2014 Kentucky Revised Statutes CHAPTER 96 - UTILITIES IN CITIES 96.895 Proration and distribution of payments of sums equivalent to taxes based on book value among the state, counties, cities, and school districts.
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96.895 Proration and distribution of payments of sums equivalent to taxes
based on book value among the state, counties, cities, and school
districts.
(1)
(2)
(3)
(4)
(5)
Except for payments made directly by the Tennessee Valley Authority to
counties, the total fiscal year payment received by the Commonwealth of
Kentucky from the Tennessee Valley Authority, as authorized by section 13 of
the Tennessee Valley Authority Act, as amended, shall be prorated thirty
percent (30%) to the general fund of the Commonwealth and seventy percent
(70%) among counties, cities, and school districts, as provided in subsection
(2) of this section.
The payment to each county, city, and school district shall be determined by
the proportion that the book value of Tennessee Valley Authority property in
such taxing district, multiplied by the current tax rate, bears to the total of the
book values of Tennessee Valley Authority property in all such taxing districts
in the Commonwealth, multiplied by their respective tax rates, provided,
however, each public school district for the purposes of this calculation shall
have their tax rate increased by thirty cents ($0.30).
As soon as practicable after the amount of payment to be made to the
Commonwealth of Kentucky is finally determined by the Tennessee Valley
Authority, the Kentucky Department of Revenue shall determine the book value
of Tennessee Valley Authority property in each county, city, and school district
and shall prorate the total payments received from the Tennessee Valley
Authority, except payments received directly from the Tennessee Valley
Authority, among the distributees as provided in subsection (2) of this section.
The Department of Revenue shall certify the payment due each taxing district
to the Finance and Administration Cabinet which shall make the payment to
such district.
As used in subsections (2) and (3) of this section, "Tennessee Valley Authority
Property" means land owned by the United States and in the custody of the
Tennessee Valley Authority, together with such improvements (including work
in progress but excluding temporary construction facilities) as have a fixed situs
thereon if and to the extent that such improvements either:
(a) Were in existence when title to the land on which they are situated was
acquired by the United States; or
(b) Are allocated by the Tennessee Valley Authority or determined by it to be
allocable to power; provided, however, that manufacturing machinery as
interpreted by the Department of Revenue for franchise tax determination
shall be excluded along with ash disposal systems and, coal handling
facilities, including railroads, cranes and hoists, crushing and conveying
equipment. As used in said subsections "book value" means original cost
unadjusted for depreciation as reflected in Tennessee Valley Authority's
books of account. "Book value" shall be determined, for purposes of
applying said subsections, as of the June 30 used by the Tennessee
Valley Authority in computing the annual payment to the Commonwealth
which is subject to redistribution by the Commonwealth.
This section shall be applicable to all payments received after September 30,
1985, from the Tennessee Valley Authority under Section 13 of the Tennessee
Valley Authority Act as amended.
Effective:June 20, 2005
History: Amended 2005 Ky. Acts ch. 85, sec. 104, effective June 20, 2005. -Repealed and reenacted 1990 Ky. Acts ch. 476, Pt. V, sec. 301, effective July
13, 1990. -- Amended 1986 Ky. Acts ch. 27, sec. 1, effective February 24, 1986.
-- Amended 1978 Ky. Acts ch. 163, sec. 2, effective March 29, 1978. -- Created
1952 Ky. Acts ch. 61, sec. 1, effective June 19, 1952.
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