Des Moines, Iowa (RI) — A bill that would tax the liquid carbon dioxide flowing through a proposed pipeline has cleared an Iowa Senate committee, although lawmakers who advanced the bill say they’ll work on the mechanics of how the state tax would be assessed.
Senator Dan Dawson, a Republican from Council Bluffs, says he’s interested in having the state collect taxes from the project.
Jake Ketzner, a lobbyist for Summit Carbon Solutions — the pipeline developer, says the company opposes the bill.
Dawson, the chairman of the Senate Ways and Means Committee, questions why Summit should get a special “carve out” after telling the Iowa Utilities Commission its project is a benefit to the public.
Pipeline critics urged legislators to focus instead on a different bill focused on eminent domain, to protect the property rights of landowners who don’t want the pipeline on their farms.
Kathy Carter owns land in Floyd County that’s along the proposed pipeline route.
Julie Glade, a Wright County landowner, also testified during the Senate subcommittee hearing.
The bill is sponsored by Senate Majority Leader Mike Klimesh. It would set two tax rates, one for carbon that’s eventually used to extract oil from underground reserves and a higher rate for liquid carbon directed to other uses.
KIWA Staff Photo
