I am pleased to join my distinguished colleague from Louisiana, Senator Breaux, by cosponsoring S. 2029, a bill to correct a terrible problem caused by the implementation of the diesel fuel tax requirements of last year's tax bill. Let me make clear from the outset, Mr. President, that I did not support this diesel fuel tax increase. I felt that it would cause economic harm to the boating community in the State of Washington, and, coupled with the other huge tax increases contained in the bill, would hurt our economy. That is why I voted against the budget bill. However, the diesel fuel tax increase has been signed into law, and I must now turn my attention to the manner in which it is being implemented. Unfortunately, I have heard from the boating community in Washington State that this implementation will wreak havoc. The problem stems from the dyeing requirements for diesel fuel contained in the Omnibus Budget Reconciliation Act of 1993. Under this new law, diesel fuel used in recreational boats is subject to a 24.4- cents-per-gallon tax, while diesel fuel used for commercial purposes is not taxed and must be dyed before it is sold. Marinas now must stock two separate fuel systems--one for dyed fuel and one for clear fuel. Many marinas throughout the State of Washington are not equipped to stock two separate fuel systems to handle dyed and clear fuels, and cannot afford the exorbitant expense of installing a new system.
Editor's note · Context
Addressing concerns about the implementation of diesel fuel tax requirements affecting the boating community.
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