Senate File 13 - Introduced SENATE FILE 13 BY LOFGREN A BILL FOR An Act relating to protests of assessments for commercial and 1 industrial property filed with the local board of review and 2 including applicability provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1348XS (2) 90 md/jh
S.F. 13 Section 1. Section 441.26, subsection 1, Code 2023, is 1 amended to read as follows: 2 1. The director of revenue shall each year prescribe 3 the form of assessment roll to be used by all assessors in 4 assessing property, in this state, also the form of pages of 5 the assessors assessment book. The assessment rolls shall 6 be in a form that will permit entering, separately, the names 7 of all persons assessed, and shall also contain a notice in 8 substantially the following form: 9 If you are not satisfied that the foregoing assessment is 10 correct, you may contact the assessor on or after April 2, 11 to and including April 25, of the year of the assessment to 12 request an informal review of the assessment pursuant to 13 section 441.30 . 14 If you are not satisfied that the foregoing assessment is 15 correct, you may file a protest against such assessment with 16 the board of review on or after April 2, to and including April 17 30, of the year of the assessment, such protest to be confined 18 to the grounds specified in section 441.37 . A protest against 19 such assessment for property classified as commercial property 20 or industrial property may only be filed if you have not filed 21 a protest for the property in any of the immediately preceding 22 three assessment years, unless the assessor, following an 23 informal review under section 441.30, recommends that you 24 file a protest; there is a clerical or mathematical error as 25 provided in section 441.37, subsection 2; or the property has 26 changed ownership, been reclassified, or has been improved 27 or had improvements to the property removed during the year 28 preceding January 1 of the assessment year. 29 Dated: .. day of ... (month), .. (year) 30 ........... 31 County/City Assessor. 32 Sec. 2. Section 441.37, subsection 1, paragraph a, 33 subparagraph (1), unnumbered paragraph 1, Code 2023, is amended 34 to read as follows: 35 -1- LSB 1348XS (2) 90 md/jh 1/ 5
S.F. 13 Any Unless prohibited under paragraph 0b , any property 1 owner or aggrieved taxpayer who is dissatisfied with the 2 owners or taxpayers assessment may file a protest against 3 such assessment with the board of review on or after April 4 2, to and including April 30, of the year of the assessment. 5 In any county which has been declared to be a disaster area 6 by proper federal authorities after March 1 and prior to May 7 20 of said year of assessment, the board of review shall be 8 authorized to remain in session until June 15 and the time 9 for filing a protest shall be extended to and include the 10 period from May 25 to June 5 of such year. The protest shall 11 be in writing on forms prescribed by the director of revenue 12 and, except as provided in subsection 3 , signed by the one 13 protesting or by the protesters duly authorized agent. The 14 taxpayer may have an oral hearing on the protest if the request 15 for the oral hearing is made in writing at the time of filing 16 the protest. The protest must be confined to one or more of the 17 following grounds: 18 Sec. 3. Section 441.37, subsection 1, Code 2023, is amended 19 by adding the following new paragraph: 20 NEW PARAGRAPH . 0b. A property owner or aggrieved taxpayer 21 shall not be authorized to protest the owner or taxpayers 22 assessment for property classified as commercial property 23 or industrial property if the owner or taxpayer has filed a 24 protest for the property in any of the immediately preceding 25 three assessment years, unless the assessor, following an 26 informal review under section 441.30, recommends that the owner 27 or taxpayer file a protest; there is a clerical or mathematical 28 error as provided in subsection 2; or the property has changed 29 ownership, been reclassified, or has been improved or had 30 improvements to the property removed during the year preceding 31 January 1 of the assessment year. 32 Sec. 4. Section 441.49, subsection 2, paragraph a, 33 unnumbered paragraph 1, Code 2023, is amended to read as 34 follows: 35 -2- LSB 1348XS (2) 90 md/jh 2/ 5
S.F. 13 On or before October 8 the county auditor shall cause to 1 be published in official newspapers of general circulation 2 the final equalization order. The county auditor shall also 3 notify each property owner or taxpayer whose valuation has been 4 increased by the final equalization order by mail postmarked on 5 or before October 8. The publication and the individual notice 6 mailed to each property owner or taxpayer whose valuation has 7 been increased shall include, in type larger than the remainder 8 of the publication or notice, the following statements: 9 Assessed values are equalized by the department of revenue 10 every two years. Local taxing authorities determine the final 11 tax levies and may reduce property tax rates to compensate 12 for any increase in valuation due to equalization. If you 13 are not satisfied that your assessment as adjusted by the 14 equalization order is correct, you may file a protest against 15 such assessment with the board of review on or after October 9, 16 to and including October 31. A protest against an assessment 17 as adjusted by the equalization order for property classified 18 as commercial property or industrial property may only be filed 19 if you have not filed a protest against the assessment as 20 adjusted by an equalization order for the property in any of 21 the immediately preceding three assessment years. 22 Sec. 5. Section 441.49, subsection 4, Code 2023, is amended 23 to read as follows: 24 4. The local board of review shall reconvene in special 25 session from October 10 to November 15 for the purpose of 26 hearing the protests of affected property owners or taxpayers 27 within the jurisdiction of the board whose valuation of 28 property if adjusted pursuant to the equalization order 29 issued by the department of revenue will result in a greater 30 value than permitted under section 441.21 . A property owner 31 or taxpayer shall not be authorized to protest against the 32 assessment as adjusted by an equalization order for property 33 classified as commercial property or industrial property if the 34 owner or taxpayer has filed a protest against the assessment 35 -3- LSB 1348XS (2) 90 md/jh 3/ 5
S.F. 13 as adjusted by an equalization order for the property in any 1 of the immediately preceding three assessment years. The 2 board of review shall accept protests only during the period 3 of time from October 9, to and including October 31. The board 4 of review shall limit its review to only the timely filed 5 protests. The board of review may adjust all or a part of the 6 percentage increase ordered by the department of revenue by 7 adjusting the actual value of the property under protest to one 8 hundred percent of actual value. Any adjustment so determined 9 by the board of review shall not exceed the percentage increase 10 provided for in the departments equalization order. The 11 determination of the board of review on filed protests is 12 final, subject to appeal to the property assessment appeal 13 board. A final decision by the local board of review, or the 14 property assessment appeal board, if the local boards decision 15 is appealed, is subject to review by the director of revenue 16 for the purpose of determining whether the boards actions 17 substantially altered the equalization order. In making the 18 review, the director has all the powers provided in chapter 19 421 , and in exercising the powers the director is not subject 20 to chapter 17A . Not later than fifteen days following the 21 adjournment of the board, the board of review shall submit to 22 the director of revenue, on forms prescribed by the director, a 23 report of all actions taken by the board of review during this 24 session. 25 Sec. 6. APPLICABILITY. This Act applies to assessment years 26 beginning on or after January 1, 2024. 27 EXPLANATION 28 The inclusion of this explanation does not constitute agreement with 29 the explanations substance by the members of the general assembly. 30 This bill relates to protests of assessments for commercial 31 and industrial property filed with the local board of review. 32 The bill provides that for the protests of property assessments 33 filed with the local board of review during the period of April 34 2, to and including April 30, a property owner or aggrieved 35 -4- LSB 1348XS (2) 90 md/jh 4/ 5
S.F. 13 taxpayer shall not be authorized to protest the owner or 1 taxpayers assessment for property classified as commercial 2 property or industrial property if the owner or taxpayer has 3 filed a protest for the property in any of the immediately 4 preceding three assessment years, unless the assessor, 5 following an informal review under Code section 441.30, 6 recommends that the owner or taxpayer file a protest; there 7 is a clerical or mathematical error in the assessment; or the 8 property has changed ownership, been reclassified, or has been 9 improved or had improvements to the property removed during the 10 year preceding January 1 of the assessment year. 11 The bill also amends Code section 441.49 relating to 12 protests of changes to assessments resulting from application 13 of equalization orders issued by the department of revenue. 14 The bill provides that a property owner or taxpayer shall not 15 be authorized to protest against the assessment as adjusted by 16 an equalization order for property classified as commercial 17 property or industrial property if the owner or taxpayer has 18 filed a protest against the assessment as adjusted by an 19 equalization order for the property in any of the immediately 20 preceding three assessment years. 21 The bill applies to assessment years beginning on or after 22 January 1, 2024. 23 -5- LSB 1348XS (2) 90 md/jh 5/ 5