WSR 12-22-055

PROPOSED RULES

DEPARTMENT OF

LABOR AND INDUSTRIES

[ Filed November 6, 2012, 9:27 a.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 12-18-072.

Title of Rule and Other Identifying Information: Chapter 296-17 WAC, General reporting rules, audit and recordkeeping, rates and rating system for Washington workers' compensation insurance and chapter 296-17A WAC, Classifications for Washington workers' compensation insurance.

Hearing Location(s): Department of Labor and Industries, 7273 Linderson Way S.W., Room S117, Tumwater, WA 98501-5414, on January 22, 2013, at 10:00 a.m.

Date of Intended Adoption: April 1, 2013.

Submit Written Comments to: Richard Bredeson, P.O. Box 44148, Olympia, WA 98504-4148, e-mail Richard.Bredeson@Lni.wa.gov, fax (360) 902-4985, by 5 p.m. on January 23, 2013.

Assistance for Persons with Disabilities: Contact office of information assistance by January 17, 2013, TTY (360) 902-5797.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: A department study identified the need for a single classification that appropriately rates product demonstrator services according to the industry's level of hazard. The proposed subclassification is a special exception available to product demonstrator services, manufacturers, and wholesalers if hiring product demonstrators with no other exposure to their business' operations. At today's rates, the base rate for product demonstrators would be about eleven cents per hour higher for firms currently reporting product demonstrators in classification 6303 and twenty-five cents per hour lower for any firm currently reporting product demonstrators in classification 7106.

Reasons Supporting Proposal: This proposal will ensure consistent treatment and an appropriate rate for all product demonstration services and other types of businesses employing product demonstrators.

Statutory Authority for Adoption: RCW 51.04.020, 51.16.035, and 51.16.100.

Statute Being Implemented: RCW 51.16.035.

Rule is not necessitated by federal law, federal or state court decision.

Name of Proponent: Department of labor and industries, governmental.

Name of Agency Personnel Responsible for Drafting: Richard Bredeson, Tumwater, Washington, (360) 902-4985; Implementation: Les Hargrave, Tumwater, Washington, (360) 902-4298; and Enforcement: Victoria Kennedy, Tumwater, Washington, (360) 902-4997.

No small business economic impact statement has been prepared under chapter 19.85 RCW. The agency is exempt from conducting a small business economic impact statement since the proposed rules set or adjust fees or rates pursuant to legislative standards described in RCW 34.05.310 (4)(f) and do not change current coverage options for employers and workers.

A cost-benefit analysis is not required under RCW 34.05.328. Since the proposed rules do not change any existing coverage options for employers or workers and adjust fees pursuant to legislative standards, they are exempted by RCW 34.05.328 (5)(b)(vi) from the requirement for a cost-benefit analysis.

November 6, 2012

Judy Schurke

Director

OTS-5033.2


AMENDATORY SECTION(Amending WSR 09-16-110, filed 8/4/09, effective 10/1/09)

WAC 296-17-31018   Exception classifications.   (1) What are exception classifications?

In WAC 296-17-31012 we discussed our classification policy. We described the process used to classify risk and stated that we assign the basic classification or basic classifications that best describe the nature of your company's business. While this policy is modeled after the policy used by private insurance carriers and is geared to administrative ease for you, we recognize that there are some duties or operations where your employees do not share the same general workplace hazards that your other employees are exposed to. To provide for those operations that are outside the scope of a basic classification, we have created three types of exception classifications listed below:

Standard exception classifications((,));
Special exception classifications((,)); and
General exclusion classifications.
(2) What are the standard exception classifications?

Standard exception classifications cover those employments that are administrative in nature and common to many industries. Employees covered by a standard exception classification cannot be exposed to any operative hazard of the business. If the language of the basic classification assigned to your business does not include these employments, you may be able to report them separately. You cannot divide the work hours of an employee between a standard exception classification and a basic classification unless it is permitted by another rule. If an employee works part of their time in a standard exception classification and part of their time in your basic classification, then all exposure (hours) must be reported in the highest rated basic classification applicable to the work being performed. The standard exception classifications are:

Classification 4904 (WAC 296-17A-4904) "clerical office employment." This classification includes clerical, administrative, and drafting employees.
Sales personnel classifications 6301 (WAC 296-17A-6301), and 6303 (WAC 296-17A-6303) includes outside sales personnel and messengers.
Classification 7101 (WAC 296-17A-7101) applies to corporate officers who have elected optional coverage. A corporate officer as used in these rules is a person who is an officer in the corporation, such as the president, who also serves on the corporation's board of directors and owns stock in the corporation.
Classification 7100 (WAC 296-17A-7100) applies to members of a limited liability company who have elected optional coverage.
Clerical office employees are defined as employees whose duties are limited to: Answering telephones; handling correspondence; creating or maintaining financial, employment, personnel, or payroll records; composing informational material on a computer; creating or maintaining computer software; and technical drafting. Their work must be performed in a clerical office which is restricted to:

A work area which is physically separated by walls, partitions, or other physical barriers, from all other work areas of the employer((,)); and
Where only clerical office work as described in this rule is performed.
A clerical office does not include any work area where inventory is located, where products are displayed for sale, or area where the customer brings products for payment. Clerical office employees can perform cashiering and telephone sales work if they do not provide any retail or wholesale customer service that involves handling, showing, demonstrating, or delivering any product sold by the employer. Clerical office employees can make bank deposits, pick up and deliver mail at the post office, or purchase office supplies, if their primary work duties are clerical office duties as defined in this rule.

Sales personnel are defined as employees whose duties are limited to: Soliciting new customers by telephone or in person; servicing existing customer accounts; showing, selling, or explaining products or services; completing correspondence; placing orders; performing public relations duties; and estimating. Although some of sales person's duties may be performed in a clerical office, most of their work is conducted away from the employer's physical business location or in showrooms. We refer to work that takes place away from the employer's premises as "outside sales." Sales personnel whose duties include customer service activities such as, but not limited to, the delivery of product, stocking shelves, handling inventory, or otherwise merchandising products sold to retail or wholesale customers are excluded from all standard exception classifications. Sales personnel with duties such as delivery and stocking of shelves are to be reported in the basic classification applicable to the business unless the basic classification assigned to the business requires another treatment.

Messengers are defined as employees whose duties are delivering interoffice mail, making deposits, and similar duties that are exclusively for the administration of the employer's business. Classification 6303 "messengers" does not include delivering mail or packages to the employer's customer or as a service to the public. If a messenger is engaged in delivering mail or packages as a service to the public they are to be assigned to the basic classification of the business or classification 1101 as applicable.

Corporate officers duties in classification 7101 must be limited to: Clerical duties; outside sales duties as described above; administrative duties such as hiring staff, attending meetings, negotiating contracts, and performing public relations work. To qualify for this classification, a corporate officer must:

Be a shareholder in the corporation((,));
Be elected as a corporate officer and empowered in accordance with the articles of incorporation or bylaws of the corporation((,));
Serve on the corporation's board of directors((,));
Not have any exposure to any operative hazard of the business((,)); and
Not directly supervise employees who have any exposure to any operative hazard of the business.

Members of a limited liability company (LLC) duties in classification 7100 must be limited to: Clerical duties; outside sales duties as described above; administrative duties such as hiring staff, attending meetings, negotiating contracts, and performing public relations work. This includes only those members who have duties and authority similar to the exemption criteria of corporate officers in RCW 51.12.020.

Classification 6303 may apply to a corporate officer or member of a limited liability company whose duties are limited to outside sales activities as described in the sales personnel section of this rule. Under no circumstance is classification 4904 to be assigned to any corporate officer or member of a limited liability company. ((You cannot divide the work hours of an employee between a standard exception classification and a basic classification unless it is permitted by another rule. If an employee works part of their time in a standard exception classification and part of their time in your basic classification, then all exposure (hours) must be reported in the highest rated basic classification applicable to the work being performed.))

(3) What are the special exception classifications?

Special exception classifications represent operations found within an employer's business that are allowed to be reported separately when certain conditions are met. Assuming the conditions noted under each exception below have been met, the following classifications may be used even if your basic classification includes the phrases "all operations" or "all employees." These special exceptions are subject to a division of worker hours in connection with all other basic classifications unless specifically prohibited in an individual classification WAC rule.

Farms: Hand harvesting crops - Classification 4806 (WAC 296-17A-4806) will apply if the employee:

Is hand harvesting crops such as nuts, berries, prunes, field flowers, or bulbs((,)); and
Is harvesting by picking from trees while standing on the ground or harvesting from the ground while sitting, kneeling, bending, or stooping.
Security guards - Classification 6601 (WAC 296-17A-6601) will apply if the security guard:

Is an employee of an employer engaged in logging or construction((,));
Is for the purpose of guarding the employer's logging or construction sites((,));
Is employed at the site only during the hours the employer is not conducting any other operations at the site((,));
Has no other duties during their work shift as a security guard.
If all of the above conditions are not met, the security guard is to be reported in the basic classification applicable to the construction or logging operation being conducted.

Janitors - Classification 6602 (WAC 296-17A-6602) will apply if:

The janitorial/cleaning activities being performed are limited to the employer's clerical office((,));
The clerical office meets the criteria described earlier in this rule((,)); and
The employer's office employment is assigned to be reported in classification 4904.
Construction: Superintendent or project manager - Classification 4900 (WAC 296-17A-4900) will apply if the superintendent or project manager:

Is an employee of a licensed contractor engaged in construction((,));
Has no direct control over work crews((,));
Performs no construction labor at the construction site or project location.
If all of the conditions are not met, the superintendent or project manager is to be reported in the basic classification applicable to the construction project.

Construction: Estimator - Classification 4911 (WAC 296-17A-4911) will apply if the estimator:

Is the employee of a licensed contractor engaged in construction((,)); and
Has no duties other than estimating during their work shift.
If these conditions are not met, the estimator is to be reported in the basic classification applicable to their employer's business or the construction project.

Permanent yard or shop operations - Classification 5206 (WAC 296-17A-5206) will apply if:

The permanent yard or shop is maintained exclusively for the storage and maintenance of materials or equipment used in the business of logging, log hauling, construction, or trucking.
Log truck drivers - Classification 5003 (WAC 296-17A-5003) will apply if the log truck driver has no other duties during their work shift that are subject to the logging classification 5001 (WAC 296-17A-5001).

Retail product demonstrators - Classification 6406 (WAC 296-17A-6406) will apply if the product demonstrator:

Has no other duties during the work shift, other than minor set up and preparation, demonstrating, or providing sample products free of charge to the public;
Does not demonstrate equipment or machinery;
Does no delivery, selling, stocking of shelves, or assembly requiring the use of power tools;
Does not set up product displays that remain after the demonstration;
Is employed by a manufacturer, wholesaler, or business specializing in providing product demonstrators and their services to others.
If all of these conditions are not met, product demonstrators are to be reported in the basic classifications applicable to their employers.

(4) What are the general exclusion classifications?

General exclusion classifications represent operations that are so exceptional or unusual that they are excluded from the scope of all basic classifications. If you have these operations, we will assign a separate classification to cover them. You must keep accurate records of the work hours your employees work in these classifications. If you do not keep accurate time records for each employee performing work covered by a general exclusion classification, we will assign the work hours in question to the highest rated classification applicable to those hours. The general exclusion classifications are:

Aircraft operations: All operations of the flying crew((.));
Racing operations: All operations of the drivers and pit crews((.));
Diving operations: All operations of diving personnel and ship tenders who assist in diving operations((.));
New construction or alterations of the business premises((.));
Musicians and entertainers.
A division of work time is permitted between a standard exception classification and flight crew operations, racing operations, or diving operations. If you fail to keep original time records that clearly show the time spent in the office or in sales work, we will assign all work hours in question to the highest rated classification applicable to the work hours in question.

Example: Assume a corporate officer performs duties which are described in classification 7101. Occasionally, the officer flies a plane to attend a meeting. You would report the flying exposure (hours) of the corporate officer in classification 6803. The remainder of the corporate officer's time would continue to be reported in classification 7101.

[Statutory Authority: RCW 51.16.035, 51.16.100, 51.04.020(1). 09-16-110, 296-17-31018, filed 8/4/09, effective 10/1/09. Statutory Authority: RCW 51.06.035, 51.08.010, 51.04.020. 07-12-045, 296-17-31018, filed 5/31/07, effective 7/1/07. Statutory Authority: RCW 51.16.035, 51.16.100. 06-12-075, 296-17-31018, filed 6/6/06, effective 1/1/07. Statutory Authority: RCW 51.04.020, 51.16.035, and 51.12.120. 03-23-025, 296-17-31018, filed 11/12/03, effective 1/1/04. Statutory Authority: RCW 51.04.020, 51.16.035 and 51.32.073. 99-24-055, 296-17-31018, filed 11/29/99, effective 12/31/99. Statutory Authority: RCW 51.16.035. 98-18-042, 296-17-31018, filed 8/28/98, effective 10/1/98.]

OTS-5032.3


AMENDATORY SECTION(Amending WSR 12-11-109, filed 5/22/12, effective 7/1/12)

WAC 296-17A-6303   Classification 6303.  


6303-00 Outside sales personnel, N.O.C.; messengers

Applies to those employees whose job duties and work environment meet all the conditions of the general reporting rules covering outside sales personnel, and who are not covered by another classification (N.O.C.) assigned to the employer's account. Duties of outside sales personnel contemplated by this classification are limited to soliciting new customers by telephone or in person, showing, selling, and explaining products or services in a showroom or other location, servicing existing accounts, completing correspondence, placing orders, performing public relations duties, and estimating. Duties of messengers are limited to delivering interoffice mail, making deposits, and similar duties that are exclusively for the administration of the employer's business.

This classification excludes:

The delivery of products or merchandise or the stocking of shelves which is to be reported separately as applicable;
The demonstration or delivery of machinery or equipment which are to be reported separately as applicable((,));
Establishments engaged as collection agencies or public relations agencies which are to be reported separately in classification 5301;
Sales personnel engaged in home or door-to-door sales which are to be reported in classification 6309;
Retail product demonstrators - Workers who show and explain specific products in a retail setting and who are to be reported as required by WAC 296-17-31018(3) and 296-17A-6406;
Establishments engaged in providing inspection and valuations exclusively for insurance companies which are to be reported separately in classification 4903;
Establishments engaged in process and legal messenger services which are to be reported separately in classification 6601.

Special note: When considering this classification care must be taken to look beyond titles of employees. Employees with occupational titles such as, but not limited to, collectors, counselors, consultants, or appraisers may or may not qualify for this classification. This is a restrictive classification; the qualifying factor is that all the conditions of the general reporting rules covering standard exception employees have been met.


6303-03 Insurance sales personnel and claims adjusters

Applies to insurances sales personnel and claims adjustors with outside duties. Duties of employees subject to this classification are limited to selling insurance policies at their place of business or at the client's home, or going to the scene of an accident or catastrophe to assess damage. Work may be performed within an office or away from the employer's premises.

Special note: Individuals performing duties as an agent, broker, or solicitor (and who hold a license as issued by the office of the insurance commissioner) are exempt from coverage as specified in RCW 51.12.020(11) and 48.17.010. To elect voluntary coverage these individuals must submit a completed optional coverage form to the department.


6303-21 Home health care services: Social workers and dietitians

Applies to social workers and dietitians employed by home health care service establishments who provide care for handicapped individuals. Duties of these employees include teaching physically or developmentally disabled individuals in their own home to manage daily living skills such as caring for themselves, dressing, cooking, shopping, and going to the doctor. This classification also includes dietitians, sometimes called nutritionists, who usually are referred to patients by their physicians. The dietitian assesses the patient's current nutritional status, including current food intake, medical background, family history, currently prescribed medications, and social and psychological needs, then develops a food plan to meet the patient's needs. Employees subject to this classification do no cooking.

This classification excludes nursing and home health care services which are to be reported separately in classification 6110; therapy services which are to be reported separately in classification 6109; domestic servants who are to be reported separately in classification 6510; and chore workers who are to be reported separately in classification 6511.

Special note: This is a restrictive classification; the qualifying factor is that all the conditions of the general reporting rules covering standard exception employees have been met. This classification is not to be assigned to any account that does not also have classification 6110 and/or 6511.

[Statutory Authority: RCW 51.04.020, 51.16.035, and 51.16.100. 12-11-109, 296-17A-6303, filed 5/22/12, effective 7/1/12. Statutory Authority: RCW 51.16.035, 51.16.100, 51.04.020(1). 10-18-024, 296-17A-6303, filed 8/24/10, effective 10/1/10. Statutory Authority: RCW 51.16.035, 51.16.100, and Title 51 RCW. 09-20-039, 296-17A-6303, filed 9/30/09, effective 1/1/10. 07-01-014, recodified as 296-17A-6303, filed 12/8/06, effective 12/8/06. Statutory Authority: RCW 51.16.035, 51.16.100. 05-23-161, 296-17-698, filed 11/22/05, effective 1/1/06. Statutory Authority: RCW 51.04.020, 51.16.035, and 51.12.120. 03-23-025, 296-17-698, filed 11/12/03, effective 1/1/04. Statutory Authority: RCW 51.16.035. 99-18-068, 296-17-698, filed 8/31/99, effective 10/1/99; 98-18-042, 296-17-698, filed 8/28/98, effective 10/1/98; 85-24-032 (Order 85-33), 296-17-698, filed 11/27/85, effective 1/1/86; 85-06-026 (Order 85-7), 296-17-698, filed 2/28/85, effective 4/1/85; 83-24-017 (Order 83-36), 296-17-698, filed 11/30/83, effective 1/1/84. Statutory Authority: RCW 51.04.030 and 51.16.035. 79-12-086 (Order 79-18), 296-17-698, filed 11/30/79, effective 1/1/80; Order 76-36, 296-17-698, filed 11/30/76; Order 73-22, 296-17-698, filed 11/9/73, effective 1/1/74.]


AMENDATORY SECTION(Amending WSR 12-11-109, filed 5/22/12, effective 7/1/12)

WAC 296-17A-6406   Classification 6406.  


This classification applies to specialty retail store operations engaged primarily in the sale of a wide variety of products ranging from collectibles such as stamps, coins, sports cards, and dolls to table top appliances such as portable televisions, blenders, mixers and toasters. This classification is comprised of subclassifications that cover a specific type of retail store operation. One of the subclassifications applies to the sale of products which are not covered by another classification. Although the products sold by establishments subject to this classification will vary by each subclassification, the overall operational activities are similar. Each business covered by this classification will generally employ cashiers and merchandise stockers, as well as other occupations of workers.

Special note: This classification excludes all repair operations unless it is specifically included in the classification, delivery service, outside installation work, and lunch counters and restaurants which are to be reported separately in the classification applicable to the work or service being performed.

Clerical office and outside sales employees may be reported separately provided all the conditions of the general reporting rules covering standard exception employees have been met.


6406-00 Retail stores, N.O.C.

Applies to establishments engaged in the retail sale of merchandise or services not covered by another classification (N.O.C.). Merchandise includes, but is not limited to, greeting cards, costume jewelry, scarves, tropical fish and birds and related fish or bird supplies, table top appliances such as mixers, blenders, microwave ovens, or table top satellite receiving units, copy or fax services and related specialty items or services. This classification also applies to establishments that provide inventory services for other businesses.

This classification excludes pet stores that sell dogs or cats and establishments engaged in pet grooming services which are to be reported separately in classification 7308; pet food stores which are to be reported separately in classification 6403; and offset, cold press and similar printing operations which are to be reported separately in classification 4101.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-01 Stores: Camera or photography supply - Retail

Applies to establishments engaged in the retail sale of cameras and photography and dark room supplies such as, but not limited to, batteries, film, processing trays, chemicals, print paper, enlargers, and timers. It is common for these establishments to offer film developing services which may be either a one-hour service or an overnight process. Both types of film developing services are included in this classification when conducted in connection with a camera and photography supply store. This classification is distinguishable from classification 6506 in that establishments covered in classification 6506 are not engaged in the sale of cameras or photo developing equipment.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-03 News and magazine stands - Retail

Applies to establishments engaged in the retail sale of newspapers and magazines. Establishments subject to this classification may sell newspapers or magazines from various locations such as, but not limited to, stands at public markets, store operations in malls, or from a street corner.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-09 Arcades: Coin or token operated

Applies to establishments engaged in operating coin- or token-operated arcades. This classification covers attendants, change makers, and security personnel who monitor the game rooms and make change. Attendants may remove tokens and money from machines and may perform minor adjustments such as resetting a jarred machine.

This classification excludes the installation, removal or repair of machines which is to be reported separately in classification 0606.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-11 Stores: Office stationery and machinery - Retail

Applies to establishments engaged in the retail sale of office stationery, supplies, and/or machinery. For purposes of this classification "office stationery and supplies" includes, but is not limited to, paper, writing tablets, computer software, pens, pencils, markers, staples, staplers, scissors, paper clips, and binders. "Office machinery or business machinery" includes, but is not limited to, calculators, typewriters, various types of copy machines, fax machines, and desk top and lap top computers.

This classification excludes service and repair of office/business machines which is to be reported separately in classification 4107 and establishments engaged in sale of office furniture which are to be reported separately in classification 6306.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-12 Stores: Fabric, yardage, yarn and needlework supplies - Retail

Applies to establishments engaged in the retail sale of fabric, yardage, yarn and needlework supplies. It is common for establishments subject to this classification to have a small inventory of noncommercial/industrial sewing machines and sergers for sale in addition to fabric, sewing notions, patterns, and related supplies. Fabric and yarn stores may also offer sewing and craft classes which are included in this classification when taught by employees of an employer subject to this classification. This classification is distinguishable from sewing machine stores in classification 6309 in that the principle products sold in classification 6406 are fabric and sewing notions while sewing machine stores are not engaged in the sale of fabric or yardage.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-14 Stores: Wind or string musical instruments - Retail

Applies to establishments engaged in the retail sale of musical instruments such as, but not limited to, drums, wind instruments, guitars, and banjos. This classification includes music lessons when provided by employees of an employer subject to this classification and includes minor adjustment services such as replacing a drum skin or a broken string on a guitar.

This classification excludes the repair of wind and string musical instruments which is to be reported separately in the applicable repair classification; establishments engaged in the repair of pianos which are to be reported separately in classification 2906; and establishments engaged in the sale of pianos and organs which are to be reported separately in classification 6306.

Special notes: Classification 6406 does not apply to any establishments that sell pianos or organs in addition to wind or string instruments. Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-16 Stores: Drug - Retail

Applies to establishments engaged in the retail sale of prescription and nonprescription drugs and/or nutritional supplements such as, but not limited to, vitamins, herbal compounds, and energy bars. Drug stores subject to this classification may also carry a variety of personal care and grooming products and may rent crutches, canes, wheel chairs, and walkers.

This classification excludes establishments engaged in the sale and/or rental of hospital beds, motorized wheel chairs, and other patient appliances which are to be reported separately in classification 6306, and establishments engaged in the sale/rental and service (repair) of motorized mobility aids such as wheelchairs and 3-wheel scooters which are to be reported separately in classification 3309.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-17 Stores: Variety - Retail

Applies to establishments engaged in the retail sale of a variety of consumer goods such as, but not limited to, housewares, linens, clothing, toys, and candy. In earlier years establishments subject to this classification were often referred to as "5 and 10 cent stores." Although these stores carry much of the same merchandise as a department store, they are distinguishable in that variety stores are not comprised of specialized departments and do not generally carry the quantity/assortment of products that department stores do.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-18 Private mail box; safety deposit box; computer tape storage facilities - Rent or lease

Applies to establishments engaged in renting or leasing private mail boxes, safety deposit boxes, or computer and financial record storage facilities. Establishments subject to this classification will operate a secured facility where they receive and sort their customers' mail, parcels and packages from the U.S. Post Office or other parcel/package delivery companies, and package articles for shipment for their customers. They also provide a secured storage facility equipped with safety deposit boxes which they rent out on a short or long term basis. It is common for these establishments to offer additional services such as fax, and copying services.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-19 Stores: Coins, stamps, baseball cards, and comic books - Retail

Applies to establishments engaged in the retail sale of coins, stamps, baseball cards, comic books, and similar collectibles. Establishments subject to this classification may be engaged exclusively in mail order sales, sell from browse tables at collectible or trade shows, through specialty auctions, or may sell from a store location. Coin and stamp stores routinely sell magazines, periodicals, and supplies that cater to collections or hobbies. Card shops routinely sell other sports memorabilia such as autographed baseballs, footballs and basketballs, framed pictures, POGS and buttons.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-20 Stores: Book, record, cassette, compact disc, and video - Retail

Applies to establishments engaged in the retail sale or rental of new or used books, records, cassettes, compact discs or videos. Establishments subject to this classification may be engaged exclusively in mail order sales, sell from browse tables or trade shows, through specialty auctions or may sell from a store location.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-23 Stores: Candy - Retail

Applies to establishments engaged in the retail sale of packaged and unpackaged candy they have purchased from others.

This classification excludes establishments engaged in the on-premise manufacture of candy and the subsequent retail sale of these products which are to be reported separately in classification 3905; and establishments engaged in the manufacture of candy or confections for wholesale to retail establishments or distributors which are to be reported separately in classification 3906.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-24 Stores: Cigarette and tobacco - Retail

Applies to establishments engaged in the retail sale of cigarettes, tobacco, and related products such as, but not limited to, pipes, pipe cleaning supplies, rolling machines, cigarette papers, lighters, lighter fluid, and cigarette cases.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-25 Stores: Telephones - Retail

Applies to establishments engaged in the retail sale of telephones, pagers, and cell phones. Establishments subject to this classification are not a utility company in that they do not operate telephone exchanges and are not regulated by the utilities and transportation commission of Washington. Their operations are limited to the sale of communication hardware. Stores subject to this classification may arrange activation and service for their customer, or the customer may contact the service provider directly.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-27 Stores: Stereo components - Retail

Applies to establishments engaged in the retail sale of stereo components. Establishments subject to this classification will sell a variety of audio and video appliances such as, but not limited to, video players, stereos and portable televisions. These establishments may also sell and install automobile stereo speaker systems and car phone systems; however, the installation is not covered in classification 6406-27.

This classification excludes the installation, service or repair of home or car stereos and car phone systems which are to be reported separately in classification 0607, and establishments engaged in the sale of stereo and television console sets, big screen televisions, or other major appliances which are to be reported separately in classification 6306.

Special note: Classification 6306 applies to any establishment that sells TV console sets or big screen TVs, even if the majority of their inventory is stereo components and/or portable TVs. Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-29 Stores: Toys - Retail

Applies to establishments engaged in the retail sale of a variety of toys, games, and related items for persons of all ages. Merchandise includes, but is not limited to, video games, tricycles or bicycles, books, dolls and stuffed animals, outdoor play equipment, and specialty clothing.

This classification excludes establishments engaged in the retail sale of sporting goods and bicycles which are to be reported separately in classification 6309. This classification is distinguishable from businesses in classification 6309 in that the principle products of stores subject to classification 6406 are toys and games, as compared to stores in classification 6309 which are primarily engaged in the sales of sporting goods and bicycles.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-30 Stores: Cosmetics - Retail

Applies to establishments engaged in the retail sale of cosmetics and fragrances. Related services usually offered by these types of stores include consultations with clients regarding make-up techniques, styles, and colors.

This classification excludes hair and nail salons which are to be reported separately in classification 6501.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-31 Stores: Housewares - Retail

Applies to establishments engaged in the retail sale of housewares such as, but not limited to, pots and pans, flatware, dishes, towels, canister sets, soap dishes, towel bars, waste baskets, plant stands, and curtains or draperies.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-33 Stores: Gift shops, N.O.C. - Retail

Applies to establishments engaged in the retail sale of gift items not covered by another classification (N.O.C.) such as, but not limited to, crystal and silver serving pieces, china, cut glass, picture frames, wedding and shower books and invitations, special occasion cards, decorative statues, boxed candy, and ornaments. This merchandise tends to be of a finer selection than the everyday wares common in variety shops.

Special note: Refer to classification 6406 general description at the beginning of this rule for operations excluded from this classification.


6406-40 Retail product demonstrators

Applies to workers who show and explain, but do not sell, specific products in a retail setting. Product demonstrators can work in a variety of locations, such as stores, fairs, and exhibition sites. The classification includes associated administrative duties, set up and break down of a demonstration display space, preparing and setting out products to demonstrate, providing samples without charge, and cleaning up. This classification allows the use of kitchen appliances and utensils to prepare food samples, and the use of nonpowered hand tools and battery-powered screwdrivers to assemble and disassemble displays and products packaged for end-user assembly. Workers reported in this classification can have no duties during their work shift other than those permitted for product demonstrators.

This classification excludes:

Stocking shelves;

Selling;

Setting up product displays intended to remain after the product demonstration;

Delivery;

Demonstrating machinery or equipment;

Special note: This is a special exception classification that is only applicable to manufacturers, wholesalers, and businesses specializing in providing product demonstrators and their services to others.

Product demonstrators employed by a retail store, are to be reported under the store's basic classification;

Product demonstrators employed by a temporary help service, are to be reported in classification 7106.

[Statutory Authority: RCW 51.04.020, 51.16.035, and 51.16.100. 12-11-109, 296-17A-6406, filed 5/22/12, effective 7/1/12. 07-01-014, recodified as 296-17A-6406, filed 12/8/06, effective 12/8/06. Statutory Authority: RCW 51.16.035. 99-18-068, 296-17-710, filed 8/31/99, effective 10/1/99; 98-18-042, 296-17-710, filed 8/28/98, effective 10/1/98; 96-12-039, 296-17-710, filed 5/31/96, effective 7/1/96. Statutory Authority: RCW 51.04.020(1) and 51.16.035. 93-12-093, 296-17-710, filed 5/31/93, effective 7/1/93. Statutory Authority: RCW 51.16.035. 86-12-041 (Order 86-18), 296-17-710, filed 5/30/86, effective 7/1/86; 85-24-032 (Order 85-33), 296-17-710, filed 11/27/85, effective 1/1/86; 85-06-026 (Order 85-7), 296-17-710, filed 2/28/85, effective 4/1/85; 83-24-017 (Order 83-36), 296-17-710, filed 11/30/83, effective 1/1/84; 80-17-016 (Order 80-23), 296-17-710, filed 11/13/80, effective 1/1/81; Order 77-27, 296-17-710, filed 11/30/77, effective 1/1/78; Order 75-38, 296-17-710, filed 11/24/75, effective 1/1/76; Order 73-22, 296-17-710, filed 11/9/73, effective 1/1/74.]