AN ACT TO AMEND THE BROWNFIELDS PROPERTY REUSE ACT AND THE BROWNFIELDS PROPERTY TAX BENEFIT.

The General Assembly of North Carolina enacts:

SECTION 1.  G.S. 105‑277.13 reads as rewritten:

§ 105‑277.13.  Taxation of improvements on brownfields.

(a)        Qualifying improvements on brownfields properties are designated a special class of property under Article V, Sec. 2(2) of the North Carolina Constitution and shall be appraised, assessed, and taxed in accordance with this section. An owner of land real property subject to a brownfields agreement entered into by the Department of Environmental Quality pursuant to G.S. 130A‑310.32 is entitled to the partial exclusion provided by this section for the first five taxable years beginning after completion of qualifying improvements made after the later of July 1, 2000, or the date of the brownfields agreement. 2000. After property has qualified for the exclusion provided by this section, the assessor for the county in which the property is located shall annually appraise the improvements made to the property during the period of time that the owner is entitled to the exclusion. Subsequent qualifying improvements shall also be entitled to a separate exclusionary period.

(b)        For the purposes of this section, the terms qualifying improvements on brownfields properties and qualifying improvements mean improvements made to real property that is subject to a brownfields agreement entered into by the Department of Environmental Quality and the owner pursuant to G.S. 130A‑310.32.after the Department of Environmental Quality provides written confirmation that the property is eligible for a brownfields agreement pursuant to the Brownfields Property Reuse Act of 1997 under Part 5 of Article 9 of Chapter 130A of the General Statutes.

(c)        The following table establishes the percentage of the appraised value of the qualified improvements that is excluded based on the taxable year:

Year                                                       Percent of Appraised Value Excluded

Year 1                                                                        90%

Year 2                                                                        75%

Year 3                                                                        50%

Year 4                                                                        30%

Year 5                                                                        10%.

SECTION 2.  Section 1 of this act is effective for taxes imposed for taxable years beginning on or after July 1, 2025. The remainder of this act is effective when it becomes law.