CSHB 379(FIN): "An Act relating to the limitation on the value of property taxable by a municipality; and providing for an effective date."
00 CS FOR HOUSE BILL NO. 379(FIN) 01 "An Act relating to the limitation on the value of property taxable by a municipality; 02 and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 29.45.080(c) is amended to read: 05 (c) A municipality may levy and collect a tax on the full and true value of that 06 portion of taxable property taxable under AS 43.56 as assessed by the Department of 07 Revenue which value, when combined with the value of property otherwise taxable by 08 the municipality, does not exceed the product of the percentage determined in (f) of 09 this section [225 PERCENT] of the average per capita assessed full and true value of 10 property in the state multiplied by the number of residents of the taxing municipality. 11 * Sec. 2. AS 29.45.080(d) is amended to read: 12 (d) Each [BY FEBRUARY 1 OF EACH] assessment year, a taxing 13 municipality shall inform the Department of Revenue, by 14 (1) February 1, which method of taxation the municipality will use;
01 and 02 (2) May 1, the 03 (A) total value of the municipality's locally assessed 04 property tax base; and 05 (B) payment amount for the principal of and interest on 06 bonds that the municipality intends to apply in its mill rate calculation for 07 the fiscal year corresponding to the tax year for which the assessment 08 method selected by the municipality under this section will apply. 09 * Sec. 3. AS 29.45.080 is amended by adding a new subsection to read: 10 (f) The percentage in (c) of this section is based on the total tax rate 11 established by the municipality and levied each year under AS 43.56.010(b) and is as 12 follows: 13 If the tax rate determined under AS 43.56.010(b) is: The percentage is: 14 Not more than 18.0 mills 375 percent 15 More than 18.0 mills but not more than 19.0 mills 300 percent 16 More than 19.0 mills 225 percent 17 * Sec. 4. AS 29.45.090(b) is amended to read: 18 (b) A municipality, or combination of municipalities occupying the same 19 geographical area, in whole or in part, may not levy taxes 20 (1) that will result in tax revenues from all sources exceeding $1,500 a 21 year for each person residing within the municipal boundaries; or 22 (2) on [UPON] value that, when combined with the value of property 23 otherwise taxable by the municipality, exceeds the product of the percentage 24 determined in (e) of this section [225 PERCENT] of the average per capita assessed 25 full and true value of property in the state multiplied by the number of residents of the 26 taxing municipality. 27 * Sec. 5. AS 29.45.090(c) is amended to read: 28 (c) The commissioner shall apportion the lawful levy and equitably divide the 29 tax revenues on the basis of need, services performed, and other considerations in the 30 public interest if two or more municipalities occupying the same geographical area, in 31 whole or in part, attempt to levy a tax
01 (1) the combined levy of which would result in tax revenues from all 02 sources exceeding $1,500 a year for each person residing within the municipal 03 boundaries; or 04 (2) on [UPON] value that, when combined with the value of property 05 otherwise taxable by the municipality, exceeds the product of the percentage 06 determined in (e) of this section [225 PERCENT] of the average per capita assessed 07 full and true value of property in the state multiplied by the number of residents of the 08 taxing municipality. 09 * Sec. 6. AS 29.45.090 is amended by adding a new subsection to read: 10 (e) The percentage in (b) and (c) of this section is based on the total tax rate 11 established by the municipality and levied each year under AS 43.56.010(b) and is as 12 follows: 13 If the tax rate determined under AS 43.56.010(b) is: The percentage is: 14 Not more than 18.0 mills 375 percent 15 More than 18.0 mills but not more than 19.0 mills 300 percent 16 More than 19.0 mills 225 percent 17 * Sec. 7. AS 43.56.010(c) is amended to read: 18 (c) If the total value of assessed property of a municipality taxing under 19 AS 29.45.080(c) exceeds the product of the percentage, as determined in 20 AS 29.45.080(f), [225 PERCENT] of the average per capita assessed full and true 21 value of property in the state, to be determined by the department and reported to each 22 municipality by January 15 of each year, multiplied by the number of residents of the 23 taxing municipality, the department shall designate the portion of the tax base against 24 which the local tax may be applied. 25 * Sec. 8. The uncodified law of the State of Alaska is amended by adding a new section to 26 read: 27 APPLICABILITY. Sections 1 - 7 of this Act apply to tax years beginning after 28 December 31, 2014. 29 * Sec. 9. This Act takes effect July 1, 2014.