Bill Text: FL H0039 | 2010 | Regular Session | Introduced

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Bill Title: Homestead Property/Declining Just Value

Spectrum: Partisan Bill (Republican 14-0)

Status: (Failed) 2010-04-30 - Died in Finance & Tax Council [H0039 Detail]

Download: Florida-2010-H0039-Introduced.html

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HJR 39

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

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