Florida Senate - 2014 CS for SB 1216
By the Committee on Commerce and Tourism; and Senator Latvala
577-03114A-14 20141216c1
1 A bill to be entitled
2 An act relating to professional sports facilities;
3 amending s. 212.20, F.S.; revising the distribution of
4 moneys to certified applicants for a
5 facility used by a spring training franchise under s.
6 288.11631, F.S.; authorizing a distribution for an
7 applicant that has been approved by the Legislature
8 and certified by the Department of Economic
9 Opportunity under s. 288.11625, F.S.; providing a
10 limitation; amending s. 218.64, F.S.; providing for
11 municipalities and counties to expend an increased
12 portion of local government half-cent sales tax
13 revenues to reimburse the state as required by a
14 contract; amending s. 288.0001, F.S.; providing for an
15 evaluation; creating s. 288.11625, F.S.; requiring the
16 Department of Economic Opportunity to screen
17 applicants for state funding for sports development;
18 defining terms; providing a purpose to provide funding
19 for applicants for constructing, reconstructing,
20 renovating, or improving a facility; providing an
21 application and approval process; providing for an
22 annual application period; providing for the
23 department to submit recommendations to the
24 Legislature by a certain date; requiring legislative
25 approval for state funding; providing evaluation
26 criteria for an applicant to receive state funding;
27 providing for evaluation and ranking of applicants
28 under certain criteria; requiring the department to
29 determine the annual distribution amount an applicant
30 may receive; requiring the applicant to provide an
31 analysis by a certified public accountant to the
32 department; requiring the Department of Revenue to
33 distribute funds within a certain timeframe after
34 notification by the department; requiring the
35 department to develop a calculation to estimate
36 certain taxes; limiting annual distributions to a
37 specified amount; providing for a contract between the
38 department and the applicant; limiting use of funds;
39 requiring an applicant to submit information to the
40 department annually; requiring a 5-year review;
41 authorizing the Auditor General to conduct audits;
42 providing for reimbursement of the state funding under
43 certain circumstances; providing for discontinuation
44 of distributions upon an applicant’s request;
45 authorizing the department to adopt rules; amending s.
46 288.11631, F.S.; revising the requirements for an
47 applicant to be certified to receive state funding for
48 a facility for a spring training franchise;
49 authorizing a certified applicant to submit an
50 amendment to its original certification for use of the
51 facility by more than one spring training franchise;
52 authorizing the department to adopt emergency rules;
53 providing an effective date.
54
55 Be It Enacted by the Legislature of the State of Florida:
56
57 Section 1. Paragraph (d) of subsection (6) of section
58 212.20, Florida Statutes, is amended to read:
59 212.20 Funds collected, disposition; additional powers of
60 department; operational expense; refund of taxes adjudicated
61 unconstitutionally collected.—
62 (6) Distribution of all proceeds under this chapter and s.
63 202.18(1)(b) and (2)(b) shall be as follows:
64 (d) The proceeds of all other taxes and fees imposed
65 pursuant to this chapter or remitted pursuant to s. 202.18(1)(b)
66 and (2)(b) shall be distributed as follows:
67 1. In any fiscal year, the greater of $500 million, minus
68 an amount equal to 4.6 percent of the proceeds of the taxes
69 collected pursuant to chapter 201, or 5.2 percent of all other
70 taxes and fees imposed pursuant to this chapter or remitted
71 pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in
72 monthly installments into the General Revenue Fund.
73 2. After the distribution under subparagraph 1., 8.814
74 percent of the amount remitted by a sales tax dealer located
75 within a participating county pursuant to s. 218.61 shall be
76 transferred into the Local Government Half-cent Sales Tax
77 Clearing Trust Fund. Beginning July 1, 2003, the amount to be
78 transferred shall be reduced by 0.1 percent, and the department
79 shall distribute this amount to the Public Employees Relations
80 Commission Trust Fund less $5,000 each month, which shall be
81 added to the amount calculated in subparagraph 3. and
82 distributed accordingly.
83 3. After the distribution under subparagraphs 1. and 2.,
84 0.095 percent shall be transferred to the Local Government Half
85 cent Sales Tax Clearing Trust Fund and distributed pursuant to
86 s. 218.65.
87 4. After the distributions under subparagraphs 1., 2., and
88 3., 2.0440 percent of the available proceeds shall be
89 transferred monthly to the Revenue Sharing Trust Fund for
90 Counties pursuant to s. 218.215.
91 5. After the distributions under subparagraphs 1., 2., and
92 3., 1.3409 percent of the available proceeds shall be
93 transferred monthly to the Revenue Sharing Trust Fund for
94 Municipalities pursuant to s. 218.215. If the total revenue to
95 be distributed pursuant to this subparagraph is at least as
96 great as the amount due from the Revenue Sharing Trust Fund for
97 Municipalities and the former Municipal Financial Assistance
98 Trust Fund in state fiscal year 1999-2000, no municipality shall
99 receive less than the amount due from the Revenue Sharing Trust
100 Fund for Municipalities and the former Municipal Financial
101 Assistance Trust Fund in state fiscal year 1999-2000. If the
102 total proceeds to be distributed are less than the amount
103 received in combination from the Revenue Sharing Trust Fund for
104 Municipalities and the former Municipal Financial Assistance
105 Trust Fund in state fiscal year 1999-2000, each municipality
106 shall receive an amount proportionate to the amount it was due
107 in state fiscal year 1999-2000.
108 6. Of the remaining proceeds:
109 a. In each fiscal year, the sum of $29,915,500 shall be
110 divided into as many equal parts as there are counties in the
111 state, and one part shall be distributed to each county. The
112 distribution among the several counties must begin each fiscal
113 year on or before January 5th and continue monthly for a total
114 of 4 months. If a local or special law required that any moneys
115 accruing to a county in fiscal year 1999-2000 under the then
116 existing provisions of s. 550.135 be paid directly to the
117 district school board, special district, or a municipal
118 government, such payment must continue until the local or
119 special law is amended or repealed. The state covenants with
120 holders of bonds or other instruments of indebtedness issued by
121 local governments, special districts, or district school boards
122 before July 1, 2000, that it is not the intent of this
123 subparagraph to adversely affect the rights of those holders or
124 relieve local governments, special districts, or district school
125 boards of the duty to meet their obligations as a result of
126 previous pledges or assignments or trusts entered into which
127 obligated funds received from the distribution to county
128 governments under then-existing s. 550.135. This distribution
129 specifically is in lieu of funds distributed under s. 550.135
130 before July 1, 2000.
131 b. The department shall distribute $166,667 monthly
132 pursuant to s. 288.1162 to each applicant certified as a
133 facility for a new or retained professional sports franchise
134 pursuant to s. 288.1162. Up to $41,667 shall be distributed
135 monthly by the department to each certified applicant as defined
136 in s. 288.11621 for a facility for a spring training franchise.
137 However, not more than $416,670 may be distributed monthly in
138 the aggregate to all certified applicants for facilities for
139 spring training franchises. Distributions begin 60 days after
140 such certification and continue for not more than 30 years,
141 except as otherwise provided in s. 288.11621. A certified
142 applicant identified in this sub-subparagraph may not receive
143 more in distributions than expended by the applicant for the
144 public purposes provided for in s. 288.1162(5) or s.
145 288.11621(3).
146 c. Beginning 30 days after notice by the Department of
147 Economic Opportunity to the Department of Revenue that an
148 applicant has been certified as the professional golf hall of
149 fame pursuant to s. 288.1168 and is open to the public, $166,667
150 shall be distributed monthly, for up to 300 months, to the
151 applicant.
152 d. Beginning 30 days after notice by the Department of
153 Economic Opportunity to the Department of Revenue that the
154 applicant has been certified as the International Game Fish
155 Association World Center facility pursuant to s. 288.1169, and
156 the facility is open to the public, $83,333 shall be distributed
157 monthly, for up to 168 months, to the applicant. This
158 distribution is subject to reduction pursuant to s. 288.1169. A
159 lump sum payment of $999,996 shall be made, after certification
160 and before July 1, 2000.
161 e. The department shall distribute up to $83,333 $55,555
162 monthly to each certified applicant as defined in s. 288.11631
163 for a facility used by a single spring training franchise, or up
164 to $166,667 $111,110 monthly to each certified applicant as
165 defined in s. 288.11631 for a facility used by more than one
166 spring training franchise. Monthly distributions begin 60 days
167 after such certification or July 1, 2016, whichever is later,
168 and continue for not more than 20 30 years to each certified
169 applicant as defined in s. 288.11631 for a facility used by a
170 single spring training franchise or not more than 25 years to
171 each certified applicant as defined in s. 288.11631 for a
172 facility used by more than one spring training franchise, except
173 as otherwise provided in s. 288.11631. A certified applicant
174 identified in this sub-subparagraph may not receive more in
175 distributions than expended by the applicant for the public
176 purposes provided in s. 288.11631(3).
177 f. Beginning 45 days after notice by the Department of
178 Economic Opportunity to the Department of Revenue that an
179 applicant has been approved by the Legislature and certified by
180 the Department of Economic Opportunity under s. 288.11625, the
181 department shall distribute each month an amount equal to one
182 twelfth of the annual distribution amount certified by the
183 Department of Economic Opportunity for the applicant. The
184 department may not distribute more than $13 million annually
185 under this sub-subparagraph.
186 7. All other proceeds must remain in the General Revenue
187 Fund.
188 Section 2. Subsections (2) and (3) of section 218.64,
189 Florida Statutes, are amended to read:
190 218.64 Local government half-cent sales tax; uses;
191 limitations.—
192 (2) Municipalities shall expend their portions of the local
193 government half-cent sales tax only for municipality-wide
194 programs, for reimbursing the state as required by a contract
195 pursuant to s. 288.11625(7), or for municipality-wide property
196 tax or municipal utility tax relief. All utility tax rate
197 reductions afforded by participation in the local government
198 half-cent sales tax shall be applied uniformly across all types
199 of taxed utility services.
200 (3) Subject to ordinances enacted by the majority of the
201 members of the county governing authority and by the majority of
202 the members of the governing authorities of municipalities
203 representing at least 50 percent of the municipal population of
204 such county, counties may use up to $3 $2 million annually of
205 the local government half-cent sales tax allocated to that
206 county for funding for any of the following purposes applicants:
207 (a) Funding a certified applicant as a facility for a new
208 or retained professional sports franchise under s. 288.1162 or a
209 certified applicant as defined in s. 288.11621 for a facility
210 for a spring training franchise. It is the Legislature’s intent
211 that the provisions of s. 288.1162, including, but not limited
212 to, the evaluation process by the Department of Economic
213 Opportunity except for the limitation on the number of certified
214 applicants or facilities as provided in that section and the
215 restrictions set forth in s. 288.1162(8), shall apply to an
216 applicant’s facility to be funded by local government as
217 provided in this subsection.
218 (b) Funding a certified applicant as a “motorsport
219 entertainment complex,” as provided for in s. 288.1171. Funding
220 for each franchise or motorsport complex shall begin 60 days
221 after certification and shall continue for not more than 30
222 years.
223 (c) Reimbursing the state as required by a contract entered
224 into under s. 288.11625(7).
225 Section 3. Paragraph (d) is added to subsection (2) of
226 section 288.0001, Florida Statutes, to read:
227 288.0001 Economic Development Programs Evaluation.—The
228 Office of Economic and Demographic Research and the Office of
229 Program Policy Analysis and Government Accountability (OPPAGA)
230 shall develop and present to the Governor, the President of the
231 Senate, the Speaker of the House of Representatives, and the
232 chairs of the legislative appropriations committees the Economic
233 Development Programs Evaluation.
234 (2) The Office of Economic and Demographic Research and
235 OPPAGA shall provide a detailed analysis of economic development
236 programs as provided in the following schedule:
237 (d) Beginning January 1, 2018, and every 3 years
238 thereafter, an analysis of the Sports Development Program
239 established under s. 288.11625.
240 Section 4. Section 288.11625, Florida Statutes, is created
241 to read:
242 288.11625 Sports development.—
243 (1) ADMINISTRATION.—The department shall serve as the state
244 agency responsible for screening applicants for state funding
245 under s. 212.20(6)(d)6.f.
246 (2) DEFINITIONS.—As used in this section, the term:
247 (a) “Agreement” means a signed agreement between a unit of
248 local government and a beneficiary.
249 (b) “Applicant” means a unit of local government, as
250 defined in s. 218.369, which is responsible for the
251 construction, management, or operation of a facility; or an
252 entity that is responsible for the construction, management, or
253 operation of a facility if a unit of local government holds
254 title to the underlying property on which the facility is
255 located.
256 (c) “Beneficiary” means a professional sports franchise of
257 the National Football League, the National Hockey League, the
258 National Basketball Association, the National League or American
259 League of Major League Baseball, Major League Soccer, or the
260 promoter of a signature event sanctioned by the National
261 Association for Stock Car Auto Racing. A beneficiary may also be
262 an applicant under this section.
263 (d) “Facility” means a structure primarily used to host
264 games or events held by a beneficiary and does not include any
265 portion used to provide transient lodging.
266 (e) “Project” means a proposed construction,
267 reconstruction, renovation, or improvement of a facility or the
268 proposed acquisition of land to construct a new facility and
269 construction of improvements to state-owned land necessary for
270 the efficient use of the facility.
271 (f) “Signature event” means a professional sports event
272 with significant export factor potential. For purposes of this
273 paragraph, the term “export factor” means the attraction of
274 economic activity or growth into the state which otherwise would
275 not have occurred. Examples of signature events may include, but
276 are not limited to:
277 1. National Football League Super Bowls.
278 2. Professional sports All-Star games.
279 3. International sporting events and tournaments.
280 4. Professional motorsports events.
281 5. The establishment of a new professional sports franchise
282 in this state.
283 (g) “State sales taxes generated by sales at the facility”
284 means state sales taxes imposed under chapter 212 generated by
285 admissions to the facility or by sales made by vendors at the
286 facility who are accessible only to persons attending events
287 occurring at the facility.
288 (3) PURPOSE.—The purpose of this section is to provide
289 applicants state funding under s. 212.20(6)(d)6.f. for the
290 public purpose of constructing, reconstructing, renovating, or
291 improving a facility.
292 (4) APPLICATION AND APPROVAL PROCESS.—
293 (a) The department shall establish the procedures and
294 application forms deemed necessary pursuant to the requirements
295 of this section. The department may notify an applicant of any
296 additional required or incomplete information necessary to
297 evaluate an application.
298 (b) The annual application period is from June 1 through
299 November 1.
300 (c) Within 60 days after receipt of a completed
301 application, the department shall complete its evaluation of the
302 application as provided under subsection (5) and notify the
303 applicant in writing of the department’s decision to recommend
304 approval of the applicant by the Legislature or to deny the
305 application.
306 (d) By each February 1, the department shall rank the
307 applicants and provide to the Legislature the list of the
308 recommended applicants in ranked order of projects most likely
309 to positively impact the state based on criteria established
310 under this section. The list must include the department’s
311 evaluation of the applicant.
312 (e) A recommended applicant’s request for funding must be
313 approved by the Legislature by general law.
314 1. An application by a unit of local government which is
315 approved by the Legislature and subsequently certified by the
316 department remains certified for the duration of the
317 beneficiary’s agreement with the applicant or for 30 years,
318 whichever is less, provided the certified applicant has an
319 agreement with a beneficiary at the time of initial
320 certification by the department.
321 2. An application by a beneficiary or other applicant which
322 is approved by the Legislature and subsequently certified by the
323 department remains certified for the duration of the
324 beneficiary’s agreement with the unit of local government that
325 owns the underlying property or for 30 years, whichever is less,
326 provided the certified applicant has an agreement with the unit
327 of local government at the time of initial certification by the
328 department.
329 3. An applicant that is previously certified pursuant to
330 this section does not need legislative approval each year to
331 receive state funding.
332 (f) An applicant that is recommended by the department but
333 not approved by the Legislature may reapply and shall update any
334 information in the original application as required by the
335 department.
336 (g) The department may recommend no more than one
337 distribution under this section for any applicant, facility, or
338 beneficiary at a time.
339 (5) EVALUATION PROCESS.—
340 (a) Before recommending an applicant to receive a state
341 distribution under s. 212.20(6)(d)6.f., the department must
342 verify that:
343 1. The applicant or beneficiary is responsible for the
344 construction, reconstruction, renovation, or improvement of a
345 facility and obtained at least three bids for the project.
346 2. If the applicant is not a unit of local government, a
347 unit of local government holds title to the property on which
348 the facility and project are located.
349 3. If the applicant is a unit of local government in whose
350 jurisdiction the facility will be located, the unit of local
351 government has an exclusive intent agreement to negotiate in
352 this state with the beneficiary.
353 4. A unit of local government in whose jurisdiction the
354 facility will be located supports the application for state
355 funds. Such support must be verified by the adoption of a
356 resolution, after a public hearing, that the project serves a
357 public purpose.
358 5. The applicant or beneficiary has not previously
359 defaulted or failed to meet any statutory requirements of a
360 previous state-administered sports-related program under s.
361 288.1162, s. 288.11621, or s. 288.1168. Additionally, the
362 applicant or beneficiary is not currently receiving state
363 distributions under s. 212.20 or the facility that is the
364 subject of the application is not the subject of a distribution
365 under s. 212.20.
366 6. The applicant or beneficiary has sufficiently
367 demonstrated a commitment to employ residents of this state,
368 contract with Florida-based firms, and purchase locally
369 available building materials to the greatest extent possible.
370 7. If the applicant is a unit of local government, the
371 applicant has a certified copy of a signed agreement with a
372 beneficiary for the use of the facility. If the applicant is a
373 beneficiary, the beneficiary must enter into an agreement with
374 the department. The applicant’s or beneficiary’s agreement must
375 also require the following:
376 a. The beneficiary must reimburse the state for state funds
377 that have been distributed and will be distributed if the
378 beneficiary relocates before the agreement expires.
379 b. The beneficiary must pay for signage or advertising
380 within the facility. The signage or advertising must be placed
381 in a prominent location as close to the field of play or
382 competition as is practicable, must be displayed consistent with
383 signage or advertising in the same location and of like value,
384 and must feature Florida advertising approved by the Florida
385 Tourism Industry Marketing Corporation.
386 8. The project will commence within 12 months after
387 receiving state funds or did not commence more than 16 months
388 before July 1, 2014.
389 (b) The department shall competitively evaluate and rank
390 applicants that timely submit applications for state funding
391 based on their ability to positively impact the state using the
392 following criteria:
393 1. The proposed use of state funds.
394 2. The length of time that a beneficiary has agreed to use
395 the facility.
396 3. The percentage of total project funds provided by the
397 applicant and the percentage of total project funds provided by
398 the beneficiary, with priority in the evaluation and ranking
399 given to applications with 50 percent or more of total project
400 funds provided by the applicant and beneficiary.
401 4. The number and type of signature events the facility is
402 likely to attract during the duration of the agreement with the
403 beneficiary.
404 5. The anticipated increase in average annual ticket sales
405 and attendance at the facility due to the project.
406 6. The potential to attract out-of-state visitors to the
407 facility.
408 7. The length of time a beneficiary has been in this state
409 or partnered with the unit of local government. In order to
410 encourage new franchises to locate in this state, an application
411 for a new franchise shall be considered to have a significant
412 positive impact on the state and shall be given priority in the
413 evaluation and ranking by the department.
414 8. The multiuse capabilities of the facility.
415 9. The facility’s projected employment of residents of this
416 state, contracts with Florida-based firms, and purchases of
417 locally available building materials.
418 10. The amount of private and local financial or in-kind
419 contributions to the project.
420 11. The amount of positive advertising or media coverage
421 the facility generates.
422 (6) DISTRIBUTION.—
423 (a) The department shall determine the annual distribution
424 amount an applicant may receive based on 80 percent of the
425 average annual new incremental state sales taxes generated by
426 sales at the facility as provided under subparagraph (b)2., up
427 to $3 million.
428 (b) At the time of initial evaluation and review by the
429 department pursuant to subsection (5), the applicant must
430 provide an analysis by an independent certified public
431 accountant which demonstrates:
432 1. The amount of state sales taxes generated by sales at
433 the facility during the 12-month period immediately before the
434 beginning of the application period. This amount is the
435 baseline.
436 2. The expected amount of average annual new incremental
437 state sales taxes generated by sales at the facility above the
438 baseline which will be generated as a result of the project.
439 3. The expected amount of average annual new incremental
440 state sales taxes generated by sales at the facility must be at
441 least $500,000 above the baseline for the applicant to be
442 eligible to receive a distribution under this section.
443 (c) The independent analysis provided in paragraph (b)
444 shall be verified by the department.
445 (d) The Department of Revenue shall begin distributions
446 within 45 days after notification of initial certification from
447 the department.
448 (e) The department shall consult with the Department of
449 Revenue and the Office of Economic and Demographic Research to
450 develop a standard calculation for estimating the average annual
451 new incremental state sales taxes generated by sales at the
452 facility.
453 (f) In any 12-month period when total distributions for all
454 certified applicants reach $13 million, the department may not
455 certify new distributions for additional applicants.
456 (7) CONTRACT.—An applicant approved by the Legislature and
457 certified by the department must enter into a contract with the
458 department which:
459 (a) Specifies the terms of the state’s investment.
460 (b) States the criteria that the certified applicant must
461 meet in order to remain certified.
462 (c) Requires the applicant to submit the independent
463 analysis required under subsection (6) and an annual independent
464 analysis.
465 1. The applicant must agree to submit to the department,
466 beginning 12 months after completion of a project or 12 months
467 after the first four annual distributions, whichever is earlier,
468 an annual analysis by an independent certified public accountant
469 demonstrating the actual amount of new incremental state sales
470 taxes generated by sales at the facility during the previous 12
471 month period. The applicant shall certify to the department a
472 comparison of the actual amount of state sales taxes generated
473 by sales at the facility during the previous 12-month period to
474 the baseline under subparagraph (6)(b)1.
475 2. The applicant must submit the certification within 60
476 days after the end of the previous 12-month period. The
477 department shall verify the analysis.
478 (d) Specifies information that the certified applicant must
479 report to the department.
480 (e) Requires the applicant to reimburse the state, after
481 all distributions have been made, an amount equal to the
482 difference between the actual new incremental state sales taxes
483 generated by sales at the facility during the contract and the
484 total amount of distributions made under s. 212.20(6)(d)6.f. If
485 any reimbursement is due to the state, such reimbursement must
486 be made within 90 days after the last distribution under the
487 contract has been made. If the applicant is unable or unwilling
488 to reimburse the state for such amount, the department may place
489 a lien on the applicant’s facility.
490 1. If the applicant is a municipality or county, it may
491 reimburse the state from its half-cent sales tax allocation, as
492 provided in s. 218.64(3).
493 2. Reimbursements must be sent to the Department of Revenue
494 for deposit into the General Revenue Fund.
495 (f) Includes any provisions deemed prudent by the
496 department.
497 (8) USE OF FUNDS.—An applicant certified under this section
498 may use state funds only for the following purposes:
499 (a) Constructing, reconstructing, renovating, or improving
500 a facility or reimbursing such costs.
501 (b) Paying or pledging for the payment of debt service on
502 bonds issued for the construction or renovation of such
503 facility.
504 (c) Funding debt service reserve funds, arbitrage rebate
505 obligations, or other amounts payable with respect thereto on
506 bonds issued for the construction or renovation of such
507 facility.
508 (d) Reimbursing the costs under paragraphs (b) and (c) or
509 the refinancing of bonds issued for the construction or
510 renovation of such facility.
511 (9) REPORTS.—
512 (a) On or before November 1 of each year, an applicant
513 certified under this section and approved to receive state funds
514 must submit to the department any information required by the
515 department. The department shall summarize this information for
516 inclusion in its annual report to the Legislature under
517 paragraph (4)(d).
518 (b) Every 5 years after an applicant receives its first
519 monthly distribution, the department must verify that the
520 applicant is meeting the program requirements. If the applicant
521 fails to meet these requirements, the department shall notify
522 the Governor and the Legislature in its next annual report under
523 paragraph (4)(d) that the requirements are not being met and
524 recommend future action. The department shall take into
525 consideration extenuating circumstances that may have prevented
526 the applicant from meeting the program requirements, such as
527 force majeure events or a significant economic downturn.
528 (10) AUDITS.—The Auditor General may conduct audits
529 pursuant to s. 11.45 to verify the independent analysis required
530 under paragraphs (6)(b) and (7)(c) and to verify that the
531 distributions are expended as required. The Auditor General
532 shall report the findings to the department. If the Auditor
533 General determines that the distribution payments are not
534 expended as required, the Auditor General must notify the
535 Department of Revenue, which may pursue recovery of
536 distributions under the laws and rules that govern the
537 assessment of taxes.
538 (11) REPAYMENT OF DISTRIBUTIONS.—An applicant that is
539 certified under this section may be subject to repayment of
540 distributions upon the occurrence of any of the following:
541 (a) An applicant’s beneficiary has broken the terms of its
542 agreement with the applicant and relocated from the facility.
543 The beneficiary must reimburse the state for state funds that
544 will be distributed if the beneficiary relocates before the
545 agreement expires.
546 (b) A determination by the department that an applicant has
547 submitted information or made a representation that is
548 determined to be false, misleading, deceptive, or otherwise
549 untrue. The applicant must reimburse the state for state funds
550 that will be distributed if such determination is made.
551 (c) Repayment of distributions must be sent to the
552 Department of Revenue for deposit into the General Revenue Fund.
553 (12) HALTING OF PAYMENTS.—The applicant may request in
554 writing at least 20 days before the next monthly distribution
555 that the department halt future payments. The department shall
556 immediately notify the Department of Revenue to halt future
557 payments.
558 (13) RULEMAKING.—The department may adopt rules to
559 implement this section.
560 Section 5. Paragraphs (a) and (c) of subsection (2) of
561 section 288.11631, Florida Statutes, are amended, and paragraph
562 (d) is added to that subsection, to read:
563 288.11631 Retention of Major League Baseball spring
564 training baseball franchises.—
565 (2) CERTIFICATION PROCESS.—
566 (a) Before certifying an applicant to receive state funding
567 for a facility for a spring training franchise, the department
568 must verify that:
569 1. The applicant is responsible for the construction or
570 renovation of the facility for a spring training franchise or
571 holds title to the property on which the facility for a spring
572 training franchise is located.
573 2. The applicant has a certified copy of a signed agreement
574 with a spring training franchise. The signed agreement with a
575 spring training franchise for the use of a facility must, at a
576 minimum, be equal to the length of the term of the bonds issued
577 for the public purpose of constructing or renovating a facility
578 for a spring training franchise. If no such bonds are issued for
579 the public purpose of constructing or renovating a facility for
580 a spring training franchise, the signed agreement with a spring
581 training franchise for the use of a facility must be for at
582 least 20 years. Any such agreement with a spring training
583 franchise for the use of a facility cannot be signed more than 4
584 years before the expiration of any existing agreement with a
585 spring training franchise for the use of a facility. However,
586 any such agreement may be signed at any time before the
587 expiration of any existing agreement with a spring training
588 franchise for use of a facility if the applicant has never
589 received state funding for the facility as a spring training
590 facility under this section or s. 288.11621 and the facility was
591 constructed before January 1, 2000. The agreement must also
592 require the franchise to reimburse the state for state funds
593 expended by an applicant under this section if the franchise
594 relocates before the agreement expires; however, if bonds were
595 issued to construct or renovate a facility for a spring training
596 franchise, the required reimbursement must be equal to the total
597 amount of state distributions expected to be paid from the date
598 the franchise breaks its agreement with the applicant through
599 the final maturity of the bonds. The agreement may be contingent
600 on an award of funds under this section and other conditions
601 precedent.
602 3. The applicant has made a financial commitment to provide
603 50 percent or more of the funds required by an agreement for the
604 construction or renovation of the facility for a spring training
605 franchise. The commitment may be contingent upon an award of
606 funds under this section and other conditions precedent.
607 4. The applicant demonstrates that the facility for a
608 spring training franchise will attract a paid attendance of at
609 least 50,000 persons annually to the spring training games.
610 5. The facility for a spring training franchise is located
611 in a county that levies a tourist development tax under s.
612 125.0104.
613 (c) Each applicant certified on or after July 1, 2013,
614 shall enter into an agreement with the department which:
615 1. Specifies the amount of the state incentive funding to
616 be distributed. The amount of state incentive funding per
617 certified applicant may not exceed $20 million. However, if a
618 certified applicant’s facility is used by more than one spring
619 training franchise, the maximum amount may not exceed $50
620 million, and the Department of Revenue shall make distributions
621 to the applicant pursuant to s. 212.20(6)(d)6.e. for not more
622 than 37 years and 6 months.
623 2. States the criteria that the certified applicant must
624 meet in order to remain certified. These criteria must include a
625 provision stating that the spring training franchise must
626 reimburse the state for any funds received if the franchise does
627 not comply with the terms of the contract. If bonds were issued
628 to construct or renovate a facility for a spring training
629 franchise, the required reimbursement must be equal to the total
630 amount of state distributions expected to be paid from the date
631 the franchise violates the agreement with the applicant through
632 the final maturity of the bonds.
633 3. States that the certified applicant is subject to
634 decertification if the certified applicant fails to comply with
635 this section or the agreement.
636 4. States that the department may recover state incentive
637 funds if the certified applicant is decertified.
638 5. Specifies the information that the certified applicant
639 must report to the department.
640 6. Includes any provision deemed prudent by the department.
641 (d) If a certified applicant has been certified under this
642 program for use of its facility by one spring training
643 franchise, the certified applicant may apply to amend its
644 certification for use of its facility by more than one spring
645 training franchise. The certified applicant must submit an
646 application to amend its original certification that meets the
647 requirements of this section. The maximum amount of state
648 incentive funding to be distributed may not exceed $50 million
649 as provided in subparagraph (c)1. for a certified applicant with
650 a facility used by more than one spring training franchise,
651 including any distributions previously received by the certified
652 applicant under its original certification under this section.
653 Upon approval of an amended certification, the department shall
654 notify the Department of Revenue as provided in this section.
655 Section 6. (1) The executive director of the Department of
656 Economic Opportunity is authorized, and all conditions are
657 deemed met, to adopt emergency rules pursuant to ss. 120.536(1)
658 and 120.54(4), Florida Statutes, for the purpose of implementing
659 this act.
660 (2) Notwithstanding any provision of law, such emergency
661 rules shall remain in effect for 6 months after the date adopted
662 and may be renewed during the pendency of procedures to adopt
663 permanent rules addressing the subject of the emergency rules.
664 (3) This section expires July 1, 2015.
665 Section 7. This act shall take effect July 1, 2014.