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A bill to be entitled

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An act relating to slot machine revenues; amending s.

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551.106, F.S.; revising the tax rate on slot machine

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revenues at pari-mutuel facilities; requiring certain

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licensees to pay a pro rata share of the shortfall in

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taxes paid on slot machine tax revenues under certain

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conditions; providing a percentage cap on the payment of

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taxes on slot machine revenues; providing for the

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expiration of the revised tax rate; providing a tax rate

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on certain Class III gaming on Indian reservations if

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certain circumstances are met; providing a tax rate on

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video lottery terminals, electronic gaming, Class II or

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Class III gaming at pari-mutual facilities if authorized

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by the state; revising the dates for remitting payment of

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slot machine tax revenues; amending s. 551.116, F.S.;

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providing hours of operation for sales of alcoholic

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beverages in slot machine gaming areas; 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.  Subsections (2) and (3) of section 551.106,

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Florida Statutes, are amended to read:

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     551.106  License fee; tax rate; penalties.--

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     (2)  TAX ON SLOT MACHINE REVENUES.--

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     (a)  The tax rate on slot machine revenues at each facility

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shall be 35 50 percent.

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     (b) Beginning July 1, 2008, if the slot machine tax

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revenues under paragraph (a) from a facility which operated for

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any portion of the 2007-2008 state fiscal year does not meet or

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exceed that facility's estimated tax remittance for the 2008-2009

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fiscal year, as determined by reference to the February 2008

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Revenue Estimating Conference's estimate of tax remittances for

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each such licensee for the 2008-2009 fiscal year, and the total

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remittances for all such licensees falls short of a cumulative

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amount of $122.9 million from the slot machine licensees in each

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state fiscal year, an additional amount shall be paid by each

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slot machine licensee that conducted slot machine gaming in such

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year which is sufficient to make the total tax under paragraph

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(a) and this paragraph equal to that facility's estimated tax

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remittance for the 2008-2009 fiscal year. The additional amount

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to be paid by any licensee shall be offset in the amount by which

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any other licensee's remittance for that state fiscal year is in

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excess of its estimated remittance amount for that state fiscal

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year. If more than one licensee has a shortfall and any licensee

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has an excess, such excess amount shall be shared proportionally

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among those licensees having a shortfall based upon each such

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licensee's pro rata share of the total shortfall in taxes paid on

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slot machine revenues in such year pursuant to paragraph (a).

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However, a licensee is not required to pay taxes due for a state

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fiscal year under paragraph (a) or this paragraph in an amount

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greater than 50 percent of its slot machine revenues.

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     (c) Beginning July 1, 2008, each slot machine licensee

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other than those licensees that are subject to paragraph (b)

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shall pay a tax on slot machine revenues equal to the greater of

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35 percent of slot machine revenues or $41 million in cumulative

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slot machine tax revenue in each state fiscal year. For licensees

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operating less than an entire fiscal year, the $41-million amount

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shall be prorated based on the number of days of operation.

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However, a licensee is not required to pay taxes due for a state

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fiscal year under paragraph (a) and this paragraph in an amount

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greater than 50 percent of its slot machine revenues.

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     (d) Paragraphs (b) and (c) expire July 1, 2012.

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     (e)1.a. If the tribal-state compact between the Seminole

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Tribe of Florida and the State of Florida which authorizes Class

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III gaming is upheld by the Supreme Court of Florida in the case

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of Florida House of Representatives, et al. v. Hon. Charles J.

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Crist, Jr., etc., Case No. SC07-2154 in a final judgment on the

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validity of the tribal-state compact or is ratified by the

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Legislature, and the Class III gaming, other than slot machine

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gaming, is conducted under the provisions of the valid tribal-

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state compact in Broward County or Miami-Dade County on any

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Indian reservation, the tax rate under this section shall be 35

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percent, notwithstanding paragraphs (b) and (c).

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     b. If there is no valid tribal-state compact and if during

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any state fiscal year Class III gaming, other than slot machine

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gaming, is conducted by any Indian tribe in Broward County or

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Miami-Dade County on any Indian reservation, for 6 months or more

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during the same state fiscal year, then the tax rate under this

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section shall be 35 percent during the same state fiscal year and

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the provisions of paragraphs (b) and (c) shall not apply.

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     2. If the state authorizes video lottery terminals,

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electronic gaming, or Class II or Class III gaming, as defined by

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the Indian Gaming and Regulatory Act, at pari-mutuel facilities

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in any county in this state, the tax rate shall be the lesser of

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35 percent or the tax rate established for such pari-mutuel

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facilities, notwithstanding paragraphs (b) and (c).

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     (f)(b) The slot machine revenue tax imposed by this section

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shall be paid to the division for deposit into the Pari-mutuel

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Wagering Trust Fund for immediate transfer by the Chief Financial

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Officer for deposit into the Educational Enhancement Trust Fund

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of the Department of Education. Any interest earnings on the tax

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revenues shall also be transferred to the Educational Enhancement

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Trust Fund.

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     (g)(c)1. Funds transferred to the Educational Enhancement

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Trust Fund under paragraph (f) (b) shall be used to supplement

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public education funding statewide.

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     2.  If necessary to comply with any covenant established

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pursuant to s. 1013.68(4), s. 1013.70(1), or s. 1013.737(3),

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funds transferred to the Educational Enhancement Trust Fund under

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paragraph (f) (b) shall first be available to pay debt service on

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lottery bonds issued to fund school construction in the event

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lottery revenues are insufficient for such purpose or to satisfy

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debt service reserve requirements established in connection with

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lottery bonds. Moneys available pursuant to this subparagraph are

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subject to annual appropriation by the Legislature.

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     (3)  PAYMENT AND DISPOSITION OF TAXES.--

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     (a) Payment for the tax on slot machine revenues imposed by

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this section shall be paid to the division. The division shall

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deposit these sums with the Chief Financial Officer, to the

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credit of the Pari-mutuel Wagering Trust Fund. The slot machine

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licensee shall remit to the division payment for the tax on slot

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machine revenues. Such payments shall be remitted by 3 p.m. on

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the 5th day of each calendar month Wednesday of each week for

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taxes imposed and collected for the preceding calendar month week

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ending on Sunday. If the 5th day of the calendar month falls on a

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weekend or a state holiday, payments shall be remitted by 3 p.m.

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on the first Monday following the weekend or on the first Tuesday

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if the first Monday is a state holiday

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     (b) Each licensee shall pay any amounts due as provided in

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paragraph (2)(b) or paragraph (2)(c) on or before July 31

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immediately following the end of the fiscal year.

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     (c) The slot machine licensee shall file a report under

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oath by the 5th day of each calendar month for all taxes remitted

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during the preceding calendar month. Such payments shall be

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accompanied by a report under oath showing all slot machine

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gaming activities for the preceding calendar month and such other

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information as may be prescribed by the division.

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     Section 2.  Section 551.116, Florida Statutes, is amended to

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read:

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     551.116  Days and hours of operation.--Slot machine gaming

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areas may be open daily throughout the year. The slot machine

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gaming areas, including sales of alcoholic beverages, may be open

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a cumulative amount of 18 hours per day on Monday through Friday

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and 24 hours per day on Saturday and Sunday and on those holidays

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specified in s. 110.117(1), and such hours of operation are not

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subject to other regulation.

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     Section 3.  This act shall take effect upon becoming a law.