Senate Bill 2074e2

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    CS for SB 2074                                Second Engrossed



  1                      A bill to be entitled

  2         An act relating to taxation; amending s.

  3         212.20, F.S.; providing for the Department of

  4         Revenue to distribute sales tax reimbursements

  5         to certified sports industry economic

  6         development projects under certain

  7         circumstances; providing a lump sum payment to

  8         the International Game Fish Association World

  9         Center; reducing the maximum number of monthly

10         distributions to account for the lump sum

11         payment; amending s. 213.053, F.S.; extending

12         the current information sharing with the Office

13         of Tourism, Trade, and Economic Development to

14         include the sales tax reimbursement program for

15         certified sports industry economic development

16         projects; creating s. 288.113, F.S.; creating a

17         tax reimbursement program for certified sports

18         industry economic development projects;

19         providing legislative findings and

20         declarations; providing definitions; providing

21         eligibility criteria for amateur sports

22         businesses; prescribing the terms and amounts

23         of tax reimbursements; providing a

24         certification procedure, to be established and

25         administered by the Office of Tourism, Trade,

26         and Economic Development; providing for

27         periodic recertification; abating or reducing

28         funding in specified circumstances; providing a

29         maximum number of years for which an amateur

30         sports business may be certified; providing for

31         decertification; providing a penalty for


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    CS for SB 2074                                Second Engrossed



  1         falsifying an application; providing for a tax

  2         reimbursement agreement and prescribing terms

  3         of the agreement; providing for annual claims

  4         for reimbursement; providing duties of the

  5         Department of Revenue; providing for

  6         administration of the program; providing for

  7         recordkeeping and submission of an annual

  8         report to the Legislature; amending s.

  9         288.1229, F.S.; providing an additional purpose

10         for which the Office of Tourism, Trade, and

11         Economic Development may authorize a

12         direct-support organization to assist the

13         office; providing for the creation of new jobs

14         in this state; providing authority to the

15         Department of Agriculture and Consumer Services

16         to negotiate agreements with certain land

17         owners for water use in rural areas; creating

18         s. 570.249, F.S.; creating the Agricultural

19         Economic Development Program Disaster Loans;

20         creating s. 570.911, F.S.; providing for an

21         equestrian educational sports program at 4-year

22         state universities; providing an effective

23         date.

24

25  Be It Enacted by the Legislature of the State of Florida:

26

27         Section 1.  Paragraph (f) of subsection (6) of section

28  212.20, Florida Statutes, is amended to read:

29         212.20  Funds collected, disposition; additional powers

30  of department; operational expense; refund of taxes

31  adjudicated unconstitutionally collected.--


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    CS for SB 2074                                Second Engrossed



  1         (6)  Distribution of all proceeds under this chapter

  2  shall be as follows:

  3         (f)  The proceeds of all other taxes and fees imposed

  4  pursuant to this chapter shall be distributed as follows:

  5         1.  In any fiscal year, the greater of $500 million,

  6  minus an amount equal to 4.6 percent of the proceeds of the

  7  taxes collected pursuant to chapter 201, or 5 percent of all

  8  other taxes and fees imposed pursuant to this chapter shall be

  9  deposited in monthly installments into the General Revenue

10  Fund.

11         2.  Two-tenths of one percent shall be transferred to

12  the Solid Waste Management Trust Fund.

13         3.  After the distribution under subparagraphs 1. and

14  2., 9.653 percent of the amount remitted by a sales tax dealer

15  located within a participating county pursuant to s. 218.61

16  shall be transferred into the Local Government Half-cent Sales

17  Tax Clearing Trust Fund.

18         4.  After the distribution under subparagraphs 1., 2.,

19  and 3., 0.054 percent shall be transferred to the Local

20  Government Half-cent Sales Tax Clearing Trust Fund and

21  distributed pursuant to s. 218.65.

22         5.  Of the remaining proceeds:

23         a.  Beginning July 1, 1992, $166,667 shall be

24  distributed monthly by the department to each applicant that

25  has been certified as a "facility for a new professional

26  sports franchise" or a "facility for a retained professional

27  sports franchise" pursuant to s. 288.1162 and $41,667 shall be

28  distributed monthly by the department to each applicant that

29  has been certified as a "new spring training franchise

30  facility" pursuant to s. 288.1162. Distributions shall begin

31  60 days following such certification and shall continue for 30


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    CS for SB 2074                                Second Engrossed



  1  years. Nothing contained herein shall be construed to allow an

  2  applicant certified pursuant to s. 288.1162 to receive more in

  3  distributions than actually expended by the applicant for the

  4  public purposes provided for in s. 288.1162(7). However, a

  5  certified applicant shall receive distributions up to the

  6  maximum amount allowable and undistributed under this section

  7  for additional renovations and improvements to the facility

  8  for the franchise without additional certification.

  9         b.  Beginning 30 days after notice by the Office of

10  Tourism, Trade, and Economic Development to the Department of

11  Revenue that an applicant has been certified as the

12  professional golf hall of fame pursuant to s. 288.1168 and is

13  open to the public, $166,667 shall be distributed monthly, for

14  up to 300 months, to the applicant.

15         c.  Beginning 30 days after notice by the Office of

16  Tourism, Trade, and Economic Development Department of

17  Commerce to the Department of Revenue that the applicant has

18  been certified as the International Game Fish Association

19  World Center facility pursuant to s. 288.1169, and the

20  facility is open to the public, $83,333 shall be distributed

21  monthly, for up to 168 180 months, to the applicant.  This

22  distribution is subject to reduction pursuant to s. 288.1169.

23  A lump sum payment of $999,996 shall be made, after

24  certification and before July 1, 2000.

25         d.  Beginning 12 months after notice by the Office of

26  Tourism, Trade, and Economic Development that an applicant has

27  been certified as a certified sports industry economic

28  development project, a monthly sales tax reimbursement payment

29  in the amount set forth in the notice by the Office of

30  Tourism, Trade, and Economic Development shall be distributed

31  to the applicant until the certification expires or notice is


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    CS for SB 2074                                Second Engrossed



  1  received from the Office of Tourism, Trade, and Economic

  2  Development of a change in the applicant's certification

  3  status or in the certified monthly payment amount.  The amount

  4  of the monthly sales tax reimbursement distribution shall be

  5  adjusted beginning 30 days after notice by the Office of

  6  Tourism, Trade, and Economic Development that the applicant is

  7  to receive a reduced or increased sales tax reimbursement

  8  payment.

  9         6.  All other proceeds shall remain with the General

10  Revenue Fund.

11         Section 2.  Paragraph (k) of subsection (7) of section

12  213.053, Florida Statutes, is amended to read:

13         213.053  Confidentiality and information sharing.--

14         (7)  Notwithstanding any other provision of this

15  section, the department may provide:

16         (k)  Payment information relative to chapters 199, 201,

17  212, 220, and 221 to the Office of Tourism, Trade, and

18  Economic Development in its administration of the tax refund

19  program for qualified defense contractors authorized by s.

20  288.1045, and the tax refund program for qualified target

21  industry businesses authorized by s. 288.106, and the sales

22  tax reimbursement program for certified sports industry

23  economic development projects authorized by s. 288.113.

24         Section 3.  Section 288.113, Florida Statutes, is

25  created to read:

26         288.113  Tax reimbursement program for certified sports

27  industry economic development projects.--

28         (1)  LEGISLATIVE FINDINGS AND DECLARATIONS.--The

29  Legislature finds that attracting, retaining, and providing

30  favorable conditions for the growth of certified sports

31  industry economic development projects provides high-quality


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    CS for SB 2074                                Second Engrossed



  1  employment opportunities for residents of the state, increases

  2  tourism, and enhances the economic foundations of the state.

  3  It is the policy of the state to encourage the growth of

  4  high-value-added employment to the economic base by providing

  5  a sales tax reimbursement to certified sports industry

  6  economic development projects that create new employment

  7  opportunities and generate new sales tax dollars by expanding

  8  businesses within the state or by bringing new businesses to

  9  the state.

10         (2)  DEFINITIONS.--As used in this section:

11         (a)  "Certified sports industry economic development

12  project" or "project" means any amateur sports business that

13  develops, operates, or both develops and operates a project

14  that attracts and retains multiyear amateur sporting events

15  that generate new sales taxes for the state, has submitted a

16  properly completed application to the Office of Tourism,

17  Trade, and Economic Development, and has subsequently been

18  certified by that office as a certified sports industry

19  economic development project. The project may not be one that

20  is located in Florida prior to the effective date of this act.

21         (b)  "Sales tax reimbursement" means the monthly amount

22  to be distributed through a reimbursement to a certified

23  sports industry economic development project pursuant to s.

24  212.20.  Such amount shall be determined by the Office of

25  Tourism, Trade, and Economic Development as provided in this

26  section.

27         (3)  AMATEUR SPORTS BUSINESS ELIGIBLE TO APPLY.--

28         (a)  Any amateur sports business that promotes

29  multiyear amateur sports industry economic development

30  activities in the state may submit to the Office of Tourism,

31  Trade, and Economic Development an application for approval as


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    CS for SB 2074                                Second Engrossed



  1  a certified sports industry economic development project for

  2  the purpose of receiving a sales tax reimbursement on new

  3  sales taxes generated by increased new business and tourism

  4  activity directly attributable to the proposed amateur sports

  5  industry economic development project.

  6         (b)  The number of certified sports industry economic

  7  development projects shall not exceed three. However, prior to

  8  June 30, 2005, the number of certified sports industry

  9  economic development projects shall not exceed one, and prior

10  to such date, the total appropriation for the project shall

11  not exceed $2 million.

12         (4)  SALES TAX REIMBURSEMENT AND AUTHORIZED

13  AMOUNT.--Pursuant to s. 212.20, each certified sports industry

14  economic development project shall be eligible for a monthly

15  distribution of its sales tax reimbursement in the amount

16  determined by its sales tax reimbursement agreement with the

17  Office of Tourism, Trade, and Economic Development.  The

18  amount shall be based on new sales tax revenues generated

19  under chapter 212 by increased new business and tourism

20  activity directly attributable to the project as determined

21  using the sports economic impact model and, subject to other

22  restrictions, returns 50 percent of that amount to the

23  project.  The total amount of sales tax reimbursement for all

24  fiscal years estimated for each project shall not exceed 50

25  percent of the cost of the project as determined by the Office

26  of Tourism, Trade, and Economic Development in the

27  certification process set forth in subsection (6).  The

28  annualized amount of the monthly distribution shall be

29  calculated by the Office of Tourism, Trade, and Economic

30  Development and specified in the applicant's sales tax

31  reimbursement agreement.  Annual payment amounts shall be no


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    CS for SB 2074                                Second Engrossed



  1  less than $500,000 and no more than $2 million, unless the

  2  Office of Tourism, Trade, and Economic Development reduces

  3  payments below $500,000 under its authority to decertify a

  4  project as discussed in subsection (6).

  5         (5)  AUTHORIZED USE OF SALES TAX REIMBURSEMENT

  6  PAYMENTS.--After entering into a sales tax reimbursement

  7  agreement under subsection (7), a certified sports industry

  8  economic development project may receive a sales tax

  9  reimbursement for any of the following:

10         (a)  Developing and implementing any component of the

11  project's sports events and activities.

12         (b)  Constructing, reconstructing, renovating,

13  furnishing, equipping, or operating the project's facilities

14  or events.

15         (c)  Pledging payments or debt service on, or funding,

16  debt service reserve funds, arbitrage rebate obligations, or

17  other amounts payable with respect to bonds for the project's

18  activities and facilities.

19         (d)  Paying the cost of relocating the project's

20  corporate headquarters into the state.

21         (6)  CERTIFICATION, RECERTIFICATION, AND

22  DECERTIFICATION PROCEDURE.--

23         (a)  The Office of Tourism, Trade, and Economic

24  Development shall establish a certification process by which a

25  proposed amateur sports industry economic development project

26  may be approved by the office as a certified sports industry

27  economic development project that is eligible to receive

28  economic development incentives in the form of a sales tax

29  reimbursement of a percentage of new sales taxes that have

30  been generated and remitted to the state as a result of the

31  certified sports industry economic development project.


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    CS for SB 2074                                Second Engrossed



  1         (b)  Before certifying an applicant under this

  2  subsection, the Office of Tourism, Trade, and Economic

  3  Development must determine that the applicant has:

  4         1.  Completed an independent analysis or study,

  5  verified by the Office of Tourism, Trade, and Economic

  6  Development, which demonstrates that the proposed amateur

  7  sports industry economic development project will generate a

  8  minimum of $1 million annually in new sales tax revenues over

  9  a multiyear period.

10         2.  Received commitments for amateur sports activities

11  which demonstrate that the proposed amateur sports economic

12  development project will bring to this state on a multiyear

13  basis new proposed amateur sports economic development project

14  activities that will generate a minimum of $1 million in new

15  sales tax revenues annually, as verified by the Office of

16  Tourism, Trade, and Economic Development.

17         3.  Demonstrated that the applicant has provided, is

18  capable of providing, or has financial or other commitments to

19  provide more than one-half of the costs incurred in or related

20  to the development of the proposed amateur sports industry

21  economic development project activity.

22         (c)  An amateur sports business that has previously

23  been certified under this section and has received a sales tax

24  reimbursement under that certification is ineligible for

25  additional certification.

26         (d)  Upon determining that a proposed amateur sports

27  industry economic development project meets the established

28  criteria for approval as a certified sports industry economic

29  development project and qualifies for a sales tax

30  reimbursement, the Office of Tourism, Trade, and Economic

31  Development shall issue to the applicant a letter of


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    CS for SB 2074                                Second Engrossed



  1  certification that stipulates the terms of the sales tax

  2  reimbursement agreement and the penalties for failing to

  3  comply with those terms.

  4         (e)  The Office of Tourism, Trade, and Economic

  5  Development shall deny the application of an amateur sports

  6  business to be a certified sports industry economic

  7  development project if the office determines that the proposed

  8  project does not meet the established criteria for approval.

  9         (f)  The Office of Tourism, Trade, and Economic

10  Development shall develop a standardized form for an amateur

11  sports business to complete in applying for certification as a

12  certified sports industry economic development project. The

13  application shall include, but is not limited to, relevant

14  information on employment and job creation, proposed budgets,

15  contracts for multiyear events and projects, project

16  financing, and other information requested by the office. The

17  application may be distributed to applicants by the Office of

18  Tourism, Trade, and Economic Development, and all completed

19  applications shall be processed by the office.

20         (g)  Initial certification for a sales tax

21  reimbursement under this section is valid for 10 years.

22  Subsequent to the initial certification period, the certified

23  sports industry economic development project is eligible for

24  two periods of recertification, each of which is valid for 5

25  years. A project must request recertification 12 months before

26  the expiration of the certificate.

27         (h)  A certified sports industry economic development

28  project may request recertification after the initial

29  certification period to be requalified for certification as a

30  certified sports industry economic development project for a

31  period not to exceed 20 years.


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    CS for SB 2074                                Second Engrossed



  1         (i)  The Office of Tourism, Trade, and Economic

  2  Development shall recertify, before the end of the first

  3  10-year period, that the certified sports industry economic

  4  development project is operational and that the project is

  5  meeting the minimum projections for sales tax revenues as

  6  required at the time of original certification. If the project

  7  is not recertified during this 10-year review period as

  8  meeting the minimum projections, funding shall be adjusted

  9  until certification criteria are met. If the project fails to

10  generate annual sales tax revenues pursuant to its sales tax

11  reimbursement agreement with the Office of Tourism, Trade, and

12  Economic Development, the amount of revenues distributed to

13  the project under s. 212.20(6)(f)5.d. shall be reduced to an

14  amount equal to a pro-rata amount of the taxes collected times

15  50 percent. If, for 2 consecutive years, the amount of tax

16  revenues collected falls below a minimum of $1 million per

17  year, the project may be decertified at the discretion of the

18  Office of Tourism, Trade, and Economic Development. Such a

19  reduction shall remain in effect until the sales tax revenues

20  generated by the project in a 12-month period equal or exceed

21  $1 million.

22         (j)  A project may be decertified if the Office of

23  Tourism, Trade, and Economic Development determines that the

24  amateur sports business can no longer maintain its economic

25  development activities in this state. If the project is no

26  longer in existence, or is no longer viable, as determined by

27  the project's sales tax reimbursement agreement with the

28  Office of Tourism, Trade, and Economic Development, or if the

29  project has the certificate for purposes other than those

30  authorized by this section and chapter 212, the Office of

31  Tourism, Trade, and Economic Development shall notify the


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    CS for SB 2074                                Second Engrossed



  1  Department of Revenue to suspend payment for a period of 6

  2  months until the project is either in compliance with the

  3  sales tax reimbursement agreement or is determined to be in

  4  default. In addition to other penalties imposed by law, any

  5  person who knowingly and willfully falsifies an application

  6  for purposes other than those authorized by this section

  7  commits a felony of the third degree, punishable as provided

  8  in s. 775.082, s. 775.083, or s. 775.084.

  9         (k)  The Office of Tourism, Trade, and Economic

10  Development shall provide written notification to the

11  Department of Revenue of all certifications, recertifications,

12  and decertifications of projects and of the sales tax

13  reimbursement distribution amount each project is entitled to

14  receive.

15         (l)  The Office of Tourism, Trade, and Economic

16  Development shall develop rules for the receipt and processing

17  of applications for funding pursuant to s. 212.20.

18         (7)  SALES TAX REIMBURSEMENT AGREEMENT TERMS.--

19         (a)  In order to qualify for sales tax reimbursement

20  from the state, each certified sports industry economic

21  development project must enter into a written agreement with

22  the Office of Tourism, Trade, and Economic Development which

23  specifies, at a minimum:

24         1.  The total number of full-time-equivalent jobs

25  created in or transferred to the state as a direct result of

26  the project, the average wage paid for those jobs, the

27  criteria that will apply to measuring the achievement of these

28  terms during the effective period of the agreement, and a time

29  schedule or plan for when such jobs will be in place and

30  operative in the state.

31


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    CS for SB 2074                                Second Engrossed



  1         2.  The maximum amount of new sales taxes estimated to

  2  be generated as a result of the project, the maximum amount of

  3  sales tax reimbursement that the project is eligible to

  4  receive, and the maximum amount of sales tax reimbursement

  5  that the project is requesting.

  6         3.  The budgets, financing, projections, and cost

  7  estimates for the sports activities and projects for which

  8  reimbursement is sought.

  9         (b)  Compliance with the terms and conditions of the

10  sales tax reimbursement agreement is a condition precedent for

11  receiving a sales tax reimbursement each year. The terms and

12  time frame of the agreement shall be commensurate with the

13  duration of the certification period. Failure to comply with

14  the terms and conditions of the sales tax reimbursement

15  agreement shall result in an immediate review by the Office of

16  Tourism, Trade, and Economic Development of the activities of

17  the project.

18         (c)  The sales tax reimbursement shall not exceed 50

19  percent of the total project costs, amortized over a period of

20  years not to exceed 20.

21         (d)  Sales tax reimbursement may be provided through

22  direct payment or other means of payment to the certified

23  sports industry economic development project, as determined in

24  the sales tax reimbursement agreement with the approval of the

25  Department of Revenue.

26         (8)  ADMINISTRATION.--

27         (a)  The Office of Tourism, Trade, and Economic

28  Development may verify information provided in any claim for

29  sales tax reimbursement under this section, including

30  information regarding employment and wage levels or the

31  payment of taxes under chapter 212 to the appropriate agency,


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    CS for SB 2074                                Second Engrossed



  1  including the Department of Revenue, the Department of Labor

  2  and Employment Security, or the appropriate local government

  3  or authority.

  4         (b)  To facilitate the process of monitoring and

  5  auditing applications made under this program, the Office of

  6  Tourism, Trade, and Economic Development may request

  7  information necessary for determining a project's compliance

  8  with this section from the Department of Revenue, the

  9  Department of Labor and Employment Security, or any local

10  government or authority.  These governmental entities shall

11  provide assistance in the areas within their scope of

12  responsibilities.

13         (c)  The Department of Revenue may audit as provided in

14  s. 213.34 to verify that the distributions pursuant to this

15  section have been expended as required in this section.

16         (9)  RELATIONSHIP OF SALES TAX REIMBURSEMENTS TO SPORTS

17  INDUSTRY GROWTH; REPORT TO THE LEGISLATURE.--Beginning January

18  1, 2001, the Office of Tourism, Trade, and Economic

19  Development shall maintain records based on information

20  provided on taxpayer applications for certified sports

21  industry economic development projects that receive sales tax

22  reimbursements. These records must include a statement of the

23  percentage of the overall new economic impact generated by

24  certified sports industry economic development projects and

25  the amount of funds annually reimbursed to such projects. In

26  addition, the Office of Tourism, Trade, and Economic

27  Development shall maintain data showing the annual growth in

28  Florida-based amateur sports industry businesses and the

29  number of persons employed and wages paid by such businesses.

30  The Office of Tourism, Trade, and Economic Development shall

31


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    CS for SB 2074                                Second Engrossed



  1  report this information to the Legislature annually, no later

  2  than December 1.

  3         Section 4.  Subsection (1) of section 288.1229, Florida

  4  Statutes, is amended to read:

  5         288.1229  Promotion and development of sports-related

  6  industries and amateur athletics; direct-support organization;

  7  powers and duties.--

  8         (1)  The Office of Tourism, Trade, and Economic

  9  Development may authorize a direct-support organization to

10  assist the office in:

11         (a)  The promotion and development of the sports

12  industry and related industries for the purpose of improving

13  the economic presence of these industries in Florida.

14         (b)  The promotion of amateur athletic participation

15  for the citizens of Florida and the promotion of Florida as a

16  host for national and international amateur athletic

17  competitions for the purpose of encouraging and increasing the

18  direct and ancillary economic benefits of amateur athletic

19  events and competitions.

20         (c)  The attraction of sports industry economic

21  development projects to this state for the purposes set forth

22  in paragraphs (a) and (b), as well as for the purposes of

23  increasing national and international media promotions and

24  attention, promoting the quality of life in the state, and

25  promoting tourism, which will have a positive effect on

26  expanding the tax base as well as creating new jobs in the

27  state.

28         Section 5.  The Department of Agriculture and Consumer

29  Services is authorized to negotiate agreements with landowners

30  for water supply in rural areas, provided that:

31


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    CS for SB 2074                                Second Engrossed



  1         (1)  The water to be supplied is currently available to

  2  property owned or controlled by the department; and

  3         (2)  The intended use and quantity are not inconsistent

  4  with any permit required under part II of chapter 373, Florida

  5  Statutes, for the source of supply in effect at the time of

  6  the agreement.

  7         Section 6.  Section 570.249, Florida Statutes, is

  8  created to read:

  9         570.249  Agricultural Economic Development Program

10  Disaster Loans.--

11         (1)  USE OF LOAN FUNDS.--Loan funds to agricultural

12  producers who have experienced crop losses from a natural

13  disaster or a socio-economic condition or event may be used to

14  restore or replace essential physical property, such as

15  animals, fences, equipment, structural production facilities,

16  or orchard trees; pay all or part of production costs

17  associated with the disaster year; pay essential family living

18  expenses; and restructure farm debts. Funds may be issued as

19  direct loans, or as loan guarantees for up to 90 percent of

20  the total loan, in amounts not less than $30,000 nor more than

21  $250,000. Applicants must provide at least 10 percent equity.

22         (2)  ELIGIBLE CROPS.--Crops eligible for the emergency

23  loan program include:

24         (a)  Crops grown for human consumption;

25         (b)  Crops planted and grown for livestock consumption,

26  including, but not limited to, grain, seed, and forage crops;

27         (c)  Crops grown for fiber, except for trees; and

28         (d)  Speciality crops, such as aquacultural,

29  floricultural, or ornamental nursery crops; Christmas trees;

30  turf for sod; industrial crops; and seed crops used to produce

31  eligible crops.


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    CS for SB 2074                                Second Engrossed



  1         (3)  FARMING INFORMATION.--A borrower must keep

  2  complete and acceptable farm records and present them as proof

  3  of production levels. A borrower must operate in accordance

  4  with a farm plan that he or she develops and that is approved

  5  by the commissioner. A borrower may be required to participate

  6  in a financial management training program and obtain crop

  7  insurance.

  8         (4)  LOAN APPLICATION.--In order to qualify for a loan

  9  under this section an applicant must submit an application to

10  the committee within 30 days after the natural disaster or

11  socio-economic condition or event occurs or the date the crop

12  damage becomes apparent. An applicant must be a citizen of the

13  United States, a bona fide resident of the state, and,

14  together with the applicant's spouse and their dependents,

15  have a total net worth of less than the $100,000. The value of

16  any residental homestead owned by the applicant must not be

17  included in determining the applicant's net worth. An

18  applicant must also demonstrate the need for economic

19  assistance, be worthy of credit according to standards

20  established by the commissioner, prove that he or she cannot

21  obtain commercial credit, and demonstrate that he or she has

22  the ability to repay the loan.

23         (5)  LOAN SECURITY REQUIREMENTS.--All loans must be

24  fully collateralized. A first lien is required on all property

25  or product acquired, produced, or refinanced with loan funds.

26  The specific type of collateral required may vary depending

27  upon the loan purpose, repayment ability, and the particular

28  circumstances of the applicant.

29         (6)  LOAN REPAYMENT.--Repayment of loans for crops,

30  livestock, and non-real-estate losses shall normally be repaid

31  within 7 years, or, in special circumstances within 20 years.


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CODING: Words stricken are deletions; words underlined are additions.






    CS for SB 2074                                Second Engrossed



  1  Loans for physical losses to real estate and buildings shall

  2  not exceed 30 years. Borrowers are expected to return to

  3  conventional credit sources when they are financially able.

  4  Loans are a temporary source of credit and borrowers must be

  5  reviewed periodically to determine whether they can return to

  6  conventional credit.

  7         Section 7.  Section 570.911, Florida Statutes, is

  8  created to read:

  9         570.911  Equestrian educational sports program.--The

10  Department of Agriculture and Consumer Services shall

11  establish an equestrian educational sports program with one or

12  more accredited 4-year state universities designed to give

13  student riders the opportunity to learn, compete, and succeed

14  at the collegiate level, while at the same time promoting the

15  state's multi-billion dollar equine industry.

16         Section 8.  This act shall take effect July 1, 2000.

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