Senate Bill sb1912er

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    ENROLLED

    2002 Legislature                                CS for SB 1912



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  2         An act relating to defense contractors;

  3         amending s. 288.1045, F.S.; redefining the term

  4         "Department of Defense contract"; revising the

  5         required minimum percentage of gross receipts

  6         derived from Department of Defense contracts;

  7         providing an effective date.

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

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11         Section 1.  Paragraph (e) of subsection (1) and

12  paragraph (e) of subsection (3) of section 288.1045, Florida

13  Statutes, are amended to read:

14         288.1045  Qualified defense contractor tax refund

15  program.--

16         (1)  DEFINITIONS.--As used in this section:

17         (e)  "Department of Defense contract" means a

18  competitively bid Department of Defense contract or

19  subcontract or a competitively bid federal agency contract or

20  subcontract issued on behalf of the Department of Defense for

21  manufacturing, assembling, fabricating, research, development,

22  or design with a duration of 2 or more years, but excluding

23  any contract to provide goods, improvements to real or

24  tangible property, or services directly to or for any

25  particular military base or installation in this state. The

26  term includes contracts or subcontracts for products or

27  services for military use which contracts or subcontracts are

28  approved by the United States Department of Defense, the

29  United States Department of State, or the United States Coast

30  Guard.

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




    ENROLLED

    2002 Legislature                                CS for SB 1912



  1         (3)  APPLICATION PROCESS; REQUIREMENTS; AGENCY

  2  DETERMINATION.--

  3         (e)  To qualify for review by the office, the

  4  application of an applicant must, at a minimum, establish the

  5  following to the satisfaction of the office:

  6         1.  The jobs proposed to be provided under the

  7  application, pursuant to subparagraph (b)6. or subparagraph

  8  (c)6., must pay an estimated annual average wage equaling at

  9  least 115 percent of the average wage in the area where the

10  project is to be located.

11         2.  The consolidation of a Department of Defense

12  contract must result in a net increase of at least 25 percent

13  in the number of jobs at the applicant's facilities in this

14  state or the addition of at least 80 jobs at the applicant's

15  facilities in this state.

16         3.  The conversion of defense production jobs to

17  nondefense production jobs must result in net increases in

18  nondefense employment at the applicant's facilities in this

19  state.

20         4.  The Department of Defense contract cannot allow the

21  business to include the costs of relocation or retooling in

22  its base as allowable costs under a cost-plus, or similar,

23  contract.

24         5.  A business unit of the applicant must have derived

25  not less than 60 70 percent of its gross receipts in this

26  state from Department of Defense contracts over the

27  applicant's last fiscal year, and must have derived not less

28  than an average of 60 80 percent of its gross receipts in this

29  state from Department of Defense contracts over the 5 years

30  preceding the date an application is submitted pursuant to

31  this section. This subparagraph does not apply to any


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    ENROLLED

    2002 Legislature                                CS for SB 1912



  1  application for certification based on a contract for reuse of

  2  a defense-related facility.

  3         6.  The reuse of a defense-related facility must result

  4  in the creation of at least 100 jobs at such facility.

  5         Section 2.  This act shall take effect July 1, 2002.

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