AN ACT Relating to irrigation districts; and amending RCW 87.03.310, 87.03.082, 87.03.441, and 87.03.442.

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

Sec. 1. Section 25, page 684, Laws of 1989-90 as last amended by section 87, chapter 469, Laws of 1985 and RCW 87.03.310 are each amended to read as follows:

(1) On or before the ((~~thirty-first~~)) fifteenth day of December of each year, the treasurer of each ((~~county~~)) irrigation district shall post and publish the delinquency list((, which shall contain the names of persons to whom the property is assessed and a description of the property delinquent and the amount of the assessment and costs due, opposite each name and description.

The treasurer shall append to and post with the list a notice, at least twenty days before the sale, that unless the assessments together with costs and accrued interest are paid, the property will be sold at public auction. One copy thereof shall be posted in the county courthouse, and the treasurer shall provide four copies to the irrigation district in which the property is located. The irrigation district shall post one copy in the irrigation district office and three copies in public places in the district. The notice shall be published once a week for three successive weeks in a newspaper of general circulation in the county. Notices shall designate the time and place of sale. The time of sale shall be not less than twenty-one nor more than thirty-five days from the date of posting and from the date of the first publication of the notice thereof, and the place of the sale shall be at some point designated by the treasurer. At least ten days prior to the date of the public auction, the treasurer shall send by first class mail a notice to the taxpayer or owner of record of the land having a delinquent assessment. The notice shall contain a statement of the amount of the delinquent assessment plus interest as provided in RCW 87.03.270, as now or hereafter amended, accruing from the date of delinquency; a ten dollar delinquency charge owing on the land; the time, date, and place of the sale of properties having delinquent assessments; and a statement that failure to pay the assessment prior to the date of sale will result in a sale of the property)). The delinquency list shall contain the following:

(a) The name or names of the owner of record;

(b) The legal description of the property or any other description which clearly identifies the property;

(d) The amount of costs and interest due under RCW 87.03.270; and

(e) The total amount due.

(2) The document containing the delinquency list shall also contain a notice that the irrigation district has a lien for the total amount due on each parcel listed and that the parcel will be sold if the total amount due is not paid by 10:00 a.m. on the date scheduled for the sale. In addition, this notice shall include the following information:

(a) The date, time, and place of sale;

(b) A statement that any person on the delinquency list has a right to a hearing on the foreclosure and to protest the forfeiture at that hearing;

(d) A statement specifying the precise redemption period and advising persons on the list that if the property is sold, it can be redeemed by making the necessary payment before the end of redemption period; and

(e) A statement advising the persons on the list that if payment is made by the tenth day following the last day of publication under subsection (3) of this section, that then the person will not have to pay for the costs of a title search on the property.

(3) The delinquency list and notice shall be posted in the courthouse of the county in which the property is located and in the office of the irrigation district. The list and notice shall also be published once a week for three successive weeks in a newspaper of general circulation in the district.

(4)(a) This subsection applies only to parcels for which the total amount due has not been paid by the tenth day following the last day on which publication was made under subsection (3) of this section. With respect to such parcels, the treasurer shall prepare a revised delinquency list and revised notice, and the amount due shall be increased to pay for the costs of the title search necessary to carry out this subsection. The revised list and notice shall be designated as the "final delinquency list" and as the "final notice". At least fourteen days before the date of the protest hearing, the treasurer shall send the final list and notice by first class mail to each owner of record and each person having a recorded interest or recorded lien. In addition, the treasurer shall publish them once a week for three weeks in a newspaper of general circulation in the district.

(b) The final delinquency list shall contain:

(i) The name or names of each owner of record and, also, of any person or persons having a recorded interest or recorded lien;

(ii) The legal description of the property or any other description which clearly identifies the property;

(iii) The amount of the delinquent assessment;

(iv) The amount of costs and interest due under RCW 87.03.270 and of the cost of the title search due under this section; and

(v) The total amount due.

(5)(a) A protest hearing can be obtained by a party's completing a protest hearing request form, prescribed by the board, and filing it with the board at least seven days prior to the hearing date. The protest form shall include spaces for the identification of the parcel to which the protest is addressed, the name and address of the protesting person, the person's interest in the parcel, and the grounds of the protest.

(b) The board of directors shall conduct the protest hearing. Each person protesting the foreclosure at the hearing may present evidence in support of his or her objections. The board shall hear and determine these objections and shall take such action as it determines to be just. Within five days from the date of the hearing, the board by first class mail shall send written notice of its decision to each person protesting foreclosure at the hearing and shall advise the person of his or her right to appeal the board's decision, as provided under (c) of this subsection.

(c) Within twenty days of the date on which the board's decision was mailed, any person receiving an adverse decision may appeal to the superior court of the county in which the parcel is located. If the board's decision is not appealed, then the treasurer shall proceed with the sale of the parcel.

(6) The treasurer shall specify the date of sale for the foreclosure sale. However, the date for the sale may not be more than one hundred twenty days from the date the list and notice were first published in the newspaper.

Sec. 2. Section 16, chapter 192, Laws of 1961 and RCW 87.03.082 are each amended to read as follows:

Each director shall take and subscribe an official oath for the faithful discharge of the duties of his office, and shall execute a bond to the district in the sum of ((~~one~~)) ten thousand dollars, conditioned for the faithful discharge of his duties, which shall be approved by the judge of the superior court of the county where the district was organized, and the oath and bond shall be recorded in the office of the county clerk of that county and filed with the secretary of the board of directors. The secretary shall take and subscribe a written oath of office and execute a bond in the sum of not less than ((~~one~~)) ten thousand dollars to be fixed by the directors, which shall be approved and filed as in the case of the bond of a director. If a district is appointed fiscal agent of the United States to collect money for it, the secretary and directors and the district treasurer shall each execute such additional bonds as the secretary of the interior may require, conditioned for the faithful discharge of their duties which shall be approved, recorded, and filed as other official bonds. All such bonds shall be secured at the cost of the district.

Sec. 3. Section 3, chapter 276, Laws of 1961 as last amended by section 219, chapter 167, Laws of 1983 and RCW 87.03.441 are each amended to read as follows:

The directors may provide by resolution that the secretary may deposit the following temporary funds in a local bank in the name of the district:

(1) A fund to be known as "general fund" in which shall be deposited all moneys received from the sale of land, except such portion thereof as may be obligated for bond redemption, and all rentals, tolls, and all miscellaneous collections. This fund shall be transmitted to the district treasurer ((or)) and disbursed in such manner as the directors may designate.

(2) A fund to be known as "fiscal fund" in which shall be deposited all collections made by the district as fiscal agent of the United States.

(3) A "revolving fund" in such amount as the directors shall by resolution determine, acquired by the issue of coupon or registered warrants or by transfer of funds by warrant drawn upon the expense fund. This fund may be disbursed by check signed by the secretary and/or such other person or persons as the board may designate, in the payment of such expenditures as the board may deem necessary. An auditing officer, other than the person who has been designated to sign the checks, must be appointed to audit and approve all payment vouchers. This fund shall be reimbursed by submitting copies of ((~~approved~~)) vouchers, a listing of the purpose of each voucher, and/or copy of payrolls, all of which have been approved by the board of directors, to the county auditor with a claim voucher specifying the fund upon which warrants for such reimbursements shall be drawn. The warrants for such reimbursements shall be made out by the auditor to the "secretary's revolving fund."

Sec. 4. Section 4, chapter 276, Laws of 1961 and RCW 87.03.442 are each amended to read as follows:

The secretary or other authorized person shall issue receipts for all moneys received for deposit in such funds and he and any other person handling the funds shall furnish a surety bond, in addition to the bond required under RCW 87.03.082, to be approved by the board and the attorney for the district, in ((~~such~~)) an amount ((~~as the board may designate and~~)) equal to at least the greater of ten thousand dollars or the average monthly balance of the expense fund handled by the secretary, or other authorized person, in the preceding calendar year, which bond is conditioned for the safekeeping of such funds and the premium thereon shall be paid by the district.

((Upon depositing any district funds the secretary shall demand and the depositary bank shall furnish a surety bond, to be approved by the board and the attorney, in an amount equal to the maximum deposit, conditioned for the prompt payment of the deposits upon demand, and the bond shall not be canceled during the time for which it was written. Or the depositary may deposit with the secretary or in some bank to the credit of the district in lieu of the bond, securities approved by the board of a market value in an amount not less than the amount of the maximum deposit. All depositaries which have qualified for insured deposits under any federal deposit insurance act need not furnish bonds or securities, except for so much of the deposit as is not so insured)) All district funds shall be deposited with the county treasurer or by the district treasurer in financial institutions approved by the public deposit protection commission.