CHAPTER 677

H.P. 1439 - L.D. 2041

An Act To Enhance Maine's Energy Independence and Security

Be it enacted by the People of the State of Maine as follows:

PART A

Sec. A-1. 36 MRSA §3203, sub-§1-A is enacted to read:

1-A.__Special biodiesel rate.__Notwithstanding subsection 1, the rate for distillates containing 2% or more of biodiesel fuel by volume is 20__per gallon.__This subsection is repealed 90 days after the adjournment of the First Regular Session of the 123rd Legislature.

Sec. A-2. Study group. The Department of the Secretary of State, Bureau of Motor Vehicles shall convene a study group consisting of the Bureau of Motor Vehicles; Office of Energy Independence and Security; the Department of Transportation; and the Department of Administrative and Financial Services, Bureau of Revenue Services. The study group shall consider the revenue impacts of a differential tax on biodiesel, the impacts on tax administration and compliance and alternatives to a differential tax including a refund process.

By March 15, 2007, the Department of the Secretary of State, Bureau of Motor Vehicles shall report the findings and recommendations of the study group, including any necessary implementing legislation, to the joint standing committee of the