Louisiana § RS 47:306.6 - Annual aviation fuel estimates; calculations; agreements with the Department of Transportation and Development; reporting requirements

§ RS 47:306.6. Annual aviation fuel estimates; calculations; agreements with the Department of Transportation and Development; reporting requirements

            A.(1) Annual estimates. The secretary of the Department of Revenue shall annually estimate the revenue to be derived from state taxes collected from purchases of aviation fuel. Monies collected from the avails of the taxes levied on aviation fuel shall be appropriated to the Department of Transportation and Development to be used solely for airport-related purposes; however, no portion of such monies shall be disbursed to any airport that does not clearly indicate on its property the designated ramp space for public use within its published airport directory or diagram.

            (2) The calculation of "annual estimated revenue" shall be determined by using all of the following:

            (a) Average price per gallon. The average price per gallon of aviation fuel shall be determined through a two-year agreement between the secretary of the Department of Revenue and the secretary of the Department of Transportation and Development. The average price per gallon shall be based on historical data, current market fuel prices, and trends provided by relevant reports, including reputable sources such as government agencies, industry associations, or market analysis firms.

            (b) Gallons sold data source. The volume of aviation fuel sold in Louisiana shall be determined based on data provided by the Energy Information Administration or the Bureau of Transportation Statistics. In the event data from either of these two organizations is unavailable, the secretary of the Department of Revenue may utilize other reputable data sources, subject to approval by the Joint Legislative Committee on the Budget.

            (c) Sales tax rate. The sales tax rate applied in calculating the annual estimated revenue shall be based on the current state sales tax rate in effect at the time of the estimate. If the state sales tax rate changes during the fiscal year, the annual estimated revenue shall be recalculated using the new sales tax rate.

            (3) The secretary of the Department of Revenue shall submit the annual estimated revenue to be derived from state taxes collected from purchases of aviation fuel to the Revenue Estimating Conference within five calendar days of the annual estimate being completed by the secretary.

            B. Reporting requirements. The secretary of the Department of Revenue shall submit an annual report to the Joint Legislative Committee on the Budget no later than March thirty-first of each year which contains the following information:

            (1) The average price per gallon used in the calculation.

            (2) The total gallons of aviation fuel sold in the state used in the calculation, as reported by the Energy Information Administration or the Bureau of Transportation Statistics.

            (3) The sales tax rate applied in the calculation.

            C. Legislative oversight. All agreements between the secretary of the Department of Revenue and the secretary of the Department of Transportation and Development required pursuant to the provisions of this Section related to the calculation of the annual estimated revenue derived from sales of aviation fuel shall be reviewed and approved by the Joint Legislative Committee on the Budget prior to the agreement becoming binding between the parties.

            D. The provisions of this Section shall be terminated and have no effect on January 1, 2027.

            Acts 2024, 3rd Ex. Sess., No. 15, §1, eff. Dec. 4, 2024.