Keystone Pipeline

[Mavric]

That would be a minimal increase in employment for maintenance but would be a very nice load addition for the local electric utility. Those stations are very low maintenance but high revenue which would be a big help to small rural electric utilities.

That's true . . . but I don't know if that is going to be particularly convincing to the landowners whose property will be seized.

 

But the biggest boost to Nebraska would be the property taxes the pipeline would have to pay.

Do you know how that works in Nebraska? I'm roughly familiar with how property taxes on pipelines are assessed in Alaska but I don't know if Nebraska is similar.

Your first point - no. You just asked for benefits to Nebraska.

 

Your second point - yes, they do pay property tax. Or, at least I should say that is the case with the Rockies Express pipeline that was put in a few years ago. Unless there is some sort of different rules for different types but I wouldn't think so.

[Mavric]

Here's a Kearney Hub article about the Rockies Express pipeline. They paid about $12.9M in property tax in 2010.

[Mavric]

And here's an article - admittadly from TransCanada - about the pipeline:

 

In Saline County, Neb., the extra tax revenue from TransCanada’s existing Keystone Pipeline was used to repay $4 million used to build a new school. Saline County Board of Supervisors Chairman Willis Luedke said additional revenues from Keystone XL would go to funding the construction of a bridge over the Big Blue River.

 

A Nebraska-based policy study entitled “Why Nebraska Counties Benefit” by the Platte Institute for Economic Research found that Keystone XL will have a substantial tax impact, generating $134.6 million in state and local levies in Nebraska alone:

• $58.6 million in property taxes
  
• $39.1 million in sales taxes
  
• $20.1 million in individual income taxes
  
• $3.3 million in corporate taxes
  

[carlfense]

Your first point - no. You just asked for benefits to Nebraska.

. . . which was part of the eminent domain discussion, right?

 

Your second point - yes, they do pay property tax. Or, at least I should say that is the case with the Rockies Express pipeline that was put in a few years ago. Unless there is some sort of different rules for different types but I wouldn't think so.

I don't know . . . tax law isn't my forte.

 

I said either in this thread or the other KXL thread that if (and most probably when) this pipeline is built TransCanada should pay a flat rate per barrel of oil transported across US soil. Place that money up to a certain amount into a trust for the inevitable mishaps and use every dollar above that cap to reduce the deficit. $.25 per barrel wouldn't break them, would it?

[carlfense]

And here's an article - admittadly from TransCanada - about the pipeline:

Enough said.

[Stumpy1]

Your first point - no. You just asked for benefits to Nebraska.

. . . which was part of the eminent domain discussion, right?

 

Your second point - yes, they do pay property tax. Or, at least I should say that is the case with the Rockies Express pipeline that was put in a few years ago. Unless there is some sort of different rules for different types but I wouldn't think so.

I don't know . . . tax law isn't my forte.

 

I said either in this thread or the other KXL thread that if (and most probably when) this pipeline is built TransCanada should pay a flat rate per barrel of oil transported across US soil. Place that money up to a certain amount into a trust for the inevitable mishaps and use every dollar above that cap to reduce the deficit. $.25 per barrel wouldn't break them, would it?

That is what insurance is for...Most leaks on pipelines are because people do not call Digger Hotlines before they start working. I have no issues with the pipeline being built because I work in the industry and see everyday what things we must do to meet indusrty, DOT, EPA, NDEQ and many other agencies standards just for our pipelines to run. Not only will the state benefit in taxes received but other utility companies will benefit from the pipeline.

[carlfense]

That is what insurance is for...

Whose insurance? And which beneficiary are you referring to?

 

Most leaks on pipelines are because people do not call Digger Hotlines before they start working.

Most, eh?

[Stumpy1]

That is what insurance is for...

Whose insurance? And which beneficiary are you referring to?

 

Most leaks on pipelines are because people do not call Digger Hotlines before they start working.

Most, eh?

The answer to the first part is Keystone would carry the insurance and the benefeciaries would be the owners of the oil, the land and what ever other expenses from the damage that might occur. You may think that they would get off scott free from paying but you are solely mistaking on that part.

 

Yes, most...

[Stumpy1]

Like I said Carl, I am pretty bias because of the type of work I do and i have a really good understanding of how it all works. I do see your concerns and they are very valid and many have the right to think that way.

[carlfense]

The answer to the first part is Keystone would carry the insurance and the benefeciaries would be the owners of the oil, the land and what ever other expenses from the damage that might occur. You may think that they would get off scott free from paying but you are solely mistaking on that part.

What about the owners of the land surrounding TransCanada's pipeline? What about the water? I do know a little about insurance companies . . . and they're not in it to help anyone.

[BigRedBuster]

What compensation does the land owner now have for the inconvenience (very mild word for it) of not being able to simply dig a post hole on his own land without the fear of causing a major environmental catastrophe?

 

The other day I saw an ad on TV claiming this oil isn't for export. About made me puke.

[Stumpy1]

What compensation does the land owner now have for the inconvenience (very mild word for it) of not being able to simply dig a post hole on his own land without the fear of causing a major environmental catastrophe?

 

The other day I saw an ad on TV claiming this oil isn't for export. About made me puke.

Why should they get compensation? It is a state law and they are actually looking to make it a federal law through out the US. I am pretty sure they are going to get paid for the land that they lost and yet still be able to access the property but have a little more rules when it comes to it. We own our right aways and yet the people we bought it from still farm it, run cows on it and whatever else they want to do. They just lost the right to build on it or do anything that will jeopardize the pipeline. Do you just go out in your yard and start digging holes without calling in to diggers hotline?

[BigRedBuster]

What compensation does the land owner now have for the inconvenience (very mild word for it) of not being able to simply dig a post hole on his own land without the fear of causing a major environmental catastrophe?

 

The other day I saw an ad on TV claiming this oil isn't for export. About made me puke.

Why should they get compensation? It is a state law and they are actually looking to make it a federal law through out the US. I am pretty sure they are going to get paid for the land that they lost and yet still be able to access the property but have a little more rules when it comes to it. We own our right aways and yet the people we bought it from still farm it, run cows on it and whatever else they want to do. They just lost the right to build on it or do anything that will jeopardize the pipeline. Do you just go out in your yard and start digging holes without calling in to diggers hotline?

If I'm in my yard...no. If I'm in the middle of a pasture in Cherry county with not a house or any other building around for 10 miles and I own the land.....depends on the situation, but for the most part...yes.

 

I was contractor for 15 years and have dealt with these situations a lot. In my business as a contractor, no, you don't start digging anywhere without calling. BUT, there is a big difference between digging around these pipelines and fiber optic than your run of the mill utilities.

[carlfense]

We own our right aways and yet the people we bought it from still farm it, run cows on it and whatever else they want to do.

How wide are your right-of-ways? Not meant to be a loaded question . . . I'm just curious.

[strigori]

And here's an article - admittadly from TransCanada - about the pipeline:

 

In Saline County, Neb., the extra tax revenue from TransCanada’s existing Keystone Pipeline was used to repay $4 million used to build a new school. Saline County Board of Supervisors Chairman Willis Luedke said additional revenues from Keystone XL would go to funding the construction of a bridge over the Big Blue River.

 

A Nebraska-based policy study entitled “Why Nebraska Counties Benefit” by the Platte Institute for Economic Research found that Keystone XL will have a substantial tax impact, generating $134.6 million in state and local levies in Nebraska alone:

• $58.6 million in property taxes
  
• $39.1 million in sales taxes
  
• $20.1 million in individual income taxes
  
• $3.3 million in corporate taxes
  

 

Some of those numbers dont even make sense. Nebraska's top income tax rate is 6.84% $20 million is well north of $285 million is income. Who exactly is making that money? No way are there enough permanent workers in the state from that pipeline to raise that kind of money.