Chapter 03: Budget Request Content

3.1 Content Required

3.2 10-Year View | CBS 001

3.3 Department of Archaeology and Historic Preservation (DAHP) Review Letter and Exempt Project List

3.4 Capital FTEs | CBS 004

Agencies must provide a summary of capital full-time equivalent (FTE) staff necessary for and related to the capital project or program. The summary includes:

Staff and expenditures budgeted for capital projects in the 2027-29 biennium. These are all FTEs either wholly or partially funded by the capital budget. Accurate FTE information allows us to estimate the impact of the enactment of the capital budget.
Proposed number of staff and staff-related expenditures for the 2027-29 biennium, by account and by program.
Narrative describing the role of proposed FTEs and an explanation for any changes from the 2023-25 biennium.
Account and level of anticipated expenditures for the FTEs.

Administrative costs for both grant and loan programs and construction projects are limited by the IRS (Chapter 4), OFM, and the Legislature. See Chapter 4 for the appropriate use of tax-exempt bond proceeds related to staffing costs.

Agencies that employ full-time staff who directly support capital projects must identify these staff functions and their anticipated full-time equivalent (FTE) and supporting expenditures on their Capital FTE Summary.

Common agency accounting practices for administration costs associated with capital projects include charging each project directly for costs incurred or assessing a project administration fee across agency capital projects and using the pooled funds to pay agency project administrative costs. The available options depend on whether the project is a grant/loan program, an agency construction project, or an agency minor works project. If you have questions about the use of a capital appropriation for administrative and staff costs, please contact your OFM capital budget advisor.

Grant and Loan Program Administration

Unless specified otherwise in law, an agency administering an existing grant or loan program may charge up to 3 percent of the total new appropriated project costs. Please contact your OFM capital budget advisor if the agency believes 3 percent is not adequate to implement a program. Exceptions may be granted on a very limited basis with documentation justifying the need, which could include implementing a new program or federal requirements.

Agency Project Management and Administration Fees

For major and stand-alone capital projects greater than $2 million ($4 million for higher education), the fee calculation depends on whether the project is managed by the agency or if the Department of Enterprise Services holds public works authority. This must be identified on the summary tab of the C-100 cost estimating form.

For projects where the agency holds public works authority, the project management/ administration fee is based on the updated Architect and Engineering (A/E) basic service fee, minus 3 percent and multiplied by the sum total of acquisition cost, consultant services cost, maximum allowable construction cost, construction contingency and other costs as identified in the C-100 form. This rate is intended to be a ceiling, not a target. Agencies must evaluate their project management and administration requirements for each project when requesting these fees. OFM or the Legislature may further adjust agency project management fees based on project complexity and size.

For minor works appropriations with subprojects less than $2 million ($4 million for higher education), the project management/administration fee generally may not exceed 4 percent of the total new appropriated project cost, unless approved by OFM.

When DES is responsible for project administration, the project management/ administration fee is not included in the capital request but is provided in a separate appropriation. Agencies should select “Project Administered by DES” on the summary tab of the C-100.

3.5 Maintenance Backlog

3.6 Healthy Environment for All Act (HEAL Act) Documentation

The following state agencies must implement the requirements of the HEAL Act (RCW 70A.02):

Department of Ecology
Department of Agriculture
Department of Commerce
Department of Health
Department of Natural Resources
Department of Transportation
Puget Sound Partnership
Office of the Attorney General

These agencies must take specific actions when making expenditure decisions or developing budget requests for OFM and the Legislature for programs that address or may cause environmental harms or provide environmental benefits. Covered agencies must also consider any guidance developed by the Environmental Justice Council and the Environmental Justice Interagency workgroup under RCW 70A.02.110.

Agencies required to comply that are considering a significant agency action are required to conduct an environmental justice assessment. RCW 70A.02.010(12) defines significant agency actions as the following:

The development and adoption of significant legislative rules as defined in RCW 34.05.328.
The development and adoption of any new grant or loan program that the agency is explicitly authorized or required by statute to implement.
A capital project, grant, or loan award costing at least $12,000,000.
A transportation project, grant, or loan costing at least $15,000,000.
The submission of agency request legislation to the Office of the Governor or the OFM for approval.
Any other agency actions deemed significant by a covered agency consistent with RCW 70A.02.060.

Directive 24-11 establishes a requirement to develop a uniform approach for agencies to identify overburdened communities and vulnerable populations to direct and track investments under the Healthy Environment for All (HEAL) Act and Climate Commitment Act (CCA). The guidance for the uniform approach is reviewed and updated on a biennial schedule, with the most current guidance published on the OFM website.

To help OFM understand how HEAL Act agency budget requests meet HEAL Act requirements, covered and opt in agencies are required to complete additional questions related to the HEAL Act. Covered agencies are asked to answer the following questions and include them on Tab A of the agency E-Binder submittal.

Please describe assumed environmental benefits or mitigation of environmental harm as defined in RCW 70A.02.010 related to your budget request and the associated health impacts to overburdened communities and vulnerable populations.

Does this budget request meet a community need formally identified to a covered agency by an overburdened community or vulnerable population that is consistent with the intent of Chapter 70A.02 RCW? If yes, please explain.

Does this budget request help the agency achieve environmental justice goals established with the strategic planning requirements in RCW 02.040? If yes, please explain.

Does this budget request include funding to help the agency meet engagement standards established by the Community Engagement Plan required by agencies to implement under the RCW 70A.02.050? If yes, please explain.

Please describe any potential significant impacts to federally recognized Tribal rights and interest in their Tribal lands, as well as traditional practices. Describe how your agency engaged with Tribes in developing this proposal. Please include offers for Tribal consultation including timelines, methods for feedback, and mechanisms for Tribes to express concern, opposition, or support., and any direction provided by Tribes through this engagement.

If the decision package is associated with agency request legislation or constitutes a significant agency action under RCW 02.010(12), please describe how your agency is using the environmental justice assessment process to eliminate, reduce, or mitigate environmental harms and equitably distribute environmental benefits. If an environment justice assessment has already been submitted, please provide a link or submit the assessment as an attachment in ABS in lieu of answering this question.

3.7 IT Addendum

3.8 Projects | CBS 002

Projects – Detail

Project Titles and Numbers

Project numbers automatically generated in CBS serve as the unique identifier of a project. The project number is used for project monitoring and comparisons throughout the life of the project.

Once enacted in the budget, the project title and number for major and stand-alone projects must not be changed during the life of the project. If the agency requests a reappropriation or new appropriation for an existing project, the agency must copy the project from the enacted version in CBS for subsequent biennia.

Competitive grant and loan program and minor works appropriations should use a new project number and title with a biennial identifier at the beginning of the project title (“2027-29”). This improves tracking of reappropriations.

Project Class

Capital projects are identified as preservation, program, grant, or loan projects.

Preservation projects maintain, preserve, and extend the life of existing state facilities and assets and do not significantly change the facility and building footprint to address current or anticipated program changes. Examples include renovating building systems, upgrading utility systems and making other significant repairs.
Program projects primarily achieve a programmatic goal, such as changing or improving an existing space to meet program requirements or creating a new facility or asset through construction, lease, or purchase. This category includes projects ranging from building new facilities to significant renovation of existing facilities. Programmatic projects may also improve conditions, accommodate changes in services or clientele, or increase or maintain federal reimbursement.
Grant and loan programs. Some grants and loans are authorized directly in the capital budget bill for tribal and local or community organizations for various purposes, while other grants and loans are authorized through competitively awarded statutory programs. Statutory grant programs must submit 10-year capital budget requests within the limits specified by statute. Agencies whose grant programs have no specified appropriation limits should submit requests based on a demonstrated need and the ability to execute projects expediently. The Legislature does not intend to reappropriate bond-funded projects for which a contract has not been executed within four years from the date of appropriation or for which appropriations have not been spent within six years of appropriation.

For project class in CBS, select “Grant” for grant and loan programs funded by state sources that are awarded by the state to qualifying recipients. Select “Grant – Pass Through” for programs funded by non-state sources administered by the state and passed-through to qualifying sub-recipients. If a program includes both state and federal funding, choose “Grant – Pass Through” and indicate in the narrative if the state funding is required match and at what rate the State is required to minimally match the non-state funding source.

Starting Year

Identifies the year an agency intends to start the proposed project or expenditures.

Agency Summary

This is also known as the project summary or recommendation summary (RecSum) text. Provide a brief, clear and concise description of the project, including the problem or opportunity and how the proposed project addresses it. The agency summary should be no more than two or three sentences.

Updated Project Description

Describe the proposed project. Provide answers to the following questions, which will inform decision makers about the proposed project.

Requests For Reappropriations Only

Describe the project (and each subproject, if applicable), including the original appropriation year, status of the project, and an explanation why a reappropriation is needed.

Requests For New Appropriations (Including New Appropriations with Associated Reappropriations)

What will the request produce or construct? Who or what will be impacted by the budget request and how will they be impacted?
The narrative should explain in plain, jargon-free language what the state is being asked to buy and its purpose, so a non-specialist can easily understand it. Explain details like where and how many units would be added, people or communities served, students, state employees, etc. Provide actual estimates/data to the extent possible.

Identify the problem or opportunity addressed by this request. Why is the request a priority? What would be the result of not acting?
This space is for describing the problem/opportunity (not the request itself). Please provide any data necessary to understand the problem/opportunity.The narrative response should include a description of the challenges facing the agency and provide a basic understanding of the current program, business, or operational environment.Identify whether the project will support unserved/underserved people or communities, operating budget savings, safety benefits, or other benefits.

For construction projects:
• For preservation projects, please include information about the current condition of the facility or system.
• Does the project contribute to meeting the greenhouse gas emissions limits established in RCW 70A.45.050, clean buildings performance standards in RCW 19.27A.210, or other statewide goals to reduce carbon pollution and/or improve energy efficiency? For buildings subject to the clean buildings performance standards, describe your compliance pathway for the building, and include information about energy audits, metering, and energy benchmarking.

For grant/loan programs:
• Is there a waitlist for funding or services that can be quantified?
• Please provide data on funding availability, application demand, and award amounts for the most recent four fiscal years.

For minor works projects:
• How much of the agency maintenance backlog would be reduced if this request is funded?
• Does the agency maintain a Facilities Condition Assessment (or similar) system?
• How did the agency develop the minor works funding level requested?

For new funding requests for programs or projects that have received previous appropriations (either a phase of construction or previous grant rounds), how much has been spent or put under contract?
Describe how long it will take until a capital asset is completed. If additional funding will be needed to complete the project, how much and how/when will it be requested?If this is a project that has received previous funding for an earlier phase, please provide a description of the status of the completed or in-progress project phases, including (by phase) the amount of funding available, key deliverables achieved by date, funds spent and contracted, and amount of funding remaining that has not been contracted.

Does this project or program leverage non-state funding? If yes, how much by source?
If the other funding source requires cost share, also include the minimum state (or other) share of project cost allowable and the supporting citation or documentation. For federal funding, include whether the funding has been requested, is pending, or has been awarded.

Provide context on how this request fits into the agency’s work. Describe how this project supports the agency’s strategic plan or would improve agency performance.
Use this question as an opportunity to provide context. For example, if your facility is a fish hatchery, what species of fish are raised at the facility, how many fish are raised at the facility each year, what percentage of your agency’s overall production of this species of fish does this represent, and what is the significance to your agency’s mission of raising this species of fish?Reference your agency strategic plan, feasibility studies, space programming, and other analyses, as appropriate.

How is your proposal impacting equity in the state? Which communities are impacted by this proposal? What are the measurable outcomes that would result from the project?
Include both demographic and geographic communities. How are disparities in communities impacted? How would success be measured and reported back to the Governor and legislature if requested?

Is there additional information you would like decision makers to know when evaluating this request?

For major construction projects, describe the viable alternative solutions you considered. Why was this alternative chosen?
If this project has an associated predesign, please summarize the alternatives the predesign considered and the cost of each alternative. If no predesign exists, describe at least three viable alternatives considered, summarize their results, and explain why the chosen alternative was selected. Include its cost savings, cost avoidance, and/or operational efficiencies relative to other options.

For major construction projects, what project delivery method has been or will be selected and why?
The narrative response should include the benefit to the state from using an alternative project delivery method compared to the traditional design-bid-build method. If the project is or will be GC/CM project delivery, which primary condition under RCW 39.10.340 was chosen and why?Include discussion whether soft costs are higher or lower under the alternative project delivery method. If the project was approved through CPARB, describe the results and any discussion from the approval process. If the project has not been approved by CPARB, where is the project in terms of process for approval?

If this project is linked to the Puget Sound Action Agenda and/or the Governor’s Salmon Strategy, please follow the instructions in Ch. 14 of the operating budget instructions. In the capital budget project description, please provide the following:For Puget Sound Action Agenda:
Identify no more than three Action Agenda strategies that the budget request relates to and provide a brief narrative description of how the proposed work will advance the actions in the listed strategies.If decision packages have multiple components, agencies should also specify if distinct parts of the request (dollar amounts, FTEs, objects of expenditure, etc.) are related to distinct aspects of Puget Sound recovery.

For Governor’s Salmon Strategy:
Explain why the project is urgent in the coming biennium to advance salmon recovery, and how it is aligned with a federally approved salmon recovery plan, and/or advances a known tribal priority. What are the measurable outcomes that would result from the project?

In the capital agency summary, include the statement, “Related to Puget Sound Action Agenda implementation” and/or “Related to implementing the Governor’s Salmon Strategy”.

Projects that are not planned until future biennia (ex. the project doesn’t start until the 2029-31 biennium or later) can include a succinct summary of the anticipated project in lieu of these ten questions. Our main focus in budget development will be on reappropriation and new appropriation requests for the 2027-29 biennium.

New Project Cost Increases – Additional Information

For any capital budget request wherein the project cost has substantially increased (total estimated project cost has increased by more than 15%) from its original estimate, a statement detailing the amount and reason for the additional cost must be included. If the increased cost is the result of a design change, the agency must also submit a C-100 construction cost estimate for the original design, in addition to their new construction cost estimate for the new design. See Section 8034(6)(q) of the 2025-27 enacted capital budget for more information.

Projects – Additional Information

Prior to submitting capital budget requests, agencies should make early contact with affected local governments and review their project lists against local plans and ordinances to ensure consistency with local growth management plans. Agencies must submit verification that a project is consistent with the provisions set forth in the state Growth Management Act (Chapter 36.70A RCW).

Projects – Subprojects
Programs and projects (for example grants or loans) with known subprojects are required to submit a project list with additional subproject data through CBS 002. If a project list is developed after the release of the Governor’s budget, please contact your capital budget analyst to coordinate the transfer of subproject data when it becomes available. If a project includes subprojects, complete the agency summary and project description for the parent project and each subproject. DO NOT enter “See parent project” in the agency summary and project description. Include the location information in CBS, when known for subprojects, such as county, city, legislative district, longitude, and latitude.

Projects – Minor Works Updated
NEW Starting in the 2025-27 budget, minor works projects are generally appropriated as a lump sum without subprojects. Agencies should request 2027-29 minor works funding in a lump sum, based on the amount they believe they can spend in the biennium, with supporting documentation on which specific projects they would prioritize. Agencies no longer need to enter details on individual subprojects into the CBS system. Agencies are also not required to submit C-100s for individual minor works subprojects.

It is the intent of the legislature that minor works be spent in the biennium for which they are appropriated, without reappropriation (2026 Supplemental Sec. 8005(1)). Agencies should adjust their minor works requests accordingly. Requests for minor works appropriations for the 2027-2029 fiscal biennium and future biennia must take into account the amount of minor works projects that can reasonably be completed in the next biennium.

Minor works funding must not be used for:

A phase of a larger project
A project that, if combined over a continuous period, would exceed $2 million (or $4 million for higher education institutions)
Supplemental funding for a bigger project that received a separate appropriation
Planning, design, and studies except for technical or engineering reviews or designs that lead directly to and support a project on the same minor works list
Movable, temporary, and traditionally funded operating equipment, including rolling stock and computers
Software not dedicated to control of a specialized system
Moving expenses
Land or facility acquisition
Funding to supplement projects with funding shortfalls unless expressly authorized by the Office of Financial Management for exigent circumstances with notice to the legislative fiscal committees. Please contact your OFM Capital Budget Advisor to discuss.

See Chapter 4 for additional detail on the allowable and non-allowable use of tax-exempt bond proceeds.

Projects – Funding
Provide a cost estimate for the project and the fund source for the ensuing biennium and future needs. For major capital construction projects ($2 million, or $4 million for higher education), the funding request entered in CBS must be consistent with the project C-100. When a project has subprojects (ex. grant or loan program), funding information is required at a subproject level.

The 10-year capital program summary report (CBS 001) is populated by the information provided for the ensuing biennium and future biennia.

Projects – Operating Impacts
Capital budget requests must identify associated operational costs, including but not limited to the following:

Alternatively financed projects. Agencies proposing that a project or program be funded through lease/purchase or other financing contracts must estimate the lease or debt service costs, including fund source, associated with the funding method.
Facility costs. If construction or property acquisition will bring a new facility online in the 2027-29 or 2029-31 biennia, the agency also must submit a decision package in its operating budget request that reflects the operating budget impacts during that biennium or the outlook biennium. Impacts may include IT and office equipment, moving costs, other one-time costs and new ongoing costs associated with the capital project, such as custodial or maintenance staff and any additional FTEs needed to operate the new or expanded program in the building. Provide the activity number of the decision package in the operating budget request in the narrative box.
Habitat and recreation land acquisitions. Agencies proposing the acquisition of land, or capital improvement of land for which the primary purpose is recreation or wildlife habitat conservation must identify the projected operation and maintenance costs for at least the two biennia succeeding the next biennium, including the source of funds from which these costs are proposed to be funded, as required by RCW 43.88.030(6)(p).

For projects with multiple subprojects, operation and maintenance information must be submitted at the subproject level. Submit an operating budget request if the associated operation and maintenance costs of the acquisition impact the 2027-29 or 2029-31 operating budget. Contact your assigned OFM operating budget advisor for details.

When requesting funding for recreation or wildlife habitat land acquisition through the Recreation and Conservation Office (RCO), submit estimates of the operation and maintenance costs to RCO. Contact Mark Jarasitis at RCO (360) 902-3006 for assistance.

Projects – Cost Estimates
For construction projects with an estimated total cost over $2 million ($4 million for higher education), agencies must provide cost estimates by completing the Excel C-100 and attaching it in CBS. Please note that the CBS 003 report is no longer required and will not be used in OFM or Legislative budget development; updates to the C-100 are not reflected in the CBS cost estimator due to outdated database architecture.

Projects – Attachments
Agencies must attach the following documentation in CBS:

The C-100 (Excel cost estimating form) is required for all construction projects over $2 million ($4 million for higher education). Please attach the C-100 as an Excel file. For more information, see the cost estimating section below.
Certificate of Participation (COP) forms, developed with the Office of the State Treasurer, for projects requested as COPs.
Where applicable, subproject lists with details such as locations, rankings, and descriptions.
Where applicable, IT project request addendum.
Pictures (optional).
Other documentation that may inform decision makers.

3.9 Reappropriations | CBS 002 | Updated

For projects requiring more than one biennium to complete and for which an unexpended balance is anticipated at the end of the biennium, an agency must request that funds be carried forward (reappropriated) to the next biennium. Agencies must demonstrate that funds are needed to complete the previously approved scope of work.

The biennial capital budget requires new 2025-27 appropriations for grant programs and community projects to be spent in a timely manner. The Legislature does not intend to reappropriate most 2025-27 bond-funded grant program projects for which a contract has not been executed within four years or for which appropriations have not been spent within six years of appropriation. Minor works projects should be completed in the biennium in which they are appropriated.

When requesting a reappropriation, agencies should follow these guidelines:

The reappropriation request must not exceed the remaining expenditure authority amount. Reappropriations must retain the same project title, number, and description as the enacted appropriation. To ensure reappropriation requests are accurate, agencies should copy forward the enacted budget version of a project and not the original agency request from the previous biennium.
Reappropriation requests must answer only the following “project description” question in CBS:Describe the project (and each subproject, if applicable), including the original appropriation year, status of the project, and an explanation why a reappropriation is needed.Submit this information as an attachment to the request in CBS if there are multiple subprojects associated with the parent project reappropriation request.

Agencies do not need to enter a priority for reappropriation requests. Agencies’ priorities should be focused on new project requests.

OFM and the Legislature will request periodic reappropriation updates as they develop their budgets. During the development of their budgets, OFM and the Legislature calculate reappropriations based on actual expenditures. Agencies must accurately account for capital expenditures for this calculation to be correct.

3.10 Cost Estimates | C-100

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