4/11/02 3379s

4/18/02 3540s

2may02...3705cofc

2002 SESSION

01-0212 09/10

HOUSE BILL 213-FN

COMMITTEE: Ways and Means

AMENDED ANALYSIS

This bill establishes a study committee on education property tax hardship relief.

This bill changes certain requirements for appraisals of property for tax purposes.

The bill also makes an operating budget appropriation for fiscal year 2002 for hardship grants nonlapsing.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

2jan02...1959h

4/11/02 3379s

4/18/02 3540s

2may02...3705cofc

01-0212

09/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Two

Be it Enacted by the Senate and House of Representatives in General Court convened:

249:1 Committee Established. There is established a committee to study education property tax hardship relief.

249:2 Membership and Compensation.

I. The members of the committee shall be as follows:

(a) Three members of the house of representatives, appointed by the speaker of the house.

(b) Three members of the senate, appointed by the president of the senate.

II. Members of the committee shall receive mileage at the legislative rate when attending to the duties of the committee.

249:3 Duties. The committee shall study the components of education property tax hardship relief and recommend changes to current education property tax hardship relief laws.

249:4 Chairperson; Quorum. The members of the study committee shall elect a chairperson from among the members. The first meeting of the committee shall be called by the first-named house member. The first meeting of the committee shall be held within 45 days of the effective date of this section. Four members of the committee shall constitute a quorum.

249:5 Report. The committee shall report its findings and any recommendations for proposed legislation to the speaker of the house of representatives, the senate president, the house clerk, the senate clerk, the governor, and the state library on or before November 1, 2002.

249:6 Appraisals of Property for Ad Valorem Tax Purposes. Amend RSA 21-J:11 to read as follows:

21-J:11 Appraisals of Property for Ad Valorem Tax Purposes.

I. Every person, firm, or corporation intending to engage in the business of making appraisals on behalf of a municipality for tax assessment purposes in this state shall notify the commissioner of that intent in writing. No person, firm, or corporation engaged in the business of making appraisals of taxable property for municipalities and taxing districts shall [enter into any contract or agreement with any town, city, or other governmental division] begin any appraisal work without first submitting [the proposed] a copy of the contract or agreement to the commissioner [for examination and approval and submitting to the commissioner evidence of financial responsibility and professional capability] along with the names and qualifications of all personnel to be employed under the contract or agreement. Any contract or agreement entered into for a reassessment or new assessment ordered by the board of tax and land appeals, pursuant to RSA 71-B, shall be first submitted to the commissioner for examination and approval. This paragraph shall not apply to municipal employees.

II. The commissioner, at no expense to the municipality, shall monitor appraisals of property and supervise appraisers as follows:

(a) Assure that appraisals comply with all applicable statutes and rules;

(b) Assure that appraisers are complying with the terms of [any] the appraisal contract or agreement;

(c) Review the accuracy of appraisals by inspection, evaluation, and testing, in whole or in part, of data collected by the appraisers; and

(d) Report to the governing body on the progress and quality of the municipality's appraisal process.

III. The commissioner shall adopt rules under RSA 541-A relative to the: [provisions required of all contracts for appraisal services and the]

(a) Contract or agreement provisions for a full revaluation, a partial revaluation, or a statistical update; and

(b) Methodology for inspection, evaluation, and testing of data for the purpose of appraisal monitoring.

249:7 New Section; Cessation of Unauthorized Appraisals. Amend RSA 21-J by inserting after section 14-j the following new section:

21-J:14-k Cessation of Unauthorized Appraisals. The commissioner, or the commissioner's authorized agents, may issue a written cease and desist order against any person, firm, corporation, or municipality that does not comply with RSA 21-J:11, I or RSA 21-J:14-f. Any such act may be enjoined by the superior court, upon application of the attorney general.

249:8 Footnote Added; Hardship Grants. Amend 2001, 130:1.06, 03, 02, 02, 04, class 90 to read as follows:

FY 2002 FY 2003

90 Hardship Grants F 5,000,000 5,000,000

249:9 Effective Date. This act shall take effect upon its passage.

(Approved: May 17, 2002)

(Effective Date: May 17, 2002)