|Posted:||January 30, 2017 02:41 PM|
|From:||Representative Judy Ward|
|To:||All House members|
|Subject:||Deteriorating Property Tax Revitalization Cosponsorship|
|I will soon be reintroducing legislation that encourages mixed-use redevelopment of blighted and abandoned properties.
This legislation allows developers and property owners to receive a tax abatement incentive once they apply and are approved to rebuild upon an abandoned or blighted property or in a deteriorated area.
In my bill, properties must fulfill specific requirements, such as being a “deteriorated property,” correcting all code violations, conforming to zoning requirements and increasing the property value by at least twenty-five percent. My bill also specifies that properties already receiving certain types of other tax exemptions or reductions may not be eligible for the tax abatement or the full tax abatement under this bill.
The incentive program is broken down into yearly increments of tax abatements. Once the ten year mark is hit, the property is assessed and taxed for its full value including increased property value. To ensure that future purchasers are prepared to pay the full tax rate once the ten years is up, developers must submit a “good-faith” estimate when they apply to improve a property. This will make consumers aware of what they will be paying in future years, all the while allowing developers to estimate and organize their own expenses for improvements.
If zoning ordinances permit mixed-use development, developers must improve and rebuild properties that align with mixed-use zoning.
Mixed-use is a viable step in the right direction to eliminate suburban sprawl, decrease greenhouse gas emissions from automobile use, support urban health through the creation of “walkable” areas, and strengthen economic and community development by encouraging a “live and work” environment for consumers. With the shifting generational changes, cities are becoming more popular than traditional suburban living. Thus, it is imperative for mixed-use development to be a focal point for re-development.
Last session, this bill received unanimous support in the House, but was not taken up for a final vote in the Senate.
Thank you for your consideration of this proposed legislation.
Introduced as HB758