H-0467.1  _______________________________________________

                          HOUSE BILL 1063

          _______________________________________________

State of Washington      56th Legislature     1999 Regular Session

By Representatives Thomas, Dunshee, Koster, Carlson and Bush

Read first time 01/14/1999.  Referred to Committee on Finance.

Authorizing limited transfers of real estate excise tax revenues from the general fund to the common school fund.

    AN ACT Relating to transferring excess real estate excise tax revenue to the common school fund; amending RCW 82.45.180; and adding a new section to chapter 82.45 RCW.

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

NEW SECTION. Sec. 1.  A new section is added to chapter 82.45 RCW to read as follows:

    Within one month after the end of each fiscal year, the state treasurer shall determine:  (1) The amount of revenue credited to the general fund under this chapter for the fiscal year that just ended; and (2) the average annual amount of revenue credited to the general fund under this chapter for the six most recent fiscal years.  When determining these amounts the state treasurer shall disregard any transfers made under this section.  If the amount determined under subsection (1) of this section exceeds the average determined under subsection (2) of this section, the state treasurer shall transfer an amount equal to that excess from the general fund to the common school fund.

    Sec. 2.  RCW 82.45.180 and 1998 c 106 s 11 are each amended to read as follows:

    (1) For taxes collected by the county under this chapter, the county treasurer shall collect a two-dollar fee on all transactions required by this chapter where the transaction does not require the payment of tax.  A total of two dollars shall be collected in the form of a tax and fee, where the calculated tax payment is less than two dollars.  The county treasurer shall place one percent of the proceeds of the tax imposed by this chapter and the treasurer's fee in the county current expense fund to defray costs of collection and shall pay over to the state treasurer and account to the department of revenue for the remainder of the proceeds at the same time the county treasurer remits funds to the state under RCW 84.56.280.  The state treasurer shall deposit the proceeds in the general fund for the support of the common schools except as provided in section 1 of this act.

    (2) For taxes collected by the department of revenue under this chapter, the department shall remit the tax to the state treasurer who shall deposit the proceeds of any state tax in the general fund for the support of the common schools except as provided in section 1 of this act.  The state treasurer shall deposit the proceeds of any local taxes imposed under chapter 82.46 RCW in the local real estate excise tax account hereby created in the state treasury.  Moneys in the local real estate excise tax account may be spent only for distribution to counties, cities, and towns imposing a tax under chapter 82.46 RCW.  Except as provided in RCW 43.08.190, all earnings of investments of balances in the local real estate excise tax account shall be credited to the local real estate excise tax account and distributed to the counties, cities, and towns monthly.  Monthly the state treasurer shall make distribution from the local real estate excise tax account to the counties, cities, and towns the amount of tax collected on behalf of each taxing authority.  The state treasurer shall make the distribution under this subsection without appropriation.

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