Senate Bill sb1796

    Florida Senate - 2005                                  SB 1796

    By Senator Atwater





    25-975B-05

  1                      A bill to be entitled

  2         An act relating to property tax administration;

  3         amending s. 195.0995, F.S.; providing that if

  4         the Department of Revenue finds that more than

  5         10 percent of sales qualified or disqualified

  6         by a county do not fall within applicable

  7         criteria, the department shall issue a

  8         postaudit notification of defects instead of a

  9         review notice; amending s. 195.096, F.S.;

10         revising the requirements placed on the

11         department in its review of assessment rolls;

12         providing an effective date.

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

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16         Section 1.  Subsection (2) of section 195.0995, Florida

17  Statutes, is amended to read:

18         195.0995  Use of sales transactions data;

19  qualification; review.--

20         (2)  The department shall randomly sample all sales in

21  the county to determine whether those sales were properly

22  qualified or disqualified.  If the department finds that more

23  than 10 percent of sales qualification decisions do not fall

24  within the applicable criteria, the department shall issue a

25  postaudit notification of defects and shall follow the

26  procedures set forth in s. 195.097 review notice pursuant to

27  s. 193.1142(4) requiring the property appraiser to

28  satisfactorily explain or remedy the problem before approval

29  of the assessment roll.

30         Section 2.  Paragraph (c) of subsection (2) of section

31  195.096, Florida Statutes, is amended to read:

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    Florida Senate - 2005                                  SB 1796
    25-975B-05




 1         195.096  Review of assessment rolls.--

 2         (2)  The department shall conduct, no less frequently

 3  than once every 2 years, an in-depth review of the assessment

 4  rolls of each county. The department need not individually

 5  study every use-class of property set forth in s. 195.073, but

 6  shall at a minimum study the level of assessment in relation

 7  to just value of each classification specified in subsection

 8  (3). Such in-depth review may include proceedings of the value

 9  adjustment board and the audit or review of procedures used by

10  the counties to appraise property.

11         (c)  In conducting assessment ratio studies, the

12  department must use all practicable steps, including

13  stratified statistical and analytical reviews and

14  sale-qualification studies, to maximize the representativeness

15  or statistical reliability of samples a representative or

16  statistically reliable sample of properties in tests of each

17  classification, stratum, or roll made the subject of a ratio

18  study published by it. The department shall document and

19  retain records of the measures of representativeness of the

20  properties studied in compliance with this section. Such

21  documentation must include a record of findings used as the

22  basis for the approval or disapproval of the tax roll in each

23  county pursuant to s. 193.1142. In addition, to the greatest

24  extent practicable, the department shall study assessment roll

25  strata by subclassifications such as value groups and or

26  market areas for each classification, subclassification, or

27  stratum to be studied, to maximize assure the

28  representativeness of ratio study samples. For purposes of

29  this section, the department shall rely primarily on an

30  assessment-to-sales-ratio study in conducting assessment ratio

31  studies in those classifications of property specified in

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    Florida Senate - 2005                                  SB 1796
    25-975B-05




 1  subsection (3) for which there are adequate market sales.  The

 2  department shall compute the median and the value-weighted

 3  mean for each classification or subclassification studied and

 4  for the roll as a whole.

 5         Section 3.  This act shall take effect July 1, 2005.

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 8                          SENATE SUMMARY

 9    Amends provisions relating to property tax
      administration. Provides that if the Department of
10    Revenue finds that more than 10 percent of sales
      qualified or disqualified by a county do not fall within
11    applicable criteria, the department shall issue a
      postaudit notification of defects instead of a review
12    notice. Revises the requirements placed on the department
      in its review of assessment rolls.
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