HOUSE BILL REPORT

HB 1763

BYRepresentatives Cooper, Zellinsky, Padden, Ferguson, Nutley, Todd and Anderson

Preempting regulation of public liability insurance for motor vehicle common carriers to the state.

House Committe on Transportation

Majority Report:  Do pass with amendment.  (25)

      Signed by Representatives Walk, Chair; Baugher, Vice Chair; Schmidt, Ranking Republican Member; Wood, Assistant Ranking Republican Member; Betrozoff, Cantwell, Cooper, G. Fisher, R. Fisher, Gallagher, Hankins, Haugen, Heavey, Jones, R. Meyers, Nelson, Patrick, Prentice, Prince, Smith, D. Sommers, Todd, Walker, S. Wilson and Zellinsky.

House Staff:Mary McLaughlin (786-7309)

AS REPORTED BY COMMITTEE ON TRANSPORTATION FEBRUARY 14, 1989

BACKGROUND:

All motor freight common carriers operating in intrastate commerce are required to file and maintain liability insurance with the Utilities & Transportation Commission (UTC).  The insurance levels are the same as those used by the U.S. Department of Transportation for interstate carriers: $750,000 for non-hazardous materials carriers, $1 million or $5 million for carriers of certain classes of hazardous materials.

Pierce County, by practice, requires mobile home, trailer home, construction equipment and farm equipment operators to obtain an annual over-dimensional permit and file proof of liability insurance ($500,000 minimum) before transporting over-dimensional loads on county roads.  The reason is to limit the County's liability should an uninsured over-dimensional permittee be involved in an accident on a road within the County's jurisdiction.  The county is now considering adoption of an ordinance.

Because the UTC regulates for-hire mobile home transporters as common carriers, proof of insurance, in an amount greater than required by the county, is required.

SUMMARY:

BILL AS AMENDED:  The Utilities & Transportation Commission's (UTC's) regulations governing liability insurance for motor vehicle common carriers registered with the Commission preempt any city or county ordinance prescribing local insurance requirements for common carriers.

Manufacturers hauling mobile homes or farm equipment to dealers, a dealer delivering a mobile home or farm equipment to a buyer, and construction companies moving a job-site trailer to or from a construction site are considered private carriers and remain subject to any local government insurance requirements.

AMENDED BILL COMPARED TO ORIGINAL:  Amended language clarifies that the Commission has exclusive authority over liability insurance requirements for common carriers.

Fiscal Note:      Not Requested.

House Committee ‑ Testified For:    Ron Clarke, Washington Manufactured Housing Association; Karen Goon, Pierce County Public Works Department.

House Committee - Testified Against:      None Presented.

House Committee - Testimony For:    Mobil home transporters and other common carriers will no longer be required to file liability insurance at both the state and local levels.  The UTC's insurance requirement covers any liability on public and private property within the state.

House Committee - Testimony Against:      None Presented.