HOUSE BILL REPORT

                  HB 1319

             As Reported By House Committee On:

                  Natural Resources & Parks

Title:  An act relating to the land bank.

Brief Description:  Modifying provisions relating to exchange of urban land for land bank land.

Sponsors:  Representatives Pruitt, Morton, R. Johnson, R. Meyers, Flemming, G. Cole and Romero.

Brief History:

  Reported by House Committee on:

Natural Resources & Parks, February 17, 1993, DP.

HOUSE COMMITTEE ON NATURAL RESOURCES & PARKS

Majority Report:  Do pass.  Signed by 7 members:  Representatives Pruitt, Chair; R. Johnson, Vice Chair; Dunshee; Linville; Sheldon; Valle; and Wolfe.

Minority Report:  Do not pass.  Signed by 4 members:  Representatives Morton, Ranking Minority Member; Stevens, Assistant Ranking Minority Member; Schoesler; and Thomas.

Staff:  Tim Burke (786-7103).

Background:  State law creates a "land bank" within the Department of Natural Resources.  A key purpose of this law is to enable the department to purchase, and place in the land bank, property which the department believes "is desirable for addition to the public lands of this state because of... (its) potential for natural resource or income production...." and to exchange it for property that the department manages and that has low potential for natural resource management or income potential.

In instances where the department desires to sell urban property that it has exchanged with land bank property, the department is required to provide notice of the sale to state agencies and to the county, city, or town where the property is located.  The state agencies and local governments are then afforded the opportunity to purchase the urban land for its market value.  In 1992, the Legislature enacted a law permitting the department to sell real property to a "public agency" at fair market value and without public auction.  This law expansively defined "public agency" to include any federal agency, any federally recognized Indian tribe, or any Washington state agency or local government.

Summary of Bill:  The 1992 law permitting the department to sell real property to a "public agency" at fair market value and without public auction applies to the department's sale of urban property under the land bank program.  As such, the department is expressly granted the power to sell this urban property without public auction and to sell it to any federal agency, federally recognized Indian tribe, or any Washington state agency or local government. 

Fiscal Note:  Not requested.

Effective Date:  Ninety days after adjournment of session in which bill was passed.

Testimony For:  The bill clarifies that an auction is not necessary when DNR sells land bank land to a public agency and conforms the land bank law to the 1992 law authorizing DNR to sell land, without auction, to the list of public agencies specified in that law.

Testimony Against:  None.

Witnesses:  Stan Biles, Department of Natural Resources (pro).