Bill Text: IA HF653 | 2011-2012 | 84th General Assembly | Amended
Bill Title: A bill for an act relating to the assessment and taxation of qualifying local exchange carrier property. (Formerly HSB 215)
Spectrum: Committee Bill
Status: (Engrossed - Dead) 2011-12-31 - END OF 2011 ACTIONS [HF653 Detail]
Download: Iowa-2011-HF653-Amended.html
House
File
653
-
Reprinted
HOUSE
FILE
653
BY
COMMITTEE
ON
WAYS
AND
MEANS
(SUCCESSOR
TO
HSB
215)
(As
Amended
and
Passed
by
the
House
April
18,
2011
)
A
BILL
FOR
An
Act
relating
to
the
assessment
and
taxation
of
qualifying
1
local
exchange
carrier
property.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
HF
653
(5)
84
rn/sc/mb
H.F.
653
Section
1.
Section
427A.1,
subsection
1,
paragraph
h,
Code
1
2011,
is
amended
to
read
as
follows:
2
h.
Property
assessed
by
the
department
of
revenue
pursuant
3
to
sections
428.24
to
428.29
,
or
chapters
433
,
chapter
433
4
if
such
property
is
not
owned
by
a
qualifying
local
exchange
5
carrier,
as
defined
in
section
433.16,
or
chapters
434
,
437
,
6
437A
,
and
438
.
7
Sec.
2.
Section
433.4,
Code
2011,
is
amended
to
read
as
8
follows:
9
433.4
Assessment.
10
The
Except
as
otherwise
provided
in
section
433.16,
the
11
director
of
revenue
shall
on
or
before
October
31
each
year,
12
proceed
to
find
the
actual
value
of
the
property
of
these
13
companies
in
this
state,
taking
into
consideration
the
14
information
obtained
from
the
statements
required,
and
any
15
further
information
the
director
can
obtain,
using
the
same
as
16
a
means
for
determining
the
actual
cash
value
of
the
property
17
of
these
companies
within
this
state.
The
director
shall
18
also
take
into
consideration
the
valuation
of
all
property
19
of
these
companies,
including
franchises
and
the
use
of
the
20
property
in
connection
with
lines
outside
the
state,
and
21
making
these
deductions
as
may
be
necessary
on
account
of
22
extra
value
of
property
outside
the
state
as
compared
with
23
the
value
of
property
in
the
state,
in
order
that
the
actual
24
cash
value
of
the
property
of
the
company
within
this
state
25
may
be
ascertained.
The
assessment
shall
include
all
property
26
of
every
kind
and
character
whatsoever,
real,
personal,
or
27
mixed,
used
by
the
companies
in
the
transaction
of
telegraph
28
and
telephone
business;
and
the
property
so
included
in
the
29
assessment
shall
not
be
taxed
in
any
other
manner
than
as
30
provided
in
this
chapter
.
31
Sec.
3.
NEW
SECTION
.
433.16
Qualifying
local
exchange
32
carriers
——
assessment.
33
1.
For
assessment
years
beginning
on
or
after
January
34
1,
2012,
the
property
of
qualifying
local
exchange
carriers
35
-1-
HF
653
(5)
84
rn/sc/mb
1/
4
H.F.
653
shall
be
assessed
for
taxation
according
to
this
section.
For
1
purposes
of
this
section,
“qualifying
local
exchange
carrier”
2
means
a
telecommunications
company
that
provides
local
exchange
3
service
and
has
less
than
fifty
thousand
customer
access
lines
4
located
in
this
state.
5
2.
a.
For
assessment
years
beginning
on
or
after
January
1,
6
2012,
but
before
January
1,
2018,
the
director
of
revenue
shall
7
on
or
before
October
31
of
each
year
and
using
information
from
8
statements
required
under
this
chapter
or
otherwise
acquired
9
from
the
local
assessors,
determine
the
value
of
the
qualifying
10
local
exchange
carrier’s
land,
buildings,
structures,
and
11
improvements.
12
b.
For
the
assessment
years
beginning
on
or
after
January
13
1,
2012,
but
before
January
1,
2018,
the
value
of
such
14
property
shall
equal
the
sum
of
the
value
of
the
qualifying
15
local
exchange
carrier’s
land,
buildings,
structures,
and
16
improvements,
assessed
in
the
same
manner
as
all
other
17
commercial
property
pursuant
to
chapters
427,
427A,
427B,
428,
18
and
441,
and
the
qualifying
local
exchange
carrier
adjustment
19
for
the
applicable
assessment
year.
20
c.
The
qualifying
local
exchange
carrier
base
value
shall
21
be
the
total
assessed
value
of
the
qualifying
local
exchange
22
carrier’s
property
assessed
pursuant
to
section
433.4,
Code
23
2011,
for
the
assessment
year
beginning
January
1,
2011.
24
However,
if
the
qualifying
local
exchange
carrier
adds
or
25
disposes
of
property
in
an
amount
exceeding
ten
percent
of
26
the
local
exchange
carrier’s
total
assessed
value
for
the
27
assessment
year
beginning
January
1,
2011,
or
ten
percent
of
28
the
base
value
most
recently
adjusted
under
this
paragraph,
29
the
qualifying
local
exchange
carrier’s
base
value
shall
be
30
adjusted
to
reflect
those
additions
or
dispositions.
31
d.
The
qualifying
local
exchange
carrier
adjustment
shall
be
32
determined
as
follows:
33
(1)
For
the
assessment
year
beginning
January
1,
2012,
34
the
qualifying
local
exchange
carrier
adjustment
shall
equal
35
-2-
HF
653
(5)
84
rn/sc/mb
2/
4
H.F.
653
eighty-five
percent
of
the
difference
between
the
qualifying
1
local
exchange
carrier’s
base
value
and
the
assessed
value
2
of
the
qualifying
local
exchange
carrier’s
land,
buildings,
3
structures,
and
improvements
assessed
in
the
same
manner
as
4
all
other
property
assessed
as
commercial
property
pursuant
to
5
chapters
427,
427A,
427B,
428,
and
441.
6
(2)
For
the
assessment
year
beginning
January
1,
2013,
7
the
qualifying
local
exchange
carrier
adjustment
shall
equal
8
seventy
percent
of
the
difference
between
the
qualifying
9
local
exchange
carrier’s
base
value
and
the
assessed
value
10
of
the
qualifying
local
exchange
carrier’s
land,
buildings,
11
structures,
and
improvements
assessed
in
the
same
manner
as
12
all
other
property
assessed
as
commercial
property
pursuant
to
13
chapters
427,
427A,
427B,
428,
and
441.
14
(3)
For
the
assessment
year
beginning
January
1,
2014,
15
the
qualifying
local
exchange
carrier
adjustment
shall
equal
16
fifty-five
percent
of
the
difference
between
the
qualifying
17
local
exchange
carrier’s
base
value
and
the
assessed
value
18
of
the
qualifying
local
exchange
carrier’s
land,
buildings,
19
structures,
and
improvements
assessed
in
the
same
manner
as
20
all
other
property
assessed
as
commercial
property
pursuant
to
21
chapters
427,
427A,
427B,
428,
and
441.
22
(4)
For
the
assessment
year
beginning
January
1,
2015,
the
23
qualifying
local
exchange
carrier
adjustment
shall
equal
forty
24
percent
of
the
difference
between
the
qualifying
local
exchange
25
carrier’s
base
value
and
the
assessed
value
of
the
qualifying
26
local
exchange
carrier’s
land,
buildings,
structures,
and
27
improvements
assessed
in
the
same
manner
as
all
other
property
28
assessed
as
commercial
property
pursuant
to
chapters
427,
427A,
29
427B,
428,
and
441.
30
(5)
For
the
assessment
year
beginning
January
1,
2016,
31
the
qualifying
local
exchange
carrier
adjustment
shall
equal
32
twenty-five
percent
of
the
difference
between
the
qualifying
33
local
exchange
carrier’s
base
value
and
the
assessed
value
34
of
the
qualifying
local
exchange
carrier’s
land,
buildings,
35
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653
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rn/sc/mb
3/
4
H.F.
653
structures,
and
improvements
assessed
in
the
same
manner
as
1
all
other
property
assessed
as
commercial
property
pursuant
to
2
chapters
427,
427A,
427B,
428,
and
441.
3
(6)
For
the
assessment
year
beginning
January
1,
2017,
the
4
qualifying
local
exchange
carrier
adjustment
shall
equal
ten
5
percent
of
the
difference
between
the
qualifying
local
exchange
6
carrier’s
base
value
and
the
assessed
value
of
the
qualifying
7
local
exchange
carrier’s
land,
buildings,
structures,
and
8
improvements
assessed
in
the
same
manner
as
all
other
property
9
assessed
as
commercial
property
pursuant
to
chapters
427,
427A,
10
427B,
428,
and
441.
11
3.
For
valuations
established
on
or
after
January
1,
2018,
12
the
local
assessor
shall
determine
the
value
of
the
land,
13
buildings,
structures,
and
improvements
of
qualifying
local
14
exchange
carriers
in
the
same
manner
as
all
other
property
15
assessed
as
commercial
property
pursuant
to
chapters
427,
427A,
16
427B,
428,
and
441,
and
all
reporting,
protest,
and
appeal
17
procedures
for
qualifying
local
exchange
carriers
shall
be
18
determined
according
to
those
provisions.
19
4.
Notwithstanding
any
other
provision
of
this
chapter
20
or
chapter
427,
427A,
427B,
428,
or
441
to
the
contrary,
21
telephone
wires,
fiber
optic
cables,
electronics,
and
similar
22
items
used
by
qualifying
local
exchange
carriers
to
transmit
23
sounds
or
data
shall
not
be
included
when
determining
the
value
24
of
a
qualifying
local
exchange
carrier’s
land,
buildings,
25
structures,
and
improvements
for
purposes
of
this
section.
26
-4-
HF
653
(5)
84
rn/sc/mb
4/
4