Requires the Washington state historical society to: (1) After consultation with maritime heritage stakeholders, establish a competitive grant program and process to solicit proposals for a maritime historic vessel restoration and preservation program for funding from the maritime historic restoration and preservation account established in RCW 88.02.053; and

(2) Establish policies for funding of emergent needs as identified by the United States coast guard.

Authorizes the Washington state historical society to establish a level of reserves that will be held to meet such emergent needs.

Prohibits the Washington state historical society from signing contracts or otherwise financially obligating funds until the legislature has appropriated funds specifically for the program.

Revises the annual amount of excise tax for a historic vessel as defined in RCW 88.02.010 to one-quarter of one percent of fair market value, as determined under chapter 82.49 RCW (watercraft excise tax), or five dollars, whichever is greater.

Provides that a historic vessel registered under RCW 88.02.050 may only be used for participation in club activities, exhibitions, tours, parades, and occasional pleasure boating.