WEST VIRGINIA LEGISLATURE
2016 REGULAR SESSION
Introduced
Senate Joint Resolution 2
By Senators Snyder and Unger
[Introduced January 13, 2016;
Referred to the Committee on the Judiciary; and then to the Committee on Finance.]
Proposing an amendment to the Constitution of the State of West Virginia, amending section one-b, article X thereof, relating to homestead exemption increase; numbering and designating such proposed amendment; and providing a summarized statement of the purpose of such proposed amendment.
Resolved by the Legislature of West Virginia, two thirds of the members elected to each house agreeing thereto:
That the question of ratification or rejection of an amendment to the Constitution of the State of West Virginia be submitted to the voters of the state at the next general election to be held in the year 2016, which proposed amendment is that section one-b, article X thereof be amended to read as follows:
ARTICLE X. TAXATION AND FINANCE.
§1b. Property tax limitation and homestead exemption amendment of 1982.
Ad valorem property taxation shall be in accordance with this section and other applicable provisions of this article not inconsistent with this section.
Subsection A -- Value; Rate of Assessment; Exceptions
Notwithstanding any other
provisions of this Constitution and except as otherwise provided in this
section, all property subject to ad valorem taxation shall be assessed at sixty
percent of its value, as directed to be ascertained in this section, except
that the Legislature may, from time to time, by general law agreed to by two
thirds of the members elected to each house, establish a higher percentage for the
purposes of this paragraph, which percentage shall be uniform as to all classes
of property defined in section one of this article, but not more than one
hundred percent of such the value.
Notwithstanding the
foregoing, for July 1, 1982, and July 1 of each year thereafter until the
values may be fixed as a result of the first statewide reappraisal hereinafter
required, assessments shall be made under the provisions of current statutory
law, which is hereby validated for such purpose until and unless amended by the
Legislature. Assessment and taxation in accord with this section shall be
deemed to be equal and uniform for all purposes.
Subsection B -- Determination of Value
The Legislature shall
provide by general law for periodic statewide reappraisal of all property,
which reappraisal shall be related for all property to a specified base year
which, as to each such reappraisal, shall be uniform for each appraisal
for all classes of property and all counties. In such the law,
the Legislature shall provide for consideration of: (1) Trends in market
values over a fixed period of years prior to the base year; (2) the location of
the property; and (3) such other factors and methods as it may
determine: Provided, That with respect to reappraisal of all
property upon the base year of 1980, such reappraisals are deemed to be valid
and in compliance with this section: Provided, however, That with
respect to farm property, as defined from time to time by the Legislature
by general law, the determination of value shall be according to its fair and
reasonable value for farming purposes, as may be defined by general law.
The results of each
statewide appraisal shall upon completion be certified and published and errors
therein may be corrected, all as provided by general law. The first such
statewide appraisal shall be completed, certified and published on or before
March 31, 1985, for use when directed by the Legislature.
The Legislature shall further prescribe by general law the manner in which each statewide reappraisal shall be employed to establish the value of the various separately assessed parcels or interests in parcels of real property and various items of personal property subject to ad valorem property taxation, the methods by which increases and reductions in value subsequent to the base year of each statewide reappraisal shall be ascertained, and require the enforcement thereof.
Subsection C -- General Homestead Exemption
Notwithstanding any other
provisions of this Constitution to the contrary, no less than the first
$20,000 of assessed valuation of any real property, or of personal property in
the form of a mobile home, used exclusively for residential purposes and
occupied by the owner or one of the owners thereof as his or her residence
who is a citizen of this state and who is sixty-five years of age or older or
is permanently and totally disabled as that term may be defined by the
Legislature, shall be exempt from ad valorem property taxation, subject to such
the requirements, limitations and conditions as shall be prescribed by
general law.
Notwithstanding any other
provision of this Constitution to the contrary, the Legislature shall have
the authority to may provide by general law for an exemption from ad
valorem property taxation in an amount not to exceed less than
the first $20,000 of value of any real property, or of personal property in the
form of a mobile home, used exclusively for residential purposes and occupied
by the owner or one of the owners thereof as his or her residence who is
a citizen of this state, and who is under sixty-five years of age and not
totally and permanently disabled: Provided, That upon enactment of such
the general law, this exemption shall only apply to such the
property in any county in which the property was appraised at its value as of
January 1, 1980, or thereafter, as determined by the Legislature, and this
exemption shall be phased in over such a period of time
not to exceed five years from the date such the property was so
appraised, or such a longer time as the Legislature may
determine by general law: Provided, however, That in no event shall
may any one person and his or her spouse, or one homestead be
entitled to more than one exemption under these provisions: Provided
further, That these provisions are subject to such the
requirements, limitations and conditions as shall be prescribed by
general law: And provided further, That the Legislature may
provide tax relief by general law by calculating a percentage of the average
cost or value by county of any real property, or of personal property in the
form of a mobile home, used exclusively for residential purposes and occupied
by the owner or one of the owners thereof as his or her residence who is a citizen
of this state and who is sixty-five years of age or older or is permanently and
totally disabled, with the homestead exemption never less than $20,000.
The Legislature shall
have the authority to may provide by general law for property tax
relief to citizens of this state who are tenants of residential or farm
property.
Subsection D -- Additional Limitations on Value
With respect to the
first statewide reappraisal, pursuant to this section, the resulting increase
in value in each and every parcel of land or interest therein and various items
of personal property subject to ad valorem property taxation over and above the
previously assessed value shall be allocated over a period of ten years in
equal amounts annually.
The Legislature may by
general law provide for the phasing in of any subsequent statewide
reappraisal of property.
Subsection E -- Levies for Free Schools
In equalizing the support
of free schools provided by state and local taxes, the Legislature may require
that the local school districts levy all or any portion of the maximum levies
allowed under section one of this article which has been allocated to such
the local school districts.
Within the limits of the
maximum levies permitted for excess levies for schools or better schools in
sections one and ten of this article, the Legislature may, in lieu of the
exercise of such those powers by the local school districts as
heretofore provided, submit to the voters, by general law, a statewide excess
levy, and if it be is approved by the required number of voters,
impose such the levy, subject however to all the limitations and
requirements for the approval of such the levies as in the case
of a district levy. The law submitting the question to the voters shall
provide, upon approval of the levy by the voters, for the assumption of the
obligation of any local excess levies for schools then in force theretofore
authorized by the voters of a local taxing unit to the extent of such the
excess levies imposed by the state and so as to avoid double taxation of those
local districts. The Legislature may also by general law reserve to the school
districts such the portions of the power to lay authorized excess
levies as it may deem appropriate to enable local school districts to provide
educational services which are not required to be furnished or supported by the
state. If a statewide excess levy for the support of free schools is approved
by the required majority, the revenue from such a statewide excess levy
shall be deposited in the State Treasury and be allocated first for the local
obligations assumed and thereafter for such part of the state effort to
support free schools, by appropriation or as the law submitting the levy to the
voters shall require, as the case may be.
The defeat of any such
proposed statewide excess levy for school purposes shall may not
in any way abrogate or impair any local existing excess levy for such that
purpose nor prevent the adoption of any future local excess levy for such
that purpose.
Subsection F -- Implementation
In the event of any
inconsistency between any of the provisions of this section and other
provisions of this Constitution, the provisions of this section shall prevail.
The Legislature shall have plenary power to may provide by general
law for the equitable application of this article. and, as to taxes to be
assessed prior to the first statewide reappraisal, to make such laws
retroactive to July 1, 1982, or thereafter
Resolved further, That in accordance with the provisions of article eleven, chapter three of the Code of West Virginia, 1931, as amended, such proposed amendment is hereby numbered AAmendment No. 1" and designated as the AHomestead Exemption Calculation Amendment@ and the purpose of the proposed amendment is summarized as follows: AThe purpose of this amendment is to provide an alternative method of calculating the homestead exemption and providing that the exemption may never be less than $20,000.@
NOTE: The purpose of this resolution is to provide an alternative method of calculating the homestead exemption based on the average cost or value of the residential property by county. The exemption may never be less than $20,000.
Strike-throughs indicate language that would be stricken from the present Constitution, and underscoring indicates new language that would be added.