Washington State

House of Representatives

Office of Program Research

BILL

ANALYSIS

Local Government Committee

SB 5295

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Brief Description: Regarding leases of irrigation district property.

Sponsors: Senators Delvin, Swecker, Schoesler, Holmquist Newbry, Honeyford and Hewitt.

Brief Summary of Bill

  • Allows the board of directors of an irrigation district to determine the lease duration for leases of district-owned land.

Hearing Date: 3/8/11

Staff: Miranda Leskinen (786-7291) and Ethan Moreno (786-7386).

Background:

Irrigation districts provide construction, improvement, maintenance, and operation of irrigation systems. Irrigation districts may also provide drainage, domestic water supply, and electric power facilities. A board of three, five, or seven elected directors manages each irrigation district.

An irrigation district may sell or lease its real property subject to meeting three criteria:

  1. the irrigation district board of directors (board) determines that the district does not need the property;

  2. the board authorizes the property sale or lease; and

  3. the public is given notice of the proposed sale or lease.

If these requirements are met, the district may exercise one of five options. It may:

  1. lease the property from year to year;

  2. give the lessee the option to purchase the property;

  3. sell the property on contract for deferred payments;

  4. sell the property pursuant to a promissory note secured by a mortgage or deed of trust; or

  5. sell the property for cash and conveyance by deed.

The board must make a record of the real property sale price, lease price, or agreement to sell price. This price must meet the fair market value of the property unless the property is donated for highway or public utility purposes that will enhance the value of the district's remaining property more so than the value of the donated land.

Summary of Bill:

An irrigation district may lease real property it owns for a duration determined by its board. The requirement for a year-to-year lease is deleted.

Appropriation: None.

Fiscal Note: Not requested.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.