Section 390-05-235 - Definition-Fair market value(1) "Fair market value" as that term is used in the act and in these rules means the amount of money which a purchaser willing, but not obliged, to buy would pay a seller willing, but not obligated, to sell, for property, goods, or services.(2)(a) In reference to real property, "fair market value" or "value," as used in the act and in these rules is the present cash value that a well-informed buyer or lessee, willing but not obligated to buy or lease that property, would pay, and that a well-informed seller, or lessor, willing but not obligated to sell or lease it, would accept, taking into consideration all uses to which the property is adapted and might in reason be applied.(b) If, in determining "fair market value" or "value," the amount a buyer would pay and the amount a seller would accept would be based on varying standards, then the fair market value of the contribution shall be based on the amount the contributor would ordinarily accept for selling the property, rather than the amount the candidate or political committee would ordinarily pay. For example, if a contributor who sells property in the ordinary course of their business at a wholesale price donates such property to a candidate or political committee who would ordinarily pay the retail price as a consumer, then the fair market value of the contribution shall be the wholesale price.(3)(a) Any person who donates an item for sale, raffle, auction or awarding at a fund-raising event is making a contribution to the recipient candidate or political committee in an amount equal to the fair market value of the item donated.(b) Any person who buys a donated item makes a contribution equal in value to the difference between the purchase or auction price and the fair market value of the donated item.(c) If the purchase or auction price is the same as the fair market value, the buyer's contribution is zero. If the purchase or auction price is less than the fair market value, the buyer's contribution is zero and the donor's contribution is reduced to the amount of the sale or auction price.(4) The value of any in-kind contribution donated to any candidate or political committee subject to contribution limits pursuant to RCW 42.17A.405 or 42.17A.410 shall not, when combined with other contributions to that candidate or political committee, exceed the donor's applicable contribution limit as set forth in RCW 42.17A.405 or 42.17A.410. The value of an in-kind contribution donated as an exempt contribution to a bona fide political party committee or other political committee eligible to receive exempt funds is only subject to the limit imposed by RCW 42.17A.420.(5)(a) Except as provided in WAC 390-16-207, if a person permits a candidate, a candidate's authorized committee, or a political committee to use the telephones of a business, union, organization, or other entity without charge for the purpose of making local campaign-related calls, the telephone usage is an in-kind contribution and shall be valued at its fair market value or, if no fair market value is ascertain-able, one dollar per telephone per calendar day or part thereof.(b) If calls are permitted with assessed charges, the charges are also an in-kind contribution unless the candidate, the candidate's authorized committee, or the political committee reimburses the person in full within thirty days of making such calls.Wash. Admin. Code § 390-05-235
Amended by WSR 18-24-074, Filed 11/30/2018, effective 12/31/2018Amended by WSR 20-02-062, Filed 12/24/2019, effective 1/24/2020Statutory Authority: RCW 42.17A.110. 12-03-002, § 390-05-235, filed 1/4/12, effective 2/4/12. Statutory Authority: RCW 42.17.390. 94-11-018, § 390-05-235, filed 5/5/94, effective 6/5/94. Statutory Authority: RCW 42.17.370. 93-22-002, § 390-05-235, filed 10/20/93, effective 11/20/93. Statutory Authority: RCW 42.17.370(1). 79-08-046 (Order 79-03), § 390-05-235, filed 7/19/79.