Referenced Guidelines, Definitions, Site Rehabilitation Voluntary Cleanup Tax Credit Application Process, Affordable Housing Bonus Voluntary Cleanup Tax Credit Application Process, Solid Waste Removal ....

 

DEPARTMENT OF ENVIRONMENTAL PROTECTION

RULE NOS.:RULE TITLES:

62-788.151Referenced Guidelines

62-788.201Definitions

62-788.301Site Rehabilitation Voluntary Cleanup Tax Credit Application Process

62-788.321Affordable Housing Bonus Voluntary Cleanup Tax Credit Application Process

62-788.341Solid Waste Removal Voluntary Cleanup Tax Credit Application Process

NOTICE OF CHANGE

Notice is hereby given that the following changes have been made to the proposed rule in accordance with subparagraph 120.54(3)(d)1., F.S., published in Vol. 47 No. 199, October 13, 2021 issue of the Florida Administrative Register.

62-788.151 Referenced Guidelines.

Specific references to the guideline listed below are made within this chapter. The guideline is not a standard as defined in Section 403.803, F.S. Use of this guideline is not mandatory; the guideline is included for informational purposes only.

(1)  A Guideline for Agreed-Upon Procedures Attestation Service for the Voluntary Cleanup Tax Credit (VCTC) Program, dated December 2021 November 2020. Copies of this guideline are available from the Department’s Voluntary Cleanup Tax Credit (VCTC) Program, Mail Station 4505, 2600 Blair Stone Road, Tallahassee, Florida 32399-2400, or online at https:://floridadep.gov/waste/waste-cleanup/documents/vctc-cpa- guidelines or < DOS LINK>.

(2)  No change.

Rulemaking Authority 376.30781 FS. Law Implemented 220.1845, 376.30781 FS. History–New.

 

62-788.201 Definitions.

(1)  All words and phrases defined in Sections 376.301, 376.30781, 376.79, and 403.703, F.S., shall have the same meaning when used in this chapter unless otherwise set forth in this subsection section or unless the context clearly indicates otherwise. See Sections 376.301 and 376.79, F.S., for definitions of the following: “Contaminant,” “Contaminated site,” “Department,” “Engineering controls,” “Person,” and “Site rehabilitation.”

See Section 376.301, F.S., for the definitions of the following: “Drycleaning facility,” “Drycleaning solvents,” and “Real property owner.” See Section 376.30781, F.S., for definitions of the following: “Integral to site

rehabilitation,” “Solid waste disposal area,” “Monetary compensation,” and “Solid waste removal.” See Section 376.79, F.S., for definitions of the following: “Brownfield area,” “Brownfield sites,” “Local pollution control program,” and “Person responsible for brownfield site rehabilitation.” See Section 403.703, F.S., for definitions of the following: “Recovered materials” and “Solid waste.” See Section 420.0004, F.S., for the definition of “Affordable.”

(2)  “Integral to site rehabilitation” means work that is necessary to implement the requirements of Chapter 62- 780, F.A.C.

(3)(2) No change.

Rulemaking Authority 376.30781 FS. Law Implemented 220.1845, 376.301, 376.30781, 376.79, 403.703 FS. History–New              .

 

62-788.301 Site Rehabilitation Voluntary Cleanup Tax Credit Application Process.

(1)  No change.

(2)  Complete applications for the annual site rehabilitation tax credit must be received by the Department’s Division of Waste Management in Tallahassee by 5:00 p.m. (Eastern Standard Time) on January 31 of the year following the calendar year for which a tax credit applicant is claiming site rehabilitation costs. If January 31 falls on a weekend, then the deadline moves forward to the next business day. A tax credit applicant shall submit an application using Form 62-788.101(1), incorporated by reference in subsection 62-788.101(1), F.A.C. In addition to the requirements of subsection 62-788.101(3), F.A.C., the application must include the following:

(a)  through (b) No change.

(c)  Proof that the tax credit applicant has entered into a voluntary cleanup agreement (VCA) VCA or a BSRA, as applicable. A copy of the cover page and the signature page(s) of the VCA or BSRA, as applicable, will suffice as proof;

(d)  through (f) No change.

(g) Proof that the documentation submitted pursuant to paragraph (e) has been reviewed and verified by an independent CPA in accordance with standards established by the American Institute of Certified Public Accountants [Section VI. of Form 62-788.101(1), incorporated by reference in subsection 62-788.101(1), F.A.C.]. The CPA’s report shall clearly state the total amount claimed in the application and the total amount approved by the CPA. A copy of the CPA’s report shall be submitted with the tax credit application [refer to A Guideline for Agreed- Upon Procedures Attestation Service for the Voluntary Cleanup Tax Credit (VCTC) Program, dated December

2021 November 2020, referenced in subsection 62-788.151(1), F.A.C.].

(3)  No change.

(4)  For purposes of Rule 62-788.301, F.A.C., integral costs are those the tax credit applicant(s) incurred and paid in the applicable timeframe that were “integral to site rehabilitation,” as defined in Rule 62-788.201, F.A.C.

Site rehabilitation costs include activities conducted pursuant to Chapter 62-780, F.A.C. Costs that are not integral to site rehabilitation under this section include, but are not limited to, the following:

(a)  through (g) No change.

(h)  Costs for Hazardous Waste Operations and Emergency Response HAZWOPER training of staff;

(i)  No change.

(j)  Costs of administrative activities or legal discussions related to such things as property transactions, contracts, late fees, or financial audits not directly associated with integral to site rehabilitation activities activity;

(k)  through (l) No change.

(m) Costs for engineering controls that are not integral to site rehabilitation. Building slabs or foundations can be approved engineering controls over contaminated material to reduce or eliminate the potential for migration of, or exposure to, contaminants, pursuant to Rules 62-780.301 and 62-780.680, F.A.C., including the supporting subbase material (fill pad) and the poured slab or foundation. Building slab and foundation costs are prorated in relation to what is integral to site rehabilitation essential for the engineering control to be effective to reduce or eliminate potential for migration of or exposure to contaminants per Chapter 62-780, F.A.C., and will exclude any costs associated with the slab or foundation that are in excess of what is required to be an engineering control. In

addition, costs claims for thicker sidewalks or parking lots, rebar reinforcement, excess subbase material, building footers or stem walls that are not integral to site rehabilitation essential for the engineering control to be effective to reduce or eliminate potential for migration of or exposure to contaminants per Chapter 62-780, F.A.C., will also be excluded if they are in excess of what is required to be an engineering control.

(5)  No change.

Rulemaking Authority 376.30781 FS. Law Implemented 220.1845, 376.30781 FS. History–New.

 

62-788.321 Affordable Housing Bonus Voluntary Cleanup Tax Credit Application Process.

(1) through (2) No change.

(3)  Complete applications for the affordable housing bonus tax credit must be submitted to the Department’s Division of Waste Management in Tallahassee. A tax credit applicant shall submit an application using Form 62- 788.101(1), incorporated by reference in subsection 62-788.101(1), F.A.C. In addition to the requirements of subsection 62-788.101(3), F.A.C., the application must include the following:

(a)  No change.

(b)  A certification letter pursuant to Section 376.30781(3)(d), F.S.; and

(4)  No change.

Rulemaking Authority 376.30781 FS. Law Implemented 220.1845, 376.30781 FS. History–New.

 

62-788.341 Solid Waste Removal Voluntary Cleanup Tax Credit Application Process.

(1)  A tax credit applicant, or multiple tax credit applicants jointly conducting solid waste removal from a brownfield site, as identified and described in the BSRA, and claiming the solid waste removal tax

credit can cab file a one-time application for this tax credit using Form 62-788.101(1), incorporated by reference in subsection 62-788.101(1), F.A.C. The solid waste removal tax credit shall be calculated using the percentage and the amount for the Solid Waste Removal Tax Credit Type in Table 1, based upon the costs for solid waste removal from the brownfield site that have been incurred and paid since July 1, 2006. If multiple tax credit applicants are

submitting an application, then they must indicate on the application form each tax credit applicant’s percentage contribution toward payment of solid waste removal costs since July 1, 2006. Claims for the solid waste removal tax

credit are not subject to a calendar-year limitation or annual filing deadline. Instead, the tax credit applicant shall submit the one-time solid waste removal VCTC claim when the tax credit applicant determines that the solid waste removal is complete.

(2)  No change.

(3)  Complete applications for the solid waste removal tax credit must be submitted to the Department’s Division of Waste Management in Tallahassee. A tax credit applicant shall submit an application using Form 62- 788.101(1), incorporated by reference in subsection 62-788.101(1), F.A.C. In addition to the requirements of subsection 62-788.101(3), F.A.C., the application must include the following:

(a)  through (e) No change.

(f) Proof that the documentation submitted pursuant to paragraph (d) has been reviewed and verified by an independent CPA in accordance with standards established by the American Institute of Certified Public Accountants [Section VI. of Form 62-788.101(1), incorporated by reference in subsection 62-788.101(1), F.A.C.]. The CPA’s report shall also clearly state the total amount claimed in the application and the total amount approved by the CPA. A copy of the CPA’s report shall be submitted with the tax credit application [refer to A Guideline for Agreed-Upon Procedures Attestation Service for the Voluntary Cleanup Tax Credit (VCTC) Program,

dated December 2021 November 2020, referenced in subsection 62-788.151(1), F.A.C.].

(4)  through (7) No change.

Rulemaking Authority 376.30781 FS. Law Implemented 220.1845, 376.30781 FS. History–New.

 

Form 62-788.101(1) Voluntary Cleanup Tax Credit Application and Affidavit: Section V. – Technical Professional Certification was modified to remove “and paid by the applicant and claimed” as additional items a registered technical professional was to attest to; and Section VI. – Certified Public Accountant Certification was modified to remove references to A Guideline for Agreed-Upon Procedures Attestation Service for the Voluntary Cleanup Tax Credit (VCTC) Program as additional items a certified public accountant was to attest to.

 

Referenced guideline A Guideline for Agreed-Upon Procedures Attestation Service for the Voluntary Cleanup Tax Credit (VCTC) Program, December 2021, has been updated to reflect the guideline is not mandatory and the version date updated.

 

To view the changes to the Form 62-788.101(1) Voluntary Cleanup Tax Credit Application and Affidavit and referenced guideline, A Guideline for Agreed-Upon Procedures Attestation Service for the Voluntary Cleanup Tax Credit (VCTC) Program, December 2021, go to https://floridadep.gov/waste/waste- cleanup/content/vctc%C2%A02021-rulemaking.