What to Watch: Week of February 27, 2023

27 Feb 2023, by Sara Westbrook Share :

 

Tomorrow, we expect House Bill 150 to receive a hearing in the House Revenue and Taxation Committee. The IAC Legislative Committee chose to take an opposed position to H0150. The following are talking points that can be used when discussing with House Members why IAC opposes the bill.

– According to Idaho Session Laws, from at least 1919 to 1989 the county tax collector was required to give delinquent taxes, late fees, and interest to the county auditor. The auditor was required to apportion the interest, late fees, and taxes to the other taxing districts.

– In 1989, 63-903, Idaho Code was amended. The requirement to apportion was removed.

– 1989 Code Change:

See 63-903(6)

– 63-1304, Idaho Code allows the Board of County Commissioners “by resolution, to authorize the county tax collector to make adjustments of late charges, interest and fees…in order to facilitate the collection of property taxes.”

– While some costs and fees associated with tax collection may be added on to a lien on a property, some counties prefer to use the late fees and interest to cover the costs of collection instead of adding extra burden to the delinquent taxpayer who is already struggling or having other existing taxpayers cover the costs of collections.

– Idaho Code allows the county treasurer to retain interest received on paid taxes until the first Monday of the month following receipt.

The hearing for House Bill 150 is scheduled for 9 a.m. MST tomorrow. Click here to watch the hearing.

House Bill 85, an IAC priority to allow the BOCC to set a DMV Title Administration Fee, is on the 3rd Reading Calendar in the Senate. It is possible that this bill may be debated on the floor by the end of this week, depending on how many Senate Bills the senate needs to get through. County Commissioners and Assessors, please reach out to your senators to encourage them to support House Bill 85. If you have any questions on these bills or any others, please don’t hesitate to reach out to the IAC Policy Team.