Bill Text: FL S0344 | 2019 | Regular Session | Comm Sub


Bill Title: Homestead Property Assessments/Prohibition on Increases

Spectrum: Bipartisan Bill

Status: (Introduced) 2019-03-07 - CS by Community Affairs read 1st time [S0344 Detail]

Download: Florida-2019-S0344-Comm_Sub.html
       Florida Senate - 2019                             CS for SJR 344
       
       
        
       By the Committee on Community Affairs; and Senator Diaz
       
       
       
       
       
       578-02719-19                                           2019344c1
    1                       Senate Joint Resolution                     
    2         A joint resolution proposing an amendment to Section 4
    3         of Article VII and the creation of a new section in
    4         Article XII of the State Constitution to authorize the
    5         Legislature, by general law, to prohibit increases in
    6         the assessed value of homestead property, for school
    7         district levy purposes, if the legal or equitable
    8         title to the property is held by a person who is 65
    9         years of age or older and if he or she has held such
   10         title and maintained permanent residence on the
   11         property for at least 25 years, and to provide an
   12         effective date.
   13          
   14  Be It Resolved by the Legislature of the State of Florida:
   15  
   16         That the following amendment to Section 4 of Article VII
   17  and the creation of a new section in Article XII of the State
   18  Constitution are agreed to and shall be submitted to the
   19  electors of this state for approval or rejection at the next
   20  general election or at an earlier special election specifically
   21  authorized by law for that purpose:
   22                             ARTICLE VII                           
   23                        FINANCE AND TAXATION                       
   24         SECTION 4. Taxation; assessments.—
   25         By general law regulations shall be prescribed which shall
   26  secure a just valuation of all property for ad valorem taxation,
   27  provided:
   28         (a) Agricultural land, land producing high water recharge
   29  to Florida’s aquifers, or land used exclusively for
   30  noncommercial recreational purposes may be classified by general
   31  law and assessed solely on the basis of character or use.
   32         (b) As provided by general law and subject to conditions,
   33  limitations, and reasonable definitions specified therein, land
   34  used for conservation purposes shall be classified by general
   35  law and assessed solely on the basis of character or use.
   36         (c) Pursuant to general law tangible personal property held
   37  for sale as stock in trade and livestock may be valued for
   38  taxation at a specified percentage of its value, may be
   39  classified for tax purposes, or may be exempted from taxation.
   40         (d) All persons entitled to a homestead exemption under
   41  Section 6 of this Article shall have their homestead assessed at
   42  just value as of January 1 of the year following the effective
   43  date of this amendment. This assessment shall change only as
   44  provided in this subsection.
   45         (1) Assessments subject to this subsection shall be changed
   46  annually on January 1st of each year; but those changes in
   47  assessments shall not exceed the lower of the following:
   48         a. Three percent (3%) of the assessment for the prior year.
   49         b. The percent change in the Consumer Price Index for all
   50  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         (2) No assessment shall exceed just value.
   55         (3) After any change of ownership, as provided by general
   56  law, homestead property shall be assessed at just value as of
   57  January 1 of the following year, unless the provisions of
   58  paragraph (8) apply. Thereafter, the homestead shall be assessed
   59  as provided in this subsection.
   60         (4) New homestead property shall be assessed at just value
   61  as of January 1st of the year following the establishment of the
   62  homestead, unless the provisions of paragraph (8) apply. That
   63  assessment shall only change as 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 amendment are severable. If any
   72  of the provisions of this amendment shall be held
   73  unconstitutional by any court of competent jurisdiction, the
   74  decision of such court shall not affect or impair any remaining
   75  provisions of this amendment.
   76         (8)a. A person who establishes a new homestead as of
   77  January 1, 2009, or January 1 of any subsequent year and who has
   78  received a homestead exemption pursuant to Section 6 of this
   79  Article as of January 1 of either of the two years immediately
   80  preceding the establishment of the new homestead is entitled to
   81  have the new homestead assessed at less than just value. If this
   82  revision is approved in January of 2008, a person who
   83  establishes a new homestead as of January 1, 2008, is entitled
   84  to have the new homestead assessed at less than just value only
   85  if that person received a homestead exemption on January 1,
   86  2007. The assessed value of the newly established homestead
   87  shall be determined as follows:
   88         1. If the just value of the new homestead is greater than
   89  or equal to the just value of the prior homestead as of January
   90  1 of the year in which the prior homestead was abandoned, the
   91  assessed value of the new homestead shall be the just value of
   92  the new homestead minus an amount equal to the lesser of
   93  $500,000 or the difference between the just value and the
   94  assessed value of the prior homestead as of January 1 of the
   95  year in which the prior homestead was abandoned. Thereafter, the
   96  homestead shall be assessed as provided in this subsection.
   97         2. If the just value of the new homestead is less than the
   98  just value of the prior homestead as of January 1 of the year in
   99  which the prior homestead was abandoned, the assessed value of
  100  the new homestead shall be equal to the just value of the new
  101  homestead divided by the just value of the prior homestead and
  102  multiplied by the assessed value of the prior homestead.
  103  However, if the difference between the just value of the new
  104  homestead and the assessed value of the new homestead calculated
  105  pursuant to this sub-subparagraph is greater than $500,000, the
  106  assessed value of the new homestead shall be increased so that
  107  the difference between the just value and the assessed value
  108  equals $500,000. Thereafter, the homestead shall be assessed as
  109  provided in this subsection.
  110         b. By general law and subject to conditions specified
  111  therein, the legislature shall provide for application of this
  112  paragraph to property owned by more than one person.
  113         (e) The legislature may, by general law, for assessment
  114  purposes and subject to the provisions of this subsection, allow
  115  counties and municipalities to authorize by ordinance that
  116  historic property may be assessed solely on the basis of
  117  character or use. Such character or use assessment shall apply
  118  only to the jurisdiction adopting the ordinance. The
  119  requirements for eligible properties must be specified by
  120  general law.
  121         (f) A county may, in the manner prescribed by general law,
  122  provide for a reduction in the assessed value of homestead
  123  property to the extent of any increase in the assessed value of
  124  that property which results from the construction or
  125  reconstruction of the property for the purpose of providing
  126  living quarters for one or more natural or adoptive grandparents
  127  or parents of the owner of the property or of the owner’s spouse
  128  if at least one of the grandparents or parents for whom the
  129  living quarters are provided is 62 years of age or older. Such a
  130  reduction may not exceed the lesser of the following:
  131         (1) The increase in assessed value resulting from
  132  construction or reconstruction of the property.
  133         (2) Twenty percent of the total assessed value of the
  134  property as improved.
  135         (g) For all levies other than school district levies,
  136  assessments of residential real property, as defined by general
  137  law, which contains nine units or fewer and which is not subject
  138  to the assessment limitations set forth in subsections (a)
  139  through (d) shall change only as provided in this subsection.
  140         (1) Assessments subject to this subsection shall be changed
  141  annually on the date of assessment provided by law; but those
  142  changes in assessments shall not exceed ten percent (10%) of the
  143  assessment for the prior year.
  144         (2) No assessment shall exceed just value.
  145         (3) After a change of ownership or control, as defined by
  146  general law, including any change of ownership of a legal entity
  147  that owns the property, such property shall be assessed at just
  148  value as of the next assessment date. Thereafter, such property
  149  shall be assessed as provided in this subsection.
  150         (4) Changes, additions, reductions, or improvements to such
  151  property shall be assessed as provided for by general law;
  152  however, after the adjustment for any change, addition,
  153  reduction, or improvement, the property shall be assessed as
  154  provided in this subsection.
  155         (h) For all levies other than school district levies,
  156  assessments of real property that is not subject to the
  157  assessment limitations set forth in subsections (a) through (d)
  158  and (g) shall change only as provided in this subsection.
  159         (1) Assessments subject to this subsection shall be changed
  160  annually on the date of assessment provided by law; but those
  161  changes in assessments shall not exceed ten percent (10%) of the
  162  assessment for the prior year.
  163         (2) No assessment shall exceed just value.
  164         (3) The legislature must provide that such property shall
  165  be assessed at just value as of the next assessment date after a
  166  qualifying improvement, as defined by general law, is made to
  167  such property. Thereafter, such property shall be assessed as
  168  provided in this subsection.
  169         (4) The legislature may provide that such property shall be
  170  assessed at just value as of the next assessment date after a
  171  change of ownership or control, as defined by general law,
  172  including any change of ownership of the legal entity that owns
  173  the property. Thereafter, such property shall be assessed as
  174  provided in this subsection.
  175         (5) Changes, additions, reductions, or improvements to such
  176  property shall be assessed as provided for by general law;
  177  however, after the adjustment for any change, addition,
  178  reduction, or improvement, the property shall be assessed as
  179  provided in this subsection.
  180         (i) The legislature, by general law and subject to
  181  conditions specified therein, may prohibit the consideration of
  182  the following in the determination of the assessed value of real
  183  property:
  184         (1) Any change or improvement to real property used for
  185  residential purposes made to improve the property’s resistance
  186  to wind damage.
  187         (2) The installation of a solar or renewable energy source
  188  device.
  189         (j)(1) The assessment of the following working waterfront
  190  properties shall be based upon the current use of the property:
  191         a. Land used predominantly for commercial fishing 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         (k)By general law, and subject to conditions specified
  202  therein, the legislature may, for school district levy purposes,
  203  prohibit increases in the assessed value of property qualifying
  204  for a homestead exemption under section 6 of this article, if
  205  the legal or equitable title to the property is held by a person
  206  who:
  207         (1) Has attained age sixty-five; and
  208         (2)Has held legal or equitable title to the property and
  209  maintained permanent residence thereon for at least twenty-five
  210  years.
  211                             ARTICLE XII                           
  212                              SCHEDULE                             
  213         Assessment limitation for school district levy purposes for
  214  certain persons who have attained age sixty-five.This section
  215  and the amendment to Section 4 of Article VII authorizing the
  216  legislature, for school district levy purposes, to prohibit
  217  increases in the assessed value of homestead property if the
  218  legal or equitable title to the property is held by a person who
  219  has attained age sixty-five and if he or she has held legal or
  220  equitable title to the property and maintained permanent
  221  residence thereon for at least twenty-five years, shall take
  222  effect January 1, 2021.
  223         BE IT FURTHER RESOLVED that the following statement be
  224  placed on the ballot:
  225                      CONSTITUTIONAL AMENDMENT                     
  226                       ARTICLE VII, SECTION 4                      
  227                             ARTICLE XII                           
  228         HOMESTEAD ASSESSMENT LIMITATION FOR SCHOOL DISTRICT LEVY
  229  PURPOSES FOR CERTAIN PERSONS AGE 65 OR OLDER.—Authorizes the
  230  Legislature, by general law, to prohibit increases in the
  231  assessed value of homestead property, for school district levy
  232  purposes, if the legal or equitable title to the property is
  233  held by a person who is 65 years of age or older and if he or
  234  she has held such title and maintained permanent residence on
  235  the property for at least 25 years. This amendment takes effect
  236  January 1, 2021.

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