HomeMy WebLinkAbout1989 09 06 Minutes
COUNCIL OF LOCAL GOVERNMENTS IN SEMINOLE COUNTY
September 6, 1989
The regular meeting of the Council of Local Governments in Semi-
nole County was held in the County Commission Conference Room,
County Services Building, Sanford, Florida on September 6, 1989 at
7:00 p.m.
MEMBERS
PRESENT
Commissioner Lee Constantine, Altamonte Springs
Mayor Owen Sheppard, Casselberry
Commissioner Thomas K. Mahoney, Lake Mary
Commissioner Hank Hardy, Longwood
Councilperson Jane Dees, Oviedo
Commissioner Whitey Eckstein, Sanford
Commissioner Jennifer Kelley, Seminole County
Nancy Warren, Seminole County School Board
Mayor Leanne Grove, Winter Springs
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ALSO PRESENT
Bill Suber, Seminole County Property Appraiser
CALL TO ORDER
The meeting was called to order by Chairman Lee Constantine.
PLEDGE OF ALLEGIANCE
APPROVAL OF MINUTES
Moved by Commissioner Kelley, second by Mrs. Warren to approve the
minutes of August 2, 1989. Carried unanimously.
TREASURER'S REPORT
Commiss ioner Mahoney reported that the balance remains unchanged
as of the last 24 months at $366.68.
Upon questioning by Commissioner Kelley, Commissioner Mahoney said
the money was not earning interest; normally a fee would be paid
to keep an account of this size, but the fee had been waived.
Commissioner Constantine pointed out the account had drawn inter-
est when he was Treasurer.
Commissioner Mahoney pointed out that since then the account had
changed banks.
Commissioner Constantine confirmed with members present that dues
were not charged last year. Each year a decision is made whether
or not to charge. Two years ago $25.00 was charged; however, the
decision is dependent upon how depleted the account is and what
expenditures may be necessary throughout the year. He pointed out
that the paper was getting low an order would be forthcoming.
COUNCIL OF LOCAL GOVERNMENTS IN SEMINOLE COUNTY
September 6, 1989
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OLD BUSINESS
a} Update on Dispute Resolution
Commissioner Constantine stated the Dispute Resolution has been
signed and passed.
Mayor Sheppard asked if the blanks were filled in.
Commissioner Constantine stated they were not but he was going to
have to do that at the City with their Attorney and it would be
kept at the City and passed on to the next Chairman. The effec-
tive date was September 6, 1989.
b} Discussion - Group Insurance
Mayor Sheppard gave an update indicating that the cities are
looking to pool their health insurance due to the large increase
in premiums. In the meeting he attended the idea was presented
that instead of the cities and the county dealing individually
with these entities they should pool and perhaps get better rates,
and perhaps the ul timate would be to be self-insured at some
point. He indicated that this is all discussion at this point,
that consultants would be brought the next meeting to discuss
options.
There was a discussion on whether or not motorcycle policemen were
still needed. The general consensus was that they were still
needed but the insurance question needed to be addressed.
NEW BUSINESS
a} Host Presentation
Bill Suber, Seminole County Property Appraiser, addressed the
Council on non ad valorem tax assessments. Of the members, Lake
Mary has some non-ad valorem assessments and the County has many
of them. Non-ad valorem assessments are also known by other names
such as paving districts, lighting districts, drainage districts,
MSBU's, MSTU's, MSTD's or anything that serves a special benefit.
Mr. Suber explained that when special assessments first came out
and were first presented on the ad valorem tax rolls, there was no
other way for a city or the county to collect that special assess-
ment and end up with a lien against the property except for
something like a mechanics lien. Altamonte Springs probably still
has some old pav ing I iens recorded that have not been collec ted
and won't be collected until the people in the homes either pass
away or the property changes hands and then supposedly the title
company will pick it up and it will get paid. That has been the
law for a number of years since first special assessments went on
the ad valorem roles in this county in 1971.
COUNCIL OF LOCAL GOVERNMENTS IN SEMINOLE COUNTY
September 6, 1989
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Because of abuse with the money that was supposed to have used to
run these special districts, the legislature got involved. The
changes in the law were brought about through recommendations on
accountability as it relates to these special districts by a
number of organizations. Until this leg islation was passed last
year, there was no way for either the county or the municipalities
to place a special assessment in the position of running with the
land now we can do that so the bill has accountability in it for
the districts and to the tax payers.
The new law states that there will be no new non-ad valorem
assessments allowed after January 1, 1990. Seminole County has
had a mixture of ad valorem and non-advalorem taxes or assessments
on the roll, which is fine as long as no new districts are created
after 1989. However, according to the County Manager not only
will the MSBU come on next year but there are plans for additional
non-ad valorem taxes that will be levied in the future.
Currently we are operating under Option "A", the Optional Method
described in the attached. Because of the way the law is struc-
tured, if the Property Appraiser agreed to keep the ad valorem tax
and the non-ad valorem tax through 1989 and carry it forward, he
would end up with ad valorem and non-ad valorem rolls plus another
set of just non-ad valorem rolls, plus the County and the munici-
palities would have to contract with him to maintain them.
Option "B", The Uniform Method has two separate rolls, an ad
valorem roll and a non-ad valorem roll which are put together into
one bill by the Tax Collector. The Property Appraiser prepares
the ad valorem roll, the tax authority, whoever it may be, pre-
pares the non-ad valorem roll. Once that is done (and it is
procedurally written out in the law how the rolls are done) the
roles are then merged back together by the tax collector so he can
send out one bill. That is how the law has changed, there can be
two rolls, but one bill.
The Al ternative Method is described on Page 3 of the attached.
According to Mr. Suber, if you read the law, you will know it is
not an alternative, it just says you can do it any way you want to
as long as to follow certain procedures within the statute. Under
this method the non-ad valorem assessments again cannot be on the
ad valorem tax rolls and they cannot be on the ad valorem tax
bill. They have to be billed separately so what you end up with
is the Tax Collector sending out the ad valorem tax bill and may
or may not send out the non-ad valorem tax bill, but it would be
an entirely different form. Under that process the non-ad valorem
assessments or taxes do not become a lien on the property. They
become something like a mechanics lien. A copy of these laws are
attached and are fairly self-explanatory.
The only method he sees available for 1990 and after is the
Uniform Method where you have two rolls certif ied by the tax ing
authorities and one bill. Under the law for the uniform method on
June 1, 1990 and thereafter the Property Appraiser I s off ice is
responsible for providing each taxing authority using the uniform
COUNCIL OF LOCAL GOVERNMENTS IN SEMINOLE COUNTY
September 6, 1989
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method with the following information, by either a list or compa-
tible electronic medium: a legal description for each property
located within the boundaries of the district, the current names
and addresses of the owners of each of the properties within the
district and along with that will provide the parcel ID number
which is the way you link that back to the tax collector's rolls
so that he can merge those two together on a bill.
They propose to provide each taxing authority using the uniform
method with a magnetic tape or a list, however you want to get it.
The information will contain the following information on every
parcel in the district: parcel number, special district number,
the name and address of the current owner, current legal descrip-
tion and if the legal was changed from the prior year they are
going to flag it for you (for example, if a taxpayer owned two
lots and he was being charged for them together and sells one of
them off, we will let you know that one has been sold so you will
know that you have a new owner and new tax payer. They can also
issue any other information requested. For 1990 only they will
provide the number of units assessed on a particular parcel during
1989. In addition, they will provide a hard copy summary which
will serve as an index and a recap for everything provided on the
tape. This index and recap will contain the following infor-
mation: district name, district number (which we will assign...in
the County's case there are 250 to 275 districts so they will have
to renumber the districts and provide those numbers to you), total
number of parcels in each district (they will note by a "yes" or
"no" whether there is a legal description change from the prior
year) .
A lengthy question and answer period followed which provided the
following information:
** In a d istr ic t wi th more than one non-ad valorem tax assess-
ments such as paving, drainage and/or lighting, it will go on the
roll as one figure, you would break it out when it goes to the tax
collec tor.
** The next big one will probably be the recycling program, and
if treated like an MSBU it would be up to the County Commission to
determine which jurisdiction gets what and how it is assessed.
** The function of the Property Appraiser is to do an appraisal
on all the real or personal property in the county, and to secure
a fair and just valuation. In the courts, "just valuation" means
market value but not market value like you would look at it. They
have criteria that they must look at and abide by which includes
the cost approach, the income approach and the market approach to
value. With residential properties they use sales to do a market
analysis. The cost approach in our case it is replacement cost
less depreciation. Under the income approach whether or not it is
an income producing property has very little bearing on their
consideration. Apartments are done that way, as are shopping
centers. Most commercial properties are not done that way but a
lot of them are.
COUNCIL OF LOCAL GOVERNMENTS IN SEMINOLE COUNTY
September 6, 1989
p ag e 5
They have to consider property as being its equivalent in cash so
its absolutely free and clear of liens or encumbrances or anything
else. That is the kind of market value we try to reach.
** If a subdivision is built with 100 units and every house sells
for $100,000 at the same time, the appraisal would depend on
several things. The cost of money that is generally used in the
market, what real estate agents charge to sell the house, anything
that would be a cost has to be taken...it could be 7% to 15%. So
the appraisal would be around $85,000 to $93,000.
** Appraisals can't be done on every property every year, they
generally try to look at areas with bad equity problems.
** The downscaling of condominiums is not a depreciation factor,
it is more of a market factor. Condos that once sold for $80,000
to $90,000 you have to practically pay somebody to take on off
your hands today.
** The question of mid-year assessments was discussed and Mr.
Suber indicated that the problem is that the constitution does not
separate real and personal property, it speaks to ALL property,
and when mid-year assessments come before the leg islature, the
lobbyists immediately go to work and it dies.
** A new house goes on the tax roll when it is issued a Certifi-
cate of Occupancy or a final building inspection is performed.
For example, if a house is not occupied or ready for occupancy on
December 31, 1989, it is not put on the roll that year. July,
1991 is the first time it will appear on the tax roll. The tax
bill is not sent until November of that year and it is not due
until March, 1992, so it is 27 months (conceivably) before a house
will begin paying taxes.
** In a commercial undertaking where all of it is not completed
simultaneously, they pick up phases as they are completed.
** When a permit is issued for a house improvement that is a flag
that sends an appraiser to a property to check for improvements.
There was a discussion on how concurrency has effected other parts
of the state. Mr. Suber indicated that although concurrence has
not come down the pike yet, we can plan for it. The areas along
the Wekiva and along S.R. 46 will probably be the most critical
areas. He feels it may slow growth, but won't effect us greatly.
There was further discussion concerning Homestead Exemption and
particularly the properties that are off the tax rolls because of
it. He is providing each city with a summary of those properties
which will be attached to the minutes when received.
The meeting adjourned at 9:40 p.m.