Sewage discharge fee

AN ACT Relating to providing funding for enhanced wastewater 1
treatment infrastructure for salmon recovery through a fee assessed 2
on municipal discharges of untreated sewage into Puget Sound; 3
reenacting and amending RCW 43.84.092 and 43.84.092; adding new 4
sections to chapter 90.48 RCW; creating a new section; prescribing 5
penalties; providing an effective date; and providing an expiration 6
date. 7
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:8
NEW SECTION. Sec. 1. (1) The legislature finds that:9
(a) Puget Sound, and the complex ecosystem it houses, provides a 10
unique resource of significant environmental, economic, recreational, 11
cultural, and aesthetic value to Washington; 12
(b) Salmon recovery and the restoration of Puget Sound requires a 13
collaborative approach to address each of the various threats to the 14
survival of salmon; 15
(c) The environmental impact of untreated wastewater discharges 16
from wastewater treatment plants and combined sewer overflow systems 17
is one of the many challenges facing Puget Sound; and18
(d) Salmon need clean and uncontaminated water to thrive. The 19
pollution entering Puget Sound from untreated sewage discharges 20
includes nutrient-rich waste, which can harm sensitive ecosystems. 21
H-0775.1
HOUSE BILL 1678
State of Washington 69th Legislature 2025 Regular Session
By Representatives Dye, Klicker, Couture, Connors, Schmidt, Ley,
Keaton, Barkis, Graham, and Nance
Read first time 01/28/25. Referred to Committee on Appropriations.
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Excess nutrients can lead to eutrophication and decreased dissolved 1
oxygen in water to the detriment of aquatic species. Therefore, 2
removing nutrients from wastewater is crucial. Failure to invest in 3
nutrient removal technology harms treaty-protected rights and 4
threatens economic activity important to the economy, including 5
shellfish growing. 6
(2) Therefore, it is the intent of the legislature to levy a fee 7
on discharges of untreated sewage to Puget Sound in order to defray 8
the costs incurred by the discharge of untreated sewage and to use 9
those funds to improve wastewater treatment infrastructure to help 10
prevent salmonid mortality and hypoxic zones in Puget Sound. We must 11
ensure Washington state fulfills its treaty promises and protects 12
this keystone species that plays a critical role in the Puget Sound 13
ecosystem. 14
NEW SECTION. Sec. 2. A new section is added to chapter 90.48 15
RCW to read as follows: 16
(1) The department shall levy upon every discharger of untreated 17
sewage a fee of 10 cents for every gallon of discharge contaminated 18
by untreated sewage, provided that the following conditions are met:19
(a) The source of the discharge is a municipal combined sewer 20
overflow system or a municipal wastewater treatment plant; and21
(b) The receiving water body is Puget Sound or a water body in 22
hydrological continuity with Puget Sound. 23
(2) The fee levied pursuant to this section is separate and apart 24
from any other fee or civil penalty that may be assessed pursuant to 25
any other provision of law, court order, or consent decree.26
(3) Funds that accrue to the state from fees levied pursuant to 27
this section must be deposited into the enhanced wastewater treatment 28
infrastructure for salmon recovery account created in section 3 of 29
this act. 30
(4)(a) The department shall adopt such rules as may be necessary 31
to implement this section. 32
(b) In addition to any other rules the department may adopt 33
pursuant to this section, the department must adopt rules that 34
address the following topics: 35
(i) The establishment of requirements, to the extent that the 36
department does not already require this information, that operators 37
of municipal wastewater treatment plants and municipal combined sewer 38
overflow systems within the Puget Sound watershed provide to the 39
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department annual aggregated reports of discharges into state waters 1
of untreated sewage during the previous calendar year; and2
(ii) The creation of a uniform method of calculating, for the 3
purpose of penalties assessed pursuant to this section, gallons of 4
untreated sewage content in discharges from combined sewer overflow 5
systems. 6
NEW SECTION. Sec. 3. A new section is added to chapter 90.48 7
RCW to read as follows: 8
The enhanced wastewater treatment infrastructure for salmon 9
recovery account is created in the state treasury. All receipts 10
collected from fees under section 2 of this act must be deposited 11
into the account. Moneys in the account may be spent only after 12
appropriation. Expenditures from the account may be used only to make 13
grants to municipalities for wastewater treatment infrastructure 14
projects that remove excess nutrients from discharges to Puget Sound.15
Sec. 4. RCW 43.84.092 and 2024 c 210 s 4 and 2024 c 168 s 12 are 16
each reenacted and amended to read as follows: 17
(1) All earnings of investments of surplus balances in the state 18
treasury shall be deposited to the treasury income account, which 19
account is hereby established in the state treasury.20
(2) The treasury income account shall be utilized to pay or 21
receive funds associated with federal programs as required by the 22
federal cash management improvement act of 1990. The treasury income 23
account is subject in all respects to chapter 43.88 RCW, but no 24
appropriation is required for refunds or allocations of interest 25
earnings required by the cash management improvement act. Refunds of 26
interest to the federal treasury required under the cash management 27
improvement act fall under RCW 43.88.180 and shall not require 28
appropriation. The office of financial management shall determine the 29
amounts due to or from the federal government pursuant to the cash 30
management improvement act. The office of financial management may 31
direct transfers of funds between accounts as deemed necessary to 32
implement the provisions of the cash management improvement act, and 33
this subsection. Refunds or allocations shall occur prior to the 34
distributions of earnings set forth in subsection (4) of this 35
section. 36
(3) Except for the provisions of RCW 43.84.160, the treasury 37
income account may be utilized for the payment of purchased banking 38
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services on behalf of treasury funds including, but not limited to, 1
depository, safekeeping, and disbursement functions for the state 2
treasury and affected state agencies. The treasury income account is 3
subject in all respects to chapter 43.88 RCW, but no appropriation is 4
required for payments to financial institutions. Payments shall occur 5
prior to distribution of earnings set forth in subsection (4) of this 6
section. 7
(4) Monthly, the state treasurer shall distribute the earnings 8
credited to the treasury income account. The state treasurer shall 9
credit the general fund with all the earnings credited to the 10
treasury income account except: 11
(a) The following accounts and funds shall receive their 12
proportionate share of earnings based upon each account's and fund's 13
average daily balance for the period: The abandoned recreational 14
vehicle disposal account, the aeronautics account, the Alaskan Way 15
viaduct replacement project account, the ambulance transport fund, 16
the budget stabilization account, the capital vessel replacement 17
account, the capitol building construction account, the Central 18
Washington University capital projects account, the charitable, 19
educational, penal and reformatory institutions account, the Chehalis 20
basin account, the Chehalis basin taxable account, the clean fuels 21
credit account, the clean fuels transportation investment account, 22
the cleanup settlement account, the climate active transportation 23
account, the climate transit programs account, the Columbia river 24
basin water supply development account, the Columbia river basin 25
taxable bond water supply development account, the Columbia river 26
basin water supply revenue recovery account, the common school 27
construction fund, the community forest trust account, the connecting 28
Washington account, the county arterial preservation account, the 29
county criminal justice assistance account, the covenant 30
homeownership account, the deferred compensation administrative 31
account, the deferred compensation principal account, the department 32
of licensing services account, the department of retirement systems 33
expense account, the developmental disabilities community services 34
account, the diesel idle reduction account, the opioid abatement 35
settlement account, the drinking water assistance account, the 36
administrative subaccount of the drinking water assistance account, 37
the early learning facilities development account, the early learning 38
facilities revolving account, the Eastern Washington University 39
capital projects account, the education construction fund, the 40
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education legacy trust account, the election account, the electric 1
vehicle account, the energy freedom account, the energy recovery act 2
account, the enhanced wastewater treatment infrastructure for salmon 3
recovery account, the essential rail assistance account, The 4
Evergreen State College capital projects account, the fair start for 5
kids account, the family medicine workforce development account, the 6
ferry bond retirement fund, the fish, wildlife, and conservation 7
account, the freight mobility investment account, the freight 8
mobility multimodal account, the grade crossing protective fund, the 9
higher education retirement plan supplemental benefit fund, the 10
Washington student loan account, the highway bond retirement fund, 11
the highway infrastructure account, the highway safety fund, the 12
hospital safety net assessment fund, the Interstate 5 bridge 13
replacement project account, the Interstate 405 and state route 14
number 167 express toll lanes account, the judges' retirement 15
account, the judicial retirement administrative account, the judicial 16
retirement principal account, the limited fish and wildlife account, 17
the local leasehold excise tax account, the local real estate excise 18
tax account, the local sales and use tax account, the marine 19
resources stewardship trust account, the medical aid account, the 20
money-purchase retirement savings administrative account, the money-21
purchase retirement savings principal account, the motor vehicle 22
fund, the motorcycle safety education account, the move ahead WA 23
account, the move ahead WA flexible account, the multimodal 24
transportation account, the multiuse roadway safety account, the 25
municipal criminal justice assistance account, the oyster reserve 26
land account, the pension funding stabilization account, the 27
perpetual surveillance and maintenance account, the pilotage account, 28
the pollution liability insurance agency underground storage tank 29
revolving account, the public employees' retirement system plan 1 30
account, the public employees' retirement system combined plan 2 and 31
plan 3 account, the public facilities construction loan revolving 32
account, the public health supplemental account, the public works 33
assistance account, the Puget Sound capital construction account, the 34
Puget Sound ferry operations account, the Puget Sound Gateway 35
facility account, the Puget Sound taxpayer accountability account, 36
the real estate appraiser commission account, the recreational 37
vehicle account, the regional mobility grant program account, the 38
reserve officers' relief and pension principal fund, the resource 39
management cost account, the rural arterial trust account, the rural 40
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mobility grant program account, the rural Washington loan fund, the 1
second injury fund, the sexual assault prevention and response 2
account, the site closure account, the skilled nursing facility 3
safety net trust fund, the small city pavement and sidewalk account, 4
the special category C account, the special wildlife account, the 5
state hazard mitigation revolving loan account, the state investment 6
board expense account, the state investment board commingled trust 7
fund accounts, the state patrol highway account, the state 8
reclamation revolving account, the state route number 520 civil 9
penalties account, the state route number 520 corridor account, the 10
statewide broadband account, the statewide tourism marketing account, 11
the supplemental pension account, the Tacoma Narrows toll bridge 12
account, the teachers' retirement system plan 1 account, the 13
teachers' retirement system combined plan 2 and plan 3 account, the 14
tobacco prevention and control account, the tobacco settlement 15
account, the toll facility bond retirement account, the 16
transportation 2003 account (nickel account), the transportation 17
equipment fund, the JUDY transportation future funding program 18
account, the transportation improvement account, the transportation 19
improvement board bond retirement account, the transportation 20
infrastructure account, the transportation partnership account, the 21
traumatic brain injury account, the tribal opioid prevention and 22
treatment account, the University of Washington bond retirement fund, 23
the University of Washington building account, the voluntary cleanup 24
account, the volunteer firefighters' relief and pension principal 25
fund, the volunteer firefighters' and reserve officers' 26
administrative fund, the vulnerable roadway user education account, 27
the Washington judicial retirement system account, the Washington law 28
enforcement officers' and firefighters' system plan 1 retirement 29
account, the Washington law enforcement officers' and firefighters' 30
system plan 2 retirement account, the Washington public safety 31
employees' plan 2 retirement account, the Washington school 32
employees' retirement system combined plan 2 and 3 account, the 33
Washington state patrol retirement account, the Washington State 34
University building account, the Washington State University bond 35
retirement fund, the water pollution control revolving administration 36
account, the water pollution control revolving fund, the Western 37
Washington University capital projects account, the Yakima integrated 38
plan implementation account, the Yakima integrated plan 39
implementation revenue recovery account, and the Yakima integrated 40
p. 6 HB 1678
plan implementation taxable bond account. Earnings derived from 1
investing balances of the agricultural permanent fund, the normal 2
school permanent fund, the permanent common school fund, the 3
scientific permanent fund, and the state university permanent fund 4
shall be allocated to their respective beneficiary accounts.5
(b) Any state agency that has independent authority over accounts 6
or funds not statutorily required to be held in the state treasury 7
that deposits funds into a fund or account in the state treasury 8
pursuant to an agreement with the office of the state treasurer shall 9
receive its proportionate share of earnings based upon each account's 10
or fund's average daily balance for the period. 11
(5) In conformance with Article II, section 37 of the state 12
Constitution, no treasury accounts or funds shall be allocated 13
earnings without the specific affirmative directive of this section.14
Sec. 5. RCW 43.84.092 and 2024 c 210 s 5 and 2024 c 168 s 13 are 15
each reenacted and amended to read as follows: 16
(1) All earnings of investments of surplus balances in the state 17
treasury shall be deposited to the treasury income account, which 18
account is hereby established in the state treasury.19
(2) The treasury income account shall be utilized to pay or 20
receive funds associated with federal programs as required by the 21
federal cash management improvement act of 1990. The treasury income 22
account is subject in all respects to chapter 43.88 RCW, but no 23
appropriation is required for refunds or allocations of interest 24
earnings required by the cash management improvement act. Refunds of 25
interest to the federal treasury required under the cash management 26
improvement act fall under RCW 43.88.180 and shall not require 27
appropriation. The office of financial management shall determine the 28
amounts due to or from the federal government pursuant to the cash 29
management improvement act. The office of financial management may 30
direct transfers of funds between accounts as deemed necessary to 31
implement the provisions of the cash management improvement act, and 32
this subsection. Refunds or allocations shall occur prior to the 33
distributions of earnings set forth in subsection (4) of this 34
section. 35
(3) Except for the provisions of RCW 43.84.160, the treasury 36
income account may be utilized for the payment of purchased banking 37
services on behalf of treasury funds including, but not limited to, 38
depository, safekeeping, and disbursement functions for the state 39
p. 7 HB 1678
treasury and affected state agencies. The treasury income account is 1
subject in all respects to chapter 43.88 RCW, but no appropriation is 2
required for payments to financial institutions. Payments shall occur 3
prior to distribution of earnings set forth in subsection (4) of this 4
section. 5
(4) Monthly, the state treasurer shall distribute the earnings 6
credited to the treasury income account. The state treasurer shall 7
credit the general fund with all the earnings credited to the 8
treasury income account except: 9
(a) The following accounts and funds shall receive their 10
proportionate share of earnings based upon each account's and fund's 11
average daily balance for the period: The abandoned recreational 12
vehicle disposal account, the aeronautics account, the Alaskan Way 13
viaduct replacement project account, the budget stabilization 14
account, the capital vessel replacement account, the capitol building 15
construction account, the Central Washington University capital 16
projects account, the charitable, educational, penal and reformatory 17
institutions account, the Chehalis basin account, the Chehalis basin 18
taxable account, the clean fuels credit account, the clean fuels 19
transportation investment account, the cleanup settlement account, 20
the climate active transportation account, the climate transit 21
programs account, the Columbia river basin water supply development 22
account, the Columbia river basin taxable bond water supply 23
development account, the Columbia river basin water supply revenue 24
recovery account, the common school construction fund, the community 25
forest trust account, the connecting Washington account, the county 26
arterial preservation account, the county criminal justice assistance 27
account, the covenant homeownership account, the deferred 28
compensation administrative account, the deferred compensation 29
principal account, the department of licensing services account, the 30
department of retirement systems expense account, the developmental 31
disabilities community services account, the diesel idle reduction 32
account, the opioid abatement settlement account, the drinking water 33
assistance account, the administrative subaccount of the drinking 34
water assistance account, the early learning facilities development 35
account, the early learning facilities revolving account, the Eastern 36
Washington University capital projects account, the education 37
construction fund, the education legacy trust account, the election 38
account, the electric vehicle account, the energy freedom account, 39
the energy recovery act account, the enhanced wastewater treatment 40
p. 8 HB 1678
infrastructure for salmon recovery account, the essential rail 1
assistance account, The Evergreen State College capital projects 2
account, the fair start for kids account, the family medicine 3
workforce development account, the ferry bond retirement fund, the 4
fish, wildlife, and conservation account, the freight mobility 5
investment account, the freight mobility multimodal account, the 6
grade crossing protective fund, the higher education retirement plan 7
supplemental benefit fund, the Washington student loan account, the 8
highway bond retirement fund, the highway infrastructure account, the 9
highway safety fund, the hospital safety net assessment fund, the 10
Interstate 5 bridge replacement project account, the Interstate 405 11
and state route number 167 express toll lanes account, the judges' 12
retirement account, the judicial retirement administrative account, 13
the judicial retirement principal account, the limited fish and 14
wildlife account, the local leasehold excise tax account, the local 15
real estate excise tax account, the local sales and use tax account, 16
the marine resources stewardship trust account, the medical aid 17
account, the money-purchase retirement savings administrative 18
account, the money-purchase retirement savings principal account, the 19
motor vehicle fund, the motorcycle safety education account, the move 20
ahead WA account, the move ahead WA flexible account, the multimodal 21
transportation account, the multiuse roadway safety account, the 22
municipal criminal justice assistance account, the oyster reserve 23
land account, the pension funding stabilization account, the 24
perpetual surveillance and maintenance account, the pilotage account, 25
the pollution liability insurance agency underground storage tank 26
revolving account, the public employees' retirement system plan 1 27
account, the public employees' retirement system combined plan 2 and 28
plan 3 account, the public facilities construction loan revolving 29
account, the public health supplemental account, the public works 30
assistance account, the Puget Sound capital construction account, the 31
Puget Sound ferry operations account, the Puget Sound Gateway 32
facility account, the Puget Sound taxpayer accountability account, 33
the real estate appraiser commission account, the recreational 34
vehicle account, the regional mobility grant program account, the 35
reserve officers' relief and pension principal fund, the resource 36
management cost account, the rural arterial trust account, the rural 37
mobility grant program account, the rural Washington loan fund, the 38
second injury fund, the sexual assault prevention and response 39
account, the site closure account, the skilled nursing facility 40
p. 9 HB 1678
safety net trust fund, the small city pavement and sidewalk account, 1
the special category C account, the special wildlife account, the 2
state hazard mitigation revolving loan account, the state investment 3
board expense account, the state investment board commingled trust 4
fund accounts, the state patrol highway account, the state 5
reclamation revolving account, the state route number 520 civil 6
penalties account, the state route number 520 corridor account, the 7
statewide broadband account, the statewide tourism marketing account, 8
the supplemental pension account, the Tacoma Narrows toll bridge 9
account, the teachers' retirement system plan 1 account, the 10
teachers' retirement system combined plan 2 and plan 3 account, the 11
tobacco prevention and control account, the tobacco settlement 12
account, the toll facility bond retirement account, the 13
transportation 2003 account (nickel account), the transportation 14
equipment fund, the JUDY transportation future funding program 15
account, the transportation improvement account, the transportation 16
improvement board bond retirement account, the transportation 17
infrastructure account, the transportation partnership account, the 18
traumatic brain injury account, the tribal opioid prevention and 19
treatment account, the University of Washington bond retirement fund, 20
the University of Washington building account, the voluntary cleanup 21
account, the volunteer firefighters' relief and pension principal 22
fund, the volunteer firefighters' and reserve officers' 23
administrative fund, the vulnerable roadway user education account, 24
the Washington judicial retirement system account, the Washington law 25
enforcement officers' and firefighters' system plan 1 retirement 26
account, the Washington law enforcement officers' and firefighters' 27
system plan 2 retirement account, the Washington public safety 28
employees' plan 2 retirement account, the Washington school 29
employees' retirement system combined plan 2 and 3 account, the 30
Washington state patrol retirement account, the Washington State 31
University building account, the Washington State University bond 32
retirement fund, the water pollution control revolving administration 33
account, the water pollution control revolving fund, the Western 34
Washington University capital projects account, the Yakima integrated 35
plan implementation account, the Yakima integrated plan 36
implementation revenue recovery account, and the Yakima integrated 37
plan implementation taxable bond account. Earnings derived from 38
investing balances of the agricultural permanent fund, the normal 39
school permanent fund, the permanent common school fund, the 40
p. 10 HB 1678
scientific permanent fund, and the state university permanent fund 1
shall be allocated to their respective beneficiary accounts.2
(b) Any state agency that has independent authority over accounts 3
or funds not statutorily required to be held in the state treasury 4
that deposits funds into a fund or account in the state treasury 5
pursuant to an agreement with the office of the state treasurer shall 6
receive its proportionate share of earnings based upon each account's 7
or fund's average daily balance for the period. 8
(5) In conformance with Article II, section 37 of the state 9
Constitution, no treasury accounts or funds shall be allocated 10
earnings without the specific affirmative directive of this section.11
NEW SECTION. Sec. 6. Section 4 of this act expires July 1, 12
2028.13
NEW SECTION. Sec. 7. Section 5 of this act takes effect July 1, 14
2028.15
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