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HouseBill2060CERTIFICATION OF ENROLLMENT SUBSTITUTE HOUSE BILL 2060 Chapter 294, Laws of 2002 57th Legislature 2002 Regular Session LOW-INCOME HOUSING PROJECTS EFFECTIVE DATE: 6/13/02 Passed by the House March 11, 2002 Yeas 65 Nays 31 FRANK CHOPP Speaker of the House of Representatives Passed by the Senate March 7, 2002 Yeas 29 Nays 16 CERTIFICATE I, Cynthia Zehnder, Chief Clerk of the House of Representatives of the State of Washington, do hereby certify that the attached is SUBSTITUTE HOUSE BILL 2060 as passed by the House of Representatives and the Senate on the dates hereon set forth. CYNTHIA ZEHNDER Chief Clerk BRAD OWEN President of the Senate Approved April 2, 2002 FILED April 2, 2002 - 10:16 a.m. GARY LOCKE Governor of the State of Washington Secretary of State State of Washington _______________________________________________ SUBSTITUTE HOUSE BILL 2060 _______________________________________________ AS AMENDED BY THE SENATE Passed Legislature - 2002 Regular Session State of Washington 57th Legislature 2002 Regular Session By House Committee on Finance (originally sponsored by Representatives Dunn, Cooper, Haigh, Edmonds and Fromhold) Read first time 02/11/2002. Referred to Committee on . AN ACT Relating to funds for operating and maintenance of1 low-income housing projects and for innovative housing demonstration2 projects; amending RCW 36.18.010, 18.85.540, and 43.185.050; adding a3 new section to chapter 36.22 RCW; adding a new section to chapter4 43.330 RCW; and creating a new section.5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:6 NEW SECTION.Sec. 1.The legislature recognizes housing7 affordability has become a significant problem for a large portion of8 society in many parts of Washington state in recent years. The state9 has traditionally focused its resources on housing for low-income10 populations. Additional funding resources are needed for building11 operation and maintenance activities for housing projects affordable to12 extremely low-income people, for example farmworkers or people with13 developmental disabilities. Affordable rents for extremely low-income14 people are not sufficient to cover the cost of building operations and15 maintenance. In addition resources are needed at the local level to16 assist in development and preservation of affordable low-income housing17 to address critical local housing needs.18 p. 1 SHB 2060.SL NEW SECTION.Sec. 2.A new section is added to chapter 36.22 RCW1 to read as follows:2 (1) Except as provided in subsection (2) of this section, a3 surcharge of ten dollars per instrument shall be charged by the county4 auditor for each document recorded, which will be in addition to any5 other charge authorized by law. The auditor may retain up to five6 percent of these funds collected to administer the collection of these7 funds. Of the remaining funds, forty percent of the revenue generated8 through this surcharge will be transmitted monthly to the state9 treasurer who will deposit the funds into the Washington housing trust10 account. The office of community development of the department of11 community, trade, and economic development will develop guidelines for12 the use of these funds to support building operation and maintenance13 costs of housing projects or units within housing projects that are14 affordable to extremely low-income persons with incomes at or below15 thirty percent of the area median income, and that require a supplement16 to rent income to cover ongoing operating expenses. Sixty percent of17 the revenue generated by this surcharge will be retained by the county18 and be deposited into a fund that must be used by the county and its19 cities and towns for housing projects or units within housing projects20 that are affordable to very low-income persons with incomes at or below21 fifty percent of the area median income. The portion of the surcharge22 retained by a county shall be allocated to very low-income housing23 projects or units within such housing projects in the county and the24 cities within a county according to an interlocal agreement between the25 county and the cities within the county, consistent with countywide and26 local housing needs and policies. The funds generated with this27 surcharge shall not be used for construction of new housing if at any28 time the vacancy rate for available low-income housing within the29 county rises above ten percent. The vacancy rate for each county shall30 be developed using the state low-income vacancy rate standard developed31 under subsection (3) of this section. Permissible uses of these local32 funds are limited to:33 (a) Acquisition, construction, or rehabilitation of housing34 projects or units within housing projects that are affordable to very35 low-income persons with incomes at or below fifty percent of the area36 median income;37 (b) Supporting building operation and maintenance costs of housing38 projects or units within housing projects built with housing trust39 SHB 2060.SL p. 2 funds, that are affordable to very low-income persons with incomes at1 or below fifty percent of the area median income, and that require a2 supplement to rent income to cover ongoing operating expenses;3 (c) Rental assistance vouchers for housing projects or units within4 housing projects that are affordable to very low-income persons with5 incomes at or below fifty percent of the area median income, to be6 administered by a local public housing authority or other local7 organization that has an existing rental assistance voucher program,8 consistent with the United States department of housing and urban9 development’s section 8 rental assistance voucher program standards;10 and11 (d) Operating costs for emergency shelters and licensed overnight12 youth shelters.13 (2) The surcharge imposed in this section does not apply to14 assignments or substitutions of previously recorded deeds of trust.15 (3) The real estate research center at Washington State University16 shall develop a vacancy rate standard for low-income housing in the17 state as described in RCW 18.85.540(1)(i).18 Sec. 3.RCW 36.18.010 and 1999 c 233 s 3 are each amended to read19 as follows:20 County auditors or recording officers shall collect the following21 fees for their official services:22 For recording instruments, for the first page eight and one-half by23 fourteen inches or less, five dollars; for each additional page eight24 and one-half by fourteen inches or less, one dollar. The fee for25 recording multiple transactions contained in one instrument will be26 calculated for each transaction requiring separate indexing as required27 under RCW 65.04.050 as follows: The fee for each title or transaction28 is the same fee as the first page of any additional recorded document;29 the fee for additional pages is the same fee as for any additional30 pages for any recorded document; the fee for the additional pages may31 be collected only once and may not be collected for each title or32 transaction;33 For preparing and certifying copies, for the first page eight and34 one-half by fourteen inches or less, three dollars; for each additional35 page eight and one-half by fourteen inches or less, one dollar;36 For preparing noncertified copies, for each page eight and one-half37 by fourteen inches or less, one dollar;38 p. 3 SHB 2060.SL For administering an oath or taking an affidavit, with or without1 seal, two dollars;2 For issuing a marriage license, eight dollars, (this fee includes3 taking necessary affidavits, filing returns, indexing, and transmittal4 of a record of the marriage to the state registrar of vital statistics)5 plus an additional five-dollar fee for use and support of the6 prevention of child abuse and neglect activities to be transmitted7 monthly to the state treasurer and deposited in the state general fund8 plus an additional ten-dollar fee to be transmitted monthly to the9 state treasurer and deposited in the state general fund. The10 legislature intends to appropriate an amount at least equal to the11 revenue generated by this fee for the purposes of the displaced12 homemaker act, chapter 28B.04 RCW;13 For searching records per hour, eight dollars;14 For recording plats, fifty cents for each lot except cemetery plats15 for which the charge shall be twenty-five cents per lot; also one16 dollar for each acknowledgment, dedication, and description: PROVIDED,17 That there shall be a minimum fee of twenty-five dollars per plat;18 For recording of miscellaneous records not listed above, for the19 first page eight and one-half by fourteen inches or less, five dollars;20 for each additional page eight and one-half by fourteen inches or less,21 one dollar;22 For modernization and improvement of the recording and indexing23 system, a surcharge as provided in RCW 36.22.170.24 For recording an emergency nonstandard document as provided in RCW25 65.04.047, fifty dollars, in addition to all other applicable recording26 fees.27 For recording instruments, a surcharge as provided in section 2 of28 this act.29 NEW SECTION.Sec. 4.A new section is added to chapter 43.330 RCW30 to read as follows:31 The office of community development of the department of community,32 trade, and economic development is directed to conduct a statewide33 housing market analysis by region. The purpose of the analysis is to34 identify areas of greatest need for the appropriate investment of state35 affordable housing funds, using vacancy data and other appropriate36 measures of need for low-income housing. The analysis shall include37 the number and types of projects that counties have developed using the38 SHB 2060.SL p. 4 funds collected under this act. The analysis shall be completed by1 September 2003, and updated every two years thereafter.2 Sec. 5.RCW 18.85.540 and 1999 c 192 s 3 are each amended to read3 as follows:4 (1) The purpose of a real estate research center in Washington5 state is to provide credible research, value-added information,6 education services, and project-oriented research to real estate7 licensees, real estate consumers, real estate service providers,8 institutional customers, public agencies, and communities in Washington9 state and the Pacific Northwest region. The center may:10 (a) Conduct studies and research on affordable housing and11 strategies to meet the affordable housing needs of the state;12 (b) Conduct studies in all areas directly or indirectly related to13 real estate and urban or rural economics and economically isolated14 communities;15 (c) Disseminate findings and results of real estate research16 conducted at or by the center or elsewhere, using a variety of17 dissemination media;18 (d) Supply research results and educational expertise to the19 Washington state real estate commission to support its regulatory20 functions, as requested;21 (e) Prepare information of interest to real estate consumers and22 make the information available to the general public, universities, or23 colleges, and appropriate state agencies;24 (f) Encourage economic growth and development within the state of25 Washington;26 (g) Support the professional development and continuing education27 of real estate licensees in Washington; ((and))28 (h) Study and recommend changes in state statutes relating to real29 estate; and30 (i) Develop a vacancy rate standard for low-income housing in the31 state.32 (2) The director shall establish a memorandum of understanding with33 an institution of higher learning that establishes a real estate34 research center for the purposes under subsection (1) of this section.35 (3) This section expires September 30, 2005.36 p. 5 SHB 2060.SL Sec. 6.RCW 43.185.050 and 1994 c 160 s 1 are each amended to read1 as follows:2 (1) The department shall use moneys from the housing trust fund and3 other legislative appropriations to finance in whole or in part any4 loans or grant projects that will provide housing for persons and5 families with special housing needs and with incomes at or below fifty6 percent of the median family income for the county or standard7 metropolitan statistical area where the project is located. At least8 thirty percent of these moneys used in any given funding cycle shall be9 for the benefit of projects located in rural areas of the state as10 defined by the department. If the department determines that it has11 not received an adequate number of suitable applications for rural12 projects during any given funding cycle, the department may allocate13 unused moneys for projects in nonrural areas of the state.14 (2) Activities eligible for assistance from the housing trust fund15 and other legislative appropriations include, but are not limited to:16 (a) New construction, rehabilitation, or acquisition of low and17 very low-income housing units;18 (b) Rent subsidies;19 (c) Matching funds for social services directly related to20 providing housing for special-need tenants in assisted projects;21 (d) Technical assistance, design and finance services and22 consultation, and administrative costs for eligible nonprofit community23 or neighborhood-based organizations;24 (e) Administrative costs for housing assistance groups or25 organizations when such grant or loan will substantially increase the26 recipient’s access to housing funds other than those available under27 this chapter;28 (f) Shelters and related services for the homeless, including29 emergency shelters and overnight youth shelters;30 (g) Mortgage subsidies, including temporary rental and mortgage31 payment subsidies to prevent homelessness;32 (h) Mortgage insurance guarantee or payments for eligible projects;33 (i) Down payment or closing cost assistance for eligible first-time34 home buyers;35 (j) Acquisition of housing units for the purpose of preservation as36 low-income or very low-income housing; and37 (k) Projects making housing more accessible to families with38 members who have disabilities.39 SHB 2060.SL p. 6 (3) Legislative appropriations from capital bond proceeds may be1 used only for the costs of projects authorized under subsection (2)(a),2 (i), and (j) of this section, and not for the administrative costs of3 the department.4 (4) Moneys from repayment of loans from appropriations from capital5 bond proceeds may be used for all activities necessary for the proper6 functioning of the housing assistance program except for activities7 authorized under subsection (2)(b) and (c) of this section.8 (5) Administrative costs of the department shall not exceed four9 percent of the annual funds available for the housing assistance10 program.11 Passed the House March 11, 2002. Passed the Senate March 7, 2002. Approved by the Governor April 2, 2002. Filed in Office of Secretary of State April 2, 2002. p. 7 SHB 2060.SL