1 | A bill to be entitled |
2 | An act relating to professional sports franchises; |
3 | amending ss. 14.2015, 212.20, and 218.64, F.S., relating |
4 | to the Office of Tourism, Trade, and Economic Development, |
5 | the distribution of certain tax proceeds, and the |
6 | allocation of a portion of the local government half-cent |
7 | sales tax; conforming provisions to changes made by the |
8 | act; conforming cross-references; amending s. 288.1162, |
9 | F.S.; deleting provisions relating to the certification |
10 | and funding of facilities for spring training baseball |
11 | franchises; authorizing the Auditor General to conduct |
12 | audits to verify whether certain funds for professional |
13 | sports franchises are used as required by law; requiring |
14 | the Auditor General to notify the Department of Revenue if |
15 | the funds are not used as required by law; creating s. |
16 | 288.11621, F.S.; authorizing certain units of local |
17 | government and private entities to apply for certification |
18 | to receive state funding for a facility for a spring |
19 | training franchise; providing definitions; providing |
20 | eligibility requirements; providing criteria to |
21 | competitively evaluate applications for certification; |
22 | requiring a certified applicant to use the funds awarded |
23 | for specified public purposes and place unexpended funds |
24 | in a trust fund or separate account; authorizing a |
25 | certified applicant to request a suspension of the |
26 | distribution of funds for a specified period under certain |
27 | circumstances; requiring the expenditure of funds by |
28 | certain certified applicants within a specified period; |
29 | requiring the completion of certain spring training |
30 | facility projects within a specified period; requiring |
31 | certified applicants to submit annual reports to the |
32 | Office of Tourism, Trade, and Economic Development; |
33 | requiring a contract for receipt of funds by certified |
34 | applicants that are private entities; providing contract |
35 | requirements; requiring the office to decertify applicants |
36 | under certain circumstances; providing for delay in |
37 | decertification proceedings for local governments |
38 | certified before a specified date under certain |
39 | circumstances; providing for review of the office's notice |
40 | of intent to decertify an applicant; requiring an |
41 | applicant to repay unencumbered state funds and interest |
42 | after decertification; requiring the office to develop a |
43 | strategic plan relating to baseball spring training |
44 | activities; requiring the office to adopt rules; |
45 | authorizing the Auditor General to conduct audits to |
46 | verify whether certified funds for baseball spring |
47 | training facilities are used as required by law; requiring |
48 | the Auditor General to notify the Department of Revenue if |
49 | the funds are not used as required by law; amending s. |
50 | 288.1229, F.S.; providing that the Office of Tourism, |
51 | Trade, and Economic Development may authorize a direct- |
52 | support organization to assist in the retention of |
53 | professional sports franchises; recognizing the validity |
54 | of specified agreements under certain circumstances; |
55 | providing an effective date. |
56 |
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57 | Be It Enacted by the Legislature of the State of Florida: |
58 |
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59 | Section 1. Paragraph (f) of subsection (2) of section |
60 | 14.2015, Florida Statutes, is amended to read: |
61 | 14.2015 Office of Tourism, Trade, and Economic |
62 | Development; creation; powers and duties.- |
63 | (2) The purpose of the Office of Tourism, Trade, and |
64 | Economic Development is to assist the Governor in working with |
65 | the Legislature, state agencies, business leaders, and economic |
66 | development professionals to formulate and implement coherent |
67 | and consistent policies and strategies designed to provide |
68 | economic opportunities for all Floridians. To accomplish such |
69 | purposes, the Office of Tourism, Trade, and Economic Development |
70 | shall: |
71 | (f)1. Administer the Florida Enterprise Zone Act under ss. |
72 | 290.001-290.016, the community contribution tax credit program |
73 | under ss. 220.183 and 624.5105, the tax refund program for |
74 | qualified target industry businesses under s. 288.106, the tax- |
75 | refund program for qualified defense contractors and space |
76 | flight business contractors under s. 288.1045, contracts for |
77 | transportation projects under s. 288.063, the sports franchise |
78 | facility programs program under ss. 288.1162 and 288.11621 s. |
79 | 288.1162, the professional golf hall of fame facility program |
80 | under s. 288.1168, the expedited permitting process under s. |
81 | 403.973, the Rural Community Development Revolving Loan Fund |
82 | under s. 288.065, the Regional Rural Development Grants Program |
83 | under s. 288.018, the Certified Capital Company Act under s. |
84 | 288.99, the Florida State Rural Development Council, the Rural |
85 | Economic Development Initiative, and other programs that are |
86 | specifically assigned to the office by law, by the |
87 | appropriations process, or by the Governor. Notwithstanding any |
88 | other provisions of law, the office may expend interest earned |
89 | from the investment of program funds deposited in the Grants and |
90 | Donations Trust Fund to contract for the administration of the |
91 | programs, or portions of the programs, enumerated in this |
92 | paragraph or assigned to the office by law, by the |
93 | appropriations process, or by the Governor. Such expenditures |
94 | shall be subject to review under chapter 216. |
95 | 2. The office may enter into contracts in connection with |
96 | the fulfillment of its duties concerning the Florida First |
97 | Business Bond Pool under chapter 159, tax incentives under |
98 | chapters 212 and 220, tax incentives under the Certified Capital |
99 | Company Act in chapter 288, foreign offices under chapter 288, |
100 | the Enterprise Zone program under chapter 290, the Seaport |
101 | Employment Training program under chapter 311, the Florida |
102 | Professional Sports Team License Plates under chapter 320, |
103 | Spaceport Florida under chapter 331, Expedited Permitting under |
104 | chapter 403, and in carrying out other functions that are |
105 | specifically assigned to the office by law, by the |
106 | appropriations process, or by the Governor. |
107 | Section 2. Paragraph (d) of subsection (6) of section |
108 | 212.20, Florida Statutes, is amended to read: |
109 | 212.20 Funds collected, disposition; additional powers of |
110 | department; operational expense; refund of taxes adjudicated |
111 | unconstitutionally collected.- |
112 | (6) Distribution of all proceeds under this chapter and s. |
113 | 202.18(1)(b) and (2)(b) shall be as follows: |
114 | (d) The proceeds of all other taxes and fees imposed |
115 | pursuant to this chapter or remitted pursuant to s. 202.18(1)(b) |
116 | and (2)(b) shall be distributed as follows: |
117 | 1. In any fiscal year, the greater of $500 million, minus |
118 | an amount equal to 4.6 percent of the proceeds of the taxes |
119 | collected pursuant to chapter 201, or 5.2 percent of all other |
120 | taxes and fees imposed pursuant to this chapter or remitted |
121 | pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in |
122 | monthly installments into the General Revenue Fund. |
123 | 2. After the distribution under subparagraph 1., 8.814 |
124 | percent of the amount remitted by a sales tax dealer located |
125 | within a participating county pursuant to s. 218.61 shall be |
126 | transferred into the Local Government Half-cent Sales Tax |
127 | Clearing Trust Fund. Beginning July 1, 2003, the amount to be |
128 | transferred shall be reduced by 0.1 percent, and the department |
129 | shall distribute this amount to the Public Employees Relations |
130 | Commission Trust Fund less $5,000 each month, which shall be |
131 | added to the amount calculated in subparagraph 3. and |
132 | distributed accordingly. |
133 | 3. After the distribution under subparagraphs 1. and 2., |
134 | 0.095 percent shall be transferred to the Local Government Half- |
135 | cent Sales Tax Clearing Trust Fund and distributed pursuant to |
136 | s. 218.65. |
137 | 4. After the distributions under subparagraphs 1., 2., and |
138 | 3., 2.0440 percent of the available proceeds shall be |
139 | transferred monthly to the Revenue Sharing Trust Fund for |
140 | Counties pursuant to s. 218.215. |
141 | 5. After the distributions under subparagraphs 1., 2., and |
142 | 3., 1.3409 percent of the available proceeds shall be |
143 | transferred monthly to the Revenue Sharing Trust Fund for |
144 | Municipalities pursuant to s. 218.215. If the total revenue to |
145 | be distributed pursuant to this subparagraph is at least as |
146 | great as the amount due from the Revenue Sharing Trust Fund for |
147 | Municipalities and the former Municipal Financial Assistance |
148 | Trust Fund in state fiscal year 1999-2000, no municipality shall |
149 | receive less than the amount due from the Revenue Sharing Trust |
150 | Fund for Municipalities and the former Municipal Financial |
151 | Assistance Trust Fund in state fiscal year 1999-2000. If the |
152 | total proceeds to be distributed are less than the amount |
153 | received in combination from the Revenue Sharing Trust Fund for |
154 | Municipalities and the former Municipal Financial Assistance |
155 | Trust Fund in state fiscal year 1999-2000, each municipality |
156 | shall receive an amount proportionate to the amount it was due |
157 | in state fiscal year 1999-2000. |
158 | 6. Of the remaining proceeds: |
159 | a. In each fiscal year, the sum of $29,915,500 shall be |
160 | divided into as many equal parts as there are counties in the |
161 | state, and one part shall be distributed to each county. The |
162 | distribution among the several counties must begin each fiscal |
163 | year on or before January 5th and continue monthly for a total |
164 | of 4 months. If a local or special law required that any moneys |
165 | accruing to a county in fiscal year 1999-2000 under the then- |
166 | existing provisions of s. 550.135 be paid directly to the |
167 | district school board, special district, or a municipal |
168 | government, such payment must continue until the local or |
169 | special law is amended or repealed. The state covenants with |
170 | holders of bonds or other instruments of indebtedness issued by |
171 | local governments, special districts, or district school boards |
172 | before July 1, 2000, that it is not the intent of this |
173 | subparagraph to adversely affect the rights of those holders or |
174 | relieve local governments, special districts, or district school |
175 | boards of the duty to meet their obligations as a result of |
176 | previous pledges or assignments or trusts entered into which |
177 | obligated funds received from the distribution to county |
178 | governments under then-existing s. 550.135. This distribution |
179 | specifically is in lieu of funds distributed under s. 550.135 |
180 | before July 1, 2000. |
181 | b. The department shall distribute $166,667 monthly |
182 | pursuant to s. 288.1162 to each applicant that has been |
183 | certified as a facility for a new or retained professional |
184 | sports franchise "facility for a new professional sports |
185 | franchise" or a "facility for a retained professional sports |
186 | franchise" pursuant to s. 288.1162. Up to $41,667 shall be |
187 | distributed monthly by the department to each certified |
188 | applicant as defined in s. 288.11621 for a facility for a spring |
189 | training franchise. that has been certified as a "facility for a |
190 | retained spring training franchise" pursuant to s. 288.1162; |
191 | However, not more than $416,670 may be distributed monthly in |
192 | the aggregate to all certified applicants for facilities for a |
193 | retained spring training franchises franchise. Distributions |
194 | must begin 60 days after following such certification and shall |
195 | continue for not more than 30 years, except as otherwise |
196 | provided in s. 288.11621. A certified applicant identified in |
197 | this sub-subparagraph may not This paragraph may |
198 | construed to allow an applicant certified pursuant to s. |
199 | 288.1162 to receive more in distributions than actually expended |
200 | by the applicant for the public purposes provided for in s. |
201 | 288.1162(5) or s. 288.11621(3) s. 288.1162(6). |
202 | c. Beginning 30 days after notice by the Office of |
203 | Tourism, Trade, and Economic Development to the Department of |
204 | Revenue that an applicant has been certified as the professional |
205 | golf hall of fame pursuant to s. 288.1168 and is open to the |
206 | public, $166,667 shall be distributed monthly, for up to 300 |
207 | months, to the applicant. |
208 | d. Beginning 30 days after notice by the Office of |
209 | Tourism, Trade, and Economic Development to the Department of |
210 | Revenue that the applicant has been certified as the |
211 | International Game Fish Association World Center facility |
212 | pursuant to s. 288.1169, and the facility is open to the public, |
213 | $83,333 shall be distributed monthly, for up to 168 months, to |
214 | the applicant. This distribution is subject to reduction |
215 | pursuant to s. 288.1169. A lump sum payment of $999,996 shall be |
216 | made, after certification and before July 1, 2000. |
217 | 7. All other proceeds must remain in the General Revenue |
218 | Fund. |
219 | Section 3. Section 218.64, Florida Statutes, is amended to |
220 | read: |
221 | 218.64 Local government half-cent sales tax; uses; |
222 | limitations.- |
223 | (1) The proportion of the local government half-cent sales |
224 | tax received by a county government based on two-thirds of the |
225 | incorporated area population shall be deemed countywide revenues |
226 | and shall be expended only for countywide tax relief or |
227 | countywide programs. The remaining county government portion |
228 | shall be deemed county revenues derived on behalf of the |
229 | unincorporated area but may be expended on a countywide basis. |
230 | (2) Municipalities shall expend their portions of the |
231 | local government half-cent sales tax only for municipality-wide |
232 | programs or for municipality-wide property tax or municipal |
233 | utility tax relief. All utility tax rate reductions afforded by |
234 | participation in the local government half-cent sales tax shall |
235 | be applied uniformly across all types of taxed utility services. |
236 | (3) Subject to ordinances enacted by the majority of the |
237 | members of the county governing authority and by the majority of |
238 | the members of the governing authorities of municipalities |
239 | representing at least 50 percent of the municipal population of |
240 | such county, counties may use up to $2 million annually of the |
241 | local government half-cent sales tax allocated to that county |
242 | for funding for any of the following applicants: |
243 | (a) A certified applicant as a facility for a new or |
244 | retained professional sports franchise under "facility for a new |
245 | professional sports franchise," a "facility for a retained |
246 | professional sports franchise," or a "facility for a retained |
247 | spring training franchise," as provided for in s. 288.1162 or a |
248 | certified applicant as defined in s. 288.11621 for a facility |
249 | for a spring training franchise. It is the Legislature's intent |
250 | that the provisions of s. 288.1162, including, but not limited |
251 | to, the evaluation process by the Office of Tourism, Trade, and |
252 | Economic Development except for the limitation on the number of |
253 | certified applicants or facilities as provided in that section |
254 | and the restrictions set forth in s. 288.1162(8) s. 288.1162(9), |
255 | shall apply to an applicant's facility to be funded by local |
256 | government as provided in this subsection. |
257 | (b) A certified applicant as a "motorsport entertainment |
258 | complex," as provided for in s. 288.1171. Funding for each |
259 | franchise or motorsport complex shall begin 60 days after |
260 | certification and shall continue for not more than 30 years. |
261 | (4) A local government is authorized to pledge proceeds of |
262 | the local government half-cent sales tax for the payment of |
263 | principal and interest on any capital project. |
264 | Section 4. Section 288.1162, Florida Statutes, is amended |
265 | to read: |
266 | 288.1162 Professional sports franchises; spring training |
267 | franchises; duties.- |
268 | (1) The Office of Tourism, Trade, and Economic Development |
269 | shall serve as the state agency for screening applicants for |
270 | state funding under pursuant to s. 212.20 and for certifying an |
271 | applicant as a facility for a new or retained professional |
272 | sports franchise. "facility for a new professional sports |
273 | franchise," a "facility for a retained professional sports |
274 | franchise," or a "facility for a retained spring training |
275 | franchise." |
276 | (2) The Office of Tourism, Trade, and Economic Development |
277 | shall develop rules for the receipt and processing of |
278 | applications for funding under pursuant to s. 212.20. |
279 | (3) As used in this section, the term: |
280 | (a) "New professional sports franchise" means a |
281 | professional sports franchise that was is not based in this |
282 | state before prior to April 1, 1987. |
283 | (b) "Retained professional sports franchise" means a |
284 | professional sports franchise that has had a league-authorized |
285 | location in this state on or before December 31, 1976, and has |
286 | continuously remained at that location, and has never been |
287 | located at a facility that has been previously certified under |
288 | any provision of this section. |
289 | (4) Before Prior to certifying an applicant as a facility |
290 | for a new or retained professional sports franchise, "facility |
291 | for a new professional sports franchise" or a "facility for a |
292 | retained professional sports franchise," the Office of Tourism, |
293 | Trade, and Economic Development must determine that: |
294 | (a) A "unit of local government" as defined in s. 218.369 |
295 | is responsible for the construction, management, or operation of |
296 | the professional sports franchise facility or holds title to the |
297 | property on which the professional sports franchise facility is |
298 | located. |
299 | (b) The applicant has a verified copy of a signed |
300 | agreement with a new professional sports franchise for the use |
301 | of the facility for a term of at least 10 years, or in the case |
302 | of a retained professional sports franchise, an agreement for |
303 | use of the facility for a term of at least 20 years. |
304 | (c) The applicant has a verified copy of the approval from |
305 | the governing authority of the league in which the new |
306 | professional sports franchise exists authorizing the location of |
307 | the professional sports franchise in this state after April 1, |
308 | 1987, or in the case of a retained professional sports |
309 | franchise, verified evidence that it has had a league-authorized |
310 | location in this state on or before December 31, 1976. As used |
311 | in this section, the term "league" means the National League or |
312 | the American League of Major League Baseball, the National |
313 | Basketball Association, the National Football League, or the |
314 | National Hockey League. |
315 | (d) The applicant has projections, verified by the Office |
316 | of Tourism, Trade, and Economic Development, which demonstrate |
317 | that the new or retained professional sports franchise will |
318 | attract a paid attendance of more than 300,000 annually. |
319 | (e) The applicant has an independent analysis or study, |
320 | verified by the Office of Tourism, Trade, and Economic |
321 | Development, which demonstrates that the amount of the revenues |
322 | generated by the taxes imposed under chapter 212 with respect to |
323 | the use and operation of the professional sports franchise |
324 | facility will equal or exceed $2 million annually. |
325 | (f) The municipality in which the facility for a new or |
326 | retained professional sports franchise is located, or the county |
327 | if the facility for a new or retained professional sports |
328 | franchise is located in an unincorporated area, has certified by |
329 | resolution after a public hearing that the application serves a |
330 | public purpose. |
331 | (g) The applicant has demonstrated that it has provided, |
332 | is capable of providing, or has financial or other commitments |
333 | to provide more than one-half of the costs incurred or related |
334 | to the improvement and development of the facility. |
335 | (h) An No applicant previously certified under any |
336 | provision of this section who has received funding under such |
337 | certification is not shall be eligible for an additional |
338 | certification. |
339 | (5)(a) As used in this section, the term "retained spring |
340 | training franchise" means a spring training franchise that has |
341 | been based in this state prior to January 1, 2000. |
342 | (b) Prior to certifying an applicant as a "facility for a |
343 | retained spring training franchise," the Office of Tourism, |
344 | Trade, and Economic Development must determine that: |
345 | 1. A "unit of local government" as defined in s. 218.369 |
346 | is responsible for the acquisition, construction, management, or |
347 | operation of the facility for a retained spring training |
348 | franchise or holds title to the property on which the facility |
349 | for a retained spring training franchise is located. |
350 | 2. The applicant has a verified copy of a signed agreement |
351 | with a retained spring training franchise for the use of the |
352 | facility for a term of at least 15 years. |
353 | 3. The applicant has a financial commitment to provide 50 |
354 | percent or more of the funds required by an agreement for the |
355 | acquisition, construction, or renovation of the facility for a |
356 | retained spring training franchise. The agreement can be |
357 | contingent upon the awarding of funds under this section and |
358 | other conditions precedent to use by the spring training |
359 | franchise. |
360 | 4. The applicant has projections, verified by the Office |
361 | of Tourism, Trade, and Economic Development, which demonstrate |
362 | that the facility for a retained spring training franchise will |
363 | attract a paid attendance of at least 50,000 annually. |
364 | 5. The facility for a retained spring training franchise |
365 | is located in a county that is levying a tourist development tax |
366 | pursuant to s. 125.0104. |
367 | (c)1. The Office of Tourism, Trade, and Economic |
368 | Development shall competitively evaluate applications for |
369 | funding of a facility for a retained spring training franchise. |
370 | Applications must be submitted by October 1, 2000, with |
371 | certifications to be made by January 1, 2001. If the number of |
372 | applicants exceeds five and the aggregate funding request of all |
373 | applications exceeds $208,335 per month, the office shall rank |
374 | the applications according to a selection criteria, certifying |
375 | the highest ranked proposals. The evaluation criteria shall |
376 | include, with priority given in descending order to the |
377 | following items: |
378 | a. The intended use of the funds by the applicant, with |
379 | priority given to the construction of a new facility. |
380 | b. The length of time that the existing franchise has been |
381 | located in the state, with priority given to retaining |
382 | franchises that have been in the same location the longest. |
383 | c. The length of time that a facility to be used by a |
384 | retained spring training franchise has been used by one or more |
385 | spring training franchises, with priority given to a facility |
386 | that has been in continuous use as a facility for spring |
387 | training the longest. |
388 | d. For those teams leasing a spring training facility from |
389 | a unit of local government, the remaining time on the lease for |
390 | facilities used by the spring training franchise, with priority |
391 | given to the shortest time period remaining on the lease. |
392 | e. The duration of the future-use agreement with the |
393 | retained spring training franchise, with priority given to the |
394 | future-use agreement having the longest duration. |
395 | f. The amount of the local match, with priority given to |
396 | the largest percentage of local match proposed. |
397 | g. The net increase of total active recreation space owned |
398 | by the applying unit of local government following the |
399 | acquisition of land for the spring training facility, with |
400 | priority given to the largest percentage increase of total |
401 | active recreation space. |
402 | h. The location of the facility in a brownfield, an |
403 | enterprise zone, a community redevelopment area, or other area |
404 | of targeted development or revitalization included in an Urban |
405 | Infill Redevelopment Plan, with priority given to facilities |
406 | located in these areas. |
407 | i. The projections on paid attendance attracted by the |
408 | facility and the proposed effect on the economy of the local |
409 | community, with priority given to the highest projected paid |
410 | attendance. |
411 | 2. Beginning July 1, 2006, the Office of Tourism, Trade, |
412 | and Economic Development shall competitively evaluate |
413 | applications for funding of facilities for retained spring |
414 | training franchises in addition to those certified and funded |
415 | under subparagraph 1. An applicant that is a unit of government |
416 | that has an agreement for a retained spring training franchise |
417 | for 15 or more years which was entered into between July 1, |
418 | 2003, and July 1, 2004, shall be eligible for funding. |
419 | Applications must be submitted by October 1, 2006, with |
420 | certifications to be made by January 1, 2007. The office shall |
421 | rank the applications according to selection criteria, |
422 | certifying no more than five proposals. The aggregate funding |
423 | request of all applicants certified shall not exceed an |
424 | aggregate funding request of $208,335 per month. The evaluation |
425 | criteria shall include the following, with priority given in |
426 | descending order: |
427 | a. The intended use of the funds by the applicant for |
428 | acquisition or construction of a new facility. |
429 | b. The intended use of the funds by the applicant to |
430 | renovate a facility. |
431 | c. The length of time that a facility to be used by a |
432 | retained spring training franchise has been used by one or more |
433 | spring training franchises, with priority given to a facility |
434 | that has been in continuous use as a facility for spring |
435 | training the longest. |
436 | d. For those teams leasing a spring training facility from |
437 | a unit of local government, the remaining time on the lease for |
438 | facilities used by the spring training franchise, with priority |
439 | given to the shortest time period remaining on the lease. For |
440 | consideration under this subparagraph, the remaining time on the |
441 | lease shall not exceed 5 years, unless an agreement of 15 years |
442 | or more was entered into between July 1, 2003, and July 1, 2004. |
443 | e. The duration of the future-use agreement with the |
444 | retained spring training franchise, with priority given to the |
445 | future-use agreement having the longest duration. |
446 | f. The amount of the local match, with priority given to |
447 | the largest percentage of local match proposed. |
448 | g. The net increase of total active recreation space owned |
449 | by the applying unit of local government following the |
450 | acquisition of land for the spring training facility, with |
451 | priority given to the largest percentage increase of total |
452 | active recreation space. |
453 | h. The location of the facility in a brownfield area, an |
454 | enterprise zone, a community redevelopment area, or another area |
455 | of targeted development or revitalization included in an urban |
456 | infill redevelopment plan, with priority given to facilities |
457 | located in those areas. |
458 | i. The projections on paid attendance attracted by the |
459 | facility and the proposed effect on the economy of the local |
460 | community, with priority given to the highest projected paid |
461 | attendance. |
462 | (d) Funds may not be expended to subsidize privately owned |
463 | and maintained facilities for use by the spring training |
464 | franchise. Funds may be used to relocate a retained spring |
465 | training franchise to another unit of local government only if |
466 | the existing unit of local government with the retained spring |
467 | training franchise agrees to the relocation. |
468 | (5)(6) An applicant certified as a facility for a new or |
469 | retained professional sports franchise or a facility for a |
470 | retained professional sports franchise or as a facility for a |
471 | retained spring training franchise may use funds provided under |
472 | pursuant to s. 212.20 only for the public purpose of paying for |
473 | the acquisition, construction, reconstruction, or renovation of |
474 | a facility for a new or retained professional sports franchise, |
475 | a facility for a retained professional sports franchise, or a |
476 | facility for a retained spring training franchise or to pay or |
477 | pledge for the payment of debt service on, or to fund debt |
478 | service reserve funds, arbitrage rebate obligations, or other |
479 | amounts payable with respect to, bonds issued for the |
480 | acquisition, construction, reconstruction, or renovation of such |
481 | facility or for the reimbursement of such costs or the |
482 | refinancing of bonds issued for such purposes. |
483 | (6)(7)(a) The Office of Tourism, Trade, and Economic |
484 | Development shall notify the Department of Revenue of any |
485 | facility certified as a facility for a new or retained |
486 | professional sports franchise or a facility for a retained |
487 | professional sports franchise or as a facility for a retained |
488 | spring training franchise. The Office of Tourism, Trade, and |
489 | Economic Development shall certify no more than eight facilities |
490 | as facilities for a new professional sports franchise or as |
491 | facilities for a retained professional sports franchise, |
492 | including in the such total any facilities certified by the |
493 | former Department of Commerce before July 1, 1996. The number of |
494 | facilities certified as a retained spring training franchise |
495 | shall be as provided in subsection (5). The office may make no |
496 | more than one certification for any facility. The office may not |
497 | certify funding for less than the requested amount to any |
498 | applicant certified as a facility for a retained spring training |
499 | franchise. |
500 | (b) The eighth certification of an applicant under this |
501 | section as a facility for a new or retained professional sports |
502 | franchise or a facility for a retained professional sports |
503 | franchise shall be for a franchise that is a member of the |
504 | National Basketball Association, has been located within the |
505 | state since 1987, and has not been previously certified. This |
506 | paragraph is repealed July 1, 2010. |
507 | (7)(8) The Auditor General Department of Revenue may |
508 | conduct audits audit as provided in s. 11.45 s. 213.34 to verify |
509 | that the distributions under pursuant to this section are have |
510 | been expended as required in this section. Such information is |
511 | subject to the confidentiality requirements of chapter 213. If |
512 | the Auditor General Department of Revenue determines that the |
513 | distributions under pursuant to this section are have not been |
514 | expended as required by this section, the Auditor General shall |
515 | notify the Department of Revenue, which it may pursue recovery |
516 | of the such funds under pursuant to the laws and rules governing |
517 | the assessment of taxes. |
518 | (8)(9) An applicant is not qualified for certification |
519 | under this section if the franchise formed the basis for a |
520 | previous certification, unless the previous certification was |
521 | withdrawn by the facility or invalidated by the Office of |
522 | Tourism, Trade, and Economic Development or the former |
523 | Department of Commerce before any funds were distributed under |
524 | pursuant to s. 212.20. This subsection does not disqualify an |
525 | applicant if the previous certification occurred between May 23, |
526 | 1993, and May 25, 1993; however, any funds to be distributed |
527 | under pursuant to s. 212.20 for the second certification shall |
528 | be offset by the amount distributed to the previous certified |
529 | facility. Distribution of funds for the second certification |
530 | shall not be made until all amounts payable for the first |
531 | certification are have been distributed. |
532 | Section 5. Section 288.11621, Florida Statutes, is created |
533 | to read: |
534 | 288.11621 Spring training baseball franchises.- |
535 | (1) DEFINITIONS.-As used in this section, the term: |
536 | (a) "Agreement" means a certified, signed lease between an |
537 | applicant that applies for certification on or after July 1, |
538 | 2010, and the spring training franchise for the use of a |
539 | facility. |
540 | (b) "Applicant" means a unit of local government as |
541 | defined in s. 218.369, including local governments located in |
542 | the same county that have partnered with a certified applicant |
543 | before the effective date of this section or with an applicant |
544 | for a new certification, for purposes of sharing in the |
545 | responsibilities of a facility, or a private entity. |
546 | (c) "Certified applicant" means a facility for a spring |
547 | training franchise that was certified before July 1, 2010, under |
548 | s. 288.1162(5), Florida Statutes 2009, or a unit of local |
549 | government or a private entity that is certified under this |
550 | section. |
551 | (d) "Facility" means a spring training stadium, playing |
552 | fields, and appurtenances intended to support spring training |
553 | activities. |
554 | (e) "Local funds" and "local matching funds" mean funds |
555 | provided by a county, municipality, or other local government; |
556 | funds provided by a private entity; or a combination of such |
557 | funds. |
558 | (f) "Office" means the Office of Tourism, Trade, and |
559 | Economic Development. |
560 | (2) CERTIFICATION PROCESS.- |
561 | (a) Before certifying an applicant to receive state |
562 | funding for a facility for a spring training franchise, the |
563 | office must verify that: |
564 | 1. The applicant is responsible for the acquisition, |
565 | construction, management, or operation of the facility for a |
566 | spring training franchise or holds title to the property on |
567 | which the facility for a spring training franchise is located. |
568 | 2. The applicant has a certified copy of a signed |
569 | agreement with a spring training franchise for the use of the |
570 | facility for a term of at least 20 years. The agreement also |
571 | must require the franchise to reimburse the state for state |
572 | funds expended by an applicant under this section if the |
573 | franchise relocates before the agreement expires. The agreement |
574 | may be contingent on an award of funds under this section and |
575 | other conditions precedent. |
576 | 3. The applicant has made a financial commitment to |
577 | provide 50 percent or more of the funds required by an agreement |
578 | for the acquisition, construction, or renovation of the facility |
579 | for a spring training franchise. The commitment may be |
580 | contingent upon an award of funds under this section and other |
581 | conditions precedent. |
582 | 4. The applicant demonstrates that the facility for a |
583 | spring training franchise will attract a paid attendance of at |
584 | least 50,000 annually to the spring training games. |
585 | 5. The facility for a spring training franchise is located |
586 | in a county that levies a tourist development tax under s. |
587 | 125.0104. |
588 | 6. The applicant, if a private entity, demonstrates that |
589 | it can be bonded for an amount that it anticipates to be |
590 | required by the office and the Department of Revenue in |
591 | accordance with subsection (5). |
592 | (b) The office shall competitively evaluate applications |
593 | for state funding of a facility for a spring training franchise. |
594 | The total number of certifications may not exceed 10 at any |
595 | time. The evaluation criteria must include, with priority given |
596 | in descending order to, the following items: |
597 | 1. The anticipated effect on the economy of the local |
598 | community where the spring training facility is to be built, |
599 | including projections on paid attendance, local and state tax |
600 | collections generated by spring training games, and direct and |
601 | indirect job creation resulting from the spring training |
602 | activities. Priority shall be given to applicants who can |
603 | demonstrate the largest projected economic impact. |
604 | 2. The amount of the local matching funds committed to a |
605 | facility relative to the amount of state funding sought, with |
606 | priority given to applicants that commit the largest amount of |
607 | local matching funds relative to the amount of state funding |
608 | sought. |
609 | 3. The potential for the facility to serve multiple uses. |
610 | 4. The intended use of the funds by the applicant, with |
611 | priority given to the funds being used to acquire a facility, |
612 | construct a new facility, or renovate an existing facility. |
613 | 5. The length of time that a spring training franchise has |
614 | been under an agreement to conduct spring training activities |
615 | within an applicant's geographic location or jurisdiction, with |
616 | priority given to applicants having agreements with the same |
617 | franchise for the longest period of time. |
618 | 6. The length of time that an applicant's facility has |
619 | been used by one or more spring training franchises, with |
620 | priority given to applicants whose facilities have been in |
621 | continuous use as facilities for spring training the longest. |
622 | 7. The term remaining on a lease between an applicant and |
623 | a spring training franchise for a facility, with priority given |
624 | to applicants having the shortest lease terms remaining. |
625 | 8. The length of time that a spring training franchise |
626 | agrees to use an applicant's facility if an application is |
627 | granted under this section, with priority given to applicants |
628 | having agreements for the longest future use. |
629 | 9. The net increase of total active recreation space owned |
630 | by the applicant after an acquisition of land for the facility, |
631 | with priority given to applicants having the largest percentage |
632 | increase of total active recreation space that will be available |
633 | for public use. |
634 | 10. The location of the facility in a brownfield, an |
635 | enterprise zone, a community redevelopment area, or other area |
636 | of targeted development or revitalization included in an urban |
637 | infill redevelopment plan, with priority given to applicants |
638 | having facilities located in these areas. |
639 | (c) Each applicant certified on or after July 1, 2010, |
640 | shall enter into an agreement with the office that: |
641 | 1. Specifies the amount of the state incentive funding to |
642 | be distributed. |
643 | 2. States the criteria that the certified applicant must |
644 | meet in order to remain certified. |
645 | 3. States that the certified applicant is subject to |
646 | decertification if the certified applicant fails to comply with |
647 | this section or the agreement. |
648 | 4. States that the office may recover state incentive |
649 | funds if the certified applicant is decertified. |
650 | 5. Specifies information that the certified applicant must |
651 | report to the office. |
652 | 6. Includes any provision deemed prudent by the office. |
653 | (3) USE OF FUNDS.- |
654 | (a) A certified applicant may use funds provided under s. |
655 | 212.20(6)(d)6.b. only to: |
656 | 1. Serve the public purpose of acquiring, constructing, |
657 | reconstructing, or renovating a facility for a spring training |
658 | franchise. |
659 | 2. Pay or pledge for the payment of debt service on, or to |
660 | fund debt service reserve funds, arbitrage rebate obligations, |
661 | or other amounts payable with respect thereto, bonds issued for |
662 | the acquisition, construction, reconstruction, or renovation of |
663 | such facility, or for the reimbursement of such costs or the |
664 | refinancing of bonds issued for such purposes. |
665 | 3. Assist in the relocation of a spring training franchise |
666 | from one unit of local government to another or to or from the |
667 | location of a private entity to another private entity or to a |
668 | unit of local government. |
669 | (b) State funds awarded to a certified applicant for a |
670 | facility for a spring training franchise may not be used to |
671 | subsidize facilities that are privately owned, maintained, and |
672 | used only by a spring training franchise. |
673 | (c) The Department of Revenue may not distribute funds to |
674 | an applicant certified on or after July 1, 2010, until it |
675 | receives notice from the office that the certified applicant has |
676 | encumbered funds under subparagraph (a)2. or has expended funds |
677 | or contractually encumbered funds for the acquisition, |
678 | construction, reconstruction, or renovation of a facility for |
679 | spring training pursuant to the contract requirements in |
680 | subsection (5). |
681 | (d)1. All certified applicants must place unexpended state |
682 | funds received pursuant to s. 212.20(6)(d)6.b. in a trust fund |
683 | or separate account for use only as authorized in this section. |
684 | 2. A certified applicant may request that the Department |
685 | of Revenue suspend further distributions of state funds made |
686 | available under s. 212.20(6)(d)6.b. for 12 months after |
687 | expiration of an existing agreement with a spring training |
688 | franchise to provide the certified applicant with an opportunity |
689 | to enter into a new agreement with a spring training franchise, |
690 | at which time the distributions shall resume. |
691 | 3. The expenditure of state funds distributed to an |
692 | applicant certified before July 1, 2010, must begin within 48 |
693 | months after the initial receipt of the state funds. In |
694 | addition, the construction of, or capital improvements to, a |
695 | spring training facility must be completed within 24 months |
696 | after the project's commencement. |
697 | (4) ANNUAL REPORTS.-On or before September 1 of each year, |
698 | a certified applicant shall submit to the office a report that |
699 | includes, but is not limited to: |
700 | (a) A copy of its most recent annual audit. |
701 | (b) A detailed report on all local and state funds |
702 | expended to date on the project being financed under this |
703 | section. |
704 | (c) A copy of the contract between the certified local |
705 | governmental entity or certified private entity and the spring |
706 | training team. |
707 | (d) A cost-benefit analysis of the team's impact on the |
708 | community. |
709 | (e) Evidence that the certified applicant continues to |
710 | meet the criteria in effect when the applicant was certified. |
711 | (f) For purposes of a certified applicant that is a |
712 | private entity, a list of all uses of the facility and |
713 | appurtenant property for public purposes during the preceding |
714 | calendar year. |
715 | (5) CONTRACT REQUIREMENTS FOR CERTIFIED APPLICANT THAT IS |
716 | A PRIVATE ENTITY.- |
717 | (a) In order for a private entity applicant that is |
718 | certified under subsection (2) to receive funding under s. |
719 | 212.20(6)(d), a contract must be executed between the applicant |
720 | and the office to ensure the protection of the state's financial |
721 | interests. |
722 | (b) The contract must, at a minimum, include the |
723 | following: |
724 | 1. Required maintenance of a bond by the private entity |
725 | that will be sufficient to cover the funding received, ensure |
726 | the proper use of funds, and ensure a mechanism for the state to |
727 | recover funds if the private entity defaults on the completion |
728 | of the fund use in any manner or in the case of decertification |
729 | as provided in this section. The amount of the bond shall be |
730 | determined by the office in consultation with the Department of |
731 | Revenue. |
732 | 2. Information on the private entity, including, but not |
733 | limited to, its status as a Florida business and length of |
734 | operation in the state, business or organizational structure, |
735 | officers, and budget, including continued efforts in the area of |
736 | spring training. |
737 | 3. Compliance with applicable requirements for |
738 | certification pursuant to subsection (2). |
739 | 4. Compliance with requirements related to the use of |
740 | funds in subsection (3). |
741 | 5. Annual compliance review and assessment as required in |
742 | subsection (4). |
743 | 6. Agreement to allow the use of the facility, appurtenant |
744 | property, and other property, whatever is subject to the |
745 | contract, for public purposes. |
746 | (6) DECERTIFICATION.- |
747 | (a) The office shall decertify a certified applicant upon |
748 | the request of the certified applicant. |
749 | (b) The office shall decertify a certified applicant if |
750 | the certified applicant does not: |
751 | 1. Have a valid agreement with a spring training |
752 | franchise; |
753 | 2. Satisfy its commitment to provide local matching funds |
754 | to the facility; or |
755 | 3. Satisfy the bond requirement in accordance with |
756 | subsection (5). |
757 |
|
758 | However, decertification proceedings against a local government |
759 | certified before July 1, 2010, shall be delayed until 12 months |
760 | after the expiration of the local government's existing |
761 | agreement with a spring training franchise, and without a new |
762 | agreement being signed, if the certified local government can |
763 | demonstrate to the office that it is in active negotiations with |
764 | a major league spring training franchise, other than the |
765 | franchise that was the basis for the original certification. |
766 | (c) A certified applicant has 60 days after it receives a |
767 | notice of intent to decertify from the office to petition the |
768 | office's director for review of the decertification. Within 45 |
769 | days after receipt of the request for review, the director must |
770 | notify a certified applicant of the outcome of the review. |
771 | (d) The office shall notify the Department of Revenue that |
772 | a certified applicant is decertified within 10 days after the |
773 | order of decertification becomes final. The Department of |
774 | Revenue shall immediately stop the payment of any funds under |
775 | this section that were not encumbered by the certified applicant |
776 | under subparagraph (3)(a)2. or expended or contractually |
777 | encumbered as directed under paragraph (3)(c) pursuant to |
778 | contract requirements under subsection (5). |
779 | (e) The office shall order a decertified applicant to |
780 | repay all of the unencumbered state funds that the local |
781 | government or private entity received under this section and any |
782 | interest that accrued on those funds. The repayment must be made |
783 | within 60 days after the decertification order becomes final. |
784 | These funds shall be deposited into the General Revenue Fund. |
785 | (7) ADDITIONAL CERTIFICATIONS.-If the office decertifies a |
786 | unit of local government or a private entity, the office may |
787 | accept applications for an additional certification. A unit of |
788 | local government or a private entity may not be certified for |
789 | more than one spring training franchise at any time. |
790 | (8) STRATEGIC PLANNING.- |
791 | (a) The office shall request assistance from the Florida |
792 | Sports Foundation and the Florida Grapefruit League Association |
793 | to develop a comprehensive strategic plan to: |
794 | 1. Finance spring training facilities. |
795 | 2. Monitor and oversee the use of state funds awarded to |
796 | applicants. |
797 | 3. Identify the financial impact that spring training has |
798 | on the state and ways in which to maintain or improve that |
799 | impact. |
800 | 4. Identify opportunities to develop public-private |
801 | partnerships to engage in marketing activities and advertise |
802 | spring training baseball. |
803 | 5. Identify efforts made by other states to maintain or |
804 | develop partnerships with baseball spring training teams. |
805 | 6. Develop recommendations for the Legislature to sustain |
806 | or improve this state's spring training tradition. |
807 | (b) The office shall submit a copy of the strategic plan |
808 | to the Governor, the President of the Senate, and the Speaker of |
809 | the House of Representatives by December 31, 2010. |
810 | (9) RULEMAKING.-The office shall adopt rules to implement |
811 | the certification, decertification, and decertification review |
812 | processes required by this section. |
813 | (10) AUDITS.-The Auditor General may conduct audits as |
814 | provided in s. 11.45 to verify that the distributions under this |
815 | section are expended as required in this section. If the Auditor |
816 | General determines that the distributions under this section are |
817 | not expended as required by this section, the Auditor General |
818 | shall notify the Department of Revenue, which may pursue |
819 | recovery of the funds under the laws and rules governing the |
820 | assessment of taxes. |
821 | Section 6. Subsection (1) of section 288.1229, Florida |
822 | Statutes, is amended to read: |
823 | 288.1229 Promotion and development of sports-related |
824 | industries and amateur athletics; direct-support organization; |
825 | powers and duties.- |
826 | (1) The Office of Tourism, Trade, and Economic Development |
827 | may authorize a direct-support organization to assist the office |
828 | in: |
829 | (a) The promotion and development of the sports industry |
830 | and related industries for the purpose of improving the economic |
831 | presence of these industries in Florida. |
832 | (b) The promotion of amateur athletic participation for |
833 | the citizens of Florida and the promotion of Florida as a host |
834 | for national and international amateur athletic competitions for |
835 | the purpose of encouraging and increasing the direct and |
836 | ancillary economic benefits of amateur athletic events and |
837 | competitions. |
838 | (c) The retention of professional sports franchises, |
839 | including the spring training operations of Major League |
840 | Baseball. |
841 | Section 7. An agreement with a spring training franchise |
842 | relocating from one local government to another local government |
843 | shall be recognized as a valid agreement under this act if the |
844 | Office of Tourism, Trade, and Economic Development approved the |
845 | continuing release of funds to the local government to which the |
846 | franchise relocated before the effective date of this act. The |
847 | Legislature recognizes the validity of the agreement and |
848 | acknowledges the authority of the Office of Tourism, Trade, and |
849 | Economic Development to provide for the continuing release of |
850 | funds to the local government under the terms of section |
851 | 288.1162, Florida Statutes, that were in effect before the |
852 | effective date of this act. |
853 | Section 8. This act shall take effect upon becoming a law. |