Housing (Mortgages)

The bill provides that, on or after December 31, 2027, subject to an administrative approval process, a subject jurisdiction shall approve the a lot split of an original lot into 2 new lots if the following conditions are met: The area of the original lot is 2,000 square feet or greater before the split; The lot split does not create a new lot that is smaller than 1,200 square feet in area;If the 2 new lots are not equal in area, the area of the smaller of the 2 new lots is equal to or greater than 40% 30% of the area of the original lot;The original lot is not subject to any previously recorded was never subject to another lot split;Residential use is allowed on the original lot; It is feasible for both of the new lots to be accessed; for utility easements to serve both new lots; and for both new lots to meet land survey plat and monument records requirements;The original lot is not an exempt lot; andThe original lot is not located within a common interest community that was created on or before December 31, 2027.      A subject jurisdiction may establish procedures to review and accept information related to a proposed lot split, including lot information related to:Property ownership;Physical characteristics of the lot, including geology and soils;Proposed new lot lines and new lot areas;Adequacy of water supply, sewer service, and drainage systems to serve the new lots;Adequacy of electric power and natural gas service to serve the new lots;Dedication for schools, parks, streets, and other public areas, or payment of money in lieu of such dedication; andGuarantees of necessary public improvements.      A subject jurisdiction:Shall not apply a setback standard that requires a setback from the lot line adjoining 2 new lots created through a lot split if no structure existed on the original lot immediately preceding the lot split; andMay apply a setback standard that requires a setback from the lot line adjoining 2 new lots created through a lot split if a structure existed on the original lot immediately preceding the lot split and if the setback is equal to or less than 5 feet.     If an original lot or any structure built on the original lot is subject to an evidence of debt constituting a residential mortgage loan lien , then prior to approving the split of an original a lot split , a subject jurisdiction shall verify that the holder of the evidence of debt constituting a residential mortgage loan (holder) lienholder has received notice of the proposed lot split and has consented to the lot split in writing. The holder lienholder may condition consent to the lot split on the satisfaction of specified conditions.     The written consent of the holder must be executed in a form that is eligible for recording in the real property records of the county in which the original lot is located and must include:The notarized signature of the holder lienholder or the agent of the holder lienholder ;The name of the record owner or ground lessee of the original lot;The legal description of the original lot; andThe identities of all parties with an interest in the original lot, as reflected in the real property records. records, including any easements and encumbrances.     The written consent of the holder lienholder must be recorded in the office of the county recorder of the county in which the original lot is located. If the holder lienholder does not provide written consent to the lot split, the subject jurisdiction shall not approve the lot split. A lot split that is approved before the written consent of the lienholder has been obtained and recorded is void.(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

The bill gives city and county housing authorities (housing authority) the power to provide for the levy of a sales tax, sales and use tax, or property tax both within the jurisdiction of the authority, the resulting revenue of which will be directed to the housing authority, subject to the following conditions:The city or county has adopted a resolution determining that the levying of the tax will fairly distribute the costs of the housing authority's activities among the beneficiaries of the housing authority's activities and will not impose an undue burden on any particular group of people or businesses ; andA ballot question has been submitted to a vote of the registered electors of the city or county and subsequently approved by a majority of such registered electors, and the ballot question describes the purposes for which the tax will be used by the housing authority and complies with section 20 of article X of the state constitution. All new tax revenues generated are irrevocably pledged to the authority for the purposes set forth in the ballot question.     If a sales or sales and use tax is approved by the voters of a housing authority:The rate of the sales or sales and use tax must not exceed 1% on any transaction taxable by the state , excluding the sale or use of cigarettes ; andThe executive director of the department of revenue shall collect, administer, and enforce the tax, and the city or county shall pay the net incremental cost incurred by the department in the administration and collection of the tax.      The authority shall designate a liaison to coordinate with the department of revenue to implement the collection of the tax and to identify people eligible to collect the sales and use tax; and      The tax revenue must be directed to a fund of the authority.The provisions authorizing the levy of the sales or sales and use tax will only take effect if the department of revenue receives an amount of gifts, grants, and donations sufficient to pay for the department's costs in administering the tax.      If an ad valorem property tax is approved by the voters of a housing authority:The rate of the ad valorem property tax must not exceed 5 mills on each dollar of valuation for assessment of the taxable property within the authority's jurisdiction;The board of county commissioners of the county in which the housing authority is located shall levy the ad valorem property tax upon the valuation for assessment of all taxable property within the authority's jurisdiction;The officials charged with collecting ad valorem property taxes for the county in which the housing authority is located shall collect the taxes at the time and in the form and manner and with like interest and penalties as other property taxes collected within the county;The property tax revenue must be directed to a fund of the authority; andAll property tax revenue, together with interest thereon and penalties for default in payment thereof, and all costs of collecting the same shall constitute, until paid, a perpetual lien on and against the property taxed, and such lien shall be on a parity with the tax lien of other general taxes.     The bill gives county housing authorities the power to issue revenue or general obligation bonds and to pledge the authority's revenues and revenue-raising powers for the payment of such bonds.      The bill allows an urban renewal authority to enter into a shortfall guaranty contract with an urban renewal project developer (developer) specifying that, if the tax increment revenue is insufficient to pay the indebtedness incurred by the authority that is due, the developer is obligated to make a direct payment covering the full amount of the insufficiency. A shortfall guaranty contract:Constitutes a lien on the urban renewal project property the same as, and equal in priority to, a tax lien;Has priority over any mortgage, lien that is not a tax lien, or other encumbrance;Constitutes a covenant running with the land for the term of the contract; andMay be recorded against the real property upon which the urban renewal project is developed.(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)