7-52-309 - Distribution by private act or home rule or metropolitan government charter. - Tennessee Statutes

7-52-309. Distribution by private act or home rule or metropolitan government charter.

Notwithstanding the provisions of § 7-52-307, in the event any tax equivalent distribution provisions of any private act, home rule or metropolitan government charter direct that the tax equivalent amount to be distributed to each taxing district is to be an amount arrived at by applying the current ad valorem tax rate in that district to the depreciated original cost of the electric system's tangible property, including materials and supplies, used or usable in electric operations in that district, such distribution provisions, which are subject to the provisions of § 7-52-304(5), shall continue in effect until such time as the provisions of § 7-52-304(5) cease to be applicable, and shall then be repealed. Thereafter, in the absence of any contract as provided in § 7-52-306, the municipality shall allocate the total tax equivalent paid for each fiscal year, to each taxing jurisdiction, in proportion to the ratio of:

     (1)  The value arrived at by adding the net plant value of the electric plant and the book value of materials and supplies within the boundaries of such taxing jurisdiction and multiplying that sum by the equalized property tax rate of such taxing jurisdiction; to

     (2)  The total of such values calculated for all taxing jurisdictions, and make such reductions as may be required under § 7-52-304(3) and (4).

[Acts 1987, ch. 84, § 10.]