"NEW SECTION.  Sec. 1   (1) The legislature recognizes that land use planning actions deliberated in and approved and mitigated by one jurisdiction can significantly affect one or more neighboring jurisdictions. The impacts of the land use planning actions of a neighboring jurisdiction can be especially pronounced when geographic and public infrastructure limitations substantially affect permitted development and the resulting impacts upon neighboring jurisdictions.
     (2) The legislature, therefore, in the spirit of cooperation and collaboration, intends to promote shared responsibilities under the state environmental policy act in those extraordinary instances where geographic and public infrastructure limitations create circumstances in which the land use planning actions of one jurisdiction significantly impact one or more neighboring jurisdictions.

NEW SECTION.  Sec. 2   A new section is added to chapter 43.21C RCW to read as follows:
     (1)(a) For a proposed project that meets the criteria in subsection (2) of this section, the county within which the proposed project is located shall be the lead agency on any environmental impact statement prepared pursuant to RCW 43.21C.030(2)(c) and shall be responsible for the preparation of all the segments of the environmental impact statement except as provided in (b) of this subsection. The lead agency must notify any agency which qualifies pursuant to (b) of this subsection of the timeline and proposed completion date for the environmental impact statement.
     (b) Any city whose facilities and residents will receive the majority of the transportation impacts must be the lead agency for the transportation segment of the environmental impact statement prepared pursuant to RCW 43.21C.030(2)(c) and shall be responsible for development, completeness, and accuracy of the transportation segment. The transportation segment must be submitted to the lead agency identified in (a) of this subsection by the completion date. Failure by the lead agency for the transportation segment to comply with the completion date shall result in default to the lead agency described in (a) of this subsection. The transportation segment must be included in the environmental impact statement prepared pursuant to RCW 43.21C.030(2)(c) as submitted by the lead agency for the transportation segment.
     (2) Subsection (1) of this section applies only to project actions in or affecting unincorporated portions of urban growth areas designated under RCW 36.70A.110 that:
     (a) Border Puget Sound;
     (b) Are surrounded on the landward side entirely by one or more cities;
     (c) Are one or more miles from any other portion of an urban growth area that is in unincorporated territory; and
     (d) Are fifty or more acres in size.
     (3) Unless the context clearly requires otherwise, for purposes of this section, "agency" or "agencies" means a county, city, or town."