2832-S.E [atlas:bill]

AN ACT Relating to authorizing the department of transportation to manage and control a rail transportation corridor and to enter into agreements for the purpose of reinstituting rail service over state-owned former railroad rights of way; amending RCW 44.40.020, 43.51.405, 43.51.407, 43.51.409, 43.51.411, 79.08.275, 79.08.277, 79.08.279, 79.08.281, and 79.08.283; adding a new chapter to Title 81 RCW; providing a contingent expiration date; and declaring an emergency.

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

NEW SECTION. Sec. 1. The legislature intends to enact policies that:

(1) Maintain and enhance our state's prominence in international trade;

(2) Improve access to regional, national, and international markets for Washington's agricultural producers and manufacturers;

(3) Reduce congestion on the state's system of mainline railroads;

(4) Ensure the viability of both conventional and intermodal rail transportation as an alternative mode, thereby helping to reduce roadway damage and congestion, improve highway safety, and improve air quality; and

(5) Manage state resources to their greatest utility and in a manner most beneficial to the state's taxpayers.

In order to accomplish these objectives, it is necessary to consolidate ownership of certain properties currently owned by various state agencies into a single transportation corridor, to be managed by the department of transportation. The department shall negotiate franchises to reinstitute rail service in the corridor. It is the intent of the legislature that ownership of these properties not be consolidated unless a franchise agreement for the provision of rail service is entered into by the department of transportation.

NEW SECTION. Sec. 2. The definitions set forth in this section apply throughout this chapter, unless specifically defined otherwise or the context clearly indicates otherwise.

(1) "Milwaukee Road corridor" means lands running between the Woldale overcrossing at milepost 2064.8 near Ellensburg to Othello at milepost 1988.5; and lands running between West Warden at milepost 1975.5 to Lind at milepost 1952.6.

(2) "Department" means the department of transportation, unless otherwise specified.

NEW SECTION. Sec. 3. (1) Ownership of properties defined under section 2 of this act as the Milwaukee Road corridor are transferred to the department of transportation. The department of transportation is responsible for the care, charge, management and control of the corridor, and the department shall manage the corridor for use in the transportation of persons and property.

(2) The department, after consulting with the legislative transportation committee to establish parameters for franchise negotiations (including but not limited to fees, liability, maintenance, and service levels) may negotiate a franchise agreement with qualified entities for the construction and maintenance of service to transport persons or property, or both, in the corridor. The department may grant a franchise agreement only after approval of the agreement by the legislative transportation committee.

NEW SECTION. Sec. 4. In addition to any other provisions deemed necessary by the department, a franchise agreement to provide rail service in the corridor must contain provisions:

(1) Establishing any combination of franchise fees, tariffs, rents, profits, rates, lease payments, charges, tolls, or other good and valuable consideration in exchange for granting the franchise;

(2) Indemnifying the state against liability for any incidents or occurrences resulting from use of the corridor;

(3) Requiring adherence to environmental laws, unless specifically exempted by other provisions of law, in constructing, maintaining, and operating transportation services in the corridor;

(4) Providing for fire and weed control, and general maintenance of the corridor;

(5) Requiring the franchisee to provide, or make provisions for, adequate local rail service to shippers along the line. The franchise agreement shall grant the state of Washington legal standing and the obligation to enforce the provisions for adequate local rail service;

(6) Requiring the franchisee, upon reasonable request of any other rail operator, to provide rail service and interchange freight over what is commonly known as the Stampede Pass rail line from Cle Elum to Auburn at commercially reasonable rates; and

(7) If any part of the franchise agreement is invalidated by actions or rulings of the federal surface transportation board or any court of competent jurisdiction, the remaining portions of the franchise agreement are not affected.

NEW SECTION. Sec. 5. A franchise agreement entered into by the department of transportation is void unless approved by a majority vote of the legislative transportation committee. The legislative transportation committee, at a minimum, shall ensure that the agreement is capable of providing eight million dollars in revenue to be deposited into the cross-state trail account, established under section 7 of this act, as compensation for the loss of use of the recreational trail running from Ellensburg to Royal City Junction, and from west Warden to Lind; and that the agreement contains payment provisions for use of federally granted trust lands in the transportation corridor.

NEW SECTION. Sec. 6. Franchise fees or other revenues generated from the franchise shall be distributed in the following manner:

(1) Amounts necessary to compensate for the use of federally granted trust lands shall be forwarded to the department of natural resources, in trust, to be managed subject to the same restrictions and limitations applicable to the federally granted trust land property;

(2) An amount equal to the department of transportation's actual cost to administer the corridor and franchise agreement shall be deposited to the transportation fund for use by subprogram Y-2, the freight rail office;

(3) An amount necessary to amortize the compensation provided in section 5 of this act over the franchise agreement's first six years shall be deposited in the cross-state trail account. If no amount is provided by section 5 of this act, then no revenues shall be distributed to compensate for loss of use of the recreational trail;

(4) Remaining funds shall be deposited into the essential rail assistance account, created under RCW 47.76.250.

NEW SECTION. Sec. 7. (1) The parks and recreation commission shall develop and maintain a cross-state trail facility with appropriate appurtenances.

(2) The cross-state trail account is created in the custody of the state treasurer. The department of transportation shall deposit revenues in the amount prescribed under section 6(3) of this act into the account. Expenditures from the account may be used only for the acquisition, development, operation, and maintenance of the cross-state trail. Only the director of the state parks and recreation commission or the director's designee may authorize expenditures from the account. The account is subject to the allotment procedures under chapter 43.88 RCW, but no appropriation is required for expenditures.

(3) The commission may acquire land from willing sellers for the cross-state trail, but not by eminent domain.

(4) The commission shall adopt rules describing the cross-state trail.

NEW SECTION. Sec. 8. The department of natural resources and the parks and recreation commission may by mutual agreement transfer the management authority over portions of state-owned land between Lind and the Idaho border, and other portions of land currently managed by the department of natural resources, to the parks and recreation commission without legislative approval.

Sec. 9. RCW 44.40.020 and 1977 ex.s. c 235 s 5 are each amended to read as follows:

(1) The committee is authorized and directed to continue its studies and for that purpose shall have the powers set forth in chapter 111, Laws of 1947. The committee is further authorized to make studies related to bills assigned to the house and senate transportation committees and such other studies as provided by law. The executive committee of the committee may assign responsibility for all or part of the conduct of studies to the house and/or senate transportation committees.

(2) The committee may review and approve franchise agreements entered into by the department of transportation under section 3(5) of this act.

Sec. 10. RCW 43.51.405 and 1989 c 129 s 1 are each amended to read as follows:

Except as provided in sections 1 through 4 of this act, management control of the portion of the Milwaukee Road corridor, beginning at the western terminus near Easton and concluding at the west end of the bridge structure over the Columbia river, which point is located in section 34, township 16 north, range 23 east, W.M., inclusive of the northerly spur line therefrom, shall be transferred by the department of natural resources to the state parks and recreation commission at no cost to the commission.

Sec. 11. RCW 43.51.407 and 1987 c 438 s 39 are each amended to read as follows:

Except as provided in sections 1 through 4 of this act, the state parks and recreation commission shall do the following with respect to the portion of the Milwaukee Road corridor under its control:

(1) Manage the corridor as a recreational trail except when closed under RCW 43.51.409;

(2) Close the corridor to hunting;

(3) Close the corridor to all motorized vehicles except: (a) Emergency or law enforcement vehicles; (b) vehicles necessary for access to utility lines; and (c) vehicles necessary for maintenance of the corridor, or construction of the trail;

(4) Comply with legally enforceable conditions contained in the deeds for the corridor;

(5) Control weeds under the applicable provisions of chapters 17.04, 17.06, and 17.10 RCW; and

(6) Clean and maintain culverts.

Sec. 12. RCW 43.51.409 and 1989 c 129 s 3 are each amended to read as follows:

Except as provided in sections 1 through 4 of this act, the state parks and recreation commission may do the following with respect to the portion of the Milwaukee Road corridor under its control:

(1) Enter into agreements to allow the realignment or modification of public roads, farm crossings, water conveyance facilities, and other utility crossings;

(2) Regulate activities and restrict uses, including, but not limited to, closing portions of the corridor to reduce fire danger or protect public safety;

(3) Place hazard warning signs and close hazardous structures;

(4) Renegotiate deed restrictions upon agreement with affected parties; and

(5) Approve and process the sale or exchange of lands or easements if such a sale or exchange will not adversely affect the recreational potential of the corridor; and

(6) Manage the portion of the Milwaukee Road corridor lying between the eastern corporate limits of the city of Kittitas and the eastern end of the corridor under commission control for recreational access limited to holders of permits issued by the commission. The commission shall, for the purpose of issuing permits for corridor use, adopt rules necessary for the orderly and safe use of the corridor and the protection of adjoining landowners, which may include restrictions on the total numbers of permits issued, numbers in a permitted group, and periods during which the corridor is available for permitted users. The commission may increase recreational management of this portion of the corridor and eliminate the permit system as it determines in its discretion based upon available funding and other resources.

Sec. 13. RCW 43.51.411 and 1984 c 174 s 5 are each amended to read as follows:

Except as provided in sections 1 through 4 of this act, the state parks and recreation commission shall identify opportunities and encourage volunteer work, private contributions, and support from tax-exempt foundations to develop, operate, and maintain the recreation trail on the portion of the Milwaukee Road under its control.

Sec. 14. RCW 79.08.275 and 1989 c 129 s 2 are each amended to read as follows:

Except as provided in sections 1 through 4 of this act, the portion of the Milwaukee Road corridor from the west end of the bridge structure over the Columbia river, which point is located in section 34, township 16 north, range 23 east, W.M., to the Idaho border purchased by the state shall be under the management and control of the department of natural resources.

Sec. 15. RCW 79.08.277 and 1984 c 174 s 7 are each amended to read as follows:

Except as provided in sections 1 through 4 of this act, the portion of the Milwaukee Road corridor under management and control of the department of natural resources shall be open to individuals or organized groups which obtain permits from the department of natural resources to travel the corridor for recreational purposes. The department of natural resources shall, for the purpose of issuing permits for corridor use, promulgate rules necessary for the orderly and safe use of the corridor and protection of adjoining landowners. Permit fees shall be established at a level that will cover costs of issuance. Upon request of abutting landowners, the department shall notify the landowners of permits issued for use of the corridor adjacent to their property.

Sec. 16. RCW 79.08.279 and 1984 c 174 s 8 are each amended to read as follows:

Except as provided in sections 1 through 4 of this act, the department of natural resources may do the following with respect to the portion of the Milwaukee Road corridor under its control:

(1) Enter into agreements to allow the realignment or modification of public roads, farm crossings, water conveyance facilities, and other utility crossings;

(2) Regulate activities and restrict uses, including, but not limited to, closing portions of the corridor to reduce fire danger or protect public safety in consultation with local legislative authorities or fire districts;

(3) Place hazard warning signs and close hazardous structures;

(4) Renegotiate deed restrictions upon agreement with affected parties; and

(5) Approve and process the sale or exchange of lands or easements if (a) such a sale or exchange will not adversely affect the recreational, transportation or utility potential of the corridor and (b) the department has not entered into a lease of the property in accordance with RCW 79.08.281.

Sec. 17. RCW 79.08.281 and 1984 c 174 s 9 are each amended to read as follows:

Except as provided in sections 1 through 4 of this act:

(1) The department of natural resources shall offer to lease, and shall subsequently lease if a reasonable offer is made, portions of the Milwaukee Road corridor under its control to the person who owns or controls the adjoining land for periods of up to ten years commencing with June 7, 1984. The lessee shall assume the responsibility for fire protection, weed control, and maintenance of water conveyance facilities and culverts. The leases shall follow standard department of natural resources leasing procedures, with the following exceptions:

(a) The lessee may restrict public access pursuant to RCW 79.08.277 and 79.08.281(3).

(b) The right of renewal shall be to the current lessee if the lessee still owns or controls the adjoining lands.

(c) If two persons own or control opposite sides of the corridor, each person shall be eligible for equal portions of the available property.

(2) The department of natural resources has the authority to renew leases in existence on June 7, 1984.

(3) The leases shall contain a provision allowing the department of natural resources to issue permits to travel the corridor for recreational purposes.

(4) Unleased portions of the Milwaukee Road property under this section shall be managed by the department of natural resources. On these unleased portions, the department solely shall be responsible for weed control, culvert, bridge, and other necessary maintenance and fire protection services. The department shall place hazard warning signs and close hazardous structures on unleased portions and shall regulate activities and restrict uses, including closing the corridor during seasons of high fire danger.

Sec. 18. RCW 79.08.283 and 1984 c 174 s 10 are each amended to read as follows:

Except as provided in sections 1 through 4 of this act, the state, through the department of natural resources, shall reserve the right to terminate a lease entered into pursuant to RCW 79.08.281 or modify authorized uses of the corridor for future recreation, transportation, or utility uses. If the state elects to terminate the lease, the state shall provide the lessee with a minimum of six months' notice.

NEW SECTION. Sec. 19. If the department of transportation does not enter into a franchise agreement authorized by section 3 of this act, sections 1 through 21 of this act are null and void.

NEW SECTION. Sec. 20. Sections 1 through 8 of this act constitute a new chapter in Title 81 RCW.

NEW SECTION. Sec. 21. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately.