SENATE BILL REPORT

SB 6774

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As Reported by Senate Committee On:

Transportation, February 3, 2010

Title: An act relating to transportation benefit district governance.

Brief Description: Addressing transportation benefit district governance.

Sponsors: Senator Marr.

Brief History:

Committee Activity: Transportation: 2/01/10, 2/03/10 [DPS, w/oRec].

SENATE COMMITTEE ON TRANSPORTATION

Majority Report: That Substitute Senate Bill No. 6774 be substituted therefor, and the substitute bill do pass.

Signed by Senators Haugen, Chair; Marr, Vice Chair; Swecker, Ranking Minority Member; Becker, Berkey, Delvin, Eide, Hatfield, Jacobsen, Kauffman, Kilmer, King and Sheldon.

Minority Report: That it be referred without recommendation.

Signed by Senator Benton.

Staff: Kelly Simpson (786-7403)

Background: A transportation benefit district (TBD) is a quasi-municipal corporation and independent taxing authority that may be established by a county or city for the purpose of acquiring, constructing, improving, providing, and funding transportation improvements within the district. Various revenue options are available to a TBD in order to finance the improvements, most of which are subject to voter approval.

A TBD is governed by the legislative authority of the jurisdiction proposing to create it, or by a governance structure prescribed in an interlocal agreement among multiple jurisdictions. If a TBD includes an area within more than one jurisdiction, the governing body must have at least five members, including at least one elected official from each of the participating jurisdictions. Port districts and transit districts may participate in the establishment of a TBD but may not initiate TBD formation.

Summary of Bill: The bill as referred to committee not considered.

Summary of Bill (Recommended Substitute): An alternative governance structure is provided for a TBD that includes an area within more than one jurisdiction. A multi-jurisdiction TBD may be governed by the governing body of the metropolitan planning organization serving the district, but only if the TBD and MPO boundaries are identical.

EFFECT OF CHANGES MADE BY TRANSPORTATION COMMITTEE (Recommended Substitute As Passed Committee): Restricts the alternative governance structure option to those areas where the TBD boundaries are identical to the MPO boundaries.

Appropriation: None.

Fiscal Note: Not requested.

Committee/Commission/Task Force Created: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony on Proposed Substitute As Heard in Committee: PRO: Various regions around the state, including the Spokane region, are becoming increasingly interested in creating a TBD to fund transportation improvements within their region. The current law regarding multi-jurisdiction TBD governance structures may be problematic for certain regions, particularly rural areas of the state. This bill simplifies the governance structure of TBDs that include multiple local jurisdictions within the TBD area.

Persons Testifying: PRO: Senator Marr, prime sponsor; Mike Burgess, Spokane County