H-3314              _______________________________________________

                                                   HOUSE BILL NO. 2795

                        _______________________________________________

State of Washington                               51st Legislature                              1990 Regular Session

By Representatives R. Fisher, Schmidt and Zellinsky

Read first time 1/22/90 and referred to Committee on Transportation.

AN ACT Relating to a tax on the rental of fleet vehicles; amending RCW 82.44.010; adding a new section to chapter 82.08 RCW; adding a new section to Title 47 RCW; and creating a new section.

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

        Sec. 1.  Section 82.44.010, chapter 15, Laws of 1961 as last amended by section 10, chapter 107, Laws of 1979 and RCW 82.44.010 are each amended to read as follows:

          For the purposes of this chapter, unless context otherwise requires:

          "Motor vehicle" means all motor vehicles, trailers and semitrailers used, or of the type designed primarily to be used, upon the public streets and highways, for the convenience or pleasure of the owner, or for the conveyance, for hire or otherwise, of persons or property, including fixed loads and facilities for human habitation; but shall not include (1) vehicles carrying exempt licenses, (2) dock and warehouse tractors and their cars or trailers, lumber carriers of the type known as spiders, and all other automotive equipment not designed primarily for use upon public streets, or highways, (3) motor vehicles or their trailers used entirely upon private property, (4) mobile homes and travel trailers as defined in RCW 82.50.010, ((or)) (5) motor vehicles owned by nonresident military personnel of the armed forces of the United States stationed in the state of Washington provided personnel were also nonresident at the time of their entry into military service ,or (6) fleet vehicles intended for rental, as defined by the department by rule.

NEW SECTION. Sec. 2.  A new section is added to chapter 82.08 RCW to read as follows:

          (1) In addition to the tax imposed by RCW 82.08.020, there is levied and shall be collected an additional tax upon the rental of a fleet vehicle equal to three percent of the amount of the rental payment.

          (2) Proceeds from the tax imposed under this section shall be deposited in the paratransit fund created in section 3 of this act.

          (3) The department shall adopt rules to implement this section, including the provision of definitions for "rental" and "fleet vehicle."

NEW SECTION. Sec. 3.  A new section is added to Title 47 RCW to read as follows:

          The paratransit fund is created in the custody of the state treasurer.  All receipts from the tax imposed under section 2 of this act shall be deposited into the fund.  Expenditures from the fund may be used only for paratransit activities for the elderly and for persons with physical, mental, and sensory disabilities.  Only the secretary of transportation or the secretary's designee may authorize expenditures from the fund.  The fund is subject to allotment procedures under chapter 43.88 RCW, but no appropriation is required for expenditures.

NEW SECTION. Sec. 4.     This act applies to taxes levied for collection in 1991 and thereafter.