Departmene of Tramportation VlCiorill F. Sheehan Commissioner


### December 7, 2015 Mr. Randall S. Fiertz, 

## THE STATE OF NEWHAMPSHIRE DEPARTMENTOF TRANSPORTATION



### Director, Office ofAirport Compliance and Management Analysis Federal Aviation Administration 800 Independence A venue Washington, DC 20591 Dear Mr. Fiertz, William Cass , P.E. Assistant Commissioner



### The State ofNew Hampshire currently collects aviation fuel fees through an Airway Toll (aviation fuel fee). The following New Hampshire Revised Statutes Annotated (RSA's) outlines the manner at which the Airway Toll is collected. RSA 422.34 Airway Toll states: 1 There is hereby imposed an airways toll of$

.04pergallon upon the sale of each gallon of motor fuel or fuel, as defined by RSA 259:58 , sold to and used in thepropulsion of aircraft. The airways toll shall be subject to the exemptionsprovided for government sales by RSA 260:32. 

### /1 There is hereby imposed an airways toll of$.02pergallon on the sale of ea ch gallon of aviation jet fuel soldand used in thepropul s ion of aircraft

. All aircraft, however , that are certified to operate underpart 121 of the rules and regulations of the FederalAviationAdministration shall pay an airways toll of$.005 pergallon on aviation jet fuel soldand used in thepropulsion of aircraft. 

### Ill The amount of motor fuel or fuel sold to and used in thepropulsion of aircraft shall be determined by , and the toll shall be collected by, the director of motor vehicles, under the authority and procedure established by theprovi s ions of RSA 260:30-65

-a and the director of motor vehicles may furtherpromulgate and establish such additional rules , regulations and procedures as the director may deem neces sary in the collection and allocation of the airways tollprovided herein. In the case of sales of fuel, the airways toll shall be collected at the time of the sale of such fuel, and payment made to the director in the same manner as in the case of motor fuel

. The director shallpay monthly to the state treasurer all revenue collected in accordance with the foregoingprovi sions
. 

### W. The airway s toll established herein shall be construed as being in lieu of the motor vehicle road tolls upon motor fuel used in thepropulsion of aircraft

. The director of motor vehicles, beforepaying over to the state treasurer revenue collected from saidairways toll, shall deduct therefrom expenses of collection. 

### Currently, all aviation fuel fees are collected at the state level and deposited directly into the State General Fund. The agency that collects the Airway Toll does not deduct administrat ive fees to process the revenue. Through the budget process, the State historically has provided more funding than what was collected from the
JOHN 0. MORTON BUILDING • 7 HAZEN DRIVE • P.O. BOX 483 • CONCORD, NEW HAMPSHIRE 03302-0483 TELEPHONE : 603-271-3734 • FAX: 603-271-3914 • TOO: RELAY NH 1-800-735-2964 • INTERNET: VVWvV.NHOOT.COMAirway Toll. The state general funded operational and capital budgets provides funding for the Department of Transportation, Bureau of Aeronautics and the State match (5%) for all p r ojects funded by the F ederal Av i at i o n Administration (FAA) Airport Improvement Program (AlP). Revenue collected from the New Hampshire Airway Toll is approximately $200,000-$400,000 annually. State Hampshire Action Plan It will be necessary for the State ofNew Hampshire to amend RSA 422:34 Airway Toll to deposit all funds directly to a dedicated aeronautics fund. This change will require the amendment to pass through the legislative process of t h e New Hampshi r e General Court . If successful, the legislative process c ould take one t o two years. The Department of Transportation, Bureau of Aeronautics, in consultation with the Department of Safety (collection agency , will make every effort to bring this legislative amendment befor e the N H General Court. ::rce Patrick C. Herlihy Director of Aeronautics , Rail and Transit