Title: Opinion File 75-25 thru 75-28
Full Citation
Permanent Link: http://ufdc.ufl.edu/WL00003425/00001
 Material Information
Title: Opinion File 75-25 thru 75-28
Physical Description: Book
Language: English
Spatial Coverage: North America -- United States of America -- Florida
Abstract: Buddy Blain's Collections - Opinion File 75-25 thru 75-28
General Note: Box 14, Folder 4 ( Opinion File 1974 - 1975 - 1974-1975 ), Item 53
Funding: Digitized by the Legal Technology Institute in the Levin College of Law at the University of Florida.
 Record Information
Bibliographic ID: WL00003425
Volume ID: VID00001
Source Institution: Levin College of Law, University of Florida
Holding Location: Levin College of Law, University of Florida
Rights Management: All rights reserved by the source institution and holding location.

Full Text
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PA 4sbmmt ins, 7rr. r.-

April 16, 1975

Mr. Robert L. Wataoa, Direior
Real Istate Division
SeNudfat frloida water
sanaeft District
P. b. bos 457
Brookaville, Florida 33S12
Re: Pro ration of ad valorm taxes on purchases of land
by the District

Dear Bob:
Section 13 of Chapter 74-234, ,Ae of Florida, effective July
1, 1974,, amSned Sefbo4 l197.,12 7lorida Statutes. This section
relates to the o lSaaon amd payment of ad valoram tas on
roal property liftb within the State. In pertinent part, this
oe tion as mted, reads as follows:
"In the eant fee title to smah property shall be
~~ai d o the first da' ofj Janary in any such year
a befte the first day of iteber ia such year by
a govetawental auni emt uader this Chapter by pur-
chim, cond4mation or Otherwise for use emltsively
for federal, tate, county or rmmicipal purpose, the
tax shr shall be requiSd to plao in ersw With the
Tax ACtetr of the s:ity into fiAh the prcwg ls
located an amedat @4 to 120 percent of the iIsous
year's tax bill. Thi is shall be used to pay any
ad valcori taws due and the remainder shall be returned
to the tax payer."

This section has a dtreet impat n onu clor as proeiatfr for
parcels we are acquiring for the District from landowoo who sign
ootracts with the Di.riat. hen we tloae a real ea tramaf*t4
for the the Digatot, it ia nee-~ry that a sn of moey qm: a
1204 of the preieww year's total tax bill be placed in eerw ith
ete Colleotorof th e a I Ja bibh .tbe lead is laated. Tn,
aen the tax Mo e-AS tthe Tsp Colitor in Uevemap of
the year la whifa theO- fo- ocsred, all anye ia e ssoie Iee
tax bill for t*at ye: l be return diet to the 1
the Tax Colleetor.


Mr. Robert L. Watson

Under the cirostanoes, I feel that paragraph 5 of the agreement
form with the sellers should be immediately amended to. read as follows
"S. Tams, aoses mnts and rents shall be pro rated as of tjb
date of delivery of possession, and the cash payment shall be
iereased or deceased "as required by the pro ration of said
igsr provided, however, that if this sale shall close
prior to the date that the tax notices for the current
year are isesed by the Tax Collector of the county in which
said land is located, then 120t of the previous year's total
tax bill shall be withheld at closing and placed in escrow
with the Tax Colleetor pursuant to section 13 of Chapter
74-234, Laws of lorida, 1974, and, at the time the taxes
for the ourcent year are ascertained, the buyer shall pay
to the seller its pro rata share of said taxes."
As to the agreents that have all ready been executed and recorded,
I believe that if any county brings up this particular law, it would
be for the best interest of the District financially to deposit the
120% of the previous year's tames with the county, withthhe under-
standing, of ooarse, that any excess amounts n deposit over the
actual tax for the year of closing be refunded to the District.
In view of the small amounts involved, we have sent the agreemats
on parcels 10-200-319 and 540 to the Clerk for recording. It is *y
opinion that it would be better, frame the District's vi*i point, to
close these agreeants ad advance the amount to be placed in eaaorm
with the Tax Collector than to renegotiate the agreements.
We have also reprsde agreements on certain parcels in the Lower
Hill boragh fl1od 'Detention Area, because believe we have no
problem as far as Iillsborough County is concerned, saace the Ta
Collector heme has been cutting off the taxes as of the date of
If you hve any questions or suggestions concerning these atters,
please let me hear froa you.
Yours very truly

Myron G. Gibbons

coa Mr. Wayne Sangster
Nr. Walt 8iemann

S, 71527

MEMO TO: Myron Gibbons
SL.M. Blain
Rosemary Becker /


DATE: January 31, 1975

Re: Proration of ad valorem taxes on purchases of land
via Agreement for the Water Management District

Section 13 of Chpater 74-234, Laws of Florida, effective July 1,
1974, amended Section 197.012 Florida Statutes. This section
relates to the collection and payment of ad valorem taxes on real
property located within the state. In pertinent part this section
as amended reads as follows:

"In the event fee title to such property shall
be acquired on the first day of January in any
such year and before the first day of November
in such year by a governmental unit exempt under
this Chapter by purchase, condemnation or other-
wise for use exclusively for federal, state,
county or municipal purposes, the tax payer shall
be required to place in escrow with the Tax Col-
lector of the county in which the property is
S located an amount equal to 120 percent of the
previous year's tax bill. This fund shall be
used to pay any ad valorem taxes due and the
remainder shall be returned to the tax payer."

This section has a direct impact on our closing procedures for
parcels we are acquiring for SWFWMD from landowner who sign
contracts with the District. For instance, if we close a real
estate transaction for the District on or after January 1st and
before November 1st of any year, it be necessary that the District
or the seller place in escrow with the Tax Collector of the
county in which the land is located a sum of money equal to 120
percent of the previous year's total tax bill. With the co-
operation of the Tax Collector in the county in which the property
is located, proration of the money placed in escrow with him will
occur after November 1st of the year in which the closing occurred.
At that time, all monies in excess of the prorated tax bill of the
landowner will be returned to the landowner by the Tax Collector

Thus, insofar as our present contract calls for proration of
taxes at the time of closing, and which in practicality means
proration based on the previous year's tax bill, our contract
of purchase with a seller appears to be contrary to the provisions
of this statute. Full compliance with this statute will require
that no proration of taxes occur at closing.

January 31, 1975 2

SAs I understand matters, we have closed on a number of Agreements
subsequent to July 1, 1974 without following this procedure.
Whether the Tax Collector in the various counties which are
affected will contact the Water Management District or the in-
dividual sellers with regard to compliance with this statute is
unclear in my mind at the present time. In all likelihood, we
will be receiving inquiries from the former owners of these parcels
concerning this matter and each of us should be familiar with this
statute in order to respond to these inquiries effectively.

In my opinion, our standard contract should be amended as quickly
as possible in order to insure compliance with this statute. I
suggest that this be brought to the attention of the Real Estate
Division of the district, and if necessary, the Governing Board.
I might add at this point, that Walt'Siekmann has advised me that
the Tax Collector in Lake County, Florida, has contacted him
regarding recent closing in Lake County. If any of you are aware
of any pending closings that will occur prior to November 1, 1975,
I suggest that you contact the seller and discuss this matter with
him prior to closing.


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