Mississippi's Bureau of Fleet Management has passed a law requiring that by July, 2014, 75% of all state vehicles titled under the Bureau must meet a 40 mpg requirement. The law encourages the use of AFVs to meet this target.

The state has passed requirements for CNG conversion installation and inspection through the state Liquified Compressed Gas Board, or the Mississippi Insurance Department.

Natural gas distributors pay fuel tax based on 100 cubic feet rates rather than per gallon.

Click here to download the state profile sheet.

Mississippi Motor Fuel Taxation Website

CNG -18.4 ¢ / CCF* Reference

LNG -18.4 ¢ / CCF*

Gasoline - 18.4 ¢ / Gallon

Diesel - 18.4 ¢ / Gallon

* Mississippi also levies a $195 privilege tax on all CNG vehicles below 10K pounds in the state, $225 to $300 for 10K pounds and up- Reference and Reference. The code also specifies varying tax rates based on dates for both CNG and LNG - See reference above.

See Current Legislation Mississippi Code 27-55 for Tax information.

IFTA - IFTA taxes are applied to vehicles of 3+ axles, or weighing more than 26,000 pounds. IFTA tax tables can be found here.

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2015 Session - Proposed Legislation

SB-2095

Amends current revolving loan program that extends to municipal governments and school districts to cover county governments as well in procurement of alternative fuel
vehicles. Reference - SB2095 Bill History, Reference - SB2095 Bill Text

SB-2100

Establish tax credit for alternative fuel vehicles including NGVs, propane and hydrogen fueled vehicles. Credits worth 50% of cost of OEM or conversion up to $5,000 maximum. Effective date of Jan. 1, 2015. Reference - SB2100 Bill History, Reference - SB2100 Bill Text Died in Committee

SB-2109

Amends current revolving loan program that extends to municipal governments and school districts to cover all political subdivisions as well in procurement of alternative fuel vehicles. Reference - SB2109 Bill History, Reference - SB2109 Bill Text Died in Committee

SB-2111

Authorizes natural gas school bus grant program to provide school districts with
funding to purchase 4 CNG buses as part of pilot program. Funding of up to $335,000 per school district would be provided. Substitute version offered 1/29/15 would lower funding amount to $180,000. Reference - SB2111 Bill History, Reference - SB2111 Bill Text

SB-2355

DGE of 6.06 lbs. for LNG and GGE of 5.66 pounds for CNG for purpose of method of sale. Reference - SB2355 Bill History, Reference - SB2355 Bill Text

HB-443

DGE of 6.06 lbs. for LNG and GGE of 5.66 pounds for CNG for purpose of method of sale. Reference - HB443 Bill History, Reference - HB443 Bill Text Signed by Governor 3/13/2015

HB-452

Companion to SB 2111. Authorizes natural gas school bus grant program to provide school districts with funding to purchase 4 CNG buses as part of pilot program. Funding of up to $335,000 per school district would be provided. Reference - HB452 Bill History, Reference - HB452 Bill Text

HB-1615

Provides 50 percent tax credit for the cost of purchasing an OEM natural gas vehicle or converted vehicle; 50 percent tax credit up to maximum of $2,500 for home fueling for natural gas; 75% credit for commercial refueling stations. Both CNG and LNG are included. In the case of vehicles, if no credit has previously been claimed a purchaser of a used or converted vehicle may claim a credit of $1,500. Reference - HB1615 Bill History, Reference - HB1615 Bill Text

HB-1616

This bill is similar to HB 1615 but only includes incentive for motor vehicles. Reference - HB1616 Bill History, Reference - HB1616 Bill Text

HB-1646

Increases tax on motor fuel including gasoline and diesel fuel to 27 cents. CNG and LNG also would pay 27 cents. The language has lower rate that kicks in at some point if certain things happens; that lower rate is 23.4 cents. The gasoline and diesel excise tax in MS currently is 18 cent. IFTA rates show CNG paying 22.8 cent (p/100 cubic feet) and LNG pays 19 cent per gallon. Reference - HB1646 Bill History, Reference - HB1646 Bill Text Died in Committee

HB-1647

Looks to be similar to HB 1646. This bill is longer and addresses income taxes as well. Reference - HB1647 Bill History, Reference - HB1647 Bill Text

SB-2100

Establish tax credit for alternative fuel vehicles including NGVs, propane and hydrogen fueled vehicles. Credits worth 50% of cost of OEM or conversion up to $5,000 maximum. Effective date of Jan. 1, 2015. Reference - SB2100 Bill History, Reference - SB2100 Bill Text Died in Committee

2014 Session - Proposed Legislation

HB-1438

Amends the existing energy performance savings contract authority to extend such agreements to the purchase of alternative fuel vehicles and related fueling equipment.Reference - HB1438 Bill History, Reference - HB1438 Bill Text Action: 2014-02-04 - Died In Committee

HB-1590

Companion to SB 2965. Amends motor fuel taxes so that LNG tax is 18 cents per DGE of 6.06 lbs. of LNG. Currently rates for CNG and LNG are per 100 cubic feet. The IFTA rates are applied per MS also has a decal system in place and the excise tax does not apply to decal holders. SB 2965 would exclude LNG vehicles from the requirement to obtain a decal; it would remain mandatory for CNG vehicles. Effective date July 1, 2015.Reference - HB1590 Bill History, Reference - HB1590 Bill Text Action: 2014-03-31 - Approved by Governor

HB-1622

Authorizes the Chickasawhay Natural Gas District to build fueling infrastructure to provide compressed natural gas to the public and private users. Reference - HB1622 Bill History, Reference - HB1622 Bill Text Passed House 3/11/2014; Passed Senate 3/19/2014; Action: 2014-03-27 - Approved by Governor

SB-2292

By 12/31/2016 requires all vehicles titled by the Bureau of Fleet Management must be fueled by natural gas.Reference - SB2292 Bill History, Reference - SB2292 Bill Text Action: 2014-02-04 - Died In Committee

SB-2521

Companion to HB 1438. Amends the existing energy performance savings contract authority to extend such agreements to the purchase of alternative fuel vehicles and related fueling equipment.Reference - SB2521 Bill History, Reference - SB2521 Bill Text Action: 2014-04-10 - Approved by Governor

SB-2965

Amends motor fuel taxes so that LNG tax is 18 cents per DGE. Currently rates for CNG and LNG are per 100 cubic feet. MS also has a decal system in place and the excise tax does not apply to decal holders. SB 2965 would exclude LNG vehicles from the requirement to obtain a decal; it would remain mandatory for CNG vehicles. Effective date July 1, 2014.Reference - SB2965 Bill History, Reference - SB2965 Bill Text Action: 2014-02-26 - Died In Committee

SB-2976

Modifies revolving loan program to add counties the entities that can enter into agreement; current version says municipalitiesReference - SB2976 Bill History, Reference - SB2976 Bill Text Action: 2014-02-26 - Died In Committee

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2013 Session - Proposed Legislation

HB-4

Makes changes to the motor fuel taxes imposed on CNG and LNG. Requires businesses the sell natural gas for transportation purposes to register with the state. Requires utilities that sell natural gas to private or public fueling stations that intend to sell CNG to install a separate meter for the facility, and to verify that such entities have obtained proper state permits. Makes utilities responsible for collecting excise tax per 100 cubic feet delivered to private and public natural gas fueling stations. Not sure about whether utilities have any responsible to collect tax on LNG and it does not appear that they are changing the tax rate or method with regards to LNG. Also not sure about the decal changes - drop CNG from the light duty decal fee but not sure about the larger vehicles. Reference - HB-4 Bill History, Reference - HB-4 Bill Text NOTE: Bill did not pass committee.

HB-287

Provides tax credit for alternative fuel vehicles. Tax credit for vehicles is worth 50% of the purchase price and includes new or converted AFVs. In the case of OEM AFVs, if no tax credit has previously been claimed, a subsequent purchaser may claim a credit of 10% of the cost of the vehicle, or a maximum of $1,500. Credits go into effect July 1, 2013, and there does not appear to be an expiration date. Reference - HB-287 Bill History, Reference - HB-287 Bill Text NOTE: Bill did not pass committee.

HB-288

Establishes the Mississippi Alternative Fuels Conversion Act for the purposes of assisting local governments with the purchase of alternative fuel vehicles, or conversion of vehicles to operate on alternative fuels, and also to install alternative fuel infrastructure. Eligible recipients are government vehicle fleets and school districts; state and local government authorities are included. The maximum amount provided shall be $10,000 for vehicles, and $300,000 for infrastructure. Recipients will repay the amounts provided via a monthly surcharge that is based on the fuel savings associated with using alternative fuels. The state fund for this purposes shall be a revolving loan fund that is not to exceed $5 million. Reference - HB-288 Bill History, Reference - HB-288 Bill Text NOTE: Bill did not pass committee.

HB-289

This bill includes a new section in the MS code that calls for the promotion of public access CNG stations and establishes a goal of having at least one CNG station every 100 miles along the interstate highway system by 2017 and one every 50 miles by 2027. OK has similar goal. It also amends existing law to give the Bureau of Fleet Management authority to enter into partnerships agreements with private entities to construct CNG stations. Reference - HB-289 Bill History, Reference - HB-289 Bill Text NOTE: Bill did not pass committee.

HB-329

Provides tax credit for vehicles and fueling stations - qualifying fuels include hydrogen, propane, CNG and LNG. Fueling station credits worth 75% of the cost no including buildings and structural components; home or residential CNG fueling stations credit worth 50% or $2,500 maximum; vehicle credits are worth 50% of the cost of alternative fuel equipment; for OEM vehicles, if no credit has been claimed, subsequent purchaser may claim credit worth 10% or $2,500 whichever is less. Reference - HB-329 Bill History, Reference - HB-329 Bill Text NOTE: Bill did not pass committee.

HB-330

Beginning July 1, 2013, encourages all MS school districts to consider purchasing only alternative fuel vehicles. Reference - HB-330 Bill History, Reference - HB-330 Bill Text NOTE: Bill did not pass committee.

HB-765

Natural Gas Vehicles for MS Act of 2013. Tax credits for the conversion of vehicles to operate on natural gas, OEM NGVs, and fueling stations and fueling station upgrades. Tax credits are 50% of cost of equipment; for stations building and other structural components included. For vehicles credit is applied to incremental cost; OEM vehicles, taxpayer may elect to take credit worth 15% of total cost of vehicle or no more than $5,000. You can elect to take 75% of the tax credit value as a refund if the credit exceeds tax liability, otherwise it is carried forward. Must be a taxable entity to take tax credits. In the case of fueling stations, the tax credit is only applied to the first $1 million in cost. Exempts sales of CNG and LNG from gross income tax. Requires sellers (and station equipment sellers) of natural gas to become registered. Requires separate meters for natural gas stations. Requires utilities to collect tax on sales to owners of public refueling stations. Appears to retain the decal system in place with some modifications, and also excise tax rates of 18 cents on CNG and LNG per 100 cubic feet. A lo of regulations and reporting for fuel retailers. Establishes goals for public stations along state highway - every 100 miles by 2018, and 50 miles by 2028. Reference - HB-765 Bill History, Reference - HB-765 Bill Text

HB-994

Provides a tax credit based on the amount of sales and use tax paid on the cost of an plug-in electric or hybrid vehicles, including heavy-duty hybrids. The maximum amount of the credit is $3,000. It applies to acquisitions after Jan. 1, 2013. Reference - HB-994 Bill History, Reference - HB-994 Bill Text NOTE: Bill did not pass committee.

HB-1069

Exempts vehicle operated by certain state officials (e.g., Governor, Lieutenant Governor) from having to comply with regulations administered by the Bureau of Fleet Management unless such rules are required by Federal law. Appears to related mostly to fuel efficiency requirements that state beginning in July, 1 2014, that 75% of state vehicles shall achieve 40 mpg on highway. Reference - HB-1069 Bill History, Reference - HB-1069 Bill Text NOTE: Bill did not pass committee.

SB-2098

Alternative Fuel Vehicles for MS Act of 2013. Establishes goals for increasing alternative fuel infrastructure along MS interstate and U.S. highways; provides tax credit worth 50% of the qualified cost of equipment or vehicles; fueling station cost capped at $1 million; for OEM AFVs that have not previously received credit, credit is worth 15% of cost or $5,000 maximum for next purchaser; exempts CNG and LNG from 7% gross income tax; includes new regulations for businesses engaged in selling natural gas equipment and operating natural gas stations; requires separate meter for non-residential natural gas stations. The bill also makes a lot of changes to current decals but it is very difficult to read. Reference - SB2098 Bill History, Reference - SB2098 Bill Text NOTE: Died in committee.

HB-1685

Creates revolving loan fund MS governmental entities to acquire NGVs. Authorizes $5 million in bonds to be obligated for purposes of underwriting zero interest loans for vehicles and stations. The loans would help pay for incremental cost of OEM vehicles or cost of conversion, or cost of fueling infrastructure. CNG and LNG qualify as well as dedicated and bi-fuel vehicles. Amended/substitute version includes propane. Reference - HB1685 Bill History, Reference - HB1685 Bill Text Senate and House have agreed to Conference Agreement as of 4/1/2013