Delaware HJR 8: VACATING DEDICATED PARKLAND ± .31 ACRES OF TAX PARCEL NO. 07-039.30-002.

Bill Text

Legislation Document 

 SPONSOR: 

 Rep. Wilson-Anton & Rep. S. Moore & Rep. Phillips 

 Reps. Burns, Lambert, Gorman 

 HOUSE OF REPRESENTATIVES 

 153rd GENERAL ASSEMBLY 

 HOUSE JOINT RESOLUTION NO. 8 

 DIRECTING THE DIRECTOR OF THE OFFICE OF STATE PLANNING COORDINATION, THE DIRECTOR OF THE OFFICE OF MANAGEMENT AND BUDGET, THE SECRETARY OF FINANCE, THE CONTROLLER GENERAL, THE SECRETARY OF EDUCATION, AND THE SECRETARY OF THE DEPARTMENT OF TECHNOLOGY AND INFORMATION TO DEVELOP RECOMMENDATIONS FOR THE STATEWIDE UNIFORM REASSESSMENT OF REAL PROPERTY AND TO PROVIDE A REPORT OF THE RECOMMENDATIONS TO THE GOVERNOR AND THE GENERAL ASSEMBLY. 

 WHEREAS, in 2020, the Chancery Court found that all 3 counties in Delaware violated the uniform tax requirements under Section 1 of Article VIII of the Delaware Constitution by using outdated property valuations to assess county and school taxes ( 
 In re Delaware Public Schools Litigation 
 , 239 A.2d 451 (Del. Ch. 2020)); and 

 WHEREAS, in 2021, as part of the settlement for the Chancery Court case, each county agreed to conduct a general tax reassessment; and 

 WHEREAS, before the reassessments performed according to the 2021 settlement, the counties had not reassessed properties since the 1970s or 1980s; and 

 WHEREAS, HB 62, enacted on August 9, 2023, requires each county to reassess real property located in the county at least once every 5 years, with the first 5-year period starting when the counties completed the reassessments in progress at the time of enactment; and 

 WHEREAS, 30 states, including Delaware, require periodic property reassessments at least every 5 years, with most states requiring reassessments annually, every 2 years, or every 3 years; and 

 WHEREAS, the 144th General Assembly previously explored ways to improve the reassessment process by passing House Joint Resolution 22, which directed the Director of the Office of Management and Budget, the Secretary of Finance, the Secretary of Education and the Controller General to provide a report to the General Assembly and then-Governor Minner with recommendations to provide a mechanism for a fair and equitable reassessment of all real property within this State, 

 WHEREAS, to develop the recommendations required by HJR 22, the state agencies formed a 13-member committee that included representatives from the University of Delaware, the State Board of Education, the Delaware State Education Association, and 1 public school district from each county; and 

 WHEREAS, the committee consulted with assessment professionals in other states, researched and reviewed best practices within the assessment industry, and met with stakeholders to develop the recommendations; and 

 WHEREAS, the committee delivered a report to Governor Minner and the General Assembly on November 26, 2008, detailing a framework for reassessment that balanced the needs of all involved stakeholders while bringing Delaware in line with professional assessment standards; and 

 WHEREAS, in its report, the committee recognized that a statewide reassessment presented an array of logistical, political, and financial challenges, but the committee concluded that undertaking a statewide assessment would improve administrative efficiency and restore integrity and equity to the property tax base; and 

 WHEREAS, the committee considered 3 reassessment approaches and recommended a hybrid approach in which this State and counties would work together; and 

 WHEREAS, under the hybrid approach, the State would set the new standards for assessment practices, combine the 3 separate county property tax databases into a single statewide database to be controlled by the State, and use a private contractor to help the counties implement the new system; and 

 WHEREAS, the recommended approach would require the counties to conduct the physical inspection of properties, collect data, and input the data into the statewide database; and 

 WHEREAS, the committee recommended forming a State Assessment Practices Board, with 9 members appointed by the Governor, the counties, and the General Assembly, to oversee implementation of property tax reassessment; and 

 WHEREAS, the State Assessment Practices Board would serve part-time and work in conjunction with local governments, other State officials and staff, and the private contractor to manage the implementation process; and 

 WHEREAS, after the initial reassessment, the counties would perform subsequent revaluations and physical inspections, and the State would maintain the statewide property database, monitor the counties' assessment practices and performance and, if necessary, initiate remedial actions against counties that fail to meet accepted standards; and 

 WHEREAS, the committee also offered recommendations on how to manage the impact of tax increases after reassessments, including limiting aggregate local government and school revenue growth at 7.5% after the initial reassessment and 5% for sub