CERTIFICATION OF ENROLLMENT
SUBSTITUTE SENATE BILL 5165
Chapter 333, Laws of 2021
(partial veto)
67th Legislature
2021 Regular Session
TRANSPORTATION BUDGET
EFFECTIVE DATE: May 18, 2021
Passed by the Senate April 24, 2021 CERTIFICATE
Yeas 41 Nays 8
I, Brad Hendrickson, Secretary of
the Senate of the State of
DENNY HECK Washington, do hereby certify that
President of the Senate the attached is SUBSTITUTE SENATE
BILL 5165 as passed by the Senate
and the House of Representatives on
the dates hereon set forth.
Passed by the House April 24, 2021
Yeas 90 Nays 6
BRAD HENDRICKSON
LAURIE JINKINS Secretary
Speaker of the House of
Representatives
Approved May 18, 2021 2:18 PM with FILED
the exception of certain items that
were vetoed (see veto message). May 19, 2021
Secretary of State
JAY INSLEE State of Washington
Governor of the State of Washington
 SUBSTITUTE SENATE BILL 5165
AS RECOMMENDED BY THE CONFERENCE COMMITTEE
Passed Legislature - 2021 Regular Session
State of Washington 67th Legislature 2021 Regular Session
By Senate Transportation (originally sponsored by Senators Hobbs,
King, Nobles, Saldaña, and Wilson, C.; by request of Office of
Financial Management)
READ FIRST TIME 03/26/21.
1 AN ACT Relating to transportation funding and appropriations;
2 amending RCW 43.19.642, 46.20.745, 82.21.030, 46.68.060, 47.12.370,
3 46.68.325, 47.56.876, 46.68.370, 46.68.300, 47.60.322, 46.68.290,
4 46.68.063, 47.60.530, 47.60.315, 34.05.350, 46.09.540, and 47.66.120;
5 amending 2019 c 416 ss 101, 106, and 302 (uncodified), and 2020 c 219
6 ss 101, 102, 104, 105, 201, 202, 203, 204, 205, 206, 207, 208, 209,
7 210, 211, 212, 213, 214, 215, 216, 217, 218, 219, 220, 221, 222, 223,
8 301, 302, 304, 305, 306, 307, 308, 309, 310, 401, 402, 403, 404, 405,
9 406, 407, and 408 (uncodified); amending 2019 c 396 ss 2 and 3
10 (uncodified); adding a new section to 2019 c 416 (uncodified);
11 creating new sections; making appropriations and authorizing
12 expenditures for capital improvements; providing expiration dates;
13 and declaring an emergency.
14 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
15 2021-2023 FISCAL BIENNIUM
16 NEW SECTION. Sec. 1. (1) The transportation budget of the state
17 is hereby adopted and, subject to the provisions set forth, the
18 several amounts specified, or as much thereof as may be necessary to
19 accomplish the purposes designated, are hereby appropriated from the
20 several accounts and funds named to the designated state agencies and
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 1 offices for employee compensation and other expenses, for capital
2 projects, and for other specified purposes, including the payment of
3 any final judgments arising out of such activities, for the period
4 ending June 30, 2023.
5 (2) Unless the context clearly requires otherwise, the
6 definitions in this subsection apply throughout this act.
7 (a) "Fiscal year 2022" or "FY 2022" means the fiscal year ending
8 June 30, 2022.
9 (b) "Fiscal year 2023" or "FY 2023" means the fiscal year ending
10 June 30, 2023.
11 (c) "FTE" means full-time equivalent.
12 (d) "Lapse" or "revert" means the amount shall return to an
13 unappropriated status.
14 (e) "Provided solely" means the specified amount may be spent
15 only for the specified purpose. Unless otherwise specifically
16 authorized in this act, any portion of an amount provided solely for
17 a specified purpose that is not expended subject to the specified
18 conditions and limitations to fulfill the specified purpose shall
19 lapse.
20 (f) "Reappropriation" means appropriation and, unless the context
21 clearly provides otherwise, is subject to the relevant conditions and
22 limitations applicable to appropriations.
23 (g) "LEAP" means the legislative evaluation and accountability
24 program committee.
25 GENERAL GOVERNMENT AGENCIES—OPERATING
26 NEW SECTION. Sec. 101. FOR THE DEPARTMENT OF ARCHAEOLOGY AND
27 HISTORIC PRESERVATION
28 Motor Vehicle Account—State Appropriation . . . . . . . . . $546,000
29 NEW SECTION. Sec. 102. FOR THE UTILITIES AND TRANSPORTATION
30 COMMISSION
31 Grade Crossing Protective Account—State Appropriation . . . $504,000
32 Pilotage Account—State Appropriation. . . . . . . . . . . . $150,000
33 Multimodal Transportation Account—State Appropriation. . . . $225,000
34 TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . $879,000
35 The appropriations in this section are subject to the following
36 conditions and limitations:
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 1 (1) $225,000 of the multimodal transportation account—state
2 appropriation is provided solely for the commission to prepare an
3 inventory of rail safety oversight conducted by state agencies in
4 other states identified for review by program area as compared to the
5 role of state agencies in Washington due September 1, 2022. This
6 inventory must include a comparison of the oversight conducted by
7 state agencies in California and New York, as well as other state
8 agencies selected by the commission that play a broader role in rail
9 safety oversight than state agencies in Washington. In developing its
10 inventory, the commission shall include consideration of the
11 relationship of state efforts to federal law. The inventory must
12 include information related to safety oversight, coordination,
13 communication, and enforcement of state and federal laws and
14 regulations relating to transportation of persons or commodities, or
15 both, of any nature or description by rail.
16 (2) The commission must host one workshop with interested
17 parties. The purpose of the workshop is to ensure consideration of
18 relevant information in development of an inventory of current
19 efforts in rail safety oversight by other states that can inform the
20 legislature's intended expansion of the role of the commission in
21 rail safety in the state of Washington. The purpose of the workshop
22 is not to foreclose consideration of a specific legislative approach.
23 Interested legislators and legislative staff and staff of the
24 governor's office may participate in the workshop or workshops.
25 Participation in the workshop must include, but is not limited to,
26 representatives of:
27 (a) Host and tenant railroads;
28 (b) Rail labor organizations;
29 (c) The state safety oversight agency for rail fixed guideway
30 public transportation systems;
31 (d) Operators of, and entities providing financial support for,
32 intercity passenger rail and rail fixed guideway systems;
33 (e) Local jurisdictions;
34 (f) Rail advocacy organizations;
35 (g) State emergency management organizations;
36 (h) The department of ecology;
37 (i) The department of labor and industries;
38 (j) The national transportation safety board;
39 (k) The federal railroad administration; and
40 (l) The pipeline and hazardous materials safety administration.
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 1 (3) The commission shall review, at a minimum, the report of the
2 national transportation safety board report on the 2017 Amtrak
3 derailment, the joint transportation committee's 2020 rail safety
4 governance study, Engrossed Substitute House Bill No. 1418 (2021), as
5 passed by the house on March 7, 2021, relevant federal laws and
6 rules, and state rail safety plans.
7 (4) The commission's inventory must include, but is not limited
8 to:
9 (a) An analysis of expanding the commission's role to match the
10 role of other state agencies examined, including as it relates to
11 oversight of implementation of new and materially changed railroad
12 operations and infrastructure; operator safety management practices;
13 the safety of transportation of crude oil by rail and enforcement of
14 chapter 90.56 RCW; the safety and oversight of rail fixed guideway
15 systems as defined in RCW 81.104.015; annual reporting practices; and
16 rail safety communication and collaboration efforts, including
17 through the use of a rail safety committee;
18 (b) A review of federal preemption issues and analysis of state
19 rail safety authority in the context of the current rail safety
20 oversight role of other states, as examined in this section;
21 (c) A review of workshop discussions;
22 (d) Estimated costs associated with implementation in Washington
23 state of the safety program elements included in the inventory
24 required in this section, itemized by program area and level of
25 oversight performed, including estimated costs of options to improve
26 the safety of transportation of crude oil by rail and enforcement of
27 chapter 90.56 RCW;
28 (e) A review of revenue sources that support rail safety
29 oversight activities in other states included in the inventory,
30 including federal revenue sources. For each source, the review must
31 also include:
32 (i) Estimates of revenue generated if imposed in Washington;
33 (ii) Estimates of how much would be paid by different types of
34 entities; and
35 (f) A review of the level of liability protection afforded
36 agencies that perform rail safety oversight under state law in the
37 states examined in the inventory conducted.
38 NEW SECTION. Sec. 103. FOR THE OFFICE OF FINANCIAL MANAGEMENT
39 Motor Vehicle Account—State Appropriation . . . . . . . . $1,441,0000
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1 Puget Sound Ferry Operations Account—State Appropriation . . $126,000
2 Multimodal Transportation Account—State Appropriation. . . . $250,000
3 TOTAL APPROPRIATION. . . . . . . . . . . . . . . . $1,817,000
4 The appropriations in this section are subject to the following
5 conditions and limitations:
6 $250,000 of the multimodal transportation account—state
7 appropriation is provided solely for the office of financial
8 management, in collaboration with the Washington department of
9 transportation and the office of the chief information officer, to
10 conduct an evaluation of short term and long term facility and
11 information technology needs. In conducting the evaluation, the
12 office of financial management may contract with an entity with
13 direct expertise in this area. The office of financial management
14 must submit a final report of their evaluation by October 1, 2022.
15 The evaluation must be coordinated with any legislatively directed
16 study regarding leased space. The evaluation must include, but is not
17 limited to:
18 (1) Development of a status quo scenario based on current policy
19 and projections and two alternative scenarios of the number of people
20 and percentage of staff in telework status on a permanent basis with
21 one alternative being the minimum feasible level of teleworking and
22 one alternative being the maximum feasible level of teleworking;
23 (2) Current and projected facility needs by location and function
24 for the scenarios in subsection (1) of this section;
25 (3) The specific number of employees and percentage of the
26 workforce expected to be teleworking by location and function and the
27 anticipated impact on facility space needs for the scenarios in
28 subsection (1) of this section;
29 (4) Analysis of opportunities to colocate with other state,
30 local, and other public agencies to reduce costs and improve cost-
31 efficiency;
32 (5) Detailed information on any increased costs, such as end-user
33 devices, software, technology infrastructure, and other types of
34 assistance needed to meet the teleworking levels in each of the
35 scenarios in subsection (1) of this section;
36 (6) Detailed information on any reduced costs, such as leases,
37 facility maintenance, and utilities, resulting from the projected
38 teleworking levels for the scenarios in subsection (1) of this
39 section; and
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 1 (7) Cost-benefit analysis detailing the net impact of teleworking
2 on facility and total costs for the scenarios in subsection (1) of
3 this section.
4 NEW SECTION. Sec. 104. FOR THE STATE PARKS AND RECREATION
5 COMMISSION
6 Motor Vehicle Account—State Appropriation . . . . . . . . $1,186,000
7 The appropriation in this section is subject to the following
8 conditions and limitations: The appropriation in this section is
9 provided solely for road maintenance purposes.
10 NEW SECTION. Sec. 105. FOR THE DEPARTMENT OF AGRICULTURE
11 Motor Vehicle Account—State Appropriation . . . . . . . . $1,346,000
12 NEW SECTION. Sec. 106. FOR THE LEGISLATIVE EVALUATION AND
13 ACCOUNTABILITY PROGRAM COMMITTEE
14 Motor Vehicle Account—State Appropriation . . . . . . . . . $668,000
15 NEW SECTION. Sec. 107. FOR THE EVERGREEN STATE COLLEGE
16 Motor Vehicle Account—State Appropriation . . . . . . . . . $150,000
17 The appropriation in this section is subject to the following
18 conditions and limitations: The total appropriation in this section
19 is provided solely for the Washington state institute for public
20 policy to conduct a cost-benefit analysis for an exclusive or partial
21 American steel requirement for future transportation contracts and
22 subcontracts authorized in the transportation budget. This cost-
23 benefit analysis must, to the extent feasible: (1) Compare existing
24 types and uses of steel to made in America steel alternatives
25 including evaluation of quality; (2) examine benefits to Washington
26 workers and the Washington economy; (3) examine lifecycle and
27 embodied carbon greenhouse gas emissions; (4) identify requirements
28 for purchasing American steel that minimize costs and maximize
29 benefits; and (5) evaluate American steel requirements or preferences
30 in other states. The Washington state institute for public policy may
31 solicit input for the analysis from representatives of interested
32 parties to include, but not be limited to, the construction and
33 manufacturing sectors, organized labor in the construction and
34 manufacturing sectors, cities, counties, American steel manufacturing
35 companies, environmental advocacy organizations, and appropriate
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 1 state agencies. A final report is due to the legislature by December
2 1, 2021.
3 NEW SECTION. Sec. 108. FOR THE OFFICE OF MINORITY AND WOMEN'S
4 BUSINESS ENTERPRISES
5 Motor Vehicle Account—State Appropriation . . . . . . . . $2,000,000
6 The appropriation in this section is subject to the following
7 conditions and limitations: The entire appropriation in this section
8 is provided solely for increasing the number of certified women and
9 minority-owned contractors outside of the Puget Sound area in the
10 transportation sector and supporting these contractors to
11 successfully compete and earn more transportation contracting
12 opportunities. This shall be done through various programs including
13 but not limited to: (1) Outreach to women and minority business
14 communities and individuals; (2) technical assistance as needed in
15 areas such as financing, accounting, contracting, procurement, and
16 resolution of disputes and grievances; (3) language access programs
17 for those with limited English proficiency; and (4) other programs
18 that aim to increase the number of women and minority contractors
19 that are successful in obtaining contracts in the transportation
20 sector either directly with state agencies such as the department,
21 with local jurisdictions, or as subcontractors for prime contractors.
22 NEW SECTION. Sec. 109. FOR THE BOARD OF PILOTAGE COMMISSIONERS
23 Pilotage Account—State Appropriation . . . . . . . . . . . $5,777,000
24 The appropriation in this section is subject to the following
25 conditions and limitations:
26 (1) $2,926,000 of the pilotage account—state appropriation is
27 provided solely for self-insurance liability premium expenditures;
28 however, this appropriation is contingent upon the board:
29 (a) Annually depositing the first $150,000 collected through
30 Puget Sound pilotage district pilotage tariffs into the pilotage
31 account; and
32 (b) Assessing a self-insurance premium surcharge of $16 per
33 pilotage assignment on vessels requiring pilotage in the Puget Sound
34 pilotage district.
35 (2) The board of pilotage commissioners shall file the annual
36 report to the governor and chairs of the transportation committees
37 required under RCW