Senate Bill 0320c1

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



    Florida Senate - 1999                            CS for SB 320

    By the Committee on Comprehensive Planning, Local and Military
    Affairs; and Senator Klein




    316-1631-99

  1                      A bill to be entitled

  2         An act relating to ad valorem taxation;

  3         creating s. 192.205, F.S.; allowing local

  4         governmental bodies to levy interim improvement

  5         surcharges on improvements to real estate;

  6         providing a formula for computing the

  7         surcharge; providing a maximum allowable dollar

  8         amount of such a surcharge; requiring notice;

  9         requiring a surcharge assessment roll to be

10         prepared annually; providing for the

11         applicability of collection provisions;

12         providing for uses of the proceeds of such

13         surcharges; amending s. 236.25, F.S.;

14         prohibiting surcharge revenues from inclusion

15         in the calculation of the required local effort

16         in the Florida Education Finance Program

17         formula; providing an effective date.

18

19  Be It Enacted by the Legislature of the State of Florida:

20

21         Section 1.  Section 192.205, Florida Statutes, is

22  created to read:

23         192.205  Interim improvement surcharge.--

24         (1)  The governing body of a county, the school board,

25  and the governing body of a municipality, by ordinance, may

26  levy an interim improvement surcharge. Both the county and the

27  school board may levy a surcharge on improvements to real

28  property in the county. The governing board of a municipality

29  may also levy a surcharge on improvements to real property

30  within the municipality.

31

                                  1

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






    Florida Senate - 1999                            CS for SB 320
    316-1631-99




  1         (2)  The surcharge must be computed by multiplying the

  2  taxable value of an improvement to real property by a

  3  surcharge rate and by a time factor, subject to the

  4  limitations provided in this section.

  5         (a)  The surcharge applies to the taxable value, as

  6  determined under this chapter, of an improvement to real

  7  property which was not substantially completed before January

  8  1 of the preceding year but which was substantially completed

  9  before January 1 of the current year. The term "substantially

10  completed" has the meaning ascribed to that term in s.

11  192.042.

12         (b)  The surcharge rate must be the ad valorem millage

13  levied by the county, school district, or municipality, as

14  appropriate, in the preceding year.

15         (c)  The time factor is a fraction of which the

16  numerator equals the number of days of the year during which

17  the improvement was substantially completed and the

18  denominator is the number of days in that year.

19         (d)  The amount of the surcharge may be limited by

20  ordinance.

21         (2)  The governing body that levies the surcharge shall

22  provide to the owner of the improvement by first-class mail

23  notice of the surcharge. The notice must include a general

24  description of the surcharge, the rate of the surcharge, the

25  taxable value upon which the surcharge is levied, the amount

26  of the surcharge, the date on which the improvement was

27  substantially completed, and the method of collection.

28         (3)  The governing body annually shall prepare a

29  surcharge assessment roll in accordance with the procedures

30  set forth in s. 197.3632(5). The surcharge must be included in

31  the combined notice of ad valorem taxes and non-ad valorem

                                  2

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






    Florida Senate - 1999                            CS for SB 320
    316-1631-99




  1  assessments in the year following the year in which the

  2  improvement becomes substantially completed. The surcharge is

  3  subject to all collection provisions of chapter 197,

  4  including, but not limited to, provisions relating to discount

  5  for early payment, prepayment by installment method, deferred

  6  payment, penalty for delinquent payment, and issuance and sale

  7  of tax certificates and tax deeds for nonpayment.

  8         (4)  The proceeds of the surcharge may be expended for

  9  any public purpose and may be pledged for the purpose of

10  retiring bonded indebtedness.

11         Section 2.  Subsection (6) of section 236.25, Florida

12  Statutes, 1998 Supplement, is created to read:

13         236.25  District school tax.--

14         (6)  Revenues generated pursuant to s. 192.205 shall

15  not be included in the calculation of the required local

16  effort in the Florida Education Finance Program formula.

17         Section 3.  This act shall take effect upon becoming a

18  law.

19

20          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
21                         Senate Bill 320

22

23  The CS includes a correction to the provision establishing the
    millage rate to be levied by the school boards or
24  municipalities; deletes the provision that would impose a
    statutory cap on surcharges levies against improvements under
25  3000 square feet; and restricts surcharge revenues from being
    included in the calculation of the required local effort in
26  the Florida Education Finance Program formula.

27

28

29

30

31

                                  3