SENATE BILL REPORT

HB 2989

BYRepresentatives Peery and R. Fisher 

Delaying required registration for freight brokers and forwarders.

House Committe on Transportation

Senate Committee on Transportation

Senate Hearing Date(s):February 21, 1990

Majority Report:  Do pass as amended.

      Signed by Senators Patterson, Chairman; Thorsness, Vice Chairman; von Reichbauer, Vice Chairman; Barr, Bender, Benitz, Conner, DeJarnatt, Hansen, Madsen, Murray, Nelson, Patrick, Sellar.

Senate Staff:Mary McLaughlin (786-7309)

                  February 26, 1990

AS REPORTED BY COMMITTEE ON TRANSPORTATION, FEBRUARY 21, 1990

BACKGROUND:

Last year legislation was enacted that required interstate brokers and forwarders conducting business in Washington state to (1) register with the Utilities and Transportation Commission (UTC), (2) pay a one-time $25 registration fee, and (3) post a $10,000 surety bond.  Brokers registered with the Interstate Commerce Commission (ICC) may present a copy of their ICC-required surety bond as proof of security.

At the UTC hearing to adopt administrative rules, several interstate brokers voiced their concerns with the registration and bonding provisions, reasoning that the proposed rules were a burden to interstate commerce, and that the bonding and registration requirements applied to all brokers and forwarders, not just those domiciled in the state.  The brokers requested that the UTC delay implementation of the rules until after the 1990 legislative session.  This would give the brokers and the trucking industry time to reach a compromise that could be presented for legislative action.

SUMMARY:

The implementation of the Utilities and Transportation Commission's bonding and registration requirements for interstate brokers and forwarders is delayed until July 1, 1991.

Appropriation:    none

Revenue:    none

Fiscal Note:      none requested

SUMMARY OF PROPOSED SENATE AMENDMENT:

The intent that the delay in implementation applies to both the surety bond and registration requirements is clarified.

Senate Committee - Testified: Representative Peery, prime sponsor