HOUSE BILL REPORT

                  HB 1507

             As Reported By House Committee On:

                  Government Administration

Title:  An act relating to procedures for fees for governmental services.

Brief Description:  Requiring accountability for fees by governmental agencies.

Sponsors:  Representatives D. Schmidt, Sherstad, Mielke, L. Thomas, McMorris, Smith, Sump, D. Sommers, Crouse, Delvin, Honeyford, Cairnes, Pennington, Gardner, Dunn, Sullivan, Robertson, Koster, Thompson, McDonald, Bush, Kastama, Sheahan, Mulliken, Schoesler and Zellinsky.

Brief History:

Committee Activity:

Government Administration:  2/18/97, 3/5/97 [DPS].

HOUSE COMMITTEE ON GOVERNMENT ADMINISTRATION

Majority Report:  The substitute bill be substituted therefor and the substitute bill do pass.  Signed by 7 members:  Representatives D. Schmidt, Chairman; D. Sommers, Vice Chairman; Gardner, Assistant Ranking Minority Member; Dunn; Reams; Smith and L. Thomas.

Minority Report:  Do not pass.  Signed by 6 members:  Representatives Scott, Ranking Minority Member; Doumit; Dunshee; Murray; Wensman and Wolfe.

Staff:  Bill Lynch (786-7092).

Background:  Local governments charge a variety of fees for permits related to residential development activity.

Summary of Substitute Bill:  Any fee charged by a city, town, or county for a permit issued in order to develop residential real property may not exceed the costs for administering the permit.  A city, town, or county must prepare a written statement which details the costs to administer each category of development permits which cost $200 or more.  This statement is subject to public inspection and copying.

Substitute Bill Compared to Original Bill:  The original bill provided that any fee imposed by a state or local governmental agency must directly relate to the service provided for the fee.  It also required a state or local governmental agency to prepare an economic impact statement on a fee proposal.

Appropriation:  None.

Fiscal Note:  Available.

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

Testimony For:  Some counties charge more for building permits than it costs to administer them.  The excess money goes into the general fund.

Testimony Against:  It is not clear to what this bill applies.  Local governments must already relate the amount of the fees to their costs.

Testified:  (Pro)  Bill Huyette, BIAW; and Amber Balch, Association of Washington Business.  (Con)  Stan Finkelstein, Association of Washington Cities; Len Sanderson, Mayor of Milton; and Doug Levy, city of Everett.