Brief Summary of Substitute Bill

Establishes a definition for an "intermittent-use trailer" which is used only for participation in club activities, exhibitions, tours, parades, and occasional pleasure use.
Defines "occasional pleasure use" as a trailer that is not used generally or daily, but seasonally or sporadically, and not more than once a week on average.
Specifies that an intermittent-use trailer cannot be held for rent to the public or used for commercial or business purposes.
Specifies that an intermittent-use trailer must have a scale weight of 2,000 pounds or less.
Implements an intermittent-use trailer license tab that is not subject to registration renewals.
Establishes an initial registration fee of $187.50 for an intermittent-use trailer license plate and designates where the fees are to be distributed.
Specifies when an intermittent-use license plate tab may be used on a trailer.
Specifies that if the owner of the trailer sells, transfers, or conveys the trailer to another person or entity, the license plate with the intermittent tab must be removed prior to the transfer to the new owner.
Establishes traffic infraction amounts for violation of the intermittent-use trailer license plate tab statutes.
Provides that a license plate with an intermittent-use tab is not allowed to be personalized or be a special license plate for persons with disabilities.
Expands the vehicles eligible to use a collector vehicle license plate to travel trailers that are at least 30 years old.

Background:

There are different types of trailers registered in the State of Washington that are subject to various fees based on weight and the purpose for which the trailer is used. Generally, all vehicles that are operated on public highways, including trailers, are subject to vehicle registration, annual registration renewal, various taxes and fees due at registration and registration renewal, and license plate replacement when a trailer changes ownership.

In addition to other taxes and fees that are due annually, a single-axle trailer that is used for private noncommercial use has an initial registration and annual renewal fee of $15. This fee is distributed as follows: 22.36 percent to the State Patrol Highway Account; 1.375 percent to the Puget Sound Ferry Operations Account; 5.237 percent to the Nickel Account; 11.533 percent to the Transportation Partnership Account; and the remaining proceeds being deposited to the Motor Vehicle Fund.

In addition to other taxes and fees that are normally due annually, trailers that are over 2,000 pounds and travel trailers have an initial registration and renewal fee of $30. Of each initial or renewal vehicle license fee: $20.35 must be deposited in the State Patrol Highway Account; $2.02 of each initial vehicle license fee; 93 cents of each renewal vehicle license fee must be deposited in the Puget Sound Ferry Operations Account; and the remaining proceeds are deposited to the Motor Vehicle Fund.

The majority of the trailers pay a license plate technology fee of 25 cents and a license service fee of 50 cents at the time of initial and renewal registrations. A boat trailer registration has a $3 aquatic weed fee, which is deposited in the Aquatic Weeds Account. A recreational trailer has a $3 recreational vehicle sanitary-disposal fee, which is deposited into the Recreational Vehicle Account.

According to the Department of Licensing (DOL), in fiscal year 2014 there were 547,870 private-use trailers, and 86,544 within that number were private-use trailers over 2,000 pounds that paid a $30 registration fee.

A registered owner of a vehicle that is at least 30 years old may apply for a collector license plate. The collector vehicle must be operated primarily as a collector vehicle which is used in club activities, exhibitions, tours, parades, and occasional pleasure driving. Collector plates are valid for the life of the vehicle.

Summary of Substitute Bill:

The registered owner of a trailer that has a scale weight of 2,000 pounds or less and is used only for intermittent personal use may apply for a permanent license tab and registration for a fee of $187.50. An "intermittent-use trailer" means a trailer in good working order that is used only for participation in club activities, exhibitions, tours, parades, and occasional pleasure use. "Occasional pleasure use" means use of a trailer that is not generally or daily, but seasonally or sporadically, and not more than once a week on average. An intermittent-use trailer cannot be held for rent to the public or used for commercial or business purposes.

The applicant must purchase an initial registration for the intermittent-use trailer and pay the special license plate fee of $187.50. An intermittent-use trailer is exempt from registration renewals. The license plate with the intermittent tab must be displayed on the rear of the trailer.

The applicant may provide an actual Washington-issued license plate designated for general use in the year of the intermittent use trailer's manufacture.

If the owner of the trailer sells, transfers, or conveys the trailer to another person or entity, the license plate with the intermittent tab must be removed prior to the transfer to the new owner and the new owner must obtain a new registration and appropriate license plate.

A person that is in violation of the intermittent-use trailer license tab statutes is subject to a traffic infraction of a maximum fine of $150 including all other assessments and fees.

An intermittent-use license tab is not allowed to be on a personalized plate or be on a special license plate for persons with disabilities.

Travel trailers that are at least 30 years old are eligible vehicles to use a collector vehicle license plate.

The $187.50 is distributed as follows: $20.35 to the State Patrol Highway Account; $2.02 of each initial fee to the Puget Sound Ferry Operations Account; and the remainder to the Motor Vehicle Fund.

Staff Summary of Public Testimony:

(In support) This is a matter of convenience for registered owners of personal-use trailers. Intermittent-use trailers are trailers that are used sporadically. The $187.50 was computed using an average registration of $18.75 over a 10-year period. The implementation provides up-front revenue for the State of Washington and may be successful for other applications in the future.

(Opposed) None.