House Bill No. introduced by L. Schubert, M. Yakawich, S. Kelly, and S. Klakken establishes a new classification for manufacturing property for property tax purposes, designated as class nineteen. This classification includes land and improvements used for manufacturing, specifically excluding property categorized as class eight under 15-6-138. The bill defines manufacturing property as that which involves the mechanical, physical, or chemical transformation of materials into new products or the assembly of component parts for purposes other than construction. Class nineteen property will be taxed at a rate of 1.47% of its market value.

Additionally, the bill includes provisions for the classification of parcels that contain both manufacturing property and property from another class, stipulating that the land will be classified according to the improvements that make up the largest share of the total. The bill also outlines that it will be codified as part of Title 15, chapter 6, part 1, and will take effect for property tax years beginning on or after January 1, 2026.