BP BHEAD INT S

AN ACT Relating to the creation of the trust land transfer program; and adding a new chapter to Title 79 RCW.

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

NEW SECTION. Sec. 1. The legislature finds it to be in the best interest of the state and the best interest of state land trusts to establish the trust land transfer program. The legislature further finds the purpose of the trust land transfer program is to:

(1) Provide additional funding to meet state land trusts' needs;

(2) Increase the revenue production capability of the state land trusts' land base; and

(3) Protect, by transferring to appropriate public agencies, certain state lands that are difficult to manage for revenue production and that have significant natural values, such as flora, fauna, scenery, waters, geology, and other natural resources that make them suitable for uses such as parks and recreation, conservation, preservation, fish and wildlife habitat, and/or open space.

NEW SECTION. Sec. 2. (1) The board of natural resources shall develop a process through an administrative policy for the department of natural resources to identify, evaluate, and prioritize state lands, as that term is defined under RCW 79.01.004, with potential to be transferred under this chapter. The board shall periodically review and, if appropriate, revise this process. As part of the process, the department of natural resources shall consider for transfer state trust lands that are difficult to manage for revenue production and that have significant natural values, such as flora, fauna, scenery, waters, geology, and other natural resources that make them suitable for uses such as parks and recreation, conservation, preservation, fish and wildlife habitat, open space, or any combination of these uses.

(2) The department of natural resources shall identify the reasons each property was selected for transfer, the trust benefits that would accrue from the transfer, the public agency proposed to receive each property, and the proposed use or uses of each property.

(3) The department of natural resources shall hold public meetings to obtain public comment on the proposed trust land transfer list prior to submitting the list to the board of natural resources for approval. The public meetings shall not be required for the list of properties submitted to the legislature for funding as part of the 1997-99 budget request.

(4) The department of natural resources shall submit a prioritized trust land transfer list to the board of natural resources for its approval. The board shall determine if such transfers are in the best interests of each affected trust. The department of natural resources shall submit the board-approved prioritized list as part of the department's capital budget request.

NEW SECTION. Sec. 3. The department of natural resources is authorized to exchange state trust lands with other state trust lands deemed suitable for transfer under this chapter according to the process set forth under RCW 79.08.015, provided the exchange is deemed to be in the best interest of each affected trust.

NEW SECTION. Sec. 4. Prior to transfer under this chapter, each property shall be appraised to determined the market value and the allocation of value for the land and the timber.

(1) The value of the timber shall be deposited in either the current or permanent account of the affected trust, from which property is transferred, as directed by state law governing the disposition of timber sales income. No deduction shall be made for the resource management cost account under RCW 79.64.040.

(2) The value of the land shall be deposited into the park land trust revolving fund authorized under RCW 43.30.115 and no deduction shall be made for the resource management cost account under RCW 79.64.040. These funds shall be used by the department of natural resources to buy replacement real property for the affected state lands' trust.

(3) All reasonable costs incurred by the department of natural resources to implement this chapter, including all costs of transferring property and acquiring replacement real property, are authorized to be paid from appropriations implementing this chapter. Those reasonable costs to be incurred in acquiring the replacement real property are authorized to be reserved by the department of natural resources in the park land trust revolving fund authorized under RCW 43.30.115.

NEW SECTION. Sec. 5. The department of natural resources is authorized to transfer those properties on the trust land transfer list that have been approved by the board of natural resources and funded by the legislature, to appropriate public agencies, as that term is defined under RCW 79.01.009, including any internal transfers to and within the department of natural resources, providing the receiving agency is willing to accept and manage the property for the uses identified under section 2(2) of this act.

NEW SECTION. Sec. 6. All prior transfers completed by the department of natural resources as authorized by the legislature under section 316, chapter 19, Laws of 1989 1st ex. sess., section 311(1), chapter 16, Laws of 1990 1st ex. sess., section 26, chapter 14, Laws of 1991 sp. sess., as amended by section 21, chapter 233, Laws of 1992; and section 459, chapter 22, Laws of 1993 1st sp. sess., are ratified.

NEW SECTION. Sec. 7. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.

NEW SECTION. Sec. 8. Sections 1 through 6 of this act constitute a new chapter in Title 79 RCW.