Florida Senate - 2011                        COMMITTEE AMENDMENT
       Bill No. CS for SJR 658
       
       
       
       
       
       
                                Barcode 891718                          
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  05/18/2011           .                                
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       The Committee on Judiciary (Joyner) recommended the following:
       
    1         Senate Substitute for Amendment (764088) (with title
    2  amendment)
    3  
    4         Delete everything after the resolving clause
    5  and insert:
    6         That the following amendments to Sections 4 and 6 of
    7  Article VII and Section 27 of Article XII and the creation of
    8  Sections 32 and 33 of Article XII of the State Constitution are
    9  agreed to and shall be submitted to the electors of this state
   10  for approval or rejection at the next general election or at an
   11  earlier special election specifically authorized by law for that
   12  purpose:
   13                             ARTICLE VII                           
   14                        FINANCE AND TAXATION                       
   15         SECTION 4. Taxation; assessments.—By general law
   16  regulations shall be prescribed which shall secure a just
   17  valuation of all property for ad valorem taxation, provided:
   18         (a) Agricultural land, land producing high water recharge
   19  to Florida’s aquifers, or land used exclusively for
   20  noncommercial recreational purposes may be classified by general
   21  law and assessed solely on the basis of character or use.
   22         (b) As provided by general law and subject to conditions,
   23  limitations, and reasonable definitions specified therein, land
   24  used for conservation purposes shall be classified by general
   25  law and assessed solely on the basis of character or use.
   26         (c) Pursuant to general law tangible personal property held
   27  for sale as stock in trade and livestock may be valued for
   28  taxation at a specified percentage of its value, may be
   29  classified for tax purposes, or may be exempted from taxation.
   30         (d) All persons entitled to a homestead exemption under
   31  Section 6 of this Article shall have their homestead assessed at
   32  just value as of January 1 of the year following the effective
   33  date of this amendment. This assessment shall change only as
   34  provided in this subsection.
   35         (1) Assessments subject to this subsection shall change be
   36  changed annually on January 1 1st of each year.; but those
   37  changes in assessments
   38         a. A change in an assessment may shall not exceed the lower
   39  of the following:
   40         1.a. Three percent (3%) of the assessment for the prior
   41  year.
   42         2.b. The percent change in the Consumer Price Index for all
   43  urban consumers, U.S. City Average, all items 1967=100, or a
   44  successor index reports for the preceding calendar year as
   45  initially reported by the United States Department of Labor,
   46  Bureau of Labor Statistics.
   47         b. The Legislature may provide by general law that except
   48  for changes, additions, reductions, or improvements to homestead
   49  property assessed as provided in paragraph (d)(5), an assessment
   50  may not increase if the just value of the property is less than
   51  the just value of the property on the preceding January 1.
   52         (2) An No assessment may not shall exceed just value.
   53         (3) After a any change of ownership, as provided by general
   54  law, homestead property shall be assessed at just value as of
   55  January 1 of the following year, unless the provisions of
   56  paragraph (8) apply. Thereafter, the homestead shall be assessed
   57  as provided in this subsection.
   58         (4) New homestead property shall be assessed at just value
   59  as of January 1 1st of the year following the establishment of
   60  the homestead, unless the provisions of paragraph (8) apply.
   61  That assessment shall only change only as provided in this
   62  subsection.
   63         (5) Changes, additions, reductions, or improvements to
   64  homestead property shall be assessed as provided for by general
   65  law.; provided, However, after the adjustment for any change,
   66  addition, reduction, or improvement, the property shall be
   67  assessed as provided in this subsection.
   68         (6) In the event of a termination of homestead status, the
   69  property shall be assessed as provided by general law.
   70         (7) The provisions of this subsection amendment are
   71  severable. If a provision any of the provisions of this
   72  subsection is amendment shall be held unconstitutional by a any
   73  court of competent jurisdiction, the decision of the such court
   74  does shall not affect or impair any remaining provisions of this
   75  subsection amendment.
   76         (8)a. A person who establishes a new homestead as of
   77  January 1, 2009, or January 1 of any subsequent year and who has
   78  received a homestead exemption pursuant to Section 6 of this
   79  Article as of January 1 of either of the 2 two years immediately
   80  preceding the establishment of a the new homestead is entitled
   81  to have the new homestead assessed at less than just value. If
   82  this revision is approved in January of 2008, a person who
   83  establishes a new homestead as of January 1, 2008, is entitled
   84  to have the new homestead assessed at less than just value only
   85  if that person received a homestead exemption on January 1,
   86  2007. The assessed value of the newly established homestead
   87  shall be determined as follows:
   88         1. If the just value of the new homestead is greater than
   89  or equal to the just value of the prior homestead as of January
   90  1 of the year in which the prior homestead was abandoned, the
   91  assessed value of the new homestead shall be the just value of
   92  the new homestead minus an amount equal to the lesser of
   93  $500,000 or the difference between the just value and the
   94  assessed value of the prior homestead as of January 1 of the
   95  year in which the prior homestead was abandoned. Thereafter, the
   96  homestead shall be assessed as provided in this subsection.
   97         2. If the just value of the new homestead is less than the
   98  just value of the prior homestead as of January 1 of the year in
   99  which the prior homestead was abandoned, the assessed value of
  100  the new homestead shall be equal to the just value of the new
  101  homestead divided by the just value of the prior homestead and
  102  multiplied by the assessed value of the prior homestead.
  103  However, if the difference between the just value of the new
  104  homestead and the assessed value of the new homestead calculated
  105  pursuant to this sub-subparagraph is greater than $500,000, the
  106  assessed value of the new homestead shall be increased so that
  107  the difference between the just value and the assessed value
  108  equals $500,000. Thereafter, the homestead shall be assessed as
  109  provided in this subsection.
  110         b. By general law and subject to conditions specified
  111  therein, the legislature shall provide for application of this
  112  paragraph to property owned by more than one person.
  113         (e) The legislature may, by general law, for assessment
  114  purposes and subject to the provisions of this subsection, allow
  115  counties and municipalities to authorize by ordinance that
  116  historic property may be assessed solely on the basis of
  117  character or use. Such character or use assessment shall apply
  118  only to the jurisdiction adopting the ordinance. The
  119  requirements for eligible properties must be specified by
  120  general law.
  121         (f) A county may, in the manner prescribed by general law,
  122  provide for a reduction in the assessed value of homestead
  123  property to the extent of any increase in the assessed value of
  124  that property which results from the construction or
  125  reconstruction of the property for the purpose of providing
  126  living quarters for one or more natural or adoptive grandparents
  127  or parents of the owner of the property or of the owner’s spouse
  128  if at least one of the grandparents or parents for whom the
  129  living quarters are provided is 62 years of age or older. Such a
  130  reduction may not exceed the lesser of the following:
  131         (1) The increase in assessed value resulting from
  132  construction or reconstruction of the property.
  133         (2) Twenty percent of the total assessed value of the
  134  property as improved.
  135         (g) For all levies other than school district levies,
  136  assessments of residential real property, as defined by general
  137  law, which contains nine units or fewer and which is not subject
  138  to the assessment limitations set forth in subsections (a)
  139  through (d) shall change only as provided in this subsection.
  140         (1) Assessments subject to this subsection shall be changed
  141  annually on the date of assessment provided by law. However,;
  142  but those changes in assessments may shall not exceed 3 ten
  143  percent (10%) of the assessment for the prior year. The
  144  Legislature may provide by general law that an assessment may
  145  not increase if the just value of the property is less than the
  146  just value of the property on the preceding date of assessment
  147  provided by law.
  148         (2) An No assessment may not shall exceed just value.
  149         (3) After a change of ownership or control, as defined by
  150  general law, including any change of ownership of a legal entity
  151  that owns the property, such property shall be assessed at just
  152  value as of the next assessment date. Thereafter, such property
  153  shall be assessed as provided in this subsection.
  154         (4) Changes, additions, reductions, or improvements to such
  155  property shall be assessed as provided for by general law.;
  156  However, after the adjustment for any change, addition,
  157  reduction, or improvement, the property shall be assessed as
  158  provided in this subsection.
  159         (h) For all levies other than school district levies,
  160  assessments of real property that is not subject to the
  161  assessment limitations set forth in subsections (a) through (d)
  162  and (g) shall change only as provided in this subsection.
  163         (1) Assessments subject to this subsection shall be changed
  164  annually on the date of assessment provided by law. However,;
  165  but those changes in assessments may shall not exceed 3 ten
  166  percent (10%) of the assessment for the prior year. The
  167  Legislature may provide by general law that an assessment may
  168  not increase if the just value of the property is less than the
  169  just value of the property on the preceding date of assessment
  170  provided by law.
  171         (2) An No assessment may not shall exceed just value.
  172         (3) The legislature must provide that such property shall
  173  be assessed at just value as of the next assessment date after a
  174  qualifying improvement, as defined by general law, is made to
  175  such property. Thereafter, such property shall be assessed as
  176  provided in this subsection.
  177         (4) The legislature may provide that such property shall be
  178  assessed at just value as of the next assessment date after a
  179  change of ownership or control, as defined by general law,
  180  including any change of ownership of the legal entity that owns
  181  the property. Thereafter, such property shall be assessed as
  182  provided in this subsection.
  183         (5) Changes, additions, reductions, or improvements to such
  184  property shall be assessed as provided for by general law.;
  185  However, after the adjustment for any change, addition,
  186  reduction, or improvement, the property shall be assessed as
  187  provided in this subsection.
  188         (i) The legislature, by general law and subject to
  189  conditions specified therein, may prohibit the consideration of
  190  the following in the determination of the assessed value of real
  191  property used for residential purposes:
  192         (1) Any change or improvement made for the purpose of
  193  improving the property’s resistance to wind damage.
  194         (2) The installation of a renewable energy source device.
  195         (j)(1) The assessment of the following working waterfront
  196  properties shall be based upon the current use of the property:
  197         a. Land used predominantly for commercial fishing purposes.
  198         b. Land that is accessible to the public and used for
  199  vessel launches into waters that are navigable.
  200         c. Marinas and drystacks that are open to the public.
  201         d. Water-dependent marine manufacturing facilities,
  202  commercial fishing facilities, and marine vessel construction
  203  and repair facilities and their support activities.
  204         (2) The assessment benefit provided by this subsection is
  205  subject to conditions and limitations and reasonable definitions
  206  as specified by the legislature by general law.
  207         SECTION 6. Homestead exemptions.—
  208         (a) Every person who has the legal or equitable title to
  209  real estate and maintains thereon the permanent residence of the
  210  owner, or another legally or naturally dependent upon the owner,
  211  shall be exempt from taxation thereon, except assessments for
  212  special benefits, up to the assessed valuation of $25,000
  213  twenty-five thousand dollars and, for all levies other than
  214  school district levies, on the assessed valuation greater than
  215  $50,000 fifty thousand dollars and up to $75,000 seventy-five
  216  thousand dollars, upon establishment of right thereto in the
  217  manner prescribed by law. The real estate may be held by legal
  218  or equitable title, by the entireties, jointly, in common, as a
  219  condominium, or indirectly by stock ownership or membership
  220  representing the owner’s or member’s proprietary interest in a
  221  corporation owning a fee or a leasehold initially in excess of
  222  98 ninety-eight years. The exemption shall not apply with
  223  respect to any assessment roll until such roll is first
  224  determined to be in compliance with the provisions of Section 4
  225  by a state agency designated by general law. This exemption is
  226  repealed on the effective date of any amendment to this Article
  227  which provides for the assessment of homestead property at less
  228  than just value.
  229         (b) Not more than one exemption shall be allowed any
  230  individual or family unit or with respect to any residential
  231  unit. No exemption shall exceed the value of the real estate
  232  assessable to the owner or, in case of ownership through stock
  233  or membership in a corporation, the value of the proportion
  234  which the interest in the corporation bears to the assessed
  235  value of the property.
  236         (c) By general law and subject to conditions specified
  237  therein, the legislature may provide to renters, who are
  238  permanent residents, ad valorem tax relief on all ad valorem tax
  239  levies. Such ad valorem tax relief shall be in the form and
  240  amount established by general law.
  241         (d) The legislature may, by general law, allow counties or
  242  municipalities, for the purpose of their respective tax levies
  243  and subject to the provisions of general law, to grant an
  244  additional homestead tax exemption not exceeding $50,000 fifty
  245  thousand dollars to any person who has the legal or equitable
  246  title to real estate and maintains thereon the permanent
  247  residence of the owner and who has attained age 65 sixty-five
  248  and whose household income, as defined by general law, does not
  249  exceed $20,000 twenty thousand dollars. The general law must
  250  allow counties and municipalities to grant this additional
  251  exemption, within the limits prescribed in this subsection, by
  252  ordinance adopted in the manner prescribed by general law, and
  253  must provide for the periodic adjustment of the income
  254  limitation prescribed in this subsection for changes in the cost
  255  of living.
  256         (e) Each veteran who is age 65 or older who is partially or
  257  totally permanently disabled shall receive a discount from the
  258  amount of the ad valorem tax otherwise owed on homestead
  259  property the veteran owns and resides in if the disability was
  260  combat related, the veteran was a resident of this state at the
  261  time of entering the military service of the United States, and
  262  the veteran was honorably discharged upon separation from
  263  military service. The discount shall be in a percentage equal to
  264  the percentage of the veteran’s permanent, service-connected
  265  disability as determined by the United States Department of
  266  Veterans Affairs. To qualify for the discount granted by this
  267  subsection, an applicant must submit to the county property
  268  appraiser, by March 1, proof of residency at the time of
  269  entering military service, an official letter from the United
  270  States Department of Veterans Affairs stating the percentage of
  271  the veteran’s service-connected disability and such evidence
  272  that reasonably identifies the disability as combat related, and
  273  a copy of the veteran’s honorable discharge. If the property
  274  appraiser denies the request for a discount, the appraiser must
  275  notify the applicant in writing of the reasons for the denial,
  276  and the veteran may reapply. The legislature may, by general
  277  law, waive the annual application requirement in subsequent
  278  years. This subsection shall take effect December 7, 2006, is
  279  self-executing, and does not require implementing legislation.
  280         (f) As provided by general law and subject to conditions
  281  specified therein, every person who establishes the right to
  282  receive the homestead exemption provided in subsection (a)
  283  within 1 year after purchasing the homestead property and who
  284  has not owned property in the previous 3 calendar years to which
  285  the homestead exemption provided in subsection (a) applied is
  286  entitled to an additional homestead exemption in an amount equal
  287  to 50 percent of the homestead property’s just value on January
  288  1 of the year the homestead is established for all levies other
  289  than school district levies. The additional exemption shall
  290  apply for a period of 5 years or until the year the property is
  291  sold, whichever occurs first. The amount of the additional
  292  exemption shall not exceed $200,000 and shall be reduced in each
  293  subsequent year by an amount equal to 20 percent of the amount
  294  of the additional exemption received in the year the homestead
  295  was established or by an amount equal to the difference between
  296  the just value of the property and the assessed value of the
  297  property determined under Section 4(d), whichever is greater.
  298  Not more than one exemption provided under this subsection shall
  299  be allowed per homestead property. The additional exemption
  300  shall apply to property purchased on or after January 1, 2011,
  301  if this amendment is approved at a special election held on the
  302  date of the 2012 presidential preference primary, or on or after
  303  January 1, 2012, if approved at the 2012 general election, but
  304  shall not be available in the sixth and subsequent years after
  305  the additional exemption is first received.
  306                             ARTICLE XII                           
  307                              SCHEDULE                             
  308         SECTION 27. Property tax exemptions and limitations on
  309  property tax assessments.—The amendments to Sections 3, 4, and 6
  310  of Article VII, providing a $25,000 exemption for tangible
  311  personal property, providing an additional $25,000 homestead
  312  exemption, authorizing transfer of the accrued benefit from the
  313  limitations on the assessment of homestead property, and this
  314  section, if submitted to the electors of this state for approval
  315  or rejection at a special election authorized by law to be held
  316  on January 29, 2008, shall take effect upon approval by the
  317  electors and shall operate retroactively to January 1, 2008, or,
  318  if submitted to the electors of this state for approval or
  319  rejection at the next general election, shall take effect
  320  January 1 of the year following such general election. The
  321  amendments to Section 4 of Article VII creating subsections (f)
  322  and (g) of that section, creating a limitation on annual
  323  assessment increases for specified real property, shall take
  324  effect upon approval of the electors and shall first limit
  325  assessments beginning January 1, 2009, if approved at a special
  326  election held on January 29, 2008, or shall first limit
  327  assessments beginning January 1, 2010, if approved at the
  328  general election held in November of 2008. Subsections (f) and
  329  (g) of Section 4 of Article VII are repealed effective January
  330  1, 2019; however, the legislature shall by joint resolution
  331  propose an amendment abrogating the repeal of subsections (f)
  332  and (g), which shall be submitted to the electors of this state
  333  for approval or rejection at the general election of 2018 and,
  334  if approved, shall take effect January 1, 2019.
  335         SECTION 32. Property assessments.—This section and the
  336  amendment of Section 4 of Article VII protecting homestead and
  337  specified nonhomestead property having a declining just value
  338  and reducing the limit on the maximum annual increase in the
  339  assessed value of nonhomestead property from 10 percent to 3
  340  percent, if submitted to the electors of this state for approval
  341  or rejection at a special election authorized by law to be held
  342  on the date of the 2012 presidential preference primary, shall
  343  take effect upon approval by the electors and shall operate
  344  retroactively to January 1, 2012, or, if submitted to the
  345  electors of this state for approval or rejection at the 2012
  346  general election, shall take effect January 1, 2013.
  347         SECTION 33. Additional homestead exemption for owners of
  348  homestead property who recently have not owned homestead
  349  property.—This section and the amendment to Section 6 of Article
  350  VII providing for an additional homestead exemption for owners
  351  of homestead property who have not owned homestead property
  352  during the 3 calendar years immediately preceding purchase of
  353  the current homestead property, if submitted to the electors of
  354  this state for approval or rejection at a special election
  355  authorized by law to be held on the date of the 2012
  356  presidential preference primary, shall take effect upon approval
  357  by the electors and operate retroactively to January 1, 2012,
  358  and the additional homestead exemption shall be available for
  359  properties purchased on or after January 1, 2011, or if
  360  submitted to the electors of this state for approval or
  361  rejection at the 2012 general election, shall take effect
  362  January 1, 2013, and the additional homestead exemption shall be
  363  available for properties purchased on or after January 1, 2012.
  364         BE IT FURTHER RESOLVED that the following statement be
  365  placed on the ballot:
  366                      CONSTITUTIONAL AMENDMENT                     
  367                     ARTICLE VII, SECTIONS 4, 6                    
  368                  ARTICLE XII, SECTIONS 27, 32, 33                 
  369         PROPERTY TAX LIMITATIONS; ADDITIONAL HOMESTEAD EXEMPTION.—
  370         (1) In certain circumstances, the law requires the assessed
  371  value of real property to increase when the just value of the
  372  property decreases. This amendment authorizes the Legislature,
  373  by general law, to prohibit such increases in the assessment of
  374  property whose just value has declined below its just value on
  375  the preceding assessment date. This amendment takes effect upon
  376  approval by the voters, if approved at a special election held
  377  on the date of the 2012 presidential preference primary and
  378  operates retroactively to January 1, 2012, or, if approved by
  379  the voters at the general election, takes effect January 1,
  380  2013.
  381         (2) This amendment reduces from 10 percent to 3 percent the
  382  limitation on annual increases in assessments of nonhomestead
  383  real property. This amendment takes effect upon approval of the
  384  voters, if approved at a special election held on the date of
  385  the 2012 presidential preference primary and operates
  386  retroactively to January 1, 2012, or, if approved by the voters
  387  at the general election, takes effect January 1, 2013.
  388         (3) This amendment also provides owners of homestead
  389  property who have not owned homestead property during the 3
  390  calendar years immediately preceding purchase of the current
  391  homestead property with an additional homestead exemption equal
  392  to 50 percent of the property’s just value in the first year for
  393  all levies other than school district levies, limited to
  394  $200,000; applies the additional exemption for the shorter of 5
  395  years or the year of sale of the property; reduces the amount of
  396  the additional exemption in each succeeding year for 5 years by
  397  the greater of 20 percent of the amount of the initial
  398  additional exemption or the difference between the just value
  399  and the assessed value of the property; limits the additional
  400  exemption to one per homestead property; limits the additional
  401  exemption to properties purchased on or after January 1, 2011,
  402  if approved by the voters at a special election held on the date
  403  of the 2012 presidential preference primary, or on or after
  404  January 1, 2012, if approved by the voters at the 2012 general
  405  election; prohibits availability of the additional exemption in
  406  the sixth and subsequent years after the additional exemption is
  407  granted; and provides for the amendment to take effect upon
  408  approval of the voters and operate retroactively to January 1,
  409  2012, if approved at the special election held on the date of
  410  the 2012 presidential preference primary, or on January 1, 2013,
  411  if approved by the voters at the 2012 general election.
  412         (4) This amendment also removes from the State Constitution
  413  a repeal, scheduled to take effect in 2019, of constitutional
  414  amendments adopted in 2008 that limit annual assessment
  415  increases for specified nonhomestead real property.
  416  
  417  ================= T I T L E A M E N D M E N T ================
  418         And the title is amended as follows:
  419         Delete everything before the resolving clause
  420  and insert:
  421                        A bill to be entitled                      
  422         A joint resolution proposing amendments to Sections 4
  423         and 6 of Article VII and Section 27 of Article XII and
  424         the creation of Sections 32 and 33 of Article XII of
  425         the State Constitution to allow the Legislature by
  426         general law to prohibit increases in the assessed
  427         value of homestead and specified nonhomestead property
  428         if the just value of the property decreases, reduce
  429         the limitation on annual assessment increases
  430         applicable to nonhomestead real property, provide an
  431         additional homestead exemption for owners of homestead
  432         property who have not owned homestead property for a
  433         specified time before purchase of the current
  434         homestead property, and application and limitations
  435         with respect thereto, delete a future repeal of
  436         provisions limiting annual assessment increases for
  437         specified nonhomestead real property, and provide
  438         effective dates.