HomeMy WebLinkAboutDISCUSSION re Funding TBD JEFFERSON COUNTY
TRANSPORTATION BENEFIT DISTRICT (JCTBD)
AGENDA REQUEST
TO: JCTBD Board Members
FROM: Mark McCauley, County Administrator
DATE: January 13,2025
SUBJECT: JCTBD Revenue Sources—Resolutions imposing a 1/10' of 1% sales and
use tax and a $20 vehicle fee to support JCTBD operations.
STATEMENT OF ISSUE:
On December 16, 2024, the Jefferson County Board of Commissioners adopted Ordinance No. 10-1216-24
establishing the Jefferson County Transportation Benefit District (JCTBD) for unincorporated Jefferson
County. The JCTBD was established because the Jefferson County Road Fund cannot maintain its existing
level of service without addition revenue.
On January 6, 2025, the JCTBD Board held a Special Meeting to discuss funding options pursuant to RCW
36.73.065. Staff s recommendations were to consider enacting a one-tenth of one percent (0.1%) sales and
use tax and a twenty-dollar($20.00) annual vehicle license fee.
ANALYSIS:
RCW 36.73.065(4)(a)(i) authorizes JCTBD's to enact a $20.00 annual vehicle license fee by a
majority vote of the JCTBD Board.
RCW 36.73.065(4)(a)(v) authorizes JCTBD's to enact a 1/loth of 1% sales and use tax by a majority
vote of the JCTBD Board.
All revenue generated by the JCTBD is restricted to uses authorized by RCW 36.73. Ordinance No. 10-
1216-24, codified in chapter 3.90 Jefferson County Code (JCC) details how these JCTBD funds could be
spent:
3.90.060 Use of funds.
(1) The funds generated by the transportation benefit district may be used for any purpose
allowed by law including to operate the district and to maintain, preserve, acquire,
construct, improve, provide and fund transportation improvements that are consistent with
existing state, regional, and local transportation plans and necessitated by existing or
reasonably foreseeable congestion levels pursuant to chapter 36.73 RCW, as enacted or
subsequently amended.
(2) The transportation improvements funded by the district shall be made in an effort to reduce
the risk of transportation facility failure and improve safety performance, increase
operating efficiency and preserve and maintain optimal performance of the infrastructure
over time to avoid expensive infrastructure replacement in the future by prioritizing
investments in programs that provide:
(a) Transportation System Preservation. Preserve, operate, maintain, and/or improve
existing transportation infrastructures.
(b) Transportation System Safety. Improve the safety performance and security of
those who use the transportation system.
(c) Other Projects. Any change or expansion of these authorized purposes shall be
undertaken only after notice, public hearing and adoption of an authorizing
ordinance in accordance with RCW 36.73.050(2)(b).
Jefferson County's Public Works Department has previously presented to BoCC on multiple occasions, most
recently on December 16, 2024, and explained the need for additional funding to maintain county roads.
Public Works' primary use of JCTBD funds will be for necessary and basic road maintenance, including but
not limited to chip sealing and road striping.
The JCTBD Board held a Special Meeting on Monday, January 6, 2025, and discussed funding options
available under RCW 36.73.
Should the JCTBD Board desire to impose these revenue sources, they may call a councilmanic vote
to approve the proposed resolutions. Staff will then send notice to the Department of Revenue and
Department of Licensing respectively to begin revenue collection as soon as authorized by applicable
law.
The JCTBD Board maintains the ability to consider additional or alternative funding options authorized by
RCW 36.73 in the future.
FISCAL IMPACT:
It is estimated that enactment of the two revenue sources would generate roughly $1.1 million in revenue
which would be used to support operations of the county's Road Fund.
RECOMMENDATION:
Vote to approve resolutions imposing a one-tenth of one-percent (0.1%) and twenty-dollar($20.00) annual
vehicle licensing fee to support JCTBD approved projects.
REVIEWED BY:
b 2,�
Mark McCaul ounty Administrator Date
STATE OF WASHINGTON
COUNTY OF JEFFERSON
TRANSPORTATION BENEFIT DISTRICT
In the Matter of a Resolution Imposing a Sales
and Use Tax of One-Tenth of One Percent RESOLUTION NO.
within the Boundaries of the Jefferson County
Transportation Benefit District for
Unincorporated Jefferson County for the
Purpose of Financing the Costs Associated
with Transportation Improvements In the
District as Authorized by RCW 36.73.065 and
RCW 82.14.0455.
WHEREAS, the Jefferson County Transportation Benefit District (JCTBD) for
unincorporated Jefferson County was established by Jefferson County Board of Commissioners
Ordinance No. 10-1216-24 on December 16, 2024, pursuant to Chapter 36.73, and codified as
Chapter 3.90 of the Jefferson County Code; and
WHEREAS, RCW 36.73.040(3)(a) authorizes transportation benefit districts to impose a
sales and use tax, subject to the provisions of RCW 36.73.065 and RCW 82.14.0455; and
WHEREAS,RCW 36.73.065(4)(a)(v)authorizes transportation benefit districts to impose
sales and use tax in accordance with RCW 82.14.0455 in an amount not exceeding one-tenth of
one percent (0.1%) for a period ten (10) years upon a majority vote of the governing body of the
district for the purpose of financing the transportation improvements of a district; and
WHEREAS, RCW 82.14.055(1) requires that a local sale and use tax change may take
effect(a)no sooner than seventy-five days after the department receives notice of the change and
(b) only on the first day of January, April, or July; and
WHEREAS, Jefferson County's Public Works Department has presented to the Jefferson
County Board of Commissioners on multiple occasions,most recently on September 23,2024,and
again on December 16,2024,regarding the need for additional funds necessary to maintain county
roads; and
WHEREAS, the JCTBD Board held a Special Meeting on Monday, January 6, 2025, and
discussed funding options available under RCW 36.73; and
WHEREAS, the JCTBD Board has carefully considered the financial needs required to
maintain county roads and the imposition of a one-tenth of one percent (0.1%) sales and use tax,
and has determined that the best interests of the district will be served by imposing this tax as
authorized by RCW 36.73.065(4)(a)(v) and RCW 82.14.0455;
NOW, THEREFORE, THE JEFFERSON COUNTY TRANSPORTATION
BENEFIT DISTRICT,WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
Section 1. Whereas Clauses are Findings of Fact. The JCTBD hereby adopts the above"Whereas"
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clauses as Findings of Fact.
Section 2.Imposition of Additional Sales and Use Tax.As authorized by RCW 36.73.065(4)(a)(v),
as well as JCC 3.90.050, as written or hereafter amended, the additional one-tenth of one percent
sales and use tax is hereby established.
Section 3. Additional Sales and Use Tax:
A. Pursuant to RCW 36.73.065 and RCW 82.14.0455, there is hereby imposed an
additional sales and use tax to be collected from persons who are taxable by the
state under Chapters 82.08 and 82.12 RCW upon the occurrence of any taxable
event within the district. The amount of the additional tax shall be one-tenth of one
percent (0.1%) of the selling price, in the case of the sales tax, or the value of the
article used, in the case of the use tax.
B. The tax imposed by this section shall apply for a period of ten (10) years from the
date the tax is first collected within the district and shall thereafter cease to be
imposed unless renewed with the affirmative vote of the voters voting at an election
or a majority vote of the JCTBD Board exercising its authority as the governing
body of the district.
C. The tax imposed by this Section shall be in addition to any other taxes authorized
by law, including but not limited to the sales and use taxes imposed under other
sections of the Jefferson County Code.
D. The revenues received from the tax imposed by this section shall be general
revenues of the JCTBD and shall be used for those transportation-related purposes
in accordance with RCW 36.73 and as set forth in Jefferson County Ordinance No.
10-1216-24 and JCC 3.90.060, as written or hereafter amended, or as otherwise
authorized by law.
E. The imposition of this tax shall remain authorized,and is not impacted by Jefferson
County's decision to assume the JCTBD at any point in the future pursuant to RCW
36.74.
Section 4. Duties of the Clerk and Finance Director. The JCTBD Clerk and the Finance Director
are hereby instructed to submit this Resolution to the Washington State Department of Revenue
and to request that the Department take all necessary steps to implement and collect the tax
imposed by this resolution as soon as possible.
Section 5. Severability. If any section, subsection, sentence,clause,or phrase 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 6. SEPA Categorical Exemption. This resolution is categorically exempt from the State
Environmental Policy Act under WAC 197-11-800(19).
Section 7. Effective Date. This resolution shall take effect and be in full force immediately upon
approval and adoption by the JCTBD Board, subject to implementation of the tax is subject to
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RCW 82.14.055(1).
(SIGNATURES FOLLOW ON THE NEXT PAGE)
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ADOPTED and APPROVED this day of , 2025.
JEFFERSON COUNTY TRANSPORTATION
SEAL: BENEFIT DISTRICT BOARD
Heidi Eisenhour, Chair
Greg Brotherton, 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
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STATE OF WASHINGTON
COUNTY OF JEFFERSON
TRANSPORTATION BENEFIT DISTRICT
In the Matter of a Resolution Imposing an Annual
Vehicle Fee within the Boundaries of the Jefferson RESOLUTION NO.
County Transportation Benefit District for
Unincorporated Jefferson County for the Purpose
of Financing the Costs Associated with
Transportation Improvements in the District as
Authorized by RCW 36.73.065 and RCW
82.80.140.
WHEREAS, the Jefferson County Transportation Benefit District (JCTBD) for
unincorporated Jefferson County was established by Jefferson County Board of Commissioners
Ordinance No. 10-1216-24 on December 16, 2024, pursuant to Chapter 36.73, and codified as
Chapter 3.90 of the Jefferson County Code; and
WHEREAS, RCW 36.73.040(3)(b) authorizes transportation benefit districts to impose a
vehicle fee, subject to the provisions of RCW 36.73.065 and RCW 82.80.140; and
WHEREAS, RCW 36.73.065(4)(a)(i)authorizes transportation benefit districts to impose,
by majority vote of the governing body, a twenty dollar ($20.00) annual vehicle license fee as
authorized in RCW 82.80.140; and
WHEREAS, in accordance with RCW 82.80.140(4), the vehicle license fee may not be
collected until six (6) months after approval of this action by the council; and
WHEREAS, in accordance with RCW 82.80.140(5), the vehicle fee under this section
applies only when renewing a vehicle registration, and is effective upon the registration renewal
date as provided by the Department of Licensing; and
WHEREAS, Jefferson County's Public Works Department has presented to the Jefferson
County Board of Commissioners on multiple occasions,most recently on September 23,2024,and
again on December 16,2024,regarding the need for additional funds necessary to maintain county
roads; and
WHEREAS, the JCTBD Board held a Special Meeting on Monday, January 6, 2025, and
discussed funding options available under RCW 36.73; and
WHEREAS, the JCTBD Board has carefully considered the financial needs required to
maintain county roads and the imposition of the vehicle fee in the amount of twenty-dollars
($20.00), and has determined that the best interests of the district will be served by imposing this
vehicle license fee as authorized by RCW 36.73.065(4)(a)(i) and RCW 82.80.140:
NOW, THEREFORE, THE JEFFERSON COUNTY TRANSPORTATION
BENEFIT DISTRICT,WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
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Section 1. Whereas Clauses are Findings of Fact. The JCTBD hereby adopts the above"Whereas"
clauses as Findings of Fact.
Section 2.Annual Vehicle License Fee Established.An annual vehicle license fee of twenty dollars
($20.00)is hereby established.As authorized by RCW 36.73.065(4)(a)(i),as well as JCC 3.90.050,
as written or hereafter amended, shall hereby be collected by the Washington Department of
Licensing on qualifying vehicles as set forth in RCW 82.80.140, as written or hereafter amended.
Section 3. Revenue Restrictions: The revenues received from the twenty-dollar ($20.00) vehicle
license fee shall only be expended on JCTBD projects approved by pursuant to Ordinance No. 10-
1216-24, and JCC 3.90.060, as written or hereafter amended, or as otherwise authorized by law.
Section 4.Vehicle License Fee Collection Effective Date.The annual vehicle license fee shall take
effect for notices mailed in 2025 for vehicle license renewals due on or after July 13, 2025, 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
one hundred and eighty (180) days after approval of this resolution, pursuant to RCW 36.73.065
and RCW 82.80.140(4). The vehicle license fee shall be collected during the term of the existence
of the JCTBD, including assumption by Jefferson County should that occur, and shall cease to be
collected upon dissolution of the district.
Section 5. Notice to the Department of Licensin. The JCTBD Clerk and Finance Director are
hereby instructed to notify the Washington Department of Licensing(DOL) of the vehicle license
fee established by this resolution and request that DOL take all steps necessary to implement
collection of this fee in accordance with RCW 82.80.140.
Section 6. Severability. If any section, subsection, sentence,clause, or phrase 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 7. SEPA Categorical Exemption. This resolution is categorically exempt from the State
Environmental Policy Act under WAC 197-11-800(19).
Section 8. Effective Date. This resolution shall take effect and be in full force immediately upon
approval and adoption by the JCTBD Board, with implementation of the vehicle fee subject to
RCW 82.80.140 and Section 4 above.
(SIGNATURES FOLLOW ON THE NEXT PAGE)
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ADOPTED and APPROVED this day of , 2025.
SEAL: JEFFERSON COUNTY TRANSPORTATION
BENEFIT DISTRICT
Heidi Eisenhour
Chair
Greg Brotherton
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
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