The original instrument and the following digest, which constitutes no part of the
legislative instrument, were prepared by Laura Gail Sullivan.
DIGEST
SB 271 Original 2015 Regular Session White
Present law provides for taxation of special fuels - including compressed natural gas, liquified
natural gas, and liquified petroleum gas - sold, used, or consumed in La. for the operation of motor
vehicles licensed or required to be licensed for highway use at the rate of 16ยข per gallon.
Proposed law retains present law.
Present law specifies that present law 16-cent-per-gallon tax does not apply to compressed natural
gas, liquefied natural gas, or liquefied petroleum gas sold to, delivered to, or used by any person who
pays the annual fuel tax levied under other provisions of present law.
Proposed law deletes this exception and removes the provisions allowing for an annual fuel tax.
Proposed law provides for determinations of a special fuel's energy content in relation to a gallon of
gasoline or diesel beginning Jan. 1, 2016. Specifies that for purposes of levying the 16-cent-per-
gallon tax:
(1)The gasoline gallon equivalent shall be 5.660 pounds of compressed natural gas.
(2)The diesel gallon equivalent shall be 6.060 pounds of liquified natural gas.
(3)The diesel gallon equivalent shall be 4.2 pounds of liquified petroleum gas.
Proposed law provides for licensing of persons utilizing, delivering, or selling the special fuels;
requirements for collection of the per-gallon tax by the licensed users, dealers, and sellers;
application, suspension, cancellation, and revocation of licenses; bond requirements; returns,
payments, credits, refunds, and fines, penalties, and interest for failure to pay associated with the tax;
records retention and inspection; and investigative and enforcement authority, including
authorization for search and seizure and criminal penalties for certain prohibited acts.
Proposed law authorizes and requires the Commissioner of Agriculture to assist the secretary of the
Dept. of Revenue in collecting the taxes and any interest or penalties due pursuant to the provisions
of proposed law. Requires the commissioner, in consultation with the secretary, to promulgate rules
pursuant to the Administrative Procedure Act to provide procedures and processes for the orderly
regulation and enforcement of the laws governing taxation of compressed natural gas, liquified
natural gas, and liquified petroleum gas.
Effective August 1, 2015. (Amends R.S. 3:4602(12.1) and R.S. 47:818.2(intro para), (18), (22), (43), (44), and (63); adds R.S.
3:4690.1 and R.S. 47:818.111-818.133; repeals R.S. 47:818.101-104)