HJR 7261

1	House Joint Resolution
2	A joint resolution proposing amendments to Sections 4 and
3	6 of Article VII and the creation of Section 26 of Article
4	XII of the State Constitution to limit the difference
5	between the just value and the assessed value for
6	homestead property, provide for assessing newly
7	established homestead property at less than just value
8	subject to a limitation, and increase the amount of the
9	homestead exemption from $25,000 to $50,000 over 10 years.
10
11	Be It Resolved by the Legislature of the State of Florida:
12
13	That the following amendments to Sections 4 and 6 of
14	Article VII and the creation of Section 26 of Article XII of the
15	State Constitution is agreed to and shall be submitted to the
16	electors of this state for approval or rejection at the next
17	general election or at an earlier special election specifically
18	authorized by law for that purpose:
19	ARTICLE VII
20	FINANCE AND TAXATION
21	SECTION 4.  Taxation; assessments.--By general law
22	regulations shall be prescribed which shall secure a just
23	valuation of all property for ad valorem taxation, provided:
24	(a)  Agricultural land, land producing high water recharge
25	to Florida's aquifers, or land used exclusively for
26	noncommercial recreational purposes may be classified by general
27	law and assessed solely on the basis of character or use.
28	(b)  Pursuant to general law tangible personal property
29	held for sale as stock in trade and livestock may be valued for
30	taxation at a specified percentage of its value, may be
31	classified for tax purposes, or may be exempted from taxation.
32	(c)  All persons entitled to a homestead exemption under
33	Section 6 of this Article shall have their homestead assessed at
34	just value as of January 1 of the year following the effective
35	date of this amendment. This assessment shall change only as
36	provided herein.
37	(1)  Assessments subject to this provision shall be changed
38	annually on January 1st of each year; but those changes in
39	assessments shall not exceed the lower of the following:
40	a.  Three percent (3%) of the assessment for the prior
41	year.
42	b.  The percent change in the Consumer Price Index for all
43	urban consumers, U.S. City Average, all items 1967=100, or
44	successor reports for the preceding calendar year as initially
45	reported by the United States Department of Labor, Bureau of
46	Labor Statistics.
47	(2)  No assessment shall exceed just value.
48	(3)  The difference between just value and assessed value
49	shall not exceed $100,000 unless the provisions of paragraph
50	(10) apply.
51	(4)(3)  After any change of ownership, as provided by
52	general law, homestead property shall be assessed at just value
53	as of January 1 of the following year, unless the provisions of
54	paragraph (9) apply. Thereafter, the homestead shall be assessed
55	as provided herein.
56	(5)(4)  New homestead property shall be assessed at just
57	value as of January 1st of the year following the establishment
58	of the homestead, unless the provisions of paragraph (9) apply.
59	That assessment shall only change as provided herein.
60	(6)(5)  Changes, additions, reductions, or improvements to
61	homestead property shall be assessed as provided for by general
62	law; provided, however, after the adjustment for any change,
63	addition, reduction, or improvement, the property shall be
64	assessed as provided herein.
65	(7)(6)  In the event of a termination of homestead status,
66	the property shall be assessed as provided by general law.
67	(8)(7)  The provisions of this amendment are severable. If
68	any of the provisions of this amendment shall be held
69	unconstitutional by any court of competent jurisdiction, the
70	decision of such court shall not affect or impair any remaining
71	provisions of this amendment.
72	(9)  When a person sells or transfers his or her homestead
73	within this state and within one year establishes within the
74	same county another property as his or her new homestead, the
75	newly established homestead property shall be initially assessed
76	at less than just value, as provided by general law. The
77	difference between the new homestead property's just value and
78	its assessed value in the first year the homestead is
79	established shall equal the difference between the prior
80	homestead property's just value and its assessed value in the
81	year of sale or transfer, provided the difference does not
82	exceed $100,000. However, in no case shall this adjustment
83	result in the new homestead property having an assessed value
84	less than the assessed value of the previous homestead property.
85	Thereafter, the homestead property shall be assessed as provided
86	herein.
87	(10)  For a homestead established before January 1, 2007,
88	the difference between just value and assessed value may not
89	exceed the difference between just value and assessed value that
90	exists on January 1, 2007, plus $100,000.
91	(d)  The legislature may, by general law, for assessment
92	purposes and subject to the provisions of this subsection, allow
93	counties and municipalities to authorize by ordinance that
94	historic property may be assessed solely on the basis of
95	character or use. Such character or use assessment shall apply
96	only to the jurisdiction adopting the ordinance. The
97	requirements for eligible properties must be specified by
98	general law.
99	(e)  A county may, in the manner prescribed by general law,
100	provide for a reduction in the assessed value of homestead
101	property to the extent of any increase in the assessed value of
102	that property which results from the construction or
103	reconstruction of the property for the purpose of providing
104	living quarters for one or more natural or adoptive grandparents
105	or parents of the owner of the property or of the owner's spouse
106	if at least one of the grandparents or parents for whom the
107	living quarters are provided is 62 years of age or older. Such a
108	reduction may not exceed the lesser of the following:
109	(1)  The increase in assessed value resulting from
110	construction or reconstruction of the property.
111	(2)  Twenty percent of the total assessed value of the
112	property as improved.
113	SECTION 6.  Homestead exemptions.--
114	(a)  Every person who has the legal or equitable title to
115	real estate and maintains thereon the permanent residence of the
116	owner, or another legally or naturally dependent upon the owner,
117	shall be exempt from taxation thereon, except assessments for
118	special benefits, up to the assessed valuation of five thousand
119	dollars, upon establishment of right thereto in the manner
120	prescribed by law. The real estate may be held by legal or
121	equitable title, by the entireties, jointly, in common, as a
122	condominium, or indirectly by stock ownership or membership
123	representing the owner's or member's proprietary interest in a
124	corporation owning a fee or a leasehold initially in excess of
125	ninety-eight years.
126	(b)  Not more than one exemption shall be allowed any
127	individual or family unit or with respect to any residential
128	unit. No exemption shall exceed the value of the real estate
129	assessable to the owner or, in case of ownership through stock
130	or membership in a corporation, the value of the proportion
131	which the interest in the corporation bears to the assessed
132	value of the property.
133	(c)1.  By general law and subject to conditions specified
134	therein, the exemption shall be increased to a total of the
135	following amounts twenty-five thousand dollars of the assessed
136	value of the real estate for each school district levy: twenty-
137	seven thousand five hundred dollars with respect to 2007
138	assessments; thirty thousand dollars with respect to 2008
139	assessments; thirty-two thousand five hundred dollars with
140	respect to 2009 assessments; thirty-five thousand dollars with
141	respect to 2010 assessments; thirty-seven thousand five hundred
142	dollars with respect to 2011 assessments; forty thousand dollars
143	with respect to 2012 assessments; forty-two thousand five
144	hundred dollars with respect to 2013 assessments; forty-five
145	thousand dollars with respect to 2014 assessments; forty-seven
146	thousand five hundred dollars with respect to 2015 assessments;
147	and fifty thousand dollars with respect to 2016 assessments. In
148	2017 and each year thereafter, the exemption shall increase
149	annually by the percentage change in the Consumer Price Index
150	for all urban consumers, U.S. City Average, all items 1967=100,
151	or successor reports for the preceding calendar year as
152	initially reported by the United States Department of Labor,
153	Bureau of Labor Statistics.
154	2.  By general law and subject to conditions specified
155	therein, the exemption for all other levies may be increased up
156	to an amount not exceeding ten thousand dollars of the assessed
157	value of the real estate if the owner has attained age sixty-
158	five or is totally and permanently disabled and if the owner is
159	not entitled to the exemption provided in subsection (d).
160	(d)  By general law and subject to conditions specified
161	therein, the exemption shall be increased to a total of the
162	following amounts of assessed value of real estate for each levy
163	other than those of school districts: twenty-seven fifteen
164	thousand five hundred dollars with respect to 2007 1980
165	assessments; thirty twenty thousand dollars with respect to 2008
166	1981 assessments; thirty-two twenty-five thousand five hundred
167	dollars with respect to 2009 assessments; thirty-five thousand
168	dollars with respect to 2010 assessments; thirty-seven thousand
169	five hundred dollars with respect to 2011 assessments; forty
170	thousand dollars with respect to 2012 assessments; forty-two
171	thousand five hundred dollars with respect to 2013 assessments;
172	forty-five thousand dollars with respect to 2014 assessments;
173	forty-seven thousand five hundred dollars with respect to 2015
174	assessments; and fifty thousand dollars with respect to 2016
175	assessments. In 2017 for 1982 and each year thereafter, the
176	exemption shall increase annually by the percentage change in
177	the Consumer Price Index for all urban consumers, U.S. City
178	Average, all items 1967=100, or successor reports for the
179	preceding calendar year as initially reported by the United
180	States Department of Labor, Bureau of Labor Statistics. However,
181	such increase shall not apply with respect to any assessment
182	roll until such roll is first determined to be in compliance
183	with the provisions of section 4 by a state agency designated by
184	general law. This subsection shall stand repealed on the
185	effective date of any amendment to section 4 which provides for
186	the assessment of homestead property at a specified percentage
187	of its just value.
188	(e)  By general law and subject to conditions specified
189	therein, the Legislature may provide to renters, who are
190	permanent residents, ad valorem tax relief on all ad valorem tax
191	levies. Such ad valorem tax relief shall be in the form and
192	amount established by general law.
193	(f)  The legislature may, by general law, allow counties or
194	municipalities, for the purpose of their respective tax levies
195	and subject to the provisions of general law, to grant an
196	additional homestead tax exemption not exceeding twenty-five
197	thousand dollars to any person who has the legal or equitable
198	title to real estate and maintains thereon the permanent
199	residence of the owner and who has attained age sixty-five and
200	whose household income, as defined by general law, does not
201	exceed twenty thousand dollars. The general law must allow
202	counties and municipalities to grant this additional exemption,
203	within the limits prescribed in this subsection, by ordinance
204	adopted in the manner prescribed by general law, and must
205	provide for the periodic adjustment of the income limitation
206	prescribed in this subsection for changes in the cost of living.
207	ARTICLE XII
208	SCHEDULE
209	SECTION 26.  Homestead property assessment limitations;
210	increased homestead exemption.--The amendments to Sections 4 and
211	6 of Article VII, modifying the limitations on the assessment of
212	homestead property and increasing the amount of the homestead
213	exemption, shall take effect January 1, 2007.
214	BE IT FURTHER RESOLVED that the following statement be
215	placed on the ballot:
216	CONSTITUTIONAL AMENDMENT
217	ARTICLE VII, SECTIONS 4 AND 6
218	ARTICLE XII, SECTION 26
219	ASSESSMENT OF HOMESTEAD PROPERTY.--Proposing amendments to
220	the State Constitution to provide for a phased increase in the
221	exemption for homestead property from $25,000 to $50,000 over 10
222	years; limit the difference between the just value and the
223	assessed value of homestead property to $100,000 except property
224	established as homestead property before January 1, 2007, for
225	which the difference between just value and assessed value may
226	not exceed the difference between just value and assessed value
227	existing on January 1, 2007, plus $100,000; provide that
228	homeowners who move from one homestead property to another in
229	the same county would have the new homestead property assessed
230	at up to $100,000 less than just value depending on the
231	differential between the just value and the assessed value of
232	their previous homestead property; and schedule the amendments
233	to take effect January 1, 2007, if adopted.

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