h_sa_2017a_2017-02-01t13:35:50z0 Hearing Summary

Date: 02/01/2017

Location: LSB A

01:36 PM -- HB17-1066



Representative J. Becker, co-prime bill sponsor, presented House Bill 17-1066. Under current law, taxpayers may claim a state income tax credit for a portion of the value of a perpetual conservation easement that the taxpayer donates. If the executive director of the Department of Revenue (DOR) disputes the claim of the credit, current law sets forth procedures for resolving the claim administratively, or through an appeal process in the courts, at the taxpayers discretion.



Taxpayers who choose resolution through the courts are not required to post a surety bond, and no interest or penalties accrue while the matter is on appeal. Taxpayers choosing resolution through DOR's administrative process are required to post a surety bond and deposit while the matter is being considered. This bill removes the requirement for taxpayers using the DOR administrative process to post any surety or deposit, and no additional interest may accrue until the DOR makes a final determination.



Current law allows a conservation easement to be terminated in the same manner as any other easement. This bill also allows the courts to terminate a conservation easement if:



• the state rejects the claim;

• the easement has been appraised as having no or only nominal value; and

• the holder of the easement either provided no compensation or has been reimbursed in whole or in part for any compensation the holder did provide.



Representative J. Becker answered questions from the committee.



01:52 PM -- Alan Gentz, representing himself, testified in support of the bill. He provided a handout to the committee (Attachment A).



17HouseState0201AttachA.pdf



02:01 PM -- Debbie Van Wyke, Department of Revenue, testified on the bill. Ms. Van Wyke answered questions from the committee.



02:13 PM -- Julie Gentz, representing herself, testified in support of the bill.



02:17 PM -- Eric Meyer, Department of Law, testified on the bill. Mr. Meyer answered questions from the committee.



02:36 PM -- Don Shawcroft, Colorado Farm Bureau, testified in support of the bill. Mr. Shawcroft answered questions from the committee.



02:39 PM -- Mark Ruzzin, Boulder County Commissioner's Office, testified in opposition to the bill. Mr. Ruzzin answered questions from the committee.





02:44 PM



The committee recessed.





02:49 PM



The committee came back to order.



02:49 PM -- Elisabeth Erickson-Noe, representing herself, testified in support of the bill.



02:52 PM -- Tim Erickson, representing himself, testified in support of the bill.



02:54 PM -- Kerry Froese, Women Involved In Farm Economics, testified in support of the bill.





02:57 PM



Representative J. Becker explained L.002 (Attachment B). The committee discussed amendment L.002.



17HouseState0201AttachB.pdf

03:00 PM



Representative Lewis and Representative J. Becker made concluding remarks about the bill. Committee members made comments about the bill.