BILL REQ. #:  H-0455.1 

Prefiled 01/10/13. Read first time 01/14/13.   Referred to Committee on Local Government.

     AN ACT Relating to the administration and operation of flood control districts; amending RCW 86.09.175, 86.09.178, 86.09.181, 86.09.259, 86.09.268, and 86.09.271; adding a new section to chapter 86.09 RCW; and repealing RCW 86.09.274, 86.09.277, and 86.09.280.

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

Sec. 1   RCW 86.09.175 and 1937 c 72 s 59 are each amended to read as follows:
     (1) Contracts entered into by districts for construction ((or for)), services ((or)), materials, or maintenance may provide that payments ((shall)) will be made in such monthly proportion of the contract price, as the board shall determine thereon, as the work progresses, or as the services ((or)), materials, or maintenance are furnished, on monthly estimates of the value thereof((, approved by the state director. Before the district shall enter into any contract, the plans, specifications and form of contract therefor shall be approved by the state director)).
     (2) The district must withhold five percent of all payments made under subsection (1) of this section until the contract is complete, as evidenced by releases issued by the district. This subsection (2) does not apply to contracts for materials.

Sec. 2   RCW 86.09.178 and 1965 c 26 s 2 are each amended to read as follows:
     ((Contracts for construction, or for labor or materials entering into the construction of any improvement authorized by the district shall be awarded at public bidding except as herein otherwise provided. A notice calling for sealed proposals shall be published in such newspaper or newspapers of general circulation as the board shall designate for a period of not less than two weeks (three weekly issues) prior to the day of the opening of the bids. Such proposals shall be accompanied by a certified check for such amount as the board shall decide upon, to guarantee a compliance with the bid and shall be opened in public at the time and place designated in the notice. The contract shall be awarded to the lowest and best responsible bidder: PROVIDED, That the board shall have authority to reject any or all bids, in which event they shall readvertise for bids and, when no satisfactory bid is then received and with the written approval of the director, may proceed to construct the works by force account.)) (1) Except as provided otherwise in subsection (4) of this section, contracts for construction or maintenance, or for labor or materials used in the construction or maintenance of any improvement authorized by the district, may only be awarded through a public bidding process that complies with the following:
     (a) Notices calling for sealed bid proposals must be published in at least one newspaper of general circulation in the district. The notices must be published at least once fourteen or more days before the deadline for submitting proposals; and
     (b) Bid proposals must be in writing, must be filed at the location specified in the notice, and must be opened and read in public by the board or its designee at a time and location also specified in the notice. Proposals must be filed in the official records of the district and available for public inspection. Proposals also must be accompanied by a bid proposal deposit, in the form of cash, a certified check, a cashier's check, or a surety bond, equaling five percent of the total cost of the project.
     (2) If the successful bidder fails to enter into a contract and fails to furnish a satisfactory performance bond within the time specifications established by the district, the bid proposal deposit must be forfeited to the district.
     (3) The contract must be awarded to the lowest and best responsible bidder, except that the board may reject any and all bids. If the board rejects one or more bids, the board must submit a new notice calling for sealed bid proposals that complies with subsection (1)(a) of this section.
     (4) If a satisfactory bid is not received under this section, the district may complete the project by an agreed price or force account.

NEW SECTION.  Sec. 3   A new section is added to chapter 86.09 RCW to read as follows:
     (1) District construction and maintenance contracts require three or more formal bid proposals when the total cost of the project equals or exceeds fifty thousand dollars. In accordance with RCW 86.09.178, formal bid proposals must be made in writing and must be filed with the official records of the district. This subsection (1) does not apply to projects that have a total cost of less than five thousand dollars or to contract solicitations for which three bidders are not available.
     (2) This section does not restrict a district from: (a) Using volunteer labor and equipment on improvements and providing reimbursement for actual expenses; or (b) entering into an interlocal agreement for district construction, maintenance, or other work with a county, city, or other governmental entity.

Sec. 4   RCW 86.09.181 and 1965 c 26 s 3 are each amended to read as follows:
     (1) Any person((, except the state of Washington and the United States,)) acting under the provisions of this chapter, to whom ((or to which)) a contract ((may have)) of at least five thousand dollars has been awarded by the district for construction ((purposes)), maintenance, or ((for)) labor ((or materials entering therein when the total amount to be paid therefor exceeds one thousand dollars)), shall enter into a bond to the ((state of Washington)) district, with good and sufficient sureties((, to be approved and filed with the state director,)) for one hundred percent of the contract price, conditioned for the faithful performance of said contract and with ((such)) further conditions as may be required by law.
     (2) This section does not apply to district contracts awarded to the United States, the state of Washington, or counties and cities within the state of Washington.

Sec. 5   RCW 86.09.259 and 1985 c 396 s 58 are each amended to read as follows:
     A flood control district shall be managed by a board of directors consisting of three members. The initial directors shall be appointed, and the elected directors elected, as provided in chapter 85.38 RCW. The directors shall elect a ((chairman)) chair and vice chair from their number ((and shall either)). The directors may elect ((one of)) a secretary from their number((, or appoint a voter of the district, as secretary)) to hold office at ((its)) the board's pleasure and who shall keep a record of its proceedings. In accordance with RCW 86.09.268, the directors may also appoint and employ a secretary.

Sec. 6   RCW 86.09.268 and 1937 c 72 s 90 are each amended to read as follows:
     The board shall ((have the power and it shall be its duty to adopt a seal of the district, to)):
     (1) Manage and conduct the business affairs of the district, ((to)) including holding regular meetings at least once each year;
     (2) Employ and appoint ((such)) agents, engineers, attorneys, officers, and employees as may be necessary, and prescribe their duties((, to));
     (3) Establish reasonable ((bylaws,)) rules and regulations for the government and management of affairs of the district((, and));
     (4) Hold open meetings in accordance with chapter 42.30 RCW; and
     (5) Generally to perform any and all acts necessary to carry out the purpose of the district organization.

Sec. 7   RCW 86.09.271 and 1985 c 396 s 59 are each amended to read as follows:
     The office of the directors and principal place of business of the district shall be located, if possible, at some place within the district to be designated by the board. If a place convenient and suitable for conducting district business and public hearings required by this chapter cannot be found within the district, the office may be located in the county within which the major portion of district lands is situated. ((The office and place of business cannot thereafter be changed, except with the previous written consent of the county legislative authority of the county within which the major portion of the district is situated, and without passing a resolution to that effect at a previous regular meeting of the board, entered in the minutes thereof and without posting a notice of the change in a conspicuous public place at or near the place of business which is to be changed at least ten days prior thereto and by the previous posting of a copy of the notice for the same length of time at or near the new location of the office.))

NEW SECTION.  Sec. 8   The following acts or parts of acts are each repealed:
     (1) RCW 86.09.274 (Board of directors -- Meetings -- Change of date) and 1985 c 396 s 60 & 1937 c 72 s 92;
     (2) RCW 86.09.277 (Board of directors -- Special meetings -- When notice required -- Authorized business) and 1937 c 72 s 93; and
     (3) RCW 86.09.280 (Board of directors -- Meetings and records public -- Printing of bylaws and rules) and 1937 c 72 s 94.