HB 1721, Engrossed 1 2003
   
1 A bill to be entitled
2          An act relating to subdivision property; amending s.
3    197.502, F.S.; increasing a tax deed application fee;
4    providing notification to legal titleholders of contiguous
5    property which is included in a tax certificate for unpaid
6    taxes; requiring a county to notify the legal titleholder
7    of property contiguous to land available for taxes prior
8    to sale under certain circumstances; amending s. 197.582,
9    F.S.; excluding certain persons as beneficiaries of
10    certain undistributed remainder funds; amending s.
11    197.522, F.S.; requiring notification to certain persons
12    when an application for a tax deed is made; providing for
13    a statement to accompany such notice; prohibiting the
14    assessment of ad valorem taxes and non-ad valorem
15    assessments by certain entities against property
16    constituting the common elements of a subdivision;
17    requiring that the property appraiser prorate the value of
18    ad valorem taxes and non-ad valorem assessments against
19    easements and other common elements of a subdivision and
20    include such prorated value among the lots within the
21    subdivision conveyed or intended to be conveyed into
22    private ownership; defining the term "common element";
23    providing an effective date.
24         
25          Be It Enacted by the Legislature of the State of Florida:
26         
27          Section 1. Subsections (1) and (7) of section 197.502,
28    Florida Statutes, are amended and paragraph (h) is added to
29    subsection (4) of said section, to read:
30          197.502 Application for obtaining tax deed by holder of
31    tax sale certificate; fees.--
32          (1) The holder of any tax certificate, other than the
33    county, at any time after 2 years have elapsed since April 1 of
34    the year of issuance of the tax certificate and before the
35    expiration of 7 years from the date of issuance, may file the
36    certificate and an application for a tax deed with the tax
37    collector of the county where the lands described in the
38    certificate are located. The application may be made on the
39    entire parcel of property or any part thereof which is capable
40    of being readily separated from the whole. The tax collector
41    shall be allowed a tax deed application fee of $75$15.
42          (4) The tax collector shall deliver to the clerk of the
43    circuit court a statement that payment has been made for all
44    outstanding certificates or, if the certificate is held by the
45    county, that all appropriate fees have been deposited, and
46    stating that the following persons are to be notified prior to
47    the sale of the property:
48          (h) Any legal titleholder of record of property that is
49    contiguous to the property described in the tax certificate,
50    when the property described is either submerged land or common
51    elements of a subdivision, if the address of the titleholder of
52    contiguous property appears on the record of conveyance of the
53    land to that legal titleholder. However, if the legal
54    titleholder of property contiguous to the property described in
55    the tax certificate is the same as the person to whom the
56    property described in the tax certificate was assessed on the
57    tax roll for the year in which the property was last assessed,
58    the notice may be mailed only to the address of the legal
59    titleholder as it appears on the latest assessment roll.
60          (7) On county-held certificates for which there are no
61    bidders at the public sale, the clerk shall enter the land on a
62    list entitled "lands available for taxes" and shall immediately
63    notify the county commission and all other persons holding
64    certificates against the land that the land is available. During
65    the first 90 days after the land is placed on the list of lands
66    available for taxes, the county may purchase the land for the
67    opening bid. Thereafter, any person, the county, or any other
68    governmental unit may purchase the land from the clerk, without
69    further notice or advertising, for the opening bid, except that
70    when the county or other governmental unit is the purchaser for
71    its own use, the board of county commissioners may cancel
72    omitted years' taxes, as provided under s. 197.447. If the
73    county does not elect to purchase the land, the county must
74    notify each legal titleholder of property contiguous to the land
75    available for taxes, as provided in paragraph (4)(h), before
76    expiration of the 90-day period.Interest on the opening bid
77    continues to accrue through the month of sale as prescribed by
78    s. 197.542.
79          Section 2. Subsection (2) of section 197.582, Florida
80    Statutes, is amended to read:
81          197.582 Disbursement of proceeds of sale.--
82          (2) If the property is purchased for an amount in excess
83    of the statutory bid of the certificateholder, the excess shall
84    be paid over and disbursed by the clerk. If the property
85    purchased is homestead property and the statutory bid includes
86    an amount equal to at least one-half of the assessed value of
87    the homestead, that amount shall be treated as excess and
88    distributed in the same manner. The clerk shall distribute the
89    excess to the governmental units for the payment of any lien of
90    record held by a governmental unit against the property. In the
91    event the excess is not sufficient to pay all of such liens in
92    full, the excess shall then be paid to each governmental unit
93    pro rata. If, after all liens of record of the governmental
94    units upon the property are paid in full, there remains a
95    balance of undistributed funds, the balance of the purchase
96    price shall be retained by the clerk for the benefit of the
97    persons described in s. 197.522(1)(a), except those persons
98    described in s. 197.502(4)(h),as their interests may appear.
99    The clerk shall mail notices to such persons notifying them of
100    the funds held for their benefit. Any service charges, at the
101    same rate as prescribed in s. 28.24(13), and costs of mailing
102    notices shall be paid out of the excess balance held by the
103    clerk. Excess proceeds shall be held and disbursed in the same
104    manner as unclaimed redemption moneys in s. 197.473. In the
105    event excess proceeds are not sufficient to cover the service
106    charges and mailing costs, the clerk shall receive the total
107    amount of excess proceeds as a service charge.
108          Section 3. Subsection (2) of section 197.522, Florida
109    Statutes, is amended to read:
110          197.522 Notice to owner when application for tax deed is
111    made.--
112          (2)(a)In addition to the notice provided in subsection
113    (1), the sheriff of the county in which the legal titleholder
114    resides shall, at least 20 days prior to the date of sale,
115    notify the legal titleholder of record of the property on which
116    the tax certificate is outstanding. The original notice and
117    sufficient copies shall be prepared by the clerk and provided to
118    the sheriff. Such notice shall be served as specified in chapter
119    48; if the sheriff is unable to make service, he or she shall
120    post a copy of the notice in a conspicuous place at the legal
121    titleholder's last known address. The inability of the sheriff
122    to serve notice on the legal titleholder shall not affect the
123    validity of the tax deed issued pursuant to the notice. A legal
124    titleholder of record who resides outside the state may be
125    notified by the clerk as provided in subsection (1). The notice
126    shall be in substantially the following form:
127         
128 WARNING
129         
130          There are unpaid taxes on the property which you own. The
131    property will be sold at public auction on ... (date) ...
132    unless the back taxes are paid. To make arrangements for
133    payment, or to receive further information, contact the clerk of
134    court at ... (address) ..., ... (telephone number) ....
135         
136          In addition, if the legal titleholder does not reside in the
137    county in which the property to be sold is located, a copy of
138    such notice shall be posted in a conspicuous place on the
139    property by the sheriff of the county in which the property is
140    located. However, no posting of notice shall be required if the
141    property to be sold is classified for assessment purposes,
142    according to use classifications established by the department,
143    as nonagricultural acreage or vacant land.
144          (b) In addition to the notice provided in subsection (1),
145    the clerk shall notify by certified mail with return receipt
146    requested, or by registered mail if the notice is to be sent
147    outside the continental United States, the persons listed in the
148    tax collector’s statement pursuant to s. 197.502(4)(h) that
149    application for a tax deed has been made. Such notice shall be
150    mailed at least 20 days prior to the date of sale. If no address
151    is listed in the tax collector’s statement, then no notice shall
152    be required. Enclosed with the copy of the notice shall be a
153    statement in substantially the following form:
154         
155 WARNING
156         
157          There are unpaid taxes on property contiguous to your
158    property. The property with the unpaid taxes will be sold
159    at auction on ... (date) ... unless the back taxes are
160    paid. To make payment, or to receive further information
161    about the purchase of the property, contact the clerk of
162    court immediately at ... (address) ..., ... (telephone
163    number) ....
164         
165          Neither the failure of the tax collector to include the list of
166    contiguous property owners pursuant to s. 197.502(4)(h) in his
167    or her statement to the clerk nor the failure of the clerk to
168    mail this notice to any or all of the persons listed in the tax
169    collector’s statement pursuant to s. 197.502(4)(h) shall be a
170    basis to challenge the validity of the tax deed issued pursuant
171    to any notice under s. 197.522
172          Section 4. Ad valorem taxes and non-ad valorem assessments
173    against subdivision property.--
174          (1) Ad valorem taxes and non-ad valorem assessments shall
175    be assessed against the lots within a platted residential
176    subdivision and not upon the subdivision property as a whole. An
177    ad valorem tax or non-ad valorem assessment, including a tax or
178    assessment imposed by a county, municipality, special district,
179    or water management district, may not be assessed separately
180    against common elements utilized exclusively for the benefit of
181    lot owners within the subdivision, regardless of ownership. The
182    value of each parcel of land that is or has been part of a
183    platted subdivision and that is designated on the plat or the
184    approved site plan as a common element for the exclusive benefit
185    of lot owners shall, regardless of ownership, be prorated by the
186    property appraiser and included in the assessment of all the
187    lots within the subdivision which constitute inventory for the
188    developer and are intended to be conveyed or have been conveyed
189    into private ownership for the exclusive benefit of lot owners
190    within the subdivision.
191          (2) As used in this section, the term "common element"
192    includes:
193          (a) Subdivision property not included within lots
194    constituting inventory for the developer which are intended to
195    be conveyed or have been conveyed into private ownership.
196          (b) An easement through the subdivision property, not
197    including the property described in paragraph (a), which has
198    been dedicated to the public or retained for the benefit of the
199    subdivision.
200          (c) Any other part of the subdivision which has been
201    designated on the plat or is required to be designated on the
202    site plan as a drainage pond, or detention or retention pond,
203    for the exclusive benefit of the subdivision.
204          Section 5. This act shall take effect January 1, 2004.