H-0571.1  _______________________________________________

 

                          HOUSE BILL 1207

          _______________________________________________

 

State of Washington      57th Legislature     2001 Regular Session

 

By Representatives Morris, Poulsen, Carrell, Reardon, Conway, Edwards and Linville

 

Read first time 01/19/2001.  Referred to Committee on Technology, Telecommunications & Energy.

Modifying energy provisions.


    AN ACT Relating to energy; amending RCW 43.21F.015, 43.21F.025, 43.21F.045, 41.06.070, 43.09.025, 43.21F.060, 43.84.092, 43.84.092, 82.16.010, 82.16.020, 82.16.050, 82.16.090, 35.21.860, 35.21.865, 35.21.870, 52.18.020, and 82.02.030; adding new sections to chapter 43.21F RCW; adding a new section to chapter 82.04 RCW; adding a new section to chapter 84.36 RCW; adding a new section to chapter 84.55 RCW; adding a new chapter to Title 82 RCW; creating new sections; repealing RCW 82.16.0491, 82.16.053, 54.28.010, 54.28.011, 54.28.020, 54.28.025, 54.28.030, 54.28.040, 54.28.050, 54.28.055, 54.28.060, 54.28.070, 54.28.080, 54.28.090, 54.28.100, 54.28.110, 54.28.120, 43.21F.055, 43.21F.090, 80.50.010, 80.50.020, 80.50.030, 80.50.040, 80.50.060, 80.50.071, 80.50.075, 80.50.080, 80.50.090, 80.50.100, 80.50.105, 80.50.110, 80.50.120, 80.50.130, 80.50.140, 80.50.150, 80.50.160, 80.50.175, 80.50.180, 80.50.190, 80.50.300, 80.50.310, 80.50.900, 80.50.901, 80.50.902, 80.50.903, and 80.50.904; providing effective dates; and providing an expiration date.

 

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

 

                              PART I

 

    Sec. 1.  RCW 43.21F.015 and 1994 c 207 s 3 are each amended to read as follows:

    It is the policy of the state of Washington that:

    (1) The development and use of a diverse array of energy resources with emphasis on conservation, renewable energy resources, and new generation technologies shall be encouraged;

    (2) The supply of energy shall be sufficient to insure the health and economic welfare of its citizens that includes meeting projected demand for Washington as well as other states or foreign countries having an impact on this state's energy supply;

    (3) The development and use of energy resources shall be consistent with the statutory environmental policies of the state;

    (4) Energy conservation and elimination of wasteful and uneconomic uses of energy and materials shall be encouraged, and this conservation should include, but is not limited to, resource recovery that achieves at least a doubling of previous resource utilization or eighty percent efficiency and materials recycling;

    (5) In energy emergency shortage situations, energy requirements to maintain ((the)) critical public health, safety, and welfare activities shall be given priority in the allocation of energy resources while curtailing noncritical government functions, and citizens and industry shall be assisted in adjusting to the limited availability of energy in order to minimize adverse impacts on their physical, social, and economic well being;

    (6) State government shall provide a source of impartial and objective information in order that this energy policy may be enhanced; and

    (7) The state energy strategy shall provide primary guidance for implementation of the state's energy policy.

 

    NEW SECTION.  Sec. 2.  A new section is added to chapter 43.21F RCW to read as follows:

    (1) The Washington state strategic energy planning commission is established.  The commission consists of twelve members, two of whom are the Washington state representatives to the Northwest power planning council and these two members shall serve as cochairs of the commission.  The director of the department of community, trade, and economic development, or the director's designee, shall serve as a member of the commission.  The following members are appointed by the governor:

    (a) Three members representing investor-owned utilities, two of whom represent utilities that have a six percent or greater share of the revenue derived from the retail sale of electricity within the state and one who represents utilities that have less than a six percent share of the revenue derived from the retail sale of electricity within the state;

    (b) One member representing rural electric cooperatives;

(c) One member representing public utility districts;

    (d) One member representing municipal corporations providing utility services;

    (e) One member representing environmental organizations; and

    (f) Two members representing energy users from the general public.

    (2) Each member appointed by the governor shall serve for a term of four years and is eligible to be reappointed.  Of the initial members, three members must be appointed for a two-year term, three members must be appointed for a three-year term, and the remainder must be appointed for four-year terms.

    (3) Members of the commission shall be compensated under RCW 43.03.250 and shall be reimbursed for travel expenses under RCW 43.03.050 and 43.03.060.

 

    Sec. 3.  RCW 43.21F.025 and 1996 c 186 s 102 are each amended to read as follows:

    (1) "Energy" means petroleum or other liquid fuels; natural or synthetic fuel gas; solid carbonaceous fuels; fissionable nuclear material; electricity; solar radiation; geothermal resources; hydropower; organic waste products; wind; tidal activity; any other substance or process used to produce heat, light, or motion; or the savings from nongeneration technologies, including conservation or improved efficiency in the usage of any of the sources described in this subsection;

    (2) "Person" means an individual, partnership, joint venture, private or public corporation, association, firm, public service company, political subdivision, municipal corporation, government agency, public utility district, joint operating agency, or any other entity, public or private, however organized;

    (3) "Director" means the director of the department of community, trade, and economic development;

    (4) "Assistant director" means the assistant director of the department of community, trade, and economic development responsible for the office of strategic energy ((policy activities)) planning;

    (5) "Department" means the department of community, trade, and economic development;

    (6) "Distributor" means any person, private corporation, partnership, individual proprietorship, utility, including investor-owned utilities, municipal utility, public utility district, joint operating agency, or cooperative, which engages in or is authorized to engage in the activity of generating, transmitting, or distributing energy in this state; and

     (7) (("State energy strategy" means the document and energy policy direction developed under section 1, chapter 201, Laws of 1991 including any related appendices.)) "Commission" means the Washington state strategic energy planning commission.

 

    NEW SECTION.  Sec. 4.  A new section is added to chapter 43.21F RCW to read as follows:

    (1) The commission shall develop the state energy strategy that shall implement the state's energy policy.  Development of the state energy strategy is guided by the following:

    (a) Establishing an affordable price for energy resources;

    (b) Using conservation and other energy sources that present the least environmental impact to the state and its communities;

    (c) Using and deploying new technologies; and

    (d) Increasing energy reliability.

    (2) The commission shall assess the state's demand for production and distribution of energy, both in-state and for export out-of-state, during the next ten years.

    (3) The commission shall allocate by county a portion of the assessed demand to be sited in the county.

    (4) The commission shall develop a process to allow a city or county legislative authority to propose and designate sites and types of energy production to meet the demand assessment determined under subsection (2) of this section.

    (5) The city or county legislative authority must authorize, within one year from the effective date of this act through zoning and other ordinances, sites that can accommodate siting of the preferred energy generation.  The commission shall provide technical assistance if requested by the city or county legislative authority.

    (6) Any demand not sited by a city or county legislative authority shall be sited by the commission which shall function as an energy siting authority only for those sites not selected and designated by a city or county.

    (7) The commission may delegate its duties to be performed by the department.

 

    NEW SECTION.  Sec. 5.  A new section is added to chapter 43.21F RCW to read as follows:

    In addition to other powers and duties granted to the commission, the commission shall:

    (1) Advocate the state energy strategy to the Northwest power planning council and seek agreements that meet the state's strategic energy goals with regional partners;

    (2) Seek through the Pacific Northwest economic region alliances and partnerships with the Canadian provinces of British Columbia, Alberta, and the Yukon Territory to achieve the state's strategic goals; and

    (3) Represent the state of Washington in any forums where agreements will be formed that impact the state's energy policy and strategy.

 

    Sec. 6.  RCW 43.21F.045 and 1996 c 186 s 103 are each amended to read as follows:

    (1) The ((department shall supervise and administer energy-related activities as specified in RCW 43.330.904 and)) commission shall advise the governor and the legislature with respect to energy matters affecting the state.

    (2) In addition to other powers and duties granted to the ((department)) commission, the ((department)) commission shall have the following powers and duties:

    (a) Prepare and update contingency plans for implementation in the event of energy shortages or emergencies.  The plans shall conform to chapter 43.21G RCW and shall include procedures for determining when these shortages or emergencies exist, the state officers and agencies to participate in the determination, and actions to be taken by various agencies and officers of state government in order to reduce hardship and maintain the general welfare during these emergencies.  The ((department)) commission shall coordinate the activities undertaken pursuant to this subsection with other persons.  The components of plans that require legislation for their implementation shall be presented to the legislature in the form of proposed legislation at the earliest practicable date.  The ((department)) commission shall report to the governor and the legislature on probable, imminent, and existing energy shortages, and shall administer energy allocation and curtailment programs in accordance with chapter 43.21G RCW.

    (b) ((Establish and maintain a central repository in state government for collection of existing data on energy resources, including:

    (i) Supply, demand, costs, utilization technology, projections, and forecasts;

    (ii) Comparative costs of alternative energy sources, uses, and applications; and

    (iii) Inventory data on energy research projects in the state conducted under public and/or private auspices, and the results thereof.

    (c))) Coordinate federal energy programs appropriate for state-level implementation, carry out such energy programs as are assigned to it by the governor or the legislature, and monitor federally funded local energy programs as required by federal or state regulations.

    (((d))) (c) Develop energy policy recommendations for consideration by the governor and the legislature.

    (((e) Provide assistance, space, and other support as may be necessary for the activities of the state's two representatives to the Pacific northwest electric power and conservation planning council.  To the extent consistent with federal law, the director shall request that Washington's council members request the administrator of the Bonneville power administration to reimburse the state for the expenses associated with the support as provided in the Pacific Northwest Electric Power Planning and Conservation Act (P.L. 96-501).

    (f))) (d) Cooperate with state agencies, other governmental units, and private interests in the prioritization and implementation of the state energy strategy elements and on other energy matters.

    (((g))) (e) Serve as the official state agency responsible for coordinating implementation of the state energy strategy.

    (((h))) (f) No later than December 1, 1982, and by December 1st of each even-numbered year thereafter, prepare and transmit to the governor and the appropriate committees of the legislature a report on the implementation of the state energy strategy and other important energy issues, as appropriate.

    (((i))) (g) Provide support for increasing cost-effective energy conservation, including assisting in the removal of impediments to timely implementation.

    (((j))) (h) Provide support for the development of cost-effective energy resources including assisting in the removal of impediments to timely construction.

    (((k))) (i) Adopt rules, under chapter 34.05 RCW, necessary to carry out the powers and duties enumerated in this chapter.

    (((l) Provide administrative assistance, space, and other support as may be necessary for the activities of the energy facility site evaluation council, as provided for in RCW 80.50.030.

    (m) Appoint staff as may be needed to administer energy policy functions and manage energy facility site evaluation council activities.  These employees are exempt from the provisions of chapter 41.06 RCW.))

    (3) To the extent the powers and duties set out under this section relate to energy education, applied research, and technology transfer programs they are transferred to Washington State University.

    (4) To the extent the powers and duties set out under this section relate to energy efficiency in public buildings they are transferred to the department of general administration.

 

    Sec. 7.  RCW 41.06.070 and 1998 c 245 s 40 are each amended to read as follows:

    (1) The provisions of this chapter do not apply to:

    (a) The members of the legislature or to any employee of, or position in, the legislative branch of the state government including members, officers, and employees of the legislative council, joint legislative audit and review committee, statute law committee, and any interim committee of the legislature;

    (b) The justices of the supreme court, judges of the court of appeals, judges of the superior courts or of the inferior courts, or to any employee of, or position in the judicial branch of state government;

    (c) Officers, academic personnel, and employees of technical colleges;

    (d) The officers of the Washington state patrol;

    (e) Elective officers of the state;

    (f) The chief executive officer of each agency;

    (g) In the departments of employment security and social and health services, the director and the director's confidential secretary; in all other departments, the executive head of which is an individual appointed by the governor, the director, his or her confidential secretary, and his or her statutory assistant directors;

    (h) In the case of a multimember board, commission, or committee, whether the members thereof are elected, appointed by the governor or other authority, serve ex officio, or are otherwise chosen:

    (i) All members of such boards, commissions, or committees;

    (ii) If the members of the board, commission, or committee serve on a part-time basis and there is a statutory executive officer:  The secretary of the board, commission, or committee; the chief executive officer of the board, commission, or committee; and the confidential secretary of the chief executive officer of the board, commission, or committee;

    (iii) If the members of the board, commission, or committee serve on a full-time basis:  The chief executive officer or administrative officer as designated by the board, commission, or committee; and a confidential secretary to the chair of the board, commission, or committee;

    (iv) If all members of the board, commission, or committee serve ex officio:  The chief executive officer; and the confidential secretary of such chief executive officer;

    (i) The confidential secretaries and administrative assistants in the immediate offices of the elective officers of the state;

    (j) Assistant attorneys general;

    (k) Commissioned and enlisted personnel in the military service of the state;

    (l) Inmate, student, part-time, or temporary employees, and part-time professional consultants, as defined by the Washington personnel resources board;

    (m) The public printer or to any employees of or positions in the state printing plant;

    (n) Officers and employees of the Washington state fruit commission;

    (o) Officers and employees of the Washington state apple advertising commission;

    (p) Officers and employees of the Washington state dairy products commission;

    (q) Officers and employees of the Washington tree fruit research commission;

    (r) Officers and employees of the Washington state beef commission;

    (s) Officers and employees of any commission formed under chapter 15.66 RCW;

    (t) ((Officers and employees of the state wheat commission formed under chapter 15.63 RCW;

    (u))) Officers and employees of agricultural commissions formed under chapter 15.65 RCW;

    (((v))) (u) Officers and employees of the nonprofit corporation formed under chapter 67.40 RCW;

    (((w))) (v) Executive assistants for personnel administration and labor relations in all state agencies employing such executive assistants including but not limited to all departments, offices, commissions, committees, boards, or other bodies subject to the provisions of this chapter and this subsection shall prevail over any provision of law inconsistent herewith unless specific exception is made in such law;

    (((x))) (w) In each agency with fifty or more employees:  Deputy agency heads, assistant directors or division directors, and not more than three principal policy assistants who report directly to the agency head or deputy agency heads;

    (((y))) (x) All employees of the marine employees' commission;

    (((z) Up to a total of five senior staff positions of the western library network under chapter 27.26 RCW responsible for formulating policy or for directing program management of a major administrative unit.  This subsection (1)(z) shall expire on June 30, 1997;

    (aa) Staff employed by the department of community, trade, and economic development to administer energy policy functions and manage energy site evaluation council activities under RCW 43.21F.045(2)(m);

    (bb))) (y) Staff employed by Washington State University to administer energy education, applied research, and technology transfer programs under RCW 43.21F.045 as provided in RCW 28B.30.900(5).

    (2) The following classifications, positions, and employees of institutions of higher education and related boards are hereby exempted from coverage of this chapter:

    (a) Members of the governing board of each institution of higher education and related boards, all presidents, vice-presidents, and their confidential secretaries, administrative, and personal assistants; deans, directors, and chairs; academic personnel; and executive heads of major administrative or academic divisions employed by institutions of higher education; principal assistants to executive heads of major administrative or academic divisions; other managerial or professional employees in an institution or related board having substantial responsibility for directing or controlling program operations and accountable for allocation of resources and program results, or for the formulation of institutional policy, or for carrying out personnel administration or labor relations functions, legislative relations, public information, development, senior computer systems and network programming, or internal audits and investigations; and any employee of a community college district whose place of work is one which is physically located outside the state of Washington and who is employed pursuant to RCW 28B.50.092 and assigned to an educational program operating outside of the state of Washington;

    (b) Student, part-time, or temporary employees, and part-time professional consultants, as defined by the Washington personnel resources board, employed by institutions of higher education and related boards;

    (c) The governing board of each institution, and related boards, may also exempt from this chapter classifications involving research activities, counseling of students, extension or continuing education activities, graphic arts or publications activities requiring prescribed academic preparation or special training as determined by the board:  PROVIDED, That no nonacademic employee engaged in office, clerical, maintenance, or food and trade services may be exempted by the board under this provision;

    (d) Printing craft employees in the department of printing at the University of Washington.

    (3) In addition to the exemptions specifically provided by this chapter, the Washington personnel resources board may provide for further exemptions pursuant to the following procedures.  The governor or other appropriate elected official may submit requests for exemption to the Washington personnel resources board stating the reasons for requesting such exemptions.  The Washington personnel resources board shall hold a public hearing, after proper notice, on requests submitted pursuant to this subsection.  If the board determines that the position for which exemption is requested is one involving substantial responsibility for the formulation of basic agency or executive policy or one involving directing and controlling program operations of an agency or a major administrative division thereof, the Washington personnel resources board shall grant the request and such determination shall be final as to any decision made before July 1, 1993.  The total number of additional exemptions permitted under this subsection shall not exceed one percent of the number of employees in the classified service not including employees of institutions of higher education and related boards for those agencies not directly under the authority of any elected public official other than the governor, and shall not exceed a total of twenty-five for all agencies under the authority of elected public officials other than the governor.

    The salary and fringe benefits of all positions presently or hereafter exempted except for the chief executive officer of each agency, full-time members of boards and commissions, administrative assistants and confidential secretaries in the immediate office of an elected state official, and the personnel listed in subsections (1)(j) through (((v), (y), (z),)) (u) and (x) and (2) of this section, shall be determined by the Washington personnel resources board.  However, beginning with changes proposed for the 1997-99 fiscal biennium, changes to the classification plan affecting exempt salaries must meet the same provisions for classified salary increases resulting from adjustments to the classification plan as outlined in RCW 41.06.152.

    Any person holding a classified position subject to the provisions of this chapter shall, when and if such position is subsequently exempted from the application of this chapter, be afforded the following rights:  If such person previously held permanent status in another classified position, such person shall have a right of reversion to the highest class of position previously held, or to a position of similar nature and salary.

    Any classified employee having civil service status in a classified position who accepts an appointment in an exempt position shall have the right of reversion to the highest class of position previously held, or to a position of similar nature and salary.

    A person occupying an exempt position who is terminated from the position for gross misconduct or malfeasance does not have the right of reversion to a classified position as provided for in this section.

 

    Sec. 8.  RCW 43.09.025 and 1995 c 301 s 2 are each amended to read as follows:

    The state auditor may appoint deputies and assistant directors as necessary to carry out the duties of the office of the state auditor.  These individuals serve at the pleasure of the state auditor and are exempt from the provisions of chapter 41.06 RCW as stated in RCW 41.06.070(1)(((y))) (w).

 

    Sec. 9.  RCW 43.21F.060 and 1996 c 186 s 105 are each amended to read as follows:

    ((In addition to the duties prescribed in RCW 43.21F.045,)) The department shall have the authority to:

    (1) Obtain all necessary and existing information from energy producers, suppliers, and consumers, doing business within the state of Washington, from political subdivisions in this state, or any person as may be necessary to carry out the provisions of chapter 43.21G RCW:  PROVIDED, That if the information is available in reports made to another state agency, the department shall obtain it from that agency:  PROVIDED FURTHER, That, to the maximum extent practicable, informational requests to energy companies regulated by the utilities and transportation commission shall be channeled through the commission and shall be accepted in the format normally used by the companies.  Such information may include but not be limited to:

    (a) Sales volume;

    (b) Forecasts of energy requirements; and

    (c) Energy costs.

    Notwithstanding any other provision of law to the contrary, information furnished under this subsection shall be confidential and maintained as such, if so requested by the person providing the information, if the information is proprietary.

    It shall be unlawful to disclose such information except as hereinafter provided.  A violation shall be punishable, upon conviction, by a fine of not more than one thousand dollars for each offense.  In addition, any person who wilfully or with criminal negligence, as defined in RCW 9A.08.010, discloses confidential information in violation of this subsection may be subject to removal from office or immediate dismissal from public employment notwithstanding any other provision of law to the contrary.

    Nothing in this subsection prohibits the use of confidential information to prepare statistics or other general data for publication when it is so presented as to prevent identification of particular persons or sources of confidential information.

    (2) Receive and expend funds obtained from the federal government or other sources by means of contracts, grants, awards, payments for services, and other devices in support of the duties enumerated in this chapter.

    (3) Establish and maintain a central repository in state government for collection of existing data on energy resources, including:

    (a) Supply, demand, costs, utilization technology, projections, and forecasts;

    (b) Comparative costs of alternative energy sources, uses, and applications; and

    (c) Inventory data on energy research projects in the state conducted under public and/or private auspices, and the results of the projects.

    (4) Appoint staff as may be needed to administer energy policy functions activities.  These employees are exempt from the provisions of chapter 41.06 RCW.

    (5) Provide assistance, space, and other support as may be necessary for the activities of the state's two representatives to the Pacific Northwest electric power and conservation planning council.  To the extent consistent with federal law, the director shall request that Washington's councilmembers request the administrator of the Bonneville power administration to reimburse the state for the expenses associated with the support as provided in the Pacific Northwest electric power planning and conservation act (P.L. 96-501).

 

    NEW SECTION.  Sec. 10.  A new section is added to chapter 43.21F RCW to read as follows:

    The commission shall review the state energy strategy periodically and report its review to the governor and the appropriate legislative committees.

 

    NEW SECTION.  Sec. 11.  A new section is added to chapter 43.21F RCW to read as follows:

    The energy fund is created in the state treasury.  The energy fund shall consist of all moneys generated by the additional tax established under section 15(1)(a)(ii) of this act.  Moneys in the fund may be spent only after appropriation.  Expenditures from the fund may be used only for the support and operation of the commission and the office of strategic energy planning, and for reimbursement of expenses paid by county governments in siting energy generation facilities under section 4 of this act.

 

    Sec. 12.  RCW 43.84.092 and 2000 2nd sp.s. c 4 s 5 are each amended to read as follows:

    (1) All earnings of investments of surplus balances in the state treasury shall be deposited to the treasury income account, which account is hereby established in the state treasury.

    (2) The treasury income account shall be utilized to pay or receive funds associated with federal programs as required by the federal cash management improvement act of 1990.  The treasury income account is subject in all respects to chapter 43.88 RCW, but no appropriation is required for refunds or allocations of interest earnings required by the cash management improvement act.  Refunds of interest to the federal treasury required under the cash management improvement act fall under RCW 43.88.180 and shall not require appropriation.  The office of financial management shall determine the amounts due to or from the federal government pursuant to the cash management improvement act.  The office of financial management may direct transfers of funds between accounts as deemed necessary to implement the provisions of the cash management improvement act, and this subsection.  Refunds or allocations shall occur prior to the distributions of earnings set forth in subsection (4) of this section.

    (3) Except for the provisions of RCW 43.84.160, the treasury income account may be utilized for the payment of purchased banking services on behalf of treasury funds including, but not limited to, depository, safekeeping, and disbursement functions for the state treasury and affected state agencies.  The treasury income account is subject in all respects to chapter 43.88 RCW, but no appropriation is required for payments to financial institutions.  Payments shall occur prior to distribution of earnings set forth in subsection (4) of this section.

    (4) Monthly, the state treasurer shall distribute the earnings credited to the treasury income account.  The state treasurer shall credit the general fund with all the earnings credited to the treasury income account except:

    (a) The following accounts and funds shall receive their proportionate share of earnings based upon each account's and fund's average daily balance for the period:  The capitol building construction account, the Cedar River channel construction and operation account, the Central Washington University capital projects account, the charitable, educational, penal and reformatory institutions account, the common school construction fund, the county criminal justice assistance account, the county sales and use tax equalization account, the data processing building construction account, the deferred compensation administrative account, the deferred compensation principal account, the department of retirement systems expense account, the drinking water assistance account, the Eastern Washington University capital projects account, the education construction fund, the emergency reserve fund, the energy fund, the federal forest revolving account, the health services account, the public health services account, the health system capacity account, the personal health services account, the state higher education construction account, the higher education construction account, the highway infrastructure account, the industrial insurance premium refund account, the judges' retirement account, the judicial retirement administrative account, the judicial retirement principal account, the local leasehold excise tax account, the local real estate excise tax account, the local sales and use tax account, the medical aid account, the mobile home park relocation fund, the multimodal transportation account, the municipal criminal justice assistance account, the municipal sales and use tax equalization account, the natural resources deposit account, the perpetual surveillance and maintenance account, the public employees' retirement system plan 1 account, the public employees' retirement system plan 2 account, the Puyallup tribal settlement account, the resource management cost account, the site closure account, the special wildlife account, the state employees' insurance account, the state employees' insurance reserve account, the state investment board expense account, the state investment board commingled trust fund accounts, the supplemental pension account, the teachers' retirement system plan 1 account, the teachers' retirement system combined plan 2 and plan 3 account, the tobacco prevention and control account, the tobacco settlement account, the transportation infrastructure account, the tuition recovery trust fund, the University of Washington bond retirement fund, the University of Washington building account, the volunteer fire fighters' and reserve officers' relief and pension principal fund, the volunteer fire fighters' and reserve officers' administrative fund, the Washington judicial retirement system account, the Washington law enforcement officers' and fire fighters' system plan 1 retirement account, the Washington law enforcement officers' and fire fighters' system plan 2 retirement account, the Washington school employees' retirement system combined plan 2 and 3 account, the Washington state health insurance pool account, the Washington state patrol retirement account, the Washington State University building account, the Washington State University bond retirement fund, the water pollution control revolving fund, and the Western Washington University capital projects account.  Earnings derived from investing balances of the agricultural permanent fund, the normal school permanent fund, the permanent common school fund, the scientific permanent fund, and the state university permanent fund shall be allocated to their respective beneficiary accounts.  All earnings to be distributed under this subsection (4)(a) shall first be reduced by the allocation to the state treasurer's service fund pursuant to RCW 43.08.190.

    (b) The following accounts and funds shall receive eighty percent of their proportionate share of earnings based upon each account's or fund's average daily balance for the period:  The aeronautics account, the aircraft search and rescue account, the county arterial preservation account, the department of licensing services account, the essential rail assistance account, the ferry bond retirement fund, the grade crossing protective fund, the high capacity transportation account, the highway bond retirement fund, the highway safety account, the motor vehicle fund, the motorcycle safety education account, the pilotage account, the public transportation systems account, the Puget Sound capital construction account, the Puget Sound ferry operations account, the recreational vehicle account, the rural arterial trust account, the safety and education account, the special category C account, the state patrol highway account, the transportation equipment fund, the transportation fund, the transportation improvement account, the transportation improvement board bond retirement account, and the urban arterial trust account.

    (5) In conformance with Article II, section 37 of the state Constitution, no treasury accounts or funds shall be allocated earnings without the specific affirmative directive of this section.

 

    Sec. 13.  RCW 43.84.092 and 2000 2nd sp.s. c 4 s 6 are each amended to read as follows:

    (1) All earnings of investments of surplus balances in the state treasury shall be deposited to the treasury income account, which account is hereby established in the state treasury.

    (2) The treasury income account shall be utilized to pay or receive funds associated with federal programs as required by the federal cash management improvement act of 1990.  The treasury income account is subject in all respects to chapter 43.88 RCW, but no appropriation is required for refunds or allocations of interest earnings required by the cash management improvement act.  Refunds of interest to the federal treasury required under the cash management improvement act fall under RCW 43.88.180 and shall not require appropriation.  The office of financial management shall determine the amounts due to or from the federal government pursuant to the cash management improvement act.  The office of financial management may direct transfers of funds between accounts as deemed necessary to implement the provisions of the cash management improvement act, and this subsection.  Refunds or allocations shall occur prior to the distributions of earnings set forth in subsection (4) of this section.

    (3) Except for the provisions of RCW 43.84.160, the treasury income account may be utilized for the payment of purchased banking services on behalf of treasury funds including, but not limited to, depository, safekeeping, and disbursement functions for the state treasury and affected state agencies.  The treasury income account is subject in all respects to chapter 43.88 RCW, but no appropriation is required for payments to financial institutions.  Payments shall occur prior to distribution of earnings set forth in subsection (4) of this section.

    (4) Monthly, the state treasurer shall distribute the earnings credited to the treasury income account.  The state treasurer shall credit the general fund with all the earnings credited to the treasury income account except:

    (a) The following accounts and funds shall receive their proportionate share of earnings based upon each account's and fund's average daily balance for the period:  The capitol building construction account, the Cedar River channel construction and operation account, the Central Washington University capital projects account, the charitable, educational, penal and reformatory institutions account, the common school construction fund, the county criminal justice assistance account, the county sales and use tax equalization account, the data processing building construction account, the deferred compensation administrative account, the deferred compensation principal account, the department of retirement systems expense account, the drinking water assistance account, the Eastern Washington University capital projects account, the education construction fund, the emergency reserve fund, the energy fund, the federal forest revolving account, the health services account, the public health services account, the health system capacity account, the personal health services account, the state higher education construction account, the higher education construction account, the highway infrastructure account, the industrial insurance premium refund account, the judges' retirement account, the judicial retirement administrative account, the judicial retirement principal account, the local leasehold excise tax account, the local real estate excise tax account, the local sales and use tax account, the medical aid account, the mobile home park relocation fund, the multimodal transportation account, the municipal criminal justice assistance account, the municipal sales and use tax equalization account, the natural resources deposit account, the perpetual surveillance and maintenance account, the public employees' retirement system plan 1 account, the public employees' retirement system combined plan 2 and plan 3 account, the Puyallup tribal settlement account, the resource management cost account, the site closure account, the special wildlife account, the state employees' insurance account, the state employees' insurance reserve account, the state investment board expense account, the state investment board commingled trust fund accounts, the supplemental pension account, the teachers' retirement system plan 1 account, the teachers' retirement system combined plan 2 and plan 3 account, the tobacco prevention and control account, the tobacco settlement account, the transportation infrastructure account, the tuition recovery trust fund, the University of Washington bond retirement fund, the University of Washington building account, the volunteer fire fighters' and reserve officers' relief and pension principal fund, the volunteer fire fighters' and reserve officers' administrative fund, the Washington judicial retirement system account, the Washington law enforcement officers' and fire fighters' system plan 1 retirement account, the Washington law enforcement officers' and fire fighters' system plan 2 retirement account, the Washington school employees' retirement system combined plan 2 and 3 account, the Washington state health insurance pool account, the Washington state patrol retirement account, the Washington State University building account, the Washington State University bond retirement fund, the water pollution control revolving fund, and the Western Washington University capital projects account.  Earnings derived from investing balances of the agricultural permanent fund, the normal school permanent fund, the permanent common school fund, the scientific permanent fund, and the state university permanent fund shall be allocated to their respective beneficiary accounts.  All earnings to be distributed under this subsection (4)(a) shall first be reduced by the allocation to the state treasurer's service fund pursuant to RCW 43.08.190.

    (b) The following accounts and funds shall receive eighty percent of their proportionate share of earnings based upon each account's or fund's average daily balance for the period:  The aeronautics account, the aircraft search and rescue account, the county arterial preservation account, the department of licensing services account, the essential rail assistance account, the ferry bond retirement fund, the grade crossing protective fund, the high capacity transportation account, the highway bond retirement fund, the highway safety account, the motor vehicle fund, the motorcycle safety education account, the pilotage account, the public transportation systems account, the Puget Sound capital construction account, the Puget Sound ferry operations account, the recreational vehicle account, the rural arterial trust account, the safety and education account, the special category C account, the state patrol highway account, the transportation equipment fund, the transportation fund, the transportation improvement account, the transportation improvement board bond retirement account, and the urban arterial trust account.

    (5) In conformance with Article II, section 37 of the state Constitution, no treasury accounts or funds shall be allocated earnings without the specific affirmative directive of this section.

 

                              PART II

 

    NEW SECTION.  Sec. 14.  The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

    (1) "Customer" or "purchaser" means a person who acquires for consideration electricity for use or consumption and not for resale.

    (2) "Distribution services provider" means a person controlling or operating distribution facilities for distribution of electricity to the public.  A distribution services provider includes a purchaser who takes electricity directly from a transmission line and a purchaser who generates electricity for the purchaser's own use but does not include electricity generated by the purchaser for noncommercial use or for agricultural use.

    (3) "Person" is defined as provided in RCW 82.04.030.

    (4) "Transmission services provider" means a person controlling or operating transmission facilities.

    (5) "Transmission facilities" means any facilities that are used to provide transmission services as determined by the utilities and transportation commission.

 

    NEW SECTION.  Sec. 15.  (1)(a) Except as provided in subsection (3) of this section, a wholesale energy transaction tax is imposed upon electricity transmitted within the state as provided in this section.

    (i) The tax is imposed at a rate of . . . . cents per kilowatt hour of electricity transmitted by a transmission services provider in the state.

    (ii) An additional tax is imposed at a rate of . . . . . of a cent per kilowatt hour of electricity transmitted by the transmission services provider in the state.

    (b) For electricity produced in the state for delivery outside of the state, the taxpayer is the person making a sale of electricity for delivery outside the state.  The transmission services provider shall collect the tax from the taxpayer based upon the kilowatt hours introduced onto transmission lines from the electrical generation facility.  The amount of kilowatt hours subject to tax must be reduced by five percent to compensate for transmission line losses.

    (c) For electricity produced in the state for delivery within the state, the taxpayer is the distribution services provider.  The transmission services provider shall collect the tax based upon the amount of kilowatt hours of electricity delivered to the distribution services provider.

    (d) For electricity produced outside the state for delivery inside the state, the taxpayer is the distribution services provider.  The transmission services provider shall collect the tax based upon the amount of kilowatt hours of electricity delivered to the distribution services provider.

    (2)(a) If more than one transmission services provider transmits electricity, the last transmission services provider transmitting or delivering the electricity shall collect the tax.

    (b) If the transmission services provider is an agency of the United States government, the distribution services provider receiving the electricity shall self-assess the tax subject to the provisions of this chapter.

    (c) If an electrical generation facility located within the state produces electricity for sale inside and outside the state, sales within the state are considered to have come from electricity produced within the state for purposes of the tax imposed by this section.

    (3)(a) Electricity transmitted through the state that is not produced or delivered in the state is exempt from the tax imposed by this section.

    (b) Electricity produced in the state by an agency of the United States government for delivery outside of the state is exempt from the tax imposed by this section.

    (c) Electricity delivered to a purchaser that receives its power directly from a transmission or distribution facility owned by an entity of the United States government, or electricity that is transmitted exclusively on transmission or distribution facilities owned by an entity of the United States government, is exempt from the tax imposed by this section.

    (4) A distribution services provider is allowed to recover the tax imposed by this section and the administrative costs to comply with this chapter in its rates.

 

    NEW SECTION.  Sec. 16.  A person, upon proof that the person has paid a tax in another state on the transmission of electricity, is allowed a credit against the tax imposed by this chapter if the tax has been paid in another state.

 

    NEW SECTION.  Sec. 17.  (1) A transmission services provider shall collect the tax imposed under section 15 of this act from the taxpayer and pay the tax collected to the department. If the transmission services provider collects a tax in excess of the tax imposed by section 15 of this act, both the tax and the excess must be remitted to the department.

    (2)(a) Tax collected under this chapter at a rate established in section 15(1)(a)(i) of this act shall be deposited in the wholesale energy transaction account created in section 19 of this act.

    (b) Tax collected under this chapter as an additional tax at a rate established in section 15(1)(a)(ii) of this act shall be deposited in the energy fund created in section 11 of this act.

 

    NEW SECTION.  Sec. 18.  Chapter 82.32 RCW applies to the taxes imposed in this chapter.  The tax due dates, reporting periods, and return requirements applicable to chapter 82.04 RCW apply equally to the taxes imposed in this chapter.

 

    NEW SECTION.  Sec. 19.  (1) The wholesale energy transaction account is created in the state treasury.  Moneys in the account may be spent only after appropriation for the purposes of distributions under this section and for activities of the office of financial management and the department of revenue related to administration of this chapter.

    (2) Under a distribution formula and method provided by the office of financial management, money in the account shall be distributed, as nearly as is practical, in a manner that replaces the fiscal year 2001 revenues generated by the taxation of light and power businesses, as defined in subsection (3) of this section, or of electrical energy businesses, as described in chapter 35.21 RCW, under the state and local public utility taxes, the business and occupation tax, the public utility district privilege tax, and the state and local property taxes.

    (3) "Light and power business" means the business of operating a plant or system for the generation, production, or distribution of electrical energy for hire or sale and/or for the wheeling of electricity for others.

 

    Sec. 20.  RCW 82.16.010 and 1996 c 150 s 1 are each amended to read as follows:

    For the purposes of this chapter, unless otherwise required by the context:

    (1) "Railroad business" means the business of operating any railroad, by whatever power operated, for public use in the conveyance of persons or property for hire.  It shall not, however, include any business herein defined as an urban transportation business.

    (2) "Express business" means the business of carrying property for public hire on the line of any common carrier operated in this state, when such common carrier is not owned or leased by the person engaging in such business.

    (3) "Railroad car business" means the business of operating stock cars, furniture cars, refrigerator cars, fruit cars, poultry cars, tank cars, sleeping cars, parlor cars, buffet cars, tourist cars, or any other kinds of cars used for transportation of property or persons upon the line of any railroad operated in this state when such railroad is not owned or leased by the person engaging in such business.

    (4) "Water distribution business" means the business of operating a plant or system for the distribution of water for hire or sale.

    (5) (("Light and power business" means the business of operating a plant or system for the generation, production or distribution of electrical energy for hire or sale and/or for the wheeling of electricity for others.

    (6))) "Telegraph business" means the business of affording telegraphic communication for hire.

    (((7))) (6) "Gas distribution business" means the business of operating a plant or system for the production or distribution for hire or sale of gas, whether manufactured or natural.

    (((8))) (7) "Motor transportation business" means the business (except urban transportation business) of operating any motor propelled vehicle by which persons or property of others are conveyed for hire, and includes, but is not limited to, the operation of any motor propelled vehicle as an auto transportation company (except urban transportation business), common carrier or contract carrier as defined by RCW 81.68.010 and 81.80.010:  PROVIDED, That "motor transportation business" shall not mean or include the transportation of logs or other forest products exclusively upon private roads or private highways.

    (((9))) (8) "Urban transportation business" means the business of operating any vehicle for public use in the conveyance of persons or property for hire, insofar as (a) operating entirely within the corporate limits of any city or town, or within five miles of the corporate limits thereof, or (b) operating entirely within and between cities and towns whose corporate limits are not more than five miles apart or within five miles of the corporate limits of either thereof.  Included herein, but without limiting the scope hereof, is the business of operating passenger vehicles of every type and also the business of operating cartage, pickup, or delivery services, including in such services the collection and distribution of property arriving from or destined to a point within or without the state, whether or not such collection or distribution be made by the person performing a local or interstate line-haul of such property.

    (((10))) (9) "Public service business" means any of the businesses defined in subdivisions (1), (2), (3), (4), (5), (6), (7), and (8)((, and (9))) or any business subject to control by the state, or having the powers of eminent domain and the duties incident thereto, or any business hereafter declared by the legislature to be of a public service nature, except telephone business as defined in RCW 82.04.065 and low-level radioactive waste site operating companies as redefined in RCW 81.04.010.  It includes, among others, without limiting the scope hereof:  Airplane transportation, boom, dock, ferry, pipe line, toll bridge, toll logging road, water transportation and wharf businesses.

    (((11))) (10) "Tugboat business" means the business of operating tugboats, towboats, wharf boats or similar vessels in the towing or pushing of vessels, barges or rafts for hire.

    (((12))) (11) "Gross income" means the value proceeding or accruing from the performance of the particular public service or transportation business involved, including operations incidental thereto, but without any deduction on account of the cost of the commodity furnished or sold, the cost of materials used, labor costs, interest, discount, delivery costs, taxes, or any other expense whatsoever paid or accrued and without any deduction on account of losses.

    (((13))) (12) The meaning attributed, in chapter 82.04 RCW, to the term "tax year," "person," "value proceeding or accruing," "business," "engaging in business," "in this state," "within this state," "cash discount" and "successor" shall apply equally in the provisions of this chapter.

 

    Sec. 21.  RCW 82.16.020 and 1996 c 150 s 2 are each amended to read as follows:

    (1) There is levied and there shall be collected from every person a tax for the act or privilege of engaging within this state in any one or more of the businesses herein mentioned.  The tax shall be equal to the gross income of the business, multiplied by the rate set out after the business, as follows:

    (a) Express, sewerage collection, and telegraph businesses:  Three and six-tenths percent;

    (b) ((Light and power business:  Three and sixty-two one-hundredths percent;

    (c))) Gas distribution business:  Three and six-tenths percent;

    (((d))) (c) Urban transportation business:  Six-tenths of one percent;

    (((e))) (d) Vessels under sixty-five feet in length, except tugboats, operating upon the waters within the state:  Six-tenths of one percent;

    (((f))) (e) Motor transportation, railroad, railroad car, and tugboat businesses, and all public service businesses other than ones mentioned above:  One and eight-tenths of one percent;

    (((g))) (f) Water distribution business:  Four and seven-tenths percent.

    (2) An additional tax is imposed equal to the rate specified in RCW 82.02.030 multiplied by the tax payable under subsection (1) of this section.

    (3) Twenty percent of the moneys collected under subsection (1) of this section on water distribution businesses and sixty percent of the moneys collected under subsection (1) of this section on sewerage collection businesses shall be deposited in the public works assistance account created in RCW 43.155.050.

 

    Sec. 22.  RCW 82.16.050 and 2000 c 245 s 1 are each amended to read as follows:

    In computing tax there may be deducted from the gross income the following items:

    (1) Amounts derived by municipally owned or operated public service businesses, directly from taxes levied for the support or maintenance thereof:  PROVIDED, That this section shall not be construed to exempt service charges which are spread on the property tax rolls and collected as taxes;

    (2) Amounts derived from the sale of commodities to persons in the same public service business as the seller, for resale as such within this state.  This deduction is allowed only with respect to water distribution, gas distribution or other public service businesses which furnish water, gas or any other commodity in the performance of public service businesses;

    (3) Amounts actually paid by a taxpayer to another person taxable under this chapter as the latter's portion of the consideration due for services furnished jointly by both, if the total amount has been credited to and appears in the gross income reported for tax by the former;

    (4) The amount of cash discount actually taken by the purchaser or customer;

    (5) The amount of credit losses actually sustained by taxpayers whose regular books of accounts are kept upon an accrual basis;

    (6) Amounts derived from business which the state is prohibited from taxing under the Constitution of this state or the Constitution or laws of the United States;

    (7) Amounts derived from the distribution of water through an irrigation system, for irrigation purposes;

    (8) Amounts derived from the transportation of commodities from points of origin in this state to final destination outside this state, or from points of origin outside this state to final destination in this state, with respect to which the carrier grants to the shipper the privilege of stopping the shipment in transit at some point in this state for the purpose of storing, manufacturing, milling, or other processing, and thereafter forwards the same commodity, or its equivalent, in the same or converted form, under a through freight rate from point of origin to final destination; and amounts derived from the transportation of commodities from points of origin in the state to an export elevator, wharf, dock or ship side on tidewater or navigable tributaries thereto from which such commodities are forwarded, without intervening transportation, by vessel, in their original form, to interstate or foreign destinations:  PROVIDED, That no deduction will be allowed when the point of origin and the point of delivery to such an export elevator, wharf, dock, or ship side are located within the corporate limits of the same city or town;

    (9) ((Amounts derived from the production, sale, or transfer of electrical energy for resale within or outside the state or for consumption outside the state;

    (10))) Amounts derived from the distribution of water by a nonprofit water association and used for capital improvements by that nonprofit water association;

    (((11))) (10) Amounts paid by a sewerage collection business taxable under RCW 82.16.020(1)(a) to a person taxable under chapter 82.04 RCW for the treatment or disposal of sewage.

 

    Sec. 23.  RCW 82.16.090 and 1988 c 228 s 1 are each amended to read as follows:

    Any customer billing issued by a ((light or power business or)) gas distribution business that serves a total of more than twenty thousand customers and operates within the state shall include the following information:

    (1) The rates and amounts of taxes paid directly by the customer upon products or services rendered by the ((light and power business or)) gas distribution business; and

    (2) The rate, origin and approximate amount of each tax levied upon the revenue of the ((light and power business or)) gas distribution business and added as a component of the amount charged to the customer.  Taxes based upon revenue of the ((light and power business or)) gas distribution business to be listed on the customer billing need not include taxes levied by the federal government or taxes levied under chapter((s 54.28,)) 80.24((,)) or 82.04 RCW.

 

    NEW SECTION.  Sec. 24.  A new section is added to chapter 82.04 RCW to read as follows:

    This chapter shall not apply to any person with respect to the business of operating a plant or system for the generation, production, or distribution of electrical energy for hire or sale and/or for the wheeling of electricity for others.

 

    NEW SECTION.  Sec. 25.  A new section is added to chapter 84.36 RCW to read as follows:

    Property owned or used by a person for the business of operating a plant or system for the generation, production, or distribution of electrical energy for hire or sale and/or for the wheeling of electricity for others, is exempt from taxation.

 

    NEW SECTION.  Sec. 26.  A new section is added to chapter 84.55 RCW to read as follows:

    The levy for a taxing district in any year shall be reduced as necessary to prevent exemptions under section 25 of this act from resulting in a higher tax rate than would have occurred without the exemptions.

 

    Sec. 27.  RCW 35.21.860 and 2000 c 83 s 8 are each amended to read as follows:

    (1) No city or town may impose a franchise fee or any other fee or charge of whatever nature or description upon the ((light and power, or)) gas distribution ((businesses)) business, as defined in RCW 82.16.010, or telephone business, as defined in RCW 82.04.065, or service provider for use of the right of way, except:

    (a) A tax authorized by RCW 35.21.865 may be imposed;

    (b) A fee may be charged to such businesses or service providers that recovers actual administrative expenses incurred by a city or town that are directly related to receiving and approving a permit, license, and franchise, to inspecting plans and construction, or to the preparation of a detailed statement pursuant to chapter 43.21C RCW;

    (c) Taxes permitted by state law on service providers;

    (d) Franchise requirements and fees for cable television services as allowed by federal law; and

    (e) A site-specific charge pursuant to an agreement between the city or town and a service provider of personal wireless services acceptable to the parties for:

    (i) The placement of new structures in the right of way regardless of height, unless the new structure is the result of a mandated relocation in which case no charge will be imposed if the previous location was not charged;

    (ii) The placement of replacement structures when the replacement is necessary for the installation or attachment of wireless facilities, and the overall height of the replacement structure and the wireless facility is more than sixty feet; or

    (iii) The placement of personal wireless facilities on structures owned by the city or town located in the right of way.  However, a site-specific charge shall not apply to the placement of personal wireless facilities on existing structures, unless the structure is owned by the city or town.

    A city or town is not required to approve the use permit for the placement of a facility for personal wireless services that meets one of the criteria in this subsection absent such an agreement.  If the parties are unable to agree on the amount of the charge, the service provider may submit the amount of the charge to binding arbitration by serving notice on the city or town.  Within thirty days of receipt of the initial notice, each party shall furnish a list of acceptable arbitrators.  The parties shall select an arbitrator; failing to agree on an arbitrator, each party shall select one arbitrator and the two arbitrators shall select a third arbitrator for an arbitration panel.  The arbitrator or arbitrators shall determine the charge based on comparable siting agreements involving public land and rights of way.  The arbitrator or arbitrators shall not decide any other disputed issues, including but not limited to size, location, and zoning requirements.  Costs of the arbitration, including compensation for the arbitrator's services, must be borne equally by the parties participating in the arbitration and each party shall bear its own costs and expenses, including legal fees and witness expenses, in connection with the arbitration proceeding.

    (2) No city or town may impose a franchise fee or any other fee or charge of whatever nature or description upon the business of operating a plant or system for the generation, production, or distribution of electrical energy for hire or sale and/or for the wheeling of electricity for others or upon a person for amounts received for the sale of electrical energy for resale within or outside the state.

    (3) Subsection (1) of this section does not prohibit franchise fees imposed on an electrical energy, natural gas, or telephone business, by contract existing on April 20, 1982, with a city or town, for the duration of the contract, but the franchise fees shall be considered taxes for the purposes of the limitations established in RCW 35.21.865 and 35.21.870 to the extent the fees exceed the costs allowable under subsection (1) of this section.

 

    Sec. 28.  RCW 35.21.865 and 1983 c 99 s 4 are each amended to read as follows:

    No city or town may change the rate of tax it imposes on the privilege of conducting ((an electrical energy,)) a natural gas((,)) or telephone business which change applies to business activities occurring before the effective date of the change, and no rate change may take effect before the expiration of sixty days following the enactment of the ordinance establishing the change except as provided in RCW 35.21.870.

 

    Sec. 29.  RCW 35.21.870 and 1984 c 225 s 6 are each amended to read as follows:

    (1) No city or town may impose a tax on the privilege of conducting ((an electrical energy,)) a natural gas, steam energy, or telephone business at a rate which exceeds six percent unless the rate is first approved by a majority of the voters of the city or town voting on such a proposition.

    (2) If a city or town is imposing a rate of tax under subsection (1) of this section in excess of six percent on April 20, 1982, the city or town shall decrease the rate to a rate of six percent or less by reducing the rate each year on or before November 1st by ordinances to be effective on January 1st of the succeeding year, by an amount equal to one-tenth the difference between the tax rate on April 20, 1982, and six percent.

    Nothing in this subsection prohibits a city or town from reducing its rates by amounts greater than the amounts required in this subsection.

    Voter approved rate increases under subsection (1) of this section shall not be included in the computations under this subsection.

 

    Sec. 30.  RCW 52.18.020 and 1990 c 294 s 2 are each amended to read as follows:

    The term "personal property" for the purposes of this chapter shall include every form of tangible personal property, including but not limited to, all goods, chattels, stock in trade, estates, or crops:  PROVIDED, That all personal property not assessed and subjected to ad valorem taxation under Title 84 RCW, all property under contract or for which the district is receiving payment for as authorized by RCW 52.30.020 ((and all property subject to the provisions of chapter 54.28 RCW)), or all property that is subject to a contract for services with a fire protection district, shall be exempt from the benefit charge imposed under this chapter:  PROVIDED FURTHER, That the term "personal property" shall not include any personal property used for farming, field crops, farm equipment or livestock:  AND PROVIDED FURTHER, That the term "improvements to real property" shall not include permanent growing crops, field improvements installed for the purpose of aiding the growth of permanent crops, or other field improvements normally not subject to damage by fire.

 

    Sec. 31.  RCW 82.02.030 and 1993 sp.s. c 25 s 107 are each amended to read as follows:

    The rate of the additional taxes under RCW ((54.28.020(2), 54.28.025(2),)) 66.24.210(2), 82.16.020(2), 82.27.020(5), and 82.29A.030(2) shall be seven percent.

 

    NEW SECTION.  Sec. 32.  The following acts or parts of acts are each repealed:

    (1) RCW 82.16.0491 (Credit--Contributions to an electric utility rural economic development revolving fund) and 1999 c 311 s 402;

    (2) RCW 82.16.053 (Deductions in computing tax--Light and power businesses) and 1996 c 145 s 1 & 1994 c 236 s 1;

    (3) RCW 54.28.010 (Definitions) and 1977 ex.s. c 366 s 1, 1967 ex.s. c 26 s 22, 1959 c 274 s 1, & 1957 c 278 s 7;

    (4) RCW 54.28.011 ("Gross revenue" defined) and 1957 c 278 s 12;

    (5) RCW 54.28.020 (Tax imposed--Rates--Additional tax imposed) and 1983 2nd ex.s. c 3 s 8, 1982 1st ex.s. c 35 s 18, 1977 ex.s. c 366 s 2, 1959 c 274 s 2, & 1957 c 278 s 2;

    (6) RCW 54.28.025 (Tax imposed with respect to thermal electric generating facilities--Rate--Additional tax imposed) and 1983 2nd ex.s. c 3 s 9, 1982 1st ex.s. c 35 s 19, & 1977 ex.s. c 366 s 6;

    (7) RCW 54.28.030 (Districts' report to department of revenue) and 1977 ex.s. c 366 s 3, 1975 1st ex.s. c 278 s 30, 1959 c 274 s 3, & 1957 c 278 s 3;

    (8) RCW 54.28.040 (Tax computed--Payment--Penalties--Disposition) and 1996 c 149 s 16, 1982 1st ex.s. c 35 s 20, 1975 1st ex.s. c 278 s 31, & 1957 c 278 s 4;

    (9) RCW 54.28.050 (Distribution of tax) and 1982 1st ex.s. c 35 s 21, 1980 c 154 s 8, 1977 ex.s. c 366 s 4, 1975 1st ex.s. c 278 s 32, 1959 c 274 s 4, & 1957 c 278 s 5;

    (10) RCW 54.28.055 (Distribution of tax proceeds from thermal electric generating facilities) and 1986 c 189 s 1, 1982 1st ex.s. c 35 s 22, 1979 c 151 s 165, & 1977 ex.s. c 366 s 7;

    (11) RCW 54.28.060 (Interest) and 1996 c 149 s 12 & 1957 c 278 s 6;

    (12) RCW 54.28.070 (Municipal taxes--May be passed on) and 1941 c 245 s 3;

    (13) RCW 54.28.080 (Additional tax for payment on bonded indebtedness of school districts) and 1957 c 278 s 8;

    (14) RCW 54.28.090 (Deposit of funds to credit of certain taxing districts) and 1980 c 154 s 9, 1977 ex.s. c 366 s 5, & 1957 c 278 s 10;

    (15) RCW 54.28.100 (Use of moneys received by taxing district) and 1957 c 278 s 11;

    (16) RCW 54.28.110 (Voluntary payments by district to taxing entity for removal of property from tax rolls) and 1957 c 278 s 13;

    (17) RCW 54.28.120 (Amount of tax if district acquires electric utility property from public service company) and 1957 c 278 s 14;

    (18) RCW 43.21F.055 (Intervention in certain regulatory proceedings prohibited--Application to energy facility site evaluation council--Avoidance of duplication of activity) and 1996 c 186 s 104 & 1981 c 295 s 5;

    (19) RCW 43.21F.090 (State energy strategy--Review and report to legislature) and 1996 c 186 s 106 & 1994 c 207 s 5;

    (20) RCW 80.50.010 (Legislative finding--Policy--Intent) and 1996 c 4 s 1, 1975-'76 2nd ex.s. c 108 s 29, & 1970 ex.s. c 45 s 1;

    (21) RCW 80.50.020 (Definitions) and 1995 c 69 s 1, 1977 ex.s. c 371 s 2, 1975-'76 2nd ex.s. c 108 s 30, & 1970 ex.s. c 45 s 2;

    (22) RCW 80.50.030 (Energy facility site evaluation council--Created--Membership--Support) and 1996 c 186 s 108;

    (23) RCW 80.50.040 (Energy facility site evaluation council--Powers enumerated) and 1990 c 12 s 4, 1985 c 67 s 2, 1979 ex.s. c 254 s 1, 1977 ex.s. c 371 s 4, 1975-'76 2nd ex.s. c 108 s 32, & 1970 ex.s. c 45 s 4;

    (24) RCW 80.50.060 (Energy facilities to which chapter applies--Applications for certification--Forms--Information) and 1977 ex.s. c 371 s 5, 1975-'76 2nd ex.s. c 108 s 34, & 1970 ex.s. c 45 s 6;

    (25) RCW 80.50.071 (Council to receive applications--Fees or charges for application processing or certification monitoring) and 1977 ex.s. c 371 s 16;

    (26) RCW 80.50.075 (Expedited processing of applications) and 1989 c 175 s 172 & 1977 ex.s. c 371 s 17;

    (27) RCW 80.50.080 (Counsel for the environment) and 1977 ex.s. c 371 s 6 & 1970 ex.s. c 45 s 8;

    (28) RCW 80.50.090 (Public hearings) and 1989 c 175 s 173 & 1970 ex.s. c 45 s 9;

    (29) RCW 80.50.100 (Recommendations to governor--Approval or rejection of certification--Reconsideration) and 1989 c 175 s 174, 1977 ex.s. c 371 s 8, 1975-'76 2nd ex.s. c 108 s 36, & 1970 ex.s. c 45 s 10;

    (30) RCW 80.50.105 (Transmission facilities for petroleum products‑‑Recommendations to governor) and 1991 c 200 s 1112;

    (31) RCW 80.50.110 (Chapter governs and supersedes other law or regulations--Preemption of regulation and certification by state) and 1975-'76 2nd ex.s. c 108 s 37 & 1970 ex.s. c 45 s 11;

    (32) RCW 80.50.120 (Effect of certification) and 1977 ex.s. c 371 s 10, 1975-'76 2nd ex.s. c 108 s 38, & 1970 ex.s. c 45 s 12;

    (33) RCW 80.50.130 (Revocation or suspension of certification--Grounds) and 1970 ex.s. c 45 s 13;

    (34) RCW 80.50.140 (Review) and 1988 c 202 s 62, 1981 c 64 s 3, 1977 ex.s. c 371 s 11, & 1970 ex.s. c 45 s 14;

    (35) RCW 80.50.150 (Enforcement of compliance--Penalties) and 1979 ex.s. c 254 s 2, 1979 c 41 s 1, 1977 ex.s. c 371 s 12, & 1970 ex.s. c 45 s 15;

    (36) RCW 80.50.160 (Availability of information) and 1970 ex.s. c 45 s 16;

    (37) RCW 80.50.175 (Study of potential sites--Fee--Disposition of payments) and 1983 c 3 s 205, 1977 ex.s. c 371 s 13, 1975-'76 2nd ex.s. c 108 s 40, & 1974 ex.s. c 110 s 2;

    (38) RCW 80.50.180 (Proposals and actions by other state agencies and local political subdivisions pertaining to energy facilities exempt from "detailed statement" required by RCW 43.21C.030) and 1977 ex.s. c 371 s 14;

    (39) RCW 80.50.190 (Disposition of receipts from applicants) and 1977 ex.s. c 371 s 15;

    (40) RCW 80.50.300 (Unfinished nuclear power projects--Transfer of all or a portion of a site to a political subdivision or subdivisions of the state--Water rights) and 2000 c 243 s 1 & 1996 c 4 s 2;

    (41) RCW 80.50.310 (Council actions--Exemption from chapter 43.21C RCW) and 1996 c 4 s 3;

    (42) RCW 80.50.900 (Severability--1970 ex.s. c 45) and 1970 ex.s. c 45 s 17;

    (43) RCW 80.50.901 (Severability--1974 ex.s. c 110) and 1974 ex.s. c 110 s 3;

    (44) RCW 80.50.902 (Severability--1977 ex.s. c 371) and 1977 ex.s. c 371 s 20;

    (45) RCW 80.50.903 (Severability--1996 c 4) and 1996 c 4 s 5; and

    (46) RCW 80.50.904 (Effective date--1996 c 4) and 1996 c 4 s 6.

 

    NEW SECTION.  Sec. 33.  Sections 14 through 19 of this act constitute a new chapter in Title 82 RCW.

 

    NEW SECTION.  Sec. 34.  Section 25 of this act applies to taxes levied for collection in 2002 and thereafter.

 

    NEW SECTION.  Sec. 35.  Part headings used in this act are not any part of the law.

 

    NEW SECTION.  Sec. 36.  Except for section 13 of this act, this act takes effect January 1, 2002.

 

    NEW SECTION.  Sec. 37.  Section 12 of this act expires March 1, 2002.

 

    NEW SECTION.  Sec. 38.  Section 13 of this act takes effect March 1, 2002.

 


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