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Senate Study Bill 3101

Bill Text

PAG LIN
  1  1    Section 1.  Section 437A.3, Code Supplement 2003, is
  1  2 amended by adding the following new subsection:
  1  3    NEW SUBSECTION.  23A.  "Peaking plant" means, for any tax
  1  4 year, a new electric power generating plant, regardless of
  1  5 ownership, which operated during the preceding calendar year
  1  6 at a net capacity factor of thirty-five percent or less.  For
  1  7 purposes of this subsection, "net capacity factor" means net
  1  8 actual generation during the preceding calendar year divided
  1  9 by the product of nameplate capacity times the number of hours
  1 10 the plant was in the active state during the preceding
  1 11 calendar year.  Upon commissioning, a plant is in the active
  1 12 state until it is decommissioned.  For purposes of this
  1 13 subsection, "net actual generation" means the net electrical
  1 14 megawatt hours produced by a plant during a calendar year.
  1 15    Sec. 2.  Section 437A.15, subsection 3, paragraph a,
  1 16 unnumbered paragraph 2, Code Supplement 2003, is amended to
  1 17 read as follows:
  1 18    When allocating natural gas delivery taxes on deliveries of
  1 19 natural gas to a new electric power generating plant, except
  1 20 as a peaking plant, ten percent of those natural gas delivery
  1 21 taxes shall be allocated over new gas property built to
  1 22 directly serve the new electric power generating plant and
  1 23 ninety percent of those natural gas delivery taxes shall be
  1 24 allocated to the general property tax equivalents of all gas
  1 25 property within the natural gas competitive service area or
  1 26 areas where the new gas property is located.
  1 27    When allocating natural gas delivery taxes on deliveries of
  1 28 natural gas to a new electric power generating peaking plant,
  1 29 one hundred percent of those natural gas delivery taxes shall
  1 30 be allocated over new gas property built to directly serve the
  1 31 new electric power generating peaking plant.  
  1 32                           EXPLANATION
  1 33    This bill provides that in the case of a new electric power
  1 34 generating peaking plant, 100 percent of the natural gas
  1 35 delivery taxes on delivery of natural gas to such plant is
  2  1 allocated to the new gas property built to directly serve the
  2  2 peaking plant rather than the 10 percent under present law.
  2  3 This tax is in lieu of property taxes and is imposed pursuant
  2  4 to Code chapter 437A.  A "peaking plant" is a new electric
  2  5 power generating plant that initially generates electricity on
  2  6 or after January 1, 2003, and which has a net capacity factor
  2  7 for the previous calendar year of 35 percent or less.  
  2  8 LSB 6021SC 80
  2  9 mg/pj/5
     

Text: SSB03100                          Text: SSB03102
Text: SSB03100 - SSB03199               Text: SSB Index
Bills and Amendments: General Index     Bill History: General Index

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