SB 620 — Taxation

specifying requirements for the levy and allocation of non-ad valorem assessments on land containing a multiple parcel building;

defining the terms “multiple parcel building” and “parcel”;

amending s.

197.572, F.S.;

providing that easements supporting improvements that may be constructed above lands survive tax sales and tax deeds of such lands;

amending s.

197.573, F.S.;

specifying that a provision relating to the survival and enforceability of restrictions and covenants after a tax sale applies to recorded instruments other than deeds;

revising covenants that are excluded from applicability;

amending s.

201.02, F.S.;

providing a documentary stamp tax exemption for certain instruments transferring or conveying homestead property interests between spouses;

providing applicability;

defining the term “homestead property”;

creating s.

201.25, F.S.;

providing exemptions from documentary stamp taxes for certain loans made by the Florida Small Business Emergency Bridge Loan Program and the Agricultural Economic Development Program;

amending s.

206.9952, F.S.;

conforming provisions to changes made by the act;

amending s.

206.9955, F.S.;

delaying the effective date of certain taxes on natural gas fuel;

revising the calculation of certain taxes by the Department of Revenue;

amending s.

206.996, F.S.;

conforming a provision to changes made by the act;

creating s.

210.205, F.S.;

requiring the H.

Lee Moffitt Cancer Center and Research Institute to annually report information regarding the expenditure of cigarette tax distributions to the Office of Economic and Demographic Research;

amending s.

212.031, F.S.;

reducing the tax levied on rental or license fees charged for the use of real property;

amending s.

212.055, F.S.;

revising the definition of the term “infrastructure” for purposes of the local government infrastructure surtax;

amending s.

212.08, F.S.;

revising, at specified timeframes, the total amount of community contribution tax credits which may be granted;

providing an exemption from the sales and use tax for certain tangible personal property donated to certain s.

501(c)(3) organizations;

defining the term “donate”;

revising applicability of a sales and use tax exemption for certain charges for electricity and steam uses;

defining the term “NAICS”;

providing a sales and use tax exemption for recycling roll off containers used by certain businesses for certain purposes;

defining the term “NAICS”;

amending s.

212.12, F.S.;

requiring the department to make available the tax amounts and brackets applicable to transactions subject to the sales tax on commercial leases of real property;

creating s.

212.205, F.S.;

requiring certain recipients of sales tax distributions to annually report information related to expenditures of those distributions to the Office of Economic and Demographic Research;

creating s.

218.135, F.S.;

requiring the Legislature to appropriate funds to offset reductions in ad valorem taxes as a result of certain assessment limitations on the value of certain citrus packing and processing equipment;

specifying requirements for such counties and jurisdictions in applying to participate in the distribution;

specifying the calculation of such reductions;

providing for a reversion of a share of funds if such county or jurisdiction fails to apply;

providing an appropriation;

amending s.

220.183, F.S.;

revising, at specified timeframes, the total amount of community contribution tax credits that may be granted;

amending s.

220.1845, F.S.;

increasing, for a specified fiscal year, the total amount of contaminated site rehabilitation tax credits;

amending s.

318.14, F.S.;

providing a specified reduction in civil penalty for persons who are cited for certain noncriminal traffic infractions and who elect to attend a certain driver improvement course;

deleting the requirement that a specified percentage of the civil penalty be deposited in the State Courts Revenue Trust Fund;

amending s.

318.15, F.S.;

conforming a provision to changes made by the act;

amending s.

320.08, F.S.;

revising a condition under which certain truck tractors and heavy trucks used for certain purposes are eligible for specified license plate fees;

amending s.

376.30781, F.S.;

increasing, for a specified fiscal year, the total amount of tax credits for the rehabilitation of drycleaning-solvent contaminated sites and brownfield sites in designated brownfield areas;

amending s.

624.5105, F.S.;

revising, at specified timeframes, the total amount of community contribution tax credits that may be granted;

amending s.

741.01, F.S.;

providing for a certain fee paid to the clerk of the circuit court for the issuance of a marriage license to be deposited into the State Courts Revenue Trust Fund rather than the General Revenue Fund;

providing sales tax exemptions for the retail sale of certain clothing and school supplies during a specified timeframe;

defining terms;

providing exceptions;

authorizing certain dealers to opt out of participating in such tax exemption;

providing requirements for such dealers;

authorizing the department to adopt emergency rules;

providing an appropriation;

providing a sales tax exemption for specified disaster preparedness supplies during a specified timeframe;

authorizing the department to adopt emergency rules;

authorizing the Department of Revenue to adopt emergency rules;

providing an expiration date;

providing ana effectivesales date.tax exemption, during a specified timeframe, for certain equipment used to generate emergency electric energy in nursing homes and assisted living facilities;

11requiring Bea Itpurchaser Enactedto byprovide thea Legislaturedealer ofwith thea Statespecified ofaffidavit; Florida:

13specifying Sectiona 1. Disasterlimit preparednessto tax exemption.— (1) The tax levied under chapter 212, Florida Statutes, may not be collected during the periodexemption; from 12:01 a.m.

onproviding Juneprocedures 1,and 2018,requirements throughfor 11:59filing p.m.applications for a refund of previously paid taxes;

onproviding Junepenalties 10,for 2018, on the salefurnishing of anyfalse ofaffidavits; the following:

providing rulemaking authority to the department;

providing construction;

providing retroactive operation;

providing a sales tax exemption for certain fencing materials used in agriculture during a specified timeframe;

providing procedures and requirements for filing applications for the refund of previously paid taxes;

providing penalties for the furnishing of false affidavits;

providing rulemaking authority to the department;

providing construction;

providing retroactive applicability;

providing a sales tax exemption for certain building materials used to repair nonresidential farm buildings and purchased during a specified timeframe;

defining terms;

providing procedures and requirements for filing applications for a refund of taxes previously paid;

providing penalties for the furnishing of false affidavits;

providing rulemaking authority to the department;

providing construction;

providing retroactive applicability;

providing an exemption from taxes on fuel used for agricultural shipment and purchased and used during a specified timeframe;

defining terms;

providing procedures and requirements for filing applications for a refund of previously paid taxes;

providing penalties for the furnishing of false affidavits;

providing applicability of a certain tax;

providing rulemaking authority to the department;

providing construction;

providing retroactive applicability;

amending s.

193.155, F.S.;

providing that an owner of homestead property that was significantly damaged or destroyed as a result of a named tropical storm or hurricane may elect to have such property deemed abandoned, for the purpose of receiving a certain assessment reduction, if the owner establishes a new homestead property by a specified date;

providing retroactive applicability;

amending s.

163.01, F.S.;

specifying the applicability of a certain tax exemption for property located within or outside the jurisdiction of specified legal entities created under the Florida Interlocal Cooperation Act of 1969;

amending s.

206.052, F.S.;

exempting certain terminal suppliers from paying the motor fuel tax under specified circumstances;

creating s.

206.9826, F.S.;

providing that certain air carriers are entitled to receive a specified refund on purchased aviation fuel;

specifying a limitation on such refund;

providing applicability;

providing an appropriation;

providing effective dates.

208 Be It Enacted by the Legislature of the State of Florida:

210 Section 1. Effective January 1, 2019, subsection (6) of section 28.241, Florida Statutes, is amended to read:

28.241 Filing fees for trial and appellate proceedings.— (6) From each attorney appearing pro hac vice, the clerk of the circuit court shall collect a fee of $100 for deposit into the State Courts Revenue Trust Fund General Revenue Fund.

Section 2. Section 159.621, Florida Statutes, is amended to read:

159.621 Housing bonds exempted from taxation;

notes and mortgages exempted from excise tax on documents.— (1) The bonds of a housing finance authority issued under this act, together with all notes, mortgages, security agreements, letters of credit, or other instruments which arise out of or are given to secure the repayment of bonds issued in connection with the financing of any housing development under this part, as well as the interest thereon and income therefrom, shall be exempt from all taxes.

(2) Any note or mortgage given in connection with a loan made by or on behalf of a housing finance authority under s.

159.608(8) is exempt from the excise tax on documents under chapter 201 if, at the time the note or mortgage is recorded, the housing finance authority records an affidavit signed by an agent of the housing authority which affirms that the loan was made by or on behalf of the housing finance authority.

The documentation must be in the form of an affidavit or letter from the housing finance authority and signed by the agent of the authority.

The affidavit or letter must be recorded with the mortgage.

239 The exemptions exemption granted by this section do not apply shall not be applicable to any tax imposed by chapter 220 on interest, income, or profits on debt obligations owned by corporations or to a deed for property financed by a housing finance authority.

Section 3. Effective upon this act becoming a law, section 193.0237, Florida Statutes, is created to read:

193.0237 Assessment of multiple parcel buildings.— (1) As used in this section, the term:

(a) “Multiple parcel building” means a building, other than a building consisting entirely of a single condominium, timeshare, or cooperative, which contains separate parcels that are vertically located, in whole or in part, on or over the same land.

(b) “Parcel” means a portion of a multiple parcel building which is identified in a recorded instrument by a legal description that is sufficient for record ownership and conveyance by deed separately from any other portion of the building.

(c) “Recorded instrument” means a declaration, covenant, easement, deed, plat, agreement, or other legal instrument, other than a lease, mortgage, or lien, which describes one or more parcels in a multiple parcel building and which is recorded in the public records of the county where the multiple parcel building is located.

(2) The value of land upon which a multiple parcel building is located, regardless of ownership, may not be separately assessed and must be allocated among and included in the just value of all the parcels in the multiple parcel building as provided in subsection (3).

(3) The property appraiser, for assessment purposes, must allocate all of the just value of the land among the parcels in a multiple parcel building in the same proportion that the just value of the improvements in each parcel bears to the total just value of all the improvements in the entire multiple parcel building.

(4) A condominium, timeshare, or cooperative may be created within a parcel in a multiple parcel building.

Any land value allocated to the just value of a parcel containing a condominium must be further allocated among the condominium units in that parcel in the manner required in s.

193.023(5).

Any land value allocated to the just value of a parcel containing a cooperative must be further allocated among the cooperative units in that parcel in the manner required in s.

719.114.

(5) Each parcel in a multiple parcel building must be assigned a separate tax folio number.

However, if a condominium or cooperative is created within any such parcel, a separate tax folio number must be assigned to each condominium unit or cooperative unit, rather than to the parcel in which it was created.

(6) All provisions of a recorded instrument affecting a parcel in a multiple parcel building, which parcel has been sold for taxes or special assessments, survive and are enforceable after the issuance of a tax deed or master’s deed, or upon foreclosure of an assessment, a certificate or lien, a tax deed, a tax certificate, or a tax lien, to the same extent that such provisions would be enforceable against a voluntary grantee of the title immediately before the delivery of the tax deed, master’s deed, or clerk’s certificate of title as provided in s.

197.573.

(7) This section applies to any land on which a multiple parcel building is substantially completed as of January 1 of the respective assessment year.

This section applies to assessments beginning in the 2018 calendar year.

Section 4. Section 193.4516, Florida Statutes, is created to read:

193.4516 Assessment of citrus fruit packing and processing equipment rendered unused due to Hurricane Irma or citrus greening.— (1) For purposes of ad valorem taxation, and applying to the 2018 tax roll only, tangible personal property owned and operated by a citrus fruit packing or processing facility is deemed to have a market value no greater than its value for salvage, provided the tangible personal property is no longer used in the operation of the facility due to the effects of Hurricane Irma or to citrus greening.

(2) As used in this section, the term “citrus” has the same meaning as provided in s.

581.011(7).

Section 5. The creation by this act of s.

193.4516, Florida Statutes, applies to the 2018 property tax roll.

Section 6. Subsection (8) is added to section 193.461, Florida Statutes, to read:

193.461 Agricultural lands;

classification and assessment;

mandated eradication or quarantine program.— (8) Lands classified for assessment purposes as agricultural lands, which are not being used for agricultural production due to a hurricane that made landfall in this state during calendar year 2017, must continue to be classified as agricultural lands for assessment purposes through December 31, 2022, unless the lands are converted to a nonagricultural use.

Lands converted to nonagricultural use are not covered by this subsection and must be assessed as otherwise provided by law.

Section 7. The amendment made by this act to s.

193.461, Florida Statutes, applies to the 2018 property tax roll.

Section 8. Subsection (2) of section 196.173, Florida Statutes, is amended to read:

196.173 Exemption for deployed servicemembers.— (2) The exemption is available to servicemembers who were deployed during the preceding calendar year on active duty outside the continental United States, Alaska, or Hawaii in support of any of the following military operations:

(a) Operation Joint Task Force Bravo, which began in 1995.

(b) Operation Joint Guardian, which began on June 12, 1999.

(c) Operation Noble Eagle, which began on September 15, 2001.

(d) Operation Enduring Freedom, which began on October 7, 2001, and ended on December 31, 2014.

(e) Operations in the Balkans, which began in 2004.

(f) Operation Nomad Shadow, which began in 2007.

(g) Operation U.S.

Airstrikes Al Qaeda in Somalia, which began in January 2007.

(h) Operation Copper Dune, which began in 2009.

(i) Operation Georgia Deployment Program, which began in August 2009.

(j) Operation New Dawn, which began on September 1, 2010, and ended on December 15, 2011.

(k) Operation Odyssey Dawn, which began on March 19, 2011, and ended on October 31, 2011.

(j)(l) Operation Spartan Shield, which began in June 2011.

(k)(m) Operation Observant Compass, which began in October 2011.

(l)(n) Operation Inherent Resolve, which began on August 8, 2014.

(m)(o) Operation Atlantic Resolve, which began in April 2014.

(n)(p) Operation Freedom’s Sentinel, which began on January 1, 2015.

(o)(q) Operation Resolute Support, which began in January 2015.

369 The Department of Revenue shall notify all property appraisers and tax collectors in this state of the designated military operations.

Section 9. Subsection (1) of section 196.24, Florida Statutes, is amended to read:

196.24 Exemption for disabled ex-servicemember or surviving spouse;

evidence of disability.— (1) Any ex-servicemember, as defined in s.

196.012, who is a bona fide resident of the state, who was discharged under honorable conditions, and who has been disabled to a degree of 10 percent or more by misfortune or while serving during a period of wartime service as defined in s.

1.01(14) is entitled to the exemption from taxation provided for in s.

3(b), Art.

VII of the State Constitution as provided in this section.

Property to the value of $5,000 of such a person is exempt from taxation.

The production by him or her of a certificate of disability from the United States Government or the United States Department of Veterans Affairs or its predecessor before the property appraiser of the county wherein the ex-servicemember’s property lies is prima facie evidence of the fact that he or she is entitled to the exemption.

The unremarried surviving spouse of such a disabled ex-servicemember who, on the date of the disabled ex-servicemember’s death, had been married to the disabled ex-servicemember for at least 5 years is also entitled to the exemption.

Section 10. Effective upon this act becoming a law, section 197.3631, Florida Statutes, is amended to read:

197.3631 Non-ad valorem assessments;

general provisions.— (1) Non-ad valorem assessments as defined in s.

197.3632 may be collected pursuant to the method provided for in ss.

197.3632 and 197.3635.

Non-ad valorem assessments may also be collected pursuant to any alternative method which is authorized by law, but such alternative method shall not require the tax collector or property appraiser to perform those services as provided for in ss.

197.3632 and 197.3635.

However, a property appraiser or tax collector may contract with a local government to supply information and services necessary for any such alternative method.

Section 197.3632 is additional authority for local governments to impose and collect non-ad valorem assessments supplemental to the home rule powers pursuant to ss.

125.01 and 166.021 and chapter 170, or any other law.

Any county operating under a charter adopted pursuant to s.

11, Art.

VIII of the Constitution of 1885, as amended, as referred to in s.

6(e), Art.

VIII of the Constitution of 1968, as amended, may use any method authorized by law for imposing and collecting non-ad valorem assessments.

(2) For non-ad valorem special assessments based on the size or area of the land containing a multiple parcel building, regardless of ownership, the special assessment must be levied on and allocated among all the parcels in the multiple parcel building on the same basis that the land value is allocated among the parcels in s.

193.0237(3).

For non-ad valorem assessments not based on the size or area of the land, each parcel in the multiple parcel building shall be subject to a separate assessment.

For purposes of this subsection, the terms “multiple parcel building” and “parcel” have the meanings as provided in s.

193.0237(1).

Section 11. Effective upon this act becoming a law, section 197.572, Florida Statutes, is amended to read:

197.572 Easements for conservation purposes, or for public service purposes, support of certain improvements, or for drainage or ingress and egress survive tax sales and deeds.—When any lands are sold for the nonpayment of taxes, or any tax certificate is issued thereon by a governmental unit or agency or pursuant to any tax lien foreclosure proceeding, the title to the lands shall continue to be subject to any easement for conservation purposes as provided in s.

704.06 or for telephone, telegraph, pipeline, power transmission, or other public service purpose;

and shall continue to be subject to any easement that supports improvements that may be constructed above the lands;

and any easement for the purposes of drainage or of ingress and egress to and from other land.

The easement and the rights of the owner of it shall survive and be enforceable after the execution, delivery, and recording of a tax deed, a master’s deed, or a clerk’s certificate of title pursuant to foreclosure of a tax deed, tax certificate, or tax lien, to the same extent as though the land had been conveyed by voluntary deed.

The easement must be evidenced by written instrument recorded in the office of the clerk of the circuit court in the county where such land is located before the recording of such tax deed or master’s deed, or, if not recorded, an easement for a public service purpose must be evidenced by wires, poles, or other visible occupation, an easement for drainage must be evidenced by a waterway, water bed, or other visible occupation, and an easement for the purpose of ingress and egress must be evidenced by a road or other visible occupation to be entitled to the benefit of this section;

however, this shall apply only to tax deeds issued after the effective date of this act.

Section 12. Effective upon this act becoming a law, subsections (1) and (2) of section 197.573, Florida Statutes, are amended to read:

197.573 Survival of restrictions and covenants after tax sale.— (1) When a deed or other recorded instrument in the chain of title contains restrictions and covenants running with the land, as hereinafter defined and limited, the restrictions and covenants shall survive and be enforceable after the issuance of a tax deed or master’s deed, or a clerk’s certificate of title upon foreclosure of a tax deed, tax certificate, or tax lien, to the same extent that it would be enforceable against a voluntary grantee of the owner of the title immediately before the delivery of the tax deed, master’s deed, or clerk’s certificate of title.

(2) This section applies shall apply to the usual restrictions and covenants limiting the use of property;

the type, character and location of building;

covenants against nuisances and what the former parties deemed to be undesirable conditions, in, upon, and about the property;

and other similar restrictions and covenants;

but this section does shall not protect covenants that:

(a) Create creating any debt or lien against or upon the property, except one providing for satisfaction or survival of a lien of record held by a municipal or county governmental unit, or one providing a lien for assessments accruing after such tax deed, master’s deed, or clerk’s certificate of title to a condominium association, homeowners’ association, property owners’ association, or person having assessment powers under such covenants;

or (b) Require requiring the grantee to expend money for any purpose, except one that may require that the premises be kept in a sanitary or sightly condition or one to abate nuisances or undesirable conditions.

Section 13. Subsection (7) of section 201.02, Florida Statutes, is amended to read:

201.02 Tax on deeds and other instruments relating to real property or interests in real property.— (7) Taxes imposed by this section do not apply to:

(a) A deed, transfer, or conveyance between spouses or former spouses pursuant to an action for dissolution of their marriage wherein the real property is or was their marital home or an interest therein.

Taxes paid pursuant to this section shall be refunded in those cases in which a deed, transfer, or conveyance occurred 1 year before a dissolution of marriage.

This paragraph subsection applies in spite of any consideration as defined in subsection (1).

This paragraph subsection does not apply to a deed, transfer, or conveyance executed before July 1, 1997.

(b) A deed or other instrument that transfers or conveys homestead property or any interest in homestead property between spouses, if the only consideration for the transfer or conveyance is the amount of a mortgage or other lien encumbering the homestead property at the time of the transfer or conveyance and if the deed or other instrument is recorded within 1 year after the date of the marriage.

This paragraph applies to transfers or conveyances from one spouse to another, from one spouse to both spouses, or from both spouses to one spouse.

For the purpose of this paragraph, the term “homestead property” has the same meaning as the term “homestead” as defined in s.

192.001.

Section 14. Section 201.25, Florida Statutes, is created to read:

201.25 Tax exemptions for certain loans.—There shall be exempt from all taxes imposed by this chapter:

(1) Any loan made by the Florida Small Business Emergency Bridge Loan Program in response to a disaster that results in a state of emergency declared by executive order or proclamation of the Governor pursuant to s.

252.36.

(2) Any loan made by the Agricultural Economic Development Program pursuant to s.

570.82.

Section 15. Subsections (3) and (8) of section 206.9952, Florida Statutes, are amended to read:

206.9952 Application for license as a natural gas fuel retailer.— (3)(a) Any person who acts as a natural gas retailer and does not hold a valid natural gas fuel retailer license shall pay a penalty of $200 for each month of operation without a license.

This paragraph expires December 31, 2023 2018.

(b) Effective January 1, 2024 2019, any person who acts as a natural gas fuel retailer and does not hold a valid natural gas fuel retailer license shall pay a penalty of 25 percent of the tax assessed on the total purchases made during the unlicensed period.

(8) With the exception of a state or federal agency or a political subdivision licensed under this chapter, each person, as defined in this part, who operates as a natural gas fuel retailer shall report monthly to the department and pay a tax on all natural gas fuel purchases beginning January 1, 2024 2019.

Section 16. Subsection (2) of section 206.9955, Florida Statutes, is amended to read:

206.9955 Levy of natural gas fuel tax.— (2) Effective January 1, 2024 2019, the following taxes shall be imposed:

(a) An excise tax of 4 cents upon each motor fuel equivalent gallon of natural gas fuel.

(b) An additional tax of 1 cent upon each motor fuel equivalent gallon of natural gas fuel, which is designated as the “ninth-cent fuel tax.” (c) An additional tax of 1 cent on each motor fuel equivalent gallon of natural gas fuel by each county, which is designated as the “local option fuel tax.” (d) An additional tax on each motor fuel equivalent gallon of natural gas fuel, which is designated as the “State Comprehensive Enhanced Transportation System Tax,” at a rate determined pursuant to this paragraph.

Before January 1, 2024, and each year thereafter Each calendar year, the department shall determine the tax rate applicable to the sale of natural gas fuel for the following 12-month period beginning January 1, rounded to the nearest tenth of a cent, by adjusting the initially established tax rate of 5.8 cents per gallon by the percentage change in the average of the Consumer Price Index issued by the United States Department of Labor for the most recent 12-month period ending September 30, compared to the base year average, which is the average for the 12-month period ending September 30, 2013.

(e)1. An additional tax is imposed on each motor fuel equivalent gallon of natural gas fuel for the privilege of selling natural gas fuel.

Before January 1, 2024, and each year thereafter Each calendar year, the department shall determine the tax rate applicable to the sale of natural gas fuel, rounded to the nearest tenth of a cent, for the following 12-month period beginning January 1,.

The tax rate is calculated by adjusting the initially established tax rate of 9.2 cents per gallon by the percentage change in the average of the Consumer Price Index issued by the United States Department of Labor for the most recent 12-month period ending September 30, compared to the base year average, which is the average for the 12-month period ending September 30, 2013.

2. The department is authorized to adopt rules and publish forms to administer this paragraph.

Section 17. Subsection (1) of section 206.996, Florida Statutes, is amended to read:

206.996 Monthly reports by natural gas fuel retailers;

deductions.— (1) For the purpose of determining the amount of taxes imposed by s.

206.9955, each natural gas fuel retailer shall file beginning with February 2024 2019, and each month thereafter, no later than the 20th day of each month, monthly reports electronically with the department showing information on inventory, purchases, nontaxable disposals, taxable uses, and taxable sales in gallons of natural gas fuel for the preceding month.

However, if the 20th day of the month falls on a Saturday, Sunday, or federal or state legal holiday, a return must be accepted if it is electronically filed on the next succeeding business day.

The reports must include, or be verified by, a written declaration stating that such report is made under the penalties of perjury.

The natural gas fuel retailer shall deduct from the amount of taxes shown by the report to be payable an amount equivalent to 0.67 percent of the taxes on natural gas fuel imposed by s.

206.9955(2)(a) and (e), which deduction is allowed to the natural gas fuel retailer to compensate it for services rendered and expenses incurred in complying with the requirements of this part.

This allowance is not deductible unless payment of applicable taxes is made on or before the 20th day of the month.

This subsection may not be construed as authorizing a deduction from the constitutional fuel tax or the fuel sales tax.

Section 18. Section 210.205, Florida Statutes, is created to read:

210.205 Cigarette tax distribution reporting.—By March 15 of each year, each entity that received a distribution pursuant to s.

210.20(2)(b) in the preceding calendar year shall report to the Office of Economic and Demographic Research the following information:

(1) An itemized accounting of all expenditures of the funds distributed in the preceding calendar year, including amounts spent on debt service.

(2) A statement indicating what portion of the distributed funds have been pledged for debt service.

(3) The original principal amount and current debt service schedule of any bonds or other borrowing for which the distributed funds have been pledged for debt service.

Section 19. Effective January 1, 2019, paragraphs (c) and (d) of subsection (1) of section 212.031, Florida Statutes, are amended to read:

212.031 Tax on rental or license fee for use of real property.— (1) (c) For the exercise of such privilege, a tax is levied at the rate of 5.7 5.8 percent of and on the total rent or license fee charged for such real property by the person charging or collecting the rental or license fee.

The total rent or license fee charged for such real property shall include payments for the granting of a privilege to use or occupy real property for any purpose and shall include base rent, percentage rents, or similar charges.

Such charges shall be included in the total rent or license fee subject to tax under this section whether or not they can be attributed to the ability of the lessor’s or licensor’s property as used or operated to attract customers.

Payments for intrinsically valuable personal property such as franchises, trademarks, service marks, logos, or patents are not subject to tax under this section.

In the case of a contractual arrangement that provides for both payments taxable as total rent or license fee and payments not subject to tax, the tax shall be based on a reasonable allocation of such payments and shall not apply to that portion which is for the nontaxable payments.

(d) When the rental or license fee of any such real property is paid by way of property, goods, wares, merchandise, services, or other thing of value, the tax shall be at the rate of 5.7 5.8 percent of the value of the property, goods, wares, merchandise, services, or other thing of value.

Section 20. Paragraph (d) of subsection (2) of section 212.055, Florida Statutes, is amended to read:

212.055 Discretionary sales surtaxes;

legislative intent;

authorization and use of proceeds.—It is the legislative intent that any authorization for imposition of a discretionary sales surtax shall be published in the Florida Statutes as a subsection of this section, irrespective of the duration of the levy.

Each enactment shall specify the types of counties authorized to levy;

the rate or rates which may be imposed;

the maximum length of time the surtax may be imposed, if any;

the procedure which must be followed to secure voter approval, if required;

the purpose for which the proceeds may be expended;

and such other requirements as the Legislature may provide.

Taxable transactions and administrative procedures shall be as provided in s.

212.054.

(2) LOCAL GOVERNMENT INFRASTRUCTURE SURTAX.— (d) The proceeds of the surtax authorized by this subsection and any accrued interest shall be expended by the school district, within the county and municipalities within the county, or, in the case of a negotiated joint county agreement, within another county, to finance, plan, and construct infrastructure;

to acquire any interest in land for public recreation, conservation, or protection of natural resources or to prevent or satisfy private property rights claims resulting from limitations imposed by the designation of an area of critical state concern;

to provide loans, grants, or rebates to residential or commercial property owners who make energy efficiency improvements to their residential or commercial property, if a local government ordinance authorizing such use is approved by referendum;

or to finance the closure of county owned or municipally owned solid waste landfills that have been closed or are required to be closed by order of the Department of Environmental Protection.

Any use of the proceeds or interest for purposes of landfill closure before July 1, 1993, is ratified.

The proceeds and any interest may not be used for the operational expenses of infrastructure, except that a county that has a population of fewer than 75,000 and that is required to close a landfill may use the proceeds or interest for long term maintenance costs associated with landfill closure.

Counties, as defined in s.

125.011, and charter counties may, in addition, use the proceeds or interest to retire or service indebtedness incurred for bonds issued before July 1, 1987, for infrastructure purposes, and for bonds subsequently issued to refund such bonds.

Any use of the proceeds or interest for purposes of retiring or servicing indebtedness incurred for refunding bonds before July 1, 1999, is ratified.

1. For the purposes of this paragraph, the term “infrastructure” means:

a. Any fixed capital expenditure or fixed capital outlay associated with the construction, reconstruction, or improvement of public facilities that have a life expectancy of 5 or more years, any related land acquisition, land improvement, design, and engineering costs, and all other professional and related costs required to bring the public facilities into service.

For purposes of this sub-subparagraph, the term “public facilities” means facilities as defined in s.

163.3164(38), s.

163.3221(13), or s.

189.012(5), and includes facilities that are necessary to carry out governmental purposes, including, but not limited to, fire stations, general governmental office buildings, and animal shelters, regardless of whether the facilities are owned by the local taxing authority or another governmental entity.

b. A fire department vehicle, an emergency medical service vehicle, a sheriff’s office vehicle, a police department vehicle, or any other vehicle, and the equipment necessary to outfit the vehicle for its official use or equipment that has a life expectancy of at least 5 years.

c. Any expenditure for the construction, lease, or maintenance of, or provision of utilities or security for, facilities, as defined in s.

29.008.

d. Any fixed capital expenditure or fixed capital outlay associated with the improvement of private facilities that have a life expectancy of 5 or more years and that the owner agrees to make available for use on a temporary basis as needed by a local government as a public emergency shelter or a staging area for emergency response equipment during an emergency officially declared by the state or by the local government under s.

252.38.

Such improvements are limited to those necessary to comply with current standards for public emergency evacuation shelters.

The owner must enter into a written contract with the local government providing the improvement funding to make the private facility available to the public for purposes of emergency shelter at no cost to the local government for a minimum of 10 years after completion of the improvement, with the provision that the obligation will transfer to any subsequent owner until the end of the minimum period.

e. Any land acquisition expenditure for a residential housing project in which at least 30 percent of the units are affordable to individuals or families whose total annual household income does not exceed 120 percent of the area median income adjusted for household size, if the land is owned by a local government or by a special district that enters into a written agreement with the local government to provide such housing.

The local government or special district may enter into a ground lease with a public or private person or entity for nominal or other consideration for the construction of the residential housing project on land acquired pursuant to this sub-subparagraph.

f. Instructional technology used solely in a school district’s classrooms.

As used in this sub-subparagraph, the term “instructional technology” means an interactive device that assists a teacher in instructing a class or a group of students, and includes the necessary hardware and software to operate the interactive device.

The term also includes support systems in which an interactive device may mount and is not required to be affixed to the facilities.

2. For the purposes of this paragraph, the term “energy efficiency improvement” means any energy conservation and efficiency improvement that reduces consumption through conservation or a more efficient use of electricity, natural gas, propane, or other forms of energy on the property, including, but not limited to, air sealing;

installation of insulation;

installation of energy-efficient heating, cooling, or ventilation systems;

installation of solar panels;

building modifications to increase the use of daylight or shade;

replacement of windows;

installation of energy controls or energy recovery systems;

installation of electric vehicle charging equipment;

installation of systems for natural gas fuel as defined in s.

206.9951;

and installation of efficient lighting equipment.

3. Notwithstanding any other provision of this subsection, a local government infrastructure surtax imposed or extended after July 1, 1998, may allocate up to 15 percent of the surtax proceeds for deposit into a trust fund within the county’s accounts created for the purpose of funding economic development projects having a general public purpose of improving local economies, including the funding of operational costs and incentives related to economic development.

The ballot statement must indicate the intention to make an allocation under the authority of this subparagraph.

Section 21. Paragraph (p) of subsection (5) and paragraphs (p) and (ff) of subsection (7) of section 212.08, Florida Statutes, are amended, and paragraph (ooo) is added to subsection (7) of that section, to read:

212.08 Sales, rental, use, consumption, distribution, and storage tax;

specified exemptions.—The sale at retail, the rental, the use, the consumption, the distribution, and the storage to be used or consumed in this state of the following are hereby specifically exempt from the tax imposed by this chapter.

(5) EXEMPTIONS;

ACCOUNT OF USE.— (p) Community contribution tax credit for donations.— 1. Authorization.—Persons who are registered with the department under s.

212.18 to collect or remit sales or use tax and who make donations to eligible sponsors are eligible for tax credits against their state sales and use tax liabilities as provided in this paragraph:

a. The credit shall be computed as 50 percent of the person’s approved annual community contribution.

b. The credit shall be granted as a refund against state sales and use taxes reported on returns and remitted in the 12 months preceding the date of application to the department for the credit as required in sub-subparagraph 3.c.

If the annual credit is not fully used through such refund because of insufficient tax payments during the applicable 12-month period, the unused amount may be included in an application for a refund made pursuant to sub-subparagraph 3.c.

in subsequent years against the total tax payments made for such year.

Carryover credits may be applied for a 3-year period without regard to any time limitation that would otherwise apply under s.

215.26.

c. A person may not receive more than $200,000 in annual tax credits for all approved community contributions made in any one year.

d. All proposals for the granting of the tax credit require the prior approval of the Department of Economic Opportunity.

e. The total amount of tax credits which may be granted for all programs approved under this paragraph, s.

220.183, and s.

624.5105 is $10.5 million in the 2018-2019 fiscal year, $17 million $21.4 million in the 2019-2020 2017-2018 fiscal year, and $10.5 million in each fiscal year thereafter for projects that provide housing opportunities for persons with special needs or homeownership opportunities for low-income households or very-low-income households and $3.5 million each fiscal year for all other projects.

As used in this paragraph, the term “person with special needs” has the same meaning as in s.

420.0004 and the terms “low-income person,” “low-income household,” “very-low-income person,” and “very-low-income household” have the same meanings as in s.

420.9071.

f. A person who is eligible to receive the credit provided in this paragraph, s.

220.183, or s.

624.5105 may receive the credit only under one section of the person’s choice.

2. Eligibility requirements.— a. A community contribution by a person must be in the following form:

(I) Cash or other liquid assets;

(II) Real property, including 100 percent ownership of a real property holding company;

(III) Goods or inventory;

or (IV) Other physical resources identified by the Department of Economic Opportunity.

850 For purposes of this sub-subparagraph, the term “real property holding company” means a Florida entity, such as a Florida limited liability company, that is wholly owned by the person;

is the sole owner of real property, as defined in s.

192.001(12), located in the state;

is disregarded as an entity for federal income tax purposes pursuant to 26 C.F.R.

s.

301.7701-3(b)(1)(ii);

and at the time of contribution to an eligible sponsor, has no material assets other than the real property and any other property that qualifies as a community contribution.

b. All community contributions must be reserved exclusively for use in a project.

As used in this sub-subparagraph, the term “project” means activity undertaken by an eligible sponsor which is designed to construct, improve, or substantially rehabilitate housing that is affordable to low-income households or very-low income households;

designed to provide housing opportunities for persons with special needs;

designed to provide commercial, industrial, or public resources and facilities;

or designed to improve entrepreneurial and job-development opportunities for low-income persons.

A project may be the investment necessary to increase access to high-speed broadband capability in a rural community that had an enterprise zone designated pursuant to chapter 290 as of May 1, 2015, including projects that result in improvements to communications assets that are owned by a business.

A project may include the provision of museum educational programs and materials that are directly related to a project approved between January 1, 1996, and December 31, 1999, and located in an area which was in an enterprise zone designated pursuant to s.

290.0065 as of May 1, 2015.

This paragraph does not preclude projects that propose to construct or rehabilitate housing for low-income households or very-low income households on scattered sites or housing opportunities for persons with special needs.

With respect to housing, contributions may be used to pay the following eligible special needs, low-income, and very-low-income housing-related activities:

(I) Project development impact and management fees for special needs, low-income, or very-low-income housing projects;

(II) Down payment and closing costs for persons with special needs, low-income persons, and very-low-income persons;

(III) Administrative costs, including housing counseling and marketing fees, not to exceed 10 percent of the community contribution, directly related to special needs, low-income, or very-low-income projects;

and (IV) Removal of liens recorded against residential property by municipal, county, or special district local governments if satisfaction of the lien is a necessary precedent to the transfer of the property to a low-income person or very-low income person for the purpose of promoting home ownership.

Contributions for lien removal must be received from a nonrelated third party.

c. The project must be undertaken by an “eligible sponsor,” which includes:

(I) A community action program;

(II) A nonprofit community-based development organization whose mission is the provision of housing for persons with specials needs, low-income households, or very-low-income households or increasing entrepreneurial and job-development opportunities for low-income persons;

(III) A neighborhood housing services corporation;

(IV) A local housing authority created under chapter 421;

(V) A community redevelopment agency created under s.

163.356;

(VI) A historic preservation district agency or organization;

(VII) A local workforce development board;

(VIII) A direct-support organization as provided in s.

1009.983;

(IX) An enterprise zone development agency created under s.

290.0056;

(X) A community-based organization incorporated under chapter 617 which is recognized as educational, charitable, or scientific pursuant to s.

501(c)(3) of the Internal Revenue Code and whose bylaws and articles of incorporation include affordable housing, economic development, or community development as the primary mission of the corporation;

(XI) Units of local government;

(XII) Units of state government;

or (XIII) Any other agency that the Department of Economic Opportunity designates by rule.

931 A contributing person may not have a financial interest in the eligible sponsor.

d. The project must be located in an area which was in an enterprise zone designated pursuant to chapter 290 as of May 1, 2015, or a Front Porch Florida Community, unless the project increases access to high-speed broadband capability in a rural community that had an enterprise zone designated pursuant to chapter 290 as of May 1, 2015, but is physically located outside the designated rural zone boundaries.

Any project designed to construct or rehabilitate housing for low-income households or very-low-income households or housing opportunities for persons with special needs is exempt from the area requirement of this sub-subparagraph.

e.(I) If, during the first 10 business days of the state fiscal year, eligible tax credit applications for projects that provide housing opportunities for persons with special needs or homeownership opportunities for low-income households or very low-income households are received for less than the annual tax credits available for those projects, the Department of Economic Opportunity shall grant tax credits for those applications and grant remaining tax credits on a first-come, first-served basis for subsequent eligible applications received before the end of the state fiscal year.

If, during the first 10 business days of the state fiscal year, eligible tax credit applications for projects that provide housing opportunities for persons with special needs or homeownership opportunities for low-income households or very-low-income households are received for more than the annual tax credits available for those projects, the Department of Economic Opportunity shall grant the tax credits for those applications as follows:

(A) If tax credit applications submitted for approved projects of an eligible sponsor do not exceed $200,000 in total, the credits shall be granted in full if the tax credit applications are approved.

(B) If tax credit applications submitted for approved projects of an eligible sponsor exceed $200,000 in total, the amount of tax credits granted pursuant to sub-sub-sub subparagraph (A) shall be subtracted from the amount of available tax credits, and the remaining credits shall be granted to each approved tax credit application on a pro rata basis.

(II) If, during the first 10 business days of the state fiscal year, eligible tax credit applications for projects other than those that provide housing opportunities for persons with special needs or homeownership opportunities for low-income households or very-low-income households are received for less than the annual tax credits available for those projects, the Department of Economic Opportunity shall grant tax credits for those applications and shall grant remaining tax credits on a first-come, first-served basis for subsequent eligible applications received before the end of the state fiscal year.

If, during the first 10 business days of the state fiscal year, eligible tax credit applications for projects other than those that provide housing opportunities for persons with special needs or homeownership opportunities for low-income households or very-low-income households are received for more than the annual tax credits available for those projects, the Department of Economic Opportunity shall grant the tax credits for those applications on a pro rata basis.

3. Application requirements.— a. An eligible sponsor seeking to participate in this program must submit a proposal to the Department of Economic Opportunity which sets forth the name of the sponsor, a description of the project, and the area in which the project is located, together with such supporting information as is prescribed by rule.

The proposal must also contain a resolution from the local governmental unit in which the project is located certifying that the project is consistent with local plans and regulations.

b. A person seeking to participate in this program must submit an application for tax credit to the Department of Economic Opportunity which sets forth the name of the sponsor, a description of the project, and the type, value, and purpose of the contribution.

The sponsor shall verify, in writing, the terms of the application and indicate its receipt of the contribution, and such verification must accompany the application for tax credit.

The person must submit a separate tax credit application to the Department of Economic Opportunity for each individual contribution that it makes to each individual project.

c. A person who has received notification from the Department of Economic Opportunity that a tax credit has been approved must apply to the department to receive the refund.

Application must be made on the form prescribed for claiming refunds of sales and use taxes and be accompanied by a copy of the notification.

A person may submit only one application for refund to the department within a 12-month period.

4. Administration.— a. The Department of Economic Opportunity may adopt rules necessary to administer this paragraph, including rules for the approval or disapproval of proposals by a person.

b. The decision of the Department of Economic Opportunity must be in writing, and, if approved, the notification shall state the maximum credit allowable to the person.

Upon approval, the Department of Economic Opportunity shall transmit a copy of the decision to the department.

c. The Department of Economic Opportunity shall periodically monitor all projects in a manner consistent with available resources to ensure that resources are used in accordance with this paragraph;

however, each project must be reviewed at least once every 2 years.

d. The Department of Economic Opportunity shall, in consultation with the statewide and regional housing and financial intermediaries, market the availability of the community contribution tax credit program to community-based organizations.

(7) MISCELLANEOUS EXEMPTIONS.—Exemptions provided to any entity by this chapter do not inure to any transaction that is otherwise taxable under this chapter when payment is made by a representative or employee of the entity by any means, including, but not limited to, cash, check, or credit card, even when that representative or employee is subsequently reimbursed by the entity.

In addition, exemptions provided to any entity by this subsection do not inure to any transaction that is otherwise taxable under this chapter unless the entity has obtained a sales tax exemption certificate from the department or the entity obtains or provides other documentation as required by the department.

Eligible purchases or leases made with such a certificate must be in strict compliance with this subsection and departmental rules, and any person who makes an exempt purchase with a certificate that is not in strict compliance with this subsection and the rules is liable for and shall pay the tax.

The department may adopt rules to administer this subsection.

(p) Section 501(c)(3) organizations.— 1. Also Exempt from the tax imposed by this chapter are sales or leases to organizations determined by the Internal Revenue Service to be currently exempt from federal income tax pursuant to s.

501(c)(3) of the Internal Revenue Code of 1986, as amended, if such leases or purchases are used in carrying on their customary nonprofit activities, unless such organizations are subject to a final disqualification order issued by the Department of Agriculture and Consumer Services pursuant to s.

496.430.

2. Exempt from the tax imposed by this chapter is tangible personal property purchased for resale by a dealer and subsequently donated to an organization determined by the Internal Revenue Service to be currently exempt from federal income tax pursuant to s.

501(c)(3) of the Internal Revenue Code of 1986, as amended, unless such organization is subject to a final disqualification order issued by the Department of Agriculture and Consumer Services pursuant to s.

496.430.

As used in this subparagraph, the term “donate” means any transfer of title or possession of tangible personal property to a s.

501(c)(3) organization for no consideration.