AN ACT Relating to
hotel and motel taxes in certain cities and towns; amending RCW 67.28.210; and
adding new sections to chapter 67.28 RCW.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF
WASHINGTON:
NEW SECTION. Sec.
1. A new section is added
to chapter 67.28 RCW to read as follows:
(1) The legislative
body of a town with a population of at least three hundred twenty-five but less
than five hundred fifty in a county that borders on the northeastern slope of
the Cascade mountains with a population of at least thirty-six thousand but less
than forty-two thousand may levy and collect a special excise tax not to exceed
three percent on the sale of or charge made for the furnishing of lodging by a
hotel, rooming house, tourist court, motel, trailer camp, and the granting of a
similar license to use real property, as distinguished from the renting or
leasing of real property. For the purposes of this tax, it is presumed that
the occupancy of real property for a continuous period of one month or more
constitutes a rental or lease of real property and not a mere license to use or
to enjoy the property.
(2) The tax authorized
in subsection (1) of this section is in addition to any other tax authorized by
law.
(3) A seller, as
defined in RCW 82.08.010, who is required to collect a tax under this section,
shall pay the tax to the town as provided in RCW 67.28.200. The deduction from
state taxes under RCW 67.28.190 does not apply to taxes imposed under this
section.
(4) The tax levied and
collected under this section shall be credited to a special fund in the
treasury of the town. The taxes may be levied only for the purpose of tourism
promotion.
NEW SECTION. Sec.
2. A new section is added
to chapter 67.28 RCW to read as follows:
(1) The legislative
body of a city with a population of at least five hundred but less than one
thousand in a county with a population of at least eighty thousand but less
than one hundred fifteen thousand may levy and collect a special excise tax not
to exceed two percent on the sale of or charge made for the furnishing of
lodging by a hotel, rooming house, tourist court, motel, trailer camp, and the
granting of a similar license to use real property, as distinguished from the
renting or leasing of real property. For the purposes of this tax, it is
presumed that the occupancy of real property for a continuous period of one
month or more constitutes a rental or lease of real property and not a mere
license to use or to enjoy the property.
(2) The tax authorized
in subsection (1) of this section is in addition to any other tax authorized by
law.
(3) A seller, as
defined in RCW 82.08.010, who is required to collect a tax under this section,
shall pay the tax to the city as provided in RCW 67.28.200. The deduction from
state taxes under RCW 67.28.190 does not apply to taxes imposed under this
section.
(4) The tax levied and
collected under this section shall be credited to a special fund in the
treasury of the city. The taxes may be levied only for the purpose of paying
all or any part of the cost of acquisition, construction, or operation of a
performing and visual arts center or to pay or secure the payment of all or any
portion of general obligation bonds or revenue bonds issued for such purpose.
NEW SECTION. Sec.
3. A new section is added
to chapter 67.28 RCW to read as follows:
(1) The legislative
body of a city with a population of at least thirty thousand but less than
sixty thousand in a county with a population of at least one hundred thousand
but less than one hundred forty-five thousand may levy and collect a special
excise tax not to exceed two percent on the sale of or charge made for the
furnishing of lodging by a hotel, rooming house, tourist court, motel, trailer
camp, and the granting of a similar license to use real property, as
distinguished from the renting or leasing of real property. For the purposes
of this tax, it is presumed that the occupancy of real property for a
continuous period of one month or more constitutes a rental or lease of real
property and not a mere license to use or to enjoy the property.
(2) The tax authorized
in subsection (1) of this section is in addition to any other tax authorized by
law.
(3) A seller, as
defined in RCW 82.08.010, who is required to collect a tax under this section,
shall pay the tax to the city as provided in RCW 67.28.200. The deduction from
state taxes under RCW 67.28.190 does not apply to the tax imposed under this
section.
(4) The tax levied and
collected under this section shall be credited to a special fund in the
treasury of the city. The tax may be levied only for the purpose of paying all
or any part of the cost of acquisition, construction, or operation of
convention center facilities or to pay or secure the payment of all or any portion
of general obligation bonds or revenue bonds issued for such purpose.
Sec. 4. RCW 67.28.210 and 1995 c
290 s 1 are each amended to read as follows:
All taxes levied and
collected under RCW 67.28.180, 67.28.240, and 67.28.260 shall be credited to a
special fund in the treasury of the county or city imposing such tax. Such
taxes shall be levied only for the purpose of paying all or any part of the
cost of acquisition, construction, or operating of stadium facilities, convention
center facilities, performing arts center facilities, and/or visual arts center
facilities or to pay or secure the payment of all or any portion of general
obligation bonds or revenue bonds issued for such purpose or purposes under
this chapter, or to pay for advertising, publicizing, or otherwise distributing
information for the purpose of attracting visitors and encouraging tourist
expansion when a county or city has imposed such tax for such purpose, or as
one of the purposes hereunder, and until withdrawn for use, the moneys
accumulated in such fund or funds may be invested in interest bearing
securities by the county or city treasurer in any manner authorized by law. In
addition such taxes may be used to develop strategies to expand tourism: PROVIDED,
That any county, and any city within a county, bordering upon Grays Harbor may
use the proceeds of such taxes for construction and maintenance of a movable
tall ships tourist attraction in cooperation with a tall ships restoration
society, except to the extent that such proceeds are used for payment of
principal and interest on debt incurred prior to June 11, 1986: PROVIDED
FURTHER, That any city or county may use the proceeds of such taxes for the
refurbishing and operation of a steam railway or historic maritime vessels
used primarily for passenger transportation for tourism promotion
purposes: PROVIDED FURTHER, That any city bordering on the Pacific Ocean or on
Baker Bay with a population of not less than eight hundred and the county in
which such a city is located, a city bordering on the Skagit river with a
population of not less than twenty thousand, or any city within a county made
up entirely of islands may use the proceeds of such taxes for funding special
events or festivals, or for the acquisition, construction, or operation of
publicly owned tourist promotional infrastructures, structures, or buildings
including but not limited to an ocean beach boardwalk, public docks, and
viewing towers: PROVIDED FURTHER, That any county which imposes a tax under
RCW 67.28.182 or any city with a population less than fifty thousand in such
county may use the proceeds of the tax levied and collected under RCW 67.28.180
to provide public restroom facilities available to and intended for use by
visitors: PROVIDED FURTHER, That any county made up entirely of islands, and
any city or town that has a population less than five thousand, may use the
proceeds of the tax levied and collected under RCW 67.28.180 to provide public
restroom facilities available to and intended for use by visitors: PROVIDED
FURTHER, That any city or county may use the proceeds of such taxes for funding
a civic festival, if the following conditions are met: The festival is a
community-wide event held not more than once annually; the festival is approved
by the city, town, or county in which it is held; the festival is sponsored by
an exempt organization defined in section 501(c)(3), (4), or (6) of the federal
internal revenue code; the festival provides family-oriented events suiting a broad
segment of the community; and the proceeds of such taxes are used solely for
advertising and promotional materials intended to attract overnight visitors:
PROVIDED FURTHER, That any city may use the proceeds of such taxes for street
banners to attract and welcome tourists.
