2004 Legislation
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HOUSE BILL NO. 684 – Vehicles, idling, no fuel tax refnd

HOUSE BILL NO. 684

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Bill Status



H0684.........................................by TRANSPORTATION AND DEFENSE
FUEL TAX REFUND - Amends existing law to provide that no refund of special
fuels tax shall be paid on special fuels used while idling a registered
motor vehicle; and to define "idling."
                                                                        
02/13    House intro - 1st rdg - to printing
02/16    Rpt prt - to Transp
02/17    Rpt out - rec d/p - to 2nd rdg
02/18    2nd rdg - to 3rd rdg
02/23    3rd rdg - PASSED - 68-1-1
      AYES -- Andersen, Barraclough, Barrett, Bauer, Bayer, Bedke, Bell,
      Black, Block, Boe, Bolz, Bradford, Campbell, Cannon, Clark, Collins,
      Crow, Cuddy, Deal, Denney, Douglas, Eberle, Edmunson, Ellsworth,
      Eskridge, Field(18), Field(23), Garrett, Harwood, Henbest, Jaquet,
      Jones, Kellogg, Lake, Langford, Langhorst, Martinez, McGeachin,
      McKague, Meyer, Miller, Mitchell, Moyle, Naccarato, Nielsen,
      Pasley-Stuart, Raybould, Ridinger, Ring, Ringo, Roberts, Robison,
      Rydalch, Sali, Sayler, Schaefer, Shepherd, Shirley, Skippen,
      Smith(30), Smith(24), Smylie, Snodgrass, Stevenson, Trail, Wills,
      Wood, Mr. Speaker
      NAYS -- Kulczyk
      Absent and excused -- Gagner
    Floor Sponsor - Ridinger
    Title apvd - to Senate
02/24    Senate intro - 1st rdg - to Transp
03/05    Rpt out - rec d/p - to 2nd rdg
03/08    2nd rdg - to 3rd rdg
03/17    3rd rdg - PASSED - 34-0-1
      AYES -- Andreason, Bailey, Brandt, Bunderson, Burkett, Burtenshaw,
      Calabretta, Cameron, Compton, Darrington, Davis, Gannon, Geddes,
      Goedde, Hill, Ingram, Kennedy, Keough, Little, Lodge, Malepeai,
      Marley, McKenzie, McWilliams, Noh, Pearce, Richardson, Schroeder,
      Sorensen, Stegner, Stennett, Sweet, Werk, Williams
      NAYS -- None
      Absent and excused -- Noble
    Floor Sponsor - Keough
    Title apvd - to House
03/18    To enrol - Rpt enrol - Sp signed
03/19    Pres signed - To Governor
03/23    Governor signed
         Session Law Chapter 265
         Effective: 07/01/04

Bill Text


                                                                        
                                                                        
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-seventh Legislature                 Second Regular Session - 2004
                                                                        
                                                                        
                              IN THE HOUSE OF REPRESENTATIVES
                                                                        
                                     HOUSE BILL NO. 684
                                                                        
                          BY TRANSPORTATION AND DEFENSE COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO FUELS TAX CREDITS  AND  REFUNDS  TO  CONSUMERS;  AMENDING  SECTION
  3        63-2401,  IDAHO  CODE,  TO DEFINE "IDLING" AND TO MAKE A TECHNICAL CORREC-
  4        TION; AND AMENDING SECTION 63-2423, IDAHO CODE, TO PROVIDE THAT NO  REFUND
  5        OF  SPECIAL  FUELS  TAX SHALL BE PAID ON SPECIAL FUELS USED WHILE IDLING A
  6        REGISTERED MOTOR VEHICLE.
                                                                        
  7    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
  8        SECTION 1.  That Section 63-2401, Idaho Code, be, and the same  is  hereby
  9    amended to read as follows:
                                                                        
 10        63-2401.  DEFINITIONS. In this chapter:
 11        (1)  "Aircraft engine fuel" means:
 12        (a)  Aviation  gasoline,  defined  as any mixture of volatile hydrocarbons
 13        used in aircraft reciprocating engines; and
 14        (b)  Jet fuel, defined as any mixture of  volatile  hydrocarbons  used  in
 15        aircraft turbojet and turboprop engines.
 16        (2)  "Biodiesel" means any fuel or mixture of fuels that is:
 17        (a)  Derived in whole or in part from agricultural products or animal fats
 18        or the wastes of such products; and
 19        (b)  Suitable for use as fuel in diesel engines.
 20        (3)  "Bond" means:
 21        (a)  A  surety  bond, in an amount required by this chapter, duly executed
 22        by a surety company licensed and authorized to do business in  this  state
 23        conditioned upon faithful performance of all requirements of this chapter,
 24        including  the payment of all taxes, penalties and other obligations aris-
 25        ing out of the provisions of this chapter; or
 26        (b)  A deposit with the commission by any person required to  be  licensed
 27        pursuant  to this chapter under terms and conditions as the commission may
 28        prescribe, of a like amount of lawful money of the United States or  bonds
 29        or  other  obligations  of  the  United States, the state of Idaho, or any
 30        county of the state; or
 31        (c)  An irrevocable letter of credit issued to the commission  by  a  bank
 32        doing business in this state payable to the state upon failure of the per-
 33        son on whose behalf it is issued to remit any payment due under the provi-
 34        sions of this chapter.
 35        (4)  "Commercial  motor boat" means any boat, equipped with a motor, which
 36    is wholly or partly used in a profit-making enterprise  or  in  an  enterprise
 37    conducted with the intent of making a profit.
 38        (5)  "Commission" means the state tax commission of the state of Idaho.
 39        (6)  "Distributor" means any person who receives motor fuel in this state,
 40    and  includes a special fuels dealer. Any person who sells or receives gaseous
 41    fuels will not be considered a distributor unless the gaseous fuel  is  deliv-
 42    ered  into  the fuel supply tank or tanks of a motor vehicle not then owned or
 43    controlled by him.
                                                                        
                                           2
                                                                        
  1        (7)  "Dyed fuel" means diesel fuel that is dyed pursuant  to  requirements
  2    of the internal revenue service, or the environmental protection agency.
  3        (8)  "Exported"  means delivered by truck or rail across the boundaries of
  4    this state by or for the seller or purchaser from a place of  origin  in  this
  5    state.
  6        (9)  "Gasohol"  means  gasoline  containing  a mixture of no more than ten
  7    percent (10%) blend anhydrous ethanol.
  8        (10) "Gasoline" means any mixture of volatile hydrocarbons suitable  as  a
  9    fuel  for  the  propulsion  of  motor vehicles or motor boats. "Gasoline" also
 10    means aircraft engine fuels when used for the operation or propulsion of motor
 11    vehicles or motor boats and includes gasohol, but  does  not  include  special
 12    fuels.
 13        (11) "Highways"  means  every  place of whatever nature open to the use of
 14    the public as a matter of right for the purpose of vehicular travel  which  is
 15    maintained  by  the  state of Idaho or an agency or taxing subdivision or unit
 16    thereof or the federal government or an  agency  or  instrumentality  thereof.
 17    Provided,  however, if the cost of maintaining a roadway is primarily borne by
 18    a special fuels user who operates motor vehicles on that roadway pursuant to a
 19    written contract during any period of time that a special fuels tax  liability
 20    accrues  to  the  user, such a roadway shall not be considered a "highway" for
 21    any purpose related to calculating that user's special fuels's  tax  liability
 22    or refund.
 23        (12) "Idling" means the period of time greater than twenty-five hundredths
 24    (.25)  of an hour when a motor vehicle is stationary with the engine operating
 25    at less than one thousand two hundred (1,200) revolutions  per  minute  (RPM),
 26    without  the  power  take-off (PTO) unit engaged, with the transmission in the
 27    neutral or park position, and with the parking brake set.
 28        (13) "Imported" means delivered by truck or rail across the boundaries  of
 29    this  state  by  or for the seller or purchaser from a place of origin outside
 30    this state.
 31        (134) "International fuel tax agreement" and "IFTA" mean the international
 32    fuel tax agreement required by the  intermodal  surface  transportation  effi-
 33    ciency  act  of  1991,  Public Law 102-240, 105 Stat. 1914, and referred to in
 34    title 49, U.S.C., section  31701,  including  subsequent  amendments  to  that
 35    agreement.
 36        (145) "Jurisdiction"  means  a state of the United States, the District of
 37    Columbia, a province or territory of Canada, or a state, territory  or  agency
 38    of Mexico in the event that the state, territory or agency participates in the
 39    international fuel tax agreement.
 40        (156) "Licensed  distributor"  means  any  distributor  who has obtained a
 41    license under the provisions of section 63-2427A, Idaho Code.
 42        (167) "Motor fuel" means gasoline, special fuels, aircraft engine fuels or
 43    any other fuels suitable for the operation or propulsion  of  motor  vehicles,
 44    motor boats or aircraft.
 45        (178) "Motor  vehicle"  means  every  self-propelled  vehicle designed for
 46    operation, or required to be licensed for operation, upon a highway.
 47        (189) "Person" means any individual, firm, fiduciary, copartnership, asso-
 48    ciation, limited liability company, corporation, governmental  instrumentality
 49    including the state and all of its agencies and political subdivisions, or any
 50    other  group  or  combination  acting as a unit, and the plural as well as the
 51    singular number, unless the intent to give a more limited meaning is disclosed
 52    by the context. Whenever used in any clause prescribing and imposing a fine or
 53    imprisonment, or both, the term "person" as applied to  an  association  means
 54    the partners or members, and as applied to corporations, the officers.
 55        (1920) "Recreational  vehicle"  means  a  snowmobile as defined in section
                                                                        
                                           3
                                                                        
  1    67-7101, Idaho Code; a motor driven cycle or motorcycle as defined in  section
  2    49-114, Idaho Code; and any recreational vehicle as defined in section 49-119,
  3    Idaho Code.
  4        (201) "Retail dealer" means any person engaged in the retail sale of motor
  5    fuels to the public or for use in the state.
  6        (212) "Special fuels" means:
  7        (a)  All fuel suitable as fuel for diesel engines;
  8        (b)  A  compressed  or  liquified gas obtained as a byproduct in petroleum
  9        refining or natural gasoline manufacture, such as butane, isobutane,  pro-
 10        pane, propylene, butylenes, and their mixtures; and
 11        (c)  Natural gas, either liquid or gas, and hydrogen, used for the genera-
 12        tion of power for the operation or propulsion of motor vehicles.
 13        (223) "Special  fuels  dealer" means "distributor" under subsection (6) of
 14    this section.
 15        (234) "Special fuels user" means any person who uses or  consumes  special
 16    fuels for the operation or propulsion of motor vehicles owned or controlled by
 17    him upon the highways of this state.
 18        (245) "Use" means either:
 19        (a)  The  receipt,  delivery or placing of fuels by a licensed distributor
 20        or a special fuels dealer into the fuel supply tank or tanks of any  motor
 21        vehicle  not  owned  or controlled by him while the vehicle is within this
 22        state; or
 23        (b)  The consumption of fuels in the operation or propulsion  of  a  motor
 24        vehicle on the highways of this state.
                                                                        
 25        SECTION  2.  That  Section 63-2423, Idaho Code, be, and the same is hereby
 26    amended to read as follows:
                                                                        
 27        63-2423.  CREDITS AND REFUNDS TO CONSUMERS. (1) Any person  who  has  paid
 28    his  special fuels tax directly to the vendor from whom it was purchased shall
 29    be refunded the amount of:
 30        (a)  Except as provided in subsection (2) of this  section,  aAny  special
 31        fuels  tax paid on special fuels used for purposes other than operation or
 32        propulsion of motor vehicles upon the highways in the state of Idaho;
 33        (b)  Any tax paid on special fuels used in motor vehicles owned or  leased
 34        and  operated  by  an  instrumentality of the federal government or of the
 35        state of Idaho, including the state and all of its political subdivisions;
 36        (c)  Any tax paid on special fuels used in motor vehicles to which gaseous
 37        special fuel is delivered and which displays a valid gaseous special fuels
 38        permit under section 63-2424, Idaho Code;
 39        (d)  Any special fuels tax paid on special fuels exported for use  outside
 40        the  state of Idaho. Special fuels carried from the state in the fuel tank
 41        of a motor vehicle will not be deemed to be exported from the state unless
 42        it is subject to a like or similar tax in the jurisdiction to which it  is
 43        taken and that tax is actually paid to the other jurisdiction; and
 44        (e)  Any  tax,  penalty  or interest erroneously or illegally paid or col-
 45        lected.
 46        (2)  No refund of special fuels tax shall be paid on:
 47        (a)  Special fuels used in a recreational vehicle; or
 48        (b)  Special fuels used in noncommercial motor boats  or  in  motor  boats
 49        operated by a governmental entity; or
 50        (c)  Special  fuels used while idling a registered motor vehicle, pursuant
 51        to the definition of "idling" as provided in section 63-2401, Idaho Code.
 52        (3)  Refunds authorized in this section shall be claimed in the same  man-
 53    ner  as  applies to refunds of gasoline tax under section 63-2410, Idaho Code,
                                                                        
                                           4
                                                                        
  1    and shall be subject to interest computed pursuant to subsection (5)  of  that
  2    section.

Statement of Purpose / Fiscal Impact



                       STATEMENT OF PURPOSE
                             RS 13993

This legislation defines an engine idling activity and eliminates
the potential for a consumer to claim a fuels tax refund when the
special fuel is used to idle a registered vehicle, for an
extended period of time, at a specified level of RPMs.  This
legislation will not change current special fuel exemptions for
nontaxable miles or power take-off credits.

                          FISCAL IMPACT

This proposal has no fiscal impact, if the potential for an off-
road idle time refund is eliminated.

If this law change is not made there could be a negative impact
on revenue to the Highway Distribution Account.  If consumers met
the current documentation requirements of Idaho Code Section 63-
2410 (5)(6) and claimed a refund for off-highway idling according
to Idaho Code Section 63-2423 (1)(a), the Tax Commission would be
required by law to pay the refunds.  Making this law change would
eliminate the refund possibility and prevent any negative impact
on the Highway Distribution Account.




Contact
Name: Rep. Tim Ridinger, 
Phone: 332-1000
Name: Clay Handy, 
Governor Motor Carrier Advisory Committee



STATEMENT OF PURPOSE/FISCAL NOTE                    H 684