FINAL BILL REPORT

                 SHB 2720

                         C 261 L 96

                     Synopsis as Enacted

Brief Description:  Allowing consortiums of counties to acquire correctional facilities.

Sponsors:  House Committee on Corrections (originally sponsored by Representatives Ballasiotes, Schoesler, Sheahan, Fuhrman, Foreman, Mastin, D. Sommers, Sterk, Crouse, Campbell, L. Thomas, Silver, Morris, Cooke, Mulliken, Blanton, McMorris, Thompson and Elliot).

House Committee on Corrections

Senate Committee on Human Services & Corrections

Background:  Many counties need additional capacity for housing juvenile offenders and adult inmates.  Regional projects have been discussed under which groups of counties would act together in acquiring shared facilities.

One such example is known as the Martin Hall project, on the Medical Lake campus of Eastern State Hospital.  Nine counties have formed a consortium and have been negotiating with the Department of Social and Health Services (DSHS) to acquire Martin Hall so they can convert it into a shared facility for housing the counties' juvenile offenders. 

The Public Lands Act requires the DSHS and other state agencies to transfer real property that is no longer needed for state-provided residential care, custody, or treatment purposes to an account known as the "charitable, education, penal, and reformatory institution" (CEP&RI) account.  Property in this account may then be transferred to other entities, but the Public Lands Act requires the transfer to be for full market value.

Consortiums of counties organized to acquire or construct correctional facilities for adults or juveniles are interested in acquiring property for this purpose from state agencies at a nominal cost.

Summary:  When state property is being leased to a consortium of three or more counties organized for purposes of acquiring or constructing adult or juvenile correctional facilities, the property is no longer required to be transferred to the charitable, educational, penal, and reformatory institution (CEP&RI) account.  Accordingly, any such real property is not subject to the requirement that land in the CEP&RI account be transferred at full market value.

Consortiums of three or more counties may lease from state agencies, including the Department of Social and Health Services, real property and improvements for the purpose of building or acquiring correctional facilities for juveniles or adults.  The initial term of the lease cannot exceed 20 years.  During the initial term, the lease may not charge more than one dollar per year for the land value and facilities value.  Any lease renewal must charge for the fair market value of the land and facilities.  Any lease may include charges for the reasonable operation and maintenance expenses incurred by the state. 

The net proceeds from any lease involving land and facilities on the grounds of Eastern State Hospital must be used solely for the benefit of Eastern State Hospital's programs for the long-term care needs of patients with mental disorders.

Votes on Final Passage:

House     97 0

Senate    45 1 (Senate amended)

House     94 0 (House concurred)

Effective:  June 6, 1996