Petition for Writ of Certiorari — Brower v. Washington
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Supreme Court, U.S
rin 2 oO
~~
USi510 M2 299
mn ihe OFFICE OF THE CLERK
Supreme Court of the United States
October Term, 1998
4
JORDAN BROWER, an individual,
Petitioner,
V.
STATE OF WASHINGTON, RALPH MUNRO,
Secretary of State, and FOOTBALL NORTHWEST,
a Washington general partnership,
Respondents.
+
On Petition For Writ Of Certiorari
To The Supreme Court Of Washington
«
PETITION FOR WRIT OF CERTIORARI
+
Counsel of Record Additional Counsel for
Dennis W. CLAYTON Eetrnmners
100 Minnesota Building STEPHEN K. EUGSTER
423 West First Avenue Eucster & Grimes, P.S.C.
Spokane, Washington 100 Minnesota Building
99201-0206 423 West First Avenue
(509) 624-5566 Spokane, Washington
99201-0206
(509) 624-5566
SHAWN TIMOTHY NEWMAN
2507 Crestline Dr. NW
Olympia, Washington
98502
(360) 866-2322
Mark D. SCHWARTZ
300 Sandcastle Lane
Bryn Mawr, Pennsylvania
19010-2112
(610) 525-5534
COCKLE LAW BRIEF PRINTING CO., (800) 225-6964 Hr
OR CALL COLLECT (402) 342-2831 ¥
QUESTIONS PRESENTED
In this case the State of Washington enacted legislation
for the construction and lease of a football stadium favor-
able to a private party which was referred to the people
of the state at a special election. The election was limited
solely to the referred legislation. The election only took
place on the condition that the benefitting private party
approved of the legislation referred, agreed with the tim-
ing of the election, and agreed to pay the State for the
entire cost of the election. In doing so, the legislature said
it was neutral regarding the legislation but nevertheless
said the election was an emergency thus preventing a
referendum on the special election under the State Con-
stitution which might have delayed the election.
Does the State of Washington violate the Equal Protection
Clause of the Fourteenth Amendment when it provides
for a special election regarding a special ballot for legisla-
tion favorable to a private party, upon the conditions that
the party, who is unelected, (1) agrees with the legisla-
tion, (2) agrees with the timing of the election, and (3)
agrees to pay state for the cost of the election?
Does the State of Washington violate the First Amend-
ment and Due Process Clause of the Fourteenth Amend-
ment when it sets the timing of a special election
regarding a special ballot for legislation favorable to a
private party on such short notice that it is impossible for
an opponent to raise funds and mount a campaign in
opposition to the legislation?
il
QUESTIONS PRESENTED - Continued
Does the State of Washington violate First the Amend-
ment and the Due Process Clause of the Fourteenth
Amendment when it prevents a citizen from exercising a
constitutionally created right of referendum on legisla-
tion by declaring that the legislation is an emergency
when, in fact, the legislature has declared that it was
neutral regarding the outcome of the legislation?
iil
TABLE OF CONTENTS
Page
PETITION FOR WRIT OF CERTIORARI.....----++> 1
|. OPINIONS AND ORDERS BELOW .....+.-:-: l
FE PEIN CP ck cance es evnr essen rseencrece® 1
Ill. CONSTITUTIONAL PROVISIONS AND
ORDINANCES INVOLVED ....-----++s5+7> 1
IV. STATEMENT OF THE CASE....------+++++*° 3
The Proceedings: Federal Questions Raised..... 3
ee Mg cs age nee ataneresdeeenaene tense ss 4
V. REASONS FOR GRANTING THE PETITION ... 7
A. Ballot Access Based Upon Wealth.....-.: 7
B Election Timing.....--------ssseretrrtt 9
C. One Person One Vote....------ssrsrrrtt' 11
D. The Right of Referendum...-..---------°> 13
WE CIICEAISIONS cnc cececierpssnnrescersereesses 14
SN ons wpa ov panne tase ve sHant anes *.«%s la
DOE dissect hewssred estate racherses 09 48a
MO So cok ech eseadnr setae ey re cers et ss 119a
I To ia pi cwine ces ir ennseeet ease sett es 129a
Ne case nike yedcancessnseerprense eee 13la
iv
TABLE OF AUTHORITIES
Page
CAseEs
Board of Supervisors v. Bianchi, 387 U.S. 97 (1967) .... 12
Brower v. State of Washington, 137 Wn.2d 44, 969
ed RE GRE ho cae FRE 15 AMA bee eer chee ake 1
Buckley v. American Constitutional Law Foundation,
U.S. __ (No. 97-930, Decided January 12,
Bucniey ©. Vaito, 428 U5.: 4 CaS76) oo. vis v ic cccaneseucds 10
CLEAN v. City of Spokane, 133 Wn.2d 455, 947 P.2d
1169 (1997), cert. denied, 119 S. Ct. 45 (1998) ...... 13
CLEAN v. State, 130 Wn.2d 782, 928 P.2d 1054
(TOMA 2G fe a ee 13
Gottstein v. Lister, 88 Wash. 462, 153 P. 595 (1915) .... 11
Harper v. Virginia Board of Elections, 383 U.S. 663
SEWN odin NEMO hed ELRORE aS ETE Oe Te eae 8
Leon 0. Penish, 445.05. 709 ANSTO) cs ea ae 8
Meyer v. Grant, 486 U.S. 414 (1988).................. 13
Reynolds. vo. Sims, 377 US. S33 C964) oe ss cae des 11
Sailors v. Board of Education, 387 U.S. 105 (1967)..... 12
CONSTITUTIONAL PROVISIONS
Kah SRE, SONU: MRIS oo hss koa Re 1, 7, 40, 33
U.S. Const., Fourteenth Amend., § 1............ ; ay gee
Wasn. Const. Art. IL, section 1b)... .c6..cuse ink: 2, id
TABLE OF AUTHORITIES - Continued
Page
STATUTES
Oe NE CARPE 50h 05552550 ee a ea l
OTHER AUTHORITIES
David Schaefer and David Postman, Stadium Mea-
sure Passing, THe SeattLe-Times, June 18, 1997....... 6
PETITION FOR WRIT OF CERTIORARI
Jordan Brower (“Brower”) respectfully prays that a
writ of certiorari issue to review the judgment and opin-
ion of the Washington State Supreme Court entered in
this case on December 24, 1998.
I. OPINIONS AND ORDERS BELOW
The opinion of the Washington Supreme Court (App.
A, infra, 1a) is reported at 137 Wn.2d 44, 969 P.2d 42
(1998).
Il. JURISDICTION
The Washington Supreme Court issued its opinion on
December 24, 1998. The jurisdiction of this court is
invoked under 28 U.S.C. § 1257(a).
Ill. CONSTITUTIONAL PROVISIONS AND ORDI-
NANCES INVOLVED
United States Constitution
Amendment One
Congress shall make no law . . . abridging the free-
dom of speech, or of the press; or the right of the people
peaceably to assemble, and to petition the government
for a redress of grievances.
Amendment Fourteen, Section 1
All persons born or naturalized in the United States,
and subject to the jurisdiction thereof, are citizens of the
United States and of the State wherein they reside. No
State shall make or enforce any law which shall abridge
the privileges or immunities of citizens of the United
States; nor shall any State deprive any person of life,
liberty, or property, without due process of law; nor deny
to any person within its jurisdiction the equal protection
of the laws.
Washington State Constitution
Article II, Section 1(b)
The legislative authority of the state of Washington
shall be vested in the legislature, consisting of a senate
and house of representatives, which shall be called the
legislature of the state of Washington, but the people
reserve to themselves the power to propose bills, laws,
and to enact or reject the same at the polls, independent
of the legislature, and also reserve power, at their own
option, to approve or reject at the polls any act, item,
section, or part of any bill, act, or law passed by the
legislature.
(b) Referendum. The second power reserved by the
people is the referendum, and it may be ordered on any
act, bill, law, or any part thereof passed by the legislature,
except such laws as may be necessary for the immediate
preservation of the public peace, health or safety, support
of the state government and its existing public institu-
tions, either by petition signed by the required percent-
age of the iegal voters, or by the legislature as other bills
are enacted:
1 Heal Rae \ Poche ab Sunk
ee
report by June 30, 1997. (Pet.’s App. at 6). Petitioner did
not initially challenge either aspect of this Order. Instead,
she agreed to execute a medical records release and
requested an extension until September 5, 1997, the Fri-
day before the next status conference, to provide an
expert report — representing to the District Court that she
had retained an expert. (App. at 2-3).°
Petitioner did not produce any medical records, exe-
cute a release, or produce an expert report. Instead, she
recanted her previous representations, stating that she
had not been able to retain an expert and arguing that she
should either not be required to produce an expert report
or be given more time to retain an expert. (App: at 6). The
District Court rejected these arguments, and ordered Peti-
tioner to comply, but Petitioner refused.
Instead, Petitioner produced a handful of medical
records and filed motions seeking to set aside the District
Court’s order, to compel production of documents from
Respondent, and for a protective order concerning her
medical records. (Docs. 13-15, 21-23).4 A hearing was held
3 Citations to the appendix to this Opposition are referred
to as “App. at ___.”
4 The appeal in the court below was handled under an
experimental procedure whereby the record was not sequen-
tially numbered and provided to all counsel. Instead, counsel
were instructed to cite to the District Court record utilizing the
District Court’s docket entry numbers. Therefore, citations to
the District Court record in this opposition follow this same
practice. A copy of the District Court’s docket sheet is attached
as pages 11-19 to the appendix to the Petition. Some citations to
the District Court’s record that are also included as part of the
appendix to this Opposition are referred to as “App. at ___ (Doc.
pe “es
At the early stages of the proceedings, well before the
special election called for under the Act, Brower sought a
determination concerning the constitutionality of the Act
and the constitutionality of the election contemplated by
the Act. App. A, infra, 5a.
After the election the trial court made its decision in
the case denying Brower’s requests on cross motions for
summary judgment. The case was appealed by direct
review to the Washington State Supreme Court. App. A,
infra, 1a. The federal questions were addressed at the trial
court and by the Washington State Supreme Court. App.
A, infra, 15a, 19a, 21a, 24a, 25a, and 3la.
The Act
The referred provisions of the Act called for the
construction of a football stadium in Seattle, Washington
which would be under the control of the “team affiliate”
for use by its National Football League football team, The
Seattle Seahawks.
The term “team affiliate” was defined in the Act in
§ 101(10) as “a professional football team that will use the
stadium and exhibition center, and any affiliate of the
team designated by the team.” App. B, infra, 50a. An
“affiliate of the team” was defined as “any person or
entity that controls, is controlled by, or is under common
control with the team.” Here the team affiliate was Foot-
ball Northwest, a Washington general partnership “indi-
rectly wholly-owned by Mr. Paul G. Allen of Mercer
Island, Washington” as stated under affidavit by Allen D.
Isreal the Assistant Secretary and principal attorney for
Football Northwest, LLC. App. D, infra, 129a.
The election was special and limited. That is, it was
to occur on a special date which was to take place on, or
prior to, June 20, 1997. Act § 607(1), App. B, infra, 117a.
Furthermore, the ballot at the special election was limited
to the referred provisions. No other ballot proposition
could be added to the ballot proposition. The Act pro-
vided that “[t]he special election shall be limited to sub-
mission of this act to the people.” Id.
The proposal was null and void unless the team
affiliate agreed to pay the full cost of the election. The
team affiliate had complete ability to make the referen-
dum election null and void or, stated another way, to veto
the referendum. Section 606 provided:
Notwithstanding any other provision of this act,
this act shall be null and void in its entirety
unless the team affiliate as defined in section
101 of this act enters into an agreement with the
secretary of state to reimburse the state and the
counties for the full cost of the special election
to be held on or before June 20, 1997.
App. B, infra, 116a.
The Legislature, itself, was neutral regarding the Act.
Act § 605, App. B, infra, 116a. The Legislature said that it
“neither affirms nor refutes the value of this proposal,
and by this legislation simply expresses its intent to pro-
vide the voter of the state of Washington an opportunity
to express the voter’s decision. It is also expressed that
many legislators might personally vote against this pro-
posal at the polls, or they might not.” Id.
Despite this neutrality, the Legislature declared that
two of its sections were emergencies — (1) Section 606
National Hockey League v. Metropolitan Hockey Club, 427
U.S. 639, 643 (1976) (per curiam). Petitioner, if anyone,
should be aware of the District Court’s authority,
because, in Woodson, the Fifth Circuit affirmed the district
court’s dismissal of the plaintiff’s claims based on Peti-
tioner’s similar failures to follow the district court’s
orders.
In Woodson, Petitioner (1) failed to timely designate
experts or produce expert reports, arguing that the plain-
tiff did not have to produce reports that did not exist;> (2)
failed to produce her client for a court ordered deposi-
tion;® (3) refused, following settlement, to comply with
two court orders to secure a final release of all claims,
instead moving to enforce her version of the settlement
agreement and for sanctions against the defendants; and
(4) failed to appear for a subsequent hearing based on the
pendency of a petition for en banc rehearing of a man-
damus petition she had filed in the Fifth Circuit seeking
recusal of the district judge (which the Fifth Circuit had
denied). “Under the circumstances, the district court
viewed [Petitioner’s] failure to appear as “yet another
obstruction to the progress of this plagued and hostile
litigation’ “7 and dismissed the plaintiff’s claims with
5 57 F.3d at 1408-09. This argument, which was rejected by
the Woodson court, is essentially the same as her argument in
this case that the District Court could not order her to produce
an expert report because it lacked the power to order her to
engage in discovery. See Pet. at 10, 12.
6 Id. at 1410.
7 Id. at 1415.
eS
V. REASONS FOR GRANTING THE PETITION
In this case the State of Washington provided a pri-
vate party with access to a ballot at a statewide election
on the condition that a fee be paid to the State. The fee
was the cost of the election, approximately $4.2 million.
The election was for an act which would benefit the
private party. The election was special in that it took
place on a special date outside of any normal election
time and it was special in that the legislation which was
favorable to the private party was the only matter, under
the terms of the Act, that could be placed on the ballot.
This case presents fundamental issues concerning Equal
Protection and First Amendment Rights secured to citi-
zens under the Fourteenth Amendment.
A. Ballot Access Based Upon Wealth
The election on the referendum would not have taken
place but for the agreement of the party benefitting from
the legislation to pay the State and its several counties for
the cost of the election. That is, the State acceded to a
request for ballot access based upon the agreement of the
party who was to benefit by the special legislation to be
placed on the ballot to pay the State for the cost of the
election — in this case the sum of $4.2 million.
This undertaking would not have taken place but for the
agreement of the benefitting party to the legislation and
the timing of the special election. This election is a viola-
tion of Brower’s constitutionally protected rights of Equal
Protection and Freedom of Speech.
The owner of the team affiliate, Mr. Paul Allen, controlled
access to the ballot with respect of the referendum — the
legislation referred. This control was measured on the
basis of the wealth of the team affiliate. That is, Mr. Allen
and the team affiliate secured the benefit of the ballot by
agreeing to reimburse the State and the counties of the
State for the full cost of the election.
It has long been held that ballot access cannot be
based upon a person’s wealth. In Harper v. Virginia Board
of Elections, 383 U.S. 663 (1966) the court held that “a State
violates the Equal Protection Clause of the Fourteenth
Amendment whenever it makes the affluence of the voter
or the payment of a fee an electoral standard.” Id. at 666.
Justice Douglas, writing for the majority, stated the prin-
ciple that “wealth or fee paying has . . . no relation to
voting qualifications; the right to vote is too precious, too
fundamental to be burdened or conditioned.” Id. at 670.
In Lubin v. Panish, 415 U.S. 709 (1979) the Court
struck down a California statute that required an indigent
candidate for a political office to pay a filing fee so that
the candidate could secure a ballot position for a primary
election.
If a state may not condition access to a ballot based
upon wealth, can it grant access to a ballot based upon
wealth? If a citizen cannot be prevented from access
based upon wealth, can a citizen be granted ballot access
based upon wealth?
The impermissible fee in the above cases acted as a
limitation on a citizen’s constitutionally protected rights.
In this instance the same is true. The fee gives only those
who can pay access to the ballot. The condition works to
deny access to anyone who cannot pay.
Moreover, access based upon the payment of a fee is
all the more insidious when the access provided by the
fee (1) is access for an election for legislation which
benefits the person paying, (2) provides for special elec-
tion timing - here, mere weeks away from the grant of
the ballot, and (3) specially limits the election so that it is
one which is solely for the purpose of the act which will
benefit the person purchasing the election.
If a state cannot condition access to a ballot on the
basis of a fee, a state cannot grant access to a ballot based
upon the payment of fee.
The State, in fact, made legislation and a ballot for
such legislation available for a price. The legislation was
special to the person who controlled the entity which
would directly benefit from the passage of the legislation
in that it provided for submission of the measure at a
special election and limited the election to the measure.
The benefit was accorded on the basis of consideration,
wealth.
B. Election Timing
Another reason why the Court should review the
decision pertains to the denial of Brower’s rights of free-
dom of speech and political association and participation
having to do with the timing of the election.
The Act was passed on April 26, 1997. The mail-in
election began in several counties less than 30 days later
with the final election culminating on June 17, 1997.
10
There was no way Brower nor anyone else (other than
another of the world’s wealthiest persons) could effec-
tively campaign against the referred legislation.
In Buckley v. Valeo, 424 U.S. 1 (1976) (per curiam) the
Court concluded that campaign expenditure and contri-
bution limitations impinged upon First Amendment
Rights because large sums are indispensable for mass
communication needed for contemporary political cam-
paigns. Similarly, the timing of an election may impinge
upon first amendment rights because it takes at least
some time to raise the sums which are indispensable for
mass communication needed for contemporary political
campaigns.
There was no way Brower could have raised, in the
limited time between the passage of the Act and the
election, the necessary funds to campaign against the
measure. His speech and association were so impermissi-
bly confined as to render them non-existent.
The accelerated timing of the special election violated
Brower’s rights of freedom of speech and association.
Under no conceivable circumstances could Brower, or any
other citizen for that matter, gather the resources to
mount a campaign to fight against the approval of the
legislation. His ability to speak, to associate, to secure the
assistance of others could in no way be achieved within,
the time frame of the quick election set forth in the Act, in
any meaningful scale when compared to the monied cam-
paign favoring the ballot measure.
11
C. One Person One Vote
In Reynolds v. Sims, 377 U.S. 533, 566 (1964) the Court
held that “the opportunity for equal participation by all
voters in the election of state legislators” is required. The
principle of equal participation is violated here. Mr.
Allen, the person who controlled the “team affiliate,” had
a power of participation which surpassed the power of
Brower and, indeed, all of the other voters of the State of
Washington. Mr. Allen had the power to nullify the entire
ballot, that is, he had the power to defeat the entire
referendum. Section 606 provided that the referendum
“shall be null and void” unless the team affiliate entered
into an agreement to “reimburse the state and the coun-
ties for the full cost of the special election to be held on or
before June 20, 1997.” Act § 606. App. B, infra, 116a.
This violates Brower’s rights of equal participation
protected by the Equal Protection Clause of the Four-
teenth Amendment.
And, it should be added that this principle of equal
participation is violated from the standpoint of another
perspective. The team affiliate has, in fact, a legislative
power with regard to the referred legislation. By a deci-
sion not to reimburse the state the team affiliate could
defeat, or veto, the referendum. Act § 606. Id.
The principle of one person one vote should be
applied to every office or position under which the
holder has authority to exercise legislative power. The
power to veto legislation, the power to prevent legislation
from coming into existence, is a legislative power. Gott-
stein v. Lister, 88 Wash. 462, 153 P. 595 (1915). Because it is
12
legislative power, it must only be held by a person hold-
ing an elected position of legislation.
In Sailors v. Board of Education, 387 U.S. 105 (1967), a
case challenging the selection of a county school board,
the Court left open the question as to whether there were
offices or positions which were legislative that must be
elective instead of appointive. Id., at 109-10.!
The selection process by which the person controlling
the team affiliate was selected violates the principle of
one person one vote. Applying these principles, the Court
should determine that a person or group which is to be
empowered to engage in the most basic of legislative acts,
veto of legislation, must be based upon the one person
one vote standard. That is, the person or group should be
selected by popular election. Here, the “office” with the
power to veto the legislation should be elected, and
elected under principles of one person one vote.
1 The Court said:
We need not decide at the present time whether a
State may constitute a local legislative body through
the appointive, rather than the elective, process. We
reserve that question for other cases such as Board of
Supervisors v. Bianchi, ante, [387 U.S. 97 (1967)] p. 97,
which we have disposed of on jurisdictional grounds.
We do not have that question here, as the County
Board of Education performs essentially admini-
strative functions; and while they are important, they
are not legislative in the classical sense.
13
D. The Right of Referendum
Initiative petition circulation is “core political
speech” which involves “interactive communication con-
cerning political change.” Buckley v. American Constitu-
tional Law Foundation, __ U.S. ___ (No. 97-930, Decided
January 12, 1999); Meyer v. Grant, 486 U.S. 414 (1988). The
Court has said that “First Amendment protection for such
interaction, .. . is ‘at its zenith.” Meyer, at 425.
Similarly, the right of referendum, like the right of
initiative and right to circulate a petition for an initiative,
is a constitutionally protected right of core political
speech, limitations or infringements on which are subject
to strict scrutiny.
Here, the Washington State Legislature and Supreme
Court have impermissibly destroyed Brower’s right of
referendum under Wash. Const. Art. II, Section 1(b). This
section provides a right of referendum on legislation
except where there is an emergency. Despite the legisla-
tive statement of neutrality regarding the legislation in
Section 605 of the Act (App. B, infra, 116a) the court held
that the legislation regarding a vote on the ballot measure
Was an emergency and thus the state constitutional right
of referendum was destroyed.
Justice Sanders, of the Washington Supreme Court,
understood what the majority had done. In this case
Justice Sanders said “here we go one step beyond
CLEAN-I[?] by actually discounting a legislative
declaration incompatible with the existence of the alleged
—
2 CLEAN v. State, 130 Wn.2d 782, 928 P.2d 1054 (1996); see
also CLEAN v. City of Spokane, 133 Wn.2d 455, 947 P.2d 1169
(1997), cert. denied, 119 S. Ct. 45 (1998).
14
constitutional emergency at issue; i.e. ‘The legislature
neither affirms nor refutes the value of this proposal, and
by this legislation simply expresses its intent to provide
the voter of the state of Washington an opportunity to
express the voter’s decision. It is also expressed that
many legislators might personally vote against this pro-
posal at the polls, or they might not.’ ” App. A, infra, 41a.
Justice Sanders went on to say
I would prefer the good sense of schoolchildren
who, if asked, “Is an election to consider public
funding of a new football stadium ‘necessary for
the immediate preservation of the public peace,
health or safety?’ ”, undoubtedly would answer
“no,” to the circumlocutions of the majority.
App. A, infra, 43a.
Here, the State Legislature denied Brower his right of
referendum regarding the legislation. It did so on a basis
that does not pass the test of strict scrutiny. The emer-
gency was no emergency. The false declaration was
denial of Brower’s rights of core political speech — the
right to mount a referendum as to the special election
purchased by the team affiliate.
VI. CONCLUSION
The Petition for Writ of Certiorari should be granted.
Respectfully submitted,
Dennis W. CLAYTON
Counsel of Record for Petitioner
March, 1999.
la
Brower v. State, No. 65992-3, (Slip Op., December 24, 1998).
Brower v. State, No. 65992-3, (Slip Op., December 24, 1998).
1998
Dec. 1998 BROWER v. STATE
Cause No. 65992-3
{No. 65992-3. En Banc.]
Argued May 27, 1998. Decided December 24, 1998.
JORDAN BROWER, an
individual,
No. 65992-3
Appellant,
v.
STATE OF WASHINGTON;
RALPH MUNRO, as
Secretary of State;
and FOOTBALL NORTHWEST,
a Washington general
partnership,
EN BANC
Respondents. ) Filed December 24, 1998
Trial Court: Superior Court, Thurston County, No.
97-2-00964-0, Gary R. Tabor, J., October 1, 1997.
Eugster Haskell, by Stephen K. Eugster; Shawn I.
Newman, for appellant.
Attorney Generals Office, by James K. Pharris and
Jeffrey T. Even; Foster Pepper & Shefelman, Peter S.
DiJulio and Warren J. Rheaume; Grover E. Cleveland, for
respondents.
MADSEN, J. — This case concerns Laws of 1997, ch.
220, and Referendum 48, which provide for construction
2a
and financing of new stadium facilities for the Seattle
Seahawks, a professional football team. Appellant Jordan
Brower raises numerous constitutional challenges to the
legislation, primarily in connection with provisions
which conditioned referral of Referendum 48 to the peo-
ple on the payment of costs of the referendum election by
a private entity, the “team affiliate.” Other challenges are
that the Act violates the single subject rule of article II,
section 19 of the Washington Constitution, and that it
contains an invalid emergency clause. We conclude the
legislation is valid and affirm summary judgment in
favor of respondents. In reaching this conclusion, we note
that our recent decision in CLEAN v. State, 130 Wn.2d 782,
928 P.2d 1054 (1996), dictates the result on a number of
the issues Brower has raised.
FACTS
During the 1997 legislative session, the Legislature
enacted a bill (the Act) providing for construction and
financing of a new football and soccer stadium and exhi-
bition center as a public-private enterprise. Laws of 1997,
ch. 220. At the time the legislation was considered,
Respondent Football Northwest, Inc., had an option to
purchase the Seattle Seahawks football team from its
owner who wanted to move the team to California. Foot-
ball Northwest declared it would not exercise the option
to purchase, which was to expire unless exercised by July
1, 1997, unless the legislation was enacted. The Legisla-
ture did not pass the bill outright, however. Instead, the
Legislature referred sections 101 through 604 of the Act to
the people. Among other things, this part of the Act
authorizes creation of a public stadium authority by “any
3a
county that has entered into a letter of intent relating to
the development of a stadium and exhibition center” with
a “team affiliate” or entity with a contractual right to
become a “team affiliate.” Section 102.020; Section
101(10); RCW 36.102.010(10).' The stadium authority can
then enter into agreements with a professional football
team for development of a new stadium and exhibition
center. Sections 105, 106; RCW 36.102.050, .060.
Mr. Brower’s constitutional challenges primarily con-
cern sections 605 through 608 of the Act, which were not
referred to the people. Section 607 directed the Secretary
of State to submit sections 101 through 604 to a vote of
the people on or before June 20, 1997. RCW 36.102.803.
The Secretary of State designated these sections as Refer-
endum Bill No. 48 pursuant to RCW 29.79.250. Section
607 also directed the Attorney General to prepare an
explanatory statement and transmit it to the Secretary of
State: directed the Secretary of State to prepare a voters’
pamphlet addressing the referendum measure; provided
for an accelerated canvass of the results of the election;
and provided that the special election would be limited to
1 The portions of the Act, Laws of 1997, ch. 220, will be
referred to either by the Act’s section numbers (which
correspond to the section numbers of Referendum 48 for those
provisions referred to the people), or to their statutory
codification, or both.
A “team affiliate” is “a professional football team that will
use the stadium and exhibition center, and any affiliate of the
team designated by the team. An ‘affiliate of the team’ means
any person or entity that controls, is controlled by, or is under
common control with the team.” Section 101(10); RCW
36.102.010 (10).
4a
submission of the Act, i.e., no other ballot measures could
be submitted for a vote at the same time. Id. Section 605
stated that “[t]he legislature neither affirms nor refutes
the value of this proposal,” set forth the Legislature’s
intent that the voters be provided an opportunity to
express their decision, and concluded by stating that “[i]t
is also expressed that many legislators might personally
vote against this proposal at the polls, or they might not.”
RCW 36.102.801.
Section 606 provided that the Act would be null and
void unless the team affiliate entered into an agreement
with the Secretary of State to reimburse the state and
counties for the cost of a special election to be held on
Referendum 48. RCW 36.102.802. A reimbursement agree-
ment for costs of the election was entered into by the
Secretary of State and the Seattle Seahawks, Inc., on May
14, 1997. Seattle Seahawks, Inc., immediately assigned all
of its interest in and obligations under the agreement to
Football Northwest. The expenses have been paid.
Section 608 contained an emergency clause providing
that sections 606 and 607 (the provisions for conducting
the special election and for reimbursement of the costs of
the election) should take effect immediately. Laws of
1997, ch. 220, § 608.
The Act had as its legislative title: “AN ACT Relating
to a mechanism for financing stadium and exhibition
centers and education technology grants;....” Laws of
1997, ch. 220, at 1060. While provision was originally
made in the Act to use any excess funds collected over
bonded indebtedness for computer purchases for schools,
i.e., education technology grants, HB 2192, § 24(4), this
3
4
a
§
%
4
5a
provision was deleted before passage by the Legislature,
although the reference remained in the title. The ballot
title of Referendum 48 prepared by the Attorney General
and included in the voters’ pamphlets and on the ballot
stated: “Shall a public stadium authority be authorized to
build and operate a football/soccer stadium and exhibi-
tion center financed by tax revenues and private contri-
butions?” Clerk’s Papers (CP) at 93.
On May 2, 1997, prior to the June 17 date set for the
special election, Brower filed a complaint in Thurston
County Superior Court against the State seeking an
injunction to prevent the election on the basis that the Act
contained an invalid emergency clause. In an amended
complaint, he also sought declaratory relief, alleging that
the Act is unconstitutional on numerous grounds. On
May 21, 1997, Football Northwest moved to intervene. All
parties stipulated to an order permitting intervention,
which was entered May 27, 1997. On June 9, 1997, the
superior court entered an order staying all proceedings
until after the June 17, 1997 special election. Referendum
48 was passed by a margin of 51.1% with a voter turnout
of 51%.
Following the election, the parties filed cross-motions
for summary judgment. The trial court granted summary
judgment in favor of the State and Football Northwest.
This court granted direct review of Brower’s appeal.
Respondent Football Northwest has moved to strike por-
tions of Brower’s brief. The motion has been passed to
the merits.
6a
ANALYSIS
Authority to Submit Referendum 48 to the People
We are reviewing a grant of summary judgment in
favor of respondents. Review of summary judgment is de
novo, with the appellate court engaging in the same
inquiry as the trial court. Gunnier v. Yakima Heart Ctr.,
Inc., 134 Wn.2d 854, 858, 953 P.2d 1162 (1998). Summary
judgment is proper if there is no genuine issue as to any
material fact and the moving party is entitled to judg-
ment as a matter of law. CR 56(c).
Mr. Brower raises numerous constitutional challenges
to the legislation. A statute is presumed to be constitu-
tional and the challenger bears the burden of establishing
the unconstitutionality of the legislation beyond a reason-
able doubt. Island County v. State, 135 Wn.2d 141, 146-47,
955 P.2d 377 (1998); Leonard v. City of Spokane, 127 Wn.2d
194, 197, 897 P.2d 358 (1995). The presumption of consti-
tutionality applies to measures approved by the people.
State ex rel. O'Connell v. Meyers, 51 Wn.2d 454, 458, 319
P.2d 828 (1957); Washington Fed’'n of State Employees v.
State, 127 Wn.2d 544, 558, 901 P.2d 1028 (1995).
The people’s power to legislate directly takes two
forms, the initiative and the referendum. Const. art. II,
§ 1. An initiative is a proposed law directly from the
people through the filing of signed petitions with the
Secretary of State. Const. art. II, § 1{a). An initiative may
be an initiative to the people, or to the Legislature. The
former is placed directly on the ballot for voter approval
or rejection. The latter may be enacted by the Legislature,
or the Legislature may decline to act on the measure, in
4
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7a
which case it will be placed on the ballot, or the Legisla-
ture may enact an alternative to the initiative, in which
case both the initiative and the legislative alternative will
be placed on the ballot. Id. The referendum is the second
power reserved to the people, permitting the voters to
approve or reject a measure which has been enacted by
the Legislature. Const. art. II, § 1(b). A measure may be
referred to the people in two ways. First, voters may refer
a measure by submitting petitions signed by the required
number of voters to the Secretary of State within 90 days
of the end of the session in which the measure was
enacted. Id. at § 1(b), (c). Second, the Legislature may
refer a measure to the people without the voters petition-
ing for a referendum. Id. This case involves a measure
referred to the people by the Legislature.
1. Conditioning Act on agreement of private party to
reimburse costs of special election.
Mr. Brower maintains that the Legislature does not
have general authority to refer a matter to the people, but
instead has only that authority expressly set out in art. Il,
§ 1(b). Here, the Legislature provided that the Act would
be null and void unless the team affiliate entered into an
agreement with the Secretary of State to reimburse the
state and the counties for the costs of the special election.
This, Brower contends, illegally placed the power of ref-
erendum in the hands of a private party, because no
referendum would occur unless the team affiliate agreed
to reimburse the costs of the special election. Brower
further argues that aside from art. II, § 1(b), the Legisla-
ture does not have authority to grant a private party the
4 =
8a
power to perform a legislative act, particularly where, as
here, the private party stands to benefit from the legisla-
tion. Respondents maintain that the Legislature did not
delegate legislative authority, but instead validly condi-
tioned the effectiveness of the Act on third party conduct,
i.e., the contingency that a third party reimburse the state
and counties for their election costs.
The legislative authority of the State is vested in the
Legislature, art. II, § 1, and it is unconstitutional for the
Legislature to abdicate or transfer its legislative function
to others, Keeting v. Public Utils. Dist. No. 1, 49 Wn.2d 761,
767, 306 P.2d 762 (1957).
[H]owever, conditioning the operative effect of a
statute upon a future event specified by the
Legislature does not transfer the state legislative
power to render judgment to the persons or
entity capable of bringing about that event. The
Legislature, itself, determines the statute would
be expedient only in certain circumstances. The
power to make this judgment is not transferred
merely because the circumstances may arise at
the discretion of others. The substance of the act
is complete in itself and the Legislature is the
body which rendered the judgment as to the
expediency of conditioning the operation of the
statute upon the specified event.
Diversified Inv. Partnership v. Department of Soc. & Health
Servs., 113 Wn.2d 19, 28, 775 P.2d 947 (1989); see State v.
Storey, 51 Wash. 630, 632, 99 P. 878 (1909) (“[t]he mere fact
that the act does not take effect until the contingency
arises does not indicate a delegation of legislative power,
even where the contingency depends upon the action of
certain persons”).
9a
Here, the Legislature determined that it was neces-
sary to condition the Act on a requirement that the costs
of the election be paid by the team affiliate in order to
avoid the expenditure of any public funds in connection
with a public stadium project unless the voters approved
the Act. Because this judgment was made by the Legisla-
ture, no unconstitutional delegation of legislative author-
ity occurred.
Moreover, the Legislature may condition the effec-
tiveness of legislation on the acts of a private party who
may possibly benefit from the legislation. In Story [sic],
for example, legislation prohibiting livestock running at
large in any county where three-fourths of the lands were
fenced required county commissioners to determine
whether three-fourths of the county was fenced when ten
or more freeholders applied for enforcement of the act.
Storey, 51 Wash. 630. The effectiveness of the act was thus
conditioned on the acts of the freeholders, private per-
sons, who had to apply for enforcement of the legislation,
as well as upon private parties having fenced lands
within the county. No unconstitutional delegation of leg-
islative powers was found. As in Diversified Inv., the
decision of what event made the legislation effective was
made by the Legislature, not the third party. Moreover, by
applying for enforcement of the act in Storey, the free-
holders obviously sought to benefit from the provisions
of the legislation.?
2 Brower also maintains, however, that a distinction must
be drawn between contingent events which are “public
happenings” and those which are “private happenings.” Our
cases do not draw the distinction urged by Brower. Indeed,
10a
Brower contends, though, that while the Legislature
may enact measures whose effectiveness is contingent
upon a future event, it has no authority to condition the
referral of a measure in such a manner.
The state constitution is not a grant but rather is a
restriction on the law-making power. Clark v. Dwyer, 56
Wn.2d 425, 431, 353 P.2d 941 (1960). “[T]he power of the
legislature to enact all reasonable laws is unrestrained
except where, either expressly or by fair inference, it is
prohibited by the state and federal constitutions.” Id. The
power to enact contingent legislation has clearly been
recognized. The question is whether any limitation on
this power exists because the legislation is referred to the
people.
Article II, section 1(b) of the Washington Constitution
provides:
The second power reserved by the people is the
referendum, and it may be ordered on any act,
bill, law, or any part thereof passed by the legis-
lature, except such laws as may be necessary for
the immediate preservation of the public peace,
health or safety, [or]* support of the state gov-
ernment and its existing public institutions,
Storey is to the contrary. Moreover, insofar as Brower’s argument
is that the contingency must relate to public purposes, the
argument fails to account for CLEAN v. State, 130 Wn.2d 782, 928
P.2d 1054 (1996), where the court held that construction of a
major league baseball stadium in King County serves a public
purpose.
3 “Or” was omitted inadvertently, but is read into the
provision. See CLEAN, 130 Wn.2d at 804 n.7.
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either by petition signed by the required per-
centage of the legal voters, or by the legislature
as other bills are enacted... .
(Emphasis added.) The Legislature is granted the discre-
tionary authority to refer an enactment to the people for
approval or rejection. Art. II, § 1(b) also states that refer-
ral shall be “as other bills are enacted,” indicating that
just as the Legislature can condition the effectiveness of
other bills on third party conduct, it can condition the
effectiveness of a provision referring an act to the people.
The Legislature has authority both to refer a measure to
the people and to condition the effectiveness of an enact-
ment upon the happening of a future event, and nothing
in art. Il, § 1 restrains the Legislature from exercising the
two powers in connection with one piece of legislation.
Accordingly, section 606 does not unconstitutionally dele-
gate legislative authority to the team affiliate.
2. Authority to refer only part of an act.
Brower contends that the Legislature cannot refer
only part of an act to the people. Here, sections 101
through 604 of the Act were referred to the people, but
the sections concerning the Legislature’s position on the
measure, reimbursement of costs of the special election,
conducting the election, and the emergency clause were
not referred. Brower contends that while the people can
order a referendum “on any act, bill, law, or any part
thereof passed by the legislature,” the Legislature can
order a referendum only “as other bills are enacted|[,]”
i.e., only if the act is a complete act. Const. art. II, § 1(a),
(b).
12a
This argument is based on a misreading of art. II,
§ 1(b). The provision states in relevant part that a referen-
dum “may be ordered on any act, bill, law, or any part
thereof passed by the legislature . . . either by peti-
tion . . . of the legal voters, or by the legislature as other
bills are enacted .. . ” Const. art. II, § 1(b) (emphasis
added). The language plainly means that a referendum
may be ordered on a part of any act, bill, or law by either
of two methods - petition of the people, or by the Legisla-
ture in the same way that it enacts other bills. See State ex
rel. Lofgren v. Kramer, 69 Wn.2d 219, 221-22, 417 P.2d 837
(1966) (treating words “as other bills are enacted” as
relating to the process by which bills are enacted). Under
art. II, § 1(b) the Legislature can constitutionally order a
referendum on only part of an act.4
3. Whether legislation can be referred to the people
where the Legislature takes no position on the value
of the legislation.
Mr. Brower also argues, as part of his claim that only
a complete act can be referred to the people, that the
Legislature cannot refer a measure on which it has
refused to take a position. He maintains that Referendum
48 is unconstitutional because it is in fact an unlawful
initiative to the people rather than a referendum. Because
the constitution is a restraint on legislative power, Mr.
Brower’s argument will prevail only if something in or
4 Insofar as Brower’s argument relates to the sections of the
Act providing for the special election, it would be a strange
reading of the constitution if we held that the Legislature must
refer its decision to provide for referral.
LLL
13a
fairly inferable from the state constitution prohibits the
Legislature from referring an act while taking no position
on its value. See Clark, 56 Wn.2d at 431.
Ordinarily, when a bill is passed by the Legislature
the Legislature affirmatively adopts the provisions of the
bill. The Act is clearly an unusual piece of legislation
because the Legislature deliberately took no position on
the value of the legislation before referring it to the
people. Section 605. Nevertheless, examination of the
state constitution leads to the conclusion that, although
unusual, Referendum 48 is a valid referendum.
The legislative rights of the people reserved in state
constitutions are to be liberally construed in order to
preserve them and render them effective. State v. Superior
Court for Thurston County, 97 Wash. 569, 577, 166 P. 1126
(1917). In accord with this view, this court has rejected
technical construction of statutes implementing art. IL,
§ 1, as well as the constitutional provision itself, except
insofar as “necessary to fairly guard against fraud and
mistake in the exercise by the people of this constitutional
right.” Id. at 578 (quotation marks and citation omitted).
For example, in an early case, the court applied a liberal
construction of the provision by reading art. Il, § 1(b) as
allowing for a referendum by the Legislature of a joint
resolution of the Legislature ratifying the federal consti-
tutional amendment for national prohibition. State v.
Howell, 107 Wash. 167, 181 P. 920 (1919). The court
rejected the notion that the matter could not be referred
because it was not “an act, bill, or law” within the mean-
ing of art. II, § 1(b).
14a
Thus, we apply a liberal construction to preserve the
right of referendum.
When the Legislature refers a measure to the people,
it leaves the decision whether the measure will become
law in the hands of the people. Further, while an initia-
tive must have the signatures of the required percentage
of legal voters, as does a referendum ordered by the
people via petition, in the case of a referral by the Legis-
lature the Legislature votes to refer a matter which it
determines should be decided by the people. Whether the
Legislature has affirmed the value of the measure or not,
that vote assures that the Legislature has made a repre-
sentative determination that the people should decide
whether the measure becomes law. These considerations
lead us to reject Brower’s narrow construction as imped-
ing the right of referendum. Whether the Legislature
takes a stand on the merits of the legislation or not, the
Legislature must vote to send the matter to the people
and the people then make the final decision as to whether
the matter becomes law.
We do not find anything in or fairly inferable from
the state constitution which indicates that the Legisla-
ture’s power is restrained in this regard.
Because we find the Legislature had authority to
refer Referendum 48, it follows that we reject Brower’s
contention that the measure is actually an initiative to the
people which is unlawful because it lacks sufficient signa-
tures on a petition. Legislation may be referred to the
people without petition signatures when the Legislature
votes to refer.
i Dae
15a
Veto Power
Brower maintains that the Act unconstitutionally
granted a veto power to Football Northwest in violation
of art. Ill, § 12 of the Washington State Constitution
which vests the right to veto legislation in the hands of
the Governor. Brower apparently reasons that because the
team affiliate could decline to agree to reimburse the
costs of the special election, it had the power to veto the
Act.
Brower cites no authority for the proposition that a
third party’s failure to act to bring about an event upon
which the effectiveness of legislation is contingent would
constitute a veto within the meaning of the constitution.
Moreover, in this case, the Legislature itself made the
determination that the Act would be null and void unless
a reimbursement agreement was entered. Section 606 did
not allow a possibility of a second entity overriding the
Legislature’s intent. There is no merit to the argument
that the veto power has been unlawfully transferred to a
private party.
Special Legislation
Mr. Bower [sic] maintains that the referendum on
sections 101 through 604 of the Act constitutes special
legislation in violation of art. II, § 28 of the Washington
State Constitution. He maintains that the Act provides
that a single entity, the team affiliate, benefits from the
legislation by agreeing to reimburse the costs of the spe-
cial election. This challenge appears to relate to the entire
Act.
l6a
Initially, Respondent Football Northwest urges the
court to decline to consider this issue on the ground that
Brower did not assert a special legislation claim in his
complaint. An issue which was not raised in summary
judgment proceedings ordinarily will not be considered
on appeal. 4 Lewis H. Orland & Karl B. Tegland, Wash-
ington Practice: Rules Practice 560 (1992); see, e.g., Lewis v.
Bell, 45 Wn. App. 192, 196-97, 724 P.2d 425 (1986). How-
ever, the record shows the issue was before the trial
court, and we will address it.
Const. art. IL, § 28(6) provides in relevant part that
“(t]he legislature is prohibited from enacting any private
or special laws in the following cases . . . For granting
corporate powers or privileges.” Special legislation is
legislation which operates upon a single person or entity
while general legislation operates upon all things or peo-
ple within a class. CLEAN, 130 Wn.2d at 802; Convention
Ctr. Coalition v. City of Seattle, 107 Wn.2d 370, 380, 730
P.2d 636 (1986). A class may consist of one person or
corporation provided the law applies to all members of
the class. CLEAN, 130 Wn.2d at 802; Convention Ctr., 107
Wn.2d at 380. However, it is not what the law includes,
but rather what it excludes, which is the test of special
legislation. Island County v. State, 135 Wn.2d 141, 150, 955
P.2d 377 (1998). “ ‘Thus, to survive a challenge as special
legislation, any exclusions from a statute’s applicability,
as well as the statute itself, must be rationally related to
the purpose of the statute.’ ” Id. (quoting City of Seattle v.
State, 103 Wn.2d 663, 674-75, 694 P.2d 641 (1985)).
Mr. Brower argues the legislation applies to a single
entity. He emphasizes language in the act defining “team
17a
4é
affiliate” as “a” professional football team and any affili-
ate of “the” team designated by the team, and stating that
an “ ‘affiliate of the team’ means any person or entity that
controls, is controlled by, or is under common control
with the team.” Section 101(10); RCW 36.102.010(10)
(emphasis added). He also points out that the Act pro-
vides that if the voters reject sections 101 through 604, the
Legislature will not pass any similar measure “for the
team affiliate,” section 604; RCW 36.102.800, and cites
other references to “the team affiliate” in section 106,
RCW 36.102.060 and Section 606, RCW 36.102.802.
The Act is not special legislation. The Act allows for
“any county” to create a public stadium authority if the
county has entered into a letter of intent relating to the
development of a stadium and exhibition center with a
team affiliate or entity with a contractual right to become
a team affiliate. Section 102; RCW 36.102.020. The sta-
dium authority can then enter into agreements with a
professional football team for development of a new sta-
dium and exhibition center. Sections 105, 106; RCW
36.102.050, .060. The definition of a “team affiliate” is “a
professional football team that will use the stadium and
exhibition center, and any affiliate of the team designated
by the team. An ‘affiliate of the team’ means any person
or entity that controls, is controlled by, or is under com-
mon control with the team.” Section 101(10); RCW
36.102.010(10). A “professional football team” is “a team
that is a member of the national football league or similar
professional football association.” Section 101(5); RCW
36.102.010(5).
The legislation applies to a class - any county is
authorized to form a public stadium authority provided it
18a
satisfies the letter of intent requirement. See CLEAN, 130
Wn.2d at 802 (holding that legislation concerning con-
struction and financing of a baseball stadium which
applies only to counties of a certain size was not special
legislation, even where only one county had a population
of that size — possibility existed that another county could
reach the given population in the future). Moreover, the
term “team affiliate” also refers to a class, because it
includes any national football league team or a team of a
similar association, and affiliates designated by such a
team. Finally, the exclusions from the Act’s provisions are
rational. Counties which have not entered a letter of
intent would not be in a position to have a professional
football team playing its home games at a stadium in the
county.
Lending of Credit
Mr. Brower contends that the state advanced funds
and services to conduct the special election on Referen-
dum 48, and this constituted lending of credit to a private
party, the team affiliate, which was obliged to reimburse
these costs. His premise is that the election was an elec-
tion solely to benefit a private party, and the election
costs were the costs of the private party.
Article VIII, section 5 of the Washington State Consti-
tution provides that “[t]he credit of the state shall not, in
any manner be given or loaned to, or in aid of, any
individual, association, company or corporation.” The
purpose of this provision is to “ ‘prevent state funds from
being used to benefit private interests where the public
interest is not primarily served.’ ” CLEAN, 130 Wn.2d at
19a
797 (quoting Japan Line, Ltd. v. McCaffree, 88 Wn.2d 93, 98,
558 P.2d 211 (1977)). The first step in deciding whether a
gift or loan of public funds has been made is to determine
if the funds have been expended to carry out a funda-
mental purpose of government. CLEAN, 130 Wn.2d at
797. If so, no gift or loan of public credit has occurred.
As Respondents contend, there can be no doubt that
a special election on a referendum measure is a govern-
mental purpose. If there was any “lending” of credit, it
was for a governmental purpose. However, it is difficult
to agree that any lending of credit occurred, because the
government generally bears the costs of special elections
on referenda. RCW 29.13.045, .047. Here, a private entity
agreed to reimburse the state and local governments for
their costs. For these reasons, we hold that no lending of
State credit occurred.
Equal Protection; Ballot Access on Basis of Wealth
Brower argues that the Act violates equal protection
principles of the state and federal constitutions because it
allows ballot access to be based upon wealth. Mr. Brower
does not argue that a different analysis applies under the
state privileges and immunities clause than applies under
the Equal Protection Clause.
There is no question that this case is unusual because
a private entity funded a vote on a matter from which, if
the voters approved, the private entity stood to benefit.
Troubling questions may arise, such as whether any
wealthy entity could persuade the Legislature to place a
measure on the ballot provided the costs of the election
20a
were paid, and whether by declining to take a position on
the measure and requiring that election costs be reim-
bursed the Legislature abdicated its role as a representa-
tive body. Those, however, are different considerations
than whether the Act provides unconstitutional ballot
access based upon wealth.
Brower relies upon cases concerning poll taxes and
fees required of candidates in order to appear on the
ballot. In Harper v. Virginia State Bd. of Elections, 383 U.S.
663, 86 S. Ct. 1079, 16 L. Ed. 2d 169 (1966), the Court
invalidated a poll tax on equal protection grounds. Here,
however, no person was denied the right to vote based
upon ability to pay. In Bullock v. Carter, 405 U.S. 134, 92
S. Ct. 849, 31 L. Ed. 2d 92 (1972), the Court invalidated
Texas law providing that candidates had to pay fees in
order to appear on the ballot. In Lubin v. Panish, 415 U.S.
709, 94 S. Ct. 1315, 39 L. Ed. 2d 702 (1974), the Court
invalidated a California statute requiring a ballot access
fee based upon the salary for the office sought. Both
Bullock and Lubin involve a candidate’s right to partici-
pate in an election, not a ballot measure as in this case.
Brower cites no authority which directly supports his
claim that the Act unconstitutionally allows ballot access
to be based on wealth in violation of equal protection.
The State reasons that the referendum and initiative
rights in art. II, § 1 are available without regard to wealth,
and therefore there is no classification depriving the
voters of direct legislation rights because they lack the
ability to pay election costs. Voters can propose an initia-
tive to the people or to the Legislature, and may petition
for a vote on legislation enacted by the Legislature.
Respondents note that in addition to the people’s right to
Sa Nanette et tae TTT
2la
petition to place a measure on ballot, the Legislature also
has the constitutional right to place a referendum mea-
sure on the ballot. The Legislature could have enacted
legislation Providing for a public stadium and exhibition
center without ordering a referendum (as it did for a
baseball stadium in King County). The Legislature also
could have ordered a referendum without requiring a
reimbursement agreement. Accordingly, placement of a
measure on the ballot does not depend upon wealth.
Respondent's arguments are sound.
Finally, we note that even if there were a legitimate
reason for concluding that access to the ballot had been
granted on the basis of wealth, no equal protection viola-
tion would be found because even if the team affiliate
gained ballot access based upon wealth, the people have
an alternative means to place a measure on the ballot
through the petition Process. See Lubin, 415 U.S. at 718
(candidate’s access to ballot based upon wealth not viola-
tive of equal protection where the State provides a rea-
sonable alternative means for ballot access).
We do not agree that the Legislature has unconstitu-
tionally provided ballot access on the basis of wealth.
Right to Political Speech
Mr. Brower argues that his First Amendment political
speech and equal protection rights were violated because
the Legislature scheduled the special election on Referen-
dum 48 to take place less than 60 days after the Act was
enacted by the Legislature. He claims, without support,
that one of the purposes of the Act was to make it
possible for moneyed interests to “drown out the voices
22a
of the less affluent.” Br. of Appellant at 26-27. He points
out that the proponent of the measure spent millions of
dollars in campaigning on its behalf. He evidently
believes that he should have been permitted more time to
raise funds. Although not stated, his argument might also
suggest that expenditures on behalf of Referendum 48
should have been limited.
Initially, the validity of the emergency clause which
permitted the election to occur less than 90 days after the
1997 legislative session is discussed below. The issue here
is whether the short timetable unconstitutionally
deprived Brower of an opportunity to raise funds to
oppose the referendum in violation of the First Amend-
ment, or whether the disparity in funding otherwise vio-
lated his political speech rights or equal protection.
The influence of money in politics has been the sub-
ject of much attention. Many commentators have noted
the power of private wealth to shape the nature and
outcome of elections. E.g., Jamin Raskin & John Bonifaz,
Equal Protection and the Wealth Primary, 11 Yale L. & Pol’y
Rev. 273 (1993). The concerns about the influence of
wealth in politics has been noted in connection with
ballot propositions as well as in connection with candi-
dates for public office. E.g., Richard Briffault, Ballot Propo-
sitions and Campaign Finance Reform, 1996 Ann. Surv. Am.
L. 413 (1996). Despite the commentary, and the contro-
versy, it is clear that rather than mandating equality in
spending on a ballot measure, the First Amendment pro-
hibits a state from limiting contributions for and against
ballot measures.
23a
In Buckley v. Valeo, 424 U.S. 1, 48-49, 96 S. Ct. 612, 46
L. Ed. 2d 659 (1976), the United States Supreme Court
said that “the concept that government may restrict the
speech of some elements of our society in order to
enhance the relative voice of others is wholly foreign to
the First Amendment.” Governmental regulation of cam-
paign money must be subjected to the exacting scrutiny
applicable to core First Amendment rights of political
speech. Id. at 44. In effect, money is central to effective
communication of information concerning candidates and
issues. Where a political candidate’s campaign is con-
cerned, the prevention of corruption and the appearance
of corruption are sufficient governmental interests justi-
fying limitations on individual and political action com-
mittee contributions to a campaign. However, the Court
found no such corrupting influence attributable to overall
campaign expenditures or from personal or family
resources, and no other governmental interest sufficient
to justify restrictions on overall campaign expenditures or
expenditures by a candidate from personal or family
resources. Id. 51-58. Thus, the total amount spent on a
campaign, and the amount from personal and family
sources, could not be limited by the state.
In the area of ballot measures, as opposed to candi-
dates for office, the danger of corrupting officeholders
through campaign contributions is generally absent.
“[D]onations to initiative campaigns, or direct expendi-
tures in connection with ballot propositions, rarely pose a
danger of corrupting elected officials since there is NO one
to corrupt in such elections.” Richard Briffault, 1996 Ann.
Surv. Am. L. at 422. The Court has held that the First
Amendment prohibits the states from limiting the dollar
24a
amounts of contributions for and against ballot measures
in order to “equalize” the information presented on both
sides. Citizens Against Rent Control/Coalition for Fair Hous-
ing v. City of Berkeley, 454 U.S. 290, 297-98, 102 S. Ct. 434,
70 L. Ed. 2d 492 (1981). The Court reasoned that a ballot
measure is about ideas, and does not afford the oppor-
tunity for an expectation of a quid pro quo, unlike the
situation where a candidate runs for office. Id.; see also
First National Bank v. Bellotti, 435 U.S. 765, 98 S. Ct. 1407,
55 L. Ed. 2d 707 (1978) (invalidating a state law barring
corporations from campaign expenditures on ballot mea-
sures).
Thus, no one has a right to equal funding to advocate
or oppose a ballot measure. Further, Brower fails to show
a governmental interest which would be sufficient to
justify the Legislature in considering his ability to raise
funds when providing for the election, or to justify the
Legislature in restricting expenditures of advocates of
Referendum 48. No First Amendment or equal protection
violation has occurred as a result of the Legislature’s
failure to do so. Brower’s rights to political speech and
equal protection were not violated by the scheduling of
the special election.
One Person; One Vote
Mr. Brower argues that the equal protection principle
of one person-one vote was violated because the team
affiliate could decide whether to agree to reimburse the
state and local governments for the costs of the special
election, and this constituted a “vote.”
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25a
The Equal Protection Clause requires that equal par-
ticipation in the election process be accorded all citizens.
Reynolds v. Sims, 377 U.S. 533, 565-66, 84 S. Ct. 1362, 12
L. Ed. 2d 506 (1964). Thus, in establishing voting districts
within a state, the districts must have ” ‘substantial
equality of population’ ” in order to insure that “the vote
of any citizen is approximately equal in weight to that of
any other citizen in the State.’ ” Story v. Anderson, 93
Wn.2d 546, 549-50, 611 P2d 764 (1980) (quoting Reynolds,
377 U.S. at 579). In addition, district lines must not be
drawn in a way which invidiously dilutes the voting
strength of a particular racial or political group. Story, 93
Wn.2d at 549 (citing White v. Regester, 412 US. 755,
765-70, 93 S. Ct. 2332, 37 L. Ed. 2d 314 (1973)).5
The difficulty with Brower’s argument is that a state-
wide vote occurred on Referendum 48 without any “dis-
tricts” involved. Moreover, the team affiliate as an entity
had no vote in the special election. Mr. Brower’s vote was
not outweighed by any other vote.
No violation of the one person-one vote principle
occurred.
Right to a Free and Equal Vote
Mr. Brower contends that the ability of the team
affiliate to decide whether to reimburse the costs of the
° More recent United States Supreme Court cases add to the
analysis where racial gerrymandering is alleged. See Miller v.
Johnson, 515 U.S. 900, 115 S. Ct. 2475, 132 L. Ed. 2d 762 (1995)
\clarifying Shaw v. Reno, 509 USS. 630, 113 S. Ct. 2816, 125
L. Ed. 2d 511 (1993)).
26a
special election constitutes a vote which carries more
weight than his and those of other voters in the state, and
thus violates his right to a free and equal vote under art.
I, § 19 of the Washington State Constitution.
Article I, section 19 provides that “[a]ll Elections
shall be free and equal, and no power, civil or military,
shall at any time interfere to prevent the free exercise of
the right of suffrage.” The right to vote is fundamental,
and art. I, § 19 provides greater protection for a free and
equal vote than does the federal constitution’s one per-
son-one vote equal protection right. Foster v. Sunnyside
Valley Irrig. Dist., 102 Wn.2d 395, 687 P.2d 841 (1984).
Article I, section 19 requires “that otherwise qualified
voters who are significantly affected by the results of an
election be given an opportunity to vote in that election.”
City of Seattle v. State, 103 Wn.2d 663, 673, 694 P.2d 641
(1985).
Article I, section 19 is not implicated in this case. The
only election involved is the election on Referendum 48.
Mr. Brower’s right to vote in that election was not
impeded in any way. Moreover, the team affiliate did not
have a vote at all. The reimbursement provision did not
grant a voting right, but conditioned the effectiveness of
the legislation.
There was no violation of Mr. Brower’s right to a free
and equal vote.
Fundamental Principles; Public Policy
Mr. Brower contends the Act is unconstitutional
because it violates fundamental principles in violation of
27a
art. [, §§ 1 and 32 of the Washington State Constitution
and is against public policy in light of other constitu-
tional violations he claims result from the Act.
Article I, section 32 provides that “[a] frequent recur-
rence to fundamental principles is essential to the secu-
rity of individual right and the perpetuity of free
government.” This provision has primarily been viewed
as an interpretative mechanism in connection with indi-
vidual rights, and has also been used to define principles
of state and local government. Seeley v. State, 132 Wn.2d
776, 809-12, 940 P.2d 604 (1997). The court has reasoned
that the provision emphasizes the importance of individ-
ual rights provided in Const. art I, §§ 1-31. Doe v. Puget
Sound Blood Ctr., 117 Wn.2d 772, 780-81, 819 P.2d 370
(1991). Article I, section 32 has not been interpreted as
providing substantive rights in and of itself. The Act does
not otherwise violate the constitution, and we will not
apply art. I, § 32 to overturn the measure. Mr. Brower’s
claims of violation of public policy are duplicative of his
claims that numerous constitutional provisions have been
violated.
We hold that the Act does not violate fundamental
principles or public policy.
Article II, section 19; Multiple Subjects Prohibition
Mr. Brower maintains that the Act is unconstitutional
because it violates the single subject rule of art. IL, § 19 of
the Washington State Constitution.
Article II, section 19 provides: “No bill shall embrace
more than one subject, and that subject shall be expressed
28a
in the title.” The policies underlying the constitutional
provision are the prevention of ” ‘logrolling,’ or pushing
legislation through by attaching it to other necessary or
desirable legislation,” and general notice to members of
the legislature and the public of what is contained in the
proposed legislation. State v. Thorne, 129 Wn.2d 736, 757,
921 P.2d 514 (1996); see Washington Fed'n of State Employees
v. State, 127 Wn.2d 544, 552, 901 P.2d 1028 (1995).
1. Title of Act.
Brower first claims that the Act’s title violates art. II,
§ 19. The initial question is whether the legislative title or
the ballot title is the relevant title. In Washington Fed’n the
court held that the ballot title is the relevant title where
an initiative is voted on by the people, noting among
other things that it is the ballot title with which the voters
are faced when voting. Washington Fed'n, 127 Wn.2d at
555 . (The court also noted that not all initiatives have
legislative titles.) In State v. Broadaway, 133 Wn.2d 118,
942 P.2d 363 (1997), the court held that where an initiative
to the Legislature was enacted by the Legislature, the
legislative title, which is the title before the legislators
when voting on the measure, is the relevant title.
In this case, sections 605 through 608 of the Act were
enacted by the Legislature, while sections 101 through
604 comprised Referendum 48 which the voters approved
in the special election. Because the people made the final
decision as to whether Referendum 48 would be the law,
the ballot title is the relevant title to assess that part of the
legislation for compliance with art. II, § 19 in light of
Washington Fed’n. However, the people did not vote on
i
29a
sections 605 through 608. Consistent with Washington
Fed'n and Broadaway, the legislative title is the relevant
title for these sections of the Act; the ballot title was not
before the Legislature.®
The ballot title of Referendum 48 provided: “Shall a
public stadium authority be authorized to build and
operate a football/soccer stadium and exhibition center
financed by tax revenues and private contributions?” CP
at 93. Mr. Brower does not claim that this title violates art.
Il, § 19.
As to the Legislature’s enactment of sections 605
through 608, the Legislative title states: “AN ACT Relat-
ing to a mechanism for financing stadium and exhibition
centers and education technology grants;.... ” Laws of
1997, ch. 220, at 1060. Brower maintains that the subject
“education technology grants” is a second subject which
is not included in the Act. As noted, a provision concern-
ing education technology grants appeared in HB 2192,
§ 24(4), but was deleted before passage by the Legisla-
ture. 4
Where the Legislature removes a provision from a
bill by amendment, but a reference to that provision
continues to appear in the title, no violation of art. II, § 19
occurs. State v. Carroll, 81 Wn.2d 95, 102, 500 P.2d 115
© In this regard, we note that sections 605 through 608 do
not merely provide for a special election on a referendum
measure. The sections also contain the provisions conditioning
the effectiveness of the legislation on the acts of the team
affiliate. Accordingly, we are not required to address the
question whether provisions only providing for referral of a
measure are subject to art. II, § 19.
30a
(1972). In Carroll, the title stated that a statute had been
amended, but the amending section of the bill was
removed before passage. The title continued to refer to
amending the statute. The court said that “the portions of
the title which were inadvertently left in after the bill
itself was amended are surplusage” and the title did not
violate art. Il, § 19. Id. at 102.
We add that the enrolled bill doctrine forbids an
inquiry into whether the Legislature might have been
misled by a continued reference in the title to material
deleted from an act. State ex rel. Washington Toll Bridge
Auth. v. Yelle, 61 Wn.2d 28, 33, 377 P.2d 466 (1962). While
Brower claims that the court found no second subject in
the title in Yelle, the court in Carroll refused to even
consider whether the reference in the title to an amend-
ment would have been a reference to a second subject
where the amending provision had been deleted from the
body of the act.
Under Carroll, the legislative title does not violate art.
Il, § 19.
2. Second subject in Act
Mr. Brower also argues that the Act contains a second
subject, a “private” election, which is not expressed in the
title. Again, his starting point is the legislative title. (Since
Referendum 48 did not contain the election provisions, it
would not, in any case, be subject to this challenge.)
This claim is unpersuasive. First, the Legislature is
constitutionally entitled to refer a measure to the people.
Const. art. Il, § 1(b). We will not read into the state
3la
constitution a requirement that any time the Legislature
refers a matter it must enact a separate piece of legisla-
tion to provide for the election, which is what Brower’s
argument, if accepted, would require. Further, the legisla-
tion enacted by the Legislature included the provisions
referring the measure to the people and the election
procedures involved. The legislative title, in addition to
that part quoted above, listed statutes which would be
amended or newly created, and added: “providing a con-
tingent expiration date; providing for the submission of
certain sections of this act to a vote of the people; and
declaring an emergency.” Laws of 1997, ch. 220, at 1060
(emphasis added). The election provisions were clearly
encompassed within the title.
In summary, we hold that the ballot title is the rele-
vant title insofar as Referendum 48 is concerned, and that
the legislative title is the relevant title insofar as the
Legislature enacted part of the Act which was not
referred to the people. We find no violation of art. II, § 19.
Emergency Clause
Mr. Brower contends that section 608, the emergency
clause relating to the reimbursement and election provi-
sions, is invalid. He asserts that the purpose of the clause
is to permit an election at a time dictated by the team
affiliate. He argues that the clause is an obviously false
and palpable attempt at dissimulation because the Legis-
lature itself was neutral on the value of the Act and so no
emergency existed. If an emergency had existed, Brower
urges, the state would have paid the costs of the election.
32a
Article II, section 1(b) provides in part that the power
of referendum reserved by the people may be ordered on
any legislation “except such laws as may be necessary for
the immediate preservation of the public peace, health or
safety. ...” An emergency clause is tested against this
standard. CLEAN, 130 Wn.2d at 803-12.
Mr. Brower’s argument is not persuasive in light of
CLEAN. The court there held that construction of a major
public sports stadium is a proper exercise of the State’s
police power. Id. at 805-06. The court also held in that
case that the stadium act concerning new baseball sta-
dium facilities for the Seattle Mariners was necessary for
the immediate preservation of the public peace, health or
safety. The court noted that an emergency clause is given
effect “ ‘unless the declaration on its face is obviously
false; and, in determining the truth or falsity of the legis-
lative declaration, [the court] will enter upon no inquiry
as to the facts’” and will give the declaration every
favorable presumption. Id. at 807 (quoting State ex rel.
Humiston v. Meyers, 61 Wn.2d 772, 778, 380 P.2d 735
(1963)). “Legislative declarations of fact, such as the exis-
tence of an emergency, are deemed conclusive unless they
are ‘obviously false and a palpable attempt at dissimula-
tion.’ ” Id. at 808 (citations omitted). The court deter-
mined from the record in that case that a real emergency
existed because the public purpose sought to be achieved
by passage of the stadium act would be unattainable if
the Mariners franchise was sold to investors before the
Legislature could assure the owners that a new facility
would be built in King County. Id. at 809-11.
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33a
In this case, submission of Referendum 48 clearly
constitutes a public purpose because the state constitu-
tion expressly provides for the Legislature to refer enact-
ments to the people at a special election. Const. art. II,
§ 1(b), (d). The referendum itself concerns public sports
stadium, also a public purpose. CLEAN, 130 Wn.2d at
805-06. The referral and election provisions were also
necessary for the immediate preservation of the public
peace, health, or safety. See id. at 804, 808-09. The record
shows that if these provisions had not been declared an
emergency, they would not have taken effect until 90
days after the end of the legislation, after Football North-
west’s option to purchase the Seahawks expired. The then
current owner of the Seahawks wanted to move the team
from Washington. Football Northwest would help finance
the cost of new facilities, but declared it would do so only
if voters approved Referendum 48. In order for the legis-
lation to achieve its purpose, the election had to be held
before the option expired. The purpose of the legislation,
construction of a public sports stadium and exhibition
center provided the people approved of it, would not
have been achievable unless sections 605 through 608
were effective before Football Northwest’s option
expired. In other words, it was the need for an expe-
ditious vote, not the need to construct a stadium, which
constituted the emergency.’
? Notably, the emergency clause in section 608 did not
apply to the provisions of the Act concerning construction of a
public sports stadium and exhibition center, sections 101
through 604, but instead applied to only the special election and
reimbursement provisions, sections 606 and 607.
—
34a
Further, the Legislature directed accelerated canvass-
ing of the election results, thus indicating its decision that
a prompt determination of election results was needed.
Similar to the situation in CLEAN, the record demon-
strates that the purpose of the stadium act in this case
would be unattainable without the Legislature’s declara-
tion of an emergency and accordingly the declaration was
not obviously false.
The dissent’s analysis unfortunately paints an incom-
plete picture. The dissent offers two scenarios, neither of
which reflects the actual circumstances. The dissent
believes that either “emergency” relates solely to the
election process in and of itself, or “emergency” relates to
legislation on which the Legislature took no position. But
at issue is not merely an election nor merely legislation
on which the Legislature took no position. The Legisla-
ture by majority vote determined that the people of this
state should decide whether to commit public funds to a
public sports stadium, and if the voters approved, the
stadium would be constructed. That purpose would be
utterly thwarted if the election provisions did not take
effect before Football Northwest's option expired. The
people’s right to vote on a legislatively referred matter
would have been rendered completely meaningless with-
out the emergency clause.
Moreover, we are not faced with a new issue or one
of first impression in this case. Following the dissent’s
approach would require that we overrule recently
decided precedent. See CLEAN v. State, 130 Wn.2d 782,
928 P.2d 1054 (1996). Overruling a prior decision should
not be undertaken lightly. Keene v. Edie, 131 Wn.2d 822,
831, 935 P.2d 588 (1997). This is especially true where the
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35a
precedential case is recent and the varying views on the
issue thoroughly explored in the case.
Next, Mr. Brower contends that his right of referen-
dum will be violated if the court does not declare the
emergency clause invalid. However, with regard to sec-
tions 101 through 604 of the Act, the right of referendum
does not provide a basis to delay an election on a matter
already referred to the people. In Langdon v. City of Walla
Walla, 112 Wash. 446, 468, 193 P. 1 (1920), the court
rejected a challenge that an emergency clause denied the
right to referendum where the measure already provided
for a referendum. As Respondents put it, Mr. Brower does
not have a right to a referendum on a referendum. With
regard to sections 605 through 608 of the Act, our conclu-
sion that the emergency clause is valid precludes any
argument that Brower’s right to referendum has been
denied.
Mr. Brower also urges that his right to free political
speech will be violated if the court simply applies the
standard for validity of emergency clauses which it uti-
lized in CLEAN. He maintains that where political speech
is concerned, an emergency clause must satisfy the
“exacting scrutiny” standard applicable when a law bur-
dens core political speech. See, e.g., First Nat'l Bank v.
Bellotti, 435 U.S. 765, 786, 98 S. Ct. 1407, 55 L. Ed. 2d 707
(1978).
While political speech is involved where a campaign
on a ballot measure is involved, Mr. Brower’s political
speech rights have not been unconstitutionally infringed
as a result of the election schedule, as discussed above.
That election schedule was, of course, made possible by
36a
the declaration of emergency. Given these considerations,
we decline to discuss whether the standard for assessing
an emergency clause should be different where political
speech might be adversely impacted.
The emergency clause in section 608 is valid.
Severability
Mr. Brower contends that unconstitutional provisions
of the Act cannot be severed from the remainder of the
Act. Because we do not find any of the provisions uncon-
stitutional, we do not reach this issue.
Motion to Strike
Football Northwest has moved pursuant to RAP
10.4(d) to strike portions of Mr. Brower’s brief on the
ground that Brower has made factual assertions unsup-
ported by evidence and legal conclusions unsupported by
authority. Football Northwest objects to Brower’s claim
that Football Northwest had a “veto,” that the burden of
proof is on Respondents (Football Northwest seriously
misrepresents Brower’s argument — Brower clearly states
that the burden is on him, but suggests in a footnote that
it “might be contended” that burden should be on
Respondents), that a decision outside an election is a
“vote,” that the Legislature cannot order a referendum on
only a part of an act, that the Legislature did not enact the
Act, and that Brower has a right to have a referendum on
a referendum. The motion is contained in Football North-
west’s brief.
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37a
While the court can refuse to consider assertions and
argument which fail to comply with RAP 10.4(d), the
items complained about have more to do with Brower’s
characterization of the effect of the Legislation than with
unsupported factual assertions or incorrect statements of
law.
In any event, a party may include in a brief only a
motion which, if granted, would preclude hearing the
case on the merits. RAP 17.4(d). Granting Football North-
west’s motion would not preclude hearing this case on
the merits, and accordingly the motion will not be consid-
ered. Lawson v. State, 107 Wn.2d 444, 448, 730 P.2d 1308
(1986).
CONCLUSION
The trial court’s grant of summary judgment in favor
of Respondents is affirmed. The motion to strike is not
properly before the court and will not be considered.
DURHAM, C.J., and GUY, JOHNSON, DOLLIVER,
SMITH, and ALEXANDER, JJ., concur.
SANDERS
SANDERS, J. (dissenfing) - Our state constitution
article II, section 1, guarantees the people’s right to refer-
endum, subject only to a specific exception, and article II,
section 28(6), absolutely prohibits special laws “for grant-
ing corporate powers or privileges,” without exception.
As it is the duty of this court to uphold the constitution in
general, and these provisions in particular, I must dissent
from an errant majority. It is not the role of the court to
run interference for legislative excess, nor score points for
38a
corporate wealth, but to protect the constitutional rules of
the game.
CONSTITUTIONAL RIGHT TO REFERENDUM
Article II, section 1(b), of the Washington Constitu-
tion plainly provides a referendum may be ordered on
“any act, bill, law, or any part thereof passed by the
legislature, except such laws as may be necessary for the
immediate preservation of the public peace, health or
safety. ... ” The first question before us, therefore, is
whether sections 606 and 607 of the subject legislation fit
within the constitutional exception to the general right of
referendum. See Laws of 1997, ch. 220, §§ 606, 607.
Section 606! exclusively vests in the Seahawks the
option to pay for, and thus hold, a special election;
whereas section 607? details the subject of and procedure
by which an the election might be held.
1 Laws of 1997, ch. 220, § 606, provides:
Notwithstanding any other provision of this act,
this act shall be null and void in its entirety unless the
team affiliate as defined in section 101 of this act
enters into an agreement with the secretary of state to
reimburse the state and the counties for the full cost
of the special election to be held on or before June 20,
1997.
2 Laws of 1997, ch. 220, § 607, provides:
(1) The secretary of state shall submit sections
101 through 604 of this act to the people for their
adoption and ratification, or rejection, at a special
election to be held in this state on or before June 20,
1997, in accordance with Article II, section 1 of the
state Constitution and the laws adopted to facilitate
39a
The majority opines the requirements of the constitu-
tional exception to the people’s right of referendum has
its operation. The special election shall be limited to
submission of this act to the people.
(2) The attorney general shall prepare the
explanatory statement required by RCW 29.81.020
and transmit that statement regarding the
referendum to the secretary of state no later than the
last Monday of April before the special! election.
(3) The secretary of state shall prepare and
distribute a voters’ pamphlet addressing this
referendum measure following the procedures and
requirements of chapter 29.81 RCW, except that the
secretary of state may establish different deadlines
for the appointment of committees to draft arguments
for and against the referendum, for submitting
arguments for and against the referendum, and for
submitting rebuttal statements of arguments for and
against the referendum. The voters’ pamphlet
description of the referendum measure shall include
information to inform the public that ownership of
the KingDome may be transferred to the public
stadium authority and that the KingDome will be
demolished in order to accommodate the new football!
stadium.
(4) A county auditor may conduct the voting at
this special election in all precincts of the county by
mail using the procedures set forth in RCW 29.36.121
through 29.36.139.
(5) Notwithstanding the provisions of RCW
29.62.020, the county canvassing board in each county
shall canvass and certify the votes cast at this special
election in that county to the secretary of state no later
than the seventh day following the election.
Notwithstanding the provisions of RCW 29.62.120,
the secretary of state shall canvass and certify the
40a
been met based upon (1) the “emergency” clause in the
legislation itself,? and (2) a statement in the record that
Football Northwest’s option to purchase the Seahawks
would expire shortly after the legislation was passed.
Majority at 32. The majority also claims its result is
required by our holding in CLEAN v. State, 130 Wn.2d
782, 792-93, 928 P.2d 1054 (1996) (CLEAN-I). I disagree.
Although profound reservations about the CLEAN-I
decision were expressed in the dissent to that majority
opinion, its dictates were followed in CLEAN v. City of
Spokane, 133 Wn.2d 455, 947 P.2d 1169 (1997) (CLEAN-II),
cert. denied, 119 S. Ct. 45 (1998), as they must be followed
until, or unless, overruled. See CLEAN-II, 133 Wn.2d at
478 (Sanders, J., concurring) (“Once the constitutional
well has been poisoned, we all must drink from it lest the
returns from the counties no later than the ninth day
following the special election.
(6) The secretary of state shall reimburse each
county for the cost of conducting the special election
in that county in the same manner as state primary
and general election costs are reimbursed under RCW
29.13.047 (1) and (3).
(7) No other state, county, or local election shall
be required or held on any proposition related to or
affecting the stadium and exhibition center defined in
section 101 of this act.
3 Laws of 1997, ch. 220, § 608, the “emergency clause,” of
the act provides:
Sections 606 and 607 of this act are necessary for
the immediate preservation of the public peace,
health, or safety, or support of the state government
and its existing public institutions, and take effect
immediately.
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4la
incentive to correct our mistakes in a principled fashion
be lost by inconsistently imposing them.”). But in this
case the majority goes beyond the holding of CLEAN-I to
achieve its result.
The dissent to the majority in CLEAN-I opined the
court there had abdicated its judicial role by deferring to
legislative excess at the expense of the people who have
the constitutional right to themselves legislate through
initiative and referendum. See CLEAN-I, 130 Wn.2d at 821
(Sanders, J., dissenting). However such deference, not of
constitutional origin, persuaded the CLEAN-I majority to
credit the so-called emergency clause affixed to the base-
ball stadium tax bill with a status of objective truth
neither present in nature nor otherwise apparent from
even the face of the legislation. But here we go one step
beyond CLEAN-I by actually discounting a legislative
declaration incompatible with the existence of the alleged
constitutional emergency at issue; i.e.,
The legislature neither affirms nor refutes the
value of this proposal, and by this legislation
simply expresses its intent to provide the voter
of the state of Washington an opportunity to
express the voter’s decision. It is also expressed
that many legislators might personally vote
against this proposal at the polls, or they might
not.
Laws of 1997, ch. 220, § 605. Compare CLEAN-I, 130
Wn.2d at 807 (“In reviewing legislative declarations of
emergency we are to give substantial deference to the
Legislature.”).
42a
Moreover the majority focuses upon whether a “real
emergency existed” (Majority at 32), although the opera-
tive constitutional provision never uses the word “emer-
gency,” but rather references the need for “immediate
preservation” of the “public peace, health or safety. ... ”
Const. art. II, § 1(b). The majority’s analysis thereby erro-
neously collapses the operative constitutional text into
simply a requirement for “immediacy” without regard to
the particular nature of the problem in substance; e.g.,
does the problem threaten the “public peace, health or
safety” or, rather, the financial expectations of the privi-
leged few?
While the majority finds immediacy in the specifics
of the Seahawks’ option, it elsewhere defends against the
claim of unconstitutional special legislation by asserting
that this legislation “applies to a class” of counties and
“team affiliate[s],” not just the Seahawks only. Majority at
17. But if such is the case, how can we credit an “emer-
gency” to the class by exclusively relying on the specific
facts fortuitously unique to but one of its members?
Beyond that I wonder if, indeed, the legislature acted
with courage to avert a pending catastrophe at the last
possible moment what was the exact nature of the catas-
trophe so nearly avoided? In CLEAN-I it was the specter
that the Mariners might leave town to make more money
elsewhere which prompted the crisis which was “solved”
through public financing of a new stadium.* However
here the fate of that indispensable institution for public
4 Although less than “an emergency of apocalyptic
dimensions,” the CLEAN-I majority advised. Id. at 809.
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43a
peace, health, or safety the Seahawks is not similarly
secured by this legislative action but rather its future is
simply referred to the whims of the electorate, with a
declaration that the very legislators enacting this “emer-
gency” measure may not even vote for new stadium taxes
in any event.
How the act of simply holding an election without
regard to result can qualify under the plain language of
the constitutional imperative (“immediate preservation of
the public peace, health or safety. . . . ”) is something
which the majority does not explain and I cannot fathom.
If the prospective loss of the Seahawks is an “emergency”
which must be promptly “solved” by the legislature, an
election would not necessarily approve the new taxes. At
most an election is a means, not an end in itself.
I would prefer the good sense of schoolchildren who,
if asked, “Is an election to consider public funding of a
new football stadium ‘necessary for the immediate pre-
servation of the public peace, health or safety?”,
undoubtedly would answer “no,” to the circumlocutions
of the majority.
UNCONSTITUTIONAL SPECIAL LEGISLATION
The second major flaw in the majority opinion is its
treatment of the absolute constitutional prohibition
against special legislation:
The legislature is prohibited from enacting
any private or special laws in the following
cases:
44a
6. For granting corporate powers or privi-
leges.
Const. art. II, § 28.
At the outset the majority finds an “emergency” in
the need for an “expeditious vote” to precede the impen-
ding expiration date of Football Northwest's option to
purchase the Seahawks team. Majority at 33. Yet the
majority inconsistently justifies the legislation against the
claim of special privilege to Football Northwest relying
upon the statutory text’s use of the generic term “team
affiliate.” Majority at 16-17. Although in some parallel
universe “team affiliate” might reference something other
than Football Northwest not on this planet. But let us
accept the challenge and test the claim of special privilege
“4 in the abstract.
Turning our attention to that provision of the statute
which gives the “team affiliate” the exclusive right to pay
for (or buy) the election, and thereby determine if we are
to have one, one must also consider whether this provi-
sion grants a special privilege to a corporation not avail-
able to others similarly situated.
As perceived by appellant in his brief, “[Const. art. II,
§ 28] is directed against legislation which favors one
particular person, group or area to the exclusion of
others” (citing Municipality of Metro. Seattle v. City of
Seattle, 57 Wn.2d 446, 357 P.2d 863 (1960)), whereas
“[slections of this provision tend to protect people of
[the] state as a whole from legislative favoritism of indi-
vidual or group” (citing State ex rel. Collier v. Yelle, 9
Wn.2d 317, 115 P.2d 373 (1941)). Br. of Appellant at 27-28.
45a
It may be generally said that a special law is one
which relates to particular persons or things while a
general law is one which applies to all persons or things
of a class. Spokane & Eastern Trust Co. v. Hart, 127 Wash.
541, 548, 221 P. 615 (1923) (citing Young Men’s Christian
Ass’n v. Parish, 89 Wash. 495, 154 P. 785 (1916)). However,
the true principle requires something more than
a mere designation by such characteristics as
will serve to classify, for the characteristics
which thus serve as the basis of classification
must be of such a nature as to mark the objects
so designated as peculiarly requiring exclusive
legislation. . . . The marks of distinction on
which the classification is founded must be
such, in the nature of things, as will, in some
reasonable degree, at least, account for or justify
the restriction of the legislation.
Hart, 127 Wash. at 549 (quoting State ex rel. Richards v.
Hammer, 42 N.J.L. 435, 440 (1880), aff'd, 44 N.J.L. 667
(1882)). So even if we engage in the fiction that “team
affiliate” is not merely a pseudonym for Football North-
west, but rather by pure coincidence a lonely star in an
otherwise empty universe, the question still remains
whether there is a rational basis to allow the “team affili-
ate” the exclusive privilege to hold the election by agree-
ing to pay for it, as this exclusive privilege is certainly
unavailable to any other person or private corporation
who might want to assure the election is conducted. But
if an election, bought and paid for by a “team affliliate
isic],” is a good thing, why not make this a game anyone
can play? The issue is exclusion.
46a
In pertinent part this legislation specially delivers the
right to conduct this election to uniquely privileged cor-
porate hands:
Notwithstanding any other provision of this
act, this act shall be null and void in its entirety
unless the team affiliate as defined in section
101 of this act enters into an agreement with the
secretary of state to reimburse the state and the
counties for the full cost of the special election
to be held on or before June 20, 1997.
Laws of 1997, ch. 220, § 606.
What the majority fails to explain is why it is only the
team affiliate which is favored with the unique option to
buy this election. If this election is for a “public purpose,”
as says the majority, then why gamble the public interest
by limiting the special power to hold it? Yes, I think by
application of the criteria by which we measure special
grants of corporate privilege, this is it. Even if we consid-
ered the “team affiliate” a “class” of corporations having
but one member, it is still a special privilege to that class
to the exclusion of those who are not in the class; whereas
each excluded citizen has at least an equally rational basis
to claim the right to pay for this election as does the
privileged “team affiliate.” Compare CLEAN-I, 130 Wn.2d
at 802 (“In order to ‘survive a challenge to a special
legislation, any exclusions from a statute’s applicability,
as well as the statute itself, must be rationally related to
the purpose of the statute.” (quoting City of Seattle v.
State, 103 Wn.2d 663, 675, 694 P.2d 641 (1985)).
Ee
47a
CONCLUSION
As to what remains of our referendum clause, and
the constitutional prohibition against special grants of
corporate privilege, I see only an outline of ashes on the
courtroom floor.
48a
STADIUM, EXHIBITION CENTERS, AND EDUCATION
TECHNOLOGY GRANTS - FINANCING -
REFERENDUM BILL NUMBER 48
CHAPTER 220
S.H.B. No. 2192
AN ACT Relating to a mechanism for financing
stadium and exhibition centers and education
technology grants; amending RCW 82.29A.130,
67.70.240, 67.70.042, 39.42.060, 43.79A.040,
36.38.010, 36.32.235, 39.04.010, 39.10.120,
67.28.180, and 82.14.049; reenacting and amend-
ing RCW 42.17.310; adding a new section to
chapter 82.08 RCW; adding a new section to
chapter 82.14 RCW; adding new sections to
chapter 67.70 RCW; adding new sections to
chapter 43.330 RCW; adding a new section to
chapter 36.38 RCW; adding a new section to
chapter 39.30 RCW; adding a new chapter to
Title 36 RCW; adding a new chapter to Title 43
RCW; creating new sections; providing a contin-
gent expiration date; providing for the submis-
sion of certain sections of this act to a vote of the
people; and declaring an emergency.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE
OF WASHINGTON:
PART I
AUTHORITY CREATION AND POWERS
NEW SECTION. Sec. 101. The definitions in this sec-
tion apply throughout this chapter unless the context
clearly requires otherwise.
* Additions are indicated by underline; deletions by
49a
(1) “Design” includes architectural, engineering,
and other related professional services.
(2) “Develop” means, generally, the process of plan-
ning, designing, financing, constructing, owning, operat-
ing, and leasing a project such as a stadium and
exhibition center.
(3) “Permanent seat license” means a transferable
license sold to a third party that, subject to certain condi-
tions, restrictions, and limitations, entitles the third party
to purchase a season ticket to professional football games
of the professional football team played in the stadium
and exhibition center for so long as the team plays its
games in that facility.
(4) “Preconstruction” includes negotiations, includ-
ing negotiations with any team affiliate, planning,
studies, design, and other activities reasonably necessary
before constructing a stadium and exhibition center.
(5) “Professional football team” means a team that
is a member of the national football league or similar
professional football association.
(6) “Public stadium authority operation” means the
formation and ongoing operation of the public stadium
authority, including the hiring of employees, agents,
attorneys, and other contractors, and the acquisition and
operation of office facilities.
(7) “Site acquisition” means the purchase or other
acquisition of any interest in real property including fee
simple interests and easements, which property interests
constitute the site for a stadium and exhibition center.
50a
(8) “Site preparation” includes demolition of exis-
ting improvements, environmental remediation, site exca-
vation, shoring, and construction and maintenance of
temporary traffic and pedestrian routing.
(9) “Stadium and exhibition center” means an open-
air stadium suitable for national football league football
and for Olympic and world cup soccer, with adjacent
exhibition facilities, together with associated parking
facilities and other ancillary facilities.
(10) “Team affiliate” means a professional football
team that will use the stadium and exhibition center, and
any affiliate of the team designated by the team. An
“affiliate of the team” means any person or entity that
controls, is controlled by, or is under common control
with the team.
NEW SECTION. Sec. 102. (1) A public stadium
authority maybe created in any county that has entered
into a letter of intent relating to the development of a
stadium and exhibition center under chapter... , Laws of
1997 (this act) with a team affiliate or an entity that has a
contractual right to become a team affiliate. :
(2) A public stadium authority shall be created
upon adoption of a resolution providing for the creation
of such an authority by the county legislative authority in
which the proposed authority is located.
(3) A public stadium authority shall constitute a
body corporate and shall possess all the usual powers of
a corporation for public purposes as well as all other
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powers that may now or hereafter be specifically con-
ferred by statute, including, but not limited to, the
authority to hire employees, staff, and services, to enter
into contracts, and to sue and be sued.
(4) The legislative authority of the county in which
the public stadium authority is located, or the council of
any city located in that county, may transfer property to
the public stadium authority created under this chapter.
Property encumbered by debt may be transferred by a
county legislative authority or a city council to a public
stadium authority created to develop a stadium and exhi-
bition center under section 105 of this act, but obligation
for payment of the debt may not be transferred.
NEW SECTION. Sec. 103. (1) A public stadium
authority shall be governed by a board of directors con-
sisting of seven members appointed by the governor. The
speaker of the house of representatives, the minority
leader of the house of representatives, the majority leader
of the senate, and the minority leader of the senate shall
each recommend to the governor a person to be appoin-
ted to the board.
(2) Members of the board of directors shall serve
four-year terms of office, except that three of the initial
seven board members shall serve two-year terms of
office. The governor shall designate the initial terms of
office for the initial members who are appointed.
(3) A vacancy shall be filled in the same manner as
the original appointment was made and the person
appointed to fill a vacancy shall serve for the remainder
of the unexpired term of the office for the position to
which he or she was appointed.
52a
(4) A director appointed by the governor may be
removed from office by the governor.
NEW SECTION. Sec. 104. (1) There is created a pub-
lic stadium authority advisory committee comprised of
five members. The advisory committee consists of: The
director of the office of financial management, who shall
serve as chair; two members appointed by the house of
representatives, one each appointed by the speaker of the
house of representatives and the minority leader of the
house of representatives; and two members appointed by
the senate, one each appointed by the majority leader of
the senate and the minority leader of the senate.
(2) The advisory committee, prior to the final
approval of any lease with the master tenant or sale of
stadium naming rights, shall review and comment on the
proposed lease agreement or sale of stadium naming
rights.
NEW SECTION. Sec. 105. (1) The public stadium
authority is authorized to acquire, construct, own,
remodel, maintain, equip, reequip, repair, and operate a
stadium and exhibition center as defined in section 101 of
this act.
(2) The public stadium authority may enter into
agreements under chapter 39.34 RCW for the joint provi-
sion and operation of a stadium and exhibition center and
may enter into contracts under chapter 39.34RCW where
any party to the contract provides and operates the sta-
dium and exhibition center for the other party or parties
to the contract.
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53a
(3) Any employees of the public stadium authority
shall be unclassified employees not subject to the provi-
sions of chapter 41.06RCW and a public stadium author-
ity may contract with a public or private entity for the
operation or management of the stadium and exhibition
center.
(4) The public stadium authority is authorized to
use the alternative supplemental public works contract-
ing procedures set forth in chapter 39.10 RCW in connec-
tion with the design, construction, reconstruction,
remodel, or alteration of a stadium and exhibition center.
(5) The public stadium authority may impose
charges and fees for the use of the stadium and exhibition
center, and may accept and expend or use gifts, grants,
and donations.
(6) The public stadium authority shall comply with
the prevailing wage requirements of chapter 39.12 RCW
and goals established for women and minority-business
participation for the county.
NEW SECTION. Sec. 106. In addition to other powers
and restrictions on a public stadium authority, the follow-
ing apply to a public stadium authority created to
develop a stadium and exhibition center under section
105 of this act:
(1) The public stadium authority, in consultation
with the team affiliate, shall have the authority to deter-
mine the stadium and exhibition center site;
(2) The public stadium authority, in consultation
with the team affiliate, shall have the authority to estab-
lish the overall scope of the stadium and exhibition center
54a
project, including, but not limited to, stadium and exhibi-
tion center itself, associated exhibition facilities, associ-
ated parking facilities, associated retail and office
development that are part of the stadium and exhibition
center, and ancillary services and facilities;
(3) The public stadium authority, in consultation
with the team affiliate, shall have the authority to make
the final determination of the stadium and exhibition
center overall design and specification;
(4) The public stadium authority shall have the
authority to contract with a team affiliate for the provi-
sion of architectural, engineering, environmental, and
other professional services related to the stadium and
exhibition center site, design options, required environ-
mental studies, and necessary permits for the stadium
and exhibition center;
(5) The public stadium authority, in consultation
with the team affiliate, shall have the authority to estab-
lish the project budget on the stadium and exhibition
center project;
(6) The public stadium authority, in consultation
with the team affiliate, shall have the authority to make
recommendations to the state finance committee regard-
ing the structure of the financing of the stadium and
exhibition center project;
(7) The public stadium authority shall have the
authority to enter into a development agreement with a
team affiliate whereby the team affiliate may control the
development of the stadium and exhibition center project,
consistent with subsections (1) through (6) of this section,
55a
in consideration of which the team affiliate assumes the
risk of costs of development that are in excess of the
project budget established under subsection (5) of this
section. Under the development agreement, the team
affiliate shall determine bidding specifications and
requirements, and other aspects of development. Under
the development agreement, the team affiliate shall deter-
mine procurement procedures and other aspects of devel-
opment, and shall select and engage an architect or
architects and a contractor or contractors for the stadium
and exhibition center project, provided that the construc-
tion, alterations, repairs, or improvements of the stadium
and exhibition center shall be subject to the prevailing
wage requirements of chapter 39.12 RCW and all phases
of the development shall be subject to the goals estab-
lished for women and minority-business participation for
the county where the stadium and exhibition center is
located. The team affiliate shall, to the extent feasible,
hire local residents and in particular residents from the
areas immediately surrounding the stadium and exhibi-
tion center during the construction and ongoing opera-
tion of the stadium and exhibition center;
(8) The public stadium authority shall have the
authority to enter into a long-term lease agreement with a
team affiliate whereby, inconsideration of the payment of
fair rent and assumption of operating and maintenance
responsibilities, risk, legal liability, and costs associated
with the stadium and exhibition center, the team affiliate
becomes the sole master tenant of the stadium and exhi-
bition center. The master tenant lease agreement must
require the team affiliate to publicly disclose, on an
56a
annual basis, an audited profit and loss financial state-
ment. The team affiliate shall provide a guarantee, secu-
rity, or a letter of credit from a person or entity with a net
worth in excess of one hundred million dollars that guar-
antees a maximum of ten years’ payments of fair rent
under the lease in the event of the bankruptcy or insol-
vency of the team affiliate. The master tenant shall have
the power to sublease and enter into use, license, and
concession agreements with various users of the stadium
and exhibition center including the professional football
team, and the master tenant has the right to name the
stadium and exhibition center, subject to section 107 of
this act. The master tenant shall meet goals, established
by the county where the stadium and exhibition center is
located, for women and minority employment for the
operation of the stadium and exhibition center. Except as
provided in subsection (10) of this section, the master
tenant shall have the right to retain revenues derived
from the operation of the stadium and exhibition center,
including revenues from the sublease and uses, license
and concession agreements, revenues from suite licenses,
concessions, advertising, long-term naming rights subject
to section 107 of this act, and parking revenue. If federal
law permits interest on bonds issued to finance the sta-
dium and exhibition center to be treated as tax exempt for
federal income tax purposes, the public stadium author-
ity and the team affiliate shall endeavor to structure and
limit the amounts, sources, and uses of any payments
received by the state, the county, the public stadium
authority, or any related governmental entity for the use
or in respect to the stadium and exhibition center in such
a manner as to permit the interest on those bonds to be
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57a
tax exempt. As used in this subsection, “fair rent” is
solely intended to cover the reasonable operating
expenses of the public stadium authority and shall be not
less than eight hundred fifty thousand dollars per year
with annual increases based on the consumer price index;
(9) Subject to section 210(2)(b)(ix) of this act, the
public stadium authority may reserve the right to discuss
profit sharing from the stadium and exhibition center
from sources that have not been identified at the time the
long-term lease agreement is executed;
(10) The master tenant may retain an amount to
cover the actual cost of preparing the stadium and exhibi-
tion center for activities involving the Olympic Games
and world cup soccer. Revenues derived from the opera-
tion of the stadium and exhibition center for activities
identified in this subsection that exceed the master ten-
ant’s actual costs of preparing, operating, and restoring
the stadium and exhibition center must be deposited into
the tourism development and promotion account created
in section 223 of this act;
(11) The public stadium authority, in consultation
with a public facilities district that is located within the
county, shall work to eliminate the use of the stadium and
exhibition center for events during the same time as
events are held in the baseball stadium as defined in
RCW 82.14.0485;
(12) The public stadium authority, in consultation
with the team affiliate, must work to secure the hosting of
a Super Bowl, if the hosting requirements are changed by
the national football league or similar professional foot-
ball association;
58a
(13) The public stadium authority shall work with
surrounding areas to mitigate the impact of the construc-
tion and operation of the stadium and exhibition center;
(14) The public stadium authority, in consultation
with the office of financial management, shall negotiate
filming rights of the demolition of the existing domed
stadium on the stadium and exhibition center site. All
revenues derived from the filming of the demolition of
the existing domed stadium shall be deposited into the
film and video promotion account created in section 222
of this act; and
(15) The public stadium authority shall have the
authority, upon the agreement of the team affiliate, to sell
permanent seat licenses,and the team affiliate may act as
the sales agent for this purpose.
NEW SECTION. Sec. 107. Revenues from the sales of
naming rights of a stadium and exhibition center devel-
oped under section 1050f this act may only be used for
costs associated with capital improvements associated
with modernization and maintenance of the stadium and
exhibition center. The sales of naming rights are subject to
the reasonable approval of the public stadium authority.
NEW SECTION. Sec. 108. A public stadium authority
may accept and expend moneys that may be donated for
the purpose of a stadium and exhibition center.
NEW SECTION. Sec. 109. (1) The public stadium
authority, the county, and the city, if any, in which the
stadium and exhibition center is to be located shall enter
into one or more agreements regarding the construction
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59a
of a stadium and exhibition center. The agreements shall
address, but not be limited to:
(a) Expedited permit processing for the design and
construction of the stadium and exhibition center project;
(b) Expedited environmental review processing;
(c) Expedited processing of requests for street, right
of way, or easement vacations necessary for the construc-
tion of the stadium and exhibition center project; and
(d) Other items deemed necessary for the design
and construction of the stadium and exhibition center
project.
(2) The county shall assemble such real property
and associated personal property as the public stadium
authority and the county mutually determine to be neces-
sary as a site for the stadium and exhibition center. Prop-
erty that is necessary for this purpose that is owned by
the county on or after the effective date of this section
shall be contributed to the authority, and property that is
necessary for this purpose that is acquired by the county
on or after the effective date of this section shall be
conveyed to the authority. Property that is encumbered
by debt may be transferred by the county to the authority,
but obligation for payment of the debt may not be trans-
ferred.
(3) A new exhibition facility of at least three hun-
dred twenty-five thousand square feet, with adequate on-
site parking, shall be constructed and operational before
any domed stadium in the county is demolished or ren-
dered unusable. Demolition of any existing structure and
construction of the stadium and exhibition center shall be
60a
reasonably executed in a manner that minimizes impacts,
including access and parking, upon existing facilities,
users, and neighborhoods. No county or city may exercise
authority under any landmarks preservation statute or
ordinance in order to prevent or delay the demolition of
any existing domed stadium at the site of the stadium
and exhibition center.
NEW SECTION. Sec. 110. A public stadium authority
may acquire and transfer real and personal property by
lease, sublease, purchase, or sale.
NEW SECTION. Sec. 111. (1) The board of directors
of the public stadium authority shall adopt a resolution
that may be amended from time to time that shall estab-
lish the basic requirements governing methods and
amounts of reimbursement payable to such authority and
employees for travel and other business expenses
incurred on behalf of the authority. The resolution shall,
among other things, establish procedures for approving
such expenses; the form of the travel and expense
voucher; and requirements governing the use of credit
cards issued in the name of the authority. The resolution
may also establish procedures for payment of per diem to
board members. The state auditor shall, as provided by
general law, cooperate with the public stadium authority
in establishing adequate procedures for regulating and
auditing the reimbursement of all such expenses.
(2) The board of directors shall transmit a copy of
the adopted annual operating budget of the public sta-
dium authority to the governor and the majority leader
and minority leader of the house of representatives and
the senate. The budget information shall include, but is
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not limited to a statement of income and expenses of the
public stadium authority.
NEW SECTION. Sec. 112. The board of directors of
the public stadium authority may authorize payment of
actual and necessary expenses of officers and employees
for lodging, meals, and travel-related costs incurred in
attending meetings or conferences on behalf of the public
stadium authority and strictly in the public interest and
for public purposes. Officers and employees may be
advanced sufficient sums to cover their anticipated
expenses in accordance with rules adopted by the state
auditor, which shall substantially conform to the pro-
cedures provided in RCW 43.03.150 through 43.03.210.
NEW SECTION. Sec. 113. Each member of the board
of directors of the public stadium authority may receive
compensation of fifty dollars per day for attending meet-
ings or conferences on behalf of the authority, not to
exceed three thousand dollars per year. A director may
waive all or a portion of his or her compensation under
this section as to a month or months during his or her
term of office, by a written waiver filed with the public
stadium authority. The compensation provided in this
section is in addition to reimbursement for expenses paid
to the directors by the public stadium authority.
NEW SECTION. Sec. 114. The board of directors of
the public stadium authority may purchase liability
insurance with such limits as the directors may deem
reasonable for the purpose of protecting and holding
personally harmless authority officers and employees
against liability for personal or bodily injuries and prop-
erty damage arising from their acts or omissions while
62a
performing or in good faith purporting to perform their
official duties.
NEW SECTION. Sec. 115. Whenever an action, claim,
or proceeding is instituted against a person who is or was
an officer or employee of the public stadium authority
arising out of the performance of duties for or employ-
ment with the authority, the public stadium authority
may grant a request by the person that the attorney of the
authority’s choosing be authorized to defend the claim,
suit, or proceeding, and the costs of defense, attorneys’
fees, and obligation for payments arising from the action
may be paid from the authority’s funds. Costs of defense
or judgment or settlement against the person shall not be
paid in a case where the court has found that the person
was not acting in good faith or within the scope of
employment with or duties for the public stadium
authority.
NEW SECTION. Sec. 116. The board of directors of
the public stadium authority shall have authority to
authorize the expenditure of funds for the public pur-
poses of preparing and distributing information to the
general public about the stadium and exhibition center.
NEW SECTION. Sec. 117. The public stadium author-
ity shall have authority to create and fill positions, fix
wages and salaries, pay costs involved in securing or
arranging to secure employees, and establish benefits for
employees, including holiday pay, vacations or vacation
pay, retirement benefits, medical, life, accident, or health
disability insurance, as approved by the board. Public
stadium authority board members, at their own expense,
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shall be entitled to medical, life, accident, or health dis-
ability insurance. Insurance for employees and board
members shall not be considered compensation. Author-
ity coverage for the board is not to exceed that provided
public stadium authority employees.
NEW SECTION. Sec. 118. The public stadium author-
ity may secure services by means of an agreement with a
service provider. The public stadium authority shall 1b-
lish notice, establish criteria, receive and evaluate pro-
posals, and negotiate with respondents under
requirements set forth by authority resolution.
NEW SECTION. Sec. 119. The public stadium author-
ity may refuse to disclose financial information on the
master tenant, concessioners, the team affiliate, or sub-
leasee under RCW 42.17.310.
Sec. 120. RCW 42.17.310 and 1996 c 305 s 2, 1996 c 253
Ss 302, 1996c 191 s 88, and 1996 c 80s 1 are each reenacted
and amended to read as follows:
(1) The following are exempt from public inspection
and copying:
(a) Personal information in any files maintained for
students in public schools, patients or clients of public
institutions or public health agencies, or welfare recip-
ients.
(b) Personal information in files maintained for
employees, appointees, or elected officials of any public
agency to the extent that disclosure would violate their
right to privacy.
(c) Information required of any taxpayer in connec-
tion with the assessment or collection of any tax if the
64a
disclosure of the information to other persons would (i)
be prohibited to such persons by RCW 82.32.330 or (ii)
violate the taxpayer’s right to privacy or result in unfair
competitive disadvantage to the taxpayer.
(d) Specific intelligence information and specific
investigative records compiled by investigative, law
enforcement, and penology agencies, and state agencies
vested with the responsibility to discipline members of
any profession, the nondisclosure of which is essential to
effective law enforcement or for the protection of any
person’s right to privacy.
(e) Information revealing the identity of persons
who are witnesses to or victims of crime or who file
complaints with investigative, law enforcement, or penol-
ogy agencies, other than the public disclosure commis-
sion, if disclosure would endanger any person’s life,
physical safety, or property. If at the time a complaint is
filed the complainant, victim or witness indicates a desire
for disclosure or nondisclosure, such desire shall govern.
However, all complaints filed with the public disclosure
commission about any elected official or candidate for
public office must be made in writing and signed by the
complainant under oath.
(f) Test questions, scoring keys, and other examina-
tion data used to administer a license, employment, or
academic examination.
(g) Except as provided by chapter 8.26 RCW, the
contents of real estate appraisals, made for or by any
agency relative to the acquisition or sale of property, until
the project or prospective sale is abandoned or until such
time as all of the property has been acquired or the
65a
property to which the sale appraisal relates is sold, but in
no event shall disclosure be denied for more than three
years after the appraisal.
(h) Valuable formulae, designs, drawings, and
research data obtained by any agency within five years of
the request for disclosure when disclosure would pro-
duce private gain and public loss.
(i) Preliminary drafts, notes, recommendations, and
intra-agency memorandums in which opinions are
expressed or policies formulated or recommended except
that a specific record shall not be exempt when publicly
cited by an agency in connection with any agency action.
(j) Records which are relevant to a controversy to
which an agency is a party but which records would not
be available to another party under the rules of pretrial
discovery for causes pending in the superior courts.
(k) Records, maps, or other information identifying
the location of archaeological sites in order to avoid the
looting or depredation of such sites.
(1) Any library record, the primary purpose of
Which is to maintain control of library materials, or to
gain access to information, which discloses or could be
used to disclose the identity of a library user.
(m) Financial information supplied by or on behalf
of a person, firm, or corporation for the purpose of quali-
fying to submit a bid or proposal for (i) a ferry system
construction or repair contract as required by RCW
47.60.680 through 47.60.750 or (ii) highway construction
or improvement as required by RCW 47.28.070.
66a
(n) Railroad company contracts filed prior to July
28, 1991, with the utilities and transportation commission
under RCW 81.34.070, except that the summaries of the
contracts are open to public inspection and copying as
otherwise provided by this chapter.
(o) Financial and commercial information and
records supplied by private persons pertaining to export
services provided pursuant to chapter 43.163 RCW and
chapter 53.31 RCW, and by persons pertaining to export
projects pursuant to RCW 43.23.035.
(p) Financial disclosures filed by private vocational
schools under chapters 28B.85 and 28C.10 RCW.
(q) Records filed with the utilities and transporta-
tion commission or attorney general under RCW
80.04.095 that a court has determined_are confidential
under RCW 80.04.095.
(r) Financial and commercial information and
records supplied by businesses or individuals during
application for loans or program services provided by
chapters 43.163, 43.160, 43.330, and 43.168 RCW,or during
application for economic development loans or program
services provided by any local agency.
(s) Membership lists or lists of members or owners
of interests of units in timeshare projects, subdivisions,
camping resorts, condominiums, land developments, or
common-interest communities affiliated with such pro-
jects, regulated by the department of licensing, in the files
or possession of the department.
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67a
(t) All applications for public employment, includ-
ing the names of applicants, resumes, and other related
materials submitted with respect to an applicant.
(u) The residential addresses and residential tele-
phone numbers of employees or volunteers of a public
agency which are held by the agency in personnel
records, employment or volunteer rosters, or mailing lists
of employees or volunteers.
(v) The residential addresses and residential tele-
phone numbers of the customef$ of a public utility con-
tained in the records or lists held by the public utility of
which they are customers.
(w)(i) The federal social security number of individ-
uals governed under chapter 18.130 RCW maintained in
the files of the department of health, except this exemp-
tion does not apply to requests made directly to the
department from federal, state, and local agencies of gov-
ernment, and national and state licensing, credentialing,
investigatory, disciplinary, and examination organiza-
tions; (ii) the current residential address and current resi-
dential telephone number of a health care provider
governed under chapter 18.130 RCW maintained in the
files of the department, if the provider requests that this
information be withheld from public inspection and
copying, and provides to the department an accurate
alternate or business address and business telephone
number. On or after January 1, 1995, the current residen-
tial address and residential telephone number of a health
care provider governed under RCW 18.130.140 main-
tained in the files of the department shall automatically
be withheld from public inspection and copying unless
68a
the provider specifically requests the information be
released, and except as provided for under RCW
42.17.260(9).
(x) Information obtained by the board of pharmacy
as provided in RCW 69.45.090.
(y) Information obtained by the board of pharmacy
or the department of health and its representatives as
provided in RCW 69.41.044, 69.41.280, and 18.64.420.
(z) Financial information, business plans, examina-
tion reports, and any information produced or obtained
in evaluating or examining a business and industrial
development corporation organized or seeking certifica-
tion under chapter 31.24 RCW.
(aa) Financial and commercial information supplied
to the state investment board by any person when the
information relates to the investment of public trust or
retirement funds and when disclosure would result in
loss to such funds or in private loss to the providers of
this information.
(bb) Financial and valuab'‘e trade information under
RCW 51.36.120.
(cc) Client records maintained by an agency that is
a domestic violence program as defined in RCW
70.123.020 or 70.123.075 or a rape crisis center as defined
in RCW 70.125.030.
(dd) Information that identifies a person who, while
an agency employee: (i) Seeks advice, under an informal
process established by the employing agency, in order to
ascertain his or her rights in connection with a possible
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unfair practice under chapter 49.60 RCW against the per-
son; and (ii) requests his or her identity or any identify-
ing information not be disclosed.
(ee) Investigative records compiled by an employ-
ing agency conducting a current investigation of a Possi-
ble unfair practice under chapter 49.60 RCW or of a
possible violation of other federal, state, or local laws
prohibiting discrimination in employment.
(ff) Business related information protected from
public inspection and copying under RCW 15.86.110.
(gg) Financial, commercial, operations, and techni-
cal and research information and data submitted to or
obtained by the clean Washington center in applications
for, or delivery of, program services under chapter
70.95H RCW.
(hh) Information and documents created speci-
fically for, and collected and maintained by a quality
improvement committee pursuant to RCW 43.70.510,
regardless of which agency is in possession of the infor-
mation and documents.
(ii) Personal information in files maintained in a
data base created under RCW 43.07.360.
Gj)__Financial and commercial information requested
by the public stadium authority from any person or orga-
nization that leases or uses the stadium and exhibition
center as defined in section 101 of this act.
(2) Except for information described in subsection
(1)(c)(i) of this section and confidential income data
exempted from public inspection pursuant to RCW
84.40.020, the exemptions of this section are inapplicable
70a
to the extent that information, the disclosure of which
would violate personal privacy or vital governmental
interests, can be deleted from the specific records sought.
No exemption may be construed to permit the non-
disclosure of statistical information not descriptive of any
readily identifiable person or persons.
(3) Inspection or copying of any specific records
exempt under the provisions of this section may be per-
mitted if the superior court in the county in which the
record is maintained finds, after a hearing with notice
thereof to every person in interest and the agency, that
the exemption of such records is clearly unnecessary to
protect any individual’s right of privacy or any vital
governmental function.
(4) Agency responses refusing, in whole or in part,
inspection of any public record shall include a statement
of the specific exemption authorizing the withholding of
the record (or part) and a brief explanation of how the
exemption applies to the record withheld.
PART II
FINANCING
NEW SECTION. Sec. 201. (1) The governing board of
a public stadium authority may apply for deferral of
taxes on the construction of buildings, site preparation,
and the acquisition of related machinery and equipment
for a stadium and exhibition center. Application shall be
made to the department of revenue in a form and manner
prescribed by the department of revenue. The application
shall contain information regarding the location of the
7la
stadium and exhibition center, estimated or actual costs,
time schedules for completion and operation, and other
information required by the department of revenue. The
department of revenue shall approve the application
within sixty days if it meets the requirements of this
section.
(2) The department of revenue shall issue a sales
and use tax deferral certificate for state and local sales
and use taxes due under chapters 82.08, 82.12, and 82.14
RCW on the public facility.
(3) The public stadium authority shall begin paying
the deferred taxes in the fifth year after the date certified
by the department of revenue as the date on which the
stadium and exhibition center is operationally complete.
The first payment is due on December 31st of the fifth
lendar year after such certified date, with subsequent
annual payments due on December 31st of the following
nine years. Each payment shall equal ten percent of the
deferred tax.
(4) The department of revenue may authorize an
accelerated repayment schedule upon request of the pub-
lic stadium authority.
(5S) Interest shall not be charged on any taxes
deferred under this section for the period of deferral,
although all other penalties and interest applicable to
delinquent excise taxes may be assessed and imposed for
delinquent payments under this section. The debt for
deferred taxes is not extinguished by insolvency or other
failure of the public stadium authority.
72a
(6) The repayment of deferred taxes and interest, if
any, shall be deposited into the stadium and exhibition
center account created in section 214 of this act and used
to retire bonds issued under section 210 of this act to
finance the construction of the stadium and exhibition
center.
(7) Applications and any other information received
by the department of revenue under this section are not
confidential and are subject to disclosure. Chapter 82.32
RCW applies to the administration of this section.
Sec. 202. RCW 82.29A.130 and 1995 3rd sp.s. c 1 s 307
are each amended to read as follows:
The following leasehold interests shall be exempt
from taxes imposed pursuant to RCW 82.29A.030 and
82.29A.040:
(1) All leasehold interests constituting a part of the
operating properties of any public utility which is
assessed and taxed as a public utility pursuant to chapter
84.12 RCW.
(2) All leasehold interests in facilities owned or
used by a school, college or university which leasehold
provides housing for students and which is otherwise
exempt from taxation under provisions of RCW 84.36.010
and 84.36.050.
(3) All leasehold interests of subsidized housing
where the fee ownership of such property is vested in the
government of the United States, or the state of Washing-
ton or any political subdivision thereof but only if income
qualification exists for such housing.
Bi ca em a ae
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73a
(4) All leasehold interests used for fair Purposes of
a nonprofit fair association that Sponsors or conducts a
fair or fairs which receive support from revenues col-
lected pursuant to RCW 67.16.100 and allocated by the
director of the department of agriculture where the fee
ownership of such Property is vested in the government
of the United States, the state of Washington or any of its
political subdivisions: PROVIDED, That this exemption
shall not apply to the leasehold interest of any sublessee
of such nonprofit fair association if such leasehold inter-
est would be taxable if it were the primary lease.
(5) All leasehold interests in any property of any
public entity used as a residence by an employee of that
public entity who is required as a condition of employ-
ment to live in the publicly owned property.
(6) All leasehold interests held by enrolled Indians
of lands owned or held by any Indian or Indian tribe
where the fee ownership of such property is vested in or
held in trust by the United States and which are not
subleased to other than to a lessee which would qualify
pursuant to this chapter, RCW 84.36.45] and 84.40.175.
(7) All leasehold interests in any real property of
any Indian or Indian tribe, band, or community that is
held in trust by the United States or is subject to a
restriction against alienation imposed by the United
States: PROVIDED, That this exemption shall apply only
where it is determined that contract rent paid is greater
than or equal to ninety percent of fair market rental, to be
determined by the department of revenue using the same
criteria used to establish taxable rent in RCW
82.29A.020(2)(b).
74a
(8) All leasehold interests for which annual taxable
rent is less than two hundred fifty dollars per year. For
purposes of this subsection leasehold interests held by
the same lessee in contiguous properties owned by the
same lessor shall be deemed a single leasehold interest.
(9) All leasehold interests which give use or posses-
sion of the leased property for a continuous period of less
than thirty days: PROVIDED, That for purposes of this
subsection, successive leases or lease renewals giving
substantially continuous use of possession of the same
property to the same lessee shall be deemed a single
leasehold interest! PROVIDED FURTHER, That no lease-
hold interest shall be deemed to give use or possession
for a period of less than thirty days solely by virtue of the
reservation by the public lessor of the right to use the
property or to allow third parties to use the property on
an occasional, temporary basis.
(10) All leasehold interests under month-to-month
leases in residential units rented for residential purposes
of the lessee pending destruction or removal for the
purpose of constructing a public highway or building.
(11) All leasehold interests in any publicly owned
real or personal property to the extent such leasehold
interests arises solely by virtue of a contract for public
improvements or work executed under the public works
statutes of this state or of the United States between the
public owner of the property and a contractor.
(12) All leasehold interests that give use or posses-
sion of state adult correctional facilities for the purposes
of operating correctional industries under RCW 72.09.100.
5 PW Me SEN ig ga se Pe
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75a
(13) All leasehold interests used to provide orga-
nized and supervised recreational activities for disabled
persons of all ages in a camp facility and for public
recreational purposes by a nonprofit organization, asso-
ciation, or corporation that would be exempt from prop-
erty tax under RCW 84.36.030(1) if it owned the property.
If the publicly owned property is used for any taxable
purpose, the leasehold excise taxes set forth in RCW
82.29A.030 and 82.29A.040 shall be imposed and shall be
apportioned accordingly.
(14) All leasehold interests in the public or enter-
tainment areas of a baseball stadium with natural turf
and a retractable roof or canopy that is in a county with a
population of over one million, that has a seating capacity
of over forty thousand, and that is constructed on or after
January 1, 1995. “Public or entertainment areas” include
ticket sales areas, ramps and stairs, lobbies and con-
courses, parking areas, concession areas, restaurants, hos-
pitality and stadium club areas, kitchens or other work
areas primarily servicing other public or entertainment
areas, public rest room areas, press and media areas,
control booths, broadcast and production areas, retail
sales areas, museum and exhibit areas, scoreboards or
other public displays, storage areas, loading, staging, and
servicing areas, seating areas and suites, the playing
field, and any other areas to which the public has access
or which are used for the production of the entertainment
event or other public usage, and any other personal prop-
erty used for these purposes. “Public or entertainment
areas” does not include locker rooms or private offices
exclusively used by the lessee.
76a
(15) All leasehold interests in the public or enter-
tainment areas of a stadium and exhibition center, as
defined in section 101 of this act, that is constructed on or
after January 1, 1998. For the purposes of this subsection,
“public or entertainment areas” has the same meaning as
in subsection (14) of this section, and includes exhibition
areas.
NEW SECTION. Sec. 203. A new section is added to
chapter 82.08 RCW to read as follows:
The tax levied by RCW 82.08.020 does not apply to
vehicle parking charges that are subject to tax under
section 302 of this act.
NEW SECTION. Sec. 204. A new section is added to
chapter 82.14 RCW to read as follows:
(1) The legislative authority of a county that has
created a public stadium authority to develop a stadium
and exhibition center under section 105 of this act may
impose a sales and use tax in.accordance with this chap-
ter. The tax is in addition to other taxes authorized by law
and shall be collected from those persons who are taxable
by the state under chapters 82.08 and 82.12 RCW upon
the occurrence of any taxable event within the county.
The rate of tax shall be 0.016 percent of the selling price
in the case of a sales tax or value of the article used in the
case of a use tax.
(2) The tax imposed under subsection (1) of this
section shall be deducted from the amount of tax other-
wise required to be collected or paid over to the depart-
ment of revenue under chapter 82.08 or 82.12 RCW. The
department of revenue shall perform the collection of
9S OES ET a
77a
such taxes on behalf of the county at no cost to the
county.
(3) Before the issuance of bonds in section 210 of
this act, all revenues collected on behalf of the county
under this section shall be transferred to the public sta-
dium authority. After bonds are issued under section 210
of this act, all revenues collected on behalf of the county
under this section shall be deposited in the stadium and
exhibition center account under section 214 of this act.
(4) The definitions in section 101 of this act apply to
this section.
(5) This section expires on the earliest of the follow-
ing dates:
(a) December 31, 1999, if the conditions for
issuance of bonds under section 210 of this act have not
been met before that date;
(b) The date on which all bonds issued under
section 210 of this act have been retired; or
(c) Twenty-three years after the date the tax
under this section is first imposed.
NEW SECTION. Sec. 205. A new section is added to
chapter 67.70 RCW to read as follows:
The lottery commission shall conduct new games that
are in addition to any gatres conducted under RCW
67.70.042 and are intended to generate additional moneys
sufficient to cover the distributions under RCW
67.70.240(5). No game may be conducted under this sec-
tion before January 1, 1998. No game may be conducted
under this section after December 31, 1999, unless the
78a
conditions for issuance of the bonds under section 210(2)
of this act are met, and no game is required to be con-
ducted after the distributions cease under RCW
67.70.240(5).
For the purposes of this section, the lottery may
accept and market prize promotions provided in conjunc-
tion with private-sector marketing efforts.
Sec. 206. RCW 67.70.240 and 1995 3rd sp.s. c 1 s 105
are each amended to read as follows:
The moneys in the state lottery account shall be used
only:
(1) For the payment of prizes to the holders of
winning lottery tickets or shares;
(2) For purposes of making deposits into the reserve
account created by RCW 67.70.250 and into the lottery
administrative account created by RCW 67.70.260;
(3) For purposes of making deposits into the state’s
general fund;
(4) for-purposes-of-making-cdeposits-into the hous=
ae hove’ Pee
+987-act;{5) For distribution to a county for the purpose
of paying the principal and interest payments on bonds
issued by the county to construct a baseball stadium, as
defined in RCW 82.14.0485, including reasonably neces-
sary preconstruction costs; {6)-for-the-purchase-and-pro=
i Ste Licata
(7)for the payment of agent compensation Three million
dollars shall be distributed under this subsection {5)-of
this—-sectron during calendar year 1996. During subse-
quent years, such distributions shall equal the prior
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79a
year’s distributions increased by four percent. Distribu-
tions under this (S}-of-this-section Shall cease when the
are retired, but not more than twenty years after the tax
under RCW 82.14.0485 is first imposed;
* EINE ee GT Ans yng tee
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7 (5) For distribution to the stadium and exhibition
center account, created in section 214 of this act. Subject
to the conditions of section 215 of this act, six million
SAA Gi ae epi bs cat:
(6) For the urchase and romotion of lottery
ene ay HOLES:
games and game-related services; and
ments.
Sec. 207. RCW 67.70.042 and 1995 3rd sp.s.c 1s 104
are each amended to read as follows:
The lottery commission shall conduct at least two but
Not more than four scratch games with sports themes per
year. These games are intended to generate additional
CC £—£—_
80a
moneys sufficient to cover the distributions under RCW
67.70.240€5}(4).
NEW SECTION. Sec. 208. A new section is added to
chapter 67.70 RCW to read as follows:
The person or entity responsible for operating a sta-
dium and exhibition center as defined in section 101 of
this act shall promote the lottery with any combination of
in-kind advertising, sponsorship, or prize promotions,
valued at one million dollars annually beginning January
1998 and increased by four percent each year thereafter
for the purpose of increasing lottery sales of games
authorized under section 205 of this act. The content and
value of the advertising sponsorship or prize promotions
are subject t. reasonable approval in advance by the
lottery commission. The obligation of this section shall
cease when the distributions under RCW 67.70.240(5)
end, but not later than December 31, 2020.
NEW SECTION. Sec. 209. The definitions in section
101 of this act apply to this chapter.
NEW SECTION. Sec. 210. (1) For the purpose of
providing funds to pay for operation of the public sta-
dium authority created under section 102 of this act, to
pay for the preconstruction, site acquisition, design, site
preparation, construction, owning, leasing, and equip-
ping of the stadium and exhibition center, and to reim-
burse the county or the public stadium authority for its
direct or indirect expenditures or to repay other indebt-
edness incurred for these purposes, the state finance com-
mittee is authorized to issue general obligation bonds of
the state of Washington in the sum of three hundred
million dollars, or so much thereof as may be required,
ee ee
8la
for these purposes and all costs incidental thereto. Bonds
authorized in this section may be sold at such price as the
state finance committee shall determine.
(2) Bonds shall not be issued under this section
unless the public stadium authority has certified to the
director of financial management that:
(a) A professional football team has made a
binding and legally enforceable contractual commitment
to play all of its regular season and playoff home games
in the stadium and exhibition center, other than games
scheduled elsewhere by the league, for a period of time
not shorter than the term of the bonds issued or to be
issued to finance the initial construction of the stadium
and exhibition center;
(b) A team affiliate has entered into one or
more binding and legally enforceable contractual commit-
ments with a public stadium authority under section 105
of this act that provide that:
(i) The team affiliate assumes the risks of cost
overruns;
(ii) The team affiliate shall raise at least one
hundred million dollars, less the amount, if any, raised by
the public stadium authority under section 106(15) of this
act. The total one hundred million dollars raised, which
may include cash payments and in-kind contributions,
but does not include any interest earned on the escrow
account described in section 211 of this act, shall be
applied toward the reasonably necessary preconstruction,
site acquisition, design, site preparation, construction,
and equipping of the stadium and exhibition center, or to
82a
any associated public purpose separate from bond-
financed expenses. No part of the payment may be made
without the consent of the public stadium authority. In
any event, all amounts to be raised by the team affiliate
under (b)(ii) of this subsection shall be paid or expended
before the completion of the construction of the stadium
and exhibition center. To the extent possible, contribu-
tions shall be structured in a manner that would allow for
the issuance of bonds to construct the stadium and exhi-
bition center that are exempt from federal income taxes;
(iii) The team affiliate shall deposit at least ten
million dollars into the youth athletic facility grant
account created in section 214 of this act upon execution
of the lease and development agreements in section 106
(7) and (8) of this act;
(iv) At least ten percent of the seats in the sta-
dium for home games of the professional football team
shall be for sale at an affordable price. For the purposes
of this subsection, “affordable price” means that the price
is the average of the lowest ticket prices charged by all
other national football league teams;
(v) One executive suite with a minimum of
twenty seats must be made available, on a lottery basis,
as a free upgrade, at home games of the professional
football team, to purchasers of tickets that are not located
in executive suites or club seat areas;
(vi) A nonparticipatory interest in the profes-
sional football team has been granted to the state begin-
ning on the date on which bonds are issued under this
section which only entitles the state to receive ten percent
of the gross selling price of the interest in the team that is
3
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83a
sold if a majority interest or more of the professional
football team is sold within twenty-five years of the date
on which bonds are issued under the section. The ten
percent shall apply to all preceding sales of interests in
the team which comprise the majority interest sold. This
provision shall apply only to the first sale of such a
majority interest. The ten percent must be deposited in
the permanent common school fund. If the debt is retired
at the time of the sale, then the ten percent may only be
used for costs associated with capital maintenance, capi-
tal improvements, renovations, reequipping, replacement,
and operations of the stadium and exhibition center;
(vii) The team affiliate must provide reasonable
office space to the public stadium authority without
charge;
(viii) The team affiliate, in consultation with the
public stadium authority, shall work with surrounding
areas to mitigate the impact ot the construction and oper-
ation of the stadium and exhibition center with a budget
of at least ten million dollars dedicated to area mitigation.
For purposes of this subsection, “mitigation” includes,
but is not limited to, parking facilities and amenities,
neighborhood beautification projects and landscaping,
financial grants for neighborhood programs intended to
mitigate adverse impacts caused by the construction and
operation of the stadium and exhibition center, and mit-
igation measures identified in the environmental impact
statement required for the stadium and exhibition center
under chapter 43.21C RCW; and
(ix) Twenty percent of the net profit from the
operation of the exhibition facility of the stadium and
84a
exhibition center shall be deposited into the permanent
common school fund. Profits shall be verified by the
public stadium authority.
NEW SECTION. Sec. 211. On or before August 1,
1997: (1) The state treasurer and a team affiliate or an
entity that has an option to become a team affiliate shall
enter into an escrow agreement creating an escrow
account; and (2) the team affiliate or the entity that has an
option to become a team affiliate shall deposit the sum of
fifty million dollars into the escrow account as a credit
against the obligation of the team affiliate in section
210(2)(b)(ii) of this act.
The escrow agreement shall provide that the fifty
million dollar deposit shall be invested by the state trea-
surer and shall earn interest. If the stadium and exhibi-
tion center project proceeds, then the interest on amounts
in the escrow account shall be for the benefit of the state,
and all amounts in the escrow account, including all
principal and interest, shall be distributed to the stadium
and exhibition center account. The escrow agreement
shall provide for appropriate adjustments based on
amounts previously and subsequently raised by the team
affiliate under section 210(2)(b)(ii) of this act and
amounts previously and subsequently raised by the pub-
lic stadium
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