"      Section 17. That § 10-52-2 be amended to read as follows:

     10-52-2.   Any incorporated municipality within this state may impose any non-ad valorem tax in accordance with the provisions of this chapter, except upon fuel used for motor vehicles, by ordinance enacted by its local governing board. However, no tax may be levied on the sale, use, storage and consumption of items taxed under chapters 10-45 and 10-46, unless such tax conforms in all respects to the state tax on such items with the exception of the rate, and the rate levied does not exceed two and fifteen-hundredths percent. ".

"      Section 17. There is hereby created in the state treasury the tribal sales tax replacement fund. The state treasurer shall annually transfer to the tribal sales tax replacement fund the sum of six hundred thousand dollars from the general fund in fiscal year 2010. Each fiscal year thereafter, the amount transferred to the tribal sales tax replacement fund shall be increased or decreased by the index factor. For the purposes of this section, the index factor is the annual percentage change in the total state sales and use tax collections.

     Section 18. The secretary shall distribute to each Indian tribe that has entered into a tax collection agreement that covers sales and use tax an amount equal to the money deposited in the tribal sales tax replacement fund times the ratio of the sales and use tax remitted to the Indian tribe in the previous state fiscal year to the total amount of sales and use tax remitted to all Indian tribes in the previous state fiscal year. The secretary shall make distributions from the tribal sales tax replacement fund each March, June, September, and December. The secretary shall approve vouchers and the state auditor shall draw warrants to pay each Indian tribe its share of the distribution.".

     13-13-72.1.   Any adjustments in the levies specified in § 10-12-42 made pursuant to §§ 13-13-71 and 13-13-72 shall be based on maintaining the relationship between statewide local effort as a percentage of statewide local need in the fiscal year succeeding the fiscal year in which the adjustment is made. Any adjustment to the levy for agricultural property shall be based upon the change in the statewide agricultural taxable valuation. Any adjustment to the levies for nonagricultural property and owner-occupied single-family dwellings shall be based upon the change in the statewide nonagricultural property and owner-occupied single-family dwellings taxable valuations. However, if any new project with a total taxable valuation of two hundred fifty million dollars or more is constructed, the levies shall be proportionately decreased for agricultural property, nonagricultural property, and owner-occupied single-family dwellings. In addition to the adjustments in the levies provided by this section, the levies shall also be annually adjusted as necessary to reduce the portion of local need paid by local effort by an amount equal to nine million dollars from those funds transferred into the property tax reduction fund pursuant to § 10-50-52 subsequent to July 1, 2007. In addition to the adjustments in the levies provided by this section, the levies for nonagricultural property and owner-occupied single-family dwellings shall also be adjusted as necessary to account for the additional increase in the total assessed value for nonagricultural property and owner-occupied single-family dwellings pursuant to the phasing out and repeal of the provisions provided in § 10-6-74. "

Lois Henry