"NEW SECTION.  Sec. 1   The legislature finds that:
     (1) Hood Canal and other marine waters in Puget Sound are at risk of severe loss of marine life from low-dissolved oxygen, and the increased input of human-influenced nutrients, especially nitrogen, are a significant factor causing this low-dissolved oxygen condition in some of Puget Sound's waters, in addition to such natural factors as poor overall water circulation and stratification that discourages mixing of surface-to-deeper waters;
     (2) A significant portion of the state's residents live in homes served by on-site sewage disposal systems, and many new residences will be served by these systems;
     (3) Properly functioning on-site sewage disposal systems largely protect water quality, and improperly functioning on-site sewage disposal systems in marine recovery areas may contaminate surface water, causing significant public health and environmental problems;
     (4) Local programs designed to identify and correct failing on-site sewage disposal systems have proven effective in reducing and eliminating public health and environmental hazards, improving water quality, and reopening previously closed shellfish areas; and
     (5) State water quality monitoring data and analysis can help to focus these enhanced local programs on specific geographic areas that are sources of pollutants degrading Puget Sound waters.
     Therefore, it is the purpose of this chapter to authorize enhanced local programs in marine recovery areas to inventory existing on-site sewage disposal systems, to identify the location of all on-site sewage disposal systems in marine recovery areas, to require inspection of on-site sewage disposal systems and repairs to failing systems, to develop electronic data systems capable of sharing information regarding on- site sewage disposal systems, and to monitor these programs to ensure that they are working to protect public health and Puget Sound water quality.

NEW SECTION.  Sec. 2   The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.
     (1) "Board" means the state board of health.
     (2) "Department" means the department of health.
     (3) "Failing system" means an on-site sewage disposal system or component that threatens public health or the environment by inadequately treating sewage, or that creates a potential for direct or indirect contact between sewage and the public. Examples of failing systems include those causing:
     (a) Sewage on the surface of the ground;
     (b) Sewage backing up into a structure;
     (c) Sewage leaking from a sewage tank or collection system;
     (d) Cesspools or seepage pits;
     (e) Inadequately treated effluent that contaminates ground water or surface water; or
     (f) Noncompliance with a requirement stipulated on a permit issued by the department or a local health jurisdiction.
     (4) "Implementation plan" means a local health jurisdiction's on-site sewage disposal system implementation plan required under section 4 of this act.
     (5) "Local health officer" or "local health jurisdiction" means the local health officers and local health jurisdictions in counties bordering Puget Sound: Clallam, Island, Kitsap, Jefferson, Mason, San Juan, Seattle-King, Skagit, Snohomish, Tacoma-Pierce, Thurston, and Whatcom.
     (6) "Marine recovery area" means an area of definite boundaries where the local health officer, or the department in consultation with the health officer, determines that additional requirements for on-site sewage disposal systems may be necessary to reduce potential failing systems or minimize negative impacts of on-site sewage disposal systems on public health or the environment.
     (7) "On-site sewage disposal system" means any system of piping, treatment devices, or other facilities that convey, store, treat, or dispose of sewage on the property where it originates or on nearby property under the control of the user where the system is not connected to a public sewer system. For purposes of this chapter, an on-site sewage disposal system does not include indoor plumbing and associated fixtures and does not include any system regulated by a water quality discharge permit issued under chapter 90.48 RCW.
     (8) "Unknown system" means an on-site sewage disposal system that was installed without the knowledge or approval of the local health jurisdiction, including those that were installed before such approval was required.

NEW SECTION.  Sec. 3   (1) By July 1, 2006, the local health officer shall propose a marine recovery area for those land areas where on-site sewage disposal systems are a significant factor contributing to public health and environmental concerns, associated with:
     (a) Shellfish growing areas that have been threatened or downgraded by the department under chapter 69.30 RCW;
     (b) Marine waters that are listed by the department of ecology under Section 303(d) of the federal clean water act (33 U.S.C. Sec. 1251 et seq.) for low-dissolved oxygen or fecal coliform;
     (c) Marine waters where nitrogen has been identified as a contaminant of concern by the local health officer; or
     (d) Marine waters with low-dissolved oxygen levels below three parts per million.
     (2) In determining the boundaries for a marine recovery area, the local health officer shall assess and include those land areas where on-site sewage disposal systems may affect water quality in the marine recovery area.
     (3) After July 1, 2006, the local health officer may designate additional marine recovery areas meeting the criteria of this section, according to new information. Where the department recommends the designation of a marine recovery area or expansion of a designated marine recovery area, the local health officer shall notify the department of its decision concerning the recommendation within ninety days of receipt of the recommendation.

NEW SECTION.  Sec. 4   (1) By July 1, 2007, and thereafter, the local health officer of a local health jurisdiction where a marine recovery area has been proposed under section 3 of this act shall develop and approve an on-site sewage disposal system program implementation plan that includes designation of marine recovery areas to guide the local health jurisdiction in developing and managing all on-site sewage disposal systems within marine recovery areas within its jurisdiction. The department may grant an extension of twelve months where a local health jurisdiction has demonstrated substantial progress toward completing its implementation plan.
     (2) An implementation plan for a marine recovery area must specify how the local health jurisdiction will:
     (a) By July 1, 2010, and thereafter, find failing systems and ensure that system owners of these systems make necessary repairs;
     (b) By July 1, 2010, and thereafter, find unknown systems and ensure that they are inspected as required to ensure that they are functioning properly, and repaired, if necessary;
     (c) Identify operation, maintenance, and monitoring requirements commensurate with the risks posed by on-site sewage disposal systems in the marine recovery area;
     (d) Facilitate education of owners of on-site sewage disposal systems regarding requirements for owners;
     (e) Provide operation and maintenance information for owners of all on-site sewage disposal system types in use within the marine recovery area;
     (f) Ensure that owners of on-site sewage disposal systems complete operation and maintenance inspections as required by rules adopted by the board;
     (g) Maintain all records as required by rules adopted by the board, including inspection and repair records;
     (h) Enforce applicable on-site sewage disposal system permit requirements; and
     (i) If necessary, recommend alternatives to conventional on-site sewage disposal systems such as extending sewer services, developing community sewage systems, and encouraging on-site sewage disposal system technologies with greater treatment performance, particularly regarding reduction or removal of nitrogen.
     (3) The local board of health shall provide at least a sixty-day public comment period and hold a public hearing on a proposed implementation plan. The local health officer shall submit the proposed implementation plan to the department for review and comment. The local board of health shall approve the implementation plan after considering public comments on the plan.
     (4) Within ten days of adoption by the local board of health, the local health officer shall submit a copy of the implementation plan to the department for review and approval as provided in section 6 of this act.

NEW SECTION.  Sec. 5   Each local health officer shall:
     (1) Require that on-site sewage disposal system maintenance specialists, septic tank pumpers, or others performing on-site sewage disposal system inspections submit reports or inspection results to the local health jurisdiction regarding any failing system; and
     (2) Develop and maintain an electronic data system of all on-site sewage disposal systems within a marine recovery area to enable the local health jurisdiction to actively manage on-site sewage disposal systems. In assisting development of such electronic data systems, the department shall work with local health jurisdictions with marine recovery areas and the on-site sewage disposal system industry to develop common forms and protocols to facilitate sharing of data. A marine recovery area on-site sewage disposal electronic data system must be compatible with all on-site sewage disposal electronic data systems used throughout a local health jurisdiction.

NEW SECTION.  Sec. 6   (1) The department shall review an implementation plan submitted by a local health officer to ensure that all required elements, including designation of any marine recovery area, have been addressed. The board may adopt additional criteria by rule for approving implementation plans.
     (2) Within thirty days of receiving an implementation plan, the department shall either approve the plan or provide in writing the reasons for not approving an implementation plan and recommend changes. If the department does not approve the plan, the local board of health must amend and resubmit the plan to the department for approval.
     (3) Upon receipt of department approval or after thirty days without notification, whichever comes first, the local health officer shall implement the implementation plan.
     (4) If the department denies approval of an implementation plan, the local board of health may appeal the denial to the state board of health, which will have final resolution of the matter.
     (5) The department shall assist local health jurisdictions in:
     (a) Developing implementation plans required by section 4 of this act;
     (b) Identifying reasonable methods for finding unknown systems; and
     (c) Developing or enhancing electronic data systems that will enable each local health jurisdiction to actively manage all on-site sewage disposal systems within their jurisdictions, with priority given to those on-site sewage disposal systems that are located in or which could affect designated marine recovery areas.

NEW SECTION.  Sec. 7   (1) The department shall enter into a contract with each local health jurisdiction subject to the requirements of this chapter to implement approved implementation plans developed under this chapter, and to develop or enhance electronic data systems required by this chapter. The contract shall include state funding assistance to the local health jurisdiction from funds appropriated to the department for this purpose.
     (2) The contract shall require, at a minimum, that within a marine recovery area, the local health jurisdiction:
     (a) Show progressive improvement in finding failing systems;
     (b) Show progressive improvement in working with on-site sewage disposal system owners to make needed system repairs;
     (c) Is actively taking steps to find previously unknown systems and ensuring that they are inspected as required and repaired if necessary;
     (d) Show progressive improvement in the percentage of on-site sewage disposal systems that are included in an electronic data system; and
     (e) Of those on-site sewage disposal systems in the electronic data system, show progressive improvement in the percentage that have had required inspections.
     (3) The contract must also include provisions for state assistance in updating the implementation plan. Beginning July 1, 2009, the contract may adopt revised compliance dates, including those in section 4 of this act, where the local health jurisdiction has demonstrated substantial progress in updating the implementation plan.

NEW SECTION.  Sec. 8   The provisions of this chapter are supplemental to all other authorities governing on-site sewage disposal systems, including chapter 70.118 RCW and rules adopted under that chapter.

NEW SECTION.  Sec. 9   (1) The department of health shall report to the appropriate committees of the senate and house of representatives by December 31, 2007, on progress in designating marine recovery areas and developing and implementing implementation plans for such marine recovery areas.
     (2) The report shall include information on:
     (a) The status of implementation plans in each county covered by sections 1 through 8 of this act;
     (b) The status of on-site sewage disposal system location, identification, and inclusion within electronic data systems in each county, including estimates of remaining on-site sewage disposal systems within marine recovery areas that have not been identified or included within electronic data systems;
     (c) The shoreline areas for which sanitary surveys have been completed by the department;
     (d) The progress of and capacity of local health jurisdictions to identify on-site sewage disposal systems within marine recovery areas and to ensure that failing systems are repaired and all systems are operated and maintained in compliance with board of health standards;
     (e) Regulatory, statutory, and financial barriers to implementing the implementation plan;
     (f) Recommendations that will assist local health jurisdictions to successfully implement implementation plans; and
     (g) Recommendations for the professional certification of on-site sewage disposal system operation and maintenance personnel, developed in consultation with local health jurisdictions, the on-site sewage disposal system industry, and other affected stakeholders.
     (3) Local health jurisdictions shall provide information and data requested by the department of health in developing the reports, and the department shall append all reports or information that the local health jurisdictions request to be included in the report.

Sec. 10   RCW 43.20.050 and 1993 c 492 s 489 are each amended to read as follows:
     (1) The state board of health shall provide a forum for the development of public health policy in Washington state. It is authorized to recommend to the secretary means for obtaining appropriate citizen and professional involvement in all public health policy formulation and other matters related to the powers and duties of the department. It is further empowered to hold hearings and explore ways to improve the health status of the citizenry.
     (a) At least every five years, the state board shall convene regional forums to gather citizen input on public health issues.
     (b) Every two years, in coordination with the development of the state biennial budget, the state board shall prepare the state public health report that outlines the health priorities of the ensuing biennium. The report shall:
     (i) Consider the citizen input gathered at the forums;
     (ii) Be developed with the assistance of local health departments;
     (iii) Be based on the best available information collected and reviewed according to RCW 43.70.050 ((and recommendations from the council));
     (iv) Be developed with the input of state health care agencies. At least the following directors of state agencies shall provide timely recommendations to the state board on suggested health priorities for the ensuing biennium: The secretary of social and health services, the health care authority administrator, the insurance commissioner, the superintendent of public instruction, the director of labor and industries, the director of ecology, and the director of agriculture;
     (v) Be used by state health care agency administrators in preparing proposed agency budgets and executive request legislation;
     (vi) Be submitted by the state board to the governor by January 1st of each even-numbered year for adoption by the governor. The governor, no later than March 1st of that year, shall approve, modify, or disapprove the state public health report.
     (c) In fulfilling its responsibilities under this subsection, the state board may create ad hoc committees or other such committees of limited duration as necessary.
     (2) In order to protect public health, the state board ((of health)) shall:
     (a) Adopt rules necessary to assure safe and reliable public drinking water and to protect the public health. Such rules shall establish requirements regarding:
     (i) The design and construction of public water system facilities, including proper sizing of pipes and storage for the number and type of customers;
     (ii) Drinking water quality standards, monitoring requirements, and laboratory certification requirements;
     (iii) Public water system management and reporting requirements;
     (iv) Public water system planning and emergency response requirements;
     (v) Public water system operation and maintenance requirements;
     (vi) Water quality, reliability, and management of existing but inadequate public water systems; and
     (vii) Quality standards for the source or supply, or both source and supply, of water for bottled water plants.
     (b) Adopt rules and standards for prevention, control, and abatement of health hazards and nuisances related to the disposal of wastes, solid and liquid, including but not limited to sewage, garbage, refuse, and other environmental contaminants; adopt standards and procedures governing the design, construction, and operation of sewage, garbage, refuse and other solid waste collection, treatment, and disposal facilities;
     (c) Adopt rules controlling public health related to environmental conditions including but not limited to heating, lighting, ventilation, sanitary facilities, cleanliness and space in all types of public facilities including but not limited to food service establishments, schools, institutions, recreational facilities and transient accommodations and in places of work;
     (d) Adopt rules for the imposition and use of isolation and quarantine;
     (e) Adopt rules for the prevention and control of infectious and noninfectious diseases, including food and vector borne illness, and rules governing the receipt and conveyance of remains of deceased persons, and such other sanitary matters as admit of and may best be controlled by universal rule; and
     (f) Adopt rules for accessing existing data bases for the purposes of performing health related research.
     (3) The state board may delegate any of its rule-adopting authority to the secretary and rescind such delegated authority.
     (4) All local boards of health, health authorities and officials, officers of state institutions, police officers, sheriffs, constables, and all other officers and employees of the state, or any county, city, or township thereof, shall enforce all rules adopted by the state board ((of health)). In the event of failure or refusal on the part of any member of such boards or any other official or person mentioned in this section to so act, he or she shall be subject to a fine of not less than fifty dollars, upon first conviction, and not less than one hundred dollars upon second conviction.
     (5) The state board may advise the secretary on health policy issues pertaining to the department of health and the state.
     (6) In addition to the powers and duties to adopt rules for on-site sewage disposal systems as provided in subsection (2) of this section, the state board shall adopt rules to address environmental impacts associated with low-dissolved oxygen in marine waters caused wholly or in part by on-site sewage disposal systems, as defined in section 2 of this act.

NEW SECTION.  Sec. 11   A new section is added to chapter 90.48 RCW to read as follows:
     (1) The department of ecology shall administer a financial assistance program for the repair and replacement of failing on-site sewage disposal systems in counties with marine waters.
     (2) The department shall design an application process for the financial assistance program in coordination with the Puget Sound action team and the department of health. The department may contract with private financial institutions to administer banking functions involved in the financial assistance program. The application process must ensure that:
     (a) Applications are readily accessible at the local level through local health districts and departments, and that the application process is easy to understand and complete by homeowners with technical assistance provided by local health districts and departments.
     (b) Applications are prioritized based on the level of reductions in environmental and public health problems that will be achieved by proposed repair or replacement of a failing on-site sewage disposal system.
     (c) Applicants will provide proper inspection and maintenance of the on-site sewage disposal systems repaired or installed to standards required by the local health jurisdiction and applicable rules adopted by the state board of health.
     (3) In consultation with the department of health, the department shall design the financial assistance program to provide a combination of grants and low-interest and/or deferred-payment loans. The program shall provide grants based on financial need of the applicant. Homeowners with annual incomes, as defined in RCW 84.36.383, below twenty-five thousand dollars or less shall be eligible for one hundred percent grant financing. The department shall adopt a declining portion of grant funding for homeowners with incomes between twenty-five thousand dollars and one hundred fifty percent of the state median family income. Homeowners with incomes above one hundred fifty percent of the state median family income shall only be eligible for low-interest loans. The portion of financial assistance provided through grants shall be larger in the first five years of the program to encourage homeowners with failing on-site sewage disposal systems to repair and replace those systems as early as possible.
     (4) The department shall offer either grants or loans, or both, to local health districts and departments proposing pilot programs to encourage and fund, within marine recovery areas designated pursuant to chapter 70.-- RCW (sections 1 through 9 of this act), installation and proper operation and maintenance of alternative systems that provide greater treatment performance in reducing nitrogen discharges to these areas and waterless toilets. The department shall compile and annually provide information to the department of health and local health districts and departments regarding performance of alternative systems and waterless toilets funded pursuant to this subsection.
     (5) From July 1, 2005, to June 30, 2007, the department shall place a high priority on providing the financial assistance authorized in this section within watersheds that drain to Hood Canal south of a line projected from Tala Point in Jefferson county to Foulweather Bluff in Kitsap county.
     (6) For purposes of this section:
     (a) "Failing" and "on-site sewage disposal system" have the meaning specified in section 2 of this act.
     (b) "Alternative system" means an on-site sewage disposal system other than a conventional gravity system or conventional pressure distribution system.
     (c) "Waterless toilet" means a nondischarging toilet that uses no water for waste transport but stores or reduces toilet and urinal wastes to either compost, ash, or an accumulation of wastes for removal, transport, and final disposal at an approved site.

NEW SECTION.  Sec. 12   By December 31, 2005, the department of health must provide a report and recommendations to the appropriate committees of the legislature regarding existing financial assistance programs providing low-interest grants and loans to homeowners to repair and replace failing on-site sewage disposal systems in counties with marine waters. In preparing the report and recommendations, the department of health will consult the Puget Sound action team, the department of community, trade, and economic development, and the department of ecology. Recommendations must include, if needed, proposals to revise existing programs to ensure that homeowners in all counties with marine waters have sufficient access to financial assistance.

NEW SECTION.  Sec. 13   Sections 1 through 9 of this act constitute a new chapter in Title 70 RCW.

NEW SECTION.  Sec. 14   If specific funding for the purposes of sections 1 through 10 of this act, referencing this act by bill or chapter number, is not provided by June 30, 2005, in the omnibus appropriations act, sections 1 through 10 of this act are null and void.

NEW SECTION.  Sec. 15   This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect July 1, 2005."