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Volume 30, Interim No. 3
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August 16, 2007
From the Director
Streamlined Sales Tax Implementation
Communication Efforts
The Department of Revenue (DOR) has
begun an extensive education campaign
as they inform local governments, the
business community and others of the
change to destination-based sourcing
effective July 1, 2008. AWC is working
with DOR and is an integral part of the
communication efforts.
Their first objective is to educate the
business community of the change
to destination-based sourcing so
revenues will be allocated correctly.
Department Director Holstrom, business
representatives and AWC staff have
been traveling throughout the state
meeting with Editorial Boards and
business journals in hope of securing
press attention. These meetings have
been very productive and resulted in
editorials by most publications – all
positive editorials. The Department’s
communication efforts also include the
following: a speakers bureau made up of
41 speakers, four workshops (more may
be scheduled) and vendor fairs designed
for business representatives, extensive
electronic communication including a
pod cast with business representatives,
mailings to over 200,000 businesses,
research on accounting software options
for businesses, a telephone survey of
businesses on what they need, facilitated
discussions with retailers to secure
additional input and then demonstration
projects.
The workshops are scheduled as follows:
• September 12 – Spokane
• September 27 – Walla Walla
• October 17 – Burien/SeaTac
• November 8 – Vancouver
For more information, visit the
workshops and education section on the
DOR website at www.dor.wa.gov.
Local Government Mitigation
DOR has also begun their work on local
government mitigation. The advisory
committee on SST mitigation met for
the first time on August 15. The group
includes representation from negatively
and positively impacted cities, counties,
and transits, as well as other legislative
and state stakeholders. Cities are
represented by Kent Finance Director
Robert Nachlinger, Federal Way Assistant
City Manager Iwen Wang, and Seattle
Assistant Finance Director Glen Lee.
It is anticipated that the committee
will meet monthly through the end of
the year to advise the Department of
Revenue on technical issues related
to mitigation effective July 2008. It will
continue to meet at least quarterly
through 2010. DOR will be creating a
listserv to communicate information
about the work of the advisory
committee in the near future.
continued on page 2
Sustainable
Communities
An AWC conference for
Washington's local governments
September 26-28, 2007
Vancouver, WA
www.awcnet.org/sustainabilityconf.
1076 Franklin St SE • Olympia, WA 98501-1346 • 360-753-4137 • 1-800-562-8981 • Fax 360-753-0149 • www.awcnet.org
To assist the city representatives
in identifying city issues related to
mitigation and to provide an additional
means of communication regarding
SST mitigation, AWC has formed a
city workgroup, which will meet via
conference call prior to each of the
DOR mitigation meetings. If your city is
interested in participating in future calls
and/or would like to be added to the
DOR listserv, please contact Sheila Gall
at sheilag@awcnet.org.
Workshops for
Local Governments
In addition to a number of online
resources on DOR’s website, a number
of education opportunities specifically
targeted for local governments are
scheduled in the near future.
The Department of Revenue will outline
local government issues related to SST
and mitigation during the following
events:
• August 23 – AWC & WFOA’s
Introduction to Municipal Budgeting
workshop in Lynnwood
• August 30 – WFOA’s Streamlined
Sales Tax workshop in Federal Way
• September 20 – WFOA’s Annual
Conference in Kennewick
For more information, see the training
section on AWC’s website: www.
awcnet.org or WFOA’s website at www.
wfoa.org.
2008 Budget Preparation
Cities preparing for their 2008 budgets
should be aware of the expected
impact of SST sourcing changes on
their jurisdiction, which do go into
effect July 1, 2008. Negatively impacted
jurisdictions should be prepared for the
lag in quarterly mitigation distributions
due to the timing and availability of data
for the first distribution of mitigation in
December 2008.
Passage of SST legislation with full
mitigation was a significant tax policy
change for cities. AWC worked hard
to secure this legislation and we will
work just as hard to ensure correct
implementation and distribution of
mitigation. We will also regularly update
you on the progress of SST. Please fee
free to contact me, Jim Justin, jimj@
awcnet.org, or Sheila Gall, sheilag@
awcnet.org, if you have any questions on
this issue.
energy & telecommunications
Crane Safety
Rulemaking (ESHB 2171)
Last week, the Department of Labor
& Industries (L&I) wrapped up their
meetings to gather input that will be
used to develop a new rule to certify
crane inspectors and crane operators.
Thank you to the cities that attended
and provided feedback. Cities and
utilities made it clear to the department
that when a piece of equipment is used
only periodically and that requiring a
large number of hours of experience
would place an undue burden on
agencies to find and retain qualified
operators. This is a different position
than provided by some of the labor
groups and others who commented
that the number of hours of experience
should be increased for the smaller
cranes.
The department will continue to take
written comments, so cities still wishing
to provide feedback can do so by
contacting Cindy Ireland at L&I, (360)
902-5522.
For additional information on this issue,
contact Victoria Lincoln at victorial@
awcnet.org.
Tree Trimming Roundtable
Representative Jeff Morris
(D-Anacortes) held a roundtable
discussion last week on the 2006
wind storm and utility tree trimming
procedures. He is exploring the
possibility of changing statutes or
government procedures as a result
of some of the difficulties utilities
experienced during that time. A good
representation of municipals, public
utility districts, investor-owned utilities
and cooperatives were in attendance
and discussion was lively. Representative
Morris is looking for comments on five
issues by the end of August:
• Explore a streamlined process for
valuing trees on private property
• Study restrictions on vegetation
planted in ROWs
• Explore expanding immunity for
utilities engaging in vegetation
management
• Review state agency land practices.
• Study the Forest Practices Act
for transmission vs. distribution
application
For additional information or to provide
comments, contact Victoria Lincoln at
victorial@awcnet.org.
AWC Legislative Bulletin—Copyright © 2007 Association of Washington Cities. All rights reserved.
2
AWC Interim Legislative Bulletin ­– August 16, 2007
environment & water
Sustainable
Communities
Conference
Registration is
now open for
AWC’s Sustainable
Communities Conference
in Vancouver, WA on September 26
-28. This conference is designed to
give you the tools to turn your cities
into cohesive, smart, and economically
vibrant communities that last well
into the future. Learn how to create
sustainable communities and the
positive impact it will have on your city.
Explore the many benefits of building a
sustainable community:
• Save taxpayer dollars
• Build local economy and create jobs
• Improve air quality and public health
• Improve community livability
Workshop topics include:
• Green buildings
• Clean energy
• Mobility – transit, bike/pedestrian
• Water – reclaimed, waste, storm
• How to build consensus in your
community
For more information and to register:
www.awcnet.org/sustainabilityconf.
Puget Sound Partnership Update
AWC accepting nominations
for representative to Ecosystem
Coordinating Board
AWC is accepting nominations for the
city representative to the Ecosystem
Coordinating Board of the newly
formed Puget Sound Partnership
(Partnership).
We are accepting nominations of
mayors and councilmembers from
cities in the following 12 Puget Sound
counties: Clallam, Island, Jefferson, King,
Kitsap, Mason, Pierce, San Juan, Skagit,
Snohomish, Thurston & Whatcom.
The Ecosystem Coordinating Board
will advise and assist the Partnership
Leadership Council in the development
and implementation of the Action
Agenda. The Ecosystem Coordination
Board is the "stakeholder" group
consisting of twenty-seven-members,
including one city official who will
represent the 112 cities in the 12
counties adjacent to/surrounding
the Puget Sound. AWC is soliciting
nominations for this important position
that will represent all of these 112
cities. This position is the designated
city representative to the Puget Sound
Partnership.
Nominations are due to AWC by
September 12, 2007. Please see the
AWC Solicitation Letter and additional
details which can be found on our
website at www.awcnet.org/psp.
Your Input Requested on
Proposed Action Area
Delineations
Partnership staff has reviewed all the
comments that were received on their
Request for Input on Action Area
Delineation. They are now offering
for your review a proposal for the
delineation of the Action Areas. More information about the
Partnership’s Action Areas proposal,
including maps, can be accessed from
AWC’s website at www.awcnet.org/psp.
Govenor’s Climate
Advisory Team (CAT) – Update
The CAT met on August 7 in downtown
Seattle. The majority of the meeting
was devoted to reviewing and affirming
the recommendations made by the
following five technical working groups
(TWGs):
1. Residential, Commercial & Industrial
2. Transportation
3. Forestry
4. Agriculture
5. Energy Supply
Many of these recommendations
impact local government. Each report
can be found at: www.ecy.wa.gov/
climatechange/cat_twg_overview.
htm. We urge you to review these
recommendations and provide any
comments to Victoria Lincoln at
victorial@awcnet.org or Sheri Sawyer
at sheris@awcnet.org. The next meeting
of the CAT will be held at Washington
State University in the Tri-Cities on
October 4, 2007. A link to the agenda
will be listed in next month’s Bulletin.
Stormwater Grants
To help address emerging stormwater
needs throughout the state, the 2007
Legislature appropriated $20.92 million
for stormwater related projects:
• $17.92 Million for Puget Sound
stormwater projects
• $3 Million for non-Puget Sound
stormwater projects
continued
For questions or more information,
please contact Tim Gugerty, timg@
awcnet.org.
AWC Interim Legislative Bulletin ­– August 16, 2007
3
Environment
(continued)
The appropriations are intended for
local governments to receive grants for
municipal stormwater projects, including
but not limited to:
• Retrofit of existing stormwater
projects in urban areas where
stormwater is a significant source of
contamination
The findings of these surveys will help
direct our outreach efforts. Starting
this fall, we will be implementing
regional workshops specifically for
elected officials and executive staff,
developing educational materials for
elected officials, and offering individual
consultation services to cities.
• Identification and removal of nonstormwater discharges into municipal
storm sewer systems
Environmental Protection Agency
Getting in Step Workshop –
October 25-26
• Low-impact development
stormwater management projects
In October, AWC and the Department
of Ecology are cosponsoring an
Environmental Projection Agency
workshop, Getting in Step with Phase
II: A Workshop for Stormwater Program
Managers, in Tacoma, October 25-26.
This workshop will provide training
and information aimed at helping
local government staff meet Phase
II municipal stormwater permit
requirements.
The application period has been
extended. The new schedule is:
• August 15 – October 15: Application
period
• October – November 2007:
Application review
• November 2007: Offer list provided
The program Application and Guidelines
are now available on the web at www.
ecy.wa.gov/programs/wq/funding/
SWMgmtImplementationGrants.htm.
NPDES Phase II
Education & Outreach
Needs Assessment Survey of
Puget Sound NPDES Phase II
Cities
Details and workshop registration will
be available at www.awcnet.org in late
August.
For questions or more information,
please contact Tim Gugerty, timg@
awcnet.org.
As the first part of AWC’s and the
Department of Ecology’s outreach
effort, we have collaborated with the
Puget Sound Partnership to send a
stormwater needs assessment survey
to Puget Sound NPDES Phase II Cities.
This survey will be sent to stormwater
contacts during the week of August 20.
Surveys of non-Puget Sound and Eastern
Washington NPDES Phase II cities will
soon follow.
4
AWC Interim Legislative Bulletin ­– August 16, 2007
2007 Regional
Meetings
Please join us for dinner and an
evening of learning and discussion
with your region’s municipal leaders.
Meeting agenda includes:
• Legislative proposals for the
2008 Session
• State of the Cities report
update – Infrastructure
• Latest information on AWC’s
Insurance Services
• Challenges facing your
community – please come
prepared to discuss specific
concerns of your city or town
For dates, locations and
registration, visit www.awcnet.org/
regionalmeetings.
general local government
Performance Audits of Local
Government – An Update
At the November 2005 election,
Washington’s voters approved
Initiative 900, (Chapter 1, Laws of
2006, Regular Session). This legislation
mandated that "the state auditor shall
conduct independent, comprehensive
performance audits of state government
and each of its agencies, accounts,
and programs; …." This mandate was
accompanied in the initiative by a
redirection of a small portion of the
state sales tax to defray the added costs
of state and local performance audits.
As part of the State Auditor’s Office
(SAO) implementation of Initiative
900, the State Auditor is conducting
performance audits of local government
on the following:
• Take-Home Vehicle Practices
(completed by Fall 2007) – The first
entities to be audited are Kitsap,
Whatcom, Snohomish and Pierce
Counties, Tacoma and Spokane.
Each entity will have its own report
and the reports will be issued
consecutively.
• Overtime Practices (completed
by Fall 07) – The first entities to
be audited are Pierce County
Corrections, Snohomish County
Corrections and Sheriff’s Office,
Spokane County Corrections and
Sheriff’s Office, Spokane Police
and Fire Departments, Tacoma
Police Department, Kirkland
Fire Department,Vancouver Fire
Department, Seattle Police and Fire
Departments and Yakima Police and
Fire Departments. Each entity will
have its own report and the reports
will be issued consecutively.
and Counties” (www.mrsc.org/
Publications/pra06.pdf). The audit
involves 30 state and local entities.
Initially, the ten largest cities, ten
largest counties and ten largest state
agencies. The ten largest cities are
Seattle, Spokane, Tacoma,Vancouver,
Bellevue, Everett, Federal Way,
Spokane Valley, Kent and Yakima.
This audit could be expanded to
ports, PUDs and hospital districts in
the future, but it's “unlikely” that it
will include smaller cities, counties
and state agencies or other local
governments.
• Use of Impact Fees (Field work
will begin in November 2007 and the
audits are expected to concluded in
Spring 2008) – Eventually all cities
with populations exceeding 40,000
along with King, Pierce and Clark
counties.
A complete list of performance
audits in progress can be found on
the SAO website at www.sao.wa.gov/
PerformanceAudit/WeeklyUpdates/
Auditsinprogress_June07.pdf.
AWC will continue to have on-going
discussions with the Auditor and his
staff regarding the implementation of
I-900. As part of our efforts to keep
our members informed, please look for
regular updates in our Bulletin and on
our website.
Taping Executive Sessions
As reported in a previous Bulletin,
Attorney General Rob McKenna has
announced he will advance a bill to
require local governments to tape all
executive sessions. In addition, there
may be at least one legislator interested
in sponsoring a bill requiring a taped
record of every executive session. The
concern for cities is these meetings
are designed to be private discussions
on a limited number of issues such as
personnel or legal matters. Once there
• Open Public Records (completed
by Fall 07) – This audit will focus
heavily on those laws discussed
in Chapters 8 and 9 of the July
2006 MRSC Publication, “Public
Records Act for Washington Cities AWC Interim Legislative Bulletin ­– August 16, 2007
are taped copies, cities will be spending
legal and staff resources defending the
privacy of these tapes in court and
under public records requests. Having
taped copies will, no doubt, create
a new issue for dispute. Should the
opportunity arise, city officials will want
to describe their concerns with this
proposal to their local legislators.
Governor’s Blue Ribbon
Commission on Health Care
On August 7, the Department of Health
and the Heath Care Authority officially
kicked-off the implementation of two
health care-related bills passed in the
2007 session. E2SSB 5930, dealing
with the Governor’s Blue Ribbon
Commission on Health Care, and
E2SHB 1569, the Health Insurance
Partnership, were two key bills passed
last session intended to increase
access to healthcare for all citizens in
Washington.
The Health Insurance Partnership
establishes a pool from which small
employers, defined as those having
between 2 and 50 employees with at
least one employee who is low income,
may purchase health insurance. It also
requires small employers to set up
cafeteria plans for eligible employees. A
corresponding study of how to improve
access is also underway.
During the 2007 session, there
were proposals that would have
swept association plans, such as that
administered by AWC, into a larger
state-run pool. While this did not pass,
AWC will continue to monitor the
study to ensure it respects the interests
of the cities.
In addition, the agenda for the day
included discussions of several
components of the bills including
HCA and DSHS five year plans; the
Quality Forum; Patient Decision Aides;
ER Utilization Study; and the Health
Insurance Partnership.
5
infrastructure, transportation, &
economic development
Economic Development
Transportation
Transportation Benefit Districts
The Legislature has finally completed
its appointments to the Infrastructure
Study Committee, State Capital Budget
and Loan Programs. The appointees are:
Joint Ballot Measure for Sound
Transit and the Regional
Transportation Investment
District Moving Forward
Senate:
After several years of planning and
outreach (and changes to state law),
the county councils in King, Pierce,
and Snohomish County were finally
able to take council action to approve
a November joint ballot measure on
the Sound Transit and the Regional
Transportation Investment District
Proposal. We are expecting extensive
public outreach to begin in September.
The modified Transportation Benefit
District authority is available to 36 of 39
counties (King, Pierce, and Snohomish
Counties are eligible December 1,
2007). AWC and Washington State
Association of Counties staff have
received numerous questions on this
authority. Please see our Frequently
Asked Questions and Checklist
document on how to implement a TBD.
You can find this at www.awcnet.org/
tbd.
• Senator Brandland (R-42)
• Senator Fraser (D-22)
• Senator Kilmer (D-26)
House:
•
•
•
•
Representative McCune (R-2)
Representative Ormsby (D-3)
Representative Strow (R-10)
Representative Takko (D-19)
Juli Wilkerson, Director of Community,
Trade, and Economic Development, and
Scott Merriman of the Governor’s office
are also appointed to the committee.
The Infrastructure Study Committee is
expected to focus their efforts in two
areas:
• Core Infrastructure (water, sewer,
stormwater, etc)
• Community Development related
programs. We expect the focus
to be on the future of the Job
Development Fund
In our meetings with legislators, it is
clear this effort will extend beyond this
interim session.
The new Roads & Transit capital
investments would create assets worth
approximately $17.8 billion in 2006
dollars ($10.8 billion for Sound Transit
and $7 billion for RTID).
The Joint Transportation Committee
held its first meeting on August 9, 2007.
The objective of the group is to:
• Require the study of alternatives for
financing freight improvements;
New taxes proposed:
• 0.6 of one percent of sales tax – six
cents on a $10 purchase (.5 Sound
Transit, .1 RTID)
• Involve stakeholders; and
• 0.8% MVET, or $80 for every $10,000
worth of value per vehicle (RTID
only)
New tax revenues generated during 20year investment period:
• Sound Transit: $7.5 billion
• RTID: $4.7 billion
The proposed new revenues would
leverage existing taxes currently levied
by Sound Transit and the State of
Washington to fund the transit and
highway projects.
Please see July’s Bulletin for a summary
of the transit and roads proposal.
6
Freight Investment Study
Stakeholders Group
AWC Interim Legislative Bulletin ­– August 16, 2007
• Require an evaluation of the
structure and responsibility for a
future project recommendation body.
The stakeholders group is mostly
comprised of the private sector carriers.
In addition, two legislators from Alaska
are participating in the group. The
consultant team presented a framework
for the study, including analytical tools
(models) that could be used to assess
the cost to shippers and the ports if
container fees are imposed. A second
meeting is tentatively scheduled for the
end of September.
For more information or question
on any of these issues, please contact
Ashley Probart, ashleyp@awcnet.org.
land use & housing
Attorney General Eminent
Domain Task Force
House Work Session on
Condo Conversions
As expected, the Attorney General
has convened a task force to look at
the issue of eminent domain. The first
meeting was held on August 14. The
task force includes representation from
a number of stakeholders, including
two city representatives: Bothell Mayor
Mark Lamb and Bellevue Deputy Mayor
John Chelminiak. We anticipate that
the group will examine changes to the
current eminent domain procedures
similar to last session’s discussions
surrounding HB 2016, as well as issues
regarding city authority under the
Community Renewal Act under RCW
35.81.
As reported in the previous Bulletin,
the House Housing Committee held an
August work session on the effects of
conversion of affordable apartment units
to condominiums, generally referred to
as condo conversions. Cities were well
represented by Marty Dickinson, chair
of Spokane’s Affordable Housing Task
Force and Adrienne Quinn, Director
of the Office of Housing for the City
of Seattle. The cities’ message was that
condo conversions are one factor in a
much broader discussion on housing
availability and affordability. Spokane,
Seattle and many other cities are
working to address housing availability
and affordability, with conversions of
affordable apartment units playing very
different roles in different cities. Other
panels during the work session included
low-income housing advocates and
realtors/developers.
Further information about the task
force is available on the Attorney
General’s website at www.atg.wa.gov/
page.aspx?id=17070, and comments
related to the group’s proposals will be
solicited through that website. AWC
will continue to monitor the work
of the group and has suggested some
additional city attorneys and public
works staff members with experience
in eminent domain to help provide
technical assistance to the workgroup.
Specific policy discussions focused
on providing local jurisdictions with
greater flexibility in addressing tenant
displacement resulting from conversions
of affordable apartment units.
AWC Interim Legislative Bulletin ­– August 16, 2007
Two general ideas discussed were
discussed:
1. Providing cities with the option of
requiring earlier notice of conversion
to tenants being displaced; and
2. Providing cities with the option
of requiring greater relocation
assistance to tenants than currently
allowed
These ideas were included in HB 2014
and SB 5031 in the 2007 session and
remain in play for the 2008 session.
For questions or input, please contact
Tim Gugerty, timg@awcnet.org.
AWC Housing Availability and
Affordability Policy Advisory
Group
As noted in last month’s interim
Bulletin, AWC is putting together an
ad hoc group of city officials to advise
AWC staff on housing matters leading
into and during the 2008 session. We
are in the process of assembling this
group, which will likely meet in late
September.
For questions or more information,
please contact Tim Gugerty, timg@
awcnet.org.
7
law & justice
Update on Sex Offenders
On July 30, 2007, Rep. Doug Ericksen (RFerndale), the second highest ranking
Republican in the House, called on the
Governor to convene a special session
in September to enact more stringent
sex offender laws. This was in response
to the July 4 abduction and murder
of 12 year-old Zina Linnik in Tacoma,
allegedly by a convicted sex offender.
Legislative committees will meet in
September in preparation for the 2008
session and to get updates on issues
and bills enacted last session. However,
the Legislature will not be “in session.”
That may only occur with action by the
Governor.
In response, the Governor directed
Kitsap Prosecutor Russ Hauge to
lead a team of experts to review the
facts of the case. Because substantial
changes have been made to the sex
offender laws in the last several years,
the Governor has also requested the
committee to review how this case
might have been handled differently if
the current system had been in place
when the suspect, Terapon Adhahn,
was initially convicted, treated and
supervised. The Governor has directed
completion of that review by September
4.
In the second phase of the review, the
group will take the “lessons learned”
from their review and determine if
policy or law changes are needed.
This second phase is expected to be
complete in early October 2007. The
Governor will then decide if a special
session is needed.
8
In addition to consideration of
formalizing this review process,
other ideas for improving sex
offender supervision currently under
consideration are expansion of Global
Positioning System (GPS) tracking
devices and collection of a DNA
sample at the time every sex offender
is required to register with the sheriff.
Other law or system changes are likely
to be considered after the Governor’s
workgroup efforts are complete.
AWC also continues to make progress
on its work to improve the statewide
standard that applies to where sex
offenders may reside. While current
law prohibits local governments from
enacting ordinances that restrict where
sex offenders may live, we continue to
work with stakeholders to consider
improving the state law that restricts
certain sex offenders from living within
880 feet of a public or private school.
Under consideration is an expansion of
the 880 foot rule to other facilities, such
as parks. This work must be completed
by December 31, 2007.
Gang Task Force
The 2007 Legislature passed SSB 5987,
charging the Washington Association of
Sheriff and Police Chiefs with staffing a
statewide group to evaluate the issue
of gang-related crime in Washington
State and making recommendations to
the Legislature regarding the creation
of a statewide gang information
database, possible reforms to the
juvenile justice system for gang-related
juvenile offenses, best practices for
prevention and intervention of youth
gang membership, and the adoption of
legislation authorizing a civil anti-gang
injunction.
AWC Interim Legislative Bulletin ­– August 16, 2007
The group met for the first time in
Yakima at the end of July. It is jointly
chaired by Senator Jim Clements
(R-Selah) and Rep. Chris Hurst
(D-Green Water). After a morning of
meeting together as a committee to
determine how best to approach the
work, the group heard from nearly 100
concerned citizens in Yakima and the
surrounding cities during a community
forum. Comments ranged from citizens
telling their stories of having property
destroyed by suspected gang members
and parents expressing concern about
their children’s future, to members
calling for harsher sentences for youth
and more positive activities to occupy
their time.
The group will divide its work into two
sub-committees to consider Prevention
& Intervention and Suppression (Civil
and Criminal). Meetings are scheduled in
five more cities. Those dates are:
• Thursday, August 23, and Friday,
August 24 in Bellingham
• Monday, September 10, and Tuesday,
September 11 in Spokane
• Monday, October 15, and Tuesday,
October 16 in Vancouver
• Thursday, November 8, and Friday,
November 9 in Tacoma
• Monday, December 10, and Tuesday,
December 11 in SeaTac
As of this writing, the intent is to hear
from community members at each
meeting. We would encourage your
participation in those meetings, and
will forward further information as it
becomes available.
continued
Homeland Security Interoperable
Communications Grant
Information
On July 18, 2007, Department of
Commerce and Department of
Homeland Security (DHS) announced a
new FFY07 Public Safety Interoperable
Communications (PSIC) grant program.
Washington State will receive $19.2
million to assist public safety agencies
in the acquisition of, deployment of, or
training for the use of interoperable
communications systems that utilize or
enable interoperability with 700 MHz
band.
The Washington Military Department
will apply for this grant on behalf of
the state of Washington, which must
be submitted by November 1, 2007.
The Washington State Patrol (WSP)
has been designated by the Military
Department to coordinate the
application development process. The
Department of Information Services has
been designated to create the Statewide
Communications Interoperability Plan
(SCIP) that is also a required part of this
grant program.
The WSP has invited cities and
other public safety stakeholders to
participate in the development of
the SCIP and the development of the
statewide application under the PSIC
grant program. They will be holding
two workshops, August 22 and early
September, to facilitate this process.
There are still many unanswered
questions about how the projects will
be solicited, how they will be ranked,
and how they will be prioritized for
submission. The WSP will be working
closely with the State Interoperable
Executive Committee (SIEC) to identify
that process and will keep stakeholders
updated.
Materials related to the draft timeline
for the SCIP development, registration
materials for the August workshop, and
the application/investment justification
process are available at http://isb.wa.gov/
committees/siec/psic_scip.aspx. In
addition to this information, the official
federal guidance and some frequently
asked questions are available at www.
ntia.doc.gov.
Please contact Arel Solie (arel.solie@
wsp.wa.gov) or Sharon Wallace (sharon.
wallace@wsp.wa.gov) for additional
information.
AWC Interim Legislative Bulletin ­– August 16, 2007
9
municipal finance
Streamlined Sales Tax and
Telecommunication Taxes
Streamlined Sales Tax legislation, SSB
5089, resulted in some changes to the
definitions of telecommunications in the
state’s tax statutes (RCW 82.04.065).
Because some cities reference these
definitions in their local utility tax
ordinances, the old definitions were
moved to another section related to
the state utility tax statutes (RCW
82.14.010) so that those city taxes
would remain unaffected by the state
definition changes. Those cities that
adopted definitions by reference in
their telecommunications utility tax
ordinances should prepare to update
the reference to the new section in
order to comply with the new state
definitions, which go into effect on
July 1, 2008. Those cities that have not
adopted definitions by reference to the
state law will not be impacted by these
changes.
Model B&O Tax
Ordinance Update
Legislation approved in 2003 requires
cities to adopt changes to the B&O tax
model ordinance to include allocation
and apportionment provisions that take
effect on January 1, 2008 (RCW 35.102).
AWC has been working with a group
of cities to revise the model ordinance
and is in the process of consulting the
business community for comments on
the revisions. We expect to have the
ordinance available for cities to adopt
this fall and plan to host some education
sessions this fall for finance directors
and attorneys in B&O tax cities that
will be required to amend their B&O
tax ordinances by the January 1, 2008
deadline.
10
As part of the 2008 budget process,
those cities with B&O taxes should
also review the conclusions of the 2005
Department of Revenue Apportionment
Study and begin planning for anticipated
revenue impacts due to these changes
to local B&O taxes. Please contact Jim
Justin, jimj@awcnet.org, or Sheila Gall,
sheilag@awcnet.org, if you have any
questions on this issue.
Department of Revenue Local
Government Website Portal
The Department of Revenue (DOR)
held its first meeting on August 6 of
a work group to assist in developing
a new section on DOR’s website
specifically for local governments. At
the meeting, DOR reviewed some
improvements it has recently made to
the searchable report feature for local
tax data (http://dor.wa.gov/content/
aboutus/statisticsandreports/TID/
StatisticsReports.aspx?query=property)
and brainstormed some ideas for
what should be included on a local
government site.
If your city is interested in participating
in this project or has ideas regarding
what should be included on the local
website, please contact Miki Gearhart at
DOR, mikig@dor.wa.gov, or Sheila Gall
of AWC, sheilag@awcnet.org.
AWC Interim Legislative Bulletin ­– August 16, 2007
JLARC Ambulance Utility Study
The Joint Legislative Audit and
Review Committee (JLARC) is in the
process of conducting a legislatively
mandated study regarding the funding
of emergency medical services and city
use of ambulance utilities, as required
by ESHB 1635, passed in 2005 (RCW
35.21.766). AWC sent out JLARC’s
survey for the study to city finance
directors and clerks earlier this month,
and we encourage your city to respond
to the survey if you have not already
done so. If you have any questions
regarding the survey, please contact
Nina Oman, Research Analyst, JLARC, at
oman.nina@leg.wa.gov.
JLARC will be discussing the progress
of the study at a meeting on August 23
at 10 am in Olympia, and the study is
required to be completed by the end of
the year.
personnel & labor relations
LEOFF 2 Board Adopts
Supplemental Rate Increase
At their meeting on July 25, 2007, the
LEOFF 2 Board adopted a supplemental
contribution rate increase due to
legislation passed in 2007, as required
by law. The rate increase of .04% for
LEOFF 2 members and .02% for LEOFF
2 employers is effective September 1,
2007.
In the June Legislative Bulletin, we
reported that the expected increase
was .03% for employees and .02%
for employers, but the State Actuary
increased the member rate slightly.
Pension Contribution Rates,
Effective September 1, 2007
Member
Employer**
PERS 1
6.00%
6.13%
PERS 2
4.15%
6.13%
PSERS
6.57%
8.55%
LEOFF 1
0.00%
0.16%
LEOFF 2
8.64%
5.35%
** Employer rates include a .16% DRS
administrative expense rate (reduced
from the prior rate of .18%). The PERS 3
employer rate is the same as the PERS 1
& 2 rates.
Below are the contribution rates for all
plans as of September 1, 2007. We will
update our full contribution rate chart
once we have the revised rates and rate
projections for July 2008 and beyond.
AWC Interim Legislative Bulletin ­– August 16, 2007
Select Committee on
Pension Policy
The Select Committee on Pension
Policy last met on August 14. The
agenda included a review of economic
assumptions used in the pension
rate setting process. The preliminary
recommendation from the State
Actuary is to lower the expected
rate of investment earnings. If this
recommendation is advanced and
accepted by the various policy groups
it will result in future rate increase.
Pension rates are on the rise and this
will simply add to the increases. We will
continue to keep you informed of future
rate projections.
11
AWC Legislative Contacts
Association of Washington Cities
1076 Franklin Street SE
Olympia, WA 98501-1346
During the legislative session, AWC’s lobbyists often are unable to return your phone
calls immediately. If you have a legislative or specific issue question, please request
AWC’s analyst staff, or send them an email directly.
Call AWC at (360) 753-4137 or 1-800-562-8981
Energy & Telecommunications
Victoria Lincoln, Municipal Policy Associate, victorial@awcnet.org
Analyst: Sheri Sawyer, sheris@awcnet.org
Environment & Water
Dave Williams, Municipal Policy Associate, davew@awcnet.org
Analyst: Tim Gugerty, timg@awcnet.org
General Local Government
Victoria Lincoln, Municipal Policy Associate, victorial@awcnet.org
Analyst: Sheri Sawyer, sheris@awcnet.org
Infrastructure,Transportation & Economic Development
Ashley Probart, Municipal Policy Associate, ashleyp@awcnet.org
Analysts: Sheri Sawyer, sheris@awcnet.org and Tim Gugerty, timg@awcnet.org
Land Use & Housing
Dave Williams, Municipal Policy Associate, davew@awcnet.org
Analyst: Tim Gugerty, timg@awcnet.org
Law & Justice
Tammy Fellin, Municipal Policy Associate, tammyf@awcnet.org
Analyst: Sheila Gall, sheilag@awcnet.org
Municipal Finance
Jim Justin, Asst. Dir. For Intergovernmental Relations, jimj@awcnet.org
Analysts: Alicia Seegers Martinelli, aliciam@awcnet.org and Sheila Gall, sheilag@awcnet.org
Personnel & Labor Relations
Jim Justin, Asst. Dir. for Intergovernmental Relations, jimj@awcnet.org
Analyst: Deanna Krell, deannak@awcnet.org
AWC Officers
President Richard Munson
Councilmember, Spokane Valley
Secretary Glenn Johnson
Mayor, Pullman
Vice President Karen Rogers
Mayor, Port Angeles
Past President Mark Foutch
Mayor, Olympia
PRESORT
STANDARD
US POSTAGE
AWC Interim Legislative Bulletin ­– August 16, 2007
PAID
12
OLYMPIA, WA
PERMIT NO. 201
For a complete list of AWC Board of Directors, visit www.awcnet.org/boarddirectors.