Current through Register Vol. 42, No. 11, August 30, 2024
(1) PURPOSE -
This rule is issued pursuant to authority contained in Alabama Act 2011-544 for
the purpose of establishing guidelines and procedures for the uniform
implementation of paragraph (e) of the Homeowners and Storm Victims Protection
Act of 2011.
(2) DEFINITIONS - For
the purpose of this rule, the following terms shall have the following meaning:
(a) Fully-Developed Lot - A lot or parcel of
land, located within a platted and recorded subdivision as of the effective
date of Act 2011-544, September 1, 2011 and having all available utilities in
place, fully complying with the subdivision regulations applying to the
subdivision (if applicable), owned by the person or firm originally platting
the subdivision or a person or firm authorized by the Alabama Homebuilders
Licensure Board to construct single-family homes, and ready for construction of
a single-family dwelling.
(b)
Documentary Evidence - Shall include:
1. A
current and valid license issued by the Alabama Homebuilders Licensure Board or
proof of ownership by the person or firm originally platting the subdivision.
License must be current, valid and active as of October 1 of each year for
which application for reclassification is applied.
2. Documentary evidence that the subdivision
meets all subdivision regulations and has been approved by the appropriate
governmental agency(s).
3.
Documentary evidence of the date the subdivision was platted and recorded and
the lots were fully-developed.
(c) Effective Date - This rule shall be
applied to qualifying properties beginning with the ad valorem tax lien date
October 1, 2011.
(d) Home Builder -
A person or firm holding a valid and current license issued by the Alabama
Homebuilders Licensure Board or who is otherwise authorized by the Board to
construct single-family homes under the provisions of Sections
34-14A-5 and
34-14A-6,
Code of Ala. 1975. License must be current, valid and
active as of October 1 of each year for which application for reclassification
is applied. Exemptions from the licensing provisions include:
1. General contractors holding a current and
valid license, issued prior to January 1, 1992, under the provisions of
Sections
34-8-1 through
34-8-27,
Code of Ala. 1975 and
2. Owners of property, when authorized by the
Alabama Homebuilders Licensure Board, to act as their own contractor, providing
all material supervision themselves, when constructing single-family residences
on such property for the occupancy or use of such owners and not offered for
sale.
(e) Maximum
Reclassification Period - For fully-developed lots the maximum reclassification
period shall be limited to the Tax Years 2012 (lien date October 1, 2011) and
2013 (lien date October 1, 2012). In order for the reclassification to apply to
Tax Year 2012 the application and required documentary evidence must be made on
or before December 31, 2011. In order for the reclassification to apply to Tax
Year 2013 the application and required documentary evidence must be made on or
before December 31, 2012. Lots that are fully-developed after the effective
date of this Act, September 1, 2011, do not qualify for
reclassification.
(3)
PROCEDURES - Fully-developed lots located within a platted and recorded
subdivision as of September 1, 2011, having all available utilities in place,
fully complying with the subdivision regulations applying to the subdivision
(if applicable), owned by the person or firm originally platting the
subdivision or a home builder, and ready for construction of a single-family
dwelling may be reclassified from Class II property to Class III property for
property tax assessment purposes based on the property owner filing documentary
evidence with the proper local tax assessing official. The reclassification of
qualifying fully-developed lots shall be limited to the maximum
reclassification period. Lots that are or become fully-developed after the
effective date of this Act, September 1, 2011, do not qualify for
reclassification. Fully-developed lots which are sold at a tax sale for
delinquent taxes and assessed in the tax sale purchaser's name as of an October
1 lien date do not qualify for reclassification.
(a) The reclassification of fully-developed
lots authorized by this Act shall terminate when one of the following occurs:
1. The reclassification has been in place for
the maximum reclassification period.
2. The fully-developed lot is no longer owned
by the person or firm originally platting the subdivision or home builder.
(a) If ownership of a qualified
fully-developed lot that has been reclassified from Class II property to Class
III property transfers from the person or firm originally platting the
subdivision to a home builder, the reclassification will remain in effect for
the remainder of the maximum reclassification period. After ownership
transfers, the home builder will be required to apply for the remainder of the
maximum reclassification period.
(4) APPLICATION PROCESS - The owner of a
qualifying fully-developed lot must apply for reclassification with the local
assessing official in the county where the property is located. The owner must
file a completed Form ADV-45, including the proper supporting documentary
evidence. Application may be made at any time the property for which
application is being made meets all requirements and qualifies for
reclassification. The reclassification will be applied as provided in paragraph
(e) of this rule.
