MS SB2937

Amends Section 27-35-50 of Mississippi Code to revise how affordable rental housing is appraised for ad valorem tax purposes by using a gross rental multiplier method instead of net operating income capitalization.

Establishes that affordable rental housing value equals gross collected rental income for the prior calendar year multiplied by a gross rental multiplier of 3.78, with a floor of 50% of the pro forma gross rental income from the Low Income Housing Tax Credits application multiplied by 3.78.

Requires owners of affordable rental housing to provide sworn statements of gross collected rental income to county tax assessors by April 15 annually, and to provide certified financial statements, federal tax returns, and LIHTC pro forma documents upon written request.

Allows properties in their first year of operation to be valued based on pro forma gross rental income from the LIHTC application for units with certificates of occupancy as of January 1, with units lacking occupancy certificates assessed on land value only.

Requires the Department of Revenue to examine county assessment rolls for compliance and authorizes withholding of a county's homestead exemption reimbursement if the county fails to properly assess affordable rental housing, with withheld funds placed in escrow until compliance is achieved.