Infrastructure, transportation & economic development

There were more Hail Mary’s in the last three days of session than at Olympia’s St. Michael’s Catholic Church on Sunday. It has been well documented in the media that few prayers were answered on remaining priorities for cities, counties, or other advocacy groups.

The only drama remaining on the transportation budget (SSB 5352) was the bond bill for the SR 520 Bridge. The bond measure was included in ESHB 1272, the capital budget bond bill, in the waning moments of session.

Capital Budget (PSHB 1216)

Please see the cover story of this Bulletin for details.

Regarding Community Revitalization Financing (SSB 5045) – AWC Priority

The bill has been delivered to the Governor. It is very similar to tax increment financing. On final passage, the bill was amended to include seven pilot projects, and established a first come, first serve project award process that will take effect in the next biennium. Variations of this legislation have been proposed for the past decade; this is a major policy advancement for our cities, other local governments, and for the private sector that will look to partner with local governments. Please see the March 27 edition of this Bulletin for more information.

Regarding Bid Limits (HB 1847) – AWC Priority

This bill will modify public works bid limits thresholds for cities, counties, universities and colleges, sewer and water districts, public hospital districts, fire districts, and metropolitan parks districts. For cities, there will now effectively be two categories: First class cities will have the same limits, and code cities, second class cities, and towns will have the same limits. Please see the previous Bulletins for more detailed information. Governor signed.

Modifying provisions of the local infrastructure financing tool program (ESSB 5901)

Introduced by Sen. Kastama (D-Puyallup), this bill is very helpful for those cities that are already using the LIFT program. The bill was delivered to the Governor for signature on April 21 and does the following:

• Expands limitations on the local sales and use tax rate set by sponsoring and cosponsoring local governments.
• Sets a September 1, 2009 deadline for certain sponsoring local governments to select a local sales and use tax rate.
• Eliminates requirements for "base year" and annual "measurement year" calculations of state and local excise tax revenues.
• Requires that before imposing the local sales and use tax, a sponsoring local government must estimate that certain revenues will equal or exceed the amount awarded to the project by the Community Economic Revitalization Board.
• Makes various technical changes and adds reporting and notice requirements.

Increasing the dollar limit for small works roster projects (HB 1196) – AWC Priority

This proposes increases to the small works roster dollar limits from $200,000 to $300,000. In addition, the requirement of notification of contractors on the roster of quotations being sought when the estimated cost is $100,000 or more would be changed to $150,000 or more. The Governor signed the bill on April 13 [C 74 L 09; Effective date: July 26, 2009].

Regarding alternative public works contracting procedures (HB 1197) – AWC Priority

This bill would allow the Capital Project Advocacy Board to develop guidelines for the review and approval of design-build demonstration projects that include operations and maintenance services and allow 10 design build projects that have a total cost between $2 and $10 million. The Governor signed the bill on April 13 [C 75 L 09; Effective date: July 26, 2009].

Allowing municipalities to participate in financing the development of water or sewer facility projects (EHB 1513)

The bill would allow, if authorized by ordinance or contract, a municipality to participate in financing the development of local water or sewer facilities development projects. A municipality that contributes to such financing would be entitled to the same right to reimbursement through latecomers agreements as developers and property owners. The Governor signed the bill on April 25.

Regarding retainage of funds on public works projects (HB 1199)

The bill would repeal outdated statutes regarding retainage of funds on public works projects and applicable to all public works contracts entered into on or after September 1, 1992, relating to the construction of any work of improvement. The Governor signed the bill on April 25.

Stormwater Funding bill passes House but fails to pass the Senate (ESHB 1614) – AWC Priority

Following a flurry of activity resulting in passage of this important measure in the House, the Senate chose not to bring it forward for a vote.

On Saturday afternoon, April 25, the House debated and passed this significant funding bill on a 51-45 vote. As has been previously reported, the bill would have established a dedicated revenue stream to fund stormwater projects and activities. Funding would come from a $1.50/barrel fee at the refinery on certain oil products deemed as contributors to municipal stormwater pollution.

On Sunday morning, April 26, the Senate Ways and Means Committee heard this bill and moved it to the floor for a vote on the last day of session.

Thanks to the many cities who contacted your legislators with support for this bill. AWC will continue to advocate for a dedicated funding source to meet local stormwater needs. Stay tuned! For more information, please contact either Dave Williams at davew@awcnet.org or Ashley Probart at ashleyp@awcnet.org.

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