Senate Bill 695 amends various sections of the statutes concerning local sales and use taxes, enabling counties and municipalities to impose these taxes at rates ranging from 0.1 to 0.5 percent on tangible personal property and taxable services. The bill allows the revenue generated from these taxes to be used for any purpose designated by local governing bodies, rather than being limited to property tax relief. It also introduces new provisions for the administration of these taxes and establishes a framework for the distribution of tax revenues, while excluding municipal sales and use tax revenues from calculations for expenditure restraint incentive program payments.

Additionally, the bill includes new legal language related to the management of various revenue sources and expenditures for municipal services, covering aspects such as tax revenues, grant payments, and expenditures for emergency services. It specifies that these expenditures must not exceed a calculated sum based on inflation and valuation factors from the previous year. The effective date for the act is set for July 1, 2026, allowing municipalities time to prepare for the new regulations regarding revenue and expenditure management.

Statutes affected:
Bill Text: 20.566(1)(g), 20.566, 20.566(1)(gi)(title), 20.835(4)(g), 20.835, 20.835(4)(gi)(title), 77.70(1), 77.70, 77.701(title), 77.701, 77.71(intro.), 77.71, 77.71(1), 77.71(2), 77.71(3), 77.71(4), 77.71(5), 79.05(2)(c), 79.05