05/05/1994 08:35 AM House FIN

                                                                               
  SB 256 "An Act increasing the tax on transfers and                           
  consumption of               aviation fuel."                                 
                                                                               
          CSSB 256 (STA) was reported out of Committee with                    
  "individual           recommendations" and with two fiscal                   
  impact notes, one by the           Department of Revenue,                    
  dated 1/28/94, and one by the Department          of                         
  Transportation and Public Facilities, dated 4/27/94.                         
                                                                               
  SENATE BILL NO. 256                                                          
                                                                               
  "An Act increasing the tax on transfers and consumption of                   
  aviation fuel."                                                              
                                                                               
  HELVI SANDVIC, DEPUTY COMMISSIONER, DEPARTMENT OF                            
  TRANSPORTATION AND PUBLIC FACILITIES spoke in support of SB
. She noted that the court ruled against Department of                    
  Transportation and Public Facilities imposed airport landing                 
  fees. She explained that the legislation would institute an                  
  aviation fuel tax in an amount to equal the landing fee                      
  revenue lost by the Department of Transportation and Public                  
  Facilities. She emphasized that without the additional                       
  funding the department does not have the ability to meet its                 
  cost at rural airports.                                                      
                                                                               
  Representative Foster spoke in support of SB 256. He noted                   
  that the Air Carrier Association supports the legislation.                   
                                                                               
  Representative Foster MOVED to report CSSB 256 (FIN) out of                  
  Committee with individual recommendations and with the                       
                                                                               
                                                                               
  accompanying fiscal notes.                                                   
                                                                               
  Representative Brown questioned if the revenue would be                      
  placed in a designated fund for accounting purposes. Ms.                     
  Sandvic clarified that the Department of Transportation and                  
  Public Facilities' budget includes the funding in their                      
  general fund request. There is no designated fund.                           
                                                                               
  Representative Brown stressed that the legislative intent in                 
  approving the increase is that the money be used to offset                   
  revenues lost with the termination of landing fees.                          
                                                                               
  There being NO OBJECTION, CSHB 256 (TRA) was moved from                      
  Committee.                                                                   
                                                                               
  CSSB 256 (STA) was reported out of Committee with individual                 
  recommendations and with two fiscal impact notes, one by the                 
  Department of Revenue, dated 1/28/94, and one by the                         
  Department of Transportation and Public Facilities, dated                    
  4/27/94.