FILED SENATE
Apr 3, 2023
GENERAL ASSEMBLY OF NORTH CAROLINA
S.B. 519
SESSION 2023 PRINCIPAL CLERK
S D
SENATE BILL DRS15236-NIf-48A
Short Title: Property Tax Increase Limitation for Zoning. (Public)
Sponsors: Senator Blue (Primary Sponsor).
Referred to:
1 A BILL TO BE ENTITLED
2 AN ACT TO LIMIT PROPERTY VALUE INCREASES DURING REAPPRAISALS THAT
3 ARE ATTRIBUTABLE SOLELY TO FAVORABLE ZONING ORDINANCES TO
4 THOSE INSTANCES WHERE THE PROPERTY OWNER ACTUALLY ENGAGES IN
5 THE ACTIVITY OR ACTIVITIES PERMITTED BY SUCH ZONING.
6 The General Assembly of North Carolina enacts:
7 SECTION 1.(a) G.S. 105-283 reads as rewritten:
8 "§ 105-283. Uniform appraisal standards.
9 All Subject to the conditions set forth in this Subchapter, all property, real and personal, shall
10 as far as practicable be appraised or valued at its true value in money. When used in this
11 Subchapter, the words "true value" shall be interpreted as meaning market value, that is, the price
12 estimated in terms of money at which the property would change hands between a willing and
13 financially able buyer and a willing seller, neither being under any compulsion to buy or to sell
14 and both having reasonable knowledge of all the uses to which the property is adapted and for
15 which it is capable of being used. For the purposes of this section, the acquisition of an interest
16 in land by an entity having the power of eminent domain with respect to the interest acquired
17 shall not be considered competent evidence of the true value in money of comparable land."
18 SECTION 1.(b) G.S. 105-284(a) reads as rewritten:
19 "(a) Except as otherwise provided in this section, section, G.S. 105-286(a), and
20 G.S. 105-328(a), all property, real and personal, shall be assessed for taxation at its true value or
21 use value as determined under G.S. 105-283 or G.S. 105-277.6, and taxes levied by all counties
22 and municipalities shall be levied uniformly on assessments determined in accordance with this
23 section."
24 SECTION 1.(c) G.S. 105-286(a) reads as rewritten:
25 "(a) Octennial Cycle. – Each county must reappraise all real property in accordance with
26 the provisions of G.S. 105-283 and G.S. 105-317 as of January 1 of the year set out in the
27 following schedule and every eighth year thereafter, unless the county is required to advance the
28 date under subdivision (2) of this section or chooses to advance the date under subdivision (3) of
29 this section. A property zoned to permit a particular activity may not be reappraised at a greater
30 value solely as a result of such zoning unless the owner of the property actually engages in the
31 permitted activity.
32 …."
33 SECTION 1.(d) G.S. 105-328(a) reads as rewritten:
34 "(a) For purposes of municipal taxation, all property subject to taxation by a city or town
35 situated in two or more counties may, by resolution of the governing body of the municipality,
36 be listed, appraised, and assessed as provided in G.S. 105-326 and 105-327 if, in such a case, in
*DRS15236-NIf-48A*
General Assembly Of North Carolina Session 2023
1 the opinion of the governing body, the same appraisal and assessment standards will thereby
2 apply uniformly throughout the municipality. However, if, in such a case, the governing body
3 shall determine that adoption of the appraisals and assessments fixed by the counties will not
4 result in uniform appraisals and assessments throughout the municipality, the governing body
5 may, by horizontal adjustments, equalize the appraisal and assessment values fixed by the
6 counties in order to obtain the required uniformity. uniformity, subject to the zoning use
7 reappraisal limitation applicable to real property provided in G.S. 105-286(a). Taxes levied by
8 the city or town shall be levied uniformly on the assessments so determined."
9 SECTION 2. This act is effective when it becomes law and applies to reappraisals
10 occurring after January 1, 2024.
Page 2 DRS15236-NIf-48A
Statutes affected: Filed: 105-283, 105-284, 105-286, 105-328
Edition 1: 105-283, 105-284, 105-286, 105-328