HB 572-FN-LOCAL - AS INTRODUCED

2015 SESSION

15-0034

09/10

HOUSE BILL 572-FN-LOCAL

AN ACT relative to taking land by eminent domain for high pressure gas pipelines and requiring payment of the land use change tax when land is taken by eminent domain to build energy infrastructure.

SPONSORS: Rep. J. Belanger, Hills 27; Rep. Frazer, Merr 13; Rep. Gardner, Straf 15; Rep. Edelblut, Hills 38; Rep. Coffey, Hills 25; Rep. Rappaport, Coos 1; Rep. Itse, Rock 10; Rep. D. McGuire, Merr 21; Rep. Grenier, Sull 7; Sen. Reagan, Dist 17

COMMITTEE: Municipal and County Government

ANALYSIS

This bill allows a residential owner option when land is taken by a utility for a high pressure gas pipeline and requires payment of the land use change tax when land is taken by eminent domain to build energy infrastructure.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

15-0034

09/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Fifteen

AN ACT relative to taking land by eminent domain for high pressure gas pipelines and requiring payment of the land use change tax when land is taken by eminent domain to build energy infrastructure.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Eminent Domain; Residential Owner Option. Amend RSA 371:5-a, I to read as follows:

I. When private real property which is used for residential purposes is proposed to be acquired in part for the construction of an above ground substation, high pressure gas pipeline, or transmission line, the owners of the residential property shall have the option to require the utility to condemn and take in fee the entire tract of land impacted by the proposed partial taking including all buildings and improvements thereon if all owners, excluding lien holders and mortgagees, of the private real property make such an election and provide the commission and the utility with written notice of their election within 30 days after receipt of the notice under RSA 371:4. If the utility acquires the entire tract of land with buildings and improvements thereon pursuant to this section or by agreement with the owners, the entire acquisition shall be deemed to be an acquisition for a public purpose and for use in the utility’s business.

2 New Subparagraph; Land Use Change Tax. Amend RSA 79-A:7, IV by inserting after subparagraph (c) the following new subparagraph:

(d) Land is taken under eminent domain to build energy infrastructure which will result in revenue for the public utility. Notwithstanding subparagraph VI(a), the owner or responsible party shall pay the land use change tax on all land under current use affected by its disturbance, whether permanent or temporary. If used by a public utility for this purpose, the area damaged from stockpiling earth during construction shall be restored to its original condition upon the completion of construction.

3 Effective Date. This act shall take effect January 1, 2016.

LBAO

15-0034

01/26/15

HB 572-FN-LOCAL - FISCAL NOTE

AN ACT relative to taking land by eminent domain for high pressure gas pipelines and requiring payment of the land use change tax when land is taken by eminent domain to build energy infrastructure.

FISCAL IMPACT:

The Department of Revenue Administration states this bill, as introduced, may increase local expenditures by an indeterminable amount in FY 2016 and each year thereafter. There will be no impact on county and local expenditures, or state, county, and local revenue.

METHODOLOGY:

The Department of Revenue Administration states this bill provides for the expansion of events that will trigger the land use change tax. The Department states that while this expansion may increase land use change tax revenue in certain communities, this change will have no impact on the total amount of revenue collected, as it will merely shift the tax burden within those municipalities. The Department states affected municipalities may experience an increase in expenditures related to administration of the tax.