Florida Senate - 2010                             CS for SB 1070
       
       
       
       By the Committee on Community Affairs; and Senator Altman
       
       
       
       
       578-04909-10                                          20101070c1
    1                        A bill to be entitled                      
    2         An act relating to sporting events; amending s.
    3         125.0104, F.S.; authorizing a county to use certain
    4         revenues from tourist development taxes to pay the
    5         debt service on bonds issued to finance the
    6         construction, reconstruction, or renovation of certain
    7         football stadiums and to pay planning and design costs
    8         incurred before the issuance of bonds; amending s.
    9         212.04, F.S.; creating an exemption from the tax on
   10         admissions for certain events sponsored by a
   11         governmental entity, sports authority, or sports
   12         commission; providing an effective date.
   13  
   14  Be It Enacted by the Legislature of the State of Florida:
   15  
   16         Section 1. Paragraphs (l) and (n) of subsection (3) of
   17  section 125.0104, Florida Statutes, are amended to read:
   18         125.0104 Tourist development tax; procedure for levying;
   19  authorized uses; referendum; enforcement.—
   20         (3) TAXABLE PRIVILEGES; EXEMPTIONS; LEVY; RATE.—
   21         (l) In addition to any other tax which is imposed pursuant
   22  to this section, a county may impose up to an additional 1
   23  percent tax on the exercise of the privilege described in
   24  paragraph (a) by majority vote of the governing board of the
   25  county in order to:
   26         1. Pay the debt service on bonds issued to finance the
   27  construction, reconstruction, or renovation of a professional
   28  sports franchise facility, or the acquisition, construction,
   29  reconstruction, or renovation of a retained spring training
   30  franchise facility, either publicly owned and operated, or
   31  publicly owned and operated by the owner of a professional
   32  sports franchise or other lessee with sufficient expertise or
   33  financial capability to operate such facility, and to pay the
   34  planning and design costs incurred prior to the issuance of such
   35  bonds.
   36         2. Pay the debt service on bonds issued to finance the
   37  construction, reconstruction, or renovation of a convention
   38  center, and to pay the planning and design costs incurred prior
   39  to the issuance of such bonds.
   40         3. Pay the operation and maintenance costs of a convention
   41  center for a period of up to 10 years. Only counties that have
   42  elected to levy the tax for the purposes authorized in
   43  subparagraph 2. may use the tax for the purposes enumerated in
   44  this subparagraph. Any county that elects to levy the tax for
   45  the purposes authorized in subparagraph 2. after July 1, 2000,
   46  may use the proceeds of the tax to pay the operation and
   47  maintenance costs of a convention center for the life of the
   48  bonds.
   49         4. Promote and advertise tourism in the State of Florida
   50  and nationally and internationally; however, if tax revenues are
   51  expended for an activity, service, venue, or event, the
   52  activity, service, venue, or event shall have as one of its main
   53  purposes the attraction of tourists as evidenced by the
   54  promotion of the activity, service, venue, or event to tourists.
   55         5. Pay the debt service on bonds issued to finance the
   56  construction, reconstruction, or renovation of a county or
   57  municipally owned or operated sports stadium having a capacity
   58  of more than 65,000 seats which promotes tourism and attracts
   59  tourists as one of its main purposes and annually hosts one or
   60  more postseason collegiate football bowl games sanctioned by the
   61  National Collegiate Athletic Association. The tax also may be
   62  used to pay the planning and design costs incurred before the
   63  issuance of the bonds.
   64  
   65  The provision of paragraph (b) which prohibits any county
   66  authorized to levy a convention development tax pursuant to s.
   67  212.0305 from levying more than the 2-percent tax authorized by
   68  this section, and the provisions of paragraphs (4)(a)-(d), shall
   69  not apply to the additional tax authorized in this paragraph.
   70  The effective date of the levy and imposition of the tax
   71  authorized under this paragraph shall be the first day of the
   72  second month following approval of the ordinance by the
   73  governing board or the first day of any subsequent month as may
   74  be specified in the ordinance. A certified copy of such
   75  ordinance shall be furnished by the county to the Department of
   76  Revenue within 10 days after approval of such ordinance.
   77         (n) In addition to any other tax that is imposed under this
   78  section, a county that has imposed the tax under paragraph (l)
   79  may impose an additional tax that is no greater than 1 percent
   80  on the exercise of the privilege described in paragraph (a) by a
   81  majority plus one vote of the membership of the board of county
   82  commissioners in order to:
   83         1. Pay the debt service on bonds issued to finance:
   84         a. The construction, reconstruction, or renovation of a
   85  facility either publicly owned and operated, or publicly owned
   86  and operated by the owner of a professional sports franchise or
   87  other lessee with sufficient expertise or financial capability
   88  to operate such facility, and to pay the planning and design
   89  costs incurred prior to the issuance of such bonds for a new
   90  professional sports franchise as defined in s. 288.1162.
   91         b. The acquisition, construction, reconstruction, or
   92  renovation of a facility either publicly owned and operated, or
   93  publicly owned and operated by the owner of a professional
   94  sports franchise or other lessee with sufficient expertise or
   95  financial capability to operate such facility, and to pay the
   96  planning and design costs incurred prior to the issuance of such
   97  bonds for a retained spring training franchise.
   98         c.The construction, reconstruction, or renovation of a
   99  county or municipally owned or operated sports stadium having a
  100  capacity of more than 65,000 seats which promotes tourism and
  101  attracts tourists as one of its main purposes and annually hosts
  102  one or more postseason collegiate football bowl games sanctioned
  103  by the National Collegiate Athletic Association. The tax also
  104  may be used to pay the planning and design costs incurred before
  105  the issuance of the bonds.
  106         2. Promote and advertise tourism in the State of Florida
  107  and nationally and internationally; however, if tax revenues are
  108  expended for an activity, service, venue, or event, the
  109  activity, service, venue, or event shall have as one of its main
  110  purposes the attraction of tourists as evidenced by the
  111  promotion of the activity, service, venue, or event to tourists.
  112  
  113  A county that imposes the tax authorized in this paragraph may
  114  not expend any ad valorem tax revenues for the acquisition,
  115  construction, reconstruction, or renovation of a facility for
  116  which tax revenues are used pursuant to subparagraph 1. The
  117  provision of paragraph (b) which prohibits any county authorized
  118  to levy a convention development tax pursuant to s. 212.0305
  119  from levying more than the 2-percent tax authorized by this
  120  section shall not apply to the additional tax authorized by this
  121  paragraph in counties which levy convention development taxes
  122  pursuant to s. 212.0305(4)(a). Subsection (4) does not apply to
  123  the adoption of the additional tax authorized in this paragraph.
  124  The effective date of the levy and imposition of the tax
  125  authorized under this paragraph is the first day of the second
  126  month following approval of the ordinance by the board of county
  127  commissioners or the first day of any subsequent month specified
  128  in the ordinance. A certified copy of such ordinance shall be
  129  furnished by the county to the Department of Revenue within 10
  130  days after approval of the ordinance.
  131         Section 2. Subsection (2) of section 212.04, Florida
  132  Statutes, is amended to read:
  133         212.04 Admissions tax; rate, procedure, enforcement.—
  134         (2)(a)1. No tax shall be levied on admissions to athletic
  135  or other events sponsored by elementary schools, junior high
  136  schools, middle schools, high schools, community colleges,
  137  public or private colleges and universities, deaf and blind
  138  schools, facilities of the youth services programs of the
  139  Department of Children and Family Services, and state
  140  correctional institutions when only student, faculty, or inmate
  141  talent is used. However, this exemption shall not apply to
  142  admission to athletic events sponsored by a state university,
  143  and the proceeds of the tax collected on such admissions shall
  144  be retained and used by each institution to support women’s
  145  athletics as provided in s. 1006.71(2)(c).
  146         2.a. No tax shall be levied on dues, membership fees, and
  147  admission charges imposed by not-for-profit sponsoring
  148  organizations. To receive this exemption, the sponsoring
  149  organization must qualify as a not-for-profit entity under the
  150  provisions of s. 501(c)(3) of the Internal Revenue Code of 1954,
  151  as amended.
  152         b. A tax may not be levied on admission charges to an event
  153  sponsored by a governmental entity, sports authority, or sports
  154  commission if the event is held in a convention hall, exhibition
  155  hall, auditorium, stadium, theater, arena, civic center,
  156  performing arts center, or publicly owned recreational facility
  157  and all of the risk of success or failure lies with the sponsor
  158  of the event and all of the funds at risk for the event belong
  159  to the sponsor. As used in this sub-subparagraph, the terms
  160  “sports authority” and “sports commission” mean a nonprofit
  161  organization that is exempt from federal income tax under s.
  162  501(c)(3) of the Internal Revenue Code and that contracts with a
  163  county or municipal government for the purpose of promoting and
  164  attracting sports-tourism events to the community with which it
  165  contracts. No tax shall be levied on admission charges to an
  166  event sponsored by a governmental entity, sports authority, or
  167  sports commission when held in a convention hall, exhibition
  168  hall, auditorium, stadium, theater, arena, civic center,
  169  performing arts center, or publicly owned recreational facility
  170  and when 100 percent of the risk of success or failure lies with
  171  the sponsor of the event and 100 percent of the funds at risk
  172  for the event belong to the sponsor, and student or faculty
  173  talent is not exclusively used. As used in this sub
  174  subparagraph, the terms “sports authority” and “sports
  175  commission” mean a nonprofit organization that is exempt from
  176  federal income tax under s. 501(c)(3) of the Internal Revenue
  177  Code and that contracts with a county or municipal government
  178  for the purpose of promoting and attracting sports-tourism
  179  events to the community with which it contracts. This sub
  180  subparagraph is repealed July 1, 2009.
  181         3. No tax shall be levied on an admission paid by a
  182  student, or on the student’s behalf, to any required place of
  183  sport or recreation if the student’s participation in the sport
  184  or recreational activity is required as a part of a program or
  185  activity sponsored by, and under the jurisdiction of, the
  186  student’s educational institution, provided his or her
  187  attendance is as a participant and not as a spectator.
  188         4. No tax shall be levied on admissions to the National
  189  Football League championship game, on admissions to any
  190  semifinal game or championship game of a national collegiate
  191  tournament, or on admissions to a Major League Baseball all-star
  192  game.
  193         5. A participation fee or sponsorship fee imposed by a
  194  governmental entity as described in s. 212.08(6) for an athletic
  195  or recreational program is exempt when the governmental entity
  196  by itself, or in conjunction with an organization exempt under
  197  s. 501(c)(3) of the Internal Revenue Code of 1954, as amended,
  198  sponsors, administers, plans, supervises, directs, and controls
  199  the athletic or recreational program.
  200         6. Also exempt from the tax imposed by this section to the
  201  extent provided in this subparagraph are admissions to live
  202  theater, live opera, or live ballet productions in this state
  203  which are sponsored by an organization that has received a
  204  determination from the Internal Revenue Service that the
  205  organization is exempt from federal income tax under s.
  206  501(c)(3) of the Internal Revenue Code of 1954, as amended, if
  207  the organization actively participates in planning and
  208  conducting the event, is responsible for the safety and success
  209  of the event, is organized for the purpose of sponsoring live
  210  theater, live opera, or live ballet productions in this state,
  211  has more than 10,000 subscribing members and has among the
  212  stated purposes in its charter the promotion of arts education
  213  in the communities which it serves, and will receive at least 20
  214  percent of the net profits, if any, of the events which the
  215  organization sponsors and will bear the risk of at least 20
  216  percent of the losses, if any, from the events which it sponsors
  217  if the organization employs other persons as agents to provide
  218  services in connection with a sponsored event. Prior to March 1
  219  of each year, such organization may apply to the department for
  220  a certificate of exemption for admissions to such events
  221  sponsored in this state by the organization during the
  222  immediately following state fiscal year. The application shall
  223  state the total dollar amount of admissions receipts collected
  224  by the organization or its agents from such events in this state
  225  sponsored by the organization or its agents in the year
  226  immediately preceding the year in which the organization applies
  227  for the exemption. Such organization shall receive the exemption
  228  only to the extent of $1.5 million multiplied by the ratio that
  229  such receipts bear to the total of such receipts of all
  230  organizations applying for the exemption in such year; however,
  231  in no event shall such exemption granted to any organization
  232  exceed 6 percent of such admissions receipts collected by the
  233  organization or its agents in the year immediately preceding the
  234  year in which the organization applies for the exemption. Each
  235  organization receiving the exemption shall report each month to
  236  the department the total admissions receipts collected from such
  237  events sponsored by the organization during the preceding month
  238  and shall remit to the department an amount equal to 6 percent
  239  of such receipts reduced by any amount remaining under the
  240  exemption. Tickets for such events sold by such organizations
  241  shall not reflect the tax otherwise imposed under this section.
  242         7. Also exempt from the tax imposed by this section are
  243  entry fees for participation in freshwater fishing tournaments.
  244         8. Also exempt from the tax imposed by this section are
  245  participation or entry fees charged to participants in a game,
  246  race, or other sport or recreational event if spectators are
  247  charged a taxable admission to such event.
  248         9. No tax shall be levied on admissions to any postseason
  249  collegiate football game sanctioned by the National Collegiate
  250  Athletic Association.
  251         (b) No municipality of the state shall levy an excise tax
  252  on admissions.
  253         (c) The taxes imposed by this section shall be collected in
  254  addition to the admission tax collected pursuant to s. 550.0951,
  255  but the amount collected under s. 550.0951 shall not be subject
  256  to taxation under this chapter.
  257         Section 3. This act shall take effect July 1, 2010.