353.110. Real property exempt from taxation--limitation.
Real property exempt from taxation--limitation.
353.110. 1. Once the requirements of this section have beencomplied with, the real property of urban redevelopmentcorporations acquired pursuant to this chapter shall not besubject to assessment or payment of general ad valorem taxesimposed by the cities affected by this law, or by the state orany political subdivision thereof, for a period not in excess often years after the date upon which such corporations becomeowners of such real property, except to such extent and in suchamount as may be imposed upon such real property during suchperiod measured solely by the amount of the assessed valuation ofthe land, exclusive of improvements, acquired pursuant to thischapter and owned by such urban redevelopment corporation, as wasdetermined by the assessor of the county in which such realproperty is located, or, if not located within a county, then bythe assessor of such city, for taxes due and payable thereonduring the calendar year preceding the calendar year during whichthe corporation acquired title to such real property. Theamounts of such tax assessments shall not be increased duringsuch period so long as the real property is owned by an urbanredevelopment corporation and used in accordance with adevelopment plan authorized by the legislative authority of suchcities.
2. In the event, however, that any such real property wastax exempt immediately prior to ownership by any urbanredevelopment corporation, such assessor or assessors shall, uponacquisition of title thereto by the urban redevelopmentcorporation, promptly assess such land, exclusive ofimprovements, at such valuation as shall conform to but notexceed the assessed valuation made during the preceding calendaryear of other land, exclusive of improvements, adjacent theretoor in the same general neighborhood, and the amount of suchassessed valuation shall not be increased during the period setpursuant to subsection 1 of this section so long as the realproperty is owned by an urban redevelopment corporation and usedin accordance with a development plan authorized by thelegislative authority of such cities. For the next ensuingperiod not in excess of fifteen years, ad valorem taxes upon suchreal property shall be measured by the assessed valuation thereofas determined by such assessor or assessors upon the basis of notto exceed fifty percent of the true value of such real property,including any improvements thereon, nor shall such valuations * beincreased above fifty percent of the true value of such realproperty from year to year during such next ensuing period solong as the real property is owned by an urban redevelopmentcorporation and used in accordance with an authorized developmentplan. After a period totaling not more than twenty-five years,such real property shall be subject to assessment and payment ofall ad valorem taxes, based on the full true value of the realproperty; provided, that after the completion of theredevelopment project, as authorized by law or ordinance wheneverany urban redevelopment corporation shall elect to pay fulltaxes, or at the expiration of the period, such real propertyshall be owned and operated free from any of the conditions,restrictions or provisions of this chapter, and of any ordinance,rule or regulation adopted pursuant thereto, any other lawlimiting the right of domestic and foreign insurance companies toown and operate real estate to the contrary notwithstanding.
3. No tax abatement or exemption authorized by this sectionshall become effective unless and until the governing body of thecity:
(1) Furnishes each political subdivision whose boundariesfor ad valorem taxation purposes include any portion of the realproperty to be affected by such tax abatement or exemption with awritten statement of the impact on ad valorem taxes such taxabatement or exemption will have on such political subdivisionsand written notice of the hearing to be held in accordance withsubdivision (2) of this subsection. The written statement andnotice required by this subdivision shall be furnished asprovided by local ordinance before the hearing and shall include,but need not be limited to, an estimate of the amount of advalorem tax revenues of each political subdivision which will beaffected by the proposed tax abatement or exemption, based on theestimated assessed valuation of the real property involved assuch property would exist before and after it is redeveloped;
(2) Conducts a public hearing regarding such tax abatementor exemption, at which hearing all political subdivisionsdescribed in subdivision (1) of this subsection shall have theright to be heard on such grant of tax abatement or exemption;
(3) Enacts an ordinance which provides for expiration ofdevelopment rights, including the rights of eminent domain andtax abatement, in the event of failure of the urban redevelopmentcorporation to acquire ownership of property within the area ofthe development plan. Such ordinance shall provide for aduration of time within which such property must be acquired, andmay allow for acquisition of property under the plan in phases.
4. Notwithstanding any other provision of law to thecontrary, payments in lieu of taxes may be imposed by contractbetween a city and an urban redevelopment corporation whichreceives tax abatement or exemption on property pursuant to thissection. Such payments shall be made to the collector of revenueof the county or city not within a county by Decemberthirty-first of each year payments are due. The governing bodyof the city shall furnish the collector a copy of any suchcontract requiring payment in lieu of taxes. The collector shallallocate all revenues received from such payment in lieu of taxesamong all taxing authorities whose property tax revenues areaffected by the exemption or abatement on the same pro rata basisand in the same manner as the ad valorem property tax revenuesreceived by each taxing authority from such property in the yearsuch payments are due.
5. The provisions of subsection 3 of this section shall notapply to any amendment or future amendment to a phaseddevelopment plan approved by the governing body of the city priorto the effective date of the provisions of subsection 3 of thissection and upon which construction has been in progress pursuantto such phased plan.
(L. 1945 p. 1242 § 10, A.L. 1947 V. I p. 393, A.L. 1986 H.B. 1327)*Words "shall not" appear in original rolls.