SENATE BILL REPORT

SSB 5366

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, March 1, 2017

Title: An act relating to the authorization of and deposit of moneys from department of transportation advertising activities.

Brief Description: Concerning the authorization of and deposit of moneys from department of transportation advertising activities.

Sponsors: Senate Committee on Transportation (originally sponsored by Senators Hobbs, King, Liias and Fortunato; by request of Department of Transportation).

Brief History:

Committee Activity: Transportation: 1/31/17, 2/06/17 [DPS].

Floor Activity:

Passed Senate: 3/01/17, 47-2.

Brief Summary of First Substitute Bill

  • Authorizes and provides guidelines for the Washington State Department of Transportation's digital advertising program.

  • Directs advertising revenues to be deposited into the Motor Vehicle Account.

SENATE COMMITTEE ON TRANSPORTATION

Majority Report: That Substitute Senate Bill No. 5366 be substituted therefor, and the substitute bill do pass.

Signed by Senators King, Chair; Sheldon, Vice Chair; Hobbs, Ranking Minority Member; Liias, Assistant Ranking Minority Member; Cleveland, Fortunato, Hawkins, O'Ban, Takko, Van De Wege, Walsh and Wilson.

Staff: Erica Bramlet (786-7321)

Background: In 2009, the Legislature appropriated $50,000 for Washington State Department of Transportation's (WSDOT) in the transportation budget to investigate the potential to generate revenue from website advertisements. In 2010, the transportation budget included a $75,000 proviso for WSDOT to implement a 12-month pilot project allowing advertisements on select websites.

With the exception of this pilot project authorized through the transportation budget, state law does not specifically authorize WSDOT to sell website advertisements.

Summary of First Substitute Bill: WSDOT is authorized to sell advertising on WSDOT websites and social media, as well as sell a paid version of its mobile application to users who do not wish to see advertising. All revenues generated by these sales are to be deposited into the Motor Vehicle Account. WSDOT is directed to adopt standards for advertising that prohibit products or services that are offensive, political, or that promote unsafe behavior.

Appropriation: None.

Fiscal Note: Available.

Creates Committee/Commission/Task Force that includes Legislative members: No.

Effective Date: The bill contains an emergency clause and takes effect July 1, 2017.

Staff Summary of Public Testimony on Original Bill: The committee recommended a different version of the bill than what was heard. PRO: This bill would build upon the success of the web advertising pilot program and raise money without raising taxes. Since the program was authorized in the 2011-13 budget, it has been a model for other state agencies. The advertisements have not affected the traveling public’s experience with the website and have generated a modest amount of revenue. From a program perspective, it’s important to capture their advertising efforts in statute to acknowledge they have the authority to continue the program. WSDOT plans to propose an amendment to add clarifying language for where the ferries website advertising revenue should go.

Persons Testifying: PRO: Senator Steve Hobbs, Prime Sponsor; Travis Snell, Government Relations Liaison, WSDOT.

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