SENATE BILL REPORT

ESHB 46

BYHouse Committee on Local Government (originally sponsored by Representatives May, Ferguson, Haugen, Lux, Miller, Betrozoff, Allen, Braddock, Hine, Leonard and J. Williams) 

Providing for the distribution of the local watercraft excise tax to cities and towns providing marine patrol services.

House Committe on Local Government

Rereferred House Committee on Ways & Means/Revenue

Senate Committee on Ways & Means

Senate Hearing Date(s):February 17, 1988; February 18, 1988

Majority Report:  Do pass.

      Signed by Senators McDonald, Chairman; Craswell, Vice Chairman; Bluechel, Cantu, Deccio, Hayner, Johnson, Lee, Saling, Smith, Zimmerman.

Senate Staff:Gary Benson (786-7715)

                  February 22, 1988

AS REPORTED BY COMMITTEE ON WAYS & MEANS, FEBRUARY 18, 1988

BACKGROUND:

Counties are authorized to impose an excise tax on certain watercraft at a rate of up to 50 cents per foot per year, if the population of the unincorporated area of the county, together with the population of any city that is a party to an interlocal agreement with the county, equals at least two-thirds of the total population of the county.  The interlocal agreement may provide that the county gives some of the tax revenues to municipal corporations that are parties to the agreement and which provide boating safety services.

SUMMARY:

Each city or town providing marine patrol services must be party to the interlocal agreement authorizing a county to impose the watercraft excise tax and must receive a portion of the revenues.  Agreement on the revenue sharing arrangement must be made by April 1 of each year, or an arbitration process determines the sharing arrangement.

Appropriation:    none

Revenue:    yes

Fiscal Note:      available

Senate Committee - Testified: Representative Fred May (for); Rich Conrad, Asst. to City Manager, Mercer Island (for); Ron Main, representing King County Executive and King County Council (against); Sgt. Dave Irvin, King County Police (against)