Florida Senate - 2013                                     SB 554
       By Senator Altman
       16-00492A-13                                           2013554__
    1                        A bill to be entitled                      
    2         An act relating to brownfield areas; amending s.
    3         212.08, F.S.; modifying definitions; amending s.
    4         376.78, F.S.; identifying areas in which brownfield
    5         redevelopment may be especially effective; amending s.
    6         376.80, F.S.; requiring a local government to comply
    7         with certain provisions when designating brownfield
    8         areas; providing procedures for adopting a resolution;
    9         providing that a property owner may request that his
   10         or her property be removed from the proposed
   11         designation before adoption of a resolution; providing
   12         notification requirements and procedures for public
   13         notice; requiring a local government to designate a
   14         brownfield area if certain criteria are met; amending
   15         s. 376.82, F.S.; narrowing the liability of a person
   16         who successfully completes a brownfield site
   17         rehabilitation agreement; providing for retroactive
   18         application; providing an effective date.
   20  Be It Enacted by the Legislature of the State of Florida:
   22         Section 1. Paragraph (o) of subsection (5) of section
   23  212.08, Florida Statutes, is amended to read:
   24         212.08 Sales, rental, use, consumption, distribution, and
   25  storage tax; specified exemptions.—The sale at retail, the
   26  rental, the use, the consumption, the distribution, and the
   27  storage to be used or consumed in this state of the following
   28  are hereby specifically exempt from the tax imposed by this
   29  chapter.
   30         (5) EXEMPTIONS; ACCOUNT OF USE.—
   31         (o) Building materials in redevelopment projects.—
   32         1. As used in this paragraph, the term:
   33         a. “Building materials” means tangible personal property
   34  that becomes a component part of a housing project or a mixed
   35  use project.
   36         b. “Housing project” means:
   37         (I) The conversion of an existing manufacturing or
   38  industrial building to housing units in an urban high-crime
   39  area, enterprise zone, empowerment zone, Front Porch Community,
   40  designated brownfield area, or urban infill area and in which
   41  the developer agrees to set aside at least 20 percent of the
   42  housing units in the project for low-income and moderate-income
   43  persons; or
   44         (II) The construction or substantial rehabilitation in a
   45  designated brownfield area of affordable housing for persons
   46  described in s. 420.0004(9), (11), (12), or (17) or in s.
   47  159.603(7).
   48         c. “Mixed-use project” means the conversion of an existing
   49  manufacturing or industrial building to mixed-use units that
   50  include artists’ studios, art and entertainment services, or
   51  other compatible uses. A mixed-use project must be located in an
   52  urban high-crime area, enterprise zone, empowerment zone, Front
   53  Porch Community, designated brownfield area, or urban infill
   54  area, and the developer must agree to set aside at least 20
   55  percent of the square footage of the project for low-income and
   56  moderate-income housing.
   57         d. “Substantially completed” has the same meaning as
   58  provided in s. 192.042(1).
   59         2. Building materials used in the construction of a housing
   60  project or mixed-use project, or in the substantial
   61  rehabilitation of affordable housing as described in paragraph
   62  (1)(b), are exempt from the tax imposed by this chapter upon an
   63  affirmative showing to the satisfaction of the department that
   64  the requirements of this paragraph have been met. This exemption
   65  inures to the owner through a refund of previously paid taxes.
   66  To receive this refund, the owner must file an application under
   67  oath with the department which includes:
   68         a. The name and address of the owner.
   69         b. The address and assessment roll parcel number of the
   70  project for which a refund is sought.
   71         c. A copy of the building permit issued for the project.
   72         d. A certification by the local building code inspector
   73  that the project is substantially completed.
   74         e. A sworn statement, under penalty of perjury, from the
   75  general contractor licensed in this state with whom the owner
   76  contracted to construct the project, which statement lists the
   77  building materials used in the construction of the project and
   78  the actual cost thereof, and the amount of sales tax paid on
   79  these materials. If a general contractor was not used, the owner
   80  shall provide this information in a sworn statement, under
   81  penalty of perjury. Copies of invoices evidencing payment of
   82  sales tax must be attached to the sworn statement.
   83         3. An application for a refund under this paragraph must be
   84  submitted to the department within 6 months after the date the
   85  project is deemed by the local building code inspector to be
   86  substantially completed by the local building code inspector.
   87  Within 30 working days after receipt of the application, the
   88  department shall determine if it meets the requirements of this
   89  paragraph. A refund must approved pursuant to this paragraph
   90  shall be made within 30 days after formal approval of the refund
   91  application by the department.
   92         4. The department shall establish by rule an application
   93  form and criteria for establishing eligibility for exemption
   94  under this paragraph.
   95         5. The exemption applies shall apply to purchases of
   96  materials on or after July 1, 2000.
   97         Section 2. Subsection (8) of section 376.78, Florida
   98  Statutes, is amended to read:
   99         376.78 Legislative intent.—The Legislature finds and
  100  declares the following:
  101         (8) The existence of brownfields within a community may
  102  contribute to, or may be a symptom of, overall community
  103  decline, including issues of human disease and illness, crime,
  104  educational and employment opportunities, and infrastructure
  105  decay. The environment is an important element of the quality of
  106  life in any community, along with economic opportunity,
  107  educational achievement, access to health care, housing quality
  108  and availability, provision of governmental services, and other
  109  socioeconomic factors. Brownfields redevelopment, properly done,
  110  can be a significant element in community revitalization,
  111  especially within community redevelopment areas, empowerment
  112  zones, closed military bases, or designated brownfield pilot
  113  project areas.
  114         Section 3. Subsections (1) and (2) of section 376.80,
  115  Florida Statutes, are amended to read:
  116         376.80 Brownfield program administration process.—
  117         (1) If a proposed brownfield area is to be designated as A
  118  local government with jurisdiction over the brownfield area must
  119  notify the department of its decision to designate a brownfield
  120  area for rehabilitation for the purposes of ss. 376.77-376.86,
  121  the designation must be effectuated by a resolution adopted at a
  122  public hearing held by the local government that has
  123  jurisdiction over the area. The resolution must include a map
  124  that clearly delineates the parcels that are included in the
  125  brownfield area or, alternatively, a less-detailed map
  126  accompanied by a detailed legal description of the brownfield
  127  area. The resolution must be adopted in accordance with the
  128  resolution adoption procedures and requirements of the local
  129  government in effect at the time of the proposal.
  130         (a) Before conducting a public hearing that may be required
  131  under the resolution adoption procedures of the local
  132  government, the local government or the person proposing the
  133  designation must convene and conduct at least one community
  134  forum as geographically close as reasonably practicable to the
  135  proposed brownfield area in order to provide an opportunity for
  136  public input on the size of the area, the objectives for
  137  rehabilitation, job opportunities, anticipated economic
  138  development, the concerns of neighborhood residents, and other
  139  relevant concerns.
  140         (b) An announcement of the public hearing must be made at
  141  the prior community forum.
  142         (c) Notice of the public hearing on the resolution must be:
  143         1. At least 16 square inches in size;
  144         2. Published in a newspaper of general circulation in the
  145  proposed brownfield area and in at least one local bulletin or
  146  other community publication; and
  147         3. Posted at one or more readily visible locations within
  148  the proposed brownfield area.
  149         (d) If a property owner within the area proposed for
  150  designation makes a written request to have his or her property
  151  removed from the proposed designation before adoption of the
  152  resolution, the local government shall grant the request. The
  153  notification must include a resolution, by the local government
  154  body, to which is attached a map adequate to clearly delineate
  155  exactly which parcels are to be included in the brownfield area
  156  or alternatively a less-detailed map accompanied by a detailed
  157  legal description of the brownfield area. If a property owner
  158  within the area proposed for designation by the local government
  159  requests in writing to have his or her property removed from the
  160  proposed designation, the local government shall grant the
  161  request. For municipalities, the governing body shall adopt the
  162  resolution in accordance with the procedures outlined in s.
  163  166.041, except that the notice for the public hearings on the
  164  proposed resolution must be in the form established in s.
  165  166.041(3)(c)2. For counties, the governing body shall adopt the
  166  resolution in accordance with the procedures outlined in s.
  167  125.66, except that the notice for the public hearings on the
  168  proposed resolution shall be in the form established in s.
  169  125.66(4)(b)2.
  170         (e) The local government with jurisdiction over the
  171  brownfield area shall notify the department of the adopted
  172  resolution within 30 days after such adoption.
  173         (2)(a) If the brownfield area designation is proposed by:
  174         (a) A local government that has jurisdiction over the area
  175  and the area is located within an existing community
  176  redevelopment area, enterprise zone, empowerment zone, closed
  177  military base, or designated brownfield pilot project, the local
  178  government is exempt from paragraphs (a)-(c) of subsection (1).
  179  Local governments that propose designation of a brownfield area
  180  pursuant to this paragraph or paragraph (b) are not required to
  181  use the term “brownfield area” within the name of the area
  182  proposed for designation.
  183         (b)The a local government proposes to designate a
  184  brownfield area that has jurisdiction over the area and the area
  185  is outside a community redevelopment area areas, enterprise zone
  186  zones, empowerment zone zones, closed military base bases, or
  187  designated brownfield pilot project area areas, the local
  188  government may designate the brownfield area shall adopt the
  189  resolution and conduct the public hearings in accordance with
  190  the requirements of subsection (1), except at least one of the
  191  required public hearings shall be conducted as close as
  192  reasonably practicable to the area to be designated to provide
  193  an opportunity for public input on the size of the area, the
  194  objectives for rehabilitation, job opportunities and economic
  195  developments anticipated, neighborhood residents’
  196  considerations, and other relevant local concerns. Notice of the
  197  public hearing must be made in a newspaper of general
  198  circulation in the area and the notice must be at least 16
  199  square inches in size, must be in ethnic newspapers or local
  200  community bulletins, must be posted in the affected area, and
  201  must be announced at a scheduled meeting of the local governing
  202  body before the actual public hearing. However, at the public
  203  hearing to adopt the resolution to designate the proposed
  204  brownfield area In determining the areas to be designated, the
  205  local government must consider:
  206         1. Whether the brownfield area warrants economic
  207  development and has a reasonable potential for such activities;
  208         2. Whether the proposed area to be designated represents a
  209  reasonably focused approach and is not overly large in
  210  geographic coverage;
  211         3. Whether the area has potential to interest the private
  212  sector in participating in rehabilitation; and
  213         4. Whether the area contains sites or parts of sites
  214  suitable for limited recreational open space or for, cultural,
  215  or historical preservation purposes.
  216         (c)Any person other than a governmental entity, including,
  217  but not limited to, individuals, corporations, partnerships,
  218  limited liability companies, community-based organizations, or
  219  not-for-profit corporations, the
  220         (b)A local government that has jurisdiction over the
  221  proposed brownfield area shall adopt a resolution to designate a
  222  brownfield area in accordance with subsection (1) if the person
  223  requesting the designation meets the following criteria at the
  224  public hearing held to adopt the resolution under the provisions
  225  of this act provided that:
  226         1. The A person requesting the designation who owns or
  227  controls the a potential brownfield site is requesting the
  228  designation and has agreed to rehabilitate and redevelop the
  229  brownfield site;
  230         2. The rehabilitation and redevelopment of the proposed
  231  brownfield site will result in economic productivity of the
  232  area, including along with the creation of at least five 5 new
  233  permanent jobs at the brownfield site which that are full-time
  234  equivalent positions not associated with the implementation of
  235  the brownfield site rehabilitation agreement and which that are
  236  not associated with redevelopment project demolition or
  237  construction activities pursuant to the redevelopment of the
  238  proposed brownfield site or area. However, the job creation
  239  requirement does shall not apply to the rehabilitation and
  240  redevelopment of a brownfield site which that will provide
  241  affordable housing as defined in s. 420.0004 or the creation of
  242  recreational areas, conservation areas, or parks;
  243         3. The redevelopment of the proposed brownfield site is
  244  consistent with the local comprehensive plan and is a
  245  permittable use under the applicable local land development
  246  regulations;
  247         4. In accordance with subsection (1), notice of the
  248  proposed rehabilitation of the brownfield area has been
  249  provided, by the convening of a community forum or other means,
  250  to neighbors and nearby residents of the proposed area to be
  251  designated, and the person proposing the area for designation
  252  has afforded to those receiving notice the opportunity for
  253  comments and suggestions about rehabilitation. Notice pursuant
  254  to this subparagraph must be made in a newspaper of general
  255  circulation in the area, at least 16 square inches in size, and
  256  the notice must be posted in the affected area; and
  257         5. The person proposing the area for designation has
  258  provided reasonable assurance that he or she has sufficient
  259  financial resources to implement and complete the rehabilitation
  260  agreement and redevelopment of the brownfield site.
  262  (c) The designation of a brownfield area and the identification
  263  of a person responsible for brownfield site rehabilitation under
  264  this subsection simply entitles the identified person to
  265  negotiate a brownfield site rehabilitation agreement with the
  266  department or approved local pollution control program.
  267         Section 4. Paragraphs (a) and (b) of subsection (2) of
  268  section 376.82, Florida Statutes, are amended to read:
  269         376.82 Eligibility criteria and liability protection.—
  270         (2) LIABILITY PROTECTION.—
  271         (a) Any person, including his or her successors and
  272  assigns, who executes and implements to successful completion a
  273  brownfield site rehabilitation agreement, is shall be relieved
  274  of:
  275         1. Further liability for remediation of the contaminated
  276  site or sites to the state and to third parties; and of
  277         2. Liability in contribution to any other party who has or
  278  may incur cleanup liability for the contaminated site or sites;
  279  and.
  280         3. Liability for claims of any person for property damage,
  281  including diminished value of real property or improvements;
  282  lost or delayed rent, sale, or use of real property or
  283  improvements; or stigma to real property or improvements caused
  284  by contamination addressed by a brownfield site rehabilitation
  285  agreement. Notwithstanding any other provision of this chapter,
  286  this subparagraph applies to causes of action accruing on or
  287  after July 1, 2013, and applies retroactively to causes of
  288  action accruing before July 1, 2013, for which a lawsuit has not
  289  been filed before July 1, 2013.
  290         (b) This section does shall not limit be construed as a
  291  limitation on the right of a third party other than the state to
  292  pursue an action for damages to persons property or person;
  293  however, that such an action may not compel site rehabilitation
  294  in excess of that required in the approved brownfield site
  295  rehabilitation agreement or otherwise required by the department
  296  or approved local pollution control program.
  297         Section 5. This act shall take effect July 1, 2013.