Introduced
by
To revise the formula by which a property-tax reduction provision of the Headlee Amendment is calculated. The provision requires a local government to roll back its millage rate when the increase in the assessed valuation (i.e., taxable value) of existing property increases faster than the rate of inflation, so as to yield the same amount of revenue. Under current law, the increase in taxable value that results from transfers of ownership of property (i.e. the Proposal A "pop up") is not part of the formula. The bill would include these increases, with the effect that a local government would be allowed to levy higher aggregate property taxes without getting permission from voters in a so-called "Headlee rollback" election.
Referred to the Committee on Finance
