JLARC Audit And Study Reports
Legislative Auditor Conclusion
The Legislature should review and clarify the preference because:
  • The average cost is lower, but is unclear if it leads to an increase in vessel removals.
  • Other factors, such as available DVRP funds, removal costs, and size and condition of the vessel, may impact vessel removals as much or more than reduced deconstruction costs.
When reviewing the preference, the Legislature may want to consider:
  1. Adopting a metric other then the number of vessels removed to measure if the public policy objective has been achieved.
  2. Re-categorizing the purpose of the preference as intended to provide tax relief rather than intended to induce a certain behavior.
Report Type
Final Report
Date Published
Publication Number

‚ÄčEHB 1069 (2006)

Online Availability
tax preference, sales and use tax
State/Local Government