1. (a) In this section, "hydrogen-powered motor vehicle" means a vehicle that meets the Phase II standards established by the California Air Resources Board as of September 1, 2007, for an ultra low-emission vehicle II or stricter Phase II emission standards established by that board and:

   1. (1) is hydrogen power capable and has a fuel economy rating of at least 45 miles per gallon; or
   2. (2) is fully hydrogen-powered.
2. (b) The taxes imposed by this chapter do not apply to the sale or use of a hydrogen-powered motor vehicle.

Added by Acts 2007, 80th Leg., R.S., Ch. 1266 (H.B. 3319), Sec. 10, eff. September 1, 2007.