HOUSE BILL REPORT

HB 1400

As Reported by House Committee On:

Transportation

Title: An act relating to creating Washington state aviation special license plates.

Brief Description: Creating Washington state aviation special license plates.

Sponsors: Representatives Dent, Gregerson, Hargrove, McBride, Klippert, Tarleton, Dye, Blake, Peterson, Sells, Griffey, Holy, Harris, McCabe, Buys, Koster, Haler, Wilcox, Graves, Jenkin, Van Werven, Stokesbary, Pike, Condotta, Rodne, MacEwen, Irwin, Steele, Nealey, Volz, McDonald, McCaslin, Chandler, Stambaugh, Barkis, Kraft, Manweller, Muri, J. Walsh, Pettigrew, Bergquist and Kagi.

Brief History:

Committee Activity:

Transportation: 2/1/17, 2/8/17 [DP].

Majority Report: Do pass. Signed by 23 members: Representatives Clibborn, Chair; Farrell, Vice Chair; Fey, Vice Chair; Wylie, Vice Chair; Orcutt, Ranking Minority Member; Hargrove, Assistant Ranking Minority Member; Harmsworth, Assistant Ranking Minority Member; Chapman, Gregerson, Hayes, Irwin, Lovick, McBride, Morris, Ortiz-Self, Pellicciotti, Pike, Riccelli, Rodne, Stambaugh, Tarleton, Van Werven and Young.

Minority Report: Do not pass. Signed by 1 member: Representative Shea.

Staff: Patricia Hasan (786-7292).

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. Once start-up costs for a special license plate are paid, the State Treasurer credits the remaining special license plate fee amounts into an account specified for the sponsoring organization.

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Summary of Bill:

The bill creates the Washington Aviation special license plate with the purpose of honoring and supporting the aviation community in the state. In addition to all fees and taxes required to be paid upon application for a vehicle registration, a fee of $40 will be charged for a Washington Aviation 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 be provided to the Washington State Department of Transportation (WSDOT) to support infrastructure improvements at public use airports in Washington.

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Appropriation: None.

Fiscal Note: Available.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.

Staff Summary of Public Testimony:

(In support) This license plate supports the growing aviation community in Washington; aviation is popular and is an economic driver in the state. Support from several aviation groups in the design process indicates the enthusiasm level for the plate's production.

The aviation special license plate aligns with the WSDOT Aviation Division's mission, is strongly supported by stakeholders, and the revenue generated will help smaller public-use airports complete infrastructure improvement projects.

This bill allows individuals who are engaged in aviation in this state to show their support and pride, both psychologically and financially; they are able to give back to a fund that supports aviation facilities. The revenues generated will go to support the right programs and projects. The Washington Aviation plate has a large group of supporters. As research for the plate, Colorado—a state with similar numbers of pilots—was consulted on the process; it took several months for approximately 3,000 signatures of support to be obtained. The Washington Aviation special license plate received 3,500 signatures of support in 10 days, which shows the level of support for this plate.

(Opposed) None.

(Other) Using the DOL's old COBOL vehicle licensing computer system, the cost to implement a specialty plate was over $100,000. With the DOL's new computer system, the costs to implement a specialty plate are dramatically lower; this is a small example of the value received from the new system.

Persons Testifying: (In support) Representative Dent, prime sponsor; Tristan Akins, Washington State Department of Transportation; David Ketchum, Washington State Aviation Alliance; and John Dobson, Washington Pilots Association.

(Other) Tony Sermonti, Department of Licensing.

Persons Signed In To Testify But Not Testifying: None.