Bill Text: FL H1461 | 2010 | Regular Session | Introduced

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Bill Title: Energy Economic Zones

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2010-04-30 - Died in Committee on Energy & Utilities Policy (GGPC) [H1461 Detail]

Download: Florida-2010-H1461-Introduced.html

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HB 1461

1	A bill to be entitled
2	An act relating to energy economic zones; amending s.
3	377.809, F.S.; authorizing specified tax credits and other
4	incentives for pilot energy economic zone communities;
5	providing requirements for the provision of such
6	incentives; providing that designated energy economic
7	zones shall be considered transportation concurrency
8	exception areas; providing requirements for the
9	calculation of land required to accommodate anticipated
10	growth for specified purposes; defining the term "clean
11	technology industries and technologies"; requiring pilot
12	communities to work with certain agencies to test
13	specified methods to promote energy-efficient land use;
14	amending s. 212.08, F.S.; providing definitions; exempting
15	specified building materials used in the construction or
16	rehabilitation of energy-efficient structures from certain
17	sales, rental, use, consumption, distribution, and storage
18	taxes; exempting specified real property located in an
19	energy economic zone from certain sales, rental, use,
20	consumption, distribution, and storage taxes; exempting
21	clean technology and manufacturing products used in energy
22	economic zones from certain taxes; providing an effective
23	date.
24
25	Be It Enacted by the Legislature of the State of Florida:
26
27	Section 1. Subsections (5) through (8) are added to
28	section 377.809, Florida Statutes, to read:
29	377.809 Energy Economic Zone Pilot Program.-
30	(5) Based on findings of the designated energy economic
31	zone pilot communities as to incentives that may be desirable
32	pursuant to subsection (3), the state incentives in paragraphs
33	(a)-(d) may be offered by the pilot communities, by ordinance,
34	to cultivate green economic development, encourage renewable
35	electric energy generation, manufacture products that contribute
36	to energy conservation and green jobs, develop energy-efficient
37	land use patterns, and reduce greenhouse gas emissions. In order
38	for such incentives to be provided, the pilot community must
39	designate the energy economic zone by amendment to the future
40	land use map portion of the comprehensive plan and implementing
41	land development regulations and must certify to the Department
42	of Community Affairs and the Office of Tourism, Trade, and
43	Economic Development that the pilot community's developments are
44	eligible to receive the incentives.
45	(a) The jobs credit provided under s. 220.181 for
46	enterprise zones shall apply to pilot energy economic zones for
47	renewable energy manufacturers, zero-emission vehicle
48	manufacturers and assemblers, and other such industries that
49	contribute to energy conservation and the reduction of
50	greenhouse gas emissions, as approved by the governing body with
51	jurisdiction over the designated energy economic zone, which are
52	expanding production activity through increased employment.
53	(b) The property tax credit provided under s. 220.182 for
54	enterprise zones shall apply to pilot energy economic zones for
55	eligible clean technology industries and technologies, pursuant
56	to subsection (7), and as approved by the governing body with
57	jurisdiction of the energy economic zone.
58	(c) The jobs credit against the sales tax provided under
59	s. 212.096 for enterprise zones shall apply to pilot energy
60	economic zones for businesses that meet the eligibility criteria
61	set forth in s. 212.08(5)(q) and (r) and (7)(ggg).
62	(d) All other statutory reporting and accountability
63	requirements relating to the incentives under this subsection
64	shall also apply to energy economic zones.
65	(6) The following provisions apply to designated energy
66	economic zones:
67	(a) Designated energy economic zones shall be considered
68	transportation concurrency exception areas. Development within
69	and consistent with designated energy economic zones are exempt
70	from review under s. 380.06.
71	(b) Density and intensity bonuses for energy-efficient
72	developments within the designated energy economic zones shall
73	not be calculated as part of the amount of land required to
74	accommodate anticipated growth for the purposes of chapter 163.
75	(7) For purposes of energy economic zone eligibility
76	criteria for the exemptions provided in subsection (5), the term
77	"clean technology industries and technologies" includes a
78	diverse range of products, services, and processes that harness
79	renewable materials and energy sources and significantly reduce
80	the use of natural resources, greenhouse gas emissions, and
81	waste. Such products, services, and processes shall include, but
82	are not limited to:
83	(a) Clean transportation technologies such as advanced
84	battery storage, electro propulsion, fuel cells, hybrid-electric
85	and solar-powered vehicles, and stirling engines.
86	(b) Clean energy technologies such as biofuels, fuel
87	cells, microturbines, photovoltaics, small-scale hydroelectric,
88	wind power, and energy efficiency.
89	(c) Clean materials such as biomass materials,
90	biomemetics, green buildings, green chemistry, and
91	phytoremediation.
92	(d) Clean water industries such as biological water
93	filtration, decentralized filtration systems, small-scale
94	desalination, ultraviolet purification, and wetlands
95	restoration.
96	(8) The pilot communities shall work with water management
97	districts, the Department of Community Affairs, the Department
98	of Environmental Protection, the Department of Health, and other
99	appropriate state agencies to test sub-basin modeling and
100	management, credit systems, and use of green infrastructure
101	within the designated energy economic zones as methods to
102	promote energy-efficient land use.
103	Section 2. Paragraphs (q) and (r) are added to subsection
104	(5) of section 212.08, Florida Statutes, and paragraph (ggg) is
105	added to subsection (7) of that section, to read:
106	212.08 Sales, rental, use, consumption, distribution, and
107	storage tax; specified exemptions.-The sale at retail, the
108	rental, the use, the consumption, the distribution, and the
109	storage to be used or consumed in this state of the following
110	are hereby specifically exempt from the tax imposed by this
111	chapter.
112	(5) EXEMPTIONS; ACCOUNT OF USE.-
113	(q) Building materials used in the construction or
114	rehabilitation of energy-efficient structures of real property
115	located in an energy economic zone.-
116	1. Building materials used in the construction or
117	rehabilitation of real property located in an energy economic
118	zone shall be exempt from taxes imposed by this chapter upon an
119	affirmative showing to the satisfaction of the department that
120	the materials have been used for energy-efficient structures
121	located in a designated energy economic zone. Except as provided
122	in subparagraph 2., this exemption inures to the owner, lessee,
123	or lessor of the real property located in an energy economic
124	zone only through a refund of previously paid taxes. To receive
125	a refund pursuant to this paragraph, the owner, lessee, or
126	lessor of the real property located in an energy economic zone
127	must file an application under oath with the governing body of
128	the local government having jurisdiction over the energy
129	economic zone where the business is located, as applicable,
130	which includes:
131	a. The name and address of the person claiming the refund.
132	b. An address and assessment roll parcel number of the
133	real property in an energy economic zone for which a refund of
134	previously paid taxes is being sought.
135	c. A description of the materials and energy-efficient
136	construction utilized to construct or rehabilitate an energy-
137	efficient structure.
138	d. A copy of the building permit issued for the
139	construction of the real property.
140	e. A sworn statement, under the penalty of perjury, from
141	the general contractor licensed in this state with whom the
142	applicant contracted to accomplish the energy-efficient
143	construction or rehabilitation of the real property, which
144	statement lists the building materials used, the actual cost of
145	the building materials, and the amount of sales tax paid in this
146	state on the building materials. In the event that a general
147	contractor has not been used, the applicant shall provide this
148	information in a sworn statement, under the penalty of perjury.
149	f. The identification of the energy economic zone in which
150	the energy-efficient structure constructed or rehabilitated is
151	located.
152	g. A certification by the local building code inspector
153	that the improvements necessary to accomplish the construction
154	or rehabilitation of the real property are substantially
155	completed.
156	h. Whether the business is a small business as defined in
157	s. 288.703(1).
158	i. If applicable, the name and address of each permanent
159	employee of the business, indicating those employees who reside
160	in the energy economic zone.
161	2. This exemption inures to a city, county, other
162	governmental agency, or nonprofit community-based organization
163	through a refund of previously paid taxes if the building
164	materials used in the construction or rehabilitation of real
165	property located in an energy economic zone are paid for from
166	the funds of a community development block grant, State Housing
167	Initiatives Partnership Program, or similar grant or loan
168	program. To receive a refund pursuant to this paragraph, a city,
169	county, other governmental agency, or nonprofit community-based
170	organization must file an application that includes the same
171	information required to be provided in subparagraph 1. by an
172	owner, lessee, or lessor of rehabilitated real property. In
173	addition, the application must include a sworn statement signed
174	by the chief executive officer of the city, county, other
175	governmental agency, or nonprofit community-based organization
176	seeking a refund which states that the building materials for
177	which a refund is sought were paid for from the funds of a
178	community development block grant, State Housing Initiatives
179	Partnership Program, or similar grant or loan program.
180	3. Within 10 working days after receipt of an application,
181	the governing body or designee of the energy economic zone shall
182	review the application to determine if it contains all the
183	information required pursuant to subparagraph 1. or subparagraph
184	2. and meets the criteria set out in this paragraph. The
185	governing body or designee shall certify all applications that
186	contain the information required pursuant to subparagraph 1. or
187	subparagraph 2. and meet the criteria set out in this paragraph
188	as eligible to receive a refund. The certification shall be in
189	writing, and a copy of the certification shall be transmitted to
190	the executive director of the Department of Revenue. The
191	applicant shall be responsible for forwarding a certified
192	application to the department within the time specified in
193	subparagraph 4.
194	4. An application for a refund pursuant to this paragraph
195	must be submitted to the department within 6 months after the
196	construction of the property is deemed to be substantially
197	completed by the local building code inspector or by September 1
198	after the rehabilitated property is first subject to assessment.
199	5. Not more than one exemption through a refund of
200	previously paid taxes for the construction of real property
201	shall be permitted for any single parcel of property unless
202	there is a change in ownership between unrelated parties, a new
203	lessor, or a new lessee, other than related parties. No refund
204	shall be granted pursuant to this paragraph unless the amount to
205	be refunded exceeds $500. No refund granted pursuant to this
206	paragraph shall exceed the lesser of 97 percent of the state
207	sales and use tax paid on the cost of the building materials
208	used in the construction of the real property as determined
209	pursuant to sub-subparagraph 1.e. or $5,000, or, if no less than
210	20 percent of the employees of the business are residents of an
211	energy economic zone, excluding temporary and part-time
212	employees, the amount of refund granted pursuant to this
213	paragraph shall not exceed the lesser of 97 percent of the sales
214	tax paid on the cost of such building materials or $10,000. A
215	refund approved by the department pursuant to this paragraph
216	shall be made within 30 days after formal approval of the
217	application, which determination shall be made within 30 days
218	after receiving the application. This subparagraph shall apply
219	retroactively to July 1, 2005.
220	6. The department shall adopt rules governing the manner
221	and form of refund applications and may establish guidelines as
222	to the requisites for an affirmative showing of qualification
223	for exemption under this paragraph.
224	7. For the purposes of the exemption provided in this
225	paragraph:
226	a. "Building materials" means tangible personal property
227	that becomes a component part of construction and improvements
228	to real property.
229	b. "Real property" has the same meaning as provided in s.
230	192.001(12).
231	c. "Energy-efficient construction " means the
232	construction, renovation, restoration, rehabilitation, or
233	expansion of improvements to real property resulting in a
234	structure that meets Leadership in Energy and Environmental
235	Design (LEED)standards.
236	d. "Energy-efficient structures" means structures that
237	meet LEED-certified buildings standards.
238	e. "Substantially completed" has the same meaning as
239	provided in s. 192.042(1).
240	(r) Business property used in an energy economic zone.-
241	1. Business property purchased for use by businesses
242	located in an energy economic zone that is subsequently used in
243	an energy economic zone shall be exempt from the tax imposed by
244	this chapter. This exemption inures to the business only through
245	a refund of previously paid taxes. A refund shall be authorized
246	upon an affirmative showing by the taxpayer to the satisfaction
247	of the department that the requirements of this paragraph have
248	been met.
249	2. To receive a refund, the business must certify to the
250	governing body of the local government having jurisdiction over
251	the energy economic zone in which the business is located, as
252	applicable, an application that includes:
253	a. The name and address of the business claiming the
254	refund.
255	b. A specific description of the property for which a
256	refund is sought, including its serial number or other permanent
257	identification number.
258	c. The location of the property.
259	d. The sales invoice or other proof of purchase of the
260	property, showing the amount of sales tax paid, the date of
261	purchase, and the name and address of the sales tax dealer from
262	whom the property was purchased.
263	e. Whether the business is a small business as defined by
264	s. 288.703(1).
265	f. If applicable, the name and address of each permanent
266	employee of the business, indicating those employees who reside
267	in the energy economic zone.
268	3. An application for a refund pursuant to this paragraph
269	must be submitted to the governing body having jurisdiction over
270	the energy economic zone within 6 months after the tax is due on
271	the business property that is purchased.
272	4. Within 10 working days after receipt of an application,
273	the governing body or designee shall review the application to
274	determine if it contains all the information required pursuant
275	to subparagraph 2. and meets the criteria set out in this
276	paragraph. After review, the certified application shall be
277	transmitted to the executive director of the Department of
278	Revenue.
279	5. The amount refunded on purchases of business property
280	under this paragraph shall be the lesser of 97 percent of the
281	sales tax paid on such business property or $5,000, or, if no
282	less than 20 percent of the employees of the business are
283	residents of an energy economic zone, excluding temporary and
284	part-time employees, the amount refunded on purchases of
285	business property under this paragraph shall be the lesser of 97
286	percent of the sales tax paid on such business property or
287	$10,000. A refund approved pursuant to this paragraph shall be
288	made within 30 days after formal approval by the department of
289	the application for the refund. No refund shall be granted under
290	this paragraph unless the amount to be refunded exceeds $100 in
291	sales tax paid on purchases made within a 60-day time period.
292	6. The department shall adopt rules governing the manner
293	and form of refund applications and may establish guidelines as
294	to the requisites for an affirmative showing of qualification
295	for exemption under this paragraph.
296	7. If the department determines that the business property
297	is used outside an energy economic zone within 3 years after the
298	date of purchase, the amount of taxes refunded to the business
299	purchasing such business property shall immediately be due and
300	payable to the department by the business, together with the
301	appropriate interest and penalty, computed from the date of
302	purchase, in the manner provided by this chapter.
303	Notwithstanding this subparagraph, business property used
304	exclusively in:
305	a. Licensed commercial fishing vessels,
306	b. Fishing guide boats, or
307	c. Ecotourism guide boats
308
309	that leave and return to a fixed location within an area
310	designated under s. 379.2353 are eligible for the exemption
311	provided under this paragraph if all requirements of this
312	paragraph are met. Such vessels and boats must be owned by a
313	business that is eligible to receive the exemption provided
314	under this paragraph. This exemption does not apply to the
315	purchase of a vessel or boat.
316	8. For the purposes of this exemption, "business property"
317	means new or used tangible personal property having a value of
318	at least $500 used in energy economic zones by renewable energy
319	manufacturers, zero-emissions vehicle manufacturers and other
320	such industries involved in clean technology industries and
321	technologies.
322	(7) MISCELLANEOUS EXEMPTIONS.-Exemptions provided to any
323	entity by this chapter do not inure to any transaction that is
324	otherwise taxable under this chapter when payment is made by a
325	representative or employee of the entity by any means,
326	including, but not limited to, cash, check, or credit card, even
327	when that representative or employee is subsequently reimbursed
328	by the entity. In addition, exemptions provided to any entity by
329	this subsection do not inure to any transaction that is
330	otherwise taxable under this chapter unless the entity has
331	obtained a sales tax exemption certificate from the department
332	or the entity obtains or provides other documentation as
333	required by the department. Eligible purchases or leases made
334	with such a certificate must be in strict compliance with this
335	subsection and departmental rules, and any person who makes an
336	exempt purchase with a certificate that is not in strict
337	compliance with this subsection and the rules is liable for and
338	shall pay the tax. The department may adopt rules to administer
339	this subsection.
340	(ggg) Clean technology and manufacturing products used in
341	energy economic zones, as defined in s. 377.809(7), are exempt
342	from the tax imposed by this chapter. The local governing body
343	with jurisdiction for the energy economic zone shall submit a
344	list of products to the department considered eligible pursuant
345	to this definition.
346	Section 3. This act shall take effect upon becoming a law.

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