S-5225

   Amend Senate File 2498 as follows:
   1.  By striking everything after the enacting clause and inserting:
   <Section 1.  Section 423.3, Code 2026, is amended by adding the following new subsection:
   NEW SUBSECTION.  111.  a.  (1)  The sales price of tangible personal property or specified digital products sold to or of services furnished to a nuclear electric generation facility on or after January 1, 2026.
   (2)  The tangible personal property, specified digital products, and services furnished shall be directly and primarily used before, during, or after the site preparation, construction, reconstruction, replacement, alteration, repair, safe storage, maintenance, or restarting after decommissioning of the nuclear electric generation facility.
   b.  The exemption under this section does not apply to motor vehicles subject to registration under chapter 321.
   c.  This subsection shall not be construed to limit any other exemptions applicable under this chapter.
   d.  The department shall issue guidance within ninety days of the effective date of this Act regarding acceptable documentation for exemption qualification and exemption certificate procedures.
   e.  The department may adopt rules pursuant to chapter 17A to administer this subsection.
   f.  A nuclear electric generation facility that does not commence or restart commercial operation within twelve and one-half years of the later of the issuance of the certificate of public convenience, use, and necessity under chapter 476A for the applicable unit of the facility or the placement of the first safety-related concrete for such unit shall repay the entire amount of the sales and use tax exemptions the nuclear electric generation facility claimed under this subsection and refunds claimed under section 423.4, subsection 1, and the entire amount of sales and use tax exemptions that contractors, subcontractors, and builders claimed for building materials, supplies, equipment, and services in the performance of a written construction contract with the nuclear electric generation facility under subsection 80. Any repayment shall be considered a tax payment due and payable to the department by the nuclear electric generation facility, and the failure to make the repayment may be treated by the department in the same manner as a failure to pay the tax shown due, or required to be shown due, with the filing of a return or deposit form.
   g.  (1)  A nuclear electric generation facility is eligible to receive an exemption under this subsection until the earlier of one year from the date of delivering notification to the applicable regional transmission operators that commercial operation has been achieved or June 30, 2051.
   (2)  Within thirty days of delivering notification in subparagraph (1), the nuclear electric generation facility shall notify the department of the date notification was delivered under subparagraph (1) in a manner prescribed by the director.
   h.  As used in this subsection:
   (1)  “Nuclear electric generation facility” means a facility commencing or restarting commercial operations of at least one unit of the facility on or after January 1, 2028, that is located in this state, uses nuclear fission, fusion, or other nuclear processes to generate electricity for sale or for use in the transmission or distribution grid and is licensed by the federal nuclear regulatory commission. A “nuclear electric generation facility” includes facilities undergoing restart after a decommissioning period and facilities in advanced stages of development or obtaining federal licensing from the United States nuclear regulatory commission. A “nuclear electric generation facility” includes all of the following:
   (a)  Nuclear reactors, reactor fuel cores, reactor vessels, steam generators, heat exchangers, turbine systems, control rods, instrumentation, cooling systems, fuel handling and storage systems, radiation shielding, radiation sources and other primary nuclear generation components, and spent fuel storage.
   (b)  Structures and buildings housing nuclear generation systems, including containment buildings, auxiliary buildings, cooling towers, water intake or discharge structures, and on-site storage facilities directly related to nuclear operations.
   (c)  Electrical generation and transformation equipment, including turbines, generators, switchgear, transformers, inverters, transmission structures, conductors, substations, and associated power conditioning and control equipment.
   (d)  Equipment and systems used for safety, security, radiation monitoring, emergency power, operator training, maintenance training, safety-related equipment storage, and warehousing.
   (e)  Environmental protection required for operation of the facility.
   (f)  System materials, components, equipment, storage, structures, and buildings associated with integrated systems that enhance the flexibility of the system in delivering energy to the electrical grid, including but not limited to the following:
   (i)  Systems that store and utilize thermal energy or electrical energy from the nuclear electric generating facility prior to delivering energy to the grid.
   (ii)  Energy storage systems that utilize a transmission system interconnection to the same physical substation as the nuclear electric generating facility.
   (g)  Materials, supplies, and components permanently incorporated into or consumed in the construction, repair, or maintenance of a nuclear electric generation facility.
   (h)  Digital control systems, software, cybersecurity, infrastructure, and physical security systems and equipment used in the safe and compliant operation of the nuclear electric generation facility.
   (i)  Equipment, materials, systems, and services required to restart operations at a previously operational nuclear electric generation facility that has ceased commercial operation, including but not limited to refurbishment, modernization, regulatory compliance upgrades, and relicensing activities.
   (2)  “Site preparation activities” means the same as defined in subsection 95, paragraph “f”.
   i.  This subsection is repealed on July 1, 2051.
   Sec. 2.  Section 423.4, subsection 1, paragraph a, Code 2026, is amended by adding the following new subparagraph:
   NEW SUBPARAGRAPH.  (11)  A nuclear electric generation facility as defined in section 423.3, subsection 111.
   Sec. 3.  RETROACTIVE APPLICABILITY.  This Act applies retroactively to January 1, 2026, for qualifying tangible personal property or specified digital products sold, or services furnished on or after that date.>
   2.  Title page, by striking lines 1 through 5 and inserting <An Act creating sales and use tax exemptions and refunds relating to commencing or restarting nuclear electric generation facilities, and including retroactive applicability provisions.>

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DAN DAWSON