Louisiana Tax Commission hears industry and assessor rebuttals on proposed personal-property rule changes

The Louisiana Tax Commission on Aug. 20 heard rebuttals from oil-and-gas, chemical and assessor representatives over proposed changes to personal-property rules, with speakers disputing proposed valuation formulas, table deletions and requirements for staff worksheets.

The hearing at the Louisiana State Capitol drew representatives of the Louisiana Mid-Continent Oil and Gas Association and the Louisiana Association of Business and Industry, the Louisiana Chemical Association, representatives of taxpayers such as Westlake, appraisal consultants for the Louisiana Assessors Association, parish assessors and industry vendors. No rule adoptions occurred; the commission set a tentative next hearing date of Sept. 24, 2025, to consider adoption.

Why it matters: the proposed changes affect how assessors and taxpayers calculate and appeal taxable value for broad categories of personal property — pipelines, watercraft, business assets and public-service property — and could change what documentation is required and how uniform values are derived.

Most contentious issues at the hearing included a proposed “in‑utility” throughput formula for pipelines; requests to remove or retain language and tables that guide assessors on composite multipliers and percent good; new or clarified vessel valuation tables for shale hopper barges; and proposals about the timing and exchange of worksheets and appraisal evidence in public-service property valuations and appeals.

On several chapters, industry groups argued for retaining tables and practical tools for assessors, saying the tables provide useful reminders and practical starting points. Louisiana Mid‑Continent Oil and Gas Association and the Louisiana Association of Business and Industry (represented by Bob Adair) said certain proposed deletions were unnecessary and opposed some specific additions. The Louisiana Chemical Association (Patrick Riley) filed detailed written comments and offered to answer questions.

Appraisal consultant Rodney Couritt, representing the Louisiana Assessors Association, focused on chapter 13 (pipelines), opposing a commission‑promulgated in‑utility throughput formula on the grounds that assessors cannot reliably verify throughput or capacity figures provided by taxpayers, that the formula is a proxy that does not directly measure economic performance, and that a strict formula could misvalue new or idled pipelines. Couritt cited prior rule history: an in‑utility schedule existed prior to tax year 2009, and the Tax Commission removed that schedule beginning tax year 02/2009.

On watercraft (chapter 7), Lafourche Parish Assessor Wendy Thibodeaux presented new cost figures for shale hopper barges derived from three brokers’ price estimates (a middle average), and asked that the table be added in addition to existing hopper categories. A MarMac representative (Craig Brewer) said manufacturers’ data suggest some proposed sizes are not present in Louisiana and that Thibodeaux’s proposed costs appeared about 50% higher than a manufacturer estimate for a comparable new barge; he said industry and assessors should coordinate a joint proposal.

On chapter 25 (general business assets) and chapter 3 (classification and multipliers), industry representatives urged preserving a catch‑all provision that allows taxpayers to present evidence for assets that do not fit neatly in tables, warning that deleting such language would reduce tools available to reach fair market value. On chapter 29 (public-service properties), industry speakers deferred timing and staffing questions to Tax Commission staff but objected to any rule that would require LTC staff to provide worksheets to assessors as a mandatory obligation.

On chapter 31 (public exposure of assessments and appeals), taxpayer counsel Jay Adams (Jones Walker, representing Westlake and other taxpayers) and industry representatives objected to proposals they said would limit the commission’s constitutional authority and reduce predictability when evidence or appraisals are excluded for late submission. They urged that statutory language governing appraisals remain operative and that any regulatory changes not dilute taxpayers’ and assessors’ ability to present evidence.

Commissioners thanked participants for written submissions and testimony, noted the technical and legal nature of many comments, and said staff will consider the rebuttals before the tentative Sept. 24 meeting. The commission adjourned at 9:35 a.m.

The record shows no formal votes on rule changes during the Aug. 20 session; the only formal motion recorded was to adjourn.