HB 995

1	A bill to be entitled
2	An act relating to revenue-neutral tax reform; replacing
3	revenue from the required local effort school property tax
4	with revenue from a state sales tax increase; providing
5	legislative intent and findings; amending ss. 212.03,
6	212.031, 212.04, 212.05, 212.0501, 212.0506, 212.06, and
7	212.08, F.S.; providing for a 2.5 cent increase in the tax
8	on sales, use, and other transactions; amending s. 212.12,
9	F.S.; revising brackets for calculating sales tax amounts;
10	amending s. 212.20, F.S.; providing for reservation and
11	allocation of revenues from the additional 2.5 cent
12	increase in the tax rate; amending ss. 11.45, 202.18,
13	218.245, 218.65, 288.11621, and 288.1169, F.S.; conforming
14	cross-references; amending s. 1011.62, F.S.; conforming
15	provisions relating to calculating the required local
16	effort for school funding; amending s. 1011.71, F.S.;
17	deleting a requirement that a district school board levy
18	the minimum millage rate necessary to provide the
19	district's required local effort; amending s. 218.67,
20	F.S.; conforming provisions relating to funding for
21	fiscally constrained counties; amending s. 1002.32, F.S.;
22	conforming provisions relating to funding for
23	developmental research schools; amending s. 1011.02, F.S.;
24	conforming provisions relating to the adoption of a
25	district school board budget; amending s. 200.065, F.S.;
26	revising the notice form relating to a district school
27	board's proposed tax increase for required local effort;
28	providing effective dates.
29
30	WHEREAS, job creation is the number-one goal of Florida
31	residents, and
32	WHEREAS, in addition to tourism and agriculture, growth is
33	one of the three pillars of Florida's economy, and
34	WHEREAS, although Florida does not levy a state income tax,
35	it is widely known that property taxes are often a barrier to
36	growth and business expansion of existing Florida businesses and
37	expansion and relocation to Florida for businesses currently
38	located outside of Florida, and
39	WHEREAS, decreases in fixed-cost asset taxes, including,
40	but not limited to, property taxes, that must be paid whether or
41	not a profit is made and revenue-neutral replacement of the
42	fixed-cost asset taxes with variable cost transaction and
43	consumption taxes will benefit businesses that are considering
44	expansion in and relocation to Florida, and
45	WHEREAS, decreases in property taxes will allow Florida
46	homeowners and renters to choose where to direct the money they
47	save through reduced property taxes and rent, and
48	WHEREAS, approximately 25 percent of sales taxes are paid
49	by Florida visitors, and
50	WHEREAS, the required local effort school property tax that
51	is required by the state to be levied by the local governments
52	to fund public education is approximately $8 billion and is
53	often 30 percent or more of the overall property tax levied by
54	most Florida local governments, and
55	WHEREAS, there is no statutory provision that requires
56	public education to be funded by property taxes rather than by
57	other methods of taxation, NOW, THEREFORE,
58
59	Be It Enacted by the Legislature of the State of Florida:
60
61	Section 1.  Legislative intent and findings.-
62	(1)  The Legislature intends to stimulate growth, business
63	expansion, and job creation through revenue-neutral tax reform.
64	Therefore, the Legislature finds that:
65	(a)  The required local effort school property tax shall be
66	replaced in a revenue-neutral manner by a 2.5 cent sales tax
67	increase.
68	(b)  The required local effort school property tax shall be
69	eliminated from the local property tax levy beginning in
70	November 2012, and a 2.5 cent sales tax increase shall become
71	effective beginning January 1, 2012, in order to build up funds
72	for replacing the required local effort dollar for dollar.
73	(c)  The formulas currently used for determining required
74	local effort shall be maintained, but future monetary increases
75	or decreases required by such formulas shall be generated on a
76	dollar-for-dollar basis from a 2.5 cent sales tax increase
77	rather than from the adjustment of property tax millage.
78	(d)  It is financially prudent to allow the buildup of a
79	revenue reserve from the increase in the sales tax to shield
80	against any potential economic downturn and to ensure that
81	sufficient funds are available for replacing the currently
82	required local effort school property tax. However, if the
83	reserve exceeds 50 percent of the estimated annual amount that
84	would otherwise have to come from the required local effort, the
85	Legislature intends to distribute the excess reserve to local
86	school boards on a dollar-for-dollar basis to reduce local
87	option school property taxes.
88	(2)  The Legislature intends for the specific sales tax
89	increase provided for in this act to be a replacement for the
90	required local effort school property tax and for such tax to be
91	known and referred to as the "Specified Education Sales Tax."
92	Section 2.  Subsections (1), (3), and (6) of section
93	212.03, Florida Statutes, are amended to read:
94	212.03  Transient rentals tax; rate, procedure,
95	enforcement, exemptions.-
96	(1)(a)  It is hereby declared to be the legislative intent
97	that every person is exercising a taxable privilege who engages
98	in the business of renting, leasing, letting, or granting a
99	license to use any living quarters or sleeping or housekeeping
100	accommodations in, from, or a part of, or in connection with any
101	hotel, apartment house, roominghouse, tourist or trailer camp,
102	mobile home park, recreational vehicle park, condominium, or
103	timeshare resort. However, any person who rents, leases, lets,
104	or grants a license to others to use, occupy, or enter upon any
105	living quarters or sleeping or housekeeping accommodations in
106	any apartment house, roominghouse, tourist camp, trailer camp,
107	mobile home park, recreational vehicle park, condominium, or
108	timeshare resort and who exclusively enters into a bona fide
109	written agreement for continuous residence for longer than 6
110	months in duration at such property is not exercising a taxable
111	privilege. For the exercise of such taxable privilege, a tax is
112	hereby levied in an amount equal to 8.5 6 percent of and on the
113	total rental charged for such living quarters or sleeping or
114	housekeeping accommodations by the person charging or collecting
115	the rental. Such tax shall apply to hotels, apartment houses,
116	roominghouses, tourist or trailer camps, mobile home parks,
117	recreational vehicle parks, condominiums, or timeshare resorts,
118	whether or not these facilities have dining rooms, cafes, or
119	other places where meals or lunches are sold or served to
120	guests.
121	(b)1.  Tax shall be due on the consideration paid for
122	occupancy in the county pursuant to a regulated short-term
123	product, as defined in s. 721.05, or occupancy in the county
124	pursuant to a product that would be deemed a regulated short-
125	term product if the agreement to purchase the short-term right
126	was executed in this state. Such tax shall be collected on the
127	last day of occupancy within the county unless such
128	consideration is applied to the purchase of a timeshare estate.
129	The occupancy of an accommodation of a timeshare resort pursuant
130	to a timeshare plan, a multisite timeshare plan, or an exchange
131	transaction in an exchange program, as defined in s. 721.05, by
132	the owner of a timeshare interest or such owner's guest, which
133	guest is not paying monetary consideration to the owner or to a
134	third party for the benefit of the owner, is not a privilege
135	subject to taxation under this section. A membership or
136	transaction fee paid by a timeshare owner that does not provide
137	the timeshare owner with the right to occupy any specific
138	timeshare unit but merely provides the timeshare owner with the
139	opportunity to exchange a timeshare interest through an exchange
140	program is a service charge and not subject to taxation under
141	this section.
142	2.  Consideration paid for the purchase of a timeshare
143	license in a timeshare plan, as defined in s. 721.05, is rent
144	subject to taxation under this section.
145	(3)  When rentals are received by way of property, goods,
146	wares, merchandise, services, or other things of value, the tax
147	shall be at the rate of 8.5 6 percent of the value of the
148	property, goods, wares, merchandise, services, or other things
149	of value.
150	(6)  It is the legislative intent that every person is
151	engaging in a taxable privilege who leases or rents parking or
152	storage spaces for motor vehicles in parking lots or garages,
153	who leases or rents docking or storage spaces for boats in boat
154	docks or marinas, or who leases or rents tie-down or storage
155	space for aircraft at airports. For the exercise of this
156	privilege, a tax is hereby levied at the rate of 8.5 6 percent
157	on the total rental charged.
158	Section 3.  Paragraphs (c) and (d) of subsection (1) of
159	section 212.031, Florida Statutes, are amended to read:
160	212.031  Tax on rental or license fee for use of real
161	property.-
162	(1)
163	(c)  For the exercise of such privilege, a tax is levied in
164	an amount equal to 8.5 6 percent of and on the total rent or
165	license fee charged for such real property by the person
166	charging or collecting the rental or license fee. The total rent
167	or license fee charged for such real property shall include
168	payments for the granting of a privilege to use or occupy real
169	property for any purpose and shall include base rent, percentage
170	rents, or similar charges. Such charges shall be included in the
171	total rent or license fee subject to tax under this section
172	whether or not they can be attributed to the ability of the
173	lessor's or licensor's property as used or operated to attract
174	customers. Payments for intrinsically valuable personal property
175	such as franchises, trademarks, service marks, logos, or patents
176	are not subject to tax under this section. In the case of a
177	contractual arrangement that provides for both payments taxable
178	as total rent or license fee and payments not subject to tax,
179	the tax shall be based on a reasonable allocation of such
180	payments and shall not apply to that portion which is for the
181	nontaxable payments.
182	(d)  When the rental or license fee of any such real
183	property is paid by way of property, goods, wares, merchandise,
184	services, or other thing of value, the tax shall be at the rate
185	of 8.5 6 percent of the value of the property, goods, wares,
186	merchandise, services, or other thing of value.
187	Section 4.  Paragraph (b) of subsection (1) and paragraph
188	(a) of subsection (2) of section 212.04, Florida Statutes, are
189	amended to read:
190	212.04  Admissions tax; rate, procedure, enforcement.-
191	(1)
192	(b)  For the exercise of such privilege, a tax is levied at
193	the rate of 8.5 6 percent of sales price, or the actual value
194	received from such admissions, which 8.5 6 percent shall be
195	added to and collected with all such admissions from the
196	purchaser thereof, and such tax shall be paid for the exercise
197	of the privilege as defined in the preceding paragraph. Each
198	ticket must show on its face the actual sales price of the
199	admission, or each dealer selling the admission must prominently
200	display at the box office or other place where the admission
201	charge is made a notice disclosing the price of the admission,
202	and the tax shall be computed and collected on the basis of the
203	actual price of the admission charged by the dealer. The sale
204	price or actual value of admission shall, for the purpose of
205	this chapter, be that price remaining after deduction of federal
206	taxes and state or locally imposed or authorized seat
207	surcharges, taxes, or fees, if any, imposed upon such admission.
208	The sale price or actual value does not include separately
209	stated ticket service charges that are imposed by a facility
210	ticket office or a ticketing service and added to a separately
211	stated, established ticket price. The rate of tax on each
212	admission shall be according to the brackets established by s.
213	212.12(9).
214	(2)(a)1.  No tax shall be levied on admissions to athletic
215	or other events sponsored by elementary schools, junior high
216	schools, middle schools, high schools, community colleges,
217	public or private colleges and universities, deaf and blind
218	schools, facilities of the youth services programs of the
219	Department of Children and Family Services, and state
220	correctional institutions when only student, faculty, or inmate
221	talent is used. However, this exemption shall not apply to
222	admission to athletic events sponsored by a state university,
223	and the proceeds of the tax collected on such admissions shall
224	be retained and used by each institution to support women's
225	athletics as provided in s. 1006.71(2)(c).
226	2.a.  No tax shall be levied on dues, membership fees, and
227	admission charges imposed by not-for-profit sponsoring
228	organizations. To receive this exemption, the sponsoring
229	organization must qualify as a not-for-profit entity under the
230	provisions of s. 501(c)(3) of the Internal Revenue Code of 1954,
231	as amended.
232	b.  No tax shall be levied on admission charges to an event
233	sponsored by a governmental entity, sports authority, or sports
234	commission when held in a convention hall, exhibition hall,
235	auditorium, stadium, theater, arena, civic center, performing
236	arts center, or publicly owned recreational facility and when
237	100 percent of the risk of success or failure lies with the
238	sponsor of the event and 100 percent of the funds at risk for
239	the event belong to the sponsor, and student or faculty talent
240	is not exclusively used. As used in this sub-subparagraph, the
241	terms "sports authority" and "sports commission" mean a
242	nonprofit organization that is exempt from federal income tax
243	under s. 501(c)(3) of the Internal Revenue Code and that
244	contracts with a county or municipal government for the purpose
245	of promoting and attracting sports-tourism events to the
246	community with which it contracts.
247	3.  No tax shall be levied on an admission paid by a
248	student, or on the student's behalf, to any required place of
249	sport or recreation if the student's participation in the sport
250	or recreational activity is required as a part of a program or
251	activity sponsored by, and under the jurisdiction of, the
252	student's educational institution, provided his or her
253	attendance is as a participant and not as a spectator.
254	4.  No tax shall be levied on admissions to the National
255	Football League championship game or Pro Bowl; on admissions to
256	any semifinal game or championship game of a national collegiate
257	tournament; on admissions to a Major League Baseball, National
258	Basketball Association, or National Hockey League all-star game;
259	on admissions to the Major League Baseball Home Run Derby held
260	before the Major League Baseball All-Star Game; or on admissions
261	to the National Basketball Association Rookie Challenge,
262	Celebrity Game, 3-Point Shooting Contest, or Slam Dunk
263	Challenge.
264	5.  A participation fee or sponsorship fee imposed by a
265	governmental entity as described in s. 212.08(6) for an athletic
266	or recreational program is exempt when the governmental entity
267	by itself, or in conjunction with an organization exempt under
268	s. 501(c)(3) of the Internal Revenue Code of 1954, as amended,
269	sponsors, administers, plans, supervises, directs, and controls
270	the athletic or recreational program.
271	6.  Also exempt from the tax imposed by this section to the
272	extent provided in this subparagraph are admissions to live
273	theater, live opera, or live ballet productions in this state
274	which are sponsored by an organization that has received a
275	determination from the Internal Revenue Service that the
276	organization is exempt from federal income tax under s.
277	501(c)(3) of the Internal Revenue Code of 1954, as amended, if
278	the organization actively participates in planning and
279	conducting the event, is responsible for the safety and success
280	of the event, is organized for the purpose of sponsoring live
281	theater, live opera, or live ballet productions in this state,
282	has more than 10,000 subscribing members and has among the
283	stated purposes in its charter the promotion of arts education
284	in the communities which it serves, and will receive at least 20
285	percent of the net profits, if any, of the events which the
286	organization sponsors and will bear the risk of at least 20
287	percent of the losses, if any, from the events which it sponsors
288	if the organization employs other persons as agents to provide
289	services in connection with a sponsored event. Prior to March 1
290	of each year, such organization may apply to the department for
291	a certificate of exemption for admissions to such events
292	sponsored in this state by the organization during the
293	immediately following state fiscal year. The application shall
294	state the total dollar amount of admissions receipts collected
295	by the organization or its agents from such events in this state
296	sponsored by the organization or its agents in the year
297	immediately preceding the year in which the organization applies
298	for the exemption. Such organization shall receive the exemption
299	only to the extent of $1.5 million multiplied by the ratio that
300	such receipts bear to the total of such receipts of all
301	organizations applying for the exemption in such year; however,
302	in no event shall such exemption granted to any organization
303	exceed 8.5 6 percent of such admissions receipts collected by
304	the organization or its agents in the year immediately preceding
305	the year in which the organization applies for the exemption.
306	Each organization receiving the exemption shall report each
307	month to the department the total admissions receipts collected
308	from such events sponsored by the organization during the
309	preceding month and shall remit to the department an amount
310	equal to 8.5 6 percent of such receipts reduced by any amount
311	remaining under the exemption. Tickets for such events sold by
312	such organizations shall not reflect the tax otherwise imposed
313	under this section.
314	7.  Also exempt from the tax imposed by this section are
315	entry fees for participation in freshwater fishing tournaments.
316	8.  Also exempt from the tax imposed by this section are
317	participation or entry fees charged to participants in a game,
318	race, or other sport or recreational event if spectators are
319	charged a taxable admission to such event.
320	9.  No tax shall be levied on admissions to any postseason
321	collegiate football game sanctioned by the National Collegiate
322	Athletic Association.
323	Section 5.  Subsection (1) of section 212.05, Florida
324	Statutes, is amended to read:
325	212.05  Sales, storage, use tax.-It is hereby declared to
326	be the legislative intent that every person is exercising a
327	taxable privilege who engages in the business of selling
328	tangible personal property at retail in this state, including
329	the business of making mail order sales, or who rents or
330	furnishes any of the things or services taxable under this
331	chapter, or who stores for use or consumption in this state any
332	item or article of tangible personal property as defined herein
333	and who leases or rents such property within the state.
334	(1)  For the exercise of such privilege, a tax is levied on
335	each taxable transaction or incident, which tax is due and
336	payable as follows:
337	(a)1.a.  At the rate of 8.5 6 percent of the sales price of
338	each item or article of tangible personal property when sold at
339	retail in this state, computed on each taxable sale for the
340	purpose of remitting the amount of tax due the state, and
341	including each and every retail sale.
342	b.  Each occasional or isolated sale of an aircraft, boat,
343	mobile home, or motor vehicle of a class or type which is
344	required to be registered, licensed, titled, or documented in
345	this state or by the United States Government shall be subject
346	to tax at the rate provided in this paragraph. The department
347	shall by rule adopt any nationally recognized publication for
348	valuation of used motor vehicles as the reference price list for
349	any used motor vehicle which is required to be licensed pursuant
350	to s. 320.08(1), (2), (3)(a), (b), (c), or (e), or (9). If any
351	party to an occasional or isolated sale of such a vehicle
352	reports to the tax collector a sales price which is less than 80
353	percent of the average loan price for the specified model and
354	year of such vehicle as listed in the most recent reference
355	price list, the tax levied under this paragraph shall be
356	computed by the department on such average loan price unless the
357	parties to the sale have provided to the tax collector an
358	affidavit signed by each party, or other substantial proof,
359	stating the actual sales price. Any party to such sale who
360	reports a sales price less than the actual sales price is guilty
361	of a misdemeanor of the first degree, punishable as provided in
362	s. 775.082 or s. 775.083. The department shall collect or
363	attempt to collect from such party any delinquent sales taxes.
364	In addition, such party shall pay any tax due and any penalty
365	and interest assessed plus a penalty equal to twice the amount
366	of the additional tax owed. Notwithstanding any other provision
367	of law, the Department of Revenue may waive or compromise any
368	penalty imposed pursuant to this subparagraph.
369	2.  This paragraph does not apply to the sale of a boat or
370	aircraft by or through a registered dealer under this chapter to
371	a purchaser who, at the time of taking delivery, is a
372	nonresident of this state, does not make his or her permanent
373	place of abode in this state, and is not engaged in carrying on
374	in this state any employment, trade, business, or profession in
375	which the boat or aircraft will be used in this state, or is a
376	corporation none of the officers or directors of which is a
377	resident of, or makes his or her permanent place of abode in,
378	this state, or is a noncorporate entity that has no individual
379	vested with authority to participate in the management,
380	direction, or control of the entity's affairs who is a resident
381	of, or makes his or her permanent abode in, this state. For
382	purposes of this exemption, either a registered dealer acting on
383	his or her own behalf as seller, a registered dealer acting as
384	broker on behalf of a seller, or a registered dealer acting as
385	broker on behalf of the purchaser may be deemed to be the
386	selling dealer. This exemption shall not be allowed unless:
387	a.  The purchaser removes a qualifying boat, as described
388	in sub-subparagraph f., from the state within 90 days after the
389	date of purchase or extension, or the purchaser removes a
390	nonqualifying boat or an aircraft from this state within 10 days
391	after the date of purchase or, when the boat or aircraft is
392	repaired or altered, within 20 days after completion of the
393	repairs or alterations;
394	b.  The purchaser, within 30 days from the date of
395	departure, shall provide the department with written proof that
396	the purchaser licensed, registered, titled, or documented the
397	boat or aircraft outside the state. If such written proof is
398	unavailable, within 30 days the purchaser shall provide proof
399	that the purchaser applied for such license, title,
400	registration, or documentation. The purchaser shall forward to
401	the department proof of title, license, registration, or
402	documentation upon receipt;
403	c.  The purchaser, within 10 days of removing the boat or
404	aircraft from Florida, shall furnish the department with proof
405	of removal in the form of receipts for fuel, dockage, slippage,
406	tie-down, or hangaring from outside of Florida. The information
407	so provided must clearly and specifically identify the boat or
408	aircraft;
409	d.  The selling dealer, within 5 days of the date of sale,
410	shall provide to the department a copy of the sales invoice,
411	closing statement, bills of sale, and the original affidavit
412	signed by the purchaser attesting that he or she has read the
413	provisions of this section;
414	e.  The seller makes a copy of the affidavit a part of his
415	or her record for as long as required by s. 213.35; and
416	f.  Unless the nonresident purchaser of a boat of 5 net
417	tons of admeasurement or larger intends to remove the boat from
418	this state within 10 days after the date of purchase or when the
419	boat is repaired or altered, within 20 days after completion of
420	the repairs or alterations, the nonresident purchaser shall
421	apply to the selling dealer for a decal which authorizes 90 days
422	after the date of purchase for removal of the boat. The
423	nonresident purchaser of a qualifying boat may apply to the
424	selling dealer within 60 days after the date of purchase for an
425	extension decal that authorizes the boat to remain in this state
426	for an additional 90 days, but not more than a total of 180
427	days, before the nonresident purchaser is required to pay the
428	tax imposed by this chapter. The department is authorized to
429	issue decals in advance to dealers. The number of decals issued
430	in advance to a dealer shall be consistent with the volume of
431	the dealer's past sales of boats which qualify under this sub-
432	subparagraph. The selling dealer or his or her agent shall mark
433	and affix the decals to qualifying boats in the manner
434	prescribed by the department, prior to delivery of the boat.
435	(I)  The department is hereby authorized to charge dealers
436	a fee sufficient to recover the costs of decals issued, except
437	the extension decal shall cost $425.
438	(II)  The proceeds from the sale of decals will be
439	deposited into the administrative trust fund.
440	(III)  Decals shall display information to identify the
441	boat as a qualifying boat under this sub-subparagraph,
442	including, but not limited to, the decal's date of expiration.
443	(IV)  The department is authorized to require dealers who
444	purchase decals to file reports with the department and may
445	prescribe all necessary records by rule. All such records are
446	subject to inspection by the department.
447	(V)  Any dealer or his or her agent who issues a decal
448	falsely, fails to affix a decal, mismarks the expiration date of
449	a decal, or fails to properly account for decals will be
450	considered prima facie to have committed a fraudulent act to
451	evade the tax and will be liable for payment of the tax plus a
452	mandatory penalty of 200 percent of the tax, and shall be liable
453	for fine and punishment as provided by law for a conviction of a
454	misdemeanor of the first degree, as provided in s. 775.082 or s.
455	775.083.
456	(VI)  Any nonresident purchaser of a boat who removes a
457	decal prior to permanently removing the boat from the state, or
458	defaces, changes, modifies, or alters a decal in a manner
459	affecting its expiration date prior to its expiration, or who
460	causes or allows the same to be done by another, will be
461	considered prima facie to have committed a fraudulent act to
462	evade the tax and will be liable for payment of the tax plus a
463	mandatory penalty of 200 percent of the tax, and shall be liable
464	for fine and punishment as provided by law for a conviction of a
465	misdemeanor of the first degree, as provided in s. 775.082 or s.
466	775.083.
467	(VII)  The department is authorized to adopt rules
468	necessary to administer and enforce this subparagraph and to
469	publish the necessary forms and instructions.
470	(VIII)  The department is hereby authorized to adopt
471	emergency rules pursuant to s. 120.54(4) to administer and
472	enforce the provisions of this subparagraph.
473
474	If the purchaser fails to remove the qualifying boat from this
475	state within the maximum 180 days after purchase or a
476	nonqualifying boat or an aircraft from this state within 10 days
477	after purchase or, when the boat or aircraft is repaired or
478	altered, within 20 days after completion of such repairs or
479	alterations, or permits the boat or aircraft to return to this
480	state within 6 months from the date of departure, except as
481	provided in s. 212.08(7)(ggg), or if the purchaser fails to
482	furnish the department with any of the documentation required by
483	this subparagraph within the prescribed time period, the
484	purchaser shall be liable for use tax on the cost price of the
485	boat or aircraft and, in addition thereto, payment of a penalty
486	to the Department of Revenue equal to the tax payable. This
487	penalty shall be in lieu of the penalty imposed by s. 212.12(2).
488	The maximum 180-day period following the sale of a qualifying
489	boat tax-exempt to a nonresident may not be tolled for any
490	reason.
491	(b)  At the rate of 8.5 6 percent of the cost price of each
492	item or article of tangible personal property when the same is
493	not sold but is used, consumed, distributed, or stored for use
494	or consumption in this state; however, for tangible property
495	originally purchased exempt from tax for use exclusively for
496	lease and which is converted to the owner's own use, tax may be
497	paid on the fair market value of the property at the time of
498	conversion. If the fair market value of the property cannot be
499	determined, use tax at the time of conversion shall be based on
500	the owner's acquisition cost. Under no circumstances may the
501	aggregate amount of sales tax from leasing the property and use
502	tax due at the time of conversion be less than the total sales
503	tax that would have been due on the original acquisition cost
504	paid by the owner.
505	(c)  At the rate of 8.5 6 percent of the gross proceeds
506	derived from the lease or rental of tangible personal property,
507	as defined herein; however, the following special provisions
508	apply to the lease or rental of motor vehicles:
509	1.  When a motor vehicle is leased or rented for a period
510	of less than 12 months:
511	a.  If the motor vehicle is rented in Florida, the entire
512	amount of such rental is taxable, even if the vehicle is dropped
513	off in another state.
514	b.  If the motor vehicle is rented in another state and
515	dropped off in Florida, the rental is exempt from Florida tax.
516	2.  Except as provided in subparagraph 3., for the lease or
517	rental of a motor vehicle for a period of not less than 12
518	months, sales tax is due on the lease or rental payments if the
519	vehicle is registered in this state; provided, however, that no
520	tax shall be due if the taxpayer documents use of the motor
521	vehicle outside this state and tax is being paid on the lease or
522	rental payments in another state.
523	3.  The tax imposed by this chapter does not apply to the
524	lease or rental of a commercial motor vehicle as defined in s.
525	316.003(66)(a) to one lessee or rentee for a period of not less
526	than 12 months when tax was paid on the purchase price of such
527	vehicle by the lessor. To the extent tax was paid with respect
528	to the purchase of such vehicle in another state, territory of
529	the United States, or the District of Columbia, the Florida tax
530	payable shall be reduced in accordance with the provisions of s.
531	212.06(7). This subparagraph shall only be available when the
532	lease or rental of such property is an established business or
533	part of an established business or the same is incidental or
534	germane to such business.
535	(d)  At the rate of 8.5 6 percent of the lease or rental
536	price paid by a lessee or rentee, or contracted or agreed to be
537	paid by a lessee or rentee, to the owner of the tangible
538	personal property.
539	(e)1.  At the rate of 8.5 6 percent on charges for:
540	a.  Prepaid calling arrangements. The tax on charges for
541	prepaid calling arrangements shall be collected at the time of
542	sale and remitted by the selling dealer.
543	(I)  "Prepaid calling arrangement" means the separately
544	stated retail sale by advance payment of communications services
545	that consist exclusively of telephone calls originated by using
546	an access number, authorization code, or other means that may be
547	manually, electronically, or otherwise entered and that are sold
548	in predetermined units or dollars whose number declines with use
549	in a known amount.
550	(II)  If the sale or recharge of the prepaid calling
551	arrangement does not take place at the dealer's place of
552	business, it shall be deemed to take place at the customer's
553	shipping address or, if no item is shipped, at the customer's
554	address or the location associated with the customer's mobile
555	telephone number.
556	(III)  The sale or recharge of a prepaid calling
557	arrangement shall be treated as a sale of tangible personal
558	property for purposes of this chapter, whether or not a tangible
559	item evidencing such arrangement is furnished to the purchaser,
560	and such sale within this state subjects the selling dealer to
561	the jurisdiction of this state for purposes of this subsection.
562	b.  The installation of telecommunication and telegraphic
563	equipment.
564	c.  Electrical power or energy, except that the tax rate
565	for charges for electrical power or energy is 9.5 7 percent.
566	2.  The provisions of s. 212.17(3), regarding credit for
567	tax paid on charges subsequently found to be worthless, shall be
568	equally applicable to any tax paid under the provisions of this
569	section on charges for prepaid calling arrangements,
570	telecommunication or telegraph services, or electric power
571	subsequently found to be uncollectible. The word "charges" in
572	this paragraph does not include any excise or similar tax levied
573	by the Federal Government, any political subdivision of the
574	state, or any municipality upon the purchase, sale, or recharge
575	of prepaid calling arrangements or upon the purchase or sale of
576	telecommunication, television system program, or telegraph
577	service or electric power, which tax is collected by the seller
578	from the purchaser.
579	(f)  At the rate of 8.5 6 percent on the sale, rental, use,
580	consumption, or storage for use in this state of machines and
581	equipment, and parts and accessories therefor, used in
582	manufacturing, processing, compounding, producing, mining, or
583	quarrying personal property for sale or to be used in furnishing
584	communications, transportation, or public utility services.
585	(g)1.  At the rate of 8.5 6 percent on the retail price of
586	newspapers and magazines sold or used in Florida.
587	2.  Notwithstanding other provisions of this chapter,
588	inserts of printed materials which are distributed with a
589	newspaper or magazine are a component part of the newspaper or
590	magazine, and neither the sale nor use of such inserts is
591	subject to tax when:
592	a.  Printed by a newspaper or magazine publisher or
593	commercial printer and distributed as a component part of a
594	newspaper or magazine, which means that the items after being
595	printed are delivered directly to a newspaper or magazine
596	publisher by the printer for inclusion in editions of the
597	distributed newspaper or magazine;
598	b.  Such publications are labeled as part of the designated
599	newspaper or magazine publication into which they are to be
600	inserted; and
601	c.  The purchaser of the insert presents a resale
602	certificate to the vendor stating that the inserts are to be
603	distributed as a component part of a newspaper or magazine.
604	(h)1.  A tax is imposed at the rate of 6.5 4 percent on the
605	charges for the use of coin-operated amusement machines. The tax
606	shall be calculated by dividing the gross receipts from such
607	charges for the applicable reporting period by a divisor,
608	determined as provided in this subparagraph, to compute gross
609	taxable sales, and then subtracting gross taxable sales from
610	gross receipts to arrive at the amount of tax due. For counties
611	that do not impose a discretionary sales surtax, the divisor is
612	equal to 1.065 1.04; for counties that impose a 0.5-percent 0.5
613	percent discretionary sales surtax, the divisor is equal to 1.07
614	1.045; for counties that impose a 1-percent 1 percent
615	discretionary sales surtax, the divisor is equal to 1.075 1.050;
616	and for counties that impose a 2-percent 2 percent sales surtax,
617	the divisor is equal to 1.085 1.060. If a county imposes a
618	discretionary sales surtax that is not listed in this
619	subparagraph, the department shall make the applicable divisor
620	available in an electronic format or otherwise. Additional
621	divisors shall bear the same mathematical relationship to the
622	next higher and next lower divisors as the new surtax rate bears
623	to the next higher and next lower surtax rates for which
624	divisors have been established. When a machine is activated by a
625	slug, token, coupon, or any similar device which has been
626	purchased, the tax is on the price paid by the user of the
627	device for such device.
628	2.  As used in this paragraph, the term "operator" means
629	any person who possesses a coin-operated amusement machine for
630	the purpose of generating sales through that machine and who is
631	responsible for removing the receipts from the machine.
632	a.  If the owner of the machine is also the operator of it,
633	he or she shall be liable for payment of the tax without any
634	deduction for rent or a license fee paid to a location owner for
635	the use of any real property on which the machine is located.
636	b.  If the owner or lessee of the machine is also its
637	operator, he or she shall be liable for payment of the tax on
638	the purchase or lease of the machine, as well as the tax on
639	sales generated through the machine.
640	c.  If the proprietor of the business where the machine is
641	located does not own the machine, he or she shall be deemed to
642	be the lessee and operator of the machine and is responsible for
643	the payment of the tax on sales, unless such responsibility is
644	otherwise provided for in a written agreement between him or her
645	and the machine owner.
646	3.a.  An operator of a coin-operated amusement machine may
647	not operate or cause to be operated in this state any such
648	machine until the operator has registered with the department
649	and has conspicuously displayed an identifying certificate
650	issued by the department. The identifying certificate shall be
651	issued by the department upon application from the operator. The
652	identifying certificate shall include a unique number, and the
653	certificate shall be permanently marked with the operator's
654	name, the operator's sales tax number, and the maximum number of
655	machines to be operated under the certificate. An identifying
656	certificate shall not be transferred from one operator to
657	another. The identifying certificate must be conspicuously
658	displayed on the premises where the coin-operated amusement
659	machines are being operated.
660	b.  The operator of the machine must obtain an identifying
661	certificate before the machine is first operated in the state
662	and by July 1 of each year thereafter. The annual fee for each
663	certificate shall be based on the number of machines identified
664	on the application times $30 and is due and payable upon
665	application for the identifying device. The application shall
666	contain the operator's name, sales tax number, business address
667	where the machines are being operated, and the number of
668	machines in operation at that place of business by the operator.
669	No operator may operate more machines than are listed on the
670	certificate. A new certificate is required if more machines are
671	being operated at that location than are listed on the
672	certificate. The fee for the new certificate shall be based on
673	the number of additional machines identified on the application
674	form times $30.
675	c.  A penalty of $250 per machine is imposed on the
676	operator for failing to properly obtain and display the required
677	identifying certificate. A penalty of $250 is imposed on the
678	lessee of any machine placed in a place of business without a
679	proper current identifying certificate. Such penalties shall
680	apply in addition to all other applicable taxes, interest, and
681	penalties.
682	d.  Operators of coin-operated amusement machines must
683	obtain a separate sales and use tax certificate of registration
684	for each county in which such machines are located. One sales
685	and use tax certificate of registration is sufficient for all of
686	the operator's machines within a single county.
687	4.  The provisions of this paragraph do not apply to coin-
688	operated amusement machines owned and operated by churches or
689	synagogues.
690	5.  In addition to any other penalties imposed by this
691	chapter, a person who knowingly and willfully violates any
692	provision of this paragraph commits a misdemeanor of the second
693	degree, punishable as provided in s. 775.082 or s. 775.083.
694	6.  The department may adopt rules necessary to administer
695	the provisions of this paragraph.
696	(i)1.  At the rate of 8.5 6 percent on charges for all:
697	a.  Detective, burglar protection, and other protection
698	services (NAICS National Numbers 561611, 561612, 561613, and
699	561621). Any law enforcement officer, as defined in s. 943.10,
700	who is performing approved duties as determined by his or her
701	local law enforcement agency in his or her capacity as a law
702	enforcement officer, and who is subject to the direct and
703	immediate command of his or her law enforcement agency, and in
704	the law enforcement officer's uniform as authorized by his or
705	her law enforcement agency, is performing law enforcement and
706	public safety services and is not performing detective, burglar
707	protection, or other protective services, if the law enforcement
708	officer is performing his or her approved duties in a
709	geographical area in which the law enforcement officer has
710	arrest jurisdiction. Such law enforcement and public safety
711	services are not subject to tax irrespective of whether the duty
712	is characterized as "extra duty," "off-duty," or "secondary
713	employment," and irrespective of whether the officer is paid
714	directly or through the officer's agency by an outside source.
715	The term "law enforcement officer" includes full-time or part-
716	time law enforcement officers, and any auxiliary law enforcement
717	officer, when such auxiliary law enforcement officer is working
718	under the direct supervision of a full-time or part-time law
719	enforcement officer.
720	b.  Nonresidential cleaning, excluding cleaning of the
721	interiors of transportation equipment, and nonresidential
722	building pest control services (NAICS National Numbers 561710
723	and 561720).
724	2.  As used in this paragraph, "NAICS" means those
725	classifications contained in the North American Industry
726	Classification System, as published in 2007 by the Office of
727	Management and Budget, Executive Office of the President.
728	3.  Charges for detective, burglar protection, and other
729	protection security services performed in this state but used
730	outside this state are exempt from taxation. Charges for
731	detective, burglar protection, and other protection security
732	services performed outside this state and used in this state are
733	subject to tax.
734	4.  If a transaction involves both the sale or use of a
735	service taxable under this paragraph and the sale or use of a
736	service or any other item not taxable under this chapter, the
737	consideration paid must be separately identified and stated with
738	respect to the taxable and exempt portions of the transaction or
739	the entire transaction shall be presumed taxable. The burden
740	shall be on the seller of the service or the purchaser of the
741	service, whichever applicable, to overcome this presumption by
742	providing documentary evidence as to which portion of the
743	transaction is exempt from tax. The department is authorized to
744	adjust the amount of consideration identified as the taxable and
745	exempt portions of the transaction; however, a determination
746	that the taxable and exempt portions are inaccurately stated and
747	that the adjustment is applicable must be supported by
748	substantial competent evidence.
749	5.  Each seller of services subject to sales tax pursuant
750	to this paragraph shall maintain a monthly log showing each
751	transaction for which sales tax was not collected because the
752	services meet the requirements of subparagraph 3. for out-of-
753	state use. The log must identify the purchaser's name, location
754	and mailing address, and federal employer identification number,
755	if a business, or the social security number, if an individual,
756	the service sold, the price of the service, the date of sale,
757	the reason for the exemption, and the sales invoice number. The
758	monthly log shall be maintained pursuant to the same
759	requirements and subject to the same penalties imposed for the
760	keeping of similar records pursuant to this chapter.
761	(j)1.  Notwithstanding any other provision of this chapter,
762	there is hereby levied a tax on the sale, use, consumption, or
763	storage for use in this state of any coin or currency, whether
764	in circulation or not, when such coin or currency:
765	a.  Is not legal tender;
766	b.  If legal tender, is sold, exchanged, or traded at a
767	rate in excess of its face value; or
768	c.  Is sold, exchanged, or traded at a rate based on its
769	precious metal content.
770	2.  Such tax shall be at a rate of 8.5 6 percent of the
771	price at which the coin or currency is sold, exchanged, or
772	traded, except that, with respect to a coin or currency which is
773	legal tender of the United States and which is sold, exchanged,
774	or traded, such tax shall not be levied.
775	3.  There are exempt from this tax exchanges of coins or
776	currency which are in general circulation in, and legal tender
777	of, one nation for coins or currency which are in general
778	circulation in, and legal tender of, another nation when
779	exchanged solely for use as legal tender and at an exchange rate
780	based on the relative value of each as a medium of exchange.
781	4.  With respect to any transaction that involves the sale
782	of coins or currency taxable under this paragraph in which the
783	taxable amount represented by the sale of such coins or currency
784	exceeds $500, the entire amount represented by the sale of such
785	coins or currency is exempt from the tax imposed under this
786	paragraph. The dealer must maintain proper documentation, as
787	prescribed by rule of the department, to identify that portion
788	of a transaction which involves the sale of coins or currency
789	and is exempt under this subparagraph.
790	(k)  At the rate of 8.5 6 percent of the sales price of
791	each gallon of diesel fuel not taxed under chapter 206 purchased
792	for use in a vessel.
793	(l)  Florists located in this state are liable for sales
794	tax on sales to retail customers regardless of where or by whom
795	the items sold are to be delivered. Florists located in this
796	state are not liable for sales tax on payments received from
797	other florists for items delivered to customers in this state.
798	(m)  Operators of game concessions or other concessionaires
799	who customarily award tangible personal property as prizes may,
800	in lieu of paying tax on the cost price of such property, pay
801	tax on 25 percent of the gross receipts from such concession
802	activity.
803	Section 6.  Subsection (2) of section 212.0501, Florida
804	Statutes, is amended to read:
805	212.0501  Tax on diesel fuel for business purposes;
806	purchase, storage, and use.-
807	(2)  Each person who purchases diesel fuel for consumption,
808	use, or storage by a trade or business shall register as a
809	dealer and remit a use tax, at the rate of 8.5 6 percent, on the
810	total cost price of diesel fuel consumed.
811	Section 7.  Subsection (2) of section 212.0506, Florida
812	Statutes, is amended to read:
813	212.0506  Taxation of service warranties.-
814	(2)  For exercising such privilege, a tax is levied on each
815	taxable transaction or incident, which tax is due and payable at
816	the rate of 8.5 6 percent on the total consideration received or
817	to be received by any person for issuing and delivering any
818	service warranty.
819	Section 8.  Paragraph (a) of subsection (1) of section
820	212.06, Florida Statutes, is amended to read:
821	212.06  Sales, storage, use tax; collectible from dealers;
822	"dealer" defined; dealers to collect from purchasers;
823	legislative intent as to scope of tax.-
824	(1)(a)  The aforesaid tax at the rate of 8.5 6 percent of
825	the retail sales price as of the moment of sale, 8.5 6 percent
826	of the cost price as of the moment of purchase, or 8.5 6 percent
827	of the cost price as of the moment of commingling with the
828	general mass of property in this state, as the case may be,
829	shall be collectible from all dealers as herein defined on the
830	sale at retail, the use, the consumption, the distribution, and
831	the storage for use or consumption in this state of tangible
832	personal property or services taxable under this chapter. The
833	full amount of the tax on a credit sale, installment sale, or
834	sale made on any kind of deferred payment plan shall be due at
835	the moment of the transaction in the same manner as on a cash
836	sale.
837	Section 9.  Paragraph (c) of subsection (11) of section
838	212.08, Florida Statutes, is amended to read:
839	212.08  Sales, rental, use, consumption, distribution, and
840	storage tax; specified exemptions.-The sale at retail, the
841	rental, the use, the consumption, the distribution, and the
842	storage to be used or consumed in this state of the following
843	are hereby specifically exempt from the tax imposed by this
844	chapter.
845	(11)  PARTIAL EXEMPTION; FLYABLE AIRCRAFT.-
846	(c)  The maximum tax collectible under this subsection may
847	not exceed 8.5 6 percent of the sales price of such aircraft. No
848	Florida tax may be imposed on the sale of such aircraft if the
849	state in which the aircraft will be domiciled does not allow
850	Florida sales or use tax to be credited against its sales or use
851	tax. Furthermore, no tax may be imposed on the sale of such
852	aircraft if the state in which the aircraft will be domiciled
853	has enacted a sales and use tax exemption for flyable aircraft
854	or if the aircraft will be domiciled outside the United States.
855	Section 10.  Subsections (9), (10), and (11) of section
856	212.12, Florida Statutes, are amended to read:
857	212.12  Dealer's credit for collecting tax; penalties for
858	noncompliance; powers of Department of Revenue in dealing with
859	delinquents; brackets applicable to taxable transactions;
860	records required.-
861	(9)  Taxes imposed by this chapter upon the privilege of
862	the use, consumption, storage for consumption, or sale of
863	tangible personal property, admissions, license fees, rentals,
864	communication services, and upon the sale or use of services as
865	herein taxed shall be collected upon the basis of an addition of
866	the tax imposed by this chapter to the total price of such
867	admissions, license fees, rentals, communication or other
868	services, or sale price of such article or articles that are
869	purchased, sold, or leased at any one time by or to a customer
870	or buyer; the dealer, or person charged herein, is required to
871	pay a privilege tax in the amount of the tax imposed by this
872	chapter on the total of his or her gross sales of tangible
873	personal property, admissions, license fees, rentals, and
874	communication services or to collect a tax upon the sale or use
875	of services, and such person or dealer shall add the tax imposed
876	by this chapter to the price, license fee, rental, or
877	admissions, and communication or other services and collect the
878	total sum from the purchaser, admittee, licensee, lessee, or
879	consumer. The department shall make available in an electronic
880	format or otherwise the tax amounts and the following brackets
881	applicable to all transactions taxable at the rate of 8.5 6
882	percent:
883	(a)  On single sales of less than 10 cents, no tax shall be
884	added.
885	(b)  On single sales in amounts from 10 cents to 11 16
886	cents, both inclusive, 1 cent shall be added for taxes.
887	(c)  On sales in amounts from 12 17 cents to 23 33 cents,
888	both inclusive, 2 cents shall be added for taxes.
889	(d)  On sales in amounts from 24 34 cents to 35 50 cents,
890	both inclusive, 3 cents shall be added for taxes.
891	(e)  On sales in amounts from 36 51 cents to 47 66 cents,
892	both inclusive, 4 cents shall be added for taxes.
893	(f)  On sales in amounts from 48 67 cents to 59 83 cents,
894	both inclusive, 5 cents shall be added for taxes.
895	(g)  On sales in amounts from 60 84 cents to 71 cents $1,
896	both inclusive, 6 cents shall be added for taxes.
897	(h)  On sales in amounts from 72 cents to 83 cents, both
898	inclusive, 7 cents shall be added for taxes.
899	(i)  On sales in amounts from 84 cents to $1, both
900	inclusive, 8 cents shall be added for taxes.
901	(j)(h)  On sales in amounts of more than $1, 8.5 6 percent
902	shall be charged upon each dollar of price, plus the appropriate
903	bracket charge upon any fractional part of a dollar.
904	(10)  In counties which have adopted a discretionary sales
905	surtax at the rate of 1 percent, the department shall make
906	available in an electronic format or otherwise the tax amounts
907	and the following brackets applicable to all taxable
908	transactions that would otherwise have been transactions taxable
909	at the rate of 8.5 6 percent:
910	(a)  On single sales of less than 10 cents, no tax shall be
911	added.
912	(b)  On single sales in amounts from 10 cents to 11 14
913	cents, both inclusive, 1 cent shall be added for taxes.
914	(c)  On sales in amounts from 12 15 cents to 22 28 cents,
915	both inclusive, 2 cents shall be added for taxes.
916	(d)  On sales in amounts from 23 29 cents to 33 42 cents,
917	both inclusive, 3 cents shall be added for taxes.
918	(e)  On sales in amounts from 34 43 cents to 44 57 cents,
919	both inclusive, 4 cents shall be added for taxes.
920	(f)  On sales in amounts from 45 58 cents to 55 71 cents,
921	both inclusive, 5 cents shall be added for taxes.
922	(g)  On sales in amounts from 56 72 cents to 66 85 cents,
923	both inclusive, 6 cents shall be added for taxes.
924	(h)  On sales in amounts from 67 86 cents to 77 cents $1,
925	both inclusive, 7 cents shall be added for taxes.
926	(i)  On sales in amounts from 78 cents to 88 cents, both
927	inclusive, 8 cents shall be added for taxes.
928	(j)  On sales in amounts from 89 cents to $1, both
929	inclusive, 9 cents shall be added for taxes.
930	(k)(i)  On sales in amounts from $1 up to, and including,
931	the first $5,000 in price, 9.5 7 percent shall be charged upon
932	each dollar of price, plus the appropriate bracket charge upon
933	any fractional part of a dollar.
934	(l)(j)  On sales in amounts of more than $5,000 in price,
935	9.5 7 percent shall be added upon the first $5,000 in price, and
936	8.5 6 percent shall be added upon each dollar of price in excess
937	of the first $5,000 in price, plus the bracket charges upon any
938	fractional part of a dollar as provided for in subsection (9).
939	(11)  The department shall make available in an electronic
940	format or otherwise the tax amounts and brackets applicable to
941	all taxable transactions that occur in counties that have a
942	surtax at a rate other than 1 percent which transactions would
943	otherwise have been transactions taxable at the rate of 8.5 6
944	percent. Likewise, the department shall make available in an
945	electronic format or otherwise the tax amounts and brackets
946	applicable to transactions taxable at 9.5 7 percent pursuant to
947	s. 212.05(1)(e) and on transactions which would otherwise have
948	been so taxable in counties which have adopted a discretionary
949	sales surtax.
950	Section 11.  Subsection (6) of section 212.20, Florida
951	Statutes, is amended to read:
952	212.20  Funds collected, disposition; additional powers of
953	department; operational expense; refund of taxes adjudicated
954	unconstitutionally collected.-
955	(6)  Distribution of all proceeds under this chapter and s.
956	202.18(1)(b) and (2)(b) shall be as follows:
957	(a)  Proceeds from the convention development taxes
958	authorized under s. 212.0305 shall be reallocated to the
959	Convention Development Tax Clearing Trust Fund.
960	(b)  Proceeds from discretionary sales surtaxes imposed
961	pursuant to ss. 212.054 and 212.055 shall be reallocated to the
962	Discretionary Sales Surtax Clearing Trust Fund.
963	(c)  Proceeds from the fees imposed under ss.
964	212.05(1)(h)3. and 212.18(3) shall remain with the General
965	Revenue Fund.
966	(d)  Twenty-nine percent of the proceeds of all other taxes
967	and fees imposed pursuant to this chapter shall be reserved in
968	the General Revenue Fund exclusively as a replacement for funds
969	previously generated by the required local effort for all school
970	districts and shall be allocated for school district funding in
971	accordance with the formula provided in s. 1011.62(4).
972	(e)(d)  The proceeds of all other taxes and fees imposed
973	pursuant to this chapter or remitted pursuant to s. 202.18(1)(b)
974	and (2)(b) shall be distributed as follows:
975	1.  In any fiscal year, the greater of $500 million, minus
976	an amount equal to 4.6 percent of the proceeds of the taxes
977	collected pursuant to chapter 201, or 5.2 percent of all other
978	taxes and fees imposed pursuant to this chapter or remitted
979	pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in
980	monthly installments into the General Revenue Fund.
981	2.  After the distribution under subparagraph 1., 8.814
982	percent of the amount remitted by a sales tax dealer located
983	within a participating county pursuant to s. 218.61 shall be
984	transferred into the Local Government Half-cent Sales Tax
985	Clearing Trust Fund. Beginning July 1, 2003, the amount to be
986	transferred shall be reduced by 0.1 percent, and the department
987	shall distribute this amount to the Public Employees Relations
988	Commission Trust Fund less $5,000 each month, which shall be
989	added to the amount calculated in subparagraph 3. and
990	distributed accordingly.
991	3.  After the distribution under subparagraphs 1. and 2.,
992	0.095 percent shall be transferred to the Local Government Half-
993	cent Sales Tax Clearing Trust Fund and distributed pursuant to
994	s. 218.65.
995	4.  After the distributions under subparagraphs 1., 2., and
996	3., 2.0440 percent of the available proceeds shall be
997	transferred monthly to the Revenue Sharing Trust Fund for
998	Counties pursuant to s. 218.215.
999	5.  After the distributions under subparagraphs 1., 2., and
1000	3., 1.3409 percent of the available proceeds shall be
1001	transferred monthly to the Revenue Sharing Trust Fund for
1002	Municipalities pursuant to s. 218.215. If the total revenue to
1003	be distributed pursuant to this subparagraph is at least as
1004	great as the amount due from the Revenue Sharing Trust Fund for
1005	Municipalities and the former Municipal Financial Assistance
1006	Trust Fund in state fiscal year 1999-2000, no municipality shall
1007	receive less than the amount due from the Revenue Sharing Trust
1008	Fund for Municipalities and the former Municipal Financial
1009	Assistance Trust Fund in state fiscal year 1999-2000. If the
1010	total proceeds to be distributed are less than the amount
1011	received in combination from the Revenue Sharing Trust Fund for
1012	Municipalities and the former Municipal Financial Assistance
1013	Trust Fund in state fiscal year 1999-2000, each municipality
1014	shall receive an amount proportionate to the amount it was due
1015	in state fiscal year 1999-2000.
1016	6.  Of the remaining proceeds:
1017	a.  In each fiscal year, the sum of $29,915,500 shall be
1018	divided into as many equal parts as there are counties in the
1019	state, and one part shall be distributed to each county. The
1020	distribution among the several counties must begin each fiscal
1021	year on or before January 5th and continue monthly for a total
1022	of 4 months. If a local or special law required that any moneys
1023	accruing to a county in fiscal year 1999-2000 under the then-
1024	existing provisions of s. 550.135 be paid directly to the
1025	district school board, special district, or a municipal
1026	government, such payment must continue until the local or
1027	special law is amended or repealed. The state covenants with
1028	holders of bonds or other instruments of indebtedness issued by
1029	local governments, special districts, or district school boards
1030	before July 1, 2000, that it is not the intent of this
1031	subparagraph to adversely affect the rights of those holders or
1032	relieve local governments, special districts, or district school
1033	boards of the duty to meet their obligations as a result of
1034	previous pledges or assignments or trusts entered into which
1035	obligated funds received from the distribution to county
1036	governments under then-existing s. 550.135. This distribution
1037	specifically is in lieu of funds distributed under s. 550.135
1038	before July 1, 2000.
1039	b.  The department shall distribute $166,667 monthly
1040	pursuant to s. 288.1162 to each applicant certified as a
1041	facility for a new or retained professional sports franchise
1042	pursuant to s. 288.1162. Up to $41,667 shall be distributed
1043	monthly by the department to each certified applicant as defined
1044	in s. 288.11621 for a facility for a spring training franchise.
1045	However, not more than $416,670 may be distributed monthly in
1046	the aggregate to all certified applicants for facilities for
1047	spring training franchises. Distributions begin 60 days after
1048	such certification and continue for not more than 30 years,
1049	except as otherwise provided in s. 288.11621. A certified
1050	applicant identified in this sub-subparagraph may not receive
1051	more in distributions than expended by the applicant for the
1052	public purposes provided for in s. 288.1162(5) or s.
1053	288.11621(3).
1054	c.  Beginning 30 days after notice by the Office of
1055	Tourism, Trade, and Economic Development to the Department of
1056	Revenue that an applicant has been certified as the professional
1057	golf hall of fame pursuant to s. 288.1168 and is open to the
1058	public, $166,667 shall be distributed monthly, for up to 300
1059	months, to the applicant.
1060	d.  Beginning 30 days after notice by the Office of
1061	Tourism, Trade, and Economic Development to the Department of
1062	Revenue that the applicant has been certified as the
1063	International Game Fish Association World Center facility
1064	pursuant to s. 288.1169, and the facility is open to the public,
1065	$83,333 shall be distributed monthly, for up to 168 months, to
1066	the applicant. This distribution is subject to reduction
1067	pursuant to s. 288.1169. A lump sum payment of $999,996 shall be
1068	made, after certification and before July 1, 2000.
1069	7.  All other proceeds must remain in the General Revenue
1070	Fund.
1071	Section 12.  Paragraph (a) of subsection (5) of section
1072	11.45, Florida Statutes, is amended to read:
1073	11.45  Definitions; duties; authorities; reports; rules.-
1074	(5)  PETITION FOR AN AUDIT BY THE AUDITOR GENERAL.-
1075	(a)  The Legislative Auditing Committee shall direct the
1076	Auditor General to make an audit of any municipality whenever
1077	petitioned to do so by at least 20 percent of the registered
1078	electors in the last general election of that municipality
1079	pursuant to this subsection. The supervisor of elections of the
1080	county in which the municipality is located shall certify
1081	whether or not the petition contains the signatures of at least
1082	20 percent of the registered electors of the municipality. After
1083	the completion of the audit, the Auditor General shall determine
1084	whether the municipality has the fiscal resources necessary to
1085	pay the cost of the audit. The municipality shall pay the cost
1086	of the audit within 90 days after the Auditor General's
1087	determination that the municipality has the available resources.
1088	If the municipality fails to pay the cost of the audit, the
1089	Department of Revenue shall, upon certification of the Auditor
1090	General, withhold from that portion of the distribution pursuant
1091	to s. 212.20(6)(e)(d)5. which is distributable to such
1092	municipality, a sum sufficient to pay the cost of the audit and
1093	shall deposit that sum into the General Revenue Fund of the
1094	state.
1095	Section 13.  Paragraph (b) of subsection (2) of section
1096	202.18, Florida Statutes, is amended to read:
1097	202.18  Allocation and disposition of tax proceeds.-The
1098	proceeds of the communications services taxes remitted under
1099	this chapter shall be treated as follows:
1100	(2)  The proceeds of the taxes remitted under s.
1101	202.12(1)(b) shall be divided as follows:
1102	(b)  Sixty-three percent of the remainder shall be
1103	allocated to the state and distributed pursuant to s. 212.20(6),
1104	except that the proceeds allocated pursuant to s.
1105	212.20(6)(e)(d)2. shall be prorated to the participating
1106	counties in the same proportion as that month's collection of
1107	the taxes and fees imposed pursuant to chapter 212 and paragraph
1108	(1)(b).
1109	Section 14.  Subsection (3) of section 218.245, Florida
1110	Statutes, is amended to read:
1111	218.245  Revenue sharing; apportionment.-
1112	(3)  Revenues attributed to the increase in distribution to
1113	the Revenue Sharing Trust Fund for Municipalities pursuant to s.
1114	212.20(6)(e)(d)5. from 1.0715 percent to 1.3409 percent provided
1115	in chapter 2003-402, Laws of Florida, shall be distributed to
1116	each eligible municipality and any unit of local government that
1117	is consolidated as provided by s. 9, Art. VIII of the State
1118	Constitution of 1885, as preserved by s. 6(e), Art. VIII, 1968
1119	revised constitution, as follows: each eligible local
1120	government's allocation shall be based on the amount it received
1121	from the half-cent sales tax under s. 218.61 in the prior state
1122	fiscal year divided by the total receipts under s. 218.61 in the
1123	prior state fiscal year for all eligible local governments.
1124	However, for the purpose of calculating this distribution, the
1125	amount received from the half-cent sales tax under s. 218.61 in
1126	the prior state fiscal year by a unit of local government which
1127	is consolidated as provided by s. 9, Art. VIII of the State
1128	Constitution of 1885, as amended, and as preserved by s. 6(e),
1129	Art. VIII, of the Constitution as revised in 1968, shall be
1130	reduced by 50 percent for such local government and for the
1131	total receipts. For eligible municipalities that began
1132	participating in the allocation of half-cent sales tax under s.
1133	218.61 in the previous state fiscal year, their annual receipts
1134	shall be calculated by dividing their actual receipts by the
1135	number of months they participated, and the result multiplied by
1136	12.
1137	Section 15.  Subsections (5), (6), and (7) of section
1138	218.65, Florida Statutes, are amended to read:
1139	218.65  Emergency distribution.-
1140	(5)  At the beginning of each fiscal year, the Department
1141	of Revenue shall calculate a base allocation for each eligible
1142	county equal to the difference between the current per capita
1143	limitation times the county's population, minus prior year
1144	ordinary distributions to the county pursuant to ss.
1145	212.20(6)(e)(d)2., 218.61, and 218.62. If moneys deposited into
1146	the Local Government Half-cent Sales Tax Clearing Trust Fund
1147	pursuant to s. 212.20(6)(e)(d)3., excluding moneys appropriated
1148	for supplemental distributions pursuant to subsection (8), for
1149	the current year are less than or equal to the sum of the base
1150	allocations, each eligible county shall receive a share of the
1151	appropriated amount proportional to its base allocation. If the
1152	deposited amount exceeds the sum of the base allocations, each
1153	county shall receive its base allocation, and the excess
1154	appropriated amount, less any amounts distributed under
1155	subsection (6), shall be distributed equally on a per capita
1156	basis among the eligible counties.
1157	(6)  If moneys deposited in the Local Government Half-cent
1158	Sales Tax Clearing Trust Fund pursuant to s. 212.20(6)(e)(d)3.
1159	exceed the amount necessary to provide the base allocation to
1160	each eligible county, the moneys in the trust fund may be used
1161	to provide a transitional distribution, as specified in this
1162	subsection, to certain counties whose population has increased.
1163	The transitional distribution shall be made available to each
1164	county that qualified for a distribution under subsection (2) in
1165	the prior year but does not, because of the requirements of
1166	paragraph (2)(a), qualify for a distribution in the current
1167	year. Beginning on July 1 of the year following the year in
1168	which the county no longer qualifies for a distribution under
1169	subsection (2), the county shall receive two-thirds of the
1170	amount received in the prior year, and beginning July 1 of the
1171	second year following the year in which the county no longer
1172	qualifies for a distribution under subsection (2), the county
1173	shall receive one-third of the amount it received in the last
1174	year it qualified for the distribution under subsection (2). If
1175	insufficient moneys are available in the Local Government Half-
1176	cent Sales Tax Clearing Trust Fund to fully provide such a
1177	transitional distribution to each county that meets the
1178	eligibility criteria in this section, each eligible county shall
1179	receive a share of the available moneys proportional to the
1180	amount it would have received had moneys been sufficient to
1181	fully provide such a transitional distribution to each eligible
1182	county.
1183	(7)  There is hereby annually appropriated from the Local
1184	Government Half-cent Sales Tax Clearing Trust Fund the
1185	distribution provided in s. 212.20(6)(e)(d)3. to be used for
1186	emergency and supplemental distributions pursuant to this
1187	section.
1188	Section 16.  Subsection (3) of section 288.11621, Florida
1189	Statutes, is amended to read:
1190	288.11621  Spring training baseball franchises.-
1191	(3)  USE OF FUNDS.-
1192	(a)  A certified applicant may use funds provided under s.
1193	212.20(6)(e)(d)6.b. only to:
1194	1.  Serve the public purpose of acquiring, constructing,
1195	reconstructing, or renovating a facility for a spring training
1196	franchise.
1197	2.  Pay or pledge for the payment of debt service on, or to
1198	fund debt service reserve funds, arbitrage rebate obligations,
1199	or other amounts payable with respect thereto, bonds issued for
1200	the acquisition, construction, reconstruction, or renovation of
1201	such facility, or for the reimbursement of such costs or the
1202	refinancing of bonds issued for such purposes.
1203	3.  Assist in the relocation of a spring training franchise
1204	from one unit of local government to another only if the
1205	governing board of the current host local government by a
1206	majority vote agrees to relocation.
1207	(b)  State funds awarded to a certified applicant for a
1208	facility for a spring training franchise may not be used to
1209	subsidize facilities that are privately owned, maintained, and
1210	used only by a spring training franchise.
1211	(c)  The Department of Revenue may not distribute funds to
1212	an applicant certified on or after July 1, 2010, until it
1213	receives notice from the office that the certified applicant has
1214	encumbered funds under subparagraph (a)2.
1215	(d)1.  All certified applicants must place unexpended state
1216	funds received pursuant to s. 212.20(6)(e)(d)6.b. in a trust
1217	fund or separate account for use only as authorized in this
1218	section.
1219	2.  A certified applicant may request that the Department
1220	of Revenue suspend further distributions of state funds made
1221	available under s. 212.20(6)(e)(d)6.b. for 12 months after
1222	expiration of an existing agreement with a spring training
1223	franchise to provide the certified applicant with an opportunity
1224	to enter into a new agreement with a spring training franchise,
1225	at which time the distributions shall resume.
1226	3.  The expenditure of state funds distributed to an
1227	applicant certified before July 1, 2010, must begin within 48
1228	months after the initial receipt of the state funds. In
1229	addition, the construction of, or capital improvements to, a
1230	spring training facility must be completed within 24 months
1231	after the project's commencement.
1232	Section 17.  Subsection (6) of section 288.1169, Florida
1233	Statutes, is amended to read:
1234	288.1169  International Game Fish Association World Center
1235	facility.-
1236	(6)  The Department of Commerce must recertify every 10
1237	years that the facility is open, that the International Game
1238	Fish Association World Center continues to be the only
1239	international administrative headquarters, fishing museum, and
1240	Hall of Fame in the United States recognized by the
1241	International Game Fish Association, and that the project is
1242	meeting the minimum projections for attendance or sales tax
1243	revenues as required at the time of original certification. If
1244	the facility is not recertified during this 10-year review as
1245	meeting the minimum projections, then funding shall be abated
1246	until certification criteria are met. If the project fails to
1247	generate $1 million of annual revenues pursuant to paragraph
1248	(2)(e), the distribution of revenues pursuant to s. 212.20(6)(e)
1249	(d)6.d. shall be reduced to an amount equal to $83,333
1250	multiplied by a fraction, the numerator of which is the actual
1251	revenues generated and the denominator of which is $1 million.
1252	Such reduction remains in effect until revenues generated by the
1253	project in a 12-month period equal or exceed $1 million.
1254	Section 18.  Effective November 1, 2012, subsection (4) of
1255	section 1011.62, Florida Statutes, is amended to read:
1256	1011.62  Funds for operation of schools.-If the annual
1257	allocation from the Florida Education Finance Program to each
1258	district for operation of schools is not determined in the
1259	annual appropriations act or the substantive bill implementing
1260	the annual appropriations act, it shall be determined as
1261	follows:
1262	(4)  COMPUTATION FOR ALLOCATING SPECIFIED EDUCATION SALES
1263	TAX PROCEEDS OF DISTRICT REQUIRED LOCAL EFFORT.-The Legislature
1264	shall prescribe the aggregate amount of revenue from property
1265	taxes that would otherwise be required local effort for all
1266	school districts collectively if proceeds of the specified
1267	education sales tax were not available as an item in the General
1268	Appropriations Act for each fiscal year. The amount that shall
1269	be appropriated to each district shall be provided provide
1270	annually from funds reserved in the General Revenue Fund under
1271	s. 212.20(6)(d), and shall replace revenue that would otherwise
1272	have to be raised by local property taxes, toward the cost of
1273	the Florida Education Finance Program for kindergarten through
1274	grade 12 programs using the following calculations shall be
1275	calculated as follows:
1276	(a)  Estimated taxable value calculations.-
1277	1.a.  Not later than 2 working days prior to July 19, the
1278	Department of Revenue shall certify to the Commissioner of
1279	Education its most recent estimate of the taxable value for
1280	school purposes in each school district and the total for all
1281	school districts in the state for the current calendar year
1282	based on the latest available data obtained from the local
1283	property appraisers. The value certified shall be the taxable
1284	value for school purposes for that year, and no further
1285	adjustments shall be made, except those made pursuant to
1286	paragraphs (c) and (d), or an assessment roll change required by
1287	final judicial decisions as specified in paragraph (12)(b). Not
1288	later than July 19, the Commissioner of Education shall compute
1289	a millage rate, rounded to the next highest one one-thousandth
1290	of a mill, which, if when applied to 96 percent of the estimated
1291	state total taxable value for school purposes, would generate
1292	the prescribed aggregate amount of revenue from property taxes
1293	that would otherwise be required local effort for that year for
1294	all districts if proceeds of the specified education sales tax
1295	were not available. The Commissioner of Education shall certify
1296	to each district school board the millage rate, computed as
1297	prescribed in this subparagraph, as the minimum millage rate
1298	necessary to provide the district required local effort for that
1299	year.
1300	b.  The General Appropriations Act shall direct the
1301	computation of the statewide adjusted aggregate amount for
1302	required local effort for all school districts collectively from
1303	ad valorem taxes to ensure that no school district's allocation
1304	revenue from proceeds of the specified education sales tax
1305	required local effort millage will produce more than 90 percent
1306	of the district's total Florida Education Finance Program
1307	calculation as calculated and adopted by the Legislature, and
1308	the estimated adjustment of the required local effort millage
1309	rate of each district that would produce produces more than 90
1310	percent of its total Florida Education Finance Program
1311	entitlement to a level that would be required to will produce
1312	only 90 percent of its total Florida Education Finance Program
1313	entitlement in the July calculation if proceeds of the specified
1314	education sales tax were not available.
1315	2.  On the same date as the certification in sub-
1316	subparagraph 1.a., the Department of Revenue shall certify to
1317	the Commissioner of Education for each district:
1318	a.  Each year for which the property appraiser has
1319	certified the taxable value pursuant to s. 193.122(2) or (3), if
1320	applicable, since the prior certification under sub-subparagraph
1321	1.a.
1322	b.  For each year identified in sub-subparagraph a., the
1323	taxable value certified by the appraiser pursuant to s.
1324	193.122(2) or (3), if applicable, since the prior certification
1325	under sub-subparagraph 1.a. This is the certification that
1326	reflects all final administrative actions of the value
1327	adjustment board.
1328	(b)  Equalization of proceeds from the specified education
1329	sales tax required local effort.-
1330	1.  The Department of Revenue shall include with its
1331	certifications provided pursuant to paragraph (a) its most
1332	recent determination of the assessment level of the prior year's
1333	assessment roll for each county and for the state as a whole.
1334	2.  The Commissioner of Education shall adjust the
1335	estimated required local effort millage that would otherwise be
1336	required of each district for the current year if proceeds from
1337	the specified education sales tax were not available, computed
1338	pursuant to paragraph (a), as follows:
1339	a.  The equalization factor for the prior year's assessment
1340	roll of each district shall be multiplied by 96 percent of the
1341	taxable value for school purposes shown on that roll and by the
1342	prior year's estimate of required local-effort millage under
1343	this subsection, exclusive of any equalization adjustment made
1344	pursuant to this paragraph. The dollar amount so computed shall
1345	be the additional amount required from the proceeds of the
1346	specified education sales tax required local effort for
1347	equalization for the current year.
1348	b.  Such equalization factor shall be computed as the
1349	quotient of the prior year's assessment level of the state as a
1350	whole divided by the prior year's assessment level of the
1351	county, from which quotient shall be subtracted 1.
1352	c.  The dollar amount of additional proceeds required from
1353	the specified education sales tax local effort for equalization
1354	for each district shall be converted to an estimated a millage
1355	rate that would otherwise be required if proceeds from the
1356	specified education sales tax were not available, based on 96
1357	percent of the current year's taxable value for that district,
1358	and added to the estimated required local effort millage
1359	determined pursuant to paragraph (a) that would otherwise be
1360	required if proceeds from the specified education sales tax were
1361	not available.
1362	3.  Notwithstanding the limitations imposed pursuant to s.
1363	1011.71(1), The total estimated required local-effort millage,
1364	including additional proceeds required local effort for
1365	equalization, shall be an amount not to exceed 10 minus the
1366	maximum millage allowed as nonvoted discretionary millage,
1367	exclusive of millage authorized pursuant to s. 1011.71(2).
1368	Nothing herein shall be construed to allow a millage in excess
1369	of that authorized in s. 9, Art. VII of the State Constitution.
1370	4.  For the purposes of this chapter, the term "assessment
1371	level" means the value-weighted mean assessment ratio for the
1372	county or state as a whole, as determined pursuant to s.
1373	195.096, or as subsequently adjusted. However, for those parcels
1374	studied pursuant to s. 195.096(3)(a)1. which are receiving the
1375	assessment limitation set forth in s. 193.155, and for which the
1376	assessed value is less than the just value, the department shall
1377	use the assessed value in the numerator and the denominator of
1378	such assessment ratio. In the event a court has adjudicated that
1379	the department failed to establish an accurate estimate of an
1380	assessment level of a county and recomputation resulting in an
1381	accurate estimate based upon the evidence before the court was
1382	not possible, that county shall be presumed to have an
1383	assessment level equal to that of the state as a whole.
1384	5.  If, in the prior year, taxes were levied against an
1385	interim assessment roll pursuant to s. 193.1145, the assessment
1386	level and prior year's nonexempt assessed valuation used for the
1387	purposes of this paragraph shall be those of the interim
1388	assessment roll.
1389	(c)  Exclusion.-
1390	1.  In those instances in which:
1391	a.  There is litigation either attacking the authority of
1392	the property appraiser to include certain property on the tax
1393	assessment roll as taxable property or contesting the assessed
1394	value of certain property on the tax assessment roll, and
1395	b.  The assessed value of the property in contest involves
1396	more than 6 percent of the total nonexempt assessment roll, the
1397	plaintiff shall provide to the district school board of the
1398	county in which the property is located and to the Department of
1399	Education a certified copy of the petition and receipt for the
1400	good faith payment at the time they are filed with the court.
1401	2.  For purposes of computing the amount of revenue from
1402	property taxes that would otherwise be required if proceeds from
1403	the specified education sales tax were not available local
1404	effort for each district affected by such petition, the
1405	Department of Education shall exclude from the district's total
1406	nonexempt assessment roll the assessed value of the property in
1407	contest and shall add an appropriate the amount for allocation
1408	to the district from the proceeds of the specified education
1409	sales tax of the good faith payment to the district's required
1410	local effort.
1411	(d)  Recomputation.-Following final adjudication of any
1412	litigation on the basis of which an adjustment in taxable value
1413	was made pursuant to paragraph (c), the department shall
1414	recompute the amount of revenue from property taxes that would
1415	otherwise have been required from local effort for each district
1416	for each year affected by such adjustments, utilizing taxable
1417	values approved by the court, and shall adjust subsequent
1418	allocations from the proceeds of the specified education sales
1419	tax to such districts accordingly.
1420	(e)  Prior period funding adjustment millage.-
1421	1.  There shall be an additional millage to be known as the
1422	Prior Period Funding Adjustment Millage levied by a school
1423	district if the prior period unrealized required local effort
1424	funds are greater than zero. The Commissioner of Education shall
1425	calculate the amount of the prior period unrealized required
1426	local effort funds as specified in subparagraph 2. and the
1427	millage required to generate that amount as specified in this
1428	subparagraph. The Prior Period Funding Adjustment Millage shall
1429	be the quotient of the prior period unrealized required local
1430	effort funds divided by the current year taxable value certified
1431	to the Commissioner of Education pursuant to sub-subparagraph
1432	(a)1.a. This levy shall be in addition to the required local
1433	effort millage certified pursuant to this subsection. Such
1434	millage shall not affect the calculation of the current year's
1435	required local effort, and the funds generated by such levy
1436	shall not be included in the district's Florida Education
1437	Finance Program allocation for that fiscal year. For purposes of
1438	the millage to be included on the Notice of Proposed Taxes, the
1439	Commissioner of Education shall adjust the required local effort
1440	millage computed pursuant to paragraph (a) as adjusted by
1441	paragraph (b) for the current year for any district that levies
1442	a Prior Period Funding Adjustment Millage to include all Prior
1443	Period Funding Adjustment Millage. For the purpose of this
1444	paragraph, there shall be a Prior Period Funding Adjustment
1445	Millage levied for each year certified by the Department of
1446	Revenue pursuant to sub-subparagraph (a)2.a. since the previous
1447	year certification and for which the calculation in sub-
1448	subparagraph 2.b. is greater than zero.
1449	2.a.  As used in this subparagraph, the term:
1450	(I)  "Prior year" means a year certified under sub-
1451	subparagraph (a)2.a.
1452	(II)  "Preliminary taxable value" means:
1453	(A)  If the prior year is the 2009-2010 fiscal year or
1454	later, the taxable value certified to the Commissioner of
1455	Education pursuant to sub-subparagraph (a)1.a.
1456	(B)  If the prior year is the 2008-2009 fiscal year or
1457	earlier, the taxable value certified pursuant to the final
1458	calculation as specified in former paragraph (b) as that
1459	paragraph existed in the prior year.
1460	(III)  "Final taxable value" means the district's taxable
1461	value as certified by the property appraiser pursuant to s.
1462	193.122(2) or (3), if applicable. This is the certification that
1463	reflects all final administrative actions of the value
1464	adjustment board.
1465	b.  For purposes of this subsection and with respect to
1466	each year certified pursuant to sub-subparagraph (a)2.a., if the
1467	district's prior year preliminary taxable value is greater than
1468	the district's prior year final taxable value, the prior period
1469	unrealized required local effort funds are the difference
1470	between the district's prior year preliminary taxable value and
1471	the district's prior year final taxable value, multiplied by the
1472	prior year district required local effort millage. If the
1473	district's prior year preliminary taxable value is less than the
1474	district's prior year final taxable value, the prior period
1475	unrealized required local effort funds are zero.
1476	Section 19.  Effective November 1, 2012, subsection (1) of
1477	section 1011.71, Florida Statutes, is amended to read:
1478	1011.71  District school tax.-
1479	(1)  If the district school tax is not provided in the
1480	General Appropriations Act or the substantive bill implementing
1481	the General Appropriations Act, each district school board
1482	desiring to participate in the state allocation of funds for
1483	current operation as prescribed by s. 1011.62(12) shall levy on
1484	the taxable value for school purposes of the district, exclusive
1485	of millage voted under the provisions of s. 9(b) or s. 12, Art.
1486	VII of the State Constitution, a millage rate not to exceed the
1487	amount certified by the commissioner as the minimum millage rate
1488	necessary to provide the district required local effort for the
1489	current year, pursuant to s. 1011.62(4)(a)1. In addition to the
1490	required local effort millage levy, Each district school board
1491	may levy a nonvoted current operating discretionary millage. The
1492	Legislature shall prescribe annually in the appropriations act
1493	the maximum amount of millage a district may levy.
1494	Section 20.  Effective November 1, 2012, section 218.67,
1495	Florida Statutes, is amended to read:
1496	218.67  Distribution for fiscally constrained counties.-
1497	(1)  Each county that is entirely within a rural area of
1498	critical economic concern as designated by the Governor pursuant
1499	to s. 288.0656 or each county for which the value of a mill will
1500	raise no more than $5 million in revenue, based on the taxable
1501	value certified pursuant to s. 1011.62(4)(a)1.a., from the
1502	previous July 1, shall be considered a fiscally constrained
1503	county.
1504	(2)  Each fiscally constrained county government that
1505	participates in the local government half-cent sales tax shall
1506	be eligible to receive an additional distribution from the Local
1507	Government Half-cent Sales Tax Clearing Trust Fund, as provided
1508	in s. 202.18(2)(c)1., in addition to its regular monthly
1509	distribution provided under this part and any emergency or
1510	supplemental distribution under s. 218.65.
1511	(3)  The amount to be distributed to each fiscally
1512	constrained county shall be determined by the Department of
1513	Revenue at the beginning of the fiscal year, using the prior
1514	fiscal year's July 1 taxable value certified pursuant to s.
1515	1011.62(4)(a)1.a., tax data, population as defined in s. 218.21,
1516	and millage rate levied for the prior fiscal year. The amount
1517	distributed shall be allocated based upon the following factors:
1518	(a)  The relative revenue-raising-capacity factor shall be
1519	the ability of the eligible county to generate ad valorem
1520	revenues from 1 mill of taxation on a per capita basis. A county
1521	that raises no more than $25 per capita from 1 mill shall be
1522	assigned a value of 1; a county that raises more than $25 but no
1523	more than $30 per capita from 1 mill shall be assigned a value
1524	of 0.75; and a county that raises more than $30 but no more than
1525	$50 per capita from 1 mill shall be assigned a value of 0.5. No
1526	value shall be assigned to counties that raise more than $50 per
1527	capita from 1 mill of ad valorem taxation.
1528	(b)  The local-effort factor shall be a measure of the
1529	relative level of property tax revenues that would otherwise
1530	have been required local effort of the eligible county if
1531	proceeds from the specified education sales tax were not
1532	available as indicated by the estimated millage rate levied for
1533	the prior fiscal year. The local-effort factor shall be the most
1534	recently adopted countywide operating millage rate plus an
1535	estimated amount of millage that would have been required if
1536	proceeds from the specified education sales tax were not
1537	available for each eligible county multiplied by 0.1.
1538	(c)  Each eligible county's proportional allocation of the
1539	total amount available to be distributed to all of the eligible
1540	counties shall be in the same proportion as the sum of the
1541	county's two factors is to the sum of the two factors for all
1542	eligible counties. The counties that are eligible to receive an
1543	allocation under this subsection and the amount available to be
1544	distributed to such counties shall not include counties
1545	participating in the phaseout period under subsection (4) or the
1546	amounts they remain eligible to receive during the phaseout.
1547	(4)  For those counties that no longer qualify under the
1548	requirements of subsection (1) after the effective date of this
1549	act, there shall be a 2-year phaseout period. Beginning on July
1550	1 of the year following the year in which the value of a mill
1551	for that county exceeds $5 million in revenue, the county shall
1552	receive two-thirds of the amount received in the prior year, and
1553	beginning on July 1 of the second year following the year in
1554	which the value of a mill for that county exceeds $5 million in
1555	revenue, the county shall receive one-third of the amount
1556	received in the last year that the county qualified as a
1557	fiscally constrained county. Following the 2-year phaseout
1558	period, the county shall no longer be eligible to receive any
1559	distributions under this section unless the county can be
1560	considered a fiscally constrained county as provided in
1561	subsection (1).
1562	(5)  The revenues received under this section may be used
1563	by a county for any public purpose, except that such revenues
1564	may not be used to pay debt service on bonds, notes,
1565	certificates of participation, or any other forms of
1566	indebtedness.
1567	Section 21.  Effective November 1, 2012, paragraph (a) of
1568	subsection (9) of section 1002.32, Florida Statutes, is amended
1569	to read:
1570	1002.32  Developmental research (laboratory) schools.-
1571	(9)  FUNDING.-Funding for a lab school, including a charter
1572	lab school, shall be provided as follows:
1573	(a)  Each lab school shall be allocated its proportional
1574	share of operating funds from the Florida Education Finance
1575	Program as provided in s. 1011.62 based on the county in which
1576	the lab school is located and the General Appropriations Act.
1577	The nonvoted ad valorem millage that would otherwise be required
1578	for lab schools shall be allocated from state funds. The
1579	required local effort funds calculated pursuant to s. 1011.62
1580	shall be allocated from state funds to the schools as a part of
1581	the allocation of operating funds pursuant to s. 1011.62. Each
1582	eligible lab school in operation as of September 1, 2002, shall
1583	also receive a proportional share of the sparsity supplement as
1584	calculated pursuant to s. 1011.62. In addition, each lab school
1585	shall receive its proportional share of all categorical funds,
1586	with the exception of s. 1011.68, and new categorical funds
1587	enacted after July 1, 1994, for the purpose of elementary or
1588	secondary academic program enhancement. The sum of funds
1589	available as provided in this paragraph shall be included
1590	annually in the Florida Education Finance Program and
1591	appropriate categorical programs funded in the General
1592	Appropriations Act.
1593	Section 22.  Effective November 1, 2012, section 1011.02,
1594	Florida Statutes, is amended to read:
1595	1011.02  District school boards to adopt tentative budget.-
1596	(1)  On or before the date prescribed in rules of the State
1597	Board of Education, each district school board shall receive and
1598	examine the tentative budget submitted by the district school
1599	superintendent, and shall require such changes to be made, in
1600	keeping with the purposes of the school code, as may be to the
1601	best interest of the school program in the district.
1602	(2)  The district school board shall determine, within
1603	prescribed limits, the reserves to be allotted for
1604	contingencies, and the cash balance to be carried forward at the
1605	end of the year. If the district school board shall require any
1606	changes to be made in receipts, in the reserves for
1607	contingencies, or in the cash balance to be carried forward at
1608	the end of the year, it shall also require necessary changes to
1609	be made in the appropriations for expenditures so that the
1610	budget, as changed, will not contain appropriations for
1611	expenditures and reserves in excess of, or less than, estimated
1612	receipts and balances.
1613	(3)  The proposed budget shall include the anticipated an
1614	amount of proceeds from the specified education sales tax that
1615	the district school board expects to receive for local required
1616	effort for current operation, in accordance with the
1617	requirements of s. 1011.62(4).
1618	(4)  When a tentative budget has been prepared in
1619	accordance with rules of the State Board of Education, the
1620	proposed expenditures, plus transfers, and balances shall not
1621	exceed the estimated income, transfers, and balances. The budget
1622	and each of the parts thereof shall balance.
1623	(5)  The district school board shall adopt a tentative
1624	budget.
1625	Section 23.  Effective November 1, 2012, paragraph (c) of
1626	subsection (3) of section 200.065, Florida Statutes, is amended
1627	to read:
1628	200.065  Method of fixing millage.-
1629	(3)  The advertisement shall be no less than one-quarter
1630	page in size of a standard size or a tabloid size newspaper, and
1631	the headline in the advertisement shall be in a type no smaller
1632	than 18 point. The advertisement shall not be placed in that
1633	portion of the newspaper where legal notices and classified
1634	advertisements appear. The advertisement shall be published in a
1635	newspaper of general paid circulation in the county or in a
1636	geographically limited insert of such newspaper. The geographic
1637	boundaries in which such insert is circulated shall include the
1638	geographic boundaries of the taxing authority. It is the
1639	legislative intent that, whenever possible, the advertisement
1640	appear in a newspaper that is published at least 5 days a week
1641	unless the only newspaper in the county is published less than 5
1642	days a week, or that the advertisement appear in a
1643	geographically limited insert of such newspaper which insert is
1644	published throughout the taxing authority's jurisdiction at
1645	least twice each week. It is further the legislative intent that
1646	the newspaper selected be one of general interest and readership
1647	in the community and not one of limited subject matter, pursuant
1648	to chapter 50.
1649	(c)  For school districts which have proposed a millage
1650	rate in excess of 100 percent of the rolled-back rate computed
1651	pursuant to subsection (1) and which propose to levy nonvoted
1652	millage in excess of the minimum amount required pursuant to s.
1653	1011.60(6), the advertisement shall be in the following form:
1654	NOTICE OF PROPOSED TAX INCREASE
1655	The ...(name of school district)... will soon consider a
1656	measure to increase its property tax levy.
1657	Last year's property tax levy:
1658	A.  Initially proposed tax levy     $XX,XXX,XXX
1659	B.  Less tax reductions due to Value Adjustment Board and
1660	other assessment changes     ($XX,XXX,XXX)
1661	C.  Actual property tax levy     $XX,XXX,XXX
1662	This year's proposed tax levy     $XX,XXX,XXX
1663	A portion of the tax levy is required under state law in
1664	order for the school board to receive $...(amount A)... in state
1665	education grants. The required portion has ...(increased or
1666	decreased)... by ...(amount B)... percent and represents
1667	approximately ...(amount C)... of the total proposed taxes.
1668	The remainder of the taxes is proposed solely at the
1669	discretion of the school board.
1670	All concerned citizens are invited to a public hearing on
1671	the tax increase to be held on ...(date and time)... at
1672	...(meeting place)....
1673	A DECISION on the proposed tax increase and the budget will
1674	be made at this hearing.
1675
1676	1.  AMOUNT A shall be an estimate, provided by the
1677	Department of Education, of the amount to be received in the
1678	current fiscal year by the district from state appropriations
1679	for the Florida Education Finance Program.
1680	2.  AMOUNT B shall be the percent increase over the rolled-
1681	back rate necessary to levy only the required local effort in
1682	the current fiscal year, computed as though in the preceding
1683	fiscal year only the required local effort was levied.
1684	3.  AMOUNT C shall be the quotient of required local-effort
1685	millage divided by the total proposed nonvoted millage, rounded
1686	to the nearest tenth and stated in words; however, the stated
1687	amount shall not exceed nine-tenths.
1688	Section 24.  Except as otherwise expressly provided in this
1689	act, and except for this section, which shall take effect upon
1690	this act becoming a law, this act shall take effect January 1,
1691	2012.

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