Senate File 2498 S-5225 Amend Senate File 2498 as follows: 1 1. By striking everything after the enacting clause and 2 inserting: 3 < Section 1. Section 423.3, Code 2026, is amended by adding 4 the following new subsection: 5 NEW SUBSECTION . 111. a. (1) The sales price of tangible 6 personal property or specified digital products sold to or of 7 services furnished to a nuclear electric generation facility on 8 or after January 1, 2026. 9 (2) The tangible personal property, specified digital 10 products, and services furnished shall be directly and 11 primarily used before, during, or after the site preparation, 12 construction, reconstruction, replacement, alteration, repair, 13 safe storage, maintenance, or restarting after decommissioning 14 of the nuclear electric generation facility. 15 b. The exemption under this section does not apply to motor 16 vehicles subject to registration under chapter 321. 17 c. This subsection shall not be construed to limit any other 18 exemptions applicable under this chapter. 19 d. The department shall issue guidance within ninety 20 days of the effective date of this Act regarding acceptable 21 documentation for exemption qualification and exemption 22 certificate procedures. 23 e. The department may adopt rules pursuant to chapter 17A 24 to administer this subsection. 25 f. A nuclear electric generation facility that does not 26 commence or restart commercial operation within twelve and 27 one-half years of the later of the issuance of the certificate 28 of public convenience, use, and necessity under chapter 476A 29 for the applicable unit of the facility or the placement 30 of the first safety-related concrete for such unit shall 31 repay the entire amount of the sales and use tax exemptions 32 the nuclear electric generation facility claimed under this 33 subsection and refunds claimed under section 423.4, subsection 34 1, and the entire amount of sales and use tax exemptions that 35 -1- SF 2498.4264 (1) 91 (amending this SF 2498 to CONFORM to HF 2757) jm/jh 1/ 4 #1.

contractors, subcontractors, and builders claimed for building 1 materials, supplies, equipment, and services in the performance 2 of a written construction contract with the nuclear electric 3 generation facility under subsection 80. Any repayment shall 4 be considered a tax payment due and payable to the department 5 by the nuclear electric generation facility, and the failure to 6 make the repayment may be treated by the department in the same 7 manner as a failure to pay the tax shown due, or required to be 8 shown due, with the filing of a return or deposit form. 9 g. (1) A nuclear electric generation facility is eligible 10 to receive an exemption under this subsection until the earlier 11 of one year from the date of delivering notification to the 12 applicable regional transmission operators that commercial 13 operation has been achieved or June 30, 2051. 14 (2) Within thirty days of delivering notification in 15 subparagraph (1), the nuclear electric generation facility 16 shall notify the department of the date notification was 17 delivered under subparagraph (1) in a manner prescribed by the 18 director. 19 h. As used in this subsection: 20 (1) “Nuclear electric generation facility” means a facility 21 commencing or restarting commercial operations of at least 22 one unit of the facility on or after January 1, 2028, that is 23 located in this state, uses nuclear fission, fusion, or other 24 nuclear processes to generate electricity for sale or for use 25 in the transmission or distribution grid and is licensed by 26 the federal nuclear regulatory commission. A “nuclear electric 27 generation facility” includes facilities undergoing restart 28 after a decommissioning period and facilities in advanced 29 stages of development or obtaining federal licensing from 30 the United States nuclear regulatory commission. A “nuclear 31 electric generation facility” includes all of the following: 32 (a) Nuclear reactors, reactor fuel cores, reactor vessels, 33 steam generators, heat exchangers, turbine systems, control 34 rods, instrumentation, cooling systems, fuel handling and 35 -2- SF 2498.4264 (1) 91 (amending this SF 2498 to CONFORM to HF 2757) jm/jh 2/ 4

storage systems, radiation shielding, radiation sources and 1 other primary nuclear generation components, and spent fuel 2 storage. 3 (b) Structures and buildings housing nuclear generation 4 systems, including containment buildings, auxiliary buildings, 5 cooling towers, water intake or discharge structures, and 6 on-site storage facilities directly related to nuclear 7 operations. 8 (c) Electrical generation and transformation equipment, 9 including turbines, generators, switchgear, transformers, 10 inverters, transmission structures, conductors, substations, 11 and associated power conditioning and control equipment. 12 (d) Equipment and systems used for safety, security, 13 radiation monitoring, emergency power, operator training, 14 maintenance training, safety-related equipment storage, and 15 warehousing. 16 (e) Environmental protection required for operation of the 17 facility. 18 (f) System materials, components, equipment, storage, 19 structures, and buildings associated with integrated systems 20 that enhance the flexibility of the system in delivering energy 21 to the electrical grid, including but not limited to the 22 following: 23 (i) Systems that store and utilize thermal energy or 24 electrical energy from the nuclear electric generating facility 25 prior to delivering energy to the grid. 26 (ii) Energy storage systems that utilize a transmission 27 system interconnection to the same physical substation as the 28 nuclear electric generating facility. 29 (g) Materials, supplies, and components permanently 30 incorporated into or consumed in the construction, repair, or 31 maintenance of a nuclear electric generation facility. 32 (h) Digital control systems, software, cybersecurity, 33 infrastructure, and physical security systems and equipment 34 used in the safe and compliant operation of the nuclear 35 -3- SF 2498.4264 (1) 91 (amending this SF 2498 to CONFORM to HF 2757) jm/jh 3/ 4

electric generation facility. 1 (i) Equipment, materials, systems, and services required to 2 restart operations at a previously operational nuclear electric 3 generation facility that has ceased commercial operation, 4 including but not limited to refurbishment, modernization, 5 regulatory compliance upgrades, and relicensing activities. 6 (2) “Site preparation activities” means the same as defined 7 in subsection 95, paragraph “f” . 8 i. This subsection is repealed on July 1, 2051. 9 Sec. 2. Section 423.4, subsection 1, paragraph a, Code 2026, 10 is amended by adding the following new subparagraph: 11 NEW SUBPARAGRAPH . (11) A nuclear electric generation 12 facility as defined in section 423.3, subsection 111. 13 Sec. 3. RETROACTIVE APPLICABILITY. This Act applies 14 retroactively to January 1, 2026, for qualifying tangible 15 personal property or specified digital products sold, or 16 services furnished on or after that date. > 17 2. Title page, by striking lines 1 through 5 and inserting 18 < An Act creating sales and use tax exemptions and refunds 19 relating to commencing or restarting nuclear electric 20 generation facilities, and including retroactive applicability 21 provisions. > 22 ______________________________ DAN DAWSON -4- SF 2498.4264 (1) 91 (amending this SF 2498 to CONFORM to HF 2757) jm/jh 4/ 4 #2.