House bill would reclassify power plants as manufacturers, shifting tax treatment and touching Education Trust Fund

Representative Michael Vose introduced House Bill 696 FN on Feb. 11, asking the Science, Technology and Energy Committee to exempt electricity generation facilities from the utility property tax and include them under the statewide education property tax (SWEP), effective Jan. 1, 2027. The bill follows recommendations from a multi‑year property tax commission that recommended treating non‑utility generators as manufacturers for tax purposes.

The bill’s supporters said the change would reduce duplicate assessments and litigation. Representative Vose told the committee the Department of Revenue Administration (DRA) currently assesses generators for utility property tax (UPT) while municipalities separately assess the same facilities for local property tax; those assessments can vary dramatically (he cited Seabrook as an example) and trigger lawsuits that drive costs for municipalities, ratepayers and taxpayers. Pat Abrami and representatives of…