Viewpoint published in The Pensacola News Journal Sunday, January 14, 2007

Chris Jones -

    A number of people have approached me recently with complaints and questions
concerning an increase in their property tax bills. I understand their concern and
welcome the opportunity to clarify the role this office has in the process.

    As your Property Appraiser, it is my duty to determine the value of all property as
of January 1 of each year and to administer any property exemptions. To accomplish this
my office reviews property sales from the previous year and other required data to
determine an estimated value for each parcel of property within the county. Once again,
the determination of value is based largely on market activity from the previous year;
what the free market indicates properties are worth.

    "The estimated value determined by this office is then audited by the Florida
Department of Revenue to ensure compliance with Florida law and once that
determination is made, property values are certified."

    What happens next is the audited values are passed to the various taxing,
authorities, each governed by elected officials. Those authorities are Escambia County,
the City of Pensacola, the Town of Century, the Escambia County School Board and the
Northwest Florida Water Management District. Each authority levies a property tax and
each elected body determines individually what tax rate to levy. These are the the rates that
determine the amount of property tax that you pay. Once again, the Property Appraiser's
Office has nothing whatsoever to do with determining at what level the taxing authorities
set the millage or tax rates.

    For example, should the assessed value of your property increase as most did last
year, the various taxing authorities have it in their power to do one of several things:

• Hold the millage or tax rate steady. A steady tax rate has the effect of
  generating more tax revenue for the taxing authority because property
  owners pay the same rate on property whose value has increased. Rising
  property values and a steady millage rate results in increased property
  taxes and increased revenue to the taxing authority.
• Increase the millage or tax rate, which has the effect of generating even
  more revenue. In that case your taxes will increase even more.
• Decrease the millage or tax rate, which, depending on the amount of the
  reduction, can have the effect of holding taxes steady, increasing them
  marginally or decreasing taxes.

    One thing to remember is that because of the Save Our Homes Amendment to
the Florida Constitution, property value increases on homesteaded property are capped at a
maximum of three percent annually. However, non-homesteaded properties such as
commercial properties, residential rentals, or second homes are not included under the
amendment.

    Because of market activity in 2005 and 2006, property values increased
significantly. Those increased values, in the 30% range, presented local taxing
authorities with what some property tax watchdog groups refer to as a potential
“windfall” of tax revenue. What each taxing authority chose to do with any windfall was
entirely their decision, not mine.

    As your property appraiser, it is my responsibility to determine the value of
property within Escambia County. It is not my responsibility to determine the rate of
taxation, how much money is raised or how those tax dollars are spent.

    If you have questions or would like more information, contact me at (850)-434-2735