HOUSE BILL REPORT

                  HB 1878

             As Reported By House Committee On:

                    Government Operations

Title:  An act relating to encouraging sales of public real property.

Brief Description:  Encouraging sales of public real property.

Sponsors:  Representatives McMahan, Reams, Sheahan, Koster, Benton, Mielke, Blanton, Pelesky, Johnson, Stevens, Casada, Silver and Thompson.

Brief History:

  Committee Activity:

Government Operations:  2/22/95, 2/28/95 [DPS].

HOUSE COMMITTEE ON GOVERNMENT OPERATIONS

Majority Report:  The substitute bill be substituted therefor and the substitute bill do pass.  Signed by 9 members:  Representatives Reams, Chairman; Goldsmith, Vice Chairman; L. Thomas, Vice Chairman; Hargrove; Honeyford; Hymes; Mulliken; D. Schmidt and Van Luven.

Minority Report:  Do not pass.  Signed by 6 members:  Representatives Rust, Ranking Minority Member; Scott, Assistant Ranking Minority Member; Chopp; R. Fisher; Sommers and Wolfe.

Staff:  Bill Lynch (786-7092).

Background:  All real property that belongs exclusively to the state or any municipal corporation is exempt from real property taxes.

Summary of Substitute Bill:  Except where deed restrictions or other restrictions preclude the sale of publicly owned real property, including trust lands, state agencies must inventory publicly owned property that is not in active or planned use and offer this property for sale at fair market value to individuals and private entities so that the property will be placed on the property tax rolls and put to productive uses.  State agencies are defined to include every state board, commission, department, office, or institution of higher education.

Substitute Bill Compared to Original Bill:  The original bill was limited to encouraging the sale of publicly owned property that was not in active use.

Appropriation:  None.

Fiscal Note:  Not Requested.

Effective Date of Substitute Bill:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  Land that is not necessary to meet a government purpose should be disposed of by the government and put on the tax rolls.

Testimony Against:  It is not clear whether this bill applies to property used for recreational needs.  Ports acquire industrial land and preserve it for industrial purposes.

Testified:  Representative McMahan, prime sponsor; Larry Fairleigh, State Parks; and Pat Jones, Washington Public Ports Association.