Florida Senate - 2007                            CS for SB 544

    By the Committee on Commerce; and Senator Garcia





    577-1902-07

  1                      A bill to be entitled

  2         An act relating to professional sports

  3         franchises; amending s. 288.1162, F.S.;

  4         defining the term "force majeure event";

  5         providing an exception to a provision

  6         prohibiting certain persons who have previously

  7         received funding from receiving additional

  8         funds; increasing the number of facilities that

  9         may be certified as facilities for certain new

10         or retained professional sports franchises;

11         authorizing an additional certification of a

12         facility for a specified Major League Baseball

13         franchise; providing prerequisites for

14         certification; providing that a franchise that

15         continues to occupy a facility that was

16         concurrently occupied by two professional

17         sports franchises shall be deemed the franchise

18         that formed the basis of the previous

19         certification; providing an effective date.

20  

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

22  

23         Section 1.  Paragraph (h) of subsection (4) and

24  subsections (7) and (9) of section 288.1162, Florida Statutes,

25  are amended, paragraph (c) is added to subsection (3) of that

26  section, and subsections (10) and (11) are added to that

27  section, to read:

28         288.1162  Professional sports franchises; spring

29  training franchises; duties.--

30         (3)  As used in this section, the term:

31  

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

Florida Senate - 2007 CS for SB 544 577-1902-07 1 (c) "Force majeure event" means a flood, fire or other 2 casualty, war, revolution, civil commotion, an act of a public 3 enemy, embargo, act of government in its sovereign capacity, 4 or labor difficulty, including, without limitation, a strike, 5 lockout, or any circumstance beyond the reasonable control of 6 the professional sports franchise affected. 7 (4) Prior to certifying an applicant as a "facility 8 for a new professional sports franchise" or a "facility for a 9 retained professional sports franchise," the Office of 10 Tourism, Trade, and Economic Development must determine that: 11 (h) An No applicant previously certified under any 12 provision of this section who has received funding under such 13 certification is not shall be eligible for an additional 14 certification, except as provided in subsections (9), (10), 15 and (11). 16 (7)(a) The Office of Tourism, Trade, and Economic 17 Development shall notify the Department of Revenue of any 18 facility certified as a facility for a new professional sports 19 franchise or a facility for a retained professional sports 20 franchise or as a facility for a retained spring training 21 franchise. The Office of Tourism, Trade, and Economic 22 Development shall certify no more than nine eight facilities 23 as facilities for a new professional sports franchise or as 24 facilities for a retained professional sports franchise, 25 including in such total any facilities certified by the 26 Department of Commerce before July 1, 1996. The number of 27 facilities certified as a retained spring training franchise 28 shall be as provided in subsection (5). The office may make no 29 more than one certification for any facility. The office may 30 not certify funding for less than the requested amount to any 31 2 CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2007 CS for SB 544 577-1902-07 1 applicant certified as a facility for a retained spring 2 training franchise. 3 (b) The eighth certification of an applicant under 4 this section as a facility for a new professional sports 5 franchise or a facility for a retained professional sports 6 franchise shall be for a franchise that is a member of the 7 National Basketball Association, has been located within the 8 state since 1987, and has not been previously certified. This 9 paragraph is repealed July 1, 2010. 10 (c) The ninth certification of an applicant under this 11 section as a facility for a new professional sports franchise 12 or a facility for a retained professional sports franchise 13 shall be for a franchise that is a member of Major League 14 Baseball and has been located within the state since 1993. 15 (9) An applicant is not qualified for certification 16 under this section if the franchise formed the basis for a 17 previous certification, unless: 18 (a) The previous certification was withdrawn by the 19 facility or invalidated by the Office of Tourism, Trade, and 20 Economic Development or the Department of Commerce before any 21 funds were distributed pursuant to s. 212.20; or. 22 (b) The applicant will be the home facility for a 23 professional sports franchise that served as the basis for 24 certifying a facility that was occupied by two franchises. 25 This subsection does not disqualify an applicant if the 26 previous certification occurred between May 23, 1993, and May 27 25, 1993; however, any funds to be distributed pursuant to s. 28 212.20 for the second certification shall be offset by the 29 amount distributed to the previous certified facility. 30 Distribution of funds for the second certification shall not 31 3 CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2007 CS for SB 544 577-1902-07 1 be made until all amounts payable for the first certification 2 have been distributed. 3 (10) To qualify for the ninth certification, the 4 following conditions must be met: 5 (a) The Office of Tourism, Trade, and Economic 6 Development has received a signed agreement for the benefit of 7 and enforceable by the Department of Revenue from the 8 applicant or current owner of the professional sports 9 franchise that formed the basis for the applicant's 10 certification pursuant to this section which guarantees that, 11 if the professional sports franchise ceases playing all of its 12 home games in this state, including preseason, regular season, 13 and postseason games, unless the cessation is a result of a 14 force majeure event, within 60 days thereafter the guarantor 15 will provide to the Department of Revenue an annuity contract 16 issued by a person authorized to issue such contracts in this 17 state which will pay the Department of Revenue each year 18 thereafter, 125 percent of the amount distributed pursuant to 19 s. 212.20(6)(d)7.b. to the applicant under this section during 20 such year. The guarantee of the current owner of the 21 professional sports franchise shall be returned upon 22 substitution of the guarantee of any successor owner of the 23 professional sports franchise whose ownership has been 24 approved by the governing authority of the league in which the 25 professional sports franchise exists. 26 (b) The applicant for a facility for a new 27 professional sports franchise has a verified copy of a binding 28 agreement with the new professional sports franchise that 29 requires the franchise to pay any cost overruns when the 30 franchise was used as the basis for the original certification 31 4 CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2007 CS for SB 544 577-1902-07 1 of the applicant described in paragraph (9)(b) and is the 2 basis for the current certification request. 3 (11) Notwithstanding any other provision of this 4 section, a franchise continuing to use a facility that was 5 concurrently occupied by two professional sports franchises 6 shall be deemed the franchise forming the basis of the 7 previous certification and the previous certification shall 8 continue to apply for the period permitted from the original 9 date of certification. 10 Section 2. This act shall take effect July 1, 2007. 11 12 STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN COMMITTEE SUBSTITUTE FOR 13 Senate Bill 544 14 15 Committee Substitute for Senate Bill 544 differs from the bill as filed in the following ways: 16 - Requires the franchise that is the basis of the new ninth 17 facility certification to pay an amount equal to 125 percent of the state sales tax rebate if the franchise 18 does not play all of its home games at the new facility. 19 - The only exception is if the franchise cannot play because of a "force majeure event," as defined. 20 - Requires the franchise to pay any cost overruns 21 associated with the new certified sports facility. 22 - Deletes language made obsolete by the new provisions. 23 24 25 26 27 28 29 30 31 5 CODING: Words stricken are deletions; words underlined are additions.