2417-S.E AMS HAUG NEAL 004

ESHB 2417 - S AMD to TRAN COMM AMD (S5471.1) - 980

    By Senator Haugen

                                                    PULLED 3/11/98

    On page 3, after line 15 , insert the following:

    "NEW SECTION. Sec. 3.  A new section is added to chapter 82.14 RCW to read as follows:

    (1)  The legislative authority of any city or town may, if authorized to do so by a majority of its voters voting at a general or special election on a proposition for that purpose, fix and impose a sales and use tax in accordance with the terms of this chapter.  The referendum procedure provided in RCW 82.14.036 shall not apply to any city or town sales and use tax ordinance or resolution approved by the voters as provided in this section.

    (2) A sales and use tax authorized by this section may only be proposed and approved to provide funds for a specific transportation project.  The ballot measure proposing the creation of a sales and use tax under this section must contain, at a minimum:

    (a) A description of the transportation project proposed for funding, properly identified by mileposts or other designations that specify the project parameters;

    (b) The proposed number of months or years necessary to fund the city or town's share of the project cost; and

    (c) The tax rate of the proposed sales and use tax.

    (3) The tax authorized in this section shall be in addition to any other taxes authorized by law and shall be collected from those persons who are taxable by the state pursuant to chapters 82.08 and 82.12 RCW upon the occurrence of any taxable event within such city or town.  The rate of tax shall equal one-tenth of one percent of the selling price, in the case of a sales tax, or value of the article used, in the case of a use tax.

    (4) The state treasurer shall distribute the moneys collected under this section monthly to the city or town levying the tax, after making the deductions authorized in RCW 82.14.050.

    (5) Moneys received from any tax imposed under this section shall be expended exclusively for transportation purposes in accordance with RCW 82.80.070.  Moneys received from any tax imposed under this section shall not supplant any existing transportation funding.

    (6) When the specific project for which the sales and use tax was authorized is completed, the city or town legislative authority must certify the completion.  Upon certification of completion of the project the sales and use tax authorized to pay for the project shall cease."

ESHB 2417 - S AMD to TRAN COMM AMD (S5471.1) - 980

    By Senator Haugen

    On page 3, line 21, after "82.80.080" insert ", and adding a new section to chapter 82.14"

    Renumber the sections consecutively and correct any internal references accordingly.

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EFFECT: Allows local option sales and use tax to pay for specific transportation projects.