HOUSE BILL REPORT

HB 1165

As Reported by House Committee On:

Capital Budget

Title: An act relating to the capital budget.

Brief Description: Making appropriations and authorizing expenditures for capital improvements.

Sponsors: Representatives Dunshee and Alexander; by request of Governor Locke.

Brief History:

Committee Activity:

Capital Budget: 2/18/03, 4/21/03 [DPS].

HOUSE COMMITTEE ON CAPITAL BUDGET

Majority Report: The substitute bill be substituted therefor and the substitute bill do pass. Signed by 14 members: Representatives Dunshee, Chair; Hunt, Vice Chair; Blake, Chase, Flannigan, Hankins, Kirby, Lantz, McIntire, Morrell, Murray, O'Brien, Simpson and Veloria.

Minority Report: Do not pass. Signed by 11 members: Representatives Alexander, Ranking Minority Member; Priest, Assistant Ranking Minority Member; Armstrong, Benson, Bush, Hinkle, Mastin, Newhouse, Orcutt, Schoesler and Woods.

Staff: Charlie Gavigan (786-7340).

Background:

The programs and agencies of state government are funded on a two-year basis, with each biennium beginning on July 1 of each odd-numbered year. The Capital Budget includes appropriations for the acquisition, construction and repair of capital assets such as state office buildings, prisons, juvenile rehabilitation centers, residential habilitation centers, mental health facilities, public health facilities, military readiness centers, and higher education facilities. The Capital Budget funds a variety of environmental and natural resource projects, parks and recreational facilities, grants for public K-12 school construction, and has a number of grant and loan programs that support housing, public infrastructure, community service facilities, and art and historical projects.

The sources of funding for the Capital Budget primarily are state general obligation bonds, trust revenues, and dedicated fees and taxes.

Summary of Substitute Bill:

The omnibus 2003-2005 Capital Budget authorizes $2.45 billion in new capital projects, of which $1.3 billion are financed with state general obligation bonds. Reappropriations of $1.8 billion are authorized for uncompleted projects approved in prior biennia. Agencies also are authorized to enter into a variety of financing contracts, non-debt limit financing funded using operating revenue. (See the Capital Budget summary for the project list.)

Substitute Bill Compared to Original Bill:

The substitute bill makes numerous changes to the Governor's proposed 2003-2005 Capital Budget.

Appropriation: The sum of $2.45 billion in new appropriations and $1.8 billion in reappropriations.

Fiscal Note: Not Requested.

Effective Date of Substitute Bill: The bill contains an emergency clause and takes effect immediately.

Testified on the original bill: (In support) Dwight Gee, Corporate Council for the Arts; Laura Blankenship, Greenbank Farm; Clarence Moriwaki, Bainbridge Island World War II Nekki Internment and Exclusion Memorial Committee; Christine Rolfes, City of Bainbridge Island; Louise Miller, Joanna Grist, and Kirk Thompson, Washington Wildlife and Recreation Coalition; Mike Schwisow, Washington State Water Resources Association; Tony Gale, City of Seattle; Lynne Barker, Green Building Council; Pamela Crone, Washington State Coalition Against Domestic Violence; Eric Johnson, Lewis County; James Kelly, Seattle Urban League; Jan Rohila, Building Industry Association of Washington; and Robert Miller, National Fire Protection Association.

(Opposed) Ron Chew and Ray Ishii, Wing Luke Asian Museum; Cary Bozeman, City of Bremerton; Michael Brown, City of Bremerton; Carolyn Tolas and Bill Panos, State Board of Education; Allen Miller, North Capitol Campus Heritage Park Association; Rainer Houser, Association of Washington Principals; Charlie Brown, King County School Coalition; and Sharon Wylie, Clark County.

(Concerns) Seth Dawson, Washington State Coalition for the Homeless; Jerry Beavers and Wendy Bart, Snohomish County YMCA; Marty Snyder, Opportunity Council; Doreen Marchione, HopeLink; Randy Parr, Washington Education Association; Dan Steele, Washington State School Director's Association; Nick Federici, Washington Low-Income Housing Congress; and Bill Robinson, The Nature Conservancy.