case shall the amount of the tax exceed 5% of the taxable rent paid by lessee if the leased
property has improvements and 10% if the property has no improvements.
(c) The tax commission shall recommend for approval of the Tribal Council an appropriate leasehold
tax for all trust lands leased for mining purposes by taxing the value of the possessory interest,
but in no case shall the tax exceed 10% of the value of the possessory interest per year; nor
shall the tax be less than .05% of the value of the possessory interest.
(d) The commission shall compute the value of the possessory interest by either or both of the
following 2 methods:
(1) Fair Market Value Method: The value of the possessory interest may be computed by
comparing the interest to be valued with comparable interests which are sold by willing
sellers to willing buyers, neither of whom are under a compulsion to act.
(2) Present Value of Income to Be Received: The value of the possessory interest may be
computed by capitalizing the value of the gross income to be drawn from the ore body
and subtracting from it the capitalized value of the reasonable expenses to be incurred.
Such capitalization shall be done for the life of the possessory interest in question.
(e) However, if the ore body is being mined during all or part of any taxable year, a leasehold
interest tax shall not be assessed for that year or portion of that year during which a severance
tax was assessed in conformity with Section 26-9.01 et. seq.
(f) Before any of the above taxes are established, notice of hearing shall be provided to all affected
persons at the hearing and persons affected and interested persons shall have the right to
present testimony.
Section 26-17 Severance Tax
26-17.01 Severance Tax Imposed. There is levied and shall be collected a severance tax from every person
who mines or extracts U308 from trust lands of the Spokane Tribe, whether Tribally or individually owned,
and wheresoever located.
26-17.03 Exempt Persons.
(a) This section shall not apply to the United States Government, the Spokane Tribe of Indians, or
to their agents and employees so long as they are engaged in official duties within the scope of
their employment.
(b) This section shall not apply to the wholly-owned and operated business enterprises of the
Spokane Tribe.
(c) This section shall not apply to any Tribal corporation that is owned entirely by the Spokane
Tribe, and whose stock is voted by the Tribal Council, nor to a joint venture in which the Tribe
or said corporation is a joint venturer.
26-17.05 Calculation of Tax.
(a) The tax commission shall recommend for approval of the Tribal Council an appropriate
severance tax which shall be not more than 10% nor less 1% of the value of the contained
yellow cake (U308) recovered from the uranium ore mined from the trust lands of the Spokane
Tribe.
(b) The tax commission shall compute the value of the ore mined from the lands of the Spokane
Tribe by the amount of U308 produced from that ore.
(c) The value of the U308 shall be either the spot market price average for that month or the actual
contract sales price of the U308, whichever is more.
(d) If the tax is based upon a contract sales price, the amount of the tax may be computed on the
spot market price average for that month with the tax adjusted after the annual audit.
(e) However, before such tax is levied, notice and hearing shall be provided to all against whom a
tax shall be levied. At the hearing, persons affected and interested persons shall have the right
to present testimony.
26-17.07 Production Reports and Payments.
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Revised Spokane Law & Order Code, 5/14/2013