Bill Text: FL H0273 | 2011 | Regular Session | Introduced

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Bill Title: Limitations on Annual Assessment Increases

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2011-01-27 - Withdrawn prior to introduction, companion bill(s) passed, see CS/CS/CS/CS/CS/HJR 381 (Passed) -HJ 29 [H0273 Detail]

Download: Florida-2011-H0273-Introduced.html

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HJR 273

1	House Joint Resolution
2	A joint resolution proposing an amendment to Section 4 of
3	Article VII of the State Constitution to prohibit annual
4	increases in the assessed value of homestead and
5	nonhomestead property if the just value of the property
6	decreases, limit annual assessment increases applicable to
7	nonhomestead property to the lower of a specified
8	percentage or the percentage change in the Consumer Price
9	Index, and apply to school district levies the annual
10	assessment increase limitations applicable to nonhomestead
11	property.
12
13	Be It Resolved by the Legislature of the State of Florida:
14
15	That the following amendment to Section 4 of Article VII of
16	the State Constitution is agreed to and shall be submitted to
17	the electors of this state for approval or rejection at the next
18	general election or at an earlier special election specifically
19	authorized by law for that purpose:
20	ARTICLE VII
21	FINANCE AND TAXATION
22	SECTION 4.  Taxation; assessments.-By general law
23	regulations shall be prescribed which shall secure a just
24	valuation of all property for ad valorem taxation, provided:
25	(a)  Agricultural land, land producing high water recharge
26	to Florida's aquifers, or land used exclusively for
27	noncommercial recreational purposes may be classified by general
28	law and assessed solely on the basis of character or use.
29	(b)  As provided by general law and subject to conditions,
30	limitations, and reasonable definitions specified therein, land
31	used for conservation purposes shall be classified by general
32	law and assessed solely on the basis of character or use.
33	(c)  Pursuant to general law tangible personal property
34	held for sale as stock in trade and livestock may be valued for
35	taxation at a specified percentage of its value, may be
36	classified for tax purposes, or may be exempted from taxation.
37	(d)  All persons entitled to a homestead exemption under
38	Section 6 of this Article shall have their homestead assessed at
39	just value as of January 1 of the year following the effective
40	date of this amendment. This assessment shall change only as
41	provided in this subsection.
42	(1)  Assessments subject to this subsection shall be
43	changed annually on January 1st of each year.; but those changes
44	in assessments
45	a.  An increase in an assessment shall not exceed the lower
46	of the following:
47	1.a.  Three percent (3%) of the assessment for the prior
48	year.
49	2.b.  The percent change in the Consumer Price Index for
50	all urban consumers, U.S. City Average, all items 1967=100, or
51	successor reports for the preceding calendar year as initially
52	reported by the United States Department of Labor, Bureau of
53	Labor Statistics.
54	b.  An assessment shall not increase if the just value of
55	the property is less than the just value of the property on the
56	preceding January 1.
57	(2)  No assessment shall exceed just value.
58	(3)  After any change of ownership, as provided by general
59	law, homestead property shall be assessed at just value as of
60	January 1 of the following year, unless the provisions of
61	paragraph (8) apply. Thereafter, the homestead shall be assessed
62	as provided in this subsection.
63	(4)  New homestead property shall be assessed at just value
64	as of January 1st of the year following the establishment of the
65	homestead, unless the provisions of paragraph (8) apply. That
66	assessment shall only change as provided in this subsection.
67	(5)  Changes, additions, reductions, or improvements to
68	homestead property shall be assessed as provided for by general
69	law; provided, however, after the adjustment for any change,
70	addition, reduction, or improvement, the property shall be
71	assessed as provided in this subsection.
72	(6)  In the event of a termination of homestead status, the
73	property shall be assessed as provided by general law.
74	(7)  The provisions of this amendment are severable. If any
75	of the provisions of this amendment shall be held
76	unconstitutional by any court of competent jurisdiction, the
77	decision of such court shall not affect or impair any remaining
78	provisions of this amendment.
79	(8)a.  A person who establishes a new homestead as of
80	January 1, 2009, or January 1 of any subsequent year and who has
81	received a homestead exemption pursuant to Section 6 of this
82	Article as of January 1 of either of the two years immediately
83	preceding the establishment of the new homestead is entitled to
84	have the new homestead assessed at less than just value. If this
85	revision is approved in January of 2008, a person who
86	establishes a new homestead as of January 1, 2008, is entitled
87	to have the new homestead assessed at less than just value only
88	if that person received a homestead exemption on January 1,
89	2007. The assessed value of the newly established homestead
90	shall be determined as follows:
91	1.  If the just value of the new homestead is greater than
92	or equal to the just value of the prior homestead as of January
93	1 of the year in which the prior homestead was abandoned, the
94	assessed value of the new homestead shall be the just value of
95	the new homestead minus an amount equal to the lesser of
96	$500,000 or the difference between the just value and the
97	assessed value of the prior homestead as of January 1 of the
98	year in which the prior homestead was abandoned. Thereafter, the
99	homestead shall be assessed as provided in this subsection.
100	2.  If the just value of the new homestead is less than the
101	just value of the prior homestead as of January 1 of the year in
102	which the prior homestead was abandoned, the assessed value of
103	the new homestead shall be equal to the just value of the new
104	homestead divided by the just value of the prior homestead and
105	multiplied by the assessed value of the prior homestead.
106	However, if the difference between the just value of the new
107	homestead and the assessed value of the new homestead calculated
108	pursuant to this sub-subparagraph is greater than $500,000, the
109	assessed value of the new homestead shall be increased so that
110	the difference between the just value and the assessed value
111	equals $500,000. Thereafter, the homestead shall be assessed as
112	provided in this subsection.
113	b.  By general law and subject to conditions specified
114	therein, the Legislature shall provide for application of this
115	paragraph to property owned by more than one person.
116	(e)  The legislature may, by general law, for assessment
117	purposes and subject to the provisions of this subsection, allow
118	counties and municipalities to authorize by ordinance that
119	historic property may be assessed solely on the basis of
120	character or use. Such character or use assessment shall apply
121	only to the jurisdiction adopting the ordinance. The
122	requirements for eligible properties must be specified by
123	general law.
124	(f)  A county may, in the manner prescribed by general law,
125	provide for a reduction in the assessed value of homestead
126	property to the extent of any increase in the assessed value of
127	that property which results from the construction or
128	reconstruction of the property for the purpose of providing
129	living quarters for one or more natural or adoptive grandparents
130	or parents of the owner of the property or of the owner's spouse
131	if at least one of the grandparents or parents for whom the
132	living quarters are provided is 62 years of age or older. Such a
133	reduction may not exceed the lesser of the following:
134	(1)  The increase in assessed value resulting from
135	construction or reconstruction of the property.
136	(2)  Twenty percent of the total assessed value of the
137	property as improved.
138	(g)  For all levies other than school district levies,
139	Assessments of residential real property, as defined by general
140	law, which contains nine units or fewer and which is not subject
141	to the assessment limitations set forth in subsections (a)
142	through (d) shall change only as provided in this subsection.
143	(1)  Assessments subject to this subsection shall be
144	changed annually on the date of assessment provided by law.; but
145	those changes in assessments
146	a.  An increase in an assessment shall not exceed the lower
147	of the following:
148	1.  Three percent (3%) ten percent (10%) of the assessment
149	for the prior year.
150	2.  The percent change in the Consumer Price Index for all
151	urban consumers, U.S. City Average, all items 1967=100, or
152	successor reports for the preceding calendar year as initially
153	reported by the United States Department of Labor, Bureau of
154	Labor Statistics.
155	b.  An assessment shall not increase if the just value of
156	the property is less than the just value of the property on the
157	preceding date of assessment provided by law.
158	(2)  No assessment shall exceed just value.
159	(3)  After a change of ownership or control, as defined by
160	general law, including any change of ownership of a legal entity
161	that owns the property, such property shall be assessed at just
162	value as of the next assessment date. Thereafter, such property
163	shall be assessed as provided in this subsection.
164	(4)  Changes, additions, reductions, or improvements to
165	such property shall be assessed as provided for by general law;
166	however, after the adjustment for any change, addition,
167	reduction, or improvement, the property shall be assessed as
168	provided in this subsection.
169	(h)  For all levies other than school district levies,
170	Assessments of real property that is not subject to the
171	assessment limitations set forth in subsections (a) through (d)
172	and (g) shall change only as provided in this subsection.
173	(1)  Assessments subject to this subsection shall be
174	changed annually on the date of assessment provided by law.; but
175	those changes in assessments
176	a.  An increase in an assessment shall not exceed the lower
177	of the following:
178	1.  Three percent (3%) ten percent (10%) of the assessment
179	for the prior year.
180	2.  The percent change in the Consumer Price Index for all
181	urban consumers, U.S. City Average, all items 1967=100, or
182	successor reports for the preceding calendar year as initially
183	reported by the United States Department of Labor, Bureau of
184	Labor Statistics.
185	b.  An assessment shall not increase if the just value of
186	the property is less than the just value of the property on the
187	preceding date of assessment provided by law.
188	(2)  No assessment shall exceed just value.
189	(3)  The legislature must provide that such property shall
190	be assessed at just value as of the next assessment date after a
191	qualifying improvement, as defined by general law, is made to
192	such property. Thereafter, such property shall be assessed as
193	provided in this subsection.
194	(4)  The legislature may provide that such property shall
195	be assessed at just value as of the next assessment date after a
196	change of ownership or control, as defined by general law,
197	including any change of ownership of the legal entity that owns
198	the property. Thereafter, such property shall be assessed as
199	provided in this subsection.
200	(5)  Changes, additions, reductions, or improvements to
201	such property shall be assessed as provided for by general law;
202	however, after the adjustment for any change, addition,
203	reduction, or improvement, the property shall be assessed as
204	provided in this subsection.
205	(i)  The legislature, by general law and subject to
206	conditions specified therein, may prohibit the consideration of
207	the following in the determination of the assessed value of real
208	property used for residential purposes:
209	(1)  Any change or improvement made for the purpose of
210	improving the property's resistance to wind damage.
211	(2)  The installation of a renewable energy source device.
212	(j)(1)  The assessment of the following working waterfront
213	properties shall be based upon the current use of the property:
214	a.  Land used predominantly for commercial fishing
215	purposes.
216	b.  Land that is accessible to the public and used for
217	vessel launches into waters that are navigable.
218	c.  Marinas and drystacks that are open to the public.
219	d.  Water-dependent marine manufacturing facilities,
220	commercial fishing facilities, and marine vessel construction
221	and repair facilities and their support activities.
222	(2)  The assessment benefit provided by this subsection is
223	subject to conditions and limitations and reasonable definitions
224	as specified by the legislature by general law.
225	BE IT FURTHER RESOLVED that the following statement be
226	placed on the ballot:
227	CONSTITUTIONAL AMENDMENT
228	ARTICLE VII, SECTION 4
229	LIMITATIONS ON ANNUAL ASSESSMENT INCREASES TO HOMESTEAD AND
230	NONHOMESTEAD PROPERTY.-
231	(1)  In certain circumstances, the law requires the
232	assessed value of homestead and nonhomestead property to
233	annually increase when the just value of the property decreases.
234	To prevent that from happening, this amendment provides that the
235	assessed value of homestead and nonhomestead property will not
236	annually increase if the just value of that property decreases.
237	(2)  The amendment also reduces the limitation on annual
238	increases in assessments of nonhomestead real property from a
239	current limitation of 10 percent to a limitation of the lower of
240	3 percent or the percentage change in the Consumer Price Index.
241	(3)  In addition, the amendment applies to school district
242	levies the annual assessment increase limitations applicable to
243	nonhomestead property.

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