CERTIFICATION OF ENROLLMENT

SECOND SUBSTITUTE HOUSE BILL 1557

Chapter 295, Laws of 1997

55th Legislature

1997 Regular Session

TAX EXEMPTIONS FOR PROPERTY IMPROVEMENTS USED FOR HABITAT RESTORATION AND PROTECTION AND WATER QUANTITY AND QUALITY IMPROVEMENT

EFFECTIVE DATE: 7/27/97

Passed by the House April 21, 1997

Yeas 97 Nays 0

CLYDE BALLARD

Speaker of the

House of Representatives

Passed by the Senate April 11, 1997

Yeas 43 Nays 0

CERTIFICATE

I, Timothy A. Martin, Chief Clerk of the House of Representatives of the State of Washington, do hereby certify that the attached is SECOND SUBSTITUTE HOUSE BILL 1557 as passed by the House of Representatives and the Senate on the dates hereon set forth.

BRAD OWEN

President of the Senate

TIMOTHY A. MARTIN

Chief Clerk

Approved May 9, 1997

FILED

May 9, 1997 - 1:42 p.m.

GARY LOCKE

Governor of the State of Washington

Secretary of State

State of Washington

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SECOND SUBSTITUTE HOUSE BILL 1557

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Passed Legislature - 1997 Regular Session

AS AMENDED BY THE SENATE

State of Washington 55th Legislature 1997 Regular Session

By House Committee on Finance (originally sponsored by Representatives Buck, Linville, Crouse, Kastama, Hankins, Grant, Lisk, Doumit, Hatfield, Johnson and Regala)

Read first time 03/10/97.

AN ACT Relating to taxation of property improvements used for fish and wildlife habitat restoration and protection and water quantity and quality improvement programs; adding a new section to chapter 84.36 RCW; adding a new section to chapter 89.08 RCW; and creating new sections.

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

NEW SECTION. Sec. 1. The purpose of this act is to improve fish and wildlife habitat, water quality, and water quantity for the benefit of the public at large. Private property owners should be encouraged to make voluntary improvements to their property as recommended by governmental agencies without the penalty of paying higher property taxes as a result of those improvements.

NEW SECTION. Sec. 2. A new section is added to chapter 84.36 RCW to read as follows:

(1) All improvements to real and personal property that benefit fish and wildlife habitat, water quality, or water quantity are exempt from taxation if the improvements are included under a written conservation plan approved by a conservation district. The conservation districts shall cooperate with the federal natural resource conservation service, other conservation districts, the department of ecology, the department of fish and wildlife, and nonprofit organizations to assist landowners by working with them to obtain approved conservation plans so as to qualify for the exemption provided for in this section. As provided in subsection (3) of this section and section 3(2) of this act, a conservation district shall certify that the best management practice benefits fish and wildlife habitat, water quality, or water quantity. A habitat conservation plan under the terms of the federal endangered species act shall not be considered a conservation plan for purposes of this exemption.

(2) The exemption shall remain in effect only if improvements identified in the written best management practices agreement are maintained as originally approved or amended. Improvements made as a requirement to mitigate for impacts to fish and wildlife habitat, water quality, or water quantity are not eligible for exemption under this section.

(3) A claim for exemption under this section may be filed annually with the county assessor at any time during the year for exemption from taxes levied for collection in the following year when submitted on forms prescribed by the department of revenue developed in consultation with the conservation district. The landowner shall certify each year that the improvements for which exemption is sought are maintained as originally approved or amended in the written conservation plan. The claim must contain the certification by the conservation district that the improvements for which exemption is sought were included under a written conservation plan approved by the conservation district including best management practices that benefit fish and wildlife habitat, water quality, or water quantity.

NEW SECTION. Sec. 3. A new section is added to chapter 89.08 RCW to read as follows:

(1) For the purpose of identifying property that may qualify for the exemption provided under section 2 of this act, each conservation district shall develop and maintain a list of best management practices that qualify for the exemption.

(2) Each conservation district shall ensure that the appropriate forms approved by the department of revenue are made available to property owners who may qualify for the exemption under section 2 of this act and shall certify claims for exemption as provided in section 2(3) of this act.

NEW SECTION. Sec. 4. Section 2 of this act applies to taxes levied for collection in 1998 and thereafter.