CS/HB 1163

1
A bill to be entitled
2An act relating to ad valorem taxation; amending s.
3193.155, F.S.; revising provisions relating to annual
4reassessment of property; providing that an assessment may
5not increase if the just value of the property is less
6than the just value of the property on the preceding
7January 1; deleting an obsolete provision; amending s.
8193.1554, F.S.; providing exceptions to reducing the
9amount that any change in the value of nonhomestead
10residential property resulting from an annual reassessment
11may exceed the assessed value of the property for the
12prior year; providing exceptions; providing that an
13assessment may not increase if the just value of the
14property is less than the just value of the property on
15the preceding date of assessment provided by law; amending
16s. 193.1555, F.S.; reducing the amount that any change in
17the value of certain residential and nonresidential real
18property resulting from an annual reassessment may exceed
19the assessed value of the property for the prior year;
20providing exceptions; providing that an assessment may not
21increase if the just value of the property is less than
22the just value of the property on the preceding date of
23assessment provided by law; creating s. 196.078, F.S.;
24providing a definition; providing a first-time Florida
25homesteader with an additional homestead exemption;
26providing for calculation of the exemption; providing for
27the applicability period of the exemption; providing for
28an annual reduction in the exemption during the
29applicability period; providing application procedures;
30providing for applicability of specified provisions;
31providing for contingent effect of provisions and varying
32dates of application depending on the adoption and
33adoption date of specified joint resolutions; authorizing
34the Department of Revenue to adopt emergency rules;
35providing for application and renewal of emergency rules;
36providing for certain contingent effect and retroactive
37application; providing an effective date.
38
39Be It Enacted by the Legislature of the State of Florida:
40
41     Section 1.  If House Joint Resolution 381 or Senate Joint
42Resolution 658, 2011 Regular Session, is approved by a vote of
43the electors in the general election held in November 2012,
44section 193.155, Florida Statutes, is amended to read:
45     193.155  Homestead assessments.-Homestead property shall be
46assessed at just value as of January 1, 1994. Property receiving
47the homestead exemption after January 1, 1994, shall be assessed
48at just value as of January 1 of the year in which the property
49receives the exemption unless the provisions of subsection (8)
50apply.
51     (1)  Beginning in 1995, or the year following the year the
52property receives a homestead exemption, whichever is later, the
53property shall be reassessed annually on January 1. Except for
54changes, additions, reductions, or improvements to homestead
55property assessed as provided in subsection (4):
56     (a)  Any change resulting from such reassessment shall not
57exceed the lower of the following:
58     1.(a)  Three percent of the assessed value of the property
59for the prior year; or
60     2.(b)  The percentage change in the Consumer Price Index
61for All Urban Consumers, U.S. City Average, all items 1967=100,
62or successor reports for the preceding calendar year as
63initially reported by the United States Department of Labor,
64Bureau of Labor Statistics.
65     (b)  An assessment may not increase if the just value of
66the property is less than the just value of the property on the
67preceding January 1.
68     (2)  If the assessed value of the property as calculated
69under subsection (1) exceeds the just value, the assessed value
70of the property shall be lowered to the just value of the
71property.
72     (3)(a)  Except as provided in this subsection or subsection
73(8), property assessed under this section shall be assessed at
74just value as of January 1 of the year following a change of
75ownership. Thereafter, the annual changes in the assessed value
76of the property are subject to the limitations in subsections
77(1) and (2). For the purpose of this section, a change of
78ownership means any sale, foreclosure, or transfer of legal
79title or beneficial title in equity to any person, except as
80provided in this subsection. There is no change of ownership if:
81     1.  Subsequent to the change or transfer, the same person
82is entitled to the homestead exemption as was previously
83entitled and:
84     a.  The transfer of title is to correct an error;
85     b.  The transfer is between legal and equitable title or
86equitable and equitable title and no additional person applies
87for a homestead exemption on the property; or
88     c.  The change or transfer is by means of an instrument in
89which the owner is listed as both grantor and grantee of the
90real property and one or more other individuals are additionally
91named as grantee. However, if any individual who is additionally
92named as a grantee applies for a homestead exemption on the
93property, the application shall be considered a change of
94ownership;
95     2.  Legal or equitable title is changed or transferred
96between husband and wife, including a change or transfer to a
97surviving spouse or a transfer due to a dissolution of marriage;
98     3.  The transfer occurs by operation of law to the
99surviving spouse or minor child or children under s. 732.401; or
100     4.  Upon the death of the owner, the transfer is between
101the owner and another who is a permanent resident and is legally
102or naturally dependent upon the owner.
103     (b)  For purposes of this subsection, a leasehold interest
104that qualifies for the homestead exemption under s. 196.031 or
105s. 196.041 shall be treated as an equitable interest in the
106property.
107     (4)(a)  Except as provided in paragraph (b), changes,
108additions, or improvements to homestead property shall be
109assessed at just value as of the first January 1 after the
110changes, additions, or improvements are substantially completed.
111     (b)  Changes, additions, or improvements that replace all
112or a portion of homestead property damaged or destroyed by
113misfortune or calamity shall not increase the homestead
114property's assessed value when the square footage of the
115homestead property as changed or improved does not exceed 110
116percent of the square footage of the homestead property before
117the damage or destruction. Additionally, the homestead
118property's assessed value shall not increase if the total square
119footage of the homestead property as changed or improved does
120not exceed 1,500 square feet. Changes, additions, or
121improvements that do not cause the total to exceed 110 percent
122of the total square footage of the homestead property before the
123damage or destruction or that do not cause the total to exceed
1241,500 total square feet shall be reassessed as provided under
125subsection (1). The homestead property's assessed value shall be
126increased by the just value of that portion of the changed or
127improved homestead property which is in excess of 110 percent of
128the square footage of the homestead property before the damage
129or destruction or of that portion exceeding 1,500 square feet.
130Homestead property damaged or destroyed by misfortune or
131calamity which, after being changed or improved, has a square
132footage of less than 100 percent of the homestead property's
133total square footage before the damage or destruction shall be
134assessed pursuant to subsection (5). This paragraph applies to
135changes, additions, or improvements commenced within 3 years
136after the January 1 following the damage or destruction of the
137homestead.
138     (c)  Changes, additions, or improvements that replace all
139or a portion of real property that was damaged or destroyed by
140misfortune or calamity shall be assessed upon substantial
141completion as if such damage or destruction had not occurred and
142in accordance with paragraph (b) if the owner of such property:
143     1.  Was permanently residing on such property when the
144damage or destruction occurred;
145     2.  Was not entitled to receive homestead exemption on such
146property as of January 1 of that year; and
147     3.  Applies for and receives homestead exemption on such
148property the following year.
149     (d)  Changes, additions, or improvements include
150improvements made to common areas or other improvements made to
151property other than to the homestead property by the owner or by
152an owner association, which improvements directly benefit the
153homestead property. Such changes, additions, or improvements
154shall be assessed at just value, and the just value shall be
155apportioned among the parcels benefiting from the improvement.
156     (5)  When property is destroyed or removed and not
157replaced, the assessed value of the parcel shall be reduced by
158the assessed value attributable to the destroyed or removed
159property.
160     (6)  Only property that receives a homestead exemption is
161subject to this section. No portion of property that is assessed
162solely on the basis of character or use pursuant to s. 193.461
163or s. 193.501, or assessed pursuant to s. 193.505, is subject to
164this section. When property is assessed under s. 193.461, s.
165193.501, or s. 193.505 and contains a residence under the same
166ownership, the portion of the property consisting of the
167residence and curtilage must be assessed separately, pursuant to
168s. 193.011, for the assessment to be subject to the limitation
169in this section.
170     (7)  If a person received a homestead exemption limited to
171that person's proportionate interest in real property, the
172provisions of this section apply only to that interest.
173     (8)  Property assessed under this section shall be assessed
174at less than just value when the person who establishes a new
175homestead has received a homestead exemption as of January 1 of
176either of the 2 immediately preceding years. A person who
177establishes a new homestead as of January 1, 2008, is entitled
178to have the new homestead assessed at less than just value only
179if that person received a homestead exemption on January 1,
1802007, and only if this subsection applies retroactive to January
1811, 2008. For purposes of this subsection, a husband and wife who
182owned and both permanently resided on a previous homestead shall
183each be considered to have received the homestead exemption even
184though only the husband or the wife applied for the homestead
185exemption on the previous homestead. The assessed value of the
186newly established homestead shall be determined as provided in
187this subsection.
188     (a)  If the just value of the new homestead as of January 1
189is greater than or equal to the just value of the immediate
190prior homestead as of January 1 of the year in which the
191immediate prior homestead was abandoned, the assessed value of
192the new homestead shall be the just value of the new homestead
193minus an amount equal to the lesser of $500,000 or the
194difference between the just value and the assessed value of the
195immediate prior homestead as of January 1 of the year in which
196the prior homestead was abandoned. Thereafter, the homestead
197shall be assessed as provided in this section.
198     (b)  If the just value of the new homestead as of January 1
199is less than the just value of the immediate prior homestead as
200of January 1 of the year in which the immediate prior homestead
201was abandoned, the assessed value of the new homestead shall be
202equal to the just value of the new homestead divided by the just
203value of the immediate prior homestead and multiplied by the
204assessed value of the immediate prior homestead. However, if the
205difference between the just value of the new homestead and the
206assessed value of the new homestead calculated pursuant to this
207paragraph is greater than $500,000, the assessed value of the
208new homestead shall be increased so that the difference between
209the just value and the assessed value equals $500,000.
210Thereafter, the homestead shall be assessed as provided in this
211section.
212     (c)  If two or more persons who have each received a
213homestead exemption as of January 1 of either of the 2
214immediately preceding years and who would otherwise be eligible
215to have a new homestead property assessed under this subsection
216establish a single new homestead, the reduction from just value
217is limited to the higher of the difference between the just
218value and the assessed value of either of the prior eligible
219homesteads as of January 1 of the year in which either of the
220eligible prior homesteads was abandoned, but may not exceed
221$500,000.
222     (d)  If two or more persons abandon jointly owned and
223jointly titled property that received a homestead exemption as
224of January 1 of either of the 2 immediately preceding years, and
225one or more such persons who were entitled to and received a
226homestead exemption on the abandoned property establish a new
227homestead that would otherwise be eligible for assessment under
228this subsection, each such person establishing a new homestead
229is entitled to a reduction from just value for the new homestead
230equal to the just value of the prior homestead minus the
231assessed value of the prior homestead divided by the number of
232owners of the prior homestead who received a homestead
233exemption, unless the title of the property contains specific
234ownership shares, in which case the share of reduction from just
235value shall be proportionate to the ownership share. In
236calculating the assessment reduction to be transferred from a
237prior homestead that has an assessment reduction for living
238quarters of parents or grandparents pursuant to s. 193.703, the
239value calculated pursuant to s. 193.703(6) must first be added
240back to the assessed value of the prior homestead. The total
241reduction from just value for all new homesteads established
242under this paragraph may not exceed $500,000. There shall be no
243reduction from just value of any new homestead unless the prior
244homestead is reassessed at just value or is reassessed under
245this subsection as of January 1 after the abandonment occurs.
246     (e)  If one or more persons who previously owned a single
247homestead and each received the homestead exemption qualify for
248a new homestead where all persons who qualify for homestead
249exemption in the new homestead also qualified for homestead
250exemption in the previous homestead without an additional person
251qualifying for homestead exemption in the new homestead, the
252reduction in just value shall be calculated pursuant to
253paragraph (a) or paragraph (b), without application of paragraph
254(c) or paragraph (d).
255     (f)  For purposes of receiving an assessment reduction
256pursuant to this subsection, a person entitled to assessment
257under this section may abandon his or her homestead even though
258it remains his or her primary residence by notifying the
259property appraiser of the county where the homestead is located.
260This notification must be in writing and delivered at the same
261time as or before timely filing a new application for homestead
262exemption on the property.
263     (g)  In order to have his or her homestead property
264assessed under this subsection, a person must file a form
265provided by the department as an attachment to the application
266for homestead exemption. The form, which must include a sworn
267statement attesting to the applicant's entitlement to assessment
268under this subsection, shall be considered sufficient
269documentation for applying for assessment under this subsection.
270The department shall require by rule that the required form be
271submitted with the application for homestead exemption under the
272timeframes and processes set forth in chapter 196 to the extent
273practicable.
274     (h)1.  If the previous homestead was located in a different
275county than the new homestead, the property appraiser in the
276county where the new homestead is located must transmit a copy
277of the completed form together with a completed application for
278homestead exemption to the property appraiser in the county
279where the previous homestead was located. If the previous
280homesteads of applicants for transfer were in more than one
281county, each applicant from a different county must submit a
282separate form.
283     2.  The property appraiser in the county where the previous
284homestead was located must return information to the property
285appraiser in the county where the new homestead is located by
286April 1 or within 2 weeks after receipt of the completed
287application from that property appraiser, whichever is later. As
288part of the information returned, the property appraiser in the
289county where the previous homestead was located must provide
290sufficient information concerning the previous homestead to
291allow the property appraiser in the county where the new
292homestead is located to calculate the amount of the assessment
293limitation difference which may be transferred and must certify
294whether the previous homestead was abandoned and has been or
295will be reassessed at just value or reassessed according to the
296provisions of this subsection as of the January 1 following its
297abandonment.
298     3.  Based on the information provided on the form from the
299property appraiser in the county where the previous homestead
300was located, the property appraiser in the county where the new
301homestead is located shall calculate the amount of the
302assessment limitation difference which may be transferred and
303apply the difference to the January 1 assessment of the new
304homestead.
305     4.  All property appraisers having information-sharing
306agreements with the department are authorized to share
307confidential tax information with each other pursuant to s.
308195.084, including social security numbers and linked
309information on the forms provided pursuant to this section.
310     5.  The transfer of any limitation is not final until any
311values on the assessment roll on which the transfer is based are
312final. If such values are final after tax notice bills have been
313sent, the property appraiser shall make appropriate corrections
314and a corrected tax notice bill shall be sent. Any values that
315are under administrative or judicial review shall be noticed to
316the tribunal or court for accelerated hearing and resolution so
317that the intent of this subsection may be carried out.
318     6.  If the property appraiser in the county where the
319previous homestead was located has not provided information
320sufficient to identify the previous homestead and the assessment
321limitation difference is transferable, the taxpayer may file an
322action in circuit court in that county seeking to establish that
323the property appraiser must provide such information.
324     7.  If the information from the property appraiser in the
325county where the previous homestead was located is provided
326after the procedures in this section are exercised, the property
327appraiser in the county where the new homestead is located shall
328make appropriate corrections and a corrected tax notice and tax
329bill shall be sent.
330     8.  This subsection does not authorize the consideration or
331adjustment of the just, assessed, or taxable value of the
332previous homestead property.
333     9.  The property appraiser in the county where the new
334homestead is located shall promptly notify a taxpayer if the
335information received, or available, is insufficient to identify
336the previous homestead and the amount of the assessment
337limitation difference which is transferable. Such notification
338shall be sent on or before July 1 as specified in s. 196.151.
339     10.  The taxpayer may correspond with the property
340appraiser in the county where the previous homestead was located
341to further seek to identify the homestead and the amount of the
342assessment limitation difference which is transferable.
343     11.  If the property appraiser in the county where the
344previous homestead was located supplies sufficient information
345to the property appraiser in the county where the new homestead
346is located, such information shall be considered timely if
347provided in time for inclusion on the notice of proposed
348property taxes sent pursuant to ss. 194.011 and 200.065(1).
349     12.  If the property appraiser has not received information
350sufficient to identify the previous homestead and the amount of
351the assessment limitation difference which is transferable
352before mailing the notice of proposed property taxes, the
353taxpayer may file a petition with the value adjustment board in
354the county where the new homestead is located.
355     (i)  Any person who is qualified to have his or her
356property assessed under this subsection and who fails to file an
357application by March 1 may file an application for assessment
358under this subsection and may, pursuant to s. 194.011(3), file a
359petition with the value adjustment board requesting that an
360assessment under this subsection be granted. Such petition may
361be filed at any time during the taxable year on or before the
36225th day following the mailing of the notice by the property
363appraiser as provided in s. 194.011(1). Notwithstanding s.
364194.013, such person must pay a nonrefundable fee of $15 upon
365filing the petition. Upon reviewing the petition, if the person
366is qualified to receive the assessment under this subsection and
367demonstrates particular extenuating circumstances judged by the
368property appraiser or the value adjustment board to warrant
369granting the assessment, the property appraiser or the value
370adjustment board may grant an assessment under this subsection.
371For the 2008 assessments, all petitioners for assessment under
372this subsection shall be considered to have demonstrated
373particular extenuating circumstances.
374     (j)  Any person who is qualified to have his or her
375property assessed under this subsection and who fails to timely
376file an application for his or her new homestead in the first
377year following eligibility may file in a subsequent year. The
378assessment reduction shall be applied to assessed value in the
379year the transfer is first approved, and refunds of tax may not
380be made for previous years.
381     (k)  The property appraisers of the state shall, as soon as
382practicable after March 1 of each year and on or before July 1
383of that year, carefully consider all applications for assessment
384under this subsection which have been filed in their respective
385offices on or before March 1 of that year. If, upon
386investigation, the property appraiser finds that the applicant
387is entitled to assessment under this subsection, the property
388appraiser shall make such entries upon the tax rolls of the
389county as are necessary to allow the assessment. If, after due
390consideration, the property appraiser finds that the applicant
391is not entitled under the law to assessment under this
392subsection, the property appraiser shall immediately make out a
393notice of such disapproval, giving his or her reasons therefor,
394and a copy of the notice must be served upon the applicant by
395the property appraiser either by personal delivery or by
396registered mail to the post office address given by the
397applicant. The applicant may appeal the decision of the property
398appraiser refusing to allow the assessment under this subsection
399to the value adjustment board, and the board shall review the
400application and evidence presented to the property appraiser
401upon which the applicant based the claim and shall hear the
402applicant in person or by agent on behalf of his or her right to
403such assessment. Such appeal shall be heard by an attorney
404special magistrate if the value adjustment board uses special
405magistrates. The value adjustment board shall reverse the
406decision of the property appraiser in the cause and grant
407assessment under this subsection to the applicant if, in its
408judgment, the applicant is entitled to be granted the assessment
409or shall affirm the decision of the property appraiser. The
410action of the board is final in the cause unless the applicant,
411within 15 days following the date of refusal of the application
412by the board, files in the circuit court of the county in which
413the homestead is located a proceeding against the property
414appraiser for a declaratory judgment as is provided by chapter
41586 or other appropriate proceeding. The failure of the taxpayer
416to appear before the property appraiser or value adjustment
417board or to file any paper other than the application as
418provided in this subsection does not constitute any bar to or
419defense in the proceedings.
420     (9)  Erroneous assessments of homestead property assessed
421under this section may be corrected in the following manner:
422     (a)  If errors are made in arriving at any assessment under
423this section due to a material mistake of fact concerning an
424essential characteristic of the property, the just value and
425assessed value must be recalculated for every such year,
426including the year in which the mistake occurred.
427     (b)  If changes, additions, or improvements are not
428assessed at just value as of the first January 1 after they were
429substantially completed, the property appraiser shall determine
430the just value for such changes, additions, or improvements for
431the year they were substantially completed. Assessments for
432subsequent years shall be corrected, applying this section if
433applicable.
434     (c)  If back taxes are due pursuant to s. 193.092, the
435corrections made pursuant to this subsection shall be used to
436calculate such back taxes.
437     (10)  If the property appraiser determines that for any
438year or years within the prior 10 years a person who was not
439entitled to the homestead property assessment limitation granted
440under this section was granted the homestead property assessment
441limitation, the property appraiser making such determination
442shall record in the public records of the county a notice of tax
443lien against any property owned by that person in the county,
444and such property must be identified in the notice of tax lien.
445Such property that is situated in this state is subject to the
446unpaid taxes, plus a penalty of 50 percent of the unpaid taxes
447for each year and 15 percent interest per annum. However, when a
448person entitled to exemption pursuant to s. 196.031
449inadvertently receives the limitation pursuant to this section
450following a change of ownership, the assessment of such property
451must be corrected as provided in paragraph (9)(a), and the
452person need not pay the unpaid taxes, penalties, or interest.
453     Section 2.  If House Joint Resolution 381 or Senate Joint
454Resolution 658, 2011 Regular Session, is approved by a vote of
455the electors in a special election held concurrent with the
456presidential preference primary in 2012, of section 193.155,
457Florida Statutes, is amended to read:
458     193.155  Homestead assessments.-Homestead property shall be
459assessed at just value as of January 1, 1994. Property receiving
460the homestead exemption after January 1, 1994, shall be assessed
461at just value as of January 1 of the year in which the property
462receives the exemption unless the provisions of subsection (8)
463apply.
464     (1)  Beginning in 1995, or the year following the year the
465property receives a homestead exemption, whichever is later, the
466property shall be reassessed annually on January 1. Except for
467changes, additions, reductions, or improvements to homestead
468property assessed as provided in subsection (4):
469     (a)  Any change resulting from such reassessment shall not
470exceed the lower of the following:
471     1.(a)  Three percent of the assessed value of the property
472for the prior year; or
473     2.(b)  The percentage change in the Consumer Price Index
474for All Urban Consumers, U.S. City Average, all items 1967=100,
475or successor reports for the preceding calendar year as
476initially reported by the United States Department of Labor,
477Bureau of Labor Statistics.
478     (b)  An assessment may not increase if the just value of
479the property is less than the just value of the property on the
480preceding January 1.
481     (2)  If the assessed value of the property as calculated
482under subsection (1) exceeds the just value, the assessed value
483of the property shall be lowered to the just value of the
484property.
485     (3)(a)  Except as provided in this subsection or subsection
486(8), property assessed under this section shall be assessed at
487just value as of January 1 of the year following a change of
488ownership. Thereafter, the annual changes in the assessed value
489of the property are subject to the limitations in subsections
490(1) and (2). For the purpose of this section, a change of
491ownership means any sale, foreclosure, or transfer of legal
492title or beneficial title in equity to any person, except as
493provided in this subsection. There is no change of ownership if:
494     1.  Subsequent to the change or transfer, the same person
495is entitled to the homestead exemption as was previously
496entitled and:
497     a.  The transfer of title is to correct an error;
498     b.  The transfer is between legal and equitable title or
499equitable and equitable title and no additional person applies
500for a homestead exemption on the property; or
501     c.  The change or transfer is by means of an instrument in
502which the owner is listed as both grantor and grantee of the
503real property and one or more other individuals are additionally
504named as grantee. However, if any individual who is additionally
505named as a grantee applies for a homestead exemption on the
506property, the application shall be considered a change of
507ownership;
508     2.  Legal or equitable title is changed or transferred
509between husband and wife, including a change or transfer to a
510surviving spouse or a transfer due to a dissolution of marriage;
511     3.  The transfer occurs by operation of law to the
512surviving spouse or minor child or children under s. 732.401; or
513     4.  Upon the death of the owner, the transfer is between
514the owner and another who is a permanent resident and is legally
515or naturally dependent upon the owner.
516     (b)  For purposes of this subsection, a leasehold interest
517that qualifies for the homestead exemption under s. 196.031 or
518s. 196.041 shall be treated as an equitable interest in the
519property.
520     (4)(a)  Except as provided in paragraph (b), changes,
521additions, or improvements to homestead property shall be
522assessed at just value as of the first January 1 after the
523changes, additions, or improvements are substantially completed.
524     (b)  Changes, additions, or improvements that replace all
525or a portion of homestead property damaged or destroyed by
526misfortune or calamity shall not increase the homestead
527property's assessed value when the square footage of the
528homestead property as changed or improved does not exceed 110
529percent of the square footage of the homestead property before
530the damage or destruction. Additionally, the homestead
531property's assessed value shall not increase if the total square
532footage of the homestead property as changed or improved does
533not exceed 1,500 square feet. Changes, additions, or
534improvements that do not cause the total to exceed 110 percent
535of the total square footage of the homestead property before the
536damage or destruction or that do not cause the total to exceed
5371,500 total square feet shall be reassessed as provided under
538subsection (1). The homestead property's assessed value shall be
539increased by the just value of that portion of the changed or
540improved homestead property which is in excess of 110 percent of
541the square footage of the homestead property before the damage
542or destruction or of that portion exceeding 1,500 square feet.
543Homestead property damaged or destroyed by misfortune or
544calamity which, after being changed or improved, has a square
545footage of less than 100 percent of the homestead property's
546total square footage before the damage or destruction shall be
547assessed pursuant to subsection (5). This paragraph applies to
548changes, additions, or improvements commenced within 3 years
549after the January 1 following the damage or destruction of the
550homestead.
551     (c)  Changes, additions, or improvements that replace all
552or a portion of real property that was damaged or destroyed by
553misfortune or calamity shall be assessed upon substantial
554completion as if such damage or destruction had not occurred and
555in accordance with paragraph (b) if the owner of such property:
556     1.  Was permanently residing on such property when the
557damage or destruction occurred;
558     2.  Was not entitled to receive homestead exemption on such
559property as of January 1 of that year; and
560     3.  Applies for and receives homestead exemption on such
561property the following year.
562     (d)  Changes, additions, or improvements include
563improvements made to common areas or other improvements made to
564property other than to the homestead property by the owner or by
565an owner association, which improvements directly benefit the
566homestead property. Such changes, additions, or improvements
567shall be assessed at just value, and the just value shall be
568apportioned among the parcels benefiting from the improvement.
569     (5)  When property is destroyed or removed and not
570replaced, the assessed value of the parcel shall be reduced by
571the assessed value attributable to the destroyed or removed
572property.
573     (6)  Only property that receives a homestead exemption is
574subject to this section. No portion of property that is assessed
575solely on the basis of character or use pursuant to s. 193.461
576or s. 193.501, or assessed pursuant to s. 193.505, is subject to
577this section. When property is assessed under s. 193.461, s.
578193.501, or s. 193.505 and contains a residence under the same
579ownership, the portion of the property consisting of the
580residence and curtilage must be assessed separately, pursuant to
581s. 193.011, for the assessment to be subject to the limitation
582in this section.
583     (7)  If a person received a homestead exemption limited to
584that person's proportionate interest in real property, the
585provisions of this section apply only to that interest.
586     (8)  Property assessed under this section shall be assessed
587at less than just value when the person who establishes a new
588homestead has received a homestead exemption as of January 1 of
589either of the 2 immediately preceding years. A person who
590establishes a new homestead as of January 1, 2008, is entitled
591to have the new homestead assessed at less than just value only
592if that person received a homestead exemption on January 1,
5932007, and only if this subsection applies retroactive to January
5941, 2008. For purposes of this subsection, a husband and wife who
595owned and both permanently resided on a previous homestead shall
596each be considered to have received the homestead exemption even
597though only the husband or the wife applied for the homestead
598exemption on the previous homestead. The assessed value of the
599newly established homestead shall be determined as provided in
600this subsection.
601     (a)  If the just value of the new homestead as of January 1
602is greater than or equal to the just value of the immediate
603prior homestead as of January 1 of the year in which the
604immediate prior homestead was abandoned, the assessed value of
605the new homestead shall be the just value of the new homestead
606minus an amount equal to the lesser of $500,000 or the
607difference between the just value and the assessed value of the
608immediate prior homestead as of January 1 of the year in which
609the prior homestead was abandoned. Thereafter, the homestead
610shall be assessed as provided in this section.
611     (b)  If the just value of the new homestead as of January 1
612is less than the just value of the immediate prior homestead as
613of January 1 of the year in which the immediate prior homestead
614was abandoned, the assessed value of the new homestead shall be
615equal to the just value of the new homestead divided by the just
616value of the immediate prior homestead and multiplied by the
617assessed value of the immediate prior homestead. However, if the
618difference between the just value of the new homestead and the
619assessed value of the new homestead calculated pursuant to this
620paragraph is greater than $500,000, the assessed value of the
621new homestead shall be increased so that the difference between
622the just value and the assessed value equals $500,000.
623Thereafter, the homestead shall be assessed as provided in this
624section.
625     (c)  If two or more persons who have each received a
626homestead exemption as of January 1 of either of the 2
627immediately preceding years and who would otherwise be eligible
628to have a new homestead property assessed under this subsection
629establish a single new homestead, the reduction from just value
630is limited to the higher of the difference between the just
631value and the assessed value of either of the prior eligible
632homesteads as of January 1 of the year in which either of the
633eligible prior homesteads was abandoned, but may not exceed
634$500,000.
635     (d)  If two or more persons abandon jointly owned and
636jointly titled property that received a homestead exemption as
637of January 1 of either of the 2 immediately preceding years, and
638one or more such persons who were entitled to and received a
639homestead exemption on the abandoned property establish a new
640homestead that would otherwise be eligible for assessment under
641this subsection, each such person establishing a new homestead
642is entitled to a reduction from just value for the new homestead
643equal to the just value of the prior homestead minus the
644assessed value of the prior homestead divided by the number of
645owners of the prior homestead who received a homestead
646exemption, unless the title of the property contains specific
647ownership shares, in which case the share of reduction from just
648value shall be proportionate to the ownership share. In
649calculating the assessment reduction to be transferred from a
650prior homestead that has an assessment reduction for living
651quarters of parents or grandparents pursuant to s. 193.703, the
652value calculated pursuant to s. 193.703(6) must first be added
653back to the assessed value of the prior homestead. The total
654reduction from just value for all new homesteads established
655under this paragraph may not exceed $500,000. There shall be no
656reduction from just value of any new homestead unless the prior
657homestead is reassessed at just value or is reassessed under
658this subsection as of January 1 after the abandonment occurs.
659     (e)  If one or more persons who previously owned a single
660homestead and each received the homestead exemption qualify for
661a new homestead where all persons who qualify for homestead
662exemption in the new homestead also qualified for homestead
663exemption in the previous homestead without an additional person
664qualifying for homestead exemption in the new homestead, the
665reduction in just value shall be calculated pursuant to
666paragraph (a) or paragraph (b), without application of paragraph
667(c) or paragraph (d).
668     (f)  For purposes of receiving an assessment reduction
669pursuant to this subsection, a person entitled to assessment
670under this section may abandon his or her homestead even though
671it remains his or her primary residence by notifying the
672property appraiser of the county where the homestead is located.
673This notification must be in writing and delivered at the same
674time as or before timely filing a new application for homestead
675exemption on the property.
676     (g)  In order to have his or her homestead property
677assessed under this subsection, a person must file a form
678provided by the department as an attachment to the application
679for homestead exemption. The form, which must include a sworn
680statement attesting to the applicant's entitlement to assessment
681under this subsection, shall be considered sufficient
682documentation for applying for assessment under this subsection.
683The department shall require by rule that the required form be
684submitted with the application for homestead exemption under the
685timeframes and processes set forth in chapter 196 to the extent
686practicable.
687     (h)1.  If the previous homestead was located in a different
688county than the new homestead, the property appraiser in the
689county where the new homestead is located must transmit a copy
690of the completed form together with a completed application for
691homestead exemption to the property appraiser in the county
692where the previous homestead was located. If the previous
693homesteads of applicants for transfer were in more than one
694county, each applicant from a different county must submit a
695separate form.
696     2.  The property appraiser in the county where the previous
697homestead was located must return information to the property
698appraiser in the county where the new homestead is located by
699April 1 or within 2 weeks after receipt of the completed
700application from that property appraiser, whichever is later. As
701part of the information returned, the property appraiser in the
702county where the previous homestead was located must provide
703sufficient information concerning the previous homestead to
704allow the property appraiser in the county where the new
705homestead is located to calculate the amount of the assessment
706limitation difference which may be transferred and must certify
707whether the previous homestead was abandoned and has been or
708will be reassessed at just value or reassessed according to the
709provisions of this subsection as of the January 1 following its
710abandonment.
711     3.  Based on the information provided on the form from the
712property appraiser in the county where the previous homestead
713was located, the property appraiser in the county where the new
714homestead is located shall calculate the amount of the
715assessment limitation difference which may be transferred and
716apply the difference to the January 1 assessment of the new
717homestead.
718     4.  All property appraisers having information-sharing
719agreements with the department are authorized to share
720confidential tax information with each other pursuant to s.
721195.084, including social security numbers and linked
722information on the forms provided pursuant to this section.
723     5.  The transfer of any limitation is not final until any
724values on the assessment roll on which the transfer is based are
725final. If such values are final after tax notice bills have been
726sent, the property appraiser shall make appropriate corrections
727and a corrected tax notice bill shall be sent. Any values that
728are under administrative or judicial review shall be noticed to
729the tribunal or court for accelerated hearing and resolution so
730that the intent of this subsection may be carried out.
731     6.  If the property appraiser in the county where the
732previous homestead was located has not provided information
733sufficient to identify the previous homestead and the assessment
734limitation difference is transferable, the taxpayer may file an
735action in circuit court in that county seeking to establish that
736the property appraiser must provide such information.
737     7.  If the information from the property appraiser in the
738county where the previous homestead was located is provided
739after the procedures in this section are exercised, the property
740appraiser in the county where the new homestead is located shall
741make appropriate corrections and a corrected tax notice and tax
742bill shall be sent.
743     8.  This subsection does not authorize the consideration or
744adjustment of the just, assessed, or taxable value of the
745previous homestead property.
746     9.  The property appraiser in the county where the new
747homestead is located shall promptly notify a taxpayer if the
748information received, or available, is insufficient to identify
749the previous homestead and the amount of the assessment
750limitation difference which is transferable. Such notification
751shall be sent on or before July 1 as specified in s. 196.151.
752     10.  The taxpayer may correspond with the property
753appraiser in the county where the previous homestead was located
754to further seek to identify the homestead and the amount of the
755assessment limitation difference which is transferable.
756     11.  If the property appraiser in the county where the
757previous homestead was located supplies sufficient information
758to the property appraiser in the county where the new homestead
759is located, such information shall be considered timely if
760provided in time for inclusion on the notice of proposed
761property taxes sent pursuant to ss. 194.011 and 200.065(1).
762     12.  If the property appraiser has not received information
763sufficient to identify the previous homestead and the amount of
764the assessment limitation difference which is transferable
765before mailing the notice of proposed property taxes, the
766taxpayer may file a petition with the value adjustment board in
767the county where the new homestead is located.
768     (i)  Any person who is qualified to have his or her
769property assessed under this subsection and who fails to file an
770application by March 1 may file an application for assessment
771under this subsection and may, pursuant to s. 194.011(3), file a
772petition with the value adjustment board requesting that an
773assessment under this subsection be granted. Such petition may
774be filed at any time during the taxable year on or before the
77525th day following the mailing of the notice by the property
776appraiser as provided in s. 194.011(1). Notwithstanding s.
777194.013, such person must pay a nonrefundable fee of $15 upon
778filing the petition. Upon reviewing the petition, if the person
779is qualified to receive the assessment under this subsection and
780demonstrates particular extenuating circumstances judged by the
781property appraiser or the value adjustment board to warrant
782granting the assessment, the property appraiser or the value
783adjustment board may grant an assessment under this subsection.
784For the 2008 assessments, all petitioners for assessment under
785this subsection shall be considered to have demonstrated
786particular extenuating circumstances.
787     (j)  Any person who is qualified to have his or her
788property assessed under this subsection and who fails to timely
789file an application for his or her new homestead in the first
790year following eligibility may file in a subsequent year. The
791assessment reduction shall be applied to assessed value in the
792year the transfer is first approved, and refunds of tax may not
793be made for previous years.
794     (k)  The property appraisers of the state shall, as soon as
795practicable after March 1 of each year and on or before July 1
796of that year, carefully consider all applications for assessment
797under this subsection which have been filed in their respective
798offices on or before March 1 of that year. If, upon
799investigation, the property appraiser finds that the applicant
800is entitled to assessment under this subsection, the property
801appraiser shall make such entries upon the tax rolls of the
802county as are necessary to allow the assessment. If, after due
803consideration, the property appraiser finds that the applicant
804is not entitled under the law to assessment under this
805subsection, the property appraiser shall immediately make out a
806notice of such disapproval, giving his or her reasons therefor,
807and a copy of the notice must be served upon the applicant by
808the property appraiser either by personal delivery or by
809registered mail to the post office address given by the
810applicant. The applicant may appeal the decision of the property
811appraiser refusing to allow the assessment under this subsection
812to the value adjustment board, and the board shall review the
813application and evidence presented to the property appraiser
814upon which the applicant based the claim and shall hear the
815applicant in person or by agent on behalf of his or her right to
816such assessment. Such appeal shall be heard by an attorney
817special magistrate if the value adjustment board uses special
818magistrates. The value adjustment board shall reverse the
819decision of the property appraiser in the cause and grant
820assessment under this subsection to the applicant if, in its
821judgment, the applicant is entitled to be granted the assessment
822or shall affirm the decision of the property appraiser. The
823action of the board is final in the cause unless the applicant,
824within 15 days following the date of refusal of the application
825by the board, files in the circuit court of the county in which
826the homestead is located a proceeding against the property
827appraiser for a declaratory judgment as is provided by chapter
82886 or other appropriate proceeding. The failure of the taxpayer
829to appear before the property appraiser or value adjustment
830board or to file any paper other than the application as
831provided in this subsection does not constitute any bar to or
832defense in the proceedings.
833     (9)  Erroneous assessments of homestead property assessed
834under this section may be corrected in the following manner:
835     (a)  If errors are made in arriving at any assessment under
836this section due to a material mistake of fact concerning an
837essential characteristic of the property, the just value and
838assessed value must be recalculated for every such year,
839including the year in which the mistake occurred.
840     (b)  If changes, additions, or improvements are not
841assessed at just value as of the first January 1 after they were
842substantially completed, the property appraiser shall determine
843the just value for such changes, additions, or improvements for
844the year they were substantially completed. Assessments for
845subsequent years shall be corrected, applying this section if
846applicable.
847     (c)  If back taxes are due pursuant to s. 193.092, the
848corrections made pursuant to this subsection shall be used to
849calculate such back taxes.
850     (10)  If the property appraiser determines that for any
851year or years within the prior 10 years a person who was not
852entitled to the homestead property assessment limitation granted
853under this section was granted the homestead property assessment
854limitation, the property appraiser making such determination
855shall record in the public records of the county a notice of tax
856lien against any property owned by that person in the county,
857and such property must be identified in the notice of tax lien.
858Such property that is situated in this state is subject to the
859unpaid taxes, plus a penalty of 50 percent of the unpaid taxes
860for each year and 15 percent interest per annum. However, when a
861person entitled to exemption pursuant to s. 196.031
862inadvertently receives the limitation pursuant to this section
863following a change of ownership, the assessment of such property
864must be corrected as provided in paragraph (9)(a), and the
865person need not pay the unpaid taxes, penalties, or interest.
866     Section 3.  If House Joint Resolution 381 or Senate Joint
867Resolution 658, 2011 Regular Session, is approved by a vote of
868the electors in the general election held in November 2012,
869subsection (3) of section 193.1554, Florida Statutes, is amended
870to read:
871     193.1554  Assessment of nonhomestead residential property.-
872     (3)  Beginning in 2013 2009, or the year following the year
873the property is placed on the tax roll, whichever is later, the
874property shall be reassessed annually on January 1. Except for
875changes, additions, reductions, or improvements to nonhomestead
876property assessed as provided in subsection (6):
877     (a)  Any change resulting from such reassessment may not
878exceed 3 10 percent of the assessed value of the property for
879the prior year.
880     (b)  An assessment may not increase if the just value of
881the property is less than the just value of the property on the
882preceding date of assessment provided by law.
883     Section 4.  If House Joint Resolution 381 or Senate Joint
884Resolution 658, 2011 Regular Session, is approved by a vote of
885the electors in a special election held concurrent with the
886presidential preference primary in 2012, subsection (3) of
887section 193.1554, Florida Statutes, is amended to read:
888     193.1554  Assessment of nonhomestead residential property.-
889     (3)  Beginning in 2012 2009, or the year following the year
890the property is placed on the tax roll, whichever is later, the
891property shall be reassessed annually on January 1. Except for
892changes, additions, reductions, or improvements to nonhomestead
893property assessed as provided in subsection (6):
894     (a)  Any change resulting from such reassessment may not
895exceed 3 10 percent of the assessed value of the property for
896the prior year.
897     (b) An assessment may not increase if the just value of the
898property is less than the just value of the property on the
899preceding date of assessment provided by law.
900     Section 5.  If House Joint Resolution 381 or Senate Joint
901Resolution 658, 2011 Regular Session, is approved by a vote of
902the electors in the general election held in November 2012,
903subsection (3) of section 193.1555, Florida Statutes, is amended
904to read:
905     193.1555  Assessment of certain residential and
906nonresidential real property.-
907     (3)  Beginning in 2013 2009, or the year following the year
908the property is placed on the tax roll, whichever is later, the
909property shall be reassessed annually on January 1. Except for
910changes, additions, reductions, or improvements to nonhomestead
911property assessed as provided in subsection (6):
912     (a)  Any change resulting from such reassessment may not
913exceed 3 10 percent of the assessed value of the property for
914the prior year.
915     (b)  An assessment may not increase if the just value of
916the property is less than the just value of the property on the
917preceding date of assessment provided by law.
918     Section 6.  If House Joint Resolution 381 or Senate Joint
919Resolution 658, 2011 Regular Session, is approved by a vote of
920the electors in a special election held concurrent with the
921presidential preference primary in 2012, subsection (3) of
922section 193.1555, Florida Statutes, is amended to read:
923     193.1555  Assessment of certain residential and
924nonresidential real property.-
925     (3)  Beginning in 2012 2009, or the year following the year
926the property is placed on the tax roll, whichever is later, the
927property shall be reassessed annually on January 1. Except for
928changes, additions, reductions, or improvements to nonhomestead
929property assessed as provided in subsection (6):
930     (a)  Any change resulting from such reassessment may not
931exceed 3 10 percent of the assessed value of the property for
932the prior year.
933     (b)  An assessment may not increase if the just value of
934the property is less than the just value of the property on the
935preceding date of assessment provided by law.
936     Section 7.  If House Joint Resolution 381 or Senate Joint
937Resolution 658, 2011 Regular Session, is approved by a vote of
938the electors in the general election held in November 2012,
939section 196.078, Florida Statutes, is created to read:
940     196.078  Additional homestead exemption for a first-time
941Florida homesteader.-
942     (1)  As used in this section, the term "first-time Florida
943homesteader" means a person who establishes the right to receive
944the homestead exemption provided in s. 196.031 within 1 year
945after purchasing the homestead property and who has not owned
946property in the previous 3 years to which the homestead
947exemption provided in s. 196.031(1)(a) applied.
948     (2)  Every first-time Florida homesteader is entitled to an
949additional homestead exemption in an amount equal to 50 percent
950of the homestead property's just value on January 1 of the year
951the homestead is established for all levies other than school
952district levies. The additional exemption applies for a period
953of 5 years or until the year the property is sold, whichever
954occurs first. The amount of the additional exemption may not
955exceed $200,000 and shall be reduced in each subsequent year by
956an amount equal to 20 percent of the amount of the additional
957exemption received in the year the homestead was established or
958by an amount equal to the difference between the just value of
959the property and the assessed value of the property determined
960under s. 193.155, whichever is greater. Not more than one
961exemption provided under this subsection is allowed per
962homestead property. The additional exemption applies to property
963purchased on or after January 1, 2012, but is not available in
964the sixth and subsequent years after the additional exemption is
965first received.
966     (3)  The property appraiser shall require a first-time
967Florida homesteader claiming an exemption under this section to
968submit, not later than March 1 on a form prescribed by the
969Department of Revenue, a sworn statement attesting that the
970taxpayer, and each other person who holds legal or equitable
971title to the property, has not owned property in the prior 3
972years that received the homestead exemption provided by s.
973196.031. In order for the exemption to be retained upon the
974addition of another person to the title to the property, the
975person added must also submit, not later than the subsequent
976March 1 on a form prescribed by the department, a sworn
977statement attesting that he or she has not owned property in the
978prior 3 years that received the homestead exemption provided by
979s. 196.031.
980     (4)  Sections 196.131 and 196.161 apply to the exemption
981provided in this section.
982     Section 8.  If House Joint Resolution 381 or Senate Joint
983Resolution 658, 2011 Regular Session, is approved by a vote of
984the electors in a special election held concurrent with the
985presidential preference primary in 2012, section 196.078,
986Florida Statutes, is created to read:
987     196.078  Additional homestead exemption for a first-time
988Florida homesteader.-
989     (1)  As used in this section, the term "first-time Florida
990homesteader" means a person who establishes the right to receive
991the homestead exemption provided in s. 196.031 within 1 year
992after purchasing the homestead property and who has not owned
993property in the previous 3 years to which the homestead
994exemption provided in s. 196.031(1)(a) applied.
995     (2)  Every first-time Florida homesteader is entitled to an
996additional homestead exemption in an amount equal to 50 percent
997of the homestead property's just value on January 1 of the year
998the homestead is established for all levies other than school
999district levies. The additional exemption applies for a period
1000of 5 years or until the year the property is sold, whichever
1001occurs first. The amount of the additional exemption may not
1002exceed $200,000 and shall be reduced in each subsequent year by
1003an amount equal to 20 percent of the amount of the additional
1004exemption received in the year the homestead was established or
1005by an amount equal to the difference between the just value of
1006the property and the assessed value of the property determined
1007under s. 193.155, whichever is greater. Not more than one
1008exemption provided under this subsection is allowed per
1009homestead property. The additional exemption applies to property
1010purchased on or after January 1, 2011, but is not available in
1011the sixth and subsequent years after the additional exemption is
1012first received.
1013     (3)  The property appraiser shall require a first-time
1014Florida homesteader claiming an exemption under this section to
1015submit, not later than March 1 on a form prescribed by the
1016Department of Revenue, a sworn statement attesting that the
1017taxpayer, and each other person who holds legal or equitable
1018title to the property, has not owned property in the prior 3
1019years that received the homestead exemption provided by s.
1020196.031. In order for the exemption to be retained upon the
1021addition of another person to the title to the property, the
1022person added must also submit, not later than the subsequent
1023March 1 on a form prescribed by the department, a sworn
1024statement attesting that he or she has not owned property in the
1025prior 3 years that received the homestead exemption provided by
1026s. 196.031.
1027     (4)  Sections 196.131 and 196.161 apply to the exemption
1028provided in this section.
1029     Section 9.  (1)  In anticipation of implementing this act,
1030the executive director of the Department of Revenue is
1031authorized, and all conditions are deemed met, to adopt
1032emergency rules under ss. 120.536(1) and 120.54(4), Florida
1033Statutes, to make necessary changes and preparations so that
1034forms, methods, and data records, electronic or otherwise, are
1035ready and in place if sections 2, 4, 6, and 8 or sections 1, 3,
10365, and 7 of this act become law.
1037     (2)  Notwithstanding any other provision of law, such
1038emergency rules shall remain in effect for 18 months after the
1039date of adoption and may be renewed during the pendency of
1040procedures to adopt rules addressing the subject of the
1041emergency rules.
1042     Section 10.  This act shall take effect upon becoming a
1043law, except that the sections of this act that take effect upon
1044the approval of House Joint Resolution 381 or Senate Joint
1045Resolution 658, 2011 Regular Session, by a vote of the electors
1046in a special election held concurrent with the presidential
1047preference primary in 2012 shall apply retroactively to the 2012
1048tax roll if the revision of the State Constitution contained in
1049House Joint Resolution 381 or Senate Joint Resolution 658, 2011
1050Regular Session, is approved by a vote of the electors in a
1051special election held concurrent with the presidential
1052preference primary in 2012; or the sections of this act that
1053take effect upon the approval of House Joint Resolution 381 or
1054Senate Joint Resolution 658, 2011 Regular Session, by a vote of
1055the electors in the general election held in November 2012 shall
1056apply to the 2013 tax roll if the revision of the State
1057Constitution contained in House Joint Resolution 381 or Senate
1058Joint Resolution 658, 2011 Regular Session, is approved by a
1059vote of the electors in the general election held in November
10602012.


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