SENATE BILL REPORT

                   SB 6755

              As Reported By Senate Committee On:

               Transportation, February 8, 2000

Title:  An act relating to the state patrol highway account.

Brief Description:  Abolishing the state patrol highway account.

Sponsors:  Senators Haugen, Gardner, Patterson, Shin, Costa, Morton, Horn, Bauer, Prentice and Benton.

Brief History:

Committee Activity:  Transportation:  2/3/2000, 2/8/2000 [DPS].

SENATE COMMITTEE ON TRANSPORTATION

Majority Report:  That Substitute Senate Bill No. 6755 be substituted therefor, and the substitute bill do pass.

  Signed by Senators Haugen, Chair; Gardner, Vice Chair; Goings, Vice Chair; Benton, Costa, Eide, Finkbeiner, Heavey, Horn, Johnson, Morton, Oke, Prentice, Sheahan, T. Sheldon, Shin and Swecker.

Staff:  Brad Lovaas (786-7307); Lynn Hale (786-7346)

Background:  The State Patrol highway account was created in 1981 as an account within the motor vehicle fund.

The primary revenue stream that supports the State Patrol highway account is the vehicle license fee.  Prior to Initiative 695, $20.35 of each vehicle license fee and each renewal license fee is deposited in the State Patrol highway account.  The Puget Sound ferry operations account and the motor vehicle fund also receive a portion of these fees.

Summary of Substitute Bill:  The State Patrol highway account is abolished and all funds are transferred to the motor vehicle fund.

All references to the State Patrol highway account are changed to the motor vehicle fund.

The increase in license fees and renewal license fees are deposited in the motor vehicle fund.

Two dollars of the combined vehicle licensing fee is deposited into the multimodal fund.

Substitute Bill Compared to Original Bill:  The substitute bill transfers only the increase in license fees and renewal license fees to the motor vehicle fund.

Appropriation:  None.

Fiscal Note:  Requested on January 26, 2000.

Effective Date:  The bill contains several effective dates.  Please refer to the bill.

Testimony For:  Flexibility is created when funds are not dedicated for specific purposes.  It might help effect a resolution to the transportation shortfall.

Testimony Against:  There are concerns that abolishing the State Patrol highway account would harm public safety.  It would remove dedicated funds.

Testified:  PRO:  Senator Haugen, prime sponsor; Gene Schlatter, representing business community; Jim Halstrom, WA State Horticultural Assn., Master Builders Assn.; CON:  Captain Eric Robertson, WA State Patrol.