This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives.
STORAGE NAME: h0777.PIE
DATE: 1/10/2022
HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #: HB 777 Local Tax Referenda Requirements
SPONSOR(S): Robinson, W.
TIED BILLS: IDEN./SIM. BILLS: SB 1194
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Public Integrity & Elections Committee Rubottom Rubottom
2) Ways & Means Committee
3) State Affairs Committee
SUMMARY ANALYSIS
HB 777 would require referenda authorizing certain optional local taxes to be held at a general election. The
affected taxes are:
Tourist development tax
Areas of critical state concern tourist impact tax
Children’s services independent special district tax
County temporary excess ad valorem millage
Municipal temporary excess ad valorem millage
County transportation motor fuel tax
Local option fuel taxes
School district millages
Presently, the referenda approving the above local taxes are held at elections called by the applicable local
governing body. Such elections may be special elections or may be held in conjunction with other local
elections, primary elections or general elections.
1
HB 777 also conforms an election reference in an exemption from certain procurement restrictions for public
works projects funded by charter county and regional transportation system surtaxes approved in a
referendum
2
. Since January 1, 2020, the affected surtax referenda must be held at general elections but prior
referenda did not. Therefore, projects funded by the surtax approved prior to January 1, 2020 in an election
other than a general election would lose the procurement exemption.
The bill appears to have no significant fiscal impact.
The bill has an effective date of July 1, 2022.
1
S. 5(a), Art. IV, Fl. Const. Ss. 100.151, 100.342, 100.351, F.S.
2
S. 255.0992(3)(a), F.S. STORAGE NAME: h0777.PIE PAGE: 2
DATE: 1/10/2022
FULL ANALYSIS
I. SUBSTANTIVE ANALYSIS
A. EFFECT OF PROPOSED CHANGES:
Present circumstances:
Counties and municipalities have authority to levy a variety of optional taxes conditioned upon approval
of a majority of electors voting in a referendum. Presently, a number of such taxes may be approved in
special elections. The taxes addressed by HB 777 include the following:
Tourist development tax
3
: A county tax on consideration paid on residential rentals of 6 months
or less. The tax funds tourism-related uses specified in the authorizing statute. The initiation of
the tax must be approved by a referendum of voters living in the jurisdiction in which the tax is
imposed. The original tax may be repealed by a referendum initiated by a petition signed by
15% of voters
4
subject to the interest of the holders of any revenue bonds repayment of which is
secured by the tax. Once the tax is in place additional taxes
5
are authorized to be levied by a
vote of the County Commissioners.
Areas of critical state concern tourist impact tax
6
: A tax on consideration paid on residential
rentals of 6 months or less imposed by a county creating a land authority pursuant to the state
laws regulating land use planning in areas of critical state concern
7
. The tax is distributed to the
land authority for use in the area of critical state concern pursuant to the land authority’s
responsibilities
8
and to the governing body of the county to offset ad valorem taxes lost due to
public acquisitions provided for in the act establishing the areas of critical state concern.
9
The
tax may not take effect until approval of a referenda by a majority of the voters residing in the
affected jurisdiction. The referendum must be held in conjunction with a general or special
election.
10
Children’s services independent special district tax: An ad valorem tax not to exceed 0.5 mills of
assessed valuation of all property subject to county ad valorem taxes, assessed in a county
having an independent special district to fund children’s services in the county. The ad valorem
tax must be approved initially by a majority vote of county voters.
11
County temporary excess ad valorem millage: A tax in excess of the 10-mill limit
12
, imposed for
a period not to exceed two years in a county or dependent special district. The levy must be
approved by a majority vote of the county or district voters.
13
Municipal temporary excess ad valorem millage: A tax in excess of the 10-mill limit,
14
imposed
for a period not to exceed two years in a municipality. The levy must be approved by a majority
vote of the municipal voters.
15
Discretionary charter county and regional transportation system sales surtax:
16
A local option
sales tax authorized to fund specified transportation systems and projects which must be
approved by voters in the affected jurisdiction. Beginning January 1, 2020, the referenda to
adopt or amend such surtax must be held at general election.
17
Notably, authorized public
3
S. 125.0104, F.S.
4
S. 125.0104(6)(d), F.S.
5
S. 125.0104(3)(l), (m) and (n), F.S. Two of the 3 additional taxes require extraordinary votes for enactment.
6
S. 125.0108, F.S.
7
Ss. 380.05 to 380.0685, F.S.
8
S. 380.0666, F.S.
9
Ch. 86-170, L.O.F.
10
S. 125.0108(5), F.S.
11
S. 125.901(1), F.S. (The revenues collected fund the services authorized in s. 125.901, F.S.)
12
S. 200.071, F.S.
13
S. 200.091, F.S.
14
S. 200.081
15
S. 200.101, F.S.
16
Ss. 212.055(1), F.S.
17
S. 1, Ch. 2019-64, L.O.F. STORAGE NAME: h0777.PIE PAGE: 3
DATE: 1/10/2022
works projects funded by the surtax are expressly exempt from certain state procurement
restrictions.
18
County transportation motor fuel tax:
19
A local option, 1 cent per gallon fuel tax for specified
20
transportation expenditures. The tax is identified as “the ninth cent fuel tax”.
21
The tax may be
levied by any county by extraordinary vote of the membership of the governing body or subject
to a referendum.
22
Local option fuel taxes:
23
Two different taxes
24
may be levied, each up to 6 cents per gallon on
motor fuels and may be levied by ordinance adopted by a majority plus one vote of the
membership of the governing body of the county or by referendum.
25
School district millages:
26
Ad valorem taxes for specified periods of time including millages
supplementing the minimal local taxes required by the education code. One tax may be used for
school operational purposes
27
or the other for any lawful school district purpose.
28
The referenda approving the above local taxes other than the charter county and regional
transportation system sales surtax are held at elections called by the applicable local governing body.
Such elections may be special elections or may be held in conjunction with other local elections,
primary elections or general elections.
29
Effect of proposed changes:
The bill requires the referenda approving each of the above local taxes to be held at a general election.
The following effects are related to specific provisions discussed above:
With respect to the tourist development tax, the bill affects the referenda called to initiate the
tax
30
but does not appear to affect the election timing of the referenda authorized to repeal the
tax
31
.
With respect to the charter county and regional transportation system sales surtax, the bill does
not change referenda election timing enacted in 2019 legislation specifying that they must be
held at general elections. Rather, it amends the above-referenced procurement restrictions.
Specifically, it amends an exemption based on the surtax authorized by referenda. Thus, in
cases of surtaxes approved prior to 2020 at elections other than general elections, the effect of
the change would remove the current exemption for projects funded by those taxes. Such
treatment may have potential to impact contracts or bond indentures funded by taxes approved
by referendum prior to 2020.
18
S. 255.0992(3)(b), F.S.
19
S. 336.021, F.S. Ss. 206.41(1)(d), 206.87(1)(b), F.S.
20
Ss. 336.021(1)(a), 336.025(7), F.S.
21
S. 336.021(2)(a), F.S.
22
S. 336.021(1)(a), F.S.
23
S. 336.025, F.S.
24
S. 336.025(1)(a) and (b), F.S.
25
S. 336.025(1)(b) and (3)(a), F.S.
26
S. 1011.73, F.S.
27
Ss. 1011.71(9), 1011.73(2), F.S.
28
S. 9(a), Art. VII, Fl. Const. S. 1011.73(1), F.S.
29
S. 5(a), Art. IV, Fl. Const. Ss. 100.151, 100.342, 100.351, F.S.
30
S. 125.0104(6)(a) and (b), F.S.
31
S. 125.0104(6)(d), F.S. STORAGE NAME: h0777.PIE PAGE: 4
DATE: 1/10/2022
B. SECTION DIRECTORY:
Section 1 amends s. 125.0104(6)(a) and (b), F.S. requiring referenda elections related to tourist
development taxes to be held on the day of a general election.
Section 2 amends s. 125.0108(5), F.S. requiring referenda elections related to tourist impact taxes to
be held on the day of a general election.
Section 3 amends s. 125.901(1), F.S. requiring referenda elections related to children's services and
independent special district property taxes to be held on the day of a general election.
Section 4 amends s. 200.091, F.S. requiring referenda elections related to increases in county ad
valorem tax millages to be held on the day of a general election.
Section 5 amends s. 200.101, F.S. requiring referenda elections related to increases in municipal ad
valorem tax millages to be held on the day of a general election.
Section 6 amends s. 255.0992, F.S. to conform language in a procurement law referencing referenda
approving charter county and regional transportation system sales surtaxes to changes made in
previous law.
Section 7 amends s. 336.021(4)(a), F.S. requiring referenda elections related to the ninth-cent fuel tax
to be held on the day of a general election.
Section 8 amends s. 336.025(1)(b) and (3)(b), F.S. requiring referenda elections related to local option
fuel taxes to be held on the day of a general election.
Section 9 amends s. 1011.73(3), F.S. requiring referenda elections related to certain school district
millage elections to be held on the day of a general election.
Section 10 provides an effective date of July 1, 2022.
II. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:
1. Revenues:
N/A
2. Expenditures:
N/A
B. FISCAL IMPACT ON LOCAL GOVERNMENTS:
1. Revenues:
N/A
2. Expenditures:
N/A
C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:
D. FISCAL COMMENTS: STORAGE NAME: h0777.PIE PAGE: 5
DATE: 1/10/2022
N/A
III. COMMENTS
A. CONSTITUTIONAL ISSUES:
1. Applicability of Municipality/County Mandates Provision:
The bill changes election laws making it exempt from the provisions of s. 18, Art. VII, Fl. Const.
32
2. Other:
N/A
B. RULE-MAKING AUTHORITY:
N/A
C. DRAFTING ISSUES OR OTHER COMMENTS:
Section 6 amends s. 255.0992, F.S. in a manner that appears to conform language relating to a
referendum to approve charter county and regional transportation system sales surtaxes to a 2019 law
requiring that such referenda be held at general elections. The amendment does not appear to be
necessary to effect the change in election dates but may inadvertently impact existing contracts or bond
indebtedness.
IV. AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES
32
S. 18(d), Art. VII, Fl. Const.