BILL REQ. #:  H-0463.1 

Read first time 01/15/2003.   Referred to Committee on Finance.

     AN ACT Relating to authorizing additional county sales and use tax authority; adding a new section to chapter 82.14 RCW; providing an effective date; and declaring an emergency.

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

NEW SECTION.  Sec. 1   A new section is added to chapter 82.14 RCW to read as follows:
     (1) A sales and use tax may be fixed and imposed in accordance with the terms of this chapter if:
     (a) A county legislative authority submits an authorizing proposition to the county voters, and the proposition is approved by a majority of persons voting on the proposition; or
     (b) A petition proposing the imposition of a sales and use tax is filed with the county auditor, the petition is signed by a number of voters equal to at least ten percent of the number of voters in the county voting at the last preceding general election, and, after meeting these requirements, an authorizing proposition is submitted to the county voters and approved by a majority of persons voting on the proposition.
     (2) A ballot proposition under subsection (1)(a) or (b) of this section must be submitted to the voters of the county at the next general election occurring at least sixty days after a county legislative authority has adopted a resolution to impose the tax under subsection (1)(a) of this section, or a petition has been filed under subsection (1)(b) of this section. A county legislative authority may authorize a special election prior to this general election if it has been called for this purpose by the authority.
     (3) The tax authorized in this section shall be in addition to any other taxes authorized by law and shall be collected from those persons who are taxable by the state under chapters 82.08 and 82.12 RCW upon the occurrence of any taxable event within the county. The rate of tax shall equal three-tenths of one percent of the selling price in the case of a sales tax, or value of the article used, in the case of a use tax.
     (4) A plan for the expenditure of the sales and use tax proceeds shall be prepared by the county legislative authority at least sixty days before the election if the proposal is initiated by the county legislative authority, or within six months after the tax has been approved by the voters if the proposal is initiated by petition. The plan may include a provision to allow the distribution of up to ten percent of the proceeds from the tax to the cities within the county. Prior to the adoption of this plan, the elected officials of cities located within the county shall be consulted and a public hearing shall be held to obtain public input. The proceeds of the tax must be expended in conformance with this plan.
     (5) For purposes of this section, "rural county" means a county with a population density of less than one hundred persons per square mile or a county smaller than two hundred twenty-five square miles as determined by the office of financial management and published each year by the department for the period July 1st to June 30th.

NEW SECTION.  Sec. 2   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, 2003.