Florida Senate - 2014              PROPOSED COMMITTEE SUBSTITUTE
       Bill No. CS for SB 312
       Proposed Committee Substitute by the Committee on Appropriations
       (Appropriations Subcommittee on Finance and Tax)
    1                        A bill to be entitled                      
    2         An act relating to agriculture; amending s. 193.461,
    3         F.S.; authorizing a property appraiser to grant an
    4         agricultural classification after the application
    5         deadline upon a showing of extenuating circumstances;
    6         providing that participation in certain dispersed
    7         water storage programs does not change a land’s
    8         agricultural classification for assessment purposes;
    9         amending s. 212.02, F.S.; redefining the terms
   10         “livestock” and “agricultural production”; amending s.
   11         212.08, F.S.; expanding the exemption for certain farm
   12         equipment from the sales and use tax imposed under ch.
   13         212, F.S., to include irrigation equipment, repairs of
   14         farm equipment and irrigation equipment, and certain
   15         trailers; expanding the exemption for items in
   16         agricultural use from the sale and use tax imposed
   17         under ch. 212, F.S., to include stakes used to support
   18         plants during agricultural production; amending s.
   19         373.4591, F.S.; authorizing agricultural landowners to
   20         establish baseline wetland and surface water
   21         conditions before implementing certain best management
   22         practice implementation agreements; providing an
   23         effective date.
   25  Be It Enacted by the Legislature of the State of Florida:
   27         Section 1. Paragraph (a) of subsection (3) and subsection
   28  (7) of section 193.461, Florida Statutes, are amended to read:
   29         193.461 Agricultural lands; classification and assessment;
   30  mandated eradication or quarantine program.—
   31         (3)(a) No Lands may not shall be classified as agricultural
   32  lands unless a return is filed on or before March 1 of each
   33  year. The property appraiser, before so classifying such lands,
   34  may require the taxpayer or the taxpayer’s representative to
   35  furnish the property appraiser such information as may
   36  reasonably be required to establish that such lands were
   37  actually used for a bona fide agricultural purpose. Failure to
   38  make timely application by March 1 shall constitute a waiver for
   39  1 year of the privilege herein granted for agricultural
   40  assessment. However, an applicant who is qualified to receive an
   41  agricultural classification who fails to file an application by
   42  March 1 must may file an application for the classification with
   43  the property appraiser within 25 days after the property
   44  appraiser mails the notices required under s. 194.011(1). Upon
   45  receipt of sufficient evidence, as determined by the property
   46  appraiser, demonstrating that the applicant was unable to apply
   47  for the classification in a timely manner or otherwise
   48  demonstrating extenuating circumstances judged by the property
   49  appraiser to warrant granting the classification, the property
   50  appraiser may grant the classification. If the applicant fails
   51  to produce sufficient evidence demonstrating that the applicant
   52  was unable to apply for the classification in a timely manner or
   53  otherwise demonstrating extenuating circumstances as judged by
   54  the property appraiser, the applicant and may file, pursuant to
   55  s. 194.011(3), a petition with the value adjustment board
   56  requesting that the classification be granted. The petition may
   57  be filed at any time during the taxable year on or before the
   58  25th day following the mailing of the notice by the property
   59  appraiser as provided in s. 194.011(1). Notwithstanding the
   60  provisions of s. 194.013, the applicant must pay a nonrefundable
   61  fee of $15 upon filing the petition. Upon reviewing the
   62  petition, if the person is qualified to receive the
   63  classification and demonstrates particular extenuating
   64  circumstances judged by the property appraiser or the value
   65  adjustment board to warrant granting the classification, the
   66  property appraiser or the value adjustment board may grant the
   67  classification for the current year. The owner of land that was
   68  classified agricultural in the previous year and whose ownership
   69  or use has not changed may reapply on a short form as provided
   70  by the department. The lessee of property may make original
   71  application or reapply using the short form if the lease, or an
   72  affidavit executed by the owner, provides that the lessee is
   73  empowered to make application for the agricultural
   74  classification on behalf of the owner and a copy of the lease or
   75  affidavit accompanies the application. A county may, at the
   76  request of the property appraiser and by a majority vote of its
   77  governing body, waive the requirement that an annual application
   78  or statement be made for classification of property within the
   79  county after an initial application is made and the
   80  classification granted by the property appraiser. Such waiver
   81  may be revoked by a majority vote of the governing body of the
   82  county.
   83         (7)(a) Lands classified for assessment purposes as
   84  agricultural lands which are taken out of production by a any
   85  state or federal eradication or quarantine program shall
   86  continue to be classified as agricultural lands for the duration
   87  of such program or successor programs. Lands under these
   88  programs which are converted to fallow, or otherwise nonincome
   89  producing uses shall continue to be classified as agricultural
   90  lands and shall be assessed at a de minimis value of up to no
   91  more than $50 per acre, on a single year assessment methodology;
   92  however, lands converted to other income-producing agricultural
   93  uses permissible under such programs shall be assessed pursuant
   94  to this section. Land under a mandated eradication or quarantine
   95  program which is diverted from an agricultural to a
   96  nonagricultural use shall be assessed under s. 193.011.
   97         (b) Lands classified for assessment purposes as
   98  agricultural lands which participate in a dispersed water
   99  storage program pursuant to a contract with the Department of
  100  Environmental Protection or a water management district which
  101  requires flooding of land shall continue to be classified as
  102  agricultural lands for the duration of the inclusion of the
  103  lands in such program or successor programs and shall be
  104  assessed as nonproductive agricultural lands. Land under a
  105  dispersed water storage program which is diverted to a
  106  nonagricultural use shall be assessed under s. 193.011.
  107         Section 2. Subsections (29) and (32) of section 212.02,
  108  Florida Statutes, are amended to read:
  109         212.02 Definitions.—The following terms and phrases when
  110  used in this chapter have the meanings ascribed to them in this
  111  section, except where the context clearly indicates a different
  112  meaning:
  113         (29) “Livestock” includes all animals of the equine,
  114  bovine, or swine class, including goats, sheep, mules, horses,
  115  hogs, cattle, ostriches, and other grazing animals raised for
  116  commercial purposes. The term “livestock” shall also includes
  117  all aquaculture species that are certified under chapter 597 and
  118  include fish raised for commercial purposes.
  119         (32) “Agricultural production” means the production of
  120  plants and animals useful to humans, including the preparation,
  121  planting, cultivating, or harvesting of these products or any
  122  other practices necessary to accomplish production through the
  123  harvest phase, including storage of raw products on the farm.
  124  The term and includes aquaculture, horticulture, floriculture,
  125  viticulture, forestry, dairy, livestock, poultry, bees, and any
  126  and all forms of farm products and farm production.
  127         Section 3. Subsection (3) and paragraph (a) of subsection
  128  (5) of section 212.08, Florida Statutes, are amended to read:
  129         212.08 Sales, rental, use, consumption, distribution, and
  130  storage tax; specified exemptions.—The sale at retail, the
  131  rental, the use, the consumption, the distribution, and the
  132  storage to be used or consumed in this state of the following
  133  are hereby specifically exempt from the tax imposed by this
  134  chapter.
  136         (a)A There shall be no tax may not be imposed on the sale,
  137  rental, lease, use, consumption, repair, or storage for use in
  138  this state of power farm equipment or irrigation equipment,
  139  including replacement parts and accessories for power farm
  140  equipment or irrigation equipment, which are used exclusively on
  141  a farm or in a forest in the agricultural production of crops or
  142  products as produced by those agricultural industries included
  143  in s. 570.02(1), or for fire prevention and suppression work
  144  with respect to such crops or products. Harvesting may not be
  145  construed to include processing activities. This exemption is
  146  not forfeited by moving farm equipment between farms or forests.
  147         (b)A tax may not be imposed on that portion of the sales
  148  price below $20,000 for a trailer weighing 12,000 pounds or less
  149  and purchased by a farmer for exclusive use in agricultural
  150  production or to transport farm products from his or her farm to
  151  the place where the farmer transfers ownership of the farm
  152  products to another. This exemption is not forfeited by using a
  153  trailer to transport the farmer’s farm equipment. The exemption
  154  provided under this paragraph does not apply to the lease or
  155  rental of a trailer.
  156         (c)The exemptions provided in paragraphs (a) and (b) are
  157  However, this exemption shall not be allowed unless the
  158  purchaser, renter, or lessee signs a certificate stating that
  159  the farm equipment is to be used exclusively on a farm or in a
  160  forest for agricultural production or for fire prevention and
  161  suppression, as required under by this subsection. Possession by
  162  a seller, lessor, or other dealer of a written certification by
  163  the purchaser, renter, or lessee certifying the purchaser’s,
  164  renter’s, or lessee’s entitlement to an exemption permitted by
  165  this subsection relieves the seller from the responsibility of
  166  collecting the tax on the nontaxable amounts, and the department
  167  shall look solely to the purchaser for recovery of such tax if
  168  it determines that the purchaser was not entitled to the
  169  exemption.
  170         (5) EXEMPTIONS; ACCOUNT OF USE.—
  171         (a) Items in agricultural use and certain nets.A There are
  172  exempt from the tax may not be imposed on by this chapter nets
  173  designed and used exclusively by commercial fisheries;
  174  disinfectants, fertilizers, insecticides, pesticides,
  175  herbicides, fungicides, and weed killers used for application on
  176  crops or groves, including commercial nurseries and home
  177  vegetable gardens, used in dairy barns or on poultry farms for
  178  the purpose of protecting poultry or livestock, or used directly
  179  on poultry or livestock; portable containers or movable
  180  receptacles in which portable containers are placed, used for
  181  processing farm products; field and garden seeds, including
  182  flower seeds; nursery stock, seedlings, cuttings, or other
  183  propagative material purchased for growing stock; seeds,
  184  seedlings, cuttings, and plants used to produce food for human
  185  consumption; cloth, plastic, and other similar materials used
  186  for shade, mulch, or protection from frost or insects on a farm;
  187  stakes used by a farmer to support plants during agricultural
  188  production; generators used on poultry farms; and liquefied
  189  petroleum gas or other fuel used to heat a structure in which
  190  started pullets or broilers are raised; however, such exemption
  191  is shall not be allowed unless the purchaser or lessee signs a
  192  certificate stating that the item to be exempted is for the
  193  exclusive use designated herein. Also exempt are cellophane
  194  wrappers, glue for tin and glass (apiarists), mailing cases for
  195  honey, shipping cases, window cartons, and baling wire and twine
  196  used for baling hay, when used by a farmer to contain, produce,
  197  or process an agricultural commodity.
  198         Section 4. Section 373.4591, Florida Statutes, is amended
  199  to read:
  200         373.4591 Improvements on private agricultural lands.—The
  201  Legislature encourages public-private partnerships to accomplish
  202  water storage and water quality improvements on private
  203  agricultural lands. When an agreement is entered into between a
  204  water management district or the department and a private
  205  landowner to establish such a partnership, a baseline condition
  206  determining the extent of wetlands and other surface waters on
  207  the property shall be established and documented in the
  208  agreement before improvements are constructed. When the
  209  Department of Agriculture and Consumer Services and a landowner
  210  agree to a plan to implement best management practices pursuant
  211  to s. 403.067(7)(c), a baseline condition determining the extent
  212  of wetlands and other surface waters on the property may be
  213  established at the option and expense of the landowner and
  214  documented in the best management practice implementation
  215  agreement before improvements are constructed. The determination
  216  for the baseline condition shall be conducted using the methods
  217  set forth in the rules adopted pursuant to s. 373.421. The
  218  baseline condition documented in the agreement shall be
  219  considered the extent of wetlands and other surface waters on
  220  the property for the purpose of regulation under this chapter
  221  for the duration of the agreement and after its expiration.
  222         Section 5. This act shall take effect July 1, 2014.