Stricken language would be deleted from and underlined language would be added to present law. Act 295 of the Regular Session *CRH102* 02-25-2025 10:13:13 CRH102 State of Arkansas As Engrossed: S2/25/25 1 95th General Assembly A Bill 2 Regular Session, 2025 SENATE BILL 267 3 4 By: Senator Irvin 5 By: Representative J. Moore 6 7 For An Act To Be Entitled 8 AN ACT TO REPEAL THE ARKANSAS ALTERNATIVE MOTOR FUEL 9 DEVELOPMENT ACT; TO REPEAL THE ALTERNATIVE MOTOR FUEL 10 DEVELOPMENT FUND; AND FOR OTHER PURPOSES. 11 12 13 Subtitle 14 TO REPEAL THE ARKANSAS ALTERNATIVE MOTOR 15 FUEL DEVELOPMENT ACT; AND TO REPEAL THE 16 ALTERNATIVE MOTOR FUEL DEVELOPMENT FUND. 17 18 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 19 20 SECTION 1. Arkansas Code Title 15, Chapter 10, Subchapter 9, is 21 repealed. 22 Subchapter 9 — Arkansas Alternative Motor Fuel Development Act 23 24 15-10-901. Title. 25 This subchapter shall be known and may be cited as the “Arkansas 26 Alternative Motor Fuel Development Act”. 27 28 15-10-902. Definitions. 29 As used in this subchapter: 30 (1) “Compressed natural gas” means compressed natural gas that 31 is to be delivered to a motor vehicle at a pressure of at least three 32 thousand pounds per square inch (3,000 psi); 33 (2) “Compressed natural gas refueling station” means property 34 that: 35 (A) Is directly related to the delivery of compressed 36 As Engrossed: S2/25/25 SB267 2 02-25-2025 10:13:13 CRH102 natural gas into the fuel tank of a licensed motor vehicle, including without 1 limitation the compression equipment, storage vessels, quality control 2 equipment, and dispensers for compressed natural gas; 3 (B) Is available to the public twenty -four (24) hours each 4 day; 5 (C) Is metered on a gasoline gallon equivalent basis; and 6 (D) Contains a credit card reader that allows for the use 7 of a credit card or debit card to purchase the compressed natural gas; 8 (3) “Diesel gallon equivalent” means six and twenty -two 9 hundredths pounds (6.22 lbs.) of liquefied natural gas; 10 (4) “Electric vehicle” means a plug -in electric drive motor 11 vehicle that is propelled by one (1) or more electric motors using electrical 12 energy stored in rechargeable batteries or other energy storage devices; 13 (5) “Gasoline gallon equivalent” means five and sixty -six 14 hundredths pounds (5.66 lbs.) of compressed natural gas or one hundred 15 twenty-six and sixty-seven hundredths cubic feet (126.67 cu. ft.) of natural 16 gas; 17 (6) “Liquefied natural gas” means natural gas that is super -18 cooled into a liquid fuel that is used primarily in medium -duty and heavy-19 duty vehicles; 20 (7) “Liquefied natural gas refueling station” means property 21 that: 22 (A) Is directly related to the delivery of liquefied 23 natural gas into the fuel tank of a licensed motor vehicle, including without 24 limitation the compression equipment, refrigeration equipment, storage 25 vessels, and dispensers for liquefied natural gas; 26 (B) Is available to the public twenty -four (24) hours each 27 day; 28 (C) Is metered on a diesel gallon equivalent basis; and 29 (D) Contains a credit card reader that allows for the use 30 of a credit card or debit card to purchase the liquefied natural gas; 31 (8)(A) “Liquefied petroleum gas” means gas derived from 32 petroleum or natural gas that is: 33 (i) In a gaseous state at normal atmospheric 34 temperature and pressure but may be maintained in a liquid state at normal 35 atmospheric temperature by the application of sufficient pressure; and 36 As Engrossed: S2/25/25 SB267 3 02-25-2025 10:13:13 CRH102 (ii) Normally stored as a liquid under pressure. 1 (B) “Liquefied petroleum gas” does not include pentane, 2 gasoline, or oil; 3 (9) “Liquefied petroleum gas refueling station” means property 4 that: 5 (A) Is directly related to the delivery of liquefied 6 petroleum gas into the fuel tank of a licensed motor vehicle, including 7 without limitation the compression equipment, storage vessels, and dispensers 8 for liquefied petroleum gas; 9 (B) Is available to the public twenty -four (24) hours each 10 day; 11 (C) Is metered on a gasoline gallon equivalent basis; and 12 (D) Contains a credit card reader that allows for the use 13 of a credit card or debit card to purchase the liquefied petroleum gas; 14 (10) “Motor vehicle” means a motor vehicle licensed under the 15 laws of this state or another state that was originally designed by the 16 manufacturer to operate lawfully and principally on highways, roads, and 17 streets; 18 (11) “Private electric vehicle charging station” means a 19 charging station of two hundred forty volts (240 V) or less that is purchased 20 for private use and supplies electricity for charging one (1) or more 21 electric vehicles; 22 (12) “Public electric vehicle charging station” means a charging 23 station of two hundred forty volts (240 V) or more that: 24 (A) Supplies electricity for charging one (1) or more 25 electric vehicles; 26 (B) Is available to the public twenty -four (24) hours a 27 day; and 28 (C) Contains a credit card reader that allows for the use 29 of a credit card or debit card to purchase electricity; 30 (13) “Qualified alternative motor vehicle fuel” means 31 electricity, a hydrogen fuel cell, compressed natural gas, liquefied natural 32 gas, or liquefied petroleum gas; and 33 (14) “Qualified alternative motor vehicle property” means: 34 (A) New equipment that: 35 (i) Is installed: 36 As Engrossed: S2/25/25 SB267 4 02-25-2025 10:13:13 CRH102 (a) By a certified mechanic; 1 (b) On a motor vehicle with a model year that 2 is no older than one (1) model year older than the current year; and 3 (c) To convert a motor vehicle propelled by 4 gasoline or diesel fuel to be propelled by a qualified alternative motor 5 vehicle fuel; 6 (ii) Is approved by the United States Environmental 7 Protection Agency under 40 C.F.R. Part 85 Subpart F, 40 C.F.R. § 85.501 et 8 seq., and 40 C.F.R. Part 86 Subpart S, 40 C.F.R. § 86.1801 -01 et seq.; and 9 (iii) Has not been used to modify or retrofit any 10 other motor vehicle propelled by gasoline or diesel fuel; 11 (B) The portion of the basis of a motor vehicle with a 12 model year that is no older than one (1) model year older than the current 13 year and that was originally equipped to be propelled by a qualified 14 alternative motor vehicle fuel that is attributable to the: 15 (i) Storage of the qualified alternative motor 16 vehicle fuel; 17 (ii) Delivery of the qualified alternative motor 18 vehicle fuel to the motor vehicle's engine; and 19 (iii) Exhaust of gases from the combustion of the 20 qualified alternative motor vehicle fuel; or 21 (C) New property that: 22 (i) Is directly related to the: 23 (a) Compression and delivery of natural gas 24 from a private home or residence for noncommercial purposes into the fuel 25 tank of a motor vehicle propelled by compressed natural gas; or 26 (b) Delivery of electricity from a private 27 home or residence for noncommercial purposes into a motor vehicle propelled 28 by electricity; and 29 (ii) Has not been previously installed or used at 30 another location to refuel motor vehicles powered by natural gas or 31 electricity. 32 33 15-10-903. Rebate for refueling stations. 34 (a)(1) The Arkansas Energy Office of the Division of Environmental 35 Quality may offer a rebate for each approved private electric vehicle 36 As Engrossed: S2/25/25 SB267 5 02-25-2025 10:13:13 CRH102 charging station, public electric vehicle charging station, compressed 1 natural gas refueling station, liquefied natural gas refueling station, and 2 liquefied petroleum gas refueling station that is: 3 (A) Not more than seventy -five percent (75%) of the 4 qualifying costs of the compressed natural gas refueling station, liquefied 5 natural gas refueling station, or liquefied petroleum gas refueling station, 6 not to exceed four hundred thousand dollars ($400,000); 7 (B) Not more than fifty percent (50%) of the eligible 8 equipment purchase and installation cost of the private electric vehicle 9 charging station, not to exceed nine hundred dollars ($900); or 10 (C) Not more than fifty percent (50%) of the eligible 11 equipment purchase and installation cost of the public electric vehicle 12 charging station, not to exceed five thousand dollars ($5,000). 13 (2) The Director of the Division of Environmental Quality may 14 increase the rebate percentages listed under subdivision (a)(1) of this 15 section if the increase is designated or authorized by a funding source 16 approved by a federal settlement or state settlement. 17 (b) A rebate offered under this section does not apply to any of the 18 following: 19 (1) The cost of land for the private electric vehicle charging 20 station, public electric vehicle charging station, compressed natural gas 21 refueling station, liquefied natural gas refueling station, or liquefied 22 petroleum gas refueling station; 23 (2) The cost of any buildings for the private electric vehicle 24 charging station, public electric vehicle charging station, compressed 25 natural gas refueling station, liquefied natural gas refueling station, or 26 liquefied petroleum gas refueling station; and 27 (3) Any costs not directly associated with the compression, 28 storage, or dispensing of compressed natural gas, or the storage and 29 dispensing of liquefied natural gas or liquefied petroleum gas, or the 30 dispensing of electricity. 31 (c) To be eligible for a rebate under this section, a person or entity 32 shall complete and submit an application for the rebate on the forms 33 prescribed by the office. 34 (d) The office shall ensure that the following criteria are met before 35 providing a rebate under this section: 36 As Engrossed: S2/25/25 SB267 6 02-25-2025 10:13:13 CRH102 (1) The applicant is registered as a business entity in good 1 standing with the Secretary of State; 2 (2) The dispenser at the compressed natural gas refueling 3 station, liquefied natural gas refueling station, or liquefied petroleum gas 4 refueling station has been inspected and certified by the State Division of 5 Weights and Measures of the Arkansas Bureau of Standards of the State Plant 6 Board or a registered service agency of the division; 7 (3) The dispenser at the private electric vehicle charging 8 station or public electric vehicle charging station has been inspected and is 9 in compliance with the rules promulgated by the office and any other 10 applicable laws; 11 (4) The applicant for a rebate on a compressed natural gas 12 refueling station, liquefied natural gas refueling station, or liquefied 13 petroleum gas refueling station meets the siting requirements stated in the 14 National Fire Protection Association's NFPA 52: Vehicular Natural Gas Fuel 15 Systems Code, 2016 Edition; and 16 (5) The applicant for a rebate on a private electric vehicle 17 charging station or public electric vehicle charging station meets the siting 18 requirements stated in the National Fire Protection Association's NFPA 70: 19 National Electrical Code, 2017 Edition. 20 21 15-10-904. Rebates for qualified alternative motor vehicle property. 22 (a) The Arkansas Energy Office of the Division of Environmental 23 Quality may offer a rebate for qualified alternative motor vehicle property 24 that is: 25 (1) Not more than fifty percent (50%) of the cost of the 26 qualified alternative motor vehicle property, not to exceed four thousand 27 five hundred dollars ($4,500) for each motor vehicle that is powered by 28 hydrogen fuel cell, compressed natural gas, liquefied natural gas, or 29 liquefied petroleum gas; and 30 (2) Not more than fifty percent (50%) of the cost of the 31 qualified alternative motor vehicle property, not to exceed two thousand five 32 hundred dollars ($2,500) for each qualified alternative motor vehicle 33 property that is powered by electricity. 34 (b) The Director of the Division of Environmental Quality may increase 35 the rebate percentages listed under subsection (a) of this section if the 36 As Engrossed: S2/25/25 SB267 7 02-25-2025 10:13:13 CRH102 increase is designated or authorized by a funding source approved by a 1 federal settlement or state settlement. 2 3 SECTION 2. Arkansas Code § 19 -5-1249 is repealed. 4 19-5-1249. Alternative Motor Fuel Development Fund. 5 (a) There is created on the books of the Treasurer of State, the 6 Auditor of State, and the Chief Fiscal Officer of the State a miscellaneous 7 fund to be known as the “Alternative Motor Fuel Development Fund”. 8 (b) The fund shall consist of: 9 (1) Grants made by a person, entity, or federal government 10 agency; 11 (2) Other funds that become available through energy programs; 12 (3) Any remaining fund balances carried forward from year to 13 year; and 14 (4) Any other funds authorized or provided by law. 15 (c) The fund shall be used by the Division of Environmental Quality to 16 provide rebates and incentives under the Arkansas Alternative Motor Fuel 17 Development Act, § 15 -10-901 et seq. 18 (d) Moneys remaining in the fund at the end of each fiscal year shall 19 carry forward and be made available for the purposes stated in this section 20 in the next fiscal year. 21 22 /s/Irvin 23 24 25 APPROVED: 3/12/25 26 27 28 29 30 31 32 33 34 35 36