Senate Bill sb1022
CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2005 SB 1022
By Senator Rich
34-1013-05 See HB 373
1 A bill to be entitled
2 An act relating to local occupational license
3 taxes; amending ss. 205.0315, 205.043, and
4 205.0535, F.S.; revising, updating, and
5 conforming criteria and provisions for
6 ordinances imposing local occupational license
7 taxes; removing limitations on the authority of
8 municipalities and counties to reclassify
9 businesses, professions, and occupations and
10 establish new rate structures for occupational
11 license taxes; requiring the establishment of a
12 review board rather than an equity study
13 commission for certain purposes; deleting a
14 schedule of limitations on increases in license
15 taxes; authorizing increasing, decreasing, or
16 eliminating local occupational license tax
17 rates; specifying a limit on increases in such
18 tax rates; providing an effective date.
19
20 Be It Enacted by the Legislature of the State of Florida:
21
22 Section 1. Section 205.0315, Florida Statutes, is
23 amended to read:
24 205.0315 Ordinance adoption after October 1,
25 1995.--Beginning October 1, 1995, a county or municipality
26 that has not adopted an occupational license tax ordinance or
27 resolution may adopt an occupational license tax ordinance.
28 The occupational license tax rate structure and
29 classifications in the adopted ordinance must be reasonable
30 and based upon the rate structure and classifications
31 prescribed in ordinances adopted by adjacent local governments
1
CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2005 SB 1022
34-1013-05 See HB 373
1 or that have implemented s. 205.0535. If no adjacent local
2 government has implemented s. 205.0535, or if the governing
3 body of the county or municipality finds that the rate
4 structures or classifications of adjacent local governments
5 are unreasonable, the rate structure or classifications
6 prescribed in its ordinance may be based upon those prescribed
7 in ordinances adopted by local governments that have
8 implemented s. 205.0535 in counties or municipalities that
9 have a comparable population.
10 Section 2. Section 205.043, Florida Statutes, is
11 amended to read:
12 205.043 Conditions for levy; municipalities.--
13 (1) The following conditions are imposed on the
14 authority of a municipal governing body to levy an
15 occupational license tax:
16 (a) The tax must be based upon reasonable
17 classifications and must be uniform throughout any class.
18 (b) Unless the municipality implements s. 205.0535 or
19 adopts a new occupational license tax ordinance under s.
20 205.0315, an occupational license tax levied under this
21 subsection may not exceed the rate in effect in the
22 municipality for the year beginning October 1, 1971; however,
23 beginning October 1, 1980, the municipal governing body may
24 increase occupational license taxes authorized by this
25 chapter. The amount of the increase above the license tax rate
26 levied on October 1, 1971, for license taxes levied at a flat
27 rate may be up to 100 percent for occupational license taxes
28 that are $100 or less; 50 percent for occupational license
29 taxes that are between $101 and $300; and 25 percent for
30 occupational license taxes that are more than $300. Beginning
31 October 1, 1982, an increase may not exceed 25 percent for
2
CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2005 SB 1022
34-1013-05 See HB 373
1 license taxes levied at graduated or per unit rates. Authority
2 to increase occupational license taxes does not apply to
3 licenses granted to any utility franchised by the municipality
4 for which a franchise fee is paid.
5 (b)(c) A license is not valid for more than 1 year and
6 all licenses expire on September 30 of each year, except as
7 otherwise provided by law.
8 (2) Any business license may be transferred to a new
9 owner, when there is a bona fide sale of the business, upon
10 payment of a transfer fee of up to 10 percent of the annual
11 license tax, but not less than $3 nor more than $25, and
12 presentation of the original license and evidence of the sale.
13 (3) Upon written request and presentation of the
14 original license, any license may be transferred from one
15 location to another location in the same municipality upon
16 payment of a transfer fee of up to 10 percent of the annual
17 license tax, but not less than $3 nor more than $25.
18 (4) If the governing body of the county in which the
19 municipality is located has levied an occupational license tax
20 or subsequently levies such a tax, the collector of the county
21 tax may issue the license and collect the tax thereon.
22 (5) Any person who is engaged in the business of
23 providing local exchange telephone service or pay telephone
24 service in a municipality or in the unincorporated area of a
25 county and who pays the occupational license tax under the
26 category designated for telephone companies or a pay telephone
27 service provider certified pursuant to s. 364.3375 is deemed
28 to have only one place of business or business location in
29 each municipality or unincorporated area of a county. Pay
30 telephone service providers may not be assessed an
31 occupational license tax on a per-instrument basis.
3
CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2005 SB 1022
34-1013-05 See HB 373
1 Section 3. Subsections (1) and (2), paragraphs (a) and
2 (b) of subsection (3), and subsection (4) of section 205.0535,
3 Florida Statutes, are amended to read:
4 205.0535 Reclassification and rate structure
5 revisions.--
6 (1) Municipalities and counties By October 1, 1995,
7 any municipality or county may, by ordinance, reclassify
8 businesses, professions, and occupations and may establish new
9 rate structures, if the conditions specified in subsections
10 (2) and (3) are met. A person who is engaged in the business
11 of providing local exchange telephone service or a pay
12 telephone service in a municipality or in the unincorporated
13 area of a county and who pays the occupational license tax
14 under the category designated for telephone companies or a pay
15 telephone service provider certified pursuant to s. 364.3375
16 is deemed to have but one place of business or business
17 location in each municipality or unincorporated area of a
18 county. Pay telephone service providers may not be assessed an
19 occupational license tax on a per-instrument basis.
20 (2) Before adopting a reclassification and revision
21 ordinance, the municipality or county shall appoint a board to
22 review the current classifications and rate structure and to
23 must establish an equity study commission and appoint its
24 members. Each member of the study commission must be a
25 representative of the business community within the local
26 government's jurisdiction. Each equity study commission shall
27 recommend to the appropriate local government a classification
28 system and rate structure for local occupational license
29 taxes.
30 (3)(a) After the reclassification and rate structure
31 revisions have been transmitted to and considered by the
4
CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2005 SB 1022
34-1013-05 See HB 373
1 appropriate local governing body, it may adopt by majority
2 vote a new occupational license tax ordinance. Except that a
3 minimum license tax of up to $25 is permitted, the
4 reclassification shall not increase the occupational license
5 tax by more than the following: for licenses costing $150 or
6 less, 200 percent; for licenses costing more than $150 but not
7 more than $500, 100 percent; for licenses costing more than
8 $500 but not more than $2,500, 75 percent; for licenses
9 costing more than $2,500 but not more than $10,000, 50
10 percent; and for licenses costing more than $10,000, 10
11 percent; however, in no case may any license be increased more
12 than $5,000.
13 (b) The total annual revenue generated by the new rate
14 structure for the fiscal year following the fiscal year during
15 which the rate structure is adopted may not exceed:
16 1. For municipalities, the sum of the revenue base and
17 10 percent of that revenue base. The revenue base is the sum
18 of the occupational license tax revenue generated by licenses
19 issued for the most recently completed local fiscal year or
20 the amount of revenue that would have been generated from the
21 authorized increases under s. 205.043(1)(b), whichever is
22 greater, plus any revenue received from the county under s.
23 205.033(4).
24 2. For counties, the sum of the revenue base, 10
25 percent of that revenue base, and the amount of revenue
26 distributed by the county to the municipalities under s.
27 205.033(4) during the most recently completed local fiscal
28 year. The revenue base is the occupational license tax revenue
29 generated by licenses issued for the most recently completed
30 local fiscal year or the amount of revenue that would have
31 been generated from the authorized increases under s.
5
CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2005 SB 1022
34-1013-05 See HB 373
1 205.033(1)(b), whichever is greater, but may not include any
2 revenues distributed to municipalities under s. 205.033(4).
3 (4) After the conditions specified in subsections (2)
4 and (3) are met, Municipalities and counties may, at any time
5 after adoption of the ordinance establishing the occupational
6 license tax every other year thereafter, increase, decrease,
7 or eliminate by ordinance the rates of local occupational
8 license taxes. Any increase shall not exceed by up to 5
9 percent. Any The increase, however, may not be enacted by less
10 than a majority plus one vote of the governing body.
11 Section 4. This act shall take effect upon becoming a
12 law.
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
6
CODING: Words stricken are deletions; words underlined are additions.