Transcript Property Tax / TRIM Processes - Florida Government Finance

TRIM
Amy Murphy, City of Tampa
Kent Olson, City of Tallahassee
Issues to Discuss:
• Overview of TRIM
• TRIM Calendar
• Budget Hearing requirements
• Advertisements
• TRIM Compliance
• Relevant (and often Required) Forms
• Maximum Millage and Future Levy Capacity
• Value Adjustment Board
What is TRIM?
• TRIM (Truth in Millage) is under Florida Statutes
200 - Determination of Millage
• Specifically governed by F. S. 200.065 - Method of
Fixing Millage
• Purpose is to provide taxpayers transparency in
how local taxing authorities propose and approve
millage rates as part of the taxing authorities’
budget adoption process.
• Determine whether there is a tax increase
proposed (calculate the rolled-back rate)
3
What is the Rolled-back Rate?
• The millage rate necessary to raise, in the
aggregate, the same amount of money this
year from the taxpayers on last year’s tax roll
that was raised a year ago (excludes new
construction)
• Levying a millage rate higher than the rolledback rate will require the taxing body to
advertise a tax increase
4
Truth in Millage (TRIM)
• Florida Statute Chapter 200
• Provides calendar for property tax levy and
budget adoption process
• Outlines requirements to be in compliance
• Department of Revenue (DOR) is responsible
for enforcing compliance
5
Key Processes
• June 1st Estimate
• TRIM Notice (forms DR-420, DR-420MM-P, DR420TIF forms)
• Budget Ordinance & Resolutions
• Proper Notices and Advertisements
• Public Hearings
• DR-422 (before and after VAB)
• TRIM Compliance Package
6
TRIM Notice Forms
• Forms are inter-related
• Complete DR-420TIF first, then DR-420 and DR420MM-P
• Should be completed and presented together
for policymakers’ review
7
TRIM Calendar
• On or before June 1st - Property Appraiser provides
estimated taxable values to local taxing authorities (not
technically part of TRIM)
• July 1 – 1st day of calendar – Property Appraiser
provides the Preliminary Tax Roll to all taxing bodies on
Form DR-420
—This is the basis for levying property taxes in the upcoming
year
• By day 35 (August 4), taxing bodies must file with the
property appraiser and the tax collector the tentative
millage rate on form DR-420 as well as forms DR-420TIF
and DR-420MM-P
— Also must provide tentative (1st) public hearing date on DR-420
8
Property Tax / TRIM FY2013 Calendar
June 2012
SUNDAY
MONDAY
TUESDAY
WEDNESDAY
THURSDAY
FRIDAY
1
SATURDAY
2
Update Valop from
estimate
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
HCPA Certified
Values Meeting
Revenue Calculated
Prepare letter to
Council –PH Dates
TRIM Team Mtg
8:30 AM - 12:00 PM
TRIM WebEx
Training
9
Property Tax/TRIM FY2013 Calendar (cont.)
July 2012
SUNDAY
MONDAY
1
2
Ist day of TRIM
TRIM Team begins
to work on DR420's
8
15
TUESDAY
WEDNESDAY
THURSDAY
FRIDAY
SATURDAY
3
4
5
6
7
9
10
11
12
13
14
16
17
18
19
20
21
26
27
28
Mayor Presentation
Attorney, CFO, COS,
Mayor sign DR420s
Complete DR420's
w/ TRIM Team
22
23
24
Budget Director
signs DR420's
29
30
25
31
DR420's delivered
to PA
10
TRIM Calendar (cont.)
• Notice of Proposed Taxes is distributed by the
Property Appraiser no later than day 55
(August 24)
• Between day 65 (September 3) and day 80
(September 18), taxing authority must hold its
first public hearing
• Within 15 days of holding the first public
hearing, the taxing authority must publish an
advertisement to adopt the final millage and
budget
11
Property Tax/TRIM FY2013 Calendar (cont.)
August 2012
SUNDAY
MONDAY
TUESDAY
WEDNESDAY
1
THURSDAY
2
FRIDAY
3
Internal Deadline:
DR420's due back to
PA
5
6
7
8
SATURDAY
4
DROP DEAD DATE:
DR420's due back to
Property Appraiser
9
10
11
15
16
17
18
Charter Ad to Clerk
Receive tax year
2011 Final DR422's
from PA
Return tax year 2011
Final DR422's to
HCPA
21
22
23
24
Budget Ordinance
into DocGenda
Final Proof
Approved with
Tribune
Reso & TRIM Ad to
Budget Mgrs & Dir,
Attorney for review
Charter Ad to
Budget Mgrs & Dir,
Attorney for review
12
19
13
20
14
26
27
28
29
30
RNC
RNC
RNC
RNC
RNC
25
31
12
TRIM Calendar (cont.)
• Second public hearing must be held between
2 and 5 days after the advertisement has been
published
• Within 3 days after the second public hearing,
taxing authority must file its millage rate
ordinance with the property appraiser and the
tax collector
13
Property Tax/TRIM FY2013 Calendar (cont.)
September 2012
SUNDAY
MONDAY
TUESDAY
WEDNESDAY
THURSDAY
FRIDAY
SATURDAY
1
2
3
4
5
Labor Day
9
16
6
7
8
14
15
21
22
Charter Ad in
Papers
Reso/TRIM Ad to
Clerk
10
11
12
13
Millage & CIP
Budget resos into
DocGenda
School Board Public
Hearing
Hillsborough
County - 1st Public
Hearing
5:01 PM City of
Tampa - 1st Public
Hearing
17
18
19
20
Rosh Hashanah
Hillsborough
County - 2nd Public
Hearing
Run TRIM Ad
23
24
25
26
27
28
Available date for
TRIM Ad
Available date for
TRIM Ad
Last Available date
for TRIM Ad
Yom Kippur
5:01 PM City of
Tampa - 2nd Public
Hearing
Resolution adopting
final millage to PA &
TC
29
30
14
TRIM Calendar (cont.)
• End of September or early October - Taxing authorities
receive extended roll taxable values from Property Appraiser
(DR-422). Taxing authorities have three days to determine if
they will adjust their millage rates administratively
• Within 30 days after the second public hearing, taxing
authority files certification (DR-487) and required
documentation with the Department of Revenue
• Within 60 days after the second public hearing, the DOR will
indicate compliance or non-compliance with the Statute
• After completion of Value Adjustment Board hearings,
Property Appraiser provides taxing authorities with final
taxable values
15
Property Tax/TRIM FY2013 Calendar (cont.)
October 2012
SUNDAY
MONDAY
1
TUESDAY
2
WEDNESDAY
3
Anticipated
Extended Roll
DR422
7
8
THURSDAY
4
FRIDAY
SATURDAY
5
6
12
13
Return Extended
Roll DR422 to HCPA
9
10
11
Route Compliance
Certification for
signature
14
21
28
15
16
17
18
19
20
Budget Director &
Attorney sign
Mayor out of office
Mayor out of office
CFO sign
Mayor out of office
Mayor out of office
Mayor out of office
Mayor out of office
22
23
24
25
26
27
COS & Mayor sign
DR-487
TRIM compliance
certification to DOR
TRIM compliance
received by DOR
29
30
31
Last day to submit
TRIM compliance
certification to DOR
16
TRIM Calendar - Florida DOR
17
TRIM Calendar – County Property Appraiser
18
Budget Hearings
• Per F.S. 200.065, School Boards and Counties
have priority in selecting public hearing dates
• School Boards get first priority, Counties are
second
• No other taxing authority can hold its hearing
on the same date as the School Boards or
Counties
• Hearings start after 5 p.m. (5:01 p.m. at the
earliest, for the Department of Revenue)
19
Budget Hearings (cont.)
• At both hearings, millage rate must be discussed
first before the Budget; increase over RBR must
be announced
• At the first public hearing, the millage rate can be
increased from the tentatively adopted millage in
July; however, would require a first class mailing
to all taxpayers
• At the second public hearing, the millage rate
cannot be increased from the tentatively adopted
millage rate at the first public hearing
20
Budget Hearings (cont.)
• The general public is allowed to speak before the
governing body can take any action of adoption
• The millage must be adopted before the budget
can be adopted
• No millage can be levied until a resolution or
ordinance has been adopted by the taxing
authority
21
Public Hearing
22
Budget Hearings (cont.)
• The following must be publicly announced at the
hearing before the millage can be adopted:
– Name of the Taxing Authority
– Rolled-back rate
– Percentage of increase over the rolled-back rate
– Millage to be levied
23
Ad Publication Requirements
• If the proposed millage rate is greater than the
rolled-back rate, then you must publish a
Notice of Tax Increase ad
• If the proposed millage rate is less than or
equal to the rolled-back rate, then you must
publish a Notice of Budget Hearing ad
• In either case, a Budget Summary
advertisement is required to be published
adjacent to the appropriate “Notice” ad
24
Notice of Proposed Tax Increase Ad
• There are size requirements for the Notice of
Proposed Tax Increase ad
—Full 1/4 page
—Headline type of 18 point or larger
• May not be published in legal or classifieds
• Do not deviate from specified language (see
TRIM Manual on DOR website)
25
Notice of Budget Hearing Ad
• No specific size requirements
• May not be published in legal or classifieds
• Do not deviate from specified language
26
Budget Summary Ad
• No size requirements
• Must be published adjacent to the appropriate
“Notice” ad
• Include all budgeted funds, revenues, expenditures
and reserves
– Group by fund type (General, Special Revenue, etc.)
– Use major classifications to group revenues and
expenditures
– Exclude trust, agency, internal service funds as well as
bond proceeds
27
Budget Summary Ad (cont.)
• Basically shows flow of funds including
reserves available, revenues and expenditures,
transfers, yielding in effect a “Total Available”
and a “Total Appropriated”, including reserves
• Must show ad valorem revenue at a level of
95% or greater of the tax levy amount
• See Examples in TRIM Manual
28
Other Advertising
• Some cities or counties have adopted their own
advertising requirements in addition to those
required by State Statutes
• Make sure that you are aware of any local
requirements that you must comply with in
addition to DOR standards.
• The City of Tampa’s Charter requires 2 public
hearings to be held.
– 1st Hearing - at least one week’s notice in 2 papers of
general circulation.
29
Charter Ad Sample
30
DOR TRIM Violations/Infractions
• DOR keeps track of violations or infractions
annually
• “Minor” infractions are noted with the letter
the taxing authority receives if the TRIM
package is “in compliance”
• Serious violations and how they may be
corrected are included in letter of noncompliance
31
Non-Compliance
32
Non-Compliance
• If Department of Revenue review indicates
non-compliance with maximum rates
• Determination within 30 days of submittal
deadline (30 days after adoption)
• Repeat hearing and advertisement process
• Notice includes “Previous Notice . . In Violation of
the Law”
• Revised millage adopted recertified with State
within 15 days of adoption; not sent to PA or TC
33
Non-Compliance Notice Language
• THE PREVIOUS NOTICE PLACED BY THE (name
of taxing authority) HAS BEEN DETERMINED
BY THE DEPARTMENT OF REVENUE TO BE IN
VIOLATION OF THE LAW, NECESSITATING THIS
SECOND NOTICE.
34
Non-Compliance (cont.)
• If Dept of Revenue determines noncompliance is remedied & recertified, no
penalty
• If compliance is not recertified, penalty
• If non-compliance is not remedied, penalty
• Penalty: 12 months of sales tax revenues
35
Non-Compliance Corrected
• If excess taxes are collected, held by tax
collector in trust
• Excess may only be used to reduce taxes in
subsequent fiscal year
36
Property Tax Estimate Letter Sample
37
Relevant Forms
• DR-420 – Every taxing body completes; the main form in
this process
• DR-420TIF – for reporting tax increment financing
districts information
• DR-420MM-P – Preliminary Maximum Millage
•DR-420DEBT – Certification of Voted Debt Millage (if
applicable)
• DR-420MM – Final Maximum Millage
• DR-422 – May be used to Revise Millage, if permitted
• DR-487V – Governing Body Vote Record
•DR-487 – Used to transmit the millage certification
package
DR-420
• Main purpose is to determine the rolled-back rate
and its relationship to the proposed millage rate
• Property Appraiser completes property value
information at the top of the form
• Form is filed with the property appraiser (original
and one copy) and tax collector (one copy)
• Taxing body completes the remainder of the form
(see example)
39
DR-420 (cont.)
• Due no later than Thursday, August 4th - 35 days
after start of TRIM process
• Must obtain DR-420MM-P form from DOR
website – Property Appraiser does not provide
• Check the math/data on all forms from the
Property Appraiser
• Complete package consists of three different
forms (DR-420, DR-420MM-P, DR-420TIF)
• Request revised DR forms, as necessary
40
EXAMPLE – DR-420, p. 1
DR420 Fiscal Year 2012 (Tax Levy Year 2011)
Utopia Beach
1. Current Year Tax Value- Real Property
1,178,512,144
2. Current Year Tax Value - Personal Property
42,155,231
3. Current Year Tax Value - Centrally Assessed Property
13,260,287
4. Current Year Gross Taxable - Operating Purposes
1,233,927,662
5. Current Year Net New Taxable Value
12,268,759
6. Current Year Adjusted Taxable Value
1,221,658,903
7. Prior Year Final Gross Taxable Value (from prior year DR403)
1,257,978,930
8. Number of Tax Increment Value sheets
1
9. Does the taxing authority levy a voted debt service or millage voted for 2
years or less?
10. Prior Year Operating Millage Levy
No
7.7564
11. Prior Year Ad Valorem Proceeds (7) x (10)
9,757,388
12. Amount, if any, paid or applied in prior year as result of a TIF district
(sum line (6c) or (7a) for all DR420 TIF forms)
13. Adjusted Prior Year Ad Valorem Proceeds (line 11 - line 12)
41
836,743
8,920,645
EXAMPLE – DR-420, p. 2
14. Dedicated Increment Value (sum of 6b or 7e for all DR420 TIF forms)
15. Adjusted Current Year Taxable Value (line 6 - line 14)
122,483,123
1,099,175,780
16. Current Year Rolled-Back Rate (line 13 divided by line 15) x 1,000
8.1158
17. Current Year Proposed Operating Millage Rate
8.1150
18. Total taxes at proposed millage rate (line 17 x line 4, div. by 1,000)
10,013,323
19. Check Type of Principal Authority
Municipality
20. Check Type Taxing Authority
Principal
21. Is millage levied in more than one county?
No
Dependent Special Districts and MSTUs Stop and Sign
22. Total adjusted prior year ad valorem Proceeds of authority, DSDs
&MSTUs at rolled-back rate (Line 13 From all DR420s)
23. Curr. Yr. Agg. Rolled Back Rate (line 22 div. by line 15, mult. by 1,000)
8,920,645
8.1158
24. Curr. Yr. Ag. Rolled Back Taxes (line 4 x line 23)
10,014,310
25. Total Oper. Ad Valorem Taxes (line 18 from all DR420's)
10,013,323
26. Curr. Yr. Prop. Ag. Millage Rate (line 25 divided by line 4, x 1,000)
8.1150
27. Curr. Yr. Proposed Rate – as % Chg. Rolled (line 26 divided by line 23) -1,
x100
-0.01%
42
DR-420TIF
• Property Appraiser completes property value
information on the TIF District at the top of the form
• Provided at the same time the DR-420 is
• Information from the DR-420TIF is utilized on the DR420 to help in the calculation of the rolled-back rate
• Form is completed by the taxing authority after the
tentative millage rate is adopted by Council at end of
July
• Form is filed with the property appraiser (original and
one copy) and tax collector (one copy)
• Minimal information is completed by the taxing body
(see example)
43
DR-420TIF Example
1. Current Year taxable value in the tax increment area
2. Base Year taxable value in the increment area
3. Current year tax increment value (line 1 minus line 2)
4. Prior year taxable value
5. Prior year tax increment value (line 4 minus line 2)
496,118,624
89,127,781
406,990,443
502,404,171
413,276,390
6. a. Enter proportion on which the payment is based
6. b. Dedicated Increment Value (6a) x (3)
95.00%
386,640,921
6. c. Amount of Payment to Redevelopment Trust in prior year
3,640,579
7. If amount to be paid to Trust is not based on a proportion
of the tax increment value
7 a. Amount of Payment to Redevelopment Trust Last Yr
7 b. Prior Year Operating Millage Levy (Form DR420, line 10)
7 c. Taxes Levied on Prior (multiply line 5 by 7b, divide by 1000)
7 d. Previous Yr Payment as Prop of Taxes Levied (7a/7c)
7 e. Dedicated Increment Value (7d) x (1)
44
DR-420MM-P
• Used to determine voting levels that will be
required based upon the proposed millage
rate
• Form is completed by the taxing authority
after the tentative millage rate is adopted by
Council at end of July (see example)
• Form is filed with the property appraiser
(original and one copy) and tax collector (one
copy) (see example)
45
Maximum Millage Rates
• Per capita personal income added to the
Rolled-back Rate (RBR) only for maximum levy
limit calculation purposes
• For advertisement of a tax increase, only RBR
counts
• Levy limits – majority, 2/3, unanimous
46
Maximum Levy Limits
• Majority vote – Rolled-back rate(RBR), plus per
capita personal income change
• Two-thirds vote – 110% of RBR adjusted for per
capita personal income
• Unanimous vote (¾ if 9 or more) – up to 10 Mil
Cap
• Referendum – up to 10 Mil Cap
• Super-majority vote is of the membership of the
governing body, not the members who are present
Example - Form DR-420MM-P, p. 1
DR-420MM-P for FY13 (Levy Year 2012):
Utopia Beach
1. Has your taxing authority levied ad valorem for < 5 yrs?
No
2. Current Year rolled-back rate from Current Year Form DR420, line 16
8.1158
3. Prior Year majority vote maximum rate from 2011 Form DR420MM, line 13
7.9471
4. Prior Year operating millage levy from Current Year Form DR420, line 10
7.7564
If line 4 is equal to or greater than line 3, skip to line 11. If less, continue to line 5.
5. Prior year final gross taxable value from Current Year Form DR420, line 7
6. Prior year maximum ad val. proceeds with majority vote (3 x 5 div. by 1,000)
7. Amount paid or applied in prior year to a TIF district (C.Y. Form DR420, line 12)
8. Adjusted prior year ad val. proceeds with majority vote (line 6 minus line 7)
9. Adjusted current year taxable value from Current Year Form DR420, line 15
1,257,978,903
9,997,284
836,743
9,160,541
1,099,175,780
10. Adjusted current year rolled-back rate (line 8 divided by line 9, x 1000)
8.3340
11. Rolled-back rate to be used for maximum millage calculation (line 10, if adjusted, or
line 2)
8.3340
12. Change in per capita Florida personal income
1.0447
13. Majority vote maximum millage rate allowed (line 11 x line 12)
8.7065
48
Example - Form DR-420MM-P, p. 2
14. Two-thirds vote maximum millage rate allowed (line 13 x 1.10)
9.5772
15. Current year proposed millage rate
8.1150
16. Minimum vote required to levy proposed millage (check one)
17. The selection on line 16 allows a maximum millage rate of:(enter appropriate
rate)
18. Current Year gross taxable value from Current Year Form DR420, line 4
Majority
8.7065
1,233,927,662
19. Current year proposed taxes (line 15 x line 18, div. by 1000)
10,013,323
20. Total taxes levied at the maximum millage rate(line 17 x line 18, div. by 1000)
10,743,191
21. Current year proposed taxes of all dependent special districts & MSTUs (sum
of all lines 19 from each district’s Form DR420MM)
0
22. Total current year proposed taxes (line 19 plus line 21)
10,013,323
23. Taxes at the maximum millage of all dependent special districts & MSTUs
0
(the sum of all lines 20 from each district's Form DR420 MM)
24. Total taxes at maximum millage rate (line 20 plus line 23)
25. Are proposed taxes on line 22 < or = to taxes on line 24?
49
10,743,191
yes
Example – Form DR-420DEBT
DR-420DEBT
Utopia Beach
1. Current Year Tax Value- Real Property
47,454,987,051
4,725,173,049
194,778,969
52,374,939,069
0.4852
1.0000
2. Current Year Tax Value - Personal Property
3. Current Year Tax Value - Centrally Assessed Property
4. Current Year Gross Taxable - Operating Purposes
5. Current Year proposed voted debt millage rate
6. Current year proposed millage voted for 2 yrs or less
50
DR-420MM
• Very similar to DR-420MM-P
• Form is completed by the taxing authority
after the Council has adopted the final millage
rate at the second budget hearing
• Used to verify that the taxing authority
adopted a millage rate in accordance with the
voting requirements (see example)
51
Form DR-420MM, p. 1
DR-420 MM for FY 2012 (Levy Year 2011):
Utopia Beach
1. Has your taxing authority levied ad valorem for < 5 yrs?
No
2. Current Year rolled-back rate from Current Year Form DR420, line 16
8.1158
3. Prior Year majority vote maximum rate from 2010 Form DR420MM, line 13
7.9471
4. Prior Year operating millage levy from Current Year Form DR420, line 10
7.7564
If line 4 is equal to or greater than line 3, skip to line 11. If less, continue to line 5.
5. Prior year final gross taxable value from Current Year Form DR420, line 7
6. Prior year maximum ad val. proceeds with majority vote (3 x 5 div. by 1,000)
1,257,978,903
9,997,284
7. Amount paid or applied in prior year to a TIF district (Form DR420, line 12)
836,743
8. Adjusted prior year ad val. proceeds with majority vote (line 6 minus line 7)
9,160,541
9. Adjusted current year taxable value from Current Year Form DR420, line 15
1,099,175,780
10. Adjusted current year rolled-back rate (line 8 divided by line 9, x 1000)
8.3340
11. Rolled-back rate to be used for maximum millage calculation (line 10, if adjusted, or
line 2)
8.3340
12. Change in per capita Florida personal income
1.0055
13. Majority vote maximum millage rate allowed (line 11 x line 12)
8.3798
52
Form DR-420MM, p. 2
14. Two-thirds vote maximum millage rate allowed (line 13 x 1.10)
9.2178
15. Current year adopted millage rate
8.1150
16. Minimum vote required to levy proposed millage (check one)
17. The selection on line 16 allows a maximum millage rate of:(enter appropriate
rate)
18. Current Year gross taxable value from Current Year Form DR420, line 4
Majority
8.3798
1,233,927,662
19. Current year adopted taxes (line 15 x line 18, div. by 1000)
10,013,323
20. Total taxes levied at the maximum millage rate(line 17 x line 18, div. by 1000)
10,340,067
21. Current year adopted taxes of all dependent special districts & MSTUs (sum of
all lines 19 from each district’s Form DR420MM)
22. Total current year adopted taxes (line 19 plus line 21)
0
10,013,323
23. Taxes at the maximum millage of all dependent special districts & MSTUs
0
(the sum of all lines 20 from each district's Form DR420 MM)
24. Total taxes at maximum millage rate (line 20 plus line 23)
25. Are adopted taxes on line 22 < or = to taxes on line 24?
53
10,340,067
yes
DR-422
• Form is prepared by the Property Appraiser once the
Final Taxable Value has been established (October 1)
• Taxing authority has 3 days to return the form to the
Property Appraiser
• Form may be used to adjust millage administratively
if the assessed value changes significantly from the
July 1 Preliminary Tax Value
• Definition of “Significantly”
– More than 1% for cities, counties, schools and water
management districts
– More than 3% for MSTUs and special districts
54
Example – Form DR-422
DR-422
1. Current year gross taxable value line 4, DR420
2. Final current year gross taxable value from Form DR403
Percentage of change in taxable value (line 2 divided by line 1, minus 1, mult. by 100)
4a. County or municipal principal taxing authority millage rate
5. Unadjusted gross ad valorem proceeds (line 1 x line 4a, divided by 1,000)
6. Adjusted gross ad valorem proceeds (line 5 divided by line 2, mult. by 1,000)
1,233,927,662
1,202,189,756
-2.6%
8.1150
10,013,323
8.3292
55
DR-487V
• Used to record the vote of the Council on the
millage rate at the second budget hearing
• Must list each councilmember and show how
they voted individually
• Form confirms whether the taxing body had
the necessary votes to adopt the millage they
voted for
56
Does this look familiar?
57
Example – Form DR-487V
DR-487V
Name
John Dixon
George Fulton
Dan Niedermeyer
Bill Sherman
Violet Wall
Yes
Not
Present or
No Not Voting
X
X
X
X
X
58
DR-487
• Used to transmit the TRIM Compliance
package to the State
• Due within 30 days of Final Budget hearing
(see example)
59
Example Form DR-487
DR-487
Check if E-TRIM Participant
E-TRIM Participants only need to submit items 1-3
WITHIN 30 DAYS OF FINAL HEARING send this signed certification with:
1. Proof of Publication from newspaper
2. Ordinance or Resolution
a. Adopting the final millage rate with % change of rolled-back rate shown
b. Adopting the final budget, indicating order of adoption
3. ENTIRE PAGE from the newspaper
a. Budget Summary Advertisement
b. Notice of Proposed Tax Increase or Budget Hearing Advertisement
c. COUNTIES ONLY: DR-529, Notice - Tax Impact of VAB, within 30 days
of completion
4. Copy of DR420, with DR420TIF and DR420DEBT, if applicable
5. DR-420MM
6. DR-487V
7. DR-422
60
The Completed Package
61
Levy Capacity
• Levying less than Maximum Majority Vote
provides additional future capacity – not “use
it or lose it”
• Maximum majority vote millage rate in
following year is based upon the prior year
maximum majority vote millage rate
62
Levy Capacity Example
• Prior Year Maximum Millage Rate with majority
vote: 7.9471 (line 3, DR-420MM-P)
• Prior Year Millage Rate: 7.7564 (line 4, DR420MM-P)
• While RBR will be calculated starting with the
7.7564 millage, the Maximum that can be levied
by majority vote will begin with the “maximum
millage” RBR based upon the 7.9471
• Levying less than the maximum rate will create
future capacity for the majority vote maximum
63
Value Adjustment Board
• Consists of five members: two from the county board of
commissioners, one from the school board, and one citizen
each appointed by these two boards
• County appointee must be a homestead property owner
• School district appointee must own commercial property
• Adjudicates all appeals of assessed value filed by taxpayers that
are not resolved with the property appraiser
• Costs are shared 60% by the county, 40% by the school district
• In theory, VAB hearings are to be completed before October 1
of each year (in time for DR-422 to be distributed with final
values)
• Serious backlogs have developed within the last few years,
resulting in reductions in assessed value well after the tax bills
are sent out
64
Property Taxes - Tax Roll Value Summary
Shown below are valuations and tax yields from FY2010 onward including the extended tax roll received on
9/28/2012 from the Hillsborough County Property Appraiser's Office. The extended roll reflects a slight
increase in taxable value of approximately $112 million, or 0.533%, resulting in a revenue gain of $612
thousand from the June 28, 2012 certified tax roll.
P R OP E R T Y T AX U P D AT E
GR OW T H
% CH AN GE
V ALU E
1 MILL Y IE LD
(@ 95% )
Milla ge R a te
(@ 95% )
A. Estimated FY10 Tax Roll 5/29/09
compared to Cert. Tax Roll 6/30/08
-13.301%
Net Loss
25,300,000,000
(3,881,422,940)
24,035,000
(3,687,352)
137,783,041
(21,138,113)
B. Certified FY10 Tax Roll 6/23/09
vs. Certified FY09 Tax Roll 6/30/08
-12.592%
Net Loss
25,506,882,432
(3,674,540,508)
24,231,538
(3,490,813)
138,909,717
(20,011,437)
C. Extended DR422@9/25/2009
compared to Cert. Tax Roll 6/23/09
-0.303%
Net Loss
25,429,481,522
(77,400,910)
24,158,007
(73,531)
138,488,193
(421,523)
D. Final DR422@6/24/2010
compared to Cert. Tax Roll 6/23/09
-0.013%
Net Loss
25,296,612,292
(210,270,140)
24,031,782
(199,757)
137,764,592
(1,145,125)
A. Estimated FY11 Tax Roll 5/28/10
compared to Cert. Tax Roll 6/23/09
-10.965%
Net Loss
22,710,000,000
(2,796,882,432)
21,574,500
(2,657,038)
123,677,979
(15,231,738)
B. Certified FY11 Tax Roll 6/24/10
vs. Certified FY10 Tax Roll 6/23/09
-12.427%
Net Loss
22,337,064,767
(3,169,817,665)
21,220,212
(3,011,327)
121,646,985
(17,262,732)
C. Extended DR422@9/28/2010
compared to Cert. Tax Roll 6/24/10
-0.205%
Net Loss
22,291,166,115
(45,898,652)
21,176,608
(43,604)
121,397,022
(249,963)
D. Final DR422@6/17/2011
compared to Cert. Tax Roll 6/24/10
-0.534%
Net Loss
22,217,793,836
(119,270,931)
21,106,904
(113,307)
120,997,439
(649,546)
A. Estimated FY12 Tax Roll 5/27/11
compared to Cert. Tax Roll 6/24/10
-4.030%
Net Loss
21,436,800,000
(900,264,767)
20,364,960
(855,252)
116,744,170
(4,902,815)
B. Certified FY12 Tax Roll 6/23/11
vs. Certified FY11 Tax Roll 6/28/10
-4.032%
Net Loss
21,436,473,172
(900,591,595)
20,364,650
(855,562)
116,742,390
(4,904,595)
C. Extended DR422@9/28/2011
compared to Cert. Tax Roll 6/23/11
D. Final DR422@ 8/16/12
compared to Cert. Tax Roll
-0.014%
Net Loss
-0.305%
Net Loss
21,433,551,316
(2,921,856)
21,371,087,190
(65,385,982)
20,361,874
(2,776)
20,302,533
(62,117)
116,726,477
(15,912)
116,386,300
(356,090)
A. Estimated FY13Tax Roll 5/25/12
compared to Cert. Tax Roll 6/24/10
B. Certified FY13 Tax Roll 6/28/12
vs. Certified FY12 Tax Roll 6/23/11
C. Extended DR422@ 9/28/12
compared to Cert. Tax Roll 6/28/12
-2.036%
Net Loss
-1.727%
Net Loss
0.533%
Net Gain
21,000,000,000
(436,473,172)
21,066,242,166
(370,231,006)
21,178,625,985
112,383,819
19,950,000
(414,650)
20,012,930
(351,719)
20,119,695
106,765
114,365,370
(2,377,020)
114,726,123
(2,016,267)
115,338,162
612,039
65
Additional Resources
• Florida Statutes, Chapter 200
• Online Sunshine (www.state.leg.fl.us)
• DOR – TRIM and maximum millage
(http://dor.myflorida.com/dor/property/trim/t
rimmax.html)
• DOR – TRIM Compliance Manual
(http://dor.myflorida.com/dor/property/trim/)
66