Florida Senate - 2009 SB 132
By Senator Bullard
39-00232-09 2009132__
1 A bill to be entitled
2 An act relating to motorsports entertainment
3 complexes; amending s. 212.20, F.S.; requiring that a
4 specified sum be distributed monthly to an applicant
5 for certification as a motorsports entertainment
6 complex, beginning a specified period after
7 certification; limiting the total distribution for
8 each fiscal year; providing that distributions
9 continue for a specified period; creating s.
10 288.11695, F.S.; defining terms; requiring that the
11 Office of Tourism, Trade, and Economic Development
12 screen applicants for state funding and certify
13 applicants as motorsports entertainment complexes;
14 requiring that the office adopt rules; requiring that
15 the office make certain findings before certifying an
16 applicant; requiring that the office make a final
17 determination regarding an application for
18 certification within a specified period; requiring
19 that the office certify an applicant if the applicant
20 meets all requirement for certification; providing for
21 notice of certification; requiring that the office
22 notify an applicant within a specified period if the
23 applicant does not meet certification requirements;
24 providing that certain complexes are not eligible for
25 additional certification; restricting the use of
26 distributed funds by certified complexes to certain
27 purposes; authorizing the Department of Revenue to
28 perform an audit for certain purposes; providing
29 guidelines for such audits; authorizing the department
30 to seek recovery of such funds under certain
31 circumstances; providing an effective date.
32
33 WHEREAS, the Legislature finds that Florida has long been
34 the preeminent site in the nation for motorsports racing, and
35 WHEREAS, motorsports racing has been a major tourist
36 attraction in Florida for nearly 100 years, and
37 WHEREAS, motorsports entertainment is the fastest-growing
38 sports industry in the United States, and
39 WHEREAS, as a result of the increased popularity of
40 motorsports racing, many new motorsports facilities are being
41 constructed in other states, and
42 WHEREAS, in order to continue to attract spectators to
43 sanctioned championship motorsports events, the owner or
44 operator of a motorsports entertainment complex must build
45 additional spectator seating and renovate existing facilities to
46 improve the amenities available to spectators, and
47 WHEREAS, attracting, retaining, and providing favorable
48 conditions for conducting sanctioned championship motorsports
49 events and the continued development of the motorsports
50 entertainment industry in Florida provides skilled-employment
51 opportunities for residents of this state, and
52 WHEREAS, continued development and improvement of Florida's
53 motorsports entertainment industry is vital to Florida's tourism
54 industry and to state revenues, and
55 WHEREAS, the motorsports entertainment industry is a major
56 contributor to Florida's economic development because of the
57 technology and service businesses that provide goods and
58 services to the industry, and
59 WHEREAS, the provisions of this act are necessary to
60 protect and strengthen Florida's motorsports entertainment
61 industry, and the purposes to be achieved by this act are public
62 purposes vital to the protection and improvement of Florida's
63 economy, NOW, THEREFORE,
64
65 Be It Enacted by the Legislature of the State of Florida:
66
67 Section 1. Paragraph (d) of subsection (6) of section
68 212.20, Florida Statutes, is amended to read:
69 212.20 Funds collected, disposition; additional powers of
70 department; operational expense; refund of taxes adjudicated
71 unconstitutionally collected.—
72 (6) Distribution of all proceeds under this chapter and s.
73 202.18(1)(b) and (2)(b) shall be as follows:
74 (d) The proceeds of all other taxes and fees imposed
75 pursuant to this chapter or remitted pursuant to s. 202.18(1)(b)
76 and (2)(b) shall be distributed as follows:
77 1. In any fiscal year, the greater of $500 million, minus
78 an amount equal to 4.6 percent of the proceeds of the taxes
79 collected pursuant to chapter 201, or 5 percent of all other
80 taxes and fees imposed pursuant to this chapter or remitted
81 pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in
82 monthly installments into the General Revenue Fund.
83 2. Two-tenths of one percent shall be transferred to the
84 Ecosystem Management and Restoration Trust Fund to be used for
85 water quality improvement and water restoration projects.
86 3. After the distribution under subparagraphs 1. and 2.,
87 8.814 percent of the amount remitted by a sales tax dealer
88 located within a participating county pursuant to s. 218.61
89 shall be transferred into the Local Government Half-cent Sales
90 Tax Clearing Trust Fund. Beginning July 1, 2003, the amount to
91 be transferred pursuant to this subparagraph to the Local
92 Government Half-cent Sales Tax Clearing Trust Fund shall be
93 reduced by 0.1 percent, and the department shall distribute this
94 amount to the Public Employees Relations Commission Trust Fund
95 less $5,000 each month, which shall be added to the amount
96 calculated in subparagraph 4. and distributed accordingly.
97 4. After the distribution under subparagraphs 1., 2., and
98 3., 0.095 percent shall be transferred to the Local Government
99 Half-cent Sales Tax Clearing Trust Fund and distributed pursuant
100 to s. 218.65.
101 5. After the distributions under subparagraphs 1., 2., 3.,
102 and 4., 2.0440 percent of the available proceeds pursuant to
103 this paragraph shall be transferred monthly to the Revenue
104 Sharing Trust Fund for Counties pursuant to s. 218.215.
105 6. After the distributions under subparagraphs 1., 2., 3.,
106 and 4., 1.3409 percent of the available proceeds pursuant to
107 this paragraph shall be transferred monthly to the Revenue
108 Sharing Trust Fund for Municipalities pursuant to s. 218.215. If
109 the total revenue to be distributed pursuant to this
110 subparagraph is at least as great as the amount due from the
111 Revenue Sharing Trust Fund for Municipalities and the former
112 Municipal Financial Assistance Trust Fund in state fiscal year
113 1999-2000, no municipality shall receive less than the amount
114 due from the Revenue Sharing Trust Fund for Municipalities and
115 the former Municipal Financial Assistance Trust Fund in state
116 fiscal year 1999-2000. If the total proceeds to be distributed
117 are less than the amount received in combination from the
118 Revenue Sharing Trust Fund for Municipalities and the former
119 Municipal Financial Assistance Trust Fund in state fiscal year
120 1999-2000, each municipality shall receive an amount
121 proportionate to the amount it was due in state fiscal year
122 1999-2000.
123 7. Of the remaining proceeds:
124 a. In each fiscal year, the sum of $29,915,500 shall be
125 divided into as many equal parts as there are counties in the
126 state, and one part shall be distributed to each county. The
127 distribution among the several counties shall begin each fiscal
128 year on or before January 5th and shall continue monthly for a
129 total of 4 months. If a local or special law required that any
130 moneys accruing to a county in fiscal year 1999-2000 under the
131 then-existing provisions of s. 550.135 be paid directly to the
132 district school board, special district, or a municipal
133 government, such payment shall continue until such time that the
134 local or special law is amended or repealed. The state covenants
135 with holders of bonds or other instruments of indebtedness
136 issued by local governments, special districts, or district
137 school boards prior to July 1, 2000, that it is not the intent
138 of this subparagraph to adversely affect the rights of those
139 holders or relieve local governments, special districts, or
140 district school boards of the duty to meet their obligations as
141 a result of previous pledges or assignments or trusts entered
142 into which obligated funds received from the distribution to
143 county governments under then-existing s. 550.135. This
144 distribution specifically is in lieu of funds distributed under
145 s. 550.135 prior to July 1, 2000.
146 b. The department shall distribute $166,667 monthly
147 pursuant to s. 288.1162 to each applicant that has been
148 certified as a “facility for a new professional sports
149 franchise” or a “facility for a retained professional sports
150 franchise” pursuant to s. 288.1162. Up to $41,667 shall be
151 distributed monthly by the department to each applicant that has
152 been certified as a “facility for a retained spring training
153 franchise” pursuant to s. 288.1162; however, not more than
154 $416,670 may be distributed monthly in the aggregate to all
155 certified facilities for a retained spring training franchise.
156 Distributions shall begin 60 days following such certification
157 and shall continue for not more than 30 years. Nothing contained
158 in this paragraph shall be construed to allow an applicant
159 certified pursuant to s. 288.1162 to receive more in
160 distributions than actually expended by the applicant for the
161 public purposes provided for in s. 288.1162(6).
162 c. Beginning 30 days after notice by the Office of Tourism,
163 Trade, and Economic Development to the Department of Revenue
164 that an applicant has been certified as the professional golf
165 hall of fame pursuant to s. 288.1168 and is open to the public,
166 $166,667 shall be distributed monthly, for up to 300 months, to
167 the applicant.
168 d. Beginning 30 days after notice by the Office of Tourism,
169 Trade, and Economic Development to the Department of Revenue
170 that the applicant has been certified as the International Game
171 Fish Association World Center facility pursuant to s. 288.1169,
172 and the facility is open to the public, $83,333 shall be
173 distributed monthly, for up to 168 months, to the applicant.
174 This distribution is subject to reduction pursuant to s.
175 288.1169. A lump sum payment of $999,996 shall be made, after
176 certification and before July 1, 2000.
177 e. Beginning 30 days after the date on which notice is
178 issued by the Office of Tourism, Trade, and Economic Development
179 to the Department of Revenue that an applicant has been
180 certified as a motorsports entertainment complex pursuant to s.
181 288.11695 and is open to the public, an amount not to exceed
182 $166,667 shall be distributed monthly to the applicant. However,
183 each state fiscal year's total distribution made pursuant to
184 this sub-subparagraph may not exceed the difference between the
185 state sales taxes collected and remitted pursuant to this
186 chapter by the certified applicant in the previous calendar year
187 and state sales taxes collected and remitted pursuant to this
188 chapter by the certified applicant in calendar year 2000.
189 Distributions shall continue for 30 years.
190 8. All other proceeds shall remain with the General Revenue
191 Fund.
192 Section 2. Section 288.11695, Florida Statutes, is created
193 to read:
194 288.11695 Motorsports entertainment complex; definitions;
195 certification; duties.—
196 (1) As used in this section, the term:
197 (a) “Applicant” means the owner of a motorsports
198 entertainment complex.
199 (b) “Motorsports entertainment complex” means a closed
200 course racing facility, with ancillary grounds and facilities,
201 that:
202 1. Has no fewer than 65,000 permanent seats for race
203 patrons;
204 2. Has no less than 7 scheduled days of motorsports events
205 each calendar year;
206 3. Has paid admissions of at least 125,000 annually;
207 4. Serves food at the facility during sanctioned
208 motorsports events; and
209 5. Engages in tourism promotion.
210 (c) “Motorsports event” means a motorsports race and its
211 ancillary activities which have been sanctioned by a sanctioning
212 body.
213 (d) “Office” means the Office of Tourism, Trade, and
214 Economic Development of the Executive Office of the Governor.
215 (e) “Owner” means a unit of local government that owns a
216 motorsports entertainment complex or owns the land on which the
217 motorsports entertainment complex is located.
218 (f) “Sanctioning body” means the American Motorcyclist
219 Association (AMA), Championship Auto Racing Teams (CART), Grand
220 American Road Racing Association (Grand-Am), Indy Racing League
221 (IRL), National Association for Stock Car Auto Racing (NASCAR),
222 National Hot Rod Association (NHRA), Professional Sports Car
223 Racing (PSCR), Sports Car Club of America (SCCA), United States
224 Auto Club (USAC), any successor organization, or any other
225 nationally recognized governing body of motorsports that
226 establishes an annual schedule of motorsports events and grants
227 rights to conduct such events, has established and administers
228 rules and regulations governing all participants involved in
229 such events and all persons conducting such events, and requires
230 certain liability assurances, including insurance.
231 (g) “Unit of local government” has the same meaning as
232 provided in s. 218.369.
233 (2) The office shall screen applicants for state funding
234 pursuant to s. 212.20 and certify applicants as motorsports
235 entertainment complexes. The office shall develop and adopt
236 rules for the receipt and processing of applications for funding
237 pursuant to s. 212.20. The office shall make a determination
238 regarding any application filed by an applicant no later than
239 120 days after the date on which the application is filed.
240 (3) Before certifying an applicant as a motorsports
241 entertainment complex, the office must find that:
242 (a) A unit of local government holds title to the land on
243 which the motorsports entertainment complex is located or holds
244 title to the motorsports entertainment complex.
245 (b) Seven scheduled days of motorsports events were held at
246 the motorsports entertainment complex in the most recently
247 completed calendar year or 7 scheduled days of motorsports
248 events are scheduled to be held at the motorsports entertainment
249 complex in the calendar year that begins after the submission of
250 the application. The applicant shall submit certifications from
251 the appropriate officials of the relevant sanctioning bodies
252 that such sanctioned motorsports events were or will be held at
253 the motorsports entertainment complex.
254 (c) The applicant is able to provide a certification by a
255 nationally recognized, independent certified public accounting
256 firm that the motorsports entertainment complex will attract
257 paid attendance of at least 125,000 annually, or in the most
258 recently completed calendar year has attracted paid attendance
259 of at least 125,000.
260 (d) The applicant is able to provide a certification by a
261 nationally recognized, independent certified public accounting
262 firm that the amount of the revenues generated by the taxes
263 imposed under chapter 212 with respect to the use and operation
264 of the motorsports entertainment complex will equal or exceed $1
265 million annually.
266 (e) The municipality in which the motorsports entertainment
267 complex is located, or the county in which the motorsports
268 entertainment complex is located if such complex is located in
269 an unincorporated area, has certified by resolution after a
270 public hearing that certification of the application serves a
271 public purpose.
272 (f) The motorsports entertainment complex is located in a
273 county as defined in s. 125.011(1).
274 (4) Upon determining that an applicant meets the
275 requirements of subsection (3), the office shall certify the
276 applicant as a motorsports entertainment complex and shall
277 notify the applicant and the executive director of the
278 Department of Revenue of such certification by means of an
279 official letter granting certification. If the applicant fails
280 to meet the certification requirements of subsection (3), the
281 office shall notify the applicant no later than 10 days after
282 the date on which such determination is made.
283 (5) A motorsports entertainment complex that has been
284 previously certified under this section and has received funding
285 under such certification is not eligible for any additional
286 certification.
287 (6) An applicant certified as a motorsports entertainment
288 complex may use funds provided pursuant to s. 212.20 only for
289 the following public purposes:
290 (a) Paying for the construction, reconstruction, expansion,
291 or renovation of a motorsports entertainment complex.
292 (b) Paying debt service reserve funds, arbitrage rebate
293 obligations, or other amounts payable with respect to bonds
294 issued for the construction, reconstruction, expansion, or
295 renovation of the motorsports entertainment complex or for the
296 reimbursement of such costs or the refinancing of bonds issued
297 for such purposes.
298 (c) Paying for construction, reconstruction, expansion, or
299 renovation of transportation or other infrastructure
300 improvements related to, necessary for, or appurtenant to the
301 motorsports entertainment complex, including, but not limited
302 to, paying debt service reserve funds, arbitrage rebate
303 obligations, or other amounts payable with respect to bonds
304 issued for the construction, reconstruction, expansion, or
305 renovation of such transportation or other infrastructure
306 improvements, and for the reimbursement of such costs or the
307 refinancing of bonds issued for such purposes.
308 (d) Paying for programs of advertising and promotion of or
309 related to the motorsports entertainment complex or the
310 municipality in which the motorsports entertainment complex is
311 located, or the county in which the motorsports entertainment
312 complex is located if such complex is located in an
313 unincorporated area, if such programs of advertising and
314 promotion are designed to increase paid attendance at the
315 motorsports entertainment complex or increase tourism in or
316 promote the economic development of the community in which the
317 motorsports entertainment complex is located.
318 (7) The Department of Revenue may perform an audit, as
319 provided in s. 213.34, to verify that the distributions
320 described in this section have been expended as required in this
321 section. Chapter 213 applies to such audits. If the department
322 determines that the distributions pursuant to certification
323 under this section have not been expended as required by this
324 section, the department may pursue recovery of such funds
325 pursuant to the laws and rules governing the assessment of
326 taxes.
327 Section 3. This act shall take effect July 1, 2009.