AN ACT Relating to the transportation benefit board; and creating a new chapter in Title 47 RCW.

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

NEW SECTION. Sec. 1. The legislature finds that the citizens of the state can benefit by cooperation of the public and private sectors in addressing transportation needs. This cooperation can be fostered through the allocation of funds to local areas for the purpose of making road improvements necessitated by economic development and to take advantage of unique economic development opportunities.

To this end, the legislature seeks to establish a source of funds for allocation to local governments to meet the transportation needs associated with economic development. It further seeks to allocate those funds to projects identified in state and local transportation plans on the basis of local funding efforts, including private sector participation in that funding.

NEW SECTION. Sec. 2. The transportation benefit board is created to carry out the functions of this chapter. The board shall consist of seven members. The secretary of transportation and the director of trade and economic development or their designees shall be ex officio members. The governor shall appoint five members, one of whom shall be an elected official of a county, chosen from list of three persons nominated by the Washington state association of counties or its successor; one of whom shall be an elected official of a city, chosen from a list of three persons nominated by the association of Washington cities or its successor; and three private citizens.

Appointed members of the board shall serve terms of three years and until their successors are appointed and qualified. However, the governor shall stagger the terms of the initial members by appointing one member to a one-year term, two to two-year terms, and two to three-year terms.

NEW SECTION. Sec. 3. The board shall choose a chair from among its membership and shall adopt rules related to its powers and duties under this chapter. Members of the board shall be reimbursed for travel expenses as provided in RCW 43.03.050 and 43.03.060. Members appointed by the governor shall be compensated in accordance with RCW 43.03.250. Expenses of the board shall be paid from the transportation benefit account created in section 5 of this act. The board has all powers necessary to carry out its duties as prescribed by this chapter.

NEW SECTION. Sec. 4. The department of trade and economic development and the department of transportation shall provide staff support for the board.

NEW SECTION. Sec. 5. The transportation benefit account is created in the motor vehicle fund.

NEW SECTION. Sec. 6. Local governments shall apply to the board for allocation of funds from the transportation benefit account. To be eligible to receive funds, the transportation project shall (1) be consistent with state, regional, and local transportation plans, (2) be necessitated by existing or reasonably foreseeable congestion levels attributed to economic development, (3) provide access to areas zoned and being developed for business uses, and (4) be partially funded by local government or private developer contributions, or a combination of such contributions.

NEW SECTION. Sec. 7. The board shall allocate funds to cities, towns, and counties for eligible transportation projects according to the degree of local contribution, both public and private, pledged by the applicant. The board shall allocate funds from the account by June 30th of each year for the ensuing fiscal year to transportation projects that would qualify for state funds under Article II, section 40 (Amendment 18) of the state Constitution. Projects with a higher percentage of local funding shall be granted a higher priority in receiving funds from the transportation benefit account.

For the purposes of this chapter, local contribution for each project shall not include state motor vehicle fund project-specific grants over which the local jurisdiction has no discretion and federal aid highway project specific grants.

NEW SECTION. Sec. 8. Within one year after approval of an application for a project, a city, town or county whose application is approved shall (1) establish a transportation benefit district, and (2) provide written certification to the board of the pledged local funding. Funds allocated to an applicant that does not certify its funding within one year after approval, and create a transportation benefit district, may be reallocated the following year.

NEW SECTION. Sec. 9. The city, town, or county constructing the project shall submit to the board its voucher for the payment of the transportation benefit account share of the cost. The chair of the board or his or her designated agent shall approve such voucher when proper to do so, for payment from the account to the city, town, or county submitting the voucher.

The board may adopt rules providing for the approval of payments of funds in the account to a city, town, or county for costs of construction of an approved project from time to time as work progresses and when the project is complete. These payments shall at no time exceed the account share of the costs of construction incurred to the date of the voucher covering the payment.

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.

NEW SECTION. Sec. 11. Sections 1 through 10 of this act shall constitute a new chapter in Title 47 RCW.