House File 2026

                                     HOUSE FILE       
                                     BY  ALONS, LUKAN, BAUDLER,
                                         DE BOEF, FREEMAN, GREINER,
                                         HOFFMAN, GRANZOW, CARROLL,
                                         KLEMME, BOGGESS, SANDS,
                                         HUTTER, RAYHONS, DENNIS,
                                         BODDICKER, KURTENBACH,
                                         CHAMBERS, HUSEMAN, DOLECHECK,
                                         TYMESON, PAULSEN, ROBERTS,
                                         VAN ENGELENHOVEN, and HAHN


    Passed House, Date                Passed Senate,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to the excise tax imposed upon certain ethanol
  2    blended motor fuel.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 5184YH 80
  5 da/sh/8

PAG LIN

  1  1    Section 1.  Section 452A.3, Code 2003, is amended by adding
  1  2 the following new subsection:
  1  3    NEW SUBSECTION.  1B.  An excise tax shall not be imposed on
  1  4 ethanol blended gasoline that contains at least eighty=five
  1  5 percent ethanol, according to standards established by rules
  1  6 adopted by the department of agriculture and land stewardship
  1  7 pursuant to chapter 214A.
  1  8                           EXPLANATION
  1  9    This bill amends provisions in Code section 452A.3 that
  1 10 impose an excise tax on each gallon of motor fuel sold in the
  1 11 state.  The general rate is 20 cents per gallon, but there are
  1 12 a number of exceptions, including an exception for ethanol
  1 13 blended gasoline.  Ethanol blended gasoline is motor fuel
  1 14 containing at least 10 percent alcohol.  Until June 30, 2007,
  1 15 the rates for gasoline which is blended with ethanol and motor
  1 16 fuel which is unblended are adjusted each year based on the
  1 17 number of gallons of ethanol blended gasoline that are
  1 18 distributed in this state as expressed as a percentage of the
  1 19 total number of gallons of motor fuel distributed in this
  1 20 state.
  1 21    The bill provides another exception for ethanol blended
  1 22 gasoline which does not expire on a date certain.  The bill
  1 23 exempts the imposition of the tax for so=called "E=85
  1 24 gasoline" (motor fuel that is blended with at least 85 percent
  1 25 ethanol).  Under Code section 214A.2, the department of
  1 26 agriculture and land stewardship is authorized to adopt rules
  1 27 regulating the specifications of motor fuel or oxygenate
  1 28 octane enhancers.
  1 29 LSB 5184YH 80
  1 30 da/sh/8
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