AN ACT Relating to regional planning; amending RCW 82.36.440, 82.38.280, 82.46.010, and 82.02.020; adding a new chapter to Title 64 RCW; providing an effective date; and declaring an emergency.

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

NEW SECTION. Sec. 1. LEGISLATIVE FINDINGS AND INTENT. The state of Washington is a naturally beautiful, pleasant, and healthy place in which to live. It is the policy of the state to maintain and retain patterns of land use in the state in a condition that ensures a high standard of livability for each citizen. This policy contemplates the establishment of a program that promotes both environmental protection and economic well-being. It is a policy that promotes the public interest in the use of all lands in the state while also protecting private landowners against unreasonable governmental limitation on the use of their lands. Further, it is a policy that, consistent with the public interest generally, supports retaining the character of the state by using land best suited for the production of food and fiber for that use.

The legislature finds that while local governments have the primary responsibility of land use planning and control, there exists a need for flexibility and coordination of land use and other planning efforts at the regional level and among local governments through regional organizations created by those local governments. It is the intent of the legislature that state agencies involved in land use decisions and management should both use a planning process that is similar to that used by local governments and coordinate their land use planning with that of local governments. Land use planning should consider and provide for a balance of social, economic, and environmental factors.

It is the intent of the legislature to deal with land use on a regional policy basis by initially focusing on the preservation of agricultural lands, forest lands, and mineral resource lands, and the prevention of urban sprawl so that this intensive concentration of buildings, structures, and impermeable surfaces is not allowed or encouraged to spread over wide areas, because it generally results in the needed expansion of costly urban governmental services.

It is further the intent of the legislature to maintain an adequate renewable resource base while at the same time protecting the natural resource and environment of this state and facilitating orderly and well-planned development. To protect the health, welfare, safety, and quality of life of the residents of this state, it is necessary that regional policy goals for the guidance of growth and development be established to be implemented by local governments and the state of Washington.

NEW SECTION. Sec. 2. DEFINITIONS. Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "City" means any city, town, or optional municipal code city.

(2) "Regional land use plan" or "regional plan" means a coordinated land use plan adopted by the governing body of a regional authority.

(3) "Urban growth" refers to that growth which makes intensive use of the land to such a degree as to be incompatible with the primary use of such land for the production of foods, fibers, or mineral resources. When this intensive concentration of buildings, structures, and impermeable surfaces is allowed or even encouraged to spread over wide areas, it generally results in the needed expansion of costly urban governmental services.

NEW SECTION. Sec. 3. REGIONAL DESIGNATIONS. For the purpose of implementing the provisions of this chapter, the counties of the state are divided into the following regions:

(1) Region 1 includes Clallam, Grays Harbor, Mason, and Jefferson counties;

(2) Region 2 includes Clark and Cowlitz counties;

(3) Region 3 includes Pacific, Lewis, Skamania, and Wahkiakum counties;

(4) Region 4 includes Snohomish, King, Pierce, Thurston, and Kitsap counties;

(5) Region 5 includes Whatcom, Skagit, Island, and San Juan counties;

(6) Region 6 includes Chelan, Douglas, Kittitas, and Grant counties;

(7) Region 7 includes Yakima, Benton, and Klickitat counties;

(8) Region 8 includes Adams, Franklin, Walla Walla, Whitman, Garfield, Columbia, and Asotin counties;

(9) Region 9 includes Lincoln and Spokane counties; and

(10) Region 10 includes Okanogan, Ferry, Stevens, and Pend Oreille counties.

NEW SECTION. Sec. 4. REGIONAL AUTHORITY. (1) A regional planning authority is hereby created for each of the regions under section 3 of this act. The regional planning authority shall consist of the following members:

(a) Three county commissioners or county council members of each county in the region selected by the commission or council; and

(b) Four representatives for first class cities under RCW 35.01.010, three representatives for second class cities under RCW 35.01.020, two representatives for third class cities under RCW 35.01.030, and one representative for towns under RCW 35.01.040. The combined voting weight of the city representatives shall equal the number of votes held by the counties in each regional authority.

(2) The regional planning authority has the power to hold hearings, adopt procedural rules, develop plans, enter into regional compacts for planning purposes, impose the motor vehicle fuel tax authorized under section 6 of this act, impose the real estate excise tax authorized in RCW 82.46.010, and impose the development fee authorized in section 12 of this act.

NEW SECTION. Sec. 5. REGIONAL PLAN. (1) The regional plan shall meet the procedural requirements of chapter 35A.63 RCW and shall contain the planning elements identified in RCW 35A.63.061 and 35A.63.062. The plan shall also:

(a) Set limits on urban growth;

(b) Recognize the need for regional solutions to transportation problems;

(d) Preserve the commercial timber land base for timber production; and

(e) Encourage the concentration of residential and industrial development.

(2) The regional plan shall give substantial weight to the landowners' intended land uses. Upon adoption of the regional plan the property shall be valued at the intended use for tax purposes.

(3) The regional body may amend an adopted plan by an eighty percent majority.

(4) Once the regional plan is adopted it shall not allow development, in areas other than those designated within the regional plan, unless water is available, services are available, and the development does not diminish the quality of the environment.

NEW SECTION. Sec. 6. MOTOR VEHICLE FUEL TAX--AUTHORIZATION. (1) The legislative authority of any county may, by resolution for the purposes authorized in this chapter, fix and impose an excise tax on the sale or distribution of motor vehicle fuel and special fuel within the county, if the county has adopted the transportation component of the regional plan. The rate of such tax shall be in increments of one-tenth of a cent per gallon and shall not exceed one cent per gallon. Any person paying such excise tax who, in turn, sells or distributes such fuel to another, whether or not for use, shall include the tax as part of the selling price of the fuel. Any person thereafter paying a price for such fuel that includes an increment for the tax imposed under this subsection, and who subsequently resells the fuel, shall include the increment so paid as part of the selling price of the fuel.

The tax imposed in this subsection shall be collected and paid to the county but once in respect to any motor vehicle fuel or special fuel. This tax shall be in addition to any other tax authorized or imposed by law.

(2) The definitions set forth in this subsection shall apply in this section and section 7 of this act unless the context clearly requires otherwise.

(a) "Motor vehicle fuel" has the meaning given in RCW 82.36.010(2).

(b) "Special fuel" has the meaning given in RCW 82.38.020(5).

(3) The entire proceeds of the tax imposed under this section, less refunds and less amounts deducted by the department of licensing for administration and collection expenses, shall be used solely for the purposes of implementing the county's obligations under the regional plan.

(4) Prior to the effective date of the resolution imposing the tax under this section, the county shall contract with the department of licensing for the administration and collection of the tax, including refunds, if any. The department shall deduct a percentage amount, as provided by contract, for administration and collection expenses incurred by it. The remainder of any portion of the tax authorized by this section which is collected by the department of licensing shall be deposited by the department in a special fund under the custody of the state treasurer to be known as the local motor vehicle fuel tax revolving fund. Each month the state treasurer shall distribute to the counties the amount of tax collected on behalf of each county, less refunds. All appropriate administrative provisions in chapters 82.36 and 82.38 RCW shall, insofar as they are applicable to state motor vehicle fuel and special fuel taxes, be applicable to the tax imposed pursuant to this section.

Sec. 7. Section 82.36.440, chapter 15, Laws of 1961 as amended by section 5, chapter 181, Laws of 1979 ex. sess. and RCW 82.36.440 are each amended to read as follows:

The tax herein levied is in lieu of any excise, privilege, or occupational tax upon the business of manufacturing, selling, or distributing motor vehicle fuel, and no city, town, county, township or other subdivision or municipal corporation of the state shall levy or collect any excise tax upon or measured by the sale, receipt, distribution, or use of motor vehicle fuel: PROVIDED, That nothing in this section or chapter 82.36 RCW shall be construed to prohibit in any manner the imposition of a ((~~city~~)) tax upon motor vehicle fuel pursuant to ((~~RCW 82.39.010~~)) section 6 of this act.

Sec. 8. Section 29, chapter 175, Laws of 1971 ex. sess. as amended by section 6, chapter 181, Laws of 1979 ex. sess. and RCW 82.38.280 are each amended to read as follows:

The tax herein levied is in lieu of any excise, privilege, or occupational tax upon the business of manufacturing, selling, or distributing special fuel, and no city, town, county, township or other subdivision or municipal corporation of the state shall levy or collect any excise tax upon or measured by the sale, receipt, distribution, or use of special fuel: PROVIDED, That nothing in this section or chapter 82.38 RCW shall be construed to prohibit in any manner the imposition of a ((~~city~~)) tax upon special fuel pursuant to ((~~RCW 82.39.010~~)) section 6 of this act.

Sec. 9. Section 11, chapter 49, Laws of 1982 1st ex. sess. and RCW 82.46.010 are each amended to read as follows:

(1) Subject to ((~~the enactment into law of the 1982 amendment to~~)) RCW 82.02.020 ((~~by section 5, chapter 49, Laws of 1982 1st ex. sess.~~)), the governing body of any county or any city may impose an excise tax on each sale of real property in the unincorporated areas of the county for the county tax and in the corporate limits of the city for the city tax at a rate not exceeding one-quarter of one percent of the selling price.

(2) Subject to ((~~the enactment into law of the 1982 amendment to~~)) RCW 82.02.020 ((~~by section 5, chapter 49, Laws of 1982 1st ex. sess.~~)), in lieu of imposing the tax authorized in RCW 82.14.030(2), the governing body of any county or any city may impose an additional excise tax on each sale of real property in the unincorporated areas of the county for the county tax and in the corporate limits of the city for the city tax at a rate not exceeding one-half of one percent of the selling price.

(3) Taxes imposed under this section shall be collected from persons who are taxable by the state under chapter 82.45 RCW upon the occurrence of any taxable event within the unincorporated areas of the county or within the corporate limits of the city, as the case may be.

(4) Taxes imposed under this section shall comply with all applicable rules, regulations, laws, and court decisions regarding real estate excise taxes as imposed by the state under chapter 82.45 RCW.

(5) As used in this section, "city" means any city ((or)), town , or optional municipal code city.

(6) Subject to RCW 82.02.020, the governing body of any county or city may impose an additional excise tax on each sale of real property in the unincorporated areas of the county for the county tax and in the corporate limits of the city for the city tax at a rate not exceeding one-half of one percent of the selling price, for the purpose of securing development rights and easements. The authority under this subsection may only be used if the city or county has adopted and is implementing the land use component of the regional plan under section 5 of this act. The exercise of this option is not in lieu of any other tax authorized.

NEW SECTION. Sec. 10. EMINENT DOMAIN--PROHIBITED. The state of Washington, any local government, or any political subdivision or agency thereof shall not exercise its power of eminent domain to take private property for private use, except for private ways of necessity, and for drains, flumes, or ditches on or across the lands of others for agricultural, domestic, or sanitary purposes. If any private property is taken or damaged for private or public use, the owner shall be paid just compensation for his or her loss. Title for any private property taken for public use shall be held by the state or local government, and shall not be sold or otherwise transferred to any private individual or organization other than the original owner or his or her heirs or successors for fair compensation. Private property taken for public use shall be for the actual use of the public and shall be open and available to the public for its designated use. A taking of private property for the public benefit, welfare, or interest alone shall not constitute public use.

NEW SECTION. Sec. 11. Private property shall not be taken or damaged by the state of Washington, any city or county, or any regional authority provided for in section 4 of this act for private or public use unless the owner has received just compensation for his or her loss. Title for any private property taken for public use shall be held by the state or local government, and shall not be sold or otherwise transferred to any private individual or organization unless first offered to the original owner or his or her heirs or successors for fair compensation. Private property taken for public use shall be for the actual use of the public and shall be open and available to the public for its designated use. A taking of private property for the public benefit, welfare, or interest alone shall not constitute public use.

NEW SECTION. Sec. 12. DEVELOPMENT FEES. (1) If a city or county has adopted and is implementing the urban growth component of the regional plan, and the city or county has adopted a general facilities plan which is consistent with the regional plan, the city or county may impose a development fee or charge. The fee or charge must be used to implement the obligations under the regional plan.

(2) The city or county may accept the dedication of land or the provision of public facilities in addition to or in combination with the fee or charge.

(3) The total amount or value of the fee or charge, regardless of how collected, shall reasonably approximate the actual costs to the public of the new development. The present costs of future development may be collected under the authority of this section, if the owner has a vested right to develop the real property.

(4) Variances to the regional plan allowed by any city or county must require the recipient to pay the full service costs for that development.

Sec. 13. Section 82.02.020, chapter 15, Laws of 1961 as last amended by section 6, chapter 179, Laws of 1988 and RCW 82.02.020 are each amended to read as follows:

Except only as expressly provided in RCW 67.28.180 and 67.28.190 and the provisions of chapter 82.14 RCW, the state preempts the field of imposing taxes upon retail sales of tangible personal property, the use of tangible personal property, parimutuel wagering authorized pursuant to RCW 67.16.060, conveyances, and cigarettes, and no county, town, or other municipal subdivision shall have the right to impose taxes of that nature. ((No county, city, town, or other municipal corporation shall impose any tax, fee, or charge, either direct or indirect, on the construction or reconstruction of residential buildings, commercial buildings, industrial buildings, or on any other building or building space or appurtenance thereto, or on the development, subdivision, classification, or reclassification of land. However, this section does not preclude dedications of land or easements pursuant to RCW 58.17.110 within the proposed development or plat which the county, city, town, or other municipal corporation can demonstrate are reasonably necessary as a direct result of the proposed development or plat to which the dedication of land or easement is to apply.

This section does not prohibit voluntary agreements with counties, cities, towns, or other municipal corporations that allow a payment in lieu of a dedication of land or to mitigate a direct impact that has been identified as a consequence of a proposed development, subdivision, or plat. A local government shall not use such voluntary agreements for local off-site transportation improvements within the geographic boundaries of the area or areas covered by an adopted transportation program authorized by chapter 39.92 RCW. Any such voluntary agreement is subject to the following provisions:

~~(1) The payment shall be held in a reserve account and may only be expended to fund a capital improvement agreed upon by the parties to mitigate the identified, direct impact;~~

~~(2) The payment shall be expended in all cases within five years of collection; and~~

(3) Any payment not so expended shall be refunded with interest at the rate applied to judgments to the property owners of record at the time of the refund; however, if the payment is not expended within five years due to delay attributable to the developer, the payment shall be refunded without interest.

No county, city, town, or other municipal corporation shall require any payment as part of such a voluntary agreement which the county, city, town, or other municipal corporation cannot establish is reasonably necessary as a direct result of the proposed development or plat.

Nothing in this section prohibits cities, towns, counties, or other municipal corporations from collecting reasonable fees from an applicant for a permit or other governmental approval to cover the cost to the city, town, county, or other municipal corporation of processing applications, inspecting and reviewing plans, or preparing detailed statements required by chapter 43.21C RCW.

This section does not limit the existing authority of any county, city, town, or other municipal corporation to impose special assessments on property specifically benefitted thereby in the manner prescribed by law.

Nothing in this section prohibits counties, cities, or towns from imposing or permits counties, cities, or towns to impose water, sewer, natural gas, drainage utility, and drainage system charges: PROVIDED, That no such charge shall exceed the proportionate share of such utility or system's capital costs which the county, city, or town can demonstrate are attributable to the property being charged: PROVIDED FURTHER, That these provisions shall not be interpreted to expand or contract any existing authority of counties, cities, or towns to impose such charges.

Nothing in this section prohibits a transportation benefit district from imposing fees or charges authorized in RCW 36.73.120 nor prohibits the legislative authority of a county, city, or town from approving the imposition of such fees within a transportation benefit district.

~~Nothing in this section prohibits counties, cities, or towns from imposing transportation impact fees authorized pursuant to chapter 39.92 RCW.~~

~~This section does not apply to special purpose districts formed and acting pursuant to Titles 54, 56, 57, or 87 RCW, nor is the authority conferred by these titles affected.~~))

NEW SECTION. Sec. 14. A boundary review board created under chapter 36.93 RCW shall act consistently with any regional plan applicable to the area under review by the board. The board shall not approve a boundary revision, annexation, or incorporation that would be inconsistent with a regional plan.

NEW SECTION. Sec. 15. An annexation review board created under chapter 35.13 RCW shall act consistently with any regional plan applicable to the area under review by the board. The board shall not approve a boundary revision, annexation, or incorporation that would be inconsistent with a regional plan.

NEW SECTION. Sec. 16. EXISTING LAWS. The provisions of this chapter do not limit, modify, or affect the authority of a regional authority to deny or condition approval of building construction or land development or subdivision under the authority of any other provision of law.

NEW SECTION. Sec. 17. CONSTRUCTION. The rule of strict construction does not apply to this act, and this act shall be liberally construed to permit the accomplishment of its purposes.

NEW SECTION. Sec. 18. Section captions, as used in this act, do not constitute any part of the law.

NEW SECTION. Sec. 19. Sections 1 through 6, 10, 11, 12, and 14 through 18 of this act shall constitute a new chapter in Title 64 RCW.

NEW SECTION. Sec. 20. 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. 21. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect June 1, 1990.