Florida Senate - 2022 CS for SB 1150 By the Committee on Community Affairs; and Senator Rodriguez 578-02093-22 20221150c1 1 A bill to be entitled 2 An act relating to taxation of affordable housing; 3 creating s. 196.1979, F.S.; authorizing counties and 4 municipalities to adopt ordinances to grant partial ad 5 valorem tax exemptions to property owners whose 6 properties are used to provide affordable housing; 7 providing construction; specifying requirements for 8 eligibility for such exemptions; specifying limits on 9 the amount of such exemptions; defining the term 10 “affordable”; specifying requirements for ordinances 11 granting such exemptions; specifying duties of boards 12 of county commissioners and municipal governing 13 authorities adopting ordinances granting such 14 exemptions; specifying duties for property appraisers; 15 requiring property owners improperly granted such 16 exemptions to pay owed taxes, penalties, and interest; 17 exempting owners from payment of penalties or interest 18 under certain circumstances; providing construction; 19 providing applicability; providing an effective date. 20 21 Be It Enacted by the Legislature of the State of Florida: 22 23 Section 1. Section 196.1979, Florida Statutes, is created 24 to read: 25 196.1979 County and municipal affordable housing property 26 exemption.— 27 (1)(a) Notwithstanding ss. 196.195 and 196.196, the board 28 of county commissioners of a county or the governing authority 29 of a municipality may adopt an ordinance to grant a partial 30 exemption to property used to provide affordable housing to 31 natural persons or families meeting the extremely-low-income, 32 very-low-income, low-income, or moderate-income limits specified 33 in s. 420.0004. Such property is considered property used for a 34 charitable purpose. To be eligible for the exemption, the 35 property must be within a multifamily project containing 50 or 36 more residential units, at least 10 percent of which are used to 37 provide affordable housing meeting the requirements of this 38 subsection and be subject to a recorded land use restriction 39 agreement in favor of the Florida Housing Finance Corporation or 40 any other governmental or quasi-governmental jurisdiction which 41 requires that any units qualifying for the exemption be used for 42 providing affordable housing. Except as provided in paragraph 43 (b), eligible property may receive an ad valorem property tax 44 exemption of up to 75 percent of the assessed value of the 45 residential units used to provide affordable housing. For 46 purposes of this subsection, the term “affordable” has the same 47 meaning as in s. 420.0004. 48 (b) Property eligible for the exemption pursuant to 49 paragraph (a) may receive an exemption of up to 100 percent of 50 the assessed value if 100 percent of the multifamily project’s 51 residential units are used to provide affordable housing. 52 (2) An ordinance granting the exemption authorized by this 53 section must: 54 (a) Be adopted under the procedures for adoption of a 55 nonemergency ordinance by a board of county commissioners 56 specified in chapter 125 or by a municipal governing authority 57 specified in chapter 166. 58 (b) Require that a taxpayer claiming the exemption submit 59 an application to the property appraiser no later than March 1 60 of each year. The annual application must be accompanied by an 61 affidavit from the taxpayer certifying that the taxpayer has 62 verified that, at the time of application, each person or family 63 occupying an exempt residential unit meets the household income 64 limitations specified in this section. 65 (c) Specify that the exemption applies only to taxes levied 66 by the unit of government granting the exemption. 67 (d) Specify that the property may not receive an exemption 68 authorized by this section after the expiration or repeal of the 69 ordinance. 70 (e) Identify the percentage of the assessed value that may 71 be exempted, subject to the percentage limitations in paragraphs 72 (1)(a) and (b). 73 (3) The board of county commissioners or municipal 74 governing authority must deliver a copy of any ordinance adopted 75 under this section to the property appraiser no later than 76 December 1 of the year before the year the exemption will take 77 effect. If the ordinance is repealed, the board of county 78 commissioners or municipal governing authority must notify the 79 property appraiser no later than December 1 of the year before 80 the year the exemption expires. 81 (4) The property appraiser shall apply the exemption only 82 to those portions of property which are used to provide 83 affordable housing. Units that are vacant must be treated as 84 portions of the affordable housing property exempt under this 85 section if the use of the units is restricted to providing 86 affordable housing to natural persons or families described in 87 paragraph (1)(a) and a reasonable effort is made to lease the 88 units to qualifying persons or families. 89 (5) If the property appraiser determines that for any year 90 during the immediately previous 10 years a person who was not 91 entitled to an exemption under this section was granted such an 92 exemption, the property appraiser must serve upon the owner a 93 notice of intent to record in the public records of the county a 94 notice of tax lien against any property owned by that person in 95 the county, and that property must be identified in the notice 96 of tax lien. Any property owned by the taxpayer and situated in 97 this state is subject to the taxes exempted by the improper 98 exemption, plus a penalty of 50 percent of the unpaid taxes for 99 each year and interest at a rate of 15 percent per annum. If an 100 exemption is improperly granted as a result of a clerical 101 mistake or an omission by the property appraiser, the property 102 owner improperly receiving the exemption may not be assessed a 103 penalty or interest. 104 (6) No eligibility criteria other than those specified in 105 paragraph (1)(a) may be applied in determining whether a 106 property qualifies for an exemption under this section. 107 Section 2. The creation by this act of s. 196.1979, Florida 108 Statutes, first applies to the 2023 tax roll. 109 Section 3. This act shall take effect July 1, 2022.