The purpose of the proposed repeal of Rule 12D-5.002, F.A.C., and the proposed amendments to Rule 12D-5.004, F.A.C., is to implement the provisions of Chapter 2013-95, Laws of Florida. The effect of the proposed rule repeal and revisions is to ...

 

DEPARTMENT OF REVENUE

Property Tax Oversight Program

RULE NOS.:RULE TITLES:

12D-5.002Purchase Price Paid as a Factor in Determining Agricultural Classification

12D-5.004Applicability of Other Factors to Classification of Agricultural Lands

PURPOSE AND EFFECT: The purpose of the proposed repeal of Rule 12D-5.002, F.A.C., and the proposed amendments to Rule 12D-5.004, F.A.C., is to implement the provisions of Chapter 2013-95, Laws of Florida. The effect of the proposed rule repeal and revisions is to provide property appraisers with updated procedures for administering the agricultural classification under Florida law.

SUMMARY: These rules provide procedures property appraisers use to determine if property qualifies for an agricultural classification. Legislation in 2013 repealed the statutory provision that Rule 12D-5.002, F.A.C., implements. The amendment to Rule 12D-5.004, F.A.C., deletes the other method factors, other than zoning, property appraisers use in determining agricultural land purposes.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION:

The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: 1) no requirement for a SERC was triggered under Section 120.541(1), F.S.; and, 2) based on past experiences with activities for providing the public tax information and rules of this nature, the adverse impact or regulatory cost, if any, do not exceed nor would exceed any one of the economic analysis criteria in a SERC, as set forth in Section 120.541(2)(a), F.S. Any person who wishes to provide information regarding a SERC, or to provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 195.027(1), 213.06(1) FS.

LAW IMPLEMENTED: 193.461, 195.032 FS.

A HEARING WILL BE HELD AT THE DATE, TIME AND PLACE SHOWN BELOW:

DATE AND TIME: June 15, 2017, 10:00 a.m.

PLACE: Capital Circle Office Complex, Building 2, Room 1220, 2450 Shumard Oak Blvd, Tallahassee, Florida.

Pursuant to the provisions of the Americans with Disabilities Act, any person requiring special accommodations to participate in this workshop/meeting is asked to advise the agency at least 48 hours before the workshop/meeting by contacting: Mike Cotton at: telephone [phone] or email [e-mail].. If you are hearing or speech impaired, please contact the agency using the Florida Relay Service, 1(800)955-8771 (TDD) or 1(800)955-8770 (Voice).

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Mike Cotton, Tax Law Specialist, Property Tax Oversight Program, Department of Revenue, 2450 Shumard Oak Boulevard, Tallahassee, Florida 32315-3000, telephone: [phone], email: [e-mail].

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

12D-5.002 Purchase Price Paid as a Factor in Determining Agricultural Classification.

Rulemaking Authority 195.027(1), 213.06(1) FS. Law Implemented 193.461, 195.032 FS. History–New 10-12-76, Amended 11-10-77, Formerly 12D-5.02, Repealed            .

 

12D-5.004 Applicability of Other Factors to Classification of Agricultural Property Lands.

(1) Other factors stated enumerated by the court in Greenwood v. Oates, 251 So. 2d 665 (Fla. 1971), which the property appraiser may consider, but to which he is not limited to, are:

(a) Opinions of appropriate experts in the fields;

(b) Business or occupation of the owner; (Note that this cannot be considered beyond over and above, or to the exclusion of, the actual use of the property.) (See AGO 70-123.);

(c) The nature of the property’s terrain of the property;

(d) Economic merchantability of the agricultural product; and

(e) The reasonably attainable economic salability of the agricultural product within a reasonable future time for the particular agricultural product.

(2) Other factors that should are recommended to be considered are:

(a) Zoning (other then Section 193.461, F.S.), applicable to the property land;

(b) General character of the neighborhood;

(c) Use of adjacent properties;

(d) Proximity of the property subject properties to a metropolitan area and services;

(e) Principal domicile of the owner and family;

(f) Date of acquisition;

(g) Agricultural experience of the person conducting agricultural operations;

(h) Participation in governmental or private agricultural programs or activities;

(i) Amount of harvest for each crop;

(j) Gross sales from the agricultural operation;

(k) Months of hired labor; and

(l) Inventory and condition of buildings and machinery and the condition of the same.

(3) The property appraiser cannot apply aA minimum acreage test to determine if property is being used cannot be required for agricultural assessment in determining whether the use of the land for bona fide agricultural purposes is bona fide.

Rulemaking Authority 195.027(1), 213.06(1) FS. Law Implemented 193.461, 213.05 FS. History–New 10-12-76, Amended 11-10-77, Formerly 12D-5.04, Amended 11-1-12,            .

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Mike Cotton

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: The Governor and Cabinet of Florida.

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: May 23, 2017

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: March 27, 2017.