Florida Senate - 2007                      COMMITTEE AMENDMENT
    Bill No. SB 1646
                        Barcode 202718
                            CHAMBER ACTION
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11  The Committee on Health Policy (Dockery) recommended the
12  following amendment:
13  
14         Senate Amendment (with title amendment) 
15         Delete everything after the enacting clause
16  
17  and insert:  
18         Section 1.  Subsection (8) of section 220.02, Florida
19  Statutes, is amended to read:
20         220.02  Legislative intent.--
21         (8)  It is the intent of the Legislature that credits
22  against either the corporate income tax or the franchise tax
23  be applied in the following order: those enumerated in s.
24  631.828, those enumerated in s. 220.191, those enumerated in
25  s. 220.181, those enumerated in s. 220.183, those enumerated
26  in s. 220.182, those enumerated in s. 220.1895, those
27  enumerated in s. 221.02, those enumerated in s. 220.184, those
28  enumerated in s. 220.186, those enumerated in s. 220.1845,
29  those enumerated in s. 220.19, those enumerated in s. 220.185,
30  those enumerated in s. 220.187, those enumerated in s.
31  220.192, and those enumerated in s. 220.193, and those
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Florida Senate - 2007 COMMITTEE AMENDMENT Bill No. SB 1646 Barcode 202718 1 enumerated in s. 220.1875. 2 Section 2. Paragraph (a) of subsection (1) of section 3 220.13, Florida Statutes, is amended to read: 4 220.13 "Adjusted federal income" defined.-- 5 (1) The term "adjusted federal income" means an amount 6 equal to the taxpayer's taxable income as defined in 7 subsection (2), or such taxable income of more than one 8 taxpayer as provided in s. 220.131, for the taxable year, 9 adjusted as follows: 10 (a) Additions.--There shall be added to such taxable 11 income: 12 1. The amount of any tax upon or measured by income, 13 excluding taxes based on gross receipts or revenues, paid or 14 accrued as a liability to the District of Columbia or any 15 state of the United States which is deductible from gross 16 income in the computation of taxable income for the taxable 17 year. 18 2. The amount of interest which is excluded from 19 taxable income under s. 103(a) of the Internal Revenue Code or 20 any other federal law, less the associated expenses disallowed 21 in the computation of taxable income under s. 265 of the 22 Internal Revenue Code or any other law, excluding 60 percent 23 of any amounts included in alternative minimum taxable income, 24 as defined in s. 55(b)(2) of the Internal Revenue Code, if the 25 taxpayer pays tax under s. 220.11(3). 26 3. In the case of a regulated investment company or 27 real estate investment trust, an amount equal to the excess of 28 the net long-term capital gain for the taxable year over the 29 amount of the capital gain dividends attributable to the 30 taxable year. 31 4. That portion of the wages or salaries paid or 2 7:40 AM 03/27/07 s1646d-hp15-t01
Florida Senate - 2007 COMMITTEE AMENDMENT Bill No. SB 1646 Barcode 202718 1 incurred for the taxable year which is equal to the amount of 2 the credit allowable for the taxable year under s. 220.181. 3 This subparagraph shall expire on the date specified in s. 4 290.016 for the expiration of the Florida Enterprise Zone Act. 5 5. That portion of the ad valorem school taxes paid or 6 incurred for the taxable year which is equal to the amount of 7 the credit allowable for the taxable year under s. 220.182. 8 This subparagraph shall expire on the date specified in s. 9 290.016 for the expiration of the Florida Enterprise Zone Act. 10 6. The amount of emergency excise tax paid or accrued 11 as a liability to this state under chapter 221 which tax is 12 deductible from gross income in the computation of taxable 13 income for the taxable year. 14 7. That portion of assessments to fund a guaranty 15 association incurred for the taxable year which is equal to 16 the amount of the credit allowable for the taxable year. 17 8. In the case of a nonprofit corporation which holds 18 a pari-mutuel permit and which is exempt from federal income 19 tax as a farmers' cooperative, an amount equal to the excess 20 of the gross income attributable to the pari-mutuel operations 21 over the attributable expenses for the taxable year. 22 9. The amount taken as a credit for the taxable year 23 under s. 220.1895. 24 10. Up to nine percent of the eligible basis of any 25 designated project which is equal to the credit allowable for 26 the taxable year under s. 220.185. 27 11. The amount taken as a credit for the taxable year 28 under s. 220.187. 29 12. The amount taken as a credit for the taxable year 30 under s. 220.192. 31 13. The amount taken as a credit for the taxable year 3 7:40 AM 03/27/07 s1646d-hp15-t01
Florida Senate - 2007 COMMITTEE AMENDMENT Bill No. SB 1646 Barcode 202718 1 under s. 220.193. 2 14. The amount taken as a credit for the taxable year 3 under s. 220.185. 4 Section 3. Section 220.1875, Florida Statutes, is 5 created to read: 6 220.1875 Credits for contributions to health care 7 clinics for medical care for indigent persons.-- 8 (1) PURPOSE.--The purpose of this section is to permit 9 corporations a credit against corporate income taxes by making 10 contributions to a fund that distributes grants to eligible 11 health care clinics so that the clinics can provide medical 12 care for indigent persons and to provide fiscal relief to 13 eligible health care clinics that provide a disproportionate 14 share of medical care to indigent persons. 15 (2) DEFINITIONS.--For purposes of this section, the 16 term: 17 (a) "Board" means the board of directors of the fund. 18 (b) "Charity care" means medical care provided to a 19 person who has insufficient resources or assets to pay for 20 medical care without using resources that are required to meet 21 the person's basic need for food, shelter, and clothing. A 22 person is not eligible for charity care if the person's family 23 income, for the 12 months preceding the determination of his 24 or her financial status by the health care clinic, exceeds 200 25 percent of the federal poverty guidelines. 26 (c) "Department" means the Department of Revenue. 27 (d) "Eligible health care clinic" means a charitable 28 organization that is: 29 1. A federally qualified health center, as defined in 30 42 U.S.C. s. 1395x(aa)(4), or a federally qualified health 31 center "look-alike"; 4 7:40 AM 03/27/07 s1646d-hp15-t01
Florida Senate - 2007 COMMITTEE AMENDMENT Bill No. SB 1646 Barcode 202718 1 2. An entity that is exempt from the federal income 2 tax under s. 501(c)(3) of the Internal Revenue Code and that: 3 a. Provides health care services in a community clinic 4 that is not owned or affiliated with a hospital licensed under 5 chapter 395; 6 b. In the most recently completed calendar year, 7 provided charity care in an aggregate amount equal to 50 8 percent of its total revenues derived from providing health 9 care services or that received at least 50 percent of its 10 patient visits from charity care patients; 11 c. Maintains a patient financial responsibility policy 12 under which the patient's charity care status is confirmed; 13 and 14 d. Provides information establishing that the 15 applicant maintains a quality assurance and improvement 16 process that includes an annual review establishing that 17 evidence-based medical practices are used; or 18 3. A county health department located in a county 19 having a total population of fewer than 20,000 persons. 20 (e) "Fiscal year" means the state fiscal year. 21 (f) "Fund" means the Health Care Clinic Indigent Care 22 Trust Fund created in s. 220.1876. 23 (3) CONTRIBUTIONS TO THE FUND; TAX CREDIT.-- 24 (a) A corporate taxpayer may make contributions to the 25 fund at any time by submitting the contribution to the 26 department for deposit into the fund, thereby becoming 27 eligible for credits against the corporation's state corporate 28 income tax liabilities as provided in paragraph (b). The 29 department shall account for the contributions by each 30 corporate taxpayer and may require the filing of a certificate 31 of contribution that the corporate taxpayer must submit with 5 7:40 AM 03/27/07 s1646d-hp15-t01
Florida Senate - 2007 COMMITTEE AMENDMENT Bill No. SB 1646 Barcode 202718 1 its corporate income tax return when claiming credit for 2 contributions. 3 (b) A credit of 100 percent of an eligible 4 contribution is allowed against any tax due for a taxable year 5 under this chapter. However, the credit may not exceed 75 6 percent of the tax due under this chapter for the taxable 7 year, after the application of any other allowable credits by 8 the taxpayer. 9 (c) If the credit granted under this section is not 10 fully used in a single year because of insufficient tax 11 liability on the part of the corporation, the unused amount 12 may be carried forward for a period not to exceed 3 years. 13 (d) A taxpayer who files a consolidated return under 14 s. 220.131(1) as a member of an affiliated group may be 15 allowed the credit on a consolidated return basis; however, 16 the total credit taken by the affiliated group is subject to 17 the limitation set forth in paragraph (b). 18 (4) FUND AGGREGATE LIMIT.--The fund is subject to an 19 annual aggregate limit of $50 million. Contributions by 20 corporate taxpayers to the fund shall be accepted in the order 21 in which received until the annual limit is reached. 22 (5) DISBURSEMENTS.-- 23 (a) An eligible health care clinic may apply to the 24 board for approval of disbursement of moneys from the fund for 25 operations, personnel, and capital improvements. Such 26 applications must be accepted by the board semiannually on 27 June 1 and December 1 of each calendar year. 28 (b) The board shall approve qualified applications and 29 request the department to make disbursements to eligible 30 health care clinics to the extent funds are available. The 31 board shall determine disbursements on the basis of need, the 6 7:40 AM 03/27/07 s1646d-hp15-t01
Florida Senate - 2007 COMMITTEE AMENDMENT Bill No. SB 1646 Barcode 202718 1 date of the disbursement request, and the applicant's ability 2 to obtain alternative funding. The board shall approve 3 disbursements to applicants who provide a system of care for 4 the uninsured or underinsured in the community served by the 5 applicant. The board shall ensure that funds are distributed 6 on a geographically equitable basis throughout the state. The 7 board shall meet bimonthly basis for this purpose or may meet 8 via teleconference if meeting in person is impracticable. If 9 the board approves a disbursement to a qualified applicant, 10 the board shall transmit a disbursement request to the 11 department, which shall distribute the requested amount from 12 the fund to the applicant approved for disbursement by the 13 board. A single eligible health care clinic may not receive 14 more than $2.5 million in total assistance from the fund in a 15 given fiscal year. Applications received at the end of the 16 fiscal year shall be carried over and determined in the next 17 fiscal year. 18 (c) An eligible health care clinic that is owned or 19 operated in any manner in affiliation with a corporate 20 taxpayer eligible for a tax credit as provided in this section 21 is not eligible to receive any disbursements from the fund. 22 (6) BOARD MEMBERS AND APPOINTMENT; POWERS AND 23 DUTIES.-- 24 (a) The board shall consist of nine members. Three 25 members shall be appointed by the Governor, three members 26 shall be appointed by the President of the Senate, and three 27 members shall be appointed by the Speaker of the House of 28 Representatives. Each member must have relevant experience in 29 the delivery of health care to indigent persons. Board members 30 shall elect a chair at the first organizational meeting and 31 shall elect a new chair annually. A board member may be 7 7:40 AM 03/27/07 s1646d-hp15-t01
Florida Senate - 2007 COMMITTEE AMENDMENT Bill No. SB 1646 Barcode 202718 1 reelected as chair at the discretion of the board. 2 (b) The term of a board member shall be 2 years, but 3 the member may serve a second consecutive term if reappointed. 4 For initial appointees, three members shall be appointed for 5 1-year terms, three members shall be appointed for 2-year 6 terms, and three members shall be appointed for 3-year terms. 7 Each of the appointing officials shall designate members for 8 1-year, 2-year, or 3-year terms. Members appointed to an 9 initial 3-year term are eligible for a second 2-year term if 10 reappointed. 11 (c) Board members shall serve without compensation, 12 but are entitled to receive reimbursement for per diem and 13 travel expenses in accordance with s. 112.061, while in the 14 performance of their duties. 15 (d) The board may hire an executive director and other 16 personnel, whose salaries shall be paid from the fund. 17 (e) A board member may not have an ownership interest 18 in a health care clinic or be a member of the board of 19 directors or an officer of a health care clinic. 20 (f) The board shall receive and evaluate applications 21 from eligible health care clinics for the disbursement of 22 moneys from the fund as provided by this section. 23 (g) By December 31, 2008, the board shall submit a 24 report to the Governor and the Legislature describing the 25 implementation of this section. Thereafter, the board shall 26 provide to the Governor and Legislature an annual report 27 summarizing the following: 28 1. The total annual contributions to the fund. 29 2. The annual disbursement of funds to eligible health 30 care clinics, identifying each clinic and the amount disbursed 31 to the clinic. 8 7:40 AM 03/27/07 s1646d-hp15-t01
Florida Senate - 2007 COMMITTEE AMENDMENT Bill No. SB 1646 Barcode 202718 1 (6) RULEMAKING.--The department shall adopt rules 2 pursuant to ss. 120.536(1) and 120.54 which are necessary to 3 administer this section, including, but not limited to, rules 4 establishing application forms and procedures for 5 contributions by corporate taxpayers to the fund, granting the 6 tax credit, and approving applications for disbursements from 7 the fund. 8 Section 4. This act shall take effect July 1, 2007, 9 and apply to tax years beginning on or after January 1, 2008, 10 only if SB 1654 or similar legislation is adopted in the same 11 legislative session or an extension thereof and becomes law. 12 13 14 ================ T I T L E A M E N D M E N T =============== 15 And the title is amended as follows: 16 Delete everything before the enacting clause 17 18 and insert: 19 A bill to be entitled 20 An act relating to the corporate income tax; 21 amending s. 220.02, F.S.; revising the list of 22 application of corporate income tax credits; 23 amending s. 220.13, F.S.; including an tax 24 credit with the definition of the term 25 "adjusted federal income"; creating s. 26 220.1875, F.S.; providing a purpose; defining 27 terms; providing for a corporate income tax 28 credit for contributions for medical care for 29 indigent persons; providing for contributions 30 to the Health Care Clinic Indigent Care Trust 31 Fund for certain purposes; providing 9 7:40 AM 03/27/07 s1646d-hp15-t01
Florida Senate - 2007 COMMITTEE AMENDMENT Bill No. SB 1646 Barcode 202718 1 requirements, procedures, and limitations; 2 providing an annual aggregate limit for the 3 fund; providing for disbursements from the fund 4 to certain health care clinics; providing 5 requirements and limitations; providing for 6 ineligibility under certain circumstances; 7 providing for administration by a board of 8 directors; providing for appointing board 9 members; providing for terms and expenses; 10 providing powers and duties of the board; 11 requiring the board to report annually to the 12 Governor and Legislature; providing an 13 application; requiring the Department of 14 Revenue to adopt rules; providing a contingent 15 effective date. 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 10 7:40 AM 03/27/07 s1646d-hp15-t01