STATE OF OKLAHOMA

2nd Session of the 54th Legislature (2014)

HOUSE BILL 2895	By:	Morrissette

AS INTRODUCED

An Act relating to building structures; creating the Oklahoma Home Safe Initiative of 2014; directing that certain rate filings include certain discounts or reductions; amending 59 O.S. 2011, Section 1000.23, which relates to the Oklahoma Uniform Building Code Commission Act; requiring adoption of certain minimum standards of construction; providing certain findings; creating tax credits for high-wind-tolerant residential structure retrofits and new construction; limiting credits; providing for carryover of credits; providing for codification; providing for noncodification; and providing an effective date.

BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1.     NEW LAW     A new section of law not to be codified in the Oklahoma Statutes reads as follows:
This act shall be known and may be cited as the “Oklahoma Home Safe Initiative of 2014”.
SECTION 2.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 987.1 of Title 36, unless there is created a duplication in numbering, reads as follows:
A rate filing for residential property insurance must include actuarially reasonable discounts, credits or other rate differentials, or appropriate reductions in deductibles, for properties where fixtures or construction techniques have been installed or implemented that can withstand winds up to two hundred (200) miles per hour and above as can be independently verified by or referenced to known high-wind tolerances by the University of Oklahoma Donald G. Fears Structural Engineering Laboratory.  The fixtures or construction techniques shall include, but not be limited to, fixtures or construction techniques which enhance roof strength, roof-covering performance, roof-to-wall strength, wall-to-floor-to-foundation strength, opening protection, and window, garage door and skylight strength.
SECTION 3.     AMENDATORY     59 O.S. 2011, Section 1000.23, is amended to read as follows:
Section 1000.23  A.  The Oklahoma Uniform Building Code Commission shall have the power and the duty to review and adopt all building codes for residential and commercial construction to be used by all entities within this state.  Codes and standards adopted by the Commission shall be the minimum standards for residential and commercial construction in this state with the exception of high-wind standards which shall be greater than minimum standards for residential and commercial construction as can be independently verified by or referenced to known high-wind tolerances by the University of Oklahoma Donald G. Fears Structural Engineering Laboratory.  It is the finding of the Oklahoma Geological Survey that Oklahoma soil composition and drainage pose no greater challenge to the construction of basements in Oklahoma than any other soil composition or drainage.
B.  All public projects shall abide by such minimum standards and requirements; provided, nothing in this act shall prevent or take away from state agencies the authority to enact and enforce requirements containing higher standards and requirements than such minimum standards and requirements.
C.  Municipalities, counties and other political subdivisions shall abide by such minimum standards and requirements; provided, nothing in this act shall prevent or take away from such municipalities, counties and other political subdivisions the authority to enact and enforce requirements containing higher standards and requirements than such minimum standards and requirements.
SECTION 4.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 2357.32C of Title 68, unless there is created a duplication in numbering, reads as follows:
A.  For taxable years beginning after December 31, 2014, there shall be allowed against the tax imposed by Section 2355 of Title 68 of the Oklahoma Statutes, a credit for any individual taxpayer who:
1.  Owns an existing residential structure which prior to retrofitting was rated to withstand at least ninety-mile-per-hour winds but less than two-hundred-mile-per-hour winds; and
2.  Retrofits the residential structure to meet the continuous load path definition of metal connectors in place from the roof to the foundation installed at all connecting intersections to include roof framing rafters and trusses connected to the top and bottom of wall studs on all levels, and attaches or reattaches the bottom floor of the residential structure to the foundation with mudsill anchors or anchor bolts.
B.  The amount of the credit permitted by subsection A of this section shall be equal to one-third (1/3) the expense incurred by the residential structure owner for labor and materials, excluding any costs associated with inspections of the property by a licensed building inspector.  Each individual taxpayer is limited to one credit authorized by subsection A of this section.
C.  For taxable years beginning after December 31, 2014, there shall be allowed against the tax imposed by Section 2355 of Title 68 of the Oklahoma Statutes, a credit for any individual taxpayer who incurs costs related to new construction of high-wind-resistant or high-wind-tolerant residential structures and outbuildings, when:
1.  The structures and outbuildings are tested to show the ability to withstand wind speeds of two hundred (200) miles per hour; or
2.  The structures and outbuildings are constructed of materials known to be high-wind resistant or high-wind tolerant, such as concrete or wooden block.
D.  The amount of the credit permitted by subsection C of this section shall not exceed Five Thousand Dollars ($5,000.00).  Each individual taxpayer is limited to one credit authorized by subsection C of this section.
E.  If the allowable tax credits permitted by subsections A and C of this section exceed the taxes otherwise due under Title 68 of the Oklahoma Statutes on the income of the claimant, or if there are no taxes due under Title 68 of the Oklahoma Statutes, the taxpayer may carry over the amount of the claim not used for not more than five (5) consecutive taxable years to offset the taxes under Title 68 of the Oklahoma Statutes in those years.
SECTION 5.  This act shall become effective November 1, 2014.

54-2-9731	AMM	01/14/14