AWC Legislative Bulletin - Volume 31, No. 9
March 7, 2008 (Plain Text Version)

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In this issue:
What You Need to Know Now
From the Director
Energy & Telecommunications
General Local Government
Infrastructure, Transportation, & Economic Development
Land Use & Housing
Law & Justice
Municipal Finance
Personnel & Labor Relations
Online Legislative Advocacy Tools
AWC Legislative Contacts & Officers

Infrastructure, Transportation, & Economic Development

Transportation Budget (ESHB 2878)

We are expecting a first look at an agreed to transportation budget on Monday, March 10. The 2008 supplemental budget provides a total of $7.5 billion for the biennium, and reflects changes for emergency needs (i.e. flooding, extraordinary snowfall), workload increases, and technical adjustments. This budget will allow the Legislature to "go home" without major dislocations to projects that are underway or that are scheduled to be underway. However, it does make adjustments to reflect projects that are not ready to proceed and balances the budget over sixteen years. Absent additional funding or a dramatic decrease in construction costs, this will probably be the last year the transportation can be balanced and maintain the project lists identified in the 2003 and 2005 revenue proposals.

Supplemental Capital Budget (ESHB 2765)

The Senate and House have already passed their respective budgets and have begun shuttle diplomacy between the two chambers. We are expecting the following Senate versions provisos to remain in the budget:

Section 1004 - appropriates up to $10M from the Public Works Assistance Account to do a pilot program on grants to local governments to "demonstrate options for the most efficient use of the states investment in local infrastructure by funding more projects at an accelerated rate." The $10M will come from pre-construction funds within the Public Works Assistance Account and does not affect current projects identified in the public works loan list. The proviso directs the pilot project to use projects that were identified in the 2008 Public Works Board legislative report (i.e. one’s that missed the cut on the current PWB list), but then adds in 2 categories to target areas that are economically distressed, and jurisdictions with unused debt capacity.

Section 1017 - "Infrastructure Investment Systems" - would require the Office of Financial Management, in consultation with the Legislature, loan and grant recipients, and other stakeholders, to develop an infrastructure implementation plan. Affected agencies are the Department of Community, Trade, and Economic Development, the Department of Ecology, the Department of Health, the Transportation Improvement Board, and the Office of the State Treasurer. The Infrastructure Implementation Plan is due December 1, 2008.

Authorizing Public Works Board Projects ( HB 2437)

The Governor will sign this bill on Friday, March 7. A notable amendment to the legislation is that it directs the Public Works Board to charge a uniform rate of ½ percent interest on all loans identified in HB 2437. As recommended by the Board, 52 project loans totaling $278 million are authorized for the 2008 loan cycle. All of the appropriation available for construction loans in the 2007-09 biennium is being used for the 2008 loan list. Cities represent 32 projects totaling $182 million. Please see http://www.pwb.wa.gov/ for more detailed project information.

Regarding State Economic Development Programs ( 2SSB 6855)

This bill has passed the House. It streamlines CERB functions and provides an urban element to CERB, subject to new funding. E2SHB 3125, creating the building communities fund program, has also been amended into the bill. E2SHB 3125 creates a program of ranked and non-ranked projects that can be funded by the Legislature. The Senate did not advance E2SHB 3125, and we are anticipating a conference committee between the two chambers. AWC has testified in support of 2SSB 6855. AWC has supported the concept of community funding in E2SHB 3125, if it receives funding from a new revenue source.

Imposition of Tolls (E2SHB 1773)

This legislation establishes the statewide framework for imposing tolls. The bill has passed the Senate and is expected to receive concurrence in the House.

Financing the 520 Bridge Replacement Project (ESHB 3096)

The "520 Bridge Bill" passed the Senate and is expected to receive concurrence in the House. The 520 Bridge Bill establishes an SR 520 finance plan. The SR 520 finance plan must include certain assumptions, including savings from early construction of certain on-site project elements, early construction of a single string of pontoons, and preconstruction tolling. An SR 520 tolling implementation committee (Committee) is formed, consisting of three members, one each from the Puget Sound Regional Council, the Department, and the State Transportation Commission.

The committee must evaluate various issues relating to the SR 520 bridge replacement project, including traffic diversion to other state and local roads, tolling technology, partnership opportunities, and also must survey citizens about the project. The committee must confer with mayors and city councils from cities located along the SR 520, SR 522 & Interstate 90 corridors. A report is due from the committee to the Governor and Legislature by January 2009. The Department may seek approval from the Legislature to begin tolling on the existing SR 520 bridge and its replacement only after the committee has submitted its report.

Eliminating Regional Transportation Investment Districts (RTID) (SB 6771)

This bill had a striking amendment in the House Transportation Committee. The striking amendment establishes a study to determine the merits of continuing or changing the structure of an RTID. AWC is skeptical the bill will pass the House. If it does pass, it is unlikely the Senate will accept the proposed striking amendment.

Exempting Park Maintenance Equipment Operated by Certain Local Jurisdictions from Vehicle License and License Plate Requirements (SHB 3183)

At the time of this printing, this bill was on the Third Reading Calendar and awaiting floor action. It will allow cities to operate and move park maintenance equipment on city streets and no longer have the current law requirement of needing a police escort. The bill was amended in the committee and requires park maintenance equipment to have a slow moving vehicle emblem, an escort vehicle and a travel limitation of one mile. We are anticipating an amendment that would extend the travel limitation to two miles.

Relating to Alternative Public Works (HB 2780)

This bill passed the Senate Government Operations and Elections Committee on February 28, but appears to be languishing in Rules. AWC has requested, without success, this bill move as a package pull. This bill would:

Allow for 10 demonstration projects using design-build for projects costing between $2 and $10 million.
Allow for two demonstration projects using design-build with provisions for operations and maintenance for a period of longer than three years.
Clarify procedures for certifying public bodies - public bodies seeking certification for the design-build procedure must demonstrate successful management of at least one design-build project within the previous five years, and those seeking certification for the GCCM process must demonstrate successful management of at least one GCCM project within the previous five years.

Providing a Framework for Reducing Green House Gas Emissions (E2SHB 2815)

This bill has passed the Senate without amendment and is on its way to the Governor for signature. Section 8 establishes an estimated Year 2020 baseline of Vehicle Miles Traveled and then targets a fixed reduction of vehicle miles traveled. The notable exceptions in the substitute bill are that it exempts vehicles over 10,000 pounds and has a considerable process involving the public and private sector on how to achieve the goals. A report is due December 1, 2008 on how to accomplish the goals in the section.

The goals are:

Decrease the annual per capita vehicle miles traveled by eighteen percent by 2020;
Decrease the annual per capita vehicle miles traveled by thirty percent by 2035; and
Decrease the annual per capita vehicle miles traveled by fifty percent by 2050.

An overall description of the bill can be found in the Energy & Telecommunications section of this Bulletin.

Modifying the Definition of Rural County for Economic Development Purposes (SSB 6195)

This bill, which is eligible for second reading in the Senate, modifies the definition of "rural county" for certain economic development statutes to align with the definition for rural county sales and use tax for public facilities. This changes the definition to be a county with a population density of less than one hundred persons per square mile or a county smaller than 225 square miles. This would streamline rural county definitions and make Island County eligible for some economic development programs.

AWC Legislative Bulletin - Volume 31, No. 9March 7, 2008 (Plain Text Version)