BILL REQ. #:  H-4161.2 

Read first time 01/21/2004.   Referred to Committee on Local Government.

     AN ACT Relating to the incorporation of territory within designated urban growth areas in counties subject to the requirements of RCW 36.70A.215; and adding new sections to chapter 36.93 RCW.

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

NEW SECTION.  Sec. 1   A new section is added to chapter 36.93 RCW to read as follows:
     (1) Any boundary review board established under this chapter may, as provided by this section, initiate a review of unincorporated territory within an urban growth area designated under RCW 36.70A.110 for the purpose of establishing a planning boundary.
     A request for review as provided by this section may only be made by a legislative body subject to the provisions of RCW 36.70A.215 that is within the territorial jurisdiction of the board, or a growth management council or citizen subject to the jurisdiction of such a legislative body.
     (2) The planning boundary should be consistent with any potential or planned annexation areas designated in an adopted county comprehensive plan or a written annexation agreement between a county and a city or town. The board, however, may establish a planning boundary in a manner consistent with the review provisions established by the board in this chapter.
     (3) Following the completion of the review provided by this section, the board shall forward the planning boundary to the legislative authority of the county. Upon receipt of the planning boundary, the county shall perform a fiscal analysis for the purpose of determining whether the county will experience any revenue loss as a result of an annexation of the territory within the planning boundary and the amount of any related revenue loss.
     (4) Following the completion of the fiscal analysis, the county must commence a negotiation process with the city or town that, as identified in the planning boundary, the subject territory may be annexed to for the purpose of negotiating an interlocal agreement as provided in chapter 39.34 RCW. The interlocal agreement shall provide:
     (a) For a transfer of funds from the county in an amount equal to the revenue loss identified by the county in the fiscal analysis required by this section; and
     (b) That all municipal services within the planning boundary, except those provided by special purpose districts, must be provided by the city or town that, under the proposed planning boundary, the subject territory may be annexed to.
     (5)(a) Upon completing the interlocal agreement negotiations, the agreement shall be submitted to the county legislative authority of the county party to the agreement.
     (b) Upon receipt of the completed agreement, the question of either approving the agreement or annexing to the city or town party to the agreement shall be submitted by the county legislative authority to the voters of the subject territory in a general election if one is to be held within ninety days or at a special election called for that purpose not less than forty-five days nor more than ninety days after submission of the agreement to the county legislative authority.
     (c) The election shall be conducted as provided in the general election law. Upon the certification of the election:
     (i) The agreement shall be deemed approved if a majority of the votes cast on the proposition by the voters of the subject territory are in favor thereto and shall be effective January 1st of the following year; or
     (ii) The annexation shall be deemed approved if a majority of the votes cast on the proposition by the voters of the subject territory are in favor thereto and shall be effective January 1st of the following year.
     (6) Should the voters choose to approve the interlocal agreement as provided by subsection (5) of this section, the jurisdictions subject to the agreement must renegotiate and update the agreement annually or biennially, as appropriate.
     (7) Should the voters choose to approve the annexation, the annexing jurisdiction shall receive priority status for grant applications for infrastructure investments from the public works trust fund.

NEW SECTION.  Sec. 2   A new section is added to chapter 36.93 RCW to read as follows:
     (1) A petition calling for an election as provided by section 1(5) of this act may be filed with the boundary review board specified in section 1(1) of this act upon the renegotiation of an interlocal agreement as provided by section 1(6) of this act. To qualify as sufficient, the petition for election must comply with the requirements of RCW 35A.01.040 and be signed by not fewer than twenty percent of the registered voters residing within the subject territory.
     (2) Upon a determination of sufficiency as provided by RCW 35A.01.040, the board shall transmit the petition to the legislative authority of the county party to the interlocal agreement. Following this transmission, the legislative authority shall resubmit the question of either approving the agreement or annexing to the subject city or town in a manner consistent with the election provisions of section 1(5) of this act.

NEW SECTION.  Sec. 3   A new section is added to chapter 36.93 RCW to read as follows:
     The services provided by a city or town as specified in an interlocal agreement as provided by section 1 of this act shall correspond to the estimated revenue loss specified by a county in the fiscal analysis required by section 1(3) of this act.