S-3978.2  _______________________________________________

 

                         SENATE BILL 6661

          _______________________________________________

 

State of Washington      55th Legislature     1998 Regular Session

 

By Senators Fraser, Spanel, Fairley, Jacobsen, Snyder, Thibaudeau, Franklin, Bauer, Wojahn, Kline, Patterson, Rasmussen, Heavey, Prentice, Haugen, Kohl and McAuliffe

 

Read first time 01/26/98.  Referred to Committee on Ways & Means.

Funding salmon restoration.


    AN ACT Relating to funding salmon restoration; amending RCW 43.155.070; amending 1997 c 235 s 393 (uncodified); amending 1997 c 235 s 113 (uncodified); amending 1997 c 235 s 305 (uncodified); amending 1997 c 235 s 352 (uncodified); reenacting and amending RCW 43.155.050; creating a new section; and making appropriations.

 

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

 

    NEW SECTION.  Sec. 1.  The legislature finds that the precipitous decline of salmonid populations as well as recent and imminent listings of many salmonid stocks under the federal endangered species act requires an early and effective state response, including providing financial assistance to fish propagation, habitat protection, and habitat restoration projects directed to priority salmonid stocks.  The legislature finds that a comprehensive executive and legislative effort is ongoing to develop a state-wide recovery strategy that will provide a state funding mechanism to ensure that projects funded by the state are targeted to priority salmon stocks consistent with the state-wide recovery plan and that funding decisions are based upon sound science.  The legislature further finds that, while such a comprehensive funding mechanism has not been implemented presently, the scientific salmon and steelhead funding review panel authorized by chapter . . ., Laws of 1998 (Senate Bill No. . . . .) (S-4145.1/98), will provide the necessary criteria for priority setting and sound science in the expenditure of funds appropriated for salmon recovery projects during the current biennium.

    It is therefore the purpose of this act to allocate state funding from existing programs and appropriations for the purpose of priority salmon stock recovery, and to make new appropriations for this purpose.  It is intended by this legislation that such funding be provided in a manner that does not affect the level of funds that have been obligated for projects from appropriations through the remainder of the current biennium.

 

    Sec. 2.  1997 c 235 s 393 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF NATURAL RESOURCES

 

    Jobs for the Environment (98-2-009)

 

    The appropriations in this section are subject to the following conditions and limitations:

    (1) The appropriations shall be used solely for the jobs for the environment program to achieve the following goals:

    (a) Restore and protect watersheds to benefit anadromous fish stocks, consistent with the limitations of subsection (8) of this section, including critical or depressed stocks as determined by the department of fish and wildlife;

    (b) Conduct watershed restoration and protection projects primarily on state lands in coordination with federal, local, tribal, and private sector efforts; and

    (c) Create market wage jobs with benefits in environmental restoration for displaced workers in rural natural resource impact areas, as defined under RCW 43.31.601(2).

    (2) Except as provided in subsection (5) of this section and consistent with the limitations of this section, the appropriations are solely for projects selected by the department of natural resources, in consultation with an interagency task force consisting of the department of fish and wildlife, other appropriate state agencies, tribal governments, local governments, the federal government, labor and other interested stakeholders.  In recommending projects for funding the task force shall use the following criteria:

    (a) The extent to which the project, using best available science, addresses habitat factors limiting fish and wildlife populations;

    (b) The number, duration and quality of jobs to be created or retained by the project for displaced workers in natural resource impact areas;

    (c) The extent to which the project will help avoid the listing of threatened or endangered species or provides for the recovery of species already listed;

    (d) The extent to which the project will augment existing federal, state, tribal or local watershed planning efforts or completed watershed restoration and conservation plans;

    (e) The cost effectiveness of the project;

    (f) The availability of matching funds; and

    (g) The demonstrated ability of the project sponsors to administer the project.

    (3) Funds expended shall be used for specific projects and not for ongoing operational costs.  Eligible projects include, but are not limited to, closure or improvement of forest roads, repair of culverts, cleanup of stream beds, removal of fish barriers, installation of fish screens, fencing of streams, and construction and planting of fish cover.  Funds may also be expended for planning, design, engineering, and monitoring of eligible projects.

    (4) The department of natural resources and the department of fish and wildlife, in consultation with the office of financial management and other appropriate agencies, shall report to the appropriate committees of the legislature by January 1, 1998, and January 1, 1999, on the results of expenditures from the appropriations.

    (5) $800,000 of the appropriations in this section is provided solely for watershed restoration programs to be completed by the department of ecology's Washington conservation corps crews.

    (6) All projects funded under this section shall be consistent with any development regulations or comprehensive plans adopted under the growth management act for the project areas.  No funds may be expended to acquire land through condemnation.

    (7) Projects under contract as of June 1, 1997, shall be given first priority for funding under the appropriations in this section.

    (8) All of the general fund--state appropriation and no less than twenty-five percent of the remainder of the appropriations under this section that have not been obligated as of March 1, 1998, shall be expended on projects for the recovery of priority salmonid stocks.  Project funding decisions under this subsection shall utilize the recommendations of the scientific salmon and steelhead funding review panel provided under chapter . . ., Laws of 1998 (Senate Bill No. . . . .) (S-4145.1/98).

 

           Appropriation:

               For Dev Acct‑-State................. $     500,000

               Resource Management Cost

                    Account‑-State.................. $   1,500,000

               Water Quality Account‑-State........ $   7,133,000

                                                     -------------

                    Subtotal Appropriation.......... $   9,133,000

 

 

               Prior Biennia (Expenditures)........ $  23,067,000

               Future Biennia (Projected Costs).... $  40,000,000

                                                     -------------

                         TOTAL...................... $  72,200,000

 

 

    Sec. 3.  1997 c 235 s 113 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF COMMUNITY, TRADE, AND ECONOMIC DEVELOPMENT

 

    Public works trust fund (94-2-001)

 

    The appropriation in this section is subject to the following conditions and limitations:

    (1) $15,646,000 of the reappropriation in this section is provided solely for the preconstruction program.

    (2) Up to $12,000,000 of the appropriation under this section may be spent for construction projects which have a substantial component benefiting the recovery of priority salmonid stocks.  This subsection shall apply only to funds for bridge, road, domestic water, sanitary sewer, and storm sewer projects.

 

           Reappropriation:

               Public Works Assistance Account‑-

                    State........................... $ 108,746,982

           Appropriation:

               Public Works Assistance Account‑-

                    State........................... $ 180,977,328

 

               Prior Biennia (Expenditures)........ $ 287,953,301

               Future Biennia (Projected Costs).... $ 820,000,000

                                                     -------------

                    TOTAL........................... $ 1,397,677,611

 

    Sec. 4.  RCW 43.155.050 and 1995 2nd sp.s. c 18 s 918 and 1995 c 376 s 11 are each reenacted and amended to read as follows:

    The public works assistance account is hereby established in the state treasury.  Money may be placed in the public works assistance account from the proceeds of bonds when authorized by the legislature or from any other lawful source.  Money in the public works assistance account shall be used to make loans and to give financial guarantees to local governments for public works projects.  Moneys in the account may also be appropriated to provide for state match requirements under federal law for projects and activities conducted and financed by the board under the drinking water assistance account.  During the 1995-97 fiscal biennium, moneys in the public works assistance account may be appropriated for transfer to the flood control assistance account to be used for flood control assistance, including grants under chapter 86.26 RCW.  To the extent that moneys in the public works assistance account are not appropriated during the 1995-97 fiscal biennium for public works or flood control assistance, the legislature may direct their transfer to the state general fund.  In awarding grants under chapter 86.26 RCW, the department of ecology shall give strong preference to local governments that have:  (1) Implemented, or are in the process of implementing, an ordinance that establishes a flood plain policy that is substantially more stringent than minimum federal requirements; (2) completed a comprehensive flood control plan meeting the requirements of RCW 86.12.200; or (3) constructed, or are in the process of constructing, a system of overtopping dikes or levees that allow public access.

    During the 1997-99 fiscal biennium, moneys in the account, when appropriated, may be used to provide for projects benefiting the recovery of priority salmonid recovery stocks.  The board may make project decisions without having prior legislative approval, as noted in RCW 43.155.070(6).

 

    Sec. 5.  RCW 43.155.070 and 1997 c 429 s 29 are each amended to read as follows:

    (1) To qualify for loans or pledges under this chapter the board must determine that a local government meets all of the following conditions:

    (a) The city or county must be imposing a tax under chapter 82.46 RCW at a rate of at least one-quarter of one percent;

    (b) The local government must have developed a long-term plan for financing public works needs;

    (c) The local government must be using all local revenue sources which are reasonably available for funding public works, taking into consideration local employment and economic factors; and

    (d) Except where necessary to address a public health need or substantial environmental degradation, a county, city, or town that is required or chooses to plan under RCW 36.70A.040 must have adopted a comprehensive plan in conformance with the requirements of chapter 36.70A RCW, after it is required that the comprehensive plan be adopted, and must have adopted development regulations in conformance with the requirements of chapter 36.70A RCW, after it is required that development regulations be adopted.

    (2) The board shall develop a priority process for public works projects as provided in this section.  The intent of the priority process is to maximize the value of public works projects accomplished with assistance under this chapter.  The board shall attempt to assure a geographical balance in assigning priorities to projects.  The board shall consider at least the following factors in assigning a priority to a project:

    (a) Whether the local government receiving assistance has experienced severe fiscal distress resulting from natural disaster or emergency public works needs;

    (b) Whether the project is critical in nature and would affect the health and safety of a great number of citizens;

    (c) The cost of the project compared to the size of the local government and amount of loan money available;

    (d) The number of communities served by or funding the project;

    (e) Whether the project is located in an area of high unemployment, compared to the average state unemployment;

    (f) Whether the project is the acquisition, expansion, improvement, or renovation by a local government of a public water system that is in violation of health and safety standards, including the cost of extending existing service to such a system;

    (g) The relative benefit of the project to the community, considering the present level of economic activity in the community and the existing local capacity to increase local economic activity in communities that have low economic growth; and

    (h) Other criteria that the board considers advisable.

    (3) Existing debt or financial obligations of local governments shall not be refinanced under this chapter.  Each local government applicant shall provide documentation of attempts to secure additional local or other sources of funding for each public works project for which financial assistance is sought under this chapter.

    (4) Before November 1 of each year, the board shall develop and submit to the appropriate fiscal committees of the senate and house of representatives a description of the loans made under RCW 43.155.065, 43.155.068, and subsection (7) of this section during the preceding fiscal year and a prioritized list of projects which are recommended for funding by the legislature, including one copy to the staff of each of the committees.  The list shall include, but not be limited to, a description of each project and recommended financing, the terms and conditions of the loan or financial guarantee, the local government jurisdiction and unemployment rate, demonstration of the jurisdiction's critical need for the project and documentation of local funds being used to finance the public works project.  The list shall also include measures of fiscal capacity for each jurisdiction recommended for financial assistance, compared to authorized limits and state averages, including local government sales taxes; real estate excise taxes; property taxes; and charges for or taxes on sewerage, water, garbage, and other utilities.

    (5) The board shall not sign contracts or otherwise financially obligate funds from the public works assistance account before the legislature has appropriated funds for a specific list of public works projects.  The legislature may remove projects from the list recommended by the board.  The legislature shall not change the order of the priorities recommended for funding by the board.

    (6) Subsection (5) of this section does not apply to loans made under RCW 43.155.065, 43.155.068, salmonid recovery loans made under RCW 43.155.050, and subsection (7) of this section.

    (7)(a) Loans made for the purpose of capital facilities plans shall be exempted from subsection (5) of this section.  In no case shall the total amount of funds utilized for capital facilities plans and emergency loans exceed the limitation in RCW 43.155.065.

    (b) For the purposes of this section "capital facilities plans" means those plans required by the growth management act, chapter 36.70A RCW, and plans required by the public works board for local governments not subject to the growth management act.

    (8) To qualify for loans or pledges for solid waste or recycling facilities under this chapter, a city or county must demonstrate that the solid waste or recycling facility is consistent with and necessary to implement the comprehensive solid waste management plan adopted by the city or county under chapter 70.95 RCW.

 

    Sec. 6.  1997 c 235 s 305 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF ECOLOGY

 

    Centennial clean water fund (86-2-007)

 

    The appropriations in this section are subject to the following conditions and limitations:

    (1) $25,000,000 of the appropriation is provided solely for the extended grant payment to Metro/King county.

    (2) $10,000,000 of the appropriation is provided solely for an extended grant payment to Spokane for the Spokane-Rathdrum Prairie aquifer.

    (3) $1,850,000 of the appropriation is provided solely for allocation for on-site sewage system projects or programs identified in local watershed plans.  Of this amount, $25,000 is provided solely for the Puyallup Washington state university research and extension center for on-site septic systems, and $25,000 is provided solely for the department of health to support the work group making recommendations on the development of an on-site septic system certification program pursuant to Substitute Senate Bill No. 5838.

    (4) $10,000,000 of the appropriation is provided for the department to establish and administer a reclaimed water demonstration program to provide grants to five demonstration projects consistent with this section((,)) and((, if enacted,)) chapter 355, Laws of 1997.  Of this amount:

    (a) $100,000 is provided solely for an interagency agreement with the department of health for monitoring the activities and progress of the demonstration projects and to refine reclaimed water standards from the results of the projects;

    (b) $75,000 is provided for the department of ecology's administrative costs in funding and monitoring the activities and progress of the demonstration projects;

    (c) $1,970,000 is provided solely for a grant to the city of Ephrata for a reclaimed water demonstration project;

    (d) $985,000 is provided solely for a grant to the city of Royal City for a reclaimed water demonstration project;

    (e) $3,398,500 is provided solely for a grant to the city of Sequim for a reclaimed water demonstration project;

    (f) $3,398,500 is provided solely for a grant to the city of Yelm for a reclaimed water demonstration project; and

    (g) $98,500 is provided solely for a grant to Lincoln county for a study of a reclaimed water demonstration project.

    (5) A minimum of 80 percent of the remaining appropriation after allocation of subsections (1), (2), (3), and (4) of this section shall be allocated by the department for water quality implementation activities.

    (6) A maximum of 20 percent of the remaining appropriation after allocation of subsections (1), (2), (3), and (4) of this section shall be allocated by the department for water quality planning activities.

    (7) In awarding state-wide water quality implementation and planning grants and loans, the department shall ((give priority consideration to)):

    (a) ((Proposals)) Give priority consideration to proposals submitted by communities with populations less than 2,500 or proposals that will be submitted by communities with populations less than 2,500 who have demonstrated an economic hardship which will prevent the completion or implementation of water quality projects; and

    (b) ((Projects located in basins with critical or depressed salmonid stocks)) Allocate no less than twenty-five percent of the amount which has not been obligated as of March 1, 1998, for projects otherwise eligible under the water quality account and which have a component benefiting the recovery of priority salmonid stocks.  Project funding decisions under this subsection shall utilize the recommendations of the scientific salmon and steelhead funding review panel provided under chapter . . ., Laws of 1998 (Senate Bill No. . . . .) (S-4145.1/98).

    (8) The reappropriation in this section is provided solely for projects under contract on or before June 30, 1997.  Reappropriated funds not associated with contracted projects shall lapse on June 30, 1997.  The office of financial management may grant waivers from this subsection (8) for specific projects upon findings of exceptional circumstances after notification of the chairs of the house of representatives capital budget committee and senate ways and means committee.  The department shall submit a report to the office of financial management and the house of representatives capital budget committee and senate ways and means committee by December 1, 1997, listing all projects funded from the reappropriation in this section.

 

           Reappropriation:

               Water Quality Account‑-State........ $  38,653,000

           Appropriation:

               Water Quality Account‑-State........ $  70,000,000

 

               Prior Biennia (Expenditures)........ $ 291,063,221

               Future Biennia (Projected Costs).... $ 311,000,000

                                                     -------------

                         TOTAL...................... $ 710,716,221

 

    Sec. 7.  1997 c 235 s 352 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF FISH AND WILDLIFE

 

    Coast and Puget Sound wild salmonid habitat restoration (98-1-009)

 

    No less than twenty-five percent of that portion of the appropriation under this section that has not been obligated as of March 1, 1998, shall be expended on projects for the recovery of priority salmonid stocks.  Project funding decisions under this section shall utilize the recommendations of the scientific salmon and steelhead funding review panel provided under chapter . . ., Laws of 1998 (Senate Bill No. . . . .) (S-4145.1/98).

 

           Reappropriation:

               St Bldg Constr Acct‑-State.......... $   1,428,770

           Appropriation:

               General Fund‑-Federal............... $     800,000

               General Fund‑-Private/Local......... $     800,000

               St Bldg Constr Acct‑-State.......... $   3,500,000

                                                     -------------

                    Subtotal Appropriation.......... $   5,100,000

 

               Prior Biennia (Expenditures)........ $   8,986,230

               Future Biennia (Projected Costs).... $  22,400,000

                                                     -------------

                         TOTAL...................... $  37,915,000

 


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