Florida Senate - 2022                                    SB 1250
       
       
        
       By Senator Gruters
       
       
       
       
       
       23-01097A-22                                          20221250__
    1                        A bill to be entitled                      
    2         An act relating to sales tax refunds for building
    3         mitigation retrofit improvements; amending s. 212.08,
    4         F.S.; defining terms; exempting materials used for
    5         building mitigation retrofit improvements from the
    6         sales and use tax; requiring the owner of a qualified
    7         building to electronically file certain documents
    8         within a certain timeframe with the Department of
    9         Revenue to receive a refund of previously paid taxes;
   10         prohibiting such an owner from applying for the refund
   11         more than one time annually; requiring the department
   12         to make a certain determination and issue the refund
   13         within certain timeframes; prohibiting an authorized
   14         mitigation inspector from committing misconduct in
   15         specified circumstances; specifying actions that
   16         constitute misconduct; authorizing the licensing board
   17         to take certain punitive actions against certain
   18         authorized mitigation inspectors; providing
   19         applicability; authorizing the department to adopt
   20         rules, including emergency rules; providing an
   21         effective date.
   22          
   23  Be It Enacted by the Legislature of the State of Florida:
   24  
   25         Section 1. Paragraph (v) is added to subsection (5) of
   26  section 212.08, Florida Statutes, to read:
   27         212.08 Sales, rental, use, consumption, distribution, and
   28  storage tax; specified exemptions.—The sale at retail, the
   29  rental, the use, the consumption, the distribution, and the
   30  storage to be used or consumed in this state of the following
   31  are hereby specifically exempt from the tax imposed by this
   32  chapter.
   33         (5) EXEMPTIONS; ACCOUNT OF USE.—
   34         (v)Materials used for building mitigation retrofit
   35  improvements.
   36         1.As used in this paragraph, the term:
   37         a.“Authorized mitigation inspector” means one of the
   38  following:
   39         (I)A home inspector licensed under s. 468.8314 who has
   40  completed at least 3 hours of hurricane mitigation training
   41  approved by the Construction Industry Licensing Board, which
   42  must include hurricane mitigation techniques and compliance with
   43  the uniform mitigation verification inspection form, and
   44  completed a proficiency exam.
   45         (II)A building code inspector certified under s. 468.607.
   46         (III)A general, building, or residential contractor
   47  licensed under s. 489.111.
   48         (IV)A specialty contractor as defined in s. 489.105(3)(q)
   49  who is certified to perform a building mitigation retrofit
   50  improvement.
   51         (V)Aprofessional engineer licensed under s. 471.015.
   52         (VI)A professional architect licensed under s. 481.213.
   53         b.“Building materials” means tangible personal property
   54  that becomes a component part of a qualified building as a
   55  component of a building mitigation retrofit improvement.
   56         c.“Building mitigation retrofit improvement” means one or
   57  more of the following:
   58         (I)The installation of a roofing underlayment to the
   59  sheathing.
   60         (II)The replacement of a roof covering.
   61         (III)The application of foam adhesive to reinforce a roof
   62  structure.
   63         (IV)The strengthening of connections between a roof deck
   64  and roof framing.
   65         (V)The strengthening of roof-to-wall connections.
   66         (VI)The strengthening of soffits.
   67         (VII)The strengthening of attic ventilation openings.
   68         (VIII)The installation of impact-resistant windows.
   69         (IX)The installation of impact-resistant entry doors.
   70         d.“Qualified building” means an existing, insured
   71  residential or commercial building.
   72         e.“Substantially completed” has the same meaning as in s.
   73  192.042(1).
   74         2.Building materials purchased and used for a building
   75  mitigation retrofit improvement are exempt from the tax imposed
   76  by this chapter upon an affirmative showing to the department
   77  that the requirements of this paragraph have been met. This
   78  exemption inures to the owner of the qualified building through
   79  a refund of previously paid taxes.
   80         3.To receive a refund, the owner must file with the
   81  department through electronic transmission:
   82         a.Proof that the structure of the qualified building is
   83  insured by a property insurance policy.
   84         b.A building mitigation retrofit improvement form,
   85  prescribed by the Department of Financial Services, evidencing
   86  that the building mitigation retrofit improvement is
   87  substantially completed. The building mitigation retrofit
   88  improvement form must be completed by an authorized mitigation
   89  inspector.
   90         c.A sworn statement, submitted under penalty of perjury,
   91  from the individual who installed the building mitigation
   92  retrofit improvement listing the building materials used in the
   93  installation of the building mitigation retrofit improvement,
   94  the actual cost of the building materials, and the amount of
   95  sales tax paid on the building materials. Copies of invoices or
   96  receipts evidencing payment of sales tax must be attached to the
   97  sworn statement.
   98         d. Copies of any permits required by law or ordinance for
   99  the installation of the building mitigation retrofit improvement
  100  or, if a permit is not required, an attestation signed by an
  101  authorized mitigation inspector verifying that the building
  102  mitigation retrofit improvement was installed in accordance with
  103  the Florida Building Code and any applicable local amendments.
  104         4.The owner may not apply for a refund more than one time
  105  annually between July 1 and June 30. An application for a refund
  106  under this paragraph must be submitted to the department within
  107  6 months after the date the building mitigation retrofit
  108  improvement is substantially completed. Within 30 working days
  109  after receipt of the application, the department shall determine
  110  if the application meets the requirements of this paragraph. The
  111  department must issue a refund within 30 days after it formally
  112  approves the application.
  113         5.An authorized mitigation inspector may not commit
  114  misconduct in performing building mitigation inspections or in
  115  completing a building mitigation retrofit improvement form if
  116  the misconduct causes financial harm to the owner or insurer or
  117  jeopardizes an owner’s health, safety, or property. Misconduct
  118  occurs when an authorized mitigation inspector signs a building
  119  mitigation retrofit improvement form that:
  120         a.Falsely indicates that he or she personally inspected
  121  the qualified building referenced in the building mitigation
  122  retrofit improvement form;
  123         b.Falsely indicates the existence of a building mitigation
  124  retrofit improvement that he or she knows does not exist;
  125         c.Contains erroneous information due to his or her gross
  126  negligence; or
  127         d.Contains a pattern of demonstrably false information
  128  regarding the existence of building mitigation retrofit
  129  improvements that may give an insured a false evaluation of the
  130  ability of the qualified building to withstand major damage from
  131  a hurricane and which may endanger the health and safety of the
  132  insured or the insured’s property.
  133         6.The licensing board may initiate disciplinary
  134  proceedings and impose administrative fines and other sanctions
  135  authorized under the applicable licensing act of an authorized
  136  mitigation inspector who performs a building mitigation
  137  inspection or completes a building mitigation retrofit
  138  improvement form that violates subparagraph 5.
  139         7.The exemption provided in subparagraph 2. applies to
  140  building materials purchased on or after July 1, 2022.
  141         8.The department may adopt rules necessary to administer
  142  and enforce this paragraph and to publish the necessary forms
  143  and instructions. The department may adopt emergency rules
  144  pursuant to s. 120.54(4) to administer and enforce this
  145  paragraph.
  146         Section 2. This act shall take effect July 1, 2022.