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                       ENGROSSED SUBSTITUTE HOUSE BILL 2561

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State of Washington              52nd Legislature             1992 Regular Session

By House Committee on Local Government (originally sponsored by Representatives Fraser, Miller, Valle, Edmondson, Rayburn, McLean, Belcher, Basich, Haugen, Chandler, Wynne and Nealey; by request of Jnt Sel Com on Water Resource Policy)

Read first time 02/07/92.  Authorizing cities and towns to issue revenue bonds for financing water conservation programs.

     AN ACT Relating to municipal water conservation programs; amending RCW 35.92.105; and adding new sections to chapter 36.94 RCW.

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

     Sec. 1.  RCW 35.92.105 and 1981 c 273 s 1 are each amended to read as follows:

     A city or town may issue revenue bonds ((or)), warrants, or other evidences of indebtedness in the manner provided by this chapter for the purpose of defraying the cost of financing programs for the conservation or more efficient use of energy or water.  The bonds ((or)), warrants, or other evidences of indebtedness shall be deemed to be for capital purposes within the meaning of the uniform system of accounts for municipal corporations.

NEW SECTION. Sec. 2.  A new section is added to chapter 36.94 RCW to read as follows:

     A county engaged in the sale or distribution of water may issue revenue bonds, or other evidence of indebtedness in the manner provided by this chapter for the purpose of defraying the cost of financing programs for the conservation or more efficient use of water.  The bonds or other evidence of indebtedness shall be deemed to be for capital purposes.

NEW SECTION. Sec. 3.  A new section is added to chapter 36.94 RCW to read as follows:

     Any county engaged in the sale or distribution of water is hereby authorized, within limits established by the Constitution of the state of Washington, to assist the owners of structures that are provided water service by the county in financing the acquisition and installation of fixtures, systems, and equipment, for compensation or otherwise, for the conservation or more efficient use of water in the structures under a water conservation plan adopted by the county if the cost per unit of water saved or conserved by the use of the fixtures, systems, and equipment is less than the cost per unit of water supplied by the next least costly new water source available to the county to meet future demand.  Except where otherwise authorized, assistance shall be limited to:

     (1) Providing an inspection of the structure, either directly or through one or more inspectors under contract, to determine and inform the owner of the estimated cost of purchasing and installing conservation fixtures, systems, and equipment for which financial assistance will be approved and the estimated life cycle savings to the water system and the consumer that are likely to result from the installation of the fixtures, systems, or equipment;

     (2) Providing a list of businesses that sell and install the fixtures, systems, and equipment within or in close proximity to the service area of the county, each of which businesses shall have requested to be included and shall have the ability to provide the products in a workmanlike manner and to utilize the fixtures, systems, and equipment in accordance with the prevailing national standards;

     (3) Arranging to have approved conservation fixtures, systems, and equipment installed by a private contractor whose bid is acceptable to the owner of the structure and verifying the installation; and

     (4) Arranging or providing financing for the purchase and installation of approved conservation fixtures, systems, and equipment.  The fixtures, systems, and equipment shall be purchased or installed by a private business, the owner, or the utility.

     Pay back shall be in the form of incremental additions to the utility bill, billed either together with use charge or separately.  Loans shall not exceed one hundred twenty months in length.