SENATE BILL REPORT

SB 5508

As Reported by Senate Committee On:

Transportation, February 13, 2017

Title: An act relating to two-year registration periods for certain vehicles while maintaining existing annual vehicle registration fee amounts.

Brief Description: Authorizing two-year registration periods for certain vehicles while maintaining existing annual vehicle registration fee amounts. [Revised for 1st Substitute: Authorizing two-year registration periods for certain vehicles and vessels while maintaining existing annual registration fee amounts.]

Sponsors: Senators Hawkins, Liias, Fortunato, O'Ban, Saldaña, King, Sheldon and Hobbs.

Brief History:

Committee Activity: Transportation: 2/06/17, 2/13/17 [DPS].

Majority Report: That Substitute Senate Bill No. 5508 be substituted therefor, and the substitute bill do pass.

Signed by Senators King, Chair; Sheldon, Vice Chair; Hobbs, Ranking Minority Member; Liias, Assistant Ranking Minority Member; Cleveland, Hawkins, O'Ban, Takko, Van De Wege, Walsh and Wilson.

Staff: Kellee Keegan (786-7429)

Background: A person who owns a vehicle in the state of Washington must register their vehicle with the Department of Licensing (DOL), a DOL agent or subagent, or county auditor within 30 days of moving to the state or within 15 days after acquiring the vehicle by purchase, exchange, gift, lease inheritance, or legal action. After original registration, the vehicle owner must renew their vehicle registration annually. At renewal, the vehicle receives a new vehicle tab that indicates the month it expires the following year. The taxes and fees paid at original registration and at renewal can vary depending on what kind of vehicle it is, if the vehicle is registered in an area that is within a Transportation Benefit District or Regional Transit Authority area, or whether the driver chose to have a special or personalized license plate.

Fees that are paid annually at registration may include a:

• filing fee;

• motor vehicle weight fee or a license fee by weight;

• vehicle license fee by type;

• license plate technology fee;

• service fee;

• electric car fee;

• boat trailer fee;

• travel trailer fee;

• motor vehicle weight fee;

• Transportation Benefit District fee;

• Motor Vehicle Excise Tax fee; and/or

• personalized plate or special plate fee.

Summary of Bill: The bill as referred to committee not considered.

Summary of Bill (First Substitute): A two-year registration period is created. All taxes and fees due annually at vehicle or vessel registration renewal may be paid biennially. A vehicle or vessel owner may still opt to renew their registration annually.

EFFECT OF CHANGES MADE BY TRANSPORTATION COMMITTEE (First Substitute):

• Expands the two-year registration period option to vessel owners, in addition to vehicle owners.

• Allows all taxes and fees due annually at vessel registration to be paid biennially.

• Allows a vessel owner to still opt to renew their registration annually.

Appropriation: None.

Fiscal Note: Available.

Creates Committee/Commission/Task Force that includes Legislative members: No.

Effective Date: The bill takes effect on January 1, 2019.

Staff Summary of Public Testimony on Proposed Substitute: The committee recommended a different version of the bill than what was heard. PRO: This simply creates a two-year registration option. It’s important to maintain important revenue streams to counties. This brings in enough for one county sheriff deputy. Counties and sub-agents are supportive. This bill is consistent with the taxes and fees that are paid. It’s great that this bill provides an option and is phased in.

Persons Testifying: PRO: Senator Brad Hawkins, Prime Sponsor; Thad Duvall, Washington State Association of County Auditors; Corry Cavin, Washington Association of Vehicle Sub Agents (WAV).

Persons Signed In To Testify But Not Testifying: No one.