§ 3760. Payment to municipalities

(a)(1) Annually, the State shall pay to each municipality the amount necessary to limit its tax rate increase in the prior year due to the loss of municipal property tax revenue for that year based on use value of enrolled property as compared to municipal property tax revenue for that year based on fair market value of enrolled property, to zero.

(2) The Director of Property Valuation and Review shall determine the amount of the available funds under this section to be paid to each municipality, and a municipality may appeal the Director's decision in the same manner and under the same procedures as an appeal from a decision of a Board of Civil Authority, as set forth in subchapter 2 of chapter 131 of this title.

(3) On November 1 of each year, the Director of Property Valuation and Review shall pay to each municipality the amount calculated as described in this section. If the appropriation for the year is insufficient to pay the full amount due to every municipality under this subsection, payments in that year shall be made to such towns proportionately.

(4) If the appropriation for the year is insufficient to pay the full amount due to any municipality for enrolled property owned by another municipality, the municipality in which the property is located may assess the other municipality and the other municipality shall pay the difference.

(5) The Director's calculation of payment amounts to municipalities shall be based on grand list values and total tax appropriations as submitted to the director for the prior year.

(b) Assessing officials shall appraise property enrolled in the program at fair market value consistent with other appraisals. On or before July 5, the assessing officials shall provide the Director with the listed value of all enrolled property in the municipality. If the Director certifies that the value set by the assessing officials is significantly above the fair market value or is not equitable with other assessments, the Director's estimate of the fair market value shall be substituted for that of the assessing officials.

(c) A town aggrieved by the Director's decision under this section may appeal that decision under the same procedures as an appeal from a decision of the Board of Civil Authority. (Added 1995, No. 178 (Adj. Sess.), § 292a; amended 1997, No. 60, § 63, eff. June 26, 1997; 2003, No. 66, § 287; 2007, No. 205 (Adj. Sess.), § 10, eff. June 10, 2008.)