CS for SB 66 Second Engrossed (ntc) 201466e2 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 be enacted before a 10 specified date; prohibiting the referendum unless the 11 Florida College System institution attains certain 12 completion rates; providing permissible uses of the 13 surtax proceeds; providing referendum requirements and 14 procedures; requiring that the proceeds from the 15 surtax be transferred into a specified account and 16 managed in a specified manner; establishing an 17 oversight board with specified duties, 18 responsibilities, and requirements relating to the 19 expenditure of surtax proceeds; providing for the 20 appointment of members of the oversight board; 21 requiring that the board of trustees of each 22 institution receiving surtax proceeds prepare an 23 annual plan for submission to the oversight board for 24 approval; providing that state funding may not be 25 reduced because an institution receives surtax funds; 26 providing for the scheduled expiration of the surtax; 27 prohibiting certain counties from levying the surtax 28 within a specified period; providing an effective 29 date. 30 31 Be It Enacted by the Legislature of the State of Florida: 32 33 Section 1. Subsection (9) is added to section 212.055, 34 Florida Statutes, to read: 35 212.055 Discretionary sales surtaxes; legislative intent; 36 authorization and use of proceeds.—It is the legislative intent 37 that any authorization for imposition of a discretionary sales 38 surtax shall be published in the Florida Statutes as a 39 subsection of this section, irrespective of the duration of the 40 levy. Each enactment shall specify the types of counties 41 authorized to levy; the rate or rates which may be imposed; the 42 maximum length of time the surtax may be imposed, if any; the 43 procedure which must be followed to secure voter approval, if 44 required; the purpose for which the proceeds may be expended; 45 and such other requirements as the Legislature may provide. 46 Taxable transactions and administrative procedures shall be as 47 provided in s. 212.054. 48 (9) HIGHER EDUCATION SURTAX.—A county as defined in s. 49 125.011(1), pursuant to an ordinance that is conditioned to take 50 effect only upon approval by a majority vote of the electors of 51 the county voting in a referendum, may levy a surtax of up to 52 0.5 percent for the benefit of a Florida College System 53 institution and a state university as defined in s. 1000.21 54 which are located in the county. 55 (a) The ordinance must be enacted by the governing body of 56 the county before June 1 of the year in which the referendum is 57 to be held. However, the referendum may not be held until at 58 least 40 percent of the students seeking an associate degree 59 from the Florida College System institution located in the 60 county attain completion within 150 percent of catalogue time, 61 or at least 45 percent of the students seeking an associate 62 degree from the institution attain completion within 200 percent 63 of catalogue time, as reflected in data collected by the 64 Integrated Postsecondary Education Data System. If the 65 institution has met either completion rate, the referendum shall 66 be scheduled for the next available countywide election after 67 June 1. 68 (b) The permissible uses of the surtax proceeds include 69 capital expenditures and infrastructure projects; fixed capital 70 costs associated with the construction, reconstruction, 71 renovation, maintenance, or improvement of facilities and 72 campuses that have a useful life expectancy of at least 5 years; 73 deferred maintenance; land improvement, design, and engineering 74 costs related thereto; and the expansion and enhancement of 75 facilities at all institution sites within the county. The 76 proceeds from the surtax may be used by a state university for 77 the land acquisition of parcels that are contiguous to its 78 existing main campus. The proceeds of the surtax must be set 79 aside and invested as permitted by law, with the principal and 80 income to be used for the purposes listed in this subsection as 81 administered by the board of trustees. 82 (c) The expense of holding the referendum may not be paid 83 with student fees or any public funds, but shall be paid only 84 with funds received from private sources or with college 85 auxiliary funds. The county must provide at least 30 days’ 86 notice of the election as provided in s. 100.342. 87 (d) The referendum providing for the imposition of the 88 surtax must include a statement that provides a brief and 89 general description of the purposes for which the proceeds of 90 the surtax may be used, conform to the requirements of s. 91 101.161, and be placed on the ballot by the governing body of 92 the county. The following question shall be placed on the 93 ballot: 94 95 FOR THE. . . .CENTS TAX INCREASE 96 AGAINST THE. . . .CENTS TAX INCREASE 97 98 (e) Upon approval of the referendum, 90 percent of the 99 proceeds from the surtax must be transferred by the department 100 into a Florida Prime account managed by the State Board of 101 Administration and used only for the operation, maintenance, and 102 administration of the Florida College System institution within 103 that county and 10 percent of the proceeds from the surtax must 104 be transferred by the Department of Revenue into a Florida Prime 105 account managed by the State Board of Administration and used 106 only for the operation, maintenance, land acquisition, and 107 administration of the state university. 108 (f) Upon approval by referendum, an oversight board shall 109 be established to review and accept or amend expenditures of the 110 proceeds of the surtax and to review the plan prepared by the 111 boards of trustees pursuant to paragraph (g). The oversight 112 board shall meet at least quarterly. Meetings of the oversight 113 board are public meetings under s. 286.011. Minutes, including a 114 record of all votes cast, must be maintained for all meetings. 115 1. The board shall be composed of nine members appointed by 116 the Governor who are residents of the county and have an 117 outstanding reputation for professional ability with substantial 118 professional accomplishment in their fields, as follows: 119 a. One member from the county’s official economic 120 development organization that is designated by Enterprise 121 Florida, Inc. 122 b. One member with experience in higher education. 123 c. One member with experience in higher education 124 management. 125 d. One member who is a professional engineer. 126 e. One member who is a certified public accountant licensed 127 in this state. 128 f. One member who is an attorney licensed to practice law 129 in this state. 130 g. One member with experience in real estate development. 131 h. One member with experience in finance. 132 i. One member who is a professional architect. 133 2. Initial appointments to the oversight board shall be 134 made by the Governor within 60 days after the passage of the 135 referendum. Each member shall be appointed for a 4-year term and 136 may be reappointed. A vacancy on the board shall be filled for 137 the unexpired portion of the term in the same manner as the 138 original appointment. 139 (g) The Florida College System institution board of 140 trustees and the state university board of trustees shall 141 annually prepare plans that specify how each board of trustees 142 intends to allocate and expend the funds for the institutions’ 143 upcoming fiscal year and submit such plans to the oversight 144 board for approval. All proposed spending plans to be considered 145 for approval must be presented at a quarterly meeting of the 146 oversight board and may not be considered for final approval 147 until the following scheduled quarterly meeting, which shall be 148 at least 90 days after the previous quarterly meeting. 149 (h) The annual apportionment of state funds for the support 150 of a state university and a Florida College System institution 151 allocated under general law may not be reduced because the 152 institutions have received funds pursuant to a sales surtax 153 levied under this subsection. 154 (i) A surtax imposed under this subsection expires 5 years 155 after the effective date of the surtax. 156 (j) A county that levies a surtax under this subsection may 157 not, for at least 20 years after expiration of the surtax, 158 propose another referendum for a surtax under this subsection. 159 Section 2. This act shall take effect upon becoming a law.