Loading...
HomeMy WebLinkAbout2007 01 08 Informational 503 Charter County Transit System Surtax COMMISSION AGENDA ITEM 503 Informational January 8. 2007 Regular Meeting MGR. /DEPT. Authorization REQUEST: City Manager advising the City Commission of information regarding the Charter County Transit System Surtax. PURPOSE: This agenda item is needed to advise the Commission of information regarding the Charter County Transit System Surtax. CONSIDERATIONS: During the December 11, 2006 Regular Commission meeting, Mayor Bush briefly discussed the Charter County Transit System Surtax. Staff is providing the Commission, via this informational agenda item, information regarding this tax and Seminole County's efforts to obtain changes to provisions of this tax law. Specifically, Seminole County has included the following item in its list of FY 2007 State Legislative Priorities: Support legislation that gives all charter counties the authority to implement the Charter County Transit System Surtax. Support current statutory authority giving counties the discretion to distribute these revenues to municipalities pursuant to an Interlocal Agreement under FS Ch. 163. The Charter County Transit System Surtax is a local option sales tax similar to the Local Government Infrastructure Surtax currently in place in Seminole County. The City of Winter Springs currently utilizes Local Government Infrastructure Surtax proceeds to build roads in the City such as Main Street in the Town Center. Generally, the Charter County Transit System Surtax proceeds may be used for the development, construction, operation, and maintenance of rapid transit systems, bus systems, and roads and bridges. A basic distinction between the Charter County Transit System Surtax and the Local Government Infrastructure Surtax is that the Charter County Transit System Surtax may be used for operation and maintenance while the Local Government Infrastructure Surtax may only be used for planning and constructing infrastructure. Currently, only charter counties that adopted a charter prior to January 1, 1984 are permitted to levy this tax. These counties include Broward, Duval, Hillsborough, Miami-Dade, Pinellas, Sarasota, and Volusia. Accordingly, Seminole County is not currently eligible to levy this tax. Of the eligible counties, only Duval and Miami-Dade have levied the tax. The County is seeking legislation that would allow all Charter Counties to be permitted levy this tax. If this is approved by the legislature and signed into law, the tax would then be presented to the voters of Seminole County for approval via referendum. The tax may be levied at a rate up of to 1 %. The legislation supported by Seminole County includes language that would allow the County to have the discretion to distribute proceeds from this tax to its municipalities via an interlocal agreement. No decision on whether or not this will occur or how it will occur have been determined at his point by the County. Staff will continue to monitor this issue and keep the Commission advised of its progress. FUNDING: None. RECOMMENDATION: Informational. ATTACHMENTS: 1. Excerpt from Seminole County 2007 State Legislative Priorities COMMISSION ACTION: Excerpt from: Seminole County 2007 Legislative Session Issues by Department Public Works..................................................................... ..Jerry McCollum Charter County Transit System Surtax The Charter County Transit System Surtax may be levied at a rate of up to 1 percent by those charter counties that adopted a charter prior to January 1, 1984 (seven counties are eligible), as well as by those county governments that have consolidated with one or more municipalities. The tax levy is subject to voter approval. Generally, the use of the proceeds is for the development, construction, operation, and maintenance of fixed guideway rapid transit systems, bus systems, roads and bridges. Recommendation: SUPPORT legislation that gives all charter counties the authority to implement the Charter County Transit System Surtax. SUPPORT current statutory authority giving counties the discretion to distribute these revenues to municipalities pursuant to an interlocal agreement under F.S. Chapter 163. COMMISSION AGENDA ITEM 503 Informational January 8, 2007 Regular Meeting MGR. /DEPT. Authorization REQUEST: City Manager advising the City Commission of information regarding the Charter County Transit System Surtax. PURPOSE: This agenda item is needed to advise the Commission of information regarding the Charter County Transit System Surtax. CONSIDERATIONS: During the December 11, 2006 Regular Commission meeting, Mayor Bush briefly discussed the Charter County Transit System Surtax. Staff is providing the Commission, via this informational agenda item, information regarding this tax and Seminole County's efforts to obtain changes to provisions of this tax law. Specifically, Seminole County has included the following item in its list of FY 2007 State Legislative Priorities: Support legislation that gives all charter counties the authority to implement the Charter County Transit System Surtax. Support current statutory authority giving counties the discretion to distribute these revenues to municipalities pursuant to an Interlocal Agreement under FS Ch. 163. The Charter County Transit System Surtax is a local option sales tax similar to the Local Government Infrastructure Surtax currently in place in Seminole County. The City of Winter Springs currently utilizes Local Government Infrastructure Surtax proceeds to build roads in the City such as Main Street in the Town Center. Generally, the Charter County Transit System Surtax proceeds may be used for the development, construction, operation, and maintenance of rapid transit systems, bus systems, and roads and bridges. A basic distinction between the Charter County Transit System Surtax and the Local Government Infrastructure Surtax is that the Charter County Transit System Surtax may be used for operation and maintenance while the Local Government Infrastructure Surtax may only be used for planning and constructing infrastructure. Currently, only charter counties that adopted a charter prior to January 1, 1984 are permitted to levy this tax. These counties include Broward, Duval, Hillsborough, Miami-Dade, Pinellas, Sarasota, and Volusia. Accordingly, Seminole County is not currently eligible to levy this tax. Of the eligible counties, only Duval and Miami-Dade have levied the tax. The County is seeking legislation that would allow all Charter Counties to be permitted levy this tax. If this is approved by the legislature and signed into law, the tax would then be presented to the voters of Seminole County for approval via referendum. The tax may be levied at a rate up of to 1 %. The legislation supported by Seminole County includes language that would allow the County to have the discretion to distribute proceeds from this tax to its municipalities via an interlocal agreement. No decision on whether or not this will occur or how it will occur have been determined at his point by the County. Staff will continue to monitor this issue and keep the Commission advised of its progress. FUNDING: None. RECOMMENDATION: Informational. ATTACHMENTS: 1. Excerpt from Seminole County 2007 State Legislative Priorities COMMISSION ACTION: Excerpt from: Seminole County 2007 Legislative Session Issues by Department Public Works..................................................................... ..Jerry McCollum Charter County Transit System Surtax The Charter County Transit System Surtax may be levied at a rate of up to 1 percent by those charter counties that adopted a charter prior to January 1, 1984 (seven counties are eligible), as well as by those county governments that have consolidated with one or more municipalities. The tax levy is subject to voter approval. Generally, the use of the proceeds is for the development, construction, operation, and maintenance of fixed guideway rapid transit systems, bus systems, roads and bridges. Recommendation: SUPPORT legislation that gives all charter counties the authority to implement the Charter County Transit System Surtax. SUPPORT current statutory authority giving counties the discretion to distribute these revenues to municipalities pursuant to an interlocal agreement under F.S. Chapter 163.