Brief Description: Funding the Washington state heritage center.

Sponsors: Senate Committee on Ways & Means (originally sponsored by Senators Fraser, Honeyford, Regala, Swecker, Rockefeller, Parlette, Kohl-Welles, Rasmussen and Kastama; by request of Secretary of State).

Senate Committee on Ways & Means
House Committee on Appropriations

Background: The Secretary of State's office and county auditors charge fees for the filing and recording of various documents. Many of these documents are eventually stored in the State Archives. Documents filed with the Secretary of State include articles of incorporation, certificates for limited liability companies, and registration of limited liability partnerships. Documents recorded with county auditors include deeds, grants, transfers of real property, mortgages and releases of mortgages, and other instruments involving land and real property.

Funding was provided in the 2005-07 biennium for a pre-design to redevelop the north side of the capital campus including the development of a new Heritage Center that would house the State Library, State Archives, and other historical documents. The Heritage Center pre-design calls for the construction of a 226,000 square foot building at an estimated price of $110.8 million.

Summary: Fees are authorized for the repayment of a certificate of participation (financing agreement) for the construction and maintenance of the Heritage Center and for various operating expenses. The Secretary of State must collect an additional fee of $5 on: (1) articles of incorporation of domestic corporations or applications for certificates of authority for foreign corporations; (2) certificates of formation for domestic limited liability companies or registrations of foreign limited liability companies; (3) registration of foreign and domestic partnerships and limited liability partnerships; (4) certificates of limited partnerships and registration of foreign limited partnerships; and (5) registrations of trademarks. These additional fees are deposited into the Washington State Heritage Center Account. The Secretary of State can solicit gifts and grants for the development, construction, and operation of the Washington State Heritage Center. County auditors must collect an additional $2 for recording documents to be deposited into the Washington State Heritage Center Account. The Washington State Heritage Center Account is created in the custody of the State Treasurer. Monies in the account can only be used for payments of the certificate of participation, capital maintenance, or program expenses of the Heritage Center, the State Archives, the State Library, or the Capital Museum. The account is non-appropriated but subject to allotment. Interest earnings remain in the account rather than being deposited in the General Fund. The emergency clause is eliminated and fee increases are delayed until January 1, 2008, for recording instruments, and until January 1, 2009, for filings with the Secretary of State's Office. This corrects the assumptions for financing the Heritage Center.

Votes on Final Passage:

Senate      45   1
House      82   15

Effective:   July 22, 2007
         January 1, 2008 (Section 2)
         January 1, 2009 (Section 1)