Revision: Nov. 16, 2017, 12:37 p.m.
HB 1722-FN-LOCAL - AS INTRODUCED
HOUSE BILL 1722-FN-LOCAL
AN ACT relative to the property tax exemption for chartered public school property, including leased property.
SPONSORS: Rep. Hoell, Merr. 23; Rep. Itse, Rock. 10
COMMITTEE: Ways and Means
This bill requires the annual refund of the pro rata share of property taxes paid by a chartered public school pursuant to a lease of property from a non-exempt owner. The bill also repeals the local option to reduce the taxes attributable to a chartered public school facility renting or leasing its building or facilities from a property owner which is not exempt from property taxes.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Eighteen
Be it Enacted by the Senate and House of Representatives in General Court convened:
V-b. A chartered public school, established and operating under RSA 194-B and exempt from property taxation under this section, leasing property from an owner which is not exempt from property taxation under this chapter shall be entitled to a refund of the amount of a lease payment attributable to duly assessed personal and real estate taxes paid by the lessor. Such refund shall be made annually by the governing body of the taxing district upon application by the board of trustees of the chartered public school, provided that the chartered public school is liable under the lease for the pro rata share of lessor’s property taxes and the lessor has paid the amount of property taxes due. The refund of the pro rata share of tax paid shall be made to the board of trustees and used for school purposes.
75:1 How Appraised. The selectmen shall appraise open space land pursuant to RSA 79-A:5, open space land with conservation restrictions pursuant to RSA 79-B:3, land with discretionary easements pursuant to RSA 79-C:7, residences on commercial or industrial zoned land pursuant to RSA 75:11, earth and excavations pursuant to RSA 72-B, land classified as land under qualifying farm structures pursuant to RSA 79-F, buildings and land appraised under RSA 79-G as qualifying historic buildings, [qualifying chartered public school property appraised under RSA 79-H,] residential rental property subject to a housing covenant under the low-income housing tax credit program pursuant to RSA 75:1-a, renewable generation facility property subject to a voluntary payment in lieu of taxes agreement under RSA 72:74 as determined under said agreement, telecommunications poles and conduits pursuant to RSA 72:8-c, and all other taxable property at its market value. Market value means the property's full and true value as the same would be appraised in payment of a just debt due from a solvent debtor. The selectmen shall receive and consider all evidence that may be submitted to them relative to the value of property, the value of which cannot be determined by personal examination.
I. RSA 79-H, relative to taxation of certain chartered public school facilities.
II. RSA 74:4, VIII, relative to taxpayer inventory blanks for chartered public schools.
HB 1722-FN-LOCAL- FISCAL NOTE
FISCAL IMPACT: [ ] State [ ] County [ X ] Local [ ] None
Estimated Increase / (Decrease)
[ ] General [ ] Education [ ] Highway [ ] Other
This bill allows for a refund of the amount of a lease payment attributable to duly assessed personal and real estate taxes paid by an exempt lessor chartered public school leasing property from a non-exempt property owner. Such refund shall be made annually by the governing body of the taxing district upon application by the board of trustees of the chartered public school and payment made to the board of trustees and used for school purposes. The bill also repeals the local option to create a special valuation for property owners who lease property to qualifying chartered public schools. The New Hampshire Municipal Association indicates payment from municipal funds is indeterminable as it has no data on charter schools leasing property from non-exempt owners or the amount of lease payments attributable to property taxes. There should be no impact on municipal revenues. The Department of Revenue Administration states it does not have sufficient information to calculate possible increased cost to municipalities to administer the repeal of the local option special valuation and the processing of tax refund payments.
New Hampshire Municipal Association and Department of Revenue Administration