READ FIRST TIME 04/19/07.   

     AN ACT Relating to state government; authorizing community preservation and development authorities; and adding a new chapter to Title 43 RCW.

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

     *NEW SECTION.  Sec. 1   (1) Major public facilities, public works, and capital projects with significant public funding generally aim to accrue broad benefits to the people of Washington. However, sometimes the interest of the stakeholder community that bears the disproportionate cost of the broad public benefit by absorbing a deleterious impact upon itself is overlooked or inadequately addressed. These impacts may include dislocation, displacement, and the overall disintegration of an identifiable existing community and its historical and cultural character. The legislature finds that the preservation and restoration of the character of such a community, and the community's historical and cultural character, are important public policy goals that can be achieved through the creation of community preservation and development authorities.
     (2) Community preservation and development authorities are hereby created to restore or enhance the health, safety, and economic well- being of communities adversely impacted by the construction of, or ongoing operation of, multiple major public facilities, public works, and capital projects with significant public funding.
     (3) Community preservation and development authorities have the following purposes:
     (a) To revitalize, enhance, and preserve the unique character of impacted communities;
     (b) To mitigate the adverse effects of multiple major public facilities projects, public works projects, or capital projects with significant public funding, or a secure community transition facility as defined in RCW 71.09.020(14);
     (c) To restore a local area's sense of community;
     (d) To reduce the displacement of community members and businesses;
     (e) To stimulate the community's economic vitality;
     (f) To enhance public service provisions;
     (g) To improve the standard of living of community members; and
     (h) To preserve historic buildings or areas by returning them to economically productive uses that are compatible with or enhance their historic character.
     *Sec. 1 was vetoed. See message at end of chapter.

     *NEW SECTION.  Sec. 2   The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.
     (1) "Community" means a group of people who reside or work in the geographic area established by the community preservation and development authority board or the proposal to create the authority and who currently or historically share a distinct cultural identity or local history.
     (2) "Community preservation and development authority" or "authority" means an authority created by members of an impacted community.
     (3) "Constituency" means the general membership of the community preservation and development authority, which membership shall be open to all persons eighteen years of age and over who are residents, property owners, employees, or business persons within the geographic boundaries established by the authority or the proposal to create the authority.
     (4) "Impacted community" means a community that has been adversely impacted by the construction of, or ongoing operation of, multiple major public facilities, public works, and capital projects with significant public funding.
     (5) "Major public facilities project, public works project, or capital project with significant public funding" means any capital project whose total cost exceeds ten million dollars. On July 1, 2009, and on July 1st of each odd-numbered year thereafter, the capital project cost threshold shall be adjusted by the capital project cost adjustment factor for inflation established by the office of financial management.
     *Sec. 2 was vetoed. See message at end of chapter.

NEW SECTION.  Sec. 3   (1) The residents, property owners, employees, or business owners of an impacted community may propose formation of a community preservation and development authority. The proposal to form a community preservation and development authority must be presented in writing to the appropriate legislative committee in both the house of representatives and the senate. The proposal must contain proposed general geographic boundaries that will be used to define the community for the purposes of the authority. Proposals presented after January 1, 2008, must identify in its proposal one or more stable revenue sources that (a) have a nexus with the multiple publicly funded facilities that have adversely impacted the community, and (b) can be used to support future operating or capital projects that will be identified in the strategic plan required under section 5 of this act.
     (2) Formation of the community preservation and development authority is subject to legislative authorization by statute. The legislature must find that (a) the area within the proposal's geographic boundaries meets the definition of "impacted community" contained in section 2(4) of this act and (b) those persons that have brought forth the proposal are members of the community as defined in section 2(1) of this act and, if the authority were approved, would meet the definition of constituency contained in section 2(3) of this act. For proposals brought after January 1, 2008, the legislature must also find that the community has identified one or more stable revenue sources as required in subsection (1) of this section. The legislature may then act to authorize the establishment of the community preservation and development authority in law.
     (3) The affairs of a community preservation and development authority shall be managed by a board of directors, consisting of the following members:
     (a) Two members who own, operate, or represent businesses within the community;
     (b) Two members who are involved in providing nonprofit community or social services within the community;
     (c) Two members who are involved in the arts and entertainment within the community;
     (d) Two members with knowledge of the community's culture and history; and
     (e) One member who is involved in a nonprofit or public planning organization that directly serves the impacted community.
     (4) No member of the board shall hold office for more than four years. Board positions shall be numbered one through nine, and the terms staggered as follows:
     (a) Board members elected to positions one through five shall serve two-year terms, and if reelected, may serve no more than one additional two-year term.
     (b) Board members initially elected to positions six through nine shall serve a three-year term only.
     (c) Board members elected to positions six through nine after the initial three-year term shall serve two-year terms, and if reelected, may serve no more than one additional two-year term.
     (5) With respect to an authority's initial board of directors: The state legislative delegation and those proposing formation of the authority shall jointly establish a committee to develop a list of candidates to stand for election once the authority has received legislative approval as established in subsection (2) of this section. For the purpose of developing the list and identifying those persons who meet the criteria in subsection (3)(a) through (e) of this section, community shall mean the proposed geographic boundaries as set out in the proposal. The board of directors shall be elected by the constituency during a meeting convened for that purpose by the state legislative delegation.
     (6) With respect to subsequent elections of an authority's board of directors: A list of candidates shall be developed by the authority's existing board of directors and the election shall be held during the annual local town hall meeting as required in section 5 of this act.

NEW SECTION.  Sec. 4   (1) A community preservation and development authority shall have the power to:
     (a) Accept gifts, grants, loans, or other aid from public or private entities; and
     (b) Exercise such additional powers as may be authorized by law.
     (2) A community preservation and development authority shall have no power of eminent domain nor any power to levy taxes or special assessments.

NEW SECTION.  Sec. 5   A community preservation and development authority shall have the duty to:
     (1) Establish specific geographic boundaries for the authority within its bylaws based on the general geographic boundaries established in the proposal submitted and approved by the legislature;
     (2) Solicit input from members of its community and develop a strategic preservation and development plan to promote the health, safety, and economic well-being of the impacted community and to preserve its cultural and historical identity;
     (3) Include within the strategic plan a prioritized list of projects identified and supported by the community, including capital or operating components that address one or more of the purposes under section 1(3) of this act;
     (4) Establish funding mechanisms to support projects and programs identified in the strategic plan including but not limited to grants and loans;
     (5) Use gifts, grants, loans, and other aid from public or private entities to carry out projects identified in the strategic plan; and
     (6) Demonstrate ongoing accountability for its actions by:
     (a) Reporting to the appropriate committees of the legislature, one year after formation and every biennium thereafter, on the authority's strategic plan, activities, accomplishments, and any recommendations for statutory changes;
     (b) Reporting any changes in the authority's geographic boundaries to the appropriate committees of the legislature when the legislature next convenes in regular session;
     (c) Convening a local town hall meeting with its constituency on an annual basis to: (i) Report its activities and accomplishments from the previous year; (ii) present and receive input from members of the impacted community regarding its proposed strategic plan and activities for the upcoming year; and (iii) hold board member elections as necessary; and
     (d) Maintaining books and records as appropriate for the conduct of its affairs.

NEW SECTION.  Sec. 6   The legislature authorizes the establishment of the Pioneer Square-International District community preservation and development authority, which boundaries are those contained in the Pioneer Square-International District within the city of Seattle.

NEW SECTION.  Sec. 7   The community preservation and development authority account is created in the state treasury. The account is composed of two subaccounts, one for moneys to be appropriated for operating purposes, and the other for moneys to be appropriated for capital purposes. Moneys in the account may be spent only after appropriation. Expenditures from the account may be used only for projects under this chapter.

NEW SECTION.  Sec. 8   Prior to making siting, design, and construction decisions for future major public facilities, public works projects, or capital projects with significant public funding, state and local government agencies may:
     (1) Communicate and consult with the community preservation and development authority and impacted community, including assessing the compatibility of the proposed project with the strategic plan adopted by the authority; and
     (2) Make reasonable efforts to ensure that negative, cumulative effects of multiple projects upon the impacted community are minimized.

NEW SECTION.  Sec. 9   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. 10   Sections 1 through 8 of this act constitute a new chapter in Title 43 RCW.