Bill Text: MI SB0862 | 2009-2010 | 95th Legislature | Introduced

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Bill Title: Transportation; motor carrier fuel tax; diesel fuel tax; increase, and provide phase-in period. Amends sec. 2 of 1980 PA 119 (MCL 207.212).

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2009-12-09 - Referred To Committee Of The Whole [SB0862 Detail]

Download: Michigan-2009-SB0862-Introduced.html

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SENATE BILL No. 862

 

September 23, 2009, Introduced by Senator GILBERT and referred to the Committee on Transportation.

 

 

     A bill to amend 1980 PA 119, entitled

 

"Motor carrier fuel tax act,"

 

by amending section 2 (MCL 207.212), as amended by 2006 PA 346.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 2. (1) A motor carrier licensed under this act shall pay

 

a road tax calculated on the amount of motor fuel consumed in

 

qualified commercial motor vehicles on the public roads or highways

 

within this state. Except as otherwise provided under subsection

 

(6), the The tax shall be at the rate of 15 19 cents per gallon on

 

motor fuel consumed on the public roads or highways within this

 

state. In addition, qualified commercial motor vehicles licensed

 

under this act that travel in interstate commerce will be subject

 

to the definition of taxable motor fuels and rates as defined by

 

the respective international fuel tax agreement member

 

jurisdictions. A return shall be filed, and the tax due paid,

 

quarterly to the department on or before the last day of January,

 

April, July, and October of each year on a form prescribed and

 

furnished by the department. Each quarterly return and tax payment

 

shall cover the liability for the annual quarter ending on the last

 

day of the preceding month.

 

     (2) The amount of motor fuel consumed in the operation of a

 

motor carrier on public roads or highways within this state shall

 

be determined by dividing the miles traveled within Michigan by the

 

average miles per gallon of motor fuel. The average miles per

 

gallon of motor fuel shall be determined by dividing the miles

 

traveled within and outside of Michigan by the total amount of

 

motor fuel consumed within and outside of Michigan.

 

     (3) In the absence of records showing the average number of

 

miles operated per gallon of motor fuel, it shall be presumed that

 

1 gallon of motor fuel is consumed for every 4 miles traveled.

 

     (4) The quarterly tax return shall be accompanied by a

 

remittance covering any tax due.

 

     (5) The commissioner, when he or she considers it necessary to

 

ensure payment of the tax or to provide a more efficient

 

administration of the tax, may require the filing of returns and

 

payment of the tax for other than quarterly periods.

 

     (6) The road tax required under this section shall be at a

 

rate of 12 cents per gallon for diesel fuel that contains at least

 

5% biodiesel. As used in this subsection, "biodiesel" means a fuel

 

composed of mono-alkyl esters of long chain fatty acids derived

 

from vegetable oils or animal fats and, in accordance with

 

standards specified by the American society for testing and

 

materials, designated B100 and meeting the requirements of D-6751,

 

as approved by the department of agriculture.

 

     (7) Beginning on September 1, 2006, the state treasurer shall

 

annually determine, for the 12-month period ending May 1 and for

 

any additional times that the treasurer may determine, the

 

difference between the amount of motor fuel tax collected and the

 

amount of motor fuel tax that would have been collected but for the

 

differential rates on motor fuel in section 8 of the motor fuel tax

 

act, 2000 PA 403, MCL 207.1008, and on motor fuel in subsection

 

(6). Subsection (6) is no longer effective the earlier of 10 years

 

after September 1, 2006 or the first day of the first month that is

 

not less than 90 days after the state treasurer certifies that the

 

total cumulative rate differential due to the differential rates in

 

section 8 of the motor fuel tax act, 2000 PA 403, MCL 207.1008, and

 

subsection (6) from September 1, 2006 is greater than

 

$2,500,000.00.

 

     (8) The legislature shall annually appropriate to the Michigan

 

transportation fund created in 1951 PA 51, MCL 247.651 to 247.675,

 

the amount determined as the rate differential certified by the

 

state treasurer for the 12-month period ending on May 1 of the

 

calendar year in which the fiscal year begins. Subsection (6) shall

 

not be effective beginning January of any fiscal year for which the

 

appropriation required under this subsection has not been made by

 

the first day of the fiscal year.

 

     Enacting section 1. This amendatory act takes effect January

 

1, 2010.