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Daily Legislative Brief from February 3, 2016

Energy

On Wednesday, February 3rd, SB 90, relating to the Natural Gas Rebate Program, by Senator Wilton Simpson (R-Trilby) passed through Senate Appropriations Committee unanimously with 18 yeas and 0 nays. AIF’s Senior Vice President of State and Federal Affairs, Brewster Bevis, stood in support of this bill.

Since 2013 there has been a Natural Gas Fuel Fleet Vehicle Rebate Program (Program) created within the Department of Agriculture and Consumer Services (DACS) to “help reduce transportation costs in this state and encourage freight mobility investments that contribute to the economic growth of the state.” Beginning with Fiscal Year 2013-2014 and continuing through Fiscal Year 2017-2018 (five years), DACS is required to award rebates, to those eligible, for the costs of converting a diesel- or gasoline-powered motor vehicle to a natural gas fuel-powered motor vehicle on or after July 1, 2013. An applicant is eligible to receive a maximum rebate of $25,000 per vehicle up to a total of $250,000 per applicant per fiscal year, on a first-come, first-served basis.

Two amendments, by Senator Dorothy Hukill (R-Port Orange) were adopted today. One amendment made only technical changes to the bill while the other made changes to applicants who can receive the excess funds from the Program. Before this amendment, DACS had the authority to use any unencumbered funds to award additional rebates to those who may have already received the rebate.  After the adoption of this amendment governmental applicants will have preference to these funds and any excess funds beyond that may be used by commercial applicants. These rebates will still be allocated on a first-come, first-served basis to eligible applicants.

SB 90 will now go to the floor of the Senate for consideration.

AIF supports the natural gas fuel fleet vehicle rebate program, specifically the authorization of DACS to award additional rebates to applicants from unencumbered funds after each fiscal year.