This bill amends Section 63-208 of the Idaho Code, which pertains to the rules for determining market value for property assessment purposes. The key changes include the requirement for assessors to find market value using recognized appraisal methods while emphasizing that actual and functional use must be a major consideration. The bill introduces a new standard for assessing property, mandating that the median ratio of assessed value to market value must fall within a range of 90% to 110% of market value. Additionally, it stipulates that each category of property tested must have a level of assessment that is statistically proven to differ by no more than five percentage points from other categories.

Furthermore, the bill encourages uniformity and equity in property assessments by promoting the use of reproduction or replacement cost less depreciation over historic cost when determining market value. It also outlines the responsibilities of the state tax commission in preparing and distributing rules and amendments necessary for the implementation of these provisions. The effective date for this act is set for January 1, 2026.