FINAL BILL REPORT

                            SB 5835

                          C 220 L 93

                      SYNOPSIS AS ENACTED

Brief Description:  Exempting certain public authority property from taxation.

SPONSORS: Senators McAuliffe, Bluechel and McDonald

SENATE COMMITTEE ON WAYS & MEANS

HOUSE COMMITTEE ON REVENUE

BACKGROUND:

Public corporations, commissions, or authorities receive the same immunity or exemption from taxation as the cities or towns which form them.  However, these entities must pay an in lieu excise tax on their real and personal property equal to the regular property taxes that would have been paid if the property were privately owned.  Exempt from the tax is: (a) property within a special review district established by ordinance before January 1, 1976, or property listed on a state or federal register of historic sites, or property which is within a special review district listed on such a register, and (b) property owned or operated by a public corporation that is used primarily for low-income housing.  Proceeds from the excise tax are distributed to the taxing districts in which the property is situated in the same manner as property taxes.

SUMMARY:

Property owned, operated, or controlled by a public corporation that is used as a convention center, performing arts center, public assembly hall, or public meeting place is exempt from the in lieu excise tax.

VOTES ON FINAL PASSAGE:

Senate    37   4

House     87   5

EFFECTIVE:July 25, 1993