020-17 - Ordinance - Repealing Ord No. 020-16 and Assuming Rights, Powers, Functions, of the Transportation Benefit Dist.ORDINANCE NO. 020-17
AN ORDINANCE OF THE CITY OF PORT ORCHARD, WASHINGTON, REPEALING
ORDINANCE NO. 020-16, AND ASSUMING THE RIGHTS, POWERS, FUNCTIONS,
IMMUNITIES, AND OBLIGATIONS OF THE PORT ORCHARD TRANSPORTATION
BENEFIT DISTRICT; PROVIDING FOR SEVERABILITY AND CORRECTIONS; AND
ESTABLISHING AN EFFECTIVE DATE.
WHEREAS, Chapter 36.73 of the Revised Code of Washington (RCW) authorizes the
legislative authority of a city to establish a transportation benefit district (TBD) within the city
area for the purpose of acquiring, constructing, improving, providing, and funding a
transportation improvement within the district that is consistent with any existing state, regional,
or local transportation plans and necessitated by existing or reasonably foreseeable congestion
levels; and
WHEREAS, while RCW 36.73 originally authorized a TBD to be created as a separate entity
with specific rights, powers, functions and obligations, in July 2015, the Washington State
Legislature enacted Chapter 36.74 RCW (Transportation Benefit Districts - Assumption by Cities
and Counties) which provides that, in any city or county in which a TBD has been established
pursuant to Chapter 36.73 RCW with boundaries coterminous with the boundaries of the city or
county, the legislative authority of that city or county may absorb that TBD and assume all of the
TBD's rights, powers, functions, and obligations; and
WHEREAS, on December 8, 2015 and pursuant to RCW 36.73, the City Council of the City
of Port Orchard (the "Council" and "City", respectively) passed Ordinance No. 027-15, creating
the Port Orchard Transportation Benefit District with boundaries coterminous with the
boundaries of the City and with all Council members serving as the TBD board members and
taking on all rights, powers, functions and obligations of the TBD; and
WHEREAS, thereafter, understanding that the TBD may be considered to be a separate
entity when created, rather than as one in which the City Council had absorbed the TBD and
assumed all of its rights, powers, functions and obligations, the City Council determined that it
was necessary to hold a public hearing and potentially pass an ordinance to absorb the TBD; and
WHEREAS, pursuant to the provisions of Chapter 36.74 RCW, the Council adopted
Resolution No. 052-16, declaring its intent to conduct a public hearing at its regular council
meeting on June 14, 2016, to consider the City's proposed assumption of all rights, powers,
functions, and obligations of the TBD; and
Ordinance No. 020-17
Page 2 of 4
WHEREAS, on June 14, 2016, the Council conducted the public hearing allowing all
persons interested in the City's proposed assumption of the TBD the opportunity to be heard;
and
WHEREAS, on June 14, 2016, the City Council adopted Ordinance 010-16 to authorize the
City to absorb the TBD and assume all of its rights, powers, functions and obligations; and
WHEREAS, thereafter, City staff held the mistaken belief that Ordinance 010-16 had been
adopted in error, believing that Ordinance 027-15 not only established the TBD but that the TBD
was also absorbed/assumed by the City through that ordinance; and
WHEREAS, based on this mistaken belief, on August 5, 2016, City staff presented to the
City Council, and the City Council adopted, Ordinance 020-16 to repeal Ordinance 010-16 in its
entirety, stating "Ordinance 010-16 is a duplicate ordinance in that it accomplishes the
absorption of the TBD by the City, which act was already accomplished under Ordinance 027-15,
and nothing else"; and
WHEREAS, City staff has reached the conclusion that it was a mistake to adopt Ordinance
020-16 repealing Ordinance 010-16, as the assumption of the TBD by the City was appropriately
accomplished by Ordinance 010-16; and
WHEREAS, on June 13, 2017, pursuant to the provisions of Chapter 36.74 RCW, the
Council adopted Resolution No 037-17, declaring its intent to conduct a public hearing at its
regular council meeting on June 27, 2017, to consider the City's proposed re-assumption of all
rights, powers, immunities, functions, and obligations of the TBD; and
WHEREAS, on June 27, 2016, the Council conducted the public hearing allowing all
persons interested in the City's proposed re-assumption of the TBD the opportunity to be heard;
and
WHEREAS, to document that it is the City Council's intent to assume, pursuant to Chapter
36.74 RCW, the TBD created pursuant to Chapter 36.73 RCW, the City Council has determined
that Ordinance 020-16 should be repealed in its entirety and this Ordinance adopted to assume
the TBD; now, therefore,
THE CITY COUNCIL OF THE CITY OF PORT ORCHARD, WASHINGTON, DO ORDAIN
AS FOLLOWS:
SECTION 1. The City Council hereby adopts the above recitals as findings in support of this
ordinance.
SECTION 2. Ordinance 020-16 Repealed. Ordinance No. 020-16 is hereby repealed in its
entirety.
Ordinance No. 020-17
Page 3 of 4
SECTION 3. Assumption of the Port Orchard Transportation Benefit District. Pursuant to
Chapter 36.74 RCW, having undertaken the required publication and public hearing requirements
of RCW 36.74.020, the City of Port Orchard hereby assumes of all of the rights, powers,
immunities, functions, and obligations of the Port Orchard Transportation Benefit District. The
City is hereby vested with each and every right, power, immunity, function, and obligation
currently granted to or possessed by the TBD. Pursuant to RCW 36.74.030, the governing body
established pursuant to RCW 36.73.020 is abolished and the rights, powers, immunities,
functions, and obligations previously exercised and/or performed by the governing body of the
TBD are hereby assumed by, transferred to and vested by law in the Port Orchard City Council.
SECTION 4. No Existing Right Impaired. Pursuant to RCW 36.74.040, the City's
assumption of the power, rights, functions, and obligations of the TBD does not impair or alter
any existing rights previously acquired by the TBD under Chapter 36.73 RCW or any other
provision of law relating to transportation benefit districts, nor does it impair or alter any
actions, activities, or proceedings validated thereunder, nor any rule, regulation, or order
promulgated thereunder. The assumption of control of the TBD's functions by the City, and the
transfer of rights, powers, functions, and obligations as provided for in Chapter 36.74 RCW, does
not impair or alter the validity of any act previously performed by the TBD or any officer thereof
prior to the assumption of such rights, powers, functions, and obligations by the City pursuant
to this ordinance.
SECTION 5. Rules. Regulations. Pending Business, and Contracts. Pursuant to RCW
36.74.050, all rules and regulations and all pending business before the board of the TBD
transferred to the City must be continued and acted upon by the City; all existing contracts and
obligations of the transferred TBD shall remain in full force and effect and must be performed
by the City; and the transfer of the TBD as authorized under Chapter 36.74 RCW does not affect
the validity of any official act performed by any TBD official prior to the transfer of the TBD to
the City.
SECTION 6. TBD Records. Pursuant to RCW 36.74.060, all reports, documents,
surveys, books, records, files, papers, or other writings relating to the administration of the
powers, duties, and functions of the TBD and available to the transportation benefit district
must be made available to the City.
SECTION 7. Funds. Credits, Appropriations. Federal Grants, or Other Assets. Pursuant to
RCW 36.74.060, all funds, credits, or other assets held in connection with the powers, duties,
and functions of the TBD transferred to the City are hereby assigned to the City; any
appropriations or federal grant made to the TBD for the purposes of carrying out the rights,
powers, functions, and obligations assumed by the City are hereby credited to the City on the
Effective Date of this ordinance for the purpose of carrying out such transferred rights, powers,
functions, and obligations.
SECTION 8. Assumption of Indebtedness. Pursuant to RCW 36.74.070, the City hereby
Ordinance No. 020-17
Page 4 of 4
assumes and agrees to provide for the payment of all the indebtedness of the TBD.
SECTION 9. Amendments to Chapter 3.44 POMC. The amendments to Chapter 3.44
POMC (Transportation Benefit District) necessitated by the adoption of this ordinance, as set
forth in Exhibit A, attached hereto and incorporated herein by this reference, are hereby
adopted in their entirety.
SECTION 10. Severability. If any section, sentence, clause or phrase of this Ordinance
should be held to be unconstitutional or unlawful by a court of competent jurisdiction, such
invalidity or unconstitutionality shall not affect the validity or constitutionality of any other
section, sentence, clause or phrase of this Ordinance.
SECTION 11. Publication. This Ordinance shall be published by an approved summary
consisting of the title.
SECTION 12, Effective Date. This Ordinance shall take effect and be in full force and effect
five days after publication, as provided by law.
PASSED by the City Council of the City of Port Orchard, APPROVED by the Mayor and
attested by the Clerk in authentication of such passage this 27th day of June 2017.
Robert Putaansuu, Mayor
=0 *J -r *. '
! • SEA-Sy
ATTESTED:
Brandy Rfnearson, CMC, City Clerk
Sponsored by:APPROVED AS TO FORM:
Sshafon Cates, City Attorney Bek Ashby, Councilmemb
July 7, 2017
July 12, 2017
PUBLISHED:
EFFECTIVE DATE:
Chapter 3.44
TRANSPORTATION BENEFIT DISTRICT
Sections:
3.44.010 Purpose.
3.44.020 Establishing the transportation benefit district.
3.44.030 Assuming the transportation benefit districtGoverning board.
3.44.040 Functions of the district.
3.44.050 Transportation improvements funded.
3.44.060 Dissolution of district.
3.44.070 Liberal construction.
3.44.080 Annual vehicle license fee.
3.44.010 Purpose.
The purpose of this chapter is to establish a transportation benefit district (TBD)
pursuant to RCW 35.21.225 and Chapter 36.73 RCW, consistent with the public interest,
to provide adequate levels of funding for transportation improvements that preserve,
maintain and, as appropriate, construct or reconstruct the transportation infrastructure
of the city of Port Orchard. (Ord. 027-15 § 1).
3.44.020 Establishing the transportation benefit district.
There is created a transportation benefit district to be known as the Port Orchard
transportation benefit district or “district” with geographical boundaries comprised of
the corporate limits of the city as they currently exist or as they may exist following
future annexations. (Ord. 027-15 § 1).
3.44.030 Assuming the transportation benefit districtGoverning board.
(1) Pursuant to Chapter 36.74 RCW, the original governing body of the transportation
benefit district is abolished and the City of Port Orchard assumes and is vested with all
of the rights, powers, immunities, functions, and obligations granted to or possessed by
the district pursuant to Chapter 36.73 RCW. The governing body of the transportation
benefit district shall be the city council of the City of Port Orchard.
(1) The governing board of the Port Orchard transportation benefit district shall be the
Port Orchard city council, acting in an ex officio and independent capacity, which shall
have the authority to exercise the statutory powers set forth in Chapter 36.73 RCW.
(2) The treasurer of the transportation benefit district shall be the city treasurer.
(3) The city council board shall develop a material change policy to address major plan
changes that affect project delivery or the ability to finance the plan, pursuant to the
requirements set forth in RCW 36.73.160(1). The policy must at least address material
changes to cost, scope and schedule, the level of change that will require governing
body involvement and how the governing body will address those changes. At a
minimum, if the district funding participation in a transportation improvement exceeds
its original cost by more than 20 percent as identified in the district’s original plan, a
public hearing shall be held to solicit public comment regarding how the cost change
should be resolved.
Exhibit A
(4) The city council board shall issue an annual report, pursuant to the requirements of
RCW 36.73.160(2). (Ord. 027-15 § 1).
3.44.040 Functions of the district.
(1) The district, by a majority vote of the city council, its governing board, may authorize
a motor vehicle license fee of up to $20.00 as provided in RCW 82.80.140 for the
purposes set forth in this chapter and as may be subsequently authorized according to
law.
(2) The district may impose additional taxes, fees or charges authorized by RCW
36.73.040 or ad valorem property taxes authorized by RCW 36.73.060, only if approved
by district voters pursuant to RCW 36.73.065.
(3) The district shall have all powers and functions provided by Chapter 36.73 RCW to
fulfill the functions of the district, including the power to issue general obligation bonds
and revenue bonds as provided in RCW 36.73.070, or form a local improvement district
as provided in RCW 36.73.080. (Ord. 027-15 § 1).
3.44.050 Transportation improvements funded.
The funds generated by the transportation benefit district may be used for
transportation improvements that preserve, maintain, operate, construct and
reconstruct the existing transportation infrastructure of the city, consistent with
Chapter 36.73 RCW, as it now exists or is hereafter amended. In addition to the
foregoing, the funds generated may be used for any purpose allowed by law, including
to operate the district and to make transportation improvements that are consistent
with state, regional and local transportation plans and necessitated by existing or
reasonably foreseeable congestion levels, pursuant to Chapter 36.73 RCW. The district
shall select to the extent practicable projects for funding that reduce the risk of
transportation facility failure and improve safety, decrease travel time, increase daily
and peak period trip capacity, improve modal connectivity, provide for economic
development, improve accessibility for persons with special transportation needs, and
preserve and maintain optimal performance of the infrastructure over time to avoid
expensive infrastructure construction and replacement in the future.
All funds raised through the district shall be expended only for such construction,
reconstruction, preservation, maintenance and operation in accordance with the
provisions of Chapter 36.73 RCW as it now exists or is hereafter amended. The funds
expended by the district shall preserve, maintain, operate and improve the city’s
investments in the transportation infrastructure, reduce the risk of transportation
facility failure, improve safety, continue the cost effectiveness of the city’s infrastructure
investments, provide for economic development and continue the optimal performance
of the transportation system.
Additional transportation improvement projects may be funded only after compliance
with the provisions of RCW 36.73.050(2)(b) following notice, public hearing and
enactment of an authorizing ordinance. (Ord. 027-15 § 1).
3.44.060 Dissolution of district.
The district shall be automatically dissolved when all indebtedness of the district has
been retired and when all of the district’s anticipated responsibilities have been
satisfied. (Ord. 027-15 § 1).
3.44.070 Liberal construction.
This chapter is to be liberally construed to accomplish the purpose of establishing a
transportation benefit district with the broadest possible authority under Chapter 36.73
RCW, as it now exists or is hereafter amended. (Ord. 027-15 § 1).
3.44.080 Annual vehicle license fee.1
(1) Annual Vehicle License Fee Established. An annual vehicle license fee of $20.00 is
hereby established. Consistent with RCW 36.73.065 (4)(a)(i), as written or hereafter
amended, to be collected by the Washington Department of Licensing on qualifying
vehicles as set forth in RCW 82.80.140, as written or hereafter amended.
(2) Revenue Restrictions. The revenues received from the $20.00 vehicle license fee
shall only be expended on TBD projects approved by the Port Orchard city council
pursuant to Ordinance No. 027-15 and state law.
(3) Vehicle License Fee Collection Effective Date. The annual vehicle license fee shall
take effect for notices mailed in 2017 for vehicle license renewals due on or after
January 9, 2017, or as soon thereafter as the Washington Department of Licensing is
reasonably able to incorporate collection of the $20.00 fee; but in no event shall the
vehicle license fee be collected sooner than 180 days after approval of the ordinance
codified in this section, pursuant to RCW 36.73.065 and 82.80.140 (4). The vehicle
license fee shall be collected until the ordinance codified in this section is repealed or
amended by the city council of the city of Port Orchard.
(4) Notice to Department of Licensing. The city council directs the city clerk to notify the
Washington Department of Licensing (DOL) of the vehicle license fee established in
subsection (1) of this section and to request that DOL take all steps necessary to
implement collection of this fee in accordance with RCW 82.80.140. (Ord. 019-16 §§ 1 –
4).
1 Code reviser’s note: The fee established by Ord. 019-16 is effective 180 days after
approval of the ordinance, which is January 8, 2017. See POMC 3.44.080(3).
NOTICE OF CITY OF PORT ORCHARD
ORDINANCE
The following is a summary of an Ordinance approved by the Port Orchard City Council at their regular Council
meeting held June 27, 2017.
ORDINANCE NO. 020-17
AN ORDINANCE OF THE CITY OF PORT ORCHARD, WASHINGTON, REPEALING
ORDINANCE NO. 020-16, AND ASSUMING THE RIGHTS, POWERS, FUNCTIONS,
IMMUNITIES, AND OBLIGATIONS OF THE PORT ORCHARD TRANSPORTATION
BENEFIT DISTRICT; PROVIDING FOR SEVERABILITY AND CORRECTIONS; AND
ESTABLISHING AN EFFECTIVE DATE.
Copies of Ordinance No. 020-17 are available for review at the office of the City Clerk of the City of Port Orchard.
Upon written request a statement of the full text of the Ordinance will be mailed to any interested person without
charge. Thirty days after publication, copies of Ordinance No. 020-17 will be provided at a nominal charge.
City of Port Orchard
Brandy Rinearson
City Clerk
Published: Friday, July 7, 2017