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SB 5656

Establishing the school security and preparedness infrastructure grant program.

2023-2024 Regular Session Introduced by Perry Dozier and 1 co-sponsor

SB 5656 replaces the inflation-rate basis for state water-dependent aquatic leases from PPI to Seattle CPI-U, stabilizing yearly adjustments for lessees and DNR.

By resolution, reintroduced and retained in present status.
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Bill Summary · SB 5656

Summary — SB 5656 (2025): Modifying the inflation-rate definition for aquatic leases

Status: Enacted (Chapter 151, 2025 Laws). Governor signed April 22, 2025. Effective date: July 27, 2025. Sponsors: Senators Krishnadasan, Riccelli, and Nobles. RCW amended: RCW 79.105.060.

Main purpose

SB 5656 changes how the annual "inflation rate" is calculated for certain state aquatic‑land leases. The bill replaces the previous producer price index (PPI) basis with a consumer price index (CPI) measure targeted to the Seattle metropolitan area, and removes a prior rulemaking requirement for a substitute index if the federal index ceased to be published.

Key provisions

  • Amends the statutory definition of "inflation rate" in RCW 79.105.060.
  • New definition: the inflation rate equals the percentage rate of change in the previous calendar year’s Consumer Price Index for All Urban Consumers (CPI‑U), all items, for the Seattle metropolitan area as calculated by the U.S. Bureau of Labor Statistics (or its successor).
  • Removes language that required the Department of Natural Resources (DNR) to designate by rule a substitute index if the BLS stopped publishing the prior index.
  • The change applies to water‑dependent aquatic land leases (leases for uses that must be located on the water).
  • No appropriation is included. A fiscal note is available.

Who is affected

  • Lessees of state‑owned aquatic lands used for water‑dependent purposes (e.g., marinas, moorage, boat repair, ferry terminals, aquaculture).
  • The Department of Natural Resources (implements lease adjustments and administers aquatic leases).
  • Local businesses and communities that rely on predictable lease rates and waterfront access.
  • State revenues collected by DNR are affected in their annual adjustment methodology (but proponents testified the long‑term revenue is not materially changed — adjustments will be smoother).

Rationale and testimony

Proponents argued PPI produced more volatile year‑to‑year adjustments that caused sudden large increases in lease rates; switching to CPI for the Seattle area yields more stable, predictable annual adjustments and benefits marina operators, recreational access, and local communities. No organized opposition was reported in committee testimony.

Procedural / timeline highlights

  • Introduced: February 4, 2025.
  • Passed Senate (49–0) March 4, 2025; passed House (97–0) April 9, 2025.
  • Delivered to Governor April 17, 2025; signed April 22, 2025.
  • Filed as Chapter 151, 2025 Laws; effective July 27, 2025.

Additional notes

  • The amendment applies across the aquatic lands statutes (chapters 79.105–79.145 RCW) wherever the defined term is used.
  • The bill’s switch aligns the inflation adjustment for water‑dependent leases with the CPI method already used for aquatic easements.

Compiled from official sources — confirm details with the bill’s official record.

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