HOUSE BILL ANALYSIS

HB 1041

Title: An act relating to authorization for projects recommended by the public works board.

Brief Description: Authorizing project loans recommended by the Public Works Board from funds previously appropriated by the Legislature.

Sponsors: Representatives Mitchell and Murray; by request of Public Works Board.

Background: The public works assistance account, commonly known as the public works trust fund, was created by the Legislature in 1985 to provide a source of loan funds to assist local governments and special purpose districts with infrastructure projects. The Public Works Board, within the Department of Community, Trade, and Economic Development (CTED), is authorized to make low-interest or interest-free loans from the account to finance the repair, replacement, or improvement of the following public works systems: bridges, roads, water and sewage systems, and solid waste and recycling facilities. All local governments except port districts and school districts are eligible to receive loans.

The Public Works Assistance Account receives dedicated revenue from: 7.7% of the real estate excise tax net proceeds to the state; 20% of the moneys collected on water distribution businesses; 60% of the moneys collected on sewerage collection businesses; 3.6% solid waste collection tax on garbage collection, public and private dumps and transfer stations; and loan repayments.

Each year, the Public Works Board is required to submit a list of public works projects to the Legislature for approval. The Legislature may delete a project from the list, but may not add any projects or change the order of project priorities. Legislative approval is not required for emergency loans from funds specifically appropriated for this purpose by the Legislature.

The public works assistance account appropriation is made in the capital budget, but the project list is submitted annually in separate legislation. The CTED received an appropriation of approximately $181 million from the public works assistance account in the 1997-99 capital budget. The $181 million is available for public works project loans in the 1998 and 1999 loan cycles. During the 1998 session, the Legislature approved 71 projects totaling $124,465,982 for the 1998 loan cycle. Also, the Public Works Board was authorized to use $2,205,326 for emergency loans to local governments. In addition, approximately $15 million is available from loan refunds and de-obligated loan funds from projects withdrawn or terminated.

Summary of Bill: As recommended by the Public Works Board, 42 public works project loans totaling $76,163,079 are authorized for the 1999 loan cycle.

The 42 authorized projects fall into the following categories:

(1) Twenty-one water projects totaling $27,652,616;

(2) Eighteen sewer projects totaling $39,900,463;

(3) Two road projects totaling $3,610,000; and

1999 PROJECTS RECOMMENDED BY THE PUBLIC WORKS BOARD FOR FINANCING

Jurisdiction	Project Type	County	Other Funds	PWTF Loan Request	Total Project Cost

Alderwood Water District	Water	Snohomish	1,465,740	3,420,060	4,885,800
Annapolis Water District	Water	Kitsap	58,250	524,250	582,500
Auburn	Water	King	1,650,000	3,850,000	5,500,000
Buckley	Water	Pierce	154,500	500,000	654,500
Burlington	Sewer	Skagit	7,510,125	556,875	8,067,000

Camas	Sewer	Clark	12,734,260	3,452,590	16,186,850
Chelan River Irrigation District	Water	Chelan	173,000	1,553,989	1,726,989
Clark Public Utilities	Water	Clark	166,065	387,485	553,550
Cowlitz County	Sewer	Cowlitz	22,209,127	7,000,000	29,209,127
Des Moines	Storm	King	1,859,500	2,349,500	4,209,000

DuPont	Sewer	Pierce	622,272	1,451,968	2,074,240
Federal Way	Storm	King	1,200,000	2,750,000	3,950,000
Goldendale	Water	Klickitat	400,443	1,213,000	1,613,443
Grandview	Water	Yakima	231,000	539,000	770,000
Kettle Falls	Water	Stevens	208,300	1,651,539	1,859,839

King Co Water Dist No. 111	Water	King	2,143,121	1,850,613	3,993,734
King Co Water Dist No. 54	Water	King	279,060	1,116,240	1,395,300
Kitsap Co Sewer Dist No. 5	Sewer	Kitsap	124,150	1,117,350	1,241,500
Kitsap Co Sewer Dist No 5	Sewer	Kitsap	124,400	1,119,600	1,244,000
Lacey	Road	Thurston	1,610,000	1,610,000	3,220,000
Leavenworth	Sewer	Chelan	199,600	735,461	935,061

Moxee	Sewer	Yakima	48,850	439,650	488,500
Naches	Sewer	Yakima	59,500	535,500	595,000
North Perry Ave Water Dist	Water	Kitsap	118,973	1,070,757	1,189,730
Palouse	Water	Whitman	101,957	237,899	339,856
Pateros	Sewer	Okanogan	741,000	505,000	1,246,000

Port Townsend	Sewer	Jefferson	1,141,398	1,593,739	2,735,137
PUD No. 1 of Chelan County	Water	Chelan	152,100	608,400	760,500
Pullman	Water	Whitman	266,803	622,534	889,337
Rock Island	Water	Douglas	55,000	492,800	547,800
Jurisdiction	Project Type	County	Other Funds	PWTF Loan Request	Total Project Cost

Scatchet Head Water District	Water	Island	40,627	365,640	406,267

Selah	Sewer	Yakima	969,000	2,261,000	3,230,000
Silver Lake Water District	Water	Snohomish	2,660,640	6,208,160	8,868,800
South Bend	Water	Pacific	1,623,300	889,700	2,513,000
Stevens County PUD	Water	Stevens	55,950	130,550	186,500
Terrace Heights Sewer Dist	Sewer	Yakima	1,650,530	610,470	2,261,000

Vashon Sewer District	Sewer	King	240,000	2,150,000	2,390,000
Walla Walla	Sewer	Walla Walla	16,424,000	7,000,000	23,424,000
Willapa Valley Water District	Water	Pacific	180,000	420,000	600,000
Woodland	Sewer	Cowlitz	1,574,940	4,271,760	5,846,700
Yakima County	Bridge	Yakima	2,150,000	5,000,000	7,150,000
Yakima County	Road	Yakima	857,143	2,000,000	2,857,143

Total Funding			$ 86,234,624*	$76,163,079	$ 162,397,703*

* Total amount for Other Funds has changed since publication of 1999 Legislative Report. Loan Request total is still
the same.