BILL REQ. #:  S-0224.1 

Read first time 01/08/2007.   Referred to Committee on Transportation.

     AN ACT Relating to authorizing county taxes for the construction, design, repair, or improvement of viaducts and bridges; amending RCW 36.100.040, 36.38.010, and 36.38.040; adding new sections to chapter 82.14 RCW; and providing contingent expiration dates.

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

NEW SECTION.  Sec. 1   A new section is added to chapter 82.14 RCW to read as follows:
     (1) The legislative authority of a county with a population of one million or more may impose a sales and use tax in accordance with the terms of this chapter. The tax is in addition to other taxes authorized by law and shall be collected from those persons who are taxable by the state under chapters 82.08 and 82.12 RCW upon the occurrence of any taxable event within the county. The rate of tax shall not exceed 0.017 percent of the selling price in the case of a sales tax or value of the article used in the case of a use tax.
     (2) The legislative authority of a county with a population of one million or more may impose a sales and use tax in accordance with the terms of this chapter. The tax is in addition to other taxes authorized by law and shall be collected from those persons who are taxable by the state under chapters 82.08 and 82.12 RCW upon the occurrence of any taxable event within the county. The rate of tax shall not exceed 0.016 percent of the selling price in the case of a sales tax or value of the article used in the case of a use tax.
     (3) The tax imposed under subsections (1) and (2) of this section shall be deducted from the amount of tax otherwise required to be collected or paid over to the department of revenue under chapter 82.08 or 82.12 RCW. The department of revenue shall perform the collection of such taxes on behalf of the county at no cost to the county.
     (4) Money collected under this section shall only be used for the purpose of paying the principal and interest payments on bonds issued for the construction, design, repair, or improvement of a single viaduct that will cost more than one billion dollars or for the design, repair, or improvement of a Lake Washington bridge or bridges.
     (5)(a) No tax shall be collected under subsection (1) of this section until the sales and use tax in RCW 82.14.0485 expires.
     (b) No tax shall be collected under subsection (2) of this section until RCW 82.14.0494 expires.
     (6) This section expires when the bonds issued for the construction, design, repair, or improvement of a single viaduct that will cost more than one billion dollars or for the construction, design, repair, or improvement of either Lake Washington bridge described in RCW 47.56.282 are retired.

NEW SECTION.  Sec. 2   A new section is added to chapter 82.14 RCW to read as follows:
     (1) The legislative authority of a county with a population of one million or more may impose a special sales and use tax upon the retail sale or use within the county by restaurants, taverns, and bars of food and beverages that are taxable by the state under chapters 82.08 and 82.12 RCW. The rate of the tax shall not exceed five-tenths of one percent of the selling price in the case of a sales tax, or value of the article used in the case of a use tax. The tax imposed under this subsection is in addition to any other taxes authorized by law and must not be credited against any other tax imposed upon the same taxable event. As used in this section, "restaurant" does not include grocery stores, mini-markets, or convenience stores.
     (2) The legislative authority of a county with a population of one million or more may impose a special sales and use tax upon retail car rentals within the county that are taxable by the state under chapters 82.08 and 82.12 RCW. The rate of the tax shall not exceed two percent of the selling price in the case of a sales tax, or rental value of the vehicle in the case of a use tax. The tax imposed under this subsection is in addition to any other taxes authorized by law and shall not be credited against any other tax imposed upon the same taxable event.
     (3) The revenue from the taxes imposed under this section must be used for the purpose of principal and interest payments on bonds, issued for the construction, design, repair, or improvement of a single viaduct that will cost more than one billion dollars or for the construction, design, repair, or improvement of a Lake Washington bridge or bridges.
     (4) No tax shall be collected under this section until the special stadium sales and use tax in RCW 82.14.360 expires.
     (5) This section expires when the bonds issued for the construction, design, repair, or improvement of a single viaduct that will cost more than one billion dollars or for the construction, design, repair, or improvement of either Lake Washington bridge described in RCW 47.56.282 are retired.

NEW SECTION.  Sec. 3   A new section is added to chapter 82.14 RCW to read as follows:
     (1) The legislative authority of a county with a population of one million or more may impose an excise tax on the sale of or charge made for the furnishing of lodging that is subject to tax under chapter 82.08 RCW, except that no such tax may be levied on any premises having fewer than forty lodging units.
     (2) The rate of the tax shall not exceed two percent and the proceeds of the tax shall only be used for the construction, design, repair, or improvement of a single viaduct that will cost more than one billion dollars or for the construction, design, repair, or improvement of the Lake Washington bridge described in RCW 47.56.282. This excise tax shall not be imposed until: (a) The county has approved a proposal to construct, design, repair, or improve one or both of these projects; and (b) a public facilities district within the county is no longer imposing the lodging tax in RCW 36.100.040.
     (3) A county shall not impose the tax authorized in this section if, after the tax authorized in this section was imposed, the effective combined rate of state and local excise taxes, including sales and use taxes and excise taxes on lodging, imposed on the sale of or charge made for furnishing of lodging in any jurisdiction in the county exceeds eleven and one-half percent.

Sec. 4   RCW 36.100.040 and 2002 c 178 s 5 are each amended to read as follows:
     (1) A public facilities district may impose an excise tax on the sale of or charge made for the furnishing of lodging that is subject to tax under chapter 82.08 RCW, except that no such tax may be levied on any premises having fewer than forty lodging units. However, if a public facilities district has not imposed such an excise tax prior to December 31, 1995, the public facilities district may only impose the excise tax if a ballot proposition authorizing the imposition of the tax has been approved by a simple majority vote of voters of the public facilities district voting on the proposition.
     (2) The rate of the tax shall not exceed two percent and the proceeds of the tax shall only be used for the acquisition, design, construction, remodeling, maintenance, equipping, reequipping, repairing, and operation of its public facilities. This excise tax ((shall)) must not be imposed until the district has approved the proposal to acquire, design, and construct the public facilities.
     (3) A public facilities district may not impose the tax authorized in this section if, after the tax authorized in this section was imposed, the effective combined rate of state and local excise taxes, including sales and use taxes and excise taxes on lodging, imposed on the sale of or charge made for furnishing of lodging in any jurisdiction in the public facilities district exceeds eleven and one-half percent.
     (4) A public facilities district within a county with a population of one million or more must not impose a tax under this section if the tax in RCW 82.14.0485 has expired.

Sec. 5   RCW 36.38.010 and 1999 c 165 s 20 are each amended to read as follows:
     (1) Any county may by ordinance enacted by its county legislative authority, levy and fix a tax of not more than one cent on twenty cents or fraction thereof to be paid for county purposes by persons who pay an admission charge to any place, including a tax on persons who are admitted free of charge or at reduced rates to any place for which other persons pay a charge or a regular higher charge for the same or similar privileges or accommodations; and require that one who receives any admission charge to any place shall collect and remit the tax to the county treasurer of the county: PROVIDED, No county shall impose such tax on persons paying an admission to any activity of any elementary or secondary school or any public facility of a public facility district under chapter 35.57 or 36.100 RCW for which a tax is imposed under RCW 35.57.100 or 36.100.210.
     (2) As used in this chapter, the term "admission charge" includes a charge made for season tickets or subscriptions, a cover charge, or a charge made for use of seats and tables, reserved or otherwise, and other similar accommodations; a charge made for food and refreshments in any place where any free entertainment, recreation, or amusement is provided; a charge made for rental or use of equipment or facilities for purpose of recreation or amusement, and where the rental of the equipment or facilities is necessary to the enjoyment of a privilege for which a general admission is charged, the combined charges shall be considered as the admission charge. It shall also include any automobile parking charge where the amount of such charge is determined according to the number of passengers in any automobile.
     (3) Subject to subsections (4) and (5) of this section, the tax herein authorized shall not be exclusive and shall not prevent any city or town within the taxing county, when authorized by law, from imposing within its corporate limits a tax of the same or similar kind: PROVIDED, That whenever the same or similar kind of tax is imposed by any such city or town, no such tax shall be levied within the corporate limits of such city or town by the county.
     (4) Notwithstanding subsection (3) of this section, the legislative authority of a county with a population of one million or more may exclusively levy taxes on events in baseball stadiums constructed on or after January 1, 1995, that are owned by a public facilities district under chapter 36.100 RCW and that have seating capacities over forty thousand at the rates of:
     (a) Not more than one cent on twenty cents or fraction thereof, to be used for the purpose of paying the principal and interest payments on bonds issued by a county: (i) To construct a baseball stadium, as defined in RCW 82.14.0485((. If the revenue from the tax exceeds the amount needed for that purpose, the excess shall be placed in a contingency fund which may only be used to pay unanticipated capital costs on the baseball stadium, excluding any cost overruns on initial construction)); or (ii) if the bonds issued for the construction of the baseball stadium are retired, for the construction, design, repair, or improvement of a single viaduct that will cost more than one billion dollars or for the construction, design, repair, or improvement of either Lake Washington bridge described in RCW 47.56.282; and
     (b) Not more than one cent on twenty cents or fraction thereof, to be used for the purpose of paying the principal and interest payments on bonds issued by a county: (i) To construct a baseball stadium, as defined in RCW 82.14.0485; or (ii) if the bonds issued for the construction of the baseball stadium are retired, for the construction, design, repair, or improvement of a single viaduct that will cost more than one billion dollars or for the construction, design, repair, or improvement of either Lake Washington bridge described in RCW 47.56.282. ((The tax imposed under this subsection (4)(b) shall expire when the bonds issued for the construction of the baseball stadium are retired, but not later than twenty years after the tax is first collected.))
     (5) Notwithstanding subsection (3) of this section, the legislative authority of a county that has created a public stadium authority to develop a stadium and exhibition center under RCW 36.102.050 may levy and fix a tax on charges for admission to events in a stadium and exhibition center, as defined in RCW 36.102.010, constructed in the county on or after January 1, 1998, that is owned by a public stadium authority under chapter 36.102 RCW. The tax shall be exclusive and shall preclude the city or town within which the stadium and exhibition center is located from imposing a tax of the same or similar kind on charges for admission to events in the stadium and exhibition center, and shall preclude the imposition of a general county admissions tax on charges for admission to events in the stadium and exhibition center. For the purposes of this subsection, "charges for admission to events" means only the actual admission charge, exclusive of taxes and service charges and the value of any other benefit conferred by the admission. The tax authorized under this subsection shall be at the rate of not more than one cent on ten cents or fraction thereof. Revenues collected under this subsection shall be deposited in the stadium and exhibition center account under RCW 43.99N.060 until the bonds issued under RCW 43.99N.020 for the construction of the stadium and exhibition center are retired. After the bonds issued for the construction of the stadium and exhibition center are retired, the tax authorized under this section shall be used exclusively ((to fund repair, reequipping, and capital improvement of the stadium and exhibition center)) for the construction, design, repair, or improvement of a single viaduct that will cost more than one billion dollars or for the construction, design, repair, or improvement of either Lake Washington bridge described in RCW 47.56.282. If the bonds issued for the construction of the stadium and exhibition center are retired, but the county does not provide for the construction, design, repair, or improvement of a single viaduct that will cost more than one billion dollars or for the construction, design, repair, or improvement of either Lake Washington bridge described in RCW 47.56.282, the tax shall not be imposed. The tax under this subsection may be levied upon the first use of any part of the stadium and exhibition center but shall not be collected at any facility already in operation as of July 17, 1997.

Sec. 6   RCW 36.38.040 and 1997 c 220 s 302 are each amended to read as follows:
     The legislative authority of a county that has created a public stadium authority to develop a stadium and exhibition center under RCW 36.102.050 may levy and fix a tax on any vehicle parking charges imposed at any parking facility that is part of a stadium and exhibition center, as defined in RCW 36.102.010. The tax shall be exclusive and shall preclude the city or town within which the stadium and exhibition center is located from imposing within its corporate limits a tax of the same or similar kind on any vehicle parking charges imposed at any parking facility that is part of a stadium and exhibition center. For the purposes of this section, "vehicle parking charges" means only the actual parking charges exclusive of taxes and service charges and the value of any other benefit conferred. The tax authorized under this section shall be at the rate of not more than ten percent. Revenues collected under this section shall be deposited in the stadium and exhibition center account under RCW 43.99N.060 until the bonds issued under RCW 43.99N.020 for the construction of the stadium and exhibition center are retired. After the bonds issued for the construction of the stadium and exhibition center are retired, the tax authorized under this section shall be used exclusively ((to fund repair, reequipping, and capital improvement of the stadium and exhibition center)) for the construction, design, repair, or improvement of a single viaduct that will cost more than one billion dollars or for the construction, design, repair, or improvement of either Lake Washington bridge described in RCW 47.56.282. If the bonds issued for the construction of the stadium and exhibition center are retired, but the county does not provide for the construction, design, repair, or improvement of a single viaduct that will cost more than one billion dollars or for the construction, design, repair, or improvement of either Lake Washington bridge described in RCW 47.56.282, the tax shall not be imposed. The tax under this section may be levied upon the first use of any part of the stadium and exhibition center but shall not be collected at any facility already in operation as of July 17, 1997.