The bill amends the Commercial Rehabilitation Act by updating key definitions and provisions related to commercial rehabilitation exemption certificates. Notable insertions include a clearer definition of "commencement" of rehabilitation, which now begins with the issuance of the first building or trade permit and explicitly excludes demolition activities. The definition of "qualified facility" is expanded to encompass various properties previously used for commercial or industrial purposes, and new criteria for "qualified retail food establishments" are introduced. Additionally, the bill clarifies that rehabilitation does not include improvements that aggregate to less than 10% of the property's true cash value at the start of rehabilitation.

The bill also modifies the duration of commercial rehabilitation exemption certificates, extending the maximum period from 10 to 12 years and allowing for extensions based on criteria set by local governmental units. It stipulates that the effective date of the certificate can be adjusted if the application is completed before October 31 of the year it is received. Furthermore, local governmental units are required to report annually on the status of each exemption, including property values and job estimates. The deadline for granting new exemptions is extended from December 31, 2025, to December 31, 2035, ensuring that existing exemptions remain valid until their expiration. These amendments aim to streamline the exemption process and encourage investment in commercial properties, particularly in underserved areas.

Statutes affected:
Senate Introduced Bill: 207.842
As Passed by the Senate: 207.842