Residential property tax exemption.

WORKING DRAFT
2007
STATE OF
WYOMING
07LSO-0505

HOUSE BILL
NO.
HB0210

Residential property
tax exemption.

Sponsored by:
Representative(s) Gingery and Olsen and Senator(s) Larson

A BILL

for

AN ACT relating to taxation; providing a time limited exemption from property taxation as specified; providing an appropriation and distribution to local governmental entities to offset reduced tax revenues;
specifying effect of the tax exemption; providing for a report;
and providing for an effective date.

Be It Enacted by the Legislature of the State of
Wyoming
:

Section 1.

W.S. 39
‑
11
‑
105(a) by creating a new paragraph (xxxviii) is amended to read:

39
‑
11
‑
105.

Exemptions.

(a)

The following property is exempt from property taxation:

(xxxviii)

F
or the tax years commencing January 1, 200
8
and January 1, 200
9
, the first five thousand dollars ($5,000.00) of assessed value of improved residential property, but only to the extent the exemption provided under this paragraph does not reduce the total taxable value of the property to less than eight and one-quarter percent (8.25%) of the property's fair market value.

The
exemption
authorized by this paragraph
shall be applicable in any
fiscal year only if the legislature has appropriated monies that the department determines to be necessary to reimburse all local governments for tax losses created by this paragraph during that fiscal year.
The purpose of this paragraph is to provide general property tax relief through a time limited exemption and general fund appropriation. No local government shall incur any loss of property tax revenue under this paragraph, and any bond issues or other matters relying upon the assessed value of a local government for computation shall be predicated upon the assessed value of the local government before computation of the tax exemption under this paragraph.

Section 2.

On or before September 1, 200
8
and September 1, 200
9
, county assessors shall certify the exemptions granted pursuant to W.S. 39
‑
11
‑
105(a)(xxxviii) to the department of revenue. On or before October 1, 200
8
and October 1, 200
9
, the state treasurer out of funds appropriated for this purpose shall reimburse each county treasurer for the amount of taxes which would have been collected if the
exemption had not been granted
. The county treasurer shall distribute the revenue to each governmental entity in the actual amount of taxes lost due to the exemption.

Section 3.

(a)

There is appropriated to the state treasurer from the general fund
fifty-two
million dollars
($
52
,000,000.00)
, or so much thereof as necessary for purposes of this act. Notwithstanding W.S. 9
‑
2
‑
1008 or 9
‑
4
‑
207, funds appropriated under this section shall not lapse until June 30, 20
10

(b)

It is the intent of the
l
egislature that no local government shall incur any loss of property tax revenue under this act. The department of revenue shall report to the governor, the joint revenue interim committee and the joint appropriations interim committee not later than October 15, 2008, the amount of funds reimbursed to counties under section 2 of this act and the amount of funds anticipated to be required for reimbursement in the 2009 tax year. The governor shall include in his state budget submitted under W.S. 9-2-1013 for the 2009 legislative session a recommendation for any additional appropriation necessary to fully reimburse local governments for the full exemption provided by this act.

Section 4.

This act is effective
July 1, 2007.

(END)

1
HB0210