WSR 04-11-034

PREPROPOSAL STATEMENT OF INQUIRY

DEPARTMENT OF REVENUE


[ Filed May 12, 2004, 1:11 p.m. ]

Subject of Possible Rule Making: WAC 458-40-610 Timber excise tax--Definitions and 458-40-680 Timber excise tax--Volume harvested--Approved scaling and grading methods--Sample scaling--Conversions.

Statutes Authorizing the Agency to Adopt Rules on this Subject: RCW 84.33.096, 82.32.300, and 82.01.060(2).

Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: To determine the amount of forest excise tax due, a harvester must determine the volume of logs that he or she has harvested. The department has adopted industry standards of scaling to make these determinations. For logs harvested in western Washington, the department has used the standards established by the Northwest Log Rules Advisory Group. Because this group has not adopted similar standards for harvests in eastern Washington, the department has used the scaling rules prepared by the United States Forest Service (USFS) for that area of the state. Recently, the Northwest Log Rules Advisory Group adopted standards applicable to eastside logging. The department proposes to replace the USFS scaling rules with the newer industry-standard Eastside Log Scaling Rules developed by the Log Rules Advisory Group. This change will bring the department's rules into compliance with industry standards throughout the state.

Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: Although the United States Forest Service and Washington State Department of Natural Resources both regulate forest practices, neither is involved in valuation for purposes of taxation. The nontax processes and definitions are coordinated with these agencies to avoid conflict, but there should be no need to involve them in the revisions provided in this rule.

Process for Developing New Rule: Modified negotiated rule making.

Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication. Written comments may be submitted by mail, e-mail, fax, or at the public meeting. Oral comments will be accepted at the public meeting. A preliminary discussion draft of a possible new or revised rule(s) is attached. Written comments on and/or requests for copies of the draft may be directed to Gilbert Brewer, Legislation and Policy, P.O. Box 47467, Olympia, WA 98504-7467, phone (360) 570-6133, e-mail gilb@dor.wa.gov, fax (360) 664-0693.

Date and Location of Public Meeting: Capital Plaza Building, 4th Floor Large Conference Room, 1025 Union Avenue S.E., Olympia, WA, on June 29, 2004, at 10:00 a.m.

Assistance for Persons With Disabilities: Contact Sandy Davis no later than ten days before the hearing date, TTY 1-800-451-7985 or (360) 725-7499.

May 12, 2004

Alan R. Lynn

Rules Coordinator

Legislation and Policy Division

Legislature Code Reviser 

Register

Washington State Code Reviser's Office