FINAL BILL REPORT

SHB 1511

                                  C 162 L 88

BYHouse Committee on Local Government (originally sponsored by Representatives Bumgarner, Haugen, Beck, Ferguson and Braddock)

Amending provisions for water and sewer districts.

House Committe on Local Government

Senate Committee on Governmental Operations

SYNOPSIS AS ENACTED

BACKGROUND:

A sewer district or water district is authorized to sell unnecessary property it owns if the Board of Commissioners finds unanimously that the property is not needed by the district.  Unnecessary real property cannot be sold for less than 90 percent of its appraised value.  The appraised value is established by a written appraisal of three disinterested real estate brokers not more than six months prior to its sale.

Sewer districts are allowed to merge with water districts.  When such a merger occurs between two districts, the three members of each of the old boards of commissioners become a six member board of the resulting district.  The number of commissioners is reduced over time to three.

The procedure to incorporate a sewer district or water district involves several steps, including:  (1) the filing of a petition requesting formation of the district that has been signed by a requisite number of resident voters; (2) review and approval by the Boundary Review Board, if one exists in the county, or otherwise by the county legislative authority, concerning compliance with the appropriate comprehensive plans; (3) approval by the county legislative authority concerning the necessity for the district; and (4) voters approving a ballot proposition authorizing the district.

The County Treasurer acts as the treasurer of a sewer district or water district located within the county.  Districts with 2,500 or more customers may appoint their own treasurer, if authorized by the County Treasurer.  Such an appointed treasurer possesses the powers of the County Treasurer and County Auditor for the district concerning the creation of funds, issuing warrants, and investing district moneys.

Territory that is adjoining or in the near vicinity to a sewer district or water district can be annexed by the district.

SUMMARY:

Sewer districts and water districts are authorized to sell unnecessary real property below 90 percent of its appraised value if a purchaser cannot be found to buy the property for at least 90 percent of its appraised value after 180 days of offering the property for sale. Such a sale below 90 percent of the property's appraised value must be made at a public auction that has been publicized by publication of a notice for three consecutive weeks in a newspaper of general circulation in the district.

A person who serves on the boards of commissioners of a water district and a sewer district, that are merged together, holds only one position on the board of commissioners of the resulting district and may receive compensation and benefits for only a single commissioner.

The county legislative authority can combine the two hearings required on a proposed incorporation of a sewer district or water district in counties without a boundary review board.  The existence of a water district or sewer district is validated in counties without a boundary review board, if only one of the two required hearings on the proposal were held by the county legislative authority.

The appointed treasurer of a sewer district or water district with over 2,500 customers possesses the powers of the county treasurer for the district, and those powers of the County Auditor for the district that relate to financial matters.

A sewer district or water district located in a fifth class or smaller county composed entirely of islands may annex any non-adjoining territory in the county.

VOTES ON FINAL PASSAGE:

      House 97   0

      Senate    46     0 (Senate amended)

      House 93   0 (House concurred)

EFFECTIVE:March 21, 1988