Florida Senate - 2011                        COMMITTEE AMENDMENT
       Bill No. CS for CS for SJR 658
       
       
       
       
       
       
                                Barcode 663244                          
       
                              LEGISLATIVE ACTION                        
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       The Committee on Budget (Fasano) recommended the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete everything after the resolving clause
    4  and insert:
    5         That the following amendments to Sections 4 and 6 of
    6  Article VII and Section 27 of Article XII and the creation of
    7  Sections 32 and 33 of Article XII of the State Constitution are
    8  agreed to and shall be submitted to the electors of this state
    9  for approval or rejection at the next general election or at an
   10  earlier special election specifically authorized by law for that
   11  purpose:
   12                             ARTICLE VII                           
   13                        FINANCE AND TAXATION                       
   14         SECTION 4. Taxation; assessments.—By general law
   15  regulations shall be prescribed which shall secure a just
   16  valuation of all property for ad valorem taxation, provided:
   17         (a) Agricultural land, land producing high water recharge
   18  to Florida’s aquifers, or land used exclusively for
   19  noncommercial recreational purposes may be classified by general
   20  law and assessed solely on the basis of character or use.
   21         (b) As provided by general law and subject to conditions,
   22  limitations, and reasonable definitions specified therein, land
   23  used for conservation purposes shall be classified by general
   24  law and assessed solely on the basis of character or use.
   25         (c) Pursuant to general law tangible personal property held
   26  for sale as stock in trade and livestock may be valued for
   27  taxation at a specified percentage of its value, may be
   28  classified for tax purposes, or may be exempted from taxation.
   29         (d) All persons entitled to a homestead exemption under
   30  Section 6 of this Article shall have their homestead assessed at
   31  just value as of January 1 of the year following the effective
   32  date of this amendment. This assessment shall change only as
   33  provided in this subsection.
   34         (1) Assessments subject to this subsection shall change be
   35  changed annually on January 1 1st of each year.; but those
   36  changes in assessments
   37         a. A change in an assessment may shall not exceed the lower
   38  of the following:
   39         1.a. Three percent (3%) of the assessment for the prior
   40  year.
   41         2.b. The percent change in the Consumer Price Index for all
   42  urban consumers, U.S. City Average, all items 1967=100, or a
   43  successor index reports for the preceding calendar year as
   44  initially reported by the United States Department of Labor,
   45  Bureau of Labor Statistics.
   46         b. The legislature may provide by general law that, except
   47  for changes, additions, reductions, or improvements to homestead
   48  property assessed as provided in paragraph (5), an assessment
   49  may not increase if the just value of the property is less than
   50  the just value of the property on the preceding January 1.
   51         (2) An No assessment may not shall exceed just value.
   52         (3) After a any change of ownership, as provided by general
   53  law, homestead property shall be assessed at just value as of
   54  January 1 of the following year, unless the provisions of
   55  paragraph (8) apply. Thereafter, the homestead shall be assessed
   56  as provided in this subsection.
   57         (4) New homestead property shall be assessed at just value
   58  as of January 1 1st of the year following the establishment of
   59  the homestead, unless the provisions of paragraph (8) apply.
   60  That assessment shall only change only as provided in this
   61  subsection.
   62         (5) Changes, additions, reductions, or improvements to
   63  homestead property shall be assessed as provided for by general
   64  law.; provided, However, after the adjustment for any change,
   65  addition, reduction, or improvement, the property shall be
   66  assessed as provided in this subsection.
   67         (6) In the event of a termination of homestead status, the
   68  property shall be assessed as provided by general law.
   69         (7) The provisions of this subsection amendment are
   70  severable. If a provision any of the provisions of this
   71  subsection is amendment shall be held unconstitutional by a any
   72  court of competent jurisdiction, the decision of the such court
   73  does shall not affect or impair any remaining provisions of this
   74  subsection amendment.
   75         (8)a. A person who establishes a new homestead as of
   76  January 1, 2009, or January 1 of any subsequent year and who has
   77  received a homestead exemption pursuant to Section 6 of this
   78  Article as of January 1 of either of the 2 two years immediately
   79  preceding the establishment of a the new homestead is entitled
   80  to have the new homestead assessed at less than just value. If
   81  this revision is approved in January of 2008, a person who
   82  establishes a new homestead as of January 1, 2008, is entitled
   83  to have the new homestead assessed at less than just value only
   84  if that person received a homestead exemption on January 1,
   85  2007. The assessed value of the newly established homestead
   86  shall be determined as follows:
   87         1. If the just value of the new homestead is greater than
   88  or equal to the just value of the prior homestead as of January
   89  1 of the year in which the prior homestead was abandoned, the
   90  assessed value of the new homestead shall be the just value of
   91  the new homestead minus an amount equal to the lesser of
   92  $500,000 or the difference between the just value and the
   93  assessed value of the prior homestead as of January 1 of the
   94  year in which the prior homestead was abandoned. Thereafter, the
   95  homestead shall be assessed as provided in this subsection.
   96         2. If the just value of the new homestead is less than the
   97  just value of the prior homestead as of January 1 of the year in
   98  which the prior homestead was abandoned, the assessed value of
   99  the new homestead shall be equal to the just value of the new
  100  homestead divided by the just value of the prior homestead and
  101  multiplied by the assessed value of the prior homestead.
  102  However, if the difference between the just value of the new
  103  homestead and the assessed value of the new homestead calculated
  104  pursuant to this sub-subparagraph is greater than $500,000, the
  105  assessed value of the new homestead shall be increased so that
  106  the difference between the just value and the assessed value
  107  equals $500,000. Thereafter, the homestead shall be assessed as
  108  provided in this subsection.
  109         b. By general law and subject to conditions specified
  110  therein, the legislature shall provide for application of this
  111  paragraph to property owned by more than one person.
  112         (e) The legislature may, by general law, for assessment
  113  purposes and subject to the provisions of this subsection, allow
  114  counties and municipalities to authorize by ordinance that
  115  historic property may be assessed solely on the basis of
  116  character or use. Such character or use assessment shall apply
  117  only to the jurisdiction adopting the ordinance. The
  118  requirements for eligible properties must be specified by
  119  general law.
  120         (f) A county may, in the manner prescribed by general law,
  121  provide for a reduction in the assessed value of homestead
  122  property to the extent of any increase in the assessed value of
  123  that property which results from the construction or
  124  reconstruction of the property for the purpose of providing
  125  living quarters for one or more natural or adoptive grandparents
  126  or parents of the owner of the property or of the owner’s spouse
  127  if at least one of the grandparents or parents for whom the
  128  living quarters are provided is 62 years of age or older. Such a
  129  reduction may not exceed the lesser of the following:
  130         (1) The increase in assessed value resulting from
  131  construction or reconstruction of the property.
  132         (2) Twenty percent of the total assessed value of the
  133  property as improved.
  134         (g) For all levies other than school district levies,
  135  assessments of residential real property, as defined by general
  136  law, which contains nine units or fewer and which is not subject
  137  to the assessment limitations set forth in subsections (a)
  138  through (d) shall change only as provided in this subsection.
  139         (1) Assessments subject to this subsection shall be changed
  140  annually on the date of assessment provided by law. However,;
  141  but those changes in assessments may shall not exceed 5 ten
  142  percent (10%) of the assessment for the prior year. The
  143  legislature may provide by general law that, except for changes,
  144  additions, reductions, or improvements to property assessed as
  145  provided in paragraph (4) an assessment may not increase if the
  146  just value of the property is less than the just value of the
  147  property on the preceding date of assessment provided by law.
  148         (2) An No assessment may not shall exceed just value.
  149         (3) After a change of ownership or control, as defined by
  150  general law, including any change of ownership of a legal entity
  151  that owns the property, such property shall be assessed at just
  152  value as of the next assessment date. Thereafter, such property
  153  shall be assessed as provided in this subsection.
  154         (4) Changes, additions, reductions, or improvements to such
  155  property shall be assessed as provided for by general law.;
  156  However, after the adjustment for any change, addition,
  157  reduction, or improvement, the property shall be assessed as
  158  provided in this subsection.
  159         (h) For all levies other than school district levies,
  160  assessments of real property that is not subject to the
  161  assessment limitations set forth in subsections (a) through (d)
  162  and (g) shall change only as provided in this subsection.
  163         (1) Assessments subject to this subsection shall be changed
  164  annually on the date of assessment provided by law. However,;
  165  but those changes in assessments may shall not exceed 5 ten
  166  percent (10%) of the assessment for the prior year. The
  167  legislature may provide by general law that, except for changes,
  168  additions, reductions, or improvements to property assessed as
  169  provided in paragraph (5) an assessment may not increase if the
  170  just value of the property is less than the just value of the
  171  property on the preceding date of assessment provided by law.
  172         (2) An No assessment may not shall exceed just value.
  173         (3) The legislature must provide that such property shall
  174  be assessed at just value as of the next assessment date after a
  175  qualifying improvement, as defined by general law, is made to
  176  such property. Thereafter, such property shall be assessed as
  177  provided in this subsection.
  178         (4) The legislature may provide that such property shall be
  179  assessed at just value as of the next assessment date after a
  180  change of ownership or control, as defined by general law,
  181  including any change of ownership of the legal entity that owns
  182  the property. Thereafter, such property shall be assessed as
  183  provided in this subsection.
  184         (5) Changes, additions, reductions, or improvements to such
  185  property shall be assessed as provided for by general law.;
  186  However, after the adjustment for any change, addition,
  187  reduction, or improvement, the property shall be assessed as
  188  provided in this subsection.
  189         (i) The legislature, by general law and subject to
  190  conditions specified therein, may prohibit the consideration of
  191  the following in the determination of the assessed value of real
  192  property used for residential purposes:
  193         (1) Any change or improvement made for the purpose of
  194  improving the property’s resistance to wind damage.
  195         (2) The installation of a renewable energy source device.
  196         (j)(1) The assessment of the following working waterfront
  197  properties shall be based upon the current use of the property:
  198         a. Land used predominantly for commercial fishing purposes.
  199         b. Land that is accessible to the public and used for
  200  vessel launches into waters that are navigable.
  201         c. Marinas and drystacks that are open to the public.
  202         d. Water-dependent marine manufacturing facilities,
  203  commercial fishing facilities, and marine vessel construction
  204  and repair facilities and their support activities.
  205         (2) The assessment benefit provided by this subsection is
  206  subject to conditions and limitations and reasonable definitions
  207  as specified by the legislature by general law.
  208         SECTION 6. Homestead exemptions.—
  209         (a) Every person who has the legal or equitable title to
  210  real estate and maintains thereon the permanent residence of the
  211  owner, or another legally or naturally dependent upon the owner,
  212  shall be exempt from taxation thereon, except assessments for
  213  special benefits, up to the assessed valuation of $25,000
  214  twenty-five thousand dollars and, for all levies other than
  215  school district levies, on the assessed valuation greater than
  216  $50,000 fifty thousand dollars and up to $75,000 seventy-five
  217  thousand dollars, upon establishment of right thereto in the
  218  manner prescribed by law. The real estate may be held by legal
  219  or equitable title, by the entireties, jointly, in common, as a
  220  condominium, or indirectly by stock ownership or membership
  221  representing the owner’s or member’s proprietary interest in a
  222  corporation owning a fee or a leasehold initially in excess of
  223  98 ninety-eight years. The exemption shall not apply with
  224  respect to any assessment roll until such roll is first
  225  determined to be in compliance with the provisions of Section 4
  226  by a state agency designated by general law. This exemption is
  227  repealed on the effective date of any amendment to this Article
  228  which provides for the assessment of homestead property at less
  229  than just value.
  230         (b) Not more than one exemption shall be allowed any
  231  individual or family unit or with respect to any residential
  232  unit. No exemption shall exceed the value of the real estate
  233  assessable to the owner or, in case of ownership through stock
  234  or membership in a corporation, the value of the proportion
  235  which the interest in the corporation bears to the assessed
  236  value of the property.
  237         (c) By general law and subject to conditions specified
  238  therein, the legislature may provide to renters, who are
  239  permanent residents, ad valorem tax relief on all ad valorem tax
  240  levies. Such ad valorem tax relief shall be in the form and
  241  amount established by general law.
  242         (d) The legislature may, by general law, allow counties or
  243  municipalities, for the purpose of their respective tax levies
  244  and subject to the provisions of general law, to grant an
  245  additional homestead tax exemption not exceeding $50,000 fifty
  246  thousand dollars to any person who has the legal or equitable
  247  title to real estate and maintains thereon the permanent
  248  residence of the owner and who has attained age 65 sixty-five
  249  and whose household income, as defined by general law, does not
  250  exceed $20,000 twenty thousand dollars. The general law must
  251  allow counties and municipalities to grant this additional
  252  exemption, within the limits prescribed in this subsection, by
  253  ordinance adopted in the manner prescribed by general law, and
  254  must provide for the periodic adjustment of the income
  255  limitation prescribed in this subsection for changes in the cost
  256  of living.
  257         (e) Each veteran who is age 65 or older who is partially or
  258  totally permanently disabled shall receive a discount from the
  259  amount of the ad valorem tax otherwise owed on homestead
  260  property the veteran owns and resides in if the disability was
  261  combat related, the veteran was a resident of this state at the
  262  time of entering the military service of the United States, and
  263  the veteran was honorably discharged upon separation from
  264  military service. The discount shall be in a percentage equal to
  265  the percentage of the veteran’s permanent, service-connected
  266  disability as determined by the United States Department of
  267  Veterans Affairs. To qualify for the discount granted by this
  268  subsection, an applicant must submit to the county property
  269  appraiser, by March 1, proof of residency at the time of
  270  entering military service, an official letter from the United
  271  States Department of Veterans Affairs stating the percentage of
  272  the veteran’s service-connected disability and such evidence
  273  that reasonably identifies the disability as combat related, and
  274  a copy of the veteran’s honorable discharge. If the property
  275  appraiser denies the request for a discount, the appraiser must
  276  notify the applicant in writing of the reasons for the denial,
  277  and the veteran may reapply. The legislature may, by general
  278  law, waive the annual application requirement in subsequent
  279  years. This subsection shall take effect December 7, 2006, is
  280  self-executing, and does not require implementing legislation.
  281         (f) As provided by general law and subject to conditions
  282  specified therein, every person who establishes the right to
  283  receive the homestead exemption provided in subsection (a)
  284  within 1 year after purchasing the homestead property and who
  285  has not owned property in the previous 3 calendar years to which
  286  the homestead exemption provided in subsection (a) applied is
  287  entitled to an additional homestead exemption in an amount equal
  288  to 50 percent of the median just value for homestead property in
  289  the county where the property at issue is located in the
  290  calendar year immediately preceding the January 1 of the year
  291  the homestead is established for all levies other than school
  292  district levies. The additional exemption shall apply for a
  293  period of 5 years or until the year the property is sold,
  294  whichever occurs first. The amount of the additional exemption
  295  shall be reduced in each subsequent year by an amount equal to
  296  20 percent of the amount of the additional exemption received in
  297  the year the homestead was established or by an amount equal to
  298  the difference between the just value of the property and the
  299  assessed value of the property determined under Section 4(d),
  300  whichever is greater. Not more than one exemption provided under
  301  this subsection shall be allowed per homestead property. The
  302  additional exemption shall apply to property purchased on or
  303  after January 1, 2011, if this amendment is approved at a
  304  special election held on the date of the 2012 presidential
  305  preference primary, or on or after January 1, 2012, if approved
  306  at the 2012 general election, but shall not be available in the
  307  sixth and subsequent years after the additional exemption is
  308  first received.
  309                             ARTICLE XII                           
  310                              SCHEDULE                             
  311         SECTION 27. Property tax exemptions and limitations on
  312  property tax assessments.—The amendments to Sections 3, 4, and 6
  313  of Article VII, providing a $25,000 exemption for tangible
  314  personal property, providing an additional $25,000 homestead
  315  exemption, authorizing transfer of the accrued benefit from the
  316  limitations on the assessment of homestead property, and this
  317  section, if submitted to the electors of this state for approval
  318  or rejection at a special election authorized by law to be held
  319  on January 29, 2008, shall take effect upon approval by the
  320  electors and shall operate retroactively to January 1, 2008, or,
  321  if submitted to the electors of this state for approval or
  322  rejection at the next general election, shall take effect
  323  January 1 of the year following such general election. The
  324  amendments to Section 4 of Article VII creating subsections (f)
  325  and (g) of that section, creating a limitation on annual
  326  assessment increases for specified real property, shall take
  327  effect upon approval of the electors and shall first limit
  328  assessments beginning January 1, 2009, if approved at a special
  329  election held on January 29, 2008, or shall first limit
  330  assessments beginning January 1, 2010, if approved at the
  331  general election held in November of 2008. Subsections (f) and
  332  (g) of Section 4 of Article VII are repealed effective January
  333  1, 2019; however, the legislature shall by joint resolution
  334  propose an amendment abrogating the repeal of subsections (f)
  335  and (g), which shall be submitted to the electors of this state
  336  for approval or rejection at the general election of 2018 and,
  337  if approved, shall take effect January 1, 2019.
  338         SECTION 32. Property assessments.—This section and the
  339  amendment of Section 4 of Article VII protecting homestead and
  340  specified nonhomestead property having a declining just value
  341  and reducing the limit on the maximum annual increase in the
  342  assessed value of nonhomestead property from 10 percent to 5
  343  percent, if submitted to the electors of this state for approval
  344  or rejection at a special election authorized by law to be held
  345  on the date of the 2012 presidential preference primary, shall
  346  take effect upon approval by the electors and shall operate
  347  retroactively to January 1, 2012, or, if submitted to the
  348  electors of this state for approval or rejection at the 2012
  349  general election, shall take effect January 1, 2013.
  350         SECTION 33. Additional homestead exemption for owners of
  351  homestead property who recently have not owned homestead
  352  property.—This section and the amendment to Section 6 of Article
  353  VII providing for an additional homestead exemption for owners
  354  of homestead property who have not owned homestead property
  355  during the 3 calendar years immediately preceding purchase of
  356  the current homestead property, if submitted to the electors of
  357  this state for approval or rejection at a special election
  358  authorized by law to be held on the date of the 2012
  359  presidential preference primary, shall take effect upon approval
  360  by the electors and operate retroactively to January 1, 2012,
  361  and the additional homestead exemption shall be available for
  362  properties purchased on or after January 1, 2011, or if
  363  submitted to the electors of this state for approval or
  364  rejection at the 2012 general election, shall take effect
  365  January 1, 2013, and the additional homestead exemption shall be
  366  available for properties purchased on or after January 1, 2012.
  367         BE IT FURTHER RESOLVED that the following statement be
  368  placed on the ballot:
  369                      CONSTITUTIONAL AMENDMENT                     
  370                     ARTICLE VII, SECTIONS 4, 6                    
  371                  ARTICLE XII, SECTIONS 27, 32, 33                 
  372         PROPERTY TAX LIMITATIONS; PROPERTY VALUE DECLINE; REDUCTION
  373  FOR NONHOMESTEAD ASSESSMENT INCREASES; ABROGATION OF SCHEDULED
  374  REPEAL.—
  375         (1) In certain circumstances, the law requires the assessed
  376  value of homestead and specified nonhomestead property to
  377  increase when the just value of the property decreases.
  378  Therefore, this amendment provides that the Legislature may, by
  379  general law, provide that the assessed value of homestead and
  380  specified nonhomestead property will not increase if the just
  381  value of that property decreases, subject to any adjustment in
  382  the assessed value due to changes, additions, reductions, or
  383  improvements to such property which are assessed as provided for
  384  by general law. This amendment takes effect upon approval by the
  385  voters, if approved at a special election held on the date of
  386  the 2012 presidential preference primary and operates
  387  retroactively to January 1, 2012, or, if approved by the voters
  388  at the general election, takes effect January 1, 2013.
  389         (2) This amendment reduces from 10 percent to 5 percent the
  390  limitation on annual increases in assessments of nonhomestead
  391  real property. This amendment takes effect upon approval of the
  392  voters, if approved at a special election held on the date of
  393  the 2012 presidential preference primary and operates
  394  retroactively to January 1, 2012, or, if approved by the voters
  395  at the general election, takes effect January 1, 2013.
  396         (3) This amendment also provides owners of homestead
  397  property who have not owned homestead property during the 3
  398  calendar years immediately preceding purchase of the current
  399  homestead property with an additional homestead exemption equal
  400  to 50 percent of the median just value for homestead property in
  401  the county where the property at issue is located in the
  402  calendar year immediately preceding the first year of the
  403  additional exemption, for all levies other than school district
  404  levies; applies the additional exemption for the shorter of 5
  405  years or the year of sale of the property; reduces the amount of
  406  the additional exemption in each succeeding year for 5 years by
  407  the greater of 20 percent of the amount of the initial
  408  additional exemption or the difference between the just value
  409  and the assessed value of the property; limits the additional
  410  exemption to one per homestead property; limits the additional
  411  exemption to properties purchased on or after January 1, 2011,
  412  if approved by the voters at a special election held on the date
  413  of the 2012 presidential preference primary, or on or after
  414  January 1, 2012, if approved by the voters at the 2012 general
  415  election; prohibits availability of the additional exemption in
  416  the sixth and subsequent years after the additional exemption is
  417  granted; and provides for the amendment to take effect upon
  418  approval of the voters and operate retroactively to January 1,
  419  2012, if approved at the special election held on the date of
  420  the 2012 presidential preference primary, or on January 1, 2013,
  421  if approved by the voters at the 2012 general election.
  422         (4) This amendment also removes from the State Constitution
  423  a repeal, scheduled to take effect in 2019, of constitutional
  424  amendments adopted in 2008 that limit annual assessment
  425  increases for specified nonhomestead real property.
  426  
  427  ================= T I T L E  A M E N D M E N T ================
  428         And the title is amended as follows:
  429         Delete everything before the resolving clause
  430  and insert:
  431                        A bill to be entitled                      
  432         A joint resolution proposing amendments to Sections 4
  433         and 6 of Article VII and Section 27 of Article XII and
  434         the creation of Sections 32 and 33 of Article XII of
  435         the State Constitution to allow the Legislature by
  436         general law to prohibit increases in the assessed
  437         value of homestead and specified nonhomestead property
  438         if the just value of the property decreases, reduce
  439         the limitation on annual assessment increases
  440         applicable to nonhomestead real property, provide an
  441         additional homestead exemption for owners of homestead
  442         property who have not owned homestead property for a
  443         specified time before purchase of the current
  444         homestead property, and application and limitations
  445         with respect thereto, delete a future repeal of
  446         provisions limiting annual assessment increases for
  447         specified nonhomestead real property, and provide
  448         effective dates.