MISSISSIPPI LEGISLATURE

1999 Regular Session

To: Constitution

By: Representative Dedeaux

A CONCURRENT RESOLUTION PROPOSING TO CREATE NEW SECTION 112A AND TO AMEND SECTION 112, MISSISSIPPI CONSTITUTION OF 1890, TO PROVIDE FOR AN ANNUAL ASSESSMENT ON CERTAIN NONPRODUCING MINERAL ESTATES; TO PROVIDE THAT FAILURE TO PAY THE ASSESSMENT SHALL RESULT IN THE REVERSION OF THE TITLE AND INTEREST IN THE MINERAL ESTATE TO THE STATE OF MISSISSIPPI; TO PROVIDE FOR THE REDEMPTION OF THE MINERAL ESTATE; AND FOR RELATED PURPOSES.

BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI, That the following amendments to the Mississippi Constitution of 1890 are proposed to the qualified electors of the state:

I.

Create new Section 112A, Mississippi Constitution of 1890, to read as follows:

"Section 112A. An assessment shall be collected annually by the county on each nonproducing mineral estate located within the county that is owned by any person, firm, partnership, association or corporation other than the owner of the surface rights of the land. If the nonproducing mineral estate extends into more than one (1) county, the annual assessment shall be collected by each county wherein the nonproducing mineral estate is located. The amount of the assessment shall be set by the Legislature by general law.

If the owner of the nonproducing mineral estate, other than the owner of the land, fails or refuses to pay the assessment and after the due process procedure set by the Legislature by general law has been completed, the title and interest in the nonproducing mineral estate shall revert to the State of Mississippi. The owner of such mineral estate may redeem his property in the manner provided by the Legislature by general law. If the owner of the nonproducing mineral estate does not redeem the mineral estate, the owner or owners of the surface estate wherein the mineral estate lies may redeem the nonproducing mineral estate in the manner provided by the Legislature by general law.

The Legislature shall institute legislation providing for the implementation of the assessment, the due process procedure and the method of redemption authorized by this section."

II.

Amend Section 112, Mississippi Constitution of 1890, to read as follows:

"Section 112. Taxation shall be uniform and equal throughout the state. All property not exempt from ad valorem taxation shall be taxed at its assessed value; however, nothing in this section shall require a value on mineral estates. Property shall be assessed for taxes under general laws, and by uniform rules, and in proportion to its true value according to the classes defined herein. The Legislature may, by general laws, exempt particular species of property from taxation, in whole or in part.

The Legislature shall provide, by general laws, the method by which the true value of taxable property shall be ascertained; provided, however, in arriving at the true value of Class I and Class II property, the appraisal shall be made according to current use, regardless of location. The Legislature may provide for a special mode of valuation and assessment for railroads, and railroad and other corporate property, or for particular species of property belonging to persons, corporations or associations not situated wholly in one (1) county. All such property shall be assessed in proportion to its value according to its class, and no county, or other taxing authority, shall be denied the right to levy county and/or special taxes upon such assessment as in other cases of property situated and assessed in the county, except that the Legislature, by general law, may deny or limit a county or other taxing authority the right to levy county and/or special taxes on nuclear-powered electrical generating plants. In addition to or in lieu of any such county and/or special taxes on nuclear-powered electrical generating plants, the Legislature, by general law enacted by a majority vote of the members of each house present and voting, may provide for a special mode of valuation, assessment and levy upon nuclear-powered electrical generating plants and provide for the distribution of the revenue derived therefrom. The Legislature may provide a special mode of assessment, fixing the taxable year, date of the tax lien, and method and date of assessing and collecting taxes on all motor vehicles.

The assessed value of property shall be a percentage of its true value, which shall be known as its assessment ratio. The assessment ratio on each class of property as defined herein shall be uniform throughout the state upon the same class of property, provided that the assessment ratio of any one (1) class of property shall not be more than three (3) times the assessment ratio on any other class of property. For purposes of assessment for ad valorem taxes, taxable property shall be divided into five (5) classes and shall be assessed at a percentage of its true value as follows:

Class I. Single-family, owner-occupied, residential real property, at ten percent (10%) of true value.

Class II. All other real property, except for real property included in Class I or IV, at fifteen percent (15%) of true value.

Class III. Personal property, except for motor vehicles and for personal property included in Class IV, at fifteen percent (15%) of true value.

Class IV. Public utility property, which is property owned or used by public service corporations required by general laws to be appraised and assessed by the state or the county, excluding railroad and airline property and motor vehicles, at thirty percent (30%) of true value.

Class V. Motor vehicles, at thirty percent (30%) of true value.

The Legislature may, by general law, establish acreage limitations on Class I property."

BE IT FURTHER RESOLVED, That these proposed amendments shall be submitted by the Secretary of State to the qualified electors at an election to be held on the first Tuesday after the first Monday of November 1999, as provided by Section 273 of the Constitution and by general law, with the amendments in this resolution being voted on as one (1) amendment since the proposed amendments pertain to one (1) subject.

BE IT FURTHER RESOLVED, That the explanation of this proposed amendment for the ballot shall read as follows: "This proposed constitutional amendment authorizes an annual assessment on each nonproducing mineral estate that is owned by someone other than the owner of the surface estate; provides that failure to pay the assessment shall result in the reversion of the title and interest in the mineral estate to the State of Mississippi; and provides that if the owner of the mineral estate does not redeem the property, the owner of the surface estate may redeem the mineral estate.