HOUSE BILL NO. 600
INTRODUCED BY S. BOOKOUT-REINICKE
AN ACT EXEMPTING CERTAIN NONCOMMERCIAL ELECTRICAL GENERATION MACHINERY AND EQUIPMENT FROM PROPERTY TAXATION; 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. Tax exemption for noncommercial generation machinery and equipment. (1) (a) Subject to the conditions of this section, noncommercial electrical generation machinery and equipment that are owned or leased by a person and that are used for the production of electrical energy for use by the person in the person's business are exempt from taxation.
(b) The exemption allowed by this section applies to electrical energy produced from electrical generation machinery and equipment owned or leased by a person if more than 80% of the electrical energy generated is used by the person in the person's business even if the person sells a portion of the electrical energy produced to another entity. However, the amount of the exemption is proportional to the ratio of kilowatt hours used by the person in the person's business to the total kilowatt hours produced.
(2) (a) For the purposes of this section, "electrical generation machinery and equipment" means any combination of a physically connected generator or generators, associated prime movers, and other associated machinery and equipment that has a generating capacity of less than 80 megawatts. The term is limited to electrical generation machinery and equipment that are powered by fossil fuels.
(b) The term does not include personal property used in the normal course of the person's business.
(3) For the purposes of controlling emissions of air pollutants, electrical generation machinery and equipment are, if applicable, subject to the provisions of 75-2-211 and 75-2-215. Before granting the exemption allowed by this section, the department shall obtain information from the department of environmental quality to ensure that the electrical generation machinery and equipment comply with the provisions of 75-2-211 and 75-2-215.
Section 2. Codification instruction. [Section 1] is intended to be codified as an integral part of Title 15, chapter 6, part 2, and the provisions of Title 15, chapter 6, part 2, apply to [section 1].
Section 3. Effective date. [This act] is effective on passage and approval.
Section 4. Retroactive applicability. [This act] applies retroactively, within the meaning of 1-2-109, to property tax years beginning after December 31, 2000.
Section 5. Termination. [This act] terminates December 31, 2004.
- END -
Latest Version of HB 600 (HB0600.ENR)
Processed for the Web on April 25, 2001 (11:56AM)
New language in a bill appears underlined, deleted material appears stricken.
Sponsor names are handwritten on introduced bills, hence do not appear on the bill until it is reprinted. See the status of this bill for the bill's primary sponsor.
Status of this Bill | 2001 Legislature | Leg. Branch Home
All versions of this bill (PDF Format)
Authorized print version w/line numbers (PDF format)
(406)444-3064