The bill establishes a framework for imposing concession fees on duty-free sales enterprises operating within Washington state. It recognizes the authority granted by federal law for states to require such fees and acknowledges the importance of these fees as a revenue source for state and local governments. The legislation defines key terms, including "concession fee," "duty-free sales enterprise," and "gross proceeds of sales," and specifies that the concession fee will be calculated as 10% of the gross proceeds from sales of merchandise by these enterprises. The collected fees will be allocated to support the statewide tourism marketing account and a newly created sustainable aviation fuel account.

Additionally, the bill amends existing laws to incorporate the new concession fee structure and outlines the administrative responsibilities of the Department of Revenue in implementing these provisions. It also includes a provision that the act will take effect on January 1, 2026, and stipulates that if specific funding for the act is not provided by June 30, 2025, the act will be null and void. The bill aims to enhance revenue generation from duty-free sales while supporting tourism and sustainable aviation initiatives in Washington.

Statutes affected:
Original Bill: 14.08.330
Substitute Bill: 14.08.330
Engrossed Substitute: 43.384.040, 14.08.330
Bill as Passed Legislature: 43.384.040, 14.08.330
Session Law: 43.384.040, 14.08.330