SENATE BILL REPORT

                   SB 5400

              As Reported By Senate Committee On:

                Ways & Means, February 15, 1999

Title:  An act relating to distributions to the municipal research council.

Brief Description:  Clarifying distributions to the office of municipal research.

Sponsors:  Senators Haugen, Loveland, Honeyford, Patterson, Horn and Costa.

Brief History:

Committee Activity:  Ways & Means:  2/3/99, 2/15/99 [DPS].

SENATE COMMITTEE ON WAYS & MEANS

Majority Report:  That Substitute Senate Bill No. 5400 be substituted therefor, and the substitute bill do pass.

  Signed by Senators Loveland, Chair; Bauer, Vice Chair; Fairley, Fraser, Honeyford, Kohl‑Welles, Long, McDonald, Rasmussen, Roach, Rossi, B. Sheldon, Snyder, Spanel, West, Winsley and Wojahn.

Staff:  Terry Wilson (786-7433)

Background:  The state imposes an excise tax for the privilege of using a motor vehicle on the highways of the state.  A portion of the tax is distributed to cities and towns ratably based on population for police and fire protection.  Before making the distribution, 65 percent of the annual appropriation to the Municipal Research Council is deducted for distribution to the Municipal Research Council.

Before Referendum 49, the portion of the tax that was distributed to cities and towns was deposited into the state general fund.  Referendum 49 created a separate account for the city police and fire protection distribution.  However, obsolete references to the state general fund were overlooked.

Summary of Substitute Bill:  References to the state general fund are replaced with references to the city police and fire protection assistance account.

Substitute Bill Compared to Original Bill:  The substitute bill adds an emergency clause.

Appropriation:  None.

Fiscal Note:  Available.

Effective Date:  The bill contains an emergency clause and takes effect immediately.

Testimony For:  This is a technical fix to restore the link between the MVET and the Municipal Research Council distribution.

Testimony Against:  None.

Testified:  PRO:  Richard Yukubousky, Municipal Research Council; Jim Justin, Assn. of WA Cities.