REVENUE ESTIMATING CONFERENCE

Transcription

1 Tax: Highway Safety Fees Issue: Heavy Trucks Registration Timing Bill Number(s): HB 87 With Amendment REVENUE ESTIMATING CONFERENCE X Entire Bill Partial Bill: Sponsor(s): Ponder Month/Year Impact Begins: 7//29 Date of Analysis: /8/29 Section : Narrative a. Current Law: Section 32., F.S. dictates renewal periods for motor vehicle registrations per All heavy trucks registered under 32.8(), F.S. are currently registered with a period beginning December. Sections 32.7 and 32.7, F.S. allows these vehicles to register semiannually. Sections and 328., F.S. allow a surviving spouse of a vehicle owner to request a free title transfer upon presenting the death certificate of the vehicle owner. b. Proposed Change: Effective September, 22, Section 32., F.S. is revised to change the renewal period for heavy trucks registered per 32.8()(a) and (b) from the December renewal period to the owner s birth month. This change will only apply to vehicles owned by a natural person. In order to implement these changes, the Department of Highway Safety and Motor Vehicles (DHSMV) shall allow, but not require, customers whose birth months are between January and June to renew their registrations in December 22 for 2 to 8 months, extending their registration until their birth month in 222. Customers whose birth month is July to December shall pay a prorated amount in December 22, renewing their registration up to their birth month in 22. Sections 32.7 and 32.7, F.S. are revised to no longer allow heavy trucks registered per 32.8()(a) and (b) to register semiannually. Sections and 328., F.S. are revised to allow a surviving spouse of a vehicle owner to request a free title transfer upon presenting a death record maintained by the Department of Health and presented to a Florida tax collector. Section 2: Description of Data and Sources November 3, 28 Highway Safety REC Phone and communication with DHSMV staff DHSMV Heavy Truck Renewal Report, November, 28 Section 3: Methodology (Include Assumptions and Attach Details) The forecasted amount for base tag registrations per sections 32.8()(a) and (b) was pulled from the most recent Highway Safety REC. Note that these amounts are distributed 26% to GR and 7% to STTF. Also note that this analysis only applies to base tag fees because ancillary fees will not be prorated. Thus, there will be no state revenue impact on a fiscal year basis from ancillary fees. The DHSMV provided the birth month percentages including the percentage owned by businesses, which will not be impacted by this bill. The fee paid by each birth month subset was calculated. January to June birth months will be paying higher than the current base tag for a longer renewal period, July to November birth months will be paying a smaller amount for a shorter renewal period, and December birth months will not change. The transactions by birth month were calculated using the FY 22-2 forecast and the birth month rates provided by DHSMV. These transactions were multiplied by both the current base tag fee and the adjusted base tag fee, for a positive difference of.6 million. While there is a calendar year offset, there is no negative offset in fiscal year because all registrations will begin paying the current base tag rate starting with the July 22 birth month. There is no impact resulting from changes to sections and 328., F.S. which allow a surviving spouse of a vehicle owner to request a free title transfer upon presenting a death record maintained by the Department of Health and presented to a Florida tax collector. Section : Proposed Fiscal Impact GR High Middle Low Cash Recurring Cash Recurring Cash Recurring

2 Tax: Highway Safety Fees Issue: Heavy Trucks Registration Timing Bill Number(s): HB 87 With Amendment REVENUE ESTIMATING CONFERENCE Trust High Middle Low Cash Recurring Cash Recurring Cash Recurring List of affected Trust Funds: General Revenue Fund State Transportation Trust Fund Section : Consensus Estimate (Adopted: /8/29) The Conference adopted the proposed impact. The Conference assumes that the language allows for an increase in the fee and there is % participation. GR Trust Local/Other Total Cash Recurring Cash Recurring Cash Recurring Cash Recurring

3 Current Forecast - Base Tag* 32.8()(a) 32.8()(b) Total # # # FY ,2 22,32,68 67,72 37,938,2 86,93 6,262,89 FY 22-2, 22,773,292 77,3 38,7,8 878,28 6,7,2 FY ,8 23,29,68 86,6 39,9,36 89,72 62,678,99 FY ,779 23,66,822 9,77,29,73 92,86 63,869,89 FY ,7 2,96,8,828,98,92 929,27 6,, * Does not include biennials or ancillary fees. Amounts above are distributed 26% to GR and 7% to STTF 32.8()(b) and (b) Birthday Monthly Rates January February March April May June July August September October November December Business* 7.6% 6.72% 7.2% 6.73% 6.89% 6.8% 7.9% 7.8% 7.93% 7.82% 7.% 7.78%.79% * Business renewal periods will not change. Base Tag Amount to be Paid During December 22 Renewal Period (Not Including Business) 32.8()(a) 32.8()(b) Current Fee 6.7 Current Fee 87.7 Prorated.6 Prorated 7.3 Fee Based on Birth Month Transactions Current Law Proposed Difference Fee Based on Birth Month Transactions Current Law Proposed Difference January ,9,86,7,968,7,396 January 9.6 3,69 3,2,9 3,38,26 26,97 February ,973,638,62,9, , February ,8 2,8,39 3,28,329 69,9 March ,87,7,88 2,92,6 38,22 March ,32 3,3, 3,766,88 73,376 April 8. 27,6,6,96 2,88,26 7,6 April 7. 32,32 2,89,7 3,79, 939,82 May ,66,68,96 2,38,36 7, May ,893 2,886,387,89,9,22,66 June ,92,67,68 2,,2 83,8 June ,699 2,869,33,33,99,3,66 July 3. 3,6,8,3,79,2 (77,8) July.9 36,228 3,79,,8, (,32,6) August. 3,28,9,36,266,897 (633,9) August 8. 37,2 3,26,77 2,76,6 (,88,28) September.6 3,79,93,66,8,99 (82,866) September ,8 3,38,238 2,88,679 (829,6) October.63 3,36,9,6,87,636 (37,27) October ,3 3,273, 2,727,2 (,8) November.69 29,839,82,7,66,6 (,6) November 8. 3,9 3,,22 2,8,76 (29,9) December 6.7 3,89,89,77,89,77 - December ,96 3,2, 3,2, - Total 33,8 2,9,82 22,8,93 89,29 Total 2,8 36,929,6 37,9,97,2,396 Additional Base Tag Revenue, FY 22-2 Total,6,687 Trust,8,29 GR 6,39 3

4 REVENUE ESTIMATING CONFERENCE Tax: Ad Valorem Issue: Widows, Blind, Disabled Exemption Increase Bill Number(s): HB /SB 22 X Entire Bill Partial Bill: Sponsor(s): Rep. Sirois/Sen. Wright Month/Year Impact Begins: January, 22 Date of Analysis: January 8, 29 Section : Narrative a. Current Law: Article VII, Section 3(b) of the Florida Constitution provides: There shall be exempt from taxation, cumulatively, to the head of a family residing in this state, household goods and personal effects to the value fixed by general law, not less than one thousand dollars, and to every widow or widower or person who is blind or totally and permanently disabled, property to the value fixed by general law not less than. Section 96.22, Florida Statutes, Provides: Property of widows, widowers, blind persons, and persons totally and permanently disabled. () Property to the value of of every widow, widower, blind person, or totally and permanently disabled person who is a bona fide resident of this state is exempt from taxation. As used in this section, the term totally and permanently disabled person means a person who is currently certified by a physician licensed in this state, by the United States Department of Veterans Affairs or its predecessor, or by the Social Security Administration to be totally and permanently disabled. (2) An applicant for the exemption under this section may apply for the exemption before receiving the necessary documentation from the United States Department of Veterans Affairs or its predecessor, or the Social Security Administration. Upon receipt of the documentation, the exemption shall be granted as of the date of the original application, and the excess taxes paid shall be refunded. Any refund of excess taxes paid shall be limited to those paid during the -year period of limitation set forth in s ()(e). b. Proposed Change: This bill increases the exemption amount for widows, widowers, blind persons, and persons totally and permanently disabled from to,. It applies to tax years beginning on or after January, 22. Section 2: Description of Data and Sources 28 Final Real Property Tax Rolls 28 Final Tangible Personal Property Tax Rolls November 28 Demographic Estimating Conference 27 -Year American Community Survey, Florida Disability Characteristics (ACS_7_YR_S8) and Marital Status (ACS_7_YR_S2), U.S. Census Bureau Section 3: Methodology (Include Assumptions and Attach Details) The 28 final real property ad valorem assessment rolls were filtered to extract only parcels with an exemption based on s , F.S., (exemption codes 3 for blind, 32 for widowers, 33 for widows, and 3 for permanently disabled). Similarly, accounts with the same exemptions on the tangible personal property assessment rolls were extracted (exemption codes I for blind, J for disabled, and K for widows and widowers). Due to ongoing issues with mislabeled disability exemptions, parcels with any value in exemption codes 8 (totally and permanent disabled persons) were also extracted. Flags were created for each s , F.S., exemption and each parcel s number of relevant exemptions was calculated. When exemption 3 was over 2, (in case there were multiple owners), all exemption value over was moved to exemption 8 and only kept under exemption 3. On the TPP rolls, one county miscoded institutional exemptions as the blind exemption so that county s exemption values were moved to the correct exemption code. The increased exemption value was calculated for both school and non-school purposes for each exemption at the parcel level. If a current taxable value (school and non-school) was greater than the maximum increased exemption value, the current exemption values were multiplied by. When a current taxable value was less than the maximum new exemption value, the increased exemption value was made to equal the current taxable value (so the potential taxable value equaled ). In cases where the maximum increase was greater than the available taxable value and there were multiple applicable exemptions, the available taxable value was distributed equally among the relevant exemptions. Future years were forecast based on population growth estimates from the November, 28 Demographic Estimating Conference.

5 REVENUE ESTIMATING CONFERENCE Tax: Ad Valorem Issue: Widows, Blind, Disabled Exemption Increase Bill Number(s): HB /SB 22 Additionally, the first impact year s estimate is grossed up by a set percentage. This is because many otherwise eligible property owners may have not gone through the process of gathering the necessary documentation and presenting it to the property appraiser for an average tax bill reduction of less than. Those owners are more likely to go through the application process when the annual tax savings is nearly, though. In the low estimate, the amounts from the current roll were grossed up by 2% for the first impact year. For the middle, the roll values were grossed up 7% and the high estimate s roll values were grossed up %. These rates are unchanged since the conference discussed HB 727/SB 93 in 28. Section : Proposed Fiscal Impact High Middle Low Cash Recurring Cash Recurring Cash Recurring 29-2 (2. M) (39. M) (37.3 M) 22-2 (2.6 M) (2.6 M) (39.7 M) (39.7 M) (37.8 M) (37.8 M) (3.3 M) (3.3 M) (.3 M) (.3 M) (38. M) (38. M) (3.9 M) (3.9 M) (.9 M) (.9 M) (38.9 M) (38.9 M) (. M) (. M) (. M) (. M) (39. M) (39. M) List of affected Trust Funds: Ad Valorem Section : Consensus Estimate (Adopted: /8/29): The Conference adopted an adjusted low estimate. The Conference added.% to the population growth to account for the growing number of the population that would take advantage of the increased exemption and for the increasing value of the exemption to those eligible homeowners. School Non-School Total Local/Other Cash Recurring Cash Recurring Cash Recurring (.). (22.3). (37.) 22-2 (.) (.) (22.8) (22.8) (38.2) (38.2) (.7) (.7) (23.2) (23.2) (39.) (39.) (6.) (6.) (23.7) (23.7) (39.7) (39.7) (6.3) (6.3) (2.) (2.) (.) (.) GR Trust Local/Other Total Cash Recurring Cash Recurring Cash Recurring Cash Recurring (37.). (37.) (38.2) (38.2) (38.2) (38.2) (39.) (39.) (39.) (39.) (39.7) (39.7) (39.7) (39.7) (.) (.) (.) (.)

6 Widows, Blind, Disabled Exemption Increase A B C E F G H I J K L M N O County-Level Exemption Values D HB /SB 22 CO_ NO County Alachua Baker Bay Bradford Brevard Broward Calhoun Charlotte Citrus Clay Collier Columbia Miami-Dade DeSoto Dixie Duval Escambia Flagler Franklin Gadsden Gilchrist Glades Gulf Hamilton Hardee Hendry Hernando Highlands Hillsborough Holmes Indian River Jackson Jefferson Lafayette Lake Lee Leon Levy Liberty Madison Manatee Marion Ex. 3 Blind 36, 2,, 92, 76,69, 36, 26, 36, 9, 77,,, 22,, 2,, 2,, 2,,,, 6,, 8, 73, 3, 8,, 3, 6,92, REAL PROPERTY Ex. 32 Ex. 33 Widowers Widows 29,,2,3 6, 22, 287,3,33,9 3,7 287,99,3, 6,6, 2,69,27,62,29 7, 92,93 79,6 2,23,3,6 2,27,8 328,83,3,,2,68 3,77, 2,8 3,67,673, 2,66, 7, 26,66 38, 2,2 939,,8, 6,68 3,6, 299,,36, 22, 22, 7, 38, 3, 7,92 28,69 2,28 2, 2,62,79 39,892, 222,3 6, 223,86 6, 2,6,7 2,,8,,37, 7,,667 2, 26, ,,73,38 98,,286 8, 77,2, 8, 688, 3,27,722,8,79,8, ,,72,76 7,, 7,,662 36, 28,726,7,76,3,72 92,3,3,79 TPP Ex. 3 All (Ex. I, J, Disabled & K) 36,2, 2, 37, 2,2, 37,69 2,9,3 9,67 2,,93,7,,3,32 37,97 79,9 2, 226,7 2,722, 8,2,8,836,89,687,26,77 63, 6,7 7, 86, 78,,6 67, 9, 39,392 2,,,7 76, 9,972 2,293,2 8, 3,,,76 38,92 99,88 8, 9,,27,822,23,768 2, 2,, 282,, 22,78 6,6 39,26,2,799,996 Total Current Exemption Value,963, 2, 2,6,62 68,898,,9 2,288,3 22,93,827,76,3,97 2,626,93,,8 99,96 7,3, 6,78 33, 8,68,66,2,9 2,32, 29,7 77, 37,2 227,99 222,72 29,6 363,3,22,28,227 2,877,972,8,97 268,827 3,266,2 83,97 37,7 79,,28,9 8,98,683 2,336,676 9, 6,662 37,9,87,2 6,8,7 6 Ex. 3 Blind 292, 2, 3,9, 92,33 77,67,, 36,793 26, 36, 87,83 76,, 2,28 22,,, 2,,,7 2, 3,263 9,,82,3, 9, 63,6,, 832,7 727,8 292,7 8, 8,8 3, 8,9,7 School Increased Exemption Values Ex. 32 Ex. 3 Total New Ex. 33 Widows TPP Widowers Disabled Exemption Value 2,6,926 3,8,99 2,97,72 8,9,6 2,329 2,232,8,9,89,7,7 2,837,792,23,8,7,282 2,32,6 3,766 2,83,27,39,9,,98,22,2 6,86,79 2,,88 37,69 2,32,82 2,,8,7,27 2,6,8 9,67 2,288,83 66, 88,9 2,27,69,78 7,,28 2,993,73,78,, 7,7,6,269,633 22,367,66,,87 37,97 3,63,927 3,22,9,76,3 7,2,38 26,9,762,3,7 37,33,7 2,,,,828,6,33,,32 2,29,2 8,87,37 6,,97 2,7,79 26,779,862 68,79, 68,99 2,88,97,76,6,8,2 338,936,36,99 97,7 2,63,68 9,67,8 6,98,77 7,792,9,687 83,679,9 6,,72 3,2,79 2,2,37 8,326,7 2,99, 3,29,99 6,33,66 23,8,6 22,9,68,26 69,3 2,2,79 9,2 3,67,68 682,688,62, 2,3,76,739 86,67 2,993,2 28,369,76,86 762,296,286 2,226,8 28,7,37, 32,7 2,,363 99,272,32,2 63,69 2,96,2 2,92 2,38,26 92,26 3,3,978 32, 2,,,329,83 6, 3,92,87 6,33,32 2,72,66 9,82,69 2,,39,267,388,7,99 6,879,62 96,72 26,79,72 2,83,8 69,26,823 22,69,28 8,,32,67 2,892 2,2,87 3,26 2,6,72 3,298,67 6,93,6,22,3 38,92 3,83,83 939,788,93,,92, 7,863,9 9,86,697,73,2,8 3,38,2 2,66 68,336 9, 766, 6,8,38 3,2,,3,7, 9,799,,722, 7,62,76,7,9 2, 87,287,278 3,667,669 7,67,36 2,8,9, 23,22,62 897,66,382,2 2,,6 7,77,89 62,822 2,6 8,6 82,68 362,8 2,2,29,7,23 3,87,8,,7 39,927,97 6,333,789 39,26 7,793,99 9,398, 2,82,37 2,7,29,996 6,79,97 /8/9

7 Widows, Blind, Disabled Exemption Increase A B C E F G H I J K L M N O County-Level Exemption Values D HB /SB 22 CO_ NO County Martin Monroe Nassau Okaloosa Okeechobee Orange Osceola Palm Beach Pasco Pinellas Polk Putnam St. Johns St. Lucie Santa Rosa Sarasota Seminole Sumter Suwannee Taylor Union Volusia Wakulla Walton Washington FLORIDA Ex. 3 Blind 3, 3,,63 7, 2,, 6, 9, 7, 77, 8,72 2, 2,, 9, 67, 6, 6,, 2, 3, 97, 3,, 3, REAL PROPERTY Ex. 32 Ex. 33 Widowers Widows 33,88,788,2 9, 87, 23, 82,373 32,,38,86 83, 367,829,38,,9,92 29,76,,8 2,833,92,3,32,389,,8, 2,62,926,7,622,2,323,378, 2,3 88,98 6, 2,32,26 76, 3,,2 268,,288,62,628,82 6,83,79 7, 2,82,8 79,7 2,8,86 66, 7, 23,82 77, 22,,79,22,,66, 38,863 22, 89, 83,36 8, 269,62 TPP Ex. 3 All (Ex. I, J, Disabled & K) 29,663 7, 29, 23,32 26,2,368,8,39,7,7,68,3,278, 279,28 2,32,827 6,93 2,8,62 8, 38,32 9,36, 2,8,62 78,38, 772,2 77,28 2, 7, 79,8 2,8,,3 66,28 378,2 33,3,878,9 3,7,3 69,66,38 7,99,22,223,67 Total Current Exemption Value 2,6,73 929,,283, 2,32, ,39 7,7,6 2,88,39 8,6, 8,7,28 6,739,37 8,687,7,83,73 3,7,89 6,,763 2,,983 8,79,773,233,86,3,3 76, 27,32 26,263 9,73,3 333,8,,8,682 26,, 7 Ex. 3 Blind 29,337 3, 6,388 7, 6,662, 6,,86,32 68,67,738,63 739,, 2, 8,6 9, 67, 63, 6,, 2, 3, 9, 26,8,636 32,6 School Increased Exemption Values Ex. 32 Ex. 3 Total New Ex. 33 Widows TPP Widowers Disabled Exemption Value 3,77,7 7,,77 2,83,883 2,9,2,9,,87,,7, 9,29, 2,32,36 8,,63 2,69,238 2,738,62 3,98,6,39,996 2,3,898 2,23,7 8,89 3,76,2 2,69,269 6,73,27,32,8,3,82 3,2,73 7,8,626 2,2, 3,98,66,29,2 6,728 27,92,867 28,97,78 38,78, 6,293,6 8,28,97 3,32,362 2,98,783 2,73,83 28,628 78,76,26 2,773,27,368,82 22,77,26 6,87 6,9,7,67,3,6,836 8,867,72, 82,879,83,97, 8,8,9 3,62,679,3,382,,38 2,26,7,,32, 3,7,86 6,98,6 29,972,87 2,3,7 8,733,627 2,6,6 2,77,269,699,77 2,22,67 6,239,22 6,69,86,6,8 87,7,99,7,73 28,6,2 7,63,73 2,36,87 7,6,38 2,7,87 7,62,78 39,98,923 68,73,377,29 2,37,8 7,6,9 23,28,73,67 69,66 2,677,6 28,733,2,377 72,8 2,2,9,69,797,277,86 27,9,99,3 9,3, 376,6 2,93, 6,96 3,238, ,67,738,97 3,682,663,339,872 68,7 2,63,78,287,6,9,23 8,283,2 39,92,297,66,866,76 66,9,87,276,9 2,,37,23 /8/9

8 Widows, Blind, Disabled Exemption Increase A B P Q R S T U V W X Y County-Level Exemption Values HB /SB 22 CO_ NO County Alachua Baker Bay Bradford Brevard Broward Calhoun Charlotte Citrus Clay Collier Columbia Miami-Dade DeSoto Dixie Duval Escambia Flagler Franklin Gadsden Gilchrist Glades Gulf Hamilton Hardee Hendry Hernando Highlands Hillsborough Holmes Indian River Jackson Jefferson Lafayette Lake Lee Leon Levy Liberty Madison Manatee Marion Ex. 3 Blind 27, 2, 2,, 87,76 63,6, 36, ,7 39, 72,92 8,, 8,7 9,88,, 6,22,,7, 26,263 8,839 99,29 6, 9, 63,6 37,96, 73,7 6,8 267,9 6,22 8,8 2, 2,,7 Non-School Increased Exemption Values Ex. 32 Ex. 3 Total New Ex. 33 Widows TPP Widowers Disabled Exemption Value,926,22 2,,3 2,723,3 7,32,6 33,987,93,33,38,338 3,262,6 2,93,92,638,38 3,797,66 8,,3 388,6 2,329,827,2,6 3,928,6 3,79,9,689,3 9,9,33 37,69 89,6,2 2,86, 3,86,9 7,89,7 9,67 7,87,6 7, 23,22 87,3 77,8 7,8,26 2,93,377,7,96, 7,,93,269,633 22,366,697,38,32 37,97 3,9,3 2,982,22 3,3,23 6,928,73 23,6,89 9,878,78 36,292,66 2,6,67 8,,99 92,6,88,89,936,8 7,23,39 2,7,3 9,3,39 2,93,32 2,33,32 3,27 2,,779,22,967 3,97, ,936,36,99 97,7 2,63,68 8,383,277 9,22,896 6,332,6,687 7,26,66,23,6 2,699,896,63,63,66,3 2,67,3,72,3,9,99 2,73,933 8,83 92,972 7,7,629, 32,2 3,263,8 6,237,36,262 38,9,3,6 779,7 2,729,8 272,369,2,6 76,29,286 2,,8 2,98,37,878 2,3,8,28 76, ,2,96,32,89 33,723,66,7 777,28 2,797,2 3,763,667,897,33,388 6, 3,2,7,9,77 9,8,23 8,2,6 33,26,38,72,32,29,2 6,77, 96,72 2,9,,37,739 9,26,93 9,923,97 8, 9,278,92 79,892,3, 222,8,,3 3,87,8,76,97,666,97 38,92 29,6,2 87,3,2,8,79,262 7,9,632 3,38,69,383,8, 3,8,88,77 68,33 8,86 76,638,77,68 2,623,8,6,9, 2,6,88 3,6,9 2,28,66 3,33,296 2, 79,68,8 3,33,669,663,,99,9, 2,3, ,23 3,33,999 2,63,23 6,32,36 3,82 27, 62,3,3 33,7,662,,98,8 3,6,3,69,36 37,6,9 6,86,7 39,26,73,76 9,396,99 2,8,2 2,6,23,996 6,79, 8 Total Reduction in TV School 6,938, 3,7,7 9,9,63,73,82 9,769,62 8,,8,6,63 2,873,92 38,633,83 23,63,89,,67 7,97,72,67,,67,66 2,299,6 7,998,89 3,28,38 2,768,,793,,7,399 2,686,,998,96,932,638,876,799 3,,87 3,,6 37,792,32 23,3,78 9,78,69 2,3,897 28,37,69 7,9,93 2,97,38 687,,77,882 78,368,9 2,87,9 6,87,89 2,6 3,26,36,99,97 8,29, Non-School,36, 2,838,,897,793 3,9,8 78,92,822,87, 9,92 2,723,377 38,629,338 2,83,982 3,3,738 6,23,7 8,299,32 3,,89 2,299,6 6,7,9 3,23,9 8,26,33,9,936 3,88, 2,22,39,97,99,627,33,33,73 2,3,38 2,7,29 28,987,8 22,,33 8,37,3,282,3 26,378,88 6,33,68 2,833,66 677,638 37,8,69 7,6,27 9,8,69,232,36 339,38 2,7,9 8,829,7 8,26,97 /8/9

9 Widows, Blind, Disabled Exemption Increase A B P Q R S T U V W X Y County-Level Exemption Values HB /SB 22 CO_ NO County Martin Monroe Nassau Okaloosa Okeechobee Orange Osceola Palm Beach Pasco Pinellas Polk Putnam St. Johns St. Lucie Santa Rosa Sarasota Seminole Sumter Suwannee Taylor Union Volusia Wakulla Walton Washington FLORIDA Ex. 3 Blind 277,337 3, 7,9 7, 2,62, 6,,,32 68,67,738,63 62,792 87,22 97,,22 77, 67,,8 6,, 2, 3, 799,99 2, 3,636 3, Non-School Increased Exemption Values Ex. 32 Ex. 3 Total New Ex. 33 Widows TPP Widowers Disabled Exemption Value 3,79,9,29,87 2,73,93 2,9,292,86,,77,,7, 9,9, 2,28,6 7,827,97 2,99,97 2,292,37 3,36,377 3,788,82 2,77,32 9,,79 67,637 2,76,9,778,836,228,89 9,628,3 6,387,9 2,,8 68,79,8 2,,78,68,7,32,922 6,728 2,3,3 26,9,333 29,939,937,3,88 73,29,889 3,32,9 2,98,783 2,73,83 28,628 78,73,83 2,768,62,3,96 22,762,23 6,87 6,88,69 9,7,62,66,9 6,9,98, 67,87,26,9, 6,323,6 3,,669,96,98,68,737 9,23, 3,7,9, 27,77,68 6,,7 2,2,7 9,763,6,27,72 2,33,666,68,99,2,6 8,7,22 6,237,2 6,6,32,,3 87,662,86,6,8 23,88,7 6,69,78 36,39,22 6,993,78 2,37,387 7,33,8 39,79,273 8,7 3,879,229 2,2,76 6,73,8 23,28,73,67 69,66 2,677,6 2,92 9,6 6,8,86,33 8,878,8,883,6 23,668,9,3 7,28,666 33,6,666,69 6,36 2,22, 76,,772,2 3,82,963 8,72,98 33,939,876,37,66,832 3,3,627 6,73,3 32,82,227,7,27,867 26,78,26,276,9 2,239,86,3 9 Total Reduction in TV School Non-School 2,83,39 8,36,,,2 9,7,229,83,988 67,288,66 2,2,8 6,6,2 7,27,97,38,38 7,92,76 2,669,62 27,,973 2,69,86 9,7,62 78,96,28 37,82,28 3,932,63 6,7,9 2,3,29,8,67 8,69,8 2,9,8 9,28,6 3,96,7 9,2,89 8,9,,8,83 7,268,9,9, 6,922,2 2,33,2,6,38 7,268,9,39,32 8,,9 9,63,78 2,636,77,6,979,972,2 78,868,3 3,8,36 3,7,963,98,8 2,3,29,6,7 6,,36 2,88,2 7,696,79 2,89,9 2,2,393,6,983,7,96 /8/9

10 Widows, Blind, Disabled Exemption Increase A B HB /SB 22 C D E F G H Growth & Impact Estimates 2 3 Statewide Total Impact 6 7 Reduction in TV 28 Statewide Millage Rates Tax Impact School 2,2,393,6 Non-School,983,7, ,,.822 2,8, Growth Rates Population Growth Rate First year gross up factor due to.8% low value of current exemption % Low 2% 22.9% Middle 7%.% High % % 223 Population growth rates from the November, 28 Demographic Estimating Conference Year Impact Year School Impact High (6,93,62) (7,2,3) (7,6,9) (7,72,338) (7,98,39) Middle (,76,93) (6,7,7) (6,26,23) (6,8,7) (6,79,2) Low (,28,2) (,29,69) (,87,6) (,7,7) (,928,) Adopted (,2,228) (,,33) (,76,979) (6,2,888) (6,32,72) Year Non-School Impact High Middle (2,,262) (23,32,288) (2,,3) (23,67,297) (2,82,86) (2,23,999) (26,9,997) (2,369,9) (26,6,6) (2,78,687) Low (22,222,928) (22,6,6) (22,9,382) (23,23,62) (23,,7) Adopted (22,332,3) (22,787,89) (23,2,373) (23,692,26) (2,,39) Total Impact High Year Cash (2.6 M) (3.3 M) (3.9 M) (. M) Middle Recurring (2. M) (2.6 M) (3.3 M) (3.9 M) (. M) Cash (39.7 M) (.3 M) (.9 M) (. M) Low Recurring (39. M) (39.7 M) (.3 M) (.9 M) (. M) Cash (37.8 M) (38. M) (38.9 M) (39. M) Recurring (37.3 M) (37.8 M) (38. M) (38.9 M) (39. M) /8/9

11 REVENUE ESTIMATING CONFERENCE Tax: Sales and Use Tax Issue: Sales Tax Exemption for Diapers and Incontinence Products Bill Number(s): SB 6 X Entire Bill Partial Bill: Sponsor(s): Senator Book Month/Year Impact Begins: January, 22 Date of Analysis: January 8, 29 Section : Narrative a. Current Law: Currently there is no sales tax exemption for diapers and incontinence products. b. Proposed Change: SB 6 exempts the sale of diapers, incontinence undergarments, incontinence pads, or incontinence liners from the sale and use tax. Section 2: Description of Data and Sources IBISWorld Industry Report OD62 Diaper Manufacturing (September 28) Florida Demographic Estimating Conference, November 28 U.S. Census Bureau, American Community Survey 27 Section 3: Methodology (Include Assumptions and Attach Details) This analysis uses as a base the methodology adopted for CS/SB 22 by the REC on March 3, 27. The methodology uses national data on diaper manufacturing from IBISWorld. Baby diapers represent 68.8% of the industry total. Baby diapers includes disposable diapers, training pants and cloth diapers. Adult diapers includes incontinence products such as adult incontinence undergarments, incontinence pads, or incontinence liners. The Florida share of baby diapers and adult diapers is calculated given the population of children and under and the population of adults ages 6 and over. A % retail markup is applied to the estimated manufacturing industry revenue to calculate the total Florida Sales Tax Revenue from diapers and incontinence products. The growth in the population of children ages to and the growth in the adult population 6 and over is used to calculate the future years revenue from diapers and incontinence products. The estimated Florida sales tax revenue on diapers and incontinence products using this methodology is provided on line 7. Section : Proposed Fiscal Impact High Middle Low Cash Recurring Cash Recurring Cash Recurring 29-2 (22.6) (.) 22-2 (.6) (.6) (6.9) (6.9) (8.2) (8.2) (9.) (9.) List of affected Trust Funds: General Sales and Use Tax Grouping Section : Consensus Estimate (Adopted: /8/29): The Conference adopted the proposed estimate. GR Trust Revenue Sharing Local Half Cent Cash Recurring Cash Recurring Cash Recurring Cash Recurring 29-2 (2.) (8.2) (Insignificant) (Insignificant) (.7) (.6) (.9) (.6) 22-2 (9.3) (9.3) (Insignificant) (Insignificant) (.6) (.6) (.7) (.7) (.) (.) (Insignificant) (Insignificant) (.7) (.7) (.8) (.8) (.6) (.6) (Insignificant) (Insignificant) (.7) (.7) (.9) (.9) (2.6) (2.6) (Insignificant) (Insignificant) (.7) (.7) (.) (.)

12 REVENUE ESTIMATING CONFERENCE Tax: Sales and Use Tax Issue: Sales Tax Exemption for Diapers and Incontinence Products Bill Number(s): SB 6 Local Option Total Local Total Cash Recurring Cash Recurring Cash Recurring 29-2 (2.) (6.) (.) (2.3) (2.) (6.) 22-2 (6.3) (6.3) (2.6) (2.6) (6.9) (6.9) (6.) (6.) (2.9) (2.9) (63.3) (63.3) (6.6) (6.6) (3.2) (3.2) (6.8) (6.8) (6.7) (6.7) (3.) (3.) (66.) (66.) 2

13 A B C D 2 Senate Bill 6 (29 Session) - Sales Tax Exemption for Diapers and Incontinence Products IBISWorld - US Manufacturing Diaper Industry Data F G H I FY8-9 FY9-2 FY2-2 FY2-22 FY22-23 FY23-2 3,877,66.% 32,3,62.% 32,8,22.% 33,32,9.6% 33,83,92.% 3,33,32.% 2,386,22 3.2% 22,38,79 3.% 22,777,72 3.% 23,6,68 3.% 2,3,72 3.3% 2,2,7 3.2% 2,29,623 3,263,98,3,7,8,9 6,89,72 8,79,97 *Baby diapers includes disposible diapers, training pants and cloth diapers. Adult diapers includes incontinence products such as adult diapers and pads for incontinence. 9,3,89 Total Industry Revenue in U.S. FY7-8 2,7,3, E Baby Diapers* Industry Revenue (68.8% of total) Florida Share of Revenue (.7%) Florida Sales Tax Revenue - Baby Diapers** Growth in population and under (FDEC) 8,7,92,8 23,88,87 3,,28 Adult Diapers* Industry Revenue (3.2% of total) Florida Share of Revenue (8.3%) Florida Sales Tax Revenue - Adult Diapers & Incontience Products** Growth in population 6 and over (FDEC) 3,963,77,2 3,238,969 2,7,338 Total Estimated Florida Sales Tax Revenue on Diapers & Incontinence Products **Estimated Sales Tax Revenue assumes a.% retail markup on diapers and incontinence products. Based on IBISWorld report, the average profit margin in the baby product market is.%. The baby product market includes retailers who sell baby products. Date of analysis: /8/29 3