FINAL BILL REPORT

SHB 2726

                                  C 254 L 90

BYHouse Committee on Capital Facilities & Financing (originally sponsored by Representatives Schoon, Cantwell, Brumsickle, Moyer, Raiter, H. Myers, Hargrove, Smith, Nealey, Peery and Cooper)

Raising the debt funding limitation for certain port districts.

House Committe on Trade & Economic Development

Rereferred House Committee on Capital Facilities & Financing

Senate Committee on Governmental Operations

SYNOPSIS AS ENACTED

BACKGROUND:

The Legislature authorized the creation of port districts in 1911.  These port districts are referred to as "special purpose districts" and are governed by elected port commissioners.  Port districts are authorized to develop a variety of facilities and services, primarily related to transportation and economic development.  Examples of transportation facilities developed by port districts include marine terminals, storage facilities, airports, and railroad facilities.  Examples of economic development activities undertaken by ports include industrial development sites, trade centers, and export trading companies.

Port district activities are financed through fees for services, fees for the use of port land and facilities, property tax levies, receipts from the issuance of a variety of municipal bonds, and grants and gifts.  Ports may also issue Industrial Revenue Bonds.

There are a variety of limitations on how much indebtedness a port district may incur.  These limitations are based on the value of taxable property in the district.

SUMMARY:

The debt limit of a county-wide port district with a population of fewer than 2,500 people does not include debt on property leased to the federal government.

VOTES ON FINAL PASSAGE:

      House 98   0

      Senate    48     0 (Senate amended)

      Senate    38     0 (Senate receded)

EFFECTIVE:March 28, 1990