AN ACT Relating to business improvement areas; and amending RCW 35.87A.010, 35.87A.030, 35.87A.050, 35.87A.060, 35.87A.080, 35.87A.090, 35.87A.100, and 35.87A.140.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

Sec. 1. Section 1, chapter 45, Laws of 1971 ex. sess. as amended by section 1, chapter 279, Laws of 1981 and RCW 35.87A.010 are each amended to read as follows:

To aid general economic development and to facilitate merchant and business cooperation which assists trade, the legislature hereby authorizes all counties and all incorporated cities and towns, including unclassified cities and towns operating under special charters:

(1) To establish, after a petition submitted by the operators responsible for 60 percent of the assessments by businesses within the area, parking and business improvement areas, hereafter referred to as area or areas, for the following purposes:

(a) The acquisition, construction or maintenance of parking facilities for the benefit of the area;

(b) Decoration of any public place in the area;

(d) Furnishing of music in any public place in the area;

(e) Providing professional management, planning, and promotion for the area, including the management and promotion of retail trade activities in the area; or

(f) Providing maintenance and security for common areas.

(2) To establish parking and business improvement areas for the sole purpose of providing maintenance and security for common areas, after submitting a petition signed by owners or operators of office buildings and hotels in the area representing sixty percent of the square footage of such buildings in the area.

(3) To levy special assessments on all businesses, or on owners or operators of office buildings and hotels if participating, within the area and specially benefited by a parking and business improvement area to pay in whole or in part the damages or costs incurred therein as provided in this chapter.

Sec. 2. Section 3, chapter 45, Laws of 1971 ex. sess. and RCW 35.87A.030 are each amended to read as follows:

For the purpose of establishing a parking and business improvement area, an initiation petition may be presented to the legislative authority having jurisdiction of the area in which the proposed parking and business improvement area is to be located or the legislative authority may by resolution initiate a parking and business improvement area. The initiation petition or resolution shall contain the following:

(1) A description of the boundaries of the proposed area;

(2) The proposed uses and projects to which the proposed special assessment revenues shall be put and the total estimated cost thereof;

(3) The estimated rate of levy of special assessment with a proposed breakdown by class of business, and classes of office buildings and hotels if participating, if such ((~~classification is~~)) classifications are to be used.

The initiating petition shall also contain the signatures of ((~~the~~)) persons who ((~~operate businesses in the proposed area which~~)) would pay fifty percent of the proposed special assessments.

Sec. 3. Section 5, chapter 45, Laws of 1971 ex. sess. and RCW 35.87A.050 are each amended to read as follows:

Notice of a hearing held under the provisions of this chapter shall be given by:

(1) One publication of the resolution of intention in a newspaper of general circulation in the city; and

(2) Mailing a complete copy of the resolution of intention to each ((~~business~~)) prospective participant in the proposed, or established, area. Publication and mailing shall be completed at least ten days prior to the time of the hearing.

Sec. 4. Section 6, chapter 45, Laws of 1971 ex. sess. and RCW 35.87A.060 are each amended to read as follows:

Whenever a hearing is held under this chapter, the legislative authority shall hear all protests and receive evidence for or against the proposed action. The legislative authority may continue the hearing from time to time. Proceedings shall terminate if protest is made by ((~~businesses~~)) participants in the proposed area ((~~which~~)) who would pay a majority of the proposed special assessments.

Sec. 5. Section 8, chapter 45, Laws of 1971 ex. sess. as amended by section 2, chapter 279, Laws of 1981 and RCW 35.87A.080 are each amended to read as follows:

For purposes of the special assessments to be imposed pursuant to this chapter, the legislative authority may make a reasonable classification of businesses, and of office buildings and hotels if participating, giving consideration to various factors such as business and occupation taxes imposed, square footage of the business, or of the office buildings or hotels if participating, number of employees, gross sales, or any other reasonable factor relating to the benefit received, including the degree of benefit received from parking.

Sec. 6. Section 9, chapter 45, Laws of 1971 ex. sess. and RCW 35.87A.090 are each amended to read as follows:

The special assessments need not be imposed on different classes of business, or of office buildings or hotels if participating, as determined pursuant to RCW 35.87A.080, on the same basis or the same rate: PROVIDED, HOWEVER, That the special assessments imposed for the purpose of the acquisition, construction or maintenance of parking facilities for the benefit of the area shall be imposed on the basis of benefit determined by the legislative authority after giving consideration to the total cost to be recovered from the businesses, and from the office buildings and hotels if participating, upon which the special assessment is to be imposed, the total area within the boundaries of the parking and business improvement area, the assessed value of the land and improvements within the area, the total business volume generated within the area and within each business, and such other factors as the legislative authority may find and determine to be a reasonable measure of such benefit.

Sec. 7. Section 10, chapter 45, Laws of 1971 ex. sess. and RCW 35.87A.100 are each amended to read as follows:

If the legislative authority, following the hearing, decides to establish the proposed area, it shall adopt an ordinance to that effect. This ordinance shall contain the following information:

(1) The number, date and title of the resolution of intention pursuant to which it was adopted;

(2) The time and place the hearing was held concerning the formation of such area;

(3) The description of the boundaries of such area;

(4) A statement that the businesses, and owners or operators of office buildings and hotels if participating, in the area established by the ordinance shall be subject to the provisions of the special assessments authorized by RCW 35.87A.010;

(5) The initial or additional rate or levy of special assessment to be imposed with a breakdown by classification of business, if such classification is used; and

(6) A statement that a parking and business improvement area has been established.

(7) The uses to which the special assessment revenue shall be put: PROVIDED, HOWEVER, That such use shall conform to the use as declared in the initiation petition presented pursuant to RCW 35.87A.030.

Sec. 8. Section 14, chapter 45, Laws of 1971 ex. sess. and RCW 35.87A.140 are each amended to read as follows:

Changes may be made in the rate or additional rate of special assessment as specified in the ordinance establishing the area, by ordinance adopted after a hearing before the legislative authority.

The legislative authority shall adopt a resolution of intention to change the rate or additional rate of special assessment at least fifteen days prior to the hearing required by this section. This resolution shall specify the proposed change and shall give the time and place of the hearing: PROVIDED, That proceedings to change the rate or impose an additional rate of special assessments shall terminate if protest is made by businesses, or by owners or operators of office buildings and hotels if participating, in the proposed area which would pay a majority of the proposed increase or additional special assessments.