In liquid fuels and fuels tax, further providing for definitions.
Summary
HB2144 amends Pennsylvania’s Vehicle Code provisions governing the liquid fuels and fuels tax by changing the statutory definition of “average wholesale price” used in the state’s fuel tax calculations. The bill updates the definition so that, after December 31, 2016, the average wholesale price is fixed at $2.99 per gallon rather than being determined annually by the Department of Revenue based on a 12-month price average. The bill leaves the earlier historical price periods in place and makes the change effective immediately.
In practical terms, the measure would alter how the Commonwealth calculates a key component of the liquid fuels tax framework. By replacing a variable, administratively determined price with a fixed statutory amount, the bill would affect fuel tax administration, revenue projections, and potentially the amount of tax collected from taxable liquid fuels and fuels. The change would primarily affect the Department of Revenue, fuel distributors, taxpayers subject to the liquid fuels tax, and state transportation funding tied to fuel tax receipts.
Impact
The bill would amend Title 75, section 9002, by revising the definition of “average wholesale price” used in the liquid fuels and fuels tax chapter. It removes the Department of Revenue’s authority to set the price annually based on market data and instead establishes a permanent statutory floor of $2.99 per gallon for the post-2016 period. This would change the legal method for calculating fuel tax-related obligations and could influence state fuel tax revenue and related transportation funding streams.
Sentiment
No committee transcript or recorded vote information is available with the bill text, so there is no direct evidence of debate, support, or opposition in the provided materials. Based on the bill’s structure, it appears to be a technical tax-definition change rather than a broad policy overhaul. The absence of recorded discussion makes the overall sentiment indeterminate from the available record.
Contention
The main point of contention likely concerns the policy choice between a fixed statutory fuel price and an annually adjusted market-based price. Supporters may favor predictability and administrative simplicity, while opponents may argue that a fixed $2.99 rate could overstate or understate market conditions and affect fuel tax burdens and transportation revenues. Because no transcripts or votes are provided, no specific legislators, agencies, or stakeholder groups are identified as taking positions in the available record.
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