Senate Bill 135 - Summary

• Limits annual increase in assessed value of homesteads to 5% for assessment dates after 2012, capping growth at 105% of the previous year's assessed value.

• Exempts homesteads from the 5% cap when ownership changes (entire or partial interest) on or before the assessment date.

• Exempts homesteads from the 5% cap when the assessed value increase results from physical changes to the property.

• Applies only to value increases from annual adjustments or general reassessments that do not recognize physical improvements to the homestead.

• Takes effect January 1, 2013, and requires the Department of Local Government Finance to adopt implementing rules.