Constitutional Amendment No. 6 (ACT 129, 2021 - HB 143) - Limits the increase in assessed value of certain property following reappraisal in Orleans Parish

Summary

Proposing to amend Article VII, Section 18(F)(2)(a)(introductory paragraph) and to add Article VII, Section 18(F)(3) of the Constitution of Louisiana, relative to ad valorem taxation; to limit the amount of an increase in the assessed value of certain property following reappraisal in Orleans Parish; to provide for certain limitations; to provide for an effective date; to provide for submission of the proposed amendment to the electors; and to provide for related matters.

A "yes" vote supports limiting the increase in the assessed value of a residential property to 10% of the assessed value from the previous year in Orleans Parish, beginning in 2023.

A "no" vote supports retaining current legislation regarding the increase on assessed value of residential properties in Orleans Parish.

Arguments

"This slows down the dramatic increase and allows the property owners to budget for it and to prepare for it and keep property owners in their homes. That's the goal, to keep New Orleanians in the city of New Orleans." - State Rep. Matthew Willard, in support of Constitutional Amendment No. 6 (ACT 129, 2021 - HB 143) (Learn more)

"Owning a home is becoming increasingly unaffordable in New Orleans, a problem that has grown since Hurricane Katrina. Through no fault of their own, some homeowners can receive large increases in their property tax bills because the surrounding neighborhood has surged in value, more people are moving into the area from elsewhere or some neighbors are using their homes as short-term rentals available through online hubs such as Airbnb. The annual 10% cap on reassessed value gives homeowners the time to adjust to higher payments and eases the sticker shock of large reassessments. This can help people from being pushed out of their homes and neighborhoods because they can't keep up with their property tax increases by giving them more time to prepare and budget for the rising bills. At least 18 states have limited how much property assessments can grow annually, according to the Tax Foundation. This will have no effect outside of Orleans Parish." - Public Affrais Research of Louisiana Guide to the 2022 Constitutional Amendments (example argument; not a recommendation), in support of Constitutional Amendment No. 6 (ACT 129, 2021 - HB 143) (Learn more)

"In some parts of New Orleans, rapidly rising property values have spiked assessments for property tax purposes. That hurts renters more than homeowners, for the latter get a homestead exemption, although it also hurts longstanding homeowners of modest means who may get hit with a huge tax increase spurred by the upscale renovation next door. The amendment would cap annual increases at 10% until assessments catch up with market value; if sold, the affected homes would be assessed at that higher level. This is a complicated approach to a problem that many people would like to have: Their principal asset, their home, is worth more. The fix, as [The Council for a Better Louisiana] commented, might not be enough to keep people in their homes, and could provoke still further legislative dodges around assessments. And the general problem remains, that the politically desirable goal of lowering property tax bills hurts all residents who depend on that revenue to pay for police, fire protection and other vital services." - NOLA.com Staff Editorial, in opposition to Constitutional Amendment No. 6 (ACT 129, 2021 - HB 143) (Learn more)

Measure Details