2031-S2

AN ACT Relating to storm water facility charges for highway rights of way; amending RCW 90.03.525; adding a new section to chapter 90.03 RCW; adding a new chapter to Title 90 RCW; creating a new section; and providing an expiration date.

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

Sec. 1. RCW 90.03.525 and 1986 c 278 s 54 are each amended to read as follows:

(1) The rate charged by a local government utility to the department of transportation with respect to state highway right of way or any section of state highway right of way for the construction, operation, and maintenance of storm water control facilities under chapters 35.67, 35.92, 36.89, 36.94, 56.08, and 86.15 RCW, shall be thirty percent of the rate for comparable real property, except as otherwise provided in this section. The rate charged to the department with respect to state highway right of way or any section of state highway right of way within a local government utility's jurisdiction shall not, however, exceed the rate charged for comparable city street or county road right of way within the same jurisdiction. The legislature finds that the aforesaid rates are presumptively fair and equitable because of the traditional and continuing expenditures of the department of transportation for the construction, operation, and maintenance of storm water control facilities designed to control surface water or storm water runoff from state highway rights of way.

(2) Charges paid under subsection (1) of this section by the department of transportation must be used solely for storm water control facilities that directly reduce state highway runoff impacts or implementation of best management practices that will reduce the need for such facilities. By January 1st of each year, beginning with calendar year 1997, the local government utility, in coordination with the department, shall develop a plan for the expenditure of the charges for that calendar year. The plan must be consistent with the objectives identified in section 3 of this act. In addition, beginning with the submittal for 1998, the utility shall provide a progress report on the use of charges assessed for the prior year. No charges may be paid until the plan and report have been submitted to the department.

(3) The utility imposing the charge and the department of transportation may, however, agree to either higher or lower rates with respect to the construction, operation, or maintenance of any specific storm water control facilities based upon the ((extent and adequacy of storm water control facilities constructed by the department and upon the actual benefits to state highway rights of way from the storm water control facilities constructed by the local government utility)) annual plan prescribed in subsection (2) of this section. If a different rate is agreed to, a report so stating shall be submitted to the legislative transportation committee. If, after mediation, the local government utility and the department of transportation cannot agree upon the proper rate, and after a report has been submitted to the legislative transportation committee and after ninety days from submission of such report, either may commence an action in the superior court for the county in which the state highway right of way is located to establish the proper rate. The court in establishing the proper rate shall take into account the extent and adequacy of storm water control facilities constructed by the department and the actual benefits to the sections of state highway rights of way from storm water control facilities constructed, operated, and maintained by the local government utility. Control of surface water runoff and storm water runoff from state highway rights of way shall be deemed an actual benefit to the state highway rights of way. The rate for sections of state highway right of way as determined by the court shall be set forth in terms of the percentage of the rate for comparable real property, but shall in no event exceed the rate charged for comparable city street or county road right of way within the same jurisdiction.

(4) The legislature finds that the federal Clean Water Act (national pollution discharge elimination system, 40 C.F.R. parts 122-124), the state water pollution control act, chapter 90.48 RCW, and the highway runoff program under chapter 90.70 RCW, mandate the treatment and control of storm water runoff from state highway rights of way owned by the department of transportation. Appropriations made by the legislature to the department of transportation for the construction, operation, and maintenance of storm water control facilities are intended to address applicable federal and state mandates related to storm water control and treatment. This section is not intended to limit opportunities for sharing the costs of storm water improvements between cities, counties, and the state.

NEW SECTION. Sec. 2. The legislature finds that the increasing population and continued development throughout the state have increased the need for storm water control. Storm water impacts have resulted in increased public health risks related to drinking water and agricultural and seafood products; increased disruption of economic activity, transportation facilities, and other public and private land and facilities due to the lack of adequate flood control measures; adverse affects on state fish populations; and contamination of sediments.

In addition, current storm water control and management efforts related to transportation projects lack necessary coordination on a watershed, regional, and state-wide basis; have inadequate funding; and fail to maximize use of available resources.

More stringent regulatory requirements have increased the costs that state and local governments must incur to deal with significant sources of pollution such as storm water. The costs estimated to properly maintain and construct storm water facilities far exceed available revenues.

Therefore, it is the intent of the legislature to establish a program to develop a state-wide coordination mechanism for the funding of state highway-related storm water management and control projects that will facilitate the completion of the state's most urgently needed storm water projects in the most cost-effective manner.

NEW SECTION. Sec. 3. The department of transportation, in cooperation with the department of ecology, cities, towns, counties, Indian tribes, and port districts, shall develop a storm water management funding and implementation program to address state highway-related problems. As part of the program, the department may provide grants to facilitate the construction of the highest priority state and local storm water management projects based on cost-effectiveness and contribution toward improved water quality and reduced flooding in a watershed.

The program shall address, but is not limited to, the following objectives: (1) Greater state-wide coordination of the construction of storm water treatment facilities; (2) encouraging multijurisdictional projects; (3) developing priorities and approaches for implementing activities within watersheds; (4) identification and prioritization of storm water retrofit programs; (5) evaluating methods to determine cost benefits of proposed projects; (6) identifying ways to facilitate the sharing of technical resources; (7) developing methods for monitoring and evaluating activities carried out under the program; and (8) identifying potential funding sources for continuation of the program.

NEW SECTION. Sec. 4. The department of transportation may provide grants to implement state highway-related storm water control measures. Cities, towns, counties, port districts, Indian tribes, and the department of transportation are eligible to receive grants, on a matching basis. A committee consisting of two representatives each from the department of transportation, with one as chair, the department of ecology, cities, and counties, shall oversee the grant program. The committee may add representatives of other agencies, organizations, or interest groups to serve as members of the committee or in an advisory capacity. In developing project criteria, the committee shall identify the most urgent state highway-related storm water management and control problems; develop methods for applying priorities across watersheds; give added weight to projects based on local contribution, multijurisdictional involvement, and whether the project is a priority for a local storm water utility; and determine the benefits of, and, if appropriate, provide incentives for off-site placement of storm water facilities and out-of-kind mitigation for storm water impact.

NEW SECTION. Sec. 5. This chapter expires July 1, 2003.

NEW SECTION. Sec. 6. A new section is added to chapter 90.03 RCW to read as follows:

In the development of highway construction projects, the department of transportation shall coordinate with adjacent local governments, ports, and other public and private organizations to determine opportunities for cost effective joint storm water treatment facilities for both new and existing impervious surfaces.

NEW SECTION. Sec. 7. By December 1, 1996, the department of transportation shall submit to the legislative transportation committee and the office of financial management a report on the implementation of the storm water funding and implementation program. The report must include proposed criteria for project selection, procedures for managing the program, and recommendations for achieving program objectives identified in section 3 of this act. The report must make recommendations for ongoing funding of the program after evaluating potential sources including, but not limited to, the federal transportation enhancements program, the motor vehicle fund, the transportation fund, the water quality account, the state toxics control account, the local toxics control account, local and private contributions, user fees, and other grant sources.

NEW SECTION. Sec. 8. Sections 2 through 5 of this act constitute a new chapter in Title 90 RCW.