The original instrument and the following digest, which constitutes no part of the
legislative instrument, were prepared by Leonore Heavey.
DIGEST
SB 245 Original 2020 Regular Session Smith
Present law establishes the mechanism by which ad valorem property tax millage rates are
automatically adjusted in response to changes in the tax base resulting from reassessment or a change
in the homestead exemption. Both the millage rate imposed in the year before the change in the
base, as well as the maximum authorized millage rate, are adjusted so that the same amount of taxes
is collected in the year after reappraisal as was collected in the prior year.
Present law authorizes an increase in a millage rate up to the prior year's maximum authorized rate
by 2/3 vote of its governing body without voter approval. The maximum authorized rate is adjusted
every four years due to statewide reassessment and may also be adjusted due to a change in the
homestead exemption.
Proposed law allows a taxing authority to increase its millage rate up to any previous maximum
authorized millage rate approved by the taxing authority's electors rather than the present law's
maximum authorized rate in effect the prior year.
Effective if and when the proposed amendment of Article 7, Section 23(C) of the Constitution of
Louisiana contained in the Act which originated as SB __ of the 2020 RS is adopted at the statewide
election to be held on November 3, 2020, and becomes effective.
(Amends R.S. 47:1705(B)(1)(a) and (b)(i))