HomeMy WebLinkAbout24-007 ORDINANCE NO. 2024-007
AN ORDINANCE CREATING ARTICLE VI OF CHAPTER
42 "TAXATION" OF THE ST. LUCIE COUNTY CODE;
PROVIDING FOR TAX DEFERRAL FOR RECREATIONAL
AND COMMERCIAL WORKING WATERFRONT
PROPERTIES; ALLOWING FOR AD VALOREM TAX
DEFERRALS FOR RECREATIONAL AND COMMERCIAL
WATERFRONT PROPERTIES; PROVIDING FOR
PURPOSE, APPLICABILITY AND DEFINITIONS;
ESTABLISHING GUIDELINES FOR QUALIFICATION;
PROVIDING FOR APPLICATION FOR TAX DEFERRAL,
DENIAL OF TAX DEFERRAL, APPROVED
APPLICATIONS, DEFERRED PAYMENT CERTIFICATES,
TERMINATION OF TAX DEFERRAL, PREPAYMENT OF
DEFERRED TAXES; PROVIDING FOR APPEALS;
PROVIDING PENALTIES FOR WILLFULLY FILING
INCORRECT INFORMATION; PROVIDING FOR
DISTRIBUTION OF PAYMENTS; PROVIDING FOR
CONFLICTING ORDINANCES; PROVIDING FOR
SEVERABILITY; AND PROVIDING AN EFFECTIVE
DATE.
WHEREAS, St. Lucie is empowered pursuant to Section 197.2524, Florida Statutes
(2023),to enact an ordinance to allow for ad valorem tax deferrals for recreational and commercial
working waterfront properties; and
WHEREAS, St. Lucie County has prepared a Business Impact Estimate(BIE)pursuant to
Section 125.66(3)(a), Florida Statutes and has published the BIE information for this proposed
ordinance on its website for public viewing and consideration on January 24, 2024; and
WHEREAS, the Florida Committee on Community Affairs (Committee) in their Report
on Working Waterfronts Number 2005-122 (Report) found that a diversified waterfront industry,
both commercial and recreational, is an important component of the economy in the State of
Florida; and
WHEREAS, the Florida Legislature enacted Section 342.07, Florida Statutes, and
determined that access to recreational and commercial waterfront properties is vital to maintaining
or enhancing the $14 billion economic impact(2004 values) of boating in the state; and
WHEREAS,the Florida Legislature has recognized that a means of ingress and egress to
the navigable waterways of the state is crucial for engaging in commerce and transportation of
goods and people; and
WHEREAS, the Committee found an increase in the purchasing of traditional working
waterfront property and converting them to private and residential use; and
MICHELLE R.MILLER,CLERK OF THE CIRCUIT COURT
SAINT LUCIE COUNTY
FILE# 5307249 03/04/2024 04.28:27 PM 1
OR BOOK 5115 PAGE 195-203 Doc Type:ORDN
RECORDING $78.00
WHEREAS, the Committee found that this conversion of traditional working waterfront
property to private and residential use serves to both reduce the number of traditional working
waterfront properties available for traditional public use as well as increase the value of nearby
working waterfront properties; and
WHEREAS, the Committee found that this increase in property value results in higher
property taxes, causing the working waterfront property to decrease in profitability, increasing
operating costs and increasing the pressure to convert the property to a private or residential use;
and
WHEREAS, the Committee found that the public has lost access to recreational working
waterfronts because of the development for private marina and residential uses; and
WHEREAS,the Committee found that there exist several impediments to developing new
recreational or commercial access to state waterways, including the cost to develop and
government approval of such developments; and
WHEREAS,the Committee found that the loss of commercial and recreational waterfront
properties may have long-term negative effects on both the state and local economies; and
WHEREAS, the Report endorsed a means of alleviating the economic pressure on the
recreational and commercial waterfront properties by creating a"Deferred Property Tax Program".
NOW, THEREFORE, BE IT ENACTED BY THE BOARD OF COUNTY
COMMISSIONERS OF ST. LUCIE COUNTY,FLORIDA AS FOLLOWS:
SECTION 1. CREATING ARTICLE VI OF CHAPTER 42 "TAXATION" OF THE ST.
LUCIE COUNTY CODE
Article VI of Chapter 42 "Taxation"the St. Lucie Code is hereby created as follows:
ARTICLE VI. TAX DEFERRAL FOR RECREATIONAL AND COMMERCIAL
WORKING WATERFRONT PROPERTIES
Sec. 42-220. Purpose.
The purpose of this Article is to implement Sections 197.2524, Florida Statutes (2023) by
allowing ad valorem tax deferrals for recreational and commercial working waterfront properties,
as defined herein, if the owners are engaging in the operation,rehabilitation, or renovation of such
properties in accordance with the guidelines established within this Article.
(1) This Article shall apply only to those properties utilized as a recreational or commercial
working waterfront property, as herein defined.
(2) For mixed use properties, only that portion of the taxable value, subject to approval by
the County, that is directly attributable to the use of the property as a recreational or
commercial working waterfront may qualify for tax deferral.
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(3) For uses that provide both public access to the navigable waters of the state and similar
private access,only that portion of the taxable value, subject to approval by the County,
directly attributable with providing public access may qualify for tax deferral.
(4) This Article shall not apply to any property, or portion of such property, utilized for,
and related to (i.e., parking lots), the purpose of launching, mooring and receiving
gaming vessels.
(5) Any deferral does not apply to taxes or non-ad valorem assessments defined in F.S.
197.3632(1)(d) levied for the payment of bonds or for taxes authorized by a vote of the
electors pursuant to s. 9(b) or Section 12, Article VII of the Florida Constitution.
(6) The deferrals only apply to taxes levied by the County.
Sec. 42-222. Definitions.
The following words,terms,and phrases,when used in this article, shall have the meanings
ascribed to them in this article, except as where the context clearly indicates a different meaning:
Public access means the ability of any member of the public to enter upon or use a water
dependent facility without any restrictions that are not also imposed upon all users of such facility
or the ability of any member of the public to use a water dependent facility on a first come first
serve basis.
Recreational and commercial working waterfront means a parcel or parcels of real property
that provide access for water-dependent commercial activities or provide public access to the
navigable waters of the state. Recreational and commercial working waterfronts require direct
access to or location on, over or adjacent to a navigable body of water. The term includes water-
dependent facilities that are open to the public and offer public access by vessels to the waters of
the state or that are support facilities for recreational, commercial, research or governmental
vessels. These support facilities include docks, wharfs, lifts, wet and dry marinas, boat ramps,
boat hauling and repair facilities, commercial fishing facilities, boat construction facilities, and
other support structures over the water. As used in this section, the term "vessel" has the same
meaning as in Section 327.02, Florida Statutes. Seaports are excluded from the definition.
Sec. 42-223. Tax deferral for recreational and commercial working waterfront properties.
(a) Beginning with the taxes assessed in 2024, any property owner who is engaged in
the operation, rehabilitation, or renovation of a recreational or commercial working waterfront
property, as herein defined, except for those properties located within any community
redevelopment area, may elect to defer payment of fifty (50) percent of ad valorem taxes levied
by the County (except for taxes authorized by a vote of the electors pursuant to s. 9(b) or Section
12, Article VII of the State Constitution) by filing an annual application for tax deferral with the
county tax collector on or before March 31 following the year in which the taxes are assessed. The
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applicant has the burden to affirmatively demonstrate compliance with the requirements for tax
deferral.
(b) All taxes permitted by this article to be deferred shall be deferred for a period of up
to twenty (20)years during which time the use and ownership of the property must remain that of
a recreational and commercial working waterfront when the deferral was granted. However, all
taxes previously deferred shall be deferred for an additional five (5) year period if the property
qualifies for tax deferral in the year previously deferred taxes are due.
(c) All deferrals granted under this article shall remain in effect regardless of any
change in the authority of the county tax collector or the County to grant the deferral.
Sec. 42-224. Application for tax deferral.
14) Application form. A property owner is responsible for submitting an application
for tax deferral with the tax collector on or before March 31 following the year in which taxes and
non-ad valorem assessments are assessed annually, upon a form prescribed by the State of Florida
Department of Revenue ("the department") and furnished by the county tax collector. Each
applicant shall demonstrate compliance with the requirements for tax deferral. The tax collector
may require the applicant to submit other evidence and documentation deemed necessary in
considering the application. The application form must provide notice to the applicant of the
manner in which interest is computed, consistent with the methodology outlined in this article.
Each application form must contain an explanation, consistent with this article, for the conditions
to be met for approval and the conditions under which deferred taxes and interest become due,
payable, and delinquent. Each application must clearly state that all deferrals pursuant to this
article constitute a priority lien on the applicant's property and shall attach as of the date and in
the same manner and be collected as other liens for taxes. The applicant must submit the following
information:
(1) Each application must contain a list of, and the current value of, all
outstanding liens on the applicant's property.
,(2) Each applicant shall furnish proof of fire and extended coverage insurance
in an amount that is in excess of the sum of all outstanding liens including a
lien for deferred taxes and non-ad valorem assessments and interest with a
loss payable clause to the county tax collector.
(3) The tax collector may require the applicant to submit any other evidence and
documentation deemed necessary by the tax collector in considering the
application.
02) Determination of the tax collector. The tax collector shall consider and render his
or her findings, determinations, and decision on each annual application for tax deferral for
recreational and commercial working waterfronts within forty-five (45) days after the date the
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application is filed. The tax collector shall exercise reasonable discretion based upon applicable
information available under this article. The determination and findings of the tax collector are
not quasi-judicial and are subject exclusively to review by the value adjustment board. A tax
collector who finds the applicant is entitled to the tax deferral shall approve the application and
monitor deferral records until the tax lien is satisfied. A tax collector who finds that the applicant
is not entitled to the deferral shall send notice of disapproval within forty-five (45) days after the
date the application is filed, stating reasons for the disapproval to the applicant. The notice shall
be sent by personal delivery or registered mail to the mailing address given by the applicant in the
manner in which the original notice thereof was served upon the applicant and must be filed among
the permanent records of the tax collector's office. The original notice of disapproval sent to the
applicant shall advise the applicant of the right to appeal the decision of the tax collector to the
value adjustment board and inform the applicant of the procedure for filing such an appeal.
(c) Appeal of decision. An appeal of a denied tax deferral must be made by the property
owner. An appeal of the decision of the tax collector to the value adjustment board must be in
writing on a form prescribed by the department and furnished by the tax collector. The appeal
must be filed with the value adjustment board within thirty(30)days after the mailing of the notice
of disapproval. The value adjustment board shall review the application and the evidence
presented to the tax collector upon which the applicant based his or her claim for tax deferral and,
at the election of the applicant, shall hear the applicant in person, or by agent on the applicant's
behalf,on his or her right to the tax deferral. The value adjustment board shall reverse the decision
of the tax collector and grant a tax deferral to the applicant, if in its judgement, the applicant is
entitled to the tax deferral or shall affirm the decision of the tax collector. Action by the value
adjustment board is final unless the applicant or tax collector files a de novo proceeding for a
declaratory judgment or other appropriate proceeding in the circuit court of the county in which
the property is located within fifteen(15) days after the date of the decision.
Sec. 42-225. Denial of tax deferral.
A tax deferral shall not be granted if:
al The total amount of deferred taxes, non-ad valorem assessments, and interest plus
the total amount of all other unsatisfied liens on the property exceeds eighty-five
(85%)percent of the just value of the property; or
(2) The primary financing on the property is for an amount that exceeds seventy(70%)
percent of the just value of the property; or
(3) The applicant fails to provide fire and extended coverage insurance in an amount
that is in excess of the sum of all outstanding liens and deferred taxes and interest
with a loss payable clause to the county tax collector.
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Sec. 42-226.Approved applications.
(a) For approved applications,the date of receipt by the tax collector of the applications
for tax deferral shall be used in calculating taxes due and payable net of discounts for early
payment.
(b) The tax collector shall notify the property appraiser in writing for those parcels for
which taxes have been deferred.
(c) The property appraiser shall promptly notify the tax collector of changes in
ownership or use of property that have been granted a tax deferral.
Sec. 42-227. Deferred payment certificates.
(a) At the time of the tax certificate sale the tax collector shall strike to the County each
certificate or property for which taxes have been deferred. Certificates issued pursuant to this
section are exempt from the public sale of tax certificates.
(b) The certificates so held by the County shall bear interest at a rate equal to the
semiannually compounded rate of one-half of one percent added to the average yield maturity of
the long term fixed income portion of the Florida Retirement Savings investments as of the end of
the quarter preceding the date of the sale of the deferred tax certificate. However,the interest rate
may not exceed seven(7%)percent or as provided by Florida law.
Sec. 42-228. Termination of tax deferral.
If there is a change in use or ownership of the tax-deferred property such that the
owner is no longer eligible for the tax deferral grant, or the owner fails to maintain the required
fire and extended insurance coverage, the total amount of deferred taxes and interest for all years
is due and payable November 1 of the year in which the change in use or ownership occurs or on
the date failure to maintain insurance occurs. Payment is delinquent on April 1 of the year
following the year in which the change in use or ownership or failure to maintain insurance occurs.
However, if the change in ownership is to a surviving spouse and the spouse is eligible to maintain
the tax deferral on such property, the surviving spouse may continue the deferment of previously
deferred taxes and interest pursuant to Florida Law.
(b) Whenever the property appraiser discovers that there has been a change in the use
or ownership of the property that has been granted a tax deferral,the property appraiser shall notify
the tax collector in writing of the date such change occurs, and the tax collector shall collect any
taxes and interest due.
(c) During any year in which the total amount of deferred taxes, interest, assessments,
and all other unsatisfied liens on the property exceeds eighty-five (85%) percent of the just value
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of the property,the tax collector shall notify the owner that the portion of taxes and interest which
exceeds eighty-five (85%) percent of the value of the property is due and payable within thirty
.(30)days after the notice is sent. Failure to pay the amount due causes the total amount of deferred
taxes, interest, and assessments to become payable within 30 days.
(d) If deferred taxes, interest, and assessments become delinquent, the tax collector
shall sell a tax certificate for the delinquent taxes,interest and assessments in the manner provided
by Section 197.432, Florida Statutes.
Sec. 42-229. Prepayment of deferred taxes.
(a) All or part of the deferred taxes and accrued interest may be paid at any time. Any
payment that is less than the total amount due must be equal to the amount of the deferred taxes,
interest, and assessments and the payment must be for 1 or more full years.
Sec. 72-159. Penalties.
(a) The following penalties shall be imposed on any person who willfully files
incorrect information for a tax deferral:
LU The person shall pay the total amount of deferred taxes, non-ad valorem
assessments subject to collection pursuant to the uniform method of collection set
forth in Section 197.3632, Florida Statutes, and interest.
(2) The person shall be disqualified from filing a tax deferral application for the next
three years; and
(3) The person shall pay a penalty of twenty-five (25) percent of the total amount of
deferred taxes, non-ad valorem assessments subject to collection pursuant to the
uniform method of collection set forth in Section 197.3632, Florida Statutes, and
interest.
(b) Any person against whom the penalties prescribed in this section have been
imposed may appeal the penalties imposed to the value adjustment board within thirty (30) days
after the penalties are imposed.
Sec. 72-160. Distribution of payments.
When any deferred taxes, assessments, or interest is collected, the tax collector shall
maintain a record of the payment. The tax collector shall distribute payments received in
accordance with the procedures for distributing ad valorem taxes,non-ad valorem assessments, or
redemption moneys as prescribed in Ch. 197, F.S.
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Sec. 72-161. Construction.
This Article does not prohibit the collection of personal property taxes that become a lien
against tax-deferred property, defer payment of special assessments to benefited property other
than those specifically allowed to be deferred, or affect any provision of any mortgage or other
instrument relating to property requiring a person to pay ad valorem taxes or non-ad valorem
assessments.
SECTION 2. SEVERABILITY
If any section, sentence, clause or phrase of this Ordinance is held to be invalid or
unconstitutional by any court of competent jurisdiction, that holding in no way affects the
remaining portions of this Ordinance.
SECTION 3. CONFLICTING ORDINANCES
All ordinances in conflict herewith are hereby repealed to the extent of such conflict.
SECTION 4. EFFECTIVE DATE.
This ordinance shall take effect upon receipt of notice of filing from the Secretary of
State.
SECTION 5. ADOPTION
After motion and second, the vote of this Ordinance was as follows:
Commissioner Cathy Townsend, Chair Yes
Commissioner Chris Dzadovsky,Vice Chair Yes
Commissioner Linda Bartz Yes
Commissioner Larry Leet Yes
Commissioner Jamie Fowler Yes
PASSED AND DULY ADOPTED this 20th day of February, 2024.
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ATTEST: BOARD OF COUNTY COMMISSIONERS
ST. LUCIE COUNTY,FLORIDA
BY.
DEPUTY CL G 8.S AIR
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PLORIDA DEPARTMENT 0 STATE
r
RON DESANTIS
Governor
March 4, 2024
Michelle R. Miller
Clerk & Comptroller
St. Lucie County
2300 Virginia Ave.
Fort Pierce, FL 34982
Dear Michelle Miller,
CORD BYRD
Secretary of State
Pursuant to the provisions of Section 125.66, Florida Statutes, this will acknowledge receipt of your
electronic copy of the St. Lucie County Ordinance No. 2024-007, which was filed in this office on
March 1, 2024.
Sincerely,
Matthew Hargreaves
Administrative Code and Register Director
MJH/wlh
R. A. Gray Building • 500 South Bronough Street • Tallahassee, Florida 32399-0250
Telephone: (850) 245-6270