§ 23-5. Definitions of Terms

The following words, phrases, and terms shall have the same meanings attributed to them in current Florida Statutes and the Florida Administrative Code, except where indicated otherwise:

Applicant — Any person, firm, partnership, or corporation who files an application with the City seeking an Economic Development Ad Valorem Tax Exemption.

Business — Any for-profit activity engaged in by any person, firm, partnership, corporation, or other business organization or entity.

City — City of Tavares, Florida

Council — City Council for the City of Tavares

Department — The Florida Department of Revenue.

Economic Development Ad Valorem Tax Exemption — ad valorem tax exemption granted by the Council in its discretion to a qualifying New Business and/or an Expansion of an Existing Business for up to 100% of the City ad valorem tax levied on the qualifying property of said Business for a period up to ten (10) years; provided, however, the exemption shall not apply to taxes levied for the payment of bonds or taxes authorized by a vote of the electors pursuant to Section 9 and Section 12, Article VII of the State Constitution.

Enterprise Zone — An area designated as an enterprise zone pursuant to Section 290.0065, Florida Statutes.

Expansion of an Existing Business —

(1)

A business establishing ten (10) or more jobs to employ ten (10) or more full-time employees in the City 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 twenty-five (25) or more jobs to employ twenty-five (25) or more full-time employees in the City, the sales factor for which, as defined in this Section, is less than fifty (50%) percent inside the Metropolitan Statistical Area for each year the exemption is claimed; provided that such business increases operations on a site co-located with a commercial or industrial operation owned by the same business, resulting in a net increase in employment of not less than ten (10%) percent or an increase in productive output of not less than ten (10%) percent.

Goods — All personal property when purchased primarily for personal, family, or household use, but not including personal property sold for commercial or industrial use.

Improvements — Physical changes made to raw land, and structures placed on or under the land surface.

Metropolitan Statistical Area (MSA) — Refers to a geographical region with a relatively high population density at its core and close economic ties throughout the area. Such areas are not legally incorporated. For purposes of this Section, the MSA includes Lake, Sumter and Orange counties.

New Business —

(1)

A business establishing ten (10) or more jobs to employ ten (10) or more full-time employees in the City 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 twenty-five (25) or more jobs to employ twenty-five (25) or more full-time employees in the City, the sales factor for which, as defined in this Section, herein, is less than fifty (50%) percent inside the Metropolitan Statistical Area for each year the exemption is claimed; or

(3)

An office space in the City leased or owned and used by a corporation newly domiciled in the City; provided such office space houses fifty (50) or more full-time employees of such corporation; provided that such business or office first begins operation on a site clearly separate from any other commercial or industrial operation owned by the same business; or

(4)

Any business located in an enterprise zone (pursuant to Section 290.0065, Florida Statutes) and creating new full-time jobs in accordance with the business disciplines identified above.

Sales Factor — The sales factor is a fraction the numerator of which is the total sales of the taxpayer in the MSA 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.