Colo. Rev. Stat. § 39-1-104.2

Current through Chapter 123 of the 2024 Legislative Session

Section 39-1-104.2 - Residential real property - valuation for assessment - legislative declaration - definitions

(1) As used in this section, unless the context otherwise requires:

(a) "Multi-family residential real property" means residential real property that is a duplex, triplex, or multi-structure of four or more units, all of which are based on the class codes established in the manual published by the administrator. Multi-family residential real property is a subclass of residential real property for purposes of the ratio of valuation for assessment.

(b) "Target percentage" means the percentage of aggregate statewide valuation for assessment represented by the valuation for assessment which is attributable to residential real property in the year immediately preceding the year in which a change in the level of value occurs.

(2) After careful consideration of all available information, the general assembly hereby finds and declares that the action of the first session of the fifty-sixth general assembly which set the ratio of valuation for assessment for residential real property at eighteen percent has produced a deviation from the intent of section 3 of article X of the state constitution which ensures that the percentage of the aggregate statewide valuation for assessment which is attributable to residential real property shall remain the same as it was in the year immediately preceding the year in which a change occurs in the level of value used in determining actual value. Therefore, the general assembly finds that legislation is necessary for the following purposes: To adjust the residential rate for 1988; to ensure that deviations from the constitutional mandate set forth in section 3 of article X of the state constitution shall not be perpetuated into this or any future year; and to provide a process for future adjustments in the ratio of valuation for assessment for residential real property.

(3)

(a) The general assembly, pursuant to the authority granted in section 3 of article X of the state constitution, finds and declares that, for the property tax years commencing on or after January 1, 1987, but before January 1, 1989, the percentage of aggregate statewide valuation for assessment which is attributable to residential real property fails to remain as it was in the property tax year commencing January 1, 1986, when the aggregate statewide valuation for assessment was based on the 1985 aggregate statewide valuation for assessment plus the increased valuation for assessment attributable to new construction and to increased volume of mineral and oil and gas production which occurred during 1986. Therefore, for the property tax year commencing January 1, 1988, the ratio of valuation for assessment for residential real property shall be sixteen percent of actual value.

(b) The general assembly, pursuant to the authority granted in section 3 of article X of the state constitution, finds and declares that, for the property tax years commencing on or after January 1, 1989, but before January 1, 1991, the percentage of aggregate statewide valuation for assessment which is attributable to residential real property fails to remain as it was in the property tax year commencing January 1, 1988, when the aggregate statewide valuation for assessment was based on the 1987 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 44.51 percent, for the property tax years commencing on or after January 1, 1989, but before January 1, 1991, the ratio of valuation for assessment for residential real property shall be fifteen percent of actual value.

(c) The general assembly, pursuant to the authority granted in section 3 of article X of the state constitution, finds and declares that, for the property tax years commencing on or after January 1, 1991, but before January 1, 1993, the percentage of aggregate statewide valuation for assessment which is attributable to residential real property fails to remain as it was in the property tax year commencing January 1, 1990, when the aggregate statewide valuation for assessment was based on the 1989 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 44.57 percent, for the property tax years commencing on or after January 1, 1991, but before January 1, 1993, the ratio of valuation for assessment for residential real property shall be 14.34 percent of actual value.

(d) Pursuant to the authority granted in section 3 of article X of the state constitution, the general assembly finds and declares that, for the property tax years commencing on or after January 1, 1993, but before January 1, 1995, the percentage of aggregate statewide valuation for assessment which is attributable to residential real property will fail to remain as it was in the property tax year commencing January 1, 1992, when the aggregate statewide valuation for assessment was based on the 1991 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 44.73 percent, the ratio of valuation for assessment for residential real property shall be 12.86 percent of actual value for the property tax years commencing on or after January 1, 1993, but before January 1, 1995.

(e) Pursuant to the authority granted in section 3 of article X of the state constitution, the general assembly finds and declares that, for the property tax years commencing on or after January 1, 1995, but before January 1, 1997, the percentage of aggregate statewide valuation for assessment that is attributable to residential real property will fail to remain as it was in the property tax year commencing January 1, 1994, when the aggregate statewide valuation for assessment was based on the 1993 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 45.29 percent, the ratio of valuation for assessment for residential real property shall be 10.36 percent of actual value for the property tax years commencing on or after January 1, 1995, but before January 1, 1997.

(f) Pursuant to the authority granted in section 3 of article X of the state constitution, the general assembly finds and declares that, for the property tax years commencing on or after January 1, 1997, but before January 1, 1999, the percentage of aggregate statewide valuation for assessment that is attributable to residential real property will fail to remain as it was in the property tax year commencing January 1, 1996, when the aggregate statewide valuation for assessment was based on the 1995 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 46.17 percent, the ratio of valuation for assessment for residential real property shall be 9.74 percent of actual value for the property tax years commencing on or after January 1, 1997, but before January 1, 1999.

(g) Pursuant to the authority granted in section 3 of article X of the state constitution, the general assembly finds and declares that, for the property tax years commencing on or after January 1, 1999, but before January 1, 2001, the percentage of aggregate statewide valuation for assessment that is attributable to residential real property will fail to remain as it was in the property tax year commencing January 1, 1998, when the aggregate statewide valuation for assessment was based on the 1997 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 46.49 percent, the ratio of valuation for assessment for residential real property shall be 9.74 percent of actual value for the property tax years commencing on or after January 1, 1999, but before January 1, 2001.

(h) Pursuant to the authority granted in section 3 of article X of the state constitution, the general assembly finds and declares that, for the property tax years commencing on or after January 1, 2001, but before January 1, 2003, the percentage of aggregate statewide valuation for assessment that is attributable to residential real property will fail to remain as it was in the property tax year commencing January 1, 2000, when the aggregate statewide valuation for assessment was based on the 1999 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 46.61 percent, the ratio of valuation for assessment for residential real property shall be 9.15 percent of actual value for the property tax years commencing on or after January 1, 2001, but before January 1, 2003.

(i) Pursuant to the authority granted in section 3 of article X of the state constitution, the general assembly finds and declares that, for the property tax years commencing on or after January 1, 2003, but before January 1, 2005, the percentage of aggregate statewide valuation for assessment that is attributable to residential real property will not remain as it was in the property tax year commencing January 1, 2002, when the aggregate statewide valuation for assessment was based on the 2001 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 47.08 percent, the ratio of valuation for assessment for residential real property shall be 7.96 percent of actual value for the property tax years commencing on or after January 1, 2003, but before January 1, 2005.

(j) Pursuant to the authority granted in section 3 of article X of the state constitution, the general assembly finds and declares that, for the property tax years commencing on or after January 1, 2005, but before January 1, 2007, the percentage of aggregate statewide valuation for assessment that is attributable to residential real property will not remain as it was in the property tax year commencing January 1, 2004, when the aggregate statewide valuation for assessment was based on the 2003 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 47.22 percent, the ratio of valuation for assessment for residential real property shall be 7.96 percent of actual value for the property tax years commencing on or after January 1, 2005, but before January 1, 2007.

(k) Pursuant to the authority granted in section 3 of article X of the state constitution, the general assembly finds and declares that, for the property tax years commencing on or after January 1, 2007, but before January 1, 2009, the percentage of aggregate statewide valuation for assessment that is attributable to residential real property will not remain as it was in the property tax year commencing January 1, 2006, when the aggregate statewide valuation for assessment was based on the 2005 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 47.43 percent, the ratio of valuation for assessment for residential real property shall be 7.96 percent of actual value for the property tax years commencing on or after January 1, 2007, but before January 1, 2009.

(l) Pursuant to the authority granted in section 3 of article X of the state constitution, the general assembly finds and declares that, for the property tax years commencing on or after January 1, 2009, but before January 1, 2011, the percentage of aggregate statewide valuation for assessment that is attributable to residential real property will not remain as it was in the property tax year commencing January 1, 2008, when the aggregate statewide valuation for assessment was based on the 2007 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 46.82 percent, the ratio of valuation for assessment for residential real property shall be 7.96 percent of actual value for the property tax years commencing on or after January 1, 2009, but before January 1, 2011.

(m) Pursuant to the authority granted in section 3 of article X of the state constitution, the general assembly finds and declares that, for the property tax years commencing on or after January 1, 2011, but before January 1, 2013, the percentage of aggregate statewide valuation for assessment that is attributable to residential real property will not remain as it was in the property tax year commencing January 1, 2010, when the aggregate statewide valuation for assessment was based on the 2009 aggregate statewide valuation for assessment. Therefore, the administrator having determined pursuant to subsection (4) of this section that the target percentage is 46.53 percent, the ratio of valuation for assessment for residential real property shall be 7.96 percent of actual value for the property tax years commencing on or after January 1, 2011, but before January 1, 2013.

(n) Based on the determination by the administrator that the target percentage is 45.86 percent, the ratio of valuation for assessment for residential real property is 7.96 percent of actual value for the property tax years commencing on or after January 1, 2013, but before January 1, 2015.

(o) Based on the determination by the administrator that the target percentage is 45.67 percent, the ratio of valuation for assessment for residential real property is 7.96 percent of actual value for the property tax years commencing on or after January 1, 2015, but before January 1, 2017.

(p) Based on the determination by the administrator that the target percentage is 45.76 percent, the ratio of valuation for assessment for residential real property is 7.2 percent of actual value for property tax years commencing on or after January 1, 2017, but before January 1, 2019.

(q) The valuation for assessment for multi-family residential real property is 7.15 percent of the actual value of the property for property tax years commencing on or after January 1, 2019; except that the valuation for assessment of this property is temporarily reduced as follows:

(I) For the property tax years commencing on January 1, 2022, and January 1, 2024, the valuation for assessment for multi-family residential real property is temporarily reduced to 6.8 percent of the actual value of the property; and

(II) For the property tax year commencing on January 1, 2023, the valuation for assessment for multi-family residential real property is temporarily reduced to 6.7 percent of the amount equal to the actual value of the property minus the lesser of fifty-five thousand dollars or the amount that causes the valuation for assessment of the property to be one thousand dollars.

(r) The valuation for assessment for all residential real property other than multi-family residential real property is 7.15 percent of the actual value of the property; except that the valuation for assessment of this property is temporarily reduced as follows:

(I) For the property tax year commencing on January 1, 2022, the valuation for assessment for all residential real property other than multi-family residential real property is temporarily reduced to 6.95 percent of the actual value of the property;

(II) For the property tax year commencing on January 1, 2023, the ratio of valuation for assessment for all residential real property other than multi-family residential real property is 6.7 percent of the amount equal to the actual value of the property minus the lesser of fifty-five thousand dollars or the amount that causes the valuation for assessment of the property to be one thousand dollars; and

(III) For the property tax year commencing on January 1, 2024, the ratio of valuation for assessment for all residential real property other than multi-family residential real property is temporarily established as the percentage calculated in accordance with section 39-1-104.4.

(3.7)

(a) The administrator shall convene a working group with representatives, including assessors and elected county officials from small-, medium-, and large-sized counties and a representative of a statewide organization of real estate professionals, to make recommendations about ways to streamline and improve the designation of the primary residence real property in the event that voters approve the ballot issue referred in accordance with section 24-77-202. In formulating its recommendations, the working group shall consider information technology needs and administrative impacts. On or before January 1, 2024, the working group shall provide a report of its recommendations to the senate local government and housing committee, and the house of representatives transportation, housing, and local government committee; except that no report is due if the ballot issue does not pass.

(b) This subsection (3.7) is repealed, effective July 1, 2024.

(4) to (7) Repealed.

C.R.S. § 39-1-104.2

Amended by 2023EX1 Ch. 1,§ 1, eff. 11/20/2023.

Amended by 2023 Ch. 258,§ 9, eff. 11/20/2023 (except that (3.7) is effective 5/24/2023) (passed by voters in 11/7/2023 election).

Amended by 2022 Ch. 157, § 2, eff. 5/16/2022.

Amended by 2021 Ch. 301,§ 4, eff. 12/31/2021 but only if a majority of the voters do not approve a measure concerning property tax reductions in the November 2021 election or if there is no such measure on the ballot for the election.

Amended by 2021 Ch. 301,§ 3, eff. 6/23/2021 but amendment of (3)(q) takes effect only if a majority of the voters approve a measure concerning property tax reductions in the November 2021 election, in which case it takes effect simultaneously with the measure.

Amended by 2020 Ch. 291, § 3, eff. 1/1/2021.

Amended by 2019 Ch. 433, § 1, eff. 6/3/2019.

Amended by 2017 Ch. 358, § 1, eff. 6/5/2017.

Amended by 2015 Ch. 312, § 1, eff. 6/5/2015.

Amended by 2013 Ch. 324, § 1, eff. 5/28/2013.

L. 88: Entire section added, p. 1276, § 1, effective January 1, 1989. L. 89: (3) and (7)(b) amended, p. 1450, § 3, effective June 7. L. 90: IP(7)(a) amended, p. 1689, § 5, effective June 9. L. 91: (3)(c) added and (4)(a), (6)(d), and (7)(b) amended, p. 1984, §§ 1, 2, effective April 11. L. 91, 2nd Ex. Sess.: (7)(b) amended, p. 100, § 1, effective September 25; IP(7)(a) and (7)(a)(II) amended, p. 101, § 1, effective October 7. L. 92: IP(7)(a) and (7)(b) amended, p. 2215, § 2, effective June 3. L. 93: (3)(d) added and (7) repealed, pp. 1876, 1689, §§ 1, 8, effective June 6. L. 95: (3)(e) added, p. 583, § 1, effective May 22. L. 97: (3)(f) added, p. 1149, § 1, effective May 28. L. 99: (3)(g) added, p. 505, § 1, effective April 30. L. 2001: (3)(h) added, p. 705, § 1, effective May 31. L. 2002: IP(6) amended, p. 861, § 2, effective August 7. L. 2003: (3)(i) added, p. 1970, § 1, effective May 22. L. 2005: (3)(j) added, p. 632, § 1, effective May 27. L. 2007: (3)(k) added, p. 1524, § 1, effective May 31. L. 2009: (3)(l) added, (HB 09-1360), ch. 1875, p. 1875, § 1, effective June 1. L. 2011: (3)(m) added, (HB 11-1305), ch. 956, p. 956, § 1, effective May 27. L. 2013: (3)(n) added, (HB 13-1319), ch. 1815, p. 1815, § 1, effective May 28. L. 2015: (3)(o) added, (HB 15-1357), ch. 1276, p. 1276, § 1, effective June 5. L. 2017: (3)(p) added, (HB 17-1349), ch. 1885, p. 1885, § 1, effective June 5. L. 2019: (3)(p) amended and (3)(q) added, (SB 19-255), ch. 3745, p. 3745, § 1, effective June 3. L. 2020: (3)(q) amended and (4), (5), and (6) repealed, (SB 20-223), ch. 1436, p. 1436, § 3, effective January 1, 2021. L. 2021: (1)(a) amended and (3)(r) added, (SB 21-293), ch. 1808, p. 1808, § 3, effective June 23; (3)(q) amended, (SB 21-293), ch. 1808, p. 1808, §§ 3, 4, effective (see editor's notes (2) and (3)).

(1) Section 5(2) of chapter 291 (SB 20-223), Session Laws of Colorado 2020, provides that changes to this section take effect on the date of the governor's proclamation or January 1, 2021, whichever is later, only if, at the November 2020 statewide election, a majority of voters approve the ballot issue referred in accordance with section 2 of Senate Concurrent Resolution 20-001. The ballot issue, referred to voters as amendment B, was approved on November 3, 2020, and was proclaimed by the Governor on December 31, 2020. The vote count for the measure was as follows:

FOR: 1,740,395

AGAINST: 1,285,136

(2) Section 15(2) of chapter 301 (SB 21-293), Session Laws of Colorado 2021, provides that section 3 of the act changing subsection (3)(q) takes effect only if, at the November 2021 statewide election, a majority of voters approve a measure concerning property tax reductions, and, in which case, changes to subsection (3)(q) take effect simultaneously with the measure.

(3) Section 15(3) of chapter 301 (SB 21-293), Session Laws of Colorado 2021, provides that section 4 of the act changing subsection (3)(q) takes effect only if, at the November 2021 statewide election, a majority of voters do not approve a measure concerning property tax reductions or if there is no such measure on the ballot for the election, and, in either case, changes to subsection (3)(q) take effect on December 31, 2021.