S-1072.1  _______________________________________________

 

                         SENATE BILL 5806

          _______________________________________________

 

State of Washington      55th Legislature     1997 Regular Session

 

By Senators Roach, Goings, Haugen, Rasmussen and Anderson

 

Read first time 02/13/97.  Referred to Committee on Agriculture & Environment.

Providing tax exemptions for small water districts and systems.


    AN ACT Relating to tax exemptions for small water districts and systems; adding a new section to chapter 82.04 RCW; adding a new section to chapter 82.16 RCW; creating a new section; and providing an expiration date.

 

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

 

    NEW SECTION.  Sec. 1.  The legislature finds that encouraging water districts to better management of state water resources and encouragement of satellite management of failing water systems is in the best interests of the people of Washington state.  Continual updates of water quantity and quality, as mandated by federal and state agencies, have revealed that degradation of water quality exists in small water systems throughout the state and that satellite management and consolidation of small systems under a centralized management structure can best utilize existing resources available to assure safe, clean drinking water.  The legislature further finds that costs involved in upgrading these small systems can be extremely burdensome to water customers and public water purveyors.  With diminishing resources available to these small systems, the legislature finds that granting business and occupation and excise tax relief, under certain conditions, will assist smaller water districts to meet state and federal standards.

 

    NEW SECTION.  Sec. 2.  A new section is added to chapter 82.04 RCW to read as follows:

    (1) This chapter does not apply to amounts received by water districts with less than one thousand five hundred connections.

    (2) This chapter does not apply to amounts received by systems with less than two hundred connections that are qualified satellite system management agencies under RCW 70.116.134.

    (3) Districts and systems are eligible under this section if their existing water rates exceed one hundred twenty-five percent of the average water rate charged customers in the county where the system or district is located, as determined by the department of health.

    (4) The department of health shall adopt rules in order to certify to the department of revenue the eligibility of districts and systems under this system.

 

    NEW SECTION.  Sec. 3.  A new section is added to chapter 82.16 RCW to read as follows:

    (1) This chapter does not apply to amounts received by water districts with less than one thousand five hundred connections.

    (2) This chapter does not apply to amounts received by systems with less than two hundred connections that are qualified satellite system management agencies under RCW 70.116.134.

    (3) Districts and systems are eligible under this section if their existing water rates exceed one hundred twenty-five percent of the average water rate charged customers in the county where the system or district is located, as determined by the department of health.

    (4) The department of health shall adopt rules in order to certify to the department of revenue the eligibility of districts and systems under this system.

 

    NEW SECTION.  Sec. 4.  This act expires July 1, 2003.

 


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