LOCAL ECONOMIC DEVELOPMENT ACT
50-2903A. effect of ordinance to modify urban renewal plan — exception.
(1) (a) On and after July 1, 2016, except as provided in subsection (2) of this section, when an urban renewal plan containing a revenue allocation financing provision is modified through an ordinance of the authorized municipality, the base value for the year immediately following the year in which the modification occurred shall include the current year’s equalized assessed value of the taxable property in a revenue allocation area. The urban renewal agency shall be required annually to attest to having or not having modified any of its plans. If no modification has occurred, the urban renewal agency shall attest that fact on an affidavit provided by the state tax commission before the first Monday in June of each year. Modification shall not be deemed to have occurred when:
(i) There is a plan amendment to make technical or ministerial changes to a plan that does not involve an increase in the use of revenues allocated to the agency pursuant to section 50-2908, Idaho Code; or
(ii) There is a plan amendment to accommodate an increase in the revenue allocation area boundary as permitted in section 50-2033, Idaho Code; or
(iii) There is a plan amendment to accommodate a de-annexation in the revenue allocation area boundary; or
(iv) There is a plan amendment to support growth of an existing commercial or industrial project in an existing revenue allocation area, subject to the provisions of section 50-2905A, Idaho Code.
(b) Notice of any plan modification shall state the nature of the modification and shall be provided to the state tax commission, the county clerk and the county assessor by the first Monday in June of the years following the modification.
(c) Once a modification is deemed to have occurred, the base assessment value shall be reset pursuant to this subsection.
(2) When the urban renewal agency certifies to the county clerk and state tax commission that there is outstanding indebtedness, the base value for the year immediately following the year in which the modification occurred shall be computed and adjusted irrespective of the modification to the plan, but in compliance with all other requirements for adjustment as provided in section 50-2903(4), Idaho Code. To be allowed this exception no later than the first Monday in June each year, beginning the year immediately following the year in which the modification occurred, the urban renewal agency must certify:
(a) That the indebtedness could not be repaid by the agency prior to the termination of the revenue allocation area without the allocation of property tax revenues as provided in section 50-2908, Idaho Code; and
(b) The estimated total budget to be used for paying indebtedness during each year until termination of the revenue allocation area, the amount of nonproperty tax revenue to be used by the agency to pay indebtedness each year, and the estimated amount of revenue to be allocated to the agency for the modified revenue allocation area pursuant to section 50-2908, Idaho Code, to be used for paying indebtedness. For purposes of this section "indebtedness" shall mean any bonds, including refunding bonds, notes, interim certificates, certificates of indebtedness, debentures or other obligations, together with all expenses necessary to comply with all covenants related to the indebtedness.
(3) To the extent the amount of revenue allocated to the modified revenue allocation area pursuant to section 50-2908, Idaho Code, exceeds the amount necessary to pay indebtedness certified in subsection (2)(b) of this section, the excess shall be distributed by the county clerk to each taxing district or unit in the same manner as property taxes, except that each taxing district or unit shall be notified of the amount of any distribution of excess urban renewal allocations included in any distribution. For purposes of the limitation provided by section 63-802, Idaho Code, moneys received by any taxing district or unit pursuant to this subsection shall be treated as property tax revenue.
(4) Within thirty (30) days from the time the state tax commission receives information that an urban renewal plan for a revenue allocation area has been modified, the state tax commission shall notify the urban renewal agency and the county clerk of such receipt and the determination regarding any limits on the maximum amount of property tax revenue that will be allocated to the urban renewal agency from the current year’s property taxes.
[50-2903A, added 2016, ch. 349, sec. 4, p. 1021.]