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SUBSTITUTE SENATE BILL NO. 3332
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AS AMENDED BY THE HOUSE
C 278 L 85
State of Washington 49th Legislature 1985 Regular Session
By Senate Committee on Education (originally sponsored by Senators Bauer, Zimmerman, Thompson, Barr, Patterson and Stratton)
Read first time 2/21/85.
AN ACT Relating to local school district and educational service district insurance transactions; and amending RCW 48.62.040.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec. 1. Section 4, chapter 256, Laws of 1979 ex. sess. and RCW 48.62.040 are each amended to read as follows:
(1)
Except as provided in subsection (2) of this section, the governing body of
any one or more local governmental entities may, as an alternative or in
addition to exercising any one or more of the powers granted in RCW 48.62.030
and 36.16.138, as now or hereafter amended, or any other provision of law, form
together into or join a pool or organization for the joint purchasing of
insurance, and/or joint self-insuring, and/or joint hiring or contracting for
risk management services to the same extent that they may individually purchase
insurance, self-insure, or hire or contract for risk management services((:
PROVIDED, That)).
(2)(a) No
organization of local governmental entities, other than local school
districts and educational service districts, that is organized under ((RCW
48.62.040)) this section for the purpose of self-insuring shall
provide any self-insurance other than liability insurance. For purposes of
this section, liability insurance shall include but not be limited to coverage
for claims arising from the tortious or negligent conduct of the local
government entity, its officers, employees, or agents thereof, or any error or
omission on the part of said local government entity, its officers, employees
or agents thereof as a result of which a claim may be made against the local
government entity.
(b) Local school districts and educational service districts may not organize under this section for the purpose of providing joint self-insured life, health, health care, accident, disability and salary protection or insurance, or any combination thereof, to the district employees, students, directors, or any of their dependents.
(3) The agreement to form such a pooling arrangement shall be made under chapter 39.34 RCW. Any pool or organization authorized to be formed by this section shall be subject to audit by the state auditor.