SB 1907 — MOTOR FUEL-MEASUREMENTS

*LRB09907517HLH27639b* SB1907 99THEngrossed GENERALLRB099 ASSEMBLY07517 StateHLH of27639 Illinoisb andAN 2016ACT SB1907concerning Introducedrevenue. 2/20/2015, by Sen.

Don Harmon SYNOPSIS AS INTRODUCED:

See Index Amends the Motor Fuel Tax Law.

Provides that the tax imposed on the privilege of operating motor vehicles that use liquefied natural gas or propane is 21.5 cents per gallon.

Provides that the tax imposed on compressed natural gas is 19 cents per gallon.

Provides that, in the case of liquefied natural gas and propane, "gallon" means a diesel gallon equivalent.

Amends the Weights and Measures Act.

Provides that liquefied natural gas used as motor fuel shall be sold in diesel gallon equivalents, and compressed natural gas shall be sold in gasoline gallon equivalents.

Provides that propane used as motor fuel shall be sold in actual measured gallon volumetric units, subject to adjustment for the purposes of determining the diesel gallon equivalents that are subject to the tax rates under the Motor Fuel Tax Law.

Amends the Environmental Impact Fee Law.

Provides that no fee is imposed on the importation or receipt of liquefied natural gas (i) sold to or used by a rail carrier or (ii) consumed or used in the operation of ships, barges, or vessels that are used primarily in or for the transportation of property in interstate commerce for hire on rivers bordering Illinois if the natural gas is delivered to the ship, barge, or vessel by a licensed receiver.

LRB099 07517 HLH 27639 b FISCAL NOTE ACT MAY APPLY A BILL FOR SB1907 LRB099 07517 HLH 27639 b AN ACT concerning revenue.

"Gasoline gallon SB1907 Engrossed - 2 - LRB099 07517 HLH 27639 b equivalent" means an amount of compressed natural gas that has the equivalent energy content of a gallon of gasoline and shall be defined as 5.660 pounds of compressed natural gas.

(b) The tax on the privilege of operating motor vehicles which use diesel fuel, liquefied natural gas, or propane shall SB1907 Engrossed - 3 - LRB099 07517 HLH 27639 b be the rate according to paragraph (a) plus an additional 2 1/2 cents per gallon.

(e) The collection of a tax, based on gallonage of all products commonly or commercially known or sold as 1-K SB1907 Engrossed - 4 - LRB099 07517 HLH 27639 b kerosene, regardless of its classification or uses, is prohibited (i) on and after July 1, 1992 until December 31, 1999, except when the 1-K kerosene is either:

SB1907 Engrossed - 5 - LRB099 07517 HLH 27639 b (Source:

However, no such tax shall be imposed upon the importation or receipt of aviation fuels and kerosene at airports with over 300,000 operations per year, for years prior to 1991, and over 170,000 operations per year beginning in 1991, located in a city of more than 1,000,000 inhabitants for sale to or use by holders of certificates of public convenience and necessity or foreign air carrier permits, issued by the United States Department of Transportation, and their air carrier affiliates, or upon the importation or receipt of aviation fuels and kerosene at facilities owned or leased by those certificate or permit SB1907 Engrossed - 6 - LRB099 07517 HLH 27639 b holders and used in their activities at an airport described above.

Except as hereinafter provided, a person holding a valid unrevoked license to act as a distributor of motor fuel shall, between the 1st and 20th days of each calendar month, make return to the Department, showing an itemized statement of SB1907 Engrossed - 7 - LRB099 07517 HLH 27639 b the number of invoiced gallons of motor fuel of the types specified in this Section which were purchased, acquired, received, or exported during the preceding calendar month;

(A) All products commonly or commercially known or sold as gasoline (including casing-head and absorption or SB1907 Engrossed - 8 - LRB099 07517 HLH 27639 b natural gasoline), gasohol, motor benzol or motor benzene regardless of their classification or uses;

SB1907 Engrossed - 9 - LRB099 07517 HLH 27639 b (i) a dispenser hose that is short enough so that it will not reach the fuel supply tank of a motor vehicle or (ii) a dispenser that is enclosed by a fence or other physical barrier so that a vehicle cannot pull alongside the dispenser to permit fueling.

(2) if the sale is made to a person where delivery is made outside of this State the SB1907 Engrossed - 10 - LRB099 07517 HLH 27639 b name and address of such purchaser and the point of delivery together with the date and amount delivered;

and (7) if a sale of special fuel is made to someone other than a licensed distributor, or a licensed supplier, for a use other than in SB1907 Engrossed - 11 - LRB099 07517 HLH 27639 b motor vehicles, by making a specific notation thereof on the invoice or sales slip covering such sales and obtaining such supporting documentation as may be required by the Department.

If the Department has reason to believe and does believe that the amount shown on the return as purchased, acquired, received, exported, sold, used, lost or destroyed is incorrect, or that an amount of motor fuel of the types required by the second paragraph of this Section to be reported to the Department has not been correctly reported the Department shall fix an amount for such receipt, sales, export, use, loss or SB1907 Engrossed - 12 - LRB099 07517 HLH 27639 b destruction according to its best judgment and information, which amount so fixed by the Department shall be prima facie correct.

On and after July 1, 2001, for each 6-month period January through June, net losses of motor fuel (for each category of motor fuel SB1907 Engrossed - 13 - LRB099 07517 HLH 27639 b that is required to be reported on a return) as the result of evaporation or shrinkage due to temperature variations may not exceed 1% of the total gallons in storage at the beginning of each January, plus the receipts of gallonage each January through June, minus the gallonage remaining in storage at the end of each June.

SB1907 Engrossed - 14 - LRB099 07517 HLH 27639 b "Person" means both singular and plural as the case demands, and includes individuals, partnerships, corporations, companies, societies and associations.

"Intrastate commerce" means any and all commerce or trade that is commenced, conducted and completed wholly within the limits of this State, and the phrase "introduced into intrastate commerce" means the time and place at which the first sale and delivery being made either directly to the SB1907 Engrossed - 15 - LRB099 07517 HLH 27639 b purchaser or to a carrier for shipment to the purchaser.

"Certificate of Conformance" means a document issued by the National Conference on Weights and Measures based on testing in SB1907 Engrossed - 16 - LRB099 07517 HLH 27639 b participating laboratories that indicates that the weights and measures or weighing and measuring device conform with the requirements of National Institute of Standards and Technology's Handbooks 44, 105-1, 105-2, 105-3, 105-4, or 105-8 and any subsequent revisions or supplements thereto.

These regulations may include (1) standards of net weight, measure or count, and SB1907 Engrossed - 17 - LRB099 07517 HLH 27639 b reasonable standards of fill, for any commodity in package form, (2) rules governing the technical and reporting procedures to be followed and the report and record forms and marks of approval and rejection to be used by inspectors of weights and measures in the discharge of their official duties, and (3) exemptions from the sealing or marking requirements of Section 14 of this Act with respect to weights and measures of such character or size that such sealing or marking would be inappropriate, impracticable, or damaging to the apparatus in question.

Specifications, tolerances, and regulations for commercial weighing and measuring devices recommended by the National Institute of Standards and Technology and published in National Institute of Standards and Technology Handbook 44 and supplements thereto or in any publication revising or superseding Handbook 44, shall be the specifications, tolerances, and regulations for commercial weighing and measuring devices of this State, except insofar as specifically SB1907 Engrossed - 18 - LRB099 07517 HLH 27639 b modified, amended, or rejected by a regulation issued by the Director.

The Director is authorized to prescribe by regulation, after public hearings, container sizes for fluid dairy products and container sizes for ice cream, frozen desserts, and similar SB1907 Engrossed - 19 - LRB099 07517 HLH 27639 b items.

Beginning January 1, 1996, all receivers of fuel are subject to an environmental impact fee of $60 per 7,500 gallons of fuel, or an equivalent amount per fraction thereof, that is sold or used SB1907 Engrossed - 20 - LRB099 07517 HLH 27639 b in Illinois.

In addition, no fee may be imposed when the sale is made with delivery to a purchaser outside this State or when SB1907 Engrossed - 21 - LRB099 07517 HLH 27639 b the sale is made to a person holding a valid license as a receiver.

8-2-01.) SB1907 Engrossed - 22 - LRB099 07517 HLH 27639 b INDEX Statutes amended in order of appearance 35 ILCS 505/1.8 from Ch.