Senate Bill sb0332c1
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2003                            CS for SB 332
    By the Committee on Finance and Taxation; and Senator Saunders
    314-2530-03
  1                      A bill to be entitled
  2         An act relating to local option fuel taxes on
  3         motor fuel and diesel fuel; amending ss. 206.60
  4         and 206.605, F.S.; including bicycle paths and
  5         pedestrian pathways within authorized uses of
  6         proceeds of county and municipal taxes on motor
  7         fuel; amending s. 336.025, F.S.; expanding the
  8         uses of proceeds from local option fuel taxes
  9         on motor fuel and diesel fuel; authorizing
10         certain municipalities to expend local option
11         fuel taxes; providing an effective date.
12  
13  Be It Enacted by the Legislature of the State of Florida:
14  
15         Section 1.  Paragraph (b) of subsection (1) and
16  subsection (4) of section 206.60, Florida Statutes, are
17  amended to read:
18         206.60  County tax on motor fuel.--
19         (1)  The proceeds of the county fuel tax imposed
20  pursuant to s. 206.41(1)(b) are appropriated for public
21  transportation purposes in the manner following:
22         (b)1.  The Department of Revenue shall, from month to
23  month, distribute the amount allocated to each of the several
24  counties under paragraph (a) to the board of county
25  commissioners of the county, who shall use such funds solely
26  for the acquisition of rights-of-way; the construction,
27  reconstruction, operation, maintenance, and repair of
28  transportation facilities, roads, and bridges, bicycle paths,
29  and pedestrian pathways therein; or the reduction of bonded
30  indebtedness of such county or of special road and bridge
31  districts within such county, incurred for road and bridge or
                                  1
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2003                            CS for SB 332
    314-2530-03
 1  other transportation purposes. In the event the powers and
 2  duties relating to transportation facilities, roads, and
 3  bridges, bicycle paths, and pedestrian pathways usually
 4  exercised and performed by boards of county commissioners are
 5  exercised and performed by some other or separate county
 6  board, such board shall receive the proceeds, exercise the
 7  powers, and perform the duties designated in this section to
 8  be done by the boards of county commissioners.
 9         2.  The board of county commissioners of each county,
10  or any separate board or local agency exercising the powers
11  and performing the duties relating to transportation
12  facilities, roads, and bridges, bicycle paths, and pedestrian
13  pathways usually exercised and performed by the boards of
14  county commissioners, shall be assigned the full
15  responsibility for the maintenance of transportation
16  facilities in the county and of roads in the county road
17  system.
18         3.  Nothing in this paragraph as amended by chapter
19  71-212, Laws of Florida, shall be construed to permit the
20  expenditure of public funds in such manner or for such
21  projects as would violate the State Constitution or the trust
22  indenture of any bond issue or which would cause the state to
23  lose any federal aid funds for highway or transportation
24  purposes; and the provisions of this paragraph shall be
25  applied in a manner to avoid such result.
26         (4)  It is hereby expressly recognized and declared by
27  the Legislature that all public roads, and bridges, bicycle
28  paths, and pedestrian pathways being constructed or built or
29  which will be hereafter constructed or built, including the
30  acquisition of rights-of-way as incident thereto, either by
31  the Department of Transportation or the several counties of
                                  2
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2003                            CS for SB 332
    314-2530-03
 1  the state, were, are, and will be constructed and built as
 2  general public projects and undertakings and that the cost of
 3  the construction and building thereof, including the
 4  acquisition of rights-of-way as incident thereto, was, is, and
 5  will be legitimate, proper state expense incurred for a
 6  general public and state purpose.  And it is expressly
 7  recognized and declared that the construction, reconstruction,
 8  maintenance, and acquisition of rights-of-way of all secondary
 9  roads are essential to the welfare of the state and that such
10  roads when constructed, reconstructed, or maintained, or such
11  rights-of-way when acquired, are and will be for a general
12  public and state purpose.  And the Legislature has found and
13  hereby declares that for the proper and efficient construction
14  and maintenance of public highways designated state roads, it
15  is in the best interest of the state to further integrate the
16  activities of the Department of Transportation and the several
17  boards of county commissioners as provided in subsection (1)
18  in order that both state and local highway needs may be
19  adequately provided for.
20         Section 2.  Subsection (2) of section 206.605, Florida
21  Statutes, is amended to read:
22         206.605  Municipal tax on motor fuel.--
23         (2)  Funds available under this section shall be used
24  only for purchase of transportation facilities and road and
25  street rights-of-way;, construction, reconstruction, and
26  maintenance of roads, and streets, bicycle paths, and
27  pedestrian pathways; for the adjustment of city-owned
28  utilities as required by road and street construction;, and
29  the construction, reconstruction, transportation-related
30  public safety activities, maintenance, and operation of
31  transportation facilities. Municipalities are authorized to
                                  3
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2003                            CS for SB 332
    314-2530-03
 1  expend the funds received under this section in conjunction
 2  with other cities or counties or state or federal government
 3  in joint projects.
 4         Section 3.  Paragraph (b) of subsection (1) and
 5  subsections (7) and (8) of section 336.025, Florida Statutes,
 6  are amended to read:
 7         336.025  County transportation system; levy of local
 8  option fuel tax on motor fuel and diesel fuel.--
 9         (1)
10         (b)  In addition to other taxes allowed by law, there
11  may be levied as provided in s. 206.41(1)(e) a 1-cent, 2-cent,
12  3-cent, 4-cent, or 5-cent local option fuel tax upon every
13  gallon of motor fuel sold in a county and taxed under the
14  provisions of part I of chapter 206.  The tax shall be levied
15  by an ordinance adopted by a majority plus one vote of the
16  membership of the governing body of the county or by
17  referendum.
18         1.  All impositions and rate changes of the tax shall
19  be levied before July 1, to be effective January 1 of the
20  following year. However, levies of the tax which were in
21  effect on July 1, 2002, and which expire on August 31 of any
22  year may be reimposed at the current authorized rate effective
23  September 1 of the year of expiration.
24         2.  The county may, prior to levy of the tax, establish
25  by interlocal agreement with one or more municipalities
26  located therein, representing a majority of the population of
27  the incorporated area within the county, a distribution
28  formula for dividing the entire proceeds of the tax among
29  county government and all eligible municipalities within the
30  county. If no interlocal agreement is adopted before the
31  effective date of the tax, tax revenues shall be distributed
                                  4
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2003                            CS for SB 332
    314-2530-03
 1  pursuant to the provisions of subsection (4).  If no
 2  interlocal agreement exists, a new interlocal agreement may be
 3  established prior to June 1 of any year pursuant to this
 4  subparagraph. However, any interlocal agreement agreed to
 5  under this subparagraph after the initial levy of the tax or
 6  change in the tax rate authorized in this section shall under
 7  no circumstances materially or adversely affect the rights of
 8  holders of outstanding bonds which are backed by taxes
 9  authorized by this paragraph, and the amounts distributed to
10  the county government and each municipality shall not be
11  reduced below the amount necessary for the payment of
12  principal and interest and reserves for principal and interest
13  as required under the covenants of any bond resolution
14  outstanding on the date of establishment of the new interlocal
15  agreement.
16         3.  County and municipal governments shall use utilize
17  moneys received pursuant to this paragraph only for
18  transportation expenditures needed to meet the requirements of
19  the capital improvements element of an adopted comprehensive
20  plan or for expenditures needed to meet immediate local
21  transportation problems and for other transportation-related
22  expenditures that are critical for building comprehensive
23  roadway networks by local governments. For purposes of this
24  paragraph, expenditures for the construction of new roads, the
25  reconstruction or resurfacing of existing paved roads, or the
26  paving of existing graded roads shall be deemed to increase
27  capacity and such projects shall be included in the capital
28  improvements element of an adopted comprehensive plan.
29  Expenditures for purposes of this paragraph shall not include
30  routine maintenance of roads.
31  
                                  5
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2003                            CS for SB 332
    314-2530-03
 1         (7)  For the purposes of this section, "transportation
 2  expenditures" means expenditures by the local government from
 3  local or state shared revenue sources, excluding expenditures
 4  of bond proceeds, for the following programs:
 5         (a)  Public transportation operations and maintenance.
 6         (b)  Roadway and right-of-way maintenance and equipment
 7  and structures used primarily for the storage and maintenance
 8  of such equipment.
 9         (c)  Roadway and right-of-way drainage.
10         (d)  Street lighting.
11         (e)  Traffic signs, traffic engineering, signalization,
12  and pavement markings.
13         (f)  Bridge maintenance and operation.
14         (g)  Debt service and current expenditures for
15  transportation capital projects in the foregoing program
16  areas, including construction or reconstruction of roads and
17  sidewalks.
18         (8)  In addition to the uses specified in subsection
19  (7), the governing body of a county with a population of
20  50,000 or less on April 1, 1992, or the governing body of a
21  municipality within such a county, may use the proceeds of the
22  tax levied pursuant to paragraph (1)(a) in any fiscal year to
23  fund infrastructure projects, if such projects are consistent
24  with the local government's approved comprehensive plan or, if
25  the approval or denial of the plan has not become final,
26  consistent with the plan last submitted to the state land
27  planning agency. In addition, no more than an amount equal to
28  the proceeds from 4 cents per gallon of the tax imposed
29  pursuant to paragraph (1)(a) may be used by such county for
30  the express and limited purpose of paying for a court-ordered
31  refund of special assessments. Except as provided in
                                  6
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2003                            CS for SB 332
    314-2530-03
 1  subsection (7), such funds shall not be used for the
 2  operational expenses of any infrastructure.  Such funds may be
 3  used for infrastructure projects under this subsection only
 4  after the local government, prior to the fiscal year in which
 5  the funds are proposed to be used, or if pledged for bonded
 6  indebtedness, prior to the fiscal year in which the bonds will
 7  be issued, has held a duly noticed public hearing on the
 8  proposed use of the funds and has adopted a resolution
 9  certifying that the local government has met all of the
10  transportation needs identified in its approved comprehensive
11  plan or, if the approval or denial of the plan has not become
12  final, consistent with the plan last submitted to the state
13  land planning agency.  The proceeds shall not be pledged for
14  bonded indebtedness for a period exceeding 10 years, except
15  that, for the express and limited purpose of using such
16  proceeds in any fiscal year to pay a court-ordered refund of
17  special assessments, the proceeds may be pledged for bonded
18  indebtedness not exceeding 15 years.  For the purposes of this
19  subsection, "infrastructure" has the same meaning as provided
20  in s. 212.055.
21         Section 4.  This act shall take effect July 1, 2003.
22  
23          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
24                         Senate Bill 332
25                                 
26  The bill expands the authorized uses of the "1-cent county
    fuel tax" and the "1-cent municipal fuel tax" revenues to
27  include the construction, operation, maintenance, and repair
    of bicycle paths and pedestrian pathways.
28  
    In addition, the bill authorizes a municipality in a county
29  with a population of 50,000 or less to use the proceeds from
    the first 6 cents of the 11 cents local option gas tax for
30  infrastructure projects, provided such projects are consistent
    with the local government's comprehensive plan.
31  
                                  7
CODING: Words stricken are deletions; words underlined are additions.