SENATE BILL REPORT

SB 5134

BYSenator McCaslin

Revising procedures for assessment of special benefits to property.

Senate Committee on Governmental Operations

Senate Hearing Date(s):February 2, 1989

Majority Report:  Do pass.

      Signed by Senators McCaslin, Chairman; Thorsness, Vice Chairman; DeJarnatt, Sutherland.

Senate Staff:Sam Thompson (786-7754); Eugene Green (786-7405)

                  March 15, 1989

AS PASSED SENATE, MARCH 14, 1989

BACKGROUND:

Assessment of a lot within a local improvement district (LID) is based upon the increase in the "true and fair value" (market value) of the lot accountable to the construction of the local improvement.  Generally, the calculation of increase in value is based upon the most intensive use of the property permissible under applicable land use standards--use of property as commercial property in a zone permitting commercial use, for example. 

Occasionally, the valuation of a lot within an LID is based upon a use that is not permitted under applicable land use standards--commercial use in a residential zone, for example.  It is suggested that this practice should have the effect of automatically permitting the use within the zone.

SUMMARY:

If valuation of property for assessment within a local improvement district (LID) is based upon a use of the property that is not permitted under applicable zoning standards, the zoning standards may not thereafter prohibit the use that is the basis for the assessment.

Appropriation:    none

Revenue:    none

Fiscal Note:      none requested

Senate Committee - Testified: No one