BILL REQ. #:  Z-0411.1 

Read first time 01/22/09.   Referred to Committee on Transportation.

     AN ACT Relating to permits for and advertising by household goods carriers; amending RCW 81.80.010, 81.80.040, 81.80.070, 81.80.357, and 81.80.280; adding new sections to chapter 81.80 RCW; and prescribing penalties.

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

Sec. 1   RCW 81.80.010 and 2007 c 234 s 68 are each amended to read as follows:
     The definitions set forth in this section apply throughout this chapter.
     (1) "Person" includes an individual, firm, copartnership, corporation, company, or association or their lessees, trustees, or receivers.
     (2) "Motor vehicle" means any truck, trailer, semitrailer, tractor, dump truck which uses a hydraulic or mechanical device to dump or discharge its load, or any self-propelled or motor-driven vehicle used upon any public highway of this state for the purpose of transporting property, but not including baggage, mail, and express transported on the vehicles of auto transportation companies carrying passengers.
     (3) "Public highway" means every street, road, or highway in this state.
     (4) "Common carrier" means any person who undertakes to transport property for the general public by motor vehicle for compensation, whether over regular or irregular routes, or regular or irregular schedules, including motor vehicle operations of other carriers by rail or water and of express or forwarding companies.
     (5) "Contract carrier" includes all motor vehicle operators not included under the terms "common carrier" and "private carrier" as defined in this section, and further includes any person who under special and individual contracts or agreements transports property by motor vehicle for compensation.
     (6) A "private carrier" is a person who transports by his or her own motor vehicle, with or without compensation, property which is owned or is being bought or sold by the person, or property where the person is the seller, purchaser, lessee, or bailee and the transportation is incidental to and in furtherance of some other primary business conducted by the person in good faith.
     (7) "Motor carrier" includes "common carrier," "contract carrier," "private carrier," and "exempt carrier" as defined in this section.
     (8) "Exempt carrier" means any person operating a vehicle exempted under RCW 81.80.040.
     (9) "Vehicle" means every device capable of being moved upon a public highway and in, upon, or by which any person or property is or may be transported or drawn upon a public highway, except devices moved by human or animal power or used exclusively upon stationary rail or tracks.
     (10) "Common carrier" and "contract carrier" includes persons engaged in the business of providing, contracting for, or undertaking to provide transportation of property for compensation over the public highways of the state of Washington as brokers or forwarders.
     (11) "Household goods carrier" means a person ((engaged in the business of transporting)) who transports for compensation, by motor vehicle within this state, or who advertises, solicits, offers, or enters into an agreement to transport household goods as defined by the commission.

Sec. 2   RCW 81.80.040 and 1993 c 121 s 4 are each amended to read as follows:
     (1) The provisions of this chapter, except where specifically otherwise provided, and except the provisions providing for licenses, shall not apply to:
     (((1))) (a) Motor vehicles when operated in transportation exclusively within the corporate limits of any city or town of less than ten thousand population unless contiguous to a city or town of ten thousand population or over, nor between contiguous cities or towns both or all of which are less than ten thousand population;
     (((2))) (b) Motor vehicles when operated in transportation wholly within the corporate limits of cities or towns of ten thousand or more but less than thirty thousand population, or between such cities or towns when contiguous, as to which the commission, after investigation and the issuance of an order thereon, has determined that no substantial public interest exists which requires that such transportation be subject to regulation under this chapter;
     (((3))) (c) Motor vehicles when transporting exclusively the United States mail or in the transportation of newspapers or periodicals;
     (((4))) (d) Motor vehicles owned and operated by the United States, the state of Washington, or any county, city, town, or municipality therein, or by any department of them, or either of them;
     (((5))) (e) Motor vehicles specially constructed for towing not more than two disabled, unauthorized, or repossessed motor vehicles, wrecking, or exchanging an operable vehicle for a disabled vehicle and not otherwise used in transporting goods for compensation. For the purposes of this subsection (1)(e), a vehicle is considered to be repossessed only from the time of its actual repossession through the end of its initial tow;
     (((6))) (f) Motor vehicles normally owned and operated by farmers in the transportation of their own farm, orchard, or dairy products, including livestock and plant or animal wastes, from point of production to market, or in the infrequent or seasonal transportation by one farmer for another farmer, if their farms are located within twenty miles of each other, of products of the farm, orchard, or dairy, including livestock and plant or animal wastes, or of supplies or commodities to be used on the farm, orchard, or dairy;
     (((7))) (g) Motor vehicles when transporting exclusively water in connection with construction projects only;
     (((8))) (h) Motor vehicles of less than 8,000 pounds gross vehicle weight when transporting exclusively legal documents, pleadings, process, correspondence, depositions, briefs, medical records, photographs, books or papers, cash or checks, when moving shipments of the documents described at the direction of an attorney as part of providing legal services.
     (2) The exemptions set forth in subsection (1)(a) and (b) of this section do not apply to household goods carriers.

Sec. 3   RCW 81.80.070 and 2007 c 234 s 72 are each amended to read as follows:
     (1) A common carrier, contract carrier, or temporary carrier shall not operate for the transportation of property for compensation in this state without first obtaining from the commission a permit for such operation.
     (((a) For household goods:
     (i) Permits issued to any carrier must be exercised by the carrier to the fullest extent to render reasonable service to the public. Applications for household goods carrier permits or permit extensions must be on file for a period of at least thirty days before issuance unless the commission finds that special conditions require earlier issuance.
     (ii) A permit or permit extension must be issued to any qualified applicant, authorizing the whole or any part of the operations covered by the application, if it is found that: The applicant is fit, willing, and able to perform the services proposed and conform to this chapter and the requirements, rules, and regulations of the commission; the operations are consistent with the public interest; and, in the case of common carriers, they are required by the present or future public convenience and necessity; otherwise the application must be denied.
     (b) For general commodities other than household goods:
     (i))) (2) The commission shall issue a common carrier permit to any qualified applicant if it is found the applicant is fit, willing, and able to perform the service and conform to the provisions of this chapter and the rules and regulations of the commission.
     (((ii))) (3) Before a permit is issued, the commission shall require the applicant to establish safety fitness and proof of minimum financial responsibility as provided in this chapter.
     (((2) This chapter does not confer on any person or persons the exclusive right or privilege of transporting property for compensation over the public highways of the state.
     (3) A common carrier, contract carrier, or temporary carrier operating without the permit required in subsection (1) of this section, or who violates a cease and desist order of the commission issued under RCW 81.04.510, is subject to a penalty, under the process set forth in RCW 81.04.405, of one thousand five hundred dollars.
     (4) Notwithstanding RCW 81.04.510, the commission may, in conjunction with issuing the penalty set forth in subsection (3) of this section, issue cease and desist orders to carriers operating without the permit required in subsection (1) of this section, and to all persons involved in the carriers' operations.))

NEW SECTION.  Sec. 4   A new section is added to chapter 81.80 RCW to read as follows:
     (1) No person shall engage in business as a household goods carrier without first obtaining a household goods carrier permit from the commission.
     (2) Permits issued to any household goods carrier must be exercised by the carrier to the fullest extent to render reasonable service to the public. Applications for household goods carrier permits or permit extensions must be on file for a period of at least thirty days before issuance unless the commission finds that special conditions require earlier issuance.
     (3) The commission must issue a permit or permit extension to any qualified applicant, authorizing the whole or any part of the operations covered by the application, if it is found that: The applicant is fit, willing, and able to perform the services proposed and conform to this chapter and the requirements, rules, and regulations of the commission; the operations are consistent with the public interest; and, in the case of common carriers, they are required by the present or future public convenience and necessity; otherwise, the application must be denied.
     (4) Any person who engages in business as a household goods carrier in violation of subsection (1) of this section is subject to a penalty of up to five thousand dollars per violation.
     (a) If the basis for the violation is advertising, each advertisement reproduced, broadcast, or displayed via a particular medium constitutes a separate violation.
     (b) In deciding the amount of penalty to be imposed per violation, the commission shall consider the following factors:
     (i) The carrier's willingness to comply with the requirements of RCW 81.80.070 and the commission's rules under this chapter; and
     (ii) The carrier's history with respect to compliance with this section.
     (5) Any person who engages in business as a household goods carrier in violation of a cease and desist order issued by the commission under RCW 81.04.510 is subject to a penalty of up to ten thousand dollars per violation.

NEW SECTION.  Sec. 5   A new section is added to chapter 81.80 RCW to read as follows:
     This chapter does not confer on any person or persons the exclusive right or privilege of transporting property for compensation over the public highways of the state.

Sec. 6   RCW 81.80.357 and 1994 c 168 s 1 are each amended to read as follows:
     (1) No person in the business of transporting household goods as defined by the commission in intrastate commerce shall advertise without listing the carrier's Washington utilities and transportation commission permit number, physical address, and telephone number in the advertisement.
     (2) ((As of June 9, 1994,)) All advertising, contracts, correspondence, cards, signs, posters, papers, and documents, including web sites or other online advertising, which show a household goods ((motor)) carrier name ((or address)) shall also show the carrier's Washington utilities and transportation commission permit number, physical address, and telephone number. The alphabetized listing of household ((good[s] motor)) goods carriers appearing in the advertising sections of telephone books or other directories and all advertising that shows the carrier's name or address shall show the carrier's current Washington utilities and transportation commission permit number.
     (3) Radio or television advertising ((by electronic transmission)) need not contain the carrier's Washington utilities and transportation commission permit number if the carrier provides its permit number, physical address, and telephone number to the person selling the advertisement and it is recorded in the advertising contract.
     (4) No person shall falsify a Washington utilities and transportation commission permit number or use a false or inaccurate Washington utilities and transportation commission permit number in connection with any solicitation or identification as an authorized household goods ((motor)) carrier.
     (5) If, upon investigation, the commission determines that a ((motor)) household goods carrier or person acting in the capacity of a ((motor)) household goods carrier has violated this section, the commission may issue a penalty not to exceed five hundred dollars for every violation.

Sec. 7   RCW 81.80.280 and 2007 c 234 s 85 are each amended to read as follows:
     (1) Permits may be canceled, suspended, altered, or amended by the commission upon complaint by any interested party, or upon the commission's own motion after notice and opportunity for hearing, when the permittee or permittee's agent has repeatedly violated this chapter, the rules and regulations of the commission, or the motor laws of this state or of the United States, or the household goods carrier has made unlawful rebates or has not conducted its operation in accordance with the permit. The commission may enjoin any person from any violation of this chapter, or any order, rule, or regulation made by the commission pursuant to the terms hereof. If the suit is instituted by the commission, a bond is not required as a condition to the issuance of the injunction.
     (2) When the commission has canceled a household goods carrier permit, the carrier must, when directed by the commission, provide notice to every customer that its permit has been canceled, and provide proof of such notice to the commission.