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Resolution 13-1328RESOLUTION NO. 13-1328 A RESOLUTION OF THE CITY OF LONGWOOD, FLORIDA, RELATING TO ECONOMIC DEVELOMENT AD VALOREM TAX EXEMPTIONS; ESTABLISHING AN APPLICATION PACKAGE; PROVINDING AN ANNUAL REPORTING FORM(S); FOR CONFLICTS; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City Commission (Commission) of Longwood, Florida (City) enaoted Ordinance 12-1993 ("Authorizing Ordinance") to authorize the granting of economic development tax exemptions pursuant to Section 196.1995, Florida Statutes; and WHEREAS, the Authorizing Ordinance 12-1993 requires that applications for tax exemptions to be filed on a form specified by Resolution of the Commiss%n; and - WHEREAS, the Authorizing Ordinance requires the filing of annual reports during the term of such exemptions on a form specified by Resolution; and WHEREAS, the Commission desires to enact this Resolution for the purpose of establishing the Longwood Economic Development Tax Abatement application package; annual reporting forms; and other requirements deemed necessary by the Commission; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LONGWOOD, FLORIDA, AS FOLLOWS: SECTION 1. APPLICATION PACKAGE. Applications for Longwood's Economic Development Tax Abatement (LEDTA) program, as required by Section 5 of the Authorizing Ordinance 12-1993, shall be filed on the form prescribed by the Florida Department of Revenue (DR-418) Economic Development Ad Valorem Property Tax Exemption, a copy of which is attached hereto as Attachment A, together with the Longwood Economic Development Tax Abatement (LEDTA) application form, a copy of which is attached here to as Attachment B and other items as deemed necessary and appropriate. SECTION 2. ANNUAL REPORTS. An annual report is required by all businesses, new and expanding granted an economic development tax exemption, and all businesses must complete an annual report as required by Section 6 of the Authorizing Ordinance, and all businessesmust be filed on the form attached hereto as Attachment C and provide a current employee roster report. SECTION 3. PROGRAM GUIDELINES. This Resolution will also provide guidelines for the LEDTA program for the City of Longwood. Resolution 13-1328 Page 1 SECTION 4. adoption. ATTEST: EFFECTIVE DATE. This Resolution shall take effect immediately upon DULY ADOPTED THIS •" DAY OF Sarah M. Mirus, MMC, MBA, City Clerk Approved as to for and legality for the use and reliance of the City of Longwood, Florida only. e+�1 Da el Lang , City it ky Resolution 13-1328 Page 2 0000-ikttST0Rrc\ *1 L ONGWOOD ` FLORIDA ` rsrnn _/ Longwood Economic Development Tax Abatement (LEDTA) Program Application Package File two originals of this application package to the Community Development Services, Economic Development Office. Applications must be filed with the City of Longwood no later than December 15th of the year the exemption is desired to take effect. Background: In April of 2012 the City of Longwood's Commission chose to establish an economic development incentive that creates a method to attract businesses and jobs to the City. On November 6, 2012 the voters of Longwood agreed and passed the Economic Development Tax Abatement Referendum. As a result of voter of support, the City has created the Longwood's Economic Development Tax Abatement (LEDTA) program. LEDTA is aimed at encouraging new business development, assisting with existing businesses expansion opportunities, and creating new full-time jobs in the City of Longwood. LEDTA is an economic development mechanism used to further the resident's and the City Commission's support of economic growth by providing incentives for employment opportunities that will lead to improvements in the quality of life of our citizens and the positive expansion of the economy. If you have any questions about the program, including eligibility, application process, or timeline please contact Patrice C. Murphy, MPA, Economic Development and Special Projects Manager, at pmurphy@tongwoodfi.org or 407-260-3430. Table of Contents I. LEDTA Program Intent II. Definitions III. Application Process IV. Application V. Annual Reporting VII. Attachments: a. City of Longwood Application - Due no later than December 15`h of the year the exemption is requested b. City of Longwood Annual Report - Due January 15th each year of exemption c. State of Florida, Economic Development Ad Valorem Property Tax Exemption Form, DR-418 (12/99) d. Seminole County Property Appraiser's Office Review Form LEDTA Program Intent: The City of Longwood Commission believes that local government should support economic development and growth by offering assistance for employment opportunities that will lead to improvements in the quality of life of Longwood residents. The Commission maintains that by creating a positive expansion of the economy in terms of improvements to real and personal property, and the creation of new jobs in such a way as to not to disadvantage existing businesses while recognizing that productive competition can foster the economic growth that is needed to spur development and redevelopment in the City of Longwood. The Longwood Economic Development Tax Abatement (LEDTA) program is a local option tax incentive for new or expanding businesses, which may be granted at the sole discretion of the Longwood Commission. Through the LEDTA program the Commission may grant up to 100% of the assessed value for up to ten (10) years of all improvements to real property made by or for the use of a new business and all tangible personal property of such a new business, or up to 100% of the assessed value of all added improvements to real property made to facilitate the expansion of existing business. LEDTA applications are due December 151h of the year the exemption is desired. Every business granted a LEDTA exemption will furnish to the Community Development Services Director or their designee such information as the City may reasonably require for the purpose of determining projected performance by the business and review annually the conditions stated in the LEDTA implementing ordinance approved by the City Commission and representations made by the business in the LEDTA application as presented. Improvements made or the tangible personal property that is added or increased must occur after the effective date of the City of Longwood implementing ordinance specifically granting the tax exemption to a business. The exemption will not apply to improvements to real property made by or for the use of new or expanding businesses when such improvements have been included on the tax rolls prior to the effective date of an implementing ordinance specifically granting a business LEDTA program exemption. The ability to receive a LEDTA exemption for the period of time granted by the City Commission is further conditioned upon the applicant's demonstration to maintain the new business or the expansion of the existing business throughout the entire LEDTA exemption period awarded to the business. The applicant shall be required to submit a report annually demonstrating satisfaction of the LEDTA program: Annual Report (Attachment "B"). Every business granted a LEDTA exemption will furnish to the Community Development Services Director or their designee such information as the City may reasonably require for the purpose of determining continued performance by the business and review annually the conditions stated in the LEDTA implementing ordinance approved by the City Commission and representations made by the business in the LEDTA application as presented. III. Definitions: "Annual Report" means City of Longwood LEDTA Annual Report form to be completed annually on or before January 15th of each year of the exemption. "Applicant" means any person, firm, partnership, or corporation who files a LEDTA application with the City Commission seeking an exemption. "Authorizing Ordinance" means Ordinance No. 12-1993. "Average Wage" as established by the Metro Orlando Economic Development Commission annually reviewed for new LEDTA applications. (Attachment "E") "Brownfield Area" means a contiguous area of one or more brownfield sites, some of which may not be contaminated and which have been designated by the City through the adoption of the Longwood Economic Enhance Program (LEEP). "Business" means activity engaged in by any person, firm, partnership, corporation, or other business organization or entity with the object of private or public gain, benefit, or advantage, either direct or indirect. "City" means the City of Longwood, a charter city located in Seminole County, a political subdivision of the State of Florida. "City Administrator" means the chief executive officer of the City. "City Commission" means the City of Longwood Commissioners. "Department" means the Florida Department of Revenue. "Exemption" means a City of Longwood economic development ad valorem tax exemption granted pursuant to Section 196.1995, Florida Statutes and this authorizing ordinance. "Expansion of an Existing Business" means 1. A business or organization establishing 10 or more new jobs to employ 10 or more full-time employees in this state, paying an average wage for such new jobs that is above the average wage in the area, which principally engages in any of the following operations: Manufactures, processes, compounds, fabricates, or produces for sale items of tangible personal property at a fixed location and which comprises an industrial or manufacturing plant; or is a target industry business; or 2. A business or organization establishing 25 or more new jobs to employ 25 or more full-time employees in this state, the sales factor of which, as defined by Florida Statute 220.15(5) (Attachment "F"), for the facility with respect to which it requests an economic development ad valorem tax exemption is less than 0.50 for each year the exemption is claimed; provided that such business increases operations on a site located within the same county, municipality, or both collocated with a commercial or industrial operation owned by the same business or organization under common control with the same business or organization, resulting in a net increase in employment of not less than 10 percent or an increase in productive output or sales of not less than 10 percent; or 3. Any business or organization located in an enterprise zone or brownfield area that increases operations on a site located within the same zone or area collocated with a commercial or industrial operation owned by the same business or organization under common control with the same business or organization. Florida Statute 196.012(16). "Implementing Ordinance" means an ordinance enacted to grant a business ad valorem tax exemption. "Improvements" means physical changes made to raw land, and structures placed on or under the land surface. "New Business" means 1. A business or organization establishing 10 or more new jobs to employ 10 or more full-time employees in this state, paying an average wage for such new jobs that is above the average wage in the area, which principally engages in any one or more of the following operations: Manufactures, processes, compounds, fabricates, or produces for sale items of tangible personal property at a fixed location and which comprises an industrial or manufacturing plant; or 2. Is a target industry business as defined in s. 288.106(2)(q) (Attachment "H"); or 3. A business or organization establishing 25 or more new jobs to employ 25 or more full-time employees in this state, the sates factor of which, as defined by s. 220.15(5) (Attachment "F"), for the facility with respect to which it requests an economic development ad valorem tax exemption is less than 0.50 for each year the exemption is claimed; or 4. An office space in this state owned and used by a business or organization newly domiciled in this state; provided such office space houses 50 or more full-time employees of such business or organization; provided that such business or organization office first begins operation on a site clearly separate from any other commercial or industrial operation owned by the same business or organization; or 5. Any business or organization located in an enterprise zone or brownfield area that first begins operation on a site clearly separate from any other commercial or industrial operation owned by the same business or organization; or 6. A business or organization that is situated on property annexed into a municipality and that, at the time of the annexation, is receiving an economic development ad valorem tax exemption from Seminole County. Florida Statute 196.012(15) (Attachment "G"). "Property Appraiser" means the Seminole County Property Appraiser. "Sales Factor" means the sates factor defined in Florida Statute 220.15(5) (Attachment "F"), specifically, the "Sales Factor" is a fraction the numerator of which is the total sales of taxpayer in the state during the taxable year or period; and the denominator of which is the total sales of the taxpayer everywhere during the taxable year or period. "Tangible Personal Property" means as defined by the Florida Department of Revenue, all goods, chattel, and other articles of value (excluding some vehicular items) capable of manual possession and whose chief value is intrinsic to the article itself. Inventory and households goods are excluded. Florida Statute 192.001(11)(d). IV. LEDTA Application Process: A fully completed LEDTA application (Attachment A) must be filed with the City of Longwood, Community Development Services Director's Office or designee, by a representative of the business submitting the application. All applications should be filed before a business has made the decision to locate a new business in the City of Longwood or before an existing business had made expansion decisions. All applications must be submitted by December 151h of the year the business is seeking an ad valorem exemption. The City will review and take action on the application, including the drafting of an implementing ordinance to be heard before two regularly scheduled Commission Meetings, within ninety (90) days of accepting a fully completed application. Any business in violation of any federal, state, or local law or regulation will not be eligible for a LEDTA exemption. The following steps provide the applicant a practical understanding of the City of Longwood's LEDTA program processes and requirements: Step 1: Pre -Application Submittal Meeting - It is recommended that a business person contemplating filing an LEDTA application first contact the Community Development Services Director or their designee and request a meeting to assess the feasibility of filing a tax exemption application and to acquire assistance as needed. Step 2: Submission of LEDTA Application to the City - On behalf of the business applicant, a representative of the business will submit one original and two copies of the City of Longwood LEDTA Application; the State of Florida Economic Development Ad Valorem Property Exemption Form DR-418 (Attachment "C"), a one -page narrative describing the business and appropriate documentation as needed. The applicant will submit a map identifying the location and configuration of the subject property to include a legal description of the property. Step 3: Preliminary Eligibility - The Community Development Services Department Director or designee will accept and review the application for preliminary eligibility. The Community Development Services Director or designee will review and notify the applicant of eligibility and/or any application deficiencies within ten (10) working days of submission. Acceptance of a complete application will begin the 90 day review period. Community Development Services Director or their designee will determine eligibility; request the Seminole County Property Appraiser conduct the required analysis; and advertise for public hearings, as required, to consider adopting an LEDTA exemption implementing ordinance on behalf of the business. Each approved applicant will be notified by the City when the public hearings are scheduled before the City Commission. Step 4: Review, Analysis and Recommendation of the Property Appraiser - Within 30 days, a copy of the application package will be submitted to the Seminole County Property Appraiser's Office with a review form (Attachment "D"). Any legal issue will be referred to the City of Longwood Attorney's Office for review and comment within the same 30 day period. The Seminole County Property Appraiser's Office will review the LEDTA application and provide in writing the fiscal impact of granting the exemption, and forward the findings to the Longwood Community Development Services Department. Upon consideration the Property Appraiser's Office, as required by Florida Statute 196.1995 (9), shall report to the City of Longwood: a. The total revenue available to the City of Longwood for the current fiscal year from ad valorem tax sources, or an estimate if actual total cannot be determined; b. Any revenue lost to the City of Longwood for the current fiscal year by virtue of exemptions previously granted, or an estimate; c. An estimate of the revenue which would be lost to the City of Longwood during the current fiscal year for which the exemption is granted had otherwise been subject to taxation; d. A determination as to whether the property for which an exemption is requested is to be incorporated into a new business or the expansion of an existing business as defined in Florida Statutes 196.012 (15) or (16), or neither. The determination will be affixed to the face of the application. Upon request by the Property Appraiser's Office the City shall provide information as it may have available to assist in making a determination. Step 5: LEDTA implementing ordinance preparation - The Community Development Services Director or their designee will place the completed and approved LEDTA application and implementing ordinance on the Longwood City Commission's Regular Meeting Agenda for two meetings. The agenda item package will include advertising of the implementing ordinance, application made by the business, the Seminole County Property Appraiser's Report, State of Florida Department of Revenue Form DR- 418, and staff recommendations. The City of Longwood must, at a minimum and as required by Florida Statute 196.1995(10) consider in the LEDTA application package: a. The total number of net new jobs to be created by the applicant; b. The average wage of the new jobs; c. The capital investment to be made by the applicant; d. The type of business or operation, whether it qualifies as a targeted industry as may be identified by the City of Longwood; e. The environmental impacts of the proposed business or operation; f. The extent to which the applicant intends to source its supplies and materials for businesses within the City of Longwood; and g. And any other economic related information deemed. necessary by the City Commission. A LEDTA implementing ordinance must include by Florida Statute 196.1995(11): a. The name and address of the new business or expansion of an existing business to which the exemption is granted; b. The total amount of revenue available to the City of Longwood from ad valorem tax sources for the current fiscal year, the total amount of revenue lost to the City of Longwood for the current fiscal year by virtue of economic development ad valorem tax exemptions currently in effect, and the estimated revenue loss to the City of Longwood for the current fiscal year attributable to the exemption of the business named in the ordinance as provided by the Seminole County Property Appraiser's Office and reviewed by the City of Longwood's Finance Department; c. The period of time for which the exemption will remain in effect and the expiration date of the exemption, which may be any period of time up to ten (10) years and 100% of ad valorem taxes; and d. A finding that the business named in the ordinance meets the requirements of Florida Statutes 196.012(15) or (16) (Attachment "G"). Step 6: City Commission Consideration of Implementing Ordinance - the implementing ordinance will establish the exemption percentage and length of ad valorem exemption based upon the LEDTA application package as presented by the business, reviewed by the Seminole County Property Appraiser's Office, Longwood's Financial Services Department, Community Development Services Department, and Economic Development Office. The Longwood City Commission will consider the exemption as presented in the LEDTA application, Department of Revenue Form DR-418, Seminole County Property Appraiser Report, and implementing ordinance during a first and second reading which will include an advertised public hearing regarding the proposed ordinance. No precedence shall be implied or inferred by the granting of an exemption to a new or expanding business. LEDTA application packages for exemptions shall be considered by the City Commission on a case -by -case basis for each LEDTA application. VI. Annual Reporting Requirements: A business granted an exemption shall be required to submit an annual report to the City of Longwood, Community Development Services Director or their designee (Attachment "B"). The LEDTA Annual Report will be submitted no later than before the expiration of the fifteenth (15th) day of January each year the LEDTA exemption's requirement are in good standing. The Community Development Services Director or their designee will report to the City Commission annually providing the status of all businesses receiving a LEDTA tax exemption. Should any "new business" or "expansion of existing business" fail to file the required LEDTA Annual Report or fail to continue to meet the definition of "new business" or "expansion of and existing business" or fail to fulfill any representation(s) made to the City Commission during the LEDTA application process, the City Commission may adopt an ordinance revoking the tax exemption effective at the end of the year the revoking ordinance was adopted. Additionally, the City of Longwood may take action(s) deemed necessary if a recovery of tax exemptions is compelled. VII. Contact and Assistance: LEDTA applications are available at the City of Longwood, Community Development Services Offices located at 174 W. Church Avenue, Longwood, FL 32750 or on the City's website www.longwoodfl.org . Inquiries on the LEDTA program will be handled by the Economic Development and Special Projects Manager. Mailing Address: City of Longwood Office: 407-260-3462 Community Development Services Fax: 407-263-2336 175 W. Warren Avenue Website: www.longwoodfi.org Longwood, FL 32750 Email: pmurphy@tongwoodfl.org City of Longwood HISTORIC Longwood Economic Development Tax Abatement (LEDTA) Program LON WOOD Application 2013 r-i.on�on RIDA OFFICIAL USE ONLY Application #: Date Received: — NOTICE: Applications are to be filed with the City of Longwood Community Development Services Office no later than December 15th of the year the exemption is desired to take effect. Applicants applying for an exemption must also submit the Florida Department of Revenue Form DR-405 (Tangible Personal Property Tax Return). Refer to Section ?? below. Section 9 - Business Name and Information Name of Business: Current Mailing Address: City, State, Zip Code: Phone Number: Fax Number: �— Section 2 - Property Owner Information Legal Name of Business Owner: Title: E-mail: Phone Number: Fax Number: Section 3 - Contact Information Contact Person for LETDA Application: Title: E-mail: Phone Number: Fax Number: Section 4 - Business Location Information Legal Description of Property for Exemption: Parcel ID Number(s): Tangible Property ID Number(s): Street Address of Property: Section 5 -Commencement of Operations Date the business began, or will begin, business activities at this facility: Section 6 - New Business or Business Expansion Do you desire an exemption as a: Describe basis for expansion: Describe the type or nature of your business: Section 8 - Trade Level NAICS Code: Check as many as apply: ❑ Wholesale ❑ Manufacturing ❑ Professional ❑ Service ❑ Office ❑ Other Explanation (Other) Section 9 - Exemption Period and Exemption Amount Requested Applicant may request the exemption for up to 10 years and up to 100% of the assessed value of all qualifying improvements to real property and of all qualifying tangible personal property - no exemptions will be granted for land. Exemption length and amount of exemption is approved at the sole discretion of the Longwood City Commission. Total number of years the applicant requests an exemption: % Total amount of exemption the applicant requests: Section 10 - Real Property Description of improvements to real property: Anticipated date of commencement of construction for improvements: *Note: improvements to real property must be made on or after the day the Implementing ordinance granting the exemption is adopted. Anticipated date of completion of improvements: Provide a description of tangible personal property for which an exemption is requested and date when property is to be purchased. *Note: Tangible personal property must be added or increased on or after the day the Implementing ordinance granting the exemption is Taxpayer's Estimate of Condition TaxpayEstimate a Fair Market Value Appraiser's Use Only Description of Item Age Date of Purchase Installation Date Original Installed Cost Good Avg. Poor Estimated Value Condition Any additional personal property not listed above for which an exemption is claimed must be provided on Department of Revenue form DR-405 "Tangible Personal Property Tax Return"and a copy attached to this application package. Section 12 - New Jobs Created and Maintained The applicant must enclose current payroll roster as of January 1 st of the year the exemption is being sought. Provide hire dates and job titles. Omit employee names and social security numbers. New Business Total number of full-time jobs as of January 1 st: Total number of jobs to be created and maintained for the exemption period requested: Please distinguish Jobs by categories: Full -Time Management; Full -Time Non -Managerial; Full -Time Seasonal. Exemption Years Full -Time Management Job Titles (Management) Full -Time Non- Managerial Job Titles (Non- Managerial) Full -Time Seasonal Employee Job Titles (Seasonal Employees) Year One Year Two YearThree Year Four Year Five Year Six Year Seven Year Eight Year Nine Year Ten Anticipated date by which all new full-time Jobs will be filled: Section 12 - New Jobs Created and Maintained (continued) The applicant must enclose current payroll roster as of January 1 st of the year the exemption is being sought. Provide hire dates and job titles. Omit employee names and social security numbers. Expansion of an Existing Business: Total number of full-time jobs prior to expansion: Total number of jobs to be created and maintained for the exemption period requested: Please distinguish Jobs by categories: Full -Time Management; Full -Time Non -Managerial; Full -Time Seasonal. Exemption Years Full Time Management Job Titles (Management) Full -Time Non- Managerial Job Titles (Non- Managerial) Full -Time Seasonal Employee Job Titles (Seasonal Employees) Year One Year Two Year Three Year Four Year Five Year Six Year Seven Year Eight Year Nine YearTen Anticipated date by which all new full-time jobs will be filled: n 13 - Wages provide the average annual wage of all non -managerial employees, current and anticipated, working at your facility. Employees Average Annual Wage Current full-time employees $ New full-time employees $ New seasonal employees $ Please provide the average annual wage of all managementl employees, current and anticipated, working at your facility. Employees Average Annual Wage Current full-time employees $ New full-time employees $ New seasonal employees $ rrent sales factor for facility requesting exemption. FS 220.15(5). Total Sales Inside the State of Florida $1 Percentage —� Total Sales outside the State of Florida $ Percentage Total Sales $ 100% Section 15 - Business Location Date Date of Location of Business in the City of Longwood Section 16-Other Supplemental Consideration for Exemption Determination Amount of total capital investment in the new business or expansion of existing business: $ Describe your business's commitment to local procurement (purchasing): Describe your business's commitment to local hiring: List any products or services that are critical to your business that are not available locally or regionally: What specific training needs will help staff your company: Describe if, and how, your business is innovative in nature: there any plans for new products and/or services involving the business, provide description if available: iustainability element: (Describe any environmentally friendly policies orpractices your business has adopted) Section 16 - Other Supplemental Consideration for Exemption Determination (continued) Describe the commitment to green building practices and/or energy efflclency policies or practices: List any awards or acknowledgements, or recognition the business has received: (reference articles as applicable) Include any other information that can demonstrate the commitment to promote economic development and the City of Longwood: Include any other Information that can demonstrate the commitment to promote economic development and the City of Longwood: Section 17 - Incentive Relocation or expansion would occur without the exemption: ❑ Yes ❑ No If no, please explain why: Section 18 - Business Maintenance and Continuing Performance Evidence of satisfaction of information provided in sections 5,10-16 of this application must be provided in the annual report to maintain the ad valorem tax exemption. Annual reporting forms will be available and mailed to the business address for each required reporting year In November. Date of Application: F I hereby request the adoption of an implementing ordinance granting an economic development ad valorem tax exemption. In addition to the information included herein (including attachments, If any), I agree to furnish any additional information request by the Longwood City Commission or the Seminole County Property Appraiser in regard to the exemption requested herein. I hereby certify that the information and valuation stated above Is true, correct and complete to the best of my knowledge and belief, including any attached schedules, and documents. owner Name and Title (please printor type): Signature: Date: I Authorized Agent Name and Title (please print or type): Address (city, state, and zip code): Phone Number: Signature: of Florida of Seminole email: Dater Seminole Countv Propertv Appraiser's Use Only Longwood Economic Development Tax Abatement 1. Total revenue available to the City of Longwood (City) for the current fiscal year from ad valorem tax sources: $ 2. Revenue lost to the City for the current fiscal year by virtue of exemptions previously granted under this exemption: $ 3. Estimate of the revenue which would be lost to the City during the current fiscal year if the exemption applied were granted and the property for which the exemption is requested would otherwise have been subject to taxation: $ 4. Estimate of the taxable value lost to the City if the,exemption applied for was granted: a. Improvement(s) to real property $ b. Personal property $ 5. It has been determined that the property listed in the application package meets the definition as provided by Section 196.012(15) or (16) Florida Statutes. (attached) a. New Business n b. Expansion of an Existing Business c. Neither 0 6. Last year for which exemption may be applied: Signature of Property Appraiser 03/2013 Date Attachment The 2012 Florida Statutes Title XIV TAXATION AND FINANCE Chapter 196.012 (15) and (16) EXEMPTION - Definitions (15) "New business" means: (a)1. A business or organization establishing 10 or more new jobs to employ 10 or more full-time employees in this state, paying an average wage for such new jobs that is above the average wage in the area, which principally engages in any one or more of the following operations: a. Manufactures, processes, compounds, fabricates, or produces for sale items of tangible personal property at a fixed location and which comprises an industrial or manufacturing plant; or b. Is a target industry business as defined ins. 288.106(2)(q); 2. A business or organization establishing 25 or more new jobs to employ 25 or more full-time employees in this state, the sales factor of which, as defined by s. 220.15(5), for the facility with respect to which it requests an economic development ad valorem tax exemption is less than 0.50 for each year the exemption is claimed; or 3. An office space in this state owned and used by a business or organization newly domiciled in this state; provided such office space houses 50 or more full-time employees of such business or organization; provided that such business or organization office first begins operation on a site clearly separate from any other commercial or industrial operation owned by the same business or organization. (b) Any business or organization located in an enterprise zone or brownfield area that first begins operation on a site clearly separate from any other commercial or industrial operation owned by the same business or organization. (c) A business or organization that is situated on property annexed into a municipality and that, at the time of the annexation, is receiving an economic development ad valorem tax exemption from the county under s. 196.1995. (16) "Expansion of an existing business" means: (a)1. A business or organization establishing 10 or more new jobs to employ 10 or more full-time employees in this state, paying an average wage for such new jobs that is above the average wage In the area, which principally engages in any of the operations referred to in subparagraph (15)(a)1.; or 2. A business or organization establishing 25 or more new Jobs to employ 25 or more full-time employees in this state, the sales factor of which, as defined by s. 220.15(5), for the facility with respect to which it requests an economic development ad valorem tax exemption is less than 0.50 for each year the exemption is claimed; provided that such business increases operations on a site located within the same county, municipality, or both colocated with a commercial or industrial operation owned by the same business or organization under common control with the same business or organization, resulting in a net increase in employment of not less than 10 percent or an increase in productive output or sales of not less than 10 percent. (b) Any business or organization located in an enterprise zone or brownfield area that increases operations on a site located within the same zone or area colocated with a commercial or industrial operation owned by the same business or organization under common control with the same business or organization. Longwood Economic Development Tax Abatement LEDTA Program i;fD Annual Report As required by the Longwood Economic Development Tax Abatement (LEDTA) program authorizing ordinance No. 13-??,This form is to be filed with the Community Development Services Director or designee no later than January 15th of each year of the implementing ordinance approval. The Annual Report will be distributed to the Longwood Commission for review. 1. Business Name: Business Address: 2. Business Contact: — Telephone Number: Fax Number: Email: 3. Location of Business of property for which the Annual LEDTA Report is flied (provide street address, parcel identification number, and legal description: 4. Date Business opened at this facility/location: 5. Describe the improvements to real property for which this exemption was requested: Date of commencement of construction of improvements 6. Description of the tangible personal property for which this exemption is requested and date when property was purchased: Please provide this Information on "Tangible Personal Property Audit Report" form. Average value of inventory on hand: 7. Have you maintained the definition of a "New Business" ^ or an "Existing Business" Yes _ No 8. Describe the type and nature of your business: 9. Trade Level (check as many as may apply) []Wholesale ❑ Manufacturing ❑ Professional ❑ Office ❑ Service ❑ Other 10.a. Number of new full-time employees: (1) Increase in productive output resulting from this expansion (2) Number of Longwood residents employed (3) Total hours worked ECONOMIC DEVELOPMENT AD VALOREM PROPERTY TAX EXEMPTION DR-418 Chapter 196.1996, Florida Statutes R. 12/99 To be filed with the Board of County Commissioners, the governing boards of the municipality, or both, no later than March 1 of the year the exemption is desired to take effect. 1 Business name Mailing address 2 Please give name and telephone number of owner or person in charge of this business. Name Telephone number 3 Exact Location (Legal Description and Street Address) of Property for which this return is filed 4 Dale you began, or will begin, business at this facility 5 Description of the improvements to real property for which this exemption Is requested Date of commencement of construction of improvements 6 Description of the tangible personal property for which this exemption is requested and date when property was, or is to be purchased APPRAISER'S USE ONLY Date of Purchase Taxpayer's Estimate of Class or Item Age Original Cost Cond• Fair Market Rent Cond" $ $ $ $ $ $ $ Is Average value of inventory on hand: `Condition: good, avg (average), or poor Any additional personal property not listed above for which an exemption is claimed must be returned on form DR-405 (Tangible Personal Properly Tax Return) and a copy attached to this form. 7 Do you desire exemption as a ❑ new business or ❑ expansion of an existing business' 9 Trade levels (check as many as apply) ❑ Retail ❑ Wholesale ❑Manufacturing ❑ Professional Service ❑ Oftice ❑Other, specify: 8 Describe type or nature of your business I❑ 10 Number of full-time employees to be employed in Florida If an expansion of an existing business: Net increase In employment % Increase In productive output resulting from this expansion 11 Sales factor for the facility requesting exemption: Total sales in Florida from this facility -one (1) location only divided I by Total sales everywhere from this facility -one (1) location only = %u 12 For office space owned and used by a corporation newly domiciled In Florida Date of incorporation lin Florida Number of full-time employees at this location Thereby request the adoption of an ordinance granting an exemption from ad valorem taxation on the above property pursuant to Section 196.1995, Florida Statutes. I agree to furnish such other reasonable information as the Board of County Commissioners, the governing authority of the municipality, or the Property Appraiser may request in regard to the exemption requested herein. I hereby certify that the information and valuation stated above by me is true, correct, and complete to the best of my knowledge and belief. (If prepared by someone other than the taxpayer, his declaration Is based on all informatkm of which he has any knowledge.) Date Signature, preparer Signature, taxpayer Preparer's address Title Preparer's telephone number Property Appraiser's Use Only I Total revenue available to the county or municipality for the current fiscal year from ad valorem tax sources $ 11 Revenue lost to the county or municipality for the current fiscal year by virtue of exemptions previously granted under this section $ III Estimate of the revenue which would be lost to the county or municipality during the current fiscal year if the exemption applied for were granted and the property for which the exemption is requested would otherwise have been subject to taxation $ IV Estimate of the taxable value lost to the county or municipality if the exemption applied for was granted Improvements to real properly $ Personal property $ V I have determined that the properly listed above meets the definition, as defined by Section 196.012(15) or (16), Florida Statutes, as a ❑new business ❑expansion of an existing business ❑neither VI Last year for which exemption may be applied Application to be filed not later than March 1 Date Signature, Property Appraiser General information Ad Valorem property tax exemptions can be granted to new and expanding businesses only after the voters of a city and/or county vote in a referendum to allow that city or county to grant exemptions . Section 196.1995, Florida Statutes, requires that a referendum be held if: (1) The Board of County Commissioners or governing authority of a municipality (city or county commission) votes to hold such a referendum, or (2) if the county or city commission receives a petition signed by ten percent of the registered voters of the county or city. This referendum question can then be placed before the voters of a city or county at any regular election or special election called for voting on the tax incentive referendum or for any other purpose. If the voters authorize exemptions, a company must first meet the definitions of a new or expanding business as staled in s. 196.012 (15) and (16). F.S. The expansion must be on the same or a colocated site of the business current operations. If a business meets one of the above definitions as a new or expanding business, It must then file this application with the county or city commission or both. After the city or county commission receives this application, it must submit the application to the county property appraiser for review. After the property appraiser makes the report as to the fiscal impact of granting the exemption, the county or city commission shall then adopt an ordinance in the usual manner - granting the exemption, If it chooses to do so. A business cannot receive exemption from school taxes or water management district taxes. Also a business must pay taxes that were voted by the voters of a city or county to pay for bond Issues and other special tax levies authorized by the voters of a city or county. The exemption can only be for the improvements to the real property and for tangible personal property. The land on which the new or expanding business Is to be located will still be taxed and taxes must be paid on It. The action taken by a city or county commission can only exempt the taxes paid to that governmental body. A city can only exempt its taxes; a county can only exempt its taxes. All other taxes must be paid. Statutory Definitions Section 198.011 Annual application required for exemption .— (1)(a) Every person or organization who, on January 1, has the legal title to real or personal property, except Inventory, which is entitled by law to exemption from taxation as a result of its ownership and use shall, on or before March 1 of each year, file an application for exemption with the county property appraiser, listing and describing the property for which exemption is claimed and certifying its ownership and use. The Department of Revenue shall prescribe the forms upon which the application is made. Failure to make application, when required, on or before March 1 of any year shalt constitute a waiver of the exemption privilege for that year, except as provided in subsection (7) or subsection (8). Section 196.012(16) and (16), Florida Statutes (15) "New business" means: (a)1. A business establishing 10 or more jobs to employ 10 or more full-time employees in this state, which manufactures, processes, compounds, fabricates, or produces for sale Items of tangible personal property at a fixed location and which comprises an Industrial or manufacturing plant; 2. A business establishing 25 or more jobs to employ 25 or more full-time employees in this state, the sales factor of which, as defined by s.220.15(5), for the facility with respect to which it requests an economic development ad valorem tax exemption is less than 0.50 for each year the exemption is claimed; or 3. An office space in this state owned and used by a corporation newly domiciled in this state: provided such office space houses 50 or more full-time employees of such corporation; provided that such business or office first begins operation on a site dearly separate from any other commercial or Industrial operation owned by the some business. (b) Any business located in an enterprise zone that first begins operation on a site clearly separate from any other commercial or Industrial operation owned by the same business. (c) A new business that is situated on properly annexed into a municipality and that, at the time of annexation, is receiving an economic development ad valorem tax exemption from the county under s. 196.1995. (16) "Expansion of an existing business" means: (a)1. A business establishing 10 or more jobs to employ 10 or more full -lime employees in this state, which manufactures, processes, compounds, fabricates, or produces for sale items of tangible personal property at a fixed location and which comprises an industrial or manufacturing plant; or 2. A business establishing 25 or more Jobs to employ 25 or more full-time employees in this state, the sales factor of which, as defined by s. 220.15(5), for the facility with respect to which it requests an economic development ad valorem tax exemption is less than 0.50 for each year the exemption Is claimed; provided that such business increases operation on a site colocated with a commercial or industrial operation owned by the same business, resulting in a net Increase in employment of not less than 10 percent or an increase in productive output of not less than 10 percent. (b) Any business located in an enterprise zone that increases operations on a site colocated with a commercial or industrial operation owned by the same business. Section 196.1996 Economic development ad valorem tax exemption: (6) With respect to a new business as defined by s. 196.012(15)(c), the municipality annexing the property on which the business is situated may grant an economic development ad valorem tax exemption under this section to that business for a period that will expire upon the expiration of the exemption granted by the county. If the county renews the exemption under subsection (7), the municipality may also extend its exemption. A municipal economic development ad valorem tax exemption granted under this subsection may not extend beyond the duration of the county exemption. Section 220.15(5), Florida Statutes. (5) The sales factor is a fraction the numerator of which is the total sales of the taxpayer In this state during the taxable year or period and the denom- inator of which is the total sales of the taxpayer everywhere during the taxable year or period. (a) As used in this subsection, the term "sales" means all gross receipts of the taxpayer except Interest, dividends, rents, royalties, and gross receipts from the sale, exchange, maturity, redemp- tion, or other disposition of securities. However: 1. Rental income is Included in the term if a significant portion of the taxpayers business consists of leasing or renting real or tangible personal property; and 2. Royalty income is Included in the term if a significant portion of the taxpayers business consists of dealing In or with the production, exploration, or development of minerals. (b)1. Sales of tangible personal property occur in this state if the property is delivered or shipped to a purchaser within this state, regardless of the f.o.b. point, other conditions of the sale, or ultimate destination of the property, unless shipment is made via a common or contract carrier. 2. When citrus fruit is delivered by a cooperative for a grower -member, by a grower - member to a cooperative, or by a grower - participant to a Florida processor, the sales factor for the growers for such citrus fruit delivered to such processor shall be the same as the sales factor for the most recent taxable year of that processor. That sales factor, expressed only as a percentage and not in terms of the dollar volume of sales, so as to protect the confidentiality of the sales of the processor, shall be furnished on the request of such a grower promptly after it has been determined for that taxable year. 3. Reimbursement of expenses under an agency contract between a cooperative, a grower - member of a cooperative, or a grower and a processor is not a sale within this state: (c) Sales of a financial organization, including, but not limited to, banking and savings institutions, investment companies, real estate investment trust, and brokerage companies, occur in this state if derived from: 1. Fees, commissions, or other compensation for financial services rendered within this state; 2. Gross profits from trading in stocks, bonds, or other securities managed within this state; 3. Interest received within this state, other than interest from loans secured by mortgages, deeds of trust, or other liens upon real or tangible personal property located in this state, and dividends received within this state; 4. Interest charged to customers at places of business maintained within this state for carrying debit balances of margin accounts, without deduction of any casts incurred In carrying such accounts; 5. Interest, fees, commissions, or other charges or gains from loans secured by mortgages, deeds of trust or other liens upon real or tangible personal property located in this state or from Installment sale agreements originally executed by a taxpayer or the taxpayers agent to sell real or tangible personal property located in this state; 6. Rents from real or tangible personal property located in this state; or 7. Any other gross income, including other interest, resulting from the operation as a financial organization within this state. In computing the amounts under this paragraph, any amount received by a member of an affiliated group (determined under s. 1504(a) of the internal Revenue code, but without reference to whether any such corporation is an "Includable corporation" under s. 1504(b) of the Internal Revenue code) from another member of such group shall be included only to the extent such amount exceeds expenses of the recipient directly related thereto.