Florida Senate - 2014 CS for SB 66 By the Committee on Appropriations; and Senators Flores, Margolis, and Bullard 576-03294-14 201466c1 1 A bill to be entitled 2 An act relating to discretionary sales surtaxes; 3 amending s. 212.055, F.S.; authorizing a county as 4 defined in s. 125.011(1), F.S., to levy a surtax up to 5 a specified amount for the benefit of a Florida 6 College System institution and a state university in 7 the county pursuant to an ordinance conditioned to 8 take effect upon approval in a county referendum; 9 requiring the ordinance to provide for a referendum 10 and be enacted within a specified period; providing 11 permissible uses of the surtax proceeds; providing 12 referendum requirements and procedures; requiring that 13 the proceeds from the surtax be transferred into a 14 specified account and managed in a specified manner; 15 establishing an oversight board with specified duties, 16 responsibilities, and requirements relating to the 17 expenditure of surtax proceeds; providing for the 18 appointment of members of the oversight board; 19 requiring that the board of trustees of each 20 institution receiving surtax proceeds prepare an 21 annual plan for submission to the oversight board for 22 approval; providing that state funding may not be 23 reduced because an institution receives surtax funds; 24 providing for the scheduled expiration of the surtax; 25 prohibiting certain counties from levying the surtax 26 within a specified period; providing an effective 27 date. 28 29 Be It Enacted by the Legislature of the State of Florida: 30 31 Section 1. Subsection (9) is added to section 212.055, 32 Florida Statutes, to read: 33 212.055 Discretionary sales surtaxes; legislative intent; 34 authorization and use of proceeds.—It is the legislative intent 35 that any authorization for imposition of a discretionary sales 36 surtax shall be published in the Florida Statutes as a 37 subsection of this section, irrespective of the duration of the 38 levy. Each enactment shall specify the types of counties 39 authorized to levy; the rate or rates which may be imposed; the 40 maximum length of time the surtax may be imposed, if any; the 41 procedure which must be followed to secure voter approval, if 42 required; the purpose for which the proceeds may be expended; 43 and such other requirements as the Legislature may provide. 44 Taxable transactions and administrative procedures shall be as 45 provided in s. 212.054. 46 (9) HIGHER EDUCATION SURTAX.—A county as defined in s. 47 125.011(1), pursuant to an ordinance that is conditioned to take 48 effect only upon approval by a majority vote of the electors of 49 the county voting in a referendum, may levy a surtax of up to 50 0.5 percent for the benefit of a Florida College System 51 institution and a state university as defined in s. 1000.21 52 which are located in the county. 53 (a) The ordinance must provide for a referendum to 54 implement the surtax. Such ordinance must be enacted by the 55 governing body of the county before June 1 of the year in which 56 the referendum is to be held. The referendum shall be scheduled 57 for the next available countywide election after June 1. 58 (b) The permissible uses of the surtax proceeds include 59 capital expenditures and infrastructure projects; fixed capital 60 costs associated with the construction, reconstruction, 61 renovation, maintenance, or improvement of facilities and 62 campuses that have a useful life expectancy of at least 5 years; 63 deferred maintenance; land improvement, design, and engineering 64 costs related thereto; and the expansion and enhancement of 65 facilities at all institution sites within the county. The 66 proceeds from the surtax may be used by a state university for 67 the land acquisition of parcels that are contiguous to its 68 existing main campus. The proceeds of the surtax must be set 69 aside and invested as permitted by law, with the principal and 70 income to be used for the purposes listed in this subsection as 71 administered by the board of trustees. 72 (c) The expense of holding the referendum may not be paid 73 with student fees or any public funds, but shall be paid only 74 with funds received from private sources or with college 75 auxiliary funds. The county must provide at least 30 days’ 76 notice of the election as provided in s. 100.342. 77 (d) The referendum providing for the imposition of the 78 surtax must include a statement that provides a brief and 79 general description of the purposes for which the proceeds of 80 the surtax may be used, conform to the requirements of s. 81 101.161, and be placed on the ballot by the governing body of 82 the county. The following question shall be placed on the 83 ballot: 84 85 FOR THE. . . .CENTS TAX INCREASE 86 AGAINST THE. . . .CENTS TAX INCREASE 87 88 (e) Upon approval of the referendum, 90 percent of the 89 proceeds from the surtax must be transferred by the department 90 into a Florida Prime account managed by the State Board of 91 Administration and used only for the operation, maintenance, and 92 administration of the Florida College System institution within 93 that county and 10 percent of the proceeds from the surtax must 94 be transferred by the Department of Revenue into a Florida Prime 95 account managed by the State Board of Administration and used 96 only for the operation, maintenance, land acquisition, and 97 administration of the state university. 98 (f) Upon approval by referendum, an oversight board shall 99 be established to review and accept or amend expenditures of the 100 proceeds of the surtax and to review the plan prepared by the 101 boards of trustees pursuant to paragraph (g). The oversight 102 board shall meet at least quarterly. Meetings of the oversight 103 board are public meetings under s. 286.011. Minutes, including a 104 record of all votes cast, must be maintained for all meetings. 105 1. The board shall be composed of nine members appointed by 106 the Governor who are residents of the county and have an 107 outstanding reputation for professional ability with substantial 108 professional accomplishment in their fields, as follows: 109 a. One member from the county’s official economic 110 development organization that is designated by Enterprise 111 Florida, Inc. 112 b. One member with experience in higher education. 113 c. One member with experience in higher education 114 management. 115 d. One member who is a professional engineer. 116 e. One member who is a certified public accountant licensed 117 in this state. 118 f. One member who is an attorney licensed to practice law 119 in this state. 120 g. One member with experience in real estate development. 121 h. One member with experience in finance. 122 i. One member who is a professional architect. 123 2. Initial appointments to the oversight board shall be 124 made by the Governor within 60 days after the passage of the 125 referendum. Each member shall be appointed for a 4-year term and 126 may be reappointed. A vacancy on the board shall be filled for 127 the unexpired portion of the term in the same manner as the 128 original appointment. 129 (g) The Florida College System institution board of 130 trustees and the state university board of trustees shall 131 annually prepare plans that specify how each board of trustees 132 intends to allocate and expend the funds for the institutions’ 133 upcoming fiscal year and submit such plans to the oversight 134 board for approval. All proposed spending plans to be considered 135 for approval must be presented at a quarterly meeting of the 136 oversight board and may not be considered for final approval 137 until the following scheduled quarterly meeting, which shall be 138 at least 90 days after the previous quarterly meeting. 139 (h) The annual apportionment of state funds for the support 140 of a state university and a Florida College System institution 141 allocated under general law may not be reduced because the 142 institutions have received funds pursuant to a sales surtax 143 levied under this subsection. 144 (i) A surtax imposed under this subsection expires 5 years 145 after the effective date of the surtax. 146 (j) A county that levies a surtax under this subsection may 147 not, for at least 20 years after expiration of the surtax, 148 propose another referendum for a surtax under this subsection. 149 Section 2. This act shall take effect upon becoming a law.