House File 655 - Reprinted HOUSE FILE 655 BY COMMITTEE ON WAYS AND MEANS (SUCCESSOR TO HF 300) (SUCCESSOR TO HSB 56) (As Amended and Passed by the House March 30, 2011 ) A BILL FOR An Act relating to the assessment of certain subdivided real 1 property and including effective date and retroactive 2 applicability and other applicability provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 HF 655 (5) 84 md/sc/mb
H.F. 655 Section 1. Section 405.1, Code 2011, is amended to read as 1 follows: 2 405.1 Housing development —— tax status —— limitation. 3 1. The board of supervisors of a county with a population 4 of less than twenty thousand may adopt an ordinance providing 5 that property acquired and subdivided for development of 6 housing 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 or commercial multifamily 14 property, whichever is applicable actually improved with a 15 residential structure . 16 2. The board of supervisors of a county with a population 17 of twenty thousand or more may adopt an ordinance providing 18 that property acquired and subdivided for development of 19 housing shall continue to be assessed for taxation in the 20 manner that it was prior to the acquisition for housing. Each 21 lot shall continue to be taxed in the manner it was prior 22 to its acquisition for housing until the lot is sold for 23 construction or occupancy of housing or three years from the 24 date of subdivision, whichever is shorter. Upon the sale or 25 the expiration of the three-year period, the property shall be 26 assessed for taxation as residential or commercial multifamily 27 property, whichever is applicable. 28 Sec. 2. Section 441.72, Code 2011, is amended to read as 29 follows: 30 441.72 Assessment of platted lots. 31 When a subdivision plat is recorded pursuant to chapter 32 354 , the individual lots within the subdivision plat shall 33 not be assessed in excess of the total assessment of the 34 land as acreage or unimproved property for three years after 35 -1- HF 655 (5) 84 md/sc/mb 1/ 2
H.F. 655 the recording of the plat or until the lot is actually 1 improved with a permanent construction, whichever occurs 2 first residential, industrial, or commercial structure . When an 3 individual lot has been improved with a permanent construction 4 residential, industrial, or commercial structure , the lot shall 5 be assessed for taxation purposes as provided in chapter 428 6 and this chapter . This section does not apply to special 7 assessment levies. 8 Sec. 3. EFFECTIVE UPON ENACTMENT AND APPLICABILITY. This 9 Act, being deemed of immediate importance, takes effect upon 10 enactment, applies to subdivision plats recorded on or after 11 January 1, 2004, and applies retroactively to assessment years 12 beginning on or after January 1, 2011. 13 -2- HF 655 (5) 84 md/sc/mb 2/ 2