November 28, 2002 | Read Time: 1 minute
Residents of Virginia have approved a ballot question that amends the state’s Constitution to simplify the way nonprofit organizations obtain property-tax breaks.
The Virginia Constitution provides that the state’s legislature can exempt property that is used by its owner “for religious, charitable, patriotic, historical, benevolent, cultural, or public-park and -playground purposes.” The legislature has passed laws to offer exemptions for property belonging to a class or type of organization, such as nonprofit volunteer fire departments and rescue squads.
The legislature also has passed statutes to exempt the property of specific nonprofit groups that have been recommended in resolutions passed by local governments.
The amendment that was passed by Virginia voters authorizes local governments themselves to exempt such property by ordinance.
The change — effective January 1, 2003 — eliminates the need for action by the legislature, making it easier for nonprofit organizations to obtain exemptions. The legislature will continue to have authority to enact laws setting out restrictions and conditions on the exemptions.
