5540 AMH ORCU LEAT 097

SB 5540 - H AMD 620

By Representative Orcutt

NOT ADOPTED 4/17/2009

    On page 3, line 1, after "However," strike all material through "81.104.170" on line 5 and insert "tax rates of a high capacity transportation corridor areas are subject to the following restrictions:

    (a) A high capacity transportation corridor area may only seek voter approval of a sales and use tax pursuant to RCW 81.104.170 for purposes of providing high capacity transportation services; and

    (b) In no event may a transit agency establishing a high capacity transportation corridor area or areas impose combined sales and use tax rates within the boundaries of a corridor area that exceed nine-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).  For purposes of this subsection, "sales and use tax rates" means tax rates authorized under RCW 81.104.170 and 82.14.045"

    On page 3, beginning on line 24, strike all of sections 3 and 4

    Renumber the remaining sections consecutively and correct any internal references accordingly.

    On page 4, line 24, after "corridor areas," insert "subject to section 2 of this act,"

    On page 5, beginning on line 9, insert "(1)"

    On page 5, line 11, after "benefit areas," strike "high capacity transportation areas,"

    On page 5, after line 16, insert the following:

    "(2) Subject to section 2 of this act, high capacity transportation corridor areas are authorized to pledge revenues from the sales and use tax authorized by RCW 81.104.170, to retire bonds issued solely for the purpose of providing high capacity transportation service."

    Correct the title.

EFFECT:   Removes a high capacity transportation corridor area's (HCTCA) authority to impose an employer tax and a rental car tax.  Establishes that a transit agency creating one or more HCTCAs within its boundaries may not impose a combined sales and tax rate of more than 0.9 percent within the HCTCA's boundaries, including both public transportation sales and use tax authorized to be imposed by the transit agency and high capacity transportation sales and use tax authorized to be imposed by the HCTCA.  

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