FINAL BILL REPORT

SSB 5174

                                   C 29 L 87

BYSenate Committee on Agriculture (originally sponsored by Senators Hansen, Barr, Gaspard, Bauer, Anderson, Bailey, Warnke, Lee and von Reichbauer)

Allowing the state investment board to invest in Washington land bank.

Senate Committee on Agriculture

House Committe on Agriculture & Rural Development

SYNOPSIS AS ENACTED

BACKGROUND:

In 1986 the Legislature created the Washington Land Bank as a borrower-owned land bank patterned after the federal land bank.  The objective of the bank is to loan money to farmers and ranchers based on the long-term productivity of their land rather than short term cash flow.

The Washington Constitution prohibits the lending of state credit; thus, state sources of funding cannot be used to finance the land bank.

SUMMARY:

The State Investment Board is encouraged to consider investing money in the Washington Land Bank.  Deferrals of principal and/or interest which were allowed in the 1986 legislation are still allowed only if approved by the Washington Land Bank.

VOTES ON FINAL PASSAGE:

      Senate    47     0

      House 96   0

EFFECTIVE:July 26, 1987