BP BHEAD INT S [atlas:bill]

AN ACT Relating to motor vehicle fuel taxes; amending RCW 82.36.025 and 47.26.080; adding new sections to chapter 46.68 RCW; adding a new chapter to Title 82 RCW; providing an effective date; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

Sec. 1. RCW 82.36.025 and 1994 c 179 s 30 are each amended to read as follows:

The motor vehicle fuel tax rate shall be computed as the sum of the tax rate provided in subsection (1) of this section and the additional tax rates provided in subsections (2) through ((~~(5)~~)) (6) of this section.

(1) A motor vehicle fuel tax rate of seventeen cents per gallon shall apply to the sale, distribution, or use of motor vehicle fuel.

(2) An additional motor vehicle fuel tax rate of one-third cent per gallon shall apply to the sale, distribution, or use of motor vehicle fuel, and the proceeds from this additional tax rate, reduced by an amount equal to the sum of the payments under RCW 46.68.090(1) (a), (b), and (c) multiplied by the additional tax rate prescribed by this subsection divided by the motor vehicle fuel tax rate provided in this section, shall be deposited in the rural arterial trust account in the motor vehicle fund for expenditures under RCW 36.79.020.

(3) An additional motor vehicle fuel tax rate of one-third cent per gallon shall apply to the sale, distribution, or use of motor vehicle fuel, and the proceeds from this additional tax rate, reduced by an amount equal to the sum of the payments under RCW 46.68.090(1) (a), (b), and (c) multiplied by the additional tax rate prescribed by this subsection divided by the motor vehicle fuel tax rate provided in this section, shall be deposited in the urban arterial trust account in the motor vehicle fund. After June 30, 1995, ninety-five percent of this revenue shall be deposited in the urban arterial trust account in the motor vehicle fund and five percent shall be deposited in the small city account in the motor vehicle fund.

(4) An additional motor vehicle fuel tax rate of one-third cent per gallon shall be applied to the sale, distribution, or use of motor vehicle fuel, and the proceeds from this additional tax rate, reduced by an amount equal to the sum of the payments under RCW 46.68.090(1) (a), (b), and (c) multiplied by the additional tax rate prescribed by this subsection divided by the motor vehicle fuel tax rate provided in this section, shall be deposited in the motor vehicle fund to be expended for highway purposes of the state as defined in RCW 46.68.130.

(5) An additional motor vehicle fuel tax rate of four cents per gallon from April 1, 1990, through March 31, 1991, and five cents per gallon from April 1, 1991, applies to the sale, distribution, or use of motor vehicle fuel. The proceeds from the additional tax rate under this subsection, reduced by an amount equal to the sum of the payments under RCW 46.68.090(1) (a), (b), and (c) multiplied by the additional tax rate prescribed by this subsection divided by the motor fuel tax rate provided in this section, shall be deposited in the motor vehicle fund and shall be distributed by the state treasurer according to RCW 46.68.095.

(6) From July 1, 1997, through December 31, 1997, an additional motor vehicle fuel tax rate of five cents per gallon and after December 31, 1997, an additional motor vehicle fuel tax rate of seven cents per gallon applies to the sale, distribution, or use of motor vehicle fuel, and the proceeds from this additional tax rate, reduced by an amount equal to the sum of the payments under RCW 46.68.090(1) (a), (b), and (c) multiplied by the additional tax rate prescribed by this subsection divided by the motor vehicle fuel tax rate provided in this section, shall be deposited in the motor vehicle fund to be expended for highway purposes of the state as defined in RCW 46.68.130.

NEW SECTION. Sec. 2. A new section is added to chapter 46.68 RCW to read as follows:

All moneys that have accrued or may accrue to the motor vehicle fund from the motor vehicle fuel tax and special fuel tax imposed by RCW 82.36.025(6) shall be distributed monthly by the state treasurer in the following proportions:

(1) From July 1, 1997, through December 31, 1997, four cents per gallon and after December 31, 1997, five cents per gallon shall be deposited in the motor vehicle fund and shall be expended for highway purposes of the state as defined in RCW 46.68.130;

(2) From July 1, 1997, through December 31, 1997, fifteen one-hundredths of a cent per gallon and after December 31, 1997, thirty one-hundredths of a cent per gallon shall be deposited in the Puget Sound capital construction account and expended under RCW 47.60.505;

(3) From July 1, 1997, through December 31, 1997, one hundred seventy-five one-thousandths of a cent per gallon and after December 31, 1997, thirty-five one-hundredths of a cent per gallon shall be deposited in the city major urban project account, and used solely for the purposes designated in section 4 of this act;

(4) From July 1, 1997, through December 31, 1997, one hundred seventy-five one-thousandths of a cent per gallon and after December 31, 1997, thirty-five one-hundredths of a cent per gallon shall be deposited in the county road equalization account, and used solely for the purposes designated in section 3 of this act;

(5) From July 1, 1997, through December 31, 1997, twenty-five one-hundredths of a cent per gallon and after December 31, 1997, five-tenths of a cent per gallon shall be allocated to cities and towns as provided in RCW 46.68.110; and

(6) From July 1, 1997, through December 31, 1997, twenty-five one-hundredths of a cent per gallon and after December 31, 1997, five-tenths of a cent per gallon shall be allocated to counties as provided in RCW 46.68.120.

NEW SECTION. Sec. 3. A new section is added to chapter 46.68 RCW to read as follows:

The county road equalization account is created in the motor vehicle fund. Into this account shall be placed such revenues as are provided under section 2(4) of this act. Funds in the account shall be distributed by the treasurer after certification by the county road administration board according to the following procedure:

(1) The county road administration board shall certify to the treasurer that funds are to be distributed only to those counties that qualify by imposing any of the following local-option transportation taxes: The motor vehicle fuel and special fuel tax, section 5 of this act; the commercial parking tax, RCW 82.80.030; the motor vehicle fuel and special fuel excise tax, RCW 82.80.010; or the vehicle license fee for counties, RCW 82.80.020. Funds from the account shall be distributed to qualifying counties in proportion to the number of paved arterial land miles in the unincorporated area of each county and shall be used to sustain the structural, safety, and operational integrity of county arterials. The county road administration board shall adopt rules and develop policies to implement this program and to assure that a pavement management system is used; and

(2) At the end of the fiscal quarter, an amount equal to the money that is attributable to nonqualifying counties had they imposed one of the local-option taxes specified in subsection (1) of this section shall be transferred to the county arterial preservation account for distribution under RCW 46.68.095(4).

NEW SECTION. Sec. 4. A new section is added to chapter 46.68 RCW to read as follows:

The city major urban project account is created in the motor vehicle fund. Into this account shall be placed such revenues as are provided under section 2(3) of this act. Funds in the account shall be distributed by the treasurer after certification by the transportation improvement board according to the following procedure: The transportation improvement board shall develop policies and adopt rules that distribute funds for large urban transportation projects only in those cities and towns that qualify by imposing any of the following local-option transportation taxes: The motor vehicle fuel and special fuel tax, section 6 of this act; the commercial parking tax, RCW 82.80.030; the sales and use tax for transportation purposes, section 8, chapter . . ., Laws of 1997 (Substitute Senate Bill No. 5480); the property tax levy for transportation purposes, section 3(1)(b), chapter . . ., Laws of 1997 (Substitute Senate Bill No. 5480); or the vehicle registration fee for city transportation, section 4(1), chapter . . ., Laws of 1997 (Substitute Senate Bill No. 5480).

NEW SECTION. Sec. 5. (1) Any county may levy, by approval of its legislative body and subject to referendum of the registered voters in the county as provided in section 7 of this act, an additional tax of up to one cent per gallon of motor vehicle fuel as defined in RCW 82.36.010 and on special fuel as defined in RCW 82.38.020 per gallon or one hundred cubic feet of compressed natural gas measured at standard temperature and pressure sold within the boundaries of the county. An election held under this section must be held not more than twelve months before the date on which the proposed tax is to be levied. The ballot setting forth the proposition shall state the tax rate that is proposed. The county's authority to levy additional motor vehicle fuel taxes and special fuel taxes under this section includes the incorporated and unincorporated areas of the county. The proposed tax shall not be levied less than one month from the date the election results are certified by the county election officer. The commencement date for the levy of any tax under this section shall be the first day of January, April, July, or October.

(2) Taxes imposed under this section are intended to provide additional funding for transportation investments by local government, and shall not be used to replace or supplant existing funding. Beginning in 1997, all counties shall report annually the total transportation expenditures for their jurisdiction, as defined by the state auditor's office in the report "Local Government Comparative Statistics, 1994." Counties shall identify changes from their 1994 baseline transportation expenditure levels established in the above report.

(3) Motor vehicle fuel tax refunds authorized under chapters 82.36 and 82.38 RCW are not required for taxes imposed under this section. The taxes imposed under this section are not subject to the transfer requirements of RCW 43.99.070, 46.09.170, and 46.10.170.

(4) The state treasurer shall distribute monthly to the levying county the proceeds of the motor vehicle fuel tax and special fuel tax collected under this section, after the deductions for payments and expenditures as provided in RCW 46.68.090(1) (a), (b), and (c).

NEW SECTION. Sec. 6. (1) Any city may levy, by approval of its legislative body and subject to referendum of the registered voters in the city as provided in section 7 of this act, an additional tax of up to one cent per gallon of motor vehicle fuel as defined in RCW 82.36.010 and on special fuel as defined in RCW 82.38.020 per gallon or one hundred cubic feet of compressed natural gas measured at standard temperature and pressure sold within the boundaries of the city. An election held under this section must be held not more than twelve months before the date on which the proposed tax is to be levied. The ballot setting forth the proposition shall state the tax rate that is proposed. The city's authority to levy additional motor vehicle fuel taxes and special fuel taxes under this section includes the incorporated areas of the city and is in addition to any taxes imposed under section 5 of this act. The proposed tax shall not be levied less than one month from the date the election results are certified by the city election officer. The commencement date for the levy of any tax under this section shall be the first day of January, April, July, or October.

(2) Taxes imposed under this section are intended to provide additional funding for transportation investments by local government, and shall not be used to replace or supplant existing funding. Beginning in 1997, all cities shall report annually the total transportation expenditures for their jurisdiction, as defined by the state auditor's office in the report "Local Government Comparative Statistics, 1994." Cities shall identify changes from their 1994 baseline transportation expenditure levels established in the above report.

(4) The state treasurer shall distribute monthly to the levying city the proceeds of the motor vehicle fuel tax and special fuel tax collected under this section, after the deductions for payments and expenditures as provided in RCW 46.68.090(1) (a), (b), and (c).

NEW SECTION. Sec. 7. A referendum petition to repeal a county or city ordinance imposing a tax authorized under section 5 or 6 of this act must be filed with a filing officer, as identified in the ordinance, within seven days of passage of the ordinance. Within ten days, the filing officer shall confer with the petitioner concerning form and style of the petition, issue an identification number for the petition, and write a ballot title for the measure. The ballot title shall be posed as a question and an affirmative vote on the measure results in the tax being imposed and a negative answer to the question and a negative vote on the measure results in the tax not being imposed. The petitioner shall be notified of the identification number and ballot title within this ten-day period.

After this notification, the petitioner has thirty days in which to secure on petition forms the signatures of not less than fifteen percent of the registered voters of the county for county measures, or not less than fifteen percent of the registered voters of the city for city measures, and to file the signed petitions with the filing officer. Each petition form must contain the ballot title and the full text of the measure to be referred. The filing officer shall verify the sufficiency of the signatures on the petitions. If sufficient valid signatures are properly submitted, the filing officer shall submit the referendum measure to the county or city voters at a general or special election held on one of the dates provided in RCW 29.13.010 as determined by the county or city legislative authority, which election shall not take place later than one hundred twenty days after the signed petition has been filed with the filing officer.

The referendum procedure provided in this section is the exclusive method for subjecting any county or city ordinance imposing a tax or fee under section 5 or 6 of this act to a referendum vote.

Sec. 8. RCW 47.26.080 and 1994 c 179 s 8 are each amended to read as follows:

There is hereby created in the motor vehicle fund the urban arterial trust account. The intent of the urban arterial trust account program is to improve the urban arterial street system of the state by improving mobility and safety while supporting an environment essential to the quality of life of the citizens of the state of Washington. To be eligible to receive these funds, a project must be consistent with the Growth Management Act, the Clean Air Act including conformity, and the Commute Trip Reduction Law. The project shall consider safety, mobility, and physical characteristics of the roadway and must be partially funded by local government.

All moneys deposited in the motor vehicle fund to be credited to the urban arterial trust account shall be expended as follows:

(1) First, to those cities imposing one of the local-option transportation taxes or fees specified in section 4 of this act, an amount necessary to ensure that, in combination with the imposition of the local-option transportation taxes or fees, those cities will generate annual revenues equivalent to four dollars per capita; then

(2) For the construction and improvement of city arterial streets and county arterial roads within urban areas, for expenses of the transportation improvement board in accordance with RCW 47.26.140, or for the payment of principal or interest on bonds issued for the purpose of constructing or improving city arterial streets and county arterial roads within urban areas, or for reimbursement to the state, counties, cities, and towns in accordance with RCW 47.26.4252 and 47.26.4254, the amount of any payments made on principal or interest on urban arterial trust account bonds from motor vehicle or special fuel tax revenues which were distributable to the state, counties, cities, and towns.

The board shall not allocate funds, nor make payments of the funds under RCW 47.26.260, to any county, city, or town identified by the governor under RCW 36.70A.340.

NEW SECTION. Sec. 9. A new section is added to chapter 46.68 RCW to read as follows:

State funding for freight mobility projects located on city-owned transportation facilities is conditioned upon the city imposing one or more of the following transportation local option taxes: The motor vehicle fuel and special fuel tax, section 6 of this act; the commercial parking tax, RCW 82.80.030; the sales and use tax for transportation purposes, section 8, chapter . . ., Laws of 1997 (Substitute Senate Bill No. 5480); the property tax levy for transportation purposes, section 3(1)(b), chapter . . ., Laws of 1997 (Substitute Senate Bill No. 5480); or the vehicle registration fee for city transportation, section 4(1), chapter . . ., Laws of 1997 (Substitute Senate Bill No. 5480).

NEW SECTION. Sec. 10. A new section is added to chapter 46.68 RCW to read as follows:

State funding for freight mobility projects located on county-owned transportation facilities is conditioned upon the county imposing one or more of the following transportation local option taxes: The motor vehicle fuel and special fuel tax, section 5 of this act; the commercial parking tax, RCW 82.80.030; the motor vehicle fuel and special fuel excise tax, RCW 82.80.010; or the vehicle license fee for counties, RCW 82.80.020.

NEW SECTION. Sec. 11. Sections 5 through 7 of this act constitute a new chapter in Title 82 RCW.

NEW SECTION. Sec. 12. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.

NEW SECTION. Sec. 13. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect July 1, 1997.