HOUSE BILL REPORT

HB 2262

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Majority Report: Do pass. Signed by 24 members: Representatives Clibborn, Chair; Farrell, Vice Chair; Fey, Vice Chair; Moscoso, Vice Chair; Orcutt, Ranking Minority Member; Hargrove, Assistant Ranking Minority Member; Harmsworth, Assistant Ranking Minority Member; Bergquist, Gregerson, Hayes, Hickel, Kochmar, McBride, Moeller, Morris, Ortiz-Self, Pike, Riccelli, Rodne, Rossetti, Sells, Stambaugh, Tarleton and Young.

Background:

The Department of Licensing (DOL) issues special vehicle license plates that may be used in lieu of standard plates. A governmental or nonprofit sponsoring organization seeking to sponsor a special plate either submits an application to the DOL or requests legislation to create the special plate. The sponsoring organization seeking to sponsor the special plate is required to reimburse the DOL for the costs of establishing the new special plate.

For special license plates that are enacted by the Legislature, a sponsoring organization must, within 30 days of enactment, submit prepayment of all start-up costs to the DOL. If the sponsoring organization is not able to meet the prepayment requirement, revenues generated from the sale of the special license plate are first used to pay off any costs associated with establishing the new plate. The sponsoring organization must also provide a proposed license plate design to the DOL. Additionally, the sponsoring organization must submit an annual financial report to the DOL detailing actual revenues generated from the sale of the special license plate. The reports are reviewed, approved, and presented to the Joint Transportation Committee.

The DOL collects special license plate fees and, for administrative expenses, deducts an amount not to exceed $12 for new plate issuance and $2 for renewal. After these expenses are paid, the State Treasurer deposits the proceeds into the Motor Vehicle Account until the DOL determines the start-up costs for a special license plate are paid.

Summary of Bill:

The bill creates the Washington tennis special license plate, whose purpose is to build awareness and create year-round opportunities for tennis in the state. In addition to all fees and taxes required to be paid upon application for a vehicle registration, a fee of $40 would be charged for a Washington tennis special license plate and a $30 fee is charged for renewal of the plate.

After the costs associated with establishing the special license plates are recovered, proceeds from the sale of the special license plates will go to cities to assist in the construction and maintenance of a public tennis facility with at least four indoor tennis courts. Construction funds are first available to the most populous eligible city, according to the most recent census, for a time period not to exceed five years, with eligibility determined by the lack of a public or private facility with at least four indoor tennis courts in a city. Maintenance funds are made available to the first eligible city that utilizes the construction funds.

The bill exempts the Washington tennis special license plate from the moratorium on new special license plates which expired July 1, 2015.

Staff Summary of Public Testimony:

(In support) The United States Tennis Association (USTA) has over 20,600 members in the area and over 800 children in recreational programs. The USTA values tennis being grown at the grassroots level and that comes from having public facilities available. The City of Renton is one of the jurisdictions that would be eligible to utilize funds from the special license plate. With about 1,000 tournament players and 300 registered players in the City of Renton's recreation program, there is a lot of pent-up demand for a facility and courts in the area.

(Opposed) None.