| Washington State House of Representatives |
BILL ANALYSIS |
| Transportation Committee | |
HJR 4206
This analysis was prepared by non-partisan legislative staff for the use of legislative members in
their deliberations. This analysis is not a part of the legislation nor does it constitute a
statement of legislative intent.
Brief Description: Increasing state indebtedness limits for transportation projects.
Sponsors: Representatives Clibborn, Jarrett, Hunter, Eddy, Springer, Anderson, Flannigan, Kenney, Simpson and Rodne.
Brief Summary of Bill |
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Hearing Date: 1/29/07
Staff: Jeff Olsen (786-7157).
Background:
The state constitution authorizes the state to contract debt. Article VIII, Section 1, of the state
constitution limits the contracting of state debt to a term of not more than 30 years. State statute
limits the term of local government issued debt to not more than 40 years.
The State Finance Committee, composed of the Governor, the Lieutenant Governor, and the
State Treasurer, is responsible for supervising and controlling the issuance of all state bonds.
Constitutional amendments require approval of two-thirds of the members of the Senate and
House of Representatives, and approval by a majority of the voters at the next general election.
Summary of Bill:
The Constitutional restriction for issuing state debt for not more than 30 years is amended to
allow the issuance of debt for transportation projects for up to 40 years. The State Finance
Committee may extend the debt up to 80 percent of the useful life of the asset, but may not
exceed 40 years.
Appropriation: None.
Fiscal Note: Requested on 1/23/07.
Effective Date: The bill takes effect upon ratification by the majority of voters at the next
general election.