Bill Number: H.B. 2403
Crandell
Floor Amendment
Reference
to: CEM Committee amendment
Amendment
drafted by: Legislative Council
FLOOR
AMENDMENT EXPLANATION
Under certain conditions, in the
event that a lessee defaults on a lease utilized for the purpose of generating
renewable energy, the lessor’s assessed value is capped at the total amount of
the lease payments collected during the tax year or the assessed value of the
leased property being classified as Class 2 property – whichever is greater.
Fifty-first Legislature Crandell
Second Regular Session H.B.
2403
CRANDELL FLOOR
AMENDMENT
SENATE AMENDMENTS TO
H.B. 2403
(Reference to CEM
amendment)
Page 1, between lines 1 and 2,
insert:
"Section 1. Title
42, chapter 13, Arizona Revised Statutes, is amended by adding article 11, to
read:
ARTICLE
11. VALUATION OF ABANDONED LEASED PROPERTY
START_STATUTE42-13501. Limit on valuation of real property with abandoned renewable
energy equipment
A. The
assessed value of a leased portion of real property that qualifies under
subsection B of this section is the greater of the total lease payments
collected by the real property owner during the tax year or the assessed value
of the leased property if it were classified as class two property.
B. The
real property must meet all of the following conditions:
1. The
real property is being leased by the real property owner to a lessee that
maintains renewable energy equipment on the leased real property.
2. The
real property owner or any affiliate of the owner has no ownership interest in
the lessee or any of its affiliates.
3. The
lessee is in default on the lease, is not making lease payments under the lease
and has abandoned its renewable energy equipment on the leased real property.
4. The
leased real property was classified as class two agricultural property for the
tax year before the lease term commenced.
5. The
total lease payments collected by the real property owner under the lease in
default are less than the assessed value of the leased real property under
class one.END_STATUTE"
Renumber to conform
Amend
title to conform