READ FIRST TIME 02/20/07.   

     AN ACT Relating to setting fees for utility easements on state-owned aquatic lands; and amending RCW 79.110.230 and 79.110.240.

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

Sec. 1   RCW 79.110.230 and 2005 c 155 s 216 are each amended to read as follows:
     (1) The use of state-owned aquatic lands for public utility lines owned by a governmental entity shall be granted by an agreement, permit, or other instrument if the use is consistent with the purposes of RCW 79.105.010, 79.105.030, 79.105.050, 79.105.210, 79.105.400, and 79.130.070 and does not obstruct navigation or other public uses. The department may recover only its ((reasonable direct)) administrative costs incurred in processing and approving the request or application, and reviewing plans for construction of public utility lines as determined under RCW 79.110.240. ((For purposes of this section, "direct administrative costs" means the cost of hours worked directly on an application or request, based on salaries and benefits, plus travel reimbursement and other actual out-of-pocket costs. Direct)) Administrative costs recovered by the department must be deposited into the resource management cost account.
     (2) The use of state-owned aquatic lands for local public utility lines owned by a nongovernmental entity will be granted by easement if the use is consistent with the purpose of RCW 79.105.010, 79.105.030, 79.105.050, 79.105.210, 79.105.400, and 79.130.070 and does not obstruct navigation or other public uses. The total charge for the easement will be determined under RCW 79.110.240.
     (3) Nothing in this section limits the ability of the department to obtain payment for commodity costs, such as lost revenue from renewable resources, resulting from the granted use of state-owned aquatic lands for public utility lines.

Sec. 2   RCW 79.110.240 and 2005 c 155 s 162 are each amended to read as follows:
     (1) Until July 1, ((2008)) 2017, the charge for the term of an easement granted under RCW ((79.105.220(2))) 79.110.230(2) will be determined as follows and will be paid in advance upon grant of the easement:
     (a) Five thousand dollars for individual easement crossings that are no longer than one mile in length;
     (b) Twelve thousand five hundred dollars for individual easement crossings that are more than one mile but less than five miles in length; or
     (c) Twenty thousand dollars for individual easement crossings that are five miles or more in length.
     (2) The charge for easements under subsection (1) of this section must be adjusted annually by the rate of yearly increase in the most recently published consumer price index, all urban consumers, for the Seattle-Everett SMSA, over the consumer price index for the preceding year, as compiled by the bureau of labor statistics, United States department of labor for the state of Washington rounded up to the nearest fifty dollars.
     (3) The term of the easement is thirty years or a period of less than thirty years if requested by the person or entity seeking the easement.
     (4) In addition to the charge for the easement under subsection (1) of this section, the department may recover its ((reasonable direct)) administrative costs incurred in receiving an application for the easement, approving the easement, and reviewing plans for and construction of the public utility lines. For the purposes of this subsection, "((direct)) administrative costs" ((means the cost of hours worked directly on an application, based on salaries and benefits, plus travel reimbursement and other actual out-of-pocket costs)) is equivalent to twenty percent of the fee for the easement as determined under subsection (1) of this section and adjusted under subsection (2) of this section. For public utility lines owned by a governmental entity, the administrative costs will be calculated based on the length of the easement and the fee that it would be charged if it were subject to the easement charges in this section. When multiple public utility lines are owned by the same entity and are authorized under the same easement, the administrative fee for the easement shall be equal to twenty percent of the easement fee for the single longest public utility line. ((Direct)) Administrative costs recovered by the department must be deposited into the resource management cost account.
     (5) Applicants under RCW ((79.105.220(2))) 79.110.230(2) providing a residence with an individual service connection for electrical, natural gas, cable television, or telecommunications service are not required to pay the charge for the easement under subsection (1) of this section but shall pay administrative costs under subsection (4) of this section.
     (6) A final decision on applications for an easement must be made within one hundred twenty days after the department receives the completed application and after all applicable regulatory permits for the aquatic easement have been acquired. This subsection applies to applications submitted before June 13, 2002, as well as to applications submitted on or after June 13, 2002. Upon request of the applicant, the department may reach a decision on an application within sixty days and charge an additional fee for an expedited processing. The fee for an expedited processing is ((the greater of: (a))) ten percent of the combined total of the easement charge and ((direct)) administrative costs((; or (b) the cost of staff overtime, calculated at time and one-half, associated with the expedited processing)).
     (7) By December 31, 2016, the legislature shall review the granting of easements on state-owned aquatic lands under this chapter and determine whether all applications for easements are processed within one hundred twenty days for normal processing of applications and sixty days for expedited processing of applications, and whether the granting of easements on state-owned aquatic lands generates reasonable income for the aquatic lands enhancement account.