Date Requested:February 14, 2013
Time Requested:03:27 PM
Agency: State Tax & Revenue Department
CBD Number: Version: Bill Number: Resolution Number:
2013R1957 Introduced HB2467
CBD Subject: APPEAL COSTS FOR REAL PROPERTY REAPPRAISAL
FUND(S)
Local Government Funds
Sources of Revenue
Other Fund Local Government Funds
Legislation creates:
Neither Program nor Fund

Fiscal Note Summary

Effect this measure will have on costs and revenues of state government.

     The stated purpose of this bill is to require the county to reimburse a landowner for appraisal and other expenses incurred in defeating an assessor’s reappraisal of real property.
    
     As written, this bill proposes that when a landowner successfully contests the new appraisal of the property, the county would reimburse the landowner for the costs of any appraisal obtained or expenses incurred for purposes of defeating the new appraisal.
    
     According to our interpretation, passage of the bill would have no revenue impact since appraisal values, whether the proposed county value or the value from a successfully contested appraisal, are established before the Property Tax is levied. However, the additional administrative costs to counties could be significant.
    

Fiscal Note Detail
Over-all effect
Effect of Proposal Fiscal Year
2013
Increase/Decrease
(use"-")
2014
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 0 0
Personal Services 0 0 0
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 0 0
3. Explanation of above estimates (including long-range effect):
     As written, this bill proposes that when a landowner successfully contests the new appraisal of the property, the county would reimburse the landowner for the costs of any appraisal obtained or expenses incurred for purposes of defeating the new appraisal.
    
     According to our interpretation, passage of the bill would have no revenue impact since appraisal values, whether the proposed county value or the value from a successfully contested appraisal, are established before the Property Tax is levied. However, the additional administrative costs to counties could be significant.
    


Memorandum
Person submitting Fiscal Note:
Mark B. Muchow
Email Address:
Roger.D.Cox@wv.gov
     The stated purpose of this bill is to require the county to reimburse a landowner for appraisal and other expenses incurred in defeating an assessor’s reappraisal of real property.
    
     The text of the bill states, “costs of any appraisals obtained or expenses incurred” while the stated purpose refers to the “appraisal and other expenses.” A question could be raised as to whether the stated intent is achieved by the bill.
    
     As written, there is no limit on the amount that could be required to be reimbursed. While it may be definitely determined what the cost of a landowners’s appraisal was, “expenses incurred” is both undefined and without limit. Additionally, the proposed bill does not indicate from what source the county would reimburse the landowner.