Maine Legislature, Session 121, LD 0938
Committee Amendment CA_A_H740 (House)

COMMITTEE AMENDMENT .. If .. to H.P. 695, L.D. 938, "RESOLUTION, 
Proposing an Amendment to the Constitution of Maine To Change the 
Assessment of Lands Used for Long-term Ownership" 
Amend 
the 
resolution 
by 
striking 
out 
the 
title 
and 
substituting the following: 
, RESOLUTION, 
Amending the Consti tution of Maine To Change the 
Method of Calculating the Kay Property Is Valued To Preserve Home 
Ownership in Maine' 
Further amend the resolution on page 1 by striking out all 
of lines 5 to 40 and inserting in their place the following: 
'Constitution, Art. IX, §8, sub-§6 is enacted to read: 
6. 
Assessment and taxation of real property beginning April 
I. 2005. 
Beginning with taxes based on the status of property on 
or after April L 
2005, all taxes on real property subject to 
taxation in the State must be assessed based on the base property 
value of the property. 
For purposes of this subsection, "base 
property value" means the just value of the property on April 1. 
2004 or on the April 1st preceding the date on which the owner 
acquired the property, whichever is later, as adjusted under this 
subsection. 
Unless 
there is 
a 
change 
in 
ownership of 
the 
property, 
the base property value on each April 1st may 
be 
adjusted only: 
A. 
By 
the actual increase 
in just value or 
the 
same 
percentage as the percentage increase in the Consumer Price 
Index since the last valuation of the property, whichever is 
lower; and 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT ,~, to H,P, 695, L,D, 938 
B. 
To 
reflect the 
just value of 
any 
improvements 
or 
degradations to the property since the previous assessment. 
If there is a change in ownership of the property, the base 
property value must be adjusted to the just value of the 
property on the April 1st preceding the change of ownership 
or the purchase price, whichever is higher, and is subject 
to subsequent adjustment as provided in this subsection. 
The Legislature may enact legislation to provide for the 
administration of this subsection.' 
Further amend the resolution on page 2 by striking out all 
of lines 4 to 9 and inserting in their place the following: 
"Do 
you favor 
amending the Constitution of Maine 
to 
require that property taxes on real property be based on the 
just value of the property on April 1, 2004 as adjusted for 
inflation, unless the property is transferred, in which case 
the property taxes would be based on the purchase price or 
the just value on the preceding April 1st, whichever is 
higher?" , 
SUMMARY 
This amendment is the minority report of the committee. 
It 
provides for amending the Constitution of Maine to establish a 
different method of valuing real property for purposes of the 
property tax beginning April 1, 2005. 
Property taxes would be 
based on the just value of the property on April 1, 2004, 
as 
adjusted for inflation. 
If the real property is transferred, the 
value would be adjusted to reflect the purchase price or the just 
value of the real property on the preceding April 1st, whichever 
is higher. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Referendum Costs 
Approved: 01116/04 ~ac:.. 
Office of Fiscal and Program Review 
LD938 
RESOLUTION, Proposing an Amendment to the Constitution of Maine 
to Change the Assessment of Lands Used for Long-term Ownership 
LR 1832(02) 
Fiscal Note for Bill as Amended by Committee Amendment" " 
Committee: Taxation 
Fiscal Note Required: Yes 
Minority Report 
Fiscal Note 
Current biennium cost increase - General Fund 
MonthlY ear 
Election Type 
Question 
Nov-04 
General 
Referendum 
Length 
Standard 
The Secretary of State's budget includes sufficient funds to accommodate one ballot of average length for the general 
election in November. If the number or size of the referendum questions increases the ballot length, an additional 
appropriation of $8,000 or more may be required. 
Fiscal Detail and Notes 
If this constitutional resolution is ,approved by the voters and becomes effective, its implementation would produce a 
property tax burden shift among property owners within municipalities.