A. If interests in project property are exempt from property taxation and assessments under Subsection B of Section 3-60A-13 N.M. Stat. Ann. or Section 7-36-3.1 N.M. Stat. Ann., then during the period extending from the date of acquisition of the property by the local government through December 31 of the year in which the seventh anniversary of that acquisition date occurs, any lessee of the project property or owner of a substantial beneficial interest in the project property, in whose ownership the property would not be exempt from property taxation except for the exemption granted under Section 7-36-3.1 N.M. Stat. Ann., shall pay to the county treasurer annually, at the same time property tax payments are due under the Property Tax Code [Chapter 7, Articles 35 to 38 NMSA 1978], an amount equal to the sum of:

(1)     general property taxes that would have been imposed under Subsection B of Section 7-37-7 N.M. Stat. Ann. had it not been exempt and had it been valued at the valuation for property taxation purposes that existed in the year immediately preceding the year of acquisition by the local government;

(2)     amounts that would have been imposed under Subsection C of Section 7- 37-7 NMSA 1978 on the project property had it not been exempt and had it been valued at the valuation for property taxation purposes that existed in the year immediately preceding the year of acquisition by the local government; and

(3)     amounts that would have been imposed as benefit assessments on the project property had it not been exempt and had it been valued at the valuation for property taxation purposes that existed in the year immediately preceding the year of acquisition by the local government if those benefit assessments are authorized by law and are expressed in mills per dollar or dollars per thousand dollars of net taxable value of property, assessed value of property or similar terms.

B. The county treasurer shall distribute all amounts collected under Subsection A of this section in the same manner as the amounts would have been distributed if they had been collected as taxes or assessments on nonexempt property.

C. The provisions of this section shall apply only to project property acquired by a local government under the provisions of the Metropolitan Redevelopment Code [N.M. Stat. Ann. Chapter 3, Article 60A] on or after January 1, 1986.