HOUSE BILL REPORT

                  HB 2057

             As Reported By House Committee on:

                Trade & Economic Development

Title:  An act relating to public facilities districts.

Brief Description:  Allowing public facilities districts to impose excise tax.

Sponsor(s):  Representatives Day, H. Sommers, Dellwo, D. Sommers, Orr, Mielke, Nealey, Wang, Prince, Moyer, Scott, Hine and Wineberry.

Brief History:

  Reported by House Committee on:

Trade & Economic Development, March 5, 1991, DP.

HOUSE COMMITTEE ON

TRADE & ECONOMIC DEVELOPMENT

Majority Report: Do pass.  Signed by 11 members:  Representatives Cantwell, Chair; Sheldon, Vice Chair; Forner, Ranking Minority Member; Betrozoff, Assistant Ranking Minority Member; Ferguson; Kremen; Ludwig; Moyer; Rasmussen; Riley; and Roland.

Staff:  Bill Watterson  (786-7349).

Background:  Cities, counties, and transportation authorities may impose additional sales and use taxes in order to carry out essential county and municipal purposes.

Summary of Bill:  The governing board of a public facilities district may submit a sales and use tax authorizing proposition to the voters for majority approval.  Moneys from the tax shall be used for sports or entertainment facilities.  The rate of the tax is set at one-tenth of one percent of the selling price in the case of a sales tax, or the value of the article used, in the case of a use tax.

Fiscal Note:  Requested March 5, 1991.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  The bill will allow the Spokane District Public Facilities Board to raise the necessary funds to replace the deteriorating Spokane Coliseum.

Testimony Against:  None.

Witnesses:  Representative Bill Day, Prime Sponsor; Dave Robinson, Spokane District Public Facilities Board (supports); and Katie Reikofski, Spokane City Council (supports).