The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Finance and Tax
BILL: CS/CS/SB 1184
INTRODUCER: Finance and Tax Committee; Community Affairs Committee; and Senator Collins
SUBJECT: Agricultural Lands
DATE: April 12, 2023
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. Hackett Ryon CA Fav/CS
2. Shuler Babin FT Fav/CS
3. AP
Please see Section IX. for Additional Information:
COMMITTEE SUBSTITUTE - Substantial Changes
I. Summary:
CS/CS/SB 1184 includes a variety of provisions related to use of agricultural lands. The bill:
Prohibits a county from levying special assessments on agricultural lands;
Defines “agricultural employee;
Provides that the construction or installation of housing for agricultural employees is an
authorized use of land zoned for agricultural use and operated as a bona fide farm;
Preempts a local government from adopting land use or zoning restrictions, conditions, or
regulations requiring the termination of an agricultural classification for any property or the
surrender of an agricultural classification if the property is used for agricultural purposes; and
Authorizes the Florida Department of Environmental Protection to regulate and administer
the use of certain toilet facilities on agricultural land.
The Revenue Estimating Conference determined that section 3 of the bill, prohibiting local
governments from adopting zoning restrictions that terminate an agricultural classification, does
not affect revenues. The Conference has determined that language included in section 1 will
reduce local government revenues by $23.7 million for FY 2023-24.
The bill takes effect July 1, 2023.
REVISED: BILL: CS/CS/SB 1184 Page 2
II. Present Situation:
Ad Valorem Taxation
The ad valorem tax or “property tax” is an annual tax levied by counties, municipalities, school
districts, and some special districts. The tax is based on the taxable value of property as of
January 1 of each year.
1
The property appraiser annually determines the “just value”
2
of property
within the taxing jurisdiction and then applies relevant exclusions, assessment limitations, and
exemptions to determine the property’s “taxable value.”
3
Property tax bills are mailed in
November of each year based on the previous January 1 valuation, and payment is due by March
31 of the following year.
4
The Florida Constitution prohibits the state from levying ad valorem taxes,
5
and it limits the
Legislature’s authority to provide for property valuations at less than just value, unless expressly
authorized.
6
The just valuation standard generally requires the property appraiser to consider the highest and
best use of property;
7
however, the Florida Constitution authorizes certain types of property to be
valued based on their current use (classified use assessments), which often results in lower
assessments. Properties that receive classified use treatment in Florida include agricultural land,
land producing high water recharge to Florida’s aquifers, and land used exclusively for
noncommercial recreational purposes;
8
land used for conservation purposes;
9
historic properties
when authorized by the county or municipality;
10
and certain working waterfront property.
11
Agricultural Lands
Agricultural land is one example of property that is assessed based on its current use rather than
its highest and best use.
12
A property appraiser is required to annually classify all land as either
1
Both real property and tangible personal property are subject to tax. Section 192.001(12), F.S., defines “real property” as
land, buildings, fixtures, and all other improvements to land. Section 192.001(11)(d), F.S., defines “tangible personal
property” as all goods, chattels, and other articles of value capable of manual possession and whose chief value is intrinsic to
the article itself.
2
Property must be valued at “just value” for purposes of property taxation, unless the Florida Constitution provides
otherwise. FLA. CONST. art VII, s. 4. Just value has been interpreted by the courts to mean the fair market value that a willing
buyer would pay a willing seller for the property in an arm’s-length transaction. See, e.g., Walter v. Schuler, 176 So. 2d 81
(Fla. 1965); Deltona Corp. v. Bailey, 336 So. 2d 1163 (Fla. 1976); S. Bell Tel. & Tel. Co. v. Dade Cnty., 275 So. 2d 4 (Fla.
1973).
3
See s. 192.001(2) and (16), F.S.
4
Sections 197.162 and 197.322, F.S.; see also FLA. DEP’T OF REVENUE, Florida Property Tax Calendar (Dec. 2016),
https://floridarevenue.com/property/Documents/taxcalendar.pdf.
5
FLA. CONST. art. VII, s. 1(a).
6
See FLA. CONST. art. VII, s. 4.
7
Section 193.011(2), F.S.
8
FLA. CONST. art. VII, s. 4(a).
9
FLA. CONST. art. VII, s. 4(b).
10
FLA. CONST. art. VII, s. 4(e).
11
FLA. CONST. art. VII, s. 4(j).
12
FLA. CONST. art. VII, s. 4(a). BILL: CS/CS/SB 1184 Page 3
agricultural or nonagricultural.
13
Agricultural lands are those used primarily for bona fide
agricultural purposes such as horticulture, viticulture, forestry, and farming.
14
Only the area of the land used for agricultural purposes benefits from the agricultural
classification.
15
Maintaining a dwelling on part of the lands used for agricultural purposes does
not in itself preclude an agricultural classification.
16
When agricultural property contains a
residence under the same ownership, the portion of the property consisting of the residence and
curtilage must be assessed separately.
17
There are certain protections of agricultural
classifications when land is temporarily not being used for agriculture due to a natural disaster or
in compliance with certain state agriculture programs.
18
Agricultural lands are taxed at a value based on their agricultural use, which requires a property
appraiser to use a different analysis to value the land than that used to determine the just value of
the land.
19
Additionally, certain structures that are attached physically to the land are considered
to be a part of the average yields per acre and have no separately assessable contributory
(taxable) value.
20
Lands classified as agricultural also enjoy certain benefits and protections, such
as a preemption on local government restrictions of farming on those lands
21
and limits on
nuisance complaints related to farming activities.
22
Fire Protection Assessments
Counties are specifically prohibited from levying a special assessment for the provision of fire
protection services on lands classified as agricultural lands, unless the land contains either a
residential building, or a nonresidential farm building, other than an agricultural pole barn,
23
with
a just value in excess of $10,000.
24
Such a special assessment must be based solely on the special
benefit accruing to the portion of the agricultural land containing the building.
25
Comprehensive Plans and Land Use Regulation
The Growth Management Act requires every city and county to create and implement a
comprehensive plan to guide future development. A locality’s comprehensive plan lays out the
locations for future public facilities, including roads, water and sewer facilities, neighborhoods,
parks, schools, and commercial and industrial developments.
13
Section 193.461(1), F.S.
14
Section 193.461, F.S.
15
Section 193.461(3)(b), F.S.
16
Section 193.461(3)(c), F.S.
17
Section 193.461(3)(d), F.S.
18
Section 193.461(7), F.S.
19
Compare s. 193.461(6), F.S. with s. 193.011, F.S.
20
Section 193.461(6)(c), F.S. This treatment of these structures applies when using the income approach in determining
value.
21
Section 163.3162, F.S.
22
See the Florida Right to Farm Act, section 823.14, F.S.
23
A nonresidential farm building in which 70 percent or more of the perimeter walls are permanently open and allow free
ingress and egress. Section 125.01(1)(r), F.S.
24
Id.
25
Id. BILL: CS/CS/SB 1184 Page 4
The land use element of the plan designates proposed future general distribution, location,
and extent of the uses of land. Specified use designations include those for residential,
commercial, industry, agriculture, recreation, conservation, education, and public facilities.
26
The housing element of the plan sets forth guidelines and strategies for the creation and
preservation of affordable housing for all current and anticipated future residents of the
jurisdiction, elimination of substandard housing conditions, provision of adequate sites for
future housing, and distribution of housing for a range of incomes and types.
27
Local governments regulate aspects of land development by enacting ordinances that address
local zoning, rezoning, subdivision, building construction, landscaping, tree protection, or sign
regulations or any other regulations controlling the development of land.
28
Zoning
Zoning maps and zoning districts are adopted by a local government for developments within
each land use category or sub-category. While land uses are general in nature, one or more
zoning districts may apply within each land use designation.
29
Common regulations on buildings
within the zoning map districts include density,
30
height and bulk of buildings, setbacks, and
parking requirements.
31
Zoning regulations also include acceptable uses of property for other
categories of land, such as agricultural or industrial.
If a landowner believes that a proposed development may have merit but it does not meet the
requirements of a zoning map in a jurisdiction, the landowner can seek a rezoning through a
rezoning application which is reviewed by the local government and voted on by the governing
body.
32
If a property has unique circumstances or small nonconformities but otherwise meets
zoning regulations, local governments may ease restrictions on certain regulations such as
building size or setback through an application for a variance.
33
However, any action to rezone or
grant a variance must be consistent with the local government’s comprehensive plan.
26
Section 163.3177(6)(a), F.S.
27
Section 163.3177(6)(f), F.S.
28
See ss. 163.3164 and 163.3213, F.S. Pursuant to s. 163.3213, F.S., substantially affected persons have the right to maintain
administrative actions which assure that land development regulations implement and are consistent with the local
comprehensive plan.
29
INDIAN RIVER CNTY., General Zoning Questions,
https://www.ircgov.com/communitydevelopment/planning/FAQ.htm#zoning1 (last visited Mar 31, 2023).
30
“Density” means an objective measurement of the number of people or residential units allowed per unit of land, such as
residents or employees per acre. Section 163.3164(12), F.S.
31
INDIAN RIVER CNTY., supra note 29.
32
See, e.g., CITY OF TALLAHASSEE, Application For Rezoning Review, available at:
https://www.talgov.com/Uploads/Public/Documents/place/zoning/cityrezinfsh.pdf (last visited Mar. 31, 2023).
33
See, e.g., CITY OF TALLAHASSEE, Variance and Appeals, available at:
https://www.talgov.com/Uploads/Public/Documents/growth/forms/boaa_variance.pdf (last visited Mar. 31 , 2023) and
SEMINOLE CNTY., Variance Process & Requirements, https://www.seminolecountyfl.gov/departments-services/development-
services/planning-development/boards/board-of-adjustment/variance-process-requirements.stml (last visited Mar. 31, 2023). BILL: CS/CS/SB 1184 Page 5
Migrant and Seasonal Farmworkers
Migrant farmworkers are defined as people who are or have been employed in hand labor
operations in planting, cultivating, or harvesting agricultural crops within the last 12 months and
who have changed residence for purposes of employment in agriculture within the last 12
months.
34
Outreach, employment, and other services targeted to migrant farmworkers are
regulated by federal law and administered by various state and local agencies, including the
Department of Economic Opportunity’s Migrant and Seasonal Farmworker Services program.
35
Migrant farmworker housing is regulated by the Florida Department of Health in coordination
with local health departments and federal law.
36
Migrant farmworker housing may include
residential property, including mobile homes or a migrant labor camp consisting of dormitories
constructed and operated as living quarters for migrant farmworkers.
37
Establishment of such
housing requires advance notice, inspections, and permitting based on standards of construction,
sanitation, equipment, and operation, as well as compliance with inspections during use.
38
Employment Verification
Under the Immigration Reform and Control Act of 1986 (IRCA),
39
it is illegal for any United
States employer to knowingly:
Hire, recruit, or refer for a fee an alien knowing he or she is unauthorized to work;
Continue to employ an alien knowing he or she has become unauthorized; or
Hire, recruit or refer for a fee, any person (citizen or alien) without following the record
keeping requirements of the IRCA.
40
Under Florida law, public employers and their contractors, and subcontractors thereof, are
required to register and use E-Verify to verify the work authorization status of all newly hired
employees.
41
A private employer that transacts business in Florida, has a license issued by an
agency, and employs workers in Florida is required to use the I-9 Form or E-Verify or a
substantially equivalent system to verify that new hires or retained contract employees are
authorized to work in the United States.
42
III. Effect of Proposed Changes:
Section 1 amends s. 125.01, F.S., regarding special assessments. Current law provides that a
county may not levy special assessments for the provision of fire protection services on
agricultural lands unless the land contains a residential dwelling of any value, or a nonresidential
34
Section 381.008(4), F.S.
35
FLA. DEP’T OF ECON. OPPORTUNITY, Migrant and Seasonal Farmworker Services, https://floridajobs.org/office-
directory/division-of-workforce-services/workforce-programs/migrant-and-seasonal-farmworker-services (last visited Mar.
31, 2023).
36
Sections 381.008-381.00897, F.S.
37
Section 381.008(5) and (8), F.S.
38
Section 381.0083, F.S.
39
Pub. L. No. 99-603, 100 Stat. 3359.
40
8 U.S.C. s. 1324a.
41
Section 448.095(2), F.S.
42
Section 448.095(3), F.S. BILL: CS/CS/SB 1184 Page 6
farm building which exceeds a just value of $10,000.The bill prohibits counties from levying any
special assessments on lands classified as agricultural lands.
Section 2 amends s. 163.3162, F.S., to define “agricultural employee” as a person who:
Produces a farm product;
Is seasonally or annually employed in agricultural production;
Is lawfully present in the United States;
Is allowed, and remains allowed, to work; and
Has been verified according to the state’s employment eligibility verification requirements.
The bill provides that the construction or installation of housing for agricultural employees is an
authorized use on land zoned for agricultural use and operated as a bona fide farm. Housing
authorized under this section:
May not exceed 7,500 square feet per parcel of land;
Must meet all local and state building standards for securing a certificate of occupancy; and
Does not require approval by ordinance or resolution of the jurisdiction in which the land is
located.
The bill further provides that if agricultural operations are discontinued on the property for at
least 3 years and the land is no longer classified as agricultural, housing established under this
section is no longer eligible for residential use without further approval under the local
jurisdiction’s zoning and land use regulations.
Section 3 amends s. 193.461, F.S., to preempt a local government from adopting land use or
zoning restrictions, conditions, or regulations requiring the termination of an agricultural
classification for any property or the surrender of an agricultural classification for any property
by the property owner, if the property is used for bona fide agricultural purposes. Such
restrictions, conditions, or regulations adopted before July 1, 2023, are invalid and
unenforceable.
Section 4 amends s. 381.0065, F.S., to provide that the Florida Department of Environmental
Protection may review applications, perform site inspections, and issue permits for the use of
holding tanks, privies, portable toilet services, or any other toilet facility intended for use on a
permanent or nonpermanent basis placed on lands classified as agricultural. Current law is silent
on the use of such facilities on agricultural lands, referring only specifically to use on
construction sites while workers are present.
Section 5 provides that the bill shall take effect July 1, 2023.
IV. Constitutional Issues:
A. Municipality/County Mandates Restrictions:
Article VII, Section 18(b) of the Florida Constitution provides that, except upon the
approval of each house of the Legislature by a two-thirds vote of the membership, the
Legislature may not enact, amend, or repeal any general law if the anticipated effect of
doing so would be to reduce the authority that municipalities or counties have to raise BILL: CS/CS/SB 1184 Page 7
revenue in the aggregate, as such authority existed on February 1, 1989. Laws having an
“insignificant fiscal impact” are exempt from the mandate requirements, which for Fiscal
Year 2022-2023 is forecast at approximately $2.3 million.
43,44
.
The Revenue Estimating Conference adopted an impact for section 3 relating to
agricultural land zoning restrictions and determined that this section does not have an
impact because it reflects current law and current administration.
45
The Conference has
determined that language prohibiting special assessments of agricultural lands will reduce
local revenues by $23.7 million for FY 2023-24.
46
Therefore, the mandates provisions of
Art. VII, s. 18 of the Florida Constitution may apply.
B. Public Records/Open Meetings Issues:
None.
C. Trust Funds Restrictions:
None.
D. State Tax or Fee Increases:
Article VII, s. 19 of the Florida Constitution requires that legislation that increases or
creates taxes or fees be passed by a 2/3 vote of each chamber in a bill with no other
subject. The bill does not increase or create new taxes or fees. Thus, the constitutional
requirements related to new or increased taxes or fees do not apply.
E. Other Constitutional Issues:
None identified.
V. Fiscal Impact Statement:
A. Tax/Fee Issues:
The Revenue Estimating Conference has determined that section 3 has no impact.
47
The
Conference has determined that language included in section 1 will reduce local government
revenues by $23.7 million for FY 2023-24.
48
43
FLA. CONST. art. VII, s. 18(d).
44
An insignificant fiscal impact is the amount not greater than the average statewide population for the applicable fiscal year
times $0.10. See FLA. SENATE COMM. ON CMTY. AFFAIRS, Interim Report 2012-115: Insignificant Impact, (Sept. 2011),
available at http://www.flsenate.gov/PublishedContent/Session/2012/InterimReports/2012-115ca.pdf.
45
OFF. OF ECON. & DEMOGRAPHIC RSCH., Revenue Estimating Conference Impact Results: SB 1184/HB 1343, 282-83, (Mar.
24, 2023), available at: http://edr.state.fl.us/Content/conferences/revenueimpact/archives/2023/_pdf/page282-283.pdf
[hereinafter EDR 3/24].
46
OFF. OF ECON. & DEMOGRAPHIC RSCH., Revenue Estimating Conference Impact Results: CS/HB 1343, 377-78, (Apr. 7,
2023), available at: http://edr.state.fl.us/Content/conferences/revenueimpact/archives/2023/_pdf/impact0407.pdf [hereinafter
EDR 4/7].
47
EDR 3/24 at 283.
48
EDR 4/7 at 378. BILL: CS/CS/SB 1184 Page 8
B. Private Sector Impact:
Businesses employing and housing migrant farmworkers will benefit from a variety of
provisions of the bill creating certain property rights and reducing special assessments.
C. Government Sector Impact:
Local governments will be negatively impacted to the extent that prohibiting special
assessments reduces revenue.
VI. Technical Deficiencies:
None.
VII. Related Issues:
None.
VIII. Statutes Affected:
This bill substantially amends the following sections of the Florida Statutes: 125.01, 163.3162,
193.461, and 381.0065.
IX. Additional Information:
A. Committee Substitute – Statement of Changes:
(Summarizing differences between the Committee Substitute and the prior version of the bill.)
CS/CS by Finance and Tax on April 12, 2023:
The CS:
Revises the prohibition on special assessments to apply to all special assessments on
agricultural lands;
Defines “agricultural employee” and incorporates the term in language authorizing
housing on agricultural lands for such employees; and
Removes a section from the bill that would have created a sales tax credit for the
rental or purchase of migrant farmworker housing.
CS by Community Affairs on March 22, 2023:
The CS:
Increases the maximum size of permitted housing for migrant farmworkers on
agricultural land from 5,000 to 7,500 square feet per parcel;
Provides that such housing is not eligible for residential uses without further
jurisdiction approval if the property ceases farming operations and loses agricultural
classification; and
Updates references throughout to “migrant farmworkers” to read “legal migrant
farmworkers.” BILL: CS/CS/SB 1184 Page 9
B. Amendments:
None.
This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.