PROPERTY TAXES – Amends existing law to provide that a county board of equalization may exempt the property of certain hospitals from property taxes.

H 130 amends Idaho property tax law to expand exemptions for qualifying hospitals, directly affecting nonprofit hospitals, county hospitals, critical access hospitals, rural emergency hospitals, and hospital districts. The bill allows these facilities to exclude real property and medical equipment from property taxes if they meet specific requirements, including proving 501(c)(3) nonprofit status and providing community benefit reports. During construction of new hospital facilities, only the bare land is taxed while improvements remain exempt for up to three years. Hospitals using property for unrelated business activities exceeding 3% of total value may lose exemption, and larger hospitals (150+ beds) must file annual community benefit reports detailing charity care and services. The law takes effect January 1, 2026.