HP0892
LD 1231
Session - 129th Maine Legislature
C "A", Filing Number H-607, Sponsored by
LR 1675
Item 2
Bill Tracking, Additional Documents Chamber Status

Amend the bill by striking out everything after the enacting clause and inserting the following:

Sec. 1. 35-A MRSA §10119, sub-§1, ¶A,  as enacted by PL 2009, c. 372, Pt. B, §3, is amended to read:

A. Any funds collected from an assessment on heating fuels , including the heating fuel fee imposed under Title 36, chapter 723;

Sec. 2. 36 MRSA §1760, sub-§9,  as amended by PL 2015, c. 300, Pt. A, §14, is further amended to read:

9. Coal, oil and wood.  Coal, oil, wood and all other fuels, except gas and electricity and except as provided in section 4951, when bought for cooking and heating in buildings designed and used for both human habitation and sleeping. The sale of kerosene or home heating oil that is prepackaged or dispensed from a tank for retail sale in a container with a capacity of 5 gallons or less, or the sale of any amount of wood pellets or any 100% compressed wood product intended for use in a wood stove or fireplace, or of any amount of firewood, is presumed to meet the requirements of this subsection when the product is received by the purchaser at the retail location.

Sec. 3. 36 MRSA c. 723  is enacted to read:

CHAPTER 723

HEATING FUEL FEE

§ 4951 Imposition of fee

Notwithstanding any provision of law to the contrary, a fee is imposed on the wholesale sale in the State of heating oil, propane, coal and kerosene in the amount of 1% of the wholesale sale price.

§ 4952 Administration

The fee imposed by this chapter is administered as provided in chapter 7 and Part 3, with the fee imposed pursuant to this chapter to be considered as imposed under Part 3.

The revenue derived from the fee imposed by this chapter must be allocated as follows:

1 Low-income home energy assistance.   Twenty percent to the Maine State Housing Authority to assist eligible low-income households with heating costs under the fuel assistance program administered by the authority pursuant to Title 30-A, section 4991; and
2 Heating fuels efficiency and weatherization.   Eighty percent to the Efficiency Maine Trust for deposit in the Heating Fuels Efficiency and Weatherization Fund established in Title 35-A, section 10119. The administrative costs as certified by the bureau of the fee must be reimbursed from the Heating Fuels Efficiency and Weatherization Fund.

§ 4953 Effective date

This chapter takes effect July 1, 2020.

Sec. 4. Appropriations and allocations. The following appropriations and allocations are made.

ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF

Revenue Services, Bureau of 0002

Initiative: Provides one-time funding for computer programming to update the sales tax return.

GENERAL FUND 2019-20 2020-21
All Other
$26,000 $0
inline graphic sline.gif inline graphic sline.gif
GENERAL FUND TOTAL $26,000 $0

ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF
DEPARTMENT TOTALS 2019-20 2020-21
GENERAL FUND
$26,000 $0
inline graphic sline.gif inline graphic sline.gif
DEPARTMENT TOTAL - ALL FUNDS $26,000 $0

HOUSING AUTHORITY, MAINE STATE

Low-income Home Energy Assistance - MSHA 0708

Initiative: Allocates ongoing funds to assist low-income households with heating costs.

OTHER SPECIAL REVENUE FUNDS 2019-20 2020-21
All Other
$0 $1,680,000
inline graphic sline.gif inline graphic sline.gif
OTHER SPECIAL REVENUE FUNDS TOTAL $0 $1,680,000

HOUSING AUTHORITY, MAINE STATE
DEPARTMENT TOTALS 2019-20 2020-21
OTHER SPECIAL REVENUE FUNDS
$0 $1,680,000
inline graphic sline.gif inline graphic sline.gif
DEPARTMENT TOTAL - ALL FUNDS $0 $1,680,000

SECTION TOTALS 2019-20 2020-21
GENERAL FUND
$26,000 $0
OTHER SPECIAL REVENUE FUNDS
$0 $1,680,000
inline graphic sline.gif inline graphic sline.gif
SECTION TOTAL - ALL FUNDS $26,000 $1,680,000

SUMMARY

The amendment makes the following changes to the bill. It:

1. Adds language to clarify that the fee imposed by the bill is an exception to the tax exemption for heating fuels provided under the State sales and use tax law;

2. Removes dyed diesel fuel from the list of fuels subject to the fee;

3. Removes language that would have required a wholesaler to know the fuel at wholesale sale is intended for residential or commercial heating purposes; and

4. Requires 20% of the revenue from the fee to go to the Maine State Housing Authority to assist eligible low-income households with heating costs under the fuel assistance program administered by the authority and 80% to go to the Efficiency Maine Trust for the Heating Fuel Efficiency and Weatherization Fund. In the bill 100% of the revenue is dedicated to the Efficiency Maine Trust.

FISCAL NOTE REQUIRED
(See attached)


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