1     
TAX AMENDMENTS

2     
2018 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Lincoln Fillmore

5     
House Sponsor: Adam Robertson

6     

7     LONG TITLE
8     General Description:
9          This bill amends provisions related to property valuation adjustments made by the
10     county board of equalization.
11     Highlighted Provisions:
12          This bill:
13          ▸     defines "significant adjustment";
14          ▸     requires the county board of equalization to list separately a significant adjustment
15     on an agenda for a public hearing and provide certain property information; and
16          ▸     makes technical and conforming changes.
17     Money Appropriated in this Bill:
18          None
19     Other Special Clauses:
20          None
21     Utah Code Sections Affected:
22     AMENDS:
23          59-2-1004, as last amended by Laws of Utah 2016, Chapter 98
24     

25     Be it enacted by the Legislature of the state of Utah:
26          Section 1. Section 59-2-1004 is amended to read:
27          59-2-1004. Appeal to county board of equalization -- Real property -- Time
28     period for appeal -- Decision of board -- Extensions approved by commission -- Appeal to
29     commission.
30          (1) (a) A taxpayer dissatisfied with the valuation or the equalization of the taxpayer's
31     real property may make an application to appeal by:
32          (i) filing the application with the county board of equalization within the time period
33     described in Subsection (2); or
34          (ii) making an application by telephone or other electronic means within the time
35     period described in Subsection (2) if the county legislative body passes a resolution under
36     Subsection (7) authorizing [applications to be made] a taxpayer to make an application by
37     telephone or other electronic means.
38          (b) The county board of equalization shall make a rule describing the contents of the
39     application [shall be prescribed by rule of the county board of equalization].
40          (2) (a) Except as provided in Subsection (2)(b)[,] and for purposes of Subsection (1), a
41     taxpayer shall make an application to appeal the valuation or the equalization of the taxpayer's
42     real property on or before the later of:
43          (i) September 15 of the current calendar year; or
44          (ii) the last day of a 45-day period beginning on the day on which the county auditor
45     provides the notice under Section 59-2-919.1.
46          (b) [Notwithstanding Subsection (2)(a), in] In accordance with Title 63G, Chapter 3,
47     Utah Administrative Rulemaking Act, the commission shall make rules providing for
48     circumstances under which the county board of equalization is required to accept an application
49     to appeal that is filed after the time period prescribed in Subsection (2)(a).
50          (3) The owner shall include in the application under Subsection (1)(a)(i) the owner's
51     estimate of the fair market value of the property and any evidence [which] that may indicate
52     that the assessed valuation of the owner's property is improperly equalized with the assessed
53     valuation of comparable properties.
54          (4) In reviewing evidence submitted to a county board of equalization by or on behalf
55     of an owner or a county assessor, the county board of equalization shall consider and weigh:
56          (a) the accuracy, reliability, and comparability of the evidence presented by the owner
57     or the county assessor;
58          (b) if submitted, the sales price of relevant property that was under contract for sale as
59     of the lien date but sold after the lien date;
60          (c) if submitted, the sales offering price of property that was offered for sale as of the
61     lien date but did not sell, including considering and weighing the amount of time for which,
62     and manner in which, the property was offered for sale; and
63          (d) if submitted, other evidence that is relevant to determining the fair market value of
64     the property.
65          (5) (a) The county board of equalization shall meet and hold public hearings as
66     [prescribed] described in Section 59-2-1001.
67          (b) (i) For purposes of this Subsection (5)(b), "significant adjustment" means a
68     proposed adjustment to the valuation of real property that:
69          (A) is to be made by a county board of equalization; and
70          (B) would result in a valuation that differs from the original assessed value by at least
71     20% and $1,000,000.
72          (ii) When a county board of equalization is going to consider a significant adjustment,
73     the county board of equalization shall:
74          (A) list the significant adjustment as a separate item on the agenda of the public
75     hearing at which the county board of equalization is going to consider the significant
76     adjustment; and
77          (B) for purposes of the agenda described in Subsection (5)(b)(ii)(A), provide a
78     description of the property for which the county board of equalization is considering a
79     significant adjustment.
80          [(b)] (c) The county board of equalization shall make a decision on each appeal filed in
81     accordance with this section within [a 60-day period] 60 days after the day on which the
82     taxpayer makes an application [is made].
83          [(c)] (d) The commission may approve the extension of a time period provided for in
84     Subsection (5)(b) for a county board of equalization to make a decision on an appeal.
85          [(d)] (e) Unless the commission approves the extension of a time period under
86     Subsection (5)[(c)](d), if a county board of equalization fails to make a decision on an appeal
87     within the time period described in Subsection (5)[(b)](c), the county legislative body shall:
88          (i) list the appeal, by property owner and parcel number, on the agenda for the next
89     meeting [of] the county legislative body [that is held] holds after the expiration of the time
90     period described in Subsection (5)[(b)](c); and
91          (ii) hear the appeal at the meeting described in Subsection (5)[(d)](e)(i).
92          [(e)] (f) The decision of the county board of equalization shall contain:
93          (i) a determination of the valuation of the property based on fair market value[,]; and
94          (ii) a conclusion that the fair market value is properly equalized with the assessed value
95     of comparable properties.
96          [(f)] (g) If no evidence is presented before the county board of equalization, [it will be
97     presumed] the county board of equalization shall presume that the equalization issue has been
98     met.
99          [(g)] (h) (i) If the fair market value of the property that is the subject of the appeal
100     deviates plus or minus 5% from the assessed value of comparable properties, the county board
101     of equalization shall adjust the valuation of the appealed property [shall be adjusted] to reflect
102     a value equalized with the assessed value of comparable properties.
103          (ii) Subject to Sections 59-2-301.1, 59-2-301.2, 59-2-301.3, and 59-2-301.4, equalized
104     value established under Subsection (5)[(g)](h)(i) shall be the assessed value for property tax
105     purposes until the county assessor is able to evaluate and equalize the assessed value of all
106     comparable properties to bring [them] all comparable properties into conformity with full fair
107     market value.
108          (6) If any taxpayer is dissatisfied with the decision of the county board of equalization,
109     the taxpayer may file an appeal with the commission as [prescribed] described in Section
110     59-2-1006.
111          (7) A county legislative body may pass a resolution authorizing taxpayers owing taxes
112     on property assessed by that county to file property tax appeals applications under this section
113     by telephone or other electronic means.




Legislative Review Note
Office of Legislative Research and General Counsel