[§39A-296]  Exemption from taxation ofdepartment property.  All revenues derived by the department from anyproject or under the project agreement pertaining to it shall be exempt fromall state, county, and municipal taxation.  Any right, title, and interest ofthe department in any project shall also be exempt from all state, county, andmunicipal taxation.

Except as otherwise provided by law, theinterest of the project party or user of a project under the project agreementor related agreement shall not be exempt from taxation to a greater extent thanit would be if the costs of the project were directly financed by the projectparty or other user. [L 2006, c 102, pt of §2]