§ 42-99-16. Tax exemption.
(a) Any bonds, notes or other obligations issued by the corporation under the provisions
of this chapter, their transfer, and the income therefrom (including any profits made
on the sale thereof), shall at all times be free from taxation by the state or any
political subdivision or other instrumentality of the state, excepting estate taxes.
(b) The exercise of the powers granted by this chapter will be in all respects for the
benefit of the people of this state, the increase of their commerce, welfare, and
prosperity and for the improvement of their health and living conditions an
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§ 42-99-16. Tax exemption.
(a) Any bonds, notes or other obligations issued by the corporation under the provisions
of this chapter, their transfer, and the income therefrom (including any profits made
on the sale thereof), shall at all times be free from taxation by the state or any
political subdivision or other instrumentality of the state, excepting estate taxes.
(b) The exercise of the powers granted by this chapter will be in all respects for the
benefit of the people of this state, the increase of their commerce, welfare, and
prosperity and for the improvement of their health and living conditions and will
constitute the performance of an essential governmental function, and the corporation
shall not be required to pay any real and personal property taxes or assessments upon
or in respect of the convention center, civic center, and public garage portion of
the project, levied by the municipality or any other political subdivision of the
state; provided, that the corporation shall make payments in lieu of real and personal
property taxes and assessments to the municipality and any other political subdivisions
with respect to the hotel, and office building portion of the project owned by the
corporation and located in the municipality and any other political subdivisions during
the times that the corporation derives revenue from the lease or operation of the
hotel, and office building portion of the project. Those payments in lieu of taxes
shall be in amounts agreed upon by the corporation and the municipality and any other
political subdivisions. Failing that agreement, the amounts of those payments in lieu
of taxes shall be determined by the corporation using a formula that shall reasonably
ensure that those amounts approximate the average amount of real and personal property
taxes due throughout the municipality or political subdivision with respect to facilities
of a similar nature and size. In addition, the corporation shall not be required to
pay any payments to the municipality and any other political subdivisions in the manner
of a public safety payment for such services rendered to the corporation by the municipality
and such subdivisions to the civic center; provided, nothing herein shall preclude
the municipality and any other political subdivision from charging for contracted
public safety services for events at the civic center.