Washington State House of Representatives Office of Program Research	BILL ANALYSIS
Local Government & Housing Committee

HB 1869

Brief Description:  Encouraging job retention in rural counties.

Sponsors:  Representatives Mulliken, Mielke, DeBolt, Sump, Doumit, Alexander, Kessler, Boldt, Hatfield and Dunn.

Brief Summary of Bill

$Authorizes rural counties to allow in rural areas the expansion of small-scale businesses and the location of new businesses on sites previously occupied by an existing business.

$Defines "rural counties" as counties with population densities fewer than 100 persons per square mile as determined by the Office of Financial Management.

$Defines "small-scale business" as any business entity that meets the definition adopted by the rural county in which it is located.

Hearing Date:  2/19/01

Staff:  Caroleen Dineen (786‑7156).

Background: 

The Growth Management Act (GMA) requires a county and its cities to plan if the county:

$has a population of 50,000 or more and had its population increase by at least 17 percent in the past 10 years; or

$has a population fewer than 50,000 and had its population increase by at least 20 percent in the past 10 years (unless the county adopted or adopts a resolution removing itself from this requirement within the specified time period).

The population and 10-year growth criteria are determined by the Office of Financial Management.  Counties not meeting these criteria may choose to plan under the GMA.

The GMA requires all counties and cites in the state to designate and protect critical areas and to designate natural resource lands.  The GMA imposes additional requirements on counties and cities planning under RCW 36.70A.040 (GMA jurisdictions), including identification and protection of critical areas; identification and conservation of  agricultural, forest, and mineral resource lands; and adoption of county-wide planning policies to coordinate comprehensive planning among counties and their cities.

GMA jurisdictions must designate urban growth areas (UGAs), within which urban growth is encouraged and outside of which urban growth is prohibited.  "Urban growth" is defined in the GMA to mean growth making intensive use of land to an extent creating incompatibility with natural resource uses.   GMA jurisdictions also must adopt a comprehensive plan which contains planning policies and incorporates these UGA designations.  A GMA jurisdiction's comprehensive plan must include certain required elements:

$a land use element, designating proposed general distribution, location and uses of land;

$a housing element, inventorying available housing and identifying sufficient land for

housing;

$a capital facilities plan element, identifying existing capital facilities and forecasting future

capital facilities needs and funding;

$a utilities element, describing the general location and capacity of existing and proposed

utilities;

$a rural element, specifying policies for land development and uses for lands that

are not designated for urban growth, agriculture, forest or mineral resources; and

$a transportation element, implementing the land use element and identifying facilities

and service needs, level of service standards, traffic forecasts, demand-management

strategies, intergovernmental coordination, and financing.

A GMA jurisdiction also must adopt  development regulations to implement the comprehensive plan policies.  By September 1, 2002, and every five years thereafter, GMA jurisdictions must review their comprehensive plans and development regulations for consistency with GMA requirements and must revise their plans and regulations if necessary. 

Legislation enacted in 1997 (i.e., ESB 6094, enacted as Chapter 429, Laws of 1997) added new standards for the rural element of GMA comprehensive plans.  Among other changes, the 1997 legislation:

$defined "rural character," focusing on predominance of natural landscape, fostering traditional rural lifestyles and providing rural landscapes, and being compatible with habitat and prevention of sprawl;

$defined "rural development" to include a variety of uses and densities other than agriculture and forestry that are consistent with rural character;

$amended the definition of ?urban growth@ to provide that a pattern of more intensive rural development is not urban growth;

$included small-scale businesses (not defined) in rural development, and described small-scale businesses and cottage industries as those not required to serve the rural population;

$added "rural development" provisions allowing "infill, development, or redevelopment of existing commercial, industrial, residential, or mixed-use areas" subject to the requirement to "minimize and contain" the existing areas so as not to extend beyond their logical outer boundaries; and

$added "intensification" provisions for rural nonresidential uses or new development of isolated cottage industries and isolated small-scale businesses not principally designed to serve the rural population but offering jobs for rural residents.  

Summary of Bill: 

Rural counties planning under RCW 36.70A.040 are authorized to allow in rural areas the expansion of small-scale businesses and the location of new businesses on sites previously occupied by an existing business. "Rural counties" are defined as those counties with population densities fewer than 100 persons per square mile as determined by the Office of Financial Management.  "Small-scale business" is defined as any business entity (including a sole proprietorship, corporation, partnership, or other legal entity) that meets the definition adopted by the legislative authority of a rural county.

Appropriation:  None.

Fiscal Note:  Not Requested.

Effective Date:  Ninety days after adjournment of session in which bill is passed.