Introduced
by
To extend a lapsed tax-break subsidy on the sale of biodiesel and E-85 ethanol fuels. Under current law, the motor fuel tax on these fuels is 3-cents lower than other fuels as long as the legislature reimburses the forgone transportation budget money from the state general fund. The legislature did not do that in 2007, so the tax break ended on Jan. 1, 2008. This bill would reinstate it, and also increase from $2.5 million to $6 million the cap on the amount of foregone motor fuel tax revenue allowed by the <a href="http://www.michiganvotes.org/2006-SB-1074">2006 law that authorized the tax subsidy</a>. When that cap is reached the tax break would end.
Referred to the Committee on Agriculture
