Bill Text: HI HB1259 | 2018 | Regular Session | Introduced

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Bill Title: Relating To Clean Transportation.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2017-11-30 - Carried over to 2018 Regular Session. [HB1259 Detail]

Download: Hawaii-2018-HB1259-Introduced.html

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HOUSE OF REPRESENTATIVES	H.B. NO.	1259
TWENTY-NINTH LEGISLATURE, 2017
STATE OF HAWAII

A BILL FOR AN ACT

 

 

relating to clean transportation.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 

     SECTION 1.  The legislature finds that climate change caused by greenhouse gas emissions from burning fossil fuels poses a serious threat to the economic well-being, public health, natural resources, and the environment of Hawaii.  The potential adverse impacts of climate change include the exacerbation of air quality problems; a reduction in the quality and supply of water; a rise in sea level resulting in the displacement of coastal businesses and residences; damage to marine ecosystems and the natural environment and an increase in the incidence of infectious diseases, asthma, and other human health-related problems.

     The legislature also agrees with the United Nations Framework Convention on Climate Change, agreed to by one hundred ninety-four nations during the 2016 Paris Agreement, that in order to avoid the worst consequences of climate change, it will be necessary to limit global temperature rise to two degrees Celsius.  In order to achieve this goal, Hawaii must dramatically and expeditiously reduce greenhouse gas emissions from the ground transportation sector.

     The legislature further finds that Hawaii's dependency on imported fossil fuels drains the State's economy of billions of dollars each year, that the volatile nature of imported fuels creates significant uncertainty and risk to the economy, and that a stronger, more resilient local economy depends on a transition to multi-modal transportation systems powered by renewable local energy resources.

     The purpose of this Act is to create a special clean transportation fee that:

     (1)  Stabilizes gasoline and highway diesel prices to insulate the State's economy from sudden, unpredictable fuel price increases;

     (2)  Creates a predictable and gradual increase in gasoline and highway diesel prices to provide greater long-term fuel cost predictability that incentivizes a shift to electric and renewable fuel powered vehicles;

     (3)  Provides a substantial revenue stream to develop electric charging and renewable fuel infrastructure to enable the large-scale adoption of electric and renewable fuel-powered vehicles;

     (4)  Provides a substantial revenue stream to fund a zero emissions vehicle rebate program to incentivize the purchase of battery electric vehicles and hydrogen fuel cell electric vehicles; and

     (5)  Provides an additional revenue stream to the state highway fund to help offset the increasing costs of maintaining state highways.

     SECTION 2.  Chapter 243, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows:

"Part    .  Clean Transportation PROGRAM

     §243-A  Definitions.  Whenever used in this part:

     "Clean transportation fee" means a special fee charged on gasoline and diesel highway fuel used to stabilize consumer fuel prices, provide funds to develop clean transportation fueling infrastructure and help subsidize the purchase of zero emission vehicles.

     "Index fuel price" means the third weekly average all grades conventional gasoline price published by the United States Energy Information Administration of each month.

     "Trendline fuel price" means a price in United States dollars per gallon used in conjunction with the index fuel price to calculate the clean transportation fee.  The trendline fuel price shall be equal to $3.00 plus 2 cents multiplied by the number of months since the trendline fuel price went into effect.

     "Zero emissions vehicles" means private or commercial vehicles powered by electric batteries or hydrogen fuel cells.

     §243-B  Clean transportation fee, calculation.  (a)  Every distributor shall, in addition to any other taxes provided by law, pay a clean transportation fee to the department of taxation for each gallon of gasoline or diesel oil refined, manufactured, produced, or compounded by the distributor and sold or used by the distributor in the State or imported by the distributor, or acquired by the distributor from persons who are not licensed distributors, and sold or used by the distributor in the State.  Any person who sells or uses any gasoline or diesel, knowing that the distributor from whom it was originally purchased has not paid and is not paying the clean transportation fee thereon, shall pay such fee as would have applied to such sale or use by the distributor.

     (b)  For each month, the amount of the clean transportation fee shall be calculated as seventy-five per cent of the difference between the trendline fuel price and index fuel price; provided that the fee shall never be less than 10 cents.

     (c)  The clean transportation fee shall be imposed as follows:

     (1)  For each gallon of gasoline or diesel oil sold for use on public highways, the amount of the clean transportation fee as calculated according to subsection (b); and

     (2)  For each gallon of biofuel or biodiesel, the amount of the clean transportation fee as calculated according to subsection (b) multiplied by the ratio of gasoline or diesel oil in each gallon of liquid fuel sold.

     §243-C  Clean transportation fee; disposition.  The clean transportation fee shall be deposited by the director of taxation into the state treasury, and shall, by the director of finance, be dispositioned accordingly:

     (1)  Thirty per cent to the state highway fund;

     (2)  Thirty per cent to the zero emissions vehicle infrastructure fund created pursuant to section 243-D;

     (3)  Thirty per cent to the zero emissions vehicle rebate special fund, created pursuant to section 243-E for rebates on passenger vehicles; and

     (4)  Ten per cent to the zero emissions vehicle rebate special fund, created pursuant to section 243-E, for rebates on commercial vehicles.

     §243-D  Zero emissions vehicle infrastructure fund.  There is established within the department of business, economic development, and tourism the zero emissions vehicle infrastructure special fund to be administered by the office of energy.  Moneys from the clean transportation fee shall be deposited into the special fund pursuant to section 243-C.  Moneys deposited in the special fund shall be used to help expedite the development of electric charging and hydrogen fueling infrastructure throughout the State to enable and promote the use of zero emissions vehicles.

     §243-E  Zero emissions vehicle rebate special fund.  There is established within the department of business, economic development, and tourism a special fund to be known as the zero emissions vehicle rebate special fund to be administered and expended by the office of energy.  Moneys from the clean transportation fee shall be deposited into the special fund pursuant to section 243-C.  Moneys in the fund shall be expended for the payment of rebates for the purchase of new zero emissions vehicles within the State on a first-come, first-served basis as long as funding is available at the following rates:

     (1)  For private passenger vehicles the available rebate shall be:

          (A)  $2,500 for new battery electric vehicles with a manufacturer suggested retail price below $50,000;

          (B)  $2,500 for all hydrogen fuel cell electric vehicles; and

          (C)  $100 for each kilowatt hour of storage for plug-in hybrid electric vehicles with batteries of at least five kilowatt hours of energy storage; provided that the total rebate shall not exceed $2,500; and

     (2)  For all commercial battery electric vehicles or commercial hydrogen fuel cell electric vehicles the available rebate shall be:

          (A)  $2,500 for vehicles weighing less than 6,000 pounds;

          (B)  $5,000 for vehicles weighing 6,000 to less than 10,000 pounds;

          (C)  $7,500 for vehicles weighing 10,000 to less than 14,000 pounds;

          (D)  $10,000 for vehicles weighing 14,000 to less than 16,000 pounds;

          (E)  $12,500 for vehicles weighing 16,000 to less than 19,500;

          (F)  $15,000 for vehicles weighing 19,500 to less than 26,000 pounds;

          (G)  $20,000 for vehicles weighing 26,000 to less than 33,000 pounds; and

          (H)  $25,000 for all vehicles weighing 33,000 pounds or more."

     SECTION 3.  Chapter 243, Hawaii Revised Statutes, is amended by designating sections 243-1 to 243-16, as part I, entitled "General Provisions".

     SECTION 4.  In codifying the new sections added by section 2 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.

     SECTION 5.  This Act shall take effect on July 1, 2017.

 

INTRODUCED BY:	_____________________________

 

 

Report Title:

Clean Transportation Fee; Zero Emissions Vehicle Infrastructure Special Fund; Zero Emissions Vehicle Rebate Special Fund; Fuel Tax

 

Description:

Establishes a clean transportation fee to be paid from a tax on fuel sales.  Establishes the zero emissions vehicle infrastructure special fund to be funded by a percentage of the clean transportation fee for the purpose of expediting the development of electric charging and hydrogen fueling infrastructure throughout the State to enable and promote the use of zero emissions vehicles.  Establishes the zero emissions vehicle rebate special fund to provide rebates for the purchase of new zero emissions vehicles within the State so long as funds are available.

 

 

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.