HJR 787 full text · Session Watch

1 House Joint Resolution

2 A joint resolution proposing amendments to Sections 3,

3 4, 6, and 9 of Article VII of the State Constitution

4 to remove the authority of counties and school

5 districts to levy ad valorem taxes.

7 Be It Resolved by the Legislature of the State of Florida:

9 That the following amendment to Sections 3, 4, 6, and 9 of

10 Article VII of the State Constitution is agreed to and shall be

11 submitted to the electors of this state for approval or

12 rejection at the next general election or at an earlier special

13 election specifically authorized by law for that purpose:

14 ARTICLE VII

15 FINANCE AND TAXATION

16 SECTION 3. Taxes; exemptions.—

17 (a) All property owned by a municipality and used

18 exclusively by it for municipal or public purposes shall be

19 exempt from taxation. A municipality, owning property outside

20 the municipality, may be required by general law to make payment

21 to the taxing unit in which the property is located. Such

22 portions of property as are used predominantly for educational,

23 literary, scientific, religious or charitable purposes may be

24 exempted by general law from taxation.

25 (b) There shall be exempt from taxation, cumulatively, to

26 every head of a family residing in this state, household goods

27 and personal effects to the value fixed by general law, not less

28 than one thousand dollars, and to every widow or widower or

29 person who is blind or totally and permanently disabled,

30 property to the value fixed by general law not less than five

31 hundred dollars.

32 (c) Any ~~county or~~ municipality may, for the purpose of its

33 respective tax levy and subject to the provisions of this

34 subsection and general law, grant community and economic

35 development ad valorem tax exemptions to new businesses and

36 expansions of existing businesses, as defined by general law.

37 Such an exemption may be granted only by ordinance of the ~~county~~

38 or municipality, and only after the electors of the ~~county or~~

39 municipality voting on such question in a referendum authorize

40 the ~~county or~~ municipality to adopt such ordinances. An

41 exemption so granted shall apply to improvements to real

42 property made by or for the use of a new business and

43 improvements to real property related to the expansion of an

44 existing business and shall also apply to tangible personal

45 property of such new business and tangible personal property

46 related to the expansion of an existing business. The amount or

47 limits of the amount of such exemption shall be specified by

48 general law. The period of time for which such exemption may be

49 granted to a new business or expansion of an existing business

50 shall be determined by general law. The authority to grant such

51 exemption shall expire ten years from the date of approval by

52 the electors of the ~~county or~~ municipality, and may be renewable

53 by referendum as provided by general law.

54 (d) Any ~~county or~~ municipality may, for the purpose of its

55 respective tax levy and subject to the provisions of this

56 subsection and general law, grant historic preservation ad

57 valorem tax exemptions to owners of historic properties. This

58 exemption may be granted only by ordinance of the ~~county or~~

59 municipality. The amount or limits of the amount of this

60 exemption and the requirements for eligible properties must be

61 specified by general law. The period of time for which this

62 exemption may be granted to a property owner shall be determined

63 by general law.

64 (e) By general law and subject to conditions specified

65 therein:

66 (1) Twenty-five thousand dollars of the assessed value of

67 property subject to tangible personal property tax shall be

68 exempt from ad valorem taxation.

69 (2) The assessed value of solar devices or renewable

70 energy source devices subject to tangible personal property tax

71 may be exempt from ad valorem taxation, subject to limitations

72 provided by general law.

73 (f) There shall be granted an ad valorem tax exemption for

74 real property dedicated in perpetuity for conservation purposes,

75 including real property encumbered by perpetual conservation

76 easements or by other perpetual conservation protections, as

77 defined by general law.

78 (g) By general law and subject to the conditions specified

79 therein, each person who receives a homestead exemption as

80 provided in section 6 of this article; who was a member of the

81 United States military or military reserves, the United States

82 Coast Guard or its reserves, or the Florida National Guard; and

83 who was deployed during the preceding calendar year on active

84 duty outside the continental United States, Alaska, or Hawaii in

85 support of military operations designated by the legislature

86 shall receive an additional exemption equal to a percentage of

87 the taxable value of his or her homestead property. The

88 applicable percentage shall be calculated as the number of days

89 during the preceding calendar year the person was deployed on

90 active duty outside the continental United States, Alaska, or

91 Hawaii in support of military operations designated by the

92 legislature divided by the number of days in that year.

93 SECTION 4. Taxation; assessments.—By general law

94 regulations shall be prescribed which shall secure a just

95 valuation of all property for ad valorem taxation, provided:

96 (a) Agricultural land, land producing high water recharge

97 to Florida's aquifers, or land used exclusively for

98 noncommercial recreational purposes may be classified by general

99 law and assessed solely on the basis of character or use.

100 (b) As provided by general law and subject to conditions,

101 limitations, and reasonable definitions specified therein, land

102 used for conservation purposes shall be classified by general

103 law and assessed solely on the basis of character or use.

104 (c) Pursuant to general law tangible personal property

105 held for sale as stock in trade and livestock may be valued for

106 taxation at a specified percentage of its value, may be

107 classified for tax purposes, or may be exempted from taxation.

108 (d) All persons entitled to a homestead exemption under

109 Section 6 of this Article shall have their homestead assessed at

110 just value as of January 1 of the year following the effective

111 date of this amendment. This assessment shall change only as

112 provided in this subsection.

113 (1) Assessments subject to this subsection shall be

114 changed annually on January 1st of each year; but those changes

115 in assessments shall not exceed the lower of the following:

116 a. Three percent (3%) of the assessment for the prior

117 year.

118 b. The percent change in the Consumer Price Index for all

119 urban consumers, U.S. City Average, all items 1967=100, or

120 successor reports for the preceding calendar year as initially

121 reported by the United States Department of Labor, Bureau of

122 Labor Statistics.

123 (2) No assessment shall exceed just value.

124 (3) After any change of ownership, as provided by general

125 law, homestead property shall be assessed at just value as of

126 January 1 of the following year, unless the provisions of

127 paragraph (8) apply. Thereafter, the homestead shall be assessed

128 as provided in this subsection.

129 (4) New homestead property shall be assessed at just value

130 as of January 1st of the year following the establishment of the

131 homestead, unless the provisions of paragraph (8) apply. That

132 assessment shall only change as provided in this subsection.

133 (5) Changes, additions, reductions, or improvements to

134 homestead property shall be assessed as provided for by general

135 law; provided, however, after the adjustment for any change,

136 addition, reduction, or improvement, the property shall be

137 assessed as provided in this subsection.

138 (6) In the event of a termination of homestead status, the

139 property shall be assessed as provided by general law.

140 (7) The provisions of this amendment are severable. If any

141 of the provisions of this amendment shall be held

142 unconstitutional by any court of competent jurisdiction, the

143 decision of such court shall not affect or impair any remaining

144 provisions of this amendment.

145 (8)a. A person who establishes a new homestead as of

146 January 1 and who has received a homestead exemption pursuant to

147 Section 6 of this Article as of January 1 of any of the three

148 years immediately preceding the establishment of the new

149 homestead is entitled to have the new homestead assessed at less

150 than just value. The assessed value of the newly established

151 homestead shall be determined as follows:

152 1. If the just value of the new homestead is greater than

153 or equal to the just value of the prior homestead as of January

154 1 of the year in which the prior homestead was abandoned, the

155 assessed value of the new homestead shall be the just value of

156 the new homestead minus an amount equal to the lesser of

157 $500,000 or the difference between the just value and the

158 assessed value of the prior homestead as of January 1 of the

159 year in which the prior homestead was abandoned. Thereafter, the

160 homestead shall be assessed as provided in this subsection.

161 2. If the just value of the new homestead is less than the

162 just value of the prior homestead as of January 1 of the year in

163 which the prior homestead was abandoned, the assessed value of

164 the new homestead shall be equal to the just value of the new

165 homestead divided by the just value of the prior homestead and

166 multiplied by the assessed value of the prior homestead.

167 However, if the difference between the just value of the new

168 homestead and the assessed value of the new homestead calculated

169 pursuant to this sub-subparagraph is greater than $500,000, the

170 assessed value of the new homestead shall be increased so that

171 the difference between the just value and the assessed value

172 equals $500,000. Thereafter, the homestead shall be assessed as

173 provided in this subsection.

174 b. By general law and subject to conditions specified

175 therein, the legislature shall provide for application of this

176 paragraph to property owned by more than one person.

177 (e) The legislature may, by general law, for assessment

178 purposes and subject to the provisions of this subsection, allow

179 counties and municipalities to authorize by ordinance that

180 historic property may be assessed solely on the basis of

181 character or use. Such character or use assessment shall apply

182 only to the jurisdiction adopting the ordinance. The

183 requirements for eligible properties must be specified by

184 general law.

185 (f) A county may, in the manner prescribed by general law,

186 provide for a reduction in the assessed value of homestead

187 property to the extent of any increase in the assessed value of

188 that property which results from the construction or

189 reconstruction of the property for the purpose of providing

190 living quarters for one or more natural or adoptive grandparents

191 or parents of the owner of the property or of the owner's spouse

192 if at least one of the grandparents or parents for whom the

193 living quarters are provided is 62 years of age or older. Such a

194 reduction may not exceed the lesser of the following:

195 (1) The increase in assessed value resulting from

196 construction or reconstruction of the property.

197 (2) Twenty percent of the total assessed value of the

198 property as improved.

199 (g) For all levies ~~other than school district levies,~~

200 assessments of residential real property, as defined by general

201 law, which contains nine units or fewer and which is not subject

202 to the assessment limitations set forth in subsections (a)

203 through (d) shall change only as provided in this subsection.

204 (1) Assessments subject to this subsection shall be

205 changed annually on the date of assessment provided by law; but

206 those changes in assessments shall not exceed ten percent (10%)

207 of the assessment for the prior year.

208 (2) No assessment shall exceed just value.

209 (3) After a change of ownership or control, as defined by

210 general law, including any change of ownership of a legal entity

211 that owns the property, such property shall be assessed at just

212 value as of the next assessment date. Thereafter, such property

213 shall be assessed as provided in this subsection.

214 (4) Changes, additions, reductions, or improvements to

215 such property shall be assessed as provided for by general law;

216 however, after the adjustment for any change, addition,

217 reduction, or improvement, the property shall be assessed as

218 provided in this subsection.

219 (h) For all levies ~~other than school district levies,~~

220 assessments of real property that is not subject to the

221 assessment limitations set forth in subsections (a) through (d)

222 and (g) shall change only as provided in this subsection.

223 (1) Assessments subject to this subsection shall be

224 changed annually on the date of assessment provided by law; but

225 those changes in assessments shall not exceed ten percent (10%)

226 of the assessment for the prior year.

227 (2) No assessment shall exceed just value.

228 (3) The legislature must provide that such property shall

229 be assessed at just value as of the next assessment date after a

230 qualifying improvement, as defined by general law, is made to

231 such property. Thereafter, such property shall be assessed as

232 provided in this subsection.

233 (4) The legislature may provide that such property shall

234 be assessed at just value as of the next assessment date after a

235 change of ownership or control, as defined by general law,

236 including any change of ownership of the legal entity that owns

237 the property. Thereafter, such property shall be assessed as

238 provided in this subsection.

239 (5) Changes, additions, reductions, or improvements to

240 such property shall be assessed as provided for by general law;

241 however, after the adjustment for any change, addition,

242 reduction, or improvement, the property shall be assessed as

243 provided in this subsection.

244 (i) The legislature, by general law and subject to

245 conditions specified therein, may prohibit the consideration of

246 the following in the determination of the assessed value of real

247 property:

248 (1) Any change or improvement to real property used for

249 residential purposes made to improve the property's resistance

250 to wind damage.

251 (2) The installation of a solar or renewable energy source

252 device.

253 (j)(1) The assessment of the following working waterfront

254 properties shall be based upon the current use of the property:

255 a. Land used predominantly for commercial fishing

256 purposes.

257 b. Land that is accessible to the public and used for

258 vessel launches into waters that are navigable.

259 c. Marinas and drystacks that are open to the public.

260 d. Water-dependent marine manufacturing facilities,

261 commercial fishing facilities, and marine vessel construction

262 and repair facilities and their support activities.

263 (2) The assessment benefit provided by this subsection is

264 subject to conditions and limitations and reasonable definitions

265 as specified by the legislature by general law.

266 SECTION 6. Homestead exemptions.—

267 (a)(1) Every person who has the legal or equitable title

268 to real estate and maintains thereon the permanent residence of

269 the owner, or another legally or naturally dependent upon the

270 owner, shall be exempt from taxation thereon, except assessments

271 for special benefits, as follows:

272 a. Up to the assessed valuation of twenty-five thousand

273 dollars; and

274 b. For all levies ~~other than school district levies,~~ on

275 the assessed valuation greater than fifty thousand dollars and

276 up to seventy-five thousand dollars,

278 upon establishment of right thereto in the manner prescribed by

279 law. The real estate may be held by legal or equitable title, by

280 the entireties, jointly, in common, as a condominium, or

281 indirectly by stock ownership or membership representing the

282 owner's or member's proprietary interest in a corporation owning

283 a fee or a leasehold initially in excess of ninety-eight years.

284 The exemption shall not apply with respect to any assessment

285 roll until such roll is first determined to be in compliance

286 with the provisions of section 4 by a state agency designated by

287 general law. This exemption is repealed on the effective date of

288 any amendment to this Article which provides for the assessment

289 of homestead property at less than just value.

290 (2) The twenty-five thousand dollar amount of assessed

291 valuation exempt from taxation provided in subparagraph (a)(1)b.

292 shall be adjusted annually on January 1 of each year for

293 inflation using the percent change in the Consumer Price Index

294 for All Urban Consumers, U.S. City Average, all items 1967=100,

295 or successor reports for the preceding calendar year as

296 initially reported by the United States Department of Labor,

297 Bureau of Labor Statistics, if such percent change is positive.

298 (3) The amount of assessed valuation exempt from taxation

299 for which every person who has the legal or equitable title to

300 real estate and maintains thereon the permanent residence of the

301 owner, or another person legally or naturally dependent upon the

302 owner, is eligible, ~~and which applies solely to levies other~~

303 ~~than school district levies,~~ that is added to this constitution

304 after January 1, 2025, shall be adjusted annually on January 1

305 of each year for inflation using the percent change in the

306 Consumer Price Index for All Urban Consumers, U.S. City Average,

307 all items 1967=100, or successor reports for the preceding

308 calendar year as initially reported by the United States

309 Department of Labor, Bureau of Labor Statistics, if such percent

310 change is positive, beginning the year following the effective

311 date of such exemption.

312 (b) Not more than one exemption shall be allowed any

313 individual or family unit or with respect to any residential

314 unit. No exemption shall exceed the value of the real estate

315 assessable to the owner or, in case of ownership through stock

316 or membership in a corporation, the value of the proportion

317 which the interest in the corporation bears to the assessed

318 value of the property.

319 (c) By general law and subject to conditions specified

320 therein, the Legislature may provide to renters, who are

321 permanent residents, ad valorem tax relief on all ad valorem tax

322 levies. Such ad valorem tax relief shall be in the form and

323 amount established by general law.

324 (d) The legislature may, by general law, allow counties or

325 municipalities, for the purpose of their respective tax levies

326 and subject to the provisions of general law, to grant either or

327 both of the following additional homestead tax exemptions:

328 (1) An exemption not exceeding fifty thousand dollars to a

329 person who has the legal or equitable title to real estate and

330 maintains thereon the permanent residence of the owner, who has

331 attained age sixty-five, and whose household income, as defined

332 by general law, does not exceed twenty thousand dollars; or

333 (2) An exemption equal to the assessed value of the

334 property to a person who has the legal or equitable title to

335 real estate with a just value less than two hundred and fifty

336 thousand dollars, as determined in the first tax year that the

337 owner applies and is eligible for the exemption, and who has

338 maintained thereon the permanent residence of the owner for not

339 less than twenty-five years, who has attained age sixty-five,

340 and whose household income does not exceed the income limitation

341 prescribed in paragraph (1).

343 The general law must allow counties and municipalities to grant

344 these additional exemptions, within the limits prescribed in

345 this subsection, by ordinance adopted in the manner prescribed

346 by general law, and must provide for the periodic adjustment of

347 the income limitation prescribed in this subsection for changes

348 in the cost of living.

349 (e)(1) Each veteran who is age 65 or older who is

350 partially or totally permanently disabled shall receive a

351 discount from the amount of the ad valorem tax otherwise owed on

352 homestead property the veteran owns and resides in if the

353 disability was combat related and the veteran was honorably

354 discharged upon separation from military service. The discount

355 shall be in a percentage equal to the percentage of the

356 veteran's permanent, service-connected disability as determined

357 by the United States Department of Veterans Affairs. To qualify

358 for the discount granted by this paragraph, an applicant must

359 submit to the county property appraiser, by March 1, an official

360 letter from the United States Department of Veterans Affairs

361 stating the percentage of the veteran's service-connected

362 disability and such evidence that reasonably identifies the

363 disability as combat related and a copy of the veteran's

364 honorable discharge. If the property appraiser denies the

365 request for a discount, the appraiser must notify the applicant

366 in writing of the reasons for the denial, and the veteran may

367 reapply. The Legislature may, by general law, waive the annual

368 application requirement in subsequent years.

369 (2) If a veteran who receives the discount described in

370 paragraph (1) predeceases his or her spouse, and if, upon the

371 death of the veteran, the surviving spouse holds the legal or

372 beneficial title to the homestead property and permanently

373 resides thereon, the discount carries over to the surviving

374 spouse until he or she remarries or sells or otherwise disposes

375 of the homestead property. If the surviving spouse sells or

376 otherwise disposes of the property, a discount not to exceed the

377 dollar amount granted from the most recent ad valorem tax roll

378 may be transferred to the surviving spouse's new homestead

379 property, if used as his or her permanent residence and he or

380 she has not remarried.

381 (3) This subsection is self-executing and does not require

382 implementing legislation.

383 (f) By general law and subject to conditions and

384 limitations specified therein, the Legislature may provide ad

385 valorem tax relief equal to the total amount or a portion of the

386 ad valorem tax otherwise owed on homestead property to:

387 (1) The surviving spouse of a veteran who died from

388 service-connected causes while on active duty as a member of the

389 United States Armed Forces.

390 (2) The surviving spouse of a first responder who died in

391 the line of duty.

392 (3) A first responder who is totally and permanently

393 disabled as a result of an injury or injuries sustained in the

394 line of duty. Causal connection between a disability and service

395 in the line of duty shall not be presumed but must be determined

396 as provided by general law. For purposes of this paragraph, the

397 term "disability" does not include a chronic condition or

398 chronic disease, unless the injury sustained in the line of duty

399 was the sole cause of the chronic condition or chronic disease.

401 As used in this subsection and as further defined by general

402 law, the term "first responder" means a law enforcement officer,

403 a correctional officer, a firefighter, an emergency medical

404 technician, or a paramedic, and the term "in the line of duty"

405 means arising out of and in the actual performance of duty

406 required by employment as a first responder.

407 SECTION 9. Local taxes.—

408 (a) ~~Counties, school districts, and~~ Municipalities shall,

409 and special districts may, be authorized by law to levy ad

410 valorem taxes and may be authorized by general law to levy other

411 taxes, for their respective purposes, except ad valorem taxes on

412 intangible personal property and taxes prohibited by this

413 constitution.

414 (b) Ad valorem taxes, exclusive of taxes levied for the

415 payment of bonds and taxes levied for periods not longer than

416 two years when authorized by vote of the electors who are the

417 owners of freeholds therein not wholly exempt from taxation,

418 shall not be levied in excess of the following millages upon the

419 assessed value of real estate and tangible personal property:

420 ~~for all county purposes, ten mills;~~ for all municipal purposes,

421 ten mills; ~~for all school purposes, ten mills;~~ for water

422 management purposes for the northwest portion of the state lying

423 west of the line between ranges two and three east, 0.05 mill;

424 for water management purposes for the remaining portions of the

425 state, 1.0 mill; and for all other special districts a millage

426 authorized by law approved by vote of the electors who are

427 owners of freeholds therein not wholly exempt from taxation. A

428 ~~county furnishing municipal services may, to the extent~~

429 ~~authorized by law, levy additional taxes within the limits fixed~~

430 ~~for municipal purposes.~~

431 BE IT FURTHER RESOLVED that the following statement be

432 placed on the ballot:

433 CONSTITUTIONAL AMENDMENT

434 ARTICLE VII, SECTION 3, 4, 6, AND 9

435 REMOVE AD VALOREM TAXING AUTHORITY OF COUNTIES AND SCHOOL

436 DISTRICTS.—Proposing an amendment to the State Constitution to

437 remove the authority of counties and school districts to levy ad

438 valorem taxes.