CS/HJR 7057

1	House Joint Resolution
2	A joint resolution proposing an amendment to Section 4 of
3	Article VII and the creation of Section 31 of Article XII
4	of the State Constitution to reduce from 10 percent to 5
5	percent the limitation on annual assessment increases
6	applicable to nonhomestead real property and provide an
7	effective date.
8
9	Be It Resolved by the Legislature of the State of Florida:
10
11	That the following amendment to Section 4 of Article VII
12	and the creation of Section 31 of Article XII of the State
13	Constitution are agreed to and shall be submitted to the
14	electors of this state for approval or rejection at the next
15	general election or at an earlier special election specifically
16	authorized by law for that purpose:
17	ARTICLE VII
18	FINANCE AND TAXATION
19	SECTION 4.  Taxation; assessments.--By general law
20	regulations shall be prescribed which shall secure a just
21	valuation of all property for ad valorem taxation, provided:
22	(a)  Agricultural land, land producing high water recharge
23	to Florida's aquifers, or land used exclusively for
24	noncommercial recreational purposes may be classified by general
25	law and assessed solely on the basis of character or use.
26	(b)  As provided by general law and subject to conditions,
27	limitations, and reasonable definitions specified therein, land
28	used for conservation purposes shall be classified by general
29	law and assessed solely on the basis of character or use.
30	(c)  Pursuant to general law tangible personal property
31	held for sale as stock in trade and livestock may be valued for
32	taxation at a specified percentage of its value, may be
33	classified for tax purposes, or may be exempted from taxation.
34	(d)  All persons entitled to a homestead exemption under
35	Section 6 of this Article shall have their homestead assessed at
36	just value as of January 1 of the year following the effective
37	date of this amendment. This assessment shall change only as
38	provided in this subsection.
39	(1)  Assessments subject to this subsection shall be
40	changed annually on January 1st of each year; but those changes
41	in assessments shall not exceed the lower of the following:
42	a.  Three percent (3%) of the assessment for the prior
43	year.
44	b.  The percent change in the Consumer Price Index for all
45	urban consumers, U.S. City Average, all items 1967=100, or
46	successor reports for the preceding calendar year as initially
47	reported by the United States Department of Labor, Bureau of
48	Labor Statistics.
49	(2)  No assessment shall exceed just value.
50	(3)  After any change of ownership, as provided by general
51	law, homestead property shall be assessed at just value as of
52	January 1 of the following year, unless the provisions of
53	paragraph (8) apply. Thereafter, the homestead shall be assessed
54	as provided in this subsection.
55	(4)  New homestead property shall be assessed at just value
56	as of January 1st of the year following the establishment of the
57	homestead, unless the provisions of paragraph (8) apply. That
58	assessment shall only change as provided in this subsection.
59	(5)  Changes, additions, reductions, or improvements to
60	homestead property shall be assessed as provided for by general
61	law; provided, however, after the adjustment for any change,
62	addition, reduction, or improvement, the property shall be
63	assessed as provided in this subsection.
64	(6)  In the event of a termination of homestead status, the
65	property shall be assessed as provided by general law.
66	(7)  The provisions of this amendment are severable. If any
67	of the provisions of this amendment shall be held
68	unconstitutional by any court of competent jurisdiction, the
69	decision of such court shall not affect or impair any remaining
70	provisions of this amendment.
71	(8)a.  A person who establishes a new homestead as of
72	January 1, 2009, or January 1 of any subsequent year and who has
73	received a homestead exemption pursuant to Section 6 of this
74	Article as of January 1 of either of the two years immediately
75	preceding the establishment of the new homestead is entitled to
76	have the new homestead assessed at less than just value. If this
77	revision is approved in January of 2008, a person who
78	establishes a new homestead as of January 1, 2008, is entitled
79	to have the new homestead assessed at less than just value only
80	if that person received a homestead exemption on January 1,
81	2007. The assessed value of the newly established homestead
82	shall be determined as follows:
83	1.  If the just value of the new homestead is greater than
84	or equal to the just value of the prior homestead as of January
85	1 of the year in which the prior homestead was abandoned, the
86	assessed value of the new homestead shall be the just value of
87	the new homestead minus an amount equal to the lesser of
88	$500,000 or the difference between the just value and the
89	assessed value of the prior homestead as of January 1 of the
90	year in which the prior homestead was abandoned. Thereafter, the
91	homestead shall be assessed as provided in this subsection.
92	2.  If the just value of the new homestead is less than the
93	just value of the prior homestead as of January 1 of the year in
94	which the prior homestead was abandoned, the assessed value of
95	the new homestead shall be equal to the just value of the new
96	homestead divided by the just value of the prior homestead and
97	multiplied by the assessed value of the prior homestead.
98	However, if the difference between the just value of the new
99	homestead and the assessed value of the new homestead calculated
100	pursuant to this sub-subparagraph is greater than $500,000, the
101	assessed value of the new homestead shall be increased so that
102	the difference between the just value and the assessed value
103	equals $500,000. Thereafter, the homestead shall be assessed as
104	provided in this subsection.
105	b.  By general law and subject to conditions specified
106	therein, the Legislature shall provide for application of this
107	paragraph to property owned by more than one person.
108	(e)  The legislature may, by general law, for assessment
109	purposes and subject to the provisions of this subsection, allow
110	counties and municipalities to authorize by ordinance that
111	historic property may be assessed solely on the basis of
112	character or use. Such character or use assessment shall apply
113	only to the jurisdiction adopting the ordinance. The
114	requirements for eligible properties must be specified by
115	general law.
116	(f)  A county may, in the manner prescribed by general law,
117	provide for a reduction in the assessed value of homestead
118	property to the extent of any increase in the assessed value of
119	that property which results from the construction or
120	reconstruction of the property for the purpose of providing
121	living quarters for one or more natural or adoptive grandparents
122	or parents of the owner of the property or of the owner's spouse
123	if at least one of the grandparents or parents for whom the
124	living quarters are provided is 62 years of age or older. Such a
125	reduction may not exceed the lesser of the following:
126	(1)  The increase in assessed value resulting from
127	construction or reconstruction of the property.
128	(2)  Twenty percent of the total assessed value of the
129	property as improved.
130	(g)  For all levies other than school district levies,
131	assessments of residential real property, as defined by general
132	law, which contains nine units or fewer and which is not subject
133	to the assessment limitations set forth in subsections (a)
134	through (d) shall change only as provided in this subsection.
135	(1)  Assessments subject to this subsection shall be
136	changed annually on the date of assessment provided by law; but
137	those changes in assessments shall not exceed five ten percent
138	(5%) (10%) of the assessment for the prior year.
139	(2)  No assessment shall exceed just value.
140	(3)  After a change of ownership or control, as defined by
141	general law, including any change of ownership of a legal entity
142	that owns the property, such property shall be assessed at just
143	value as of the next assessment date. Thereafter, such property
144	shall be assessed as provided in this subsection.
145	(4)  Changes, additions, reductions, or improvements to
146	such property shall be assessed as provided for by general law;
147	however, after the adjustment for any change, addition,
148	reduction, or improvement, the property shall be assessed as
149	provided in this subsection.
150	(h)  For all levies other than school district levies,
151	assessments of real property that is not subject to the
152	assessment limitations set forth in subsections (a) through (d)
153	and (g) shall change only as provided in this subsection.
154	(1)  Assessments subject to this subsection shall be
155	changed annually on the date of assessment provided by law; but
156	those changes in assessments shall not exceed five ten percent
157	(5%) (10%) of the assessment for the prior year.
158	(2)  No assessment shall exceed just value.
159	(3)  The legislature must provide that such property shall
160	be assessed at just value as of the next assessment date after a
161	qualifying improvement, as defined by general law, is made to
162	such property. Thereafter, such property shall be assessed as
163	provided in this subsection.
164	(4)  The legislature may provide that such property shall
165	be assessed at just value as of the next assessment date after a
166	change of ownership or control, as defined by general law,
167	including any change of ownership of the legal entity that owns
168	the property. Thereafter, such property shall be assessed as
169	provided in this subsection.
170	(5)  Changes, additions, reductions, or improvements to
171	such property shall be assessed as provided for by general law;
172	however, after the adjustment for any change, addition,
173	reduction, or improvement, the property shall be assessed as
174	provided in this subsection.
175	(i)  The legislature, by general law and subject to
176	conditions specified therein, may prohibit the consideration of
177	the following in the determination of the assessed value of real
178	property used for residential purposes:
179	(1)  Any change or improvement made for the purpose of
180	improving the property's resistance to wind damage.
181	(2)  The installation of a renewable energy source device.
182	(j)(1)  The assessment of the following working waterfront
183	properties shall be based upon the current use of the property:
184	a.  Land used predominantly for commercial fishing
185	purposes.
186	b.  Land that is accessible to the public and used for
187	vessel launches into waters that are navigable.
188	c.  Marinas and drystacks that are open to the public.
189	d.  Water-dependent marine manufacturing facilities,
190	commercial fishing facilities, and marine vessel construction
191	and repair facilities and their support activities.
192	(2)  The assessment benefit provided by this subsection is
193	subject to conditions and limitations and reasonable definitions
194	as specified by the legislature by general law.
195	ARTICLE XII
196	SCHEDULE
197	SECTION 31.  Property tax limit for nonhomestead
198	property.--The amendment to Section 4 of Article VII reducing
199	the limit on the maximum annual increase in the assessed value
200	of nonhomestead property from ten percent to five percent and
201	this section shall take effect January 1, 2011.
202	BE IT FURTHER RESOLVED that the following statement be
203	placed on the ballot:
204	CONSTITUTIONAL AMENDMENT
205	ARTICLE VII, SECTION 4
206	ARTICLE XII, SECTION 31
207	REDUCTION IN LIMITATION ON NONHOMESTEAD PROPERTY ANNUAL
208	ASSESSMENT INCREASES.--Proposing an amendment to the State
209	Constitution to reduce from 10 percent to 5 percent the
210	limitation on annual increases in assessments of nonhomestead
211	real property and provide an effective date of January 1, 2011.

CODING: Words stricken are deletions; words underlined are additions.