AN ACT Relating to transportation corridors; amending RCW 82.44.150; and adding a new chapter to Title 43 RCW.

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

NEW SECTION. Sec. 1. The legislature finds that dramatic changes will inevitably occur along transportation corridors if major transportation systems such as light-rail and other rail systems, airports, ferry terminals, and freeways are constructed in the state. Consequently, affected local governments and citizens must clearly assess the impact of a major transportation system upon land use prior to the construction of such a system.

It is the intent of the legislature to require a minimal land use planning process for property within one mile along each side of the transportation corridor. The process shall involve consideration of community assets that may be adversely impacted by the construction of the system, and consideration of ways to preserve or enhance those assets. The opinions of citizens shall be solicited.

NEW SECTION. Sec. 2. Upon the determination that a transportation corridor is likely to be converted to use as a major transportation system, and prior to the construction of the system, affected cities and counties shall conduct an audit of community resources and follow a minimal land use planning process, to be known as the local government review process, for property located within one mile along each side of the corridor. Actions such as preparation of a draft environmental impact statement or hearings by a local governing body shall be considered evidence that an audit and minimal planning process is required. A detailed statement of the results of this process shall be included in the final environmental impact statement required by RCW 43.21C.030(2)(c).

NEW SECTION. Sec. 3. The department of community development shall administer grants to local jurisdictions to conduct the review process required by this chapter and to conduct the community assessment process required by section 6 of this act. The department shall have rule-making authority concerning the administration of grants, community assessment surveys, and the local government review process required by this chapter.

NEW SECTION. Sec. 4. The community assessment fund is hereby established in the custody of the state treasurer. The department of community development shall deposit in the fund all moneys received from the distribution of funds under RCW 82.44.150(2). Moneys in the fund may be spent only for administration and funding of the grant program established by this chapter. Disbursements from the fund shall be on authorization of the director of community development or the director's designee. The fund is subject to the allotment procedure provided under chapter 43.88 RCW, but no appropriation is required for disbursements.

NEW SECTION. Sec. 5. The local government review process required by section 2 of this act shall include at a minimum the following elements:

(1) Consideration of the preservation of open space lands.

(2) Consideration of the preservation of historic properties and properties that are deemed to be significant assets to the community.

(3) Consideration of zoning standards.

(4) Consideration of infrastructure requirements.

(5) Consideration of comprehensive planning.

(6) Consideration of the results of the community assessment process established by section 6 of this act.

NEW SECTION. Sec. 6. (1) The department of community development shall establish and administer the community assessment process. The department shall contract with local governments to perform the community assessment survey.

(2) Notice of the pendency of the community assessment process shall be published at least twice in major newspapers of general circulation in the jurisdiction, and in addition the local government may provide notice through other media.

(3) The survey required by this section shall solicit the opinions of citizens on the impact of the proposed major transportation corridor on the following:

(a) The preservation of open space lands.

(b) The preservation of historic properties and properties that are deemed to be assets to the community.

(d) Infrastructure requirements.

(e) Comprehensive planning.

(4) Results of the survey shall be reported to affected local governments and the department of community development, and shall be included in the local government review process.

NEW SECTION. Sec. 7. Sections 1 through 6 of this act shall constitute a new chapter in Title 43 RCW.

Sec. 8. Section 1, chapter 18, Laws of 1988 and RCW 82.44.150 are each amended to read as follows:

(1) The director of licensing shall on the twenty-fifth day of February, May, August, and November of each year, commencing with November, 1971, advise the state treasurer of the total amount of motor vehicle excise taxes remitted to the department of licensing during the preceding calendar quarter ending on the last day of March, June, September, and December, respectively, except for those payable under RCW 82.44.020(6) and 82.44.030, from motor vehicle owners residing within each municipality which has levied a tax under RCW 35.58.273, which amount of excise taxes shall be determined by the director as follows:

The total amount of motor vehicle excise taxes remitted to the department, except those payable under RCW 82.44.020(6) and 82.44.030, from each county shall be multiplied by a fraction, the numerator of which is the population of the municipality residing in such county, and the denominator of which is the total population of the county in which such municipality or portion thereof is located. The product of this computation shall be the amount of excise taxes from motor vehicle owners residing within such municipality or portion thereof. Where the municipality levying a tax under RCW 35.58.273 is located in more than one county, the above computation shall be made by county, and the combined products shall provide the total amount of motor vehicle excise taxes from motor vehicle owners residing in the municipality as a whole. Population figures required for these computations shall be supplied to the director by the office of financial management, who shall adjust the fraction annually.

(2) On the first day of the months of January, April, July, and October of each year, the state treasurer based upon information provided by the department of licensing shall make the following apportionment and distribution of motor vehicle excise taxes deposited in the general fund except taxes collected under RCW 82.44.020(6). A sum equal to seventeen percent thereof shall be paid to cities and towns in the proportions and for the purposes hereinafter set forth; a sum equal to two percent thereof shall be allocable to the county sales and use tax equalization account under RCW 82.14.200; a sum equal to one percent thereof shall be allocable to the community assessment fund under section 4 of this act; and a sum equal to four and two-tenths percent of the special excise tax levied under RCW 35.58.273 by those municipalities authorized to levy a special excise tax at a rate not exceeding ninety-six one-hundredths of one percent on the fair market value of every motor vehicle owned by a resident of such municipality shall be deposited in the rail development account established in RCW 47.78.010.

(3) The amount payable to cities and towns shall be apportioned among the several cities and towns within the state according to the following formula:

(a) Sixty-five percent of the sum specified in subsection (2) of this section to be paid to cities and towns shall be apportioned ratably on the basis of population as last determined by the office of financial management.

(b) Thirty-five percent of the sum specified in subsection (2) of this section to be paid to cities and towns shall be apportioned to cities and towns under RCW 82.14.210.

(4) When so apportioned, the amount payable to each such city and town shall be transmitted to the city treasurer thereof, and shall be utilized by such city or town for the purposes of police and fire protection and the preservation of the public health therein, and not otherwise. In case it be adjudged that revenue derived from the excise tax imposed by this chapter cannot lawfully be apportioned or distributed to cities or towns, all moneys directed by this section to be apportioned and distributed to cities and towns shall be credited and transferred to the state general fund.

(5) On the first day of the months of January, April, July, and October of each year, the state treasurer, based upon information provided by the department of licensing, shall remit motor vehicle excise tax revenues imposed and collected under RCW 35.58.273 as follows:

(a) The amount required to be remitted by the state treasurer to the treasurer of any municipality levying the tax shall not exceed in any calendar year the amount of locally-generated tax revenues, excluding the excise tax imposed under RCW 35.58.273 for the purposes of this section, which shall have been budgeted by the municipality to be collected in such calendar year for any public transportation purposes including but not limited to operating costs, capital costs, and debt service on general obligation or revenue bonds issued for these purposes; and

(b) In no event may the amount remitted in a single calendar quarter exceed the amount collected on behalf of the municipality under RCW 35.58.273 during the calendar quarter next preceding the immediately preceding quarter.

(6) At the close of each calendar year accounting period, but not later than April 1, each municipality that has received motor vehicle excise taxes under subsection (5) of this section shall transmit to the director of licensing and the state auditor a written report showing by source the previous year's budgeted tax revenues for public transportation purposes as compared to actual collections. Any municipality that has not submitted the report by April 1 shall cease to be eligible to receive motor vehicle excise taxes under subsection (5) of this section until the report is received by the director of licensing. If a municipality has received more or less money under subsection (5) of this section for the period covered by the report than it is entitled to receive by reason of its locally-generated collected tax revenues, the director of licensing shall, during the next ensuing quarter that the municipality is eligible to receive motor vehicle excise tax funds, increase or decrease the amount to be remitted in an amount equal to the difference between the locally-generated budgeted tax revenues and the locally-generated collected tax revenues. In no event may the amount remitted for a calendar year exceed the amount collected on behalf of the municipality under RCW 35.58.273 during that same calendar year. At the time of the next fiscal audit of each municipality, the state auditor shall verify the accuracy of the report submitted and notify the director of licensing of any discrepancies.

(7) The motor vehicle excise taxes imposed under RCW 35.58.273 and required to be remitted under this section shall be remitted without legislative appropriation.

(8) Any municipality levying and collecting a tax under RCW 35.58.273 which does not have an operating, public transit system or a contract for public transportation services in effect within one year from the initial effective date of the tax shall return to the state treasurer all motor vehicle excise taxes received under subsection (5) of this section.