| Passed by the House April 22, 2013 Yeas 93 ________________________________________ Speaker of the House of Representatives Passed by the Senate April 15, 2013 Yeas 46 ________________________________________ President of the Senate | I, Barbara Baker, Chief Clerk of the House of Representatives of the State of Washington, do hereby certify that the attached is SUBSTITUTE HOUSE BILL 1883 as passed by the House of Representatives and the Senate on the dates hereon set forth. ________________________________________ Chief Clerk | |
| Approved ________________________________________ Governor of the State of Washington | Secretary of State State of Washington |
| State of Washington | 63rd Legislature | 2013 Regular Session |
READ FIRST TIME 02/28/13.
AN ACT Relating to simplifying and updating statutes related to fuel tax administration; amending RCW 82.38.010, 82.38.020, 82.38.030, 82.38.032, 82.38.035, 82.38.050, 82.38.060, 82.38.065, 82.38.066, 82.38.075, 82.38.080, 82.38.090, 82.38.110, 82.38.140, 82.38.150, 82.38.160, 82.38.170, 82.38.180, 82.38.190, 82.38.210, 82.38.220, 82.38.230, 82.38.235, 82.38.245, 82.38.260, 82.38.270, 82.38.280, 82.38.290, 82.38.310, 82.38.320, 82.38.360, 82.38.365, 82.38.370, 82.38.380, 82.38.385, 82.42.010, 82.42.020, 82.42.030, 82.42.040, 82.42.090, 82.42.110, 82.42.125, 19.112.110, 19.112.120, 35A.81.010, 36.70A.340, 43.06.400, 46.01.040, 46.09.310, 46.87.080, 47.02.070, 47.02.160, 47.10.040, 47.10.180, 47.10.310, 47.10.440, 47.10.714, 47.10.729, 47.10.756, 47.10.766, 47.10.793, 47.10.804, 47.10.815, 47.10.822, 47.10.838, 47.10.846, 47.10.864, 47.10.876, 47.10.883, 47.26.404, 47.26.424, 47.26.4252, 47.26.4254, 47.26.504, 47.56.771, 47.60.580, 79A.25.010, 79A.25.040, 79A.25.050, 82.04.4285, 82.08.0255, 82.80.010, 82.80.110, 82.80.120, 46.68.080, 46.68.090, and 82.12.0256; reenacting and amending RCW 82.38.120 and 46.09.520; adding new sections to chapter 82.38 RCW; adding new sections to chapter 82.42 RCW; decodifying RCW 82.38.800, 82.38.900, 82.38.910, 82.38.920, 82.38.930, 82.38.940, and 82.38.941; repealing RCW 82.36.010, 82.36.020, 82.36.022, 82.36.025, 82.36.026, 82.36.027, 82.36.028, 82.36.029, 82.36.031, 82.36.032, 82.36.035, 82.36.040, 82.36.044, 82.36.045, 82.36.047, 82.36.050, 82.36.060, 82.36.070, 82.36.075, 82.36.080, 82.36.090, 82.36.095, 82.36.100, 82.36.110, 82.36.120, 82.36.130, 82.36.140, 82.36.150, 82.36.160, 82.36.170, 82.36.180, 82.36.190, 82.36.200, 82.36.210, 82.36.230, 82.36.240, 82.36.245, 82.36.247, 82.36.250, 82.36.260, 82.36.270, 82.36.275, 82.36.280, 82.36.285, 82.36.290, 82.36.300, 82.36.310, 82.36.320, 82.36.330, 82.36.335, 82.36.340, 82.36.350, 82.36.370, 82.36.375, 82.36.380, 82.36.390, 82.36.400, 82.36.410, 82.36.415, 82.36.420, 82.36.430, 82.36.435, 82.36.440, 82.36.450, 82.36.460, 82.36.470, 82.36.475, 82.36.480, 82.36.485, 82.36.490, 82.36.495, 82.36.800, 82.36.900, 82.36.901, 82.38.045, 82.38.047, 82.38.130, 82.38.240, 82.38.250, 82.38.265, 82.38.350, 82.41.060, 82.42.050, 82.42.060, 82.42.070, 82.42.080, and 82.42.120; prescribing penalties; and providing an effective date.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec. 101 RCW 82.38.010 and 1979 c 40 s 1 are each amended to read
as follows:
The purpose of this chapter is to ((supplement the Motor Vehicle
Fuel Tax Act, chapter 82.36 RCW, by imposing)) impose a tax upon
((all)) fuels ((not taxed under said Motor Vehicle Fuel Tax Act)) used
for the propulsion of motor vehicles upon the highways of this state.
Sec. 102 RCW 82.38.020 and 2002 c 183 s 1 are each amended to
read as follows:
The definitions in this section apply throughout this chapter
unless the context clearly requires otherwise.
(1) "Blended ((special)) fuel" means a mixture of ((undyed diesel))
fuel and another liquid, other than a de minimis amount of the
liquid((, that can be used as a fuel to propel a motor vehicle)).
(2) "Blender" means a person who produces blended ((special)) fuel
outside the bulk transfer-terminal system.
(3) "Bond" means a bond duly executed with a corporate surety
qualified under chapter 48.28 RCW((, which bond is)) payable to the
state of Washington conditioned upon faithful performance of all
requirements of this chapter((, including the payment of all taxes,
penalties, and other obligations arising out of this chapter)).
(4) "Bulk transfer-terminal system" means the ((special)) fuel
distribution system consisting of refineries, pipelines, vessels, and
terminals. ((Special)) Fuel in a refinery, pipeline, vessel, or
terminal is in the bulk transfer-terminal system. ((Special fuel in
the fuel tank of an engine, motor vehicle, or in a railcar, trailer,
truck, or other equipment suitable for ground transportation is not in
the bulk transfer-terminal system.))
(5) "Bulk transfer" means a transfer of ((special)) fuel by
pipeline or vessel.
(6) "Bulk storage" means the placing of ((special)) fuel into a
receptacle other than the fuel supply tank of a motor vehicle.
(7) "Department" means the department of licensing.
(8) "Distributor" means a person who acquires fuel outside the bulk
transfer-terminal system for importation into Washington, from a
terminal or refinery rack located within Washington for distribution
within Washington, or for immediate export outside the state of
Washington.
(9) "Dyed special fuel user" means a person authorized by the
internal revenue code to operate a motor vehicle on the highway using
dyed special fuel, in which the use is not exempt from the ((special))
fuel tax.
(((9))) (10) "Evasion" or "evade" means to diminish or avoid the
computation, assessment, or payment of authorized taxes or fees
through:
(a) A knowing: False statement; omission; misrepresentation of
fact; or other act of deception;
(b) An intentional: Failure to file a return or report; or other
act of deception; or
(c) The unlawful use of dyed special fuel.
(((10))) (11) "Exempt sale" means the sale of fuel to a person
whose use of fuel is exempt from the fuel tax.
(12) "Export" means to obtain ((special)) fuel in this state for
sales or distribution outside the state. Fuel distributed to a
federally recognized Indian tribal reservation located within the state
of Washington is not considered exported outside this state.
(((11))) (13) "Exporter" means a person who purchases fuel
physically located in this state at the time of purchase and directly
exports the fuel by a means other than the bulk transfer-terminal
system to a destination outside of the state. If the exporter of
record is acting as an agent, the person for whom the agent is acting
is the exporter. If there is no exporter of record, the owner of the
fuel at the time of exportation is the exporter.
(14) "Fuel" means motor vehicle fuel or special fuel.
(15) "Fuel user" means a person engaged in uses of fuel that are
not specifically exempted from the fuel tax imposed under this chapter.
(16) "Highway" means every way or place open to the use of the
public, as a matter of right, for the purpose of vehicular travel.
(((12))) (17) "Import" means to bring ((special)) fuel into this
state by a means of conveyance other than the fuel supply tank of a
motor vehicle.
(((13))) (18) "Importer" means a person who imports fuel into the
state by a means other than the bulk transfer-terminal system. If the
importer of record is acting as an agent, the person for whom the agent
is acting is the importer. If there is no importer of record, the
owner of the fuel at the time of importation is the importer.
(19) "International fuel tax agreement licensee" means a
((special)) fuel user operating qualified motor vehicles in interstate
commerce and licensed by the department under the international fuel
tax agreement.
(((14) "Lessor" means a person: (a) Whose principal business is
the bona fide leasing or renting of motor vehicles without drivers for
compensation to the general public; and (b) who maintains established
places of business and whose lease or rental contracts require the
motor vehicles to be returned to the established places of business.)) (20) "Licensee" means a person holding a license issued
under this chapter.
(15)
(((16))) (21) "Motor vehicle" means a self-propelled vehicle
((designed for operation upon land)) utilizing ((special)) fuel as
((the)) a means of propulsion.
(((17))) (22) "Motor vehicle fuel" means gasoline and any other
inflammable gas or liquid, by whatsoever name the gasoline, gas, or
liquid may be known or sold the chief use of which is as a fuel for the
propulsion of motor vehicles or vessels.
(23) "Natural gas" means naturally occurring mixtures of
hydrocarbon gases and vapors consisting principally of methane, whether
in gaseous or liquid form.
(((18))) (24) "Person" means ((a natural person, fiduciary,
association, or corporation. The term "person" as applied to an
association means and includes the partners or members thereof, and as
applied to corporations, the officers thereof)) any individual,
partnership, association, public or private corporation, limited
liability company, or any other type of legal or commercial entity,
including their members, managers, partners, directors, or officers.
(((19))) (25) "Position holder" means a person who holds the
inventory position in ((special)) fuel, as reflected by the records of
the terminal operator. A person holds the inventory position ((in
special fuel)) if the person has a contractual agreement with the
terminal for the use of storage facilities and terminating services
((at a terminal with respect to special fuel)). "Position holder"
includes a terminal operator that owns ((special)) fuel in their
terminal.
(((20))) (26) "Rack" means a mechanism for delivering ((special))
fuel from a refinery or terminal into a truck, trailer, railcar, or
other means of nonbulk transfer.
(((21))) (27) "Refiner" means a person who owns, operates, or
otherwise controls a refinery.
(((22))) (28) "Removal" means a physical transfer of ((special))
fuel other than by evaporation, loss, or destruction.
(((23) "Special fuel" means and includes all combustible gases and
liquids suitable for the generation of power for propulsion of motor
vehicles, except that it does not include motor vehicle fuel as defined
in chapter 82.36 RCW, nor does it include dyed special fuel as defined
by federal regulations, unless the use is in violation of this chapter.
If a person holds for sale, sells, purchases, or uses any dyed special
fuel in violation of this chapter, all dyed special fuel held for sale,
sold, purchased, stored, or used by that person is considered special
fuel, and the person is subject to all presumptions, reporting, and
recordkeeping requirements and other obligations which apply to special
fuel, along with payment of any applicable taxes, penalties, or
interest for illegal use.)) (29) "Special fuel" means diesel fuel,
propane, natural gas, kerosene, biodiesel, and any other combustible
liquid or gas by whatever name the liquid or gas may be known or sold
for the generation of power to propel a motor vehicle on the highways,
except it does not include motor vehicle fuel.
(24) "Special fuel distributor" means a person who acquires special
fuel from a supplier, distributor, or licensee for subsequent sale and
distribution.
(25) "Special fuel exporter" means a person who purchases special
fuel in this state and directly exports the fuel by a means other than
the bulk transfer-terminal system to a destination outside of the
state.
(26) "Special fuel importer" means a person who imports special
fuel into the state by a means other than the bulk transfer-terminal
system. If the importer of record is acting as an agent, the person
for whom the agent is acting is the importer. If there is no importer
of record, the owner of the special fuel at the time of importation is
the importer.
(27) "Special fuel
(30) "Supplier" means a person who holds a federal certificate of
registry issued under the internal revenue code and authorizes the
person to engage in tax-free transactions ((on special)) of fuel in the
bulk transfer-terminal system.
(((28) "Special fuel user" means a person engaged in uses of
special fuel that are not specifically exempted from the special fuel
tax imposed under this chapter.)) (31) "Terminal" means a ((
(29)special)) fuel storage and
distribution facility that has been assigned a terminal control number
by the internal revenue service((, is supplied by pipeline or vessel,
and from which reportable special fuel is removed at a rack)).
(((30))) (32) "Terminal operator" means a person who owns,
operates, or otherwise controls a terminal.
(((31))) (33) "Two-party exchange" or "buy-sell agreement" means a
transaction in which taxable ((special)) fuel is transferred from one
licensed supplier to another licensed supplier ((under an exchange or
buy-sell agreement)) whereby the supplier that is the position holder
agrees to deliver taxable ((special)) fuel to the other supplier or the
other supplier's customer at the ((rack of the)) terminal at which the
delivering supplier is the position holder.
Sec. 103 RCW 82.38.030 and 2007 c 515 s 21 are each amended to
read as follows:
(1) There is ((hereby)) levied and imposed upon ((special)) fuel
licensees((, other than special fuel distributors,)) a tax at the rate
of twenty-three cents per gallon of ((special)) fuel, or each one
hundred cubic feet of compressed natural gas, measured at standard
pressure and temperature.
(2) Beginning July 1, 2003, an additional and cumulative tax rate
of five cents per gallon of ((special)) fuel, or each one hundred cubic
feet of compressed natural gas, measured at standard pressure and
temperature ((shall be)) is imposed on ((special)) fuel licensees((,
other than special fuel distributors)). This subsection (2) expires
when the bonds issued for transportation 2003 projects are retired.
(3) Beginning July 1, 2005, an additional and cumulative tax rate
of three cents per gallon of ((special)) fuel, or each one hundred
cubic feet of compressed natural gas, measured at standard pressure and
temperature ((shall be)) is imposed on ((special)) fuel licensees((,
other than special fuel distributors)).
(4) Beginning July 1, 2006, an additional and cumulative tax rate
of three cents per gallon of ((special)) fuel, or each one hundred
cubic feet of compressed natural gas, measured at standard pressure and
temperature ((shall be)) is imposed on ((special)) fuel licensees((,
other than special fuel distributors)).
(5) Beginning July 1, 2007, an additional and cumulative tax rate
of two cents per gallon of ((special)) fuel, or each one hundred cubic
feet of compressed natural gas, measured at standard pressure and
temperature ((shall be)) is imposed on ((special)) fuel licensees((,
other than special fuel distributors)).
(6) Beginning July 1, 2008, an additional and cumulative tax rate
of one and one-half cents per gallon of ((special)) fuel, or each one
hundred cubic feet of compressed natural gas, measured at standard
pressure and temperature ((shall be)) is imposed on ((special)) fuel
licensees((, other than special fuel distributors)).
(7) Taxes are imposed when:
(a) ((Special)) Fuel is removed in this state from a terminal if
the ((special)) fuel is removed at the rack unless the removal is ((to
a licensed exporter)) by a licensed supplier or distributor for direct
delivery to a destination outside of the state, or the removal is by a
((special)) fuel supplier for direct delivery to an international fuel
tax agreement licensee under RCW 82.38.320;
(b) ((Special)) Fuel is removed in this state from a refinery if
either of the following applies:
(i) The removal is by bulk transfer and the refiner or the owner of
the ((special)) fuel immediately before the removal is not a
((licensee)) licensed supplier; or
(ii) The removal is at the refinery rack unless the removal is to
a licensed ((exporter)) supplier or distributor for direct delivery to
a destination outside of the state, or the removal is to a ((special
fuel)) licensed supplier for direct delivery to an international fuel
tax agreement licensee under RCW 82.38.320;
(c) ((Special)) Fuel enters into this state for sale, consumption,
use, or storage, unless the fuel enters this state for direct delivery
to an international fuel tax agreement licensee under RCW 82.38.320, if
either of the following applies:
(i) The entry is by bulk transfer and the importer is not a
((licensee)) licensed supplier; or
(ii) The entry is not by bulk transfer;
(d) ((Special)) Fuel enters this state by means outside the bulk
transfer-terminal system and is delivered directly to a licensed
terminal unless the owner is a licensed distributor or supplier.
(e) Fuel is sold or removed in this state to an unlicensed entity
unless there was a prior taxable removal, entry, or sale of the
((special)) fuel;
(((e))) (f) Blended ((special)) fuel is removed or sold in this
state by the blender of the fuel. The number of gallons of blended
((special)) fuel subject to tax is the difference between the total
number of gallons of blended ((special)) fuel removed or sold and the
number of gallons of previously taxed ((special)) fuel used to produce
the blended ((special)) fuel;
(((f))) (g) Dyed special fuel is used on a highway, as authorized
by the internal revenue code, unless the use is exempt from the
((special)) fuel tax;
(((g))) (h) Dyed special fuel is held for sale, sold, used, or is
intended to be used in violation of this chapter;
(((h))) (i) Special fuel purchased by an international fuel tax
agreement licensee under RCW 82.38.320 is used on a highway; and
(((i) Special)) (j) Fuel is sold by a licensed ((special)) fuel
supplier to a ((special)) fuel distributor((, special fuel importer, or
special)) or fuel blender and the ((special)) fuel is not removed from
the bulk transfer-terminal system.
Sec. 104 RCW 82.38.032 and 2007 c 515 s 22 are each amended to
read as follows:
International fuel tax agreement licensees, or persons operating
motor vehicles under other reciprocity agreements entered into with the
state of Washington, are liable for and must pay the tax under RCW
82.38.030 to the department on ((special)) fuel used to operate motor
vehicles on the highways of this state. This provision does not apply
if the tax under RCW 82.38.030 has previously been imposed and paid by
the international fuel tax agreement licensee or if the use of such
fuel is exempt from the tax under this chapter.
Sec. 105 RCW 82.38.035 and 2007 c 515 s 23 are each amended to
read as follows:
(1) A licensed supplier ((shall be)) is liable for and must pay tax
on ((special)) fuel ((to the department)) as provided in RCW
82.38.030(7) (a) and (i). On a two-party exchange, or buy-sell
agreement between two licensed suppliers, the receiving exchange
partner or buyer shall be liable for and pay the tax.
(2) A refiner ((shall be)) is liable for and must pay tax ((to the
department on special)) on fuel removed from a refinery as provided in
RCW 82.38.030(7)(b).
(3) A licensed ((importer shall be)) distributor is liable for and
must pay tax ((to the department on special fuel imported into this
state)) on fuel as provided in RCW 82.38.030(7)(c).
(4) A licensed blender ((shall be)) is liable for and must pay tax
((to the department on the removal or sale of blended special)) on fuel
as provided in RCW 82.38.030(7)(((e))) (f).
(5) A licensed dyed special fuel user ((shall be)) is liable for
and must pay tax ((to the department on the use of dyed special)) on
fuel as provided in RCW 82.38.030(7)(((f))) (g).
(6) ((Nothing in this chapter prohibits the licensee liable for
payment of the tax under this chapter from including as a part of the
selling price an amount equal to such tax)) A terminal operator is
jointly and severally liable for and must pay tax on fuel if, at the
time of removal:
(a) The position holder of the fuel is a person other than the
terminal operator and is not a licensee;
(b) The terminal operator is not a licensee;
(c) The position holder has an expired internal revenue
notification certificate;
(d) The terminal operator has reason to believe that information on
the internal revenue notification certificate is false.
(7) A terminal operator is jointly and severally liable for and
must pay tax on special fuel if the special fuel is removed and is not
dyed or marked in accordance with internal revenue service
requirements, and the terminal operator provides a person with a bill
of lading, shipping paper, or similar document indicating the special
fuel is dyed or marked in accordance with internal revenue service
requirements.
(8) International fuel tax agreement licensees, or persons
operating motor vehicles under other reciprocity agreements entered
into with the state of Washington, are liable for and must pay tax on
fuel used to operate motor vehicles on state highways.
(9) Dyed special fuel users are liable for and must pay tax on dyed
special fuel used on state highways unless the use of the fuel is
exempt from the tax.
Sec. 106 RCW 82.38.050 and 2007 c 515 s 24 are each amended to
read as follows:
(1) A lessor ((who is engaged regularly in the business of leasing
or renting for compensation motor vehicles and equipment he owns
without drivers to carriers or other lessees for interstate operation,
may be deemed to be the special fuel user when he supplies or pays for
the special fuel consumed in such vehicles, and such lessor may be
issued an international fuel tax agreement license when application and
bond have been properly filed with and approved by the department for
such license. Any lessee may exclude motor vehicles of which he or she
is the lessee from reports and liabilities pursuant to this chapter,
but only if the motor vehicles in question have been leased from a
lessor holding a valid international fuel tax agreement license.)) leasing
motor vehicles without drivers to lessees for interstate operation, may
be the fuel user when the lessor supplies or pays for the fuel consumed
in the motor vehicles. Any lessee may exclude motor vehicles from
reports and liabilities pursuant to this chapter, but only if the
excluded motor vehicles have been leased from a lessor holding a valid
international fuel tax agreement license.
When the license has been secured, such lessor shall make and
assign to each motor vehicle leased for interstate operation a
photocopy of such license to be carried in the cab compartment of the
motor vehicle and on which shall be typed or printed on the back the
unit or motor number of the motor vehicle to which it is assigned and
the name of the lessee. Such lessor shall be responsible for the
proper use of such photocopy of the license issued and its return to
the lessor with the motor vehicle to which it is assigned
(2) The lessor ((shall be)) is responsible for fuel tax licensing
and reporting((, as required by this chapter, on)) for the operation of
((all)) motor vehicles leased ((to others)) for less than thirty days.
Sec. 107 RCW 82.38.060 and 1996 c 90 s 1 are each amended to read
as follows:
((In the event the tax on special fuel imported into this state in
the fuel supply tanks of motor vehicles for taxable use on Washington
highways can be more accurately determined on a mileage basis the
department is authorized to approve and adopt such basis. When a
special fuel user imports special fuel into or exports special fuel
from the state of Washington in the fuel supply tanks of motor
vehicles, the amount of special fuel consumed in such vehicles on
Washington highways shall be deemed to be such proportion of the total
amount of such special fuel consumed in his entire operations within
and without this state as the total number of miles traveled on the
public highways within this state bears to the total number of miles
traveled within and without the state. The department may also adopt
such mileage basis for determining the taxable use of special fuel used
in motor vehicles which travel regularly over prescribed courses on and
off the highways within the state of Washington. In the absence of
records showing the number of miles actually operated per gallon of
special fuel consumed, fuel consumption shall be calculated at the rate
of one gallon for every: (1) Four miles traveled by vehicles over
forty thousand pounds gross vehicle weight; (2) seven miles traveled by
vehicles twelve thousand one to forty thousand pounds gross vehicle
weight; (3) ten miles traveled by vehicles six thousand one to twelve
thousand pounds gross vehicle weight; and (4) sixteen miles traveled by
vehicles six thousand pounds or less gross vehicle weight)) If tax on
fuel placed in the fuel supply tanks of motor vehicles for taxable use
on Washington highways can be more accurately determined on a mileage
basis the department is authorized to adopt such basis. In the absence
of records showing the number of miles actually operated per gallon of
fuel consumed, fuel consumption must be calculated by the department.
Sec. 108 RCW 82.38.065 and 2002 c 183 s 3 are each amended to
read as follows:
A person may operate or maintain a licensed or required to be
licensed motor vehicle with dyed special fuel in the fuel supply tank
only if the use is authorized by the internal revenue code and the
person is either the holder of ((an uncanceled)) a dyed special fuel
user license or the use is exempt from the special fuel tax. A person
may maintain dyed special fuel for a taxable use in bulk storage if the
person is the holder of ((an uncanceled)) a dyed special fuel user
license issued under this chapter. ((The special fuel tax set forth in
RCW 82.38.030 is imposed on users of dyed special fuel authorized by
the internal revenue code to operate on-highway motor vehicles using
dyed special fuel, unless the use is exempt from the special fuel tax.
It is unlawful for any person to sell, use, hold for sale, or hold for
intended use dyed special fuel in a manner in violation of this
chapter.))
Sec. 109 RCW 82.38.066 and 1998 c 176 s 57 are each amended to
read as follows:
(1) Special fuel ((that is dyed)) satisfies the dyeing and marking
requirements of this chapter if it meets the dyeing and marking
requirements of the internal revenue service, including, but not
limited to, requirements respecting type, dosage, and timing.
(2) ((Marking must meet the marking requirements of the internal
revenue service.)) Notice is
required with respect to dyed special fuel. A notice stating "DYED
DIESEL FUEL, NONTAXABLE USE ONLY, PENALTY FOR TAXABLE USE" must be:
(3) As required by the internal revenue service,
(a) Provided by the terminal operator to a person who receives dyed
special fuel at a terminal rack ((of that terminal operator));
(b) Provided by a seller of dyed special fuel to ((its)) the buyer
if the special fuel is located outside the bulk transfer-terminal
system and is not sold from a retail pump posted in accordance with the
requirements of this subsection; or
(c) Posted by a seller on a retail pump ((where it sells dyed
special fuel for use by its buyer)) dispensing dyed special fuel and
provided by the seller of dyed special fuel to the buyer at the retail
pump.
Sec. 110 RCW 82.38.075 and 1983 c 212 s 1 are each amended to
read as follows:
((In order)) (1) To encourage the use of nonpolluting fuels, an
annual license fee in lieu of the tax imposed by RCW 82.38.030 ((shall
be)) is imposed upon the use of natural gas ((as defined in this
chapter or on liquified petroleum gas, commonly called propane, which
is used in any motor vehicle, as defined in RCW 46.04.320, which shall
be based upon the following schedule as adjusted by the formula set out
below)) or propane used in any motor vehicle. The annual license fee
must be based upon the following schedule and formula:
| VEHICLE TONNAGE (GVW) | FEE | |||
| 0 | - | 6,000 | $ 45 | |
| 6,001 | - | 10,000 | $ 45 | |
| 10,001 | - | 18,000 | $ 80 | |
| 18,001 | - | 28,000 | $110 | |
| 28,001 | - | 36,000 | $150 | |
| 36,001 | and above | $250 | ||
Sec. 111 RCW 82.38.080 and 2009 c 352 s 1 are each amended to
read as follows:
(1) ((There is exempted from the tax imposed by this chapter, the
use of fuel for:)) The
following sales of special fuel are exempt from payment of the tax
imposed by this chapter:
(a) Street and highway construction and maintenance purposes in
motor vehicles owned and operated by the state of Washington, or any
county or municipality;
(b) Publicly owned firefighting equipment;
(c) Special mobile equipment as defined in RCW 46.04.552;
(d) Power pumping units or other power take-off equipment of any
motor vehicle which is accurately measured by metering devices that
have been specifically approved by the department or which is
established by any of the following formulae:
(i) Pumping propane, or fuel or heating oils or milk picked up from
a farm or dairy farm storage tank by a power take-off unit on a
delivery truck, at a rate determined by the department: PROVIDED, That
claimant when presenting his or her claim to the department in
accordance with this chapter, shall provide to the claim, invoices of
propane, or fuel or heating oil delivered, or such other appropriate
information as may be required by the department to substantiate his or
her claim;
(ii) Operating a power take-off unit on a cement mixer truck or a
load compactor on a garbage truck at the rate of twenty-five percent of
the total gallons of fuel used in such a truck; or
(iii) The department is authorized to establish by rule additional
formulae for determining fuel usage when operating other types of
equipment by means of power take-off units when direct measurement of
the fuel used is not feasible. The department is also authorized to
adopt rules regarding the usage of on board computers for the
production of records required by this chapter;
(e) Motor vehicles owned and operated by the United States
government;
(f) Heating purposes;
(g) Moving a motor vehicle on a public highway between two pieces
of private property when said moving is incidental to the primary use
of the motor vehicle;
(h) Transportation services for persons with special transportation
needs by a private, nonprofit transportation provider regulated under
chapter 81.66 RCW;
(i) Vehicle refrigeration units, mixing units, or other equipment
powered by separate motors from separate fuel tanks;
(j) The operation of a motor vehicle as a part of or incidental to
logging operations upon a highway under federal jurisdiction within the
boundaries of a federal area if the federal government requires a fee
for the privilege of operating the motor vehicle upon the highway, the
proceeds of which are reserved for constructing or maintaining roads in
the federal area, or requires maintenance or construction work to be
performed on the highway for the privilege of operating the motor
vehicle on the highway; and
(k) Waste vegetable oil as defined under RCW 82.08.0205 if the oil
is used to manufacture biodiesel.
(2) There is exempted from the tax imposed by this chapter the
removal or entry of special fuel under the following circumstances and
conditions:
(a) If it is the removal from a terminal or refinery of, or the
entry or sale of, a special fuel if all of the following apply:
(i) The person otherwise liable for the tax is a licensee other
than a dyed special fuel user or international fuel tax agreement
licensee;
(ii) For a removal from a terminal, the terminal is a licensed
terminal; and
(iii) The special fuel satisfies the dyeing and marking
requirements of this chapter;
(b) If it is an entry or removal from a terminal or refinery of
taxable special fuel transferred to a refinery or terminal and the
persons involved, including the terminal operator, are licensed; and
(c)(i) If it is a special fuel that, under contract of sale, is
shipped to a point outside this state by a supplier by means of any of
the following:
(A) Facilities operated by the supplier;
(B) Delivery by the supplier to a carrier, customs broker, or
forwarding agent, whether hired by the purchaser or not, for shipment
to the out-of-state point;
(C) Delivery by the supplier to a vessel clearing from port of this
state for a port outside this state and actually exported from this
state in the vessel.
(ii) For purposes of this subsection (2)(c):
(A) "Carrier" means a person or firm engaged in the business of
transporting for compensation property owned by other persons, and
includes both common and contract carriers; and
(B) "Forwarding agent" means a person or firm engaged in the
business of preparing property for shipment or arranging for its
shipment.
(3)(a) Notwithstanding any provision of law to the contrary, every
privately owned urban passenger transportation system and carriers as
defined by chapters 81.68 and 81.70 RCW shall be exempt from the
provisions of this chapter requiring the payment of special fuel taxes.
For the purposes of this section "privately owned urban passenger
transportation system" means every privately owned transportation
system having as its principal source of revenue the income from
transporting persons for compensation by means of motor vehicles or
trackless trolleys, each having a seating capacity for over fifteen
persons over prescribed routes in such a manner that the routes of such
motor vehicles or trackless trolleys, either alone or in conjunction
with routes of other such motor vehicles or trackless trolleys subject
to routing by the same transportation system, shall not extend for a
distance exceeding twenty-five road miles beyond the corporate limits
of the county in which the original starting points of such motor
vehicles are located: PROVIDED, That no refunds or credits shall be
granted on special fuel used by any privately owned urban
transportation vehicle, or vehicle operated pursuant to chapters 81.68
and 81.70 RCW, on any trip where any portion of the trip is more than
twenty-five road miles beyond the corporate limits of the county in
which the trip originated.
(b) Every publicly owned and operated urban passenger
transportation system is exempt from the provisions of this chapter
that require the payment of special fuel taxes. For the purposes of
this subsection, "publicly owned and operated urban passenger
transportation systems" include public transportation benefit areas
under chapter 36.57A RCW, metropolitan municipal corporations under
chapter 36.56 RCW, city-owned transit systems under chapter 35.58 RCW,
county public transportation authorities under chapter 36.57 RCW,
unincorporated transportation benefit areas under chapter 36.57 RCW,
and regional transit authorities under chapter 81.112 RCW
(a) Sales to the state of Washington, any county, or any
municipality when the fuel is used for street and highway construction
and maintenance purposes in motor vehicles owned and operated by the
state, county, or municipality;
(b) Sales for use in publicly owned firefighting equipment;
(c) Sales to the United States government;
(d) Sales to a private, nonprofit transportation provider regulated
under chapter 81.66 RCW when the fuel is for use in providing
transportation services for persons with special transportation needs;
(e) Sales of waste vegetable oil as defined under RCW 82.08.0205,
if the oil is used to manufacture biodiesel;
(f)(i) Sales to privately owned urban passenger transportation
systems and carriers as defined in chapters 81.68 and 81.70 RCW. No
exemption or refund may be granted for special fuel used by any
privately owned urban transportation vehicle, or vehicle operated
pursuant to chapters 81.68 and 81.70 RCW, on any trip where any portion
of the trip is more than twenty-five road miles beyond the corporate
limits of the county in which the trip originated.
(ii) For purposes of this subsection (1)(f), "privately owned urban
passenger transportation system" means every privately owned
transportation system having as its principal source of revenue the
income from transporting persons for compensation by means of motor
vehicles or trackless trolleys, each having a seating capacity for over
fifteen persons over prescribed routes in such a manner that the routes
of such motor vehicles or trackless trolleys, either alone or in
conjunction with routes of other such motor vehicles or trackless
trolleys subject to routing by the same transportation system, do not
extend for a distance exceeding twenty-five road miles beyond the
corporate limits of the county in which the original starting points of
such motor vehicles or trackless trolleys are located; and
(g)(i) Sales to publicly owned and operated urban passenger
transportation systems.
(ii) For the purposes of this subsection (1)(g), "publicly owned
and operated urban passenger transportation systems" include public
transportation benefit areas under chapter 36.57A RCW, metropolitan
municipal corporations under chapter 36.56 RCW, city owned transit
systems under chapter 35.58 RCW, county public transportation
authorities under chapter 36.57 RCW, unincorporated transportation
benefit areas under chapter 36.57 RCW, and regional transit authorities
under chapter 81.112 RCW.
(2) The following sales of motor vehicle fuel are exempt from
payment of the tax imposed by this chapter:
(a) Sales to the armed forces of the United States or to the
national guard when the fuel is used exclusively in ships or for export
from this state;
(b) Sales to foreign diplomatic and consular missions, if the
foreign government represented grants an equivalent exemption to
missions and personnel of the United States performing similar services
in the foreign country; and
(c) Sales of fuel used exclusively for racing that is not legally
allowed on the public highways of this state.
Sec. 112 RCW 82.38.090 and 1998 c 176 s 61 are each amended to
read as follows:
(1) It ((shall be)) is unlawful for any person to engage in
business in this state as any of the following unless the person is the
holder of ((an uncanceled)) a license issued ((to him or her)) by the
department authorizing the person to engage in that business:
(a) ((Special)) Fuel supplier;
(b) ((Special)) Fuel distributor;
(c) ((Special fuel exporter;)) Fuel blender;
(d) Special fuel importer;
(e) Special
(((f))) (d) Terminal operator;
(e) Dyed special fuel user; or
(((g))) (f) International fuel tax agreement licensee.
(2) A person engaged in more than one activity for which a license
is required must have a separate license classification for each
activity((, but a special)); however, a fuel supplier is not required
to obtain a separate license classification for ((any other activity
for which a license is required)) fuel distributor or fuel blender.
(3) ((Special)) Fuel users operating motor vehicles in interstate
commerce having two axles and a gross vehicle weight or registered
gross vehicle weight not exceeding twenty-six thousand pounds are not
required to be licensed. ((Special)) Fuel users operating motor
vehicles in interstate commerce having two axles and a gross vehicle
weight or registered gross vehicle weight exceeding twenty-six thousand
pounds, or having three or more axles regardless of weight, or a
combination of vehicles, when the combination exceeds twenty-six
thousand pounds gross vehicle weight, must comply with the licensing
and reporting requirements of this chapter. A copy of the license must
be carried in each motor vehicle entering this state from another state
or province.
Sec. 113 RCW 82.38.110 and 2002 c 352 s 26 are each amended to
read as follows:
(1) Application for a license ((issued under this chapter shall be
made to the department. The application shall be filed upon a form
prepared and furnished by the department and shall contain such
information as the department deems necessary.)) must be
made to the department. The application must be filed in a manner
prescribed by the department and must contain information the
department requires. For purposes of this section, the term
"applicant" has the same meaning as "person" as provided in RCW
82.38.020.
(2) Every application for a special fuel license, other than an
application for a dyed special fuel user or international fuel tax
agreement license, must contain the following information to the extent
it applies to the applicant:
(a) Proof as the department shall require concerning the
applicant's identity, including but not limited to his or her
fingerprints or those of the officers of a corporation making the
application;
(b) The applicant's form and place of organization including proof
that the individual, partnership, or corporation is licensed to do
business in this state;
(c) The qualification and business history of the applicant and any
partner, officer, or director;
(d) The applicant's financial condition or history including a bank
reference and whether the applicant or any partner, officer, or
director has ever been adjudged bankrupt or has an unsatisfied judgment
in a federal or state court;
(e) Whether the applicant has been adjudged guilty of a crime that
directly relates to the business for which the license is sought and
the time elapsed since the conviction is less than ten years, or has
suffered a judgment within the preceding five years in a civil action
involving fraud, misrepresentation, or conversion and in the case of a
corporation or partnership, all directors, officers, or partners.
(3) An applicant for a license as a special fuel importer must list
on the application each state, province, or country from which the
applicant intends to import fuel and, if required by the state,
province, or country listed, must be licensed or registered for special
fuel tax purposes in that state, province, or country.
(4) An applicant for a license as a special fuel exporter must list
on the application each state, province, or country to which the
exporter intends to export special fuel received in this state by means
of a transfer outside the bulk transfer-terminal system and, if
required by the state, province, or country listed, must be licensed or
registered for special fuel tax purposes in that state, province, or
country.
(5) An applicant for a license as a special fuel supplier must have
a federal certificate of registry that is issued under the internal
revenue code and authorizes the applicant to enter into federal tax-free transactions on special fuel in the terminal transfer system.
(6) After receipt of an application for a license, the director
shall conduct an investigation to determine whether the facts set forth
are true. The director shall require a fingerprint record check of the
applicant through the Washington state patrol criminal identification
system and the federal bureau of investigation before issuance of a
license. The results of the background investigation including
criminal history information may be released to authorized department
personnel as the director deems necessary. The department shall charge
a license holder or license applicant a fee of fifty dollars for each
background investigation conducted.
(7) An applicant who makes a false statement of a material fact on
the application may be prosecuted for false swearing as defined by RCW
9A.72.040.
(8) A special fuel license may not be issued to any person or
continued in force unless such person has furnished bond, as defined in
RCW 82.38.020, in such form as the department may require, to secure
his or her compliance with this chapter, and the payment of any and all
taxes, interest, and penalties due and to become due hereunder. The
requirement of furnishing a bond may be waived: (a) For special fuel
distributors who only deliver special fuel into the fuel tanks of
marine vessels; (b) for dyed special fuel users; (c) for persons issued
licenses under the international fuel tax agreement; or (d) for
licensed special fuel distributors who, upon determination by the
department, have sufficient resources, assets, other financial
instruments, or other means to adequately make payments on the
estimated monthly motor vehicle fuel tax payments, penalties, and
interest arising out of this chapter. The department shall adopt rules
to administer this section.
(9) The department may require a licensee to post a bond if the
licensee, after having been licensed, has failed to file timely reports
or has failed to remit taxes due, or when an investigation or audit
indicates problems severe enough that the department, in its
discretion, determines that a bond is required to protect the interests
of the state. The department may also adopt rules prescribing
conditions that, in the department's discretion, require a bond to
protect the interests of the state.
(10) The total amount of the bond or bonds required of any licensee
shall be equivalent to three times the estimated monthly fuel tax,
determined in such manner as the department may deem proper: PROVIDED,
That those licensees having held a special fuel license for five or
more years without having said license suspended or revoked by the
department shall be permitted to reduce the amount of their bond to
twice the estimated monthly tax liability: PROVIDED FURTHER, That the
total amount of the bond or bonds shall never be less than five hundred
dollars nor more than one hundred thousand dollars.
(11) An application for a dyed special fuel user license must be
made to the department. The application must be filed upon a form
prescribed by the department and contain such information as the
department deems necessary.
(12) An application for an international fuel tax agreement license
must be made to the department. The application must be filed upon a
form prescribed by the department and contain such information as the
department may require. The department shall charge a fee of ten
dollars per set of International Fuel Tax Agreement decals issued to
each applicant or licensee. The department shall transmit the fee to
the state treasurer for deposit in the motor vehicle fund
(2) An application for a license other than an application for a
dyed special fuel user or international fuel tax agreement license must
contain the following information to the extent it applies to the
applicant:
(a) Proof the department may require concerning the applicant's
identity;
(b) The applicant's business structure and place of business,
including proof the applicant is licensed to conduct business in this
state;
(c) The employment history of the applicant and partner, officer,
or director;
(d) A bank reference and whether the applicant or partner, officer,
or director has ever been adjudged bankrupt or has an unsatisfied
judgment;
(e) Whether the applicant or partner, officer, or director has been
convicted of a crime or suffered a civil judgment directly related to
the distribution and sale of fuel within the last ten years.
(3) An applicant must identify each state, province, or country the
applicant intends to import fuel from by means other than bulk transfer
and must maintain the appropriate license required of each state,
province, or country.
(4) An applicant must identify each state, province, or country the
applicant intends to export fuel to by means other than bulk transfer
and must maintain the appropriate license required of each state,
province, or country.
(5) An applicant for a fuel supplier or terminal operator license
must have the appropriate federal certificate of registry issued by the
internal revenue service for the activity in which the applicant is
engaging.
(6) An applicant must submit a surety bond in an amount, form, and
manner set by the department. In lieu of a bond, a licensed
distributor may provide evidence to the department of sufficient assets
to adequately meet fuel tax payments, penalties, interest, or other
obligations arising out of this chapter.
(7) An application for a dyed special fuel user license must be
made in a manner prescribed by the department.
(8) An application for an international fuel tax agreement license
must be made in a manner prescribed by the department. A fee of ten
dollars per set of international fuel tax agreement decals issued to
each applicant or licensee must be charged.
(9) For the purpose of considering any application for a license,
the department may inspect, cause an inspection, investigate, or cause
an investigation of the records of this or any other state, Canadian
province, country, or the federal government to ascertain the veracity
of the information on the application and the applicant's criminal,
civil, and licensing history.
Sec. 114 RCW 82.38.120 and 1998 c 176 s 64 and 1998 c 115 s 4 are
each reenacted and amended to read as follows:
((Upon receipt and approval of an application and bond, if
required, the department shall issue a license to the applicant.
However, the department may refuse to issue a license to any person:)) (1) The department may refuse to issue to, or suspend or
revoke a license of any licensee or applicant:
(1) Who formerly held a license issued under chapter 82.36 or 82.42
RCW or this chapter which, prior to the time of filing for application,
has been revoked for cause;
(2) Who is a subterfuge for the real party in interest whose
license prior to the time of filing for application, has been revoked
for cause;
(3) Who, as an individual licensee, or officer, director, owner, or
managing employee of a nonindividual licensee, has had a special fuel
license
(a) Who formerly held a license issued under chapter 82.36, 82.38,
82.42, or 46.87 RCW which has been suspended or revoked for cause;
(b) Who is a subterfuge for the real party in interest whose
license issued under chapter 82.36, 82.38, 82.42, or 46.87 RCW has been
revoked for cause;
(c) Who, as an individual licensee, or partner, officer, director,
owner, or managing employee of a licensee, has had a license issued
under chapter 82.36, 82.38, 82.42, or 46.87 RCW denied, suspended, or
revoked for cause;
(((4))) (d) Who has an unsatisfied debt to the state assessed under
either chapter 82.36, 82.38, 82.42, or 46.87((, or 82.42)) RCW;
(((5))) (e) Who formerly held as an individual, partner, officer,
director, owner, managing employee of a ((nonindividual)) licensee, or
subterfuge for a real party in interest, a license issued by the
federal government or a state that allowed a person to buy or sell
untaxed motor vehicle ((or)), special, or aircraft fuel, which
((license, before the time of filing for application,)) has been
suspended or revoked for cause;
(((6))) (f) Who pled guilty to or was convicted as an individual,
partner, officer, director, owner, or managing employee of a
((nonindividual)) licensee in this or any other state, Canadian
province, or in any federal jurisdiction of a gross misdemeanor or
felony crime directly related to the fuel distribution business or has
been subject to a civil judgment involving fraud, misrepresentation,
conversion, or dishonesty, notwithstanding chapter 9.96A RCW;
(((7))) (g) Who misrepresented or concealed a material fact in
obtaining a license or ((in reinstatement thereof)) reinstating a
license;
(((8))) (h) Who violated a statute or administrative rule
regulating fuel taxation or distribution;
(((9))) (i) Who failed to cooperate with the department's
investigations by:
(((a))) (i) Not furnishing papers or documents;
(((b))) (ii) Not furnishing in writing a full and complete
explanation regarding a matter under investigation by the department;
or
(((c))) (iii) Not responding to subpoenas issued by the department,
whether or not the recipient of the subpoena is the subject of the
proceeding;
(((10))) (j) Who failed to comply with an order issued by the
director; or
(((11))) (k) Upon other sufficient cause being shown.
(2) Before ((such)) a refusal under this section, the department
((shall)) must grant the applicant a hearing and ((shall)) must grant
the applicant at least twenty days written notice of the time and place
thereof.
((The department shall determine from the information shown in the
application or other investigation the kind and class of license to be
issued. For the purpose of considering any application for a special
fuel license, the department may inspect, cause an inspection,
investigate, or cause an investigation of the records of this or any
other state or of the federal government to ascertain the veracity of
the information on the application form and the applicant's criminal
and licensing history.))
All licenses shall be posted in a conspicuous place or kept
available for inspection at the principal place of business of the
owner thereof. License holders shall reproduce the license by
photostat or other method and keep a copy on display for ready
inspection at each additional place of business or other place of
storage from which special fuel is sold, delivered or used and in each
motor vehicle used by the license holder to transport special fuel
purchased by him or her for resale, delivery or use.
Each special fuel license shall be valid until the expiration date
if shown on the license, or until suspended or revoked for cause or
otherwise canceled.
No special fuel license shall be transferable.
Sec. 115 RCW 82.38.140 and 2007 c 515 s 27 are each amended to
read as follows:
(1) Every ((licensee and every)) person importing, manufacturing,
refining, transporting, blending, or storing ((special fuel in this
state shall)) fuel must keep for a period of ((not less than)) five
years open to inspection at all times during the business hours of the
day to the department or its authorized representatives, a complete
record of all ((special)) fuel purchased or received and all ((of such
products)) fuel sold, delivered, or used by them. ((Such records
shall)) Records must show:
(a) The date of ((each)) receipt;
(b) The name and address of the person from whom purchased or
received;
(c) The number of gallons received at each place of business or
place of storage in the state of Washington;
(d) The date of ((each)) sale or delivery;
(e) The number of gallons sold, delivered, or used for taxable
purposes;
(f) The number of gallons sold, delivered, or used for any purpose
not subject to the ((tax imposed in this chapter)) fuel tax;
(g) The name, address, and ((special)) fuel license number of the
purchaser if the ((special)) fuel tax is not collected on the sale or
delivery;
(h) The physical inventories of ((special fuel)) fuel and petroleum
products on hand at each place of business at the end of each month;
(i) Stocks of raw gasoline, gasoline stock, diesel oil, kerosene,
kerosene distillates, casing head gasoline and other petroleum products
which may be used in the compounding, blending, or manufacturing of
fuel.
(2)(a) All international fuel tax agreement licensees and dyed
special fuel users authorized to use dyed special fuel on highways in
vehicles licensed for highway operation ((shall)) must maintain
detailed mileage records on an individual vehicle basis.
(b) ((Such)) Operating records ((shall)) must show both on-highway
and off-highway usage of special fuel on a daily basis for each
vehicle.
(c) In the absence of operating records that show both on-highway
and off-highway usage of special fuel on a daily basis for each
vehicle, fuel consumption must be computed under RCW 82.38.060.
(3) The department may require a person other than a licensee
engaged in the business of selling, purchasing, distributing, storing,
transporting, or delivering ((special)) fuel to submit periodic reports
to the department regarding the disposition of the fuel. The reports
must be on forms prescribed by the department and must contain such
information as the department may require.
(4) Every person operating any conveyance ((for the purpose of
hauling,)) transporting((, or delivering special)) fuel in bulk ((shall
have and)) must possess during the entire time ((the person is hauling
special fuel,)) an invoice, bill of sale, or other statement showing
the name, address, and license number of the seller or consigner, the
destination, name, and address of the purchaser or consignee, license
number, if applicable, and the number of gallons. The person ((hauling
such special fuel shall)) transporting fuel must at the request of any
law enforcement officer or authorized representative of the department,
((or other person authorized by law to inquire into, or investigate
those types of matters, produce for inspection such invoice, bill of
sale, or other statement and shall permit such official to inspect and
gauge)) produce for inspection required records and must permit
inspection of the contents of the vehicle.
Sec. 116 RCW 82.38.150 and 2008 c 181 s 506 are each amended to
read as follows:
(1) For the purpose of determining the amount of liability for the
tax ((herein imposed, and to periodically update license information,
each licensee, other than a special fuel distributor, an international
fuel tax agreement licensee, or a dyed special fuel user, shall file
monthly tax reports with the department, on forms prescribed by the
department.)) imposed under this chapter, each licensee, other than an
international fuel tax agreement licensee or a dyed special fuel user,
must file monthly tax reports with the department.
(2) Dyed special fuel users whose estimated yearly tax liability is
two hundred fifty dollars or less, shall file a report yearly, and dyed
special fuel users whose estimated yearly tax liability is more than
two hundred fifty dollars, shall file reports quarterly. Special fuel
users licensed under the international fuel tax agreement shall file
reports quarterly. Heating oil dealers subject to the pollution
liability insurance agency fee and reporting requirements shall remit
pollution liability insurance agency returns and any associated payment
due to the department annually.
(3) The department shall establish the reporting frequency for each
applicant at the time the special fuel license is issued. If it
becomes apparent that any licensee is not reporting in accordance with
the above schedule, the department shall change the licensee's
reporting frequency by giving thirty days' notice to the licensee by
mail to the licensee's address of record. A report shall be filed with
the department even though no special fuel was used, or tax is due, for
the reporting period. Each tax report shall contain a declaration by
the person making the same, to the effect that the statements contained
therein are true and are made under penalties of perjury, which
declaration shall have the same force and effect as a verification of
the report and is in lieu of such verification. The report shall show
such information as the department may reasonably require for the
proper administration and enforcement of this chapter. A licensee
shall file a tax report on or before the twenty-fifth day of the next
succeeding calendar month following the period to which it relates.
(4) Subject to the written approval of the department, tax reports
may cover a period ending on a day other than the last day of the
calendar month. Taxpayers granted approval to file reports in this
manner will file such reports on or before the twenty-fifth day
following the end of the reporting period. No change to this reporting
period will be made without the written authorization of the
department.
(5) If the final filing date falls on a Saturday, Sunday, or legal
holiday the next secular or business day shall be the final filing
date. Such reports shall be considered filed or received on the date
shown by the post office cancellation mark stamped upon an envelope
containing such report properly addressed to the department, or on the
date it was mailed if proof satisfactory to the department is available
to establish the date it was mailed.
(6) The department, if it deems it necessary in order to insure
payment of the tax imposed by this chapter, or to facilitate the
administration of this chapter, has the authority to require the filing
of reports and tax remittances at shorter intervals than one month if,
in its opinion, an existing bond has become insufficient.
(7)
(2) Dyed special fuel users whose estimated yearly tax liability is
two hundred fifty dollars or less, must file a report yearly, and dyed
special fuel users whose estimated yearly tax liability is more than
two hundred fifty dollars, must file reports quarterly. International
fuel tax agreement licensees must file reports quarterly. Heating oil
dealers subject to the pollution liability insurance agency fee must
file reports annually.
(3) A licensee, other than international fuel tax agreement
licensee, must file a tax report on or before the twenty-fifth day of
the calendar month following the reporting period to which it relates.
A report must be filed even though no tax is due for the reporting
period. Each report must contain a declaration that the statements
contained therein are true and are made under penalties of perjury.
The report must show information as the department may reasonably
require for the proper administration and enforcement of this chapter.
(4) If the filing date falls on a Saturday, Sunday, or legal
holiday the next secular or business day is the filing date.
(5) The department in order to insure payment of the tax or to
facilitate administration of this chapter, may require the filing of
reports and tax remittances at intervals other than one month.
(6) During a state of emergency declared under RCW 43.06.010(12),
the department, on its own motion or at the request of any taxpayer
affected by the emergency, may extend the time for filing any report or
the due date for tax remittances as the department deems proper.
Sec. 117 RCW 82.38.160 and 2005 c 260 s 2 are each amended to
read as follows:
(1) The tax ((imposed by this chapter shall)) must be computed by
multiplying the tax rate per gallon ((provided in this chapter)) by the
number of gallons of ((special)) fuel subject to the ((special)) fuel
tax.
(2) A ((special)) fuel distributor ((shall)) must remit tax on
((special)) fuel purchased from a ((special fuel)) supplier, and due to
the state for that reporting period, to the special fuel supplier.
This provision does not apply to fuel imported by a distributor under
RCW 82.38.035(3).
(3) At the election of the distributor, ((the)) payment of the
((special)) fuel tax owed on ((special)) fuel purchased from a supplier
((shall)) must be remitted to the supplier on terms agreed upon between
the distributor and the supplier or no later than seven business days
before the twenty-sixth day of the following month. This election
((shall be)) is subject to a condition that the distributor's
remittances of all amounts of ((special)) fuel tax due to the supplier
((shall)) must be paid by electronic funds transfer. The distributor's
election may be terminated by the supplier if the distributor does not
make timely payments to the supplier as required by this section.
((This section shall not apply if the distributor is required by the
supplier to pay cash or cash equivalent for special fuel purchases.))
(4) Except as provided in subsection (5) of this section, the tax
return ((shall)) must be accompanied by a remittance payable to the
state treasurer covering the tax amount ((determined to be)) due for
the reporting period.
(5) If the tax is paid by electronic funds transfer, the tax
((shall)) must be paid on or before the twenty-sixth calendar day of
the month immediately following the reporting period. If the payment
due date falls on a Saturday, Sunday, or legal holiday the next
business day ((will be)) is the payment date. If the tax is paid by
electronic funds transfer and the reporting period ends on a day other
than the last day of a calendar month ((as provided in RCW 82.38.150)),
the tax ((shall)) must be paid on or before the last state business day
of the thirty-day period following the end of the reporting period.
(6) The tax ((shall)) must be paid by electronic funds transfer
whenever the amount due is fifty thousand dollars or more.
Sec. 118 RCW 82.38.170 and 2002 c 183 s 4 are each amended to
read as follows:
(1) If any ((licensee)) person fails to pay any taxes ((collected
or)) due the state of Washington within the time prescribed by RCW
82.38.150 and 82.38.160, the ((licensee shall)) person must pay ((in
addition to such tax)) a penalty of ten percent of the ((amount
thereof)) tax due.
(2) If ((it be determined by the department that the tax reported
by any licensee is deficient it may proceed to assess the deficiency on
the basis of information available to it and there shall be added to
this deficiency a penalty of ten percent of the amount of the
deficiency.)) the tax reported by any licensee is deficient a penalty
of ten percent of the deficiency must be assessed.
(3) If any licensee, whether or not he or she is licensed as such,
fails, neglects, or refuses to file a special fuel tax report required
under this chapter, the department may, on the basis of information
available to it, determine the tax liability of the licensee for the
period during which no report was filed, and to the tax as thus
determined, the department shall add the penalty and interest provided
in subsection (2) of this section. An assessment made by the
department pursuant to this subsection or to subsection (2) of this
section shall be presumed to be correct, and in any case where the
validity of the assessment is drawn in question, the burden shall be on
the person who challenges the assessment to establish by a fair
preponderance of the evidence that it is erroneous or excessive as the
case may be
(3) If any licensee, whether or not licensed as such, fails,
neglects, or refuses to file a required fuel tax report, the department
must determine the tax liability and add the penalty provided in
subsection (2) of this section to the liability. An assessment made by
the department pursuant to this subsection or to subsection (2) of this
section is presumed to be correct, and the burden is on the person who
challenges the assessment to establish by a fair preponderance of the
evidence that it is erroneous or excessive.
(4) If any licensee establishes by a fair preponderance of evidence
that ((his or her)) failure to file a report or pay the proper amount
of tax within the time prescribed was due to reasonable cause and was
not intentional or willful, the department may waive the penalty
prescribed in subsections (1)((,)) and (2)((, and (3))) of this
section.
(5) If any licensee files a false or fraudulent report with intent
to evade the tax imposed by this chapter, there ((shall be)) is added
to the amount of deficiency ((determined by the department a penalty
equal to twenty-five percent of the deficiency, in addition to the
penalty provided in subsection (2) of this section and)) a penalty of
twenty-five percent of the deficiency, in addition to all other
penalties prescribed by law.
(6) If any person acts as a licensee without first securing the
required license, all fuel tax liability incurred by that person
becomes immediately due and payable. The department must determine the
amount of the tax liability and must assess the person a penalty of one
hundred percent of the tax in addition to the tax owed.
(7) Any ((special)) fuel tax, penalties, and interest payable under
this chapter shall bear interest at the rate of one percent per month,
or fraction thereof, from the first day of the calendar month after the
amount or any portion thereof should have been paid until the date of
payment((: PROVIDED, That)). The department may waive ((the))
interest when it determines ((that)) the cost of processing the
collection ((of the interest)) exceeds the amount of interest due.
(((7))) (8) Except in the case ((of violations)) of filing a false
or fraudulent report, if the department deems mitigation of penalties
and interest to be reasonable and in the best interests of carrying out
the purpose of this chapter, it may mitigate ((such assessments upon
whatever terms the department deems proper, giving consideration to the
degree and extent of the lack of records and reporting errors. The
department may ascertain the facts regarding recordkeeping and payment
penalties in lieu of more elaborate proceedings under this chapter))
the assessments.
(((8))) (9) Except in the case of a fraudulent report ((or of
neglect or refusal to make a report, every deficiency shall be assessed
under subsection (2) of this section within five years from the twenty-fifth day of the next succeeding calendar month following the reporting
period for which the amount is proposed to be)) or failure to file a
report, deficiencies, penalties, and interest must be assessed within
five years from the twenty-fifth day of the next succeeding month
following the reporting period for which the amount is determined or
within five years after the return is filed, whichever period expires
((the)) later.
(((9))) (10)(a) Any licensee against whom an assessment is made
under the provisions of subsections (1) and (2) ((or (3))) of this
section may petition for a reassessment ((thereof)) within thirty days
after service upon the licensee of ((notice thereof)) the assessment.
If such petition is not filed within such thirty day period, the amount
of the assessment becomes final ((at the expiration thereof)).
(b) If a petition for reassessment is filed within the thirty day
period, the department ((shall)) must reconsider the assessment and, if
the licensee has ((so requested in his or her petition, shall grant
such licensee an oral hearing and give the licensee ten days' notice of
the time and place thereof. The department may continue the hearing
from time to time. The decision of the department upon a petition for
reassessment shall become final thirty days after service upon the
licensee of notice thereof)) requested in the petition, must grant an
informal hearing and give ten days' notice of the time and place. The
department may continue the hearing as needed. The decision of the
department upon a petition for reassessment becomes final thirty days
after service upon the licensee.
(c) Every assessment made by the department ((shall)) becomes due
and payable at the time it becomes final and if not timely paid to the
department ((when due and payable, there shall be added thereto)), a
penalty of ten percent of the amount of the tax is added to the
assessment.
(((10))) (11) Any notice of assessment required by this section
((shall)) must be served ((personally or by certified or registered
mail; if by mail, service shall be made by depositing such notice in
the United States mail, postage prepaid addressed to the licensee at
his or her address as the same appears)) by depositing such notice in
the United States mail, postage prepaid addressed to the licensee at
the address shown in the records of the department.
(((11))) (12) Any licensee who has had ((the licensee's special))
a fuel license revoked ((shall)) must pay a one hundred dollar penalty
prior to the issuance of a new license.
(((12))) (13) Any person who, upon audit or investigation by the
department, is found to have not paid ((special)) fuel taxes as
required by this chapter ((shall be)) is subject to cancellation of all
vehicle registrations for vehicles utilizing special fuel as a means of
propulsion. Any unexpired Washington tonnage on the vehicles in
question may be transferred to a purchaser of the vehicles upon
application to the department who ((shall)) will hold such tonnage in
its custody until a sale of the vehicle is made or the tonnage has
expired.
(((13) Unless the use is exempt from the special fuel tax, or
expressly authorized by the internal revenue code and this chapter, a
person having dyed special fuel in the fuel supply tank of a motor
vehicle that is licensed or required to be licensed is subject to a
civil penalty of ten dollars for each gallon of dyed special fuel
placed into the supply tank of the motor vehicle, or one thousand
dollars, whichever is greater. The civil penalty collected as a result
of this subsection must be deposited in the motor vehicle fund. The
penalties must be collected and administered under this chapter.))
(14) A person who maintains dyed special fuel in bulk storage for
an intended sale or use in violation of this chapter is subject to a
civil penalty of ten dollars for each gallon of dyed special fuel, or
one thousand dollars, whichever is greater, currently or previously
maintained in bulk storage by the person. The civil penalty collected
as a result of this subsection must be deposited in the motor vehicle
fund. The penalties must be collected and administered under this
chapter.
(15) For the purposes of enforcement of this section, the
Washington state patrol or other commercial vehicle safety alliance-certified officers may inspect, collect, and secure samples of special
fuel used in the propulsion of a vehicle operated upon the highways of
this state to detect the presence of dye or other chemical compounds.
(16) The Washington state patrol shall, by January 1, 1999, develop
and implement procedures for collection, analysis, and storage of fuel
samples collected under this chapter.
(17) RCW 43.05.110 does not apply to the civil penalties imposed
under subsection (13) of this section.
Sec. 119 RCW 82.38.180 and 2007 c 515 s 29 are each amended to
read as follows:
(1) Any person who has purchased ((special)) fuel on which tax has
been paid may file a claim with the department for a refund of the tax
for:
(((1) Taxes previously paid on special)) (a) Fuel used for purposes
other than for the propulsion of motor vehicles upon the public
highways in this state. However, a refund may not be made for motor
vehicle fuel consumed by a motor vehicle required to be registered
under chapter 46.16A RCW.
(((2) Taxes previously paid on special)) (b) Fuel exported for use
outside of this state. ((Special)) Fuel carried from this state in the
fuel tank of a motor vehicle is deemed to be exported from this state.
((Special)) Fuel distributed to a federally recognized Indian tribal
reservation located within the state of Washington is not considered
exported outside this state.
(((3))) (c) Tax, penalty, or interest erroneously or illegally
collected or paid.
(((4) Taxes previously paid on all special)) (d) Fuel which is lost
or destroyed, while the licensee ((shall be)) is the owner thereof,
through fire, lightning, flood, wind storm, or explosion.
(((5) Taxes previously paid on all special)) (e) Fuel of five
hundred gallons or more which is lost or destroyed while the licensee
((shall be)) is the owner thereof, through leakage or other casualty
except evaporation, shrinkage, or unknown causes.
(((6) Taxes previously paid on special fuel that is inadvertently
mixed with dyed special fuel.)) (f) Fuel used in power pumping units or
other power take-off equipment of any motor vehicle which is accurately
measured by metering devices that have been specifically approved by
the department or by a formula determined by the department.
(2) Any person who has purchased special fuel on which tax has been
paid may file a claim with the department for a refund of tax for:
(a) Special fuel used for the operation of a motor vehicle as a
part of or incidental to logging operations upon a highway under
federal jurisdiction within the boundaries of a federal area if the
federal government requires a fee for the privilege of operating the
motor vehicle upon the highway, the proceeds of which are reserved for
constructing or maintaining roads in the federal area, or requires
maintenance or construction work to be performed on the highway for the
privilege of operating the motor vehicle on the highway;
(b) Special fuel used by special mobile equipment as defined in RCW
46.04.552;
(c) Special fuel used in a motor vehicle for movement between two
pieces of private property wherein the movement is incidental to the
primary use of the vehicle; and
(d) Special fuel inadvertently mixed with dyed special fuel.
(3) Any person who has purchased motor vehicle fuel on which tax
has been paid may file a claim with the department for a refund of tax
for:
(a) Motor vehicle fuel used by a private, nonprofit transportation
provider regulated under chapter 81.66 RCW to provide transportation
services for persons with special transportation needs; and
(b) Motor vehicle fuel used by an urban passenger transportation
system. For purposes of this subsection "urban passenger
transportation system" means every transportation system, publicly or
privately owned, having as its principal source of revenue the income
from transporting persons for compensation by means of motor vehicles
or trackless trolleys, each having a seating capacity of over fifteen
persons, over prescribed routes in such a manner that the routes of
such motor vehicles or trackless trolleys, either alone or in
conjunction with routes of other such motor vehicles or trackless
trolleys subject to the routing by the same transportation system, do
not extend for a distance exceeding fifteen road miles beyond the
corporate limits of the city in which the original starting points of
such motor vehicles or trackless trolleys are located. No refunds are
authorized for fuel used on any trip where any portion of the trip is
more than fifteen road miles beyond the corporate limits of the city in
which the trip originated.
(4) Recovery for such loss or destruction under ((either))
subsections (((4), (5), or (6))) (1)(d) or (e) or (2)(d) of this
section must be susceptible to positive proof thereby enabling the
department to conduct such investigation and require such information
as it may deem necessary. In the event that the department is not
satisfied that the fuel was lost, destroyed, or contaminated as claimed
because information or proof as required hereunder is not sufficient to
substantiate the accuracy of the claim, it may deem such as sufficient
cause to deny all right relating to the refund or credit for the excise
tax paid on ((special)) fuel alleged to be lost or destroyed.
(5) No refund or claim for credit ((shall)) may be approved by the
department unless the gallons of ((special)) fuel claimed as nontaxable
satisfy the conditions specifically set forth in this section and the
nontaxable event or use occurred during the period covered by the
refund claim. Refunds or claims for credit ((shall)) are not be
allowed for anticipated nontaxable use or events.
Sec. 120 RCW 82.38.190 and 1998 c 176 s 74 are each amended to
read as follows:
(1) Claims under RCW 82.38.180 ((shall)) must be filed with the
department on forms prescribed by the department and ((shall show the
date of filing and the period covered in the claim, the number of
gallons of special fuel used for purposes subject to tax refund, and
such other facts and information as may be required. Every such claim
shall be supported by an invoice or invoices issued to or by the
claimant, as may be prescribed by the department, and such other
information as the department may require. The requirement to provide
invoices may be waived for small refund amounts, as determined by the
department. Claims for refund of special)) must contain and be
supported by such information and documentation as the department may
require. Claims for refund of fuel tax must be for at least twenty
dollars.
(2) Any amount determined to be refundable by the department under
RCW 82.38.180 ((shall)) must first be credited on any amounts then due
and payable from a person to whom the refund is due((, and the
department shall then certify the balance thereof to the state
treasurer, who shall thereupon draw his or her warrant for the
certified amount to the person)).
(3) No refund or credit ((shall)) may be approved by the department
unless a written claim for refund or credit stating the specific
grounds upon which the claim is founded is filed with the department:
(a) Within thirteen months from the date of purchase or from the
last day of the month following the close of the reporting period for
which the refundable amount or credit is due with respect to refunds or
credits allowable under RCW 82.38.180 (((1), (2), (4), and (5))), with
the exception of the credits or refunds allowed under RCW
82.38.180(1)(c), and if not filed within this period the right to
refund ((shall be forever)) is barred.
(b) Within five years from the last day of the month following the
close of the reporting period for which the overpayment is due with
respect to the refunds or credits allowable under RCW 82.38.180(((3)))
(1)(c). The department ((shall)) must refund any amount paid that has
been verified by the department to be more than ((ten)) twenty dollars
over the amount actually due for the reporting period. Payment credits
((shall)) may not be carried forward and applied to subsequent tax
returns for a person licensed under this chapter.
(4) Within thirty days after disallowing any claim in whole or in
part, the department ((shall serve)) must provide written notice of its
action ((on)) to the claimant.
(5)(a) Interest ((shall)) must be paid upon any refundable amount
or credit due under RCW 82.38.180(((3))) (1)(c) at the rate of one
percent per month from the last day of the calendar month following the
reporting period for which the refundable amount or credit is due.
(b) The interest ((shall)) must be paid:
(((a))) (i) In the case of a refund, to the last day of the
calendar month following the date upon ((which the person making the
overpayment, if he or she has not already filed a claim, is notified by
the department that a claim may be filed or the date upon)) which the
claim is approved by the department((, whichever date is earlier)).
(((b))) (ii) In the case of a credit, to the same date as that to
which interest is computed on the tax or amount against which the
credit is applied.
(c) If the department determines that any overpayment has been made
intentionally or by reason of carelessness, it ((shall)) may not allow
any interest ((thereon)).
(6) The department ((shall)) must pay interest of one percent on
any refund payable under RCW 82.38.180 (1)((, (2), or (6) that)) or
(2), except as provided in subsection (5)(a) of this section, which is
issued more than thirty state business days after the receipt of a
claim properly filed and completed ((in accordance with this section)).
After the end of the thirty business-day period, additional interest
((shall)) accrues at the rate of one percent on the amount payable for
each thirty calendar-day period((, until the refund is issued)).
(((7) No injunction or writ of mandate or other legal or equitable
process shall issue in any suit, action or proceeding in any court
against this state or against any officer of the state to prevent or
enjoin the collection under this chapter of any tax or any amount of
tax required to be collected.))
Sec. 121 RCW 82.38.210 and 1998 c 176 s 75 are each amended to
read as follows:
((If any licensee liable for the remittance of tax imposed by this
chapter fails to pay the same, the amount thereof, including any
interest, penalty, or addition to such tax, together with any costs
that may accrue in addition thereto, shall be a lien in favor of the
state upon all franchises, property, and rights to property, whether
real or personal, then belonging to or thereafter acquired by such
person, whether such property is employed by such person for personal
or business use or is in the hands of a trustee, or receiver, or
assignee for the benefit of creditors, from the date the taxes were due
and payable, until the amount of the lien is paid or the property sold
in payment thereof. The lien shall have priority over any lien or
encumbrance whatsoever, except the lien of other state taxes having
priority by law, and except that such lien shall not be valid as
against any bona fide mortgagee, pledgee, judgment creditor, or
purchaser whose rights have attached prior to the time the department
has filed and recorded notice of such lien as hereinafter provided.)) (1) If a person liable for payment of
tax fails to pay the amount including any interest, penalty, or
addition, together with costs accrued, there will be a lien in favor of
the state upon all franchises, property, and rights to property,
whether real or personal, belonging to or acquired, whether the
property is employed by such person for personal or business use or is
in the control of a trustee, receiver, or assignee. The lien is
effective from the date taxes were due and payable until the amount is
satisfied. The lien has priority over any lien or encumbrance except
liens of other taxes having priority by law.
In order to avail itself of the lien hereby created, the department
shall file with any county auditor a statement of claim and lien
specifying the amount of delinquent taxes, penalties and interest
claimed by the department. From the time of filing for record, the
amount required to be paid shall constitute a lien upon all franchises,
property and rights to property, whether real or personal, then
belonging to or thereafter acquired by such person in the county. Any
lien as provided in this section may also be filed in the office of the
secretary of state. Filing in the office of the secretary of state
shall be of no effect, however, until the lien or copy thereof shall
have been filed with the county auditor in the county where the
property is located. When a lien is filed in compliance herewith and
with the secretary of state, such filing shall have the same effect as
if the lien had been duly filed for record in the office of the auditor
in each county of this state.
(2) The department must file with any county auditor a statement of
claim and lien specifying the amount of delinquent taxes, penalties,
and interest owed.
Sec. 122 RCW 82.38.220 and 1998 c 176 s 76 are each amended to
read as follows:
((In the event any licensee is delinquent in the payment of any
obligation imposed under this chapter, the department may give notice
of the amount of such delinquency by registered or certified mail to
all persons having in their possession or under their control any
credits or other personal property belonging to the licensee or owing
any debts to the licensee, at the time of the receipt by them of such
notice. Any person so notified shall neither transfer nor make other
disposition of such credits, personal property, or debts until the
department consents to a transfer or other disposition. All persons so
notified must, within twenty days after receipt of the notice, advise
the department of any and all such credits, personal property, or debts
in their possession, under their control or owing by them, as the case
may be, and shall immediately deliver such credits, personal property,
or debts to the department or its duly authorized representative to be
applied to the indebtedness involved.)) (1) If a
person is delinquent in the payment of any obligation, the department
may give notice of the amount of delinquency to persons having
possession or control of credits, personal and real property belonging
to the person, or owing debts to the person. Any person notified may
not transfer or dispose of credits, personal and real property, or
debts without the consent of the department. A person notified must,
within twenty days after receipt of notice, advise the department of
any credits, personal and real property, or debts in their possession,
under their control or owing by them, and must immediately deliver the
credits, personal and real property, or debts to the department.
Upon service, the notice and order to withhold and deliver
constitutes a continuing lien on property of the taxpayer. The
department shall include in the caption of the notice to withhold and
deliver "continuing lien." The effective date of a notice to withhold
and deliver served under this section is the date of service of the
notice.
If a person fails to answer the notice within the time prescribed
by this section, it is lawful for the court, upon application of the
department and after the time to answer the notice has expired, to
render judgment by default against the party named in the notice to
withhold and deliver for the full amount claimed by the department in
the notice to withhold and deliver, together with costs.
(2) The notice and order to withhold and deliver constitutes a
continuing lien on property of the person. The department must include
in the notice to withhold and deliver "continuing lien." The effective
date of a notice to withhold and deliver is the date of mailing.
(3) If a person fails to timely answer the notice, a court may
render judgment, plus costs by default against the person.
Sec. 123 RCW 82.38.230 and 2007 c 218 s 78 are each amended to
read as follows:
((Whenever any licensee is delinquent in the payment of any
obligation imposed hereunder, and such delinquency continues after
notice and demand for payment by the department, the department shall
proceed to collect the amount due from the licensee in the following
manner: The department shall seize any property subject to the lien of
said excise tax, penalty, and interest and thereafter sell it at public
auction to pay said obligation and any and all costs that may have been
incurred on account of the seizure and sale. Notice of such intended
sale and the time and place thereof shall be given to such delinquent
licensee and to all persons appearing of record to have an interest in
such property. The notice shall be given in writing at least ten days
before the date set for the sale by enclosing it in an envelope
addressed to the licensee at the licensee's address as the same appears
in the records of the department and, in the case of any person
appearing of record to have an interest in such property, addressed to
such person at his or her last known residence or place of business,
and depositing such envelope in the United States mail, postage
prepaid. In addition, the notice shall be published for at least ten
days before the date set for the sale in a newspaper of general
circulation published in the county in which the property seized is to
be sold. If there is no newspaper of general circulation in such
county, the notice shall be posted in three public places in the county
for a period of ten days. The notice shall contain a description of
the property to be sold, together with a statement of the amount due
under this chapter, the name of the licensee and the further statement
that unless such amount is paid on or before the time fixed in the
notice the property will be sold in accordance with law.)) (1) If a person is delinquent in the payment of any
obligation, and the delinquency continues after notice and demand for
payment the department must collect the amount due. The department
must seize any property subject to the lien of excise tax, penalty, and
interest and sell it at public auction. Notice of sale and the time
and place must be given to the person and to all persons appearing
with an interest in the property. The notice must be in writing at
least ten days before the date of sale. Notice must be published for
at least ten days before the date of sale in a newspaper of general
circulation published in the county the property will be sold. If
there is no newspaper of general circulation in the county, the notice
must be posted in three public places in the county for a period of ten
days. The notice must contain a description of the property together
with a statement of the amount due, the name of the person, and a
statement that unless the amount is paid on or before the time in the
notice the property will be sold.
The department shall then proceed to sell the property in
accordance with the law and the notice, and shall deliver to the
purchaser a bill of sale or deed which shall vest title in the
purchaser. If upon any such sale the moneys received exceed the amount
due to the state under this chapter from the delinquent licensee, the
excess shall be returned to the licensee and the licensee's receipt
obtained for the excess. If any person having an interest in or lien
upon the property has filed with the department prior to such sale,
notice of such interest or lien, the department shall withhold payment
of any such excess to the licensee pending a determination of the
rights of the respective parties thereto by a court of competent
jurisdiction. If for any reason the receipt of the licensee is not
available, the department shall deposit such excess with the state
treasurer as trustee for the licensee or the licensee's heirs,
successors, or assigns: PROVIDED, That prior to making any seizure of
property as provided for in this section, the department may first
serve upon the licensee's bondsperson a notice of the delinquency, with
a demand for the
(2) The department must sell the property and deliver to the
purchaser a bill of sale or deed. If the moneys received exceed the
amount due from the person, the excess must be returned to the person
and a receipt obtained. If any person having an interest in or lien
upon the property has filed notice with the department prior to the
sale, the department must withhold payment of any excess to the person
pending determination of the rights of the respective parties by a
court of competent jurisdiction. If the receipt of the person is not
available, the department must deposit the excess with the state
treasurer as trustee for the person or their heirs, successors, or
assigns. Prior to making any seizure of property, the department may
first serve upon the person's bondsperson a notice of delinquency and,
demand for payment of the amount due.
Sec. 124 RCW 82.38.235 and 2001 c 146 s 14 are each amended to
read as follows:
((Whenever any assessment shall have become final in accordance
with the provisions of this chapter, the department may file with the
clerk of any county within the state a warrant in the amount of the
assessment of taxes, penalties plus interest and a filing fee under RCW
36.18.012(10). The clerk of the county wherein the warrant is filed
shall immediately designate a superior court cause number for such
warrant, and the clerk shall cause to be entered in the judgment docket
under the superior court cause number assigned to the warrant, the name
of the licensee mentioned in the warrant, the amount of the tax,
penalties, interest and filing fee and the date when such warrant was
filed. The aggregate amount of such warrant as docketed shall become
a lien upon the title to, and interest in all real and personal
property of named person against whom the warrant is issued, the same
as a judgment in a civil case duly docketed in the office of such
clerk. Such warrant so docketed shall be sufficient to support the
issuance of writs of execution and writs of garnishment in favor of the
state in the manner provided by law in the case of civil judgment,
wholly or partially unsatisfied. The clerk of the court shall be
entitled to a filing fee under RCW 36.18.012(10), which shall be added
to the amount of the warrant.)) When an assessment becomes final the
department may file with the clerk of any county within the state a
warrant in the amount of the assessment of taxes, penalties, interest
and a filing fee under RCW 36.18.012(10). The warrant is a lien upon
title to, and interest in all real and personal property of the person
against whom the warrant is issued. The warrant is sufficient to
support the issuance of writs of execution and writs of garnishment in
favor of the state.
Sec. 125 RCW 82.38.245 and 1997 c 183 s 9 are each amended to
read as follows:
A ((special fuel licensee, who files or against whom is filed a
petition in bankruptcy, shall, within ten days of the filing, notify
the department of the proceedings in bankruptcy, including the identity
and location of the court in which the proceedings are pending))
licensee who files a petition for bankruptcy, or against whom a
petition for bankruptcy is filed, must notify the department within ten
days of the filing, including the name and location of the court in
which the petition was filed.
Sec. 126 RCW 82.38.260 and 1998 c 176 s 80 are each amended to
read as follows:
(1) The department ((shall enforce the provisions of this chapter,
and may prescribe, adopt, and enforce reasonable rules and regulations
relating to the administration and enforcement thereof. The Washington
state patrol and its officers shall aid the department in the
enforcement of this chapter, and, for this purpose, are declared to be
peace officers, and given police power and authority throughout the
state to arrest on sight any person known to have committed a violation
of the provisions of this chapter.)) may prescribe, adopt, and
enforce reasonable rules relating to administration and enforcement of
this chapter.
The department or its authorized representative is hereby empowered
to examine the books, papers, records and equipment of any licensee or
any person dealing in, transporting, or storing special fuel as defined
in this chapter and to investigate the character of the disposition
which any person makes of such special fuel in order to ascertain and
determine whether all taxes due hereunder are being properly reported
and paid. The fact that such books, papers, records and equipment are
not maintained in this state at the time of demand shall not cause the
department to lose any right of such examination under this chapter
when and where such records become available.
The department or its authorized representative is further
empowered to investigate the disposition of special fuel by any person
where the department has reason to believe that untaxed special fuel
has been diverted to a use subject to the taxes imposed by this chapter
without said taxes being paid in accordance with the requirements of
this chapter.
For the purpose of enforcing the provisions of this chapter it
shall be presumed that all special fuel delivered to service stations
as well as all special fuel otherwise received into storage and
dispensing equipment designed to fuel motor vehicles is delivered into
the fuel supply tanks of motor vehicles and consumed in the propulsion
of motor vehicles on the highways of this state, unless the contrary is
established by satisfactory evidence.
The department shall, upon request from the officials to whom are
entrusted the enforcement of the special fuel tax law of any other
state, the District of Columbia, the United States, its territories and
possessions, the provinces or the Dominion of Canada, forward to such
officials any information which he or she may have relative to the
receipt, storage, delivery, sale, use, or other disposition of special
fuel by any licensee if the other state or states furnish like
information to this state.
Returns required by this chapter, exclusive of schedules, itemized
statements and other supporting evidence annexed thereto, shall at all
reasonable times be open to the public
(2) The department or its authorized representative may examine the
books, papers, records, and equipment of any person distributing,
transporting, storing, or using fuel to determine whether all taxes due
or refundable are properly reported, paid, or claimed. If books,
papers, records, and equipment are not maintained in this state at the
time of demand, the department does not lose any right of examination.
(3) The department may require additional reports from any licensee
with reference to any of the matters herein concerned. Such reports
must be made and filed on forms prepared by the department.
(4) For the purpose of any investigation or proceeding, the
director or designee may administer oaths and affirmations, subpoena
witnesses, compel their attendance, take evidence, and require the
production of any books, papers, correspondence, memoranda, agreements,
or other documents or records which the director deems relevant or
material to the inquiry.
(5) In the case of contumacy by or refusal to obey a subpoena
issued to, any person, any court of competent jurisdiction upon
application by the director, may issue to that person an order
requiring appearance before the director or designee to produce
testimony of other evidence regarding the matter under investigation or
in question.
(6) The department must, upon request from officials responsible
for enforcement of fuel tax laws of any state, the District of
Columbia, the United States, its territories and possessions, the
provinces or the dominion of Canada, forward information relative to
the receipt, storage, delivery, sale, use, or other disposition of fuel
by any person, if the other furnishes like information.
(7) The department may enter into a fuel tax cooperative agreement
with another state, the District of Columbia, the United States, its
territories and possessions, or Canadian province for the
administration, collection, and enforcement of their respective fuel
taxes.
(8) For the purposes of administration, collection, and enforcement
of taxes imposed under this chapter, pursuant to another agreement
under chapter 82.41 RCW, chapter 82.41 RCW controls to the extent of
any conflict.
(9) The remedies of the state in this chapter are cumulative and no
action taken by the department may be construed to be an election on
the part of the state or any of its officers to pursue any remedy
hereunder to the exclusion of any other remedy for which provision is
made in this chapter.
Sec. 127 RCW 82.38.270 and 2007 c 515 s 30 are each amended to
read as follows:
(1) It is unlawful for a person ((or corporation)) to:
(a) Have dyed ((diesel)) special fuel in the fuel supply tank of a
vehicle that is licensed or required to be licensed for highway use or
maintain dyed ((diesel)) special fuel in bulk storage for highway use,
unless the person ((or corporation)) maintains an uncanceled dyed
((diesel)) special fuel user license or is otherwise ((exempted by))
exempt under this chapter;
(b) Hold dyed special fuel for use, intended use, sale, or intended
sale in a manner in violation of this chapter;
(c) Evade a tax or fee imposed under this chapter;
(((c))) (d) File a false statement of a material fact ((on a
special fuel license application or special fuel refund application;))
regarding the administration and enforcement of this chapter or
otherwise commit any fraud or make a false representation on a fuel tax
license application, fuel tax refund application, fuel tax return, fuel
tax record, or fuel tax refund claim;
(d) Act as a special fuel importer, special fuel blender, or
special fuel supplier unless the person holds an uncanceled special
(e) Act as a fuel licensee unless the person holds an uncanceled
fuel license issued by the department authorizing the person to engage
in that business;
(((e))) (f) Knowingly assist another person to evade a tax or fee
imposed by this chapter;
(((f))) (g) Knowingly operate a conveyance for the purpose of
hauling, transporting, or delivering ((special)) fuel in bulk and not
possess an invoice, bill of sale, or other statement showing the name,
address, and tax license number of the seller or consignor, the
destination, the name, address, and tax license number of the purchaser
or consignee, and the number of gallons;
(h) Refuse to permit the department or its authorized
representative to examine the person's books, papers, records, storage
facilities, and equipment used in conjunction with the use,
distribution, or sale of fuel;
(i) To display, or cause to permit to be displayed, or to have in
possession, any fuel license knowing the same to be fictitious, or to
have been suspended, canceled, revoked, or altered;
(j) To lend to, or knowingly permit the use of, by one not entitled
thereto, any fuel license issued to the person lending it or permitting
it to be used;
(k) To display or to represent as one's own any fuel license not
issued to the person displaying the same;
(l) To use or to conspire with any governmental official, agent, or
employee for the use of any requisition, purchase order, or any card or
any authority to which the person is not specifically entitled by
government regulations, for the purpose of obtaining any fuel or other
inflammable petroleum products upon which the fuel tax has not been
paid;
(m) To sell or dispense natural gas or propane for their own use or
the use of others into tanks of vehicles powered by this fuel when the
vehicle does not display a valid decal or other identifying device as
provided in RCW 82.38.075.
(2)(a) A single violation of subsection (1)(a) and (b) of this
section is a gross misdemeanor under chapter 9A.20 RCW.
(b) Multiple violations of subsection (1)(a) and (b) of this
section and violations of subsection (1)(((b) through (f))) (c) through
(g) of this section are a class C felony under chapter 9A.20 RCW.
(3) Violations of subsection (1)(h) through (m) of this section are
a gross misdemeanor under chapter 9A.20 RCW.
(4) In addition to other penalties and remedies provided by law,
the court ((shall)) must order a person or corporation found guilty of
violating subsection (1)(((b) through (f))) (c) through (g) of this
section to:
(a) Pay the tax or fee evaded plus interest, commencing at the date
the tax or fee was first due, at the rate of twelve percent per year,
compounded monthly; and
(b) Pay a penalty of one hundred percent of the tax evaded((, to
the multimodal transportation account of the state)).
(((4))) (5) The tax imposed by this chapter is held in trust by the
licensee until paid to the department, and a licensee who appropriates
the tax to his or her own use or to any use other than the payment of
the tax ((on the due date as prescribed in this chapter)) is guilty of
a felony or gross misdemeanor in accordance with the theft and
anticipatory provisions of Title 9A RCW. A person, partnership,
corporation, or corporate officer who fails to pay to the department
the tax ((imposed by this chapter)) is personally liable to the state
for the amount of the tax.
Sec. 128 RCW 82.38.280 and 2010 c 106 s 231 are each amended to
read as follows:
(1) The tax levied in this chapter is in lieu of any excise,
privilege, or occupational tax upon the business of manufacturing,
selling, or distributing ((special)) fuel, and no city, town, county,
township or other subdivision or municipal corporation of the state may
levy or collect any excise tax upon or measured by the sale, receipt,
distribution, or use of ((special)) fuel, except as provided in chapter
82.80 RCW and RCW 82.47.020.
(2) This section does not apply to any tax imposed by the state.
Sec. 129 RCW 82.38.290 and 1971 ex.s. c 175 s 30 are each amended
to read as follows:
((All taxes, interest and penalties collected under this chapter
shall be credited and deposited in the same manner as are motor vehicle
fuel taxes collected under RCW 82.36.410.)) (1) Unless directed
otherwise in this section, all taxes, fees, assessments, civil and
criminal penalties, interest, and proceeds from sales of forfeited
property collected under this chapter must be deposited into the motor
vehicle fund.
(2) The penalty imposed in RCW 82.38.270(4)(b) must be deposited
into the multimodal transportation account.
(3) One cent per gallon must be deducted from each motor vehicle
fuel marine use refund claim and deposited into the coastal protection
fund.
(4) Fifty percent of all fines and forfeitures imposed in any
criminal proceeding by any court of this state for violations of the
penal provisions of this chapter must be paid to the current expense
fund of the county where collected and the remainder deposited into the
motor vehicle fund. All fees, fines, forfeitures, and penalties
collected or assessed by a district court must be remitted as provided
in chapter 3.62 RCW.
Sec. 130 RCW 82.38.310 and 2007 c 515 s 31 are each amended to
read as follows:
(1) The governor may enter into an agreement with any federally
recognized Indian tribe located on a reservation within this state
regarding ((special)) fuel taxes included in the price of fuel
delivered to a retail station wholly owned and operated by a tribe,
tribal enterprise, or tribal member licensed by the tribe to operate a
retail station located on reservation or trust property. The agreement
may provide mutually agreeable means to address any tribal immunities
or any preemption of the ((state special)) fuel tax.
(2) The provisions of this section do not repeal existing
state/tribal fuel tax agreements or consent decrees in existence on May
15, 2007. The state and the tribe may agree to substitute an agreement
negotiated under this section for an existing agreement or consent
decree, or to enter into an agreement using a methodology similar to
the state/tribal fuel tax agreements in effect on May 15, 2007.
(3) If a new agreement is negotiated, the agreement must:
(a) Require that the tribe or the tribal retailer acquire all
((special)) fuel only from persons or companies operating lawfully in
accordance with this chapter as a ((special)) fuel distributor,
supplier, ((importer,)) or blender, or from a tribal distributor,
supplier, ((importer,)) or blender lawfully doing business according to
all applicable laws;
(b) Provide that the tribe will expend fuel tax proceeds or
equivalent amounts on: Planning, construction, and maintenance of
roads, bridges, and boat ramps; transit services and facilities;
transportation planning; police services; and other highway-related
purposes;
(c) Include provisions for audits or other means of ensuring
compliance to certify the number of gallons of ((special)) fuel
purchased by the tribe for resale at tribal retail stations, and the
use of fuel tax proceeds or their equivalent for the purposes
identified in (b) of this subsection. Compliance reports must be
delivered to the director of the department of licensing.
(4) Information from the tribe or tribal retailers received by the
state or open to state review under the terms of an agreement ((shall
be)) are deemed personal information under RCW 42.56.230(((3))) (4)(b)
and are exempt from public inspection and copying.
(5) The governor may delegate the power to negotiate fuel tax
agreements to the department of licensing.
(6) The department of licensing ((shall)) must prepare and submit
an annual report to the legislature on the status of existing
agreements and any ongoing negotiations with tribes.
Sec. 131 RCW 82.38.320 and 2007 c 515 s 32 are each amended to
read as follows:
(1) An international fuel tax agreement licensee who meets the
qualifications in subsection (2) of this section may be given special
authorization by the department to purchase special fuel delivered into
bulk storage without payment of the ((special)) fuel tax at the time
the fuel is purchased. The special authorization applies only to full
truck-trailer loads filled at a terminal rack and delivered directly to
the bulk storage facilities of the special authorization holder. The
licensee ((shall)) must pay ((special)) fuel tax on the fuel at the
time the licensee files their international fuel tax agreement tax
return and accompanying schedule with the department. The accompanying
schedule ((shall)) must be provided in a form and manner determined by
the department and ((shall)) must contain information on purchases and
usage of all nondyed special fuel purchased during the reporting
period. In addition, by the fifteenth day of the month following the
month in which fuel under the special authorization was purchased, the
licensee must report to the department, the name of the seller and the
number of gallons purchased for each purchase of such fuel, and any
other information as the department may require.
(2) To receive or maintain special authorization under subsection
(1) of this section, the following conditions regarding the
international fuel tax agreement licensee must apply:
(a) During the period encompassing the four consecutive calendar
quarters immediately preceding the fourth calendar quarter of the
previous year, the number of gallons consumed outside the state of
Washington as reported on the licensee's international fuel tax
agreement tax returns must have been equal to at least twenty percent
of the nondyed special fuel gallons, including fuel used on-road and
off-road, purchased by the licensee in the state of Washington, as
reported on the accompanying schedules required under subsection (1) of
this section;
(b) The licensee must have been licensed under the provisions of
the international fuel tax agreement during each of the four
consecutive calendar quarters immediately preceding the fourth calendar
quarter of the previous year; and
(c) The licensee has not violated the reporting requirements of
this section.
(3) Only a licensed ((special)) fuel supplier or ((special)) fuel
((importer)) distributor may sell special fuel to a special
authorization holder in the manner prescribed by this section.
(4) A ((special)) fuel supplier or ((importer)) distributor who
sells ((special)) fuel under the special authorization provisions of
this section is not liable for the ((special)) fuel tax on the fuel.
The ((special)) fuel supplier or ((importer will)) distributor must
report such sales, in a manner prescribed by the department, at the
time the ((special)) fuel supplier or ((importer)) distributor submits
the monthly tax report.
Sec. 132 RCW 82.38.360 and 2003 c 358 s 7 are each amended to
read as follows:
(1) The following are subject to seizure and forfeiture:
(a) ((Special)) Fuel imported into this state by a person not
licensed in this state in accordance with this chapter to import fuel;
(b) ((Special fuel that is)) Fuel blended or manufactured by a
person not licensed in this state in accordance with this chapter to
blend or manufacture fuel;
(c) All conveyances ((that are)) used, or intended for use, to
transport, or in any manner to facilitate the transportation, for the
purpose of sale or receipt of property described in (a) and (b) of this
subsection, except where the owner of the conveyance neither had
knowledge of nor consented to the transportation of the ((special))
fuel by an unlicensed importer, blender, or manufacturer of fuel.
(2) Before seizing a common carrier conveyance, contract carrier
conveyance, or a conveyance secured by a bona fide security interest
where the secured party neither had knowledge of or consented to the
unlawful act or omission, the state patrol or the department of
licensing ((shall)) must give the common carrier, contract carrier, or
secured party, or their representatives within twenty-four hours, a
notice in writing served by mail or other means to cease transporting
fuel for any person not licensed to import, blend, or manufacture fuel
in this state.
(3) Property subject to forfeiture under this chapter may be seized
by the state patrol upon process issued by a superior court or district
court having jurisdiction over the property. Seizure without process
may be made if:
(a) The seizure is incident to an arrest or a search under a search
warrant or an administrative inspection; or
(b) The state patrol has probable cause to believe ((that)) the
property was used or is intended to be used in violation of this
chapter and exigent circumstances exist making procurement of a search
warrant impracticable.
Sec. 133 RCW 82.38.365 and 2003 c 358 s 8 are each amended to
read as follows:
In all cases of seizure of property made subject to forfeiture
under this chapter, the state patrol ((shall)) must proceed as follows:
(1) Forfeiture is deemed to have commenced by the seizure.
(2) The state patrol ((shall)) must list and particularly describe
in duplicate the conveyance seized. After the appropriate appeal
period has expired, a seized conveyance must be sold at a public
auction in accordance with chapter 43.19 RCW.
(3) The state patrol ((shall)) must list and particularly describe
in duplicate the ((special)) fuel seized. The selling price of the
fuel seized ((will)) must be the average terminal rack price for
similar fuel, at the closest terminal rack on the day of sale, unless
circumstance warrants that a different selling price is appropriate.
The method used to value the fuel must be documented. The fuel
((will)) must be sold at the earliest point in time, and the total
price must include all appropriate state and federal taxes. The state
patrol or the department may enter into contracts for the
transportation, handling, storage, and sale of fuel subject to
forfeiture. ((The money received must be deposited in the motor
vehicle account, after deduction for expenses provided for in this
section.))
(4) The state patrol ((shall)) must, within five days after the
seizure of a conveyance or fuel, cause notice to be served on the owner
of the property seized, if known, on the person in charge of the
property, and on any other person having any known right or interest in
the property, of the seizure and intended forfeiture. The notice may
be served by any method authorized by law or court rule including but
not limited to service by mail. If service is by mail it must be by
both certified mail with return receipt requested and regular mail.
Service by mail is deemed complete upon mailing within the five-day
period after the date of seizure.
(5) If no person notifies the state patrol in writing of the
person's claim of ownership or right to possession of the items seized
within fifteen days of the date of the notice of seizure, the items
seized are considered forfeited.
(6) If any person notifies the state patrol, in writing, of the
person's claim of ownership or right to possession of the items seized
within fifteen days of the date of the notice of seizure, the person or
persons must be given a reasonable opportunity to be heard as to the
claim or right. The hearing must be before the director of licensing,
or the director's designee. A hearing and any appeals must be in
accordance with chapter 34.05 RCW. The burden of proof by a
preponderance of the evidence is upon the person claiming to be the
lawful owner or the person claiming to have the lawful right to
possession of the items seized. The state patrol and the department
((shall)) must promptly return the conveyance seized, and money from
the sale of fuel seized, to the claimant upon a determination that the
claimant is the present lawful owner and is lawfully entitled to
possession of the items seized.
Sec. 134 RCW 82.38.370 and 2003 c 358 s 9 are each amended to
read as follows:
When property is forfeited under this chapter, the state patrol or
the department may use the proceeds of the sale and all moneys
forfeited for the payment of all proper expenses of any investigation
leading to the seizure and of the proceedings for forfeiture and sale,
including expenses of seizure, maintenance of custody, advertising, and
court costs. Proper expenses of investigation include costs incurred
by a law enforcement agency or a federal, state, or local agency.
((The balance of the proceeds must be deposited in the motor vehicle
fund.))
Sec. 135 RCW 82.38.380 and 2003 c 358 s 11 are each amended to
read as follows:
When the state patrol has good reason to believe that ((special))
fuel is being unlawfully imported, kept, sold, offered for sale,
blended, or manufactured in violation of this chapter or rules adopted
under it, the state patrol may make an affidavit of that fact,
describing the place or thing to be searched, before a judge of any
court in this state, and the judge ((shall)) must issue a search
warrant directed to the state patrol commanding the officer diligently
to search any place or vehicle designated in the affidavit and search
warrant, and to seize the fuel and conveyance so possessed and to hold
them until disposed of by law, and to arrest the person in possession
or control of them.
Sec. 136 RCW 82.38.385 and 2003 c 358 s 12 are each amended to
read as follows:
The department and the state patrol ((shall)) must adopt rules
necessary to implement RCW 82.38.360 through 82.38.380.
NEW SECTION. Sec. 201
(a) Licensed dyed special fuel users;
(b) International fuel tax agreement licensees; or
(c) Licensed fuel distributors who, upon determination by the
department, have sufficient resources, assets, other financial
instruments, or other means to adequately make payments on monthly fuel
tax payments, penalties, and interest.
(2) The department may require a licensee to post a bond if the
department determines a bond is required to protect the interests of
the state.
(3) The total amount of the bond or bonds is three times the
estimated monthly fuel tax liability. The total bonding amount may
never be less than five thousand dollars nor more than one hundred
thousand dollars.
(4) In lieu of a bond, a licensee may deposit with the state
treasurer, a like amount of money of the United States, or bonds or
other obligations of the United States, the state, or any county of the
state, of a market value not less than the amount of the required bond.
(5) The department may require a licensee to increase the bond
amount or to deposit additional securities as described in this section
if the security of the bond or the market value of the securities
becomes impaired or inadequate.
(6) Any surety on a bond furnished by a licensee must be released
and discharged from any liability accruing on such bond after the
expiration of forty-five days from the date the surety provided written
notification to the department. The provisions of this section do not
relieve, release, or discharge the surety from any liability accrued or
which will accrue before the expiration of the forty-five day period.
The department must promptly notify the licensee who furnished the
bond, and unless the licensee, on or before the expiration of the
forty-five day period, files a new bond the department must cancel the
license.
NEW SECTION. Sec. 202
NEW SECTION. Sec. 203
NEW SECTION. Sec. 204
(2) A person who maintains dyed special fuel in bulk storage for an
intended sale or use in violation of this chapter is subject to a civil
penalty of ten dollars for each gallon of dyed special fuel, or one
thousand dollars, whichever is greater, currently or previously
maintained in bulk storage by the person. The penalties must be
collected and administered under this chapter.
(3) For the purposes of enforcement of this section, the Washington
state patrol or other commercial vehicle safety alliance-certified
officers may inspect, collect, and secure samples of special fuel used
in the propulsion of a vehicle operated upon the highways of this state
to detect the presence of dye or other chemical compounds.
(4) RCW 43.05.110 does not apply to the civil penalties imposed
under subsection (1) of this section.
NEW SECTION. Sec. 205
NEW SECTION. Sec. 206
NEW SECTION. Sec. 207
NEW SECTION. Sec. 208
Sec. 301 RCW 82.42.010 and 1983 c 49 s 1 are each amended to read
as follows:
((For the purposes of this chapter:)) The definitions in this section apply throughout this chapter
unless the context clearly requires otherwise.
(1)
(1) "Air carrier" means any airline, air cargo carrier, air taxi,
air commuter, or air charter operator, that provides routine air
service to the general population for compensation or hire, and
operates at least fifteen round trips per week between two or more
points and publishes flight schedules which specify the times, days of
the week, and points between which it operates. Where it is doubtful
that an operation is for "compensation or hire," the test applied is
whether the air service is merely incidental to the person's other
business or is, in itself, a major enterprise for profit.
(2) "Department" means the department of licensing((;)).
(((2))) (3) "Director" means the director of licensing((;)).
(((3))) (4) "Person" means every natural person, firm, partnership,
association, or private or public corporation((;)).
(((4))) (5) "Aircraft" means every contrivance now known or
hereafter invented, used or designed for navigation of or flight in the
air, operated or propelled by the use of aircraft fuel((;)).
(((5))) (6) "Aircraft fuel" means gasoline and any other
inflammable liquid, by whatever name such liquid is known or sold, the
chief use of which is as fuel for the propulsion of aircraft, except
gas or liquid, the chief use of which as determined by the director, is
for purposes other than the propulsion of aircraft((;)).
(((6))) (7) "Dealer" means any person engaged in the retail sale of
aircraft fuel((;)).
(((7))) (8) "Distributor" means any person engaged in the sale of
aircraft fuel to any dealer and ((shall)) includes any dealer from whom
the tax hereinafter imposed has not been collected((;)).
(((8) "Weighted average retail sales price of aircraft fuel" means
the average retail sales price, excluding any federal excise tax, of
the several grades of aircraft fuel sold by dealers throughout the
state (less any state excise taxes on the sale, distribution, or use
thereof) upon which fuel the tax levied by this chapter has been
collected, weighted to reflect the quantities sold at each price;)) (9) "Local service commuter" means an air taxi operator who
operates at least five round-trips per week between two or more points;
publishes flight schedules which specify the times, days of the week,
and points between which it operates; and whose aircraft has a maximum
capacity of sixty passengers or eighteen thousand pounds of useful
load.
(9) "Fiscal half-year" means a six-month period ending June 30th or
December 31st;
(10)
Sec. 302 RCW 82.42.020 and 2005 c 341 s 3 are each amended to
read as follows:
There is ((hereby levied, and there shall be collected by every
distributor of aircraft fuel, an excise tax at the rate of eleven cents
on each gallon of aircraft fuel sold, delivered, or used in this state:
PROVIDED HOWEVER, That such aircraft fuel excise tax shall not apply to
fuel for aircraft that both operate from a private, non-state-funded
airfield during at least ninety-five percent of the aircraft's normal
use and are used principally for the application of pesticides,
herbicides, or other agricultural chemicals and shall not apply to fuel
for emergency medical air transport entities: PROVIDED FURTHER, That
there shall be collected from every consumer or user of aircraft fuel
either the use tax imposed by RCW 82.12.020, as amended, or the retail
sales tax imposed by RCW 82.08.020, as amended, collection procedure to
be as prescribed by law and/or rule or regulation of the department of
revenue. The taxes imposed by this chapter shall be collected and paid
to the state but once in respect to any aircraft fuel.)) levied upon every distributor of aircraft fuel, an
excise tax at the rate of eleven cents on each gallon of aircraft fuel
sold, delivered, or used in this state. There must be collected from
every user of aircraft fuel either the use tax imposed by RCW 82.12.020
or the retail sales tax imposed by RCW 82.08.020. The taxes imposed by
this chapter must be collected and paid to the state but once in
respect to any aircraft fuel.
The tax required by this chapter, to be collected by the seller, is
held in trust by the seller until paid to the department, and a seller
who appropriates or converts the tax collected to his or her own use or
to any use other than the payment of the tax to the extent that the
money required to be collected is not available for payment on the due
date as prescribed in this chapter is guilty of a felony, or gross
misdemeanor in accordance with the theft and anticipatory provisions of
Title 9A RCW. A person, partnership, corporation, or corporate officer
who fails to collect the tax imposed by this section, or who has
collected the tax and fails to pay it to the department in the manner
prescribed by this chapter, is personally liable to the state for the
amount of the tax
Sec. 303 RCW 82.42.030 and 2005 c 341 s 4 are each amended to
read as follows:
(((1))) The provision of RCW 82.42.020 imposing the payment of an
excise tax on each gallon of aircraft fuel sold, delivered or used in
this state ((shall)) does not apply to:
(1) Aircraft fuel sold for export((, nor to aircraft fuel used for
the following purposes: (a) The operation of aircraft when such use is
by any air carrier or supplemental air carrier operating under a
certificate of public convenience and necessity under the provisions of
the Federal Aviation Act of 1958, Public Law 85-726, as amended; (b)
the operation of aircraft for testing or experimental purposes; (c) the
operation of aircraft when such operation is for the training of crews
in Washington state for purchasers of aircraft who are certified air
carriers; and (d) the operation of aircraft in the operations of a
local service commuter: PROVIDED, That the director's determination as
to a particular activity for which aircraft fuel is used as being an
exemption under this section, or otherwise, shall be final.)) and exported from this state;
(2) To claim an exemption on account of sales by a licensed
distributor of aircraft fuel for export, the purchaser shall obtain
from the selling distributor, and such selling distributor must furnish
the purchaser, an invoice giving such details of the sale for export as
the director may require, copies of which shall be furnished the
department and the entity of the state or foreign jurisdiction of
destination which is charged by the laws of that state or foreign
jurisdiction with the control or monitoring or both, of the sales or
movement of aircraft fuel in that state or foreign jurisdiction.
(3) For the purposes of this section, "air carrier" means an
airline, air cargo carrier, air taxi, air commuter, or air charter
operator, that provides routine air service to the general public for
compensation or hire, and operates at least fifteen round-trips per
week between two or more points and publishes flight schedules which
specify the times, days of the week, and points between which it
operates. Where it is doubtful that an operation is for "compensation
or hire," the test applied is whether the air service is merely
incidental to the person's other business or is, in itself, a major
enterprise for profit
(2) Aircraft fuel imported into the state in interstate or foreign
commerce and intended to be sold while in interstate or foreign
commerce;
(3) Aircraft fuel sold to an agency of the United States
government;
(4) Aircraft fuel delivered directly into the aircraft fuel tanks
of equipment operated by an air carrier or supplemental air carrier
operating under a certificate of public convenience and necessity under
the provisions of the federal aviation act of 1958, P.L. 85-726, as
amended;
(5) Aircraft fuel delivered directly into the aircraft fuel tanks
of equipment operated by a local service commuter;
(6) Aircraft fuel sold to emergency medical air transport entities;
(7) Aircraft fuel sold to a licensed aircraft fuel distributor;
(8) Aircraft fuel delivered into the bulk storage tank of a
certified user;
(9) Aircraft fuel used in the operation of aircraft for testing or
experimental purposes; and
(10) Aircraft fuel used in the operation of aircraft when such
operation is for the training of crews in Washington state for
purchasers of aircraft who are certified air carriers.
Sec. 304 RCW 82.42.040 and 2008 c 181 s 507 are each amended to
read as follows:
((The director shall by rule and regulation adopted as provided in
chapter 34.05 RCW (Administrative Procedure Act) set up the necessary
administrative procedure for collection by the department of the
aircraft fuel excise tax as provided for in RCW 82.42.020, placing the
responsibility of collection of said tax upon every distributor of
aircraft fuel within the state; he may require the licensing of every
distributor of aircraft fuel and shall require such a corporate surety
bond or security of any distributor or person not otherwise bonded
under provisions of chapter 82.36 RCW as is provided for distributors
of motor vehicle fuel under RCW 82.36.060; he shall provide such forms
and may require such reports or statements as in his determination
shall be necessary for the proper administration of this chapter. The
director may require such records to be kept, and for such periods of
time, as deemed necessary for the administration of this chapter, which
records shall be available at all times for the director or his
representative who may require a statement under oath as to the
contents thereof. During a state of emergency declared under RCW
43.06.010(12), the director, on his or her own motion or at the request
of any taxpayer affected by the emergency, may extend the time for
filing any report or the due date for tax remittances as the director
deems proper.)) (1) Application for a license must be made to the
department. The application must be filed in a manner prescribed by
the department and must contain information the department requires.
Every application for a distributor's license must contain the
following information to the extent it applies to the applicant:
(1) Proof as the department may require concerning the applicant's
identity, including but not limited to his or her fingerprints or those
of the officers of a corporation making the application;
(2) The applicant's form and place of organization including proof
that the individual, partnership, or corporation is licensed to do
business in this state;
(3) The qualification and business history of the applicant and any
partner, officer, or director;
(4) The applicant's financial condition or history including a bank
reference and whether the applicant or any partner, officer, or
director has ever been adjudged bankrupt or has an unsatisfied judgment
in a federal or state court;
(5) Whether the applicant has been adjudged guilty of a crime that
directly relates to the business for which the license is sought and
the time elapsed since the conviction is less than ten years, or has
suffered a judgment within the preceding five years in a civil action
involving fraud, misrepresentation, or conversion and in the case of a
corporation or partnership, all directors, officers, or partners.
After receipt of an application for a license, the director may
conduct an investigation to determine whether the facts set forth are
true. The director may require a fingerprint record check of the
applicant through the Washington state patrol criminal identification
system and the federal bureau of investigation before issuance of a
license. The results of the background investigation including
criminal history information may be released to authorized department
personnel as the director deems necessary. The department shall charge
a license holder or license applicant a fee of fifty dollars for each
background investigation conducted.
An applicant who makes a false statement of a material fact on the
application may be prosecuted for false swearing as defined by RCW
9A.72.040.
(2) For purposes of this section, the term "applicant" has the same
meaning as provided for "person" in RCW 82.42.010.
(3) An application for a license must contain the following
information to the extent it applies to the applicant:
(a) Proof, as the department may require, concerning the
applicant's identity;
(b) The applicant's business structure and place of business,
including proof the applicant is licensed to conduct business in this
state;
(c) The employment history of the applicant and any partner,
officer, or director of the applicant;
(d) A bank reference and whether the applicant or any partner,
officer, or director of the applicant has ever been adjudged bankrupt
or has an unsatisfied judgment;
(e) Whether the applicant has been adjudged guilty of a crime or
suffered a civil judgment directly related to the distribution and sale
of fuel within the last ten years;
(f) Each state, province, or country that the applicant intends to
import fuel from by means other than bulk transfer. An applicant must
also show proof that the applicant has maintained the appropriate
license required of each state, province, or country; and
(g) Each state, province, or country that the applicant intends to
export fuel to by means other than bulk transfer. An applicant must
also show proof that the applicant has maintained the appropriate
license required of each state, province, or country.
(4) An applicant must submit a surety bond in an amount, form, and
manner set by the department. In lieu of a bond, an applicant may
provide evidence to the department of sufficient assets to adequately
meet tax payments, penalties, interest, or other obligations arising
out of this chapter.
(5) For the purposes of considering any application for a license,
the department may inspect, cause an inspection, investigate, or cause
an investigation of the records of this or any other state, province,
country, or the federal government to ascertain the veracity of the
information on the application and the applicant's criminal, civil, and
licensing history.
(6) An applicant who makes a false statement of a material fact on
the application may be prosecuted for false swearing as defined by RCW
9A.72.040.
Sec. 305 RCW 82.42.090 and 1995 c 170 s 1 are each amended to
read as follows:
All ((moneys collected by the director from the aircraft fuel
excise tax as provided in RCW 82.42.020 shall be transmitted to the
state treasurer and shall be credited to the aeronautics account hereby
created in the transportation fund of the state treasury. Moneys
collected from the consumer or user of aircraft fuel from either the
use tax imposed by RCW 82.12.020 or the retail sales tax imposed by RCW
82.08.020 shall be transmitted to the state treasurer and credited to))
taxes, interest, and penalties collected under this chapter must be
deposited into the aeronautics account. All taxes, interest, and
penalties collected from the consumer or user of aircraft fuel from
either the use tax imposed by RCW 82.12.020 or the retail sales tax
imposed by RCW 82.08.020 must be deposited into the state general fund.
Sec. 306 RCW 82.42.110 and 1982 1st ex.s. c 25 s 9 are each
amended to read as follows:
Every person other than a distributor who acquires any aircraft
fuel within this state upon which payment of tax is required under the
provisions of this chapter, or imports such aircraft fuel into this
state and sells, delivers, or in any manner uses it in this state
((shall)), if the tax has not been paid, ((be)) is subject to the
provisions of ((RCW 82.42.040 provided for)) this chapter provided for
aircraft fuel distributors and ((shall)) must pay a tax at the rate
computed under RCW ((82.42.025)) 82.42.020 for each gallon thereof so
sold, delivered, or used in the manner provided for distributors. The
proceeds of the tax imposed by this section ((shall)) must be
distributed in the manner provided for the distribution of the aircraft
fuel tax in RCW 82.42.090. For failure to comply with the terms of
this chapter, such person ((shall be)) is subject to the same penalties
imposed upon distributors. The director ((shall)) must pursue against
such persons the same procedure and remedies for audits, adjustments,
collection, and enforcement of this chapter as is provided with respect
to distributors. Nothing herein ((shall)) must be construed as
classifying such persons as distributors.
Sec. 307 RCW 82.42.125 and 1997 c 183 s 11 are each amended to
read as follows:
((An aircraft fuel licensee, who files or against whom is filed a
petition in bankruptcy, shall, within ten days of the filing, notify
the department of the proceedings in bankruptcy, including the identity
and location of the court in which the proceedings are pending.)) A
licensee who files a bankruptcy petition, or against whom a petition
for bankruptcy is filed, must notify the department of the filing
within ten days of the filing. The notice must include the name and
location of the court in which the petition was filed.
NEW SECTION. Sec. 401
(2) The department or its authorized representative is empowered to
examine the books, papers, records, and equipment of any person
distributing, transporting, storing, or using aircraft fuel and to
investigate the disposition any person makes of aircraft fuel to
determine whether all taxes due or refundable are properly reported,
paid, or claimed. If books, papers, records, and equipment are not
maintained in this state at the time of demand the department does not
lose any right of examination.
(3) The director may, from time to time, require additional reports
from any licensee with reference to any of the matters herein
concerned. Such reports must be made and filed on forms prepared by
the director.
(4) For the purpose of any investigation or proceeding, the
director or designee may administer oaths and affirmations, subpoena
witnesses, compel their attendance, take evidence, and require the
production of any books, papers, correspondence, memoranda, agreements,
or other documents or records which the director deems relevant or
material to the inquiry.
(5) In the case of contumacy by or refusal to obey a subpoena
issued to, any person, any court of competent jurisdiction upon
application by the director, may issue to that person an order
requiring appearance before the director or designee to produce
testimony of other evidence regarding the matter under investigation or
in question.
(6) The department must, upon request from officials responsible
for enforcement of aircraft fuel tax laws of any state, the District of
Columbia, the United States, its territories and possessions, the
provinces or the dominion of Canada, forward information relative to
the receipt, storage, delivery, sale, use, or other disposition of
aircraft fuel by any person if the other furnishes like information.
(7) The department may enter into an aircraft fuel tax cooperative
agreement with another state, the District of Columbia, the United
States, its territories and possessions, or Canadian Province for the
administration, collection, and enforcement of their respective fuel
taxes.
(8) The foregoing remedies of the state in this chapter are
cumulative and no action taken by the department may be construed to be
an election on the part of the state or any of its officers to pursue
any remedy hereunder to the exclusion of any other remedy for which
provision is made in this chapter.
NEW SECTION. Sec. 402
NEW SECTION. Sec. 403
(2) The department may require a licensee to post a bond if the
department determines a bond is required to protect the interests of
the state.
(3) The total amount of the bond or bonds is three times the
estimated monthly aircraft fuel tax liability. The total bonding
amount may never be less than five thousand dollars nor more than one
hundred thousand dollars.
(4) In lieu of a bond, a licensee may deposit with the state
treasurer, a like amount of money of the United States or bonds or
other obligations of the United States, the state, or any county of the
state, of a market value not less than the amount of the required bond.
(5) The department may require a licensee to increase the bond
amount or to deposit additional securities as described in this section
if the security of the bond or the market value of the securities
becomes impaired or inadequate.
(6) Any surety on a bond furnished by a licensee must be released
and discharged from any liability accruing on such bond after the
expiration of forty-five days from the date the surety provided written
notification to the department. This subsection does not relieve,
release, or discharge the surety from any liability accrued or which
will accrue before the expiration of the forty-five day period. The
department must promptly notify the licensee who furnished the bond,
and unless the licensee, on or before the expiration of the forty-five
day period, files a new bond the department must cancel the license.
NEW SECTION. Sec. 404
(2) If the tax reported by any licensee is deficient a penalty of
ten percent of the deficiency must be assessed.
(3) If any licensee, whether or not licensed as such, fails,
neglects, or refuses to file a required fuel tax report, the department
must determine the tax liability and add the penalty provided in
subsection (2) of this section to the liability. An assessment made by
the department pursuant to this subsection or to subsection (2) of this
section is presumed to be correct, and the burden is on the person who
challenges the assessment to establish by a fair preponderance of the
evidence that it is erroneous or excessive.
(4) If any licensee establishes by a fair preponderance of evidence
that failure to file a report or pay the proper amount of tax within
the time prescribed was due to reasonable cause and was not intentional
or willful, the department may waive the penalty prescribed in
subsections (1) and (2) of this section.
(5) If any licensee files a false or fraudulent report with intent
to evade the tax imposed by this chapter, a penalty of twenty-five
percent of the deficiency must be added to the amount of deficiency,
which is in addition to all other penalties prescribed by law.
(6) If any person acts as a licensee without first securing the
required license, all fuel tax liability incurred by that person
becomes immediately due and payable. The department must determine the
amount of the tax liability and must assess the person along with a
penalty of one hundred percent of the tax.
(7) Any fuel tax, penalties, and interest payable under this
chapter bear interest at the rate of one percent per month, or fraction
thereof, from the first day of the calendar month after the amount or
any portion thereof should have been paid until the date of payment.
The department may waive interest when it determines the cost of
processing the collection exceeds the amount of interest due.
(8) Except in the case of violations of filing a false or
fraudulent report, if the department deems mitigation of penalties and
interest to be reasonable and in the best interests of carrying out the
purpose of this chapter, it may mitigate the assessments.
(9) Except in the case of a fraudulent report or failure to file a
report, deficiencies, penalties, and interest must be assessed within
five years from the twenty-fifth day of the next succeeding month
following the reporting period for which the amount is determined or
within five years after the return is filed, whichever period expires
later.
(10)(a) Any licensee against whom an assessment is made under the
provisions of subsection (2) or (3) of this section may petition for a
reassessment within thirty days after service upon the licensee of the
assessment. If such petition is not filed within such thirty-day
period, the amount of the assessment becomes final.
(b) If a petition for reassessment is filed within the thirty-day
period, the department must reconsider the assessment and, if the
licensee has requested in the petition, must grant an informal hearing
and give ten days' notice of the time and place. The department may
continue the hearing as needed. The decision of the department upon a
petition for reassessment becomes final thirty days after service upon
the licensee.
(11) Every assessment made by the department becomes due and
payable at the time it becomes final and if not timely paid to the
department a penalty of ten percent of the amount of the tax must be
added to the assessment.
(12) Any notice of assessment required by this section must be
served by depositing such notice in the United States mail, postage
prepaid addressed to the licensee at the address shown in the records
of the department.
(13) Any licensee who has had a fuel license revoked must pay a one
hundred dollar penalty prior to the issuance of a new license.
NEW SECTION. Sec. 405
(2) An aircraft fuel distributor is liable for and must pay the tax
imposed under RCW 82.42.020 to the department on or before the
twenty-fifth day of the month immediately following the reporting
period. The tax report required in section 413 of this act must
accompany the remittance.
(3) If the tax is paid by electronic funds transfer, the tax must
be paid on or before the twenty-sixth calendar day of the month
immediately following the reporting period. If the payment due date
falls on a Saturday, Sunday, or legal holiday, payment is due on the
state business day immediately preceding the due date.
(4) The tax must be paid by electronic funds transfer whenever the
amount due is fifty thousand dollars or more.
NEW SECTION. Sec. 406
NEW SECTION. Sec. 407
(2) The notice and order to withhold and deliver constitutes a
continuing lien on property of the person. The department must include
in the notice to withhold and deliver "continuing lien." The effective
date of a notice to withhold and deliver is the date of mailing.
(3) If a person fails to timely answer the notice, a court may
render a judgment, plus costs by default against the person.
NEW SECTION. Sec. 408
(2) The department must sell the property and deliver to the
purchaser a bill of sale or deed. If the moneys received exceed the
amount due from the person, the excess must be returned to the person
and a receipt obtained. If any person having an interest in or lien
upon the property has filed notice with the department prior to the
sale, the department must withhold payment of any excess to the person
pending determination of the rights of the respective parties by a
court of competent jurisdiction. If the receipt of the person is not
available, the department must deposit the excess with the state
treasurer as trustee for the person or their heirs, successors, or
assigns. Prior to making any seizure of property, the department may
first serve upon the person's bondsperson a notice of delinquency and
demand for payment of the amount due.
NEW SECTION. Sec. 409
NEW SECTION. Sec. 410
NEW SECTION. Sec. 411
(a) Who formerly held a license issued under chapter 82.36, 82.38,
82.42, or 46.87 RCW which has been suspended or revoked for cause;
(b) Who is a subterfuge for the real party in interest whose
license issued under chapter 82.36, 82.38, 82.42, or 46.87 RCW has been
revoked for cause;
(c) Who, as an individual licensee, or partner, officer, director,
owner, or managing employee of a licensee, has had a license issued
under chapter 82.36, 82.38, 82.42, or 46.87 RCW denied, suspended, or
revoked for cause;
(d) Who has an unsatisfied debt to the state assessed under either
chapter 82.36, 82.38, 82.42, or 46.87 RCW;
(e) Who formerly held as an individual, partner, officer, director,
owner, managing employee of a licensee, or subterfuge for a real party
in interest, a license issued by the federal government or a state that
allowed a person to buy or sell untaxed motor vehicle or special fuel,
which, has been suspended or revoked for cause;
(f) Who pled guilty to or was convicted as an individual, partner,
officer, director, owner, or managing employee of a licensee in this or
any other state, Canadian province, or in any federal jurisdiction of
a gross misdemeanor or felony crime directly related to the fuel
distribution business or has been subject to a civil judgment involving
fraud, misrepresentation, conversion, or dishonesty, notwithstanding
chapter 9.96A RCW;
(g) Who misrepresented or concealed a material fact in obtaining a
license or reinstating a license;
(h) Who violated a statute or administrative rule regulating fuel
taxation or distribution;
(i) Who failed to cooperate with the department's investigations
by:
(i) Not furnishing papers or documents;
(ii) Not furnishing in writing a full and complete explanation
regarding a matter under investigation by the department; or
(iii) Not responding to subpoenas issued by the department, whether
or not the recipient of the subpoena is the subject of the proceeding;
(j) Who failed to comply with an order issued by the director; or
(k) Upon other sufficient cause being shown.
(2) Before such refusal, suspension, or revocation the department
must grant the applicant a hearing and must grant the applicant at
least twenty days' written notice of the time and place thereof.
NEW SECTION. Sec. 412
NEW SECTION. Sec. 413
(2) Tax reports must be filed on or before the twenty-fifth day of
the calendar month following the reporting period to which it relates.
A report must be filed even though no tax is due for the reporting
period. Each report must contain a declaration that the statements
contained therein are true and are made under penalties of perjury.
The report must show information as the department may reasonably
require for the proper administration and enforcement of this chapter.
(3) If the filing date falls on a Saturday, Sunday, or legal
holiday the next secular or business day is the filing date.
(4) The department in order to insure payment of the tax or to
facilitate administration of this chapter may require the filing of
reports and tax remittances at intervals other than one month.
(5) During a state of emergency declared under RCW 43.06.010(12),
the department, on its own motion or at the request of any taxpayer
affected by the emergency, may extend the time for filing any report or
the due date for tax remittances as the department deems proper.
NEW SECTION. Sec. 414
(2) Records must show:
(a) The date of receipt;
(b) The name and address of the person from whom purchased or
received;
(c) The number of gallons received at each place of business or
place of storage in the state of Washington;
(d) The date of sale or delivery;
(e) The number of gallons sold, delivered, or used for taxable
purposes;
(f) The number of gallons sold, delivered, or used for any purpose
not subject to tax;
(g) The name, address, and aircraft fuel license number of the
purchaser if the fuel tax is not collected on the sale or delivery;
(h) The physical inventories of aircraft fuel and petroleum
products on hand at each place of business at the end of each month;
(i) Stocks of raw gasoline, gasoline stock, diesel oil, kerosene,
kerosene distillates, casing head gasoline, and other petroleum
products which may be used in the compounding, blending, or
manufacturing of aircraft fuel.
(3) The department may require a person other than a licensee
engaged in the business of selling, purchasing, distributing, storing,
transporting, or delivering aircraft fuel to submit periodic reports to
the department regarding the disposition of the aircraft fuel. The
reports must be on forms prescribed by the department and must contain
information as the department may require.
(4) Every person operating any conveyance transporting fuel in bulk
must possess during the entire time an invoice, bill of sale, or other
statement showing the name, address, and license number of the seller
or consigner, the destination, name, and address of the purchaser or
consignee, license number, if applicable, and the number of gallons.
The person transporting fuel must at the request of any law enforcement
officer or authorized representative of the department, produce for
inspection required records and must permit inspection of the contents
of the vehicle.
NEW SECTION. Sec. 415
(2) Within ninety days after the mailing of the notice of the
department's action upon a claim filed pursuant to section 416 of this
act, the claimant may bring an action against the department on the
grounds set forth in the claim in a court of competent jurisdiction in
Thurston county for the recovery of the whole or any part of the amount
with respect to which the claim has been disallowed. Failure to bring
action within the time specified constitutes a waiver of any demand
against the state on account of the alleged overpayments.
(3) If the department fails to mail notice of action on a claim
within six months after the claim is filed, the claimant may, prior to
the mailing of notice by the department of its intention on the claim,
consider the claim disallowed and bring an action against the
department, on the grounds set forth in the claim for the recovery of
the whole or any part of the amount claimed as an overpayment.
(4) If judgment is rendered for the plaintiff, the amount of the
judgment must first be credited on any aircraft fuel tax due and
payable from the plaintiff. The balance of the judgment must be
refunded to the plaintiff.
(5) In any judgment, interest must be allowed at the rate of twelve
percent per annum upon the amount found to have been illegally
collected from the date of payment of the amount to the date of
allowance of credit on account of the judgment or to a date preceding
the date of the refund warrant, but not more than thirty days, the date
to be determined by the department.
NEW SECTION. Sec. 416
(2) Any amount determined to be refundable by the department must
first be credited on any amounts then due and payable from a person to
whom the refund is due.
(3) No refund or credit may be approved by the department unless a
written claim for refund or credit stating the specific grounds upon
which the claim is founded is filed with the department:
(a) Within thirteen months from the date of purchase or from the
last day of the month following the close of the reporting period for
which the refundable amount or credit is due with respect to refunds or
credits allowed and if not filed within this period the right to refund
is barred; or
(b) Within five years from the last day of the month following the
close of the reporting period for which the overpayment is due with
respect to the refunds or credits allowed for aircraft fuel tax
licensees.
(4) The department must refund any amount paid that has been
verified by the department to be more than twenty dollars over the
amount actually due for the reporting period.
(5) Payment credits may not be carried forward and applied to
subsequent tax returns for a person licensed under this chapter.
(6) Within thirty days after disallowing any refund claim in whole
or in part, the department must provide written notice of its action to
the claimant.
(7)(a) Interest must be paid upon any refundable amount or credit
due at the rate of one percent per month from the last day of the
calendar month following the reporting period for which the refundable
amount or credit is due.
(b) The interest must be paid:
(i) In the case of a refund, to the last day of the calendar month
following the date upon which the claim is approved by the department;
and
(ii) In the case of a credit, to the same date as that to which
interest is computed on the tax or amount against which the credit is
applied.
(c) If the department determines that any overpayment has been made
intentionally or by reason of carelessness, interest is not allowed.
(8) The department must pay interest of one percent on any refund
payable that is issued more than thirty state business days after the
receipt of a claim properly filed and completed. After the end of the
thirty business day period, additional interest accrues at the rate of
one percent on the amount payable for each thirty calendar day period.
NEW SECTION. Sec. 417
(1) Aircraft fuel used in aircraft that both operate from a
private, nonstate-funded airfield during at least ninety-five percent
of the aircraft's normal use and are used principally for the
application of pesticides, herbicides, or other agricultural chemicals;
(2) Aircraft fuel used in the operation of aircraft for testing or
experimental purposes; and
(3) Aircraft fuel used in the operation of aircraft when the
operation is for the training of crews in Washington state for
purchasers of aircraft who are certified air carriers.
NEW SECTION. Sec. 418
NEW SECTION. Sec. 419
(2) The department must file with any county auditor a statement of
claim and lien specifying the amount of delinquent taxes, penalties,
and interest owed.
NEW SECTION. Sec. 420
(a) Evade a tax or fee imposed under this chapter;
(b) Knowingly assist another person to evade a tax or fee imposed
by this chapter;
(c) File a false statement of a material fact or otherwise commit
any fraud or make a false representation on an aircraft fuel tax
license application, aircraft fuel tax refund application, aircraft
fuel tax return, aircraft fuel tax record, or aircraft fuel tax refund
claim;
(d) Act as an aircraft fuel distributor unless the person holds a
license issued by the department authorizing the person to engage in
that business;
(e) Knowingly operate a conveyance for the purpose of hauling,
transporting, or delivering aircraft fuel in bulk and not possess an
invoice, bill of sale, or other statement showing the name, address,
and tax license number of the seller or consignor, the destination, the
name, address, and tax license number of the purchaser or consignee,
and the number of gallons;
(f) Refuse to permit the department or its authorized
representative to examine the person's books, papers, records, storage
facilities, and equipment used in conjunction with the use,
distribution, or sale of aircraft fuel;
(g) To display, or cause to permit to be displayed, or to have in
possession, an aircraft fuel license knowing the same to be fictitious
or to have been suspended, canceled, revoked, or altered;
(h) To lend to, or knowingly permit the use of, by one not entitled
thereto, any aircraft fuel license issued to the person lending it or
permitting it to be used;
(i) To display or to represent as one's own any aircraft fuel
license not issued to the person displaying the same; and
(j) To use or to conspire with any governmental official, agent, or
employee for the use of any requisition, purchase order, or any card or
any authority to which he or she is not specifically entitled by
government regulations, for the purpose of obtaining any aircraft fuel
upon which the state tax has not been paid.
(2)(a) A single violation of subsection (1)(a) and (b) of this
section is a gross misdemeanor under chapter 9A.20 RCW.
(b) Multiple violations of subsection (1)(a) and (b) of this
section are a class C felony under chapter 9A.20 RCW.
(3) Violations of (1)(c) through (j) of this section are a gross
misdemeanor under chapter 9A.20 RCW.
(4) In addition to other penalties and remedies provided by law,
the court must order a person or corporation found guilty of violating
subsection (1)(a) through (b) of this section to:
(a) Pay the tax or fee evaded plus interest, commencing at the date
the tax or fee was first due, at the rate of twelve percent per year,
compounded monthly; and
(b) Pay a penalty of one hundred percent of the tax evaded.
(5) The tax imposed by this chapter is held in trust by the
licensee until paid to the department, and a licensee who appropriates
the tax to his or her own use or to any use other than the payment of
the tax is guilty of a felony or gross misdemeanor in accordance with
the theft and anticipatory provisions of Title 9A RCW. A person,
partnership, corporation, or corporate officer who fails to pay to the
department the tax is personally liable to the state for the amount of
the tax.
NEW SECTION. Sec. 501 The following acts or parts of acts are
each repealed:
(1) RCW 82.36.010 (Definitions) and 2007 c 515 s 1, 2001 c 270 s 1,
& 1998 c 176 s 6;
(2) RCW 82.36.020 (Tax levied and imposed -- Rate to be computed -- Incidence -- Distribution) and 2007 c 515 s 2, 2001 c 270 s 2, 2000 c 103
s 13, 1998 c 176 s 7, 1983 1st ex.s. c 49 s 26, 1982 1st ex.s. c 6 s 1,
1977 ex.s. c 317 s 2, & 1974 ex.s. c 28 s 1;
(3) RCW 82.36.022 (Tax imposed -- Intent) and 2007 c 515 s 20;
(4) RCW 82.36.025 (Motor vehicle fuel tax rate -- Expiration of
subsection) and 2007 c 515 s 3, 2005 c 314 s 101, & 2003 c 361 s 401;
(5) RCW 82.36.026 (Tax liability -- General) and 2007 c 515 s 4, 2001
c 270 s 3, & 1998 c 176 s 8;
(6) RCW 82.36.027 (Tax liability of terminal operator) and 2007 c
515 s 6 & 1998 c 176 s 9;
(7) RCW 82.36.028 (Tax liability -- Reciprocity agreements) and 2007
c 515 s 5;
(8) RCW 82.36.029 (Deductions -- Handling losses -- Reports) and 1998
c 176 s 10;
(9) RCW 82.36.031 (Periodic tax reports -- Forms--Filing -- Time
extensions during state of emergency) and 2008 c 181 s 505, 2007 c 515
s 8, & 1998 c 176 s 11;
(10) RCW 82.36.032 (Penalty for filing fraudulent tax report) and
1998 c 176 s 13 & 1987 c 174 s 7;
(11) RCW 82.36.035 (Computation and payment of tax -- Remittance -- Electronic funds transfer) and 2005 c 260 s 1 & 1998 c 176 s 12;
(12) RCW 82.36.040 (Payment of tax -- Penalty for delinquency) and
1991 c 339 s 2, 1989 c 378 s 24, 1987 c 174 s 4, 1977 c 28 s 1, & 1961
c 15 s 82.36.040;
(13) RCW 82.36.044 (Credit for worthless accounts receivable -- Report -- Adjustment) and 1998 c 176 s 15;
(14) RCW 82.36.045 (Licensees, persons acting as licensees -- Tax
reports -- Deficiencies, failure to file, fraudulent filings,
misappropriation, or conversion -- Penalties, liability -- Mitigation -- Reassessment petition, hearing -- Notice) and 2007 c 515 s 9, 1998 c 176
s 16, 1996 c 104 s 2, & 1991 c 339 s 1;
(15) RCW 82.36.047 (Assessments -- Warrant -- Lien -- Filing fee -- Writs
of execution and garnishment) and 2001 c 146 s 13, 1998 c 176 s 17, &
1991 c 339 s 4;
(16) RCW 82.36.050 (Date of mailing deemed date of filing or
receipt -- Timely mailing bars penalties and tolls statutory time
limitations) and 1961 c 15 s 82.36.050;
(17) RCW 82.36.060 (Application for license -- Federal certificate of
registry -- Investigation -- Fee--Penalty for false statement -- Bond or
security -- Cancellation) and 2007 c 515 s 10, 2001 c 270 s 5, 1998 c 176
s 18, 1996 c 104 s 3, 1994 c 262 s 19, 1973 c 96 s 1, & 1961 c 15 s
82.36.060;
(18) RCW 82.36.070 (Issuance of license -- Display -- Refusal of
issuance--Inspection of records) and 1998 c 176 s 19, 1998 c 115 s 2,
1996 c 104 s 4, 1994 c 262 s 20, 1973 c 96 s 2, 1965 ex.s. c 79 s 3, &
1961 c 15 s 82.36.070;
(19) RCW 82.36.075 (Reports by persons other than licensees -- Department requirements -- Forms) and 1998 c 176 s 29;
(20) RCW 82.36.080 (Penalty for acting without license -- Separate
licenses for separate activities -- Default assessment) and 2007 c 515 s
11, 1998 c 176 s 20, & 1961 c 15 s 82.36.080;
(21) RCW 82.36.090 (Discontinuance, sale, or transfer of business -- Notice -- Payment of taxes, interest, penalties -- Overpayment refunds) and
1998 c 176 s 21, 1967 c 153 s 2, 1965 ex.s. c 79 s 4, & 1961 c 15 s
82.36.090;
(22) RCW 82.36.095 (Bankruptcy proceedings -- Notice) and 1997 c 183
s 7;
(23) RCW 82.36.100 (Tax required of persons not classed as
licensees -- Duties -- Procedure -- Distribution of proceeds -- Penalties -- Enforcement) and 1998 c 176 s 22, 1983 1st ex.s. c 49 s 28, 1977 ex.s.
c 317 s 3, 1967 ex.s. c 83 s 3, 1961 ex.s. c 7 s 2, & 1961 c 15 s
82.36.100;
(24) RCW 82.36.110 (Delinquency -- Lien of tax -- Notice) and 1993 c 54
s 3 & 1961 c 15 s 82.36.110;
(25) RCW 82.36.120 (Delinquency -- Notice to debtors -- Transfer or
disposition of property, credits, or debts prohibited -- Lien -- Answer)
and 1998 c 176 s 23, 1994 c 262 s 21, 1991 c 339 s 3, & 1961 c 15 s
82.36.120;
(26) RCW 82.36.130 (Delinquency -- Tax warrant) and 2000 c 103 s 14;
(27) RCW 82.36.140 (State may pursue remedy against licensee or
bond) and 1998 c 176 s 25 & 1961 c 15 s 82.36.140;
(28) RCW 82.36.150 (Records to be kept by licensees -- Inventory -- Statement) and 1998 c 176 s 26, 1965 ex.s. c 79 s 5, & 1961 c 15 s
82.36.150;
(29) RCW 82.36.160 (Records to be preserved by licensees) and 2007
c 515 s 12, 1998 c 176 s 27, 1996 c 104 s 5, & 1961 c 15 s 82.36.160;
(30) RCW 82.36.170 (Additional reports -- Filing) and 1998 c 176 s 28
& 1961 c 15 s 82.36.170;
(31) RCW 82.36.180 (Examinations and investigations) and 2007 c 515
s 13, 1998 c 176 s 30, 1967 ex.s. c 89 s 6, 1965 ex.s. c 79 s 6, & 1961
c 15 s 82.36.180;
(32) RCW 82.36.190 (Suspension, revocation, cancellation of
licenses -- Notice) and 1998 c 176 s 31, 1990 c 250 s 80, & 1961 c 15 s
82.36.190;
(33) RCW 82.36.200 (Carriers of motor vehicle fuel -- Examination of
records, stocks, etc.) and 1998 c 176 s 32, 1965 ex.s. c 79 s 7, & 1961
c 15 s 82.36.200;
(34) RCW 82.36.210 (Carriers of motor vehicle fuel -- Invoice, bill
of sale, etc., required -- Inspections) and 1998 c 176 s 33, 1965 ex.s.
c 79 s 8, 1961 ex.s. c 21 s 30, & 1961 c 15 s 82.36.210;
(35) RCW 82.36.230 (Exemptions -- Imports, exports, federal sales -- Invoice -- Certificate -- Reporting) and 1998 c 176 s 34, 1993 c 54 s 4,
1989 c 193 s 1, 1971 ex.s. c 156 s 2, 1967 c 153 s 3, 1965 ex.s. c 79
s 9, & 1961 c 15 s 82.36.230;
(36) RCW 82.36.240 (Sales to state or political subdivisions not
exempt) and 1961 c 15 s 82.36.240;
(37) RCW 82.36.245 (Exemption -- Sales to foreign diplomatic and
consular missions) and 1989 c 193 s 2;
(38) RCW 82.36.247 (Exemption -- Racing fuel) and 2007 c 515 s 14;
(39) RCW 82.36.250 (Nongovernmental use of fuels, etc., acquired
from United States government -- Tax -- Unlawful to procure or use) and
1961 c 15 s 82.36.250;
(40) RCW 82.36.260 (Extension of time for filing exportation
certificates or claiming exemptions) and 1965 ex.s. c 79 s 11 & 1961 c
15 s 82.36.260;
(41) RCW 82.36.270 (Refund permit) and 1977 c 28 s 2, 1973 c 96 s
3, 1967 c 153 s 4, & 1961 c 15 s 82.36.270;
(42) RCW 82.36.275 (Refunds for urban transportation systems) and
1969 ex.s. c 281 s 27, 1967 c 86 s 1, 1965 c 135 s 1, 1963 c 187 s 1,
1961 c 117 s 1, & 1961 c 15 s 82.36.275;
(43) RCW 82.36.280 (Refunds for nonhighway use of fuel) and 2010 c
161 s 906, 1998 c 176 s 36, 1993 c 141 s 1, 1985 c 371 s 5, 1980 c 131
s 5, 1972 ex.s. c 138 s 1, 1971 ex.s. c 36 s 1, 1969 ex.s. c 281 s 23,
& 1961 c 15 s 82.36.280;
(44) RCW 82.36.285 (Refunds for transit services to persons with
special transportation needs by nonprofit transportation providers) and
1996 c 244 s 5 & 1983 c 108 s 3;
(45) RCW 82.36.290 (Refunds for use in manufacturing, cleaning,
dyeing) and 1961 c 15 s 82.36.290;
(46) RCW 82.36.300 (Refunds on exported fuel) and 1998 c 176 s 37,
1963 ex.s. c 22 s 21, & 1961 c 15 s 82.36.300;
(47) RCW 82.36.310 (Claim of refund) and 1998 c 176 s 38, 1998 c
115 s 3, 1995 c 318 s 3, 1965 ex.s. c 79 s 13, & 1961 c 15 s 82.36.310;
(48) RCW 82.36.320 (Information may be required) and 2007 c 515 s
15 & 1961 c 15 s 82.36.320;
(49) RCW 82.36.330 (Payment of refunds -- Interest -- Penalty) and 2003
c 53 s 401, 1998 c 176 s 39, 1971 ex.s. c 180 s 9, 1965 ex.s. c 79 s
14, & 1961 c 15 s 82.36.330;
(50) RCW 82.36.335 (Credits on tax in lieu of collection and
refund) and 1998 c 176 s 40, 1997 c 183 s 8, & 1961 c 15 s 82.36.335;
(51) RCW 82.36.340 (Examination of books and records) and 2007 c
515 s 16 & 1961 c 15 s 82.36.340;
(52) RCW 82.36.350 (Fraudulent invoices -- Penalty) and 1998 c 176 s
41 & 1961 c 15 s 82.36.350;
(53) RCW 82.36.370 (Refunds for fuel lost or destroyed through
fire, flood, leakage, etc.) and 2007 c 515 s 17, 1998 c 176 s 42, 1967
c 153 s 5, 1965 ex.s. c 79 s 15, & 1961 c 15 s 82.36.370;
(54) RCW 82.36.375 (Time limitation on erroneous payment credits or
refunds and notices of additional tax) and 1998 c 176 s 44 & 1965 ex.s.
c 79 s 16;
(55) RCW 82.36.380 (Violations -- Penalties) and 2007 c 515 s 18,
2003 c 358 s 13, 2000 2nd sp.s. c 4 s 9, 1995 c 287 s 2, & 1961 c 15 s
82.36.380;
(56) RCW 82.36.390 (Diversion of export fuel -- Penalty) and 1998 c
176 s 45, 1996 c 104 s 6, & 1961 c 15 s 82.36.390;
(57) RCW 82.36.400 (Other offenses -- Penalties) and 2011 c 96 s 57,
2003 c 53 s 402, 1998 c 176 s 46, 1971 ex.s. c 156 s 3, 1967 c 153 s 6,
& 1961 c 15 s 82.36.400;
(58) RCW 82.36.410 (Revenue to motor vehicle fund) and 1973 c 95 s
5 & 1961 c 15 s 82.36.410;
(59) RCW 82.36.415 (Refund to aeronautics account) and 1987 c 220
s 4;
(60) RCW 82.36.420 (Disposition of fees, fines, penalties) and 1987
c 202 s 245, 1969 ex.s. c 199 s 40, & 1961 c 15 s 82.36.420;
(61) RCW 82.36.430 (Enforcement) and 1961 c 15 s 82.36.430;
(62) RCW 82.36.435 (Enforcement and administration -- Rule-making
authority) and 1981 c 342 s 5;
(63) RCW 82.36.440 (State preempts tax field) and 2010 c 106 s 230,
2003 c 350 s 5, 1991 c 173 s 4, 1990 c 42 s 204, 1979 ex.s. c 181 s 5,
& 1961 c 15 s 82.36.440;
(64) RCW 82.36.450 (Agreement with tribe for fuel taxes) and 2007
c 515 s 19 & 1995 c 320 s 2;
(65) RCW 82.36.460 (Motor vehicle fuel tax cooperative agreement)
and 1998 c 176 s 49;
(66) RCW 82.36.470 (Fuel tax evasion -- Seizure and forfeiture) and
2003 c 358 s 1;
(67) RCW 82.36.475 (Fuel tax evasion -- Forfeiture procedure) and
2003 c 358 s 2;
(68) RCW 82.36.480 (Fuel tax evasion -- Forfeited property) and 2003
c 358 s 3;
(69) RCW 82.36.485 (Fuel tax evasion -- Return of seized property)
and 2003 c 358 s 4;
(70) RCW 82.36.490 (Fuel tax evasion -- Search and seizure) and 2003
c 358 s 5;
(71) RCW 82.36.495 (Fuel tax evasion -- Rules) and 2003 c 358 s 6;
(72) RCW 82.36.800 (Rules -- 1998 c 176) and 1998 c 176 s 87;
(73) RCW 82.36.900 (Findings -- 1998 c 176) and 1998 c 176 s 1;
(74) RCW 82.36.901 (Effective date -- 1998 c 176) and 1998 c 176 s
91;
(75) RCW 82.38.045 (Liability of terminal operator for remittance)
and 2005 c 314 s 108 & 1998 c 176 s 54;
(76) RCW 82.38.047 (Liability of terminal operator for taxes when
documentation incorrectly indicates internal revenue service
compliance) and 2003 c 361 s 406 & 1998 c 176 s 55;
(77) RCW 82.38.130 (Revocation, suspension, cancellation, and
surrender of license -- Notice -- Bond release, discharge -- New or
additional bond or surety) and 2007 c 515 s 26, 1998 c 176 s 65, 1994
c 262 s 24, 1979 c 40 s 9, 1977 c 26 s 2, & 1971 ex.s. c 175 s 14;
(78) RCW 82.38.240 (Delinquency -- Collection by civil action -- Certificate) and 1998 c 176 s 79 & 1971 ex.s. c 175 s 25;
(79) RCW 82.38.250 (Remedies cumulative) and 1971 ex.s. c 175 s 26;
(80) RCW 82.38.265 (Administration, collection, and enforcement of
taxes pursuant to chapter 82.41 RCW) and 1982 c 161 s 14;
(81) RCW 82.38.350 (Fuel tax cooperative agreement) and 1998 c 176
s 88;
(82) RCW 82.41.060 (Credits -- Refunds) and 1982 c 161 s 6;
(83) RCW 82.42.050 (Failure of distributor to file report or
statement -- Determination by director of amount sold, delivered or
used -- Basis for tax assessment -- Penalty -- Records public) and 1969 ex.s.
c 254 s 4 & 1967 ex.s. c 10 s 5;
(84) RCW 82.42.060 (Payment of tax -- Penalty for delinquency -- Enforcement of collection -- Provisions of RCW 82.36.040, 82.36.070,
82.36.110 through 82.36.140 made applicable) and 1997 c 183 s 12, 1996
c 104 s 15, 1969 ex.s. c 254 s 5, 1969 c 139 s 4, & 1967 ex.s. c 10 s
6;
(85) RCW 82.42.070 (Imports, exports, sales to United States
government exempted -- Procedure -- Sales to state or political
subdivisions not exempt -- Refund procedures) and 1982 1st ex.s. c 25 s
6, 1971 ex.s. c 156 s 4, & 1967 ex.s. c 10 s 7;
(86) RCW 82.42.080 (Violations -- Penalty) and 1996 c 104 s 16, 1982
1st ex.s. c 25 s 7, & 1967 ex.s. c 10 s 8; and
(87) RCW 82.42.120 (Mitigation of assessments) and 1991 c 339 s 8.
Sec. 601 RCW 19.112.110 and 2009 c 132 s 2 are each amended to
read as follows:
(1) Special fuel licensees under chapter 82.38 RCW, ((other than
international fuel tax agreement licensees, dyed special fuel users,
and special fuel distributors, shall)) as determined by the department
of licensing, must provide evidence to the department of licensing that
at least two percent of the total annual diesel fuel sold in Washington
is biodiesel or renewable diesel fuel, following the earlier of: (a)
November 30, 2008; or (b) when a determination is made by the director,
published in the Washington State Register, that feedstock grown in
Washington state can satisfy a two-percent requirement.
(2) Special fuel licensees under chapter 82.38 RCW, ((other than
international fuel tax agreement licensees, dyed special fuel users,
and special fuel distributors, shall)) as determined by the department
of licensing, must provide evidence to the department of licensing that
at least five percent of total annual diesel fuel sold in Washington is
biodiesel or renewable diesel fuel, when the director determines, and
publishes this determination in the Washington State Register, that
both in-state oil seed crushing capacity and feedstock grown in
Washington state can satisfy a three-percent requirement.
(3) The requirements of subsections (1) and (2) of this section
((shall)) may take effect no sooner than one hundred eighty days after
the determination has been published in the Washington State Register.
(4) The director and the director of licensing ((shall)) must each
adopt rules, in coordination with each other, for enforcing and
carrying out the purposes of this section.
Sec. 602 RCW 19.112.120 and 2007 c 309 s 2 are each amended to
read as follows:
(1) By December 1, 2008, motor vehicle fuel licensees under chapter
((82.36)) 82.38 RCW, ((other than motor vehicle fuel distributors)) as
determined by the department of licensing, ((shall)) must provide
evidence to the department of licensing that at least two percent of
total gasoline sold in Washington, measured on a quarterly basis, is
denatured ethanol.
(2) If the director of ecology determines that ethanol content
greater than two percent of the total gasoline sold in Washington will
not jeopardize continued attainment of the federal clean air act's
national ambient air quality standard for ozone pollution in Washington
and the director of agriculture determines and publishes this
determination in the Washington State Register that sufficient raw
materials are available within Washington to support economical
production of ethanol at higher levels, the director of agriculture may
require by rule that licensees provide evidence to the department of
licensing that denatured ethanol comprises between two percent and at
least ten percent of total gasoline sold in Washington, measured on a
quarterly basis.
(3) The requirements of subsections (1) and (2) of this section may
take effect no sooner than one hundred eighty days after the
determination has been published in the Washington State Register.
(4) The director and the director of licensing must each adopt
rules, in coordination with each other, for enforcing and carrying out
the purposes of this section.
(5) Nothing in this section is intended to prohibit the production,
sale, or use of motor fuel for use in federally designated flexibly
fueled vehicles capable of using E85 motor fuel. Nothing in this
section is intended to limit the use of high octane gasoline not
blended with ethanol for use in aircraft.
Sec. 603 RCW 35A.81.010 and 1983 c 3 s 73 are each amended to
read as follows:
Motor vehicles owned and operated by any code city ((shall be)) are
exempt from the provisions of chapter 81.80 RCW, except where
specifically otherwise provided. Urban passenger transportation
systems ((shall)) must receive a refund of the amount of the motor
vehicle fuel tax paid on each gallon of motor vehicle fuel used in such
systems to the extent authorized by chapter ((82.36)) 82.38 RCW.
Notwithstanding any provision of the law to the contrary, every urban
passenger transportation system as defined in RCW 82.38.080 ((shall
be)) are exempt from the provisions of chapter 82.38 RCW which requires
the payment of use fuel taxes.
Sec. 604 RCW 36.70A.340 and 2011 c 120 s 2 are each amended to
read as follows:
Upon receipt from the board of a finding that a state agency,
county, or city is in noncompliance under RCW 36.70A.330, or as a
result of failure to meet the requirements of RCW 36.70A.210, the
governor may either:
(1) Notify and direct the director of the office of financial
management to revise allotments in appropriation levels;
(2) Notify and direct the state treasurer to withhold the portion
of revenues to which the county or city is entitled under one or more
of the following: The motor vehicle fuel tax, as provided in chapter
((82.36)) 82.38 RCW; the transportation improvement account, as
provided in RCW 47.26.084; the rural arterial trust account, as
provided in RCW 36.79.150; the sales and use tax, as provided in
chapter 82.14 RCW; the liquor profit tax, as provided in RCW 66.08.190;
and the liquor excise tax, as provided in RCW 82.08.170; or
(3) File a notice of noncompliance with the secretary of state and
the county or city, which ((shall)) temporarily rescinds the county or
city's authority to collect the real estate excise tax under RCW
82.46.030 until the governor files a notice rescinding the notice of
noncompliance.
Sec. 605 RCW 43.06.400 and 2011 1st sp.s. c 20 s 201 are each
amended to read as follows:
(1) Beginning in January 1984, and in January of every fourth year
thereafter, the department of revenue must submit to the legislature
prior to the regular session a listing of the amount of reduction for
the current and next biennium in the revenues of the state or the
revenues of local government collected by the state as a result of tax
exemptions. The listing must include an estimate of the revenue lost
from the tax exemption, the purpose of the tax exemption, the persons,
organizations, or parts of the population which benefit from the tax
exemption, and whether or not the tax exemption conflicts with another
state program. The listing must include but not be limited to the
following revenue sources:
(a) Real and personal property tax exemptions under Title 84 RCW;
(b) Business and occupation tax exemptions, deductions, and credits
under chapter 82.04 RCW;
(c) Retail sales and use tax exemptions under chapters 82.08,
82.12, and 82.14 RCW;
(d) Public utility tax exemptions and deductions under chapter
82.16 RCW;
(e) Food fish and shellfish tax exemptions under chapter 82.27 RCW;
(f) Leasehold excise tax exemptions under chapter 82.29A RCW;
(g) Motor vehicle and special fuel tax exemptions and refunds under
chapter((s 82.36 and)) 82.38 RCW;
(h) Aircraft fuel tax exemptions under chapter 82.42 RCW;
(i) Motor vehicle excise tax exclusions under chapter 82.44 RCW;
and
(j) Insurance premiums tax exemptions under chapter 48.14 RCW.
(2) The department of revenue must prepare the listing required by
this section with the assistance of any other agencies or departments
as may be required.
(3) The department of revenue must present the listing to the ways
and means committees of each house in public hearings.
(4) Beginning in January 1984, and every four years thereafter the
governor is requested to review the report from the department of
revenue and may submit recommendations to the legislature with respect
to the repeal or modification of any tax exemption. The ways and means
committees of each house and the appropriate standing committee of each
house must hold public hearings and take appropriate action on the
recommendations submitted by the governor.
(5) As used in this section, "tax exemption" means an exemption,
exclusion, or deduction from the base of a tax; a credit against a tax;
a deferral of a tax; or a preferential tax rate.
(6) For purposes of the listing due in January 2012, the department
of revenue does not have to prepare or update the listing with respect
to any tax exemption that would not be likely to increase state revenue
if the exemption was repealed or otherwise eliminated.
Sec. 606 RCW 46.01.040 and 2011 c 171 s 10 are each amended to
read as follows:
The department is vested with all powers, functions, and duties
with respect to and including the following:
(1) The ((motor vehicle fuel excise tax as provided in chapter
82.36)) fuel tax and aircraft fuel tax as provided in chapters 82.38
and 82.42 RCW;
(2) ((The special fuel tax as provided in chapter 82.38 RCW;)) The motor vehicle excise tax as provided in chapter 82.44
RCW;
(3)
(((4))) (3) The travel trailers and campers excise tax as provided
in chapter 82.50 RCW;
(((5))) (4) All general powers and duties relating to motor
vehicles as provided in chapter 46.08 RCW;
(((6))) (5) Certificates of title and registration certificates as
provided in chapters 46.12 and 46.16A RCW;
(((7))) (6) The registration of motor vehicles as provided in
chapter 46.16A RCW;
(((8))) (7) Dealers' licenses as provided in chapter 46.70 RCW;
(((9))) (8) The licensing of motor vehicle transporters as provided
in chapter 46.76 RCW;
(((10))) (9) The licensing of vehicle wreckers as provided in
chapter 46.80 RCW;
(((11))) (10) The administration of the laws relating to reciprocal
or proportional registration of motor vehicles as provided in chapter
46.85 RCW;
(((12))) (11) The licensing of passenger vehicles for hire as
provided in chapter 46.72 RCW;
(((13))) (12) Drivers' licenses as provided in chapter 46.20 RCW;
(((14))) (13) Commercial driver training schools as provided in
chapter 46.82 RCW;
(((15))) (14) Financial responsibility as provided in chapter 46.29
RCW;
(((16))) (15) Accident reporting as provided in chapter 46.52 RCW;
(((17))) (16) Disposition of revenues as provided in chapter 46.68
RCW; and
(((18))) (17) The administration of all other laws relating to
motor vehicles vested in the director of licenses on June 30, 1965.
Sec. 607 RCW 46.09.310 and 2010 c 161 s 213 are each amended to
read as follows:
The definitions in this section apply throughout this chapter
unless the context clearly requires otherwise.
(1) "Advisory committee" means the nonhighway and off-road vehicle
activities advisory committee established in RCW 46.09.340.
(2) "Board" means the recreation and conservation funding board
established in RCW 79A.25.110.
(3) "Dealer" means a person, partnership, association, or
corporation engaged in the business of selling off-road vehicles at
wholesale or retail in this state.
(4) "Highway," for the purpose of this chapter only, means the
entire width between the boundary lines of every roadway publicly
maintained by the state department of transportation or any county or
city with funding from the motor vehicle fund. A highway is generally
capable of travel by a conventional two-wheel drive passenger
automobile during most of the year and in use by such vehicles.
(5) "Nonhighway road" means any road owned or managed by a public
agency or any private road for which the owner has granted an easement
for public use for which appropriations from the motor vehicle fund
were not used for (a) original construction or reconstruction in the
last twenty-five years; or (b) maintenance in the last four years.
(6) "Nonhighway road recreation facilities" means recreational
facilities that are adjacent to, or accessed by, a nonhighway road and
intended primarily for nonhighway road recreational users.
(7) "Nonhighway road recreational user" means a person whose
purpose for consuming fuel on a nonhighway road or off-road is
primarily for nonhighway road recreational purposes, including, but not
limited to, hunting, fishing, camping, sightseeing, wildlife viewing,
picnicking, driving for pleasure, kayaking/canoeing, and gathering
berries, firewood, mushrooms, and other natural products.
(8) "Nonhighway vehicle" means any motorized vehicle including an
ORV when used for recreational purposes on nonhighway roads, trails, or
a variety of other natural terrain.
Nonhighway vehicle does not include:
(a) Any vehicle designed primarily for travel on, over, or in the
water;
(b) Snowmobiles or any military vehicles; or
(c) Any vehicle eligible for a motor vehicle fuel tax exemption or
rebate under chapter ((82.36)) 82.38 RCW while an exemption or rebate
is claimed. This exemption includes but is not limited to farm,
construction, and logging vehicles.
(9) "Nonmotorized recreational facilities" means recreational
trails and facilities that are adjacent to, or accessed by, a
nonhighway road and intended primarily for nonmotorized recreational
users.
(10) "Nonmotorized recreational user" means a person whose purpose
for consuming fuel on a nonhighway road or off-road is primarily for
nonmotorized recreational purposes including, but not limited to,
walking, hiking, backpacking, climbing, cross-country skiing,
snowshoeing, mountain biking, horseback riding, and pack animal
activities.
(11) "Organized competitive event" means any competition,
advertised in advance through written notice to organized clubs or
published in local newspapers, sponsored by recognized clubs, and
conducted at a predetermined time and place.
(12) "ORV recreation facilities" include, but are not limited to,
ORV trails, trailheads, campgrounds, ORV sports parks, and ORV use
areas, designated for ORV use by the managing authority that are
intended primarily for ORV recreational users.
(13) "ORV recreational user" means a person whose purpose for
consuming fuel on nonhighway roads or off-road is primarily for ORV
recreational purposes, including but not limited to riding an all-terrain vehicle, motorcycling, or driving a four-wheel drive vehicle or
dune buggy.
(14) "ORV sports park" means a facility designed to accommodate
competitive ORV recreational uses including, but not limited to,
motocross racing, four-wheel drive competitions, and flat track racing.
Use of ORV sports parks can be competitive or noncompetitive in nature.
(15) "ORV trail" means a multiple-use corridor designated by the
managing authority and maintained for recreational use by motorized
vehicles.
Sec. 608 RCW 46.09.520 and 2010 1st sp.s. c 37 s 936 and 2010 c
161 s 222 are each reenacted and amended to read as follows:
(1) From time to time, but at least once each year, the state
treasurer ((shall)) must refund from the motor vehicle fund one percent
of the motor vehicle fuel tax revenues collected under chapter
((82.36)) 82.38 RCW, based on a tax rate of: (a) Nineteen cents per
gallon of motor vehicle fuel from July 1, 2003, through June 30, 2005;
(b) twenty cents per gallon of motor vehicle fuel from July 1, 2005,
through June 30, 2007; (c) twenty-one cents per gallon of motor vehicle
fuel from July 1, 2007, through June 30, 2009; (d) twenty-two cents per
gallon of motor vehicle fuel from July 1, 2009, through June 30, 2011;
and (e) twenty-three cents per gallon of motor vehicle fuel beginning
July 1, 2011, and thereafter, less proper deductions for refunds and
costs of collection as provided in RCW 46.68.090.
(2) The treasurer ((shall)) must place these funds in the general
fund as follows:
(a) Thirty-six percent ((shall)) must be credited to the ORV and
nonhighway vehicle account and administered by the department of
natural resources solely for acquisition, planning, development,
maintenance, and management of ORV, nonmotorized, and nonhighway road
recreation facilities, and information programs and maintenance of
nonhighway roads;
(b) Three and one-half percent ((shall)) must be credited to the
ORV and nonhighway vehicle account and administered by the department
of fish and wildlife solely for the acquisition, planning, development,
maintenance, and management of ORV, nonmotorized, and nonhighway road
recreation facilities and the maintenance of nonhighway roads;
(c) Two percent ((shall)) must be credited to the ORV and
nonhighway vehicle account and administered by the parks and recreation
commission solely for the acquisition, planning, development,
maintenance, and management of ORV, nonmotorized, and nonhighway road
recreation facilities; and
(d) Fifty-eight and one-half percent ((shall)) must be credited to
the nonhighway and off-road vehicle activities program account to be
administered by the board for planning, acquisition, development,
maintenance, and management of ORV, nonmotorized, and nonhighway road
recreation facilities and for education, information, and law
enforcement programs. The funds under this subsection ((shall)) must
be expended in accordance with the following limitations:
(i) Not more than thirty percent may be expended for education,
information, and law enforcement programs under this chapter;
(ii) Not less than seventy percent may be expended for ORV,
nonmotorized, and nonhighway road recreation facilities. Except as
provided in (d)(iii) of this subsection, of this amount:
(A) Not less than thirty percent, together with the funds the board
receives under RCW 46.68.045, may be expended for ORV recreation
facilities;
(B) Not less than thirty percent may be expended for nonmotorized
recreation facilities. Funds expended under this subsection
(2)(d)(ii)(B) ((shall be)) are known as ira spring outdoor recreation
facilities funds; and
(C) Not less than thirty percent may be expended for nonhighway
road recreation facilities;
(iii) The board may waive the minimum percentage cited in (d)(ii)
of this subsection due to insufficient requests for funds or projects
that score low in the board's project evaluation. Funds remaining
after such a waiver must be allocated in accordance with board policy.
(3) On a yearly basis an agency may not, except as provided in RCW
46.68.045, expend more than ten percent of the funds it receives under
this chapter for general administration expenses incurred in carrying
out this chapter.
(4) During the 2009-2011 fiscal biennium, the legislature may
appropriate such amounts as reflect the excess fund balance in the NOVA
account to the department of natural resources to install consistent
off-road vehicle signage at department-managed recreation sites, and to
implement the recreation opportunities on department-managed lands in
the Reiter block and Ahtanum state forest, and to the state parks and
recreation commission. The legislature finds that the appropriation of
funds from the NOVA account during the 2009-2011 fiscal biennium for
maintenance and operation of state parks or to improve accessibility
for boaters and off-road vehicle users at state parks will benefit
boaters and off-road vehicle users and others who use nonhighway and
nonmotorized recreational facilities. The appropriations under this
subsection are not required to follow the specific distribution
specified in subsection (2) of this section.
Sec. 609 RCW 46.87.080 and 2011 c 171 s 97 are each amended to
read as follows:
(1) Upon making satisfactory application and payment of applicable
fees and taxes for proportional registration under this chapter, the
department ((shall)) must issue a cab card and validation tab for each
vehicle, and to vehicles of Washington-based fleets, two distinctive
apportionable license plates for each motor vehicle. License plates
((shall)) must be displayed on vehicles as required by RCW
46.16A.200(5). The number and plate ((shall)) must be of a design,
size, and color determined by the department. The plates ((shall))
must be treated with reflectorized material and clearly marked with the
words "WASHINGTON" and "APPORTIONED," both words to appear in full and
without abbreviation.
(2) The cab card serves as the certificate of registration for a
proportionally registered vehicle. The face of the cab card ((shall))
must contain the name and address of the registrant as contained in the
records of the department, the license plate number assigned to the
vehicle by the base jurisdiction, the vehicle identification number,
and such other description of the vehicle and data as the department
may require. The cab card ((shall)) must be signed by the registrant,
or a designated person if the registrant is a business firm, and
((shall)) must at all times be carried in or on the vehicle to which it
was issued.
(3) The apportioned license plates are not transferrable from
vehicle to vehicle unless otherwise determined by rule and ((shall))
may be used only on the vehicle to which they are assigned by the
department for as long as they are legible or until such time as the
department requires them to be removed and returned to the department.
(4) Distinctive validation tab(s) of a design, size, and color
determined by the department ((shall)) must be affixed to the
apportioned license plate(s) as prescribed by the department to
indicate the month, if necessary, and year for which the vehicle is
registered.
(5) Renewals ((shall be)) are effected by the issuance and display
of such tab(s) after making satisfactory application and payment of
applicable fees and taxes.
(6) Fleet vehicles so registered and identified ((shall be)) are
deemed to be fully licensed and registered in this state for any type
of movement or operation. However, in those instances in which a grant
of authority is required for interstate or intrastate movement or
operation, no such vehicle may be operated in interstate or intrastate
commerce in this state unless the owner has been granted interstate
operating authority in the case of interstate operations or intrastate
operating authority by the Washington utility and transportation
commission in the case of intrastate operations and unless the vehicle
is being operated in conformity with that authority.
(7) The department may issue temporary authorization permits (TAPs)
to qualifying operators for the operation of vehicles pending issuance
of license identification. A fee of one dollar plus a one dollar
filing fee ((shall)) must be collected for each permit issued. The
permit fee ((shall)) must be deposited in the motor vehicle fund, and
the filing fee ((shall)) must be deposited in the highway safety fund.
The department may adopt rules for use and issuance of the permits.
(8) The department may refuse to issue any license or permit
authorized by subsection (1) or (7) of this section to any person: (a)
Who formerly held any type of license or permit issued by the
department pursuant to chapter 46.16A, 46.85, 46.87, ((82.36,)) or
82.38 RCW that has been revoked for cause, which cause has not been
removed; or (b) who is a subterfuge for the real party in interest
whose license or permit issued by the department pursuant to chapter
46.16A, 46.85, 46.87, ((82.36,)) or 82.38 RCW and has been revoked for
cause, which cause has not been removed; or (c) who, as an individual
licensee, or officer, director, owner, or managing employee of a
nonindividual licensee, has had a license or permit issued by the
department pursuant to chapter 46.16A, 46.85, 46.87, ((82.36,)) or
82.38 RCW which has been revoked for cause, which cause has not been
removed; or (d) who has an unsatisfied debt to the state assessed under
either chapter 46.16A, 46.85, 46.87, ((82.36,)) 82.38, or 82.44 RCW.
(9) The department may revoke the license or permit authorized by
subsection (1) or (7) of this section issued to any person for any of
the grounds constituting cause for denial of licenses or permits set
forth in subsection (8) of this section.
(10) Before such refusal or revocation under subsection (8) or (9)
of this section, the department ((shall)) must grant the applicant a
hearing and at least ten days written notice of the time and place of
the hearing.
Sec. 610 RCW 47.02.070 and 1965 ex.s. c 167 s 7 are each amended
to read as follows:
Bonds issued under the provisions of this chapter ((shall)) must
distinctly state that they are not a general obligation of the state
but are payable in the manner provided in this chapter from the
proceeds of state excise taxes on motor vehicle fuels imposed by
chapter ((82.36 and chapter 82.40)) 82.38 RCW. The proceeds of such
excise taxes are hereby pledged to the payment of any bonds and the
interest thereon issued under the provisions of this chapter and the
legislature hereby agrees to continue to impose the same excise taxes
on motor vehicle fuels in amounts sufficient to pay, when due, the
principal and interest on all bonds issued under the provisions of this
chapter.
Sec. 611 RCW 47.02.160 and 1995 c 274 s 5 are each amended to
read as follows:
Bonds issued under the authority of RCW 47.02.120 through 47.02.190
((shall)) must distinctly state that they are a general obligation of
the state of Washington, ((shall)) must pledge the full faith and
credit of the state to the payment of the principal thereof and the
interest thereon, and ((shall)) must contain an unconditional promise
to pay such principal and interest as the same ((shall)) becomes due.
The principal and interest on the bonds ((shall)) must be first payable
in the manner provided in RCW 47.02.120 through 47.02.190 from the
proceeds of the state excise taxes on motor vehicle and special fuels
imposed by chapter((s 82.36 and)) 82.38 RCW. Proceeds of such excise
taxes are hereby pledged to the payment of any bonds and the interest
thereon issued under the authority of RCW 47.02.120 through 47.02.190,
and the legislature agrees to continue to impose these excise taxes on
motor vehicle and special fuels in amounts sufficient to pay, when due,
the principal and interest on all bonds issued under the authority of
RCW 47.02.120 through 47.02.190.
Sec. 612 RCW 47.10.040 and 1961 c 13 s 47.10.040 are each amended
to read as follows:
Bonds issued under the provisions of RCW 47.10.010 through
47.10.140 ((shall)) must distinctly state that they are not a general
obligation of the state, but are payable in the manner provided in RCW
47.10.010 through 47.10.140 from the proceeds of all state excise taxes
on motor vehicle fuels imposed by chapter ((82.36 RCW and RCW
82.36.020, 82.36.230, 82.36.250, and 82.36.400, as derived from chapter
58, Laws of 1933, as amended, and as last amended by chapter 220, Laws
of 1949; and chapter 82.40 RCW and RCW 82.40.020, as derived from
chapter 127, Laws of 1941, as amended, and as last amended by chapter
220, Laws of 1949)) 82.38 RCW. The proceeds of such excise taxes are
hereby pledged to the payment of any bonds and the interest thereon
issued under the provisions of RCW 47.10.010 through 47.10.140, and the
legislature hereby agrees to continue to impose the same excise taxes
on motor vehicle fuels in amounts sufficient to pay the principal and
interest on all bonds issued under the provisions of RCW 47.10.010
through 47.10.140 when due.
Sec. 613 RCW 47.10.180 and 1961 c 13 s 47.10.180 are each amended
to read as follows:
Bonds issued under the provisions of RCW 47.10.150 through
47.10.270 ((shall)) must distinctly state that they are not a general
obligation of the state, but are payable in the manner provided in RCW
47.10.150 through 47.10.270 from the proceeds of all state excise taxes
on motor vehicle fuels imposed by chapter ((82.36 RCW and RCW
82.36.020, 82.36.230, 82.36.250, and 82.36.400, as derived from chapter
58, Laws of 1933, as amended, and as last amended by chapter 220, Laws
of 1949; and chapter 82.40 RCW and RCW 82.40.020, as derived from
chapter 127, Laws of 1941, as amended, and as last amended by chapter
220, Laws of 1949)) 82.38 RCW. The proceeds of such excise taxes are
hereby pledged to the payment of any bonds and the interest thereon
issued under the provisions of RCW 47.10.150 through 47.10.270 and the
legislature hereby agrees to continue to impose the same excise taxes
on motor vehicle fuels in amounts sufficient to pay the principal and
interest on all bonds issued under the provisions of RCW 47.10.150
through 47.10.270 when due.
Sec. 614 RCW 47.10.310 and 1961 c 13 s 47.10.310 are each amended
to read as follows:
Bonds issued under the provisions of RCW 47.10.280 through
47.10.400 ((shall)) must distinctly state that they are not a general
obligation of the state, but are payable in the manner provided in RCW
47.10.280 through 47.10.400 from the proceeds of all state excise taxes
on motor vehicle fuels imposed by chapter ((82.36 RCW, and RCW
82.36.020, 82.36.230, 82.36.250 and 82.36.400; and chapter 82.40 RCW
and RCW 82.40.020)) 82.38 RCW. The proceeds of such excise taxes are
pledged to the payment of any bonds and the interest thereon issued
under the provisions of RCW 47.10.280 through 47.10.400. The
legislature agrees to continue to impose the same excise taxes on motor
fuels in amounts sufficient to pay the principal and interest on all
bonds issued under the provisions of RCW 47.10.280 through 47.10.400
when due.
Sec. 615 RCW 47.10.440 and 1961 c 13 s 47.10.440 are each amended
to read as follows:
Bonds issued under the provisions of RCW 47.10.410 through
47.10.500 ((shall)) must distinctly state that they are not a general
obligation of the state, but are payable in the manner provided in RCW
47.10.410 through 47.10.500 from the proceeds of all state excise taxes
on motor vehicle fuels imposed by chapter ((82.36 RCW and RCW
82.36.020, 82.36.230, 82.36.250, and 82.36.400, as derived from chapter
58, Laws of 1933, as amended, and as last amended by chapter 220, Laws
of 1949, and chapter 82.40 RCW and RCW 82.40.020, as derived from
chapter 127, Laws of 1941, as amended, and as last amended by chapter
220, Laws of 1949)) 82.38 RCW. The proceeds of such excise taxes are
hereby pledged to the payment of any bonds and the interest thereon
issued under the provisions of RCW 47.10.410 through 47.10.500 and the
legislature hereby agrees to continue to impose the same excise taxes
on motor vehicle fuels in amounts sufficient to pay the principal and
interest on all bonds issued under the provisions of RCW 47.10.410
through 47.10.500.
Sec. 616 RCW 47.10.714 and 1961 c 13 s 47.10.714 are each amended
to read as follows:
Bonds issued under the provisions of RCW 47.10.700 through
47.10.724 ((shall)) must distinctly state that they are not a general
obligation of the state, but are payable in the manner provided in RCW
47.10.700 through 47.10.724 from the proceeds of state excise taxes on
motor vehicle fuels imposed by chapter ((82.36 RCW and RCW 82.36.020,
82.36.230, 82.36.250 and 82.36.400, as derived from chapter 58, Laws of
1933, as amended, and as last amended by chapter 220, Laws of 1949; and
chapter 82.40 RCW and RCW 82.40.020, as derived from chapter 127, Laws
of 1941, as amended, and as last amended by chapter 220, Laws of 1949))
82.38 RCW. The proceeds of such excise taxes are hereby pledged to the
payment of any bonds and the interest thereon issued under the
provisions of RCW 47.10.700 through 47.10.724, and the legislature
hereby agrees to continue to impose the same excise taxes on motor
vehicle fuels in amounts sufficient to pay, when due, the principal and
interest on all bonds issued under the provisions of RCW 47.10.700
through 47.10.724.
Sec. 617 RCW 47.10.729 and 1965 c 121 s 4 are each amended to
read as follows:
Bonds issued under the provisions of RCW 47.10.726 through
47.10.738 ((shall)) must distinctly state that they are not a general
obligation of the state, but are payable in the manner provided in RCW
47.10.726 through 47.10.738 from the proceeds of all state excise taxes
on motor vehicle fuels imposed by chapter ((82.36 RCW and chapter
82.40)) 82.38 RCW. The proceeds of such excise taxes are pledged to
the payment of any bonds and the interest thereon issued under the
provisions of RCW 47.10.726 through 47.10.738. The legislature agrees
to continue to impose the same excise taxes on motor fuels in amounts
sufficient to pay the principal and interest on all bonds issued under
the provisions of RCW 47.10.726 through 47.10.738 when due.
Sec. 618 RCW 47.10.756 and 1967 ex.s. c 7 s 8 are each amended to
read as follows:
Bonds issued under the provisions of RCW 47.10.751 through
47.10.760 ((shall)) must distinctly state that they are not a general
obligation of the state, but are payable in the manner provided in RCW
47.10.751 through 47.10.760 from the proceeds of state excise taxes on
motor vehicle fuels imposed by chapter ((82.36 RCW and chapter 82.40))
82.38 RCW. The proceeds of such excise taxes are hereby pledged to the
payment of any bonds and the interest thereon issued under the
provisions of RCW 47.10.751 through 47.10.760, and the legislature
hereby agrees to continue to impose the same excise taxes on motor
vehicle fuels in amounts sufficient to pay, when due, the principal and
interest on all bonds issued under the provisions of RCW 47.10.751
through 47.10.760.
Sec. 619 RCW 47.10.766 and 1967 ex.s. c 7 s 18 are each amended
to read as follows:
Bonds issued under the provisions of RCW 47.10.761 through
47.10.771 ((shall)) must distinctly state that they are not a general
obligation of the state, but are payable in the manner provided in RCW
47.10.761 through 47.10.771 from the proceeds of state excise taxes on
motor vehicle fuels imposed by chapter ((82.36 RCW and chapter 82.40))
82.38 RCW. The proceeds of such excise taxes are hereby pledged to the
payment of any bonds and the interest thereon issued under the
provisions of RCW 47.10.761 through 47.10.771, and the legislature
hereby agrees to continue to impose the same excise taxes on motor
vehicle fuels in amounts sufficient to pay, when due, the principal and
interest on all bonds issued under the provisions of RCW 47.10.761
through 47.10.771.
Sec. 620 RCW 47.10.793 and 1995 c 274 s 6 are each amended to
read as follows:
Bonds issued under the provisions of RCW 47.10.790 ((shall)) must
distinctly state that they are a general obligation of the state of
Washington, ((shall)) must pledge the full faith and credit of the
state to the payment of the principal thereof and the interest thereon,
and ((shall)) must contain an unconditional promise to pay such
principal and interest as the same ((shall)) becomes due. The
principal of and interest on such bonds ((shall)) must be first payable
in the manner provided in RCW 47.10.790 through 47.10.798 from the
proceeds of the state excise taxes on motor vehicle and special fuels
imposed by chapter((s 82.36 and)) 82.38 RCW. Proceeds of such excise
taxes are hereby pledged to the payment of any bonds and the interest
thereon issued under the provisions of RCW 47.10.790 through 47.10.798,
and the legislature hereby agrees to continue to impose the same excise
taxes on motor vehicle and special fuels in amounts sufficient to pay,
when due, the principal and interest on all bonds issued under the
provisions of RCW 47.10.790 through 47.10.798.
Sec. 621 RCW 47.10.804 and 1995 c 274 s 7 are each amended to
read as follows:
Bonds issued under RCW 47.10.801 ((shall)) must distinctly state
that they are a general obligation of the state of Washington,
((shall)) must pledge the full faith and credit of the state to the
payment of the principal thereof and the interest thereon, and
((shall)) must contain an unconditional promise to pay such principal
and interest as the same ((shall)) becomes due. The principal of and
interest on such bonds ((shall)) must be first payable in the manner
provided in RCW 47.10.801 through 47.10.809 from the proceeds of the
state excise taxes on motor vehicle and special fuels imposed by
chapter((s 82.36 and)) 82.38 RCW. Proceeds of such excise taxes are
hereby pledged to the payment of any bonds and the interest thereon
issued under RCW 47.10.801 through 47.10.809, and the legislature
hereby agrees to continue to impose these excise taxes on motor vehicle
and special fuels in amounts sufficient to pay, when due, the principal
and interest on all bonds issued under RCW 47.10.801 through 47.10.809.
Sec. 622 RCW 47.10.815 and 1995 c 274 s 8 are each amended to
read as follows:
Bonds issued under the authority of RCW 47.10.812 through 47.10.817
((shall)) must distinctly state that they are a general obligation of
the state of Washington, ((shall)) must pledge the full faith and
credit of the state to the payment of the principal thereof and the
interest thereon, and ((shall)) must contain an unconditional promise
to pay such principal and interest as the same ((shall)) becomes due.
The principal and interest on the bonds ((shall)) must be first payable
in the manner provided in RCW 47.10.812 through 47.10.817 from the
proceeds of the state excise taxes on motor vehicle and special fuels
imposed by chapter((s 82.36 and)) 82.38 RCW. Proceeds of such excise
taxes are hereby pledged to the payment of any bonds and the interest
thereon issued under the authority of RCW 47.10.812 through 47.10.817,
and the legislature agrees to continue to impose these excise taxes on
motor vehicle and special fuels in amounts sufficient to pay, when due,
the principal and interest on all bonds issued under the authority of
RCW 47.10.812 through 47.10.817.
Sec. 623 RCW 47.10.822 and 1995 c 274 s 9 are each amended to
read as follows:
Bonds issued under the authority of RCW 47.10.819 through 47.10.824
((shall)) must distinctly state that they are a general obligation of
the state of Washington, ((shall)) must pledge the full faith and
credit of the state to the payment of the principal thereof and the
interest thereon, and ((shall)) must contain an unconditional promise
to pay such principal and interest as the same ((shall)) becomes due.
The principal and interest on the bonds ((shall)) must be first payable
in the manner provided in RCW 47.10.819 through 47.10.824 from the
proceeds of the state excise taxes on motor vehicle and special fuels
imposed by chapter((s 82.36 and)) 82.38 RCW. Proceeds of such excise
taxes are hereby pledged to the payment of any bonds and the interest
thereon issued under the authority of RCW 47.10.819 through 47.10.824,
and the legislature agrees to continue to impose these excise taxes on
motor vehicle and special fuels in amounts sufficient to pay, when due,
the principal and interest on all bonds issued under the authority of
RCW 47.10.819 through 47.10.824.
Sec. 624 RCW 47.10.838 and 1995 2nd sp.s. c 15 s 5 are each
amended to read as follows:
(1) Bonds issued under the authority of RCW 47.10.834 through
47.10.841 ((shall)) must distinctly state that they are a general
obligation of the state of Washington, ((shall)) must pledge the full
faith and credit of the state to the payment of the principal thereof
and the interest thereon, and ((shall)) must contain an unconditional
promise to pay such principal and interest as the same ((shall))
becomes due.
(2) The principal and interest on the bonds issued for the purposes
enumerated in RCW 47.10.836 ((shall)) must be first payable in the
manner provided in RCW 47.10.834 through 47.10.841 from the proceeds of
the state excise taxes on motor vehicle and special fuels imposed by
chapter((s 82.36 and)) 82.38 RCW. Proceeds of those excise taxes are
pledged to the payment of any bonds and the interest thereon issued
under the authority of RCW 47.10.834 through 47.10.841, and the
legislature agrees to continue to impose these excise taxes on motor
vehicle and special fuels in amounts sufficient to pay, when due, the
principal and interest on all bonds issued under the authority of RCW
47.10.834 through 47.10.841.
Sec. 625 RCW 47.10.846 and 1998 c 321 s 19 are each amended to
read as follows:
Bonds issued under the authority of RCW 47.10.843 through 47.10.848
((shall)) must distinctly state that they are a general obligation of
the state of Washington, ((shall)) must pledge the full faith and
credit of the state to the payment of the principal thereof and the
interest thereon, and ((shall)) must contain an unconditional promise
to pay such principal and interest as the same ((shall)) becomes due.
The principal and interest on the bonds ((shall)) must be first payable
in the manner provided in RCW 47.10.843 through 47.10.848 from the
proceeds of the state excise taxes on motor vehicle and special fuels
imposed by chapter((s 82.36 and)) 82.38 RCW. Proceeds of such excise
taxes are hereby pledged to the payment of any bonds and the interest
thereon issued under the authority of RCW 47.10.843 through 47.10.848,
and the legislature agrees to continue to impose these excise taxes on
motor vehicle and special fuels in amounts sufficient to pay, when due,
the principal and interest on all bonds issued under the authority of
RCW 47.10.843 through 47.10.848.
Sec. 626 RCW 47.10.864 and 2003 c 147 s 4 are each amended to
read as follows:
Bonds issued under the authority of RCW 47.10.861 through 47.10.866
((shall)) must distinctly state that they are a general obligation of
the state of Washington, ((shall)) must pledge the full faith and
credit of the state to the payment of the principal thereof and the
interest thereon, and ((shall)) must contain an unconditional promise
to pay such principal and interest as the same ((shall)) becomes due.
The principal and interest on the bonds ((shall)) must be first payable
in the manner provided in RCW 47.10.861 through 47.10.866 from the
proceeds of the state excise taxes on motor vehicle and special fuels
imposed by chapter((s 82.36 and)) 82.38 RCW. Proceeds of these excise
taxes are hereby pledged to the payment of any bonds and the interest
thereon issued under the authority of RCW 47.10.861 through 47.10.866,
and the legislature agrees to continue to impose these excise taxes on
motor vehicle and special fuels in amounts sufficient to pay, when due,
the principal and interest on all bonds issued under the authority of
RCW 47.10.861 through 47.10.866.
Sec. 627 RCW 47.10.876 and 2005 c 315 s 4 are each amended to
read as follows:
Bonds issued under the authority of RCW 47.10.873 through 47.10.878
((shall)) must distinctly state that they are a general obligation of
the state of Washington, ((shall)) must pledge the full faith and
credit of the state to the payment of the principal thereof and the
interest thereon, and ((shall)) must contain an unconditional promise
to pay such principal and interest as the same ((shall)) becomes due.
The principal and interest on the bonds ((shall)) must be first payable
in the manner provided in RCW 47.10.873 through 47.10.878 from the
proceeds of the state excise taxes on motor vehicle and special fuels
imposed by chapter((s 82.36 and)) 82.38 RCW. Proceeds of these excise
taxes are hereby pledged to the payment of any bonds and the interest
thereon issued under the authority of RCW 47.10.873 through 47.10.878,
and the legislature agrees to continue to impose these excise taxes on
motor vehicle and special fuels in amounts sufficient to pay, when due,
the principal and interest on all bonds issued under the authority of
RCW 47.10.873 through 47.10.878.
Sec. 628 RCW 47.10.883 and 2009 c 498 s 12 are each amended to
read as follows:
Bonds issued under the authority of this section and RCW 47.10.879,
47.10.884, and 47.10.885 ((shall)) must distinctly state that they are
a general obligation of the state of Washington, ((shall)) must pledge
the full faith and credit of the state to the payment of the principal
thereof and the interest thereon, and ((shall)) must contain an
unconditional promise to pay such principal and interest as the same
((shall)) becomes due. The principal of and interest on the bonds
((shall)) must be first payable in the manner provided in this section
and RCW 47.10.879, 47.10.884, and 47.10.885 from toll revenue and then
from proceeds of excise taxes on motor vehicle and special fuels to the
extent toll revenue is not available for that purpose. Toll revenue
and the state excise taxes on motor vehicle and special fuels imposed
by chapter((s 82.36 and)) 82.38 RCW are hereby pledged to the payment
of any bonds and the interest thereon issued under the authority of
this section and RCW 47.10.879, 47.10.884, and 47.10.885, and the
legislature agrees to continue to impose these toll charges on the
state route number 520 corridor, and on any other eligible toll
facility designated by the legislature and on which the imposition of
tolls is authorized by the legislature in respect of the bonds, and
excise taxes on motor vehicle and special fuels in amounts sufficient
to pay, when due, the principal and interest on all bonds issued under
the authority of this section and RCW 47.10.879, 47.10.884, and
47.10.885.
Sec. 629 RCW 47.26.404 and 1973 1st ex.s. c 169 s 3 are each
amended to read as follows:
Bonds issued under the provisions of RCW 47.26.400 through
47.26.407 ((shall)) must distinctly state that they are a general
obligation of the state of Washington, ((shall)) must pledge the full
faith and credit of the state to the payment of the principal thereof
and the interest thereon and ((shall)) must contain an unconditional
promise to pay such principal and interest as the same ((shall))
becomes due. The principal of and interest on such bonds ((shall))
must be first payable in the manner provided in RCW 47.26.400 through
47.26.407 from the proceeds of state excise taxes on motor vehicle
fuels imposed by chapter ((82.36 RCW and chapter 82.40 RCW)) 82.38 RCW.
The proceeds of such excise taxes are hereby pledged to the payment of
any bonds and the interest thereon issued under the provisions of RCW
47.26.400 through 47.26.407, and the legislature hereby agrees to
continue to impose the same excise taxes on motor vehicle fuels in
amounts sufficient to pay, when due, the principal and interest on all
bonds issued under the provisions of RCW 47.26.400 through 47.26.407.
Sec. 630 RCW 47.26.424 and 1995 c 274 s 11 are each amended to
read as follows:
The first authorization bonds, series II bonds, and series III
bonds ((shall)) must distinctly state that they are a general
obligation of the state of Washington, ((shall)) must pledge the full
faith and credit of the state to the payment of the principal thereof
and the interest thereon, and ((shall)) must contain an unconditional
promise to pay such principal and interest as the same ((shall))
becomes due. The principal and interest on such bonds ((shall)) must
be first payable in the manner provided in RCW 47.26.420 through
47.26.427, 47.26.425, and 47.26.4254 from the proceeds of state excise
taxes on motor vehicle and special fuels imposed by chapter((s 82.36
and)) 82.38 RCW. The proceeds of such excise taxes are hereby pledged
to the payment of any such bonds and the interest thereon, and the
legislature hereby agrees to continue to impose the same excise taxes
on motor vehicle and special fuels in amounts sufficient to pay, when
due, the principal and interest on all such bonds.
Sec. 631 RCW 47.26.4252 and 2011 c 120 s 12 are each amended to
read as follows:
Any funds required to repay the authorization of series II bonds
authorized by RCW 47.26.420, as reenacted by section 3, chapter 5, Laws
of 1979, or the interest thereon when due, ((shall)) must first be
taken from that portion of the motor vehicle fund which results from
the imposition of excise taxes on motor vehicle and special fuels
imposed by chapter((s 82.36 and)) 82.38 RCW and which is distributed to
the transportation improvement account in the motor vehicle fund
pursuant to RCW 46.68.090(2)(e), subject, however, to the prior lien of
the first authorization of bonds authorized by RCW 47.26.420, as
reenacted by section 3, chapter 5, Laws of 1979. If the moneys
distributed to the transportation improvement account shall ever be
insufficient to repay the first authorization bonds together with
interest thereon, and the series II bonds or the interest thereon when
due, the amount required to make such payments on such bonds or
interest thereon ((shall)) must next be taken from that portion of the
motor vehicle fund which results from the imposition of excise taxes on
motor vehicle and special fuels and which is distributed to the state,
counties, cities, and towns pursuant to RCW 46.68.090. Any payments on
such bonds or interest thereon taken from motor vehicle or special fuel
tax revenues which are distributable to the state, counties, cities,
and towns, ((shall)) must be repaid from the first moneys distributed
to the transportation improvement account not required for redemption
of the first authorization bonds or series II and series III bonds or
interest on those bond issues.
Sec. 632 RCW 47.26.4254 and 2011 c 120 s 13 are each amended to
read as follows:
(1) Any funds required to repay series III bonds authorized by RCW
47.26.420, or the interest thereon, when due ((shall)) must first be
taken from that portion of the motor vehicle fund that results from the
imposition of excise taxes on motor vehicle and special fuels imposed
by chapter((s 82.36 and)) 82.38 RCW and that is distributed to the
transportation improvement account in the motor vehicle fund pursuant
to RCW 46.68.090(2)(e), subject, however, to the prior lien of the
first authorization of bonds authorized by RCW 47.26.420. If the
moneys so distributed to the transportation improvement account, after
first being applied to administrative expenses of the transportation
improvement board and to the requirements of bond retirement and
payment of interest on first authorization bonds and series II bonds as
provided in RCW 47.26.425 and 47.26.4252, are insufficient to meet the
requirements for bond retirement or interest on any series III bonds,
the amount required to make such payments on series III bonds or
interest thereon ((shall)) must next be taken from that portion of the
motor vehicle fund that results from the imposition of excise taxes on
motor vehicle and special fuels and that is distributed to the state,
counties, cities, and towns pursuant to RCW 46.68.090, subject,
however, to subsection (2) of this section.
(2) To the extent that moneys so distributed to the transportation
improvement account are insufficient to meet the requirements for bond
retirement or interest on any series III bonds, sixty percent of the
amount required to make such payments when due ((shall)) must first be
taken from that portion of the motor vehicle fund that results from the
imposition of excise taxes on motor vehicle and special fuels and that
is distributed to the state. The remaining forty percent ((shall))
must first be taken from that portion of the motor vehicle fund that
results from the imposition of excise taxes on motor vehicle and
special fuels and that is distributed to the cities and towns pursuant
to RCW 46.68.090(2)(g) and to the counties pursuant to RCW
46.68.090(2)(h). Of the counties', cities', and towns' share of any
additional amounts required in each fiscal year, the percentage thereof
to be taken from the counties' distributive share and from the cities'
and towns' distributive share ((shall)) must correspond to the
percentage of funds authorized for specific county projects and for
specific city and town projects, respectively, from the proceeds of
series III bonds, for the period through the first eleven months of the
prior fiscal year as determined by the chair of the transportation
improvement board and reported to the state finance committee and the
state treasurer not later than the first working day of June.
(3) Any payments on such bonds or interest thereon taken from motor
vehicle or special fuel tax revenues that are distributable to the
state, counties, cities, and towns ((shall)) must be repaid from the
first moneys distributed to the transportation improvement account not
required for redemption of the first authorization bonds, series II
bonds, or series III bonds or interest on these bonds.
Sec. 633 RCW 47.26.504 and 1995 c 274 s 14 are each amended to
read as follows:
Bonds issued under the provisions of RCW 47.26.500 through
47.26.507 ((shall)) must distinctly state that they are a general
obligation of the state of Washington, ((shall)) must pledge the full
faith and credit of the state to the payment of the principal thereof
and the interest thereon, and ((shall)) must contain an unconditional
promise to pay such principal and interest as the same ((shall))
becomes due. The principal and interest on such bonds ((shall)) must
be first payable in the manner provided in RCW 47.26.500 through
47.26.507 from the proceeds of state excise taxes on motor vehicle and
special fuels imposed by chapter((s 82.36 and)) 82.38 RCW. The
proceeds of such excise taxes are hereby pledged to the payment of any
such bonds and the interest thereon, and the legislature hereby agrees
to continue to impose the same excise taxes on motor vehicle and
special fuels in amounts sufficient to pay, when due, the principal and
interest on all such bonds.
Sec. 634 RCW 47.56.771 and 1999 c 269 s 14 are each amended to
read as follows:
(1) The refunding bonds authorized under RCW 47.56.770 ((shall))
must be general obligation bonds of the state of Washington and
((shall)) must be issued in a total principal amount not to exceed
fifteen million dollars. The exact amount of refunding bonds to be
issued ((shall)) must be determined by the state finance committee
after calculating the amount of money deposited with the trustee for
the bonds to be refunded which can be used to redeem or defease
outstanding toll bridge authority, ferry, and Hood Canal bridge revenue
bonds after the setting aside of sufficient money from that fund to pay
the first interest installment on the refunding bonds. The refunding
bonds ((shall)) must be serial in form maturing at such time, in such
amounts, having such denomination or denominations, redemption
privileges, and having such terms and conditions as determined by the
state finance committee. The last maturity date of the refunding bonds
((shall)) may not be later than January 1, 2002.
(2) The refunding bonds ((shall)) must be signed by the governor
and the state treasurer under the seal of the state, which signatures
((shall)) must be made manually or in printed facsimile. The bonds
((shall)) must be registered in the name of the owner in accordance
with chapter 39.46 RCW. The refunding bonds ((shall)) must distinctly
state that they are a general obligation of the state of Washington,
((shall)) must pledge the full faith and credit of the state, and
((shall)) must contain an unconditional promise to pay the principal
thereof and the interest thereon when due. The refunding bonds
((shall)) must be fully negotiable instruments.
(3) The principal and interest on the refunding bonds ((shall))
must be first payable in the manner provided in this section from the
proceeds of state excise taxes on ((motor vehicle and special)) fuels
imposed by chapter((s 82.36 and)) 82.38 RCW.
(4) The principal of and interest on the refunding bonds ((shall))
must be paid first from the state excise taxes on motor vehicle and
special fuels deposited in the ferry bond retirement fund. There is
hereby pledged the proceeds of state excise taxes on motor vehicle and
special fuels imposed under chapter((s 82.36 and)) 82.38 RCW to pay the
refunding bonds and interest thereon, and the legislature hereby agrees
to continue to impose the same excise taxes on motor vehicle and
special fuels in amounts sufficient to pay, when due, the principal and
interest on the refunding bonds. Not less than fifteen days prior to
the date any interest or principal and interest payments are due, the
state finance committee ((shall)) must certify to the state treasurer
such amount of additional money as may be required for debt service,
and the treasurer ((shall)) must thereupon transfer from the motor
vehicle fund such amount from the proceeds of such excise taxes into
the ferry bond retirement fund. Any proceeds of such excise taxes
required for these purposes ((shall)) must first be taken from that
portion of the motor vehicle fund which results from the imposition of
the excise taxes on motor vehicle and special fuels and which is
distributed to the Puget Sound capital construction account. If the
proceeds from excise taxes distributed to the state are ever
insufficient to meet the required payments on principal or interest on
the refunding bonds when due, the amount required to make the payments
on the principal or interest ((shall)) must next be taken from that
portion of the motor vehicle fund which results from the imposition of
excise taxes on motor vehicle and special fuels and which is
distributed to the state, counties, cities, and towns pursuant to RCW
46.68.090. Any payments of the principal or interest taken from the
motor vehicle or special fuel tax revenues which are distributable to
the counties, cities, and towns ((shall)) must be repaid from the first
money distributed to the state not required for redemption of the
refunding bonds or interest thereon. The legislature covenants that it
((shall)) will at all times provide sufficient revenues from the
imposition of such excise taxes to pay the principal and interest due
on the refunding bonds.
Sec. 635 RCW 47.60.580 and 1995 c 274 s 18 are each amended to
read as follows:
Bonds issued under the provisions of RCW 47.60.560 ((shall)) must
distinctly state that they are a general obligation of the state of
Washington, ((shall)) must pledge the full faith and credit of the
state to the payment of the principal thereof and the interest thereon,
and ((shall)) must contain an unconditional promise to pay such
principal and interest as the same ((shall)) becomes due. The
principal of and interest on such bonds ((shall)) must be first payable
in the manner provided in RCW 47.60.560 through 47.60.640 from the
proceeds of the state excise taxes on motor vehicle and special fuels
imposed by chapter((s 82.36 and)) 82.38 RCW. Proceeds of such excise
taxes are hereby pledged to the payment of any bonds and the interest
thereon issued under the provisions of RCW 47.60.560 through 47.60.640
and the legislature hereby agrees to continue to impose the same excise
taxes on motor vehicle and special fuels in amounts sufficient to pay,
when due, the principal and interest on all bonds issued under the
provisions of RCW 47.60.560 through 47.60.640.
Sec. 636 RCW 79A.25.010 and 2007 c 241 s 40 are each amended to
read as follows:
The definitions in this section apply throughout this chapter
unless the context clearly requires otherwise.
(1) "Marine recreation land" means any land with or without
improvements which (a) provides access to, or in whole or in part
borders on, fresh or salt water suitable for recreational use by
watercraft, or (b) may be used to create, add to, or make more usable,
bodies of water, waterways, or land, for recreational use by
watercraft.
(2) "Public body" means any county, city, town, port district, park
and recreation district, metropolitan park district, or other municipal
corporation which is authorized to acquire or improve public outdoor
recreation land, and ((shall)) also means Indian tribes now or
hereafter recognized as such by the federal government for
participation in the land and water conservation program.
(3) "Tax on marine fuel" means motor vehicle fuel tax which is (a)
tax on fuel used in, or sold or distributed for use in, any watercraft,
(b) refundable pursuant to chapter ((82.36)) 82.38 RCW, and (c) paid to
the director of licensing with respect to taxable sales, distributions,
or uses occurring on or after December 3, 1964.
(4) "Watercraft" means any boat, vessel, or other craft used for
navigation on or through water.
(5) "Board" means the recreation and conservation funding board.
(6) "Director" means the director of the recreation and
conservation office.
(7) "Office," "recreation and conservation office," or "the office
of recreation and conservation" means the state agency responsible for
administration of programs and activities of the recreation and
conservation funding board, the salmon recovery funding board, the
invasive species council, and such other duties or boards, councils, or
advisory groups as are or may be established or directed for
administrative placement in the agency.
(8) "Council" means the Washington invasive species council created
in RCW 79A.25.310.
Sec. 637 RCW 79A.25.040 and 2010 c 23 s 2 are each amended to
read as follows:
There is created the marine fuel tax refund account in the state
treasury. The director of licensing ((shall)) must request the state
treasurer to refund monthly from the motor vehicle fund an amount equal
to one percent of the motor vehicle fuel tax moneys collected during
that period. The state treasurer ((shall)) must refund such amounts
and place them in the marine fuel tax refund account to be held for
those entitled thereto pursuant to chapter ((82.36)) 82.38 RCW and RCW
79A.25.050, except that the treasurer may not refund and place in the
marine fuel tax refund account more than the greater of the following
amounts: (1) An amount equal to two percent of all moneys paid to the
treasurer as motor vehicle fuel tax for such period, (2) an amount
necessary to meet all approved claims for refund of tax on marine fuel
for such period.
Sec. 638 RCW 79A.25.050 and 1965 c 5 s 5 are each amended to read
as follows:
Claims submitted pursuant to chapter ((82.36)) 82.38 RCW for refund
of tax on marine fuel which has been placed in the marine fuel tax
refund account ((shall)) must, if approved, be paid from that account.
Sec. 639 RCW 82.04.4285 and 1998 c 176 s 3 are each amended to
read as follows:
In computing tax there may be deducted from the measure of tax so
much of the sale price of ((motor vehicle)) fuel as constitutes the
amount of tax imposed by the state under chapter((s 82.36 and)) 82.38
RCW or the United States government, under 26 U.S.C., Subtitle D,
chapters 31 and 32, upon the sale thereof.
Sec. 640 RCW 82.08.0255 and 2011 1st sp.s. c 16 s 4 are each
amended to read as follows:
(1) The tax levied by RCW 82.08.020 ((shall)) does not apply to
sales of motor vehicle and special fuel if:
(a) The fuel is purchased for the purpose of public transportation
and the purchaser is entitled to a refund or an exemption under RCW
((82.36.275 or 82.38.080(3))) 82.38.080(1) (f) and (g) or
82.38.180(3)(b); or
(b) The fuel is purchased by a private, nonprofit transportation
provider certified under chapter 81.66 RCW and the purchaser is
entitled to a refund or an exemption under RCW ((82.36.285 or
82.38.080(1)(h))) 82.38.080(1)(d) or 82.38.180(3)(a); or
(c) The fuel is purchased by a public transportation benefit area
created under chapter 36.57A RCW or a county-owned ferry or county
ferry district created under chapter 36.54 RCW for use in passenger-only ferry vessels; or
(d) The fuel is purchased by the Washington state ferry system for
use in a state-owned ferry after June 30, 2013; or
(e) The fuel is purchased by a county-owned ferry for use in ferry
vessels after June 30, 2013; or
(f) The fuel is taxable under chapter ((82.36 or)) 82.38 RCW.
(2) Any person who has paid the tax imposed by RCW 82.08.020 on the
sale of special fuel delivered in this state ((shall be)) is entitled
to a credit or refund of such tax with respect to fuel subsequently
established to have been actually transported and used outside this
state by persons engaged in interstate commerce. The tax ((shall))
must be claimed as a credit or refunded through the tax reports
required under RCW 82.38.150.
Sec. 641 RCW 82.80.010 and 2003 c 350 s 1 are each amended to
read as follows:
(1) For purposes of this section:
(a) "Distributor" means every person who imports, refines,
manufactures, produces, or compounds motor vehicle fuel and special
fuel as defined in RCW ((82.36.010 and)) 82.38.020, respectively, and
sells or distributes the fuel into a county;
(b) "Person" has the same meaning as in RCW 82.04.030.
(2) Subject to the conditions of this section, any county may levy,
by approval of its legislative body and a majority of the registered
voters of the county voting on the proposition at a general or special
election, additional excise taxes equal to ten percent of the statewide
motor vehicle fuel tax rate under RCW ((82.36.025)) 82.38.030 on each
gallon of motor vehicle fuel as defined in RCW ((82.36.010)) 82.38.020
and on each gallon of special fuel as defined in RCW 82.38.020 sold
within the boundaries of the county. Vehicles paying an annual license
fee under RCW 82.38.075 are exempt from the county fuel excise tax. An
election held under this section must be held not more than twelve
months before the date on which the proposed tax is to be levied. The
ballot setting forth the proposition ((shall)) must state the tax rate
that is proposed. The county's authority to levy additional excise
taxes under this section includes the incorporated and unincorporated
areas of the county. The additional excise taxes are subject to the
same exceptions and rights of refund as applicable to other motor
vehicle fuel and special fuel excise taxes levied under chapter((s
82.36 and)) 82.38 RCW. The proposed tax ((shall)) may not be levied
less than one month from the date the election results are certified by
the county election officer. The commencement date for the levy of any
tax under this section ((shall)) must be the first day of January,
April, July, or October.
(3) The local option motor vehicle fuel tax on each gallon of motor
vehicle fuel and on each gallon of special fuel is imposed upon the
distributor of the fuel.
(4) A taxable event for the purposes of this section occurs upon
the first distribution of the fuel within the boundaries of a county to
a retail outlet, bulk fuel user, or ultimate user of the fuel.
(5) All administrative provisions in chapters 82.01, 82.03, and
82.32 RCW, insofar as they are applicable, apply to local option fuel
taxes imposed under this section.
(6) Before the effective date of the imposition of the fuel taxes
under this section, a county ((shall)) must contract with the
department of revenue for the administration and collection of the
taxes. The contract must provide that a percentage amount, not to
exceed one percent of the taxes imposed under this section, will be
deposited into the local tax administration account created in the
custody of the state treasurer. The department of revenue may spend
money from this account, upon appropriation, for the administration of
the local taxes imposed under this section.
(7) The state treasurer ((shall)) must distribute monthly to the
levying county and cities contained therein the proceeds of the
additional excise taxes collected under this section, after the
deductions for payments and expenditures as provided in RCW
46.68.090(1) (a) and (b) and under the conditions and limitations
provided in RCW 82.80.080.
(8) The proceeds of the additional excise taxes levied under this
section ((shall)) must be used strictly for transportation purposes in
accordance with RCW 82.80.070.
(9) A county may not levy the tax under this section if they are
levying the tax in RCW 82.80.110 or if they are a member of a regional
transportation investment district levying the tax in RCW 82.80.120.
Sec. 642 RCW 82.80.110 and 2003 c 350 s 2 are each amended to
read as follows:
(1) For purposes of this section:
(a) "Distributor" means every person who imports, refines,
manufactures, produces, or compounds motor vehicle fuel and special
fuel as defined in RCW ((82.36.010 and)) 82.38.020, respectively, and
sells or distributes the fuel into a county;
(b) "Person" has the same meaning as in RCW 82.04.030.
(2) For purposes of dedication to a regional transportation
investment district plan under chapter 36.120 RCW, subject to the
conditions of this section, a county may levy additional excise taxes
equal to ten percent of the statewide motor vehicle fuel tax rate under
RCW ((82.36.025)) 82.38.030 on each gallon of motor vehicle fuel as
defined in RCW ((82.36.010)) 82.38.020 and on each gallon of special
fuel as defined in RCW ((82.38.020)) 82.32.020 sold within the
boundaries of the county. The additional excise tax is subject to the
approval of the county's legislative body and a majority of the
registered voters of the county voting on the proposition at a general
or special election. An election held under this section must be held
not more than twelve months before the date on which the proposed tax
is to be levied. The ballot setting forth the proposition must state
that the revenues from the tax will be used for a regional
transportation investment district plan. The county's authority to
levy additional excise taxes under this section includes the
incorporated and unincorporated areas of the county. Vehicles paying
an annual license fee under RCW 82.38.075 are exempt from the county
fuel excise tax. The additional excise taxes are subject to the same
exceptions and rights of refund as applicable to other motor vehicle
fuel and special fuel excise taxes levied under chapter((s 82.36 and))
82.38 RCW. The proposed tax may not be levied less than one month from
the date the election results are certified by the county election
officer. The commencement date for the levy of any tax under this
section will be the first day of January, April, July, or October.
(3) The local option motor vehicle fuel tax on each gallon of motor
vehicle fuel and on each gallon of special fuel is imposed upon the
distributor of the fuel.
(4) A taxable event for the purposes of this section occurs upon
the first distribution of the fuel within the boundaries of a county to
a retail outlet, bulk fuel user, or ultimate user of the fuel.
(5) All administrative provisions in chapters 82.01, 82.03, and
82.32 RCW, insofar as they are applicable, apply to local option fuel
taxes imposed under this section.
(6) Before the effective date of the imposition of the fuel taxes
under this section, a county ((shall)) must contract with the
department of revenue for the administration and collection of the
taxes. The contract must provide that a percentage amount, not to
exceed one percent of the taxes imposed under this section, will be
deposited into the local tax administration account created in the
custody of the state treasurer. The department of revenue may spend
money from this account, upon appropriation, for the administration of
the local taxes imposed under this section.
(7) The state treasurer ((shall)) must distribute monthly to the
county levying the tax as part of a regional transportation investment
plan, after the deductions for payments and expenditures as provided in
RCW 46.68.090(1) (a) and (b).
(8) The proceeds of the additional taxes levied by a county in this
section, to be used as a part of a regional transportation investment
plan, must be used in accordance with chapter 36.120 RCW, but only for
those areas that are considered "highway purposes" as that term is
construed in Article II, section 40 of the state Constitution.
(9) A county may not levy the tax under this section if they are a
member of a regional transportation investment district that is levying
the tax in RCW 82.80.120 or the county is levying the tax in RCW
82.80.010.
Sec. 643 RCW 82.80.120 and 2010 c 106 s 233 are each amended to
read as follows:
(1) For purposes of this section:
(a) "Distributor" means every person who imports, refines,
manufactures, produces, or compounds motor vehicle fuel and special
fuel as defined in RCW ((82.36.010 and)) 82.38.020, respectively, and
sells or distributes the fuel into a county;
(b) "Person" has the same meaning as in RCW 82.04.030;
(c) "District" means a regional transportation investment district
under chapter 36.120 RCW.
(2) A regional transportation investment district under chapter
36.120 RCW, subject to the conditions of this section, may levy
additional excise taxes equal to ten percent of the statewide motor
vehicle fuel tax rate under RCW ((82.36.025)) 82.38.030 on each gallon
of motor vehicle fuel as defined in RCW ((82.36.010)) 82.38.020 and on
each gallon of special fuel as defined in RCW 82.38.020 sold within the
boundaries of the district. The additional excise tax is subject to
the approval of a majority of the voters within the district
boundaries. Vehicles paying an annual license fee under RCW 82.38.075
are exempt from the district's fuel excise tax. The additional excise
taxes are subject to the same exceptions and rights of refund as
applicable to other motor vehicle fuel and special fuel excise taxes
levied under chapter((s 82.36 and)) 82.38 RCW. The proposed tax may
not be levied less than one month from the date the election results
are certified. The commencement date for the levy of any tax under
this section will be the first day of January, April, July, or October.
(3) The local option motor vehicle fuel tax on each gallon of motor
vehicle fuel and on each gallon of special fuel is imposed upon the
distributor of the fuel.
(4) A taxable event for the purposes of this section occurs upon
the first distribution of the fuel within the boundaries of the
district to a retail outlet, bulk fuel user, or ultimate user of the
fuel.
(5) All administrative provisions in chapters 82.01, 82.03, and
82.32 RCW, insofar as they are applicable, apply to local option fuel
taxes imposed under this section.
(6) Before the effective date of the imposition of the fuel taxes
under this section, a district must contract with the department of
revenue for the administration and collection of the taxes. The
contract must provide that a percentage amount, not to exceed one
percent of the taxes imposed under this section, will be deposited into
the local tax administration account created in the custody of the
state treasurer. The department of revenue may spend money from this
account, upon appropriation, for the administration of the local taxes
imposed under this section.
(7) The state treasurer must distribute monthly to the district
levying the tax as part of the regional transportation investment
district plan, after the deductions for payments and expenditures as
provided in RCW 46.68.090(1) (a) and (b).
(8) The proceeds of the additional taxes levied by a district in
this section, to be used as a part of a regional transportation
investment district plan, must be used in accordance with chapter
36.120 RCW, but only for those areas that are considered "highway
purposes" as that term is construed in Article II, section 40 of the
state Constitution.
(9) A district may only levy the tax under this section if the
district is comprised of boundaries identical to the boundaries of a
county or counties. A district may not levy the tax in this section if
a member county is levying the tax in RCW 82.80.010 or 82.80.110.
Sec. 644 RCW 46.68.080 and 2010 c 161 s 1128 are each amended to
read as follows:
(1) Vehicle license fees collected under RCW 46.17.350 and
46.17.355 and fuel taxes collected under RCW ((82.36.025(1) and))
82.38.030(1) and directly or indirectly paid by the residents of those
counties composed entirely of islands and which have neither a fixed
physical connection with the mainland nor any state highways on any of
the islands of which they are composed, ((shall)) must be paid into the
motor vehicle fund of the state of Washington and ((shall)) must
monthly, as they accrue, and after deducting therefrom the expenses of
issuing such licenses and the cost of collecting such ((vehicle)) fuel
tax, be paid to the county treasurer of each such county to be by him
or her disbursed as hereinafter provided.
(2) One-half of the vehicle license fees collected under RCW
46.17.350 and 46.17.355 and one-half of the fuel taxes collected under
RCW ((82.36.025(1) and)) 82.38.030(1) and directly or indirectly paid
by the residents of those counties composed entirely of islands and
which have either a fixed physical connection with the mainland or
state highways on any of the islands of which they are composed,
((shall)) must be paid into the motor vehicle fund of the state of
Washington and ((shall)) must monthly, as they accrue, and after
deducting therefrom the expenses of issuing such licenses and the cost
of collecting such ((motor vehicle)) fuel tax, be paid to the county
treasurer of each such county to be by him or her disbursed as
hereinafter provided.
(3) All funds paid to the county treasurer of the counties of
either class referred to in subsections (1) and (2) of this section,
((shall be)) must be distributed and credited by ((such)) the county
treasurer ((distributed and credited)) to the several road districts of
each such county and paid to the city treasurer of each incorporated
city and town within each such county, in the direct proportion that
the assessed valuation of each such road district and incorporated city
and town ((shall)) bears to the total assessed valuation of each such
county.
(4) The amount of motor vehicle fuel tax paid by the residents of
those counties composed entirely of islands ((shall)) must, for the
purposes of this section, be that percentage of the total amount of
motor vehicle fuel tax collected in the state that the vehicle license
fees paid by the residents of counties composed entirely of islands
bears to the total vehicle license fees paid by the residents of the
state.
(5)(a) An amount of fuel taxes ((shall)) must be deposited into the
Puget Sound ferry operations account. This amount ((shall)) must equal
the difference between the total amount of fuel taxes collected in the
state under RCW ((82.36.020 and)) 82.38.030 less the total amount of
fuel taxes collected in the state under RCW ((82.36.020(1) and))
82.38.030(1) and be multiplied by a fraction. The fraction ((shall))
must equal the amount of vehicle license fees collected under RCW
46.17.350 and 46.17.355 from counties described in subsection (1) of
this section divided by the total amount of vehicle license fees
collected in the state under RCW 46.17.350 and 46.17.355.
(b) An additional amount of fuel taxes ((shall)) must be deposited
into the Puget Sound ferry operations account. This amount ((shall))
must equal the difference between the total amount of fuel taxes
collected in the state under RCW ((82.36.020 and)) 82.38.030 less the
total amount of fuel taxes collected in the state under RCW
((82.36.020(1) and)) 82.38.030(1) and be multiplied by a fraction. The
fraction ((shall)) must equal the amount of vehicle license fees
collected under RCW 46.17.350 and 46.17.355 from counties described in
subsection (2) of this section divided by the total amount of vehicle
license fees collected in the state under RCW 46.17.350 and 46.17.355,
and this ((shall)) must be multiplied by one-half.
Sec. 645 RCW 46.68.090 and 2011 c 120 s 4 are each amended to
read as follows:
(1) All moneys that have accrued or may accrue to the motor vehicle
fund from the motor vehicle fuel tax and special fuel tax ((shall))
must be first expended for purposes enumerated in (a) and (b) of this
subsection. The remaining net tax amount ((shall)) must be distributed
monthly by the state treasurer in accordance with subsections (2)
through (7) of this section.
(a) For payment of refunds of motor vehicle fuel tax and special
fuel tax that has been paid and is refundable as provided by law;
(b) For payment of amounts to be expended pursuant to
appropriations for the administrative expenses of the offices of state
treasurer, state auditor, and the department of licensing of the state
of Washington in the administration of the motor vehicle fuel tax and
the special fuel tax, which sums ((shall)) must be distributed monthly.
(2) All of the remaining net tax amount collected under RCW
((82.36.025(1) and)) 82.38.030(1) ((shall)) must be distributed as set
forth in (a) through (j) of this section.
(a) For distribution to the motor vehicle fund an amount equal to
44.387 percent to be expended for highway purposes of the state as
defined in RCW 46.68.130;
(b)(i) For distribution to the special category C account, hereby
created in the motor vehicle fund, an amount equal to 3.2609 percent to
be expended for special category C projects. Special category C
projects are category C projects that, due to high cost only, will
require bond financing to complete construction.
(ii) The following criteria, listed in order of priority, ((shall))
must be used in determining which special category C projects have the
highest priority:
(((i))) (A) Accident experience;
(((ii))) (B) Fatal accident experience;
(((iii))) (C) Capacity to move people and goods safely and at
reasonable speeds without undue congestion; and
(((iv))) (D) Continuity of development of the highway
transportation network.
(iii) Moneys deposited in the special category C account in the
motor vehicle fund may be used for payment of debt service on bonds the
proceeds of which are used to finance special category C projects under
this subsection (2)(b);
(c) For distribution to the Puget Sound ferry operations account in
the motor vehicle fund an amount equal to 2.3283 percent;
(d) For distribution to the Puget Sound capital construction
account in the motor vehicle fund an amount equal to 2.3726 percent;
(e) For distribution to the transportation improvement account in
the motor vehicle fund an amount equal to 7.5597 percent;
(f) For distribution to the transportation improvement account in
the motor vehicle fund an amount equal to 5.6739 percent and expended
in accordance with RCW 47.26.086;
(g) For distribution to the cities and towns from the motor vehicle
fund an amount equal to 10.6961 percent in accordance with RCW
46.68.110;
(h) For distribution to the counties from the motor vehicle fund an
amount equal to 19.2287 percent: (i) Out of which there ((shall)) must
be distributed from time to time, as directed by the department of
transportation, those sums as may be necessary to carry out the
provisions of RCW 47.56.725; and (ii) less any amounts appropriated to
the county road administration board to implement the provisions of RCW
47.56.725(4), with the balance of such county share to be distributed
monthly as the same accrues for distribution in accordance with RCW
46.68.120;
(i) For distribution to the county arterial preservation account,
hereby created in the motor vehicle fund an amount equal to 1.9565
percent. These funds ((shall)) must be distributed by the county road
administration board to counties in proportions corresponding to the
number of paved arterial lane miles in the unincorporated area of each
county and ((shall)) must be used for improvements to sustain the
structural, safety, and operational integrity of county arterials. The
county road administration board ((shall)) must adopt reasonable rules
and develop policies to implement this program and to assure that a
pavement management system is used;
(j) For distribution to the rural arterial trust account in the
motor vehicle fund an amount equal to 2.5363 percent and expended in
accordance with RCW 36.79.020.
(3) The remaining net tax amount collected under RCW ((82.36.025(2)
and)) 82.38.030(2) ((shall)) must be distributed to the transportation
2003 account (nickel account).
(4) The remaining net tax amount collected under RCW ((82.36.025(3)
and)) 82.38.030(3) ((shall)) must be distributed as follows:
(a) 8.3333 percent ((shall)) must be distributed to the
incorporated cities and towns of the state in accordance with RCW
46.68.110;
(b) 8.3333 percent ((shall)) must be distributed to counties of the
state in accordance with RCW 46.68.120; and
(c) The remainder ((shall)) must be distributed to the
transportation partnership account created in RCW 46.68.290.
(5) The remaining net tax amount collected under RCW ((82.36.025(4)
and)) 82.38.030(4) ((shall)) must be distributed as follows:
(a) 8.3333 percent ((shall)) must be distributed to the
incorporated cities and towns of the state in accordance with RCW
46.68.110;
(b) 8.3333 percent ((shall)) must be distributed to counties of the
state in accordance with RCW 46.68.120; and
(c) The remainder ((shall)) must be distributed to the
transportation partnership account created in RCW 46.68.290.
(6) The remaining net tax amount collected under ((RCW 82.36.025
(5) and (6) and)) 82.38.030 (5) and (6) ((shall)) must be distributed
to the transportation partnership account created in RCW 46.68.290.
(7) Nothing in this section or in RCW 46.68.130 may be construed so
as to violate any terms or conditions contained in any highway
construction bond issues now or hereafter authorized by statute and
whose payment is by such statute pledged to be paid from any excise
taxes on motor vehicle fuel and special fuels.
Sec. 646 RCW 82.12.0256 and 2011 1st sp.s. c 16 s 5 are each
amended to read as follows:
The provisions of this chapter ((shall)) do not apply in respect to
the use of:
(1) Special fuel purchased in this state upon which a refund is
obtained as provided in RCW 82.38.180(((2))) (1)(b); and
(2) Motor vehicle and special fuel if:
(a) The fuel is used for the purpose of public transportation and
the purchaser is entitled to a refund or an exemption under RCW
((82.36.275 or 82.38.080(3))) 82.38.080(1) (f) and (g) or
82.38.180(3)(b); or
(b) The fuel is purchased by a private, nonprofit transportation
provider certified under chapter 81.66 RCW and the purchaser is
entitled to a refund or an exemption under RCW ((82.36.285 or
82.38.080(1)(h))) 82.38.080(1)(d) or 82.38.180(3)(a); or
(c) The fuel is purchased by a public transportation benefit area
created under chapter 36.57A RCW or a county-owned ferry or county
ferry district created under chapter 36.54 RCW for use in passenger-only ferry vessels; or
(d) The fuel is taxable under chapter ((82.36 or)) 82.38 RCW((:
PROVIDED, That)). However, the use of motor vehicle and special fuel
upon which a refund of the applicable fuel tax is obtained ((shall)) is
not ((be)) exempt under this subsection (2)(d)((,)) and the director of
licensing ((shall)) must deduct from the amount of such tax to be
refunded the amount of tax due under this chapter and remit the same
each month to the department of revenue; or
(e) The fuel is purchased by a county-owned ferry for use in ferry
vessels after June 30, 2013; or
(f) The fuel is purchased by the Washington state ferry system for
use in a state-owned ferry after June 30, 2013.
NEW SECTION. Sec. 647 RCW 82.38.800, 82.38.900, 82.38.910,
82.38.920, 82.38.930, 82.38.940, 82.38.941 are each decodified.
NEW SECTION. Sec. 648 Part II of this act is to be codified as
new sections in chapter 82.38 RCW.
NEW SECTION. Sec. 649 Part IV of this act is to be codified as
new sections in chapter 82.42 RCW.
NEW SECTION. Sec. 650 This act takes effect July 1, 2015.