House Bill No. 2140, introduced by Kannady, aims to establish a new method for determining the fair cash value of certain commercial structures in Oklahoma. Specifically, the bill addresses commercial buildings that are constructed without final interior elements, such as finished ceilings and floors. For the assessment year 2026 and subsequent years, if the owner or contractor intends to sell or lease the property in a way that allows the new tenant or owner to complete the interior, the county assessor will be required to establish the fair cash value based on a prescribed method.

The bill stipulates that the fair cash value of these commercial properties cannot exceed the direct cost of the materials used for construction before any interior installations. This approach aims to provide a more equitable assessment for properties that are not fully completed, ensuring that property owners are not overtaxed based on incomplete structures. The act is set to take effect on January 1, 2026.

Statutes affected:
House Committee Substitute: 68-2817
Floor (House): 68-2817
Engrossed: 68-2817