District Type and Issues Identification

1. District Type and Issues Identification Chehalis River Basin Flood Authority Entity Formation July 15, 2010

2. Meeting Goals • Select the approach for the initial formation of a flood entity • Present entity formation schedule • Define and refine key issues • Discuss next steps

3. Flood Control District orFlood Control Zone District Chehalis River Basin Draft Comprehensive Flood Hazard Management Plan analyzed 7 organizational & funding structures Recommended either a FCD or a FCZD be selected by the Flood Authority Final decision will be made in the fall of 2011 by BCCs

4. Flood Entity Formation6/24/2010 Workshop Summary Flood Authority heard & discussed the pros & cons of FCDs and FCZDs Flood Authority heard overview of breadth of policy choices available for either Flood Authority provided feedback on the desirability of phasing the governance structure and financing Consultant agreed to provide a phasing recommendation at the 7/15 meeting

5. Flood Entity Recommendation Recommend a basin-wide FCZD as ultimate mechanism Recommend interim use of FCZD’s or Drainage Utilities within each county as component members of a basin-wide interlocal entity

6. Flood Entity Recommendation Can form interim entity through Interlocal Agreement without need for state legislation Much more flexibility Can meet the state deadline in 2011 Can do in phases Can improve relevant statutes through state legislation

7. Flood Entity Recommendation: Governance Create initial Entity as a Watershed Management Partnership (WMP) through Interlocal Parties include existing Lewis FCZD; new Grays Harbor FCZD; Thurston Drainage Utility or new Thurston FCZD Interlocal determines governance structure Additional Parties could include the Chehalis Tribe and the State

8. Flood Entity Recommendation: Budget, Financing & Boundaries Initial Regional Program Budget to include shared costs per ESA Adolfson Memo (date) Interlocal to determine allocation of costs Revenues raised & contributed by each Party No bonding until major capital program approved Initial boundary: Thurston, Lewis and Grays Harbor Counties within the Chehalis Basin

9. Flood Entity Recommendation: Options Retained Can request adjustments to state law for multi-county FCZD governance structure to replace Interlocal Agreement Retains future public vote options: (1) future separately elected board, (2) bonding the capital program Retains capacity for future subzones within boundary Retains ability to impose tax/assessments/rates

10. Flood Authority Provisional Decision Should an interim entity be formed by interlocal agreement to meet the June 2011 deadline? Should a Watershed Management Partnership be the focus as the interim entity? Should options be retained for a multi-county Flood District in future?

11. Chehalis Entity Formation Schedule

12. Chehalis River BasinEntity Formation Issues? Concerns? Questions?

13. Chehalis River BasinEntity Formation Next Steps Date, Time & Location of Next Meeting Topics/Agenda Adjournment