FORTY-THIRD LEGISLATURE            SB 341/a
                        SECOND SESSION, 1998
  
  
                                                February 13, 1998
  
  Mr. President:
  
      Your FINANCE COMMITTEE, to whom has been referred
  
                          SENATE BILL 341
  
  has had it under consideration and reports same with
  recommendation that it DO PASS, amended as follows:
  
      1.  On page 2, line 11, after "New Mexico" insert "by reason
  of use".
  
      2.  On page 3, strike lines 17 through 25, strike page four
  and insert in lieu thereof:
  
          "C.  When fractional interests are created in property:
  
               (1)  fractional interests that are nonexempt property
  shall be reported to the appropriate valuation authority by the
  fractional interest owners for valuation for property tax purposes
  if the owner is a nonexempt entity; and
  
               (2) except for fractional interests owned by the
  United States, an Indian nation, tribe or pueblo, the state of New
  Mexico or a political subdivision of the state, fractional
  interests that are owned by a nonexempt entity but are claimed to
  be exempt property shall be reported by the owner to the
  appropriate valuation authority for a determination of exemption
  status and valuation if determined to be nonexempt property.
  
          D.  Fractional interests that are nonexempt property shall
  be valued by the applicable method of valuation pursuant to the
  Property Tax Code, and if fractional interests that are exempt
  property have been created, the value of the remaining nonexempt
  fractional interests shall be determined in the property tax year
  following the creation of the interests as the value of the
  property in the property tax year immediately prior to the year in
  which creation of the fractional interests occurred, increased or
  decreased by the value directly attributable to the creation of
  the fractional interests that are exempt property.  For subsequent
  property tax years, the nonexempt fractional interests shall be
  valued pursuant to the applicable methods of valuation.".
      
  
  
                               Respectfully submitted,
  
  
  
                               __________________________________
                               Ben D. Altamirano, Chairman 
  
  
  
  Adopted_______________________   Not Adopted_______________________
            (Chief Clerk)                          (Chief Clerk)
  
  
                    Date ________________________
  
  
  The roll call vote was<u> 7 </u> For<u> 0 </u> Against
          Yes:    7
          No:     None
  Excused: Aragon, Carraro, Eisenstadt, Ingle
          Absent: None
  
  
  S0341FC1                                              .123217.2