AB 792, as amended, Mullin. Utility user tax: exemption: distributed generation systems.
Existing law generally provides that the legislative body of any city and any charter city may make and enforce all ordinances and regulations with respect to municipal affairs, as provided, including, but not limited to, a utility user tax on the consumption of gas and electricity. Existing law provides that the board of supervisors of any county may levy a utility user tax on the consumption of, among other things, gas and electricity in the unincorporated area of the county.
This bill would exempt from any utility user tax imposed by a local jurisdiction, as defined, the consumption of electricity generated by a renewable distributed generation system that is installed for the exclusive use of a single customer.
Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 7284.5 is added to the Revenue and
2Taxation Code, to read:
(a) For the purposes of this section, “local jurisdiction”
4means any city, county, city and county, including any chartered
5city, county, or city and county, district, or public or municipal
7(b) There is exempt from any utility user tax on the consumption
8of electricity, imposed by any local jurisdiction, a customer’s
9consumption of electricity generated by a renewable distributed
10generation system that is installed for the
11exclusive use of a single customer.
The Legislature finds and declares that exempting the
13consumption of electricity generated by a renewable distributed
14generation system that is installed for the exclusive use of a single
15customer from local utility user taxes will ensure statewide
16uniformity and fairness in the overall imposition of the utility user
17tax. Therefore, exempting from utility user taxes the consumption
18of electricity generated by a renewable distributed generation
19system that is installed for the exclusive use of a single customer
20is a matter of statewide concern, and not a municipal affair, as that
21term is used in Section 5 of Article XI of the California