The bill amends existing laws regarding the sales and use tax exemption for hog fuel, extending the expiration date from June 30, 2024, to June 30, 2034. This change aims to align with Washington state's goal of achieving fossil fuel-free electrical generation by 2045 and to support job retention in economically distressed communities. The bill specifies that the tax exemption applies to sales of hog fuel used for producing electricity, steam, heat, or biofuel, provided that buyers present an exemption certificate to sellers. Additionally, if a facility that claimed the exemption closes, the tax exemption amount for the previous two years becomes due.

Furthermore, the bill includes a tax preference performance statement, which outlines the legislature's intent to encourage taxpayer behavior that supports employee benefits, such as medical and dental insurance and retirement plans. The performance statement emphasizes the importance of these tax preferences in helping facilities provide adequate employee benefits and allows for the collection of data to evaluate the effectiveness of these preferences. Overall, the bill seeks to promote renewable energy use while safeguarding jobs and community health in Washington state.

Statutes affected:
Original Bill: 82.08.956, 82.12.956
Bill as Passed Legislature: 82.08.956, 82.12.956
Session Law: 82.08.956, 82.12.956