Bill Text: FL H0073 | 2010 | Regular Session | Introduced

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Bill Title: Working Waterfront Property

Spectrum: Bipartisan Bill

Status: (Failed) 2010-04-30 - Died in Finance & Tax Council [H0073 Detail]

Download: Florida-2010-H0073-Introduced.html

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HB 73

1	A bill to be entitled
2	An act relating to working waterfront property; creating
3	s. 193.704, F.S.; providing definitions; specifying
4	properties that are eligible for classification as working
5	waterfront property; requiring the assessment of working
6	waterfront property based on current use; specifying a
7	methodology for determining assessed value; requiring
8	property appraisers to consider specified factors in
9	assessing certain property; requiring an application for
10	classification of property as working waterfront property;
11	specifying application requirements; authorizing a
12	property appraiser to approve an application not filed by
13	a certain deadline due to extenuating circumstances;
14	providing for waiver of annual application requirements;
15	providing for loss of classification upon a change of
16	ownership or use; requiring property owners to notify the
17	property appraiser of changes in use or ownership of
18	property; imposing a penalty for failure to notify the
19	property appraiser of an event resulting in the unlawful
20	or improper classification of property as working
21	waterfront property; requiring imposition of tax liens to
22	recover penalties and interest; providing for assessment
23	of a portion of property within a working waterfront
24	property that is not used as working waterfront property;
25	requiring property appraisers to make a list relating to
26	applications to certify property as working waterfront
27	property; providing an appeal process for applications
28	that have been denied; amending s. 195.073, F.S.;
29	providing for the classification of land as working
30	waterfront property on an assessment roll; providing an
31	effective date.
32
33	Be It Enacted by the Legislature of the State of Florida:
34
35	Section 1. Section 193.704, Florida Statutes, is created
36	to read:
37	193.704 Working waterfront property; definitions;
38	classification and assessment; denial of classification and
39	appeal.--
40	(1) DEFINITIONS.--For purposes of granting a working
41	waterfront property classification under this section for
42	January 1, 2011, and thereafter, the term:
43	(a) "Accessible to the public" means routinely available
44	to the public from sunrise to sunset, with or without charge,
45	with appropriate accommodations, including, but not limited to,
46	public parking or public boat ramps that are available for use
47	by the general public.
48	(b) "Commercial fishing facility" means docks, piers,
49	processing houses, or other facilities which support a
50	commercial fishing operation as defined in paragraph (c), or an
51	aquaculture operation licensed under chapter 253.
52	(c) "Commercial fishing operation" has the same meaning as
53	that provided in s. 379.2351.
54	(d) "Drystack" means a vessel storage facility or building
55	in which storage spaces for vessels are available for use by the
56	public on a first-come, first-served basis with no automatic
57	renewal rights or conditions. The term excludes storage that is
58	purchased, received, or rented as a result of homeownership or
59	tenancy.
60	(e) "Land used predominantly for commercial fishing
61	purposes" means land used in good faith in a venture for-profit
62	commercial fishing operation for the taking or harvesting of
63	freshwater fish or saltwater products, as defined in s. 379.101,
64	for which a commercial license to take, harvest, or sell such
65	fish or products is required under chapter 379, or land used in
66	an aquaculture operation authorized under ss. 253.67-253.75.
67	(f) "Marina" means a licensed commercial facility that
68	provides secured public moorings or drystacks for vessels on a
69	first-come, first-served basis and with no automatic renewal
70	rights or conditions. The term excludes mooring or storage that
71	is purchased, received, or rented as a result of homeownership
72	or tenancy.
73	(g) "Marine manufacturing facility" means a facility that
74	manufactures vessels for use in waters that are navigable.
75	(h) "Marine vessel construction and repair facility" means
76	a facility that constructs and repairs vessels that travel over
77	waters that are navigable, including, but not limited to,
78	shipyards and boatyards.
79	(i) "Open to the public" means for hire to the general
80	public and accessible during normal operating hours.
81	(j) "Repair" includes retrofitting and maintenance of
82	vessels.
83	(k) "Support facility" means a facility that typically is
84	colocated with marine vessel construction and repair facilities,
85	including, but not limited to, shops, equipment, and salvage
86	facilities.
87	(l) "Water-dependent" means that the operations of a
88	facility require direct access to water.
89	(m) "Waterfront" means property that is on, over, or
90	abutting waters that are navigable.
91	(n) "Waters that are navigable" means any body of water
92	that is subject to the ebb and flow of the tide, connects with
93	continuous interstate waterway, has navigable capacity, and is
94	actually navigable.
95	(2) CLASSIFICATION AND ASSESSMENT; LOSS; PENALTY.--
96	(a) The following waterfront properties are eligible for
97	classification as working waterfront property:
98	1. Land used predominantly for commercial fishing
99	purposes.
100	2. Land that is accessible to the public and used for
101	vessel launches into waters that are navigable.
102	3. Marinas and drystacks that are open to the public.
103	4. Water-dependent marine manufacturing facilities.
104	5. Water-dependent commercial fishing facilities.
105	6. Water-dependent marine vessel construction and repair
106	facilities and their support facilities.
107	(b) Property classified as working waterfront property
108	under this section shall be assessed on the basis of current
109	use.
110	1. If appropriate to the property, the assessed value
111	shall be calculated using the income approach to value, and
112	using a capitalization rate based upon the debt coverage ratio
113	formula. The capitalization rate shall be calculated and updated
114	annually. The capitalization rate shall be based on data that is
115	county specific unless insufficient data is available, in which
116	case the property appraisers shall use data from counties with
117	similar conditions and characteristics, or data provided by the
118	department. The condition and size of the property shall also be
119	taken into account when assessing the property.
120	2. In assessing property for which the methodology in
121	subparagraph 1. is not appropriate, the property appraiser shall
122	consider only the following factors:
123	a. The condition of the property.
124	b. The present market value of the property in its current
125	use.
126	c. The income produced by the property.
127	3. In no event may the assessed value of the property
128	exceed just value.
129	(c)1. Property may not be classified as working waterfront
130	property unless an application for such classification is filed
131	with the property appraiser on or before March 1 of each year in
132	the county in which the property is located. Before approving
133	such classification, the property appraiser may require the
134	applicant to establish that the property is actually used as
135	required under this section. The property appraiser may require
136	the applicant to furnish the property appraiser such information
137	as may reasonably be required to establish that such property
138	was actually used for working waterfront purposes, and to
139	establish the classified use value of the property, including
140	income and expense data. The owner or lessee of property
141	classified as working waterfront property in the prior year may
142	reapply on a short form provided by the department. The lessee
143	of property may make original application or reapply on a short
144	form if the lease, or an affidavit executed by the owner,
145	provides that the lessee is empowered to make application for
146	the working waterfront classification on behalf of the owner and
147	a copy of the lease or affidavit accompanies the application. An
148	applicant may withdraw an application on or before the 25th day
149	following the mailing of the notice of proposed property taxes
150	pursuant to s. 200.069 in the year the application was filed.
151	2. Any property owner or lessee who fails to file an
152	application for classification as working waterfront property by
153	March 1 may file an application for classification with the
154	property appraiser on or before the 25th day following the
155	mailing of the notice of proposed property taxes pursuant to s.
156	200.069. Upon review of the application, if the applicant is
157	qualified to receive the classification and demonstrates
158	particular extenuating circumstances that warrant the
159	classification, the property appraiser may grant the
160	classification.
161	3. A county, at the request of the property appraiser and
162	by a majority vote of its governing body, may waive the
163	requirement that an annual application or short form be filed
164	with the property appraiser for renewal of the classification of
165	property within the county as working waterfront property. Such
166	waiver may be revoked by a majority of the county governing
167	body.
168	4. Notwithstanding subparagraph 2., a new application for
169	classification as working waterfront property must be filed with
170	the property appraiser whenever any property granted the
171	classification as working waterfront property is sold or
172	otherwise disposed of, whenever ownership or the lessee changes
173	in any manner, whenever the owner or the lessee ceases to use
174	the property as working waterfront property, or whenever the
175	status of the owner or the lessee changes so as to change the
176	classified status of the property.
177	5. The property appraiser shall remove from the
178	classification as working waterfront property any property for
179	which the classified use has been abandoned or discontinued, or
180	the property has been diverted to an unclassified use. Such
181	removed property shall be assessed at just value as provided in
182	s. 193.011.
183	6.a. The owner of any property classified as working
184	waterfront property who is not required to file an annual
185	application under this section, and the lessee if the
186	application was made by the lessee, shall notify the property
187	appraiser promptly whenever the use of the property or the
188	status or condition of the owner or lessee changes, so as to
189	change the classified status of the property. If any such
190	property owner or lessee fails to notify the property appraiser
191	and the property appraiser determines that for any year within
192	the prior 10 years the owner was not entitled to receive such
193	classification, the owner of the property is subject to taxes
194	otherwise due and owing as a result of such failure plus 15
195	percent interest per annum and a penalty of 50 percent of the
196	additional taxes owed. However, the penalty may be waived if the
197	owner or lessee can demonstrate that he or she took reasonable
198	care to notify the property appraiser of the change in use,
199	status, or condition of the property.
200	b. The property appraiser making such determination shall
201	record in the public records of the county in which the working
202	waterfront property is located a notice of tax lien against any
203	property owned by the working waterfront property owner, and
204	such property must be identified in the notice of tax lien. Such
205	property is subject to the payment of all taxes and penalties.
206	Such lien, when filed, attaches to any property identified in
207	the notice of tax lien owned by the person or entity that
208	illegally or improperly received the classification. If such
209	person or entity no longer owns property in that county but owns
210	property in another county or counties in the state, the
211	property appraiser shall record in such other county or counties
212	a notice of tax lien identifying the property owned by the
213	working waterfront property owner in such county or counties
214	which shall become a lien against the identified property.
215	7. When a parcel receiving a working waterfront
216	classification contains facilities or vacant land not eligible
217	to be classified as working waterfront property under this
218	subsection, the facilities and their curtilage, as well as the
219	vacant land, must be assessed separately as provided in s.
220	193.011.
221	8. The property appraiser shall have available at his or
222	her office a list by ownership of all applications for
223	classification as working waterfront property received, showing
224	the acreage, the full valuation under s. 193.011, the value of
225	the land under the provisions of this subsection, and whether or
226	not the classification was granted.
227	(3) DENIAL OF CLASSIFICATION; APPEAL.--
228	(a) The property appraiser shall notify an applicant for a
229	working waterfront classification in writing of a denial of an
230	application for such classification on or before July 1 of the
231	year for which the application was filed. The notification shall
232	advise the applicant of his or her right to appeal to the value
233	adjustment board and of the appeal filing deadline.
234	(b) Any applicant whose application for classification as
235	working waterfront property is denied by the property appraiser
236	may appeal to the value adjustment board by filing a petition
237	requesting that the classification be granted. The petition may
238	be filed on or before the 25th day following the mailing of the
239	assessment notice by the property appraiser as required under s.
240	194.011(1). Notwithstanding the provisions of s. 194.013, the
241	petitioner shall pay a nonrefundable fee of $15 upon filing the
242	petition. Upon the value adjustment board's review of the
243	petition, if the petitioner is qualified to receive the
244	classification and demonstrates particular extenuating
245	circumstances which warrant granting the classification, the
246	value adjustment board may grant the petition and
247	classification.
248	(c) A denial of a petition for classification by the value
249	adjustment board may be appealed to a court of competent
250	jurisdiction.
251	(d)1. Property that has received a working waterfront
252	classification from the value adjustment board or a court of
253	competent jurisdiction under this subsection is entitled to
254	receive such classification in any subsequent year until such
255	use is changed, abandoned, or discontinued or the ownership
256	changes in any manner as provided in subparagraph (2)(c)4. The
257	property appraiser shall, no later than January 31 of each year,
258	provide notice to the property owner or lessee receiving a
259	classification under this subsection requiring the property
260	owner or a lessee qualified to make application to certify that
261	the ownership and the use of the property has not changed. The
262	department shall prescribe by rule the form of the notice to be
263	used by the property appraiser.
264	2. If a county has waived the requirement that an annual
265	application or short form be filed for classification of the
266	property under subsection (2), the county may, by majority vote
267	of its governing body, waive the notice and certification
268	requirements of this paragraph and shall provide the property
269	owner or lessee with the same notification as provided to
270	property owners granted a working waterfront classification by
271	the property appraiser. Such waiver may be revoked by a majority
272	vote of the county governing body.
273	Section 2. Subsection (1) of section 195.073, Florida
274	Statutes, is amended to read:
275	195.073 Classification of property.--All items required by
276	law to be on the assessment rolls must receive a classification
277	based upon the use of the property. The department shall
278	promulgate uniform definitions for all classifications. The
279	department may designate other subclassifications of property.
280	No assessment roll may be approved by the department which does
281	not show proper classifications.
282	(1) Real property must be classified according to the
283	assessment basis of the land into the following classes:
284	(a) Residential, subclassified into categories, one
285	category for homestead property and one for nonhomestead
286	property:
287	1. Single family.
288	2. Mobile homes.
289	3. Multifamily.
290	4. Condominiums.
291	5. Cooperatives.
292	6. Retirement homes.
293	(b) Commercial and industrial.
294	(c) Agricultural.
295	(d) Nonagricultural acreage.
296	(e) High-water recharge.
297	(f) Historic property used for commercial or certain
298	nonprofit purposes.
299	(g) Exempt, wholly or partially.
300	(h) Centrally assessed.
301	(i) Leasehold interests.
302	(j) Time-share property.
303	(k) Land assessed under s. 193.501.
304	(l) Working waterfront property.
305	(m)(l) Other.
306	Section 3. This act shall take effect July 1, 2010.

CODING: Words stricken are deletions; words underlined are additions.