This bill makes changes to the mining excise tax as recommended by the Department of Administrative and Financial Services, Bureau of Revenue Services, Office of Tax Policy, as required by Resolve 2023, chapter 83, section 1 including providing a sales tax exemption for sales to a mining company for use in mining. The bill also:
1. Simplifies the excise tax imposed on a mining company by establishing a formula of the gross proceeds of that mining company multiplied by 0.35 and eliminating credits for payment of certain property taxes and prepayment of taxes;
2. Renames the Mining Oversight Fund the Mining Excise Tax Fund and simplifies the distribution of excise tax revenues by requiring all revenue to be deposited in the Mining Excise Tax Fund, instead of being split between the General Fund, the Mining Excise Tax Trust Fund and the Mining Impact Assistance Fund;
3. Eliminates the Mining Impact Assistance Fund, which is used to provide grants to municipalities, counties and the unorganized territory to offset the loss of property tax revenue and to provide necessary new or additional public facilities and services related to mining; and
4. Requires the Governor to propose uses for the Mining Excise Tax Fund as part of the biennial budget.

Statutes affected:
Bill Text LD 2251, HP 1445: 1.2601, 14.6662, 36.271, 36.2854, 36.2855, 36.2856, 36.2857, 36.2858, 36.2861, 36.2862, 36.2863, 36.2865, 36.2866