Senate Bill No. 20

Introduced By gage

By Request of the Revenue Oversight Committee

A Bill for an Act entitled: An Act clarifying the definition of the average levy applied to railroad cars operating within the state; amending section 15-23-211, MCA; and providing an immediate effective date, a retroactive applicability date, and a termination date.

Be it enacted by the Legislature of the State of Montana:

Section 1.  Section 15-23-211, MCA, is amended to read:

"15-23-211.   Definitions. As used in 15-23-211 through 15-23-216, unless the context requires otherwise, the following definitions apply:

(1)  "Average levy" means 95% of the average statewide rate of taxation on mill levy for commercial and industrial property.

(2)  "Person" includes an individual, firm, association, company, partnership, corporation, joint-stock company, agency, syndicate, or cooperative.

(3)  "Private railroad cars" means all railroad cars that:

(a)  are not owned by a railroad company operating in this state;

(b)  are used for transporting persons or freight; and

(c)  are not otherwise assessed for property taxation in this state.

(4)  "Railroad car company" means any person, other than a railroad company, engaged in operating, leasing, or furnishing private railroad cars, whether or not owned by that person, for the transportation of persons or freight over railroad lines located wholly or partially within this state."

Section 2.  Effective date -- retroactive applicability. [This act] is effective on passage and approval and applies retroactively, within the meaning of 1-2-109, to tax years beginning after December 31, 1995.

Section 3.  Termination. [This act] terminates December 31, 2002.