42-12006

42-12006. Class six property

For purposes of taxation, class six is established consisting of:

1. Noncommercial historic property as defined in section 42-12101 and valued at
full cash value.

2. Real and personal property that is located within the area of a foreign trade
zone or subzone established under 19 United States Code section 81 and title 44, chapter
18, that is activated for foreign trade zone use by the district director of the United
States customs service pursuant to 19 Code of Federal Regulations section 146.6 and that
is valued at full cash value. Property that is classified under this paragraph shall not
thereafter be classified under paragraph 7 of this section.

3. Real and personal property and improvements that are located in a military reuse
zone that is established under title 41, chapter 10, article 3 and that is devoted to
providing aviation or aerospace services or to manufacturing, assembling or fabricating
aviation or aerospace products, valued at full cash value and subject to the following
terms and conditions:

(a) Property may not be classified under this paragraph for more than five tax
years.

(b) Any new addition or improvement to property already classified under this
paragraph qualifies separately for classification under this paragraph for not more than
five tax years.

(c) If a military reuse zone is terminated, the property in that zone that was
previously classified under this paragraph shall be reclassified as prescribed by this
article.

(d) Property that is classified under this paragraph shall not thereafter be
classified under paragraph 4 or 7 of this section.

4. Real and personal property and improvements that are located in an enterprise
zone, that are owned or used by a small manufacturing or small commercial printing
business that is certified by the department of commerce pursuant to section 41-1525.01
and that are valued at full cash value, subject to the following terms and conditions:

(a) Property may not be classified under this paragraph for more than five tax
years.

(b) Property that is classified under this paragraph shall not thereafter be
classified under paragraph 3 or 7 of this section.

5. Real and personal property and improvements or a portion of such property
comprising a qualified environmental technology manufacturing, producing or processing
facility as described in section 41-1514.02, valued at full cash value and subject to the
following terms and conditions:

(a) Property shall be classified under this paragraph for twenty tax years from the
date placed in service.

(b) Any addition or improvement to property already classified under this paragraph
qualifies separately for classification under this subdivision for an additional twenty
tax years from the date placed in service.

(c) After revocation of certification under section 41-1514.02, property that was
previously classified under this paragraph shall be reclassified as prescribed by this
article.

(d) Property that is classified under this paragraph shall not thereafter be
classified under paragraph 7 of this section.

6. That portion of real and personal property that is used on or after January 1,
1999 specifically and solely for remediation of the environment by an action that has
been determined to be reasonable and necessary to respond to the release or threatened
release of a hazardous substance by the department of environmental quality pursuant to
section 49-282.06 or pursuant to its corrective action authority under rules adopted
pursuant to section 49-922, subsection B, paragraph 4 or by the United States
environmental protection agency pursuant to the national contingency plan (40 Code of
Federal Regulations part 300) and that is valued at full cash value. Property that is not
being used specifically and solely for the remediation objectives described in this
paragraph shall not be classified under this paragraph. For the purposes of this
paragraph, "remediation of the environment" means one or more of the following actions:

(a) Monitoring, assessing or evaluating the release or threatened release.

(b) Excavating, removing, transporting, treating and disposing of contaminated
soil.

(c) Pumping and treating contaminated water.

(d) Treatment, containment or removal of contaminants in groundwater or soil.

7. Real and personal property and improvements constructed or installed from and
after December 31, 2004 through December 31, 2010 and owned by a qualified business under
section 41-1516 and used solely for the purpose of harvesting, transporting or the
initial processing of qualifying forest products removed from qualifying projects as
defined in section 41-1516. The classification under this paragraph is subject to the
following terms and conditions:

(a) Property may be initially classified under this paragraph only in valuation
years 2005 through 2010.

(b) Property may not be classified under this paragraph for more than five years.

(c) Any new addition or improvement, constructed or installed from and after
December 31, 2004 through December 31, 2010, to property already classified under this
paragraph qualifies separately for classification and assessment under this paragraph for
not more than five years.

(d) Property that is classified under this paragraph shall not thereafter be
classified under paragraph 2, 3, 4 or 5 of this section.

8. Real and personal property and improvements to the property that are used
specifically and solely to manufacture from and after December 31, 2006 through December
31, 2016 biodiesel fuel that is one hundred per cent biodiesel and its by-products and
that are valued at full cash value. This paragraph applies only to the portion of
property that is used specifically for manufacturing and processing one hundred per cent
biodiesel fuel, or its related by-products, from raw feedstock obtained from off-site
sources, including necessary on-site storage facilities that are intrinsically associated
with the manufacturing process. Any other commercial or industrial use disqualifies the
entire property from classification under this paragraph.

9. Real and personal property and improvements that are certified pursuant to
section 41-1511, subsection C, paragraph 2 and that are used for renewable energy
manufacturing or headquarters operations as provided by section 42-12057. This paragraph
applies only to property that is used in manufacturing and headquarters operations of
renewable energy companies, including necessary on-site research and development, testing
and storage facilities that are associated with the manufacturing process. Up to ten per
cent of the aggregate full cash value of the property may be derived from uses that are
ancillary to and intrinsically associated with the manufacturing process or headquarters
operation. Any additional ancillary property is not qualified for classification under
this paragraph. No new properties may be classified pursuant to this paragraph from and
after December 31, 2014. Classification under this paragraph is limited to the time
periods determined by the department of commerce pursuant to section 41-1511, subsection
C, paragraph 2, subdivision (a) or (b). Property that is classified under this paragraph
shall not thereafter be classified under any other paragraph of this section.