Assigned to NRAE                                                                                                        FOR COMMITTEE

 

 


 

ARIZONA STATE SENATE

Phoenix, Arizona

 

FACT SHEET FOR H.B. 2123

 

biodiesel; government fleets

 

Purpose

 

Allows government jurisdictions required by state law to convert their fleets to operate on alternative fuels to meet those requirements using diesel fuel substitutes that qualify as clean burning fuels (biodiesel).

 

Background

 

            Legislation enacted in 1993 as part of a comprehensive air quality program required government fleets, primarily those in Maricopa County, to progressively convert their vehicle fleets to operate on alternative fuels (Laws 1993, Sixth Special Session, Chapter 1).  Timelines were specified for progressive compliance with this requirement.  Cities and towns in Area A (generally defined to mean Maricopa County), counties in Area A, school districts in Area A, the state fleet in Maricopa and Pima Counties and federal government fleets based primarily in this state are required to meet these conversion requirements. Since 1993, the timelines for conversion and requirements for compliance have been modified several times.  These modifications were generally made because of limitations precluding compliance with the timelines and goals, such as the cost of alternative fuel vehicles and the limited supply of alternative fuel vehicles and conversion kits.

 

Federal rules adopted in 1999 under the Federal Energy Policy Act of 1992 allow fleets that are required to purchase alternative fueled vehicles to meet those requirements, in part, through the use of a fuel product known as biodiesel fuel. Biodiesel is a mono-alkyl ester-based oxygenated fuel that contains no petroleum, but can be blended at any level with petroleum diesel to create a biodiesel blend (e.g. B20 is a blend of 20 percent by volume biodiesel with 80 percent by volume petroleum diesel).  Biodiesel is a federally registered fuel and fuel additive recognized by the United States Environmental Protection Agency.

 

In 2000, several governmental entities approached the Legislature about allowing the use of biodiesel towards compliance with the state alternative fuel conversion requirements.  Legislation was enacted that allows governmental jurisdictions subject to the fleet conversion requirements to use biodiesel fuel, in part, to meet these requirements (Laws 2000, Chapter 148).  The Kyrene School District and the Arizona School for the Deaf and the Blind are two governmental entities currently using biodiesel in their fleets.

 

            H.B. 2123 proposes to allow entities subject to the fleet conversion requirements to use diesel fuel substitutes that qualify as clean burning fuels for any or all of the vehicle fleet conversion requirements.

 

This fiscal impact of H.B. 2123 is unknown.

 

Provisions

 

1.      Allows cities and towns in the portion of Area A located in Maricopa County, counties in Area A, larger school districts in Area A, the state fleet in Maricopa and Pima Counties and federal government fleets based primarily in this state to use diesel fuel substitutes that qualify as clean burning fuels for any or all of the fleet conversion requirements under state law.

 

2.      Allows buses operated by a city or town in the portion of Area A in Maricopa County to use a diesel fuel substitute that qualifies as a clean burning fuel to satisfy the requirements for newly purchased buses. (Current law requires all newly purchased buses by a city or town in Area A in Maricopa County to be alternative fuel vehicles.)

 

3.      Eliminates an obsolete reporting requirement relating to the use of alternative fuel vehicles by federal agencies.

 

4.      Contains technical and conforming changes.

 

5.      Provides for a general effective date.

 

House Action

 

ENV                1/30/01            DPA    6-0-2-2

TRANS           2/5/01              DPA    10-0-0-0

3rd Read           2/14/01                        58-0-2-0

 

 

Prepared by Senate Staff

March 14, 2001