AN ACT Relating to fiscal notes; amending RCW 43.88A.010, 43.88A.020, 43.88A.030, and 43.88A.040; and adding a new section to chapter 43.88A RCW.

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

Sec. 1. Section 1, chapter 25, Laws of 1977 ex. sess. and RCW 43.88A.010 are each amended to read as follows:

The legislature hereby recognizes the necessity of developing a uniform and coordinated procedure for determining the expected fiscal impact of bills and resolutions on state government. The legislature also recognizes that developing such statements of fiscal impact, which shall be known as fiscal notes, requires the designation of a ((~~state agency~~)) legislative entity to be principally responsible therefor.

Sec. 2. Section 2, chapter 25, Laws of 1977 ex. sess. as amended by section 146, chapter 151, Laws of 1979 and RCW 43.88A.020 are each amended to read as follows:

The ((~~office of financial management~~)) legislative budget committee and the legislative evaluation and accountability program committee, referred to in this chapter as the "LEAP" committee, shall, in cooperation with appropriate legislative committees and legislative staff, establish a procedure for the provision of fiscal notes on the expected impact of bills and resolutions which may increase or decrease ((~~or tend to increase or decrease~~)) state government revenues or expenditures. Such fiscal notes shall indicate by fiscal year the impact for the remainder of the biennium in which the bill or resolution will first take effect as well as a cumulative forecast of the fiscal impact for the succeeding four fiscal years.

In establishing the fiscal impact called for pursuant to this chapter, the ((~~office of financial management~~)) legislative budget committee and the LEAP committee shall coordinate the development of fiscal notes with all state agencies affected.

Sec. 3. Section 3, chapter 25, Laws of 1977 ex. sess. as last amended by section 1, chapter 112, Laws of 1979 ex. sess. and RCW 43.88A.030 are each amended to read as follows:

When a fiscal note is prepared and approved as to form, accuracy, and completeness by the ((~~office of financial management~~)) legislative budget committee and the LEAP committee, which depicts the expected fiscal impact of a bill or resolution, copies shall be filed immediately with:

(1) The chairperson of the committee to which the bill or resolution was referred upon introduction in the house of origin;

(2) The senate committee on ways and means, or its successor;

(3) The house committees on revenue and appropriations, or their successors; ((~~and~~))

(4) ((~~The legislative budget committee~~)) The secretary of the senate; and

(5) The chief clerk of the house of representatives.

Whenever possible, such fiscal note shall be provided prior to or at the time the bill or resolution is first heard by the committee of reference in the house of origin.

When a fiscal note has been prepared for a bill or resolution, a copy of the fiscal note shall be placed in the bill books or otherwise attached to the bill or resolution and shall remain with the bill or resolution throughout the legislative process insofar as possible.

Sec. 4. Section 4, chapter 25, Laws of 1977 ex. sess. as amended by section 148, chapter 151, Laws of 1979 and RCW 43.88A.040 are each amended to read as follows:

The ((~~office of financial management~~)) legislative budget committee and the LEAP committee shall also provide a fiscal note on any legislative proposal at the request of any legislator. Such fiscal note shall be returned to the requesting legislator, and copies shall be filed with the appropriate legislative committees pursuant to RCW 43.88A.030 ((~~at the time such proposed legislation is introduced in either house~~)).

NEW SECTION. Sec. 5. A new section is added to chapter 43.88A RCW to read as follows:

The legislative budget committee and the LEAP committee shall cooperatively develop a procedure for fiscal notes as provided in this chapter. Both committees shall consult with the office of financial management on current procedures for the development of fiscal notes. By January 1, 1986, the legislative budget committee and the LEAP committee shall assume cooperative responsibility for fiscal notes requested by the legislature.