LD 1231 LR 1675(02)
An Act To Fund Energy Efficiency Programs through a Fee on the Sale of Unregulated Heating Fuels
Fiscal Note for Bill as Amended by Committee Amendment " "
Committee: Energy, Utilities and Technology
Fiscal Note Required: Yes
Fiscal Note
FY 2019-20 FY 2020-21 Projections  FY 2021-22 Projections  FY 2022-23
Net Cost (Savings)
General Fund $26,000 $0 $0 $0
General Fund $26,000 $0 $0 $0
Other Special Revenue Funds $0 $1,680,000 $1,730,400 $1,782,312
Other Special Revenue Funds $0 $8,400,000 $8,652,000 $8,911,560
Fiscal Detail and Notes
This bill imposes a fee of 1% on the wholesale sale price of heating oil, propane, coal and kerosene that is intended for residential or commercial heating purposes. The bill requires that 80% of the revenue raised be credited to the Heating Fuels Efficiency and Weatherization Fund (HFEWF) administered by the Efficiency Maine Trust (EMT) for reducing heating fuel consumption and providing energy efficiency and weatherization products and services to consumers and 20% be credited to the Maine State Housing Authority (MSHA) to assist low-income households with heating costs.  
The fee will generate revenue of $8,400,000 in fiscal year 2020-21 with $6,720,000 credited to the HFEWF and $1,680,000 credited to the MSHA.  The bill includes an Other Special Revenue Funds allocation of  $1,680,000 in fiscal year 2020-21 to the Low-income Home Energy Assistance - MSHA program to allow expenditure of the revenue anticipated to be received from the heating fuel fee.  The bill also includes a one-time General Fund appropriation of $26,000 in fiscal year 2019-20 to the Department of Administrative and Financial Services for computer programming to update the sales tax return.