Brief Description: Adding correction and detention facilities to public works board project categories.

Sponsors: Representatives Simpson, Hinkle and Dunshee.

Hearing Date: 2/10/03

Staff: Marziah Kiehn-Sanford (786-7349).

Background:

The Public Works Assistance Account, commonly known as the Public Works Trust Fund, was created by the Legislature in 1985 to provide a source of loan funds to assist local governments and special purpose districts with infrastructure projects. The Public Works Board, within the Department of Community, Trade and Economic Development (CTED), is authorized to make low-interest or interest-free loans from the account to finance the repair, replacement, or improvement of the following public works systems: bridges; roads; water and sewage systems; and solid waste and recycling facilities. All local governments except port districts and school districts are eligible to receive loans. In addition to construction projects, the Public Works Assistance Account can also be used for emergency loans, preconstruction loans, and capital facility planning loans.

Each year the Public Works Board is required to submit a list of public works projects to the Legislature for approval. The Legislature may remove projects from the list, but it may not add any projects or change the order of project priorities. Legislative approval is not required for funds specifically appropriated for pre-construction activities or emergency loans.

In addition to construction projects, the Public Works Assistance Account can also be used for emergency loans, preconstruction loans, and capital facility planning loans. The percentage of the Public Works Assistance Account that can be used for emergency loans, preconstruction loans and loans for capital facility planning is capped at 15 percent of the biennial capital appropriation for the program. These loans do not need specific legislative approval. Funds from the Public Works Assistance Account are also used for the federal match for the Drinking Water Assistance Program and occasionally for other purposes.

Summary of Bill:

Local adult or juvenile correction or detention facilities are added to the list of eligible projects for which local governments can receive loans from the Public Works Trust Fund. The definition of planning project is expanded to include development of base information for a capital facility plan.

The authority of the Public Works Board to select projects for funding is expanded to include consideration of need, local management efforts and whether the project is included in a local comprehensive or capital facilities plan. Legislative approval of the Public Works Trust Fund project list is eliminated.

In order to qualify for a public works project loan, a county, city or town planning under the Growth Management Act must have adopted a comprehensive plan, capital facilities plan and development regulations in conformance with all the requirements of the Growth Management Act.

The timing of the Board's annual report to the legislature regarding loans made is changed from November to February. The requirements of the report are streamlined by eliminating measures of fiscal capacity for each jurisdiction.

Appropriation: None.

Fiscal Note: Not Requested.

Effective Date: The bill takes effect ninety days after adjournment of session in which bill is passed.