An Act To Delay the Fiscal Sustain ability of the Highway Fund LR 1882(02)
Maine Legislature, Session 121, LD 1375
Committee Amendment CA_A_H121 (House)
Amends: 36 MRSA §2903, 36 MRSA §3203

COMMITTEE AMENDMENT "If· to H. P . 
Act To Delay the Fiscal Sustainability 
1010, L.D. 1375, Bill, 
of the Highway Fund" 
"An 
Amend the bill by inserting after the title and before the 
enacting clause the following: 
. Emergency preamble. Whereas, Acts of the Legislature do not 
become effective until 90 days after adjournment unless enacted 
as emergencies; and 
Whereas, the 90-day period may not terminate until after the 
beginning of the next fiscal year; and 
Whereas, the need for additional revenue for the Highway 
Fund will commence at the beginning of the next fiscal year; and 
Whereas, in the judgment of the Legislature, these facts 
create an emergency within the meaning of the Constitution of 
Maine 
and 
require 
the 
following 
legislation 
as 
immediately 
necessary for the preservation of the public peace, health and 
safety; now, therefore,' 
Further amend the bill by striking out everything after the 
enacting clause and before the summary and inserting in its place 
the following: 
. Sec. I. 36 MRSA §2903, sub-§I, as amended by PL 2001, c. 688, 
§l, is further amended to read: 
COMMITTEE AMENDMENT 
~.~Cb, 
COMMITTEE AMENDMENT ,~ to H.P. 1010, L.D. 1375 
1. 
Excise tax imposed. 
An 
excise 
tax is 
imposed 
on 
internal combustion engine fuel used or sold within this State, 
including sales to the State or a political subdivision of the 
State, at the rate of aa¢ ~ 
per gallon, except that the rate is 
3.4¢ per gallon on internal combustion engine fuel, as defined in 
section 2902, bought or used for the purpose of propelling jet or 
turbojet engine aircraft. 
The tax rate provided by this section 
is subject to annual inflation adjustment pursuant to section 
3321 except with respect to the tax imposed upon fuel bought or 
used 
for 
the purpose 
of propelling jet or turbojet 
engine 
aircraft. 
Sec. 2. 36 MRSA §3203, sub-§l, as amended by PL 2001, c. 688, 
§5, is further amended to read: 
1. 
Generally. 
Except as provided in section 3204-A, 
an 
excise tax is levied and imposed on all suppliers of distillates 
sold, on all retailers of low-energy fuel sold and on all users 
of special fuel used in this State for each gallon of distillate 
at the rate of a6¢ lQt per gallon and for each gallon of 
low-energy fuel based on the British Thermal Unit, referred to in 
this 
subsection as 
"BTU," 
energy content for 
each 
fuel 
as 
compared to gasoline. 
In the case of distillates, the tax rate 
provided 
by 
this 
section 
is 
subject 
to 
annual 
inflation 
adjustment pursuant to section 3321. 
Applicable BTU values are 
as follows. 
Fuel type 
Gasoline 
Methanol 
(M85) 
Ethanol 
(E85) 
BTU content 
per gallon 
115,000 
65,530 
81,850 
Formula 
(BTU 
value fuel/ 
BTU value 
gasoline) 
x tax rate 
gasoline 
Tax rate 
100~ x aa¢ ~ 
aa. ~ 
per 
gallon as 
authorized 
in section 
2903 
57~ x aa. ~ 
~aT9' 14.25¢ per 
gallon 
71~ x aa. l2t 
~9T9. 17.75¢ per 
gallon 
COMMITTEE AMENDMENT 
." 
~. 
COMMITTEE AMENDMENT ,,~ to H.P. 1010, L.D. 1315 
Propane 
Compressed 
Natural Gas 
84,500 
100,000 
(BTU per 100 
standard cubic 
feet) 
73~ x aa¢ ~ le¢ l8.25¢ per 
gallon 
19T1¢ 2l.75¢ per 
standard 
cubic 
feet 
Sec. 3. 36 MRSA c. 465, as enacted by PL 2001, c. 688, 
§8, is repealed. 
Sec. 4. Application. 
Those sections of this Act that 
amend the Maine Revised Statutes, Title 36, section 2903, 
subsection 1 
and section 3203, 
subsection 1 
apply to 
transactions involving internal combustion fuel used or 
sold on or after July 1, 2003. 
Emergency clause. 
In view of the emergency cited in 
the preamble, this Act takes effect when approved.' 
SUMMARY 
This amendment is the minority report and does the 
following: 
1. 
It repeals the indexing of motor fuel tax rates; 
2. 
It increases the gasoline tax by 3¢; and 
3. 
It increase the special fuels tax by 3¢. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Net Cost (Savings) 
General Fund 
Highway Fund 
Revenue 
General Fund 
Highway Fund 
Other Special Revenue Funds 
Fiscal Detail and Notes 
Highway Fund - Gas Tax 
Highway Fund - Special Fuel Tax 
Approved: 04/09/03 ;:t!;?aC!. 
Office of Fiscal and Program Review 
LD 1375 
An Act To Delay the Fiscal Sustain ability of the Highway Fund 
LR 1882(02) 
Fiscal Note for Bill as Amended by Committee Amendment" " 
Committee: Transportation 
Fiscal Note Required: Yes 
Fiscal Note 
2003-04 
($2,600) 
($3,060,096) 
$2,600 
$3,060,096 
$0 
$2,560,855 
$499,241 
2004-05 
$1,315 
$2,204,450 
($1,315) 
($2,204,450) 
$0 
($1,513,778) 
($690,672) 
Projections 
Projections 
2005-06 
2006-07 
$13,486 
$24,931 
$7,504,137 
$13,388,208 
($13 ,486) 
($24,931) 
($7,504,137) 
($13,388,208) 
($137,916) 
($247,475) 
($5,684,140) 
($10,199,475) 
($1,819,997) 
($3,188,733) 
Repealing the annual indexing of motor fuel taxes and increasing the gasoline and special fuel taxes will increase 
Highway Fund revenue by $3,060,096 in fiscal year 2003-04 and decrease Highway Fund revenue by $2,204,450 in 
fiscal year 2004-05. It will also increase General Fund revenue by $2,600 in fiscal year 2003-04 and decrease General 
Fund revenue by $1,315 in fiscal year 2004-05. 
LR1882(2) - Fiscal Note - Page 1 of 1