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Item P3BOARD OF COUNTY COMMISSIONERS County of Monroe A Mayor Heather Carruthers, District 3 ( T$ne Florida Keys (, Mayor Pro Tem George Neugent, District 2 t� ) ��` �� �' Danny L. Kolhage, District 1 David Rice, District 4 Sylvia J. Murphy, District 5 County Commission Meeting June 15, 2016 Agenda Item Number: P.3 Agenda Item Summary #1733 BULK ITEM: Yes DEPARTMENT: Sustainability TIME APPROXIMATE: STAFF CONTACT: Rhonda Haag (305) 453-8774 None AGENDA ITEM WORDING: A Resolution of the Board of County Commissioners endorsing Amendment 4 which would authorize the Florida Legislature to exempt solar and other renewable energy systems from both residential and commercial property appraisals and from the tangible personal property tax, effective January 1, 2018. Amendment No. 4 will be presented to Florida voters at the August 30, 2016 election ITEM BACKGROUND: The Compact Counties 2016 State Energy and Climate Legislative Program specifically support "legislation and/or constitutional amendments that will exempt solar photovoltaic systems from commercial property assessments and the tangible personal property tax". Florida is one of only four states in the United States that by law expressly denies residents and businesses the ability to buy solar -generated electricity directly from someone other than a power company through Power Purchase Agreements (PPAs). Monroe County has shown a commitment to energy reduction and has met and exceeded the emissions reduction goal of 20% below 2005 levels by 2020 (reductions as of the 2012 GHG inventory report are community 22%, municipal 33%). Florida has the third -highest potential for rooftop solar energy generation in the United States, but currently ranks 141' in the nation for installed solar capacity, according to the Solar Energy Industry Association. Solar photovoltaic energy offers many potential benefits, including lower electricity costs for homeowners, businesses, and governments; local jobs and economic development; reduced dependence on imported fuels; pollution -free electricity generation; no water use; and contribution to a more resilient electric grid. Florida spends billions of dollars each year purchasing carbon -based fuels from other states and countries to power its homes, businesses, and vehicles, while solar power will keep energy dollars in the state and create good -paying local sales, installation, and maintenance jobs. PREVIOUS RELEVANT BOCC ACTION: Not Applicable CONTRACT/AGREEMENT CHANGES: Not Applicable STAFF RECOMMENDATION: Approval DOCUMENTATION: Resolution endorsing Amendment 4 solar energy June 2016 House Joint Resolution 193 proposed amendment to constitution to exempt solar and renewable energy systems from property tax appraisals FINANCIAL IMPACT: Effective Date: June 15, 2016 Expiration Date: Total Dollar Value of Contract: None Total Cost to County: None Current Year Portion: None Budgeted: Not Applicable Source of Funds: Not Applicable CPI: Indirect Costs: Estimated Ongoing Costs Not Included in above dollar amounts: Revenue Producing: No Grant: No County Match: Insurance Required: No Additional Details: None If yes, amount: REVIEWED BY: Rhonda Haag Completed 05/27/2016 12:26 PM Pedro Mercado Completed 05/27/2016 4:34 PM Budget and Finance Completed 05/27/2016 4:43 PM Maria Slavik Completed 05/31/2016 8:34 AM Kathy Peters Completed 05/31/2016 10:53 AM Board of County Commissioners Pending 06/15/2016 9:00 AM 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Exhibit 1 Page 1 of 4 RESOLUTION NO. 2016- A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA, ENDORSING AMENDMENT 4; PROVIDING FOR TRANSMISSION OF THE RESOLUTION; AND PROVIDING FOR SEVERABILITY AND AN EFFECTIVE DATE. WHEREAS, solar photovoltaic energy offers many potential benefits, including lower electricity costs for homeowners, businesses, and governments; local jobs and economic development; reduced dependence on imported fuels; pollution -free electricity generation; no water use; and contribution to a more resilient electric grid; and WHEREAS, Florida spends billions of dollars each year purchasing carbon - based fuels from other states and countries to power its homes, businesses, and vehicles, while solar power will keep energy dollars in the state and create good -paying local sales, installation, and maintenance jobs; and WHEREAS, Florida has the third -highest potential for rooftop solar energy generation in the United States, but currently ranks 14t" in the nation for installed solar capacity, according to the Solar Energy Industry Association; and WHEREAS, Monroe County has met and exceeded the emissions reduction goal of 20% below 2005 levels by 2020 (expressed most recently in the Climate Change Element incorporated into the County Comprehensive Plan in 2016); and WHEREAS, increased solar -generated electricity, including customer -sited systems on residential and commercial properties, will be a key strategy for achieving this community -wide goal; and WHEREAS, for many years Monroe County has offered support for pro -solar energy policies and legislation at the state and federal levels, including explicit support 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Exhibit 1 Page 2 of 4 in the County's annual state and federal legislative programs and in the annual state and federal legislative programs approved jointly by the County Commissions of the four Southeast Florida Regional Climate Change Compact Counties; and WHEREAS, the Compact Counties 2016 State Energy and Climate Legislative Program specifically supports "legislation and/or constitutional amendments that will exempt solar photovoltaic systems from commercial property assessments and the tangible personal property tax"; and WHEREAS, Florida is one of only four states in the United States that by law expressly denies residents and businesses the ability to buy solar -generated electricity directly from someone other than a power company through Power Purchase Agreements (PPAs); and WHEREAS, solar leasing agreements, in which companies lease solar electricity systems to homeowners and businesses, realize many of the same benefits of PPAs, but are rendered economically unfeasible in Florida as result of the state's tangible personal property tax on leased equipment; and WHEREAS, in 2008 Florida voters approved a constitutional amendment that authorized the Florida Legislature to exclude wind resistance and renewable energy improvements from residential property appraisals; and WHEREAS, the effective exemption of solar energy systems from residential property taxes, enabled by the 2008 amendment and the implementing legislation passed by the Legislature in 2013, encourages homeowners to invest in rooftop solar and other renewable energy systems; and WHEREAS, Amendment 4, entitled "Solar Devices or Renewable Energy Source Devices; Exemption from Certain Taxation and Assessment," will be presented to voters 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Exhibit 1 Page 3 of 4 at the August 30, 2016, election as result of the unanimous passage of House Joint Resolution 193 by both the Florida House of Representatives and Florida Senate on March 9, 2016; and WHEREAS, Amendment 4 would authorize the Florida Legislature to exempt solar and other renewable energy systems from both residential and commercial property appraisals and from the tangible personal property tax, effective January 1, 2018, and for the subsequent 20 years; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA- Section 1. The Board supports, approves, and endorses Amendment 4 and urges all Monroe County and Florida voters to vote in favor of the amendment on the August 30, 2016, ballot. Section 2. The Board directs the County Administrator to publicize the Board's position on Amendment 4 to the general public and to report to the Board on the public information efforts undertaken. Section 3. A copy of this Resolution shall be transmitted to Florida for Solar Inc., the 501(c)(4) organization promoting Amendment 4. Section 4. SEVERABILITY. If any portion of this Resolution is determined by any Court to be invalid, the invalid portion shall be stricken, and such striking shall not affect the validity of the remainder of this Resolution. If any Court determines that this Resolution, or any portion hereof, cannot be legally applied to any individual(s), group(s), entity(ies), 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Exhibit 1 Page 4 of 4 property(ies), or circumstance(s), such determination shall not affect the applicability hereof to any other individual, group, entity, property, or circumstance. Section 5. EFFECTIVE DATE. This Resolution shall become effective upon adoption. ADOPTED this day Approved as to form and legal sufficiency: Pedro Mercado, County Attorney , 2016. P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 1 House Joint Resolution 2 A joint resolution proposing amendments to Sections 3 3 and 4 of Article VII and the creation of Section 34 of 4 Article XII of the State Constitution to authorize the 5 Legislature, by general law, to exempt from ad valorem 6 taxation the assessed value of solar devices or 7 renewable energy source devices that are subject to 8 tangible personal property tax, to authorize the 9 Legislature, by general law, to prohibit the 10 consideration of the installation of such devices in 11 determining the assessed value of residential and 12 nonresidential real property for the purpose of ad 13 valorem taxation, and to provide effective and 14 expiration dates. 15 16 Be It Resolved by the Legislature of the State of Florida: 17 18 That the following amendments to Sections 3 and 4 of 19 Article VII and the creation of Section 34 of Article XII of the 20 State Constitution are agreed to and shall be submitted to the 21 electors of this state for approval or rejection at the next 22 general election or at an earlier special election specifically 23 authorized by law for that purpose: 24 ARTICLE VII 25 FINANCE AND TAXATION 26 SECTION 3. Taxes; exemptions. — Page 1 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 27 (a) All property owned by a municipality and used 28 exclusively by it for municipal or public purposes shall be 29 exempt from taxation. A municipality, owning property outside 30 the municipality, may be required by general law to make payment 31 to the taxing unit in which the property is located. Such 32 portions of property as are used predominantly for educational, 33 literary, scientific, religious or charitable purposes may be 34 exempted by general law from taxation. 35 (b) There shall be exempt from taxation, cumulatively, to 36 every head of a family residing in this state, household goods 37 and personal effects to the value fixed by general law, not less 38 than one thousand dollars, and to every widow or widower or 39 person who is blind or totally and permanently disabled, 40 property to the value fixed by general law not less than five 41 hundred dollars. 42 (c) Any county or municipality may, for the purpose of its 43 respective tax levy and subject to the provisions of this 44 subsection and general law, grant community and economic 45 development ad valorem tax exemptions to new businesses and 46 expansions of existing businesses, as defined by general law. 47 Such an exemption may be granted only by ordinance of the county 48 or municipality, and only after the electors of the county or 49 municipality voting on such question in a referendum authorize 50 the county or municipality to adopt such ordinances. An 51 exemption so granted shall apply to improvements to real 52 property made by or for the use of a new business and Page 2 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 53 improvements to real property related to the expansion of an 54 existing business and shall also apply to tangible personal 55 property of such new business and tangible personal property 56 related to the expansion of an existing business. The amount or 57 limits of the amount of such exemption shall be specified by 58 general law. The period of time for which such exemption may be 59 granted to a new business or expansion of an existing business 60 shall be determined by general law. The authority to grant such 61 exemption shall expire ten years from the date of approval by 62 the electors of the county or municipality, and may be renewable 63 by referendum as provided by general law. 64 (d) Any county or municipality may, for the purpose of its 65 respective tax levy and subject to the provisions of this 66 subsection and general law, grant historic preservation ad 67 valorem tax exemptions to owners of historic properties. This 68 exemption may be granted only by ordinance of the county or 69 municipality. The amount or limits of the amount of this 70 exemption and the requirements for eligible properties must be 71 specified by general law. The period of time for which this 72 exemption may be granted to a property owner shall be determined 73 by general law. 74 (e) By general law and subject to conditions specified 75 therein:,, 76 (1) Twenty-five thousand dollars of the assessed value of 77 property subject to tangible personal property tax shall be 78 exempt from ad valorem taxation. Page 3 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 79 (2) The assessed value of solar devices or renewable 80 energy source devices subject to tangible personal property tax 81 may be exempt from ad valorem taxation, subject to limitations 82 provided by general law. 83 (f) There shall be granted an ad valorem tax exemption for 84 real property dedicated in perpetuity for conservation purposes, 85 including real property encumbered by perpetual conservation 86 easements or by other perpetual conservation protections, as 87 defined by general law. 88 (g) By general law and subject to the conditions specified 89 therein, each person who receives a homestead exemption as 90 provided in section 6 of this article; who was a member of the 91 United States military or military reserves, the United States 92 Coast Guard or its reserves, or the Florida National Guard; and 93 who was deployed during the preceding calendar year on active 94 duty outside the continental United States, Alaska, or Hawaii in 95 support of military operations designated by the legislature 96 shall receive an additional exemption equal to a percentage of 97 the taxable value of his or her homestead property. The 98 applicable percentage shall be calculated as the number of days 99 during the preceding calendar year the person was deployed on 100 active duty outside the continental United States, Alaska, or 101 Hawaii in support of military operations designated by the 102 legislature divided by the number of days in that year. 103 SECTION 4. Taxation; assessments. —By general law 104 regulations shall be prescribed which shall secure a just Page 4 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 105 valuation of all property for ad valorem taxation, provided: 106 (a) Agricultural land, land producing high water recharge 107 to Florida's aquifers, or land used exclusively for 108 noncommercial recreational purposes may be classified by general 109 law and assessed solely on the basis of character or use. 110 (b) As provided by general law and subject to conditions, 111 limitations, and reasonable definitions specified therein, land 112 used for conservation purposes shall be classified by general 113 law and assessed solely on the basis of character or use. 114 (c) Pursuant to general law tangible personal property 115 held for sale as stock in trade and livestock may be valued for 116 taxation at a specified percentage of its value, may be 117 classified for tax purposes, or may be exempted from taxation. 118 (d) All persons entitled to a homestead exemption under 119 Section 6 of this Article shall have their homestead assessed at 120 just value as of January 1 of the year following the effective 121 date of this amendment. This assessment shall change only as 122 provided in this subsection. 123 (1) Assessments subject to this subsection shall be 124 changed annually on January lst of each year; but those changes 125 in assessments shall not exceed the lower of the following: 126 a. Three percent (30) of the assessment for the prior 127 year. 128 b. The percent change in the Consumer Price Index for all 129 urban consumers, U.S. City Average, all items 1967=100, or 130 successor reports for the preceding calendar year as initially Page 5 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 131 reported by the United States Department of Labor, Bureau of 132 Labor Statistics. 133 (2) No assessment shall exceed just value. 134 (3) After any change of ownership, as provided by general 135 law, homestead property shall be assessed at just value as of 136 January 1 of the following year, unless the provisions of 137 paragraph (8) apply. Thereafter, the homestead shall be assessed 138 as provided in this subsection. 139 (4) New homestead property shall be assessed at just value 140 as of January lst of the year following the establishment of the 141 homestead, unless the provisions of paragraph (8) apply. That 142 assessment shall only change as provided in this subsection. 143 (5) Changes, additions, reductions, or improvements to 144 homestead property shall be assessed as provided for by general 145 law; provided, however, after the adjustment for any change, 146 addition, reduction, or improvement, the property shall be 147 assessed as provided in this subsection. 148 (6) In the event of a termination of homestead status, the 149 property shall be assessed as provided by general law. 150 (7) The provisions of this amendment are severable. If any 151 of the provisions of this amendment shall be held 152 unconstitutional by any court of competent jurisdiction, the 153 decision of such court shall not affect or impair any remaining 154 provisions of this amendment. 155 (8)a. A person who establishes a new homestead as of 156 January 1, 2009, or January 1 of any subsequent year and who has Page 6 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 157 received a homestead exemption pursuant to Section 6 of this 158 Article as of January 1 of either of the two years immediately 159 preceding the establishment of the new homestead is entitled to 160 have the new homestead assessed at less than just value. If this 161 revision is approved in January of 2008, a person who 162 establishes a new homestead as of January 1, 2008, is entitled 163 to have the new homestead assessed at less than just value only 164 if that person received a homestead exemption on January 1, 165 2007. The assessed value of the newly established homestead 166 shall be determined as follows: 167 1. If the just value of the new homestead is greater than 168 or equal to the just value of the prior homestead as of January 169 1 of the year in which the prior homestead was abandoned, the 170 assessed value of the new homestead shall be the just value of 171 the new homestead minus an amount equal to the lesser of 172 $500,000 or the difference between the just value and the 173 assessed value of the prior homestead as of January 1 of the 174 year in which the prior homestead was abandoned. Thereafter, the 175 homestead shall be assessed as provided in this subsection. 176 2. If the just value of the new homestead is less than the 177 just value of the prior homestead as of January 1 of the year in 178 which the prior homestead was abandoned, the assessed value of 179 the new homestead shall be equal to the just value of the new 180 homestead divided by the just value of the prior homestead and 181 multiplied by the assessed value of the prior homestead. 182 However, if the difference between the just value of the new Page 7 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 183 homestead and the assessed value of the new homestead calculated 184 pursuant to this sub -subparagraph is greater than $500,000, the 185 assessed value of the new homestead shall be increased so that 186 the difference between the just value and the assessed value 187 equals $500,000. Thereafter, the homestead shall be assessed as 188 provided in this subsection. 189 b. By general law and subject to conditions specified 190 therein, the legislature shall provide for application of this 191 paragraph to property owned by more than one person. 192 (e) The legislature may, by general law, for assessment 193 purposes and subject to the provisions of this subsection, allow 194 counties and municipalities to authorize by ordinance that 195 historic property may be assessed solely on the basis of 196 character or use. Such character or use assessment shall apply 197 only to the jurisdiction adopting the ordinance. The 198 requirements for eligible properties must be specified by 199 general law. 200 (f) A county may, in the manner prescribed by general law, 201 provide for a reduction in the assessed value of homestead 202 property to the extent of any increase in the assessed value of 203 that property which results from the construction or 204 reconstruction of the property for the purpose of providing 205 living quarters for one or more natural or adoptive grandparents 206 or parents of the owner of the property or of the owner's spouse 207 if at least one of the grandparents or parents for whom the 208 living quarters are provided is 62 years of age or older. Such a Page 8 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 209 reduction may not exceed the lesser of the following: 210 (1) The increase in assessed value resulting from 211 construction or reconstruction of the property. 212 (2) Twenty percent of the total assessed value of the 213 property as improved. 214 (g) For all levies other than school district levies, 215 assessments of residential real property, as defined by general 216 law, which contains nine units or fewer and which is not subject 217 to the assessment limitations set forth in subsections (a) 218 through (d) shall change only as provided in this subsection. 219 (1) Assessments subject to this subsection shall be 220 changed annually on the date of assessment provided by law; but 221 those changes in assessments shall not exceed ten percent (100) 222 of the assessment for the prior year. 223 (2) No assessment shall exceed just value. 224 (3) After a change of ownership or control, as defined by 225 general law, including any change of ownership of a legal entity 226 that owns the property, such property shall be assessed at just 227 value as of the next assessment date. Thereafter, such property 228 shall be assessed as provided in this subsection. 229 (4) Changes, additions, reductions, or improvements to 230 such property shall be assessed as provided for by general law; 231 however, after the adjustment for any change, addition, 232 reduction, or improvement, the property shall be assessed as 233 provided in this subsection. 234 (h) For all levies other than school district levies, Page 9 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 235 assessments of real property that is not subject to the 236 assessment limitations set forth in subsections (a) through (d) 237 and (g) shall change only as provided in this subsection. 238 (1) Assessments subject to this subsection shall be 239 changed annually on the date of assessment provided by law; but 240 those changes in assessments shall not exceed ten percent (100) 241 of the assessment for the prior year. 242 (2) No assessment shall exceed just value. 243 (3) The legislature must provide that such property shall 244 be assessed at just value as of the next assessment date after a 245 qualifying improvement, as defined by general law, is made to 246 such property. Thereafter, such property shall be assessed as 247 provided in this subsection. 248 (4) The legislature may provide that such property shall 249 be assessed at just value as of the next assessment date after a 250 change of ownership or control, as defined by general law, 251 including any change of ownership of the legal entity that owns 252 the property. Thereafter, such property shall be assessed as 253 provided in this subsection. 254 (5) Changes, additions, reductions, or improvements to 255 such property shall be assessed as provided for by general law; 256 however, after the adjustment for any change, addition, 257 reduction, or improvement, the property shall be assessed as 258 provided in this subsection. 259 (i) The legislature, by general law and subject to 260 conditions specified therein, may prohibit the consideration of Page 10 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 261 the following in the determination of the assessed value of real 262 property idse4 fzeia rasi4en4t mia raeses: 263 (1) Any change or improvement to real property used for 264 residential purposes made to improve fzet-l-,e m=rraesc—€ 265 the property's resistance to wind damage. 266 (2) The installation of a solar or renewable energy source 267 device. 268 (j)(1) The assessment of the following working waterfront 269 properties shall be based upon the current use of the property: 270 a. Land used predominantly for commercial fishing 271 purposes. 272 b. Land that is accessible to the public and used for 273 vessel launches into waters that are navigable. 274 C. Marinas and drystacks that are open to the public. 275 d. Water -dependent marine manufacturing facilities, 276 commercial fishing facilities, and marine vessel construction 277 and repair facilities and their support activities. 278 (2) The assessment benefit provided by this subsection is 279 subject to conditions and limitations and reasonable definitions 280 as specified by the legislature by general law. 281 ARTICLE XII 282 SCHEDULE 283 SECTION 34. Solar devices or renewable energy source 284 devices; exemption from certain taxation and assessment. -This 285 section, the amendment to subsection (e) of Section 3 of Article 286 VII authorizing the legislature, subject to limitations set Page 11 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er P.3.b F L O R I D A H O U S E O F R E P R E S E N T A T I V I III IIIIII IIIIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 2016 Legislature 287 forth in general law, to exempt the assessed value of solar 288 devices or renewable energy source devices subject to tangible 289 personal property tax from ad valorem taxation, and the 290 amendment to subsection (i) of Section 4 of Article VII 291 authorizing the legislature, by general law, to prohibit the 292 consideration of the installation of a solar device or a 293 renewable energy source device in determining the assessed value 294 of real property for the purpose of ad valorem taxation shall 295 take effect on January 1, 2018, and shall expire on December 31, 296 2037. Upon expiration, this section shall be repealed and the 297 text of subsection (e) of Section 3 of Article VII and 298 subsection (i) of Section 4 of Article VII shall revert to that 299 in existence on December 31, 2017, except that any amendments to 300 such text otherwise adopted shall be preserved and continue to 301 operate to the extent that such amendments are not dependent 302 upon the portions of text which expire pursuant to this section. 303 BE IT FURTHER RESOLVED that the following statement be 304 placed on the ballot: 305 CONSTITUTIONAL AMENDMENT 306 ARTICLE VII, SECTIONS 3 AND 4 307 ARTICLE XII, SECTION 34 308 SOLAR DEVICES OR RENEWABLE ENERGY SOURCE DEVICES; EXEMPTION 309 FROM CERTAIN TAXATION AND ASSESSMENT. —Proposing an amendment to 310 the State Constitution to authorize the Legislature, by general 311 law, to exempt from ad valorem taxation the assessed value of 312 solar or renewable energy source devices subject to tangible Page 12 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er F L O R I D A H O U S E O F III 111IR1IIIIIIIIIIIII ENROLLED CS/HJR 193, Engrossed 1 P.3.b R E P R E S E N T A T I V 2016 Legislature 313 personal property tax, and to authorize the Legislature, by 314 general law, to prohibit consideration of such devices in 315 assessing the value of real property for ad valorem taxation 316 purposes. This amendment takes effect January 1, 2018, and 317 expires on December 31, 2037. Page 13 of 13 CODING: Words i *ef= are deletions; words underlined are additions. hjr0193-03-er T+e rn P3 151 F,-au 2-01 G FLORIDA SOLAR VOTER �5ibp� 4, chcO Become a Florida Solar Voter TODAY: How do we make solar energy a priority in the Sunshine State? It starts by boosting voter turnout in this year's August and 1w oi-a 0 ,�11,,. November elections among all Floridians who want to build a clean energy, sustainable 6,0 � atll energy future. The August primary is right around the corner and Amendment 4 c As so c . presents an opportunity to advance solar in the Sunshine State. 5DZ.f Q £ 6F FL t& ✓15 What is Amendment 4? Amendment 4 would amend Florida's Constitution to exempt the value of solar panels and other renewable energy equipment from both the tangible personal property tax and the real property tax. To become law, Amendment 4 must be approved by a YES vote of at least 60 percent on the Aug. 30 primary ballot. Taxes are big reason that Florida — a state with no solar incentives — has 9 million energy customers and yet only a mere 8,500 rooftop solar systems. By comparison, New Jersey has over 40,000 rooftop systems with half the population and less sun. The proposed Amendment 4 would exempt solar systems from the tangible personal property tax — the most burdensome of the taxes — for a period of 20 years. Amendment 4 would lower solar energy costs by lowering taxes on solar installations — because the tangible personal property tax is passed on to customers in the form of increased solar power prices of up to 5 cents per kilowatt hour (kWh). That can be a big deal in Florida where a couple cents can make or break the economics of going solar. Better solar economics can mean more solar development, which lays the groundwork for cleaner air and a more sustainable future for the next generation. The title and summary of the amendment below can sound complicated, but the concept is simple one: lower taxes = lower solar energy costs. Title and text of Amendment 4 as it will appear on the ballot: SOLAR DEVICES OR RENEWABLE ENERGY SOURCE DEVICES; EXEMPTION FROM CERTAIN TAXATION AND ASSESSMENT. Proposing an amendment to the State Constitution to authorize the Legislature, by general law, to exempt from ad valorem taxation the assessed value of solar or renewable energy source devices subject to tangible personal property tax, and to authorize the Legislature, by general law, to prohibit consideration of such devices in assessing the value of real property for ad valorem taxation purposes. This amendment takes effect January 1, 2018, and expires on December 31, 2037. Florida Solar Voter is a project of the Southern Alliance for Clean Energy dedicated to providing all Florida voters, including those who care about a clean energy future, an easy way to sign up to vote by mail. Contact flsolarvoter@cleanenergy.org What Vou need to know: • "Ad valorem" means a tax rate applied to a value. For instance, for the tangible personal property tax, if a new solar system cost $20,000 and the county's "millage (tax) rate is 2.0 %, then the first year tangible personal property tax on the solar system is $400. The system is taxed annually on declining value — as it depreciates. • The exemption from these taxes will last for 20 years — enough time to allow solar to become a meaningful resource in Florida's energy mix. Lower Taxes Can Empower Floridians To Be Energy Independent: Floridians have shown strong support for going solar but are currently faced with barriers that can make clean solar energy seem out of reach. By lowering the taxes on solar, solar power becomes more affordable for businesses and homeowners in Florida. • Lower Taxes Can Pave the Way for a Sustainable Florida: Solar is clean and safe energy, with zero emissions and zero water usage. By lowering the cost of solar, more people will have access to this clean energy source, helping ensure a bright and sunny future for Florida • Lower Taxes Can Reduce Monthly Power Bills: While every solar system is different, most solar customers, both business and residential, can lock in long term savings on their monthly power bill by going solar. Once Amendment 4 passes, a residential solar lease can save a homeowner hundreds off their power bill through the life of the contract by locking in a lower rate, while utility rates continue to rise. One of the largest utilities in Florida just proposed a 24% rate increase over the next four years; affordable solar helps protect Floridians from rate hikes and provides financial stability and certainty. • Lower Taxes Can Create Local Jobs: One out of every 83 new jobs created in the US last year was in the solar industry. Voting YES on Amendment 4 will allow the solar industry to grow in the Sunshine State, creating local jobs that cannot be outsourced. Voting is easy in Florida — you have many different options to make sure you cast your vote in August: 1. Ditch the polls and sign up to vote by mail here! You will receive your ballot between July 26-August 2 and will have the entire month to mail it in. 2. Or, consider voting early August 20-27. 3. Enjoy voting on Election Day? Head to the polls August 301 Use this quick tool to mark your calendar. Check your voter status and polling location here. Florida Solar Voter is a project of the Southern Alliance for Clean Energy dedicated to providing all Florida voters, including those who care about a clean energy future, an easy way to sign up to vote by mail. Contact flsolarvoter@cleanenergy.org