CS/CS/CS/CS/CS/HJR 381

1
House Joint Resolution
2A joint resolution proposing amendments to Sections 4 and
36 of Article VII and Section 27 of Article XII and the
4creation of Sections 32 and 33 of Article XII of the State
5Constitution to allow the Legislature by general law to
6prohibit increases in the assessed value of homestead and
7specified nonhomestead property if the just value of the
8property decreases, reduce the limitation on annual
9assessment increases applicable to nonhomestead real
10property, provide an additional homestead exemption for
11owners of homestead property who have not owned homestead
12property for a specified time before purchase of the
13current homestead property, and application and
14limitations with respect thereto, delay the future repeal
15of provisions limiting annual assessment increases for
16specified nonhomestead real property, and provide
17effective dates.
18
19Be It Resolved by the Legislature of the State of Florida:
20
21     That the following amendments to Sections 4 and 6 of
22Article VII and Section 27 of Article XII and the creation of
23Sections 32 and 33 of Article XII of the State Constitution are
24agreed to and shall be submitted to the electors of this state
25for approval or rejection at the next general election or at an
26earlier special election specifically authorized by law for that
27purpose:
28
ARTICLE VII
29
FINANCE AND TAXATION
30     SECTION 4.  Taxation; assessments.-By general law
31regulations shall be prescribed which shall secure a just
32valuation of all property for ad valorem taxation, provided:
33     (a)  Agricultural land, land producing high water recharge
34to Florida's aquifers, or land used exclusively for
35noncommercial recreational purposes may be classified by general
36law and assessed solely on the basis of character or use.
37     (b)  As provided by general law and subject to conditions,
38limitations, and reasonable definitions specified therein, land
39used for conservation purposes shall be classified by general
40law and assessed solely on the basis of character or use.
41     (c)  Pursuant to general law tangible personal property
42held for sale as stock in trade and livestock may be valued for
43taxation at a specified percentage of its value, may be
44classified for tax purposes, or may be exempted from taxation.
45     (d)  All persons entitled to a homestead exemption under
46Section 6 of this Article shall have their homestead assessed at
47just value as of January 1 of the year following the effective
48date of this amendment. This assessment shall change only as
49provided in this subsection.
50     (1)  Assessments subject to this subsection shall change be
51changed annually on January 1 1st of each year.; but those
52changes in assessments
53     a.  A change in an assessment may shall not exceed the
54lower of the following:
55     1.a.  Three percent (3%) of the assessment for the prior
56year.
57     2.b.  The percent change in the Consumer Price Index for
58all urban consumers, U.S. City Average, all items 1967=100, or a
59successor index reports for the preceding calendar year as
60initially reported by the United States Department of Labor,
61Bureau of Labor Statistics.
62     b.  The legislature may provide by general law that, except
63for changes, additions, reductions, or improvements to homestead
64property assessed as provided in paragraph (5), an assessment
65may not increase if the just value of the property is less than
66the just value of the property on the preceding January 1.
67     (2)  An No assessment may not shall exceed just value.
68     (3)  After a any change of ownership, as provided by
69general law, homestead property shall be assessed at just value
70as of January 1 of the following year, unless the provisions of
71paragraph (8) apply. Thereafter, the homestead shall be assessed
72as provided in this subsection.
73     (4)  New homestead property shall be assessed at just value
74as of January 1 1st of the year following the establishment of
75the homestead, unless the provisions of paragraph (8) apply.
76That assessment shall only change only as provided in this
77subsection.
78     (5)  Changes, additions, reductions, or improvements to
79homestead property shall be assessed as provided for by general
80law.; provided, However, after the adjustment for any change,
81addition, reduction, or improvement, the property shall be
82assessed as provided in this subsection.
83     (6)  In the event of a termination of homestead status, the
84property shall be assessed as provided by general law.
85     (7)  The provisions of this subsection amendment are
86severable. If a provision any of the provisions of this
87subsection is amendment shall be held unconstitutional by a any
88court of competent jurisdiction, the decision of the such court
89does shall not affect or impair any remaining provisions of this
90subsection amendment.
91     (8)a.  A person who establishes a new homestead as of
92January 1, 2009, or January 1 of any subsequent year and who has
93received a homestead exemption pursuant to Section 6 of this
94Article as of January 1 of either of the 2 two years immediately
95preceding the establishment of a the new homestead is entitled
96to have the new homestead assessed at less than just value. If
97this revision is approved in January of 2008, a person who
98establishes a new homestead as of January 1, 2008, is entitled
99to have the new homestead assessed at less than just value only
100if that person received a homestead exemption on January 1,
1012007. The assessed value of the newly established homestead
102shall be determined as follows:
103     1.  If the just value of the new homestead is greater than
104or equal to the just value of the prior homestead as of January
1051 of the year in which the prior homestead was abandoned, the
106assessed value of the new homestead shall be the just value of
107the new homestead minus an amount equal to the lesser of
108$500,000 or the difference between the just value and the
109assessed value of the prior homestead as of January 1 of the
110year in which the prior homestead was abandoned. Thereafter, the
111homestead shall be assessed as provided in this subsection.
112     2.  If the just value of the new homestead is less than the
113just value of the prior homestead as of January 1 of the year in
114which the prior homestead was abandoned, the assessed value of
115the new homestead shall be equal to the just value of the new
116homestead divided by the just value of the prior homestead and
117multiplied by the assessed value of the prior homestead.
118However, if the difference between the just value of the new
119homestead and the assessed value of the new homestead calculated
120pursuant to this sub-subparagraph is greater than $500,000, the
121assessed value of the new homestead shall be increased so that
122the difference between the just value and the assessed value
123equals $500,000. Thereafter, the homestead shall be assessed as
124provided in this subsection.
125     b.  By general law and subject to conditions specified
126therein, the legislature shall provide for application of this
127paragraph to property owned by more than one person.
128     (e)  The legislature may, by general law, for assessment
129purposes and subject to the provisions of this subsection, allow
130counties and municipalities to authorize by ordinance that
131historic property may be assessed solely on the basis of
132character or use. Such character or use assessment shall apply
133only to the jurisdiction adopting the ordinance. The
134requirements for eligible properties must be specified by
135general law.
136     (f)  A county may, in the manner prescribed by general law,
137provide for a reduction in the assessed value of homestead
138property to the extent of any increase in the assessed value of
139that property which results from the construction or
140reconstruction of the property for the purpose of providing
141living quarters for one or more natural or adoptive grandparents
142or parents of the owner of the property or of the owner's spouse
143if at least one of the grandparents or parents for whom the
144living quarters are provided is 62 years of age or older. Such a
145reduction may not exceed the lesser of the following:
146     (1)  The increase in assessed value resulting from
147construction or reconstruction of the property.
148     (2)  Twenty percent of the total assessed value of the
149property as improved.
150     (g)  For all levies other than school district levies,
151assessments of residential real property, as defined by general
152law, which contains nine units or fewer and which is not subject
153to the assessment limitations set forth in subsections (a)
154through (d) shall change only as provided in this subsection.
155     (1)  Assessments subject to this subsection shall be
156changed annually on the date of assessment provided by law.
157However,; but those changes in assessments may shall not exceed
1585 ten percent (10%) of the assessment for the prior year. The
159legislature may provide by general law that, except for changes,
160additions, reductions, or improvements to property assessed as
161provided in paragraph (4), an assessment may not increase if the
162just value of the property is less than the just value of the
163property on the preceding date of assessment provided by law.
164     (2)  An No assessment may not shall exceed just value.
165     (3)  After a change of ownership or control, as defined by
166general law, including any change of ownership of a legal entity
167that owns the property, such property shall be assessed at just
168value as of the next assessment date. Thereafter, such property
169shall be assessed as provided in this subsection.
170     (4)  Changes, additions, reductions, or improvements to
171such property shall be assessed as provided for by general law.;
172However, after the adjustment for any change, addition,
173reduction, or improvement, the property shall be assessed as
174provided in this subsection.
175     (h)  For all levies other than school district levies,
176assessments of real property that is not subject to the
177assessment limitations set forth in subsections (a) through (d)
178and (g) shall change only as provided in this subsection.
179     (1)  Assessments subject to this subsection shall be
180changed annually on the date of assessment provided by law.
181However,; but those changes in assessments may shall not exceed
1825 ten percent (10%) of the assessment for the prior year. The
183legislature may provide by general law that, except for changes,
184additions, reductions, or improvements to property assessed as
185provided in paragraph (5), an assessment may not increase if the
186just value of the property is less than the just value of the
187property on the preceding date of assessment provided by law.
188     (2)  An No assessment may not shall exceed just value.
189     (3)  The legislature must provide that such property shall
190be assessed at just value as of the next assessment date after a
191qualifying improvement, as defined by general law, is made to
192such property. Thereafter, such property shall be assessed as
193provided in this subsection.
194     (4)  The legislature may provide that such property shall
195be assessed at just value as of the next assessment date after a
196change of ownership or control, as defined by general law,
197including any change of ownership of the legal entity that owns
198the property. Thereafter, such property shall be assessed as
199provided in this subsection.
200     (5)  Changes, additions, reductions, or improvements to
201such property shall be assessed as provided for by general law.;
202However, after the adjustment for any change, addition,
203reduction, or improvement, the property shall be assessed as
204provided in this subsection.
205     (i)  The legislature, by general law and subject to
206conditions specified therein, may prohibit the consideration of
207the following in the determination of the assessed value of real
208property used for residential purposes:
209     (1)  Any change or improvement made for the purpose of
210improving the property's resistance to wind damage.
211     (2)  The installation of a renewable energy source device.
212     (j)(1)  The assessment of the following working waterfront
213properties shall be based upon the current use of the property:
214     a.  Land used predominantly for commercial fishing
215purposes.
216     b.  Land that is accessible to the public and used for
217vessel launches into waters that are navigable.
218     c.  Marinas and drystacks that are open to the public.
219     d.  Water-dependent marine manufacturing facilities,
220commercial fishing facilities, and marine vessel construction
221and repair facilities and their support activities.
222     (2)  The assessment benefit provided by this subsection is
223subject to conditions and limitations and reasonable definitions
224as specified by the legislature by general law.
225     SECTION 6.  Homestead exemptions.-
226     (a)  Every person who has the legal or equitable title to
227real estate and maintains thereon the permanent residence of the
228owner, or another legally or naturally dependent upon the owner,
229shall be exempt from taxation thereon, except assessments for
230special benefits, up to the assessed valuation of $25,000
231twenty-five thousand dollars and, for all levies other than
232school district levies, on the assessed valuation greater than
233$50,000 fifty thousand dollars and up to $75,000 seventy-five
234thousand dollars, upon establishment of right thereto in the
235manner prescribed by law. The real estate may be held by legal
236or equitable title, by the entireties, jointly, in common, as a
237condominium, or indirectly by stock ownership or membership
238representing the owner's or member's proprietary interest in a
239corporation owning a fee or a leasehold initially in excess of
24098 ninety-eight years. The exemption shall not apply with
241respect to any assessment roll until such roll is first
242determined to be in compliance with the provisions of Section 4
243by a state agency designated by general law. This exemption is
244repealed on the effective date of any amendment to this Article
245which provides for the assessment of homestead property at less
246than just value.
247     (b)  Not more than one exemption shall be allowed any
248individual or family unit or with respect to any residential
249unit. No exemption shall exceed the value of the real estate
250assessable to the owner or, in case of ownership through stock
251or membership in a corporation, the value of the proportion
252which the interest in the corporation bears to the assessed
253value of the property.
254     (c)  By general law and subject to conditions specified
255therein, the legislature may provide to renters, who are
256permanent residents, ad valorem tax relief on all ad valorem tax
257levies. Such ad valorem tax relief shall be in the form and
258amount established by general law.
259     (d)  The legislature may, by general law, allow counties or
260municipalities, for the purpose of their respective tax levies
261and subject to the provisions of general law, to grant an
262additional homestead tax exemption not exceeding $50,000 fifty
263thousand dollars to any person who has the legal or equitable
264title to real estate and maintains thereon the permanent
265residence of the owner and who has attained age 65 sixty-five
266and whose household income, as defined by general law, does not
267exceed $20,000 twenty thousand dollars. The general law must
268allow counties and municipalities to grant this additional
269exemption, within the limits prescribed in this subsection, by
270ordinance adopted in the manner prescribed by general law, and
271must provide for the periodic adjustment of the income
272limitation prescribed in this subsection for changes in the cost
273of living.
274     (e)  Each veteran who is age 65 or older who is partially
275or totally permanently disabled shall receive a discount from
276the amount of the ad valorem tax otherwise owed on homestead
277property the veteran owns and resides in if the disability was
278combat related, the veteran was a resident of this state at the
279time of entering the military service of the United States, and
280the veteran was honorably discharged upon separation from
281military service. The discount shall be in a percentage equal to
282the percentage of the veteran's permanent, service-connected
283disability as determined by the United States Department of
284Veterans Affairs. To qualify for the discount granted by this
285subsection, an applicant must submit to the county property
286appraiser, by March 1, proof of residency at the time of
287entering military service, an official letter from the United
288States Department of Veterans Affairs stating the percentage of
289the veteran's service-connected disability and such evidence
290that reasonably identifies the disability as combat related, and
291a copy of the veteran's honorable discharge. If the property
292appraiser denies the request for a discount, the appraiser must
293notify the applicant in writing of the reasons for the denial,
294and the veteran may reapply. The legislature may, by general
295law, waive the annual application requirement in subsequent
296years. This subsection shall take effect December 7, 2006, is
297self-executing, and does not require implementing legislation.
298     (f)  As provided by general law and subject to conditions
299specified therein, every person who establishes the right to
300receive the homestead exemption provided in subsection (a)
301within 1 year after purchasing the homestead property and who
302has not owned property in the previous 3 calendar years to which
303the homestead exemption provided in subsection (a) applied is
304entitled to an additional homestead exemption for all levies
305except school district levies. The additional exemption is an
306amount equal to 50 percent of the homestead property's just
307value on January 1 of the year the homestead is established. The
308additional exemption may not exceed the median just value of all
309homestead property within the county where the property at issue
310is located for the calendar year immediately preceding January 1
311of the year the homestead is established. The additional
312exemption shall apply for a period of 5 years or until the year
313the property is sold, whichever occurs first. The amount of the
314additional exemption shall be reduced in each subsequent year by
315an amount equal to 20 percent of the amount of the additional
316exemption received in the year the homestead was established or
317by an amount equal to the difference between the just value of
318the property and the assessed value of the property determined
319under Section 4(d), whichever is greater. Not more than one
320exemption provided under this subsection shall be allowed per
321homestead property at one time. The additional exemption applies
322to property purchased on or after January 1, 2011, if this
323amendment is approved at a special election held on the date of
324the 2012 presidential preference primary, or to property
325purchased on or after January 1, 2012, if this amendment is
326approved at the 2012 general election, but the additional
327exemption is not available in the sixth and subsequent years
328after it is first received.
329
ARTICLE XII
330
SCHEDULE
331     SECTION 27.  Property tax exemptions and limitations on
332property tax assessments.-The amendments to Sections 3, 4, and 6
333of Article VII, providing a $25,000 exemption for tangible
334personal property, providing an additional $25,000 homestead
335exemption, authorizing transfer of the accrued benefit from the
336limitations on the assessment of homestead property, and this
337section, if submitted to the electors of this state for approval
338or rejection at a special election authorized by law to be held
339on January 29, 2008, shall take effect upon approval by the
340electors and shall operate retroactively to January 1, 2008, or,
341if submitted to the electors of this state for approval or
342rejection at the next general election, shall take effect
343January 1 of the year following such general election. The
344amendments to Section 4 of Article VII creating subsections (f)
345and (g) of that section, creating a limitation on annual
346assessment increases for specified real property, shall take
347effect upon approval of the electors and shall first limit
348assessments beginning January 1, 2009, if approved at a special
349election held on January 29, 2008, or shall first limit
350assessments beginning January 1, 2010, if approved at the
351general election held in November of 2008. Subsections (g) (f)
352and (h) (g) of Section 4 of Article VII, initially adopted as
353subsections (f) and (g), are repealed effective January 1, 2023
3542019; however, the legislature shall by joint resolution propose
355an amendment abrogating the repeal of subsections (g) (f) and
356(h) (g), which shall be submitted to the electors of this state
357for approval or rejection at the general election of 2022 2018
358and, if approved, shall take effect January 1, 2023 2019.
359     SECTION 32.  Property assessments.-This section and the
360amendment of Section 4 of Article VII addressing homestead and
361specified nonhomestead property having a declining just value
362and reducing the limit on the maximum annual increase in the
363assessed value of nonhomestead property, if submitted to the
364electors of this state for approval or rejection at a special
365election authorized by law to be held on the date of the 2012
366presidential preference primary, shall take effect upon approval
367by the electors and shall operate retroactively to January 1,
3682012, or, if submitted to the electors of this state for
369approval or rejection at the 2012 general election, shall take
370effect January 1, 2013.
371     SECTION 33.  Additional homestead exemption for owners of
372homestead property who recently have not owned homestead
373property.-This section and the amendment to Section 6 of Article
374VII providing for an additional homestead exemption for owners
375of homestead property who have not owned homestead property
376during the 3 calendar years immediately preceding purchase of
377the current homestead property, if submitted to the electors of
378this state for approval or rejection at a special election
379authorized by law to be held on the date of the 2012
380presidential preference primary, shall take effect upon approval
381by the electors and operate retroactively to January 1, 2012,
382and the additional homestead exemption shall be available for
383properties purchased on or after January 1, 2011, or if
384submitted to the electors of this state for approval or
385rejection at the 2012 general election, shall take effect
386January 1, 2013, and the additional homestead exemption shall be
387available for properties purchased on or after January 1, 2012.
388     BE IT FURTHER RESOLVED that the following statement be
389placed on the ballot:
390
CONSTITUTIONAL AMENDMENT
391
ARTICLE VII, SECTIONS 4, 6
392
ARTICLE XII, SECTIONS 27, 32, 33
393     PROPERTY TAX LIMITATIONS; PROPERTY VALUE DECLINE; REDUCTION
394FOR NONHOMESTEAD ASSESSMENT INCREASES; DELAY OF SCHEDULED
395REPEAL.-
396     (1)  This would amend Florida Constitution Article VII,
397Section 4 (Taxation; assessments) and Section 6 (Homestead
398exemptions). It also would amend Article XII, Section 27, and
399add Sections 32 and 33, relating to the Schedule for the
400amendments.
401     (2)  In certain circumstances, the law requires the
402assessed value of homestead and specified nonhomestead property
403to increase when the just value of the property decreases.
404Therefore, this amendment provides that the Legislature may, by
405general law, provide that the assessment of homestead and
406specified nonhomestead property may not increase if the just
407value of that property is less than the just value of the
408property on the preceding January 1, subject to any adjustment
409in the assessed value due to changes, additions, reductions, or
410improvements to such property which are assessed as provided for
411by general law. This amendment takes effect upon approval by the
412voters. If approved at a special election held on the date of
413the 2012 presidential preference primary, it shall operate
414retroactively to January 1, 2012, or, if approved at the 2012
415general election, shall take effect January 1, 2013.
416     (3)  This amendment reduces from 10 percent to 5 percent
417the limitation on annual changes in assessments of nonhomestead
418real property. This amendment takes effect upon approval of the
419voters. If approved at a special election held on the date of
420the 2012 presidential preference primary, it shall operate
421retroactively to January 1, 2012, or, if approved at the 2012
422general election, takes effect January 1, 2013.
423     (4)  This amendment also authorizes general law to provide,
424subject to conditions specified in such law, an additional
425homestead exemption to every person who establishes the right to
426receive the homestead exemption provided in the Florida
427Constitution within 1 year after purchasing the homestead
428property and who has not owned property in the previous 3
429calendar years to which the Florida homestead exemption applied.
430The additional homestead exemption shall apply to all levies
431except school district levies. The additional exemption is an
432amount equal to 50 percent of the homestead property's just
433value on January 1 of the year the homestead is established. The
434additional homestead exemption may not exceed an amount equal to
435the median just value of all homestead property within the
436county where the property at issue is located for the calendar
437year immediately preceding January 1 of the year the homestead
438is established. The additional exemption shall apply for the
439shorter of 5 years or the year of sale of the property. The
440amount of the additional exemption shall be reduced in each
441subsequent year by an amount equal to 20 percent of the amount
442of the additional exemption received in the year the homestead
443was established or by an amount equal to the difference between
444the just value of the property and the assessed value of the
445property determined under Article VII, Section 4(d), whichever
446is greater. Not more than one such exemption shall be allowed
447per homestead property at one time. The additional exemption
448applies to property purchased on or after January 1, 2011, if
449approved by the voters at a special election held on the date of
450the 2012 presidential preference primary, or to property
451purchased on or after January 1, 2012, if approved by the voters
452at the 2012 general election. The additional exemption is not
453available in the sixth and subsequent years after it is first
454received. The amendment shall take effect upon approval by the
455voters. If approved at a special election held on the date of
456the 2012 presidential preference primary, it shall operate
457retroactively to January 1, 2012, or, if approved at the 2012
458general election, takes effect January 1, 2013.
459     (5)  This amendment also delays until 2023, the repeal,
460currently scheduled to take effect in 2019, of constitutional
461amendments adopted in 2008 which limit annual assessment
462increases for specified nonhomestead real property. This
463amendment delays until 2022 the submission of an amendment
464proposing the abrogation of such repeal to the voters.


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