2007 Legislation
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HOUSE BILL NO. 14 – Motor fuels tax, biodiesel

HOUSE BILL NO. 14

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Bill Status



H0014...............................................by REVENUE AND TAXATION
MOTOR FUELS - TAXATION - BIODIESEL - Amends existing law relating to the
motor fuels tax to provide a definition for "biodiesel and biodiesel
blends"; and to include biodiesel and biodiesel blends in products subject
to the petroleum transfer fee.
                                                                        
01/16    House intro - 1st rdg - to printing
01/17    Rpt prt - to Rev/Tax
01/24    Rpt out - ref'd to Transp
02/05    Rpt out - rec d/p - to 2nd rdg
02/06    2nd rdg - to 3rd rdg
02/07    3rd rdg - PASSED - 68-0-2
      AYES -- Anderson, Andrus, Barrett, Bayer, Bedke, Bell, Bilbao, Black,
      Block, Bock, Boe, Bolz, Brackett, Bradford, Chadderdon, Chavez, Chew,
      Clark, Collins, Durst, Edmunson, Eskridge, Hagedorn, Hart, Harwood,
      Henbest, Henderson, Jaquet, Killen, King, Kren, Labrador, Lake,
      LeFavour, Loertscher, Luker, Marriott, Mathews, McGeachin, Mortimer,
      Moyle, Nonini, Pasley-Stuart, Patrick, Pence, Raybould, Ring, Ringo,
      Roberts, Ruchti, Rusche, Sayler, Schaefer, Shepherd(2), Shepherd(8),
      Shirley, Shively, Smith(30), Smith(24), Snodgrass, Stevenson, Thayn,
      Trail, Vander Woude, Wills, Wood(27), Wood(35), Mr. Speaker
      NAYS -- None
      Absent and excused -- Crane, Nielsen
    Floor Sponsor - Smith(24)
    Title apvd - to Senate
02/08    Senate intro - 1st rdg - to Loc Gov
02/14    Rpt out - rec d/p - to 2nd rdg
02/15    2nd rdg - to 3rd rdg
02/20    3rd rdg - PASSED - 35-0-0
      AYES -- Andreason, Bair, Bastian, Bilyeu, Broadsword, Burkett,
      Cameron, Coiner, Corder, Darrington, Davis, Fulcher, Gannon, Geddes,
      Goedde, Hammond, Heinrich, Hill, Jorgenson, Kelly, Keough, Langhorst,
      Little, Lodge, Malepeai, McGee, McKague, McKenzie, Pearce,
      Richardson, Schroeder, Siddoway, Stegner, Stennett, Werk
      NAYS -- None
      Absent and excused -- None
    Floor Sponsor - Siddoway
    Title apvd - to House
02/21    To enrol
02/22    Rpt enrol - Sp signed
02/23    Pres signed
02/26    To Governor
03/02    Governor signed
         Session Law Chapter 37
         Effective: 07/01/07

Bill Text


                                                                        
                                                                        
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-ninth Legislature                   First Regular Session - 2007
                                                                        
                                                                        
                              IN THE HOUSE OF REPRESENTATIVES
                                                                        
                                     HOUSE BILL NO. 14
                                                                        
                             BY REVENUE AND TAXATION COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO MOTOR FUELS TAXES; AMENDING SECTION 63-2401, IDAHO CODE, TO REVISE
  3        THE DEFINITION OF "BIODIESEL,"  TO  PROVIDE  A  DEFINITION  OF  "BIODIESEL
  4        BLEND"  AND TO MAKE TECHNICAL CORRECTIONS; AMENDING SECTION 63-2407, IDAHO
  5        CODE, TO CLARIFY THE DEDUCTION FOR BIODIESEL  AND  BIODIESEL  BLENDS;  AND
  6        AMENDING  SECTION  41-4903, IDAHO CODE, TO INCLUDE BIODIESEL AND BIODIESEL
  7        BLENDS IN PRODUCTS SUBJECT TO THE PETROLEUM TRANSFER FEE.
                                                                        
  8    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
  9        SECTION 1.  That Section 63-2401, Idaho Code, be, and the same  is  hereby
 10    amended to read as follows:
                                                                        
 11        63-2401.  DEFINITIONS. In this chapter:
 12        (1)  "Aircraft engine fuel" means:
 13        (a)  Aviation  gasoline,  defined  as any mixture of volatile hydrocarbons
 14        used in aircraft reciprocating engines; and
 15        (b)  Jet fuel, defined as any mixture of  volatile  hydrocarbons  used  in
 16        aircraft turbojet and turboprop engines.
 17        (2)  "Biodiesel" means any fuel or mixture of fuels that is:
 18        (a)  Dderived  in  whole  or  in part from agricultural products or animal
 19        fats or the wastes of such products; and is
 20        (b)  Ssuitable for use as fuel in diesel engines.
 21        (3)  "Biodiesel blend" means any fuel produced by blending biodiesel  with
 22    petroleum-based diesel to produce a fuel suitable for use in diesel engines.
 23        (4)  "Bond" means:
 24        (a)  A  surety  bond, in an amount required by this chapter, duly executed
 25        by a surety company licensed and authorized to do business in  this  state
 26        conditioned upon faithful performance of all requirements of this chapter,
 27        including  the payment of all taxes, penalties and other obligations aris-
 28        ing out of the provisions of this chapter; or
 29        (b)  A deposit with the commission by any person required to  be  licensed
 30        pursuant  to this chapter under terms and conditions as the commission may
 31        prescribe, of a like amount of lawful money of the United States or  bonds
 32        or  other  obligations  of  the  United States, the state of Idaho, or any
 33        county of the state; or
 34        (c)  An irrevocable letter of credit issued to the commission  by  a  bank
 35        doing business in this state payable to the state upon failure of the per-
 36        son on whose behalf it is issued to remit any payment due under the provi-
 37        sions of this chapter.
 38        (45)  "Commercial motor boat" means any boat, equipped with a motor, which
 39    is  wholly  or  partly  used in a profit-making enterprise or in an enterprise
 40    conducted with the intent of making a profit.
 41        (56)  "Commission" means the state tax commission of the state of Idaho.
 42        (67)  "Distributor" means any person  who  receives  motor  fuel  in  this
 43    state,  and  includes a special fuels dealer. Any person who sells or receives
                                                                        
                                       2
                                                                        
  1    gaseous fuels will not be considered a distributor unless the gaseous fuel  is
  2    delivered into the fuel supply tank or tanks of a motor vehicle not then owned
  3    or controlled by him.
  4        (78)  "Dyed fuel" means diesel fuel that is dyed pursuant to  requirements
  5    of the internal revenue service, or the environmental protection agency.
  6        (89)  "Exported" means delivered by truck or rail across the boundaries of
  7    this  state  by  or for the seller or purchaser from a place of origin in this
  8    state.
  9        (910) "Gasohol" means gasoline blended with ten percent (10%) or  more  of
 10    anhydrous ethanol.
 11        (101) "Gasoline"  means any mixture of volatile hydrocarbons suitable as a
 12    fuel for the propulsion of motor vehicles  or  motor  boats.  "Gasoline"  also
 13    means aircraft engine fuels when used for the operation or propulsion of motor
 14    vehicles  or  motor  boats  and includes gasohol, but does not include special
 15    fuels.
 16        (112) "Highways" means every place of whatever nature open to the  use  of
 17    the  public  as a matter of right for the purpose of vehicular travel which is
 18    maintained by the state of Idaho or an agency or taxing  subdivision  or  unit
 19    thereof  or  the  federal  government or an agency or instrumentality thereof.
 20    Provided, however, if the cost of maintaining a roadway is primarily borne  by
 21    a special fuels user who operates motor vehicles on that roadway pursuant to a
 22    written  contract during any period of time that a special fuels tax liability
 23    accrues to the user, such a roadway shall not be considered  a  "highway"  for
 24    any purpose related to calculating that user's special fuels' tax liability or
 25    refund.
 26        (123) "Idling"  means  the  period  of  time greater than twenty-five hun-
 27    dredths (.25) of an hour when a motor vehicle is stationary  with  the  engine
 28    operating at less than one thousand two hundred (1,200) revolutions per minute
 29    (RPM), without the power take-off (PTO) unit engaged, with the transmission in
 30    the neutral or park position, and with the parking brake set.
 31        (134) "Imported" means delivered by truck or rail across the boundaries of
 32    this  state  by  or for the seller or purchaser from a place of origin outside
 33    this state.
 34        (145) "International fuel tax agreement" and "IFTA" mean the international
 35    fuel tax agreement required by the  intermodal  surface  transportation  effi-
 36    ciency  act  of  1991,  Public Law 102-240, 105 Stat. 1914, and referred to in
 37    title 49, U.S.C., section  31701,  including  subsequent  amendments  to  that
 38    agreement.
 39        (156) "Jurisdiction"  means  a state of the United States, the District of
 40    Columbia, a province or territory of Canada, or a state, territory  or  agency
 41    of Mexico in the event that the state, territory or agency participates in the
 42    international fuel tax agreement.
 43        (167) "Licensed  distributor"  means  any  distributor  who has obtained a
 44    license under the provisions of section 63-2427A, Idaho Code.
 45        (178) "Motor fuel" means gasoline, special fuels, aircraft engine fuels or
 46    any other fuels suitable for the operation or propulsion  of  motor  vehicles,
 47    motor boats or aircraft.
 48        (189) "Motor  vehicle"  means  every  self-propelled  vehicle designed for
 49    operation, or required to be licensed for operation, upon a highway.
 50        (1920) "Person" means  any  individual,  firm,  fiduciary,  copartnership,
 51    association,  limited  liability company, corporation, governmental instrumen-
 52    tality including the state and all of its agencies and political subdivisions,
 53    or any other group or combination acting as a unit, and the plural as well  as
 54    the  singular number, unless the intent to give a more limited meaning is dis-
 55    closed by the context. Whenever used in any clause prescribing and imposing  a
                                                                        
                                       3
                                                                        
  1    fine  or imprisonment, or both, the term "person" as applied to an association
  2    means the partners or members, and as applied to corporations, the officers.
  3        (201) "Recreational vehicle" means a  snowmobile  as  defined  in  section
  4    67-7101,  Idaho Code; a motor driven cycle or motorcycle as defined in section
  5    49-114, Idaho  Code; any recreational vehicle as defined  in  section  49-119,
  6    Idaho  Code;  and  an all-terrain vehicle as defined in section 67-7101, Idaho
  7    Code.
  8        (212) "Retail dealer" means any person engaged in the retail sale of motor
  9    fuels to the public or for use in the state.
 10        (223) "Special fuels" means:
 11        (a)  All fuel suitable as fuel for diesel engines;
 12        (b)  A compressed or liquified gas obtained as a  byproduct  in  petroleum
 13        refining  or natural gasoline manufacture, such as butane, isobutane, pro-
 14        pane, propylene, butylenes, and their mixtures; and
 15        (c)  Natural gas, either liquid or gas, and hydrogen, used for the genera-
 16        tion of power for the operation or propulsion of motor vehicles.
 17        (234) "Special fuels dealer" means "distributor" under subsection  (6)  of
 18    this section.
 19        (245) "Special  fuels  user" means any person who uses or consumes special
 20    fuels for the operation or propulsion of motor vehicles owned or controlled by
 21    him upon the highways of this state.
 22        (256) "Use" means either:
 23        (a)  The receipt, delivery or placing of fuels by a  licensed  distributor
 24        or  a special fuels dealer into the fuel supply tank or tanks of any motor
 25        vehicle not owned or controlled by him while the vehicle  is  within  this
 26        state; or
 27        (b)  The  consumption  of  fuels in the operation or propulsion of a motor
 28        vehicle on the highways of this state.
                                                                        
 29        SECTION 2.  That Section 63-2407, Idaho Code, be, and the same  is  hereby
 30    amended to read as follows:
                                                                        
 31        63-2407.  DEDUCTIONS  AUTHORIZED.  Each  licensed distributor shall deduct
 32    from his monthly report:
 33        (1)  Motor fuel exported from this state other than in the supply tanks of
 34    motor vehicles, motor boats or aircraft when supported by a shipping document,
 35    an invoice signed by the purchaser, or other proper documents approved by  the
 36    commission but only if:
 37        (a)  The purchaser is not a licensed distributor and the seller can estab-
 38        lish  that  any  tax  due  in  the jurisdiction to which the motor fuel is
 39        destined is paid; or
 40        (b)  The purchaser is a licensed distributor in the jurisdiction to  which
 41        the motor fuel is destined.
 42        (2)  Motor  fuel returned to a licensed distributor's refinery or pipeline
 43    terminal storage when supported by proper documents approved  by  the  commis-
 44    sion.
 45        (3)  Motor  fuel  lost  or  destroyed  by fire, lightning, flood, tornado,
 46    windstorm, explosion, or other accidental casualty, after  presenting  to  the
 47    commission satisfactory proof of loss.
 48        (4)  The number of gallons which would be equal to one percent (1%) of the
 49    total  number  of gallons received during the reporting period, less the total
 50    number of gallons deducted under subsections (1) through (3) of this  section,
 51    which  credit  is granted to the licensed distributor to reimburse him for the
 52    expense incurred on behalf of the state of Idaho in collecting  and  remitting
 53    motor  fuel tax moneys, maintaining necessary records for the state, preparing
                                                                        
                                       4
                                                                        
  1    necessary reports and remittances in compliance with  this  chapter,  and  for
  2    loss  from evaporation, handling, spillage and shrinkage, except losses caused
  3    by casualty as provided in subsection (3)  of this section. The licensed  dis-
  4    tributor  may, in addition to the above, deduct the number of gallons equal to
  5    one percent (1%) of the total number of gallons received during the  preceding
  6    calendar  month,  less  the total number of gallons deducted under subsections
  7    (1) through (3) of this section, to cover shrinkage, evaporation, spillage and
  8    handling losses of a retail dealer. The latter deductions are  to  be  allowed
  9    only  upon  filing  with  the  commission satisfactory evidence as may be pre-
 10    scribed by it indicating the credit allowance has been made in  favor  of  the
 11    retail  dealer  or  paid to him. The evidence shall be submitted together with
 12    the report wherein this portion of the deduction is claimed. A  licensed  dis-
 13    tributor  who  sells  and delivers motor fuel directly to the consumer and not
 14    for resale shall, with respect to those sales, be deemed a retail  dealer  for
 15    the purposes of this section.
 16        (5)  Motor  fuel  sold to the Idaho national guard for use in aircraft and
 17    in vehicles used off public highways provided, however, such deduction is sup-
 18    ported by an exemption certificate signed by  an  authorized  officer  of  the
 19    Idaho national guard.
 20        (6)  For  sales  made  on  or after July 1, 1995, taxes previously paid on
 21    gallons represented by accounts found to be worthless and actually charged-off
 22    for income tax purposes may be credited upon a subsequent payment of  the  tax
 23    provided in this chapter or, if no such tax is due, refunded. If such accounts
 24    are  thereafter  collected,  the  tax  per gallon shall be paid based upon the
 25    amount actually received divided by the price per gallon of the original  sale
 26    multiplied by the appropriate tax rate.
 27        (7)  In  the  case  of motor fuel received during the reporting period and
 28    included in the report that is:
 29        (a)  Gasohol, deduct the number of gallons of denatured anhydrous  ethanol
 30        contained  in  the gasohol imported or blended during the reporting period
 31        and that would be taxable in the report but for the deduction  allowed  by
 32        this subsection.
 33        (b)  Biodiesel, in whole or in part, deduct the number of gallons of agri-
 34        cultural  products or animal fats or the wastes of such products contained
 35        in the fuel that are sold during the month to which the report relates  to
 36        any person other than a licensed distributor.
 37        (c)  A  biodiesel  blend,  deduct  the number of gallons of biodiesel con-
 38        tained in the  biodiesel  blend  imported,  blended  or  received  from  a
 39        licensed distributor who is a biodiesel producer during the month to which
 40        the  report  relates.  In  the  case  of  a  licensed distributor who is a
 41        biodiesel producer, the deduction is  only  available  when  the  producer
 42        sells its biodiesel blends to a person who is not a motor fuel distributor
 43        licensed in this state.
 44        (d)  The  deduction  provided in this subsection shall not exceed ten per-
 45        cent (10%) of (i) the volume of gasohol reported on the report or (ii) the
 46        special fuel which is or contains biodiesel.
 47        (e)  The deduction allowed by paragraphs (b) and (c) of this subsection is
 48        only available for motor fuel otherwise subject to tax under this chapter.
                                                                        
 49        SECTION 3.  That Section 41-4903, Idaho Code, be, and the same  is  hereby
 50    amended to read as follows:
                                                                        
 51        41-4903.  DEFINITIONS. For the purposes of this chapter:
 52        (1)  "Aboveground  storage  tank"  means  any  one (1) or a combination of
 53    tanks, including pipes connected thereto, that is used to contain an accumula-
                                                                        
                                       5
                                                                        
  1    tion of petroleum or petroleum products, and the volume  of  which,  including
  2    the volume of pipes connected  thereto, is less than ten percent (10%) beneath
  3    the  surface  of  the  ground. This term does not include a heating tank, farm
  4    tank or residential tank or any tank with a capacity of one hundred ten  (110)
  5    gallons or less.
  6        (2)  "Accidental  release" means any sudden or nonsudden release of petro-
  7    leum from a storage tank that results in a need for corrective action or  com-
  8    pensation  for  bodily injury or property damage neither expected nor intended
  9    by the tank owner or operator.
 10        (3)  "Administrator" means the state insurance fund or any person employed
 11    by the board of trustees to replace the state insurance fund, employed by  the
 12    board to administer the Idaho petroleum clean water trust fund.
 13        (4)  "Application  fee"  means  the  amount paid or payable by an owner or
 14    operator applying for a contract of insurance with the trust  fund  to  offset
 15    the  costs  of issuing contracts of insurance and other costs of administering
 16    this fund.
 17        (5)  "Board" means the board of trustees appointed by the governor.
 18        (6)  "Bodily injury" means any bodily injury, sickness, disease  or  death
 19    sustained by any person and caused by an occurrence defined in subsection (19)
 20    of this section.
 21        (7)  "Contamination" means the presence of petroleum or petroleum products
 22    in surface or subsurface soil, surface water, or ground water.
 23        (8)  "Commission" means the state tax commission of the state of Idaho.
 24        (9)  "Corrective  action"  means those actions as are reasonably necessary
 25    to satisfy applicable federal and state standards in the event  of  a  release
 26    into the environment from a petroleum storage tank. Corrective action includes
 27    initial  corrective  action  response  or  actions  consistent with a remedial
 28    action to clean up contaminated soil and  ground  water  or  address  residual
 29    effects after initial corrective action is taken, as well as actions necessary
 30    to monitor, assess and evaluate a release. Corrective action also includes the
 31    cost  of  removing  a  tank which is releasing or has been releasing petroleum
 32    products and the release cannot be corrected without removing  the  tank;  but
 33    corrective  action  does  not  include  the  cost  of replacing this tank with
 34    another tank.
 35        (10) "Department" means the department of insurance of the state of Idaho.
 36        (11) "Director" means the director of the department of insurance.
 37        (12) "Farm tank" means any tank with a capacity of more than  one  hundred
 38    ten (110) gallons but less than one thousand one hundred (1,100) gallons situ-
 39    ated above ground or underground which is used for storing motor fuel for non-
 40    commercial  purposes  and  which  is located on a tract of land devoted to the
 41    production of crops or raising animals, including fish, and  associated  resi-
 42    dences  and  improvements.  A  farm tank must be located on the farm property.
 43    "Farm" includes fish hatcheries, rangeland and nurseries with  growing  opera-
 44    tions.
 45        (13) "Free   product"   means  petroleum  or  petroleum  products  in  the
 46    nonaqueous phase, (e.g., liquid not dissolved in water).
 47        (14) "Fund" or "trust fund" means the Idaho petroleum  clean  water  trust
 48    fund.
 49        (15) "Heating  tank"  means any tank with a capacity of more than one hun-
 50    dred ten (110) gallons situated above ground or underground which is used  for
 51    storing heating oil for consumptive use on the premises where stored.
 52        (16) "Legal  defense costs" means any expense that an owner or operator or
 53    the trust fund incurs in defending against claims or actions  brought  by  the
 54    federal  environmental  protection agency or a state agency to require correc-
 55    tive action or to recover the costs of corrective action; or by or  on  behalf
                                                                        
                                       6
                                                                        
  1    of a third party for bodily injury or property damage caused by a release.
  2        (17) "Licensed  distributor"  means  any  distributor  who  has obtained a
  3    license  under the provisions of section 63-2427A, Idaho  Code.  If  a  person
  4    subject  to the fee imposed by section 41-4909(7), Idaho Code, is not required
  5    to obtain a distributor's license under the provisions of  chapter  24,  title
  6    63,  Idaho  Code,  such  person  shall  apply  to the commission for a limited
  7    license for the purpose of complying with the requirements  of  this  chapter.
  8    Such a limited license shall not be valid for any other purpose. No bond shall
  9    be  required  for  a  limited  license.  A  holder  of  a limited license is a
 10    "licensed distributor" for the purposes of filing  reports,  paying  fees  and
 11    other  actions  necessary to the proper administration and enforcement of this
 12    chapter.
 13        (18) "Noncommercial purposes" means not for resale, with respect to  motor
 14    fuels.
 15        (19) "Occurrence"  means  an  accident,  including  continuous or repeated
 16    exposure to conditions, which resulted in a release into  the  environment  of
 17    petroleum products from a petroleum storage tank.
 18        (20) "Operator" means any person in control, or having responsibility for,
 19    the daily operations of a petroleum storage tank.
 20        (21) "Owner"  means  the  owner  of  a petroleum storage tank, except that
 21    "owner" does not include any person who, without participation in the  manage-
 22    ment of a petroleum storage tank, holds indicia of ownership primarily to pro-
 23    tect the owner's security interest in the tank.
 24        (22) "Person"  means any corporation, association, partnership, one (1) or
 25    more individuals, or any governmental unit, or agency thereof, other than fed-
 26    eral or state agencies.
 27        (23) "Petroleum" and/or "petroleum products" mean crude oil, or any  frac-
 28    tion  thereof, which is liquid at standard conditions of temperature and pres-
 29    sure (i.e., at sixty (60) degrees fahrenheit  and  fourteen  and  seven-tenths
 30    (14.7)  pounds  per  square  inch absolute). The term includes motor gasoline,
 31    gasohol, other alcohol blended fuels, diesel fuel, heating  oil  and  aviation
 32    fuel.  Biodiesel  and  biodiesel  blends as those terms are defined in section
 33    63-2401, Idaho Code, are also petroleum or petroleum products.
 34        (24) "Property damage" means injury or destruction  to  tangible  property
 35    caused by an occurrence.
 36        (25) "Release"  means any spilling, leaking, emitting, discharging, escap-
 37    ing, leaching, or disposing from a petroleum storage tank into  ground  water,
 38    surface water, or surface or subsurface soils.
 39        (26) "Residential  tank"  means  any tank with a capacity of more than one
 40    hundred ten (110) gallons but less than one thousand one hundred (1,100)  gal-
 41    lons situated above ground or underground which is used for storing motor fuel
 42    for noncommercial purposes and which is located on property used primarily for
 43    dwelling purposes.
 44        (27) "Site" means a single parcel of property where petroleum or petroleum
 45    products  are  stored  in a petroleum storage tank and includes all contiguous
 46    land, structures, other appurtenances, surface water,  ground  water,  surface
 47    and  subsurface  soil,  and  subsurface strata within and beneath the property
 48    boundary.
 49        (28) "State" means the state of Idaho or any office,  department,  agency,
 50    authority,  commission,  board,  institution, hospital, college, university or
 51    other instrumentality thereof.
 52        (29) "Tank" means a stationary device designed to contain an  accumulation
 53    of  petroleum  or  petroleum  products and constructed of nonearthen materials
 54    (e.g., concrete, steel, plastic) that provide structural support.
 55        (30) "Trustees" means the trustees of  the  Idaho  petroleum  clean  water
                                                                        
                                       7
                                                                        
  1    trust fund, who are appointed by the governor pursuant to this chapter.
  2        (31) "Underground storage tank" means any one (1) or combination of tanks,
  3    including  underground  pipes  connected  thereto,  that is used to contain an
  4    accumulation of petroleum or petroleum products,  and  the  volume  of  which,
  5    including  the  volume  of underground pipes connected thereto, is ten percent
  6    (10%) or more beneath the surface of the ground. This term  does  not  include
  7    any:
  8        (a)  Farm  or residential tank of one thousand one hundred (1,100) gallons
  9        or less capacity used for storing motor fuel for noncommercial purposes;
 10        (b)  Tank used solely for storing heating oil for consumptive use  on  the
 11        premises where stored;
 12        (c)  Septic tank;
 13        (d)  Pipeline facility including gathering lines regulated under:
 14             (i)   The  natural  gas  pipeline  safety act of 1968 (49 U.S.C. app.
 15             1671, et seq.); or
 16             (ii)  The hazardous liquid pipeline safety act  of  1979  (49  U.S.C.
 17             app. 2001, et seq.); or
 18             (iii) State  laws comparable to the provisions of the law referred to
 19             in paragraph (d)(i) or (d)(ii) of this subsection  as  an  intrastate
 20             pipeline facility;
 21        (e)  Surface impoundment, pit, pond or lagoon;
 22        (f)  Storm water or wastewater collection system;
 23        (g)  Flow-through process tank;
 24        (h)  Liquid  trap or associated gathering lines directly related to oil or
 25        gas production and gathering operations;
 26        (i)  Storage tank situated in an underground area  (such  as  a  basement,
 27        cellar, mineworking, drift, shaft, or tunnel) if the storage tank is situ-
 28        ated upon or above the surface of the floor;
 29        (j)  Tanks with a capacity of one hundred ten (110) gallons or less.
 30    The  term  "underground  storage tank" does not include any pipes connected to
 31    any tank which is described in paragraphs (a) through (i) of this definition.
 32        (32) "Underground storage tank regulations" means regulations  for  petro-
 33    leum  storage  tanks promulgated by the United States environmental protection
 34    agency (EPA) pursuant to subtitle I  of  the  solid  waste  disposal  act,  as
 35    amended by the resource conservation and recovery act, regulations promulgated
 36    by  the state of Idaho as part of a state program for underground storage tank
 37    regulation under subtitle I, or other regulations affecting underground  stor-
 38    age  tank  operations  and  management,  including the international fire code
 39    adopted by the state of Idaho.

Statement of Purpose / Fiscal Impact


REVISION   REVISION   REVISION   REVISION   REVISION  REVISION

                     STATEMENT OF PURPOSE

                           RS 16528

This bill updates the definitions in the laws about the
motor fuels trax and to the Idaho petroleum clean water fee
(which is currently suspended) in regard to biodiesel and
biodiesel blends.  It clarifies that "biodiesel" is derived in
whole or in part from agricultural products or animal fats or the
wastes of such products.  A "Biodiesel blend" is fuel produced by
blending biodiesel with petroleum-based diesel to produce a fuel
suitable fo ruse in diesel engines.  These proposed definitions
also reflect industry use.  The current law conflates these two
different products and therefore creates some confusion.



                         FISCAL NOTE

None
                                                  

                                   
CONTACT
Name:     Dan John/Ted Spangler
Agencey:  State Tax Commission
Phone:    334-7500



STATEMENT OF PURPOSE/FISCAL NOTE                            H 14