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HomeMy WebLinkAbout2024 12 09 Public Hearing 402 - Resolution 2024-42 Opting Out of Providing the Missing Middle Property Tax Exemption per the Live Local ActPUBLIC HEARINGS AGENDA ITEM 402 CITY COMMISSION AGENDA | DECEMBER 9, 2024 REGULAR MEETING TITLE Resolution No. 2024-42, Opting-out of Providing the Missing Middle Property Tax Exemption per the Live Local Act. SUMMARY Earlier this year, during the 2024 Legislative Session, the Florida Legislature passed House Bill No. 7073. Governor Ron DeSantis signed it into law on May 7, 2024. This legislation, codified as Chapter 2024-158 of Florida Law, amends Section 196.1978 of the Florida Statutes to establish the “Live Local Act Property Tax Exemption.” The amendment requires that rental properties meeting specific criteria are eligible for an ad valorem tax exemption if they serve households with an annual income between 80 and 120 percent of the median annual adjusted gross income for the Orlando- Kissimmee Metropolitan Statistical Area (MSA), which includes the City of Winter Springs. According to Section 16 of Chapter 2024-158, a taxing authority such as the City of Winter Springs may opt out of providing this exemption if it can be demonstrated that the number of affordable and available rental units in the MSA exceeds the number of renter households within the income brackets specified. A notice for Resolution 2024-42 was published in the Orlando Sentinel on Friday, November 29, 2024, in accordance with Section 50.011(1), Florida Statutes. Further, a copy of the adopted Resolution shall be provided to the Seminole County Property Appraiser before January 1, 2025. The City of Winter Springs must decide whether to opt out of the tax exemption based on the findings of the Shimberg Center for Housing Studies Annual Report. The report indicates a surplus of affordable and available rental units within the MSA that falls within the 0 to 120 percent AMI category. With this surplus in mind, the City Commission, through a super-majority vote, has the authority to decide whether to continue providing the tax exemption to any future Live-Local rental apartment projects. A decision to opt-out of the tax-exemption would require the Seminole County Property Appraiser to withhold the exemption for properties that would otherwise qualify for a tax-exemption under the new legislation. The information provided in the Shimberg Annual Report indicates that there is a surplus of affordable and available units in the Orlando-Kissimmee MSA. As such, it is recommended that the City Commission adopt the proposed resolution to opt out of providing a ad valorem tax exemption for any eligible rental properties that satisfy the 80 to 120 percent AMI tax exemption as the City cannot financially support the loss of ad valorem taxes if such projects are developed within the City. FUNDING SOURCE 207 RECOMMENDATION It is recommended that City Commission read Resolution No. 2024-42 by title only, conduct a public hearing and adopt Resolution No. 2024-42. 208 City of Winter Springs Resolution 2024-42 Page 1 of 5 RESOLUTION 2024-42 A RESOLUTION OF THE CITY OF WINTER SPRINGS, FLORIDA, ELECTING TO NOT EXEMPT CERTAIN PROPERTY FROM AD VALOREM TAXATION, AS ALLOWED UNDER SECTION 196.1978(3)(o), FLORIDA STATUTES, PROVIDING FOR CONFLICTS, SEVERABILITY, AND AN EFFECTIVE DATE. WHEREAS, Section 196.1978(3), Florida Statutes, contains the “Live Local Act Property Tax Exemption,” which requires the Seminole County property appraiser to exempt rental properties from ad valorem taxation if the properties meet certain requirements under the Live Local Act, and WHEREAS, the Florida Legislature passed HB 7073, amending Fla. Stat. 196.1978 during the 2024 legislative session and, on May 7, 2024, Governor Ron DeSantis signed HB 7073, which became Chapter 2024-158, Laws of Florida; and WHEREAS, Section 196.1978(3)(d)1.a., Florida Statutes, provides an ad valorem tax exemption of seventy-five percent of the assessed value of the units in qualified multifamily projects that are used to provide affordable housing to house natural persons or families whose annual household income is between 80 and 120 percent of the median annual adjusted gross income for households within the metropolitan statistical area, which is the Orlando-Kissimmee, Florida Metropolitan Statistical Area (MSA) including the City of Winter Springs (the “80 to 120 Percent Tax Exemption”); and WHEREAS, Section 196.1978(3)(o), Florida Statutes, provides that a taxing authority (including the City) starting with the 2025 tax roll, is authorized to opt out of providing the 80 to 120 Percent Tax Exemption under sub-subparagraph (d)1.a. of Section 196.1978(3), Fla. Stat., if the City Commission, by a two-thirds majority vote, finds that the latest Shimberg Center for Housing Studies Annual Report identifies that in this MSA, the number of affordable and available units is greater than the number of renter households in the MSA in the 0 to 120 percent area median annual adjusted gross income (AMI) category; and WHEREAS, the relevant excerpt of the latest Shimberg Annual Report is provided as an attachment to this Resolution and is hereby incorporated by reference; and WHEREAS, the City Commission of the City of Winter Springs hereby finds that the latest Shimberg Annual Report identifies a surplus of affordable and available units in the Orlando- 209 City of Winter Springs Resolution 2024-42 Page 2 of 5 Kissimmee, Florida MSA, which includes the City, for those households that meet the income criteria for the 0 to 120 percent AMI tax exemption; and WHEREAS, this Resolution was duly advertised in accordance with Section 50.011(1), Florida Statutes; and WHEREAS, the City Commission of the City of Winter Springs hereby finds that the City is a taxing authority that is eligible to adopt a resolution to not exempt properties that would otherwise be eligible for the Live Local Property Tax Exemption with a two-thirds vote. NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF WINTER SPRINGS, FLORIDA, AS FOLLOWS: SECTION 1. The foregoing recitals are true and correct and are incorporated in this Resolution by reference. SECTION 2. The City Commission finds that the City is within the Orlando-Kissimmee, Florida MSA, and that, based on the Shimberg Annual Report, the number of affordable and available units in the MSA is greater than the number of rental households in the MSA for the category entitled “0-120 percent AMI.” SECTION 3. Pursuant to Section 196.1978(3)(o), Florida Statutes, the City hereby elects not to exempt properties eligible for the 80 to 120 Percent Tax Exemption otherwise allowed under Section 196.1978(3)(d)1.a., Florida Statutes, and directs the Seminole County Property Appraiser not to grant any such exemptions, due to the surplus of affordable and available units in this MSA. SECTION 4. This Resolution applies to the ad valorem property tax levies imposed by the City only. SECTION 5. This Resolution has been duly advertised in accordance with Section 50.011(1), Florida Statutes. A copy of the adopted Resolution shall be provided to the Seminole County Property Appraiser prior to January 1, 2025. SECTION 6. This Resolution does not impact a property owner of a multifamily project who was granted an exemption pursuant to Section 196.1978(3)(d)1.a., Florida Statutes, prior to the adoption of this Resolution. Such property owner may continue to receive the exemption for each subsequent consecutive year that the property owner applies for and is granted the exemption. 210 City of Winter Springs Resolution 2024-42 Page 3 of 5 SECTION 7. Conflicts. All Resolutions or parts of Resolutions in conflict with any of the provisions of this Resolution are hereby repealed. SECTION 8. Severability. If any Section or portion of a Section of this Resolution proves to be invalid, unlawful, or unconstitutional, it shall not be held to invalidate or impair the validity, force, or effect of any other Section or part of this Resolution. SECTION 9. Effective Date. This Resolution shall take effect on January 1, 2025, and shall expire on January 1, 2027. This Resolution may be renewed prior to its expiration date in accordance with Florida law. ADOPTED by the City Commission of the City of Winter Springs, Florida, in a regular meeting assembled this ______ day of ______________, 2024. ATTEST: ________________________________ _____________________________ Christian Gowan Kevin McCann City Clerk Mayor 211 City of Winter Springs Resolution 2024-42 Page 4 of 5 ATTACHMENT 1 Excerpt of Shimberg Center for Housing Studies, 2023 Annual Report, available at: http://www.shimberg.ufl.edu/publications/Shimberg_annual_report_Dec_2023.pdf APPENDIX 4. SURPLUS/DEFICIT OF AFFORDABLE AND AVAILABLE RENTAL HOUSING UNITS BY INCOME (% AMI), FLORIDA REGIONS, 2022 Region Counties Affordable/Available Units Minus Renter Households 0-30% AMI 0-40% AMI 0-50% AMI 0-60% AMI 0-80% AMI 0-120% AMI Cape Coral- Fort Myers, FL MSA Lee -12,127 -13,378 -18,568 -17,272 -12,349 -1,135 Deltona- Daytona Beach- Ormond Beach, FL MSA & Palm Coast, FL MSA Flagler, Volusia -10,014 -12,451 -15,516 -15,234 -9,359 -357 Fort Walton Beach- Crestview- Destin, FL MSA Okaloosa -1,883 -2,668 -3,766 -2,908 -2,236 1,338 Ft. Lauderdale Broward -38,051 -54,391 -70,488 -83,786 -84,246 -33,237 Gainesville, FL MSA (minus Gilchrist) Alachua -4,632 -6,362 -6,030 -3,822 2,323 3,351 Homosassa Springs, FL MSA Citrus -2,043 -2,341 -2,636 -2,663 -893 -620 Jacksonville, FL MSA plus Putnam Baker, Clay, Duval, Nassau, Putnam, St. Johns -33,046 -38,430 -42,592 -33,940 -20,099 4,418 Lakeland, FL MSA Polk -12,578 -17,497 -20,489 -18,582 -13,186 248 Miami-Dade Plus Monroe Miami-Dade, Monroe -62,467 -93,480 -108,871 -130,410 -134,458 -61,721 Naples-Marco Island, FL MSA Collier -4,858 -7,220 -10,087 -9,861 -7,936 -1,247 Northeast Nonmetropolit an Area (plus Gilchrist) Bradford, Columbia, Dixie, Gilchrist, Hamilton, Lafayette, Levy, Madison, Suwannee, Taylor, Union -3,311 -3,468 -4,482 -2,139 -51 865 Northwest Nonmetropolit an Area (plus Calhoun, Franklin, Gadsden, -4,521 -5,296 -4,372 -3,242 -1,003 36 212 City of Winter Springs Resolution 2024-42 Page 5 of 5 Gadsden, Jefferson, & Wakulla) Gulf, Holmes, Jackson, Jefferson, Liberty, Wakulla, Walton, Washington Ocala, FL MSA Marion -6,173 -5,378 -6,830 -5,029 -1,586 3,216 Orlando- Kissimmee, FL MSA Lake, Orange, Osceola, Seminole -51,154 -70,138 -89,107 -94,715 -77,753 799 Palm Bay- Melbourne- Titusville, FL MSA Brevard -8,504 -11,491 -9,241 -6,901 -691 6,565 Panama City- Lynn Haven, FL MSA Bay -3,086 -3,254 -4,840 -4,839 -3,626 1,151 Pensacola- Ferry Pass- Brent, FL MSA Escambia, Santa Rosa -9,841 -11,125 -12,909 -9,855 -3,894 -612 Port St. Lucie, FL MSA Martin, St. Lucie -7,410 -8,979 -9,712 -8,956 -6,229 683 Punta Gorda, FL MSA Charlotte -62 -1,173 -2,475 -2,659 -1,904 -579 Sarasota- Bradenton- Venice, FL MSA Manatee, Sarasota -11,394 -16,597 -19,873 -17,238 -10,255 3,057 Sebastion- Vero Beach, FL MSA Indian River, Okeechobee -1,769 -1,923 -2,402 -2,499 -1,303 10 213 The 2024 Florida Statutes Title XIV TAXATION AND FINANCE Chapter 196 EXEMPTION View Entire Chapter 196.1978 Affordable housing property exemption.— 1(1)(a) Property used to provide affordable housing to eligible persons as defined by s. 159.603 and natural persons or families meeting the extremely-low-income, very-low-income, low-income, or moderate-income limits specified in s. 420.0004, which is owned entirely by a nonprofit entity that is a corporation not for profit, qualified as charitable under s. 501(c)(3) of the Internal Revenue Code and in compliance with Rev. Proc. 96-32, 1996-1 C.B. 717, is considered property owned by an exempt entity and used for a charitable purpose, and those portions of the affordable housing property that provide housing to natural persons or families classified as extremely low income, very low income, low income, or moderate income under s. 420.0004 are exempt from ad valorem taxation to the extent authorized under s. 196.196. All property identified in this subsection must comply with the criteria provided under s. 196.195 for determining exempt status and applied by property appraisers on an annual basis. The Legislature intends that any property owned by a limited liability company which is disregarded as an entity for federal income tax purposes pursuant to Treasury Regulation 301.7701-3(b)(1)(ii) be treated as owned by its sole member. If the sole member of the limited liability company that owns the property is also a limited liability company that is disregarded as an entity for federal income tax purposes pursuant to Treasury Regulation 301.7701-3(b)(1)(ii), the Legislature intends that the property be treated as owned by the sole member of the limited liability company that owns the limited liability company that owns the property. Units that are vacant and units that are occupied by natural persons or families whose income no longer meets the income limits of this subsection, but whose income met those income limits at the time they became tenants, shall be treated as portions of the affordable housing property exempt under this subsection if a recorded land use restriction agreement in favor of the Florida Housing Finance Corporation or any other governmental or quasi-governmental jurisdiction requires that all residential units within the property be used in a manner that qualifies for the exemption under this subsection and if the units are being offered for rent. (b) Land that is owned entirely by a nonprofit entity that is a corporation not for profit, qualified as charitable under s. 501(c)(3) of the Internal Revenue Code and in compliance with Rev. Proc. 96-32, 1996-1 C.B. 717, and is leased for a minimum of 99 years for the purpose of, and is predominantly used for, providing housing to natural persons or families meeting the extremely- low-income, very-low-income, low-income, or moderate-income limits specified in s. 420.0004 is exempt from ad valorem taxation. For purposes of this paragraph, land is predominantly used for qualifying purposes if the square footage of the improvements on the land used to provide 214 qualifying housing is greater than 50 percent of the square footage of all improvements on the land. This paragraph first applies to the 2024 tax roll and is repealed December 31, 2059. (2)(a) Notwithstanding ss. 196.195 and 196.196, property in a multifamily project that meets the requirements of this subsection is considered property used for a charitable purpose and is exempt from ad valorem tax beginning with the January 1 assessment after the 15th completed year from the earliest of: 1. The effective date of the recorded agreement on those portions of the affordable housing property that provide housing to natural persons or families meeting the extremely-low-income, very-low-income, or low-income limits specified in s. 420.0004; 2. The first day of the first taxable year in which the property was placed in service as an affordable housing property that provides housing to natural persons or families meeting the extremely-low-income, very-low-income, or low-income limits specified in s. 420.0004; or 3. The date the property received a certificate of occupancy or a certificate of substantial completion, as applicable, allowing the property to be used as an affordable housing property that provides housing to natural persons or families meeting the extremely-low-income, very-low- income, or low-income limits specified in s. 420.0004. (b) The multifamily project must: 1. Contain more than 70 units that are used to provide affordable housing to natural persons or families meeting the extremely-low-income, very-low-income, or low-income limits specified in s. 420.0004; and 2. Be subject to an agreement with the Florida Housing Finance Corporation recorded in the official records of the county in which the property is located to provide affordable housing to natural persons or families meeting the extremely-low-income, very-low-income, or low-income limits specified in s. 420.0004. This exemption terminates if the property no longer serves extremely-low-income, very-low-income, or low-income persons pursuant to the recorded agreement. (c) To receive the exemption under paragraph (a), a qualified applicant must submit an application to the county property appraiser by March 1. (d) The property appraiser shall apply the exemption to those portions of the affordable housing property that provide housing to natural persons or families meeting the extremely-low- income, very-low-income, or low-income limits specified in s. 420.0004 before certifying the tax roll to the tax collector. (3)2(a) As used in this subsection, the term: 1. “Corporation” means the Florida Housing Finance Corporation. 215 2. “Newly constructed” means an improvement to real property which was substantially completed within 5 years before the date of an applicant’s first submission of a request for a certification notice pursuant to this subsection. 3. “Substantially completed” has the same meaning as in s. 192.042(1). 2(b) Notwithstanding ss. 196.195 and 196.196, portions of property in a multifamily project are considered property used for a charitable purpose and are eligible to receive an ad valorem property tax exemption if such portions meet all of the following conditions: 1. Provide affordable housing to natural persons or families meeting the income limitations provided in paragraph (d). 2.a. Are within a newly constructed multifamily project that contains more than 70 units dedicated to housing natural persons or families meeting the income limitations provided in paragraph (d); or b. Are within a newly constructed multifamily project in an area of critical state concern, as designated by s. 380.0552 or chapter 28-36, Florida Administrative Code, which contains more than 10 units dedicated to housing natural persons or families meeting the income limitations provided in paragraph (d). 3. Are rented for an amount that does not exceed the amount as specified by the most recent multifamily rental programs income and rent limit chart posted by the corporation and derived from the Multifamily Tax Subsidy Projects Income Limits published by the United States Department of Housing and Urban Development or 90 percent of the fair market value rent as determined by a rental market study meeting the requirements of paragraph (l), whichever is less. 2(c) If a unit that in the previous year received the exemption under this subsection and was occupied by a tenant is vacant on January 1, the vacant unit is eligible for the exemption if the use of the unit is restricted to providing affordable housing that would otherwise meet the requirements of this subsection and a reasonable effort is made to lease the unit to eligible persons or families. 2(d)1. The property appraiser shall exempt: a. Seventy-five percent of the assessed value of the units in multifamily projects that meet the requirements of this subsection and are used to house natural persons or families whose annual household income is greater than 80 percent but not more than 120 percent of the median annual adjusted gross income for households within the metropolitan statistical area or, if not within a metropolitan statistical area, within the county in which the person or family resides; and b. From ad valorem property taxes the units in multifamily projects that meet the requirements of this subsection and are used to house natural persons or families whose annual household income does not exceed 80 percent of the median annual adjusted gross income for 216 households within the metropolitan statistical area or, if not within a metropolitan statistical area, within the county in which the person or family resides. 2. When determining the value of a unit for purposes of applying an exemption pursuant to this paragraph, the property appraiser must include in such valuation the proportionate share of the residential common areas, including the land, fairly attributable to such unit. 2(e) To be eligible to receive an exemption under this subsection, a property owner must submit an application on a form prescribed by the department by March 1 for the exemption, accompanied by a certification notice from the corporation to the property appraiser. The property appraiser shall review the application and determine whether the applicant meets all of the requirements of this subsection and is entitled to an exemption. A property appraiser may request and review additional information necessary to make such determination. A property appraiser may grant an exemption only for a property for which the corporation has issued a certification notice and which the property appraiser determines is entitled to an exemption. 2(f) To receive a certification notice, a property owner must submit a request to the corporation on a form provided by the corporation which includes all of the following: 1. The most recently completed rental market study meeting the requirements of paragraph (l). 2. A list of the units for which the property owner seeks an exemption. 3. The rent amount received by the property owner for each unit for which the property owner seeks an exemption. If a unit is vacant and qualifies for an exemption under paragraph (c), the property owner must provide evidence of the published rent amount for each vacant unit. 4. A sworn statement, under penalty of perjury, from the applicant restricting the property for a period of not less than 3 years to housing persons or families who meet the income limitations under this subsection. 2(g) The corporation shall review the request for a certification notice and certify whether a property meets the criteria of paragraphs (b) and (c). A determination by the corporation regarding a request for a certification notice does not constitute a grant of an exemption pursuant to this subsection or final agency action pursuant to chapter 120. 1. If the corporation determines that the property meets the criteria, the corporation must send a certification notice to the property owner and the property appraiser. 2. If the corporation determines that the property does not meet the criteria, the corporation must notify the property owner and include the reasons for such determination. 2(h) The corporation shall post on its website the deadline to submit a request for a certification notice. The deadline must allow adequate time for a property owner to submit a timely application for exemption to the property appraiser. 217 2(i) If the property appraiser determines that for any year during the immediately previous 10 years a person who was not entitled to an exemption under this subsection was granted such an exemption, the property appraiser must serve upon the owner a notice of intent to record in the public records of the county a notice of tax lien against any property owned by that person in the county, and that property must be identified in the notice of tax lien. Any property owned by the taxpayer and situated in this state is subject to the taxes exempted by the improper exemption, plus a penalty of 50 percent of the unpaid taxes for each year and interest at a rate of 15 percent per annum. If an exemption is improperly granted as a result of a clerical mistake or an omission by the property appraiser, the property owner improperly receiving the exemption may not be assessed a penalty or interest. 2(j) Units subject to an agreement with the corporation pursuant to chapter 420 recorded in the official records of the county in which the property is located to provide housing to natural persons or families meeting the extremely-low-income, very-low-income, or low-income limits specified in s. 420.0004 are not eligible for this exemption. 2(k) Property receiving an exemption pursuant to s. 196.1979 or units used as a transient public lodging establishment as defined in s. 509.013 are not eligible for this exemption. 2(l) A rental market study submitted as required by subparagraph (f)1. must identify the fair market value rent of each unit for which a property owner seeks an exemption. Only a certified general appraiser as defined in s. 475.611 may issue a rental market study. The certified general appraiser must be independent of the property owner who requests the rental market study. In preparing the rental market study, a certified general appraiser shall comply with the standards of professional practice pursuant to part II of chapter 475 and use comparable property within the same geographic area and of the same type as the property for which the exemption is sought. A rental market study must have been completed within 3 years before submission of the application. 2(m) The corporation may adopt rules to implement this section. 2(n) This subsection first applies to the 2024 tax roll and is repealed December 31, 2059. (o)1. Beginning with the 2025 tax roll, a taxing authority may elect, upon adoption of an ordinance or resolution approved by a two-thirds vote of the governing body, not to exempt property under sub-subparagraph (d)1.a. located in a county specified pursuant to subparagraph 2., subject to the conditions of this paragraph. 2. A taxing authority must make a finding in the ordinance or resolution that the most recently published Shimberg Center for Housing Studies Annual Report, prepared pursuant to s. 420.6075, identifies that a county that is part of the jurisdiction of the taxing authority is within a metropolitan statistical area or region where the number of affordable and available units in the metropolitan statistical area or region is greater than the number of renter households in the metropolitan statistical area or region for the category entitled “0-120 percent AMI.” 218 3. An election made pursuant to this paragraph may apply only to the ad valorem property tax levies imposed within a county specified pursuant to subparagraph 2. by the taxing authority making the election. 4. The ordinance or resolution must take effect on the January 1 immediately succeeding adoption and shall expire on the second January 1 after the January 1 in which the ordinance or resolution takes effect. The ordinance or resolution may be renewed prior to its expiration pursuant to this paragraph. 5. The taxing authority proposing to make an election under this paragraph must advertise the ordinance or resolution or renewal thereof pursuant to the requirements of s. 50.011(1) prior to adoption. 6. The taxing authority must provide to the property appraiser the adopted ordinance or resolution or renewal thereof by the effective date of the ordinance or resolution or renewal thereof. 7. Notwithstanding an ordinance or resolution or renewal thereof adopted pursuant to this paragraph, a property owner of a multifamily project who was granted an exemption pursuant to sub-subparagraph (d)1.a. before the adoption or renewal of such ordinance or resolution may continue to receive such exemption for each subsequent consecutive year that the property owner applies for and is granted the exemption. (4)(a) Notwithstanding ss. 196.195 and 196.196, property in a multifamily project that meets the requirements of this subsection is considered property used for a charitable purpose and is exempt from ad valorem tax beginning with the January 1 assessment immediately succeeding the date the property was placed in service allowing the property to be used as an affordable housing property that provides housing to natural persons or families meeting the extremely-low-income, very-low-income, or low-income limits specified in s. 420.0004. (b) The multifamily project must: 1. Be composed of an improvement to land where an improvement did not previously exist or the construction of a new improvement where an old improvement was removed, which was substantially completed within 2 years before the first submission of an application for exemption under this subsection. For purposes of this subsection, the term “substantially completed” has the same definition as in s. 192.042(1). 2. Contain more than 70 units that are used to provide affordable housing to natural persons or families meeting the extremely-low-income, very-low-income, or low-income limits specified in s. 420.0004. 3. Be subject to a land use restriction agreement with the Florida Housing Finance Corporation recorded in the official records of the county in which the property is located that requires that the property be used for 99 years to provide affordable housing to natural persons or families 219 meeting the extremely-low-income, very-low-income, low-income, or moderate-income limits specified in s. 420.0004. The agreement must include a provision for a penalty for ceasing to provide affordable housing under the agreement before the end of the agreement term that is equal to 100 percent of the total amount financed by the corporation multiplied by each year remaining in the agreement. The agreement may be terminated or modified without penalty if the exemption under this subsection is repealed. The property is no longer eligible for this exemption if the property no longer serves extremely-low- income, very-low-income, 3or low-income persons pursuant to the recorded agreement. (c) To be eligible to receive the exemption under this subsection, the property owner must submit an application to the property appraiser by March 1. The property appraiser shall review the application and determine whether the applicant meets all of the requirements of this subsection and is entitled to an exemption. A property appraiser may request and review additional information necessary to make such determination. (d)1. The property appraiser shall apply the exemption to those portions of the affordable housing property that provide housing to natural persons or families meeting the extremely-low- income, very-low-income, or low-income limits specified in s. 420.0004 before certifying the tax roll to the tax collector. 2. When determining the value of the portion of property used to provide affordable housing for purposes of applying an exemption pursuant to this subsection, the property appraiser must include in such valuation the proportionate share of the residential common areas, including the land, fairly attributable to such portion of property. (e) If the property appraiser determines that for any year a person who was not entitled to an exemption under this subsection was granted such an exemption, the property appraiser must serve upon the owner a notice of intent to record in the public records of the county a notice of tax lien against any property owned by that person in the county, and that property must be identified in the notice of tax lien. Any property owned by the taxpayer and situated in this state is subject to the taxes exempted by the improper exemption, plus a penalty of 50 percent of the unpaid taxes for each year and interest at a rate of 15 percent per annum. If an exemption is improperly granted as a result of a clerical mistake or an omission by the property appraiser, the property owner improperly receiving the exemption may not be assessed a penalty or interest. (f) Property receiving an exemption pursuant to subsection (3) or s. 196.1979 is not eligible for this exemption. (g) This subsection first applies to the 2026 tax roll. 220 History.—s. 15, ch. 99-378; s. 9, ch. 2000-353; s. 29, ch. 2006-69; s. 18, ch. 2009-96; s. 4, ch. 2011-15; s. 11, ch. 2013-72; s. 3, ch. 2013-83; s. 6, ch. 2017-36; ss. 10, 11, ch. 2020-10; s. 10, ch. 2021-31; s. 10, ch. 2022-97; s. 8, ch. 2023-17; ss. 13, 16, ch. 2024-158; s. 4, ch. 2024-188. 1Note.—Section 43, ch. 2023-17, provides: “(1) The Department of Revenue is authorized, and all conditions are deemed met, to adopt emergency rules under s. 120.54(4), Florida Statutes, for the purpose of implementing provisions related to the Live Local Program created by this act. Notwithstanding any other law, emergency rules adopted under this section are effective for 6 months after adoption and may be renewed during the pendency of procedures to adopt permanent rules addressing the subject of the emergency rules. “(2) This section expires July 1, 2026.” 2Note.— A. Section 43, ch. 2023-17, provides: “(1) The Department of Revenue is authorized, and all conditions are deemed met, to adopt emergency rules under s. 120.54(4), Florida Statutes, for the purpose of implementing provisions related to the Live Local Program created by this act. Notwithstanding any other law, emergency rules adopted under this section are effective for 6 months after adoption and may be renewed during the pendency of procedures to adopt permanent rules addressing the subject of the emergency rules. “(2) This section expires July 1, 2026.” B. Section 15, ch. 2024-158, provides: “(1) The amendments made to s. 196.1978, Florida Statutes, by section 13 of this act and s. 196.1979, Florida Statutes, are intended to be remedial and clarifying in nature and apply retroactively to January 1, 2024. “(2) This section shall take effect upon becoming a law.” C. Section 6, ch. 2024-188, provides that “[t]he amendments made by this act to ss. 196.1978 and 196.1979, Florida Statutes, are intended to be remedial and clarifying in nature and apply retroactively to January 1, 2024.” 3Note.—The word “or” was inserted by the editors. 221 ATTACHMENT 1 222 223 224 225 226 227 228 229 230 231 232 233 234 235 236 237 238 239 240 241 242 243 244 245 246 247 248 249 250 251 252 253 254 255 256 Published Daily in Orange, Seminole, Lake, Osceola & Volusia Counties, Florida Sold To: City Of Winter Springs - CU00116922 1126 E State Road 434 Winter Springs, FL 32708-2715 Bill To: City Of Winter Springs - CU00116922 1126 E State Road 434 Winter Springs, FL 32708-2715 State Of Florida County Of Orange Before the undersigned authority personally appeared Rose Williams, who on oath says that he or she is a duly authorized representative of the ORLANDO SENTINEL, a DAILY newspaper published in ORANGE County, Florida; that the attached copy of advertisement, being a Legal Notice in: The matter of 11150-Public Hearing Notice Was published in said newspaper by print in the issues of, or by publication on the newspaper¶s website, if authorized on Nov 29, 2024. Affiant further says that the newspaper complies with all legal requirements for publication in Chapter 50, Florida Statutes. Rose Williams Sworn to and subscribed before me on this 30 day of November, 2024, by above Affiant, who is personally known to me (X) or who has produced identification ( ). Signature of Affiant Name of Affiant Signature of Notary Public Name of Notary, Typed, Printed, or Stamped 7732925 257 7732925 258 259