H-501                _______________________________________________

                                                    HOUSE BILL NO. 868

                        _______________________________________________

State of Washington                              49th Legislature                              1985 Regular Session

By Representatives Zellinsky, Smitherman, J. Williamsand Hargrove

Read first time 2/8/85 and referred to Committee on Ways & Means.

AN ACT Relating to appropriations; adding new sections to chapter 43.88 RCW; and creating a new section.

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

NEW SECTION. Sec. 1.     The legislature finds that the adoption of a form of priority budgeting will provide for a more meaningful appropriations process and facilitate a more effective review of program objectives and funding levels.

NEW SECTION. Sec. 2.     Beginning with appropriations for the 1987-89 fiscal biennium, the governor's budget document under RCW 43.88.030 shall include, for each agency designated by the legislative oversight committee established in section 3 of this act:

          (1) A statement of agency and program objectives, including a description of measurements used to determine standards of performance and effectiveness of functions for each program within the agency;

          (2) At least three alternative funding levels for each agency, with anticipated performance outcomes specified for each of the alternative funding levels.  Taking into account current and anticipated levels of inflation, the alternatives shall include:

          (a) A funding level which does not exceed eighty percent of the level authorized by the legislature for the current fiscal biennium;

          (b) A funding level which reflects a continuation of existing programs at current levels; and

          (c) A funding level which does not exceed the current funding level by more than ten percent;

          (3) A listing of the program priorities reflected in the various alternative funding levels described in the budget document and an explanation of the rationale and policies used in determining the priority listing.

NEW SECTION. Sec. 3.     In order to provide for legislative oversight of the appropriations process and to assist the legislature in obtaining information necessary to the budget process, there is created a legislative oversight committee on priority budgeting.  The fifteen-member committee shall consist of five members from each of the following:  The senate ways and means committee, the house of representatives ways and means committee, and the legislative budget committee.  The members shall be chosen by the chairmen of the respective committees at the commencement of each regular legislative session.  The joint committee shall review the proposals of the office of financial management for implementing section 2 of this act and may hold hearings with agencies on developing budget requests using priority budgeting.

NEW SECTION. Sec. 4.     (1) The office of financial management shall adopt such rules as are necessary for the guidance of agencies in preparing budget requests and estimates under section 2 of this act.  In adopting such rules, emphasis shall be given to reducing the amounts budgeted for administrative costs.  Each agency shall provide the office of financial management and the legislative oversight committee with a description of its administrative functions and personnel for examination in determining priority budgeting.

          (2) The office of financial management shall cooperate fully with the joint committee created in section 3 of this act to assist the committee in carrying out the responsibilities imposed upon it and shall provide the committee with such information as it may request in performing its duties under section 3 of this act.

NEW SECTION. Sec. 5.     Sections 2 through 4 of this act shall be added to chapter 43.88 RCW.

NEW SECTION. Sec. 6.     If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.