CERTIFICATION OF ENROLLMENT

 

                   SUBSTITUTE HOUSE BILL 2707

 

 

 

 

 

 

 

                        53rd Legislature

                      1994 Regular Session

Passed by the House February 11, 1994

  Yeas 96   Nays 0

 

 

 

 

Speaker of the

     House of Representatives

 

Passed by the Senate March 8, 1994

  Yeas 40   Nays 0

         CERTIFICATE

 

I, Marilyn Showalter, Chief Clerk of the House of Representatives of the State of Washington, do hereby certify that the attached is SUBSTITUTE HOUSE BILL 2707 as passed by the House of Representatives and the Senate on the dates hereon set forth.

 

 

 

 

President of the Senate

 

                  Chief Clerk

 

 

Approved Place Style On Codes above, and Style Off Codes below.

                        FILED

          

 

 

Governor of the State of Washington

           Secretary of State

          State of Washington


          _______________________________________________

 

                    SUBSTITUTE HOUSE BILL 2707

          _______________________________________________

 

             Passed Legislature - 1994 Regular Session

 

 

State of Washington      53rd Legislature     1994 Regular Session

 

By House Committee on Transportation (originally sponsored by Representatives R. Fisher and Johanson; by request of Transportation Improvement Board)

 

Read first time 02/04/94.

 

Revising transportation improvement funding procedures.



    AN ACT Relating to transportation improvement funding procedures; amending RCW 35.77.010, 36.81.121, 46.68.090, 46.68.095, 46.68.100, 47.26.040, 47.26.080, 47.26.084, 47.26.090, 47.26.121, 47.26.140, 47.26.160, 47.26.170, 47.26.185, 47.26.190, 47.26.260, 47.26.270, 47.26.305, 47.26.425, 47.26.4252, 47.26.4254, 47.26.440, 47.26.450, 47.26.460, 47.26.500, 47.26.505, and 82.36.025; adding new sections to chapter 47.26 RCW; and repealing RCW 47.26.042, 47.26.043, 47.26.180, 47.26.220, 47.26.230, 47.26.240, 47.26.265, 47.26.310, 47.26.315, and 47.26.430.

 

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

 

    Sec. 1.  RCW 35.77.010 and 1990 1st ex.s. c 17 s 59 are each amended to read as follows:

    (1) The legislative body of each city and town, pursuant to one or more public hearings thereon, shall prepare and adopt a comprehensive street program for the ensuing six calendar years.  If the city or town has adopted a comprehensive plan pursuant to chapter 35.63 or 35A.63 RCW, the inherent authority of a first class city derived from its charter, or chapter 36.70A RCW, the program shall be consistent with this comprehensive plan.

    The program shall be filed with the secretary of transportation not more than thirty days after its adoption.  Annually thereafter the legislative body of each city and town shall review the work accomplished under the program and determine current city street needs.  Based on these findings each such legislative body shall prepare and after public hearings thereon adopt a revised and extended comprehensive street program before July 1st of each year, and each one-year extension and revision shall be filed with the secretary of transportation not more than thirty days after its adoption.  The purpose of this section is to assure that each city and town shall perpetually have available advanced plans looking to the future for not less than six years as a guide in carrying out a coordinated street construction program.  The program may at any time be revised by a majority of the legislative body of a city or town, but only after a public hearing.

    ((The six-year program of each city lying within an urban area shall contain a separate section setting forth the six-year program for arterial street construction based upon its long range construction plan and formulated in accordance with rules of the transportation improvement board.  The six-year program for arterial street construction shall be submitted to the transportation improvement board forthwith after its annual revision and adoption by the legislative body of the city.  The six-year program for arterial street construction shall be based upon estimated revenues available for such construction together with such additional sums as the legislative authority may request for urban arterials from the urban arterial trust account or the transportation improvement account for the six-year period.  The arterial street construction program shall provide for a more rapid rate of completion of the long-range construction needs of principal arterial streets than for minor and collector arterial streets, pursuant to rules of the transportation improvement board:  PROVIDED, That urban arterial trust funds made available to the group of incorporated cities lying outside the boundaries of federally approved urban areas within each region need not be divided between functional classes of arterials but shall be available for any designated arterial street.))

    (2) Each six-year program forwarded to the secretary in compliance with subsection (1) of this section shall contain information as to how a city or town will expend its moneys, including funds made available pursuant to chapter 47.30 RCW, for bicycle, pedestrian, and equestrian purposes.

 

    Sec. 2.  RCW 36.81.121 and 1990 1st ex.s. c 17 s 58 are each amended to read as follows:

    (1) Before July 1st of each year, the legislative authority of each county with the advice and assistance of the county road engineer, and pursuant to one or more public hearings thereon, shall prepare and adopt a comprehensive road program for the ensuing six calendar years.  If the county has adopted a comprehensive plan pursuant to chapter 35.63 or 36.70 RCW, the inherent authority of a charter county derived from its charter, or chapter 36.70A RCW, the program shall be consistent with this comprehensive plan.

    The program shall include proposed road and bridge construction work, and for those counties operating ferries shall also include a separate section showing proposed capital expenditures for ferries, docks, and related facilities.  Copies of the program shall be filed with the county road administration board and with the state secretary of transportation not more than thirty days after its adoption by the legislative authority.  The purpose of this section is to assure that each county shall perpetually have available advanced plans looking to the future for not less than six years as a guide in carrying out a coordinated road construction program.  The program may at any time be revised by a majority of the legislative authority but only after a public hearing thereon.

    (2) ((The six-year program of each county having an urban area within its boundaries shall contain a separate section setting forth the six-year program for arterial road construction based upon its long-range construction plan and formulated in accordance with regulations of the transportation improvement board.  The six-year program for arterial road construction shall be submitted to the transportation improvement board forthwith after its annual revision and adoption by the legislative authority of each county.  The six-year program for arterial road construction shall be based upon estimated revenues available for such construction together with such additional sums as the legislative authority of each county may request for urban arterials from the urban arterial trust account or the transportation improvement account for the six-year period.  The arterial road construction program shall provide for a more rapid rate of completion of the long-range construction needs of principal arterial roads than for minor and collector arterial roads, pursuant to regulations of the transportation improvement board.

    (3))) Each six-year program forwarded to the secretary in compliance with subsection (1) of this section shall contain information as to how a county will expend its moneys, including funds made available pursuant to chapter 47.30 RCW, for bicycles, pedestrians, and equestrian purposes.

 

    Sec. 3.  RCW 46.68.090 and 1991 c 342 s 56 are each amended to read as follows:

    (1) All moneys that have accrued or may accrue to the motor vehicle fund from the motor vehicle fuel tax and special fuel tax shall be first expended for the following purposes:

    (a) For payment of refunds of motor vehicle fuel tax and special fuel tax that has been paid and is refundable as provided by law;

    (b) For payment of amounts to be expended pursuant to appropriations for the administrative expenses of the offices of state treasurer, state auditor, and the department of licensing of the state of Washington in the administration of the motor vehicle fuel tax and the special fuel tax, which sums shall be distributed monthly;

    (c) From April 1, 1992, through March 31, 1996, for distribution to the transfer relief account, hereby created in the motor vehicle fund, an amount not to exceed three hundred twenty-five one-thousandths of one percent;

    (d) For distribution to the rural arterial trust account in the motor vehicle fund, an amount as provided in RCW 82.36.025(2) and 46.68.095(3);

    (e) For distribution to the urban arterial trust account in the motor vehicle fund, an amount as provided in RCW 46.68.100(4) and 82.36.025(3);

    (f) For distribution to the transportation improvement account in the motor vehicle fund, an amount as provided in RCW 46.68.095(1);

    (g) For distribution to the special category C account, hereby created in the motor vehicle fund, an amount as provided in RCW 46.68.095(2);

    (h) For distribution to the county arterial preservation account, hereby created in the motor vehicle fund, an amount as provided in RCW 46.68.095(4);

    (i) For distribution to the motor vehicle fund to be allocated to cities and towns as provided in RCW 46.68.110, an amount as provided in RCW 46.68.095(5);

    (j) For distribution to the motor vehicle fund to be allocated to counties as provided in RCW 46.68.120, an amount as provided in RCW 46.68.095(6);

    (k) For expenditure for highway purposes of the state as defined in RCW 46.68.130, an amount as provided in RCW 82.36.025(4) and 46.68.095(7);

    (l) For distribution to the small city account, hereby created in the motor vehicle fund, an amount as provided for in RCW 46.68.095(1), 46.68.100(9), and 82.36.025(3).

    (2) The amount accruing to the motor vehicle fund by virtue of the motor vehicle fuel tax and the special fuel tax and remaining after payments, distributions, and expenditures as provided in this section shall, for the purposes of this chapter, be referred to as the "net tax amount."

 

    Sec. 4.  RCW 46.68.095 and 1990 c 42 s 103 are each amended to read as follows:

    All moneys that have accrued or may accrue to the motor vehicle fund from the motor vehicle fuel tax and special fuel tax imposed by RCW 82.36.025(5) shall be distributed monthly by the state treasurer in the following proportions:

    (1) Through June 30, 1995, one and one-half cents shall be deposited in the transportation improvement account and expended in accordance with RCW 47.26.084.  After June 30, 1995, eighty-seven percent of one and one-half cents shall be deposited in the transportation improvement account and expended in accordance with section 11 of this act and thirteen percent of one and one-half cents shall be deposited in the small city account and expended in accordance with section 9 of this act.

    (2) From April 1, 1991, seventy-five one-hundredths of one cent shall be deposited in the special category C account in the motor vehicle fund for special category C projects.  Special category C projects are category C projects as defined in RCW 47.05.030(3) that, due to high cost only, will require bond financing to complete construction.

    The following criteria, listed in order of priority, shall be used in determining which special category C projects have the highest priority:

    (a) Accident experience; and

    (b) Fatal accident experience; and

    (c) Capacity to move people and goods safely and at reasonable speeds without undue congestion; and

    (d) Continuity of development of the highway transportation network.

    Moneys deposited in the special category C account in the motor vehicle fund may be used for payment of debt service on bonds the proceeds of which are used to finance special category C projects under this subsection.

    (3) Twenty-five one-hundredths of one cent shall be deposited in the rural arterial trust account in the motor vehicle fund.

    (4) Forty-five one-hundredths of one cent shall be deposited in the county arterial preservation account.  These funds shall be distributed by the county road administration board to counties in proportions corresponding to the number of paved arterial lane miles in the unincorporated area of each county and shall be used for improvements to sustain the structural, safety, and operational integrity of county arterials.  The county road administration board shall adopt reasonable rules and develop policies to implement this program and to assure that a pavement management system is used.

    (5) One-half of one cent shall be allocated to cities and towns as provided in RCW 46.68.110.

    (6) From April 1, 1990, through March 31, 1991, thirty one-hundredths of one cent and after March 31, 1991, fifty-five one-hundredths of one cent shall be allocated to counties as provided in RCW 46.68.120.

    (7) One cent shall be deposited in the motor vehicle fund and shall be expended for highway purposes of the state as defined in RCW 46.68.130.

 

    Sec. 5.  RCW 46.68.100 and 1991 c 310 s 2 are each amended to read as follows:

    From the net tax amount in the motor vehicle fund there shall be paid monthly as funds accrue the following sums:

    (1) To the cities and towns, to be distributed as provided by RCW 46.68.110, sums equal to six and ninety-two hundredths percent of the net tax amount;

    (2) To the cities and towns, to be expended as provided by RCW 46.68.115, sums equal to four and sixty-one hundredths percent of the net tax amount;

    (3) To the counties, sums equal to twenty-two and seventy-eight hundredths percent of the net tax amount (a) out of which there shall be distributed from time to time, as directed by the department of transportation, those sums as may be necessary to carry out the provisions of RCW 47.56.725, and (b) less any amounts appropriated to the county road administration board to implement the provisions of RCW 47.56.725(4), with the balance of such county share to be distributed monthly as the same accrues for distribution in accordance with RCW 46.68.120;

    (4) To the urban arterial trust account in the motor vehicle fund, (a) through June 30, 1995, sums equal to seven and twelve hundredths percent of the net tax amount, (b) and after June 30, 1995, ninety-five percent of seven and twelve hundredths percent of the net tax amount;

    (5) To the state, to be expended as provided by RCW 46.68.130, sums equal to forty-five and twenty-six hundredths percent of the net tax amount;

    (6) To the state, to be expended as provided by RCW 46.68.150 as now or hereafter amended, sums equal to six and ninety-five hundredths percent of the net tax amount;

    (7) To the Puget Sound capital construction account in the motor vehicle fund sums equal to three and twenty-one hundredths percent of the net tax amount;

    (8) To the Puget Sound ferry operations account in the motor vehicle fund sums equal to three and fifteen hundredths percent of the net tax amount;

    (9) After June 30, 1995, to the small city account in the motor vehicle fund, sums equal to five percent of seven and twelve hundredths percent of the net tax amount.

    Nothing in this section or in RCW 46.68.090 or 46.68.130 may be construed so as to violate any terms or conditions contained in any highway construction bond issues now or hereafter authorized by statute and whose payment is by such statute pledged to be paid from any excise taxes on motor and special vehicle fuels.

 

    NEW SECTION.  Sec. 6.  A new section is added to chapter 47.26 RCW to read as follows:

    The term "board" as used in this chapter means the transportation improvement board.

 

    Sec. 7.  RCW 47.26.040 and 1984 c 7 s 153 are each amended to read as follows:

    The term "urban area" as used in this chapter means every area of this state designated as an urban area by the department ((with the approval of the federal secretary of transportation in accordance with federal law, hereafter referred to as federally approved urban areas, or areas within incorporated cities)) in cooperation with the board and regional transportation planning organizations.

 

    Sec. 8.  RCW 47.26.080 and 1991 sp.s. c 32 s 32 are each amended to read as follows:

    There is hereby created in the motor vehicle fund the urban arterial trust account.  The intent of the urban arterial trust account program is to improve the urban arterial street system of the state by improving mobility and safety while supporting an environment essential to the quality of life of the citizens of the state of Washington.  To be eligible to receive these funds, a project must be consistent with  the Growth Management Act, the Clean Air Act including conformity, and the Commute Trip Reduction Law. The project shall consider safety, mobility, and physical characteristics of the roadway and must be partially funded by local government.

    All moneys deposited in the motor vehicle fund to be credited to the urban arterial trust account shall be expended for the construction and improvement of city arterial streets and county arterial roads within urban areas, for expenses of the transportation improvement board in accordance with RCW 47.26.140, or for the payment of principal or interest on bonds issued for the purpose of constructing or improving city arterial streets and county arterial roads within urban areas, or for reimbursement to the state, counties, cities, and towns in accordance with RCW 47.26.4252 and 47.26.4254, the amount of any payments made on principal or interest on urban arterial trust account bonds from motor vehicle or special fuel tax revenues which were distributable to the state, counties, cities, and towns.

    The board shall not allocate funds, nor make payments of the funds under RCW 47.26.260, to any county, city, or town identified by the governor under RCW 36.70A.340.

 

    NEW SECTION.  Sec. 9.  A new section is added to chapter 47.26 RCW to read as follows:

    The intent of the small city account program is to preserve and improve the roadway system consistent with local needs of incorporated cities and towns with a population of less than five thousand.  The board shall adopt rules and procedures to govern the allocation of funds distributed to the small city account.  All moneys deposited in the motor vehicle fund to be credited to the small city account must be expended for roadway projects, for expenses of the board, or for the payment of principal or interest on bonds issued for the purpose of constructing or improving roadway facilities or for reimbursement to the state, counties, cities, and towns in accordance with RCW 47.26.4252 and 47.26.4254, the amount of any payments made on principal or interest on urban arterial trust account bonds from motor vehicle or special fuel tax revenues that were distributable to the state, counties, cities, and towns.  The board shall not allocate funds, nor make payments of the funds under RCW 47.26.260, to a city or town identified by the governor under RCW 36.70A.340.

 

    Sec. 10.  RCW 47.26.084 and 1988 c 167 s 2 are each amended to read as follows:

    The transportation improvement account is hereby created in the motor vehicle fund.  The board shall adopt rules and procedures which shall govern the allocation of funds in the transportation improvement account at such time as funds become available.  All projects selected for funding before the fiscal year 1996 transportation improvement account program are governed by this section.

    The board shall allocate funds from the account by June 30th of each year for the ensuing fiscal year and shall endeavor to provide geographical diversity in selecting improvement projects to be funded from the account.

    Of the amount made available to the transportation improvement board from the transportation improvement account for improvement projects:

    (1) Eighty-seven percent shall be allocated to urban counties, to cities with a population of ((over)) five thousand and over, and to transportation benefit districts.  Improvement projects may include, but are not limited to, multi-agency projects and ((suburban)) arterial improvement projects in fast-growing areas.

    To be eligible to receive these funds, a project must be (a) consistent with state, regional, and local transportation plans and consideration shall be given to the project's relationship, both actual and potential, with rapid mass transit and at such time as a rail plan is developed by the rail development commission, projects must be consistent therewith, (b) necessitated by existing or reasonably foreseeable congestion levels attributable to economic development or growth, and (c) partially funded by local government or private contributions, or a combination of such contributions.  The board shall, for those projects meeting the eligibility criteria, determine what percentage of each project is funded by local and/or private contribution.  Priority consideration shall be given to those projects with the greatest percentage of local and/or private contribution.

    Within one year after board approval of an application for funding, a county, city, or transportation benefit district shall provide written certification to the board of the pledged local and/or private funding.  Funds allocated to an applicant that does not certify its funding within one year after approval may be reallocated by the board.

    (2) Thirteen percent shall be allocated by the board to cities and towns with a population of less than five thousand ((or less)) for street improvement projects in a manner determined by the board.

 

    NEW SECTION.  Sec. 11.  A new section is added to chapter 47.26 RCW to read as follows:

    Transportation improvement account projects selected for funding programs after fiscal year 1995 are governed by the requirements of this section.

    The board shall allocate funds from the account by June 30th of each year for the ensuing fiscal year to urban counties, cities with a population of five thousand and over, and to transportation benefit districts.  Projects may include, but are not limited to, multi-agency projects and arterial improvement projects in fast-growing areas. The board shall endeavor to provide geographical diversity in selecting improvement projects to be funded from the account.

    The intent of the program is to improve mobility of people and goods in Washington state by supporting economic development and environmentally responsive solutions to our state-wide transportation system needs.

    To be eligible to receive these funds, a project must be consistent with the Growth Management Act, the Clean Air Act including conformity, and the Commute Trip Reduction Law and consideration must have been given to the project's relationship, both actual and potential, with the state-wide rail passenger program and rapid mass transit.  Projects must be consistent with any adopted high capacity transportation plan, must consider existing or reasonably foreseeable congestion levels attributable to economic development or growth and all modes of transportation and safety, and must be partially funded by local government or private contributions, or a combination of such contributions.  Priority consideration shall be given to those projects with the greatest percentage of local or private contribution, or both.

    Within one year after board approval of an application for funding, the lead agency shall provide written certification to the board of the pledged local and private funding for the phase of the project approved.  Funds allocated to an applicant that does not certify its funding within one year after approval may be reallocated by the board.

 

    Sec. 12.  RCW 47.26.090 and 1988 c 167 s 14 are each amended to read as follows:

    The term "arterial" as used in this chapter means any state highway, county road, or city street, in an urban area, that is functionally classified ((by the federal highway administration)) as a principal arterial, minor arterial, or collector street by the department in cooperation with the board, regional transportation planning organizations, cities, and counties.  The board shall develop criteria and procedures for designating arterials in the incorporated cities and towns lying outside urban areas.

 

    Sec. 13.  RCW 47.26.121 and 1993 c 172 s 1 are each amended to read as follows:

    (1) There is hereby created a transportation improvement board of eighteen members, six of whom shall be county members and six of whom shall be city members.  The remaining members shall be:  (a) One representative appointed by the governor who shall be a state employee with responsibility for transportation policy, planning, or funding; (b) the assistant secretary of the department of transportation whose primary responsibilities relate to planning and public transportation; (c) the assistant secretary for local programs of the department of transportation; (d) a representative of a public transit system; (e) a private sector representative; and (f) a public member.

    (2) Of the county members of the board, one shall be a county engineer or public works director; one shall be the executive director of the county road administration board; one shall be a county planning director or planning manager; one shall be a county executive, councilmember, or commissioner from a county with a population of one hundred twenty-five thousand or more; one shall be a county executive, councilmember, or commissioner of a county who serves on the board of a public transit system; and one shall be a county executive, councilmember, or commissioner from a county with a population of less than one hundred twenty-five thousand.  All county members of the board, except the executive director of the county road administration board, shall be appointed.  Not more than one county member of the board shall be from any one county.   No more than two of the three county-elected officials may represent counties located in either the eastern or western part of the state as divided north and south by the summit of the Cascade mountains.

    (3) Of the city members of the board one shall be a chief city engineer, public works director, or other city employee with responsibility for public works activities, of a city with a population of twenty thousand or more; one shall be a chief city engineer, public works director, or other city employee with responsibility for public works activities, of a city of less than twenty thousand population; one shall be a city planning director or planning manager; one shall be a mayor, commissioner, or city councilmember of a city with a population of twenty thousand or more; one shall be a mayor, commissioner, or city councilmember of a city who serves on the board of a public transit system; and one shall be a mayor, commissioner, or councilmember of a city of less than twenty thousand population.  All of the city members shall be appointed.  Not more than one city member of the board shall be from any one city.  No more than two of the three city-elected officials may represent cities located in either the eastern or western part of the state as divided north and south by the summit of the Cascade mountains.

    (4) The transit member shall be a general manager, executive director, or transit director of a public transit system.

    (5) The private sector member shall be a citizen with business, management, and transportation related experience and shall be active in a business community-based transportation organization.

    (6) The public member shall have professional experience in transportation or land use planning, a demonstrated interest in transportation issues, and involvement with community groups or grass roots organizations.

    (7) Appointments of county, city, transit, private sector, and public representatives shall be made by the secretary of the department of transportation.  Appointees shall be chosen from a list of two persons for each position nominated by the Washington state association of counties for county members, the association of Washington cities for city members, and the Washington state transit association for the transit member.  The private sector and public members shall be sought through classified advertisements in selected newspapers collectively serving all urban areas of the state, and other appropriate means.  Persons applying for the private sector or the public member position must provide a letter of interest and a resume to the secretary of the department of transportation.  In the case of a vacancy, the appointment shall be only for the remainder of the unexpired term in which the vacancy has occurred.  A vacancy shall be deemed to have occurred on the board when any member elected to public office completes that term of office or is removed therefrom for any reason or when any member employed by a political subdivision terminates such employment for whatsoever reason or when a private sector or public member resigns or is unable or unwilling to serve.

    (8) Appointments shall be for terms of four years.  Terms of all appointed members shall expire on June 30th of even-numbered years.  The initial term of appointed members may be for less than four years.  No appointed member may serve more than two consecutive four-year terms.

    (9) The board shall elect a chair from among its members for a two-year term.

    (10) Expenses of the board((, including administration of the transportation improvement program,)) shall be paid ((from the urban arterial account)) in accordance with RCW 47.26.140.

    (11) For purposes of this section, "public transit system" means a city-owned transit system, county transportation authority, metropolitan municipal corporation, public transportation benefit area, or regional transit authority.

 

    Sec. 14.  RCW 47.26.140 and 1988 c 167 s 16 are each amended to read as follows:

    The transportation improvement board shall appoint an executive director, who shall serve at its pleasure and whose salary shall be set by the board, and may employ additional staff as it deems appropriate.  All costs associated with staff, together with travel expenses in accordance with RCW 43.03.050 and 43.03.060, shall be paid from the urban arterial trust account, small city account, city hardship assistance account, and the transportation improvement account in the motor vehicle fund as determined by the biennial appropriation.

 

    Sec. 15.  RCW 47.26.160 and 1988 c 167 s 18 are each amended to read as follows:

    The transportation improvement board shall:

    (1) Adopt rules necessary to implement the provisions of this chapter relating to the allocation of funds;

    (2) Adopt reasonably uniform design standards for city and county arterials ((that meet the requirements for urban development;

    (3) Report biennially on the first day of November of the even-numbered years to the department and to the chairs of the house and senate transportation committees, including one copy to the staff of each of the committees, regarding progress of cities and counties in developing long-range plans for their urban arterial construction, programming of urban arterial construction work, and the allocation of funds)).

 

    Sec. 16.  RCW 47.26.170 and 1988 c 167 s 19 are each amended to read as follows:

    ((The legislative authority of)) Each county ((or city lying within or)) having within its boundaries an urban area and cities and towns shall prepare((, adopt,)) and submit to the transportation improvement board ((a long-range plan for arterial construction, taking into account the comprehensive land use plan of each such jurisdiction and setting forth arterial construction needs through a six-year advance planning period.  The long-range arterial construction plans shall be revised by)) arterial inventory data required to determine the long-range arterial construction needs.  The counties ((and)), cities, and towns shall revise the arterial inventory data every ((two)) four years to show the current arterial construction needs through the advanced planning period, and as revised shall ((be submitted)) submit them to the transportation improvement board during the first week of January ((of)) every ((even-numbered)) four years beginning in 1996.  The ((long-range plans)) inventory data shall be prepared pursuant to guidelines established by the transportation improvement board.  ((Upon receipt of the long-range arterial construction plans of the several counties and cities, the transportation improvement board shall revise the construction needs for urban arterials set forth in the plans as necessary to conform with its uniform standards for establishing construction needs of the counties and cities.)) As information is updated, it shall be made available to the commission and the legislative transportation committee.

 

    Sec. 17.  RCW 47.26.185 and 1988 c 167 s 21 are each amended to read as follows:

    The transportation improvement board may adopt rules establishing qualifications for cities and counties administering and supervising the design and construction of projects financed in part from ((the urban arterial trust account or the transportation improvement account)) funds administered by the board.  The rules establishing qualification shall take into account the resources and population of the city or county, its permanent engineering staff, its design and construction supervision experience, and other factors the board deems appropriate.  Any city or county failing to meet the qualifications established by the board for administering and supervising a project shall contract with a qualified city or county or the department for the administration and supervision of the design and construction of any approved project as a condition for receiving ((account)) funds for the project.

 

    Sec. 18.  RCW 47.26.190 and 1988 c 167 s 22 are each amended to read as follows:

    (((1) At the beginning of each biennium for the urban arterial trust account, the transportation improvement board shall establish apportionment percentages for the five regions defined in RCW 47.26.050 in the following manner:

    (a) One-third in the ratio which the population of the urban areas of each region bears to the total population of all of the urban areas of the state as last determined by the office of financial management;

    (b) One-third in the ratio which the vehicle to mile ratio traveled on the classified arterial system prescribed in RCW 47.26.180, within the urban areas of each region bears to the total vehicle to mile ratio traveled on all classified urban arterials; and

    (c) One-third in the ratio which the city and county urban arterial needs within the urban areas of each region bears to the total urban arterial needs on city and county urban arterials within all urban areas of the state as last revised by the transportation improvement board.

    Except as otherwise provided in subsection (3) of this section, such apportionment percentages shall be used once each calendar quarter by the transportation improvement board to apportion funds credited to the urban arterial trust account which are available for expenditure for urban arterial projects:  PROVIDED, That any funds credited to the urban arterial trust account subsequent to July 1, 1987, resulting from bond sales in accordance with RCW 47.26.420 through 47.26.427 shall be apportioned according to the percentages for the five regions established for the biennium when the bonding authority was obligated to projects.

    (2) All amounts credited to the urban arterial trust account, except those provided for in subsection (3) of this section and any excise tax revenues that may be required to repay the three series of urban arterial bonds or the interest thereon when due, after apportionment to each region, shall be divided on the basis of relative population established at the beginning of each biennium by the office of financial management between (a) the group of cities and that portion of those counties within federally approved urban areas and (b) the group of incorporated cities outside the boundaries of federally approved urban areas:  PROVIDED, That funds credited to the urban arterial trust account subsequent to July 1, 1987, resulting from the sale of bonds in accordance with RCW 47.26.420 through 47.26.427 shall be divided on the basis of relative population percentages established for the biennium when the bonding authority was obligated to projects.  Within each region, funds divided between the groups identified under (a) and (b) of this subsection shall then be allocated by the transportation improvement board to incorporated cities and counties, as the case may be, for the construction of specific urban arterial projects in accordance with the procedures set forth in RCW 47.26.240.

    (3) At the beginning of each biennium the transportation improvement board shall establish apportionment percentages for each of the five regions for the apportionment of the proceeds from the sale of fifteen million dollars of series II bonds and sixteen million dollars of series III bonds authorized by RCW 47.26.420, as now or hereafter amended, in the ratio which the population of the incorporated cities and towns lying outside the boundaries of federally approved urban areas of each region bears to the total population of all incorporated cities and towns of the state lying outside the boundaries of federally approved urban areas, as such populations are determined at the beginning of each biennium by the office of financial management.  Such apportionment percentages shall be used once each calendar quarter by the transportation improvement board to apportion funds credited to the urban arterial trust account which are available for expenditure for urban arterial projects under this subsection:  PROVIDED, That any funds credited to the urban arterial trust account subsequent to July 1, 1987, resulting from the sale of bonds in accordance with RCW 47.26.420 through 47.26.427 shall be apportioned with percentages for the five regions established for the biennium when the bonding authority was obligated to projects.  Funds apportioned to each region shall be allocated by the transportation improvement board to incorporated cities lying outside the boundaries of federally approved urban areas, for the construction of specific urban arterial projects in accordance with the procedures set forth in RCW 47.26.240.))  The board shall adopt rules that provide geographical diversity in selecting improvement projects to be funded from the urban arterial trust account and small city account funds.

 

    Sec. 19.  RCW 47.26.260 and 1988 c 167 s 26 are each amended to read as follows:

    (((1) Upon completion of a preliminary proposal, the county, city, or transportation benefit district submitting said proposal shall submit to the transportation improvement board its voucher for payment of the urban arterial trust account or transportation improvement account, both hereinafter referred to in this section as account, share of the cost.  Upon the completion of an approved construction project, the county, city, or transportation benefit district constructing the project shall submit to the transportation improvement board its voucher for the payment of the appropriate account share of the cost.  The chairman of the transportation improvement board or his designated agent shall approve such voucher when proper to do so, for payment from the appropriate account to the county, city, or transportation benefit district submitting the voucher.

    (2))) The transportation improvement board ((may)) shall adopt ((regulations)) rules providing for the approval of payments of funds in the accounts to a county, city, town, or transportation benefit district for costs of ((preliminary proposal)) predesign, design, engineering, and costs of construction of an approved project from time to time as work progresses.  These payments shall at no time exceed the account share of the costs ((of construction)) incurred to the date of the voucher covering such payment.

 

    Sec. 20.  RCW 47.26.270 and 1988 c 167 s 27 are each amended to read as follows:

    Counties ((and)), cities, towns, and transportation benefit districts receiving funds from the ((urban arterial trust account for construction of arterials)) board shall provide such matching funds as ((shall be)) established by ((regulations)) rules adopted by the transportation improvement board.  ((Matching requirements shall be established after appropriate studies by the board taking into account)) When determining matching requirements, the board shall consider (1) financial resources available to counties and cities to meet arterial needs, (2) the amounts and percentages of funds available for road or street construction traditionally expended by counties and cities on arterials, (3) in the case of counties, the relative needs of arterials lying outside urban areas, and (4) the requirements necessary to avoid diversion of funds traditionally expended for arterial construction to other street or road purposes or to nonhighway purposes((:  PROVIDED HOWEVER, That for projects funded subsequent to July 1, 1977, cities and counties may use as matching funds any moneys received from any source, except such moneys which by law may not be used for the purposes set forth in this chapter)).

 

    Sec. 21.  RCW 47.26.305 and 1988 c 167 s 28 are each amended to read as follows:

    ((Each city and county eligible for receipt of urban arterial trust funds is hereby authorized and directed to establish a system of bicycle routes throughout its jurisdiction.  Such)) Bicycle routes shall, when established in accordance with ((standards adopted by the transportation improvement board,)) RCW 47.06.100 be eligible for establishment, improvement, and upgrading with ((urban arterial trust)) board funds ((when accomplished in connection with an arterial project)). The board shall adopt rules and procedures that will encourage the development of a system of bicycle routes within counties, cities, and towns.

 

    Sec. 22.  RCW 47.26.425 and 1977 ex.s. c 317 s 20 are each amended to read as follows:

    Any funds required to repay the first authorization of two hundred million dollars of bonds authorized by RCW 47.26.420, as amended by section 18, chapter 317, Laws of 1977 ex. sess. or the interest thereon when due, shall be taken from that portion of the motor vehicle fund which results from the imposition of excise taxes on motor vehicle and special fuels and which is distributed to the urban arterial trust account in the motor vehicle fund and the certain sums received by the small city account in the motor vehicle fund imposed by RCW 82.36.025(3) and 46.68.100(9), and shall never constitute a charge against any allocations of any other such funds in the motor vehicle fund to the state, counties, cities, and towns unless and until the amount of the motor vehicle fund arising from the excise tax on motor vehicle and special fuels and distributed to the urban arterial trust account and the small city account proves insufficient to meet the requirements for bond retirement or interest on any such bonds.

 

    Sec. 23.  RCW 47.26.4252 and 1983 1st ex.s. c 49 s 23 are each amended to read as follows:

    Any funds required to repay the authorization of series II bonds authorized by RCW 47.26.420, as reenacted by section 3, chapter 5, Laws of 1979, or the interest thereon when due, shall first be taken from that portion of the motor vehicle fund which results from the imposition of excise taxes on motor vehicle and special fuels imposed by chapters 82.36, 82.37, and 82.38 RCW and which is distributed to the urban arterial trust account in the motor vehicle fund and the certain sums received by the small city account in the motor vehicle fund imposed by RCW 82.36.025(3) and 46.68.100(9), subject, however, to the prior lien of the first authorization of bonds authorized by RCW 47.26.420, as reenacted by section 3, chapter 5, Laws of 1979.  If the moneys distributed to the urban arterial trust account and the small city account shall ever be insufficient to repay the first authorization bonds together with interest thereon, and the series II bonds or the interest thereon when due, the amount required to make such payments on such bonds or interest thereon shall next be taken from that portion of the motor vehicle fund which results from the imposition of excise taxes on motor vehicle and special fuels and which is distributed to the state, counties, cities, and towns pursuant to RCW 46.68.100 as now existing or hereafter amended.  Any payments on such bonds or interest thereon taken from motor vehicle or special fuel tax revenues which are distributable to the state, counties, cities, and towns, shall be repaid from the first moneys distributed to the urban arterial trust account not required for redemption of the first authorization bonds or series II and series III bonds or interest on those bond issues.

 

    Sec. 24.  RCW 47.26.4254 and 1988 c 167 s 30 are each amended to read as follows:

    (1) Any funds required to repay series III bonds authorized by RCW 47.26.420, or the interest thereon, when due shall first be taken from that portion of the motor vehicle fund that results from the imposition of excise taxes on motor vehicle and special fuels imposed by chapters 82.36, 82.37, and 82.38 RCW and that is distributed to the urban arterial trust account in the motor vehicle fund and the certain sums received by the small city account in the motor vehicle fund imposed by RCW 82.36.025(3) and RCW 46.68.100(9), subject, however, to the prior lien of the first authorization of bonds authorized by RCW 47.26.420.  If the moneys so distributed to the urban arterial trust account and the small city account, after first being applied to administrative expenses of the transportation improvement board and to the requirements of bond retirement and payment of interest on first authorization bonds and series II bonds as provided in RCW 47.26.425 and 47.26.4252, are insufficient to meet the requirements for bond retirement or interest on any series III bonds, the amount required to make such payments on series III bonds or interest thereon shall next be taken from that portion of the motor vehicle fund that results from the imposition of excise taxes on motor vehicle and special fuels and that is distributed to the state, counties, cities, and towns pursuant to RCW 46.68.100, subject, however, to subsection (2) of this section.

    (2) To the extent that moneys so distributed to the urban arterial trust account and the small city account are insufficient to meet the requirements for bond retirement or interest on any series III bonds, sixty percent of the amount required to make such payments when due shall first be taken from that portion of the motor vehicle fund that results from the imposition of excise taxes on motor vehicle and special fuels and that is distributed to the state.  The remaining forty percent shall first be taken from that portion of the motor vehicle fund that results from the imposition of excise taxes on motor vehicle and special fuels and that is distributed to the cities and towns pursuant to RCW 46.68.100(1) and to the counties pursuant to RCW 46.68.100(((2)))(3).  Of the counties', cities', and towns' share of any additional amounts required in the fiscal year ending June 30, 1984, fifteen percent shall be taken from the counties' distributive share and eighty-five percent from the cities' and towns' distributive share.  Of the counties', cities', and towns' share of any additional amounts required in each fiscal year thereafter, the percentage thereof to be taken from the counties' distributive share and from the cities' and towns' distributive share shall correspond to the percentage of funds authorized for specific county projects and for specific city and town projects, respectively, from the proceeds of series III bonds, for the period through the first eleven months of the prior fiscal year as determined by the chairman of the transportation improvement board and reported to the state finance committee and the state treasurer not later than the first working day of June.

    (3) Any payments on such bonds or interest thereon taken from motor vehicle or special fuel tax revenues that are distributable to the state, counties, cities, and towns shall be repaid from the first moneys distributed to the urban arterial trust account and the small city account not required for redemption of the first authorization bonds, series II bonds, or series III bonds or interest on these bonds.

 

    Sec. 25.  RCW 47.26.440 and 1988 c 167 s 32 are each amended to read as follows:

    Not later than November 1st of each even-numbered year the transportation improvement board shall prepare and present to the commission for comment and recommendation an adopted budget for expenditures from ((the urban arterial trust account and the transportation improvement account)) funds administered by the board during the ensuing biennium.  The budget shall contain an estimate of the revenues to be credited to the ((urban arterial trust account and the transportation improvement)) several accounts and the amount, if any, of bond proceeds which the board determines should be made available ((to the urban arterial trust account)) through the sale of bonds in the ensuing biennium.

    ((The commission shall include the budget for the transportation improvement board as a separate section of the transportation budget which it shall submit to the governor and the legislature at the time of its convening.))

 

    Sec. 26.  RCW 47.26.450 and 1988 c 167 s 33 are each amended to read as follows:

    ((At the time the transportation improvement board reviews the six-year program of each county and city each even-numbered year, it shall consider and shall approve for inclusion in its recommended budget, as required by RCW 47.26.440, the portion of the urban arterial construction program scheduled to be performed during the biennial period beginning the following July 1st.))  The board shall adopt rules and procedures to govern the allocation of funds subject to the appropriations actually approved by the legislature((, the board shall as soon as feasible approve urban arterial trust account funds to be spent during the ensuing biennium for preliminary proposals in priority sequence as established pursuant to RCW 47.26.240.  In the case of projects whose total cost exceeds one million dollars as reflected in the six-year program, the agency with jurisdiction shall furnish to the board a value engineering study performed by an interagency team approved by the board, to determine whether the proposed improvement provides a cost-effective solution for the project before the board may approve urban arterial trust funds for either the preliminary or construction phase of the project.  The board may authorize a variance from the value engineering study upon a determination that the study is not warranted.  The board may also require a value engineering study for a project whose total cost is less than one million dollars upon a determination by the board that the study is warranted.

    The board shall authorize urban arterial trust account funds for the construction project portion of a project previously authorized for a preliminary proposal in the sequence in which the preliminary proposal has been completed and the construction project is to be placed under contract.  At such time the board may reserve urban arterial trust account funds for expenditure in future years as may be necessary for completion of preliminary proposals and construction projects to be commenced in the ensuing biennium.

    The board may, within the constraints of available urban arterial trust funds, consider additional projects for authorization upon a clear and conclusive showing by the submitting local government that the proposed project is of an emergent nature and that its need was unable to be anticipated at the time the six-year program of the local government was developed.  Such proposed projects shall be evaluated on the basis of the priority rating factors specified in RCW 47.26.220)).

    The board shall develop rules and procedures to require value engineering studies performed by an interagency team for certain board funded projects.  When determining the process, the board shall consider the project cost, length, and complexity.

 

    Sec. 27.  RCW 47.26.460 and 1969 ex.s. c 171 s 7 are each amended to read as follows:

    ((Whenever the board approves an urban arterial project it shall determine the amount of urban arterial trust account funds to be allocated for such project.  The allocation shall be based upon information contained in the six-year plan submitted by the county or city seeking approval of the project and upon such further investigation as the board deems necessary.))  The board shall adopt reasonable ((regulations)) rules pursuant to which ((urban arterial trust account)) funds allocated to a project may be increased upon a subsequent application of the county ((or)), city, town, or transportation benefit district constructing the project.  The ((regulations)) rules adopted by the board shall ((take into account, but shall not be limited to,)) consider the following factors:  (1) The financial effect of increasing the original allocation for the project upon other urban arterial projects either approved or requested; (2) whether the project for which an additional ((allocation)) authorization is requested can be reduced in scope while retaining a usable segment; (3) whether the ((original)) cost of the project shown in the ((applicant's six-year program)) original application was based upon reasonable engineering estimates; and (4) whether the requested additional ((allocation)) authorization is to pay for an expansion in the scope of work originally approved.

 

    Sec. 28.  RCW 47.26.500 and 1993 c 440 s 1 are each amended to read as follows:

    In order to provide funds necessary to meet the urgent construction needs on state, county, and city transportation projects ((within urban areas)), there are hereby authorized for issuance general obligation bonds of the state of Washington in the sum of fifty million dollars, which shall be issued and sold in such amounts and at such times as determined to be necessary by the state transportation improvement board.  The amount of such bonds issued and sold under the provisions of RCW 47.26.500 through 47.26.507 in any biennium shall not exceed the amount of a specific  appropriation therefor, from the proceeds of such bonds, for the construction of state, county, and city transportation projects ((in urban areas)).  The issuance, sale, and retirement of the bonds shall be under the supervision and control of the state finance committee which, upon request being made by the ((state transportation commission on behalf of the transportation improvement)) board, shall provide for the issuance, sale, and retirement of coupon or registered bonds to be dated, issued, and sold from time to time in such amounts as shall be requested by the ((state transportation)) board.  The board shall report all bond sale requests to the commission.

 

    Sec. 29.  RCW 47.26.505 and 1993 c 440 s 6 are each amended to read as follows:

    Any funds required to repay such bonds, or the interest thereon when due, shall be taken from that portion of the motor vehicle fund which results from the imposition of excise taxes on motor vehicle and special fuels and which is distributed to the transportation improvement account in the motor vehicle fund and the sums received by the small city account in the motor vehicle fund under RCW 46.68.095, and shall never constitute a charge against any allocations of any other such funds in the motor vehicle fund to the state, counties, cities, and towns unless and until the amount of the motor vehicle fund arising from the excise tax on motor vehicle and special fuels and distributed to the transportation improvement account proves insufficient to meet the requirements for bond retirement or interest on any such bonds.

 

    Sec. 30.  RCW 82.36.025 and 1991 c 342 s 57 are each amended to read as follows:

    The motor vehicle fuel tax rate shall be computed as the sum of the tax rate provided in subsection (1) of this section and the additional tax rates provided in subsections (2) through (5) of this section.

    (1) A motor vehicle fuel tax rate of seventeen cents per gallon shall apply to the sale, distribution, or use of motor vehicle fuel.

    (2) An additional motor vehicle fuel tax rate of one-third cent per gallon shall apply to the sale, distribution, or use of motor vehicle fuel, and the proceeds from this additional tax rate, reduced by an amount equal to the sum of the payments under RCW 46.68.090 (1) (a), (b), and (c) multiplied by the additional tax rate prescribed by this subsection divided by the motor vehicle fuel tax rate provided in this section, shall be deposited in the rural arterial trust account in the motor vehicle fund for expenditures under RCW 36.79.020.

    (3) An additional motor vehicle fuel tax rate of one-third cent per gallon shall apply to the sale, distribution, or use of motor vehicle fuel, and the proceeds from this additional tax rate, reduced by an amount equal to the sum of the payments under RCW 46.68.090 (1) (a), (b), and (c) multiplied by the additional tax rate prescribed by this subsection divided by the motor vehicle fuel tax rate provided in this section, shall be deposited in the urban arterial trust account in the motor vehicle fund.  After June 30, 1995, ninety-five percent of this revenue shall be deposited in the urban arterial trust account in the motor vehicle fund and five percent shall be deposited in the small city account in the motor vehicle fund.

    (4) An additional motor vehicle fuel tax rate of one-third cent per gallon shall be applied to the sale, distribution, or use of motor vehicle fuel, and the proceeds from this additional tax rate, reduced by an amount equal to the sum of the payments under RCW 46.68.090 (1) (a), (b), and (c) multiplied by the additional tax rate prescribed by this subsection divided by the motor vehicle fuel tax rate provided in this section, shall be deposited in the motor vehicle fund to be expended for highway purposes of the state as defined in RCW 46.68.130.

    (5) An additional motor vehicle fuel tax rate of four cents per gallon from April 1, 1990, through March 31, 1991, and five cents per gallon from April 1, 1991, applies to the sale, distribution, or use of motor vehicle fuel.  The proceeds from the additional tax rate under this subsection, reduced by an amount equal to the sum of the payments under RCW 46.68.090 (1) (a), (b), and (c) multiplied by the additional tax rate prescribed by this subsection divided by the motor fuel tax rate provided in this section, shall be deposited in the motor vehicle fund and shall be distributed by the state treasurer according to RCW 46.68.095.

 

    NEW SECTION.  Sec. 31.  The following acts or parts of acts are each repealed:

    (1) RCW 47.26.042 and 1973 1st ex.s. c 126 s 4;

    (2) RCW 47.26.043 and 1973 1st ex.s. c 126 s 5;

    (3) RCW 47.26.180 and 1988 c 167 s 20, 1979 ex.s. c 122 s 8, 1977 ex.s. c 317 s 13, 1975 1st ex.s. c 253 s 2, & 1967 ex.s. c 83 s 24;

    (4) RCW 47.26.220 and 1989 c 160 s 1, 1988 c 167 s 23, & 1967 ex.s. c 83 s 28;

    (5) RCW 47.26.230 and 1988 c 167 s 24, 1984 c 7 s 158, & 1967 ex.s. c 83 s 29;

    (6) RCW 47.26.240 and 1988 c 167 s 25, 1977 ex.s. c 317 s 15, & 1967 ex.s. c 83 s 30;

    (7) RCW 47.26.265 and 1988 c 167 s 3;

    (8) RCW 47.26.310 and 1988 c 167 s 29, 1984 c 7 s 160, & 1974 ex.s. c 141 s 3;

    (9) RCW 47.26.315 and 1974 ex.s. c 141 s 6; and

    (10) RCW 47.26.430 and 1988 c 167 s 31, 1981 c 315 s 12, & 1967 ex.s. c 83 s 53.

 


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