BILL NUMBER: AB 922INTRODUCED BILL TEXT INTRODUCED BY Assembly Member Miller FEBRUARY 26, 2009 An act to add and repeal Section 60100.2 of the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy. LEGISLATIVE COUNSEL'S DIGEST AB 922, as introduced, Miller. Diesel fuel tax exemption: biodiesel. The Diesel Fuel Tax Law imposes a tax on the removal, entry, sale, delivery, and use, as specified, of diesel fuel. That law provides various exemptions from that tax. This bill would exempt from the imposition of tax, on and after July 1, 2009, to June 30, 2014, inclusive, biomass-based diesel fuel produced in this state with California feedstock, as defined, and would require the State Energy Resources Conservation and Development Commission, in cooperation with the State Board of Equalization, to provide specified oversight of the tax incentive program and make an annual report regarding the program, as provided. This bill would take effect immediately as a tax levy. Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 60100.2 is added to the Revenue and Taxation Code, to read: 60100.2. (a) On and after July 1, 2009, and to June 30, 2014, inclusive, there is exempted from the imposition of tax pursuant to Chapter 2 (commencing with Section 60050) biomass-based diesel fuel produced in this state with California feedstock. (b) For purposes of this section: (1) "California feedstock" means any of the following: (A) Used cooking oil collected in California. (B) Trap grease and other FOGs collected in California. (C) Yellow grease produced at a California rendering plant. (D) Animal fat produced at a California rendering plant, meat packing plant, or processing plant. (E) Brown grease produced at a California rendering plant. (F) Plant or fungal crop grown in California. (G) Algae or other microorganisms cultivated in California. (2) "FOG" means fat, oil, and grease. (c) The State Energy Resources Conservation and Development Commission shall, in cooperation with the board, oversee the tax incentive program established by this section and shall annually report to the Legislature regarding the program. The report shall be posted on the commission's Internet Web site and shall include all of the following information: (1) The effect of the tax incentive program on the consumption of biodiesel by consumers. (2) Economic benefits or losses to the state as the result of the program. (3) Calculation of greenhouse gas emission reductions. (d) This section shall remain in effect only until December 1, 2014, and as of that date, is repealed. SEC. 2. This act provides for a tax levy within the meaning of Article IV of the Constitution and shall go into immediate effect.