FINAL BILL REPORT

HB 748

                                  C 360 L 87

BYRepresentatives Baugher, Day, D. Sommers, Doty, Dellwo, Hankins, Cooper and Betrozoff; by request of Urban Arterial Board

Changing apportionment provisions for funds in the urban arterial trust account.

House Committe on Transportation

Senate Committee on Transportation

SYNOPSIS AS ENACTED

BACKGROUND:

The current formula for apportionment of Urban Arterial Trust Account funds to specific regions of the state is based on three criteria:  1) population, 2) "state" highway vehicle miles, and 3) "state" highway needs as defined by the Washington State Department of Transportation Category A six-year program.  "State" highway data has been used in the absence of credible city and county arterial needs information.  However, the Urban Arterial Board (UAB) has now compiled reliable city and county arterial needs data.

At the beginning of each biennium, state statute requires the UAB to establish new apportionment factors to be used on all funds deposited into the Urban Arterial Trust Account during the biennium.  When the legislature authorizes a new bond program, the UAB will obligate most of the amount at the beginning of the biennium.  However, most projects begin construction between 24 and 36 months from the time of original approval.  This means different apportionment factors may apply, thereby making the process of administration unmanageable.

SUMMARY:

The formula criteria for apportionment of the Urban Arterial Trust Fund is changed by replacing "state" highway needs (Category A) and "state" vehicle miles with city and county arterial needs and city and county vehicle miles.

Bond proceeds will be apportioned using the apportionment factors for the biennium in which the funds are obligated, rather than when construction is started.

Agencies submitting urban arterial projects which are approved for inclusion in the Urban Arterial Program budget and which are projected to cost more than $1 million are required to perform a value engineering study on the project.  The UAB is granted authority to waive the requirement for projects over $1 million or to extend the requirement to projects estimated to cost less than $1 million.

VOTES ON FINAL PASSAGE:

      House 77  20

      Senate    48     0 (Senate amended)

      House 94   2 (House concurred)

EFFECTIVE:July 26, 1987