HB 1277

The Nuclear In Lieu Tax Distribution Equity Act revises how Mississippi distributes tax payments from the Grand Gulf Nuclear Power Plant to ensure fairer allocation among affected communities, with priority given to Claiborne County where the plant is located and where residents bear associated environmental and safety risks. Currently, the nuclear facility pays an annual in-lieu tax (instead of regular property taxes) of at least $20 million to the state, which is then distributed according to a fixed formula; this bill requires the Department of Revenue to adjust the allocation formula annually based on economic impact studies and environmental risk factors to better reflect the actual burdens on host communities. The bill also mandates annual reporting on revenues collected and distributed, and is set to expire on July 1, 2031, requiring the legislature to reauthorize it if continued. This change aims to ensure that communities hosting nuclear power plants receive equitable compensation for the risks and economic impacts they experience.