VETO MESSAGE ON HB 1823-S

May 13, 2005

To the Honorable Speaker and Members,

The House of Representatives of the State of Washington

Ladies and Gentlemen:

I am returning, without my approval as to Section 3, Substitute House Bill No. 1823 entitled:

"AN ACT Relating to assisting the economic development of underserved rural communities by assisting an owner or operator that has discontinued using an underground petroleum storage tank."

This bill provides financial assistance grants to operators who have discontinued using underground storage tanks. Rural Washingtonians often drive long distances to refuel their vehicles, and I can appreciate the hardship that results from the closure of gas stations in remote areas of our state. Section 3 of the bill would authorize the Pollution Liability Insurance Agency to expend one million dollars during the 2005-07 Biennium for a financial assistance grant program, and would cap administrative costs at ten percent of the funds appropriated. The agency already has authority to expend non-appropriated funds for the grant program, so this section is not necessary. Further, since no funds have been appropriated for the grant program, the wording of this language would effectively prohibit the agency from making any expenditure for grant administration. To fulfill the Legislature's intent regarding the size of this program and limits on administrative expenses, I hereby direct the agency to expend no more than one million dollars for the grant program during 2005-07, and to limit its administrative costs to no more than ten percent of grant expenditures.

For these reasons, I have vetoed Section 3 of Substitute House Bill No. 1823.

With the exception of Section 3, Substitute House Bill No. 1823 is approved.

Respectfully submitted,

Christine O. Gregoire

Governor