BP BHEAD INT S

AN ACT Relating to the enhancement of programs for the protection of open space and recreational opportunities; amending RCW 84.34.037, 84.34.070, 84.34.020, 84.34.230, 36.70A.160, 84.34.240, 84.52.010, 36.69.140, 36.69.145, 36.68.400, and 36.68.525; reenacting and amending RCW 36.68.520; adding a new section to chapter 36.68 RCW; adding a new section to chapter 35.21 RCW; creating new sections; and providing an effective date.

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

NEW SECTION. Sec. 1. This act provides for the removal of unnecessary restraints on local governments in order that they may better be able to fulfill their responsibility to protect fish and wildlife, provide for water quality and habitat preservation, provide and preserve urban forests and greenbelts, and enhance recreational opportunities. By allowing greater flexibility in the creation, administration, and funding of open space and recreational programs, local communities may design, implement, and fund the conservation and recreational programs designed to most effectively serve local needs.

State studies have shown that our state is losing thirty-five thousand acres of wildlife habitat, wetlands, open space, and recreational properties each year. In order to adequately protect our quality of life, diversity of species, fish populations, tourism, and resource and recreation-based economies at a time of diminishing state and local revenues, it is essential to allow each community's legislative body greater flexibility in order to meet local needs.

PART I - PROPERTY TAXES: CURRENT USE CLASSIFICATION

Sec. 2. RCW 84.34.037 and 1992 c 69 s 6 are each amended to read as follows:

(1) Applications for classification or reclassification under RCW 84.34.020(1) shall be made to the county legislative authority. An application made for classification or reclassification of land under RCW 84.34.020(1) (b) and (c) which is in an area subject to a comprehensive plan shall be acted upon in the same manner in which an amendment to the comprehensive plan is processed. Application made for classification of land which is in an area not subject to a comprehensive plan shall be acted upon after a public hearing and after notice of the hearing shall have been given by one publication in a newspaper of general circulation in the area at least ten days before the hearing((~~: PROVIDED, That~~)). For applications for classification of land in an incorporated area, the county legislative authority shall send a copy of the application for classification to the legislative body of the city or town in which the land is located. The city or town legislative body shall issue a written recommendation to either grant or deny the application for classification to the county legislative authority. This written recommendation shall be issued no later than three months after the date the city or town legislative body received the application. The county legislative authority may either grant or deny the application in accordance with the written recommendation. If the county legislative authority does not agree with the recommendation, the application shall be referred to and acted upon by a granting authority composed of three members of the county legislative ((~~body~~)) authority and three members of the city or town legislative body in which the land is located.

(2) In determining whether an application made for classification or reclassification under RCW 84.34.020(1) (b) and (c) should be approved or disapproved, the granting authority may take cognizance of the benefits to the general welfare of preserving the current use of the property which is the subject of application, and shall consider:

(a) The resulting revenue loss or tax shift;

(b) Whether granting the application for land applying under RCW 84.34.020(1)(b) will (i) conserve or enhance natural, cultural, or scenic resources, (ii) protect streams, stream corridors, wetlands, natural shorelines and aquifers, (iii) protect soil resources and unique or critical wildlife and native plant habitat, (iv) promote conservation principles by example or by offering educational opportunities, (v) enhance the value of abutting or neighboring parks, forests, wildlife preserves, nature reservations, sanctuaries, or other open spaces, (vi) enhance recreation opportunities, (vii) preserve historic and archaeological sites, (viii) preserve visual quality along highway, road, and street corridors or scenic vistas, (ix) affect any other factors relevant in weighing benefits to the general welfare of preserving the current use of the property; and

(c) Whether granting the application for land applying under RCW 84.34.020(1)(c) will (i) either preserve land previously classified under RCW 84.34.020(2) or preserve land that is traditional farmland and not classified under chapter 84.33 or 84.34 RCW, (ii) preserve land with a potential for returning to commercial agriculture, and (iii) affect any other factors relevant in weighing benefits to the general welfare of preserving the current use of property.

(3) If a public benefit rating system is adopted under RCW 84.34.055, the county legislative authority shall rate property for which application for classification has been made under RCW 84.34.020(1) (b) and (c) according to the public benefit rating system in determining whether an application should be approved or disapproved, but when such a system is adopted, open space properties then classified under this chapter which do not qualify under the system shall not be removed from classification but may be rated according to the public benefit rating system.

(4) The granting authority may approve the application with respect to only part of the land which is the subject of the application. If any part of the application is denied, the applicant may withdraw the entire application. The granting authority in approving in part or whole an application for land classified or reclassified pursuant to RCW 84.34.020(1) may also require that certain conditions be met, including but not limited to the granting of easements. As a condition of granting open space classification, the legislative body may not require public access on land classified under RCW 84.34.020(1)(b)(iii) for the purpose of promoting conservation of wetlands.

(5) The granting or denial of the application for current use classification or reclassification is a legislative determination and shall be reviewable only for arbitrary and capricious actions.

Sec. 3. RCW 84.34.070 and 1992 c 69 s 10 are each amended to read as follows:

(1) When land has once been classified under this chapter, it shall remain under such classification and shall not be applied to other use except as provided by subsection (2) of this section for at least ten years from the date of classification and shall continue under such classification until and unless withdrawn from classification after notice of request for withdrawal shall be made by the owner. During any year after eight years of the initial ten-year classification period have elapsed, notice of request for withdrawal of all or a portion of the land may be given by the owner to the assessor or assessors of the county or counties in which such land is situated. In the event that a portion of a parcel is removed from classification, the remaining portion must meet the same requirements as did the entire parcel when such land was originally granted classification pursuant to this chapter unless the remaining parcel has different income criteria. Within seven days the assessor shall transmit one copy of such notice to the legislative body which originally approved the application. The assessor or assessors, as the case may be, shall, when two assessment years have elapsed following the date of receipt of such notice, withdraw such land from such classification and the land shall be subject to the additional tax and applicable interest due under RCW 84.34.108. Agreement to tax according to use shall not be considered to be a contract and can be abrogated at any time by the legislature in which event no additional tax or penalty shall be imposed.

(2) The following reclassifications are not considered withdrawals or removals and are not subject to additional tax under RCW 84.34.108:

(a) Reclassification between lands under RCW 84.34.020 (2) and (3);

(b) Reclassification of land classified under RCW 84.34.020 (2) or (3) or chapter 84.33 RCW to open space land under RCW 84.34.020(1);

(c) Reclassification of land classified under RCW 84.34.020 (2) or (3) to forest land classified under chapter 84.33 RCW; ((~~and~~))

(d) Reclassification of land classified as open space land under RCW 84.34.020(1)(c) and reclassified to farm and agricultural land under RCW 84.34.020(2) if the land had been previously classified as farm and agricultural land under RCW 84.34.020(2) or if the land is permanently protected by deed restriction so that it may not be developed for a use other than agricultural; and

(e) Transfer of land classified as open space, farm and agricultural land, or timber land under RCW 84.34.020 (1), (2), or (3) to a governmental agency if the governmental agency acquires the land for open space protection purposes as set forth in RCW 84.34.020(1). If the government agency subsequently converts the use of the land from open space to other uses, the governmental agency making the conversion shall be responsible for paying the additional tax and applicable interest due under RCW 84.34.108 calculated at the time of sale.

(3) Applications for reclassification shall be subject to applicable provisions of RCW 84.34.037, 84.34.035, 84.34.041, and chapter 84.33 RCW.

(4) The income criteria for land classified under RCW 84.34.020(2) (b) and (c) may be deferred for land being reclassified from land classified under RCW 84.34.020 (1)(c) or (3), or chapter 84.33 RCW into RCW 84.34.020(2) (b) or (c) for a period of up to five years from the date of reclassification.

PART II - 1 PERCENT FOR OPEN SPACE OPTION

NEW SECTION. Sec. 4. A new section is added to chapter 36.68 RCW to read as follows:

Counties may establish a "one percent for open space fund," which requires that up to one percent of any moneys budgeted by the county for capital construction be expended by the county for the acquisition of open space lands. The designation of sites, selection, contracting, purchase, maintenance, and sale, exchange, or disposition of open space lands shall be the responsibility of the county.

NEW SECTION. Sec. 5. A new section is added to chapter 35.21 RCW to read as follows:

Cities and towns may establish a "one percent for open space fund," which requires that up to one percent of any moneys budgeted by the city or town for capital construction be expended by the city or town for the acquisition of open space lands. The designation of sites, selection, contracting, purchase, maintenance, and sale, exchange, or disposition of open space lands shall be the responsibility of the city or town.

PART III - CONSERVATION FUTURES

Sec. 6. RCW 84.34.020 and 1992 c 69 s 4 are each amended to read as follows:

As used in this chapter, unless a different meaning is required by the context:

(1) "Open space land" means (a) any land area so designated by an official comprehensive land use plan adopted by any city or county and zoned accordingly((~~[,]~~)), or (b) any land area, the preservation of which in its present use or the restoration, rehabilitation, or reclamation of which would (i) conserve ((~~and~~)) or enhance natural or scenic resources, or (ii) protect streams or water supply, or (iii) promote conservation of soils, wetlands, beaches or tidal marshes, or (iv) enhance the value to the public of abutting or neighboring parks, forests, wildlife preserves, nature reservations or sanctuaries or other open space, or (v) enhance recreation opportunities, or (vi) preserve historic sites, or (vii) preserve visual quality along highway, road, and street corridors or scenic vistas, or (viii) retain in its natural state tracts of land not less than one acre situated in an urban area and open to public use on such conditions as may be reasonably required by the legislative body granting the open space classification, or (c) any land meeting the definition of farm and agricultural conservation land under subsection (8) of this section. As a condition of granting open space classification, the legislative body may not require public access on land classified under (b)(iii) of this subsection for the purpose of promoting conservation of wetlands.

(2) "Farm and agricultural land" means either (a) any parcel of land that is twenty or more acres or multiple parcels of land that are contiguous and total twenty or more acres (i) devoted primarily to the production of livestock or agricultural commodities for commercial purposes, (ii) enrolled in the federal conservation reserve program or its successor administered by the United States department of agriculture, or (iii) other similar commercial activities as may be established by rule ((~~following consultation with the advisory committee established in section 19 of this act~~)); (b) any parcel of land that is five acres or more but less than twenty acres devoted primarily to agricultural uses, which has produced a gross income from agricultural uses equivalent to, as of January 1, 1993, (i) one hundred dollars or more per acre per year for three of the five calendar years preceding the date of application for classification under this chapter for all parcels of land that are classified under this subsection or all parcels of land for which an application for classification under this subsection is made with the granting authority prior to January 1, 1993, and (ii) on or after January 1, 1993, two hundred dollars or more per acre per year for three of the five calendar years preceding the date of application for classification under this chapter; (c) any parcel of land of less than five acres devoted primarily to agricultural uses which has produced a gross income as of January 1, 1993, of (i) one thousand dollars or more per year for three of the five calendar years preceding the date of application for classification under this chapter for all parcels of land that are classified under this subsection or all parcels of land for which an application for classification under this subsection is made with the granting authority prior to January 1, 1993, and (ii) on or after January 1, 1993, fifteen hundred dollars or more per year for three of the five calendar years preceding the date of application for classification under this chapter. Parcels of land described in (b)(i) and (c)(i) of this subsection shall, upon any transfer of the property excluding a transfer to a surviving spouse, be subject to the limits of (b)(ii) and (c)(ii) of this subsection. Agricultural lands shall also include such incidental uses as are compatible with agricultural purposes, including wetlands preservation, provided such incidental use does not exceed twenty percent of the classified land and the land on which appurtenances necessary to the production, preparation, or sale of the agricultural products exist in conjunction with the lands producing such products. Agricultural lands shall also include any parcel of land of one to five acres, which is not contiguous, but which otherwise constitutes an integral part of farming operations being conducted on land qualifying under this section as "farm and agricultural lands"; or (d) the land on which housing for employees and the principal place of residence of the farm operator or owner of land classified pursuant to (a) of this subsection is sited if: The housing or residence is on or contiguous to the classified parcel; and the use of the housing or the residence is integral to the use of the classified land for agricultural purposes.

(3) "Timber land" means any parcel of land that is five or more acres or multiple parcels of land that are contiguous and total five or more acres which is or are devoted primarily to the growth and harvest of forest crops for commercial purposes. A timber management plan shall be filed with the county legislative authority at the time (a) an application is made for classification as timber land pursuant to this chapter or (b) when a sale or transfer of timber land occurs and a notice of classification continuance is signed. Timber land means the land only.

(4) "Current" or "currently" means as of the date on which property is to be listed and valued by the assessor.

(5) "Owner" means the party or parties having the fee interest in land, except that where land is subject to real estate contract "owner" shall mean the contract vendee.

(6) "Contiguous" means land adjoining and touching other property held by the same ownership. Land divided by a public road, but otherwise an integral part of a farming operation, shall be considered contiguous.

(7) "Granting authority" means the appropriate agency or official who acts on an application for classification of land pursuant to this chapter.

(8) "Farm and agricultural conservation land" means either:

(a) Land that was previously classified under subsection (2) of this section, that no longer meets the criteria of subsection (2) of this section, and that is reclassified under subsection (1) of this section; or

(b) Land that is traditional farmland that is not classified under chapter 84.33 or 84.34 RCW, that has not been irrevocably devoted to a use inconsistent with agricultural uses, and that has a high potential for returning to commercial agriculture.

Sec. 7. RCW 84.34.230 and 1973 1st ex.s. c 195 s 94 are each amended to read as follows:

(1) For the purpose of acquiring conservation futures as well as other rights and interests in real property pursuant to RCW 84.34.210 and 84.34.220 and maintenance and stewardship of open space pursuant to subsection (2) of this section, a county may levy an amount not to exceed ((~~six and one-quarter~~)) ten cents per thousand dollars of assessed valuation against the assessed valuation of all taxable property within the county, which levy shall be in addition to that authorized by RCW ((~~84.52.050 and~~)) 84.52.043.

(2) The county may use up to two cents of the amount levied under subsection (1) of this section solely for the purpose of funding maintenance and stewardship of open space purchased with conservation futures funds, whether owned in fee simple or less than fee simple.

(3) The county may use up to three cents of the amount levied under subsection (1) of this section solely to fund capital improvements of property purchased under RCW 84.34.210 and 84.34.220 for the purpose of enhancing or displaying the conservation values of the site.

(4) No more than fifty percent of the conservation futures levy authorized under this section shall be used for purposes allowed in subsections (2) and (3) of this section.

(5) For the application of subsections (2) and (3) of this section, open space purchased with conservation futures funds shall mean: (a) Lands, land interests, or other land rights acquired in land pursuant to RCW 84.34.200, whether in fee simple, or less than fee simple, where funds from the conservation futures program constitute at least twenty-five percent of the acquisition cost, or (b) any gift of land that is used as a contribution in acquisitions using conservation futures funds.

Sec. 8. RCW 36.70A.160 and 1992 c 227 s 1 are each amended to read as follows:

Each county and city that is required or chooses to prepare a comprehensive land use plan under RCW 36.70A.040 shall identify open space corridors within and between urban growth areas. They shall include lands useful for recreation, wildlife habitat, trails, and connection of critical areas as defined in RCW 36.70A.030. Identification of a corridor under this section by a county or city shall not restrict the use or management of lands within the corridor for agricultural or forest purposes. Restrictions on the use or management of such lands for agricultural or forest purposes imposed after identification solely to maintain or enhance the value of such lands as a corridor may occur only if the county or city or a nonprofit conservancy corporation or association acquires sufficient interest to prevent development of the lands or to control the resource development of the lands. The requirement for acquisition of sufficient interest does not include those corridors regulated by the interstate commerce commission, under provisions of 16 U.S.C. Sec. 1247(d), 16 U.S.C. Sec. 1248, or 43 U.S.C. Sec. 912. Nothing in this section shall be interpreted to alter the authority of the state, or a county or city, to regulate land use activities.

The city or county may acquire by donation or purchase the fee simple or lesser interests in these open space corridors using funds authorized by RCW 84.34.230(1) or other sources.

Sec. 9. RCW 84.34.240 and 1971 ex.s. c 243 s 5 are each amended to read as follows:

Any board of county commissioners may establish by resolution a special fund which may be termed a conservation futures fund to which it may credit all taxes levied pursuant to RCW 84.34.230. Amounts placed in this fund may be used solely for the purposes of: Acquiring rights and interests in real property pursuant to the terms of RCW 84.34.210 and 84.34.220; funding maintenance and stewardship of open space property pursuant to RCW 84.34.230(2); and capital improvement of conservation futures property pursuant to RCW 84.34.230(3). Nothing in this section shall be construed as limiting in any manner methods and funds otherwise available to a county for financing the acquisition of such rights and interests in real property.

Sec. 10. RCW 84.52.010 and 1993 c 337 s 4 are each amended to read as follows:

Except as is permitted under RCW 84.55.050, all taxes shall be levied or voted in specific amounts.

The rate percent of all taxes for state and county purposes, and purposes of taxing districts coextensive with the county, shall be determined, calculated and fixed by the county assessors of the respective counties, within the limitations provided by law, upon the assessed valuation of the property of the county, as shown by the completed tax rolls of the county, and the rate percent of all taxes levied for purposes of taxing districts within any county shall be determined, calculated and fixed by the county assessors of the respective counties, within the limitations provided by law, upon the assessed valuation of the property of the taxing districts respectively.

When a county assessor finds that the aggregate rate of tax levy on any property, that is subject to the limitations set forth in RCW 84.52.043 or 84.52.050, as now or hereafter amended, exceeds the limitations provided in either of these sections, the assessor shall recompute and establish a consolidated levy in the following manner:

(1) The full certified rates of tax levy for state, county, county road district, and city or town purposes shall be extended on the tax rolls in amounts not exceeding the limitations established by law((~~, subject to subsection (2)(e) of this section~~)); however any state levy shall take precedence over all other levies and shall not be reduced for any purpose other than that required by RCW 84.55.010; however, if as a result of the levies imposed under RCW 84.52.069, 84.34.230, and 84.52.105, the combined rates of regular property tax levies exceed one percent of the true and fair value of any property and after any reductions or eliminations under RCW 84.52.043, then the levies imposed under RCW 84.34.230 and 84.52.105, and any portion of the levy imposed under RCW 84.52.069 that is in excess of thirty cents per thousand dollars of assessed value, shall be reduced on a pro rata basis or eliminated until the combined rates of regular property tax levies no longer exceed one percent of the true and fair value of any property as follows:

(a) First, the certified property tax levy rate of any levy under RCW 84.34.230 that is in excess of six and one-quarter cents shall be reduced or eliminated;

(b) Second, if the consolidated tax levy rate still exceeds these limitations, the certified property tax levies imposed under RCW 84.52.105, the remaining portion of the levy imposed under RCW 84.34.230, and any portion of the levy imposed under RCW 84.52.069 that is in excess of thirty cents per thousand dollars of assessed value, shall be reduced on a pro rata basis or eliminated; and

(2) The certified rates of tax levy subject to these limitations by all junior taxing districts imposing taxes on such property shall be reduced or eliminated as follows to bring the consolidated levy of taxes on such property within the provisions of these limitations:

(a) First, the certified property tax levy rates of those junior taxing districts authorized under RCW 36.68.525, 36.69.145, and 67.38.130 shall be reduced on a pro rata basis or eliminated;

(b) Second, if the consolidated tax levy rate still exceeds these limitations, the certified property tax levy rates of flood control zone districts shall be reduced on a pro rata basis or eliminated;

(c) Third, if the consolidated tax levy rate still exceeds these limitations, the certified property tax levy rates of all other junior taxing districts, other than fire protection districts, library districts, the first fifty cent per thousand dollars of assessed valuation levies for metropolitan park districts, and the first fifty cent per thousand dollars of assessed valuation levies for public hospital districts, shall be reduced on a pro rata basis or eliminated;

(d) Fourth, if the consolidated tax levy rate still exceeds these limitations, the certified property tax levy rates authorized to fire protection districts under RCW 52.16.140 and 52.16.160 shall be reduced on a pro rata basis or eliminated; and

(e) Fifth, if the consolidated tax levy rate still exceeds these limitations, the certified property tax levy rates authorized for fire protection districts under RCW 52.16.130, library districts, metropolitan park districts under their first fifty cent per thousand dollars of assessed valuation levy, and public hospital districts under their first fifty cent per thousand dollars of assessed valuation levy, shall be reduced on a pro rata basis or eliminated.

PART IV - PARK AND RECREATION DISTRICTS

AND PARK AND RECREATION SERVICE AREAS

NEW SECTION. Sec. 11. The intent of the legislature by enacting sections 12 through 16, chapter . . ., Laws of 1994 (this act) is:

(1) To allow park and recreation districts and park and recreation service areas to place more than one excess levy on the same ballot, allowing districts and service areas to give voters the opportunity to vote on separate issues, such as for operating and capital funds, at the same election, thereby reducing election costs; and

(2) To increase the amount a park and recreation district or park and recreation service area may collect through a six-year property tax levy from a maximum of fifteen cents per thousand dollars of assessed value to a maximum of sixty cents per thousand dollars of assessed value. This would allow for a more stable funding source for park and recreation districts and park and recreation service areas at a realistic tax rate and reduce the need for holding excess levy elections on an annual or biannual basis. In addition, it would level out the collection of taxes over each of six years rather than the practice now of collecting in one year to fund two years.

Sec. 12. RCW 36.69.140 and 1984 c 186 s 30 are each amended to read as follows:

(1) A park and recreation district shall have the power to levy ((an)) excess ((~~levy~~)) levies upon the property included within the district, in the manner prescribed by Article VII, section 2, of the Constitution and by RCW 84.52.052((~~. Such excess levy may be either~~)) for operating funds ((~~or for~~)), capital outlay funds, ((~~or for a~~)) and cumulative reserve funds.

(2) A park and recreation district may issue general obligation bonds for capital purposes only, not to exceed an amount, together with any outstanding nonvoter approved general obligation indebtedness equal to three-eighths of one percent of the value of the taxable property within such district, as the term "value of the taxable property" is defined in RCW 39.36.015. A park and recreation district may additionally issue general obligation bonds, together with outstanding voter approved and nonvoter approved general obligation indebtedness, equal to one and one-fourth percent of the value of the taxable property within the district, as the term "value of the taxable property" is defined in RCW 39.36.015, when such bonds are approved by three-fifths of the voters of the district at a general or special election called for that purpose and may provide for the retirement thereof by levies in excess of dollar rate limitations in accordance with the provisions of RCW 84.52.056. When authorized by the voters of the district, the district may issue interest bearing warrants payable out of and to the extent of excess levies authorized in the year in which the excess levy was approved. These elections shall be held as provided in RCW 39.36.050. Such bonds and warrants shall be issued and sold in accordance with chapter 39.46 RCW.

Sec. 13. RCW 36.69.145 and 1984 c 131 s 6 are each amended to read as follows:

(1) A park and recreation district may impose regular property tax levies in an amount equal to ((~~fifteen~~)) sixty cents or less per thousand dollars of assessed value of property in the district in each year for ((~~five~~)) six consecutive years when specifically authorized so to do by a majority of at least three-fifths of the voters thereof approving a proposition authorizing the levies submitted at a special election or at the regular election of the district, at which election the number of ((~~persons~~)) voters voting "yes" on the proposition shall constitute three-fifths of a number equal to forty per centum of the ((~~total votes cast~~)) number of voters voting in such district at the last preceding general election when the number of ((~~electors~~)) voters voting on the proposition does not exceed forty per centum of the ((~~total votes cast~~)) number of voters voting in such taxing district in the last preceding general election; or by a majority of at least three-fifths of the ((~~electors~~)) voters thereof voting on the proposition if the number of ((~~electors~~)) voters voting on the proposition exceeds forty per centum of the ((~~total votes cast~~)) number of voters voting in such taxing district in the last preceding general election. A proposition authorizing the tax levies shall not be submitted by a park and recreation district more than twice in any twelve-month period. Ballot propositions shall conform with RCW 29.30.111. In the event a park and recreation district is levying property taxes, which in combination with property taxes levied by other taxing districts subject to the one percent limitation provided for in Article 7, section 2, of our state Constitution result in taxes in excess of the limitation provided for in RCW 84.52.043, the park and recreation district property tax levy shall be reduced or eliminated before the property tax levies of other taxing districts are reduced.

(2) The limitation in RCW 84.55.010 shall not apply to the first levy imposed under this section following the approval of the levies by the voters under subsection (1) of this section.

Sec. 14. RCW 36.68.400 and 1988 c 82 s 1 are each amended to read as follows:

Any county shall have the power to create park and recreation service areas for the purpose of financing, acquiring, constructing, improving, maintaining, or operating any park, senior citizen activities centers, zoos, aquariums, and recreational facilities as defined in RCW 36.69.010 which shall be owned or leased by the county and administered as other county parks or shall be owned or leased and administered by a city or town or shall be owned or leased and administered by the park and recreation service area. A park and recreation service area may purchase athletic equipment and supplies, ((~~and~~)) make reasonable capital improvements furthering the authorized purposes of the park and recreation service area, provide for the upkeep of park buildings, grounds, and facilities, and provide custodial, recreational, and park program personnel at any park or recreational facility owned or leased by the service area or a county, city, ((or)) town, or school district. A park and recreation service area shall be a quasi-municipal corporation, an independent taxing "authority" within the meaning of section 1, Article 7 of the Constitution, and a "taxing district" within the meaning of section 2, Article 7 of the Constitution.

A park and recreation service area shall constitute a body corporate and shall possess all the usual powers of a corporation for public purposes including, but not limited to, the authority to hire employees, staff, and services, to enter into contracts, to accept and expend or use gifts, grants, and donations, and to sue and be sued as well as all other powers that may now or hereafter be specifically conferred by statute.

The members of the county legislative authority, acting ex officio and independently, shall compose the governing body of any park and recreation service area which is created within the county: PROVIDED, That where a park and recreation service area includes an incorporated city or town within the county, the park and recreation service area may be governed as provided in an interlocal agreement adopted pursuant to chapter 39.34 RCW. The voters of a park and recreation service area shall be all registered voters residing within the service area.

A multicounty park and recreation service area shall be governed as provided in an interlocal agreement adopted pursuant to chapter 39.34 RCW.

Sec. 15. RCW 36.68.520 and 1984 c 186 s 29 and 1984 c 131 s 8 are each reenacted and amended to read as follows:

(1) A park and recreation service area shall have the power to levy ((an)) annual excess ((~~levy~~)) levies upon the property included within the service area if authorized at a special election called for the purpose in the manner prescribed by section 2, Article VII of the Constitution and by RCW 84.52.052((.

~~This excess levy may be either~~)) for operating funds, ((~~or for~~)) capital outlay funds, ((~~or for a~~)) and cumulative reserve funds.

(2) A park and recreation service area may issue general obligation bonds for capital purposes only, not to exceed an amount, together with any outstanding nonvoter approved general obligation indebtedness, equal to three-eighths of one percent of the value of the taxable property within the ((~~district~~)) service area. ((~~Such districts~~)) Additionally, a park and recreation service area may issue general obligation bonds, together with any outstanding voter approved and nonvoter approved general indebtedness, equal to two and one-half percent of the value of the taxable property within the ((~~district~~)) service area, as the term "value of the taxable property" is defined in RCW 39.36.015, when such bonds are approved by the voters of the ((~~district~~)) service area at a special election called for the purpose in accordance with the provisions of Article VIII, section 6 of the Constitution. Such bonds shall be issued and sold in accordance with chapter 39.46 RCW.

Bonds may be retired by excess property tax levies when such levies are approved by the voters at a special election in accordance with the provisions of Article VII, section 2 of the Constitution and RCW 84.52.056.

Any elections shall be held as provided in RCW 39.36.050.

Sec. 16. RCW 36.68.525 and 1984 c 131 s 9 are each amended to read as follows:

A park and recreation service area may impose regular property tax levies in an amount equal to ((~~fifteen~~)) sixty cents or less per thousand dollars of assessed value of property in the service area in each year for six consecutive years when specifically authorized so to do by a majority of at least three-fifths of the voters thereof approving a proposition authorizing the levies submitted not more than twelve months prior to the date on which the proposed initial levy is to be made and not oftener than twice in such twelve month period, either at a special election or at the regular election of the service area, at which election the number of ((~~persons~~)) voters voting "yes" on the proposition shall constitute three-fifths of a number equal to forty percent of the ((~~total votes cast~~)) number of voters voting in the service area at the last preceding general election when the number of ((~~electors~~)) voters voting on the proposition does not exceed forty percent of the ((~~total votes cast~~)) number of voters voting in such taxing district in the last preceding general election; or by a majority of at least three-fifths of the ((~~electors~~)) voters thereof voting on the proposition if the number of ((~~electors~~)) voters voting on the proposition exceeds forty per centum of the ((~~total votes cast~~)) number of voters voting in such taxing district in the last preceding general election. A proposition authorizing such tax levies shall not be submitted by a park and recreation ((~~district~~)) service area more than twice in any twelve-month period. Ballot propositions shall conform with RCW 29.30.111. If a park and recreation service area is levying property taxes, which in combination with property taxes levied by other taxing districts result in taxes in excess of the nine-dollar and fifteen cents per thousand dollars of assessed valuation limitation provided for in RCW 84.52.043, the park and recreation service area property tax levy shall be reduced or eliminated before the property tax levies of other taxing districts are reduced.

PART V - LEGISLATIVE STUDY

NEW SECTION. Sec. 17. A legislative study shall be conducted jointly by the appropriate standing committees, or subcommittees of the standing committees, of the senate and the house of representatives as appointed by the president of the senate and the speaker of the house of representatives. The members appointed shall meet jointly, or as subcommittees of the joint committee, supported by the appropriate staff of the two houses, to examine methods of providing for greater latitude and flexibility in programs to acquire, protect, preserve, reclaim, enhance, and fund local open space and recreational programs and properties.

This study shall examine and make recommendations to the 1995 legislature on at least the following subject areas: (1) Alternative methods to condemnation to determine fair compensation for open space properties; (2) methods to provide for greater latitude in interjurisdictional and intrajurisdictional trades of open space and recreational properties; (3) long-term funding options for conservation districts; (4) long-term funding options for local acquisition and stewardship of open space lands; (5) the creation of a local governmental scenic highway designation program; (6) the designation of an alternative local or regional governmental structure capable of administering regional stewardship programs; (7) review and clarification of laws relating to conservation easements, purchase of development rights programs, transfer of development rights programs; (8) new opportunities for partnering to increase the effectiveness of local government acquisition and stewardship programs, and such other questions which may arise out of the study of these issues.

This section shall expire June 30, 1995.

PART VI - MISCELLANEOUS

NEW SECTION. Sec. 18. Part headings as used in this act constitute no part of the law.

NEW SECTION. Sec. 19. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.

NEW SECTION. Sec. 20. This act shall take effect July 1, 1994.