Acting under the authority as hereinbefore set forth and RCW 79.01.096, the board of natural resources declares it to be the policy of the department of natural resources to grant priority to public school districts in the leasing of common school lands under the jurisdiction of the department of natural resources: Provided, however, That the needs of such lands for public school purposes is clearly demonstrated and the request is not in excess of actual or reasonably foreseeable needs.

The interest rate to be charged on all sales requiring the same pursuant to RCW 79.01.132 shall be twelve percent per annum.

(1) The board of natural resources hereby determines that a deduction from the gross proceeds of all leases, sales, contracts, licenses, permits, easements, and rights of way issued by the department of natural resources and affecting public lands as provided for in subsection (2) hereof is necessary in order to achieve the purposes of chapter 79.64 RCW.

(2) The department of natural resources shall deduct up to the maximum percentages as provided for in RCW 79.64.040 and related statutes. Except for transactions involving aquatic lands, harbor areas and trust land categories that have a deficit revenue/expenditure status, the deductions may be temporarily discontinued by a resolution of the board of natural resources at such times as the balance in the resource management cost account exceeds an amount equal to twelve months operating expenses for the department of natural resources or when the board determines such discontinuation is in the best interest of the trust beneficiaries. The board shall specify the trust lands subject to such discontinuation. The duration of such orders shall be for a specified time period calculated to allow a reduction of the resource management cost account balance to an amount approximately equal to three months operating expenses for the department. Operating expense needs will be determined by the board based on pro rata increments of biennial legislative appropriations. All sums so deducted shall be paid into the resource management cost account in the state general fund created by chapter 79.64 RCW.

The interest rate to be charged on all contracts requiring the same pursuant to RCW 79.01.216 shall be the average for thirty year fixed conventional mortgages on the first day of the last full month preceding approval by the board of natural resources. Said rate shall not be less than six percent.