Rep. Norm Thurston — Voting Record

Bill

Number

S.B. 156 Third Substitute (2024GS)

Sponsor

Sen. McKell, M.

Final action

Governor Signed 3/13/2024

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• creates a new tax rate for certain uncontainerized, unprocessed class A waste;
• includes radioactive waste facility tax revenue in the calculation of a taxpayer's high cost infrastructure development tax credit; and
• makes technical changes.

Every vote on this bill

Bill text

TAX MODIFICATIONS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Michael K. McKell
House Sponsor: 
____________
LONG TITLE
General Description:
This bill addresses radioactive waste facilities and management.
Highlighted Provisions:
This bill:
▸ creates a new tax rate for certain uncontainerized, unprocessed class A waste;
▸ includes radioactive waste facility tax revenue in the calculation of a taxpayer's high
cost infrastructure development tax credit; and
▸ makes technical changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
59-24-103.5
, as last amended by Laws of Utah 2005, Chapter 10
79-6-602
, as last amended by Laws of Utah 2023, Chapter 473
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
59-24-103.5
 is amended to read:
59-24-103.5.
Radioactive waste disposal, processing, and recycling facility tax.
(1) On and after July 1, 2003, there is imposed a tax on a radioactive waste facility, or a
processing or recycling facility, as provided in this chapter.
(2) The tax is equal to the sum of the following amounts:
(a) 12% of the gross receipts of a radioactive waste facility derived from the disposal of
containerized class A waste;
(b) 10% of the gross receipts of a radioactive waste facility derived from the disposal
of processed class A waste;
(c) 
except as provided in Subsection (2)(e),
 5% of the gross receipts of a radioactive
waste facility derived from the disposal of uncontainerized, unprocessed class A waste from a
governmental entity or an agent of a governmental entity:
(i) pursuant to a contract entered into on or after April 30, 2001;
(ii) pursuant to a contract substantially modified on or after April 30, 2001;
(iii) pursuant to a contract renewed or extended on or after April 30, 2001; or
(iv) not pursuant to a contract;
(d) 
except as provided in Subsection (2)(e),
 5% of the gross receipts of a radioactive
waste facility derived from the disposal of uncontainerized, unprocessed class A waste received
by the facility from an entity other than a governmental entity or an agent of a governmental
entity;
(e) .5% of the gross receipts of a radioactive waste facility derived from the disposal of
uncontainerized, unprocessed class A waste received by the facility if the uncontainerized,
unprocessed class A waste does not exceed 10% of the radioactive concentration limit for class
A waste as defined in 10 C.F.R. Sec. 61.55;
[
(e)
] 
(f)
 5% of the gross receipts of a radioactive waste facility derived from the
disposal of mixed waste, other than the mixed waste described in Subsection [
(2)(f)
] 
(2)(g)
,
received from:
(i) an entity other than a governmental entity or an agent of a governmental entity; or
(ii) a governmental entity or an agent of a governmental entity:
(A) pursuant to a contract entered into on or after April 30, 2005;
(B) pursuant to a contract substantially modified on or after April 30, 2005;
(C) pursuant to a contract renewed or extended on or after April 30, 2005; or
(D) not pursuant to a contract;
[
(f)
] 
(g)
 10% of the gross receipts of a radioactive waste facility derived from the
disposal of mixed waste:
(i) (A) received from an entity other than a governmental entity or an agent of a
governmental entity; or
(B) received from a governmental entity or an agent of a governmental entity:
(I) pursuant to a contract entered into on or after April 30, 2005;
(II) pursuant to a contract substantially modified on or after April 30, 2005;
(III) pursuant to a contract renewed or extended on or after April 30, 2005; or
(IV) not pursuant to a contract; and
(ii) that contains a higher radionuclide concentration level than the mixed waste
received by any radioactive waste facility in the state [
prior to
] 
before
 April 1, 2004;
[
(g)
] 
(h)
cents per cubic foot of alternate feed material received at a radioactive
waste facility for disposal or reprocessing; and
[
(h)
] 
(i)
cents per cubic foot of byproduct material received at a radioactive waste
facility for disposal.
(3) For purposes of the tax imposed by this section, a fraction of a cubic foot is
considered to be a full cubic foot.
(4) Except as provided in Subsections [
(2)(e) and (2)(f)
] 
(2)(f) and (g)
, the tax imposed
by this section does not apply to radioactive waste containing material classified as hazardous
waste under 40 C.F.R. Part 261.
Section 2. Section 
79-6-602
 is amended to read:
79-6-602.
Definitions.
As used in this part:
(1) "Applicant" means a person that conducts business in the state and that applies for a
tax credit under this part.
(2) "Energy delivery project" means a project that is designed to:
(a) increase the capacity for the delivery of energy to a user of energy inside or outside
the state; or
(b) increase the capability of an existing energy delivery system or related facility to
deliver energy to a user of energy inside or outside the state.
(3) "Fuel standard compliance project" means a project designed to retrofit a fuel
refinery in order to make the refinery capable of producing fuel that complies with the United
States Environmental Protection Agency's Tier 3 gasoline sulfur standard described in 40
C.F.R. Sec. 79.54.
(4) "High cost infrastructure project" means a project, including an energy delivery
project or a fuel standard compliance project:
(a) (i) that expands or creates new industrial, mining, manufacturing, or agriculture
activity in the state, not including a retail business;
(ii) that involves new investment of at least $50,000,000 in an existing industrial,
mining, manufacturing, or agriculture entity, by the entity; or
(iii) for the construction of a plant or other facility for the storage or production of fuel
used for transportation, electricity generation, or industrial use;
(b) that requires or is directly facilitated by infrastructure construction; and
(c) for which the cost of infrastructure construction to the entity creating the project is
greater than:
(i) 10% of the total cost of the project; or
(ii) $10,000,000.
(5) "Infrastructure" means:
(a) an energy delivery project;
(b) a railroad as defined in Section 
54-2-1
;
(c) a fuel standard compliance project;
(d) a road improvement project;
(e) a water self-supply project;
(f) a water removal system project;
(g) a solution-mined subsurface salt cavern;
(h) a project that is designed to:
(i) increase the capacity for water delivery to a water user in the state; or
(ii) increase the capability of an existing water delivery system or related facility to
deliver water to a water user in the state; or
(i) an underground mine infrastructure project.
(6) (a) "Infrastructure cost-burdened entity" means an applicant that enters into an
agreement with the office that qualifies the applicant to receive a tax credit as provided in this
part.
(b) "Infrastructure cost-burdened entity" includes a pass-through entity taxpayer, as
defined in Section 
59-10-1402
, of a person described in Subsection (6)(a).
(7) "Infrastructure-related revenue" means an amount of tax revenue, for an entity
creating a high cost infrastructure project, in a taxable year, that is directly attributable to a high
cost infrastructure project, under:
(a) Title 59, Chapter 5, Part 1, Oil and Gas Severance Tax;
(b) Title 59, Chapter 5, Part 2, Mining Severance Tax;
(c) Title 59, Chapter 7, Corporate Franchise and Income Taxes;
(d) Title 59, Chapter 10, Individual Income Tax Act; [
and
]
(e) Title 59, Chapter 12, Sales and Use Tax Act[
.
]
; and
(f) Title 59, Chapter 24, Radioactive Waste Facility Tax Act.
(8) "Office" means the Office of Energy Development created in Section 
79-6-401
.
(9) "Tax credit" means a tax credit under Section 
59-7-619
 or 
59-10-1034
.
(10) "Tax credit certificate" means a certificate issued by the office to an infrastructure
cost-burdened entity that:
(a) lists the name of the infrastructure cost-burdened entity;
(b) lists the infrastructure cost-burdened entity's taxpayer identification number;
(c) lists, for a taxable year, the amount of the tax credit authorized for the infrastructure
cost-burdened entity under this part; and
(d) includes other information as determined by the office.
(11) (a) "Underground mine infrastructure project" means a project that:
(i) is designed to create permanent underground infrastructure to facilitate underground
mining operations; and
(ii) services multiple levels or areas of an underground mine or multiple underground
mines.
(b) "Underground mine infrastructure project" includes:
(i) an underground access or a haulage road, entry, ramp, or decline;
(ii) a vertical or incline mine shaft;
(iii) a ventilation shaft or an air course; or
(iv) a conveyor or a truck haulageway.
Section 3. 
Effective date.
This bill takes effect on May 1, 2024.