Z‑0713.2   _____________________________________________

 

HOUSE BILL 1443

 

           _____________________________________________

 

State of Washington      57th Legislature     2001 Regular Session

 

By Representatives Wood, Crouse, Poulsen, Ogden, Edmonds, Linville, Kagi, Van Luven, Hatfield, Kenney, Cooper, O'Brien, Conway, Lovick, Roach, Bush, Morell, Veloria, Berkey, Miloscia, McIntire, Esser, Rockefeller, McDermott and Kessler; by request of Governor Locke

 

Read first time 01/25/2001.  Referred to Committee on Technology, Telecommunications & Energy.

_1      AN ACT Relating to public utility tax credits for home energy

_2  assistance programs for low-income households; and adding a new

_3  section to chapter 82.16 RCW.

     

_4  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

     

_5      NEW SECTION.  Sec. 1.  A new section is added to chapter 82.16

_6  RCW to read as follows:

_7      (1) Unless the context clearly requires otherwise, the

_8  definitions in this subsection apply throughout this section.

_9      (a) "Base credit" means the maximum amount of credit against

10  the tax imposed by this chapter that each light and power business

11  or gas distribution business may take each fiscal year as

12  calculated by the department.  The base credit is equal to the

13  proportionate share that the total grants received by each light

14  and power business or gas distribution business in the prior

15  fiscal year bears to the total grants received by all light and

16  power businesses and gas distribution businesses in the prior

17  fiscal year multiplied by two million five hundred thousand

18  dollars.

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_1      (b) "Billing discount" means a reduction in the amount charged

_2  for providing service to qualifying persons in Washington made by

_3  a light and power business or a gas distribution business.  Billing

_4  discount does not include grants received by the light and power

_5  business or a gas distribution business.

_6      (c) "Grant" means funds provided to a light and power business

_7  or gas distribution business by the department of community,

_8  trade, and economic development or by an organization that

_9  contracts with the department of community, trade, and economic

10  development, pursuant to the low-income home energy assistance

11  program.

12      (d) "Low-income home energy assistance program" means energy

13  assistance programs for low-income households as defined on

14  December 31, 2000, in the low-income home energy assistance act of

15  1981 as amended August 1, 1999, 42 U.S.C. Sec. 8623 et seq.

16      (e) "Qualifying person" means a Washington resident who applies

17  for assistance and qualifies for a grant regardless of whether

18  that person receives a grant.

19      (2) Subject to the limitations in this section, a light and

20  power business or a gas distribution business may take a credit

21  each fiscal year against the tax imposed under this chapter for

22  billing discounts that are equal to or greater than one hundred

23  twenty-five percent of the billing discounts given in fiscal year

24  2000.  The amount of credit shall be fifty percent of the billing

25  discount, limited to the base credit for the same fiscal year.

26      (3) The total amount of credit, statewide, that may be taken in

27  any fiscal year shall not exceed two million five hundred thousand

28  dollars.  By May 1st of each year starting in 2002, the department

29  of community, trade, and economic development shall notify the

30  department of revenue in writing of the grants received in the

31  current fiscal year by each light and power business and gas

32  distribution business.

33      (4)(a) Not later than June 1st of each year beginning in 2002,

34  the department shall publish the base credit for each light and

35  power business and gas distribution business for the next fiscal

36  year.

37      (b) Not later than July 1st of each year beginning in 2002,

38  application for credit must by made to the department including

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_1  but not limited to the following information:  Billing discounts

_2  given by the applicant in fiscal year 2000; the base credit for

_3  the next fiscal year for the applicant; and billing discounts

_4  anticipated to be given in the next fiscal year.  No credit under

_5  this section will be allowed to a light and power business or gas

_6  distribution business that does not file the application by July

_7  1st.

_8      (c) Not later than August 1st of each year beginning in 2002,

_9  the department shall notify each applicant of the amount of credit

10  that may be taken in that fiscal year.

11      (d) The balance of base credits not used by other light and

12  power businesses and gas distribution businesses shall be ratably

13  distributed to applicants under the formula in subsection (1)(a)

14  of this section.  The total amount of credit that may be taken by an

15  applicant is the base credit plus any ratable portion of unused

16  base credit.

17      (5) The credit taken under this section is limited to the

18  amount of tax imposed under this chapter for the fiscal year.  The

19  credit must be claimed in the fiscal year in which the billing

20  reduction is made.  Any unused credit expires.  Refunds shall not be

21  given in place of credits.

22      (6) No credit may be taken for billing discounts made before

23  July 1, 2001.  Within two weeks of the effective date of this

24  section, the department of community, trade, and economic

25  development shall notify the department of revenue in writing of

26  the grants received in fiscal year 2001 by each light and power

27  business and gas distribution business.  Within four weeks of the

28  effective date of this section, the department of revenue shall

29  publish the base credit for each light and power business and gas

30  distribution business for fiscal year 2002.  Within eight weeks of

31  the effective date of this section, application to the department

32  must be made showing the information required in subsection (4)(b)

33  of this section.  Within twelve weeks of the effective date of this

34  section, the department shall notify each applicant of the amount

35  of credit that may be taken in fiscal year 2002.

 

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