Bill Text: FL S1142 | 2015 | Regular Session | Introduced
Bill Title: Ad Valorem Taxation
Spectrum: Partisan Bill (Republican 1-0)
Status: (Failed) 2015-05-01 - Died in Finance and Tax [S1142 Detail]
Download: Florida-2015-S1142-Introduced.html
Florida Senate - 2015 SJR 1142 By Senator Gaetz 1-01112-15 20151142__ 1 Senate Joint Resolution 2 A joint resolution proposing an amendment to Section 4 3 of Article VII and the creation of Section 34 of 4 Article XII of the State Constitution to allow the 5 Legislature by general law to prohibit increases in 6 the assessed value of homestead and specified 7 nonhomestead real property if the just value of the 8 property declines; providing an effective date. 9 10 Be It Resolved by the Legislature of the State of Florida: 11 12 That the following amendment to Section 4 of Article VII 13 and the creation of Section 34 of Article XII of the State 14 Constitution are agreed to and shall be submitted to the 15 electors of this state for approval or rejection at the next 16 general election or at an earlier special election specifically 17 authorized by law for that purpose: 18 ARTICLE VII 19 FINANCE AND TAXATION 20 SECTION 4. Taxation; assessments.— 21 By general law regulations shall be prescribed which shall 22 secure a just valuation of all property for ad valorem taxation, 23 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) As provided by general law and subject to conditions, 29 limitations, and reasonable definitions specified therein, land 30 used for conservation purposes shall be classified by general 31 law and assessed solely on the basis of character or use. 32 (c) Pursuant to general law tangible personal property held 33 for sale as stock in trade and livestock may be valued for 34 taxation at a specified percentage of its value, may be 35 classified for tax purposes, or may be exempted from taxation. 36 (d) All persons entitled to a homestead exemption under 37 Section 6 of this Article shall have their homestead assessed at 38 just value as of January 1 of the year following the effective 39 date of this amendment. This assessment shall change only as 40 provided in this subsection. 41 (1) Assessments subject to this subsection shall be changed 42 annually on January 1st of each year; but those changes in 43 assessments shall not exceed the lower of the following: 44 a. Three percent (3%) of the assessment for the prior year. 45 b. The percent change in the Consumer Price Index for all 46 urban consumers, U.S. City Average, all items 1967=100, or 47 successor reports for the preceding calendar year as initially 48 reported by the United States Department of Labor, Bureau of 49 Labor Statistics. 50 (2) The legislature may provide by general law that, except 51 for changes, additions, reductions, or improvements to homestead 52 property assessed as provided in paragraph (6), an assessment 53 may not increase if the just value of the property is less than 54 the just value of the property on the preceding January 1. 55 (3) No assessment shall exceed just value. 56 (4)(3)After any change of ownership, as provided by 57 general law, homestead property shall be assessed at just value 58 as of January 1 of the following year, unless the provisions of 59 paragraph (9)(8)apply. Thereafter, the homestead shall be 60 assessed as provided in this subsection. 61 (5)(4)New homestead property shall be assessed at just 62 value as of January 1st of the year following the establishment 63 of the homestead, unless the provisions of paragraph (9)(8)64 apply. That assessment shall only change as provided in this 65 subsection. 66 (6)(5)Changes, additions, reductions, or improvements to 67 homestead property shall be assessed as provided for by general 68 law; provided, however, after the adjustment for any change, 69 addition, reduction, or improvement, the property shall be 70 assessed as provided in this subsection. 71 (7)(6)In the event of a termination of homestead status, 72 the property shall be assessed as provided by general law. 73 (8)(7)The provisions of this amendment are severable. If 74 any of the provisions of this amendment shall be held 75 unconstitutional by any court of competent jurisdiction, the 76 decision of such court shall not affect or impair any remaining 77 provisions of this amendment. 78 (9)(8)79 a. A person who establishes a new homestead as of January 80 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 changed 144 annually on the date of assessment provided by law; but those 145 changes in assessments shall not exceed ten percent (10%) of the 146 assessment for the prior year. The legislature may provide by 147 general law that, except for changes, additions, reductions, or 148 improvements to property assessed as provided in paragraph (4), 149 an assessment may not increase if the just value of the property 150 is less than the just value of the property on the preceding 151 date of assessment as provided by general law. 152 (2) No assessment shall exceed just value. 153 (3) After a change of ownership or control, as defined by 154 general law, including any change of ownership of a legal entity 155 that owns the property, such property shall be assessed at just 156 value as of the next assessment date. Thereafter, such property 157 shall be assessed as provided in this subsection. 158 (4) Changes, additions, reductions, or improvements to such 159 property shall be assessed as provided for by general law; 160 however, after the adjustment for any change, addition, 161 reduction, or improvement, the property shall be assessed as 162 provided in this subsection. 163 (h) For all levies other than school district levies, 164 assessments of real property that is not subject to the 165 assessment limitations set forth in subsections (a) through (d) 166 and (g) shall change only as provided in this subsection. 167 (1) Assessments subject to this subsection shall be changed 168 annually on the date of assessment provided by law; but those 169 changes in assessments shall not exceed ten percent (10%) of the 170 assessment for the prior year. The legislature may provide by 171 general law that, except for changes, additions, reductions, or 172 improvements to property assessed as provided in paragraph (5), 173 an assessment may not increase if the just value of the property 174 is less than the just value of the property on the preceding 175 date of assessment as provided by general law. 176 (2) No assessment shall exceed just value. 177 (3) The legislature must provide that such property shall 178 be assessed at just value as of the next assessment date after a 179 qualifying improvement, as defined by general law, is made to 180 such property. Thereafter, such property shall be assessed as 181 provided in this subsection. 182 (4) The legislature may provide that such property shall be 183 assessed at just value as of the next assessment date after a 184 change of ownership or control, as defined by general law, 185 including any change of ownership of the legal entity that owns 186 the property. Thereafter, such property shall be assessed as 187 provided in this subsection. 188 (5) Changes, additions, reductions, or improvements to such 189 property shall be assessed as provided for by general law; 190 however, after the adjustment for any change, addition, 191 reduction, or improvement, the property shall be assessed as 192 provided in this subsection. 193 (i) The legislature, by general law and subject to 194 conditions specified therein, may prohibit the consideration of 195 the following in the determination of the assessed value of real 196 property used for residential purposes: 197 (1) Any change or improvement made for the purpose of 198 improving the property’s resistance to wind damage. 199 (2) The installation of a renewable energy source device. 200 (j) 201 (1) The assessment of the following working waterfront 202 properties shall be based upon the current use of the property: 203 a. Land used predominantly for commercial fishing purposes. 204 b. Land that is accessible to the public and used for 205 vessel launches into waters that are navigable. 206 c. Marinas and drystacks that are open to the public. 207 d. Water-dependent marine manufacturing facilities, 208 commercial fishing facilities, and marine vessel construction 209 and repair facilities and their support activities. 210 (2) The assessment benefit provided by this subsection is 211 subject to conditions and limitations and reasonable definitions 212 as specified by the legislature by general law. 213 ARTICLE XII 214 SCHEDULE 215 SECTION 34. Property assessments.—This section and the 216 amendment of Section 4 of Article VII allowing the legislature 217 to prohibit an increase in the assessment of homestead and 218 specified nonhomestead real property having a declining just 219 value shall take effect on January 1, 2017. 220 BE IT FURTHER RESOLVED that the following statement be 221 placed on the ballot: 222 CONSTITUTIONAL AMENDMENT 223 ARTICLE VII, SECTION 4 224 ARTICLE XII, SECTION 34 225 PROPERTY ASSESSMENTS; DECLINING PROPERTY VALUE.—Proposing 226 an amendment to the State Constitution to allow the Legislature, 227 by general law, to prohibit an increase in the assessment of 228 homestead and specified nonhomestead real property if the 229 property’s just value is less than its just value on a specified 230 date, subject to any adjustment in the assessment due to 231 changes, additions, reductions, or improvements to the property 232 which are assessed pursuant to general law. This amendment takes 233 effect on January 1, 2017.