Provides definitions relating to small-scale powered equipment.

Requires that any retailer that offers for sale an item that satisfies the definition of small-scale powered equipment provide equal or greater shelf space to similar products that are powered by an electrical cord or a rechargeable battery.

Declares that any retailer that offers for sale an item that satisfies the definition of small-scale powered equipment dedicate a portion of its shelf space to adequate signs describing the consumer benefits of choosing electric or battery-powered engines over small-scale powered equipment.

Calls for the department to offer electrical equipment incentive grants on a competitive basis to city or county governments.

Provides that except as otherwise provided, state agencies are prohibited from purchasing small-scale powered equipment if the market offers an alternative item that is powered by an electrical cord or rechargeable battery.

Encourages local governments and school districts to review their purchasing and use of small-scale powered equipment and select, when possible, alternative items that are powered by an electrical cord or rechargeable battery.

Creates the electrical equipment incentive account in the state treasury.

Provides that in addition to any other taxes, there is levied and there shall be collected by the department from every person for the privilege of engaging within this state in business as a wholesaler or as a retailer an electrical equipment incentive tax equal to the gross proceeds of sales of all small-scale powered equipment that are sold within this state multiplied by six percent.