An Act to Promote Equity in the Forest Products Industry by Allowing Commercial Wood Haulers to Be Eligible for Certain Sales Tax Exemptions and Refunds
Maine Legislature, Session 131, LD 2279
Committee Amendment CA_A_S715 (Senate)
Amends: 36 MRSA §2013

COMJvIITTEE AMENDMENT"~" to S.P. 994, L.D. 2279, "An Act to Promote 
Equity in the Forest Products Industry by Allowing Commercial Wood Haulers to Be 
Eligible for Certain Sales Tax Exemptions and Refunds" 
Amend the bill by striking out everything after the enacting clause and inserting the 
following: 
'Sec. 1. 36 MRSA §2013, sub-§1, 1B-1, as enacted by PL 2011, c. 657, Pt. N, §2 
and affected by §3, is amended to read: 
B-1. "Commercial wood harvesting" means the commercial severance tmd~ yarding 
and hauling of trees for sale or for processing into logs, pulpwood, bolt wood, wood 
chips, stud wood, poles, pilings, biomass or fuel wood or other products commonly 
known as forest products. 
Sec. 2. 36 MRSA §2013, sub-§1, ,re, as amended by PL 2019, c. 7, §2, is further 
amended by amending subparagraph (4) to read: 
(4) New or used machinery and equipment for use directly and primarily in 
commercial wood harvesting, including, but not limited to, chain saws,; skidders,; 
delimbers,; forwarders,; slashers,; feller bunchers tmd; wood chippers: semitrailers 
as defined in Title 29-A, section 101. subsection 66: trailers as defined in Title 
29-A, section 101. subsection 86: trucks as defined in Title 29-A, section 101. 
subsection 88: and truck tractors as defined in Title 29-A, section 101. subsection 
90. 
Sec. 3. 36 MRSA §2013, sub-§1, ,re, as amended by PL 2019, c. 7, §2, is further 
amended by amending the first blocked paragraph to read: 
"Depreoiable Except as provided in subparagraph ( 4), "depreciable machinery and 
equipment" does not include a motor vehicle as defined in section 1752, subsection 7 
or a trailer as defined in section 1752, subsection 19-A. 
Sec. 4. 36 MRSA §2013, sub-§1, ~ 
is enacted to read: 
COMMITTEE AMENDMENT 
ROS 
COMMITTEEAMENDMENT" ,q.."toS.P.994,L.D.2279 ($·7 IS) 
D. "Hauling" means the transportation of forest products from the forest land where 
the forest products were harvested to their initial destination involving production or 
use. 
Sec. 5. 36 MRSA §2013, sub-§2, as amended by PL 2015, c. 481, Pt. B, §1 and 
affected by §2, is further amended by enacting a new 4th blocked paragraph to read: 
In order for a purchaser or lessee engaged in commercial wood harvesting to qualify for a 
refund under this subsection. the purchaser or lessee applying for the refund must have its 
headquarters located in this State and a physical place of business in this State at which 
workers have the opportunity to apply for employment and shall provide evidence of 
payment of any property tax or excise tax due on the depreciable machinery and equipment 
for which the purchaser or lessee is seeking a refund of sales tax paid on that depreciable 
machinery and equipment. The purchaser or lessee also shall show evidence of a valid 
state inspection. pursuant to Title 29-A. chapter 15. of the semitrailer. trailer. truck or truck 
tractor used in a commercial wood harvesting operation for which the purchaser or lessee 
is seeking a refund of sales tax. 
Sec. 6. 36 MRSA §2013, sub-§3, as amended by PL 2015, c. 481, Pt. B, §1 and 
affected by §2, is further amended by enacting a new first blocked paragraph to read: 
In order for any purchaser or lessee engaged in commercial wood harvesting to qualify for 
or to maintain this exemption. the purchaser or lessee must have its headquarters located in 
this State and a physical place of business in this State at which workers have the 
opportunity to apply for employment and shall provide evidence of payment of any 
property tax or excise tax due on the depreciable machinery and equipment for which the 
purchaser or lessee is seeking to qualify for or maintain the exemption. The purchaser or 
lessee also shall provide evidence of a valid state inspection. pursuant to Title 29-A. chapter 
15. of the semitrailer. trailer. truck or truck tractor used in a commercial wood harvesting 
operation for which the person is seeking to qualify for or maintain the exemption. 
Sec. 7. Appropriations and allocations. The following appropriations and 
allocations are made. 
ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF 
Revenue Services, Bureau of 0002 
Initiative: Provides one-time funding for computer programming costs to implement 
changes to the sales tax exemption and refund for commercial wood harvesting. 
GENERAL FUND 
All Other 
GENERAL FUND TOTAL 
2023-24 
$0 
$0 
2024-25 
$4,000 
$4,000 
Sec. 8. Effective date. This Act takes effect January 1, 2025 and applies to sales 
occurring on or after January 1, 2025.' 
Amend the bill by relettering or renumbering any nonconsecutive Part letter or section 
number to read consecutively. 
COMMITTEE AMENDMENT 
COMMITTEE AMEND:MENT "ft" to S.P. 994, L.D. 2279 { ':) · 1 l ~ 
SUMMARY 
This amendment replaces the bill and provides a definition of "hauling" in relation to 
harvested forest products. The amendment removes from the bill a requirement that, in 
order for a purchaser to be eligible for the proposed sales tax refund or exemption 
certificate, the purchaser must show evidence of participation in the unemployment 
benefits program and instead requires that the purchaser or lessee have a headquarters in 
the State, a physical location in the State where workers may apply for employment and 
provide evidence of payment of property tax or excise tax and valid state inspection of 
certain vehicles used in a commercial wood harvesting operation. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Revised: 04/10/24 hac::.. 
LD 2279 
LR 3077(02) 
An Act to Promote Equity in the Forest Products Industry by Allowing Commercial Wood Haulers to 
Be Eligible for Certain Sales Tax Exemptions and Refunds 
Fiscal Note for Bill as Amended by Committee Amendment "p:J { ::,-71.5' 
Committee: Taxation 
.., J 
Net Cost (Savings) 
General Fund 
Appropriations/ Allocations 
General Fund 
Revenue 
General Fund 
Other Special Revenue Funds 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
Fiscal Note 
FY2023-24 
$0 
$0 
$0 
$0 
FY2024-25 
$69,000 
$4,000 
($65,000) 
($2,000) 
Projections 
FY2025-26 
$325,000 
. $0 
($325,000) 
($17,000) 
Projections 
FY 2026-27 
$433,000 
...• ',I 
($433,000) 
($22,000) 
Effective January I, 2025, this bill adds vehicles and trailers for hauling wood to the list of purchases that qualify for 
..... 
the sales tax exemption and sales tax refund for commercial wood harvesting and also restricts the commercial wood,,. 
harvesting sales tax exemption and refund to companies headquartered in the State. The net effect of these changes is 
a reduction in General Fund revenue of $65,000 in fiscal year 2024-25 and a reduction in Local Goverment Fund 
revenue of $2,000 in fiscal year 2024-25, as the revenue loss from making wood hauler purchases eligible for the 
sales tax exemption and refund more than offsets the revenue gain from restricting eligiblity to companies 
• • ,; .:-. 
headquartered in the State in each year. 
. . .. :. _, 
The bill includes a one-time General Fund appropriation to the Department of Administrative and Financial Services; 
Bureau of Revenue Services of $4,000 in fiscal year 2024-25 for programming costs to implement changes to the 
·, ... sales tax exemption and refund for commercial wood harvesting. 
LR3077(02} - Fiscal Note - Page 1 of 1