(1) The oyster reserve land account is created in the state treasury. All receipts from revenues from the lease of land or sale of shellfish from oyster reserve lands must be deposited into the account. Moneys in the account may be spent only after appropriation. Expenditures from the account may be used only as provided in this section.
(2) Funds in the account shall be used for the purposes provided for in this subsection:
(a) Up to forty percent for:
(i) The management expenses incurred by the department that are directly attributable to the management of the oyster reserve lands; and
(ii) The expenses associated with new bivalve shellfish research and development activities at the Pt. Whitney and Nahcotta shellfish laboratories managed by the department. As used in this subsection, "new research and development activities" includes an emphasis on the control of aquatic nuisance species and burrowing shrimp. New research and development activities must be identified by the department and the appropriate oyster reserve advisory committee;
(b) Up to ten percent may be deposited into the state general fund; and
(c) Except as provided in subsection (3) of this section, all remaining funds in the account shall be used for the shellfish—
on-site sewage grant program established in RCW 77.60.170
(3)(a) No later than January 1st of each year, the department shall transfer up to fifty percent of the annual revenues generated in the preceding year from the Willapa harbor oyster reserve to the on-site sewage grant program established under RCW 77.60.170
as necessary to achieve a fund balance of one hundred thousand dollars.
(b) All remaining revenues received from the Willapa harbor oyster reserve shall be used to fund research activities as specified in subsection (2)(a) of this section.