Brief ⁽¹⁾

SB 92 would amend KSA 79-503a, the statute relating to fair market value for property taxation purposes, to provide that the value of any special assessment not be considered in such determination of fair market value.

Background

Proponents, who included the Kansas Association of Realtors and the Kansas Building Industry Association, said that the bill would give statewide application to several State Board of Tax Appeals' decisions on the special assessment valuation issue.

Opponents included the Kansas Association of Counties, the League of Kansas Municipalities, and the Kansas County Commissioners Association.

A fiscal note indicated that the Department of Revenue has no data on the extent to which special assessments are used in the determination of fair market value.

The original bill would have provided that the sales valuation of real property burdened by special assessments (and the sales valuation of comparable real estate so burdened) not include the present value of such assessments.

The Senate Committee of the Whole amended the bill to clarify and more simply state that the value of special assessments not be considered in the fair market value determination.

1. *Supplemental notes are prepared by the Legislative Research Department and do not express legislative intent. The supplemental note and fiscal note for this bill may be accessed on the Internet at http://www.ink.org/public/legislative/fulltext.cgi