SENATE BILL REPORT

SB 5934

As Reported By Senate Committee On:

Land Use & Planning, February 24, 2003

Title: An act relating to assumption by a code city of a water-sewer district by mutual consent of the city council and district board.

Brief Description: Providing a procedure for a water-sewer district to be assumed by a code city.

Sponsors: Senators Esser, McCaslin and Kline.

Brief History:

Committee Activity: Land Use & Planning: 2/24/03 [DP].

SENATE COMMITTEE ON LAND USE & PLANNING

Majority Report: Do pass.

      Signed by Senators Mulliken, Chair; Kline, McCaslin, Morton and T. Sheldon.

Staff: Jennifer Arnold (786-7471)

Background: Under current law, there is not a statutory procedure directly applicable to the assumption of a water-sewer district by a city when the district is noncontiguous to that city and the district lies within another city.

Summary of Bill: A procedure is established where a water-sewer district with less than 250 customers may be assumed by a code-city with greater than 100,000 persons, even if the district and the city are noncontiguous and none of the district is within that city's boundaries, if the water-sewer district's board of commissioners finds the assumption to be in the best interests of the district.

The local government must agree by resolution to assume the water-sewer district. Both the city and the district must enter into a mutually agreed upon contract regarding the assumption process and any related matters.

If the district does not owe any liabilities on the date of assumption, the city is permitted to use any of the district's surplus funds only for the purposes of water delivery services and construction of water facilities in the district's former territory.

Appropriation: None.

Fiscal Note: Not requested.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Testimony For: The bill would assist in providing Yarrow Point better service and it is necessary because the water-sewer district is underfunded and unable to keep up the maintenance of water-sewer facilities and services. Both the city of Bellevue and the water-sewer district believe it is in the citizens' best interests to allow the city to assume the district.

Testimony Against: None.

Testified: PRO: George Bower, King County Water Dist. #1; Bob Mack, City of Bellevue.