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HomeMy WebLinkAboutR-2012-136 - Concerning Amendment 4 to the Florida Constitution, if Adopted would create Additional Inequities in Florida's Tax System RESOLUTION NO. 2012-136 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DANIA BEACH, FLORIDA, CONCERNING AMENDMENT 4 TO THE FLORIDA CONSTITUTION, WHICH, IF ADOPTED, WOULD CREATE ADDITIONAL INEQUITIES IN FLORIDA'S TAX SYSTEM BY GRANTING CERTAIN TAX BREAKS TO SOME TAXPAYERS AT THE EXPENSE OF OTHER TAXPAYERS; PROVIDING FOR CONFLICTS; FURTHER, PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, a proposed constitutional amendment sponsored by the Florida Legislature will be placed on the 2012 general election ballot as"Amendment 4"; and WHEREAS, this proposed constitutional change reduces the current assessment limitation on non-homestead real property from 10 percent to 5 percent; and WHEREAS, the proposed amendment grants first-time homesteaders an additional homestead exemption equal to 50 percent of the just value of the property up to the county median home value; and WHEREAS, the proposed amendment creates a provision that allows the Legislature by general law to prohibit increases in the assessed value of homestead property if the just value of the property decreases; and WHEREAS, Amendment 4 creates inequities for non-homestead properties by allowing identical properties to be taxed differently, and Amendment 4 extends the sunset provision already in the Florida Constitution from 2019 to 2023, which allows these inequities to be in place longer; and WHEREAS, Amendment 4 shifts the tax burden to new or growing businesses, creating an unfair disadvantage for new businesses that would have to pay higher property taxes than their more established counterparts; and WHEREAS,the non-homestead assessment cap reduction and the first-time homesteader provision would apply to city and county taxes and not to school property taxes; and WHEREAS, over the last few years, several property tax initiatives, including additional homestead exemptions, "Save Our Homes" portability and statutory millage caps, have also contributed to the unequal treatment of Florida's taxpayers; and i WHEREAS, there are estimates of the total tax impact of Amendment 4 of$1.6 billion cumulatively over a four-year period beginning in 2013-2014, with approximately $447 million borne by cities; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF DANIA BEACH,FLORIDA: Section 1. That the City of Dania Beach, Florida will evaluate the impact Amendment 4 may have on its property taxes. Section 2. That the City of Dania Beach, Florida urges its residents to carefully consider the potential adverse consequences of Amendment 4 before voting in the November 2012 general election. Section 3. That a copy of this resolution shall be provided to the Florida League of Cities, Inc. and other interested parties. Section 4. That all resolutions or parts of resolutions in conflict with this Resolution are repealed to the extent of such conflict. Section 5. That this Resolution shall become effective immediately upon its passage and adoption. PASSED AND ADOPTED on October 9, 2012. ATTEST: LOUISE STILSON, CMC PATRICIA A. FLURY CITY CLERK MAYOR IpAD 5 Her APPROVED AS FO AND CORRECTNESS: THOMAS J. XNSBWO CITY ATTOIkNEY nrEv 2 RESOLUTION#2012-136