AN ACT Relating to farmlands; amending RCW 36.70.760 and 82.46.030; adding a new chapter to Title 15 RCW; and making an appropriation.

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

NEW SECTION. Sec. 1. (1) It is the intent of the legislature that a comprehensive assessment be conducted to determine the long-term health of the agricultural economy and resource base in the state of Washington. In addition to the substantial economic benefits that agriculture provides to the state, farming is an occupation that forms the core of rural ways of life that the state seeks to maintain. Those persons engaged in agriculture exercise a stewardship responsibility with regard to the land which serves as an example to all of the state's citizens of our dependence upon the land's renewable resources. During the centennial of our statehood it is important to establish a policy of avoiding state or local government actions which unnecessarily diminish farmlands, and to conduct a study regarding the means by which both the public and private sectors may assist in protecting farmlands and farm occupations.

(2) This chapter shall be known and cited as the "Washington farm heritage act."

NEW SECTION. Sec. 2. On or before January 1, 1990, the department of agriculture shall prepare a comprehensive report on the present condition of and future impacts upon the farmland resource base in the state. The report shall include:

(1) An inventory of the farmlands of the state, including land in current production, fallow lands, and any farmlands in a conservation reserve or other similar classification;

(2) Information regarding conversion of farmlands to nonfarm uses during the past decade and projections of conversion through the year 2000;

(3) A discussion of soil erosion rates in different regions of the state, and recommended farming and other practices to reduce soil erosion;

(4) Recommendations regarding farming methods and practices which help to protect environmentally sensitive areas and protect the long-term productivity of the land;

(5) An assessment of the economic and environmental benefits of farmland and farming activity, including jobs directly and indirectly dependent upon farming, and the provision of open space, wildlife habitat, recreational opportunity, and other benefits;

(6) A study of the relationship between farmland conversion and the actions of boundary review boards;

(7) Development of a model local ordinance for the protection of farmland; and

(8) Recommendations for administrative or legislative action to discourage excessive conversion of farmland to other uses, and to encourage the role of private, nonprofit organizations in the protection of farmland.

Sec. 3. Section 36.70.760, chapter 4, Laws of 1963 and RCW 36.70.760 are each amended to read as follows:

For the purpose set forth in RCW 36.70.750 the county may divide a county, or portions thereof, into zones which, by number, shape, area and classification are deemed to be best suited to carry out the purposes of this chapter, including establishing exclusive farm use zones.

Sec. 4. Section 13, chapter 49, Laws of 1982 1st ex. sess. and RCW 82.46.030 are each amended to read as follows:

(1) The county treasurer shall place one percent of the proceeds of the taxes imposed under RCW 82.46.010 in the county current expense fund to defray costs of collection.

(2) The remaining proceeds from the county tax under RCW 82.46.010(1) shall be placed in a county capital improvements fund. The remaining proceeds from city or town taxes under RCW 82.46.010(1) shall be distributed to the respective cities and towns monthly and placed by the city treasurer in a municipal capital improvements fund. These capital improvements funds shall be used by the respective jurisdictions for local improvements, including those listed in RCW 35.43.040.

(3) This section does not limit the existing authority of any city, town, or county to impose special assessments on property specially benefited thereby in the manner prescribed by law.

(4) The legislative authority of a county, city, or town may designate up to twenty-five percent of the tax proceeds set aside in subsection (2) of this section, for the purchase or acquisition of development rights in farmland or other real property interests in farmland as defined in RCW 64.04.130.

NEW SECTION. Sec. 5. (1) Any state agency proposing a capital improvement project to be carried out by the agency or to be funded in whole or in part by funds administered by the agency shall assess the impact which the project may have upon farmland. Where a project may result in an unnecessary or excessive conversion of farmland to nonfarm uses, the agency may modify the project or adopt measures to eliminate or mitigate the adverse effects upon farmland.

(2) Where a proposed capital improvement project includes the acquisition and improvement of a right of way for a transportation, utility, wastewater treatment, or similar project, the reviewing agency shall consider alternatives which minimize the loss of farmland and which ensure that remaining farmland ownerships are economically viable. These alternatives include, but are not limited to:

(a) Adopting alternative alignments which use the poorest quality farmland with the most impediments to farming;

(b) Adopting alignments which closely follow existing property lines and field boundaries; and

(c) Adopting alternatives which involve rehabilitation or expansion of existing facilities, resulting in a lesser impact upon farmland.

NEW SECTION. Sec. 6. (1) The department of agriculture shall administer a program of competitive grants for the purpose of encouraging local government farmland protection programs and the participation of private, nonprofit organizations in the protection of farmland.

(2) Any county may apply for a grant under this section. Grants shall be used for the development of a local government plan for the protection of farmland within the county. The plan shall include both regulatory and incentives measures, and shall include measures to encourage the formation and operation of private, nonprofit organizations whose purpose is in substantial part the protection of farmland.

(3) The department shall develop and distribute to all counties guidelines for the award of grants under this section. The department may adopt a local match requirement not exceeding twenty-five percent as a grant eligibility condition.

(4) For the biennium ending June 30, 1991, the department shall award a maximum of three grants under this section. The department shall award the grants to those applications proposing to develop a plan which may serve as a model for other jurisdictions in the state.

NEW SECTION. Sec. 7. Sections 1, 2, 5, and 6 of this act shall constitute a new chapter in Title 15 RCW.

NEW SECTION. Sec. 8. The sum of .......... dollars, or as much thereof as may be necessary, is appropriated to the department of agriculture from the general fund for the biennium ending June 30, 1991, to carry out the purposes of this act.