Washington State House of Representatives	BILL ANALYSIS
Transportation Committee

HB 1686

Brief Description:  Allocating new transportation revenues.

Sponsors:  Representatives Fisher, Mitchell and Poulsen; by request of The Blue Ribbon Commission on Transportation.

Brief Summary of Bill

$Provides for the allocation of new transportation funds to ensure that all regions of the state receive adequate funds for basic operations, maintenance, preservation, and safety.

$Provides that each region get back at least 85 percent of moneys it generates toward new statewide taxes.

Hearing Date:  2/22/01

Staff:  Gene Baxstrom (786‑7303).

Background: 

The Governor and the Legislature created the Blue Ribbon Commission on Transportation (BRCT) in 1998 to:  1) assess the local, regional, and state transportation system; 2) ensure that current and future money is spent wisely; 3) make the system more accountable and predictable; and 4) prepare a 20-year plan for funding and investing in the transportation system.  In December 2000 the BRCT issued its findings and recommendations.

Recommendation 15 of the BRCT allows regions to retain the funds they raise.  More specifically, the BRCT recommended that the Legislature adopt a regional equity principle for distribution of new funds to regions of the state, based upon the following three tiers:

  (1)allocate sufficient funds statewide to all regions for basic transportation operations, maintenance, preservation, and safety at a minimum agreed upon level;

  (2)allocate all other new funds such that each region is guaranteed a minimum return of 85 percent of funds generated in that region, and allocate remaining funds to a statewide equalization fund to be distributed to negative equity regions; and

  (3)allocate all funds regionally authorized directly to the region in which they are generated.

Summary of Bill: 

Any new revenue generated after January 1, 2001 for state transportation programs must be distributed as follows:

  (1)statewide distribution among the regions of the state so that there are sufficient funds in each region for basic operations, maintenance, preservation, and safety at a minimum level defined by the Transportation Commission.  This minimum level shall be developed in cooperation with the Association of Washington Cities and the Washington Association of Counties;

  (2)after the funds are distributed as provided in (1), the remaining funds must be distributed to regions so that each region receives 85 percent of the funds generated by that region; and

  (3)any funds remaining after the distribution in (2) constitute an equalization fund and must be distributed to regions that receive a lesser amount of funds than they generate.

The Transportation Commission must work with the Association of Washington Cities and the Washington Association of Counties to define the transportation regions.  The commission must submit its definition of regions to the Legislature by January 15, 2002.

Appropriation:  None.

Fiscal Note:  Available.

Effective Date:  The bill takes effect on January 1, 2002, upon approval by a majority of those voting at the November 2001 general election.