Describes the following as acts that unreasonably burden and discriminate against interstate commerce, and prohibits states, political subdivisions, and any other taxing authority from: (1) assessing natural gas pipeline property at a value that has a higher ratio to its true market value than the ratio used to assess other commercial and industrial property in the same assessment jurisdiction, (2) levying or collecting a tax on such an assessment, (3) levying or collecting an ad valorem property tax on natural gas pipeline property at a rate that exceeds the rate applicable to commercial and industrial property in the same assessment jurisdiction, or (4) imposing any other tax that discriminates against a natural gas pipeline providing transportation subject to the jurisdiction of the Federal Energy Regulatory Commission (FERC).
Grants jurisdiction to U.S. District Courts for claims involving discriminatory taxation of natural gas pipeline property and provides for relief for such claims.
[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4847 Introduced in House (IH)]
112th CONGRESS
2d Session
H. R. 4847
To prevent certain discriminatory taxation of natural gas pipeline
property.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
April 26, 2012
Mr. Flores (for himself and Mr. Gene Green of Texas) introduced the
following bill; which was referred to the Committee on the Judiciary
_______________________________________________________________________
A BILL
To prevent certain discriminatory taxation of natural gas pipeline
property.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. LIMITATION ON DISCRIMINATORY TAXATION OF NATURAL GAS
PIPELINE PROPERTY.
(a) Definitions.--For purposes of section:
(1) Assessment.--The term ``assessment'' means valuation
for a property tax levied by a taxing authority.
(2) Assessment jurisdiction.--The term ``assessment
jurisdiction'' means a geographical area used in determining
the assessed value of property for ad valorem taxation.
(3) Commercial and industrial property.--The term
``commercial and industrial property'' means property
(excluding natural gas pipeline property, public utility
property, and land used primarily for agricultural purposes or
timber growth) devoted to commercial or industrial use and
subject to a property tax levy.
(4) Natural gas pipeline property.--The term ``natural gas
pipeline property'' means all property, real, personal, and
intangible, owned or used by a natural gas pipeline providing
transportation or storage of natural gas, subject to the
jurisdiction of the Federal Energy Regulatory Commission.
(5) Public utility property.--The term ``public utility
property'' means property (excluding natural gas pipeline
property) that is devoted to public service and is owned or
used by any entity that performs a public service and is
regulated by any governmental agency.
(b) Discriminatory Acts.--The acts specified in this subsection
unreasonably burden and discriminate against interstate commerce. A
State, subdivision of a State, authority acting for a State or
subdivision of a State, or any other taxing authority (including a
taxing jurisdiction and a taxing district) may not do any of the
following such acts:
(1) Assess natural gas pipeline property at a value that
has a higher ratio to the true market value of the natural gas
pipeline property than the ratio that the assessed value of
other commercial and industrial property in the same assessment
jurisdiction has to the true market value of the other
commercial and industrial property.
(2) Levy or collect a tax on an assessment that may not be
made under paragraph (1).
(3) Levy or collect an ad valorem property tax on natural
gas pipeline property at a tax rate that exceeds the tax rate
applicable to commercial and industrial property in the same
assessment jurisdiction.
(4) Impose any other tax that discriminates against a
natural gas pipeline providing transportation subject to the
jurisdiction of the Federal Energy Regulatory Commission.
SEC. 2. JURISDICTION OF COURTS; RELIEF.
(a) Grant of Jurisdiction.--Notwithstanding section 1341 of title
28, United States Code, and notions of comity, and without regard to
the amount in controversy or citizenship of the parties, the district
courts of the United States shall have jurisdiction, concurrent with
other jurisdiction of the courts of the United States, of States, and
of all other taxing authorities and taxing jurisdictions, to prevent a
violation of section 1.
(b) Relief.--Except as otherwise provided in this subsection,
relief may be granted under this Act only if the ratio of assessed
value to true market value of natural gas pipeline property exceeds by
at least 5 percent the ratio of assessed value to true market value of
other commercial and industrial property in the same assessment
jurisdiction. If the ratio of the assessed value of other commercial
and industrial property in the assessment jurisdiction to the true
market value of all other commercial and industrial property cannot be
determined to the satisfaction of the court through the random-sampling
method known as a sales assessment ratio study (to be carried out under
statistical principles applicable to such a study), each of the
following shall be a violation of section 1 for which relief under this
Act may be granted:
(1) An assessment of the natural gas pipeline property at a
value that has a higher ratio of assessed value to the true
market value of the natural gas pipeline property than the
ratio of the assessed value of all other property (excluding
public utility property) subject to a property tax levy in the
assessment jurisdiction has to the true market value of all
other property (excluding public utility property).
(2) The collection of an ad valorem property tax on the
natural gas pipeline property at a tax rate that exceeds the
tax rate applicable to all other taxable property (excluding
public utility property) in the taxing jurisdiction.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on the Judiciary.
Referred to the Subcommittee on Courts, Commercial and Administrative Law.
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