BILL REQ. #:  H-3407.1 

Prefiled 12/22/2005. Read first time 01/09/2006.   Referred to Committee on Natural Resources, Ecology & Parks.

     AN ACT Relating to the creation of a demonstration project to facilitate better the conservation of natural resource lands; and creating new sections.

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

NEW SECTION.  Sec. 1   (1) The legislature finds that it is in the best interest of the state to find innovative and economically sustainable ways to protect the state's dwindling natural resource lands from development or other conversion from working lands or wildlife habitat.
     (2) The legislature further finds that working natural resource and wildlife habitat lands can be conserved through properly functioning transfer of development rights programs. However, to be successful, a transfer of development rights program must be established in a fashion that facilitates an economically robust market in which development credits from natural resource lands are in demand and can be traded openly in a market.
     (3) The legislature further finds that a number of geographically limited demonstration projects should be established to create a template for the protection of natural resources that can be emulated by other areas within the state. These demonstration projects would require technical and financial support from a state level that would create and nourish the transfer of development rights programs both in their infancy and as a source of ongoing support once the projects are established. Finally, the demonstration projects should be designed in such a way that there is capacity for private third-party entities to facilitate the transfer of credits and ensure a robust market.

NEW SECTION.  Sec. 2   (1) The department of community, trade, and economic development, in consultation with the department of fish and wildlife for the identification of valuable wildlife habitat, shall provide support and funding for a minimum of two county-specific transfer of development rights demonstration projects. These projects must utilize a system to facilitate the trade of development credits from valuable natural resource and habitat lands to areas of the county more appropriate for residential or commercial development. Natural resource lands from which development credits are taken must be forever protected from additional future development.
     (2) Projects established under this section must be under the direction and administration of the county hosting the project. However, the department of community, trade, and economic development must provide initial funding and guidance along with ongoing financial and technical assistance.
     (3) The department of community, trade, and economic development may only initiate a demonstration project within counties that are willing hosts. The number of demonstration projects must be determined by the amount of funding provided to the department of community, trade, and economic development. However, at least two projects must be initiated. The demonstration projects may be established in counties without a similar program, or may provide funding and assistance to a county with an existing but underutilized program. Due to unique geographic conditions, existing land uses, and population patterns, Kittitas and Snohomish counties must be given the first option to host one of the demonstration projects.
     (4) Funding provided by the department of community, trade, and economic development may be used for direct financial support to host counties and for securing private third-party organizations to administer aspects of the credit trading program.
     (5) The department of community, trade, and economic development shall provide the appropriate committees of the legislature with a status report by December 31, 2006. A final report must be provided to the appropriate committees of the legislature no later than thirty-six months after the initiation of the initial demonstration projects. Both reports must be prepared in coordination with the host counties and include any suggestions for improving either the demonstration projects or the tools available to counties for the operation of their own transfer of development rights programs.

NEW SECTION.  Sec. 3   If specific funding for the purposes of this act, referencing this act by bill or chapter number, is not provided by June 30, 2006, in the omnibus appropriations act, this act is null and void.