Florida Senate - 2014                        COMMITTEE AMENDMENT
       Bill No. HB 5601
       
       
       
       
       
       
                                Ì477076CÎ477076                         
       
                              LEGISLATIVE ACTION                        
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       following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete everything after the enacting clause
    4  and insert:
    5         Section 1. Paragraphs (a) and (b) of subsection (1) of
    6  section 202.12, Florida Statutes, are amended to read:
    7         202.12 Sales of communications services.—The Legislature
    8  finds that every person who engages in the business of selling
    9  communications services at retail in this state is exercising a
   10  taxable privilege. It is the intent of the Legislature that the
   11  tax imposed by chapter 203 be administered as provided in this
   12  chapter.
   13         (1) For the exercise of such privilege, a tax is levied on
   14  each taxable transaction, and the tax is due and payable as
   15  follows:
   16         (a) Except as otherwise provided in this subsection, at a
   17  rate of 6.07 6.65 percent applied to the sales price of the
   18  communications service that which:
   19         1. Originates and terminates in this state;, or
   20         2. Originates or terminates in this state and is charged to
   21  a service address in this state,
   22  
   23  when sold at retail, computed on each taxable sale for the
   24  purpose of remitting the tax due. The gross receipts tax imposed
   25  by chapter 203 shall be collected on the same taxable
   26  transactions and remitted with the tax imposed by this
   27  paragraph. If no tax is imposed by this paragraph due to the
   28  exemption provided under by reason of s. 202.125(1), the tax
   29  imposed by chapter 203 shall nevertheless be collected and
   30  remitted in the manner and at the time prescribed for tax
   31  collections and remittances under this chapter.
   32         (b) At the rate of 10.22 10.8 percent on the retail sales
   33  price of any direct-to-home satellite service received in this
   34  state. The proceeds of the tax imposed under this paragraph
   35  shall be accounted for and distributed in accordance with s.
   36  202.18(2). The gross receipts tax imposed by chapter 203 shall
   37  be collected on the same taxable transactions and remitted with
   38  the tax imposed by this paragraph.
   39         Section 2. Section 202.12001, Florida Statutes, is amended
   40  to read:
   41         202.12001 Combined rate for tax collected pursuant to ss.
   42  202.12(1)(a) and 203.01(1)(b).—In complying with ss. 1-3, ch.
   43  2010-149, Laws of Florida, the dealer of communication services
   44  may collect a combined rate of 6.22 6.8 percent comprised of
   45  6.07 6.65 percent and 0.15 percent required by ss. 202.12(1)(a)
   46  and 203.01(1)(b)3., respectively, if as long as the provider
   47  properly reflects the tax collected with respect to the two
   48  provisions as required in the return to the Department of
   49  Revenue.
   50         Section 3. Subsection (2) of section 202.18, Florida
   51  Statutes, is amended to read:
   52         202.18 Allocation and disposition of tax proceeds.—The
   53  proceeds of the communications services taxes remitted under
   54  this chapter shall be treated as follows:
   55         (2) The proceeds of the taxes remitted under s.
   56  202.12(1)(b) shall be allocated divided as follows:
   57         (a) The portion of such proceeds that constitute which
   58  constitutes gross receipts taxes, imposed at the rate prescribed
   59  in chapter 203, shall be deposited as provided by law and in
   60  accordance with s. 9, Art. XII of the State Constitution.
   61         (b) Sixty and nine-tenths Sixty-three percent of the
   62  remainder shall be allocated to the state and distributed
   63  pursuant to s. 212.20(6), except that the proceeds allocated
   64  pursuant to s. 212.20(6)(d)2. shall be prorated to the
   65  participating counties in the same proportion as that month’s
   66  collection of the taxes and fees imposed pursuant to chapter 212
   67  and paragraph (1)(b).
   68         (c)1. During each calendar year, the remaining portion of
   69  such proceeds shall be transferred to the Local Government Half
   70  cent Sales Tax Clearing Trust Fund. Seventy percent of such
   71  proceeds shall be allocated in the same proportion as the
   72  allocation of total receipts of the half-cent sales tax under s.
   73  218.61 and the emergency distribution under s. 218.65 in the
   74  prior state fiscal year. Thirty percent of such proceeds shall
   75  be distributed pursuant to s. 218.67.
   76         2. The proportion of the proceeds allocated based on the
   77  emergency distribution under s. 218.65 shall be distributed
   78  pursuant to s. 218.65.
   79         3. In each calendar year, the proportion of the proceeds
   80  allocated based on the half-cent sales tax under s. 218.61 shall
   81  be allocated to each county in the same proportion as the
   82  county’s percentage of total sales tax allocation for the prior
   83  state fiscal year and distributed pursuant to s. 218.62.
   84         4. The department shall distribute the appropriate amount
   85  to each municipality and county each month at the same time that
   86  local communications services taxes are distributed pursuant to
   87  subsection (3).
   88         Section 4. Section 203.001, Florida Statutes, is amended to
   89  read:
   90         203.001 Combined rate for tax collected pursuant to ss.
   91  202.12(1)(a) and 203.01(1)(b).—In complying with ss. 1-3, ch.
   92  2010-149, Laws of Florida, the dealer of communication services
   93  may collect a combined rate of 6.22 6.8 percent comprised of
   94  6.07 6.65 percent and 0.15 percent required by ss. 202.12(1)(a)
   95  and 203.01(1)(b)3., respectively, if as long as the provider
   96  properly reflects the tax collected with respect to the two
   97  provisions as required in the return to the Department of
   98  Revenue.
   99         Section 5. Effective July 1, 2014, paragraph (d) of
  100  subsection (6) of section 212.20, Florida Statutes, is amended
  101  to read:
  102         212.20 Funds collected, disposition; additional powers of
  103  department; operational expense; refund of taxes adjudicated
  104  unconstitutionally collected.—
  105         (6) Distribution of all proceeds under this chapter and s.
  106  202.18(1)(b) and (2)(b) shall be as follows:
  107         (d) The proceeds of all other taxes and fees imposed
  108  pursuant to this chapter or remitted pursuant to s. 202.18(1)(b)
  109  and (2)(b) shall be distributed as follows:
  110         1. In any fiscal year, the greater of $500 million, minus
  111  an amount equal to 4.6 percent of the proceeds of the taxes
  112  collected pursuant to chapter 201, or 5.2 percent of all other
  113  taxes and fees imposed pursuant to this chapter or remitted
  114  pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in
  115  monthly installments into the General Revenue Fund.
  116         2. After the distribution under subparagraph 1., 8.814
  117  percent of the amount remitted by a sales tax dealer located
  118  within a participating county pursuant to s. 218.61 shall be
  119  transferred into the Local Government Half-cent Sales Tax
  120  Clearing Trust Fund. Beginning July 1, 2003, the amount to be
  121  transferred shall be reduced by 0.1 percent, and the department
  122  shall distribute this amount to the Public Employees Relations
  123  Commission Trust Fund less $5,000 each month, which shall be
  124  added to the amount calculated in subparagraph 3. and
  125  distributed accordingly.
  126         3. After the distribution under subparagraphs 1. and 2.,
  127  0.095 percent shall be transferred to the Local Government Half
  128  cent Sales Tax Clearing Trust Fund and distributed pursuant to
  129  s. 218.65.
  130         4. After the distributions under subparagraphs 1., 2., and
  131  3., 2.0440 percent of the available proceeds shall be
  132  transferred monthly to the Revenue Sharing Trust Fund for
  133  Counties pursuant to s. 218.215.
  134         5. After the distributions under subparagraphs 1., 2., and
  135  3., 1.3409 percent of the available proceeds shall be
  136  transferred monthly to the Revenue Sharing Trust Fund for
  137  Municipalities pursuant to s. 218.215. If the total revenue to
  138  be distributed pursuant to this subparagraph is at least as
  139  great as the amount due from the Revenue Sharing Trust Fund for
  140  Municipalities and the former Municipal Financial Assistance
  141  Trust Fund in state fiscal year 1999-2000, no municipality shall
  142  receive less than the amount due from the Revenue Sharing Trust
  143  Fund for Municipalities and the former Municipal Financial
  144  Assistance Trust Fund in state fiscal year 1999-2000. If the
  145  total proceeds to be distributed are less than the amount
  146  received in combination from the Revenue Sharing Trust Fund for
  147  Municipalities and the former Municipal Financial Assistance
  148  Trust Fund in state fiscal year 1999-2000, each municipality
  149  shall receive an amount proportionate to the amount it was due
  150  in state fiscal year 1999-2000.
  151         6. Of the remaining proceeds:
  152         a. In each fiscal year, the sum of $29,915,500 shall be
  153  divided into as many equal parts as there are counties in the
  154  state, and one part shall be distributed to each county. The
  155  distribution among the several counties must begin each fiscal
  156  year on or before January 5th and continue monthly for a total
  157  of 4 months. If a local or special law required that any moneys
  158  accruing to a county in fiscal year 1999-2000 under the then
  159  existing provisions of s. 550.135 be paid directly to the
  160  district school board, special district, or a municipal
  161  government, such payment must continue until the local or
  162  special law is amended or repealed. The state covenants with
  163  holders of bonds or other instruments of indebtedness issued by
  164  local governments, special districts, or district school boards
  165  before July 1, 2000, that it is not the intent of this
  166  subparagraph to adversely affect the rights of those holders or
  167  relieve local governments, special districts, or district school
  168  boards of the duty to meet their obligations as a result of
  169  previous pledges or assignments or trusts entered into which
  170  obligated funds received from the distribution to county
  171  governments under then-existing s. 550.135. This distribution
  172  specifically is in lieu of funds distributed under s. 550.135
  173  before July 1, 2000.
  174         b. The department shall distribute $166,667 monthly
  175  pursuant to s. 288.1162 to each applicant certified as a
  176  facility for a new or retained professional sports franchise
  177  pursuant to s. 288.1162. Up to $41,667 shall be distributed
  178  monthly by the department to each certified applicant as defined
  179  in s. 288.11621 for a facility for a spring training franchise.
  180  However, not more than $416,670 may be distributed monthly in
  181  the aggregate to all certified applicants for facilities for
  182  spring training franchises. The department shall also distribute
  183  $166,667 monthly to an applicant certified as a motorsports
  184  entertainment complex under s. 288.1171. Distributions begin 60
  185  days after such certification and continue for not more than 30
  186  years, except as otherwise provided in s. 288.11621. A certified
  187  applicant identified in this sub-subparagraph may not receive
  188  more in distributions than expended by the applicant for the
  189  public purposes provided for under in s. 288.1162(5), or s.
  190  288.11621(3), or s. 288.1171(7).
  191         c. Beginning 30 days after notice by the Department of
  192  Economic Opportunity to the Department of Revenue that an
  193  applicant has been certified as the professional golf hall of
  194  fame pursuant to s. 288.1168 and is open to the public, $166,667
  195  shall be distributed monthly, for up to 300 months, to the
  196  applicant.
  197         d. Beginning 30 days after notice by the Department of
  198  Economic Opportunity to the Department of Revenue that the
  199  applicant has been certified as the International Game Fish
  200  Association World Center facility pursuant to s. 288.1169, and
  201  the facility is open to the public, $83,333 shall be distributed
  202  monthly, for up to 168 months, to the applicant. This
  203  distribution is subject to reduction pursuant to s. 288.1169. A
  204  lump sum payment of $999,996 shall be made, after certification
  205  and before July 1, 2000.
  206         e. The department shall distribute up to $55,555 monthly to
  207  each certified applicant as defined in s. 288.11631 for a
  208  facility used by a single spring training franchise, or up to
  209  $111,110 monthly to each certified applicant as defined in s.
  210  288.11631 for a facility used by more than one spring training
  211  franchise. Monthly distributions begin 60 days after such
  212  certification or July 1, 2016, whichever is later, and continue
  213  for not more than 30 years, except as otherwise provided in s.
  214  288.11631. A certified applicant identified in this sub
  215  subparagraph may not receive more in distributions than expended
  216  by the applicant for the public purposes provided in s.
  217  288.11631(3).
  218         7. All other proceeds must remain in the General Revenue
  219  Fund.
  220         Section 6. Effective July 1, 2014, subsection (2) of
  221  section 288.1171, Florida Statutes, is amended, present
  222  subsections (4) through (7) of that section are redesignated as
  223  subsections (5) through (8), respectively, and amended, and a
  224  new subsection (4) is added to that section, to read:
  225         288.1171 Motorsports entertainment complex; definitions;
  226  certification; duties.—
  227         (2) The department shall serve as the state agency for
  228  screening applicants for funding under s. 212.20, for local
  229  option funding under s. 218.64(3), and for certifying an
  230  applicant as a motorsports entertainment complex. The department
  231  shall develop and adopt rules for the receipt and processing of
  232  applications for funding under ss. 212.20 and s. 218.64(3). The
  233  department shall make a determination regarding any application
  234  filed by an applicant within not later than 120 days after the
  235  application is filed.
  236         (4) The department may certify a single applicant as a
  237  motorsports entertainment complex for funding under s. 212.20 if
  238  the applicant meets all of the following conditions:
  239         (a) The applicant meets the requirements of subsection (3).
  240         (b) The applicant has a verified copy of the approval of a
  241  sanctioning body stating that motorsport events are sanctioned
  242  to occur at the applicant’s complex.
  243         (c) The applicant’s facility has at least 50,000 fixed
  244  seats.
  245         (d)The applicant has projections, verified by the
  246  department, which demonstrate that the motorsports entertainment
  247  complex will annually attract paid attendance of more than
  248  100,000 persons.
  249         (e) The applicant has an independent analysis or study,
  250  verified by the department, which demonstrates that the amount
  251  of revenues generated by the taxes imposed under chapter 212
  252  with respect to the use and operation of the motorsports
  253  entertainment complex will annually equal or exceed $2 million.
  254         (f)The applicant has demonstrated that it has provided, is
  255  capable of providing, or has financial or other commitments to
  256  provide more than one-half of the costs incurred or related to
  257  the improvement and development of the complex.
  258         (g)The total cost of construction, reconstruction,
  259  expansion, or renovation of the complex exceeds $250 million.
  260  
  261  The approved applicant may not seek funding under s. 218.64(3)
  262  while receiving funding under s. 212.20.
  263         (5)(4) Upon determining that an applicant meets the
  264  requirements of subsection (3) or subsection (4), the department
  265  shall notify the applicant and the executive director of the
  266  Department of Revenue of such certification by means of an
  267  official letter granting certification. If the applicant fails
  268  to meet the certification requirements of subsection (3) or
  269  subsection (4), the department shall notify the applicant within
  270  not later than 10 days following such determination.
  271         (6)(5) A motorsports entertainment complex that has been
  272  previously certified under this section and has received funding
  273  under such certification is ineligible for any additional
  274  certification.
  275         (7)(6) An applicant certified as a motorsports
  276  entertainment complex may use funds provided pursuant to s.
  277  212.20 or s. 218.64(3) only for the following public purposes:
  278         (a) Paying for the construction, reconstruction, expansion,
  279  or renovation of a motorsports entertainment complex.
  280         (b) Paying debt service reserve funds, arbitrage rebate
  281  obligations, or other amounts relating payable with respect to
  282  bonds issued for the construction, reconstruction, expansion, or
  283  renovation of the motorsports entertainment complex or for the
  284  reimbursement of such costs or the refinancing of bonds issued
  285  for such purposes.
  286         (c) Paying for construction, reconstruction, expansion, or
  287  renovation of transportation or other infrastructure
  288  improvements related to, necessary for, or appurtenant to the
  289  motorsports entertainment complex, including, without
  290  limitation, paying debt service reserve funds, arbitrage rebate
  291  obligations, or other amounts relating payable with respect to
  292  bonds issued for the construction, reconstruction, expansion, or
  293  renovation of such transportation or other infrastructure
  294  improvements, and for the reimbursement of such costs or the
  295  refinancing of bonds issued for such purposes.
  296         (d) Paying for programs of advertising and promotion of or
  297  related to the motorsports entertainment complex or the
  298  municipality in which the motorsports entertainment complex is
  299  located, or the county if the motorsports entertainment complex
  300  is located in an unincorporated area, if such programs of
  301  advertising and promotion are designed to increase paid
  302  attendance at the motorsports entertainment complex or increase
  303  tourism in or promote the economic development of the community
  304  in which the motorsports entertainment complex is located.
  305         (8)(7)The Department of Revenue may audit, As provided in
  306  s. 11.45 213.34, the Auditor General may conduct an audit to
  307  verify that the distributions pursuant to this section have been
  308  expended as required in this section. Such information is
  309  subject to the confidentiality requirements of chapter 213. If
  310  the Auditor General Department of Revenue determines that the
  311  distributions pursuant to certification under this section have
  312  not been expended as required by this section, the Auditor
  313  General shall notify the Department of Revenue, which it may
  314  pursue recovery of such funds pursuant to the laws and rules
  315  governing the assessment of taxes.
  316         Section 7. (1) The tax levied under chapter 212, Florida
  317  Statutes, may not be collected during the period from 12:01 a.m.
  318  on August 1, 2014, through 11:59 p.m. on August 3, 2014, on the
  319  sale of:
  320         (a) Clothing, wallets, or bags, including handbags,
  321  backpacks, fanny packs, and diaper bags, but excluding
  322  briefcases, suitcases, and other garment bags, having a sales
  323  price of $75 or less per item. As used in this paragraph, the
  324  term “clothing” means:
  325         1. An article of wearing apparel intended to be worn on or
  326  about the human body, excluding watches, watchbands, jewelry,
  327  umbrellas, and handkerchiefs; and
  328         2. All footwear, excluding skis, swim fins, rollerblades,
  329  and skates.
  330         (b) School supplies having a sales price of $15 or less per
  331  item. As used in this paragraph, the term “school supplies”
  332  means pens, pencils, erasers, crayons, notebooks, notebook
  333  filler paper, legal pads, binders, lunch boxes, construction
  334  paper, markers, folders, poster board, composition books, poster
  335  paper, scissors, cellophane tape, glue or paste, rulers,
  336  computer disks, protractors, compasses, and calculators.
  337         (c) Personal computers and related accessories that have a
  338  sales price of $750 or less and are purchased for noncommercial
  339  home or personal use. As used in this paragraph, the term:
  340         1. “Personal computer” means an electronic device that
  341  accepts information in digital or similar form and manipulates
  342  such information for a result based on a sequence of
  343  instructions. The term includes an electronic book reader and a
  344  laptop, desktop, handheld, tablet, or tower computer but does
  345  not include a cellular telephone, video game console, digital
  346  media receiver, or device that is not primarily designed to
  347  process data.
  348         2. “Related accessories” includes keyboards, mice, personal
  349  digital assistants, monitors, other peripheral devices, modems,
  350  routers, and nonrecreational software regardless of whether the
  351  accessories are used in association with a personal computer
  352  base unit but does not include furniture or systems, devices,
  353  software, monitors with a television tuner, or other peripherals
  354  that are designed or intended primarily for recreational use.
  355         (2) The tax exemptions provided in this section do not
  356  apply to sales within a theme park or entertainment complex as
  357  defined in s. 509.013, Florida Statutes, within a public lodging
  358  establishment as defined in s. 509.013, Florida Statutes, or
  359  within an airport as defined in s. 330.27, Florida Statutes.
  360         (3) The Department of Revenue may, and all conditions are
  361  deemed met to, adopt emergency rules pursuant to ss. 120.536(1)
  362  and 120.54, Florida Statutes, to administer this section.
  363         Section 8. For the 2013-2014 fiscal year, the sum of
  364  $223,048 in nonrecurring funds is appropriated from the General
  365  Revenue Fund to the Department of Revenue for the purpose of
  366  administering section 7 of this act. Funds from the
  367  appropriation that remain unexpended or unencumbered as of June
  368  30, 2014, shall revert and be reappropriated for the same
  369  purpose in the 2014-2015 fiscal year.
  370         Section 9. Except as otherwise expressly provided in this
  371  act, this act shall take effect upon becoming a law.
  372  
  373  ================= T I T L E  A M E N D M E N T ================
  374  And the title is amended as follows:
  375         Delete everything before the enacting clause
  376  and insert:
  377                        A bill to be entitled                      
  378         An act relating to taxation; amending s. 202.12, F.S.;
  379         reducing the tax rate applied to the sale of
  380         communications services; reducing the tax rate applied
  381         to the retail sale of direct-to-home satellite
  382         services; amending s. 202.12001, F.S.; conforming
  383         rates to the reduction of the communications services
  384         tax; amending s. 202.18, F.S.; revising the
  385         distribution of tax revenues received; amending s.
  386         203.001. F.S.; conforming rates to the reduction of
  387         the communications services tax; amending s. 212.20,
  388         F.S.; providing for a monthly distribution of a
  389         specified amount of sales tax revenue to a complex
  390         certified as a motorsports entertainment complex by
  391         the Department of Economic Opportunity; amending s.
  392         288.1171, F.S.; authorizing the department to certify
  393         a single applicant as a motorsports entertainment
  394         complex if it meets specified criteria; authorizing
  395         the Auditor General to verify the expenditure of
  396         specified distributions and to notify the Department
  397         of Revenue of improperly expended funds so that it may
  398         pursue recovery; specifying a period during which the
  399         sale of clothing, wallets, bags, school supplies,
  400         personal computers, and personal computer-related
  401         accessories are exempt from the sales tax; providing
  402         definitions; providing exceptions; authorizing the
  403         Department of Revenue to adopt emergency rules;
  404         providing an appropriation; providing effective dates.