County Ordinances

ARTICLE III. - TOURIST DEVELOPMENT TAX ^[3]

Footnotes:

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Editor's note— Ord. No. 95-30, §§ 1—7, adopted August 15, 1995, amended the Code by repealing former Art. III, §§ 17-111—17-113, and added a new Art. III, §§ 17-111—17-116. Former Art. III pertained to similar subject matter and derived from the following ordinances:

State Law reference— Taxation to be as authorized by general law, Fla. Const. art. VII, § 1(a); Local Option Tourist Development Act, F.S. § 125.0104.

Sec. 17-111. - Title.

This article shall be known as and may be cited as the "Tourist Development Ordinance of Palm Beach County".

(Ord. No. 95-30, § 1, 8-15-95)

Sec. 17-112. - Intent and purpose.

The foregoing recitals are hereby affirmed, ratified and adopted as if set forth fully herein. The board of county commissioners (hereinafter the "board") desires to ensure the advancement, promotion, generation, development, and growth of tourism; the enhancement of the tourist industry; and the attraction of tourists and conventioneers from within the State of Florida, across the nation, and throughout the world to Palm Beach County. This is accomplished through the tourist development plan set forth herein which identifies specific projects/special uses of tourist development tax revenue in accordance with Florida Statutes, § 125.0104(5).

(Ord. No. 95-30, § 2, 8-15-95)

Sec. 17-113. - Levy of tourist development tax.

(a)    The levy and imposition of the tourist development tax (hereinafter the "tax") throughout Palm Beach County, Florida, is hereby reestablished and reenacted herein at a rate of one (1) percent which commenced on the first day of the month following approval of the referendum held September 7, 1982; which increased to two (2) percent on January 1, 1984; to three (3) percent on February 1, 1989; to four (4) percent on January 1, 1994; to five (5) percent on December 1, 2006; and to six (6) percent on February 1, 2015, of each whole and major fraction of each dollar of the total rental charged every person who rents, leases, or lets for consideration any living quarters or accommodations in any hotel, apartment hotel, motel, resort motel, apartment, apartment motel, roominghouse, mobile home park, recreational vehicle park, or condominium for a term of six (6) months or less, unless such person rents, leases, or lets for consideration any living quarters or accommodations which are exempt according to the provisions of Chapter 212, Florida Statutes. When receipt of consideration is by way of property other than money, the tax shall be levied and imposed on the fair market value of such nonmonetary consideration.

(b)   The tax shall be in addition to any other tax imposed pursuant to Florida Statutes, Chapter 212, and in addition to all other taxes and fees and the consideration for the rental or lease.

(c)    The tax shall be charged by the person receiving the consideration for the lease or rental, and it shall be collected from the lessee, tenant, or customer at the time of payment of the consideration for such lease or rental.

(Ord. No. 95-30, § 3, 8-15-95; Ord. No. 06-038, § 1, 9-12-06; Ord. No. 2014-044, § 1, 12-16-14)

Sec. 17-114. - Collection of tourist development tax.

(a)    Initial collection. The initial collection of the tax shall continue to be made in the same manner as the tax imposed under Part I of, Florida Statutes, Chapter 212.

(b)   Collection and administration of tax. The person receiving the lease or rental consideration (also referred to herein as the "dealer") for any period subsequent to December 31, 1992, shall receive, account for, and remit the tax to the Tax Collector (hereinafter the "Tax Collector"), who shall be responsible for the collection of the tax from the dealer and the administration of the tax. The term "Tax Collector," for the purposes of this article, shall include any person in the Office of the Tax Collector designated to carry out the duties and responsibilities prescribed herein. The Tax Collector shall keep appropriate records, books, and accounts of said remittances.

(c)    Duties and privileges of dealers. The same duties and privileges imposed by Florida Statutes, Chapter 212, upon dealers in tangible property, respecting the collection and remission of the tax, the making of returns, the keeping of books, records, and accounts, and the payment of a dealer's credit as required under Florida Statutes, Chapter 212, Part 1, shall apply to and be binding upon all persons who are subject to the provisions of this article; however, the Tax Collector may authorize a quarterly return and payment when the tax remitted by the dealer for the preceding quarter did not exceed twenty-five dollars ($25.00).

(d)   Remittance of tax. All taxes collected under this article shall be remitted to the Tax Collector, who shall collect and administer the tax according to the provisions of Florida Statutes, Chapter 212, Part 1, and shall have the same powers, duties, and responsibilities as the State of Florida Department of Revenue under Florida Statutes, Chapter 212, Part 1.

(e)    Promulgation of rules and forms. The tax collector shall promulgate such rules, and prescribe and publish such forms as may be necessary to effectuate the purposes of this article.

(f)    Enforcement and audit functions. The Tax Collector shall perform the enforcement and audit functions associated with the collection and remission of the tax, including, without limitation, the following:

(1)    Examination of books and records. For the purpose of enforcing the collection of the tax levied by this article, the Tax Collector is hereby specifically authorized and empowered to examine at all reasonable hours the books, records, and other documents of all dealers or other persons charged with the duty to report or pay a tax under this article, in order to determine whether they are collecting the tax or otherwise complying with this article. In the event said dealer or person refuses to permit such examination of its books, records, or other documents by the Tax Collector as aforesaid, such dealer or person is guilty of a violation of this article and shall be subject to the penalties provided for in, Florida Statutes § 125.69. The Tax Collector shall have the right to proceed in Circuit Court to seek a mandatory injunction or other appropriate remedy to enforce its rights against the offender, as granted by this section, to require an examination of the books and records of such dealer.

(2)    Dealer to maintain books and records. Each dealer shall secure, maintain, and keep for a period of three (3) years a complete record of rooms or other lodging, leased or rented by said dealer, together with gross receipts from such sales, and other pertinent records and papers as may be required by the Tax Collector for the reasonable administration of this article; and all such records which are located or maintained in the County shall be open for inspection by the Tax Collector at all reasonable hours at such dealer's place of business located in the County. Any dealer who maintains such books and records at a point outside the County must make such books and records available for inspection by the Tax Collector in the County. Any dealer subject to the provisions of this article who violates these provisions is guilty of a violation of this article, punishable as provided in, Florida Statutes, § 125.69.

(3)    Notification of audit. The Tax Collector shall send written notification, at least sixty (60) days prior to the date an auditor is scheduled to begin an audit, informing the taxpayer of the audit. The Tax Collector is not required to give sixty (60) days prior notification of a forthcoming audit in any instance in which the taxpayer requests an emergency audit.

a.    Such written notification shall contain:

1.     The approximate date on which the auditor is scheduled to begin the audit.

2.     A reminder that all of the records, receipts, invoices, exemption certificates, and related documentation of the taxpayer must be made available to the auditor.

3.     Any other request or suggestions the Tax Collector may deem necessary.

b.    Only records, receipts, invoices, exemption certificates, and related documentation which are available to the auditor when such audit begins shall be deemed acceptable for the purposes of conducting such audit.

(g)   Responsibility for auditing, assessing, collecting, and enforcing payment. The county, through the Tax Collector, assumes all responsibility for auditing the records and accounts of dealers and assessing, collecting, and enforcing payment of delinquent taxes. The County adopts and delegates to the Tax Collector any and all powers and authority granted to the State of Florida Department of Revenue in Florida Statutes, § 125.0104 and Part I of Chapter 212, and as further incorporated therein, to determine the amount of the tax, penalties, and interest to be paid by each dealer and to enforce payment of such tax, penalties, and interest.

(h)    Failure to charge and collect tax. Any dealer, either by himself or through his or her agents or employees, who fails or refuses to charge and collect the taxes herein provided is personally liable for the payment of the tax and is punishable as provided by law.

(i)     Absorption and relief of tax prohibited. No person shall advertise or hold out to the public in any manner, directly or indirectly, that he or she will absorb all or any part of the tax; that he or she will relieve the person paying the rental of the payment of all or any part of the tax; or that the tax will not be added to the rental or lease consideration or, when added, that it or any part thereof will be refunded or refused, either directly or indirectly, by any method whatsoever. Any person who willfully violates this provision is punishable as provided by law.

(j)     Tax constitutes lien on property. The tax levied pursuant to this article shall constitute a lien on the property of the lessee, customer, or tenant in the same manner as, and shall be collectible as are, liens authorized and imposed in Florida Statutes, §§ 713.67, 713.68, and 713.69.

(k)    Use of tax revenues. Tax revenues collected hereunder may be used only in accordance with the provisions of Florida Statutes, § 125.0104.

(l)     Taxes are county funds. All taxes imposed by this article shall become county funds at the moment of collection and shall for each month be due to the Tax Collector on the first day of the succeeding month and be delinquent on the twenty-first day of such month. All returns postmarked after the twentieth day of such month are delinquent.

(m)   Remittance of taxes collected and interest thereon to Clerk. All taxes collected hereunder, less the costs of administration on the collections received, shall be remitted monthly to the Clerk of the Board and placed in the "Palm Beach County Tourist Development Trust Fund." Interest on the collections received by the tax collector shall be remitted to the Clerk of the Board quarterly and placed in the "Palm Beach County Tourist Development Trust Fund."

(n)    Costs of administration. A portion of the tax collected may be retained by the tax collector for the costs of administration, but such portion shall not exceed two (2) percent of collections. The percentage of tax revenues retained by the tax collector for the costs of administration will be accounted for by the Tax Collector in the same manner in which other fees and commissions paid to the Tax Collector by the board are accounted. The excess fees will be distributed to the board in accordance with Florida Statutes, § 218.36.

(Ord. No. 95-30, § 4, 8-15-95)

Sec. 17-115. - Tourist development council.

(a)    Establishment; membership. There is hereby established, pursuant to the provisions of Florida Statutes, § 125.0104, an advisory council to be known as the "Palm Beach County Tourist Development Council," hereinafter referred to as the "council." The Council shall be composed of nine (9) members. One (1) member of the Council shall be the Chair of the Board or any other member of the Board, as designated by the Chair, who shall also serve as chair of the Council. The remaining eight (8) members of the Council shall be appointed by the Board and shall have the following representative classifications:

(1)    Two (2) members who are elected municipal officials, one (1) of whom shall be from the most populous municipality in the County.

(2)    Three (3) members who are owners or operators of motels, hotels, recreational vehicle parks, or other tourist accommodations in the County and subject to the tax.

(3)    Three (3) members who are involved in the tourist industry and who have demonstrated an interest in tourist development, but who are not owners or operators of motels, hotels, recreational vehicle parks, or other tourist accommodations in the County and subject to the tax.

(b)   Terms and conditions of membership. All members of the Council shall be electors of the County at the time of appointment and while serving on the Council. The members of the Council shall serve for staggered terms of four (4) years. There shall be no limit on the number of terms an individual may serve. Those members of the Council appointed by the Board of County Commissioners in its resolution dated March 3, 1981, establishing the initial council, shall continue to serve in such capacities for the terms set forth therein. Members of the Council may be reappointed, provided they continue to meet the qualifications of membership, and may be removed with or without cause in the same manner as is presently set forth by resolution for the appointment of such members. A vacancy on the Council not occurring by expiration of terms shall be filled by the Board for the unexpired term in the same manner as is presently set forth by resolution for appointments to the Council.

(c)    Removal for lack of attendance. Members of the Council shall be automatically removed for lack of attendance. Lack of attendance means failure to attend three (3) consecutive meetings or failure to attend at least two-thirds of the regularly scheduled meetings during a calendar year. Participation for less than three-fourths of a meeting shall be the same as a failure to attend a meeting. Absences shall be entered into the minutes at the next regularly scheduled meeting of the Council. Members removed under this paragraph shall not continue to serve until a new appointment is made and removal shall create a vacancy.

(d)   Notice of meetings. Reasonable public notice of all council meetings shall be provided and all such meetings shall be open to the public at all times.

(e)    Compliance with code of ethics. Council members shall be governed by the applicable provisions of the Palm Beach County Code of Ethics, Ordinance 2009-051, as it may be amended and as codified in article XIII, sections 2-441 through 2-448 of the Code of Laws and Ordinances.

(f)    Annual report. The Council shall submit an annual report to the Board pursuant to policies and procedures adopted by the Board.

(g)   Quorum. A quorum must be present for the conduct of all council meetings. A majority of the members appointed shall constitute a quorum. All meetings shall be governed by Robert's Rules of Order.

(h)    Recommendations to board. The Council shall, from time to time, make recommendations to the Board for the effective operation of the special projects or for uses of the tax revenue and perform such other duties as may be prescribed by ordinance or resolution of the Board. Prior to making recommendations to the Board as indicated above, the Council shall review each proposal for expenditure of funds and determine that such expenditures comply with the plan set forth in section 17-116 herein.

(i)     Review of expenditures. The Council shall continuously review all expenditures of revenues from the Tourist Development Trust Fund and shall receive, at least quarterly, expenditure reports from the Board or its designee. Expenditures which the Council believes to be unauthorized by the provisions of this article shall be reported to the Board and the State Department of Revenue. The Board, upon receiving notification of expenditures believed to be unauthorized by the Council, shall review the Council's findings and take such administrative or judicial action as it sees fit to ensure compliance with this article and the provisions of Florida Statutes, § 124.0104.

(Ord. No. 95-30, § 6, 8-15-95; Ord. No. 03-001, § 1, 1-7-03; Ord. No. 2010-045, § 1, 10-19-10)

Sec. 17-116. - Tourist development plan.

The tax revenues received pursuant to this article shall be used to fund the Palm Beach County Tourist Development Plan which is hereby adopted as follows:

Palm Beach County
Tourist Development Plan

(a)    Purpose. Pursuant to the provisions of the Local Option Tourist Development Act, this tourist development plan (hereinafter the "plan") establishes the uses of the tax revenue by specific project or special use as authorized in F.S. § 125.0104(5). The plan also includes the expense allocation by the percentage for each specific project or special use.

(b)   Use and allocation of tax revenues. The following categories of use of each individual percent of the bed tax are set forth below in subsection (1) with the percentage of the total amount of yearly revenue to be expended for, or credited to, each category, subject to the provisions of subsection (3) of this section 17-116, as set forth in subsection (2) commencing February 1, 2015:

(1)    Categories of use:

a.    Category A: Promote and advertise County tourism in the state and nationally and internationally, including the provision of a convention and visitors bureau.

b.    Category B: Provide for cultural and fine and non-fine arts entertainment, festivals, programs, and activities which directly promote County tourism.

c.    Category C: Provide for beach improvement, maintenance, renourishment, restoration and erosion control with an emphasis on dune restoration where possible.

d.    Category D: Provide for film and television marketing and development activities which directly promote County tourism.

e.    Category E: Provide for special major projects and events which directly further, advance, improve, promote and generate County tourism. To be selected and funded pursuant to subsection (c) of this section 17-116.

f.     Category F: Provide for the operation and maintenance of a convention center. To be funded pursuant to subsection (c) of this section 17-116.

g.    Category G: Attract, stimulate, market and execute sports events and activities in order to promote the County nationally and internationally as a sports destination, including the financing of the construction of Blum Stadium, a sports stadium, all of which directly promote County tourism.

h.    Category H:

1.     Plan, design and construct, extend, enlarge, remodel, repair, and/or improve a convention center and professional sports franchise facilities.

2.     Debt service relating to bonds issued to finance the construction of professional sports franchise facilities and a convention center.

3.     The planning and design costs incurred prior to the issuance of such bonds.

4.     Operational and maintenance costs of a convention center.

i.     Category I: Provide payment on:

1.     Debt service relating to bonds issued to finance the construction of professional sports franchise facilities and a convention center;

2.     The planning and design costs incurred prior to the issuance of such bonds; and

3.     The operation and maintenance cost of a convention center for ten (10) years.

(2)    Percent of yearly revenue is hereby amended as follows:

(c)    Special allocations.

(1)    Allocations for convention center operations and maintenance and special major projects and events. Notwithstanding the percentages allocating the initial three (3) percent of the bed tax revenues to the various categories of uses as set forth above in subsection (b), each year commencing October 1 ^st 2014 a total of two hundred fifty thousand dollars ($250,000.00) of the second, third and fifth percent of bed tax revenues shall not be allocated for the operation and maintenance costs of a convention center (Category F), but shall be transferred to an account (Category E) which shall be reserved for special major projects and events, and a total of one hundred fifty thousand dollars ($150,000.00) of the second, third and fifth percent of bed tax revenues and one hundred twenty-five thousand dollars ($125,000.00) of the sixth percent of bed tax revenues shall be transferred into an account (Category E) which shall be reserved for special major projects and events which may arise from time to time offering the County the opportunity to further, advance, improve, promote and generate County tourism. The TDC shall authorize expenditures for such projects upon review and assurance that the project or event is a use authorized under F.S. § 125.0104(5), and is consistent with the plan. The Category E reserve account shall not be limited to any amount.

a.    Special allocations from the operating reserve fund of the first percent tax; notwithstanding the allocation of the first percent of bed tax revenues to the use provided for in Category H.

b.    An amount equal to the project budget, approved by the Board for the costs for renovation of the Airport Center Building and the relocation of the Tourist Development Council and its agencies, shall be transferred from the first percent of the bed tax fund to the capital project fund.

c.    Upon fulfillment of the funding obligations set forth above in subsections (2)(a), revenues from the first percent of the bed tax shall be allocated for Category H uses.

d.    Professional sports franchise facilities and convention center. A tourist development plan for professional sports franchise facilities and/or a convention center must be approved by resolution of the Board for the purpose of advancing, promoting, and furthering County tourism. The professional sports franchise facilities and/or convention center identified in the plan(s) may be amended by resolution of the Board.

e.    The effective date of the levy and imposition of the tax authorized under this paragraph shall be the first day of the second month following approval of the Ordinance by the Board or the first day of any subsequent month as may be specified in the Ordinance.

f.     Administration expenses. There shall be an annual amount established for administrative expenses which shall not exceed nine (9) percent of the total budget. Administrative expenses shall include administrative staff salaries, benefits, administrative travel, indirect costs, and all costs of furnishing and operating administrative offices, whether paid directly or by reimbursement, except that funds for contractual services from the administrative budget may be expended upon the express approval of the Council.

g.    Annual review of plan. The Council and the Board shall annually review the plan. On or before September 1 of each year the council shall forward to the Board its recommendation for revisions, if any, to the plan. The Board shall review the plan and determine the most effective use of the revenues derived from the tax.

h.    Amendment of plan. Except as provided in F.S. § 125.0104, to the contrary, the above tourist development plan may not be substantially amended except by ordinance enacted by an affirmative vote of a majority plus one (1) additional member of the Board of County Commissioners.

(Ord. No. 95-30, § 7, 8-15-95; Ord. No. 97-3, §§ 1, 2, 1-14-97; Ord. No. 98-52, §§ I—III, 10-20-98; Ord. No. 00-011, § I, 2-15-00; Ord. No. 02-014, §§ I, II, 4-16-02; Ord. No. 04-007, §§ 1, 2, 3-30-04; Ord. No. 05-008, § 1, 4-19-05; Ord. No. 06-038, § 2, 9-12-06; Ord. No. 09-013, § 1, 6-2-09; Ord. No. 2010-045, § 2, 10-19-10; Ord. No. 2014-017, § 1, 5-20-14; Ord. No. 2014-044, § 1, 12-16-14; Ord. No. 2015-023 , § 1, 5-19-15)

Secs. 17-117—17-125. - Reserved.