txt

SCS CSHB 264(CRA): "An Act allowing a deferral of municipal property taxes on the increase in the value of real property attributable to subdivision of that property; relating to municipal taxation of oil and gas production and pipeline property; and providing for an effective date."

00                SENATE CS FOR CS FOR HOUSE BILL NO. 264(CRA)                                                             
01 "An Act allowing a deferral of municipal property taxes on the increase in the value of                                 
02 real property attributable to subdivision of that property; relating to municipal taxation                              
03 of oil and gas production and pipeline property; and providing for an effective date."                                  
04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
05    * Section 1. AS 29.45 is amended by adding a new section to read:                                                  
06            Sec. 29.45.051. Tax deferral for certain subdivided property. (a) A                                        
07       municipality may by ordinance permit deferral of payment of taxes on all or a portion                             
08       of the increase in assessed value directly attributable to                                                        
09                 (1)  the subdivision of a single parcel of property into three or more                                  
10       parcels; and                                                                                                      
11                 (2)  any improvements made to the property necessitated by its                                          
12       subdivision.                                                                                                      
13            (b)  A deferral from taxation allowed under (a) of this section shall be limited                             
14       to a maximum period of five years. A municipality may by ordinance provide for the                                
15       deferral of payment of taxes permitted under (a) of this section to be of a shorter                               
01       duration.                                                                                                         
02            (c)  Subject to (b) of this section, a municipality may also by ordinance provide                            
03       that                                                                                                              
04                 (1)  the deferral is terminated when                                                                    
05                      (A)  a lot in the subdivision is sold; or                                                          
06                      (B)  a residential or commercial building is built on a lot in the                                 
07            subdivision; or                                                                                              
08                 (2)  the deferral continues for the unsold lots in the subdivision after                                
09                      (A)  a lot in the subdivision is sold; or                                                          
10                      (B)  a residential or commercial building is constructed on a lot                                  
11            in the subdivision.                                                                                          
12    * Sec. 2. AS 29.45.080(a) is amended to read:                                                                      
13            (a)  A municipality may levy and collect taxes on the full and true value of                             
14       taxable property taxable under AS 43.56 as valued by the Department of Revenue                                
15       [ONLY BY USING ONE OF THE METHODS SET OUT IN (b) OR (c) OF THIS                                                   
16       SECTION].                                                                                                         
17    * Sec. 3. AS 29.45.080(b), 29.45.080(c), 29.45.080(d), 29.45.080(e), 29.45.090(b),                                 
18 29.45.090(c), 29.45.090(d); and AS 43.56.010(c)  are repealed.                                                        
19    * Sec. 4. This Act takes effect July 1, 2012.