AN
ACT Relating to community renewal; amending RCW 35.81.010, 35.81.020,
35.81.030, 35.81.040, 35.81.050, 35.81.060, 35.81.070, 35.81.080, 35.81.090,
35.81.100, 35.81.110, 35.81.120, 35.81.130, 35.81.150, 35.81.160, 35.81.170,
35.81.180, 35.81.910, 35.82.070, 35.21.730, 35.21.745, 35.57.020, and
36.100.010; adding new sections to chapter 35.81 RCW; adding a new section to
chapter 53.08 RCW; creating a new section; and recodifying RCW 35.81.010 and
35.81.020.
BE IT
ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec.
1. RCW
35.81.010 and 1991 c 363 s 41 are each amended to read as follows:
The
following terms wherever used or referred to in this chapter, shall have the
following meanings, unless a different meaning is clearly indicated by the
context:
(1)
"Agency" or "((urban)) community renewal
agency" ((shall)) means a public agency created ((by))
under RCW 35.81.160 or otherwise authorized to serve as a community
renewal agency under this chapter.
(2)
"Blighted area" ((shall)) means an area which, by
reason of the substantial physical dilapidation, deterioration, defective
construction, material, and arrangement and/or age or obsolescence of buildings
or improvements, whether residential or nonresidential, inadequate provision
for ventilation, light, proper sanitary facilities, or open spaces as
determined by competent appraisers on the basis of an examination of the
building standards of the municipality; inappropriate ((or mixed)) uses
of land or buildings; ((high density of population and)) existence of
overcrowding of buildings or structures; defective or inadequate street
layout; faulty lot layout in relation to size, adequacy, accessibility or
usefulness; excessive land coverage; insanitary or unsafe conditions;
deterioration of site; existence of hazardous soils, substances, or
materials; diversity of ownership; tax or special assessment delinquency
exceeding the fair value of the land; defective or unusual conditions of title;
improper subdivision or obsolete platting; existence of persistent and high
levels of unemployment or poverty within the area; or the existence of
conditions ((which)) that endanger life or property by fire or
other causes, or any combination of such factors, is conducive to ill health,
transmission of disease, infant mortality, juvenile delinquency ((and)) or
crime; substantially impairs or arrests the sound growth of the ((city))
municipality or its environs, or retards the provision of housing
accommodations ((or)); constitutes an economic or social
liability((,)); and/or is detrimental, or constitutes a menace,
to the public health, safety, welfare, ((and)) or morals in its
present condition and use.
(3)
"Bonds" ((shall)) means any bonds, notes, or debentures
(including refunding obligations) herein authorized to be issued.
(4)
"Clerk" ((shall)) means the clerk or other official of
the municipality who is the custodian of the official records of such
municipality.
(5)
"Community renewal area" means a blighted area which the local
governing body designates as appropriate for a community renewal project or
projects.
(6)
"Community renewal plan" means a plan, as it exists from time to
time, for a community renewal project or projects, which plan (a) shall be
consistent with the comprehensive plan or parts thereof for the municipality as
a whole; (b) shall be sufficiently complete to indicate such land acquisition,
demolition, and removal of structures, redevelopment, improvements, and
rehabilitation as may be proposed to be carried out in the community renewal
area; zoning and planning changes, if any, which may include, among other
things, changes related to land uses, densities, and building requirements; and
the plan's relationship to definite local objectives respecting appropriate
land uses, improved traffic, public transportation, public utilities,
recreational and community facilities, and other public improvements; (c) shall
address the need for replacement housing, within the municipality, where
existing housing is lost as a result of the community renewal project
undertaken by the municipality under this chapter; and (d) may include a plan
to address any persistent high levels of unemployment or poverty in the
community renewal area.
(7)
"Community renewal project" includes one or more undertakings or
activities of a municipality in a community renewal area: (a) For the
elimination and the prevention of the development or spread of blight; (b) for
encouraging economic growth through job creation or retention; (c) for
redevelopment or rehabilitation in a community renewal area; or (d) any
combination or part thereof in accordance with a community renewal plan.
(8)
"Federal government" ((shall include)) includes the
United States of America or any agency or instrumentality, corporate or
otherwise, of the United States of America.
(((6)))
(9) "Local governing body" ((shall)) means the
council or other legislative body charged with governing the municipality.
(((7)))
(10) "Mayor" ((shall)) means the chief executive
of a city or town, or the elected executive, if any, of any county operating
under a charter, or the county legislative authority of any other county.
(((8)))
(11) "Municipality" ((shall)) means any
incorporated city or town, or any county, in the state.
(((9)))
(12) "Obligee" ((shall include)) includes any
bondholder, agent, or trustees for any bondholders, ((or)) any
lessor demising to the municipality property used in connection with ((an
urban)) a community renewal project, or any assignee or assignees of
such lessor's interest or any part thereof, and the federal government when it
is a party to any contract with the municipality.
(((10)))
(13) "Person" ((shall)) means any individual,
firm, partnership, corporation, company, association, joint stock association,
or school district; and shall include any trustee, receiver, assignee, or other
person acting in a similar representative capacity.
(((11)))
(14) "Persons of low income" means an individual with an annual
income, at the time of hiring or at the time assistance is provided under this
chapter, that does not exceed the higher of either: (a) Eighty percent of the
statewide median family income, adjusted for family size; or (b) eighty percent
of the median family income for the county or standard metropolitan statistical
area, adjusted for family size, where the community renewal area is located.
(15)
"Public body" ((shall)) means the state or any
municipality, ((township,)) board, commission, district, or any other
subdivision or public body of the state or of a municipality.
(((12)))
(16) "Public officer" ((shall)) means any
officer who is in charge of any department or branch of the government of the
municipality relating to health, fire, building regulations, or to other
activities concerning dwellings in the municipality.
(((13)))
(17) "Real property" ((shall)) includes all
lands, including improvements and fixtures thereon, and property of any nature
appurtenant thereto, or used in connection therewith, and every estate,
interest, right and use, legal or equitable, therein, including terms for years
and liens by way of judgment, mortgage or otherwise.
(((14)))
(18) "Redevelopment" ((may)) includes (a)
acquisition of a blighted area or portion thereof; (b) demolition and removal
of buildings and improvements; (c) installation, construction or reconstruction
of streets, utilities, parks, playgrounds, and other improvements necessary for
carrying out in the area the ((urban)) community renewal
provisions of this chapter in accordance with the ((urban)) community
renewal plan((, and)); (d) making the land available for
development or redevelopment by private enterprise or public ((agencies))
bodies (including sale, initial leasing, or retention by the
municipality itself) at its fair value for uses in accordance with the ((urban))
community renewal plan; and (e) making loans or grants to a person or
public body for the purpose of creating or retaining jobs, a substantial
portion of which, as determined by the municipality, shall be for persons of
low income.
(((15)))
(19) "Rehabilitation" ((may)) includes the
restoration and renewal of a blighted area or portion thereof, in accordance
with ((an urban)) a community renewal plan, by (a) carrying out
plans for a program of voluntary or compulsory repair and rehabilitation of
buildings or other improvements; (b) acquisition of real property and
demolition or removal of buildings and improvements thereon where necessary to
eliminate unhealthful, insanitary or unsafe conditions, lessen density, reduce
traffic hazards, eliminate obsolete or other uses detrimental to the public
welfare, or otherwise to remove or prevent the spread of blight or
deterioration, or to provide land for needed public facilities; (c)
installation, construction or reconstruction of streets, utilities, parks,
playgrounds, and other improvements necessary for carrying out in the area the
((urban)) community renewal provisions of this chapter; and (d)
the disposition of any property acquired in such ((urban)) community
renewal area (((including sale, initial leasing, or retention by the
municipality itself) at its fair value)) for uses in accordance with such
((urban)) community renewal plan.
(((16)
"Urban renewal area" means a blighted area which the local governing
body designates as appropriate for an urban renewal project or projects.
(17)
"Urban renewal plan" means a plan, as it exists from time to time,
for an urban renewal project, which plan (a) shall conform to the comprehensive
plan or parts thereof for the municipality as a whole; and (b) shall be
sufficiently complete to indicate such land acquisition, demolition, and
removal of structures, redevelopment, improvements, and rehabilitation as may
be proposed to be carried out in the urban renewal area, zoning and planning
changes, if any, land uses, maximum densities, building requirements, and the
plan's relationship to definite local objectives respecting appropriate land
uses, improved traffic, public transportation, public utilities, recreational
and community facilities, and other public improvements.
(18)
"Urban renewal project" may include undertakings or activities of a
municipality in an urban renewal area for the elimination and for the
prevention of the development or spread of blight, and may involve
redevelopment in an urban renewal area, or rehabilitation in an urban renewal
area, or any combination or part thereof in accordance with an urban renewal
plan.))
Sec.
2. RCW
35.81.020 and 1965 c 7 s 35.81.020 are each amended to read as follows:
It
is hereby found and declared that blighted areas which constitute a serious and
growing menace, injurious to the public health, safety, morals and welfare of
the residents of the state exist in municipalities of the state; that the
existence of such areas contributes substantially and increasingly to the
spread of disease and crime and depreciation of property values, constitutes an
economic and social liability, substantially impairs or arrests the sound
growth of municipalities, retards the provision of housing accommodations, hinders
job creation and economic growth, aggravates traffic problems and
substantially impairs or arrests the elimination of traffic hazards and the
improvement of traffic facilities; and that the prevention and elimination of
such areas is a matter of state policy and state concern in order that the
state and its municipalities shall not continue to be endangered by areas which
are focal centers of disease, promote juvenile delinquency, are conducive to
fires, are difficult to police and to provide police protection for, and, while
contributing little to the tax income of the state and its municipalities,
consume an excessive proportion of its revenues because of the extra services
required for police, fire, accident, hospitalization and other forms of public
protection, services, and facilities.
It
is further found and declared that certain of such areas, or portions thereof,
may require acquisition, clearance, and disposition subject to use
restrictions, as provided in this chapter, since the prevailing condition of
decay may make impracticable the reclamation of the area by rehabilitation;
that other areas or portions thereof may, through the means provided in this
chapter, be susceptible of rehabilitation in such a manner that the conditions
and evils hereinbefore enumerated may be eliminated, remedied or prevented; and
that to the extent feasible salvable blighted areas should be rehabilitated
through voluntary action and the regulatory process.
It
is further found and declared that there is an urgent need to enhance the
ability of municipalities to act effectively and expeditiously to revive
blighted areas and to prevent further blight due to shocks to the economy of
the state and their actual and threatened effects on unemployment, poverty, and
the availability of private capital for businesses and projects in the area.
It
is further found and declared that the powers conferred by this chapter are for
public uses and purposes for which public money may be expended and the power
of eminent domain exercised; and that the necessity in the public interest for
the provisions herein enacted is hereby declared as a matter of legislative
determination.
Sec.
3. RCW
35.81.030 and 1965 c 7 s 35.81.030 are each amended to read as follows:
A
municipality, to the greatest extent it determines to be feasible in carrying
out the provisions of this chapter, shall afford maximum opportunity,
consistent with the ((sound)) needs of the municipality as a whole, to
the rehabilitation or redevelopment of the ((urban)) community
renewal area by private enterprise. A municipality shall give consideration to
this objective in exercising its powers under this chapter, including the
formulation of a workable program, the approval of ((urban)) community
renewal plans (consistent with the comprehensive plan or parts thereof for the
municipality), the exercise of its zoning powers, the enforcement of other
laws, codes and regulations relating to the use of land and the use and
occupancy of buildings and improvements, the disposition of any property
acquired, and the provision of necessary public improvements.
Sec.
4. RCW
35.81.040 and 1965 c 7 s 35.81.040 are each amended to read as follows:
A
municipality for the purposes of this chapter may formulate a workable program
for ((utilizing)) using appropriate private and public resources
to eliminate, and prevent the development or spread of, blighted areas, to
encourage needed ((urban)) community rehabilitation, to provide
for the redevelopment of such areas, or to undertake ((such of)) the ((aforesaid))
activities, or other feasible municipal activities as may be suitably employed
to achieve the objectives of ((such)) the workable program. ((Such))
The workable program may include, without limitation, provision for: The
prevention of the spread of blight into areas of the municipality which are
free from blight through diligent enforcement of housing, zoning, and occupancy
controls and standards; the rehabilitation of blighted areas or portions
thereof by replanning, removing congestion, providing parks, playgrounds and
other public improvements, by encouraging voluntary rehabilitation and by
compelling the repair and rehabilitation of deteriorated or deteriorating
structures; ((and)) the replacement of housing that is lost as a
result of community renewal activities within a community renewal area; the
clearance and redevelopment of blighted areas or portions thereof; and the
reduction of unemployment and poverty within the community renewal area by
providing financial or technical assistance to a person or public body that is
used to create or retain jobs, a substantial portion of which, as determined by
the municipality, shall be for persons of low income.
Sec.
5. RCW
35.81.050 and 1965 c 7 s 35.81.050 are each amended to read as follows:
(1)
No municipality shall exercise any of the powers hereafter conferred upon
municipalities by this chapter until after its local governing body shall have
adopted ((a)) an ordinance or resolution finding that: (((1)))
(a) One or more blighted areas exist in such municipality; and (((2)))
(b) the rehabilitation, redevelopment, or a combination thereof, of such
area or areas is necessary in the interest of the public health, safety,
morals, or welfare of the residents of such municipality.
(2)
After adoption of the ordinance or resolution making the findings described in
subsection (1) of this section, the local governing body of the municipality
may elect to have the powers of a community renewal agency under this chapter
exercised in one of the following ways:
(a)
By appointing a board or commission composed of not less than five members,
which board or commission shall include municipal officials and elected
officials, selected by the mayor, with approval of the local governing body of
the municipality; or
(b)
By the local governing body of the municipality directly; or
(c)
By the board of a public corporation, commission, or authority under chapter
35.21 RCW, or a public facilities district created under chapter 35.57 or
36.100 RCW, or a public port district created under chapter 53.04 RCW, or a
housing authority created under chapter 35.82 RCW, that is authorized to
conduct activities as a community renewal agency under this chapter.
Sec.
6. RCW
35.81.060 and 1965 c 7 s 35.81.060 are each amended to read as follows:
(1)
A municipality shall not approve ((an urban)) a community renewal
project for ((an urban)) a community renewal area unless the
local governing body has, by ordinance or resolution, determined such an
area to be a blighted area and designated ((such)) the area as
appropriate for ((an urban)) a community renewal project. The
local governing body shall not approve ((an urban)) a community
renewal plan until a comprehensive plan or parts of ((such)) the
plan for an area which would include ((an urban)) a community
renewal area for the municipality have been prepared as provided in chapter ((35.63
RCW. For this purpose and other municipal purposes, authority is hereby vested
in every municipality to prepare, to adopt, and to revise from time to time, a
comprehensive plan or parts thereof for the physical development of the
municipality as a whole (giving due regard to the environs and metropolitan
surroundings), to establish and maintain a planning commission for such purpose
and related municipal planning activities, and to make available and to
appropriate necessary funds therefor)) 36.70A RCW. For municipalities
not subject to the planning requirements of chapter 36.70A RCW, any proposed
comprehensive plan must be consistent with a local comprehensive plan adopted
under chapter 35.63 or 36.70 RCW, or any other applicable law. A
municipality shall not acquire real property for ((an urban)) a
community renewal project unless the local governing body has approved the
((urban)) community renewal project plan in accordance with
subsection (4) ((hereof)) of this section.
(2)
The municipality may itself prepare or cause to be prepared ((an urban))
a community renewal plan, or any person or agency, public or private,
may submit such a plan to the municipality. Prior to its approval of ((an
urban)) a community renewal project, the local governing body shall
((submit such plan to the planning commission of the municipality for review
and recommendations as to its conformity)) review and determine the
conformity of the community renewal plan with the comprehensive plan or
parts thereof for the development of the municipality as a whole. ((The
planning commission shall submit its written recommendations with respect to
the proposed urban renewal plan to the local governing body within sixty days
after receipt of it. Upon receipt of the recommendations of the planning commission,
or if no recommendations are received within sixty days, then without such
recommendations, the local governing body may proceed with the hearing on the
proposed urban renewal project plan prescribed by subsection (3) hereof)) If
the community renewal plan is not consistent with the existing comprehensive
plan, the local governing body may amend its comprehensive plan or community
renewal plan.
(3)
Prior to adoption, the local governing body shall hold a public hearing
on ((an urban)) a community renewal plan after providing
public notice ((thereof)). ((Such)) The notice shall be
given by publication once each week for two consecutive weeks not less than ten
nor more than thirty days prior to the date of the hearing in a newspaper
having a general circulation in the ((urban)) community renewal
area of the municipality and by mailing a notice of ((such)) the
hearing not less than ten days prior to the date of the hearing to the persons
whose names appear on the county treasurer's tax roll as the owner or reputed
owner of the property, at the address shown on the tax roll. The notice shall
describe the time, date, place, and purpose of the hearing, shall generally
identify the ((urban)) community renewal area affected, and shall
outline the general scope of the ((urban)) community renewal plan
under consideration.
(4)
Following ((such)) the hearing, the local governing body may
approve ((an urban)) a community renewal project if it finds that
(a) a ((workable and)) feasible plan exists for making available
adequate housing for the ((persons)) residents who may be displaced
by the project; (b) the ((urban)) community renewal plan conforms
to the comprehensive plan ((or parts thereof)) for the municipality ((as
a whole)); (c) the ((urban)) community renewal plan will
afford maximum opportunity, consistent with the ((sound)) needs of the
municipality ((as a whole)), for the rehabilitation or redevelopment of
the ((urban)) community renewal area by private enterprise; ((and))
(d) a sound and adequate financial program exists for the financing of ((said))
the project; and (e) the ((urban)) community
renewal project area is a blighted area as defined in RCW 35.81.010(2) (as
recodified by this act).
(5)
((An urban)) A community renewal project plan may be modified at
any time by the local governing body((: PROVIDED, That)). However,
if modified after the lease or sale by the municipality of real property in the
((urban)) community renewal project area, ((such)) the
modification shall be subject to ((such)) the rights at law or in
equity as a lessee or purchaser, or ((his)) the successor or
successors in interest may be entitled to assert.
(6)
((Upon the approval of an urban renewal project by a municipality, the
provisions of the urban renewal plan with respect to the future use and
building requirements applicable to the property covered by said plan shall be
controlling with respect thereto)) Unless otherwise expressly stated in
an ordinance or resolution of the governing body of the municipality, a
community renewal plan shall not be considered a subarea plan or part of a
comprehensive plan for purposes of chapter 36.70A RCW. However, a municipality
that has adopted a comprehensive plan under chapter 36.70A RCW may adopt all or
part of a community renewal plan at any time as a new or amended subarea plan,
whether or not any subarea plan has previously been adopted for all or part of
the community renewal area. Any community renewal plan so adopted, unless
otherwise determined by the growth management hearings board with jurisdiction
under a timely appeal in RCW 36.70A.280, shall be conclusively presumed to
comply with the requirements in this chapter for consistency with the
comprehensive plan.
Sec.
7. RCW
35.81.070 and 1965 c 7 s 35.81.070 are each amended to read as follows:
Every
municipality shall have all the powers necessary or convenient to carry out and
effectuate the purposes and provisions of this chapter, including the following
powers in addition to others ((herein)) granted under this chapter:
(1)
To undertake and carry out ((urban)) community renewal projects
within the municipality, to make and execute contracts and other instruments
necessary or convenient to the exercise of its powers under this chapter, and
to disseminate blight clearance and ((urban)) community renewal
information.
(2)
To provide or to arrange or contract for the furnishing or repair by any person
or agency, public or private, of services, privileges, works, streets, roads,
public utilities or other facilities for, or in connection with, ((an urban))
a community renewal project; to install, construct, and reconstruct
streets, utilities, parks, playgrounds, and other public improvements; and to
agree to any conditions that it may deem reasonable and appropriate attached to
federal financial assistance and imposed pursuant to federal law relating to
the determination of prevailing salaries or wages or compliance with labor
standards, in the undertaking or carrying out of ((an urban)) a
community renewal project, and to include in any contract let in connection
with such a project, provisions to fulfill such of said conditions as it may
deem reasonable and appropriate.
(3)
To provide financial or technical assistance, using available public or
private funds, to a person or public body for the purpose of creating or
retaining jobs, a substantial portion of which, as determined by the municipality,
shall be for persons of low income.
(4)
To make payments, loans, or grants to, provide assistance to, and contract with
existing or new owners and tenants of property in the community renewal areas
as compensation for any adverse impacts, such as relocation or interruption of
business, that may be caused by the implementation of a community renewal
project, and/or consideration for commitments to develop, expand, or retain
land uses that contribute to the success of the project or plan, including
without limitation businesses that will create or retain jobs, a substantial
portion of which, as determined by the municipality, shall be for persons of
low income.
(5)
To contract with a person or public body to provide financial assistance,
authorized under this section, to property owners and tenants impacted by the
implementation of the community renewal plan and to provide incentives to
property owners and tenants to encourage them to locate in the community
renewal area after adoption of the community renewal plan.
(6)
Within the municipality, to enter upon any building or property in any ((urban))
community renewal area, in order to make surveys and appraisals,
provided that such entries shall be made in such a manner as to cause the least
possible inconvenience to the persons in possession, and to obtain an order for
this purpose from a court of competent jurisdiction in the event entry is
denied or resisted; to acquire by purchase, lease, option, gift, grant,
bequest, devise, eminent domain, or otherwise, any real property and such
personal property as may be necessary for the administration of the provisions
herein contained, together with any improvements thereon; to hold, improve,
clear, or prepare for redevelopment any such property; to dispose of any real
property; to insure or provide for the insurance of any real or personal
property or operations of the municipality against any risks or hazards,
including the power to pay premiums on any such insurance: PROVIDED, That no
statutory provision with respect to the acquisition, clearance, or disposition
of property by public bodies shall restrict a municipality in the exercise of
such functions with respect to ((an urban)) a community renewal
project.
(((4)))
(7) To invest any ((urban)) community renewal project
funds held in reserves or sinking funds or any such funds which are not
required for immediate disbursement, in property or securities in which mutual
savings banks may legally invest funds subject to their control; to redeem such
bonds as have been issued pursuant to RCW 35.81.100 at the redemption price
established therein or to purchase such bonds at less than redemption price,
all such bonds so redeemed or purchased to be canceled.
(((5)))
(8) To borrow money and to apply for, and accept, advances, loans,
grants, contributions and any other form of financial assistance from the
federal government, the state, county, or other public body, or from any
sources, public or private, for the purposes of this chapter, and to enter into
and carry out contracts in connection therewith. A municipality may include in
any application or contract for financial assistance with the federal
government for ((an urban)) a community renewal project such
conditions imposed pursuant to federal laws as the municipality may deem
reasonable and appropriate and which are not inconsistent with the purposes of
this chapter.
(((6)))
(9) Within the municipality, to make or have made all plans necessary to
the carrying out of the purposes of this chapter and to contract with any
person, public or private, in making and carrying out such plans and to adopt
or approve, modify, and amend such plans. Such plans may include, without
limitation: (a) A comprehensive plan or parts thereof for the locality as a
whole, (b) ((urban)) community renewal plans, (c) plans for
carrying out a program of voluntary or compulsory repair and rehabilitation of
buildings and improvements, (d) plans for the enforcement of state and local
laws, codes, and regulations relating to the use of land and the use and
occupancy of buildings and improvements and to the compulsory repair,
rehabilitation, demolition, or removal of buildings and improvements, ((and))
(e) appraisals, title searches, surveys, studies, and other preliminary plans
and work necessary to prepare for the undertaking of ((urban)) community
renewal projects, and (f) plans to provide financial or technical assistance
to a person or public body for the purpose of creating or retaining jobs, a
substantial portion of which, as determined by the municipality, shall be for
persons of low income. The municipality is authorized to develop, test,
and report methods and techniques, and carry out demonstrations and other
activities, for the prevention and the elimination of ((urban)) blight,
for job creation or retention activities, and to apply for, accept, and
utilize grants of, funds from the federal government for such purposes.
(((7)))
(10) To prepare plans for the relocation of families displaced from ((an
urban)) a community renewal area, and to coordinate public and
private agencies in such relocation, including requesting such assistance for
this purpose as is available from other private and governmental agencies, both
for the municipality and other parties.
(((8)))
(11) To appropriate such funds and make such expenditures as may be
necessary to carry out the purposes of this chapter, and in accordance with
state law: (a) Levy taxes and assessments for such purposes; (b) acquire land either
by negotiation ((and/or)) or eminent domain, or both; (c)
close, vacate, plan, or replan streets, roads, sidewalks, ways, or other
places; (d) plan or replan, zone or rezone any part of the municipality; (e)
adopt annual budgets for the operation of ((an urban)) a community
renewal agency, department, or offices vested with ((urban)) community
renewal project powers under RCW 35.81.150; and (f) enter into
agreements with such agencies or departments (which agreements may extend over
any period) respecting action to be taken by such municipality pursuant to any
of the powers granted by this chapter.
(((9)))
(12) Within the municipality, to organize, coordinate, and direct the
administration of the provisions of this chapter as they apply to such
municipality in order that the objective of remedying blighted areas and
preventing the causes thereof within such municipality may be most effectively
promoted and achieved, and to establish such new office or offices of the
municipality or to reorganize existing offices in order to carry out such
purpose most effectively.
(((10)))
(13) To contract with a person or public body to assist in carrying out the
purposes of this chapter.
(14)
To exercise all or any part or combination of powers herein granted.
Sec.
8. RCW 35.81.080
and 1965 c 7 s 35.81.080 are each amended to read as follows:
A
municipality shall have the right to acquire by condemnation, in accordance
with the procedure provided for condemnation by such municipality for other
purposes, any interest in real property, which it may deem necessary for ((an
urban)) a community renewal project under this chapter after the
adoption by the local governing body of a resolution declaring that the
acquisition of the real property described therein is necessary for such
purpose. Condemnation for ((urban)) community renewal of
blighted areas is declared to be a public use, and property already devoted to
any other public use or acquired by the owner or ((his)) a
predecessor in interest by eminent domain may be condemned for the purposes of
this chapter.
The
award of compensation for real property taken for such a project shall not be
increased by reason of any increase in the value of the real property caused by
the assembly, clearance, or reconstruction, or proposed assembly, clearance, or
reconstruction in the project area. No allowance shall be made for the
improvements begun on real property after notice to the owner of such property
of the institution of proceedings to condemn such property. Evidence shall be
admissible bearing upon the insanitary, unsafe, or substandard condition of the
premises, or the unlawful use thereof.
Sec.
9. RCW
35.81.090 and 1965 c 7 s 35.81.090 are each amended to read as follows:
(1)
A municipality, with approval of its legislative authority, may acquire real
property, or any interest therein, for the purposes of a community renewal
project (a) prior to the selection of one or more persons interested in
undertaking to redevelop or rehabilitate the real property, or (b) after the
selection of one or more persons interested in undertaking to redevelop or
rehabilitate such real property. In either case the municipality may select a
redeveloper through a competitive bidding process consistent with this section
or through a process consistent with section 10 of this act.
(2)
A municipality, with approval of its legislative authority, may sell,
lease, or otherwise transfer real property or any interest therein acquired by
it for ((an urban)) a community renewal project, in ((an urban))
a community renewal area for residential, recreational, commercial,
industrial, or other uses or for public use, and may enter into contracts with
respect thereto, or may retain such a property or interest only for
parks and recreation, education, public utilities, public transportation,
public safety, health, highways, streets, and alleys, administrative buildings,
or civic centers, in accordance with the ((urban)) community
renewal project plan, subject to such covenants, conditions, and restrictions,
including covenants running with the land, as it may deem to be necessary or
desirable to assist in preventing the development or spread of blighted areas
or otherwise to carry out the purposes of this chapter((: PROVIDED, That)).
However, such a sale, lease, other transfer, or retention, and any
agreement relating thereto, may be made only after the approval of the ((urban))
community renewal plan by the local governing body. The purchasers or
lessees and their successors and assigns shall be obligated to devote ((such))
the real property only to the uses specified in the ((urban)) community
renewal plan, and may be obligated to comply with ((such)) any
other requirements as the municipality may determine to be in the public
interest, including the obligation to begin and complete, within a
reasonable time, any improvements on ((such)) the real property
required by the ((urban)) community renewal plan or promised
by the transferee. ((Such)) The real property or interest
shall be sold, leased, or otherwise transferred((, or retained at not
less than its fair value for uses in accordance with the urban renewal plan))
for the consideration the municipality determines adequate. In
determining the ((fair value of real property for uses in accordance with
the urban renewal plan)) adequacy of consideration, a municipality
((shall)) may take into account((, and give consideration to,))
the uses ((provided in such)) permitted under the community renewal
plan; the restrictions upon, and the covenants, conditions, and obligations
assumed by, the ((purchaser or lessee or by the municipality retaining the
property)) transferee; and the public benefits to be realized,
including furthering of the objectives of ((such)) the plan
for the prevention of the recurrence of blighted areas.
(3)
The municipality in any instrument of conveyance to a private purchaser or
lessee may provide that ((such)) the purchaser or lessee shall be
without power to sell, lease, or otherwise transfer the real property, or to
permit changes in ownership or control of a purchaser or lessee that is not a
natural person, in each case without the prior written consent of the
municipality until ((he)) the purchaser or lessee has completed
the construction of ((any and)) all improvements ((which he)) that
it has obligated ((himself)) itself to construct thereon.
The municipality may also retain the right, upon any earlier transfer or change
in ownership or control without consent; or any failure or change in ownership
or control without consent; or any failure to complete the improvements within
the time agreed to terminate the transferee's interest in the property; or to
retain or collect on any deposit or instrument provided as security, or both.
The enforcement of these restrictions and remedies is declared to be consistent
with the public policy of this state. Real property acquired by a
municipality ((which)) that, in accordance with the provisions of
the ((urban)) community renewal plan, is to be transferred, shall
be transferred as rapidly as feasible, in the public interest, consistent with
the carrying out of the provisions of the ((urban)) community
renewal plan. The inclusion in any ((such)) contract or conveyance to a
purchaser or lessee of any ((such)) covenants, restrictions, or
conditions (including the incorporation by reference therein of the provisions
of ((an urban)) a community renewal plan or any part thereof)
shall not prevent the recording of such a contract or conveyance in the
land records of the auditor or the county in which ((such)) the
city or town is located, in ((such)) a manner ((as to)) that
affords actual or constructive notice thereof.
(((2)))
(4)(a)(i) A municipality may dispose of real property in ((an urban))
a community renewal area, acquired by the municipality under this
chapter, to any private persons only under ((such)) those
reasonable competitive bidding procedures as it shall prescribe, or by
competitive bidding as ((hereinafter)) provided in this subsection,
through direct negotiation where authorized under (c) of this subsection, or by
a process authorized in section 10 of this act.
(ii)
A competitive bidding process may occur (A) prior to the purchase of the real
property by the municipality, or (B) after the purchase of the real property by
the municipality.
(b)(i)
A municipality may, by public notice by publication once each week for three
consecutive weeks in a newspaper having a general circulation in the community,
prior to the execution of any contract or deed to sell, lease, or otherwise
transfer real property and prior to the delivery of any instrument of conveyance
with respect thereto under the provisions of this section, invite bids from,
and make available all pertinent information to, private redevelopers or any
persons interested in undertaking to redevelop or rehabilitate ((an urban))
a community renewal area, or any part thereof. ((Such)) This
notice shall identify the area, or portion thereof, and shall state that ((such))
further information as is available may be obtained at ((such)) the
office as shall be designated in ((said)) the notice.
(ii)
The municipality shall consider all responsive redevelopment or
rehabilitation bids and the financial and legal ability of the persons making
((such)) the bids to carry them out. The municipality may accept
((such)) the bids as it deems to be in the public interest and in
furtherance of the purposes of this chapter. Thereafter, the municipality may
execute, in accordance with the provisions of subsection (((1))) (2)
of this section, and deliver contracts, deeds, leases, and other
instruments of transfer.
(((3)))
(c) If the legislative authority of the municipality determines that the
sale of real property to a specific person is necessary to the success of a
neighborhood revitalization or community renewal project for which the
municipality is providing assistance to a nonprofit organization from federal
community development block grant funds under 42 U.S.C. Sec. 5305(a)(15), or
successor provision, under a plan or grant application approved by the United
States department of housing and urban development, or successor agency, then
the municipality may sell or lease that property to that person through direct
negotiation, for consideration determined by the municipality to be adequate
consistent with subsection (2) of this section. This direct negotiation may
occur, and the municipality may enter into an agreement for sale or lease,
either before or after the acquisition of the property by the municipality.
Unless the municipality has provided notice to the public of the intent to sell
or lease the property by direct negotiation, as part of a citizen participation
process adopted under federal regulations for the plan or grant application
under which the federal community development block grant funds have been
awarded, the municipality shall publish notice of the sale at least fifteen
days prior to the conveyance of the property.
(5)
A municipality may operate and maintain real property acquired in ((an urban))
a community renewal area for a period of three years pending the
disposition of the property for redevelopment, without regard to the provisions
of subsection (((1) above)) (2) of this section, for such uses
and purposes as may be deemed desirable even though not in conformity with the
((urban)) community renewal plan((: PROVIDED, That)).
However, the municipality may, after a public hearing, extend the time for
a period not to exceed three years.
(6)
Any covenants, restrictions, promises, undertakings, releases, or waivers in
favor of a municipality contained in any deed or other instrument accepted by
any transferee of property from the municipality or community renewal agency
under this chapter, or contained in any document executed by any owner of
property in a community renewal area, shall run with the land to the extent
provided in the deed, instrument, or other document, so as to bind, and be
enforceable by the municipality against, the person accepting or making the
deed, instrument, or other document and that person's heirs, successors in
interest, or assigns having actual or constructive notice thereof.
NEW
SECTION. Sec. 10. A
new section is added to chapter 35.81 RCW to read as follows:
(1)
The process authorized under this section may occur (a) prior to the purchase
of the real property by the municipality, or (b) after the purchase of the real
property by the municipality.
(2)
A municipality may, by public notice once each week for three consecutive weeks
in a legal newspaper in the municipality, or prior to the execution of any
contract or deed to sell, lease, or otherwise transfer real property and prior
to the delivery of any instrument of conveyance with respect thereto under the
provisions of this section, invite statements of interest and qualifications
and, at the municipality's option, proposals from any persons interested in
undertaking to redevelop or rehabilitate the real property.
(3)
The notice required under this section shall identify the area, or portion
thereof, the process the municipality will use to evaluate qualifications and,
if applicable, proposals submitted by redevelopers or any persons, and other
information relevant to the community renewal project. The notice shall also
state that further information, as is available, may be obtained at the offices
designated in the notice.
(4)(a)
Based on its evaluation of qualifications and, if applicable, proposals, the
municipality may select a proposer with whom to negotiate or may select two or
more finalists to submit proposals, or to submit more detailed or revised
proposals. The municipality may, in its sole discretion, reject all responses
or proposals, amend any solicitation to allow modification or supplementation
of qualifications or proposals, or waive irregularities in the content or
timing of any qualifications or proposals.
(b)
The municipality may initiate negotiations with the person selected on the
basis of qualifications or proposals. If the municipality does not enter into
a contract with that person, it may (i) enter into negotiations with the person
that submitted the next highest ranked qualifications or proposal, (ii) solicit
additional proposals using a process permitted by RCW 35.81.090, or (iii)
otherwise dispose of or retain the real property consistent with the provisions
of this chapter. A municipality shall not be required to select or enter into
a contract with any proposer or to compensate any proposer for the cost of
preparing a proposal or negotiating with the municipality.
(c)
A municipality, with approval of its legislative authority, may select and
enter into a contract with more than one proposer to carry out different
aspects or parts of a community renewal plan.
Sec.
11. RCW
35.81.100 and 1983 c 167 s 64 are each amended to read as follows:
(1)
A municipality shall have the power to issue bonds from time to time in its
discretion to finance the undertaking of any ((urban)) community
renewal project under this chapter, including, without limiting the generality
((thereof)) of this power, the payment of principal and interest
upon any advances for surveys and plans for ((urban)) community
renewal projects, and shall also have power to issue refunding bonds for the
payment or retirement of such bonds previously issued by it. Such bonds shall
not pledge the general credit of the municipality and shall be made payable, as
to both principal and interest, solely from the income, proceeds, revenues, and
funds of the municipality derived from, or held in connection with, its
undertaking and carrying out of ((urban)) community renewal
projects under this chapter((: PROVIDED, That)). However, the
payment of such bonds, both as to principal and interest, may be further
secured by a pledge of any loan, grant, or contribution from the municipality,
the federal government, or from other sources, in aid
of any ((urban)) community renewal projects of the municipality
under this chapter.
(2)
Bonds issued under this section shall not constitute an indebtedness within the
meaning of any constitutional or statutory debt limitation or restriction, and
shall not be subject to the provisions of any other law or charter relating to
the authorization, issuance, or sale of bonds. Bonds issued under the
provisions of this chapter are declared to be issued for an essential public
and governmental purpose, and together with interest thereon and income
therefrom, shall be exempted from all taxes.
(3)
Bonds issued under this section shall be authorized by resolution or ordinance
of the local governing body and may be issued in one or more series and shall
bear such date or dates, be payable upon demand or mature at such time or
times, bear interest at such rate or rates, be in such denomination or
denominations, be in such form either coupon or registered as provided in RCW
39.46.030, carry such conversion or registration privileges, have such rank or
priority, be executed in such manner, be payable in such medium of payment, at
such place or places, and be subject to such terms of redemption (with or
without premium), be secured in such manner, and have such other
characteristics, as may be provided by such resolution or trust indenture or
mortgage issued pursuant thereto.
(4)
Such bonds may be sold at not less than ninety-eight percent of par at public
or private sale, or may be exchanged for other bonds on the basis of par:
PROVIDED, That such bonds may be sold to the federal government at private sale
at not less than par and, in the event less than all of the authorized
principal amount of such bonds is sold to the federal government, the balance
may be sold at public or private sale at not less than ninety-eight percent of
par at an interest cost to the municipality of not to exceed the interest cost
to the municipality of the portion of the bonds sold to the federal government.
(5)(a)
The municipality may annually pay into a fund to be established for the benefit
of such bonds any and all excess of the taxes received by it from the same
property over and above the average of the annual taxes authorized without vote
for a five-year period immediately preceding the acquisition of the property by
the municipality for renewal purposes, such payment to continue until such time
as all bonds payable from the fund are paid in full. Any other taxing unit ((in
a municipality)) that receives property tax revenues from property in
the community renewal area is authorized to allocate ((a like amount of
such)) excess taxes, computed in the same manner, to the
municipality or municipalities in which it is situated.
(b)
In addition to the excess property tax revenues from property in the community
renewal area, authorized in this subsection, the municipality may annually pay
into the fund, established in this subsection, any and all excess of the excise
tax received by it from business activity in the community renewal area over
and above the average of the annual excise tax collected for a five-year period
immediately preceding the establishment of a community renewal area. The
payment may continue until all the bonds payable from the fund are paid in
full. Any other taxing unit that receives excise tax from business activity in
the community renewal area is authorized to allocate excess excise tax,
computed in the same manner, to the municipality or municipalities in which it
is situated. As used in this subsection, "excise tax" means a local
retail sales and use tax authorized in chapter 82.14 RCW. The legislature
declares that it is a proper purpose of a municipality to allocate an excise
tax for purposes of a community renewal project under this chapter.
(6)
In case any of the public officials of the municipality whose signatures appear
on any bonds or any coupons issued under this chapter shall cease to be such
officials before the delivery of such bonds, such signatures shall,
nevertheless, be valid and sufficient for all purposes, the same as if such
officials had remained in office until such delivery. Any provision of any law
to the contrary notwithstanding, any bonds, issued pursuant to this chapter
shall be fully negotiable.
(7)
In any suit, action, or proceeding involving the validity or enforceability of
any bond issued under this chapter or the security therefor, any such bond
reciting in substance that it has been issued by the municipality in connection
with ((an urban)) a community renewal project, as herein defined,
shall be conclusively deemed to have been issued for such purpose and such
project shall be conclusively deemed to have been planned, located, and carried
out in accordance with the provisions of this chapter.
(8)
Notwithstanding subsections (1) through (7) of this section, such bonds may be
issued and sold in accordance with chapter 39.46 RCW.
Sec.
12. RCW
35.81.110 and 1965 c 7 s 35.81.110 are each amended to read as follows:
All
banks, trust companies, bankers, savings banks and institutions, building and
loan associations, savings and loan associations, investment companies, and
other persons carrying on a banking or investment business, all insurance
companies, insurance associations, and other persons carrying on an insurance
business and all executors, administrators, curators, trustees, and other
fiduciaries, may legally invest any sinking funds, moneys, or other funds
belonging to them or within their control in any bonds or other obligations
issued by a municipality ((pursuant to)) under this chapter((:
PROVIDED, That such bonds and other obligations shall be secured by an
agreement between the issuer and the federal government in which the issuer
agrees to borrow from the federal government and the federal government agrees
to lend to the issuer, prior to the maturity of such bonds or other
obligations, moneys in an amount which (together with any other moneys
irrevocably committed to the payment of interest on such bonds or other
obligations) will suffice to pay the principal of such bonds or other
obligations with interest to maturity thereon, which moneys under the terms of
said agreement are required to be used for the purpose of paying the principal
of, and the interest on, such bonds or other obligations at their maturity)).
Such bonds and other obligations shall be authorized security for all public
deposits. It is the purpose of this section to authorize any persons,
political subdivisions, and officers, public or private, to use any funds owned
or controlled by them for the purchase of any such bonds or other obligations.
Nothing contained in this section with regard to legal investments shall be
construed as relieving any person of any duty of exercising reasonable care in
selecting securities.
NEW
SECTION. Sec. 13. A
new section is added to chapter 35.81 RCW to read as follows:
(1)
A community renewal agency may establish local improvement districts within the
community renewal area, and levy special assessments, in annual installments
extending over a period not exceeding twenty years on all property specially
benefited by the local improvement, on the basis of special benefits, to pay in
whole or in part the damages or costs of the local improvement, and issue local
improvement bonds to be paid from local improvement assessments. The formation
of the local improvement districts, the determination, levy, and collection of
such assessments, and the issuance of such bonds shall be as provided for the
formation of local improvement districts, the determination, levy, and
collection of local improvement assessments, and the issuance of local
improvement bonds by cities and towns, insofar as consistent with this
chapter. These bonds may be in any form, including bearer bonds or registered
bonds as provided in RCW 39.46.030.
(2)
Notwithstanding subsection (1) of this section, the bonds authorized under
subsection (1) of this section may be issued and sold in accordance with
chapter 39.46 RCW.
NEW
SECTION. Sec. 14. A
new section is added to chapter 35.81 RCW to read as follows:
Any
notice given to the public or to the owners of specific lots, tracts, or
parcels of land relating to the formation of a local improvement district
created under section 13 of this act shall contain a statement that actual
assessments may vary from assessment estimates so long as they do not exceed a
figure equal to the increased benefit the improvement adds to the property.
Sec.
15. RCW
35.81.120 and 1965 c 7 s 35.81.120 are each amended to read as follows:
(1)
All property of a municipality, including funds, owned or held by it for the
purposes of this chapter, shall be exempt from levy and sale by virtue of an
execution, and no execution or other judicial process shall issue against the
same nor shall judgment against a municipality be a charge or lien upon such
property: PROVIDED, That the provisions of this section shall not apply to, or
limit the right of, obligees to pursue any remedies for the enforcement of any
pledge or lien given pursuant to this chapter by a municipality on its rents,
fees, grants, or revenues from ((urban)) community renewal
projects.
(2)
The property of a municipality, acquired or held for the purposes of this
chapter, is declared to be public property used for essential public and
governmental purposes and such property shall be exempt from all taxes of the
municipality, the county, the state, or any political subdivision thereof:
PROVIDED, That such tax exemption shall terminate when the municipality sells,
leases, or otherwise disposes of such property in ((an urban)) a
community renewal area to a purchaser or lessee ((which)) that
is not a public body or other organization normally entitled to tax exemption
with respect to such property.
Sec.
16. RCW
35.81.130 and 1965 c 7 s 35.81.130 are each amended to read as follows:
(((1)))
For the purpose of aiding in the planning, undertaking, or carrying out of ((an
urban)) a community renewal project located within the area in which
it is authorized to act, any public body authorized by law or by this chapter,
may, upon such terms, with or without consideration, as it may determine: (((a)))
(1) Dedicate, sell, convey, or lease any of its interest in any
property, or grant easements, licenses, or other rights or privileges therein
to a municipality or other public body; (((b))) (2) incur
the entire expense of any public improvements made by ((such)) a
public body, in exercising the powers granted in this section; (((c))) (3)
do any and all things necessary to aid or cooperate in the planning or carrying
out of ((an urban)) a community renewal plan; (((d))) (4)
lend, grant, or contribute funds, including without limitation any funds
derived from bonds issued or other borrowings authorized in this chapter,
to a municipality or other public body and, subject only to any applicable
constitutional limits, to any other person; (((e))) (5) enter
into agreements (which may extend over any period, notwithstanding any
provision or rule of law to the contrary) with a municipality or other public
body respecting action to be taken pursuant to any of the powers granted by
this chapter, including the furnishing of funds or other assistance in
connection with ((an urban)) a community renewal project((,
and (f))); (6) cause public building and public facilities,
including parks, playgrounds, recreational, community, educational, water,
sewer, or drainage facilities, or any other works ((which)) that
it is otherwise empowered to undertake to be furnished; furnish, dedicate,
close, vacate, pave, install, grade, regrade, plan, or replan streets, roads,
sidewalks, ways, or other places; (7) abate environmental problems; (8)
plan or replan, zone or rezone any part of the ((urban)) community
renewal area; and (9) provide such administrative and other services as
may be deemed requisite to the efficient exercise of the powers herein granted.
(((2)
Any sale, conveyance, lease, or agreement provided for in this section shall be
made by a public body with appraisal, public notice, advertisement, or public
bidding in accordance with the provisions of RCW 35.81.090(2).))
Sec.
17. RCW
35.81.150 and 1965 c 7 s 35.81.150 are each amended to read as follows:
(1)
A municipality may itself exercise its ((urban)) community
renewal project powers (((as herein defined))) or may, if the local
governing body by ordinance or resolution determines such action to be
in the public interest, elect to have such powers exercised by the ((urban))
community renewal agency (((created by RCW 35.81.160))) or a
department or other officers of the municipality or by any ((existing)) other
public body ((corporate, as they are authorized to exercise under this
chapter)).
(2)
In the event the local governing body ((makes such determination)) determines
to have the powers exercised by the community renewal agency, such body may
authorize the ((urban)) community renewal agency or department or
other officers of the municipality to exercise any of the following ((urban))
community renewal project powers:
(a)
To formulate and coordinate a workable program as specified in RCW 35.81.040.
(b)
To prepare ((urban)) community renewal plans.
(c)
To prepare recommended modifications to ((an urban)) a community
renewal project plan.
(d)
To undertake and carry out ((urban)) community renewal projects
as required by the local governing body.
(e)
To acquire, own, lease, encumber, and sell real or personal property. The
agency may not acquire real or personal property using the eminent domain
process, unless authorized independently of this chapter.
(f)
To create local improvement districts under sections 13 and 14 of this act.
(g)
To issue bonds from time to time in its discretion to finance the undertaking
of any community renewal project under this chapter. The bonds issued under
this section must meet the requirements of RCW 35.81.100.
(h)
To make and execute contracts as specified in RCW 35.81.070, with the exception
of contracts for the purchase or sale of real or personal property.
(((f)))
(i) To disseminate blight clearance and ((urban)) community
renewal information.
(((g)))
(j) To exercise the powers prescribed by RCW 35.81.070(2), except the
power to agree to conditions for federal financial assistance and imposed
pursuant to federal law relating to salaries and wages, shall be reserved to
the local governing body.
(((h)))
(k) To enter any building or property, in any ((urban)) community
renewal area, in order to make surveys and appraisals in the manner specified
in RCW 35.81.070(((3))) (6).
(((i)))
(l) To improve, clear, or prepare for redevelopment any real or personal
property in ((an urban)) a community renewal area.
(((j)))
(m) To insure real or personal property as provided in RCW 35.81.070(((3)))
(6).
(((k)))
(n) To effectuate the plans provided for in RCW 35.81.070(((6))) (9).
(((l)))
(o) To prepare plans for the relocation of families displaced from ((an
urban)) a community renewal area and to coordinate public and
private agencies in such relocation.
(((m)))
(p) To prepare plans for carrying out a program of voluntary or
compulsory repair and rehabilitation of buildings and improvements.
(((n)))
(q) To conduct appraisals, title searches, surveys, studies, and other
preliminary plans and work necessary to prepare for the undertaking of ((urban))
community renewal projects.
(((o)))
(r) To negotiate for the acquisition of land.
(((p)))
(s) To study the closing, vacating, planning, or replanning of streets,
roads, sidewalks, ways, or other places and to make recommendations with
respect thereto.
(((q)))
(t) To provide financial and technical assistance to a person or public
body, for the purpose of creating or retaining jobs, a substantial portion of
which, as determined by the municipality, shall be for persons of low income.
(u)
To make payments, grants, and other assistance to, or contract with, existing
or new owners and tenants of property in the community renewal area, under RCW
35.81.070.
(v)
To organize, coordinate, and direct the administration of the provisions of
this chapter.
(((r)))
(w) To perform such duties as the local governing body may direct so as
to make the necessary arrangements for the exercise of the powers and the
performance of the duties and responsibilities entrusted to the local governing
body.
Any
powers granted in this chapter that are not included in ((RCW 35.81.150(2)))
this subsection (2) as powers of the ((urban)) community
renewal agency or a department or other officers of a municipality in lieu
thereof((,)) may only be exercised by the local governing body or other
officers, boards, and commissions as provided ((under existing)) by
law.
Sec.
18. RCW
35.81.160 and 1965 c 7 s 35.81.160 are each amended to read as follows:
(1)
When a municipality has made the finding prescribed in RCW 35.81.050 and has
elected to have the ((urban)) community renewal project powers,
as specified in RCW 35.81.150, exercised, such ((urban)) community
renewal project powers may be assigned to a department or other officers of the
municipality or to any existing public body corporate, or the legislative body
of a ((city)) municipality may create ((an urban)) a
community renewal agency in such municipality to be known as a public body
corporate to which such powers may be assigned.
(2)
If the ((urban)) community renewal agency is authorized to
transact business and exercise powers ((hereunder)) under this
chapter, the mayor, by and with the advice and consent of the local
governing body, shall appoint a board of commissioners of the ((urban)) community
renewal agency which shall consist of five commissioners. The initial
membership shall consist of one commissioner appointed for one year, one for
two years, one for three years, and two for four years; and each appointment
thereafter shall be for four years, except that in the case of death,
incapacity, removal, or resignation of a commissioner, the replacement may be
appointed to serve the remainder of the commissioner's term.
(3)
A commissioner shall receive no compensation for ((his)) services but
shall be entitled to the necessary expenses, including traveling expenses,
incurred in the discharge of his or her duties. Each commissioner shall
hold office until ((his)) a successor has been appointed and has
qualified. A certificate of the appointment or reappointment of any
commissioner shall be filed with the clerk of the municipality and such
certificate shall be conclusive evidence of the due and proper appointment of
such commissioner.
The
powers and responsibilities of ((an urban)) a community renewal
agency shall be exercised by the commissioners thereof. A majority of the
commissioners shall constitute a quorum for the purpose of conducting business
and exercising the powers and responsibilities of the agency and for all other purposes.
Action may be taken by the agency upon a vote of a majority of the
commissioners present, unless in any case the bylaws shall require a larger
number. Any persons may be appointed as commissioners if they reside within
the municipality.
The
((urban)) community renewal agency or department or officers
exercising ((urban)) community renewal project powers shall be
staffed with the necessary technical experts and such other agents and
employees, permanent and temporary, as it may require. An agency authorized to
transact business and exercise powers under this chapter shall file, with the
local governing body, on or before March 31st of each year, a report of its
activities for the preceding calendar year, which report shall include a
complete financial statement setting forth its assets, liabilities, income, and
operating expense as of the end of such calendar year. At the time of filing
the report, the agency shall publish in a legal newspaper ((of
general circulation)) in the community a notice to the effect that such
report has been filed with the municipality and that the report is available
for inspection during business hours in the office of the ((city)) clerk
of the municipality and in the office of the agency.
(4)
For inefficiency, neglect of duty, or misconduct in office, a commissioner may
be removed by the legislative body of the municipality.
Sec.
19. RCW
35.81.170 and 1965 c 7 s 35.81.170 are each amended to read as follows:
For all of the purposes of this chapter, no person shall, because
of race, creed, color, sex, or national origin, be subjected to any
discrimination.
Sec.
20. RCW
35.81.180 and 1965 c 7 s 35.81.180 are each amended to read as follows:
No
((public)) official((,)) or department or division head of
a municipality or ((urban)) community renewal agency or
department or officers ((which have been vested by a municipality with urban))
with responsibility for making or supervising any decisions in the exercise
of community renewal project powers and responsibilities under RCW
35.81.150((,)) shall voluntarily acquire any interest, direct or
indirect, in any ((urban)) community renewal project, or in any
property included or planned to be included in any ((urban)) community
renewal project of such municipality, or in any contract or proposed contract in
connection with such ((urban)) community renewal project. ((Where))
Whether or not such an acquisition is ((not)) voluntary,
the ((interest acquired)) person acquiring it shall ((be))
immediately ((disclosed)) disclose the interest acquired in
writing to the local governing body and such disclosure shall be entered upon
the minutes of the governing body. If any such official((,)) or
department or division head owns or controls, or owned or controlled within two
years prior to the date of the first public hearing on the ((urban))
community renewal project, any interest, direct or indirect, in any
property ((which)) that he or she knows is included in ((an
urban)) a community renewal project, he or she shall
immediately disclose this fact in writing to the local governing body, and such
disclosure shall be entered upon the minutes of the governing body, and any
such official((,)) or department or division head shall not
participate in any action on that particular project by the municipality or ((urban))
community renewal agency((, department, or officers which have been
vested with urban renewal project powers by the municipality pursuant to the
provisions of RCW 35.81.150. A majority of the commissioners of an urban
renewal agency exercising powers pursuant to this chapter shall not hold any
other public office under the municipality other than their commissionership or
office with respect to such urban renewal agency, department, or officers)).
Any willful violation of the provisions of this section shall constitute
misconduct in office.
Sec.
21. RCW
35.81.910 and 1965 c 7 s 35.81.910 are each amended to read as follows:
This
chapter shall be known and may be cited as the "((Urban)) Community
Renewal Law."
Sec.
22. RCW
35.82.070 and 1993 c 478 s 17 are each amended to read as follows:
An
authority shall constitute a public body corporate and politic, exercising
public and essential governmental functions, and having all the powers
necessary or convenient to carry out and effectuate the purposes and provisions
of this chapter, including the following powers in addition to others herein
granted:
(1)
To sue and be sued; to have a seal and to alter the same at pleasure; to have
perpetual succession; to make and execute contracts and other instruments,
including but not limited to partnership agreements and joint venture
agreements, necessary or convenient to the exercise of the powers of the
authority; to participate in the organization or the operation of a nonprofit
corporation which has as one of its purposes to provide or assist in the
provision of housing for persons of low income; and to make and from time to
time amend and repeal bylaws, rules and regulations, not inconsistent with this
chapter, to carry into effect the powers and purposes of the authority.
(2)
Within its area of operation: To prepare, carry out, acquire, lease and
operate housing projects; to provide for the construction, reconstruction,
improvement, alteration or repair of any housing project or any part thereof;
to agree to rent or sell dwellings forming part of the projects to or for
persons of low income. Where an agreement or option is made to sell a dwelling
to a person of low income, the authority may convey the dwelling to the person
upon fulfillment of the agreement irrespective of whether the person is at the
time of the conveyance a person of low income. Leases, options, agreements, or
conveyances may include such covenants as the authority deems appropriate to
assure the achievement of the objectives of this chapter.
(3)
To acquire, lease, rent, sell, or otherwise dispose of any commercial space
located in buildings or structures containing a housing project or projects.
(4)
To arrange or contract for the furnishing by any person or agency, public or
private, of services, privileges, works, or facilities for, or in connection
with, a housing project or the occupants thereof; and (notwithstanding anything
to the contrary contained in this chapter or in any other provision of law) to
include in any contract let in connection with a project, stipulations
requiring that the contractor and any subcontractors comply with requirements
as to minimum wages and maximum hours of labor, and comply with any conditions
which the federal government may have attached to its financial aid of the
project.
(5)
To lease or rent any dwellings, houses, accommodations, lands, buildings,
structures or facilities embraced in any housing project and (subject to the
limitations contained in this chapter) to establish and revise the rents or
charges therefor; to own or manage buildings containing a housing project or
projects as well as commercial space or other dwelling units that do not
constitute a housing project as that term is defined in this chapter((:
PROVIDED, That)). However, notwithstanding the provisions under
subsection (1) of this section, dwelling units made available or sold to
persons of low income, together with functionally related and subordinate
facilities, shall occupy at least fifty percent of the interior space in the
total development owned by the authority or at least fifty percent of the total
number of units in the development owned by the authority, whichever produces
the greater number of units for persons of low income, and for mobile home
parks, the mobile home lots made available to persons of low income shall be at
least fifty percent of the total number of mobile home lots in the park owned
by the authority; to own, hold, and improve real or personal property; to
purchase, lease, obtain options upon, acquire by gift, grant, bequest, devise,
or otherwise including financial assistance and other aid from the state or any
public body, person or corporation, any real or personal property or any
interest therein; to acquire by the exercise of the power of eminent domain any
real property; to sell, lease, exchange, transfer, assign, pledge, or dispose
of any real or personal property or any interest therein; to sell, lease,
exchange, transfer, or dispose of any real or personal property or interest
therein at less than fair market value to a governmental entity for any purpose
when such action assists the housing authority in carrying out its powers and
purposes under this chapter, to a low-income person or family for the purpose
of providing housing for that person or family, or to a nonprofit corporation
provided the nonprofit corporation agrees to sell the property to a low-income
person or family or to use the property for the provision of housing for
persons of low income for at least twenty years; to insure or provide for the
insurance of any real or personal property or operations of the authority
against any risks or hazards; to procure or agree to the procurement of
insurance or guarantees from the federal government of the payment of any bonds
or parts thereof issued by an authority, including the power to pay premiums on
any such insurance.
(6)
To invest any funds held in reserves or sinking funds, or any funds not
required for immediate disbursement, in property or securities in which savings
banks may legally invest funds subject to their control; to purchase its bonds
at a price not more than the principal amount thereof and accrued interest, all
bonds so purchased to be canceled.
(7)
Within its area of operation: To investigate into living, dwelling and housing
conditions and into the means and methods of improving such conditions; to
determine where slum areas exist or where there is a shortage of decent, safe
and sanitary dwelling accommodations for persons of low income; to make studies
and recommendations relating to the problem of clearing, replanning and
reconstructing of slum areas, and the problem of providing dwelling
accommodations for persons of low income, and to cooperate with the city, the
county, the state or any political subdivision thereof in action taken in
connection with such problems; and to engage in research, studies and experimentation
on the subject of housing.
(8)
Acting through one or more commissioners or other person or persons designated
by the authority: To conduct examinations and investigations and to hear
testimony and take proof under oath at public or private hearings on any matter
material for its information; to administer oaths, issue subpoenas requiring
the attendance of witnesses or the production of books and papers and to issue
commissions for the examination of witnesses who are outside of the state or
unable to attend before the authority, or excused from attendance; to make
available to appropriate agencies (including those charged with the duty of
abating or requiring the correction of nuisances or like conditions, or of
demolishing unsafe or insanitary structures within its area of operation) its
findings and recommendations with regard to any building or property where
conditions exist which are dangerous to the public health, morals, safety or
welfare.
(9)
To initiate eviction proceedings against any tenant as provided by law.
Activity occurring in any housing authority unit that constitutes a violation
of chapter 69.41, 69.50 or 69.52 RCW shall constitute a nuisance for the
purpose of RCW 59.12.030(5).
(10)
To exercise all or any part or combination of powers herein granted.
No
provisions of law with respect to the acquisition, operation or disposition of
property by other public bodies shall be applicable to an authority unless the
legislature shall specifically so state.
(11)
To agree (notwithstanding the limitation contained in RCW 35.82.210) to make
such payments in lieu of taxes as the authority finds consistent with the
achievement of the purposes of this chapter.
(12)
Upon the request of a county or city, to exercise any powers of ((an urban))
a community renewal agency under chapter 35.81 RCW or a public
corporation, commission, or authority under chapter 35.21 RCW. ((However,
in the exercise of any such powers the housing authority shall be subject to
any express limitations contained in this chapter.))
(13)
To exercise the powers granted in this chapter within the boundaries of any
city, town, or county not included in the area in which such housing authority
is originally authorized to function: PROVIDED, HOWEVER, The governing or
legislative body of such city, town, or county, as the case may be, adopts a
resolution declaring that there is a need for the authority to function in such
territory.
(14)
To administer contracts for assistance payments to persons of low income in
accordance with section 8 of the United States Housing Act of 1937, as amended
by Title II, section 201 of the Housing and Community Development Act of 1974,
P.L. 93‑383.
(15)
To sell at public or private sale, with or without public bidding, for fair
market value, any mortgage or other obligation held by the authority.
(16)
To the extent permitted under its contract with the holders of bonds, notes,
and other obligations of the authority, to consent to any modification with
respect to rate of interest, time and payment of any installment of principal
or interest security, or any other term of any contract, mortgage, mortgage
loan, mortgage loan commitment, contract or agreement of any kind to which the
authority is a party.
(17)
To make, purchase, participate in, invest in, take assignments of, or otherwise
acquire loans to persons of low income to enable them to acquire, construct,
reconstruct, rehabilitate, improve, lease, or refinance their dwellings, and to
take such security therefor as is deemed necessary and prudent by the
authority.
(18)
To make, purchase, participate in, invest in, take assignments of, or otherwise
acquire loans for the acquisition, construction, reconstruction,
rehabilitation, improvement, leasing, or refinancing of land, buildings, or
developments for housing for persons of low income. For purposes of this
subsection, development shall include either land or buildings or both.
(a)
Any development financed under this subsection shall be subject to an agreement
that for at least twenty years the dwelling units made available to persons of
low income together with functionally related and subordinate facilities shall
occupy at least fifty percent of the interior space in the total development or
at least fifty percent of the total number of units in the development,
whichever produces the greater number of units for persons of low income. For
mobile home parks, the mobile home lots made available to persons of low income
shall be at least fifty percent of the total number of mobile home lots in the
park. During the term of the agreement, the owner shall use its best efforts
in good faith to maintain the dwelling units or mobile home lots required to be
made available to persons of low income at rents affordable to persons of low
income. The twenty-year requirement under this subsection (18)(a) shall not
apply when an authority finances the development by nonprofit corporations or
governmental units of dwellings or mobile home lots intended for sale to
persons of low and moderate income, and shall not apply to construction or
other short-term financing provided to nonprofit corporations or governmental
units when the financing has a repayment term of one year or less.
(b)
In addition, if the development is owned by a for-profit entity, the dwelling
units or mobile home lots required to be made available to persons of low
income shall be rented to persons whose incomes do not exceed fifty percent of
the area median income, adjusted for household size, and shall have unit or lot
rents that do not exceed fifteen percent of area median income, adjusted for
household size, unless rent subsidies are provided to make them affordable to
persons of low income.
For
purposes of this subsection (18)(b), if the development is owned directly or
through a partnership by a governmental entity or a nonprofit organization,
which nonprofit organization is itself not controlled by a for-profit entity or
affiliated with any for-profit entity that a nonprofit organization itself does
not control, it shall not be treated as being owned by a for-profit entity when
the governmental entity or nonprofit organization exercises legal control of
the ownership entity and in addition, (i) the dwelling units or mobile home
lots required to be made available to persons of low income are rented to
persons whose incomes do not exceed sixty percent of the area median income,
adjusted for household size, and (ii) the development is subject to an agreement
that transfers ownership to the governmental entity or nonprofit organization
or extends an irrevocable right of first refusal to purchase the development
under a formula for setting the acquisition price that is specified in the
agreement.
(c)
Commercial space in any building financed under this subsection that exceeds
four stories in height shall not constitute more than twenty percent of the
interior area of the building. Before financing any development under this
subsection the authority shall make a written finding that financing is
important for project feasibility or necessary to enable the authority to carry
out its powers and purposes under this chapter.
(19) To contract with a public authority or corporation, created by
a county, city, or town under RCW 35.21.730 through 35.21.755, to act as the
developer for new housing projects or improvement of existing housing projects.
Sec.
23. RCW
35.21.730 and 1985 c 332 s 1 are each amended to read as follows:
In
order to improve the administration of authorized federal grants or programs,
to improve governmental efficiency and services, or to improve the general
living conditions in the urban areas of the state, any city, town, or county
may by lawfully adopted ordinance or resolution:
(1)
Transfer to any public corporation, commission, or authority created ((hereunder))
under this section, with or without consideration, any funds, real or
personal property, property interests, or services;
(2)
Organize and participate in joint operations or cooperative organizations
funded by the federal government when acting solely as coordinators or agents
of the federal government;
(3)
Continue federally-assisted programs, projects, and activities after expiration
of contractual term or after expending allocated federal funds as deemed
appropriate to fulfill contracts made in connection with such agreements or as
may be proper to permit an orderly readjustment by participating corporations,
associations, or individuals;
(4)
Enter into contracts with public corporations, commissions, and authorities
for the purpose of exercising any powers of a community renewal agency under
chapter 35.81 RCW; and
(5)
Create public corporations, commissions, and authorities to: Administer and
execute federal grants or programs; receive and administer private funds,
goods, or services for any lawful public purpose; and perform any lawful public
purpose or public function. The ordinance or resolution shall limit the
liability of such public corporations, commissions, and authorities to the
assets and properties of such public corporation, commission, or authority in
order to prevent recourse to such cities, towns, or counties or their assets or
credit.
Sec.
24. RCW
35.21.745 and 1985 c 332 s 2 are each amended to read as follows:
(1)
Any city, town, or county which shall create a public corporation, commission,
or authority pursuant to RCW 35.21.730 or 35.21.660, shall provide for its
organization and operations and shall control and oversee its operation and
funds in order to correct any deficiency and to assure that the purposes of
each program undertaken are reasonably accomplished.
(2)
Any public corporation, commission, or authority created as provided in RCW
35.21.730 may be empowered to own and sell real and personal property; to
contract with a city, town, or county to conduct community renewal activities
under chapter 35.81 RCW; to contract with individuals, associations, and
corporations, and the state and the United States; to sue and be sued; to loan
and borrow funds and issue bonds and other instruments evidencing indebtedness;
transfer any funds, real or personal property, property interests, or services;
to do anything a natural person may do; and to perform all manner and type of
community services((: PROVIDED, That such)). However, the
public corporation, commission, or authority shall have no power of eminent
domain nor any power to levy taxes or special assessments.
Sec.
25. RCW
35.57.020 and 1999 c 165 s 2 are each amended to read as follows:
(1)
A public facilities district is authorized to acquire, construct, own, remodel,
maintain, equip, reequip, repair, finance, and operate one or more regional
centers. For purposes of this chapter, "regional center" means a
convention, conference, or special events center, or any combination of
facilities, and related parking facilities, serving a regional population
constructed, improved, or rehabilitated after July 25, 1999, at a cost of at
least ten million dollars, including debt service. "Regional center"
also includes an existing convention, conference, or special events center, and
related parking facilities, serving a regional population, that is improved or
rehabilitated after July 25, 1999, where the costs of improvement or
rehabilitation are at least ten million dollars, including debt service. A
regional center is conclusively presumed to serve a regional population if
state and local government investment in the construction, improvement, or
rehabilitation of the regional center is equal to or greater than ten million
dollars.
(2)
A public facilities district may enter into contracts with any city or town
for the purpose of exercising any powers of a community renewal agency under
chapter 35.81 RCW.
(3)
A public facilities district may impose charges and fees for the use of its
facilities, and may accept and expend or use gifts, grants, and donations for
the purpose of a regional center.
(((3)))
(4) A public facilities district may impose charges, fees, and taxes
authorized in RCW 35.57.040, and use revenues derived therefrom for the purpose
of paying principal and interest payments on bonds issued by the public
facilities district to construct a regional center.
(((4)))
(5) Notwithstanding the establishment of a career, civil, or merit
service system, a public facilities district may contract with a public or
private entity for the operation or management of its public facilities.
(((5)))
(6) A public facilities district is authorized to use the supplemental
alternative public works contracting procedures set forth in chapter 39.10 RCW
in connection with the design, construction, reconstruction, remodel, or
alteration of any regional center.
(7)
A city or town in conjunction with any special agency, authority, or other
district established by a county or any other governmental agency is authorized
to use the supplemental alternative public works contracting procedures set
forth in chapter 39.10 RCW in connection with the design, construction,
reconstruction, remodel, or alteration of any regional center funded in whole
or in part by a public facilities district.
Sec.
26. RCW
36.100.010 and 1995 3rd sp.s. c 1 s 301 are each amended to read as follows:
(1)
A public facilities district may be created in any county and shall be
coextensive with the boundaries of the county.
(2)
A public facilities district shall be created upon adoption of a resolution
providing for the creation of such a district by the county legislative
authority in which the proposed district is located.
(3)
A public facilities district is a municipal corporation, an independent taxing
"authority" within the meaning of Article VII, section 1 of the state
Constitution, and a "taxing district" within the meaning of Article
VII, section 2 of the state Constitution.
(4)
No taxes authorized under this chapter may be assessed or levied unless a
majority of the voters of the public facilities district has approved such tax
at a general or special election. A single ballot proposition may both
validate the imposition of the sales and use tax under RCW 82.14.048 and the
excise tax under RCW 36.100.040.
(5)
A public facilities district shall constitute a body corporate and shall
possess all the usual powers of a corporation for public purposes as well as
all other powers that may now or hereafter be specifically conferred by
statute, including, but not limited to, the authority to hire employees, staff,
and services, to enter into contracts, and to sue and be sued.
(6)
A public facilities district may enter into contracts with a county for the
purpose of exercising any powers of a community renewal agency under chapter
35.81 RCW.
(7)
The county legislative authority or the city council may transfer property to
the public facilities district created under this chapter. No property that is
encumbered with debt or that is in need of major capital renovation may be
transferred to the district without the agreement of the district and revenues
adequate to retire the existing indebtedness.
NEW
SECTION. Sec. 27. A
new section is added to chapter 53.08 RCW to read as follows:
A
port district may enter into a contract with any city, town, or county for the
purpose of exercising any powers of a community renewal agency under chapter
35.81 RCW.
NEW
SECTION. Sec. 28. If
any provision of this act or its application to any person or circumstance is
held invalid, the remainder of the act or the application of the provision to
other persons or circumstances is not affected.
NEW
SECTION. Sec. 29. (1)
This act does not impair any authority granted, any actions undertaken, or any
liability or obligation incurred under the sections amended in this act or
under any rule, order, plan, or project adopted under those sections, nor does
it impair any proceedings instituted under those sections.
(2)
Any power granted in this act with respect to a community renewal plan, and any
process authorized for the exercise of the power, may be used by any
municipality in implementing any urban renewal plan or project adopted under
chapter 35.81 RCW, to the same extent as if the plan were adopted as a
community renewal plan.
(3)
This act shall be liberally construed.
NEW
SECTION. Sec. 30. (1)
RCW 35.81.010 is recodified as RCW 35.81.015.
(2)
RCW 35.81.020 is recodified as RCW 35.81.005.
