Reeves County Appraisal District and Loving County Appraisal District v. Midcon Compression, L.L.C.

Valerus Compression Services owns and leases out compressor stations used to deliver natural gas into pipelines. Some of these compressors are in use in Reeves and Loving counties. In response to a 2012 amendment to the Tax Code that included leased heavy equipment in a statutory formula used to value heavy equipment held by dealers for sale, Valerus began paying taxes on the compressors located in Reeves and Loving counties to Harris County, where Valerus contends it maintains its principal place of business. But Reeves and Loving counties continued to place the compressors on their…