Property tax-homestead exemption.

09LSO-0145.C1

FISCAL NOTE

This bill contains an appropriation of $40,200,000 from the GENERAL FUND to the State Treasurer.  This appropriation is effective immediately.

	FY 2010	FY 2011	FY 2012
NON-ADMINISTRATIVE IMPACT
Anticipated Revenue (Decrease):
AD VALOREM TAX	(33,375,876)	0	0
SCHOOL FOUNDATION FUND	(6,807,698)	0	0

Source of revenue decrease: Homestead property tax exemption of $4,400 of assessed value on owner-occupied primary dwellings for homeowners who currently live in Wyoming and have lived in Wyoming for at least 3 years

Assumptions:

The above estimates are based on assessed valuations from the 2008 tax year and the average 2008 municipal mill levy of 70.832 mills. The percentage of owner-occupied properties is assumed to be 71.5%, based on the 2005 American Community Survey, obtained from the U.S. Census Bureau.

This bill shall apply to property tax assessed in tax year 2009, which will impact property taxes collected in FY 2010. The exemption is allowed during the fiscal year only if the legislature has appropriated funds to reimburse local governments for tax losses created by the exemption. Local governments are held harmless in FY 2010 by the appropriation in the bill. The total estimated revenue decrease is offset by the $40,200,000 appropriation.

Please see the attached worksheet for additional information.

NOTICE-AGENCY ESTIMATE OF ADMINISTRATIVE IMPACT REQUESTED

This bill has administrative impact that appears to increase (or decrease) duties or responsibilities of one or more state agencies and may impact agency spending or staffing requirements.

The following state agencies will be asked to provide their estimate of the administrative fiscal impact prior to the first committee meeting held to consider the bill:

Department of Revenue

Prepared by:   Dean Temte, LSO    Phone: 777-7881

(Information provided by Marvin Applequist, DOR; 777-5235)