H-1091              _______________________________________________

                                                   HOUSE BILL NO. 1637

                        _______________________________________________

State of Washington                               51st Legislature                              1989 Regular Session

By Representatives Dellwo, Silver, Rector, Wolfe, Padden, Moyer, D. Sommers and Day

Read first time 2/1/89 and referred to Committee on Revenue.

AN ACT Relating to free hospital excise tax exemptions on necessary items; adding a new section to chapter 82.08 RCW; adding a new section to chapter 82.12 RCW; providing an effective date; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.  A new section is added to chapter 82.08 RCW to read as follows:

          (1) The tax levied by RCW 82.08.020 shall not apply to sales to free hospitals of items reasonably necessary for the operation of, and provision of health care by, free hospitals.

          (2) As used in this section, "free hospital" means a hospital that does not charge any patient for health care provided by the hospital.

NEW SECTION. Sec. 2.  A new section is added to chapter 82.12 RCW to read as follows:

          (1) The provisions of this chapter shall not apply in respect to the use by free hospitals of items reasonably necessary for the operation of, and provision of health care by, free hospitals.

          (2) As used in this section, "free hospital" means a hospital that does not charge any patient for health care provided by the hospital.

NEW SECTION. Sec. 3.     This act is necessary for the immediate preservation of the public peace, health, and safety, the support of the state government and its existing public institutions, and shall take effect July 1, 1989.