HF 2878

as introduced - 93rd Legislature (2023 - 2024) Posted on 03/15/2023 09:09am

A bill for an act
relating to transportation; imposing a tax on electric fuel; proposing coding for
new law in Minnesota Statutes, chapter 296A; repealing Minnesota Statutes 2022,
section 168.013, subdivision 1m.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [296A.075] ELECTRIC FUEL TAX.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Charging station" means equipment by which electric fuel is transferred to the power
system of an electric vehicle and the real property upon which such equipment is located
or affixed.
new text end

new text begin (c) "Charging station operator" means any person or lawfully recognized business entity
that owns or operates a charging station in the state.
new text end

new text begin (d) "Electric fuel" means electrical energy delivered or placed into the battery or other
energy storage device of an electric vehicle to be used to power the electric vehicle.
new text end

new text begin (e) "Electric utility" has the meaning given in section 216B.38, subdivision 5.
new text end

new text begin (f) "Electric vehicle" has the meaning given in section 169.011, subdivision 26a.
new text end

new text begin (g) "Legacy chargers" means charging stations in operation prior to October 1, 2023,
that do not have a metering system in place capable of measuring electric fuel transferred
from the charging station to the electric vehicle or are incapable of measuring the time
elapsed while actively charging an electric vehicle and placing a fee on the charging session.
new text end

new text begin (h) "Public charging station" means a location at which a charging station operator
conducts for-profit business using a metered system for the delivery of electric fuel to an
electric vehicle and charges the customer either for the electric fuel transferred to the power
system of the electric vehicle or for the duration of time during which electric fuel is
transferred to the power system of the electric vehicle.
new text end

new text begin Subd. 2. new text end

new text begin Tax imposed on electric fuel. new text end

new text begin (a) On and after October 1, 2023, a tax of 5.1
cents per kilowatt hour is imposed on electric fuel used to charge or recharge the battery of
an electric vehicle.
new text end

new text begin (b) The tax imposed under this subdivision must be remitted monthly by each charging
station operator to the commissioner of revenue, no later than the 20th day of the month
following the month during which the electric charging for an electric vehicle occurred, for
deposit in the highway user tax distribution fund. The tax must be remitted on a form
prescribed by the commissioner of revenue.
new text end

new text begin (c) The tax imposed under this subdivision is not applicable to electric vehicles charged
at a private residence at which the owner or occupant of the residence uses electric power
paid for by the owner or occupant of the residence and that is supplied to the residence by
an electric utility.
new text end

new text begin (d) The tax imposed under this subdivision is not applicable to electric vehicles charged
at charging stations with a charging capacity of less than 50 kilowatts and charging stations
that do not require payment for use.
new text end

new text begin (e) Any public charging station that begins operations for the first time on or after October
1, 2023, must use a metering system that is capable of imposing the cost for the charging
service using a unit per kilowatt hour.
new text end

new text begin (f) Legacy chargers are exempt from the tax levied under this subdivision until January
1, 2030.
new text end

Sec. 2. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2022, section 168.013, subdivision 1m, new text end new text begin is repealed.
new text end

APPENDIX

Repealed Minnesota Statutes: 23-04478

168.013 VEHICLE REGISTRATION TAXES.

Subd. 1m.

Electric vehicle.

In addition to the tax under subdivision 1a, a surcharge of $75 is imposed for an all-electric vehicle, as defined in section 169.011, subdivision 1a. Notwithstanding subdivision 8, revenue from the fee imposed under this subdivision must be deposited in the highway user tax distribution fund.