BILL REQ. #:  S-0922.1 

Read first time 01/23/2007.   Referred to Committee on Government Operations & Elections.

     AN ACT Relating to the annexation by a city, code city, or town of a portion of a rural county library district; and adding new sections to chapter 27.12 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1   (1) Whenever a portion of the territory of a district is included within the corporate boundaries of a city, code city, or town as a result of the city, code city, or town annexing the area, the city, code city, or town legislative authority may adopt a resolution or ordinance to assume jurisdiction over the annexed portion of the district.
     (2) Upon the assumption, all real and personal property, rights, assets, and taxes levied but not collected for the annexed portion of the district for other than indebtedness of the district residing in, or representing the portion of, the annexed area shall become the property of the city, code city, or town subject to all financial, statutory, or contractual obligations of the district for the security or performance of which the property may have been pledged. The city, code city, or town, in addition to its other powers, shall have the power to manage, control, maintain, and operate any property or facilities and equipment residing in the annexed area subject, however, to any outstanding indebtedness, bonded or otherwise, of the district payable from taxes, assessments, or revenues of any kind or nature and to any other contractual obligations relating to the annexed portion of the district. An assumption shall not be deemed to impair the obligation of any indebtedness or other contractual obligation.
     (3) For purposes of this section, "district" means rural county library district.

NEW SECTION.  Sec. 2   Notwithstanding any provision of this chapter to the contrary, a city, code city, or town that annexes a territory within the boundaries of a rural county library district and the rural county library district, through their legislative authorities, may authorize a contract with respect to the rights, powers, duties, and obligations of such city, code city, or town, and district with regard to the use and ownership of property, the provision of services, the maintenance and operation of facilities, allocation of cost, financing, and construction of new facilities, application and use of assets, disposition of liabilities and debts, the performance of contractual obligations, and any other matters arising out of the annexation of the portion of the district within the annexing city, code city, or town. The contract may provide for the furnishing of services by any party thereto and the use of city, code city, town, or district facilities or real estate for such purpose, and may also provide for the time during which such district may continue to exercise any rights, privileges, powers, and functions provided by law for such district as if the district or portions thereof were not included within the city, code city, or town including, but not limited to, the right to adopt rules and regulations; to levy and collect special assessments, rates, and charges; to adopt and carry out the provisions of a comprehensive plan and amendments thereto; and to issue general obligation bonds or revenue bonds in the manner provided by law.

NEW SECTION.  Sec. 3   Whenever a city annexes a territory that is within the boundaries of a rural county library district, any buildings and equipment of the district that are located within the annexed territory shall be transferred to the city, code city, or town upon annexation.
     Any planned capital improvements to existing facilities or planned construction of new facilities within the annexed territory shall either be completed by the rural county library district using original capital bond revenues, with timing and funding subject to interlocal agreement between the district and annexing city, code city, or town, or alternatively, the district shall transfer that part of the bond proceeds to be used for the capital project, as described on the ballot proposition authorizing the bond issue, to the city, code city, or town annexing the territory within which the capital improvements or new construction were originally planned.

NEW SECTION.  Sec. 4   When a city, code city, or town annexes a portion of the territory of a rural county library district, an appraisal must be conducted of the value of the library materials and collections. The appraisal standards shall be agreed upon by the city, code city, or town and the rural county library district before the appraisal takes place. The appraisal shall be used to identify the proportionate share of each branch's library collection to the annexing city, code city, or town. The rural county library district shall pay to the city, code city, or town an amount representing the city's, code city's, or town's proportionate share of the value of the rural county library district's materials and collections. The city, code city, or town may use the money received from the rural county library district only for the purpose of purchasing library assets.

NEW SECTION.  Sec. 5   A rural county library district that has a portion of its assets, facilities, or indebtedness assumed by a city, code city, or town from annexation may subject the action to review under RCW 36.93.100.

NEW SECTION.  Sec. 6   (1) If any portion of a rural county library district is annexed into a city, code city, or town, any employee of the rural county library district who (a) was at the time of such annexation employed exclusively or principally in performing the powers, duties, and functions that are to be performed by the city, code city, or town library department, (b) will, as a direct consequence of annexation, be separated from the employ of the rural county library district, and (c) can perform the duties and meet the minimum requirements of the position to be filled, may transfer employment to the civil service system of the city, code city, or town library department as provided for in this section.
     (2) An eligible employee may transfer into the civil service system of the city, code city, or town library department by filing a written request with the city, code city, or town civil service commission and by giving written notice thereof to the board of commissioners of the rural county library district. Upon receipt of such request by the civil service commission, the transfer of employment shall be made. The employee so transferring shall (a) be on probation for the same period as are new employees of the city, code city, or town library department in the position filled, but the transferring employee may only be terminated during the probationary period for failure to adequately perform assigned duties, not meeting the minimum qualifications of the position, or behavior that would otherwise be subject to disciplinary action; (b) be eligible for promotion no later than after completion of the probationary period; (c) receive a salary at least equal to that of other new employees of the city, code city, or town library department in the position filled; and (d) in all other matters, such as retirement, sick leave, and vacation, have, within the city, code city, or town civil service system, all rights, benefits, and privileges to which he or she would have been entitled as a member of the city, code city, or town library department from the beginning of employment with the rural county library district.
     (3) As many of the transferring employees shall be placed upon the payroll of the city, code city, or town library department as the library department determines are needed to provide services. These needed employees shall be taken in order of seniority and the remaining employees who transfer as provided in this section shall head the list for employment in the civil service system in order of their seniority, so as to be the first to be reemployed in the city, code city, or town library department when appropriate positions become available: PROVIDED, That employees who are not immediately hired by the city, code city, or town shall be placed on a reemployment list for a period not to exceed thirty-six months unless a longer period is authorized by an agreement reached between the rural county library district and the annexing city, code city, or town.
     (4) If any portion of a rural county library district is annexed into a city, code city, or town, and as a result any employee is laid off who is eligible to transfer to the city, code city, or town library department under this section, the rural county library district shall notify the employee of the right to transfer and the employee shall have ninety days to transfer employment to the city, code city, or town library department.
     (5) For purposes of this section, "employee" means an individual whose employment with a rural county library district has been terminated because a portion of the rural county library district was annexed by a city, code city, or town.

NEW SECTION.  Sec. 7   (1) An agreement on the distribution of assets from the rural county library district to the city, code city, or town shall be entered into by the city, code city, or town and the rural county library district within ninety days of the effective date of the annexation. A distribution shall be based upon the extent of the increased library service responsibilities with a corresponding reduction in library service responsibilities by the rural county library district, and shall consider the impact of any debt obligation that may exist on the property that is so annexed. If an agreement is not entered into after the ninety-day period, arbitration shall proceed under subsection (2) of this section concerning the distribution of assets unless both parties have agreed to an extension of this period.
     (2) Arbitration shall proceed under this subsection over the issue of whether a significant increase in the library service responsibilities will be imposed upon the city, code city, or town as a result of the annexation with a corresponding reduction in library service responsibilities by the rural county library district, or over the distribution of assets from the rural county library district to the city, code city, or town if such a significant increase in library service responsibilities will be imposed. A board of arbitrators shall be established for an arbitration required under this section. The board of arbitrators shall consist of three persons, one of whom is appointed by the city, code city, or town within sixty days of the date when arbitration is required, one of whom is appointed by the rural county library district within sixty days of the date when arbitration is required, and one of whom is appointed by agreement of the other two arbitrators within thirty days of the appointment of the last of these other two arbitrators who is so appointed. If the two are unable to agree on the appointment of the third arbitrator within the thirty-day period, then the third arbitrator shall be appointed by a judge in the superior court of the county within which all or the greatest portion of the area that was so annexed lies. The determination by the board of arbitrators shall be binding on both the city, code city, or town and the rural county library district.

NEW SECTION.  Sec. 8   Sections 1 through 7 of this act are each added to chapter 27.12 RCW.