H-3726              _______________________________________________

                                                   HOUSE BILL NO. 1556

                        _______________________________________________

State of Washington                              49th Legislature                              1986 Regular Session

By Representatives Walk, Schmidt, Zellinsky, Haugen, Vekich, S. Wilson, Fisch, McMullen, Brough, Valle, Smitherman, Schoon, Lundquist, Thomas, J. Williams and Dellwo

Read first time 1/17/86 and referred to Committee on Transportation.

AN ACT Relating to management of the department of transportation; amending RCW 47.01.081; adding new sections to chapter 47.01 RCW; adding a new section to chapter 47.60 RCW; and adding a new section to chapter 47.68 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

        Sec. 1.  Section 8, chapter 151, Laws of 1977 ex. sess. as amended by section 1, chapter 48, Laws of 1984 and RCW 47.01.081 are each amended to read as follows:

          (1) ((Initially)) The department shall be organized into divisions, including the division of highways, the division of planning, research, and public transportation, the division of aeronautics, the division of marine transportation, and the division of ((transportation planning and budget)) management services.

          (2) The secretary may reorganize divisions in order to attain the maximum possible efficiency in the operation of the department.  Each division shall be headed by an assistant secretary to be appointed by the secretary.  The secretary may also appoint a deputy secretary as may be needed for the performance of the duties and functions vested in the department and may also appoint up to twelve ferry system management positions as defined in RCW 47.64.011.  The secretary may delegate to officers within the several divisions of the department authority to employ personnel necessary to discharge the responsibilities of the department.

          (3) The officers appointed under this section shall be exempt from the provisions of the state civil service law and shall be paid salaries to be fixed by the governor in accordance with the procedure established by law for the fixing of salaries for officers exempt from the operation of the state civil service law.

NEW SECTION. Sec. 2.  A new section is added to chapter 47.01 RCW to read as follows:

          The division of management services, in addition to other duties assigned  by the secretary, shall devise and supervise a modern and complete budgeting and accounting system for each division to the end that all planned and actual revenues, expenditures, receipts, disbursements, resources, and obligations of the department shall be properly and systematically accounted for.  The accounting system shall include the development of accurate, timely records and reports of all financial affairs of each division.

NEW SECTION. Sec. 3.  A new section is added to chapter 47.01 RCW to read as follows:

          Supervision of the budgeting and accounting systems of the department shall include, but not be limited to the following:

          (1) Responsibility to devise and supervise the specific budgeting and accounting systems and procedures to be followed by each division;

          (2) Responsibility to devise and supervise the specific cash management systems and procedures to be followed by each division;

          (3) Responsibility to devise and supervise the specific internal and external reporting systems and procedures to be followed by each division;

          (4) Responsibility to devise and supervise the specific purchasing and inventory control systems and procedures to be followed by each division;

          (5) Responsibility to devise and supervise an effective internal audit function within each division to determine the extent to which transactions are recorded in conformance with generally accepted accounting principles and the extent to which internal accounting controls are both available and being followed.

NEW SECTION. Sec. 4.  A new section is added to chapter 47.60 RCW to read as follows:

          All funds and accounts authorized in this chapter and any other funds and accounts used by the division of marine transportation shall be administered by the division of management services as required by section 2 of this act.

NEW SECTION. Sec. 5.  A new section is added to chapter 47.68 RCW to read as follows:

          All funds and accounts authorized in this chapter and any other funds and accounts used by the division of aeronautics shall be administered by the division of management services as required by section 2 of this act.