FINAL BILL REPORT

SB 6056

C 375 L 03

Synopsis as Enacted

Brief Description: Adjusting fees, taxes, and penalties for pilots and aircraft.

Sponsors: Senators Haugen and Horn.

Senate Committee on Highways & Transportation

House Committee on Transportation

Background: The aeronautics account provides funds for the administration of the Aviation Division of the Department of Transportation, support of state and local airports, and maintenance of state-owned airports. Funds going into the aeronautics account come from the aircraft fuel tax, aircraft excise tax, aircraft registration fee, a transfer from motor vehicle fuel tax and from federal grants.

The aircraft search and rescue safety and education account provides funds for the search and rescue of lost and downed aircraft, aviation safety and education, and volunteer recognition and support. The account is funded by pilot, and airmen and airwomen registration fees.

Pilot and airmen and airwomen registration fees may be set at an amount of up to $10, but are currently set at $8. The amount is set by the Department of Transportation. The funds from these fees are deposited into the aircraft search and rescue safety and education account. Aircraft registration fees are currently set at $8. Funds from the aircraft registration fee are deposited into the aeronautics account.

Under current law, the aircraft fuel tax rate is set by a calculation of 3 percent of the weighted average retail sales price of aircraft fuel. The current rate is 7 cents per gallon.

The Department of Transportation is to be notified within one week of a change in ownership of a registered aircraft or the registration may be cancelled.

Municipalities or port districts which own, operate or lease an airport shall require from an aircraft owner proof of aircraft registration or proof of intent to register an aircraft as a condition of leasing or selling tiedown or hangar space.

Summary: Annual pilot and airmen and airwomen registration fees are set at $15.

Annual aircraft registration fees are set at $15.

From July 1, 2003 through June 30, 2005, $7 from the pilot and aircraft registration fees is deposited into the aeronautics account for airport maintenance.

The aircraft fuel tax is set at a fixed rate of 10 cents per gallon and the provision for the fuel tax rate calculation based on fuel prices is repealed. The aircraft fuel tax does not apply on fuel for emergency medical air transport entities.

The Department of Transportation must be notified of a change in ownership of a registered aircraft within 30 days.

An aircraft owner must show proof of aircraft registration to buy or lease hangar space from a municipality or port district.

Any person who fails to register an aircraft as required by law is subject to a civil penalty of $100 if the registration is 60 to 119 days past due. The penalty is $200 if the registration is 120 to 180 days past due, and $400 if the registration is over 180 days passed due.

Failure to register as a pilot, airman or airwoman as required by law is subject to a civil penalty of four times the fees that are due.

Votes on Final Passage:

Senate       35  13

House       67  31  (House amended)

Senate       34  14  (Senate concurred)

Effective: July 1, 2003