S-595                 _______________________________________________

 

                                                   SENATE BILL NO. 3398

                        _______________________________________________

 

State of Washington                              49th Legislature                              1985 Regular Session

 

By Senators Thompson, McCaslin and Zimmerman

 

 

Read first time 1/29/85 and referred to Committee on Governmental Operations.

 

 


AN ACT Relating to the consideration of local excise tax revenues arising from local purchases in awarding purchase contracts; and adding a new section to chapter 39.30 RCW.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

 

          NEW SECTION.  Sec. 1.  A new section is added to chapter 39.30 RCW to read as follows:

          (1) Whenever a unit of local government is required to make purchases from the lowest bidder or from the supplier offering the lowest price for the items desired to be purchased, the unit of local government may, at its option when awarding a purchase contract, take into consideration both:  (a) Differing costs, if any, necessary to transport the supplies, materials, or equipment to the unit of local government; and (b) tax revenue it would receive from purchasing the supplies, materials, or equipment from a supplier located within its boundaries.  The tax revenues which units of local government may consider include sales taxes that the unit of local government imposes upon the sale of such supplies, materials, or equipment from the supplier to the unit of local government, and business and occupation taxes that the unit of local government imposes upon the supplier that are measured by the gross receipts of the supplier from such sale.

          (2) As used in this section, the term "unit of local government" means any county, city, town, metropolitan municipal corporation, public transit benefit area, county transportation authority, or other municipal or quasi-municipal corporation authorized to impose sales and use taxes or business and occupation taxes.