BILL REQ. #:  S-1770.1 

READ FIRST TIME 02/23/09.   

     AN ACT Relating to clarifying rental car company charges, surcharges, and fees to be included in rental car agreements; adding a new section to chapter 47.04 RCW; and creating a new section.

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

NEW SECTION.  Sec. 1   The legislature finds that there are car rental agreements entered into between car rental companies and their customers that include fees in addition to the rental rate and taxes. It is the intent of the legislature that such fees be clearly and separately stated in such agreements.

NEW SECTION.  Sec. 2   A new section is added to chapter 47.04 RCW to read as follows:
     (1) A rental car company may include separately stated surcharges, fees, or charges in a rental agreement, which may include, but may not be in any way limited to, vehicle license cost recovery fees, airport-related recovery fees, all applicable taxes, and government surcharges.
     (2) If a rental car company includes a vehicle license cost recovery fee as a separately stated charge in a rental transaction, the amount of the fee must represent the rental car company's good faith estimate of the rental car company's average daily charge as calculated by the rental car company to recover its actual total annual rental car titling, registration, plating, and inspection costs in the state of Washington.
     (3) If the total amount of the vehicle license cost recovery fees collected by a rental car company under this section in any calendar year exceeds the rental car company's actual costs in the state of Washington to license, title, register, and plate rental cars and to have such rental cars inspected for that calendar year, the rental car company shall do both of the following:
     (a) Retain the excess amount; and
     (b) Adjust the estimated average per vehicle titling, licensing, plating, inspecting, and registration charge for the following calendar year by a corresponding amount.
     (4) Nothing in this section prevents a rental car company from making adjustments to the vehicle license cost recovery fee during the calendar year.
     (5) The following definition applies to this section unless the context clearly requires otherwise: "Vehicle license cost recovery fee" means a charge that may be separately stated and charged on the rental contract in a car rental transaction originating in Washington state to recover costs incurred in the state of Washington by a rental car company to license, title, register, plate, and inspect rental cars.