As Amended by House Committee
As Amended by Senate Committee
Session of 2000
SENATE BILL No. 411
By Committee on Assessment and Taxation
1-12
12 AN ACT relating
to property taxation; concerning appeals procedures
13 for certain valuation
controversies; amending K.S.A. 1999 Supp. 74-
14 2433 and 74-2433f and
repealing the existing sections.
15
16 Be it enacted by the Legislature of the
State of Kansas:
17 Section
1. K.S.A. 1999 Supp. 74-2433 is hereby amended to read as
18 follows: 74-2433. (a) There is hereby
created a state board of tax appeals,
19 referred to in this act as the board. The
board shall be composed of five
20 members who shall be appointed by the
governor, subject to confirmation
21 by the senate as provided in K.S.A.
75-4315b, and amendments thereto.
22 After January 15, 1999, three of such
members shall: (1) Have been reg-
23 ularly admitted to practice law in the
state of Kansas; and (2) for a period
24 of at least five years, have engaged in the
active practice of law as a lawyer,
25 judge of a court of record or any other
court in this state, or as a certified
26 public accountant who has maintained
registration as an active attorney
27 with the Kansas supreme court, or any
combination thereof. Except as
28 provided by K.S.A. 1999 Supp. 46-2601, no
person appointed to the board
29 shall exercise any power, duty or function
as a member of the board until
30 confirmed by the senate. Not more than
three members of the board
31 shall be of the same political party.
Members of the board shall be resi-
32 dents of the state. Subject to the
provisions of K.S.A. 75-4315c, and
33 amendments thereto, one shall be appointed
from each of the congres-
34 sional districts of Kansas and the
remainder from the state at large. The
35 members of the board shall be selected with
special reference to training
36 and experience for duties imposed by this
act and shall be individuals with
37 legal, accounting or appraisal training and
experience. Members shall be
38 subject to the supreme court rules of
judicial conduct applicable to all
39 judges of the district court. The board
shall be bound by the doctrine of
40 stare decisis limited to published
decisions of an appellate court other
41 than a district court. Members shall hold
office for terms of four years
42 and until their successors are appointed
and confirmed. Such terms of
43 office shall expire on January 15 of the
last year of such term. If a vacancy
2
1 occurs on the board, the governor
shall appoint a successor to fill the
2 vacancy for the unexpired term. The
governor shall select one of its mem-
3 bers to serve as chairperson. The
votes of three members shall be re-
4 quired for any action to be taken by
the board. Meetings may be called
5 by the chairperson and shall be
called on request of a majority of the
6 members of the board and when
otherwise prescribed by statute.
7 (b) Any
member of the state board of tax appeals may be removed
8 by the governor for cause, after
public hearing conducted in accordance
9 with the provisions of the Kansas
administrative procedure act.
10 (c) The state
board of tax appeals shall appoint, subject to approval
11 by the governor, an executive director of
the board, to serve at the plea-
12 sure of the board. The executive director
shall: (1) Be in the unclassified
13 service under the Kansas civil service act;
(2) devote full time to the
14 executive director's assigned duties; (3)
receive such compensation as
15 determined by the board, subject to the
limitations of appropriations
16 thereof; and (4) have familiarity with the
tax appeals process sufficient to
17 fulfill the duties of the office of
executive director. The executive director
18 shall perform such duties as directed by
the board.
19 (d) Appeals
decided by the state board of tax appeals which are
20 deemed of sufficient importance to be
published shall be prepared and
21 delivered to the director of
printing, who shall as speedily as possible
22 print and publish such number of
copies as shall be specified published
23 by the board.
24 (e) After
appointment, members of the state board of tax appeals shall
25 complete the following course requirements:
(1) A tested appraisal course
26 of not less than 30 clock hours of
instruction consisting of the fundamen-
27 tals of real property appraisal with an
emphasis on the cost and sales
28 approaches to value; (2) a tested appraisal
course of not less than 30 clock
29 hours of instruction consisting of the
fundamentals of real property ap-
30 praisal with an emphasis on the income
approach to value; (3) a tested
31 appraisal course of not less than 30 clock
hours of instruction with an
32 emphasis on mass appraisal; (4) an
appraisal course with an emphasis on
33 Kansas property tax laws and; (5) an
appraisal course on the techniques
34 and procedures for the valuation of state
assessed properties with an em-
35 phasis on unit valuation; and (6) a tested
appraisal course on the tech-
36 niques and procedures for the valuation of
land devoted to agricultural
37 use pursuant to K.S.A. 79-1476, and
amendments thereto. The executive
38 director shall adopt rules and regulations
prescribing a timetable for the
39 completion of the course requirements and
prescribing continued edu-
40 cation requirements for members of the
board.
41 (f) The state
board of tax appeals shall have no capacity or power to
42 sue or be sued.
43 Sec.
2. K.S.A. 1999 Supp. 74-2433f is hereby amended to read as
3
1 follows: 74-2433f. On and after
January 1, 1999, (a) There shall be a
2 division of the state board of tax
appeals known as the small claims divi-
3 sion. Hearing officers appointed by
the executive director shall have au-
4 thority to hear and decide cases
heard in the small claims division.
5
(b) The small claims
division shall have jurisdiction over hearing
and
6 deciding applications
for the refund of protested taxes under the
provi-
7 sions of K.S.A.
79-2005, and amendments thereto, and hearing and
de-
8 ciding appeals from
decisions rendered pursuant to the provisions
of
9 K.S.A. 79-1448, and
amendments thereto, and of article 16 of chapter
79
10 of the Kansas Statutes
Annotated, and acts amendatory thereof or sup-
11 plemental thereto, with
regard to single-family residential property.
The
12 filing of an appeal with the
small claims division shall be a prerequisite
13 for filing an appeal with the
state board of tax appeals for appeals in-
14 volving single-family
residential property.
15
(c) (b) At the election of the
taxpayer, the small claims division shall
16 have jurisdiction over: (1) Any appeal of a
decision, finding, order or
17 ruling of the director of taxation, except
an appeal, finding, order or ruling
18 relating to an assessment issued pursuant
to K.S.A. 79-5201 et seq., and
19 amendments thereto, in which the amount of
tax in controversy does not
20 exceed $15,000; (2) hearing and deciding
applications for the refund of
21 protested taxes under the provisions of
K.S.A. 79-2005, and amendments
22 thereto, where the value of the property,
other than property devoted to
23 agricultural use, is less than $2,000,000
as reflected on the valuation no-
24 tice or the property constitutes
single family residential property or the
25 property constitutes single family
residential property; or (3) hear-
26 ing and deciding appeals from decisions
rendered pursuant to the pro-
27 visions of K.S.A. 79-1448, and amendments
thereto, and of article 16 or
28 17 of chapter 79 of the
Kansas Statutes Annotated, and acts amendatory
29 thereof or supplemental thereto, other than
those relating to land devoted
30 to agricultural use, wherein the value of
the property is less than
31 $2,000,000 as reflected on the valuation
notice or the property constitutes
32 single family residental
property or the property constitutes single
33 family residential property.
34 (c)
(d) (c) In accordance
with the provisions of K.S.A. 74-2438, and
35 amendments thereto, any party may elect to
appeal any application or
36 decision referenced in subsection (b) to
the state board of tax appeals.
37 Except as provided in
subsection (b) regarding single-family
residential
38 property,
the The filing of an appeal with the small
claims division shall
39 not be a prerequisite for filing an appeal
with the state board of tax appeals
40 under this section. Final decisions of the
small claims division may be
41 appealed to the state board of tax appeals.
An appeal of a decision of the
42 small claims division to the state board of
tax appeals shall be de novo.
43 (d)
(e) (d) A taxpayer shall
commence a proceeding in the small
4
1 claims division by filing a notice of
appeal in the form prescribed by the
2 rules of the state board of tax
appeals which shall state the nature of the
3 taxpayer's claim. Notice of appeal
shall be provided to the appropriate
4 unit of government named in the
notice of appeal by the taxpayer. In any
5 valuation appeal or tax protest
commenced pursuant to articles 14 and 20
6 of chapter 79 of the Kansas Statutes
Annotated, and amendments thereto,
7 the hearing shall be conducted in the
county where the property is located
8 or a county adjacent thereto. In any
appeal from a final determination by
9 the secretary of revenue, the hearing
shall be conducted in the county in
10 which the taxpayer resides or a county
adjacent thereto.
11 (e)
(f) (e) The hearing in
the small claims division shall be informal.
12 The hearing officer may hear any testimony
and receive any evidence the
13 hearing officer deems necessary or
desirable for a just determination of
14 the case. A hearing officer shall have the
authority to administer oaths in
15 all matters before the hearing officer. All
testimony shall be given under
16 oath. A party may appear personally or may
be represented by an attorney,
17 a certified public accountant, a certified
general appraiser, a tax repre-
18 sentative or agent, a member of the
taxpayer's immediate family or an
19 authorized employee of the taxpayer. A
county or unified government
20 may be represented by the county
appraiser, designee of the county ap-
21 praiser
or, county attorney or counselor
or other representative so des-
22 ignated. No transcript of the
proceedings shall be kept.
23 (f)
(g) (f) The hearing in
the small claims division shall be conducted
24 within 60 days after the appeal is filed in
the small claims division unless
25 such time period is waived by the
taxpayer. A decision shall be rendered
26 by the hearing officer within 30 days after
the hearing is concluded. Doc-
27 uments provided by a taxpayer or county or
district appraiser shall be
28 returned to the taxpayer or the county or
district appraiser by the hearing
29 officer and shall not become a part of the
board's permanent records.
30 Documents provided to the hearing officer
shall be confidential and may
31 not be disclosed, except as otherwise
specifically provided.
32 (g)
(h) (g) With regard to
any matter properly submitted to the di-
33 vision relating to the determination of
valuation of property for taxation
34 purposes, it shall be the duty of the
county appraiser to initiate the pro-
35 duction of evidence to demonstrate, by a
preponderance of the evidence,
36 the validity and correctness of such
determination. No presumption shall
37 exist in favor of the county appraiser with
respect to the validity and
38 correctness of such
determination.
39 Sec. 3. K.S.A. 1999 Supp.
74-2433 and 74-2433f are hereby
40 repealed.
41 Sec. 4. This act shall
take effect and be in force from and after its
42 publication in the statute book.