BILL REQ. #:  H-4939.1 

READ FIRST TIME 02/03/10.   

     AN ACT Relating to the application of chapter 39.12 RCW to construction projects that involve tax incentives, loans, or public land that is sold or leased; and adding a new section to chapter 39.12 RCW.

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

NEW SECTION.  Sec. 1   A new section is added to chapter 39.12 RCW to read as follows:
     (1) This chapter applies to construction projects paid for in whole or in part by the equivalent of public funds.
     (2) For purposes of this section, "paid for in whole or in part by the equivalent of public funds" means:
     (a) Tax deferrals, exemptions, credits, or any other form of tax incentive established by the state or any county, municipality, or political subdivision created by its laws, and intended to promote economic development;
     (b) Loans provided to a private entity by the state or any county, municipality, or political subdivision created by its law, or other assistance provided in connection with the bonding authority of the state or any county, municipality, or political subdivision created by its laws that allows a private entity to obtain lower interest rates for financing of a construction project;
     (c) Sales or transfers of public land or property to a private entity for less than fair market value by the state or any county, municipality, or political subdivision created by its laws; or
     (d) Long-term leases of public land or property to a private entity for less than fair market value by the state or any county, municipality, or political subdivision created by its laws.
     (3)(a) This section does not apply to construction contracts awarded before January 1, 2011.
     (b) This section applies to construction contracts awarded on or after January 1, 2011, for all construction projects estimated to cost three million dollars or more and paid for in whole or in part by the equivalent of public funds.
     (c) This section applies to construction contracts awarded on or after January 1, 2012, for all construction projects estimated to cost two million dollars or more and paid for in whole or in part by the equivalent of public funds.
     (d) This section applies to construction contracts awarded on or after January 1, 2013, for all construction projects estimated to cost one million dollars or more and paid for in whole or in part by the equivalent of public funds.
     (4) This section only applies to construction projects that would not have been covered by this chapter before the effective date of this section.