FINAL BILL REPORT

SHB 2361

                                   C 1 L 90

BYHouse Committee on Capital Facilities & Financing (originally sponsored by Representatives H. Sommers, Silver, Vekich, Sayan, Jones, Hargrove, Basich, Schoon, Braddock, Peery and Betrozoff)

Clarifying the 1989 appropriation for dredging Grays Harbor.

House Committe on Capital Facilities & Financing

SYNOPSIS AS ENACTED

BACKGROUND:

The 1987 Legislature appropriated $10 million of state money to the Department of Community Development for the Grays Harbor dredging project.  A condition of the appropriation required a $40 million match from the United States Army Corps of Engineers and $10 million from the Port of Grays Harbor.  Because the project was not begun during the 1987-89 biennium, the Legislature reappropriated the funds for the 1989-91 biennium.

An informal Attorney General's opinion has interpreted the condition to mean that an advance appropriation of the full $40 million from the federal government or a legally binding commitment from Congress is necessary in order to expend the state funds.  This is not possible since the harbor dredging is a three year project and Congress makes annual appropriations.  The federal appropriation for the first year of the project is $13 million.

SUMMARY:

The condition on the state appropriation is amended to require an authorization of $40 million and an appropriation of $13 million from the federal government and a $10 million authorization from local government.  Up to $3.5 million of the first year's local match may consist of property, easements, or other expenditures approved by the Corps of Engineers.  State funds will be disbursed at a rate of $1 for every $4 of federal funds and $1 of local funds.  The Port of Grays Harbor must substitute the state appropriation with other non-state public grants or funding sources if available.  In the event the total project cost is reduced, the state funds will be reduced proportionally.

VOTES ON FINAL PASSAGE:

      House 95   0

      Senate    43     0

EFFECTIVE:January 26, 1990