HOUSE BILL REPORT

                 SSB 5513

             As Reported By House Committee On:

               Transportation Policy & Budget

Title:  An act relating to exceptions from vessel registration.

Brief Description:  Providing exceptions from vessel registration.

Sponsors:  Senate Committee on Transportation (originally sponsored by Senators Oke, Spanel, Wood and Horn).

Brief History:

Committee Activity:

Transportation Policy & Budget:  4/1/97, 4/3/97 [DP].

HOUSE COMMITTEE ON TRANSPORTATION POLICY & BUDGET

Majority Report:  Do pass.  Signed by 27 members:  Representatives K. Schmidt, Chairman; Hankins, Vice Chairman; Mielke, Vice Chairman; Mitchell, Vice Chairman; Fisher, Ranking Minority Member; Blalock, Assistant Ranking Minority Member; Cooper, Assistant Ranking Minority Member; Backlund; Buck; Cairnes; Chandler; Constantine; DeBolt; Gardner; Hatfield; Johnson; Murray; O'Brien; Ogden; Radcliff; Robertson; Romero; Scott; Skinner; Sterk; Wood and Zellinsky.

Staff:  Gary Lebow (786-7304).

Background:  Vessels that have a valid registration number under federal law or by an approved issuing authority of the state of principal operation are exempt from vessel registration in the state of Washington.  However, a vessel that is validly registered in another state, but is removed to this state for principal use, has 60 days to register with this state.  At the time of registration, the watercraft excise tax is due.  The excise tax is equal to one half of 1 percent of the fair market value of the vessel.

Summary of Bill:  On or before January 1, 1998, vessels that are owned by nonresidents and used for personal use and enjoyment, and are validly registered in another state, are allowed to remain within this state for no more than six months before being required to register their vessels with Washington State.  Vessels used in a non-transitory business are excluded from this exemption.

On or before the 61st day of use, any vessel temporarily in the state must obtain an identification document from the Department of Licensing indicating when the vessel first entered the state.  The identification document costs $25 and is valid for two months.  Any moneys remaining after payment of the cost for providing the document are distributed to the counties for funding approved boating safety programs under RCW 88.02.045.

Appropriation:  None.

Fiscal Note:  Available.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  Extending the exemption period to six months will allow owners to moor the boats over the winter, increasing business and jobs for marinas.  It will also bring more boats during the boating season, creating more revenues for the state.

Testimony Against:  None.

Testified:  Senator Bob Oke, prime sponsor; Eric Johnson, Washington Public Ports Association; Brian Calvert, port of Friday Harbor; and Bill LaPorte, mayor of Friday Harbor.