122nd MAINE LEGISLATURE
LD 197 LR 1057(01)
An Act To Reduce Dependence on Fossil Fuels by Advancing Biodiesel Use
Fiscal Note for Original Bill
Sponsor: Rep. Cebra of Naples
Committee: State and Local Government
Fiscal Note Required: Yes
   
             
Fiscal Note
Current biennium cost increase - General Fund
Fiscal Detail and Notes
Requiring that all facilities owned by the state that consume heating oil use biodiesel fuel and all state owned motor vehicles that use diesel fuels use biodiesel fuel will result in a significant cost to the State of Maine.  The Bureau of General Services estimates that the additional cost to our major state facilities excluding the judicial system, the community colleges and the University of Maine System will be $774,360 annually based on the use of 2,419,876 gallons of oil per year.  It is estimated that the cost to the Department of Transportation to replace all diesel with 80/20 biodiesel would be approximately $958,000 per year, assuming no engine modifications or additives are needed.  Switching their #2 heating oil to biodiesel for their facilties will cost another $137,250 annually.
The University of Maine System and the Maine Community College System will require additional General Fund appropriations associated with the cost of this measure.  The University estimates the additional costs related to heating facilities and operating motor vehicles to be approximately $2.2 million annually.  The capital costs associated with equipment modification can not be determined at this time but are expected to be significant.  The Maine Community College System has estimated an increase in operating expenses of approximately $400,000 annually.