SUBSTITUTE HOUSE BILL NO. 2012


                                                           AS AMENDED BY THE SENATE


                                                                            C 298 L 89



State of Washington                               51st Legislature                              1989 Regular Session


By House Committee on Local Government (originally sponsored by Representatives Haugen, Ferguson, Cantwell, Wolfe, Nealey and Phillips)



Read first time 2/27/89.



AN ACT Relating to restrictions on the sale or lease of port district land; and amending RCW 53.08.040 and 53.08.080.




        Sec. 1.  Section 5, chapter 65, Laws of 1955 as last amended by section 1, chapter 54, Laws of 1972 ex. sess. and RCW 53.08.040 are each amended to read as follows:

          A district may improve its lands by dredging, filling, bulkheading, providing waterways or otherwise developing such lands ((for sale or lease)) for industrial and commercial purposes.  A district may also acquire, construct, install, improve, and operate sewer and water utilities to serve its own property and other property owners under terms, conditions, and rates to be fixed and approved by the port commission.  A district may also acquire, by purchase, construction, lease, or in any other manner, and may maintain and operate other facilities for the control or elimination of air, water, or other pollution, including, but not limited to, facilities for the treatment and/or disposal of industrial wastes, and may make such facilities available to others under terms, conditions and rates to be fixed and approved by the port commission.  Such conditions and rates shall be sufficient to reimburse the port for all costs, including reasonable amortization of capital outlays caused by or incidental to providing such other pollution control facilities:  PROVIDED, That no part of such costs of providing any pollution control facility to others shall be paid out of any tax revenues of the port:  AND PROVIDED FURTHER, That no port shall enter into an agreement or contract to provide sewer and/or water utilities or pollution control facilities if substantially similar utilities or facilities are available from another source (or sources) which is able and willing to provide such utilities or facilities on a reasonable and nondiscriminatory basis unless such other source (or sources) consents thereto.

          In the event that a port elects to make such other pollution control facilities available to others, it shall do so by lease, lease purchase agreement, or other agreement binding such user to pay for the use of said facilities for the full term of the revenue bonds issued by the port for the acquisition of said facilities, and said payments shall at least fully reimburse the port for all principal and interest paid by it on said bonds and for all operating or other costs, if any, incurred by the port in connection with said facilities:  PROVIDED, HOWEVER, That where there is more than one user of any such facilities, each user shall be responsible for its pro rata share of such costs and payment of principal and interest.  Any port intending to provide pollution control facilities to others shall first survey the port district to ascertain the potential users of such facilities and the extent of their needs.  The port shall conduct a public hearing upon the proposal and shall give each potential user an opportunity to participate in the use of such facilities upon equal terms and conditions.


        Sec. 2.  Section 9, chapter 65, Laws of 1955 as last amended by section 1, chapter 64, Laws of 1983 and RCW 53.08.080 are each amended to read as follows:

          A district may lease all lands, wharves, docks and real and personal property owned and controlled by it, for such purposes and upon such terms as the port commission deems proper:  PROVIDED, That no lease shall be for a period longer than fifty years with option for extensions for up to an additional thirty years, except where the property involved is or is to be devoted to airport purposes the port commission may lease said property for such period as may equal the estimated useful life of such work or facilities, but not to exceed seventy-five years:  PROVIDED FURTHER, That where the property is held by the district under lease from the United States government or the state of Washington, or any agency or department thereof, the port commission may sublease said property, with option for extensions, up to the total term and extensions thereof permitted by such lease, but in any event not to exceed ninety years.

                                                                                                                           Passed the House April 15, 1989.


                                                                                                                                         Speaker of the House.


                                                                                                                             Passed the Senate April 4, 1989.


                                                                                                                                       President of the Senate.