State Ex Rel. Sovereign Camp, W.O.w. v. Boring

• Decision Date: 27 November 1935
• Citation: 121 Fla. 781,164 So. 859
• Parties: STATE ex rel. SOVEREIGN CAMP, W. O. W. v. BORING, Tax Assessor.
• Court: Florida Supreme Court

164 So. 859

121 Fla. 781

STATE ex rel. SOVEREIGN CAMP, W. O. W. v. BORING, Tax Assessor.

Florida Supreme Court

November 27, 1935

Original mandamus proceeding by the State of Florida, on the relation of the Sovereign Camp, Woodmen of the World, against John M Boring, as Tax Assessor of Lee County, in which an alternative writ of mandamus issued. On motion to quash the alternative writ.

Motion overruled.

COUNSEL

Henderson & Franklin, of Fort Myers, for relator.

William E. Thompson, of Tampa, and W. H. Poe, of Orlando, for respondent.

OPINION

CAMPBELL Circuit Judge.

The relator upon its sworn petition procured an alternative writ of mandamus to issue from this court against the respondent the allegations of which, after describing the respective parties, are substantially as follows: That from time to time prior to the year 1930, special tax school district No. 1 of Lee county, Fla., a duly and legally created special tax school district, issued its bonds and obligations for the purpose of borrowing money with which to construct school buildings, and for other school purposes; that each of said bonds was of the par value of $1,000 payable to bearer and recited that, for the prompt payment of both the principal and interest thereof, the full faith and credit, and resources of said special tax school district No. 1 of Lee county, Fla., were irrevocably pledged; that said special tax school district No. 1 has, outstanding and unpaid, bonds in the aggregate amount of $600,000, of which bonds approximately $100,000 have long since matured and remained unpaid and uncanceled, and that there are no funds available for the payment thereof; that all the bonds provide for the payment of interest semiannually, the principal maturing from year to year; that during the fiscal year from October 1 1935, to September 30, 1936, in order to meet payment of principal and interest now due, prior to September 1, 1936, special tax school district No. 1 of Lee county, Fla., will require the aggregate amount of $125,990, and the district has no source of obtaining funds to meet its obligations, except by the levy of taxes on the property in said district.

It is further alleged, in substance, that pursuant to the request of the board of public instruction for Lee county, Fla., the board of county commissioners of said county have by resolution caused to be levied a tax of 35 mills on the dollar on all taxable property in said special tax school district No. 1, for the purpose of raising funds to pay the interest on, and the principal of, the bonded indebtedness of the district, for the fiscal year beginning October 1, 1935, and ending September 30, 1936.

It is also alleged that the respondent, as tax assessor of Lee county, Fla., has, pursuant to law, prepared an assessment roll covering the assessment of all property including homestead land in Lee county, Fla., as of the 1st day of January, 1935, which assessment roll shows property in said special tax school district No. 1, including homestead lands; that the assessment roll so prepared shows a valuation of $2,336,438 on the property in special tax school district No. 1, including homestead land, and that of said total value of property within said special tax district, the sum of $491,358 represents the valuation placed upon homestead lands.

It is then alleged in substance that the assessment roll for 1935 has been delivered to and reviewed and equalized by the board of county commissioners of the county of Lee, and the amounts to be raised for state, county, and special tax school districts, and other special tax purposes, have been determined, and the tax assessment roll returned to the respondent, tax assessor of Lee county, Fla., and that it is his duty forthwith to calculate and carry out on said assessment roll the total amount of county taxes, and the total amount of special tax school districts and other special taxes in the several columns prepared for that purpose; that as to homestead lands in said special tax school district No. 1, it is the duty of the respondent to calculate and carry out on said assessment roll where homesteads are shown, the said levy of 35 mills on each dollar, made by the taxing authorities in said district for the purpose of raising money to pay interest and principal on the bonded indebtedness of the district, and that the respondent is engaged in calculating and carrying out on the assessment roll the taxes levied, and is setting opposite the aggregate sum set down as the valuation of real and personal property the respective sums assessed as taxes thereon in dollars and cents; that respondent takes the position, however, that homestead lands are exempt from all taxation, and has announced publicly that he will not extend any taxes against homesteads, and in calculating and carrying out taxes on the assessment roll the respondent is not setting opposite the sum set down as the valuation of homestead land any sum or tax whatsoever, but is refusing so to do, and unless required by the process of the court will continue so to do.

Furthermore, the alternative writ of mandamus alleges in substance that the relator is the owner and holder of certain of the bonds of special tax school district No. 1 of Lee county, Fla., particularly 35 bonds of the issue of November 1, 1913, and 227 bonds of the issue of April 1, 1935, and that 69 of said bonds are now in default, and that 11 additional bonds and interest on all said bonds to the amount of $13,000 will mature October 1, 1936; that the levy of 35 mills on the dollar on taxable property in said district is made for the benefit of all bonds and coupons issued by the district; that should the amount be paid in full, the aggregate amount of $81,725.33 will be raised, which amount is far short of the requirements of the district for debt purposes during the fiscal year October 1, 1935, to September 30, 1936; and that if homestead lands escape taxation, the amount raised will be greatly reduced.

The alternative writ recites the adoption of the amendment to the Constitution of the State of Florida, whereby section 7, article 10 of the Constitution became a part of the organic law of the state on November 6, 1934, and then alleges the following:

'That the amendment to the constitution of the State of Florida, does not exempt homestead lands in said Special Tax School District No. 1 from taxes levied for the purpose of paying principal and interest on the bonds and obligations of said district issued long prior to the ratification of the said amendment to the Constitution of the State of Florida; that the bonds issued by said district created a contract with the holders thereof, and by such contract the full faith, credit and resources of said District are pledged for the payment thereof, and to construe the amendment to the Constitution of the State of Florida to exempt homestead lands in said District from the payment of taxes levied to meet interest and sinking fund requirements on bonds issued prior to ratification of said amendment would deprive the holders thereof of their property without due process of law in violation of the provisions of the Fourteenth Amendment of the Constitution of the United States.'

The alternative writ then commands the respondent, John M. Boring, as tax assessor of Lee county, Fla., to calculate and carry out on the assessment roll for Lee county, Fla., for the year 1935, in special tax school district No. 1 of said Lee county, Fla., as against homestead lands assessed and shown by said assessment roll, the tax of 35 mills on the dollar levied on property in said special tax school district No. 1 for the purpose of paying interest and principal on the outstanding bonded indebtedness of said district, 'setting opposite to the aggregate sum set down as the value of homesteads the said levy of 35 mills in dollars and cents, and to include said amounts in adding up the columns of assessment and taxes contained on said roll, or that upon his failure to do so as therein commanded, he appear * * * and show cause if any there be, for his failure so to do.'

On the return day named in the alternative writ, the respondent filed motion to quash such alternative writ, and we now have this motion before us for consideration.

The several grounds of the motion to quash may be said to advance two principal theories or contentions, why the alternative writ should be quashed, and we state these as follows:

First, that the language of the 'Homestead Tax Exemption Amendment' is to be strictly followed, the result thereof being that homesteads are now exempt from all taxation. And

Second, that the relator should seek to require an increased levy on nonhomestead land rather than to enforce the existing levy against homestead lands.

We here have for consideration another case involving the effect of the 'Homestead Tax Exemption Amendment' to the Constitution, adopted on November 6, 1934, as section 7 of article 10 of the Constitution of Florida, upon bond contracts made by the various taxing units of the state prior to the adoption of such constitutional provision.

In this case special tax school district No. 1 of Lee County, Fla., according to the allegation of the alternative writ of mandamus prior to November 6, 1934, to wit, in November, 1913, and in April, 1925, issued bonds of the district for the purpose of paying for the construction of school buildings in the district and for other school purposes. These bonds were issued under the authority of section 17, article 12 of the Constitution of Florida, as amended in 1912 and in 1924, and of section 593, Revised General Statutes of Florida, section 735, Compiled General Laws of Florida.

Among other things, section 17...