HB0420 Summary

• When a taxing district's equalized assessed value (excluding new property, recovered tax increment value, and annexed/disconnected property) decreases from the prior levy year, the extension limitation becomes 0% or the voter-approved rate instead of the lesser of 5% or Consumer Price Index increase.

• Referenda to increase the extension limitation may not be conducted at general primary or consolidated primary elections; they must be held at regularly scheduled elections.

• Referendum ballots must include supplemental information stating that failure to approve the referendum will limit the taxing district's extension and could limit some taxpayers' property tax liability.

• The calculation of additional tax on referendum ballots must account for whether the extension limitation is 0% or the Consumer Price Index increase when determining the difference from the proposed rate increase.

• The Act takes effect immediately upon becoming law.