This bill amends Section 7-36-21.2 of the New Mexico Property Tax Code to allow for a limitation on increases in the valuation of residential property when there has been a change in zoning. Specifically, it removes the previous stipulation that the limitation on valuation increases does not apply if the zoning of the property has changed, thereby allowing for such changes to be considered in the valuation process. The bill maintains the existing framework for determining property value, which includes a cap on increases based on prior years' valuations, and outlines exceptions for new properties, physical improvements, and changes in ownership.

Additionally, the bill clarifies the definition of "change of ownership" and specifies that the provisions will apply to property tax years beginning on or after January 1, 2026. This change aims to ensure that residential property valuations reflect current market conditions while also providing a mechanism to account for zoning changes that may affect property value.

Statutes affected:
introduced version: 7-36-21.2