Strike everything after the enacting clause and insert the following:

NEW SECTION.  Sec. 1.  "The legislature finds that many residents of Washington enjoy recreational opportunities for off-road vehicle and snowmobile use afforded by the natural beauty of the state and do so in compliance with vehicle titling and registration laws and other laws that govern off-road vehicle and snowmobile use. At the same time, the legislature recognizes that the current law and corresponding enforcement regime may not be robust enough to ensure full compliance with legal registration requirements and a level playing field for all users. It is therefore the intent of the legislature to modify the statutory framework governing penalties for off-road vehicle and snowmobile registration violations and to add requirements to the department of licensing in order to improve registration compliance.

NEW SECTION.  Sec. 2.  A new section is added to chapter 46.09 RCW under the subchapter heading "uses and violations" to read as follows:

(1) It is a gross misdemeanor, punishable as provided under chapter 9A.20 RCW, for a resident, as identified in RCW 46.16A.140, to knowingly fail to apply for a Washington state certificate of title for, or to knowingly fail to register, an off-road vehicle within fifteen days of receiving or refusing a notice issued by the department under section 4 of this act.

(2) Excise taxes owed and fines assessed must be deposited in the manner provided under RCW 46.16A.030(6).

NEW SECTION.  Sec. 3.  A new section is added to chapter 46.10 RCW under the subchapter heading "uses and violations" to read as follows:

(1) It is a gross misdemeanor, punishable as provided under chapter 9A.20 RCW, for a resident, as identified in RCW 46.16A.140, to knowingly fail to register a snowmobile within fifteen days of receiving or refusing a notice issued by the department under section 4 of this act.

(2) Excise taxes owed and fines assessed must be deposited in the manner provided under RCW 46.16A.030(6).

NEW SECTION.  Sec. 4.  A new section is added to chapter 46.93 RCW to read as follows:

(1) By the first business day in February of each year, beginning in 2018, motorsports vehicle manufacturers must report to the department of licensing a listing of all motorsports vehicle warranties for off-road vehicles under chapter 46.09 RCW and snowmobiles under chapter 46.10 RCW sold to Washington residents by out-of-state motorsports vehicle dealers in the previous calendar year. The report must be transmitted such that the department receives the listing no later than the first business day in February. Failure to report a complete listing as required under this subsection results in an administrative fine of one hundred dollars for each day after January that the department has not received the report.

(2) The department of licensing shall examine the listing reported in subsection (1) of this section to verify whether the vehicles are properly registered in the state. Beginning in 2018, and to the extent that it has received the listing required under subsection (1) of this section, the department shall notify by certified mail from the United States postal service, with return receipt requested, by the end of February of each year, the purchasers of the warranties of the off-road vehicles and snowmobiles that are not properly registered in the state of the owner's obligations under state law regarding vehicle titling, registration, and use tax payment, as well as of the penalties for failure to comply with the law.

(3) Fines received under this section must be paid into the state treasury and credited to the nonhighway and off-road vehicle activities program account under RCW 46.09.510 and to the snowmobile account under RCW 46.68.350. The state treasurer must apportion the fines between the accounts according to the pro rata share of the number of off-road vehicle and snowmobile registrations in the previous calendar year. The department must provide the state treasurer with the information needed to determine the apportionment.

On page 1, line 2 of the title, after "snowmobiles;" strike the remainder of the title and insert "adding a new section to chapter 46.09 RCW; adding a new section to chapter 46.10 RCW; adding a new section to chapter 46.93 RCW; creating new sections; prescribing penalties; and providing an effective date."

EFFECT: (1) Removes the reference to titling a snowmobile in Washington since current law does not require the titling of snowmobiles.

(2) Clarifies that the gross misdemeanor also applies in situations when a person obtains a permit for use of an ORV or snowmobile in another state in order to avoid Washington taxes and fees; the original bill only considered registration in another state.

(3) Adds an administrative fine of 100 dollars per day assessed to any manufacturer that fails to submit the required listing of warranties to the department of licensing (DOL) by the last business day in January. Directs the State Treasurer to deposit the fines to the Nonhighway and Off-Road Vehicle Activities Program Account and to the Snowmobile Account in proportion to the number of ORV and snowmobile registrations in the preceding calendar year.

(4) Clarifies, regarding the requirement to notify purchasers of warranties of improperly registered ORVs and snowmobiles of their obligations under state law, that DOL is only required to send notification to the extent it receives listings of warranties from manufacturers.

(5) Modifies that if an owner of a snowmobile or ORV fails to act on either registering or applying for a certificate of title and registering within 15 days of receiving a notice from the Department of Licensing that the vehicle is not properly registered under state law, the owner is guilty of a misdemeanor.

(6) Requires DOL to send notification of legal obligations to ORV or snowmobile owners by certified mail rather than first-class mail.

(7) Changes the day upon which DOL must receive the manufacturer's report of the listing of warranties from the last business day in January to the first business day in February.