BILL REQ. #:  S-0582.1 

Read first time 01/17/2005.   Referred to Committee on Transportation.

     AN ACT Relating to impact fees imposed by the department of transportation; reenacting and amending RCW 43.79A.040; and adding a new section to chapter 47.04 RCW.

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

NEW SECTION.  Sec. 1   A new section is added to chapter 47.04 RCW to read as follows:
     (1) The department of transportation may impose impact fees on development activity that creates additional significant demand and need for transportation improvements to state highways or facilities, as determined by the department.
     (2) The impact fees:
     (a) Shall only be imposed for state transportation improvements that are reasonably related to the development activity;
     (b) Shall not exceed a proportionate share of the costs of state transportation improvements that are reasonably related to the development activity; and
     (c) Shall be used for state transportation improvements that will reasonably benefit the development activity.
     (3) The department shall adopt rules pursuant to chapter 34.05 RCW regarding:
     (a) The criteria applicable to a determination under subsection (1) of this section as to whether development activity creates additional significant demand and need for transportation improvements to state highways or facilities;
     (b) A formula or method for calculating the amount of impact fees to be imposed on the development activity, considering (i) the type of development activity subject to the fees and (ii) the proportionate share of the costs of state transportation improvements that are reasonably related to the development activity;
     (c) The administration and collection of the fees;
     (d) The provision of a credit against any other fee, local improvement district assessment, or other monetary imposition made specifically for the designated state transportation improvements intended to be covered by the impact fees imposed under this section;
     (e) The allowance of an adjustment to the standard impact fee at the time the fee is imposed to consider unusual circumstances in specific cases to ensure that impact fees are imposed fairly; and
     (f) An administrative appeals process for the appeal of an impact fee.
     (4) Impact fees imposed under this section shall be deposited into the transportation impact fee account hereby created in the custody of the state treasurer. Expenditures from the account shall be used only for the purpose or purposes for which the impact fees were imposed, and according to the provisions under subsection (2) of this section. Only the secretary of transportation or the secretary's designee may authorize expenditures from the account. The account is subject to allotment procedures under chapter 43.88 RCW, but an appropriation is not required for expenditures.

Sec. 2   RCW 43.79A.040 and 2004 c 246 s 8 and 2004 c 58 s 10 are each reenacted and amended to read as follows:
     (1) Money in the treasurer's trust fund may be deposited, invested, and reinvested by the state treasurer in accordance with RCW 43.84.080 in the same manner and to the same extent as if the money were in the state treasury.
     (2) All income received from investment of the treasurer's trust fund shall be set aside in an account in the treasury trust fund to be known as the investment income account.
     (3) The investment income account may be utilized for the payment of purchased banking services on behalf of treasurer's trust funds including, but not limited to, depository, safekeeping, and disbursement functions for the state treasurer or affected state agencies. The investment income account is subject in all respects to chapter 43.88 RCW, but no appropriation is required for payments to financial institutions. Payments shall occur prior to distribution of earnings set forth in subsection (4) of this section.
     (4)(a) Monthly, the state treasurer shall distribute the earnings credited to the investment income account to the state general fund except under (b) and (c) of this subsection.
     (b) The following accounts and funds shall receive their proportionate share of earnings based upon each account's or fund's average daily balance for the period: The Washington promise scholarship account, the college savings program account, the Washington advanced college tuition payment program account, the agricultural local fund, the American Indian scholarship endowment fund, the students with dependents grant account, the basic health plan self-insurance reserve account, the contract harvesting revolving account, the Washington state combined fund drive account, the Washington international exchange scholarship endowment fund, the developmental disabilities endowment trust fund, the energy account, the fair fund, the fruit and vegetable inspection account, the future teachers conditional scholarship account, the game farm alternative account, the grain inspection revolving fund, the juvenile accountability incentive account, the law enforcement officers' and fire fighters' plan 2 expense fund, the local tourism promotion account, the produce railcar pool account, the rural rehabilitation account, the stadium and exhibition center account, the youth athletic facility account, the self-insurance revolving fund, the sulfur dioxide abatement account, the children's trust fund, the Washington horse racing commission Washington bred owners' bonus fund account, the Washington horse racing commission class C purse fund account, ((and)) the Washington horse racing commission operating account (earnings from the Washington horse racing commission operating account must be credited to the Washington horse racing commission class C purse fund account), and the transportation impact fee account. However, the earnings to be distributed shall first be reduced by the allocation to the state treasurer's service fund pursuant to RCW 43.08.190.
     (c) The following accounts and funds shall receive eighty percent of their proportionate share of earnings based upon each account's or fund's average daily balance for the period: The advanced right of way revolving fund, the advanced environmental mitigation revolving account, the city and county advance right-of-way revolving fund, the federal narcotics asset forfeitures account, the high occupancy vehicle account, the local rail service assistance account, and the miscellaneous transportation programs account.
     (5) In conformance with Article II, section 37 of the state Constitution, no trust accounts or funds shall be allocated earnings without the specific affirmative directive of this section.