FINAL BILL REPORT

                   SB 6113

                          C 184 L 98

                      Synopsis as Enacted

Brief Description:  Exempting from taxation property of nonprofit organizations providing medical research or training of medical personnel.

Sponsors:  Senators Wood, West, Thibaudeau, Kohl, Long and Rasmussen.

Senate Committee on Ways & Means

House Committee on Finance

Background:  All property in this state is subject to the property tax each year based on the property=s value unless a specific exemption is provided by law.  The state Constitution exempts public property but allows the Legislature to exempt other property from taxation.

Major property tax exemptions for nonprofit organizations include churches, nonprofit hospitals, nursing homes, homes for the aging, blood banks, the Red Cross, private schools and colleges, sheltered workshops, day care centers, assembly halls and meeting places, libraries, and youth organizations.

All real or personal property owned by a nonprofit corporation or association which is available without charge for research by or training of medical or hospital personnel or used for medical research which is available without cost to the public is exempt from property tax.

Summary:  All real or personal property used by a nonprofit corporation or association which is available without charge for research by or training of medical or hospital personnel or used for medical research which is available without cost to the public is exempt from property tax.  For leased property, the benefit of the exemption must inure to the nonprofit corporation or association.

Votes on Final Passage:

Senate 42 0

House     96 0 (House amended)

Senate    45 0 (Senate concurred)

Effective:  June 11, 1998