PROPERTY TAX OVERSIGHTDEPARTMENT OF REVENUE

SEPTEMBER 19, 2012

PRESENTED BYCLAUDIA KEMP AND MISHA BROOKS

CHAPTER 12D-13’s JOURNEY

The Rulemaking Process

STATUTORY RULEMAKING PROCESS

Prescribed by Chapter 120, F.S.Administrative Procedures Act (APA)

Statutory requirements are:SubstantiveProcedural

To ensure:Due Process

STATUTORY RULEMAKING PROCESS

Substantive requirements

Purpose• Implemen

t Law • Develop

procedures

Limitations• Statutory

Authority (Rulemaking Authority)

• 4 corners of statute

Content

• Language

• Fulfill purpose of rulemaking

• Stay within Limitations

STATUTORY RULEMAKING PROCESS

Think of it as the:

• Who • What • When • Where • How

Includes:

• Notice Requirements

• Timeframes• Approval from

Governor and Cabinet

• Filing deadlines with Department of State

STATUTORY RULEMAKING PROCESS

Due Process Requirements 5th and 14th Amendments

Due P

roce

ss The right of every person to be free from being deprived of life, liberty or property without due process of law.

Due P

roce

ss Reflected in substantive and procedural requirements.

Due P

roce

ss Citizens must be informed, provided notice and have the opportunity to participate.

STATUTORY RULEMAKING PROCESS

Joint Administrative Procedures Committee (JAPC)

Branch of the legislature

Reviews all rules and monitors adherence to Chapter 120, F.S.

Advises if rulemaking exceeds statutory authority.

Ensures notice and timing requirements are met.

STATUTORY RULEMAKING PROCESS

Department of Revenue

Cabinet agency (FDLE, HMSV, DOR, DVA)

Must go to Governor and Cabinet for approval to take each step in rulemaking.

Dependent on when the Governor and Cabinet meet.

STATUTORY RULEMAKING PROCESS

Other agencies such as DBPR or DCF do not have to get approval.

Their rulemaking process is significantly shorter.

What may take us a year to do, these agencies can take care of in less than 3 months as long as they have followed the requirements of Chapter 120.

PROPERTY TAX OVERSIGHT RULEMAKING PROCESS

The proces

s starts when:• New legislation passes

• Finding in court case requires change

• Issue is identified that requires an amendment, new rule, or form.

PROPERTY TAX OVERSIGHT RULEMAKING PROCESSPrompts development of

an implementation

plan.• Identify rules and forms involved.• Is new rule needed?

• Meet with subject matter experts.• Drafters conduct legal and technical

research.

PROPERTY TAX OVERSIGHT RULEMAKING PROCESS

Create draft

• May be just a couple of amendments to a rule or form;

• Might be amendments to several rules; or

• Need to create new rules (forms).

PROPERTY TAX OVERSIGHT RULEMAKING PROCESS

Internal

review

PROPERTY TAX OVERSIGHT RULEMAKING PROCESS

Public comme

nt

PROPERTY TAX OVERSIGHT RULEMAKING PROCESS

Next step: Schedule rulemaking workshop or repeat review process to improve draft to go to workshop.

ENTER CHAPTER 120 RULEMAKING PROCESS

Flowchart (handout)

Florida Department of Revenue

Property Tax Oversight ProgramTechnical Assistance Unit

Presented by:

Misha Brooks Senior Attorney

Rewriting 12D-13

An Overview of the ProcessREVIEW

REPLACE

RESTRUCTURE

REVISE

RESEARCH

REVIEWING

Conducted an extensive review of 2011-151, Chapter 197 (in its entirety), and 12D-13 rules to understand the current statutes and rules and the changes which would occur as result of the bill.

Identified the time sensitive items which needed our immediate attention and implementation (e.g. Tax Deferral Forms).

Reviewed Attorney General’s Opinions, Agency Bulletins, Advisement Letters and Case Law to get a more comprehensive look at the changes needed.

REPLACING

Reviewed each change to Ch. 197 of the Florida Statutes (as a result of 2011-151, L.O.F), and made the resulting change to 12D-13.

Line by Line changesChanges to date, costs, procedures

Examples of Line by Line changes: “Mailed” replaced with “sending” ;“Shall” replaced with “must; Removing “under the provisions of”Examples of Changes to dates, costs, and procedures: Tax deferral deadline, Amount of a Refund for Department Review

RESEARCHING

Checked the rulemaking authority for each rule and whether all statutes in the “Law Implemented” section were correct.

Consulted subject matter experts within the program for specific and more detailed information on various changes resulting from 2011-151, L.O.F.

Attended Tax Collector’s E-Billing Meeting to get a better understanding how to promulgate “electronic means” rules.

RESTRUCTURING

Reorganized rules to coincide with the reorganization of statutes in 2011-151.

Reorganized rules to separate major categories.

Reorganized rules to enhance the ability to locate procedures and to more closely follow the sequence of events that occur.

REVISING

Removed rule sections with procedures which are no longer accurate or relevant.

Relocated sections where content would be covered more comprehensively in another rule section.

Conducted a plain language review to remove legalese; confusing statements, phrases, and terms; and to edit rule sections that were difficult to understand.

EXAMPLES

EXAMPLE OF ONE TYPE OF RESEARCH

Rulemaking Specific Authority 195.027(1), 213.06(1) FS. Law Implemented 193.072,

193.085, 193.114, 193.116, 193.122, 194.192, 195.002, 195.027, 197.122, 197.123, 197.131,

197.162, 213.05 FS. History–New 6-18-85, Formerly 12D-13.14, Amended 12-31-98, 12-3-

01, .

EXAMPLESEXAMPLES OF REVISIONS

Reconstructing paragraphs

Eliminating excess verbiage

Using common terms

Using active language

Clearly stating who does what and how and when they do it.

Updating terminology

EXAMPLES

(a)Four percent in the month of November;

(b) Three percent in the month of December;

(c) Two percent in the month of January;

(d) One percent in the month of February; and

(e) Zero percent Taxes are payable without discount in March.

EXAMPLES

(3) Any time after the tax collector delivers the original tax roll to the

clerk, the clerk may destroy copies of the tax rolls that were previously

delivered to his or her office. The clerk of the circuit court is authorized,

at any time after the original of the tax roll has been delivered to him by

the tax collector, to destroy the copies of the tax rolls previously

delivered to his or her office. (See Rule 12D-8.017, F.A.C.) The original

tax roll may not be destroyed by the clerk of the court or any other

officer or person until such time as written permission has been obtained

from the Florida Department of State Division of Archives, History and

Records Management.

EXAMPLES

The property owner by waiver may consent to the increase in assessed

valuation and subsequently the taxes by stating that he or she does not

want desire to present a petition to the value adjustment board and that

he or she wants desires to pay the taxes on the current tax roll. If the

property owner consents to the increases makes such a waiver the tax

collector must shall proceed under Rule 12D-13.002, F.A.C.

EXAMPLES

When the taxpayer decides not waives his or her right to petition the

value adjustment board, the tax collector must shall prepare a corrected

notice immediately and shall forward it the same to the property owner.

EXAMPLES

When the new owner or the original owner requests wishes to pay taxes

on his or her proportionate share of the whole property, it is the duty of

the property appraiser to calculate figure the amount of the assessment

on that portion of the whole. However, the request for a split or cutout

must begin shall initiate with the tax collector. The owner may request an

assessment on property to be split or cutout of a larger parcel at any time

from November 1, or as soon thereafter as the tax collector receives the

tax roll comes into the hands of the tax collector, and up until 15 days

before the tax certificate sale, an assessment on property to be split or

cutout of a larger parcel.

EXAMPLESIt shall not be necessary for the property appraiser to furnish hard copies of the

tax roll to any officer or taxing authority if copies of the tax roll are available on

either microfilm or microfiche unless the officer or taxing authority does not

have the necessary equipment or machinery to review microfilm or microfiche

copies of the tax roll and to purchase such items would cause an unnecessary

hardship on the officer or taxing authority. In such case, the property appraiser

shall print a hard copy of the tax roll at the request of the officer or taxing

authority. If the property appraiser intends to print the tax roll on microfilm or

microfiche and no hard copies will be printed, then he or she shall notify the

officer or taxing authority. For purposes of this rule, microfilm and microfiche

includes storage in digital electronic format. The clerk must of the court shall

accept the whatever copy of the tax roll that is certified by the property appraiser

certifies to the tax collector.

EXAMPLES

(c) If there is no other millage figure available, the The millage used in

the calculation for the previous past immediate tax year must shall be

used to compute the prorated taxes if there is no other millage figure

available.

EXAMPLES

All property owners are responsible for knowing held to know that taxes are

due and payable annually. It is the property owner’s responsibility to know the

They are charged with the duty of ascertaining amount of current and delinquent

taxes due.

CHAPTER 12D-13’s JOURNEY

Where Are We Now?

Technical Staff and Subject Matter Experts are working as a group to complete review.

What are we doing?

Making changes as we go through the draft.

What’s Next?

The draft will go through a proofing and editing review and then forwarded to Office of General Counsel for legal review.

CHAPTER 12D-13’s JOURNEY

Going Forward!

•Make appropriate revisions based on legal review.•Ask for approval to go forward in rulemaking.•Post Draft for Public Comment. •Schedule Rule Workshop.

And, the Journey Continues…