FISCAL NOTE

Date Requested: February 13, 2018
Time Requested: 01:05 PM
Agency: Auditor, State of WV
CBD Number: Version: Bill Number: Resolution Number:
1339 Introduced HB4517
CBD Subject: Taxation


FUND(S):

Local Government Funds

Sources of Revenue:

Other Fund Local Government Fees - Property Tax

Legislation creates:





Fiscal Note Summary


Effect this measure will have on costs and revenues of state government.


    The purpose of proposed House Bill 4517 would amend Chapter 11, Article 6A, Section 5a of the West Virginia Code to permit counties to assess wind turbines in wind power projects at values ranging from salvage value to true and actual value.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2018
Increase/Decrease
(use"-")
2019
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 0


Explanation of above estimates (including long-range effect):


    Our review of the existing provisions of Chapter 11, Article 6A, Section 3 of the West Virginia Code indicate that under current law, pollution control facilities are assessed for the purpose of ad valorem property taxation based on salvage value. The proposed Bill would allow counties to assess each tower installed at a wind-power project at values ranging from salvage value to actual value. Accordingly, the potential would exist for an increase in the assessment basis and property tax collections within the respective counties related to the covered projects. However, the State Auditors’ Office does not have access to the necessary detailed records to accurately assess the potential and probable financial impacts of the proposed Bill.



Memorandum


    We have no additional comments with regard to the proposed Bill.



    Person submitting Fiscal Note: Michael E. Sizemore, CPA
    Email Address: Mike.Sizemore@wvsao.gov