AN ACT Relating to the Puget Sound water quality authority; amending RCW 90.70.001, 90.70.011, 90.70.045, 90.70.055, 90.70.060, 90.70.070, 90.70.080, and 90.70.900; and adding new sections to chapter 90.70 RCW.

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

Sec. 1. Section 1, chapter 451, Laws of 1985 and RCW 90.70.001 are each amended to read as follows:

The legislature finds that Puget Sound and related inland marine waterways of Washington state represent a unique and unparalleled resource. A rich and varied range of marine organisms, composing an interdependent, sensitive communal ecosystem reside in these sheltered waters. Residents of this region enjoy a way of life centered around the waters of Puget Sound, featuring accessible recreational opportunities, world-class port facilities and water transportation systems, harvest of marine food resources, shoreline-oriented life styles, water-dependent industries, tourism, irreplaceable aesthetics and other activities, all of which to some degree depend upon a clean and healthy marine resource.

The legislature further finds that the consequences of careless husbanding of this resource have been dramatically illustrated in inland waterways associated with older and more extensively developed areas of the nation. Recent reports concerning degradation of water quality within this region's urban embayments raise alarming possibilities of similar despoliation of Puget Sound and other state waterways. These examples emphasize that the costs of restoration of aquatic resources, where such restoration is possible, greatly exceed the costs of responsible preservation.

The legislature declares that utilization of the Puget Sound resource carries a custodial obligation for preserving it. The people of the state have the unique opportunity to preserve this gift of nature, an understanding of the results of inattentive stewardship, the technical knowledge needed for control of degradation, and the obligation to undertake such control.

The legislature further finds that the large number of governmental entities that now affect the water quality of Puget Sound have diverse interests and limited jurisdictions which cannot adequately address the cumulative, wide-ranging impacts which contribute to the degradation of Puget Sound. It is therefore the policy of the state of Washington to create a single entity with adequate resources to develop a comprehensive plan for water quality protection in Puget Sound ((to)) and to provide oversight of the plan's implementation, including periodic reporting to the legislature and the governor. It is further the policy of the state of Washington that the plan be implemented by ((~~existing~~)) other state and local government agencies by using their existing regulatory and other authorities consistently with the plan and this chapter.

Sec. 2. Section 3, chapter 451, Laws of 1985 and RCW 90.70.011 are each amended to read as follows:

(1) There is established the Puget Sound water quality authority composed of ((~~seven~~)) eleven members ((~~who are~~)). Nine members shall be appointed by the governor and confirmed by the senate. In addition, the commissioner of public lands or the commissioner's designee and the director of ecology or the director's designee shall serve as ex officio members. The members shall include a representative from the counties, a representative from the cities, a representative of business interests, a marine scientist with Puget Sound research experience, and a tribal representative. The governor shall select one of the ((~~seven~~)) members other than an ex officio member to act as chair of the authority and be the presiding officer of the authority. In making these appointments, the governor shall seek to include representation of the variety of interested parties concerned about Puget Sound water quality. ((~~The commissioner of public lands and the director of ecology shall serve as ex officio, nonvoting members of the authority. The six~~)) Of the appointed members, at least one shall be selected from each of the six congressional districts surrounding Puget Sound, who may also be a representative of cities, counties, business, the tribes, or a marine scientist as specified in this subsection. All members other than ex officio members shall serve four-year terms. Of the initial members appointed to the authority, two shall serve for two years, two shall serve for three years, and two shall serve for four years. Thereafter members shall be appointed to four-year terms. Members representing cities, counties, and the tribes shall also serve four-year terms. Vacancies shall be filled by appointment for the remainder of the unexpired term of the position being vacated. The chair of the authority shall serve at the pleasure of the governor.

(2) ((~~The voting members, exclusive of the chair,~~)) Members shall be compensated as provided in RCW 43.03.250. ((~~The voting~~)) Members shall be reimbursed for travel expenses as provided in RCW 43.03.050 and 43.03.060.

(3) The ((~~chair of~~)) executive director shall be hired by the authority and shall be a full-time employee responsible for the administration of all functions of the authority, including hiring and terminating staff, contracting, coordinating with the governor, the legislature, and other state and local entities, and the delegation of responsibilities as deemed appropriate. The salary of the ((~~chair~~)) executive director shall be fixed by the governor, subject to RCW 43.03.040. Not more than four employees of the authority may be exempt from chapter 41.06 RCW.

(4) The ((~~chair~~)) authority shall prepare a budget and a work plan ((~~which are subject to review and approval by the authority~~)).

Sec. 3. Section 7, chapter 451, Laws of 1985 as amended by section 72, chapter 36, Laws of 1988 and RCW 90.70.045 are each amended to read as follows:

(1) The ((~~chair~~)) executive director shall hire staff for the authority. In so doing, the ((~~chair~~)) executive director shall recognize the many continuing planning and research activities concerning Puget Sound water quality and shall seek to acquire competent and knowledgeable staff from state, federal, and local government agencies that are currently involved in these activities.

(2) As deemed appropriate, the ((~~chair~~)) executive director may request the state departments of ecology, community development, fisheries, wildlife, agriculture, natural resources, and social and health services to each assign at least one employee to the authority. The ((~~chair~~)) executive director shall enter into an interagency agreement with agencies assigning employees to the authority. Such agreement shall provide for reimbursement, by the authority to the assigning agency, of all work-related expenditures associated with the assignment of the employees. During the term of their assignment, the ((~~chair shall have~~)) executive director has full authority and responsibility for the activities of these employees.

(3) The ((~~chair~~)) executive director shall seek assignment of appropriate federal and local government employees under available means.

Sec. 4. Section 4, chapter 451, Laws of 1985 and RCW 90.70.055 are each amended to read as follows:

The authority shall:

(1) Prepare and adopt a comprehensive Puget Sound water quality management plan, as defined in RCW 90.70.060. In preparing the plan and any substantial revisions to the plan, the authority shall consult with its advisory committee or committees and appropriate federal, state, and local agencies. The authority shall also solicit extensive participation by the public by whatever means it finds appropriate, including public hearings throughout communities bordering or near Puget Sound, dissemination of information through the news media, public notices, and mailing lists, and the organization of workshops, conferences, and seminars;

(2) During the plan's initial development and any subsequent revisions, submit ((~~quarterly~~)) annual progress reports to the governor and the legislature((.)) on plan development and implementation;

(3) Submit the plan to the governor and the legislature no later than January 1, 1987. The authority shall review each element of the plan at least every ((~~two~~)) five years and shall revise the plan, as deemed appropriate;

(4) Prepare a biennial "state of the Sound" report and submit such report to the governor, the legislature, and the state agencies and local governments identified in the plan. Copies of the report shall be made available to the public. The report shall describe the current condition of water quality and related resources in Puget Sound and shall include:

(a) The status and condition of the resources of Puget Sound, including the results of ecological monitoring, including an assessment of the economic value of Puget Sound;

(b) Current and foreseeable trends in water quality of Puget Sound and the management of its resources;

(c) Review of significant public and private activities affecting Puget Sound and an assessment of whether such activities are consistent with the plan; and

(d) Recommendations to the governor, the legislature, and appropriate state and local agencies for actions needed to remedy any deficiencies in current policies, plans, programs, or activities relating to the water quality of Puget Sound, and recommendations concerning changes necessary to protect and improve Puget Sound water quality; and

(5) Review the budgets and regulatory and enforcement activities of state agencies with responsibilities for water quality and related resources in Puget Sound; and

(6) Review state and local agencies whose plan implementation actions are inconsistent with the plan, as provided in RCW 90.70.070.

Sec. 5. Section 8, chapter 451, Laws of 1985 as amended by section 31, chapter 11, Laws of 1989 and RCW 90.70.060 are each amended to read as follows:

The plan adopted by the authority shall be a positive document prescribing the needed actions for the maintenance and enhancement of Puget Sound water quality. The plan shall address all the waters of Puget Sound, the Strait of Juan de Fuca, and, to the extent that they affect water quality in Puget Sound, all waters flowing into Puget Sound, and adjacent lands. The authority may define specific geographic boundaries within which the plan applies. The plan shall coordinate and incorporate existing planning and research efforts of state agencies and local government related to Puget Sound, and shall avoid duplication of existing efforts. The plan shall include:

(1) A statement of the goals and objectives for long and short-term management of the water quality of Puget Sound;

(2) A resource assessment which identifies critically sensitive areas, key characteristics, and other factors which lead to an understanding of Puget Sound as an ecosystem;

(3) Demographic information and assessment as relates to future water quality impacts on Puget Sound;

(4) An identification and legal analysis of all existing laws governing actions of government entities which may affect water quality management of Puget Sound, the interrelationships of those laws, and the effect of those laws on implementation of the provisions of the plan;

(5) Review and assessment of existing criteria and guidelines for governmental activities affecting Puget Sound's resources, including shoreline resources, aquatic resources, associated watersheds, recreational resources and commercial resources;

(6) Identification of research needs and priorities;

(7) Recommendations for guidelines, standards, and timetables for protection and clean-up activities and the establishment of priorities for major clean-up investments and nonpoint source management, and the projected costs of such priorities;

(8) A procedure assuring local government initiated planning for Puget Sound water quality protection;

(9) Ways to better coordinate federal, state, and local planning and management activities affecting Puget Sound's water quality;

(10) Public involvement strategies, including household hazardous waste education, community clean-up efforts, and public participation in developing and implementing the plan;

(11) Recommendations on protecting, preserving and, where possible, restoring wetlands and wildlife habitat and shellfish beds throughout Puget Sound;

(12) Recommendations for a comprehensive water quality and sediment monitoring program;

(13) Analysis of current industrial pretreatment programs for toxic wastes, and procedures and enforcement measures needed to enhance them;

(14) Recommendations for a program of dredge spoil disposal, including interim measures for disposal and storage of dredge spoil material from or into Puget Sound;

(15) Definition of major public actions subject to review and comment by the authority because of a significant impact on Puget Sound water quality and related resources, and development of criteria for review thereof;

(16) Recommendations for implementation mechanisms and potential funding sources to be used by state and local government agencies;

(17) Standards and procedures for reporting progress by state and local ((~~governments~~)) agencies in the implementation of the plan;

(18) An analysis of resource requirements and funding mechanisms for updating of the plan and plan implementation; and

(19) Legislation needed to assure plan implementation.

The authority shall circulate and receive comments on drafts of the plan mandated herein, and keep a record of all relevant comments made at public hearings and in writing. These records should be made easily available to interested persons. The authority shall also provide an opportunity for each state or local agency to comment upon a plan element or revision that it may be responsible for implementing.

As part of the plan, the authority shall prepare a strategy for implementing the plan that includes, but is not limited to: (a) Setting priorities for implementation of plan elements to facilitate executive and legislative decision making; (b) assessment of the capabilities and constraints, both internal and external, to state and local agencies that may affect plan implementation; and (c) an analysis of the strategic options in light of the resources available to the state. In developing this strategy, the authority shall consult and coordinate with other related environmental planning efforts.

To the extent practicable, funding to implement plan elements shall be identified separately in the omnibus appropriations act.

Sec. 6. Section 9, chapter 451, Laws of 1985 and RCW 90.70.070 are each amended to read as follows:

(1) In conducting planning, regulatory, and appeals actions, the state agencies and local governments identified in the plan must evaluate, and incorporate as applicable, subject to the availability of appropriated local, state, or federal funds or grants or other authorized funding sources applicable to water quality programs, the provisions of the plan, including any guidelines, standards, and timetables contained in the plan. Where lack of funding prevents full implementation, a state agency or local government shall use its best efforts to implement the plan in a timely manner. In conducting such actions, state agencies and local governments shall use their existing authorities consistent with fiscal considerations of the plan and this chapter. This subsection applies only to state agencies and local governments.

(2) The authority shall review the progress of state agencies and local governments regarding the timely implementation of the plan. Where prescribed actions have not been accomplished in accordance with the plan, the responsible state agencies and local governments shall, at the request of the authority, submit written explanations for the shortfalls, together with their proposed remedies, to the authority.

The results of the review and a description of the actions necessary to comply with the plan shall be included in the biennial state of the Sound report. The authority may also report to the legislature and the governor at any time regarding actions of one or more state or local agencies that are inconsistent with the plan.

(3) The state agencies and local governments identified in the plan shall review their activities biennially and document their consistency with the plan. They shall submit written reports or updates of their findings to the authority.

(4) The authority shall review the major actions affected by the plan being considered by the state agencies and local governments and shall comment in a timely manner regarding consistency with the plan and may participate in administrative and subsequent judicial proceedings with respect to such actions. Any deviations from the plan, identified by the authority, shall be transmitted in writing by the authority to the responsible state agency or local government.

(5) The implementation of the regulatory elements of the plan is solely the responsibility of state and federal agencies and local governments identified in the plan. Except as specifically provided in this chapter, the authority is not responsible for enforcement of the plan.

Sec. 7. Section 10, chapter 451, Laws of 1985 and RCW 90.70.080 are each amended to read as follows:

(1) To implement this chapter, state agencies are authorized to adopt rules that are applicable to actions and activities on a less than state-wide geographic basis. State agencies are encouraged to adopt rules that protect Puget Sound water quality before the adoption of the plan by the authority.

(2) A rule to implement an element of the plan shall contain a statement defining the geographic area within Puget Sound to which it applies. In determining the geographic area, state agencies shall consider at least the following factors:

(a) Number and location of primary affected persons;

(b) Geographical distribution of the actions and activities;

(d) Difficulty and practicality of implementation, including the effects on existing agency programs;

(e) Expected environmental benefits;

(f) Availability of information related to the actions and activities; and

(g) Requirements of other state or federal laws, rules, and policies.

(3) To implement this chapter, counties, cities, and towns are authorized to adopt ordinances, rules, and regulations that are applicable on less than a county-wide, city-wide, or town-wide basis. Counties, cities, and towns are encouraged to adopt ordinances, rules, and regulations that protect Puget Sound water quality before the adoption of the plan by the authority.

NEW SECTION. Sec. 8. A new section is added to chapter 90.70 RCW to read as follows:

(1) In addition to other powers and duties specified in this chapter, the authority shall ensure implementation of the Puget Sound ambient monitoring program established in the plan under RCW 90.70.060(12). The program shall:

(a) Develop baseline data and examine differences among areas of Puget Sound;

(b) Take measurements relating to specific program elements identified in the plan;

(d) Provide a permanent record of significant natural and human-caused changes in key environmental indicators in Puget Sound;

(e) Organize the data obtained in a manner to measure trends in key environmental indicators over time in Puget Sound or specific portions of Puget Sound; and

(f) Help support research on Puget Sound.

(2) To ensure proper coordination of the ambient monitoring program, the authority may establish an interagency coordinating committee consisting of representatives from the departments of ecology, fisheries, natural resources, wildlife, and health, and such federal, local, tribal, and other organizations as are necessary to implement the program.

(3) Each state or local agency or person with responsibilities for implementing the Puget Sound ambient monitoring program, as specified in the plan, shall participate in the program.

NEW SECTION. Sec. 9. A new section is added to chapter 90.70 RCW to read as follows:

(1) At least twenty days before public hearings commence regarding a proposal to adopt or revise the plan or any portion of it, the authority shall cause to be published in the state register the following information:

(a) A summary of the proposal;

(b) The personnel, with their office location and telephone numbers, who are responsible for the drafting of the proposal; and

(2) The authority may not adopt any portion of the plan that is substantially different from that which was summarized in the state register under subsection (1) of this section, unless a supplemental notice is published in the state register allowing public comment on the proposed variance for consideration by the authority before any adoption meeting. The following factors shall be considered in determining whether an adopted plan is substantially different from the published proposal:

(a) The extent to which a reasonable person affected by the adopted plan would have understood that the published proposal would affect his or her interests;

(b) The extent to which the subject of the adopted plan or the issues determined in it are substantially different from the subject or issues involved in the published proposal; and

NEW SECTION. Sec. 10. A new section is added to chapter 90.70 RCW to read as follows:

In addition to other powers and duties specified in this chapter, the authority may form a public nonprofit corporation in the same manner as a private nonprofit corporation is formed under chapter 24.03 RCW, the Washington Nonprofit Corporation Act. The public corporation shall be an instrumentality of the state and have all the powers and be subject to the same restrictions as are permitted or prescribed to private nonprofit corporations but shall exercise these powers only for carrying out the purposes of this section. The public corporation shall be known as the Puget Sound Foundation. The purposes of the foundation shall be to:

(1) Receive, disburse, and administer gifts, grants, endowments, or other funds from any source that support a comprehensive and coordinated program of research and education activities connected with Puget Sound water quality, consistent with the purposes of this chapter;

(2) Promote the coordination and support of research and education activities that address the cumulative effects of decisions on the Puget Sound ecosystem; and

(3) Assist in making the results of research available and useful to the decision-making process.

Sec. 11. Section 6, chapter 243, Laws of 1983 as amended by section 11, chapter 451, Laws of 1985 and RCW 90.70.900 are each amended to read as follows:

The Puget Sound water quality authority shall cease to exist and this chapter shall expire on June 30, ((~~1991~~)) 1997.