SENATE BILL REPORT

SB 6192

BYSenators Patterson, Owen, Conner, Hansen, von Reichbauer, Craswell and McMullen

Exempting from sales and use tax fuel purchased for marine use by the state ferry system.

Senate Committee on Transportation

Senate Hearing Date(s):January 19, 1988

Majority Report:  Do pass.

      Signed by Senators Patterson, Chairman; Nelson, Vice Chairman; von Reichbauer, Vice Chairman; Barr, Bender, Conner, Garrett, Hansen, Kiskaddon, McMullen, Metcalf, Owen, Sellar.

Senate Staff:Gene Schlatter (786-7316)

                  January 20, 1988

Senate Committee on Ways & Means

Senate Hearing Date(s):February 5, 1988; February 8, 1988

Majority Report:  Do pass.

      Signed by Senators McDonald, Chairman; Craswell, Vice Chairman; Bauer, Bluechel, Cantu, Fleming, Gaspard, Hayner, Johnson, Lee, Moore, Newhouse, Smith, Talmadge, Vognild, Warnke, Williams, Wojahn, Zimmerman.

Senate Staff:Gary Benson (786-7715)

                  February 13, 1988

AS PASSED SENATE, FEBRUARY 12, 1988

BACKGROUND:

Fuel used for nonhighway purposes is not subject to the 18 cents per gallon gas tax, but is subject to sales and use tax unless specifically exempted.  Public transportation systems are exempt from both fuel taxes and sales and use taxes.  The Washington State ferry system is exempt from the fuel tax, but is subject to the sales and use tax.

SUMMARY:

Fuel purchased for marine use by the state ferry system is exempt from the sales and use tax.

Appropriation:    none

Revenue:    yes

Fiscal Note:      available

Senate Committee - Testified: TRANSPORTATION:  Steve Lindstrom, Washington Transit Association; Jo Ann Young, Washington State Ferry Riders Coalition

Senate Committee - Testified: WAYS & MEANS:  No one