"Sec. 1   RCW 43.21C.031 and 1995 c 347 s 203 are each amended to read as follows:
     (1)(a) An environmental impact statement (the detailed statement required by RCW 43.21C.030(2)(c)) shall be prepared on proposals for legislation and other major actions having a probable significant, adverse environmental impact. The environmental impact statement may be combined with the recommendation or report on the proposal or issued as a separate document. The substantive decisions or recommendations shall be clearly identifiable in the combined document. Actions categorically exempt under RCW 43.21C.110(1)(a) do not require environmental review or the preparation of an environmental impact statement under this chapter. This subsection does not impose the requirements of RCW 43.21C.030 or this section upon actions that are statutorily exempt from this chapter's environmental review requirements. Proposals, or parts of proposals, that are so closely related as to be in effect a single course of action must be evaluated in the same environmental document if the:
     (i) Proposal, or parts of the proposal, cannot or will not proceed unless implemented simultaneously; or
     (ii) Larger proposal is necessary for justification or implementation of parts of the proposal. In a county, city, or town planning under RCW 36.70A.040, a planned action, as provided for in subsection (2) of this section, does not require a threshold determination or the preparation of an environmental impact statement under this chapter, but is subject to environmental review and mitigation as provided in this chapter.
     (b) An environmental impact statement is required to analyze only those probable adverse environmental impacts which are significant. Beneficial environmental impacts may be discussed. The responsible official shall consult with agencies and the public to identify such impacts and limit the scope of an environmental impact statement. The subjects listed in RCW 43.21C.030(2)(c) need not be treated as separate sections of an environmental impact statement. Discussions of significant short-term and long-term environmental impacts, including cumulative impacts, significant irrevocable commitments of natural resources, significant alternatives including mitigation measures, and significant environmental impacts which cannot be mitigated should be consolidated or included, as applicable, in those sections of an environmental impact statement where the responsible official decides they logically belong.
     (2)(a) For purposes of this section, a planned action means one or more types of project action that:
     (i) Are designated planned actions by an ordinance or resolution adopted by a county, city, or town planning under RCW 36.70A.040;
     (ii) Have had the significant impacts adequately addressed in an environmental impact statement prepared in conjunction with (A) a comprehensive plan or subarea plan adopted under chapter 36.70A RCW, or (B) a fully contained community, a master planned resort, a master planned development, or a phased project;
     (iii) Are subsequent or implementing projects for the proposals listed in (a)(ii) of this subsection;
     (iv) Are located within an urban growth area, as defined in RCW 36.70A.030;
     (v) Are not essential public facilities, as defined in RCW 36.70A.200; and
     (vi) Are consistent with a comprehensive plan adopted under chapter 36.70A RCW.
     (b) A county, city, or town shall limit planned actions to certain types of development or to specific geographical areas that are less extensive than the jurisdictional boundaries of the county, city, or town and may limit a planned action to a time period identified in the environmental impact statement or the ordinance or resolution adopted under this subsection.

NEW SECTION.  Sec. 2   A new section is added to chapter 43.21C RCW to read as follows:
     (1) When an agency initiates a proposal, that agency is the lead agency for that proposal for purposes of compliance with the environmental review requirements of RCW 43.21C.030 and 43.21C.031. If two or more agencies share in the implementation of a proposal, the agencies shall by agreement determine which agency will be the lead agency. For the purposes of this section, a proposal by an agency does not include proposals to license private activity.
     (2) Whenever possible, the agency staff carrying out the environmental review procedures of RCW 43.21C.030 and 43.21C.031 must be different from the agency staff developing the proposal."