Washington State House of Representatives	BILL ANALYSIS
Transportation Committee

SSB 5274

Brief Description:  Revising the appointment of vehicle licensing subagents.

Sponsors:  By Senate Committee on Transportation (originally sponsored by Senators Gardner, Haugen and McCaslin).

Brief Summary of Substitute Bill

$A retiring subagent may nominate a sibling, spouse, child or employee as a successor to the subagency.

$The county auditor must use an open competitive process to select two possible successor names for submittal to the Department of Licensing (DOL), requiring that one of the names be the nominated successor.

$Increases the subagent fee for title work from $7.50 to $8.50 and increases the subagent fee for non-title work from $3 to $3.50.

Hearing Date:  3/28/01

Staff:  Reema Griffith (786‑7301).

Background: 

Under current law, the appointment of a subagency is accomplished via a request for proposal process conducted by the county auditor.  The county auditor is required to submit all subagent proposals received to the director of the Department of Licensing (DOL) for final appointment.  The auditor must also provide a recommendation on the appointment of one or more of the subagent applicants, but the director retains final appointment authority.  There is no process in current law which would allow for a subagent to recommend a successor or transfer their business to an individual of their choice.

Newly appointed subagents must enter into a contract with the county auditor to conduct vehicle licensing functions on behalf of the auditor and the department.  In carrying out their licensing responsibilities, subagents are authorized under current law to collect a service fee of $7.50 for title related work and $3 for non-title related work which includes vehicle registration renewals.

Summary of Bill: 

In selecting a subagent, the county auditor must use an open competitive process which must include both a written proposal and an oral interview to determine the qualifications of all applicants.  The current subagent may recommend a successor who is either their sibling, spouse, child or employee, but the recommended successor must participate in the open competitive process. 

If it is determined that the recommended successor is qualified, the auditor must include in his or her recommendation to the director, not only the name recommended by the subagent, but also the name of one other applicant selected through the open competitive process.  However, if the only qualified applicant is the recommended successor, the auditor does not need to submit a second name to the director.  The director will make the final appointment but his or her selection is limited to the one or two names submitted by the county auditor. 

The service fees collected by subagents are increased as follows:

1) The fee for title related work is increased $1, from the current $7.50 to $8.50; and

2) The fee for non-title related work, such as vehicle registration renewals, is increased $.50, from the current $3 to $3.50.

Appropriation:  None.

Fiscal Note:  Available.

Effective Date:  Ninety days after adjournment of session in which bill is passed.