AN ACT Relating to a professional licensing recovery fund; amending RCW 18.11.085, 18.11.095, 18.16.140, 18.16.160, 18.28.030, 18.28.050, 18.35.040, 18.35.250, 19.16.120, 19.31.090, and 42.44.020; adding new sections to chapter 43.131 RCW; adding a new chapter to Title 18 RCW; and repealing RCW 18.11.121, 18.28.040, 18.28.045, 18.35.240, 19.16.190, 19.16.200, and 19.31.090.

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

NEW SECTION. Sec. 1. Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Department" means the department of licensing.

(2) "Entity" means a person licensed under chapter 18.11, 18.28, 18.35, 19.16, or 19.31 RCW, a school licensed under chapter 18.16 RCW, or a notary public appointed under chapter 42.44 RCW.

(3) "Fund" means the professional licensing recovery fund created in section 2 of this act.

NEW SECTION. Sec. 2. The professional licensing recovery fund is hereby established in the custody of the state treasurer. The department shall deposit in the fund all moneys received under section 3 of this act. Moneys in the fund may be spent only for the purposes under sections 3 and 9 of this act. Disbursements from the fund shall be on authorization of the department. The fund is subject to the allotment procedure provided under chapter 43.88 RCW, but no appropriation is required for disbursements. All earnings of investments of such balances shall be credited to the fund.

NEW SECTION. Sec. 3. (1) The department shall establish, maintain, and administer the fund. All funds collected for the fund are payable to the state for the benefit and protection of any recipient of services of an entity, or, in the case of a minor, the recipient's parents or guardian, for purposes including but not limited to the settlement of claims procedures under subsection (9) of this section. The fund shall be liable only for settlement of claims and costs of administration. No liability accrues to the state of Washington from claims made against the fund.

(2) The amount of liability that can be satisfied by this fund on behalf of each individual entity shall be established by the department by rule, based on an incremental scale that recognizes the surety bond requirement in effect for the entity on the effective date of this section. However, the maximum liability for any entity shall be set by the department at no less than three times the bond amount for the particular entity on the effective date of this section. The maximum recovery per claimant per entity shall be one-third of the amount set by the department. Once claims against the entity reach the maximum liability for that entity, the department shall revoke the entity's license or appointment.

(3) To be and remain licensed under the applicable chapter each entity shall, in addition to other requirements, make payments into the fund as a means to assure payment of claims brought under this chapter. The fund shall be initially capitalized at six hundred thousand dollars and shall achieve an operating balance of at least three million dollars within five years after the effective date of this section, as required under subsection (5) of this section.

(4) Within sixty days after any entity deposits its initial contribution into the fund, the department shall release whatever surety the entity had previously filed. The fund's liability with respect to each entity that makes an initial payment into the fund commences on that date and ceases one year from the date it is no longer licensed or appointed in accordance with applicable law.

(5) The department shall adopt by rule a matrix for calculating the payments into the fund required of each entity. Proration shall be determined by factoring the entity's share of liability in proportion to the aggregated liability of all participants under the fund by grouping such prorations under the incremental scale created in subsection (2) of this section. Expressed as a percentage of the total liability, that figure determines the amount to be contributed when factored into a fund containing one million dollars. The total amount of its prorated share, minus the amount paid for initial capitalization, shall be payable in ten equal increments over a five-year period, commencing with the sixth month after the effective date of this section. Additionally, the department shall require payments for initial capitalization, under which the amount each entity deposits is proportionate to its share of six hundred thousand dollars, employing the matrix developed under this subsection. The amount thus established shall be deposited by each licensee of record, within thirty days after the effective date of this section, and a like amount shall be deposited by each subsequent applicant for licensing or appointment before the issuance of such license.

(6) No vested right or interests in deposited funds is created or implied for the depositor, either at any time during the operation of the fund or at any such future time that the fund may be dissolved. All funds deposited are payable to the state for the purposes described under this section. The department shall maintain the fund, collect payments when due by serving appropriate notices to affected entities, and make disbursements to settle claims. When the payments total fifteen million dollars and the history of disbursements so warrants, the department may at its own option reduce the schedule of payments whether as to time, amount, or both.

(7) The department shall make determinations based on annual financial data supplied by the entity whether the increment assigned to that entity on the incremental scale established under subsection (5) of this section has changed. If an increase or decrease has occurred, a corresponding change in its incremental position and contribution schedule shall be made before the date of its next scheduled payment into the fund.

(8) If fifty-one percent or more of the ownership interest in an entity is conveyed through sale or other means into different ownership, the contribution schedule of the prior owner is canceled. All contributions made to the date of transfer accrue to the fund. The new owner commences contributions under provisions applying to a new applicant.

(9) Claims may be filed by recipients of services due to an entity's failure to perform its statutory requirements or meet contractual obligations, or an entity's ceasing operations or filing for bankruptcy. To settle claims the department may make disbursements from the fund. The following procedures shall be used:

(a) The department shall attempt to notify all potential claimants. The absence of records and other circumstances may make it impossible or unreasonable for the department to ascertain the names and whereabouts of each potential claimant but the department shall make reasonable inquiries to secure that information from all likely sources. The department shall then proceed to settle the claims on the basis of information in its possession. The department is not responsible or liable for claims or for handling claims that may subsequently appear or be discovered.

(b) Thirty days after identified potential claimants have been notified, if a claimant refuses or neglects to file a claim verification as requested in the notice, the department shall be relieved of further duty or action on behalf of the claimant under this chapter.

(c) After verification and review including a formal hearing if requested by the entity, the department may disburse funds from the fund to settle or compromise the valid claims. However, the liability of the fund for claims against the entity shall not exceed that total amount of the liability set in subsection (2) of this section.

(d) The department shall seek to recover such disbursed funds from the assets of the entity, including but not limited to asserting claims as a creditor in bankruptcy proceedings. When funds are disbursed to settle claims against a current licensee or appointee, the department shall make demand upon the licensee or appointee for recovery. The department shall adopt schedules of times and amounts acceptable for effecting recoveries.

(10) An entity's failure to perform under applicable law subjects its license or appointment to suspension or revocation in addition to any other available remedies.

(11) A minimum operating balance of six hundred thousand dollars shall be maintained in the fund. If disbursements reduce the balance below six hundred thousand dollars, each participating entity shall be assessed a prorata share of the deficiency created, based upon the incremental scale created under subsection (5) of this section. The department shall promptly adopt schedules of times and amounts acceptable for affecting payments of assessments.

NEW SECTION. Sec. 4. The remedies and penalties provided for in this chapter are nonexclusive and cumulative and do not affect any other actions or proceedings.

Sec. 5. Section 5, chapter 324, Laws of 1986 as amended by section 1, chapter 336, Laws of 1987 and RCW 18.11.085 are each amended to read as follows:

Every individual, before acting as an auctioneer, shall obtain an auctioneer certificate of registration. To be licensed as an auctioneer, an individual shall meet all of the following requirements:

(1) Be at least eighteen years of age or sponsored by a licensed auctioneer((.));

(2) File with the department a completed application on a form prescribed by the director((.));

(3) Show that the proper tax registration certificate required by RCW 82.32.030 has been obtained from the department of revenue((.));

(4) Pay the auctioneer registration fee required under the agency rules adopted pursuant to this chapter((.));

(5) ((~~Except as otherwise provided under RCW 18.11.121,~~)) File with the department ((~~an auctioneer surety bond in the amount and form required by RCW 18.11.121 and the agency rules adopted pursuant to this chapter.~~)) proof of participation in the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act); and

(6) Have no disqualifications under RCW 18.11.160.

Sec. 6. Section 6, chapter 324, Laws of 1986 as amended by section 5, chapter 336, Laws of 1987 and RCW 18.11.095 are each amended to read as follows:

Every person, before operating an auction company as defined in RCW 18.11.050, shall obtain an auction company certificate of registration.

(1) Except as provided in subsection (2) of this section, to be licensed as an auction company, a person shall meet all of the following requirements:

(a) File with the department a completed application on a form prescribed by the director((.));

(b) Sign a notarized statement included on the application form that all auctioneers hired by the auction company to do business in the state shall be properly registered under this chapter((.));

(c) Show that the proper tax registration certificate required by RCW 82.32.030 has been obtained from the department of revenue((.));

(d) Pay the auction company registration fee required under the agency rules adopted pursuant to this chapter((.));

(e) File with the department ((~~an auction company surety bond in the amount and form required by RCW 18.11.121 and the agency rules adopted pursuant to this chapter.~~)) proof of participation in the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act); and

(f) Have no disqualifications under RCW 18.11.160.

(2) An auction company shall not be charged a license fee if it is a sole proprietorship or a partnership owned by an auctioneer or auctioneers, each of whom is licensed under this chapter, and if it has in effect a surety bond or bonds or other security approved by the director in the amount that would otherwise be required for an auction company to be granted or to retain a license under RCW 18.11.121.

Sec. 7. Section 6, chapter 208, Laws of 1984 as amended by section 1, chapter 445, Laws of 1987 and RCW 18.16.140 are each amended to read as follows:

Any person wishing to operate a school shall, before opening such a school, file with the director a license application containing the following information:

(1) The names and addresses of all owners and instructors;

(2) Proof that the school's curriculum satisfies the training guidelines established by the director;

(3) The catalogs, brochures, and contract forms the school proposes to use;

(4) A sample of the school's enrollment contract, and cancellation and refund policies;

(5) A description of the school's physical equipment and facilities;

(6) ((A surety bond in an amount not less than one thousand dollars, or five percent of the annual gross tuition collected by the school, whichever is greater. The bond shall not exceed twenty-five thousand dollars and shall run to the state of Washington for the protection of unearned prepaid student tuition. The school shall attest to its gross tuition at least annually on forms provided by the department. When a new school license is being applied for, the applicant will estimate its annual gross tuition to establish a bond amount.)) Proof of participation in the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act). This subsection shall not apply to community colleges and vocational technical schools.

Upon proper application and payment of fees, the director shall issue a license to operate a school.

Sec. 8. Section 16, chapter 208, Laws of 1984 and RCW 18.16.160 are each amended to read as follows:

In addition to any other legal remedy, any student having a claim against a school may bring suit upon the ((~~surety bond~~)) recovery fund required in RCW 18.16.140(6) in ((the superior or district court of Thurston county or the county in which the educational services were offered by the school. Action upon the bond shall be commenced by filing the complaint with the clerk of the appropriate superior or district court within one year from the date of the cancellation of the bond: PROVIDED, That no action shall be maintained upon the bond for any claim which has been barred by any nonclaim statute or statute of limitations of this state. Service of process in an action upon the bond shall be exclusively by service upon the director. Two copies of the complaint shall be served by registered or certified mail upon the director at the time the suit is started. Such service shall constitute service on the surety and the school. The director shall transmit the complaint or a copy thereof to the school at the address listed in the director's records and to the surety within forty-eight hours after it has been received. The surety shall not be liable in an aggregate amount in excess of the amount named in the bond. In any action on a bond, the prevailing party is entitled to reasonable attorney's fees and costs)) accordance with chapter 18.-- RCW (sections 1 through 4 of this 1989 act).

The director shall maintain a record, available for public inspection, of all ((~~suits~~)) proceedings commenced under this chapter ((~~upon surety bonds~~)) against the recovery fund.

Sec. 9. Section 3, chapter 201, Laws of 1967 as last amended by section 18, chapter 7, Laws of 1985 and RCW 18.28.030 are each amended to read as follows:

An application for a license shall be in writing, under oath, and in the form prescribed by the director. The application shall contain such relevant information as the director may require, but in all cases shall contain the name and residential and business addresses of each individual applicant, and of each member when the applicant is a partnership or association, and of each director and officer when the applicant is a corporation.

Except as provided hereinafter in this section the applicant shall pay an investigation fee and a licensing fee determined by the director as provided in RCW 43.24.086: PROVIDED, That a branch office of a licensed debt adjusting agency need not pay an investigation fee but only the licensing fee. If a license is not issued in response to the application, the director shall return the licensing fee to the applicant. An annual license fee determined by the director as provided in RCW 43.24.086, shall be paid to the director by January 1st of each year. If the annual license fee is not paid by January 1st, the licensee shall be assessed a penalty for late payment determined by the director as provided in RCW 43.24.086. And if the fee and penalty are not paid by January 31st, reapplication for a new license will be necessary, which may include taking any examination prescribed by the director.

The applicant shall file ((~~a surety bond~~)) with the director ((~~or in lieu thereof the applicant may file with the director a cash deposit or other negotiable security acceptable to the director and under conditions set forth in RCW 18.28.040~~)) proof of participation in the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act): PROVIDED, That each branch office of a debt adjusting agency shall be required to ((~~be bonded~~)) participate in the recovery fund as provided ((~~herein~~)) in this chapter, but ((~~no bond will be~~)) participation is not required of an individual applicant while he or she is employed by a bonded debt adjusting agency or branch thereof.

The applicant shall furnish the director with such proof as the director may reasonably require to establish the qualifications set forth in RCW 18.28.060.

If the applicant is an individual person making an original license application he shall pay an examination fee determined by the director as provided in RCW 43.24.086.

If the applicant is applying for a debt adjusting agency license it shall furnish the director with complete forms of all contracts and assignments designed for execution by debtors making any assignments to or placing any property with the applicant for the purpose of paying the creditors of such debtors, and complete forms of all contracts and agreements designed for execution by creditors to whom payments are made by the applicant. Only such forms furnished the director and not disapproved by him shall be used by a debt adjusting agency licensee.

Sec. 10. Section 5, chapter 201, Laws of 1967 and RCW 18.28.050 are each amended to read as follows:

If the licensee has failed to account to a debtor or distribute to the debtor's creditors such amounts as are required by this chapter and the contract between the debtor and licensee, the debtor, his or her legal representative or receiver, or the director, shall have, in addition to all other legal remedies, a right of action in the name of the debtor ((~~on the bond or the security given pursuant to the provisions of RCW 18.28.040~~)) against the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act), for loss suffered by the debtor, not exceeding the ((~~face of the bond or security~~)) liability limit of the licensee, and without the necessity of joining the licensee in such suit or action. No action shall be brought ((~~upon any bond or security given under RCW 18.28.040~~)) against the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act) after the expiration of three years from the revocation or expiration of the license issued thereon. Upon entering judgment for plaintiff in any action ((~~on the bond required under RCW 18.28.040~~)) against the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act), for more than the sum tendered in the court by the defendant, if any, the court shall include in the judgment reasonable compensation for services of plaintiff's attorney in the action.

Sec. 11. Section 4, chapter 106, Laws of 1973 1st ex. sess. as last amended by section 30, chapter 7, Laws of 1985 and RCW 18.35.040 are each amended to read as follows:

An applicant for license shall be at least eighteen years of age and shall pay a fee determined by the director as provided in RCW 43.24.086. An applicant shall not be issued a license under the provisions of this chapter unless the applicant:

(1) Satisfactorily completes the examination required by this chapter; or

(2) Holds a current, unsuspended, unrevoked license or certificate from a state or jurisdiction with which the department has entered into a reciprocal agreement, and shows evidence satisfactory to the department that the applicant is licensed in good standing in the other jurisdiction; and

(3) Provides proof satisfactory to the department that the licensee ((~~has obtained the surety bond coverage required under this chapter~~)) is a participant in the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act).

Sec. 12. Section 20, chapter 39, Laws of 1983 and RCW 18.35.250 are each amended to read as follows:

(1) In addition to any other legal remedies, an action may be brought in any court of competent jurisdiction ((~~upon the bond, cash deposit, or security in lieu of a surety bond required by this chapter~~)) against the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act), by any person having a claim against a licensee for any violation of this chapter or any rule adopted under this chapter. The aggregate liability of the ((~~surety~~)) fund to all claimants shall in no event exceed the ((~~sum of the bond~~)) liability of the licensee under the fund.

(2) An action ((upon the bond or security shall be commenced by serving and filing the complaint within one year from the date of the cancellation of the bond, or in case of a cash deposit or other security deposited in lieu of the surety bond, within one year of the date of expiration of revocation of the license. Two copies of the complaint shall be served by registered or certified mail, return receipt requested, upon the department at the time the suit is started. The service constitutes service on the surety. The director shall transmit one copy of the complaint to the surety within five business days after the copy has been received)) against the fund shall be brought in accordance with chapter 18.-- RCW (sections 1 through 4 of this 1989 act).

(3) The director shall maintain a record, available for public inspection, of all ((suits commenced under this chapter under surety bonds, or the cash or other security deposited in lieu of the surety bond. In the event that any final judgment impairs the liability of the surety upon a bond so furnished or the amount of the deposit so that there is not in effect a bond undertaking or deposit in the full amount prescribed in this section, the department shall suspend the license until the bond undertaking or deposit in the required amount, unimpaired by unsatisfied judgment claims, has been furnished)) proceedings brought against the fund.

(((4) If a judgment is entered against the deposit or security required under this chapter, the department shall, upon receipt of a certified copy of a final judgment, pay the judgment from the amount of the deposit or security.))

Sec. 13. Section 3, chapter 253, Laws of 1971 ex. sess. as last amended by section 1, chapter 194, Laws of 1977 ex. sess. and RCW 19.16.120 are each amended to read as follows:

In addition to other provisions of this chapter, any license issued pursuant to this chapter or any application therefor may be denied, not renewed, revoked, or suspended, or in lieu of or in addition to suspension a licensee may be assessed a civil, monetary penalty in an amount not to exceed one thousand dollars:

(1) If an individual applicant or licensee is less than eighteen years of age or is not a resident of this state((.));

(2) If an applicant or licensee is not authorized to do business in this state((.));

(3) If the application or renewal forms required by this chapter are incomplete, fees required under RCW 19.16.140 and 19.16.150 have not been paid, and the ((~~surety bond or cash deposit or other negotiable security acceptable to the director required by RCW 19.16.190 has not been filed or renewed or is canceled.~~)) applicant has failed to provide proof of participation in the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act);

(4) If any individual applicant, owner, officer, director, or managing employee of a nonindividual applicant or licensee:

(a) Shall have knowingly made a false statement of a material fact in any application for a collection agency license or renewal thereof, or in any data attached thereto and two years have not elapsed since the date of such statement;

(b) Shall have had a license to engage in the business of a collection agency denied, not renewed, suspended, or revoked by this state, any other state, or foreign country, for any reason other than the nonpayment of licensing fees or failure to meet bonding or other security requirements: PROVIDED, That the terms of this subsection shall not apply if:

(i) Two years have elapsed since the time of any such denial, nonrenewal, or revocation; or

(ii) The terms of any such suspension have been fulfilled;

(c) Has been convicted in any court of any felony involving forgery, embezzlement, obtaining money under false pretenses, larceny, extortion, or conspiracy to defraud and is incarcerated for that offense or five years have not elapsed since the date of such conviction;

(d) Has had any judgment entered against him or her in any civil action involving forgery, embezzlement, obtaining money under false pretenses, larceny, extortion, or conspiracy to defraud and five years have not elapsed since the date of the entry of the final judgment in said action: PROVIDED, That in no event shall a license be issued unless the judgment debt has been discharged;

(e) Has had his or her license to practice law suspended or revoked and two years have not elapsed since the date of such suspension or revocation, unless he or she has been relicensed to practice law in this state;

(f) Has had any judgment entered against him or her or it under the provisions of RCW 19.86.080 or 19.86.090 involving a violation or violations of RCW 19.86.020 and two years have not elapsed since the entry of the final judgment: PROVIDED, That in no event shall a license be issued unless the terms of such judgment, if any, have been fully complied with: PROVIDED FURTHER, That said judgment shall not be grounds for denial, suspension, nonrenewal, or revocation of a license unless the judgment arises out of and is based on acts of the applicant, owner, officer, director, managing employee, or licensee while acting for or as a collection agency;

(g) Has petitioned for bankruptcy, and two years have not elapsed since the filing of said petition;

(h) Shall be insolvent in the sense that his, her, or its liabilities exceed his, her, or its assets or in the sense that he, she, or it cannot meet his, her, or its obligations as they mature;

(i) Has failed to pay any civil, monetary penalty assessed in accordance with RCW 19.16.351 or 19.16.360 within ten days after the assessment becomes final; or

(j) Has knowingly failed to comply with, or violated any provisions of this chapter or any rule or regulation issued pursuant to this chapter, and two years have not elapsed since the occurrence of said noncompliance or violation.

Any person who is engaged in the collection agency business as of January 1, 1972 shall, upon filing the application, paying the fees, and ((~~filing the surety bond or cash deposit or other negotiable security in lieu of bond required by this chapter~~)) providing proof of participation in the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act), be issued a license hereunder.

Sec. 14. Section 9, chapter 228, Laws of 1969 ex. sess. as amended by section 4, chapter 51, Laws of 1977 ex. sess. and RCW 19.31.090 are each amended to read as follows:

(1) Before conducting any business as an employment agency each licensee shall file with the director ((a surety bond in the sum of two thousand dollars running to the state of Washington, for the benefit of any person injured or damaged as a result of any violation by the licensee or his agent of any of the provisions of this chapter or of any rule or regulation adopted by the director pursuant to RCW 19.31.070(1))) proof of participation in the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act).

(2) ((In lieu of the surety bond required by this section the license applicant may file with the director a cash deposit or other negotiable security acceptable to the director: PROVIDED, HOWEVER, If the license applicant has filed a cash deposit, the director shall deposit such funds with the state treasurer. If the license applicant has deposited cash or other negotiable security with the director, the same shall be returned to the licensee at the expiration of one year after the employment agency's license has expired or been revoked, if no legal action has been instituted against the licensee or the surety deposit at the expiration of the year.

~~(3)~~)) Any person having a claim against an employment agency for any violation of the provisions of this chapter or any rule or regulation promulgated thereunder may bring ((suit upon such bond or deposit in an appropriate court of the county where the office of the employment agency is located or of any county in which jurisdiction of the employment agency may be had. Action upon such bond or deposit shall be commenced by serving and filing of the complaint within one year from the date of expiration of the employment agency license in force at the time the act for which the suit is brought occurred. A copy of the complaint shall be served by registered or certified mail upon the director at the time the suit is started, and the director shall maintain a record, available for public inspection, of all suits so commenced. Such service on the director shall constitute service on the surety and the director shall transmit the complaint or a copy thereof to the surety within five business days after it shall have been received. The surety upon the bond shall not be liable in an aggregate amount in excess of the amount named in the bond, but in case claims pending at any one time exceed the amount of the bond, claims shall be satisfied in the order of judgment rendered. In the event that any final judgment shall impair the liability of the surety upon bond so furnished or the amount of the deposit so that there shall not be in effect a bond undertaking or deposit in the full amount prescribed in this section, the director shall suspend the license of such employment agency until the bond undertaking or deposit in the required amount, unimpaired by unsatisfied judgment claims, shall have been furnished.

(4) In the event of a final judgment being entered against the deposit or security referred to in subsection (2) of this section, the director shall, upon receipt of a certified copy of the final judgment, order said judgment to be paid from the amount of the deposit or security.)) an action against the fund in accordance with chapter 18.-- RCW (sections 1 through 4 of this 1989 act).

Sec. 15. Section 2, chapter 156, Laws of 1985 and RCW 42.44.020 are each amended to read as follows:

(1) The director may, upon application, appoint to be a notary public in this state, any person who:

(a) Is at least eighteen years of age;

(b) Resides in Washington state, or resides in an adjoining state and is regularly employed in Washington state or carries on business in Washington state; and

(2) Each application shall be accompanied by endorsements by at least three residents of this state of the age of eighteen or more, who are not relatives of the applicant, in the following form:

I, !sc ,1@be!sc ,3(name of endorser)!sc ,3@ee,!sc ,1 being a person eligible to vote in the state of Washington, believe the applicant for a notary public appointment,!sc ,1 @be!sc ,3(applicant's name)!sc ,3@ee,!sc ,1 who is not related to me, to be a person of integrity and good moral character and capable of performing notarial acts.

@lb!ix!sc_,56

!ix(Endorser's signature and address, with date of signing)

@la (3) Every application for appointment as a notary public shall be accompanied by a fee established by the director by rule.

(4) Every applicant for appointment as a notary public shall submit an application in a form prescribed by the director, and shall sign the following declaration in the presence of a notary public of this state:

!tp1,1 !trDeclaration of Applicant

I, !sc ,1@be!sc ,3 (name of applicant)!sc ,3@ee,!sc ,1solemnly swear or affirm under penalty of perjury that the personal information I have provided in this application is true, complete, and correct; that I carefully have read the materials provided with the application describing the duties of a notary public in and for the state of Washington; and, that I will perform, to the best of my ability, all notarial acts in accordance with the law.

@lb!ix!sc_,24

!ix(Signature of applicant)

@la !ixState of Washington

!ixCounty of !sc_,10

On this day !sc_,20 appeared before me, signed this Declaration of Application, and swore (or affirmed) that (he/she) understood its contents and that its contents are truthful.

Dated: !sc_,10

!tp1,1 @lb!tl!w_

!tlSignature of notary public

@la !ix(Seal or stamp)

!tlResiding at !w_

(5) Every applicant shall submit to the director proof ((from a surety company that a ten thousand dollar surety bond, insuring the proper performance of notarial acts by the applicant, will be effective for a term commencing on the date the person is appointed, and expiring on the date the applicant's notary appointment expires. The surety for the bond shall be a company qualified to write surety bonds in this state)) of participation in the professional licensing recovery fund established in chapter 18.-- RCW (sections 1 through 4 of this 1989 act).

NEW SECTION. Sec. 16. A new section is added to chapter 43.131 RCW to read as follows:

The professional licensing recovery fund shall be terminated on June 30, 1992, as provided in section 17 of this act.

NEW SECTION. Sec. 17. A new section is added to chapter 43.131 RCW to read as follows:

The following acts or parts of acts, as now existing or hereafter amended, are each repealed, effective June 30, 1993:

(1) Section 1, chapter --, Laws of 1989 and RCW 18.--.--- (section 1 of this act);

(2) Section 2, chapter --, Laws of 1989 and RCW 18.--.--- (section 2 of this act);

(3) Section 3, chapter --, Laws of 1989 and RCW 18.--.--- (section 3 of this act); and

(4) Section 4, chapter --, Laws of 1989 and RCW 18.--.--- (section 4 of this act).

NEW SECTION. Sec. 18. The following acts or parts of acts are each repealed:

(1) Section 8, chapter 324, Laws of 1986, section 2, chapter 336, Laws of 1987 and RCW 18.11.121;

(2) Section 4, chapter 201, Laws of 1967 and RCW 18.28.040;

(3) Section 2, chapter 156, Laws of 1979 and RCW 18.28.045;

(4) Section 18, chapter 39, Laws of 1983 and RCW 18.35.240;

(5) Section 10, chapter 253, Laws of 1971 ex. sess. and RCW 19.16.190;

(6) Section 11, chapter 253, Laws of 1971 ex. sess. and RCW 19.16.200; and

(7) Section 9, chapter 228, Laws of 1969 ex. sess., section 4, chapter 51, Laws of 1977 ex. sess. and RCW 19.31.090.

NEW SECTION. Sec. 19. Sections 1 through 4 of this act shall constitute a new chapter in Title 18 RCW.