Special session makes progress

Stormwater funding update (2SHB 3181/SSB 6851)

Sometime Friday morning March 19, AWC expects to see the House Democratic leadership’s newly crafted version of their stormwater funding legislation. It will be "put on the bar" (meaning publicly set on a wooden rail in the House Chambers so all can see – also posted on the internet as a "Striking Amendment" by Rep. Larry Springer, D-Kirkland). Once on the bar, legislators can propose amendments and likely they will. It’s also available for a vote of passage – something we will work to secure.

AWC expects the bill will look very similar to what has previously been proposed, increasing the 22-year-old, never-before-been-raised Hazardous Substances Tax to permanently provide a source of funds to help 100 cities meet their stormwater management and pollution prevention obligations. The increase will likely be something like a doubling of the existing tax, which would raise approximately $100 million per year. We expect that there will also be a series of exemptions or tax credits for certain businesses or substances. Currently the tax applies to more than 8,000 toxic products.

The new version will again include a guaranteed $75,000 per year for each of the 100 cities to help maintain stormwater programs, along with access to a competitive grant program to help fund projects or activities to meet local stormwater program objectives.

If and when the bill is considered by the full House, it will be a close vote. No Republican legislators are expected to vote for it and several Democrats will vote no as well. Once the bill gets to the Senate, no Republicans are likely to vote for it either so at least 25 of the 31 Senate Democrats are needed to pass it.

What can cities do?

Call your legislators and ask them to vote yes. We have encouraged these contacts all session but it is even more important now! Please remind them:

• Federal law and state regulations are clear – the obligations to address stormwater are here now and are not going away.
• Extending this tax to cover polluted stormwater is a common-sense solution to the state’s biggest water quality problem.
• The tax is levied upon substances that are the most significant stormwater pollutants: petroleum, pesticides and toxic chemicals.
• Stormwater clean-up projects are labor-intensive – they’ll put money back in the pockets of workers in communities throughout the state.
• Delay and more study are not a solution.

For more information, please contact Dave Williams at AWC.

State budget update

As the special session heads into its fifth day, discussions continue on how to raise approximately $800 million in new revenue to help bridge the state's $2.8 B budget deficit. The Governor is also involved in the discussion and is advancing ideas.

The good news is that it appears the House and Senate agreed on the $800 million figure for new revenue. What will comprise the revenue package is still in doubt. The Senate package includes a temporary, 0.3% increase in the state sales tax, while the House wants to shrink tax exemptions and raise several targeted taxes. The Governor did not include a sales tax in her original proposal but has not committed to a veto if the revenue package includes such a tax.

We believe the House and Senate agreed on revenue streams that would raise somewhere between $300 - $400 in new revenue, at best only half of what they want to raise.

Most compromises of this nature land somewhere between the existing positions of the various parties, potentially pairing a slimmed-down list of targeted taxes with a smaller sales-tax increase.

Governor Gregoire may publicly advance her latest ideas today and that may spur legislative activity. Even with this information it will be very difficult for them to finish by Sunday and many are already talking mid next week at the earliest.

The Governor originally asked the Legislature to limit the special session to one week, but that request is not binding - the state constitution gives the Legislature up to 30 days to get their work done.

Other bills still in play

E-911 funding (HB 3216/SB 6846)

The House has just introduced a new bill, HB 3216, which is a companion bill to SB 6846. These bills would increase the county-imposed E-911 excise tax from 50 cents per line to 70 cents and the state-imposed excise tax from 20 cents to 25 cents per telephone, including wireless, line. The tax has not been increased since its inception and the proposed rate reflects the increase in inflation. In addition, it would allow counties to impose the excise tax on voice over internet protocol (VOIP) service lines. Currently, the tax is not collected on VOIP while those users make up an increasing number of the overall population.

AWC is supporting these bills, which would provide much needed funding for 911 modernization. The Senate version of the bill has not yet been brought up for a vote before the full Senate and time is running short. The introduction of a new House version of the bill is an attempt to keep the legislation moving during the special session. Please contact your legislators and express support for modernizing our 911 system.

Relating to reporting requirements of cities and counties (ESHB 3182)

Under this proposal, specific reporting requirements imposed on local governments would be made optional or are otherwise revised. Mandatory city reports regarding public works jobs and long-term debt are eliminated. A number of county reports are also eliminated.

The bill was heard in the Senate Ways & Means Committee on March 17. It is scheduled for executive session in that committee today.

Bills signed by the Governor

To date, the Governor has signed the following bills that impact cities:

Please check the Governor’s website at for a schedule of future bills to be signed.

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