SENATE BILL REPORT

SB 5991

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.

As Reported by Senate Committee On:

Transportation, February 19, 2015

Ways & Means, February 24, 2015

Title: An act relating to activities at the department of transportation funded by the environmental legacy stewardship account.

Brief Description: Concerning activities at the department of transportation funded by the environmental legacy stewardship account.

Sponsors: Senators King, Hobbs, Fain, Liias, Litzow, Braun, Schoesler, Parlette, Warnick, Sheldon, Becker and Brown.

Brief History:

Committee Activity: Transportation: 2/17/15, 2/19/15 [DPS-WM, DNP].

Ways & Means: 2/24/15 [DPS(TRAN), DNP].

SENATE COMMITTEE ON TRANSPORTATION

Majority Report: That Substitute Senate Bill No. 5991 be substituted therefor, and the substitute bill do pass and be referred to Committee on Ways & Means.

Signed by Senators King, Chair; Fain, Vice Chair, Budget ; Hobbs, Ranking Minority Member; Liias, Assistant Ranking Minority Member; Baumgartner, Litzow, Miloscia, Rivers and Sheldon.

Minority Report: Do not pass.

Signed by Senators Cleveland, Habib, Jayapal and Pedersen.

Staff: Clint McCarthy (786-7319)

SENATE COMMITTEE ON WAYS & MEANS

Majority Report: That Substitute Senate Bill No. 5991 as recommended by Committee on Transportation be substituted therefor, and the substitute bill do pass.

Signed by Senators Hill, Chair; Braun, Vice Chair; Dammeier, Vice Chair; Honeyford, Vice Chair, Capital Budget Chair; Bailey, Becker, Brown, Hewitt, O'Ban, Padden, Parlette, Schoesler, Warnick and Hatfield.

Minority Report: Do not pass.

Signed by Senators Hargrove, Ranking Member; Keiser, Assistant Ranking Member on the Capital Budget; Billig, Fraser, Hasegawa, Rolfes and Kohl-Welles.

Staff: Sherry McNamara (786-7402)

Background: Since July 1, 2013, and every fiscal year thereafter, revenues deposited into the toxics control accounts that exceed $140 million must be deposited into the Environmental Legacy Stewardship Account (ELSA). Monies in ELSA may only be spent after appropriation. Under current law, monies in ELSA may be spent on the following:

Summary of Bill (Recommended Substitute): Twenty percent of the funds deposited into ELSA must be used for the purpose of legacy stormwater permit compliance activities and fish passage barrier removal activities at the Department of Transportation. The bill takes effect only if SB 5987, concerning transportation revenue, is enacted by June 30, 2015.

EFFECT OF CHANGES MADE BY TRANSPORTATION COMMITTEE (Recommended Substitute): Technical change to insert the word "by" in Section 3 to clarify the date by which SB 5987 must pass in order for SSB 5991 to become effective.

Appropriation: None.

Fiscal Note: Available.

Committee/Commission/Task Force Created: No.

Effective Date: The bill takes effect on July 1, 2015.

Staff Summary of Public Testimony on Original Bill (Transportation): CON: Concerns are voiced with how this affects the Department of Ecology and putting funds toward projects they weren’t originally intended for. Cities are concerned that these funds are for stormwater retrofits. Since ELSA is already over burdened, the cities propose that the Department of Transportation would pay 100 percent of what they owe for stormwater, rather than only 30 percent in statute. ELSA is in high demand right now at a time where the funding has declined substantially. ELSA funding is volatile. It shifts stormwater and culvert funds to ELSA and away from the gas tax. Adding culverts is a new requirement that expands the uses for an over-appropriated account.

Persons Testifying (Transportation): CON: Clifford Traisman, WA Environmental Council, WA Conservation Voters; Darcy Nonemacher, WA Environmental Council; Joe Kendo, WA State Labor Council.

Staff Summary of Public Testimony (Ways & Means): CON: Funds in ELSA should not be diverted for new purposes. There are insufficient funds in ELSA and this will further burden the account with expenditures that should be covered with gas tax revenue.

OTHER: Cities have the same needs around stormwater and culverts that the state does and would like to see these funds focused on projects that benefit multiple jurisdictions.

Persons Testifying (Ways & Means): CON: Darcy Nonemacher, WA Environmental Council; John Lane, Office of Financial Management.

OTHER: Alison Hellberg, Assn. of WA Cities.

Persons Signed In To Testify But Not Testifying: No one.