Notice Number:11-02
Tax Type:Motor Vehicle Fuel Tax
Brief Description:2011 Motor Fuel Legislative Update
Approval Date:06/24/2011


NOTICE 11-02

2011 Motor Fuel Legislative Update

The following Bills were enacted by the 2011 Legislature:

House Bill 2014
This bill was effective June 9, 2011, upon publication in the Kansas Register. A summarization of the bill is as follows:

Section 29 (a) indicates that the director of accounts and reports shall transfer $124,265 from the Kansas qualified biodiesel fuel producer incentive fund of the department of revenue to the state economic development initiatives fund.

Section 188 continues to fund the Kansas Qualified Biodiesel Fuel Producer Incentive. $50,000 per quarter will continue to be deposited on July 1 and October 1, 2011 and January 1 and April 1, 2012.

Section 189 continues to ‘not’ fund the Kansas Retail Dealers Incentive for renewable fuels and biodiesel through June 30, 2013.

House Bill 2122
This bill is effective July 1, 2011. A summarization of the bill is as follows:

Section 2 (2) and (3) reduces the Kansas Qualified Agricultural Ethyl Alcohol Producer Incentive to $.035 per gallon sold.

Section 2 (4) indicates that any producer who commences cellulosic alcohol production on or after July 1, 2012, the amount shall be $.035 for each gallon of agricultural ethyl alcohol sold by such producer to an alcohol blender, if such producer has sold at least 5,000,000 gallons. No producer shall receive the production incentive pursuant to this subsection for more than 15,000,000 gallons sold. This provision shall not apply to producers who commence alcohol production from grain.

Section 3 indicates the incentive shall expire on July 1, 2018.

This notice highlights only portions of the bills. For a detailed, full text copy of each bill, please visit the Kansas Legislature’s website at

To obtain additional copies of this or any other notice call the Kansas Department of Revenue’s voice mail forms request line at 785-296-4937 or download them from our web site: If you have any questions about this notice, please contact our Motor Fuel Tax Unit.

Motor Fuel Tax Correspondence
Docking State Office Building
915 SW Harrison St.
Topeka, KS 66625-8000
Tele: (785) 368-8222
Fax: (785) 296-4993
Notice 11-02
June 24, 2011

Date Composed: 06/24/2011 Date Modified: 06/24/2011