PILOTAGE COMMISSIONERS

[Filed June 3, 2019, 11:05 a.m., effective July 1, 2019]

Effective Date of Rule: July 1, 2019.

Other Findings Required by Other Provisions of Law as Precondition to Adoption or Effectiveness of Rule: The board of pilotage commissioners (BPC) is complying with the legislative intent through the passage of ESHB 1160, which stipulates certain conditions in order for BPC to receive state appropriation from the pilotage account solely for self-insurance liability premium expenditures.

Purpose: To amend WAC 363-116-301 New revenue collection, in order to define ESHB 1160 conditions and directives.

Citation of Rules Affected by this Order: Amending WAC 363-116-301.

Statutory Authority for Adoption: Chapter 88.16 RCW.

Under RCW 34.05.350 the agency for good cause finds that immediate adoption, amendment, or repeal of a rule is necessary for the preservation of the public health, safety, or general welfare, and that observing the time requirements of notice and opportunity to comment upon adoption of a permanent rule would be contrary to the public interest.

Reasons for this Finding: Without the mechanisms in place to collect the revenue needed to pay the self-insurance liability premium expenditures, the agency will be in financial crisis, putting BPC's mission to ensure against the loss of lives, loss of or damage to property and vessels, and to protect the marine environment by maintaining efficient and competent pilotage services in jeopardy.

Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 1, Repealed 0.

Number of Sections Adopted at the Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.

Number of Sections Adopted on the Agency's own Initiative: New 0, Amended 1, Repealed 0.

Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.

Number of Sections Adopted using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 1, Repealed 0.

Date Adopted: May 16, 2019.

AMENDATORY SECTION(Amending WSR 17-20-009, filed 9/22/17, effective 10/23/17)

WAC 363-116-301New revenue collection.

With respect to the passage of Engrossed ((Senate Bill No. 5096))Substitute House Bill No. 1160, Section 108, the board of pilotage commissioners is appropriated ((one million one hundred thousand))three million one hundred twenty-five thousand dollars from the ((multimodal transportation))pilotage account state appropriation solely for self-insurance liability premium expenditures. This appropriation is contingent upon ((three))two stipulated conditions:

(1) The Puget Sound pilots shall pay to the board, from its tariffs, one hundred fifty thousand dollars annually on July 1, ((2017))2019, and July 1, ((2018))2020. These amounts shall be deposited by the board into the pilotage account and used solely for the expenditure of self-insurance premiums; and

(2) ((The board shall maintain the Puget Sound pilotage district pilotage tariff at the rate which became effective on January 1, 2017; and

(3))) A self-insurance premium surcharge of sixteen dollars shall be added to each Puget Sound pilotage assignment on all vessels requiring pilotage in the Puget Sound pilotage district. The Puget Sound pilots shall remit the total amount of such surcharges generated to the board by the tenth of each month. The surcharge shall be in effect from July 1, ((2017))2019, through June 30, ((2019))2021. These amounts shall be in addition to those fees to be paid to the board pursuant to subsection (1) of this section and shall be deposited by the board into the pilotage account solely for the expenditure of self-insurance premiums.

These ((three))two directives are in effect beginning May ((18, 2017))16, 2019, through June 30, ((2019))2021.