Title: Leases for Wireless Communication Facilities on State Property

Summary: Describing the types of Department of Transportation property eligible for factoring future revenues received by the department from leases for communication facilities on department property; authorizing the department to enter into agreements with investors to purchase the revenue streams from department leases of wireless communication facilities on such property; requiring the proceeds from such leases to be used for capital expenditures, etc.

Full Text:
An act relating to leases for wireless communication facilities on state property; creating s. 339.041, F.S.; providing legislative intent; describing the types of Department of Transportation property eligible for factoring future revenues received by the department from leases for communication facilities on department property; authorizing the department to enter into agreements with investors to purchase the revenue streams from department leases of wireless communication facilities on such property; prohibiting the department from pledging state credit; allowing the department to make certain covenants; providing for the appropriation and payment of moneys received from such agreements to investors; requiring the proceeds from such leases to be used for capital expenditures; providing an effective date. Be It Enacted by the Legislature of the State of Florida: Section 1. Section 339.041, Florida Statutes, is created to read: 339.041   Factoring of revenues from leases for wireless communication facilities.  (1)   The Legislature finds that efforts to increase funding for capital expenditures for the transportation system are necessary for the protection of the public safety and general welfare and for the preservation of transportation facilities in this state. It is,therefore, the intent of the Legi slature: (a) To create a mechanism for factoring future revenues received by the department from leases for wireless communication facilities on department property on a non recourse basis;(b)   To fund fixed capital expenditures for the statewide transportation system from proceeds generated through this mechanism;and (c)   To maximize revenues from factoring by ensuring that such revenues are exempt from in come taxation under federal law in order to increase funds available for capital expenditures. (2) For the purposes of factoring revenues under this section, department property include sreal property located within the department s limited access rights-of-way, property located outside the current operating right-of-way limits which is not needed to support current transportation facilities, other property owned by the Board of Trustees of the Internal Improvement Trust Fund and leased by the department, space on department telecommunications facilities, and space on department structures. (3) The department may seek investors willing to enter into agreements to purchase the revenue stream from one or more existing department leases for wireless communication facilities on property owned or controlled by the department.Such agreements shall be structured as tax-exempt financings for federal income tax purposes in order to result in the largest possible payout and are exempt from chapter 287. (4) The department may not pledge the credit, the general revenues, or the taxi ng power of the state or of an ypolitical subdivision of the state. The obligations of the department and investors under the agreement do not constitu te a general obligation of the state or a pledge of the full faith and credit or taxing power of the state. The agreement is payable from and secured solely by payments received from department leases for wireless communication facilities on property owned or controlled by the dep artment, and neither the state nor any of its agencies ha sany liability beyond such payments. (5)  The department may make any covenant or representation necessary or desirable i nconnection with the agreement, i nclud ing a commitment by the department to take whatever actions are necessary on behalf of investors to enforce the department s rights to payments on property leased for wireless communications facilities. However, the department may not guarantee that revenues actually received in a future year will be those anticipated in its leases for wireless communication facilities. The department may agree to use its best efforts to ensure that anticipated future-year revenues are protected. Any risk that actual revenues received from department leases for wireless communications facilities are lower than anticipated shall be borne exclusively by investors. (6) Subject to annual appropriation, the investors shall collect the lease payments on a schedule and in a manner established in the agreements entered into pursuant to this section between th edepartment and the investors. The agreements may provide for lease payments to be made directly to investors by lessees if the lease agreements entered into by the department and the lessees purs uant to s. 365.172(12)(f) allow direct payment. (7 ) Proceeds received by the department from leases for wireless communication facilities shall be deposited in the State Transportation Trust Fund cr eated under s. 206.46 and used for fixed capital expenditures for the statewide transportation system. Section 2. This act shall take effect July 1, 2014.