§ 986. — Payments to States and local governments in lieu of taxes; tax exemption of Corporation.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 33USC986]
TITLE 33--NAVIGATION AND NAVIGABLE WATERS
CHAPTER 19--SAINT LAWRENCE SEAWAY
Sec. 986. Payments to States and local governments in lieu of
taxes; tax exemption of Corporation
The Corporation is authorized to make payments to State and local
governments in lieu of property taxes upon property which was subject to
State and local taxation before acquisition by the Corporation. Such
payments may be in the amounts, at the times, and upon the terms the
Corporation deems appropriate, but the Corporation shall be guided by
the policy of making payments not in excess of the taxes which would
have been payable for such property in the condition in which it was
acquired, except in cases where special burdens are placed upon the
State or local government by the activities of the Corporation or its
agents. The Corporation, its property, franchises, and income are
expressly exempted from taxation in any manner or form by any State,
county, municipality, or any subdivision thereof, but such exemption
shall not extend to contractors for the Corporation.
(May 13, 1954, ch. 201, Sec. 7, 68 Stat. 95.)
