SF 315

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to taxation; property; providing that certain
personal property of an electric generation facility
is exempt from property taxation; amending Minnesota
Statutes 2004, section 272.02, by adding a subdivision.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2004, section 272.02, is
amended by adding a subdivision to read:

new text begin Subd. 68. new text end

new text begin Electric generation facility personal
property. new text end

new text begin (a) Notwithstanding subdivision 9, clause (a), and
section 453.54, subdivision 20, attached machinery and other
personal property which is part of an electric generation
facility that exceeds 150 megawatts of installed capacity and
meets the requirements of this subdivision is exempt. At the
time of construction, the facility must:
new text end

new text begin (1) be designed to utilize natural gas as a primary fuel;
new text end

new text begin (2) be owned and operated by a municipal power agency as
defined in section 453.52, subdivision 8;
new text end

new text begin (3) have received the certificate of need under section
216B.243;
new text end

new text begin (4) be located outside the metropolitan area as defined
under section 473.121, subdivision 2; and
new text end

new text begin (5) be designed to be a combined-cycle facility, although
initially the facility will be operated as a simple-cycle
combustion turbine.
new text end

new text begin (b) To qualify under this subdivision, an agreement must be
negotiated between the municipal power agency and the host city,
for a payment in lieu of property taxes to the host city.
new text end

new text begin (c) Construction of the facility must be commenced after
January 1, 2004, and before January 1, 2006. Property eligible
for this exemption does not include electric transmission lines
and interconnections or gas pipelines and interconnections
appurtenant to the property or the facility.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for assessment
year 2005, taxes payable in 2006, and thereafter.
new text end