HB 595-FN-A - AS INTRODUCED
2003 SESSION
09/10
HOUSE BILL 595-FN-A
AN ACT establishing an exemption from the electricity consumption tax.
SPONSORS: Rep. Alger, Graf 14; Rep. Giuda, Graf 13; Rep. Naro, Graf 15; Sen. Johnson, Dist 2
This bill establishes an exemption from the electricity consumption tax for certain electrical energy generated by the consumer.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
03-0633
09/10
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Three
AN ACT establishing an exemption from the electricity consumption tax.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Electricity Consumption Tax; Imposition of Tax; Exemption. Amend RSA 83-E:2 to read as follows:
83-E:2 Imposition of Tax. A tax is imposed on the consumption in this state of electrical energy at the rate of $.00055 per kilowatt hour. The first 2,500,000 kilowatt hours of electrical energy which a person consumes during a calendar year and which the person has generated for the person's own use shall be exempt from the tax on consumption.
2 Effective Date. This act shall take effect July 1, 2003.
LBAO
03-0633
1/24/03
HB 595-FN-A - FISCAL NOTE
AN ACT establishing an exemption from the electricity consumption tax.
FISCAL IMPACT:
The Department of Revenue Administration indicates this bill will decrease state unrestricted general revenues by $166,000 in FY 2004 and each year thereafter. The Public Utilities Commission indicates this bill will decrease state unrestricted general revenues by an indeterminable amount in FY 2004 and each year thereafter. There is no fiscal impact on state, county and local expenditures or county and local revenues.
METHODOLOGY:
The Department of Revenue Administration estimated the decrease in electricity consumption tax at $166,000 per year based on the exemption level stated in this bill. The Department used prior studies of the consumption tax to estimate that small self-generators comprise 2.9% of the electricity consumption tax base. Assuming no growth and total tax collections of $5,735,676, the Department estimates a decrease in revenue of $166,000 based on the provisions of this bill.
The Public Utilities Commission states that the Commission does not have access to records of all self-generators, therefor, cannot determine with precision who this bill would apply to and the total fiscal impact to the general fund.