HOUSE BILL REPORT

                  HB 2817

             As Reported By House Committee On:

                  Government Administration

Title:  An act relating to sales of real property by water‑sewer districts.

Brief Description:  Regarding district sales of real property.

Sponsors:  Representatives Doumit and Hatfield.

Brief History:

  Committee Activity:

Government Administration:  2/4/98, 2/5/98 [DPS].

HOUSE COMMITTEE ON GOVERNMENT ADMINISTRATION

Majority Report:  The substitute bill be substituted therefor and the substitute bill do pass.  Signed by 13 members:  Representatives D. Schmidt, Chairman; D. Sommers, Vice Chairman; Scott, Ranking Minority Member; Gardner, Assistant Ranking Minority Member; Doumit; Dunn; Dunshee; Murray; Reams; Smith; L. Thomas; Wensman and Wolfe.

Staff:  Steve Lundin (786-7127).

Background:  The board of commissioners of a water-sewer district may sell property owned by the district if it determines that the property is not and will not be needed by the district.

Notice of a sale of such property must be published for two consecutive weeks in a newspaper of general circulation in the district, except where personal property with a value of less than $2,500 is being sold.  The notice must describe the terms of the sale and conditions of the bids and must indicate that the district reserves the right to reject any and all bids.

Summary of Substitute Bill:  A water-sewer district may only reject the highest bid on a sale of district property if the board of commissioners adopts a resolution declaring the rejection.

Substitute Bill Compared to Original Bill:  Instead of limiting the authority of a district to reject the highest bid for only good cause, the board of commissioners must adopt a resolution and adopting such a bid.

Appropriation:  None.

Fiscal Note:  Not requested.

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

Testimony For:  My highest bid was rejected without good cause because the commissioners do not like me.

Testimony Against:  We have concerns. 

Testified:  Representatives Doumit and Hatfield, sponsors; and Joe Daniels, Washington Association of Sewer/Water Districts (with concerns).