Florida Senate - 2011                                    SJR 412
       
       
       
       By Senator Bennett
       
       
       
       
       21-00370-11                                            2011412__
    1                       Senate Joint Resolution                     
    2         A joint resolution proposing an amendment to Sections
    3         3 and 4 of Article VII and the creation of a new
    4         section in Article XII of the State Constitution,
    5         relating to the property tax exemption for a renewable
    6         energy source device and the property on which the
    7         device is installed and operated.
    8  
    9  Be It Resolved by the Legislature of the State of Florida:
   10  
   11         That the following amendment to Sections 3 and 4 of Article
   12  VII and the creation of a new section in Article XII of the
   13  State 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 3. Taxes; exemptions.—
   20         (a) All property owned by a municipality and used
   21  exclusively by it for municipal or public purposes shall be
   22  exempt from taxation. A municipality, owning property outside
   23  the municipality, may be required by general law to make payment
   24  to the taxing unit in which the property is located. Such
   25  portions of property as are used predominantly for educational,
   26  literary, scientific, religious or charitable purposes may be
   27  exempted by general law from taxation.
   28         (b) There shall be exempt from taxation, cumulatively, to
   29  every head of a family residing in this state, household goods
   30  and personal effects to the value fixed by general law, not less
   31  than one thousand dollars, and to every widow or widower or
   32  person who is blind or totally and permanently disabled,
   33  property to the value fixed by general law not less than five
   34  hundred dollars.
   35         (c) Any county or municipality may, for the purpose of its
   36  respective tax levy and subject to the provisions of this
   37  subsection and general law, grant community and economic
   38  development ad valorem tax exemptions to new businesses and
   39  expansions of existing businesses, as defined by general law.
   40  Such an exemption may be granted only by ordinance of the county
   41  or municipality, and only after the electors of the county or
   42  municipality voting on such question in a referendum authorize
   43  the county or municipality to adopt such ordinances. An
   44  exemption so granted shall apply to improvements to real
   45  property made by or for the use of a new business and
   46  improvements to real property related to the expansion of an
   47  existing business and shall also apply to tangible personal
   48  property of such new business and tangible personal property
   49  related to the expansion of an existing business. The amount or
   50  limits of the amount of such exemption shall be specified by
   51  general law. The period of time for which such exemption may be
   52  granted to a new business or expansion of an existing business
   53  shall be determined by general law. The authority to grant such
   54  exemption shall expire ten years from the date of approval by
   55  the electors of the county or municipality, and may be renewable
   56  by referendum as provided by general law.
   57         (d) By general law and subject to conditions specified in
   58  that law, the legislature may grant an ad valorem tax exemption
   59  to a renewable energy source device and to the real property on
   60  which the device is installed and operated. The value of the
   61  exemption shall be fixed by general law and may not exceed the
   62  original cost of the device. The duration of the exemption as
   63  applied to any device and real property shall be fixed by
   64  general law and may not exceed ten years.
   65         (e)(d) Any county or municipality may, for the purpose of
   66  its respective tax levy and subject to the provisions of this
   67  subsection and general law, grant historic preservation ad
   68  valorem tax exemptions to owners of historic properties. This
   69  exemption may be granted only by ordinance of the county or
   70  municipality. The amount or limits of the amount of this
   71  exemption and the requirements for eligible properties must be
   72  specified by general law. The period of time for which this
   73  exemption may be granted to a property owner shall be determined
   74  by general law.
   75         (f)(e) By general law and subject to conditions specified
   76  therein, twenty-five thousand dollars of the assessed value of
   77  property subject to tangible personal property tax shall be
   78  exempt from ad valorem taxation.
   79         (g)(f) There shall be granted an ad valorem tax exemption
   80  for real property dedicated in perpetuity for conservation
   81  purposes, including real property encumbered by perpetual
   82  conservation easements or by other perpetual conservation
   83  protections, as defined by general law.
   84         (h)(g) By general law and subject to the conditions
   85  specified therein, each person who receives a homestead
   86  exemption as provided in section 6 of this article; who was a
   87  member of the United States military or military reserves, the
   88  United States Coast Guard or its reserves, or the Florida
   89  National Guard; and who was deployed during the preceding
   90  calendar year on active duty outside the continental United
   91  States, Alaska, or Hawaii in support of military operations
   92  designated by the legislature shall receive an additional
   93  exemption equal to a percentage of the taxable value of his or
   94  her homestead property. The applicable percentage shall be
   95  calculated as the number of days during the preceding calendar
   96  year the person was deployed on active duty outside the
   97  continental United States, Alaska, or Hawaii in support of
   98  military operations designated by the legislature divided by the
   99  number of days in that year.
  100         SECTION 4. Taxation; assessments.—By general law
  101  regulations shall be prescribed which shall secure a just
  102  valuation of all property for ad valorem taxation, provided:
  103         (a) Agricultural land, land producing high water recharge
  104  to Florida’s aquifers, or land used exclusively for
  105  noncommercial recreational purposes may be classified by general
  106  law and assessed solely on the basis of character or use.
  107         (b) As provided by general law and subject to conditions,
  108  limitations, and reasonable definitions specified therein, land
  109  used for conservation purposes shall be classified by general
  110  law and assessed solely on the basis of character or use.
  111         (c) Pursuant to general law tangible personal property held
  112  for sale as stock in trade and livestock may be valued for
  113  taxation at a specified percentage of its value, may be
  114  classified for tax purposes, or may be exempted from taxation.
  115         (d) All persons entitled to a homestead exemption under
  116  Section 6 of this Article shall have their homestead assessed at
  117  just value as of January 1 of the year following the effective
  118  date of this amendment. This assessment shall change only as
  119  provided in this subsection.
  120         (1) Assessments subject to this subsection shall be changed
  121  annually on January 1st of each year; but those changes in
  122  assessments shall not exceed the lower of the following:
  123         a. Three percent (3%) of the assessment for the prior year.
  124         b. The percent change in the Consumer Price Index for all
  125  urban consumers, U.S. City Average, all items 1967=100, or
  126  successor reports for the preceding calendar year as initially
  127  reported by the United States Department of Labor, Bureau of
  128  Labor Statistics.
  129         (2) No assessment shall exceed just value.
  130         (3) After any change of ownership, as provided by general
  131  law, homestead property shall be assessed at just value as of
  132  January 1 of the following year, unless the provisions of
  133  paragraph (8) apply. Thereafter, the homestead shall be assessed
  134  as provided in this subsection.
  135         (4) New homestead property shall be assessed at just value
  136  as of January 1st of the year following the establishment of the
  137  homestead, unless the provisions of paragraph (8) apply. That
  138  assessment shall only change only as provided in this
  139  subsection.
  140         (5) Changes, additions, reductions, or improvements to
  141  homestead property shall be assessed as provided for by general
  142  law; provided, however, after the adjustment for any change,
  143  addition, reduction, or improvement, the property shall be
  144  assessed as provided in this subsection.
  145         (6) In the event of a termination of homestead status, the
  146  property shall be assessed as provided by general law.
  147         (7) The provisions of this amendment are severable. If any
  148  of the provisions of this amendment shall be held
  149  unconstitutional by any court of competent jurisdiction, the
  150  decision of such court shall not affect or impair any remaining
  151  provisions of this amendment.
  152         (8)a. A person who establishes a new homestead as of
  153  January 1, 2009, or January 1 of any subsequent year and who has
  154  received a homestead exemption pursuant to Section 6 of this
  155  Article as of January 1 of either of the two years immediately
  156  preceding the establishment of the new homestead is entitled to
  157  have the new homestead assessed at less than just value. If this
  158  revision is approved in January of 2008, a person who
  159  establishes a new homestead as of January 1, 2008, is entitled
  160  to have the new homestead assessed at less than just value only
  161  if that person received a homestead exemption on January 1,
  162  2007. The assessed value of the newly established homestead
  163  shall be determined as follows:
  164         1. If the just value of the new homestead is greater than
  165  or equal to the just value of the prior homestead as of January
  166  1 of the year in which the prior homestead was abandoned, the
  167  assessed value of the new homestead shall be the just value of
  168  the new homestead minus an amount equal to the lesser of
  169  $500,000 or the difference between the just value and the
  170  assessed value of the prior homestead as of January 1 of the
  171  year in which the prior homestead was abandoned. Thereafter, the
  172  homestead shall be assessed as provided in this subsection.
  173         2. If the just value of the new homestead is less than the
  174  just value of the prior homestead as of January 1 of the year in
  175  which the prior homestead was abandoned, the assessed value of
  176  the new homestead shall be equal to the just value of the new
  177  homestead divided by the just value of the prior homestead and
  178  multiplied by the assessed value of the prior homestead.
  179  However, if the difference between the just value of the new
  180  homestead and the assessed value of the new homestead calculated
  181  pursuant to this sub-subparagraph is greater than $500,000, the
  182  assessed value of the new homestead shall be increased so that
  183  the difference between the just value and the assessed value
  184  equals $500,000. Thereafter, the homestead shall be assessed as
  185  provided in this subsection.
  186         b. By general law and subject to conditions specified
  187  therein, the Legislature shall provide for application of this
  188  paragraph to property owned by more than one person.
  189         (e) The legislature may, by general law, for assessment
  190  purposes and subject to the provisions of this subsection, allow
  191  counties and municipalities to authorize by ordinance that
  192  historic property may be assessed solely on the basis of
  193  character or use. Such character or use assessment shall apply
  194  only to the jurisdiction adopting the ordinance. The
  195  requirements for eligible properties must be specified by
  196  general law.
  197         (f) A county may, in the manner prescribed by general law,
  198  provide for a reduction in the assessed value of homestead
  199  property to the extent of any increase in the assessed value of
  200  that property which results from the construction or
  201  reconstruction of the property for the purpose of providing
  202  living quarters for one or more natural or adoptive grandparents
  203  or parents of the owner of the property or of the owner’s spouse
  204  if at least one of the grandparents or parents for whom the
  205  living quarters are provided is 62 years of age or older. Such a
  206  reduction may not exceed the lesser of the following:
  207         (1) The increase in assessed value resulting from
  208  construction or reconstruction of the property.
  209         (2) Twenty percent of the total assessed value of the
  210  property as improved.
  211         (g) For all levies other than school district levies,
  212  assessments of residential real property, as defined by general
  213  law, which contains nine units or fewer and which is not subject
  214  to the assessment limitations set forth in subsections (a)
  215  through (d) shall change only as provided in this subsection.
  216         (1) Assessments subject to this subsection shall be changed
  217  annually on the date of assessment provided by law; but those
  218  changes in assessments shall not exceed ten percent (10%) of the
  219  assessment for the prior year.
  220         (2) No assessment shall exceed just value.
  221         (3) After a change of ownership or control, as defined by
  222  general law, including any change of ownership of a legal entity
  223  that owns the property, such property shall be assessed at just
  224  value as of the next assessment date. Thereafter, such property
  225  shall be assessed as provided in this subsection.
  226         (4) Changes, additions, reductions, or improvements to such
  227  property shall be assessed as provided for by general law;
  228  however, after the adjustment for any change, addition,
  229  reduction, or improvement, the property shall be assessed as
  230  provided in this subsection.
  231         (h) For all levies other than school district levies,
  232  assessments of real property that is not subject to the
  233  assessment limitations set forth in subsections (a) through (d)
  234  and (g) shall change only as provided in this subsection.
  235         (1) Assessments subject to this subsection shall be changed
  236  annually on the date of assessment provided by law; but those
  237  changes in assessments shall not exceed ten percent (10%) of the
  238  assessment for the prior year.
  239         (2) No assessment shall exceed just value.
  240         (3) The legislature must provide that such property shall
  241  be assessed at just value as of the next assessment date after a
  242  qualifying improvement, as defined by general law, is made to
  243  such property. Thereafter, such property shall be assessed as
  244  provided in this subsection.
  245         (4) The legislature may provide that such property shall be
  246  assessed at just value as of the next assessment date after a
  247  change of ownership or control, as defined by general law,
  248  including any change of ownership of the legal entity that owns
  249  the property. Thereafter, such property shall be assessed as
  250  provided in this subsection.
  251         (5) Changes, additions, reductions, or improvements to such
  252  property shall be assessed as provided for by general law;
  253  however, after the adjustment for any change, addition,
  254  reduction, or improvement, the property shall be assessed as
  255  provided in this subsection.
  256         (i) The legislature, by general law and subject to
  257  conditions specified therein, may prohibit the consideration of
  258  any change or improvement made for the purpose of improving the
  259  property’s resistance to wind damage the following in the
  260  determination of the assessed value of real property used for
  261  residential purposes:
  262         (1)Any change or improvement made for the purpose of
  263  improving the property’s resistance to wind damage.
  264         (2)The installation of a renewable energy source device.
  265         (j)(1) The assessment of the following working waterfront
  266  properties shall be based upon the current use of the property:
  267         a. Land used predominantly for commercial fishing purposes.
  268         b. Land that is accessible to the public and used for
  269  vessel launches into waters that are navigable.
  270         c. Marinas and drystacks that are open to the public.
  271         d. Water-dependent marine manufacturing facilities,
  272  commercial fishing facilities, and marine vessel construction
  273  and repair facilities and their support activities.
  274         (2) The assessment benefit provided by this subsection is
  275  subject to conditions and limitations and reasonable definitions
  276  as specified by the legislature by general law.
  277                             ARTICLE XII                           
  278                              SCHEDULE                             
  279         Property tax exemption for a renewable energy source
  280  device.—
  281         (a) The authorization for the legislature to grant the ad
  282  valorem tax exemption for a renewable energy source device and
  283  the property on which the device is installed and operated
  284  pursuant to Section 3 of Article VII shall take effect January
  285  1, 2013.
  286         (b) The repeal of the authorization for the legislature to
  287  prohibit an increase in the assessed value of real property used
  288  for residential purposes as a result of installing a renewable
  289  energy source device shall take effect upon approval by the
  290  electors.
  291         BE IT FURTHER RESOLVED that the following statement be
  292  placed on the ballot:
  293                      CONSTITUTIONAL AMENDMENT                     
  294                    ARTICLE VII, SECTIONS 3 and 4                  
  295                             ARTICLE XII                           
  296         TAXATION OF RENEWABLE ENERGY SOURCE DEVICES.—Currently, the
  297  State Constitution authorizes the Legislature to prohibit the
  298  consideration of the existence of a renewable energy source
  299  device in determining the value of residential real property
  300  that is subject to property taxes. This proposed amendment to
  301  the State Constitution replaces that authorization with a
  302  provision that authorizes the Legislature to grant a property
  303  tax exemption for a renewable energy source device and the
  304  property on which it is installed for an amount not to exceed
  305  the purchase price of the device and for a duration not to
  306  exceed 10 years. Unlike the existing property tax benefit, the
  307  proposed property tax benefit is not limited to residential
  308  property.