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Meeting Packet — Florida Senate, Commerce and Tourism (Tuesday, January 16, 2024)

Summary

Customized meeting packet of the Florida Senate Commerce and Tourism committee for Tuesday, January 16, 2024, 1:30—3:30 p.m., 2024 Regular Session, with Senator Trumbull as Chair and Senator Wright as Vice Chair. The agenda order lists SB 314 by Boyd, SB 890 by Boyd, SB 612 by Hooper, SB 842 by Perry, SB 1126 by Martin and SB 1166 by DiCeglie. The expanded agenda shows SB 314 as Temporarily Postponed and SB 890 as Favorable with Yeas 5 Nays 0. The time-stamped record at the end shows a late-filed amendment to SB 1126 adopted, CS/SB 1126 reported favorably, and the meeting adjourned.

Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used

Cite this document

“Meeting Packet — Florida Senate, Commerce and Tourism (Tuesday, January 16, 2024).” Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2024-01-16-post-meeting-packet-7881-1e708ed003/, SHA-256 97cf89781dc63a7c9c0515ac7222f60b87b8e15e3516366480276607dacecc6d.

Full text

01/16/2024 - Commerce and Tourism (1:30 PM - 3:30 PM)                                        2024 Regular Session
Customized                                                                                    01/18/2024 3:08 PM
Agenda Order

Tab 1    SB 314 by Boyd; (Identical to H 00519) Business Transactions


Tab 2    SB 890 by Boyd; Taxation


 Tab 3   SB 612 by Hooper; (Similar to CS/H 00481) Building Construction Regulations and System Warranties
645676   A       S     RCS             CM, Hooper                   Delete L.65 - 141:           01/16 03:48 PM
568094   A       S     RCS             CM, Hooper                   Delete L.155 - 295.          01/16 03:48 PM

Tab 4    SB 842 by Perry; (Similar to H 00861) Florida Kratom Consumer Protection Act


 Tab 5   SB 1126 by Martin; (Similar to H 01641) Regulation of Auxiliary Containers
354080   A       S L RCS               CM, Martin                     Delete L.24 - 64:        01/16 03:49 PM

 Tab 6   SB 1166 by DiCeglie; (Similar to H 01183) Main Street Historical Tourism and Revitalization Act
857016   D       S     RCS             CM, DiCeglie                   Delete everything after 01/16 04:02 PM




                                                        Page 1 of 1
2024 Regular Session                               The Florida Senate
                             COMMITTEE MEETING EXPANDED AGENDA
                                               COMMERCE AND TOURISM
                                                Senator Trumbull, Chair
                                               Senator Wright, Vice Chair

            MEETING DATE:    Tuesday, January 16, 2024
                    TIME:    1:30—3:30 p.m.
                  PLACE:     Toni Jennings Committee Room, 110 Senate Building

                  MEMBERS:   Senator Trumbull, Chair; Senator Wright, Vice Chair; Senators Gruters, Rodriguez, Stewart, and
                             Torres

                                                       BILL DESCRIPTION and
 TAB       BILL NO. and INTRODUCER                  SENATE COMMITTEE ACTIONS                           COMMITTEE ACTION

   1    SB 314                            Business Transactions; Requiring the Department of        Temporarily Postponed
        Boyd                              Law Enforcement to supply the statewide reporting
        (Identical H 519)                 system to law enforcement agencies by a specified
                                          date; requiring a seller to provide certain government-
                                          issued identification before a precious metals dealer
                                          may remit payment to the seller; requiring the
                                          department to contract with a private provider to
                                          supply a statewide reporting system for a specified
                                          purpose; requiring pawn transactions to be
                                          transmitted electronically using the statewide
                                          reporting system, etc.

                                          CM       01/16/2024 Temporarily Postponed
                                          ACJ
                                          AP


   2    SB 890                            Taxation; Exempting from sales and use tax the retail     Favorable
        Boyd                              sale of impact-resistant windows, impact-resistant            Yeas 5 Nays 0
                                          doors, and impact-resistant garage doors during a
                                          specified timeframe; authorizing the Department of
                                          Revenue to adopt emergency rules, etc.

                                          CM       01/16/2024 Favorable
                                          FT
                                          AP


   3    SB 612                            Building Construction Regulations and System              Fav/CS
        Hooper                            Warranties; Authorizing prevailing parties in                 Yeas 5 Nays 0
        (Similar CS/H 481)                proceedings on interpretations of the Florida Building
                                          Code and the Florida Accessibility Code for Building
                                          Construction to recover attorney fees; providing that
                                          certain provisions governing the transfer of HVAC
                                          manufacturer’s warranties apply to transfers made on
                                          or after a specified date; prohibiting HVAC
                                          manufacturer’s warranties from being conditioned
                                          upon the product registration; providing the effective
                                          date for certain HVAC system and component
                                          warranties under a specified circumstance, etc.

                                          CM       01/16/2024 Fav/CS
                                          CA
                                          RC




                                                                                                                   S-036 (10/2008)
01162024.1443                                                                                                          Page 1 of 2
COMMITTEE MEETING EXPANDED AGENDA
Commerce and Tourism
Tuesday, January 16, 2024, 1:30—3:30 p.m.

                                                       BILL DESCRIPTION and
 TAB      BILL NO. and INTRODUCER                   SENATE COMMITTEE ACTIONS                             COMMITTEE ACTION

  4     SB 842                            Florida Kratom Consumer Protection Act; Prohibiting         Favorable
        Perry                             processors from selling, preparing, distributing, or            Yeas 5 Nays 0
        (Similar H 861)                   exposing for sale certain kratom products or kratom
                                          extracts; providing civil penalties for processors who
                                          violate certain provisions; providing an exception, etc.

                                          CM       01/16/2024 Favorable
                                          AEG
                                          FP


  5     SB 1126                           Regulation of Auxiliary Containers; Defining the term       Fav/CS
        Martin                            “auxiliary container”; expressly preempting the                 Yeas 4 Nays 0
        (Similar H 1641)                  regulation of auxiliary containers to the state; deleting
                                          obsolete provisions requiring the Department of
                                          Environmental Protection to review and update a
                                          specified report, etc.

                                          CM       01/16/2024 Fav/CS
                                          CA
                                          FP


  6     SB 1166                           Main Street Historical Tourism and Revitalization Act;      Fav/CS
        DiCeglie                          Citing this act as the "Main Street Historical Tourism          Yeas 5 Nays 0
        (Similar H 1183)                  and Revitalization Act"; providing a credit against the
                                          state corporate income tax and the insurance
                                          premium tax for qualified expenses in rehabilitating
                                          certain historic structures; specifying eligibility
                                          requirements for the tax credit; prohibiting entities or
                                          individuals from receiving more than a certain amount
                                          in tax credits; specifying the order in which the credit
                                          is applied against the corporate income tax or
                                          franchise tax; specifying the order in which the credit
                                          is applied against the insurance premium tax, etc.

                                          CM       01/16/2024 Fav/CS
                                          FT
                                          AP


        Other Related Meeting Documents




                                                                                                                     S-036 (10/2008)
01162024.1443                                                                                                            Page 2 of 2
                                                        The Florida Senate
                    BILL ANALYSIS AND FISCAL IMPACT STATEMENT
                (This document is based on the provisions contained in the legislation as of the latest date listed below.)

                    Prepared By: The Professional Staff of the Committee on Commerce and Tourism

BILL:             SB 314
INTRODUCER:       Senator Boyd
SUBJECT:          Business Transactions
DATE:             January 12, 2024                REVISED:


           ANALYST                      STAFF DIRECTOR                 REFERENCE                                 ACTION
1. McMillan                           McKay                                 CM              Pre-meeting
2.                                                                          ACJ
3.                                                                          AP



    I.    Summary:

          SB 314 requires the Department of Law Enforcement to contract with a private vendor to supply
          a statewide reporting system for law enforcement agencies to use in the reporting of transactions
          by secondhand dealers and pawnbrokers, and requires secondhand dealers and pawnbrokers that
          have computer capability to electronically transmit required transactions to the statewide
          reporting system. The system is also for law enforcement agencies to use for investigations.

          The bill clarifies that the sheriff may provide a secondhand dealer or pawnbroker with a
          computer and all necessary equipment for the purpose of electronically transferring secondhand
          dealer or pawn transactions using the statewide reporting system.

          The bill clarifies that an “automated kiosk” must provide verification of a seller’s identity by a
          United States Government-issued photographic identification card or an electronic image taken
          from a United States Government-issued photographic identification or other verifiable
          government issued identification.

          The bill takes effect July 1, 2024.

    II.   Present Situation:

          Secondhand Dealers

          Chapter 538, F.S., regulates secondhand dealers and secondary metal recyclers in the trade of
          secondhand goods. The purpose of such regulations is to assist law enforcement in recovering
          stolen property and in solving other theft-related crimes.1

1
 See ss. 538.04, 538.06, F.S. (identifying recordkeeping requirements and holding periods in connection with secondhand
goods); see also Jarret C. Oeltjen, Florida Pawnbroking: An Industry in Transition, 23 FLA. ST. U. L. REV. 995, 1013 (Spring
1996) (noting that “[t]he main impetus behind [ch. 538, F.S.] was to confront the problem of property theft and drug-related
BILL: SB 314                                                                                                         Page 2


        A secondhand dealer is defined as any person, corporation, or other business organization or
        entity that is not a secondary metals recycler and is engaged in the business of purchasing,
        consigning, or trading secondhand goods. The term also includes a secondhand dealer engaged in
        purchasing secondhand goods by means of an automated kiosk.2

        Secondhand goods are previously owned or used personal property that is purchased, consigned,
        or traded as used property.3 The term also includes gift certificates and credit memos4 that are
        purchased, consigned, or traded by a secondhand dealer. Secondhand goods do not include office
        furniture, pianos, books, clothing, organs, coins, motor vehicles, costume jewelry; gold, silver,
        platinum, palladium, or rhodium bullion that has been assayed and is properly marked as to its
        weight and fineness; cardio and strength training or conditioning equipment designed primarily
        for indoor use, and secondhand sports equipment that is not permanently labeled with a serial
        number.5

        A secondhand dealer must annually register his or her business with the Department of Revenue
        (DOR).6

        Upon each acquisition of secondhand goods, a secondhand dealer must complete a transaction
        form that details the goods purchased and the seller’s identity. The secondhand dealer must
        retain this document for at least 3 years and forward a copy to the appropriate law enforcement
        agency within 24 hours after the acquisition of the secondhand goods.7 In addition to the
        descriptive statements of the secondhand goods and the seller’s identity, the transaction record
        must also include:
         A statement of the date, time, and place of the transaction;
         A summary of the goods acquired, including brand name, model number, serial number, and
            other unique identifiers;
         Digital photographs of the goods acquired in the report that is submitted to law enforcement;
            and
         A description of the person from whom the goods were acquired, including his or her right
            thumbprint, name and address, and a physical description.8

        If the appropriate law enforcement official supplies a secondhand dealer with appropriate
        software and the secondhand dealer has computer capability, the secondhand dealer must
        electronically transmit the required transaction records.9 Additionally, if a secondhand dealer

crimes by facilitating recovery of stolen goods and apprehending those criminals who may turn to secondhand dealers for
cash”).
2
  Section 538.03(1)(h), F.S.
3
  Section 538.03(1)(i), F.S.
4
  Section 501.95, F.S., defines “credit memo” as a certificate, card, stored value card, or similar instrument issued in
exchange for returned merchandise when the certificate, card, or similar instrument is redeemable for merchandise, food, or
services regardless of whether any cash may be paid to the owner of the certificate, card, or instrument as part of the
redemption transaction.
5
  Section 538.03(1)(i), F.S.
6
  See generally s. 538.09, F.S. (providing for registration).
7
  Section 538.04(1), F.S.
8
  Id.
9
  Section 538.04(6), F.S.
BILL: SB 314                                                                                                              Page 3

         does not have the computer capability, the appropriate law enforcement official may provide a
         computer and all of the equipment necessary to electronically transmit transactions.10

         Secondhand dealers are required to hold all secondhand goods for at least 15 days after they
         acquire the property. However, secondhand dealers are required to hold a precious metal,11
         gemstone, jewelry; antique furnishings, fixtures, or decorative objects; or an item of art as
         defined in s. 686.501, F.S.,12 for 30 days after they acquire the property.13 Additionally, a
         secondhand good must be held for 30 days if the secondhand dealer uses an automated kiosk.14

         If a law enforcement officer has probable cause to believe that the goods held by a secondhand
         dealer are stolen, the officer may place a 90-day written hold order on the goods.15 This prevents
         the secondhand dealer from selling the goods and preserves them for use as evidence in a
         criminal trial. Additionally, this allows for the possibility of the goods to be returned to their
         rightful owner.16

         Law enforcement agencies having jurisdiction enforce compliance with registration, record
         keeping, holding periods, and inspection requirements.17 A person who knowingly violates the
         requirements governing secondhand dealers in ch. 538, F.S., commits a first degree
         misdemeanor, punishable by up to 1 year in jail and a $10,000 fine.18

         Mail-in Secondhand Precious Metals Dealers
         A mail-in secondhand precious metals dealer19 must register with the DOR and comply with all
         of the regulation requirements provided in s. 538.09, F.S., which is the section that regulates the
         registration of secondhand dealers. Additionally, a mail-in secondhand precious metals dealer
         may only remit payment to a seller if the seller has provided the following information:
          The seller’s name, address, telephone number, and e-mail address, if available;

10
   Id.
11
   Section 538.03(1)(f), F.S., defines “precious metals” as any item containing any gold, silver, or platinum, or any
combination thereof, excluding any chemical or any automotive, photographic, electrical, medical, or dental materials or
electronic parts.
12
   Section 686.501(1), F.S., defines “art” as a painting, sculpture, drawing, work of graphic art, pottery, weaving, batik,
macramé, quilt, print, photograph, or craft work executed in materials including, but not limited to, clay, textile, paper, fiber,
wood, tile, metal, plastic, or glass. The term includes a rare map which is offered as a limited edition or a map 80 years old or
older; or a rare document or rare print which includes, a print, engraving, etching, woodcut, lithograph, or serigraph which is
offered as a limited edition, or one 80 years old or older.
13
   Section 538.06(1), F.S.
14
   Id. An “automated kiosk” is an interactive device that is permanently installed within a secure retail space and that has the
following technological functions: remotely monitored by a live representative during all business hours; verification of a
seller’s identity by government-issued photographic identification card; automated reading and recording of item serial
numbers; ability to compare item serial numbers against databases of stolen items; secure storage of goods accepted by the
kiosk; and capture and storage of images during the transaction. Section 538.03(1)(c), F.S.
15
   Section 538.06(3), F.S.
16
   Id.
17
   Section 538.05, F.S.
18
   Section 538.07(1), F.S.
19
   Section 538.31(c), F.S., defines a “mail-in secondhand precious metals dealer” as any person or entity that: (1) conducts
business within this state and that contracts with other persons or entities to buy precious metals or jewelry through an
Internet website, the United States mail, or telemarketing; or (2) conducts business within this state and regularly engages in
the business of purchasing jewelry or precious metals through the mail or Internet-based transactions.
BILL: SB 314                                                                                                     Page 4

           The seller’s driver license number and issuing state or other government-issued identification
            number; and
           A sworn statement made by the seller that the seller is of lawful age and that the driver
            license number or other government-issued identification number, as well as other
            identifying information provided by the seller is true and correct and that the seller is the
            lawful owner of the goods with absolute authority to sell the goods.20

        The Department of Agriculture and Consumer Services

        In addition to regulating agriculture in Florida, the Department of Agriculture and Consumer
        Services (DACS) protects consumers from unfair and deceptive business practices and provides
        consumer information.

        The DACS achieves this, in part, through licensing and registering various professionals,
        including:
         Professional Surveyors and Mappers (ch. 472, F.S.);
         Private Investigative, Private Security, and Repossession Services (ch. 493, F.S.);
         Health Studios (ch. 501, pt. I, F.S.);
         Telemarketing Services (ch. 501, pt. IV, F.S.);
         Intrastate Movers and Brokers (ch. 507, F.S.);
         Sellers of Liquefied Petroleum Gas (ch. 527, F.S.);
         Pawnbroking (ch. 539, F.S.);
         Motor Vehicle Repair Shops (ch. 559, pt. IX, F.S.); and
         Sellers of Travel (ch. 559, pt. XI, F.S.).

        The DACS provides licenses and regulates each of the above professionals in accordance with
        that profession’s practice act. Generally, applicants must meet specific statutory requirements
        and must pay all applicable fees.

        Pawnbroking
        The Florida Pawnbroking Act requires pawnshops to obtain an annual license with the DACS.21
        To be eligible for a pawnbroker’s license, an applicant must:
         Be of good moral character;
         Maintain a net worth of at least $50,000 or file security in the form of a bond, letter of credit,
           or certificate of deposit in the amount of $10,000 with the DACS; and
         Not have been convicted of, or found guilty of, or pled guilty or nolo contendere to, or not
           have been incarcerated within the last 10 years as a result of having previously been
           convicted of, or found guilty of, or pled guilty or nolo contendere to, regardless of
           adjudication, a crime that involves theft, larceny, dealing in stolen property, receiving stolen
           property, burglary, embezzlement, obtaining property by false pretenses, possession of
           altered property, or any other fraudulent or dishonest dealing within the last 10 years.22

20
   Section 538.32(2), F.S.
21
   Section 539.001(3), F.S. See also The Florida Department of Agriculture and Consumer Services, Pawnbroking, available
at https://www.fdacs.gov/Business-Services/Pawnbroking (last visited Jan. 12, 2024).
22
   Section 539.001(4), F.S.
BILL: SB 314                                                                                                          Page 5

         Pawnbroker Transaction Forms
         At the time a pawnbroker enters into any pawn or purchase transaction, the pawnbroker is
         required to complete a pawnbroker transaction form.23 The form must include an indication of
         whether the transaction is a pawn or a purchase, and the seller must also sign the form.24

         A pawnbroker is required to maintain a copy of each completed pawnbroker transaction form on
         the pawnshop premises for at least 1 year after the date of the transaction.25 On or before the end
         of each business day, the pawnbroker must deliver the original pawnbroker transaction forms for
         each of the transactions occurring during the previous business day to the appropriate law
         enforcement official.26 Additionally, an electronic image that is accepted for a transaction, must
         be maintained electronically in order to meet the same recordkeeping requirements.27

         If the appropriate law enforcement agency supplies adequate software and the pawnbroker
         presently has the computer capability, pawn transactions are required to be electronically
         transferred.28

         All goods delivered to a pawnbroker in a pawn or purchase transaction must be securely stored
         and maintained in an unaltered condition within the jurisdiction of the appropriate law
         enforcement official for a period of 30 calendar days after the transaction.29

III.     Effect of Proposed Changes:

         Secondhand Dealers

         The bill amends s. 538.03, F.S., to provide that “automated kiosk,” means an interactive device
         that is permanently installed within a secure retail space and that has the following technological
         functions:
          Remotely monitored by a live representative during all business operating hours;
          Verification of a seller’s identity by a United States Government-issued photographic
             identification card or an electronic image taken from a United States Government-issued
             photographic identification or other verifiable government-issued identification;
          Automated reading and recording of item serial numbers;
          Ability to compare item serial numbers against databases of stolen items;

23
   Section 593.001(8)(a), F.S.
24
   Id.
25
   Section 593.001(9)(a), F.S.
26
   Id.
27
   Id.
28
   Section 593.001(9)(b), F.S. If a pawnbroker does not presently have the computer ability, the appropriate law enforcement
agency may provide the pawnbroker with a computer and all necessary equipment for the purpose of electronically
transferring pawn transactions. The appropriate law enforcement agency must retain ownership of the computer, unless
otherwise agreed upon. Additionally, the pawnbroker must maintain the computer in good working order. If the pawnbroker
transfers pawn transactions electronically, the pawnbroker is not required to also deliver to the appropriate law enforcement
official the original or copies of the pawnbroker transaction forms. The appropriate law enforcement official may, for the
purposes of a criminal investigation, request that the pawnbroker produce an original of a transaction form that has been
electronically transferred. The pawnbroker shall deliver this form to the appropriate law enforcement official within 24 hours
of the request.
29
   Section 593.001(9)(c), F.S.
BILL: SB 314                                                                                                       Page 6

            Secure storage of goods accepted by the kiosk, and
            Capture and storage of images during the transaction.

        The bill defines “statewide reporting system” as software that the Department of Law
        Enforcement shares with law enforcement agencies in Florida for all pawnbrokers, secondhand
        dealers, and secondary metals recyclers in Florida to use to report transactions to law
        enforcement and for law enforcement agencies to use for investigations.

        The bill amends s. 538.04(6), F.S., to require the Department of Law Enforcement to supply a
        statewide reporting system to law enforcement agencies on or before July 1, 2027. The system
        must be developed and maintained pursuant to s. 790.335(5), F.S.,30 through a department
        contract with a third-party private provider that is exclusively incorporated, owned, and operated
        in the United States and that restricts access to such transaction information to appropriate law
        enforcement agencies for legitimate law enforcement purposes only. The system must have the
        ability to provide daily exports of the transaction data, in compliance with s. 790.335, F.S., to the
        Department of Law Enforcement for use in law enforcement data-sharing systems.

        The bill requires a secondhand dealer that has computer capability to electronically transmit the
        required secondhand dealer transactions to the statewide reporting system. If a secondhand
        dealer does not have computer capability, the sheriff may provide the secondhand dealer with a
        computer and all of the necessary equipment to electronically transmit secondhand dealer
        transactions using the statewide reporting system. Additionally, the sheriff retains ownership of
        the computer, unless otherwise agreed upon, and the secondhand dealer must maintain the
        computer in good working order.

        Mail-in Precious Metals Dealers

        The bill amends s. 538.32, F.S., to provide that a mail-in secondhand precious metals dealer may
        only remit payment to a seller if the seller has provided the following information:
         The seller’s name, address, telephone number, and e-mail address, if available;
         The seller’s driver license number and issuing state or other United States government-issued
           identification number or other verifiable government issued identification; and
         A sworn statement made by the seller that the seller is of lawful age and that the driver
           license number or other government-issued identification number, as well as other
           identifying information provided by the seller is true and correct and that the seller is the
           lawful owner of the goods with absolute authority to sell the goods.

        Pawnbroking

        The bill amends s. 539.001, F.S., to clarify that “identification” means a United States
        Government-issued photographic identification or an electronic image taken from a United
        States Government-issued photographic identification or other verifiable government-issued
        identification.
30
  Section 790.335(5), F.S., provides that secondhand dealers and pawnbrokers who electronically submit firearms transaction
records to the appropriate law enforcement agencies as required by chapters 538 and 539, F.S., are required to submit the
name of the manufacturer and caliber information of each firearm in Florida Crime Information Center coding, and also must
include the model and serial number of each firearm.
BILL: SB 314                                                                                                       Page 7

        The bill provides that “statewide reporting system” means software that the Department of Law
        Enforcement shares with law enforcement agencies in Florida for all pawnbrokers, secondhand
        dealers, and secondhand metals recyclers in Florida to use to report transactions to law
        enforcement and for law enforcement agencies to use for investigations.

        The bill amends s. 539.001(9), F.S., to require the Department of Law Enforcement to supply a
        statewide reporting system to law enforcement agencies. The system must be developed and
        maintained pursuant to s. 790.335(5), F.S.,31 through a department contract with a third-party
        private provider that is exclusively incorporated, owned, and operated in the United States and
        that restricts access to such transaction information to appropriate law enforcement agencies for
        legitimate law enforcement purposes only. The system must have the ability to provide daily
        exports of the transaction data, in compliance with s. 790.335, F.S., to the Department of Law
        Enforcement for use in law enforcement data-sharing systems.

        The bill requires a pawnbroker that has computer capability to electronically transmit pawn
        transactions. If a pawnbroker does not currently have computer capability, the sheriff having
        jurisdiction over the pawnshop location may provide the pawnbroker with a computer and all
        equipment necessary to electronically transfer pawn transactions using the statewide reporting
        system. Additionally, the sheriff retains ownership of the computer, unless otherwise agreed
        upon.

        Effective Date

        The bill takes effect July 1, 2024.

IV.     Constitutional Issues:

        A.       Municipality/County Mandates Restrictions:

                 None.

        B.       Public Records/Open Meetings Issues:

                 None.

        C.       Trust Funds Restrictions:

                 None.

        D.       State Tax or Fee Increases:

                 None.



31
  Section 790.335(5), F.S., provides that secondhand dealers and pawnbrokers who electronically submit firearms transaction
records to the appropriate law enforcement agencies as required by chapters 538 and 539, F.S., are required to submit the
name of the manufacturer and caliber information of each firearm in Florida Crime Information Center coding, and also must
include the model and serial number of each firearm.
 BILL: SB 314                                                                                        Page 8

        E.      Other Constitutional Issues:

                None Identified.

  V.    Fiscal Impact Statement:

        A.      Tax/Fee Issues:

                None.

        B.      Private Sector Impact:

                Secondhand dealers and pawnbrokers will be required to use the statewide reporting
                system to report transactions.

        C.      Government Sector Impact:

                The Florida Department of Law Enforcement will be required to supply a statewide
                reporting system for all secondhand dealers and pawnbrokers to report transactions. The
                bill requires the Florida Department of Law Enforcement to contract with a private
                provider to supply the statewide reporting system.

 VI.    Technical Deficiencies:

        None.

VII.    Related Issues:

        The bill amends s. 538.04(6), F.S., which is the section of law regulating the recordkeeping of
        secondhand dealers, to require the Department of Law Enforcement to supply a statewide
        reporting system to law enforcement agencies on or before July 1, 2027. The bill also amends s.
        539.001(9), F.S., which is the section of law regulating the recordkeeping of pawnbrokers, to
        require the Department of Law Enforcement to supply a statewide reporting system to law
        enforcement agencies. However, the bill does not indicate when the statewide reporting system
        must be supplied in s. 539.001(9), F.S.

        The bill creates a definition of “statewide reporting system” in s. 538.03, F.S., which is
        applicable to Part I of Chapter 538 – Secondhand Dealers. The definition references secondary
        metals recyclers, but secondary metals recyclers are regulated by Part II of Chapter 538. The bill
        creates the same definition in s. 539.001, F.S., but this definition section is applicable to The
        Florida Pawnbroking Act in s. 539.001, F.S. If the intent of the bill is to require secondary metals
        recyclers to use the statewide system, the bill should impose that duty in Part II of Chapter 538.

VIII.   Statutes Affected:

        This bill substantially amends the following sections of the Florida Statutes: 538.03, 538.04,
        538.32, and 539.001.
BILL: SB 314                                                                                                                         Page 9

IX.   Additional Information:

      A.        Committee Substitute – Statement of Changes:
                (Summarizing differences between the Committee Substitute and the prior version of the bill.)

                None.

      B.        Amendments:

                None.

        This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.
       Florida Senate - 2024                                         SB 314          Florida Senate - 2024                                         SB 314



       By Senator Boyd




       20-00384-24                                                2024314__          20-00384-24                                             2024314__
1                              A bill to be entitled                          30          have computer capability; providing an effective date.
2           An act relating to business transactions; amending s.             31
3           538.03, F.S.; revising the definition of the term                 32     Be It Enacted by the Legislature of the State of Florida:
4           “automated kiosk”; defining the term “statewide                   33
5           reporting system”; amending s. 538.04, F.S.; requiring            34          Section 1. Present paragraph (k) of subsection (1) of
6           the Department of Law Enforcement to supply the                   35     section 538.03, Florida Statutes, is redesignated as paragraph
7           statewide reporting system to law enforcement agencies            36     (l), a new paragraph (k) is added to that subsection, and
8           by a specified date; requiring the Department of Law              37     paragraph (c) of that subsection is amended, to read:
9           Enforcement to contract with a private provider to                38          538.03 Definitions; applicability.—
10          supply a statewide reporting system for a specified               39          (1) As used in this part, the term:
11          purpose; providing requirements for the private                   40          (c) “Automated kiosk” means an interactive device that is
12          provider and the system; requiring secondhand dealers             41     permanently installed within a secure retail space and that has
13          to transmit their transactions electronically to the              42     the following technological functions:
14          statewide reporting system; authorizing sheriffs to               43          1. Remotely monitored by a live representative during all
15          supply the necessary computer equipment to secondhand             44     business operating hours;
16          dealers that do not have computer capability; amending            45          2. Verification of a seller’s identity by a United States
17          s. 538.32, F.S.; requiring a seller to provide certain            46     Government-issued photographic identification card or an
18          government-issued identification before a precious                47     electronic image taken from a United States Government-issued
19          metals dealer may remit payment to the seller;                    48     photographic identification or other verifiable government-
20          reordering and amending s. 539.001, F.S.; revising the            49     issued identification;
21          definition of the term “identification”; defining the             50          3. Automated reading and recording of item serial numbers;
22          term “statewide reporting system”; requiring the                  51          4. Ability to compare item serial numbers against databases
23          department to contract with a private provider to                 52     of stolen items;
24          supply a statewide reporting system for a specified               53          5. Secure storage of goods accepted by the kiosk; and
25          purpose; providing requirements for the private                   54          6. Capture and storage of images during the transaction.
26          provider and the system; requiring pawn transactions              55          (k) “Statewide reporting system” means software that the
27          to be transmitted electronically using the statewide              56     Department of Law Enforcement shares with law enforcement
28          reporting system; authorizing sheriffs to supply the              57     agencies in this state for all pawnbrokers, secondhand dealers,
29          necessary computer equipment to pawnbrokers who do not            58     and secondary metals recyclers in this state to use to report

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59     transactions to law enforcement and for law enforcement agencies       88      maintain the computer in good working order, except for ordinary
60     to use for investigations.                                             89      wear. A secondhand dealer who transmits secondhand dealer
61          Section 2. Subsection (6) of section 538.04, Florida              90      transactions electronically is not required to also deliver the
62     Statutes, is amended to read:                                          91      original or paper copies of the secondhand transaction forms to
63          538.04 Recordkeeping requirements; penalties.—                    92      the appropriate law enforcement official. However, such official
64          (6) On or before July 1, 2027, the Department of Law              93      may, for purposes of a criminal investigation, request the
65     Enforcement shall supply a statewide reporting system to law           94      secondhand dealer to deliver the original transaction form that
66     enforcement agencies. The system shall be developed and                95      was electronically transmitted. The secondhand dealer shall
67     maintained pursuant to s. 790.335(5) through a department              96      deliver the form to the appropriate law enforcement official
68     contract with a third-party private provider that is exclusively       97      within 24 hours after receipt of the request.
69     incorporated, owned, and operated in the United States and that        98           Section 3. Paragraph (b) of subsection (2) of section
70     restricts access to such transaction information to appropriate        99      538.32, Florida Statutes, is amended to read:
71     law enforcement agencies for legitimate law enforcement purposes       100          538.32 Registration, transaction, and recordkeeping
72     only. The system must have the ability to provide daily exports        101     requirements; penalties.—
73     of the transaction data, in compliance with s. 790.335, to the         102          (2) A mail-in secondhand precious metals dealer may not
74     Department of Law Enforcement for use in law enforcement data-         103     remit payment to a seller unless the seller has provided the
75     sharing systems. If the appropriate law enforcement official           104     following information:
76     supplies a secondhand dealer has the with appropriate software         105          (b) The seller’s driver license number and issuing state or
77     and the secondhand dealer has computer capability, the                 106     other United States Government-issued identification number or
78     secondhand dealer must electronically transmit secondhand dealer       107     other verifiable government-issued identification.
79     transactions required by this section to the statewide reporting       108          Section 4. Subsection (2) of section 539.001, Florida
80     system such official. If a secondhand dealer does not have             109     Statutes, is reordered and amended, and paragraph (b) of
81     computer capability, the sheriff having jurisdiction appropriate       110     subsection (9) of that section is amended, to read:
82     law enforcement official may provide the secondhand dealer with        111          539.001 The Florida Pawnbroking Act.—
83     a computer and all equipment necessary to electronically               112          (2) DEFINITIONS.—As used in this section, the term:
84     transmit secondhand dealer transactions using the statewide            113          (a) “Agency” means the Department of Agriculture and
85     reporting system. The sheriff retains appropriate law                  114     Consumer Services.
86     enforcement official shall retain ownership of the computer,           115          (c)(b) “Appropriate law enforcement official” means the
87     unless otherwise agreed upon, and the secondhand dealer shall          116     sheriff of the county in which a pawnshop is located or, in case

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117     of a pawnshop located within a municipality, the police chief of       146     business of making pawns; who makes a public display containing
118     the municipality in which the pawnshop is located; however, any        147     the term “pawn,” “pawnbroker,” or “pawnshop” or any derivative
119     sheriff or police chief may designate as the appropriate law           148     thereof; or who publicly displays a sign or symbol historically
120     enforcement official for the county or municipality, as                149     identified with pawns. A pawnbroker may also engage in the
121     applicable, any law enforcement officer working within the             150     business of purchasing goods which includes consignment and
122     county or municipality headed by that sheriff or police chief.         151     trade.
123     Nothing in this subsection limits the power and responsibilities       152          (o)(j) “Pawnbroker transaction form” means the instrument
124     of the sheriff.                                                        153     on which a pawnbroker records pawns and purchases as provided in
125          (e)(c) “Claimant” means a person who claims that his or her       154     subsection (8).
126     property was misappropriated.                                          155          (m)(k) “Pawn service charge” means a charge for
127          (f)(d) “Conveying customer” means a person who delivers           156     investigating the title, storage, and insuring of the security;
128     property into the custody of a pawnbroker, either by pawn, sale,       157     closing the transaction; making daily reports to appropriate law
129     consignment, or trade.                                                 158     enforcement officials; expenses and losses; and all other
130          (h)(e) “Identification” means a United States Government-         159     services.
131     issued photographic identification or an electronic image taken        160          (p)(l) “Pawnshop” means the location at which a pawnbroker
132     from a United States Government-issued photographic                    161     conducts business.
133     identification or other verifiable government-issued                   162          (q)(m) “Permitted vendor” means a vendor who furnishes a
134     identification.                                                        163     pawnbroker with an invoice specifying the vendor’s name and
135          (i)(f) “Misappropriated” means stolen, embezzled,                 164     address, the date of the sale, a description of the items sold,
136     converted, or otherwise wrongfully appropriated against the will       165     and the sales price, and who has an established place of
137     of the rightful owner.                                                 166     business, or, in the case of a secondhand dealer as defined in
138          (j)(g) “Net worth” means total assets less total                  167     s. 538.03, has represented in writing that such dealer has
139     liabilities.                                                           168     complied with all applicable recordkeeping, reporting, and
140          (l)(h) “Pawn” means any advancement of funds on the               169     retention requirements pertaining to goods sold or otherwise
141     security of pledged goods on condition that the pledged goods          170     delivered to a pawnbroker.
142     are left in the possession of the pawnbroker for the duration of       171          (r)(n) “Person” means an individual, partnership,
143     the pawn and may be redeemed by the pledgor on the terms and           172     corporation, joint venture, trust, association, or other legal
144     conditions contained in this section.                                  173     entity.
145          (n)(i) “Pawnbroker” means any person who is engaged in the        174          (s)(o) “Pledged goods” means tangible personal property

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175     that is deposited with, or otherwise delivered into the                204     vested with a certain amount of discretion and independent
176     possession of a pawnbroker in connection with a pawn. “Pledged         205     judgment.
177     goods” does not include titles or any other form of written            206          (v) “Statewide reporting system” means software that the
178     security in tangible property in lieu of actual physical               207     Department of Law Enforcement shares with law enforcement
179     possession, including, but not limited to, choses in action,           208     agencies in this state for all pawnbrokers, secondhand dealers,
180     securities, printed evidence of indebtedness, or certificates of       209     and secondary metals recyclers in this state to use to report
181     title and other instruments evidencing title to separate items         210     transactions to law enforcement and for law enforcement agencies
182     of property, including motor vehicles. For purposes of federal         211     to use for investigations.
183     and state bankruptcy laws, a pledgor’s interest in his or her          212          (9) RECORDKEEPING; REPORTING; HOLD PERIOD.—
184     pledged goods during the pendency of a pawn is a right of              213          (b)1. The Department of Law Enforcement shall supply a
185     redemption only.                                                       214     statewide reporting system to law enforcement agencies. The
186          (t)(p) “Pledgor” means an individual who delivers pledged         215     system shall be developed and maintained pursuant to s.
187     goods into the possession of a pawnbroker in connection with a         216     790.335(5) through a department contract with a third-party
188     pawn.                                                                  217     private provider that is exclusively incorporated, owned, and
189          (u)(q) “Purchase” means the transfer and delivery of goods,       218     operated in the United States and that restricts access to such
190     by a person other than a permitted vendor, to a pawnbroker by          219     transaction information to appropriate law enforcement agencies
191     acquisition for value, consignment, or trade for other goods.          220     for legitimate law enforcement purposes only. The system must
192          (b)(r) “Amount financed” is used interchangeably to mean          221     have the ability to provide daily exports of the transaction
193     the same as “amount of money advanced” or “principal amount”.          222     data, in compliance with s. 790.335, to the Department of Law
194          (g)(s) “Default date” means that date upon which the              223     Enforcement for use in law enforcement data-sharing systems.
195     pledgor’s right of redemption expires and absolute right, title,       224          2. If a the appropriate law enforcement agency supplies the
196     and interest in and to the pledged goods shall vest in and shall       225     appropriate software and the pawnbroker presently has the
197     be deemed conveyed to the pawnbroker by operation of law.              226     computer capability ability, pawn transactions shall be
198          (d)(t) “Beneficial owner” means a person who does not have        227     electronically transferred. If a pawnbroker does not presently
199     title to property but has rights in the property which are the         228     have the computer capability ability, the sheriff having
200     normal incident of owning the property.                                229     jurisdiction over the pawnshop location appropriate law
201          (k)(u) “Operator” means a person who has charge of a              230     enforcement agency may provide the pawnbroker with a computer
202     corporation or company and has control of its business, or of          231     and all necessary equipment for the purpose of electronically
203     its branch establishments, divisions, or departments, and who is       232     transferring pawn transactions using the statewide reporting

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233     system. The sheriff retains appropriate law enforcement agency
234     shall retain ownership of the computer, unless otherwise agreed
235     upon. The pawnbroker shall maintain the computer in good working
236     order, ordinary wear and tear excepted. In the event the
237     pawnbroker transfers pawn transactions electronically, the
238     pawnbroker is not required to also deliver to the appropriate
239     law enforcement official the original or copies of the
240     pawnbroker transaction forms. The appropriate law enforcement
241     official may, for the purposes of a criminal investigation,
242     request that the pawnbroker produce an original of a transaction
243     form that has been electronically transferred. The pawnbroker
244     shall deliver this form to the appropriate law enforcement
245     official within 24 hours of the request.
246          Section 5. This act shall take effect July 1, 2024.




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                                            THE FLORIDA SENATE                                  GOMMITTEES:
                                                                                                Banking and lnsurance, Chair
                                                                                                Aoriculture. Vice Chair
                                                 Tallahassee, Florida 32399-1100                Aipropriatibns Committee on Agriculture, Environment,
                                                                                                 and General Government
                                                                                                Finance and Tax
                                                                                                Fiscal Policy
                                                                                                Judiciary
                                                                                                Rules




SENATOR JIM BOYD
    20th District




November 15,2023




Senator Jay Trumbull
Senate Committee on Commerce and Tourism
310 Knott Building
404 South Monroe Street
Tallahassee,FL 32399

Dear Chairman Trumbull:

I respectfully request Senate Bill 314: Business Transactions, be scheduled for a Committee on
Commerce and Tourism hearing at your earliest convenience.

If I can assist you on this or any other matter, please do not hesitate to contact me

I appreciate your consideration of this matter.

Best regards,


  w4
Jim Boyd

cc: Todd McKay
    Renita Hayes




               REPLY TO:
                    O 717 ManateeAvenueWest, Bradenton, Florida 34205 (941)742-6445
                    O4l5SenateBuilding,404SouthMonroeStreet,Tallahassee,Florida32399-1100      (850)487-5020

                                                 Senate's Website: www.fl senate.gov


                    KATHLEEN PASSIDOMO                                                        DENNIS BAXLEY
                     President of the Senate                                                President Prc Tempore
                                                        The Florida Senate
                    BILL ANALYSIS AND FISCAL IMPACT STATEMENT
                (This document is based on the provisions contained in the legislation as of the latest date listed below.)

                    Prepared By: The Professional Staff of the Committee on Commerce and Tourism

BILL:              SB 890
INTRODUCER:        Senator Boyd
SUBJECT:           Taxation
DATE:              January 12, 2024               REVISED:


           ANALYST                      STAFF DIRECTOR                 REFERENCE                                 ACTION
1. Renner                             McKay                                 CM              Favorable
2.                                                                          FT
3.                                                                          AP



    I.    Summary:

          SB 890 exempts from the sales and use tax the retail sale of impact-resistant windows, doors, and
          garage doors for two years between July 1, 2024 and June 30, 2026.

          The Revenue Estimating Conference (REC) has not reviewed the bill; however, a two-year sales
          and use tax exemption on impact-resistant windows, doors, and garage doors was included in
          chapter 2022-97, Laws of Florida. The REC determined that those exemptions would reduce
          General Revenue Fund receipts by $158 million and would reduce local revenues by $46.7
          million in Fiscal Year 2022-2023.

          The bill takes effect upon becoming a law.


    II.   Present Situation:

          Florida Sales and Use Tax

          Florida levies a 6 percent sales and use tax on the sale or rental of most tangible personal
          property,1 admissions,2 transient rentals,3 and a limited number of services, and a 5.5 percent
          sales and use tax on the rental of commercial real estate.4 Chapter 212, F.S., contains provisions
          authorizing the levy and collection of Florida’s sale and use tax, as well as the exemptions and
          credits applicable to certain items or uses under specified circumstances. Sales tax is added to the
          price of the taxable good or service and collected from the purchaser at the time of sale.5

1
  Section 212.05(1)(a)1.a., F.S.
2
  Section 212.04(1)(b), F.S.
3
  Section 212.03(1)(a), F.S.
4
  Section 212.031, F.S.
5
  Section 212.07(2), F.S.
BILL: SB 890                                                                                                            Page 2


         Counties are authorized to impose local discretionary sales surtaxes in addition to the state sales
         tax.6 A surtax applies to “all transactions occurring in the county which transactions are subject
         to the state tax imposed on sales, use, services, rentals, admissions, and other transactions by [ch.
         212, F.S.], and communications services as defined in ch. 202.”7 The discretionary sales surtax is
         based on the tax rate imposed by the county where the taxable goods or services are sold or
         delivered. Discretionary sales surtax rates currently levied vary by county in a range of 0.0 to 1.5
         percent.8

         Impact-resistant windows, doors, and garage doors are subject to Florida sales tax. However,
         chapter 2022-97, Laws of Florida, exempted these items from the sales and use tax for a two-
         year period. The exemption expires on July 1, 2024.

         Impact-Resistant Windows, Doors, and Garage Doors

         All of Florida’s coastline has been impacted by at least one hurricane. The southeast coastline is
         extremely susceptible to a land-falling hurricane, followed by the panhandle. If a hurricane
         makes landfall elsewhere in the state, the impacts can be felt hundreds of miles away.9

         The biggest impact from hurricanes is wind. The highest winds occur just outside of the center of
         the eye-wall and the strongest hurricanes can have winds in excess of 155 miles per hour. Roofs,
         trees and power lines are frequently damaged.10

         Retrofitting buildings with impact-resistant doors can help reduce the damage caused by
         hurricanes. Windborne debris can easily break standard doors with unprotected glass.11 This
         allows wind and water into the building, damaging its contents. In addition, the wind can break
         the building apart from the inside by blowing off the roof and water damage can lead to
         significant deterioration of the structural elements of the building.12 Installing impact-resistant
         doors can help protect against windborne debris as they minimize the risk of breaking doors and
         door glass.13 Impact-resistant doors must be third-party tested/rated and commonly include
         reinforced frames, tighter weather stripping, and energy efficient glass.14




6
  Section 212.055, F.S.
7
  Section 212.054(2)(a), F.S.
8
  Florida Department of Revenue, Discretionary Sales Surtax Information for Calendar Year 2024,
https://floridarevenue.com/Forms_library/current/dr15dss_24.pdf (last visited Jan. 12, 2024).
9
  Florida State University Florida Climate Center, Hurricanes, https://climatecenter.fsu.edu/topics/hurricanes (last visited Jan.
12, 2024).
10
   Id.
11
   National Association of Home Builders, Retrofit Improvements, https://www.nahb.org/-/media/NAHB/advocacy/docs/top-
priorities/codes/retrofit-improvements/retrofit-improvements-impact-resistant-doors-2020.pdf (last visited Jan. 12, 2024).
12
   Id.
13
   Id.
14
   Id.
BILL: SB 890                                                                                                            Page 3

III.     Effect of Proposed Changes:

         The bill exempts from the sales and use tax the retail sale of impact-resistant windows, doors,
         and garage doors for two years between July 1, 2024 and June 30, 2026.

         The Department of Revenue is authorized to adopt emergency rules.

         The bill takes effect upon becoming a law.

IV.      Constitutional Issues:

         A.       Municipality/County Mandates Restrictions:

                  Article VII, s. 18 of the Florida Constitution governs laws that require counties and
                  municipalities to spend funds, limit the ability of counties and municipalities to raise
                  revenue, or reduce the percentage of state tax shared with counties and municipalities.

                  Subsection (b) of Art. VII, s. 18 of the Florida Constitution provides that except upon
                  approval of each house of the Legislature by two-thirds vote of the membership, the
                  legislature may not enact, amend, or repeal any general law if the anticipated effect of
                  doing so would be to reduce the authority that municipalities or counties have to raise
                  revenue in the aggregate, as such authority existed on February 1, 1989. However, the
                  mandates requirements do not apply to laws having an insignificant impact,15,16 which is
                  $2.3 million or less for Fiscal Year 2024-2025.17

                  The REC has not reviewed the bill.

         B.       Public Records/Open Meetings Issues:

                  None.

         C.       Trust Funds Restrictions:

                  None.

         D.       State Tax or Fee Increases:

                  Section 19 of Article VII, Florida Constitution requires increased taxes or fees to be
                  passed in a separate bill and by two-thirds vote of the membership of each house of the
                  Legislature. This bill does not increase any taxes or fees; therefore, the increased tax or
                  fee requirements do not apply.

15
   FLA. CONST. art. VII, s. 18(d).
16
   An insignificant fiscal impact is the amount not greater than the average statewide population for the applicable fiscal year
multiplied by $0.10. See Florida Senate Committee on Community Affairs, Interim Report 2012-115: Insignificant Impact,
(September 2011), http://www.flsenate.gov/PublishedContent/Session/2012/InterimReports/2012-115ca.pdf (last visited Jan.
12, 2024).
17
   Based on the Demographic Estimating Conference’s estimated population adopted on July 11, 2023,
http://edr.state.fl.us/Content/conferences/population/archives/230711demographic.pdf (last visited Jan. 12, 2024).
 BILL: SB 890                                                                                                                         Page 4

        E.       Other Constitutional Issues:

                 None identified.

  V.    Fiscal Impact Statement:

        A.       Tax/Fee Issues:

                 The REC has not reviewed the bill; however, a two-year sales and use tax exemption on
                 impact-resistant windows, doors, and garage doors was included in chapter 2022-97,
                 Laws of Florida. The REC determined that those exemptions would reduce General
                 Revenue Fund receipts by $158 million and would reduce local revenues by $46.7
                 million in Fiscal Year 2022-2023.

        B.       Private Sector Impact:

                 The private sector will experience reduced costs associated with the purchase of impact-
                 resistant windows, doors, and garage doors due to the sales and use tax exemption
                 provided in this legislation.

        C.       Government Sector Impact:

                 None.

 VI.    Technical Deficiencies:

        None.

VII.    Related Issues:

        None.

VIII.   Statutes Affected:

        None.

 IX.    Additional Information:

        A.       Committee Substitute – Statement of Changes:
                 (Summarizing differences between the Committee Substitute and the prior version of the bill.)

                 None.

        B.       Amendments:

                 None.

         This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.
       Florida Senate - 2024                                        SB 890



       By Senator Boyd




       20-00876-24                                                2024890__
1                              A bill to be entitled
2           An act relating to taxation; exempting from sales and
3           use tax the retail sale of impact-resistant windows,
4           impact-resistant doors, and impact-resistant garage
5           doors during a specified timeframe; authorizing the
6           Department of Revenue to adopt emergency rules;
7           providing an effective date.
8
9      Be It Enacted by the Legislature of the State of Florida:
10
11          Section 1. (1) The tax levied under chapter 212, Florida
12     Statutes, may not be collected during the period from July 1,
13     2024, through June 30, 2026, on the retail sale of impact-
14     resistant windows, impact-resistant doors, and impact-resistant
15     garage doors.
16          (2) The Department of Revenue is authorized, and all
17     conditions are deemed met, to adopt emergency rules pursuant to
18     s. 120.54(4), Florida Statutes, for the purpose of implementing
19     this section.
20          Section 2. This act shall take effect upon becoming a law.




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                                                                                                                                                                                           (travel, meals, lodging, etc.),
                                                                                                                                                                                           sponsored by:

                                                                                                                      hu & Arlwcrqle!

This form is part of the public record forthis meeting.                                                                                                                                                          s-001 (o8/1o/2o2't)




                                                   THE FLORIDA SENATE                                  COMiIITIEES:
                                                                                                       Banking and lnsurance, Chair
                                                                                                       Aoriculture. Vice Chair
                                                        Tallahassee, Florida 32399-1100                Aflpropriatibns Committee on Agriculture, Environment,
                                                                                                        and General Government
                                                                                                       Finance and Tax
                                                                                                       Fiscal Policy
                                                                                                       Judiciary
                                                                                                       Rules




      SENATOR JIM BOYD
           20th District




       January 4,2024




       Senator Jay Trumbull
       Senate Committee on Commerce and Tourism
       310 Knott Building
       404 South Monroe Street
       Tallahassee,FL 32399

       Dear Chairman Trumbull:

       I respectfully request Senate Bill 890: Taxation, be scheduled for a hearing in the Committee on
       Commerce and Tourism, at your earliest convenience.

       If I can assist you on this or any other matter, please do not hesitate to contact me.

       I appreciate your consideration of this matter

       Best regards,


        ww
       Jim Boyd

       cc: Todd McKay
           Renita Hayes




                      REPLY TO:
                           O 717 ManateeAvenueWes{, Bradenton, Florida 34205 (941)742'6445
                           D4l5SenaleBuilding,404SouthMonroeStreet,Tallahassee,Florida32399-1100      (850)487-5020

                                                        Senate's Website'. www.flsenate.gov


                           KATHLEEN PASSIDOMO                                                        DENNIS BAXLEY
                            President ot the Senate                                                President Pro Tempore
                                                      The Florida Senate
                  BILL ANALYSIS AND FISCAL IMPACT STATEMENT
              (This document is based on the provisions contained in the legislation as of the latest date listed below.)

                  Prepared By: The Professional Staff of the Committee on Commerce and Tourism

BILL:           CS/SB 612
INTRODUCER:     Senator Hooper
SUBJECT:        Building Construction Regulations and System Warranties
DATE:           January 18, 2024                REVISED:


           ANALYST                    STAFF DIRECTOR                 REFERENCE                                 ACTION
1. Baird                            McKay                                 CM              Fav/CS
2.                                                                        CA
3.                                                                        RC



                     Please see Section IX. for Additional Information:
                                   COMMITTEE SUBSTITUTE - Substantial Changes




  I.    Summary:

        CS/SB 612 implements the following changes:
         Expands the scope of work for specified HVAC system contractors to include specified line-
           side repairs or replacements and the repair or replacement of specified components for
           dedicated HVAC circuits with proper use of a circuit breaker lock.
         Prohibits the conditioning of an HVAC system warranty on product registration and specifies
           that the full length of such a warranty’s coverage term begins on the date a licensed
           contractor installs the system.

        The bill provides an effective date of July 1, 2024.

  II.   Present Situation:

        Explanation of the Present Situation is provided in the Effect of Proposed Changes, below.

 III.   Effect of Proposed Changes:

        Definitions of Contractor

        Part I of Chapter 489, F.S., pertains to regulation of construction contracting. Section 489.105,
        F.S., provides the definitions used throughout the part.
BILL: CS/SB 612                                                                                            Page 2

           “Contractor” means the person who is qualified for, and is only responsible for, the project
           contracted for and means, except as exempted in this part, the person who, for compensation,
           undertakes to, submits a bid to, or does himself or herself or by others construct, repair, alter,
           remodel, add to, demolish, subtract from, or improve any building or structure, including related
           improvements to real estate, for others or for resale to others; and whose job scope is
           substantially similar to the job scope described in one of the paragraphs of this subsection. For
           the purposes of regulation under this part, the term “demolish” applies only to demolition of steel
           tanks more than 50 feet in height; towers more than 50 feet in height; other structures more than
           50 feet in height; and all buildings or residences.1

           “Class A air-conditioning contractor” means a contractor whose services are unlimited in the
           execution of contracts requiring the experience, knowledge, and skill to install, maintain, repair,
           fabricate, alter, extend, or design, if not prohibited by law, central air-conditioning, refrigeration,
           heating, and ventilating systems, including duct work in connection with a complete system if
           such duct work is performed by the contractor as necessary to complete an air-distribution
           system, boiler and unfired pressure vessel systems, and all appurtenances, apparatus, or
           equipment used in connection therewith, and any duct cleaning and equipment sanitizing that
           requires at least a partial disassembling of the system; to install, maintain, repair, fabricate, alter,
           extend, or design, if not prohibited by law, piping, insulation of pipes, vessels and ducts, pressure
           and process piping, and pneumatic control piping; to replace, disconnect, or reconnect power
           wiring on the load side of the dedicated existing electrical disconnect switch; to install,
           disconnect, and reconnect low voltage heating, ventilating, and air-conditioning control wiring;
           and to install a condensate drain from an air-conditioning unit to an existing safe waste or other
           approved disposal other than a direct connection to a sanitary system. The scope of work for
           such contractor also includes any excavation work incidental thereto, but does not include any
           work such as liquefied petroleum or natural gas fuel lines within buildings, except for
           disconnecting or reconnecting changeouts of liquefied petroleum or natural gas appliances within
           buildings; potable water lines or connections thereto; sanitary sewer lines; swimming pool piping
           and filters; or electrical power wiring. A Class A air-conditioning contractor may test and
           evaluate central air-conditioning, refrigeration, heating, and ventilating systems, including duct
           work; however, a mandatory licensing requirement is not established for the performance of
           these specific services.2

           “Class B air-conditioning contractor” means a contractor whose services are limited to 25 tons of
           cooling and 500,000 Btu of heating in any one system in the execution of contracts requiring the
           experience, knowledge, and skill to install, maintain, repair, fabricate, alter, extend, or design, if
           not prohibited by law, central air-conditioning, refrigeration, heating, and ventilating systems,
           including duct work in connection with a complete system only to the extent such duct work is
           performed by the contractor as necessary to complete an air-distribution system being installed
           under this classification, and any duct cleaning and equipment sanitizing that requires at least a
           partial disassembling of the system; to install, maintain, repair, fabricate, alter, extend, or design,
           if not prohibited by law, piping and insulation of pipes, vessels, and ducts; to replace, disconnect,
           or reconnect power wiring on the load side of the dedicated existing electrical disconnect switch;
           to install, disconnect, and reconnect low voltage heating, ventilating, and air-conditioning control

1
    Section 498.105(3), F.S.
2
    Section 489.105(3)(f), F.S.
BILL: CS/SB 612                                                                                                         Page 3

         wiring; and to install a condensate drain from an air-conditioning unit to an existing safe waste or
         other approved disposal other than a direct connection to a sanitary system. The scope of work
         for such contractor also includes any excavation work incidental thereto, but does not include
         any work such as liquefied petroleum or natural gas fuel lines within buildings, except for
         disconnecting or reconnecting changeouts of liquefied petroleum or natural gas appliances within
         buildings; potable water lines or connections thereto; sanitary sewer lines; swimming pool piping
         and filters; or electrical power wiring. A Class B air-conditioning contractor may test and
         evaluate central air-conditioning, refrigeration, heating, and ventilating systems, including duct
         work; however, a mandatory licensing requirement is not established for the performance of
         these specific services.3

         “Mechanical contractor” means a contractor whose services are unlimited in the execution of
         contracts requiring the experience, knowledge, and skill to install, maintain, repair, fabricate,
         alter, extend, or design, if not prohibited by law, central air-conditioning, refrigeration, heating,
         and ventilating systems, including duct work in connection with a complete system if such duct
         work is performed by the contractor as necessary to complete an air-distribution system, boiler
         and unfired pressure vessel systems, lift station equipment and piping, and all appurtenances,
         apparatus, or equipment used in connection therewith, and any duct cleaning and equipment
         sanitizing that requires at least a partial disassembling of the system; to install, maintain, repair,
         fabricate, alter, extend, or design, if not prohibited by law, piping, insulation of pipes, vessels
         and ducts, pressure and process piping, pneumatic control piping, gasoline tanks and pump
         installations and piping for same, standpipes, air piping, vacuum line piping, oxygen lines,
         nitrous oxide piping, ink and chemical lines, fuel transmission lines, liquefied petroleum gas
         lines within buildings, and natural gas fuel lines within buildings; to replace, disconnect, or
         reconnect power wiring on the load side of the dedicated existing electrical disconnect switch; to
         install, disconnect, and reconnect low voltage heating, ventilating, and air-conditioning control
         wiring; and to install a condensate drain from an air-conditioning unit to an existing safe waste or
         other approved disposal other than a direct connection to a sanitary system. The scope of work
         for such contractor also includes any excavation work incidental thereto, but does not include
         any work such as potable water lines or connections thereto, sanitary sewer lines, swimming pool
         piping and filters, or electrical power wiring. A mechanical contractor may test and evaluate
         central air-conditioning, refrigeration, heating, and ventilating systems, including duct work;
         however, a mandatory licensing requirement is not established for the performance of these
         specific services.4

         HVAC System Contractor Limitations

         An electrical disconnect switch is a switch that isolates all wiring in a home or other structure, or
         the wiring in a dedicated electrical circuit,5 from its power source.6 Electricity to a disconnect
3
  Section 489.105(3)(g), F.S.
4
  Section 489.105(3)(i), F.S.
5
  A “dedicated electrical circuit” has its own circuit breaker and supports a single outlet; thus, only one electrically powered
device can draw power from that circuit at any given time. Harrison Electric, Inc. Dedicated Circuits: What They Are & How
to Determine If You Need Them, (August 16, 2021), available at https://harrison-electric.com/Blog/entryid/243/dedicated-
circuits-what-they-are-how-to-determine-if-you-need-them (last visited January 16, 2024).
6
  Power will flow to the breaker so long as the power source is operational, but power will only flow from the breaker
through the structure if the disconnect switch is flipped to the “on” position. This is what is meant by “isolate.” American
Electrical, Inc., Switching to Safety: Exploring the Importance of Disconnect Switches in Electrical Systems, (June 20, 2023),
BILL: CS/SB 612                                                                                                   Page 4

        switch is fed from the “load side,” or outgoing side, of the power source to the “line side,” or
        incoming side, of the switch; electricity is then fed from the “load side” of the disconnect switch
        to the “line side” of the device to be powered.7 The components of an electrical circuit, including
        an electrical disconnect switch, are rated for a maximum flow of electrical current, measured in
        amperes; the higher the ampere rating, the more continuous electrical current an electrical circuit
        can handle without the risk of component deterioration or overheating.8

        An HVAC unit must have a dedicated electrical disconnect switch, which switch must be located
        within sight of and be readily accessible from the HVAC unit.9 Electricity runs from the power
        source to the dedicated HVAC electrical disconnect switch through the switch’s “line side,” and
        from the switch’s “load side” to the HVAC unit.

        Under Florida law, only a licensed electrical contractor may perform “line side” work on the
        dedicated HVAC electrical disconnect switch.10 Thus, HVAC system contractors, whether they
        are class A, class B, or mechanical, are currently prohibited from replacing, disconnecting, or
        reconnecting power wiring on the line side of the dedicated HVAC disconnect switch or from
        repairing or replacing power wiring, disconnects, breakers, or fuses for dedicated HVAC circuits.
        However, the Building Code requires that HVAC units and components thereof be installed in
        compliance with the amperage requirements of the unit or component.11 Thus, where
        components of a home or structure’s existing electrical circuit cannot handle the ampere
        requirements of the new or repaired HVAC unit, a licensed electrical contractor is generally
        needed to upgrade the insufficient components before the HVAC contractor may safely turn on
        the new or repaired HVAC unit.

        Section 1 amends the definition of “Class A air-conditioning contractor,” “Class B air-
        conditioning contractor,” and “mechanical contractor” to allow them to replace, disconnect, or
        reconnect power wiring on the line or load side of the dedicated existing electrical disconnect
        switch on single-phase electrical systems, and to repair or replace power wiring, disconnects,
        breakers, or fuses for dedicated HVAC circuits with proper use of a circuit breaker lock.

        HVAC System Warranties

        A warranty is an assurance that a manufacturer or seller makes about the condition of its
        product.12 A warranty means that a manufacturer or seller will replace or repair the product under
        certain instances. A warranty can be either express or implied.13


available at https://www.linkedin.com/pulse/switching-safety-exploring-importance-disconnect/ (last visited January 12,
2024).
7
  Barbara Bellesi Zito, Line vs. Load Wire: What’s the Difference, (May 5, 2023), available at
https://www.angi.com/articles/line-vs-load-wire.htm (last visited January 16, 2024).
8
  Dave Robbs, What are Amps, Watts, Volts, and Ohms, How Stuff Works, (October 3, 2022), available at
https://science.howstuffworks.com/environmental/energy/question501.htm (last visited January 16, 2024).
9
  Section 301.10, Florida Building Code (7th Ed. 2020); s. 440.14 of NFPA 70, National Electrical Code (2023 ed.).
10
   Section 489.505(12), F.S.
11
   Section 301.10, Florida Building Code (7th Ed. 2020); s. 440.14 of NFPA 70, National Electrical Code (2023 ed.).
12 Will Kenton, Warranty Definition, Types, Example, and How It Works, Investopedia, (November 24, 2022), available at

https://www.investopedia.com/terms/w/warranty.asp (last visited January 16, 2024).
13
   45 Fla. Jur 2d Sales and Exchanges of Goods § 156.
BILL: CS/SB 612                                                                                                        Page 5

         An express warranty is a verbal or written assurance for the product.14 On the other hand, an
         implied warranty is an unstated assurance that the product is made for its intended purpose.15 An
         implied warranty is in addition to an express warranty. However, an implied warranty may be
         negated or limited by an express warranty. There is no implied warranty if a seller states that the
         product is “as is,” “with all faults,” or similar language.16

         A manufacturer warranty attaches to the purchase of the product by the manufacturer. A
         manufacturer warranty is considered a limited warranty because the warranty is only valid for a
         certain time period after the purchase. These terms and conditions are created by the
         manufacturer. Once the period of coverage is over, someone can purchase an extended warranty
         under different coverage terms to extend the protection of the product beyond the terms and
         conditions laid out in the manufacturer warranty.17

         Magnuson-Moss Warranty Act
         The Magnuson-Moss Warranty Act (MMWA)18 is a federal law that governs consumer product
         warranties. Passed in 1975, the Act requires manufacturers and sellers of consumer products to
         provide consumers with detailed information about warranty coverage before and after the sale
         of the warranted product.19

         The MMWA defines three kinds of consumers:
          A buyer of any consumer product.
          Any person to whom such product is transferred during the duration of an implied or express
            warranty applicable to the product.
          Any other person who is entitled by the terms of such warranty or under applicable State law
            to enforce the obligations of the warranty.20

         Manufacturer Warranties for HVAC Systems in Florida
         Most manufacturers require that an HVAC contractor purchase and install the HVAC system
         before the consumer can register the HVAC system for the limited manufacturer warranty.
         Generally, manufacturers provide a warranty for the HVAC system for 5 to 10 years. The
         warranty covers parts that might fail such as the air compressor or furnace heat exchanger. The



14
   “An express warranty is created by an affirmation of fact or promise made by the seller to the buyer that relates to the
goods, by any description of the goods that is made part of the basis of the bargain, or by any sample or model that is made
part of the basis of the bargain.” Section 672.313, F.S.
15
   Section 672.314, F.S.
16
   Section 672.316, F.S.
17
   Tom Scott, Extended Warranties vs. Manufacturer Warranties: What's the Difference?, Fortegra, (July 9, 2019), available
at https://blog.fortegra.com/extended-warranties-vs.-manufacturer-warranties-whats-the-difference (last visited January 16,
2024).
18
   15 U.S.C. §§ 2301-2312 (1975).
19
   MMWA does not apply if a seller or manufacturer does not provide a warranty on their product. Jason Gordon, Magnuson
Moss Warranty Act – Explained, The Business Professor, (September 26, 2021), available at
https://thebusinessprofessor.com/en_US/consumer-law/magnuson-moss-warranty-act (last visited January 16, 2024).
20
   O'Connor v. BMW of N. Am., LLC, 905 So. 2d 235, 236–37 (Fla. 2d DCA 2005); see also, § 2310(d) of MMMWA
provides that, “a consumer who is damaged by the failure of a supplier, warrantor, or service contractor to comply with any
obligation under this title, or under a written warranty, implied warranty, or service contract, may bring suit for damages…”.
BILL: CS/SB 612                                                                                                   Page 6

        manufacturer will replace or repair any parts at no cost if the parts are covered under the
        warranty.21

        Before July 1, 2023, if a building or house that contained an HVAC system with a manufacturer
        warranty was sold to another person, the warranty time could be cut short or not transfer to the
        new owner. The assignment of the HVAC warranty to the new owner was contingent upon the
        terms and conditions for the warranty. In Florida, most manufacturer warranties are tied to a
        person instead of the property. Usually, the manufacturer warranty is tied to the original owner
        and does not transfer when the property is sold unless the previous owner transfers it to the new
        owner if that is an option in the warranty.

        However, in 2023, the Florida Legislature enacted Chapter 2023-288, Laws of Florida, which, in
        pertinent part, provided that an HVAC manufacturer’s warranty on a system that is a fixture to
        the property runs with the property, not with the original purchaser; thus, in the sale of a
        residential property, the manufacturer’s warranty automatically passes to the new owner.22
        Further, the law specifies that:
         The warranty continues in effect as if the new owner were the original purchaser of the
            covered system or component;
         A warrantor continues to be obligated under the terms of a manufacturer’s warranty
            agreement for a warranty so transferred and may not charge a fee for such transfer;23 and
         Such a transfer does not extend the remaining time of the warranty’s coverage period.24

        Before July 1, 2023, an HVAC system manufacturer could refuse to honor the terms of an
        HVAC system warranty if the purchaser of the HVAC system or a component covered by the
        warranty did not register the warranty with the manufacturer. Pursuant to the law enacted in
        2023, a manufacturer’s HVAC warranty is deemed registered with the manufacturer if a
        contractor licensed under Part I of Ch. 489, F.S.:
         Installs the new HVAC system; and
         Provides the manufacturer with the date of issuance of the certificate of occupancy for
           installations relating to new construction, or the serial number of the HVAC system for
           installations relating to existing construction, as applicable.25

        Such a contractor must document the installation through an invoice or a receipt and give the
        invoice or receipt to the customer.26

        Section 2 amends s. 559.956, F.S., to remove language:
         Indicating that an HVAC system manufacturer’s warranty is deemed registered if a licensed
           contractor installs the new HVAC system and provides the manufacturer with the date of


21
   Bryan Carnahan, HVAC Warranties and You: What Are They, and Why Should You Register Your Product?, Fire & Ice
Heating and Air Conditioning, Inc., (July 1, 2022), available at https://indoortemp.com/resources/hvac-warranties-and-
product-registration (last visited January 16, 2024).
22
   Section 559.956(1), F.S.
23
   Id.
24
   Section 559.956(2), F.S.
25
   Section 559.956(4), F.S.
26
   Section 559.956(5), F.S.
BILL: CS/SB 612                                                                                      Page 7

           issuance of the certificate of occupancy for installations relating to new construction or the
           serial number of the HVAC system for installations relating to existing construction.
          Requiring a licensed contractor who installs a new HVAC system to document the
           installation through an invoice or receipt and provide the invoice or receipt to the customer.

      Section 3 creates s. 559.957, F.S., to specify that the full length of a manufacturer’s,
      distributor’s, or retailer’s HVAC system or system component warranty is effective in Florida on
      the date of installation if installed by a contractor licensed under Part I of Ch. 48, F.S. Under this
      new section created by the bill, if an HVAC system or system component manufacturer,
      distributor, or retailer provides a warranty or product registration card form, or an electronic,
      online warrant or product registration form, the card or form must contain the following
      information, which information must be displayed in a clear and conspicuous manner:
       The card or form is for the product registration.
       Failure to complete and return the card or form does not diminish any warranty rights or
          decrease the warranty length.
       Any offered manufacturer’s, distributor’s, or retailer’s HVAC system or system component
          warranty may not be in any way conditioned upon the product registration.

      Relatedly, the bill amends s. 559.956, F.S., to specify that an HVAC system manufacturer’s
      warranty may not be in any way conditioned upon product registration. This provision applies if:
       A sale of a residential property that includes an HVAC system as a fixture occurs on or after
         July 1, 2024; and
       A manufacturer’s warranty is still in effect on the HVAC system or a system component.

      Effective Date

      Section 4 specifies an effective date of July 1, 2024.

IV.   Constitutional Issues:

      A.      Municipality/County Mandates Restrictions:

              None.

      B.      Public Records/Open Meetings Issues:

              None.

      C.      Trust Funds Restrictions:

              None.

      D.      State Tax or Fee Increases:

              None.
 BILL: CS/SB 612                                                                                                Page 8

        E.      Other Constitutional Issues:

                None identified.

  V.    Fiscal Impact Statement:

        A.      Tax/Fee Issues:

                None.

        B.      Private Sector Impact:

                None.

        C.      Government Sector Impact:

                None.

 VI.    Technical Deficiencies:

        None.

VII.    Related Issues:

        None.

VIII.   Statutes Affected:

        489.105, 553.775, 559.956, 559.957
        This bill substantially amends sections 489.105 and 559.956 of the Florida Statutes.

        The bill creates section 559.957 of the Florida Statutes.

 IX.    Additional Information:

        A.      Committee Substitute – Statement of Substantial Changes:
                (Summarizing differences between the Committee Substitute and the prior version of the bill.)

                CS by Commerce and Tourism on January 16, 2024:
                The committee substitute removes the provision authorizing an attorney fee award to the
                prevailing party in a Building Code or Accessibility Code interpretation challenge. It also
                clarifies that an HVAC contractor authorized by the bill can perform specified work on
                the line side of the dedicated existing electrical disconnect switch on a single-phase
                electrical system, and to repair or replace specified components for dedicated HVAC
                circuits with proper use of a circuit breaker lock.

        B.      Amendments:

                None.
BILL: CS/SB 612                                                                                                                     Page 9

       This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.
     Florida Senate - 2024                         COMMITTEE AMENDMENT        Florida Senate - 2024                         COMMITTEE AMENDMENT
     Bill No. SB 612                                                          Bill No. SB 612




                             Ì645676QÎ645676                                                          Ì645676QÎ645676


                             LEGISLATIVE ACTION                          11   such contractor also includes any excavation work incidental
           Senate                    .                   House           12   thereto, but does not include any work such as liquefied
          Comm: RCS                  .                                   13   petroleum or natural gas fuel lines within buildings, except for
         01/16/2024                  .                                   14   disconnecting or reconnecting changeouts of liquefied petroleum
                                     .                                   15   or natural gas appliances within buildings; potable water lines
                                     .                                   16   or connections thereto; sanitary sewer lines; swimming pool
                                     .                                   17   piping and filters; or electrical power wiring. A Class A air-
                                                                         18   conditioning contractor may test and evaluate central air-
                                                                         19   conditioning, refrigeration, heating, and ventilating systems,
                                                                         20   including duct work; however, a mandatory licensing requirement
                                                                         21   is not established for the performance of these specific
                                                                         22   services.
                                                                         23       (g) “Class B air-conditioning contractor” means a
                                                                         24   contractor whose services are limited to 25 tons of cooling and
                                                                         25   500,000 Btu of heating in any one system in the execution of
     The Committee on Commerce and Tourism (Hooper) recommended the      26   contracts requiring the experience, knowledge, and skill to
     following:                                                          27   install, maintain, repair, fabricate, alter, extend, or design,
                                                                         28   if not prohibited by law, central air-conditioning,
1        Senate Amendment                                                29   refrigeration, heating, and ventilating systems, including duct
2                                                                        30   work in connection with a complete system only to the extent
3        Delete lines 65 - 141                                           31   such duct work is performed by the contractor as necessary to
4    and insert:                                                         32   complete an air-distribution system being installed under this
5    fuses for dedicated HVAC circuits with proper use of a circuit      33   classification, and any duct cleaning and equipment sanitizing
6    breaker lock; to install, disconnect, and reconnect low voltage     34   that requires at least a partial disassembling of the system; to
7    heating, ventilating, and air-conditioning control wiring; and      35   install, maintain, repair, fabricate, alter, extend, or design,
8    to install a condensate drain from an air-conditioning unit to      36   if not prohibited by law, piping and insulation of pipes,
9    an existing safe waste or other approved disposal other than a      37   vessels, and ducts; to replace, disconnect, or reconnect power
10   direct connection to a sanitary system. The scope of work for       38   wiring on the line or load side of the dedicated existing
                                                                         39   electrical disconnect switch on single-phase electrical systems;

                                 Page 1 of 4                                                             Page 2 of 4
     1/12/2024 10:27:40 AM                                577-02077-24        1/12/2024 10:27:40 AM                                 577-02077-24




     Florida Senate - 2024                         COMMITTEE AMENDMENT        Florida Senate - 2024                         COMMITTEE AMENDMENT
     Bill No. SB 612                                                          Bill No. SB 612




                             Ì645676QÎ645676                                                          Ì645676QÎ645676


40   to repair or replace power wiring, disconnects, breakers, or        69   connection therewith, and any duct cleaning and equipment
41   fuses for dedicated HVAC circuits with proper use of a circuit      70   sanitizing that requires at least a partial disassembling of the
42   breaker lock; to install, disconnect, and reconnect low voltage     71   system; to install, maintain, repair, fabricate, alter, extend,
43   heating, ventilating, and air-conditioning control wiring; and      72   or design, if not prohibited by law, piping, insulation of
44   to install a condensate drain from an air-conditioning unit to      73   pipes, vessels and ducts, pressure and process piping, pneumatic
45   an existing safe waste or other approved disposal other than a      74   control piping, gasoline tanks and pump installations and piping
46   direct connection to a sanitary system. The scope of work for       75   for same, standpipes, air piping, vacuum line piping, oxygen
47   such contractor also includes any excavation work incidental        76   lines, nitrous oxide piping, ink and chemical lines, fuel
48   thereto, but does not include any work such as liquefied            77   transmission lines, liquefied petroleum gas lines within
49   petroleum or natural gas fuel lines within buildings, except for    78   buildings, and natural gas fuel lines within buildings; to
50   disconnecting or reconnecting changeouts of liquefied petroleum     79   replace, disconnect, or reconnect power wiring on the line or
51   or natural gas appliances within buildings; potable water lines     80   load side of the dedicated existing electrical disconnect switch
52   or connections thereto; sanitary sewer lines; swimming pool         81   on single-phase electrical systems; to repair or replace power
53   piping and filters; or electrical power wiring. A Class B air-      82   wiring, disconnects, breakers, or fuses for dedicated HVAC
54   conditioning contractor may test and evaluate central air-          83   circuits with proper use of a circuit breaker lock; to install,
55   conditioning, refrigeration, heating, and ventilating systems,      84   disconnect, and reconnect low voltage
56   including duct work; however, a mandatory licensing requirement
57   is not established for the performance of these specific
58   services.
59       (i) “Mechanical contractor” means a contractor whose
60   services are unlimited in the execution of contracts requiring
61   the experience, knowledge, and skill to install, maintain,
62   repair, fabricate, alter, extend, or design, if not prohibited
63   by law, central air-conditioning, refrigeration, heating, and
64   ventilating systems, including duct work in connection with a
65   complete system if such duct work is performed by the contractor
66   as necessary to complete an air-distribution system, boiler and
67   unfired pressure vessel systems, lift station equipment and
68   piping, and all appurtenances, apparatus, or equipment used in

                                 Page 3 of 4                                                             Page 4 of 4
     1/12/2024 10:27:40 AM                                577-02077-24        1/12/2024 10:27:40 AM                                 577-02077-24
    Florida Senate - 2024                           COMMITTEE AMENDMENT
    Bill No. SB 612




                             Ì568094CÎ568094


                             LEGISLATIVE ACTION
          Senate                      .                   House
         Comm: RCS                    .
        01/16/2024                    .
                                      .
                                      .
                                      .




    The Committee on Commerce and Tourism (Hooper) recommended the
    following:


1       Senate Amendment(with title amendment)
2
3       Delete lines 155 - 295.
4
5   ================= T I T L E    A M E N D M E N T ================
6   And the title is amended as follows:
7       Delete lines 4 - 8
8   and insert:
9   revising definitions; amending s. 559.956, F.S.;




                                  Page 1 of 1
    1/12/2024 10:25:07 AM                                  577-02076-24
       Florida Senate - 2024                                         SB 612          Florida Senate - 2024                                         SB 612



       By Senator Hooper




       21-00589A-24                                               2024612__          21-00589A-24                                              2024612__
1                              A bill to be entitled                          30     is only responsible for, the project contracted for and means,
2           An act relating to building construction regulations              31     except as exempted in this part, the person who, for
3           and system warranties; amending s. 489.105, F.S.;                 32     compensation, undertakes to, submits a bid to, or does himself
4           revising definitions; amending s. 553.775, F.S.;                  33     or herself or by others construct, repair, alter, remodel, add
5           authorizing prevailing parties in proceedings on                  34     to, demolish, subtract from, or improve any building or
6           interpretations of the Florida Building Code and the              35     structure, including related improvements to real estate, for
7           Florida Accessibility Code for Building Construction              36     others or for resale to others; and whose job scope is
8           to recover attorney fees; amending s. 559.956, F.S.;              37     substantially similar to the job scope described in one of the
9           providing that certain provisions governing the                   38     paragraphs of this subsection. For the purposes of regulation
10          transfer of HVAC manufacturer’s warranties apply to               39     under this part, the term “demolish” applies only to demolition
11          transfers made on or after a specified date;                      40     of steel tanks more than 50 feet in height; towers more than 50
12          prohibiting HVAC manufacturer’s warranties from being             41     feet in height; other structures more than 50 feet in height;
13          conditioned upon the product registration; providing              42     and all buildings or residences. Contractors are subdivided into
14          applicability; removing provisions relating to HVAC               43     two divisions, Division I, consisting of those contractors
15          manufacturer’s warranty registration; creating s.                 44     defined in paragraphs (a)-(c), and Division II, consisting of
16          559.957, F.S.; providing the effective date for                   45     those contractors defined in paragraphs (d)-(q):
17          certain HVAC system and component warranties under a              46          (f) “Class A air-conditioning contractor” means a
18          specified circumstance; providing required information            47     contractor whose services are unlimited in the execution of
19          for warranty and product registration cards and forms;            48     contracts requiring the experience, knowledge, and skill to
20          prohibiting HVAC system and component warranties from             49     install, maintain, repair, fabricate, alter, extend, or design,
21          being conditioned upon product registration; providing            50     if not prohibited by law, central air-conditioning,
22          an effective date.                                                51     refrigeration, heating, and ventilating systems, including duct
23                                                                            52     work in connection with a complete system if such duct work is
24     Be It Enacted by the Legislature of the State of Florida:              53     performed by the contractor as necessary to complete an air-
25                                                                            54     distribution system, boiler and unfired pressure vessel systems,
26          Section 1. Paragraphs (f), (g), and (i) of subsection (3)         55     and all appurtenances, apparatus, or equipment used in
27     of section 489.105, Florida Statutes, are amended to read:             56     connection therewith, and any duct cleaning and equipment
28          489.105 Definitions.—As used in this part:                        57     sanitizing that requires at least a partial disassembling of the
29          (3) “Contractor” means the person who is qualified for, and       58     system; to install, maintain, repair, fabricate, alter, extend,

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       Florida Senate - 2024                                         SB 612           Florida Senate - 2024                                         SB 612




       21-00589A-24                                              2024612__            21-00589A-24                                              2024612__
59     or design, if not prohibited by law, piping, insulation of             88      refrigeration, heating, and ventilating systems, including duct
60     pipes, vessels and ducts, pressure and process piping, and             89      work in connection with a complete system only to the extent
61     pneumatic control piping; to replace, disconnect, or reconnect         90      such duct work is performed by the contractor as necessary to
62     power wiring on the line or load side of the dedicated existing        91      complete an air-distribution system being installed under this
63     electrical disconnect switch on single-phase electrical systems;       92      classification, and any duct cleaning and equipment sanitizing
64     to repair or replace power wiring, disconnects, breakers, or           93      that requires at least a partial disassembling of the system; to
65     fuses for dedicated HVAC circuits; to install, disconnect, and         94      install, maintain, repair, fabricate, alter, extend, or design,
66     reconnect low voltage heating, ventilating, and air-conditioning       95      if not prohibited by law, piping and insulation of pipes,
67     control wiring; and to install a condensate drain from an air-         96      vessels, and ducts; to replace, disconnect, or reconnect power
68     conditioning unit to an existing safe waste or other approved          97      wiring on the line or load side of the dedicated existing
69     disposal other than a direct connection to a sanitary system.          98      electrical disconnect switch on single-phase electrical systems;
70     The scope of work for such contractor also includes any                99      to repair or replace power wiring, disconnects, breakers, or
71     excavation work incidental thereto, but does not include any           100     fuses for dedicated HVAC circuits; to install, disconnect, and
72     work such as liquefied petroleum or natural gas fuel lines             101     reconnect low voltage heating, ventilating, and air-conditioning
73     within buildings, except for disconnecting or reconnecting             102     control wiring; and to install a condensate drain from an air-
74     changeouts of liquefied petroleum or natural gas appliances            103     conditioning unit to an existing safe waste or other approved
75     within buildings; potable water lines or connections thereto;          104     disposal other than a direct connection to a sanitary system.
76     sanitary sewer lines; swimming pool piping and filters; or             105     The scope of work for such contractor also includes any
77     electrical power wiring. A Class A air-conditioning contractor         106     excavation work incidental thereto, but does not include any
78     may test and evaluate central air-conditioning, refrigeration,         107     work such as liquefied petroleum or natural gas fuel lines
79     heating, and ventilating systems, including duct work; however,        108     within buildings, except for disconnecting or reconnecting
80     a mandatory licensing requirement is not established for the           109     changeouts of liquefied petroleum or natural gas appliances
81     performance of these specific services.                                110     within buildings; potable water lines or connections thereto;
82          (g) “Class B air-conditioning contractor” means a                 111     sanitary sewer lines; swimming pool piping and filters; or
83     contractor whose services are limited to 25 tons of cooling and        112     electrical power wiring. A Class B air-conditioning contractor
84     500,000 Btu of heating in any one system in the execution of           113     may test and evaluate central air-conditioning, refrigeration,
85     contracts requiring the experience, knowledge, and skill to            114     heating, and ventilating systems, including duct work; however,
86     install, maintain, repair, fabricate, alter, extend, or design,        115     a mandatory licensing requirement is not established for the
87     if not prohibited by law, central air-conditioning,                    116     performance of these specific services.

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        Florida Senate - 2024                                         SB 612           Florida Senate - 2024                                         SB 612




        21-00589A-24                                               2024612__           21-00589A-24                                             2024612__
117          (i) “Mechanical contractor” means a contractor whose              146     such contractor also includes any excavation work incidental
118     services are unlimited in the execution of contracts requiring         147     thereto, but does not include any work such as potable water
119     the experience, knowledge, and skill to install, maintain,             148     lines or connections thereto, sanitary sewer lines, swimming
120     repair, fabricate, alter, extend, or design, if not prohibited         149     pool piping and filters, or electrical power wiring. A
121     by law, central air-conditioning, refrigeration, heating, and          150     mechanical contractor may test and evaluate central air-
122     ventilating systems, including duct work in connection with a          151     conditioning, refrigeration, heating, and ventilating systems,
123     complete system if such duct work is performed by the contractor       152     including duct work; however, a mandatory licensing requirement
124     as necessary to complete an air-distribution system, boiler and        153     is not established for the performance of these specific
125     unfired pressure vessel systems, lift station equipment and            154     services.
126     piping, and all appurtenances, apparatus, or equipment used in         155          Section 2. Paragraph (c) of subsection (3) of section
127     connection therewith, and any duct cleaning and equipment              156     553.775, Florida Statutes, is amended to read:
128     sanitizing that requires at least a partial disassembling of the       157          553.775 Interpretations.—
129     system; to install, maintain, repair, fabricate, alter, extend,        158          (3) The following procedures may be invoked regarding
130     or design, if not prohibited by law, piping, insulation of             159     interpretations of the Florida Building Code or the Florida
131     pipes, vessels and ducts, pressure and process piping, pneumatic       160     Accessibility Code for Building Construction:
132     control piping, gasoline tanks and pump installations and piping       161          (c) The commission shall review decisions of local building
133     for same, standpipes, air piping, vacuum line piping, oxygen           162     officials and local enforcement agencies regarding
134     lines, nitrous oxide piping, ink and chemical lines, fuel              163     interpretations of the Florida Building Code or the Florida
135     transmission lines, liquefied petroleum gas lines within               164     Accessibility Code for Building Construction after the local
136     buildings, and natural gas fuel lines within buildings; to             165     board of appeals has considered the decision, if such board
137     replace, disconnect, or reconnect power wiring on the line or          166     exists, and if such appeals process is concluded within 25
138     load side of the dedicated existing electrical disconnect switch       167     business days.
139     on single-phase electrical systems; to repair or replace power         168          1. The commission shall coordinate with the Building
140     wiring, disconnects, breakers, or fuses for dedicated HVAC             169     Officials Association of Florida, Inc., to designate a panel
141     circuits; to install, disconnect, and reconnect low voltage            170     composed of seven members to hear requests to review decisions
142     heating, ventilating, and air-conditioning control wiring; and         171     of local building officials. Five members must be licensed as
143     to install a condensate drain from an air-conditioning unit to         172     building code administrators under part XII of chapter 468, one
144     an existing safe waste or other approved disposal other than a         173     member must be licensed as an architect under chapter 481, and
145     direct connection to a sanitary system. The scope of work for          174     one member must be licensed as an engineer under chapter 471.

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        Florida Senate - 2024                                        SB 612            Florida Senate - 2024                                         SB 612




        21-00589A-24                                               2024612__           21-00589A-24                                               2024612__
175     Each member must have experience interpreting or enforcing             204     which are being interpreted by the local building official.
176     provisions of the Florida Building Code and the Florida                205          e. A statement of the interpretation given to provisions of
177     Accessibility Code for Building Construction.                          206     the Florida Building Code or the Florida Accessibility Code for
178          2. Requests to review a decision of a local building              207     Building Construction by the local building official and the
179     official interpreting provisions of the Florida Building Code or       208     manner in which the interpretation was rendered.
180     the Florida Accessibility Code for Building Construction may be        209          f. A statement of the interpretation that the petitioner
181     initiated by any substantially affected person, including an           210     contends should be given to the provisions of the Florida
182     owner or builder subject to a decision of a local building             211     Building Code or the Florida Accessibility Code for Building
183     official or an association of owners or builders having members        212     Construction and a statement supporting the petitioner’s
184     who are subject to a decision of a local building official. In         213     interpretation.
185     order to initiate review, the substantially affected person must       214          g. Space for the local building official to respond in
186     file a petition with the commission. The commission shall adopt        215     writing. The space shall, at a minimum, require the local
187     a form for the petition, which shall be published on the               216     building official to respond by providing a statement admitting
188     Building Code Information System. The form shall, at a minimum,        217     or denying the statements contained in the petition and a
189     require the following:                                                 218     statement of the interpretation of the provisions of the Florida
190          a. The name and address of the county or municipality in          219     Building Code or the Florida Accessibility Code for Building
191     which provisions of the Florida Building Code or the Florida           220     Construction which the local jurisdiction or the local building
192     Accessibility Code for Building Construction are being                 221     official contends is correct, including the basis for the
193     interpreted.                                                           222     interpretation.
194          b. The name and address of the local building official who        223          3. The petitioner shall submit the petition to the local
195     has made the interpretation being appealed.                            224     building official, who shall place the date of receipt on the
196          c. The name, address, and telephone number of the                 225     petition. The local building official shall respond to the
197     petitioner; the name, address, and telephone number of the             226     petition in accordance with the form and shall return the
198     petitioner’s representative, if any; and an explanation of how         227     petition along with his or her response to the petitioner within
199     the petitioner’s substantial interests are being affected by the       228     5 days after receipt, exclusive of Saturdays, Sundays, and legal
200     local interpretation of the Florida Building Code or the Florida       229     holidays. The petitioner may file the petition with the
201     Accessibility Code for Building Construction.                          230     commission at any time after the local building official
202          d. A statement of the provisions of the Florida Building          231     provides a response. If no response is provided by the local
203     Code or the Florida Accessibility Code for Building Construction       232     building official, the petitioner may file the petition with the

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        Florida Senate - 2024                                         SB 612           Florida Senate - 2024                                         SB 612




        21-00589A-24                                               2024612__           21-00589A-24                                              2024612__
233     commission 10 days after submission of the petition to the local       262     proceeding conducted in accordance with subparagraph 7. The
234     building official and shall note that the local building               263     prevailing party is entitled to the recovery of all attorney
235     official did not respond.                                              264     fees accrued from the losing party.
236          4. Upon receipt of a petition that meets the requirements         265          6. It is the intent of the Legislature that review
237     of subparagraph 2., the commission shall immediately provide           266     proceedings be completed within 21 days after the date that a
238     copies of the petition to the panel, and the commission shall          267     petition seeking review is filed with the commission, and the
239     publish the petition, including any response submitted by the          268     time periods set forth in this paragraph may be waived only upon
240     local building official, on the Building Code Information System       269     consent of all parties.
241     in a manner that allows interested persons to address the issues       270          7. Any substantially affected person may appeal an
242     by posting comments.                                                   271     interpretation rendered by the panel by filing a petition with
243          5. The panel shall conduct proceedings as necessary to            272     the commission. Such appeals shall be initiated in accordance
244     resolve the issues; shall give due regard to the petitions, the        273     with chapter 120 and the uniform rules of procedure and must be
245     response, and to comments posed on the Building Code Information       274     filed within 30 days after publication of the interpretation on
246     System; and shall issue an interpretation regarding the                275     the Building Code Information System or in the Florida
247     provisions of the Florida Building Code or the Florida                 276     Administrative Register. Hearings shall be conducted pursuant to
248     Accessibility Code for Building Construction within 21 days            277     chapter 120 and the uniform rules of procedure. Decisions of the
249     after the filing of the petition. The panel shall render a             278     commission are subject to judicial review pursuant to s. 120.68.
250     determination based upon the Florida Building Code or the              279     The final order of the commission is binding upon the parties
251     Florida Accessibility Code for Building Construction or, if the        280     and upon all jurisdictions subject to the Florida Building Code
252     code is ambiguous, the intent of the code. The panel’s                 281     or the Florida Accessibility Code for Building Construction.
253     interpretation shall be provided to the commission, which shall        282          8. The burden of proof in any proceeding initiated in
254     publish the interpretation on the Building Code Information            283     accordance with subparagraph 7. is on the party who initiated
255     System and in the Florida Administrative Register. The                 284     the appeal.
256     interpretation shall be considered an interpretation entered by        285          9. In any review proceeding initiated in accordance with
257     the commission, and shall be binding upon the parties and upon         286     this paragraph, including any proceeding initiated in accordance
258     all jurisdictions subject to the Florida Building Code or the          287     with subparagraph 7., the fact that an owner or builder has
259     Florida Accessibility Code for Building Construction, unless it        288     proceeded with construction may not be grounds for determining
260     is superseded by a declaratory statement issued by the Florida         289     an issue to be moot if the issue is one that is likely to arise
261     Building Commission or by a final order entered after an appeal        290     in the future.

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        Florida Senate - 2024                                         SB 612           Florida Senate - 2024                                        SB 612




        21-00589A-24                                               2024612__           21-00589A-24                                               2024612__
291                                                                            320     system as a fixture to the property occurs on or after July 1,
292     This paragraph provides the exclusive remedy for addressing            321     2024.
293     requests to review local interpretations of the Florida Building       322            (b) A manufacturer’s warranty is still in effect on the
294     Code or the Florida Accessibility Code for Building Construction       323     HVAC system or a component of the system. A manufacturer’s
295     and appeals from review proceedings.                                   324     warranty for an HVAC system is deemed registered with the
296          Section 3. Section 559.956, Florida Statutes, is amended to       325     manufacturer if a contractor licensed under part I of chapter
297     read:                                                                  326     489:
298          559.956 Registrations and Transfers of heating,                   327            (a) Installs the new HVAC system; and
299     ventilation, and air-conditioning system manufacturer                  328            (b) Provides the manufacturer of the HVAC system with the
300     warranties; required contractor documentation.—                        329     date of the issuance of the certificate of occupancy for
301          (1) If a residential real property that includes a heating,       330     installations relating to new construction, or the serial number
302     ventilation, and air-conditioning (HVAC) system as a fixture to        331     of the HVAC system for installations relating to existing
303     the property is conveyed to a new owner on or after July 1,            332     construction, as applicable.
304     2024, a manufacturer’s warranty in effect on that system or a          333            (5) A contractor licensed under part I of chapter 489 who
305     component of that system:                                              334     installs a new HVAC system must document the installation
306          (a) Is automatically transferred to the new owner; and            335     through an invoice or a receipt and provide the invoice or
307          (b) Continues in effect as if the new owner was the               336     receipt to the customer.
308     original purchaser of such system or component, as applicable.         337            Section 4. Section 559.957, Florida Statutes, is created to
309          (2) A warrantor continues to be obligated under the terms         338     read:
310     of a manufacturer’s warranty agreement for a warranty                  339            559.957 Registration of heating, ventilation, and air-
311     transferred under this section and may not charge a fee for the        340     conditioning systems; prohibition against warranty conditioned
312     transfer of the warranty.                                              341     upon registration.—
313          (3) The transfer of a manufacturer’s warranty under this          342            (1) The full length of a manufacturer’s, distributor’s, or
314     section does not extend the remaining term of the warranty.            343     retailer’s warranty of a heating, ventilation, and air-
315          (4) A manufacturer’s warranty of an HVAC system or a              344     conditioning (HVAC) system or any component of the system is
316     component of the system may not be in any way conditioned upon         345     effective in this state on the date of installation if installed
317     the product registration.                                              346     by a contractor licensed under part I of chapter 489.
318          (5) This section applies if:                                      347            (2) If a manufacturer, distributor, or retailer of an HVAC
319          (a) A sale of a residential property that includes an HVAC        348     system or any component of the system provides a warranty or

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        Florida Senate - 2024                                         SB 612




        21-00589A-24                                               2024612__
349     product registration card or form, or an electronic, online
350     warranty or product registration form, the card or form must
351     contain the following information, displayed in a clear and
352     conspicuous manner:
353          (a) The card or form is for the product registration.
354          (b) Failure to complete and return the card or form does
355     not diminish any warranty rights or decrease the warranty
356     length.
357          (3) Any offered manufacturer’s, distributor’s, or
358     retailer’s warranty of an HVAC system or a component of the
359     system may not be in any way conditioned upon the product
360     registration.
361          Section 5. This act shall take effect July 1, 2024.




                                  Page 13 of 13
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                                                                                                     The Florida Senate

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                                                                                             Deliver both copies of this form to
  (or*r*-z a Tr,^;'n*'                                                                Senate professional staff conducting the meeting

                         Committee                                                                                                                      Amendment Barcode (if applicable)


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Address                                                                                                                         Email
             Street




             City                                                     State                                      Zip




                 Speaking: (                 rot !                Against !            lnformation OR                        Waive Speaking:   !   tn Support    I     Against



                                                                                 PLEASE CHECK ONE OFTHE FOLLOWING:

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       compensation or sponsorship.
                                                                                     K       lam a registered lobbyist,
                                                                                             representing
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                                                                                                                                                       something ofvalue for my appearance
                                                                                                                                                       (travel, meals, lodging. etc.),


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This form is part of the public record for this meeting.                                                                                                                      s-001 (o8/10/2021)




                                             The Florida Senate

                               Committee Agenda Request




     To:            Senator Jay Trumbull, Chair
                    Committee on Commerce and Tourism


     Subject:       Committee Agenda Request


     Date:          December 13,2023



     I respectfully request that Senate Blill#612, relating to Building Construction Regulations and
     System Warranties, be placed on the:

             X      committee agenda at your earliest possible convenience.

                    next committee agenda.




                                                  Senator Ed Hooper
                                                  Florida Senate, District 2l




     File signed originalwith committee office                                             s-020 (03/2004)
                                                      The Florida Senate
                  BILL ANALYSIS AND FISCAL IMPACT STATEMENT
              (This document is based on the provisions contained in the legislation as of the latest date listed below.)

                  Prepared By: The Professional Staff of the Committee on Commerce and Tourism

BILL:           SB 842
INTRODUCER:     Senator Perry
SUBJECT:        Florida Kratom Consumer Protection Act
DATE:           January 12, 2024                REVISED:


           ANALYST                    STAFF DIRECTOR                 REFERENCE                                 ACTION
1. Baird                            McKay                                CM               Favorable
2.                                                                       AEG
3.                                                                        FP



  I.    Summary:

        SB 842 amends the Florida Kratom Consumer Protection Act to provide definitions, certain
        prohibitions, and administrative fines for violations of kratom product standards.

        The bill defines “kratom extract” and “processor” and provides that a processor may not sell,
        prepare, or distribute a kratom product that:
         Is adulterated to such a degree that it may injure a consumer;
         Contains a poisonous or otherwise harmful non-kratom ingredient;
         Contains a level of 7-hydroxymitragynine in the alkaloid fraction which is greater than 1
           percent of the alkaloid composition of the product;
         Contains a synthetic alkaloid;
         Does not include directions for the safe and effective use of the product; or
         Has a label that contains any claim that the product is intended to diagnose, treat, cure, or
           prevent any medical condition or disease.

        The bill establishes that a processor may not sell, prepare, or distribute kratom extract that
        contains levels of residual solvents higher than the standards set forth in United States
        Pharmacopeia and the National Formulary (USP-NF) chapter 467.

        A processor who violates requirements related to product standards is subject to an
        administrative fine, unless the processor relied in good faith upon the representation of a
        manufacturer, processor, packer, or distributor of the kratom product.
BILL: SB 842                                                                                                        Page 2

    II.   Present Situation:

          Florida Kratom Consumer Protection Act of 2023

          In 2023, the Legislature enacted the Florida Kratom Consumer Protection Act,1 which made it
          unlawful to sell, deliver, barter, furnish, or give, directly or indirectly, any kratom product to a
          person under 21 years of age. The Department of Agriculture and Consumer Services (DACS)
          was required and did adopt rules to administer the act.2

          Kratom

          Kratom is a tropical tree native to Southeast Asia that contains mitragynine and 7-
          hydroxymytragynine in its leaves, which are two major psychoactive ingredients.3 The leaves are
          crushed and then smoked, brewed with tea, or placed into gel capsules.4 Consumption of kratom
          leaves can produce stimulant and sedative effects, and may also lead to psychotic symptoms. 5

          Some research finds that kratom can be used as a substitute for opiate users to combat
          withdrawal symptoms, as well as to treat muscle ache, fatigue, and other conditions.6 Low doses
          of kratom are said to produce a stimulant effect, while higher doses may produce an opioid-like
          effect.7 Additionally, research points to the potential for further development of mitragynine and
          the use of kratom as a harm reduction agent.8 Even so, the toxicity of kratom remains a topic of
          discussion, as well as its potential to cause herb-drug interactions and even be involved in
          fatalities.9

          Currently, kratom is not listed as a controlled substance under federal law or Florida law.
          However, in 2014, Sarasota County banned kratom, labeling it as a designer drug.10 With the
          exception of Sarasota County, in Florida, all parts of the plant and its extracts are legal to
          cultivate, buy, possess, and distribute without a license or prescription. Kratom is illegal in




1
  Section 500.92, F.S.
2
   Fla. Admin. Code R. 5K-4.030.
3
  Drug Enforcement Administration, Kratom (April 2020), available at https://www.dea.gov/sites/default/files/2020-
06/Kratom-2020_0.pdf (last visited January 12, 2024).
4
  Id.
5
  Id.
6
  See Dimy Fluyau and Neelambika Revedigar, Biochemical Benefits, Diagnosis, and Clinical Risks Evaluation of Kratom,
Frontiers in Psychiatry Journal Volume 8 (April 24, 2017) available at
https://www.frontiersin.org/articles/10.3389/fpsyt.2017.00062/full (last visited January 12, 2024).
7
  Id.
8
  See Charles Veltri and Oliver Grundmann, Current Perspectives on the Impact of Kratom Use. Substance Abuse and
Rehabilitation Journal Volume 10 23-31 (July 1, 2019) available at https://pubmed.ncbi.nlm.nih.gov/31308789/ (last visited
January 12, 2024).
9
  Id. See also Drugs Identified in Deceased Persons by Florida Medical Examiners, FDLE (May 2022), available at
https://www.fdle.state.fl.us/MEC/Publications-and-Forms/Documents/Drugs-in-Deceased-Persons/2021-Interim-Drug-
Report-FINAL.aspx (last visited March 7, 2023). In May of 2022 the Florida Department of Law Enforcement published its
2021 Interim Report, which found a 36% rise in kratom-involved deaths over the first half of 2021.
10
   See Sarasota, FL., Code of Ordinances, Sec. 62-351 (2014).
BILL: SB 842                                                                                                        Page 3

        Alabama,11 Arkansas,12 Indiana,13 Rhode Island,14 Vermont,15 and Wisconsin.16 In 12 other states
        the possession, sale, manufacture, and distribution of kratom products is regulated.17

        Following an updated import alert that provides information to U.S. Food and Drug
        Administration (FDA) field staff about detaining without physical examination imported dietary
        supplements and bulk dietary ingredients that are or contain kratom,18 in May of 2021, the FDA
        announced the seizure of around 37,500 tons of adulterated kratom in Florida, worth an
        estimated $1.3 million.19 The FDA’s Associate Commissioner for Regulatory Affairs stated that
        there is substantial concern regarding the safety of kratom and the risk it may pose to public
        health, and indicated that there are currently no FDA-approved uses for kratom.20

        The U.S. Department of Justice, on behalf of the FDA, filed a complaint in the U.S. District
        Court for the Middle District of Florida alleging that kratom is a new dietary ingredient for
        which there is inadequate information to provide reasonable assurance that it does not present a
        significant or unreasonable risk of illness or injury.21 Additionally, the FDA stated that dietary
        supplements and bulk dietary ingredients that are or contain kratom are adulterated under the
        Federal Food, Drug, and Cosmetic Act.22 On October 26, 2021, a consent decree of
        condemnation and destruction against the articles seized by the FDA in May of 2021 was
        entered, which requires the claimants to pay a penal bond and destroy all seized articles.23


III.    Effect of Proposed Changes:

        The bill amends the Florida Kratom Consumer Protection Act by specifying and using the
        following definitions:

11
   See Alabama Public Health, Controlled Substance List (Jan. 20, 2021), available at
https://www.alabamapublichealth.gov/blog/assets/controlledsubstanceslist.pdf (last visited January 12, 2024).
12
   See Arkansas Department of Health, List of Controlled Substances, available at
http://secureservercdn.net/166.62.109.105/e17.085.myftpupload.com/wp-content/uploads/2016/02/arkansas-
controlled_substances_list.pdf (last visited January 12, 2024).
13
   See IC 35-31.5-2-321.
14
   See Rhode Island Dept. of Health, Notice of Designation of Controlled Substance (May 31, 2017), available at
https://docs.wixstatic.com/ugd/9ba5da_9836aee2b9f04a30b55fe480fe3c6ff4.pdf. (last visited January 12, 2024).
15
   See Vt. Admin. Code 12-5-23:4.0.
16
   See W.S.A. 961.14.
17
   See Regulation of Kratom in America: Update (September 2022), available at Kratom Fact Sheet (legislativeanalysis.org)
(last visited January 12, 2024).
18
   The import alert labels kratom as an adultering ingredient. See Food and Drug Administration, Import Alert 54-15, Import
Alert 54-15 (fda.gov) (last visited March 3, 2023) The FDA labeled kratom as adulterating based on the absence of a history
of use or other evidence of safety establishing that kratom will reasonably be expected to be safe as a dietary ingredient,
kratom and kratom-containing dietary supplements and bulk dietary ingredients are adulterated because they contain a new
dietary ingredient for which there is inadequate information to provide reasonable assurance that such ingredient does not
present a significant or unreasonable risk of illness or injury.
19
   U.S. Food and Drug Administration, FDA Announces Seizure of Adulterated Dietary Supplements Containing Kratom
(May 21, 2021), available at https://www.fda.gov/news-events/press-announcements/fda-announces-seizure-adulterated-
dietary-supplements-containing-kratom (last visited January 12, 2024).
20
   Id.
21
   Id.
22
   Id.
23
   Id.
BILL: SB 842                                                                                                           Page 4

            “Kratom extract” means a food product or dietary ingredient that contains any part of the leaf
             of the plant Mitragyna speciose which has been extracted and concentrated to provide more
             standardized dosing;
            “Processor” means a person who sells, prepares, manufactures, distributes, or maintains
             kratom products.

         The bill also provides that a processor may not sell, prepare, distribute, or expose for sale a
         kratom product that:
          Is adulterated with a dangerous non-kratom substance that affects the quality or strength of
             the kratom product to such a degree that it may injure a consumer;
          Contains a poisonous or otherwise harmful non-kratom ingredient, including, but not limited
             to, any controlled substance listed in s. 893.03, F.S.;
          Contains a level of 7-hydroxymitragynine in the alkaloid fraction which is greater than 1
             percent of the alkaloid composition of the product;
          Contains a synthetic alkaloid, including, but not limited to, synthetic mitragynine, synthetic
             7-hydroxymitragynine, or any other synthetically derived compound of the plant Mitragyna
             speciosa;
          Does not include directions for the safe and effective use of the product, including, but not
             limited to, a suggested serving size, on the product’s packaging or label; or
          Has a label that contains any claim that the product is intended to diagnose, treat, cure, or
             prevent any medical condition or disease.

         The bill establishes that a processor may not sell, prepare, distribute, or expose for sale kratom
         extract that contains levels of residual solvents higher than the standards set forth in USP-NF24
         chapter 467.25

         The bill provides that a processor who violates the kratom product standards provisions is subject
         to an administrative fine of not more than $500 for the first offense and not more than $1000 for
         the second or subsequent offense. However, a processor selling kratom products at retail does not
         violate the kratom product standards provisions if it is shown by a preponderance of the evidence
         that the processor relied in good faith upon the representations of a manufacturer, processor,
         packer, or distributor of the kratom product.

         The bill takes effect July 1, 2024.


24
   The United States Pharmacopeia (USP) and the National Formulary (NF) contains standards for medicines, dosage forms,
drug substances, excipients, biologics, compounded preparations, medical devices, dietary supplements, and other
therapeutics. The current version of USP-NF standards deemed official by USP are enforceable by the U.S. Food and Drug
Administration for medicines manufactured and marketed in the United States.
25
   Residual solvents in pharmaceuticals are defined as organic volatile chemicals that are used or produced in the manufacture
of drug substances or excipients, or in the preparation of drug products. The residual solvents are not completely removed by
practical manufacturing techniques. Drug products should contain no higher levels of residual solvents than can be supported
by safety data. Solvents that are known to cause unacceptable toxicities, “Class 1,” should be avoided in the production of
drug substances, excipients, or drug products unless their use can be strongly justified in a risk-benefit assessment. Solvents
associated with less severe toxicity, “Class 2,” should be limited in order to protect patients from potential adverse effects.
Less toxic solvents, “Class 3,” should be used where practical. See The United States Pharmacopeia and the National
Formulary, Residual Solvents, available at
https://www.uspnf.com/sites/default/files/usp_pdf/EN/USPNF/generalChapter467Current.pdf (last visited January 12, 2024).
 BILL: SB 842                                                                                        Page 5

 IV.    Constitutional Issues:

        A.      Municipality/County Mandates Restrictions:

                None.

        B.      Public Records/Open Meetings Issues:

                None.

        C.      Trust Funds Restrictions:

                None.

        D.      State Tax or Fee Increases:

                None.

        E.      Other Constitutional Issues:

                None.

  V.    Fiscal Impact Statement:

        A.      Tax/Fee Issues:

                None.

        B.      Private Sector Impact:

                Processors of kratom products will be required to adhere to the regulations set forth in the
                Florida Kratom Consumer Protection Act, which may benefit consumers.

        C.      Government Sector Impact:

                There will potentially be an increase in administrative fines collected by the DACS.
                Additionally, the DACS will likely see an increase in regulatory costs.

 VI.    Technical Deficiencies:

        None.

VII.    Related Issues:

        None.

VIII.   Statutes Affected:

        This bill substantially amends section 500.92 of the Florida Statutes.
BILL: SB 842                                                                                                                         Page 6

IX.   Additional Information:

      A.        Committee Substitute – Statement of Changes:
                (Summarizing differences between the Committee Substitute and the prior version of the bill.)

                None.

      B.        Amendments:

                None.

        This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.
       Florida Senate - 2024                                         SB 842          Florida Senate - 2024                                          SB 842



       By Senator Perry




       9-00471-24                                                 2024842__          9-00471-24                                                   2024842__
1                              A bill to be entitled                          30     manufactures, distributes, or maintains kratom products.
2           An act relating to the Florida Kratom Consumer                    31            (3) A processor may not sell, prepare, distribute, or
3           Protection Act; amending s. 500.92, F.S.; defining                32     expose for sale:
4           terms; prohibiting processors from selling, preparing,            33            (a) A kratom product that meets any of the following
5           distributing, or exposing for sale certain kratom                 34     conditions:
6           products or kratom extracts; providing civil penalties            35            1. Is adulterated with a dangerous non-kratom substance
7           for processors who violate certain provisions;                    36     that affects the quality or strength of the kratom product to
8           providing an exception; providing an effective date.              37     such a degree that it may injure a consumer.
9                                                                             38            2. Contains a poisonous or otherwise harmful non-kratom
10     Be It Enacted by the Legislature of the State of Florida:              39     ingredient, including, but not limited to, any substance listed
11                                                                            40     in s. 893.03.
12          Section 1. Section 500.92, Florida Statutes, is amended to        41            3. Contains a level of 7-hydroxymitragynine in the alkaloid
13     read:                                                                  42     fraction which is greater than 2 percent of the alkaloid
14          500.92 Florida Kratom Consumer Protection Act.—                   43     composition of the product.
15          (1) This section may be cited as the “Florida Kratom              44            4. Contains a synthetic alkaloid, including, but not
16     Consumer Protection Act.”                                              45     limited to, synthetic mitragynine, synthetic 7-
17          (2) As used in this section, the term:                            46     hydroxymitragynine, or any other synthetically derived compound
18          (a) “Kratom extract” means a food product or dietary              47     of the plant Mitragyna speciosa.
19     ingredient that contains any part of the leaf of the plant             48            5. Does not include directions for the safe and effective
20     Mitragyna speciosa which has been extracted and concentrated to        49     use of the product, including, but not limited to, a suggested
21     provide more standardized dosing.                                      50     serving size, on the product’s packaging or label.
22          (b) “Kratom product” means a food product, food ingredient,       51            6. Has a label that contains any claim that the product is
23     dietary ingredient, dietary supplement, or beverage intended for       52     intended to diagnose, treat, cure, or prevent any medical
24     human consumption which contains any part of the leaf of the           53     condition or disease.
25     plant Mitragyna speciosa or an extract, a synthetic alkaloid, or       54            (b) Kratom extract that contains levels of residual
26     a synthetically derived compound of such plant and is                  55     solvents higher than the standards set forth in USP-NF chapter
27     manufactured as a powder, capsule, pill, beverage, or other            56     467.
28     edible form.                                                           57            (4) It is unlawful to sell, deliver, barter, furnish, or
29          (c) “Processor” means a person who sells, prepares,               58     give, directly or indirectly, any kratom product to a person who

                                   Page 1 of 3                                                                     Page 2 of 3
     CODING: Words stricken are deletions; words underlined are additions.         CODING: Words stricken are deletions; words underlined are additions.
       Florida Senate - 2024                                        SB 842




       9-00471-24                                                 2024842__
59     is under 21 years of age.
60          (5) A processor who violates subsection (3) is subject to
61     an administrative fine of not more than $500 for the first
62     offense and not more than $1,000 for the second or subsequent
63     offense. A processor selling kratom products at retail does not
64     violate subsection (3) if it is shown by a preponderance of the
65     evidence that the processor relied in good faith upon the
66     representations of a manufacturer, processor, packer, or
67     distributor of the kratom product.
68          (6)(4) A violation of subsection (4) (3) is a misdemeanor
69     of the second degree, punishable as provided in s. 775.082 or s.
70     775.083.
71          (7)(5) The department shall adopt rules to administer this
72     section.
73          Section 2. This act shall take effect July 1, 2024.




                                   Page 3 of 3
     CODING: Words stricken are deletions; words underlined are additions.
                                                                                 The Florida Senate

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                                        The Florida Senate

                          Committee Agenda Request




To:            Senator Jay Trumbull, Chair
               Committee on Commerce and Tourism


Subject: Committee Agenda Request
Date:          January 7,2024



I respectfully request that Senate Bill #842, relating to Florida Kratom Consumer Protection Act,
be placed on the:


        X      Committee agenda at your earliest possible convenience.

        n      Next committee agenda.




                                                    ,l\ut,
                                             Senator Keith Perry
                                             Florida Senate, District 9




File signed original with committee office                                           s-020 (03/2004)
                                                        The Florida Senate
                    BILL ANALYSIS AND FISCAL IMPACT STATEMENT
                (This document is based on the provisions contained in the legislation as of the latest date listed below.)

                    Prepared By: The Professional Staff of the Committee on Commerce and Tourism

BILL:             CS/SB 1126
INTRODUCER:       Senator Martin
SUBJECT:          Regulation of Auxiliary Containers
DATE:             January 16, 2024                REVISED:


           ANALYST                      STAFF DIRECTOR                 REFERENCE                                 ACTION
1. Baird                              McKay                                 CM              Fav/CS
2.                                                                          CA
3.                                                                          FP



                      Please see Section IX. for Additional Information:
                                     COMMITTEE SUBSTITUTE - Substantial Changes




    I.    Summary:

          CS/SB 1126 preempts to the state the regulation of auxiliary containers, defined by the bill as
          reusable or single-use bag, cup, bottle, or other packaging designed for transporting, consuming,
          or protecting merchandise, food, or beverages from or at a food service establishment or retailer.

          The bill takes effect July 1, 2024.

    II.   Present Situation:

          Auxiliary Containers

          The United Nations has estimated that the world consumes between 1 trillion and 5 trillion
          plastic bags (a form of auxiliary container) per year.1 Additionally, in the United States fewer
          than 10 percent of plastic bags are recycled per year.2 In Florida, the Department of




1
  United Nations Environment Programme, Single-Use Plastics: A Roadmap for Sustainability, (March 26, 2018), available
at https://www.unep.org/resources/report/single-use-plastics-roadmap-sustainability (last visited January 16, 2024).
2
  United States Environmental Protection Agency, Advancing Sustainable Materials Management: 2016 and 2017 Tables
and Figures, (November, 2019), available at https://www.epa.gov/sites/default/files/2019-
11/documents/2016_and_2017_facts_and_figures_data_tables_0.pdf (last visited January 16, 2024).
BILL: CS/SB 1126                                                                                                       Page 2

         Environmental Protection estimated that about 5-6 million tons of collected municipal solid
         waste per year are single use carryout packaging.3

         Subsequently, environmentalists across the world have targeted auxiliary containers and their
         consumption to try and limit their use and harmfulness to the environment. This has been
         manifested through many local governments in Florida, as well as across the world, trying to
         impose their own local regulations on auxiliary containers and their use.

         In recent years some of these local ordinances have been challenged in the court system.4

         State Preemption

         There are two ways that a local enactment can be inconsistent with state law and therefore
         unconstitutional. First, a local government cannot legislate in a field if the subject area has been
         preempted to the state. Second, in a field where both the state and local government can legislate
         concurrently, a local government cannot enact an ordinance that directly conflicts with the state
         statute.5

         State law recognizes two types of state preemption: express and implied. Express preemption
         requires a specific legislative statement of intent to preempt a specific area of law; it cannot be
         implied or inferred.6 In contrast, implied preemption exists if the legislative scheme is so
         pervasive as to evidence an intent to preempt the particular area, and where strong public policy
         reasons exist for finding such an area to be preempted by the Legislature.7 Courts determining
         the validity of local government ordinances enacted in the face of state preemption, whether
         express or implied, have found such ordinances to be null and void.8

         Home Rule Authority

         The Florida Constitution grants local governments broad home rule authority. Specifically,
         non-charter county governments may exercise those powers of self-government that are provided
         by general or special law.9 Counties operating under a county charter have all powers of self-

3
  Townsend, Update of the 2010 Retail Bags Report, (December, 2021), available at
https://floridadep.gov/sites/default/files/FDEP%20Plastic%20Bag%20Report%20Final%20v4.pdf (last visited January 16,
2024).
4
  See Florida Retail Federation, Inc. v. City of Coral Gables, 282 So. 3d 889 (Fla. 3d Dist. Ct. App. 2019) where originally
the ordinance prohibited the use of expanded polystyrene to restaurants and businesses as well as city vendors/contractors
and special events permittees and their subcontractors. After the Florida Retail Federation challenged the ordinance the courts
declared the part of the ordinance regarding private restaurants and businesses unconstitutional.
5
  Orange County v. Singh, 268 So. 3d 668, 673 (Fla. 2019) (citing Phantom of Brevard, Inc. v. Brevard County, 3 So. 3d 309,
314 (Fla. 2008)); see also James Wolf & Sarah Bolinder, The Effectiveness of Home Rule: A Preemptions and Conflict
Analysis, 83 FLA. BAR J. 92 (2009), available at https://www.floridabar.org/the-florida-bar-journal/the-effectiveness-of-
home-rule-a-preemption-and-conflict-analysis/ (last visited January 16, 2024).
6
  City of Hollywood v. Mulligan, 934 So. 2d 1238, 1243 (Fla. 2006); Phantom of Brevard, Inc., 3 So. 3d at 1018.
7
  Sarasota Alliance for Fair Elections, Inc. v. Browning, 28 So. 3d 880, 886 (Fla. 2010).
8
  See, e.g., National Rifle Association of America, Inc. v. City of South Miami, 812 So. 2d 504 (Fla. 3d DCA 2002)
(concluding that a City of South Miami local government ordinance, which purported to provide safety standards for
firearms, was null and void because the Legislature expressly preempted the entire field of firearm and ammunition
regulation when it enacted section 790.33, F.S.).
9
  FLA. CONST., art. VIII, s. 1.(f).
BILL: CS/SB 1126                                                                                       Page 3

        government not inconsistent with general law or special law approved by vote of the electors.10
        Likewise, municipalities have governmental, corporate, and proprietary powers that enable them
        to conduct municipal government, perform municipal functions and provide services, and
        exercise any power for municipal purposes except as otherwise provided by law.11

        County governments have authority to provide fire protection, ambulance services, parks and
        recreation, libraries, museums and other cultural facilities, waste and sewage collection and
        disposal, and water and alternative water supplies.12 Municipalities are afforded broad home rule
        powers with the exception of annexation, merger, exercise of extraterritorial power, or subjects
        prohibited or preempted by the Federal or State Constitution, county charter, or statute.13

        Department of Environmental Protection Retail Bag Report

        In response to growing concerns regarding the impact of retail plastic bags on the environment,
        the Legislature enacted s. 403.7033, F.S., in 2008 to require the Department of Environmental
        Protection (DEP) to analyze “the need for new or different regulation of auxiliary containers,
        wrappings, or disposable plastic bags used by consumers to carry products from retail
        establishments.” DEP was required to submit a report with its conclusions and recommendations
        to the Legislature by December 31, 2021.14

        Additionally, s. 403.7033, F.S., includes a prohibition on local governments, local governmental
        agencies, and state government agencies from enacting any rule, regulation, or ordinance
        regarding the use, disposition, sale, prohibition, restriction, or tax of such auxiliary containers,
        wrappings, or disposable plastic bags until the Legislature adopts the DEP’s recommendations.15
        To date, the Legislature has not adopted any recommendations contained in the report and the
        prohibition on any rule, regulation, or ordinance regarding use, disposition, sale, prohibition,
        restriction, or tax of such auxiliary containers, wrappings, or disposable plastic bags remains in
        effect.16

III.    Effect of Proposed Changes:

        The bill creates a definition for the term “auxiliary container” defining it as “a reusable or single-
        use bag, cup, bottle, or other packaging that meets” the following requirements:
         Is made of cloth; paper; plastic, including, but not limited to, foamed plastic, expanded
            plastic, or polystyrene; cardboard; molded fiber; corrugated material; aluminum; glass;
            postconsumer recycled material; or similar material or substrates, including coated,
            laminated, or multilayer substrates.




10
   FLA. CONST., art. VIII, s. 1.(g).
11
   FLA. CONST., art. VIII, s. 2.(b); see also s. 166.021(1), F.S.
12
   Sections 125.01(1)(d)(e)(f) and (k)1., F.S.
13
   Section 166.021(3), F.S.
14
   Section 403.7033, F.S.
15
   Id.
16
   The 2021 report created by the DEP is available online at
https://floridadep.gov/sites/default/files/FDEP%20Plastic%20Bag%20Report%20Final%20v4.pdf.
BILL: CS/SB 1126                                                                                    Page 4

          Is designed for transporting, consuming, or protecting merchandise, food, or beverages from
           or at a public food service establishment as defined in s. 509.013(5), F.S., a food
           establishment as defined in s. 500.03(1), F.S., or a retailer as defined in s. 212.02(13), F.S.

      The bill places the authority of any regulating of auxiliary containers to be made at the state level
      as opposed to the local level.

      The bill also removes the following language in s. 403.7033, F.S., that:
       Emphasized legislative intent that “prudent regulation of recyclable materials is crucial to the
         ongoing welfare of Florida’s ecology and economy”;
       The DEP needed to review and update their 2010 report on retail bags that included input
         from stakeholders analyzing the need for new or different regulation of auxiliary containers;
       No local or state government agency enact any rule, regulation, or ordinance, until the
         Legislature adopts the recommendations of the DEP.

      Additionally, the bill makes conforming changes to section 403.707 of the Florida Statutes.

IV.   Constitutional Issues:

      A.      Municipality/County Mandates Restrictions:

              None.

      B.      Public Records/Open Meetings Issues:

              None.

      C.      Trust Funds Restrictions:

              None.

      D.      State Tax or Fee Increases:

              None.

      E.      Other Constitutional Issues:

              None.

V.    Fiscal Impact Statement:

      A.      Tax/Fee Issues:

              None.

      B.      Private Sector Impact:

              None.
 BILL: CS/SB 1126                                                                                                                     Page 5

        C.       Government Sector Impact:

                 None.

 VI.    Technical Deficiencies:

        None.

VII.    Related Issues:

        None.

VIII.   Statutes Affected:

        This bill substantially amends the following sections of the Florida Statutes: 403.703, 403.7033,
        and 403.707.

 IX.    Additional Information:

        A.       Committee Substitute – Statement of Substantial Changes:
                 (Summarizing differences between the Committee Substitute and the prior version of the bill.)

                 CS by Commerce and Tourism on January 16, 2024:
                 The committee substitute clarifies the requirements of what an auxiliary container can be
                 made of, adding foamed plastic, expanded plastic, polystyrene, and molded fiber.
                 Additionally, the amendment provides that the included list of materials that auxiliary
                 containers can be made of is not the exclusive list. The amendment also includes a
                 statutory reference definition for a public food service establishment, a food service
                 establishment, and a retailer. Finally the amendment more clearly states that the
                 regulation of auxiliary containers is expressly preempted to the state.

        B.       Amendments:

                 None.

         This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.
     Florida Senate - 2024                           COMMITTEE AMENDMENT        Florida Senate - 2024                         COMMITTEE AMENDMENT
     Bill No. SB 1126                                                           Bill No. SB 1126




                              Ì354080}Î354080                                                           Ì354080}Î354080


                              LEGISLATIVE ACTION                           11       (b) Is designed for transporting, consuming, or protecting
           Senate                      .                   House           12   merchandise, food, or beverages from or at a public food service
          Comm: RCS                    .                                   13   establishment as defined in s. 509.013(5), a food establishment
         01/16/2024                    .                                   14   as defined in s. 500.03(1), or a retailer as defined in s.
                                       .                                   15   212.02(13).
                                       .                                   16       (36)(35) “Solid waste” means sludge unregulated under the
                                       .                                   17   federal Clean Water Act or Clean Air Act, sludge from a waste
                                                                           18   treatment works, water supply treatment plant, or air pollution
                                                                           19   control facility, or garbage, rubbish, refuse, special waste, or
                                                                           20   other discarded material, including solid, liquid, semisolid, or
                                                                           21   contained gaseous material resulting from domestic, industrial,
                                                                           22   commercial, mining, agricultural, or governmental operations.
                                                                           23   Recovered materials as defined in subsection (29) (28) and post-
                                                                           24   use polymers as defined in subsection (25) (24) are not solid
                                                                           25   waste.
     The Committee on Commerce and Tourism (Martin) recommended the        26       Section 2. Section 403.7033, Florida Statutes, is amended
     following:                                                            27   to read:
                                                                           28       403.7033 Preemption of regulation for auxiliary containers
1        Senate Amendment (with title amendment)                           29   Departmental analysis of particular recyclable materials.—The
2                                                                          30   Legislature finds that prudent regulation of recyclable
3        Delete lines 24 - 64                                              31   materials is crucial to the ongoing welfare of Florida’s ecology
4    and insert:                                                           32   and economy. As such, the Department of Environmental Protection
5        (a) Is made of cloth; paper; plastic, including, but not          33   shall review and update its 2010 report on retail bags analyzing
6    limited to, foamed plastic, expanded plastic, or polystyrene;         34   the need for new or different regulation of auxiliary
7    cardboard; molded fiber; corrugated material; aluminum; glass;        35   containers, wrappings, or disposable plastic bags used by
8    postconsumer recycled material; or similar material or                36   consumers to carry products from retail establishments. The
9    substrates, including coated, laminated, or multilayer                37   updated report must include input from state and local
10   substrates.                                                           38   government agencies, stakeholders, private businesses, and
                                                                           39   citizens and must evaluate the efficacy and necessity of both

                                   Page 1 of 3                                                             Page 2 of 3
     1/16/2024 9:26:38 AM                                   577-02105-24        1/16/2024 9:26:38 AM                                    577-02105-24




     Florida Senate - 2024                           COMMITTEE AMENDMENT
     Bill No. SB 1126




                              Ì354080}Î354080


40   statewide and local regulation of these materials. To ensure
41   consistent and effective implementation, the department shall
42   submit the updated report with conclusions and recommendations
43   to the Legislature no later than December 31, 2021. Until such
44   time that the Legislature adopts the recommendations of the
45   department, A local government, local governmental agency, or
46   state governmental agency may not enact any rule, regulation, or
47   ordinance regarding use, disposition, sale, prohibition,
48   restriction, or tax of such auxiliary containers. The regulation
49   of auxiliary containers is expressly preempted to the state,
50   wrappings, or
51
52   ================= T I T L E    A M E N D M E N T ================
53   And the title is amended as follows:
54       Delete lines 5 - 9
55   and insert:
56       amending s. 403.7033, F.S.; deleting obsolete
57       provisions requiring the Department of Environmental
58       Protection to review and update a specified report;
59       expressly preempting the regulation of auxiliary
60       containers to the state; amending s. 403.707, F.S.;




                                   Page 3 of 3
     1/16/2024 9:26:38 AM                                   577-02105-24
       Florida Senate - 2024                                        SB 1126          Florida Senate - 2024                                        SB 1126



       By Senator Martin




       33-01432B-24                                              20241126__          33-01432B-24                                             20241126__
1                               A bill to be entitled                         30     retail facility.
2           An act relating to regulation of auxiliary containers;            31          (36)(35) “Solid waste” means sludge unregulated under the
3           amending s. 403.703, F.S.; defining the term                      32     federal Clean Water Act or Clean Air Act, sludge from a waste
4           “auxiliary container”; conforming cross-references;               33     treatment works, water supply treatment plant, or air pollution
5           amending s. 403.7033, F.S.; expressly preempting the              34     control facility, or garbage, rubbish, refuse, special waste, or
6           regulation of auxiliary containers to the state;                  35     other discarded material, including solid, liquid, semisolid, or
7           deleting obsolete provisions requiring the Department             36     contained gaseous material resulting from domestic, industrial,
8           of Environmental Protection to review and update a                37     commercial, mining, agricultural, or governmental operations.
9           specified report; amending s. 403.707, F.S.;                      38     Recovered materials as defined in subsection (29) (28) and post-
10          conforming cross-references; providing an effective               39     use polymers as defined in subsection (25) (24) are not solid
11          date.                                                             40     waste.
12                                                                            41          Section 2. Section 403.7033, Florida Statutes, is amended
13     Be It Enacted by the Legislature of the State of Florida:              42     to read:
14                                                                            43          403.7033 Preemption of regulation for auxiliary containers
15          Section 1. Present subsections (2) through (48) of section        44     Departmental analysis of particular recyclable materials.—The
16     403.703, Florida Statutes, are redesignated as subsections (3)         45     regulation of auxiliary containers is expressly preempted to the
17     through (49), respectively, a new subsection (2) is added to           46     state Legislature finds that prudent regulation of recyclable
18     that section, and present subsection (35) of that section is           47     materials is crucial to the ongoing welfare of Florida’s ecology
19     amended, to read:                                                      48     and economy. As such, the Department of Environmental Protection
20          403.703 Definitions.—As used in this part, the term:              49     shall review and update its 2010 report on retail bags analyzing
21          (2) “Auxiliary container” means a reusable or single-use          50     the need for new or different regulation of auxiliary
22     bag, cup, bottle, or other packaging that meets both of the            51     containers, wrappings, or disposable plastic bags used by
23     following requirements:                                                52     consumers to carry products from retail establishments. The
24          (a) Is made of cloth, paper, plastic, cardboard, corrugated       53     updated report must include input from state and local
25     material, aluminum, glass, postconsumer recycled material, or          54     government agencies, stakeholders, private businesses, and
26     similar material or substrates, including coated, laminated, or        55     citizens and must evaluate the efficacy and necessity of both
27     multilayer substrates.                                                 56     statewide and local regulation of these materials. To ensure
28          (b) Is designed for transporting, consuming, or protecting        57     consistent and effective implementation, the department shall
29     merchandise, food, or beverages from or at a food service or           58     submit the updated report with conclusions and recommendations

                                    Page 1 of 4                                                                 Page 2 of 4
     CODING: Words stricken are deletions; words underlined are additions.         CODING: Words stricken are deletions; words underlined are additions.
       Florida Senate - 2024                                        SB 1126           Florida Senate - 2024                                        SB 1126




       33-01432B-24                                              20241126__           33-01432B-24                                              20241126__
59     to the Legislature no later than December 31, 2021. Until such         88      of such county. The county may make such a determination only if
60     time that the Legislature adopts the recommendations of the            89      it finds that, prior to June 1, 2007, the county has established
61     department, A local government, local governmental agency, or          90      an adequate method for the use or recycling of such wood
62     state governmental agency may not enact any rule, regulation, or       91      material at an existing or proposed solid waste management
63     ordinance regarding use, disposition, sale, prohibition,               92      facility that is permitted or authorized by the department on
64     restriction, or tax of such auxiliary containers, wrappings, or        93      June 1, 2007. The county is not required to hold a hearing if
65     disposable plastic bags.                                               94      the county represents that it previously has held a hearing for
66          Section 3. Paragraph (j) of subsection (9) of section             95      such purpose, or if the county represents that it previously has
67     403.707, Florida Statutes, is amended to read:                         96      held a public meeting or hearing that authorized such method for
68          403.707 Permits.—                                                 97      the use or recycling of trash or other nonputrescible waste
69          (9) The department shall establish a separate category for        98      materials and that such materials include those materials
70     solid waste management facilities that accept only construction        99      described in s. 403.703(7)(b) s. 403.703(6)(b). The county shall
71     and demolition debris for disposal or recycling. The department        100     provide written notice of its determination to the department by
72     shall establish a reasonable schedule for existing facilities to       101     no later than April 30, 2008; thereafter, the materials
73     comply with this section to avoid undue hardship to such               102     described in s. 403.703(7) s. 403.703(6) shall be excluded from
74     facilities. However, a permitted solid waste disposal unit that        103     the definition of “construction and demolition debris” in s.
75     receives a significant amount of waste prior to the compliance         104     403.703(7) s. 403.703(6) within the jurisdiction of such county.
76     deadline established in this schedule shall not be required to         105     The county may withdraw or revoke its determination at any time
77     be retrofitted with liners or leachate control systems.                106     by providing written notice to the department.
78          (j) The Legislature recognizes that recycling, waste              107          Section 4. This act shall take effect July 1, 2024.
79     reduction, and resource recovery are important aspects of an
80     integrated solid waste management program and as such are
81     necessary to protect the public health and the environment. If
82     necessary to promote such an integrated program, the county may
83     determine, after providing notice and an opportunity for a
84     hearing prior to April 30, 2008, that some or all of the
85     material described in s. 403.703(7)(b) s. 403.703(6)(b) shall be
86     excluded from the definition of “construction and demolition
87     debris” in s. 403.703(7) s. 403.703(6) within the jurisdiction

                                  Page 3 of 4                                                                    Page 4 of 4
     CODING: Words stricken are deletions; words underlined are additions.          CODING: Words stricken are deletions; words underlined are additions.
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Address 916 W THARPE ST                                                                                      E*,ir CULLENASEA@GMAIL.COM
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              TALLAHASSEE FL                                                            32303
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                                                      The Florida Senate
                  BILL ANALYSIS AND FISCAL IMPACT STATEMENT
              (This document is based on the provisions contained in the legislation as of the latest date listed below.)

                  Prepared By: The Professional Staff of the Committee on Commerce and Tourism

BILL:           CS/SB 1166
INTRODUCER:     Commerce and Tourism Committee and Senator DiCeglie
SUBJECT:        Main Street Historical Tourism and Revitalization Act
DATE:           January 16, 2024                REVISED:


           ANALYST                    STAFF DIRECTOR                 REFERENCE                                 ACTION
1. Renner                           McKay                                 CM              Fav/CS
2.                                                                        FT
3.                                                                        AP



                     Please see Section IX. for Additional Information:
                                   COMMITTEE SUBSTITUTE - Substantial Changes




  I.    Summary:

        CS/SB 1166 creates the Main Street Historical Tourism and Revitalization Act, which provides a
        tax credit against corporate income taxes and insurance premium taxes for qualified expenses
        incurred in the rehabilitation of a certified historic structure.

        The tax credit may not exceed 20 percent (up to a maximum of $200,000) of qualified expenses
        incurred in the rehabilitation of a certified historic structure that has been approved by the
        National Park Service to receive federal historic rehabilitation tax credit, or 30 percent (up to a
        maximum of $200,000) of the total qualified expenses incurred in the rehabilitation of such a
        structure that is located within a Florida Main Street or Orlando Main Streets Program.

        Any unused amount may be carried forward for a period of up to five taxable years. Tax credits
        may also be sold or transferred. There is a limit of two transactions for the sale or transfer of all
        or part of a tax credit. However, qualified expenses may only be counted once in determining the
        amount of an available tax credit, and no more than one taxpayer may claim a tax credit for the
        same qualified expenses.

        The annual state revenue loss may not exceed $25 million in any fiscal year. A single entity or
        individual is authorized to receive up to $1 million in tax credits cumulatively for a single
        development project. Tax credits purchased from another taxpayer or entity, and any carryover
        tax credits, may be used in addition to the $1 million limit. If the annual amount exceeds $25
        million, applications must be rolled over and awarded the following fiscal year.
BILL: CS/SB 1166                                                                                                      Page 2


          The Revenue Estimating Conference (REC) has not analyzed the bill. The REC analysis for a
          similar version of the bill in 2023 estimated that the bill would reduce recurring General
          Revenue Fund receipts in Fiscal Year 2023-2024 by $39.3 million. Beginning in Fiscal Year
          2024-2025, General Revenue Fund receipts were estimated to be reduced by $39.7 million, cash
          and recurring.

          The bill takes effect on July 1, 2024. The emergency rulemaking authority granted to the
          Department of Revenue takes effect upon the bill becoming a law.

    II.   Present Situation:

          National Register of Historic Places

          The National Register of Historic Places,1 under the National Park Service, is “part of a national
          program to coordinate and support public and private efforts to identify, evaluate, and protect
          America’s historic and archeological resources.”2 The program reviews property nominations
          and lists eligible properties in the National Register; offers guidance on evaluating, documenting,
          and listing historic places; and helps qualified historic properties receive preservation benefits
          and incentives.3

          Properties listed in the National Register are eligible for federal preservation tax credits.
          A 20 percent income tax credit is available for the rehabilitation of historic, income-producing
          buildings that are determined by the Secretary of the Interior, through the National Park Service,
          to be certified historic structures.4 The National Parks Service reports that each year,
          “approximately 1,200 projects are approved, leveraging nearly $6 billion annually in private
          investment in the rehabilitation of historic buildings across the country.”5

          In Florida, there are more than 1,700 properties and districts listed on the National Register.
          Nominations for those properties must be submitted to the National Park Service through the
          Florida Department of State’s Division of Resources, following a review and recommendation
          by the Florida National Register Review Board.6 The cumulative total of “Qualified
          Rehabilitation Expenses” (the value of items that can be written off by developers on their
          federal tax bill) for Florida projects over the most recent five-year period (FY 2018-2022) is
          $252 million, resulting in $50.4 million in federal tax credits.7

1
  54 U.S.C. § 3021.
2
  U.S. Department of the Interior, National Park Service, National Register of Historic Places, What is the National Register
of Historic Places?, https://www.nps.gov/subjects/nationalregister/what-is-the-national-register.htm (last visited Jan. 16,
2024).
3
  Id.
4
  U.S. Department of the Interior, National Park Service, Technical Preservation Services, https://www.nps.gov/tps/tax-
incentives.htm (last visited Jan. 16, 2024).
5
  U.S. Department of the Interior, National Park Service, Historic Preservation Tax Incentives, About the Incentives,
https://www.nps.gov/subjects/taxincentives/about.htm (last visited Jan. 16, 2024).
6
  Florida Department of State, Division of Historical Resources, National Register of Historic Places,
https://dos.myflorida.com/historical/preservation/national-register/ (last visited Jan. 16, 2024).
7
  U.S. Department of the Interior, National Park Service, Historic Preservation Tax Incentives, 2022 Annual Report,
https://www.nps.gov/subjects/taxincentives/upload/report-2022-annual.pdf (last visited Jan. 16, 2024).
BILL: CS/SB 1166                                                                                                       Page 3


         Main Street America

         Main Street America, a program under the National Main Street Center,8 is a network of
         grassroots organizations that “revitalizes older and historic commercial districts to build vibrant
         neighborhoods and thriving economies.”9 The program offers community-based revitalization
         initiatives to transform downtowns. In order to be designated as either an affiliate or accredited
         member of Main Street America, a community must first become a member of the National Main
         Street Center and meet certain requirements.10 Main Street America has coordinating programs
         that are organized at the state, county, and city level which partner with the National Main Street
         Center to provide support and training to Main Street America communities.

         Florida has two coordinating programs: Florida Main Street America located in Tallahassee and
         Orlando Main Streets located in Orlando.11 Florida Main Street is administered by the Division
         of Historical Resources (division) under the Florida Department of State (DOS).12 Fifty-five
         Florida Main Streets and 12 Orlando Main Streets have received technical assistance toward the
         goal of revitalizing historic downtowns and encouraging economic development.13

         Florida Initiatives

         Currently, Florida does not offer a program that provides corporate income tax credits to offset
         the costs of rehabilitating historic properties. The Historic Preservation Grant Program,
         administered by the division, provides grants for the preservation and protection of the state’s
         historic and archaeological sites and properties. However, any property owned by private
         individuals or for-profit corporations are ineligible for such grants.14

         Florida’s constitution grants any county or municipality the authority to offer ad valorem tax
         exemptions to owners of historic properties making preservation improvements.15 Codified in the
         Florida Statutes under three sections, residential and commercial properties improved in a
         manner consistent with historic preservation standards are eligible for an exemption of up to
         100 percent of the value of the improvement made to the property.16 Generally, the property
         must be either individually listed in the National Register of Historic Places; be a contributing
         property to a national-register-listed district; or be designated as a historic property, or as a
         contributing property to a historic district. If the property is used for a governmental,

8
  The National Main Street Center was established in 1980 as a program of the National Trust for Historic Preservation as a
way to address issues facing aging and historic downtowns. The Center launched the Main Street America program in 2015.
See Main Street America, About Us, https://www.mainstreet.org/aboutus (last visited Jan. 16, 2024).
9
  Main Street America, About Us, https://www.mainstreet.org/aboutus (last visited Jan. 16, 2024).
10
   Main Street America, Designation, https://higherlogicdownload.s3.amazonaws.com/NMSC/390e0055-2395-4d3b-af60-
81b53974430d/UploadedImages/Main_Street_America_Tier_System_Overview_-_2021_July_Update.pdf (last visited Jan.
16, 2024).
11
   Main Street America, Coordinating Programs, https://higherlogicdownload.s3.amazonaws.com/NMSC/390e0055-2395-
4d3b-af60-81b53974430d/UploadedImages/The_Programs/2020_Coordinating_Program_List.pdf (last visited Jan. 16, 2024).
12
   Section 267.031(5), F.S.
13
   Visit Florida, Florida Main Street Programs Have Stories to Tell, https://www.visitflorida.com/travel-ideas/articles/florida-
main-street/ (last visited Jan. 16, 2024).
14
   Section 267.0617(2), F.S.
15
   Art. VII, s. 3, Fla. Const.
16
   See ss. 196.1961, 196.1997, and 196.1998, F.S.
BILL: CS/SB 1166                                                                                                           Page 4

         not-for-profit, or commercial purpose, it must be open to the public on a regular basis.
         Additionally, property used for governmental or nonprofit purposes are eligible to have the entire
         value of the property exempted.17

         Corporate Income Tax

         Florida levies a 5.5 percent tax on certain income of corporations and financial institutions doing
         business in Florida.18 Florida utilizes the taxable income determined for federal income tax
         purposes as a starting point to determine the total amount of Florida corporate income tax due.19
         This means that a corporation paying taxes in Florida generally receives the same benefits from
         deductions allowed when determining taxable income for federal tax purposes as it does when
         determining taxable income for state taxation purposes.

         Insurance Premium Tax

         Florida imposes a 1.75 percent tax on most Florida insurance premiums, a 1 percent tax on
         annuity premiums; and a 1.6 percent tax on self-insurers.20 Insurance premium taxes are paid by
         insurance companies and remitted to the Department of Revenue (DOR). The revenues are
         distributed to General Revenue. In addition, some insurers pay a retaliatory tax to the extent the
         insurer's state of domicile would impose a greater tax burden than Florida imposes.

III.     Effect of Proposed Changes:

         The bill creates the Main Street Historical Tourism and Revitalization Act which provides a tax
         credit against corporate income tax and insurance premium tax for qualified expenses21 incurred
         in the rehabilitation of a certified historic structure. 22

         Eligibility

         For taxable years beginning on or after January 1, 2025, a credit is allowed against any tax due
         for a taxable year after the application of any other allowable credits by the taxpayer. An
         applicant must submit an application to the DOS to receive a tax credit and must provide the
         following:
          An official certificate of eligibility from the division attesting that the project has been
             approved by the National Park Service and indicating whether the project is located within a
             local program area in the state;


17
   Section 196.1998, F.S.
18
   Section 220.11(2), F.S.
19
   Section 220.12, F.S.
20
   Section 624.509, F.S., and s. 624.4621, F.S.
21
   The bill defines “qualified expenses” as qualified rehabilitation expenditures (defined in 26 U.S.C., §47(c)(2)) and
structural components that were incurred in Florida (defined in 26 C.F.R., § 1.48-1(e)(2)) at the time of project certification
by the U.S. Secretary of the Interior and the U.S. Internal Revenue Service (IRS).
22
   The bill defines a “certified historic structure” as a building and its structural components which is of a character subject to
the allowance for depreciation provided in s. 167 of the Internal Revenue Code and which is listed on the National Register
of Historic Places or located within a registered historic district and certified by the U.S. Secretary of the Interior as being of
historic significance to the registered historic district.
BILL: CS/SB 1166                                                                                                             Page 5

             National Park Service Form 10-168c, signed by the National Park Service attesting that the
              completed rehabilitation meets the U.S. Secretary of the Interior’s Standards for
              Rehabilitation and is consistent with the historic character of the property and, if applicable,
              the district in which the completed rehabilitation is located;
             List of all the dates during which the structure was rehabilitated, the date the structure was
              first placed into service after certified rehabilitation23 was completed, and evidence that the
              structure was placed in service;
             Documentation that the taxpayer had an ownership or a long-term leasehold interest in the
              certified historic structure in the year during which the structure was placed in service after
              the certified rehabilitation was completed;
             A list of total qualified expenses incurred in this state by the taxpayer in rehabilitating the
              certified historic structure. The applicant must submit an audited cost report that itemizes the
              qualified expenses incurred in rehabilitating the structure;
             An attestation of the total qualified expenses incurred in this state by the taxpayer for
              rehabilitating the certified historic structure in this state; and
             The information required to be reported by the DOR to enable the DOR to compile its annual
              report based on the tax credit applications submitted and approved.

         Within 60 days after receipt of the information detailed above the DOR must approve or deny the
         submitted application. If approved, the DOR must provide a letter to the taxpayer. If the taxpayer
         is denied, the DOR must inform the taxpayer of the grounds for denial.

         Tax Credit Amount

         The total tax credit claimed annually may not exceed the amount of tax due after any other
         applicable tax credits and may not exceed the following:
          Twenty percent (up to a maximum of $200,000) of the total qualified expenses incurred for
            rehabilitating one or more certified historic structures that have been approved by the
            National Park Service to receive the federal historic rehabilitation tax credit; or
          Thirty percent (up to a maximum of $200,000) of the total qualified expenses incurred for
            rehabilitating one or more certified historic structures that have been approved by the
            National Park Service to receive the federal historic rehabilitation tax credit and that are
            located within a local program area of an Accredited Main Street Program.

         The bill prohibits the annual state revenue loss from exceeding $25 million in any fiscal year. If
         the annual amount exceeds $25 million, applications must be rolled forward and awarded by the
         DOR during the following fiscal year.

         A single entity or individual is prohibited from receiving more than $1 million in tax credits
         cumulatively for a single development project, even if the credits have accrued over multiple tax
         years. Tax credits purchased from another taxpayer or entity, and carryover tax credits from a
         prior tax year, may be used in addition to the $1 million limit, if the additional tax credits were

23
  The bill defines “certified rehabilitation” as the rehabilitation of a certified historic structure that the U.S. Secretary of the
Interior has certified to the U.S. Secretary of the Treasury as being consistent with the historic character of the certified
historic structure and, if applicable, consistent with the registered historic district in which the structure is located. See 36
C.F.R., § 67.2
BILL: CS/SB 1166                                                                                        Page 6

      accrued from a different development project. The DOR must award the credits on a first-come,
      first-served basis.

      If a taxpayer is eligible for a tax credit that exceeds taxes owed, the taxpayer may carry the
      unused tax credit forward for a period of up to five taxable years.

      Sale or Transfer of Tax Credit

      The bill provides that there is a limit of two transactions for the sale or transfer of all or part of a
      tax credit. However, qualified expenses may only be counted once in determining the amount of
      an available tax credit, and no more than one taxpayer may claim a tax credit for the same
      qualified expenses.

      A taxpayer that sells or transfers a tax credit and the purchaser or transferee must jointly submit
      written notice of the sale or transfer to the DOR no later than the 30th day after the date of the
      sale or transfer. The notice must include the following information:
       The date of the sale or transfer;
       The amount of the tax credit sold or transferred;
       The name and federal tax identification number of the taxpayer that sold or transferred the
          tax credit and the name and federal tax identification number of the purchaser or transferee;
          and
       The amount of the tax credit owed by the taxpayer before the sale or transfer and the amount
          the selling or transferring taxpayer retained, if any, after the sale or transfer.

      The sale or transfer of a tax credit does not extend the period for which a tax credit may be
      carried forward and does not increase the total amount of the tax credit that may be claimed.

      A tax credit earned, purchased, or transferred to a partnership, limited liability company,
      S corporation, or other pass-through entity may be allocated to the partners, members, or
      shareholders of that entity and claimed without regard to the ownership interest of the partners,
      members, or shareholders in the rehabilitated certified historic structure.

      If the tax credit is reduced due to a determination, examination, or audit by the DOR, the tax
      deficiency must be recovered from the taxpayer that sold or transferred the tax credit or the
      purchaser or transferee that claimed the tax credit up to the amount of the tax credit taken. Any
      subsequent deficiencies must be assessed against the purchaser or transferee that claimed the tax
      credit, or in the case of multiple succeeding entities, in the order of tax credit succession.

      DOR and Division Audit Authority

      The DOR is authorized to perform additional financial and technical audits and examinations,
      including examining the accounts, books, or records of the taxpayer, to verify the legitimacy of
      the qualified expenses included in a tax credit return and to ensure compliance. The division
      must provide technical assistance for any technical audits or examinations if requested by the
      DOR.
BILL: CS/SB 1166                                                                                    Page 7

      It is grounds for forfeiture of previously claimed and received tax credits if the DOR determines
      that a taxpayer received a tax credit to which the taxpayer was not entitled. The taxpayer must
      return the forfeited tax credits to the DOR, which will then be paid into the General Revenue
      Fund.

      The taxpayer must file an amended tax return and pay any required tax within 60 days after the
      taxpayer receives notification from the IRS that a previously approved tax credit has been
      revoked or modified, if uncontested, or within 60 days after a final order is issued following
      proceedings involving a contested revocation or modification order.

      The DOR may issue a notice of deficiency at any time within five years after the date on which
      the taxpayer receives notification from the IRS that a previously approved tax credit has been
      revoked or modified.

      The DOR may issue a notice of deficiency at any time if the taxpayer fails to notify the DOR of
      any change in its tax credit claimed. The amount of any proposed assessment in the notice of
      deficiency is limited to the amount of any deficiency resulting from the recomputation of the
      taxpayer’s tax for the taxable year. Furthermore, a taxpayer is subject to applicable penalties and
      interest for failing to report and timely paying any tax due as a result of the forfeiture of its tax
      credit.

      Other Provisions

      The DOR must provide a report annually by December 1, which identifies, in the aggregate, the
      number of people employed during construction phases of the certified rehabilitation; the use of
      each newly rehabilitated building and the number of additional people employed for ongoing
      operations after the certified historic structure is placed in service, the expected number of
      people employed during construction phases of the certified rehabilitation who worked to
      complete the project, including contractors and subcontractors; the number of affordable housing
      units created or preserved, and the property values before and after the certified rehabilitations.

      The DOR must also establish or amend any necessary forms required to claim a tax credit;
      provide administrative guidelines and procedures required to administer the Act, including rules
      establishing an entitlement to and sale or transfer of a tax credit; and provide examination and
      audit procedures required to administer the Act.

      The DOR and the division are granted rulemaking authority and the DOR is granted additional
      emergency rulemaking authority to administer the Act.

      The DOR is authorized to make available to the division and the Secretary of the Department of
      the Interior of the United States information relating to the Act.

      The bill makes conforming changes.

      The bill creates s. 624.5095, F.S., to specify that tax credits may be used to offset the insurance
      premium tax. The certified rehabilitation can either be completed by the insurer or the insurer
      may purchase the tax credits from a different entity that accrued or purchased the tax credits. An
BILL: CS/SB 1166                                                                                    Page 8

      insurer claiming a credit against the insurance premium tax liability is not required to pay any
      additional retaliatory tax as a result of claiming such credit.

      The bill applies to taxable years beginning on or after January 1, 2025.

      The bill takes effect on July 1, 2024. The emergency rulemaking authority granted to the DOR
      takes effect upon the bill becoming a law.

IV.   Constitutional Issues:

      A.     Municipality/County Mandates Restrictions:

             Article VII, section 18 of the Florida Constitution requires a two-thirds vote of the
             membership of each house of the Legislature to pass legislation requiring counties and
             municipalities to spend funds, limiting their ability to raise revenue, or reducing the
             percentage of a state tax shared with them. This bill does not require counties or
             municipalities to spend funds, limit their authority to raise revenue, or reduce the
             percentage of a state tax shared with them as specified in Article VII, section 18 of the
             Florida Constitution. Therefore, the provisions of Article VII, section 18 of the Florida
             Constitution do not apply.

      B.     Public Records/Open Meetings Issues:

             None.

      C.     Trust Funds Restrictions:

             None.

      D.     State Tax or Fee Increases:

             The bill does not create or raise a state tax or fee. Therefore, the requirements of
             Article VII, section 19 of the Florida Constitution do not apply.

      E.     Other Constitutional Issues:

             None identified.

V.    Fiscal Impact Statement:

      A.     Tax/Fee Issues:

             The Revenue Estimating Conference (REC) has not analyzed the bill. The REC analysis
             for a similar version of the bill in 2023 estimated that the bill would reduce recurring
             General Revenue Fund receipts in Fiscal Year 2023-2024 by $39.3 million. Beginning in
             Fiscal Year 2024-2025, General Revenue Fund receipts were estimated to be reduced by
             $39.7 million, cash and recurring.
 BILL: CS/SB 1166                                                                                                                       Page 9

         B.        Private Sector Impact:

                   Taxpayers who have ownership interest in a certified historic structure in the year during
                   which the structure was placed into service after the certified rehabilitation was complete
                   may be eligible to receive a tax credit to offset corporate income taxes and insurance
                   premium taxes for qualified expenses incurred in the rehabilitation of the certified
                   historic structure.

         C.        Government Sector Impact:

                   For a prior version of the bill in 2023, the DOR determined that $91,488 in non-recurring
                   funds would be necessary to implement the bill. The funds would be used to update the
                   state’s tax software system and modify necessary forms.24

 VI.     Technical Deficiencies:

         None.

VII.     Related Issues:

         None.

VIII.    Statutes Affected:

         This bill substantially amends sections 212.053, 220.02, 220.13, and 624.509, of the Florida
         Statutes.

         This bill creates sections 220.197 and 624.5095 of the Florida Statutes.

 IX.     Additional Information:

         A.        Committee Substitute – Statement of Substantial Changes:
                   (Summarizing differences between the Committee Substitute and the prior version of the bill.)

                   CS by Commerce and Tourism on Jan. 16, 2024:

                   The amendment conforms to the House bill.

         B.        Amendments:

                   None.

           This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.




 24
  Florida Department of Revenue, Senate Bill 288 Bill Analysis (Feb. 01, 2023) (on file with Senate Committee on
 Commerce & Tourism).
     Florida Senate - 2024                         COMMITTEE AMENDMENT          Florida Senate - 2024                           COMMITTEE AMENDMENT
     Bill No. SB 1166                                                           Bill No. SB 1166




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                             LEGISLATIVE ACTION                            11       (2) DEFINITIONS.—As used in this section, the term:
              Senate                 .                   House             12       (a) “Active Main Street program” means an area
             Comm: RCS               .                                     13   participating under a recognized, coordinated Main Street
         01/16/2024                  .                                     14   America licensed program or the Orlando Main Streets program. An
                                     .                                     15   Active Main Street program must:
                                     .                                     16       1. Have broad-based community support for the commercial
                                     .                                     17   district revitalization process with strong support from the
                                                                           18   public and private sectors.
                                                                           19       2. Have a developed vision and mission statement relevant
                                                                           20   to community conditions.
                                                                           21       3. Have a comprehensive work plan.
                                                                           22       4. Possess a historic preservation ethic.
                                                                           23       5. Have an active board of directors and committees.
                                                                           24       6. Have an adequate operating budget.
                                                                           25       7. Have a paid professional program manager.
     The Committee on Commerce and Tourism (DiCeglie) recommended the      26       8. Conduct a program of ongoing training for staff and
     following:                                                            27   volunteers.
                                                                           28       9. Report key statistics.
1        Senate Amendment (with title amendment)                           29       10. Be a current, designated Florida Main Street program.
2                                                                          30       (b) “Affordable housing unit” means a housing unit that is
3        Delete everything after the enacting clause                       31   affordable, as defined in s. 420.0004(3).
4    and insert:                                                           32       (c) “Certified historic structure” means a building,
5        Section 1. Section 220.197, Florida Statutes, is created to       33   including its structural components, as defined in 36 C.F.R. s.
6    read:                                                                 34   67.2, which is of a character subject to the allowance for
7        220.197 Main Street Historical Tourism and Revitalization         35   depreciation provided in s. 167 of the Internal Revenue Code of
8    Act; tax credits; reports.—                                           36   1986, as amended, and which is:
9        (1) SHORT TITLE.—This act may be cited as the “Main Street        37       1. Individually listed in the National Register of Historic
10   Historical Tourism and Revitalization Act.”                           38   Places; or
                                                                           39       2. Located within a registered historic district and

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     Florida Senate - 2024                         COMMITTEE AMENDMENT          Florida Senate - 2024                           COMMITTEE AMENDMENT
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40   certified by the United States Secretary of the Interior as           69       (j) “Orlando Main Streets program” means a historic
41   being of historic significance to the registered historic             70   preservation-based district revitalization program administered
42   district as set forth in 36 C.F.R. s. 67.2.                           71   by the City of Orlando.
43       (d) “Certified rehabilitation” means the rehabilitation of        72       (k) “Placed in service” means when the property is placed
44   a certified historic structure that the United States Secretary       73   in a condition or state of readiness and availability for a
45   of the Interior has certified to the United States Secretary of       74   specifically assigned function. A building is placed in service
46   the Treasury as being consistent with the historic character of       75   when the appropriate work has been completed which would allow
47   the certified historic structure and, if applicable, consistent       76   for occupancy of either the entire building or some identifiable
48   with the registered historic district in which the certified          77   portion of the building as detailed in Treasury Regulation 1.46-
49   historic structure is located as set forth in 36 C.F.R. s. 67.2.      78   3(d).
50       (e) “Division” means the Division of Historical Resources         79       (l) “Qualified expenses” means rehabilitation expenditures
51   of the Department of State.                                           80   that qualify for the credit under 26 U.S.C. s. 47 incurred in
52       (f) “Florida Main Street program” means a statewide               81   this state.
53   historic preservation-based downtown revitalization assistance        82       (m) “Registered historic district” means a district listed
54   program created, maintained, and administered by the division         83   in the National Register of Historic Places or a district:
55   under s. 267.031(5).                                                  84       1. Designated under general law or local ordinance and
56       (g) “Local program area” means the specific geographic area       85   certified by the United States Secretary of the Interior as
57   in which an Active Main Street program is conducted as approved       86   meeting criteria that will substantially achieve the purposes of
58   and maintained by the division or in which the Orlando Main           87   preserving and rehabilitating buildings of historic significance
59   Streets program is conducted.                                         88   to the district; and
60       (h) “Long-term leasehold” means a leasehold in a                  89       2. Certified by the United States Secretary of the Interior
61   nonresidential real property for a term of 39 years or more or a      90   as meeting substantially all of the requirements for listing a
62   leasehold in a residential real property for a term of 27.5           91   district in the National Register of Historic Places.
63   years or more.                                                        92       (3) ELIGIBILITY FOR TAX CREDIT.—For taxable years beginning
64       (i) “National Register of Historic Places” means the list         93   on or after January 1, 2025, there is allowed a credit against
65   of historic properties significant in American history,               94   any tax due for a taxable year under this chapter after the
66   architecture, archeology, engineering, and culture maintained by      95   application of any other allowable credits by the taxpayer.
67   the United States Secretary of the Interior as authorized in 54       96       (a) To claim and receive a tax credit under this section, a
68   U.S.C. s. 302101.                                                     97   taxpayer must submit an application to the department for a tax

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      Florida Senate - 2024                         COMMITTEE AMENDMENT         Florida Senate - 2024                            COMMITTEE AMENDMENT
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98    credit for qualified expenses in the amount and under the           127   certified public accountant which itemizes the qualified
99    conditions and limitations provided in this section against the     128   expenses incurred in rehabilitating the certified historic
100   tax due for a taxable year under this chapter and must provide      129   structure.
101   the department with all of the following:                           130       6. An attestation of the total qualified expenses incurred
102       1. An official certificate of eligibility from the              131   in this state by the taxpayer in rehabilitating the certified
103   division, signed by the State Historic Preservation Officer or      132   historic structure in this state.
104   the Deputy State Historic Preservation Officer, attesting that      133       7. The information required to be reported by the
105   the project has been approved by the National Park Service and      134   department in subsection (8) to enable the department to compile
106   indicating whether the project is located within a local program    135   its annual report.
107   area in this state.                                                 136       (b) Within 60 days after receipt of the information
108       2. National Park Service Form 10-168c (Rev. 2023), titled       137   required under paragraph (a), the department must approve or
109   “Historic Preservation Certification Application Part 3-Request     138   deny the application. If approved, the department must provide a
110   for Certification of Completed Work,” or a similar form, signed     139   letter of certification to the taxpayer consistent with any
111   by an officer of the National Park Service, attesting that the      140   restrictions imposed. If the department denies any part of the
112   completed rehabilitation meets the United States Secretary of       141   requested credit, the department must inform the taxpayer of the
113   the Interior’s Standards for Rehabilitation and is consistent       142   grounds for the denial.
114   with the historic character of the property and, if applicable,     143       (4) AMOUNT AND DISTRIBUTION OF TAX CREDIT.—
115   the district in which the completed rehabilitation is located.      144       (a) The total tax credit claimed annually may not exceed
116   The form may be obtained through the National Park Service.         145   the amount of tax due after any other applicable tax credits and
117       3. An identification of the dates during which the              146   may not exceed the following:
118   certified historic structure was rehabilitated and the date on      147       1. Twenty percent, up to a maximum of $200,000, of the
119   which the certified historic structure was placed in service.       148   total qualified expenses incurred in this state in
120       4. Documentation that the taxpayer had an ownership or a        149   rehabilitating at least one certified historic structure that
121   long-term leasehold interest in the certified historic structure    150   has been approved by the National Park Service to receive the
122   in the year during which such structure was placed in service       151   federal historic rehabilitation tax credit; or
123   after the certified rehabilitation was completed.                   152       2. Thirty percent, up to a maximum of $200,000, of the
124       5. A list of total qualified expenses incurred by the           153   total qualified expenses incurred in this state in
125   taxpayer in rehabilitating the certified historic structure. The    154   rehabilitating at least one certified historic structure that
126   taxpayer must submit an audited cost report issued by a             155   has been approved by the National Park Service to receive the

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      Florida Senate - 2024                         COMMITTEE AMENDMENT         Florida Senate - 2024                            COMMITTEE AMENDMENT
      Bill No. SB 1166                                                          Bill No. SB 1166




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156   federal historic rehabilitation tax credit and that is located      185       (b) A carryforward is considered the remaining portion of a
157   within a local program area in this state.                          186   tax credit that cannot be claimed in the current tax year.
158       (b) The tax credit may be used to offset the corporate          187       (6) SALE OR TRANSFER OF TAX CREDIT.—
159   income tax imposed in s. 220.11 and the insurance premium tax       188       (a) A taxpayer that incurs qualified expenses may sell or
160   imposed in s. 624.509. An insurer claiming a credit against         189   transfer all or part of the tax credit that may otherwise be
161   insurance premium tax liability under this section may not be       190   claimed to another taxpayer.
162   required to pay any additional retaliatory tax levied pursuant      191       (b) A taxpayer to which all or part of the tax credit is
163   to s. 624.5091 as a result of claiming such credit. Section         192   sold or transferred may sell or transfer all or part of the tax
164   624.5091 does not limit such credit in any manner.                  193   credit that may otherwise be claimed to another taxpayer.
165       (c) The combined total amount of tax credits that may be        194       (c) A taxpayer that sells or transfers a tax credit to
166   granted for all taxpayers under this section is $25 million per     195   another taxpayer must provide a copy of the certificate of
167   state fiscal year.                                                  196   eligibility together with the audited cost report to the
168       (d) A taxpayer may not receive more than $1 million in tax      197   purchaser or transferee.
169   credits for a single development project, even if such credits      198       (d) Qualified expenses may be counted only once in
170   are accrued over multiple tax years. However, additional tax        199   determining the amount of an available tax credit, and more than
171   credits purchased from another taxpayer or entity, and carryover    200   one taxpayer may not claim a tax credit for the same qualified
172   tax credits from a prior tax year, may be used by such taxpayer     201   expenses.
173   if the additional tax credits were accrued from a different         202       (e) There is a limit of two transactions for the sale or
174   development project.                                                203   transfer of all or part of a tax credit.
175       (e) The department shall award the tax credits on a first-      204       1. A taxpayer that sells or transfers a tax credit under
176   come, first-served basis.                                           205   this subsection and the purchaser or transferee shall jointly
177       (f) If the annual amount of approved tax credits exceeds        206   submit written notice of the sale or transfer to the department
178   the maximum provided in paragraph (c), applications must be         207   on a form adopted by the department no later than the 30th day
179   rolled forward to be granted by the department during the           208   after the date of the sale or transfer. The notice must include
180   following fiscal year.                                              209   all of the following:
181       (5) CARRYFORWARD OF TAX CREDIT.—                                210       a. The date of the sale or transfer.
182       (a) If a taxpayer is eligible for a tax credit that exceeds     211       b. The amount of the tax credit sold or transferred.
183   taxes owed, the taxpayer may carry the unused tax credit forward    212       c. The name and federal tax identification number of the
184   for a period of up to 5 taxable years.                              213   taxpayer that sold or transferred the tax credit and the

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      Florida Senate - 2024                         COMMITTEE AMENDMENT         Florida Senate - 2024                         COMMITTEE AMENDMENT
      Bill No. SB 1166                                                          Bill No. SB 1166




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214   purchaser or transferee.                                            243   credit succession.
215       d. The amount of the tax credit owned by the taxpayer           244       (7) AUDIT AUTHORITY; REVOCATION AND FORFEITURE OF TAX
216   before the sale or transfer and the amount the selling or           245   CREDITS; FRAUDULENT CLAIMS.—
217   transferring taxpayer retained, if any, after the sale or           246       (a) The department may perform any additional financial and
218   transfer.                                                           247   technical audits and examinations, including examining the
219       2. The sale or transfer of a tax credit under this              248   accounts, books, or records of the taxpayer, to verify the
220   subsection does not extend the period for which a tax credit may    249   legitimacy of the qualified expenses included in a tax credit
221   be carried forward and does not increase the total amount of the    250   return and to ensure compliance with this section. If requested
222   tax credit that may be claimed.                                     251   by the department, the division must provide technical
223       3. If a taxpayer claims a tax credit for qualified              252   assistance for any technical audits or examinations performed
224   expenses, another taxpayer may not use the same expenses as the     253   under this subsection.
225   basis for claiming a tax credit.                                    254       (b) It is grounds for forfeiture of previously claimed and
226       4. Notwithstanding the requirements of this subsection, a       255   received tax credits if the department determines, as a result
227   tax credit earned by, purchased by, or transferred to a             256   of an audit or information received from the division, the
228   partnership, limited liability company, S corporation, or other     257   division, or the United States Department of the Interior or
229   pass-through entity may be allocated to the partners, members,      258   Internal Revenue Service, that a taxpayer received a tax credit
230   or shareholders of that entity and claimed under this section in    259   pursuant to this section to which the taxpayer was not entitled.
231   accordance with any agreement among the partners, members, or       260   In the case of fraud, the taxpayer may not claim any future tax
232   shareholders and without regard to the ownership interest of the    261   credits under this section.
233   partners, members, or shareholders in the rehabilitated             262       (c) The taxpayer must return forfeited tax credits to the
234   certified historic structure.                                       263   department, and such funds shall be paid into the General
235       (f) If the tax credit is reduced due to a determination,        264   Revenue Fund.
236   examination, or audit by the department, the tax deficiency must    265       (d) The taxpayer shall file with the department an amended
237   be recovered from the taxpayer that sold or transferred the tax     266   tax return or such other report as the department prescribes and
238   credit or the purchaser or transferee that claimed the tax          267   shall pay any required tax within 60 days after the taxpayer
239   credit up to the amount of the tax credit taken.                    268   receives notification from the United States Internal Revenue
240       (g) Any subsequent deficiencies shall be assessed against       269   Service that a previously approved tax credit has been revoked
241   the purchaser or transferee that claimed the tax credit or, in      270   or modified, if uncontested, or within 60 days after a final
242   the case of multiple succeeding entities, in the order of tax       271   order is issued following proceedings involving a contested

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      Florida Senate - 2024                         COMMITTEE AMENDMENT         Florida Senate - 2024                         COMMITTEE AMENDMENT
      Bill No. SB 1166                                                          Bill No. SB 1166




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272   revocation or modification order.                                   301   rehabilitations.
273       (e) A notice of deficiency may be issued by the department      302       (9) DEPARTMENT DUTIES.—The department shall:
274   at any time within 5 years after the date on which the taxpayer     303       (a) Establish or amend any necessary forms required to
275   receives notification from the United States Internal Revenue       304   claim a tax credit under this section.
276   Service that a previously approved tax credit has been revoked      305       (b) Provide administrative guidelines and procedures
277   or modified. If a taxpayer fails to notify the department of any    306   required to administer this section, including rules
278   change in its tax credit claimed, a notice of deficiency may be     307   establishing an entitlement to and sale or transfer of a tax
279   issued at any time. In either case, the amount of any proposed      308   credit under this section.
280   assessment set forth in such notice of deficiency is limited to     309       (c) Provide examination and audit procedures required to
281   the amount of any deficiency resulting under this section from      310   administer this section.
282   the recomputation of the taxpayer’s tax for the taxable year.       311       (10) RULES.—The department may adopt rules to administer
283       (f) A taxpayer that fails to report and timely pay any tax      312   this section.
284   due as a result of the forfeiture of its tax credit violates        313       Section 2. Subsection (26) is added to section 213.053,
285   this section and is subject to applicable penalties and             314   Florida Statutes, to read:
286   interest.                                                           315       213.053 Confidentiality and information sharing.—
287       (8) ANNUAL REPORT.—Based on the applications submitted and      316       (26) The department may make available to the Division of
288   approved, the department must submit a report by December 1 of      317   Historical Resources of the Department of State and the
289   each year to the President of the Senate and the Speaker of the     318   Secretary of the United States Department of the Interior or his
290   House of Representatives that identifies, in the aggregate, all     319   or her delegate, exclusively for official purposes, information
291   of the following:                                                   320   for the purposes of administering the Main Street Historical
292       (a) The number of people employed during the construction       321   Tourism and Revitalization Act pursuant to s. 220.197.
293   phases of the certified rehabilitation who worked to complete       322       Section 3. Subsection (8) of section 220.02, Florida
294   the project, including contractors and subcontractors.              323   Statutes, is amended to read:
295       (b) The use of each newly rehabilitated building and the        324       220.02 Legislative intent.—
296   number of additional people employed for ongoing operations         325       (8) It is the intent of the Legislature that credits
297   after the certified historic structure is placed in service.        326   against either the corporate income tax or the franchise tax be
298       (c) The number of affordable housing units created or           327   applied in the following order: those enumerated in s. 631.828,
299   preserved.                                                          328   those enumerated in s. 220.191, those enumerated in s. 220.181,
300       (d) The property values before and after the certified          329   those enumerated in s. 220.183, those enumerated in s. 220.182,

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      Florida Senate - 2024                           COMMITTEE AMENDMENT         Florida Senate - 2024                         COMMITTEE AMENDMENT
      Bill No. SB 1166                                                            Bill No. SB 1166




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330   those enumerated in s. 220.1895, those enumerated in s. 220.195,      359   subparagraph 11. and is taken as a deduction for federal tax
331   those enumerated in s. 220.184, those enumerated in s. 220.186,       360   purposes in the current taxable year, the amount of the
332   those enumerated in s. 220.1845, those enumerated in s. 220.19,       361   deduction allowed shall not be added to taxable income in the
333   those enumerated in s. 220.185, those enumerated in s. 220.1875,      362   current year. The exception in this sub-subparagraph is intended
334   those enumerated in s. 220.1876, those enumerated in s.               363   to ensure that the credit under s. 220.1875, s. 220.1876, s.
335   220.1877, those enumerated in s. 220.1878, those enumerated in        364   220.1877, or s. 220.1878 is added in the applicable taxable year
336   s. 220.193, those enumerated in former s. 288.9916, those             365   and does not result in a duplicate addition in a subsequent
337   enumerated in former s. 220.1899, those enumerated in former s.       366   year.
338   220.194, those enumerated in s. 220.196, those enumerated in s.       367       2. The amount of interest which is excluded from taxable
339   220.198, those enumerated in s. 220.1915, those enumerated in s.      368   income under s. 103(a) of the Internal Revenue Code or any other
340   220.199, and those enumerated in s. 220.1991, and those               369   federal law, less the associated expenses disallowed in the
341   enumerated in s. 220.197.                                             370   computation of taxable income under s. 265 of the Internal
342       Section 4. Paragraph (a) of subsection (1) of section             371   Revenue Code or any other law, excluding 60 percent of any
343   220.13, Florida Statutes, is amended to read:                         372   amounts included in alternative minimum taxable income, as
344       220.13 “Adjusted federal income” defined.—                        373   defined in s. 55(b)(2) of the Internal Revenue Code, if the
345       (1) The term “adjusted federal income” means an amount            374   taxpayer pays tax under s. 220.11(3).
346   equal to the taxpayer’s taxable income as defined in subsection       375       3. In the case of a regulated investment company or real
347   (2), or such taxable income of more than one taxpayer as              376   estate investment trust, an amount equal to the excess of the
348   provided in s. 220.131, for the taxable year, adjusted as             377   net long-term capital gain for the taxable year over the amount
349   follows:                                                              378   of the capital gain dividends attributable to the taxable year.
350       (a) Additions.—There shall be added to such taxable income:       379       4. That portion of the wages or salaries paid or incurred
351       1.a. The amount of any tax upon or measured by income,            380   for the taxable year which is equal to the amount of the credit
352   excluding taxes based on gross receipts or revenues, paid or          381   allowable for the taxable year under s. 220.181. This
353   accrued as a liability to the District of Columbia or any state       382   subparagraph shall expire on the date specified in s. 290.016
354   of the United States which is deductible from gross income in         383   for the expiration of the Florida Enterprise Zone Act.
355   the computation of taxable income for the taxable year.               384       5. That portion of the ad valorem school taxes paid or
356       b. Notwithstanding sub-subparagraph a., if a credit taken         385   incurred for the taxable year which is equal to the amount of
357   under s. 220.1875, s. 220.1876, s. 220.1877, or s. 220.1878 is        386   the credit allowable for the taxable year under s. 220.182. This
358   added to taxable income in a previous taxable year under              387   subparagraph shall expire on the date specified in s. 290.016

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      Florida Senate - 2024                           COMMITTEE AMENDMENT         Florida Senate - 2024                         COMMITTEE AMENDMENT
      Bill No. SB 1166                                                            Bill No. SB 1166




                              Ì857016%Î857016                                                                Ì857016%Î857016


388   for the expiration of the Florida Enterprise Zone Act.                417   of this state as both a deduction from income and a credit
389       6. The amount taken as a credit under s. 220.195 which is         418   against the tax. The addition is not intended to result in
390   deductible from gross income in the computation of taxable            419   adding the same expense back to income more than once.
391   income for the taxable year.                                          420       14. The amount taken as a credit for the taxable year
392       7. That portion of assessments to fund a guaranty                 421   pursuant to s. 220.198.
393   association incurred for the taxable year which is equal to the       422       15. The amount taken as a credit for the taxable year
394   amount of the credit allowable for the taxable year.                  423   pursuant to s. 220.1915.
395       8. In the case of a nonprofit corporation which holds a           424       16. The amount taken as a credit for the taxable year
396   pari-mutuel permit and which is exempt from federal income tax        425   pursuant to s. 220.199.
397   as a farmers’ cooperative, an amount equal to the excess of the       426       17. The amount taken as a credit for the taxable year
398   gross income attributable to the pari-mutuel operations over the      427   pursuant to s. 220.1991.
399   attributable expenses for the taxable year.                           428       18. The amount taken as a credit for the taxable year
400       9. The amount taken as a credit for the taxable year under        429   pursuant to s. 220.197.
401   s. 220.1895.                                                          430       Section 5. Subsection (7) of section 624.509, Florida
402       10. Up to nine percent of the eligible basis of any               431   Statutes, is amended to read:
403   designated project which is equal to the credit allowable for         432       624.509 Premium tax; rate and computation.—
404   the taxable year under s. 220.185.                                    433       (7) Credits and deductions against the tax imposed by this
405       11. Any amount taken as a credit for the taxable year under       434   section shall be taken in the following order: deductions for
406   s. 220.1875, s. 220.1876, s. 220.1877, or s. 220.1878. The            435   assessments made pursuant to s. 440.51; credits for taxes paid
407   addition in this subparagraph is intended to ensure that the          436   under ss. 175.101 and 185.08; credits for income taxes paid
408   same amount is not allowed for the tax purposes of this state as      437   under chapter 220 and the credit allowed under subsection (5),
409   both a deduction from income and a credit against the tax. This       438   as these credits are limited by subsection (6); the credit
410   addition is not intended to result in adding the same expense         439   allowed under s. 624.51057; the credit allowed under s.
411   back to income more than once.                                        440   624.51058; the credit allowed under s. 624.5095; and all other
412       12. The amount taken as a credit for the taxable year under       441   available credits and deductions.
413   s. 220.193.                                                           442       Section 6. Section 624.5095, Florida Statutes, is created
414       13. The amount taken as a credit for the taxable year under       443   to read:
415   s. 220.196. The addition in this subparagraph is intended to          444       624.5095 Premium tax credits related to historic
416   ensure that the same amount is not allowed for the tax purposes       445   preservation.—

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      Florida Senate - 2024                            COMMITTEE AMENDMENT         Florida Senate - 2024                           COMMITTEE AMENDMENT
      Bill No. SB 1166                                                             Bill No. SB 1166




                               Ì857016%Î857016                                                               Ì857016%Î857016


446       (1) Tax credits accrued through a certified rehabilitation         475   And the title is amended as follows:
447   as defined in s. 220.197 and 36 C.F.R. s. 67.2 may be used             476       Delete everything before the enacting clause
448   against any tax due for the taxable year under s. 624.509(1), as       477   and insert:
449   limited under s. 624.509(6).                                           478                           A bill to be entitled
450       (2) The certified rehabilitation may either be completed by        479       An act relating to the Florida Main Street Program and
451   the insurer pursuant to s. 220.197 or the insurer may purchase         480       historic preservation tax credits; creating s.
452   the tax credit from a different entity that accrued or purchased       481       220.197, F.S.; providing a short title; defining
453   the tax credit pursuant s. 220.197.                                    482       terms; specifying eligibility requirements for
454       (3) An insurer claiming a tax credit under this section is         483       receiving specified tax credits; specifying
455   not required to pay any additional retaliatory tax levied              484       requirements for the Department of Revenue relating to
456   pursuant to s. 624.5091 as a result of claiming such credit. The       485       approving and denying certain applications and
457   tax credit under this section is not limited by s. 624.5091.           486       granting credits; specifying requirements for such tax
458       Section 7. (1) The Department of Revenue may, and all              487       credits; requiring that applications be rolled forward
459   conditions are deemed met to, adopt emergency rules under s.           488       in certain circumstances; authorizing the
460   120.54(4), Florida Statutes, for the purpose of implementing the       489       carryforward, sale, and transfer of such tax credits;
461   Main Street Historical Tourism and Revitalization Act.                 490       providing a limitation; authorizing the department to
462       (2) Notwithstanding any other law, emergency rules adopted         491       perform certain audits and examinations; specifying
463   under this section are effective for 6 months after adoption and       492       requirements for taxpayers; authorizing the department
464   may be renewed during the pendency of procedures to adopt              493       to issue a notice of deficiency under certain
465   permanent rules addressing the subject of the emergency rules.         494       circumstances; providing penalties; requiring the
466       (3) This section shall take effect upon this act becoming a        495       department to submit specified annual reports to the
467   law and expires July 1, 2025.                                          496       Legislature; providing duties of the department;
468       Section 8. This act applies to taxable years beginning, and        497       authorizing the department to adopt rules; amending s.
469   for qualified expenses incurred, on or after January 1, 2025.          498       213.053, F.S.; authorizing the department to make
470       Section 9. Except as otherwise expressly provided in this          499       certain information available to the Division of
471   act and except for this section, which shall take effect upon          500       Historical Resources and the Secretary of the United
472   becoming a law, this act shall take effect July 1, 2024.               501       States Department of the Interior for specified
473                                                                          502       purposes; amending s. 220.02, F.S.; revising the order
474   ================= T I T L E     A M E N D M E N T ================     503       in which tax credits against the corporate income tax

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      Florida Senate - 2024                            COMMITTEE AMENDMENT         Florida Senate - 2024                           COMMITTEE AMENDMENT
      Bill No. SB 1166                                                             Bill No. SB 1166




                               Ì857016%Î857016                                                               Ì857016%Î857016


504       or the franchise tax are applied; amending s. 220.13,              533       WHEREAS, an increase in rehabilitation activity occurs when
505       F.S.; revising the definition of the term “adjusted                534   a state incentive is combined with federal Historic Preservation
506       federal income”; amending s. 624.509, F.S.; revising               535   Tax Incentives, and
507       the order in which tax credits and deductions against              536       WHEREAS, many historic buildings in this state need safety
508       the insurance premium tax are applied; creating s.                 537   upgrades and other improvements that require both public and
509       624.5095, F.S.; authorizing certain tax credits to be              538   private investment to return these buildings as assets of their
510       used against a specified tax; providing applicability;             539   local communities, NOW, THEREFORE,
511       providing construction; authorizing the Department of
512       Revenue to adopt emergency rules for a specified
513       timeframe; providing for expiration of such authority;
514       providing applicability; providing effective dates.
515
516       WHEREAS, historic revitalization creates highly paid local
517   construction jobs, and
518       WHEREAS, historic rehabilitation increases the value of
519   buildings and results in a growing state and local tax base, and
520       WHEREAS, historic revitalization boosts heritage tourism
521   and creates thriving downtowns that are attractive to main
522   street businesses, and
523       WHEREAS, reusing historic buildings creates affordable
524   spaces for small business incubation, and
525       WHEREAS, repurposing historic buildings saves resources and
526   activates vacant spaces, and
527       WHEREAS, historic rehabilitation projects leverage
528   significant private investment, and
529       WHEREAS, leveraging state tax incentives increases the
530   effectiveness of federal Historic Preservation Tax Incentives
531   and the Opportunity Zones Program to encourage the historic
532   preservation of existing buildings, and

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       Florida Senate - 2024                                        SB 1166          Florida Senate - 2024                                        SB 1166



       By Senator DiCeglie




       18-00482A-24                                              20241166__          18-00482A-24                                              20241166__
1                              A bill to be entitled                          30          certain circumstances; requiring the return of
2           An act relating to the Main Street Historical Tourism             31          forfeited tax credits; requiring the taxpayer to file
3           and Revitalization Act; creating s. 220.197, F.S.;                32          an amended tax return under certain circumstances;
4           providing a short title; defining terms; providing a              33          authorizing the department to issue a notice of
5           credit against the state corporate income tax and the             34          deficiency to the taxpayer under certain
6           insurance premium tax for qualified expenses in                   35          circumstances; specifying a limit on the amount of any
7           rehabilitating certain historic structures; specifying            36          proposed assessment in the notice of deficiency;
8           eligibility requirements for the tax credit; requiring            37          specifying that certain actions are violations of the
9           the Department of Revenue to approve or deny an                   38          section; requiring the department to provide an annual
10          application within a specified timeframe; requiring               39          report to the Legislature; providing requirements for
11          the department to take certain actions after the                  40          the report; providing duties of the department;
12          application is approved or denied; specifying the                 41          authorizing the department and the division to adopt
13          amount of the tax credits; providing construction;                42          rules; amending s. 213.053, F.S.; authorizing the
14          prohibiting the annual state revenue loss from                    43          department to make certain information available to
15          exceeding a certain amount; prohibiting entities or               44          the division and the Federal Government for a
16          individuals from receiving more than a certain amount             45          specified purpose; amending s. 220.02, F.S.;
17          in tax credits; requiring the department to award                 46          specifying the order in which the credit is applied
18          credits on a first-come, first-served basis; requiring            47          against the corporate income tax or franchise tax;
19          that applications be rolled forward under certain                 48          amending s. 220.13, F.S.; requiring the addition of
20          circumstances; authorizing the carryforward, sale, and            49          amounts taken for the credit to taxable income;
21          transfer of tax credits, subject to certain                       50          amending s. 624.509, F.S.; specifying the order in
22          requirements and limitations; providing the department            51          which the credit is applied against the insurance
23          with audit and examination powers for specified                   52          premium tax; creating s. 624.5095, F.S.; specifying
24          purposes; requiring the Division of Historical                    53          that certain tax credits may be used to offset
25          Resources of the Department of State to provide                   54          insurance premium tax; specifying that the certified
26          technical assistance if requested by the department;              55          rehabilitation may be completed by the insurer or that
27          requiring a taxpayer to forfeit a previously claimed              56          the insurer may purchase the tax credits; specifying
28          tax credit under certain circumstances; prohibiting               57          that an insurer is not required to pay any additional
29          the taxpayer from claiming future tax credits under               58          retaliatory tax under certain circumstances; providing

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       Florida Senate - 2024                                       SB 1166            Florida Senate - 2024                                       SB 1166




       18-00482A-24                                              20241166__           18-00482A-24                                              20241166__
59          construction; authorizing the department to adopt                 88      local communities, NOW, THEREFORE,
60          emergency rules; providing for expiration of that                 89
61          authority; providing applicability; providing                     90      Be It Enacted by the Legislature of the State of Florida:
62          effective dates.                                                  91
63                                                                            92           Section 1. Section 220.197, Florida Statutes, is created to
64          WHEREAS, historic revitalization creates highly-paid local        93      read:
65     construction jobs, and                                                 94           220.197 Main Street Historical Tourism and Revitalization
66          WHEREAS, historic rehabilitation increases the value of           95      Act; tax credits; reports.—
67     buildings and results in a growing state and local tax base, and       96           (1) SHORT TITLE.—This act may be cited as the “Main Street
68          WHEREAS, historic revitalization boosts heritage tourism          97      Historical Tourism and Revitalization Act.”
69     and creates thriving downtowns that attract patrons and                98           (2) DEFINITIONS.—As used in this section, the term:
70     investors to main street businesses, and                               99           (a) “Active Main Street program” means an area
71          WHEREAS, reusing historic buildings creates affordable            100     participating under a recognized coordinated Main Street America
72     spaces for small business incubation, and                              101     licensed program or the Orlando Main Streets program. An active
73          WHEREAS, repurposing historic buildings saves resources and       102     Main Street program must:
74     activates dormant spaces, and                                          103          1. Have broad-based community support for the commercial
75          WHEREAS, historic rehabilitation projects require a               104     district revitalization process along with strong support from
76     significant private investment, and                                    105     the public and private sectors.
77          WHEREAS, it is in the best interest of the state to               106          2. Have a developed vision and mission statement relevant
78     increase the effectiveness of both the Federal Historic                107     to community conditions.
79     Preservation Tax Incentives and the Opportunity Zones programs         108          3. Have a comprehensive work plan to achieve the goals set
80     and to encourage the historic preservation of existing                 109     forth in the mission statement.
81     buildings, and                                                         110          4. Attest to having a historic preservation ethic.
82          WHEREAS, when state incentives are combined with federal          111          5. Have an active board of directors and committees.
83     historic preservation tax incentives, it results in an increase        112          6. Have an adequate operating budget.
84     in historic rehabilitation activity, and                               113          7. Have a paid professional program manager.
85          WHEREAS, many historic buildings in this state need safety        114          8. Conduct a program of ongoing training for staff and
86     upgrades and other improvements that require both public and           115     volunteers.
87     private investment to restore the buildings as assets of their         116          9. Report key statistics on its website.

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117          10. Be a current designated Florida Main Street program.          146     historic preservation-based downtown revitalization assistance
118          (b) “Affordable housing unit” means a housing unit on which       147     program created, maintained, and administered by the division
119     the monthly rents or monthly mortgage payments, including taxes,       148     under s. 267.031(5).
120     insurance, and utilities, do not exceed 30 percent of that             149          (g) “Local program area” means the specific geographic area
121     amount which represents the percentage of the median adjusted          150     in which an active Main Street program is conducted as approved
122     gross annual income for the households as indicated in                 151     and maintained by the division or in which the Orlando Main
123     subsection (9), subsection (11), and subsection (12), or               152     Streets program is conducted.
124     subsection (17) of s. 420.0004.                                        153          (h) “Long-term leasehold” means a leasehold in a
125          (c) “Certified historic structure” means a building,              154     nonresidential real property for a term of 39 years or more or a
126     including its structural components, as defined in 36 C.F.R. s.        155     leasehold in a residential real property for a term of 27.5
127     67.2, which is of a character subject to the allowance for             156     years or more.
128     depreciation provided in s. 167 of the Internal Revenue Code of        157          (i) “National Register of Historic Places” means the list
129     1986, as amended, and which is:                                        158     of historic properties significant in American history,
130          1. Individually listed in the National Register of Historic       159     architecture, archeology, engineering, and culture maintained by
131     Places; or                                                             160     the United States Secretary of the Interior as authorized in 54
132          2. Located within a registered historic district and              161     U.S.C. s. 302101.
133     certified by the United States Secretary of the Interior as            162          (j) “Orlando Main Streets program” means a historic
134     being of historic significance to the registered historic              163     preservation-based district revitalization program administered
135     district as set forth in 36 C.F.R. s. 67.2.                            164     by the City of Orlando.
136          (d) “Certified rehabilitation” means the rehabilitation of        165          (k) “Placed in service” means when the property is placed
137     a certified historic structure which the United States Secretary       166     in a condition or state of readiness and availability for a
138     of the Interior has certified to the United States Secretary of        167     specifically assigned function. A building is “placed in
139     the Treasury as being consistent with the historic character of        168     service” when the appropriate work has been completed which
140     the certified historic structure and, if applicable, consistent        169     would allow for occupancy of either the entire building, or some
141     with the registered historic district in which the certified           170     identifiable portion of the building as detailed in U.S.
142     historic structure is located as set forth in 36 C.F.R. s. 67.2.       171     Treasury Regulation s. 1.46-3(d).
143          (e) “Division” means the Division of Historical Resources         172          (l) “Qualified expenses” means rehabilitation expenditures
144     of the Department of State.                                            173     incurred that qualify for the tax credit under 26 U.S.C. s. 47
145          (f) “Florida Main Street program” means a statewide               174     and that were incurred in this state.

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175          (m) “Registered historic district” means a district listed        204     by an officer of the National Park Service, attesting that the
176     in the National Register of Historic Places or a district:             205     completed rehabilitation meets the United States Secretary of
177          1. Designated under general law or local ordinance and            206     the Interior’s Standards for Rehabilitation and is consistent
178     certified by the United States Secretary of the Interior as            207     with the historic character of the property and, if applicable,
179     meeting criteria that will substantially achieve the purposes of       208     the district in which the completed rehabilitation is located.
180     preserving and rehabilitating buildings of historic significance       209     The form may be obtained through the National Park Service
181     to the district; and                                                   210     website’s Historic Preservation Tax Incentives page.
182          2. Certified by the United States Secretary of the Interior       211          3. A list of all of the dates during which the certified
183     as meeting substantially all of the requirements to be listed in       212     historic structure was rehabilitated and the date the certified
184     the National Register of Historic Places.                              213     historic structure was placed in service.
185          (3) ELIGIBILITY FOR TAX CREDIT.—For taxable years beginning       214          4. Documentation that the taxpayer had an ownership or a
186     on or after January 1, 2025, a credit is allowed against any tax       215     long-term leasehold interest in the certified historic structure
187     due for a taxable year under this chapter after the application        216     in the year during which the certified historic structure was
188     of any other allowable credits by the taxpayer.                        217     placed in service after the certified rehabilitation was
189          (a) To claim and receive a tax credit under this section, a       218     completed.
190     taxpayer must submit an application to the department for a tax        219          5. A list of total qualified expenses incurred in this
191     credit for qualified expenses in the amount and under the              220     state by the taxpayer for the purpose of rehabilitating the
192     conditions and limitations provided in this section against the        221     certified historic structure. The taxpayer must submit an
193     tax due for a taxable year under this chapter and must provide         222     audited cost report issued by a certified public accountant
194     the department with all of the following:                              223     which itemizes the qualified expenses incurred for the purpose
195          1. An official certificate of eligibility from the                224     of rehabilitating the certified historic structure.
196     division, signed by the State Historic Preservation Officer or         225          6. An attestation of the total qualified expenses incurred
197     the Deputy State Historic Preservation Officer, attesting that         226     in this state by the taxpayer for the purpose of rehabilitating
198     the project has been approved by the National Park Service and         227     the certified historic structure in this state.
199     indicating whether the project is located within a local program       228          7. The information required to be reported by the
200     area in the state.                                                     229     department in subsection (8) to enable the department to compile
201          2. National Park Service Form 10-168c (Rev. 6/2023), titled       230     its annual report.
202     “Historic Preservation Certification Application-Part 3-Request        231          (b) Within 60 days after receipt of the information
203     for Certification of Completed Work,” or a similar form, signed        232     required under paragraph (a), the department must approve or

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233     deny the application submitted. If approved, the department must      262          (d) A single entity or individual may not receive more than
234     provide a letter of certification to the taxpayer consistent          263     $1 million in tax credits cumulatively for a single development
235     with any restrictions imposed. If the department denies any part      264     project, even if the credits have accrued over multiple tax
236     of the requested credit, the department must inform the taxpayer      265     years. Tax credits purchased from another taxpayer or entity,
237     of the grounds for the denial.                                        266     and carryover tax credits from a prior tax year, may be used in
238          (4)(a) AMOUNT OF TAX CREDIT.—The total tax credit claimed        267     addition to the $1 million limit, if the additional tax credits
239     annually may not exceed the amount of tax due after any other         268     were accrued from a different development project.
240     applicable tax credits and may not exceed the following:              269          (e) The department shall award the credits on a first-come,
241          1. Twenty percent, up to a maximum of $200,000, of the           270     first-served basis.
242     total qualified expenses incurred in this state for the purpose       271          (f) If the annual amount of approved tax credits exceeds
243     of rehabilitating one or more certified historic structures that      272     the maximum annual amount referenced in paragraph (c),
244     have been approved by the National Park Service to receive the        273     applications must be rolled forward and awarded by the
245     federal historic rehabilitation tax credit; or                        274     department during the following fiscal year.
246          2. Thirty percent, up to a maximum of $200,000, of the           275          (5) CARRYFORWARD OF TAX CREDIT.—
247     total qualified expenses incurred in this state for the purpose       276          (a) If a taxpayer is eligible for a tax credit that exceeds
248     of rehabilitating one or more certified historic structures that      277     taxes owed, the taxpayer may carry the unused tax credit forward
249     have been approved by the National Park Service to receive the        278     for a period of up to 5 taxable years.
250     federal historic rehabilitation tax credit and that are located       279          (b) A carryforward is considered the remaining portion of a
251     within a local program area.                                          280     tax credit that cannot be claimed in the current tax year.
252          (b) The tax credit may be used to offset the corporate           281          (6) SALE OR TRANSFER OF TAX CREDIT.—
253     income tax imposed in s. 220.11 and the insurance premium tax         282          (a) A taxpayer that incurs qualified expenses may sell or
254     imposed in s. 624.509. An insurer claiming a credit against           283     transfer all or part of the tax credit that may otherwise be
255     insurance premium tax liability under this section may not be         284     claimed to another taxpayer.
256     required to pay any additional retaliatory tax levied pursuant        285          (b) A taxpayer to which all or part of the tax credit is
257     to s. 624.5091 as a result of claiming such credit. Section           286     sold or transferred may sell or transfer all or part of the tax
258     624.5091 may not be interpreted to limit such credit in any           287     credit that may otherwise be claimed to another taxpayer.
259     manner.                                                               288          (c) A taxpayer that sells or transfers a tax credit to
260          (c) The annual state revenue loss for this program may not       289     another taxpayer must provide a copy of the certificate of
261     exceed $25 million in any fiscal year.                                290     eligibility together with the audited cost report to the

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291     purchaser or transferee.                                               320     basis for claiming a tax credit.
292          (d) Qualified expenses may be counted only once in                321          4. Notwithstanding the requirements of this subsection, a
293     determining the amount of an available tax credit, and more than       322     tax credit earned by, purchased by, or transferred to a
294     one taxpayer may not claim a tax credit for the same qualified         323     partnership, limited liability company, S corporation, or other
295     expenses.                                                              324     pass-through entity may be allocated to the partners, members,
296          (e) There is a limit of two transactions for the sale or          325     or shareholders of that entity and claimed under this subsection
297     transfer of all or part of a tax credit.                               326     in accordance with any agreement among the partners, members, or
298          1. A taxpayer that sells or transfers a tax credit under          327     shareholders and without regard to the ownership interest of the
299     this subsection and the purchaser or transferee must jointly           328     partners, members, or shareholders in the rehabilitated
300     submit written notice of the sale or transfer to the department        329     certified historic structure.
301     on a form adopted by the department no later than the 30th day         330          (f) If the tax credit is reduced due to a determination, an
302     after the date of the sale or transfer. The notice must include        331     examination, or an audit by the department, the tax deficiency
303     all of the following:                                                  332     must be recovered from the taxpayer that sold or transferred the
304          a. The date of the sale or transfer.                              333     tax credit or the purchaser or transferee that claimed the tax
305          b. The amount of the tax credit sold or transferred.              334     credit up to the amount of the tax credit taken.
306          c. The name and federal tax identification number of the          335          (g) Any subsequent deficiencies must be assessed against
307     taxpayer that sold or transferred the tax credit and the name          336     the purchaser or transferee that claimed the tax credit or, in
308     and federal tax identification number of the purchaser or              337     the case of multiple succeeding entities, in the order of tax
309     transferee.                                                            338     credit succession.
310          d. The amount of the tax credit owned by the taxpayer             339          (7) AUDIT AUTHORITY; REVOCATION AND FORFEITURE OF TAX
311     before the sale or transfer and the amount the selling or              340     CREDITS; FRAUDULENT CLAIMS.—
312     transferring taxpayer retained, if any, after the sale or              341          (a) The department may perform any additional financial and
313     transfer.                                                              342     technical audits and examinations, including examining the
314          2. The sale or transfer of a tax credit under this                343     accounts, books, or records of the taxpayer, to verify the
315     subsection does not extend the period for which a tax credit may       344     legitimacy of the qualified expenses included in a tax credit
316     be carried forward and does not increase the total amount of the       345     return and to ensure compliance with this section. If requested
317     tax credit that may be claimed.                                        346     by the department, the division must provide technical
318          3. If a taxpayer claims a tax credit for qualified                347     assistance for any technical audits or examinations performed
319     expenses, another taxpayer may not use the same expenses as the        348     under this subsection.

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349          (b) It is grounds for forfeiture of previously claimed and       378          (f) A taxpayer that fails to report and timely pay any tax
350     received tax credits if the department determines, as a result        379     due as a result of the forfeiture of its tax credit violates
351     of an audit or information received from the division, the            380     this section and is subject to applicable penalties and
352     United States Department of the Interior, or the Internal             381     interest.
353     Revenue Service, that a taxpayer received a tax credit pursuant       382          (8) ANNUAL REPORT.—Based on the applications submitted and
354     to this section to which the taxpayer was not entitled. In the        383     approved, the department shall submit a report by December 1 of
355     case of fraud, the taxpayer may not claim any future tax credits      384     each year to the President of the Senate and the Speaker of the
356     under this section.                                                   385     House of Representatives which identifies, in the aggregate, all
357          (c) The taxpayer must return forfeited tax credits to the        386     of the following:
358     department, and such funds shall be paid into the General             387          (a) The number of people employed during construction
359     Revenue Fund.                                                         388     phases of the certified rehabilitation who worked to complete
360          (d) The taxpayer must file with the department an amended        389     the project, including contractors and subcontractors.
361     tax return or such other report as the department prescribes and      390          (b) The use of each newly rehabilitated building and the
362     must pay any required tax within 60 days after the taxpayer           391     number of additional people employed for ongoing operations
363     receives notification from the United States Internal Revenue         392     after the certified historic structure is placed in service.
364     Service that a previously approved tax credit has been revoked        393          (c) The number of affordable housing units created or
365     or modified, if uncontested, or within 60 days after a final          394     preserved.
366     order is issued following proceedings involving a contested           395          (d) The property values before and after the certified
367     revocation or modification order.                                     396     rehabilitations.
368          (e) A notice of deficiency may be issued by the department       397          (9) DEPARTMENT DUTIES.—The department shall:
369     at any time within 5 years after the date on which the taxpayer       398          (a) Establish or amend any necessary forms required to
370     receives notification from the Internal Revenue Service that a        399     claim a tax credit under this section.
371     previously approved tax credit has been revoked or modified. If       400          (b) Provide administrative guidelines and procedures
372     a taxpayer fails to notify the department of any change in its        401     required to administer this section, including rules
373     tax credit claimed, a notice of deficiency may be issued at any       402     establishing an entitlement to and sale or transfer of a tax
374     time. In either case, the amount of any proposed assessment set       403     credit under this section.
375     forth in such notice of deficiency is limited to the amount of        404          (c) Provide examination and audit procedures required to
376     any deficiency resulting under this section from the                  405     administer this section.
377     recomputation of the taxpayer’s tax for the taxable year.             406          (10) RULES.—The department and the division may adopt rules

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407     to administer this section.                                            436     enumerated in s. 220.197.
408          Section 2. Subsection (26) is added to section 213.053,           437          Section 4. Paragraph (a) of subsection (1) of section
409     Florida Statutes, to read:                                             438     220.13, Florida Statutes, is amended to read:
410          213.053 Confidentiality and information sharing.—                 439          220.13 “Adjusted federal income” defined.—
411          (26) The department may make available to the Division of         440          (1) The term “adjusted federal income” means an amount
412     Historical Resources of the Department of State and the                441     equal to the taxpayer’s taxable income as defined in subsection
413     Secretary of the United States Department of the Interior or his       442     (2), or such taxable income of more than one taxpayer as
414     or her delegate, exclusively for official purposes, information        443     provided in s. 220.131, for the taxable year, adjusted as
415     for the purposes of administering the Main Street Historical           444     follows:
416     Tourism and Revitalization Act pursuant to s. 220.197.                 445          (a) Additions.—There shall be added to such taxable income:
417          Section 3. Subsection (8) of section 220.02, Florida              446          1.a. The amount of any tax upon or measured by income,
418     Statutes, is amended to read:                                          447     excluding taxes based on gross receipts or revenues, paid or
419          220.02 Legislative intent.—                                       448     accrued as a liability to the District of Columbia or any state
420          (8) It is the intent of the Legislature that credits              449     of the United States which is deductible from gross income in
421     against either the corporate income tax or the franchise tax be        450     the computation of taxable income for the taxable year.
422     applied in the following order: those enumerated in s. 631.828,        451          b. Notwithstanding sub-subparagraph a., if a credit taken
423     those enumerated in s. 220.191, those enumerated in s. 220.181,        452     under s. 220.1875, s. 220.1876, s. 220.1877, or s. 220.1878 is
424     those enumerated in s. 220.183, those enumerated in s. 220.182,        453     added to taxable income in a previous taxable year under
425     those enumerated in s. 220.1895, those enumerated in s. 220.195,       454     subparagraph 11. and is taken as a deduction for federal tax
426     those enumerated in s. 220.184, those enumerated in s. 220.186,        455     purposes in the current taxable year, the amount of the
427     those enumerated in s. 220.1845, those enumerated in s. 220.19,        456     deduction allowed shall not be added to taxable income in the
428     those enumerated in s. 220.185, those enumerated in s. 220.1875,       457     current year. The exception in this sub-subparagraph is intended
429     those enumerated in s. 220.1876, those enumerated in s.                458     to ensure that the credit under s. 220.1875, s. 220.1876, s.
430     220.1877, those enumerated in s. 220.1878, those enumerated in         459     220.1877, or s. 220.1878 is added in the applicable taxable year
431     s. 220.193, those enumerated in former s. 288.9916, those              460     and does not result in a duplicate addition in a subsequent
432     enumerated in former s. 220.1899, those enumerated in former s.        461     year.
433     220.194, those enumerated in s. 220.196, those enumerated in s.        462          2. The amount of interest which is excluded from taxable
434     220.198, those enumerated in s. 220.1915, those enumerated in s.       463     income under s. 103(a) of the Internal Revenue Code or any other
435     220.199, and those enumerated in s. 220.1991, and those                464     federal law, less the associated expenses disallowed in the

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465     computation of taxable income under s. 265 of the Internal             494     attributable expenses for the taxable year.
466     Revenue Code or any other law, excluding 60 percent of any             495          9. The amount taken as a credit for the taxable year under
467     amounts included in alternative minimum taxable income, as             496     s. 220.1895.
468     defined in s. 55(b)(2) of the Internal Revenue Code, if the            497          10. Up to nine percent of the eligible basis of any
469     taxpayer pays tax under s. 220.11(3).                                  498     designated project which is equal to the credit allowable for
470          3. In the case of a regulated investment company or real          499     the taxable year under s. 220.185.
471     estate investment trust, an amount equal to the excess of the          500          11. Any amount taken as a credit for the taxable year under
472     net long-term capital gain for the taxable year over the amount        501     s. 220.1875, s. 220.1876, s. 220.1877, or s. 220.1878. The
473     of the capital gain dividends attributable to the taxable year.        502     addition in this subparagraph is intended to ensure that the
474          4. That portion of the wages or salaries paid or incurred         503     same amount is not allowed for the tax purposes of this state as
475     for the taxable year which is equal to the amount of the credit        504     both a deduction from income and a credit against the tax. This
476     allowable for the taxable year under s. 220.181. This                  505     addition is not intended to result in adding the same expense
477     subparagraph shall expire on the date specified in s. 290.016          506     back to income more than once.
478     for the expiration of the Florida Enterprise Zone Act.                 507          12. The amount taken as a credit for the taxable year under
479          5. That portion of the ad valorem school taxes paid or            508     s. 220.193.
480     incurred for the taxable year which is equal to the amount of          509          13. The amount taken as a credit for the taxable year under
481     the credit allowable for the taxable year under s. 220.182. This       510     s. 220.196. The addition in this subparagraph is intended to
482     subparagraph shall expire on the date specified in s. 290.016          511     ensure that the same amount is not allowed for the tax purposes
483     for the expiration of the Florida Enterprise Zone Act.                 512     of this state as both a deduction from income and a credit
484          6. The amount taken as a credit under s. 220.195 which is         513     against the tax. The addition is not intended to result in
485     deductible from gross income in the computation of taxable             514     adding the same expense back to income more than once.
486     income for the taxable year.                                           515          14. The amount taken as a credit for the taxable year
487          7. That portion of assessments to fund a guaranty                 516     pursuant to s. 220.198.
488     association incurred for the taxable year which is equal to the        517          15. The amount taken as a credit for the taxable year
489     amount of the credit allowable for the taxable year.                   518     pursuant to s. 220.1915.
490          8. In the case of a nonprofit corporation which holds a           519          16. The amount taken as a credit for the taxable year
491     pari-mutuel permit and which is exempt from federal income tax         520     pursuant to s. 220.199.
492     as a farmers’ cooperative, an amount equal to the excess of the        521          17. The amount taken as a credit for the taxable year
493     gross income attributable to the pari-mutuel operations over the       522     pursuant to s. 220.1991.

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523          18. The amount taken as a credit for the taxable year             552     result of claiming such credit. Section 624.5091 does not limit
524     pursuant to s. 220.197.                                                553     such credit in any manner.
525          Section 5. Subsection (7) of section 624.509, Florida             554          Section 7. (1) The Department of Revenue may, and all
526     Statutes, is amended to read:                                          555     conditions are deemed met to, adopt emergency rules under s.
527          624.509 Premium tax; rate and computation.—                       556     120.54(4), Florida Statutes, for the purpose of implementing the
528          (7) Credits and deductions against the tax imposed by this        557     Main Street Historical Tourism and Revitalization Act.
529     section shall be taken in the following order: deductions for          558          (2) Notwithstanding any other law, emergency rules adopted
530     assessments made pursuant to s. 440.51; credits for taxes paid         559     under this section are effective for 6 months after adoption and
531     under ss. 175.101 and 185.08; credits for income taxes paid            560     may be renewed during the pendency of procedures to adopt
532     under chapter 220 and the credit allowed under subsection (5),         561     permanent rules addressing the subject of the emergency rules.
533     as these credits are limited by subsection (6); the credit             562          (3) This section shall take effect upon this act becoming a
534     allowed under s. 624.51057; the credit allowed under s.                563     law and expires July 1, 2025.
535     624.51058; the credit allowed under s. 220.197; and all other          564          Section 8. This act applies to taxable years beginning, and
536     available credits and deductions.                                      565     for qualified expenses incurred, on or after January 1, 2025.
537          Section 6. Section 624.5095, Florida Statutes, is created         566          Section 9. Except as otherwise expressly provided in this
538     to read:                                                               567     act and except for this section, which shall take effect upon
539          624.5095 Premium tax credits related to historic                  568     this act becoming a law, this act shall take effect July 1,
540     preservation.—                                                         569     2024.
541          (1) Tax credits accrued through a certified rehabilitation
542     as defined in s. 220.197 and 36 C.F.R. s. 67.2 may be used to
543     offset insurance premium tax owed by insurers under s. 624.509
544     and as limited under s. 624.509(5).
545          (2) The certified rehabilitation may either be completed by
546     the insurer pursuant to s. 220.197; or the insurer may purchase
547     the tax credits from a different entity that accrued or
548     purchased the tax credits pursuant s. 220.197.
549          (3) An insurer claiming a credit against insurance premium
550     tax liability under this section is not required to pay any
551     additional retaliatory tax levied pursuant to s. 624.5091 as a

                                  Page 19 of 20                                                                     Page 20 of 20
      CODING: Words stricken are deletions; words underlined are additions.          CODING: Words stricken are deletions; words underlined are additions.
                                                                          The Florida Senate
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                     Committee                                                                                                  Amendment Barcode (if applicable)


Name
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              Speaking: !           ror !          Against !     lnformation OR                    Waive Speaking      [/ ln Support l__l Against

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       lam appearing without                                          lam a registered lobbyist,                               I am not a lobbyist but received
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This form is part of the public record for this meeting.                                                                                             s-001 (o8/10/2021)




                                                                          The Florida Senate
  ufrcl a                                                      APPEARANCE RECORD                                                      trb b
                    Meeting Date                                                                                                       Bill Number orTopic
                                                                        Deliver both copies of this form to
                                                                 Senate professional staff conducting the meeting

                     Committee
                                                                      ?Lg; \CLoG
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                                                                                                                                Amendment Barcode (if applicable)


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       compensation or sponsorship.                              s,   representing:                                            something of value for my appearance
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This form is part of the public record for this   meeting.                                                                                           S-OO1 (08/10/2021)
                                                                               The Florida Senate

                                                                  APPEARANCE RECORD                                                             6
                            Date                                                                                                           Bill Number orTopic
                                                                           Deliver both copies of this form to
L                 e/-CL              o                              Senate professional staff conducting the meeting

                     Committee                                                                                                     Amendment Barcode (if applicable)


Name
                                                              (                                               Phone    8go Lf Ll 3 o)tl<
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                                                                               The Florida Senate
                         q                                                                                                          I \\'\'2
                                                                  APPEARANCE RECORD                                            Sgil"tt
                    Meeting Date                                                                                                           Bill Number orTopic
                                                                           Deliver both copies of this form to
(-a                       *To unro^^                                Senate professional staff conducting the meeting
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                Committee                                                                                                           Amendment Barcode (if applicable)


Name         K\-r.,-br-,l,tr--'s                                                                              Phone    aso - b-l3 - So S\
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Address               3 t\J rr,a^rw^ :,                                                                       Email
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              Speaking: !           ror !       Against !           lnformation OR                        Waive Speaking:      n Support    !    Against



                                                                  PLEASE CHECK ONE OF THE FOLLOWING:

                                                                                                                                  I am not a lobbyist, but received
       lam appearing without
       compensation or sponsorship.
                                                                    [4[ lam  a registered lobbyist,
                                                                        representrng:                                             something ofvalue for my appearance
                                                                    I ooo Fr*t-la% FL
                                                                                                                                  (travel, meals, lodging, etc.),
                                                                                                                                  sponsored by:




This form is part of the public record for this meeting.                                                                                                  s-oo1 (08/10/2021)
                                                                                                          The Florida Senate
                             L                                                    APPEARANCE RECORD                                                         /l b6                  (J*

                          Meeting Date                                                                                                                           Bill Number orTopic
                                                                                                Deliver both copies of this form to
                                                                                         Senate professional staff cond ucti ng the meetino
                                                                                                                                                               a+
                            Committee                                                                       tuahlt a{snfu                                Amendment Barcode (if           ble)


Name                                                                       b) Oa                                       8b- evf- 6pq
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                                                                                                                          ""1                           sponsored by:




This form is part of the public record for this                 meeting.                                                                                                       5-001 (08/iO/2021)




                                     THE FLORIDA SENATE
                                     SENATOR NICK DICEGLIE
                                                  District 18
         Kathleen Passidomo                                                       Dennis Baxley
         President ofthe Senate                                                   President Pro Tempore




       January 11,2024

       Dear Chair Trumbull,

          I respectfully request that SB 1166: Main Street Historical Tourism and Revitalization
       Act be placed on the agenda of the Commerce and Tourism Committee at your earliest
       convenience. If my office can be of any assistance to the committee please do not hesitate to
       contact me at DiCeglie.Nick@flsenate.gov or (850) 487-5018. Thank you for your
       consideration.



       Sincerely,




       Nick DiCeglie

       State Senator, District l8
                                                   THE FLORIDA SENATE                                    COMMITTEES:
                                                                                                         Military and Veterans Affairs, Space, and Domestic
                                                                                                          Securiv, vice Chah
                                                                                                                                                                                                  CourtSmart Tag Report
                                                        Tallahassee, Florida 32399-1 100                 Approprhtions Committee on Criminal and Civil Justice
                                                                                                         Banking and lnsurance
                                                                                                         Commerce and Tourism
                                                                                                         Fiscal Policy                                           Room: SB 110                       Case No.:                                 Type:
                                                                                                         Rules
                                                                                                         Transportation                                          Caption: Senate Commerce and Tourism Committee                               Judge:

                                                                                                         JOINT COMMITTEES:                                       Started: 1/16/2024 1:32:37 PM
                                                                                                         Joint Select Committee on Collective Bargaining
                                                                                                                                                                 Ends:    1/16/2024 2:20:06 PM        Length: 00:47:30
SENATORVICTOR M. TORRES, JR.
          25th District
                                                                                                                                                                 1:32:36 PM    Chair Trumbull calls meeting to order
                                                                                                                                                                 1:32:43 PM    Roll call
      January 16,2024                                                                                                                                            1:32:55 PM    Quorum present
                                                                                                                                                                 1:33:01 PM    Chair Trumbull
      Jay Trumbull, Chair                                                                                                                                        1:33:14 PM    Tab 1 - SB 314, Business Transactions TP'd
                                                                                                                                                                 1:33:28 PM    Tab 2 - SB 890, Taxation introduced
      Commerce and Tourism                                                                                                                                       1:33:41 PM    Explanation by Senator Boyd
      404 S Monroe Street                                                                                                                                        1:34:04 PM    Chair Trumbull
      Tallahassee                                                                                                                                                1:34:12 PM    Tasha Carter, DFS, Office of Insurance Consumer Advocate; waives in support
                                                                                                                                                                 1:34:16 PM    Murphy Kennedy Giering, FL Realtors; waives in support
                                                                                                                                                                 1:34:27 PM    Parker Powers; CFO, Jimmy Patronis; waives in support
                                                                                                                                                                 1:34:34 PM    Debate
      Please accept this letter of excusal from myself for the January 16ff meeting of the Commerce                                                              1:34:37 PM    Senator Wright
      and Tourism committee due to an illness. Please accept this letter as a formal request for excusal                                                         1:34:48 PM    Senator Rodriguez
      of this absence. Please let me know if you have any questions or need any additional                                                                       1:35:06 PM    Senator Stewart
      information.                                                                                                                                               1:35:15 PM    Senator Gruters
                                                                                                                                                                 1:35:31 PM    Chair Trumbull
                                                                                                                                                                 1:35:39 PM    Closure by Senator Boyd
      Respectfully Submitted,                                                                                                                                    1:35:43 PM    Roll call
                                                                                                                                                                 1:35:54 PM    SB 890 reported favorably
                                                                                                                                                                 1:36:10 PM    Tab 3 - SB 612, Building Construction introduced
                                                                                                                                                                 1:37:22 PM    Explanation by Senator Hooper
                                                                                                                                                                 1:37:33 PM    Amendment Barcode #645676 introduced
                                                                                                                                                                 1:37:53 PM    Explanation of Amendment by Senator Hooper
                                                                                                                                                                 1:37:57 PM    Chair Trumbull
                                                                                                                                                                 1:38:04 PM    Amendment adopted
      Victor M. Torres, Jr.                                                                                                                                      1:38:08 PM    Amendment Barcode No. 568094 introduced
      Florida State Senator                                                                                                                                      1:38:22 PM    Explanation of Amendment by Senator Hooper
                                                                                                                                                                 1:38:25 PM    Senator Trumbull
      District 25                                                                                                                                                1:38:29 PM    Amendment adopted
                                                                                                                                                                 1:38:33 PM    Senator Trumbull
                                                                                                                                                                 1:38:38 PM    Edward Briggs, FL Refrigeration & Air Conditioning, Generators Assoc.; speaks in support
                                                                                                                                                                 1:38:48 PM    Chair Trumbull
                                                                                                                                                                 1:39:11 PM    Closure waived
                                                                                                                                                                 1:39:15 PM    Roll call
                                                                                                                                                                 1:39:21 PM    CS/SB 612 reported favorably
                                                                                                                                                                 1:39:30 PM    Tab 6 - SB 1166, Main Street Historical Tourism and Revitalization Act introduced
                                                                                                                                                                 1:39:47 PM    Explanation by Senator DiCeglie
                                                                                                                                                                 1:39:53 PM    Introduction of Amendment Barcode No. 857016
                                                                                                                                                                 1:40:03 PM    Explanation of Amendment by Senator DiCeglie
                                                                                                                                                                 1:40:13 PM    Chair Trumbull
                                                                                                                                                                 1:40:30 PM    Katherine Woodby, FL Dept. of State; waives in support
                                                                                                                                                                 1:40:53 PM    Amendment adopted
                                                                                                                                                                 1:40:56 PM    Debate
                                                                                                                                                                 1:41:02 PM    Chair Trumbull
                                                                                                                                                                 1:41:19 PM    Kim Dirkins, 1000 Friends of FL; waives in support
                                                                                                                                                                 1:41:21 PM    Maisie Wagner; waives in support
                     REPLY TO:
                       D 1Ol Church Street, Suite 305, Kissimmee, Florida 34741 (407) 846-5187 FAX: (850) 410-4817
                                                                                                                                                                 1:41:29 PM    Melissa Wyllie; FL Trust for Historic Preservation; waives in support
                       O 214 Senate Building, 404 South Monroe Street, Tallahassee, Florida 32399-1 100 (850) 487-5025                                           1:41:35 PM    Mark Zubaly; waives in support
                                                        Senate's Website'. www.flsenate.gov
                                                                                                                                                                 1:41:44 PM    Chair Trumbull
                                                                                                                                                                 1:41:50 PM    Closure by Senator DiCeglie
                          KATHLEEN PASSIDOMO                                                          DENNIS BAXLEY                                              1:41:52 PM    Roll call
                           President of the Senate                                                 President Pro Tempore
1:41:57 PM   CS/SB 1166 reported favorably
1:42:07 PM   Tab 4 - SB 842, Florida Kratom Consumer Protection Act
1:42:14 PM   Explanation by Senator Perry
1:42:47 PM   Chair Trumbull
1:42:54 PM   Dr. Laura Chilcutt, Nemours Children's Health; waives in support
1:43:02 PM   Mac Haddow, speaks in support
1:45:09 PM   Ellen Snelling; speaks against
1:48:29 PM   Question
1:49:14 PM   Senator Gruters
1:49:47 PM   Response by Mac Haddow
1:52:12 PM   Teresa Miller; speaks against
1:55:59 PM   Chair Trumbull
1:56:07 PM   Debate
1:56:09 PM   Senator Gruters
1:56:55 PM   Chair Trumbull
1:57:42 PM   Closure by Senator Perry
1:57:46 PM   Roll call
1:58:40 PM   SB 842 reported favorably
1:58:57 PM   Chair Trumbull
1:59:09 PM   Recording Paused
2:06:47 PM   Recording Resumed
2:06:54 PM   Chair Trumbull
2:06:55 PM   Tab 5 - SB 1126, Regulation of Auxiliary Containers
2:07:13 PM   Explanation by Senator Martin
2:07:52 PM   Chair Trumbull
2:08:40 PM   Late-filed Amendment Barcode No. 354080 introduced
2:08:53 PM   Explanation of Amendment by Senator Martin
2:09:46 PM   Chair Trumbull
2:09:57 PM   Samantha Padgett; waives in support
2:10:03 PM   Chair Trumbull
2:10:07 PM   Closure waived
2:10:09 PM   Amendment adopted
2:10:12 PM   Chair Trumbull
2:10:18 PM   Jackson Oberlink, Florida Rising; speaks against
2:12:15 PM   David Cullen, Sierra Club Florida; speaks against
2:13:37 PM   Charles Horowitz; speaks against
2:15:45 PM   Angela Bonds, Florida Retail Federation; waives in support
2:15:52 PM   Holly Parker Curry; speaks against
2:17:58 PM   Samatha Padgett , FL Restaurant & Lodging Association; waives in support
2:18:09 PM   Yenisbel Vilorio, Six Action; waives against
2:18:13 PM   Karen Woodall, Earth Justice; waives against
2:18:20 PM   Chad Kunde, FL Chamber of Commerce; waives in support
2:18:22 PM   Andy Palmer, American Recyclable Plastic Bag Alliance; waives in support
2:18:34 PM   Chair Trumbull
2:18:41 PM   Closure by Senator Martin
2:18:46 PM   Roll call
2:19:18 PM   CS/SB 1126 reported favorably
2:19:33 PM   Chair Trumbull
2:19:48 PM   Senator Rodriguez moves to adjourn
2:19:56 PM   Meeting adjourned


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