SENATE BILL REPORT

SB 5639

BYSenators Williams and Warnke; by request of Department of Community Development

Authorizing the acquisition, rehabilitation, and sale of historic sites by the department of community development.

Senate Committee on Commerce & Labor

Senate Hearing Date(s):February 25, 1987; February 26, 1987

Majority Report:  That Substitute Senate Bill No. 5639 be substituted therefor, and the substitute bill do pass.

      Signed by Senators Warnke, Chairman; Smitherman, Vice Chairman; Anderson, Cantu, Lee, Sellar, Vognild, West, Williams, Wojahn.

Senate Staff:Mark McDermott (786-7429)

                  February 26, 1987

AS REPORTED BY COMMITTEE ON COMMERCE & LABOR, FEBRUARY 26, 1987

BACKGROUND:

In recent years many sites with historic and cultural significance have been destroyed or substantially altered in the state.  Many historic buildings have been lost because no economic use was apparent for a brief period of time.  The State Office of Archeology and Historic Preservation does not have funds for the acquisition and development of historic sites.

In the past ten years several states have set up historic preservation funds using state monies.

SUMMARY:

The Washington Heritage Revolving Fund is established in the custody of the State Treasurer.  The Department of Community Development shall deposit in the fund proceeds of the sale of historic sites and interests in historic sites, gifts, grants, and legislative appropriations.  The monies from the fund may be used to acquire, maintain, stabilize, or rehabilitate historic sites.  It is the intent of the Legislature that any sites acquired shall be promptly offered for sale at a fair market price following the completion of necessary repairs.

No initial disbursements may be made from the fund until $100,000 has been received from nonlegislative sources and deposited in the fund.

Criteria are established for the use by the Department in selecting historic sites to be acquired, rehabilitated, and resold.

The bill specifically denies the Department of Community Development the right of eminent domain or condemnation for the purposes of acquiring and rehabilitating historic sites.

The term "public lands" is further defined to exclude historic sites acquired under this Act.

EFFECT OF PROPOSED SUBSTITUTE: 

The endangered landmarks preservation fund is established in the state treasury.  Interest and profits from sales shall be retained in the fund.

If two landmark buildings are considered of equal value, the one which has the potential for the highest rate of return shall be purchased.

Legislative intent is clarified regarding the minimal level of repairs which may be done on acquired buildings.

Fiscal Note:      available

Senate Committee - Testified: Ralph Munro, Secretary of State; Caroline Gallacia, Washington Trust for Historic Preservation; Jake Thomas, Department of Community Development; Carole Martens, Seismic Safety Council