HOUSE BILL REPORT

HB 2224

As Reported by House Committee On:

Capital Budget

Title: An act relating to the capital budget.

Brief Description: Concerning the 2013-2015 supplemental capital budget.

Sponsors: Representatives Dunshee and DeBolt; by request of Governor Inslee.

Brief History:

Committee Activity:

Capital Budget: 1/21/14, 2/27/14 [DPS].

Majority Report: The substitute bill be substituted therefor and the substitute bill do pass. Signed by 12 members: Representatives Dunshee, Chair; Stanford, Vice Chair; DeBolt, Ranking Minority Member; MacEwen, Assistant Ranking Minority Member; Appleton, Christian, Riccelli, Robinson, Senn, Smith, Stonier and Warnick.

Minority Report: Do not pass. Signed by 1 member: Representative Scott.

Staff: Susan Howson (786-7142).

Background:

Washington operates on a biennial budget cycle. The Legislature authorizes expenditures for capital needs in the state omnibus capital appropriations act (capital budget) for a two-year period, and authorizes bond sales through passage of a bond bill associated with the capital budget to fund a portion of these expenditures. Approximately half of the capital budget is financed by these state-issued general obligation bonds, and the balance is funded by dedicated accounts, trust revenue, and federal funding sources. The primary two-year budget is passed in the odd-numbered years, and a supplemental budget making adjustments to the two-year budget is often passed during the even-numbered years. The current Capital Budget covers the period from July 1, 2013, through June 30, 2015.

The capital budget includes appropriations for the acquisition, construction, and repair of capital assets such as state office buildings, prisons, juvenile rehabilitation centers, residential habilitation centers, mental health facilities, military readiness centers, and higher education facilities. The capital budget also funds a variety of environmental and natural resource projects, parks and recreational facilities, public K-12 school construction, and grant and loan programs that support housing, public infrastructure, community service facilities, and art and historical projects.

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Summary of Substitute Bill:

New supplemental capital appropriations of $166.5 million are made for the 2013-15 biennium, including all appropriation increases and decreases. This includes new appropriations of $262.8 million and reductions totaling $96.3 million.

Substitute Bill Compared to Original Bill:

The substitute bill changes the appropriations and funding sources for various projects and programs.

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Appropriation: The sum of $166.5 million.

Fiscal Note: Not requested.

Effective Date of Substitute Bill: The bill contains an emergency clause and takes effect immediately.

Staff Summary of Public Testimony:

Please refer to the January 21, 2014, and February 27, 2014, recordings of the public hearing.

Persons Testifying: (In support on original bill heard on 1/21/2014) Jim Walton, Centralia College; Sherry Burkey, and Matthew Bobbin Western Washington University; Stan Bowman, American Institute of Architects Washington Council; Cassandra Ando, National Alliance of Mental Illness Washington; Steve Robinson, Quinault Indian Nation; Doug Levy, Recreational Boating Association of Washington; Cliff Webster, Northwest Marine Trade Association; Phyllis Kenney, Sea Mar; Key McMurry, Key Environmental Solutions, LLC; Sean Eagan, Port of Tacoma; Devona Ensmenger, Wild Salmon Center; Geoff Simpson, Washington State Council of Firefighters; Bill Robinson, The Nature Conservancy; Caitlin Guthrie, Capital Land Trust; Steve DuPont, Central Washington University; Julie Garver, The Evergreen State College; Dawn Vyvyan, Yakama Nation; and Seth Dawson, National Alliance of Mental Illness.

(In support on proposed substitute bill heard on 2/27/2014) Dave Ducharme, Washington Oil Marketers Association; Ken Kanikeberg, Office of the Superintendent of Public Instruction; Sandi Triggs, Office of Financial Management; Key McMurry, Key Environmental Solutions; Jill Silver, 10,000 Years Institute; Lonnie Johns-Brown, Sea Mar; Steve Robinson, Quinault Nation; Wayne Doty, State Board for Community and Technical Colleges; Jim Walton, Centralia College; Chris Bailey, Lower Columbia College; David Mitchell, Olympic College; Jane Aiha, Chehalis Basin; Doug Levy, Recreational Boating Association of Washington; Sherry Burkey, Western Washington University; Nick Federici, Washington Low Income Housing Alliance; Steve DuPont, Jim Huckabay, and Matthew Pattie, Central Washington University; Kim Herman, Washington State Housing Commission; Mike Nordin, Pacific Conservation District; Miguel Perez-Gibson, Colville and Makah Tribes; Ron Schultz, Washington State Conservation Commission; and Julie Garver, The Evergreen State College.

(With concerns on original bill heard on 1/21/2014) Dave Ducharme, Washington Oil Marketers Association; and Ken Kanikeberg, Office of the Superintendent of Public Instruction

(With concerns on proposed substitute bill heard on 2/27/2014) Sean Eagan, Port of Tacoma; David Buri, Eastern Washington University; and Bill Robinson, The Nature Conservancy.

(Other on original bill heard on 1/21/2014) Zachariah Abede, Teamsters Local 174; Greg Lane, TVW; Neil Beaver, Sustainable Works; Dave Finet, Opportunity Council; Marie Sullivan, Washington State School Directors' Association; Michelle Thomas, Washington Low Income Housing Alliance; and Miles Batchelder, Washington Coast Sustainable Salmon Partnership.

(Other on proposed substitute bill heard on 2/27/2014) Marie Sullivan, Washington State School Directors Association.

(Neutral on proposed substitute bill heard on 2/27/2014) Paul Locke; Chester Baldwin, Government Building Owners and Leasers Association; Miles Batchelder, Washington Coast Sustainable Salmon Partnership; and Eric Johnson, Washington State Association of Counties.

Persons Signed In To Testify But Not Testifying: None.