Florida Senate - 2012                                     SB 156
       
       
       
       By Senator Latvala
       
       
       
       
       16-00054A-12                                           2012156__
    1                        A bill to be entitled                      
    2         An act relating to the assessment of residential and
    3         nonhomestead real property; amending s. 193.114, F.S.;
    4         limiting a review of changes to the assessed or
    5         taxable value of real property resulting from certain
    6         informal conferences to a review by the Department of
    7         Revenue; creating s. 193.624, F.S.; providing
    8         definitions; excluding the value of certain
    9         improvements from the assessed value of residential
   10         real property; specifying a limitation on the assessed
   11         value of residential real property; providing for
   12         application of the assessment limitations; providing
   13         procedural requirements and limitations; requiring a
   14         nonrefundable filing fee for a petition to the value
   15         adjustment board; amending s. 193.155, F.S.;
   16         specifying additional exceptions to the assessment of
   17         homestead property at just value; amending ss.
   18         193.1554 and 193.1555, F.S.; specifying additional
   19         exceptions to assessment of nonhomestead property at
   20         just value; defining the term “placed on the tax
   21         roll”; providing for the continuity and apportionment
   22         of assessment limitations on combined and divided
   23         parcels; specifying when divided or combined parcels
   24         shall appear as combined or divided on a tax roll;
   25         amending s. 196.012, F.S.; deleting the definition of
   26         the terms “renewable energy source device” and
   27         “device”; conforming a cross-reference; amending ss.
   28         196.121 and 196.1995, F.S.; conforming cross
   29         references; repealing s. 196.175, F.S., relating to
   30         the property tax exemption for renewable energy source
   31         devices; providing for application of the act;
   32         providing an effective date.
   33  
   34  Be It Enacted by the Legislature of the State of Florida:
   35  
   36         Section 1. Subsection (4) of section 193.114, Florida
   37  Statutes, is amended to read:
   38         193.114 Preparation of assessment rolls.—
   39         (4)(a) For every change made to the assessed or taxable
   40  value of a parcel on an assessment roll subsequent to the
   41  mailing of the notice provided for in s. 200.069, the property
   42  appraiser shall document the reason for such change in the
   43  public records of the office of the property appraiser in a
   44  manner acceptable to the executive director or the executive
   45  director’s designee. For every change made to the assessed or
   46  taxable value of a parcel on the assessment roll as the result
   47  of an informal conference under s. 194.011(2), only the
   48  department may review whether such changes are consistent with
   49  the law.
   50         (b) For every change that decreases the assessed or taxable
   51  value of a parcel on an assessment roll between the time of
   52  complete submission of the tax roll pursuant to s. 193.1142(3)
   53  and mailing of the notice provided for in s. 200.069, the
   54  property appraiser shall document the reason for such change in
   55  the public records of the office of the property appraiser in a
   56  manner acceptable to the executive director or the executive
   57  director’s designee. Changes made by the value adjustment board
   58  are not subject to the requirements of this subsection.
   59         Section 2. Section 193.624, Florida Statutes, is created to
   60  read:
   61         193.624 Assessment of residential property.—
   62         (1) For the purposes of this section:
   63         (a) “Changes or improvements made for the purpose of
   64  improving a property’s resistance to wind damage” means:
   65         1. Improving the strength of the roof-deck attachment;
   66         2. Creating a secondary water barrier to prevent water
   67  intrusion;
   68         3. Installing wind-resistant shingles;
   69         4. Installing gable-end bracing;
   70         5. Reinforcing roof-to-wall connections;
   71         6. Installing storm shutters; or
   72         7. Installing opening protections.
   73         (b) “Renewable energy source device” means any of the
   74  following equipment that collects, transmits, stores, or uses
   75  solar energy, wind energy, or energy derived from geothermal
   76  deposits:
   77         1. Solar energy collectors, photovoltaic modules, and
   78  inverters.
   79         2. Storage tanks and other storage systems, excluding
   80  swimming pools used as storage tanks.
   81         3. Rockbeds.
   82         4. Thermostats and other control devices.
   83         5. Heat exchange devices.
   84         6. Pumps and fans.
   85         7. Roof ponds.
   86         8. Freestanding thermal containers.
   87         9. Pipes, ducts, refrigerant handling systems, and other
   88  equipment used to interconnect such systems; however, such
   89  equipment does not include conventional backup systems of any
   90  type.
   91         10. Windmills and wind turbines.
   92         11. Wind-driven generators.
   93         12. Power conditioning and storage devices that use wind
   94  energy to generate electricity or mechanical forms of energy.
   95         13. Pipes and other equipment used to transmit hot
   96  geothermal water to a dwelling or structure from a geothermal
   97  deposit.
   98         (2) In determining the assessed value of real property used
   99  for residential purposes, the just value of changes or
  100  improvements made for the purpose of improving a property’s
  101  resistance to wind damage and the just value of renewable energy
  102  source devices may not be added to the assessed value as limited
  103  by s. 193.155 or s. 193.1554.
  104         (3) The assessed value of real property used for
  105  residential purposes may not exceed the total just value of the
  106  property minus the combined just values of changes or
  107  improvements made for the purpose of improving a property’s
  108  resistance to wind damage and renewable energy source devices.
  109         (4) This section applies to new and existing construction
  110  used for residential purposes.
  111         (5) A parcel of residential property may not be assessed
  112  pursuant to this section unless an application is filed on or
  113  before March 1 of the first year the property owner claims the
  114  assessment reduction for renewable energy source devices or
  115  changes or improvements made for the purpose of improving the
  116  property’s resistance to wind damage. The property appraiser may
  117  require the taxpayer or the taxpayer’s representative to furnish
  118  the property appraiser such information as may reasonably be
  119  required to establish the just value of the renewable energy
  120  source devices or changes or improvements made for the purpose
  121  of improving the property’s resistance to wind damage. Failure
  122  to make timely application by March 1 constitutes a waiver of
  123  the property owner to have his or her assessment calculated
  124  under this section. However, an applicant who fails to file an
  125  application by March 1 may file a late application and may file,
  126  pursuant to s. 194.011(3), a petition with the value adjustment
  127  board requesting assessment under this section. The petition
  128  must be filed on or before the 25th day after the mailing of the
  129  notice by the property appraiser as provided in s. 194.011(1).
  130  Notwithstanding s. 194.013, the applicant must pay a
  131  nonrefundable fee of $15 upon filing the petition. Upon
  132  reviewing the petition, if the property is qualified to be
  133  assessed under this section and the property owner demonstrates
  134  particular extenuating circumstances judged by the property
  135  appraiser or the value adjustment board to warrant granting
  136  assessment under this section, the property appraiser shall
  137  calculate the assessment pursuant to this section.
  138         Section 3. Paragraph (a) of subsection (4) of section
  139  193.155, Florida Statutes, is amended to read:
  140         193.155 Homestead assessments.—Homestead property shall be
  141  assessed at just value as of January 1, 1994. Property receiving
  142  the homestead exemption after January 1, 1994, shall be assessed
  143  at just value as of January 1 of the year in which the property
  144  receives the exemption unless the provisions of subsection (8)
  145  apply.
  146         (4)(a) Except as provided in paragraph (b) and s. 193.624,
  147  changes, additions, or improvements to homestead property shall
  148  be assessed at just value as of the first January 1 after the
  149  changes, additions, or improvements are substantially completed.
  150         Section 4. Subsection (1), paragraph (a) of subsection (6),
  151  and subsection (7) of section 193.1554, Florida Statutes, are
  152  amended to read:
  153         193.1554 Assessment of nonhomestead residential property.—
  154         (1) As used in this section, the term:
  155         (a) “Nonhomestead residential property” means residential
  156  real property that contains nine or fewer dwelling units,
  157  including vacant property zoned and platted for residential use,
  158  and that does not receive the exemption under s. 196.031.
  159         (b) “Placed on the tax roll” means the year any property,
  160  as of January 1, becomes eligible for assessment under this
  161  section and becomes a nonhomestead property or a property that
  162  has been combined or divided.
  163         (6)(a) Except as provided in paragraph (b) and s. 193.624,
  164  changes, additions, or improvements to nonhomestead residential
  165  property shall be assessed at just value as of the first January
  166  1 after the changes, additions, or improvements are
  167  substantially completed.
  168         (7) Any property that is combined or divided after January
  169  1 and included as a combined or divided parcel on the tax notice
  170  shall receive any current assessment limitation on the newly
  171  combined parcel or parcels or have any current assessment
  172  limitation apportioned among the newly created parcel or
  173  parcels, and the property may not be considered combined or
  174  divided for purposes of this section until the following January
  175  1, when the parcel or parcels shall be considered placed on the
  176  tax roll as a combined or divided parcel or parcels. Any
  177  increase in the value of property assessed under this section
  178  which is attributable to combining or dividing parcels shall be
  179  assessed at just value, and the just value shall be apportioned
  180  among the parcels created.
  181         Section 5. Subsections (1) and (7) of section 193.1555,
  182  Florida Statutes, are amended to read:
  183         193.1555 Assessment of certain residential and
  184  nonresidential real property.—
  185         (1) As used in this section, the term:
  186         (a) “Nonresidential real property” means real property that
  187  is not subject to the assessment limitations set forth in s.
  188  4(a), (c), (d), or (g), Art. VII of the State Constitution.
  189         (b) “Improvement” means an addition or change to land or
  190  buildings which increases their value and is more than a repair
  191  or a replacement.
  192         (c) “Placed on the tax roll” means the year any property,
  193  as of January 1, becomes eligible for assessment under this
  194  section and becomes a nonhomestead property or a property that
  195  has been combined or divided.
  196         (7) Any property that is combined or divided after January
  197  1 and included as a combined or divided parcel on the tax notice
  198  shall receive any current assessment limitation on the newly
  199  combined parcel or parcels or have any current assessment
  200  limitation apportioned among the newly created parcel or
  201  parcels, and the property may not be considered combined or
  202  divided for purposes of this section until the following January
  203  1, when the parcel or parcels shall be considered placed on the
  204  tax roll as a combined or divided parcel or parcels. Any
  205  increase in the value of property assessed under this section
  206  which is attributable to combining or dividing parcels shall be
  207  assessed at just value, and the just value shall be apportioned
  208  among the parcels created.
  209         Section 6. Subsections (14) through (20) of section
  210  196.012, Florida Statutes, are amended to read:
  211         196.012 Definitions.—For the purpose of this chapter, the
  212  following terms are defined as follows, except where the context
  213  clearly indicates otherwise:
  214         (14) “Renewable energy source device” or “device” means any
  215  of the following equipment which, when installed in connection
  216  with a dwelling unit or other structure, collects, transmits,
  217  stores, or uses solar energy, wind energy, or energy derived
  218  from geothermal deposits:
  219         (a) Solar energy collectors.
  220         (b) Storage tanks and other storage systems, excluding
  221  swimming pools used as storage tanks.
  222         (c) Rockbeds.
  223         (d) Thermostats and other control devices.
  224         (e) Heat exchange devices.
  225         (f) Pumps and fans.
  226         (g) Roof ponds.
  227         (h) Freestanding thermal containers.
  228         (i) Pipes, ducts, refrigerant handling systems, and other
  229  equipment used to interconnect such systems; however,
  230  conventional backup systems of any type are not included in this
  231  definition.
  232         (j) Windmills.
  233         (k) Wind-driven generators.
  234         (l) Power conditioning and storage devices that use wind
  235  energy to generate electricity or mechanical forms of energy.
  236         (m) Pipes and other equipment used to transmit hot
  237  geothermal water to a dwelling or structure from a geothermal
  238  deposit.
  239         (14)(15) “New business” means:
  240         (a)1. A business or organization establishing 10 or more
  241  new jobs to employ 10 or more full-time employees in this state,
  242  paying an average wage for such new jobs that is above the
  243  average wage in the area, which principally engages in any one
  244  or more of the following operations:
  245         a. Manufactures, processes, compounds, fabricates, or
  246  produces for sale items of tangible personal property at a fixed
  247  location and which comprises an industrial or manufacturing
  248  plant; or
  249         b. Is a target industry business as defined in s.
  250  288.106(2)(t);
  251         2. A business or organization establishing 25 or more new
  252  jobs to employ 25 or more full-time employees in this state, the
  253  sales factor of which, as defined by s. 220.15(5), for the
  254  facility with respect to which it requests an economic
  255  development ad valorem tax exemption is less than 0.50 for each
  256  year the exemption is claimed; or
  257         3. An office space in this state owned and used by a
  258  business or organization newly domiciled in this state; provided
  259  such office space houses 50 or more full-time employees of such
  260  business or organization; provided that such business or
  261  organization office first begins operation on a site clearly
  262  separate from any other commercial or industrial operation owned
  263  by the same business or organization.
  264         (b) Any business or organization located in an enterprise
  265  zone or brownfield area that first begins operation on a site
  266  clearly separate from any other commercial or industrial
  267  operation owned by the same business or organization.
  268         (c) A business or organization that is situated on property
  269  annexed into a municipality and that, at the time of the
  270  annexation, is receiving an economic development ad valorem tax
  271  exemption from the county under s. 196.1995.
  272         (15)(16) “Expansion of an existing business” means:
  273         (a)1. A business or organization establishing 10 or more
  274  new jobs to employ 10 or more full-time employees in this state,
  275  paying an average wage for such new jobs that is above the
  276  average wage in the area, which principally engages in any of
  277  the operations referred to in subparagraph (15)(a)1.; or
  278         2. A business or organization establishing 25 or more new
  279  jobs to employ 25 or more full-time employees in this state, the
  280  sales factor of which, as defined by s. 220.15(5), for the
  281  facility with respect to which it requests an economic
  282  development ad valorem tax exemption is less than 0.50 for each
  283  year the exemption is claimed; provided that such business
  284  increases operations on a site located within the same county,
  285  municipality, or both colocated with a commercial or industrial
  286  operation owned by the same business or organization under
  287  common control with the same business or organization, resulting
  288  in a net increase in employment of not less than 10 percent or
  289  an increase in productive output or sales of not less than 10
  290  percent.
  291         (b) Any business or organization located in an enterprise
  292  zone or brownfield area that increases operations on a site
  293  located within the same zone or area colocated with a commercial
  294  or industrial operation owned by the same business or
  295  organization under common control with the same business or
  296  organization.
  297         (16)(17) “Permanent resident” means a person who has
  298  established a permanent residence as defined in subsection (17)
  299  (18).
  300         (17)(18) “Permanent residence” means that place where a
  301  person has his or her true, fixed, and permanent home and
  302  principal establishment to which, whenever absent, he or she has
  303  the intention of returning. A person may have only one permanent
  304  residence at a time; and, once a permanent residence is
  305  established in a foreign state or country, it is presumed to
  306  continue until the person shows that a change has occurred.
  307         (18)(19) “Enterprise zone” means an area designated as an
  308  enterprise zone pursuant to s. 290.0065. This subsection expires
  309  on the date specified in s. 290.016 for the expiration of the
  310  Florida Enterprise Zone Act.
  311         (19)(20) “Ex-servicemember” means any person who has served
  312  as a member of the United States Armed Forces on active duty or
  313  state active duty, a member of the Florida National Guard, or a
  314  member of the United States Reserve Forces.
  315         Section 7. Subsection (2) of section 196.121, Florida
  316  Statutes, is amended to read:
  317         196.121 Homestead exemptions; forms.—
  318         (2) The forms shall require the taxpayer to furnish certain
  319  information to the property appraiser for the purpose of
  320  determining that the taxpayer is a permanent resident as defined
  321  in s. 196.012(16)(17). Such information may include, but need
  322  not be limited to, the factors enumerated in s. 196.015.
  323         Section 8. Subsections (6) and (8) and paragraph (d) of
  324  subsection (9) of section 196.1995, Florida Statutes, are
  325  amended to read:
  326         196.1995 Economic development ad valorem tax exemption.—
  327         (6) With respect to a new business as defined by s.
  328  196.012(14)(15)(c), the municipality annexing the property on
  329  which the business is situated may grant an economic development
  330  ad valorem tax exemption under this section to that business for
  331  a period that will expire upon the expiration of the exemption
  332  granted by the county. If the county renews the exemption under
  333  subsection (7), the municipality may also extend its exemption.
  334  A municipal economic development ad valorem tax exemption
  335  granted under this subsection may not extend beyond the duration
  336  of the county exemption.
  337         (8) Any person, firm, or corporation which desires an
  338  economic development ad valorem tax exemption shall, in the year
  339  the exemption is desired to take effect, file a written
  340  application on a form prescribed by the department with the
  341  board of county commissioners or the governing authority of the
  342  municipality, or both. The application shall request the
  343  adoption of an ordinance granting the applicant an exemption
  344  pursuant to this section and shall include the following
  345  information:
  346         (a) The name and location of the new business or the
  347  expansion of an existing business;
  348         (b) A description of the improvements to real property for
  349  which an exemption is requested and the date of commencement of
  350  construction of such improvements;
  351         (c) A description of the tangible personal property for
  352  which an exemption is requested and the dates when such property
  353  was or is to be purchased;
  354         (d) Proof, to the satisfaction of the board of county
  355  commissioners or the governing authority of the municipality,
  356  that the applicant is a new business or an expansion of an
  357  existing business, as defined in s. 196.012(15) or (16);
  358         (e) The number of jobs the applicant expects to create
  359  along with the average wage of the jobs and whether the jobs are
  360  full-time or part-time;
  361         (f) The expected time schedule for job creation; and
  362         (g) Other information deemed necessary or appropriate by
  363  the department, county, or municipality.
  364         (9) Before it takes action on the application, the board of
  365  county commissioners or the governing authority of the
  366  municipality shall deliver a copy of the application to the
  367  property appraiser of the county. After careful consideration,
  368  the property appraiser shall report the following information to
  369  the board of county commissioners or the governing authority of
  370  the municipality:
  371         (d) A determination as to whether the property for which an
  372  exemption is requested is to be incorporated into a new business
  373  or the expansion of an existing business, as defined in s.
  374  196.012(15) or (16), or into neither, which determination the
  375  property appraiser shall also affix to the face of the
  376  application. Upon the request of the property appraiser, the
  377  department shall provide to him or her such information as it
  378  may have available to assist in making such determination.
  379         Section 9. Section 196.175, Florida Statutes, is repealed.
  380         Section 10. This act shall take effect July 1, 2012, and
  381  applies to assessments beginning January 1, 2013.