Committee advances Space Florida tax-exemption bill to support aerospace and semiconductor activity

The Senate Committee on Military, Veterans Affairs, Space and Domestic Security on Jan. 27 reported SB1512 favorably. The bill, presented by Senator Burgess, would expand an existing exemption to exclude from sales-and-use taxation certain tangible personal property owned by federal, state, or local government entities and used by lessees solely in connection with semiconductor, defense or aerospace contracts, programs or projects.

Senator Burgess said the change would help "Space Florida take off to a whole new ... launching pad" and stressed the state's existing and planned investments: "Since 2019 alone, Florida has invested over $541,000,000 in spaceport infrastructure with a total of 2,400,000,000.0 in cumulative investment for aviation and space projects," he told the committee.

Appearance forms indicated support from Lindsey Pierce representing Space Florida and Colton Medill from the Florida Chamber of Commerce, both of whom waived to speak in support. Senator Burgess also noted a proposed procurement change in the bill that would allow Space Florida not to be subject to competitive bidding when state funds are not used.

The committee recorded a favorable report on SB1512 and sent it forward for further consideration.

Why it matters: Proponents say the bill will strengthen Florida's aerospace and semiconductor ecosystem and keep the state competitive with other states investing in similar infrastructure.

Next steps: SB1512 was reported favorably and will proceed to subsequent legislative steps.