 288.11695, F.S.; providing definitions; providing for |
8 | certification of motorsports entertainment complexes by |
9 | the Office of Tourism, Trade, and Economic Development of |
10 | the Executive Office of the Governor; prohibiting a |
11 | motorsports entertainment complex from receiving more than |
12 | one funded certification; providing requirements for |
13 | certification; requiring specified notice; providing for |
14 | use of the funds distributed to a motorsports |
15 | entertainment complex; authorizing audits by the |
16 | Department of Revenue; providing an effective date. |
17 |
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18 | WHEREAS, the Legislature finds that Florida has long been |
19 | the preeminent site in the nation for motorsports racing, and |
20 | WHEREAS, motorsports racing has been a major tourist |
21 | attraction in Florida for nearly 100 years, and |
22 | WHEREAS, motorsports entertainment is the fastest growing |
23 | sports industry in the United States, and |
24 | WHEREAS, as a result of the increased popularity of |
25 | motorsports racing, many new motorsports facilities are being |
26 | constructed in other states, and |
27 | WHEREAS, to continue to attract spectators to sanctioned |
28 | championship motorsports events, the owner or operator of a |
29 | motorsports entertainment complex must build additional |
30 | spectator seating and renovate existing facilities to improve |
31 | the amenities available to spectators, and |
32 | WHEREAS, attracting, retaining, and providing favorable |
33 | conditions for conducting sanctioned championship motorsports |
34 | events and the continued development of the motorsports |
35 | entertainment industry in Florida provides skilled employment |
36 | opportunities for citizens of this state, and |
37 | WHEREAS, continued development and improvement of Florida's |
38 | motorsports entertainment industry is vital to Florida's tourism |
39 | industry and to state revenues, and |
40 | WHEREAS, the motorsports entertainment industry is a major |
41 | contributor to Florida's economic development because of the |
42 | technology and service businesses that provide goods and |
43 | services to the industry, and |
44 | WHEREAS, the provisions of this act are necessary to |
45 | protect and strengthen Florida's motorsports entertainment |
46 | industry, and the purposes to be achieved by this act are |
47 | predominately public purposes vital to the protection and |
48 | improvement of Florida's economy, NOW, THEREFORE, |
49 |
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50 | Be It Enacted by the Legislature of the State of Florida: |
51 |
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52 | Section 1. Paragraph (d) of subsection (6) of section |
53 | 212.20, Florida Statutes, is amended to read: |
54 | 212.20 Funds collected, disposition; additional powers of |
55 | department; operational expense; refund of taxes adjudicated |
56 | unconstitutionally collected.-- |
57 | (6) Distribution of all proceeds under this chapter and s. |
58 | 202.18(1)(b) and (2)(b) shall be as follows: |
59 | (d) The proceeds of all other taxes and fees imposed |
60 | pursuant to this chapter or remitted pursuant to s. 202.18(1)(b) |
61 | and (2)(b) shall be distributed as follows: |
62 | 1. In any fiscal year, the greater of $500 million, minus |
63 | an amount equal to 4.6 percent of the proceeds of the taxes |
64 | collected pursuant to chapter 201, or 5 percent of all other |
65 | taxes and fees imposed pursuant to this chapter or remitted |
66 | pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in |
67 | monthly installments into the General Revenue Fund. |
68 | 2. Two-tenths of one percent shall be transferred to the |
69 | Ecosystem Management and Restoration Trust Fund to be used for |
70 | water quality improvement and water restoration projects. |
71 | 3. After the distribution under subparagraphs 1. and 2., |
72 | 8.814 percent of the amount remitted by a sales tax dealer |
73 | located within a participating county pursuant to s. 218.61 |
74 | shall be transferred into the Local Government Half-cent Sales |
75 | Tax Clearing Trust Fund. Beginning July 1, 2003, the amount to |
76 | be transferred pursuant to this subparagraph to the Local |
77 | Government Half-cent Sales Tax Clearing Trust Fund shall be |
78 | reduced by 0.1 percent, and the department shall distribute this |
79 | amount to the Public Employees Relations Commission Trust Fund |
80 | less $5,000 each month, which shall be added to the amount |
81 | calculated in subparagraph 4. and distributed accordingly. |
82 | 4. After the distribution under subparagraphs 1., 2., and |
83 | 3., 0.095 percent shall be transferred to the Local Government |
84 | Half-cent Sales Tax Clearing Trust Fund and distributed pursuant |
85 | to s. 218.65. |
86 | 5. After the distributions under subparagraphs 1., 2., 3., |
87 | and 4., 2.0440 percent of the available proceeds pursuant to |
88 | this paragraph shall be transferred monthly to the Revenue |
89 | Sharing Trust Fund for Counties pursuant to s. 218.215. |
90 | 6. After the distributions under subparagraphs 1., 2., 3., |
91 | and 4., 1.3409 percent of the available proceeds pursuant to |
92 | this paragraph shall be transferred monthly to the Revenue |
93 | Sharing Trust Fund for Municipalities pursuant to s. 218.215. If |
94 | the total revenue to be distributed pursuant to this |
95 | subparagraph is at least as great as the amount due from the |
96 | Revenue Sharing Trust Fund for Municipalities and the former |
97 | Municipal Financial Assistance Trust Fund in state fiscal year |
98 | 1999-2000, no municipality shall receive less than the amount |
99 | due from the Revenue Sharing Trust Fund for Municipalities and |
100 | the former Municipal Financial Assistance Trust Fund in state |
101 | fiscal year 1999-2000. If the total proceeds to be distributed |
102 | are less than the amount received in combination from the |
103 | Revenue Sharing Trust Fund for Municipalities and the former |
104 | Municipal Financial Assistance Trust Fund in state fiscal year |
105 | 1999-2000, each municipality shall receive an amount |
106 | proportionate to the amount it was due in state fiscal year |
107 | 1999-2000. |
108 | 7. Of the remaining proceeds: |
109 | a. In each fiscal year, the sum of $29,915,500 shall be |
110 | divided into as many equal parts as there are counties in the |
111 | state, and one part shall be distributed to each county. The |
112 | distribution among the several counties shall begin each fiscal |
113 | year on or before January 5th and shall continue monthly for a |
114 | total of 4 months. If a local or special law required that any |
115 | moneys accruing to a county in fiscal year 1999-2000 under the |
116 | then-existing provisions of s. 550.135 be paid directly to the |
117 | district school board, special district, or a municipal |
118 | government, such payment shall continue until such time that the |
119 | local or special law is amended or repealed. The state covenants |
120 | with holders of bonds or other instruments of indebtedness |
121 | issued by local governments, special districts, or district |
122 | school boards prior to July 1, 2000, that it is not the intent |
123 | of this subparagraph to adversely affect the rights of those |
124 | holders or relieve local governments, special districts, or |
125 | district school boards of the duty to meet their obligations as |
126 | a result of previous pledges or assignments or trusts entered |
127 | into which obligated funds received from the distribution to |
128 | county governments under then-existing s. 550.135. This |
129 | distribution specifically is in lieu of funds distributed under |
130 | s. 550.135 prior to July 1, 2000. |
131 | b. The department shall distribute $166,667 monthly |
132 | pursuant to s. 288.1162 to each applicant that has been |
133 | certified as a "facility for a new professional sports |
134 | franchise" or a "facility for a retained professional sports |
135 | franchise" pursuant to s. 288.1162. Up to $41,667 shall be |
136 | distributed monthly by the department to each applicant that has |
137 | been certified as a "facility for a retained spring training |
138 | franchise" pursuant to s. 288.1162; however, not more than |
139 | $416,670 may be distributed monthly in the aggregate to all |
140 | certified facilities for a retained spring training franchise. |
141 | Distributions shall begin 60 days following such certification |
142 | and shall continue for not more than 30 years. Nothing contained |
143 | in this paragraph shall be construed to allow an applicant |
144 | certified pursuant to s. 288.1162 to receive more in |
145 | distributions than actually expended by the applicant for the |
146 | public purposes provided for in s. 288.1162(6). |
147 | c. Beginning 30 days after notice by the Office of |
148 | Tourism, Trade, and Economic Development to the Department of |
149 | Revenue that an applicant has been certified as the professional |
150 | golf hall of fame pursuant to s. 288.1168 and is open to the |
151 | public, $166,667 shall be distributed monthly, for up to 300 |
152 | months, to the applicant. |
153 | d. Beginning 30 days after notice by the Office of |
154 | Tourism, Trade, and Economic Development to the Department of |
155 | Revenue that the applicant has been certified as the |
156 | International Game Fish Association World Center facility |
157 | pursuant to s. 288.1169, and the facility is open to the public, |
158 | $83,333 shall be distributed monthly, for up to 168 months, to |
159 | the applicant. This distribution is subject to reduction |
160 | pursuant to s. 288.1169. A lump sum payment of $999,996 shall be |
161 | made, after certification and before July 1, 2000. |
162 | e. Beginning 30 days after notice by the Office of |
163 | Tourism, Trade, and Economic Development to the Department of |
164 | Revenue that an applicant has been certified as a motorsports |
165 | entertainment complex pursuant to s. 288.11695 and is open to |
166 | the public, an amount not to exceed $166,667 shall be |
167 | distributed monthly to the applicant. However, each state fiscal |
168 | year's total distribution made pursuant to this sub-subparagraph |
169 | shall not exceed the difference between the state sales taxes |
170 | collected and remitted pursuant to this chapter by the certified |
171 | applicant in the previous calendar year and state sales taxes |
172 | collected and remitted pursuant to this chapter by the certified |
173 | applicant in calendar year 2000. Distributions shall continue |
174 | for 30 years. |
175 | 8. All other proceeds shall remain with the General |
176 | Revenue Fund. |
177 | Section 2. Section 288.11695, Florida Statutes, is created |
178 | to read: |
179 | 288.11695 Motorsports entertainment complex; definitions; |
180 | certification; duties.-- |
181 | (1) As used in this section: |
182 | (a) "Applicant" means the owner of a motorsports |
183 | entertainment complex. |
184 | (b) "Motorsports entertainment complex" means a closed- |
185 | course racing facility, with ancillary grounds and facilities, |
186 | which: |
187 | 1. Has not fewer than 65,000 permanent seats for race |
188 | patrons. |
189 | 2. Has not fewer than 7 scheduled days of motorsports |
190 | events each calendar year. |
191 | 3. Has paid admissions of at least 125,000 annually. |
192 | 4. Serves food at the facility during sanctioned |
193 | motorsports events. |
194 | 5. Engages in tourism promotion. |
195 | (c) "Motorsports event" means a motorsports race and its |
196 | ancillary activities which have been sanctioned by a sanctioning |
197 | body. |
198 | (d) "Office" means the Office of Tourism, Trade, and |
199 | Economic Development of the Executive Office of the Governor. |
200 | (e) "Owner" means a unit of local government that owns a |
201 | motorsports entertainment complex or owns the land on which the |
202 | motorsports entertainment complex is located. |
203 | (f) "Sanctioning body" means the American Motorcyclist |
204 | Association (AMA), Championship Auto Racing Teams (CART), Grand |
205 | American Road Racing Association (Grand-Am), Indy Racing League |
206 | (IRL), National Association for Stock Car Auto Racing (NASCAR), |
207 | National Hot Rod Association (NHRA), Professional Sports Car |
208 | Racing (PSCR), Sports Car Club of America (SCCA), United States |
209 | Auto Club (USAC), any successor organization, or any other |
210 | nationally recognized governing body of motorsports that |
211 | establishes an annual schedule of motorsports events and grants |
212 | rights to conduct such events, has established and administers |
213 | rules and regulations governing all participants involved in |
214 | such events and all persons conducting such events, and requires |
215 | certain liability assurances, including insurance. |
216 | (g) "Unit of local government" has the same meaning as |
217 | provided in s. 218.369. |
218 | (2) The office shall serve as the state agency for |
219 | screening applicants for state funding pursuant to s. 212.20 and |
220 | for certifying an applicant as a motorsports entertainment |
221 | complex. The office shall develop and adopt rules for the |
222 | receipt and processing of applications for funding pursuant to |
223 | s. 212.20. The office shall make a determination regarding any |
224 | application filed by an applicant not later than 120 days after |
225 | the application is filed. |
226 | (3) Prior to certifying an applicant as a motorsports |
227 | entertainment complex, the office must determine that: |
228 | (a) A unit of local government holds title to the land on |
229 | which the motorsports entertainment complex is located or holds |
230 | title to the motorsports entertainment complex. |
231 | (b) Seven scheduled days of motorsports events were held |
232 | at the motorsports entertainment complex in the most recently |
233 | completed calendar year or 7 scheduled days of motorsports |
234 | events are scheduled to be held at the motorsports entertainment |
235 | complex in the calendar year that begins after the submission of |
236 | the application. The applicant shall submit certifications from |
237 | the appropriate officials of the relevant sanctioning bodies |
238 | that such sanctioned motorsports events were or will be held at |
239 | the motorsports entertainment complex. |
240 | (c) The applicant can provide a certification by a |
241 | nationally recognized, independent certified public accounting |
242 | firm that the motorsports entertainment complex will attract, or |
243 | in the most recently completed calendar year has attracted, paid |
244 | attendance of at least 125,000 annually. |
245 | (d) The applicant can provide a certification by a |
246 | nationally recognized, independent certified public accounting |
247 | firm that the amount of the revenues generated by the taxes |
248 | imposed under chapter 212 with respect to the use and operation |
249 | of the motorsports entertainment complex will equal or exceed $1 |
250 | million annually. |
251 | (e) The municipality in which the motorsports |
252 | entertainment complex is located, or the county if the |
253 | motorsports entertainment complex is located in an |
254 | unincorporated area, has certified by resolution after a public |
255 | hearing that the application serves a public purpose. |
256 | (f) The motorsports entertainment complex is located in a |
257 | county as defined in s. 125.011(1). |
258 | (4) Upon determining that an applicant meets the |
259 | requirements of subsection (3), the office shall certify the |
260 | applicant as a motorsports entertainment complex and shall |
261 | notify the applicant and the executive director of the |
262 | Department of Revenue of such certification by means of an |
263 | official letter granting certification. If the applicant fails |
264 | to meet the certification requirements of subsection (3), the |
265 | office shall notify the applicant not later than 10 days |
266 | following such determination. |
267 | (5) No motorsports entertainment complex that has been |
268 | previously certified under this section and has received funding |
269 | under such certification shall be eligible for any additional |
270 | certification. |
271 | (6) An applicant certified as a motorsports entertainment |
272 | complex may use funds provided pursuant to s. 212.20 only for |
273 | the following public purposes: |
274 | (a) Paying for the construction, reconstruction, |
275 | expansion, or renovation of a motorsports entertainment complex. |
276 | (b) Paying debt service reserve funds, arbitrage rebate |
277 | obligations, or other amounts payable with respect to bonds |
278 | issued for the construction, reconstruction, expansion, or |
279 | renovation of the motorsports entertainment complex or for the |
280 | reimbursement of such costs or the refinancing of bonds issued |
281 | for such purposes. |
282 | (c) Paying for construction, reconstruction, expansion, or |
283 | renovation of transportation or other infrastructure |
284 | improvements related to, necessary for, or appurtenant to the |
285 | motorsports entertainment complex, including, without |
286 | limitation, paying debt service reserve funds, arbitrage rebate |
287 | obligations, or other amounts payable with respect to bonds |
288 | issued for the construction, reconstruction, expansion, or |
289 | renovation of such transportation or other infrastructure |
290 | improvements and for the reimbursement of such costs or the |
291 | refinancing of bonds issued for such purposes. |
292 | (d) Paying for programs of advertising and promotion of or |
293 | related to the motorsports entertainment complex or the |
294 | municipality in which the motorsports entertainment complex is |
295 | located, or the county if the motorsports entertainment complex |
296 | is located in an unincorporated area, provided such programs of |
297 | advertising and promotion are designed to increase paid |
298 | attendance at the motorsports entertainment complex or increase |
299 | tourism in or promote the economic development of the community |
300 | in which the motorsports entertainment complex is located. |
301 | (7) The Department of Revenue may audit, as provided in s. |
302 | 213.34, to verify that the distributions pursuant to this |
303 | section have been expended as required in this section. All |
304 | other provisions of chapter 213 shall apply to such audits. If |
305 | the Department of Revenue determines that the distributions |
306 | pursuant to certification under this section have not been |
307 | expended as required by this section, the department may pursue |
308 | recovery of such funds pursuant to the laws and rules governing |
309 | the assessment of taxes. |
310 | Section 3. This act shall take effect July 1, 2008. |