December 7, 2020 Hot topics View from the hill AWC’s 2020 Tax and User Fee Survey report now available Wrapping up 2020 and looking ahead to a brighter year AWC’s Tax and User Fee Survey (TUFS) is the state’s premier 2020 has been a lot for everyone. Here at AWC, we are in awe source for information on municipal taxes, rates, and fees. It’s of the work that city officials around the state are doing to an integral comparative tool for municipal budget cycles and a help their communities. In planning for brighter days ahead, resource for city policymaking. This year, our survey boasts the we’re looking towards the new year and legislative session highest response rate in nearly ten years. Read the report and with a few action items in store. Learn when the Governor parse the data. will release his budget proposals, read about the Legislature’s preparations for an all-virtual session, and get some resources Register for City Action Days and reminders as you prepare for the coming year. February 10-11 | Online There’s no better way to engage in the legislative process than at City Action Days! Held annually during the legislative Things you can do session, this popular event allows you the opportunity to Contact congressional leaders to ask for COVID-19 relief interact with colleagues as you educate statewide decision- NLC is calling on city leaders to ask U.S. Senators to makers about city legislative priorities. The conference will be approve budget aid for local governments. Due to ongoing held online and feature informative live and recorded sessions, daily COVID-19 aid negotiations, now is the time to urge networking opportunities, and interaction with legislators. Congressional leaders and the administration to agree on a Register today! broader deal to support the economy, workers, businesses, and state and local governments. NLC joined a new coalition AWC joins coalition advocating for Tax Increment of more than 200 major public- and private-sector groups to Financing in Washington state implore Congress to pass additional COVID-19 economic relief AWC helped establish the TIF for Jobs Coalition which before the end of the year. advocates for new, stable funding sources for communities using Tax Increment Financing (TIF). The coalition is made up Join our Dec. 14 webinar: Building your jurisdiction's of a group of associations advocating to adopt a statewide broadband toolkit TIF program to promote economic development and improve Sustainable and reliable infrastructure helps build strong infrastructure in communities. Learn about this effort and read economies and equitable communities. The COVID-19 our new TIF fact sheet. pandemic has only increased the pressing need for statewide high-speed broadband internet infrastructure. This webinar will provide city officials an insider’s look into Media time major broadband-related initiatives, updates from the State Short on time? Watch this brief video to glean our 5 Broadband Office's recent efforts to increase broadband legislative priorities for 2021 access, and opportunities for local governments to expand broadband access in their communities. Register now! AWC presents to the Senate Local Government Committee Catch this TWV video where AWC Government Relations What you need to know Director Candice Bock presents to the Washington Senate Affordable housing: Update to affordable housing building Local Government Committee about the impacts of COVID-19 standard out for comment. on our local communities. You’ll learn about fiscal impacts cities are facing, budget outlooks in cities, where cities are Budget & finance: December 15 deadline for COVID relief spending money right now, and the funding response. reimbursement requests. November Revenue Review now available.

continued View from the Hill Economic development: State Wrapping up 2020 and looking ahead to a brighter 2021 announces new funding round for small Contact: Candice Bock businesses. 2020 has been a lot for everyone. Here at AWC, we are in awe of the work that city Energy: Department of Commerce officials around the state are doing to help their communities. You have all worked releases Electric and Natural Gas Utilities hard under difficult and unprecedented circumstances to keep your communities Economic Impact Survey Analysis safe and moving forward. Your selfless service is inspiring. We wish you a safe holiday Report. season and a bright 2021. Commerce soliciting comments on 2021 State Energy Strategy. Governor’s budget proposals expected later this month The Governor is statutorily required to submit proposed budgets in the month of General government: State launches December. We expect the Governor’s office to release its budget proposals the week COVID-19 exposure notification tool. of December 14-18. The following week, AWC staff will review the proposals and HR & labor relations: Proposed bill to report back to you about the significant impacts to cities. The budget proposals can change employment standards during shed light on the size of the challenges and possible trends for new revenues or health emergencies. budget reductions. However, the Governor’s proposals are not the final word on state spending. The Legislature will consider the proposals and then develop their own 2021 workers’ compensation rates budgets during the 2021 session. finalized. Land use & planning: Request for Preparing for 2021 – The online session feedback on early GMA reform bills. The 105-day legislative session kicks off on January 11 as a primarily web-based session. Right now, the House and Senate are finalizing their committee structures, Open government: Expect OPMA assignments, and plans for meeting online. We know that both the House and Senate proclamation extension with further in- will hold their committee meetings in a virtual format, and it will be the only way the person restrictions. public can participate. The Capitol Campus buildings will remain closed to the public. Cities received over 130,000 public While some legislators may opt to work in Olympia and others may work remotely record requests in 2019. from their districts, we encourage you to make plans to connect with them regularly Public safety & criminal justice: 2021 during the session via online meetings, phone calls, text, and email. Don’t wait – Legislative session to see ambitious legislators’ calendars fill up fast! If you’ve been unable to participate in advocacy in police reform agenda. the past due to difficulties in travelling to Olympia, this is your opportunity to get Transportation: Senate Transportation involved from afar. Committee reviews transportation Side note: Some legislators may be reaching out to their cities looking to use office revenue threats, COVID-19 impacts. space, as they may not have adequate room or internet access in their home or OFM releases November Transportation district offices. They may contact you to ask if they can work from city hall. If this is Revenue Forecast. the case in your city, keep in mind your legislator will need 24/7 access with internet connectivity. Additionally, it could be a great local partnership and relationship- Grade Crossing Protective Fund now building opportunity. accepting applications for funding Register for City Action Days AWC’s City Action Days (https://wacities.org/events-education/conferences/city- action-days) conference is also going online. It will be held February 10-11 and will feature the same great content on hot legislative issues from legislative speakers. Even though you can’t attend in person, it is still important to make plans to meet with your legislators. In normal years, many who attend the conference plan dinners and get-togethers with their legislators. We encourage you to keep those traditions going – just move them to a virtual format. For example, you might consider hosting a virtual dinner or coffee.

continued 2 AWC Legislative Bulletin Resources and reminders A couple of great resources for tracking the virtual legislative happenings are on the Legislature’s website (https://leg.wa.gov/) and TVW (https://www.tvw.org/). The legislative website provides schedules and agendas for committee meetings; and TVW provides gavel to gavel coverage of the committee meetings and floor action. Additionally, AWC’s Legislative Bulletin is published weekly during session. We use it to regularly highlight bills of interest and information about relevant meetings. As you meet with your legislators, please share the AWC 2021 City Legislative Priorities. We have also produced fact sheets for each priority (https://wacities. org/advocacy/City-Legislative-Priorities) and we encourage you to use them when discussing the issues with your legislators and residents. Don’t forget about the PDC and any lobbying reporting obligations. AWC has complied some resources (https://wacities.org/data-resources/articles/2020/06/25/ pdc-guidelines-on-lobbying-activity) to help you determine if and when you should report. If you need any help or additional information in navigating the legislative process, please feel free to reach out to the Government Relations team (https://wacities.org/ about-us/contact-us#advocacy). We are always happy to help. On behalf of everyone at AWC, thank you for your service and best wishes for a safe and happy holiday season! Affordable housing Update to affordable housing building standard out for comment Contact: Carl Schroeder, Shannon McClelland The Department of Commerce and its advisory committee (https://deptofcommerce. app.box.com/s/5k24h6usu6v2jgztiq1zey9s8tqo5wnm) are seeking your input on the draft of the fourth iteration of the Evergreen Sustainable Development Standard (ESDS). ESDS is a green building performance standard required of all affordable housing projects receiving capital funds from the state Housing Trust Fund program. For this update, some criteria remain unchanged, others tweaked, and other parts of the standard have been completely reworked. Additionally, new criteria have been added. Since its inception in response to RCW 39.35D.080, ESDS has been modified and updated through a process of collaboration with affordable housing stakeholders, housing developers, and local governments administering capital funding programs. To comment on the draft ESDS (https://deptofcommerce.app.box.com/s/ n0ydxclvy5n1fmjt66pya5cer02ywwys): • Send your written comments ([email protected]) no later than January 8 or • Attend the public hearing from noon to 4 pm on January 6: • Call in option: Dial +1 (253) 215-8782 • Meeting ID: 836 2199 6056 • Passcode: 372133 • Online option (https://wastatecommerce.zoom.us/j/83621996056?pwd=amwr WFBKd2lsQWFsV0lNWi9xTmE2dz09)

continued AWC Legislative Bulletin 3 Budget & finance December 15 deadline for COVID relief reimbursement requests Contact: Candice Bock, Jacob Ewing The deadline to request reimbursement from the Department of Commerce for Coronavirus Relief Funds (CRF) is Tuesday, December 15. The deadline to receive expended funds was November 30. December 15 is a hard deadline for requesting reimbursement and we do not expect Commerce to accept requests beyond this date. For additional information regarding the reimbursement process or what expenses may be eligible for reimbursement, please review the following websites and articles: • Department of Commerce – Local government Coronavirus Relief Funds (https:// www.commerce.wa.gov/serving-communities/local-government/covid-resiliency- grants/) • Coronavirus Relief Fund allocations (https://deptofcommerce.app.box.com/s/ cq8de48g63pcdqm6dy59igbnch1zv4ph) • Coronavirus Relief Funds for local governments eligible cost test (https:// deptofcommerce.app.box.com/s/1kmh60zi1rk9sf8crq4mh9svi9r7vdya) • Commerce issues additional guidance for CARES CRF reimbursements (https:// wacities.org/news/2020/08/07/commerce-issues-additional-guidance-for-cares- crf-reimbursements) For any further questions or concerns, please contact Tony Hanson (tony.hanson@ commerce.wa.gov), Deputy Assistant Director – Local Government Division, Department of Commerce. AWC’s 2020 Tax and User Fee Report now available Candice Bock, Maggie Douglas AWC’s Tax and User Fee Survey (TUFS) is the state’s premier source for information on municipal taxes, rates, and fees. This comprehensive data source serves as an integral comparative tool for municipal budget cycles and a resource for city policy making. This year, our TUFS report boasts the largest response rate in nearly ten years. 208 cities responded to the municipal taxes and fees TUFS. These cities represent 68% of the state’s incorporated population. 179 cities responded to the planning and development fees survey, accounting for 63% of the state’s incorporated population. 188 cities responded to the utility rates and fees survey, representing 86% of all cities owning/operating their own utilities and representative of 59% of the state’s incorporated population. The 2020 data analysis includes an enhanced comparison tool of “cluster analysis,” a statistical approach that allows cities to be sorted into mutually exclusive groups based on population, five-year population growth, five-year sales tax growth, assessed value per capita (as of 2018), and five-year assessed value growth. More information regarding the Tax and User Fee Survey is available here. The most recent survey data is available for members and associate members. Corresponding data visualizations are available for the general public via Tableau. View the full report here (https://wacities.org/docs/default-source/resources/tufs202099ee17a9-1026- 42c6-8b73-584cf1c9e539.pdf?sfvrsn=6984234f_3).

continued 4 AWC Legislative Bulletin November Revenue Review now available Contact: Candice Bock, Maggie Douglas The Economic Revenue Forecast Council’s (ERFC) November Revenue Review highlights continued but modest revenue growth since the September quarterly review but underscores the threat of increased COVID-19 infection rates to the state’s economy. The November revenue review does not assume a new stimulus package from the federal government, nor does the economic forecast consider the new state restrictions. Furthermore, the state’s employment growth is slower than projected as of the September forecast, and there are fewer job openings in the last two months than previously expected. Washington residents have reduced consumer spending and personal income is lower than projected. Although the pandemic-related threats to the economy have grown, Washington’s revenue collections remain constant. The state’s REET collections have spiked far above the September forecast, and assessed values of existing properties is expected to rise in the coming year. Cannabis sales have increased by over $10 million in the last biennium and are anticipated to grow by an additional $20 million during the 2021-2023 biennium. In total, the state’s general fund is projected to be roughly $600 million higher than what was projected for the 2019-21 biennium. The 2021-23 general fund is approximately $300 million higher than September projections. For more information regarding the November forecast, as well as updates to the state’s fiscal growth factor, visit the ERFC’s revenue review meeting materials (https:// erfc.wa.gov/sites/default/files/public/documents/forecasts/rev20201118.pdf).

continued AWC Legislative Bulletin 5 Economic development AWC joins coalition advocating for Tax Increment Financing in Washington state Contact: Candice Bock, Jacob Ewing In preparation for the upcoming legislative session, AWC helped establish the TIF for Jobs Coalition which advocates for new, stable funding sources for communities using Tax Increment Financing (TIF). The TIF for Jobs Coalition (https://wedaonline.org/tif-for-jobs) is made up of other associations and advocacy groups such as the Washington Ports Association, the Washington Economic Development Association (WEDA), and the Washington Chapter of the Commercial Real Estate Development Association. The coalition is advocating for the adoption of a statewide TIF program to promote economic development and improve infrastructure in communities around the state. Tax Increment Financing is an economic development tool that captures a property’s appreciated value by using its increased property taxes to finance infrastructure improvements that benefit a designated area. Local jurisdictions that have utilized TIF reported improved public infrastructure, increased economic activity, and local job growth. Unfortunately, Washington state is only one of two states that do not allow the use of TIF. Previous attempts to enact TIF programs in Washington were struck down due to constitutional constraints. The TIF for Jobs Coalition is taking a new approach to enacting TIF in Washington. The Coalition’s approach to TIF allows development to pay for much-needed public infrastructure without impacting the state’s budget. We are excited to work with Rep. Davina Duerr (D–Bothell) to introduce legislation for 2021. Read our TIF legislative fact sheet (https://wacities.org/docs/default-source/ legislative/factsheettif2021.pdf?sfvrsn=6e82234f_0) for more details. The coalition will host a Legislative Advocacy Campaign virtual kick off on Monday, December 14 at 9 am. State announces new funding round for small businesses Contact: Candice Bock, Jacob Ewing Last week, the state announced a third funding round for small businesses impacted by the COVID-19 pandemic. Applications must be submitted by Friday, December 11. The newest funding round will allow small businesses to apply for up to $20,000 in Working Washington grants. Grants can be used to cover expenses or costs incurred due to COVID-19 and that were necessary to continue business operations. Priority will be given to businesses with annual revenues of $5 million or less and small businesses in sectors severely impacted by recent public health measures. These businesses could include full-service restaurants, fitness centers, bowling alleys, and music and event venues. Certain nonprofits may also be eligible if they have a primary business activity that falls under an impacted sector. Information and applications for this third round of Working Washington grants are available through an online portal (http://startup.choosewashingtonstate.com/ working-washington-round-3/). Business owners who have questions about the grants can email [email protected] or call (360) 725-5003.

continued 6 AWC Legislative Bulletin Energy Commerce soliciting comments on 2021 State Energy Strategy Contact: Logan Bahr, Maggie Douglas The Department of Commerce (Commerce) is soliciting public comment and holding a public hearing on its draft of the 2021 state energy strategy. The 2021 State Energy Strategy (https://www.commerce.wa.gov/growing-the- economy/energy/2021-state-energy-strategy/) details both short- and long-term actions needed to reduce greenhouse gas emissions and reach the state’s energy goals. Washington’s energy goals, updated in 2019, declare that a successful state energy strategy must balance the following goals: • Maintain competitive energy prices that are fair and reasonable for consumers and businesses and support our state's continued economic success; • Increase competitiveness by fostering a clean energy economy and jobs through business and workforce development; and • Meet the state's obligations to reduce greenhouse gas emissions. Public comment on the draft document will be accepted through Friday, December 11 via email ([email protected]). Commerce will also hold a two- part virtual public hearing on Monday, December 7. Members of the public who wish to testify are encouraged to pre-register (https://rossstrategic.zoom.us/webinar/ register/WN_nPPbBZYHTlqCvP4aal81Lw) before December 7. The hearing will also be streamed online here (https://www.youtube.com/channel/UCK7B9Uq7XIfXk0B_ AIm1k2w). The final strategy will be submitted to the Legislature and Governor Inslee by December 31. General government State launches COVID-19 exposure notification tool Contact: Sharon Swanson, Jacob Ewing On December 1, the Washington Department of Health launched a COVID-19 exposure notification tool called WA Notify. WA Notify is a simple, anonymous notification tool to help alert users if they have spent time near another WA Notify user who later tests positive for COVID-19. Here’s how it works: • When two people have the app installed on their smartphones and are near each other, their phones exchange random codes using Bluetooth. • The shared code is anonymous and contains no location tracking or personal information. • The app is designed to work in other states that use similar notification tools. AWC asks that cities help spread the word about WA Notify. The Department of Health launched a website (https://www.doh.wa.gov/Emergencies/COVID19/ WANotify) with instructions on activating the notification tool, an explainer video, and frequently asked questions. The website and video are available in several languages. The more people who use the exposure notification tool, the greater the benefit for all communities. Just like wearing masks, physical distancing, and keeping gatherings small, WA Notify is another tool to help prevent the spread of COVID-19.

continued AWC Legislative Bulletin 7 HR & labor relations Proposed bill would change worker safety standards during health emergencies Contact: Candice Bock, Matt Doumit A proposal expected for the 2021 session would require the Department of Labor and Industries (L&I) to develop new standards for workplace infectious diseases and establish new employment standards during declared public health emergencies. The Health Emergency Labor Standards Act (HELSA) is being drafted by Sen. Karen Keiser (D–Des Moines), Chair of the Senate Labor & Commerce Committee. Though still an early draft, some version of the bill is expected to be introduced in the 2021 session. The draft bill directs L&I to establish new safety standards in workplaces where workers are exposed to contagious and infectious diseases. While the bill does not require specific rules, it does outline a number of possible standards L&I could pursue, including: • A new presumption of exposure for certain medical and emergency services occupations; • Requiring infection risk assessments and control procedures; • Modifying workplaces and practices; • Requiring employers to provide (and employees to use) personal protective equipment (PPE); and • Requiring no-cost medical services for certain infected employees. The current bill draft does not require a public health emergency declaration to trigger L&I's new infectious disease safety standards. HELSA also establishes new statutory employment standards that are triggered when the Governor or President declares a public health emergency, including: • PPE use: Employers must accommodate employees’ voluntary use of PPE or provide PPE if the employer requires its use. • Workforce infection reporting: Large employers (50+ employees) must report to L&I if 10% or more of their workforce gets infected. • Frontline hazard pay: Employers of certain frontline workers must pay an additional 25% of the state minimum wage per hour. Frontline employees include first responders, corrections officers, health care workers, facility maintenance, and transit workers, among others. • Additional paid sick leave: Employers must provide exposed or infected employees who cannot work or telework up to 80 hours of additional paid sick leave. • Childcare leave: Large employers must provide employer-paid childcare leave when schools and childcare centers are closed. The bill gives employers a dollar-to-dollar state B&O tax credit to pay for additional paid sick leave or childcare leave if there is no federal assistance. It also protects employees from retaliation or discrimination for raising workplace infection control concerns and lowers the threshold for paid family or medical leave during public health emergencies. AWC has shared with the proponents of the proposal that city employers do not pay state B&O taxes so we would need to explore a different mechanism to offset the costs of these requirements. The proposal is not limited to COVID-19 and would apply to any future public health emergency. Several provisions reflect current COVID-19 policies implemented by executive action. Other policies are new and could significantly add to city costs during future health emergencies or even mitigating seasonal upticks in illness. AWC has not yet taken a position on the proposal but will continue to follow it as it develops. continued 8 AWC Legislative Bulletin 2021 L&I workers compensation rates finalized Contact: Candice Bock, Matt Doumit As we noted in October (https://wacities.org/advocacy/news/advocacy- news/2020/10/02/2021-l-i-rates-announced), the Department of Labor & Industries (L&I) announced a proposal to increase workers compensation insurance rates for firefighters and law enforcement for the fourth year in a row. On November 30, L&I finalized the rates (https://lni.wa.gov/news-events/ article/?id=20-046) with no significant changes from the October proposal. While the new rate increases are moderate, they are on top of higher-than-normal rate adjustments for the public safety sector in recent years. There is some good news, as rates for city public works and parks employees continued to decrease slightly. The finalized 2021 rates for all job classes can be found here (https://lni.wa.gov/ insurance/rates-risk-classes/rates-for-workers-compensation/). The following rates are worker types pertinent to municipalities:

2021 % change from 4-year cumulative Worker type 2020 change City public works and parks -1% -6% County streets and parks 1% 4% City/county law enforcement 6% 29% Firefighters 5% 18% While individual work class rates did see some changes, the 2021 rates mark the fourth straight year there has been either no increase or a decrease in the statewide average premium rates. L&I Director Joel Sacks stated that L&I wanted to keep 2021 rates steady because of the pandemic, but noted that increases would be needed in the future. Premiums are determined by rates based on the type of work performed, and then multiplied by the jurisdiction’s experience factor. A jurisdiction’s experience factor can go up or down based on claim history and costs. Members of AWC’s Retro Program can view their jurisdiction’s rate online via the RiskConsole portal.

continued AWC Legislative Bulletin 9 Land use & planning Request for feedback on early GMA reform bills Contact: Carl Schroeder, Shannon McClelland In addition to the University of Washington-facilitated Growth Management Act (GMA) reform stakeholder process and omnibus bill, which we reported in November, there are two other efforts underway to add new responsibilities on growth planning. Rep. Debra Lekanoff (D–La Conner) is proposing a bill focused on salmon recovery and a net ecological gain standard. Futurewise, an environmental advocacy group, is proposing a climate-focused bill. These draft bills have been revamped since the proposals surfaced last session and we are requesting city feedback. In both cases, there is significant interest from cities to make progress on these issues. If there are elements of either bill that are problematic, please suggest workable alternatives. The salmon/net ecological gain bill (https://wacities.org/docs/default-source/ legislative/draftbillsalmonnetecologicalgain8cb90b8b-1442-43c0-8629- 6ba10dd0e82e.docx?sfvrsn=a480234f_3) proposes the following changes: • Adds definitions for “net ecological gain”, “compensatory mitigation ratio”, “mitigation hierarchy”. • Adds salmon recovery as a goal of the GMA (there is no longer a proposed stand- alone salmon recovery element). • Requires comprehensive plans be consistent with the appropriate elements of applicable regional salmon recovery plans adopted under the Endangered Species Act. Of particular interest, there is a belief that cities participated in creating these plans and should be taking actions to implement them. We are interested in detail about the engagement of your city in your regional salmon recovery efforts and any examples of how land use decisions are affected. • Directs Washington Department of Fish and Wildlife (WDFW) to adopt rules for what comprehensive plan consistency with salmon recovery plans looks like. • Directs WDFW to monitor progress in each jurisdiction toward achievement of net ecological gain / goals set forth in the salmon recovery plans, and report to the Governor and Legislature every two years. • Adds mitigation hierarchy / compensatory mitigation ratios into the development regulations adopted under the GMA. • Adds the mitigation hierarchy / compensatory mitigation ratio into various statutes, including the Water Pollution Control Act and Shoreline Management Act. Please provide feedback on this proposal as soon as possible.

continued 10 AWC Legislative Bulletin The climate bill (https://wacities.org/docs/default-source/legislative/ draftbillclimatec740b381-0c96-4e3e-ae8f-01691adb54b4.docx?sfvrsn=a580234f_3) proposes the following changes: • Adds climate change resiliency goal and element. • A new greenhouse gas reduction sub-element only applies to the ten urban counties (Benton, Clark, Franklin, King, Kitsap, Pierce, Snohomish, Spokane, Thurston, and Whatcom). • Directs the Department of Ecology to set greenhouse gas reduction targets. • Directs Ecology to approve greenhouse gas reduction sub-element plans. • Directs the Department of Commerce to create a model climate change element. • Requires regional coordination. • Directs the Department of Transportation to compile vehicle miles traveled per jurisdiction. Please provide feedback on the climate proposal by Friday, December 11. Finally, a new version of the UW GMA reform omnibus bill (https://wacities.org/docs/ default-source/legislative/uwgmaomnibusv41207207f562157-13ab-4db8-8a79- c6729ca0966e.pdf?sfvrsn=2c85234f_3) is out. Highlighted yellow text shows all the changes being considered. Highlighted text in any color but yellow is the newest language from various stakeholders. Please provide feedback on these changes by Monday, December 14.

continued AWC Legislative Bulletin 11 Open government Expect OPMA proclamation extension with further in- person restrictions Contact: Candice Bock, Jacob Ewing The current emergency proclamation modifying the Open Public Meets Act (OPMA) and the Public Records Act (PRA) is set to expire at midnight on Monday, December 7. AWC expects that modifications to the OPMA and PRA will continue to be extended. However, with the current restrictions and increased COVID transmission rates, we anticipate that the in-person attendance option may be scaled back. As with past extensions to this emergency proclamation, the extension will likely be issued late Monday, December 7, or early Tuesday, December 8. Until the new proclamation is issued, cities should continue to follow the guidelines set forth in emergency proclamation 20-28.13 (https://www.governor.wa.gov/sites/default/files/ proclamations/proc_20-28.13.pdf). Cities report over 130,000 public record requests in 2019 Contact: Candice Bock, Jacob Ewing The 2019 public records data reported by public agencies to the Joint Legislative Audit & Review Committee (JLARC) is now available. RCW 40.14.026 requires agencies with public records costs that exceed $100,000 annually to report to JLARC on a variety of performance metrics including information on cost, staff time, and response time. Cities that spend less than $100,000 annually on public records have the option to report their data to JLARC. Cities made up 65 of the 207 reporting agencies. Below are highlights from the initial report. JLARC will provide a full report and dashboard in January 2021. Total requests received by cities: 130,859 • Average: 2,013 • Median: 1,086 Total requests closed within five days: 78,973 • Average: 1,215 • Median: 683 Estimated staff time responding to requests: 462,830 hours • Average: 7,120 hours • Median: 1,686 hours Estimated total costs managing public records (staff, system, and service costs): $53,710,242 • Average: $826,311 • Median: $174,037 Estimated expenses recovered: $77,770 • Average: $1,196 • Median: $256 Total claims against reporting cities: 20 Estimated litigation costs: $6,263,967

continued 12 AWC Legislative Bulletin Public safety & criminal justice 2021 Legislative session to see ambitious police reform agenda Contact: Sharon Swanson, Jacob Ewing During the upcoming legislative session, lawmakers plan to address several areas of police reform. AWC has been involved in conversations with legislators, law enforcement, other associations, and state agencies regarding police reform. We expect that the following issues will be addressed in legislation during the 2021 session: • Independent investigations: I-940 took effect this year. While the law aimed to eliminate roadblocks for investigating fatal use of force incidents and removing the requirement that malice be shown before charging officers for unlawful use of deadly force, the law did not include accountability for police departments who fail to comply with each aspect of the law. A Gubernatorial task force met in late 2020 to discuss the possibility for a new independent state agency to provide independent investigations when law enforcement is involved with fatal use of force incidents. There is potential for a standalone entity to also lead prosecutions in jurisdictions where local prosecutors might have an actual or apparent conflict of interest. • Decertifying officers: In Washington, the statute that addresses decertification of an officer, in effect stripping the officer of their credentials, is limited and vague. The result is confusion and inconsistency as well as few departments pursuing decertification of officers, all of which adds to the eroding of public trust. Legislators are looking to simplify the process and include use of force violations as grounds for which an officer may be decertified. • Discipline arbitration: The use of private arbitrators by police departments could be reduced or restricted. Additionally, the ability of an arbitrator to reinstate an officer who was fired or overrule discipline handed down by police chiefs may be removed or limited. • Police tactics: It is expected that legislators will take action to reduce or ban the use of chokeholds and neck restraints by officers, restrict when officers can fire into a moving vehicle, eliminate the use of no-knock warrants, and curtail the purchase of military-grade hardware by local law enforcement. We also expect to see legislation that would restrict the manner in which law enforcement may use K-9 units for making arrests. • Officer conduct: Police could see mandated reporting requirements for officers who witness other officer misconduct. Officers who fail to report misconduct or illegal activity could face disciplinary action themselves. • Model policy: Legislators may create a model policy on the use of physical and deadly force, thus creating a statewide standard to address de-escalation policies. • Data collection: AWC expects to see more comprehensive data collection to track best practices and the outcomes of these many potential changes to law. • It is unclear at this time if these reforms will be introduced individually or as a package. AWC will continue to be an active participant in these conversations and ensure that cities’ best interests are represented.

continued AWC Legislative Bulletin 13 Public works Department of Commerce releases Electric & Natural Gas Utilities Economic Impact Survey Analysis report Contact: Logan Bahr, Maggie Douglas The Department of Commerce (Commerce) recently released their Electric & Natural Gas Utilities Economic Impact Survey Analysis, highlighting the impacts COVID-19 has had on affected utilities and their customers’ ability to pay their utility bills. Commerce’s analysis indicates that the responding electric and natural gas utilities face at least $36 million in deferred bill payments from March through May 2020. During these months, over 22,000 households filed and received financial assistance. Utilities expect a significant revenue reduction due to customers’ inability to pay for services. The results of the survey informed Commerce’s primary recommendations for addressing the financial crisis experienced by many utilities as a result of COVID-19 impacts: • Continue using funding from the Washington State Low-Income Home Energy Assistance Program (LIHEAP) to subsidize low-income customers; • Consider using CARES Act funds to mitigate impacts of COVID-19 on the state’s residential energy customers; and • Review best practices from other states on supporting small business’ ability to pay for essential utilities and determine if such options can be added to existing programs, or if existing programs could be modified to support small business energy bill pay assistance. For the full survey analysis and report, click here (https://www.commerce.wa.gov/ wp-content/uploads/2020/11/Economic-Impact-Report-March-May2020-final.pdf).

continued 14 AWC Legislative Bulletin Transportation Grade Crossing Protective Fund now accepting applications for funding Contact: Logan Bahr, Maggie Douglas The Washington Utilities and Transportation Commission (UTC) is seeking applications to fund projects that eliminate or mitigate public safety hazards at railroad crossings and along railroad rights-of-way throughout the state. The Grade Crossing Protective Fund (GCPF) provides grants to railroad companies, local governments, and other agencies that propose to make safety improvements. Funding is also available for safety improvements at passively-protected public and private railroad crossings. The UTC will consider and select projects for funding based on the relative severity of the hazard being addressed, the safety benefits resulting from a project, the cost of implementing a project, geographic diversity, and available funds. To apply for funding, click here (https://www.utc.wa.gov/publicSafety/railSafety/Pages/ gradeCrossingProtectionFundGrants.aspx). The UTC will accept applications through January 2021. For more information, contact Mike Turcott ([email protected]) or Lori Halstead ([email protected]). Senate Transportation Committee reviews transportation revenue threats, COVID-19 impacts Contact: Logan Bahr, Maggie Douglas The Senate Transportation Committee recently convened for a work session (https:// app.leg.wa.gov/committeeschedules/Home/Documents/28025?) to review the 2021 transportation budget and other transportation-related COVID-19 impacts. Nonpartisan staff reported that the 2021 transportation budget will be heavily influenced by impacts to major transportation revenue sources and on the state’s transportation infrastructure. These revenue sources will take multiple years to recover from COVID-19- related impacts. The state projects that gas consumption will take at least six years to recover and ferry passenger ridership will take up to seven years. However, toll revenue, ferry ridership, and rental car revenue should return to pre-pandemic levels between 2024 and 2025. The 2021 supplemental transportation budget submitted to the Governor’s office shows significant underspending and saving: • Furloughs & wage increase cancellations: $15 million in savings • Reduced fuel use: $17 million in savings • Reduced ferry/rail service, hiring freezes, and other agency actions: $59 million in savings • Capital spending down: $729 million in savings across WSDOT programs While the COVID-19-related transportation revenue loss is significant, the state predicts that the 2019-21 transportation budget can still be balanced due to the significant reduction in spending. However, not all accounts were balanced for the 2021-23 biennium. The 2021-23 biennial budget will incorporate the restoration of I-976 revenue losses, but the state will still need to make significant adjustments to a tune of $1 billion to balance the budget. While the biennial budget includes monies from project re-appropriations and executive agency budget reductions, the state faces both the critical need for basic transportation infrastructure maintenance and preservation, and the growing cost of addressing fish blocking culverts (a roughly $3.1 billion cost to the state). continued AWC Legislative Bulletin 15 OFM releases November AWC Legislative Contacts transportation revenue During the legislative session, AWC’s lobbyists often are unable to return your forecast phone calls immediately. If you have a legislative or specific issue question, Contact: Logan Bahr, Maggie Douglas please request AWC’s analyst staff, or send them an email. The Office of Financial Management Call AWC at (360) 753-4137 or 1-800-562-8981 (OFM) recently released their November transportation revenue forecast (https:// Candice Bock Maggie Douglas www.ofm.wa.gov/sites/default/files/public/ Director of Government Relations Legislative Policy Analyst budget/info/transpo/Nov2020VolumnI.pdf), [email protected] [email protected] the first quarterly forecast since I-976 was Issue areas – Economic development; Issues areas – Energy; finance; public struck down by the state’s Supreme Court in federal; finance; human resources, labor works; telecommunications October. relations & pensions; open government The November transportation revenue Jacob Ewing forecast is altogether higher than the Logan Bahr Legislative Policy Analyst September forecast, largely because the Government Relations Advocate [email protected] impacts of I-976 were removed. The 2019- [email protected] Issue areas – Cannabis; economic Issue areas – Economic development; emergency management 21 biennium is anticipated to be $6.2 development; energy; public works; & cybersecurity; general government; billion, which is roughly 8% higher than the telecommunications; transportation human services & behavioral health; September baseline forecast. However, the liability; open government; public safety November forecast is still down 4% from & criminal justice biennium to biennium due to lower demand Carl Schroeder caused by the pandemic. Government Relations Advocate [email protected] Shannon McClelland The November forecast shows that new Issue areas – Building codes; Legislative Policy Analyst projections of low real personal income environment & natural resources; [email protected] growth and slow employment recovery housing & homelessness; land use & Issue areas – Building codes; are lower than indicated by the September planning environment & natural resources; forecasts. Boeing’s announcement of layoffs housing & homelessness; land use & and the additional state shutdowns are also Sharon Swanson planning; transportation expected to impact the forecast horizon. Government Relations Advocate The 10-year forecast horizon is roughly [email protected] Vacant 12% higher than the September forecast, Issue areas – Cannabis; emergency Legislative Policy Analyst at $34.83 billion. The November forecast management & cybersecurity; Issue areas – Human resources; labor general government; human services relations; pensions is considerably higher than the pre- & behavioral health; liability; open COVID-19 baseline forecast in February government; public safety & criminal Emma Shepard due to I-976 revenue, lower demand justice from recent shutdowns, and review of Strategic Content Analyst the current year’s anticipated recovery for major transportation revenue sources. Brianna Morin Most notably, the positive impacts of I-976 Government Relations Assistant revenue being brought in are larger than the Issue areas – Federal negative impacts of the pandemic on future AWC CEO biennia. Peter B. King, [email protected] AWC Officers President Soo Ing-Moody, Mayor, Twisp Vice President Kent Keel, Mayor, University Place Secretary Candace Mumm, Councilmember, Spokane Immediate Past President Ed Stern, Councilmember, Poulsbo Past President Don Britain, Mayor, Kennewick Large City Representative Keith Blocker, Deputy Mayor, Tacoma For a complete list of AWC Board of Directors, visit wacities.org/boardofdirectors. continued 16 AWC Legislative Bulletin