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HomeMy WebLinkAboutCONSENT Resolution Rural Schools Reauthorization Act JEFFERSON COUNTY BOARD OF COUNTY COMMISSIONERS CONSENT AGENDA REQUEST TO: Board of County Commissioners (BoCC) Josh Peters, County Administrator FROM: Judy Shepherd,Finance Director DATE: February 9, 2026 SUBJECT: Secure Rural Schools Reauthorization Act of 2025 (S. 356) STATEMENT OF ISSUE: Jefferson County made a commitment in past years to the Road Fund to transfer a portion of federal Payment in Lieu of Taxes (PILT) for the difference that federal Secure Rural Schools (SRS) or Federal Timber revenues did not contribute at full funding of$750,000. Adopted on July 22, 2024, Resolution 41-0722-24, at Section 7, provided that, "As funding allows, the BoCC intends to transfer a portion of PILT to the Road Fund to make up for as much as possible of any amount below $750,000 in 2025 that Secure Rural Schools or Federal Timber revenues contribute to the Road Fund." The 2024-2025 Mid-biennium Review and Modification budgeted$352,285, and the 2025 Budget Appropriation for 3rd Quarter increased the budget$286,199,totaling $638,484 in General Fund(GF)transfer to the Road Fund to reach the $750,000 commitment. Public Law 119-58,the Secure Rural Schools Reauthorization Act of 2025, was signed into law on December 18, 2025 and was codified in 16 U.S.C. chapter 90. Eligible counties are expected to receive SRS back payments for 2024 in 2026. The reauthorization for 2025 is scheduled to be received as normal in 2026. ANALYSIS: In 2025,the GF transferred a total of$638,484 total to the Road Fund(between two transfers: May 20 and November 4),which brought the Road Fund support to $750,000, due to the 2025 payment for SRS being only $111,516. Public Law 119-58,which reauthorizes SRS for 2024 and 2025,mandates the return of back payments for 2024 and 2025. This back payment for 2024 SRS,to be paid in 2026,will be deposited to the Road Fund. We do not know for certain what that amount will be. Whatever amount up to $638,484 in 2024 SRS funds will be transferred back to the GF to reimburse the GF for the transfer(s)made in 2025 to augment 2024 SRS received in 2025. This transfer will occur after funds are deposited in the Road Fund. 1 Public Law 119-58 payments for each year are received in the following year. As such,2023 funds were received in 2024, and 2025 funds are scheduled to be received in 2026. The reauthorization for 2024 payments is the only portion of this issue to be addressed. FISCAL IMPACT: Upon receipt with budget authority,the Road Fund shall transfer up to $638,484 to the General Fund. REVIEWED BY: Jo' i. Peters, County Administrator Date 2 STATE OF WASHINGTON County of Jefferson In the Matter of Secure Rural Schools Reauthorization Act of 2025 (Public Law 119- RESOLUTION NO. 58) and Reimbursement of PILT Funds from Road Fund to General Fund WHEREAS, the Jefferson County Public Works Road Fund historically received approximately $1.25 million in dedicated funding from the federal Secure Rural Schools (SRS) program up until 2011; and WHEREAS, the SRS program and the federal Payment in Lieu of Taxes(PILT)program have been demonstrated to have an inversely proportional relationship, and the loss of SRS funding for the Road Fund resulted in a gain in PILT funding for the General Fund; and WHEREAS, Jefferson County made a commitment in 2024,through Resolution 41-0722- 24,to transfer a portion of PILT to the Road Fund to make up for as much as possible of any amount below$750,000 in 2025 for the difference that SRS or Federal Timber revenues contribute to the Road Fund; and WHEREAS, Public Law 119-58 was signed into law on December 18,2025 and was codified in 16 U.S.C. chapter 90: Secure Rural Schools Reauthorization Act of 2025; and WHEREAS,the 2024-2025 Mid-biennium Review and Modification,through Resolution 79-1216-24R, identified a transfer from the General Fund to the Road Fund for$352,285; and WHEREAS, the Road Fund only received$111,516.59 in 2025 for 2024 SRS; and WHEREAS, the 2025 Budget Appropriation for 3rd Quarter,through Resolution 71-1020- 25R, increased the Road Fund budget by $286,199,thereby totaling $638,484 in 2025 to reach the $750,000 commitment through Resolution 41-0722-24; and WHEREAS, the General Fund transferred a total of$638,484 to the Roads Fund in 2025 through actions on May 20, 2025 and November 4, 2025; NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF JEFFERSON COUNTY,STATE OF WASHINGTON: Section 1. Whereas Clauses Adopted as Findings of Fact. The Jefferson County Board of Commissioners hereby adopts the above"Whereas" clauses as Findings of Fact. Section 2. Purpose. Jefferson County Board of Commissioners hereby authorizes the Roads Fund to transfer up to $638,484 to the General Fund for funds paid in 2025 following the back payment receipt of 2024 SRS funds. Budget authority shall be established by budget appropriation. Section 3. Severability. If any section, subsection, sentence, clause, phrase or section of this resolution or its application to any person or circumstance is held invalid, the remainder of this resolution or its application to other persons or circumstances shall be fully valid and shall not be affected. Section 4. Effective Date. This resolution is effective upon adoption. Section 5. SEPA Categorical Exemption. This resolution is categorically exempt from the State Environmental Policy Act under WAC 197-11-800(19). APPROVED this 9th day of February,2026. JEFFERSON COUNTY BOARD OF SEAL: COUNTY COMMISSIONERS Greg Brotherton, Chair Heidi Eisenhour, Member Heather Dudley-Nollette, Member ATTEST: APPROVED AS TO FORM: Carolyn Gallaway, CMC Date Philip C. Hunsucker, Date Clerk of the Board Chief Civil Deputy Prosecuting Attorney Page 2 of 2