Form revised June 11, 2010

 

FISCAL NOTE FOR NON-CAPITAL PROJECTS

 

Department:

Contact Person/Phone:

DOF Analyst/Phone:

Legislative

Mike Fong/5-1675

N/A

 

Legislation Title: AN ORDINANCE relating to transportation funding; establishing a Transportation Benefit District within the corporate limits of the City of Seattle, specifying the maintenance and preservation of existing transportation improvements, providing for additional transportation improvements and adding a new Chapter 3.120.

 

 

         Summary of the Legislation:

 

This legislation exercises the authority granted to the City by the State Legislature to create a Transportation Benefit District (TBD) for the purposes of levying and imposing taxes and fees for transportation projects.† In accordance with the parameters outlined in Chapter 36.73 RCW, this ordinance:

 

a)      Establishes the TBD geographic boundaries (same as exiting corporate boundaries of the City of Seattle);

b)      Designates the City Council to act as the Governing Board of the TBD in an ex officio and independent capacity;

c)      Designates the City Finance Director as treasurer of the TBD;

d)     Articulates the intended use of revenues generated from the TBD; and

e)      Delineates specific responsibilities of the TBD, such as issuing an annual report and the authority to impose and levy certain taxes and fees.

 

         Background:(Include brief description of the purpose and context of legislation and include record of previous legislation and funding history, if applicable):

 

With declining City revenues, the City Council finds it necessary and appropriate to establish a TBD to fund transportation projects.† Since 2008, the Seattle Department of Transportationís (SDOTís) revenues from the State Gas Tax has declined by 2%, General Fund has declined 21% and Real Estate Excise Tax has declined by 60%.† The Mayorís proposed 2011-12 biennium budget is expected to reflect additional reductions in transportation funding.† With a growing backlog of basic maintenance and preservation of City infrastructure, the TBD will provide new potential revenue sources to address the funding gap.† In addition to making progress on SDOTís backlog, opportunities may emerge to invest in other mobility enhancements including transit, pedestrian and bicycle projects.

 

         Please check one of the following:

 

_X__†††† This legislation does not have any financial implications. †(Stop here and delete the remainder of this document prior to saving and printing.)

 

 

Notes:† The TBD has the authority to enact or present to voters several different sources of revenue.† This legislation establishes the TBD but does not impose any fees or taxes.† Subsequent action by the TBD related to revenue generation is anticipated and would have fiscal implications.† It is also anticipated that the District would have a contractual relationship with the City of Seattle to utilize the revenues generated for transportation purposes.