S-3618.1  _______________________________________________

                         SENATE BILL 6593

          _______________________________________________

State of Washington      56th Legislature     2000 Regular Session

By Senators Benton, Rossi, Zarelli, Horn, Johnson, Hochstatter, Deccio, Stevens, Finkbeiner, Oke and Heavey

Read first time 01/20/2000.  Referred to Committee on Transportation.

Allowing the department of licensing to charge a fee for the administration of the local motor vehicle excise tax.

    AN ACT Relating to charges for the collection of the local motor vehicle excise tax; and amending RCW 81.104.160.

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

    Sec. 1.  RCW 81.104.160 and 1998 c 321 s 35 (Referendum Bill No. 49) are each amended to read as follows:

    (1) Cities that operate transit systems, county transportation authorities, metropolitan municipal corporations, public transportation benefit areas, and regional transit authorities may submit an authorizing proposition to the voters, and if approved, may levy and collect an excise tax, at a rate approved by the voters, but not exceeding eighty one-hundredths of one percent on the value((, under chapter 82.44 RCW,)) of every motor vehicle owned by a resident of the taxing district, solely for the purpose of providing high capacity transportation service.  In any county imposing a motor vehicle excise tax surcharge pursuant to RCW 81.100.060, the maximum tax rate under this section shall be reduced to a rate equal to eighty one-hundredths of one percent on the value less the equivalent motor vehicle excise tax rate of the surcharge imposed pursuant to RCW 81.100.060.  This rate shall not apply to vehicles licensed under RCW 46.16.070 except vehicles with an unladen weight of six thousand pounds or less, RCW 46.16.079, 46.16.085, or 46.16.090.  The department of licensing shall deduct a percentage amount, as provided by contract, not to exceed two percent of the taxes collected for the administration and collection expenses incurred by the department.

    (2) An agency imposing a tax under subsection (1) of this section may also impose a sales and use tax solely for the purpose of providing high capacity transportation service, in addition to the tax authorized by RCW 82.14.030, upon retail car rentals within the agency's jurisdiction that are taxable by the state under chapters 82.08 and 82.12 RCW.  The rate of tax shall not exceed 2.172 percent.  The rate of tax imposed under this subsection shall bear the same ratio to the 2.172 percent rate authorized that the rate imposed under subsection (1) of this section bears to the rate authorized under subsection (1) of this section.  The base of the tax shall be the selling price in the case of a sales tax or the rental value of the vehicle used in the case of a use tax.  The revenue collected under this subsection shall be used in the same manner as excise taxes under subsection (1) of this section.

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