Bill Text: FL S1408 | 2010 | Regular Session | Engrossed

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Bill Title: Working Waterfront Property [WPSC]

Spectrum: Unknown

Status: (Failed) 2010-04-30 - Died in Messages [S1408 Detail]

Download: Florida-2010-S1408-Engrossed.html

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CS for SB 1408                            Second Engrossed (ntc) 
20101408e2 
1                        A bill to be entitled 
2         An act relating to working waterfront property; 
3         creating s. 193.704, F.S.; providing definitions; 
4         specifying properties that are eligible for 
5         classification as working waterfront property; 
6         requiring the assessment of working waterfront 
7         property based on current use; specifying a 
8         methodology for determining assessed value; requiring 
9         property appraisers to consider specified factors in 
10         assessing certain property; providing for assessment 
11         of a portion of property within a working waterfront 
12         property which is not used as working waterfront 
13         property; requiring an application for classification 
14         of property as working waterfront property; specifying 
15         application requirements; authorizing a property 
16         appraiser to approve an application not filed by a 
17         certain deadline due to extenuating circumstances; 
18         providing for waiver of annual application 
19         requirements; providing for loss of classification 
20         upon a change of ownership or use; requiring property 
21         owners to notify the property appraiser of changes in 
22         use or ownership of property; imposing a penalty for 
23         failure to notify the property appraiser of an event 
24         resulting in the unlawful or improper classification 
25         of property as working waterfront property; requiring 
26         imposition of tax liens to recover penalties and 
27         interest; requiring property appraisers to make a list 
28         relating to applications to certify property as 
29         working waterfront property; providing an appeal 
30         process for applications that have been denied; 
31         amending s. 195.073, F.S.; providing for the 
32         classification of land as working waterfront property 
33         on an assessment roll; amending s. 380.5105, F.S.; 
34         providing new program objectives for the Stan Mayfield 
35         Working Waterfronts Program and the Florida Forever 
36         Program which are to be considered in selecting 
37         projects; providing emergency rulemaking authority; 
38         providing for severability; providing for retroactive 
39         application; specifying the date to apply for a 
40         working waterfront classification for 2010; providing 
41         effective dates. 
42 
43  Be It Enacted by the Legislature of the State of Florida: 
44 
45         Section 1. Section 193.704, Florida Statutes, is created to 
46  read: 
47         193.704 Working waterfront property; definitions; 
48  classification and assessment; denial of classification and 
49  appeal.— 
50         (1) DEFINITIONS.—As used in this section, the term: 
51         (a) “Accessible to the public” means routinely available to 
52  the public from sunrise to sunset, with or without charge, and 
53  having appropriate accommodations, including, but not limited 
54  to, public parking or public boat ramps that are available for 
55  use by the general public. 
56         (b) “Commercial fishing facility” means docks, piers, 
57  processing houses, or other facilities that support a commercial 
58  fishing operation or an aquaculture operation certified under 
59  chapter 597. 
60         (c) “Commercial fishing operation” has the same meaning as 
61  that provided in s. 379.2351. 
62         (d) “Drystack” means a licensed commercial vessel storage 
63  facility or building in which storage spaces for vessels are 
64  available for use by the public on a first-come, first-served 
65  basis. The term excludes storage that is purchased, received, or 
66  rented as a result of homeownership or tenancy. 
67         (e) “Land used predominantly for commercial fishing 
68  purposes” means land used in good faith in a for-profit 
69  commercial fishing operation for the taking or harvesting of 
70  freshwater fish or saltwater products, as defined in s. 379.101, 
71  for which a commercial license to take, harvest, or sell such 
72  fish or products is required under chapter 379, or land used in 
73  an aquaculture operation certified under chapter 597. 
74         (f) “Marina” means a licensed commercial facility that 
75  provides secured public docks or moorings or drystacks for 
76  vessels on a first-come, first-served basis. The term excludes 
77  dockage, mooring, or storage that is purchased, received, or 
78  rented as a result of homeownership or tenancy. 
79         (g) “Marine manufacturing facility” means a facility that 
80  manufactures vessels for use in waters that are navigable. 
81         (h) “Marine vessel construction and repair facility” means 
82  a facility that constructs and repairs vessels that travel over 
83  waters that are navigable, including, but not limited to, 
84  shipyards and boatyards. 
85         (i) “Open to the public” means for hire to the general 
86  public and accessible during normal operating hours. 
87         (j) “Repair” includes retrofitting and maintenance of 
88  vessels. 
89         (k) “Right of way” has the same meaning as provided in s. 
90  334.03. 
91         (l) “Support facility” means a facility that typically is 
92  collocated with marine vessel construction and repair 
93  facilities, including, but not limited to, shops, equipment, and 
94  salvage facilities. 
95         (m) “Water-dependent” means that the activities performed 
96  in the facility can be conducted only on, in, over, or adjacent 
97  to waters that are navigable, require direct access to water, 
98  and involve the use of water as an integral part of such 
99  activity. 
100         (n) “Waterfront” means property that is on, over, or 
101  abutting waters that are navigable. Property that is separated 
102  from property abutting waters that are navigable by a right-of 
103  way may be considered waterfront property, if: 
104         1. The properties on both sides of the right-of-way are 
105  under common ownership; 
106         2. The properties on both sides of the right-of-way are 
107  part of the same business enterprise; 
108         3. The property that is separated from the water by the 
109  right-of-way has direct access to the water by crossing the 
110  right-of-way. 
111         (o) “Waters that are navigable” means waters that support 
112  navigation by floating vessels of any description for the 
113  purpose of transportation, recreation, or commerce. 
114         (2) CLASSIFICATION AND ASSESSMENT; LOSS; PENALTY.— 
115         (a) The following waterfront properties are eligible for 
116  classification as working waterfront property: 
117         1. Land used predominantly for commercial fishing purposes. 
118         2. Land that is accessible to the public and used for 
119  vessel launches into waters that are navigable. 
120         3. Marinas and drystacks that are open to the public. 
121         4. Water-dependent marine manufacturing facilities. 
122         5. Water-dependent commercial fishing facilities. 
123         6. Water-dependent marine vessel construction and repair 
124  facilities and their support facilities. 
125         7. Water-dependent facilities located in a county defined 
126  in s. 125.011(1): 
127         a. Used for the commercial transportation of goods and 
128  people to and from foreign ports; or 
129         b. Used to provide towing, storage, and salvage in support 
130  of the facilities described in sub-subparagraph a. 
131         (b) Property classified as working waterfront property 
132  under this section shall be assessed on the basis of current 
133  use. 
134         1. If the income approach to value is appropriate to the 
135  property and if adequate local data on comparable rental rates, 
136  expense rates, and vacancy rates are available to the property 
137  appraiser, the assessed value shall be established using the 
138  income approach to value, using an overall capitalization rate 
139  based upon the debt coverage ratio formula, adjusted for the 
140  effective tax rate. The overall capitalization rate shall be 
141  calculated annually and shall be based on local data. 
142         2. If the conditions required for assessment under 
143  subparagraph 1. are not satisfied, the property appraiser shall 
144  value the property at its present cash value as if it were 
145  required to remain in its current use into the foreseeable 
146  future. 
147         3. In no event may the assessed value of the property 
148  exceed just value. 
149         4. If a parcel contains both uses eligible for assessment 
150  under this section and uses that are not eligible for assessment 
151  under this section, those portions of the property that are not 
152  eligible for assessment under this section must be assessed 
153  separately as otherwise provided by this chapter. 
154         (c)1. Property may not be classified as working waterfront 
155  property unless an application for such classification is filed 
156  with the property appraiser on or before March 1 of each year in 
157  the county in which the property is located. Before approving 
158  such classification, the property appraiser may require the 
159  applicant to establish that the property is actually used as 
160  required under this section. The property appraiser may require 
161  the applicant to furnish the property appraiser such information 
162  as may reasonably be required to establish that such property 
163  was actually used for working waterfront purposes and to 
164  establish the classified use value of the property, including 
165  income and expense data. The owner or lessee of property 
166  classified as working waterfront property in the prior year may 
167  reapply on a short form provided by the department. The lessee 
168  of property may make original application or reapply on a short 
169  form if the lease, or an affidavit executed by the owner, 
170  provides that the lessee is empowered to make application for 
171  the working waterfront classification on behalf of the owner and 
172  a copy of the lease or affidavit accompanies the application. An 
173  applicant may withdraw an application on or before the 25th day 
174  following the mailing of the notice of proposed property taxes 
175  pursuant to s. 200.069 in the year the application was filed. 
176         2. Any property owner or lessee who fails to file an 
177  application for classification as working waterfront property by 
178  March 1 may file an application for classification with the 
179  property appraiser on or before the 25th day following the 
180  mailing of the notice of proposed property taxes pursuant to s. 
181  200.069. Upon review of the application, if the applicant is 
182  qualified to receive the classification and demonstrates 
183  particular extenuating circumstances that warrant the 
184  classification, the property appraiser may grant the 
185  classification. 
186         3. A county, at the request of the property appraiser and 
187  by a majority vote of its governing body, may waive the 
188  requirement that an annual application or short form be filed 
189  with the property appraiser for renewal of the classification of 
190  property within the county as working waterfront property. Such 
191  waiver may be revoked by a majority of the county governing 
192  body. 
193         4. Notwithstanding subparagraph 3., a new application for 
194  classification as working waterfront property must be filed with 
195  the property appraiser whenever any property granted the 
196  classification as working waterfront property is sold or 
197  otherwise disposed of, ownership or the lessee changes in any 
198  manner, the owner or the lessee ceases to use the property as 
199  working waterfront property, or whenever the status of the owner 
200  or the lessee changes so as to change the classified status of 
201  the property. 
202         5. The property appraiser shall remove from the 
203  classification as working waterfront property any property for 
204  which the classified use has been abandoned or discontinued or 
205  the property has been diverted to an unclassified use. Such 
206  removed property shall be assessed at just value as provided in 
207  s. 193.011. 
208         6.a. The owner of any property classified as working 
209  waterfront property who is not required to file an annual 
210  application under this section, and the lessee if the 
211  application was made by the lessee, shall notify the property 
212  appraiser promptly whenever the use of the property or the 
213  status or condition of the owner or lessee changes, so as to 
214  change the classified status of the property. If any such 
215  property owner or lessee fails to notify the property appraiser 
216  and the property appraiser determines that for any year within 
217  the prior 10 years the owner was not entitled to receive such 
218  classification, the owner of the property is subject to taxes 
219  otherwise due and owing as a result of such failure plus 15 
220  percent interest per annum and a penalty of 50 percent of the 
221  additional taxes owed. However, the penalty may be waived if the 
222  owner or lessee can demonstrate that he or she took reasonable 
223  care to notify the property appraiser of the change in use, 
224  status, or condition of the property. 
225         b. The property appraiser making such determination shall 
226  record in the public records of the county in which the working 
227  waterfront property is located a notice of tax lien against any 
228  property owned by the working waterfront property owner. Such 
229  property must be identified in the notice of tax lien. Such 
230  property is subject to the payment of all taxes and penalties. 
231  Such lien, when filed, attaches to any property identified in 
232  the notice of tax lien owned by the person or entity that 
233  illegally or improperly received the classification. If such 
234  person or entity no longer owns property in that county but owns 
235  property in another county or counties in the state, the 
236  property appraiser shall record in such other county or counties 
237  a notice of tax lien identifying the property owned by the 
238  working waterfront property owner in such county or counties, 
239  which shall become a lien against the identified property. 
240         7. The property appraiser shall have available at his or 
241  her office a list by ownership of all applications received for 
242  classification of property as working waterfront property, 
243  showing the acreage, the just value under s. 193.011, the value 
244  of the property under the provisions of this subsection, and 
245  whether the classification was granted. 
246         (3) DENIAL OF CLASSIFICATION; APPEAL.— 
247         (a) If an application for working waterfront classification 
248  is made by March 1, the property appraiser shall notify the 
249  applicant in writing of a denial of the application on or before 
250  July 1 of the year for which the application was filed. The 
251  notification shall advise the applicant of his or her right to 
252  appeal to the value adjustment board and of the appeal filing 
253  deadline. 
254         (b) Any applicant whose application for classification as 
255  working waterfront property is denied by the property appraiser 
256  may appeal to the value adjustment board by filing a petition 
257  requesting that the classification be granted. The petition may 
258  be filed on or before the 25th day following the mailing of the 
259  assessment notice by the property appraiser as required under s. 
260  194.011(1). Notwithstanding the provisions of s. 194.013, the 
261  petitioner shall pay a nonrefundable fee of $15 upon filing the 
262  petition. Upon the value adjustment board’s review of the 
263  petition, if the petitioner is qualified to receive the 
264  classification, the value adjustment board may grant the 
265  petition and classification. 
266         (c) A denial of a petition for classification by the value 
267  adjustment board may be appealed to a court of competent 
268  jurisdiction. 
269         (d)1. Property that has received a working waterfront 
270  classification from the value adjustment board or a court of 
271  competent jurisdiction under this subsection is entitled to 
272  receive such classification in any subsequent year until such 
273  use is changed, abandoned, or discontinued or the ownership 
274  changes in any manner as provided in subparagraph (2)(c)4. The 
275  property appraiser shall, no later than January 31 of each year, 
276  provide notice to the property owner or lessee receiving a 
277  classification under this subsection requiring the property 
278  owner or a lessee qualified to make application to certify that 
279  the ownership and the use of the property has not changed. The 
280  department shall prescribe by rule the form of the notice to be 
281  used by the property appraiser. 
282         2. If a county has waived the requirement that an annual 
283  application or short form be filed for classification of the 
284  property under subsection (2), the county may, by majority vote 
285  of its governing body, waive the notice and certification 
286  requirements of this paragraph and shall provide the property 
287  owner or lessee with the same notification as provided to 
288  property owners granted a working waterfront classification by 
289  the property appraiser. Such waiver may be revoked by a majority 
290  vote of the county governing body. 
291         Section 2. Subsection (1) of section 195.073, Florida 
292  Statutes, is amended to read: 
293         195.073 Classification of property.—All items required by 
294  law to be on the assessment rolls must receive a classification 
295  based upon the use of the property. The department shall 
296  promulgate uniform definitions for all classifications. The 
297  department may designate other subclassifications of property. 
298  No assessment roll may be approved by the department which does 
299  not show proper classifications. 
300         (1) Real property must be classified according to the 
301  assessment basis of the land into the following classes: 
302         (a) Residential, subclassified into categories, one 
303  category for homestead property and one for nonhomestead 
304  property: 
305         1. Single family. 
306         2. Mobile homes. 
307         3. Multifamily. 
308         4. Condominiums. 
309         5. Cooperatives. 
310         6. Retirement homes. 
311         (b) Commercial and industrial. 
312         (c) Agricultural. 
313         (d) Nonagricultural acreage. 
314         (e) High-water recharge. 
315         (f) Historic property used for commercial or certain 
316  nonprofit purposes. 
317         (g) Exempt, wholly or partially. 
318         (h) Centrally assessed. 
319         (i) Leasehold interests. 
320         (j) Time-share property. 
321         (k) Land assessed under s. 193.501. 
322         (l) Working waterfront property. 
323         (m)(l) Other. 
324         Section 3. Effective July 1, 2010, subsection (2) of 
325  section 380.5105, Florida Statutes, is amended to read: 
326         380.5105 The Stan Mayfield Working Waterfronts; Florida 
327  Forever program.— 
328         (2) The trust and the Department of Agriculture and 
329  Consumer Services shall jointly develop rules specifically 
330  establishing an application process and a process for the 
331  evaluation, scoring and ranking of working waterfront 
332  acquisition projects. The proposed rules jointly developed 
333  pursuant to this subsection shall be adopted promulgated by the 
334  trust. Such rules shall ensure that the following general 
335  program objectives are considered in selecting establish a 
336  system of weighted criteria to give increased priority to 
337  projects: 
338         (a) That projects demonstrate a strong contribution to the 
339  preservation of this state’s commercial fishing, marine, or 
340  aquaculture industries. Within a municipality with a population 
341  less than 30,000; 
342         (b) That projects are located in areas being converted or 
343  threatened with conversion to uses that are incompatible with 
344  working waterfront uses or are not marine or fishing uses. 
345  Within a municipality or area under intense growth and 
346  development pressures, as evidenced by a number of factors, 
347  including a determination that the municipality’s growth rate 
348  exceeds the average growth rate for the state; 
349         (c) That projects provide a demonstrable benefit to the 
350  local or state economy leading to employment opportunities in 
351  commercial fishing, marine, aquaculture, and related industries. 
352  Within the boundary of a community redevelopment agency 
353  established pursuant to s. 163.356; 
354         (d) That projects have been used for commercial fishing, 
355  marine, or aquaculture purposes or would create an opportunity 
356  to be used for commercial fishing, marine, or aquaculture 
357  purposes. Adjacent to state-owned submerged lands designated as 
358  an aquatic preserve identified in s. 258.39; or 
359         (e) That provide a demonstrable benefit to the local 
360  economy. 
361         Section 4. The Department of Revenue may adopt emergency 
362  rules to administer s. 193.704, Florida Statutes, as created by 
363  this act. The emergency rules shall remain in effect for 6 
364  months after adoption and may be renewed during the pendency of 
365  procedures to adopt rules addressing the subject of the 
366  emergency rules. 
367         Section 5. If any provision of this act or the application 
368  thereof to any person or circumstance is held invalid, the 
369  invalidity does not affect other provisions or applications of 
370  the act which can be given effect without the invalid provision 
371  or application, and to this end the provisions of this act are 
372  severable. 
373         Section 6. Except as otherwise expressly provided in this 
374  act, this act shall take effect upon becoming a law, and applies 
375  retroactively to January 1, 2010. For the 2010 calendar year, an 
376  application for classification of property as working waterfront 
377  must be filed on or before July 1, rather than on or before 
378  March 1.