AN ACT Relating to general obligation bonds; amending RCW 46.08.172 and 79.24.060; and creating new sections.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. For the purpose of providing funds for the renovation and construction of state-owned office buildings on the capitol campus, and to provide for the administrative cost of such projects, including costs of bond issuance and retirement, salaries and related costs of officials and employees of the state, costs of credit enhancement agreements, and other expenses incidental to the administration of capital projects, the state finance committee is authorized to issue general obligation bonds of the state of Washington in the sum of one hundred ten million dollars, or so much thereof as may be required, to finance these projects and all costs incidental thereto.

Bonds authorized in this section shall be sold in such manner, at such time or times, in such amounts, and at such price as the state finance committee shall determine. No such bonds may be offered for sale without prior legislative appropriation of the net proceeds of the sale of the bonds. The state finance committee may obtain insurance or letters of credit and may authorize the execution and delivery of agreements, promissory notes, and other obligations for the purpose of insuring the payment or enhancing the marketability of bonds authorized in this section. Promissory notes or other obligations issued pursuant to this section shall not constitute a debt or the contracting of indebtedness under any constitutional or statutory indebtedness limitation if their payment is conditioned upon the failure of the state to pay the principal of or interest on the bonds with respect to which the same relate.

Bonds authorized under this section shall be sold in accordance with chapter 39.42 RCW.

NEW SECTION. Sec. 2. Subject to section 6 of this act, the following moneys shall be deposited in the capitol campus office development account hereby created in the state treasury and shall be used exclusively for the purposes specified in section 1 of this act and for the payment of expenses incurred in the issuance and sale of the bonds: (1) The proceeds from the sale of the bonds authorized in section 1 of this act; (2) the account balance and the investment earnings thereon in the state capitol vehicle parking account not required for the retirement of current outstanding parking bond debt service or necessary reserves therefor; (3) each year until June 30, 2018, all rent received from general fund agencies from leasing the new state-owned office buildings, the construction of which was financed with the proceeds of such bonds, the amount to be deposited in a separate subaccount in the capitol campus office development account; (4) each year until June 30, 2018, all rents received from nongeneral fund agencies from leasing the new state-owned office buildings the construction of which was financed with the proceeds of such bonds, the amount to be deposited in a separate subaccount in the capitol campus office development account; (5) the treasurer shall transfer on July first of each year from the capitol building construction account the amount of three million eight hundred fifty thousand dollars per year until June 30, 1993, four million one hundred thousand dollars per year from July 1, 1993, until June 30, 2000, three million seven hundred fifty thousand dollars per year from July 1, 2000, until June 30, 2011, and four million dollars per year from July 1, 2011, until June 30, 2018; and (6) all earnings from the investment of money deposited in the capitol campus office development account, including the earnings from money in the subaccounts referred to in subsections (3) and (4) of this section which shall be credited to the respective subaccounts. These proceeds shall be administered by the department of general administration, subject to legislative appropriation.

NEW SECTION. Sec. 3. Both principal of and interest on the bonds authorized by section 1 of this act shall be payable from the state general obligation bond retirement fund. The state finance committee may provide that a special account be created in such fund to facilitate payment of such principal and interest.

The state finance committee shall, on or before June 30th of each year, certify to the state treasurer the amount required for principal and interest on such bonds in accordance with the provisions of the bond proceedings. The state treasurer shall withdraw from any general state revenues received in the state treasury and deposit in the state general obligation bond retirement fund, or a special account in such fund, such amounts and at such times as are required by the bond proceedings.

Bonds issued under section 1 of this act shall state that they are a general obligation of the state of Washington, shall pledge the full faith and credit of the state to the payment of the principal thereof and the interest thereon, and shall contain an unconditional promise to pay the principal and interest as the same shall become due.

The owner and holder of each of the bonds or the trustee for the owner and holder of any of the bonds may by mandamus or other appropriate proceeding require the transfer and payment of funds as directed in this section.

NEW SECTION. Sec. 4. The legislature may provide additional means for raising moneys for the payment of the principal of and interest on the bonds authorized in section 1 of this act, and section 3 of this act shall not be deemed to provide an exclusive method for the payment.

NEW SECTION. Sec. 5. Subject to section 6 of this act, on each date on which any interest or principal and interest payment is due on the bonds authorized in section 1 of this act, the state treasurer shall withdraw from the capitol campus office development account an amount equal to the amount required for such interest or principal and interest payment and deposit the amount into the general fund of the state treasury: PROVIDED, That no such withdrawal may be made from the subaccount of the capitol campus office development account into which the rents from general fund agencies and the earnings from the investment thereof are deposited if such reimbursement to the state treasury is intended to satisfy the requirements of RCW 39.42.060(5).

NEW SECTION. Sec. 6. No provision of sections 1 through 5 of this act repeals, overrides, or limits any provision or covenant of the proceedings of the state capitol committee taken in the issuance of revenue bonds of the state secured by a pledge of receipts from any parking facilities or from leases and contracts of sale made of lands, timber, and other products from the surface or beneath the surface of lands granted to the state by the United States pursuant to the act of Congress and/or other revenues mentioned in RCW 79.24.650 through 79.24.668. The obligation to make the deposit to or withdrawal from the capitol campus office development account, as provided in sections 2 and 5 of this act, shall be subordinate to the lien and charge of any revenue bonds issued against such receipts pledged to pay and secure such bonds, and on any money in the state capitol vehicle parking account and the capitol building construction account pledged therefor.

Sec. 7. Section 1, chapter 158, Laws of 1963 as last amended by section 59, chapter 57, Laws of 1985 and RCW 46.08.172 are each amended to read as follows:

There is hereby established an account in the state treasury to be known as the "state capitol vehicle parking account". All unpledged parking rental income collected by the department of general administration from rental of parking space on the capitol grounds and the east capitol site shall be deposited in the "state capitol vehicle parking account". All earnings of investments of balances in the state capitol vehicle parking account shall be credited to the general fund or as otherwise provided by law.

The "state capitol vehicle parking account" shall be used to pay costs incurred in the operation, maintenance, regulation and enforcement of vehicle parking and parking facilities at the state capitol or as otherwise provided by law.

Sec. 8. Section 5, chapter 69, Laws of 1909 as last amended by section 77, chapter 57, Laws of 1985 and RCW 79.24.060 are each amended to read as follows:

The proceeds of such sale of capitol building lands, or the timber or other materials shall be paid into the capitol building construction account which is hereby established in the state treasury to be used as in this act provided or as otherwise provided by law. All contracts for the construction of capitol buildings shall be let after notice for proposals or bids have been advertised for at least four consecutive weeks in at least three newspapers of general circulation throughout the state.

NEW SECTION. Sec. 9. The bonds authorized in section 1 of this act shall be a legal investment for all state funds or funds under state control and for all funds of any other public body.

NEW SECTION. Sec. 10. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.