Bill Text: IA SSB1150 | 2019-2020 | 88th General Assembly | Introduced
Bill Title: A bill for an act relating to the assessment of certain subdivided real property and including applicability provisions.
Spectrum: Committee Bill
Status: (N/A - Dead) 2019-02-21 - Subcommittee recommends amendment and passage. [SSB1150 Detail]
Download: Iowa-2019-SSB1150-Introduced.html
Senate
Study
Bill
1150
-
Introduced
SENATE
FILE
_____
BY
(PROPOSED
COMMITTEE
ON
WAYS
AND
MEANS
BILL
BY
CHAIRPERSON
FEENSTRA)
A
BILL
FOR
An
Act
relating
to
the
assessment
of
certain
subdivided
real
1
property
and
including
applicability
provisions.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
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Section
1.
Section
405.1,
Code
2019,
is
amended
to
read
as
1
follows:
2
405.1
Housing
development
——
tax
status
——
limitation.
3
1.
a.
The
board
of
supervisors
of
a
county
may
adopt
4
an
ordinance
providing
that
property
Property
acquired
and
5
subdivided
for
development
of
housing
on
or
after
January
6
1,
2011,
shall
continue
to
be
assessed
for
taxation
in
the
7
manner
that
it
was
prior
to
the
acquisition
for
housing.
Each
8
lot
shall
continue
to
be
taxed
in
the
manner
it
was
prior
9
to
its
acquisition
for
housing
until
the
lot
is
sold
for
10
construction
or
occupancy
of
housing
or
five
years
from
the
11
date
of
subdivision,
whichever
is
shorter
.
Upon
the
sale
or
12
the
expiration
of
the
five-year
period,
the
property
shall
be
13
assessed
for
taxation
as
residential
,
multiresidential,
or
14
commercial
multifamily
property,
whichever
is
applicable.
15
b.
Ordinances
adopted
under
this
section
,
to
the
extent
16
such
ordinances
affect
the
assessment
of
property
subdivided
17
for
development
of
housing
on
or
after
January
1,
2004,
but
18
before
January
1,
2011,
shall
remain
in
effect
or
otherwise
19
be
made
effective
and
such
ordinances
adopted
under
section
20
405.1,
subsection
1
,
Code
2011,
shall
be
extended
to
apply
21
the
ordinances
to
the
period
of
time
ending
ten
years
from
22
the
date
of
subdivision,
and
ordinances
adopted
under
section
23
405.1,
subsection
2
,
Code
2011,
shall
be
extended
to
apply
the
24
ordinances
to
the
period
of
time
ending
eight
years
from
the
25
date
of
subdivision.
26
2.
On
or
after
July
27,
2011,
the
board
of
supervisors
27
of
a
county
may
amend
an
ordinance
adopted
or
otherwise
made
28
effective
under
subsection
1
to
extend
the
period
of
time
29
established
under
subsection
1
to
apply
the
ordinance
to
a
30
period
of
time
not
to
exceed
five
years
beyond
the
end
of
the
31
period
of
time
established
under
subsection
1
.
An
extension
32
of
an
ordinance
under
this
subsection
may
apply
to
all
or
33
a
portion
of
the
property
that
was
subject
to
the
original
34
ordinance.
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3.
A
city
council
may
adopt
an
ordinance
affecting
1
that
portion
of
the
applicable
property
located
within
the
2
incorporated
area
of
the
city,
effectuating
an
extension
of
3
a
county
ordinance
otherwise
eligible
to
be
extended
under
4
subsection
2
and
not
previously
extended
by
the
board
of
5
supervisors.
An
ordinance
by
a
city
council
providing
for
6
an
extension
under
this
subsection
shall
be
subject
to
the
7
limitations
of
subsection
2
.
8
Sec.
2.
Section
441.72,
Code
2019,
is
amended
to
read
as
9
follows:
10
441.72
Assessment
of
platted
lots.
11
1.
Except
as
provided
in
subsection
2
,
when
When
a
12
subdivision
plat
is
recorded
pursuant
to
chapter
354
,
the
13
individual
lots
within
the
subdivision
plat
shall
not
be
14
assessed
in
excess
of
the
total
assessment
of
the
land
as
15
acreage
or
unimproved
property
for
five
years
after
the
16
recording
of
the
plat
or
until
the
lot
is
actually
improved
17
with
permanent
construction,
whichever
occurs
first
sold
for
18
construction
or
occupancy
of
housing
.
When
an
individual
lot
19
has
been
improved
with
permanent
sold
for
construction
or
20
occupancy
of
housing
,
the
lot
shall
be
assessed
for
taxation
21
purposes
as
provided
in
chapter
428
and
this
chapter
.
22
2.
For
subdivision
plats
recorded
pursuant
to
chapter
23
354
on
or
after
January
1,
2004,
but
before
January
1,
2011,
24
the
individual
lots
within
the
subdivision
plat
shall
not
25
be
assessed
in
excess
of
the
total
assessment
of
the
land
26
as
acreage
or
unimproved
property
for
eight
years
after
the
27
recording
of
the
plat
or
until
the
lot
is
actually
improved
28
with
permanent
construction,
whichever
occurs
first.
When
an
29
individual
lot
has
been
improved
with
permanent
construction,
30
the
lot
shall
be
assessed
for
taxation
purposes
as
provided
in
31
chapter
428
and
this
chapter
.
32
3.
2.
This
section
does
not
apply
to
special
assessment
33
levies.
34
Sec.
3.
IMPLEMENTATION.
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1.
This
Act
shall
not
be
construed
to
require
the
refund
1
or
modification
of
property
taxes
that
are
attributable
to
2
assessment
years
beginning
before
January
1,
2020,
or
the
3
adjustment
of
property
assessments
for
assessment
years
4
beginning
before
January
1,
2020.
5
2.
Ordinances
adopted
under
section
405.1
in
effect
on
the
6
effective
date
of
this
Act
shall
be
invalid
for
purposes
of
7
assessment
years
beginning
on
or
after
January
1,
2020.
8
Sec.
4.
APPLICABILITY.
This
Act
applies
to
assessment
years
9
beginning
on
or
after
January
1,
2020.
10
EXPLANATION
11
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
12
the
explanation’s
substance
by
the
members
of
the
general
assembly.
13
This
bill
relates
to
the
assessment
of
certain
subdivided
14
real
property.
15
Current
Code
section
405.1
authorizes
a
county
board
of
16
supervisors
to
adopt
an
ordinance
providing
that
property
17
acquired
and
subdivided
for
development
of
housing
shall
18
continue
to
be
assessed
for
taxation
in
the
manner
that
it
was
19
prior
to
the
acquisition
for
housing
until
the
lot
is
sold
for
20
construction
or
occupancy
of
housing
or
five
years
from
the
21
date
of
subdivision,
whichever
is
shorter.
Code
section
405.1
22
also
authorizes
time
extensions
of
certain
ordinances
that
23
affect
the
assessment
of
property
subdivided
for
development
24
of
housing
and
authorizes
the
time
extensions
of
certain
25
ordinances
by
counties
and
by
cities
in
the
portion
of
the
26
applicable
area
located
in
the
incorporated
area
of
the
city.
27
The
bill
strikes
the
authorization
for
cities
and
counties
28
to
adopt,
amend,
or
extend
such
ordinances
and
provides
that
29
property
acquired
and
subdivided
for
development
of
housing
30
shall
continue
to
be
assessed
for
taxation
and
taxed
in
the
31
manner
it
was
prior
to
its
acquisition
for
housing
until
the
32
lot
is
sold
for
construction
or
occupancy
of
housing.
Under
33
the
bill,
upon
the
sale,
the
property
must
be
assessed
for
34
taxation
as
residential,
multiresidential,
or
commercial
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multifamily
property,
whichever
is
applicable.
1
Code
section
441.72
provides
that
a
platted
lot
for
which
2
a
subdivision
plat
was
recorded
is
assessed
for
property
tax
3
purposes
as
acreage
or
unimproved
property
for
five
years
or
4
until
the
lot
is
actually
improved
with
permanent
construction,
5
whichever
occurs
first.
However,
for
subdivision
plats
6
recorded
on
or
after
January
1,
2004,
but
before
January
1,
7
2011,
the
time
limit
is
eight
years.
8
The
bill
strikes
the
portions
of
Code
section
441.72
9
relating
to
the
five-year
limitation
and
the
eight-year
10
limitation
and
provides
that
when
a
subdivision
plat
is
11
recorded,
the
individual
lots
within
the
subdivision
plat
shall
12
not
be
assessed
in
excess
of
the
total
assessment
of
the
land
13
as
acreage
or
unimproved
property
until
the
lot
is
sold
for
14
construction
or
occupancy
of
housing.
15
The
bill
shall
not
be
construed
to
require
the
refund
16
or
modification
of
property
taxes
that
are
attributable
to
17
assessment
years
beginning
before
January
1,
2020,
or
the
18
adjustment
of
property
assessments
for
assessment
years
19
beginning
before
January
1,
2020.
The
bill
also
provides
that
20
local
ordinances
adopted
under
existing
Code
section
405.1
21
in
effect
on
the
effective
date
of
the
bill
are
invalid
for
22
purposes
of
assessment
years
beginning
on
or
after
January
1,
23
2020.
24
The
bill
applies
to
assessment
years
beginning
on
or
after
25
January
1,
2020.
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