Chapter 3.08
PROPERTY TAX – GENERAL PROVISIONS¹

Sections:

3.08.010    Definitions.

3.08.020    Real property exempted from taxation.

3.08.021    Specific property exempt from taxation.

3.08.022    Failure to notify assessor or false application for an exemption.

3.08.023    Mobile homes.

3.08.024    Taxation records.

3.08.026    Errors in taxation procedures.

3.08.029    Full and true value.

3.08.030    Assessments and due dates – Installments.

3.08.035    Taxes and charges – Method of payment.

3.08.040    Investigation examination.

3.08.045    Reevaluation.

3.08.050    Assessment roll – Contents.

3.08.060    Assessment roll – Notice – Mailing.

3.08.070    Notice – Hearing – Publication.

3.08.080    Assessment roll – Corrections by assessor.

3.08.090    Assessment roll – Completion.

3.08.100    Basis of computation.

3.08.110    Assessment roll – Supplementary.

3.08.120    Assessment roll – Validity.

3.08.130    Assessment roll – Delivery to borough assembly.

3.08.140    Determining tax rate.

3.08.141    Total amount of borough tax that can be levied or imposed.

3.08.142    Computation of maximum allowable tax returns.

3.08.145    Repealed.

3.08.146    Repealed.

3.08.147    Refunding excess taxes.

3.08.150    Mailing tax statements.

3.08.151    Addresses – Responsibility of persons subject to taxation.

3.08.160    Forms.

3.08.010 Definitions.

A. For purposes of this chapter and Chapters 3.12 and 3.20 through 3.44 FNSBC, the following terms shall be defined to mean:

“Active volunteer” means a noncompensated person meeting the training, response, and participation criteria as established by each recognized first responder service, registered fire department and/or state-certified ambulance service. The criteria established by each department that defines “active volunteer” shall be on file with and be approved by the Fairbanks North Star Borough emergency operations director.

“Borough” as used herein designates and means the Fairbanks North Star Borough.

“Disabled veteran” means a person who is before January 1st of the exemption year:

1. Separated from the military service of the United States under a condition that is not dishonorable who is a resident of the state, whose disability was incurred or aggravated in the line of duty in the military service of the United States, and whose disability has been rated as 50 percent or more by the branch of service in which that person served or by the United States Department of Veteran Affairs; or

2. Served in the Alaska Territorial Guard, who is a resident of the state, whose disability was incurred or aggravated in the line of duty while serving in the Alaska Territorial Guard, and whose disability has been rated as 50 percent or more.

“Mobile home” means a mobile home, house trailer, trailer coach, or similar property intended to be used for residential, office, or commercial purposes.

“Own and occupy” means:

1. Possession of an interest in real property, which is recorded in the office of the district recorder, or, if unrecorded, is attested by contract, bill of sale, deed of trust, or other proof in a form satisfactory to the assessor; and

2. Living on that real property as one’s primary residence.

“Permanent place of abode” means a dwelling in which the person resides at least 185 days in the year prior to the exemption year and when absent, the dwelling is not leased or rented to another. This includes but is not limited to a mobile home or condominium and includes lots or outbuildings, or an appropriate portion thereof, which are necessary to convenient use of the dwelling unit.

“Person” includes an individual, partnership, association, fiduciary, corporation and any other entity capable of taking and holding title to property.

A “person engaged in the business of selling mobile homes” means an entity that buys mobile homes to hold for sale.

“Personal property” includes all other property, corporeal and incorporeal, not specifically included within real property.

“Property” as used here includes all real property, as described above, which may be separately assessed.

“Property used exclusively for religious purposes” includes the following property owned by a religious organization:

1. The residence of a bishop, pastor, priest, rabbi, minister, or religious order of a recognized religious organization;

2. A structure, its furniture, and its fixtures used solely for public worship, charitable purposes, religious administrative offices, religious education, or a nonprofit hospital;

3. Lots required by local ordinance for parking near a structure defined in subsection (K)(2) of this section.

“Real property” includes:

1. Land and all buildings, structures, improvements, and fixtures thereon, and appurtenances thereto;

2. Mobile homes, trailers, house trailers, trailer coaches, motor homes, and similar property used or intended to be used for residential, office or commercial purposes and attached or connected to water, gas, electric facility, or sewage facility; excepting, such vehicles which are unoccupied and held for sale by persons engaged in the business of selling such vehicles;

3. Leases and possessory interests in the above.

“Resident” means an applicant who has a fixed habitation in the state of Alaska for at least 185 days per calendar year and, when absent, intends to return to the state of Alaska.

“Senior citizen” means one who is 65 or older before January 1st of the exemption year.

B. For the purpose of determining property exempt under FNSBC 3.08.020(E), the following definitions apply to terms used in 43 USC Section 1620(d) unless superseded by applicable federal law:

“Developed” means a purposeful modification of the property from its original state that effectuates a condition of gainful and productive present use without further substantial modification; surveying, construction of roads, providing utilities or other similar actions normally considered to be component parts of the development process, but that do not create the condition described in this paragraph, do not constitute a developed state within the meaning of this paragraph; developed property, in order to remove the exemption, must be developed for purposes other than exploration, and be limited to the smallest practicable tract of the property actually used in the developed state;

“Exploration” means the examination and investigation of undeveloped land to determine the existence of subsurface nonrenewable resources;

“Lease” means a grant of primary possession entered into for gainful purposes with a determinable fee remaining in the hands of the grantor; with respect to a lease that conveys rights of exploration and development, this exemption shall continue with respect to that portion of the leased tract that is used solely for the purpose of exploration. (Ord. 2003-69 § 2, 2003; Ord. 2003-67 § 2, 2003; Ord. 2003-57 § 3, 2003; Ord. 2001-67 § 2, 2001; Ord. 91-004 § 2, 1991; Ord. 85-054 §§ 2, 3, 1985; prior code § 69.05.010(a))

3.08.020 Real property exempted from taxation.

The following property is exempt from general taxation:

A. Pursuant to AS 29.45, municipal property, including property held by a public corporation of a municipality, state property, property of the Uni-

versity of Alaska, or land that is in the trust established by the Alaska Mental Health Enabling Act of 1956, P.L. 84-830, 70 Stat. 709, except that:

1. A private leasehold, contract, or other interest in the property is taxable to the extent of the interest;

2. Notwithstanding any other provision of law, property acquired by an agency, corporation, or other entity of the state through foreclosure or deed in lieu of foreclosure and retained as an investment of a state entity is taxable; this subsection does not apply to federal land granted to the University of Alaska under AS 14.40, to other land granted to the university by the state to replace land that had been granted under AS 14.40, or to land conveyed by the state to the university under AS 14.40.

3. An ownership interest of a municipality outside of the borough in real property located inside the borough acquired after December 31, 1990, is taxable; however, the borough may not tax an interest in real property located in the borough owned by a city in the borough;

B. Pursuant to AS 29.45, property of a political subdivision, agency, corporation, or other entity of the United States to the extent required by federal law; except, that a private leasehold, contract, or other interest in the property is taxable to the extent of that interest;

C. Pursuant to AS 29.45, property used exclusively for nonprofit religious, charitable, cemetery, hospital, or educational purposes. Pursuant to AS 29.45, property described in this subsection from which income is derived is exempt only if that income is solely from use of the property by nonprofit religious, charitable, cemetery, hospital, or education groups. If used by nonprofit educational groups, the property is exempt only if used exclusively for classroom space. Unimproved or vacant real property of any such organization which is not currently used for religious, charitable, cemetery, hospital, or educational purposes shall be deemed to be property held or used for profit unless, by deed restriction or otherwise, the real property has been effectually dedicated to future use for religious, educational or charitable purposes only and cannot be sold or used for any other purpose;

1. In order to receive an exemption under this subsection, the owner or agent shall complete and sign an application provided by the assessor and file that application prior to April 1st of the tax year.

2. The owner of property that receives an exemption need not file an application for successive tax years if there is no change in ownership, change in use, in whole or in part, change in non-profit status of the owner or change in any other element which may affect the exemption qualification of the subject property prior to January 1st of the current tax year.

3. It shall be the responsibility of every owner of property which obtains an exemption under this section to notify the borough assessor within 30 days of any change in the ownership, change in use of the subject property, in whole or in part, change in nonprofit status of the owner or change in any other element which may affect the exemption qualification of the subject property.

D. Pursuant to AS 29.45, property of a nonbusiness organization or its auxiliary composed entirely of persons with 90 days or more of active service in the armed forces of the United States whose conditions of service and separation were other than dishonorable. Pursuant to AS 29.45, property described in this subsection from which income is derived is exempt only if that income is solely from use of the property by nonprofit religious, charitable, cemetery, hospital, or education groups. If used by nonprofit educational groups, the property is exempt only if used exclusively for classroom space;

E. To the extent required by 43 USC Section 1620(d) and AS 29.45, real property or an interest in real property owned by a native individual or entity;

F. The real property owned and occupied as a permanent place of abode by a resident 65 years of age or over, a disabled veteran, or a resident of at least 60 years old who is the widow or widower of a resident 65 years of age or over or a disabled veteran, as provided by AS 29.45 and this subsection.

1. A qualified senior citizen or disabled veteran who is owner of record shall sign a senior citizen/disabled veteran real property tax exemption application as developed by the borough assessor and file it with the borough assessor prior to April 1st of the tax year. A qualified senior citizen or disabled veteran need not file such an application for successive tax years if there is no change in ownership, no change in permanent place of abode by the owner of record, or no change in status of disability if the owner is a disabled veteran;

2. If the property is occupied by a person other than the eligible applicant and his or her spouse and minor children, an exemption applies only to the portion of the property permanently occupied by the eligible applicant and his or her spouse and minor children as a permanent place of abode;

3. It shall be the responsibility of every person who obtains an exemption under this section to notify the borough assessor of any change in the ownership, residency, permanent place of abode or status of disability. A disabled veteran who has less than a permanent disability must submit an official disability percentage letter each year prior to April 1st showing a 50 percent or greater disability;

4.    a. An otherwise qualified applicant under this subsection may request the borough assessor to accept an application after the deadline based on their inability to comply. The borough assessor is authorized to accept the application as timely filed so long as the inability to comply was based upon a serious medical or other similar serious condition or event beyond the taxpayer’s control that resulted in the inability to timely file the application. A failure to pick up or read mail or to make arrangements for an appropriate and responsible person to pick up or read mail, or a failure to timely provide a current address to the office of the borough assessor, will not be deemed to result in an inability to comply and the application will not be accepted for that tax year. An application for late filing must be filed prior to July 31st of the year for which the exemption is sought or that year’s application will be forever barred from consideration. A decision of the borough assessor denying an application to accept late filing may be appealed to the assembly by filing a notice of appeal within 10 working days of the date of the borough assessor’s decision.

b. If a qualified disabled veteran timely applies for an exemption that is otherwise complete except for a determination of disability status from the armed forces or the U.S. Department of Veterans Affairs, the assessor may, upon written request submitted with the application, extend the time for submittal of the determination of disability status to March 31st of the next year. While the application is pending the applicant must timely pay all taxes levied; however, the applicant shall receive a refund of taxes paid if the assessor receives the determination of disability status and approves the exemption.

G. Pursuant to AS 29.45, all mobile homes which are unoccupied and held for the purpose of sale by a person or persons engaged in the business of selling mobile homes;

H. Pursuant to 50 USC App. Section 574, a mobile home which is the property of and inhabited by a member of the armed forces of the United States who is not a resident of the state of Alaska and who is on active duty in Alaska solely in compliance with military orders;

I. As permitted by AS 29.45, residential property to the extent of 20 percent of the assessed value with a maximum of $20,000 for areawide and nonareawide assessments and a maximum of $10,000 for service area assessments, provided that:

1. The property is owned and occupied as a residence by the owner of record;

2. There is no property tax, penalty or interest owing at the time of application or on April 1st of each successive tax year after initial application;

3. The owner of record shall sign a real property tax exemption statement which is part of the assessment notice and file it with the borough assessor prior to April 1st of the tax year. The owner of record need not file such a statement for successive tax years if there is no change in ownership and no change in occupation as a residence by the owner of record;

J. As permitted by AS 29.45, property owned by an organization not organized for business or profit, if the organization is organized and operated for the purpose of providing emergency services to the community, and if the property is required for the provision of emergency services and is used exclusively for providing emergency services or for other community purposes. If the income derived from the rental of such property exceeds the actual cost to the owner of the use by the renter, this exemption shall not apply;

K. As provided by AS 29.45, two percent of the assessed value of a structure that contains a fire protection system, approved under AS 18.70;

L. As permitted by AS 29.45, an interest, other than record ownership, in real property of an individual residing in the property if the property has been developed, improved, or acquired with federal funds for low-income housing and is owned or managed as low-income housing by the Alaska Housing Finance Corporation or a regional housing authority formed under AS 18.55;

M. As permitted by AS 29.45, building(s) listed on the National Register of Historic Places that are owned by a nonprofit organization to the extent of the appreciated value due solely and exclusively to such organization’s restoration, rehabilitation and renovation of the building(s);

N. Real Property Tax – Exemptions – Volunteer Firefighters and Providers of Emergency Medical Services.

1. Residential property to the extent of 20 percent of the assessed value with a maximum of $10,000; provided, that:

a. The property is owned and occupied as a residence by the owner of record;

b. There is no property tax, penalty or interest owing at the time of application or on April 1st of each successive year after initial application;

c. The property is owned and occupied as a permanent place of abode by a resident who provides volunteer firefighting services or volunteer emergency medical services in the borough.

2. To qualify for this exemption, prior to January 1st of the assessment year, a person must be certified as:

a. A current and active volunteer of a state of Alaska and Fairbanks North Star Borough recognized first responder service, registered fire department or a certified ambulance service located and operating within the borough; and

b. If providing volunteer firefighting services, be certified as a firefighter by the Alaska Department of Public Safety; or

c. If providing volunteer emergency medical services, be certified under AS 18.08.

The fire or EMS chief as appropriate for each department shall be responsible for certifying that the volunteer has met the criteria established for this exemption and will submit the names to the Fairbanks North Star Borough emergency operations department annually on or before January 1st.

3. If two or more individuals are eligible for an exemption for the same property, not more than two exemptions may be granted.

4. No exemption under this section may be granted except upon written application on a form prescribed by the emergency operations director. The applications must be submitted by the active volunteer to the assessor prior to April 1st of the tax year for which the exemption is sought;

O. As permitted by AS 29.45.050(m), 29.45.050(o), and Chapters 3.10 and 3.11 FNSBC, economic development and deteriorated property;²

P. As permitted by state law, property owned and occupied as a permanent place of abode by a resident who is the widow or widower of a member of the armed forces of the United States injured serving on active duty while eligible for hostile fire or imminent danger pay who dies because of the injury or complications related to the injury or its treatment. This exemption shall be known as the “Irving Hernandez Exemption.”

1. In order to receive an exemption under this subsection, the owner must be an unmarried surviving spouse who has owned and occupied the property on or before January 1st of the assessment year in which the exemption is sought. The owner shall complete and sign an application provided by the assessor and file that application with the assessor prior to April 1st of the tax year. The application must be accompanied with an official copy of the DD FORM 1300 Military Death Certificate and any other documentation required by the assessor to verify eligibility for the exemption.

2. Once the owner receives an exemption, an application is not required for successive tax years if there is no change in permanent place of abode, residency, ownership, marital status, or any other requirement necessary for eligibility which may affect the exemption qualification of the subject property prior to January 1st of the current tax year.

3. If the property is occupied by a person other than the eligible applicant and his or her minor children, the exemption applies only to the portion of the property occupied by the eligible applicant and his or her minor children as a permanent place of abode.

4. It shall be the responsibility of every owner receiving an exemption under this section to notify the borough assessor in writing within 30 days of any change in the ownership, residency, permanent place of abode, marital status or any other change which may affect the exemption qualification of the subject property. (Ord. 2008-66 § 2, 2008; Ord. 2008-29 § 2, 2008; Ord. 2007-78 § 4, 2008; Ord. 2007-15 § 2, 2007; Ord. 2006-73 §§ 2, 3, 4, 2006; Ord. 2005-79 § 2, 2005; Ord. 2005-28 § 2, 2005; Ord. 2005-26 § 2, 2005; Ord. 2003-69 § 3, 2003; Ord. 2003-68 § 2, 2003; Ord. 2003-67 §§ 3 – 10, 2003; Ord. 2003-57 § 2, 2003; Ord. 2001-69 § 2, 2001; Ord. 2001-67 §§ 2, 3, 2001; Ord. 2001-23 § 2, 2001; Ord. 97-038 § 2, 1997; Ord. 97-022 § 2, 1997; amended during 1993 republication; Ord. 92-027 § 2, 1992; Ord. 91-051 § 2, 1991; Ord. 91-012 § 2, 1991; Ord. 91-011 § 2, 1991; Ord. 91-004 § 3, 1991; Ord. 87-006 § 2, 1987; Ord. 86-098 § 2, 1986)

3.08.021 Specific property exempt from taxation.

A. As permitted by AS 29.45, property belonging to the Tanana Valley Fair Association, Inc. If the income derived from the rental of such property exceeds the actual cost to the owner of the use by the renter, this exemption shall not apply;

B. Pursuant to AS 29.45, property leased to the city of Fairbanks for use as a nonprofit community hospital and used as a nonprofit community hospital;

C. As permitted by AS 29.45, property owned by the Fairbanks Alano Club described as Lot 10B, Block 77, Fairbanks Townsite. If the income derived from the rental of such property exceeds the actual cost to the owner of the use by the renter, this exemption shall not apply;

D. As permitted by AS 29.45, the leasehold interest of the Salcha Fair Association, Inc., within a portion of Parcel 4, Grieme Agricultural Subdivision, as shown on the plat filed August 18, 1987. If the association subleases all or part of this property, the exemption does not extend to the property of the subtenant, unless the subtenant itself qualifies for a tax exemption under this section;

E. As permitted by AS 29.45, property used exclusively for low-income senior housing as follows:

1. The real property owned by the Moore Street Seniors, Incorporated and constructed on Tax Lot 942, Section 9, T1S, R1W, F.M. (for the purpose of providing subsidized low-income senior housing).

2. The real property owned by MLH Manor Limited Partnership described as Lots 6, 7, 8, 9 and 10, Block 90, Fairbanks Townsite.

3. The real property owned by North Pole Area Housing Association, Inc. described as Lots 8 and 9, Block 18, Beaver Subdivision, North Pole, Alaska and known as Holiday Heights Senior Housing Complex.

If the income derived from the rental of such property exceeds the actual cost to the owner of use by the renters, this exemption shall not apply;

F. As permitted by AS 29.45, all property belonging to Tanana Valley Sportsmen’s Association that is used exclusively for community purposes. This exemption shall not apply if the income derived from rental of the property exceeds the actual cost to the owner of the use by the renter;

G. As permitted by AS 29.45, the real property owned and occupied by Fairbanks Drama Association and Fairbanks Children’s Theatre, Inc., described as TL-941, Section 9, T1S-R1W, that is used exclusively for community purposes. This exemption shall not apply if ever the income from rental of the property exceeds the actual cost to the owner of the use by the renter;

H. As permitted by AS 29.45.050, the real property owned by the Morris Thompson Cultural and Visitors Center and located at 101 Dunkel St., Fairbanks, AK, which is exclusively controlled and/or used by the Morris Thompson Cultural and Visitors Center or exclusively used by the Tanana Chiefs Conference/Denakkanaaga is used exclusively for community purposes and is exempt from FNSB property tax. The portion of the real property exclusively occupied by the Fairbanks Convention and Visitors Bureau is excluded from this exemption. This exemption shall not apply if ever the income from rental of the property exceeds the actual cost to the owner of the use by the renters. (Ord. 2009-29 § 4, 2009; Ord. 2007-51 § 4, 2007; Ord. 2003-69 § 5, 2003)

3.08.022 Failure to notify assessor or false application for an exemption.

It shall be the responsibility of every person who obtains a property tax exemption under this chapter to notify the borough assessor of any change in ownership, property use, residency, permanent place of abode, status of disability or other factor affecting the exemption. If the assessor determines that the property is not eligible for an exemption, all taxes, penalty and interest due on the property from the tax year following the date the property should have been subject to taxation are immediately due and owing. Falsely applying for an exemption or failing to notify the borough assessor concerning a change in exemption status with an intent to evade taxation is a misdemeanor subject to penalties as provided in FNSBC 1.04.010. (Ord. 2003-69 § 6, 2003; Ord. 2001-67 § 4, 2001. Formerly 3.08.021.)

3.08.023 Mobile homes.

Mobile homes attached to the land or connected to water, gas, electric, or sewage facilities are classified as real property for tax purposes. (Ord. 2003-69 §§ 4, 6, 2003; Ord. 86-094 § 3, 1986. Formerly 3.08.022.)

3.08.024 Taxation records.

A. Borough records dealing with assessment, valuation or taxation may be inspected by the state assessor or a designee.

B. If the borough’s assessment and valuation has been done by a private contractor, records concerning the borough’s valuation and assessment shall be made available to the state assessor or a designee on request. (Ord. 2003-69 § 6, 2003; Ord. 86-080 § 3, 1987. Formerly 3.08.023.)

3.08.026 Errors in taxation procedures.

A. If the borough receives a notice from the state assessor that major errors have been found in its assessment, valuation or taxation procedures, the borough shall correct its procedures before the beginning of the next fiscal year or file an appeal under subsection (B) of this section.

B. The borough may appeal a notice from the state assessor that it has made a major error in assessment, valuation or taxation procedures by filing an appeal with the commissioner of the state department of community and regional affairs within 30 days after receipt of notice of error.

C. The commissioner, after consulting with the Alaska association of assessing officers, shall render a decision within 60 days after the receipt of a request under subsection (B) of this section. If the commissioner determines that a major error has been made in assessment, valuation or taxation procedures the commissioner shall notify the borough of changes that must be made and the borough shall correct its procedures before the beginning of the next fiscal year.

D. If errors in its assessment, valuation or taxation procedures have resulted in a loss of revenue to the state, the borough shall reimburse the state for the amount of revenues lost. (Ord. 86-080 § 4, 1986)

3.08.029 Full and true value.

The assessor shall assess property at its full and true value as of January 1st of the assessment year, except as provided in AS 29.45. The full and true value is the estimated price that the property would bring in an open market and under the then prevailing market conditions in a sale between a willing seller and a willing buyer both conversant with the property and with prevailing general price levels. (Ord. 86-080 § 4, 1986)

3.08.030 Assessments and due dates – Installments.

A. Taxes levied in any given year are due and payable July 1st of that year. Taxes may be paid in two installments. The first half installment will be considered delinquent if not paid prior to midnight on the first day of September in the year in which the taxes are levied. The second half installment will be considered delinquent if not paid prior to

 

midnight on the first day of November in the year in which the taxes are levied. If the annual levy is made after the first day of June, the borough assembly may by resolution establish later payment dates.

B. A payment will not be considered delinquent if postmarked by the United States Post Office or if deposited in the borough’s collection drop box prior to midnight on the payment dates as stated in subsection (A) of this section. The collections drop box shall be accessible until midnight on the payment dates as stated in subsection (A) of this section.

C. The Soldiers’ and Sailors’ Civil Relief Act of 1940 (SSCRA), 50 USCS Appx. Section 501 et seq., as amended, shall apply to property owned and occupied for dwelling, professional, business, or agricultural purposes by a person in military service or his dependents at the commencement of his period of military service and still so occupied by his dependents or employees. Pursuant to the SSCRA, whenever the real property tax on such property is not paid when due, no penalty shall attach and such tax shall bear interest until paid at the rate of six percent per year, or the applicable interest rate set forth in the SSCRA as amended, from the date when such tax first became a lien until paid. Regardless of whether property is subject to the SSCRA, the chief financial officer may waive interest and penalties levied upon property when the owner who is on active military service as defined in the SSCRA can show by affidavit or other compelling evidence that the taxes would have been timely paid except for a delay due to mail delivery to or from a combat or war zone. An active service member shall apply for such a waiver, no later than six months after the termination of active military service.

D. If a tax notice is postmarked later than July 1st or borough records show that said tax notice was mailed after July 1st, the payment dates as shown in subsection (A) of this section become October 1st and December 1st respectively, for that taxpayer.

E. All tax notices shall include the date borough property tax payments become delinquent. The borough shall provide public notice, either by a newspaper of general circulation in the Fairbanks North Star Borough, radio, or television, of the dates borough property taxes become delinquent. (Ord. 2003-83 § 2, 2004; Ord. 2001-18 § 2, 2001; Ord. 90-024 § 2, 1990)

3.08.035 Taxes and charges – Method of payment.

Taxes, penalties, interest and other charges under this code for real property assessments shall be paid to the borough in lawful money of the United States. In addition to money, the chief financial officer may authorize acceptance of bank drafts, checks, cashier’s checks or money orders. The chief financial officer is not required to accept coins in any amount larger than $10.00 for payment of taxes and other charges. (Ord. 89-106 § 2, 1990)

3.08.040 Investigation examination.

A. The borough assessor personally, or by any designated assistant, shall after identifying himself have the right to enter upon and inspect the premises of any person at reasonable times for the purpose of making an examination, valuation, or assessment of real and personal property. He shall have access to and may examine all property records involved, and any person shall upon request furnish to the borough assessor or his assistant every facility and assistance for the purpose of such examination.

B. The borough assessor may examine a person on oath or otherwise, and upon request of the assessor the person shall present himself for examination by the assessor. (Prior code § 69.05.070)

3.08.045 Reevaluation.

A systematic reevaluation of taxable real property undertaken by the assessor, whether of specific areas in which real property is located or of specific classes of real property to be assessed, shall be made only in accordance with a resolution or other act of the borough directing a systematic reevaluation of all taxable property in the borough over the shortest period of time practicable, as fixed in the resolution or act. (Ord. 86-080 § 6, 1986).

3.08.050 Assessment roll – Contents.

The borough assessor shall prepare an annual assessment roll after consideration of all returns made to him, pursuant to this chapter, and after careful inquiry from such sources as he may deem reliable. On the roll he shall enter the following particulars:

A. The names and last-known addresses of all persons with property liable to assessment and taxation;

B. A description of all taxable property;

C. The assessed value, quantity, or amount of the property;

D. The arrears of taxes, if any, owing by any persons. (Prior code § 69.05.080).

3.08.060 Assessment roll – Notice – Mailing.

A. The borough assessor shall give every person named in the assessment roll a notice of assessment showing the assessed value of his property. Included in such notice shall be the following information in a separate and clearly blocked area on the front of the notice:

1. The current and previous four years’ real property assessment data including:

a. Assessment year by chronological order starting with the current year;

b. Land, building or other value listed separately, then totally for each listed year;

c. The difference expressed in a dollar amount and a percentage amount between the total valuation of each year and the total valuation of the preceding year;

d. The date the property was last field inspected and the code number of the appraiser.

2. Also included shall be a brief summary for the information of the taxpayer, of the dates when the taxes are payable, delinquent, and subject to interest and penalty, dates when the board will sit for equalization purposes, and any other particulars specified by the assembly.

B. The assessment notice shall be directed to the person to whom it is to be given, and shall be sufficiently given if it is mailed by first class mail addressed to, or is delivered at, his address as last known to the assessor; or, if the address is not known to the borough assessor, the notice may be addressed to the person at the post office nearest to the place where the property is situated. The date on which the notice is mailed or is delivered shall be deemed to be the date on which the notice is given for purposes of this section. The assessment notice shall be mailed or, if hand delivered, delivered on or before April 4th of the assessment year. (Ord. 93-058 § 2, 1993; prior code § 69.05.090)

3.08.070 Notice – Hearing – Publication.

When all valuation notices have been mailed, the borough assessor shall cause to be published in a newspaper of general circulation which is published in the Fairbanks North Star Borough at least once each week for two successive weeks a notice that the assessment rolls have been completed. Such notice shall state where and when equalization hearings shall be held on property thus assessed. (Ord. 69-8, 1969; prior code § 69.05.100)

3.08.080 Assessment roll – Corrections by assessor.

A. The borough assessor may correct any error or supply any omission made or arising in the preparation of the assessment roll at any time before the sitting of the board of equalization. It shall be the duty of every person receiving a notice of assessment to advise the borough assessor of any error or omission he may have observed in the assessment of his property in order that the borough assessor may correct the same.

B. If errors found in the preparation of the assessment roll are adjusted, the assessor shall mail a corrected notice allowing 30 days for appeal to the board. (Ord. 2007-78 § 2, 2008; Ord. 81-1 § 2, 1980; Ord. 74-10 § 2, 1974; prior code § 69.05.110)

3.08.090 Assessment roll – Completion.

By June 1st of the assessment year, the borough assessor shall complete the annual assessment roll which shall be based on values as of January 1st immediately preceding, and shall certify the same. Such supplementary assessment rolls shall be prepared and certified as may be necessary or expedient. (Ord. 2007-78 § 3, 2008; prior code § 69.05-230)

3.08.100 Basis of computation.

All taxes to be levied or collected, except as otherwise provided, shall be calculated, levied and collected upon the assessed values entered in the assessment roll and certified by the borough assessor as correct, subject to the taxpayer’s right of appeal and to the corrections and amendments made in the rolls pursuant to this chapter and Chapters 3.12, 3.20, 3.24, 3.28, 3.32, 3.36, 3.40 and 3.44
FNSBC. (Prior code § 69.05.240)

3.08.110 Assessment roll – Supplementary.

All duties imposed upon the borough assessor and the clerk of the borough assembly, with respect to the annual assessment roll and the provisions of this chapter and Chapters 3.12 and 3.20 through 3.44 FNSBC relating to the assessment rolls, shall, so far as applicable, apply to the supplementary assessment rolls; provided, however, that the delinquency date established by the borough assembly for the regular tax rolls shall also apply to property listed on supplemental rolls. (Prior code § 69.05.250)

3.08.120 Assessment roll – Validity.

Every assessment roll as completed and certified by the borough assessor and as corrected and amended by him from time to time in conformity with this chapter and Chapters 3.12 and 3.20 through 3.44 FNSBC and the decisions of the board of equalization shall, except as insofar as the same may be further amended as a result of an appeal to the court, as provided by this chapter and Chapters 3.12 and 3.20 through 3.44 FNSBC, be valid and binding on all persons, notwithstanding any defect, error, omission or invalidity existing in the assessment roll or any part thereof, and not withstanding any proceedings pertaining thereto. (Prior code § 69.05.260)

3.08.130 Assessment roll – Delivery to borough assembly.

When the final assessment records have been completed by the borough assessor as provided in this chapter, the assessor shall deliver to the assembly a statement of the total assessed valuations of all real and personal property within the borough. (Prior code § 69.05.270)

3.08.140 Determining tax rate.

A. The borough assembly shall by ordinance fix the rate of tax levy and designate the number of mills upon each dollar of value of assessed taxable real property that shall be levied, and shall levy the tax in accordance therewith. The borough assembly may by ordinance fix the rate of tax levy and designate the number of mills upon each dollar of value of assessed taxable personal property that may be levied and may levy the tax in accordance therewith.

B. Notwithstanding any other provision of this chapter imposing limitations to the total amount of municipal tax that can be levied, imposed or collected during a fiscal year, those limitations do not apply to that portion of the hotel-motel room taxes transferred to the hotel-motel room tax fund pursuant to FNSBC 3.01.046.

C. Notwithstanding any other provision of this chapter imposing limitations to the total amount of municipal tax that can be levied, imposed or collected during a fiscal year, those limitations do not apply to the amount designated by the borough assembly in the preceding year as a tax reduction and withdrawn from the general fund balance in order to reduce the amount of property taxes levied on the taxpayer. (Ord. 2003-45 § 2, 2003; Ord. 2003-44 § 2, 2003; Ord. 2001-26 § 2, 2001; Ord. 80-35 § 2, 1980; prior code § 69.05.280)

3.08.141 Total amount of borough tax that can be levied or imposed.

A. Except as provided in this section, the total amount of municipal tax that can be levied or imposed during a fiscal year shall not exceed the total amount approved by the borough assembly for the preceding year by more than a percentage determined by adding the percentage increase in the Consumer Price Index for Fairbanks (or the Federal Consumer Price Index for Anchorage if there is none available for Fairbanks) from the preceding fiscal year.

B. The limitations set forth in subsection (A) of this section do not apply to the following:

1. Tax on new construction or property improvements which occur during the current fiscal year;

2. Any appropriation made to pay or secure payment of principal and/or interest on bonds;

3. Taxes required to fund services authorized by voter-approved ballot issues;

4. Funding of new judgments entered against the Fairbanks North Star Borough;

5. Special appropriations necessary on an emergency basis to fund unavoidable expenses ensuring the public peace, health or safety.

C. The borough assembly shall use the formula and definitions for computation of the total amount of borough tax that can be levied or imposed by applying the provisions of FNSBC 3.08.142 and shall, by May 31st of each fiscal year, publish its calculations showing these computations for each taxing jurisdiction. (Amended during 10/04 election; added by initiative petition passed 10/8/96)

3.08.142 Computation of maximum allowable tax returns.

The maximum tax revenue allowed under FNSBC 3.08.141 is computed for the next fiscal year as follows:

A. Formula. The formula for the computation of maximum allowable tax revenue is:

(A – B) + D + F = G

where:

1. “A” equals the amount of tax revenue derived from actual taxes levied on taxable real property in each taxing jurisdiction in the current fiscal year and all other tax revenues;

2. “B” equals the amount of the actual payment of principal and interest on bonds made in the current fiscal year, less actual state reimbursement for school construction debt;

3. “D” is product of the percentage change in the Consumer Price Index for All Urban Consumers (CPI-U) for Fairbanks, Alaska, (or for Anchorage, Alaska, if not available for Fairbanks) during the prior fiscal year (CPI) and the net taxes levied (A – B) in the current fiscal year;

4. “F” equals the total amount of all exclusions under FNSBC 3.08.141(B), and is the sum of all the following:

F.1	The taxes on new construction or property improvements equal the projected tax revenue from the value of that new construction or property improvements, computed by multiplying the tax rate applied to properties in that taxing jurisdiction during the current fiscal year by the assessed value of the new construction and property improvements;
F.2	The principal and interest due in the next fiscal year on bonds, less state reimbursement for school construction debt, plus any over-adjustment or under-adjustment to actual reimbursement from the current year;
F.3	Taxes to provide voter-approved services;
F.4	Taxes for new judgments;
F.5	Special appropriations necessary on an emergency basis.

B. The point in time to use for the proper calculation of allowable property tax mill rates, for all taxing jurisdictions, shall be the next tax rolls as certified by the borough assessor on July 1st of each year.

This specific point in time shall be utilized for both the figures in the prior year and the current year.

C. As used in FNSBC 3.08.141 and 3.08.142, the following definitions apply:

“Current fiscal year” is the fiscal year during which the next fiscal year budget is prepared.

“Emergency” is the imminent threat of or the occurrence of widespread damage, injury, or loss of life resulting from any natural or manmade cause, including, but not limited to, fire, explosion, flood, earthquake, landslide, mud slide, volcanic activity, avalanche, weather conditions, epidemic, blight, infestation, riot, loss of public utilities, shortage of food, water, fuel or clothing, or the accidental release or discharge of toxic substances or hazardous substances. “Emergency” does not include appropriations for the normal operations of a service area or the Department of Health and Safety.

“Fiscal year” means the fiscal year (July 1st through June 30th) for the Fairbanks North Star Borough.

“New construction or property improvements” means any improvement which generates a taxable value not on the tax roll for the current assessment year, including but not limited to:

1. Construction which increases the value of the property;

2. Any change in the status of land.

“New judgment” means the judgment reserved sufficient to cover the total cost of all judgments and arbitration awards during the next fiscal year, including:

1. Principal, interests, fees and costs;

2. Additional services which may be required by a court order.

“Next fiscal year” is the fiscal year following the current fiscal year and for which the new budget is being prepared.

“Prior fiscal year” is the fiscal year immediately preceding the current fiscal year.

“Taxing jurisdiction” means a taxing unit of the Fairbanks North Star Borough.

A service area is a taxing jurisdiction.

“Voter-approved services” includes but is not limited to:

1. A service specifically authorized by the voters of a taxing jurisdiction in any ballot issue;

2. Programs directly related to voter-approved capital projects which are in addition to services in the current fiscal year budget;

3. Services added by the creation or alteration of the boundaries of a taxing jurisdiction if the creation or alteration of the boundaries of said taxing jurisdiction were approved by the voters of said taxing jurisdiction. Taxes required to provide a “voter-approved service” are the estimated first full-year costs of voter-approved services less revenue other than taxes projected to be generated from the voter-approved services, for the number of months in the next fiscal year for which the voter-approved service will be provided. (Amended during 10/04 election; added by initiative petition passed 10/8/96)

3.08.145 Total amount of borough tax that can be levied.

Repealed by 2006 initiative petition. (Repealed and reenacted by voter approval 10/5/93)

3.08.146 Computation of the maximum allowable tax.

Repealed by 2006 initiative petition. (Ord. 91-038 § 6, 1991; Ord. 89-107 § 2, 1990; Ord. 87-070 § 2, 1988)

3.08.147 Refunding excess taxes.

A. Where the tax excess affects a service area for road service or fire service and the tax excess is at least 10 percent of the annual budget of that service area, the service area commissioners may request of the assembly that, after making a refund or credit adjustment, a loan from the general fund be granted to the service area with a term of three to 10 years, at an interest rate of eight percent per year.

1. Such loan may be granted, contingent upon available funding, to ensure that the discovery of a tax excess does not in turn result in the financial bankruptcy of the service area, creating in turn life safety issues due to a diminished level or lack of service.

B. The assembly may provide to any service area a grant from municipal assistance revenues to offset a deficit in the service area budget caused by an erroneous computation of the maximum allowable tax. (Amended by voter approval, 10/3/95; Ord. 90-033 § 2, 1990)

3.08.150 Mailing tax statements.

The chief financial officer shall prepare and mail tax statements to the person or persons listed as the owner or owners of record on the tax rolls. Included on the tax statement shall be a separate listing of the mill levy allocation and dollar amount appropriate to the tax levying jurisdiction for bond debt service by type (i.e., school facilities, solid waste, etc.), general government, education, economic development, emergency medical service, solid waste collection, fire service area and road service area.

The tax statement shall also contain a separate and clearly blocked table of available historical information for the property for the past five years, regardless of any change in ownership. The table shall contain, for each year, the total assessed

value, the total taxes levied, the total mill levy, and the increase or decrease in the total mill levy from the previous year.

The tax statements shall be mailed not more than 30 days after the date of levy. For the convenience of the taxpayer, the tax statement shall show the balance due on all prior unpaid taxes. (Ord. 93-059 § 2, 1993; Ord. 90-049 § 2, 1990; Ord. 69-8, 1969; prior code § 69.05.290)

3.08.151 Addresses – Responsibility of persons subject to taxation.

It shall be the responsibility of every person who owns or controls real or personal property subject to tax by the borough to file with the office of the borough assessor the address where that person will receive notices, bills or other correspondence regarding taxation. No person shall be excused from paying taxes, penalties or interest thereon for the reason that they did not receive a tax notice, bill or any other correspondence due to an improper mailing of assessment notice, bills or other correspondence, as a result of that person’s failure to provide a current mailing address. (Ord. 89-052 § 2, 1989)

3.08.160 Forms.

The borough assembly, or their designee, shall draft such forms and establish necessary controls to facilitate the enforcement of this chapter and Chapters 3.12 and 3.20 through 3.44 FNSBC. Each compromise agreement on personal property shall be given a number by fiscal year, and posted to the applicable tax rolls. One year after the audit for this fiscal year concerned, and having obtained the prior consent of the assembly to do so, the forms may be destroyed. (Prior code § 69.05.580)

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    For statutory provisions authorizing boroughs to levy and assess a property tax, see AS 29.45; for the provisions regarding borough taxation of oil related property, see AS 43.56.

    Code reviser’s note: Ordinance 2005-26, the basis of the provisions of subsection (O) of this section, may be repealed by voters through referendum.