00                       CS FOR SENATE BILL NO. 115(FIN)                                                                   
01 "An Act relating to vehicle registration fees; relating to the motor fuel tax; and                                      
02 providing for an effective date."                                                                                       
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1. AS 28.10.421 is amended by adding a new subsection to read:                                           
05 (k)  In addition to the other fees imposed under this section, the owner of an                                          
06 electric vehicle shall pay a special biennial registration fee of $100, and the owner of a                              
07 plug-in hybrid vehicle shall pay a special biennial registration fee of $50. Fees                                       
08 collected under this subsection shall be deposited in the special highway fuel tax                                      
09       account described in AS 43.40.010(g). In this subsection,                                                         
10                 (1)  "electric vehicle" means a vehicle that is                                                         
11                      (A)  powered solely by an electric motor drawing current from                                      
12            rechargeable batteries, fuel cells, or other portable sources of electrical current;                         
13            and                                                                                                          
14                      (B)  manufactured primarily for use on public streets, roads, and                                  
01            highways;                                                                                                    
02                 (2)  "plug-in hybrid vehicle" means a vehicle that is                                                   
03                      (A)  capable of using gasoline, diesel fuel, or alternative fuel,                                  
04            and is powered in part by electrical energy using a battery storage system                                   
05            capable of being recharged from an external source of electricity; and                                       
06                      (B)  manufactured primarily for use on public streets, roads, and                                  
07            highways.                                                                                                    
08    * Sec. 2. AS 28.35.155(a) is amended to read:                                                                      
09            (a)  It is unlawful to operate a motor vehicle with studded tires or tires with                              
10 chains attached on a paved highway or road from May 1 through September 15,                                             
11 inclusive, north of 60 North Latitude and from April 15 through September 30,                                           
12 inclusive, south of 60 North Latitude, except that at any latitude on a paved portion of                                
13 the Sterling Highway a person may not operate a motor vehicle with studded tires or                                     
14 tires with chains attached from May 1 through September 15, inclusive. The                                              
15 commissioner of public safety shall by emergency order provide for additional lawful                                    
16 operating periods based on unusual seasonal or weather conditions. An emergency                                         
17 order adopted under this section is not subject to AS 44.62 (Administrative Procedure                                   
18 Act). Upon application, a special individual traction permit may be issued by the                                       
19 Department of Administration allowing the operation of a motor vehicle with studded                                     
20 tires or chains at any time at the discretion of the vehicle owner. The fee for the                                     
21 special individual permit is one-third of the biennial registration fee applicable to that                              
22 class of vehicle under AS 28.10.421(b), (c), or (h) [AS 28.10.421]. The department                                  
23 may provide an appropriate sticker or other device identifying the vehicle to which the                                 
24       permit applies.                                                                                                   
25    * Sec. 3. AS 43.40.010(a) is amended to read:                                                                      
26 (a)  In addition to the surcharge levied under AS 43.40.005, there is levied a                                          
27 tax of 16 [EIGHT] cents a gallon on all motor fuel sold or otherwise transferred within                             
28       the state, except that                                                                                            
29                 (1)  the tax on aviation gasoline is four and seven-tenths cents a gallon;                              
30 (2)  the tax on motor fuel used in and on watercraft of all descriptions is                                             
31       10 [FIVE] cents a gallon;                                                                                     
01                 (3)  the tax on all aviation fuel other than gasoline is three and two-                                 
02       tenths cents a gallon; and                                                                                        
03 (4)  the tax rate on motor fuel that is blended with alcohol is the same                                                
04 tax rate a gallon as other motor fuel; however, in an area and during the months in                                     
05 which fuel containing alcohol is required to be sold, transferred, or used in an effort to                              
06 attain air quality standards for carbon monoxide as required by federal or state law or                                 
07 regulation, the tax rate on motor fuel that is blended with alcohol is six cents a gallon                               
08       less than the tax on other motor fuel not described in (1) - (3) of this subsection.                              
09    * Sec. 4. AS 43.40.010(b) is amended to read:                                                                      
10 (b)  In addition to the surcharge levied under AS 43.40.005, there is levied a                                          
11       tax of 16 [EIGHT] cents a gallon on all motor fuel consumed by a user, except that                            
12 (1)  the tax on aviation gasoline consumed is four and seven-tenths                                                     
13       cents a gallon;                                                                                                   
14 (2)  the tax on motor fuel used in and on watercraft of all descriptions is                                             
15       10 [FIVE] cents a gallon;                                                                                     
16 (3)  the tax on all aviation fuel other than gasoline is three and two-                                                 
17       tenths cents a gallon; and                                                                                        
18 (4)  the tax rate on motor fuel that is blended with alcohol is the same                                                
19 tax rate a gallon as other motor fuel; however, in an area and during the months in                                     
20 which fuel containing alcohol is required to be sold, transferred, or used in an effort to                              
21 attain air quality standards for carbon monoxide as required by federal or state law or                                 
22 regulation, the tax rate on motor fuel that is blended with alcohol is six cents a gallon                               
23       less than the tax on other motor fuel not described in (1) - (3) of this subsection.                              
24    * Sec. 5. AS 43.40.030(a) is amended to read:                                                                      
25 (a)  Except as specified in AS 43.40.010(j), a person who uses motor fuel to                                            
26 operate an internal combustion engine is entitled to a motor fuel tax refund of 12 [SIX]                            
27       cents a gallon if                                                                                                 
28                 (1)  the tax on the motor fuel has been paid;                                                           
29 (2)  the motor fuel is not aviation fuel, or motor fuel used in or on                                                   
30       watercraft; and                                                                                                   
31 (3)  the internal combustion engine is not used in or in conjunction with                                               
01       a motor vehicle licensed to be operated on public ways.                                                           
02    * Sec. 6. The uncodified law of the State of Alaska is amended by adding a new section to                          
03 read:                                                                                                                   
04 TRANSITION: REGULATIONS. The Department of Revenue may adopt regulations                                                
05 necessary to implement the changes made by this Act. The regulations take effect under                                  
06 AS 44.62 (Administrative Procedure Act), but not before the effective date of the law                                   
07 implemented by the regulation.                                                                                          
08    * Sec. 7. Section 6 of this Act takes effect immediately under AS 01.10.070(c).                                    
09    * Sec. 8. Except as provided in sec. 7 of this Act, this Act takes effect July 1, 2020.