OLYMPIA -- A legislative bill that could give the city of Olympia an extra year to qualify for state sales tax dollars to build a conference center passed the Senate late Thursday.
Senate Bill 5514 passed by a 40-7 vote.
The bill would give municipalities that have created public facilities districts by July 31 until Jan. 1, 2004, to break ground on projects.
If they meet the deadline, the municipalities could get a small portion of state tax dollars for their projects.
The bill must pass muster quickly with the House of Representatives and Gov. Gary Locke. The Legislature's regular session ends Thursday.
"I expect it's a bill that we can move to the floor without committee action" because it is tied to the state budget, said Rep. Gary Alexander, R-Olympia, a longtime proponent of the legislation.
A similar House bill died in committee last month.
At the Olympia City Council's Feb. 26 meeting, Spokane developer David Brubaker proposed the creation of a publicly owned and privately operated conference center with 100 guest rooms.
Brubaker recommended that the estimated $20 million center be built on a 3.7-acre Port of Olympia parcel at the foot of Budd Inlet's East Bay.
The cities of Olympia, Lacey and Tumwater should form a public facilities district -- a board-operated district with borders matching the cities -- Brubaker recommended.
The district could direct about $10.5 million of state sales tax revenue toward the center's construction.
Brubaker suggested that the remaining construction costs could be covered through a city of Olympia bond.
The existing state public facilities district law requires that construction of eligible projects start by Jan. 1, 2003.
Brubaker proposed a fast-track review and permitting timeline that would allow for construction to start by Dec. 16, but the council shelved the proposal Tuesday.
City Attorney Mark Erickson and the city's bond counsel, Preston, Gates & Ellis, determined that state law requires the project to undergo a formal construction bidding process or a request for qualifications -- a formal solicitation for architects or builders.
The request for qualifications process would take a minimum of 30 to 40 days, and the formal bidding process would take even longer, Erickson said.
Brubaker's attorneys contended that the processes could be bypassed, allowing for a December construction start.
Olympia Mayor Stan Biles -- a vocal proponent of a conference center -- called the Senate action a victory.
"I'm encouraged that we have 50 percent of the Legislature's support for the proposal," said Biles, who promised that, if the bill comes up for a House public hearing, Olympia officials will testify. "The Senate is one of only three stools, so we have two more to go."
Added Alexander: "We've got a short time frame left in the session, so my goal is to get this thing up and out of here."
If that happens, Alexander said, he will lobby local elected officials to create a public facilities district.
Michael Burnham covers Olympia for The Olympian. He can be reached at 360-704-6869.