Creates a separate guardianship chapter in Title 13 RCW (juvenile courts and juvenile offenders) to establish permanency for children in foster care through the appointment of a guardian and dismissal of the dependency.

Requires the department of social and health services to adopt rules consistent with federal regulations for the receipt and expenditure of federal funds and implement a subsidy program for eligible relatives appointed by the court as a guardian.

Repeals certain guardianship for dependent child statutes related to petitions for; hearings; rights of parties; rules of evidence; when guardianship is established; qualifications for dependency guardian; consideration of preferences of parent; and relative guardianship subsidies.