The 2009 Florida Legislature enacted new statutory provisions implementing the Constitutional amendment for assessment and exemption of (1) property dedicated in perpetuity for conservation use (conservation easement), and, (2) land used for conservation purposes, but not dedicated in perpetuity.  Forms DR-418C and DR-482C are available on the Department of Revenue website.

 

New form DR-418C is available for property dedicated in perpetuity for conservation use.  Current Florida statutes define conservation easement as perpetual.  The property must comply with Florida Statute 196.26 (see Tax Law Library on Department of Revenue website).  The application requires an attached copy of the conservation easement conveyance and the mandatory baseline documentation.  All of the conservation easement property used exclusively for conservation purposes is 100% exempt from property tax.  If the property is used for allowed commercial purposes, including agriculture/forestry, 50% of the land value is exempt.  An applicant must state the requested exemption category.  Breach results in tax recapture, 18% interest, and 100% penalty. 

 

Rules and guidelines are not available at this time.  We are still unable to answer some questions received from property owners during 2009:  If the property is used for allowed non-agricultural commercial purposes, is the 50% exemption applied to a market value or a current use value?  If the property is used for allowable commercial agricultural uses, is the 50% exemption applied to a classified use agricultural value or rural market land value?  If the answer to the previous question is affirmative, is an application for agricultural classification also required?

 

New form DR-482C is available for land used for conservation purposes, but not dedicated in perpetuity.  This conservation use classification is not new; the Legislature only provided for an application form and penalties for breach, both missing from the previous statutory language.  The property must comply with requirements provided in FS 193.501.  The term of the agreement, covenant, or other documentation must be at least 10 years.  A copy must be attached to the application.  Qualified property receives a current use assessment, not an exemption.  Breach results in tax recapture, 15% interest, and 50% penalty.

 

FS 193.501 provides this conservation current use assessment and classification only for land in one of the following 4 categories where the owner or owners have conveyed development rights or covenanted the property with certain boards of public agencies, charitable organizations, or trusts:  (1) land subject to a conservation easement as provided in FS 704.06(1); (2) land qualified as environmentally endangered and designated by resolution of the municipality or county where located; (3) land designated as conservation land in a comprehensive plan adopted by the municipality or county where located; and, (4) land used for outdoor recreational or park purposes.

 

Rules and guidelines are not available at this time.  Unanswered questions at this time:  If the property is not in agricultural use, how will the assessment be determined?  If the property is in agricultural use, will the assessment be the same as an agricultural assessment?  Will an application for agricultural classification be required?