CS/CS/HB 485

1	A bill to be entitled
2	An act relating to fast track economic stimulus for small
3	businesses; amending s. 213.053, F.S.; authorizing the
4	Department of Revenue to share certain confidential
5	taxpayer information with the Office of Tourism, Trade,
6	and Economic Development; preserving certain
7	confidentiality of such information; amending s. 220.02,
8	F.S.; revising legislative intent with respect to the
9	order of tax credits to include the New Markets
10	Development Program tax credit; amending s. 220.13, F.S.;
11	revising a definition; creating ss. 288.991-288.9922,
12	F.S.; providing a short title; establishing the New
13	Markets Development Program; providing a purpose;
14	providing definitions; providing for a tax credit for
15	making certain qualified equity investments; specifying a
16	credit amount; providing for uses of the credit;
17	prohibiting sale or transfer of such credits; authorizing
18	allocation of the credit; specifying limitations on such
19	credits; specifying application and certification
20	requirements and procedures for the Office of Tourism,
21	Trade, and Economic Development to qualify certain equity
22	investments as eligible for tax credits; providing for
23	application fees; providing duties and responsibilities of
24	the Department of Revenue; limiting the amount of
25	investments the office may certify; providing requirements
26	and limitations on issuance of certified equity
27	investments; providing for calculation of tax credits;
28	limiting the amount of the tax credit that may be redeemed
29	in a fiscal year; providing for carryover of unredeemed
30	tax credits under certain circumstances; providing for
31	redemption of tax credits; specifying how tax credits may
32	be claimed by insurance companies; requiring the
33	calculations to be certified and accompanied by audited
34	financial statements and notarized affidavits; providing
35	requirements for recapture of tax credits under certain
36	circumstances; requiring notice of proposed recapture;
37	providing requirements for compliance and audits of
38	qualified equity investments; providing annual reporting
39	requirements for certain community development entities;
40	providing annual reporting requirements for the office;
41	authorizing the office to conduct certain examinations;
42	authorizing the office to revoke or modify tax credit
43	authorizations under certain circumstances; providing for
44	taxpayer liability for reimbursement of fraudulently
45	claimed tax credits; providing penalties; authorizing the
46	office and the department to adopt rules; providing for
47	future repeal of the tax credit program; providing an
48	effective date.
49
50	Be It Enacted by the Legislature of the State of Florida:
51
52	Section 1.  Subsection (19) is added to section 213.053,
53	Florida Statutes, to read:
54	213.053  Confidentiality and information sharing.--
55	(19)  The department may disclose information relative to
56	tax credits taken by a taxpayer pursuant to s. 288.9916 to the
57	Office of Tourism, Trade, and Economic Development or its
58	employees or agents. Such employees must be identified in
59	writing by the office to the department. All information
60	disclosed under this subsection is subject to the same
61	requirements of confidentiality and the same penalties for
62	violation of the requirements as the department.
63	Section 2.  Subsection (8) of section 220.02, Florida
64	Statutes, is amended to read:
65	220.02  Legislative intent.--
66	(8)  It is the intent of the Legislature that credits
67	against either the corporate income tax or the franchise tax be
68	applied in the following order: those enumerated in s. 631.828,
69	those enumerated in s. 220.191, those enumerated in s. 220.181,
70	those enumerated in s. 220.183, those enumerated in s. 220.182,
71	those enumerated in s. 220.1895, those enumerated in s. 221.02,
72	those enumerated in s. 220.184, those enumerated in s. 220.186,
73	those enumerated in s. 220.1845, those enumerated in s. 220.19,
74	those enumerated in s. 220.185, those enumerated in s. 220.187,
75	those enumerated in s. 220.192, and those enumerated in s.
76	220.193, and those enumerated in s. 288.9916.
77	Section 3.  Paragraph (a) of subsection (1) of section
78	220.13, Florida Statutes, is amended to read:
79	220.13  "Adjusted federal income" defined.--
80	(1)  The term "adjusted federal income" means an amount
81	equal to the taxpayer's taxable income as defined in subsection
82	(2), or such taxable income of more than one taxpayer as
83	provided in s. 220.131, for the taxable year, adjusted as
84	follows:
85	(a)  Additions.--There shall be added to such taxable
86	income:
87	1.  The amount of any tax upon or measured by income,
88	excluding taxes based on gross receipts or revenues, paid or
89	accrued as a liability to the District of Columbia or any state
90	of the United States which is deductible from gross income in
91	the computation of taxable income for the taxable year.
92	2.  The amount of interest which is excluded from taxable
93	income under s. 103(a) of the Internal Revenue Code or any other
94	federal law, less the associated expenses disallowed in the
95	computation of taxable income under s. 265 of the Internal
96	Revenue Code or any other law, excluding 60 percent of any
97	amounts included in alternative minimum taxable income, as
98	defined in s. 55(b)(2) of the Internal Revenue Code, if the
99	taxpayer pays tax under s. 220.11(3).
100	3.  In the case of a regulated investment company or real
101	estate investment trust, an amount equal to the excess of the
102	net long-term capital gain for the taxable year over the amount
103	of the capital gain dividends attributable to the taxable year.
104	4.  That portion of the wages or salaries paid or incurred
105	for the taxable year which is equal to the amount of the credit
106	allowable for the taxable year under s. 220.181. This
107	subparagraph shall expire on the date specified in s. 290.016
108	for the expiration of the Florida Enterprise Zone Act.
109	5.  That portion of the ad valorem school taxes paid or
110	incurred for the taxable year which is equal to the amount of
111	the credit allowable for the taxable year under s. 220.182. This
112	subparagraph shall expire on the date specified in s. 290.016
113	for the expiration of the Florida Enterprise Zone Act.
114	6.  The amount of emergency excise tax paid or accrued as a
115	liability to this state under chapter 221 which tax is
116	deductible from gross income in the computation of taxable
117	income for the taxable year.
118	7.  That portion of assessments to fund a guaranty
119	association incurred for the taxable year which is equal to the
120	amount of the credit allowable for the taxable year.
121	8.  In the case of a nonprofit corporation which holds a
122	pari-mutuel permit and which is exempt from federal income tax
123	as a farmers' cooperative, an amount equal to the excess of the
124	gross income attributable to the pari-mutuel operations over the
125	attributable expenses for the taxable year.
126	9.  The amount taken as a credit for the taxable year under
127	s. 220.1895.
128	10.  Up to nine percent of the eligible basis of any
129	designated project which is equal to the credit allowable for
130	the taxable year under s. 220.185.
131	11.  The amount taken as a credit for the taxable year
132	under s. 220.187.
133	12.  The amount taken as a credit for the taxable year
134	under s. 220.192.
135	13.  The amount taken as a credit for the taxable year
136	under s. 220.193.
137	14.  Any amount in excess of $25,000 allowable as a
138	deduction for federal income tax purposes under s. 179 of the
139	Internal Revenue Code of 1986, as amended, for the taxable year.
140	15.  Any amount allowable as a deduction for federal income
141	tax purposes under s. 167 or s. 168 of the Internal Revenue Code
142	of 1986, as amended, for the taxable year to the extent that
143	such amount includes bonus depreciation allowable as deduction
144	under s. 168(k).
145	16.  Any portion of a qualified investment, as defined in
146	s. 288.9913, which is claimed as a deduction by the taxpayer and
147	taken as a credit against income tax pursuant to s. 288.9916.
148	Section 4.  Section 288.991, Florida Statutes, is created
149	to read:
150	288.991  Short title.--Sections 288.991-288.9922 may be
151	cited as the "New Markets Development Program Act."
152	Section 5.  Section 288.9912, Florida Statutes, is created
153	to read:
154	288.9912  New Markets Development Program; purpose.--The
155	New Markets Development Program is established to encourage
156	capital investment in rural and urban low-income communities by
157	allowing taxpayers to earn credits against specified taxes by
158	investing in qualified community development entities that make
159	qualified low-income community investments in qualified active
160	low-income community businesses to create and retain jobs.
161	Section 6.  Section 288.9913, Florida Statutes, is created
162	to read:
163	288.9913  Definitions.--As used in ss. 288.991-288.9922,
164	the term:
165	(1)  "Credit allowance date" means:
166	(a)  The date on which a qualified investment is made; and
167	(b)  Each of the six anniversaries of that date.
168	(2)  "Department" means the Department of Revenue.
169	(3)  "Long-term debt security" means a debt instrument
170	issued by a qualified community development entity at par value
171	or a premium which has a maturity date of at least 7 years
172	following the date of its issuance, with no acceleration of
173	repayment, amortization, or prepayment features prior to its
174	original maturity date, except in instances of default.
175	(4)  "Low-income community" means any population census
176	tract within the state where:
177	1.  The poverty rate of such tract is at least 20 percent;
178	or
179	2.  In the case of a tract that is:
180	a.  Not located within a metropolitan area, the median
181	family income for such tract does not exceed 80 percent of the
182	statewide median family income; or
183	b.  Located within a metropolitan area, the median family
184	income for such tract does not exceed 80 percent of the greater
185	of the statewide median family income or the metropolitan area
186	median income.
187	(5)  "Office" means the Office of Tourism, Trade, and
188	Economic Development.
189	(6)  "Purchase price" means the amount of cash paid to a
190	qualified community development entity in exchange for a
191	qualified investment.
192	(7)  "Qualified active low-income community business" means
193	a corporation, including a nonprofit corporation, or partnership
194	that:
195	(a)1.  Derives at least 50 percent of its total gross
196	income from the active conduct of business within any low-income
197	community for any taxable year;
198	2.  Uses a substantial portion of its tangible property,
199	whether owned or leased, within any low-income community for any
200	taxable year;
201	3.  Performs a substantial portion of its services through
202	its employees in a low-income community for any taxable year;
203	4.  Attributes less than 5 percent of the average of the
204	aggregate unadjusted bases of the property of the entity to
205	collectibles, as defined in 26 U.S.C. s. 408(m)(2), other than
206	collectibles that are held primarily for sale to customers in
207	the ordinary course of the business for any taxable year; and
208	5.  Attributes less than 5 percent of the average of the
209	aggregate unadjusted bases of the property of the entity to
210	nonqualified financial property, as defined in 26 U.S.C. s.
211	1397C(e), for any taxable year.
212	(b)  Is reasonably expected by a qualified community
213	development entity at the time of an investment to continue to
214	satisfy the requirements of paragraphs (a), (c), and (d) for the
215	duration of the investment.
216	(c)  Satisfies the requirements of paragraphs (a) and (b),
217	but does not:
218	1.  Derive or project to derive 15 percent or more of its
219	annual revenue from the rental or sale of real estate;
220	2.  Engage predominantly in the development or holding of
221	intangibles for sale or license;
222	3.  Operate a private or commercial golf course, country
223	club, massage parlor, hot tub facility, suntan facility,
224	racetrack, gambling facility, or a store the principal business
225	of which is the sale of alcoholic beverages for consumption off
226	premises; or
227	4.  Engage principally in farming and owns or leases assets
228	the sum of the aggregate unadjusted bases or the fair market
229	value of which exceeds $500,000.
230	(d)  Will create or retain jobs that pay an average wage of
231	at least 115 percent of the federal poverty income guidelines
232	for a family of four.
233	(8)  "Qualified community development entity" means an
234	entity that:
235	(a)1.  Is certified by the Secretary of the United States
236	Department of the Treasury as a qualified community development
237	entity under 26 U.S.C. s. 45D; and
238	2.  Has entered into, or is controlled by an entity that
239	has entered into, an allocation agreement with the Community
240	Development Financial Institutions Fund of the United States
241	Department of the Treasury with respect to tax credits under 26
242	U.S.C. s. 45D and is authorized to serve businesses in this
243	state under the agreement; or
244	(b)  Is Enterprise Florida, Inc., or an entity created by
245	Enterprise Florida, Inc.
246	(9)  "Qualified investment" means an equity investment in,
247	or a long-term debt security issued by, a qualified community
248	development entity that:
249	(a)  Is issued solely in exchange for cash; and
250	(b)  Is designated by the qualified community development
251	entity as a qualified investment under this paragraph and is
252	approved by the office as a qualified investment.
253	(10)  "Qualified low-income community investment" means a
254	capital or equity investment in, or loan to, any qualified
255	active low-income community business.
256	Section 7.  Section 288.9914, Florida Statutes, is created
257	to read:
258	288.9914  Certification of qualified investments;
259	investment issuance reporting.--
260	(1)  ELIGIBLE INDUSTRIES.--
261	(a)  The office, in consultation with Enterprise Florida,
262	Inc., shall designate industries using the North American
263	Industry Classification System which are eligible to receive
264	low-income community investments. The designated industries must
265	be those industries that have the greatest potential to create
266	strong positive impacts on or benefits to the state, regional,
267	and local economies.
268	(b)  A qualified community development entity may not make
269	a qualified low-income community investment in a business unless
270	the principal activities of the business are within an eligible
271	industry. The office may waive this limitation if the office
272	determines that the investment will have a positive impact on a
273	community.
274	(2)  APPLICATION.--A qualified community development entity
275	must submit an application to the office to approve a proposed
276	investment as a qualified investment. The application must
277	include:
278	(a)  The name, address, and tax identification number of
279	the qualified community development entity.
280	(b)  Proof of certification as a qualified community
281	development entity under 26 U.S.C. s. 45D.
282	(c)  A copy of an allocation agreement executed by the
283	entity, or its controlling entity, and the Community Development
284	Financial Institutions Fund, which authorizes the entity to
285	serve businesses in this state.
286	(d)  A verified statement by the chief executive officer of
287	the entity that the allocation agreement remains in effect.
288	(e)  A description of the proposed amount, structure, and
289	purchaser of an equity investment or long-term debt security.
290	(f)  The name and tax identification number of any person
291	authorized to claim a tax credit earned as a result of the
292	purchase of the proposed qualified investment.
293	(g)  A detailed explanation of the proposed use of the
294	proceeds from a proposed qualified investment.
295	(h)  A nonrefundable application fee of $1,000, payable to
296	the office.
297	(i)  A statement that the entity will invest only in the
298	industries designated by the office.
299	(j)  The entity's plans for the development of
300	relationships with community-based organizations, local
301	community development offices and organizations, and economic
302	development organizations. The entity must also explain steps it
303	has taken to implement its plans to develop these relationships.
304	(k)  A statement that the entity will not invest in a
305	qualified active low-income community business unless the
306	business will create or retain jobs that pay an average wage of
307	at least 115 percent of the federal poverty income guidelines
308	for a family of four.
309	(3)  REVIEW.--
310	(a)  The office shall review applications to approve an
311	investment as a qualified investment in the order received. The
312	office shall approve or deny an application within 30 days after
313	receipt.
314	(b)  If the office intends to deny the application, the
315	office shall inform the applicant of the basis of the proposed
316	denial. The applicant shall have 15 days after it receives the
317	notice of the intent to deny the application to submit a revised
318	application to the office. The office shall issue a final order
319	approving or denying the revised application within 30 days
320	after receipt.
321	(c)  The office may not approve a cumulative amount of
322	qualified investments that may result in the claim of more than
323	$97.5 million in tax credits during the existence of the program
324	or more than $20 million in tax credits in a single state fiscal
325	year. However, the potential for a taxpayer to carry forward an
326	unused tax credit may not be considered in calculating the
327	annual limit.
328	(4)  APPROVAL.--
329	(a)  The office shall provide a copy of the final order
330	approving an investment as a qualified investment to the
331	qualified community development entity and to the department.
332	The notice shall include the identity of the taxpayers who are
333	eligible to claim the tax credits and the amount that may be
334	claimed by each taxpayer.
335	(b)  The office shall approve an application for part of
336	the amount of the proposed investment if the amount of tax
337	credits available are insufficient.
338	(c)  If more than one application is found to comply with
339	subsection (3) on the same day and the amount of tax credits
340	available are insufficient for all of the applications, the tax
341	credits available to each applicant shall be in proportion to
342	the proposed purchase price to the total purchase price of all
343	of the proposed investments.
344	(5)  DURATION OF APPROVAL.--The qualified community
345	development entity must issue the qualified investment in
346	exchange for cash within 60 days after it receives the order
347	approving an investment as a qualified investment, otherwise the
348	order is void.
349	(6)  REPORT OF ISSUANCE OF A QUALIFIED INVESTMENT.--The
350	qualified community development entity must provide the office
351	with evidence of the receipt of the cash in exchange for the
352	qualified investment within 30 business days after receipt.
353	Section 8.  Section 288.9915, Florida Statutes, is created
354	to read:
355	288.9915  Use of proceeds from qualified investments;
356	recordkeeping.--
357	(1)  A qualified community development entity may not make
358	cash interest payments on a long-term debt security that is a
359	qualified investment in excess of the entity's operating income
360	for 6 years following the issuance of the security.
361	(2)  A qualified community development entity shall keep
362	detailed records showing the use of proceeds from qualified
363	investments to fund qualified low-income community investments.
364	(3)  A qualified active low-income community business,
365	including its affiliates, may not receive more than $10 million
366	in qualified low-income community investments under the New
367	Markets Development Program Act.
368	Section 9.  Section 288.9916, Florida Statutes, is created
369	to read:
370	288.9916  New markets tax credit.--
371	(1)  A person or entity that makes a qualified investment
372	earns a vested tax credit pursuant to the New Markets
373	Development Program Act against taxes under s. 220.11 or s.
374	624.509 equal to 39 percent of the purchase price of the
375	qualified investment. The holder of a qualified investment may
376	claim the tax credit as follows:
377	(a)  The holder may apply 7 percent of the purchase price
378	against its tax liability in the tax year containing the third
379	credit allowance date.
380	(b)  The holder may apply 8 percent of the purchase price
381	against its tax liability in the tax years containing the fourth
382	through seventh credit allowance dates.
383	(c)  A taxpayer may not claim a tax credit in excess of the
384	taxpayer's tax liability. If the credit granted pursuant to this
385	section is not fully used in any single year because of
386	insufficient tax liability on the part of the taxpayer, the
387	unused amount may be carried forward for a period not to exceed
388	5 years. The carryover credit may be used in a subsequent year
389	when the tax imposed for such year exceeds the credit for such
390	year, after applying the other credits and unused credit
391	carryovers in the order provided in s. 220.02(8). Carryover
392	credit amounts shall be treated as unused credits for purposes
393	of the transfer of unused credits pursuant to paragraph (2)(b).
394	(d)  An insurance company that is subject to the insurance
395	premium tax under s. 624.509 must apply the tax credit against
396	the insurance premium tax. An insurer that claims a credit
397	against premium tax liability earned by making a qualified
398	investment under this section is not required to pay any
399	additional retaliatory tax levied pursuant to s. 624.5091 as a
400	result of claiming the tax credit. If the credit granted
401	pursuant to this section is not fully used in any single year
402	because of insufficient tax liability on the part of the
403	taxpayer, the unused amount may be carried forward for a period
404	not to exceed 5 years. The carryover credit may be used in a
405	subsequent year when the tax imposed for such year exceeds the
406	credit for such year, after applying the other credits and
407	unused credit carryovers. Carryover credit amounts shall be
408	treated as unused credits for purposes of the transfer of unused
409	credits pursuant to paragraph (2)(b).
410	(2)  A tax credit earned under this section may not be sold
411	or transferred, except as provided in this subsection.
412	(a)  A partner, member, or shareholder of a partnership,
413	limited liability company, S-corporation, or other "pass-
414	through" entity may claim the tax credit pursuant to an
415	agreement among the partners, members, or shareholders. Any
416	change in the allocation of a tax credit under the agreement
417	must be reported to the office and to the department.
418	(b)  Eligibility to claim a tax credit transfers to
419	subsequent purchasers of a qualified investment. Such transfers
420	must be reported to the office and to the department along with
421	the identity, tax identification number, and tax credit amount
422	allocated to a taxpayer pursuant to paragraph (a). The notice of
423	transfer also must state whether unused tax credits are being
424	transferred and the amount of unused tax credits being
425	transferred.
426	Section 10.  Section 288.9917, Florida Statutes, is created
427	to read:
428	288.9917  Community development entity reporting after a
429	credit allowance date; certification of tax credit amount.--
430	(1)  A qualified community development entity that has
431	issued a qualified investment shall submit the following to the
432	office within 30 days after each credit allowance date:
433	(a)  A list of all qualified active low-income community
434	businesses in which a qualified low-income community investment
435	was made since the last credit allowance date. The list shall
436	also describe the type and amount of investment in each business
437	and the address of the principal location of each business. The
438	list must be verified by the chief executive officer of the
439	community development entity.
440	(b)  Bank records, wire transfer records, or similar
441	documents that provide evidence of the qualified low-income
442	community investments made since the last credit allowance date.
443	(c)  A verified statement by the chief financial or
444	accounting officer of the community development entity that no
445	redemption or principal repayment was made with respect to the
446	qualified investment since the previous credit allowance date.
447	(d)  Information relating to the recapture of the federal
448	new markets tax credit since the last credit allowance date.
449	(2)  The office shall certify in writing to the qualified
450	community development entity and to the department the amount of
451	the tax credit authorized for each taxpayer eligible to claim
452	the tax credit in the tax year containing the last credit
453	allowance date.
454	Section 11.  Section 288.9918, Florida Statutes, is created
455	to read:
456	288.9918  Annual reporting by a community development
457	entity.--A community development entity that has issued a
458	qualified investment shall submit an annual report to the office
459	by April 30 after the end of each year which includes a credit
460	allowance date. The report shall include:
461	(1)  The entity's annual financial statements for the
462	preceding tax year, audited by an independent certified public
463	accountant.
464	(2)  The identity of the types of industries, identified by
465	the North American Industry Classification System Code, in which
466	qualified low-income community investments were made.
467	(3)  The names of the counties in which the qualified
468	active low-income businesses are located which received
469	qualified low-income community investments.
470	(4)  The number of jobs created and retained by qualified
471	active low-income community businesses receiving qualified low-
472	income community investments, including verification that the
473	average wages paid meet or exceed 115 percent of the federal
474	poverty income guidelines for a family of four.
475	(5)  A description of the relationships that the entity has
476	established with community-based organizations and local
477	community development offices and organizations and a summary of
478	the outcomes resulting from those relationships.
479	(6)  Other information and documentation required by the
480	office to verify continued certification as a qualified
481	community development entity under 26 U.S.C. s. 45D.
482	Section 12.  Section 288.9919, Florida Statutes, is created
483	to read:
484	288.9919  Audits and examinations; penalties.--
485	(1)  AUDITS.--A community development entity that issues an
486	investment approved by the office as a qualified investment
487	shall be deemed a recipient of state financial assistance under
488	s. 215.97, the Florida Single Audit Act. However, an entity that
489	makes a qualified investment or receives a qualified low-income
490	community investment is not a subrecipient for the purposes of
491	s. 215.97.
492	(2)  EXAMINATIONS.--The office may conduct examinations to
493	verify compliance with the New Markets Development Program Act.
494	Section 13.  Section 288.9920, Florida Statutes, is created
495	to read:
496	288.9920  Recapture and penalties.--
497	(1)  Notwithstanding s. 95.091, the office shall direct the
498	department, at any time before December 31, 2022, to recapture
499	all or a portion of a tax credit authorized pursuant to the New
500	Markets Development Program Act if one or more of the following
501	occur:
502	(a)  The Federal Government recaptures any portion of the
503	federal new markets tax credit. The recapture by the department
504	shall equal the recapture by the Federal Government.
505	(b)  The qualified community development entity redeems or
506	makes a principal repayment on a qualified investment before the
507	final allowance date. The recapture by the department shall
508	equal the redemption or principal repayment divided by the
509	purchase price and multiplied by the tax credit authorized to a
510	taxpayer for the qualified investment.
511	(c)1.  The qualified community development entity fails to
512	invest at least 85 percent of the purchase price in qualified
513	low-income community investments within 12 months after the
514	issuance of a qualified investment; or
515	2.  The qualified community development entity fails to
516	maintain 85 percent of the purchase price in qualified low-
517	income community investments until the last credit allowance
518	date for a qualified investment.
519
520	For the purposes of this paragraph, an investment by a qualified
521	community development entity includes principal recovered from
522	an investment for 12 months after its recovery or principal
523	recovered after the sixth credit allowance date. Principal held
524	for longer than 12 months or recovered before the sixth credit
525	allowance date is not an investment unless it is reinvested in a
526	qualified low-income community investment.
527	(d)  The qualified community development entity fails to
528	provide the office with information, reports, or documentation
529	required by the New Markets Development Program Act.
530	(e)  The office determines that a taxpayer received tax
531	credits to which the taxpayer was not entitled.
532	(2)  The office shall provide notice to the qualified
533	community development entity and the department of a proposed
534	recapture of a tax credit. The entity shall have 90 days
535	following the receipt of the notice to cure a deficiency
536	identified in the notice and avoid recapture. The office shall
537	issue a final order of recapture if the entity fails to cure a
538	deficiency within the 90-day period. The final order of
539	recapture shall be provided to the entity, the department, and a
540	taxpayer otherwise authorized to claim the tax credit.
541	Recaptured funds shall be deposited into the General Revenue
542	Fund.
543	(3)  An entity that submits fraudulent information to the
544	office is liable for the costs associated with the investigation
545	and prosecution of the fraudulent claim plus a penalty in an
546	amount equal to double the tax credits claimed by investors in
547	the entity's qualified investments. This penalty is in addition
548	to any other penalty that may be imposed by law.
549	Section 14.  Section 288.9921, Florida Statutes, is created
550	to read:
551	288.9921  Rulemaking.--The office and the department may
552	adopt rules pursuant to ss. 120.536(1) and 120.54 to administer
553	ss. 288.991-288.9920.
554	Section 15.  Section 288.9922, Florida Statutes, is created
555	to read:
556	288.9922  Expiration of the New Markets Development Program
557	Act.--Sections 288.991-288.9921 and this section expire December
558	31, 2022.
559	Section 16.  This act shall take effect July 1, 2009.

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