AN ACT Relating to motor freight carrier regulation and safety; amending RCW 81.80.070, 81.80.190, 81.80.260, and 81.80.371; adding new sections to chapter 81.80 RCW; and repealing RCW 81.80.020.

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

NEW SECTION. Sec. 1. A new section is added to chapter 81.80 RCW to read as follows:

It is the intent of the legislature to adopt a new state policy toward motor freight carriers to the end that rules affecting that industry reflect market place needs. That policy is intended to:

(1) Recognize and preserve the inherent advantages of each mode of transportation;

(2) Promote safe, adequate, economical, and efficient transportation;

(3) Encourage sound economic conditions in transportation, including sound economic conditions among carriers;

(4) Provide the benefits to consumers resulting from a broader variety of carrier options, while promoting carrier safety and financial responsibility;

(5) Promote efficient and economical use of roads and highways by allowing carriers to increase productive use of equipment;

(6) Encourage operation by carriers in a manner that will reduce the consumption of motor vehicle fuel; and

(7) Reduce the administrative regulation of motor freight carriers, and the burden contested entry cases place on the applicant and the Washington utilities and transportation commission, and enable the commission to focus its resources on other regulation issues of greater importance to the public.

NEW SECTION. Sec. 2. A new section is added to chapter 81.80 RCW to read as follows:

It is the policy of the state of Washington to promote by impartial regulation competitive and efficient motor freight transportation services in order to:

(1) Meet the needs of shippers, receivers, and consumers;

(2) Allow a variety of carrier options to meet changing market demands and the diverse requirements of the shipping and consuming public;

(3) Allow the most productive use of equipment and energy resources;

(4) Enable efficient and well-managed carriers to earn adequate profits, attract capital, and maintain fair wages and working conditions;

(5) Provide and maintain service to small communities and small shippers;

(6) Improve and maintain a sound, safe, and competitive privately owned motor carrier system;

(7) Promote greater participation by minorities in the motor carrier system.

Sec. 3. Section 81.80.070, chapter 14, Laws of 1961 as amended by section 1, chapter 242, Laws of 1963 and RCW 81.80.070 are each amended to read as follows:

No "common carrier," "contract carrier," or "temporary carrier" shall operate for the transportation of property for compensation in this state without first obtaining from the commission a permit so to do. Permits heretofore issued or hereafter issued to any carrier, shall be exercised by said carrier to the fullest extent so as to render reasonable service to the public. Applications for common or contract carrier permits or extensions thereof shall be on file for a period of at least thirty days prior to the granting thereof unless the commission finds that special conditions require the earlier granting thereof.

A permit or extension thereof shall be issued to any qualified applicant therefor, authorizing the whole or any part of the operations covered by the application, if it is found that the applicant is fit, willing, and able properly to perform the services proposed and conform to the provisions of this chapter and the requirements((,)) and rules ((~~and regulations~~)) of the commission ((thereunder, and that such operations will be consistent with the public interest, and, in the case of common carriers, that the same are or will be required by the present or future public convenience and necessity,)) under this chapter. Otherwise such application shall be denied.

No carrier filing a zero revenue annual report with the commission the previous year may protest an application for an entry permit or extension thereof unless the carrier explains to the commission's satisfaction, on a form provided by the commission, the extenuating circumstances that led to the dormancy.

A carrier protesting an application for an entry permit or extension thereof bears the burden of proving the applicant is not fit, willing, and able.

Nothing contained in this chapter shall be construed to confer upon any person or persons the exclusive right or privilege of transporting property for compensation over the public highways of the state.

Sec. 4. Section 81.80.190, chapter 14, Laws of 1961 as amended by section 5, chapter 191, Laws of 1986 and RCW 81.80.190 are each amended to read as follows:

The commission shall ((~~in the granting of permits to~~)) require all "common carriers" and "contract carriers" ((~~under this chapter require such carriers~~)) to either ((~~procure and file~~)) provide evidence of current liability and property damage insurance from a company licensed to write such insurance in the state of Washington, or deposit such security, for such limits of liability and upon such terms and conditions as the commission shall determine to be necessary for the reasonable protection of the public against damage and injury for which such carrier may be liable by reason of the operation of any motor vehicle.

In fixing the amount of said insurance policy or policies, or deposit of security, the commission shall give due consideration to the character and amount of traffic and the number of persons affected and the degree of danger which the proposed operation involves.

If the commission is notified of the cancellation, revocation, or any other changes in the required insurance or security of a common carrier or contract carrier with a permit to transport radioactive or hazardous materials, the commission shall immediately notify the state radiation control agency of the change.

Sec. 5. Section 81.80.260, chapter 14, Laws of 1961 as amended by section 3, chapter 69, Laws of 1967 and RCW 81.80.260 are each amended to read as follows:

It ((~~shall be~~)) is unlawful for any person to operate any vehicle at the same time in more than one class of operation, except upon approval of the commission and a finding that such operation will be in the public interest. Nothing contained in this chapter may be construed to prohibit the issuance of a "common carrier," "contract carrier," or "temporary carrier" permit, or extension thereof, to a "private carrier" upon proper application therefor and a finding by the commission as required by RCW 81.80.070.

No "exempt carrier" as such shall transport property for compensation except as hereinabove provided.

Sec. 6. Section 9, chapter 59, Laws of 1963 and RCW 81.80.371 are each amended to read as follows:

It shall be unlawful for any carrier to perform a transportation service for compensation upon the public highways of this state without first having secured appropriate authority from the Interstate Commerce Commission, if such authority is required, and without first having registered such authority, if any, with the commission.

It shall also be unlawful for a carrier to perform a transportation service for compensation on the public highways of this state as an interstate carrier of commodities included in the exemptions provided in section ((~~203(b)~~)) 10526 of the Interstate Commerce Act without having first registered as such a carrier with the commission.

Such registration shall be granted upon application, without hearing, upon payment of the appropriate filing fee prescribed by this chapter for other applications for operating authority.

NEW SECTION. Sec. 7. A new section is added to chapter 81.80 RCW to read as follows:

The commission shall supervise and regulate every private carrier in the state in regard to safety of operation. In carrying out its duties under this section, the commission may inspect vehicles, records, or any other necessary item, on public property or private property owned, leased, or otherwise controlled by the private carrier whose vehicles or records or other items are subject to inspection.

NEW SECTION. Sec. 8. Section 81.80.020, chapter 14, Laws of 1961 and RCW 81.80.020 are each repealed.

NEW SECTION. Sec. 9. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.