HOUSE BILL REPORT

HB 1556

As Reported by House Committee On:

Transportation

Title: An act relating to creating Imagine special license plates.

Brief Description: Creating Imagine special license plates.

Sponsors: Representative Blake.

Brief History:

Committee Activity:

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

Majority Report: The substitute bill be substituted therefor and the substitute bill do pass. Signed by 16 members: Representatives Clibborn, Chair; Farrell, Vice Chair; Fey, Vice Chair; Wylie, Vice Chair; Chapman, Gregerson, Irwin, Lovick, McBride, Morris, Ortiz-Self, Pellicciotti, Riccelli, Stambaugh, Tarleton and Young.

Minority Report: Do not pass. Signed by 6 members: Representatives Orcutt, Ranking Minority Member; Hargrove, Assistant Ranking Minority Member; Hayes, Rodne, Shea and Van Werven.

Minority Report: Without recommendation. Signed by 2 members: Representatives Harmsworth, Assistant Ranking Minority Member; Pike.

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.

–––––––––––––––––––––––––––––––––

Summary of Substitute Bill:

The substitute bill creates the Imagine special license plate with the purpose of providing funds to Feeding Washington, a charitable food distribution organization. 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 an Imagine special license plate and a $30 fee will be 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 Feeding Washington for programs to help end hunger in Washington.

Substitute Bill Compared to Original Bill:

The substitute bill changes the effective date from January 1, 2018, to 90 days after adjournment of the session in which the bill is passed.

–––––––––––––––––––––––––––––––––

Appropriation: None.

Fiscal Note: Available.

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

Staff Summary of Public Testimony:

(In support) Feeding Washington supports its statewide members: Food Lifeline based in Seattle, and Second Harvest in Spokane and Pasco. Together, these organizations help the one in seven people in Washington that are food insecure and the one in five children who don't have enough to eat every day. Feeding Washington works directly with the agriculture community to secure fresh produce for its member organizations. Even with the generous support from the agriculture community, there is a high cost involved in transporting the produce. The revenue generated from this special license plate will help cover these transportation costs and support Feeding Washington's other statewide programs.

The objective is to create this Imagine program throughout America, and the program is partnering with Feeding Washington. Signatures of support submitted to the DOL total more than 4,850; support for the program is overwhelming. This special plate will provide Feeding Washington with a revenue stream they can rely on, and it allows people in Washington to show their support for Feeding Washington. The image of John Lennon was chosen because people can relate to him and to the slogan, "imagine there is no hunger." The rights to the image were secured from Yoko Ono; she does not receive a royalty.

(Opposed) None.

Persons Testifying: Rod Wieber and Michael Towner, Feeding Washington.

Persons Signed In To Testify But Not Testifying: None.