The proposed bill seeks to allocate a portion of the state sales tax on motor vehicles for transportation purposes by amending existing laws, specifically RCW 82.08.020 and RCW 82.12.020. Starting July 1, 2026, a percentage of the revenue from retail sales of new and used vehicles will be directed to a newly established transportation preservation and maintenance account, with the allocation increasing to 66.6% by July 1, 2029, and reaching 100% by July 1, 2031. The bill also clarifies the definition of "motor vehicle" and specifies exclusions for certain vehicle types, ensuring that the funds generated from vehicle sales are dedicated to the preservation and maintenance of transportation infrastructure. Additionally, the bill introduces the transportation preservation and maintenance account to the treasury income account framework, allowing it to receive a proportionate share of earnings without requiring appropriation for payments to financial institutions. Monthly distributions of earnings will be credited to the general fund, with specific allocations to various accounts based on their average daily balances. The bill also outlines effective dates for certain sections, including Section 4 of this act expires July 1, 2028, Section 5 takes effect July 1, 2028, and Sections 1 through 4 take effect July 1, 2026, thereby enhancing the management of treasury accounts and ensuring appropriate allocation of earnings.

Statutes affected:
Original Bill: 82.08.020, 82.12.020