S-3769.3                   _______________________________________________

 

                                                     SENATE BILL 6001

                              _______________________________________________

 

State of Washington                              53rd Legislature                             1994 Regular Session

 

By Senators Fraser, Sheldon, Drew, Talmadge and Prentice

 

Read first time 01/10/94.  Referred to Committee on Ecology & Parks.

 

Enhancing programs for greater protection for open space and recreational opportunities.



          AN ACT Relating to the enhancement of programs for the protection of open space and recreational opportunities; amending RCW 82.45.010, 82.04.050, 84.34.037, 84.34.070, 84.34.020, 84.34.230, 36.70A.160, 84.34.240, 36.69.140, 36.69.145, 36.68.400, 36.68.525, 35.61.010, 35.61.020, 35.61.030, 35.61.040, and 36.69.310; 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; adding a new section to chapter 35.61 RCW; adding a new chapter to Title 75 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 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, fisheries 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 - STATE REAL ESTATE EXCISE TAX

 

        Sec. 2.  RCW 82.45.010 and 1993 sp.s. c 25 s 502 are each amended to read as follows:

          (1) As used in this chapter, the term "sale" shall have its ordinary meaning and shall include any conveyance, grant, assignment, quitclaim, or transfer of the ownership of or title to real property, including standing timber, or any estate or interest therein for a valuable consideration, and any contract for such conveyance, grant, assignment, quitclaim, or transfer, and any lease with an option to purchase real property, including standing timber, or any estate or interest therein or other contract under which possession of the property is given to the purchaser, or any other person at the purchaser's direction, and title to the property is retained by the vendor as security for the payment of the purchase price.  The term also includes the grant, assignment, quitclaim, sale, or transfer of improvements constructed upon leased land.

          (2) The term "sale" also includes the transfer or acquisition within any twelve-month period of a controlling interest in any entity with an interest in real property located in this state for a valuable consideration.  For purposes of this subsection, all acquisitions of persons acting in concert shall be aggregated for purposes of determining whether a transfer or acquisition of a controlling interest has taken place.  The department of revenue shall adopt standards by rule to determine when persons are acting in concert.  In adopting a rule for this purpose, the department shall consider the following:

          (a) Persons shall be treated as acting in concert when they have a relation­ship with each other such that one person influences or controls the actions of another through common ownership; and

          (b) When persons are not commonly owned or controlled, they shall be treated as acting in concert only when the unity with which the purchasers have negotiated and will consummate the transfer of ownership interests supports a finding that they are acting as a single entity.  If the acquisitions are completely independent, with each purchaser buying without regard to the identity of the other purchasers, then the acquisitions shall be considered separate acquisitions.

          (3) The term "sale" shall not include:

          (a) A transfer by gift, devise, or inheritance.

          (b) A transfer of any leasehold interest other than of the type mentioned above.

          (c) A cancellation or forfeiture of a vendee's interest in a contract for the sale of real property, whether or not such contract contains a forfeiture clause, or deed in lieu of foreclosure of a mortgage.

          (d) The partition of property by tenants in common by agreement or as the result of a court decree.

          (e) The assignment of property or interest in property from one spouse to the other in accordance with the terms of a decree of divorce or in fulfillment of a property settlement agreement.

          (f) The assignment or other transfer of a vendor's interest in a contract for the sale of real property, even though accompanied by a conveyance of the vendor's interest in the real property involved.

          (g) Transfers by appropriation or decree in condemnation proceedings brought by the United States, the state or any political subdivision thereof, or a municipal corporation.

          (h) A mortgage or other transfer of an interest in real property merely to secure a debt, or the assignment thereof.

          (i) Any transfer or conveyance made pursuant to a deed of trust or an order of sale by the court in any mortgage, deed of trust, or lien foreclosure proceeding or upon execution of a judgment, or deed in lieu of foreclosure to satisfy a mortgage or deed of trust.

          (j) A conveyance to the federal housing administration or veterans administration by an authorized mortgagee made pursuant to a contract of insurance or guaranty with the federal housing administration or veterans administration.

          (k) A transfer in compliance with the terms of any lease or contract upon which the tax as imposed by this chapter has been paid or where the lease or contract was entered into prior to the date this tax was first imposed.

          (l) The sale of any grave or lot in an established cemetery.

          (m) A sale by or to the United States, this state or any political subdivision thereof, or a municipal corporation of this state.

          (n) A transfer of real property, however effected, if it consists of a mere change in identity or form of ownership of an entity where there is no change in the beneficial ownership.  These include transfers to a corporation or partnership which is wholly owned by the transferor and/or the transferor's spouse or children:  PROVIDED, That if thereafter such transferee corporation or partnership voluntarily transfers such real property, or such transferor, spouse, or children voluntarily transfer stock in the transferee corporation or interest in the transferee partnership capital, as the case may be, to other than (1) the transferor and/or the transferor's spouse or children, (2) a trust having the transferor and/or the transferor's spouse or children as the only beneficiaries at the time of the transfer to the trust, or (3) a corporation or partnership wholly owned by the original transferor and/or the transferor's spouse or children, within three years of the original transfer to which this exemption applies, and the tax on the subsequent transfer has not been paid within sixty days of becoming due, excise taxes shall become due and payable on the original transfer as otherwise provided by law.

          (o) A transfer that for federal income tax purposes does not involve the recognition of gain or loss for entity formation, liquidation or dissolution, and reorganization, including but not limited to nonrecognition of gain or loss because of application of section 332, 337, 351, 368(a)(1), 721, or 731 of the Internal Revenue Code of 1986, as amended.

 

                                              PART II - STATE SALES TAX

 

        Sec. 3.  RCW 82.04.050 and 1993 sp.s. c 25 s 301 are each amended to read as follows:

          (1) "Sale at retail" or "retail sale" means every sale of tangible personal property (including articles produced, fabricated, or imprinted) to all persons irrespective of the nature of their business and including, among others, without limiting the scope hereof, persons who install, repair, clean, alter, improve, construct, or decorate real or personal property of or for consumers other than a sale to a person who presents a resale certificate under RCW 82.04.470 and who:

          (a) Purchases for the purpose of resale as tangible personal property in the regular course of business without intervening use by such person; or

          (b) Installs, repairs, cleans, alters, imprints, improves, constructs, or decorates real or personal property of or for consumers, if such tangible personal property becomes an ingredient or component of such real or personal property without intervening use by such person; or

          (c) Purchases for the purpose of consuming the property purchased in producing for sale a new article of tangible personal property or substance, of which such property becomes an ingredient or component or is a chemical used in processing, when the primary purpose of such chemical is to create a chemical reaction directly through contact with an ingredient of a new article being produced for sale; or

          (d) Purchases for the purpose of consuming the property purchased in producing ferrosilicon which is subsequently used in producing magnesium for sale, if the primary purpose of such property is to create a chemical reaction directly through contact with an ingredient of ferrosilicon; or

          (e) Purchases for the purpose of providing the property to consumers as part of competitive telephone service, as defined in RCW 82.04.065.  The term shall include every sale of tangible personal property which is used or consumed or to be used or consumed in the performance of any activity classified as a "sale at retail" or "retail sale" even though such property is resold or utilized as provided in (a), (b), (c), (d), or (e) of this subsection following such use.  The term also means every sale of tangible personal property to persons engaged in any business which is taxable under RCW 82.04.280 (2) and (7) and 82.04.290.

          (2) The term "sale at retail" or "retail sale" shall include the sale of or charge made for tangible personal property consumed and/or for labor and services rendered in respect to the following:

          (a) The installing, repairing, cleaning, altering, imprinting, or improving of tangible personal property of or for consumers, including charges made for the mere use of facilities in respect thereto, but excluding sales of laundry service to members by nonprofit associations composed exclusively of nonprofit hospitals, and excluding services rendered in respect to live animals, birds and insects;

          (b) The constructing, repairing, decorating, or improving of new or existing buildings or other structures under, upon, or above real property of or for consumers, including the installing or attaching of any article of tangible personal property therein or thereto, whether or not such personal property becomes a part of the realty by virtue of installation, and shall also include the sale of services or charges made for the clearing of land and the moving of earth excepting the mere leveling of land used in commercial farming or agriculture;

          (c) The charge for labor and services rendered in respect to constructing, repairing, or improving any structure upon, above, or under any real property owned by an owner who conveys the property by title, possession, or any other means to the person performing such construction, repair, or improvement for the purpose of performing such construction, repair, or improvement and the property is then reconveyed by title, possession, or any other means to the original owner;

          (d) The sale of or charge made for labor and services rendered in respect to the cleaning, fumigating, razing or moving of existing buildings or structures, but shall not include the charge made for janitorial services; and for purposes of this section the term "janitorial services" shall mean those cleaning and caretaking services ordinarily performed by commercial janitor service businesses including, but not limited to, wall and window washing, floor cleaning and waxing, and the cleaning in place of rugs, drapes and upholstery.  The term "janitorial services" does not include painting, papering, repairing, furnace or septic tank cleaning, snow removal or sandblasting;

          (e) The sale of or charge made for labor and services rendered in respect to automobile towing and similar automotive transportation services, but not in respect to those required to report and pay taxes under chapter 82.16 RCW;

          (f) The sale of and charge made for the furnishing of lodging and all other services by a hotel, rooming house, tourist court, motel, trailer camp, and the granting of any similar license to use real property, as distinguished from the renting or leasing of real property, and it shall be presumed that the occupancy of real property for a continuous period of one month or more constitutes a rental or lease of real property and not a mere license to use or enjoy the same;

          (g) The sale of or charge made for tangible personal property, labor and services to persons taxable under (a), (b), (c), (d), (e), and (f) of this subsection when such sales or charges are for property, labor and services which are used or consumed in whole or in part by such persons in the performance of any activity defined as a "sale at retail" or "retail sale" even though such property, labor and services may be resold after such use or consumption.  Nothing contained in this subsection shall be construed to modify subsection (1) of this section and nothing contained in subsection (1) of this section shall be construed to modify this subsection.

          (3) The term "sale at retail" or "retail sale" shall include the sale of or charge made for personal, business, or professional services including amounts designated as interest, rents, fees, admission, and other service emoluments however designated, received by persons engaging in the following business activities:

          (a) Amusement and recreation services not sponsored by government agencies including but not limited to golf, pool, billiards, skating, bowling, ski lifts and tows, and others;

          (b) Abstract, title insurance, and escrow services;

          (c) Credit bureau services;

          (d) Automobile parking and storage garage services;

          (e) Landscape maintenance and horticultural services but excluding horticultural services provided to farmers;

          (f) Service charges associated with tickets to professional sporting events;

          (g) Guided tours and guided charters not sponsored by government agencies; and

          (h) The following personal services:  Physical fitness services not sponsored by government agencies, tanning salon services, tattoo parlor services, massage services, steam bath services, turkish bath services, escort services, and dating services.

          (4) The term shall also include the renting or leasing of tangible personal property to consumers and the rental of equipment with an operator.

          (5) The term shall also include the providing of telephone service, as defined in RCW 82.04.065, to consumers.

          (6) The term shall not include the sale of or charge made for labor and services rendered in respect to the building, repairing, or improving of any street, place, road, highway, easement, right of way, mass public transportation terminal or parking facility, bridge, tunnel, or trestle which is owned by a municipal corporation or political subdivision of the state or by the United States and which is used or to be used primarily for foot or vehicular traffic including mass transportation vehicles of any kind.

          (7) The term shall also not include sales of feed, seed, seedlings, fertilizer, agents for enhanced pollination including insects such as bees, and spray materials to persons who participate in the federal conservation reserve program or its successor administered by the United States department of agriculture, or to farmers for the purpose of producing for sale any agricultural product, nor shall it include sales of chemical sprays or washes to persons for the purpose of post-harvest treatment of fruit for the prevention of scald, fungus, mold, or decay.

          (8) The term shall not include the sale of or charge made for labor and services rendered in respect to the constructing, repairing, decorating, or improving of new or existing buildings or other structures under, upon, or above real property of or for the United States, any instrumentality thereof, or a county or city housing authority created pursuant to chapter 35.82 RCW, including the installing, or attaching of any article of tangible personal property therein or thereto, whether or not such personal property becomes a part of the realty by virtue of installation.  Nor shall the term include the sale of services or charges made for the clearing of land and the moving of earth of or for the United States, any instrumentality thereof, or a county or city housing authority.

 

                      PART III - PROPERTY TAXES:  CURRENT USE CLASSIFICATION

 

        Sec. 4.  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 city or town legislative body in which the land is located shall also be given notice and shall issue a written recommendation to the granting authority before action is taken.  The granting authority may act upon the application if such action follows the recommendations.  If the granting authority is unable to agree to the recommendations, the application shall be referred to and acted upon by a granting authority composed of three members of the county legislative body 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. 5.  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 against further development for other than agricultural uses; and

          (e) Transfer of land classified as open space or farm and agricultural land under RCW 84.34.020 (1) or (2) to a governmental agency if the governmental agency acquires the land for open space protection or recreation purposes.

          (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 IV - 1 PERCENT FOR OPEN SPACE OPTION

 

          NEW SECTION.  Sec. 6.  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. 7.  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 V - CONSERVATION FUTURES

 

        Sec. 8.  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. 9.  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 operation of open space and recreational properties 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) Of the amount levied under subsection (1) of this section, the county may spend up to two cents per thousand dollars of assessed valuation solely for the purpose of funding maintenance and stewardship of open space and recreational property purchased with conservation futures funds, whether owned in less than fee simple or fee simple.

          (3) Of the amount levied under subsection (1) of this section, the county may spend up to three cents per thousand dollars of assessed valuation solely for the purpose of capital enhancement of conservation futures property acquired under RCW 84.34.210 and 84.34.220 for the purposes of displaying or enhancing the conservation values of the site.

 

        Sec. 10.  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. 11.  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 and recreational property pursuant to RCW 84.34.230(2); and capital enhancement 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.

 

                                  PART VI - PARK AND RECREATION DISTRICTS

                                  AND PARK AND RECREATION SERVICE AREAS

 

          NEW SECTION.  Sec. 12.  The intent of the legislature by enacting sections 13 through 17, 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 seventy-five 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. 13.  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. 14.  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)) seventy-five 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. 15.  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. 16.  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. 17.  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)) seventy-five 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 VII - METROPOLITAN PARKS

 

        Sec. 18.  RCW 35.61.010 and 1985 c 416 s 1 are each amended to read as follows:

          Cities of five thousand or more population and such contiguous property the residents of which may decide in favor thereof in the manner set forth in this chapter may create a metropolitan park district for the management, control, improvement, maintenance, and acquisition of parks, parkways, and boulevards:  PROVIDED, That no municipal corporation of the fourth class shall be included within such metropolitan park district, and any such fourth class municipal corporation heretofore included within such district is hereby automatically withdrawn.

          Park and recreation districts established under chapter 36.69 RCW with a population of five thousand or more may become a metropolitan park district by converting the existing park and recreation district as provided in this chapter.  No municipal corporation of the fourth class may be included within such metropolitan park district, and any such district is automatically withdrawn upon conversion.

 

        Sec. 19.  RCW 35.61.020 and 1965 c 7 s 35.61.020 are each amended to read as follows:

          At any general election, or at any special election which may be called for that purpose, or at any city election held in the city in all of the  various voting precincts thereof, the city council or commission or park and recreation district board of commissioners may, or on petition of fifteen percent of the qualified electors of the city or park and recreation district based upon the registration for the last preceding general city or park and recreation district election, shall by ordinance or resolution, submit to the voters of the city or park and recreation district the proposition of creating a metropolitan park district, the limits of which shall be coextensive with the limits of the city or park and recreation district as now or hereafter established, inclusive of territory annexed to and forming a part of the city or park and recreation district.

          Territory by virtue of its annexation to any city or park and recreation district having heretofore created a park district shall be deemed to be within the limits of the metropolitan park district.

          The city council or commission or park and recreation district board of commissioners shall submit the proposition at a special election to be called therefor when the petition so requests.

 

        Sec. 20.  RCW 35.61.030 and 1985 c 469 s 32 are each amended to read as follows:

          In submitting the question to the voters for their approval or rejection, the city council or commission or park and recreation district board of commissioners shall pass an ordinance or resolution declaring its intention to submit the proposition of creating a metropolitan park district to the qualified voters of the city or park and recreation district.  The ordinance or resolution shall be published once a week for two consecutive weeks in the official newspaper of the city or a newspaper of general circulation in the park and recreation district, and the city council or commission or park and recreation district board of commissioners shall cause to be placed upon the ballot for the election, at the proper place, the proposition which shall be expressed in the following terms:

 

          G "For the formation of a metropolitan park district."

          G "Against the formation of a metropolitan park district."

 

        Sec. 21.  RCW 35.61.040 and 1965 c 7 s 35.61.040 are each amended to read as follows:

          If at an election a majority of the voters voting thereon vote in favor of the formation of a metropolitan park district, the park district shall then be and become a municipal corporation and its name shall be "Metropolitan Park District of . . . . . . (inserting the name of the city or park and recreation district)."

 

          NEW SECTION.  Sec. 22.  A new section is added to chapter 35.61 RCW to read as follows:

          When any metropolitan park district is formed pursuant to this chapter, the district shall assume control of parks, parkways, boulevards, and park property of the park and recreation district in which the park district is created.  When any metropolitan park district assumes control of park and recreation district lands or property, or the metropolitan park district accepts county or city park and recreation lands, such metropolitan park district shall assume all existing indebtedness, bonded or otherwise, against such park property, and shall arrange by taxation or issuing bonds, as provided in this chapter, for the payment of such indebtedness, and shall relieve such park and recreation district, city, or county from such payment.  The park district may issue refunding bonds when necessary in order to enable it to comply with this section.

 

        Sec. 23.  RCW 36.69.310 and 1963 c 4 s 36.69.310 are each amended to read as follows:

          Any park and recreation district formed under the provisions of this chapter may be dissolved in the manner provided in chapter 53.48 RCW, relating to port districts.

          A district under this chapter that is converted to a metropolitan park district pursuant to chapter 35.61 RCW and having coextensive boundaries shall dissolve and transfer to such metropolitan park district all assets, properties, and contractual responsibilities within sixty days of certification of the election establishing the metropolitan park district.

 

                                  PART VIII - SALMON PROTECTION DISTRICTS

 

          NEW SECTION.  Sec. 24.  The legislative authority of each county containing a salmon fishery within its boundaries is authorized to establish a salmon protection district to include areas in which nonpoint pollution or loss of habitat threatens the water quality upon which the continuation or restoration of the salmon fishery is dependent.  The legislative authority shall constitute the governing body of the district and shall adopt a salmon protection program to be effective within the district.  The legislative authority may appoint a local advisory council to advise the legislative authority in preparation and implementation of salmon protection programs.  This program shall include any elements deemed appropriate to deal with the nonpoint pollution threatening water quality, including, but not limited to, requiring the elimination or decrease of contaminants in storm water runoff, establishing monitoring, inspection, and repair elements to ensure that on-site sewage systems are adequately maintained and working properly, assuring that animal grazing and manure management practices are consistent with best management practices, providing for habitat protection or restoration programs, and establishing educational and public involvement programs to inform citizens on the causes of the threatening nonpoint pollution or habitat loss and what they can do to decrease the amount of such pollution or loss of habitat.  An element may be omitted where another program is effectively addressing those sources of nonpoint water pollution or habitat loss.  Within the limits of sections 25 and 28 of this act, the county legislative authority shall have full jurisdiction and authority to manage, regulate, and control its programs and to fix, alter, regulate, and control the fees for services provided and charges or rates as provided under those programs.  Programs established under this chapter, may, but are not required to, be part of a system of sewerage as defined in RCW 36.94.010.

 

          NEW SECTION.  Sec. 25.  (1) The county legislative authority may create a salmon protection district on its own motion or by submitting the question to the voters of the proposed district and obtaining the approval of a majority of those voting.  The boundaries of the district shall be determined by the legislative authority.  The legislative authority may create more than one district.  A district may include any area or areas within the county, whether incorporated or unincorporated.  Counties shall coordinate and cooperate with cities, towns, and water-related special districts within their boundaries in establishing salmon protection districts and carrying out salmon protection programs.  Where a portion of the proposed district lies within an incorporated area, the county shall develop procedures for the participation of the city or town in the determination of the boundaries of the district and the administration of the district, including funding of the district's programs.  The legislative authority of more than one county may by agreement provide for the creation of a district including areas within each of those counties.  County legislative authorities are encouraged to coordinate their plans and programs to protect salmon growing, spawning, and fishing areas, especially where salmon growing, spawning, and fishing areas are located within the boundaries of more than one county.  The legislative authority or authorities creating a district may abolish a salmon protection district on its or their own motion or by submitting the question to the voters of the district and obtaining the approval of a majority of those voting.

          (2) If the county legislative authority creates a salmon protection district by its own motion, any registered voter residing within the boundaries of the salmon protection district may file a referendum petition to repeal the ordinance that created the district.  Any referendum petition to repeal the ordinance creating the salmon protection district shall be filed with the county auditor within seven days of passage of the ordinance.  Within ten days of the filing of a petition, the county auditor shall confer with the petitioner concerning form and style of the petition, issue an identification number for the petition, and write a ballot title for the measure.  The ballot title shall be posed as a question so that an affirmative answer to the question and an affirmative vote on the measure results in creation of the salmon protection district and a negative answer to the question and a negative vote on the measure results in the salmon protection district not being created.  The petitioner shall be notified of the identification number and ballot title within this ten-day period.

          After this notification, the petitioner shall have thirty days in which to secure on petition forms the signatures of not less than twenty-five percent of the registered voters residing within the boundaries of the salmon protection district and file the signed petitions with the county auditor.  Each petition form shall contain the ballot title and full text of the measure to be referred.  The county auditor shall verify the sufficiency of the signatures on the petitions.  If sufficient valid signatures are properly submitted, the county auditor shall submit the referendum measure to the registered voters residing in the salmon protection district in a special election no later than one hundred twenty days after the signed petition has been filed with the county auditor.  The special election may be conducted by mail ballot as provided for in chapter 29.36 RCW.

 

          NEW SECTION.  Sec. 26.  Whenever a governmental entity makes a decision which addresses a matter in which there is a conflict between (1) on the one hand, a proposed development, proposed change in land use controls, or proposed change in the provision of utility services; and (2) on the other hand, the long-term use of an area for a salmon fishery, which area is within the boundaries of a salmon protection district, then the governmental entity making the decision must observe the requirements of chapter 43.21C RCW and county ordinances or resolutions integrating the state environmental policy act of 1971 into the various programs under county jurisdiction.

 

          NEW SECTION.  Sec. 27.  Within available funding and as specified in the salmon protection program, counties creating salmon protection districts shall contract with conservation districts to draft plans with landowners to control pollution effects of animal waste.

 

          NEW SECTION.  Sec. 28.  The county legislative authority establishing a salmon protection district may finance the protection program through (1) county tax revenues, (2) reasonable inspection fees and similar fees for services provided, (3) reasonable charges or rates specified in its protection program, or (4) federal, state, or private grants.  Confined animal feeding operations subject to the national pollutant discharge elimination system and implementing regulations shall not be subject to fees, rates, or charges by a salmon protection district.  Facilities permitted and assessed fees for wastewater discharge under the national pollutant discharge elimination system shall not be subject to fees, rates, or charges for wastewater discharge by a salmon protection district.  Lands classified as forest land under chapter 84.33 RCW and timber land under chapter 84.34 RCW shall not be subject to fees, rates, or charges by a salmon protection district.  Counties may collect charges or rates in the manner determined by the county legislative authority.

 

          NEW SECTION.  Sec. 29.  Counties that have formed salmon protection districts shall receive high priority for state water quality financial assistance to implement salmon protection programs, including grants and loans provided under chapters 43.99F, 70.146, and 90.50A RCW.

 

          NEW SECTION.  Sec. 30.  This chapter shall not be considered as diminishing or affecting the authority of a county to adopt and enforce programs or controls, within all or a portion of the county, to deal with nonpoint pollution.

 

                                            PART IX - LEGISLATIVE STUDY

 

          NEW SECTION.  Sec. 31.  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, and such other questions which may arise out of the study of these issues.

          This section shall expire June 30, 1995.

 

                                               PART X - MISCELLANEOUS

 

          NEW SECTION.  Sec. 32.  Part headings as used in this act constitute no part of the law.

 

          NEW SECTION.  Sec. 33.  Sections 24 through 30 of this act shall constitute a new chapter in Title 75 RCW.

 

          NEW SECTION.  Sec. 34.  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. 35.  This act shall take effect July 1, 1994.

 


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