§ 1787 Public Entity Property Tax Payments

This law tells public owners of former bank properties how much money they must pay each year to the county – basically the same amount of taxes and special district fees that the property would normally owe, with special timing rules for new purchases.

Key Takeaways

•Public owners must pay the same taxes and special district fees the property would normally owe.
•Payments are due by Dec 10 each year.
•For newly bought sites, the first payment is a prorated amount covering the period from the transfer date up to June 30, then full payments each year.

Example

A city buys an old bank building in County X. The county normally charges $2,000 in property taxes and $500 in irrigation fees each year.

Because the city is a public entity, it has to pay the county $2,500 every year. It must send the payment by Dec 10. If the city just bought the building on March 1, its first payment will be a smaller, prorated amount covering March 1 through June 30, then full payments each Dec 10 after that.

How to Calculate

Payment = (County tax amount + Assessments) × (Days from transfer date through June 30 ÷ Total days in the year)

Find the total yearly amount the property would owe (taxes + any irrigation/drainage/reclamation fees).
Count how many days pass from the date the title was transferred to the property up to June 30 of that year.
Divide that number of days by the total days in the year (365 or 366).
Multiply the yearly amount by the fraction from Step 3. That gives the first‑year payment.
After June 30, pay the full yearly amount each year by Dec 10.

City buys the bank on March 1. Annual county tax = $2,000. Irrigation assessment = $500.

Result: Payment = $2,500 × (122 ÷ 365) ≈ $2,500 × 0.334 ≈ $835. After June 30, the city will pay the full $2,500 each year by Dec 10.

(a) If the bank site owner is a public entity, that entity shall pay annually to the county in which the property is located an amount equal to the county taxes levied on the property at the time title to the bank site is transferred to that entity. The public entity shall also pay the assessments levied upon the property by any irrigation, drainage, or reclamation district. (b) Payments under this section shall be made on or before December 10 of each year, except for newly acquired bank sites, for which payments shall be made pursuant to subdivision (c). (c) Payments for newly acquired bank sites shall be made within one year of the date title to the property was transferred to the state, prorated for the balance of the year from the date title was transferred to the 30th day of June following the date title was transferred, and, thereafter, payments shall be made on or before December 10 of each year. (Added by Stats. 1993, Ch. 1254, Sec. 1. Effective January 1, 1994.)

Key Takeaways

•Public owners must pay the same taxes and special district fees the property would normally owe.
•Payments are due by Dec 10 each year.
•For newly bought sites, the first payment is a prorated amount covering the period from the transfer date up to June 30, then full payments each year.

Example

A city buys an old bank building in County X. The county normally charges $2,000 in property taxes and $500 in irrigation fees each year.

How to Calculate

Payment = (County tax amount + Assessments) × (Days from transfer date through June 30 ÷ Total days in the year)

Find the total yearly amount the property would owe (taxes + any irrigation/drainage/reclamation fees).
Count how many days pass from the date the title was transferred to the property up to June 30 of that year.
Divide that number of days by the total days in the year (365 or 366).
Multiply the yearly amount by the fraction from Step 3. That gives the first‑year payment.
After June 30, pay the full yearly amount each year by Dec 10.

City buys the bank on March 1. Annual county tax = $2,000. Irrigation assessment = $500.

Result: Payment = $2,500 × (122 ÷ 365) ≈ $2,500 × 0.334 ≈ $835. After June 30, the city will pay the full $2,500 each year by Dec 10.

Key Takeaways

Example

How to Calculate

Key Terms

References

§ 1787 Public Entity Property Tax Payments

Key Takeaways

Example

How to Calculate

Key Terms

References

Key Takeaways

Example

How to Calculate

Key Terms

Related Statutes

References

Key Takeaways

Example

How to Calculate

Key Terms

Related Statutes

References