BILL REQ. #: S-4882.1
| State of Washington | 59th Legislature | 2006 Regular Session |
READ FIRST TIME 02/02/06.
AN ACT Relating to providing incentives for the conversion of methane gas to a useable fuel; adding a new section to chapter 82.08 RCW; adding a new section to chapter 82.12 RCW; creating a new section; providing an effective date; and providing expiration dates.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
NEW SECTION. Sec. 1 The legislature seeks to encourage the
conversion of methane gas to a useable fuel for use in motor vehicles,
the generation of electricity, or other off-site fuel consumption.
This conversion provides an alternative use for methane gas projects
and provides environmental benefits because it is a clean burning fuel.
NEW SECTION. Sec. 2 A new section is added to chapter 82.08 RCW
to read as follows:
(1) The tax levied by RCW 82.08.020 does not apply to sales of
machinery and equipment, or to services rendered in respect to
constructing structures, installing, constructing, repairing, cleaning,
decorating, altering, or improving of new or existing structures or new
or existing machinery and equipment, or to sales of tangible personal
property that becomes an ingredient or component of new or existing
structures or new or existing machinery and equipment, if the
machinery, equipment, or structure is integral and necessary for the
conversion of methane gas to a useable fuel.
(2) The tax levied by RCW 82.08.020 does not apply to charges made
for labor and services rendered in respect to installing, repairing,
cleaning, altering, or improving vehicles including new parts, repair
parts, and replacement parts, integral and necessary for the conversion
to operate the vehicles on liquid fuel or compressed natural gas
converted from methane gas.
(3) A person taking the exemption under this section must keep
records necessary for the department to verify eligibility under this
section. The exemption is available only when the buyer provides the
seller with an exemption certificate in a form and manner prescribed by
the department. The seller shall retain a copy of the certificate for
the seller's files.
(4) The definitions in this subsection apply throughout this
section and section 3 of this act.
(a) "Machinery and equipment" means industrial fixtures, devices,
and support facilities and tangible personal property that becomes an
ingredient or component thereof, including repair parts and replacement
parts that are integral and necessary for the conversion of methane gas
into a useable fuel.
(b) "Methane gas" means a renewable, waste, or stranded source of
methane gas from a landfill, anaerobic digestion system, agricultural
waste, or sewage system.
(c) "Useable fuel" means a liquid or compressed gas that can be
used as fuel for a motor vehicle, be used to generate electricity, or
be used as a fuel in other off-site consumption.
(5) This section expires July 1, 2009.
NEW SECTION. Sec. 3 A new section is added to chapter 82.12 RCW
to read as follows:
(1) The provisions of this chapter do not apply with respect to the
use of machinery and equipment, or to services rendered in respect to
constructing structures, installing, constructing, repairing, cleaning,
decorating, altering, or improving of new or existing structures or new
or existing machinery and equipment, or tangible personal property that
becomes an ingredient or component of new or existing structures or new
or existing machinery and equipment, integral and necessary for the
conversion of methane gas to a useable fuel.
(2) The provisions of this chapter do not apply to charges made for
labor and services rendered in respect to installing, repairing,
cleaning, altering, or improving vehicles including new parts, repair
parts, and replacement parts, integral and necessary for the conversion
to operate the vehicles on liquid fuel or compressed natural gas
converted from methane gas.
(3) The definitions in section 2 of this act apply in this section.
(4) This section expires July 1, 2009.
NEW SECTION. Sec. 4 This act takes effect July 1, 2006.