BILL REQ. #:  Z-0319.1 

Read first time 02/09/11.   Referred to Committee on Transportation.

     AN ACT Relating to renewal notice fees for vehicle registrations; amending RCW 46.01.230 and 46.01.235; and adding a new section to chapter 46.17 RCW.

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

NEW SECTION.  Sec. 1   A new section is added to chapter 46.17 RCW to read as follows:
     If the department sends a physical renewal notice for vehicle registration, the department may charge the applicant a nonrefundable fee of five dollars to help defray the cost of mailing the renewal notice. The renewal notice fee must be deposited to the credit of the motor vehicle fund created in RCW 46.68.070.

Sec. 2   RCW 46.01.230 and 2010 c 161 s 205 are each amended to read as follows:
     (1) The department may accept checks and money orders for the payment of drivers' licenses, certificates of title and vehicle registrations, vehicle excise taxes, gross weight fees, and other fees and taxes collected by the department. Whenever registrations, licenses, or permits have been paid for by checks or money orders that have been dishonored by nonacceptance or nonpayment, the department shall:
     (a) Cancel the registration, license, or permit;
     (b) Send a notice of cancellation by first-class mail using the last known address in department records for the holder of the certificate, license, or permit, and complete an affidavit of first-class mail; and
     (c) Assess a handling fee, set by rule.
     (2) It is a traffic infraction to fail to surrender a certificate of title, registration certificate, or permit to the department or to an authorized agent within ten days of being notified that the certificate, registration, or permit has been canceled.
     (3) County auditors, agents, and subagents appointed by the director may collect restitution for dishonored checks and money orders and keep the handling fee.
     (4) A person who has recently acquired a vehicle by purchase, exchange, gift, lease, inheritance, or legal action is not liable or responsible for the payment of uncollected fees and taxes that were paid for by a predecessor's check or money order that was subsequently dishonored. The department may not deny an application to transfer ownership for the uncollected amount.
     (5) The director may adopt rules to implement this section. The rules must provide for the public's convenience consistent with sound business practice and encourage annual renewal of vehicle registrations by mail or electronic means, authorizing checks and money orders or the use of credit cards, debit cards, or electronic means for payment.

Sec. 3   RCW 46.01.235 and 2010 c 161 s 207 are each amended to read as follows:
     The department may adopt necessary rules and procedures to allow use of credit ((and)) cards, debit cards, or electronic means for payment of fees and excise taxes to the department and its agents or subagents related to the licensing of drivers, the issuance of identicards, and vehicle and vessel certificates of title and registration. The department may establish a convenience fee to be paid by ((the)) credit or debit card users whenever a credit or debit card is chosen as the payment method. The fee must be sufficient to offset the charges imposed on the department and its agents and subagents by credit and debit card companies. In no event may the use of credit or debit cards authorized by this section create a loss of revenue to the state.
     The use of a personal credit card does not rely upon the credit of the state as prohibited by Article VIII, section 5 of the state Constitution.