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House Bill 0943

Florida House of Representatives - 1997 HB 943 By Representative Dawson-White 1 A bill to be entitled 2 An act relating to spring training franchises; 3 amending s. 288.1162, F.S.; defining "retained 4 spring training franchise"; providing for 5 certification of a retained spring training 6 franchise facility by the Office of Tourism, 7 Trade, and Economic Development, upon 8 determination that certain requirements have 9 been met; providing the uses that such facility 10 may make of funds provided pursuant to s. 11 212.20, F.S.; amending s. 212.20, F.S.; 12 providing for a monthly distribution of a 13 portion of the revenues of the tax on sales, 14 use, and other transactions to a certified 15 facility for a specified period; providing an 16 effective date. 17 18 Be It Enacted by the Legislature of the State of Florida: 19 20 Section 1. Section 288.1162, Florida Statutes, 1996 21 Supplement, is amended to read: 22 288.1162 Professional sports franchises; spring 23 training franchises; duties.-- 24 (1) The Office of Tourism, Trade, and Economic 25 Development shall serve as the state agency for screening 26 applicants for state funding pursuant to s. 212.20 and for 27 certifying an applicant as a "facility for a new professional 28 sports franchise," a "facility for a retained professional 29 sports franchise," or a "new spring training franchise 30 facility,." or a "retained spring training franchise 31 facility." 1 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 943 507-147A-97 1 (2) The Office of Tourism, Trade, and Economic 2 Development shall develop rules for the receipt and processing 3 of applications for funding pursuant to s. 212.20. 4 (3) As used in this section: 5 (a) "New professional sports franchise" means a 6 professional sports franchise that is not based in this state 7 prior to April 1, 1987. 8 (b) "Retained professional sports franchise" means a 9 professional sports franchise that has had a league-authorized 10 location in this state on or before December 31, 1976, and has 11 continuously remained at that location, and has never been 12 located at a facility that has been previously certified under 13 any provision of this section. 14 (4) Prior to certifying an applicant as a "facility 15 for a new professional sports franchise" or a "facility for a 16 retained professional sports franchise," the Office of 17 Tourism, Trade, and Economic Development must determine that: 18 (a) A "unit of local government" as defined in s. 19 218.369 is responsible for the construction, management, or 20 operation of the professional sports franchise facility or 21 holds title to the property on which the professional sports 22 franchise facility is located. 23 (b) The applicant has a verified copy of a signed 24 agreement with a new professional sports franchise for the use 25 of the facility for a term of at least 10 years, or in the 26 case of a retained professional sports franchise, an agreement 27 for use of the facility for a term of at least 20 years. 28 (c) The applicant has a verified copy of the approval 29 from the governing authority of the league in which the new 30 professional sports franchise exists authorizing the location 31 of the professional sports franchise in this state after April 2 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 943 507-147A-97 1 1, 1987, or in the case of a retained professional sports 2 franchise, verified evidence that it has had a 3 league-authorized location in this state on or before December 4 31, 1976. The term "league" means the National League or the 5 American League of Major League Baseball, the National 6 Basketball Association, the National Football League, or the 7 National Hockey League. 8 (d) The applicant has projections, verified by the 9 Office of Tourism, Trade, and Economic Development, which 10 demonstrate that the new or retained professional sports 11 franchise will attract a paid attendance of more than 300,000 12 annually. 13 (e) The applicant has an independent analysis or 14 study, verified by the Office of Tourism, Trade, and Economic 15 Development, which demonstrates that the amount of the 16 revenues generated by the taxes imposed under part I of 17 chapter 212 with respect to the use and operation of the 18 professional sports franchise facility will equal or exceed $2 19 million annually. 20 (f) The municipality in which the facility for a new 21 or retained professional sports franchise is located, or the 22 county if the facility for a new or retained professional 23 sports franchise is located in an unincorporated area, has 24 certified by resolution after a public hearing that the 25 application serves a public purpose. 26 (g) The applicant has demonstrated that it has 27 provided, is capable of providing, or has financial or other 28 commitments to provide more than one-half of the costs 29 incurred or related to the improvement and development of the 30 facility. 31 3 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 943 507-147A-97 1 (h) No applicant previously certified under any 2 provision of this section who has received funding under such 3 certification shall be eligible for an additional 4 certification. 5 (5) As used in this section:, 6 (a) "New spring training franchise" means a spring 7 training franchise that is not based in this state prior to 8 July 1, 1990. 9 (b) "Retained spring training franchise" means a 10 spring training franchise that located in this state in 1955, 11 that replaced a spring training franchise which had been 12 located continuously at the same publicly owned stadium for 33 13 years, and that does not play its regular major league 14 baseball season games in the same city in which it trains. 15 (6) Prior to certifying an applicant as a "new spring 16 training franchise facility," the Office of Tourism, Trade, 17 and Economic Development must determine that: 18 (a) A "unit of local government" as defined in s. 19 218.369 is responsible for the construction, management, or 20 operation of the new spring training franchise facility or 21 holds title to the property on which the new spring training 22 franchise facility is located. 23 (b) The applicant has a verified copy of a signed 24 agreement with a new spring training franchise for the use of 25 the facility for a term of at least 15 years. 26 (c) The applicant has a financial commitment to 27 provide 50 percent or more of the funds required by an 28 agreement for the use of the facility by the new spring 29 training franchise. 30 31 4 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 943 507-147A-97 1 (d) The proposed facility for the new spring training 2 franchise is located within 20 miles of an interstate or other 3 limited-access highway system. 4 (e) The applicant has projections, verified by the 5 Office of Tourism, Trade, and Economic Development, which 6 demonstrate that the new spring training franchise facility 7 will attract a paid attendance of at least 50,000 annually. 8 (f) The new spring training franchise facility is 9 located in a county that is levying a tourist development tax 10 pursuant to s. 125.0104(3)(b), (c), (d), and (l), at the rate 11 of 4 percent by March 1, 1992, and, 87.5 percent of the 12 proceeds from such tax are dedicated for the construction of a 13 spring training complex. 14 (7)(a) Prior to certifying an applicant as a "retained 15 spring training franchise facility," the Office of Tourism, 16 Trade, and Economic Development must determine that: 17 1. A unit of local government, as defined in s. 18 218.369, is responsible for the construction, management, or 19 operation of the retained spring training franchise facility 20 or holds title to the property on which the retained spring 21 training franchise facility is located. 22 2. The retained spring training franchise will conduct 23 additional training activities at a different site within the 24 county in which the retained spring training franchise 25 facility is located. 26 3. The applicant has projections, verified by the 27 Office of Tourism, Trade, and Economic Development, which 28 demonstrate that the amount of the revenues generated by the 29 taxes imposed under chapter 212 with respect to the use and 30 operation of the retained spring training franchise facility 31 will equal or exceed $1.4 million annually. 5 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 943 507-147A-97 1 4. The retained spring training franchise will sign a 2 lease agreement for a period of no less than 15 years with the 3 applicant at the completion of its existing short-term 4 agreement. 5 (b) The Office of Tourism, Trade, and Economic 6 Development shall consider the value of the land and the 7 existing stadium towards any required contribution by the 8 applicant for costs incurred or related to the improvement and 9 development of the facility. 10 (8)(7) An applicant certified as a facility for a new 11 professional sports franchise or a facility for a retained 12 professional sports franchise or as a new spring training 13 franchise facility or a retained spring training franchise 14 facility may use funds provided pursuant to s. 212.20 only for 15 the public purpose of paying for the construction, 16 reconstruction, or renovation of a facility for a new 17 professional sports franchise, a facility for a retained 18 professional sports franchise, or a new spring training 19 franchise facility, or a retained spring training franchise 20 facility or to pay or pledge for the payment of debt service 21 on, or to fund debt service reserve funds, arbitrage rebate 22 obligations, or other amounts payable with respect to, bonds 23 issued for the construction, reconstruction, or renovation of 24 such facility or for the reimbursement of such costs or the 25 refinancing of bonds issued for such purposes. 26 (9)(8) The Office of Tourism, Trade, and Economic 27 Development shall notify the Department of Revenue of any 28 facility certified as a facility for a new professional sports 29 franchise or a facility for a retained professional sports 30 franchise or as a new spring training franchise facility or a 31 retained spring training franchise facility. The Office of 6 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 943 507-147A-97 1 Tourism, Trade, and Economic Development may certify no more 2 than nine eight facilities as facilities for a new 3 professional sports franchise, as facilities for a retained 4 professional sports franchise, or as new spring training 5 franchise facilities, or as retained spring training franchise 6 facilities, including in such total any facilities certified 7 by the Department of Commerce before July 1, 1996. The office 8 may make no more than one certification for any facility, and 9 shall make no more than one certification for a retained 10 spring training franchise facility. 11 (10)(9) The Department of Revenue may audit as 12 provided in s. 213.34 to verify that the distributions 13 pursuant to this section have been expended as required in 14 this section. Such information is subject to the 15 confidentiality requirements of chapter 213. If the Department 16 of Revenue determines that the distributions pursuant to this 17 section have not been expended as required by this section, it 18 may pursue recovery of such funds pursuant to the laws and 19 rules governing the assessment of taxes. 20 (11)(10) An applicant shall not be qualified for 21 certification under this section if the franchise formed the 22 basis for a previous certification, unless the previous 23 certification was withdrawn by the facility or invalidated by 24 the Office of Tourism, Trade, and Economic Development or the 25 Department of Commerce before any funds were distributed 26 pursuant to s. 212.20. This subsection does not disqualify an 27 applicant if the previous certification occurred between May 28 23, 1993, and May 25, 1993; however, any funds to be 29 distributed pursuant to s. 212.20 for the second certification 30 shall be offset by the amount distributed to the previous 31 certified facility. Distribution of funds for the second 7 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 943 507-147A-97 1 certification shall not be made until all amounts payable for 2 the first certification have been distributed. 3 Section 2. Paragraph (f) of subsection (6) of section 4 212.20, Florida Statutes, 1996 Supplement, is amended to read: 5 212.20 Funds collected, disposition; additional powers 6 of department; operational expense; refund of taxes 7 adjudicated unconstitutionally collected.-- 8 (6) Distribution of all proceeds under this part shall 9 be as follows: 10 (f) The proceeds of all other taxes and fees imposed 11 pursuant to this part shall be distributed as follows: 12 1. In any fiscal year, the greater of $500 million, 13 minus an amount equal to 4.6 percent of the proceeds of the 14 taxes collected pursuant to chapter 201, or 5 percent of all 15 other taxes and fees imposed pursuant to this part shall be 16 deposited in monthly installments into the General Revenue 17 Fund. 18 2. Two-tenths of one percent shall be transferred to 19 the Solid Waste Management Trust Fund. 20 3. After the distribution under subparagraphs 1. and 21 2., 9.653 percent of the amount remitted by a sales tax dealer 22 located within a participating county pursuant to s. 218.61 23 shall be transferred into the Local Government Half-cent Sales 24 Tax Clearing Trust Fund. 25 4. After the distribution under subparagraphs 1., 2., 26 and 3., 0.054 percent shall be transferred to the Local 27 Government Half-cent Sales Tax Clearing Trust Fund and 28 distributed pursuant to s. 218.65. 29 5. Of the remaining proceeds: 30 a. Beginning July 1, 1992, $166,667 shall be 31 distributed monthly by the department to each applicant that 8 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 943 507-147A-97 1 has been certified as a "facility for a new professional 2 sports franchise" or a "facility for a retained professional 3 sports franchise" pursuant to s. 288.1162, $116,667 shall be 4 distributed monthly by the department to each applicant that 5 has been certified as a "facility for a retained spring 6 training franchise" pursuant to s. 288.1162, and $41,667 shall 7 be distributed monthly by the department to each applicant 8 that has been certified as a "new spring training franchise 9 facility" pursuant to s. 288.1162. Distributions shall begin 10 60 days following such certification and shall continue for 30 11 years. Nothing contained herein shall be construed to allow an 12 applicant certified pursuant to s. 288.1162 to receive more in 13 distributions than actually expended by the applicant for the 14 public purposes provided for in s. 288.1162(8)(7). However, a 15 certified applicant shall receive distributions up to the 16 maximum amount allowable and undistributed under this section 17 for additional renovations and improvements to the facility 18 for the franchise without additional certification. 19 b. Beginning 30 days after notice by the Office of 20 Tourism, Trade, and Economic Development to the Department of 21 Revenue that an applicant has been certified as the 22 professional golf hall of fame pursuant to s. 288.1168 and is 23 open to the public, $166,667 shall be distributed monthly, for 24 up to 300 months, to the applicant. 25 c. Beginning 30 days after notice by the Department of 26 Commerce to the Department of Revenue that the applicant has 27 been certified as the International Game Fish Association 28 World Center facility pursuant to s. 288.1169, and the 29 facility is open to the public, $83,333 shall be distributed 30 monthly, for up to 180 months, to the applicant. This 31 distribution is subject to reduction pursuant to s. 288.1169. 9 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 943 507-147A-97 1 6. All other proceeds shall remain with the General 2 Revenue Fund. 3 Section 3. This act shall take effect July 1, 1997. 4 5 ***************************************** 6 HOUSE SUMMARY 7 Defines "retained spring training franchise" and provides 8 for certification of a retained spring training franchise facility by the Office of Tourism, Trade, and Economic 9 Development, upon determination that certain requirements have been met. Provides for a monthly distribution of a 10 portion of the revenues of the tax on sales, use, and other transactions to a certified facility for 30 years 11 and specifies the uses that such facility may make of those funds. 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 10