WSR 97-21-150

PROPOSED RULES

DEPARTMENT OF LICENSING

(Business and Professions Division)

(Master License Service)

[Filed October 22, 1997, 10:53 a.m.]

Original Notice.

Preproposal statement of inquiry was filed as WSR 97-14-088.

Title of Rule: Chapter 308-312 WAC, Whitewater river outfitters.

Purpose: To establish the fees and procedures whereby the Department of Licensing, Master License Service, will administer the mandatory whitewater river outfitter license created and required by SSB 5483 (chapter 391, Laws of 1997); which replaces the current voluntary registration program, effective January 1, 1998.

Statutory Authority for Adoption: RCW 88.12.276 (section 9, chapter 391, Laws of 1997).

Statute Being Implemented: RCW 88.12.275 (section 7, chapter 391, Laws of 1997).

Summary: Proposal defines terms; identifies the office administering the license and how to contact that office; describes the requirements and procedures to apply for and/or renew the license; describes how to maintain proof of liability insurance; sets the application and renewal fees and identifies associated fees; describes circumstances and procedures for the suspension, appeal, and/or reinstatement of a license; describes the transition to the mandatory regulation; and repeals reference to the voluntary registration.

Reasons Supporting Proposal: RCW 88.12.232 (section 2, chapter 391, Laws of 1997) requires whitewater river outfitters to obtain a license. RCW 88.12.275 (section 7, chapter 391, Laws of 1997) requires the Department of Licensing (Master License Service) to administer the license and gives the general requirements to do so. However, specific details of procedure and fees necessary to effectively implement the administration of the license are left to be established by rule, as authorized by RCW 88.12.276 (section 9, chapter 391, Laws of 1997).

Name of Agency Personnel Responsible for Drafting: Clyde Zahn, 405 Black Lake Boulevard S.W., Olympia, WA, (360) 664-1447; Implementation: Linda Allen, 405 Black Lake Boulevard S.W., Olympia, WA, (360) 664-1415; and Enforcement: Nell Benzschawel, 405 Black Lake Boulevard S.W., Olympia, WA, (360) 664-1451.

Name of Proponent: Department of Licensing, Master License Service, governmental.

Rule is not necessitated by federal law, federal or state court decision.

Explanation of Rule, its Purpose, and Anticipated Effects: The 1997 legislature enacted SSB 5483 which was signed into law on May 16, 1997. One provision of this legislation was to make a license mandatory for those wishing to act in the business of a whitewater river outfitter, and to task the Department of Licensing (Master License Service) with the administration of that license. There are general requirements for the license set in the statute, but certain specifics such as the amount of the fee, what form needs to be filed, and how to file the form, among others, have been left to be established by rules adopted by the department.

The main purpose of the proposed rule is to set the fees and describe the specific procedures a person must follow in order to apply for and renew a whitewater river outfitter license. In addition, the rule provides definitions of certain terms and identifies the office that will administer the license, as well as how to contact that office, and other procedural steps a licensee may need to know.

It is anticipated the effect of this rule will be to clearly explain what a person must do in relation to this license and allow them to avoid the delays and inaccuracies which could be detrimental to their business. The rule will also set definite procedure standards for those administering the license to assure equal treatment of all applicants and licensees. Further, the economic impact of the rule has been kept to a negligible level and will not create a burden on those affected by the license requirements.

Proposal Changes the Following Existing Rules: WAC 308-300-310 (sets the fee for the current voluntary registration that is being replaced) will be repealed.

No small business economic impact statement has been prepared under chapter 19.85 RCW. The impact has been determined to be negligible, as established in the minor or negligible impact table prepared by the Washington State Business Assistance Center of the Department of Community, Trade and Economic Development.

RCW 34.05.328 does not apply to this rule adoption. The Department of Licensing was not named in the list of agencies affected by this statute.

Hearing Location: Department of Licensing, Business and Professions Division, Conference Room #1, 405 Black Lake Boulevard S.W., Olympia, WA, on November 25, 1997, at 2:00 p.m.

Assistance for Persons with Disabilities: Contact Clyde Zahn by November 14, 1997, TDD (360) 586-2788, or (360) 664-1447.

Submit Written Comments to: Clyde Zahn, P.O. Box 9034, Olympia, WA 98507-9034, FAX (360) 586-1596, by November 19, 1997.

Date of Intended Adoption: November 26, 1997.

October 21, 1997

Nell Benzschawel, Administrator

Master License Service

Whitewater River Outfitters

NEW SECTION

WAC 308-312-010 Definitions. The following definitions apply to use of these terms in this chapter.

(1) "Business location" means a business office of a whitewater river outfitter. This is a fixed location where business may be conducted with the public and that must post a master license showing "tax registration". It does not mean where river trips take place.

(2) "Guide" means any individual hired or used by a whitewater river outfitter for the purpose of operating vessels. A person licensed under RCW 77.32.211 or 75.28.780 and acting as a fishing guide is not considered a guide for the purposes of this chapter.

(3) "Master application" means the combined license application form and any addenda provided by the master license service.

(4) "Master license" means the combined license document issued by the master license service.

(5) "Master license service" means the office within the department of licensing operating the master license program, and handling the whitewater river outfitter license.

(6) "Outfitter" means the same as whitewater river outfitter.

(7) "Person" means any individual, sole proprietorship, partnership, corporation, limited liability company, limited liability partnership or any other legal entity forms of business structure.

(8) "Proof of liability insurance" means the certificate of insurance or other written proof supplied by an insurance provider. The proof lists and guarantees the type and amount of insurance coverage provided and the period of time the coverage is in force.

(9) "Whitewater river outfitter" means any person who advertises to carry or carries passengers for hire on any whitewater river in Washington. It does not include any person whose only service on a given trip is providing instruction in canoeing or kayaking skills.

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NEW SECTION

WAC 308-312-020 Whitewater river outfitter license administration office. The master license service of the department of licensing handles the whitewater river outfitter license. The office is located at 405 Black Lake Blvd. SW, Olympia, Washington. Office hours are 8:00 AM to 5:00 PM, Monday through Friday, excluding state holidays. The office can be contacted by mail or phone at:

Department of Licensing

Master License Service (360) 664-1400

Post Office Box 9034 Fax (360) 753-9668

Olympia WA 98507-9034 TDD (360) 586-2788

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NEW SECTION

WAC 308-312-030 Applying for a whitewater river outfitter license. (1) To apply for a license a person must request and file a master application with the master license service. The completed master application must include the information, proof of insurance and certifications listed in RCW 88.12.275 and the fee listed in WAC 308-312-060.

(2) A master license with "whitewater river outfitter" printed on it will be issued after the application has been reviewed and approved. The license application will not be approved and no license will be issued if all the requirements are not met.

(3) Each business location where whitewater river outfitter business is conducted must be licensed even if owned by the same business owner. A separate application must be completed and filed for each business location. Each business location will receive its own master license.

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NEW SECTION

WAC 308-312-040 Renewing a whitewater river outfitter license. (1) The whitewater river outfitter license must be renewed each year by the expiration date. The master license does not allow conducting business as a whitewater river outfitter after the expiration date shown on the license. A renewal must be filed for each business location.

(2) The master license service will mail a renewal notice to each business location at least 30 days before the license expiration date. The licensee must submit the completed renewal application by the expiration date or the late renewal fee listed in RCW 19.02.085 may be charged.

(3) The completed renewal application must include the information and certifications listed in RCW 88.12.275, and the fee listed in WAC 308-312-060. The whitewater river outfitter license will not be renewed if all the requirements are not met.

(4) If a license renewal has not been filed by at least 4 months after the expiration date the license will be considered to have been abandoned and the license status will be terminated. A licensee whose outfitter license has been terminated because of nonrenewal must file a new application as described in WAC 308-312-030 in order to conduct business as a whitewater river outfitter.

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NEW SECTION

WAC 308-312-050 Proof of liability insurance. (1) Applicants and licensees must provide proof of having liability insurance coverage to the master license service. The proof of insurance must show the applicant or licensee as the insured, and list the Master License Service as the certificate holder to be notified of changes in coverage. Changes to be reported include a new liability limit and cancellation, termination, or renewal of a policy. Cancellation or termination of a policy must be reported at least 30 days before the effective date.

(2) The liability insurance policy may cover outfitter business activities at all locations within the state of Washington. A separate copy of the proof of current liability insurance must accompany each new application for a whitewater river outfitter license.

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NEW SECTION

WAC 308-312-060 Fees. (1) The following fees apply to the whitewater river outfitter license

(a) New application $25.00 per business location

(b) Annual renewal $25.00 per business location

(2) New and renewal applications are charged the application handling fee listed in RCW 19.02.075. Delinquent renewal applications may be charged the delinquency fee listed in RCW 19.02.085.

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NEW SECTION

WAC 308-312-070 License suspensions and reinstatements. (1) The master license service may suspend a license after a court reports the conviction of a licensee under any of the provisions of RCW 88.12.245 through 88.12.275. The master license service will contact the licensee and allow a period of at least 10 days to respond whether the condition under which the conviction was entered still exists before issuing a suspension order and suspending the license. The notice of suspension will identify the reason for the suspension and reinstatement requirements.

(2) The master license service may also suspend the license of a whitewater river outfitter if the liability insurance coverage is not maintained. In such cases the master license service will follow the requirements in RCW 88.12.275 for notifying the licensee.

(3) If a whitewater river outfitter has licensed more than one business location the license at each location will be affected by a suspension. The exception to this is when the suspension is due only to not maintaining liability insurance and each business location has its own insurance policy.

(3) If a licensee misrepresented information at the time of applying for a license they may be referred to local law enforcement or to the Washington state patrol for possible action.

(4) The master license service will not issue a new whitewater river outfitter license to an applicant if the current license is in suspension. A licensee is not authorized to act as a whitewater river outfitter during the time the license is in suspension.

(5) The license expiration date will not be affected by a suspension. Fees that become due during the suspension period must be paid before the license will be reinstated. The licensee will not be required to maintain liability insurance coverage during the suspension period, but the insurance must be in full force before the license will be reinstated.

(6) The master license service will normally enforce a conviction-based suspension for a period of one year. A suspended license will not be reinstated at the end of the suspension period unless the licensee requests it. The reinstatement request must certify compliance with all licensing requirements and provide proof of liability insurance if coverage was terminated during the suspension. A licensee can request reinstatement earlier than one year from the date of suspension. If requesting an earlier reinstatement, proof of having corrected the condition under which the conviction was entered must also be provided. If all reinstatement requirements are met the license will be reinstated without requiring reapplication for the license or payment of any reinstatement fees. If a reinstatement has not been requested by at least 16 months after the date of suspension the license will be considered abandoned and the status of the license will be terminated. If a license is terminated the licensee must file a new application as described in WAC 308-312-030 to conduct business as a whitewater river outfitter.

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NEW SECTION

WAC 308-312-080 Appeals of license suspensions. A whitewater river outfitter licensee may appeal a suspension by submitting a written notice of appeal to the department of licensing. The notice of appeal must be received by the department of licensing within 40 days after the date the suspension is issued or the right to appeal is waived. If the notice is mailed the United States post office postmark date will be accepted as the date received by the department of licensing. The department of licensing will take action on the notice as directed by the Administrative Procedure Act found in RCW 34.05.

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NEW SECTION

WAC 308-312-090 Transition from the previous voluntary whitewater craft operator registration, and implementation of the mandatory whitewater river outfitter license. (1) The master license service will not process new license applications requesting the voluntary whitewater craft operator registration referred to in WAC 308-300-310 after December 31, 1997. Applications for the voluntary registration received after December 31, 1997 will be handled as an application for the mandatory whitewater river outfitter license. Applicants affected by this change will be notified if their application does not fully comply with the requirements of RCW 88.12 and WAC 308-312. Voluntary whitewater craft operator registration renewal requests will not be processed after December 31, 1997.

(2) Applicants may request and apply for the new, mandatory whitewater river outfitter license through the master license service after November 30, 1997. The master license service will issue the whitewater river outfitter license endorsement on the master license after December 31, 1997.

(3) Persons who have a valid voluntary whitewater craft operator registration as referenced in WAC 308-300-310 on December 31, 1997 may continue in business under that registration through January 31, 1998. On February 2, 1998 the master license service will terminate all voluntary whitewater craft operator registrations previously issued. In order to continue to conduct business after January 31, 1998 persons registered as a whitewater craft operator must file an application for the whitewater river outfitter license, and have the license approved by the master license service.

(4) Only persons with a whitewater river outfitter license endorsement approved by February 13, 1998 will be included in the 1998 edition of the annual list of licensed whitewater river outfitters provided to the department of community, trade, and economic development.

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REPEALER

The following section of the Washington Administrative Code is repealed: