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Session State Capitol, Room 418 Juneau, AK 99801-1182 Phone: (907) 465-4939 Fax: (907) 465-2418 Send E-Mail Interim 716 W 4th Avenue Anchorage, AK 99501 Phone: (907) 269-0244 Fax: (907) 269-0248 |
For Immediate Release: March 15, 1999
Contact: Representative Andrew Halcro, at (907) 465-4939.
Municipal Taxes on Deteriorated Property
Mr. Speaker, I rise in support of HB 76. During the last session, the Legislature approved HB 399, which authorized municipal governments to exempt and defer the payment of municipal taxes on deteriorated property. This legislation is reflected in the addition of subsection (o) to AS 29.45.050.
In response to this legislation, the Anchorage Assembly adopted a Municipal Ordinance (OA-98-135) providing for the tax deferral for deteriorated property to encourage redevelopment.
However, because of ambiguities in the new statute, the Municipality of Anchorage has requested technical amendments to AS 29.45.050. These amendments include:
- Clarifying that a Municipality may either partially or totally exempt a deteriorated property from property taxes;
- Providing that the exemption may begin any time on or after substantial rehabilitation begins; and
- Prohibits an exemption and deferral of property taxes to be in effect simultaneously.
These are minor changes to the statute, but are required to fully realize the intent of the legislation passed last year to encourage rehabilitation of deteriorated properties.