H-1513

AN ACT Relating to clarifying the authority of port districts to exercise powers within and outside their territorial limits; amending RCW 53.04.010 and 53.08.240; and creating a new section.

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

NEW SECTION. Sec. 1. Article VIII, section 8 of the Washington state Constitution authorizes the use of public funds by port districts in such manner as the legislature may prescribe for industrial development or trade promotion. The legislature recognizes a growing need for Washington port districts to participate with other public agencies of this state and adjoining states to attract, encourage, and develop industry and promote trade on both sides of their borders, for economic benefit to the state of Washington. RCW 53.08.240 authorizes agreements between two or more port districts for the exercise of powers both within and outside their districts, and further authorizes contracts by port districts with other governmental entities. The interlocal cooperation act, chapter 39.34 RCW, also authorizes joint agreements and contracts between port districts and other state and local public agencies including political subdivisions of other states. However, there is uncertainty as to whether or not a port district may exercise industrial development or trade promotion powers outside the district or state boundaries except jointly with another Washington port district. The purpose of this legislation is to define and clarify the authority of Washington port districts to exercise those powers jointly or in cooperation with other public agencies when found to be necessary and beneficial to the people of this state.

Sec. 2. RCW 53.04.010 and 1963 c 147 s 1 are each amended to read as follows:

Port districts are hereby authorized to be established in the various counties of the state for the purposes of acquisition, construction, maintenance, operation, development and regulation ((~~within the district~~)) of harbor improvements, rail or motor vehicle transfer and terminal facilities, water transfer and terminal facilities, air transfer and terminal facilities, or any combination of such transfer and terminal facilities, and other commercial transportation, transfer, handling, storage and terminal facilities, and industrial improvements. Powers of a port district shall be exercised within the district, except as otherwise provided by statute or pursuant to an interlocal cooperation agreement with another public agency as defined in chapter 39.34 RCW. In addition to other requirements of chapter 39.34 RCW, such an interlocal cooperation agreement may involve the exercise of a district's powers outside the boundaries of the state of Washington in whole or in part only if found, by resolution of the port district commission exercising such authority, to be reasonably necessary for the effective exercise of the port district's statutory powers and for the benefit of the inhabitants of the district and state of Washington. The resolution may be adopted only after a public hearing of which notice has been published in a newspaper of general circulation within the district at least ten days in advance.

Sec. 3. RCW 53.08.240 and 1961 c 24 s 1 are each amended to read as follows:

Any two or more port districts shall have the power, by mutual agreement, to exercise jointly all powers granted to each individual district, and in the exercise of such powers shall have the right and power to acquire jointly all lands, property, property rights, leases, or easements necessary for their purposes, either entirely within or partly within or partly without or entirely without such districts: PROVIDED, That any two or more districts so acting jointly, by mutual agreement, shall not acquire any real property or real property rights in any other port district without the consent of such district.

A district may enter into any contract with the United States, or any state, county, or municipal corporation, or any department of those entities, including but not limited to municipal corporations of adjoining states, for carrying out, either within or outside the district, in whole or in part, any of the powers that each of the contracting parties may by law exercise separately.

In addition to other powers granted by statute, a port district may enter into agreements with the United States or any of its agencies, or with any state, or with any municipal corporation of this state or of an adjoining state, for exercising jointly or cooperatively within or outside the district, in whole or in part, any of the powers that each of the contracting parties may by law exercise separately, for the promotion or development of trade or industry. Such powers may be exercised outside the boundaries of this state only after a public hearing of which notice has been published in a newspaper of general circulation within the district at least ten days in advance, and pursuant to findings and a resolution by the port district commission that: (1) The undertaking and the district's participation in it will substantially benefit the district and the state of Washington; and (2) the district's share of the cost will not exceed an amount calculated by dividing the total cost of the undertaking by the number of participants.