SENATE BILL REPORT

SB 5297

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.

As Passed Senate, February 25, 2015

Title: An act relating to updating and clarifying statutory provisions within the commercial vehicle registration and fuel tax administrative systems.

Brief Description: Updating and clarifying statutory provisions within the commercial vehicle registration and fuel tax administrative systems.

Sponsors: Senators Liias, Fain, King and Hobbs; by request of Department of Licensing.

Brief History:

Committee Activity: Transportation: 1/27/15, 1/28/15 [DP].

Passed Senate: 2/25/15, 48-0.

SENATE COMMITTEE ON TRANSPORTATION

Majority Report: Do pass.

Signed by Senators King, Chair; Benton, Vice Chair; Fain, Vice Chair; Hobbs, Ranking Minority Member; Liias, Assistant Ranking Minority Member; Cleveland, Ericksen, Habib, Jayapal, Miloscia, Pedersen and Rivers.

Staff: Amanda Cecil (786-7429)

Background: The Department of Licensing (DOL) administers and collects the majority of the transportation revenues, including administration of the International Registration Plan (IRP). IRP is an international program that allows commercial vehicles registration reciprocity among states and Canadian provinces. It also facilitates uniformity of laws regarding the registration of interstate commercial vehicles and provides each jurisdiction with a prorated share of fees based on distance traveled and weight. In order for states to be eligible to receive certain federal transportation funds they must participate in IRP.

In 2013 Substitute House Bill 1883 passed, which was requested by DOL to consolidate and streamline the law related to fuel tax administration and collection. Among the various changes made, the Aeronautics Account within the Multimodal Transportation Fund was inadvertently repealed. This law takes effect July 1, 2015.

Summary of Bill: Terms and definitions are updated and obsolete language is removed to conform to IRP standards, the Federal Motor Carrier Safety Administration guidelines, and fuel tax statues. This includes a change to record retention requirements that the owner of a vehicle that is registered in IPR is subject to from four years to three years and the penalty for failing to comply or to produce documents that are requested by DOL are defined as assessments of 20 percent of the apportionable fees found to be due for a first offense and up to 100 percent for a third offense.

The Aeronautics Account is reinstated.

Appropriation: None.

Fiscal Note: Available.

Committee/Commission/Task Force Created: No.

Effective Date: The bill contains several effective dates. Please refer to the bill.

Staff Summary of Public Testimony: PRO: This fixes some issues that were caused by a clean-up bill in 2013, and ties effective dates to implementation of a new prorate and fuel tax collection system.

Persons Testifying: PRO: Senator Liias, prime sponsor; Tony Sermonti, DOL.