Florida Senate - 2009 SB 2308 By Senator Gelber 35-01845A-09 20092308__ 1 A bill to be entitled 2 An act relating to performing arts center funding; 3 amending s. 212.20, F.S.; revising the authority of 4 the Department of Revenue to distribute certain tax 5 proceeds to include distributions to performing arts 6 centers; creating s. 288.163, F.S.; designating the 7 Office of Tourism, Trade, and Economic Development as 8 the state agency for screening applicants for 9 performing arts center funding; providing a 10 definition; requiring the office to adopt funding 11 application rules; specifying certification duties of 12 the office; specifying uses of certain funds; 13 requiring the office to notify the department of 14 certifications; authorizing the department to conduct 15 audits to verify expenditures; authorizing the 16 department to recover certain funds under certain 17 circumstances; providing an effective date. 18 19 Be It Enacted by the Legislature of the State of Florida: 20 21 Section 1. Paragraph (d) of subsection (6) of section 22 212.20, Florida Statutes, is amended to read: 23 212.20 Funds collected, disposition; additional powers of 24 department; operational expense; refund of taxes adjudicated 25 unconstitutionally collected.— 26 (6) Distribution of all proceeds under this chapter and s. 27 202.18(1)(b) and (2)(b) shall be as follows: 28 (d) The proceeds of all other taxes and fees imposed 29 pursuant to this chapter or remitted pursuant to s. 202.18(1)(b) 30 and (2)(b) shall be distributed as follows: 31 1. In any fiscal year, the greater of $500 million, minus 32 an amount equal to 4.6 percent of the proceeds of the taxes 33 collected pursuant to chapter 201, or 5 percent of all other 34 taxes and fees imposed pursuant to this chapter or remitted 35 pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in 36 monthly installments into the General Revenue Fund. 37 2. Two-tenths of one percent shall be transferred to the 38 Ecosystem Management and Restoration Trust Fund to be used for 39 water quality improvement and water restoration projects. 40 3. After the distribution under subparagraphs 1. and 2., 41 8.814 percent of the amount remitted by a sales tax dealer 42 located within a participating county pursuant to s. 218.61 43 shall be transferred into the Local Government Half-cent Sales 44 Tax Clearing Trust Fund. Beginning July 1, 2003, the amount to 45 be transferred pursuant to this subparagraph to the Local 46 Government Half-cent Sales Tax Clearing Trust Fund shall be 47 reduced by 0.1 percent, and the department shall distribute this 48 amount to the Public Employees Relations Commission Trust Fund 49 less $5,000 each month, which shall be added to the amount 50 calculated in subparagraph 4. and distributed accordingly. 51 4. After the distribution under subparagraphs 1., 2., and 52 3., 0.095 percent shall be transferred to the Local Government 53 Half-cent Sales Tax Clearing Trust Fund and distributed pursuant 54 to s. 218.65. 55 5. After the distributions under subparagraphs 1., 2., 3., 56 and 4., 2.0440 percent of the available proceeds pursuant to 57 this paragraph shall be transferred monthly to the Revenue 58 Sharing Trust Fund for Counties pursuant to s. 218.215. 59 6. After the distributions under subparagraphs 1., 2., 3., 60 and 4., 1.3409 percent of the available proceeds pursuant to 61 this paragraph shall be transferred monthly to the Revenue 62 Sharing Trust Fund for Municipalities pursuant to s. 218.215. If 63 the total revenue to be distributed pursuant to this 64 subparagraph is at least as great as the amount due from the 65 Revenue Sharing Trust Fund for Municipalities and the former 66 Municipal Financial Assistance Trust Fund in state fiscal year 67 1999-2000, no municipality shall receive less than the amount 68 due from the Revenue Sharing Trust Fund for Municipalities and 69 the former Municipal Financial Assistance Trust Fund in state 70 fiscal year 1999-2000. If the total proceeds to be distributed 71 are less than the amount received in combination from the 72 Revenue Sharing Trust Fund for Municipalities and the former 73 Municipal Financial Assistance Trust Fund in state fiscal year 74 1999-2000, each municipality shall receive an amount 75 proportionate to the amount it was due in state fiscal year 76 1999-2000. 77 7. Of the remaining proceeds: 78 a. In each fiscal year, the sum of $29,915,500 shall be 79 divided into as many equal parts as there are counties in the 80 state, and one part shall be distributed to each county. The 81 distribution among the several counties shall begin each fiscal 82 year on or before January 5th and shall continue monthly for a 83 total of 4 months. If a local or special law required that any 84 moneys accruing to a county in fiscal year 1999-2000 under the 85 then-existing provisions of s. 550.135 be paid directly to the 86 district school board, special district, or a municipal 87 government, such payment shall continue until such time that the 88 local or special law is amended or repealed. The state covenants 89 with holders of bonds or other instruments of indebtedness 90 issued by local governments, special districts, or district 91 school boards prior to July 1, 2000, that it is not the intent 92 of this subparagraph to adversely affect the rights of those 93 holders or relieve local governments, special districts, or 94 district school boards of the duty to meet their obligations as 95 a result of previous pledges or assignments or trusts entered 96 into which obligated funds received from the distribution to 97 county governments under then-existing s. 550.135. This 98 distribution specifically is in lieu of funds distributed under 99 s. 550.135 prior to July 1, 2000. 100 b.(I) The department shall distribute $166,667 monthly 101 pursuant to s. 288.1162 to each applicant that has been 102 certified as a “facility for a new professional sports 103 franchise” or a “facility for a retained professional sports 104 franchise” pursuant to s. 288.1162. Up to $41,667 shall be 105 distributed monthly by the department to each applicant that has 106 been certified as a “facility for a retained spring training 107 franchise” pursuant to s. 288.1162; however, not more than 108 $416,670 may be distributed monthly in the aggregate to all 109 certified facilities for a retained spring training franchise. 110 Distributions shall begin 60 days following such certification 111 and shall continue for not more than 30 years. Nothing contained 112 in this paragraph shall be construed to allow an applicant 113 certified pursuant to s. 288.1162 to receive more in 114 distributions than actually expended by the applicant for the 115 public purposes provided for in s. 288.1162(6); or 116 (II) The department shall distribute $166,667 monthly 117 pursuant to s. 288.163 to each applicant that has been certified 118 as a performing arts center pursuant to s. 288.1163. 119 Distributions shall begin 60 days after such certification and 120 shall continue for not more than 30 years. Nothing contained in 121 this paragraph shall be construed to allow an applicant 122 certified pursuant to s. 288.163 to receive more in 123 distributions than actually expended by the applicant for the 124 public purposes provided for in s. 288.163(5). 125 c. Beginning 30 days after notice by the Office of Tourism, 126 Trade, and Economic Development to the Department of Revenue 127 that an applicant has been certified as the professional golf 128 hall of fame pursuant to s. 288.1168 and is open to the public, 129 $166,667 shall be distributed monthly, for up to 300 months, to 130 the applicant. 131 d. Beginning 30 days after notice by the Office of Tourism, 132 Trade, and Economic Development to the Department of Revenue 133 that the applicant has been certified as the International Game 134 Fish Association World Center facility pursuant to s. 288.1169, 135 and the facility is open to the public, $83,333 shall be 136 distributed monthly, for up to 168 months, to the applicant. 137 This distribution is subject to reduction pursuant to s. 138 288.1169. A lump sum payment of $999,996 shall be made, after 139 certification and before July 1, 2000. 140 8. All other proceeds shall remain with the General Revenue 141 Fund. 142 Section 2. Section 288.163, Florida Statutes, is created to 143 read: 144 288.163 Performing arts centers, certification; duties.— 145 (1) The Office of Tourism, Trade, and Economic Development 146 shall serve as the state agency for screening applicants for 147 state funding pursuant to s. 212.20(6)(d)7.b.(II) and for 148 certifying an applicant as a performing arts center that is 149 eligible for funding pursuant to s. 212.20(6)(d)7.b.(II). 150 (2) As used in this section, the term “performing arts 151 center” means a facility where live theater, live opera, live 152 ballet, or other live cultural events are held that is publicly 153 owned and operated or owned and operated by a not-for-profit 154 organization and open to the public, within the boundaries of 155 such municipality or county. 156 (3) The Office of Tourism, Trade, and Economic Development 157 shall adopt rules for the receipt and processing of applications 158 for funding pursuant to s. 212.20(6)(d)7.b.(II). 159 (4) Before certifying an applicant as a performing arts 160 center eligible for funding pursuant to s. 212.20(6)(d)7.b.(II), 161 the Office of Tourism, Trade, and Economic Development must: 162 (a) Determine that a unit of local government or a not-for 163 profit organization is responsible for the construction, 164 maintenance, or operation of the performing arts center or holds 165 title to or a leasehold interest in the property on which the 166 performing arts center is located and the applicant is or will 167 be the owner, tenant, or operator of the performing arts center. 168 (b) Determine that the applicant has projections, verified 169 by the Office of Tourism, Trade, and Economic Development, that 170 demonstrate that the performing arts center will attract a paid 171 attendance of more than 150,000 annually. 172 (c) Determine that the applicant has an independent 173 analysis or study, verified by the Office of Tourism, Trade, and 174 Economic Development, which demonstrates that the amount of the 175 revenues generated by the taxes imposed under chapter 212 with 176 respect to the use and operation of the performing arts center 177 will equal or exceed $2 million annually. 178 (d) Determine that the municipality or county in which the 179 performing arts center is located has certified by resolution 180 after a public hearing that the application serves a public 181 purpose. 182 (5) An applicant certified as a performing arts center and 183 certified for funding pursuant to s. 212.20(6)(d)7.b.(II) may 184 use funds provided pursuant to that sub-sub-subparagraph only 185 for the public purpose of: 186 (a) Paying for the acquisition, construction, 187 reconstruction, renovation, capital improvement, or maintenance 188 of the performing arts center or any ancillary facilities, such 189 as parking structures, meeting rooms, and retail and concession 190 space. 191 (b) Paying or pledging for the payment of debt service on, 192 or funding debt service reserve funds, arbitrage rebate 193 obligations, or other amounts payable with respect to, bonds or 194 other indebtedness issued for the acquisition, construction, 195 reconstruction, renovation, or capital improvement of the 196 facility for a performing arts center or ancillary facilities. 197 (c) Reimbursing costs for the refinance of bonds or other 198 indebtedness, including the payment of any interest and 199 prepayment premium or penalty thereon, issued for the 200 acquisition, construction, reconstruction, renovation, or 201 capital improvement of the performing arts center or ancillary 202 facilities. 203 (6) The Office of Tourism, Trade, and Economic Development 204 shall notify the Department of Revenue of any facility certified 205 as a performing arts center that is eligible for funding 206 pursuant to s. 212.20(6)(d)7.b.(II). 207 (7) The Department of Revenue may conduct audits as 208 provided in s. 213.34 to verify that the distributions made 209 under this section have been expended as required in this 210 section. If the department determines that the distributions 211 made under this section have not been expended as required by 212 this section, it may pursue recovery of the funds under the laws 213 and rules governing the assessment of taxes. 214 Section 3. This act shall take effect July 1, 2009.