Brief Description: Making appropriations and authorizing expenditures for capital improvements.

Sponsors: Representatives Dunshee and Alexander; by request of Governor Locke.

Hearing Date: 2/18/03

Staff: Charlie Gavigan (786-7340).

Background:

The programs and agencies of state government are funded on a two-year basis, with each biennium beginning on July 1 of each odd-numbered year. The Capital Budget includes appropriations for the acquisition, construction and repair of capital assets such as state office buildings, prisons, juvenile rehabilitation centers, residential habilitation centers, mental health facilities, public health facilities, military readiness centers, and higher education facilities. The Capital Budget funds a variety of environmental and natural resource projects, parks and recreational facilities, grants for public K-12 school construction, and has a number of grant and loan programs that support housing, public infrastructure, community service facilities, and art and historical projects.

The sources of funding for the Capital Budget primarily are state general obligation bonds, trust revenues, and dedicated fees and taxes.

Summary of Bill:

The 2003-05 Capital Budget authorizes $2.364 billion in new capital projects, of which $1.2 million are financed with state general obligation bonds. (The related bond bill authorizes $926 million under the 7% statutory debt limit and the rest are excluded from the statutory debt limit.) Reappropriations of $1.7 billion are authorized for uncompleted projects approved in prior biennia. Agencies also are authorized to enter into a variety of financing contracts, not debt-limit financing funded using operating revenue.

Appropriation: The sum of $2.364 billion in new appropriations and $1.7 billion in reappropriations.

Fiscal Note: Not Requested.

Effective Date: The bill contains an emergency clause and takes effect immediately.