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HOUSE BILL 1859
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Passed Legislature - 2001 Regular Session
State of Washington 57th Legislature 2001
Regular Session
By
Read first time 02/07/2001. Referred to
Committee on Technology, Telecommunications & Energy.
Exempting electric
generating facilities using wind, solar energy, landfill gas, or fuel cells
from sales and use taxes.
AN ACT Relating to
exempting electric generating facilities using wind, solar energy, landfill
gas, or fuel cells from sales and use taxes; amending RCW 82.08.02567 and
82.12.02567; providing an effective date; providing expiration dates; and
declaring an emergency.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF
WASHINGTON:
Sec. 1. RCW 82.08.02567 and 1999
c 358 s 4 are each amended to read as follows:
(1) The tax levied by
RCW 82.08.020 shall not apply to sales of machinery and equipment used directly
in generating electricity using fuel cells, wind, sun, or landfill gas
as the principal source of power, or to sales of or charges made for labor and
services rendered in respect to installing such machinery and equipment, but
only if the purchaser develops with such machinery, equipment, and labor a
facility capable of generating not less than two hundred ((kilowatts)) watts
of electricity and provides the seller with an exemption certificate in a form
and manner prescribed by the department ((by rule)). The seller shall
retain a copy of the certificate for the seller's files.
(2) For purposes of
this section and RCW 82.12.02567:
(a) "Landfill
gas" means biomass fuel of the type qualified for federal tax credits
under 26 U.S.C. Sec. 29 collected from a landfill. "Landfill" means
a landfill as defined under RCW 70.95.030;
(b) "Machinery and
equipment" means industrial fixtures, devices, and support facilities that
are integral and necessary to the generation of electricity using wind, sun, or
landfill gas as the principal source of power;
(c) "Machinery and
equipment" does not include: (i) Hand-powered tools; (ii) property with a
useful life of less than one year; (iii) repair parts required to restore
machinery and equipment to normal working order; (iv) replacement parts that do
not increase productivity, improve efficiency, or extend the useful life of
machinery and equipment; (v) buildings; or (vi) building fixtures that are not
integral and necessary to the generation of electricity that are permanently
affixed to and become a physical part of a building;
(d) Machinery and
equipment is "used directly" in generating electricity with fuel
cells or by wind energy, solar energy, or landfill gas power if it
provides any part of the process that captures the energy of the wind, sun, or
landfill gas, converts that energy to electricity, and stores,
transforms, or transmits that electricity for entry into or operation
in parallel with electric transmission and distribution systems;
(e) "Fuel
cell" means an electrochemical reaction that generates electricity by
combining atoms of hydrogen and oxygen in the presence of a catalyst.
(3) This section
expires June 30, ((2005)) 2009.
Sec. 2. RCW 82.12.02567 and 1999
c 358 s 10 are each amended to read as follows:
(1) The provisions of
this chapter shall not apply with respect to machinery and equipment used
directly in generating not less than two hundred ((kilowatts)) watts
of electricity using wind, sun, or landfill gas as the principal source of
power.
(2) The definitions in
RCW 82.08.02567 apply to this section.
(3) This section
expires June 30, ((2005)) 2009.
NEW
SECTION. Sec. 3. This act is necessary for
the immediate preservation of the public peace, health, or safety, or support
of the state government and its existing public institutions, and takes effect
July 1, 2001.
