SENATE BILL REPORT

SB 6451

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.

As Reported by Senate Committee On:

Transportation, February 1, 2012

Title: An act relating to modifying certain provisions regarding transportation benefit districts.

Brief Description: Modifying certain provisions regarding transportation benefit districts.

Sponsors: Senators Swecker and Haugen.

Brief History:

Committee Activity: Transportation: 1/31/12, 2/01/12 [DPS].

SENATE COMMITTEE ON TRANSPORTATION

Majority Report: That Substitute Senate Bill No. 6451 be substituted therefor, and the substitute bill do pass.

Signed by Senators Haugen, Chair; Eide, Vice Chair; King, Ranking Minority Member; Fain, Assistant Ranking Minority Member; Delvin, Ericksen, Frockt, Hobbs, Litzow, Prentice, Rolfes, Sheldon, Shin and Swecker.

Staff: Kelly Simpson (786-7403)

Background: A transportation benefit district (TBD) is a quasi-municipal corporation and independent taxing authority that may be established by a county or city for the purpose of acquiring, constructing, improving, providing, and funding transportation improvements within the district. Various revenue options are available to a TBD in order to finance the improvements, most of which are subject to voter approval. Voter approval is not required for a TBD governing board to impose a vehicle fee of up to $20 per vehicle, but only if the TBD includes all the territory within the boundaries of the jurisdiction(s) establishing the TBD. When imposing this fee, if the TBD is countywide the revenues must be distributed to each city within the county by interlocal agreement.

Summary of Bill: The bill as referred to committee not considered.

Summary of Bill (Recommended Substitute): The authority of an eligible TBD to impose up to $20 of the vehicle fee without a vote of the people is revised to exclude territory in which a vehicle fee is currently being collected. If the TBD is countywide, or less than countywide, the revenues must be distributed to each city within the county by interlocal agreement, which agreement must be effective prior to imposition of the fee.

The definition of transportation improvement eligible to receive TBD funds is clarified to indicate projects that include, but are not limited to, certain transportation projects and programs of local, regional, or statewide significance.

Appropriation: None.

Fiscal Note: Not requested.

Committee/Commission/Task Force Created: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony: PRO: This bill helps facilitate regional cooperation on transportation issues. It helps jurisdictions formulate the creation of TBD.

Persons Testifying: PRO: Pete Kmet, Mayor of Tumwater; Dennis McVey, City of Rainier Councilman; Lester Olson, Thurston County Public Works Director.