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AR HB1386

Bill

Status

Passed

3/25/2025

Primary Sponsor

Frances Cavenaugh

Click for details

Origin

House of Representatives

95th General Assembly (2025 Regular)

AI Summary

  • Defines "substantial improvement" as any improvement to real property that increases the assessed value by at least 25%

  • Excludes natural disaster repairs from the substantial improvement definition, unless the repairs use higher quality materials than the original property

  • Requires residential real property valuations to consider only comparable properties located within Arkansas

  • Allows out-of-state comparable properties to be used for commercial real property valuations only when no comparable commercial property exists within the state

  • Effective for assessment years beginning on or after January 1, 2025; approved March 25, 2025

Legislative Description

To Amend The Law Concerning The Assessment Of Property; To Amend The Law Concerning Substantial Improvements To Real Property; And To Amend The Method Of Valuation For Real Property Under Arkansas Constitution, Article 16, § 5.

Last Action

Notification that HB1386 is now Act 410

3/25/2025

Committee Referrals

Revenue & Taxation3/10/2025
Revenue and Taxation2/3/2025

Full Bill Text

No bill text available