Florida Senate - 2026                                    SB 1608
       
       
        
       By Senator Polsky
       
       
       
       
       
       30-01519-26                                           20261608__
    1                        A bill to be entitled                      
    2         An act relating to the assessment of property with
    3         decreasing just valuation; amending ss. 193.155,
    4         193.1554, and 193.1555, F.S.; prohibiting increases in
    5         certain assessed valuations if the just value of the
    6         property has decreased since the previous assessment;
    7         providing a contingent effective date.
    8          
    9  Be It Enacted by the Legislature of the State of Florida:
   10  
   11         Section 1. Subsection (1) of section 193.155, Florida
   12  Statutes, is amended, and subsection (4) of that section is
   13  republished, to read:
   14         193.155 Homestead assessments.—Homestead property shall be
   15  assessed at just value as of January 1, 1994. Property receiving
   16  the homestead exemption after January 1, 1994, shall be assessed
   17  at just value as of January 1 of the year in which the property
   18  receives the exemption unless the provisions of subsection (8)
   19  apply.
   20         (1)(a)Except as provided in paragraph (b) and subsection
   21  (4), beginning in 1995, or the year following the year the
   22  property receives homestead exemption, whichever is later, the
   23  property shall be reassessed annually on January 1. Any change
   24  resulting from such reassessment shall not exceed the lower of
   25  the following:
   26         1.(a) Three percent of the assessed value of the property
   27  for the prior year; or
   28         2.(b) The percentage change in the Consumer Price Index for
   29  All Urban Consumers, U.S. City Average, all items 1967=100, or
   30  successor reports for the preceding calendar year as initially
   31  reported by the United States Department of Labor, Bureau of
   32  Labor Statistics.
   33         (b)Except as provided in subsection (4), the assessed
   34  value of homestead property may not increase if the just value
   35  of the property is less than the just value of the property on
   36  the preceding January 1.
   37         (4)(a) Except as provided in paragraph (b) and s. 193.624,
   38  changes, additions, or improvements to homestead property shall
   39  be assessed at just value as of the first January 1 after the
   40  changes, additions, or improvements are substantially completed.
   41         (b)1. Changes, additions, or improvements that replace all
   42  or a portion of homestead property, including ancillary
   43  improvements, damaged or destroyed by misfortune or calamity
   44  shall be assessed upon substantial completion as provided in
   45  this paragraph. Such assessment must be calculated using the
   46  homestead property’s assessed value as of the January 1
   47  immediately before the date on which the damage or destruction
   48  was sustained, subject to the assessment limitations in
   49  subsections (1) and (2), when:
   50         a. The square footage of the homestead property as changed
   51  or improved does not exceed 130 percent of the square footage of
   52  the homestead property before the damage or destruction; or
   53         b. The total square footage of the homestead property as
   54  changed or improved does not exceed 2,000 square feet.
   55         2. The homestead property’s assessed value must be
   56  increased by the just value of that portion of the changed or
   57  improved homestead property which is in excess of 130 percent of
   58  the square footage of the homestead property before the damage
   59  or destruction or of that portion exceeding 2,000 square feet.
   60         3. Homestead property damaged or destroyed by misfortune or
   61  calamity which, after being changed or improved, has a square
   62  footage of less than 100 percent of the homestead property’s
   63  total square footage before the damage or destruction shall be
   64  assessed pursuant to subsection (5).
   65         4. Changes, additions, or improvements assessed pursuant to
   66  this paragraph must be reassessed pursuant to subsection (1) in
   67  subsequent years. This paragraph applies to changes, additions,
   68  or improvements commenced within 5 years after the January 1
   69  following the damage or destruction of the homestead.
   70         (c) Changes, additions, or improvements that replace all or
   71  a portion of real property that was damaged or destroyed by
   72  misfortune or calamity shall be assessed upon substantial
   73  completion as if such damage or destruction had not occurred and
   74  in accordance with paragraph (b) if the owner of such property:
   75         1. Was permanently residing on such property when the
   76  damage or destruction occurred;
   77         2. Was not entitled to receive homestead exemption on such
   78  property as of January 1 of that year; and
   79         3. Applies for and receives homestead exemption on such
   80  property the following year.
   81         (d) Changes, additions, or improvements include
   82  improvements made to common areas or other improvements made to
   83  property other than to the homestead property by the owner or by
   84  an owner association, which improvements directly benefit the
   85  homestead property. Such changes, additions, or improvements
   86  shall be assessed at just value, and the just value shall be
   87  apportioned among the parcels benefiting from the improvement.
   88         Section 2. Subsection (3) of section 193.1554, Florida
   89  Statutes, is amended, and subsection (6) of that section is
   90  republished, to read:
   91         193.1554 Assessment of nonhomestead residential property.—
   92         (3)(a)Except as provided in paragraph (b) and subsection
   93  (6), beginning in the year following the year the nonhomestead
   94  residential property becomes eligible for assessment pursuant to
   95  this section, the property shall be reassessed annually on
   96  January 1. Any change resulting from such reassessment may not
   97  exceed 10 percent of the assessed value of the property for the
   98  prior year.
   99         (b)Except for assessments described in subsection (6), for
  100  all levies other than school district levies, the assessed value
  101  of a nonhomestead residential property may not increase if the
  102  just value of the property is less than the just value of the
  103  property on the preceding January 1.
  104         (6)(a) Except as provided in paragraph (b) and s. 193.624,
  105  changes, additions, or improvements to nonhomestead residential
  106  property shall be assessed at just value as of the first January
  107  1 after the changes, additions, or improvements are
  108  substantially completed.
  109         (b)1. Changes, additions, or improvements that replace all
  110  or a portion of nonhomestead residential property, including
  111  ancillary improvements, damaged or destroyed by misfortune or
  112  calamity must be assessed upon substantial completion as
  113  provided in this paragraph. Such assessment must be calculated
  114  using the nonhomestead property’s assessed value as of the
  115  January 1 immediately before the date on which the damage or
  116  destruction was sustained, subject to the assessment limitations
  117  in subsections (3) and (4), when:
  118         a. The square footage of the property as changed or
  119  improved does not exceed 110 percent of the square footage of
  120  the property before the damage or destruction; or
  121         b. The total square footage of the property as changed or
  122  improved does not exceed 1,500 square feet.
  123         2. The property’s assessed value must be increased by the
  124  just value of that portion of the changed or improved property
  125  which is in excess of 110 percent of the square footage of the
  126  property before the damage or destruction or of that portion
  127  exceeding 1,500 square feet.
  128         3. Property damaged or destroyed by misfortune or calamity
  129  which, after being changed or improved, has a square footage of
  130  less than 100 percent of the property’s total square footage
  131  before the damage or destruction shall be assessed pursuant to
  132  subsection (8).
  133         4. Changes, additions, or improvements assessed pursuant to
  134  this paragraph shall be reassessed pursuant to subsection (3) in
  135  subsequent years. This paragraph applies to changes, additions,
  136  or improvements commenced within 3 years after the January 1
  137  following the damage or destruction of the property.
  138         (c) Changes, additions, or improvements include
  139  improvements made to common areas or other improvements made to
  140  property other than to the nonhomestead residential property by
  141  the owner or by an owner association, which improvements
  142  directly benefit the property. Such changes, additions, or
  143  improvements shall be assessed at just value, and the just value
  144  shall be apportioned among the parcels benefiting from the
  145  improvement.
  146         Section 3. Subsection (3) of section 193.1555, Florida
  147  Statutes, is amended, and subsection (6) of that section is
  148  republished, to read:
  149         193.1555 Assessment of certain residential and
  150  nonresidential real property.—
  151         (3)(a)Except as provided in paragraph (b), beginning in
  152  the year following the year the property becomes eligible for
  153  assessment pursuant to this section, the property shall be
  154  reassessed annually on January 1. Any change resulting from such
  155  reassessment may not exceed 10 percent of the assessed value of
  156  the property for the prior year.
  157         (b)Except for assessments described in subsection (6), for
  158  all levies other than school district levies, the assessed value
  159  of nonresidential real property may not increase if the just
  160  value of the property is less than the just value of the
  161  property on the preceding January 1.
  162         (6)(a) Except as provided in paragraph (b), changes,
  163  additions, or improvements to nonresidential real property shall
  164  be assessed at just value as of the first January 1 after the
  165  changes, additions, or improvements are substantially completed.
  166         (b)1. Changes, additions, or improvements that replace all
  167  or a portion of nonresidential real property, including
  168  ancillary improvements, damaged or destroyed by misfortune or
  169  calamity must be assessed upon substantial completion as
  170  provided in this paragraph. Such assessment must be calculated
  171  using the nonresidential real property’s assessed value as of
  172  the January 1 immediately before the date on which the damage or
  173  destruction was sustained, subject to the assessment limitations
  174  in subsections (3) and (4), when:
  175         a. The square footage of the property as changed or
  176  improved does not exceed 110 percent of the square footage of
  177  the property before the damage or destruction; and
  178         b. The changes, additions, or improvements do not change
  179  the property’s character or use.
  180         2. The property’s assessed value must be increased by the
  181  just value of that portion of the changed or improved property
  182  which is in excess of 110 percent of the square footage of the
  183  property before the damage or destruction.
  184         3. Property damaged or destroyed by misfortune or calamity
  185  which, after being changed or improved, has a square footage of
  186  less than 100 percent of the property’s total square footage
  187  before the damage or destruction shall be assessed pursuant to
  188  subsection (8).
  189         4. Changes, additions, or improvements assessed pursuant to
  190  this paragraph must be reassessed pursuant to subsection (3) in
  191  subsequent years. This paragraph applies to changes, additions,
  192  or improvements commenced within 3 years after the January 1
  193  following the damage or destruction of the property.
  194         Section 4. This act shall take effect on the effective date
  195  of the amendment to the State Constitution proposed by SJR ____
  196  or a similar joint resolution having substantially the same
  197  specific intent and purpose, if such amendment to the State
  198  Constitution is approved at the next general election or at an
  199  earlier special election specifically authorized by law for that
  200  purpose.