HB 676-FN-LOCAL – AS INTRODUCED
2009 SESSION
10/01
HOUSE BILL 676-FN-LOCAL
AN ACT relative to the reappraisal for tax purposes of property damaged by a natural disaster.
SPONSORS: Rep. Hinkle, Hills 19; Rep. G. Andersen, Graf 11
COMMITTEE: Local and Regulated Revenues
This bill allows for property damaged in a natural disaster where the governor has declared an emergency to have the value of the property reappraised for property tax purposes in the tax year of the damage.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
09-0663
10/01
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Nine
AN ACT relative to the reappraisal for tax purposes of property damaged by a natural disaster.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Property Tax Year. Amend RSA 76:2 to read as follows:
76:2 Property Tax Year. The property tax year shall be April 1 to March 31 and all property taxes, except for reduced assessments on property damaged in a natural disaster as provided in RSA 76:21, shall be assessed on the inventory taken in April of that year.
2 New Subdivision; Reduced Assessment for Property Damaged in a Natural Disaster. Amend RSA 76 by inserting after section 20 the following new subdivision:
Reduced Assessment for Property Damaged in a Natural Disaster
76:21 Reduced Assessment for Property Damaged in a Natural Disaster.
I. Whenever a building on a parcel of taxable property is rendered uninhabitable or unusable as a result of damage in a natural disaster and where a state of emergency is declared by the governor arising out of the natural disaster, the parcel, upon application to the municipal assessing officials, shall be reassessed for purposes of property taxation as of the date of the declaration of the state of emergency, and the reduced assessment shall reflect a determination of the market value of the parcel as provided in RSA 75:1. A reassessment conducted under this section shall be completed by the municipal assessing officials within 30 days.
II. The reduced assessment shall apply to the final tax bill with respect to the parcel for the tax year in which the damage occurs until the end of the that property tax year. The reduced assessment shall be applied by the selectmen or assessors to biannual or quarterly tax billings, as applicable. Any tax paid for the year shall be applied to the reduced tax due for the property tax year.
III.(a) If the assessing officials deny in whole or in part any application for reassessment under this section, the applicant may, on or before 30 days after any such action by the assessing officials, in writing and upon a payment to the board of tax and land appeals of a $40 filing fee, apply to such board for a review of the action of the assessing officials.
(b) The board of tax and land appeals shall investigate the matter and shall hold a hearing if requested. The board of tax and land appeals shall make such order thereon as justice requires and such order shall be enforceable as provided hereafter.
(c) Upon receipt of an application under the provisions of paragraph I, the board of tax and land appeals shall give notice in writing to the affected town or city of the receipt of the application by mailing such notice to the town or city clerk thereof by certified mail. Such town or city may request in writing a hearing on such application within 30 days after the mailing of such notice and not thereafter. If a hearing is requested by a town or city, the board of tax and land appeals shall, not less than 30 days prior to the date of hearing upon such application, give notice of the time and place of such hearing to the applicant and the town or city in writing. The board of tax and land appeals shall not be bound by the technical rules of evidence.
(d) The applicant and the town or city shall be entitled to appear by counsel, may present evidence to the board of tax and land appeals and may subpoena witnesses. Either party may request that a stenographic record be kept of the hearing. Any investigative report filed by the staff of the board of tax and land appeals shall be made a part of such record.
(e) A party aggrieved by the decision of the board of tax and land appeals may appeal pursuant to the provisions of RSA 71-B:12.
3 Effective Date. This act shall take effect April 1, 2009.
LBAO
09-0663
Revised 03/02/09
HB 676 FISCAL NOTE
AN ACT relative to the reappraisal for tax purposes of property damaged by a natural disaster.
FISCAL IMPACT:
The Board of Tax and Land Appeals states this bill will increase state revenues and expenditures by an indeterminable amount in FY 2009 and each year thereafter. The New Hampshire Municipal Association states this bill will increase local expenditures by an indeterminable amount in FY 2009 and each year thereafter. This bill will have no fiscal impact on county expenditures or county and local revenues.
METHODOLOGY:
This bill allows for property damaged in a natural disaster where the Governor has declared an emergency to have the value of the property re-appraised for property tax purposes in the tax year of the damage. The Board of Tax and Land Appeals states the proposed legislation will increase state revenues and expenditures in FY 2009 and each year thereafter as it collects filing fees and incurs costs associated with the additional number of appeals to the board the proposed legislation would generate. The Board is unable to estimate the extent revenues and expenditures would be increased as they are unable to determine the number of appeals that would be filed. However, based on the nature and extent of recent natural disasters and the bill’s requirement that the property be rendered uninhabitable or unusable, the Board states any increases in state revenues or state expenditures would likely be immaterial.
The New Hampshire Municipal Association states this bill will increase local expenditures FY 2009 and each year thereafter due to costs associated with the reappraisal of damaged properties. The Association states the increase in expenditures is indeterminable due to the unknown nature of frequency and nature of natural disasters and the subsequent number of properties that could be affected.
The Department of Revenue Administration states the proposed legislation will have no fiscal impact on their department.
This bill does not contain an appropriation.