1. This is an action for declaratory relief where the amount in controversy is in

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1 Filing # E-Filed A4:20:I4PM IN THE CIRCUIT COURT OF THE IOTH JUDICIAL CIRCUIT IN AND FOR POLK COUNTY, FLORIDA LAKELAND HIGHLANDS ROAD FACILITY, LLC, CASE NO CA Plaintiff, vs. MARSHA FAUX, as Property Appraiser of Polk County, Florida; JOE G. TEDDER, as Tax Collector of Polk County, Florida; and MARSHALL STRANBURG, as Executive Director of the State of Florida Departnent of Revenue, Defendants. COMPLAINT FOR DECLARATORY BELIEF Plaintiff, Lakeiand Highlands Road Facility, LLC ("Taxpayer'), sues Defendants, Marsha Faux, as Property Appraiser of Polk County, Florida ("hoperty Appraiser"); Joe G. Tedder, as Tax Collector of Polk County, Florida C'Tax Collector"); and Marshall Stranburg, as Executive Director of the State of Florida Department of Revenue ("Executive Director"), and alleges: GENERAL ALLEGATIONS 1. This is an action for declaratory relief where the amount in controversy is in excess of $15,000.00, exclusive of interest, attomeys' fees and costs. This Cowt has exclusive and original jurisdiction over this action pursuant to Florida Statutes Sf , l, I and l94.17l. Yenue is proper in Polk County as the real property at issue and corresponding ad valorem taxes are situated here. RENNAIT }lxif,l il'iai\'dler & RODRI(;IIE7-, PA., ATTOS*EYS A"T LU\..' XM{ TK)OR, MIN{I'Ib$T,B 100 s.e. 9ND STREET. ML{,Mr, }-r,orrda s3l3l-2130.'l'el. (305) 577-d 177. }'A,\ B0$ il7&60}6

2 Comptaint for DeclaratorY Relief Lakeland Ilighlands Road Facility, LLC v' Faur, et al' Page 2 Z. Taxpayer is a duly registered Florida limited liability company and is authorized to conduct business in the State of Florida. 3. property Appraiser is the duly elected Property Appraiser of Polk County, Florida, and is charged with the responsibility of discharging the duties of said office. 4. Tax Collector is the duly appointed and acting trax collector for Polk County, Florida, and is charged with the responsibility of discharging the duties of that office. 5. Deparhment is named as a Defendant to this action as mandated by Florida Statutes $194.1S1(5), because the tax assessment is also being contested on the grotmds that it is contrary to the laws and Constitution of the State of Florida. 6. Taxpayer is the owner of real property located in PoIk County and identified as Folio No t ' (the "Property"). 7. As of January 1, 2015, the Property was, and remains, operating as a non-profit assisted living facility licensed under Chapter 4Z9,Floida Statutes. 8. Taxpayer is whotly owned by its sole member, Community Living Options, lnc., an Illinois Non-profit Corporation ('CLO'), which is tecognized under the lnternal Revenue Code as a 501(c)(3) charitable tax-exempt organization' g. Siuce Taxpayer is a single member owned limited liability company, the Internal Revenue Service treats Taxpayer as a tax-exempt orgaaization because its sole member, CLO, is an lnternal Revenue Code 501(c)(3) charitable tax-exempt organization' 10. Florida Statutes $ provides that "properry owned by a limited liability company, the sole member of which is an exempt entity, shall be treated as if the property were owned directly by the exempt entity." Since the Property is owued by Taxpayer and operating as RtNNEKrtrt)CDL MAr\DUR& llodrkxrez, P.A., ATTok\EYs,{1'fr\\\r, 2yIH [L(x)R, il'il\'\{i Tt)\tTitt t00 s.e. 2ND SrREr;f, ML{MI, I.'L()IuDA ' TEL (i}05) 577-'U77 ' tla}i (31}.5)

3 Complaint for DeclaratorY Relief Lakelnnd Highlands Road Facility, LLC v. Faux' et al Page 3 a non-profit assisted living facility, whose sole member, CLO, is a charitable tor-exempt orgadzation, the Property is owned by an exempt entity and being used for an exempt pwpose' taxation. I 1. Historically, the Property received a charitable exemption from ad valorem 12. However, as a result of a restructuring n 2A12, and the ensuing change in ownership from a Florida Not For Profit Corporation to an Illinois Not For Profit Corporation, the exemption was thereafter removed by the Property Appraiser. Despite the change in ownership entities, there was no change in operations at the Property. 13. During 2015, Taxpayer filed with the Property Appraiser an Ad Valorem Tax Exemption Application in connection with the Property. 14. On or about June 19, 2A15, Property Appraiser denied Taxpayer's Exemption Application concluding that'.'the subject property is being operated as a home for the aged and therefore must meet the ownership requirements set forth in FIa. Stet' " A true and correct copy of the Property Appraiser's Denial Letter is attached hereto as Exhibit "A". COUNT I _ DECLARATORY RELIEF: FLORIDA STATUTES $r96.r97s(1) IS UNCONSTITUTIONAL A}[D TNKPAYIR IS ENTITLED TO CHAITITABLE EXEMPIION 15. Taxpayerrealleges paragraphs I through 14 above. 16. Florida Statutes S (1) requires nonprofit homes for the aged applicants to be a corporation not for profit, or a Florida limited partnership, the sole generai partner of rryhich is a corporation not for profit pursuant to Chepter 617, Florida Statutes. 17. Florida Statutes S (l) is unconstitutional because it discriminates against, and unlawfully treats differently, foreign not for profit entities from Florida not for profit entities. There is no rational basis for the disparate and unfavorable heatment that Florida RENNERT\lx;trL MANDLIR & RODRXT(IEa P.A.,.t'r-IoRNEYIi AT lr'$l',2!rih f'l(x)r, MLL\fl'r(X\ER 100 s.e. 2ND STnl:Er, Mr.tur, tuorrda ts :10.?ur.. (305) 577i1177. l-a,\ 605) ii73{036

4 Complaint for Declaratory Relief Lakeland Eighlands Road Facility, LLC v. Fauxo et al Page 4 Statutes { (1) creates against foreign not for profit entities. Florida Statutes $ 196,1975(1) violates equal protection and due process rights which are afforded under the United States Constitution and the Florida Constitution. See WHYY, Inc. v. Borough af Glassboro,39l U.S, 117 (1968) and Miller v. Board af Pensions, 431 So.2d 350 (Fla. sth DCA l983)(requiring the Properly Appraiser to apply provisions of Florida Statute S to applicant as if Florida corporation criterion did not exist). 18. It was untawful for the Property Appraiser to deny Taxpayer of its requested exemption from ad valorem taxation and Taxpayer is contesting the unlawful denial. 19. In order to preserve its right to appeal the denial of its charitable exemption reques! Taxpayer has paid in full the ad valorem taxes assessed by the Property Appraiser as required under Florida Statutes (4). Evidence of suchpayment is attached as Exhibit..Brr. 2A. There is a bona fide, actual, present practical need for the declaration. 21. The declaration deals with a present couhoversy as to a concrete state of facts. 22. Taxpayer's rights are dependent upon the facts or the law applicable to the facts. 23. Taxpayer has an actual, present, adverse and antagonistic interest in the subject matter, either in fact or law. 24. Taxpayer's antagonistic and adverse interests are all before the court by proper process. 25. The relief sought is not merely the giving of legal advice by the courts or the answer to questions propounded from curiosity. 26. Taxpayer witt be irreparably damaged if the charitable exemption is denied for 2015 and Taxpayer is forced to pay the full ad valorem tax based on the $2,939,840 assessment. REr\Nf,RTV0(;DLIVIANDuIR& RoDRI(XlEz, P.A.,.t'moR\Eys AT [r\\l',2!rih H{)OR, IVIL\MI To\rtR t 00 s.e. 2ND s"rresr, MrAMr, ldorlda 3313 t ' 'l-el. (305) ? '!-Ax &6036

5 Complaint for DeclaratorY Relief Lakeland Highlands Road facility, LLC v. f,'aux, et al. Page 5 judgment: WHEREFORE, Taxpayer respectfully requests that this Court enter a declaratory i. Declaring that Florida Statutes S 196. I 97 5(1) is unconstitutionai to the extent that it unlawfully discriminates against, and unjustly treats differently, foreign not for profit entities from Florida not for profit entities; ii. Declaring that Taxpayer is entitled to exemption from paylng any ad valorem taxes in 2015 in connection with the Property; iii. Directing such adjustments between the Taxpayer and Defendants as may be necessary in connection therewith, including but not limited to, refunding the 2015 ad valorem taxes paid by the Taxpayer; iv. Awarding Taxpayer its costs pursuant to Florida Statutes $ ; aad, v. Granting such other and further relief as this Court deems just and proper. COUNT II. DECLARATORY RELIBF: TAXPAYER IS ENTITLED TO CHARITABLE FROM AI} VALOREM TAXATION 27. Taxpayer realleges paragraphs 1 through 14 above. 28. Florida Statutes S provides that "[a]ll properfy owned by an exempt entity...used exclusively for exempt purposes shall be totally exempt from ad valorem ta)gtion." 29. Florida Statutes S {3) provides that "... property owned by a limited liability company, the sole member of which is an exempt entity, shall be treated as if the property were owned directly by the exempt entity." Both Taxpayer and CLO are exempt entities. 30. Siuce the Propertry is owned by an exempt entity and used exclusively for exempt pulposes, and there is no statute which either (i) specifically addresses exemptions for non-profit llxliner'rtrtx;el, NIANDER&R()DRr;UEZ, P-L, Af-R)RNEYSAl'lr$Y,29TH l')j)()r, MI?L\I['R)11'ER 100 S"E. 2ND SrnEsr, ML{MI, FLoND,r $0.'l}L. (305} 577''1177 ' FAx 1305) 37&6036

6 Complaint for Decloratory Relief Lakeland Ilighlands Road Bacility, LLC v. Faux, et al. Page 6 "assisted living facilities;" or (iil places requirements beyond the terms of Florida Statutes $ on non-profit "assisted living facilities," Taxpayer is entitled to a charitable exemption from ad yalorem taxation uoder Florida Statutes S It was unlawfirl for the Property Appraiser to deny Taxpayer of its requested oxomption from ad valorem taxation and Taxpayer is contesting the unlawful denial. 32. ln order to preserve its right to appeal the denial of its charitable exemption request, Taxpayer has paid in full the ad valorem ta(es assessed by the Property Appraiser as required under Flarida Statutes $ (4). Evidence of such paynrent is attached as Exhibit "8", 33. There is abona fide, actual, presentpracticalneedforthe declaration. 34. The declaration deals with a present controversy as to a concrete state of facts. 35. Taxpayer's rights are dependent upon the facts or the law appiicable to the facts. 36. Taxpayer has an actual, presen! adverse and antagonistic interest in the subject matter, either in fact or law. 37. Taxpayer's antagonistic and adverse interests are all before the court by proper process. 38. The relief sought is not merely the giving of legal advice by the courts or the answer to questions propounded from curiosity. 39. Taxpayer will be irreparably damaged if the charitable exemption is denied for 2015 and Taxpayer is forced to pay the full ad valorem tax based on the $2,939,840 assessment. WHEREFORE, Turpayer respectfully requests that this Court enter a declaratory judgment: RI.]NNEaT tr'(x;]tl. MANDT,ER & IIODru(XIEZ, P.Id, A.fl..oRNEYS AT l/r\t,' 2!NH II.(X)B, MIAi{I 1.t)$1.}t 100 S.E,2NDS'rRxE'r, MIAMI,l.tr)RIDA $llt:, "ml. (.il05i ,177' FAx (80r 37M036

7 Complaint for DeclaratorY Relief Lakeland Highlands Road Facility, LLC v. Faux, et al' PageT i. Declaring that Taxpayer is entitled to exemption from paylng any ad valorem taxes in 2015 in connection with the Property; ii. Directing such adjustments between the Taxpayer and Defendants as may be necessary in connection therewith, including but not limited to, refundfurg the 2015 ad valorem taxes paid by the Taxpayer; iii. Awarding Taxpayer its costs pursuant to Florida Statutes $ ; and iv. Granting such other and firther relief as this Court deems just and proper. RENNERT VOGEL MANDLER & RODRIGUEZ,P.A. Attorneys for Plaintiff 100 S.E. Second Sheel Suite 2900 Miami, Florida Telephone: {305) 577-4t77 Facsimile: (305) Primary servicetax&)rvmrlaw.qom Secondary djuarez@rvmdalv.com By /sl Jason R. Block JEFFREY L. MANDLER Florida Bar No JASON R. BLOCK Florida Bm No RU\N[R'[ \.,(X}EL IVLI,NDI.ER & RODru(X TEZ, P.A,, A'ffORNIiYS,TT L\\\', 2$ftI [L(X)R, I'IL\\II T(XISJT tm S.E. 2ND S.rREEr, MIAMI, t't$rida TDL (305) t-ax {3{15)