Last Friday marked the end of the “First Funnel” for the Iowa Legislature. To pass through the “first funnel”, a bill must clear committee to remain eligible for debate at some point during the session. Today, I’m happy to report that the bills extending the biodiesel tax credit were approved by committee. Following is a brief description of the bill extending the biodiesel tax credit, as well as a summary for a bill providing credits for persons who put either a B-25 or E-85 facility into use.
SSB1148 BIODIESELCREDITS(Agriculture) See HSB112; Some similarity with HF293 Extends the biodiesel tax credit to 2015. Strikes the requirement that the dealer have at least 50% sales of biodiesel. Makes the amount of the credit contingent on the percentage B-5 – B-9 (2-cents); B-10 -B-99 (4-cents). Productions: Creates a standing appropriation to pay biodiesel producers from 2012-2014 (3 cents a gallon in 2012-13; 2-cents in 2014). Requires the producers to file with DOR and makes fraudulent claims a serious misdemeanor. Kibbie (C), Bowman, Houser
SSB 1154 BIODIESEL & E-85 CREDIT (Natural Resources) Creates an alternative motor fuel facility credit for persons who construct and put into service a facility which dispense bio-diesel at B-25 and ethanol at E-85, compressed natural gas or other similar fuels, and hydrogen or electricity. Makes the credit 30% of the cost of purchasing and installing the credit. Allows the credit to be claimed as residential (personal, business, or farm) or commercial (retail.) Requires the person claiming the credit commercially to take it over 3 years. Effective 2012. Bolkcom (C), Hogg, Kapucian.
For more information about biodiesel bills under consideration by the Iowa Legislature, visit the Iowa Biodiesel Board’s legislative page at http://www.iowabiodiesel.org/index.cfm?nodeID=30473&audienceID=1.
For more information about additional bills of interest to Iowa farmers that have cleared the first funnel, check out the following Iowa Soybean Association newsletter article: http://www.iasoybeans.com/egldstnd/article.php?newsletter_id=107&article_id=879