McCann Construction Enterprises Inc 11/7/2018

I I1 been paid (RCW 60.28.051). The Contracting Agency may deduct from its payments to 2 the Contractor any amount the Contractor may owe the Washington State Department of 3 Revenue, whether the amount owed relates to this contract or not. Any amount so I 4 deducted will be paid into the proper State fund. 5 6 1-07.2(1) State Sales Tax — Rule 171 I 7 8 WAC 458-20-171, and its related rules, apply to building, repairing, or improving streets, 9 roads, etc., which are owned by a municipal corporation, or political subdivision of the I10 state, or by the United States, and which are used primarily for foot or vehicular traffic. 11 This includes storm or combined sewer systems within and included as a part of the 12 street or road drainage system and power lines when such are part of the roadway I 13 lighting system. For work performed in such cases, the Contractor shall include 14 Washington State Retail Sales Taxes in the various unit bid item prices, or other contract 15 amounts, including those that the Contractor pays on the purchase of the materials, I 16 equipment, or supplies used or consumed in doing the work. 17 18 1-07.2(2) State Sales Tax — Rule 170 19 I20 WAC 458-20-170, and its related rules, apply to the constructing and repairing of new or 21 existing buildings, or other structures, upon real property. This includes, but is not 22 limited to, the construction of streets, roads, highways, etc., owned by the state of 23 Washington; water mains and their appurtenances; sanitary sewers and sewage 24 disposal systems unless such sewers and disposal systems are within, and a part of, a 25 street or road drainage system; telephone, telegraph, electrical power distribution lines, I 26 or other conduits or lines in or above streets or roads, unless such power lines become a 27 part of a street or road lighting system; and installing or attaching of any article of 28 tangible personal property in or to real property, whether or not such personal property I 29 becomes a part of the realty by virtue of installation. 30 31 For work performed in such cases, the Contractor shall collect from the Contracting I 32 Agency, retail sales tax on the full contract price. The Contracting Agency will 33 automatically add this sales tax to each payment to the Contractor. For this reason, the 34 Contractor shall not include the retail sales tax in the unit bid item prices, or in any other I 35 contract amount subject to Rule 170, with the following exception. 36 37 Exception: The Contracting Agency will not add in sales tax for a payment the Contractor 38 or a subcontractor makes on the purchase or rental of tools, machinery, equipment, or I 39 consumable supplies not integrated into the project. Such sales taxes shall be included 40 in the unit bid item prices or in any other contract amount. 41 ', 42 1-07.2(3) Services 43 44 The Contractor shall not collect retail sales tax from the Contracting Agency on any I 45 contract wholly for professional or other services (as defined in Washington State 46 Department of Revenue Rules 138 and 244). 47 I 48 1-07',..7,67R1 49 Load Limits 50 I N. BROADWAY TRANSIT IMPROVEMENT PROJECT ISTATE FUND#GCB2316; COE WO#3644 25 August 8, 2018