Washington State House of Representatives Office of Program Research | BILL ANALYSIS |
Rural Development, Agriculture, & Natural Resources Committee |
HB 2559
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. |
Brief Description: Concerning payments in lieu of real property taxes by the department of fish and wildlife.
Sponsors: Representatives Springer and Dent.
Brief Summary of Bill |
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Hearing Date: 1/22/20
Staff: Rebecca Lewis (786-7339).
Background:
Payments in Lieu of Taxes.
As state agencies, the Department of Fish and Wildlife (WDFW) and Department of Natural Resources (DNR) are exempt from paying property taxes on lands that the agencies own. However, the WDFW and the DNR provide payments in lieu of taxes (PILT) to counties for certain agency-owned lands. The DNR PILT rate is equal to the amount of property tax that would be due if the property were taxed as open space land, and DNR PILT payments are made to counties on behalf of the DNR by the State Treasurer.
Department of Fish and Wildlife Payments in Lieu of Taxes.
Counties must choose whether or not to receive PILT from the WDFW. If a county chooses to receive PILT, the county may no longer keep the fines they collect from fish and wildlife code violations, and those fines are instead deposited into the State General Fund.
Counties that receive PILT may choose to be paid either at a rate equivalent to taxes on open space land, or the greater of 70 cents per acre per year or the amount of PILT paid in 1984. The WDFW is also required to pay counties that elect to receive PILT an amount for the control of noxious weeds equal to that which would be paid under private ownership.
Recent Changes to the Department of Fish and Wildlife Payments in Lieu of Taxes Rates.
In the 2012 Supplemental Operating Budget, the PILT rates were amended to be equivalent to the rates paid to each county in 2009. This amendment was continued in the 2013-15 and 2015-17 Operating Budget. In the 2017-19 Operating Budget, PILT rates were set at specific rates that were lower than the open space tax rate, but higher than the 2009 levels.
In the 2019-21 Operating Budget, the PILT rates were returned to either:
an amount equal to the open space rate paid by the DNR on similar parcels of land; or
the greater of 70 cents per acre per year or the amount of PILT paid in 1984.
Additionally, the 2019-21 Operating Budget directed WDFW's PILT payments to be made by the State Treasurer on behalf of the WDFW for the biennium, rather than by the WDFW directly.
Summary of Bill:
On behalf of the Department of Fish and Wildlife (WDFW), the State Treasurer must distribute WDFW PILT payments to counties. References to previous PILT rates per county established in the 2013-15, 2015-17, and 2017-19 biennia are deleted.
Appropriation: None.
Fiscal Note: Preliminary fiscal note available.
Effective Date: The bill takes effect on July 1, 2021.