[atlas:bill]

AN ACT Relating to regional transportation governance; and adding a new chapter to Title 36 RCW.

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

NEW SECTION. Sec. 1. The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

(1) "Regional congestion relief district" or "district" means a quasi-municipal corporation created pursuant to this chapter.

(2) "Transportation projects" or "projects" means regional transportation improvements that contribute to relieving congestion and add infrastructure capacity for the movement of people and goods within a district. Projects authorized by this chapter shall be located on major transportation corridors within the district and may include: (a) Improvements to a highway which increases vehicle capacity; (b) purchase and development of public transit right-of-way; (c) development and installation of traffic management systems; and (d) any other infrastructure improvements that contribute to relieving congestion or increasing capacity for the movement of persons or goods within a transportation corridor.

(3) "Funding qualification" means projects that qualify for regional funding only if they are designated as congestion relief projects in the transportation plan of the state, a regional transportation planning organization or a metropolitan planning organization.

(4) "Project sponsor" means a public agency which by law can plan, design, and build a project and may include: The state department of transportation; a county; a city; a transit agency; or a port district.

(5) "Caucus" means the state and local officials who are also designated as the "district formation committee."

(6) "District formation committee" or "committee" means the body responsible for drafting the plan which is submitted to the voters for approval and shall include three elected county officials; provided, however, if four or more counties are included in a proposed district, each county executive and chair of a board of county commissioners of such counties shall be the county officials to serve on the committee; the mayor of the largest city in the proposed district and the mayor of any other city of more than ninety thousand population; the secretary of the department of transportation; and the chair or vice-chair of any metropolitan planning organization with jurisdiction within the proposed district.

(7) "Directors" means individuals appointed by the governor to direct district affairs; however, the secretary of the department of transportation and the chair or vice-chair of the metropolitan planning organization of the region, or his or her designees, shall be ex officio, nonvoting, noncompensated directors of districts created pursuant to this chapter.

(8) "Congestion relief plan" or "plan" means a document which sets forth projects which meet funding qualification requirements and which makes provision for financing such projects, including proposed taxes.

NEW SECTION. Sec. 2. The legislature finds that:

(1) The capacity of many of Washington state's transportation facilities have failed to keep up with the state's growth, particularly in major urban regions;

(2) The state cannot by itself fund, in a timely way, many of the major capacity and other improvements required on state and interstate highways in urban regions;

(3) Providing a comprehensive multimodal transportation system which provides efficient mobility choices for persons and freight requires a partnership between the state, local, and regional governments, and the private sector; and

(4) Timely construction and development of congestion relief projects can best be achieved by establishing regional congestion relief districts.

NEW SECTION. Sec. 3. A county executive or chair of a county commission may convene a committee to form a district by providing written notice to eligible members of the committee and the chairs of the transportation committees in the senate and house of representatives. If the members agree to activate the committee, it shall have the following duties and powers:

(1) To set the boundaries of the proposed district which reasonably incorporate areas benefited by the projects proposed in the plan;

(2) To appoint such advisors and conduct such public meetings as needed to assure active public participation in the development of the plan;

(3) To adopt a plan which shall include projects that meet funding qualifications and provide for the financing for those projects;

(4) To submit to the legislative bodies of each county and city within the proposed district recommendations to improve governance of regional services and to enhance regional growth management implementation;

(5) To serve as a caucus and submit to the governor, at the time a plan is certified to the ballot, the names of three nominees for each director position set forth in the plan;

(6) If a majority of the committee agree, to submit a plan to the legislative bodies of the county or counties included in the proposed district for certification to a general election ballot for approval or rejection of the voters.

NEW SECTION. Sec. 4. County legislative bodies receiving such plans shall certify the plans to the ballot; however, legislative bodies may reasonably adjust boundaries if they fail to follow precinct lines, and they shall draft a ballot title, give notices as required by law for ballot measures, and perform such other duties as may be required to put the plan before the voters of the proposed district.

NEW SECTION. Sec. 5. If the voters approve the plan and taxes, the district shall be declared formed. The county election official of a county, or if the district is composed of more than a single county, county election officials jointly, shall, within fifteen days of the final certification of the election results, publish a notice in a newspaper or newspapers of general circulation in the district declaring the district formed, and shall mail copies of the notice to the governor, secretary of transportation, members of the committee, and to the treasurer of the county or, if the district is multicounty, the treasurer of the largest county who shall thereafter serve as the treasurer of the district. Any party challenging the formation of a voter-approved district must file his or her challenge in writing by serving the prosecuting attorneys of each county within the district and the attorney general within thirty days after the final certification of the election. Failure to challenge within the time provided shall forever bar further challenge of the district's valid formation.

NEW SECTION. Sec. 6. Each district shall have either five, seven, or nine directors, as set forth in the plan, to manage its affairs. Directors shall be appointed by the governor from a list of nominees provided by the caucus. The initial nominees list shall be submitted to the governor not less than twenty days after the district is declared formed. Thereafter, the caucus shall convene at the call of the county executive or chair of the county commission of the county or, if a multicounty district, by the chair or executive of the largest county, to provide the governor with additional nominees to fill vacant positions. The governor shall, in making initial appointments, number the positions and stagger the terms of the positions so that approximately one-third of the member's terms shall expire each year. Except for initial terms, or to fill a vacancy where the term has not expired, appointments shall be for three-year terms.

NEW SECTION. Sec. 7. Directors shall be residents and registered voters within the districts and shall be free of conflicts with project sponsors. Directors may, by resolution, set a meeting fee of not more than one hundred fifty dollars per official meeting, but total compensation may not exceed five thousand dollars in any calendar year. Directors may be reimbursed for reasonable and necessary expenses when traveling on authorized district business outside the district's boundaries.

NEW SECTION. Sec. 8. The directors are the governing board of the district and responsible for the execution of the voter-approved plan. The board shall:

(1) Adopt bylaws to govern its affairs which may include:

(a) The time and place of its regular meetings;

(b) Rules for calling special meetings;

(d) Titles of district officers and terms and method of election;

(e) The requirements for hiring employees and consultants;

(f) Procedures for the safekeeping and disbursement of funds; and

(g) Any other provisions the directors find necessary to include in the district bylaws;

(2) Provide for the levying and collection of taxes authorized by the voters;

(3) Request from time to time, that a new committee with membership as provided for the district formation committees, to place on a ballot for voter approval a new or revised plan with additional projects and taxes;

(4) Hire such employees, professional service providers, or contractors as may be required for district purposes;

(5) Enter into agreements with state, local and regional agencies, and departments as necessary to accomplish district purposes and protect the district's investment in projects;

(6) Accept gifts, grants, or other contributions of funds which will support the purposes and programs of the district;

(7) Monitor and audit the progress and execution of projects to protect the investment of the public and make public its findings from time to time; and

(8) Exercise such other powers and duties as may be reasonable related to carrying out the mission of the district.

NEW SECTION. Sec. 9. The district shall accomplish its purposes by entering into agreements with project sponsors as to who will acquire, construct, or develop projects approved by the voters. The district shall negotiate reasonable terms and conditions to assist project sponsors in funding projects. The overall plan of the district must leverage the district's financial contributions so that project sponsors and other revenue sources continue to fund major congestion relief and transportation capacity improvement projects in the district. The plan submitted to the voters shall provide funding estimates for each priority project. The plan may also list additional projects that may be funded if the district has a surplus because a priority project is abandoned or curtailed by the project sponsor, or surplus revenues become available for any other reason. Plans submitted to the voters must provide that ninety-five percent of all funds raised will fund projects in the plan including environmental improvements and mitigation. Not more than five percent of funds authorized by the plan may be used for the administrative costs of the district.

NEW SECTION. Sec. 10. The district's plan may recommend the imposition of some or all of the following revenue sources:

(1) A vehicle license fee of up to seventy-five dollars per vehicle registered in the district, except commercial vehicles as defined in RCW 46.04.140, per year on passenger cars, sport utility vehicles, motorcycles, motorhomes, pickup trucks, and trailers or trailing units. The department of licensing shall administer and collect this fee on behalf of a congestion relief district and remit this fee to the custody of the state treasurer, who shall distribute it as directed by a regional congestion relief district;

(2) Tolls;

(3) Property tax road levy as provided in RCW 36.82.040; and

(4) A commercial vehicle fee of up to one hundred fifty dollars per commercial vehicle registered in the district as defined in RCW 46.04.140. The department of licensing shall administer and collect this fee on behalf of a regional congestion relief district and remit this fee to the custody of the state treasurer, who shall distribute it as directed by a regional congestion relief district.

No taxes may be imposed without a vote of the people within the district boundaries.

NEW SECTION. Sec. 11. The district may not issue any debt of its own for more than two years duration. A district may, when authorized by the plan, enter into agreements with project sponsors to pledge taxes or other revenues of the district for the purpose of paying in part or whole principal and interest on bonds issued by the project sponsor. The contracts pledging revenues and taxes shall be binding for the term of the agreement, but not to exceed twenty-five years, and no tax pledged by an agreement may be eliminated or modified if it would impair the pledge of the agreement.

NEW SECTION. Sec. 12. A district once formed shall continue so long as projects are being actively developed or taxes levied to meet continuing district obligations. When a district is no longer engaged in a project's development or levying taxes to fund projects, the directors shall submit to the county legislative bodies of the district a resolution of dissolution. Such resolution shall be published in newspapers of general circulation within the district at least three times in a period of thirty days. Creditors must file claims for payment of claims due within thirty days of the last published notice or such claim shall be considered extinguished. The district treasurer shall within ninety days of the last published notice forward remaining funds in the accounts of the district to the motor vehicle fund to be used to fund state transportation projects within the former district boundaries.

NEW SECTION. Sec. 13. To assure accountability to the public for the timely construction of the transportation project or projects within cost projections, the district shall issue a public report every six months from the date the project begins to the date it concludes. In the report, the district shall detail the progress of the project in two areas: (1) Whether the project or projects costs-to-date are within the amount of revenue raised for the project or projects under the vote of the people as provided in section 3 of this act; and (2) whether the project or projects are proceeding in accordance with the original construction schedule. If the progress of the project is inconsistent with either the cost projections or timeliness, the district shall provide the public with a plan to move the project or projects back into compliance with the original construction schedule and cost projections.

NEW SECTION. Sec. 14. Sections 1 through 13 of this act constitute a new chapter in Title 36 RCW.