Florida Senate - 2021               CS for CS for CS for SB 1186
       
       
        
       By the Committees on Appropriations; Finance and Tax; and
       Community Affairs; and Senator Brandes
       
       
       
       
       576-04668-21                                          20211186c3
    1                        A bill to be entitled                      
    2         An act relating to property assessments for elevated
    3         properties; amending ss. 193.155 and 193.1554, F.S.;
    4         specifying that changes to elevate certain homestead
    5         and nonhomestead residential property, respectively,
    6         do not increase the assessed value of the property;
    7         requiring property owners to provide certification for
    8         such property; defining the term “voluntary elevation”
    9         or “voluntarily elevated”; prohibiting certain areas
   10         from being included in square footage calculation;
   11         providing an exception; providing applicability;
   12         making clarifying revisions; providing an effective
   13         date.
   14          
   15  Be It Enacted by the Legislature of the State of Florida:
   16  
   17         Section 1. Subsection (4) of section 193.155, Florida
   18  Statutes, is amended to read:
   19         193.155 Homestead assessments.—Homestead property shall be
   20  assessed at just value as of January 1, 1994. Property receiving
   21  the homestead exemption after January 1, 1994, shall be assessed
   22  at just value as of January 1 of the year in which the property
   23  receives the exemption unless the provisions of subsection (8)
   24  apply.
   25         (4)(a) Except as provided in paragraph (b) and s. 193.624,
   26  changes, additions, or improvements to homestead property shall
   27  be assessed at just value as of the first January 1 after the
   28  changes, additions, or improvements are substantially completed.
   29         (b)1. Changes, additions, or improvements that replace all
   30  or a portion of homestead property damaged or destroyed by
   31  misfortune or calamity shall not increase the homestead
   32  property’s assessed value when the square footage of the
   33  homestead property as changed or improved does not exceed 110
   34  percent of the square footage of the homestead property before
   35  the damage, or destruction, or voluntary elevation of the
   36  homestead property if:
   37         a.The homestead property was damaged or destroyed by
   38  misfortune or calamity; or
   39         b.At the time the voluntary elevation commenced:
   40         (I)The homestead property was not deemed uninhabitable in
   41  part or in whole under state or local law;
   42         (II)All ad valorem taxes, special assessments, county or
   43  municipal utility charges, and other government-imposed liens
   44  against the homestead property had been paid; and
   45         (III)The homestead property did not comply with the
   46  Federal Emergency Management Agency’s National Flood Insurance
   47  Program requirements and Florida Building Code elevation
   48  requirements and was elevated in compliance with such
   49  requirements. The property owner must provide elevation
   50  certificates for both the original and elevated homestead
   51  property. For purposes of this subsection, the term “voluntary
   52  elevation” or “voluntarily elevated” means the elevation of an
   53  existing nonconforming homestead property or the removal and
   54  rebuilding of a nonconforming homestead property. Conforming
   55  areas below an elevated structure designated only for parking,
   56  storage, or access may not be included in the 110 percent
   57  calculation unless the area exceeds 110 percent of the lowest
   58  level square footage before the voluntary elevation, in which
   59  case the area in excess of 110 percent of the lowest level
   60  square footage before the voluntary elevation shall be included
   61  in the 110 percent calculation.
   62  
   63  Additionally, the homestead property’s assessed value may shall
   64  not increase if the total square footage of the homestead
   65  property as changed, or improved, or elevated does not exceed
   66  1,500 square feet.
   67         2.This paragraph does not apply if, after completion of
   68  the voluntary elevation, there is a change in the classification
   69  of the property pursuant to s. 195.073(1).
   70         (c) Changes, additions, or improvements that do not cause
   71  the total to exceed 110 percent of the total square footage of
   72  the homestead property before the qualifying damage, or
   73  destruction, or voluntary elevation or that do not cause the
   74  total to exceed 1,500 total square feet shall be reassessed as
   75  provided under subsection (1). The homestead property’s assessed
   76  value shall be increased by the just value of that portion of
   77  the changed or improved homestead property which is in excess of
   78  110 percent of the square footage of the homestead property
   79  before the qualifying damage, or destruction, or voluntary
   80  elevation or of that portion exceeding 1,500 square feet.
   81  Homestead property damaged, or destroyed, or voluntarily
   82  elevated by misfortune or calamity which, after being changed or
   83  improved, has a square footage of less than 100 percent of the
   84  homestead property’s total square footage before the qualifying
   85  damage, or destruction, or voluntary elevation shall be assessed
   86  pursuant to subsection (5).
   87         (d)For changes, additions, or improvements made to replace
   88  property that was damaged or destroyed by misfortune or
   89  calamity, this subsection paragraph applies to the changes,
   90  additions, or improvements commenced within 3 years after the
   91  January 1 following the qualifying damage or destruction of the
   92  homestead property.
   93         (e)(c) Changes, additions, or improvements that replace all
   94  or a portion of real property that was damaged, or destroyed, or
   95  voluntarily elevated by misfortune or calamity shall be assessed
   96  upon substantial completion as if such qualifying damage, or
   97  destruction, or voluntary elevation had not occurred and in
   98  accordance with paragraph (b) if the owner of such property:
   99         1. Was permanently residing on such property when the
  100  qualifying damage, or destruction, or voluntary elevation
  101  occurred;
  102         2. Was not entitled to receive homestead exemption on such
  103  property as of January 1 of that year; and
  104         3. Applies for and receives homestead exemption on such
  105  property the following year.
  106         (f)(d) Changes, additions, or improvements include
  107  improvements made to common areas or other improvements made to
  108  property other than to the homestead property by the owner or by
  109  an owner association, which improvements directly benefit the
  110  homestead property. Such changes, additions, or improvements
  111  shall be assessed at just value, and the just value shall be
  112  apportioned among the parcels benefiting from the improvement.
  113         Section 2. Subsection (6) of section 193.1554, Florida
  114  Statutes, is amended to read:
  115         193.1554 Assessment of nonhomestead residential property.—
  116         (6)(a) Except as provided in paragraph (b) and s. 193.624,
  117  changes, additions, or improvements to nonhomestead residential
  118  property shall be assessed at just value as of the first January
  119  1 after the changes, additions, or improvements are
  120  substantially completed.
  121         (b)1. Changes, additions, or improvements that replace all
  122  or a portion of nonhomestead residential property damaged or
  123  destroyed by misfortune or calamity shall not increase the
  124  property’s assessed value when the square footage of the
  125  property as changed or improved does not exceed 110 percent of
  126  the square footage of the property before the damage, or
  127  destruction, or voluntary elevation of the property if:
  128         a.The property was damaged or destroyed by misfortune or
  129  calamity; or
  130         b.At the time the voluntary elevation commenced:
  131         (I)The property was not deemed uninhabitable in part or in
  132  whole under state or local law;
  133         (II)All ad valorem taxes, special assessments, county or
  134  municipal utility charges, and other government-imposed liens
  135  against the nonhomestead property had been paid; and
  136         (III)The property did not comply with the Federal
  137  Emergency Management Agency’s National Flood Insurance Program
  138  requirements and Florida Building Code elevation requirements
  139  and was elevated in compliance with such requirements. The
  140  property owner must provide elevation certificates for both the
  141  original and the elevated property. For purposes of this
  142  subsection, the term “voluntary elevation” or “voluntarily
  143  elevated” means the elevation of an existing nonconforming
  144  nonhomestead residential property or the removal and rebuilding
  145  of a nonconforming nonhomestead residential property. Conforming
  146  areas below an elevated structure designated only for parking,
  147  storage, or access may not be included in the 110 percent
  148  calculation unless the area exceeds 110 percent of the lowest
  149  level square footage before the voluntary elevation, in which
  150  case the area in excess of 110 percent of the lowest level
  151  square footage before the voluntary elevation shall be included
  152  in the 110 percent calculation.
  153  
  154  Additionally, the property’s assessed value may shall not
  155  increase if the total square footage of the property as changed,
  156  or improved, or elevated does not exceed 1,500 square feet.
  157         2.This paragraph does not apply if, after completion of
  158  the voluntary elevation, there is a change in the classification
  159  of the property pursuant to s. 195.073(1).
  160         (c) Changes, additions, or improvements that do not cause
  161  the total to exceed 110 percent of the total square footage of
  162  the property before the qualifying damage, or destruction, or
  163  voluntary elevation or that do not cause the total to exceed
  164  1,500 total square feet shall be reassessed as provided under
  165  subsection (3). The property’s assessed value shall be increased
  166  by the just value of that portion of the changed or improved
  167  property which is in excess of 110 percent of the square footage
  168  of the property before the qualifying damage, or destruction, or
  169  voluntary elevation or of that portion exceeding 1,500 square
  170  feet. Property damaged, or destroyed, or voluntarily elevated by
  171  misfortune or calamity which, after being changed or improved,
  172  has a square footage of less than 100 percent of the property’s
  173  total square footage before the qualifying damage, or
  174  destruction, or voluntary elevation shall be assessed pursuant
  175  to subsection (8).
  176         (d)For changes, additions, or improvements made to replace
  177  property that was damaged or destroyed by misfortune or
  178  calamity, this subsection paragraph applies to the changes,
  179  additions, or improvements commenced within 3 years after the
  180  January 1 following the qualifying damage or destruction of the
  181  property.
  182         (e)(c) Changes, additions, or improvements include
  183  improvements made to common areas or other improvements made to
  184  property other than to the nonhomestead residential property by
  185  the owner or by an owner association, which improvements
  186  directly benefit the property. Such changes, additions, or
  187  improvements shall be assessed at just value, and the just value
  188  shall be apportioned among the parcels benefiting from the
  189  improvement.
  190         Section 3. This act shall take effect on the effective date
  191  of the amendment to the State Constitution proposed by SJR 1182
  192  or a similar joint resolution having substantially the same
  193  specific intent and purpose, if such amendment to the State
  194  Constitution is approved at the general election held in
  195  November 2022 or at an earlier special election specifically
  196  authorized by law for that purpose.