(1) No municipality shall exercise any of the powers hereafter conferred upon municipalities by this chapter until after its local governing body shall have adopted an ordinance or resolution finding that: (a) One or more blighted areas exist in such municipality; and (b) the rehabilitation, redevelopment, or a combination thereof, of such area or areas is necessary in the interest of the public health, safety, morals, or welfare of the residents of such municipality.
(2) After adoption of the ordinance or resolution making the findings described in subsection (1) of this section, the local governing body of the municipality may elect to have the powers of a community renewal agency under this chapter exercised in one of the following ways:
(a) By appointing a board or commission composed of not less than five members, which board or commission shall include municipal officials and elected officials, selected by the mayor, with approval of the local governing body of the municipality; or
(b) By the local governing body of the municipality directly; or
(c) By the board of a public corporation, commission, or authority under chapter
35.21 RCW, or a public facilities district created under chapter
35.57 or
36.100 RCW, or a public port district created under chapter
53.04 RCW, or a housing authority created under chapter
35.82 RCW, that is authorized to conduct activities as a community renewal agency under this chapter.