Deferral for direct service industries (DSIs)

From the 2024 DOR Tax Exemption Study

82.12.024 - Deferral for direct service industries (DSIs) Description This statute allows a deferral of the tax on brokered natural and manufactured gas for direct service industrial customers (DSIs) that construct a new gas turbine power plant. DSIs are large industrial manufacturers that purchase power directly from the Bonneville Power Administration (BPA). This deferral does not require the amount of this tax to be repaid if the DSI continues generating electricity from the gas turbine for a minimum of five calendar years and the DSI's average employment levels have not dropped below the six-year average level. Purpose To encourage DSIs to build their own gas-powered electric generating facilities to avoid having to curtail production in the event of electricity supply issues stemming from the BPA. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $0.000 $0.000 $0.000 $0.000 Local Taxes $0.000 $0.000 $0.000 $0.000 Repeal of Repealing this deferral would not increase revenue because currently no taxpayers exemption use it. Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $0.000 $0.000 $0.000