Support Amendment 5

Background

The difference between Just/Market Value and Assessed Value represents the Assessment Differential (aka Save Our Homes Benefit) that a homesteaded seller may transfer (port) to their next homesteaded Florida property, commonly referred to as "Portability". Improving market conditions have resulted in a widening gap between Just/Market Value and Assessed Value in Florida's homesteaded properties due to the Save Our Homes cap that limits increases in Assessed Value to 3% or the Consumer Price Index (CPI), whichever is less. This has resulted in homesteaded property owners having sizable Save Our Homes Benefits in many cases.

Current Law

Allows portability of the Save Our Homes Benefit within two calendar (tax) years, not from date of sale. As a result, those selling later in a year are penalized with a shorter qualifying window to transfer their Save Our Homes benefit (can be as little as 1 year and a day).

Why is Current Law Problematic?

The current timeframe for those selling late in a year is often problematic as it does not allow sufficient time for them to reestablish a new homestead within the qualifying window. Here are a few reasons why:

  1. Those who are struggling with a financial situation (divorce, unemployment, COVID-19, etc…). This allows them more time to get back on their feet without placing additional financial constraints upon them.
  2. Those desiring or needing to rent for a short period prior to purchasing their next home.
  3. Those building a home, as design, permitting, and construction all take time and delays are commonplace.
  4. Those buying in new condominiums, as larger projects can take two years just to construct.

How Amendment 5 Helps

Adds an additional year to the qualifying window so that a homesteaded property owner will always have a minimum of 2 years to transfer (port) their Save Our Homes benefit to their next Florida homestead. This aligns with what the voters thought they voted for in 2008, at least two years to transfer. 

Fiscal Impact?

While an annual fiscal impact has been estimated, it is not considered significant on a statewide basis. In addition, it should be noted that any revenue gained by taxing districts from those missing their transfer window are accidental, which results in unbudgeted/unexpected excess revenue to taxing authorities. So, an argument can be made that there isn’t really a fiscal impact if these excess revenues are only received due a property owner making a mistake in misinterpreting the law, which is nearly always the case.

Ballot Title

CONSTITUTIONAL AMENDMENT
ARTICLE VII, SECTION 4
ARTICLE XII

LIMITATIONS ON HOMESTEAD PROPERTY TAX ASSESSMENTS; INCREASED PORTABILITY PERIOD TO TRANSFER ACCRUED BENEFIT.—

Proposing an amendment to the State Constitution, effective January 1, 2021, to increase, from 2 years to 3 years, the period of time during which accrued Save-Our-Homes benefits may be transferred from a prior homestead to a new homestead.

Media Recommendations on Amendments 5 & 6

Tampa Bay Times Editorial Board – 09/30/2020

Sun Sentinel Editorial Board – 09/02/2020

Amendment 5 Legislative Sponsors

Amendment 5 was introduced as House Joint Resolution 369 by Florida Representative Rick Roth on January 14, 2020. Senator Jeff Brandes sponsored the Joint Resolution and implementing bill in the Senate. The state House approved the amendment unanimously with two Democratic representatives not voting on March 9, 2020. The state Senate approved the amendment unanimously on March 11, 2020.

SIGN THE PETITION!

Mike Twitty worked hard to put Amendment 5 on the ballot and help Floridians not lose their Save Our Homes benefit when moving from one homestead to another.
Add your name if you’re supporting this amendment in November!

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