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<br />ATTACHMENT D <br />IGR BILL REPORT <br />MARCH 6, 2013 / IGR COMMITTEE MEETING <br />CITY OF EUGENE <br /> <br />HB 2278 <br />: Imposes fee on retail sale of studded tires and on installation of studs in tires. <br />Provides exception. Becomes operative May 1, 2014 <br /> <br />Relating to: Relating to studded tires <br /> <br />Sponsored by: Representative Greenlick <br /> <br />Staff Comments: HB 2278 is the only one of several bills dealing with studded tires that appears <br />to have a chance of moving out of committee. The bill would impose a fee on the sale of <br />studded tires with the revenue going to the State Highway Fund. The funds would be distributed <br />with the City receiving a share. <br />Recommendation: Priority 2 Support <br /> <br />HB 2397 <br />: Imposes fee on retail sale of studded tires and on installation of studs in tires. <br />Provides exception. Becomes operative May 1, 2014. <br /> <br />Relating to: Relating to studded tires <br /> <br />Sponsored by: Representative Witt <br /> <br />Staff Comments: HB 2397 would impose a fee on sales of studded tires. 20% of the revenue <br />would go to cities for damage to streets by studded tires. The bill is probably the strongest of <br />several dealing with studded tires. LOC has #1 support for the bill. • In addition to creating a <br />disincentive for the purchase of studded tires, which are destructive to paving , this bill <br />compensates tire dealers (5%) and includes a 20 % net split to cities (i.e. Eugene would receive <br />a share of the fee through its State Highway Trust Fund allocation). Related to HB 2277 (Which <br />requires a permit to use studded tires) and HB 2278 (permit fee, lack of clarity on how fee <br />revenue would be allocated. LOC is backing HB 2397 and HB 2778 (priority 1 support) <br /> Recommendation: Priority 1 or 2 Support <br /> <br />HB 2766 <br />: Increases aircraft fuel tax to 11 cents per gallon for aircraft fuels other than fuel <br />usable by turbine engines. Directs revenue generated by increase in tax rate to <br />be used for deferred maintenance of certain airports and operations of Oregon <br />Department of Aviation. Takes effect on 91st day following adjournment sine die. <br /> <br />Relating to: Relating to aircraft fuel; prescribing an effective date; providing for revenue <br />raising that requires approval by a three-fifths majority <br /> <br />Sponsored by: Transportation and Economic Development <br /> <br />Staff Comments: Management at the Eugene Airport is opposed to Oregon House Bill 2766-1 <br />as amended. The increase to three cents per gallon on aircraft fuel usable in aircraft operated <br />by turbine engines, either turbo-prop or jet engine, (jet fuel) will have a direct and detrimental <br />effect on commercial air service across the state. In addition, the revenue raised by the increase <br />will not benefit the commercial service airports for which the airlines impacted by this tax serve. <br />1 | Page <br />March 6, 2013 IGR Committee Meeting <br /> <br />