FINAL BILL REPORT

SSB 5911

PARTIAL VETO

                                  C 472 L 87

BYSenate Committee on Ways & Means (originally sponsored by Senator McDermott) 

Providing for the acquisition and management of natural resource conservation areas.

Senate Committee on Ways & Means

House Committe on Natural Resources

SYNOPSIS AS ENACTED

BACKGROUND:

The Department of Natural Resources (DNR) manages state-owned "trust" lands to generate income for school construction and other activities.  Many of the trust lands, and adjoining privately-owned lands, possess sensitive ecological features.  Changes in surrounding land use can create pressure that may endanger ecological features. Often these lands have limited potential for timber or other income production.

DNR has identified four such properties totalling over 5,100 acres which are especially important to acquire in the near future.  The properties are:  Mt. Si, King County; Woodard Bay, Thurston County; Dishman Hills, Spokane County; and parts of Cypress Island, Skagit County.  The property includes both public and private land.  There is a history of legislative interest in preserving such areas, as indicated by RCW 43.51.940 (relating to Mount Si) and House Floor Resolution 86-115 (relating to Cypress Island).

At present, real estate transactions are subject to two taxes:  the conveyance tax under RCW 82.20 and the real estate excise tax under RCW 82.45.  Costs are incurred by both the Department of Revenue and local jurisdictions for the collection and administration of these two tax systems.  The Department of Revenue has estimated elsewhere that its costs for administration of the conveyance tax amount to approximately $46,000 per fiscal year.

SUMMARY:

The Department of Natural Resources, subject to legislative appropriation, is authorized to purchase and manage certain properties as Natural Resource Conservation Areas and to reimburse the common school trust fund for any trust lands converted to conservation areas.  The number of acres of public or private lands to be placed in or acquired for natural resource conservation areas are not specified but depend upon management plans to be developed by DNR for conservation areas.  The Department administers such areas directly, or through agreement with other state agencies, local governments, or private conservancy corporations.

$11.9 million is appropriated to obtain conservation area property.

The $4 million appropriated to the Department of Natural Resources for purchasing property under Chapter 79.70 RCW is to be matched by at least 25.0 percent from privately raised funds, contributions of real property, or services necessary to achieve the purposes of nature conservancy.

The conveyance tax statute, RCW 82.20, is repealed.  Real estate excise tax rates in RCW 82.45 are adjusted via amendment to recover the revenue lost.  An additional six one-hundredths of 1 percent excise tax is levied through June 30, 1989, the proceeds to be deposited to the conservation areas account.

VOTES ON FINAL PASSAGE:

      Senate    25    22

      House 53  42

EFFECTIVE:May 18, 1987

Partial Veto Summary:  A section retaining conveyance tax provisions for instruments processed prior to the effective date of this bill but held in escrow is deleted.  (See VETO MESSAGE)