Searching over 5,500,000 cases.


searching
Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.

Ada County Board of Equalization v. J.R. Simplot Foundation, Inc.

Supreme Court of Idaho

December 21, 2017

ADA COUNTY BOARD OF EQUALIZATION, Petitioner-Respondent,
v.
J.R. SIMPLOT FOUNDATION, INC., Respondent-Appellant.

         2017 Opinion No. 130

         Appeal from the District Court of the Fourth Judicial District, State of Idaho, Ada County. Hon. Richard D. Greenwood, District Judge.

         District court order denying property tax exemption, affirmed.

          Davison, Copple, Copple & Copple, LLP, Boise, for appellant. Terry C. Copple argued.

          Jan Bennetts, Ada County Prosecutor, Boise, for respondent. Sherry A. Morgan, Deputy Ada County Prosecutor argued.

          BURDICK, Chief Justice.

         The J.R. Simplot Foundation (Foundation) appeals the Ada County district court's ruling that the charitable property tax exemption under Idaho Code section 63-602C did not apply to the property known as Jack's Urban Meeting Place (JUMP) while JUMP was under construction. In 2015, the Foundation applied for a charitable property tax exemption for JUMP. The Ada County Board of Equalization (Ada County) denied the tax exemption because JUMP was under construction and therefore not used exclusively for the Foundation's charitable purposes. The Idaho Board of Tax Appeals (IBTA) reversed, finding construction is not a "use" of the property and the only uses at JUMP were in furtherance of the Foundation's charitable objectives. Accordingly, the IBTA held JUMP was entitled to the property tax exemption. Ada County appealed the decision of the IBTA to the district court. The district court, ruling on cross motions for summary judgment, reversed the decision of the IBTA finding construction is a "use" of the property and that construction is not a charitable use. The Foundation timely appeals to this Court and asks this Court to determine whether a charitable structure under construction is eligible for a tax exemption under section 63-602C. For the reasons discussed below, we affirm the district court's order denying the tax exemption.

         I. FACTUAL AND PROCEDURAL BACKGROUND

         The JUMP facility is owned by the Foundation and consists of a 2.471 acre parcel in downtown Boise that is a six-story, multi-use structure that includes a three-story parking garage and outdoor space. The Foundation is a non-profit, charitable organization that uses JUMP for charitable purposes. Construction on JUMP began in 2012 and was completed in December 2015. The tax assessment date for the exemption at issue is January 1, 2015, which makes the determinative year 2014.

         JUMP was under construction during 2014, and was about 70% complete on January 1, 2015. Approximately 500 people toured the facility during 2014, including both community leaders and members of the public as part of JUMP's efforts to gain community support for the facility and its mission. Boise State University students also toured the facility as part of a community involvement program sponsored by the general contractor. In December of 2015, JUMP held its grand opening and opened for general public admission.

         JUMP is a unique property that is configured to be a public park, museum, and community center. Once completed, the property is not readily convertible to commercial purposes. The Foundation anticipates that JUMP will operate at a loss of over $900, 000 a year, and require the Foundation to subsidize its operations going forward.

         The Foundation applied to Ada County for a charitable property tax exemption for JUMP for tax year 2015 under Idaho Code section 63-602C. Ada County denied the Foundation's claim for a tax exemption during the period of construction. The Foundation appealed to the IBTA, which reversed and found JUMP was entitled to a tax exemption because of the charitable activities that occurred at JUMP during construction. Ada County then appealed to the district court, which reversed the IBTA, ruling that JUMP was not entitled to an exemption while under construction finding construction is a "use" under the statute, and not a charitable use. The Foundation timely appeals to this Court and asks this Court to determine whether a charitable structure under construction qualifies for a charitable tax exemption during construction.

         II. ISSUES ON APPEAL

         1. Is the JUMP facility entitled to a charitable property tax exemption under Idaho Code section 63-602C even though it was ...


Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.