Florida Senate - 2010                                    SJR 112
       
       
       
       By Senator Dean
       
       
       
       
       3-00276-10                                             2010112__
    1                       Senate Joint Resolution                     
    2         A joint resolution proposing an amendment to Section 4
    3         of Article VII of the State Constitution to allow the
    4         cap on homestead property assessments and the transfer
    5         of that cap to a new homestead to inure to the spouse,
    6         child, or grandchild of the property owner who
    7         inherits the property if the property becomes the
    8         homestead of the inheritor.
    9  
   10  Be It Resolved by the Legislature of the State of Florida:
   11  
   12         That the following amendment to Section 4 of Article VII of
   13  the State Constitution is agreed to and shall be submitted to
   14  the electors of this state for approval or rejection at the next
   15  general election or at an earlier special election specifically
   16  authorized by law for that purpose:
   17                             ARTICLE VII                           
   18                        FINANCE AND TAXATION                       
   19         SECTION 4. Taxation; assessments.—By general law
   20  regulations shall be prescribed which shall secure a just
   21  valuation of all property for ad valorem taxation, provided:
   22         (a) Agricultural land, land producing high water recharge
   23  to Florida’s aquifers, or land used exclusively for
   24  noncommercial recreational purposes may be classified by general
   25  law and assessed solely on the basis of character or use.
   26         (b) As provided by general law and subject to conditions,
   27  limitations, and reasonable definitions specified therein, land
   28  used for conservation purposes shall be classified by general
   29  law and assessed solely on the basis of character or use.
   30         (c) Pursuant to general law tangible personal property held
   31  for sale as stock in trade and livestock may be valued for
   32  taxation at a specified percentage of its value, may be
   33  classified for tax purposes, or may be exempted from taxation.
   34         (d) All persons entitled to a homestead exemption under
   35  Section 6 of this Article shall have their homestead assessed at
   36  just value as of January 1 of the year following the effective
   37  date of this amendment. This assessment shall change only as
   38  provided in this subsection.
   39         (1) Assessments subject to this subsection shall be changed
   40  annually on January 1st of each year; but those changes in
   41  assessments may shall not exceed the lower of the following:
   42         a. Three percent (3%) of the assessment for the prior year.
   43         b. The percent change in the Consumer Price Index for all
   44  urban consumers, U.S. City Average, all items 1967=100, or
   45  successor reports for the preceding calendar year as initially
   46  reported by the United States Department of Labor, Bureau of
   47  Labor Statistics.
   48         (2) No assessment shall exceed just value.
   49         (3) After any change of ownership, as provided by general
   50  law, homestead property shall be assessed at just value as of
   51  January 1 of the following year, unless the provisions of
   52  paragraphs (7) and (8) paragraph (8) apply. Thereafter, the
   53  homestead shall be assessed as provided in this subsection.
   54         (4) New homestead property shall be assessed at just value
   55  as of January 1st of the year following the establishment of the
   56  homestead, unless the provisions of paragraphs (7) and (8)
   57  paragraph (8) apply. That assessment shall only change as
   58  provided in this subsection.
   59         (5) Changes, additions, reductions, or improvements to
   60  homestead property shall be assessed as provided for by general
   61  law; provided, however, after the adjustment for any change,
   62  addition, reduction, or improvement, the property shall be
   63  assessed as provided in this subsection.
   64         (6) In the event of a termination of homestead status, the
   65  property shall be assessed as provided by general law.
   66         (7) The provisions of this subsection shall inure to the
   67  surviving spouse, child, or grandchild of the property owner who
   68  inherits the homestead property if such spouse, child, or
   69  grandchild makes the property his or her homestead as provided
   70  in Section 6 of this Article. The provisions of this amendment
   71  are severable. If any of the provisions of this amendment shall
   72  be held unconstitutional by any court of competent jurisdiction,
   73  the decision of such court shall not affect or impair any
   74  remaining provisions of this amendment.
   75         (8)a. A person who establishes a new homestead as of
   76  January 1, 2009, or January 1 of any subsequent year and who has
   77  received a homestead exemption pursuant to Section 6 of this
   78  Article as of January 1 of either of the two years immediately
   79  preceding the establishment of the new homestead is entitled to
   80  have the new homestead assessed at less than just value. If this
   81  revision is approved in January of 2008, a person who
   82  establishes a new homestead as of January 1, 2008, is entitled
   83  to have the new homestead assessed at less than just value only
   84  if that person received a homestead exemption on January 1,
   85  2007. The assessed value of the newly established homestead
   86  shall be determined as follows:
   87         1. If the just value of the new homestead is greater than
   88  or equal to the just value of the prior homestead as of January
   89  1 of the year in which the prior homestead was abandoned, the
   90  assessed value of the new homestead shall be the just value of
   91  the new homestead minus an amount equal to the lesser of
   92  $500,000 or the difference between the just value and the
   93  assessed value of the prior homestead as of January 1 of the
   94  year in which the prior homestead was abandoned. Thereafter, the
   95  homestead shall be assessed as provided in this subsection.
   96         2. If the just value of the new homestead is less than the
   97  just value of the prior homestead as of January 1 of the year in
   98  which the prior homestead was abandoned, the assessed value of
   99  the new homestead shall be equal to the just value of the new
  100  homestead divided by the just value of the prior homestead and
  101  multiplied by the assessed value of the prior homestead.
  102  However, if the difference between the just value of the new
  103  homestead and the assessed value of the new homestead calculated
  104  pursuant to this sub-subparagraph is greater than $500,000, the
  105  assessed value of the new homestead shall be increased so that
  106  the difference between the just value and the assessed value
  107  equals $500,000. Thereafter, the homestead shall be assessed as
  108  provided in this subsection.
  109         b. By general law and subject to conditions specified
  110  therein, the Legislature shall provide for application of this
  111  paragraph to property owned by more than one person.
  112         (e) The legislature may, by general law, for assessment
  113  purposes and subject to the provisions of this subsection, allow
  114  counties and municipalities to authorize by ordinance that
  115  historic property may be assessed solely on the basis of
  116  character or use. Such character or use assessment shall apply
  117  only to the jurisdiction adopting the ordinance. The
  118  requirements for eligible properties must be specified by
  119  general law.
  120         (f) A county may, in the manner prescribed by general law,
  121  provide for a reduction in the assessed value of homestead
  122  property to the extent of any increase in the assessed value of
  123  that property which results from the construction or
  124  reconstruction of the property for the purpose of providing
  125  living quarters for one or more natural or adoptive grandparents
  126  or parents of the owner of the property or of the owner’s spouse
  127  if at least one of the grandparents or parents for whom the
  128  living quarters are provided is 62 years of age or older. Such a
  129  reduction may not exceed the lesser of the following:
  130         (1) The increase in assessed value resulting from
  131  construction or reconstruction of the property.
  132         (2) Twenty percent of the total assessed value of the
  133  property as improved.
  134         (g) For all levies other than school district levies,
  135  assessments of residential real property, as defined by general
  136  law, which contains nine units or fewer and which is not subject
  137  to the assessment limitations set forth in subsections (a)
  138  through (d) shall change only as provided in this subsection.
  139         (1) Assessments subject to this subsection shall be changed
  140  annually on the date of assessment provided by law; but those
  141  changes in assessments shall not exceed ten percent (10%) of the
  142  assessment for the prior year.
  143         (2) No assessment shall exceed just value.
  144         (3) After a change of ownership or control, as defined by
  145  general law, including any change of ownership of a legal entity
  146  that owns the property, such property shall be assessed at just
  147  value as of the next assessment date. Thereafter, such property
  148  shall be assessed as provided in this subsection.
  149         (4) Changes, additions, reductions, or improvements to such
  150  property shall be assessed as provided for by general law;
  151  however, after the adjustment for any change, addition,
  152  reduction, or improvement, the property shall be assessed as
  153  provided in this subsection.
  154         (h) For all levies other than school district levies,
  155  assessments of real property that is not subject to the
  156  assessment limitations set forth in subsections (a) through (d)
  157  and (g) shall change only as provided in this subsection.
  158         (1) Assessments subject to this subsection shall be changed
  159  annually on the date of assessment provided by law; but those
  160  changes in assessments shall not exceed ten percent (10%) of the
  161  assessment for the prior year.
  162         (2) No assessment shall exceed just value.
  163         (3) The legislature must provide that such property shall
  164  be assessed at just value as of the next assessment date after a
  165  qualifying improvement, as defined by general law, is made to
  166  such property. Thereafter, such property shall be assessed as
  167  provided in this subsection.
  168         (4) The legislature may provide that such property shall be
  169  assessed at just value as of the next assessment date after a
  170  change of ownership or control, as defined by general law,
  171  including any change of ownership of the legal entity that owns
  172  the property. Thereafter, such property shall be assessed as
  173  provided in this subsection.
  174         (5) Changes, additions, reductions, or improvements to such
  175  property shall be assessed as provided for by general law;
  176  however, after the adjustment for any change, addition,
  177  reduction, or improvement, the property shall be assessed as
  178  provided in this subsection.
  179         (i) The legislature, by general law and subject to
  180  conditions specified therein, may prohibit the consideration of
  181  the following in the determination of the assessed value of real
  182  property used for residential purposes:
  183         (1) Any change or improvement made for the purpose of
  184  improving the property’s resistance to wind damage.
  185         (2) The installation of a renewable energy source device.
  186         (j)(1) The assessment of the following working waterfront
  187  properties shall be based upon the current use of the property:
  188         a. Land used predominantly for commercial fishing purposes.
  189         b. Land that is accessible to the public and used for
  190  vessel launches into waters that are navigable.
  191         c. Marinas and drystacks that are open to the public.
  192         d. Water-dependent marine manufacturing facilities,
  193  commercial fishing facilities, and marine vessel construction
  194  and repair facilities and their support activities.
  195         (2) The assessment benefit provided by this subsection is
  196  subject to conditions and limitations and reasonable definitions
  197  as specified by the legislature by general law.
  198         BE IT FURTHER RESOLVED that the following statement be
  199  placed on the ballot:
  200                      CONSTITUTIONAL AMENDMENT                     
  201                       ARTICLE VII, SECTION 4                      
  202         INHERITING HOMESTEAD PROPERTY.—Proposing an amendment to
  203  the State Constitution to allow the cap on homestead property
  204  assessments and the transfer of that cap to a new homestead to
  205  inure to the spouse, child, or grandchild of the property owner
  206  who inherits the property if the property becomes the homestead
  207  of the inheritor.