Original Notice.

     Preproposal statement of inquiry was filed as WSR 01-22-059.

     Title of Rule: Chapter 308-127 WAC, Timeshare, amending WAC 308-127-160 Fees.

     Purpose: The department has reviewed the rule noted and recommends amending with new fee levels which will still allow for a sufficient level of revenue to defray the costs of administering the program.

     Statutory Authority for Adoption: RCW 64.36.081 and 43.24.086.

     Statute Being Implemented: RCW 64.36.081.

     Summary: Amend WAC 308-127-160 for a reduction in licensing and renewal fees.

     Reasons Supporting Proposal: Amending the rule with a fee decrease will still ensure that there is a sufficient level of revenue to defray program administration costs as required under RCW 43.24.086.

     Name of Agency Personnel Responsible for Drafting, Implementation and Enforcement: Randy Renfrow, 405 Black Lake Boulevard, Building 2, Olympia, WA 98502, (360) 664-6632.

     Name of Proponent: Department of Licensing, governmental.

     Agency Comments or Recommendations, if any, as to Statutory Language, Implementation, Enforcement, and Fiscal Matters: Fees to become effective on January 1, 2003.

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

     Explanation of Rule, its Purpose, and Anticipated Effects: Amends one rule reducing the initial and renewal fees for timeshare companies and timeshare salespersons. New reduced fees will still allow the department sufficient revenue in order to maintain the costs associated with the administration of the program.

     Proposal Changes the Following Existing Rules: Amended rule will allow for a reduction in revenue collection used to off set program administration fees required according to RCW 43.24.086.

     No small business economic impact statement has been prepared under chapter 19.85 RCW. RCW 43.24.086 requires that regulatory program raise sufficient revenue to be self-supporting. The current level of revenue collection warrants a reduction in fees and still maintains the level of revenue required administratively to operate the program.

     RCW 34.05.328 does not apply to this rule adoption.

     Hearing Location: Department of Licensing, 405 Black Lake Boulevard, Building 2, Conference Room 1, Olympia, WA 98502, on July 17, 2002, at 9:00 a.m.

     Assistance for Persons with Disabilities: Contact Jim Hood by July 16, 2002, TDD (360) 586-2788, or (360) 664-6632.

     Submit Written Comments to: Randy Renfrow, Timeshare Section, P.O. Box 9026, Olympia, WA 98507-9026, fax (360) 570-4956, by July 16, 2002.

     Date of Intended Adoption: July 22, 2002.

June 4, 2002

Alan E. Rathbun

Assistant Director

OTS-5749.1

AMENDATORY SECTION(Amending WSR 90-07-023, filed 3/14/90, effective 4/14/90)

WAC 308-127-160   Fees.   The following fees shall be charged under the authority of RCW 64.36.081 and 43.24.086:

(1)	Registration application fees:
		Start-up timeshare program including one project.	(($2500.00)) $1500.00
		Each additional project in program.	((1000.00)) 500.00
		Each apartment unit in program.	((150.00)) 50.00
		The first unit of personal property in the timeshare program.	1000.00
		Each additional unit of personal property in the timeshare program.	100.00
		Businesses of listing or brokering resale intervals.	500.00
(2)	Interval Fees:
		For each interval through one thousand.	1.00
		Intervals beyond one thousand.	0.00
		Each monthly filing of listings of resale intervals (in lieu of interval fees for resale intervals).	10.00
(3)	Renewal fees:
		Timeshare program including one project.	((2000.00)) 1000.00
		Late renewal fee for timeshare program.	((2500.00)) 2000.00
		Each additional project to a maximum of five projects.	((500.00)) 350.00
		Each apartment unit - to maximum of twenty-five apartment units.	((100.00)) 50.00
(4)	Consolidation fees:
		Each additional project added.	((1000.00)) 500.00
		Each additional apartment unit.	((150.00)) 50.00
		The first additional unit of personal property being consolidated.	500.00
		Each additional unit of personal property added in one consolidation.	100.00
(5)	Exemption fees:
		Programs consisting of a single apartment unit in a single project with fifty-two or fewer intervals.	250.00
		All other types of programs.	1000.00
(6)	Impound fees:
		Initial establishment of an impound, escrow, trust, or other arrangement requiring a depositary.	500.00
		Each required periodic report.	50.00
(7)	Advertising fees:
		Each initial submission of advertisement whether or not submitted in a timely manner, and whether or not in use at the time of payment.	100.00
		Examination of advertisement which are for the purpose of marketing surveys and not involving an examination of project or program instruments.	150.00
(8)	Fees for persons in the business of offering commercial promotional programs:
		Registration of individual.	500.00
(9)	Salespersons fees:
		Registration.	((150.00)) 50.00
		Renewal.	((75.00)) 50.00
		Transfer.	((75.00)) 50.00
		Duplicate license.	25.00
(10)	Fees for amendment of registration:
		For a timely submission of an amendment filing.	50.00
		Penalty fee for failure to file an amendment within twenty days of the occurrence of a materially adverse change.	500.00
(11)	Inspection fees:
		Applicants and registrants shall pay the cost of inspections conducted pursuant to chapter 64.36 RCW. The inspection fees shall be paid prior to the granting of a registration or consolidation. The inspection fee shall be the actual cost to the department for conducting of the inspection.

[Statutory Authority: RCW 43.24.086. 90-07-023, § 308-127-160, filed 3/14/90, effective 4/14/90.]

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