Read the full stored bill text
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~ G1/2
26/HR26/R1492
PAGE 1 (BS\KW)
To: Energy; Ways and Means
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026
By: Representatives Harness, Holloway
(76th), Denton, Butler-Washington, Faulkner,
Gibbs (36th), Jackson (45th), James-Jones,
Thompson, Williams
HOUSE BILL NO. 918
AN ACT TO AMEND SECTION 27-35-309, MISSISSIPPI CODE OF 1972, 1
TO REVISE THE FORMULA PROVIDING FOR THE ALLOCATION OF THE PROCEEDS 2
OF THE NUCLEAR IN LIEU TAX PAID TO THE DEPARTMENT OF REVENUE BY 3
THE GRAND GULF NUCLEAR POWER PLANT; TO BRING FORWARD SECTIONS 4
19-9-151, 19-9-153, 19-9-155 AND 19-9-157, MISSISSIPPI CODE OF 5
1972, WHICH RELATE TO IN LIEU PAYMENTS TO COUNTIES IN WHICH 6
NUCLEAR GENERATING PLANTS ARE LOCATED, FOR THE PURPOSES OF 7
POSSIBLE AMENDMENT; AND FOR RELATED PURPOSES. 8
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 9
SECTION 1. Section 27-35-309, Mississippi Code of 1972, is 10
amended as follows: 11
27-35-309. (1) The Department of Revenue shall, if 12
practicable, on or before the first Monday of June of each year, 13
make out for each person, firm, company or corporation listed in 14
Section 27-35-303, Mississippi Code of 1972, an assessment of the 15
company's property, both real and personal, tangible and 16
intangible. The Department of Revenue shall apportion the 17
assessment of value of each company's property according to the 18
provisions of this article, except as provided in subsection (3) 19
of this section, as follows: 20
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 2 (BS\KW)
(a) When the property of such public service company is 21
located in more than one (1) county in this state, the Department 22
of Revenue shall direct the company to apportion the assessed 23
value between the counties and municipalities and all other taxing 24
districts therein, in the proportion which the property located 25
therein bears to the entire value of the property of such company 26
as valued by the department, so that to each county, municipality 27
and taxing district therein, there shall be apportioned such part 28
of the entire valuation as will fairly equalize the relative value 29
of the property therein located to the whole value thereof. 30
(b) When the property of such public utility required 31
to be assessed by the provisions of this article is located in 32
more than one (1) state, the assessed value thereof shall be 33
apportioned by the Department of Revenue in such manner as will 34
fairly and equitably determine the principal sum for the value 35
thereof in this state, and after ascertaining such value it shall 36
be apportioned by them as herein provided. 37
The assessment roll shall contain all the property of any 38
such public service company, railroad, person, firm or corporation 39
and the value thereof, and so made that each county, municipality, 40
and taxing district shall receive its just share of taxes 41
proportionately to the amount of property therein situated. 42
(2) (a) The assessment when made shall remain open for 43
twenty (20) days in the Office of the Department of Revenue, and 44
be for such time subject to the objections thereto which may be 45
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 3 (BS\KW)
filed with the Executive Director of the Board of Tax Appeals; but 46
real estate belonging to railroads and which forms no part of the 47
road, and is wholly disconnected from its railroad business, shall 48
not be assessed by the Department of Revenue, but shall be 49
assessed as other real estate is assessed by the tax assessor of 50
the county where situated. 51
(b) The apportionment of the assessed value as required 52
by this section shall be filed with the Department of Revenue by 53
such public service company on or before the last day of the 54
objection period established in paragraph (a) of this subsection 55
(2). If such company shall fail, refuse or neglect to render the 56
apportionment of assessed value as required by this section, such 57
company shall be subject to the penalties provided for in Section 58
27-35-305. The filing of an objection by such public service 59
company shall not preclude such company from filing the property 60
apportionment as required by this section. 61
(3) Any nuclear generating plant which is located in the 62
state, which is owned or operated by a public utility rendering 63
electric service within the state and not exempt from ad valorem 64
taxation under any other statute and which is not owned or 65
operated by an instrumentality of the federal government shall be 66
exempt from county, municipal and district ad valorem taxes. In 67
lieu of the payment of county, municipal and district ad valorem 68
taxes, such public utility shall pay to the Department of Revenue 69
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 4 (BS\KW)
a sum based on the assessed value of such nuclear generating plant 70
in an amount to be determined and distributed as follows: 71
(a) The Department of Revenue shall annually assign an 72
assessed value to any nuclear generating plant described in this 73
subsection in the same manner as for ad valorem tax purposes by 74
using accepted industry methods for appraising and assessing 75
public utility property. The assessed value assigned shall be 76
used for the purpose of determining the in-lieu tax due under this 77
section and shall not be included on the ad valorem tax rolls of 78
the situs taxing authority nor be subject to ad valorem taxation 79
by the situs taxing authority nor shall the assessed value 80
assigned be used in determining the debt limit of the situs taxing 81
authority. However, the assessed value so assigned may be used by 82
the situs taxing authority for the purpose of determining salaries 83
of its public officials. 84
(b) On or before February 1, 1987, for the 1986 taxable 85
year and on or before February 1 of each year through the 1989 86
taxable year, such utility shall pay to the Department of Revenue 87
a sum equal to two percent (2%) of the assessed value as 88
ascertained by the Department of Revenue, but such payment shall 89
not be less than Sixteen Million Dollars ($16,000,000.00) for any 90
of the four (4) taxable years; all such payments in excess of 91
Sixteen Million Dollars ($16,000,000.00) for these four (4) 92
taxable years shall be paid into the General Fund of the state. 93
On or before February 1, 1991, for the 1990 taxable year and on or 94
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 5 (BS\KW)
before February 1 of each year thereafter through the 2026 taxable 95
year, such utility shall pay to the Department of Revenue a sum 96
equal to two percent (2%) of the assessed value as ascertained by 97
the Department of Revenue, but such payment shall not be less than 98
Twenty Million Dollars ($20,000,000.00) for any taxable year for 99
as long as such nuclear power plant is licensed to operate and is 100
not being permanently decommissioned; all such payments in excess 101
of Sixteen Million Dollars ($16,000,000.00) for taxable years 1990 102
and thereafter through taxable year 2026, shall be paid as 103
follows: 104
(i) An amount of Three Million Forty Thousand 105
Dollars ($3,040,000.00) annually, beginning with fiscal year 1991 106
and ending with fiscal year 2026, shall be transferred by the 107
Department of Revenue to Claiborne County. Such payments may be 108
expended by the Board of Supervisors of Claiborne County for any 109
purpose for which a county is authorized by law to levy an ad 110
valorem tax and shall not be included or considered as proceeds of 111
ad valorem taxes for the purposes of the growth limitation on ad 112
valorem taxes under Sections 27-39-305 and 27-39-321. However, 113
should the Board of Supervisors of Claiborne County withdraw its 114
support of the Grand Gulf Nuclear Station off-site emergency plan 115
or otherwise fail to satisfy its off-site emergency plan 116
commitments as determined by the Mississippi Emergency Management 117
Agency and the Federal Emergency Management Agency, Five Hundred 118
Thousand Dollars ($500,000.00) annually of the funds designated 119
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 6 (BS\KW)
for Claiborne County as described by this * * * subparagraph (i) 120
shall be deposited in the Grand Gulf Disaster Assistance Fund as 121
provided in Section 33-15-51. 122
(ii) An amount of One Hundred Sixty Thousand 123
Dollars ($160,000.00) annually, beginning with fiscal year 1991 124
and ending with fiscal year 2026, shall be transferred by the 125
Department of Revenue to the City of Port Gibson, Mississippi. 126
Such payments may be expended by the Board of Aldermen of the City 127
of Port Gibson for any purpose for which a municipality is 128
authorized by law to levy an ad valorem tax and shall not be 129
included or considered as proceeds of ad valorem taxes for the 130
purposes of the growth limitation on ad valorem taxes under 131
Sections 27-39-305 and 27-39-321. However, should the Board of 132
Aldermen of the City of Port Gibson withdraw its support of the 133
Grand Gulf Nuclear Station off-site emergency plan or otherwise 134
fail to satisfy its off-site emergency plan commitment, as 135
determined by the Mississippi Emergency Management Agency and the 136
Federal Emergency Management Agency, Fifty Thousand Dollars 137
($50,000.00) annually of the funds designated for the City of Port 138
Gibson as described by this * * * subparagraph (ii) shall be 139
deposited in the Grand Gulf Disaster Assistance Fund as provided 140
in Section 33-15-51. 141
(iii) The remaining balance of the payments in 142
excess of Sixteen Million Dollars ($16,000,000.00) annually, less 143
amounts transferred under (i) and (ii) of this subsection, 144
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 7 (BS\KW)
beginning with fiscal year 1991 and ending with fiscal year 2026, 145
shall be allocated in accordance with subsection (3)(f) of this 146
section. 147
On or before February 1, 2027, for the 2026 taxable year and 148
on or before February 1 of each year thereafter, such utility 149
shall pay to the Department of Revenue a sum equal to two percent 150
(2%) of the assessed value as ascertained by the Department of 151
Revenue, but such payment shall not be more than Forty Million 152
Dollars ($40,000,000.00) for any taxable year for as long as such 153
nuclear power plant is licensed to operate and is not being 154
permanently decommissioned; all such payments shall be paid as 155
follows: 156
(i) An amount equal to forty percent (40%) of such 157
payment shall be transferred by the Department of Revenue to 158
Claiborne County. Such payments may be expended by the Board of 159
Supervisors of Claiborne County for any purpose for which a county 160
is authorized by law to levy an ad valorem tax and shall not be 161
included or considered as proceeds of ad valorem taxes for the 162
purposes of the growth limitation on ad valorem taxes under 163
Sections 27-39-305 and 27-39-321. However, should the Board of 164
Supervisors of Claiborne County withdraw its support of the Grand 165
Gulf Nuclear Station off-site emergency plan or otherwise fail to 166
satisfy its off-site emergency plan commitments as determined by 167
the Mississippi Emergency Management Agency and the Federal 168
Emergency Management Agency, Five Hundred Thousand Dollars 169
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 8 (BS\KW)
($500,000.00) annually of the funds designated for Claiborne 170
County as described by this subparagraph (i) shall be deposited in 171
the Grand Gulf Disaster Assistance Fund as provided in Section 172
33-15-51. 173
(ii) An amount equal to twenty percent (20%) of 174
such payment shall be transferred by the Department of Revenue and 175
apportioned equally and paid to adjacent counties. Such payments 176
may be expended by the Board of Supervisors of any adjacent county 177
for any purpose for which a county is authorized by law to levy an 178
ad valorem tax and shall not be included or considered as proceeds 179
of ad valorem taxes for the purposes of the growth limitation on 180
ad valorem taxes under Sections 27-39-305 and 27-39-321. For the 181
purposes of this provision, "adjacent county" means any county in 182
the State of Mississippi that shares a common boundary with 183
Claiborne County. 184
(iii) An amount equal to forty percent (40%) of 185
such payment shall be transferred by the Department of Revenue to 186
remaining counties in this state wherein such public utility 187
renders electric service in the proportion that the amount of 188
electric energy consumed by the retail customers of such public 189
utility in each county for the next preceding fiscal year bears to 190
the total amount of electric energy consumed by all retail 191
customers of such public utility in the State of Mississippi for 192
the next preceding fiscal year. For the purposes of this 193
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 9 (BS\KW)
provision, "remaining county" means any county in the State of 194
Mississippi other than Claiborne County and adjacent counties. 195
(c) Pursuant to certification by the Attorney General 196
to the State Treasurer and the Department of Revenue that the suit 197
against the State of Mississippi pending on the effective date of 198
House Bill 8, First Extraordinary Session of 1990, [Laws, 1990 Ex 199
Session, Ch. 12, eff June 26, 1990], in the Chancery Court for the 200
First Judicial District of Hinds County, Mississippi, styled 201
Albert Butler et al v. the Mississippi State Tax Commission et al, 202
has been voluntarily dismissed with prejudice as to all plaintiffs 203
at the request of the complainants and that no attorney's fees or 204
court costs have been assessed against the state and each of the 205
parties, including Claiborne County and each municipality and 206
school district located in the county, have signed and delivered 207
to the Attorney General a full and complete release in favor of 208
the State of Mississippi and its elected officials of all claims 209
that have been asserted or may be asserted in the suit pending on 210
the effective date of House Bill 8, First Extraordinary Session of 211
1990, [Laws, 1990 Ex Session, Ch. 12, eff June 26, 1990], in the 212
Chancery Court for the First Judicial District of Hinds County, 213
Mississippi, styled Albert Butler et al v. the Mississippi State 214
Tax Commission et al, and the deposit into the State General Fund 215
of in-lieu payments and interest thereon due the state under 216
subsection (3)(b) of this section but placed in escrow because of 217
the lawsuit described above, the state shall promptly transfer to 218
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 10 (BS\KW)
the Board of Supervisors of Claiborne County out of the State 219
General Fund an amount of Two Million Dollars ($2,000,000.00) 220
which shall be a one-time distribution to Claiborne County from 221
the state. Such payment may be expended by the Board of 222
Supervisors of Claiborne County for any purposes for which a 223
county is authorized by law to levy an ad valorem tax and shall 224
not be included or considered as proceeds of ad valorem taxes for 225
the purposes of the growth limitation on ad valorem taxes for the 226
1991 fiscal year under Sections 27-39-321 and 27-39-305. 227
(d) After distribution of the one-time payment to 228
Claiborne County as set forth in subsection (3)(c) of this 229
section, the Department of Revenue upon certification that the 230
pending lawsuit as described in subsection (3)(c) of this section 231
has been voluntarily dismissed shall promptly deposit an amount of 232
Five Hundred Thousand Dollars ($500,000.00) into the Grand Gulf 233
Disaster Assistance Trust Fund as provided for in Section 234
33-15-51, which shall be a one-time payment, to be utilized in 235
accordance with the provisions of such section. 236
(e) After distribution of the one-time payment to 237
Claiborne County as set forth in subsection (3)(c) of this section 238
and the payment to the Grand Gulf Disaster Assistance Trust Fund 239
as set forth in subsection (3)(d) of this section, the Department 240
of Revenue upon certification that the pending lawsuit as 241
described in subsection (3)(c) of this section has been 242
voluntarily dismissed shall promptly distribute ten percent (10%) 243
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 11 (BS\KW)
of the remainder of the prior payments remaining in escrow to the 244
General Fund of the state and the balance of the prior payments 245
remaining in escrow shall be distributed to the counties and 246
municipalities in this state wherein such public utility has 247
rendered electric service in the proportion that the amount of 248
electric energy consumed by the retail customers of such public 249
utility in each county, excluding municipalities therein, and in 250
each municipality, for the next preceding fiscal year bears to the 251
total amount of electric energy consumed by all retail customers 252
of such public utility in the State of Mississippi for the next 253
preceding fiscal year. The payments distributed to the counties 254
and municipalities under this paragraph (e) may be expended by 255
such counties and municipalities for any lawful purpose and shall 256
not be included or considered as proceeds of ad valorem taxes for 257
the purposes of the growth limitation on ad valorem taxes under 258
Sections 27-39-321 and 27-39-305. 259
(f) After distribution of the payments for fiscal year 260
1991 as set forth in Section 19-9-151 and distribution of the 261
payments as provided for in subsection (3)(b) of this section, and 262
ending with fiscal year 2026, the Department of Revenue shall 263
distribute ten percent (10%) of the remainder of the payments to 264
the General Fund of the state and the balance to the counties and 265
municipalities in this state wherein such public utility renders 266
electric service in the proportion that the amount of electric 267
energy consumed by the retail customers of such public utility in 268
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 12 (BS\KW)
each county, excluding municipalities therein, and in each 269
municipality for the next preceding fiscal year bears to the total 270
amount of electric energy consumed by all retail customers of such 271
public utility in the State of Mississippi for the next preceding 272
fiscal year. 273
(g) No county, including municipalities therein, shall 274
receive in excess of twenty percent (20%) of the funds distributed 275
under paragraph (f) of this subsection. 276
(h) The revenues received by counties and 277
municipalities under paragraph (f) of this subsection shall not be 278
included or considered as proceeds of ad valorem taxes for the 279
purposes of the growth limitation on ad valorem taxes under 280
Sections 27-39-305 and 27-39-321. 281
SECTION 2. Section 19-9-151, Mississippi Code of 1972, is 282
brought forward as follows: 283
19-9-151. The in-lieu payments made to the State Tax 284
Commission pursuant to Section 27-35-309(3)(b), excluding payments 285
made in excess of Sixteen Million Dollars ($16,000,000.00) which 286
are required to be paid into the General Fund of the state, shall 287
be distributed by the State Tax Commission as follows: 288
(a) For fiscal year 1987, fifty percent (50%) of such 289
payment shall be paid to the situs county wherein such nuclear 290
generating plant is located; 291
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 13 (BS\KW)
(b) For fiscal year 1988, forty-five percent (45%) of 292
such payment shall be paid to the situs county wherein such 293
nuclear generating plant is located; 294
(c) For fiscal year 1989, forty percent (40%) of such 295
payment shall be paid to the situs county wherein such nuclear 296
generating plant is located; 297
(d) For fiscal year 1990, thirty-five (35%) of such 298
payment shall be paid to the situs county wherein such nuclear 299
generating plant is located; 300
(e) For fiscal year 1991 and thereafter, thirty percent 301
(30%) of such payment shall be paid to the situs county wherein 302
such nuclear generating plant is located. 303
SECTION 3. Section 19-9-153, Mississippi Code of 1972, is 304
brought forward as follows: 305
19-9-153. Of the funds received pursuant to Section 19-9-151 306
by a situs county wherein such nuclear generating plant is 307
located, the board of supervisors of such situs county shall 308
distribute ten percent (10%) of each payment, upon receipt, to the 309
most populous incorporated municipality within the county; 310
however, if such plant is located within a municipality, such 311
payments which would otherwise be made to the situs county 312
pursuant to Section 19-9-151 shall be divided equally between the 313
situs county and situs municipality. 314
SECTION 4. Section 19-9-155, Mississippi Code of 1972, is 315
brought forward as follows: 316
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 14 (BS\KW)
19-9-155. Of the funds retained by the situs county after 317
the payment made pursuant to Section 19-9-153, not more than Five 318
Million Five Hundred Thousand Dollars ($5,500,000.00) per year may 319
be expended by the board of supervisors of the county for any 320
purposes for which a county is authorized by law to levy an ad 321
valorem tax, and any funds in excess of such amount shall be 322
expended in accordance with Section 19-9-157. 323
SECTION 5. Section 19-9-157, Mississippi Code of 1972, is 324
brought forward as follows: 325
19-9-157. The board of supervisors of the situs county, upon 326
receipt of the payments pursuant to Section 19-9-151 less the 327
payment made according to Section 19-9-153, shall pay all such 328
funds in excess of Five Million Five Hundred Thousand Dollars 329
($5,500,000.00) to the governing authorities of the public school 330
districts in such county in the proportion that the net enrollment 331
for the preceding scholastic year of each school district bears to 332
the total net enrollment of the county for the preceding 333
scholastic year. Such funds may be expended only for the purposes 334
of capital improvements to school facilities and only after plans 335
therefor have been submitted to and approved by the State Board of 336
Education. The governing authorities of such school districts may 337
borrow money in anticipation of receipt of payments pursuant to 338
this section and the levying authority for the school district may 339
issue negotiable notes therefor, for the purposes set forth 340
herein. Such loan shall be repaid from the payments received 341
H. B. No. 918 *HR26/R1492* ~ OFFICIAL ~
26/HR26/R1492
PAGE 15 (BS\KW)
ST: Nuclear generating plants; revise
provisions related to distribution of payments
made in lieu of ad valorem taxes.
under this section by the governing authorities of the public 342
school district. However, no public school districts within the 343
situs county shall be entitled to any payments after January 1, 344
1990. 345
SECTION 6. Nothing in this act shall be construed to impair, 346
amend, or conflict with Section 112, Mississippi Constitution of 347
1890, and the Nuclear In-Lieu tax shall remain a state-imposed tax 348
in lieu of ad valorem taxation. 349
SECTION 7. This act shall take effect and be in force from 350
and after July 1, 2026. 351