SPONSOR: Hausman
COMMITTEE ACTION: Voted "Do Pass with HCS" by the Standing Committee on Ways and Means by a vote of 6 to 3. Voted "Do Pass" by the Standing Committee on Rules-Legislative by a vote of 7 to 2 with 1 member voting present.
The following is a summary of the House Committee Substitute for HB 1892.
Beginning January 1, 2027, the provisions of current law relating to depreciable tangible personal property will apply to all real property, placed in service at any time, that is stationary property used for transportation or storage of liquid and gaseous products, including water, sewage, and natural gas that is not propane or LP gas, but not including petroleum products.
The county assessor must estimate the value of the stationary property by applying the 20-year depreciation table provided in the bill to the original cost of the property.
Taxpayers who own such stationary property must provide the assessor, on or before May 1 of the applicable tax years, with the original cost and the year placed in service. The information will be summarized in a format specified in the bill. Upon request by a taxpayer, the assessor will provide the taxpayer with certain information specified in the bill.
This bill is similar to HB 531 (2025).
The following is a summary of the public testimony from the committee hearing. The testimony was based on the introduced version of the bill.
PROPONENTS: Supporters say that the bill will provide clarity for assessors and predictability for taxpayers. Currently, most counties depreciate pipelines on a 20-year schedule, and only a few counties do so on a different schedule. Supporters say this bill will provide consistency across counties.
Testifying in person for the bill were Representative Hausman; Associated Industries of Missouri; Summit Utilities, Inc.; Empire District Liberty Utilities Central; Missouri American Water; Missouri Chamber of Commerce and Industry; Missouri Natural Gas Association; Spire Inc.; and Missouri Energy Development Association.
OPPONENTS: Those who oppose the bill say that the bill will cause counties to lose substantial revenue. Those in opposition also state that the bill is based on a form from the State Tax Commission from 2014 that uses a 20-year depreciation schedule. However, that form has since then been revised to reflect a 50- year depreciation schedule.
Testifying in person against the bill were Kenny Mohr, Missouri State Assessor's Association; Jeff Porter, Missouri State Assessor's Association.
Written testimony has been submitted for this bill. The full written testimony and witnesses testifying online can be found under Testimony on the bill page on the House website.
Statutes affected: