Innovative Florida environmental site cleanup and Brownfield programs received a boost as the 2017 regular session of the Florida Legislature concluded. In June, Governor Rick Scott signed into law a measure designed to add flexibility and to quicken the pace of petroleum and drycleaner site cleanup using creative Florida Department of Environmental Protection (FDEP) programs.
Following another record year in state Voluntary Cleanup Tax Credit (VCTC) participation, Governor Rick Scott and the Florida Legislature doubled annual VCTC funding for voluntary Brownfield and contaminated site cleanup. These legislative moves will ready more sites for redevelopment across Florida.
The comprehensive tax legislation doubles the funding for Florida’s VCTC program. The VCTC tax credit is a key state financial incentive to encourage the voluntary cleanup and redevelopment of Brownfield sites and certain drycleaner sites affected by contamination.
Administered by FDEP, the Florida Legislature permanently increased VCTC funding from $5 million to $10 million per year as of July 1, 2017. Eligible sites can receive a 50% VCTC state tax credit applied to state corporate income tax for environmental cleanup costs incurred and paid for the calendar year. For 2016, the VCTC program had another record year, receiving applications seeking over $14 million in annual VCTC tax credits. VCTC tax credits are transferable to third parties on an open market.