BILL REQ. #: Z-0599.1
| State of Washington | 60th Legislature | 2007 Regular Session |
Read first time 02/07/2007. Referred to Committee on Finance.
AN ACT Relating to authorizing the creation of a public speedway authority; amending RCW 36.38.010, 35.21.280, 36.70A.110, 47.42.025, 70.107.080, 39.04.010, 84.33.140, 76.09.060, 35.13.005, 35.13.180, 36.94.020, 36.94.030, 35.91.020, 84.34.037, and 36.96.010; reenacting and amending RCW 82.29A.130; adding new sections to chapter 82.14 RCW; adding a new section to chapter 82.08 RCW; adding a new section to chapter 82.12 RCW; adding a new chapter to Title 36 RCW; creating new sections; providing an effective date; and declaring an emergency.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
NEW SECTION. Sec. 101
NEW SECTION. Sec. 201
(1) "Early retirement" means the redemption or defeasance of bonds
or the setting aside of funds for the payment of principal of and
interest on bonds.
(2) "Facility" means a professional motorsports entertainment and
family recreation facility.
(3) "Force majeure event" means natural disasters or other
casualty, including fire, flood, earthquake, windstorm, avalanche,
landslide, mudslide, and other similar events; acts of war or civil
unrest when an emergency has been declared by appropriate governmental
officials; acts of civil or military authority; strike, lockout, or
other labor dispute (not involving the public speedway authority or its
lessee or prospective lessee or any parent, corporate affiliate, or
successor directly as a party in such strike, lockout, or other labor
dispute); embargoes; epidemics; terrorist acts; riots; insurrections;
explosions; and nuclear accidents or other occurrence reasonably beyond
the control of the public speedway authority or its lessee or
prospective lessee.
(4) "Host jurisdiction" means (a) a first class city that has
adopted a resolution setting forth its intention to annex territory
within which the proposed facility is located and to assume
responsibility for the environmental review and permitting of such
proposed facility, or (b) if no such resolution is adopted or if such
proposed annexation is not complete within one year of the effective
date of this section, the general purpose local government within which
the facility is located and that is responsible for the environmental
review and permitting of the facility. A first class city adopting
such a resolution may continue as host jurisdiction for additional six-month periods by adopting resolutions setting forth its intention to
continue annexation proceedings during such six-month periods.
(5) "Lessee" means a corporation that enters into a lease agreement
with a public speedway authority under section 401 of this act and that
is a corporation that, or is a wholly owned subsidiary of a corporation
that, directly or through its subsidiaries or affiliates, owns or
operates at least ten professional motorsports entertainment facilities
in the United States and conducts at least fifty nationally recognized,
top tier professional motorsports events, including at least twenty
NASCAR NEXTEL Cup Events, during the year in which such lease agreement
becomes effective.
(6) "Major motorsports event weekend" means a multiday series of
professional motorsports racing and related events spanning a weekend
anchored by one nationally recognized, top tier professional
motorsports event.
(7) "NASCAR" means the National Association for Stockcar Auto
Racing, Inc. or its designees or assignees.
(8) "Nationally recognized, top tier professional motorsports
event" means a principal event in a sanctioned national or
international touring professional racing series that is broadly
recognized as a leader in its racing discipline and is generally
capable of producing the level of economic activity including, but not
limited to, paid attendance by out-of-state visitors, on which public
support for the development of a facility in Washington is based. As
of the effective date of this section, nationally recognized, top tier
professional motorsports events include, but are not limited to, NASCAR
NEXTEL Cup Series, NASCAR Busch Series, Indy Racing League, NASCAR
Craftsman Truck Series, USAC Silver Crown Series, Grand American Road
Racing Series, Champ Car Series, and Formula One events.
(9) "Professional motorsports entertainment and family recreation
facility" means a multifaceted complex designed to be primarily used as
a venue for nationally recognized, top tier professional motorsports
events, including a closed-course speedway, grandstands and other
seating with capacity for at least eighty-three thousand attendees,
control towers, open space, administration and maintenance buildings,
together with support services and facilities, such as hospitality
facilities, food and beverage sale locations, parking, recreational
vehicle camping, and retail sale locations, for motorsports fans and
participants, and for those using the complex for community,
charitable, recreation, and other activities (such as family recreation
and social events, local and regional business functions, arts events,
emergency services, and public safety training) on a fee or nonfee
basis as appropriate and to the extent that such activities are
consistent with use of the facility for professional motorsports
events.
(10) "Prospective lessee" means an entity that would qualify as a
lessee that has not yet entered into a lease with a public speedway
authority.
NEW SECTION. Sec. 301
(2) A public speedway authority may be created upon the adoption of
a resolution of the legislative body of the host jurisdiction and, if
the authority includes more than one county, the adoption of a
concurring resolution by the legislative body of at least one county
that is within the proposed public speedway authority area and that is
not the host jurisdiction. The approving and, if applicable,
concurring resolutions shall identify the one, two, or three-county
area in which the public speedway authority is to function, approve the
creation of a public speedway authority within such area, and appoint
or provide for the appointment of board members as described in section
302(1) of this act.
(3) A public speedway authority is a municipal corporation and
possesses all the usual corporate powers as well as all other powers
that may now or hereafter be specifically conferred by statute.
NEW SECTION. Sec. 302
(2) Members of the board of directors shall serve four-year terms
of office, except that two of the initial board members shall serve
two-year terms of office and two of the initial board members shall
serve three-year terms of office. The governor shall designate which
of the initial board members shall serve two-year terms, which shall
serve three-year terms, and which shall serve four-year terms.
(3) A vacancy shall be filled in the same manner as the original
appointment was made except that, if the governor or any legislative
body responsible for appointing a member to a vacant position fails to
make the appointment for a period of ninety days or more, the remaining
members of the board of directors may select an interim member to fill
the position by majority vote of such members. The person appointed by
the governor, a legislative body, or the board to fill a vacancy shall
serve for the remainder of the unexpired term of the office to which he
or she was appointed.
(4) If a director is appointed by the governor, the governor may
remove the director from office for any or no reason. If a director is
appointed by a legislative body, the legislative body may remove the
director from office for any or no reason. If a director is not
appointed by either the governor or a legislative body, the director
may be removed from office by majority vote of the board.
(5) If a city becomes the host jurisdiction after a county has been
the host jurisdiction, the legislative body of the city shall appoint
two members of the board of directors to replace two of the members
appointed by the previous host jurisdiction within thirty days of the
effective date of such change. If a county becomes the host
jurisdiction after a city has been the host jurisdiction, the
legislative body of the county shall appoint members of the board of
directors to replace the members appointed by the previous host
jurisdiction within thirty days of the effective date of such change.
Each newly appointed member of the board of directors shall serve for
the remainder of the unexpired term of office to which he or she was
appointed.
NEW SECTION. Sec. 303
(2) A public speedway authority may exercise all other powers
necessary and appropriate to carry out its responsibilities, including
without limitation the power to sue and be sued, to acquire, own, and
transfer real and personal property and property rights by lease,
sublease, purchase, or sale, and to enter into contracts. An authority
may also sell, lease, convey, or otherwise dispose of any real or
personal property or property rights no longer necessary or desirable
for the conduct of the affairs of the authority.
(3) A public speedway authority may enter into agreements with the
state or any municipal corporation, acting through its legislative
body, for the joint design, financing, acquisition, development,
construction, reconstruction, lease, remodeling, alteration,
maintenance, equipping, reequipping, repair, or operation of a
facility. Such activities shall be deemed to be a public purpose of
the state or any such municipal corporation. The agreements may
provide that any party to the contract designs, finances, acquires,
develops, constructs, reconstructs, remodels, alters, maintains,
equips, reequips, repairs, or operates the facility for the other party
or parties to the contract. The state and any municipal corporation is
authorized to participate with a public speedway authority in the
financing of all or any part of the facility on any terms as may be
fixed by agreement between the parties, pursuant to a loan, guaranty,
or other financing agreement. The legislative body of any county or
city within which a public speedway authority functions may acquire
property on behalf of, or transfer property to, a public speedway
authority created under this act with or without consideration.
(4) A public speedway authority may contract with a public or
private entity for the acquisition of a site for a facility.
(5) A public speedway authority may accept and expend or use gifts,
grants, and donations and impose or provide for its lessee to impose
charges and fees for the use of the facility.
(6) A public speedway authority may spend funds for the public
purposes of promoting and preparing and distributing advertising and
promotional information about the facility.
(7) A public speedway authority may secure professional or other
services by means of an agreement with any service provider. The
public speedway authority shall establish criteria, receive and
evaluate proposals, and negotiate with respondents under requirements
set forth by authority resolution.
NEW SECTION. Sec. 304
NEW SECTION. Sec. 305
NEW SECTION. Sec. 306
NEW SECTION. Sec. 307
NEW SECTION. Sec. 308
NEW SECTION. Sec. 309
NEW SECTION. Sec. 401 A new section is added to chapter 82.14
RCW to read as follows:
(2) The department of revenue shall deduct the proceeds of the tax
imposed under subsection (1) of this section from the amount of tax
otherwise required to be collected or paid over to the department of
revenue under chapter 82.08 or 82.12 RCW and shall remit the proceeds
of the tax imposed under subsection (1) of this section to the public
speedway authority. The department of revenue shall collect and remit
the proceeds of such taxes on behalf of the authority at no cost to the
authority.
(3) The tax imposed pursuant to this section shall expire when all
bonds issued to finance or refinance costs of the acquisition,
permitting, design, development, construction, or equipping of the
facility have been retired, whether upon maturity or by early
retirement, and all amounts due to any financial institutions,
insurance companies, or other public or private entities providing
credit enhancement to the bonds have been paid, or twenty-five years
after the tax under this section is first imposed, whichever occurs
first.
(4) The tax collected under this section shall be used exclusively
to pay costs of the acquisition, permitting, design, development,
construction, or equipping of the facility, including paying debt
service on bonds issued to finance or refinance such costs, paying
amounts due to any financial institutions, insurance companies, or
other public or private entities providing credit enhancement and
paying other costs of issuance, and to fund reasonable debt service
reserves. Any excess taxes shall be applied to provide for the early
retirement of any bonds issued by the public speedway authority.
NEW SECTION. Sec. 402
(2) An authority may apply the proceeds of the tax pursuant to
either (a) or (b) of this subsection:
(a) Until all costs of the initial acquisition, permitting, design,
development, construction, and equipping of a facility have been paid
and all bonds issued to finance these costs and paid from the
admissions tax have been retired, whether upon maturity or by early
retirement, not more than eighty percent of the proceeds of the tax
applied under this subsection may be used exclusively to pay costs of
the acquisition, permitting, design, development, construction, or
equipping of the facility, including paying debt service on or
providing for the early retirement of bonds issued to finance or
refinance these costs, paying for credit enhancement and other costs of
issuance, and funding reasonable debt service or capital reserves, and
at least twenty percent of the proceeds of the tax shall be used
exclusively for payments to the host jurisdiction for use by the host
jurisdiction for any public purpose. After all costs of the initial
acquisition, permitting, design, development, construction, and
equipping of a facility have been paid and all bonds issued to finance
or refinance these costs and paid from the admissions tax have been
retired, whether upon maturity or by early retirement, the proceeds of
the tax applied under this subsection first may be used to pay debt
service on any other authority bonds and to pay amounts due in
connection with credit enhancement for authority bonds, and, second,
shall be paid to the host jurisdiction for use by the host jurisdiction
for any public purpose.
(b) Proceeds of the tax collected under this section may be
provided by the authority to the host jurisdiction. The host
jurisdiction shall use such proceeds to fund, to the extent of the
proceeds of the admissions tax, the off-site public infrastructure
improvements necessary for the efficient operation of the facility
identified through environmental review of the proposed facility,
required as conditions of its permitting, and only to the extent such
improvements are incremental to the public infrastructure required to
serve nearby development as described in any host jurisdiction
comprehensive plan. Improvements undertaken in connection with the
development of the facility shall satisfy the obligation of the public
speedway authority or its lessee under section 501(1) of this act
concerning off-site infrastructure. The host jurisdiction may
determine to undertake only such off-site public infrastructure
improvements necessary to satisfy the obligation of the public speedway
authority or its lessee under section 501(1) of this act with respect
to off-site infrastructure and use any proceeds remaining after payment
of the costs of such improvements, including debt service on any
financing undertaken for such improvements, for public infrastructure
required to serve development in the vicinity of the facility, as
described in the host jurisdiction's comprehensive plan, if applicable,
or for any other public purpose. After the costs of any public
infrastructure funded from the proceeds of the tax applied under this
subsection have been fully paid, including the retirement of any
financing undertaken for such improvements, the authority first may
apply proceeds of the tax applied under this subsection to pay debt
service on any other authority bonds and to pay amounts due in
connection with credit enhancement on authority bonds, and, second,
shall be paid to the host jurisdiction for use by the host jurisdiction
for any public purpose.
(3) No county, city, town, or special purpose district, other than
the public speedway authority within which the facility is located, may
impose a tax of the same or similar kind on any admission or comparable
charge at the facility so long as a tax is imposed by the public
speedway authority under this section. After all costs of the initial
acquisition, permitting, design, development, construction, and
equipping of the facility and any public infrastructure funded from the
proceeds of the admissions tax have been paid, all authority bonds and
refunding bonds have been retired, whether upon maturity or by early
retirement, and all amounts due in connection with credit enhancement
of authority bonds have been paid, the rate of the admissions tax
imposed by the authority under this section shall not exceed the rate
of any admissions tax then imposed by the host jurisdiction within its
boundaries.
NEW SECTION. Sec. 403
(2) The proceeds of bonds issued under this section may be applied
to finance or refinance the acquisition, permitting, design,
development, construction, or equipping of the facility, including
payments for costs of credit enhancement and other costs of issuance,
establishment of reasonable reserves, and capitalizing interest on
bonds during and up to eighteen months following completion of
construction of the facility. A public speedway authority may issue
additional bonds to pay costs of reconstruction, remodeling,
alteration, maintenance, reequipping, and repair of a facility payable
from and secured by a pledge of revenues derived from the lease of the
facility or any other amounts derived from any other source that are
available for the payment of debt service on the bonds.
(3) A public speedway authority may create funds and accounts for
the deposit of pledged taxes, revenues and other amounts, and for the
deposit of bond proceeds as it deems necessary or prudent to issue,
secure, and administer the bonds, and may appoint one or more trustees
to hold and apply these funds and accounts.
(4) The bonds of a public speedway authority shall bear such date
or dates, mature at such time or times, be in such denominations, be in
such form, be registered or registrable in such manner, be made
transferable, exchangeable, and interchangeable, be payable in such
medium of payment, at such place or places, be subject to such terms of
redemption, bear such fixed or variable rate or rates of interest, be
payable at such time or times, and be sold in such manner and at such
price or prices, as the public speedway authority determines. The
bonds shall be executed by the chair of the public speedway authority,
by either its duly elected secretary or its treasurer, and by the
trustee or paying agent if the public speedway authority determines to
use a trustee or paying agent for the bonds. Execution of the bonds
may be by manual or facsimile signature. The term of authority bonds
shall not exceed thirty years.
(5) The bonds of a public speedway authority shall be subject to
any terms, conditions, covenants, and protective provisions found
necessary or desirable by the authority, including without limitation
the setting aside of reserves, limitations on additional forms of
indebtedness, and other provisions the public speedway authority finds
necessary or desirable for the security of bondholders. Damages
received by the public speedway authority resulting from its lessee's
default on its obligation under section 601(6) of this act shall be
applied to pay or provide for the early retirement of bonds issued
pursuant to this section. If any lease required under section 601 of
this act is terminated while the sales and use tax credit authorized
under section 401 of this act is in effect, the public speedway
authority shall apply the proceeds of (a) any subsequent lease, net of
reasonable administrative or operating expenses of the authority and
costs of capital improvements required of the authority under such
substitute lease, including debt service on bonds issued for such
capital improvements, or (b) the sale of public speedway authority
property for a use other than for a facility to pay or provide for the
early retirement of bonds issued pursuant to this section, consistent
with any applicable requirements of the federal tax code.
(6) Any pledge of taxes, revenue, or other amount by the authority
under subsection (1) or (11) of this section shall be valid and binding
at the time the pledge is made. The authority shall constitute a
governmental unit within the meaning of RCW 62A.9A-102(a)(45).
(7) When issuing bonds, a public speedway authority may provide for
the future issuance of additional bonds or debt consistent with
subsection (1) of this section on a parity with or subordinate to
outstanding bonds and the terms and conditions of their issuance.
Consistent with subsection (1) of this section, a public speedway
authority may refund or advance refund any bond of the public speedway
authority in accordance with chapter 39.53 RCW.
(8) The board members of a public speedway authority and any person
executing the bonds are not liable personally on the indebtedness or
subject to any personal liability or accountability by reason of their
issuance.
(9) The public speedway authority may, out of any available funds,
purchase its bonds for cancellation or retirement.
(10) The public speedway authority is authorized to enter into
contracts with financial institutions, insurance companies, and other
public and private entities to provide credit enhancement for its bonds
if the public speedway authority determines that credit enhancement is
cost-effective. Each city or county within the area boundaries of the
public speedway authority is authorized, acting through its legislative
body, to enter into a contract with the public speedway authority, with
or without consideration and as the parties may mutually agree upon, to
provide credit enhancement to facilitate the sale of public speedway
authority bonds.
(11) The financing of a facility owned by a public speedway
authority is deemed to be a public purpose for each city or county
within the area boundaries of the public speedway authority, and such
city or county, acting through its legislative body, is authorized to
issue bonds or otherwise contract indebtedness and make the proceeds of
bonds and indebtedness available to the public speedway authority for
its purposes upon the terms and conditions that the county or city and
the public speedway authority may mutually agree upon. The public
speedway authority may pledge the taxes, revenues, or other amounts
described in subsection (1) of this section to pay and secure bonds and
indebtedness of any such city or county.
(12) Except as specifically provided in this section, the bonds
shall be issued and sold in accordance with chapter 39.46 RCW.
(13) The provisions of this section and any resolution or trust
indenture of the public speedway authority providing for the
authorization, issuance, and sale of bonds shall constitute a contract
with the owners of such bonds, and the provisions thereof shall be
enforceable by any owner of such bonds by mandamus or any appropriate
suit, action, or proceeding at law or in equity in any court of
competent jurisdiction.
(14) The net proceeds of bonds issued to finance the acquisition,
financing, permitting, design, development, construction, and equipping
of the facility and payable from the sales tax imposed under section
401 of this act shall not exceed one hundred forty-five million
dollars, adjusted for inflation annually beginning in 2008 using the
Engineering News-Record 20-city construction cost index. For the
purposes of this limitation "net proceeds" means gross bond proceeds
less costs of credit enhancement and other costs of issuance and less
any deposits to fund reasonable debt service reserves for the bonds and
shall not include earnings on any portion of gross bond proceeds.
Sec. 404 RCW 36.38.010 and 1999 c 165 s 20 are each amended to
read as follows:
(1) Any county may by ordinance enacted by its county legislative
authority, levy and fix a tax of not more than one cent on twenty cents
or fraction thereof to be paid for county purposes by persons who pay
an admission charge to any place, including a tax on persons who are
admitted free of charge or at reduced rates to any place for which
other persons pay a charge or a regular higher charge for the same or
similar privileges or accommodations; and require that one who receives
any admission charge to any place shall collect and remit the tax to
the county treasurer of the county((: PROVIDED,)). No county shall
impose ((such)) the tax on persons paying an admission to any activity
of any elementary or secondary school ((or)), any public facility of a
public facility district under chapter 35.57 or 36.100 RCW for which a
tax is imposed under RCW 35.57.100 or 36.100.210, or any professional
motorsports entertainment and family recreation facility for which a
tax is imposed under section 402 of this act.
(2) As used in this chapter, the term "admission charge" includes
a charge made for season tickets or subscriptions, a cover charge, or
a charge made for use of seats and tables, reserved or otherwise, and
other similar accommodations; a charge made for food and refreshments
in any place where any free entertainment, recreation, or amusement is
provided; a charge made for rental or use of equipment or facilities
for purpose of recreation or amusement, and where the rental of the
equipment or facilities is necessary to the enjoyment of a privilege
for which a general admission is charged, the combined charges shall be
considered as the admission charge. It shall also include any
automobile parking charge where the amount of such charge is determined
according to the number of passengers in any automobile.
(3) Subject to subsections (4) and (5) of this section, the tax
herein authorized shall not be exclusive and shall not prevent any city
or town within the taxing county, when authorized by law, from imposing
within its corporate limits a tax of the same or similar kind((:
PROVIDED, That whenever)). If the same or similar kind of tax is
imposed by any such city or town, no such tax shall be levied within
the corporate limits of such city or town by the county.
(4) Notwithstanding subsection (3) of this section, the legislative
authority of a county with a population of one million or more may
exclusively levy taxes on events in baseball stadiums constructed on or
after January 1, 1995, that are owned by a public facilities district
under chapter 36.100 RCW and that have seating capacities over forty
thousand at the rates of:
(a) Not more than one cent on twenty cents or fraction thereof, to
be used for the purpose of paying the principal and interest payments
on bonds issued by a county to construct a baseball stadium as defined
in RCW 82.14.0485. If the revenue from the tax exceeds the amount
needed for that purpose, the excess shall be placed in a contingency
fund which may only be used to pay unanticipated capital costs on the
baseball stadium, excluding any cost overruns on initial construction;
and
(b) Not more than one cent on twenty cents or fraction thereof, to
be used for the purpose of paying the principal and interest payments
on bonds issued by a county to construct a baseball stadium as defined
in RCW 82.14.0485. The tax imposed under this subsection (4)(b) shall
expire when the bonds issued for the construction of the baseball
stadium are retired, but not later than twenty years after the tax is
first collected.
(5) Notwithstanding subsection (3) of this section, the legislative
authority of a county that has created a public stadium authority to
develop a stadium and exhibition center under RCW 36.102.050 may levy
and fix a tax on charges for admission to events in a stadium and
exhibition center, as defined in RCW 36.102.010, constructed in the
county on or after January 1, 1998, that is owned by a public stadium
authority under chapter 36.102 RCW. The tax shall be exclusive and
shall preclude the city or town within which the stadium and exhibition
center is located from imposing a tax of the same or similar kind on
charges for admission to events in the stadium and exhibition center,
and shall preclude the imposition of a general county admissions tax on
charges for admission to events in the stadium and exhibition center.
For the purposes of this subsection, "charges for admission to events"
means only the actual admission charge, exclusive of taxes and service
charges and the value of any other benefit conferred by the admission.
The tax authorized under this subsection shall be at the rate of not
more than one cent on ten cents or fraction thereof. Revenues
collected under this subsection shall be deposited in the stadium and
exhibition center account under RCW 43.99N.060 until the bonds issued
under RCW 43.99N.020 for the construction of the stadium and exhibition
center are retired. After the bonds issued for the construction of the
stadium and exhibition center are retired, the tax authorized under
this section shall be used exclusively to fund repair, reequipping, and
capital improvement of the stadium and exhibition center. The tax
under this subsection may be levied upon the first use of any part of
the stadium and exhibition center but shall not be collected at any
facility already in operation as of July 17, 1997.
Sec. 405 RCW 35.21.280 and 2002 c 363 s 5 are each amended to
read as follows:
(1) Every city and town may levy and fix a tax of not more than one
cent on twenty cents or fraction thereof to be paid by the person who
pays an admission charge to any place with the following limitations:
((PROVIDED,))
(a) No city or town shall impose such tax on persons paying an
admission to any activity of any elementary or secondary school or any
public facility of a public facility district under chapter 35.57 or
36.100 RCW for which a tax is imposed under RCW 35.57.100 or
36.100.210, except the city or town may impose a tax on persons paying
an admission to any activity of such public facility if the city or
town uses the admission tax revenue it collects on the admission
charges to that public facility for the construction, operation,
maintenance, repair, replacement, or enhancement of that public
facility or to develop, support, operate, or enhance programs in that
public facility; and
(b) No city or town shall impose such a tax upon any admission to
a professional motorsports entertainment and family recreation
facility.
(2) Tax authorization under this section includes a tax on persons
who are admitted free of charge or at reduced rates to any place for
which other persons pay a charge or a regular higher charge for the
same privileges or accommodations. A city that is located in a county
with a population of one million or more may not levy a tax on events
in stadia constructed on or after January 1, 1995, that are owned by a
public facilities district under chapter 36.100 RCW and that have
seating capacities over forty thousand. The city or town may require
anyone who receives payment for an admission charge to collect and
remit the tax to the city or town.
(3) The term "admission charge" includes:
(a) A charge made for season tickets or subscriptions;
(b) A cover charge, or a charge made for use of seats and tables
reserved or otherwise, and other similar accommodations;
(c) A charge made for food and refreshment in any place where free
entertainment, recreation or amusement is provided;
(d) A charge made for rental or use of equipment or facilities for
purposes of recreation or amusement; if the rental of the equipment or
facilities is necessary to the enjoyment of a privilege for which a
general admission is charged, the combined charges shall be considered
as the admission charge;
(e) Automobile parking charges if the amount of the charge is
determined according to the number of passengers in the automobile.
NEW SECTION. Sec. 501
NEW SECTION. Sec. 502
(2) A public speedway authority shall enter into a development
agreement with a lessee or prospective lessee under which the lessee or
prospective lessee undertakes and controls the development of the
facility to be owned by the authority, consistent with subsection (1)
of this section. Under the development agreement, the lessee shall,
subject to the approval of the public speedway authority, determine
project design, specifications, and the budget. In addition, the
lessee shall determine procurement procedures, select and contract with
an architect or architects, other professional service providers, or a
contractor or contractors for the design, construction, operation, or
maintenance of the facility and determine whether to enter into a
project labor agreement related to construction of the facility.
However, any contracts for the construction, operation, and maintenance
of a facility shall be subject to the prevailing wage requirements of
chapter 39.12 RCW and the goals established by the state for women's
and minority business participation consistent with the provisions of
RCW 39.04.160 and 49.60.400. Contractors shall be required, to the
extent feasible, to both hire local residents in connection with the
development of the facility and utilize apprentices enrolled in a
state-approved apprenticeship training program, consistent with the
goals established for state public works projects in RCW 39.04.320.
(3) Under the development agreement, the lessee or prospective
lessee shall agree to provide at least one hundred eighty million
dollars toward the cost of the acquisition, financing, permitting,
design, development, construction, or equipping of the facility. The
lessee shall assume responsibility for any construction cost overruns
in completing the project consistent with the final design and budget
approved by the public speedway authority.
(4) The development agreement shall provide for parity in the
expenditure of public speedway authority bond proceeds and lessee or
prospective lessee funding after the public speedway authority is
authorized to issue its bonds and expend funds upon and following
satisfaction of the requirements of sections 501 and 504 of this act.
The lessee or prospective lessee is responsible for advancing funds
needed to satisfy the requirements of sections 501 and 504 of this act
until public speedway authority bonds can be issued and bond proceeds
become available.
(5) The development agreement shall require the lessee or
prospective lessee to obtain performance and payment bonds from any
contractors it contracts with to perform construction of the facility.
The performance and payment bonds shall be consistent, in form and
amount, with the requirements of chapter 39.08 RCW.
NEW SECTION. Sec. 503
(2) The department of revenue shall issue a sales and use tax
deferral certificate for state and local sales and use taxes due under
chapters 82.08, 82.12, and 82.14 RCW for the activities described in
subsection (1) of this section.
(3) The public speedway authority shall begin paying the deferred
taxes in the fifth year after the date certified by the department of
revenue as the date on which the facility is operationally complete.
The first payment is due on December 31st of the fifth calendar year
after such certified date, with subsequent annual payments due on
December 31st of the following nine years. Each payment shall equal
ten percent of the deferred tax.
(4) The department of revenue may authorize an accelerated
repayment schedule upon request of the public speedway authority.
(5) Interest and penalties shall not be charged on any taxes
deferred under this section for the period of deferral, although all
other penalties and interest applicable to delinquent excise taxes may
be assessed and imposed for delinquent payments under this section.
The debt for deferred taxes is not extinguished by insolvency or other
failure of the public speedway authority.
(6) Applications and any other information received by the
department of revenue under this section are not confidential and are
subject to disclosure. Chapter 82.32 RCW applies to the administration
of this section.
NEW SECTION. Sec. 504
(a) A schedule for efficient, timely, and reliable permit
processing for the facility, to reflect statutory and regulatory
permitting time frames and local government best practices;
(b) A schedule for efficient, timely, and reliable environmental
review processing for the facility, to reflect statutory and regulatory
permitting time frames and local government best practices;
(c) A schedule for efficient, timely, and reliable processing of
requests for street, right-of-way, or easement vacations necessary for
the construction of the facility, to reflect statutory and regulatory
permitting time frames and local government best practices; and
(d) Other items deemed appropriate by the lessee and the
legislative bodies of the authority and the host jurisdiction for an
efficient permitting, environmental review, and regulatory approval
process and timely construction of the facility, including use of
parallel review processes, early coordination and timely comment on
preapplication matters, consolidated hearings, and identification of a
lead representative for permit preparation and environmental review for
each party.
(2) The agreements required by subsection (1) of this section shall
address host jurisdiction permitting and review processes and not
federal permitting or review processes. State agencies with expertise
and jurisdiction may also enter into such agreements to the extent
necessary to assure timely, efficient, and reliable permitting.
(3) The proceeds of any public speedway authority bonds issued to
finance costs of acquisition, permitting, design, development,
construction, or equipping of the facility may not be expended until
any host jurisdiction that requires master plan approval for the
proposed facility approves a master plan for the facility or,
alternatively, when the proposed facility site is annexed into any city
that is a host jurisdiction in which a professional motorsports
entertainment and family recreation facility is a permitted use.
(4) All land use permitting decisions for a professional
motorsports entertainment and family recreation facility shall be made
by the host jurisdiction.
(5) Nothing in this section shall be construed to reduce the
responsibility or ability of the host jurisdiction to carry out such
permitting, review, and regulatory approval processes in compliance
with applicable law and regulations; the purpose of any agreements
entered into pursuant to this section specifying schedules for
permitting, environmental review, and regulatory approval is to
facilitate construction of a large capital facility project in a timely
manner and avoid the inflationary costs associated with undue delay.
Sec. 505 RCW 36.70A.110 and 2004 c 206 s 1 are each amended to
read as follows:
(2) Based upon the growth management population projection made for
the county by the office of financial management, the county and each
city within the county shall include areas and densities sufficient to
permit the urban growth that is projected to occur in the county or
city for the succeeding twenty-year period, except for those urban
growth areas contained totally within a national historical reserve.
Each urban growth area shall permit urban densities and shall
include greenbelt and open space areas. In the case of urban growth
areas contained totally within a national historical reserve, the city
may restrict densities, intensities, and forms of urban growth as
determined to be necessary and appropriate to protect the physical,
cultural, or historic integrity of the reserve. An urban growth area
determination may include a reasonable land market supply factor and
shall permit a range of urban densities and uses. In determining this
market factor, cities and counties may consider local circumstances.
Cities and counties have discretion in their comprehensive plans to
make many choices about accommodating growth.
Within one year of July 1, 1990, each county that as of June 1,
1991, was required or chose to plan under RCW 36.70A.040, shall begin
consulting with each city located within its boundaries and each city
shall propose the location of an urban growth area. Within sixty days
of the date the county legislative authority of a county adopts its
resolution of intention or of certification by the office of financial
management, all other counties that are required or choose to plan
under RCW 36.70A.040 shall begin this consultation with each city
located within its boundaries. The county shall attempt to reach
agreement with each city on the location of an urban growth area within
which the city is located. If such an agreement is not reached with
each city located within the urban growth area, the county shall
justify in writing why it so designated the area an urban growth area.
A city may object formally with the department over the designation of
the urban growth area within which it is located. Where appropriate,
the department shall attempt to resolve the conflicts, including the
use of mediation services.
(3) Urban growth should be located first in areas already
characterized by urban growth that have adequate existing public
facility and service capacities to serve such development, second in
areas already characterized by urban growth that will be served
adequately by a combination of both existing public facilities and
services and any additional needed public facilities and services that
are provided by either public or private sources, and third in the
remaining portions of the urban growth areas. Urban growth may also be
located in designated new fully contained communities as defined by RCW
36.70A.350.
(4) In general, cities are the units of local government most
appropriate to provide urban governmental services. In general, it is
not appropriate that urban governmental services be extended to or
expanded in rural areas except in those limited circumstances shown to
be necessary to protect basic public health and safety and the
environment and when such services are financially supportable at rural
densities and do not permit urban development. The extension of urban
governmental services including, without limitation, storm and sanitary
sewer services, to a facility owned or operated by a public speedway
authority and with capacity for not fewer than eighty-three thousand
people is necessary to protect basic public health and safety and the
environment, provided it is located at least partially within an urban
area.
(5) On or before October 1, 1993, each county that was initially
required to plan under RCW 36.70A.040(1) shall adopt development
regulations designating interim urban growth areas under this chapter.
Within three years and three months of the date the county legislative
authority of a county adopts its resolution of intention or of
certification by the office of financial management, all other counties
that are required or choose to plan under RCW 36.70A.040 shall adopt
development regulations designating interim urban growth areas under
this chapter. Adoption of the interim urban growth areas may only
occur after public notice; public hearing; and compliance with the
state environmental policy act, chapter 43.21C RCW, and ((RCW
36.70A.110)) this section. Such action may be appealed to the
appropriate growth management hearings board under RCW 36.70A.280.
Final urban growth areas shall be adopted at the time of comprehensive
plan adoption under this chapter.
(6) Each county shall include designations of urban growth areas in
its comprehensive plan.
(7) An urban growth area designated in accordance with this section
may include within its boundaries urban service areas or potential
annexation areas designated for specific cities or towns within the
county.
Sec. 506 RCW 47.42.025 and 1971 ex.s. c 62 s 2 are each amended
to read as follows:subsection (7) of)) RCW 47.42.020(7):
(1) Beginning on state route number 101 at the junction with
Airport Road north of Shelton, thence north to a point two thousand
feet north of Airport Road.
(2) Beginning on state route number 101 at the junction with Mill
Creek Road south of Forks, thence north two and four-tenths miles to
the Calawah River bridge.
(3) Beginning on state route number 105 at a point one-half mile
southwest of the boundary of Aberdeen, thence northeast to the boundary
of Aberdeen.
(4) Beginning on state route number 17 at a point nine-tenths of a
mile west of Grape Drive in the vicinity of Moses Lake, thence easterly
to a junction of Grape Drive.
(5) Beginning on state route number 12 at a point one-half mile
south of the south boundary of Dayton, thence northerly to the south
boundary of Dayton.
(6) Beginning on state route number 14 one-half mile west of the
west boundary of Bingen, thence east to a point one-half mile east of
the east boundary of Bingen.
(7) Beginning on state route number 3 at the junction with Old
Belfair Highway, thence northeasterly approximately four and
nine-tenths miles to a point along state route number 3 adjacent to the
northernmost boundary of the Bremerton national airport, for any
professional motorsports entertainment and family recreation facility
signage. This section of the system shall be excluded from the scenic
system but remain subject to any applicable local legal standards
concerning signage, to review under chapter 43.21C RCW, and to any
requirements imposed for the purpose of mitigating impacts under RCW
43.21C.060.
Sec. 507 RCW 70.107.080 and 1974 ex.s. c 183 s 8 are each amended
to read as follows:
(2) Sounds originating from any professional motorsports
entertainment and family recreation facility shall be exempt from rules
adopted pursuant to this chapter to the same extent as at existing
motor vehicle racing event facilities, and the department shall
prepare, publish, and approve rules to this effect within one hundred
eighty days of the effective date of this section. Nothing in this
subsection shall be deemed to exempt sounds originating from any
professional motorsports entertainment and family recreation facility
from review under chapter 43.21C RCW or from any requirements imposed
for the purpose of mitigating impacts under RCW 43.21C.060.
(3) The department, in the development of rules under this chapter,
shall consult and take into consideration the land use policies and
programs of local government.
Sec. 508 RCW 39.04.010 and 2000 c 138 s 102 are each amended to
read as follows:
The term "municipality" shall include every city, county, town,
district or other public agency thereof which is authorized by law to
require the execution of public work, except drainage districts, diking
districts, diking and drainage improvement districts, drainage
improvement districts, diking improvement districts, consolidated
diking and drainage improvement districts, consolidated drainage
improvement districts, consolidated diking improvement districts,
irrigation districts or any such other districts as shall from time to
time be authorized by law for the reclamation or development of waste
or undeveloped lands.
The term "public work" shall include all work, construction,
alteration, repair, or improvement other than ordinary maintenance,
executed at the cost of the state or of any municipality, or which is
by law a lien or charge on any property therein. All public works,
including maintenance when performed by contract shall comply with the
provisions of RCW 39.12.020. The term does not include work,
construction, alteration, repair, or improvement performed under
contracts entered into under RCW 36.102.060(4) or under development
agreements entered into under RCW 36.102.060(7) or leases entered into
under RCW 36.102.060(8). The term does not include work, construction,
alteration, repair, or improvement of a professional motorsports
entertainment and family recreation facility performed under a
development agreement authorized pursuant to section 502(2) of this act
or lease authorized pursuant to section 601 of this act or services
procured by the lessee or prospective lessee in connection with any
such work, construction, alteration, repair, or improvement.
The term "contract" shall mean a contract in writing for the
execution of public work for a fixed or determinable amount duly
awarded after advertisement and competitive bid. However, a contract
which is awarded from a small works roster need not be advertised.
Sec. 509 RCW 84.33.140 and 2005 c 303 s 13 are each amended to
read as follows:
(2) In preparing the assessment roll as of January 1, 2002, for
taxes payable in 2003 and each January 1st thereafter, the assessor
shall list each parcel of designated forest land at a value with
respect to the grade and class provided in this subsection and adjusted
as provided in subsection (3) of this section. The assessor shall
compute the assessed value of the land using the same assessment ratio
applied generally in computing the assessed value of other property in
the county. Values for the several grades of bare forest land shall be
as follows:
| LAND GRADE | OPERABILITY CLASS | VALUES PER ACRE |
| 1 | $234 | |
| 1 | 2 | 229 |
| 3 | 217 | |
| 4 | 157 | |
| 1 | 198 | |
| 2 | 2 | 190 |
| 3 | 183 | |
| 4 | 132 | |
| 1 | 154 | |
| 3 | 2 | 149 |
| 3 | 148 | |
| 4 | 113 | |
| 1 | 117 | |
| 4 | 2 | 114 |
| 3 | 113 | |
| 4 | 86 | |
| 1 | 85 | |
| 5 | 2 | 78 |
| 3 | 77 | |
| 4 | 52 | |
| 1 | 43 | |
| 6 | 2 | 39 |
| 3 | 39 | |
| 4 | 37 | |
| 1 | 21 | |
| 7 | 2 | 21 |
| 3 | 20 | |
| 4 | 20 | |
| 8 | 1 |
Sec. 510 RCW 76.09.060 and 2005 c 274 s 357 are each amended to
read as follows:
(1) The department shall prescribe the form and contents of the
notification and application. The forest practices rules shall specify
by whom and under what conditions the notification and application
shall be signed or otherwise certified as acceptable. The application
or notification shall be delivered in person to the department, sent by
first class mail to the department or electronically filed in a form
defined by the department. The form for electronic filing shall be
readily convertible to a paper copy, which shall be available to the
public pursuant to chapter 42.56 RCW. The information required may
include, but is not limited to:
(a) Name and address of the forest landowner, timber owner, and
operator;
(b) Description of the proposed forest practice or practices to be
conducted;
(c) Legal description and tax parcel identification numbers of the
land on which the forest practices are to be conducted;
(d) Planimetric and topographic maps showing location and size of
all lakes and streams and other public waters in and immediately
adjacent to the operating area and showing all existing and proposed
roads and major tractor roads;
(e) Description of the silvicultural, harvesting, or other forest
practice methods to be used, including the type of equipment to be used
and materials to be applied;
(f) Proposed plan for reforestation and for any revegetation
necessary to reduce erosion potential from roadsides and yarding roads,
as required by the forest practices rules;
(g) Soil, geological, and hydrological data with respect to forest
practices;
(h) The expected dates of commencement and completion of all forest
practices specified in the application;
(i) Provisions for continuing maintenance of roads and other
construction or other measures necessary to afford protection to public
resources;
(j) An affirmation that the statements contained in the
notification or application are true; and
(k) All necessary application or notification fees.
(2) Long range plans may be submitted to the department for review
and consultation.
(3) The application for a forest practice or the notification of a
Class II forest practice is subject to the three-year reforestation
requirement.
(a) If the application states that any such land will be or is
intended to be so converted:
(i) The reforestation requirements of this chapter and of the
forest practices rules shall not apply if the land is in fact so
converted unless applicable alternatives or limitations are provided in
forest practices rules issued under RCW 76.09.070 as now or hereafter
amended;
(ii) Completion of such forest practice operations shall be deemed
conversion of the lands to another use for purposes of chapters 84.33
and 84.34 RCW unless the conversion is to a use permitted under a
current use tax agreement permitted under chapter 84.34 RCW;
(iii) The forest practices described in the application are subject
to applicable county, city, town, and regional governmental authority
permitted under RCW 76.09.240 as now or hereafter amended as well as
the forest practices rules.
(b) Except as provided elsewhere in this section, if the
application or notification does not state that any land covered by the
application or notification will be or is intended to be so converted:
(i) For six years after the date of the application the county,
city, town, and regional governmental entities shall deny any or all
applications for permits or approvals, including building permits and
subdivision approvals, relating to nonforestry uses of land subject to
the application;
(A) The department shall submit to the local governmental entity a
copy of the statement of a forest landowner's intention not to convert
which shall represent a recognition by the landowner that the six-year
moratorium shall be imposed and shall preclude the landowner's ability
to obtain development permits while the moratorium is in place. This
statement shall be filed by the local governmental entity with the
county recording officer, who shall record the documents as provided in
chapter 65.04 RCW, except that lands designated as forest lands of
long-term commercial significance under chapter 36.70A RCW shall not be
recorded due to the low likelihood of conversion. Not recording the
statement of a forest landowner's conversion intention shall not be
construed to mean the moratorium is not in effect.
(B) The department shall collect the recording fee and reimburse
the local governmental entity for the cost of recording the
application.
(C) When harvesting takes place without an application, the local
governmental entity shall impose the six-year moratorium provided in
(b)(i) of this subsection from the date the unpermitted harvesting was
discovered by the department or the local governmental entity.
(D) The local governmental entity shall develop a process for
lifting the six-year moratorium, which shall include public
notification, and procedures for appeals and public hearings.
(E) The local governmental entity may develop an administrative
process for lifting or waiving the six-year moratorium for the purposes
of constructing a single-family residence or outbuildings, or both, on
a legal lot and building site. Lifting or waiving of the six-year
moratorium is subject to compliance with all local ordinances.
(F) The six-year moratorium shall not be imposed on a forest
practices application that contains a conversion option harvest plan
approved by the local governmental entity unless the forest practice
was not in compliance with the approved forest practice permit. Where
not in compliance with the conversion option harvest plan, the six-year
moratorium shall be imposed from the date the application was approved
by the department or the local governmental entity.
(G) Any six-year moratorium preventing conversion to nonforestry
uses shall be waived as of the date the land subject to the moratorium
is purchased or acquired for use as a professional motorsports
entertainment and family recreation facility;
(ii) Failure to comply with the reforestation requirements
contained in any final order or decision shall constitute a removal of
designation under the provisions of RCW 84.33.140, and a change of use
under the provisions of RCW 84.34.080, and, if applicable, shall
subject such lands to the payments and/or penalties resulting from such
removals or changes; and
(iii) Conversion to a use other than commercial forest product
operations within six years after approval of the forest practices
without the consent of the county, city, or town shall constitute a
violation of each of the county, municipal city, town, and regional
authorities to which the forest practice operations would have been
subject if the application had so stated.
(c) The application or notification shall be signed by the forest
landowner and accompanied by a statement signed by the forest landowner
indicating his or her intent with respect to conversion and
acknowledging that he or she is familiar with the effects of this
subsection.
(4) Whenever an approved application authorizes a forest practice
which, because of soil condition, proximity to a water course or other
unusual factor, has a potential for causing material damage to a public
resource, as determined by the department, the applicant shall, when
requested on the approved application, notify the department two days
before the commencement of actual operations.
(5) Before the operator commences any forest practice in a manner
or to an extent significantly different from that described in a
previously approved application or notification, there shall be
submitted to the department a new application or notification form in
the manner set forth in this section.
(6) Except as provided in RCW 76.09.350(4), the notification to or
the approval given by the department to an application to conduct a
forest practice shall be effective for a term of two years from the
date of approval or notification and shall not be renewed unless a new
application is filed and approved or a new notification has been filed.
At the option of the applicant, an application or notification may be
submitted to cover a single forest practice or a number of forest
practices within reasonable geographic or political boundaries as
specified by the department. An application or notification that
covers more than one forest practice may have an effective term of more
than two years. The board shall adopt rules that establish standards
and procedures for approving an application or notification that has an
effective term of more than two years. Such rules shall include
extended time periods for application or notification approval or
disapproval. On an approved application with a term of more than two
years, the applicant shall inform the department before commencing
operations.
(7) Notwithstanding any other provision of this section, no prior
application or notification shall be required for any emergency forest
practice necessitated by fire, flood, windstorm, earthquake, or other
emergency as defined by the board, but the operator shall submit an
application or notification, whichever is applicable, to the department
within forty-eight hours after commencement of such practice or as
required by local regulations.
(8) Forest practices applications or notifications are not required
for forest practices conducted to control exotic forest insect or
disease outbreaks, when conducted by or under the direction of the
department of agriculture in carrying out an order of the governor or
director of the department of agriculture to implement pest control
measures as authorized under chapter 17.24 RCW, and are not required
when conducted by or under the direction of the department in carrying
out emergency measures under a forest health emergency declaration by
the commissioner of public lands as provided in RCW 76.06.130.
(a) For the purposes of this subsection, exotic forest insect or
disease has the same meaning as defined in RCW 76.06.020.
(b) In order to minimize adverse impacts to public resources,
control measures must be based on integrated pest management, as
defined in RCW 17.15.010, and must follow forest practices rules
relating to road construction and maintenance, timber harvest, and
forest chemicals, to the extent possible without compromising control
objectives.
(c) Agencies conducting or directing control efforts must provide
advance notice to the appropriate regulatory staff of the department of
the operations that would be subject to exemption from forest practices
application or notification requirements.
(d) When the appropriate regulatory staff of the department are
notified under (c) of this subsection, they must consult with the
landowner, interested agencies, and affected tribes, and assist the
notifying agencies in the development of integrated pest management
plans that comply with forest practices rules as required under (b) of
this subsection.
(e) Nothing under this subsection relieves agencies conducting or
directing control efforts from requirements of the federal clean water
act as administered by the department of ecology under RCW 90.48.260.
(f) Forest lands where trees have been cut as part of an exotic
forest insect or disease control effort under this subsection are
subject to reforestation requirements under RCW 76.09.070.
(g) The exemption from obtaining approved forest practices
applications or notifications does not apply to forest practices
conducted after the governor, the director of the department of
agriculture, or the commissioner of public lands have declared that an
emergency no longer exists because control objectives have been met,
that there is no longer an imminent threat, or that there is no longer
a good likelihood of control.
Sec. 511 RCW 35.13.005 and 1990 1st ex.s. c 17 s 30 are each
amended to read as follows:
No city or town located in a county in which urban growth areas
have been designated under RCW 36.70A.110 may annex territory beyond an
urban growth area. A city or town may annex territory beyond an urban
growth area for municipal purposes as provided in RCW 35.13.180.
Sec. 512 RCW 35.13.180 and 1994 c 81 s 11 are each amended to
read as follows:
City and town councils of second class cities and towns may by a
majority vote annex new unincorporated territory outside the city or
town limits, whether contiguous or noncontiguous for park, cemetery, or
other municipal purposes when such territory is owned by the city or
town or all of the owners of the real property in the territory give
their written consent to the annexation. A first class city may annex
territory that is used for the development, construction, maintenance,
operation, or other activities related to the development,
construction, maintenance, or operation of a professional motorsports
entertainment and family recreation facility as provided in this
section only when such territory is located within the same county as
the first class city.
NEW SECTION. Sec. 601
(1) The term of the lease shall be not less than fifty years.
(2) The lessee shall pay reasonable rent and assume risk, legal
liability, and responsibility for costs associated with maintaining and
operating the facility. As used in this subsection, "reasonable rent"
is solely intended to fund the reasonable annual operating expenses of
the public speedway authority, including a reasonable operating expense
reserve. Rents paid in excess of actual operating expenses of the
public speedway authority shall be committed to funding capital
improvements to the facility undertaken pursuant to plans approved by
the public speedway authority and the lessee.
(3) The lessee shall, at its own expense, maintain, provide major
repairs and renovations of, and operate the facility in a first-class
manner consistent with any standards or requirements of NASCAR or other
nationally recognized motorsports sanctioning bodies to ensure the
continuous and uninterrupted suitability of the facility as a viable
venue for hosting nationally recognized, top tier professional
motorsports events.
(4) The lessee shall make and participate financially in capital
improvements necessary to ensure the continuous and uninterrupted
suitability of the facility as a viable venue for hosting nationally
recognized, top tier professional motorsports events.
(5) The lessee shall have the authority to sublease and enter into
use, license, naming rights, and concession agreements with various
lessees, users, licensees, or concessionaires of the facility. The
lessee shall have the right to retain all revenues derived from the
operation of the facility, including revenues from any sublease, use,
license, naming rights, and concession agreements, revenues from
concessions, ticket sales, suite rentals, suite and seat licenses,
advertising, parking, signage, and intellectual property rights.
(6) The lessee shall host at least two major motorsports event
weekends annually if the sales and use tax credit under section 401 of
this act is in effect and the lessee is not prevented from doing so by
a force majeure event. The lessee and its parent company shall use
their good faith best efforts to secure as one of the two major
motorsports event weekends hosted annually at the facility a NASCAR
Nextel Cup event or an event in NASCAR's then-comparable successor
premier national series beginning in the initial year of operation of
the facility.
(7) If the sales and use tax credit under section 401 of this act
is in effect, the lessee or any parent, corporate affiliate or
successor, successor in interest, or other entity in any way related to
the lessee shall not petition, support, or condone a proposal or
decision of the sanctioning body of any nationally recognized, top tier
professional motorsports event anchoring either of the two major
motorsports event weekends at the facility required under subsection
(6) of this section to move, realign, or otherwise deprive the facility
of such event. The lessee may seek to replace an event only if it can
demonstrate to the satisfaction of the office of financial management
that a substitute nationally recognized, top tier professional
motorsports event is capable of producing a higher level of economic
activity, including without limitation paid attendance by out-of-state
visitors, than the event on which public support for the development of
the facility in the state was based. The loss of any nationally
recognized, top tier professional motorsports event anchoring a major
motorsports event weekend at the facility required under subsection (6)
of this section while the sales and use tax credit under section 401 of
this act is in effect shall be replaced by the lessee with a comparable
or superior nationally recognized, top tier professional motorsports
event.
(8) If the sales and use tax credit under section 401 of this act
is in effect, the lessee or any parent, corporate affiliate or
successor, successor in interest, or other entity in any way related to
the lessee shall not develop, own, or operate or participate in the
development, ownership, or operation of any other professional
motorsports entertainment and family recreation facility to host
nationally recognized, top tier professional motorsports events within
five hundred miles of the facility.
(9) The lessee shall be required, subject to its rights under the
lease agreement to use the site for professional motorsports
entertainment and family recreation, to make the facility available for
community, charitable, recreation, and other activities, such as family
recreation and social events, local and regional business functions,
arts events, emergency services, and public safety training, on a fee
or nonfee basis as appropriate and to the extent that such activities
are consistent with use of the facility for professional motorsports
events; shall be required to use reasonable efforts to allow for
meaningful, noncommercial opportunities for the promotion of Washington
state tourism, trade, and generic products when the facility is not
otherwise in use; and shall be required to use reasonable efforts to
provide opportunities for local not-for-profit organizations to
participate in facility use and operation of concessions during
professional motorsports events.
(10) The lessee shall assume responsibility for payment of sales
and use taxes deferred under section 503 of this act when the deferred
taxes become due and payable by the public speedway authority.
(11) Violations by the lessee of its material obligations under
the lease shall be considered defaults under the lease subject to such
remedies and reasonable opportunities to cure as the lease may provide.
Damages received by the public speedway authority resulting from the
lessee's default on its obligation to annually host two major
motorsports event weekends shall be applied by the public speedway
authority to pay or provide for the early retirement of bonds issued
pursuant to section 403 of this act.
Sec. 602 RCW 82.29A.130 and 2005 c 514 s 601 and 2005 c 170 s 1
are each reenacted and amended to read as follows:
(1) All leasehold interests constituting a part of the operating
properties of any public utility which is assessed and taxed as a
public utility pursuant to chapter 84.12 RCW.
(2) All leasehold interests in facilities owned or used by a
school, college or university which leasehold provides housing for
students and which is otherwise exempt from taxation under provisions
of RCW 84.36.010 and 84.36.050.
(3) All leasehold interests of subsidized housing where the fee
ownership of such property is vested in the government of the United
States, or the state of Washington or any political subdivision thereof
but only if income qualification exists for such housing.
(4) All leasehold interests used for fair purposes of a nonprofit
fair association that sponsors or conducts a fair or fairs which
receive support from revenues collected pursuant to RCW 67.16.100 and
allocated by the director of the department of agriculture where the
fee ownership of such property is vested in the government of the
United States, the state of Washington, or any of its political
subdivisions((: PROVIDED, That)). This exemption shall not apply to
the leasehold interest of any sublessee of such nonprofit fair
association if such leasehold interest would be taxable if it were the
primary lease.
(5) All leasehold interests in any property of any public entity
used as a residence by an employee of that public entity who is
required as a condition of employment to live in the publicly owned
property.
(6) All leasehold interests held by enrolled Indians of lands owned
or held by any Indian or Indian tribe where the fee ownership of such
property is vested in or held in trust by the United States and which
are not subleased to other than to a lessee which would qualify
pursuant to this chapter, RCW 84.36.451 and 84.40.175.
(7) All leasehold interests in any real property of any Indian or
Indian tribe, band, or community that is held in trust by the United
States or is subject to a restriction against alienation imposed by the
United States((: PROVIDED, That)). This exemption shall apply only
where it is determined that contract rent paid is greater than or equal
to ninety percent of fair market rental, to be determined by the
department of revenue using the same criteria used to establish taxable
rent in RCW 82.29A.020(2)(b).
(8) All leasehold interests for which annual taxable rent is less
than two hundred fifty dollars per year. For purposes of this
subsection leasehold interests held by the same lessee in contiguous
properties owned by the same lessor shall be deemed a single leasehold
interest.
(9) All leasehold interests which give use or possession of the
leased property for a continuous period of less than thirty days((:
PROVIDED, That)). For purposes of this subsection, successive leases
or lease renewals giving substantially continuous use of possession of
the same property to the same lessee shall be deemed a single leasehold
interest((: PROVIDED FURTHER, That)). No leasehold interest shall be
deemed to give use or possession for a period of less than thirty days
solely by virtue of the reservation by the public lessor of the right
to use the property or to allow third parties to use the property on an
occasional, temporary basis.
(10) All leasehold interests under month-to-month leases in
residential units rented for residential purposes of the lessee pending
destruction or removal for the purpose of constructing a public highway
or building.
(11) All leasehold interests in any publicly owned real or personal
property to the extent such leasehold interests arises solely by virtue
of a contract for public improvements or work executed under the public
works statutes of this state or of the United States between the public
owner of the property and a contractor.
(12) All leasehold interests that give use or possession of state
adult correctional facilities for the purposes of operating
correctional industries under RCW 72.09.100.
(13) All leasehold interests used to provide organized and
supervised recreational activities for ((disabled persons)) individuals
with disabilities of all ages in a camp facility and for public
recreational purposes by a nonprofit organization, association, or
corporation that would be exempt from property tax under RCW
84.36.030(1) if it owned the property. If the publicly owned property
is used for any taxable purpose, the leasehold excise taxes set forth
in RCW 82.29A.030 and 82.29A.040 shall be imposed and shall be
apportioned accordingly.
(14) All leasehold interests in the public or entertainment areas
of a baseball stadium with natural turf and a retractable roof or
canopy that is in a county with a population of over one million, that
has a seating capacity of over forty thousand, and that is constructed
on or after January 1, 1995. "Public or entertainment areas" include
ticket sales areas, ramps and stairs, lobbies and concourses, parking
areas, concession areas, restaurants, hospitality and stadium club
areas, kitchens or other work areas primarily servicing other public or
entertainment areas, public rest room areas, press and media areas,
control booths, broadcast and production areas, retail sales areas,
museum and exhibit areas, scoreboards or other public displays, storage
areas, loading, staging, and servicing areas, seating areas and suites,
the playing field, and any other areas to which the public has access
or which are used for the production of the entertainment event or
other public usage, and any other personal property used for these
purposes. "Public or entertainment areas" does not include locker
rooms or private offices exclusively used by the lessee.
(15) All leasehold interests in the public or entertainment areas
of a stadium and exhibition center, as defined in RCW 36.102.010, that
is constructed on or after January 1, 1998. For the purposes of this
subsection, "public or entertainment areas" has the same meaning as in
subsection (14) of this section, and includes exhibition areas.
(16) All leasehold interests in public facilities districts, as
provided in chapter 36.100 or 35.57 RCW.
(17) All leasehold interests in property that is: (a) Owned by a
municipal corporation; (b) listed on any federal or state register of
historical sites; and (c) wholly contained within a designated national
historic reserve under 16 U.S.C. Sec. 461.
(18) All leasehold interests in the public or entertainment areas
of an amphitheater if a private entity is responsible for one hundred
percent of the cost of constructing the amphitheater which is not
reimbursed by the public owner, both the public owner and the private
lessee sponsor events at the facility on a regular basis, the lessee is
responsible under the lease or agreement to operate and maintain the
facility, and the amphitheater has a seating capacity of over seventeen
thousand reserved and general admission seats and is in a county with
a population of over three hundred fifty thousand, but less than four
hundred twenty-five thousand. For the purposes of this subsection,
"public or entertainment areas" include box offices or other ticket
sales areas, entrance gates, ramps and stairs, lobbies and concourses,
parking areas, concession areas, restaurants, hospitality areas,
kitchens or other work areas primarily servicing other public or
entertainment areas, public rest room areas, press and media areas,
control booths, broadcast and production areas, retail sales areas,
museum and exhibit areas, scoreboards or other public displays, storage
areas, loading, staging, and servicing areas, seating areas including
lawn seating areas and suites, stages, and any other areas to which the
public has access or which are used for the production of the
entertainment event or other public usage, and any other personal
property used for these purposes. "Public or entertainment areas" does
not include office areas used predominately by the lessee.
(19) All leasehold interests in the public or entertainment areas
of a professional motorsports entertainment and family recreation
facility that is constructed on or after January 1, 2007. For the
purposes of this subsection, "public or entertainment areas" include
ticket sales areas, ramps and stairs, lobbies and concourses, parking
areas, recreational vehicle camping areas, concession areas
restaurants, hospitality and club areas, kitchens and other work and
maintenance areas servicing other public or entertainment areas, public
restroom areas, press and media areas, control towers and booths,
broadcast and production areas, retail sales areas, museum and exhibit
areas, scoreboards and other public displays, storage areas, loading,
staging, and servicing areas, seating areas and suites, the closed-course speedway, open space, and any other areas to which the public
has access or which are used for the production of the entertainment
event or other public usage, and any other personal property used for
these purposes. "Public or entertainment areas" does not include
private offices or other areas exclusively used by the lessee.
NEW SECTION. Sec. 603
Sec. 604 RCW 36.94.020 and 1997 c 447 s 11 are each amended to
read as follows:
(1) The construction, operation, and maintenance of a system of
sewerage and/or water is a county purpose. Subject to the provisions
of this chapter, every county has the power, individually or in
conjunction with another county or counties to adopt, provide for,
accept, establish, condemn, purchase, construct, add to, operate, and
maintain a system or systems of sanitary and storm sewers, including
outfalls, interceptors, plans, and facilities and services necessary
for sewerage treatment and disposal, and/or system or systems of water
supply within all or a portion of the county. However, counties shall
not have power to condemn sewerage and/or water systems of any
municipal corporation or private utility.
(2) A county may provide sewer service within ten miles outside of
its corporate limits to a professional motorsports entertainment and
family recreation facility, provided that another municipal corporation
is not already furnishing sewerage service to the facility.
(3) Such county or counties shall have the authority to control,
regulate, operate, and manage such system or systems and to provide
funds therefor by general obligation bonds, revenue bonds, local
improvement district bonds, utility local improvement district or local
improvement district assessments, and in any other lawful fiscal
manner. Rates or charges for on-site inspection and maintenance
services may not be imposed under this chapter on the development,
construction, or reconstruction of property.
(4) Under this chapter, after July 1, 1998, any requirements for
pumping the septic tank of an on-site sewage system should be based,
among other things, on actual measurement of accumulation of sludge and
scum by a trained inspector, trained owner's agent, or trained owner.
Training must occur in a program approved by the state board of health
or by a local health officer.
Before adopting on-site inspection and maintenance utility
services, or incorporating residences into an on-site inspection and
maintenance or sewer utility under this chapter, notification must be
provided, prior to the applicable public hearing, to all residences
within the proposed service area that have on-site systems permitted by
the local health officer. The notice must clearly state that the
residence is within the proposed service area and must provide
information on estimated rates or charges that may be imposed for the
service.
A county shall not provide on-site sewage system inspection,
pumping services, or other maintenance or repair services under this
section using county employees unless the on-site system is connected
by a publicly owned collection system to the county's sewerage system,
and the on-site system represents the first step in the sewage disposal
process. Nothing in this section shall affect the authority of a state
or local health officer to carry out their responsibilities under any
other applicable law.
(5) A county may, as part of a system of sewerage established under
this chapter, provide for, finance, and operate any of the facilities
and services and may exercise the powers expressly authorized for
county storm water, flood control, pollution prevention, and drainage
services and activities under chapters 36.89, 86.12, 86.13, and 86.15
RCW. A county also may provide for, finance, and operate the
facilities and services and may exercise any of the powers authorized
for aquifer protection areas under chapter 36.36 RCW; for lake
management districts under chapter 36.61 RCW; for diking districts, and
diking, drainage, and sewerage improvement districts under chapters
85.05, 85.08, 85.15, 85.16, and 85.18 RCW; and for shellfish protection
districts under chapter 90.72 RCW. However, if a county by reference
to any of those statutes assumes as part of its system of sewerage any
powers granted to such areas or districts and not otherwise available
to a county under this chapter, then (1) the procedures and
restrictions applicable to those areas or districts apply to the
county's exercise of those powers, and (2) the county may not
simultaneously impose rates and charges under this chapter and under
the statutes authorizing such areas or districts for substantially the
same facilities and services, but must instead impose uniform rates and
charges consistent with RCW 36.94.140. By agreement with such an area
or district that is not part of a county's system of sewerage, a county
may operate that area's or district's services or facilities, but a
county may not dissolve any existing area or district except in
accordance with any applicable provisions of the statute under which
that area or district was created.
Sec. 605 RCW 36.94.030 and 1981 c 313 s 15 are each amended to
read as follows:
Whenever the county legislative authority deems it advisable and
necessary for the public health and welfare of the inhabitants of the
county to establish, purchase, acquire, and construct a system of
sewerage and/or water, or make any additions and betterments thereto,
or extensions thereof, the board shall adopt a sewerage and/or water
general plan for a system of sewerage and/or water for all or a portion
of the county as deemed necessary by the board, and for a system of
sewerage service to a professional motorsports entertainment and family
recreation facility as permitted by RCW 36.94.020. If the county has
adopted a comprehensive plan for a physical development of the county
pursuant to chapter 36.70 RCW and/or chapter 35.63 RCW, then the
sewerage and/or water general plan shall be adopted as an element of
that comprehensive plan pursuant to the applicable statute.
Sec. 606 RCW 35.91.020 and 2006 c 88 s 2 are each amended to read
as follows:
(1)(a) Except as provided under subsection (2) of this section, the
governing body of any city, town, county, water-sewer district, or
drainage district, hereinafter referred to as a "municipality" may
contract with owners of real estate for the construction of storm,
sanitary, or combination sewers, pumping stations, and disposal plants,
water mains, hydrants, reservoirs, or appurtenances, hereinafter called
"water or sewer facilities," within their boundaries or (except for
counties) within ten miles from their corporate limits connecting with
the public water or sewerage system to serve the area in which the real
estate of such owners is located, and to provide for a period of not to
exceed fifteen years for the reimbursement of such owners and their
assigns by any owner of real estate who did not contribute to the
original cost of such water or sewer facilities and who subsequently
tap onto or use the same of a fair pro rata share of the cost of the
construction of said water or sewer facilities, including not only
those directly connected thereto, but also users connected to laterals
or branches connecting thereto, subject to such reasonable rules and
regulations as the governing body of such municipality may provide or
contract, and notwithstanding the provisions of any other law.
(b) Notwithstanding any limitation on counties in (a) of this
subsection, a county may contract with a public speedway authority or
its lessee for the construction of water or sewer facilities within ten
miles of its corporate limits connecting with the county's public
sewerage system to service a professional motorsports entertainment and
family recreation facility, and to provide for a period of not to
exceed fifteen years for the reimbursement of the authority or its
lessee and their assigns by any owner of real estate who did not
contribute to the original cost of such sewer facilities and who
subsequently tap onto or use the same of a fair pro rata share of the
cost of the construction of said sewer facilities, including not only
those directly connected thereto, but also users connected to laterals
or branches connecting thereto, subject to such reasonable rules and
regulations as the governing body of such county may provide or
contract.
(2)(a) The contract may provide for an extension of the
fifteen-year reimbursement period for a time not to exceed the duration
of any moratorium, phasing ordinance, concurrency designation, or other
governmental action that prevents making applications for, or the
approval of, any new development within the benefit area for a period
of six months or more.
(b) Upon the extension of the reimbursement period pursuant to (a)
of this subsection, the contract must specify the duration of the
contract extension and must be filed and recorded with the county
auditor. Property owners who are subject to the reimbursement
obligations under subsection (1) of this section shall be notified by
the contracting municipality of the extension filed under this
subsection.
(3) Each contract shall include a provision requiring that every
two years from the date the contract is executed a property owner
entitled to reimbursement under this section provide the contracting
municipality with information regarding the current contract name,
address, and telephone number of the person, company, or partnership
that originally entered into the contract. If the property owner fails
to comply with the notification requirements of this subsection within
sixty days of the specified time, then the contracting municipality may
collect any reimbursement funds owed to the property owner under the
contract. Such funds must be deposited in the capital fund of the
municipality.
(4) To the extent it may require in the performance of such
contract, such municipality may install said water or sewer facilities
in and along the county streets in the area to be served as hereinabove
provided, subject to such reasonable requirements as to the manner of
occupancy of such streets as the county may by resolution provide. The
provisions of such contract shall not be effective as to any owner of
real estate not a party thereto unless such contract has been recorded
in the office of the county auditor of the county in which the real
estate of such owner is located prior to the time such owner taps into
or connects to said water or sewer facilities.
Sec. 607 RCW 84.34.037 and 1992 c 69 s 6 are each amended to read
as follows:
(1) Applications for classification or reclassification under RCW
84.34.020(1) shall be made to the county legislative authority. An
application made for classification or reclassification of land under
RCW 84.34.020(1) (b) and (c) which is in an area subject to a
comprehensive plan shall be acted upon in the same manner in which an
amendment to the comprehensive plan is processed. Application made for
classification of land which is in an area not subject to a
comprehensive plan shall be acted upon after a public hearing and after
notice of the hearing shall have been given by one publication in a
newspaper of general circulation in the area at least ten days before
the hearing: PROVIDED, That applications for classification of land in
an incorporated area shall be acted upon by a granting authority
composed of three members of the county legislative body and three
members of the city legislative body in which the land is located.
(2) In determining whether an application made for classification
or reclassification under RCW 84.34.020(1) (b) and (c) should be
approved or disapproved, the granting authority may take cognizance of
the benefits to the general welfare of preserving the current use of
the property which is the subject of application, and shall consider:
(a) The resulting revenue loss or tax shift;
(b) Whether granting the application for land applying under RCW
84.34.020(1)(b) will (i) conserve or enhance natural, cultural, or
scenic resources, (ii) protect streams, stream corridors, wetlands,
natural shorelines and aquifers, (iii) protect soil resources and
unique or critical wildlife and native plant habitat, (iv) promote
conservation principles by example or by offering educational
opportunities, (v) enhance the value of abutting or neighboring parks,
forests, wildlife preserves, nature reservations, sanctuaries, or other
open spaces, (vi) enhance recreation opportunities, (vii) preserve
historic and archaeological sites, (viii) preserve visual quality along
highway, road, and street corridors or scenic vistas, (ix) affect any
other factors relevant in weighing benefits to the general welfare of
preserving the current use of the property; and
(c) Whether granting the application for land applying under RCW
84.34.020(1)(c) will (i) either preserve land previously classified
under RCW 84.34.020(2) or preserve land that is traditional farmland
and not classified under chapter 84.33 or 84.34 RCW, (ii) preserve land
with a potential for returning to commercial agriculture, and (iii)
affect any other factors relevant in weighing benefits to the general
welfare of preserving the current use of property.
(3) If a public benefit rating system is adopted under RCW
84.34.055, the county legislative authority shall rate property for
which application for classification has been made under RCW
84.34.020(1) (b) and (c) according to the public benefit rating system
in determining whether an application should be approved or
disapproved, but when such a system is adopted, open space properties
then classified under this chapter which do not qualify under the
system shall not be removed from classification but may be rated
according to the public benefit rating system.
(4) The granting authority may approve the application with respect
to only part of the land which is the subject of the application. If
any part of the application is denied, the applicant may withdraw the
entire application. The granting authority in approving in part or
whole an application for land classified or reclassified pursuant to
RCW 84.34.020(1) may also require that certain conditions be met,
including but not limited to the granting of easements. As a condition
of granting open space classification, the legislative body may not
require public access on land classified under RCW 84.34.020(1)(b)(iii)
for the purpose of promoting conservation of wetlands.
(5) The granting authority shall approve an application for open
space classification for any portion of a property used for a
professional motorsports entertainment and family recreation facility
that is (a) not covered with impervious surface and (b) maintained in
a condition consistent with the open space designation, including
without limitation portions used for activities such as recreation,
temporary parking for events, storm water management, wetlands, and
wetland buffers.
(6) The granting or denial of the application for current use
classification or reclassification is a legislative determination and
shall be reviewable only for arbitrary and capricious actions.
Sec. 701 RCW 36.96.010 and 1999 c 153 s 50 are each amended to
read as follows:
As used in this chapter, unless the context requires otherwise:
(1) "Special purpose district" means every municipal and quasi-municipal corporation other than counties, cities, and towns. Such
special purpose districts shall include, but are not limited to, water-sewer districts, fire protection districts, port districts, public
utility districts, county park and recreation service areas, flood
control zone districts, diking districts, drainage improvement
districts, public speedway authorities, and solid waste collection
districts, but shall not include industrial development districts
created by port districts, and shall not include local improvement
districts, utility local improvement districts, and road improvement
districts;
(2) "Governing authority" means the commission, council, or other
body which directs the affairs of a special purpose district;
(3) "Inactive" means that a special purpose district, other than a
public utility district, is characterized by either of the following
criteria:
(a) Has not carried out any of the special purposes or functions
for which it was formed within the preceding consecutive five-year
period; or
(b) No election has been held for the purpose of electing a member
of the governing body within the preceding consecutive seven-year
period or, in those instances where members of the governing body are
appointed and not elected, where no member of the governing body has
been appointed within the preceding seven-year period.
A public utility district is inactive when it is characterized by
both criteria (a) and (b) of this subsection.
NEW SECTION. Sec. 702
NEW SECTION. Sec. 703 No direct or collateral attack on any
public speedway authority purported to be authorized or created in
conformance with this chapter may be commenced more than thirty days
after creation.
NEW SECTION. Sec. 704 A new section is added to chapter 82.08
RCW to read as follows:
The tax levied by RCW 82.08.020 does not apply to any retail sales
for which a tax deferral certificate is currently effective and has
been issued by the department to a public speedway authority, pursuant
to section 503 of this act.
NEW SECTION. Sec. 705 A new section is added to chapter 82.12
RCW to read as follows:
The provisions of this chapter do not apply in respect to any uses
for which a tax deferral certificate is currently effective and has
been issued by the department to a public speedway authority, pursuant
to section 503 of this act.
NEW SECTION. Sec. 706 A new section is added to chapter 82.14
RCW to read as follows:
The provisions of this chapter do not apply in respect to any local
retail sales or uses for which a tax deferral certificate is currently
effective and has been issued by the department to a public speedway
authority, pursuant to section 503 of this act.
NEW SECTION. Sec. 707 Part headings and captions used in this
act are not any part of the law.
NEW SECTION. Sec. 708 Sections 101 through 309, 402, 403, 501
through 504, 601, 603, 702, and 703 of this act constitute a new
chapter in Title
NEW SECTION. Sec. 709 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. 710 The provisions of this act shall be
liberally construed to effect the policies and purposes of this act.
NEW SECTION. Sec. 711 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, 2007.