SENATE BILL REPORT

                   SB 5185

              As Reported By Senate Committee On:

               Transportation, February 2, 1999

Title:  An act relating to highway work done by state forces.

Brief Description:  Adjusting limits for highway work by state forces.

Sponsors:  Senators Haugen, Benton, T. Sheldon, Finkbeiner, Goings, Gardner, Prentice, Sellar and Winsley.

Brief History:

Committee Activity:  Transportation:  1/27/99, 2/2/99 [DPS].

SENATE COMMITTEE ON TRANSPORTATION

Majority Report:  That Substitute Senate Bill No. 5185 be substituted therefor, and the substitute bill do pass.

  Signed by Senators Haugen, Chair; Gardner, Vice Chair; Goings, Vice Chair; Benton, Eide, Horn, Jacobsen, Johnson, Oke, Patterson, Prentice, Sheahan, T. Sheldon, Shin and Swecker.

Staff:  Ashley Probart (786-7319)

Background:  State law determines the dollar amount of highway construction work that may be performed by state work forces.

Current state law requires construction activities to be contracted out if the project activity will exceed $30,000.  Project activities less than $30,000 may be contracted or performed by state work forces.

In emergency situations that constitute a danger to the traveling public, state forces may perform work activities that are less than $50,000.

These contracting limits were last adjusted for inflation in 1984.

Summary of Substitute Bill:  The project limit for activities that may be contracted out or performed by state work forces is increased from $30,000 to $50,000, and is increased to $60,000 on July 1, 2005.  In emergency situations, this limit is increased from $50,000 to $80,000 and is increased to $100,000 on July 1, 2005.

These increases reflect adjustments for inflation.

Substitute Bill Compared to Original Bill:  Technical corrections are made to change highway department to Department of Transportation, and to adjust a figure for inflation.  An adjustment is made for state force work limits effective July 1, 2005.

Appropriation:  None.

Fiscal Note:  Not requested.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  This bill addresses the impacts of inflation on materials and equipment costs that have occurred since 1984.  It allows the Department of Transportation to quickly meet the needs of its customers by flexibly and efficiently managing the delivery of services, while still meeting the purpose of ensuring the majority of non-maintenance work is done by outside contractors.

Testimony Against:  None.

Testified:  Linea Laird, Department of Transportation (pro).