House Finance and Taxation committee advances bill to create legacy property-tax relief fund, amend homestead and income-tax credits

During a House Finance and Taxation Committee meeting, members voted to advance House Bill 11-76 as amended and refer it to the Appropriations Committee.

The bill, as amended, creates a legacy property tax relief fund, moves $225,000,000 into that fund, adjusts the homestead tax credit and the primary residence (PRC) credit, adds new rules for levy caps and opt-outs for cities and counties, and includes a small income-tax change that shifts the bottom bracket upward (from about $45,000 to roughly $53,000). Committee members also approved a later amendment that restored certain homestead-credit thresholds that had been struck in the amendment package.

Representative Steiner offered an initial amendment to substitute a 60% homestead tax credit (derived from Representative Koppelman’s 70% concept but reduced to match available funds). Steiner said she had reduced 70% to 60% “to get closer to the actual money that we have in November,” and that she preferred 70% but had chosen 60% because of fiscal uncertainty. Chairman Hedlund opposed that insertion, saying the committee had not yet voted on Representative Koppelman’s underlying bill and that leadership and the governor’s office had worked on a collaborative alternative. The committee defeated Steiner’s amendment on a roll-call vote, 2-12 (yes: Representative Nehring, Representative Steiner; no: Chairman Hedlund, Vice Chair Haggart, Representative Anderson, Representative Doctor, Representative…