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H0253...............................................by REVENUE AND TAXATION PROPERTY TAX EXEMPTION - Adds to existing law to provide an exemption from property taxation for unused infrastructure. 02/21 House intro - 1st rdg - to printing 02/22 Rpt prt - to Rev/Tax 03/14 Rpt out - rec d/p - to 2nd rdg 03/15 2nd rdg - to 3rd rdg 03/16 3rd rdg - PASSED - 60-8-2 AYES -- Anderson, Andrus, Barraclough, Barrett, Bastian, Bedke, Bell, Bilbao, Black, Block, Boe, Bolz, Bradford, Cannon, Chadderdon, Clark, Collins, Crow, Deal, Denney, Edmunson, Ellsworth, Eskridge, Field(18), Field(23), Garrett, Hart(Jacobson), Harwood, Henderson, Jaquet, Jones, Kemp, Lake, Loertscher, Mathews, McGeachin, McKague, Miller, Nielsen, Nonini, Pence, Raybould, Ring, Roberts, Rydalch, Sali, Sayler, Schaefer, Shepherd(2), Shepherd(8), Shirley, Skippen, Smith(24), Smylie, Snodgrass, Stevenson, Trail, Wills, Wood, Mr. Speaker NAYS -- Henbest, LeFavour, Martinez, Mitchell, Pasley-Stuart, Ringo, Rusche, Smith(30) Absent and excused -- Bayer, Moyle Floor Sponsor - Bedke Title apvd - to Senate 03/17 Senate intro - 1st rdg - to Loc Gov 03/22 Rpt out - rec d/p - to 2nd rdg 03/23 2nd rdg - to 3rd rdg 03/24 3rd rdg - PASSED - 34-0-0, 1 vacancy AYES -- Andreason, Brandt, Broadsword, Bunderson, Burkett, Burtenshaw, Cameron, Coiner, Compton, Corder, Darrington, Davis, Gannon, Geddes, Goedde, Hill, Jorgenson, Kelly, Keough, Langhorst, Little, Lodge, Malepeai, Marley, McGee, McKenzie, Pearce, Richardson, Schroeder, Stegner, Stennett, Sweet, Werk, Williams NAYS -- None Absent and excused -- (District 21 seat vacant) Floor Sponsor - McKenzie Title apvd - to House 03/24 To enrol 03/28 Rpt enrol - Sp signed 03/29 Pres signed 03/30 To Governor 04/05 Governor signed Session Law Chapter 279 Effective: 07/01/05
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-eighth Legislature First Regular Session - 2005 IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 253 BY REVENUE AND TAXATION COMMITTEE 1 AN ACT 2 RELATING TO EXEMPTION FROM PROPERTY TAXATION; AMENDING CHAPTER 6, TITLE 63, 3 IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-602HH, IDAHO CODE, TO PRO- 4 VIDE AN EXEMPTION FROM PROPERTY TAX FOR UNUSED INFRASTRUCTURE. 5 Be It Enacted by the Legislature of the State of Idaho: 6 SECTION 1. That Chapter 6, Title 63, Idaho Code, be, and the same is 7 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 8 ignated as Section 63-602HH, Idaho Code, and to read as follows: 9 63-602HH. PROPERTY EXEMPT FROM TAXATION -- UNUSED INFRASTRUCTURE. (1) It 10 is the intent of this section to preserve infrastructure and encourage eco- 11 nomic development in the limited circumstances when a business or other com- 12 mercial entity ceases to operate on property within a county. 13 (2) Following notice as prescribed in section 31-710, Idaho Code, and 14 public hearings, the board of county commissioners of any county shall have 15 the authority to exempt from taxation the unused infrastructure of a business, 16 provided that the business states that such infrastructure is nonoperational 17 under penalty of perjury. 18 (3) The exemption shall be for a period of up to five (5) years, provided 19 that the board of county commissioners may vote to extend the exemption for a 20 period not exceeding five (5) additional years. 21 (4) The board of county commissioners shall publish in its minutes any 22 decision to grant or deny the exemption provided in this section and shall 23 notify the county assessor and state tax commission of any exemption and the 24 duration of such exemption. It shall be the responsibility of the assessor to 25 return the property valuation of the unused infrastructure to the tax rolls 26 upon the expiration of the exemption. 27 (5) The exemption provided in this section shall not be granted for any 28 portion of an operating public utility. 29 (6) As used in this section, "unused infrastructure" means installed 30 utilities including, but not limited to, rail, water, natural gas and electri- 31 cal lines.
STATEMENT OF PURPOSE RS 14939 The purpose of this legislation is to provide an incentive for the owners of defunct industrial sites to preserve imbedded infrastructure for possible use by a successor business. Defunct industries frequently remove all property improvements for salvage value and to reduce legal and tax liabilities. Imbedded rail tracks, water lines and electrical lines can be very expensive to install. Preservation can be an asset for reuse or sale to another industry or business. County commissioners would have the sole authority to issue the ad valorem exemption for up to five years with a possible renewal if warranted. The exemption would cause a tax shift, but removal would result in a permanent loss of the same magnitude. Public notice and a public hearing are prerequisites to the county commissioners' action. The impact of the exemption would be almost entirely up to the county and other taxing districts within the county. FISCAL IMPACT There is no cost to the state. Variable cost to local government. Contact Name: Moon Wheeler Phone: (208) 343-4692 Name: Rep. Scott Bedke (208) 332-1263 STATEMENT OF PURPOSE/FISCAL NOTE H 253