SENATE BILL REPORT

SHB 2017

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.

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. The moratorium on the issuance of new special plates by the DOL was lifted on July 1, 2015.

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 Farmers and Ranchers special license plate, which recognizes Washington farmers and ranchers. 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 Farmers and Ranchers 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, funds would go to the Washington Future Farmers of America (FFA) Foundation for educational programs in the state.

Staff Summary of Public Testimony: PRO: Everyone wins, no one loses with this bill. Future Farmers of America (FFA) is important for students. This bill allows for additional funding for FFA. FFA is a national organization that provides students with job-ready skills and leadership skills. It is the FFA's duty to provide younger generations skills for the real world. FFA appeals to many different kinds of young leaders. Over 20 percent of the American workforce is involved in agriculture in some way. FFA provides opportunities and currently offers 32 different career-development events. Statistics have shown that students who have taken agricultural classes are more likely to graduate.

Persons Testifying: PRO: Representative Brad Klippert, Prime Sponsor; Megan Gould, Emilio Arellano, Kristin Niehenke, Toutle Lake FFA; Paige Kershaw, Nate Mueller, Morgan Rockey, Haley Goodwin, Elma FFA; Courtney Pendergast, Hanna Hall, Matthew Rounsley, Braelyn Weatherbie, Tenino FFA.

Persons Signed In To Testify But Not Testifying: No one.