H.F. 621 Section 1. Section 421.1A, subsection 6, Code 2013, is 1 amended to read as follows: 2 6. The members of the property assessment appeal board 3 shall receive compensation from the state commensurate with 4 the salary of a district judge through December 31, 2013 . The 5 members of the board shall be considered state employees for 6 purposes of salary and benefits. The members of the board and 7 any employees of the board, when required to travel in the 8 discharge of official duties, shall be paid their actual and 9 necessary expenses incurred in the performance of duties. 10 Sec. 2. Section 421.1A, subsection 7, Code 2013, is amended 11 by striking the subsection. 12 Sec. 3. Section 441.21, subsection 3, Code 2013, is amended 13 to read as follows: 14 3. a. “Actual value” , “taxable value” , or “assessed 15 value” as used in other sections of the Code in relation to 16 assessment of property for taxation shall mean the valuations 17 as determined by this section ; however, other provisions of 18 the Code providing special methods or formulas for assessing 19 or valuing specified property shall remain in effect, but this 20 section shall be applicable to the extent consistent with such 21 provisions. The assessor and department of revenue shall 22 disclose at the written request of the taxpayer all information 23 in any formula or method used to determine the actual value of 24 the taxpayer’s property. 25 b. The burden of proof shall be upon any complainant 26 attacking such valuation as excessive, inadequate, inequitable, 27 or capricious; however, in protest or appeal proceedings when 28 the complainant offers competent evidence by at least two 29 disinterested witnesses that the market value of the property 30 is less than the market value determined by the assessor, the 31 burden of proof thereafter shall be upon the officials or 32 persons seeking to uphold such valuation to be assessed. 33 Sec. 4. Section 441.35, subsection 2, Code 2013, is amended 34 to read as follows: 35 -1- LSB 2507HV (2) 85 md/sc 1/ 8

H.F. 621 2. In any year after the year in which an assessment has 1 been made of all of the real estate in any taxing district, the 2 board of review shall meet as provided in section 441.33 , and 3 where the board finds the same has changed in value, the board 4 shall revalue and reassess any part or all of the real estate 5 contained in such taxing district, and in such case, the board 6 shall determine the actual value as of January 1 of the year of 7 the revaluation and reassessment and compute the taxable value 8 thereof. Any aggrieved taxpayer may petition for a revaluation 9 of the taxpayer’s property, but no reduction or increase 10 shall be made for prior years. If the assessment of any such 11 property is raised, or any property is added to the tax list by 12 the board, the clerk shall give notice in the manner provided 13 in section 441.36 . However, if the assessment of all property 14 in any taxing district is raised, the board may instruct the 15 clerk to give immediate notice by one publication in one of 16 the official newspapers located in the taxing district, and 17 such published notice shall take the place of the mailed notice 18 provided for in section 441.36 , but all other provisions of 19 that section shall apply. The decision of the board as to the 20 foregoing matters shall be subject to appeal to the property 21 assessment appeal board within the same time and in the same 22 manner as provided in section 441.37A and to the district court 23 within the same time and in the same manner as provided in 24 section 441.38 . 25 Sec. 5. Section 441.37, subsection 1, paragraphs a and b, 26 Code 2013, are amended to read as follows: 27 a. Any property owner or aggrieved taxpayer who is 28 dissatisfied with the owner’s or taxpayer’s assessment may file 29 a protest against such assessment with the board of review on 30 or after April 16, to and including May 5, of the year of the 31 assessment. In any county which has been declared to be a 32 disaster area by proper federal authorities after March 1 and 33 prior to May 20 of said year of assessment, the board of review 34 shall be authorized to remain in session until June 15 and the 35 -2- LSB 2507HV (2) 85 md/sc 2/ 8

H.F. 621 time for filing a protest shall be extended to and include the 1 period from May 25 to June 5 of such year. Said The protest 2 shall be in writing and signed by the one protesting or by the 3 protester’s duly authorized agent. The taxpayer may have an 4 oral hearing thereon on the protest if request therefor for the 5 oral hearing is made in writing is made at the time of filing 6 the protest. Said The protest must be confined to one or more 7 of the following grounds: 8 (1) For odd-numbered assessment years and for even-numbered 9 assessment years for property that was reassessed in such 10 even-numbered assessment year: 11 (a) That said assessment is not equitable as compared with 12 assessments of other like property in the taxing district 13 assessing jurisdiction . When this ground is relied upon as the 14 basis of a protest the legal description and assessments of a 15 representative number of comparable properties, as described 16 by the aggrieved taxpayer shall be listed on the protest, 17 otherwise said protest shall not be considered on this ground 18 consideration shall be given to whether the other like property 19 in the assessing jurisdiction was appraised using a different 20 appraisal methodology than the methodology used to appraise the 21 property that is the subject of the protest . 22 (2) (b) That the property is assessed for more than the 23 value authorized by law , stating . When this ground is relied 24 upon, the specific amount which the protesting party believes 25 the property to be overassessed, and the amount which the party 26 considers to be its actual value and the amount the party 27 considers a fair assessment shall be stated . 28 (3) (c) That the property is not assessable, is exempt 29 from taxes, or is misclassified and stating the reasons for the 30 protest. 31 (4) (d) That there is an error in the assessment and state 32 the specific alleged error. When this ground is relied upon, 33 it may include but is not limited to listing errors, clerical 34 or mathematical errors, or other errors that result in an error 35 -3- LSB 2507HV (2) 85 md/sc 3/ 8

H.F. 621 in the assessment. 1 (5) (e) That there is fraud in the assessment which shall 2 be specifically stated. 3 (2) For even-numbered assessment years, when the property 4 has not been reassessed in such even-numbered assessment year, 5 that there has been a decrease in the value of the property 6 from the previous reassessment year. When this ground is 7 relied upon, the decrease in value shall be shown by comparing 8 the market value of the property as of January 1 of the current 9 assessment year and the actual value of the property for the 10 previous reassessment year. Such protest shall be in the same 11 manner as described in this section and shall be reviewed 12 by the local board of review pursuant to section 441.35, 13 subsection 2, but no reduction or increase shall be made for 14 prior years. 15 b. In addition to the above, the property owner may protest 16 annually to the board of review under the provisions of section 17 441.35 , but such protest shall be in the same manner and upon 18 the same terms as heretofore prescribed in this section . The 19 burden of proof for all protests filed under this section shall 20 be as stated in section 441.21, subsection 3, paragraph “b” . 21 Sec. 6. Section 441.37A, subsection 1, paragraph b, Code 22 2013, is amended to read as follows: 23 b. For an appeal to the property assessment appeal board to 24 be valid, written notice must be filed by the party appealing 25 the decision with the secretary of the property assessment 26 appeal board within twenty days after the date the board of 27 review’s letter of disposition of the appeal is postmarked to 28 the party making the protest adjournment of the local board 29 of review or May 31, whichever is later . The written notice 30 of appeal shall include a petition setting forth the basis of 31 the appeal and the relief sought. No new grounds in addition 32 to those set out in the protest to the local board of review 33 as provided in section 441.37 can be pleaded, but additional 34 evidence to sustain those grounds may be introduced. The 35 -4- LSB 2507HV (2) 85 md/sc 4/ 8

H.F. 621 assessor shall have the same right to appeal to the assessment 1 appeal board as an individual taxpayer, public body, or other 2 public officer as provided in section 441.42 . An appeal to the 3 board is a contested case under chapter 17A . 4 Sec. 7. Section 441.37A, subsection 2, paragraph a, Code 5 2013, is amended to read as follows: 6 a. A party to the appeal may request a hearing or the appeal 7 may proceed without a hearing. If a hearing is requested, 8 the appellant and the local board of review from which the 9 appeal is taken shall be given at least thirty days’ written 10 notice by the property assessment appeal board of the date 11 the appeal shall be heard and the local board of review may 12 be present and participate at such hearing. Notice to all 13 affected taxing districts shall be deemed to have been given 14 when written notice is provided to the local board of review. 15 The requirement of thirty days’ written notice may be waived 16 by mutual agreement of all parties to the appeal. Failure by 17 the appellant to appear at the property assessment appeal board 18 hearing shall be grounds for result in dismissal of the appeal 19 unless a continuance is granted to the appellant by the board 20 following a showing of good cause for the appellant’s failure 21 to appear . If an appeal is dismissed for failure to appear, 22 the property assessment appeal board shall have no jurisdiction 23 to consider any subsequent appeal on the appellant’s protest. 24 Sec. 8. Section 441.37A, subsection 3, paragraph a, Code 25 2013, is amended to read as follows: 26 a. The board member considering the appeal shall determine 27 anew all questions arising before the local board of review 28 which relate to the liability of the property to assessment or 29 the amount thereof. All of the evidence shall be considered 30 and there shall be no presumption as to the correctness of the 31 valuation of assessment appealed from. The burden of proof 32 for all appeals before the board shall be as stated in section 33 441.21, subsection 3, paragraph “b” . The property assessment 34 appeal board shall make a decision in each appeal filed with 35 -5- LSB 2507HV (2) 85 md/sc 5/ 8

H.F. 621 the board. If the appeal is considered by less than a majority 1 of the board, the determination made by that member shall 2 be forwarded to the full board for approval, rejection, or 3 modification. If the initial determination is rejected by the 4 board, it shall be returned for reconsideration to the board 5 member making the initial determination. Any deliberation 6 of the board regarding an initial determination shall be 7 confidential. 8 Sec. 9. REPEAL. 2005 Iowa Acts, chapter 150, section 134, 9 is repealed. 10 Sec. 10. EFFECTIVE UPON ENACTMENT. This Act, being deemed 11 of immediate importance, takes effect upon enactment. 12 Sec. 11. APPLICABILITY. The following provisions of this 13 Act apply to assessment years beginning on or after January 1, 14 2014: 15 1. The section of this Act amending section 441.37. 16 2. The section of this Act amending section 441.35. 17 EXPLANATION 18 This bill relates to the protest and appeal of property 19 assessments. 20 The bill amends provisions relating to the grounds upon 21 which a property assessment protest may be brought under 22 Code section 441.37. The bill specifies the grounds for 23 protest in an odd-numbered assessment year (reassessment 24 year), the grounds for protest in an even-numbered assessment 25 year for those properties that were reassessed in that 26 even-numbered assessment year, and the grounds for protest in 27 an even-numbered assessment year for those properties that were 28 not reassessed in that even-numbered assessment year. 29 Under current law, for an appeal to the property assessment 30 appeal board to be valid, written notice must be filed by the 31 party appealing the decision with the secretary of the property 32 assessment appeal board within 20 days after the date the 33 local board of review’s letter of disposition of the appeal is 34 postmarked to the party making the protest. The bill changes 35 -6- LSB 2507HV (2) 85 md/sc 6/ 8

H.F. 621 the deadline for filing a valid appeal to within 20 days after 1 the date of adjournment of the local board of review or May 31, 2 whichever is later. 3 Current Code section 441.37A provides that if a hearing is 4 requested in an appeal before the property assessment appeal 5 board, the appellant and the local board of review from which 6 the appeal is taken must be given at least 30 days’ written 7 notice by the property assessment appeal board of the date the 8 appeal shall be heard. The bill provides that the requirement 9 of 30 days’ written notice may be waived by mutual agreement 10 of all parties to the appeal. 11 Current Code section 441.37A provides that failure to 12 appear at a property assessment appeal board hearing by an 13 appellant shall be grounds for dismissal of the appeal unless a 14 continuance is granted. The bill provides that such a failure 15 to appear by an appellant shall result in dismissal of the 16 appeal unless a continuance is granted by the board for good 17 cause shown by the appellant. 18 The bill specifies that the burden of proof in protests 19 to the local board of review or in appeals to the property 20 assessment appeal board shall be as provided in current Code 21 section 441.21(3). Current Code section 441.21(3) states that 22 the burden of proof shall be upon any complainant attacking the 23 valuation as excessive, inadequate, inequitable, or capricious; 24 however, in protest or appeal proceedings when the complainant 25 offers competent evidence by at least two disinterested 26 witnesses that the market value of the property is less than 27 the market value determined by the assessor, the burden of 28 proof thereafter shall be upon the officials or persons seeking 29 to uphold such valuation to be assessed. 30 The bill repeals 2005 Iowa Acts, chapter 150, section 134, 31 which provided for the repeal of the property assessment appeal 32 board on July 1, 2013, and makes a corresponding change related 33 to the salary to be paid to members of the property assessment 34 appeal board. The bill also strikes provisions relating to 35 -7- LSB 2507HV (2) 85 md/sc 7/ 8