BILL REQ. #:  S-4046.1 

Read first time 01/15/08.   Referred to Committee on Government Operations & Elections.

     AN ACT Relating to mitigating the local government and community impacts of state correctional institutions in counties with a population of less than one hundred thousand persons and with a state correctional institution with a population of more than eight hundred offenders with a custody level designation of medium or higher; adding a new section to chapter 82.14 RCW; and creating a new section.

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

NEW SECTION.  Sec. 1   The legislature recognizes that large state correctional facilities impose costs on small local governments and communities. These costs are generally not incurred by governments and communities with a large population base. Programs and services affected by these additional costs include, but may not be limited to: Criminal justice activities, including local law enforcement, local jails, prosecutors, public defense, and the courts; school districts; hospital districts and other junior taxing districts; transportation infrastructure and services; and social services.
     It is the intent of the legislature to authorize local governments in small counties experiencing impacts associated with large correctional institutions to mitigate the impacts of these institutions by imposing additional sales and use taxes and that the revenue from these taxes will be used to mitigate the impacts of the correctional institutions.

NEW SECTION.  Sec. 2   A new section is added to chapter 82.14 RCW to read as follows:
     (1) The legislative authority of a qualifying county may impose a sales and use tax in accordance with the terms of this chapter. The tax is in addition to other taxes authorized by this chapter and shall be collected from those persons who are taxable by the state under chapters 82.08 and 82.12 RCW upon the occurrence of any taxable event within the county. The rate of tax may not exceed 0.09 percent of the selling price in the case of a sales tax or value of the article used in the case of a use tax.
     (2) The tax imposed under subsection (1) of this section shall be deducted from the amount of tax otherwise required to be collected or paid over to the department under chapter 82.08 or 82.12 RCW. The department shall determine which counties qualify to impose taxes under this section and shall perform the collection of such taxes on behalf of the county at no cost to the county.
     (3)(a) Moneys collected under this section shall be used for impact mitigation associated with large state correctional institutions on the county, cities, towns, school districts, and other affected junior taxing districts.
     (b) If the correctional institution is located within an incorporated city, the moneys collected under this section shall be distributed as follows:
     (i) Forty percent shall be paid to the city in which the correctional institution is located;
     (ii) Twenty percent shall be paid to the school district in which the correctional institution is located; and
     (iii) Forty percent shall be paid to the county to be distributed as authorized by the county legislative authority.
     (c) If the correctional institution is located within an unincorporated area of the county, the moneys collected under this section shall be distributed as follows:
     (i) Twenty percent shall be paid to the school district in which the correctional institution is located; and
     (ii) Eighty percent shall be paid to the county to be distributed as authorized by the county legislative authority.
     (4) No tax may be collected under this section before July 1, 2009.      (5) For purposes of this section, "qualifying county" means a county with a population, as determined by the office of financial management for the distribution of selected state revenues, of less than one hundred thousand persons, and containing a Washington state correctional institution with an average daily population of more than eight hundred offenders with a custody level designation of medium or higher, as determined by the department of corrections for the prior fiscal year.