Committee narrows pollution‑control tax exemption to exclude stand‑alone direct air capture facilities

CHEYENNE — The House Revenue Committee on Monday advanced Senate File 61 after adopting language that clarifies the existing pollution‑control property tax exemption will not automatically exempt stand‑alone facilities built solely to capture carbon dioxide from the ambient air.

Senator Cale Case, sponsor of SF 61, told the committee the exemption originally was intended for “bolt‑on” pollution control equipment installed on existing facilities to meet regulatory requirements. He said direct air capture facilities — plants built only to remove CO2 from the atmosphere — could otherwise qualify under current statutory language and avoid paying property taxes despite imposing significant local costs.

The committee adopted an amendment clarifying the exemption does not apply to “facilities constructed for the sole purpose of capturing non‑point‑source carbon dioxide.” The change was described at the hearing as a compromise negotiated with industry groups; proponents said the amendment preserves the exemption for pollution control equipment attached to existing operations but excludes new, stand‑alone carbon capture plants from blanket exemption.

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