H-1384

AN ACT Relating to streamlining state and local permit issuance; amending RCW 36.70A.020, 90.48.215, 90.48.220, 90.58.090, 58.17.095, 90.60.020, 90.60.030, and 90.60.100; adding new sections to chapter 90.48 RCW; adding a new section to chapter 75.20 RCW; adding new sections to chapter 35.63 RCW; adding a new section to chapter 90.60 RCW; creating new sections; and providing an expiration date.

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

NEW SECTION. Sec. 1. The legislature finds that facilitating the environmental permit process will increase citizen satisfaction and compliance with state and local permit requirements. Lack of coordination in the processing of permit applications causes frustration and confusion to the applicant. The public deserves a clear, predictable system for land-use decisions. The legislature also finds that permit issuance can be streamlined by requiring local jurisdictions to coordinate their permit processes with those of the state government.

Sec. 2. RCW 36.70A.020 and 1990 1st ex.s. c 17 s 2 are each amended to read as follows:

The following goals are adopted to guide the development and adoption of comprehensive plans and development regulations of those counties and cities that are required or choose to plan under RCW 36.70A.040. The following goals are not listed in order of priority and shall be used exclusively for the purpose of guiding the development of comprehensive plans and development regulations:

(1) Urban growth. Encourage development in urban areas where adequate public facilities and services exist or can be provided in an efficient manner.

(2) Reduce sprawl. Reduce the inappropriate conversion of undeveloped land into sprawling, low-density development.

(3) Transportation. Encourage efficient multimodal transportation systems that are based on regional priorities and coordinated with county and city comprehensive plans.

(4) Housing. Encourage the availability of affordable housing to all economic segments of the population of this state, promote a variety of residential densities and housing types, and encourage preservation of existing housing stock.

(5) Economic development. Encourage economic development throughout the state that is consistent with adopted comprehensive plans, promote economic opportunity for all citizens of this state, especially for unemployed and for disadvantaged persons, and encourage growth in areas experiencing insufficient economic growth, all within the capacities of the state's natural resources, public services, and public facilities.

(6) Property rights. Private property shall not be taken for public use without just compensation having been made. The property rights of landowners shall be protected from arbitrary and discriminatory actions.

(7) Permits. Applications for both state and local government permits should be coordinated and processed in a timely and fair manner to ensure predictability.

(8) Natural resource industries. Maintain and enhance natural resource-based industries, including productive timber, agricultural, and fisheries industries. Encourage the conservation of productive forest lands and productive agricultural lands, and discourage incompatible uses.

(9) Open space and recreation. Encourage the retention of open space and development of recreational opportunities, conserve fish and wildlife habitat, increase access to natural resource lands and water, and develop parks.

(10) Environment. Protect the environment and enhance the state's high quality of life, including air and water quality, and the availability of water.

(11) Citizen participation and coordination. Encourage the involvement of citizens in the planning process and ensure coordination between communities and jurisdictions to reconcile conflicts.

(12) Public facilities and services. Ensure that those public facilities and services necessary to support development shall be adequate to serve the development at the time the development is available for occupancy and use without decreasing current service levels below locally established minimum standards.

(13) Historic preservation. Identify and encourage the preservation of lands, sites, and structures, that have historical or archaeological significance.

NEW SECTION. Sec. 3. A new section is added to chapter 90.48 RCW to read as follows:

(1) Except as otherwise provided in subsection (2) of this section, the department shall issue its notice of final decision on a project permit application within one hundred twenty days after the department notifies the applicant that the application is complete, as provided in RCW 90.48.215. In determining the number of days that have elapsed after the department has notified the applicant that the application is complete, the following periods shall be excluded:

(a)(i) Any period during which the applicant has been requested by the department to correct plans, perform required studies, or provide additional required information. The period shall be calculated from the date the department notifies the applicant of the need for additional information until the earlier of the date the department determines whether the additional information satisfies the request for information or fourteen days after the date the information has been provided to the department.

(ii) If the department determines that the information submitted by the applicant under (a)(i) of this subsection is insufficient, it shall notify the applicant of the deficiencies and the procedures under (a)(i) of this subsection shall apply as if a new request for studies had been made;

(b) Any period during which a determination under chapter 43.21C RCW is pending;

(c) Any period for administrative appeals of project permits, if an open record appeal hearing or a closed record appeal, or both, are allowed; and

(d) Any extension of time mutually agreed upon by the applicant and the local government.

(2) The time limits established by subsection (1) of this section do not apply if a project permit application is substantially revised by the applicant, in which case the time period shall start from the date at which the revised project application is determined to be complete under RCW 36.70B.070.

(3) Until July 1, 2000, if the department is unable to issue its final decision within the time limits provided for in this section, it shall provide written notice of this fact to the project applicant. The notice shall include a statement of reasons why the time limits have not been met and an estimated date for issuance of the notice of final decision. On and after July 1, 2000, if the department is unable to issue its final decision within the time limits provided for in this section, the permit is deemed approved and the department shall provide written notice of this fact to the project applicant.

(4) The department shall track the number of permits issued within one hundred twenty days, the number of denials, the number of requests for information, and the number of applications that are withdrawn.

(5) This section applies to project permit applications filed on or after July 1, 1999.

NEW SECTION. Sec. 4. A new section is added to chapter 90.48 RCW to read as follows:

(1) Within twenty-eight days after receiving a project permit application, the department shall mail or provide in person a written determination to the applicant, stating either:

(a) That the application is complete; or

(b) That the application is incomplete and what is necessary to make the application complete.

To the extent known by the department, the department shall identify other agencies of local, state, or federal governments that may have jurisdiction over some aspect of the application.

(2) A project permit application is complete for purposes of this section when it meets the procedural submission requirements of the department and is sufficient for continued processing even though additional information may be required or project modifications may be undertaken subsequently. The determination of completeness shall not preclude the department from requesting additional information or studies either at the time of the notice of completeness or subsequently if new information is required or substantial changes in the proposed action occur.

(3)(a) An application shall be deemed complete under this section if the department does not provide a written determination to the applicant that the application is incomplete as provided in subsection (1)(b) of this section.

(b) Within fourteen days after an applicant has submitted to the department additional information identified by the department as being necessary for a complete application, the department shall notify the applicant whether the application is complete or what additional information is necessary.

Sec. 5. RCW 90.48.215 and 1989 c 293 s 1 are each amended to read as follows:

(1) The following definition shall apply to this section: "Upland finfish hatching and rearing facilities" means those facilities not located within waters of the state where finfish are hatched, fed, nurtured, held, maintained, or reared to reach the size of release or for market sale. This shall include fish hatcheries, rearing ponds, spawning channels, and other similarly constructed or fabricated public or private facilities.

(2) Not later than September 30, 1989, the department shall adopt standards pursuant to chapter 34.05 RCW for waste discharges from upland finfish hatching and rearing facilities. In establishing these standards, the department shall incorporate, to the extent applicable, studies conducted by the United States environmental protection agency on finfish rearing facilities and other relevant information. The department shall also issue a general permit as authorized by the federal clean water act, 33 U.S.C. 1251 et seq., or RCW 90.48.160 by September 30, 1989, for upland finfish hatching and rearing facilities. The department shall approve or deny applications for coverage under the general permit for upland finfish hatching and rearing facilities within one hundred ((~~eighty~~)) twenty days from the date of application, unless a longer time is required to satisfy public participation requirements in the permit process in accordance with applicable rules, or compliance with the requirements of the state environmental policy act under chapter 43.21C RCW. The department shall notify applicants for coverage by a general permit as soon as it determines that a proposed discharge meets or fails to comply with the standards or general permit conditions set forth pursuant to this section, or that a time period longer than one hundred ((~~eighty~~)) twenty days is necessary to satisfy public participation requirements or the state environmental policy act.

Sec. 6. RCW 90.48.220 and 1993 c 296 s 1 are each amended to read as follows:

(1) For the purposes of this section "marine finfish rearing facilities" means those private and public facilities located within the salt water of the state where finfish are fed, nurtured, held, maintained, or reared to reach the size of release or for market sale.

(2) Not later than October 31, 1994, the department shall adopt criteria under chapter 34.05 RCW for allowable sediment impacts from organic enrichment due to marine finfish rearing facilities.

(3) Not later than June 30, 1995, the department shall adopt standards under chapter 34.05 RCW for waste discharges from marine finfish rearing facilities. In establishing these standards, the department shall review and incorporate, to the extent possible, studies conducted by state and federal agencies on waste discharges from marine finfish rearing facilities, and any reports and other materials prepared by technical committees on waste discharges from marine finfish rearing facilities. The department shall approve or deny discharge permit applications for marine finfish rearing facilities within one hundred ((~~eighty~~)) twenty days from the date of application, unless a longer time is required to satisfy public participation requirements in the permit process in accordance with applicable rules, or compliance with the requirements of the state environmental policy act under chapter 43.21C RCW. The department shall notify applicants as soon as it determines that a proposed discharge meets or fails to comply with the standards adopted pursuant to this section, or if a time period longer than one hundred ((~~eighty~~)) twenty days is necessary to satisfy public participation requirements of the state environmental policy act.

(4) The department may adopt rules to exempt marine finfish rearing facilities not requiring national pollutant discharge elimination system permits under the federal water pollution control act from the discharge permit requirement.

Sec. 7. RCW 90.58.090 and 1997 c 429 s 50 are each amended to read as follows:

(1) A master program, segment of a master program, or an amendment to a master program shall become effective when approved by the department. Within the time period provided in RCW 90.58.080, each local government shall have submitted a master program, either totally or by segments, for all shorelines of the state within its jurisdiction to the department for review and approval. The department shall make a final decision on major master plan modifications within one hundred eighty days of receipt of a complete master program. The department shall make a final decision on minor master plan amendments within one hundred twenty days of receipt of a complete master program.

(2) Upon receipt of a proposed master program or amendment, the department shall:

(a) Provide notice to and opportunity for written comment by all interested parties of record as a part of the local government review process for the proposal and to all persons, groups, and agencies that have requested in writing notice of proposed master programs or amendments generally or for a specific area, subject matter, or issue. The comment period shall be at least thirty days, unless the department determines that the level of complexity or controversy involved supports a shorter period;

(b) In the department's discretion, conduct a public hearing during the thirty-day comment period in the jurisdiction proposing the master program or amendment;

(c) Within fifteen days after the close of public comment, request the local government to review the issues identified by the public, interested parties, groups, and agencies and provide a written response as to how the proposal addresses the identified issues;

(d) Within thirty days after receipt of the local government response pursuant to (c) of this subsection, make written findings and conclusions regarding the consistency of the proposal with the policy of RCW 90.58.020 and the applicable guidelines, provide a response to the issues identified in (c) of this subsection, and either approve the proposal as submitted, recommend specific changes necessary to make the proposal approvable, or deny approval of the proposal in those instances where no alteration of the proposal appears likely to be consistent with the policy of RCW 90.58.020 and the applicable guidelines. The written findings and conclusions shall be provided to the local government, all interested persons, parties, groups, and agencies of record on the proposal;

(e) If the department recommends changes to the proposed master program or amendment, within thirty days after the department mails the written findings and conclusions to the local government, the local government may:

(i) Agree to the proposed changes. The receipt by the department of the written notice of agreement constitutes final action by the department approving the amendment; or

(ii) Submit an alternative proposal. If, in the opinion of the department, the alternative is consistent with the purpose and intent of the changes originally submitted by the department and with this chapter it shall approve the changes and provide written notice to all recipients of the written findings and conclusions. If the department determines the proposal is not consistent with the purpose and intent of the changes proposed by the department, the department may resubmit the proposal for public and agency review pursuant to this section or reject the proposal.

(3) The department shall approve the segment of a master program relating to shorelines unless it determines that the submitted segments are not consistent with the policy of RCW 90.58.020 and the applicable guidelines.

(4) The department shall approve those segments of the master program relating to shorelines of state-wide significance only after determining the program provides the optimum implementation of the policy of this chapter to satisfy the state-wide interest. If the department does not approve a segment of a local government master program relating to a shoreline of state-wide significance, the department may develop and by rule adopt an alternative to the local government’s proposal.

(5) In the event a local government has not complied with the requirements of RCW 90.58.070 it may thereafter upon written notice to the department elect to adopt a master program for the shorelines within its jurisdiction, in which event it shall comply with the provisions established by this chapter for the adoption of a master program for such shorelines.

Upon approval of such master program by the department it shall supersede such master program as may have been adopted by the department for such shorelines.

(6) A master program or amendment to a master program takes effect when and in such form as approved or adopted by the department. Shoreline master programs that were adopted by the department prior to July 22, 1995, in accordance with the provisions of this section then in effect, shall be deemed approved by the department in accordance with the provisions of this section that became effective on that date. The department shall maintain a record of each master program, the action taken on any proposal for adoption or amendment of the master program, and any appeal of the department's action. The department's approved document of record constitutes the official master program.

Sec. 8. RCW 58.17.095 and 1986 c 233 s 1 are each amended to read as follows:

(1) A county, city, or town may adopt an ordinance providing for the administrative review of a preliminary plat without a public hearing ((~~by adopting an ordinance providing for such administrative review~~)). The ordinance may specify a threshold number of lots in a subdivision above which a public hearing must be held, and may specify other factors which necessitate the holding of a public hearing. ((~~The administrative review process shall include the~~))

(2) If the county, city, or town has adopted consolidated permitting procedures and time frames as provided in chapter 36.70B RCW, it may conduct administrative review of preliminary plats consistent with its procedures and time frames. At a minimum, local permitting procedures and time frames related to administrative review of preliminary plats shall provide for:

(a) Notice of application by publication, posting, and mailing. All forms of notice shall include a prominent statement that no public hearing will be held on the application, except as provided by this section. All forms of notice shall clearly state procedures and time frames for persons to make comments on the proposal and request a public hearing.

(b) Written comments on the application by any person. Comments received shall be provided to the applicant, and the applicant shall be provided seven days from receipt of the comments to respond thereto.

(c) A public hearing on the application if any person files a request for a hearing within the time frame specified. If a hearing is requested, notice requirements for the public hearing and the time frame for approval or disapproval of the application shall be consistent with other local permitting procedures. Any hearing conducted under this subsection shall be conducted by the planning commission or hearing officer as required by local ordinance.

(d) A public hearing on the application if the legislative or executive branch of the county, city, or town so requests within the time frame specified.

(e) Expedited agency review and transmittal of its recommendation on the application to the legislative body of the county, city, or town, if there is no request for public hearing.

(3) If the county, city, or town has not adopted consolidated permitting procedures and time frames as provided in chapter 36.70B RCW, it shall conduct administrative review of preliminary plats consistent with the following minimum conditions:

((~~(1)~~)) (a) The notice requirements of RCW 58.17.090 shall be followed, except that the publication shall be made within ten days of the filing of the application. Additionally, at least ten days after the filing of the application notice both shall be: ((~~(a)~~)) (i) Posted on or around the land proposed to be subdivided in at least five conspicuous places designed to attract public awareness of the proposal; and ((~~(b)~~)) (ii) mailed to the owner of each lot or parcel of property located within at least three hundred feet of the site. The applicant shall provide the county, city, or town with a list of such property owners and their addresses. The notice shall include notification that no public hearing will be held on the application, except as provided by this section. The notice shall set out the procedures and time limitations for persons to require a public hearing and make comments.

((~~(2)~~)) (b) Any person shall have a period of twenty days from the date of the notice to comment upon the proposed preliminary plat. All comments received shall be provided to the applicant. The applicant has seven days from receipt of the comments to respond thereto.

((~~(3)~~)) (c) A public hearing on the proposed subdivision shall be held if any person files a request for a hearing with the county, city, or town within twenty-one days of the publishing of such notice. If such a hearing is requested, notice requirements for the public hearing shall be in conformance with RCW 58.17.090, and the ninety-day period for approval or disapproval of the proposed subdivision provided for in RCW 58.17.140 shall commence with the date of the filing of the request for a public hearing. Any hearing ordered under this subsection shall be conducted by the planning commission or hearings officer as required by county or city ordinance.

((~~(4)~~)) (d) On its own initiative within twenty-one days of the filing of the request for approval of the subdivision, the governing body, or a designated employee or official, of the county, city, or town, shall be authorized to cause a public hearing to be held on the proposed subdivision within ninety days of the filing of the request for the subdivision.

((~~(5)~~)) (e) If the public hearing is waived as provided in this section, the planning commission or planning agency shall complete the review of the proposed preliminary plat and transmit its recommendation to the legislative body as provided in RCW 58.17.100.

NEW SECTION. Sec. 9. A new section is added to chapter 75.20 RCW to read as follows:

The department may develop a pilot project to delegate permitting authority to a county. The county receiving delegation may impose fees to cover the costs of the program. Such delegation agreement must contain provisions for effective monitoring and enforcement of hydraulic permits. The department may not delegate rule-making authority in the pilot program. This section expires June 30, 2001.

Sec. 10. RCW 90.60.020 and 1995 c 347 s 602 are each amended to read as follows:

Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Center" means the permit assistance center established in the ((~~commission [department]~~)) department by RCW 90.60.030.

(2) "Coordinating permit agency" means the permit agency that has the greatest overall jurisdiction over a project.

(3) "Department" means the department of ecology.

(4) "Participating permit agency" means a permit agency, other than the coordinating permit agency, that is responsible for the issuance of a permit for a project.

(5) "Parties" collectively means the coordinating permit agency, permit agency, and participating permit agency.

(6) "Permit" means any license, certificate, registration, permit, or other form of authorization required by a permit agency to engage in a particular activity.

((~~(6)~~)) (7) "Permit agency" means:

(a) The department of ecology, an air pollution control authority, the department of natural resources, the department of fish and wildlife, and the department of health; and

(b) Any other state or federal agency or county, city, or town that participates at the request of the permit applicant and upon the agency's agreement to be subject to this chapter.

((~~(7)~~)) (8) "Project" means an activity, the conduct of which requires permits from one or more permit agencies.

Sec. 11. RCW 90.60.030 and 1997 c 429 s 35 are each amended to read as follows:

The permit assistance center is established within the department. The center shall:

(1) Publish and keep current one or more handbooks containing lists and explanations of all permit laws. To the extent possible, the handbook shall include relevant federal and tribal laws. A state agency or local government shall provide a reasonable number of copies of application forms, statutes, ordinances, rules, handbooks, and other informational material requested by the center and shall otherwise fully cooperate with the center. The center shall seek the cooperation of relevant federal agencies and tribal governments;

(2) Establish, and make known, a point of contact for distribution of the handbook and advice to the public as to its interpretation in any given case;

(3) Work closely and cooperatively with the business license center in providing efficient and nonduplicative service to the public;

(4) Seek the assignment of employees from the permit agencies ((~~listed under RCW 90.60.020(6)(a)~~)) as defined in this chapter to serve on a rotating basis in staffing the center;

(5) Collect and disseminate information to public and private entities on federal, state, local, and tribal government programs that rely on private professional expertise to assist governmental agencies in project permit review; ((~~and~~))

(6) Provide ((~~an annual~~)) a biennial report to the legislature ((on potential conflicts and perceived inconsistencies among existing statutes. The first report shall be submitted to the appropriate standing committees of the house of representatives and senate by December 1, 1996)) that:

(a) Provides policy and operational recommendations for streamlining and coordinating environmental permitting in Washington;

(b) Summarizes the results of the center's efforts to measure center performance and outcomes over time; and

(7) Develop and coordinate a pilot integrated permitting process.

Sec. 12. RCW 90.60.100 and 1995 c 347 s 610 are each amended to read as follows:

(1) The ((~~coordinating permit agency~~)) parties may enter into a written cost-reimbursement agreement with the applicant to recover from the applicant the reasonable costs incurred by the ((~~coordinating permit agency~~)) parties in carrying out the requirements of this chapter, as well as the requirements of other relevant laws, as they relate to permit coordination, environmental review, application review, and permit processing.

(2) The ((~~coordinating permit agency may recover only the costs of performing those coordinated permit services and~~)) written cost-reimbursement agreement shall be negotiated with the permit applicant ((in)) following the meeting required pursuant to RCW 90.60.070. The billing process shall provide for accurate time and cost accounting and may include a billing cycle that provides for progress payments.

NEW SECTION. Sec. 13. A new section is added to chapter 35.63 RCW to read as follows:

(1) The permit assistance center shall develop and coordinate a pilot integrated permit process.

(2) The pilot integrated permit process in this section shall consist of:

(a) One or more preapplication conferences that:

(i) Include the applicant, the project coordinator, the local permit facilitator, and the permit assistance center acting as state permit facilitator;

(ii) Discuss options for project design and for land use, environmental review, and permitting;

(iii) Identify potential permitting agencies, permits, schedules, and costs; and

(iv) Identify a potential project team that includes representatives of the applicant and relevant local and state permitting agencies;

(b) A determination of completeness of the project application provided by the municipality to the applicant within thirty-five days, or fourteen days after receipt of requested supplementation that includes both a determination of completeness issued by the municipality, according to its local permit review process, and determinations of completeness issued by the state permitting agencies;

(i) Is achieved by negotiation among the applicant and the various permitting agencies;

(ii) Results in an integrated schedule keyed to the longest notice and public hearing requirement;

(iii) Includes negotiations for cost recovery arrangements for permitting agencies; and

(iv) Uses an integrated record of decision;

(d) An integrated review includes:

(i) Issuance of threshold determination under chapter 43.21C RCW;

(ii) Public notice that describes the project, the permits, the applicable regulations, and any preliminary determinations; lists and gives the location of documents and studies; describes public comment, hearing, and appeal processes; and sets out the schedule; and

(iii) An integrated public hearing held in the municipality;

(e) Coordination of local appeals, and state appeals under chapter 90.60 RCW; and

(f) An integrated decision.

NEW SECTION. Sec. 14. A new section is added to chapter 35.63 RCW to read as follows:

A municipality in which a pilot project is selected for the pilot integrated permit process must participate in the integrated permit procedure for land use and environmental review. The municipality shall:

(1) Use the pilot integrated permit process with the project applicant and the relevant state permitting agencies; and

(2) Invite federal agencies and tribes to participate in the collaborative procedure.

NEW SECTION. Sec. 15. A new section is added to chapter 90.60 RCW to read as follows:

(1) State permitting agencies shall participate in the pilot integrated permit process, including the integrated public hearing, and use the integrated record of decision.

(2) State permitting agencies shall review procedures for developing an integrated state appeal procedure, which would utilize the integrated record of decision.

(3) State permitting agencies may recover costs of the integrated process.

NEW SECTION. Sec. 16. The department of ecology and the department of fish and wildlife shall review requirements for permits issued under chapters 90.48 and 75.20 RCW for consistency and the potential for integrated permit issuance. The departments shall report their findings to the legislature by December 1, 1999.