Substitute Senate Bill No. 1343 proposes significant amendments to municipal reporting and property tax assessment regulations, set to take effect on July 1, 2025, and October 1, 2025. Key provisions include a requirement for municipalities to submit annual reports on expenditures for local capital improvement projects, with penalties of $100 for non-compliance, and to certify the amount of tax exemptions approved annually, incurring a $250 penalty for failure to submit the necessary forms. The bill also mandates that assessors use a uniform method for personal property valuation, which was previously optional, and modifies the assessment of tangible personal property to reflect acquisition costs and depreciation, while excluding property owned by public service companies. Additionally, it establishes a digital parcel file requirement for towns, with a submission deadline of September 1, 2026, and a report from regional councils of governments due by October 1, 2026.

Further changes include the elimination of the Office of Policy and Management's (OPM) authority to approve certain tax abatements, transferring this responsibility to municipal abatement committees, and the removal of the requirement for municipalities to certify compliance with zoning regulations for family child care homes. The bill also shifts the responsibility for homeowners seeking extensions for tax reduction applications from the OPM secretary to municipal assessors and requires assessors to notify property owners of any increases in property valuation. Overall, the bill aims to enhance municipal accountability, streamline tax-related processes, and impose new reporting requirements and penalties, with various fiscal impacts anticipated for both the state and municipalities starting in FY 26.

Statutes affected:
Raised Bill: 12-120c, 12-124, 8-3j, 12-19b, 12-20b, 12-40a, 12-130a
PD Joint Favorable Substitute: 12-120c, 12-124, 8-3j, 12-19b, 12-20b, 12-40a, 12-130a
File No. 289: 12-120c, 12-124, 8-3j, 12-19b, 12-20b, 12-40a, 12-130a