The bill amends K.S.A. 2024 Supp. 79-503a to include leased ground owned by a county-recognized community land trust as a factor in determining the fair market value of real property. This change emphasizes the importance of considering community land trust properties in property valuations, which may affect taxation and assessments. The definition of "fair market value" is also clarified, stating that it is the amount a well-informed buyer is justified in paying and a seller is justified in accepting in an open market, without undue compulsion.

Additionally, the bill repeals the existing section of K.S.A. 2024 Supp. 79-503a, effectively updating the law to reflect the new provisions. The appraisal process for real and tangible personal property for ad valorem tax purposes must adhere to generally accepted appraisal standards consistent with the definition of fair market value, while also excluding certain federal internal revenue code section 1031 exchange transactions from being considered as indicators of fair market value. The bill is set to take effect upon publication in the statute book.

Statutes affected:
As introduced: 79-503a, 79-1485
As Amended by House Committee: 79-503a, 79-1485