WASHINGTON, DC, November 11, 2021 — After numerous hearings and constant input from the recreational boating industry, the Washington State Department of Revenue (DOR) finalized the watercraft excise tax depreciation schedule. Approved October 21, the Final DOR Rule, which reflected input from marine industry stakeholders, ultimately places less of a financial burden on boat owners than the originally proposed excise tax schedule.

MRAA joined regional and national groups, such as BoatUS, Recreational Boating Association of Washington, Northwest Marine Trade Association, Washington Retail Association and Washington Maritime Federation, to provide input on the initial proposal. Originally, the proposed depreciation schedule would have put an unfair burden on boat owners and did not reflect national watercraft depreciation averages. Furthermore, boats are the only recreational vehicle subject to a depreciation excise tax in Washington State, already placing an additional financial burden on boat owners.

The final rule, which goes into effect January 1, 2022, reflects significant changes from the initially proposed watercraft excise tax depreciation schedule, due the input provided by MRAA and the coalition affiliates. Recreational boaters in Washington will save money annually with these changes in place, as they will be subject to less and more accurate taxes.

For example, if you own a powerboat more than 30 feet in length, under the current  schedule, your Excise Tax for your second year owned would be based on your vessel holding 89 percent of its value. Under the Draft Rule issued in June, that would have gone all the way up to 97 percent. After our unified input, both the Draft Rule issued in July and the Final Rule, reduced that figure to 83 percent. If an owner purchased their vessel for $40,000, under the Final Rule, they would pay a lesser fee of $116. However, under the original rule, they would have owed $178, and under the June Draft Rule, that figure increased to $196.

“As the above example shows, the input by the coalition ultimately resulted in massive savings for the recreational boat owners of Washington,” said Chad Tokowicz Government Relations Manager, Marine Retailers Association of the Americas. “I sincerely thank the members of this coalition for their hard work, and the staff at the Washington Department of Revenue for considering our input and working with us throughout this process.”

About the Marine Retailers Association of the Americas

At the Marine Retailers Association of the Americas, we believe that for the marine industry to thrive, the retail organizations that interact with the boaters in their community must thrive. With that in mind, MRAA works to create a strong and healthy boating industry by uniting those retailers, providing them with opportunities for improvement and growth, and representing them with a powerful voice. For more information, visit MRAA.com or contact us at 763-315-8043.

WASHINGTON, D.C., November 9, 2021 — Today, the U.S. Bureau of Economic Analysis (BEA) released economic data from the 2020 Outdoor Recreation Satellite Account, which detailed the outdoor recreation economy’s powerful and positive impact on the overall U.S. economy. These new numbers found that outdoor recreation generated $689 billion in economic output in 2020 and supported 4.3 million jobs. The data also captured the surge in recreational boating that took place throughout the pandemic.

With cabin fever from lockdowns and gathering restrictions, people looked for more outdoor activities to participate in with their friends and family, leading many to become first-time boat owners. The BEA data highlighted that recreational boating and fishing were “the largest conventional activity for the nation as a whole at $30.8 billion in current-dollar value added and was the largest conventional activity in 39 states and the District of Columbia. Florida ($3.8 billion), California ($2.8 billion), and Texas ($2.8 billion) were the largest contributors to U.S. value added for the activity.” Boat sales saw record numbers during 2020 and reached a 13-year high with almost 320,000 units sold, a 13-percent increase when compared to 2019 and 31% of all sales made by first-time boat buyers.

“The BEA’s data demonstrates that at all times, and particularly during the pandemic, people turn to the outdoors and the water to escape the stress of day-to-day life,” said Matt Gruhn, President of the Marine Retailers Association of the Americas. “Even throughout a year filled with challenges caused by the pandemic, the outdoor recreation economy, and boating in particular, proved they could not only provide a safe, healthy means for recreation, but also continued to support jobs and communities throughout the country.”

As a whole, the 2020 data highlights how the outdoor industry, despite the impact of widespread public lands and business closures, suspended trips, and travel, gathering restrictions, supply chain issues and more, continued to support communities across the country during the pandemic. Prior to 2020, the outdoor recreation economy was growing faster than the economy in every indicator and served as a resilient economic growth engine and job creator.

Key Highlights from 2020 data on the outdoor recreation economy:
     • Outdoor recreation generated $689 billion in gross output during a year of shutdowns and closures, and 4.3 million jobs in communities across the country.
     • Industry segments like boating and fishing, biking, camping and RVing, hunting and shooting sports, and powersports experienced record sales and unprecedented growth.
     • Outdoor participation soared, especially close-to-home recreation, highlighting the importance of better access to the outdoors for all communities.
     • Americans’ prioritization of outdoor recreation continues into 2021 with strong numbers in participation and sales data.

“Despite the pandemic, public lands and water closures, canceled trips and travel, gathering restrictions, supply chain issues and more, the outdoor recreation economy is a huge contributor to national and local economies,” said Jessica Turner, president of the Outdoor Recreation Roundtable (ORR). “This data, along with what we have seen throughout the past year and a half, proves how vital continued investments in our public lands and waters and recreation infrastructure are to the national and local economies and how communities big and small, rural and urban, benefit from outdoor recreation.”

“COVID-19 inspired huge participation growth in 2020, as outdoor spaces became places of refuge to safely socialize, improve physical and mental health, connect with family and recover from screen fatigue,” said Lise Aangeenbrug, executive director of the Outdoor Industry Association. “In 2020, 53 percent of Americans ages 6 and over participated in outdoor recreation at least once, the highest participation rate on record. Remarkably, 7.1 million more Americans participated in outdoor recreation in 2020 than in the year prior. Early indications are this trend continued into 2021 and sales data comparing August 2020 to August 2021 show that the sales of tents, backpacks, coolers and camping equipment, trail running shoes, and other outdoor gear are up more than 20 percent year over year.”

“Since the onset of the COVID-19 pandemic, the demand for recreational boating has surged, with new, younger, and more diverse consumers driving record sales for our industry,” said Frank Hugelmeyer, president of the National Marine Manufacturers Association (NMMA). “Looking ahead, we expect consumer interest and sales to remain strong through 2021 and beyond as Americans continue to discover the benefits and joys of being on the water.”

“As the BEA numbers indicate, 2020 was an extraordinary year for recreational fishing,” said Glenn Hughes, president of the American Sportfishing Association and ORR’s Vice Chairman. “When the COVID-19 pandemic took hold, people turned to the outdoors like never before. We saw a big uptick in fishing participation from families with children as well a new generation of young anglers. That’s why it is so important that we continue to increase and improve access to our public lands.”

“2020 was a challenging year for everyone, and the outdoor recreation industry was no exception. Even with the incredible number of people turning to RVs and outdoor recreation in 2020, it was impossible to overcome the economic losses resulting from the entire US economy coming to a screeching halt in the spring of 2020, including closed campgrounds and suspended operations at RV dealerships and RV manufacturing plants,” said RV Industry Association Vice President of Government Affairs Jay Landers. “The good news is that nearly 20% more RVs will be built in 2021 than in any prior year and the streak is expected to continue into 2022. This bodes well for the future of not only the RV industry but the wider outdoor recreation economy as a whole.”

“Sales of motorcycles, ATVs, and side-by-sides were up considerably in 2020, and that trend is continuing in 2021,” said Erik Pritchard, president and CEO of the Motorcycle Industry Council. “More families and individuals are recreating outdoors close to home, which highlights the need to support expanded access to public lands and investments into recreation infrastructure.”

America’s outdoor recreation community, represented by ORR, continues to support the Outdoor Recreation Satellite Account (ORSA) – the project compiling and releasing this data. Just like is the case for many other industries, the goal is to provide annual data on the economic importance of national and regional outdoor recreation economies that can be tracked for years to come. To learn more about ORR and outdoor recreation’s contributions to the economy prior to 2020, click here.

About the Marine Retailers Association of the Americas

At the Marine Retailers Association of the Americas, we believe that for the marine industry to thrive, the retail organizations that interact with the boaters in their community must thrive. With that in mind, MRAA works to create a strong and healthy boating industry by uniting those retailers, providing them with opportunities for improvement and growth, and representing them with a powerful voice. For more information, visit MRAA.com or contact us at 763-315-8043.