Cities and towns-abandoned and nuisance buildings.

23LSO-0486
2023
STATE OF WYOMING
23LSO-0486
Numbered
2.0

HOUSE BILL NO. HB0135

Cities and towns-abandoned and nuisance buildings.

Sponsored by: Representative(s) Sherwood, Brown and Conrad and Senator(s) Furphy

A BILL

for

AN ACT relating to cities and towns; providing a tax credit for expenditures to improve abandoned and nuisance buildings; authorizing cities and towns to designate abandoned and nuisance buildings for purposes of the tax credit; authorizing cities and towns to assess a fee for costs to abate a nuisance or to repair, remove or destroy a dangerous building; and providing for an effective date.

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

Section 1.

W.S. 15
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301 is created to read:

ARTICLE 3
ABANDONED AND NUISANCE BUILDINGS

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301.

Abandoned and nuisance buildings.

(a)

The governing body of a city or town may designate a property within the limits of the city or town as abandoned or as a nuisance for the purposes of this section if the property is vacant or neglected and contains a significantly deteriorated or deteriorating structure as determined by the governing body. Nothing in this section shall be construed to require the owner of an abandoned or nuisance building or property to sell the building or property.

(b)

In determining whether a property is abandoned under subsection (a) of this section, a city or town shall examine the property and determine whether the property is occupied by the property owner or by permission of the property owner. In determining whether a property is a nuisance under subsection (a) of this section, a city or town shall consider whether an unreasonable or unlawful use or condition of the property results in injury to a neighboring property owner or endangers the life, health or safety of the community.

(c)

If the owner of the abandoned or nuisance building at the time the property is designated as abandoned or as a nuisance under subsection (a) of this section makes an expenditure to demolish the building within two (2) years and submits that expenditure to the governing body of the city or town for approval under subsection (e) of this section, the owner shall be eligible for a tax credit as provided in W.S. 39
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109(d)(ii) in an amount not to exceed fifty percent (50%) of the expenditures to demolish the building. Additional expenditures to improve the property made within the two (2) year period may be submitted to the city or town for approval under subsection (e) of this section and the owner shall be eligible for a tax credit as provided in W.S. 39
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109(d)(ii) in an amount not to exceed the amount expended to improve the property.

(d)

Any person who purchases or takes ownership of an abandoned or nuisance property after the property has been designated as abandoned or as a nuisance under subsection (a) of this section and who makes improvements to the property including removal or rehabilitation of a deteriorated or deteriorating structure within five (5) years after the person initially purchased or took ownership of the property shall be eligible for a tax credit as provided in W.S. 39
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109(d)(ii) in an amount not to exceed the amount expended to improve the abandoned or nuisance property.

(e)

Prior to being eligible for any tax credit under subsections (b) or (c) of this section, the person shall document the person's expenditures related to the improvement of the designated property and submit the expenditures to the governing body of the city or town for approval. Only approved expenditures shall be eligible for a tax credit. The governing body shall not approve any expenditures that do not directly benefit the designated property. The governing body shall not approve any expenditures made after the applicable time limit specified in subsections (b) and (c) of this section. The governing body shall submit any approved expenditures to the department of revenue as provided in W.S. 39
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109(d)(ii).

Section 2.

W.S. 15
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103(a) by creating a new paragraph (li) and 39
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109(d) by creating a new paragraph (ii) are amended to read:

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103.

General powers of governing bodies.

(a)

The governing bodies of all cities and towns may:

(li)

Assess abatement costs in the same manner as a special assessment pursuant to W.S. 15
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401 through 15
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426 against real property on which nuisances are abated under paragraph (xix) of this subsection or on which dangerous buildings or enclosures are repaired, removed or destroyed pursuant to paragraph (xxvi) of this subsection. A lien for abatement costs assessed under this paragraph does not have preference over preexisting indebtedness but shall have priority from and after the date of filing or recording.

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109.

Taxpayer remedies.

(d)

Credits.

The following shall apply:

(ii)

The following shall apply to the abandoned and nuisance property tax credit:

(A)

A property owner who improves designated abandoned or nuisance property as provided in W.S. 15
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301 may apply for a property tax credit in the amount provided by subparagraph (B) of this paragraph. The credit shall be applicable only against future tax payments on the designated property that is improved by the taxpayer. No refund of taxes shall be authorized due to a credit under this paragraph;

(B)

The credit under this paragraph shall be limited to the amount of expenditures made for improvement of the abandoned property that are approved by the governing body of the city or town and submitted to the department as provided in W.S. 15
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301(e);

(C)

A person claiming a credit under this paragraph may reserve a credit to use in a later tax year, provided that the person shall not be entitled to use any credit more than ten (10) years after the person is first eligible for the tax credit under W.S. 15
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301(b) or (c);

(D)

No person shall claim or receive more than one (1) credit under this paragraph in any ten (10) year period.

Section 3
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This act is effective July 1, 2023
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(END)

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HB0135