SENATE BILL REPORT

                   SB 5385

                As Passed Senate, March 9, 1999

Title:  An act relating to dissolution of cultural arts, stadium and convention districts.

Brief Description:  Providing an alternative method for dissolution of cultural arts, stadium and convention districts.

Sponsors:  Senators Shin, Prentice, Winsley, Jacobsen, Patterson, T. Sheldon, Benton, Finkbeiner, Snyder, Rasmussen, Goings, Haugen, Hargrove, Gardner, Heavey, Deccio and McAuliffe.

Brief History:

Committee Activity:  State & Local Government:  2/1/99, 2/3/99 [DP].

Passed Senate, 3/9/99, 49-0.

SENATE COMMITTEE ON STATE & LOCAL GOVERNMENT

Majority Report:  Do pass.

  Signed by Senators Patterson, Chair; Gardner, Vice Chair; Haugen, Horn, Kline and McCaslin.

Staff:  Eugene Green (786-7405)

Background:  A cultural arts, stadium and convention district provides cultural arts facilities, convention facilities, and stadiums.  Approval by simple majority vote creates the district.  The district may include both unincorporated and incorporated areas, but not part of a city or town.  The governing body is composed of up to nine elected or appointed officials of the county, cities, port districts, school districts, or community colleges.  The boundaries of the district must follow school district or community college boundaries as far as practicable.  The activities of the district are funded by: revenue bonds; general obligation bonds; excess voter approved property taxes; and regular property taxes of up to 25 cents per $1,000 of assessed valuation for a six-year period when authorized by 60 percent or more voter approval.

A cultural arts, stadium and convention district may only be dissolved and its affairs liquidated when so directed by a majority of the persons in the district voting on such question.

Summary of Bill:  An alternative procedure for dissolution of a cultural arts, stadium and convention district is authorized.  A petition for an order of dissolution may be submitted to the superior court of a county of the district.  The petition must be signed by a majority of each legislative authority of each county and component city of the district, and of each municipality that has a representative on the governing body of the district.  All signatures must have been collected within 120 days of the date of submission to the court.  Dissolution procedures are specified.

Appropriation:  None.

Fiscal Note:  Not requested.

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

Testimony For:  The district has failed three times to provide property tax funding.  It has no assets to pay for an election to dissolve the district.  It is not fair to ask all of Snohomish County to absorb the cost.  All nine elected officials on the governing board support this alternative dissolution process.

Testimony Against:  None.

Testified:  Senator Paull Shin, prime sponsor (pro); Gary Nelson, Snohomish County Council (pro).

House Amendment(s):  The requirement for signatures on the petition to superior court for dissolution is altered from all legislative bodies on the governing board to at least two-thirds of the legislative bodies.