FISCAL NOTE
FUND(S):
General Revenue Fund, local governments
Sources of Revenue:
General Fund,Other Fund local property tax
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The stated purpose of this bill is to provide an exemption from property taxation for property used by nonprofit corporations to provide electricity to residents of this state.
Passage of this bill would result in a in a loss of $280,000 in local property tax revenue and a minimal decrease in General Revenue Fund collections.
There would be no additional administrative costs.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2007
Increase/Decrease
(use"-") |
2008
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
0 |
0 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
0 |
-280,000 |
Explanation of above estimates (including long-range effect):
Passage of this bill would result in a in a loss of $280,000 in local property tax revenue and a minimal decrease in General Revenue Fund collections.
There would be no additional administrative costs.
Memorandum
The stated purpose of this bill is to provide an exemption from property taxation for property used by nonprofit corporations to provide electricity to residents of this state.
A primary concern is whether the Legislature has the authority under West Virginia Constitution Article X, Section 1, to exempt this type of property from ad valorem taxation. Only property used for certain activities (i.e., educational, literary, scientific, religious or charitable purposes) may be exempted.
Person submitting Fiscal Note: Mark Muchow
Email Address: kpetry@tax.state.wv.us