BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | SB 824| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- CONSENT Bill No: SB 824 Author: Senate Governance and Finance Committee Amended: As introduced Vote: 21 SENATE GOVERNANCE & FINANCE COMMITTEE : 7-0, 5/1/13 AYES: Wolk, Knight, Beall, DeSaulnier, Emmerson, Hernandez, Liu SUBJECT : State Board of Equalization: administration SOURCE : Board of Equalization DIGEST : This bill corrects code references for the administration of the Board of Equalization (BOE) taxes and fees. ANALYSIS : Under current Health and Safety Code (HSC) an owner of an underground storage tank is required to pay a storage fee of six mills ($0.006) for each gallon of petroleum (including, but not limited to, gasoline and diesel fuel) placed in an underground storage tank which he/she owns. There is an additional imposition of the underground storage fee in another part of the HSC of eight mills ($0.008), for a total underground storage fee of 14 mills ($0.014) per gallon of petroleum placed in the tank. HSC Section 25299.43 also provides in subdivision (g) that the additional fee imposed shall be paid to the BOE under the Underground Storage Tank Maintenance Fee Law "in the same manner as, and consistent with, the fees imposed under Section 24299.41." CONTINUED SB 824 Page 2 This bill amends the HSC Section 25299.43 to correctly reference HSC Section 25299.41 rather than HSC Section 24299.41 as the section imposing the underground storage tank maintenance fee. Under existing law, the Fee Collection Procedures Law (Procedures Law) was added to the Revenue and Taxation Code (RTC) as Part 30 (commencing with RTC Section 55001) of Division 2. RTC Section 55001 provides that this "chapter shall be known and may be cited as the Fee Collection Procedures Law." As such, RTC Section 55001 incorrectly cites a single chapter of the Procedures Law rather than referencing the law in its entirety as Part 30. This bill amends RTC Section 55001 to make a non-substantive reference correction to the Procedures Law, from "chapter" to "part." Under the existing Sales and Use Tax Law (RTC Section 7093.6), Use Fuel Tax Law (RTC Section 9278), Cigarette and Tobacco Products Tax Law (RTC Section 30459.15), Alcoholic Beverage Tax Law (RTC Section 32471.5), Emergency Telephone Users Surcharge Act (RTC Section 41171.5), Oil Spill Response, Prevention, and Administration Fees Law (RTC Section 46628), Underground Storage Tank Maintenance Fee Law (RTC Section 50156.18), Fee Collection Procedures Law (RTC Section 55332.5), and Diesel Fuel Tax Law (RTC Section 60637), the BOE is allowed to compromise a final tax liability if certain requirements are met. This bill amends RTC Section 55332.5, as amended by Section 593 of Chapter 15 of the Statutes of 2001, to simply make a technical and non-substantive correction to incorporate missing language. Comments This bill is sponsored by the BOE as a "code clean-up" to ensure efficient and accurate tax administration. As a committee bill, it will only contain items to which all members of the committee agree. FISCAL EFFECT : Appropriation: No Fiscal Com.: No Local: No SUPPORT : (Verified 5/3/13) SB 824 Page 3 Board of Equalization (source) AB:k 5/3/13 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END ****