Indiana 2024 Regular Session

Indiana House Bill HB1208 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2	Introduced Version
3	3	HOUSE BILL No. 1208
4	4	_____
5	5	DIGEST OF INTRODUCED BILL
6	6	Citations Affected: IC 6-1.1-8-19.5.
7	7	Synopsis: Assessment of wind power devices. Requires a new owner
8	8	of a wind power device (device) to report, when filing the owner's
9	9	statement of value and description of property with the department of
10	10	local government finance (department) in years after the first year of
11	11	ownership, the valuation of the device at the same valuation amount
12	12	entered in the public utility company's first annual report after the
13	13	transfer of ownership, less adjustments for depreciation according to a
14	14	schedule prescribed by the department. Urges the legislative council to
15	15	assign to an appropriate interim study committee the task of studying
16	16	utility scale wind and solar power taxation.
17	17	Effective: Upon passage; July 1, 2024.
18	18	Negele
19	19	January 9, 2024, read first time and referred to Committee on Utilities, Energy and
20	20	Telecommunications.
21	21	2024 IN 1208—LS 6935/DI 125 Introduced
22	22	Second Regular Session of the 123rd General Assembly (2024)
23	23	PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
24	24	Constitution) is being amended, the text of the existing provision will appear in this style type,
25	25	additions will appear in this style type, and deletions will appear in this style type.
26	26	Additions: Whenever a new statutory provision is being enacted (or a new constitutional
27	27	provision adopted), the text of the new provision will appear in this style type. Also, the
28	28	word NEW will appear in that style type in the introductory clause of each SECTION that adds
29	29	a new provision to the Indiana Code or the Indiana Constitution.
30	30	Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
31	31	between statutes enacted by the 2023 Regular Session of the General Assembly.
32	32	HOUSE BILL No. 1208
33	33	A BILL FOR AN ACT to amend the Indiana Code concerning
34	34	taxation.
35	35	Be it enacted by the General Assembly of the State of Indiana:
36	36	1 SECTION 1. IC 6-1.1-8-19.5, AS ADDED BY P.L.144-2023,
37	37	2 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
38	38	3 JULY 1, 2024]: Sec. 19.5. (a) This section applies to a public utility
39	39	4 company that:
40	40	5 (1) owns or operates one (1) or more wind power devices; and
41	41	6 (2) is filing the public utility company's first annual report as the
42	42	7 new owner of the wind power devices following a change in
43	43	8 ownership.
44	44	9 (b) This section does not apply to a public utility company that owns
45	45	10 or operates one (1) or more wind power devices and that has signed or
46	46	11 countersigned an economic development agreement, or another
47	47	12 financial agreement, that is entered into:
48	48	13 (1) with the county in which the public utility company's wind
49	49	14 power devices are located; and
50	50	15 (2) for the purpose of:
51	51	16 (A) repowering the wind power devices; or
52	52	17 (B) upgrading the technology used in the wind power devices;
53	53	2024 IN 1208—LS 6935/DI 125 2
54	54	1 before a sale or transfer of the wind power devices.
55	55	2 (c) As used in this section, "annual report" means the statement of
56	56	3 value and description of property described in section 19 of this
57	57	4 chapter.
58	58	5 (d) As used in this section, "change of ownership", with respect to
59	59	6 one (1) or more wind power devices owned by a public utility
60	60	7 company, means any:
61	61	8 (1) transaction or series of related transactions (whether as a
62	62	9 result of a tender offer, merger, consolidation, reorganization,
63	63	10 acquisition, sale or transfer of equity securities, proxy, power of
64	64	11 attorney, or otherwise) that results in, or occurs in connection
65	65	12 with, another public utility company acquiring beneficial
66	66	13 ownership, directly or indirectly, of a majority of the then issued
67	67	14 and outstanding voting securities or combined voting rights of the
68	68	15 public utility company; or
69	69	16 (2) sale, lease, exchange, conveyance, transfer, distribution, or
70	70	17 other disposition whether:
71	71	18 (A) for cash, securities, equity interests, or other consideration;
72	72	19 or
73	73	20 (B) made in connection with any liquidation, dissolution, or
74	74	21 winding up of the affairs of the public utility company;
75	75	22 of substantially all of the public utility company's wind power
76	76	23 devices to another public utility company.
77	77	24 (e) As used in this section, "wind power device" means a device,
78	78	25 including a windmill or a wind turbine, that is designed to use the
79	79	26 kinetic energy of moving air to provide mechanical energy or to
80	80	27 produce electricity.
81	81	28 (f) Notwithstanding any other law or rule adopted by the
82	82	29 department, a public utility company described in subsection (a) shall:
83	83	30 (1) value the wind power devices at the same valuation amount
84	84	31 that the previous owner valued the devices prior to the change in
85	85	32 ownership on the previous owner's last annual report;
86	86	33 (2) enter that valuation amount on the public utility company's
87	87	34 first annual report following the change in ownership; and
88	88	35 (3) notify the department in a timely manner of the change in
89	89	36 ownership;
90	90	37 if the valuation amount that the public utility company would otherwise
91	91	38 enter on the report, in accordance with this chapter and the rules
92	92	39 prescribed by the department, is lower than the valuation amount that
93	93	40 the previous owner valued the wind power devices before the change
94	94	41 in ownership on the previous owner's last annual report.
95	95	42 (g) For years subsequent to the first year after the change in
96	96	2024 IN 1208—LS 6935/DI 125 3
97	97	1 ownership, the public utility company shall calculate value and report
98	98	2 the valuation of the wind power devices on the annual report in
99	99	3 accordance with this chapter and the rules prescribed by the
100	100	4 department. However, in determining the just value of the property of
101	101	5 the public utility company in any year subsequent to the first year after
102	102	6 the change in ownership, the department shall not consider valuations
103	103	7 determined by another governmental agency, notwithstanding section
104	104	8 26(b)(5) of this chapter. at the same valuation amount entered on
105	105	9 the public utility company's first annual report under subsection
106	106	10 (f)(2), less adjustments for depreciation made according to a
107	107	11 schedule prescribed by the department.
108	108	12 (h) The department shall:
109	109	13 (1) make changes to the annual report form necessary to conform
110	110	14 with the provisions of this section; and
111	111	15 (2) create a depreciation schedule for purposes of determining
112	112	16 valuation amounts under subsection (g).
113	113	17 (i) The Indiana utility regulatory commission shall include a
114	114	18 provision in an order issued under IC 8-1-2.5-5 to a public utility
115	115	19 company that:
116	116	20 (1) owns or operates one (1) or more wind power devices; or
117	117	21 (2) plans to own or operate one (1) or more wind power devices;
118	118	22 requiring the public utility company to notify the department of any
119	119	23 change in ownership of the wind power devices.
120	120	24 (j) Before November 1, 2024, and before November 1, 2025, the
121	121	25 department shall prepare, submit in an electronic format under
122	122	26 IC 5-14-6, and present to the interim study committee on energy,
123	123	27 utilities, and telecommunications established by IC 2-5-1.3-4(8) a
124	124	28 report on the valuation of wind power devices and the progress of
125	125	29 implementing this section.
126	126	30 SECTION 2. [EFFECTIVE UPON PASSAGE] (a) The legislative
127	127	31 council is urged to assign to the appropriate interim study
128	128	32 committee established under IC 2-5 during the 2024 legislative
129	129	33 interim the task of studying utility scale wind and solar power
130	130	34 taxation.
131	131	35 (b) This SECTION expires December 31, 2024.
132	132	36 SECTION 3. An emergency is declared for this act.
133	133	2024 IN 1208—LS 6935/DI 125