00                     CS FOR SENATE BILL NO. 259(CRA)                                                                    
01 "An Act relating to an optional municipal limit to increases of the full and true value of                              
02 property occupied as housing."                                                                                          
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1. AS 29.45.110 is amended by adding a new subsection to read:                                           
05 (f)  A municipality may, by ordinance, prohibit the assessor from increasing                                            
06 the assessed value of real property over the previous year's assessed value by a                                        
07 percentage amount. The percentage amount may not be less than three percent nor                                         
08 more than 10 percent. Notwithstanding (a) of this section or standards adopted by the                                   
09 department under (e) of this section, the full and true value of a property assessed                                    
10       under an ordinance adopted under this subsection is equal to the assessed value. The                              
11       state may not penalize a municipality for adopting an ordinance under this subsection.                            
12       An ordinance adopted under this subsection                                                                        
13                 (1)  may include other requirements to administer and enforce the                                       
14       ordinance;                                                                                                        

01                 (2)  must require that the real property is occupied as housing;                                        
02 (3)  must allow the assessor to increase the assessed value of the                                                      
03 property if the property is improved or ownership of the real property is transferred to                                
04 the estimated price that the property would bring in an open market and under                                           
05 prevailing market conditions in a sale between a willing seller and a willing buyer                                     
06       both conversant with the property and with prevailing general price levels; and                                   
07 (4)  must require the assessor to increase the assessed value of the                                                    
08 property every 10 years to the estimated price that the property would bring in an open                                 
09 market and under prevailing market conditions in a sale between a willing seller and a                                  
10       willing buyer both conversant with the property and with prevailing general price                                 
11       levels.