Broward County Commission Regular Meeting
Director's Name: Andrew J. Meyers
Department: County Attorney
Information
Requested Action
title
MOTION TO ADOPT Resolution directing the County Administrator to publish Notice of Public Hearing to be held on March 11, 2025, at 10:00 a.m., in Room 422 of Governmental Center East to consider enactment of a proposed Ordinance, the title of which is as follows:
AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF BROWARD COUNTY, FLORIDA, PERTAINING TO TOURIST DEVELOPMENT TAXES; AMENDING SECTION 31½-16 OF THE BROWARD COUNTY CODE OF ORDINANCES (“CODE”); AND PROVIDING FOR SEVERABILITY, INCLUSION IN THE CODE, AND AN EFFECTIVE DATE.
(Sponsored by the Board of County Commissioners)
body
Why Action is Necessary
The proposed Ordinance was prepared by the County Attorney’s Office as directed by the Board of County Commissioners (“Board”) on February 11, 2025.
What Action Accomplishes
Enables the setting of a public hearing during which the Board may consider enacting the proposed Ordinance.
Goal Related Icon(s)
☐County Commission
☐Go Green
☐MAP Broward
Previous Action Taken
Summary Explanation/Background
Under Section 125.0104, Florida Statutes, counties may impose a Tourist Development Tax (“TDT”) on short-term rental accommodations such as hotels, motels, and similar lodgings for periods of six (6) months or less.
In addition to the base two percent (2%) TDT, Section 125.0104(3)(l), Florida Statutes, permits an additional one percent (1%) tax on transient rentals (“Fourth Cent”), the revenues of which may be used to pay for (1) debt service on bonds for constructing, reconstructing, or renovating professional sports facilities, (2) certain convention center-related costs, and (3) tourism promotion and advertising. Counties imposing the Fourth Cent may also levy an additional one percent (1%) TDT under Section 125.0104(3)(n), Florida Statutes (“Fifth Cent"), for similar purposes.
In 1996 the Board enacted (1) Ordinance No. 96-09, which levied the Fourth Cent to assist in paying debt service on bonds issued to finance the construction of a professional sports facility and for such other purposes as authorized by law, and created Section 31½-16(3) of the Broward County Code of Ordinances (“Code”), and (2) Ordinance No. 96-10, which levied the Fifth Cent to assist in paying debt service on bonds issued to finance the construction, reconstruction, or renovation of a facility for a professional sports franchise, and created Section 31½-16(4) of the Code. The County subsequently issued its $135,360,000 Broward County, Florida, Professional Sports Facilities Tax and Revenue Bonds, Series 1996A (Broward County Civic Arena Project), and its $48,740,000 Taxable Series 1996B (Broward County Civic Arena Project) (collectively, “Arena Bonds”), for the development of the Broward County Civic Arena, secured by the revenues of the Fourth and Fifth Cents.
The Board later enacted Ordinance No. 1998-34, which amended the Code to limit the use of the Fourth Cent from the full set of permitted uses authorized under Florida Law, to only assist in the payment of debt service for the Arena Bonds or, if the tax revenue is not needed for the Arena Bonds, to expressly permit use of proceeds for certain costs relating to the Broward County Convention Center.
The proposed Ordinance amends Section 31½-16 of the Code once again, reverting to the broader, original uses of the Fourth Cent allowed under Florida law, and permitting the revenues from both the Fourth and Fifth Cent taxes to be used for all the purposes authorized under Florida law.
The Business Impact Estimate (Exhibit 3) will be distributed as additional material.
Source of Additional Information
Annika E. Ashton, Deputy County Attorney, 954-357-7600
Fiscal Impact
Fiscal Impact/Cost Summary
The Fiscal Impact Statement by the Office of Management and Budget will be provided at the time of the public hearing, in compliance with Section 18.5(e)(7) of the Broward County Administrative Code.