West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-01I - Valuation Of Active And Reserve Coal Property For Ad Valorem Property Tax Purposes › Section 110-1I-3 - Definitions

Current through Register Vol. XLI, No. 28, July 12, 2024
As used in this rule, and unless the context clearly requires
				  a different meaning, the following terms have the meaning ascribed in this
				  section:
3.1. "Active acre" means
				mineable acreage of a bed of coal on an active mining property that will be
				extracted within the maximum "life of mining" on the property.
3.2. "Active mining property" means a
				mineable bed of coal on a property or portion of a property involved in a
				mining operation. Each and every bed of coal being mined in a permitted mining
				operation is a separate active mining property.
3.3. "Adjusted property value" means the sum
				of the adjusted individual coal bed values contained within a
				property.
3.4. "Adjusted individual
				coal bed value" means the individual coal bed index for each coal bed on a
				property, multiplied by the aggregate ratio.
3.5. "Aggregate value" means the total value
				of in-place mineable coal in the State.
3.6. "Aggregate active value" means the total
				value of active acres on an active mining property in the State on the November
				15th next succeeding the July
				1st assessment date.
3.7. "Aggregate ratio" means aggregate
				reserve value divided by the aggregate reserve index.
3.8. "Aggregate reserve value" means the
				aggregate value less the aggregate active value.
3.9. "Aggregate reserve index" means the sum
				of products of the individual property calculations as determined by the
				reserve coal valuation model (RCVM).
3.10. "Annual acres mined" means the annual
				production (as defined in this Section 3) divided by the product of the average
				thickness in feet of the coal bed being mined (as detailed in annual mining
				reports), multiplied by eighteen hundred (1800) tons per acre-foot coal
				density, multiplied by the clean coal recovery rate (either run-of-mine or
				washed). Appendix A, Formula 1, of this rule is the formula used for
				calculating annual acres mined.
3.11. "Annual production" means the
				production of coal from mining operations as reported by coal bed and by mine.
3.11.1. Annual production, for active mining
				valuation purposes, means the arithmetic mean of the annual rate of coal
				production of three (3) years' production for the three most recent calendar
				years preceding the July 1st assessment date. If production during any of the
				three (3) years occurred during a period of less than eleven (11) months, the
				production shall be annualized before an annual production is
				calculated.
3.11.2. Annual
				production, for purposes of determining the aggregate value, means the
				arithmetic mean of the last three calendar years of the total tons of coal
				mined in West Virginia, as reported to the Office of Miners' Health, Safety,
				and Training, adjusted for coal actually mined from other states but produced
				through portals located in West Virginia.