0001|                           HOUSE BILL 1312
    |
0002|     43rd legislature - STATE OF NEW MEXICO - first session, 1997
    |
0003|                            INTRODUCED BY
    |
0004|                           JAMES G. TAYLOR
    |
0005|     
    |
0006|                                   
    |
0007|     
    |
0008|                                   
    |
0009|     
    |
0010|                                AN ACT
    |
0011|     RELATING TO PROPERTY TAXATION; AUTHORIZING COUNTIES TO PROVIDE
    |
0012|     A PROPERTY TAX CREDIT FOR PERSONS AT LEAST SIXTY-FIVE YEARS OF
    |
0013|     AGE; PROVIDING A PENALTY; AMENDING AND ENACTING SECTIONS OF THE
    |
0014|     PROPERTY TAX CODE.
    |
0015|     
    |
0016|     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
    |
0017|          Section 1.  A new section of the Property Tax Code is
    |
0018|     enacted to read:
    |
0019|          "[<u>NEW MATERIAL</u>]  LOCAL PROPERTY TAX CREDIT--LOW-INCOME 
    |
0020|     TAXPAYERS AT LEAST SIXTY-FIVE YEARS OF AGE.--
    |
0021|               A.  A board may adopt an ordinance providing a
    |
0022|     credit against the property tax due for low-income taxpayers
    |
0023|     who are at least sixty-five years of age in accordance with the
    |
0024|     provisions of this section.  The tax credit may be referred to
    |
0025|     as the "local property tax credit" and may be imposed for any
    |
0001|     number of property tax years.
    |
0002|               B.  The local property tax credit may be claimed and
    |
0003|     allowed only against the property tax due on residential
    |
0004|     property that is the principal place of residence of a claimant
    |
0005|     who is at least sixty-five years of age and whose household
    |
0006|     modified gross income does not exceed twenty-five thousand
    |
0007|     dollars ($25,000). 
    |
0008|               C.  The board shall develop a progressive table
    |
0009|     setting property tax limits as a percentage of modified gross
    |
0010|     income.  The credit that may be provided shall be an amount
    |
0011|     equal to the amount of the taxpayer's property tax due for the
    |
0012|     year that exceeds the amount that is determined, based on the
    |
0013|     taxpayer's modified gross income, to be the taxpayer's property
    |
0014|     tax limit for the taxable year.  The board may cap the amount
    |
0015|     of the local property tax credit that may be allowed a
    |
0016|     taxpayer.
    |
0017|               D.  Upon adoption of an ordinance providing a local
    |
0018|     property tax credit, the board shall create a "local property
    |
0019|     tax credit fund" that is a separate fund in the county treasury
    |
0020|     pledged solely for the payment of the property tax revenue
    |
0021|     reduction resulting from the application of the local property
    |
0022|     tax credit.  Revenue produced by the increase in the county
    |
0023|     operating rate due to application of the tax rebate adjustment
    |
0024|     to the county operating rate pursuant to Section 7-37-7.1 NMSA
    |
0025|     1978 shall be deposited in the fund.  Balances in the fund at
    |
0001|     the end of any fiscal year shall remain in the fund and shall
    |
0002|     be used only to replace the property tax revenue reduction
    |
0003|     resulting from application of the local property tax credit in
    |
0004|     succeeding tax years.
    |
0005|               E.  To claim the local property tax credit, the
    |
0006|     taxpayer shall file with the county assessor by June 1 of the
    |
0007|     applicable tax year an application form that includes such
    |
0008|     taxpayer, household income and other information as the board,
    |
0009|     in consultation with the department, determines necessary for
    |
0010|     provision and administration of the local property tax credit. 
    |
0011|     Forms and application instructions shall be enclosed in the
    |
0012|     property valuation notices mailed to taxpayers pursuant to
    |
0013|     Section 7-38-20 NMSA 1978 and shall also be available in
    |
0014|     appropriate county offices.  
    |
0015|               F.  Upon receipt of applications claiming the local
    |
0016|     property tax credit, the assessor shall estimate the amount of
    |
0017|     the local property tax credit to be allowed for the tax year. 
    |
0018|     In certifying the estimated amount of the local property tax
    |
0019|     credit to be allowed for the property tax year for purposes of
    |
0020|     the tax rebate adjustment pursuant to Section 7-37-7.1 NMSA
    |
0021|     1978, the county assessor for the first tax year in which the
    |
0022|     local property tax credit is allowed may certify an amount up
    |
0023|     to one hundred twenty-five percent of the estimated amount for
    |
0024|     cash-flow purposes.  
    |
0025|               G.  To assure the distribution of the full amount of
    |
0001|     revenue from property tax due to the appropriate governmental
    |
0002|     units, the county treasurer shall transfer from the local
    |
0003|     property tax credit fund such amounts as are necessary to make
    |
0004|     the distributions, but the total of all transfers for any tax
    |
0005|     shall not exceed the total property tax revenue reduction
    |
0006|     resulting from application of the local property tax credit in
    |
0007|     that tax year.  Other available county revenues may be used, if
    |
0008|     necessary, for cash-flow purposes to assure full distribution
    |
0009|     of property tax revenues to all governmental units at any time
    |
0010|     during a tax year that there is an insufficient amount in the
    |
0011|     local property tax credit fund.
    |
0012|               H.  It is unlawful for the county assessor or any
    |
0013|     employee of the county assessor or any former employee of the
    |
0014|     county assessor to reveal any information contained in a
    |
0015|     taxpayer's local property tax credit application form to any
    |
0016|     individual other than the assessor, another employee of the
    |
0017|     assessor or an employee of the department authorized by the
    |
0018|     county assessor and the secretary to verify information for
    |
0019|     purposes of enforcement.  Any individual who reveals to another
    |
0020|     individual any information that he is prohibited from lawfully
    |
0021|     revealing pursuant to this subsection is guilty of a
    |
0022|     misdemeanor and upon conviction shall be punished by a fine of
    |
0023|     not more than one thousand dollars ($1,000) or by imprisonment
    |
0024|     for a definite period not to exceed three hundred sixty-four
    |
0025|     days, or both, and shall not be employed by the county for a

    |
0001|     period of five years after the date of the conviction.
    |
0002|               I.  As used in this section:
    |
0003|                    (1)  "board" means the board of county
    |
0004|     commissioners of a county, including an H class county; and
    |
0005|                    (2)  "modified gross income" means "modified
    |
0006|     gross income", as that term is defined in the Income Tax Act,
    |
0007|     plus all income from those same sources for any other resident
    |
0008|     owner of the principal place of residence of the taxpayer
    |
0009|     claiming a local property tax credit."
    |
0010|          Section 2.  Section 7-1-8 NMSA 1978 (being Laws 1965,
    |
0011|     Chapter 248, Section 13, as amended) is amended to read:
    |
0012|          "7-1-8.  CONFIDENTIALITY OF RETURNS AND OTHER
    |
0013|     INFORMATION.--It is unlawful for any employee of the department
    |
0014|     or any former employee of the department to reveal to any
    |
0015|     individual other than another employee of the department any
    |
0016|     information contained in the return of any taxpayer made
    |
0017|     pursuant to any law subject to administration and enforcement
    |
0018|     under the provisions of the Tax Administration Act or any other
    |
0019|     information about any taxpayer acquired as a result of his
    |
0020|     employment by the department, except:
    |
0021|               A.  to an authorized representative of another
    |
0022|     state; provided that the receiving state has entered into a
    |
0023|     written agreement with the department to use the information
    |
0024|     for tax purposes only and that the receiving state has enacted
    |
0025|     a confidentiality statute similar to this section to which the
    |
0001|     representative is subject;
    |
0002|               B.  to a representative of the secretary of the
    |
0003|     treasury or the secretary's delegate pursuant to the terms of a
    |
0004|     reciprocal agreement entered into with the federal government
    |
0005|     for exchange of the information;
    |
0006|               C.  to the multistage tax commission or its
    |
0007|     authorized representative; provided that the information is
    |
0008|     used for tax purposes only and is disclosed by the multistate
    |
0009|     tax commission only to states that have met the requirements of
    |
0010|     Subsection A of this section;
    |
0011|               D.  to a district court or an appellate court or a
    |
0012|     federal court:
    |
0013|                    (1)  in response to an order thereof in an
    |
0014|     action relating to taxes to which the state is a party and in
    |
0015|     which the information sought is about a taxpayer who is party
    |
0016|     to the action and is material to the inquiry, in which case
    |
0017|     only that information may be required to be produced in court
    |
0018|     and admitted in evidence subject to court order protecting the
    |
0019|     confidentiality of the information and no more;
    |
0020|                    (2)  in any action in which the department is
    |
0021|     attempting to enforce an act with which the department is
    |
0022|     charged or to collect a tax; or
    |
0023|                    (3)  in any matter in which the department is a
    |
0024|     party and the taxpayer has put his own liability for taxes at
    |
0025|     issue, in which case only that information regarding the
    |
0001|     taxpayer who is party to the action may be produced, but this
    |
0002|     shall not prevent the disclosure of department policy or
    |
0003|     interpretation of law arising from circumstances of a taxpayer
    |
0004|     who is not a party;
    |
0005|               E.  to the taxpayer or to the taxpayer's authorized
    |
0006|     representative; provided, however, that nothing in this
    |
0007|     subsection shall be construed to require any employee to
    |
0008|     testify in a judicial proceeding except as provided in
    |
0009|     Subsection D of this section;
    |
0010|               F.  information obtained through the administration
    |
0011|     of any law not subject to administration and enforcement under
    |
0012|     the provisions of the Tax Administration Act to the extent that
    |
0013|     release of that information is not otherwise prohibited by law;
    |
0014|               G.  in such manner, for statistical purposes, that
    |
0015|     the information revealed is not identified as applicable to any
    |
0016|     individual taxpayer;
    |
0017|               H.  with reference to any information concerning the
    |
0018|     tax on tobacco imposed by Sections 7-12-1 through 7-12-17 NMSA
    |
0019|     1978 to a committee of the legislature for a valid legislative
    |
0020|     purpose;
    |
0021|               I.  to a transferee, assignee, buyer or lessor of a
    |
0022|     liquor license, the amount and basis of any unpaid assessment
    |
0023|     of tax for which his transferor, assignor, seller or lessee is
    |
0024|     liable;
    |
0025|               J.  to a purchaser of a business as provided in
    |
0001|     Sections 7-1-61 through 7-1-64 NMSA 1978, the amount and basis
    |
0002|     of any unpaid assessment of tax for which the purchaser's
    |
0003|     seller is liable;
    |
0004|               K.  to a municipality of this state upon its request
    |
0005|     for any period specified by that municipality within the twelve
    |
0006|     months preceding the request for the information by that
    |
0007|     municipality:
    |
0008|                    (1)  the names, taxpayer identification numbers
    |
0009|     and addresses of registered gross receipts taxpayers reporting
    |
0010|     gross receipts for that municipality under the Gross Receipts
    |
0011|     and Compensating Tax Act or a local option gross receipts tax
    |
0012|     imposed by that municipality.  The department may also release
    |
0013|     the information described in this paragraph quarterly or upon
    |
0014|     such other periodic basis as the secretary and the municipality
    |
0015|     may agree; and
    |
0016|                    (2)  information indicating whether persons
    |
0017|     shown on any list of businesses located within that
    |
0018|     municipality furnished by the municipality have reported gross
    |
0019|     receipts to the department but have not reported gross receipts
    |
0020|     for that municipality under the Gross Receipts and Compensating
    |
0021|     Tax Act or a local option gross receipts tax imposed by that
    |
0022|     municipality.
    |
0023|          The employees of municipalities receiving information as
    |
0024|     provided in this subsection shall be subject to the penalty
    |
0025|     contained in Section 7-1-76 NMSA 1978 if that information is
    |
0001|     revealed to individuals other than other employees of the
    |
0002|     municipality in question or the department;
    |
0003|               L.  to the commissioner of public lands for use in
    |
0004|     auditing that pertains to rentals, royalties, fees and other
    |
0005|     payments due the state under land sale, land lease or other
    |
0006|     land use contracts; the commissioner of public lands and
    |
0007|     employees of the commissioner are subject to the same
    |
0008|     provisions regarding confidentiality of information as
    |
0009|     employees of the department;
    |
0010|               M.  the department shall furnish, upon request by
    |
0011|     the child support enforcement division of the human services
    |
0012|     department, the last known address with date of all names
    |
0013|     certified to the department as being absent parents of children
    |
0014|     receiving public financial assistance.  The child support
    |
0015|     enforcement division personnel shall use such information only
    |
0016|     for the purpose of enforcing the support liability of the
    |
0017|     absent parents and shall not use the information or disclose it
    |
0018|     for any other purpose; the child support enforcement division
    |
0019|     and its employees are subject to the provisions of this section
    |
0020|     with respect to any information acquired from the department;
    |
0021|               N.  with respect to the tax on gasoline imposed by
    |
0022|     the Gasoline Tax Act, the department shall make available for
    |
0023|     public inspection at monthly intervals a report covering the
    |
0024|     amount and gallonage of gasoline and ethanol blended fuels
    |
0025|     imported, exported, sold and used, including tax-exempt sales
    |
0001|     to the federal government reported or upon which the gasoline
    |
0002|     tax was paid and covering taxes received from each distributor
    |
0003|     in the state of New Mexico;
    |
0004|               O.  the identity of distributors and gallonage
    |
0005|     reported on returns required under the Gasoline Tax Act,
    |
0006|     Special Fuels Supplier Tax Act or Alternative Fuel Tax Act to
    |
0007|     any distributor or supplier, but only when it is necessary to
    |
0008|     enable the department to carry out its duties under the
    |
0009|     Gasoline Tax Act, the Special Fuels Supplier Tax Act or the
    |
0010|     Alternative Fuel Tax Act;
    |
0011|               P.  the department shall release upon request only
    |
0012|     the names and addresses of all gasoline or special fuel
    |
0013|     distributors, wholesalers and retailers to the New Mexico
    |
0014|     department of agriculture, the employees of which are thereby
    |
0015|     subject to the penalty contained in Section 7-1-76 NMSA 1978 if
    |
0016|     that information is revealed to individuals other than
    |
0017|     employees of either the New Mexico department of agriculture or
    |
0018|     the department;
    |
0019|               Q.  the department shall answer all inquiries
    |
0020|     concerning whether a person is or is not a registered taxpayer;
    |
0021|               R.  upon request of a municipality or county of this
    |
0022|     state, the department shall permit officials or employees of
    |
0023|     the municipality or county to inspect the records of the
    |
0024|     department pertaining to an increase or decrease to a
    |
0025|     distribution or transfer made pursuant to Section 7-1-6.15 NMSA
    |
0001|     1978 for the purpose of reviewing the basis for the increase or
    |
0002|     decrease.  The municipal or county officials or employees
    |
0003|     receiving information provided in this subsection shall not
    |
0004|     reveal that information to any person other than another
    |
0005|     employee of the municipality or the county, the department or a
    |
0006|     district court, an appellate court or a federal court in a
    |
0007|     proceeding relating to a disputed distribution and in which
    |
0008|     both the state and the municipality or county are parties.  Any
    |
0009|     information provided <s>[in]</s> <u>pursuant to provisions of</u> this
    |
0010|     subsection that is revealed other than as provided in this
    |
0011|     subsection shall subject the person revealing the information
    |
0012|     to the penalties contained in Section 7-1-76 NMSA 1978;
    |
0013|               S.  to a county of this state that has in effect any
    |
0014|     local option gross receipts tax imposed by the county upon its
    |
0015|     request for any period specified by that county within the
    |
0016|     twelve months preceding the request for the information by that
    |
0017|     county:
    |
0018|                    (1)  the names, taxpayer identification numbers
    |
0019|     and addresses of registered gross receipts taxpayers reporting
    |
0020|     gross receipts either for that county in the case of a local
    |
0021|     option gross receipts tax imposed on a countywide basis or only
    |
0022|     for the areas of that county outside of any incorporated
    |
0023|     municipalities within that county in the case of a county local
    |
0024|     option gross receipts tax imposed only in areas of the county
    |
0025|     outside of any incorporated municipalities.  The department may
    |
0001|     also release the information described in this paragraph
    |
0002|     quarterly or upon such other periodic basis as the secretary
    |
0003|     and the county may agree;
    |
0004|                    (2)  in the case of a local option gross
    |
0005|     receipts tax imposed by a county on a countywide basis,
    |
0006|     information indicating whether persons shown on any list of
    |
0007|     businesses located within the county furnished by the county
    |
0008|     have reported gross receipts to the department but have not
    |
0009|     reported gross receipts for that county under the Gross
    |
0010|     Receipts and Compensating Tax Act or a local option gross
    |
0011|     receipts tax imposed by that county on a countywide basis; and
    |
0012|                    (3)  in the case of a local option gross
    |
0013|     receipts tax imposed by a county only on persons engaging in
    |
0014|     business in that area of the county outside of any incorporated
    |
0015|     municipalities, information indicating whether persons shown on
    |
0016|     any list of businesses located in the area of that county
    |
0017|     outside of any incorporated municipalities within that county
    |
0018|     furnished by the county have reported gross receipts to the
    |
0019|     department but have not reported gross receipts for the area of
    |
0020|     that county outside of any incorporated municipalities within
    |
0021|     that county under the Gross Receipts and Compensating Tax Act
    |
0022|     or any local option gross receipts tax imposed by the county
    |
0023|     only on persons engaging in business in that area of the county
    |
0024|     outside of any incorporated municipalities.
    |
0025|          The officers and employees of counties receiving
    |
0001|     information as provided in this subsection shall be subject to
    |
0002|     the penalty contained in Section 7-1-76 NMSA 1978 if such
    |
0003|     information is revealed to individuals other than other
    |
0004|     officers or employees of the county in question or the
    |
0005|     department;
    |
0006|               T.  to authorized representatives of an Indian
    |
0007|     nation, tribe or pueblo, the territory of which is located
    |
0008|     wholly or partially within New Mexico, pursuant to the terms of
    |
0009|     a reciprocal agreement entered into with the Indian nation,
    |
0010|     tribe or pueblo for the exchange of that information for tax
    |
0011|     purposes only; provided that the Indian nation, tribe or pueblo
    |
0012|     has enacted a confidentiality statute similar to this section;
    |
0013|               U.  information with respect to the taxes or tax
    |
0014|     acts administered pursuant to Subsection B of Section 7-1-2
    |
0015|     NMSA 1978, except that:
    |
0016|                    (1)  information for or relating to any period
    |
0017|     prior to July 1, 1985 with respect to Sections 7-25-1 through
    |
0018|     7-25-9 and 7-26-1 through 7-26-8 NMSA 1978 may be released only
    |
0019|     to a committee of the legislature for a valid legislative
    |
0020|     purpose;
    |
0021|                    (2)  except as provided in Paragraph (3) of
    |
0022|     this subsection, contracts and other agreements between the
    |
0023|     taxpayer and other parties and the proprietary information
    |
0024|     contained in such contracts and agreements shall not be
    |
0025|     released without the consent of all parties to the contract or
    |
0001|     agreement; and
    |
0002|                    (3)  audit workpapers and the proprietary
    |
0003|     information contained in such workpapers shall not be released
    |
0004|     except to:
    |
0005|                         (a)  the minerals management service of
    |
0006|     the United States department of the interior, if production
    |
0007|     occurred on federal land;
    |
0008|                         (b)  a person having a legal interest in
    |
0009|     the property that is subject to the audit;
    |
0010|                         (c)  a purchaser of products severed from
    |
0011|     a property subject to the audit; or
    |
0012|                         (d)  the authorized representative of any
    |
0013|     of the persons in Subparagraphs (a) through (c) of this
    |
0014|     paragraph <s>[but]</s>.
    |
0015|          This paragraph does not prohibit the release of any
    |
0016|     proprietary information contained in the workpapers that is
    |
0017|     also available from returns or from other sources not subject
    |
0018|     to the provisions of this section;
    |
0019|               V.  information with respect to the taxes, surtaxes,
    |
0020|     advance payments or tax acts administered pursuant to
    |
0021|     Subsection C of Section 7-1-2 NMSA 1978;
    |
0022|               W.  to the state corporation commission, information
    |
0023|     with respect to the Corporate Income and Franchise Tax Act
    |
0024|     required to enable the commission to carry out its duties;
    |
0025|               X.  to the state racing commission, information with
    |
0001|     respect to the state, municipal and county gross receipts taxes
    |
0002|     paid by race tracks;
    |
0003|               Y.  upon request of a corporation authorized to be
    |
0004|     formed under the Educational Assistance Act, the department
    |
0005|     shall furnish the last known address and the date of that
    |
0006|     address of every person certified to the department as being an
    |
0007|     absent obligor of an educational debt that is due and owed to
    |
0008|     the corporation or that the corporation has lawfully contracted
    |
0009|     to collect.  The corporation and its officers and employees
    |
0010|     shall use that information only for the purpose of enforcing
    |
0011|     the educational debt obligation of such absent obligors and
    |
0012|     shall not disclose that information or use it for any other
    |
0013|     purpose;
    |
0014|               Z.  any decision and order made by a hearing officer
    |
0015|     pursuant to Section 7-1-24 NMSA 1978 with respect to a protest
    |
0016|     filed with the secretary on or after July 1, 1993;
    |
0017|               AA.  information required by any provision of the
    |
0018|     Tax Administration Act to be made available to the public by
    |
0019|     the department;
    |
0020|               BB.  upon request by the Bernalillo county
    |
0021|     metropolitan court, the department shall furnish the last known
    |
0022|     address and the date of that address for every person certified
    |
0023|     to the department by the court as being a person who owes
    |
0024|     fines, fees or costs to the court or who has failed to appear
    |
0025|     pursuant to a court order or a promise to appear;
    |
0001|               CC.  upon request by a magistrate court, the
    |
0002|     department shall furnish the last known address and the date of
    |
0003|     that address for every person certified to the department by
    |
0004|     the court as being a person who owes fines, fees or costs to
    |
0005|     the court or who has failed to appear pursuant to a court order
    |
0006|     or a promise to appear; <s>[and]</s>
    |
0007|               DD.  to the national tax administration agencies of
    |
0008|     Mexico and Canada, provided the agency receiving the
    |
0009|     information has entered into a written agreement with the
    |
0010|     department to use the information for tax purposes only and is
    |
0011|     subject to a confidentiality statute similar to this section;
    |
0012|     <u>and</u>
    |
0013|               <u>EE.  information provided to a county assessor or
</u>    |
<u></u>0014| <u>    any employee of the county assessor, upon the request of the
</u>    |
<u></u>0015| <u>    county assessor, verifying whether or not a taxpayer's reported
</u>    |
<u></u>0016| <u>    date of birth and modified gross income for purposes of
</u>    |
<u></u>0017| <u>    claiming the local property tax credit in the Property Tax Code
</u>    |
<u></u>0018| <u>    qualifies the taxpayer for the credit claimed.</u>"
    |
0019|          Section 3.  Section 7-37-7.1 NMSA 1978 (being Laws 1979,
    |
0020|     Chapter 268, Section 1, as amended) is amended to read:
    |
0021|          "7-37-7.1.  ADDITIONAL LIMITATIONS ON PROPERTY TAX
    |
0022|     RATES.--
    |
0023|               A.  Except as provided in Subsections D and E of
    |
0024|     this section, in setting the general property tax rates for
    |
0025|     residential and nonresidential property authorized in
    |
0001|     Subsection B of Section 7-37-7 NMSA 1978, the other rates and
    |
0002|     impositions authorized in Paragraphs (2) and (3) of Subsection
    |
0003|     C of Section 7-37-7 NMSA 1978, except the portion of the rate
    |
0004|     authorized in Paragraph (1) of Subsection A of Section 4-48B-12
    |
0005|     NMSA 1978 used to meet the requirements of Section 27-10-4 NMSA
    |
0006|     1978, and benefit assessments authorized by law to be levied
    |
0007|     upon net taxable value of property, assessed value or a similar
    |
0008|     term, neither the department of finance and administration nor
    |
0009|     any other entity authorized to set or impose a rate or
    |
0010|     assessment shall set a rate or impose a tax or assessment that
    |
0011|     will produce revenue from either residential or nonresidential
    |
0012|     property in a particular governmental unit in excess of the sum
    |
0013|     of a dollar amount derived by multiplying the appropriate
    |
0014|     growth control factor by the revenue due from the imposition on
    |
0015|     residential or nonresidential property, as appropriate, for the
    |
0016|     prior property tax year in the governmental unit of the rate,
    |
0017|     imposition or assessment for the specified purpose plus, for
    |
0018|     the calculation for the rate authorized for county operating
    |
0019|     purposes by Subsection B of Section 7-37-7 NMSA 1978 with
    |
0020|     respect to residential property, any applicable tax rebate
    |
0021|     adjustment.  The calculation described in this subsection shall
    |
0022|     be separately made for residential and nonresidential property. 
    |
0023|     Except as provided in Subsections D and E of this section, no
    |
0024|     tax rate or benefit assessment that will produce revenue from
    |
0025|     either class of property in a particular governmental unit in
    |
0001|     excess of the dollar amount allowed by the calculation shall be
    |
0002|     set or imposed.  The rates imposed pursuant to Sections 7-32-4
    |
0003|     and 7-34-4 NMSA 1978 shall be the rates for nonresidential
    |
0004|     property that would have been imposed but for the limitations
    |
0005|     in this section.  As used in this section, "growth control
    |
0006|     factor" is a percentage equal to the sum of "percent change I"
    |
0007|     plus V where:
    |

0008|                    (1)  V = <u>(base year value + net new value)</u>,   
    |
0009|                                    base year value
    |
0010|     expressed as a percentage, but if the percentage calculated is
    |
0011|     less than one hundred percent, then V shall be set and used as
    |
0012|     one hundred percent;
    |
0013|                    (2)  "base year value" means the value for
    |
0014|     property taxation purposes of all residential or nonresidential
    |
0015|     property, as appropriate, subject to valuation under the
    |
0016|     Property Tax Code in the governmental unit for the specified
    |
0017|     purpose in the prior property tax year;
    |
0018|                    (3)  "net new value" means the additional value
    |
0019|     of residential or nonresidential property, as appropriate, for
    |
0020|     property taxation purposes placed on the property tax schedule
    |
0021|     in the current year resulting from the elements in
    |
0022|     Subparagraphs (a) through (d) of this paragraph reduced by the
    |
0023|     value of residential or nonresidential property, as
    |
0024|     appropriate, removed from the property tax schedule in the
    |
0025|     current year and, if applicable, the reductions described in
    |
0001|     Subparagraph (e) of this paragraph:
    |
0002|                         (a)  residential or nonresidential
    |
0003|     property, as appropriate, valued in the current year that was
    |
0004|     not valued at all in the prior year;
    |
0005|                         (b)  improvements to existing residential
    |
0006|     or nonresidential property, as appropriate; 
    |
0007|                         (c)  additions to residential or
    |
0008|     nonresidential property, as appropriate, or values that were
    |
0009|     omitted from previous years' property tax schedules even if
    |
0010|     part or all of the property was included on the schedule, but
    |
0011|     no additions of values attributable to valuation maintenance
    |
0012|     programs or reappraisal programs shall be included;
    |
0013|                         (d)  additions to nonresidential property
    |
0014|     due to increases in annual net production values of mineral
    |
0015|     property valued in accordance with Section 7-36-23 or 7-36-25
    |
0016|     NMSA 1978 or due to increases in market value of mineral
    |
0017|     property valued in accordance with Section 7-36-24 NMSA 1978;
    |
0018|     and
    |
0019|                         (e)  reductions to nonresidential
    |
0020|     property due to decreases in annual net production values of
    |
0021|     mineral property valued in accordance with Section 7-36-23 or
    |
0022|     7-36-25 NMSA 1978 or due to decreases in market value of
    |
0023|     mineral property valued in accordance with Section 7-36-24 NMSA
    |
0024|     1978; and
    |
0025|                    (4)  "percent change I" means a percent not in
    |
0001|     excess of five percent that is derived by dividing the annual
    |
0002|     implicit price deflator index for state and local government
    |
0003|     purchases of goods and services, as published in the United
    |
0004|     States department of commerce monthly publication entitled
    |
0005|     "survey of current business" or any successor publication, for
    |
0006|     the calendar year next preceding the prior calendar year into
    |
0007|     the difference between the prior year's comparable annual index
    |
0008|     and that next preceding year's annual index if that difference
    |
0009|     is an increase, and if the difference is a decrease, the
    |
0010|     "percent change I" is zero.  In the event that the annual
    |
0011|     implicit price deflator index for state and local government
    |
0012|     purchases of goods and services is no longer prepared or
    |
0013|     published by the United States department of commerce, the
    |
0014|     department shall adopt by regulation the use of any comparable
    |
0015|     index prepared by any agency of the United States.
    |
0016|               B.  If, as a result of the application of the
    |
0017|     limitation imposed under Subsection A of this section, a
    |
0018|     property tax rate for residential or nonresidential property,
    |
0019|     as appropriate, authorized in Subsection B of Section 7-37-7
    |
0020|     NMSA 1978 is reduced below the maximum rate authorized in that
    |
0021|     subsection, no governmental unit or entity authorized to impose
    |
0022|     a tax rate under Paragraph (2) of Subsection C of Section
    |
0023|     7-37-7 NMSA 1978 shall impose any portion of the rate
    |
0024|     representing the difference between a maximum rate authorized
    |
0025|     under Subsection B of Section 7-37-7 NMSA 1978 and the reduced
    |
0001|     rate resulting from the application of the limitation imposed
    |
0002|     under Subsection A of this section.
    |
0003|               C.  If the net new values necessary to make the
    |
0004|     computation required under Subsection A of this section are not
    |
0005|     available for any governmental unit at the time the calculation
    |
0006|     must be made, the department of finance and administration
    |
0007|     shall use a zero amount for net new values when making the
    |
0008|     computation for the governmental unit.
    |
0009|               D.  Any part of the maximum tax rate authorized for
    |
0010|     each governmental unit for residential and nonresidential
    |
0011|     property by Subsection B of Section 7-37-7 NMSA 1978 that is
    |
0012|     not imposed for a governmental unit for any property tax year
    |
0013|     for reasons other than the limitation required under Subsection
    |
0014|     A of this section may be authorized by the department of
    |
0015|     finance and administration to be imposed for that governmental
    |
0016|     unit for residential and nonresidential property for the
    |
0017|     following tax year subject to the restriction of Subsection D
    |
0018|     of Section 7-38-33 NMSA 1978.
    |
0019|               E.  If the base year value necessary to make the
    |
0020|     computation required under Subsection A of this section is not
    |
0021|     available for any governmental unit at the time the calculation
    |
0022|     must be made, the department of finance and administration
    |
0023|     shall set a rate for residential and nonresidential property
    |
0024|     that will produce in that governmental unit a dollar amount
    |
0025|     that is not in excess of the property tax revenue due for all
    |
0001|     property for the prior property tax year for the specified
    |
0002|     purpose of that rate in that governmental unit.
    |
0003|               F.  For the purposes of this section:
    |
0004|                    (1)  "nonresidential property" does not include
    |
0005|     any property upon which taxes are imposed pursuant to the Oil
    |
0006|     and Gas Ad Valorem Production Tax Act, the Oil and Gas
    |
0007|     Production Equipment Ad Valorem Tax Act or the Copper
    |
0008|     Production Ad Valorem Tax Act; and
    |
0009|                    (2)  "tax rebate adjustment" means, for those
    |
0010|     counties that have an ordinance in effect providing <u>either the
</u>    |
<u></u>0011| <u>    local property tax credit pursuant to Section 1 of this 1997
</u>    |
<u></u>0012| <u>    act or</u> the property tax rebate pursuant to the Income Tax Act
    |
0013|     for the property tax year and that, <u>in the case of the
</u>    |
<u></u>0014| <u>    property tax rebate</u>, have not imposed for the property tax
    |
0015|     year <s>[either]</s> a property tax, the revenue from which is
    |
0016|     pledged for payment of the income tax revenue reduction
    |
0017|     resulting from the provision of the property tax rebate, <s>[or a
</s>    |
<s></s>0018| <s>    property transfer tax]</s> the estimated amount of the property
    |
0019|     tax rebate <u>or local property tax credit</u> to be allowed with
    |
0020|     respect to the property tax year, and for any other
    |
0021|     governmental unit or purpose, zero; provided that any estimate
    |
0022|     of property tax rebate <u>or local property tax credit</u> to be
    |
0023|     allowed is subject to review for appropriateness and approval
    |
0024|     by the department of finance and administration."
    |
0025|          Section 4.  Section 7-38-35 NMSA 1978 (being Laws 1973,
    |
0001|     Chapter 258, Section 75, as amended) is amended to read:
    |
0002|          "7-38-35.  PREPARATION OF PROPERTY TAX SCHEDULE BY
    |
0003|     ASSESSOR.--
    |
0004|               A.  After receipt of the rate-setting order and the
    |
0005|     order imposing the tax, but no later than October 1 of each tax
    |
0006|     year, the county assessor shall prepare a property tax schedule
    |
0007|     for all property subject to property taxation in the county. 
    |
0008|     This schedule shall be in a form and contain the information
    |
0009|     required by regulations of the <s>[division]</s> <u>department</u> and
    |
0010|     shall contain at least the following information:
    |
0011|                    (1)  the description of the property taxed and,
    |
0012|     if the property is personal property, its location;
    |
0013|                    (2)  the property owner's name and address and
    |
0014|     the name and address of any person other than the owner to whom
    |
0015|     the tax bill is to be sent;
    |
0016|                    (3)  the classification of the property;
    |
0017|                    (4)  the value of the property determined for
    |
0018|     property taxation purposes;
    |

0019|                    (5)  the tax ratio;
    |
0020|                    (6)  the taxable value of the property;
    |
0021|                    (7)  the amount of any exemption allowed and a
    |
0022|     statement of the net taxable value of the property after
    |
0023|     deducting the exemption;
    |
0024|                    (8)  the allocations of net taxable value to
    |
0025|     the governmental units;
    |
0001|                    (9)  the tax rate in dollars per thousand of
    |
0002|     net taxable value for all taxes imposed on the property;
    |
0003|                    (10)  the amount of taxes due on the described
    |
0004|     property; <s>[and]</s>
    |
0005|                    (11)  the amount of any penalties and interest
    |
0006|     already imposed and due on the described property; <u>and</u>
    |
0007|               <u>    (12)  the amount of the local property tax
</u>    |
<u></u>0008| <u>    credit, if any, allowed by the board of county commissioners to
</u>    |
<u></u>0009| <u>    be applied against the taxes due on the described property.</u>
    |
0010|               B.  The property tax schedule is a public record and
    |
0011|     a part of the valuation records."
    |
0012|          Section 5.  APPLICABILITY.--The provisions of this act
    |
0013|     apply to the 1998 and subsequent property tax years.
    |
0014|                              
    |