SENATE BILL REPORT

SB 5257

BYSenators Warnke, Lee and Smitherman

Providing funding for the Washington housing trust fund.

Senate Committee on Economic Development & Labor

Senate Hearing Date(s):January 19, 1989

Senate Staff:Dave Cheal (786-7576

AS OF JANUARY 18, 1989

BACKGROUND:

The Washington housing trust fund is a special fund maintained in the office of the Treasurer and administered by the Department of Community Development.  Grants and loans are made from the fund on a competitive basis to local government entities and nonprofit organizations for housing assistance programs.  Projects must target households at or below 50 percent of the median income.

Unclaimed prize money is estimated by the Lottery Commission staff at approximately $5.2 million for fiscal year 1989, $3.6 million for fiscal year 1990, and $3.9 million for fiscal year 1991.

Currently unclaimed prize money is divided between the general fund and the lottery prize pool. Fifty percent of the money, not exceeding $1,000,000 is directed to the general fund with the remainder going to the prize pool.  This division ends as of June 30, 1989.  Absent further legislation, the entire amount would go to the prize pool as of July 1, 1989.

SUMMARY:

Fifty percent of the amount of unclaimed prize money, not to exceed $1,000,000, is directed to the Washington housing trust fund.  The remainder is directed to the state lottery account for placement in the prize pool.

Appropriation:    none

Revenue:    none

Fiscal Note:      requested January 17, 1989