H-4196              _______________________________________________

                                                   HOUSE BILL NO. 1697

                        _______________________________________________

State of Washington                              49th Legislature                              1986 Regular Session

By Representatives Haugen and Brough

Read first time 1/22/86 and referred to Committee on Local Government.

AN ACT Relating to road improvement districts; and adding a new section to chapter 36.88 RCW.

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

NEW SECTION. Sec. 1.  A new section is added to chapter 36.88 RCW to read as follows:

          For the purpose of securing the payment of the principal of and interest on an issue of road improvement district bonds, notes, warrants, or other short-term obligations, the legislative authority of any county may create a reserve fund in an amount not exceeding fifteen percent of the principal amount of the bonds, notes, or warrants issued.  The cost of a reserve fund may be included in the cost and expense of any local improvement for assessment against the property in the road improvement district to pay the cost, or any part thereof.  The reserve fund may be provided for from the proceeds of the bonds, notes, warrants, or other short-term obligations, from special assessment payments, or from any other money legally available therefor.