MD
Maryland Senate Bill SB247

Maryland 2022 Regular Session

Maryland Senate Bill SB247 Compare Versions

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1- LAWRENCE J. HOGAN, JR., Governor Ch. 645
21
3-– 1 –
4-Chapter 645
5-(Senate Bill 247)
62
7-AN ACT concerning
3+EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4+ [Brackets] indicate matter deleted from existing law.
5+ Underlining indicates amendments to bill.
6+ Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7+amendment.
8+ Italics indicate opposite chamber/conference committee amendments.
9+ *sb0247*
810
9-State Department of Assessments and Taxation – Real Property Assessments
10-and Appeals
11+SENATE BILL 247
12+Q1 (2lr1240)
13+ENROLLED BILL
14+— Budget and Taxation/Ways and Means —
15+Introduced by Senator Hayes
1116
12-FOR the purpose of requiring the State Department of Assessments and Taxation to
13-publish on the Department’s website certain information relating to the assessment
14-process and methodology used by the Department in determining the value of real
15-property; altering the minimum value of property improvements required for a
16-certain revaluation of the property by the Department during a certain 3–year cycle;
17-allowing certain authorities authorized to hear property tax appeals to consider
18-certain criteria when hearing an appeal that relates to the valuation of real property;
19-requiring the Department appeal authority to notify, within a certain number of days
20-after a certain decision of an the appeal authority regarding commercial real
21-property, the governing body of a county and municipal corporation in which the
22-property is located; and generally relating to the State Department of Assessments
23-and Taxation, property assessments, and appeals.
17+Read and Examined by Proofreaders:
2418
25-BY adding to
26- Article – Tax – Property
27-Section 2–218.2
28- Annotated Code of Maryland
29- (2019 Replacement Volume and 2021 Supplement)
19+_______________________________________________
20+Proofreader.
21+_______________________________________________
22+Proofreader.
3023
31-BY repealing and reenacting, with amendments,
32- Article – Tax – Property
33-Section 8–104(c)(1) and 14–516
34- Annotated Code of Maryland
35- (2019 Replacement Volume and 2021 Supplement)
24+Sealed with the Great Seal and presented to the Governor, for his approval this
3625
37- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
38-That the Laws of Maryland read as follows:
26+_______ day of _______________ at _________________ _______ o’clock, ________M.
3927
40-Article – Tax – Property
28+______________________________________________
29+President.
4130
42-2–218.2.
31+CHAPTER ______
4332
44- THE DEPARTMENT SHALL PUBL ISH ON THE DEPARTMENT ’S WEBSITE A PLAIN
45-LANGUAGE DESCRIPTION OF THE FOLLOWING :
33+AN ACT concerning 1
4634
47- (1) THE METHODOLOGY APPLIED IN THE VALUA TION AND
48-ASSESSMENT PROCESS ; Ch. 645 2022 LAWS OF MARYLAND
35+State Department of Assessments and Taxation – Real Property Assessments 2
36+and Appeals 3
4937
50-– 2 –
38+FOR the purpose of requiring the State Department of Assessments and Taxation to 4
39+publish on the Department’s website certain information relating to the assessment 5
40+process and methodology used by the Department in determining the value of real 6
41+property; altering the minimum value of property improvements required for a 7
42+certain revaluation of the property by the Department during a certain 3–year cycle; 8
43+allowing certain authorities authorized to hear property tax appeals to consider 9
44+certain criteria when hearing an appeal that relates to the valuation of real property; 10
45+requiring the Department appeal authority to notify, within a certain number of days 11
46+after a certain decision of an the appeal authority regarding commercial real 12
47+property, the governing body of a county and municipal corporation in which the 13
48+property is located; and generally relating to the State Department of Assessments 14
49+and Taxation, property assessments, and appeals. 15 2 SENATE BILL 247
5150
52- (2) ANY ADJUSTMENTS IN V ALUE THAT AN ASSESSO R IS AUTHORIZED
53-TO MAKE;
5451
55- (3) THE CRITERIA USED TO DETERMINE THE DEPREC IATION VALUE
56-OF REAL PROPERTY ;
5752
58- (4) THE CIRCUMSTANCES UN DER WHICH THE DEPARTMENT IS
59-REQUIRED TO REVALUE REAL PROPERTY IN ANY YEAR OF A 3–YEAR CYCLE; AND
53+BY adding to 1
54+ Article – Tax – Property 2
55+Section 2–218.2 3
56+ Annotated Code of Maryland 4
57+ (2019 Replacement Volume and 2021 Supplement) 5
6058
61- (5) ANY OTHER FACTORS RE LEVANT TO THE VALUAT ION OF REAL
62-PROPERTY BY THE DEPARTMENT .
59+BY repealing and reenacting, with amendments, 6
60+ Article – Tax – Property 7
61+Section 8–104(c)(1) and 14–516 8
62+ Annotated Code of Maryland 9
63+ (2019 Replacement Volume and 2021 Supplement) 10
6364
64-8–104.
65+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 11
66+That the Laws of Maryland read as follows: 12
6567
66- (c) (1) In any year of a 3–year cycle, real property shall be revalued if any of
67-the factors listed below causes a change in the value of the real property:
68+Article – Tax – Property 13
6869
69- (i) the zoning classification is changed at the initiative of the owner
70-or anyone having an interest in the property;
70+2–218.2. 14
7171
72- (ii) a change in use or character occurs;
72+ THE DEPARTMENT SHALL PUBLISH ON THE DEPARTMENT ’S WEBSITE A PLAIN 15
73+LANGUAGE DESCRIPTION OF THE FOLLOWING : 16
7374
74- (iii) substantially completed improvements OR RENOVATIONS are
75-made which add at least [$100,000] $50,000 in value to the property;
75+ (1) THE METHODOLOGY APPL IED IN THE VALUATION AND 17
76+ASSESSMENT PROCESS ; 18
7677
77- (iv) an error in calculation or measurement of the real property
78-caused the value to be erroneous;
78+ (2) ANY ADJUSTMENTS IN V ALUE THAT AN ASSESSO R IS AUTHORIZED 19
79+TO MAKE; 20
7980
80- (v) a residential use assessment is terminated pursuant to § 8–226
81-of this title; or
81+ (3) THE CRITERIA USED TO DETERMINE THE DEPREC IATION VALUE 21
82+OF REAL PROPERTY ; 22
8283
83- (vi) a subdivision occurs. For purposes of this subsection,
84-“subdivision” means the division of real property into 2 or more parcels by subdivision plat,
85-condominium plat, time–share, metes and bounds, or other means.
84+ (4) THE CIRCUMSTANCES UN DER WHICH THE DEPARTMENT IS 23
85+REQUIRED TO REVALUE REAL PROPERTY IN ANY YEAR OF A 3–YEAR CYCLE; AND 24
8686
87-14–516.
87+ (5) ANY OTHER FACTORS RE LEVANT TO THE VALUAT ION OF REAL 25
88+PROPERTY BY THE DEPARTMENT. 26
8889
89- (a) In this section, “appeal authority” includes:
90+8–104. 27
9091
91- (1) a supervisor;
92+ (c) (1) In any year of a 3–year cycle, real property shall be revalued if any of 28
93+the factors listed below causes a change in the value of the real property: 29
9294
93- (2) the Department;
95+ (i) the zoning classification is changed at the initiative of the owner 30
96+or anyone having an interest in the property; 31
97+ SENATE BILL 247 3
9498
95- (3) a property tax assessment appeal board; LAWRENCE J. HOGAN, JR., Governor Ch. 645
9699
97-– 3 –
100+ (ii) a change in use or character occurs; 1
98101
99- (4) the Maryland Tax Court; and
102+ (iii) substantially completed improvements OR RENOVATIONS are 2
103+made which add at least [$100,000] $50,000 in value to the property; 3
100104
101- (5) any other court authorized to hear property tax appeals under this
102-subtitle.
105+ (iv) an error in calculation or measurement of the real property 4
106+caused the value to be erroneous; 5
103107
104- (B) IN HEARING AN APPEAL UNDER THIS SUBTITLE THAT RELATES TO THE
105-VALUE OF REAL PROPER TY, AN APPEAL AUTHORITY MAY CONSIDER THE FOL LOWING
106-CRITERIA IN MAKING I TS FINAL DECISION :
108+ (v) a residential use assessment is terminated pursuant to § 8–226 6
109+of this title; or 7
107110
108- (1) THE FAIR MARKET VALU E OF THE REAL PROPERTY ;
111+ (vi) a subdivision occurs. For purposes of this subsection, 8
112+“subdivision” means the division of real property into 2 or more parcels by subdivision plat, 9
113+condominium plat, time–share, metes and bounds, or other means. 10
109114
110- (2) THE VALUATION AND AS SESSMENT METHODOLOGY EMPLOYED BY
111-THE ASSESSOR ;
115+14–516. 11
112116
113- (3) DEPRECIATION FACTORS ; OR
117+ (a) In this section, “appeal authority” includes: 12
114118
115- (4) THE ASSESSMENT VALUE OF COMPARABLE PROPER TIES; OR
119+ (1) a supervisor; 13
116120
117- (5) ANY OTHER CRITERIA R ELATED TO THE VALUAT ION AND
118-ASSESSMENT OF REAL P ROPERTY.
121+ (2) the Department; 14
119122
120- (C) (1) WITHIN 10 DAYS AFTER A DECISIO N BY AN APPEAL AUTHO RITY
121-THAT REDUCES THE VAL UE OF COMMERCIAL REA L PROPERTY BY MORE T HAN 20%,
122-THE DEPARTMENT APPEAL AUTHORITY SHALL NOTIFY THE GOV ERNING BODY OF
123-THE COUNTY AND MUNIC IPAL CORPORATION IN WHICH THE PROPERTY IS LOCATED
124-OF THE DECISION .
123+ (3) a property tax assessment appeal board; 15
125124
126- (2) NOTWITHSTANDING ANY O THER PROVISIONS OF T HIS SUBTITLE,
127-WITHIN 90 DAYS AFTER RECEIVING NOTICE FROM THE DEPARTMENT APPEAL
128-AUTHORITY UNDER PARAGRAPH (1) OF THIS SUBSECTION , THE GOVERNING BODY
129-OF THE COUNTY OR MUN ICIPAL CORPORATION MAY APPEAL TO THE APPROP RIATE
130-APPEAL AUTHORITY .
125+ (4) the Maryland Tax Court; and 16
131126
132- [(b)] (C) (D) (1) Subject to paragraph (2) of this subsection, within 30 days after
133-the Department provides notice to a tax collector to whom property tax was paid that an
134-appeal authority has issued a decision that reduces the assessed value of property, the tax
135-collector shall pay to the taxpayer a full refund of the excess tax paid.
127+ (5) any other court authorized to hear property tax appeals under this 17
128+subtitle. 18
136129
137- (2) The notice required under paragraph (1) of this subsection shall include
138-a list of all properties for which an appeal authority has calculated that a taxpayer is due
139-a refund as a result of a decision by the appeal authority to reduce the assessed value of
140-the property.
141- Ch. 645 2022 LAWS OF MARYLAND
130+ (B) IN HEARING AN APPEAL UNDER THIS SUBTITLE THAT RELATES TO THE 19
131+VALUE OF REAL PROPER TY, AN APPEAL AUTHORITY MAY CONSIDER THE FOLLOWING 20
132+CRITERIA IN MAKING I TS FINAL DECISION : 21
142133
143-– 4 –
144- SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect
145-October 1, 2022.
134+ (1) THE FAIR MARKET VALU E OF THE REAL PROPER TY; 22
146135
147-Enacted under Article II, § 17(c) of the Maryland Constitution, May 29, 2022.
136+ (2) THE VALUATION AND AS SESSMENT METHODOLOGY EMPLOYED BY 23
137+THE ASSESSOR; 24
138+
139+ (3) DEPRECIATION FACTORS ; OR 25
140+
141+ (4) THE ASSESSMENT VALUE OF COMPARABLE PROPERTIE S; OR 26
142+
143+ (5) ANY OTHER CRITERIA R ELATED TO THE VALUAT ION AND 27
144+ASSESSMENT OF REAL P ROPERTY. 28
145+ 4 SENATE BILL 247
146+
147+
148+ (C) (1) WITHIN 10 DAYS AFTER A DECISIO N BY AN APPEAL AUTHO RITY 1
149+THAT REDUCES THE VAL UE OF COMMERCIAL REA L PROPERTY BY MORE T HAN 20%, 2
150+THE DEPARTME NT APPEAL AUTHORITY SHALL NOTIFY THE GOV ERNING BODY OF 3
151+THE COUNTY AND MUNIC IPAL CORPORATION IN WHICH THE PROPERTY I S LOCATED 4
152+OF THE DECISION . 5
153+
154+ (2) NOTWITHSTANDING ANY O THER PROVISIONS OF T HIS SUBTITLE, 6
155+WITHIN 90 DAYS AFTER RECEIVING NOTICE FROM THE DEPARTMENT APPEAL 7
156+AUTHORITY UNDER PARAGRAPH (1) OF THIS SUBSECTION , THE GOVERNING BODY 8
157+OF THE COUNTY OR MUN ICIPAL CORPORATION M AY APPEAL TO THE APP ROPRIATE 9
158+APPEAL AUTHORITY . 10
159+
160+ [(b)] (C) (D) (1) Subject to paragraph (2) of this subsection, within 30 days after 11
161+the Department provides notice to a tax collector to whom property tax was paid that an 12
162+appeal authority has issued a decision that reduces the assessed value of property, the tax 13
163+collector shall pay to the taxpayer a full refund of the excess tax paid. 14
164+
165+ (2) The notice required under paragraph (1) of this subsection shall include 15
166+a list of all properties for which an appeal authority has calculated that a taxpayer is due 16
167+a refund as a result of a decision by the appeal authority to reduce the assessed value of 17
168+the property. 18
169+
170+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 19
171+October 1, 2022. 20
172+
173+
174+
175+
176+
177+Approved:
178+________________________________________________________________________________
179+ Governor.
180+________________________________________________________________________________
181+ President of the Senate.
182+________________________________________________________________________________
183+ Speaker of the House of Delegates.