AZ SB1204

Amends Arizona Revised Statutes section 42-14204 to modify the valuation method for pipeline property used in computing full cash value for tax assessment purposes.

Adds new section 42-14205 establishing three circumstances under which the base value of pipeline property may be adjusted to reflect market value: court rulings finding the statutory method overvalues the property, binding stipulations from tax appeals approved by courts, and written agreements between the pipeline company and department to correct calculation errors.

Requires that when a court determines the full cash value under the statutory method exceeds market value, the court's final valuation becomes the base value for the subsequent tax year, with future valuations continuing under the standard method in section 42-14204.

Applies retroactively to tax years beginning after December 31, 2015.