SENATE BILL REPORT

SB 6406

BYSenators McMullen, Anderson, Madsen and Smitherman

Conforming deficit reimbursement for county ferries.

Senate Committee on Transportation

Senate Hearing Date(s):January 31, 1990

Senate Staff:Gene Schlatter (786-7316)

AS OF JANUARY 29, 1990

BACKGROUND:

Under current law county ferries are an extension of the county road systems and are administered by their respective county road departments in Whatcom, Skagit, Pierce and Wahkiakum Counties.  Until 1972 the ferries were funded entirely out of county transportation funds in the respective counties.

In 1972 the Legislature provided a subsidy of 60 percent of the operating and maintenance costs of the Wahkiakum County ferry.  In 1987 the subsidy was raised to cover 80 percent of the operating and maintenance deficit.  Funding for the Wahkiakum County subsidy is provided by the Department of Transportation (DOT) since it is an interstate ferry connecting two state highways (Washington and Oregon), and provides a "safety valve" for SR 4 which, on occasion, is blocked by rockslides between Cathlamet and Longview.

In 1976 the Legislature provided a subsidy of one-half million dollars per biennium for the three Puget Sound county ferry systems off the top of the counties' share of state gas tax.

SUMMARY:

The subsidy for the three Puget Sound ferry-operating counties is increased to 80 percent, making their subsidy similar to that provided for Wahkiakum County.  The source of subsidy remains from the counties' share of the gas tax.  The increased subsidy is approximately $1 million per biennium.

EFFECT OF PROPOSED SUBSTITUTE:

Technical changes are made to insure proper calculation of deficit for application of the 80 percent subsidy.

Appropriation:    none

Revenue:    none

Fiscal Note:      requested