CODING: Words stricken are deletions; words underlined are additions.
                                                  SENATE AMENDMENT
    Bill No. SB 1332
    Amendment No. ___
                            CHAMBER ACTION
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11  Senator Horne moved the following amendment:
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13         Senate Amendment (with title amendment) 
14         Delete everything after the enacting clause
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16  and insert:
17         Section 1.  The State Tax Reform Task Force;
18  membership; duties.--
19         (1)  The State Tax Reform Task Force is created to
20  examine the state's tax structure and make recommendations to
21  the Governor and the Legislature on how the state's tax
22  structure can be improved to ensure a stable revenue base that
23  is adequate to fund the needs of the state. The Senate Fiscal
24  Resource Committee and the House Finance and Tax Committee
25  shall provide administrative staff for the task force. The
26  task force shall consist of the following members, who must be
27  appointed by July 1, 2000:
28         (a)  Five members to be appointed by the Governor.
29         (b)  Four members to be appointed by the President of
30  the Senate.
31         (c)  Four members to be appointed by the Speaker of the
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                                                  SENATE AMENDMENT
    Bill No. SB 1332
    Amendment No. ___
  1  House.
  2         (d)  The Chair of the Senate Committee on Fiscal
  3  Resource at the time this act becomes law.
  4         (e)  The Chair of the House Committee on Finance and
  5  Taxation at the time this act becomes law.
  6         (f)  The Executive Director of the Department of
  7  Revenue or his or her designee.
  8         (2)  Each appointed member of the task force shall
  9  serve at the pleasure of the appointing official. A vacancy on
10  the task force shall be filled in the same manner as the
11  original appointment.
12         (3)  The task force shall elect a chair from among its
13  members.
14         (4)  The task force shall hold its organizational
15  meeting by August 1, 2000, and thereafter shall meet as
16  necessary at the call of the chair at the time and place
17  designated by the chair. A quorum is necessary for the purpose
18  of conducting official business of the task force. The task
19  force shall use accepted rules of procedure to conduct its
20  meetings and shall keep a complete record of each meeting.
21         (5)  Members of the task force shall serve without
22  compensation but are entitled to reimbursement for per diem
23  and travel expenses incurred in the performance of their
24  duties as provided in section 112.061, Florida Statutes.
25         (6)  The task force shall examine the state's tax
26  structure to evaluate whether it is adequate for supporting
27  the continuing needs of the state. The task force shall
28  consider the following in its evaluation:
29         (a)  Standard principles of sound tax policy:
30         1.  Effectiveness.--Is the revenue raised by the system
31  stable and adequate to fund needed services or is it highly
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                                                  SENATE AMENDMENT
    Bill No. SB 1332
    Amendment No. ___
  1  sensitive to economic fluctuations in the short run? Does the
  2  tax structure produce revenue that grows as the state's
  3  economy grows; thereby enabling the public sector to grow
  4  commensurately with the private sector?
  5         2.  Efficiency.--Is Florida's tax structure easily and
  6  economically administered? Is compliance with tax provisions,
  7  by businesses and by consumers, simple and inexpensive? Does
  8  the tax system unnecessarily distort decisionmaking by
  9  consumers or business? To what degree can the tax burden be
10  exported to tourists, the federal government, or out-of-state
11  businesses? How does the state's tax structure interact with
12  Federal or local tax structures?
13         3.  Equity.--Is Florida's tax structure proportional or
14  progressive in its incidence among income groups? Are
15  individuals with similar incomes taxed uniformly? Are
16  Florida's taxes based on ability to pay?
17         (b)  How other states treat the same or similar tax
18  issues.
19         (c)  Whether the base of the tax system is as broad as
20  possible, so that tax rates and burdens are as low as
21  possible.
22         (d)  Whether tax exemptions are consistent with state
23  tax policy and the economic impact of each exemption.
24         (7)  In addition, the task force shall provide an
25  analysis of alternative tax sources.
26         (8)  By February 1, 2001, the task force shall submit
27  an interim report and, by February 1, 2002, shall submit a
28  final report to the Governor, the President of the Senate, and
29  the Speaker of the House of Representatives.
30         (9)  This section expires June 30, 2002.
31         Section 2.  The sum of $100,000 is appropriated from
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                                                  SENATE AMENDMENT
    Bill No. SB 1332
    Amendment No. ___
  1  the General Revenue Fund to the Office of Legislative Services
  2  for the purpose of paying administrative expenses and funding
  3  contracts necessary to carry out the provisions of this act.
  4         Section 3.  This act shall take effect upon becoming a
  5  law.
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  8  ================ T I T L E   A M E N D M E N T ===============
  9  And the title is amended as follows:
10         Delete everything before the enacting clause
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12  and insert:
13                      A bill to be entitled
14         An act relating to ad valorem tax exemptions;
15         amending s. 196.012, F.S.; providing that, for
16         purposes of determining eligibility for
17         exemption, property which is leased to an
18         exempt entity under a capital lease shall be
19         deemed "owned" by the entity; defining "capital
20         lease"; amending s. 196.198, F.S.; providing
21         that property leased from a governmental agency
22         is eligible for the exemption for educational
23         property if the agency continues to use the
24         property exclusively for educational purposes;
25         providing an effective date.
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