"NEW SECTION.  Sec. 1   (1) The legislature finds that there is a large, unmet need for affordable housing in the state of Washington. The legislature declares that a decent, appropriate, and affordable home in a healthy, safe environment for every household should be a state goal. Furthermore, this goal includes increasing the percentage of households who are able to obtain and retain housing without government subsidies or other public support.
     (2) The legislature finds that there are many root causes of the affordable housing shortage and declares that it is critical that such causes be analyzed, effective solutions be developed, implemented, monitored, and evaluated, and that these causal factors be eliminated. The legislature also finds that there is a taxpayer and societal cost associated with a lack of good family-wage jobs that pay self-sufficiency standard wages and a shortage of affordable housing, and that the state must identify and quantify that cost.
     (3) The legislature finds that the support and commitment of all sectors of the statewide community is critical to accomplishing the state's affordable housing for all goal. The legislature finds that the provision of housing and housing-related services should be administered at the local level. However, the state should play a primary role in: Providing financial resources to achieve the goal at all levels of government; researching, evaluating, benchmarking, and implementing best practices; continually updating and evaluating statewide housing data; developing a state plan that integrates the strategies, goals, objectives, and performance measures of all other state housing plans and programs; coordinating and supporting county government plans and activities; and directing quality management practices by monitoring both state and county government performance towards achieving interim and ultimate goals.
     (4) The legislature declares that the systematic and comprehensive performance measurement and evaluation of progress toward interim goals and the immediate state affordable housing goal of a decent, appropriate, and affordable home in a healthy, safe environment for every household in the state by 2020 is a necessary component of the statewide effort to end the affordable housing crisis.

NEW SECTION.  Sec. 2   This chapter may be known and cited as the Washington affordable housing for all act.

NEW SECTION.  Sec. 3   There is created within the department the state affordable housing for all program, which shall be funded by the affordable housing for all program surcharge provided for in RCW 36.22.178 (as recodified by this act) and all other sources directed to the affordable housing for all program. The goal of the program is a decent, appropriate, and affordable home in a healthy, safe environment for every very low-income household in the state by 2020. A priority must be placed upon achieving this goal for extremely low-income households. This goal includes increasing the percentage of households who access housing that is affordable for their income or wage level without government assistance by increasing the number of previously very low-income households who achieve self-sufficiency and economic independence. The goal also includes implementing strategies to keep the rising cost of housing below the relative rise in wages. The department shall develop and administer the affordable housing for all program. In the development and implementation of the program, the department shall consider: The funding level, number of county staff available to implement the program, and competency of each county to meet the goals of the program; and establish program guidelines, performance measures, and reporting requirements appropriate to the existing capacity of the participating counties.

NEW SECTION.  Sec. 4   Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.
     (1) "Affordable housing" means residential housing, with monthly rental housing costs, including utilities other than telephone, which do not exceed thirty percent of the household's monthly income, that has a sales price within the means of a household that may occupy low, very low, and extremely low-income housing. The department shall adopt policies for residential homeownership housing, occupied by extremely low, very low, and low-income households, that specify the percentage of household income that may be spent on monthly housing costs, including utilities other than telephone, to qualify as affordable housing.
     (2) "Department" means the department of community, trade, and economic development.
     (3) "Director" means the director of the department of community, trade, and economic development.
     (4) "First-time home buyer" means an individual or his or her spouse who have not owned a home during the three-year period prior to purchase of a home.
     (5) "Nonprofit organization" means any public or private nonprofit organization that: (a) Is organized under federal, state, or local laws; (b) has no part of its net earnings inuring to the benefit of any member, founder, contributor, or individual; and (c) has among its purposes, significant activities related to the provision of decent housing that is affordable to extremely low-income, very low-income, low-income, or moderate-income households and special needs populations.
     (6) "Regulatory barriers to affordable housing" and "regulatory barriers" mean any public policies, including those embodied in statutes, ordinances, regulations, or administrative procedures or processes, required to be identified by the state, cities, towns, or counties in connection with strategies under section 105(b)(4) of the Cranston-Gonzalez national affordable housing act (42 U.S.C. Sec. 12701 et seq.).
     (7) "Affordable housing for all account" means the account in the custody of the state treasurer receiving the state's portion of income from the revenue of sources established by RCW 36.22.178 (as recodified by this act) and all other sources directed to the affordable housing for all program.
     (8) "Performance measurement" means the process of comparing specific measures of success with ultimate and interim goals.
     (9) "Performance evaluation" means the process of evaluating the performance by established objective, measurable criteria according to the achievement of outlined goals, measures, targets, standards, or other outcomes using a ranked scorecard from highest to lowest performance which employs a scale of one to one hundred, one hundred being the optimal score.
     (10) "Affordable housing for all program" means the program authorized under this chapter, utilizing the funding from the affordable housing for all program surcharge in RCW 36.22.178 (as recodified by this act), and all other sources directed to the affordable housing for all program, as administered by the department at the state level and by each county at the local level.
     (11) "State affordable housing for all plan" or "state plan" means the plan developed by the department in collaboration with the affordable housing advisory board with the goal of ensuring that every very low-income household in Washington has a decent, appropriate, and affordable home in a healthy, safe environment by 2020.
     (12) "Low-income household," for the purposes of the affordable housing for all program, means a single person, family, or unrelated persons living together whose adjusted income is less than eighty percent of the median household income, adjusted for household size for the county where the project is located.
     (13) "Very low-income household" means a single person, family, or unrelated persons living together whose adjusted income is less than fifty percent of the median family income, adjusted for household size for the county where the project is located.
     (14) "Extremely low-income household" means a single person, family, or unrelated persons living together whose adjusted income is less than thirty percent of the median family income, adjusted for household size for the county where the project is located.
     (15) "County" means a county government in the state of Washington or, except under RCW 36.22.178 (as recodified by this act), a city government or collaborative of city governments within that county if the county government declines to participate in the affordable housing program.
     (16) "Local government" means a county or city government in the state of Washington or, except under RCW 36.22.178 (as recodified by this act), a city government or collaborative of city governments within that county if the county government declines to participate in the affordable housing program.
     (17) "Authority" or "housing authority" means any of the public corporations created by RCW 35.82.030.
     (18) "Good family-wage job" means a job that pays at or above one of the two self-sufficiency income standards established under section 21 of this act which for an individual means enough income to support one adult individual, and for a family means enough income to support two adult individuals, one preschool-aged child, and one school-aged child.

Sec. 5   RCW 43.185B.040 and 1993 c 478 s 12 are each amended to read as follows:
     (1) The department shall, in consultation with the affordable housing advisory board created in RCW 43.185B.020, prepare and, from time to time, amend a ((five-year)) state affordable housing ((advisory)) for all plan. The state plan must incorporate strategies, objectives, goals, and performance measures, including those required for the state homeless housing strategic plan required under RCW 43.185C.040. The state affordable housing for all plan may be combined with the state homeless housing strategic plan required under RCW 43.185C.040 or any other existing state housing plan as long as the requirements of all of the plans to be merged are met.
     (2) The purpose of the state affordable housing for all plan is to:
     (a) Document the need for affordable housing in the state and the extent to which that need is being met through public and private sector programs((,));
     (b) Outline the development of sound strategies and programs to promote affordable housing;
     (c) Establish, evaluate, and report upon interim goals and timelines that are determined by the department and by which the state and counties may be measured;
     (d) Evaluate and report upon all counties' use of the affordable housing for all program surcharge funds provided for in RCW 36.22.178 (as recodified by this act) and all other sources directed to the counties' affordable housing for all programs;
     (e) Report upon how housing trust fund awards within the previous five-year period are consistent with the state plan and have contributed to the goal of the affordable housing for all program; and ((to))
     (f) Facilitate state and county government planning to meet the state affordable housing ((needs of the state, and to enable the development of sound strategies and programs for affordable housing)) for all goal.
     (3) The information in the ((five-year)) state affordable housing ((advisory)) for all plan must include:
     (a) An assessment of the state's housing market trends;
     (b) An assessment of the housing needs for ((all)) economic segments of the state by low-income, very low-income, and extremely low-income households and special needs populations, including a report on the number and percentage of additional affordable rental housing units that are needed statewide and in each county to house low-income, very low-income, and extremely low-income households;
     (c) An inventory of the supply and geographic distribution of affordable housing rental units made available through public and private sector programs;
     (d) A summary of the activities of all state housing programs, as well as all housing programs operated by or coordinated by city and county governments, including local housing-related levy initiatives, housing-related tax exemption programs, and federally funded programs operated or coordinated by the state or local governments;
     (e) A status report on the degree of progress made by the public and private sector toward meeting the housing needs of the state, including each county or city required by the United States department of housing and urban development to produce a consolidated plan, and any other city or county where information is readily available;
     (((e))) (f) An identification of state and local regulatory barriers to affordable housing and proposed regulatory and administrative techniques designed to remove barriers to the development and placement of affordable housing; ((and
     (f))) (g) An analysis, statewide and within each county and major city, of the primary contributors to the cost of housing and an outline of potential strategies to keep the increasing cost of housing below the relative rise in wages;
     (h) Specific recommendations, policies, or proposals for meeting the affordable housing needs of the state;
     (i) A report on the growth in the population of low-income, very low-income, and extremely low-income households statewide and for each county;
     (j) A determination of the cost to the state of the affordable housing shortage;
     (k) A report of any differences in the rates of inflation between median house prices, median rent for a two-bedroom apartment, and median family income for low-income, very low-income, and extremely low-income households; and
     (l) A summary of the recommendations of the affordable housing advisory board report as required in RCW 43.185B.030.
     (((2)(a))) (4) The ((five-year)) state affordable housing ((advisory)) for all plan required under ((subsection (1) of)) this section must be submitted to the appropriate committees of the legislature on or before ((February 1, 1994)) December 31, 2010, and subsequent updated plans must be submitted by December 31st every five years thereafter.
     (((b) Each February 1st, beginning February 1, 1995, the department shall submit an annual progress report, to the legislature, detailing the extent to which the state's affordable housing needs were met during the preceding year and recommendations for meeting those needs))
     (5) Based on changes to the general population and in the housing market, the department may revise the performance measures and goals of the state affordable housing for all plan and set goals for years following December 31, 2020.

NEW SECTION.  Sec. 6   (1) The department, in consultation with a task force established by the department consisting of representatives from the affordable housing advisory board, the chairs of the appropriate committees of the legislature, representatives appointed by the director from a minimum of five counties representing urban and rural areas as well as communities east and west of the Cascade mountains, representatives from private for-profit housing developers that have experience with low-income housing, and representatives from statewide housing advocacy organizations, shall create affordable housing for all program performance measures, goals, and outcomes addressing, at a minimum, the success of the state and each participating county in the following areas:
     (a) An overall measurement of the affordable housing needs met for extremely low, very low, and low-income households within each twelve-month period;
     (b) A measure of the change in the cost of housing relative to the change in wages;
     (c) A measure of the increase in affordable rental housing;
     (d) A measure of the increase in affordable homeownership housing;
     (e) A measure of community support for the state and county plans; and
     (f) A measure of county government financial support for the program within current funding resources.
     Measurement reporting must be subdivided by county or city where information is readily available through a consolidated plan or other housing plan, and yearly targets for these results must be included. Performance measures must be included in the department's state affordable housing for all plan and must be provided to the joint legislative audit and review committee.
     (2) Performance measures and yearly targets must be established by January 15, 2008, and must be reviewed annually by the department after soliciting feedback from all counties or cities required to provide recommendations to the legislature under section 12 of this act.
     (3) The task force described in subsection (1) of this section shall also determine additional specific information to be included in the state affordable housing for all plans, including data upon which the state must report.
     (4) The task force described in subsection (1) of this section must present legislative recommendations to the appropriate committees of the legislature regarding policies that may advance the state's affordable housing for all goal.

Sec. 7   RCW 36.22.178 and 2005 c 484 s 18 are each amended to read as follows:
     The surcharge provided for in this section shall be named the affordable housing for all program surcharge.
     (1) Except as provided in subsection (((2))) (3) of this section, a surcharge of ten dollars per instrument shall be charged by the county auditor for each document recorded, which will be in addition to any other charge authorized by law. The county may retain up to five percent of these funds collected solely for the collection, administration, and local distribution of these funds. Of the remaining funds, forty percent of the revenue generated through this surcharge will be transmitted monthly to the state treasurer who will deposit the funds into the ((Washington housing trust account)) affordable housing for all account created in section 8 of this act. ((The office of community development of the department of community, trade, and economic development will develop guidelines for the use of these funds to support)) The department of community, trade, and economic development must use these funds to provide housing and shelter for extremely low-income households, including but not limited to grants for building operation and maintenance costs of housing projects or units within housing projects that are affordable to extremely low-income ((persons)) households with incomes at or below thirty percent of the area median income, and that require a supplement to rent income to cover ongoing operating expenses.
     (2) All of the remaining funds generated by this surcharge will be retained by the county and be deposited into a fund that must be used by the county and its cities and towns for eligible housing ((projects or units within housing projects that are affordable to)) activities as described in this subsection that serve very low-income ((persons)) households with incomes at or below fifty percent of the area median income. The portion of the surcharge retained by a county shall be allocated to eligible housing activities that serve extremely low and very low-income ((housing projects or units within such housing projects)) households in the county and the cities within a county according to an interlocal agreement between the county and the cities within the county consistent with countywide and local housing needs and policies. ((The funds generated with this surcharge shall not be used for construction of new housing if at any time the vacancy rate for available low-income housing within the county rises above ten percent. The vacancy rate for each county shall be developed using the state low-income vacancy rate standard developed under subsection (3) of this section. Uses of)) A priority must be given to eligible housing activities that serve extremely low-income households with incomes at or below thirty percent of the area median income. Eligible housing activities to be funded by these ((local)) county funds are limited to:
     (a) Acquisition, construction, or rehabilitation of housing projects or units within housing projects that are affordable to very low-income ((persons)) households with incomes at or below fifty percent of the area median income, including units for homeownership, rental units, seasonal and permanent farm worker housing units, and single room occupancy units;
     (b) Supporting building operation and maintenance costs of housing projects or units within housing projects eligible to receive housing trust funds, that are affordable to very low-income ((persons)) households with incomes at or below fifty percent of the area median income, and that require a supplement to rent income to cover ongoing operating expenses;
     (c) Rental assistance vouchers for housing ((projects or)) units ((within housing projects)) that are affordable to very low-income ((persons)) households with incomes at or below fifty percent of the area median income, to be administered by a local public housing authority or other local organization that has an existing rental assistance voucher program, consistent with or similar to the United States department of housing and urban development's section 8 rental assistance voucher program standards. The department shall develop statewide guidelines for rental assistance programs by 2008, which must include, at a minimum, guidelines and related performance measures to ensure acceptable housing quality for voucher recipients, as well as tenant protections consistent with federal section 8 rental assistance voucher program standards; and
     (d) Operating costs for emergency shelters and licensed overnight youth shelters.
     (((2))) (3) The surcharge imposed in this section does not apply to assignments or substitutions of previously recorded deeds of trust.
     (((3) The real estate research center at Washington State University shall develop a vacancy rate standard for low-income housing in the state as described in RCW 18.85.540(1)(i)))
     (4) All counties shall report at least annually upon receipts and expenditures of the affordable housing for all program surcharge funds created in this section to the department. The department may require more frequent reports. The report must include the amount of funding generated by the surcharge, the total amount of funding distributed to date, the amount of funding allocated to each eligible housing activity, a description of each eligible housing activity funded, including information on the income or wage level and numbers of extremely low, very low, and low-income households the eligible housing activity is intended to serve, and the outcome or anticipated outcome of each eligible housing activity.

NEW SECTION.  Sec. 8   The affordable housing for all account is created in the custody of the state treasurer. The state's portion of the surcharges established in RCW 36.22.178 (as recodified by this act) shall be deposited in the account, as well as all other sources directed to the affordable housing for all program. Expenditures from the account may only be used for the affordable housing for all program under this chapter. Only the director or the director'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.

NEW SECTION.  Sec. 9   This chapter does not require either the department or any local government to expend any funds to accomplish the goals of this chapter other than the revenues authorized in this act and other revenue that may be appropriated by the legislature for these purposes. However, neither the department nor any local government may use any funds authorized in this act to supplant or reduce any existing expenditures of public money to address the affordable housing shortage.

NEW SECTION.  Sec. 10   (1) The joint legislative audit and review committee shall conduct an evaluation and comparison of the cost-efficiency of rental housing voucher programs funded within the last five years with state or local moneys versus other low-income housing projects funded within the last five years with state or local moneys that are intended to assist low-income households to obtain and retain affordable housing. The study must consider factors including administrative costs, capital costs, and other operating costs involved in the implementation and management of rental housing voucher programs. The study must include a detailed summary of the specific number of low-income households served and compare the number of households that have been served, given a set amount of available funds, through rental housing voucher programs funded with state or local moneys with other housing projects funded with state or local moneys, including new construction and rehabilitation of housing units. The study must also include a detailed accounting of the funds provided to rental housing voucher programs and low-income housing projects and include a summary of the specific number of new housing units constructed and rehabilitated and a summary detailing how the funds allocated to rental housing voucher programs and low-income housing projects have been used to increase the supply and availability of affordable housing. The department of community, trade, and economic development, the Washington state housing finance commission, housing authorities, community action agencies, and local governments shall provide the joint legislative audit and review committee with information necessary for the evaluation study.
     (2) The joint legislative audit and review committee shall solicit input regarding the study from interested parties, including representatives from the affordable housing advisory board, the department of community, trade, and economic development, the Washington state housing finance commission, representatives from the private rental housing industry, housing authorities, community action agencies, county and city governments, and nonprofit and for-profit housing developers.
     (3) The joint legislative audit and review committee shall present the results of this study to the appropriate committees of the legislature by December 31, 2008.
     (4) This section expires December 31, 2008.

NEW SECTION.  Sec. 11   (1) The joint legislative audit and review committee shall conduct a performance audit of the state affordable housing for all program every five years. The audit must include an analysis of the department's expenditures of funds from sources established by RCW 36.22.178 (as recodified by this act) and all other sources directed to the affordable housing for all program. The first audit must be conducted by December 31, 2010. Each audit must take no longer than six months or no more than fifty thousand dollars to complete.
     (2) The joint legislative audit and review committee shall inventory all state department and agency housing-related services and programs provided to extremely low, very low, and low-income persons needing housing assistance and shall conduct a performance audit of each state department and agency's housing programs by December 31, 2010.

NEW SECTION.  Sec. 12   (1) The department, the Washington state housing finance commission, the affordable housing advisory board, and all county governments, housing authorities, and other nonprofit organizations receiving state funds, county affordable housing for all surcharge funds, county homeless housing surcharge funds as authorized in RCW 36.22.179 (as recodified by this act), or financing through the housing finance commission shall, by December 31, 2007, and annually thereafter, review current housing reporting requirements related to housing programs and services and give recommendations to the legislature to streamline and simplify all planning and reporting requirements. The entities listed in this section shall also give recommendations for additional legislative actions that could promote the affordable housing for all goal.
     (2) The department shall collaborate with the Washington state housing finance commission and representatives from statewide organizations representing counties, cities, housing authorities, nonprofit groups involved in affordable housing, and other interested parties, to create a strategy to streamline and, when possible, consolidate state, city, town, and county reporting requirements to address the inefficiencies associated with multiple reporting requirements. The department shall present the strategy to the appropriate committees of the legislature by December 31, 2007.

Sec. 13   RCW 43.63A.650 and 1999 c 267 s 3 are each amended to read as follows:
     (1) The department shall be the principal state department responsible for coordinating federal and state resources and activities in housing, except for programs administered by the Washington state housing finance commission under chapter 43.180 RCW, and for evaluating the operations and accomplishments of other state departments and agencies as they affect housing, except for programs administered by the Washington state housing finance commission under chapter 43.180 RCW.
     (2) The department shall work with ((local governments)) cities, towns, counties, tribal organizations, local housing authorities, nonprofit community or neighborhood-based organizations, and regional or statewide nonprofit housing assistance organizations, for the purpose of coordinating federal and state resources with local resources for housing.
     (3) The department shall be the principal state department responsible for providing shelter and housing services to homeless families with children. The department shall have the principal responsibility to coordinate, plan, and oversee the state's activities for developing a coordinated and comprehensive plan to serve homeless families with children. The plan shall be developed collaboratively with the department of social and health services. The department shall include community organizations involved in the delivery of services to homeless families with children, and experts in the development and ongoing evaluation of the plan. The department shall follow professionally recognized standards and procedures. The plan shall be implemented within amounts appropriated by the legislature for that specific purpose in the operating and capital budgets. The department shall submit the plan to the appropriate committees of the senate and house of representatives no later than September 1, 1999, and shall update the plan and submit it to the appropriate committees of the legislature by January 1st of every odd-numbered year through 2007. The plan shall address at least the following: (a) The need for prevention assistance; (b) the need for emergency shelter; (c) the need for transitional assistance to aid families into permanent housing; (d) the need for linking services with shelter or housing; and (e) the need for ongoing monitoring of the efficiency and effectiveness of the plan's design and implementation.

Sec. 14   RCW 43.185C.005 and 2005 c 484 s 1 are each amended to read as follows:
     Despite laudable efforts by all levels of government, private individuals, nonprofit organizations, and charitable foundations to end homelessness, the number of homeless persons in Washington is unacceptably high. The state's homeless population, furthermore, includes a large number of families with children, youth, and employed persons. The legislature finds that the fiscal and societal costs of homelessness are high for both the public and private sectors, and that ending homelessness ((should)) must be a goal for state and local government.
     The legislature finds that there are many causes of homelessness, including a shortage of affordable housing; a shortage of good family-wage jobs which undermines housing affordability; a lack of an accessible and affordable health care system available to all who suffer from physical and mental illnesses and chemical and alcohol dependency; domestic violence; ((and)) a lack of education and job skills necessary to acquire adequate wage jobs in the economy of the twenty-first century; inadequate availability of services for citizens with mental illness and developmental disabilities living in the community; and the difficulties faced by formerly institutionalized persons in reintegrating to society and finding stable employment and housing.
     The support and commitment of all sectors of the statewide community is critical to the chances of success in ending homelessness in Washington. While the provision of housing and housing-related services to the homeless should be administered at the local level to best address specific community needs, the legislature also recognizes the need for the state to play a primary coordinating, supporting, ((and)) monitoring, and evaluating role. There must be a clear assignment of responsibilities and a clear statement of achievable and quantifiable goals. Systematic statewide data collection on ((homelessness)) homeless individuals in Washington must be a critical component of such a program enabling the state to work with local governments not only to count all homeless people in the state, but to record and manage information about homeless persons ((and)) in order to assist them in finding housing and other supportive services that can help them, when possible, achieve the highest degree of self-sufficiency and economic independence that is appropriate given their specific abilities and situations.
     The systematic collection and rigorous evaluation of homeless data, a nationwide search for and implementation through adequate resource allocation of best practices, and the systematic measurement of progress toward interim goals and the ultimate goal of ending homelessness are all necessary components of a statewide effort to end homelessness in Washington by July 1, 2015.

Sec. 15   RCW 43.185C.040 and 2005 c 484 s 7 are each amended to read as follows:
     (1) ((Six months after the first Washington homeless census,)) The department shall, in consultation with the interagency council on homelessness, the state advisory council on homelessness, and the affordable housing advisory board, prepare and ((publish a ten-year homeless housing)) annually update a state homeless housing strategic plan which ((shall)) must outline statewide goals and performance measures ((and shall be coordinated with the plan for homeless families with children required under RCW 43.63A.650. To guide local governments in preparation of their first local homeless housing plans due December 31, 2005, the department shall issue by October 15, 2005, temporary guidelines consistent with this chapter and including the best available data on each community's homeless population)). Local governments' ((ten-year homeless housing)) homeless housing plans ((shall not)) must include all of the performance measures included in the state homeless housing strategic plan and must be substantially ((inconsistent)) consistent with the goals and program recommendations of ((the temporary guidelines and, when amended after 2005,)) the state homeless housing strategic plan.
     (2)(a) Program outcomes and performance measures and goals ((shall)) must be created by the department ((and reflected)) in consultation with the interagency council on homelessness and a task force established by the department consisting of the committee chairs of the appropriate committees of the legislature, representatives appointed by the director from a minimum of five local homeless housing task forces representing both urban and rural areas and communities east and west of the Cascade mountains, and a representative from a statewide membership organization that advocates for ending homelessness. The task force may be the same as the task force described in section 6(1) of this act. The task force must produce guidelines for local governments regarding methods, techniques, and data suggested to measure each performance measure. Performance measures, yearly targets, and corresponding measurement guidelines must be established by December 31, 2007, and must be reviewed annually by the department and the interagency council on homelessness after soliciting feedback from all local homeless housing task forces. Performance measures must be included in the department's ((homeless housing)) state homeless housing strategic plan ((as well as)) and all local homeless housing plans.
     (b) The department may determine a timeline for implementation and measurement of each performance measure for the state and local homeless housing plans, except that the state and all local governments must implement and respond to all performance measures by December 31, 2009, unless the department finds that a performance measure is not applicable to a specific local area according to parameters and thresholds established by the department.
     (c) Performance measures must be created, at a minimum, to gauge the success of the state and each local government in the following areas:
     (i) The societal cost of homelessness;
     (ii) The cost of ending homelessness in comparison with available and committed resources;
     (iii) The self-sufficiency of persons in Washington;
     (iv) The achievement of an appropriate level of self-sufficiency for homeless individuals;
     (v) The quality and completeness of the Washington homeless client management information system database;
     (vi) The quality of the performance management systems of state agencies, local governments, and local government subcontractors executing programs, as authorized by RCW 43.185C.080(1), that contribute to the overall goal of ending homelessness; and
     (vii) The quality of local homeless housing plans.
     Performance measurements are reported upon by city and county geography, including demographics with yearly or more frequent targets.
     (3) Interim goals against which state and local governments' performance may be measured must also be described and reported upon in the state homeless housing strategic plan, including:
     (a) ((By the end of year one, completion of the first census as described in RCW 43.185C.030;
     (b))) By the end of each subsequent year, goals common to all state and local programs which are measurable and the achievement of which would move that community toward housing its homeless population; and
     (((c))) (b) By July 1, 2015, reduction of the homeless population statewide and in each county by fifty percent.
     (((3))) (4) The department shall develop a consistent statewide data gathering instrument to monitor the performance of cities and counties receiving homeless housing grants in order to determine compliance with the terms and conditions set forth in the homeless housing grant application or required by the department.
     (5) The department shall, in consultation with the interagency council on homelessness, the state advisory council on homelessness, and the affordable housing advisory board, report annually to the governor and the appropriate committees of the legislature ((an assessment of)) the fiscal and societal costs of the homeless crisis, including identifying, to the extent practical, savings in state and local program costs that could be obtained through the achievement of stable housing for the clients served by those programs.
     (6) The department shall also deliver a summary annual report, including information about:
     (a) All state programs addressing homeless housing and services;
     (b) The state's performance in furthering the goals of the state ((ten-year)) homeless housing strategic plan; and
     (c) The performance of each participating local government in creating and executing a local homeless housing plan ((which)) that meets the requirements of this chapter. ((The annual report may include performance measures such as:
     (a) The reduction in the number of homeless individuals and families from the initial count of homeless persons;
     (b) The number of new units available and affordable for homeless families by housing type;
     (c) The number of homeless individuals identified who are not offered suitable housing within thirty days of their request or identification as homeless;
     (d) The number of households at risk of losing housing who maintain it due to a preventive intervention;
     (e) The transition time from homelessness to permanent housing;
     (f) The cost per person housed at each level of the housing continuum;
     (g) The ability to successfully collect data and report performance;
     (h) The extent of collaboration and coordination among public bodies, as well as community stakeholders, and the level of community support and participation;
     (i) The quality and safety of housing provided; and
     (j) The effectiveness of outreach to homeless persons, and their satisfaction with the program.
     (4))) (7) The state homeless housing plan must also include a response to each recommendation included in the local homeless housing plans for policy changes to assist in ending homelessness and a summary of the recommendations to the legislature to streamline and simplify all housing planning and reporting requirements, as required in section 12 of this act.
     (8) Based on the performance of local homeless housing programs in meeting their interim goals, on general population changes and on changes in the homeless population recorded in the ((annual)) census, the department may revise the performance measures and goals of the state homeless housing strategic plans, set goals for years following the initial ten-year period, and recommend changes in local governments' homeless housing plans.

Sec. 16   RCW 43.185C.050 and 2005 c 484 s 8 are each amended to read as follows:
     (1)(a)(i) Each local homeless housing task force shall prepare and recommend to its local government legislative authority a ((ten-year)) local homeless housing plan for its jurisdictional area ((which shall be not inconsistent)) that is consistent with the department's ((statewide temporary guidelines, for the December 31, 2005, plan, and thereafter the department's ten-year homeless housing)) state homeless housing strategic plan and ((which shall be)) is aimed at eliminating homelessness, with a minimum goal of reducing homelessness by fifty percent by July 1, 2015. ((The local government may amend the proposed local plan and shall adopt a plan by December 31, 2005. Performance in meeting the goals of this local plan shall be assessed annually in terms of the performance measures published by the department.))
     (ii) Local plans must include specific strategic objectives, consistent with the state plan, and must include corresponding action plans. Local plans must address identified strategies to meet the needs of all homeless populations, including chronic homeless, short-term homeless, families, individuals, and youth. Each local plan must include the total estimated cost of accomplishing the goals of the plan to reduce homelessness by fifty percent by July 1, 2015, and must include an accounting of total committed funds for this purpose.
     (b)(i) The department must conduct an annual performance evaluation of each local plan by December 31st of each year beginning in 2007. The department must also conduct an annual performance evaluation of each local government's performance related to its local plan by December 31st of each year beginning in 2007. A local government's performance must be evaluated using, at a minimum, the performance measures outlined in RCW 43.185C.040(2).
     (ii) In addition to the performance measures mandated in RCW 43.185C.040(2), local plans may include specific local performance measures adopted by the local government legislative authority((,)) and ((may)) must include recommendations for ((any)) state legislation needed to meet the state or local plan goals. The recommendations must be specific and must, if funding is required, include an estimated amount of funding required and suggestions for an appropriate funding source.
     (2) Eligible activities under the local plans include:
     (a) Rental and furnishing of dwelling units for the use of homeless persons;
     (b) Costs of developing affordable housing for homeless persons, and services for formerly homeless individuals and families residing in transitional housing or permanent housing and still at risk of homelessness;
     (c) Operating subsidies for transitional housing or permanent housing serving formerly homeless families or individuals;
     (d) Services to prevent homelessness, such as emergency eviction prevention programs, including temporary rental subsidies to prevent homelessness;
     (e) Temporary services to assist persons leaving state institutions and other state programs to prevent them from becoming or remaining homeless;
     (f) Outreach services for homeless individuals and families;
     (g) Development and management of local homeless housing plans, including homeless census data collection((;)) and information, identification of goals, performance measures, strategies, and costs, and evaluation of progress towards established goals;
     (h) Rental vouchers payable to landlords for persons who are homeless or below thirty percent of the median income or in immediate danger of becoming homeless; ((and))
     (i) Implementing a quality management program and applying to the full examination Washington state quality award program; and
     (j) Other activities to reduce and prevent homelessness as identified for funding in the local plan.

Sec. 17   RCW 43.185C.080 and 2005 c 484 s 12 are each amended to read as follows:
     (1) ((Only a local government is eligible to receive a homeless housing grant from the homeless housing account. Any city may assert responsibility for homeless housing within its borders if it so chooses, by forwarding a resolution to the legislative authority of the county stating its intention and its commitment to operate a separate homeless housing program. The city shall then receive a percentage of the surcharge assessed under RCW 36.22.179 equal to the percentage of the city's local portion of the real estate excise tax collected by the county. A participating city may also then apply separately for homeless housing program grants. A city choosing to operate a separate homeless housing program shall be responsible for complying with all of the same requirements as counties and shall adopt a local homeless housing plan meeting the requirements of this chapter for county local plans. However, the city may by resolution of its legislative authority accept the county's homeless housing task force as its own and based on that task force's recommendations adopt a homeless housing plan specific to the city.
     (2))) Local governments ((applying for homeless housing funds)) may subcontract with any other local government, housing authority, community action agency, or other nonprofit organization for the execution of programs contributing to the overall goal of ending homelessness within a defined service area. All subcontracts ((shall)) must be consistent with the local homeless housing plan adopted by the legislative authority of the local government, time limited, and filed with the department, and ((shall)) must have specific performance terms. Local governments must strongly encourage all subcontractors under the homeless housing and assistance program to apply to the full examination Washington state quality award program. While a local government has the authority to subcontract with other entities, the local government continues to maintain the ultimate responsibility for the homeless housing program within its ((borders)) jurisdiction.
     (((3))) (2) A county may decline to participate in the homeless housing program authorized in this chapter by forwarding to the department a resolution adopted by the county legislative authority stating the intention not to participate. A copy of the resolution ((shall)) must also be transmitted to the county auditor and treasurer. If ((such a)) the resolution is adopted, all of the funds otherwise due to the county under RCW ((43.185C.060 shall)) 36.22.179 (as recodified by this act) and section 20 of this act, minus funds due to any city that has chosen to participate through the process established in subsection (3) of this section, must be remitted monthly to the state treasurer for deposit in the ((homeless housing)) home security fund account, without any reduction by the county for collecting or administering the funds. Upon receipt of the resolution, the department shall promptly begin to identify and contract with one or more entities eligible under this section to create and execute a local homeless housing plan for the county meeting the requirements of this chapter. The department shall expend all of the funds received from the county under this subsection to carry out the purposes of this chapter ((484, Laws of 2005)) in the county, ((provided that)) but the department may retain six percent of these funds to offset the cost of managing the county's program.
     (3) Any city may assert responsibility for homeless housing within its borders, by forwarding a resolution to the legislative authority of the county stating its intention and its commitment to operate a separate homeless housing program. A city choosing to operate a separate homeless housing program receives a percentage of the surcharge assessed under RCW 36.22.179 (as recodified by this act) and under section 20 of this act equal to the percentage of the city's local portion of the real estate excise tax collected by the county. A participating city may also then apply separately for homeless housing grants. A city choosing to operate a separate homeless housing program must comply with all of the same requirements as counties and shall adopt a local homeless housing plan meeting the requirements of this chapter for local homeless housing plans.
     (4) A resolution by the county declining to participate in the program ((shall have)) has no effect on the ((ability)) authority of each city in the county to assert its right to manage its own program under this chapter, and the county shall monthly transmit to ((the)) any such city the funds due under ((this chapter)) RCW 36.22.179 (as recodified by this act) and section 20 of this act.

Sec. 18   RCW 43.185C.160 and 2005 c 485 s 1 are each amended to read as follows:
     (1) Each county shall create a homeless housing task force to develop a ((ten-year)) homeless housing plan addressing short-term and long-term services and housing ((for homeless persons)) to prevent and reduce homelessness by fifty percent by 2015.
     Membership on the task force may include representatives of the counties, cities, towns, housing authorities, civic and faith organizations, schools, community networks, human services providers, law enforcement personnel, criminal justice personnel, including prosecutors, probation officers, and jail administrators, substance abuse treatment providers, mental health care providers, emergency health care providers, businesses, at-large representatives of the community, and a homeless or formerly homeless individual.
     In lieu of creating a new task force, a local government may designate an existing governmental or nonprofit body ((which)) that substantially conforms to this section and ((which)) includes at least one homeless or formerly homeless individual to serve as its homeless representative. As an alternative to a separate plan, two or more local governments may work in concert to develop and execute a joint homeless housing plan, or to contract with another entity to do so according to the requirements of this chapter. While a local government has the authority to subcontract with other entities, the local government continues to maintain the ultimate responsibility for the homeless housing program within its borders.
     ((A county may decline to participate in the program authorized in this chapter by forwarding to the department a resolution adopted by the county legislative authority stating the intention not to participate. A copy of the resolution shall also be transmitted to the county auditor and treasurer. If a county declines to participate, the department shall create and execute a local homeless housing plan for the county meeting the requirements of this chapter.))
     (2) In addition to developing a ((ten-year)) homeless housing plan, each task force shall establish guidelines consistent with the ((statewide)) state homeless housing strategic plan, as needed, for the following:
     (a) Emergency shelters;
     (b) Short-term housing needs;
     (c) Temporary encampments;
     (d) Rental voucher programs;
     (e) Supportive housing for chronically homeless persons; ((and
     (e))) (f) Long-term housing; and
     (g) Prevention services.
     Guidelines must include, when appropriate, standards for health and safety and notifying the public of proposed facilities to house the homeless.
     (3) Each county((, including counties exempted from creating a new task force under subsection (1) of this section,)) shall report to the department of community, trade, and economic development ((such)) any information ((as may be)) needed to ensure compliance with this chapter.

Sec. 19   RCW 36.22.179 and 2005 c 484 s 9 are each amended to read as follows:
     (1) In addition to the surcharge authorized in RCW 36.22.178 (as recodified by this act), and except as provided in subsection (2) of this section, an additional surcharge of ten dollars shall be charged by the county auditor for each document recorded, which will be in addition to any other charge allowed by law. The funds collected pursuant to this section are to be distributed and used as follows:
     (a) The auditor shall retain two percent for collection of the fee, and of the remainder shall remit sixty percent to the county to be deposited into a fund that must be used by the county and its cities and towns to accomplish the purposes of this chapter ((484, Laws of 2005)), six percent of which may be used by the county for administrative costs related to its homeless housing plan, and the remainder for programs which directly accomplish the goals of the county's local homeless housing plan, except that for each city in the county which elects as authorized in RCW 43.185C.080 to operate its own local homeless housing program, a percentage of the surcharge assessed under this section equal to the percentage of the city's local portion of the real estate excise tax collected by the county shall be transmitted at least quarterly to the city treasurer, without any deduction for county administrative costs, for use by the city for program costs which directly contribute to the goals of the city's local homeless housing plan; of the funds received by the city, it may use six percent for administrative costs for its homeless housing program.
     (b) The auditor shall remit the remaining funds to the state treasurer for deposit in the ((homeless housing)) home security fund account. The department may use twelve and one-half percent of this amount for administration of the program established in RCW 43.185C.020, including the costs of creating the statewide homeless housing strategic plan, measuring performance, providing technical assistance to local governments, and managing the homeless housing grant program. The remaining eighty-seven and one-half percent is to be ((distributed by the department to local governments through the homeless housing grant program)) used by the department to:
     (i) Provide housing and shelter for homeless people including, but not limited to: Grants to operate, repair, and staff shelters; grants to operate transitional housing; partial payments for rental assistance; consolidated emergency assistance; overnight youth shelters; and emergency shelter assistance; and
     (ii) Fund the homeless housing grant program.
     (2) The surcharge imposed in this section does not apply to assignments or substitutions of previously recorded deeds of trust.

NEW SECTION.  Sec. 20   A new section is added to chapter 43.185C RCW to read as follows:
     (1) In addition to the surcharges authorized in RCW 36.22.178 and 36.22.179 (as recodified by this act), and except as provided in subsection (2) of this section, the county auditor shall charge an additional surcharge of eight dollars for each document recorded, which is in addition to any other charge allowed by law. The funds collected under this section are to be distributed and used as follows:
     (a) The auditor shall remit ninety percent to the county to be deposited into a fund six percent of which may be used by the county for administrative costs related to its homeless housing plan, and the remainder for programs that directly accomplish the goals of the county's local homeless housing plan, except that for each city in the county that elects, as authorized in RCW 43.185C.080(3), to operate its own homeless housing program, a percentage of the surcharge assessed under this section equal to the percentage of the city's local portion of the real estate excise tax collected by the county must be transmitted at least quarterly to the city treasurer for use by the city for program costs that directly contribute to the goals of the city's homeless housing plan.
     (b) The auditor shall remit the remaining funds to the state treasurer for deposit in the home security fund account. The department may use the funds for administering the program established in RCW 43.185C.020, including the costs of creating and updating the statewide homeless housing strategic plan, implementing and managing the Washington homeless client management information system established in RCW 43.185C.180, measuring performance, providing technical assistance to local governments, and managing the homeless housing grant program. Remaining funds may also be used to:
     (i) Fund the creation of two self-sufficiency income standards established under section 21 of this act;
     (ii) Provide housing and shelter for homeless people including, but not limited to: Grants to operate, repair, and staff shelters; grants to operate transitional housing; partial payments for rental assistance; consolidated emergency assistance; overnight youth shelters; and emergency shelter assistance; and
     (iii) Fund the homeless housing grant program.
     (2) The surcharge imposed in this section does not apply to assignments or substitutions of previously recorded deeds of trust.

NEW SECTION.  Sec. 21   A new section is added to chapter 43.185C RCW to read as follows:
     The department shall contract with the employment security department to annually establish two self-sufficiency income standards based upon the cost of living, including housing costs, which include mortgage or rent payments and utilities other than telephone, for each county in the state. The self-sufficiency income standards must be based upon the costs needed to support: (1) One adult individual; and (2) two adult individuals and one preschool-aged child and one school-aged child. These income standards will be translated into an equivalent hourly wage rate assuming one full-year, full-time earner for the self-sufficiency income standards for each county. The self-sufficiency income standards must be presented to the legislature by December 31, 2008. The employment security department must spend no more than one hundred ten thousand dollars in creating the initial self-sufficiency income standards and no more than fifty-five thousand dollars annually to update the standards. The employment security department shall deliver a report to the department and the appropriate committees of the legislature that details the number and percentage of individuals statewide and in each county who do not have a good family wage job and, as a result, earn less than the self-sufficiency income standards, as well as the number and percentage of individuals statewide and in each county who have a good family wage job and, as a result, earn an amount equivalent to or more than the self-sufficiency income standards.

NEW SECTION.  Sec. 22   A new section is added to chapter 43.185C RCW to read as follows:
     The joint legislative audit and review committee shall conduct a performance audit of the homeless housing and assistance program every four years. The first audit must be conducted by December 31, 2009. Each audit must take no longer than six months or fifty thousand dollars to complete.

Sec. 23   RCW 36.18.010 and 2005 c 484 s 19 and 2005 c 374 s 1 are each reenacted and amended to read as follows:
     County auditors or recording officers shall collect the following fees for their official services:
     (1) For recording instruments, for the first page eight and one-half by fourteen inches or less, five dollars; for each additional page eight and one-half by fourteen inches or less, one dollar. The fee for recording multiple transactions contained in one instrument will be calculated for each transaction requiring separate indexing as required under RCW 65.04.050 as follows: The fee for each title or transaction is the same fee as the first page of any additional recorded document; the fee for additional pages is the same fee as for any additional pages for any recorded document; the fee for the additional pages may be collected only once and may not be collected for each title or transaction;
     (2) For preparing and certifying copies, for the first page eight and one-half by fourteen inches or less, three dollars; for each additional page eight and one-half by fourteen inches or less, one dollar;
     (3) For preparing noncertified copies, for each page eight and one-half by fourteen inches or less, one dollar;
     (4) For administering an oath or taking an affidavit, with or without seal, two dollars;
     (5) For issuing a marriage license, eight dollars, (this fee includes taking necessary affidavits, filing returns, indexing, and transmittal of a record of the marriage to the state registrar of vital statistics) plus an additional five-dollar fee for use and support of the prevention of child abuse and neglect activities to be transmitted monthly to the state treasurer and deposited in the state general fund plus an additional ten-dollar fee to be transmitted monthly to the state treasurer and deposited in the state general fund. The legislature intends to appropriate an amount at least equal to the revenue generated by this fee for the purposes of the displaced homemaker act, chapter 28B.04 RCW;
     (6) For searching records per hour, eight dollars;
     (7) For recording plats, fifty cents for each lot except cemetery plats for which the charge shall be twenty-five cents per lot; also one dollar for each acknowledgment, dedication, and description: PROVIDED, That there shall be a minimum fee of twenty-five dollars per plat;
     (8) For recording of miscellaneous records not listed above, for the first page eight and one-half by fourteen inches or less, five dollars; for each additional page eight and one-half by fourteen inches or less, one dollar;
     (9) For modernization and improvement of the recording and indexing system, a surcharge as provided in RCW 36.22.170;
     (10) For recording an emergency nonstandard document as provided in RCW 65.04.047, fifty dollars, in addition to all other applicable recording fees;
     (11) For recording instruments, a surcharge as provided in RCW 36.22.178 (as recodified by this act); ((and
     [(12)])) (12) For recording instruments, except for documents recording a birth, marriage, divorce, or death or any documents otherwise exempted from a recording fee under state law, a surcharge as provided in RCW 36.22.179 (as recodified by this act); and
     (13) For recording instruments, except for documents recorded by the department of revenue, the department of labor and industries, and the employment security department and for documents recording a birth, marriage, divorce, or death or any documents otherwise exempted from a recording fee under state law, a surcharge as provided in section 20 of this act.

Sec. 24   RCW 43.185C.150 and 2005 c 484 s 21 are each amended to read as follows:
     This chapter does not require either the department or any local government to expend any funds to accomplish the goals of this chapter other than the revenues authorized in ((chapter 484, Laws of 2005)) RCW 36.22.179 (as recodified by this act) and the revenues authorized in section 20 of this act. However, neither the department nor any local government may use any funds authorized in ((chapter 484, Laws of 2005)) RCW 36.22.179 (as recodified by this act) or the revenues authorized in section 20 of this act to supplant or reduce any existing expenditures of public money for the reduction or prevention of homelessness or services for homeless persons. Any costs associated with any new planning, evaluating, and reporting requirements of the department for the homeless housing and assistance program included in this chapter shall not be funded by the document recording fee surcharges authorized by RCW 36.22.178 and 36.22.179 (as recodified by this act).

Sec. 25   RCW 43.185C.060 and 2005 c 484 s 10 are each amended to read as follows:
     The ((homeless housing)) home security fund account is created in the custody of the state treasurer. The state's portion of the surcharge established in RCW 36.22.179 (as recodified by this act) and section 20 of this act must be deposited in the account. Expenditures from the account may be used only for the homeless housing program as described in this chapter. Only the director or the director'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. 26   RCW 36.70A.070 and 2005 c 360 s 2 are each amended to read as follows:
     The comprehensive plan of a county or city that is required or chooses to plan under RCW 36.70A.040 shall consist of a map or maps, and descriptive text covering objectives, principles, and standards used to develop the comprehensive plan. The plan shall be an internally consistent document and all elements shall be consistent with the future land use map. A comprehensive plan shall be adopted and amended with public participation as provided in RCW 36.70A.140.
     Each comprehensive plan shall include a plan, scheme, or design for each of the following:
     (1) A land use element designating the proposed general distribution and general location and extent of the uses of land, where appropriate, for agriculture, timber production, housing, commerce, industry, recreation, open spaces, general aviation airports, public utilities, public facilities, and other land uses. The land use element shall include population densities, building intensities, and estimates of future population growth. The land use element shall designate, as appropriate, a sufficient quantity of land needed for residential, commercial, and industrial uses. The land use element shall provide for protection of the quality and quantity of ground water used for public water supplies. Wherever possible, the land use element should consider utilizing urban planning approaches that promote physical activity. Where applicable, the land use element shall review drainage, flooding, and storm water run-off in the area and nearby jurisdictions and provide guidance for corrective actions to mitigate or cleanse those discharges that pollute waters of the state, including Puget Sound or waters entering Puget Sound.
     (2) A housing element ensuring the vitality and character of established residential neighborhoods that: (a) Includes an inventory and analysis of existing and projected housing needs that identifies the number of housing units necessary to ((manage)) accommodate projected growth; (b) includes a statement of goals, policies, objectives, and mandatory provisions for the preservation, improvement, and development of housing, including single-family residences; (c) identifies a sufficient quantity of land suitable for meeting the existing and projected housing needs identified in (a) of this subsection, including, but not limited to, government-assisted housing, housing for low-income families, manufactured housing, multifamily housing, and group homes and foster care facilities; and (d) makes adequate provisions for existing and projected needs of all economic segments of the community.
     (3) A capital facilities plan element consisting of: (a) An inventory of existing capital facilities owned by public entities, showing the locations and capacities of the capital facilities; (b) a forecast of the future needs for such capital facilities; (c) the proposed locations and capacities of expanded or new capital facilities; (d) at least a six-year plan that will finance such capital facilities within projected funding capacities and clearly identifies sources of public money for such purposes; and (e) a requirement to reassess the land use element if probable funding falls short of meeting existing needs and to ensure that the land use element, capital facilities plan element, and financing plan within the capital facilities plan element are coordinated and consistent. Park and recreation facilities shall be included in the capital facilities plan element.
     (4) A utilities element consisting of the general location, proposed location, and capacity of all existing and proposed utilities, including, but not limited to, electrical lines, telecommunication lines, and natural gas lines.
     (5) Rural element. Counties shall include a rural element including lands that are not designated for urban growth, agriculture, forest, or mineral resources. The following provisions shall apply to the rural element:
     (a) Growth management act goals and local circumstances. Because circumstances vary from county to county, in establishing patterns of rural densities and uses, a county may consider local circumstances, but shall develop a written record explaining how the rural element harmonizes the planning goals in RCW 36.70A.020 and meets the requirements of this chapter.
     (b) Rural development. The rural element shall permit rural development, forestry, and agriculture in rural areas. The rural element shall provide for a variety of rural densities, uses, essential public facilities, and rural governmental services needed to serve the permitted densities and uses. To achieve a variety of rural densities and uses, counties may provide for clustering, density transfer, design guidelines, conservation easements, and other innovative techniques that will accommodate appropriate rural densities and uses that are not characterized by urban growth and that are consistent with rural character.
     (c) Measures governing rural development. The rural element shall include measures that apply to rural development and protect the rural character of the area, as established by the county, by:
     (i) Containing or otherwise controlling rural development;
     (ii) Assuring visual compatibility of rural development with the surrounding rural area;
     (iii) Reducing the inappropriate conversion of undeveloped land into sprawling, low-density development in the rural area;
     (iv) Protecting critical areas, as provided in RCW 36.70A.060, and surface water and ground water resources; and
     (v) Protecting against conflicts with the use of agricultural, forest, and mineral resource lands designated under RCW 36.70A.170.
     (d) Limited areas of more intensive rural development. Subject to the requirements of this subsection and except as otherwise specifically provided in this subsection (5)(d), the rural element may allow for limited areas of more intensive rural development, including necessary public facilities and public services to serve the limited area as follows:
     (i) Rural development consisting of the infill, development, or redevelopment of existing commercial, industrial, residential, or mixed-use areas, whether characterized as shoreline development, villages, hamlets, rural activity centers, or crossroads developments.
     (A) A commercial, industrial, residential, shoreline, or mixed-use area shall be subject to the requirements of (d)(iv) of this subsection, but shall not be subject to the requirements of (c)(ii) and (iii) of this subsection.
     (B) Any development or redevelopment other than an industrial area or an industrial use within a mixed-use area or an industrial area under this subsection (5)(d)(i) must be principally designed to serve the existing and projected rural population.
     (C) Any development or redevelopment in terms of building size, scale, use, or intensity shall be consistent with the character of the existing areas. Development and redevelopment may include changes in use from vacant land or a previously existing use so long as the new use conforms to the requirements of this subsection (5);
     (ii) The intensification of development on lots containing, or new development of, small-scale recreational or tourist uses, including commercial facilities to serve those recreational or tourist uses, that rely on a rural location and setting, but that do not include new residential development. A small-scale recreation or tourist use is not required to be principally designed to serve the existing and projected rural population. Public services and public facilities shall be limited to those necessary to serve the recreation or tourist use and shall be provided in a manner that does not permit low-density sprawl;
     (iii) The intensification of development on lots containing isolated nonresidential uses or new development of isolated cottage industries and isolated small-scale businesses that are not principally designed to serve the existing and projected rural population and nonresidential uses, but do provide job opportunities for rural residents. Rural counties may allow the expansion of small-scale businesses as long as those small-scale businesses conform with the rural character of the area as defined by the local government according to RCW 36.70A.030(((14))) (15). Rural counties may also allow new small-scale businesses to utilize a site previously occupied by an existing business as long as the new small-scale business conforms to the rural character of the area as defined by the local government according to RCW 36.70A.030(((14))) (15). Public services and public facilities shall be limited to those necessary to serve the isolated nonresidential use and shall be provided in a manner that does not permit low-density sprawl;
     (iv) A county shall adopt measures to minimize and contain the existing areas or uses of more intensive rural development, as appropriate, authorized under this subsection. Lands included in such existing areas or uses shall not extend beyond the logical outer boundary of the existing area or use, thereby allowing a new pattern of low-density sprawl. Existing areas are those that are clearly identifiable and contained and where there is a logical boundary delineated predominately by the built environment, but that may also include undeveloped lands if limited as provided in this subsection. The county shall establish the logical outer boundary of an area of more intensive rural development. In establishing the logical outer boundary the county shall address (A) the need to preserve the character of existing natural neighborhoods and communities, (B) physical boundaries such as bodies of water, streets and highways, and land forms and contours, (C) the prevention of abnormally irregular boundaries, and (D) the ability to provide public facilities and public services in a manner that does not permit low-density sprawl;
     (v) For purposes of (d) of this subsection, an existing area or existing use is one that was in existence:
     (A) On July 1, 1990, in a county that was initially required to plan under all of the provisions of this chapter;
     (B) On the date the county adopted a resolution under RCW 36.70A.040(2), in a county that is planning under all of the provisions of this chapter under RCW 36.70A.040(2); or
     (C) On the date the office of financial management certifies the county's population as provided in RCW 36.70A.040(5), in a county that is planning under all of the provisions of this chapter pursuant to RCW 36.70A.040(5).
     (e) Exception. This subsection shall not be interpreted to permit in the rural area a major industrial development or a master planned resort unless otherwise specifically permitted under RCW 36.70A.360 and 36.70A.365.
     (6) A transportation element that implements, and is consistent with, the land use element.
     (a) The transportation element shall include the following subelements:
     (i) Land use assumptions used in estimating travel;
     (ii) Estimated traffic impacts to state-owned transportation facilities resulting from land use assumptions to assist the department of transportation in monitoring the performance of state facilities, to plan improvements for the facilities, and to assess the impact of land-use decisions on state-owned transportation facilities;
     (iii) Facilities and services needs, including:
     (A) An inventory of air, water, and ground transportation facilities and services, including transit alignments and general aviation airport facilities, to define existing capital facilities and travel levels as a basis for future planning. This inventory must include state-owned transportation facilities within the city or county's jurisdictional boundaries;
     (B) Level of service standards for all locally owned arterials and transit routes to serve as a gauge to judge performance of the system. These standards should be regionally coordinated;
     (C) For state-owned transportation facilities, level of service standards for highways, as prescribed in chapters 47.06 and 47.80 RCW, to gauge the performance of the system. The purposes of reflecting level of service standards for state highways in the local comprehensive plan are to monitor the performance of the system, to evaluate improvement strategies, and to facilitate coordination between the county's or city's six-year street, road, or transit program and the department of transportation's six-year investment program. The concurrency requirements of (b) of this subsection do not apply to transportation facilities and services of statewide significance except for counties consisting of islands whose only connection to the mainland are state highways or ferry routes. In these island counties, state highways and ferry route capacity must be a factor in meeting the concurrency requirements in (b) of this subsection;
     (D) Specific actions and requirements for bringing into compliance locally owned transportation facilities or services that are below an established level of service standard;
     (E) Forecasts of traffic for at least ten years based on the adopted land use plan to provide information on the location, timing, and capacity needs of future growth;
     (F) Identification of state and local system needs to meet current and future demands. Identified needs on state-owned transportation facilities must be consistent with the statewide multimodal transportation plan required under chapter 47.06 RCW;
     (iv) Finance, including:
     (A) An analysis of funding capability to judge needs against probable funding resources;
     (B) A multiyear financing plan based on the needs identified in the comprehensive plan, the appropriate parts of which shall serve as the basis for the six-year street, road, or transit program required by RCW 35.77.010 for cities, RCW 36.81.121 for counties, and RCW 35.58.2795 for public transportation systems. The multiyear financing plan should be coordinated with the ((six-year)) ten-year improvement program developed by the department of transportation as required by RCW 47.05.030;
     (C) If probable funding falls short of meeting identified needs, a discussion of how additional funding will be raised, or how land use assumptions will be reassessed to ensure that level of service standards will be met;
     (v) Intergovernmental coordination efforts, including an assessment of the impacts of the transportation plan and land use assumptions on the transportation systems of adjacent jurisdictions;
     (vi) Demand-management strategies;
     (vii) Pedestrian and bicycle component to include collaborative efforts to identify and designate planned improvements for pedestrian and bicycle facilities and corridors that address and encourage enhanced community access and promote healthy lifestyles.
     (b) After adoption of the comprehensive plan by jurisdictions required to plan or who choose to plan under RCW 36.70A.040, local jurisdictions must adopt and enforce ordinances which prohibit development approval if the development causes the level of service on a locally owned transportation facility to decline below the standards adopted in the transportation element of the comprehensive plan, unless transportation improvements or strategies to accommodate the impacts of development are made concurrent with the development. These strategies may include increased public transportation service, ride sharing programs, demand management, and other transportation systems management strategies. For the purposes of this subsection (6) "concurrent with the development" shall mean that improvements or strategies are in place at the time of development, or that a financial commitment is in place to complete the improvements or strategies within six years.
     (c) The transportation element described in this subsection (6), and the six-year plans required by RCW 35.77.010 for cities, RCW 36.81.121 for counties, and RCW 35.58.2795 for public transportation systems, and the ten-year plan required by RCW 47.05.030 for the state, must be consistent.
     (7) An economic development element establishing local goals, policies, objectives, and provisions for economic growth and vitality and a high quality of life. The element shall include: (a) A summary of the local economy such as population, employment, payroll, sectors, businesses, sales, and other information as appropriate; (b) a summary of the strengths and weaknesses of the local economy defined as the commercial and industrial sectors and supporting factors such as land use, transportation, utilities, education, work force, housing, and natural/cultural resources; and (c) an identification of policies, programs, and projects to foster economic growth and development and to address future needs. A city that has chosen to be a residential community is exempt from the economic development element requirement of this subsection.
     (8) A park and recreation element that implements, and is consistent with, the capital facilities plan element as it relates to park and recreation facilities. The element shall include: (a) Estimates of park and recreation demand for at least a ten-year period; (b) an evaluation of facilities and service needs; and (c) an evaluation of intergovernmental coordination opportunities to provide regional approaches for meeting park and recreational demand.
     (9) It is the intent that new or amended elements required after January 1, 2002, be adopted concurrent with the scheduled update provided in RCW 36.70A.130. Requirements to incorporate any such new or amended elements shall be null and void until funds sufficient to cover applicable local government costs are appropriated and distributed by the state at least two years before local government must update comprehensive plans as required in RCW 36.70A.130.

Sec. 27   RCW 36.70A.210 and 1998 c 171 s 4 are each amended to read as follows:
     (1) The legislature recognizes that counties are regional governments within their boundaries, and cities are primary providers of urban governmental services within urban growth areas. For the purposes of this section, a "countywide planning policy" is a written policy statement or statements used solely for establishing a countywide framework from which county and city comprehensive plans are developed and adopted pursuant to this chapter. This framework shall ensure that city and county comprehensive plans are consistent as required in RCW 36.70A.100. Nothing in this section shall be construed to alter the land-use powers of cities.
     (2) The legislative authority of a county that plans under RCW 36.70A.040 shall adopt a countywide planning policy in cooperation with the cities located in whole or in part within the county as follows:
     (a) No later than sixty calendar days from July 16, 1991, the legislative authority of each county that as of June 1, 1991, was required or chose to plan under RCW 36.70A.040 shall convene a meeting with representatives of each city located within the county for the purpose of establishing a collaborative process that will provide a framework for the adoption of a countywide planning policy. In other counties that are required or choose to plan under RCW 36.70A.040, this meeting shall be convened no later than sixty days after the date the county adopts its resolution of intention or was certified by the office of financial management.
     (b) The process and framework for adoption of a countywide planning policy specified in (a) of this subsection shall determine the manner in which the county and the cities agree to all procedures and provisions including but not limited to desired planning policies, deadlines, ratification of final agreements and demonstration thereof, and financing, if any, of all activities associated therewith.
     (c) If a county fails for any reason to convene a meeting with representatives of cities as required in (a) of this subsection, the governor may immediately impose any appropriate sanction or sanctions on the county from those specified under RCW 36.70A.340.
     (d) If there is no agreement by October 1, 1991, in a county that was required or chose to plan under RCW 36.70A.040 as of June 1, 1991, or if there is no agreement within one hundred twenty days of the date the county adopted its resolution of intention or was certified by the office of financial management in any other county that is required or chooses to plan under RCW 36.70A.040, the governor shall first inquire of the jurisdictions as to the reason or reasons for failure to reach an agreement. If the governor deems it appropriate, the governor may immediately request the assistance of the department of community, trade, and economic development to mediate any disputes that preclude agreement. If mediation is unsuccessful in resolving all disputes that will lead to agreement, the governor may impose appropriate sanctions from those specified under RCW 36.70A.340 on the county, city, or cities for failure to reach an agreement as provided in this section. The governor shall specify the reason or reasons for the imposition of any sanction.
     (e) No later than July 1, 1992, the legislative authority of each county that was required or chose to plan under RCW 36.70A.040 as of June 1, 1991, or no later than fourteen months after the date the county adopted its resolution of intention or was certified by the office of financial management the county legislative authority of any other county that is required or chooses to plan under RCW 36.70A.040, shall adopt a countywide planning policy according to the process provided under this section and that is consistent with the agreement pursuant to (b) of this subsection, and after holding a public hearing or hearings on the proposed countywide planning policy.
     (3) A countywide planning policy shall at a minimum, address the following:
     (a) Policies to implement RCW 36.70A.110;
     (b) Policies for promotion of contiguous and orderly development and provision of urban services to such development;
     (c) Policies for siting public capital facilities of a countywide or statewide nature, including transportation facilities of statewide significance as defined in RCW 47.06.140;
     (d) Policies for countywide transportation facilities and strategies;
     (e) Policies that consider the need for affordable housing, such as housing for all economic segments of the population and parameters for its distribution;
     (f) Policies for joint county and city planning within urban growth areas;
     (g) Policies for countywide economic development and employment; ((and))
     (h) For counties subject to RCW 36.70A.215, policies for providing a supply of housing sufficient to accommodate the forecasted employment growth within the regional housing market and the demand for all types of residential dwellings; and
     (i) An analysis of the fiscal impact.
     (4) Federal agencies and Indian tribes may participate in and cooperate with the countywide planning policy adoption process. Adopted countywide planning policies shall be adhered to by state agencies.
     (5) Failure to adopt a countywide planning policy that meets the requirements of this section may result in the imposition of a sanction or sanctions on a county or city within the county, as specified in RCW 36.70A.340. In imposing a sanction or sanctions, the governor shall specify the reasons for failure to adopt a countywide planning policy in order that any imposed sanction or sanctions are fairly and equitably related to the failure to adopt a countywide planning policy.
     (6) Cities and the governor may appeal an adopted countywide planning policy to the growth management hearings board within sixty days of the adoption of the countywide planning policy.
     (7) Multicounty planning policies shall be adopted by two or more counties, each with a population of four hundred fifty thousand or more, with contiguous urban areas and may be adopted by other counties, according to the process established under this section or other processes agreed to among the counties and cities within the affected counties throughout the multicounty region.

Sec. 28   RCW 36.70A.215 and 1997 c 429 s 25 are each amended to read as follows:
     (1) Subject to the limitations in subsection (7) of this section, a county shall adopt, in consultation with its cities, countywide planning policies to establish a review and evaluation program. This program shall be in addition to the requirements of RCW 36.70A.110, 36.70A.130, and 36.70A.210. In developing and implementing the review and evaluation program required by this section, the county and its cities shall consider information from other appropriate jurisdictions and sources. The purpose of the review and evaluation program shall be to:
     (a) Determine whether a county and its cities are achieving urban densities within urban growth areas by comparing growth and development assumptions, targets, and objectives contained in the countywide planning policies and the county and city comprehensive plans with actual growth and development that has occurred in the county and its cities; and
     (b) Identify reasonable measures, other than adjusting urban growth areas, that will be taken to comply with the requirements of this chapter.
     (2) The review and evaluation program shall:
     (a) Encompass land uses and activities both within and outside of urban growth areas and provide for annual collection of data on urban and rural land uses, development, critical areas, and capital facilities to the extent necessary to determine the quantity and type of land suitable for development, both for residential and employment-based activities;
     (b) Provide for evaluation of the data collected under (a) of this subsection every five years as provided in subsection (3) of this section. The first evaluation shall be completed not later than September 1, 2002. The county and its cities may establish in the countywide planning policies indicators, benchmarks, and other similar criteria to use in conducting the evaluation;
     (c) Provide for methods to resolve disputes among jurisdictions relating to the countywide planning policies required by this section and procedures to resolve inconsistencies in collection and analysis of data; and
     (d) Provide for the amendment of the countywide policies and county and city comprehensive plans as needed to remedy an inconsistency identified through the evaluation required by this section, or to bring these policies into compliance with the requirements of this chapter.
     (3) At a minimum, the evaluation component of the program required by subsection (1) of this section shall:
     (a) Determine whether there is sufficient suitable land to accommodate the countywide population projection established for the county pursuant to RCW 43.62.035 and the subsequent population allocations within the county and between the county and its cities and the requirements of RCW 36.70A.110;
     (b) Determine the actual density of housing that has been constructed and the actual amount of land developed for commercial and industrial uses within the urban growth area since the adoption of a comprehensive plan under this chapter or since the last periodic evaluation as required by subsection (1) of this section; and
     (c) Based on the actual density of development as determined under (b) of this subsection, review commercial, industrial, and housing needs by type and density range to determine the amount of land needed for commercial, industrial, and housing for the remaining portion of the twenty-year planning period used in the most recently adopted comprehensive plan.
     (4) If the evaluation required by subsection (3) of this section demonstrates an inconsistency between what has occurred since the adoption of the countywide planning policies and the county and city comprehensive plans and development regulations and what was envisioned in those policies and plans and the planning goals and the requirements of this chapter, as the inconsistency relates to the evaluation factors specified in subsection (3) of this section, the county and its cities shall adopt and implement measures that are reasonably likely to increase consistency during the subsequent five-year period. If necessary, a county, in consultation with its cities as required by RCW 36.70A.210, shall adopt amendments to countywide planning policies to increase consistency. The county and its cities shall annually monitor the measures adopted under this subsection to determine their effect and may revise or rescind them as appropriate.
     (5)(a) ((Not later than July 1, 1998, the department shall prepare a list of methods used by counties and cities in carrying out the types of activities required by this section.)) The department shall prepare a list of methods used by counties and cities to comply with the requirements of this section and provide this information and appropriate technical assistance to counties and cities required to or choosing to comply with the provisions of this section.
     (b) ((By December 31, 2007,)) The department shall annually distribute information provided by the office of financial management comparing estimated employment changes with estimated housing unit changes by county.
     (c) The department, by June 30, 2008, and every five years thereafter, after consultation with counties and cities subject to the requirements of this section, shall submit to the appropriate committees of the ((legislature a report analyzing)) house of representatives and the senate a report based on the information provided by the counties from the evaluations required by this section, that includes:
     (i) A summary of the evaluations prepared by local governments under subsection (3) of this section, including:
     (A) Growth patterns and trends comparing housing and employment changes;
     (B) The density, net number, and types of new residential dwelling units;
     (C) The actual amount of land developed for residential, commercial, and industrial uses;
     (D) The estimated net number of new jobs created countywide; and
     (E) The county determinations of whether there is a sufficient quantity of land suitable for meeting the existing and projected needs for commercial, industrial, and housing by types and density range for the remaining portion of the twenty-year planning period used in the most recently adopted comprehensive plans;
     (ii) A list of jurisdictions that have determined that inconsistencies exist between what has occurred and what was envisioned in the planning goals and requirements and comprehensive plans, as the inconsistencies relate to the evaluation factors specified in subsection (3) of this section;
     (iii) A summary of the types of inconsistencies identified, and if available, a summary of the reasonable measures that have been adopted under subsection (4) of this section to increase consistency and accommodate residential and nonresidential needs;
     (iv) An analysis of the effectiveness of the ((activities described in)) requirements of this section in achieving the goals envisioned by the countywide planning policies and the comprehensive plans and development regulations of the counties and cities; and
     (v) Recommendations for legislation the department deems necessary to increase the effectiveness of the requirements of this section.
     (6) From funds appropriated by the legislature for this purpose, the department shall provide grants to counties, cities, and regional planning organizations required under subsection (7) of this section to conduct the review and perform the evaluation required by this section.
     (7) The provisions of this section shall apply to counties, and the cities within those counties, that were greater than one hundred fifty thousand in population in 1995 as determined by office of financial management population estimates and that are located west of the crest of the Cascade mountain range. Any other county planning under RCW 36.70A.040 may carry out the review, evaluation, and amendment programs and procedures as provided in this section.

NEW SECTION.  Sec. 29   RCW 36.22.179 and 43.20A.790 are each recodified as sections in chapter 43.185C RCW.

NEW SECTION.  Sec. 30   RCW 36.22.178, 43.63A.650, and 43.185B.040 are each recodified as sections in chapter 43.--- RCW (created in section 31 of this act).

NEW SECTION.  Sec. 31   Sections 1 through 4, 6, 8, 9, 11, and 12 of this act constitute a new chapter in Title 43 RCW.

NEW SECTION.  Sec. 32   If specific funding for the purposes of sections 1 through 13 of this act, referencing sections 1 through 13 of this act by bill or chapter number and section number, is not provided by June 30, 2007, in the omnibus appropriations act, sections 1 through 13 of this act are null and void."