Who may create a TBD?
The legislative authority of a county or city may create a TBD by ordinance following the procedures set forth in Chapter 36.73.
Who governs the TBD?
Lynnwood Mayor and City Council.
What transportation improvements can be funded by a TBD?
A TBD can fund any transportation improvement contained in any existing state, regional, or local transportation plan that is necessitated by existing or reasonably foreseeable congestion levels. This can include maintenance and improvements to city streets, county roads, state highways, investments in high capacity transportation, public transportation, transportation demand management and other transportation projects identified in the agency’s transportation plan.
Can a TBD fund maintenance and preservation activities?
Yes. A TBD may fund the operation, maintenance, and preservation of the programs and facilities noted above.
What revenue options do TBD’s have?
TBD’s have several revenue options subject to voter approval: Property taxes – a 1-year excess levy or an excess levy for capital purposes; Up to 0.2% sales and use tax; and Vehicle tolls. Please Note: There are exemptions or unique requirements when using the vehicle fee or vehicle tolls.
Are TBD revenues required to be spent as they are collected?
No. The governing body must develop a plan that specifies the transportation improvements to be provided or funded by the TBD. As part of this plan, the TBD’s governing board can indicate if the funds will be used immediately, or if they will be collected for a specified period. Typically, funds that are collected for a specified period before being expended are used to fully fund large projects, when bonding, or serve as a match for state or federal funds that may only become available in a specified time frame.
What other requirements should I be aware of?
If project costs exceed original costs by more than 20 percent, a public hearing must be held to solicit public comment regarding how the cost change should be resolved. The TBD must issue an annual report to include the status of project costs, revenues, expenditures, and construction schedules.
The TBD must be dissolved upon completion of the project(s) and the payment of debt service.