Statutes Authorizing the Agency to Adopt Rules on this Subject: Chapter 90.50A RCW, Water pollution control facilities--Federal capitalization grants.

Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: The rule became effective in 1989 and needs to be updated in order to improve ecology's flexibility in providing effective and efficient financial assistance to local governments. Changes relate to an ongoing effort to achieve a high level of consistency between the SRF and the state-funded centennial clean water fund, and to insure the perpetuity of the fund. Other changes are simply "housekeeping" or are intended to clarify the existing rule or put existing policy into rule form.

Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: The existing "Financial Assistance Realignment Committee" includes representatives of other state and federal agencies that are involved in the issue.

Process for Developing New Rule: Traditional rule making.

Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication. Public workshops in Spokane, Yakima and Lacey in June; public hearing in Lacey in September. For more information contact Brian Howard, (360) 407-6510, e-mail brho461@ecy.wa.gov or Tim Hilliard, (360) 407-6429, e-mail thil461@ecy.wa.gov, FAX (360) 407-6426, Department of Ecology, Box 47600, Olympia, WA 98504-7600.

May 28, 1998

Megan White, PE

Program Manager