The Governor's proposed supplemental budget requires several policy changes. The House Ways and Means committee has begun holding hearings on them. The key bills are listed below.

Through the protesters, arrests and shouting of the first week of session, large numbers of advocates for human service programs made it through and testified in a number of budget hearings in both the House and Senate Ways and Means committees on impacts of the loss of services if reductions are implemented.

A number of bills necessary to implement the Governor's proposed supplemental budget recommendations around human service programs have been introduced. HB 2131, Delaying implementation of certain provisions related to evaluations of persons under the Involuntary Treatment Act was heard in House Ways and Means Committee on December 2nd. We testified in support of this bill that would delay implementation of some provisions of 2010 legislation that expanded the factors that may be considered for detaining and committing persons under the Involuntary Treatment Act from January 2012 until July 2015. HB 2139, Concerning the establishment of new regional support network boundaries will be heard in House Ways and Means on December 6th at 10:00am. This bill would limit the number of Regional Support Networks to no more than six.

This week we had an opportunity to present with three panels at a work session on Mental Health funding in Senate Human Services and Corrections Committee. Thank you to Regional Support Network directors Christine Barada (Spokane) Charles Benjamin (Northsound), Marc Bollinger (Cowlitz), Joan Brewster (Grays Harbor) and Jean Robertson (King) who did an excellent job talking about local programs and impacts of budgets.   

Last week the Washington State Association of Local Public Health Officials (WSALPHO) and the Washington State Public Health Association (WSPHA) coordinated to present testimony to the House Ways and Means committee amidst protests, arrests and numerous disruptions to the hearing.

Dennis Worsham (WSPHA) waited long into the evening to offer testimony on public health's behalf before the committee.  Dennis noted that while all local health jurisdictions have experienced dramatic reductions and restructuring as a result of declining budgets and other pressures, small and rural local health jurisdictions are particularly vulnerable at this time.  Most local health jurisdictions are operating at a purely core function level (if that), and any further erosion will likely result in health departments having to close their doors in parts of the state.  This is a frightening prospect in this day and age with communicable and chronic disease being at the forefront of public health challenges.

The Governor's proposed supplemental budget protects the core funding for public health enabling local health jurisdictions to maintain that basic level of safety against communicable and chronic disease.  Additionally, her budget protects funding for Maternity Support Services, which protects our most at risk mothers and children as well as the Tobacco Quitline, which supports those uninsured and underinsured residents in the cessation of tobacco use.  We thank the Governor and her staff for the transparency and dialogue around building her budget and in keeping public health a priority.

Tomorrow afternoon, Torney Smith, Spokane Regional Health District Administrator, will be in Olympia to testify on behalf of WSALPHO in front of the Senate Ways and Means committee delivering a similar message.  

HPA Reform

The Governor included the collection of fees from Hydraulic Project Approvals (HPA's) in her budget, and the Department of Fish and Wildlife (DFW) has introduced a bill (HB 2135) that would charge a $150 application fee for HPA's.  At the same time that this fee is being proposed, DFW is in the process of changing HPA regulations and negotiating a 50 year conservation agreement with the federal agencies that have jurisdiction for the conservation of fish under the Endangered Species Act.  There are also considerable question about the degree of regulatory overlap between HPA's and local government protections under critical area ordinances, development regulations, and shoreline master programs.  The WSAC Natural Resources & Environment Workgroup met last week and discussed the issue in detail.  WSAC's position on this issue is that before a fee can be charged, there needs to be certainty about where and when a permit will be required, and what the regulatory requirements will be.  HB 2135 will be heard in the House Ways & Means Committee on Tuesday, December 6^th at 10:00.  

SEPA Reform

For the second year, WSAC is working with the Association of Washington Cities, and Association of Washington Business to pursue streamlining measures in the way that local governments are required to implement the State Environmental Policy Act. This issue remains a priority for county planning directors. Since October, Representative Fitzgibbon has convened a series of meetings on this subject with interested parties, and will be introducing a bill for consideration during the regular session. WSAC staff are working with Representative Fitzgibbon to suggest ideas that might be included in his bill.  

Exempt Well Legislation

WSAC has created a work group to develop legislation that will provide greater clarity for when permit exempt groundwater wells can be used for group domestic development. In addition, counties are interested in gaining local authority to better manage the use of permit exempt wells. This workgroup met last week with the Department of Ecology and private water attorneys to begin fleshing out what a proposal might include. WSAC staff will continue developing these ideas for workgroup consideration.  

ESA Encumbered State Forest Land Replacement

For the last three years WSAC's Timber Counties Committee has sought relief for Southwest Washington counties that are disproportionately impacted by Endangered Species Act encumbrances in the state trust lands Habitat Conservation Plan. Last year, the legislature provided $2 million to begin the process of replacing these encumbered lands, and to compensate three counties for lost timber revenue.   This year, WSAC has partnered with the Department of Natural Resources to request a bill that will authorize the Board of Natural Resources to combine replacement lands for these small timber counties so that they can leverage their purchasing resources. WSAC staff have been working closely with DNR staff to draft bill language, and will be meeting with legislators over the next two weeks to ensure that the bill is introduced.

Timber County Distribution of Forest Development Account Funding

The Commissioner of Public Lands has proposed the distribution of $10 million from the state Forest Development Account to counties that are the beneficiaries of state forest board lands. The Governor included this request in her proposed supplemental budget. Consistent with the WSAC Timber Counties Committee, WSAC staff are supporting this request with the legislature, and advocating for the provision of $250,000 for WSAC to support timber counties. Key legislators have informed WSAC that it will not be possible to direct these dollars directly to county general expense budgets.

Wenatchee Public Facilities District

The Wenatchee Public Facilities District membership includes nine different local governments from Chelan and Douglas counties. The bond market collapsed when they went to sell long term bonds three years ago. In order to pay the builder they issued bond anticipation notes. Earlier this year, the Chelan Superior Court ruled the city of Wenatchee did not have the debt capacity to cover the $42 million in notes. The State Treasurer steps in to see if there is a way to prevent a default before December 1st. The Treasurer introduced legislation that would have allowed the PFD to borrow from the local government sales tax pool. The Legislature was unable to reach an agreement by December 1st and the PFD defaulted.

The Treasurer's office continues to work with the Legislature to see if there is a way to rescue they PFD. The House Ways and Means committee held a hearing Friday afternoon on the bill. During the hearing a few cities and other special purpose districts expressed concerns about the potential increased borrowing costs. Bond counsel also expressed concerns about increased borrowing costs and litigation costs. Counsel opined the legal costs will be staggering and the PFD members would lose local control of the litigation.

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